[ST. PAUL, MN] – Governor Tim Walz today announced his Administration has formally begun a process to determine whether to restructure the Department of Human Services (DHS). The Administration today launched a competitive search for an outside expert to do an independent review of DHS and to recommend whether restructuring the agency would improve efficiency, accountability, and delivery of services.

“As Governor, it is my responsibility to ensure that Minnesotans receive the services they need in an efficient, accountable manner,” Governor Walz said. “As my Administration surfaces issues at the Department of Human Services that have been going on for years, we must dig deeper to find the root of these problems. That is why we need an outside expert to take an independent look at DHS and recommend whether breaking up the agency would improve efficiency, increase accountability, and better serve Minnesotans.”

“People need to be at the center of every decision we make. The Department of Human Services ensures Minnesotans across the state can live full lives,” Lieutenant Governor Peggy Flanagan said. “We need everyone in the discussion to determine how we can increase accountability and improve trust both with taxpayers in Minnesota and with the 1.2 million people the agency serves.”

In the past two weeks, DHS Commissioner Jodi Harpstead has testified before the legislature about her first 90 days overseeing the agency and laid out her vision for the future of the department. She outlined the specific actions the department is taking to help correct and prevent process issues. The commissioner also announced the creation of the Commissioner’s Advisory Panel, which will be co-chaired by former Medtronic CEO and Chairman Bill George and include legislative leaders. This panel will review progress and advise the commissioner on issues including process controls, organizational structure, management team development, and department culture.

“There is nothing more important for the Minnesota Department of Human Services than to be trustworthy for the people of Minnesota – the over 1 million people we support to live in community and all taxpayers,” Commissioner Harpstead said. “That is why we are taking action to improve that trust while ensuring DHS is helping Minnesotans live better, fuller lives across the state.”

The Governor’s Office, in collaboration with DHS Leadership, is engaging the external expert, Public Sector Consultants (PSC), to conduct research and determine the needs and focus areas of a third-party review of the agency. From the information gathered, PSC will create a scope of work for prospective consultants seeking to conduct the review, which will include the following:

• Reviewing DHS’ organizational structure, internal monitoring and controls, management structure, reporting practices, and alignment with federal requirements

• Comparing the Minnesota DHS with agencies in other states that perform decentralized program delivery through counties

• Making specific recommendations for the future structure of the agency, including reorganization, if necessary

• Reporting directly to the Governor’s Office and DHS Leadership

The Governor’s Office and DHS Leadership intend to use this information to determine the scope for this third-party review in February 2020.