<a id="pl.1.4"></a><var>1.4</var>utilities; amending Minnesota Statutes 2010, section 216H.02, subdivision 4; <br/>
<a id="pl.1.5"></a><var>1.5</var>repealing Minnesota Statutes 2010, section 216H.03.<br/>
<a id="pl.1.6"></a><var>1.6</var>May 20, 2011<br/>
<a id="pl.1.7"></a><var>1.7</var>The Honorable Michelle L. Fischbach<br/>
<a id="pl.1.8"></a><var>1.8</var>President of the Senate<br/>
<a id="pl.1.9"></a><var>1.9</var>The Honorable Kurt Zellers<br/>
<a id="pl.1.10"></a><var>1.10</var>Speaker of the House of Representatives<br/>
<a id="pl.1.11"></a><var>1.11</var>We, the undersigned conferees for S.F. No. 86 report that we have agreed upon the <br/>
<a id="pl.1.12"></a><var>1.12</var>items in dispute and recommend as follows:<br/>
<a id="pl.1.13"></a><var>1.13</var>That the House recede from its amendment and that S.F. No. 86 be further amended <br/>
<a id="pl.1.14"></a><var>1.14</var>as follows:<br/>
<a id="pl.1.15"></a><var>1.15</var>Delete everything after the enacting clause and insert:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.16"></a><var>1.16</var>    "Section 1. Minnesota Statutes 2010, section 216H.03, subdivision 7, is amended to <br/>
<a id="pl.1.17"></a><var>1.17</var>read:<br/>
<a id="pl.1.18"></a><var>1.18</var>    Subd. 7. <b>Other exemptions.</b> The prohibitions in subdivision 3 do not apply to:<br/>
<a id="pl.1.19"></a><var>1.19</var>    (1) a new large energy facility under consideration by the Public Utilities <br/>
<a id="pl.1.20"></a><var>1.20</var>Commission pursuant to proposals or applications filed with the Public Utilities <br/>
<a id="pl.1.21"></a><var>1.21</var>Commission before April 1, 2007, or to any power purchase agreement related to a facility <br/>
<a id="pl.1.22"></a><var>1.22</var>described in this clause. The exclusion of pending proposals and applications from the <br/>
<a id="pl.1.23"></a><var>1.23</var>prohibitions in subdivision 3 does not limit the applicability of any other law and is not an <br/>
<a id="pl.1.24"></a><var>1.24</var>expression of legislative intent regarding whether any pending proposal or application <br/>
<a id="pl.1.25"></a><var>1.25</var>should be approved or denied;<br/>
<a id="pl.1.26"></a><var>1.26</var>    (2) a contract not subject to commission approval that was entered into prior to <br/>
<a id="pl.1.27"></a><var>1.27</var>April 1, 2007, to purchase power from a new large energy facility that was approved by <br/>
<a id="pl.1.28"></a><var>1.28</var>a comparable authority in another state prior to that date, for which municipal or public <br/>
<a id="pl.1.29"></a><var>1.29</var>power district bonds have been issued, and on which construction has begun; or<br/>
<a id="pl.2.1"></a><var>2.1</var>    (3) a new large energy facility or a power purchase agreement between a Minnesota <br/>
<a id="pl.2.2"></a><var>2.2</var>utility and a new large energy facility located outside Minnesota that the Public <br/>
<a id="pl.2.3"></a><var>2.3</var>Utilities Commission has determined is essential to ensure the long-term reliability of <br/>
<a id="pl.2.4"></a><var>2.4</var>Minnesota's electric system, to allow electric service for increased industrial demand, <br/>
<a id="pl.2.5"></a><var>2.5</var>or to avoid placing a substantial financial burden on Minnesota ratepayers. An order <br/>
<a id="pl.2.6"></a><var>2.6</var>of the commission granting an exemption under this clause is stayed until the June 1 <br/>
<a id="pl.2.7"></a><var>2.7</var>following the next regular or annual session of the legislature that begins after the date of <br/>
<a id="pl.2.8"></a><var>2.8</var>the commission's final order; or<br/>
