new text begin [16B.312] CONSTRUCTION MATERIALS; ENVIRONMENTAL
ANALYSIS.
new text end

116C.7792 SOLAR ENERGY PRODUCTION INCENTIVE PROGRAM.

new text begin [116C.7793] SOLAR ENERGY; CONTINGENCY ACCOUNT.
new text end

new text begin [123B.661] AIR VENTILATION PROGRAM ACT.
new text end

new text begin [123B.662] DEFINITIONS.
new text end

new text begin [123B.663] AIR VENTILATION PILOT PROGRAM GRANTS AND
GUIDELINES.
new text end

new text begin [216B.1615] ELECTRIC VEHICLE DEPLOYMENT PROGRAM.
new text end

new text begin [216B.1616] ELECTRIC SCHOOL BUS DEPLOYMENT PROGRAM.
new text end

216B.1641 COMMUNITY SOLAR GARDEN.

new text begin [216B.172] CONSUMER DISPUTES.
new text end

new text begin [216B.631] COMPENSATION FOR PARTICIPANTS IN PROCEEDINGS.
new text end

new text begin [216C.331] ENERGY BENCHMARKING.
new text end

new text begin [216C.377] DISTRIBUTED ENERGY RESOURCES SYSTEM UPGRADE
PROGRAM.
new text end

new text begin [216C.378] SOLAR GRANT PROGRAM; PUBLIC BUILDINGS.
new text end

new text begin [216C.379] ENERGY STORAGE INCENTIVE PROGRAM.
new text end

new text begin [216C.401] ELECTRIC VEHICLE REBATES.
new text end

new text begin [216C.402] GRANT PROGRAM; MANUFACTURERS' CERTIFICATION
OF AUTO DEALERS TO SELL ELECTRIC VEHICLES.
new text end

new text begin [216C.441] MINNESOTA CLIMATE INNOVATION FINANCE
AUTHORITY.
new text end

new text begin [216C.45] RESIDENTIAL HEAT PUMP REBATE PROGRAM.
new text end

new text begin [216C.46] RESIDENTIAL ELECTRIC PANEL UPGRADE GRANT
PROGRAM.
new text end

SF 2847

ARTICLE 1

ENERGY FINANCE

ARTICLE 2

RENEWABLE DEVELOPMENT ACCOUNT APPROPRIATIONS

ARTICLE 3

STRENGTHEN MINNESOTA HOMES

new text begin [65A.298] HOMEOWNER'S INSURANCE; FORTIFIED PROGRAM STANDARDS. new text end

new text begin [65A.299] STRENGTHEN MINNESOTA HOMES PROGRAM. new text end

new text begin [65A.298] HOMEOWNER'S INSURANCE; FORTIFIED PROGRAM
STANDARDS.
new text end

new text begin [65A.299] STRENGTHEN MINNESOTA HOMES PROGRAM.
new text end

new text begin [16B.312] CONSTRUCTION MATERIALS; ENVIRONMENTAL
ANALYSIS.
new text end

new text begin [116C.7793] SOLAR ENERGY; CONTINGENCY ACCOUNT.
new text end

new text begin [123B.661] AIR VENTILATION PROGRAM ACT.
new text end

new text begin [123B.662] DEFINITIONS.
new text end

Section 1.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 2.

Subd. 2.

new text begin EFFECTIVE DATE. new text end

Sec. 3.

new text begin Subd. 9. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 4.

Subd. 3.

new text begin EFFECTIVE DATE. new text end

Sec. 5.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 6.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 9.

Sec. 10.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin Subd. 12. new text end

new text begin Subd. 13. new text end

new text begin Subd. 14. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 11.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 12.

new text begin Subd. 2a. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 13.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 14.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 15.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

Sec. 16.

new text begin Subd. 2h. new text end

Sec. 17.

Subdivision 1.

new text begin EFFECTIVE DATE. new text end

Sec. 18.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 19.

Subd. 2.

Sec. 20.

Subd. 3b.

new text begin EFFECTIVE DATE. new text end

Sec. 21.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 22.

Subdivision 1.

Sec. 23.

new text begin Subd. 1a. new text end

Sec. 24.

new text begin Subd. 1b. new text end

Sec. 25.

new text begin Subd. 1c. new text end

Sec. 26.

Subd. 5.

Sec. 27.

new text begin Subd. 7. new text end

Sec. 28.

new text begin Subd. 8. new text end

Sec. 29.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin Subd. 12. new text end

new text begin Subd. 13. new text end

new text begin Subd. 14. new text end

new text begin Subd. 15. new text end

new text begin Subd. 16. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 30.

Subdivision 1.

Sec. 31.

Subd. 3.

Sec. 32.

Subd. 10.

Sec. 33.

Subd. 11.

Sec. 34.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

Sec. 35.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin Subd. 12. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 36.

new text begin EFFECTIVE DATE. new text end

Sec. 37.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 38.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 39.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 40.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 41.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin EFFECTIVE DATE. new text end

Sec. 42. new text begin COMMISSION ORDER.
new text end

new text begin EFFECTIVE DATE. new text end

Sec. 43. new text begin ADVANCED NUCLEAR STUDY.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

Sec. 44. new text begin TRIBAL ADVOCACY COUNCIL ON ENERGY; DEPARTMENT OF
COMMERCE SUPPORT.
new text end

Sec. 45. new text begin ELECTRIC GRID RESILIENCY GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

Sec. 46. new text begin MINNESOTA CLIMATE INNOVATION FINANCE AUTHORITY.
new text end

Sec. 47. new text begin SUPPORTING INVESTMENT IN GREEN FERTILIZER PRODUCTION.
new text end

Sec. 48. new text begin REPEALER.
new text end

Bill Text Versions

Current Version - 1st Engrossment

Section 1. new text begin APPROPRIATIONS.new text end

Sec. 2. new text begin DEPARTMENT OF COMMERCEnew text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

Sec. 3. new text begin PUBLIC UTILITIES COMMISSIONnew text end

Sec. 4. new text begin AGRICULTUREnew text end

Sec. 5. new text begin ADMINISTRATIONnew text end

Section 1. new text begin RENEWABLE DEVELOPMENT FINANCE.new text end

Sec. 2. new text begin DEPARTMENT OF COMMERCEnew text end

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

new text begin Subd. 7. new text end

new text begin Subd. 8. new text end

new text begin Subd. 9. new text end

new text begin Subd. 10. new text end

new text begin Subd. 11. new text end

new text begin Subd. 12. new text end

new text begin Subd. 13. new text end

new text begin Subd. 14. new text end

new text begin Subd. 15. new text end

new text begin Subd. 16. new text end

Sec. 3. new text begin DEPARTMENT OF ADMINISTRATIONnew text end

Sec. 4. new text begin DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENTnew text end

Section 1.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

Sec. 2.

new text begin Subdivision 1. new text end

new text begin Subd. 2. new text end

new text begin Subd. 3. new text end

new text begin Subd. 4. new text end

new text begin Subd. 5. new text end

new text begin Subd. 6. new text end

Section 1. new text begin APPROPRIATIONS.
new text end

Sec. 2. new text begin DEPARTMENT OF COMMERCE
new text end

Sec. 3. new text begin PUBLIC UTILITIES COMMISSION
new text end

Sec. 4. new text begin AGRICULTURE
new text end

Sec. 5. new text begin ADMINISTRATION
new text end

Section 1. new text begin RENEWABLE DEVELOPMENT FINANCE.
new text end

Sec. 2. new text begin DEPARTMENT OF COMMERCE
new text end

Sec. 3. new text begin DEPARTMENT OF
ADMINISTRATION
new text end

Sec. 4. new text begin DEPARTMENT OF EMPLOYMENT
AND ECONOMIC DEVELOPMENT
new text end

new text begin Definitions. new text end

new text begin Standard; maximum global warming potential. new text end

new text begin Procurement process. new text end

new text begin Pilot program. new text end

new text begin Environmental Standards Procurement Task Force. new text end

new text begin Environmental product declarations; grant program. new text end

Lowest possible cost; energy conservation.

new text begin Electric vehicle charging. new text end

Vehicle purchases.

