The Minnesota Legislature had its third and final committee deadline on April 17, a milestone for this session that is scheduled to adjourn on May 18. At Freshwater, our attention is now shifting from water policy to water infrastructure funding, including a potential bonding bill that could take shape during these final weeks of the session.
Progress on water infrastructure funding
A bonding bill is urgently needed this year to help address a backlog of critical infrastructure projects across the state. Lead service line replacement is just one example. Minnesota made a public commitment to replace all lead service lines in the state by 2033. However, we only have around 1/3 of the funding needed for these replacements, and that will run out by 2027. HF3748/SF4122 would appropriate $250 million to the Public Facilities Authority for lead service line replacement. The bill was heard in the House Capital Investment Committee on April 14 and the Senate Capital Investment Committee on April 23.
Freshwater also supports community-led regionalization of water systems, which can help strengthen drinking water and wastewater systems for small and rural communities by pooling shared resources. HF4301/SF4457 includes $1 million in grants to assist counties, municipalities and townships in planning efforts related to drinking water regionalization. The Senate bill passed the Health and Human Services Committee, then was heard in the Capital Investment Committee on April 16 and laid over for possible inclusion in a bonding bill.
In the coming weeks, Freshwater will be coordinating with municipalities, water industry leaders and business partners to meet with legislators and emphasize the importance of passing a robust bonding bill for water infrastructure this session.
Uncertain path for water policy bills
The Minnesota House has not yet introduced an environment omnibus bill, and the Senate environment omnibus does not include significant water policy provisions. This leaves an uncertain path for many of the water policy bills we have been following.
Here are three water-related bills that have seen significant movement this session:
- HF3793 (DE Amendment) on water use permits was heard in the House Environment and Natural Resources Finance and Policy committee on April 14 and laid over. The bill would strengthen DNR permitting oversight of large water users while also expanding allowable use of the Mt. Simon-Hinckley aquifer under certain conditions (see bill summary).
- HF4077/SF4379: This bill would prohibit municipalities from entering into nondisclosure agreements that restrict them from disclosing information about projects to the public. The bill was passed by Senate Judiciary and Public Safety Committee on April 7 and reached a tie vote in the House Judiciary Finance and Civil Law Committee on April 9. The legislation aims to increase transparency around data centers and other large development projects.
- HF3426/SF3857: Project funding appropriations from the Environment and Natural Resources Trust Fund. This bill includes recommendations from the Legislative-Citizen Commission on Minnesota Resources (LCCMR) for over $103 million in outdoor-related projects. The bill passed the House Environmental and Natural Resources Policy and Finance Committee on April 16, and it passed the Ways and Means Committee on April 22. The bill passed the Senate Environment, Climate, and Legacy Committee back on March 12, and a final version will need to be reconciled between the House and Senate.
The end of the legislative session can be unpredictable, so we will continue to monitor progress and engage on water policy and funding bills as they develop through the end of session on Monday, May 18. Visit the Freshwater Policy page to learn more.