This bill proposes the establishment of a plastic bottle excise tax in Minnesota, aimed at funding water infrastructure projects. Under the new section 297H.50, an excise tax will be imposed on bottle distributors for each taxable plastic bottle sold to retailers in the state. The tax will be payable quarterly, and the proceeds will be deposited into a newly created water infrastructure account as outlined in section 297H.51. The bill defines key terms related to the tax, including "beverage," "bottle distributor," and "taxable plastic bottle," and sets the expiration date for the tax as December 31, 2031, with an effective date of January 1, 2027.

Additionally, section 297H.51 establishes the water infrastructure account within the special revenue fund of the state treasury, which will consist of the tax proceeds and other funds. The account will be managed by the board of the Public Facilities Authority, and the money will be appropriated for eligible water infrastructure projects as defined in the bill. The section also includes an expiration clause, stating that it will cease after all revenues in the account as of January 1, 2032, have been distributed in grants.