SF 2204

as introduced - 92nd Legislature (2021 - 2022) Posted on 03/23/2021 08:12am

A bill for an act
relating to economic development; modifying the community energy transition
grant program; transferring money; appropriating money; amending Minnesota
Statutes 2020, section 116J.55, subdivisions 1, 7, by adding a subdivision; Laws
2020, chapter 118, section 5, subdivision 1.

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

Section 1.

Minnesota Statutes 2020, section 116J.55, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For the purposes of this section, "eligible community" means
a county, municipality, or tribal government located in Minnesota in which an electric
generating plant owned by a public utility, as defined in section 216B.02, that is powered
by coal, nuclear energy, or natural gas:

(1) is currently operating and new text begin (i) new text end is scheduled to cease operations deleted text begin or deleted text end new text begin , (ii) new text end whose cessation
of operations has been proposed in an integrated resource plan filed with the commission
under section 216B.2422 new text begin , or (iii) whose current operating license expires within 15 years new text end ;
or

(2) ceased operations or was removed from the local property tax base no earlier than
five years before the date an application is made for a grant under this section.

Sec. 2.

Minnesota Statutes 2020, section 116J.55, is amended by adding a subdivision to
read:

new text begin Subd. 6a. new text end

new text begin Grant priorities. new text end

new text begin When evaluating projects, the commissioner may give
priority to eligible projects that meet certain criteria, including but not limited to:
new text end

new text begin (1) the extent to which the grant assists the community to address the fiscal and social
impacts of plant retirement;
new text end

new text begin (2) the potential of the eligible community to attract a viable business; and
new text end

new text begin (3) the potential increase in the property tax base of the eligible community, considered
relative to the fiscal impact of retiring the electric generating units located in the eligible
community.
new text end

Sec. 3.

Minnesota Statutes 2020, section 116J.55, subdivision 7, is amended to read:

Subd. 7.

Report.

deleted text begin By deleted text end new text begin (a) Beginning new text end January 15, 2022, new text begin and annually thereafter, new text end the
commissioner must submit a report to the chairs and ranking minority members of the
committees of the senate and house of representatives with jurisdiction over economic
development and energy. The report must describe the number and amount of grants awarded
under this section and the uses made of grant funds by eligible communities awarded grants.

new text begin (b) Notwithstanding paragraph (a), a report is not required in a year in which no grants
have been awarded under subdivision 5 since the prior year's report was submitted.
new text end

Sec. 4.

Laws 2020, chapter 118, section 5, subdivision 1, is amended to read:

Subdivision 1.

Community energy transition grants.

(a) Notwithstanding Minnesota
Statutes, section 116C.779, subdivision 1, paragraph (j), $2,000,000 in fiscal year 2021 is
appropriated from the renewable development account established in Minnesota Statutes,
section 116C.779, subdivision 1, to the commissioner of employment and economic
development for deposit in the community energy transition account established in Minnesota
Statutes, section 116J.55, subdivision 3. This is a onetime appropriation deleted text begin and is available
until June 30, 2022 deleted text end .

(b) If another bill is enacted during the 2020 regular legislative session that appropriates
money from the renewable development account established in Minnesota Statutes, section
116C.779, subdivision 1, for the same general purpose as provided under Minnesota Statutes,
section 116J.55, the appropriation under this subdivision cancels to the renewable
development account under Minnesota Statutes, section 116C.779, subdivision 1.

Sec. 5. new text begin TRANSFER; APPROPRIATION; COMMUNITY ENERGY TRANSITION
GRANTS.
new text end

new text begin (a) Notwithstanding Minnesota Statutes, section 116C.779, subdivision 1, paragraph (j),
$3,000,000 in fiscal year 2022 and $3,000,000 in fiscal year 2023 are transferred from the
renewable development account established in Minnesota Statutes, section 116C.779,
subdivision 1, to the commissioner of employment and economic development for deposit
in the community energy transition account established in Minnesota Statutes, section
116J.55, subdivision 3. This is a onetime transfer.
new text end

new text begin (b) $1,000,000 in fiscal year 2022 and $1,000,000 in fiscal year 2023 are appropriated
from the general fund to the commissioner of employment and economic development for
grants to communities located outside of the service territory of the public utility subject to
Minnesota Statutes, section 116C.779, subdivision 1, that would otherwise be eligible
communities under the community energy transition grant program under Minnesota Statutes,
section 116J.55, except for the location of (1) the electric generating plant scheduled for
retirement or decommissioning, or (2) the already retired or decommissioned electric
generating plant. This is a onetime appropriation.
new text end