The bill amends Minnesota Statutes 2024, section 16B.97, subdivision 4, to enhance the state's grants management framework by requiring the creation of a grantee fraud risk rating system. This new requirement mandates that the commissioner develop general grants management policies and procedures applicable to all executive agencies, which must now include a fraud risk rating system informed by vendor risk management principles. The bill also maintains the existing structure of grants management, allowing executive agencies to retain control over individual grant programs while providing a central point of contact for statewide grants management policies.

In addition to the new fraud risk rating system, the bill outlines various duties for the commissioner, including serving as a resource for training and best practices in grants management, overseeing the development and use of administrative systems, and ensuring compliance with statewide governance policies. The commissioner is also tasked with providing a comprehensive listing of competitive grant opportunities and recipients, as well as selectively reviewing agency compliance with best practices. Overall, the bill aims to strengthen oversight and accountability in the management of state grants.

Statutes affected:
Introduction: 16B.97