<a id="pl.2.9"></a><var>2.9</var>(4) 1,500 megawatts of electric generating capacity, in aggregate, from new large <br/>
<a id="pl.2.10"></a><var>2.10</var>energy facilities or power purchase agreements with those new large energy facilities that:<br/>
<a id="pl.2.11"></a><var>2.11</var>(i) are fueled by feedstock coal; and<br/>
<a id="pl.2.12"></a><var>2.12</var>(ii) began construction after April 1, 2007.<br/>
<a id="pl.2.13"></a><var>2.13</var>Projects will receive priority for exemption under this clause based on the shortest amount <br/>
<a id="pl.2.14"></a><var>2.14</var>of time after April 1, 2007, and the date construction of a new large energy facility begins. <br/>
<a id="pl.2.15"></a><var>2.15</var>Power purchase agreements with new large energy facilities that are exempt from the <br/>
<a id="pl.2.16"></a><var>2.16</var>prohibitions in subdivision 3 pursuant to this clause are also exempt from the prohibitions <br/>
<a id="pl.2.17"></a><var>2.17</var>in subdivision 3. An exemption under this clause is not valid unless certified by the Public <br/>
<a id="pl.2.18"></a><var>2.18</var>Utilities Commission. The commission must certify a request for an exemption if it finds <br/>
<a id="pl.2.19"></a><var>2.19</var>the request and the grant of the exemption is in compliance with this clause.<br/>
<a id="pl.2.20"></a><var>2.20</var><b>EFFECTIVE DATE.</b>This section is effective the day following final enactment."<br/>
<a id="pl.2.21"></a><var>2.21</var>Delete the title and insert:<br/>

<a id="pl.2.24"></a><var>2.24</var>utilities;amending Minnesota Statutes 2010, section 216H.03, subdivision 7."<br/>
<table>
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<td><a id="pl.3.1"></a><var>3.1</var><br/>
</td>
<td colspan="3">We request the adoption of this report and repassage of the bill.<br/>
</td>
</tr>
<tr>
<td><a id="pl.3.2"></a><var>3.2</var><br/>
</td>
<td>Senate Conferees:<br/>
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<td></td>
<td></td>
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<tr>
<td><a id="pl.3.3"></a><var>3.3</var><br/>
</td>
<td><span>
                     							.....
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</td>
<td></td>
<td><span>
                     							.....
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<td><a id="pl.3.4"></a><var>3.4</var><br/>
</td>
<td>Julie A. Rosen<br/>
</td>
<td></td>
<td>LeRoy A. Stumpf<br/>
</td>
</tr>
<tr>
<td><a id="pl.3.5"></a><var>3.5</var><br/>
</td>
<td><span>
                     							.....
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<td></td>
<td></td>
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<td><a id="pl.3.6"></a><var>3.6</var><br/>
</td>
<td>Doug Magnus<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.3.7"></a><var>3.7</var><br/>
</td>
<td>House Conferees:<br/>
<span width="2em"></span></td>
<td></td>
<td></td>
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<tr>
<td><a id="pl.3.8"></a><var>3.8</var><br/>
</td>
<td><span>
                     							.....
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<td></td>
<td><span>
                     							.....
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<tr>
<td><a id="pl.3.9"></a><var>3.9</var><br/>
</td>
<td>Michael Beard<br/>
</td>
<td></td>
<td>Tim O'Driscoll<br/>
</td>
</tr>
<tr>
<td><a id="pl.3.10"></a><var>3.10</var><br/>
</td>
<td><span>
                     							.....
                     						</span><br/>
</td>
<td></td>
<td></td>
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<tr>
<td><a id="pl.3.11"></a><var>3.11</var><br/>
</td>
<td>Lyle Koenen<br/>
</td>
<td></td>
<td></td>
</tr>
</table>