GrantExec

Minnesota Statewide Solar on Public Buildings Program

This program provides funding to local governments and eligible entities in Minnesota to install solar energy systems on public buildings, promoting clean energy and cost savings.

$14,500,000
Active
Grant Description

The Minnesota Statewide Solar on Public Buildings Program is administered by the Minnesota Department of Commerce under the authority granted by the Minnesota Legislature in 2023 through Minnesota Statutes §216C.377. This program represents a concerted statewide effort to increase the deployment of solar energy systems on or adjacent to public buildings owned and operated by local government entities. With an allocation of $14.5 million for this initial statewide funding round, the Department of Commerce aims to catalyze clean energy investments, support the state’s renewable energy goals, and facilitate energy cost savings for eligible entities across Minnesota. The primary objective of the program is to stimulate the installation of solar arrays on qualifying public infrastructure while maximizing the economic and environmental benefits of solar deployment. Each grant will cover up to 70% of project costs for solar arrays that meet specific criteria, including a maximum system capacity of 40 kilowatts or up to 120% of the public building’s average annual energy consumption over the past three years, whichever is less. The remaining project costs are expected to be financed using other resources, such as the 48E Clean Electricity Investment Tax Credit via Direct Pay or local funding mechanisms. Eligible applicants include local units of government such as counties, cities, towns, and other governmental jurisdictions that own and operate public buildings. Federally recognized Indian Tribes within Minnesota are also eligible. School districts are explicitly excluded if they are already eligible for assistance through the Solar for Schools Program. Public housing authorities qualify under the “other local government jurisdiction” classification. Importantly, buildings must be directly serviced by Xcel Energy electric service to be eligible due to legislative restrictions tied to funding sourced from the Renewable Development Account. The application process is continuous and open through November 14, 2025, or until funds are exhausted, whichever comes first. Proposals must be submitted through a single responder account in the state grant portal. Once submitted, applicants can generally expect a response within two weeks. Projects may not begin work prior to the grant contract being signed, and awardees must complete their projects within 18 months of signing, with an optional six-month extension available. Application materials include a range of required documentation such as the grant contract template, conflict of interest disclosures, budget templates, and utility interconnection agreements. While there is no minimum system size requirement, projects must be installed on a building that both consumes the generated energy and is located within the service territory of the utility currently supplying power to the building. Furthermore, the grant program is structured as a reimbursement program, meaning grantees must first incur costs and then submit for reimbursement. All technical and eligibility support is available through the Minnesota Department of Commerce and its Clean Energy Resource Teams partners, including free consultation services. The primary contact for the program is Peter Lindstrom, who may be reached at plindstr@umn.edu. Additional program materials, including guides and templates, are accessible through the provided RFP attachments. This program does not permit the installation of systems larger than the eligibility threshold, nor does it cover repair of existing systems, storage, or installations intended for community solar unrelated to public building operations.

Funding Details

Award Range

Not specified - Not specified

Total Program Funding

$14,500,000

Number of Awards

Not specified

Matching Requirement

Yes - 30% of project cost (verify exact match structure)

Additional Details

Grants cover 70% of eligible project costs, with the remainder to be financed by the applicant through tax credits or other funds. Awards are capped at systems no larger than 40kW or 120% of the building’s average annual electricity use. Funds are reimbursed after expenditures. Work must not start before the grant contract is signed.

Eligibility

Eligible Applicants

City or township governments
County governments
Public housing authorities
Native American tribal organizations
Special district governments

Additional Requirements

Eligible entities include local government jurisdictions in Minnesota that own and operate public buildings within Xcel Energy electric service territory. This includes counties, cities, towns, public housing authorities, special districts, and federally recognized Indian Tribes. School districts eligible for Solar for Schools are excluded.

Geographic Eligibility

Specific to Xcel Energy electric service territory

Expert Tips

Submit early to account for 2-week response time. Work cannot begin before contract execution.

Key Dates

Application Opens

August 7, 2025

Application Closes

November 14, 2025

Contact Information

Grantor

Peter Lindstrom

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Categories
Energy
Environment

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