SF 2067

1st Engrossment - 91st Legislature (2019 - 2020) Posted on 02/18/2020 08:38am

A bill for an act
relating to energy; amending the renewable development account public utility
annual contribution; establishing criteria for utility cost recovery of energy storage
system pilot projects; requiring investor-owned utilities to include in integrated
resource plans an assessment of energy storage systems; establishing a grant
program to assist public school districts to install solar energy systems; creating
reserve accounts; establishing an electric vehicle charging station revolving loan
program; establishing a net zero emissions project; establishing a process to
compensate businesses for loss of business opportunity resulting from sale and
closure of a biomass energy plant; establishing an advisory task force on green
roofs; requiring a cost-benefit analysis of energy storage systems; requiring reports;
appropriating money; amending Minnesota Statutes 2018, sections 116C.779,
subdivision 1; 216B.16, by adding a subdivision; 216B.2422, subdivision 1, by
adding a subdivision; proposing coding for new law in Minnesota Statutes, chapter
216C.

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

Section 1.

Minnesota Statutes 2018, section 116C.779, subdivision 1, is amended to read:

Subdivision 1.

Renewable development account.

(a) The renewable development
account is established as a separate account in the special revenue fund in the state treasury.
Appropriations and transfers to the account shall be credited to the account. Earnings, such
as interest, dividends, and any other earnings arising from assets of the account, shall be
credited to the account. Funds remaining in the account at the end of a fiscal year are not
canceled to the general fund but remain in the account until expended. The account shall
be administered by the commissioner of management and budget as provided under this
section.

(b) On July 1, 2017, the public utility that owns the Prairie Island nuclear generating
plant must transfer all funds in the renewable development account previously established
under this subdivision and managed by the public utility to the renewable development
account established in paragraph (a). Funds awarded to grantees in previous grant cycles
that have not yet been expended and unencumbered funds required to be paid in calendar
year 2017 under paragraphs new text begin (e) and new text end (f) deleted text begin and (g) deleted text end , and sections 116C.7792 and 216C.41, are
not subject to transfer under this paragraph.

(c) deleted text begin Except as provided in subdivision 1a, deleted text end Beginning January 15, deleted text begin 2018 deleted text end new text begin 2020 new text end , and
continuing each January 15 thereafter, the public utility that owns the Prairie Island new text begin and
Monticello new text end nuclear generating deleted text begin plant deleted text end new text begin plants new text end must transfer to the renewable development
account deleted text begin $500,000 each year for each dry cask containing spent fuel that is located at the
Prairie Island power plant for deleted text end new text begin the following amounts new text end each year deleted text begin the deleted text end new text begin either new text end plant is in operation deleted text begin ,
and $7,500,000 each year the plant is not in operation deleted text end new text begin : (1) $33,000,000 in 2020; (2)
$31,000,000 in 2021; and (3) $20,000,000 in 2022 and each year thereafter. new text end If ordered by
the commission pursuant to paragraph deleted text begin (i). deleted text end new text begin (h), the public utility must transfer $7,500,000
each year the Prairie Island plant is not in operation and $5,250,000 each year the Monticello
plant is not in operation. new text end The fund transfer must be made if nuclear waste is stored in a dry
cask at the independent spent-fuel storage facility at Prairie Island new text begin or Monticello new text end for any
part of a year.

deleted text begin (d) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing
each January 15 thereafter, the public utility that owns the Monticello nuclear generating
plant must transfer to the renewable development account $350,000 each year for each dry
cask containing spent fuel that is located at the Monticello nuclear power plant for each
year the plant is in operation, and $5,250,000 each year the plant is not in operation if ordered
by the commission pursuant to paragraph (i). The fund transfer must be made if nuclear
waste is stored in a dry cask at the independent spent-fuel storage facility at Monticello for
any part of a year.
deleted text end

deleted text begin (e) deleted text end new text begin (d) new text end Each year, the public utility shall withhold from the funds transferred to the
renewable development account under deleted text begin paragraphs deleted text end new text begin paragraph new text end (c) deleted text begin and (d) deleted text end the amount necessary
to pay its obligations new text begin for that calendar year new text end under paragraphs new text begin (e), new text end (f) deleted text begin and (g) deleted text end , new text begin (j), and (n), new text end
and sections 116C.7792 and 216C.41 deleted text begin , for that calendar year deleted text end .

deleted text begin (f) deleted text end new text begin (e) new text end If the commission approves a new or amended power purchase agreement, the
termination of a power purchase agreement, or the purchase and closure of a facility under
section 216B.2424, subdivision 9, with an entity that uses poultry litter to generate electricity,
the public utility subject to this section shall enter into a contract with the city in which the
poultry litter plant is located to provide grants to the city for the purposes of economic
development on the following schedule: $4,000,000 in fiscal year 2018; $6,500,000 each
fiscal year in 2019 and 2020; and $3,000,000 in fiscal year 2021. The grants shall be paid
by the public utility from funds withheld from the transfer to the renewable development
account, as provided in paragraphs (b) and deleted text begin (e) deleted text end new text begin (d) new text end .

deleted text begin (g) deleted text end new text begin (f) new text end If the commission approves a new or amended power purchase agreement, or the
termination of a power purchase agreement under section 216B.2424, subdivision 9, with
an entity owned or controlled, directly or indirectly, by two municipal utilities located north
of Constitutional Route No. 8, that was previously used to meet the biomass mandate in
section 216B.2424, the public utility that owns a nuclear generating plant shall enter into a
grant contract with such entity to provide $6,800,000 per year for five years, commencing
30 days after the commission approves the new or amended power purchase agreement, or
the termination of the power purchase agreement, and on each June 1 thereafter through
2021, to assist the transition required by the new, amended, or terminated power purchase
agreement. The grant shall be paid by the public utility from funds withheld from the transfer
to the renewable development account as provided in paragraphs (b) and deleted text begin (e) deleted text end new text begin (d) new text end .

deleted text begin (h) deleted text end new text begin (g) new text end The collective amount paid under the grant contracts awarded under paragraphs
new text begin (e) and new text end (f) deleted text begin and (g) deleted text end is limited to the amount deposited into the renewable development account,
and its predecessor, the renewable development account, established under this section, that
was not required to be deposited into the account under Laws 1994, chapter 641, article 1,
section 10.

deleted text begin (i) deleted text end new text begin (h) new text end After discontinuation of operation of the Prairie Island nuclear plant or the
Monticello nuclear plant and each year spent nuclear fuel is stored in dry cask at the
discontinued facility, the commission shall require the public utility to pay $7,500,000 for
the discontinued Prairie Island facility and $5,250,000 for the discontinued Monticello
facility for any year in which the commission finds, by the preponderance of the evidence,
that the public utility did not make a good faith effort to remove the spent nuclear fuel stored
at the facility to a permanent or interim storage site out of the state. This determination shall
be made at least every two years.

