HF 3999

1st Committee Engrossment - 85th Legislature (2007 - 2008)

Posted on 12/22/2009 12:39 p.m.

1.1A bill for an act 1.2relating to economic development; providing for the coordination of economic 1.3development and environmental policy; requiring a report; creating a task force; 1.4appropriating money;amending Minnesota Statutes 2006, section 116J.8731, 1.5subdivision 4; Minnesota Statutes 2007 Supplement, section 116J.575, 1.6subdivision 1a; proposing coding for new law in Minnesota Statutes, chapter 1.7116J. 1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.9    Section 1. new text begin [116J.437] COORDINATING ECONOMIC DEVELOPMENT AND new text end 1.10 new text begin ENVIRONMENTAL POLICY. new text end 1.11     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin For the purpose of this section, "green economy" means new text end 1.12 new text begin products, processes, methods, technologies, or services intended to do one or more of new text end 1.13 new text begin the following: new text end 1.14     new text begin (1) increase the use of energy from renewable sources, as defined in section new text end 1.15 new text begin 216B.1691; new text end 1.16     new text begin (2) increase the energy efficiency of the electric utility infrastructure system or new text end 1.17 new text begin increase energy conservation related to electricity use, as provided in sections 216B.2401 new text end 1.18 new text begin and 216B.241; new text end 1.19     new text begin (3) reduce greenhouse gas emissions, as defined in section 216H.01, subdivision new text end 1.20 new text begin 2, or mitigate greenhouse gas emissions through, but not limited to, carbon capture, new text end 1.21 new text begin storage, or sequestration; new text end 1.22     new text begin (4) monitor, protect, restore, and preserve the quality of surface waters; or new text end 1.23     new text begin (5) expand use of biofuels, including by expanding the feasibility or reducing the new text end 1.24 new text begin cost of producing biofuels or the types of equipment, machinery, and vehicles that can use new text end 1.25 new text begin biofuels. new text end 2.1     new text begin Subd. 2. new text end new text begin Coordinating economic development and environmental policy. new text end new text begin The new text end 2.2 new text begin commissioner and the board shall cooperate to promote job training that complements new text end 2.3 new text begin green economy business development. new text end 2.4    Sec. 2. Minnesota Statutes 2007 Supplement, section 116J.575, subdivision 1a, is 2.5amended to read: 2.6    Subd. 1a. Priorities. (a) If applications for grants exceed the available 2.7appropriations, grants shall be made for sites that, in the commissioner's judgment, provide 2.8the highest return in public benefits for the public costs incurred. "Public benefits" include 2.9job creation, bioscience development, environmental benefits to the state and region, 2.10efficient use of public transportation, efficient use of existing infrastructure, provision of 2.11affordable housing, multiuse development that constitutes community rebuilding rather 2.12than single-use development, crime reduction, blight reduction, community stabilization, 2.13and property tax base maintenance or improvement. In making this judgment, the 2.14commissioner shall give priority to redevelopment projects with one or more of the 2.15following characteristics: 2.16    (1) the need for redevelopment in conjunction with contamination remediation needs; 2.17    (2) the redevelopment project meets current tax increment financing requirements 2.18for a redevelopment district and tax increments will contribute to the project; 2.19    (3) the redevelopment potential within the municipality; 2.20    (4) proximity to public transit if located in the metropolitan area; 2.21    (5) redevelopment costs related to expansion of a bioscience business in Minnesota; 2.22and 2.23    (6) multijurisdictional projects that take into account the need for affordable housing, 2.24transportation, and environmental impact new text begin ; or new text end 2.25     new text begin (7) the project advances or promotes the green economy as defined in section new text end 2.26 new text begin 116J.437 new text end . 2.27    (b) The factors in paragraph (a) are not listed in a rank order of priority; rather, the 2.28commissioner may weigh each factor, depending upon the facts and circumstances, as 2.29the commissioner considers appropriate. The commissioner may consider other factors 2.30that affect the net return of public benefits for completion of the redevelopment plan. The 2.31commissioner, notwithstanding the listing of priorities and the goal of maximizing the 2.32return of public benefits, shall make grants that distribute available money to sites both 2.33within and outside of the metropolitan area. Unless sufficient applications are not received 2.34for qualifying sites outside of the metropolitan area, at least 50 percent of the money 2.35provided as grants must be made for sites located outside of the metropolitan area. 3.1    Sec. 3. Minnesota Statutes 2006, section 116J.8731, subdivision 4, is amended to read: 3.2    Subd. 4. Eligible projects. Assistance must be evaluated on the existence of the 3.3following conditions: 3.4    (1) creation of new jobs, retention of existing jobs, or improvements in the quality of 3.5existing jobs as measured by the wages, skills, or education associated with those jobs; 3.6    (2) increase in the tax base; 3.7    (3) the project can demonstrate that investment of public dollars induces private 3.8funds; 3.9    (4) the project can demonstrate an excessive public infrastructure or improvement 3.10cost beyond the means of the affected community and private participants in the project; 3.11    (5) the project provides higher wage levels to the community or will add value to 3.12current workforce skills; 3.13    (6) whether assistance is necessary to retain existing business; and 3.14    (7) whether assistance is necessary to attract out-of-state business new text begin ; and new text end 3.15     new text begin (8) the project promotes or advances the green economy as defined in section new text end 3.16 new text begin 116J.437 new text end . 3.17    A grant or loan cannot be made based solely on a finding that the conditions in 3.18clause (6) or (7) exist. A finding must be made that a condition in clause (1), (2), (3), 3.19(4), or (5) also exists. 