Purpose

Authorize funding and bonding to support the city of Virginia’s Sixth Avenue project. Specifically, provide a grant for design and reconstruction of Sixth Avenue, including the relocation and upgrades to water, sanitary sewer, and stormwater infrastructure to support redevelopment of the decommissioned municipal steam plant site, financed by state bonds.

What the bill does (Main provisions)

• Appropriation: Allocates 4,000,000 from the bond proceeds fund to the commissioner of employment and economic development for a grant to the city of Virginia. The grant is for design and reconstruction of Sixth Avenue and related infrastructure work.
• Infrastructure scope: Includes relocation and upgrades of municipal water, sanitary sewer, and stormwater management infrastructure to support redevelopment of the decommissioned municipal steam plant site.
• Bonding authorization: Requires the commissioner of management and budget to sell and issue state bonds up to 4,000,000 to finance the appropriation, under applicable state law and constitutional provisions.

Financing & Bonding (how it’s funded)

• Funding source: Bond proceeds fund.
• Debt authority: Up to 4,000,000 in state bonds to support the grant and project.
• Legal framework: Bond issuance and terms governed by Minnesota statutes 16A.631 to 16A.675 and Minnesota Constitution Article XI, sections 4 to 7.

Significance / impact

• Local economic development: Aimed at improving Sixth Avenue and critical infrastructure to enable redevelopment of a former steam plant site, potentially spurring redevelopment and related economic activity in the city of Virginia.
• Infrastructure improvements: Specifically targets water, sewer, and stormwater systems to support the project and surrounding redevelopment.

Significant changes to existing law

• Creates a new capital investment appropriation and bond authorization tied to a local infrastructure project (Sixth Avenue) in the city of Virginia.
• Establishes a state-funded grant mechanism and bond sale process specifically for this project, subject to existing bonding statutes and constitutional provisions.

Agencies involved

• Commissioner of employment and economic development (receiving the appropriation to provide the grant to the city).
• Commissioner of management and budget (authorized to issue and sell the bonds).

Location & project focus

• Virginia, Minnesota.
• Sixth Avenue reconstruction, with infrastructure upgrades tied to redevelopment of the decommissioned municipal steam plant site.

Relevant Terms Sixth Avenue reconstruction; Virginia; decommissioned municipal steam plant site; water infrastructure; sanitary sewer infrastructure; stormwater management infrastructure; grant; bond proceeds fund; bond sale; commissioner of employment and economic development; commissioner of management and budget; Minnesota Statutes 16A.631 to 16A.675; Minnesota Constitution Article XI sections 4 to 7.