The bill proposes the establishment of construction mitigation grants aimed at supporting businesses affected by construction projects on Arcade Street and East 7th Street in St. Paul. The commissioner of employment and economic development, in collaboration with the commissioner of transportation, will provide grants to nonprofit organizations and community development financial institutions to assist qualified businesses that experience significant impacts due to the construction. A "qualified business" is defined as one with no more than 25 employees that faces substantial business impacts, such as impaired road access or visibility, for at least one month. The bill outlines specific criteria for prioritizing grant awards, including revenue decline and traffic disruption.

Additionally, the bill includes a provision for a report to be submitted annually by the commissioner of employment and economic development, detailing the grants awarded, including business names, types, and amounts. It appropriates $2,200,000 from the general fund for these grants in fiscal year 2026, allowing the commissioner to retain up to 2% for administrative costs. This funding is a one-time appropriation available until June 30, 2029.