SF3966

Purpose

• Authorizes funding for the University of Minnesota’s Higher Education Asset Preservation and Replacement (HEAPR) program. Specifically, it assigns an appropriation of $100,000,000 from the bond proceeds fund to the Board of Regents of the University of Minnesota for HEAPR, to be spent according to Minnesota Statutes section 135A.046.

Main Provisions

• Subdivision 1 – Appropriation:

  • An appropriation of $100,000,000 from the bond proceeds fund is made to the University of Minnesota Board of Regents for HEAPR.
  • The funds are to be spent in accordance with Minnesota Statutes section 135A.046.

• Subdivision 2 – Bond Sale:

  • The commissioner of management and budget is directed to sell and issue bonds of the state in an amount up to $100,000,000 to finance the appropriation.
  • Bond issuance must follow the terms and effects prescribed by Minnesota Statutes sections 16A.631 to 16A.675 and by the Minnesota Constitution, Article XI, sections 4 to 7.

Funding Source and Bond Issuance Details

• Funding Source: Bond proceeds fund.
• Amount: Up to $100,000,000.
• Purpose: To fund HEAPR at the University of Minnesota.
• Issuing Authority: State, via the commissioner of management and budget.
• Compliance: In accordance with M.S. 16A.631 to 16A.675 and the Minnesota Constitution Article XI.

Spending Oversight and Compliance

• Spending of the HEAPR funds is restricted to use specified for asset preservation and replacement under HEAPR, in line with 135A.046.
• Administration: The University of Minnesota Board of Regents will oversee the HEAPR-funded projects.

Significant Changes to Existing Law

• Introduces a new, specific appropriation of $100,000,000 for HEAPR at the University of Minnesota.
• Enables a corresponding state bond sale to finance that appropriation, following established bond issuance statutes and constitutional requirements.
• Clarifies the interaction between the appropriation, the bond sale, and the governance/oversight for HEAPR projects.

Relevant Terms - HEAPR (Higher Education Asset Preservation and Replacement) - University of Minnesota - Board of Regents - bond proceeds fund - appropriation - 135A.046 - commissioner of management and budget - bonds / bond sale - Minnesota Statutes sections 16A.631 to 16A.675 - Minnesota Constitution Article XI sections 4 to 7 - capital investment - asset preservation - replacement