HF 2834

1st Unofficial Engrossment - 88th Legislature (2013 - 2014)

Posted on 04/30/2014 02:48 p.m.

1.1A bill for an act 1.2relating to energy; modifying, adding, or authorizing provisions governing use 1.3of renewable energy in state-owned buildings; medically necessary equipment, 1.4propane sales, low-income rate discounts, interconnection of distributed 1.5renewable generation, electric vehicle charging tariffs, on-bill payment 1.6programs, energy efficiency programs, emissions reduction planning, certificates 1.7of need, solar energy systems, and transmission lines; requiring a report; 1.8amending Minnesota Statutes 2012, sections 16C.144, subdivision 3; 216B.098, 1.9subdivision 5; 216B.16, subdivision 14; 216B.1611, by adding a subdivision; 1.10216B.241, by adding a subdivision; 216B.2422, by adding a subdivision; 1.11216B.243, subdivision 8; 216C.41, subdivision 4; 216C.436, subdivision 4, by 1.12adding a subdivision; 216E.01, by adding a subdivision; 216E.04, subdivision 1.132; 239.051, subdivision 29; 239.785, by adding a subdivision; 325E.027; Laws 1.142013, chapter 57, section 2; proposing coding for new law in Minnesota Statutes, 1.15chapters 16B; 216B; 216E; repealing Minnesota Rules, parts 3300.0800; 1.163300.0900; 3300.1000, subparts 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 1.1717, 18, 19, 20, 21, 22, 23, 24, 25, 25a, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 1.1836; 3300.1100; 3300.1200; 3300.1300; 3300.1400; 3300.1500; 3300.1600; 1.193300.1700; 3300.1800; 3300.1900; 7607.0100; 7607.0110; 7607.0120; 1.207607.0130; 7607.0140; 7607.0150; 7607.0160; 7607.0170; 7607.0180; 1.217610.0300; 7685.0100; 7685.0120; 7685.0130; 7685.0140. 1.22BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.23    Section 1. new text begin [16B.324] MANDATORY USE OF RENEWABLE ELECTRIC new text end 1.24 new text begin ENERGY IN STATE BUILDINGS. new text end 1.25 new text begin After January 1, 2020, all electric energy used in state-owned buildings located in new text end 1.26 new text begin the Capitol area as defined in section 15B.02 must be generated by an "eligible energy new text end 1.27 new text begin technology" as defined in section 216B.1691, subdivision 1, paragraph (a). new text end 1.28    Sec. 2. Minnesota Statutes 2012, section 16C.144, subdivision 3, is amended to read: 1.29    Subd. 3. Lease purchase agreement. The commissioner may enter into a lease 1.30purchase agreement with any party for the implementation of utility cost-savings measures 2.1in accordance with the guaranteed energy-savings agreement. The implementation costs of 2.2the utility cost-savings measures recommended in the engineering report shall not exceed 2.3the amount to be saved in utility and operation and maintenance costs over the term of the 2.4lease purchase agreement. The term of the lease purchase agreement shall not exceed 15 2.5 new text begin 25 new text end years from the date of final installation. The lease is assignable in accordance with 2.6terms approved by the commissioner of management and budget. 2.7    Sec. 3. Minnesota Statutes 2012, section 216B.098, subdivision 5, is amended to read: 2.8    Subd. 5. Medically necessary equipment. new text begin (a) new text end A utility shall reconnect or 2.9continue service to a customer's residence where a medical emergency exists or where 2.10medical equipment requiring electricity necessary to sustain life is in use, provided that 2.11the utility receives from a medical doctor written certification, or initial certification by 2.12telephone and written certification within five business days, that failure to reconnect or 2.13continue service will impair or threaten the health or safety of a resident of the customer's 2.14household. The customer must enter into a payment agreement. 2.15 new text begin (b) Certification of the necessity for service is required. Certification may be new text end 2.16 new text begin provided by: new text end 2.17 new text begin (1) a licensed medical doctor; new text end 2.18 new text begin (2) a licensed physician assistant; new text end 2.19     new text begin (3) an advanced practice registered nurse, as defined in section 148.171; or new text end 2.20 new text begin (4) a registered nurse, but only to the extent of verifying the current diagnosis or new text end 2.21 new text begin prescriptions made by a licensed medical doctor for the customer or member of the new text end 2.22 new text begin customer's household. new text end 2.23 new text begin (c) Except as provided in paragraph (d), a certification may not extend beyond six new text end 2.24 new text begin months from the date of written certification. new text end 2.25 new text begin (d) If a utility determines that a longer certification is appropriate given a particular new text end 2.26 new text begin customer's circumstances, the utility may, at its sole discretion, extend the duration of a new text end 2.27 new text begin certification for up to 12 months. new text end 2.28 new text begin (e) A certification may be renewed, provided that the renewal complies with this new text end 2.29 new text begin subdivision. A certification may be renewed by the same or another medical professional new text end 2.30 new text begin who meets the qualifications of paragraph (b). new text end 2.31 new text begin (f) A customer whose account is in arrears must contact and enter into a payment new text end 2.32 new text begin agreement with the utility. The payment agreement must consider a customer's financial new text end 2.33 new text begin circumstances and any extenuating circumstances of the household. The payment new text end 2.34 new text begin agreement may, at the discretion of the utility, contain a provision by which the utility new text end 3.1 new text begin forgives all or a portion of the amount in which the account is in arrears, which, if new text end 