<a id="pl.1.3"></a><var>1.3</var>eminent domain appraisal and negotiation requirements apply to public service <br/>
<a id="pl.1.4"></a><var>1.4</var>corporations; modifying cost recovery provisions for electric transmission and <br/>
<a id="pl.1.5"></a><var>1.5</var>renewable energy facilities; requiring a certain proportion of solar-generated <br/>
<a id="pl.1.6"></a><var>1.6</var>electricity under a utility's renewable energy standard; allowing utilities to fund <br/>
<a id="pl.1.7"></a><var>1.7</var>certain solar energy products under the conservation improvement program; <br/>
<a id="pl.1.8"></a><var>1.8</var>requiring some electricity to be generated from solar energy by 2012; exempting <br/>
<a id="pl.1.9"></a><var>1.9</var>certain wind and solar projects from the requirement to obtain a certificate <br/>
<a id="pl.1.10"></a><var>1.10</var>of need; modifying and adding provisions relating to notice to and meetings <br/>
<a id="pl.1.11"></a><var>1.11</var>with local units of government for siting large electric generating plant or <br/>
<a id="pl.1.12"></a><var>1.12</var>high-voltage transmission line; allowing size election for certain wind energy <br/>
<a id="pl.1.13"></a><var>1.13</var>conversion systems; creating a wind project aggregation program; requiring <br/>
<a id="pl.1.14"></a><var>1.14</var>reports on reducing greenhouse gas emissions; requiring reporting of emissions <br/>
<a id="pl.1.15"></a><var>1.15</var>or leakage of greenhouse gases with high global warming potential; requiring <br/>
<a id="pl.1.16"></a><var>1.16</var>development of plan for solar rating and certification laboratory; appropriating <br/>
<a id="pl.1.17"></a><var>1.17</var>money;amending Minnesota Statutes 2006, sections 115C.04, subdivision 3; <br/>
<a id="pl.1.18"></a><var>1.18</var>115C.09, subdivision 3h, by adding a subdivision; 117.189; 216B.16, subdivision <br/>
<a id="pl.1.19"></a><var>1.19</var>7b; 216B.1645, subdivisions 1, 2; 216B.2411, subdivision 2, by adding a <br/>
<a id="pl.1.20"></a><var>1.20</var>subdivision; 216B.243, by adding a subdivision; 216E.03, subdivision 4, by <br/>
<a id="pl.1.21"></a><var>1.21</var>adding subdivisions; Minnesota Statutes 2007 Supplement, sections 216B.1645, <br/>
<a id="pl.1.22"></a><var>1.22</var>subdivision 2a; 216B.1691, subdivision 2a; 216B.2411, subdivision 1; proposing <br/>
<a id="pl.1.23"></a><var>1.23</var>coding for new law in Minnesota Statutes, chapters 216F; 216H; repealing <br/>
<a id="pl.1.24"></a><var>1.24</var>Minnesota Statutes 2006, section 115C.09, subdivision 3j.<br/>
<a id="pl.1.25"></a><var>1.25</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.26"></a><var>1.26</var>    Section 1. Minnesota Statutes 2006, section 115C.04, subdivision 3, is amended to read:<br/>
<a id="pl.1.27"></a><var>1.27</var>    Subd. 3. <b>Agency</b><b> Cost recovery; subrogation.</b> Reasonable and necessary expenses <br/>
<a id="pl.1.28"></a><var>1.28</var>incurred by the agency in taking a corrective action, including costs of investigating <br/>
<a id="pl.1.29"></a><var>1.29</var>a release, administrative and legal expenses, and reimbursement costs described in <br/>
<a id="pl.1.30"></a><var>1.30</var>subdivision 1, paragraph (b), may be recovered in a civil action in district court brought <br/>
<a id="pl.1.31"></a><var>1.31</var>by the attorney general board against a responsible person. The agency's certification of <br/>
<a id="pl.1.32"></a><var>1.32</var>expenses is prima facie evidence that the expenses are reasonable and necessary. If the <br/>
<a id="pl.2.1"></a><var>2.1</var>responsible person has petroleum tank leakage or spill insurance coverage that insures <br/>
<a id="pl.2.2"></a><var>2.2</var>against the liability provided in this section, the agency board is subrogated to the rights <br/>
<a id="pl.2.3"></a><var>2.3</var>of the responsible person with respect to that insurance coverage, to the extent of the <br/>
<a id="pl.2.4"></a><var>2.4</var>expenses incurred by the agency and described in this subdivision. The agency board <br/>
<a id="pl.2.5"></a><var>2.5</var>may request the attorney general to bring an action in district court against the insurer <br/>
<a id="pl.2.6"></a><var>2.6</var>to enforce this subrogation right. Expenses that are recovered under this section must <br/>
<a id="pl.2.7"></a><var>2.7</var>be deposited in the fund.<br/>
<br/>
<a id="bill.0.2.0"></a><a id="pl.2.8"></a><var>2.8</var>    Sec. 2. Minnesota Statutes 2006, section 115C.09, subdivision 3h, is amended to read:<br/>
<a id="pl.2.9"></a><var>2.9</var>    Subd. 3h. <b>Reimbursement; aboveground tanks in bulk plants.</b> (a) As used in <br/>
<a id="pl.2.10"></a><var>2.10</var>this subdivision, "bulk plant" means an aboveground or underground tank facility with a <br/>
<a id="pl.2.11"></a><var>2.11</var>storage capacity of more than 1,100 gallons but less than 1,000,000 gallons that is used to <br/>
<a id="pl.2.12"></a><var>2.12</var>dispense petroleum into cargo tanks for transportation and sale at another location.<br/>
<a id="pl.2.13"></a><var>2.13</var>    (b) Notwithstanding any other provision in this chapter and any rules adopted <br/>
<a id="pl.2.14"></a><var>2.14</var>pursuant to this chapter, the board shall reimburse 90 percent of an applicant's cost for bulk <br/>
<a id="pl.2.15"></a><var>2.15</var>plant upgrades or closures completed between June 1, 1998, and November 1, 2003, to <br/>
<a id="pl.2.16"></a><var>2.16</var>comply with Minnesota Rules, chapter 7151, provided that the board determines the costs <br/>
<a id="pl.2.17"></a><var>2.17</var>were incurred and reasonable. The reimbursement may not exceed $10,000 per bulk plant. <br/>
<a id="pl.2.18"></a><var>2.18</var>The board may provide reimbursement under this paragraph for work completed after <br/>
<a id="pl.2.19"></a><var>2.19</var>November 1, 2003, if the work was contracted for prior to that date and was not completed <br/>
<a id="pl.2.20"></a><var>2.20</var>by that date as a result of an unanticipated situation, provided that an application for <br/>
<a id="pl.2.21"></a><var>2.21</var>reimbursement under this paragraph, which may be a renewal of an application previously <br/>
<a id="pl.2.22"></a><var>2.22</var>denied, is submitted prior to December 31, 2005.<br/>
<a id="pl.2.23"></a><var>2.23</var>    (c) For corrective action at a bulk plant located on what is or was railroad <br/>
<a id="pl.2.24"></a><var>2.24</var>right-of-way, the board shall reimburse 90 percent of total reimbursable costs on the first <br/>
<a id="pl.2.25"></a><var>2.25</var>$40,000 of reimbursable costs and 100 percent of any remaining reimbursable costs when <br/>
<a id="pl.2.26"></a><var>2.26</var>the applicant can document that more than one bulk plant was operated on the same <br/>
<a id="pl.2.27"></a><var>2.27</var>section of right-of-way, as determined by the commissioner of commerce.<br/>
<br/>
<a id="bill.0.3.0"></a><a id="pl.2.28"></a><var>2.28</var>    Sec. 3. Minnesota Statutes 2006, section 115C.09, is amended by adding a subdivision <br/>
<a id="pl.2.29"></a><var>2.29</var>to read:<br/>
<a id="pl.2.30"></a><var>2.30</var>    Subd. 3k. <b>PVC piping at residential locations.</b> (a) The purpose of this subdivision <br/>
<a id="pl.2.31"></a><var>2.31</var>is to assist homeowners who have installed PVC fill piping as part of the heating oil <br/>
<a id="pl.2.32"></a><var>2.32</var>system at their residences, not knowing that heating oil has been shown to dissolve certain <br/>
<a id="pl.2.33"></a><var>2.33</var>types of glue used to hold PVC piping together. Replacement of the PVC piping with <br/>
<a id="pl.3.1"></a><var>3.1</var>metal piping is intended to avoid the catastrophic release of heating oil, as well as the <br/>
<a id="pl.3.2"></a><var>3.2</var>ensuing cleanup costs, that can occur at residences where the PVC piping fails.<br/>
