Minnesota Legislature
HF 1545
as introduced - 87th Legislature (2011 - 2012) Posted on 04/18/2011 09:58am
Bill Text Versions
| Engrossments | ||
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| Introduction | Posted on 04/18/2011 |
Current Version - as introduced
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A bill for an act
relating to energy; establishing Energy Reliability and Intervention Office
within Department of Commerce to replace Energy Issues Intervention Office
and energy reliability administrator; making conforming changes; amending
Minnesota Statutes 2010, sections 216B.62, subdivisions 2, 3; 216C.052;
repealing Minnesota Statutes 2010, section 216A.085.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2010, section 216B.62, subdivision 2, is amended to read:
Subd. 2.
Assessing specific utility.
Whenever the commission or department, in a
proceeding upon its own motion, on complaint, or upon an application to it, shall deem it
necessary, in order to carry out the duties imposed under this chapter and section deleted text begin 216A.085deleted text end new text begin
216A.14new text end (1) to investigate the books, accounts, practices, and activities of, or make
appraisals of the property of, any public utility, (2) to render any engineering or accounting
services to any public utility, or (3) to intervene before an energy regulatory agency, the
public utility shall pay the expenses reasonably attributable to the investigation, appraisal,
service, or intervention. The commission and department shall ascertain the expenses, and
the department shall render a bill therefor to the public utility, either at the conclusion of
the investigation, appraisal, or services, or from time to time during its progress, which bill
shall constitute notice of the assessment and a demand for payment. The amount of the
bills so rendered by the department shall be paid by the public utility into the state treasury
within 30 days from the date of rendition. The total amount, in any one calendar year, for
which any public utility shall become liable, by reason of costs incurred by the commission
within that calendar year, shall not exceed two-fifths of one percent of the gross operating
revenue from retail sales of gas, or electric service by the public utility within the state in
the last preceding calendar year. Where, pursuant to this subdivision, costs are incurred
within any calendar year which are in excess of two-fifths of one percent of the gross
operating revenues, the excess costs shall not be chargeable as part of the remainder under
subdivision 3, but shall be paid out of the general appropriation to the department and
commission. In the case of public utilities offering more than one public utility service
only the gross operating revenues from the public utility service in connection with which
the investigation is being conducted shall be considered when determining this limitation.
Sec. 2.
Minnesota Statutes 2010, section 216B.62, subdivision 3, is amended to read:
Subd. 3.
Assessing all public utilities.
The department and commission shall
quarterly, at least 30 days before the start of each quarter, estimate the total of their
expenditures in the performance of their duties relating to public utilities under sections
deleted text begin 216A.085deleted text end new text begin 216A.14new text end and 216B.01 to 216B.67, other than amounts chargeable to public
utilities under subdivision 2, 6, 7, or 8. The remainder shall be assessed by the commission
and department to the several public utilities in proportion to their respective gross
operating revenues from retail sales of gas or electric service within the state during the
last calendar year. The assessment shall be paid into the state treasury within 30 days
after the bill has been transmitted via mail, personal delivery, or electronic service to the
several public utilities, which shall constitute notice of the assessment and demand of
payment thereof. The total amount which may be assessed to the public utilities, under
authority of this subdivision, shall not exceed one-sixth of one percent of the total gross
operating revenues of the public utilities during the calendar year from retail sales of gas
or electric service within the state. The assessment for the third quarter of each fiscal
year shall be adjusted to compensate for the amount by which actual expenditures by
the commission and department for the preceding fiscal year were more or less than the
estimated expenditures previously assessed.
Sec. 3.
Minnesota Statutes 2010, section 216C.052, is amended to read:
216C.052 new text begin ENERGY new text end RELIABILITY deleted text begin ADMINISTRATORdeleted text end new text begin AND
INTERVENTION OFFICEnew text end .
Subdivision 1.
Responsibilities.
