1.1 	A bill for an act
1.2 	relating to state government; requiring the state chief information officer to establish 
1.3 	metrics to assess the progress of cloud computing projects; prohibiting certain 
1.4 	terms in contracts involving a state agency's use of licensed software applications; 
1.5 	requiring a report to the legislature to include information on cloud computing 
1.6 	projects within state agencies;amending Minnesota Statutes 2022, section 16E.03, 
1.7 	subdivision 4a, by adding subdivisions.
1.8 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9 	Section 1. Minnesota Statutes 2022, section 16E.03, subdivision 4a, is amended to read:
1.10 		Subd. 4a.Cloud computing services. The project evaluation procedure required by 
1.11 	subdivision 4 must include a review of cloud computing service options, including any 
1.12 	security benefits and cost savings associated with purchasing those service options from a 
1.13 	cloud computing service provider. When projects involve cloud computing services, the 
1.14 	state chief information officer shall, in consultation with the Technology Advisory Council, 
1.15 	establish metrics to assess the progress of any cloud computing project for each state agency.

1.16 	Sec. 2. Minnesota Statutes 2022, section 16E.03, is amended by adding a subdivision to 
1.17 	read:
1.18 		Subd. 5a.Cloud computing migration. The report required by subdivision 5 must also 
1.19 	detail the progress of cloud computing migration metrics established in subdivision 4a. 
1.20 	Additionally, for each state agency, the report must include an accounting of the agency's 
1.21 	budget allocated for cloud computing projects, cost projections for any current or 
1.22 	contemplated cloud computing projects as applicable, and the timeline for completion of 
1.23 	cloud computing projects.

2.1 	Sec. 3. Minnesota Statutes 2022, section 16E.03, is amended by adding a subdivision to 
2.2 	read:
2.3 		Subd. 12.Licensed software applications. A contract entered into by a state agency 
2.4 	for the licensing of software applications designed to run on generally available desktop or 
2.5 	server hardware shall not include any of the following:
2.6 	(1) a prohibition on installing or running the software based on who owns the hardware 
2.7 	on which it is run;
2.8 	(2) terms that increase the price of the software based on who owns the hardware on 
2.9 	which it is run; or
2.10 	(3) a requirement that the software run on hardware dedicated solely to the applicable 
2.11 	purchasing agency.

2.12 	EFFECTIVE DATE. This section is effective July 1, 2023, and applies to contracts 
2.13 	entered on or after that date.