SF4821

Purpose

Require a formal review to determine whether applying or replacing the sustainable building guidelines (as described) is appropriate for capital projects funded with state general obligation bond proceeds. The analysis is to help evaluate the costs and benefits of using specific sustainability standards in state capital investments.

Main Provisions

• The legislative auditor must conduct a cost-benefit analysis that compares the replacement or application of the sustainable building guidelines—per Minnesota Statutes section 16B.325—to capital projects funded with state general obligation bond proceeds.
• The analysis must include the following sustainability-related building standards, codes, or programs:
  • Leadership in Energy and Environmental Design (LEED)
  • ASHRAE standards and guidelines
  • Energy Star requirements
  • International Green Construction Code
• The legislative auditor may include additional information that is relevant to the analysis.
• The legislative auditor must submit the completed analysis to the chairs and ranking minority members of the legislative committees with jurisdiction over capital investment.
• The submission must occur on or before January 15, 2027.

Appropriation and Timeline

• In fiscal year 2027, one-time general fund money is appropriated to the legislative auditor specifically to conduct the analysis described in this section.

Significance

• The bill formalizes an evaluation process to inform decisions about whether and how to apply these sustainability standards to future state capital projects funded by bonds, using a rigorous cost-benefit framework.

Significant Changes to Existing Law

• Adds a new requirement for a cost-benefit analysis by the legislative auditor focusing on sustainability-related building standards in capital projects, and provides a one-time funding mechanism to support this analysis. It does not immediately mandate adoption of the standards but requires an assessment to guide potential decisions.

Relevant Terms

• cost-benefit analysis
• sustainable building guidelines
• Minnesota Statutes section 16B.325
• LEED
• ASHRAE standards and guidelines
• Energy Star
• International Green Construction Code
• capital project
• general obligation bond proceeds
• legislative auditor
• January 15, 2027
• fiscal year 2027
• general fund
• one-time appropriation
• sustainability-related building standards
• codes or programs

Relevant Terms