What is the capital budget?
The capital budget primarily funds public infrastructure projects, which are owned by a government entity. These projects are
mainly funded through the use of bonds.
What is a capital project?
Generally, a capital project is the acquisition or improvement of long-lived fixed assets: buildings, roads, and other infrastructure. Capital budgets often include projects like acquisition of land, or repair or construction of state facilities or state parks, as well as for local governments to repair or build bridges and parks.
How are capital projects
The state pays for capital improvement projects using a variety of methods. The prevalent method is by borrowing money
through the issuing of bonds. Bonds are essentially promises to repay the money borrowed at a specified time and interest rate. Additionally, local projects often combine state funds with local funding.
What is the timeline for the capital
The governor is required to submit a capital budget recommendation every even-numbered year, but can submit one every year. To be enacted into law, the legislature would need to approve the capital budget. View the timeline in more detail at this link
, or in the slideshow below.
Check out this more detailed timeline of the capital budget process and explainer below!
Use the menu icon in the bottom right-hand corner of the presentation to download, view fullscreen, and/or share.
Want to know who serves on the Legislature's Capital Investment Committees? Check out the webpage for the House Capital Investment Committee as well as the webpage for the Senate Capital Investment Committee.
Sources: Minnesota Management and Budget, House Research