new text begin (i) The public utility must annually file with the commission a petition to recover through
a rider mechanism all funds it is required to transfer or withhold under paragraphs (c) to (f)
for the next year. The commission must approve a reasonable cost recovery schedule for
all funds under this paragraph.
new text end

new text begin (j) On or before January 15 of each year, the public utility must file a petition with the
commission identifying the amounts withheld by the public utility the prior year under
paragraph (d) and the amount actually paid the prior year for obligations identified in
paragraph (d). If the amount actually paid is less than the amount withheld, the public utility
must deduct the surplus from the amount withheld for the current year under paragraph (d).
If the amount actually paid is more than the amount withheld, the public utility must add
the deficiency amount to the amount withheld for the current year under paragraph (d). Any
surplus remaining in the account after all programs identified in paragraph (d) are terminated
must be returned to the public utility's customers.
new text end

deleted text begin (j) deleted text end new text begin (k) new text end Funds in the account may be expended only for any of the following purposes:

(1) to stimulate research and development of renewable electric energy technologies;

(2) to encourage grid modernization, including, but not limited to, projects that implement
electricity storage, load control, and smart meter technology; and

(3) to stimulate other innovative energy projects that reduce demand and increase system
efficiency and flexibility.

Expenditures from the fund must benefit Minnesota ratepayers receiving electric service
from the utility that owns a nuclear-powered electric generating plant in this state or the
Prairie Island Indian community or its members.

The utility that owns a nuclear generating plant is eligible to apply for grants under this
subdivision.

deleted text begin (k) deleted text end new text begin (l) new text end For the purposes of paragraph deleted text begin (j) deleted text end new text begin (k) new text end , the following terms have the meanings
given:

(1) "renewable" has the meaning given in section 216B.2422, subdivision 1, paragraph
(c), clauses (1), (2), (4), and (5); and

(2) "grid modernization" means:

(i) enhancing the reliability of the electrical grid;

(ii) improving the security of the electrical grid against cyberthreats and physical threats;
and

(iii) increasing energy conservation opportunities by facilitating communication between
the utility and its customers through the use of two-way meters, control technologies, energy
storage and microgrids, technologies to enable demand response, and other innovative
technologies.

deleted text begin (l) deleted text end new text begin (m) new text end A renewable development account advisory group that includes, among others,
representatives of the public utility and its ratepayers, and includes at least one representative
of the Prairie Island Indian community appointed by that community's tribal council, shall
develop recommendations on account expenditures. new text begin Members of the advisory group, other
than members appointed by the tribal council, must be chosen by the public utility. new text end The
advisory group must design a request for proposal and evaluate projects submitted in response
to a request for proposals. The advisory group must utilize an independent third-party expert
to evaluate proposals submitted in response to a request for proposal, including all proposals
made by the public utility. A request for proposal for research and development under
paragraph deleted text begin (j) deleted text end new text begin (k) new text end , clause (1), may be limited to or include a request to higher education
institutions located in Minnesota for multiple projects authorized under paragraph deleted text begin (j) deleted text end new text begin (k) new text end ,
clause (1). The request for multiple projects may include a provision that exempts the
projects from the third-party expert review and instead provides for project evaluation and
selection by a merit peer review grant system. In the process of determining request for
proposal scope and subject and in evaluating responses to request for proposals, the advisory
group must strongly consider, where reasonable, potential benefit to Minnesota citizens and
businesses and the utility's ratepayers.

new text begin (n) The cost to acquire the services of the independent third-party expert described in
paragraph (m), and any other reasonable costs incurred to administer the advisory group
and its actions required by this section, must be paid from funds withheld by the public
utility under paragraph (d). The total amount withheld under this paragraph must not exceed
$125,000 each year.
new text end

deleted text begin (m) deleted text end new text begin (o) new text end The advisory group shall submit funding recommendations to the public utility,
which has full and sole authority to determine which expenditures shall be submitted by
the advisory group to the deleted text begin legislature deleted text end new text begin commission new text end . The commission may approve proposed
expenditures, may disapprove proposed expenditures that it finds not to be in compliance
with this subdivision or otherwise not in the public interest, and may, if agreed to by the
public utility, modify proposed expenditures. The commission shall, by order, submit its
funding recommendations to the legislature as provided under paragraph deleted text begin (n) deleted text end new text begin (p) new text end .

deleted text begin (n) deleted text end new text begin (p) new text end The commission shall present its recommended appropriations from the account
to the senate and house of representatives committees with jurisdiction over energy policy
and finance annually by February 15. Expenditures from the account must be appropriated
by law. In enacting appropriations from the account, the legislature:

(1) may approve or disapprove, but may not modify, the amount of an appropriation for
a project recommended by the commission; and

(2) may not appropriate money for a project the commission has not recommended
funding.

deleted text begin (o) deleted text end new text begin (q) new text end A request for proposal for renewable energy generation projects must, when
feasible and reasonable, give preference to projects that are most cost-effective for a particular
energy source.

deleted text begin (p) deleted text end new text begin (r) new text end The advisory group must annually, by February 15, report to the chairs and ranking
minority members of the legislative committees with jurisdiction over energy policy on
projects funded by the account new text begin under paragraph (k) new text end for the prior year and all previous years.
The report must, to the extent possible and reasonable, itemize the actual and projected
financial benefit to the public utility's ratepayers of each project.

new text begin (s) By June 1, 2019, and each June 1 thereafter, the public utility that owns the Prairie
Island nuclear electric generating plant must submit to the commissioner of management
and budget an estimate of the amount the public utility will deposit into the account January
15 the next year, based on the provisions of paragraphs (c) to (h) and any appropriations
made from the fund during the most recent legislative session.
new text end

deleted text begin (q) deleted text end new text begin (t) new text end By deleted text begin February 1 , 2018 deleted text end new text begin June 30, 2019 new text end , and each deleted text begin February 1 deleted text end new text begin June 30 new text end thereafter, the
commissioner of management and budget deleted text begin shall deleted text end new text begin must estimate the balance in the account as
of the following January 31, taking into account the balance in the account as of June 30
and the information provided under paragraph (r). By July 15, 2019, and each July 15
thereafter, the commissioner of management and budget must new text end submit a written report
regarding the availability of funds in and obligations of the account to the chairs and ranking
minority members of the senate and house committees with jurisdiction over energy policy
and finance, the public utility, and the advisory group. new text begin If more than $15,000,000 is estimated
to be available in the account as of January 31, the advisory group must, by January 31 the
next year, issue a request for proposals to initiate a grant cycle for the purposes of paragraph
(k).
new text end

deleted text begin (r) deleted text end new text begin (u) new text end A project receiving funds from the account must produce a written final report
that includes sufficient detail for technical readers and a clearly written summary for
nontechnical readers. The report must include an evaluation of the project's financial,
environmental, and other benefits to the state and the public utility's ratepayers.

deleted text begin (s) deleted text end new text begin (v) new text end Final reports, any mid-project status reports, and renewable development account
financial reports must be posted online on a public website designated by the commissioner
of commerce.

deleted text begin (t) deleted text end new text begin (w) new text end All final reports must acknowledge that the project was made possible in whole
or part by the Minnesota renewable development account, noting that the account is financed
by the public utility's ratepayers.

deleted text begin (u) deleted text end new text begin (x) new text end Of the amount in the renewable development account, priority must be given to
making the payments required under section 216C.417.