<a id="pl.3.3"></a><var>3.3</var>    (b) As used in this subdivision:<br/>
<a id="pl.3.4"></a><var>3.4</var>    (1) "residential locations" means a storage tank and appurtenances for heating oil <br/>
<a id="pl.3.5"></a><var>3.5</var>that are used to heat a single-family residence; and<br/>
<a id="pl.3.6"></a><var>3.6</var>    (2) "qualified person" means someone who is registered as a contractor under section <br/>
<a id="pl.3.7"></a><var>3.7</var>115C.11 and, as part of their trade or business, installs or repairs nonpressure piping, <br/>
<a id="pl.3.8"></a><var>3.8</var>heating systems, air conditioning systems, or storage tank systems.<br/>
<a id="pl.3.9"></a><var>3.9</var>    (c) Notwithstanding any other provision of this chapter or any rules adopted <br/>
<a id="pl.3.10"></a><var>3.10</var>under this chapter, the board shall reimburse a qualified person 90 percent of the cost <br/>
<a id="pl.3.11"></a><var>3.11</var>for replacing PVC fill piping with metal piping at residential locations between May 1, <br/>
<a id="pl.3.12"></a><var>3.12</var>2008, and September 1, 2011, provided that the board determines the costs were incurred <br/>
<a id="pl.3.13"></a><var>3.13</var>and reasonable. The reimbursement may not exceed $250 per residential location. The <br/>
<a id="pl.3.14"></a><var>3.14</var>maximum expenditure from the fund may not exceed $1,500,000.<br/>
<a id="pl.3.15"></a><var>3.15</var>    (d) A heating oil vendor is not a responsible person for a heating oil spill inside a <br/>
<a id="pl.3.16"></a><var>3.16</var>residential location if the spill was caused solely by the failure of a tank or appurtenance <br/>
<a id="pl.3.17"></a><var>3.17</var>to a tank owned by the homeowner.<br/>
<br/>
<a id="bill.0.4.0"></a><a id="pl.3.18"></a><var>3.18</var>    Sec. 4. Minnesota Statutes 2006, section 117.189, is amended to read:<br/>
<a id="pl.3.19"></a><var>3.19</var><b>117.189 PUBLIC SERVICE CORPORATION EXCEPTIONS.</b><br/>
<a id="pl.3.20"></a><var>3.20</var>    Sections 
         <statute_ref>117.031</statute_ref>; 
         <statute_ref>117.036</statute_ref>;
<statute_ref>117.055</statute_ref>, subdivision 2, paragraph (b); 
         <statute_ref>117.186</statute_ref>; 
         <statute_ref>117.187</statute_ref>; <br/>
<statute_ref><a id="pl.3.21"></a><var>3.21</var>117.188
         </statute_ref>; and 
         <statute_ref>117.52</statute_ref>, subdivisions 1a and 4, do not apply to public service corporations. <br/>
<a id="pl.3.22"></a><var>3.22</var>For purposes of an award of appraisal fees under section 
         <statute_ref>117.085</statute_ref>, the fees awarded may <br/>
<a id="pl.3.23"></a><var>3.23</var>not exceed $500 for all types of property.<br/>
<a id="pl.3.24"></a><var>3.24</var><b>EFFECTIVE DATE.</b>This section is effective August 1, 2008, and applies to <br/>
<a id="pl.3.25"></a><var>3.25</var>eminent domain proceedings commenced on or after August 1, 2008.<br/>
<br/>
<a id="bill.0.5.0"></a><a id="pl.3.26"></a><var>3.26</var>    Sec. 5. Minnesota Statutes 2006, section 216B.16, subdivision 7b, is amended to read:<br/>
<a id="pl.3.27"></a><var>3.27</var>    Subd. 7b. <b>Transmission cost adjustment.</b> (a) Notwithstanding any other provision <br/>
<a id="pl.3.28"></a><var>3.28</var>of this chapter, the commission may approve a tariff mechanism for the automatic annual <br/>
<a id="pl.3.29"></a><var>3.29</var>adjustment of charges for the Minnesota jurisdictional costs of: (i) new transmission <br/>
<a id="pl.3.30"></a><var>3.30</var>facilities that have been separately filed and reviewed and approved by the commission <br/>
<a id="pl.3.31"></a><var>3.31</var>under section 
         <statute_ref>216B.243</statute_ref> or are certified as a priority project or deemed to be a priority <br/>
<a id="pl.3.32"></a><var>3.32</var>transmission project under section 
         <statute_ref>216B.2425</statute_ref>; and (ii) charges incurred by a utility that <br/>
<a id="pl.3.33"></a><var>3.33</var>accrue from other transmission owners' regionally planned transmission projects that have <br/>
<a id="pl.4.1"></a><var>4.1</var>been determined by the Midwest Independent System Operator to benefit the utility, as <br/>
<a id="pl.4.2"></a><var>4.2</var>provided for under a federally approved tariff.<br/>
<a id="pl.4.3"></a><var>4.3</var>    (b) Upon filing by a public utility or utilities providing transmission service, the <br/>
<a id="pl.4.4"></a><var>4.4</var>commission may approve, reject, or modify, after notice and comment, a tariff that:<br/>
<a id="pl.4.5"></a><var>4.5</var>    (1) allows the utility to recover on a timely basis the costs net of revenues of <br/>
<a id="pl.4.6"></a><var>4.6</var>facilities approved under section 
         <statute_ref>216B.243</statute_ref> or certified or deemed to be certified under <br/>
<a id="pl.4.7"></a><var>4.7</var>section 
         <statute_ref>216B.2425</statute_ref> or exempt from the requirements of section 216B.243;<br/>
<a id="pl.4.8"></a><var>4.8</var>    (2) allows the charges incurred by a utility that accrue from other transmission <br/>
<a id="pl.4.9"></a><var>4.9</var>owners' regionally planned transmission projects that have been determined by the <br/>
<a id="pl.4.10"></a><var>4.10</var>Midwest Independent System Operator to benefit the utility, as provided for under a <br/>
<a id="pl.4.11"></a><var>4.11</var>federally approved tariff;<br/>
<a id="pl.4.12"></a><var>4.12</var>    (3) allows a return on investment at the level approved in the utility's last general <br/>
<a id="pl.4.13"></a><var>4.13</var>rate case, unless a different return is found to be consistent with the public interest;<br/>
<a id="pl.4.14"></a><var>4.14</var>    (3) (4) provides a current return on construction work in progress, provided that <br/>
<a id="pl.4.15"></a><var>4.15</var>recovery from Minnesota retail customers for the allowance for funds used during <br/>
<a id="pl.4.16"></a><var>4.16</var>construction is not sought through any other mechanism;<br/>
<a id="pl.4.17"></a><var>4.17</var>    (4) (5) allows for recovery of other expenses if shown to promote a least-cost project <br/>
<a id="pl.4.18"></a><var>4.18</var>option or is otherwise in the public interest;<br/>
<a id="pl.4.19"></a><var>4.19</var>    (5) (6) allocates project costs appropriately between wholesale and retail customers;<br/>
<a id="pl.4.20"></a><var>4.20</var>    (6) (7) provides a mechanism for recovery above cost, if necessary to improve the <br/>
<a id="pl.4.21"></a><var>4.21</var>overall economics of the project or projects or is otherwise in the public interest; and<br/>
<a id="pl.4.22"></a><var>4.22</var>    (7) (8) terminates recovery once costs have been fully recovered or have otherwise <br/>
<a id="pl.4.23"></a><var>4.23</var>been reflected in the utility's general rates.<br/>
<a id="pl.4.24"></a><var>4.24</var>    (c) A public utility may file annual rate adjustments to be applied to customer bills <br/>
<a id="pl.4.25"></a><var>4.25</var>paid under the tariff approved in paragraph (b). In its filing, the public utility shall provide:<br/>
<a id="pl.4.26"></a><var>4.26</var>    (1) a description of and context for the facilities included for recovery;<br/>
<a id="pl.4.27"></a><var>4.27</var>    (2) a schedule for implementation of applicable projects;<br/>
<a id="pl.4.28"></a><var>4.28</var>    (3) the utility's costs for these projects;<br/>
<a id="pl.4.29"></a><var>4.29</var>    (4) a description of the utility's efforts to ensure the lowest costs to ratepayers for <br/>
<a id="pl.4.30"></a><var>4.30</var>the project; and<br/>
<a id="pl.4.31"></a><var>4.31</var>    (5) calculations to establish that the rate adjustment is consistent with the terms <br/>
<a id="pl.4.32"></a><var>4.32</var>of the tariff established in paragraph (b).<br/>
