Minnesota Sells $74.98 Million in Certificates to Upgrade Technology
St. Paul – Minnesota Management & Budget Commissioner Tom Hanson announced today that the State of Minnesota sold $74.98 million of certificates of participation to fund a new statewide accounting and procurement system as well as the completion of the integrated tax system.
“A reliable and robust technology infrastructure is essential to delivering government services,” Commissioner Hanson said. “Today’s sale allows us to implement a new accounting and procurement system that will provide a stable technical infrastructure, better access to information for decision making, and greater efficiency.”
The certificates were sold through a competitive sale to J.P. Morgan Securities Inc. at a true interest rate of 2.85 percent.
The state’s current system, MAPS, was installed in 1995 and is used by all of state government, processing 1.2 million payments and 310,000 purchases every year. It is at risk of failure and increasingly incompatible with newer desktop computing and agency subsystem technology.
Completion of the Department of Revenue’s integrated tax system will streamline the process of collecting more than $17 billion in state revenues across 28 tax-types each year. With comprehensive tax information in a single system, the Revenue Department will be better able to respond to tax payer requests for services and information. Auditors will have better cross-tax information to help track down tax cheats, while collections staff will no longer need to train on multiple systems.
(from MN Management & Budget)