Goals and actions.

Renewable development account.

new text begin Definitions. new text end

new text begin Account established. new text end

new text begin Distribution of funds; conditions. new text end

new text begin Distribution of funds; process. new text end

new text begin Expenditures. new text end

new text begin General. new text end

new text begin ANSI. new text end

new text begin ASHRAE. new text end

new text begin Certified TAB technician. new text end

new text begin HVAC. new text end

new text begin Licensed professional engineer. new text end

new text begin MERV. new text end

new text begin Program. new text end

new text begin Program administrator. new text end

new text begin Qualified adjusting personnel. new text end

new text begin Qualified testing personnel. new text end

new text begin Registered apprenticeship program. new text end

new text begin Skilled and trained workforce. new text end

new text begin TAB. new text end

new text begin Grant program. new text end

new text begin Grant awards. new text end

new text begin Program guidelines and rules. new text end

new text begin Dealer training; electric vehicles. new text end

new text begin Definitions. new text end

new text begin Transportation electrification plan; contents. new text end

new text begin Transportation electrification plan; review and implementation. new text end

new text begin Cost recovery. new text end

new text begin Definitions. new text end

new text begin Establishment; purpose. new text end

new text begin Establishment of account. new text end

new text begin Appropriation; expenditures. new text end

new text begin Eligible programs. new text end

new text begin Application process. new text end

new text begin Technical assistance. new text end

new text begin Grant payments. new text end

new text begin Application deadline. new text end

new text begin Reporting. new text end

new text begin Cost recovery. new text end

new text begin Definitions. new text end

new text begin Solar garden program. new text end

new text begin Solar garden plan requirements. new text end

new text begin Low-income community solar gardens. new text end

new text begin New solar gardens must be low-income community solar gardens. new text end

new text begin Low-income community solar gardens; reporting. new text end

new text begin Noncompliance. new text end

new text begin Distributed solar energy standard. new text end

Investigation.

new text begin Definitions. new text end

new text begin Complaint resolution procedure. new text end

new text begin Appeal; final commission decision. new text end

new text begin Judicial review. new text end

new text begin Right to service during pendency of dispute. new text end

new text begin Rulemaking authority. new text end

Resource plan filing and approval.

Assessment for department regional and national duties.

new text begin Definitions. new text end

new text begin Participants; eligibility. new text end

new text begin Compensation; conditions. new text end

new text begin Compensation; amount. new text end

new text begin Compensation; process. new text end

new text begin Compensation; orders. new text end

new text begin Report. new text end

Powers.

new text begin Definitions. new text end

new text begin Establishment; purpose. new text end

new text begin Preweatherization account. new text end

Grant allocation.

new text begin Supplemental weatherization assistance program. new text end

new text begin Training grants program. new text end

new text begin Definitions. new text end

new text begin Establishment. new text end

new text begin Classification of covered properties. new text end

new text begin Benchmarking requirement. new text end

new text begin Exemption by individual building. new text end

new text begin Exemption by other government benchmarking program. new text end

new text begin Benchmarking schedule. new text end

new text begin Utility data requirements. new text end

new text begin Data collection and management. new text end

new text begin Data disclosure to public. new text end

new text begin Coordination with other benchmarking programs. new text end

new text begin Building performance disclosure to occupants. new text end

new text begin Notifications. new text end

new text begin Program implementation. new text end

new text begin Enforcement. new text end

new text begin Recovery of expenses. new text end

Definitions.

Establishment of account.

Application deadline.

Reporting.

new text begin Definitions. new text end

new text begin Establishment; purpose. new text end

new text begin Required plan. new text end

new text begin Project priorities. new text end

new text begin Eligible costs. new text end

new text begin Capacity reserved. new text end

new text begin Establishment of account. new text end

new text begin Reporting of certain incidents. new text end

new text begin Definitions. new text end

new text begin Establishment; purpose. new text end

new text begin Establishment of account. new text end

new text begin Appropriation; expenditures. new text end

new text begin Eligible system. new text end

new text begin Application process. new text end

new text begin Energy conservation review. new text end

new text begin Technical assistance. new text end

new text begin Grant payments. new text end

new text begin Application deadline. new text end

new text begin Contractor conditions. new text end

new text begin Reporting. new text end

new text begin Definitions. new text end

new text begin Eligible vehicle. new text end

new text begin Eligible purchaser or lessee. new text end

new text begin Rebate amounts. new text end

new text begin Limits. new text end

new text begin Program administration. new text end

new text begin Expiration. new text end

new text begin Establishment. new text end

new text begin Application. new text end

new text begin Eligible applicants. new text end

new text begin Eligible expenditures. new text end

new text begin Limitation. new text end

new text begin Establishment; purpose. new text end

new text begin Definitions. new text end

new text begin General powers. new text end

new text begin Authority duties. new text end

new text begin Underserved market analysis. new text end

new text begin Authority lending practices; labor and consumer protection standards. new text end

