The bill amends Minnesota Statutes 2024, section 16B.981, subdivision 2, to enhance the pre-award risk assessment process for grants of $50,000 or more. It requires agencies to evaluate a potential grantee's ability to perform the required duties by reviewing various financial and operational documents. This includes the potential grantee's history of similar work, recent financial statements, tax returns, evidence of good standing with the secretary of state, and certifications regarding felony convictions of current principals. Notably, the bill adds a requirement for evidence of current registration as a charitable organization with the attorney general, unless exempt, and specifies that charitable organizations must provide their most recent independent audit report.

Additionally, the bill introduces a new subdivision that prohibits agencies from awarding grants to potential grantees who cannot provide the necessary information outlined in subdivision 2. This ensures that grants are only awarded to organizations that meet all the required criteria, thereby enhancing accountability and reducing the risk of non-performance.

Statutes affected:
Introduction: 16B.981