<a id="pl.4.33"></a><var>4.33</var>    (d) Upon receiving a filing for a rate adjustment pursuant to the tariff established in <br/>
<a id="pl.4.34"></a><var>4.34</var>paragraph (b), the commission shall approve the annual rate adjustments provided that, <br/>
<a id="pl.4.35"></a><var>4.35</var>after notice and comment, the costs included for recovery through the tariff were or are <br/>
<a id="pl.5.1"></a><var>5.1</var>expected to be prudently incurred and achieve transmission system improvements at the <br/>
<a id="pl.5.2"></a><var>5.2</var>lowest feasible and prudent cost to ratepayers.<br/>
<br/>
<a id="bill.0.6.0"></a><a id="pl.5.3"></a><var>5.3</var>    Sec. 6. Minnesota Statutes 2006, section 216B.1645, subdivision 1, is amended to read:<br/>
<a id="pl.5.4"></a><var>5.4</var>    Subdivision 1. <b>Commission authority.</b> Upon the petition of a public utility, the <br/>
<a id="pl.5.5"></a><var>5.5</var>Public Utilities Commission shall approve or disapprove power purchase contracts, <br/>
<a id="pl.5.6"></a><var>5.6</var>investments, or expenditures entered into or made by the utility to satisfy the wind and <br/>
<a id="pl.5.7"></a><var>5.7</var>biomass mandates contained in sections 
         <statute_ref>216B.169</statute_ref>, 
         <statute_ref>216B.2423</statute_ref>, and 
         <statute_ref>216B.2424</statute_ref>, and to <br/>
<a id="pl.5.8"></a><var>5.8</var>satisfy the renewable energy objectives and standards set forth in section 
         <statute_ref>216B.1691</statute_ref>, <br/>
<a id="pl.5.9"></a><var>5.9</var>including reasonable investments and expenditures made to:<br/>
<a id="pl.5.10"></a><var>5.10</var>    (1) transmit the electricity generated from sources developed under those sections <br/>
<a id="pl.5.11"></a><var>5.11</var>that is ultimately used to provide service to the utility's retail customers, including <br/>
<a id="pl.5.12"></a><var>5.12</var>studies necessary to identify new transmission facilities needed to transmit electricity to <br/>
<a id="pl.5.13"></a><var>5.13</var>Minnesota retail customers from generating facilities constructed to satisfy the renewable <br/>
<a id="pl.5.14"></a><var>5.14</var>energy objectives and standards, provided that the costs of the studies have not been <br/>
<a id="pl.5.15"></a><var>5.15</var>recovered previously under existing tariffs and the utility has filed an application for a <br/>
<a id="pl.5.16"></a><var>5.16</var>certificate of need or for certification as a priority project under section 
         <statute_ref>216B.2425</statute_ref> for the <br/>
<a id="pl.5.17"></a><var>5.17</var>new transmission facilities identified in the studies;<br/>
<a id="pl.5.18"></a><var>5.18</var>    (2) provide storage facilities for renewable energy generation facilities that <br/>
<a id="pl.5.19"></a><var>5.19</var>contribute to the reliability, efficiency, or cost-effectiveness of the renewable facilities; or<br/>
<a id="pl.5.20"></a><var>5.20</var>    (2) (3) develop renewable energy sources from the account required in section <br/>
<statute_ref><a id="pl.5.21"></a><var>5.21</var>116C.779
         </statute_ref>.<br/>
<br/>
<a id="bill.0.7.0"></a><a id="pl.5.22"></a><var>5.22</var>    Sec. 7. Minnesota Statutes 2006, section 216B.1645, subdivision 2, is amended to read:<br/>
<a id="pl.5.23"></a><var>5.23</var>    Subd. 2. <b>Cost recovery.</b> The expenses incurred by the utility over the duration of <br/>
<a id="pl.5.24"></a><var>5.24</var>the approved contract or useful life of the investment and expenditures made pursuant <br/>
<a id="pl.5.25"></a><var>5.25</var>to section 
         <statute_ref>116C.779</statute_ref> shall be recoverable from the ratepayers of the utility, to the extent <br/>
<a id="pl.5.26"></a><var>5.26</var>they are not offset by utility revenues attributable to the contracts, investments, or <br/>
<a id="pl.5.27"></a><var>5.27</var>expenditures. Upon petition by a public utility, the commission shall approve or approve <br/>
<a id="pl.5.28"></a><var>5.28</var>as modified a rate schedule providing for the automatic adjustment of charges to recover <br/>
<a id="pl.5.29"></a><var>5.29</var>the expenses or costs approved by the commission under subdivision 1, which, in the case <br/>
<a id="pl.5.30"></a><var>5.30</var>of transmission expenditures, are limited to the portion of actual transmission costs that are <br/>
<a id="pl.5.31"></a><var>5.31</var>directly allocable to the need to transmit power from the renewable sources of energy. The <br/>
<a id="pl.5.32"></a><var>5.32</var>commission may not approve recovery of the costs for that portion of the power generated <br/>
<a id="pl.5.33"></a><var>5.33</var>from sources governed by this section that the utility sells into the wholesale market. <br/>
<br/>
<a id="bill.0.8.0"></a><a id="pl.6.1"></a><var>6.1</var>    Sec. 8. Minnesota Statutes 2007 Supplement, section 216B.1645, subdivision 2a, <br/>
<a id="pl.6.2"></a><var>6.2</var>is amended to read:<br/>
<a id="pl.6.3"></a><var>6.3</var>    Subd. 2a. <b>Cost recovery for owned renewable facilities.</b> (a) A utility may petition <br/>
<a id="pl.6.4"></a><var>6.4</var>the commission to approve a rate schedule that provides for the automatic adjustment of <br/>
<a id="pl.6.5"></a><var>6.5</var>charges to recover prudently incurred investments, expenses, or costs associated with <br/>
<a id="pl.6.6"></a><var>6.6</var>facilities constructed, owned, or operated by a utility to satisfy the requirements of section <br/>
<statute_ref><a id="pl.6.7"></a><var>6.7</var>216B.1691
         </statute_ref>, provided those facilities were previously approved by the commission under <br/>
<a id="pl.6.8"></a><var>6.8</var>section 216B.2422 or 216B.243, or were determined by the commission to be reasonable <br/>
<a id="pl.6.9"></a><var>6.9</var>and prudent under section 216B.243, subdivision 9. The commission may approve, or <br/>
<a id="pl.6.10"></a><var>6.10</var>approve as modified, a rate schedule that: <br/>
<a id="pl.6.11"></a><var>6.11</var>    (1) allows a utility to recover directly from customers on a timely basis the costs of <br/>
<a id="pl.6.12"></a><var>6.12</var>qualifying renewable energy projects, including: <br/>
<a id="pl.6.13"></a><var>6.13</var>    (i) return on investment; <br/>
<a id="pl.6.14"></a><var>6.14</var>    (ii) depreciation; <br/>
<a id="pl.6.15"></a><var>6.15</var>    (iii) ongoing operation and maintenance costs; <br/>
<a id="pl.6.16"></a><var>6.16</var>    (iv) taxes; and <br/>
<a id="pl.6.17"></a><var>6.17</var>    (v) costs of transmission and other ancillary expenses directly allocable to <br/>
<a id="pl.6.18"></a><var>6.18</var>transmitting electricity generated from a project meeting the specifications of this <br/>
<a id="pl.6.19"></a><var>6.19</var>paragraph; <br/>
<a id="pl.6.20"></a><var>6.20</var>    (2) provides a current return on construction work in progress, provided that recovery <br/>
<a id="pl.6.21"></a><var>6.21</var>of these costs from Minnesota ratepayers is not sought through any other mechanism; <br/>
<a id="pl.6.22"></a><var>6.22</var>    (3) allows recovery of other expenses incurred that are directly related to a <br/>
<a id="pl.6.23"></a><var>6.23</var>renewable energy project, including expenses for energy storage, provided that the <br/>
<a id="pl.6.24"></a><var>6.24</var>utility demonstrates to the commission's satisfaction that the expenses improve project <br/>
<a id="pl.6.25"></a><var>6.25</var>economics, ensure project implementation, or facilitate coordination with the development <br/>
<a id="pl.6.26"></a><var>6.26</var>of transmission necessary to transport energy produced by the project to market; <br/>
<a id="pl.6.27"></a><var>6.27</var>    (4) allocates recoverable costs appropriately between wholesale and retail customers; <br/>
<a id="pl.6.28"></a><var>6.28</var>    (5) terminates recovery when costs have been fully recovered or have otherwise <br/>