3.2 new text begin implemented, extinguishes individual liability for the amount forgiven. new text end 3.3    Sec. 4. new text begin [216B.0991] DEFINITIONS. new text end 3.4     new text begin Subdivision 1. new text end new text begin Scope. new text end new text begin For the purposes of sections 216B.0991 to 216B.0995, the new text end 3.5 new text begin terms defined in this section have the meanings given them. new text end 3.6     new text begin Subd. 2. new text end new text begin Customer. new text end new text begin "Customer" means a person who has an established relationship new text end 3.7 new text begin with a propane distributor and whose propane system meets the safety guidelines new text end 3.8 new text begin established by the propane distributor for residential heating service. new text end 3.9     new text begin Subd. 3. new text end new text begin LIHEAP. new text end new text begin "LIHEAP" means the low-income home energy assistance new text end 3.10 new text begin program. new text end 3.11     new text begin Subd. 4. new text end new text begin Propane distributor. new text end new text begin "Propane distributor" means a person who sells new text end 3.12 new text begin propane at retail to customers as their primary residential heat source; propane distributors new text end 3.13 new text begin are not public utilities. new text end 3.14     new text begin Subd. 5. new text end new text begin Residential heating service. new text end new text begin "Residential heating service" means the new text end 3.15 new text begin provision of the primary source of heat for the interior of a residential structure. new text end 3.16    Sec. 5. new text begin [216B.0992] PRICE AND FEE DISCLOSURE. new text end 3.17 new text begin A propane distributor must provide a document listing the current per-gallon price of new text end 3.18 new text begin propane and all additional charges, fees, and discounts that pertain to residential heating new text end 3.19 new text begin service. The document must be: new text end 3.20 new text begin (1) made available to the general public upon request; and new text end 3.21 new text begin (2) provided to new customers before residential heating service is initiated. new text end 3.22    Sec. 6. new text begin [216B.0993] BUDGET PAYMENT PLAN. new text end 3.23 new text begin (a) A propane distributor who offers customers a budget payment plan must make new text end 3.24 new text begin that same plan available to all customers, including those who participate in the LIHEAP new text end 3.25 new text begin program. new text end 3.26 new text begin (b) A budget payment plan must equalize a customer's estimated annual propane bill new text end 3.27 new text begin by dividing it into equal monthly payments. Any budget plan started after the propane new text end 3.28 new text begin distributor's traditional budget plan start date will be divided by the remaining months new text end 3.29 new text begin in the budget plan year. Any positive balance remaining at the end of a year may, at the new text end 3.30 new text begin customer's discretion, be provided to the customer as a cash payment or carried over as a new text end 3.31 new text begin credit on the customer's bill for the next year. new text end 4.1 new text begin (c) A propane distributor must notify a customer on a budget payment plan of a price new text end 4.2 new text begin or fee change that may affect the monthly amount due under the budget payment plan new text end 4.3 new text begin by more than 20 percent. new text end 4.4 new text begin (d) A propane distributor may alter or terminate the plan if a customer has failed to new text end 4.5 new text begin pay two monthly payments during the period of the budget payment plan. In lieu of the new text end 4.6 new text begin requirements of this section, the parties may enter into a mutually agreeable plan. new text end 4.7    Sec. 7. new text begin [216B.0994] PROPANE PURCHASE CONTRACTS. new text end 4.8 new text begin A propane distributor is prohibited from adding any service, distribution, new text end 4.9 new text begin transportation, or similar fees to customer billings for those customers who have entered new text end 4.10 new text begin into a contract for prepurchasing or capitated pricing of propane for the period of the new text end 4.11 new text begin contract provided that: new text end 4.12 new text begin (1) the customer has met all obligations of that contract; and new text end 4.13 new text begin (2) the propane distributor can receive product from its contracted supply points and new text end 4.14 new text begin a force majeure has not been declared by the propane distributor's supplier. new text end 4.15    Sec. 8. new text begin [216B.0995] TERMS OF SALE. new text end 4.16     new text begin Subdivision 1. new text end new text begin Cash sales. new text end new text begin A propane distributor with an available supply of new text end 4.17 new text begin propane must not refuse to sell propane to a customer who: new text end 4.18 new text begin (1) pays the distributor's established price upon delivery in cash, by certified or new text end 4.19 new text begin cashier's check, or by commercial money order or its equivalent; or new text end 4.20 new text begin (2) receives energy assistance from LIHEAP or a governmental or private agency new text end 4.21 new text begin that has funds available to pay for a delivery. new text end 4.22     new text begin Subd. 2. new text end new text begin LIHEAP participation; delivery. new text end new text begin A propane distributor who accepts new text end 4.23 new text begin LIHEAP payments must, upon request, make available to its customers information new text end 4.24 new text begin regarding LIHEAP, including income eligibility and contact information for organizations new text end 4.25 new text begin