OSA Weekly Update - 12/5/2025
1. Message from Auditor Blaha
2. Relief Associations: Economic Interest Statements
3. TIF: Deadline Reminders
4. Avoiding Pitfall: Use of Gift Cards by Local Government Entities
1. Message from Auditor Blaha
On Thursday, Minnesota Management and Budget (MMB) released the November budget and economic forecasts. The topline figures project a surplus of nearly $2.5 billion in the current budget cycle, followed by a potential shortfall approaching $3 billion by 2029. But Minnesota’s state budget forecast is more than just the state’s bottom line — it also includes data that can be useful as you plan your local budgets.
If you visit MMB’s forecast page, you can review trends in inflation, wage growth, consumer spending, and other key metrics that inform the state’s budget decisions. I like to start with the presentation document to get the topline insights, then move on to the full report for more detail.
Happy forecasting!
2. Relief Associations: Economic Interest Statements
Every year, each fire relief association board member and chief administrative officer is required to complete a Statement of Economic Interest. The Statement must be filed with the chief administrative officer of the relief association and be made available for public inspection.
The chief administrative officer of a relief association must also submit a Certified Listing of Individuals Who Filed a Statement of Economic Interest form to the Campaign Finance and Public Disclosure Board by January 15, 2026. This form must list all individuals who have filed Statements of Economic Interest with the relief association for the preceding 12 months, along with the address of the office at which the statements are available for public inspection.
The Statement of Economic Interest and Certified Listing of Individuals Who Filed a Statement of Economic Interest forms are available in the Pension Forms section of our website under the “Current Forms” heading.
3. TIF: Deadline Reminders
For authorities using TIF that were required to decertify a district under the Six-Year Rule due to tax increment collections for taxes payable through 2025, note that the decertification is required to be made by resolution and communicated to the county auditor no later than the final settlement date of January 25. This deadline applies when the decertification requirement was not deferred by a qualifying pay-as-you-go (PAYG) note. If the required decertification under the Six-Year Rule was deferred by a qualifying PAYG note, decertification and notification of the county auditor is due by December 31. Make and communicate any such decertification's as soon as possible.
For more information, see our Statement of Position: TIF Five-Year Rule and Six-Year Rule. Our website also has videos on the Six-Year Rule.
4. Avoiding Pitfall: Use of Gift Cards by Local Government Entities
The increasing popularity of gift card use by local government entities raises both legal and internal control issues.
Legal issues include the lack of authority to use gift cards as a method of distributing public funds, and the analysis by the Minnesota Attorney General that because “gifts” lack consideration they violate the State Constitution which requires a public purpose for all public expenditures.
Internal control issues arise because the cash equivalent nature of gift cards can make their handling, dissemination and use difficult to trace increasing the opportunity for theft and misuse.
The Office of the State Auditor has prepared the Use of Gift Cards Statement of Position discussing these and other issues related to gift cards use by local governments.
We urge local units of government considering the use of gift cards to consult with their legal counsel as well as their internal or external auditor.
The full Avoiding Pitfall is available on the OSA website.