<a id="pl.6.29"></a><var>6.29</var>been reflected in a utility's rates. <br/>
<a id="pl.6.30"></a><var>6.30</var>    (b) A petition filed under this subdivision must include: <br/>
<a id="pl.6.31"></a><var>6.31</var>    (1) a description of the facilities for which costs are to be recovered; <br/>
<a id="pl.6.32"></a><var>6.32</var>    (2) an implementation schedule for the facilities; <br/>
<a id="pl.6.33"></a><var>6.33</var>    (3) the utility's costs for the facilities; <br/>
<a id="pl.6.34"></a><var>6.34</var>    (4) a description of the utility's efforts to ensure that costs of the facilities are <br/>
<a id="pl.6.35"></a><var>6.35</var>reasonable and were prudently incurred; and <br/>
<a id="pl.7.1"></a><var>7.1</var>    (5) a description of the benefits of the project in promoting the development of <br/>
<a id="pl.7.2"></a><var>7.2</var>renewable energy in a manner consistent with this chapter.<br/>
<br/>
<a id="bill.0.9.0"></a><a id="pl.7.3"></a><var>7.3</var>    Sec. 9. Minnesota Statutes 2007 Supplement, section 216B.1691, subdivision 2a, <br/>
<a id="pl.7.4"></a><var>7.4</var>is amended to read:<br/>
<a id="pl.7.5"></a><var>7.5</var>    Subd. 2a. <b>Eligible energy technology standard.</b> (a) Except as provided in <br/>
<a id="pl.7.6"></a><var>7.6</var>paragraph (b), each electric utility shall generate or procure sufficient electricity generated <br/>
<a id="pl.7.7"></a><var>7.7</var>by an eligible energy technology to provide its retail customers in Minnesota, or the <br/>
<a id="pl.7.8"></a><var>7.8</var>retail customers of a distribution utility to which the electric utility provides wholesale <br/>
<a id="pl.7.9"></a><var>7.9</var>electric service, so that at least the following standard percentages of the electric utility's <br/>
<a id="pl.7.10"></a><var>7.10</var>total retail electric sales to retail customers in Minnesota are generated by eligible energy <br/>
<a id="pl.7.11"></a><var>7.11</var>technologies by the end of the year indicated:<br/>
<table>
<col width="50px"/>
<col width="71px"/>
<col width="71px"/>
<col width="277px"/>
<tr>
<td><a id="pl.7.12"></a><var>7.12</var><br/>
</td>
<td align="left" valign="bottom">(1)<br/>
</td>
<td align="left" valign="bottom">2012<br/>
</td>
<td align="left" valign="bottom">12 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.13"></a><var>7.13</var><br/>
</td>
<td align="left" valign="bottom">(2)<br/>
</td>
<td align="left" valign="bottom">2016<br/>
</td>
<td align="left" valign="bottom">17 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.14"></a><var>7.14</var><br/>
</td>
<td align="left" valign="bottom">(3)<br/>
</td>
<td align="left" valign="bottom">2020<br/>
</td>
<td align="left" valign="bottom">20 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.15"></a><var>7.15</var><br/>
</td>
<td align="left" valign="bottom">(4)<br/>
</td>
<td align="left" valign="bottom">2025<br/>
</td>
<td align="left" valign="bottom">25 percent.<br/>
</td>
</tr>
</table><a id="pl.7.16"></a><var>7.16</var>    (b) An electric utility that owned a nuclear generating facility as of January 1, 2007, <br/>
<a id="pl.7.17"></a><var>7.17</var>must meet the requirements of this paragraph rather than paragraph (a). An electric utility <br/>
<a id="pl.7.18"></a><var>7.18</var>subject to this paragraph must generate or procure sufficient electricity generated by <br/>
<a id="pl.7.19"></a><var>7.19</var>an eligible energy technology to provide its retail customers in Minnesota or the retail <br/>
<a id="pl.7.20"></a><var>7.20</var>customer of a distribution utility to which the electric utility provides wholesale electric <br/>
<a id="pl.7.21"></a><var>7.21</var>service so that at least the following percentages of the electric utility's total retail electric <br/>
<a id="pl.7.22"></a><var>7.22</var>sales to retail customers in Minnesota are generated by eligible energy technologies by the <br/>
<a id="pl.7.23"></a><var>7.23</var>end of the year indicated:<br/>
<table>
<col width="50px"/>
<col width="71px"/>
<col width="71px"/>
<col width="277px"/>
<tr>
<td><a id="pl.7.24"></a><var>7.24</var><br/>
</td>
<td align="left" valign="bottom">(1)<br/>
</td>
<td align="left" valign="bottom">2010<br/>
</td>
<td align="left" valign="bottom">15 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.25"></a><var>7.25</var><br/>
</td>
<td align="left" valign="bottom">(2)<br/>
</td>
<td align="left" valign="bottom">2012<br/>
</td>
<td align="left" valign="bottom">18 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.26"></a><var>7.26</var><br/>
</td>
<td align="left" valign="bottom">(3)<br/>
</td>
<td align="left" valign="bottom">2016<br/>
</td>
<td align="left" valign="bottom">25 percent<br/>
</td>
</tr>
<tr>
<td><a id="pl.7.27"></a><var>7.27</var><br/>
</td>
<td align="left" valign="bottom">(4)<br/>
</td>
<td align="left" valign="bottom">2020<br/>
</td>
<td align="left" valign="bottom">30 percent.<br/>
</td>
</tr>
</table><a id="pl.7.28"></a><var>7.28</var>Of the 30 percent in 2020, at least 25 percent must be generated by wind energy conversion <br/>
<a id="pl.7.29"></a><var>7.29</var>systems and the remaining five percent by other eligible energy technology.<br/>
<a id="pl.7.30"></a><var>7.30</var>    (c) By the end of the year 2012, at least 0.0125 percent of the electricity required by <br/>
<a id="pl.7.31"></a><var>7.31</var>paragraphs (a) and (b) to be generated by each electric utility must be generated by solar <br/>
<a id="pl.7.32"></a><var>7.32</var>energy. At least 60 percent of the required solar energy electric generation by each utility <br/>
<a id="pl.7.33"></a><var>7.33</var>must be distributed solar generated at a customer's site with customer-owned facilities. <br/>
<a id="pl.7.34"></a><var>7.34</var>For the purposes of this paragraph, "distributed solar" means solar electric equipment that <br/>
<a id="pl.7.35"></a><var>7.35</var>meets the requirements of section 216C.25 with a total peak generating capacity of 100 <br/>
<a id="pl.8.1"></a><var>8.1</var>kilowatts or less used for generating electricity primarily for use in a residential property <br/>
<a id="pl.8.2"></a><var>8.2</var>or small business, as defined by section 645.445, to reduce the effective electric load <br/>
<a id="pl.8.3"></a><var>8.3</var>for that residence or business. An electric utility that generates less than 60 percent of <br/>
<a id="pl.8.4"></a><var>8.4</var>its required solar energy electric generation with customer-owned distributed solar must <br/>
<a id="pl.8.5"></a><var>8.5</var>demonstrate that reasonable efforts were made to achieve sufficient customer participation <br/>
<a id="pl.8.6"></a><var>8.6</var>in a timely manner.<br/>
<br/>
<a id="bill.0.10.0"></a><a id="pl.8.7"></a><var>8.7</var>    Sec. 10. Minnesota Statutes 2007 Supplement, section 216B.2411, subdivision 1, <br/>
<a id="pl.8.8"></a><var>8.8</var>is amended to read:<br/>
<a id="pl.8.9"></a><var>8.9</var>    Subdivision 1. <b>Generation projects.</b> (a) Any municipality or rural electric <br/>
<a id="pl.8.10"></a><var>8.10</var>association providing electric service and subject to section 
         <statute_ref>216B.241</statute_ref> that is meeting the <br/>
<a id="pl.8.11"></a><var>8.11</var>objectives under section 
<statute_ref>216B.1691</statute_ref> may, and each public utility may, use five percent <br/>
<a id="pl.8.12"></a><var>8.12</var>of the total amount to be spent on energy conservation improvements under section <br/>
<statute_ref><a id="pl.8.13"></a><var>8.13</var>216B.241
         </statute_ref>, on: <br/>
<a id="pl.8.14"></a><var>8.14</var>    (1) projects in Minnesota to construct an electric generating facility that utilizes <br/>
<a id="pl.8.15"></a><var>8.15</var>eligible renewable energy sources as defined in subdivision 2, such as methane or other <br/>
