Minnesota SF 4454: Impacts of fraud in budget forecasts inclusion requirement

Bill Text

1.1 A bill for an act​
1.2 relating to state government; requiring inclusion of the impacts of fraud in budget​
1.3 forecasts; amending Minnesota Statutes 2024, section 16A.103, subdivision 1b,​
1.4 by adding a subdivision; Minnesota Statutes 2025 Supplement, section 16A.103,​
1.5 subdivision 1a.​
1.6 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:​
1.7 Section 1. Minnesota Statutes 2025 Supplement, section 16A.103, subdivision 1a, is​
1.8 amended to read:​
1.9 Subd. 1a.Forecast parameters.The forecast must assume the continuation of current​
1.10 laws and reasonable estimates of projected growth in the national and state economies and​
1.11 affected populations. Revenue must be estimated for all sources provided for in current law.​
1.12 Expenditures must be estimated for all obligations imposed by law and those projected to​
1.13 occur as a result of inflation and variables outside the control of the legislature. Expenditure​
1.14 estimates related to the amount of state bonding must not include any assumptions of future​
1.15 authorizations of state general obligation bonds. The forecast must address the budgetary​
1.16 impacts of fraud as required under subdivision 1k.​
1.17 Sec. 2. Minnesota Statutes 2024, section 16A.103, subdivision 1b, is amended to read:​
1.18 Subd. 1b.Forecast variable.(a) In determining the rate of inflation, the application of​
1.19 inflation, the amount of state bonding as it affects debt service, the calculation of investment​
1.20 income, and the other variables to be included in the expenditure part of the forecast, the​
1.21 commissioner must consult with the chairs and lead minority members of the senate Finance​
1.22 Committee and the house of representatives Ways and Means Committee, and legislative​
1.23 fiscal staff. This consultation must occur at least three weeks before the forecast is to be​
1​Sec. 2.​
26-07038 as introduced​02/20/26 REVISOR SGS/BH​
SENATE​
STATE OF MINNESOTA​
S.F. No. 4454​NINETY-FOURTH SESSION​
(SENATE AUTHORS: LANG, Koran, Mathews, Drazkowski and Bahr)​
OFFICIAL STATUS​D-PG​DATE​
Introduction and first reading​6737​03/17/2026​
Referred to State and Local Government​

2.1 released. No later than two weeks prior to the release of the forecast, the commissioner must​
2.2 inform the chairs and lead minority members of the senate Finance Committee and the​
2.3 house of representatives Ways and Means Committee, and legislative fiscal staff of any​
2.4 changes in these variables from the previous forecast.​
2.5 (b) In forecasting the impacts of fraud on state revenues and expenditures, the​
2.6 commissioner must consult with the chairs and lead minority members of the senate Finance​
2.7 Committee and Taxes Committee, the house of representatives Ways and Means Committee​
2.8 and Taxes Committee, and legislative fiscal staff. This consultation must occur at least three​
2.9 weeks before the forecast is to be released. No later than two weeks prior to the release of​
2.10 the forecast, the commissioner must inform the same members and staff of any changes​
2.11 from the previous forecast.​
2.12 Sec. 3. Minnesota Statutes 2024, section 16A.103, is amended by adding a subdivision to​
2.13 read:​
2.14 Subd. 1k.Fraud impact.The forecast must estimate the budgetary impacts of fraud​
2.15 committed against state programs.​
2​Sec. 3.​
26-07038 as introduced​02/20/26 REVISOR SGS/BH​