JANUARY 15, 2002 02-03
Financial Audit Division
The Office of the Legislative Auditor (OLA) is a professional, nonpartisan office in the
legislative branch of Minnesota State government. Its principal responsibility is
to audit and evaluate the agencies and programs of state government (the State
Auditor audits local governments).
OLA's Financial Audit Division annually audits the state's financial statements and, on
a rotating schedule, audits agencies in the executive and judicial branches of state
government, three metropolitan agencies, and several "semi-state" organizations. The
division also investigates allegations that state resources have been used
inappropriately.
The division has a staff of approximately fifty auditors, most of whom are CPAs. The
division conducts audits in accordance with standards established by the American
Institute of Certified Public Accountants and the Comptroller General of the United States.
Consistent with OLA's mission, the Financial Audit Division works to:
· Promote Accountability, · Strengthen Legislative Oversight, and
· Support Good Financial Management.
Through its Program Evaluation Division, OLA conducts several evaluations each year
and one best practices review.
OLA is under the direction of the Legislative Auditor, who is appointed for a six-year term by the Legislative Audit Commission (LAC). The LAC is a bipartisan commission of Representatives and Senators. It annually selects topics for the Program Evaluation Division, but is generally not involved in scheduling financial audits.
All findings, conclusions, and recommendations in reports issued by the Office of the Legislative Auditor are solely the responsibility of the office and may not reflect the views of the LAC, its individual members, or other members of the Minnesota Legislature.
This document can be made available in alternative formats, such as large print, Braille, or audio tape, by calling 651-296-1727 (voice), or the Minnesota Relay Service at 651-297-5353 or 1-800-627-3529. All OLA reports are available at our Web Site: http:// www. auditor. leg. state. mn. us
If you have comments about our work, or you want to suggest an audit, investigation, evaluation, or best practices review, please contact us at 651-296-4708 or by e-mail at auditor@ state. mn. us
OFFICE OF THE LEGISLATIVE AUDITOR State of Minnesota ° James Nobles, Legislative Auditor
January 10, 2002
Senator Ann H. Rest, Chair Legislative Audit Commission
Members of the Legislative Audit Commission
The Honorable Jesse Ventura, Governor
We have completed a special review of bartering arrangements entered into by state agencies. The objective of the review was to provide a report on the type and value of each agency's bartering agreements as required by Laws of Minnesota (2001), First Special Session, Chapter 10, Section 38, Subd. 1.
Providing an accounting of bartering arrangements was challenging, because these transactions are not recorded on the state's accounting system or otherwise inventoried in any systematic manner. We hope this report provides relevant information for decision-makers on the magnitude of this type of activity.
This report is intended for the information of the Legislature and the Governor. This restriction is not intended to limit the distribution of this report, which was released as a public document on January 15, 2002.
/s/ James R. Nobles /s/ Claudia J. Gudvangen
James R. Nobles Claudia J. Gudvangen, CPA Legislative Auditor Deputy Legislative Auditor
Room 140, 658 Cedar Street, St. Paul, Minnesota 55155-1603 ° Tel: 651/ 296-4708 ° Fax: 651/ 296-4712 E-mail: auditor@ state. mn. us ° TDD Relay: 651/ 297-5353 ° Website: www. auditor. leg. state. mn. us
Special Review: State Agency Barter Arrangements
Table of Contents
Page Background 1
Methodology 1
Conclusions 2
Bartering Arrangements:
Department of Administration 3
Department of Agriculture 3
Board of Social Work 4
Campaign Finance & Public Disclosure Board 4
Center for Arts Education 4
Department of Children, Families & Learning 4
Department of Corrections 4
Department of Employee Relations 6
Department of Human Services 6
Iron Range Resources and Rehabilitation Board 7
Department of Military Affairs 8
Minnesota State Lottery 8
Minnesota State Colleges and Universities 11
Minnesota Zoological Gardens 17
Department of Natural Resources 17
Ombudsman for Crime Victims 19
Pollution Control Agency 20
Sentencing Guidelines Commission 20
Department of Transportation 20
Veterans Home Board 21
Appendix I. Entities With No Reported Bartering Arrangements 23
The following members of the Office of the Legislative Auditor prepared this report:
Claudia Gudvangen, CPA Deputy Legislative Auditor Patrick Phillips, CPA Senior Auditor
Ching-Huei Chen Auditor
Background
State agencies generally buy goods and services with money. However, some agencies obtain goods and services through barter arrangements. Because there is no monetary exchange, the
transactions are not recorded in the state's accounting records and there has been limited information available about the type and magnitude of these activities.
Laws of Minnesota (2001), First Special Session, Chapter 10, Section 38, Subd. 1, directed the Office of the Legislative Auditor to report on the use of barter arrangements by state agencies.
Specifically, the law provided:
By January 15, 2002, the legislative auditor shall report to the legislature and governor on agency use of barter agreements in furtherance of an agency's
mission. The report shall list the type and approximate value of each agency's agreement or agreements.
Subdivision 2 of Chapter 10, Section 38, restricts state agencies from entering into bartering agreements valued at more than $100,000 with non-governmental entities after July 1, 2002, unless specifically authorized by law. The Minnesota State Lottery is exempted from this restriction.
