HF 2383

as introduced - 90th Legislature (2017 - 2018) Posted on 03/13/2017 01:51pm

A bill for an act
relating to energy; modifying eligibility for loans to include manufacturers of clean
energy technologies; amending Minnesota Statutes 2016, section 216C.145,
subdivisions 1, 3, 5.

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

Section 1.

Minnesota Statutes 2016, section 216C.145, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) The definitions in this subdivision apply to this section.

(b) new text begin "Clean energy manufacturer" means an entity that manufactures:
new text end

new text begin (1) technologically advanced equipment or components that are essential to:
new text end

new text begin (i) generate or utilize energy from solar or wind resources;
new text end

new text begin (ii) increase the efficiency with which energy is generated or used;
new text end

new text begin (iii) enable real-time communication and interaction between a utility and its customers
so that customers can rapidly adjust energy consumption to changing conditions; or
new text end

new text begin (iv) store electricity that has been previously generated and release it for use at a later
time; or
new text end

new text begin (2) batteries for use in electric vehicles, as defined in section 169.011, subdivision 26a,
paragraph (a).
new text end

new text begin Clean energy manufacturer does not include an entity that solely assembles parts or
equipment manufactured by others.
new text end

new text begin (c) new text end "Community energy efficiency and renewable energy projects" means solar thermal
water heating, solar electric or photovoltaic equipment, small wind energy conversion
systems of less than 250 kW, anaerobic digester gas systems, microhydro systems up to
100 kW, heating and cooling applications using solar thermal or ground source technology,
and cost-effective energy efficiency projects installed in industrial, commercial, or public
buildings, or health care facilities.

deleted text begin (c) deleted text end new text begin (d) new text end "Health care facilities" means a hospital licensed under sections 144.50 to 144.56,
or a nursing home licensed under chapter 144A.

deleted text begin (d) deleted text end new text begin (e) new text end "Industrial customer" means a business that is classified under the North American
Industrial Classification System under codes 21, 31 to 33, 48, 49, or 562.

deleted text begin (e) deleted text end new text begin (f) new text end "Small business" means a business that employs 50 or fewer employees.

deleted text begin (f) deleted text end new text begin (g) new text end "Unit of local government" means any home rule charter or statutory city, county,
commission, district, authority, or other political subdivision or instrumentality of this state,
including a sanitary district, park district, the Metropolitan Council, a port authority, an
economic development authority, or a housing and redevelopment authority.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2016, section 216C.145, subdivision 3, is amended to read:

Subd. 3.

Loan purposes.

(a) The commissioner may issue low-interest, long-term loans
to units of local government to:

(1) finance community-owned or publicly owned renewable energy systems or
cost-effective energy efficiency improvements to public buildings; deleted text begin or
deleted text end

(2) provide loans or other aids to industrial or commercial businesses or health care
facilities for cost-effective energy efficiency projects or to install renewable energy systems new text begin ;
or
new text end

new text begin (3) provide loans or other aid to clean energy manufacturers located in Minnesota new text end .

(b) The commissioner may participate in loans made by the Housing Finance Agency
to residential property owners, private developers, nonprofit organizations, or units of local
government under sections 462A.05, subdivisions 14 and 18; and 462A.33 for the
construction, purchase, or rehabilitation of residential housing to facilitate the installation
of renewable energy systems in residential housing and cost-effective energy conservation
improvements identified in an energy efficiency audit. The commissioner shall assist the
Housing Finance Agency in assessing the technical qualifications of loan applicants.

(c) If an industrial, commercial, or health care facility customer seeks a loan under
paragraph (a), clause (2), the commissioner may require an individual industrial, commercial,
or health care facility customer to provide its energy usage data for the limited purpose of
assessing the energy and cost savings of the project that is subject to the loan. Industrial,
commercial, or health care facility customer's energy usage data may only be released upon
the express, written consent of the individual industrial, commercial, or health care facility
customer. The commissioner shall not require an industrial, commercial, or health care
facility customer to provide energy usage data or aggregation of energy usage data that
includes an industrial, commercial, or health care facility customer for any other loan under
this section. Any individual industrial, commercial, or health care facility customer's energy
usage data provided under this section shall be classified as nonpublic data as defined in
section 13.02, subdivision 9.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2016, section 216C.145, subdivision 5, is amended to read:

Subd. 5.

Loan proposals.

(a) At least once a year, the commissioner shall publish in
the State Register a request for proposals from units of local government for a loan under
this section. Within 45 days after the deadline for receipt of proposals, the commissioner
shall select proposals based on the following criteria:

(1) the reliability and cost-effectiveness of the renewable or energy efficiency technology
to be installed new text begin or manufactured new text end under the proposal;

(2) the extent to which the proposal effectively integrates with the conservation and
energy efficiency programs or goals of the energy utilities serving the proposer;

(3) the total life cycle energy use and greenhouse gas emissions reductions per dollar of
installed cost;

(4) the diversity of the renewable energy or energy efficiency technology installed under
the proposal;

(5) the geographic distribution of projects throughout the state;

(6) the percentage of total project cost requested;

(7) the proposed security for payback of the loan; and

(8) other criteria the commissioner may determine to be necessary and appropriate.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end