HF242

Purpose

This bill provides funding for infrastructure improvements in the city of Keewatin. It aims to upgrade water, sewer, and street systems by directing state money to Keewatin for a major project.

Main Provisions

• Subdivision 1 — Appropriation: The bill appropriates 5,500,000 dollars from the bond proceeds fund to the Commissioner of Employment and Economic Development. The money is for a grant to the city of Keewatin to design, construct, furnish, and equip the replacement and reconstruction of:
  • water mains
  • sanitary sewer lines
  • storm sewer systems
  • streets
• Subdivision 2 — Bond Sale: To fund the appropriation, the Commissioner of Management and Budget must sell and issue state bonds up to 5,500,000 dollars, following Minnesota law (sections 16A.631 to 16A.675) and the Minnesota Constitution (Article XI, sections 4 to 7).

What the Bill Seeks to Accomplish

• Provide a clear funding stream (bond proceeds) to upgrade Keewatin’s essential water, sewer, and street infrastructure.
• Use a state bond issuance process to finance the project, rather than paying upfront from other funds.

Significance and Changes to Existing Law

• Creates a targeted appropriation for Keewatin and specifies that the funding come from the bond proceeds fund.
• Authorizes the sale and issuance of state bonds up to 5.5 million dollars to finance the appropriation, using existing debt-issuance rules and constitutional authority.
• This is a new allocation within the state’s capital investment framework and relies on established bond sale procedures.

Implementation Details (How it will work)

• The grant to Keewatin is administered through the Department of Employment and Economic Development.
• The bonds will be issued by the state and repaid under the rules governing state debt, per the referenced statutes and constitutional provisions.

Potential Impacts

• Local infrastructure improvements for Keewatin’s water, sewer, and street systems.
• Increased municipal construction activity and potential economic benefits for the community.
• Long-term debt obligations tied to the project, managed under state debt laws.

Relevant Terms water mains sanitary sewer lines storm sewer systems streets Keewatin grant bond proceeds fund state bonds bond sale design construct furnish equip replacement and reconstruction Commissioner of Employment and Economic Development (DEED) Commissioner of Management and Budget (MMB) Minnesota Statutes 16A.631 to 16A.675 Minnesota Constitution Article XI Sections 4–7