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 2018, section 216B.16, is amended by adding a subdivision to
read:

new text begin Subd. 7e. new text end

new text begin Energy storage system pilot projects. new text end

new text begin (a) A public utility may petition the
commission under this section to recover costs associated with the implementation of an
energy storage system pilot project. As part of the petition, the public utility must submit a
report to the commission containing, at a minimum, the following information regarding
the proposed energy storage system pilot project:
new text end

new text begin (1) the storage technology utilized;
new text end

new text begin (2) the energy storage capacity and the duration of output at that capacity;
new text end

new text begin (3) the proposed location;
new text end

new text begin (4) the purchase and installation costs;
new text end

new text begin (5) how the project will interact with existing distributed generation resources on the
utility's grid; and
new text end

new text begin (6) the goals the project proposes to achieve, which may include controlling frequency
or voltage, mitigating transmission congestion, providing emergency power supplies during
outages, reducing curtailment of existing renewable energy generators, and reducing peak
power costs.
new text end

new text begin (b) A utility may petition the commission to approve a rate schedule that provides for
the automatic adjustment of charges to recover prudently incurred investments, expenses,
or costs associated with energy storage system pilot projects approved by the commission
under this subdivision. A petition filed under this subdivision must include the elements
listed in section 216B.1645, subdivision 2a, paragraph (b), clauses (1) to (4), and must
describe the benefits of the pilot project.
new text end

new text begin (c) The commission may approve, or approve as modified, a rate schedule filed under
this subdivision. The rate schedule filed by the public utility may include the elements listed
in section 216B.1645, subdivision 2a, paragraph (a), clauses (1) to (5).
new text end

new text begin (d) For each pilot project that the commission has found to be in the public interest, the
commission must make its determination on the specific amounts that are eligible for
recovery under the approved rate schedule within 90 days of final approval of the specific
pilot program or within 90 days of the public utility filing for approval of cost recovery for
the specific pilot program, whichever is later.
new text end

new text begin (e) Nothing in this subdivision prohibits or deters the deployment of energy storage
systems.
new text end

new text begin (f) For the purposes of this subdivision:
new text end

new text begin (1) "energy storage system" has the meaning given in section 216B.2422, subdivision
1; and
new text end

new text begin (2) "pilot project" means a project that is owned, operated, and controlled by a public
utility to optimize safe and reliable system operations and is deployed at a limited number
of locations in order to assess the technical and economic effectiveness of its operations.
new text end

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 2018, section 216B.2422, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the terms defined in this
subdivision have the meanings given them.

(b) "Utility" means an entity with the capability of generating 100,000 kilowatts or more
of electric power and serving, either directly or indirectly, the needs of 10,000 retail
customers in Minnesota. Utility does not include federal power agencies.

(c) "Renewable energy" means electricity generated through use of any of the following
resources:

(1) wind;

(2) solar;

(3) geothermal;

(4) hydro;

(5) trees or other vegetation;

(6) landfill gas; or

(7) predominantly organic components of wastewater effluent, sludge, or related
by-products from publicly owned treatment works, but not including incineration of
wastewater sludge.

(d) "Resource plan" means a set of resource options that a utility could use to meet the
service needs of its customers over a forecast period, including an explanation of the supply
and demand circumstances under which, and the extent to which, each resource option
would be used to meet those service needs. These resource options include using,
refurbishing, and constructing utility plant and equipment, buying power generated by other
entities, controlling customer loads, and implementing customer energy conservation.

(e) "Refurbish" means to rebuild or substantially modify an existing electricity generating
resource of 30 megawatts or greater.

new text begin (f) "Energy storage system" means a commercially available technology that:
new text end

new text begin (1) uses mechanical, chemical, or thermal processes to:
new text end

new text begin (i) store energy, including energy generated from renewable resources and energy that
would otherwise be wasted, and deliver the stored energy for use at a later time; or
new text end

new text begin (ii) store thermal energy for direct use for heating or cooling at a later time in a manner
that reduces the demand for electricity at the later time;
new text end

new text begin (2) is composed of stationary equipment;
new text end

new text begin (3) if being used for electric grid benefits, is operationally visible and capable of being
controlled by the distribution or transmission entity managing it, to enable and optimize the
safe and reliable operation of the electric system; and
new text end

new text begin (4) achieves any of the following:
new text end

new text begin (i) reduces peak or electrical demand;
new text end

new text begin (ii) defers the need or substitutes for an investment in electric generation, transmission,
or distribution assets;
new text end

new text begin (iii) improves the reliable operation of the electrical transmission or distribution systems,
while ensuring transmission or distribution needs are not created; or
new text end

new text begin (iv) lowers customer costs by storing energy when the cost of generating or purchasing
it is low and delivering it to customers when those costs are high.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 4.

Minnesota Statutes 2018, section 216B.2422, is amended by adding a subdivision
to read:

new text begin Subd. 7. new text end

new text begin Energy storage systems assessment. new text end

new text begin (a) Each public utility required to file a
resource plan under subdivision 2 must include in the filing an assessment of energy storage
systems that analyzes how the deployment of energy storage systems contributes to:
new text end

new text begin (1) meeting identified generation and capacity needs; and
new text end

new text begin (2) evaluating ancillary services.
new text end

new text begin (b) The assessment must employ appropriate modeling methods to enable the analysis
required in paragraph (a).
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 5.