accepting LIHEAP applications. new text end 4.26     new text begin Subd. 3. new text end new text begin Third-party credit disclosure. new text end new text begin A propane distributor must not make new text end 4.27 new text begin known the names of past or present delinquent customers to other propane distributors, new text end 4.28 new text begin except in the course of a routine credit check performed when a prospective customer new text end 4.29 new text begin applies for credit privileges. new text end 4.30    Sec. 9. Minnesota Statutes 2012, section 216B.16, subdivision 14, is amended to read: 4.31    Subd. 14. Low-income electric rate discount. A public utility shall fund an 4.32affordability program for low-income customers in an amount based on a 50 percent electric 4.33rate discount on the first 400 kilowatt-hours consumed in a billing period for low-income 5.1residential customers of the utility new text begin at a base annual funding level of $8,000,000. The annual new text end 5.2 new text begin funding level shall increase in the calendar years subsequent to each commission approval new text end 5.3 new text begin of a rate increase for the public utility's residential customers by the same percentage as the new text end 5.4 new text begin approved residential rate increase. Costs for the program shall be included in the utility's new text end 5.5 new text begin base rate new text end . For the purposes of this subdivision, "low-income" describes a customer who is 5.6receiving assistance from the federal low-income home energy assistance program. The 5.7affordability program must be designed to target participating customers with the lowest 5.8incomes and highest energy costs in order to lower the percentage of income they devote 5.9to energy bills, increase their payments, new text begin lower utility service disconnections, new text end and lower 5.10 new text begin decrease new text end costs associated with collection activities on their accounts. For low-income 5.11customers who are 62 years of age or older or disabled, the program must, in addition to 5.12any other program benefits, include a 50 percent electric rate discount on the first 400 5.13kilowatt-hours consumed in a new text begin $15 discount in each new text end billing period. For the purposes of this 5.14subdivision, "public utility" includes only those public utilities with more than 200,000 5.15residential electric service customers. The commission may issue orders necessary to 5.16implement, administer, and recover the costs of the program on a timely basis. 5.17 new text begin EFFECTIVE DATE. new text end new text begin This section is effective October 1, 2014. new text end 5.18    Sec. 10. Minnesota Statutes 2012, section 216B.1611, is amended by adding a 5.19subdivision to read: 5.20     new text begin Subd. 3a. new text end new text begin Project information. new text end new text begin (a) Beginning July 1, 2014, each electric utility new text end 5.21 new text begin shall request an applicant for interconnection of distributed renewable energy generation new text end 5.22 new text begin to provide the following information, in a format prescribed by the commissioner: new text end 5.23 new text begin (1) the nameplate capacity of the facility in the application; new text end 5.24 new text begin (2) the preincentive installed cost and cost components of the generation system new text end 5.25 new text begin at the facility; new text end 5.26 new text begin (3) the energy source of the facility; and new text end 5.27 new text begin (4) the zip code in which the facility is to be located. new text end 5.28 new text begin (b) The commissioner shall develop or identify a system to collect and process the new text end 5.29 new text begin information under this subdivision for each utility, and make non-project-specific data new text end 5.30 new text begin available to the public on a periodic basis as determined by the commissioner, and in a new text end 5.31 new text begin format determined by the commissioner. The commissioner may solicit proposals from new text end 5.32 new text begin outside parties to develop the system. The commissioner may only collect data authorized new text end 5.33 new text begin in paragraph (a), and may not require submission of any additional data that could be used new text end 5.34 new text begin to personally identify any individual applicant or utility customer. new text end 6.1 new text begin (c) Electric utilities collecting and transferring data under this subdivision are not new text end 6.2 new text begin responsible for the accuracy, completeness, or quality of the information under this new text end 6.3 new text begin subdivision. new text end 6.4 new text begin (d) Except as provided in paragraph (b), any information provided by an applicant to new text end 6.5 new text begin the commissioner under this subdivision is nonpublic data as defined in section 13.02, new text end 6.6 new text begin subdivision 9. new text end 6.7 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2014, and applies to new text end 6.8 new text begin applications received on or after that date. new text end 6.9    Sec. 11. new text begin [216B.1614] ELECTRIC VEHICLE CHARGING TARIFF. new text end 6.10     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin (a) For the purposes of this section, the terms defined in new text end 6.11 new text begin this subdivision have the meanings given them. new text end 6.12 new text begin (b) "Electric vehicle" has the meaning given in section 169.011, subdivision 26a. new text end 6.13 new text begin (c) "Public utility" has the meaning given in section 216B.02, subdivision 4. new text end 6.14 new text begin (d) "Renewable energy" has the meaning given in section 216B.169, subdivision 2, new text end 6.15 new text begin paragraph (d). new text end 6.16     new