Methodology
We asked state agencies to complete a survey form describing their involvement in bartering activities and estimating the value of the arrangements. We focused on fiscal years 2000, 2001,
and the first two months of fiscal year 2002. We told the agencies to use a broad definition of "barter," specifying that it should include any trade of goods and/ or services for goods and/ or
services, without an exchange of money. We also asked the agencies whether they had a written agreement with the other party to the arrangement. We received responses from all of the
executive branch agencies, or components of agencies, that we surveyed. The following table provides information on bartering arrangements reported for 20 state agencies. Appendix I identifies the 69 state agencies with no reported bartering activities.
We note the following regarding the information provided in the table:
Because barter arrangements are not recorded or reported in any systematic manner, our accounting is based on self-reporting by the state agencies. Also, because there is not a
standard well-understood definition of barter, it is probable that there are inconsistencies in the reported data. Some agencies may have reported certain arrangements that other
agencies would not consider to be barter. We reviewed the information reported for reasonableness and, in some cases, discussed a barter arrangement with agency staff.
However, we did not otherwise attempt to independently ensure the completeness of the reported information.
Some agencies reported fairly detailed information on individual barter arrangements, while other agencies provided a more general description of the types of arrangements they were party to. The fact that the table may show numerous entries for one agency and more limited information for another agency does not necessarily represent the magnitude of bartering engaged in by the agencies. Some agencies were able to provide an estimate of the value of the goods or services obtained or provided through barter arrangements. However, other agencies said the value of the arrangements was unknown.
Conclusions
It was not our objective in this review to reach a conclusion on the propriety of individual barter arrangements or on the use of barter generally. However, in some cases, the reported
information does raise questions that we will pursue in subsequent audits of these entities. For example, as a general rule, we believe that if a state agency engages in bartering activities, it
should have a written agreement with the other party so that all expectations regarding the arrangement, and the responsibilities of the various parties, are clear. Similarly, we think
agencies should have records or an inventory of the various bartering arrangements.
Special Review:
State Agency Barter Agreements
Department of Administration
The department’s arrangements consisted primarily of sharing resources in exchange for fiber optic/network capacity and maintenance of property. In addition, the department initiated contracts, primarily land use agreements, for other state agencies. The department prepared contracts for the Department of Corrections (for facilities in Lino Lakes, Rush City, Shakopee, and St. Cloud) and the Department of Human Services (for the Regional Treatment Centers in Anoka and Fergus Falls). The department also prepared contracts for the Iron Range Resources & Rehabilitation Board, the Department of Transportation, and the Veterans Homes Board. The agreements negotiated by the department for these other agencies are listed under the agencies receiving the goods or services.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
Central MN Distance Learning Network |
Use of network video equipment |
$37,000/yr |
Fiber optic capacity |
$37,000/yr |
Yes |
00 |
Central MN Distance Learning Network |
Network management services |
$15,000/yr |
Surplus network capacity |
$15,000/yr |
Yes |
00-01 |
UCN Connecting MN Project |
206 miles of freeway right-of-way |
Unknown |
175 miles fiber optic use with 96 strands, 31 miles, 2-10 conduits |
Unknown |
Yes |
01-02 |
Catholic Charities |
Use of 500 square feet of land |
Unknown |
Control of differing elevations at common property line and maintenance of property |
Unknown |
Yes |
00-03 |
US West Communications |
Non-exclusive use of 239 square feet of space for remote switch module |
Unknown |
Provision of and maintenance of equipment to meet communication needs |
Unknown |
Yes |
Department of Agriculture
The department’s arrangements consisted primarily of sharing staff and equipment for cooperative work projects and training.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
U. S Food and Drug Administration |
Space, supervision, and equipment usage |
$51,686 |
1.5 full time equivalent staff performing lab work |
$150,000 |
Yes |
02 |
U.S. Department of Agriculture |
Work/inspection of slaughter or meat processing plants under federal jurisdiction |
$35,000 |
Work/inspection of slaughter or meat processing plants under state jurisdiction |
$35,000 |
Yes-pending |
00-02 |
Pollution Control Agency |
Dairy inspectors assist dairy farmers to comply with MPCA’s feedlot rules |
$6,000 |
Training to MDA dairy inspectors on feedlot issues |
$22,500 |
Yes |
00-02 |
University of Minnesota |
Non-paid student internship |
Unknown |
Assistance in grants project |
$5,000 |
No |
Board of Social Work
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
Board of Dentistry |
Technical assistance by system administrator |
$6,607 |
Use of database server |
$6,607 |
Yes |
Campaign Finance & Public Disclosure Board
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Legislative Auditor |
N/A |
Internet and e-mail access through OLA |
$432/yr |
No |
Center for Arts Education
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
City of Golden Valley |
Old football field |
Unknown |
Conversion to soccer field |
Unknown |
Yes |
Department of Children, Families & Learning
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Department of Natural Resources |
Support services |
Unknown |
Aquatic education specialist providing educational programming for youth |
Unknown |
Yes |
Department of Corrections
The commissioner of Corrections is authorized by statute to permit social service, educational or rehabilitation agencies to utilize facilities, staff, and other resources of the correctional facilities. The commissioner is also empowered to lease buildings for business or commercial enterprises deemed to be consistent with the proper training and rehabilitation of inmates. Arrangements that have written agreements were negotiated through the Department of Administration.