new text begin Strategic plan. new text end

new text begin Investment strategy; content; process. new text end

new text begin Public communications and outreach. new text end

new text begin Board of directors. new text end

new text begin Report; audit. new text end

new text begin Definitions. new text end

new text begin Establishment. new text end

new text begin Application. new text end

new text begin Rebate amount. new text end

new text begin Assisting applicants. new text end

new text begin Contractor training and support. new text end

new text begin Definitions. new text end

new text begin Program establishment. new text end

new text begin Application process. new text end

new text begin Grant awards. new text end

new text begin Grant amount. new text end

new text begin Limitation. new text end

new text begin Outreach. new text end

new text begin Contractor or subcontractor requirements. new text end

new text begin Report. new text end

new text begin Study required. new text end

new text begin Report. new text end

new text begin Definitions. new text end

new text begin Grant awards. new text end

new text begin Grant awards; administration. new text end

new text begin Report. new text end

new text begin Total Appropriation new text end

new text begin Energy Resources new text end

new text begin Petroleum Tank Release Compensation Board new text end

new text begin Total Appropriation new text end

new text begin "Made in Minnesota" Administration new text end

new text begin Third-Party Evaluator new text end

new text begin Microgrid Research and Application new text end

new text begin Solar on State College and University Campuses new text end

new text begin Granite Falls Hydroelectric Generating Facility new text end

new text begin National Sports Center Solar Array new text end

new text begin Electric Vehicle Rebates new text end

new text begin Area C Contingency Account new text end

new text begin Electric Panel Upgrade Grants new text end

new text begin Emerald Ash Borer Wood Dehydrator new text end

new text begin Energy Storage Incentive Grants new text end

new text begin Distributive Energy Resources System Upgrades new text end

new text begin Heat Pump Grants new text end

new text begin Solar on Public Buildings new text end

new text begin Electric School Bus Grants new text end

new text begin Definitions. new text end

new text begin Fortified new property. new text end

new text begin Fortified existing property. new text end

new text begin Insurers. new text end

new text begin Short title. new text end

new text begin Definitions. new text end

new text begin Program established; purpose, permitted activities. new text end

new text begin Strengthen Minnesota homes account; appropriation. new text end

new text begin Use of grants. new text end

new text begin Applicant eligibility. new text end

new text begin Total Appropriation
new text end

new text begin Energy Resources
new text end

new text begin Petroleum Tank Release Compensation
Board
new text end

new text begin Total Appropriation
new text end

new text begin "Made in Minnesota" Administration
new text end

new text begin Third-Party Evaluator
new text end

new text begin Microgrid Research and Application
new text end

new text begin Solar on State College and University
Campuses
new text end

new text begin Granite Falls Hydroelectric Generating
Facility
new text end

new text begin National Sports Center Solar Array
new text end

new text begin Electric Vehicle Rebates
new text end

new text begin Area C Contingency Account
new text end

new text begin Electric Panel Upgrade Grants
new text end

new text begin Emerald Ash Borer Wood Dehydrator
new text end

new text begin Energy Storage Incentive Grants
new text end

new text begin Distributive Energy Resources System
Upgrades
new text end

new text begin Heat Pump Grants
new text end

new text begin Solar on Public Buildings
new text end

new text begin Electric School Bus Grants
new text end

Engrossments
Introduction		Posted on 03/10/2023
1st Engrossment		Posted on 04/04/2023

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

new text begin (b) "Carbon steel" means steel in which the main alloying element is carbon and whose
properties are chiefly dependent on the percentage of carbon present.
new text end

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

new text begin (d) "Electric arc furnace" means a furnace that produces molten alloy metal and heats
the charge materials with electric arcs from carbon electrodes.
new text end

new text begin (e) "Eligible material" means:
new text end

new text begin (1) carbon steel rebar;
new text end

new text begin (2) structural steel;
new text end

new text begin (3) concrete; or
new text end

new text begin (4) asphalt paving mixtures.
new text end

new text begin (f) "Eligible project" means:
new text end

new text begin (1) new construction of a state building larger than 50,000 gross square feet of occupied
or conditioned space;
new text end

new text begin (2) renovation of more than 50,000 gross square feet of occupied or conditioned space
in a state building whose renovation cost exceeds 50 percent of the building's assessed value;
or
new text end

new text begin (3) new construction or reconstruction of two or more lane-miles of a trunk highway.
new text end

new text begin (g) "Environmental product declaration" means a supply chain specific type III
environmental product declaration that:
new text end

new text begin (1) contains a material production lifecycle assessment of the environmental impacts of
manufacturing a specific product by a specific firm, including the impacts of extracting and
producing the raw materials and components that compose the product;
new text end

new text begin (2) is verified by a third party; and
new text end

new text begin (3) meets the ISO 14025 standard developed and maintained by the International
Organization for Standardization (ISO).
new text end

new text begin (h) "Global warming potential" has the meaning given in section 216H.10, subdivision
6.
new text end

new text begin (i) "Greenhouse gas" has the meaning given to "statewide greenhouse gas emissions"
in section 216H.01, subdivision 2.
new text end

new text begin (j) "Integrated steel production" means the production of iron and subsequently steel
primarily from iron ore or iron ore pellets.
new text end

new text begin (k) "Lifecycle" means an analysis that includes the environmental impacts of all stages
of a specific product's production, from mining and processing the product's raw materials
to the process of manufacturing the product.
new text end

new text begin (l) "Rebar" means a steel reinforcing bar or rod encased in concrete.
new text end

new text begin (m) "Secondary steel production" means the production of steel from primarily ferrous
scrap and other metallic inputs that are melted and refined in an electric arc furnace.
new text end

new text begin (n) "State building" means a building owned by the state of Minnesota or a Minnesota
state agency.
new text end

new text begin (o) "Structural steel" means steel that is classified by the shape of the steel's
cross-sections, such as I, T, and C shapes.
new text end

new text begin (p) "Supply chain specific" means an environmental product declaration that includes
specific data for the production processes of the materials and components composing a
product that contribute at least 80 percent of the product's material production lifecycle
global warming potential, as defined in ISO standard 21930.
new text end

new text begin (a) The commissioner shall,
after reviewing the recommendations from the Environmental Standards Procurement Task
Force made under subdivision 5, paragraph (c), establish and publish a maximum acceptable
global warming potential for each eligible material used in an eligible project, in accordance
with the following schedule:
new text end

new text begin (1) for concrete used in buildings, no later than January 15, 2026; and
new text end

new text begin (2) for carbon steel rebar and structural steel and, after conferring with the commissioner
of transportation, for asphalt paving mixtures and concrete pavement, no later than January
15, 2028.
new text end

new text begin (b) The commissioner shall, after considering nationally or internationally recognized
databases of environmental product declarations for an eligible material, establish the
maximum acceptable global warming potential for the eligible material.
new text end

new text begin (c) The commissioner may set different maximum global warming potentials for different
specific products and subproduct categories that are examples of the same eligible material
based on distinctions between eligible material production and manufacturing processes,
such as integrated versus secondary steel production.
new text end

new text begin (d) The commissioner must establish maximum global warming potentials that are
consistent with criteria in an environmental product declaration.
new text end

new text begin (e) Not later than three years after establishing the maximum global warming potential
for an eligible material under paragraph (a) and not longer than every three years thereafter
the commissioner, after conferring with the commissioner of transportation with respect to
asphalt paving mixtures and concrete pavement, shall review the maximum acceptable
global warming potential for each eligible material and for specific eligible material products.
The commissioner may adjust any of the values downward to reflect industry improvements
if, based on the process described in paragraph (b), the commissioner determines the industry
average has declined.
new text end

new text begin The Department of Administration and the Department
of Transportation shall, after reviewing the recommendations of the Environmental Standards
Procurement Task Force made under subdivision 5, paragraph (c), establish processes for
incorporating the maximum allowable global warming potential of eligible materials into
bidding processes by the effective dates listed in subdivision 2.
new text end

new text begin (a) No later than July 1, 2024, the Department of Administration
must establish a pilot program that seeks to obtain from vendors an estimate of the material
production lifecycle greenhouse gas emissions of products selected by the departments from
among those procured. The pilot program must encourage, but may not require, a vendor
to submit the following data for each selected product that represents at least 90 percent of
the total cost of the materials or components composing the selected product:
new text end