new text begin [216C.375] SOLAR FOR SCHOOLS PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section and section 216C.376,
the following terms have the meanings given them.
new text end

new text begin (b) "Developer" means an entity that installs a solar energy system on a school building
that has been awarded a grant under this section.
new text end

new text begin (c) "Photovoltaic device" has the meaning given in section 216C.06, subdivision 16.
new text end

new text begin (d) "School" means a school that operates as part of an independent or special school
district.
new text end

new text begin (e) "School district" means an independent or special school district.
new text end

new text begin (f) "Solar energy system" means photovoltaic or solar thermal devices.
new text end

new text begin Subd. 2. new text end

new text begin Establishment; purpose. new text end

new text begin A solar for schools program is established in the
Department of Commerce. The purpose of the program is to provide grants to stimulate the
installation of solar energy systems on or adjacent to school buildings by reducing their
cost, and to enable schools to use the solar energy system as a teaching tool that can be
integrated into the school's curriculum.
new text end

new text begin Subd. 3. new text end

new text begin Establishment of account. new text end

new text begin (a) A solar for schools program account is
established in the special revenue fund. Money received from the general fund must be
transferred to the commissioner of commerce and credited to the account. Money deposited
in the account remains in the account until expended, and does not cancel to the general
fund.
new text end

new text begin (b) When a grant is awarded under this section, the commissioner shall reserve the grant
amount in the account.
new text end

new text begin Subd. 4. new text end

new text begin Expenditures. new text end

new text begin (a) Money in the account may be used only:
new text end

new text begin (1) for grant awards made under this section; and
new text end

new text begin (2) to pay the reasonable costs incurred by the department to administer this section.
new text end

new text begin (b) Grant awards made with funds in the account are to be used only for grants for solar
energy systems installed on or adjacent to school buildings receiving retail electric service
from a utility that is not subject to section 116C.779, subdivision 1.
new text end

new text begin Subd. 5. new text end

new text begin Eligible system. new text end

new text begin (a) A grant may be awarded to a school under this section
only if the solar energy system that is the subject of the grant:
new text end

new text begin (1) is installed on or adjacent to the school building that will consume the electricity
generated by the solar energy system, on property within the service territory of the utility
currently providing electric service to the school building; and
new text end

new text begin (2) has a capacity that does not exceed the lesser of 40 kilowatts or 120 percent of the
estimated annual electricity consumption of the school building at which the solar energy
system is proposed to be installed.
new text end

new text begin (b) A school district that receives a rebate or other financial incentive under section
216B.241 for a solar energy system and that demonstrates considerable need for financial
assistance, as determined by the commissioner, is eligible for a grant under this section for
the same solar energy system.
new text end

new text begin Subd. 6. new text end

new text begin Application process. new text end

new text begin (a) The commissioner shall issue a request for proposals
to utilities, schools, and developers who may wish to apply for a grant under this section
on behalf of a school.
new text end

new text begin (b) A utility or developer must submit an application to the commissioner on behalf of
a school on a form prescribed by the commissioner. The form must include, at a minimum,
the following information:
new text end

new text begin (1) the capacity of the proposed solar energy system and the amount of electricity that
is expected to be generated;
new text end

new text begin (2) the current energy demand of the school building on which the solar energy generating
system is to be installed, and information regarding any distributed energy resource, including
subscription to a community solar garden, that currently provides electricity to the school
building;
new text end

new text begin (3) a description of any solar thermal devices proposed as part of the solar energy system;
new text end

new text begin (4) the total cost of purchasing and installing the solar energy system, and its life-cycle
cost, including removal and disposal of system at the end of its life;
new text end

new text begin (5) a copy of the proposed contract agreement between the school and the public utility
or developer that includes provisions addressing responsibility for maintenance of the solar
energy system;
new text end

new text begin (6) the school's plan to make the solar energy system serve as a visible learning tool for
students, teachers, and visitors to the school, including how the solar energy system may
be integrated into the school's curriculum;
new text end

new text begin (7) information that demonstrates the level of need of the school district for financial
assistance available under this section;
new text end

new text begin (8) information that demonstrates the readiness of the school to implement the project,
including, but not limited to, the availability of the site on which the solar energy system
is to be installed, and the level of the school's engagement with the utility providing electric
service to the school building on which the solar energy system is to be installed on issues
relevant to the implementation of the project, including metering and other issues;
new text end

new text begin (9) with respect to the installation and operation of the solar energy system, the
willingness and ability of the developer or the public utility to:
new text end

new text begin (i) pay employees and contractors a prevailing wage rate, as defined in section 177.42,
subdivision 6; and
new text end

new text begin (ii) adhere to the provisions of section 177.43;
new text end

new text begin (10) how the developer or public utility plans to reduce the school's initial capital expense
for the purchase and installation of the solar energy system, and to provide financial benefits
to the school from the utilization of federal and state tax credits, utility incentives, and other
financial incentives; and
new text end

new text begin (11) any other information deemed relevant by the commissioner.
new text end

new text begin (c) The commissioner shall administer an open application process under this section at
least twice annually.
new text end

new text begin (d) The commissioner shall develop administrative procedures governing the application
and grant award process.
new text end

new text begin Subd. 7. new text end

new text begin Energy conservation review. new text end

new text begin At the commissioner's request, a school awarded
a grant under this section shall provide the commissioner information regarding energy
conservation measures implemented at the school building at which the solar energy system
is to be installed. The commissioner may make recommendations to the school regarding
cost-effective conservation measures it can implement and may provide technical assistance
and direct the school to available financial assistance programs.
new text end

new text begin Subd. 8. new text end

new text begin Technical assistance. new text end

new text begin The commissioner shall provide technical assistance to
schools to develop and execute projects under this section.
new text end

new text begin Subd. 9. new text end

new text begin Grant payments. new text end

new text begin The commissioner shall award a grant from the account
established under subdivision 3 to a school for the necessary costs associated with the
purchase and installation of a solar energy system. The amount of the grant shall be based
on the commissioner's assessment of the school's need for financial assistance.
new text end

new text begin Subd. 10. new text end

new text begin Limitations. new text end

new text begin (a) No more than 50 percent of the grant payments awarded to
schools under this section may be awarded to schools where the proportion of students
eligible for free and reduced-price lunch under the National School Lunch Program is less
than 50 percent.
new text end

new text begin (b) No more than ten percent of the total amount of grants awarded under this section
may be awarded to schools that are part of the same school district.
new text end

new text begin Subd. 11. new text end

new text begin Application deadline. new text end

new text begin No application may be submitted under this section
after December 31, 2023.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 6.

new text begin [216C.376] SOLAR FOR SCHOOLS PROGRAM FOR CERTAIN UTILITY
SERVICE TERRITORY.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment; purpose. new text end

new text begin The utility subject to section 116C.779 shall
operate a program to develop, and to supplement with additional funding, financial
arrangements that allow schools to benefit from state and federal tax and other financial
incentives that schools are ineligible to receive directly in order to enable schools to install
and operate solar energy systems that can be used as teaching tools and integrated into the
school curriculum.
new text end

new text begin Subd. 2. new text end

new text begin Required plan. new text end

new text begin (a) By October 1, 2019, the public utility must file a plan for
the solar for schools program with the commissioner. The plan must contain but is not
limited to the following elements:
new text end

new text begin (1) a description of how entities that are eligible to take advantage of state and federal
tax and other financial incentives that reduce the cost of purchasing, installing, and operating
a solar energy system that schools are ineligible to take advantage of directly, can share a
portion of those financial benefits with schools at which a solar energy system will be
installed;
new text end

