1.1 	A bill for an act
1.2 	relating to energy; appropriating money to support investment in green fertilizer 
1.3 	production using renewable energy.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. SUPPORTING INVESTMENT IN GREEN FERTILIZER PRODUCTION; 
1.6 	APPROPRIATION.
 1.7 	(a) $70,000,000 in fiscal year 2024 is appropriated from the general fund to the 
1.8 	commissioner of agriculture for grants to cooperatives to invest in green fertilizer production 
1.9 	facilities. This is a onetime appropriation and is available until June 30, 2032.
1.10 	(b) A grant under this section must include a long-term agreement to purchase nitrogen 
1.11 	fertilizer for cooperative members. Renewable energy, hydrogen, and ammonia may be 
1.12 	produced elsewhere, but the final production of nitrogen fertilizer must occur within 
1.13 	Minnesota.
1.14 	(c) For purposes of this section:
1.15 	(1) a cooperative includes an agricultural or rural electric cooperative organized under 
1.16 	Minnesota Statutes, chapter 308A or 308B;
1.17 	(2) green fertilizer production facilities are facilities that use renewable energy to produce 
1.18 	anhydrous ammonia, urea, or hydrogen;
1.19 	(3) "green hydrogen" means hydrogen produced by splitting water molecules using 
1.20 	electricity from renewable energy;
2.1 	(4) "green fertilizer" means a nitrogen-based fertilizer produced from green hydrogen; 
2.2 	and
2.3 	(5) eligible renewable energy technologies have the meaning given in Minnesota Statutes, 
2.4 	section 216B.1691, subdivision 1.
2.5 	(d) The commissioner must develop criteria and scoring procedures for evaluating and 
2.6 	awarding grants. The maximum grant award for a cooperative is $7,000,000.
2.7 	(e) Up to five percent of the amount in paragraph (a) may be used by the department to 
2.8 	administer this section.