The bill establishes the "Empowering Small Minnesota Communities Program" under Minnesota Statutes, section 137.345, aimed at providing support for small communities with populations under 15,000. The program, managed by the Board of Regents of the University of Minnesota, will prioritize assistance for local governments and federally recognized Tribal governments that lack the capacity to develop infrastructure projects or apply for state or federal grants. The program will facilitate partnerships for infrastructure project analysis and development, focusing on sustainability, resiliency, and climate change adaptation.

Additionally, the bill appropriates $2,500,000 for fiscal years 2026 and 2027 from the general fund to support the program. The funding will be used for various activities, including project planning, scoping, and design, as well as maintaining a website that provides information about the program, project summaries, financial details, and application guidance.