Lino Lakes Correctional Facility
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01-05 |
MN High Technology Foundation |
Use of 8,400 square feet of space |
Unknown |
Vocational training for inmates |
Unknown |
Yes |
02-05 |
Stillwater Systems, Inc |
Use of 2,800 square feet of space |
Unknown |
Vocational training for inmates |
Unknown |
Yes |
Rush City Correctional Facility
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
2 Farmers |
Use of 84.5 acres of land |
$2,100 |
Weed control and maintenance |
$2,100 |
Yes |
Shakopee Correctional Facility
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01-02 |
University of Minnesota |
Use of 1,100 square feet of land |
Unknown |
Gardens and services for community |
Unknown |
Yes |
St. Cloud Correctional Facility
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-05 |
Joint Powers Board |
Use of 2 residences for juvenile detention |
Unknown |
Services for community |
Unknown |
Yes |
00-05 |
City of St. Cloud |
Use of 60 acres of land |
Unknown |
Nordic trail for the public |
Unknown |
Yes |
Stillwater Correctional Facility
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
Washington County |
Land to dump snow |
Unknown |
Parking lot sweeping equipment |
Unknown |
No |
Department of Employee Relations
The department reported arrangements that involved sharing space and services with other state agencies.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01-02 |
Department of Finance |
Classroom for training |
Unknown |
Office space |
Unknown |
No |
01-02 |
Minnesota Planning |
Library materials for other agency use |
Unknown |
Library space and services |
$22,000 |
No |
Department of Human Services
The department’s bartering arrangements primarily involve use of land at various facilities. Arrangements with written agreements were negotiated through the Department of Administration.
Anoka Metro Regional Treatment Center
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Anoka Hennepin Technical College |
Storage of lawn mower and lawn equipment |
$200 |
Use of mower and equipment |
$150 |
No |
00-02 |
Dept. of Transportation |
Lawn mowing |
$75 |
Road maintenance |
$100 |
No |
00-02 |
City of Anoka |
Use of 7 acres of land |
Unknown |
Community recreational program and maintenance of property |
$190 |
Yes |
01-03 |
Charlie Peterson Community Gardens |
Use of 615,000 square feet of land |
Unknown |
Community garden and maintenance of property |
Unknown |
Yes |
02-06 |
City of Anoka |
Use of 290,000 square feet of land |
Unknown |
Playground for the public and maintenance of property |
Unknown |
Yes |
00-04 |
Brainerd Lakes BMX Association |
Use of 122,500 square feet of land |
Unknown |
Recreational facility for youth and maintenance of property |
Unknown |
Yes |
Fergus Falls Regional Treatment Center
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-03 |
City of Fergus Falls |
Use of building and land for solid waste incinerator plant |
Unknown |
Minimization of landfill use and the ability to utilize steam generated |
Unknown |
Yes |
00-02 |
Minnesota Public Radio |
Antenna site |
Unknown |
Communication to the public |
Unknown |
Yes |
St. Peter Regional Treatment Center
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Department of Transportation |
Plowing, weed whip guardrails, building usage, and staffing |
Unknown |
Salt and sand, road sweeping, repair, materials, and equipment |
Unknown |
No |
Extended Treatment Options
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Red Cross |
Storage space for teaching materials |
$1,890 max |
Training pamphlets, videos, and CPR classes |
$600 -$3,000 |
No |
Iron Range Resources and Rehabilitation Board
This arrangement was negotiated through the Department of Administration.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
||||||
00-04 |
Friends of the IRIC, Inc. |
1,025 square feet of space |
Unknown |
Memorial exhibit to the late Governor Rudy Perpich at Ironworld |
Unknown |
Yes |
Department of Military Affairs
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-01 |
City of Minneapolis |
Use of 12 classrooms |
$1,080 |
Access to meetings for National Guard |
Unknown |
No |
00-01 |
Minneapolis ISD |
Use of drill floor space |
$300 |
Snow removal |
$500 |
No |
00-01 |
Patrick Henry School |
Use of drill floor space |
$300 |
Recruiting display space |
$300 |
Yes |
00-01 |
City of Minneapolis |
Use of drill floor space |
$300 |
Parking lot striping |
$800 |
No |
00-01 |
City of Thief River Falls |
Use of drill floor space |
$250 |
Forklift/bucket truck use |
$250 |
No |
00-01 |
City of Hastings |
Use of drill floor space |