3.20    Applications recommended for funding shall be submitted to the commissioner. 3.21    Sec. 4. new text begin REPORT. new text end 3.22     new text begin The commissioner of commerce, in consultation with the commissioner of new text end 3.23 new text begin employment and economic development, must analyze all state grant and loan programs new text end 3.24 new text begin administered by a state agency to develop a plan specific to each program to optimize the new text end 3.25 new text begin growth of the green economy, as defined in section 1, through program activities. The new text end 3.26 new text begin report, along with any necessary implementing legislation, must be submitted to the chairs new text end 3.27 new text begin of the legislative committees with primary jurisdiction over energy, environmental, and new text end 3.28 new text begin economic development finance or policy issues by January 15, 2009. new text end 3.29    Sec. 5. new text begin GREEN ECONOMY TRANSFORMATION TASK FORCE. new text end 3.30     new text begin Subdivision 1. new text end new text begin Task force. new text end new text begin (a) A Green Economy Transformation Task Force is new text end 3.31 new text begin created to advise and assist the governor and legislature regarding activities to transform new text end 3.32 new text begin the state's economy, and to develop a statewide action plan as provided under subdivision new text end 3.33 new text begin 2. The task force shall consist of: new text end 4.1     new text begin (1) three legislators from the house of representatives, including one minority new text end 4.2 new text begin caucus member, appointed by the speaker, and three legislators from the senate, including new text end 4.3 new text begin one minority caucus member, appointed by the Subcommittee on Committees of the new text end 4.4 new text begin Committee on Rules and Administration; new text end 4.5     new text begin (2) six representatives from state agencies and institutions appointed by the new text end 4.6 new text begin governor, including one member from the Office of Energy Security, one member from new text end 4.7 new text begin the Department of Employment and Economic Security, one member from the Job Skills new text end 4.8 new text begin Partnership Board, one member from the University of Minnesota, one member from new text end 4.9 new text begin Minnesota State Colleges and Universities, and one additional member; and new text end 4.10     new text begin (3) six persons from the private sector appointed by the cochairs of the task force, new text end 4.11 new text begin including one member representing the utility industry, one member representing labor, new text end 4.12 new text begin one member representing manufacturing, one member representing financial institutions, new text end 4.13 new text begin one member representing venture capital, and one additional member. A cochair shall new text end 4.14 new text begin be named from among the legislative members by the appointing authority of each new text end 4.15 new text begin legislative body. new text end 4.16 new text begin The governor is exempt from the requirements of the open appointments process for new text end 4.17 new text begin purposes of appointing task force members. new text end 4.18     new text begin (b) The Department of Commerce shall provide staff support to the task force. The new text end 4.19 new text begin task force may accept outside resources to help support its efforts. new text end 4.20     new text begin Subd. 2. new text end new text begin Duties. new text end new text begin (a) By January 15, 2009, the task force shall develop and present to new text end 4.21 new text begin the legislature and the governor a statewide action plan, including necessary legislation new text end 4.22 new text begin and budget requests, for transforming the economic system of the state to respond to and new text end 4.23 new text begin benefit from the environmental and energy policies of the state contained in the: new text end 4.24     new text begin (1) renewable energy standard in Minnesota Statutes, section 216B.1691, new text end 4.25 new text begin subdivision 2a; new text end 4.26     new text begin (2) energy conservation requirement in Minnesota Statutes, section 216B.241, new text end 4.27 new text begin subdivision 1c; new text end 4.28     new text begin (3) greenhouse gas emission reduction goals in Minnesota Statutes, section 216H.02, new text end 4.29 new text begin subdivision 1; new text end 4.30     new text begin (4) Clean Water Legacy Act in Minnesota Statutes, chapter 114D; and new text end 4.31     new text begin (5) biofuels 25 by 2025 initiative in Minnesota Statutes, sections 41A.10, subdivision new text end 4.32 new text begin 2, and 41A.11. new text end 4.33     new text begin (b) The plan may consist of legislative actions, administrative actions of new text end 4.34 new text begin governmental entities, collaborative actions, and actions of individuals and individual new text end 4.35 new text begin organizations. The plan must be developed following the analysis described in this new text end 4.36 new text begin paragraph and must be based on the analysis. The analysis must include: new text end 5.1     new text begin (1) a market analysis of the business opportunities and needs created by the laws new text end 5.2 new text begin enumerated in paragraph (a), including local, state, national, and international markets; new text end 5.3     new text begin (2) an analysis of the labor force needs related to the market analysis opportunities new text end 5.4 new text begin identified in clause (1), including educational, training, and retraining needs; and new text end 5.5     new text begin (3) an inventory of the current labor and business assets available to respond to the new text end 5.6 new text begin opportunities identified in clause (1) and the labor needs identified in clause (2). new text end 5.7 new text begin The task force shall contract for the analysis required by this paragraph. new text end 5.8     new text begin (c) The task force expires June 30, 2009. new text end 5.9    Sec. 6. new text begin APPROPRIATION. new text end 5.10     new text begin $....... is appropriated in fiscal year 2009 from the general fund to the commissioner new text end 5.11 new text begin of commerce for the purpose of section 5. new text end