new text begin (1) the quantity of the product purchased by the department;
new text end

new text begin (2) a current environmental product declaration for the product;
new text end

new text begin (3) the name and location of the product's manufacturer;
new text end

new text begin (4) a copy of the vendor's Supplier Code of Conduct, if any;
new text end

new text begin (5) the names and locations of the product's actual production facilities; and
new text end

new text begin (6) an assessment of employee working conditions at the product's production facilities.
new text end

new text begin (b) The Department of Administration must construct or provide access to a publicly
accessible database, which shall be posted on the department's website and contain the data
reported to the department under this subdivision.
new text end

new text begin (a) No later than October
1, 2023, the commissioners of administration and transportation must establish an
Environmental Standards Procurement Task Force to examine issues surrounding the
implementation of a program requiring vendors of certain construction materials purchased
by the state to:
new text end

new text begin (1) submit environmental product declarations that assess the material production lifecycle
environmental impacts of the materials to state officials as part of the procurement process;
and
new text end

new text begin (2) meet standards established by the commissioner of administration that limit
greenhouse gas emissions impacts of the materials.
new text end

new text begin (b) The task force must examine, at a minimum, the following:
new text end

new text begin (1) which construction materials should be subject to the program requirements and
which construction materials should be considered to be added, including lumber, aluminum,
glass, and insulation;
new text end

new text begin (2) what factors should be considered in establishing greenhouse gas emissions standards,
including distinctions between eligible material production and manufacturing processes,
such as integrated versus secondary steel production;
new text end

new text begin (3) a schedule for the development of standards for specific materials and for
incorporating the standards into the purchasing process, including distinctions between
eligible material production and manufacturing processes;
new text end

new text begin (4) the development and use of financial incentives to reward vendors for developing
products whose greenhouse gas emissions are below the standards;
new text end

new text begin (5) the provision of grants to defer a vendor's cost to obtain environmental product
declarations;
new text end

new text begin (6) how to ensure that lowering environmental product declaration values does not
negatively impact the durability or longevity of construction materials or built structures;
new text end

new text begin (7) how the issues in clauses (1) to (5) are addressed by existing programs in other states
and countries;
new text end

new text begin (8) coordinating with the federal Buy Clean Task Force established under Executive
Order 14057 and representatives of the United States Departments of Commerce, Energy,
Housing and Urban Development, and Transportation; Environmental Protection Agency;
General Services Administration; White House Office of Management and Budget; and the
White House Domestic Climate Policy Council; and
new text end

new text begin (9) any other issues the task force deems relevant.
new text end

new text begin (c) The task force shall make recommendations to the commissioners of administration
and transportation regarding:
new text end

new text begin (1) how to implement requirements that maximum global warming impacts for eligible
materials be integrated into the bidding process for eligible projects;
new text end

new text begin (2) incentive structures that can be included in bidding processes to encourage the use
of materials whose global warming potential is below the maximum established under
subdivision 2;
new text end

new text begin (3) how a successful bidder for a contract notifies the commissioner of the specific
environmental product declaration for a material used on a project;
new text end

new text begin (4) a process for waiving the requirements to procure materials below the maximum
global warming potential resulting from product supply problems, geographic
impracticability, or financial hardship;
new text end

new text begin (5) a system for awarding grants to manufacturers of eligible materials located in
Minnesota to offset the cost of obtaining environmental product declarations or otherwise
collect environmental product declaration data from manufacturers based in Minnesota;
new text end

new text begin (6) whether to use an industry average or a different method to set the maximum allowable
global warming potential, or whether that average could be used for some materials but not
others;
new text end

new text begin (7) how to create and manage a database for environmental product declaration data that
is consistent with data governance procedures of the departments and is compatible for data
sharing with other states and federal agencies;
new text end

new text begin (8) how to account for differences among geographical regions with respect to the
availability of covered materials, fuel and other necessary resources, and the quantity of
covered materials that the department uses or plans to use; and
new text end

new text begin (9) any other items task force deems necessary in order to implement this section.
new text end

new text begin (d) Members of the task force must include but are not limited to representatives of:
new text end

new text begin (1) the Departments of Administration and Transportation;
new text end

new text begin (2) the Center for Sustainable Building Research at the University of Minnesota;
new text end

new text begin (3) the Aggregate and Ready Mix Association of Minnesota;
new text end

new text begin (4) the Concrete Paving Association of Minnesota;
new text end

new text begin (5) the Minnesota Asphalt Pavement Association;
new text end

new text begin (6) the Minnesota Board of Engineering;
new text end

new text begin (7) a representative of the Minnesota iron mining industry;
new text end

new text begin (8) building and transportation construction firms;
new text end

new text begin (9) suppliers of eligible materials;
new text end

new text begin (10) organized labor in the construction trades;
new text end

new text begin (11) organized labor in the manufacturing or industrial sectors;
new text end

new text begin (12) environmental advocacy organizations; and
new text end

new text begin (13) environmental justice organizations.
new text end

new text begin (e) The Department of Administration must provide meeting space and serve as staff to
the task force.
new text end

new text begin (f) The commissioner of administration or the commissioner's designee shall serve as
chair of the task force. The task force must meet at least four times annually and may convene
additional meetings at the call of the chair.
new text end

new text begin (g) The commissioner of administration shall summarize the findings and
recommendations of the task force in a report submitted to the chairs and ranking minority
members of the senate and house of representatives committees with primary jurisdiction
over state government, transportation, and energy no later than December 1, 2025, and
annually thereafter for as long as the task force continues its operations.
new text end

new text begin (h) The task force is subject to section 15.059, subdivision 6.
new text end

new text begin (i) The task force expires on January 1, 2029.
new text end

new text begin A grant program is
established in the Department of Administration to award grants to manufacturers to assist
in obtaining environmental product declarations or in otherwise collecting environmental
product declaration data from manufacturers in Minnesota. The commissioner of
administration shall develop procedures for processing grant applications and making grant
awards. Grant applicants must submit an application to the commissioner on a form
prescribed by the commissioner. The commissioner shall act as fiscal agent for the grant
program and is responsible for receiving and reviewing grant applications and awarding
grants under this subdivision.
new text end

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

Minnesota Statutes 2022, section 16B.325, subdivision 2, is amended to read:

The guidelines mustnew text begin :
new text end

new text begin (1)new text end focus on achieving the lowest possible lifetime costnew text begin , considering both construction
and operating costs,new text end for new buildings and major renovationsdeleted text begin , anddeleted text end new text begin ;
new text end

new text begin (2)new text end allow for deleted text begin changes in the guidelinesdeleted text end new text begin revisionsnew text end that encourage continual energy
conservation improvements in new buildings and major renovationsdeleted text begin . The guidelines shalldeleted text end new text begin ;
new text end

new text begin (3)new text end define "major renovations" for purposes of this sectiondeleted text begin . The definition may not allow
"major renovations"deleted text end to encompass new text begin not new text end less than 10,000 square feet or deleted text begin to encompassdeleted text end new text begin notnew text end less
than the replacement of the mechanical, ventilation, or cooling system of deleted text begin thedeleted text end new text begin anew text end building or
a new text begin building new text end section deleted text begin of the building. The design guidelines mustdeleted text end new text begin ;
new text end

new text begin (4)new text end establish sustainability guidelines that include air quality and lighting standards and
that create and maintain a healthy environment and facilitate productivity improvements;

new text begin (5) establish resiliency guidelines to encourage design that allows buildings to adapt to
and accommodate projected climate-related changes that are reflected in both acute events
and chronic trends, including but not limited to changes in temperature and precipitation
levels;
new text end

new text begin (6)new text end specify ways to reduce material costs; and deleted text begin must
deleted text end

new text begin (7)new text end consider the long-term operating costs of the building, including the use of renewable
energy sources and distributed electric energy generation that uses a renewable source or
natural gas or a fuel that is as clean or cleaner than natural gas.