text begin Subd. 2. new text end new text begin Required tariff. new text end new text begin (a) By February 1, 2015, each public utility selling new text end 6.17 new text begin electricity at retail must file with the commission a tariff that allows a customer to purchase new text end 6.18 new text begin electricity solely for the purpose of recharging an electric vehicle. The tariff must: new text end 6.19 new text begin (1) contain either a time-of-day or off-peak rate, as elected by the public utility; new text end 6.20 new text begin (2) offer a customer the option to purchase electricity: new text end 6.21 new text begin (i) from the utility's current mix of energy supply sources; or new text end 6.22 new text begin (ii) entirely from renewable energy sources, subject to the conditions established new text end 6.23 new text begin under section 216B.169, subdivision 2, paragraph (b), and subdivision 3, paragraph (a); and new text end 6.24 new text begin (3) be made available to the residential customer class. new text end 6.25     new text begin (b) The public utility may, at its discretion, offer the tariff to other customer classes. new text end 6.26 new text begin (c) The commission shall, after notice and opportunity for public comment, approve, new text end 6.27 new text begin modify, or reject the tariff. The commission may approve the tariff if the public utility new text end 6.28 new text begin has demonstrated that the tariff: new text end 6.29 new text begin (1) appropriately reflects off-peak versus peak cost differences in the rate charged; new text end 6.30 new text begin (2) includes a mechanism to allow the recovery of costs reasonably necessary to new text end 6.31 new text begin comply with this section, including costs to inform and educate customers about the new text end 6.32 new text begin financial, energy conservation, and environmental benefits of electric vehicles and to new text end 6.33 new text begin publicly advertise and promote participation in the customer-optional tariff; new text end 6.34 new text begin (3) provides for clear and transparent customer billing statements including, but not new text end 6.35 new text begin limited to, the amount of energy consumed under the tariff; and new text end 7.1 new text begin (4) incorporates the cost of metering or submetering within the rate charged to new text end 7.2 new text begin the customer. new text end 7.3 new text begin (d) Within 60 days of commission approval of a public utility's tariff filed under this new text end 7.4 new text begin section, the public utility shall make the tariff available to customers. new text end 7.5 new text begin (e) The utility may at any time propose revisions to a tariff filed under this new text end 7.6 new text begin subdivision based on changing costs or conditions. new text end 7.7     new text begin Subd. 3. new text end new text begin Data reporting. new text end new text begin Each public utility providing a tariff under this section new text end 7.8 new text begin shall periodically report to the commission, as established by the commission and on a form new text end 7.9 new text begin prescribed by the commission, the following information, organized on a per-quarter basis: new text end 7.10 new text begin (1) the number of customers who have arranged to purchase electricity under the new text end 7.11 new text begin tariff; new text end 7.12 new text begin (2) the total amount of electricity sold under the tariff; and new text end 7.13 new text begin (3) other data required by the commission. new text end 7.14 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 7.15    Sec. 12. Minnesota Statutes 2012, section 216B.241, is amended by adding a 7.16subdivision to read: 7.17     new text begin Subd. 5d. new text end new text begin On-bill repayment programs. new text end new text begin (a) For the purposes of this subdivision: new text end 7.18 new text begin (1) "utility" means a public utility, municipal utility, or cooperative electric new text end 7.19 new text begin association that provides electric or natural gas service to retail customers; and new text end 7.20 new text begin (2) "on-bill repayment program" means a program in which a utility collects on a new text end 7.21 new text begin customer's bill repayment of a loan to the customer by an eligible lender to finance the new text end 7.22 new text begin customer's investment in eligible energy conservation or renewable energy projects, and new text end 7.23 new text begin remits loan repayments to the lender. new text end 7.24 new text begin (b) A utility may include as part of its conservation improvement plan an on-bill new text end 7.25 new text begin repayment program to enable a customer to finance eligible projects with installment new text end 7.26 new text begin loans originated by an eligible lender. An eligible project is one that is either an energy new text end 7.27 new text begin conservation improvement, or a project installed on the customer's site that uses an eligible new text end 7.28 new text begin renewable energy source as that term is defined in section 216B.2411, subdivision 2, new text end 7.29 new text begin paragraph (b), but does not include mixed municipal solid waste or refuse-derived fuel new text end 7.30 new text begin from mixed municipal solid waste. An eligible renewable energy source also includes new text end 7.31 new text begin solar thermal technology that collects the sun's radiant energy and uses that energy to heat new text end 7.32 new text begin or cool air or water, and meets the requirements of section 216C.25. To be an eligible new text end 7.33 new text begin lender, a lender must: new text end 7.34 new text begin (1) have a federal or state charter and be eligible for federal deposit insurance; new text end 8.1 new text begin (2) be a government entity, including an entity