HF 3737
Introduction - 94th Legislature (2025 - 2026)
Posted on 04/07/2026 04:18 p.m.
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A bill for an act
relating to state government; changing sustainability provisions; amending
Minnesota Statutes 2024, sections 16B.32, subdivisions 1, 2, by adding
subdivisions; 16B.372, subdivision 1.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2024, section 16B.32, subdivision 1, is amended to read:
Subdivision 1.
Alternative energy sources.
(a) If the incorporation of cost-effective
energy efficiency measures into the design, materials, and operations of a building or major
building renovation subject to section 16B.325 is not sufficient to meet Sustainable Building
2030 energy performance standards required under section 216B.241, subdivision 9,
cost-effective renewable energy sources or solar thermal energy systems, or both, must be
deployed to achieve those standards.
(b) The commissioners of administration and commerce shall review compliance of
building designs and plans subject to this section with Sustainable Building 2030 performance
standards developed under section 216B.241, subdivision 9, and shall make recommendations
to the legislature as necessary to ensure that those performance standards are met.
(c) For the purposes of this section:
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(1) "benchmark" has the meaning given in section 216C.331, subdivision 1, paragraph
(c);
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(2) "energy" has the meaning given in section 216C.331, subdivision 1, paragraph (h);
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(3) "energy conservation" has the meaning given in section 216B.2402, subdivision 5,
and for sources identified in section 216C.331, subdivision 1, paragraph (h);
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(4) "energy conservation improvement" has the meaning given in section 216B.2402,
subdivision 6;
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deleted text begin (1)deleted text end new text begin (5)new text end "energy efficiency" has the meaning givennew text begin for energynew text end in section 216B.2402,
subdivision 7;
deleted text begin (2)deleted text end new text begin (6)new text end "renewable energy" has the meaning given in section 216B.2422, subdivision 1,
paragraph (c), and includes hydrogen generated from wind, solar, or hydroelectric; deleted text begin and
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deleted text begin (3)deleted text end new text begin (7)new text end "solar thermal energy systems" has the meaning given to "qualifying solar thermal
project" in section 216B.2411, subdivision 2, paragraph (e)deleted text begin .deleted text end new text begin ;
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(8) "water conservation" means an action that results in the net reduction of water
consumption;
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(9) "water conservation improvement" means a project or program that results in the
efficient use and conservation of water; and
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(10) "water efficiency" means measures or programs designed to use less water to
accomplish the same outcome, including reducing input or wastewater.
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Sec. 2.
Minnesota Statutes 2024, section 16B.32, subdivision 2, is amended to read:
Subd. 2.
Energy deleted text begin conservation goalsdeleted text end new text begin shared savings programnew text end .
The commissioner of
administration in consultation with the commissioner of commerce, in cooperation with
one or more public utilities or comprehensive energy services providers, may conduct a
shared-savings program involving energy conservation expenditures on state-owned and
wholly state-leased buildings. The public utility or energy services provider shall contract
with appropriate state agencies to implement energy efficiency improvements in the selected
buildings. A contract must require the public utility or energy services provider to include
all energy efficiency improvements in selected buildings that are calculated to achieve a
cost payback within ten years. The contract must require that the public utility or energy
services provider be repaid solely from energy cost savings and only to the extent of energy
cost savings. Repayments must be interest-free. The goal of the program in this paragraph
is to demonstrate that through effective energy conservation the total energy consumption
per square foot of state-owned and wholly state-leased buildings could exceed existing
energy code by at least 30 percent. deleted text begin All agencies must report to the commissioner of
administration their monthly energy usage, building schedules, inventory of
energy-consuming equipment, and other information as needed by the commissioner to
manage and evaluate the program.
deleted text end
Sec. 3.
Minnesota Statutes 2024, section 16B.32, is amended by adding a subdivision to
read:
new text begin Subd. 4. new text end
new text begin Energy and water data collection. new text end
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Agencies with the custodial control for
facilities must report their material energy and water consumption and cost data to the
commissioner on a basis determined by the commissioner.
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Sec. 4.
Minnesota Statutes 2024, section 16B.32, is amended by adding a subdivision to
read:
new text begin Subd. 5. new text end
new text begin Energy and water goals; conservation improvement plans. new text end
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Agencies must
maintain energy and water benchmarks and goals, developed in partnership with the
commissioner, for buildings under the agency's custodial control. State agencies must
maintain a plan to implement energy and water conservation improvements in existing
buildings with a simple payback of up to 15 years.
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Sec. 5.
Minnesota Statutes 2024, section 16B.372, subdivision 1, is amended to read:
Subdivision 1.
Enterprise sustainability.
The Office of Enterprise Sustainability is
established to assist all state agencies in making measurable progress toward improving the
sustainability of government operations by reducing the impact on the environment,
controlling unnecessary waste of natural resources and public funds, and spurring innovation.
The office shall create new tools and share best practices, assist state agencies to plan for
and implement improvements, and monitor progress toward achieving intended outcomes.
Specific duties include but are not limited to:
(1) managing a sustainability metrics and reporting system, including new text begin setting
enterprise-wide goals, and publishing new text end a public dashboard that allows Minnesotans to track
progress andnew text begin thatnew text end is updated annually;
(2) assisting agencies in developing and executing sustainability plans; and
(3) implementing the state building energy conservation improvement revolving loan
in deleted text begin Minnesota Statutes,deleted text end sections 16B.86 and 16B.87.
Sec. 6. new text begin REVISOR INSTRUCTION.
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The revisor of statutes shall change Minnesota Statutes 2024, section 16.32, section
headnote to "ENERGY AND WATER USE."
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