1.1 	A bill for an act
1.2 	relating to state government; changing provisions for proceeds from sales of 
1.3 	state surplus property;amending Minnesota Statutes 2010, section 16C.23, 
1.4 	subdivisions 4, 6.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2010, section 16C.23, subdivision 4, is amended to read:
1.7 		Subd. 4.Deposit of receipts. The surplus services revolving fund is a separate fund 
1.8 	in the state treasury. Except as otherwise provided in this section, all money resulting 
1.9 	from the acquisition, acceptance, warehousing, distribution, and public sale of surplus 
1.10 	property, must be deposited in the fund. Money paid into the surplus services revolving 
1.11 	fund is appropriated to the commissioner for the purposes of the programs and services 
1.12 	referred to in this section.

1.13 	Sec. 2. Minnesota Statutes 2010, section 16C.23, subdivision 6, is amended to read:
1.14 		Subd. 6.State surplus property. The commissioner may do any of the following to 
1.15 	dispose of state surplus property:
1.16 	(1) transfer it to or between state agencies;
1.17 	(2) transfer it to a governmental unit or nonprofit organization in Minnesota; or
1.18 	(3) sell it and charge a fee to cover expenses incurred by the commissioner in the 
1.19 	disposal of the surplus property.
1.20 	The proceeds of the sale less the fee must be deposited in an account in a fund 
1.21 	other than the general fund and allocated as follows: (1) two-thirds of the proceeds must 
1.22 	be deposited in the general fund, except to the extent that federal law or the Minnesota 
1.23 	Constitution require the proceeds to be deposited in a different fund; and (2) one-third of 
2.1 	the proceeds  are appropriated to the agency for whose account the sale was made, to be 
2.2 	used and expended by that agency to purchase similar state property.

2.3 	Sec. 3. EFFECTIVE DATE.
 2.4 	Sections 1 and 2 are effective July 1, 2012.