New Auburn; stormwater, wastewater, and drinking water infrastructure funding provided; bonds issued; and money appropriated.

2025-2026 Regular Session Introduced by Bobbie Harder

HF 468 would provide a $9 million bond-funded grant to New Auburn to plan and upgrade stormwater, wastewater, and drinking water infrastructure.

Introduction and first reading, referred to Capital Investment

#bonds #water #waterresources #andwaterways

Purpose and intent

HF 468 proposes to finance and support the planning, construction, and equipment of stormwater, wastewater, and drinking water infrastructure in the city of New Auburn, Minnesota. The bill authorizes the sale of state bonds and appropriates funds to provide a grant via the Public Facilities Authority (PFA) for essential infrastructure improvements.

Key provisions

Section 1 – Appropriation and purposes

The bill appropriates $9,000,000 from the Bond Proceeds Fund to the Public Facilities Authority.
The money is designated as a grant to the City of New Auburn to:
predesign, design, engineer, construct, and equip stormwater, wastewater, and drinking water infrastructure.
undertake improvements to or replacement of:
- municipal wastewater ponds
- spray irrigation and sanitary sewer systems
- storm sewer systems and related infrastructure to improve drainage
- water main distribution systems and related infrastructure to enhance water quality, water flow, fire protection, and water accountability

Section 1 – Bond sale authorization

The Commissioner of Management and Budget is authorized to sell and issue bonds up to $9,000,000 to fund the appropriation.
Bond issuance must comply with Minnesota statutory provisions on bonds (Minnesota Statutes, sections 16A.631 to 16A.675) and the Minnesota Constitution (Article XI, sections 4 to 7).

Effective date

The section becomes effective the day after enactment.

Who is affected

City of New Auburn: Receives a grant to advance planning, design, construction, and equipment for stormwater, wastewater, and drinking water projects.

Public Facilities Authority (PFA): Acts as the vehicle for administering the grant and overseeing project funding.

State of Minnesota: Incurs bond debt (up to $9 million) to finance the project and repays bonds per the established statutory process.

General public (local impact): Potential improvements include better drainage, wastewater management, water quality, improved fire protection, and enhanced reliability and accountability of water distribution.

Procedural and timeline considerations

Legislative steps completed: First reading and referral to the Committee on Capital Investment (as of 02/13/2025).

Bonds and funding mechanics: Issuance of up to $9 million in state general obligation bonds, with repayment and management governed by state bonding statutes and constitutional provisions.

Implementation timeline (not specified in bill): The bill outlines funding authorization and project scope but does not specify project deadlines or phased milestones. Implementation would depend on subsequent planning, design, environmental reviews (if applicable), and procurement processes under PFA guidelines and state law.

Plain-language takeaway

HF 468 would provide a $9 million bond-funded grant to New Auburn to plan and build improvements to its stormwater, wastewater, and drinking water systems. The goal is to replace or upgrade aging infrastructure, improve drainage and water quality, ensure reliable water distribution, and strengthen fire protection and accountability. The bond issuance would be conducted under Minnesota’s standard bonding framework, with the Public Facilities Authority administering the grant.

Bill