Our History

The Authority was created in 1971 and consisted of eight members appointed by the Governor with the advice and consent of the Senate. A representative of the Minnesota Office of Higher Education and the President of the Minnesota Private College Council, who is a non-voting member, are also members of the Authority.

In 2025, the Minnesota Higher Education Facilities Authority was renamed the Minnesota Health and Education Facilities Authority after the Minnesota Legislature passed a bill allowing the Authority to assist eligible healthcare institutions in addition to higher education institutions. With this change, the Authority’s board was expanded with the addition of one board member with healthcare expertise and one ex-officio healthcare member.

The Authority has never received state appropriations or tax revenue for its operations. It has no taxing power. Its operating expenses are funded by annual fees paid by each borrower. The fee charged to each borrower is based upon the borrower’s outstanding Authority-issued debt. It does not make grants and will not provide a guaranty, reserve or other security for its bonds.

A two-person staff, led by the Executive Director and assisted by its Operations Manager, provides borrowers with specific advice on tax-exempt financing. Borrowers receive periodic summaries of Authority debt issues. In addition, the Authority hosts an annual educational conference to highlight trends and issues in the municipal market and ongoing assistance with tax and securities law compliance.