Transportation Revolving Loan Fund

The Transportation Revolving Loan Fund (TRLF) provides financing to state, local and other government entities for transportation projects approved by the Minnesota Department of Transportation.

Administered jointly by the Public Facilities Authority and MnDOT, the program provides below-market-rate loans. When the loans are repaid, the funds are returned to the TRLF and used to finance additional projects.


To be eligible for TRLF financing, a project must be eligible under Title 23 (Highways) or Title 49 (Transit Capital) of the U.S. Code; and Minnesota Statutes, Section 446A.085, subdivision 2.

Eligible projects include, but are not limited to, pre-design studies; acquisition of right-of-way; road and bridge maintenance, repair, improvement, or construction; enhancement items; rail and air safety projects; and transit capital projects.

Minimum Requirements 
Applicants must demonstrate the financial ability to repay the loan and have complete financing for the project. Borrowers must issue a general obligation or revenue bond to the PFA as security for the loan. Loans can be amortized up to a maximum of 30 years but cannot exceed the useful life of the project.

Financing options include conventional loans, loan guarantees, lines of credit, credit enhancements, equipment financing leases, bond insurance, and other forms of financial assistance.

Loan Replacement Sources 
Possible loan replacement sources are property tax levies, special assessments, tax increment financing, local government option sales taxes, future federal funds, future state funds, and customer fees from revenue-generating projects such as parking ramps, park and ride lots, and intermodal facilities.

Interest Rates and Fund Disbursement 
The PFA sets a discount interest rate from a municipal bond index. An additional discount of one percent is provided for borrowers with population less than 5,000. Loan funds are disbursed on a monthly basis as costs are incurred.

Application and Approval Process 
Applications are submitted to the appropriate MnDOT district for initial review and approval by the Area Transportation Partnership. Applications that are approved by the ATP, certified by MnDOT and approved by the PFA will receive funding.

MnDOT's Loan Fund Information