HF1280

Purpose

• The bill authorizes state financial support to expand Bloomington’s sewer system. It aims to increase sanitary sewer capacity in north central Bloomington (including the Penn American District) by funding design, construction, and equipment for improvements, and it provides a mechanism to finance these costs through state bonds.

Main Provisions

• Subdivision 1 – Appropriation: $13,000,000 is appropriated from the bond proceeds fund to the Public Facilities Authority (PFA) as a grant to the city of Bloomington. The grant is for designing, constructing, and equipping sanitary sewer improvements to meet increased capacity needs in the specified area.
• Subdivision 2 – Bond Sale: To provide the appropriated money, the Commissioner of Management and Budget must issue state bonds totaling up to $13,000,000. The bonds are to be issued under the authority of Minnesota statutes sections 16A.631 to 16A.675 and in accordance with Constitution Article XI sections 4 to 7.

Significance and Changes to Existing Law

• Creates a new capital investment project funded by bond proceeds to support municipal sewer infrastructure in Bloomington.
• Establishes a grant from the bond proceeds fund to the city of Bloomington via the Public Facilities Authority for infrastructure improvements.
• Requires the state to issue bonds up to $13,000,000 to finance the project, following existing state bonding statutes and constitutional provisions.

Practical Effects

• Bloomington would receive state support to upgrade its sanitary sewer system, enabling greater capacity and potentially supporting future development in the North Central Bloomington area.
• The project finances are backed by state bonds, which will be repaid over time as authorized by state law.

Relevant Terms - sanitary sewer improvements - capacity - north central Bloomington - Penn American District - grant - Public Facilities Authority (PFA) - bond proceeds fund - appropriation - design, construct, and equip - capital investment - state bonds - bond sale - Minnesota Statutes 16A.631 to 16A.675 - Minnesota Constitution Article XI, sections 4-7