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Senate committee hears proposal to create IT modernization account seeded with one‑time transfer

Minnesota Senate State and Local Government Committee · April 23, 2026
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Summary

Lawmakers heard a proposal to create a technology account funded by surplus general‑fund dollars, require a statewide modernization plan, and seed the account with an initial $30 million transfer in FY2027; members emphasized procurement clarity and workforce training.

A bill proposing a dedicated information‑technology modernization account drew support in the State & Local Government Committee as senators described the need for longer‑term, stable funding for legacy systems.

Sponsor outlined SF 50/520 as a concept to automatically direct a portion of general‑fund surplus dollars into a technology account that would grow over time and be used for state and local IT infrastructure and systems modernization. The measure would require a statewide modernization plan from the responsible agency and give priority to outdated or inadequate systems; the bill proposes an initial $30 million transfer in fiscal year 2027 to seed the account.

Senator Yeager and other members praised the idea, urging an enterprise‑wide approach, clearer procurement guidance and retraining for the workforce to operate modern systems. Members said short‑term funding in the current budget can accomplish some immediate work, but a long‑term funding mechanism would help plan and prioritize costly replacement and modernization projects.

Questions focused on how the account would interact with existing short‑term efforts, how projects would be prioritized, and how to ensure the state has acquisition and implementation capacity. The committee laid the bill over for further consideration; no final appropriation or vote on transfer amounts occurred in the committee record.