new text begin (2) a description of how the public utility will utilize funds appropriated to the program
under this section to provide additional financial assistance to schools at which a solar
energy system will be installed;
new text end

new text begin (3) certification that the financial assistance provided under this section to a school by
the public utility must include the full value of the renewable energy certificates associated
with the generation of electricity by the solar energy system receiving financial assistance
under this section over the lifetime of the solar energy system;
new text end

new text begin (4) an estimate of the amount of financial assistance that the public utility will provide
to a school under clauses (1) to (3) on a per kilowatt-hour produced basis, and the length
of time financial assistance will be provided;
new text end

new text begin (5) certification that the transaction between the public utility and the school for electricity
is the buy-all/sell-all method by which the public utility will charge the school for all
electricity the school consumes at the applicable retail rate schedule for sales to the school
based on the school's customer class, and shall credit or pay the school at the rate established
in subdivision 5;
new text end

new text begin (6) administrative procedures governing the application and financial benefit award
process, and the costs the public utility and the department are projected to incur to administer
the program;
new text end

new text begin (7) the public utility's proposed process for periodic reevaluation and modification of
the program; and
new text end

new text begin (8) any additional information required by the commissioner.
new text end

new text begin (b) The public utility may not implement the program until the commissioner approves
the public utility's plan submitted under this subdivision. The commissioner shall approve
a plan under this subdivision that the commissioner determines to be in the public interest
no later than December 31, 2019. Any proposed modifications to the plan approved under
this subdivision must be approved by the commissioner.
new text end

new text begin Subd. 3. new text end

new text begin System eligibility. new text end

new text begin A solar energy system is eligible to receive financial benefits
under this section if it meets all of the following conditions:
new text end

new text begin (1) the solar energy system must be located on or adjacent to a school building receiving
retail electric service from the public utility and completely located within the public utility's
electric service territory, provided that any land situated between the school building and
the site where the solar energy system is installed is owned by the school district in which
the school building operates; and
new text end

new text begin (2) the total aggregate nameplate capacity of all distributed generation serving the school
building, including any subscriptions to a community solar garden under section 216B.1641,
may not exceed the lesser of one megawatt (alternating current) or 120 percent of the average
annual electric energy consumption of the school building.
new text end

new text begin Subd. 4. new text end

new text begin Application process. new text end

new text begin (a) A school seeking financial assistance under this section
must submit an application to the public utility, including a plan for how the school will
use the solar energy system as a visible learning tool for students, teachers, and visitors to
the school, and how the solar energy system may be integrated into the school's curriculum.
new text end

new text begin (b) The public utility shall award financial assistance under this section on a first-come,
first-served basis.
new text end

new text begin (c) The public utility shall discontinue accepting applications under this section after all
funds appropriated under subdivision 5 are allocated to program participants, including
funds from canceled projects.
new text end

new text begin Subd. 5. new text end

new text begin Benefits information. new text end

new text begin Before signing an agreement with the public utility to
receive financial assistance under this section, a school must obtain from the developer and
provide to the public utility information the developer shared with potential investors in the
project regarding future financial benefits to be realized from installation of a solar energy
system at the school, and potential financial risks.
new text end

new text begin Subd. 6. new text end

new text begin Purchase rate; cost recovery; renewable energy credits. new text end

new text begin (a) The public utility
shall purchase all of the electricity generated by a solar energy system receiving financial
assistance under this section at a rate of $.105 per kilowatt-hour generated.
new text end

new text begin (b) Payments by the public utility of the rate established under this subdivision to a
school receiving financial assistance under this section are fully recoverable by the public
utility through the public utility's fuel clause adjustment.
new text end

new text begin (c) The renewable energy credits associated with the electricity generated by a solar
energy system installed under this section are the property of the public utility that is subject
to this section.
new text end

new text begin Subd. 7. new text end

new text begin Limitation. new text end

new text begin (a) No more than 50 percent of the financial assistance provided
by the public utility to schools under this section may be provided to schools where the
proportion of students eligible for free and reduced-price lunch under the National School
Lunch Program is less than 50 percent.
new text end

new text begin (b) No more than ten percent of the total amount of financial assistance provided by the
public utility to schools under this section may be provided to schools that are part of the
same school district.
new text end

new text begin Subd. 8. new text end

new text begin Technical assistance. new text end

new text begin The commissioner shall provide technical assistance to
schools to develop and execute projects under this section.
new text end

new text begin Subd. 9. new text end

new text begin Application deadline. new text end

new text begin No application may be submitted under this section
after December 31, 2023.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 7.

new text begin [216C.45] ELECTRIC VEHICLE CHARGING STATION REVOLVING
LOAN PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the terms defined in this
subdivision have the meanings given them.
new text end

new text begin (b) "Borrower" means the state, counties, cities, other governmental entities, nonprofit
organizations, and private businesses eligible under this section to apply for and receive
loans from the electric vehicle charging station revolving loan fund.
new text end

new text begin (c) "Commissioner" means the commissioner of commerce.
new text end

new text begin (d) "Electric vehicle" has the meaning given in section 169.011, subdivision 26a.
new text end

new text begin (e) "Electric vehicle charging station" means an electric component assembly or cluster
of component assemblies designed specifically to charge an electric vehicle battery by
transferring electric energy to a battery or a storage device in the electric vehicle.
new text end

new text begin (f) "Loan" means financial assistance provided for all or part of the cost of an electric
vehicle charging station project, including money for design, development, purchase, or
installation.
new text end

new text begin Subd. 2. new text end

new text begin Revolving loan fund. new text end

new text begin The commissioner must establish an electric vehicle
charging station revolving loan fund to make loans for all or part of the cost of an electric
vehicle charging station project installed in Minnesota.
new text end

new text begin Subd. 3. new text end

new text begin Administration. new text end

new text begin (a) The commissioner must establish a minimum interest rate
for loans to ensure that necessary loan administration costs are covered. The minimum
interest rate must not exceed:
new text end

new text begin (1) one percent interest for a loan to a borrower that is the state, other governmental
entity, or a nonprofit organization; or
new text end

new text begin (2) three percent interest for a loan to a borrower that is a private business.
new text end

new text begin (b) Loan repayment of principal and loan interest payments must be paid to the department
for deposit in the revolving loan fund for subsequent distribution or use consistent with the
requirements under this section.
new text end

new text begin (c) When a loan is repaid, 60 percent of the loan repayment must be retained in the
electric vehicle charging station revolving loan fund. The remaining 40 percent must be
transferred to the renewable development account under section 116C.779, until the total
amount transferred to the renewable development account equals $1,500,000.
new text end

new text begin Subd. 4. new text end

new text begin Applications. new text end

new text begin (a) A loan applicant must submit an application to the
commissioner on forms prescribed by the commissioner.
new text end

new text begin (b) The applicant must provide the following information:
new text end

new text begin (1) the estimated cost of the project and the amount of the loan sought;
new text end

