Capital budget would fund state construction and community projects

The state would set aside money for capital projects and allow agencies to spend it. Funding covers projects across government, human services, natural resources, transportation, education, and other public programs. Agencies and recipients must follow the project-specific conditions in the act. Some grants require matching funds, site control, reimbursement after costs are paid, or compliance with wage and building rules. The budget period would begin when the act takes effect and end June 30, 2027.

The Department of Commerce would provide grants and loans for affordable housing and related infrastructure. Funding covers low-income and special-needs housing, affordable multifamily housing, homeownership projects, supportive housing, manufactured-home communities, and utility connections. Projects must meet the program's income, affordability, location, construction, or long-term use requirements. Some awards are limited to listed projects or specific purposes, and some require nonstate funding or repayment-based spending. Some applicants must begin construction within 24 months of an award and preserve the intended income group for at least 25 years.

State agencies would provide grants, loans, rebates, and financing for energy efficiency, renewable energy, electric equipment, and clean-energy projects. Eligible recipients include households, small businesses, local governments, schools, colleges, tribes, utilities, nonprofits, and other listed organizations. Programs would prioritize low-income households, vulnerable populations, overburdened communities, small communities, or projects that provide public benefits, depending on the program. Some awards depend on federal funding, matching funds, competitive selection, or project-specific requirements. The listed programs would operate during the budget periods stated in the act, including the 2025-2027 fiscal biennium; some reports and applications are due by 2026 or 2027.