<a id="pl.8.16"></a><var>8.16</var>combustible gases derived from the processing of plant or animal wastes, biomass fuels <br/>
<a id="pl.8.17"></a><var>8.17</var>such as short-rotation woody or fibrous agricultural crops, or other renewable fuel, as its <br/>
<a id="pl.8.18"></a><var>8.18</var>primary fuel source; or<br/>
<a id="pl.8.19"></a><var>8.19</var>    (2) projects in Minnesota to install a distributed generation facility of ten megawatts <br/>
<a id="pl.8.20"></a><var>8.20</var>or less of interconnected capacity that is fueled by natural gas, renewable fuels, or another <br/>
<a id="pl.8.21"></a><var>8.21</var>similarly clean fuel.; or<br/>
<a id="pl.8.22"></a><var>8.22</var>    (3) installing a qualifying solar energy project as defined in subdivision 2.<br/>
<a id="pl.8.23"></a><var>8.23</var>    (b) For public utilities, as defined under section 
         <statute_ref>216B.02, subdivision 4</statute_ref>, projects <br/>
<a id="pl.8.24"></a><var>8.24</var>under this section must be considered energy conservation improvements as defined in <br/>
<a id="pl.8.25"></a><var>8.25</var>section 
         <statute_ref>216B.241</statute_ref>. For cooperative electric associations and municipal utilities, projects <br/>
<a id="pl.8.26"></a><var>8.26</var>under this section must be considered load-management activities described in section <br/>
<statute_ref><a id="pl.8.27"></a><var>8.27</var>216B.241, subdivision 1
         </statute_ref>. <br/>
<br/>
<a id="bill.0.11.0"></a><a id="pl.8.28"></a><var>8.28</var>    Sec. 11. Minnesota Statutes 2006, section 216B.2411, subdivision 2, is amended to <br/>
<a id="pl.8.29"></a><var>8.29</var>read:<br/>
<a id="pl.8.30"></a><var>8.30</var>    Subd. 2. <b>Definitions.</b> (a) For the purposes of this section, the terms defined in this <br/>
<a id="pl.8.31"></a><var>8.31</var>subdivision and section 
         <statute_ref>216B.241, subdivision 1</statute_ref>, have the meanings given them. <br/>
<a id="pl.8.32"></a><var>8.32</var>    (b) "Eligible renewable energy sources" means fuels and technologies to generate <br/>
<a id="pl.8.33"></a><var>8.33</var>electricity through the use of any of the resources listed in section 
         <statute_ref>216B.1691, subdivision <br/>
<a id="pl.8.34"></a><var>8.34</var>1
         </statute_ref>, paragraph (a), clause (1), except that the term "biomass" has the meaning provided <br/>
<a id="pl.9.1"></a><var>9.1</var>under paragraph (c), and "solar" must meet the definition of a qualified solar energy <br/>
<a id="pl.9.2"></a><var>9.2</var>project under paragraph (d). <br/>
<a id="pl.9.3"></a><var>9.3</var>    (c) "Biomass" includes:<br/>
<a id="pl.9.4"></a><var>9.4</var>    (1) methane or other combustible gases derived from the processing of plant or <br/>
<a id="pl.9.5"></a><var>9.5</var>animal material;<br/>
<a id="pl.9.6"></a><var>9.6</var>    (2) alternative fuels derived from soybean and other agricultural plant oils or animal <br/>
<a id="pl.9.7"></a><var>9.7</var>fats;<br/>
<a id="pl.9.8"></a><var>9.8</var>    (3) combustion of barley hulls, corn, soy-based products, or other agricultural <br/>
<a id="pl.9.9"></a><var>9.9</var>products;<br/>
<a id="pl.9.10"></a><var>9.10</var>    (4) wood residue from the wood products industry in Minnesota or other wood <br/>
<a id="pl.9.11"></a><var>9.11</var>products such as short-rotation woody or fibrous agricultural crops; and<br/>
<a id="pl.9.12"></a><var>9.12</var>    (5) landfill gas, mixed municipal solid waste, and refuse-derived fuel from mixed <br/>
<a id="pl.9.13"></a><var>9.13</var>municipal solid waste.<br/>
<a id="pl.9.14"></a><var>9.14</var>    (d) "Qualifying solar energy project" means a qualifying solar thermal project or <br/>
<a id="pl.9.15"></a><var>9.15</var>qualifying solar electric project.<br/>
<a id="pl.9.16"></a><var>9.16</var>    (e) "Qualifying solar thermal project" means a flat plate or evacuated tube that meets <br/>
<a id="pl.9.17"></a><var>9.17</var>the requirements of section 216C.25 with a fixed orientation that collects the sun's radiant <br/>
<a id="pl.9.18"></a><var>9.18</var>energy and transfers it to a storage medium for distribution as energy to heat or cool air or <br/>
<a id="pl.9.19"></a><var>9.19</var>water, but does not include equipment used to heat water at a residential property (1) for <br/>
<a id="pl.9.20"></a><var>9.20</var>domestic use if less than one-half of the energy used for that purpose is derived from the <br/>
<a id="pl.9.21"></a><var>9.21</var>sun or (2) for use in a hot tub or swimming pool.<br/>
<a id="pl.9.22"></a><var>9.22</var>    (f) "Qualifying solar electric project" means solar electric equipment that meets the <br/>
<a id="pl.9.23"></a><var>9.23</var>requirements of section 216C.25 with a total peak generating capacity of 100 kilowatts <br/>
<a id="pl.9.24"></a><var>9.24</var>or less used for generating electricity primarily for use in a residential property or small <br/>
<a id="pl.9.25"></a><var>9.25</var>business to reduce the effective electric load for that residence or small business.<br/>
<a id="pl.9.26"></a><var>9.26</var>    (g) "Residential property" means the principal residence used by the homeowner at <br/>
<a id="pl.9.27"></a><var>9.27</var>the time the solar equipment is placed in service.<br/>
<a id="pl.9.28"></a><var>9.28</var>    (h) "Small business" has the meaning given to it in section 645.445.<br/>
<br/>
<a id="bill.0.12.0"></a><a id="pl.9.29"></a><var>9.29</var>    Sec. 12. Minnesota Statutes 2006, section 216B.2411, is amended by adding a <br/>
<a id="pl.9.30"></a><var>9.30</var>subdivision to read:<br/>
<a id="pl.9.31"></a><var>9.31</var>    Subd. 4. <b>Qualifying solar energy project.</b> (a) A utility subject to section 216B.241 <br/>
<a id="pl.9.32"></a><var>9.32</var>may include in its conservation plan programs for the installation of qualifying solar <br/>
<a id="pl.9.33"></a><var>9.33</var>energy projects as provided in this section. Qualifying solar energy projects must <br/>
<a id="pl.9.34"></a><var>9.34</var>meet or exceed cost-effectiveness and other guidelines to be developed by order of <br/>
<a id="pl.9.35"></a><var>9.35</var>the commissioner. Energy savings from qualifying solar energy projects may not be <br/>
<a id="pl.10.1"></a><var>10.1</var>counted toward the minimum energy savings goal of at least one percent for energy <br/>
<a id="pl.10.2"></a><var>10.2</var>conservation improvements required under section 216B.241, subdivision 1c, but may, as <br/>
<a id="pl.10.3"></a><var>10.3</var>the commissioner determines appropriate:<br/>
<a id="pl.10.4"></a><var>10.4</var>    (1) be counted above that minimum percentage; and<br/>
<a id="pl.10.5"></a><var>10.5</var>    (2) be considered when establishing performance incentives under section 216B.241, <br/>
<a id="pl.10.6"></a><var>10.6</var>subdivision 2c.<br/>
<a id="pl.10.7"></a><var>10.7</var>    (b) Qualifying solar energy projects may not be considered when establishing <br/>
<a id="pl.10.8"></a><var>10.8</var>demand-side management targets under sections 216B.2422, 216B.243, or any other <br/>
<a id="pl.10.9"></a><var>10.9</var>section of this chapter.<br/>
<br/>
<a id="bill.0.13.0"></a><a id="pl.10.10"></a><var>10.10</var>    Sec. 13. Minnesota Statutes 2006, section 216B.243, is amended by adding a <br/>
<a id="pl.10.11"></a><var>10.11</var>subdivision to read:<br/>
<a id="pl.10.12"></a><var>10.12</var>    Subd. 9. <b>Renewable energy standard facilities.</b> The requirements of this section <br/>
<a id="pl.10.13"></a><var>10.13</var>do not apply to a wind energy conversion system or a solar electric generation facility that <br/>
<a id="pl.10.14"></a><var>10.14</var>is intended to be used to meet or exceed the obligations of section 216B.1691; provided <br/>
<a id="pl.10.15"></a><var>10.15</var>that, after notice and comment, the commission determines that the facility is a reasonable <br/>