established under chapter 469, that new text end 8.2 new text begin has authority to provide financial assistance for energy efficiency and renewable energy new text end 8.3 new text begin projects; new text end 8.4 new text begin (3) be a joint venture by utilities established under section 452.25; or new text end 8.5 new text begin (4) be licensed, certified, or otherwise have its lending activities overseen by a new text end 8.6 new text begin state or federal government agency. new text end 8.7 new text begin The commissioner must allow a utility broad discretion in designing and implementing an new text end 8.8 new text begin on-bill repayment program, provided that the program complies with this subdivision. new text end 8.9 new text begin (c) A utility may establish an on-bill repayment program for all customer classes new text end 8.10 new text begin or for a specific customer class. new text end 8.11 new text begin (d) A public utility that implements an on-bill repayment program under this new text end 8.12 new text begin subdivision must enter into a contract with one or more eligible lenders that complies new text end 8.13 new text begin with the requirements of this subdivision and contains provisions addressing capital new text end 8.14 new text begin commitments, loan origination, transfer of loans to the public utility for on-bill repayment, new text end 8.15 new text begin and acceptance of loans returned due to delinquency or default. new text end 8.16 new text begin (e) A public utility's contract with a lender must require the lender to comply with new text end 8.17 new text begin all applicable federal and state laws, rules, and regulations related to lending practices new text end 8.18 new text begin and consumer protection; to conform to reasonable and prudent lending standards; and to new text end 8.19 new text begin provide businesses that sell, maintain, and install eligible projects the ability to participate new text end 8.20 new text begin in an on-bill repayment program under this subdivision on a nondiscriminatory basis. new text end 8.21 new text begin (f) A public utility's contract with a lender may provide: new text end 8.22 new text begin (1) for the public utility to purchase loans from the lender with a condition that the new text end 8.23 new text begin lender must purchase back loans in delinquency or default; or new text end 8.24 new text begin (2) for the lender to retain ownership of loans with the public utility servicing the new text end 8.25 new text begin loans through on-bill repayment as long as payments are current. new text end 8.26 new text begin The risk of default must remain with the lender. The lender shall not have recourse against new text end 8.27 new text begin the public utility except in the event of negligence or breach of contract by the utility. new text end 8.28 new text begin (g) If a public utility customer makes a partial payment on a utility bill that includes new text end 8.29 new text begin a loan installment, the partial payment must be credited first to the amount owed for new text end 8.30 new text begin utility service, including taxes and fees. A public utility may not suspend or terminate new text end 8.31 new text begin a customer's utility service for delinquency or default on a loan that is being serviced new text end 8.32 new text begin through the public utility's on-bill repayment program. new text end 8.33 new text begin (h) An outstanding balance on a loan being repaid under this subdivision is a new text end 8.34 new text begin financial obligation only of the customer who is signatory to the loan, and not to any new text end 8.35 new text begin subsequent customer occupying the property associated with the loan. If the public utility new text end 8.36 new text begin purchases loans from the lender as authorized under paragraph (f), clause (1), the public new text end 9.1 new text begin utility must return to the lender a loan not repaid when a customer borrower no longer new text end 9.2 new text begin occupies the property. new text end 9.3 new text begin (i) Costs incurred by a public utility under this subdivision are recoverable as new text end 9.4 new text begin provided in section 216B.16, subdivision 6b, paragraph (c), including reasonable new text end 9.5 new text begin incremental costs for billing system modifications necessary to implement and operate an new text end 9.6 new text begin on-bill repayment program and for ongoing costs to operate the program. Costs in a plan new text end 9.7 new text begin approved by the commissioner may be counted toward a utility's conservation spending new text end 9.8 new text begin requirements under subdivisions 1a and 1b. Energy savings from energy conservation new text end 9.9 new text begin improvements resulting from this section may be counted toward satisfying a utility's new text end 9.10 new text begin energy-savings goals under subdivision 1c. new text end 9.11 new text begin (j) This subdivision does not require a utility to terminate or modify an existing new text end 9.12 new text begin financing program and does not prohibit a utility from establishing an on-bill financing new text end 9.13 new text begin program in which the utility provides the financing capital. new text end 9.14 new text begin (k) A municipal utility or cooperative electric association that implements an on-bill new text end 9.15 new text begin repayment program shall design the program to address the issues identified in paragraphs new text end 9.16 new text begin (d) through (h) as determined by the governing board of the utility or association. new text end 9.17    Sec. 13. Minnesota Statutes 2012, section 216B.2422, is amended by adding a 9.18subdivision to read: 9.19     new text begin Subd. 2c. new text end new text begin Long-range emission reduction planning. new text end new text begin