1.1                          A bill for an act 
  1.2             relating to taxation; property; providing that certain 
  1.3             personal property at a biomass electric generation 
  1.4             facility is exempt from property taxation; amending 
  1.5             Minnesota Statutes 2002, section 272.02, by adding a 
  1.6             subdivision. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2002, section 272.02, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 68.  [BIOMASS ELECTRIC GENERATION FACILITY; PERSONAL 
  1.11  PROPERTY.] (a) Notwithstanding subdivision 9, clause (a), 
  1.12  attached machinery and other personal property which is a part 
  1.13  of an electric generation facility generating up to 30 megawatts 
  1.14  of installed capacity and that meets the requirements of this 
  1.15  subdivision is exempt.  At the time of construction, the 
  1.16  facility must: 
  1.17     (1) be designed to utilize a minimum 90 percent waste 
  1.18  biomass as a fuel; 
  1.19     (2) not be owned by a public utility as defined in section 
  1.20  216B.02, subdivision 4; 
  1.21     (3) be located within a city of the first class and have 
  1.22  its primary location at a former garbage transfer station; and 
  1.23     (4) be designed to have capability to provide baseload 
  1.24  energy and district heating. 
  1.25     (b) Construction of the facility must be commenced after 
  1.26  January 1, 2004, and before January 1, 2008.  Property eligible 
  2.1   for this exemption does not include electric transmission lines 
  2.2   and interconnections or gas pipelines and interconnections 
  2.3   appurtenant to the property or the facility. 
  2.4      <b>[EFFECTIVE DATE.]</b> This section is effective for assessment 
  2.5   year 2005, taxes payable in 2006, and thereafter.