MN SF3964

Establishes new Minnesota Statutes section 16A.9681 creating a framework for issuing state appropriation bonds for public purposes, with the commissioner of management and budget authorized to sell and issue such bonds.

Appropriation bonds are payable only from general fund appropriations for debt service and are not backed by the state's full faith and credit or taxing powers; bonds are canceled if the legislature fails to appropriate sufficient funds for any fiscal year.

Bond proceeds must be credited to a special appropriation bond proceeds fund in the state treasury for each authorized project; bonds may have terms up to 25 years and can bear fixed or variable interest rates.

Appropriates $1,200,000 from the appropriation bond proceeds fund to the Pollution Control Agency for design, excavation, and treatment of contaminated soil and groundwater at the Esko groundwater contamination site.

Commissioner authorized to issue up to $1,200,000 in appropriation bonds plus additional amounts for issuance costs, debt service, capitalized interest, and credit enhancement related to the Esko cleanup project.