<a id="pl.10.16"></a><var>10.16</var>and prudent approach to meeting a utility's obligations under that section. When making <br/>
<a id="pl.10.17"></a><var>10.17</var>this determination, the commission may consider the size of the facility relative to a <br/>
<a id="pl.10.18"></a><var>10.18</var>utility's total need for renewable resources and alternative approaches for supplying <br/>
<a id="pl.10.19"></a><var>10.19</var>the renewable energy to be supplied by the proposed facility, and must consider the <br/>
<a id="pl.10.20"></a><var>10.20</var>facility's ability to promote economic development, as required under section 216B.1691, <br/>
<a id="pl.10.21"></a><var>10.21</var>subdivision 9, maintain electric system reliability and consider impacts on ratepayers, and <br/>
<a id="pl.10.22"></a><var>10.22</var>other criteria as the commission may determine are relevant.<br/>
<a id="pl.10.23"></a><var>10.23</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.14.0"></a><a id="pl.10.24"></a><var>10.24</var>    Sec. 14. Minnesota Statutes 2006, section 216E.03, is amended by adding a subdivision <br/>
<a id="pl.10.25"></a><var>10.25</var>to read:<br/>
<a id="pl.10.26"></a><var>10.26</var>    Subd. 3a. <b>Project notice.</b> At least 120 days before filing an application with the <br/>
<a id="pl.10.27"></a><var>10.27</var>commission, the applicant shall provide notice to each local unit of government within <br/>
<a id="pl.10.28"></a><var>10.28</var>which a route may be proposed. The notice must describe the proposed project and the <br/>
<a id="pl.10.29"></a><var>10.29</var>opportunity for a preapplication consultation meeting with local units of government as <br/>
<a id="pl.10.30"></a><var>10.30</var>provided in subdivision 3b.<br/>
<a id="pl.10.31"></a><var>10.31</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.15.0"></a><a id="pl.11.1"></a><var>11.1</var>    Sec. 15. Minnesota Statutes 2006, section 216E.03, is amended by adding a subdivision <br/>
<a id="pl.11.2"></a><var>11.2</var>to read:<br/>
<a id="pl.11.3"></a><var>11.3</var>    Subd. 3b. <b>Preapplication consultation meetings.</b> Within 30 days of receiving a <br/>
<a id="pl.11.4"></a><var>11.4</var>project notice, local units of government may request the applicant hold a consultation <br/>
<a id="pl.11.5"></a><var>11.5</var>meeting with local units of government. Upon receiving notice from a local unit of <br/>
<a id="pl.11.6"></a><var>11.6</var>government requesting a preapplication consultation meeting, the applicant shall arrange <br/>
<a id="pl.11.7"></a><var>11.7</var>the meeting at a location chosen by the local unit of government.<br/>
<a id="pl.11.8"></a><var>11.8</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.16.0"></a><a id="pl.11.9"></a><var>11.9</var>    Sec. 16. Minnesota Statutes 2006, section 216E.03, subdivision 4, is amended to read:<br/>
<a id="pl.11.10"></a><var>11.10</var>    Subd. 4. <b>Notice of</b><b> Application</b><b> notice</b><b>.</b> Within 15 days after submission of an <br/>
<a id="pl.11.11"></a><var>11.11</var>application to the commission, the applicant shall publish notice of the application in <br/>
<a id="pl.11.12"></a><var>11.12</var>a legal newspaper of general circulation in each county in which the site or route is <br/>
<a id="pl.11.13"></a><var>11.13</var>proposed and send a copy of the application by certified mail to any regional development <br/>
<a id="pl.11.14"></a><var>11.14</var>commission, county, incorporated municipality, and township town in which any part <br/>
<a id="pl.11.15"></a><var>11.15</var>of the site or route is proposed. Within the same 15 days, the applicant shall also send <br/>
<a id="pl.11.16"></a><var>11.16</var>a notice of the submission of the application and description of the proposed project to <br/>
<a id="pl.11.17"></a><var>11.17</var>each owner whose property is on or adjacent to any of the proposed sites for the power <br/>
<a id="pl.11.18"></a><var>11.18</var>plant or along any of the proposed routes for the transmission line. The notice shall must <br/>
<a id="pl.11.19"></a><var>11.19</var>identify a location where a copy of the application can be reviewed. For the purpose <br/>
<a id="pl.11.20"></a><var>11.20</var>of giving mailed notice under this subdivision, owners shall be are those shown on the <br/>
<a id="pl.11.21"></a><var>11.21</var>records of the county auditor or, in any county where tax statements are mailed by the <br/>
<a id="pl.11.22"></a><var>11.22</var>county treasurer, on the records of the county treasurer; but other appropriate records may <br/>
<a id="pl.11.23"></a><var>11.23</var>be used for this purpose. The failure to give mailed notice to a property owner, or defects <br/>
<a id="pl.11.24"></a><var>11.24</var>in the notice, shall does not invalidate the proceedings, provided a bona fide attempt to <br/>
<a id="pl.11.25"></a><var>11.25</var>comply with this subdivision has been made. Within the same 15 days, the applicant shall <br/>
<a id="pl.11.26"></a><var>11.26</var>also send the same notice of the submission of the application and description of the <br/>
<a id="pl.11.27"></a><var>11.27</var>proposed project to those persons who have requested to be placed on a list maintained by <br/>
<a id="pl.11.28"></a><var>11.28</var>the commission for receiving notice of proposed large electric generating power plants <br/>
<a id="pl.11.29"></a><var>11.29</var>and high voltage transmission lines.<br/>
<a id="pl.11.30"></a><var>11.30</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.17.0"></a><a id="pl.11.31"></a><var>11.31</var>    Sec. 17. <b>[216F.012] SIZE ELECTION.</b><br/>
<a id="pl.11.32"></a><var>11.32</var>    (a) Owners of wind energy conversion systems that consist of single ownership <br/>
<a id="pl.11.33"></a><var>11.33</var>units with a nameplate capacity less than five megawatts and a combined nameplate <br/>
<a id="pl.12.1"></a><var>12.1</var>capacity of less than 25 megawatts, as determined under section 216F.011, may elect to be <br/>
<a id="pl.12.2"></a><var>12.2</var>classified as a small wind energy conversion system or a large wind energy conversion <br/>
<a id="pl.12.3"></a><var>12.3</var>system under this chapter.<br/>
<a id="pl.12.4"></a><var>12.4</var>    (b) This section expires July 1, 2012.<br/>
<br/>
<a id="bill.0.18.0"></a><a id="pl.12.5"></a><var>12.5</var>    Sec. 18. <b>[216F.09] WECS AGGREGATION PROGRAM.</b><br/>
<a id="pl.12.6"></a><var>12.6</var>    Subdivision 1. <b>Program established.</b> The entity selected to provide rural wind <br/>
<a id="pl.12.7"></a><var>12.7</var>development assistance under Laws 2007, chapter 57, article 2, section 3, subdivision 6, <br/>
<a id="pl.12.8"></a><var>12.8</var>shall also establish a wind energy conversion system (WECS) aggregation program. The <br/>
<a id="pl.12.9"></a><var>12.9</var>purpose of the program is to create a clearinghouse to coordinate and arrange umbrella <br/>
<a id="pl.12.10"></a><var>12.10</var>sales arrangements for groups of individuals, farmstead property owners, farmers' <br/>
<a id="pl.12.11"></a><var>12.11</var>cooperative associations, community-based energy project developers, school districts, <br/>
<a id="pl.12.12"></a><var>12.12</var>and other political subdivisions to aggregate small-volume purchases, as a group, in order <br/>
<a id="pl.12.13"></a><var>12.13</var>to place large orders for wind energy conversion systems with WECS manufacturers.<br/>
<a id="pl.12.14"></a><var>12.14</var>    Subd. 2. <b>Responsibilities.</b> The entity shall:<br/>
<a id="pl.12.15"></a><var>12.15</var>    (1) provide application procedures for participation in the program; <br/>
<a id="pl.12.16"></a><var>12.16</var>    (2) set minimum standards for wind energy conversion systems to be considered for <br/>
