Senate committee hears bill to direct half of state ad buys to local news organizations; broad testimony and questions follow

Senate File 2600, a bill requiring state agencies to spend at least 50% of advertising expenditures with local news organizations, drew extended testimony and committee discussion Thursday in the Senate State and Local Government Committee. The committee adopted an A-1 amendment and laid the bill over for possible inclusion in an omnibus bill.

Senator McQuade, the bills sponsor, described the proposal as a budget-neutral way to support Minnesotas roughly 250 newspapers while making government advertising more effective at reaching residents. "Journalism is a public good and a cornerstone of our democracy," she said in opening remarks, calling the bill a "small step" to help sustain local news.

Justin Lessman, publisher of the Jackson County Pilot and Lakefield Standard and president of the Minnesota Newspaper Association for the day, urged support and described local newspapers as the "primary and preferred sources of information" for many communities. Lisa Hills, executive director of the Minnesota Newspaper Association, told the committee the proposal follows models discussed by other jurisdictions and would require annual reporting by agencies on how advertising dollars are spent.

Matt McMillan, CEO of Press Publications, described the measure as a way to keep advertising dollars in Minnesota businesses and noted that many local papers have large local audiences. Sarah Strong, testifying on behalf of the Minnesota Newspaper Association, said the reporting requirement in the bill would improve transparency about agency ad spending.

Committee members asked several questions about current ad spending levels and whether a 50% requirement was appropriate. Senator Kuran asked how much the state spends today on advertising; the sponsor and association representatives said most agencies do not have a clearly labeled line item and the bills reporting requirement would help reveal current spending. Senator Curran and others urged a re-evaluation period and regular reporting so the mandate can be assessed over time.

Supporters emphasized the proposal is not a new appropriation but would redirect existing advertising dollars; they said agencies retaining contracted marketing firms would still be allowed to work with those contractors. Several senators praised the civic role of local journalism, while others raised concerns about a public subsidy, content quality and the need for regular review.

With broad testimony and discussion complete, the committee adopted the A-1 amendment by voice vote and laid Senate File 2600, as amended, over for possible inclusion in a future omnibus bill.