Each utility required to file a new text end 9.20 new text begin resource plan under subdivision 2 shall include in the filing a narrative identifying and new text end 9.21 new text begin describing the costs, opportunities, and technical barriers to the utility continuing to make new text end 9.22 new text begin progress on its system toward achieving the state greenhouse gas emission reduction goals new text end 9.23 new text begin established in section 216H.02, subdivision 1, and the technologies, alternatives, and steps new text end 9.24 new text begin the utility is considering to address those opportunities and barriers. new text end 9.25    Sec. 14. Minnesota Statutes 2012, section 216B.243, subdivision 8, is amended to read: 9.26    Subd. 8. Exemptions. This section does not apply to: 9.27(1) cogeneration or small power production facilities as defined in the Federal Power 9.28Act, United States Code, title 16, section 796, paragraph (17), subparagraph (A), and 9.29paragraph (18), subparagraph (A), and having a combined capacity at a single site of less 9.30than 80,000 kilowatts; plants or facilities for the production of ethanol or fuel alcohol; or 9.31any case where the commission has determined after being advised by the attorney general 9.32that its application has been preempted by federal law; 10.1(2) a high-voltage transmission line proposed primarily to distribute electricity to 10.2serve the demand of a single customer at a single location, unless the applicant opts to 10.3request that the commission determine need under this section or section 216B.2425; 10.4(3) the upgrade to a higher voltage of an existing transmission line that serves the 10.5demand of a single customer that primarily uses existing rights-of-way, unless the applicant 10.6opts to request that the commission determine need under this section or section 216B.2425; 10.7(4) a high-voltage transmission line of one mile or less required to connect a new or 10.8upgraded substation to an existing, new, or upgraded high-voltage transmission line; 10.9(5) conversion of the fuel source of an existing electric generating plant to using 10.10natural gas; or 10.11(6) the modification of an existing electric generating plant to increase efficiency, 10.12as long as the capacity of the plant is not increased more than ten percent or more than 10.13100 megawatts, whichever is greater. new text begin ; or new text end 10.14 new text begin (7) a wind energy conversion system or solar electric generation facility if the system new text end 10.15 new text begin or facility is owned and operated by an independent power producer and the electric output new text end 10.16 new text begin of the system or facility is not sold to an entity that provides retail service in Minnesota new text end 10.17 new text begin or wholesale electric service to another entity in Minnesota other than an entity that is a new text end 10.18 new text begin federally recognized regional transmission organization or independent system operator. new text end 10.19 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 10.20    Sec. 15. Minnesota Statutes 2012, section 216C.41, subdivision 4, is amended to read: 10.21    Subd. 4. Payment period. (a) A facility may receive payments under this section for 10.22a ten-year period. No payment under this section may be made for electricity generated: 10.23    (1) by a qualified hydroelectric facility after December 31, 2021; 10.24    (2) by a qualified wind energy conversion facility after December 31, 2018; or 10.25    (3) by a qualified on-farm biogas recovery facility after December 31, 2015 new text begin 2017 new text end . 10.26    (b) The payment period begins and runs consecutively from the date the facility 10.27begins generating electricity or, in the case of refurbishment of a hydropower facility, after 10.28substantial repairs to the hydropower facility dam funded by the incentive payments are 10.29initiated. 10.30    Sec. 16. Minnesota Statutes 2012, section 216C.436, subdivision 4, is amended to read: 10.31    Subd. 4. Financing terms. Financing provided under this section must have: 10.32(1) a weighted new text begin cost-weighted new text end average maturity not exceeding the useful life of 10.33the energy improvements installed, as determined by the implementing entity, but in no 10.34event may a term exceed 20 years; 11.1(2) a principal amount not to exceed the lesser of ten new text begin 20 new text end percent of the assessed value 11.2of the real property on which the improvements are to be installed or the actual cost of 11.3installing the energy improvements, including the costs of necessary equipment, materials, 11.4and labor, the costs of each related energy audit or renewable energy system feasibility 11.5study, and the cost of verification of installation; and 11.6(3) an interest rate sufficient to pay the financing costs of the program, including the 11.7issuance of bonds and any financing delinquencies. 11.8 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 11.9    Sec. 17. Minnesota Statutes 2012, section 216C.436, is amended by adding a 11.10subdivision to read: 11.11     new text begin Subd. 9. new text end new text begin Supplemental funding sources. new text end new text begin (a) An implementing entity is authorized new text end 11.12 new text begin to establish, acquire, and use additional or alternative funding sources for the purposes new text end 11.13 new text begin of this section. new text end 11.14 new text begin (b) For the purposes of this subdivision, additional or alternative funding sources new text end 11.15 new text begin may include, but are not limited to, issuance of general obligation bonds in a manner new text end 11.16 new text begin consistent with the requirements of chapter 475. new text end 11.17 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 11.18    Sec. 