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HF 2586

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 11:32pm

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

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A bill for an act
relating to capital investment; appropriating money for a solar power installation
grant program; authorizing the sale and issuance of state bonds; requiring a
report; proposing coding for new law in Minnesota Statutes, chapter 216C.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [216C.50] SOLAR ENERGY SYSTEM INSTALLATION GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin The following terms have the meanings given them:
new text end

new text begin (a) "Solar wall" means a wall is a sun-facing wall built from material that can act as
a thermal mass, combined with an air space, insulated glazing, and vents to form a large
solar thermal collector. It is also called a Trombe wall and means a passive solar heating
and ventilation system consisting of an air channel between a window and a sun-facing
thermal mass. During the ventilation cycle, sunlight stores heat in the thermal mass and
warms the air channel causing circulation through vents at the top and bottom of the wall.
During the heating cycle the wall radiates stored heat.
new text end

new text begin (b) "Solar thermal system" means a passive solar energy system that absorbs solar
energy to directly heat water or, if concentrated, to produce electricity.
new text end

new text begin (c) "Photovoltaic" means an array of cells containing a material that converts solar
radiation into direct current electricity.
new text end

new text begin (d) "Solar energy system" means a solar wall, solar thermal system, or photovoltaic
energy system.
new text end

new text begin Subd. 2. new text end

new text begin Creation of account; uses. new text end

new text begin A solar energy installation account is created
in the bond proceeds fund. Money in the account may only be used for capital costs of
solar energy installations in publicly owned buildings. "Capital costs" means a capital
cost within the meaning of generally accepted accounting principles as applied to public
expenditures. The commissioner of administration will consult with the commissioner
of management and budget to the extent necessary to ensure that proposed expenditures
are capital costs and will furnish the commissioner of management and budget any
information the commissioner of management and budget requests about the projects
proposed to be financed from the account. The legislature assumes that the solar energy
systems constitute betterments and capital improvements within the meaning of the
Constitution and capital expenditures under generally accepted accounting principles,
and will be financed more efficiently and economically under this section than by direct
appropriations for specific projects.
new text end

new text begin Subd. 3. new text end

new text begin Grants procedures. new text end

new text begin A political subdivision may apply in the manner
determined by the commissioner of administration for a grant to acquire and install an
eligible solar energy system on one or more state bond financed buildings owned by the
political subdivision. The commissioner of administration shall make grants in each
region defined in section 462.385, subdivision 1. The money in the account each year
must be allocated among the 11 regions equally. The commissioner of administration shall
make the grants on a first-come, first-served basis within each region. The commissioner
of administration shall develop guidelines for application and awards of grants.
new text end

new text begin Subd. 4. new text end

new text begin Cancellation of grant. new text end

new text begin If a grant awarded to a political subdivision is not
encumbered within four years after the award date, the grant must be canceled.
new text end

new text begin If after five years, the commissioner of administration determines that a project has
not proceeded in a timely manner and is unlikely to be completed, the commissioner of
administration must cancel the grant and require the grantee to return all grant money
awarded for that project. For industrial park development projects, if after five years
the industrial park is not developed and available for business use, the commissioner of
administration must cancel the grant and require the grantee to return all grant money for
that project. If the industrial park is developed and available for use within five years,
but no businesses have located in the park, the grantee is not required to return any
grant money.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation. new text end

new text begin Grant money returned to the commissioner of
administration is appropriated to the commissioner of administration to make additional
grants under this section.
new text end

new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin By January 15 of each year, the commissioner of administration
must submit to the commissioner of management and budget and to the chairs of the house
of representatives and senate committees with jurisdiction over environment and natural
resources finance and capital investment a list of the projects that have been funded with
money from the account.
new text end

Sec. 2. new text begin SOLAR POWER GRANT PROGRAM APPROPRIATION.
new text end

new text begin Subdivision 1. new text end

new text begin Appropriation. new text end

new text begin $....... is appropriated from the bond proceeds fund
to the commissioner of commerce for grants under section 1.
new text end

new text begin Subd. 2. new text end

new text begin Bond sale. new text end

new text begin To provide the money appropriated in subdivision 1 from the
bond proceeds fund, the commissioner of management and budget shall sell and issue
bonds of the state in an amount up to $....... in the manner, upon the terms, and with
the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the
Minnesota Constitution, article XI, sections 4 to 7.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end