HF 2971

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to energy; creating wind energy conversion system aggregation program;
creating an account; authorizing rulemaking; appropriating money; proposing
coding for new law in Minnesota Statutes, chapter 216F.

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

Section 1.

new text begin [216F.09] WECS AGGREGATION PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Program established. new text end

new text begin (a) The wind energy conversion system
(WECS) aggregation program is established in the Department of Commerce. The purpose
of the program is to create a clearinghouse to coordinate and arrange umbrella sales
arrangements for groups of individuals, farmstead property owners, farmers' cooperative
associations, community-based energy project developers, school districts, and other
political subdivisions to aggregate small-volume purchases, as a group, in order to place
large orders for wind energy conversion systems with WECS manufacturers.
new text end

new text begin (b) The commissioner of finance shall provide applicable technical advice and
assistance in maintaining and administering the account created in subdivision 2.
new text end

new text begin (c) The commissioner of administration shall provide technical advice and assistance
regarding minimal procurement-related procedures considered necessary for administering
the program; however, this program is exempt from the state procurement provisions of
chapter 16C not adopted by rule under subdivision 3.
new text end

new text begin (d) This program is supplemental, and does not prevent or supersede, any other wind
energy conversion system aggregation program that may be conducted or undertaken by
farmers' cooperative associations, community-based energy project developers, political
subdivisions, or other individuals or organizations.
new text end

new text begin Subd. 2. new text end

new text begin WECS aggregation program account. new text end

new text begin The WECS aggregation program
account is established in the state treasury. Money in the account consists of purchase
money payments made by individuals, school districts, and other political subdivisions to
be aggregated as purchase money or down payments for a large-volume purchase from a
selected WECS manufacturer. Interest earned on money in the account is appropriated
annually to the commissioner of commerce to administer and coordinate the WECS
aggregation program.
new text end

new text begin Subd. 3. new text end

new text begin Rules. new text end

new text begin (a) After consulting with the commissioners of administration
and finance and the Rural Finance Authority, the commissioner of commerce and public
utilities commission shall jointly adopt rules under chapter 14 to implement and administer
the WECS aggregation program. At a minimum, the rules must:
new text end

new text begin (1) provide application procedures for participation in the program;
new text end

new text begin (2) set minimum standards for wind energy conversion systems to be considered for
purchase through the program, which may include price, quality and installation standards,
timely delivery schedules and arrangements, performance and reliability ratings, and any
other factors considered necessary or desirable for participants;
new text end

new text begin (3) set eligibility considerations and requirements for purchasers, including
availability to the applicant of land authorized for installation and use of WECS,
likelihood of a permit being approved by the commission or a county under this chapter,
documentation of adequate financing, and other necessary or usual financial or business
practices or requirements;
new text end

new text begin (4) provide a minimal framework for soliciting or contacting manufacturers on
behalf of participants;
new text end

new text begin (5) coordinate purchase agreements between the manufacturer and participants; and
new text end

new text begin (6) provide that participating manufacturers and applicants must agree in writing
that the state does not act as a guarantor for either the manufacturer or the purchasers and
that the state is not liable for civil damages for conduct in discharging its duties under this
section unless the state acts in a willful or wanton manner.
new text end

new text begin (b) Before drafting the rules, the commissioner and commission shall also
consider any additional issues and suggestions raised by interested farmers' cooperative
associations, communities participating in wind energy development projects, and other
individuals, organizations, and political subdivisions.
new text end

new text begin Subd. 4. new text end

new text begin Liability. new text end

new text begin The state:
new text end

new text begin (1) is not a guarantor on behalf of any manufacturer or purchaser participating
under this program; and
new text end

new text begin (2) is not liable for civil damages for conduct in discharging its duties under this
section unless the state acts in a willful or wanton manner.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Subdivisions 1, 2, and 4 are effective January 1, 2009.
Subdivision 3 is effective the day following final enactment.
new text end

Sec. 2. new text begin TRANSITION PROVISION.
new text end

new text begin The commissioner of commerce shall immediately begin compiling a list of persons
and organizations who want to purchase one or more wind energy conversion systems as
eligible participants in the WECS aggregation program.
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