new text begin (2) other possible sources of funding in addition to loans sought from the electric vehicle
charging station revolving loan fund;
new text end

new text begin (3) the proposed methods and sources of funds to repay loans received; and
new text end

new text begin (4) information demonstrating the financial status and ability of the borrower to repay
loans.
new text end

new text begin Subd. 5. new text end

new text begin Use of loan funds. new text end

new text begin (a) Loans made with funds from the electric vehicle charging
station revolving loan fund may be used to design, develop, purchase, and install electric
vehicle charging stations at locations in Minnesota.
new text end

new text begin (b) An electric vehicle charging station project receiving loan funds under this section
must be available for public use.
new text end

new text begin Subd. 6. new text end

new text begin Evaluation of projects. new text end

new text begin (a) The commissioner must consider the following
information when evaluating a project:
new text end

new text begin (1) a description of the nature and purpose of the proposed project, including an
explanation of the need for the project and the reasons why the project is in the public
interest;
new text end

new text begin (2) the relationship of the project to the local area's needs;
new text end

new text begin (3) the estimated project cost and the loan amount sought;
new text end

new text begin (4) proposed sources of funding in addition to the loan sought from the electric vehicle
charging station revolving loan fund;
new text end

new text begin (5) the need for the project as part of the overall transportation system; and
new text end

new text begin (6) the overall economic impact of the project.
new text end

new text begin (b) When evaluating projects, the commissioner may consult with the commissioner of
transportation regarding the electric vehicle charging needs throughout the state.
new text end

new text begin Subd. 7. new text end

new text begin Maximum loan amount. new text end

new text begin The maximum loan amount under this section is
$....... per electric vehicle charging station project.
new text end

new text begin Subd. 8. new text end

new text begin User fees. new text end

new text begin As a condition of accepting a loan under this section, a borrower
must agree to charge a per hour user fee for use of an electric vehicle charging station funded
by the loan. A borrower must use at least 25 percent of the fees collected to repay the loan
and pay for expenses associated with operating and maintaining the electric vehicle charging
station funded by the loan.
new text end

new text begin Subd. 9. new text end

new text begin Report to legislature. new text end

new text begin On or before March 15, 2020, and each March 15
thereafter, the commissioner must report to the chairs and ranking minority members of the
house of representatives and senate committees with jurisdiction over energy and
transportation policy and finance regarding the revolving loan program. The report must
include (1) a description of the projects and an account of loans made from the revolving
loan fund during the preceding calendar year, (2) the revolving loan fund balance, and (3)
an explanation of administrative expenses.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 8.

new text begin PRAIRIE ISLAND NET ZERO PROJECT.
new text end

new text begin Subdivision 1. new text end

new text begin Program established. new text end

new text begin The Prairie Island net zero project is established
with the goal of the Prairie Island Indian community developing an energy system that
results in net zero emissions.
new text end

new text begin Subd. 2. new text end

new text begin Grant. new text end

new text begin The commissioner of employment and economic development must
enter into a grant contract with the Prairie Island Indian community to provide the amount
appropriated under section 12 to stimulate research, development, and implementation of
renewable energy projects benefiting the Prairie Island Indian community or its members.
Any examination conducted by the commissioner of employment and economic development
to determine the sufficiency of the financial stability and capacity of the Prairie Island Indian
community to carry out the purposes of this grant is limited to the Community Services
Department of the Prairie Island Indian community.
new text end

new text begin Subd. 3. new text end

new text begin Plan; report. new text end

new text begin The Prairie Island Indian community must file a plan with the
commissioner of employment and economic development no later than July 1, 2019,
describing the Prairie Island net zero project elements and implementation strategy. The
Prairie Island Indian community must file a report on July 1, 2020, and each July 1 thereafter
until the project is complete, describing the progress made in implementing the project and
the uses of expended funds. A final report must be completed within 90 days of the date
the project is complete.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 9.

new text begin BIOMASS BUSINESS COMPENSATION.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Biomass plant" means the biomass plant identified under Minnesota Statutes, section
116C.779, subdivision 1, paragraph (f).
new text end

new text begin (c) "Early termination" means the early termination of the power purchase agreement
authorized under Minnesota Statutes, section 216B.2424, subdivision 9, with the biomass
plant.
new text end

new text begin (d) "Operating income" means a business's revenue minus its operating expenses.
new text end

new text begin Subd. 2. new text end

new text begin Office of Administrative Hearings; claims process. new text end

new text begin (a) The chief
administrative law judge of the Office of Administrative Hearings must assign an
administrative law judge to administer a claims award process to compensate businesses
negatively affected by the early termination. The chief administrative law judge may develop
a process, prescribe forms, identify documentation affected businesses must submit with
claims, and issue awards to eligible businesses consistent with this section. The process
must allow, but not require, an authorized representative from each business that applies
for compensation to appear in person before the assigned administrative law judge to provide
evidence in support of the business's claim.
new text end

new text begin (b) The chief administrative law judge may contract with and use the services of financial
or other consultants to examine financial documentation presented by claimants or otherwise
assist in the evaluation and award of claims.
new text end

new text begin (c) Records submitted to the Office of Administrative Hearings as part of the claims
process constitute business data under Minnesota Statutes, section 13.591.
new text end

new text begin (d) An award made under this section is final and is not subject to judicial review.
new text end

new text begin (e) An award made under this section does not constitute an admission of liability by
the state for any damages or other losses suffered by a business affected by the early
termination.
new text end

new text begin Subd. 3. new text end

new text begin Eligibility. new text end

new text begin To be eligible for an award of compensation, an affected business
must meet the following criteria:
new text end

new text begin (1) as of May 1, 2017, the affected business was operating under the terms of a valid
written contract, or an oral contract that is sufficiently supported by business records, with
the company operating the biomass plant or the fertilizer plant integrated with the biomass
plant to supply or manage material for, or receive material from, the biomass plant or the
fertilizer plant integrated with the biomass plant;
new text end

new text begin (2) the affected business is located in the state; and
new text end

new text begin (3) as the result of the early termination, the affected business suffered:
new text end

new text begin (i) decreased operating income; or
new text end

new text begin (ii) the loss of value of investments in real or personal property essential to its business
operations with the biomass plant.
new text end

new text begin Subd. 4. new text end

new text begin Types of claims. new text end

new text begin (a) An eligible business may make claims for a compensation
award based on either or both:
new text end

new text begin (1) decreased operating income; or
new text end

new text begin (2) the loss of value of investments in real or personal property essential to its business
operations with the biomass plant.
new text end

new text begin (b) To establish and quantify a claim for decreased operating income, an eligible business
must:
new text end

new text begin (1) demonstrate its operating income over the past five years derived from supplying or
managing material for, or receiving material from, the biomass plant;
new text end