$180 |
Parking lot sweeping and sanding |
$250 |
No |
Minnesota State Lottery
The use of barter is a significant aspect of the overall marketing strategy at the Minnesota State Lottery. The arrangements involve numerous television and radio stations, as well as lottery retailers and other for-profit entities. The values reported are the approximate retail value of the goods provided and received and do not include any value attributable to increased lottery sales or goodwill.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
Lottery retailers statewide |
Lottery merchandise |
$425,000 |
Merchandise, promotional media, and signage |
$600,000 |
No |
01 |
Lottery retailers statewide |
Lottery merchandise |
$386,000 |
Merchandise, promotional media, and signage |
$523,000 |
No |
01-02 |
Hubbard Broadcasting |
Powerball – The Game Show |
Unknown |
23 minutes air time Saturday |
$90,000/yr |
Yes |
01-02 |
KBJR-TV Duluth |
Powerball – The Game Show |
Unknown |
23 minutes air time Saturday |
$31,000/yr |
Yes |
01-02 |
KTTC-TV Rochester |
Powerball – The Game Show |
Unknown |
23 minutes air time Saturday |
$31,000/yr |
Yes |
00-02 |
Approximately 68 cable television networks |
Environmental Journal Show |
Unknown |
30 minutes of air time, approximately 183 times per year on cable access |
$1.4-$1.9 million/yr |
Yes |
00-02 |
Approximately 56 radio stations |
Environmental Journal Show |
Unknown |
2 minutes of air time at least once a week on each station |
$200,000/yr |
Yes |
00-02 |
Approximately 70 radio stations |
Players Spotlight Radio Show |
Unknown |
2 minutes of air time approximately once a day on each station |
$511,000/yr |
Yes |
00 |
Rainbow Foods (Whirlwind Promotion) |
Lottery tickets, merchandise, and special point of sale signage |
$115,000 |
Merchandise, promotional media, and signage |
$441,000 |
No |
00 |
Cub Foods (Ribfest) |
Lottery tickets and merchandise |
$59,000 |
Promotional media and merchandise |
$9,000 |
No |
01 |
Cub Foods (Spamtastic Promotion) |
Lottery tickets, merchandise, and sports events tickets |
$59,000 |
Promotional media and merchandise |
$6,000 |
No |
00 |
Cub Foods (Women’s Expo) |
Lottery merchandise |
$22,000 |
Booth space |
$1,000 |
No |
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
Women’s Expo |
Lottery tickets and merchandise |
$22,000 |
Booth space, promotional media, and signage |
$1,000 |
No |
02 |
Kraus (Clerk Incentive) |
Lottery tickets and merchandise |
$6,000 |
Merchandise |
$5,500 |
No |
00 |
Tom Thumb (Crossword Sales Incentive) |
Lottery tickets and merchandise |
$4,000 |
Merchandise |
$10,000 |
No |
01 |
Oasis Market |
Lottery tickets and sports events tickets |
$3,700 |
Merchandise |
$2,000 |
No |
00 |
Little Stores (Gopher 5 Promo) |
Lottery tickets |
$500 |
Merchandise, promotional media, and signage |
$2,000 |
No |
01 |
Little Stores (Rolldown Incentive) |
Lottery tickets |
$2,700 |
Merchandise, promotional media, and signage |
$4,000 |
No |
02 |
Little Stores (Bayfront Blues) |
Lottery tickets, merchandise, and special point of sale signage |
$2,200 |
Promotional media and merchandise |
$2,500 |
No |
02 |
Little Stores (Good Neighbor Promo) |
Lottery tickets |
$2,000 |
Promotional media and merchandise |
$15,000 |
No |
00 |
Cenaiko Sports Trade Show |
Lottery tickets, merchandise, and special point of sale signage |
$14,150 |
Promotional media and booth space |
$31,000 |
No |
01 |
Super America (Cabin Fever Days Promo) |
Lottery tickets and merchandise |
$2,400 |
Promotional media and merchandise |
$700 |
No |
01 |
Econo Foods (Be a Wealthy Wabbit Promo) |
Lottery tickets and merchandise |
$1,500 |
Promotional media and merchandise |
$4,600 |
No |
00 |
Pioneer Press (State Fair) |
Lottery tickets |
$5,000 |
Promotional media and signage |
$56,000 |
No |
01 |
Star Tribune (.com promo) |
Lottery tickets |
$1,500 |
Promotional media |
$1,400 |
No |
02 |
Star Tribune (Gopher the Buck Auto Promo) |
Lottery tickets |
$12,000 |
Promotional media |
$172,000 |
No |
00 |
Little Falls Arts and Craft Fair |
Lottery merchandise |
$11,100 |
Promotional media and booth space |
$400 |
No |
01 |
Little Falls Arts and Craft Fair |
Lottery merchandise |
$7,400 |
Promotional media and merchandise |
$400 |
No |
02 |
Little Falls Arts and Craft Fair |
Lottery merchandise |
$7,300 |
Promotional media and booth space |
$400 |
No |
02 |
Country Music WE Fest |
Lottery tickets and merchandise |
$7,000 |
Merchandise |
$53,000 |
No |
00 |
Richmond River Days |
Lottery tickets and merchandise |
$5,000 |
Promotional media and booth space |
$1,500 |
No |
01 |
Richmond River Days |
Lottery tickets and merchandise |