18. Minnesota Statutes 2012, section 216E.01, is amended by adding a subdivision 11.19to read: 11.20     new text begin Subd. 8a. new text end new text begin Solar energy generating system. new text end new text begin "Solar energy generating system" new text end 11.21 new text begin means a set of devices whose primary purpose is to produce electricity by means of any new text end 11.22 new text begin combination of collecting, transferring, or converting solar-generated energy. new text end 11.23 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 11.24    Sec. 19. new text begin [216E.021] SOLAR ENERGY SYSTEM SIZE DETERMINATION. new text end 11.25 new text begin (a) This section must be used to determine whether a combination of solar energy new text end 11.26 new text begin generating systems meets the definition of large electric power generating plant and is new text end 11.27 new text begin subject to the commission's siting authority jurisdiction under this chapter. The alternating new text end 11.28 new text begin current nameplate capacity of one solar energy generating system must be combined with new text end 11.29 new text begin the alternating current nameplate capacity of any other solar energy generating system that: new text end 11.30 new text begin (1) is constructed within the same 12-month period as the solar energy generating new text end 11.31 new text begin system; and new text end 12.1 new text begin (2) exhibits characteristics of being a single development, including but not limited new text end 12.2 new text begin to ownership structure, an umbrella sales arrangement, shared interconnection, revenue new text end 12.3 new text begin sharing arrangements, and common debt or equity financing. new text end 12.4 new text begin (b) The commissioner of commerce shall provide forms and assistance for applicants new text end 12.5 new text begin to make a request for a size determination. Upon written request of an applicant, the new text end 12.6 new text begin commissioner shall provide a written size determination within 30 days of receipt of the new text end 12.7 new text begin request and of any information requested by the commissioner. In the case of a dispute, new text end 12.8 new text begin the chair of the Public Utilities Commission shall make the final size determination. new text end 12.9 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 12.10    Sec. 20. Minnesota Statutes 2012, section 216E.04, subdivision 2, is amended to read: 12.11    Subd. 2. Applicable projects. The requirements and procedures in this section 12.12apply to the following projects: 12.13(1) large electric power generating plants with a capacity of less than 80 megawatts; 12.14(2) large electric power generating plants that are fueled by natural gas; 12.15(3) high-voltage transmission lines of between 100 and 200 kilovolts; 12.16(4) high-voltage transmission lines in excess of 200 kilovolts and less than five miles 12.17in length in Minnesota; 12.18(5) high-voltage transmission lines in excess of 200 kilovolts if at least 80 percent 12.19of the distance of the line in Minnesota will be located along existing high-voltage 12.20transmission line right-of-way; 12.21(6) a high-voltage transmission line service extension to a single customer between 12.22200 and 300 kilovolts and less than ten miles in length; and 12.23(7) a high-voltage transmission line rerouting to serve the demand of a single 12.24customer when the rerouted line will be located at least 80 percent on property owned or 12.25controlled by the customer or the owner of the transmission line new text begin ; and new text end 12.26 new text begin (8) large electric power generating plants that are powered by solar energy new text end . 12.27 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 12.28    Sec. 21. Minnesota Statutes 2012, section 239.051, subdivision 29, is amended to read: 12.29    Subd. 29. Refinery, terminal. "Refinery" or "terminal" means a petroleum refinery, 12.30pipeline terminal, river terminal, storage facility, or other point of origin where new text begin liquefied new text end 12.31 new text begin petroleum gas or new text end petroleum products are manufactured, or imported by rail, truck, barge, or 12.32pipe; and held, stored, transferred, offered for distribution, distributed, offered for sale, or 12.33sold. For the purpose of restricting petroleum product blending, this definition includes all 13.1refineries and terminals within and outside of Minnesota, but does not include a licensed 13.2distributor's bulk storage facility that is used to store petroleum products for which the 13.3petroleum inspection fee charged under this chapter is either not due or has been paid. 13.4    Sec. 22. Minnesota Statutes 2012, section 239.785, is amended by adding a subdivision 13.5to read: 13.6     new text begin Subd. 7. new text end new text begin Notification of product unavailability; terminal operators. new text end new text begin A person new text end 13.7 new text begin who operates a terminal where liquefied petroleum gas is loaded into transport trucks for new text end 13.8 new text begin subsequent distribution shall notify the commissioner within 24 hours when liquefied new text end 13.9 new text begin petroleum gas is physically not available for sale to licensed distributors. new text end 13.10    Sec. 23. Minnesota Statutes 2012, section 325E.027, is amended to read: 13.11325E.027 DISCRIMINATION PROHIBITION. 13.12    (a) No dealer or distributor of liquid propane gas or number 1 or number 2 fuel oil 13.13who has signed a low-income home energy assistance program vendor agreement with the 13.14Department of Commerce may refuse to deliver liquid propane gas or number 1 or number 13.152 fuel oil to any person located within the dealer's or distributor's normal delivery area 13.16who receives direct grants under the low-income home energy assistance program if: 13.17    (1) the person has requested delivery; 13.18    (2) the dealer or distributor has product available; 13.19    (3) the person requesting delivery is capable of making full payment at the time of 13.20delivery; and 13.21    (4) the person is not in arrears regarding any previous fuel purchase from that dealer 13.22or distributor. 