new text begin (2) present evidence of any alternative business opportunities it has pursued or could
pursue to mitigate the loss of revenue from the termination of its contract with the biomass
plant; and
new text end

new text begin (3) demonstrate the amount that the business's annual operating income, including
operating income from any alternative business opportunities, after the termination of the
business's contract with the biomass plant is less than the five-year average of the business's
annual operating income before the early termination.
new text end

new text begin (c) To establish and quantify a loss of value of investments in real or personal property
claim, an eligible business must provide sufficient evidence of:
new text end

new text begin (1) the essential nature of the investment made in the property to fulfill the contract with
the biomass plant;
new text end

new text begin (2) the extent to which the eligible business is able to repurpose the property for another
productive use after the early termination, including but not limited to the use, sales, salvage,
or scrap value of the property for which the loss is claimed; and
new text end

new text begin (3) the value of the eligible business's nondepreciated investment in the property.
new text end

new text begin Subd. 5. new text end

new text begin Limitations on awards. new text end

new text begin (a) A compensation award for a decreased operating
income claim must not exceed the amount calculated under subdivision 4, paragraph (b),
clause (3), multiplied by two.
new text end

new text begin (b) The use, sales, salvage, or scrap value of the property for which a loss is claimed
must be deducted from a compensation award for a loss of value of investments in real or
personal property claim.
new text end

new text begin (c) A payment received from business interruption insurance policies, settlements, or
other forms of compensation related to the termination of the business's contract with the
biomass plant must be deducted from any compensation award provided under this section.
new text end

new text begin Subd. 6. new text end

new text begin Priority. new text end

new text begin The chief administrative law judge may give priority to claims by
eligible businesses that demonstrate a significant effort to pursue alternative business
opportunities or to conduct other loss mitigation efforts to reduce its claimed losses related
to the termination of its contract with the company operating the biomass plant.
new text end

new text begin Subd. 7. new text end

new text begin Awarding claims. new text end

new text begin If the amount provided for compensation in the biomass
business compensation account established under section 10 is insufficient to fully award
all claims eligible for an award, all awards must be adjusted proportionally based on the
value of the claim.
new text end

new text begin Subd. 8. new text end

new text begin Deadlines. new text end

new text begin The chief administrative law judge must make the application
process for eligible claims available by August 1, 2019. A business seeking an award under
this section must file all claims with the chief administrative law judge within 60 days of
the date the chief administrative law judge makes the application process for eligible claims
available. All preliminary awards on eligible claims must be made within 120 days of the
deadline date to file claims. Any requests to reconsider an award denial must be filed with
the chief administrative law judge within 60 days of the notice date for preliminary awards.
All final awards for eligible claims must be made within 60 days of the deadline date to file
reconsideration requests. The commissioner of management and budget must pay all awarded
claims within 45 days of the date the commissioner of management and budget receives
notice of the final awards from the chief administrative law judge.
new text end

new text begin Subd. 9. new text end

new text begin Expiration. new text end

new text begin This section expires June 30, 2022.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 10.

new text begin BIOMASS BUSINESS COMPENSATION ACCOUNT.
new text end

new text begin Subdivision 1. new text end

new text begin Account established. new text end

new text begin A biomass business compensation account is
established as a separate account in the special revenue fund in the state treasury.
Appropriations and transfers to the account must be credited to the account. Earnings, such
as interest, and any other earnings arising from the assets of the account are credited to the
account. Funds remaining in the account as of December 31, 2021, must be transferred to
the renewable development account established under Minnesota Statutes, section 116C.779.
new text end

new text begin Subd. 2. new text end

new text begin Funding for the special account. new text end

new text begin Notwithstanding Minnesota Statutes, section
116C.779, subdivision 1, paragraph (j), on July 1, 2019, $40,000,000 must be transferred
from the renewable development account under Minnesota Statutes, section 116C.779, to
the biomass business compensation account established under subdivision 3. The transferred
funds are appropriated to pay eligible obligations under the biomass business compensation
program established under section 9.
new text end

new text begin Subd. 3. new text end

new text begin Payment of expenses. new text end

new text begin The chief administrative law judge must certify to the
commissioner of management and budget the total costs incurred to administer the biomass
business compensation claims process. The commissioner of management and budget must
transfer an amount equal to the certified costs incurred for biomass business compensation
claim activities from the renewable development account under Minnesota Statutes, section
116C.779, and deposit it in the administrative hearings account under Minnesota Statutes,
section 14.54. Transfers may occur quarterly throughout the fiscal year and must be based
on quarterly cost and revenue reports, with final certification and reconciliation after each
fiscal year. The total amount transferred under this subdivision must not exceed $200,000.
new text end

new text begin Subd. 4. new text end

new text begin Expiration. new text end

new text begin This section expires June 30, 2022.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 11. new text begin GREEN ROOF ADVISORY TASK FORCE; REPORT.
new text end

new text begin Subdivision 1. new text end

new text begin Definition. new text end

new text begin For the purposes of this section, "green roof" means the roof
of a building on which:
new text end

new text begin (1) photovoltaic devices, as defined in Minnesota Statutes, section 216C.06, are sited;
or
new text end

new text begin (2) a vegetative landscape and associated elements are installed, which may include:
new text end

new text begin (i) a growing medium;
new text end

new text begin (ii) a waterproof membrane to protect the roof;
new text end

new text begin (iii) a barrier to prevent plant roots from damaging the roof;
new text end

new text begin (iv) a filter layer to prevent the growing medium from washing away;
new text end

new text begin (v) thermal insulation to protect the vegetation and the building;
new text end

new text begin (vi) a drainage system; and
new text end

new text begin (vii) structural support.
new text end

new text begin Subd. 2. new text end

new text begin Membership. new text end

new text begin (a) The Green Roof Advisory Task Force consists of the following
members:
new text end

new text begin (1) the state building official, appointed under Minnesota Statutes, section 326B.127,
or the state building official's designee;
new text end

new text begin (2) a representative of the Building Owners and Managers Association Greater
Minneapolis, appointed by the president of the association;
new text end

new text begin (3) up to three representatives from Minnesota companies with extensive experience
installing green roofs, appointed by the commissioner of the Pollution Control Agency;
new text end

new text begin (4) a cochair of the Committee on the Environment of the American Institute of Architects
Minnesota, or the cochair's designee;
new text end

new text begin (5) a horticultural expert from the University of Minnesota Extension, appointed by the
dean of extension;
new text end

new text begin (6) a representative of the University of Minnesota Center for Sustainable Building
Research, appointed by the director of the center;
new text end

new text begin (7) a representative of the Minnesota Solar Energy Industries Association, appointed by
the president of the association;
new text end

new text begin (8) a representative from the Minnesota Nursery and Landscape Association;
new text end

new text begin (9) a representative of the Minnesota State Building Trades Council appointed by the
council;
new text end