$4,800 |
Booth space, promotional media, and signage |
$1,500 |
No |
02 |
Richmond River Days |
Lottery tickets and merchandise |
$6,700 |
Merchandise, promotional media, and signage |
$2,000 |
No |
02 |
Waseca County Fair |
Lottery tickets |
$800 |
Merchandise, promotional media, and signage |
$5,000 |
No |
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
Marshall Ford (Auto Armory Sale) |
Lottery tickets and merchandise |
$3,000 |
Promotional media and merchandise |
$21,000 |
No |
00 |
Kato |
Lottery tickets and sports events tickets |
$3,000 |
Promotional media |
$4,000 |
No |
02 |
Kato |
Lottery tickets and merchandise |
$1,600 |
Promotional media |
$6,500 |
No |
02 |
Kato (Trucker Appreciation Days) |
Lottery tickets |
$100 |
Promotional media |
$500 |
No |
01 |
KFAN (Bobblehead sponsor) |
Lottery merchandise |
$20,000 |
Promotional media |
$225,000 |
Yes |
01 |
KTTC-TV (Wheel Deal) |
Lottery tickets and merchandise |
$12,000 |
Promotional media |
$42,000 |
No |
01 |
KTTC-TV (Powerball) |
Lottery tickets and merchandise |
$1,200 |
Promotional media and merchandise |
$14,000 |
No |
02 |
KTTC-TV (Wheel Deal) |
Lottery tickets and merchandise |
$10,000 |
Promotional media |
$42,000 |
No |
02 |
KTTC-TV (Drawing Station Promo) |
Lottery tickets and tickets to sporting events |
$800 |
Promotional media |
$5,000 |
No |
02 |
KXLP/KYSM |
Lottery tickets and merchandise |
$5,800 |
Promotional media |
$15,000 |
No |
02 |
KSTP-TV (Saints Promo) |
Lottery tickets |
$3,200 |
Promotional media and merchandise |
$72,000 |
No |
00 |
KYMN (Let’s Light Up Northfield) |
Lottery tickets |
$2,500 |
Promotional media |
$4,000 |
No |
01 |
KYMN (Let’s Light Up Northfield) |
Lottery tickets and merchandise |
$2,800 |
Promotional media |
$4,000 |
No |
00 |
KTOE |
Lottery tickets |
$2,400 |
Promotional media, and merchandise |
$12,000 |
No |
02 |
KTOE |
Lottery tickets |
$2,400 |
Merchandise, promotional media, and signage |
$15,000 |
No |
02 |
KXLP |
Lottery tickets |
$2,400 |
Promotional media |
$56,000 |
No |
01 |
KEYC-TV |
Lottery tickets |
$500 |
Promotional signage |
$100 |
No |
01 |
KDJS Radio |
Lottery tickets |
$2,000 |
Merchandise, promotional media, and signage |
$32,000 |
No |
02 |
KDJS Radio |
Lottery tickets |
$2,000 |
Promotional media |
$13,000 |
No |
00 |
KBJR (Millennium Promo) |
Lottery tickets |
$2,000 |
Merchandise, promotional media, and signage |
$11,000 |
No |
00 |
KLGR (Home Show) |
Lottery tickets |
$600 |
Promotional media and signage |
$5,000 |
No |
01 |
KLGR (Home Show) |
Lottery tickets |
$600 |
Promotional media and signage |
$4,700 |
No |
00 |
KMHL (Millennium Promo) |
Lottery tickets |
$2,000 |
Promotional media and signage |
$4,000 |
No |
02 |
KROC (Sandy Point Car Classic) |
Lottery tickets |
$1,600 |
Promotional media and merchandise |
$10,000 |
No |
00 |
KRUE/KOWO (Waseca County Fair) |
Lottery tickets |
$1,000 |
Merchandise, promotional media, and signage |
$8,000 |
No |
01 |
KRUE/KOWO (Waseca County Fair) |
Lottery tickets |
$1,000 |
Merchandise, promotional media, and signage |
$5,600 |
No |
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
KARP |
Lottery tickets |
$1,000 |
Promotional media |
$5,000 |
No |
01 |
KWWK (Powerball Game Call-in) |
Lottery tickets |
$200 |
Promotional media |
$1,000 |
No |
01 |
KWNG (2nd Annual Summer Fun Giveaway) |
Lottery tickets |
$1,500 |
Promotional media |
$18,000 |
No |
02 |
KWNG (3rd Annual Summer Fun Giveaway) |
Lottery tickets |
$1,500 |
Promotional media and merchandise |
$18,000 |
No |
01 |
MSC (U of M sponsor) |
Lottery tickets and merchandise |
$350 |
Promotional media and merchandise |
$1,300 |
No |
01 |
MSC (Bobblehead sponsor) |
Lottery merchandise |
$3,200 |
Promotional media |
$125,000 |
Yes |
01 |
WJJY (4th of July Parade) |
Lottery tickets |
$1,000 |
Promotional media |
$6,000 |
No |
02 |
WJJY (4th of July Parade) |
Lottery tickets |
$1,000 |
Promotional media |
$6,000 |
No |
00 |
RK Radio Network |
Lottery tickets |
$650 |
Promotional media |
$6,500 |
No |
01 |
Rochester Radio Group |
Lottery tickets |
$200 |
Promotional media and merchandise |
$1,300 |
No |
Minnesota State Colleges and Universities (MnSCU)
The MnSCU institutions enter into various arrangements for goods and services, primarily relating to the use of space on the campuses. Two state universities also have arrangements with for-profit entities for goods or services in support of athletic programs. In addition to the arrangements shown, institutions said they had agreements with both profit and non-profit organizations to provide academic learning to students in exchange for work provided by the students.
