Constitutional amendment proposal to exempt local governments and school districts from state mandates unless funding is provided to comply with the mandate

This bill proposes a constitutional amendment to Minnesota that would exempt local governments and school districts from complying with state mandates unless the state provides funding to cover the costs of compliance. The amendment defines a state mandate as any requirement that affects daily operations, changes resource allocation, or alters spending priorities for local entities. If passed, local governments could formally refuse to comply with unfunded mandates by passing a resolution, which would then be reported to state budget committees annually. The bill also establishes a process for agencies to challenge these noncompliance resolutions through contested case hearings. This measure would take effect on January 1, 2027, if approved by voters at the 2026 general election.