This bill mandates that local governments in Minnesota establish capital project plans for major rehabilitation, expansion, or preservation of capital projects. It introduces new definitions for terms such as "capital project," "grantee," and "preservation," which clarify the scope and responsibilities associated with these plans. A grantee, defined as an entity receiving state funds for capital projects after July 1, 2025, is required to include various criteria in their plans, such as safety, maintenance, and sustainability.

Additionally, the bill requires grantees to certify their capital project plans to the commissioner, ensuring compliance with the established guidelines. The commissioner has the authority to request further documentation to verify the certification. The provisions of this bill will take effect for capital projects funded through state grant agreements entered into on or after July 1, 2025.