Anoka Hennepin Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
02 |
Mate Precision Tooling |
Training |
$5,000 |
In kind and resource support |
$5,000 |
No |
Dakota Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
City of Eagan |
2 police cars |
$7,400 |
Future training |
$7,400 |
Yes |
Hibbing Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
High School |
Use of football field |
$6,000 |
Maintenance (mowing, repair, striping, seeding) of football field |
$6,000 |
Yes |
Inver Hills Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00 |
Dakota County |
Landscaping/technical assistance for Inver Glen Library |
$25,460 |
Orientation parking overflow |
$433/yr |
Yes |
00-02 |
Dakota County |
Snow removal, sanding of parking lot, mowing, landscaping |
$11,870/yr |
Signage |
$25,000 |
Yes |
Itasca Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Kootasca Inc./Kids Inc. |
Space, including the utilities and cleaning |
$17,000 |
Childcare services for students |
$20,000 |
Yes |
02 |
Blandin Paper Co |
Priority training for Blandin Paper Co. |
$10,000 |
Space downtown, including utilities |
$20,000 |
Yes |
Metro State University
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
St. Paul Police |
Parking for patrol cars |
Unknown |
Increased Police Department visibility for security |
Unknown |
No |
Minneapolis Community and Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
St. Mary’s Basilica |
Ramp parking on Sundays |
$15,000 |
Basilica allows Martin Luther King celebration |
$15,000 |
No |
00-02 |
Children’s Dental Services |
3,000 square feet of space for clinic |
$31,500 |
Dental oversight/management to dental students |
$31,500 |
Yes |
Minnesota State University, Mankato
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Department of Transportation |
Free use of large tree spade |
Unknown |
Salt/sand for streets at no charge |
Unknown |
No |
00-02 |
South Central Technical College |
Off-site storage of computer backup tapes for SCTC |
Unknown |
Off-site storage of computer backup tapes for MSU,M |
Unknown |
No |
00-02 |
Numerous car dealerships |
A small number of free tickets to athletic events |
Unknown |
Free use of vehicles for athletic coaches to use during season and for recruiting |
Unknown |
No |
Minnesota State College-Southeast Technical
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
State Workforce Center |
Office Space |
$350,000 |
Remodeled space and co-location of a collaborative partner |
$350,000 |
Yes |
00-02 |
Nonprofit |
Space and facility rent and reduction costs for day care providers |
$5,000 |
Vouchers and services to students at reduced costs |
$7,500 |
Yes |
North Hennepin Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-01 |
Chamber of Commerce |
As available classroom seats for continuing education and contract training |
Unknown |
Advertising in Chamber of Commerce publications |
N/A |
No |
01-02 |
Concordia College |
Space for class |
Minimal |
Promotion of NHCC Business ASAP Program |
minimal |
No |
Northwest Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
School Districts |
Room usage at college |
$2,000 |
Room usage at school districts |
$2,000 |
No |
Rainy River Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
School Districts |
Use of theater, softball field, gym |
$6,000 |
Use of weight room, football stadium |
$6,000 |
Yes |
00-02 |
Holiday Inn |
Folding chairs, podium |
$3,000 |
Free use of banquet facilities |
$3,000 |
No |
Riverland Community College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
School districts |
Space for television station |
$25,000 |
Technical consultant |
$25,000 |
Yes |
00-02 |
City of Austin |
Baseball field land |
Unknown |
Building and maintenance of fields |
$180,000 |
Yes |
Rochester Community and Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Civic League Day Nursery |
Buildings and equipment for day care center |
$50,000/yr |
Convenient, low cost day care services for students/staff |
$20,000/yr |
Yes |
00-02 |
City of Rochester |
Use of parking lots, sports fields |
$10,000-$20,000/yr |
Maintain land/sports fields |
$10,000-$20,000/yr |
Yes |
00-02 |
School District #535 |
Use of college bleachers at high school for football and soccer games |
$2,000-$3,000/yr |
RCTC football team uses high school field for home games |
$2,000-$3,000/yr |
No |
00-02 |
School District #535 |
Facilities for training sessions |
$100/yr |
Employees attend sessions free |
$100/yr |
No |
00-02 |
Department of Transportation |
Use of facilities for meetings/training sessions |
$100/yr |
