1.1 	A bill for an act
1.2 	relating to climate change; establishing grant program to provide financial assistance 
1.3 	to cities to address climate change; appropriating money.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. CITY CLIMATE ACTION GRANT PROGRAM.
 1.6 		Subdivision 1.Definitions. For the purpose of this section, the following terms have 
1.7 	the meanings given:
1.8 	(1) "climate change" means a change in global or regional climate patterns associated 
1.9 	with increased levels of greenhouse gas emissions entering the atmosphere largely as a 
1.10 	result of human activity;
1.11 	(2) "commissioner" means the commissioner of the Pollution Control Agency; and
1.12 	(3) "greenhouse gas emission" means an emission of carbon dioxide, methane, nitrous 
1.13 	oxide, chlorofluorocarbons, hydrofluorocarbons, sulfur hexafluoride, and other gases that 
1.14 	trap heat in the atmosphere.
1.15 		Subd. 2.Establishment. The commissioner must establish a city climate action grant 
1.16 	program in the Pollution Control Agency. The purpose of the program is to provide grants 
1.17 	to encourage cities to address climate change by developing and implementing plans of 
1.18 	action or creating new organizations and institutions to devise policies and programs that:
1.19 	(1) seek to mitigate the impacts of climate change on the city; or
1.20 	(2) reduce the city's contributions to the causes of climate change.
2.1 		Subd. 3.Application. (a) Application for a grant under this section must be made to the 
2.2 	commissioner on a form developed by the commissioner. The commissioner must develop 
2.3 	procedures for soliciting and reviewing applications and awarding grants under this section.
2.4 	(b) Eligible applicants for a grant under this section must be located in or conduct the 
2.5 	preponderance of their work in the city where the grant activities are to take place. Eligible 
2.6 	applicants include city governments, organizations that are exempt from taxation under 
2.7 	section 501(c)(3) of the Internal Revenue Code, and educational institutions.
2.8 		Subd. 4.Awarding grants. In awarding grants under this section, the commissioner 
2.9 	must give preference to proposals that seek to involve a broad array of community residents, 
2.10 	organizations, and institutions in the city's efforts to address climate change.
2.11 		Subd. 5.Grant amounts. (a) No grant awarded under this section may exceed $50,000.
2.12 	(b) A grant awarded under this section for activities taking place in a city that has a 
2.13 	population that exceeds 20,000 must be matched 100 percent with local funds.
2.14 	(c) A grant awarded under this section for activities taking place in a city that has a 
2.15 	population that is less than 20,000 must be matched a minimum of five percent with local 
2.16 	funds or equivalent in-kind services.
2.17 		Subd. 6.Eligible expenditures. Appropriations made to support the activities of this 
2.18 	section may be used only to:
2.19 	(1) provide grants as specified in this section; and
2.20 	(2) reimburse the reasonable expenses of the Pollution Control Agency in administering 
2.21 	the grant program.

2.22 	EFFECTIVE DATE. This section is effective the day following final enactment.

2.23 	Sec. 2. APPROPRIATION.
 2.24 	$5,000,000 in fiscal year 2022 is appropriated from the general fund to the commissioner 
2.25 	of the Pollution Control Agency to award city climate action grants under section 1. This 
2.26 	is a onetime appropriation and is available until December 31, 2023.