The Minnesota Climate Innovation Finance Authority was created in state law in 2023. MnCIFA is a publicly accountable financing authority commonly known in other states as a “green bank.”
More info: Minn.Stat. 216C.411
Key provisions of state law creating MnCIFA
Article 21, Section 2, of Minnesota Laws 2023 Chapter 53 created MnCIFA to stimulate the development of clean energy and greenhouse gas emissions reduction projects using innovative financing tools to leverage private and public capital to overcome the market barriers that inhibit the financing of these projects.
Article 21, Section 6(b) states that, in the biennium ending on June 30, 2025, Minnesota Department of Management and Budget will transfer $25 million from the general fund to the Minnesota Climate Innovation Authority Account.
Article 10, Section 6 of the Energy and Climate Omnibus appropriates $20 million from the general fund to the Minnesota Climate Innovative Authority Account.
- MnCIFA will use public dollars to leverage private investment by reducing the perceived risk, pooling projects to create investable opportunities, and demonstrating the performance of clean energy projects in our market.
- MnCIFA will partner with Minnesota's strong ecosystem of clean energy service providers, using additional investment to increase the adoption of existing products and reduce barriers for underserved and low-income populations.
- MnCIFA will create robust consumer protections and support further development of Minnesota's clean energy workforce by requiring that major projects are subject to prevailing wage requirements and that MnCIFA prioritizes activities supporting creation of high-quality employment and apprenticeship opportunities for local workers.