Sand for roads and parking lots in winter |
$100/yr |
No |
00-02 |
U.S. Postal Service |
Facilities for training session |
$100/yr |
RCTC employees allowed to attend session for free |
$100/yr |
No |
South Central Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
City of North Mankato |
Use of softball fields |
$3,500 |
City maintains fields, including fertilizing, mowing, and refuse removal |
$3,500 |
No |
Southwest State University
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Southwest Area Multi-County Multi-Type Library |
450 square feet of office space |
$4,500 |
Individual to work at reference desk, 5 hours per week during fall and spring semesters |
$4,500 |
Yes |
St. Cloud State University
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Hotels, auto dealers, restaurants |
Athletic tickets, hospitality, parking passes |
$18,000 |
Cars, hotel rooms, meals, equipment for recruiting and fundraising |
$54,700 |
No |
00-02 |
Dept. of Transportation |
Training |
$15,000 |
Help upkeep of roads, vehicles |
$15,000 |
Yes |
00-02 |
School district #742 |
Facility use |
$5,000 |
Use district #742 athletic/recreation facilities |
$5,000 |
No |
00-02 |
City of St. Cloud |
Facility use |
$5,000 |
Parking space |
$5,000 |
Yes |
00-02 |
St. Cloud Area Economic Development Part. |
Supplies and printing of newsletter 3/year |
$3,454 |
Membership dues credit |
$3,454 |
No |
00-02 |
St. Cloud Catholic Diocese |
Use of SCSU challenge course |
$2,500 |
7 acres of land for challenge course |
$2,500 |
Yes |
00-02 |
United Way |
Supplies and printing of newsletter 3/year |
$600 |
Labor reimbursement |
$840 |
No |
00-02 |
WebCT |
WebCT campus partner |
Nominal |
WebCT campus edition |
$4,200 |
Yes |
00-02 |
Microsoft Exchange |
Higher education partner |
Nominal |
Microsoft Exchange client access license |
$45,000 |
Yes |
00-02 |
Schmitt Music |
Facility use, piano sale, and advertising |
Unknown |
Use of pianos and purchase discounts |
$70,000 |
Yes |
St. Cloud Technical College
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
St Cloud State University |
Room use |
$4,500 |
Shared equipment purchasing between institutions |
$37,000 |
No |
00-02 |
University of Minnesota |
Classroom use |
$3,600 |
Local instructors attend classes |
Unknown |
Yes |
00-02 |
Central Lakes College |
Classroom use |
$960 |
None |
Unknown |
Yes |
00-02 |
MN Water Operators/MN Rural Water Associations |
Room use |
$960 |
Free registration for college instructors and students |
$7,800 |
No |
00-02 |
ARC St. Cloud |
Room use |
$640 |
Advertising |
$750 |
Yes |
00-02 |
ICAR |
Welding lab use |
$640 |
Free classes for college instructors |
$800 |
No |
00-02 |
Northstar Paint |
Room use |
$640 |
Paint, tools, equipment, and miscellaneous new products |
$4,115 |
Yes |
00-02 |
Penn State University |
Room use |
$480 |
Free registration for college instructors |
$1,100 |
Yes |
00-02 |
Providers Choice |
Room use |
$360 |
Advertising |
$750 |
Yes |
00-02 |
Minnesota Technology, Inc. |
Room use |
$160 |
Advertising |
$500 |
Yes |
00 |
Census 2000 |
Room use |
$120 |
Public relations |
Unknown |
Yes |
00-02 |
Boy Scouts |
Room use |
$80 |
Public relations |
Unknown |
Yes |
00-02 |
Reach Up/Head Start |
Room use |
$60 |
Contract for other rentals |
Unknown |
No |
00-02 |
Ron's Cabinet |
Room use |
$60 |
Public relations on future job skills grant |
Unknown |
Yes |
00-02 |
MN Society for Professional Surveyors |
Room use |
$360 |
Training for college instructors |
Unknown |
No |
Minnesota Zoological Gardens
The Minnesota Zoo offered admission tickets in exchange for radio advertisements to 50 radio stations throughout Minnesota, and to additional stations located in Iowa, North Dakota, South Dakota, and Wisconsin. The Zoo also had an arrangement with Northwest Airlines for airline travel.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
Radio stations |
Admission tickets |
$73,000 |
Radio commercials |
$73,000 |
Yes |
00-01 |
Northwest Airlines |
Northwest Airlines acknowledged as sponsor of the bird show |
$25,000 |
Credit in airfare for staff and board members |
$25,000 |
Yes |
00-02 |
Northwest Airlines |
Northwest Airlines acknowledged as sponsor of An Evening in the Tropics |
$20,000 |
4 round-trip tickets to Indonesia |
$20,000 |
Yes |
Department of Natural Resources
The department entered into a variety of barter arrangements through its various divisions. These included numerous cooperative-farming agreements with individuals or family farm corporations and other cooperative agreements with state organizations and local units of government.