<a id="pl.12.17"></a><var>12.17</var>purchase through the program, which may include price, quality and installation standards, <br/>
<a id="pl.12.18"></a><var>12.18</var>timely delivery schedules and arrangements, performance and reliability ratings, and any <br/>
<a id="pl.12.19"></a><var>12.19</var>other factors considered necessary or desirable for participants;<br/>
<a id="pl.12.20"></a><var>12.20</var>    (3) set eligibility considerations and requirements for purchasers, including <br/>
<a id="pl.12.21"></a><var>12.21</var>availability to the applicant of land authorized for installation and use of WECS, <br/>
<a id="pl.12.22"></a><var>12.22</var>likelihood of a permit being approved by the commission or a county under this chapter, <br/>
<a id="pl.12.23"></a><var>12.23</var>documentation of adequate financing, and other necessary or usual financial or business <br/>
<a id="pl.12.24"></a><var>12.24</var>practices or requirements; <br/>
<a id="pl.12.25"></a><var>12.25</var>    (4) provide a minimal framework for soliciting or contacting manufacturers on <br/>
<a id="pl.12.26"></a><var>12.26</var>behalf of participants; and<br/>
<a id="pl.12.27"></a><var>12.27</var>    (5) coordinate purchase agreements between the manufacturer and participants.<br/>
<a id="pl.12.28"></a><var>12.28</var>    Subd. 3. <b>Report.</b> By February 1 of 2009, and each year thereafter, the commissioner <br/>
<a id="pl.12.29"></a><var>12.29</var>of commerce shall submit a report to the chairs and ranking minority members of the <br/>
<a id="pl.12.30"></a><var>12.30</var>senate and house of representatives committees with primary jurisdiction over energy <br/>
<a id="pl.12.31"></a><var>12.31</var>policy on the activities and results of the program, including the number of participants <br/>
<a id="pl.12.32"></a><var>12.32</var>and the number of purchases made.<br/>
<a id="pl.12.33"></a><var>12.33</var>    Subd. 4. <b>Assessment; appropriation.</b> Annual costs of the program, up to $100,000, <br/>
<a id="pl.12.34"></a><var>12.34</var>must be assessed under section 216C.052, subdivision 2, paragraph (c), clause (1). The <br/>
<a id="pl.12.35"></a><var>12.35</var>assessment is appropriated to the commissioner of commerce to be used by the director <br/>
<a id="pl.13.1"></a><var>13.1</var>of the Office of Energy Security for a grant to the entity to carry out the purposes of <br/>
<a id="pl.13.2"></a><var>13.2</var>this section.<br/>
<a id="pl.13.3"></a><var>13.3</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.19.0"></a><a id="pl.13.4"></a><var>13.4</var>    Sec. 19. <b>[216H.07] GREENHOUSE GAS EMISSION REDUCTION </b><br/>
<a id="pl.13.5"></a><var>13.5</var><b>ATTAINMENT; POLICY DEVELOPMENT PROCESS.</b><br/>
<a id="pl.13.6"></a><var>13.6</var>    Subdivision 1. <b> Definition.</b> For the purpose of this section, "reductions" means the <br/>
<a id="pl.13.7"></a><var>13.7</var>greenhouse gas emissions reductions goals specified in section 216H.02, subdivision 1.<br/>
<a id="pl.13.8"></a><var>13.8</var>    Subd. 2. <b>Purpose.</b> This section is intended to create a nonexclusive, regular process <br/>
<a id="pl.13.9"></a><var>13.9</var>for the state to develop policies to attain the greenhouse gas reduction goals specified <br/>
<a id="pl.13.10"></a><var>13.10</var>in section 216H.02.<br/>
<a id="pl.13.11"></a><var>13.11</var>    Subd. 3. <b>Biennial reduction progress report.</b> By November 1 of each <br/>
<a id="pl.13.12"></a><var>13.12</var>even-numbered year, the commissioners of commerce and the Pollution Control Agency <br/>
<a id="pl.13.13"></a><var>13.13</var>shall jointly report to the chairs and ranking minority members of the legislative <br/>
<a id="pl.13.14"></a><var>13.14</var>committees with primary policy jurisdiction over energy and environmental issues the <br/>
<a id="pl.13.15"></a><var>13.15</var>most recent and best available evidence identifying the level of reductions already <br/>
<a id="pl.13.16"></a><var>13.16</var>achieved and the level necessary to achieve the reduction goals established in section <br/>
<a id="pl.13.17"></a><var>13.17</var>216H.02. The report must be written in easily understood, nontechnical language.<br/>
<a id="pl.13.18"></a><var>13.18</var>    Subd. 4. <b>Annual legislative proposal.</b> The commissioners of commerce and the <br/>
<a id="pl.13.19"></a><var>13.19</var>Pollution Control Agency shall annually by November 1 provide to the chairs and ranking <br/>
<a id="pl.13.20"></a><var>13.20</var>minority members of the legislative committees with primary policy jurisdiction over <br/>
<a id="pl.13.21"></a><var>13.21</var>energy and environmental issues proposed legislation the commissioners determine <br/>
<a id="pl.13.22"></a><var>13.22</var>appropriate to achieve the reductions. If the commissioners determine no legislation is <br/>
<a id="pl.13.23"></a><var>13.23</var>appropriate, they shall report that determination to the chairs along with an explanation of <br/>
<a id="pl.13.24"></a><var>13.24</var>the determination.<br/>
<a id="pl.13.25"></a><var>13.25</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.20.0"></a><a id="pl.13.26"></a><var>13.26</var>    Sec. 20. <b>[216H.10] DEFINITIONS.</b><br/>
<a id="pl.13.27"></a><var>13.27</var>    Subdivision 1. <b>Applicability.</b> For purposes of sections 216H.10 to 216H.15, the <br/>
<a id="pl.13.28"></a><var>13.28</var>following terms have the meanings given.<br/>
<a id="pl.13.29"></a><var>13.29</var>    Subd. 2. <b>Agency.</b> "Agency" means the Pollution Control Agency.<br/>
<a id="pl.13.30"></a><var>13.30</var>    Subd. 3. <b>Carbon dioxide equivalent.</b> "Carbon dioxide equivalent" means the <br/>
<a id="pl.13.31"></a><var>13.31</var>quantity of carbon dioxide that has the same global warming potential as a given amount <br/>
<a id="pl.13.32"></a><var>13.32</var>of another greenhouse gas.<br/>
<a id="pl.14.1"></a><var>14.1</var>    Subd. 4. <b>Commissioner.</b> "Commissioner" means the commissioner of the Pollution <br/>
<a id="pl.14.2"></a><var>14.2</var>Control Agency.<br/>
<a id="pl.14.3"></a><var>14.3</var>    Subd. 5. <b>Global warming.</b> "Global warming" means the observed and predicted <br/>
<a id="pl.14.4"></a><var>14.4</var>increase in the temperature of the atmosphere near the earth's surface and the oceans.<br/>
<a id="pl.14.5"></a><var>14.5</var>    Subd. 6. <b>Global warming potential or GWP.</b> "Global warming potential" or <br/>
<a id="pl.14.6"></a><var>14.6</var>"GWP" means a quantitative measure of the potential of an emission of a greenhouse <br/>
<a id="pl.14.7"></a><var>14.7</var>gas to contribute to global warming over a 100-year period expressed in terms of the <br/>
<a id="pl.14.8"></a><var>14.8</var>equivalent emission of carbon dioxide needed to produce the same 100-year warming <br/>
<a id="pl.14.9"></a><var>14.9</var>effect, as reported in Fourth Assessment Report: Climate Change 2007, Intergovernmental <br/>
<a id="pl.14.10"></a><var>14.10</var>Panel on Climate Change.<br/>
<a id="pl.14.11"></a><var>14.11</var>    Subd. 7. <b>High-GWP greenhouse gas.</b> "High-GWP greenhouse gas" means <br/>
<a id="pl.14.12"></a><var>14.12</var>hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride.<br/>
<a id="pl.14.13"></a><var>14.13</var>    Subd. 8. <b>Mobile air conditioner.</b> "Mobile air conditioner" means mechanical <br/>
<a id="pl.14.14"></a><var>14.14</var>vapor compression refrigeration equipment used to cool the passenger compartment of a <br/>
<a id="pl.14.15"></a><var>14.15</var>motor vehicle.<br/>
<a id="pl.14.16"></a><var>14.16</var>    Subd. 9. <b>Motor vehicle.</b> "Motor vehicle" has the meaning given in section 168.011, <br/>
<a id="pl.14.17"></a><var>14.17</var>subdivision 4.<br/>
<a id="pl.14.18"></a><var>14.18</var>    Subd. 10. <b>New motor vehicle.</b> "New motor vehicle" has the meaning given in <br/>
<a id="pl.14.19"></a><var>14.19</var>section 80E.03, subdivision 7.<br/>
