The bill appropriates $8,000,000 from the bond proceeds fund to the Public Facilities Authority for a grant to the city of Cottonwood. This funding is designated for the design, construction, and equipping of Phase 1 of the replacement of aging public infrastructure, which includes improvements to the city's sanitary sewer system, drinking water distribution system, street reconstruction, and necessary upgrades for better municipal water quality through connection to the Lincoln Pipestone Rural Water system.

Additionally, the bill authorizes the commissioner of management and budget to sell and issue state bonds up to the amount of $8,000,000 to provide the appropriated funds. The bond issuance will follow the procedures outlined in Minnesota Statutes and the Minnesota Constitution. The provisions of this bill will take effect the day after it is enacted.