13.23    (b) A dealer or distributor making delivery to a person receiving direct grants 13.24under the low-income home energy assistance program may not charge that person any 13.25additional costs or fees that would not be charged to any other customer and must make 13.26available to that person any discount program on the same basis as the dealer or distributor 13.27makes available to any other customer. 13.28 new text begin (c) The commissioner of commerce may enforce this section using any of the new text end 13.29 new text begin authority granted to the commissioner under section 45.027. new text end 13.30 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 13.31    Sec. 24. Laws 2013, chapter 57, section 2, is amended to read: 14.1    Sec. 2. TRANSMISSION LINE; CERTIFICATE OF NEED REQUIRED 14.2AND EVIDENCE REQUIRED. 14.3(a) A high-voltage transmission line with a capacity of 100 kilovolts or more proposed 14.4to be located within a city in the metropolitan area as defined in Minnesota Statutes, 14.5section 473.121, subdivision 2, for which a route permit application was filed between 14.6June 2011 and August 2011, and a certificate of need application was filed between June 14.72012 and August 2012, to rebuild approximately eight miles of 69 kilovolt transmission 14.8with a high-voltage transmission line to meet local area distribution needs, must be 14.9approved in a certificate of need proceeding conducted under Minnesota Statutes, section 14.10216B.243 . The certificate of need may be approved only if the commission finds by clear 14.11and convincing evidence that there is no feasible and available distribution level alternative 14.12to the transmission line. In making its findings the commission shall consider the factors 14.13provided in applicable law and rules including, without limitation, cost-effectiveness, 14.14energy conservation, and the protection or enhancement of environmental quality. 14.15(b) Further proceedings regarding the routing of a high-voltage transmission line 14.16described in this section shall be suspended until the Public Utilities Commission has 14.17made a determination that the transmission line is needed. 14.18 new text begin (c) If an application for a certificate of need described in paragraph (a) is withdrawn new text end 14.19 new text begin or otherwise abandoned, this section shall apply to any high-voltage transmission line of new text end 14.20 new text begin 100 kilovolts or more proposed to meet the same needs as the line described in paragraph new text end 14.21 new text begin (a) and that follows a route that is similar to that of the line subject to paragraph (a). In new text end 14.22 new text begin addition, a certificate of need for a line subject to this paragraph is not effective until new text end 14.23 new text begin 30 days following the adjournment of the regular legislative session next following new text end 14.24 new text begin commission approval of the certificate of need. new text end 14.25 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 14.26    Sec. 25. new text begin LEGISLATIVE ENERGY COMMISSION; PROPANE CONVERSION new text end 14.27 new text begin STRATEGIES. new text end 14.28 new text begin (a) The Legislative Energy Commission is requested to investigate the feasibility of new text end 14.29 new text begin converting propane gas users to natural gas or other alternative sources of energy. The new text end 14.30 new text begin investigation, among other things, should assess the technical and economic issues for new text end 14.31 new text begin converting nonmetropolitan users of propane gas to pipeline service of natural gas. new text end 14.32 new text begin (b) The commission is requested to complete its investigations so that any new text end 14.33 new text begin recommendations for legislation are completed by January 15, 2015. new text end 14.34 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 15.1    Sec. 26. new text begin REPEALER. new text end 15.2     new text begin Subdivision 1. new text end new text begin Weatherization assistance. new text end new text begin Minnesota Rules, parts 3300.0800; new text end 15.3 new text begin 3300.0900; 3300.1000, subparts 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 17, 18, 19, new text end 15.4 new text begin 20, 21, 22, 23, 24, 25, 25a, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, and 36; 3300.1100; new text end 15.5 new text begin 3300.1200; 3300.1300; 3300.1400; 3300.1500; 3300.1600; 3300.1700; 3300.1800; and new text end 15.6 new text begin 3300.1900, new text end new text begin are repealed. new text end 15.7     new text begin Subd. 2. new text end new text begin Energy conservation loan program. new text end new text begin Minnesota Rules, parts 7607.0100; new text end 15.8 new text begin 7607.0110; 7607.0120; 7607.0130; 7607.0140; 7607.0150; 7607.0160; 7607.0170; and new text end 15.9 new text begin 7607.0180, new text end new text begin are repealed. new text end 15.10     new text begin Subd. 3. new text end new text begin Electric utilities; extended forecasts. new text end new text begin Minnesota Rules, part 7610.0300, new text end 15.11 new text begin is repealed. new text end 15.12     new text begin Subd. 4. new text end new text begin Cooling systems replacement; energy efficiency criteria. new text end new text begin Minnesota new text end 15.13 new text begin Rules, parts 7685.0100; 7685.0120; 7685.0130; and 7685.0140, new text end new text begin are repealed. new text end