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

Minnesota Statutes 2022, section 16B.58, is amended by adding a subdivision to
read:

new text begin A person that charges a privately owned electric
vehicle at a charging station located within the Capitol area, as defined in section 15B.02,
must pay an electric service fee established by the commissioner.
new text end

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

Minnesota Statutes 2022, section 16C.135, subdivision 3, is amended to read:

new text begin (a) new text end Consistent with section 16C.137, subdivision 1, when
purchasing a motor vehicle for the enterprise fleet or for use by an agency, the commissioner
or the agency shall purchase deleted text begin a motor vehicle that is capable of being powered by cleaner
fuels, or a motor vehicle powered by electricity or by a combination of electricity and liquid
fuel, if the total life-cycle cost of ownership is less than or comparable to that of other
vehicles and if the vehicle is capabledeleted text end new text begin the motor vehicle according to the following vehicle
preference order:
new text end

new text begin (1) an electric vehicle;
new text end

new text begin (2) a hybrid electric vehicle;
new text end

new text begin (3) a vehicle capable of being powered by cleaner fuels; and
new text end

new text begin (4) a vehicle powered by gasoline or diesel fuel.
new text end

new text begin (b) The commissioner may only reject a vehicle that is higher on the vehicle preference
order if:
new text end

new text begin (1) the vehicle type is incapablenew text end of carrying out the purpose for which it is purchaseddeleted text begin .deleted text end new text begin ;
or
new text end

new text begin (2) the total life-cycle cost of ownership of a preferred vehicle type is more than ten
percent higher than the next vehicle type on the vehicle preference order.
new text end

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

Minnesota Statutes 2022, section 16C.137, subdivision 1, is amended to read:

Each state department must, whenever legally,
technically, and economically feasible, subject to the specific needs of the department and
responsible management of agency finances:

(1) ensure that all new on-road vehicles deleted text begin purchaseddeleted text end , excluding emergency and law
enforcement vehiclesdeleted text begin :deleted text end new text begin , are purchased in conformity with the vehicle preference order
established in section 16C.135, subdivision 3;
new text end

deleted text begin (i) use "cleaner fuels" as that term is defined in section 16C.135, subdivision 1;
deleted text end

deleted text begin (ii) have fuel efficiency ratings that exceed 30 miles per gallon for city usage or 35 miles
per gallon for highway usage, including but not limited to hybrid electric cars and
hydrogen-powered vehicles; or
deleted text end

deleted text begin (iii) are powered solely by electricity;
deleted text end

(2) increase its use of renewable transportation fuels, including ethanol, biodiesel, and
hydrogen from agricultural products; and

(3) increase its use of web-based Internet applications and other electronic information
technologies to enhance the access to and delivery of government information and services
to the public, and reduce the reliance on the department's fleet for the delivery of such
information and services.

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

Minnesota Statutes 2022, section 116C.779, subdivision 1, is amended to read:

(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 (f) and (g), and sections 116C.7792 and 216C.41, are not subject
to transfer under this paragraph.

(c) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing
each January 15 thereafter, the public utility that owns the Prairie Island nuclear generating
plant must transfer to the renewable development account $500,000 each year for each dry
cask containing spent fuel that is located at the Prairie Island power plant for each year the
plant is in operation, and $7,500,000 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 Prairie Island for any
part of a year.

(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.

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

(f) 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 (e).

(g) 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 (e).

(h) The collective amount paid under the grant contracts awarded under paragraphs (f)
and (g) 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.

(i) 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.

(j) 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.

(k) For the purposes of paragraph (j), 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.

(l) 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. 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 (j), clause (1),
may be limited to or include a request to higher education institutions located in Minnesota
for multiple projects authorized under paragraph (j), 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.

(m) 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 legislature. 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 (n).

(n) 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.

(o) 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.

(p) 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 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.

(q) By February 1, 2018, and each February 1 thereafter, the commissioner of
management and budget shall 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.

(r) 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.

(s) 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.

(t) 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.

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

new text begin (v) Construction projects receiving funds from this account are subject to the requirement
to pay the prevailing wage rate, as defined in section 177.42 and the requirements and
enforcement provisions in sections 177.27, 177.30, 177.32, 177.41 to 177.435, and 177.45.
new text end

new text begin This section is effective the day following final enactment and
applies to construction contracts entered into on or after that date.
new text end

Minnesota Statutes 2022, section 116C.7792, is amended to read:

(a) The utility subject to section 116C.779 shall operate a program to provide solar
energy production incentives for solar energy systems of no more than a total aggregate
nameplate capacity of 40 kilowatts alternating current per premise. The owner of a solar
energy system installed before June 1, 2018, is eligible to receive a production incentive
under this section for any additional solar energy systems constructed at the same customer
location, provided that the aggregate capacity of all systems at the customer location does
not exceed 40 kilowatts.

(b) The program is funded by money withheld from transfer to the renewable development
account under section 116C.779, subdivision 1, paragraphs (b) and (e). Program funds must
be placed in a separate account for the purpose of the solar energy production incentive
program operated by the utility and not for any other program or purpose.

(c) Funds allocated to the solar energy production incentive program in 2019 and 2020
remain available to the solar energy production incentive program.