(a) deleted text begin There is established the position of reliability
administratordeleted text end new text begin The Energy Reliability and Intervention Office is establishednew text end in the
Department of Commercenew text begin to represent the interests of Minnesota residents, businesses,
and governments before bodies and agencies outside the state that make, interpret, or
implement regional, national, and international energy policy and regulate and implement
regional or national energy planning or infrastructure developmentnew text end . The deleted text begin administratordeleted text end new text begin
officenew text end shall act as a source of independent expertise and deleted text begin a technical advisor todeleted text end new text begin advice fornew text end
the commissionernew text begin of commercenew text end , the new text begin Public Utilities new text end Commissionnew text begin ,new text end and the public on issues
related to the reliability new text begin and economics new text end of the electric system. new text begin Under the guidance of the
commissioner and the commission, the office shall also participate and advocate for the
state's interests in other regional, national, and international energy matters potentially
impacting Minnesota. new text end In conducting its work, the deleted text begin administratordeleted text end new text begin officenew text end shall provide
assistance to the commissioner new text begin and the commission, as requested, new text end in administering
and implementing the department's duties under new text begin this section and new text end sections 216B.1612,
216B.1691, 216B.2422, 216B.2425, and 216B.243; chapters 216E, 216F, and 216G; and
rules associated with deleted text begin those provisionsdeleted text end new text begin these sectionsnew text end and shall also:
(1) model and monitor new text begin in the state as well as regionally, nationally, and
internationally, as appropriate, new text end the use and operation of the energy infrastructure deleted text begin in
the state, includingdeleted text end new text begin which includesnew text end generation facilities, transmission lines, natural gas
pipelines, new text begin new and emerging energy technologies, demand response and energy efficiency
technologies, new text end and other energy infrastructure;
(2) develop and present to the new text begin commissioner and the new text end commission deleted text begin and parties
technicaldeleted text end new text begin advice andnew text end analyses deleted text begin ofdeleted text end new text begin onnew text end proposed infrastructure projectsdeleted text begin , and provide technical
advice to the commissiondeleted text end new text begin within and outside of the state that could impact the statenew text end ;
(3) present independent, factual, expert, and technical information on infrastructure
proposals and reliability issues at public meetings deleted text begin hosted by the task force, the
Environmental Quality Board, the department, or the commissiondeleted text end .
(b) Upon request and subject to resource constraints, the administrator shall
provide technical assistance regarding matters unrelated to applications for infrastructure
improvements to the task force, the department, or the commission.
(c) The deleted text begin administrator may not advocate for any particular outcome in a commission
proceeding, butdeleted text end new text begin officenew text end may give new text begin policy or new text end technical advice to the commission as to the
impact on the reliability new text begin and economic viability new text end of the energy system of a particular project
or projectsnew text begin of any state, region, or nationnew text end .
Subd. 2.
Administrative issues.
(a) deleted text begin The commissioner may select the administrator.
The administrator must have at least five years of experience working as a power systems
engineer or transmission planner, or in a position dealing with power system reliability
issues, and may not have been a party or a participant in a commission energy proceeding
for at least one year prior to selection by the commissioner.deleted text end The commissioner shall
oversee and direct the work of the deleted text begin administratordeleted text end new text begin officenew text end , annually review deleted text begin thedeleted text end new text begin its new text end expenses
deleted text begin of the administratordeleted text end , and annually approve deleted text begin thedeleted text end new text begin its new text end budget deleted text begin of the administratordeleted text end . The
deleted text begin administratordeleted text end new text begin commissioner new text end may hire staff and may contract for technical expertise in
performing duties when existing state resources are required for other state responsibilities
or when special expertise is required. deleted text begin The salary of the administrator is governed by
section 15A.0815, subdivision 2.
deleted text end
(b) Costs relating to a specific proceeding, analysis, or project are not general
administrative costs. For purposes of this section, "energy utility" means public utilities,
generation and transmission cooperative electric associations, and municipal power
agencies providing natural gas or electric service in the state.
(c) The Department of Commerce shall pay:
(1) the general administrative costs of the deleted text begin administratordeleted text end new text begin officenew text end , not to exceed
$1,000,000 in a fiscal year, and shall assess energy utilities for those administrative costs.
These costs must be consistent with the budget approved by the commissioner under
paragraph (a). The department shall apportion the costs among all energy utilities in
proportion to their respective gross operating revenues from sales of gas or electric service
within the state during the last calendar year, and shall then render a bill to each utility on
a regular basis; and
(2) costs relating to a specific proceeding analysis or project and shall render a bill to
the specific energy utility or utilities participating in the proceeding, analysis, or project
directly, either at the conclusion of a particular proceeding, analysis, or project, or from
time to time during the course of the proceeding, analysis, or project.
(d) For purposes of administrative efficiency, the department shall assess energy
utilities and issue bills in accordance with the billing and assessment procedures provided
in section 216B.62, to the extent that these procedures do not conflict with this subdivision.
The amount of the bills rendered by the department under paragraph (c) must be paid by
the energy utility into an account in the special revenue fund in the state treasury within
30 days from the date of billing and is appropriated to the department for the purposes
provided in this section. The commission shall approve or approve as modified a rate
schedule providing for the automatic adjustment of charges to recover amounts paid by
utilities under this section. All amounts assessed under this section are in addition to
amounts appropriated to the commission and the department by other law.
deleted text begin Subd. 4. deleted text end
deleted text begin Expiration. deleted text end
deleted text begin
Subdivisions 1 and 2 expire June 30, 2012. Subdivision
3 expires June 30, 2008.
deleted text end
Sec. 4. new text begin REVISOR'S INSTRUCTION.
new text end
new text begin
The revisor of statutes shall renumber Minnesota Statutes, section 216C.052, as
Minnesota Statutes, section 216A.14, and also make necessary cross-reference changes
consistent with this renumbering.
new text end
Sec. 5. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2010, section 216A.085,
new text end
new text begin
is repealed.
new text end