MN HF2970

Amends Minnesota Statutes section 16A.105 to establish a state debt limit based on debt service payments not exceeding 3.5 percent of estimated nondedicated general fund revenue.

Defines "debt" to include state general obligation bonds, appropriation bonds, agency appropriation bonds, certificates of participation, and lease-purchase financing payable from the general fund.

Requires the commissioner to determine maximum new debt issuance in each debt capacity forecast (prepared in February and November annually) to ensure compliance with the 3.5 percent debt service threshold.

Specifies the debt limit applies only to authorization of new debt after a forecast indicating the limit will be exceeded and does not require reduction of previously authorized debt or cancellation of appropriations.

Effective date for debt sales and issuance on or after July 1, 2017.