Wildlife
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Individuals or family farm corporations |
Cooperative farming, including hay, pasture, salvage crops, etc. |
$155,072 (partial) |
Mowing, weed control, and miscellaneous services |
$99,532 (partial) |
141 of 152 |
Parks
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Individuals |
Cooperative farming, including hay, share of seed, etc. |
$23,040 |
Mowing, weed control, misc. services, etc. |
$47,650 |
8 of 11 |
Waters
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
Board of Soil and Water |
Meeting facilities and related services |
$5,000 |
Communications consultant |
$5,000 |
No |
Minerals
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Dept. of Transportation |
Equipment operator for gravel samples |
$2,000 |
Drill rig with auger and 50 ft. attachment |
$5,000 |
Yes |
Trails and Waterways
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Governmental and private organizations |
Use of equipment, operator and materials for accesses, fishing piers, and trails |
Unknown |
Maintenance by public or private organization |
Unknown |
Yes |
Forestry
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Dept. of Transportation |
16 DNR radio tower sites |
$24,000/yr |
20 MnDOT radio tower sites |
$30,000/yr |
Yes |
00-02 |
U. S. Forest Service and counties |
State forest roads used for forest management, including logging traffic |
Unknown |
U. S. Forest Service and county roads used by DNR for forest management |
Unknown |
Yes |
00-02 |
Individuals |
DNR land for crop production at reduced cost |
$3,200 |
Partial corn crop left on land for wildlife food |
$3,200 |
Yes |
00-02 |
Counties or townships (5-10) |
Road grading service |
$1,000-$5,000 |
Road grading service on state forest roads |
$1,000-$5,000 |
No |
Fisheries
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
02 |
State of Michigan |
None to date; fish exchange expected in future |
N/A |
3,000,000 fertilized Chinook salmon eggs |
$45,000 |
No |
00-02 |
U. S. Fish and Wildlife Service |
437,000 eyed lake trout eggs and walleye fry |
$15,940 |
120,000 stockable lake trout for Minnesota waters of Lake Superior |
$90,000 |
No |
00 |
Minnesota Muskie Farm |
Muskie fingerlings and yearlings |
$5,250 |
Tiger Muskie fingerlings and yearlings |
$5,250 |
No |
00-02 |
Leech Lake/White Earth Indian Reservations |
Walleye eggs |
$315,000 (3 years) |
In-kind services for rearing and stocking of walleye fry and fingerlings |
$375,000 (3 years) |
Yes |
00-02 |
University of Minnesota and Children, Families and Learning |
Aquatic education specialists to provide educational help and programs to youth |
$96,000 |
Office space, clerical support, and supplies |
$96,000 |
Yes |
00-02 |
Hennepin Parks |
Intern to provide programs at parks |
$3,700 |
Office space and supplies, use of park van, and workers’ compensation |
$3,500 |
Yes |
00-02 |
Local government or local fishing/conservation groups |
Purchase and installation of lake aeration systems (6/year) |
$21,500 per unit |
Operation and maintenance of the aeration system |
$2,500/yr |
Yes |
Enforcement
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
State agencies |
Instructors and training |
Unknown |
Tuition waivers |
$9,000-$12,000 |
No |
Ombudsman for Crime Victims
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
01 |
For profit |
Present an hour of training |
$100 |
Reduced conference registration fee |
$160 |
No |
Pollution Control Agency
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-01 |
Department of Natural Resources |
PCA’s Mini-boom fish shocking boat |
$8,000 |
DNR’s Mini-boom fish shocking boat |
$8,000 |
No |
00-01 |
Dakota County |
Master Entity System data for 200 sites |
$105 |
County data (including GIS) on sites down to parcel level |
$105 |
No |
Sentencing Guidelines Commission
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Department of Corrections |
Information on projected bed counts |
$5,000 |
Administrative Services |
$5,000 |
No |
Department of Transportation
The Department of Transportation engages in various bartering arrangements, primarily with cities and counties. These arrangements typically involve an exchange of services including use of equipment or storage of equipment and materials. However, the department does not maintain an inventory or other records of these arrangements. The department could not estimate the number or value of barter arrangements throughout the state. The first arrangement identified below was negotiated by the Department of Administration.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-04 |
Cellular Mobile Systems of St. Cloud |
Antenna site |
Unknown |
Use of tower for equipment placement |
Unknown |
Yes |
00-02 |
University of Minnesota |
Use of portable weigh scale site for research on pavement sensors |
$300,000 |
Construction of a 1-story building and electrical, water, sewer, and high-speed communication lines |
$300,000 |
Yes |
02 |
County |
Allow county to build a truck station on MnDOT property at MN/Road site |
$20,000/yr |
Maintenance services including snowplowing, sanding, mowing, and minor pavement maintenance at site |
$20,000/yr |
Yes (pend-ing) |
00-02 |
Cities and counties |
Various services such as equipment storage, salt storage, and equipment use |
Unknown |
Various services such as sand/salt delivery, street sweeping, snowplowing |
Unknown |
No |
Veterans Home Board
The first arrangement was negotiated by the Department of Administration.
FY |
Arrangement with |
Goods/Services Provided |
Value |
Goods/Services Received |
Value |
Written |
00-02 |
Lametti and Sons, Inc. |
Access to bluff to facilitate agreement with U.S. Army Corp of Engineers |
Unknown |
Construction of a new road and sidewalk on Minneapolis Veterans Home’s campus |
Unknown |
Yes |
00-02 |
Department of Veterans Administration Medical Center |
Space for clinical services |
$24,000 |
Nurse practitioner, clinical access, and educational services |
$24,000 |
Yes |