(d) The following amounts are allocated to the solar energy production incentive program:

(1) $10,000,000 in 2021;

(2) $10,000,000 in 2022;

(3) deleted text begin $5,000,000deleted text end new text begin $10,000,000new text end in 2023; and

(4) deleted text begin $5,000,000deleted text end new text begin $15,000,000new text end in 2024.

new text begin (e) Of the amounts allocated under paragraph (d), clauses (3) and (4), half in each year
must be reserved for solar energy systems owned and constructed by persons with limited
financial resources.
new text end

deleted text begin (e)deleted text end new text begin (f)new text end Funds allocated to the solar energy production incentive program that have not
been committed to a specific project at the end of a program year remain available to the
solar energy production incentive program.

deleted text begin (f)deleted text end new text begin (g)new text end Any unspent amount remaining on January 1, deleted text begin 2025deleted text end new text begin 2028new text end , must be transferred to
the renewable development account.

deleted text begin (g)deleted text end new text begin (h)new text end A solar energy system receiving a production incentive under this section must
be sized to less than 120 percent of the customer's on-site annual energy consumption when
combined with other distributed generation resources and subscriptions provided under
section 216B.1641 associated with the premise. The production incentive must be paid for
ten years commencing with the commissioning of the system.

deleted text begin (h)deleted text end new text begin (i)new text end The utility must file a plan to operate the program with the commissioner of
commerce. The utility may not operate the program until it is approved by the commissioner.
A change to the program to include projects up to a nameplate capacity of 40 kilowatts or
less does not require the utility to file a plan with the commissioner. Any plan approved by
the commissioner of commerce must not provide an increased incentive scale over prior
years unless the commissioner demonstrates that changes in the market for solar energy
facilities require an increase.

new text begin This section is effective the day following final enactment.
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) "Agency" means the Minnesota Pollution Control Agency.
new text end

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

new text begin (d) "Area C" means the site located west of Mississippi River Boulevard in St. Paul that
served as an industrial waste dump for the former Ford Twin Cities Assembly Plant.
new text end

new text begin (e) "Corrective action determination" means a decision by the agency regarding actions
to be taken to remediate contaminated soil and groundwater at Area C.
new text end

new text begin (f) "Owner" means the owner of the solar energy generating system planned to be
deployed at Area C.
new text end

new text begin (g) "Solar energy generating system" has the meaning given in section 216E.01,
subdivision 9a.
new text end

new text begin (a) The Area C contingency account is established as a
separate account in the special revenue fund in the state treasury. Transfers and appropriations
to the account, and any earnings or dividends accruing to assets in the account, must be
credited to the account. The commissioner shall serve as fiscal agent and shall manage the
account.
new text end

new text begin (b) Money in the account is appropriated to the commissioner to make payments to an
owner under this section.
new text end

new text begin Money from the account may be distributed
by the commissioner to the owner of a solar energy generating system planned to be deployed
at Area C under the following conditions:
new text end

new text begin (1) the agency issues a corrective action determination after the owner has begun to
design or construct the project, and the nature of the corrective action determination requires
(i) the project to be redesigned, or (ii) construction to be interrupted or altered; or
new text end

new text begin (2) the agency issues a corrective action determination whose work plan requires
temporary cessation or partial or complete removal of the solar energy generating system
after it has become operational.
new text end

new text begin (a) The owner may file a request for distribution
of funds from the commissioner if either of the conditions in subdivision 3 occur. The filing
must (1) describe the nature of the impact of the agency's work plan that results in economic
losses to the owner, and (2) include a reasonable estimate of the amount of those losses.
new text end

new text begin (b) The owner must provide the commissioner with information the commissioner
determines to be necessary to assist in the review of the filing required under this subdivision.
new text end

new text begin (c) The commissioner shall review the owner's filing within 60 days of submission and
shall approve a request the commissioner determines is reasonable.
new text end

new text begin Money distributed by the commissioner to the owner under this
section may be used by the owner only to pay for:
new text end

new text begin (1) removal, storage, and transportation costs incurred for removal of the solar energy
generating system or any associated infrastructure, and any costs to reinstall equipment;
new text end

new text begin (2) costs of redesign or new equipment or infrastructure made necessary by the activities
of the agency's work plan;
new text end

new text begin (3) lost revenues resulting from the inability of the solar energy generating system to
generate sufficient electricity to fulfill the terms of the power purchase agreement between
the owner and the purchaser of electricity generated by the solar energy generating system;
new text end

new text begin (4) other damages incurred under the power purchase agreement resulting from the
cessation of operations made necessary by the activities of the agency's work plan; and
new text end

new text begin (5) the cost of energy required to replace the energy that was to be generated by the solar
energy generating system and purchased under the power purchase agreement.
new text end

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

new text begin Sections 123B.661 to 123B.663 may be cited as the "Air Ventilation Program Act."
new text end

new text begin For purposes of sections 123B.661 to 123B.663, the terms in
this section have the meanings given unless the language or context clearly indicates that
a different meaning is intended.
new text end

new text begin "ANSI" means American National Standards Institute.
new text end

new text begin "ASHRAE" means American Society of Heating Refrigeration Air
Conditioning Engineers.
new text end

new text begin "Certified TAB technician" means a technician
certified to perform testing, adjusting, and balancing of HVAC systems by the Associated
Air Balance Council, National Environmental Balancing Bureau, or the Testing, Adjusting
and Balancing Bureau.
new text end

new text begin "HVAC" means heating, ventilation, and air conditioning.
new text end

new text begin "Licensed professional engineer" means a
professional engineer licensed under sections 326.02 to 326.15 who holds an active license,
is in good standing, and is not subject to any disciplinary or other actions with the Board
of Architecture, Engineering, Land Surveying, Landscape Architecture, Geoscience and
Interior Design.
new text end

new text begin "MERV" means minimum efficiency reporting value established by
ASHRAE Standard 52.2-2017 - Method of Testing General Ventilation Air-Cleaning Devices
for Removal Efficiency by Particle Size.
new text end

new text begin "Program" means the air ventilation program.
new text end

new text begin "Program administrator" means the commissioner
of commerce or the commissioner's representative.
new text end

new text begin "Qualified adjusting personnel" means one
of the following:
new text end

new text begin (1) a certified TAB technician; or
new text end

new text begin (2) a skilled and trained workforce under the supervision of a certified TAB technician.
new text end

new text begin "Qualified testing personnel" means one of the
following:
new text end

new text begin (1) a certified TAB technician; or
new text end

new text begin (2) a skilled and trained workforce under the supervision of a certified TAB technician.
new text end

new text begin "Registered apprenticeship program"
means an apprenticeship program that is registered under chapter 178 or Code of Federal
Regulations, title 29, part 29.
new text end

new text begin "Skilled and trained workforce" means a
workforce in which at least 80 percent of the construction workers are either graduates of
a registered apprenticeship program for the applicable occupation or are registered as
apprentices in a registered apprenticeship program for the applicable occupation.
new text end

new text begin "TAB" means testing, adjusting, and balancing of an HVAC system.
new text end

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

new text begin The Department of Commerce shall establish and
administer the air ventilation program to award grants to school boards to reimburse the
school boards for the following activities:
new text end

new text begin (1) completion of a heating, ventilation, and air conditioning assessment report;
new text end

new text begin (2) subsequent testing, adjusting balancing work performed as a result of assessment;
and
new text end

new text begin (3) ventilation equipment upgrades, replacements, or other measures recommended by
the assessment to improve health, safety, and HVAC system efficiency.
new text end

new text begin (a) The program administrator shall award a grant if the school
board meets the following requirements:
new text end

new text begin (1) completes a heating, ventilation, and air conditioning assessment report by qualified
testing personnel or qualified adjusting personnel. The report must be verified by a licensed
professional engineer and include costs of adjustments or repairs necessary to meet minimum
ventilation and filtration requirements and determine whether any cost-effective energy
efficiency upgrades or replacements are warranted or recommended;
new text end

new text begin (2) all work required after conducting the assessment must be performed by a skilled
and trained workforce;
new text end

