Metropolitan Council bill would extend state small-business procurement tools to council; committee recommends passage

Senator Dibble presented Senate File 20308 on March 19, an agency bill requested by the Metropolitan Council to align the council's procurement authorities with statewide small-business procurement tools. "The general idea and goal and intent of the bill is to allow the Met Council to have the same procurement tools for goods and services from small businesses that state agencies currently have," Dibble said.

Jody Jacoby, chief procurement officer for the Metropolitan Council, testified that the changes would put the council "in parity" with state procurement authorities. The bill would authorize the Metropolitan Council to direct-negotiate construction or maintenance contracts up to $250,000, allow percentage preferences on goods, services and construction (current preference cited at 6 percent, proposed alignment up to 12 percent), and allow setting subcontracting goals for targeted businesses and direct-select contracts up to $100,000. The bill also contains technical updates to federal-code references.

Krista Boyd (committee fiscal staff) told the committee the fiscal note is a zero-cost fiscal note and that the Met Council anticipates no budget impact from the language of the bill. Judd Shenan, government affairs director at the Metropolitan Council, said staff would work with committee members to clarify statutory language if needed.

Senator Howe and Senator Jasinski raised concerns about wording that in one line uses "and" and in another uses "or," and whether the drafting could unintentionally narrow or expand the set of businesses eligible for targeted-business preferences. Ashanti Payne of the Metropolitan Council said the federal language in 49 CFR informed part of the phrasing and that Met Council staff would follow up with committee members to resolve drafting questions.

Senator Dibble moved that Senate File 20308 be recommended to pass and be referred to the committee on State and Local Government. The motion carried by voice vote; the chair announced passage and referral.

If enacted, the bill would broaden procurement options the Metropolitan Council can use to contract with small, targeted and veteran-owned businesses in the Twin Cities region, subject to final drafting and any clarifying amendments in later stages.