<a id="pl.14.20"></a><var>14.20</var>    Subd. 11. <b>Refrigerant.</b> "Refrigerant" means a substance used, sold for use, or <br/>
<a id="pl.14.21"></a><var>14.21</var>designed and intended for use in a mobile air conditioner to transfer heat out of the space <br/>
<a id="pl.14.22"></a><var>14.22</var>being cooled.<br/>
<a id="pl.14.23"></a><var>14.23</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.21.0"></a><a id="pl.14.24"></a><var>14.24</var>    Sec. 21. <b>[216H.11] HIGH-GWP GREENHOUSE GAS REPORTING.</b><br/>
<a id="pl.14.25"></a><var>14.25</var>    Subdivision 1. <b>Gas manufacturers.</b> Beginning October 1, 2008, and each year <br/>
<a id="pl.14.26"></a><var>14.26</var>thereafter, a manufacturer of a high-GWP greenhouse gas must report to the agency the <br/>
<a id="pl.14.27"></a><var>14.27</var>total amount of each high-GWP greenhouse gas sold to a purchaser in this state during <br/>
<a id="pl.14.28"></a><var>14.28</var>the previous year.<br/>
<a id="pl.14.29"></a><var>14.29</var>    Subd. 2. <b>Purchases.</b> Beginning October 1, 2008, and each year thereafter, a <br/>
<a id="pl.14.30"></a><var>14.30</var>person in this state who purchases 100 metric tons or more carbon dioxide equivalent <br/>
<a id="pl.14.31"></a><var>14.31</var>of a high-GWP greenhouse gas must report to the agency, on a form prescribed by the <br/>
<a id="pl.14.32"></a><var>14.32</var>commissioner, the total amount of each high-GWP greenhouse gas purchased during the <br/>
<a id="pl.14.33"></a><var>14.33</var>previous year and the purpose for which the gas was used.<br/>
<a id="pl.15.1"></a><var>15.1</var>    Subd. 3. <b>Acceptance of federal filing.</b> With the approval of the commissioner, this <br/>
<a id="pl.15.2"></a><var>15.2</var>section may be satisfied by filing with the commissioner a copy of a greenhouse gas <br/>
<a id="pl.15.3"></a><var>15.3</var>emissions report filed with a federal agency.<br/>
<a id="pl.15.4"></a><var>15.4</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.22.0"></a><a id="pl.15.5"></a><var>15.5</var>    Sec. 22. <b>[216H.12] MOBILE AIR CONDITIONER LEAKAGE RATES; </b><br/>
<a id="pl.15.6"></a><var>15.6</var><b>DISCLOSURE.</b><br/>
<a id="pl.15.7"></a><var>15.7</var>    Subdivision 1. <b>Leakage disclosure.</b> Beginning January 1, 2009, a manufacturer <br/>
<a id="pl.15.8"></a><var>15.8</var>selling or offering for sale a new motor vehicle in this state containing a mobile air <br/>
<a id="pl.15.9"></a><var>15.9</var>conditioner that uses the high-GWP greenhouse gas HFC-134a (1,1,1,2-tetrafluoroethane) <br/>
<a id="pl.15.10"></a><var>15.10</var>as a refrigerant must, 90 days prior to the initial sale or offer for sale, report to the <br/>
<a id="pl.15.11"></a><var>15.11</var>commissioner the leakage rate, in grams of refrigerant per year, for the type of mobile <br/>
<a id="pl.15.12"></a><var>15.12</var>air conditioner contained in that make, model, and model year. The leakage rate must be <br/>
<a id="pl.15.13"></a><var>15.13</var>calculated using the information provided in the most recently published version of the <br/>
<a id="pl.15.14"></a><var>15.14</var>Society of Automotive Engineers International document J2727, "HFC-134a Mobile <br/>
<a id="pl.15.15"></a><var>15.15</var>Air Conditioning System Emission Chart." The method by which the leakage rate is <br/>
<a id="pl.15.16"></a><var>15.16</var>calculated, accounting for each component of the air conditioning unit, must also be <br/>
<a id="pl.15.17"></a><var>15.17</var>reported to the commissioner.<br/>
<a id="pl.15.18"></a><var>15.18</var>    Subd. 2. <b>Posting.</b> Beginning January 1, 2009, the agency and the Office of the <br/>
<a id="pl.15.19"></a><var>15.19</var>Attorney General must post on their Web sites:<br/>
<a id="pl.15.20"></a><var>15.20</var>    (1) the leakage rate disclosed by a manufacturer under subdivision 1 for each model <br/>
<a id="pl.15.21"></a><var>15.21</var>and make of new motor vehicle sold or offered for sale in this state; and<br/>
<a id="pl.15.22"></a><var>15.22</var>    (2) the following statement: "Vehicle air conditioning systems may leak refrigerants. <br/>
<a id="pl.15.23"></a><var>15.23</var>Information provided in the chart compares the potential global warming effects of <br/>
<a id="pl.15.24"></a><var>15.24</var>refrigerant leakage from different makes and models of vehicles."<br/>
<a id="pl.15.25"></a><var>15.25</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.23.0"></a><a id="pl.15.26"></a><var>15.26</var>    Sec. 23. <b>[216H.15] ENFORCEMENT.</b><br/>
<a id="pl.15.27"></a><var>15.27</var>    Sections 216H.10 to 216H.12 may be enforced under section 116.072.<br/>
<a id="pl.15.28"></a><var>15.28</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.24.0"></a><a id="pl.15.29"></a><var>15.29</var>    Sec. 24. <b>REPORT.</b><br/>
<a id="pl.15.30"></a><var>15.30</var>    By February 1, 2009, the commissioner of the Pollution Control Agency shall <br/>
<a id="pl.15.31"></a><var>15.31</var>submit a report to the chairs and ranking minority members of the senate and house of <br/>
<a id="pl.15.32"></a><var>15.32</var>representatives committees with primary jurisdiction over environmental policy that <br/>
<a id="pl.16.1"></a><var>16.1</var>identifies the uses and emissions sources of hydrofluorocarbons, perfluorocarbons, and <br/>
<a id="pl.16.2"></a><var>16.2</var>sulfur hexafluoride in this state and suggests options for reducing or eliminating those <br/>
<a id="pl.16.3"></a><var>16.3</var>uses and emissions and the costs of implementing those options. The options for reducing <br/>
<a id="pl.16.4"></a><var>16.4</var>emissions must include phasing out specific consumer products containing high global <br/>
<a id="pl.16.5"></a><var>16.5</var>warming potential gases where that is cost-effective.<br/>
<a id="pl.16.6"></a><var>16.6</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.25.0"></a><a id="pl.16.7"></a><var>16.7</var>    Sec. 25. <b>SOLAR RATING AND CERTIFICATION LABORATORY.</b><br/>
<a id="pl.16.8"></a><var>16.8</var>    The director of the Office of Energy Security shall convene technical stakeholders <br/>
<a id="pl.16.9"></a><var>16.9</var>who are expert in the design, manufacture, installation, and operation of solar energy <br/>
<a id="pl.16.10"></a><var>16.10</var>systems to develop criteria and characteristics for a Minnesota-based solar rating and <br/>
<a id="pl.16.11"></a><var>16.11</var>certification laboratory. The criteria shall include, but not be limited to, consideration of <br/>
<a id="pl.16.12"></a><var>16.12</var>durability, cold-weather operations, and indoor air quality. The director shall develop and, <br/>
<a id="pl.16.13"></a><var>16.13</var>by September 15, 2008, issue a request for proposals for the development of a plan, based <br/>
<a id="pl.16.14"></a><var>16.14</var>on the criteria and characteristics developed by the stakeholder group, for a solar rating <br/>
<a id="pl.16.15"></a><var>16.15</var>and certification laboratory in the state, including cost estimates. By January 15, 2009, <br/>
<a id="pl.16.16"></a><var>16.16</var>the director shall submit a report to the chairs of the house and senate committees with <br/>
<a id="pl.16.17"></a><var>16.17</var>jurisdiction over energy finance issues, detailing the responses to the request and making <br/>
<a id="pl.16.18"></a><var>16.18</var>recommendations, including draft legislation.<br/>
<a id="pl.16.19"></a><var>16.19</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>
<br/>
<a id="bill.0.26.0"></a><a id="pl.16.20"></a><var>16.20</var>    Sec. 26. <b> REPEALER.</b><br/>
<a id="pl.16.21"></a><var>16.21</var>Minnesota Statutes 2006, section 115C.09, subdivision 3j, is repealed.<br/>
<a id="pl.16.22"></a><var>16.22</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment.<br/>