1.1 	A bill for an act
1.2 	relating to energy; making changes to the energy improvements program for 
1.3 	local governments; making technical changes;amending Minnesota Statutes 
1.4 	2012, sections 216C.41, subdivision 4; 216C.436, subdivision 4, by adding a 
1.5 	subdivision; repealing Minnesota Rules, parts 3300.0800; 3300.0900; 3300.1000, 
1.6 	subparts 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 17, 18, 19, 20, 21, 22, 23, 
1.7 	24, 25, 25a, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36; 3300.1100; 3300.1200; 
1.8 	3300.1300; 3300.1400; 3300.1500; 3300.1600; 3300.1700; 3300.1800; 
1.9 	3300.1900; 7607.0100; 7607.0110; 7607.0120; 7607.0130; 7607.0140; 
1.10 	7607.0150; 7607.0160; 7607.0170; 7607.0180; 7610.0300; 7685.0100; 
1.11 	7685.0120; 7685.0130; 7685.0140.
1.12 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.13 	Section 1. Minnesota Statutes 2012, section 216C.41, subdivision 4, is amended to read:
1.14 		Subd. 4.Payment period. (a) A facility may receive payments under this section for 
1.15 	a ten-year period. No payment under this section may be made for electricity generated:
1.16 	(1) by a qualified hydroelectric facility after December 31, 2021;
1.17 	(2) by a qualified wind energy conversion facility after December 31, 2018; or
1.18 	(3) by a qualified on-farm biogas recovery facility after December 31, 2015 2017.
1.19 	(b) The payment period begins and runs consecutively from the date the facility 
1.20 	begins generating electricity or, in the case of refurbishment of a hydropower facility, after 
1.21 	substantial repairs to the hydropower facility dam funded by the incentive payments are 
1.22 	initiated.

1.23 	Sec. 2. Minnesota Statutes 2012, section 216C.436, subdivision 4, is amended to read:
1.24 		Subd. 4.Financing terms. Financing provided under this section must have:
2.1 	(1) a weighted average maturity not exceeding the useful life of the energy 
2.2 	improvements installed, as determined by the implementing entity, but in no event may 
2.3 	a term exceed 20 years;
2.4 	(2) a principal amount not to exceed the lesser of ten 20 percent of the assessed value 
2.5 	of the real property on which the improvements are to be installed or the actual cost of 
2.6 	installing the energy improvements, including the costs of necessary equipment, materials, 
2.7 	and labor, the costs of each related energy audit or renewable energy system feasibility 
2.8 	study, and the cost of verification of installation; and
2.9 	(3) an interest rate sufficient to pay the financing costs of the program, including the 
2.10 	issuance of bonds and any financing delinquencies.

2.11 	Sec. 3. Minnesota Statutes 2012, section 216C.436, is amended by adding a 
2.12 	subdivision to read:
2.13 		Subd. 9.Supplemental funding sources. (a) An implementing entity is authorized 
2.14 	to establish, acquire, and use additional or alternative funding sources for the purposes 
2.15 	of this section.
2.16 	(b) For the purposes of this subdivision, additional or alternative funding sources 
2.17 	may include, but are not limited to, issuance of general obligation bonds in a manner 
2.18 	consistent with the requirements of chapter 475.

2.19 	Sec. 4.  REPEALER.
 2.20 		Subdivision 1.Weatherization assistance. Minnesota Rules, parts 3300.0800; 
2.21 	3300.0900; 3300.1000, subparts 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 17, 18, 19, 
2.22 	20, 21, 22, 23, 24, 25, 25a, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, and 36; 3300.1100; 
2.23 	3300.1200; 3300.1300; 3300.1400; 3300.1500; 3300.1600; 3300.1700; 3300.1800; and 
2.24 	3300.1900, are repealed.
2.25 		Subd. 2.Energy conservation loan program. Minnesota Rules, parts 7607.0100; 
2.26 	7607.0110; 7607.0120; 7607.0130; 7607.0140; 7607.0150; 7607.0160; 7607.0170; and 
2.27 	7607.0180, are repealed.
2.28 		Subd. 3.Electric utilities; extended forecasts. Minnesota Rules, part 7610.0300,
2.29 	 is repealed.
2.30 		Subd. 4.Cooling systems replacement; energy efficiency criteria. Minnesota 
2.31 	Rules, parts 7685.0100; 7685.0120; 7685.0130; and 7685.0140, are repealed.