Frequently Asked Questions
Why are you changing your name?
The name of the Authority is changing to reflect our expanded mission,
granted August 2025, which now includes the power to finance capital
projects for Minnesota-based healthcare organizations and facilities. The
types of facilities that can be financed through MHEFA are broadly defined
in the authorizing statute. One serendipitous result of our name change is
that our Authority acronym “MHEFA” or “MnHEFA” doesn’t change.
Will you continue serving higher education facilities too?
We absolutely will continue to serve nonprofit higher education
organizations as we have since 1971. There will be no change in our
commitment to helping higher education finance projects.
What is the benefit to serving healthcare facilities in addition to higher
education facilities?
Our financing processes, developed over 50+ years of operation, will allow
efficient, cost-effective financing for borrowers. Our post-sale services,
helping with regulatory filings, investor inquiries, rating agency updates,
monitoring legislative changes, along with assisting with debt questions
offers cost-effective service and reduced administrative burden for all
borrowers. The expansion of our financing portfolio will provide the
opportunity to keep costs low.
What types of healthcare providers are eligible for financing?
Healthcare organizations and Healthcare facilities that are eligible for
financing through the Authority are defined in Minnesota Statutes. A
Healthcare organization means a nonprofit organization located within the state
and authorized by law to operate a nonprofit healthcare facility in the state. For
specific details about what is a qualified healthcare organization or project, please
visit the Minnesota Office of the Revisor of Statues website:
https://www.revisor.mn.gov/statutes/cite/136a. The 2025 revised statutes can be
found by clicking “More info” in the yellow header. See revised statutes 136A.25
through 136A.29 for changes to the Facilities Authority.
What are the financial benefits?
The financial benefits include low fees, consistently applied, which gives
borrowers budget predictability and reduces financial surprises. Additional
financial benefits are reduced administrative costs for borrowers, since the
Authority takes on a number of administrative tasks associated with
financing, freeing borrower staff from those tasks. Our regular market
access further reduces borrowers’ administrative costs.
How is MNHEFA funded?
The Minnesota Health and Education Facilities Authority is funded by fees
we charge firms that borrow through the Authority. Our fees are based on
the amount of outstanding debt of a borrower. It is important to note that
bonds issued by MHEFA for borrowers are not debts of the State of
Minnesota. The Authority receives no state funding, has no power to levy
taxes and the state is not responsible in any manner for payment of
Authority debt.
How do I get started?
We recommend you contact us early in your project development process.
We can assist you in planning and getting started on the financing journey
in an efficient manner. In addition, we recommend you visit our website to
familiarize yourself with the Authority and the services we offer. You may
also download a financing application. We always urge you to talk with us
to get any questions you may have answered and to provide you with
additional information that you need.
Who can we contact for more information?
Barry W. Fick, Executive Director, (651) 296‑4690
Amanda G. Lee, Operations Manager, (651) 296‑4690
Email: [email protected] (Minnesota HEFA)