Section 1. Data Practices Classification of Certificate of Pay Equity Compliance. Provides a cross-reference for data practices classification of data collected for certificates of affirmative action and pay equity compliance.

Section 2. Certificates of Pay Equity Compliance.

Subdivision 1. Scope of Application. Provides that a state agency may not accept a bid or proposal for a contract in excess of $500,000 from a business with more than 40 full-time employees in the state unless the Commissioner of Employee Relations has approved the business' plan to establish equitable compensation relationships for its employees and has issued the business a certificate of compliance.

Subdivision 2. Compliance; Good Faith Effort. Requires the commissioner to approve a plan and issue a certificate of compliance if the business demonstrates it is in compliance with equitable compensation relationship standards or is making a good faith effort to achieve compliance. The standards for determining equitable compensation relationships are the same as those in the local government pay equity law and rules adopted to implement that law.

Provides that a business is making a good faith effort to achieve compliance if the commissioner has approved a plan and a date for achieving compliance.

Subdivision 3. Filing Fee. Provides a $75 fee for each certificate of compliance issue. Appropriates fee proceeds to the commissioner to administer this section.

Subdivision 4. Revocation of Certificate. Provides that a certificate of compliance can be suspended or revoked if the holder is not making a good faith effort to implement its plan.

Subdivision 5. Revocation of Contract. Authorizes a state agency to terminate a contract because a certificate of compliance under this section is revoked. Provides for voiding a contract issues to a person who does not have a required certificate.

Subdivision 6. Technical Assistance. Requires the commissioner to provide technical assistance to a contractor whose certificate has been suspended.

Subdivision 7. Access to Data. Provides status of data under this section for purposes of the data practices act. Data submitted by a contributor to obtain a certificate are private data on individuals or nonpublic data for persons other than department employees.

The effective date makes this section effective July 1, 2007, and applies it to state contracts for which agencies issue solicitations after that date.

Section 3. Access to Data. Provides for the status of data collected for certificates of affirmative action compliance.

Section 4. Certificate of Compliance; Temporary Provision. Until July 1, 2008, provides a mechanism for a business to obtain good faith effort status under section 1 of this bill by demonstrating to the Commissioner of Employee Relations that the business intends to prepare a pay equity report and that the business has a system in place for companywide job evaluation.

Section 5. Report. Requires the Commissioner of Employee Relations to report to the legislature regarding the implementation of the pay equity compliance requirements for state contractors in this act.

Section 6. Effective Date. Makes the temporary certificate of compliance in section 4 effective January 1, 2008, and applicable to contracts for which solicitations are issued on or after that date.

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