This bill establishes a framework for the designation of scholarship granting organizations in Minnesota, as outlined in a new section of the Minnesota Statutes, chapter 270C. The Department of Revenue's commissioner is required to compile and submit an annual list of these organizations to the Secretary of the Treasury of the United States, ensuring compliance with section 25F of the Internal Revenue Code. The bill mandates that this list be published on the department's website and allows for the submission of organizations that meet the necessary criteria at any time during the calendar year.

Additionally, the commissioner is empowered to create rules regarding the documentation and processes required for entities to qualify as scholarship granting organizations. These rules must align with federal regulations, and the commissioner’s role is primarily administrative. Organizations that are registered to operate in Minnesota can participate by submitting a notice of intent to receive qualified donations, which must be done by December 1 of the year prior to the annual submission. The bill also defines "scholarship granting organization" in accordance with the relevant federal code.