SF 1359

Introduction - 94th Legislature (2025 - 2026)

Posted on 06/02/2025 03:20 p.m.

A bill for an act
relating to agriculture; modifying the advanced biofuel production incentive;
amending Minnesota Statutes 2024, section 41A.16, subdivision 7.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 41A.16, subdivision 7, is amended to read:

Subd. 7.

Eligibility for participants after April 1, 2023.

(a) A facility eligible for
payment under this section must source at least 80 percent raw materials from Minnesota.
If a facility is sited 50 miles or less from the state border, raw materials may be sourced
from within a 100-mile radius. Raw materials must be from agricultural or forestry sources
or from solid waste. The facility must be located in Minnesota, must begin production at a
specific location after April 1, 2023, and before June 30, 2025, and must not begin operating
above 23,750 MMbtu of quarterly new text begin advanced new text end biofuel production before July 1, 2015. Eligible
facilities include existing companies and facilities that are adding advanced biofuel
production capacity, or retrofitting existing capacity, as well as new companies and facilities.
Production of conventional corn ethanol and conventional biodiesel is not eligible. Eligible
advanced biofuel facilities must produce at least 23,750 MMbtu of biofuel quarterly.

(b) No payments shall be made for advanced biofuel production that occurs after June
30, 2035, for those eligible biofuel producers under paragraph (a).

(c) An eligible producer of advanced biofuel shall not transfer the producer's eligibility
for payments under this section to an advanced biofuel facility at a different location.

(d) A producer that ceases production for any reason is ineligible to receive payments
under this section until the producer resumes production.

(e) Renewable chemical production for which payment has been received under section
41A.17, and biomass thermal production for which payment has been received under section
41A.18, are not eligible for payment under this section.

(f) Biobutanol is eligible under this section.