new text begin (3) upon completion of the work for which a school board is seeking reimbursement,
the school board must conduct an HVAC verification report that includes the name and
address of the school facility and individual or contractor preparing and certifying the report
and a description of the assessment, maintenance, adjustment, repair, upgrade, and
replacement activities and outcomes; and
new text end

new text begin (4) verification that the school board has complied with all requirements. Verification
must include documentation that either MERV 13 filters have been installed or verification
that the maximum MERV-rated filter that the system is able to effectively handle has been
installed; documentation of the MERV rating; the verified ventilation rates for occupied
areas of the school and whether those rates meet the requirements set forth in ANSI/ASHRAE
Standard 62.1-2019, with an accompanying explanation for any ventilation rates that do not
meet applicable requirements documenting why the current system is unable to meet
requirements; the verified exhaust for occupied areas and whether those rates meet the
requirements set forth in the system design intent; documentation of system deficiencies;
recommendations for additional maintenance, replacement, or upgrades to improve energy
efficiency, safety, or performance; documentation of initial operating verifications,
adjustments, and final operating verifications; documentation of any adjustments or repairs
performed; verification of installation of carbon dioxide monitors, including the make and
model of monitors; and verification that all work has been performed by qualified personnel,
including the contractor's name, certified TAB technician name and certification number,
and verification that all construction work has been performed by a skilled and trained
workforce.
new text end

new text begin (b) Grants shall be prioritized to give direct support to schools and school children in
communities with high rates of poverty, as determined by receipt of federal Title I funding.
new text end

new text begin (c) Grants shall be awarded to reimburse schools for 50 percent of costs incurred for
work performed under paragraph (a), clauses (1) to (3), with a maximum grant award of
$50,000.
new text end

new text begin (d) The school board shall maintain a copy of the HVAC verification report and make
it available to students, parents, school personnel, and to any member of the public or the
program administrator upon request.
new text end

new text begin (a) The program administrator shall:
new text end

new text begin (1) adopt guidelines for the air ventilation program no later than March 1, 2024;
new text end

new text begin (2) establish the timing of grant funding; and
new text end

new text begin (3) ensure the air ventilation program is operating and may receive applications for
grants no later than November 1, 2023, and begin to approve applications no later than
January 1, 2024, subject to the availability of funds.
new text end

new text begin (b) The technical and reporting requirements of the air ventilation program may be
amended by the program administrator as necessary to reflect current COVID-19 guidance
or other applicable guidance, to achieve the intent of the air ventilation program, and to
ensure consistency with other related requirements and codes.
new text end

new text begin (c) The program administrator may use no more than five percent of the program funds
for administering the program, including providing technical support to program participants.
new text end

Minnesota Statutes 2022, section 168.27, is amended by adding a subdivision to
read:

new text begin (a) A new motor vehicle dealer licensed
under this chapter that operates under an agreement or franchise from a manufacturer and
sells electric vehicles must maintain at least one employee who is certified as having
completed a training course offered by a Minnesota motor vehicle dealership association
that addresses at least the following elements:
new text end

new text begin (1) fundamentals of electric vehicles;
new text end

new text begin (2) electric vehicle charging options and costs;
new text end

new text begin (3) publicly available electric vehicle incentives;
new text end

new text begin (4) projected maintenance and fueling costs for electric vehicles;
new text end

new text begin (5) reduced tailpipe emissions, including greenhouse gas emissions, produced by electric
vehicles;
new text end

new text begin (6) the impacts of Minnesota's cold climate on electric vehicle operation; and
new text end

new text begin (7) best practices to sell electric vehicles.
new text end

new text begin (b) For the purposes of this section, "electric vehicle" has the meaning given in section
169.011, subdivision 26a, paragraphs (a) and (b), clause (3).
new text end

new text begin This section is effective January 1, 2024.
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) "Battery exchange station" means a physical location deploying equipment that
enables a used electric vehicle battery to be removed and exchanged for a fresh electric
vehicle battery.
new text end

new text begin (c) "Electric vehicle" means any device or contrivance that transports persons or property
and is capable of being powered by an electric motor drawing current from rechargeable
storage batteries, fuel cells, or other portable sources of electricity. Electric vehicle includes
but is not limited to:
new text end

new text begin (1) an electric vehicle, as defined in section 169.011, subdivision 26a;
new text end

new text begin (2) an electric-assisted bicycle, as defined in section 169.011, subdivision 27;
new text end

new text begin (3) an off-road vehicle, as defined in section 84.797, subdivision 7;
new text end

new text begin (4) a motorboat, as defined in section 86B.005, subdivision 9; or
new text end

new text begin (5) an aircraft, as defined in section 360.013, subdivision 37.
new text end

new text begin (d) "Electric vehicle charging station" means a physical location deploying equipment
that:
new text end

new text begin (1) transfers electricity to an electric vehicle battery;
new text end

new text begin (2) dispenses hydrogen into an electric vehicle powered by a fuel cell;
new text end

new text begin (3) exchanges electric vehicle batteries; or
new text end

new text begin (4) provides other equipment used to charge or fuel electric vehicles.
new text end

new text begin (e) "Electric vehicle infrastructure" means electric vehicle charging stations and any
associated machinery, equipment, and infrastructure necessary for a public utility to supply
electricity or hydrogen to an electric vehicle charging station and to support electric vehicle
operation.
new text end

new text begin (f) "Fuel cell" means a cell that converts the chemical energy of hydrogen directly into
electricity through electrochemical reactions.
new text end

new text begin (g) "Government entity" means the state, a state agency, or a political subdivision, as
defined in section 13.02, subdivision 11.
new text end

new text begin (h) "Public utility" has the meaning given in section 216B.02, subdivision 4.
new text end

new text begin (a) By November 1, 2023, and
periodically as ordered by the commission, a public utility must file a transportation
electrification plan with the commission that is designed to:
new text end

new text begin (1) maximize the overall benefits of electric vehicles and other electrified transportation
while minimizing overall costs; and
new text end

new text begin (2) promote the:
new text end

new text begin (i) purchase of electric vehicles by the public utility's customers; and
new text end

new text begin (ii) deployment of electric vehicle infrastructure in the public utility's service territory.
new text end

new text begin (b) A transportation electrification plan may include but is not limited to the following
elements:
new text end

new text begin (1) programs to educate and increase the awareness and benefits of electric vehicles and
electric vehicle charging equipment among individuals, electric vehicle dealers, single-family
and multifamily housing developers and property management companies, building owners
and tenants, vehicle service stations, vehicle fleet owners and managers, and other potential
users of electric vehicles;
new text end

new text begin (2) utility investments to support transportation electrification across all customer classes,
including but not limited to investments to facilitate:
new text end

new text begin (i) the deployment of electric vehicles for personal and commercial use; customer-owned,
third-party-owned, and utility-owned electric vehicle charging stations; electric vehicle
infrastructure to support light-duty, medium-duty, and heavy-duty vehicle electrification;
and other electric utility infrastructure needed to support transportation electrification;
new text end

new text begin (ii) widespread access to publicly available electric vehicle charging stations; and
new text end

new text begin (iii) the electrification of public transit and vehicle fleets owned or operated by a
government entity;
new text end

