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HF 3224

Carlton County; residential substance abuse facilities funding provided, bonds issued, and money appropriated.

2025-2026 Regular Session Introduced by Jeff Dotseth

Provides up to $25 million in bonds to fund Carlton County residential substance use disorder facilities, with leftover funds redirected to statewide facility asset preservation.

Introduction and first reading, referred to Capital Investment
#bonds #counties-specific #hospitalsandhealthfacilities
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Bill Summary · HF 3224

Summary of HF 3224 (2025-2026) – Carlton County; residential substance abuse facilities funding, bonds, and appropriation

Purpose and intent

  • The bill authorizes a state capital investment to fund the development of residential substance use disorder facilities in Carlton County, Minnesota.
  • It also authorizes the sale and issuance of state bonds to finance the appropriation.

Key provisions and changes

Section 1: Residential Substance Use Disorder Facilities

  • Subdivision 1. Appropriation
    • An appropriation of $25,000,000 is made from the bond proceeds fund.
    • Eligible uses for the appropriation include:
    • Acquisition of property
    • Predesign
    • Design
    • Site preparation (including demolition)
    • Construction
    • Furnishing and equipping new Direct Care and Treatment facilities in Carlton County for residential substance use disorder services
  • Subdivision 1. (b). Post-project use of remaining funds
    • After substantial completion of the Carlton County project and upon written notice to the Commissioner of Management and Budget, any remaining money in this appropriation must be used for asset preservation improvements and betterments of a capital nature at Direct Care and Treatment facilities statewide.
    • The expenditures for these asset preservation/improvement projects must comply with Minnesota Statutes, section 16B.307.
  • Subdivision 2. Bond sale
    • To fund the appropriation, the Commissioner of Management and Budget shall issue and sell state bonds up to $25,000,000.
    • Bond issuance must follow the terms and procedures of Minnesota Statutes, sections 16A.631 to 16A.675, and the Minnesota Constitution (Article XI, sections 4–7).

Effective date

  • The section becomes effective the day after final enactment.

Who is affected

  • Carlton County: Receives funding and is the site for the new residential substance use disorder facility.
  • Direct Care and Treatment (state facilities): Potential recipients and beneficiaries of the asset preservation and betterment funds if any of the remaining appropriation is used statewide after project completion.
  • State of Minnesota (through the Bond Proceeds Fund, and the Department of Administration and Department of Management and Budget): Responsible for administering property acquisition, project development, and subsequent asset preservation obligations; and for issuing bonds to finance the appropriation.

Procedural and timeline notes

  • Legislative status: Introduced (HF 3224), first reading on April 22, 2025, referred to the Committee on Capital Investment.
  • Financing: Requires sale of bonds up to $25 million under standard state bonding laws and constitutional provisions.
  • Post-completion allocation: Any remaining funds from this appropriation must be redirected to asset preservation and capital improvements at statewide Direct Care and Treatment facilities, under statutory guidelines (Minnesota Statutes, section 16B.307).

Observations

  • This bill is narrowly focused on financing Carlton County’s residential substance use disorder facilities through a capital investment of up to $25 million, funded by state bond proceeds.
  • It includes a contingency mechanism to reallocate any leftover bond funds to statewide capital preservation of related facilities, ensuring ongoing asset improvements beyond the Carlton County project.
  • The bill aligns with typical state bonding processes and requires compliance with existing statutes governing bond issuance and asset preservation post-project.

Compiled from official sources — confirm details with the bill’s official record.

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