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SF5165

Brainerd energy efficiency projects bond issue and appropriation
Legislative Session 94 (2025-2026)

AI Generated Summary

Purpose

  • Provide funding for energy efficiency improvements in Brainerd Public Utilities by awarding grants funded from state bonds.

Main Provisions

  • Subdivision 1 – Appropriation:

    • The state appropriates $7,500,000 from the bond proceeds fund to the commissioner of commerce.
    • The money is for one or more grants to Brainerd Public Utilities for energy efficiency projects in Brainerd.
    • An energy efficiency project is defined as a capital improvement that may include:
    • an upgrade to an existing turbine generator,
    • the acquisition and installation of a new turbine generator to replace an existing one, or
    • improvements to existing structures to accommodate new turbine generators.

  • Subdivision 2 – Bond Sale:

    • To provide the money, the commissioner of management and budget must sell and issue state bonds up to $7,500,000.
    • Bond sale must follow Minnesota statutes sections 16A.631 to 16A.675 and the Minnesota Constitution (Article XI, sections 4–7).

Definitions and Key Terms

  • Energy efficiency project
  • Brainerd Public Utilities
  • Capital improvement
  • Turbine generator (upgrade, replacement, acquisition, installation)
  • Bond proceeds fund
  • Grants
  • Bonds
  • Commissioner of commerce
  • Commissioner of management and budget
  • Minnesota Statutes 16A.631 to 16A.675
  • Minnesota Constitution Article XI (sections 4–7)

Significant Changes to Law

  • Establishes a new, targeted appropriation and bond-backed financing for Brainerd Public Utilities to pursue energy efficiency projects (specifically turbine generator upgrades/replacements and related structural improvements).
  • Creates a dedicated funding mechanism (bond proceeds fund) and assigns administration to the commissioner of commerce and bond management to the commissioner of management and budget.

Implementation and Oversight

  • Funds to Brainerd Public Utilities are administered as grants by the commissioner of commerce.
  • Bond issuance is governed by existing state statutes and constitutional provisions, with oversight by the commissioner of management and budget.

Effective Date

  • Not specified in the excerpt.

Potential Impacts

  • Enables modernization and potential improvements in energy efficiency for Brainerd Public Utilities.
  • May affect local energy infrastructure, with implications for capacity, reliability, and future operating costs.

Relevant Terms

  • energy efficiency project
  • Brainerd Public Utilities
  • turbine generator
  • upgrade
  • replacement
  • acquisition
  • installation
  • capital improvement
  • bond proceeds fund
  • grants
  • bonds
  • commissioner of commerce
  • commissioner of management and budget
  • Minnesota Statutes 16A.631 to 16A.675
  • Minnesota Constitution Article XI (4–7)

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
April 16, 2026SenateActionIntroduction and first reading
April 16, 2026SenateActionReferred toCapital Investment

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill cites Minnesota Statutes sections 16A.631 to 16A.675 as the statutory basis for selling and issuing state bonds (bond proceeds fund) to finance Brainerd Public Utilities energy efficiency projects.",
      "modified": []
    },
    "citation": "16A.631 to 16A.675",
    "subdivision": "Subd.2"
  }
]

Progress through the legislative process

17%
In Committee

Sponsors

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