SF 538

as introduced - 87th Legislature (2011 - 2012) Posted on 06/06/2012 11:00am

A bill for an act
relating to agriculture; appropriating money to the commissioner of agriculture
for bioenergy grants.

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

Section 1. new text begin APPROPRIATION; BIOENERGY GRANTS.
new text end

new text begin (a) $....... in fiscal year 2012 is appropriated from the special revenue fund to the
commissioner of agriculture for bioenergy grants. The NextGen Energy Board, established
in Minnesota Statutes, section 41A.105, shall make recommendations to the commissioner
on grants for owners of Minnesota facilities producing bioenergy, organizations that
provide for on-station, on-farm field scale research and outreach to develop and test the
agronomic and economic requirements of diverse stands of prairie plants and other
perennials for bioenergy systems, or certain nongovernmental entities. For the purposes
of this paragraph, "bioenergy" includes transportation fuels derived from cellulosic
material, as well as the generation of energy for commercial heat, industrial process heat,
or electrical power from cellulosic material via gasification or other processes. The
board must give priority to a bioenergy facility that is at least 60 percent owned and
controlled by farmers, as defined in Minnesota Statutes, section 500.24, subdivision 2,
paragraph (n), or natural persons residing in the county or counties contiguous to where
the facility is located. Grants are limited to 50 percent of the cost of research, technical
assistance, or equipment related to bioenergy production or $500,000, whichever is less.
Grants to nongovernmental entities for the development of business plans and structures
related to community ownership of eligible bioenergy facilities together may not exceed
$150,000. The board shall make a good-faith effort to select projects that have merit, and
when taken together, represent a variety of bioenergy technologies, biomass feedstocks,
and geographic regions of the state. Projects must have a qualified engineer provide
certification on the technology and fuel source. Grantees must provide reports at the
request of the commissioner. No later than February 1, 2013, the commissioner shall
report on the projects funded under this appropriation to the house of representatives and
senate committees with jurisdiction over agriculture finance. The commissioner's costs
in administering the program may be paid from the appropriation. This is a onetime
appropriation and is available until June 30, 2013.
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new text begin (b) The utility subject to Minnesota Statutes, section 116C.779, shall transfer the
amount required for the appropriation in paragraph (a) to the commissioner of agriculture
on a schedule determined by the commissioner. The money transferred must be deposited
in the special revenue fund.
new text end