SF 1890

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to motor fuels; regulating biodiesel fuel sales; amending Minnesota
Statutes 2006, section 239.77, subdivision 2.

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

Section 1.

Minnesota Statutes 2006, section 239.77, subdivision 2, is amended to read:

Subd. 2.

Minimum content; effective date.

(a) Except as otherwise provided
in this section, all diesel fuel sold or offered for sale in Minnesota for use in internal
combustion engines must contain at least 2.0 percent biodiesel fuel oil by volume. new text begin Except
as otherwise provided in subdivision 3, paragraph (a), all diesel fuel sold or offered for sale
in Minnesota at retail must be biodiesel-blended fuel, which may only be acquired through
a qualified terminal. All diesel fuel sold or distributed from terminals in Minnesota that
is required to contain biodiesel fuel by volume must be blended with the biodiesel at a
qualified terminal. For purposes of this subdivision, "qualified terminal" means a terminal
that has been assigned a terminal control number by the Internal Revenue Service.
new text end

(b) The mandate in paragraph (a) is effective on and after the date that the conditions
in clauses (1) and (2), or in clauses (1) and (3), have been met:

(1) 30 or more days have passed since the commissioner of agriculture publishes
notice in the State Register that annual capacity in Minnesota for the production of
biodiesel fuel oil exceeds 8,000,000 gallons;

(2) 18 months have passed since the commissioner of agriculture publishes notice in
the State Register that a federal action on taxes imposed, tax credits, or otherwise, creates
a reduction in the price of two cents or more per gallon on taxable fuel that contains at
least two percent biodiesel fuel oil and is sold in this state;

(3) the date June 30, 2005, has passed.