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," and outlines the requirements for grantees to create comprehensive plans that address various aspects of capital projects, including safety, maintenance, and sustainability.

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