Minnesota Legislature
SF 2405
1st Engrossment - 89th Legislature (2015 - 2016) Posted on 04/20/2016 12:00pm
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A bill for an act
relating to energy; establishing an electric vehicle promotion program; providing
for electric vehicle rebates and incentives; appropriating money; proposing
coding for new law in Minnesota Statutes, chapter 216B.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
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[216B.1615] ELECTRIC VEHICLE PROMOTION PROGRAM.
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new text begin Subdivision 1. new text end
new text begin Definitions. new text end
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(a) For the purposes of this section and section
216B.1616, the terms defined in this subdivision have the meanings given them.
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(b) "Electric vehicle charging station" means a public or private parking space
served by battery charging station equipment that has as its primary purpose the transfer
of electric energy by conductive or inductive means to a battery or other energy storage
device in an electric vehicle.
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(c) "Electric vehicle infrastructure" means structures, machinery, and equipment
necessary and integral to support an electric vehicle, including electric vehicle charging
stations, battery exchange stations, and distribution system upgrades.
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(d) "Electric vehicle" or "plug-in vehicle" means an electric drive motor vehicle
that (1) draws propulsion using a traction battery having at least seven kilowatt hours of
capacity, (2) uses an external source of energy to recharge the battery, and (3) has a gross
vehicle weight rating of up to 14,000 pounds.
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(e) "Utility" means a public utility, as defined in section 216B.02, subdivision 4, that
provides electric service.
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new text begin Subd. 2. new text end
new text begin Program. new text end
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(a) By August 1, 2017, each utility serving a city of the first
class must file with the commissioner a program to promote (1) the purchase of electric
vehicles by their customers, and (2) the development of electric vehicle infrastructure.
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(b) The program may include, but is not limited to, the following elements:
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(1) educational resources for individuals, electric vehicle dealers, multifamily
housing developers and property management companies, vehicle fleet managers, and
other potential electric vehicle users;
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(2) a plan to deploy or incentivize deployment of vehicle charging equipment, electric
utility infrastructure, services, or financial support to residences and workplaces; and
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(3) research and demonstration projects evaluating the value electric vehicles can
provide to the grid.
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new text begin Subd. 3. new text end
new text begin Program review and implementation. new text end
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The commissioner of commerce
must review the program plans submitted under this section. The commissioner must
approve, modify, or reject the plan based on the plan's likely effectiveness in: (1)
increasing electric vehicle sales; (2) increasing access to electric vehicle infrastructure; (3)
increasing customer education regarding electric vehicles; and (4) evaluating the potential
to use electric vehicles to assist in grid management. If the commissioner rejects a utility's
plan, the utility must submit a new plan for commissioner review, subject to a schedule
determined by the commissioner. The utility must begin implementing the plan after
approval, subject to a schedule determined by the commissioner.
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new text begin Subd. 4. new text end
new text begin Cost recovery. new text end
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The commission must approve recovery of costs
reasonably incurred by a utility to implement and administer the program in subdivision 2.
Notwithstanding section 216B.16, subdivision 8, paragraph (a), clause (3), the commission
must also approve recovery of costs for expenses reasonably incurred by a utility to
provide public advertisement as part of a promotion program.
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new text begin Subd. 5. new text end
new text begin Reporting. new text end
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Beginning one year after implementing a program approved by
the commissioner, each utility implementing a plan under this section must report annually
to the commissioner on (1) its activities to promote electric vehicle usage and the outcomes
of those efforts, and (2) the potential to utilize plug-in vehicles to assist in grid management.
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Sec. 2.
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[216B.1616] ELECTRIC VEHICLE REBATES AND INCENTIVES.
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new text begin Subdivision 1. new text end
new text begin Definition. new text end
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For the purposes of this section, "dealer" has the meaning
given in section 80E.03, subdivision 3.
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new text begin Subd. 2. new text end
new text begin Eligibility. new text end
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The purchaser or leaser of an electric vehicle is eligible for a
rebate if:
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(1) the electric vehicle:
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(i) has not been previously owned;
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(ii) has not been modified from the original manufacturer's specifications; and
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(iii) is purchased or leased after the effective date of this act for use by the purchaser
and not for resale;
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(2) the purchaser or leaser:
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(i) is a resident of Minnesota, as defined in section 290.01, subdivision 7, paragraph
(a), when the electric vehicle is purchased or leased;
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(ii) is a business that has a valid address in Minnesota from which business is
conducted;
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(iii) is a nonprofit corporation incorporated under chapter 317A; or
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(iv) is a political subdivision of this state; and
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(3) the purchaser or leaser:
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(i) has not received a rebate or tax credit for the purchase of an electric vehicle from
Minnesota or another state; and
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(ii) registers the electric vehicle in Minnesota.
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new text begin Subd. 3. new text end
new text begin Rebate amounts. new text end
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Subject to subdivision 5, paragraph (c), the
commissioner is authorized to award rebates under this section in the following amounts:
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(1) for a battery electric vehicle or plug-in hybrid vehicle that is eligible for a
maximum rebate under the federal plug-in vehicle rebate program, up to $2,500; and
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(2) for a plug-in hybrid vehicle that is eligible for less than a maximum rebate under
the federal plug-in vehicle rebate program, up to $1,500.
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new text begin Subd. 4. new text end
new text begin Limits. new text end
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The number of rebates awarded under this section are limited to:
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(1) no more than one rebate per resident household; and
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(2) no more than one rebate per business entity per year.
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new text begin Subd. 5. new text end
new text begin Program administration. new text end
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(a) Applications for a rebate under this section
must be filed with the commissioner on a form developed by the commissioner.
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(b) The commissioner must develop a process to review applications and award
rebates. Applications must be reviewed and rebates awarded by the commissioner on
a first-come, first-served basis.
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(c) The commissioner may reduce the rebate amounts provided under subdivision
3 or restrict program eligibility to maximize the effectiveness of rebates in promoting
the purchase and use of electric vehicles.
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new text begin Subd. 6. new text end
new text begin Expiration. new text end
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This section expires June 30, 2021.
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Sec. 3. new text begin ELECTRIC VEHICLE REBATES; APPROPRIATION.
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$....... in fiscal year 2017 is appropriated from the general fund to the commissioner
of commerce for electric vehicle rebates and reasonable program administration costs
under Minnesota Statutes, section 216B.1616.
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