new text begin (10) the commissioner of commerce, or the commissioner's designee; and
new text end

new text begin (11) other members appointed by the advisory task force that it deems to be helpful in
carrying out its duties under subdivision 3.
new text end

new text begin (b) Members of the advisory task force are not to be compensated for activities associated
with the advisory task force.
new text end

new text begin (c) The Department of Commerce must serve as staff to the advisory task force.
new text end

new text begin Subd. 3. new text end

new text begin Duties. new text end

new text begin The advisory task force's duties are to review and evaluate:
new text end

new text begin (1) laws relating to green roofs enacted in American cities and states and in foreign
countries;
new text end

new text begin (2) estimates of the impacts of operating green roofs on:
new text end

new text begin (i) energy use in the buildings on which the green roofs are installed and any associated
reductions in the emission of greenhouse gases and other air pollutants;
new text end

new text begin (ii) roof replacement costs; and
new text end

new text begin (iii) management costs for storm water; and
new text end

new text begin (3) any other information the task force deems relevant.
new text end

new text begin Subd. 4. new text end

new text begin Report. new text end

new text begin By March 1, 2020, the advisory task force must submit a report to the
chairs and ranking minority members of the senate and house of representatives committees
with primary jurisdiction over energy policy and environmental policy. The report must
contain the task force's findings and recommendations, including discussion of the benefits
and problems associated with requiring buildings of a certain type and size to install green
roofs.
new text end

new text begin Subd. 5. new text end

new text begin Sunset. new text end

new text begin The task force shall sunset April 1, 2020.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 12. new text begin REPORT; COST-BENEFIT ANALYSIS OF ENERGY STORAGE
SYSTEMS.
new text end

new text begin (a) The commissioner of commerce must contract with an independent consultant selected
through a request for proposal process to produce a report analyzing the potential costs and
benefits of energy storage systems, as defined in Minnesota Statutes, section 216B.2422,
subdivision 1, in Minnesota. The study may also include scenarios examining energy storage
systems that are not capable of being controlled by a utility. The commissioner must engage
a broad group of Minnesota stakeholders, including electric utilities and others, to develop
and provide information for the report. The study must:
new text end

new text begin (1) identify and measure the different potential costs and savings produced by energy
storage system deployment, including but not limited to:
new text end

new text begin (i) generation, transmission, and distribution facilities asset deferral or substitution;
new text end

new text begin (ii) impacts on ancillary services costs;
new text end

new text begin (iii) impacts on transmission and distribution congestion;
new text end

new text begin (iv) impacts on peak power costs;
new text end

new text begin (v) impacts on emergency power supplies during outages;
new text end

new text begin (vi) impacts on curtailment of renewable energy generators; and
new text end

new text begin (vii) reduced greenhouse gas emissions;
new text end

new text begin (2) analyze and estimate the:
new text end

new text begin (i) costs and savings to customers that deploy energy storage systems;
new text end

new text begin (ii) impact on the utility's ability to integrate renewable resources;
new text end

new text begin (iii) impact on grid reliability and power quality; and
new text end

new text begin (iv) effect on retail electric rates over the useful life of a given energy storage system
compared to providing the same services using other facilities or resources;
new text end

new text begin (3) consider the findings of analysis conducted by the Midcontinent Independent System
Operator on energy storage capacity accreditation and participation in regional energy
markets, including updates of the analysis; and
new text end

new text begin (4) include case studies of existing energy storage applications currently providing the
benefits described in clauses (1) and (2).
new text end

new text begin (b) By December 31, 2019, the commissioner of commerce must submit the study to
the chairs and ranking minority members of the senate and house of representatives
committees with jurisdiction over energy policy and finance.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 13. new text begin APPROPRIATION; PRAIRIE ISLAND NET ZERO PROJECT.
new text end

new text begin Notwithstanding Minnesota Statutes, section 116C.779, subdivision 1, paragraph (j),
$20,000,000 in fiscal year 2020; $7,500,000 in fiscal years 2021, 2022, and 2023; and
$3,700,000 in fiscal year 2024 are appropriated from the renewable development account
under Minnesota Statutes, section 116C.779, subdivision 1, to the commissioner of
employment and economic development for a grant to the Prairie Island Indian community
to establish the net zero project under section 8.
new text end

new text begin EFFECTIVE DATE. new text end

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

Sec. 14. new text begin APPROPRIATION; ENERGY STORAGE COST-BENEFIT ANALYSIS.
new text end

new text begin $150,000 in fiscal year 2019 is appropriated from the renewable development account
in the special revenue fund established in Minnesota Statutes, section 116C.779, subdivision
1, to the commissioner of commerce, to conduct an energy storage systems cost-benefit
analysis. This is a onetime appropriation and is available until June 30, 2020.
new text end

Sec. 15. new text begin APPROPRIATION; GREEN ROOF TASK FORCE.
new text end

new text begin $55,000 in fiscal year 2020 is appropriated from the renewable development account
under Minnesota Statutes, section 116C.779, subdivision 1, paragraph (a), to the
commissioner of commerce to complete the green roof report required under section 11.
new text end

Sec. 16. new text begin APPROPRIATION; SOLAR FOR SCHOOLS.
new text end

new text begin (a) Notwithstanding Minnesota Statutes, section 116C.779, subdivision 1, paragraph (j),
$1,000,000 in fiscal year 2020 and $1,000,000 in fiscal year 2021 are appropriated from
the renewable development account established under Minnesota Statutes, section 116C.779,
subdivision 1, to the commissioner of commerce for transfer to the public utility that is
subject to Minnesota Statutes, section 216C.376, for the purposes of awarding grants and
financial assistance to schools under the solar for schools program under Minnesota Statutes,
section 216C.376.
new text end

new text begin (b) This appropriation may be used by the commissioner to reimburse the reasonable
costs incurred by the public utility to administer the solar for schools program under
Minnesota Statutes, section 216C.375, and the reasonable costs of the department to review
and approve the public utility's plan, and any proposed modifications to that plan and to
provide technical assistance, under Minnesota Statutes, section 216C.376, subdivisions 2
and 8.
new text end

Sec. 17. new text begin APPROPRIATION; ELECTRIC VEHICLE CHARGING STATION
REVOLVING LOAN PROGRAM.
new text end

new text begin Notwithstanding Minnesota Statutes, section 116C.779, subdivision 1, paragraph (j),
$1,500,000 in fiscal year 2020 is appropriated from the renewable development account
under Minnesota Statutes, section 116C.779, to the commissioner of commerce for the
electric vehicle charging station revolving loan program under Minnesota Statutes, section
216C.45. This appropriation must be used only for loans made for electric vehicle charging
station projects in the service area of a public utility that owns a nuclear electric generating
plant in Minnesota. The commissioner may use up to three percent of this amount to
administer the program. This is a onetime appropriation and is available until expended.
new text end