new text begin (3) research and demonstration projects to increase access to electricity as a transportation
fuel, minimize the system costs of electric transportation, and inform future transportation
electrification plans;
new text end

new text begin (4) rate structures or programs that encourage electric vehicle charging that optimizes
electric grid operation, including time-varying rates and charging optimization programs;
new text end

new text begin (5) programs to increase access to the benefits of electricity as a transportation fuel for
low- or moderate-income customers and communities and in neighborhoods most affected
by transportation-related air emissions;
new text end

new text begin (6) proposals to expedite commission consideration of program adjustments requested
during the term of an approved transportation electrification plan; and
new text end

new text begin (7) proposals to share information and results from transportation electrification projects
with stakeholders to promote effective electrification in all areas of the state.
new text end

new text begin The
commission may approve, modify, or reject a transportation electrification plan. When
reviewing a transportation electrification plan, the commission must consider whether the
programs, investments, and expenditures as a whole are reasonable and in the public interest,
and are reasonably expected to:
new text end

new text begin (1) improve the operation of the electric grid;
new text end

new text begin (2) increase access to the use of electricity as a transportation fuel for all customers,
including those in low- or moderate-income communities, rural communities, and
communities most affected by emissions from the transportation sector;
new text end

new text begin (3) increase access to publicly available electric vehicle charging and destination charging
for all types of electric vehicles;
new text end

new text begin (4) support the electrification of medium-duty and heavy-duty vehicles and associated
charging infrastructure;
new text end

new text begin (5) reduce statewide greenhouse gas emissions, as defined in section 216H.01, and
emissions of other air pollutants that impair the environment and public health;
new text end

new text begin (6) stimulate nonutility investment and the creation of skilled jobs;
new text end

new text begin (7) maximize the overall benefits of electric vehicles and other electrified transportation
investments while minimizing overall costs;
new text end

new text begin (8) educate the public about the benefits of electric vehicles and related infrastructure;
new text end

new text begin (9) be transparent and incorporate reasonable public reporting of program activities,
consistent with existing technology and data capabilities, to inform program design and
commission policy with respect to electric vehicles;
new text end

new text begin (10) reasonably balance the benefits of ratepayer-funded investments in transportation
electrification against impacts on utility rates; and
new text end

new text begin (11) appropriately balance the participation of public utilities and private enterprise in
the market for transportation electrification and related services.
new text end

new text begin (a) Notwithstanding any other provision of this chapter, the
commission may approve, with respect to any prudent and reasonable investments made or
expenses incurred by a public utility to administer and implement a transportation
electrification plan approved under subdivision 3:
new text end

new text begin (1) performance-based incentives or penalties;
new text end

new text begin (2) placing the capital investment in the public utility's rate base and allowing the public
utility to earn a rate of return on the investment at:
new text end

new text begin (i) the public utility's average weighted cost of capital, including the rate of return on
equity, approved by the commission in the public utility's most recent general rate case; or
new text end

new text begin (ii) another rate determined by the commission; or
new text end

new text begin (3) any other recovery mechanism that the commission determines is fair, reasonable,
and supports the objectives of this section.
new text end

new text begin (b) Notwithstanding section 216B.16, subdivision 8, paragraph (a), clause (3), the
commission must approve recovery costs for expenses reasonably incurred by a public
utility to provide public advertisement as part of a transportation electrification plan approved
by the commission under subdivision 3.
new text end

new text begin This section is effective the day following final enactment.
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) "Battery exchange station" means a physical location deploying equipment that
enables a used electric vehicle battery to be removed and exchanged for a fresh electric
vehicle battery.
new text end

new text begin (c) "Electric school bus" means a passenger motor vehicle:
new text end

new text begin (1) primarily used to transport preprimary, primary, and secondary students;
new text end

new text begin (2) designed to carry a driver and more than ten passengers; and
new text end

new text begin (3) whose primary propulsion and accessory power technologies produce zero carbon
emissions in day-to-day operations.
new text end

new text begin (d) "Electric utility" means a public utility or a consumer-owned utility, as defined in
section 216B.2402, subdivision 2.
new text end

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

new text begin (f) "Electric vehicle charging station" means a physical location deploying equipment
that provides electricity to charge a battery in an electric vehicle.
new text end

new text begin (g) "Electric vehicle infrastructure" means electric vehicle charging stations and any
associated electric panels, machinery, equipment, and infrastructure necessary for an electric
utility to supply electricity or hydrogen to an electric vehicle charging station and to support
electric vehicle operation.
new text end

new text begin (h) "Electric vehicle service provider" means an organization that installs, maintains, or
otherwise services a battery exchange station, electric vehicle infrastructure, or electric
vehicle charging station.
new text end

new text begin (i) "Poor air quality" means:
new text end

new text begin (1) ambient air levels that air monitoring data reveals approach or exceed state or federal
air quality standards or chronic health inhalation risk benchmarks for total suspended
particulates, particulate matter less than ten microns wide (PM-10), particulate matter less
than 2.5 microns wide (PM-2.5), sulfur dioxide, or nitrogen dioxide; or
new text end

new text begin (2) levels of asthma among children that significantly exceed the statewide average.
new text end

new text begin (j) "Prioritized school district" means:
new text end

new text begin (1) a school district listed in the Small Area Income and Poverty Estimates (SAIPE)
School District Estimates as having 7.5 percent or more students living in poverty based on
the most recent decennial United States census;
new text end

new text begin (2) a school district identified with locale codes "43-Rural: Remote" and "42-Rural:
Distant" by the National Center for Education Statistics (NCES); or
new text end

new text begin (3) a Bureau of Indian Affairs funded school district and a school district that receives
basic support payments under United States Code, title 20, section 7703(b)(1), for children
who reside on Indian land.
new text end

new text begin (k) "Public utility" has the meaning given in section 216B.02, subdivision 4.
new text end

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

new text begin (m) "School bus" has the meaning given in section 169.011, subdivision 71.
new text end

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

new text begin (o) "Transportation service provider" means a transportation service provider that provides
student transportation services and that has a contract to provide transportation services to
a school.
new text end

new text begin An electric school bus deployment program is
established in the Department of Commerce. The purpose of the program is to provide grants
to accelerate the deployment of electric school buses by school districts and to encourage
schools to use vehicle electrification as a teaching tool that can be integrated into the school's
curriculum.
new text end

new text begin An electric school bus program account is established
in the special revenue fund. The account consists of money received provided by law,
donated, allotted, transferred, or otherwise provided to the account. Earnings including
interest, dividends, and any other earnings arising from assets of the account must be credited
to the account. Except as otherwise provided in this subdivision, money deposited in the
account remains in the account until expended. Any money that remains in the account on
June 30, 2033, cancels to the general fund.
new text end

new text begin (a) Money in the account is appropriated to the
commissioner and must 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,
including the cost of providing technical assistance to school districts, electric utilities,
electric vehicle service providers, or transportation service providers, including but not
limited to grant writing assistance for applications for federal vehicle electrification programs.
new text end

new text begin (b) Grant awards made with funds in the account must be used only for:
new text end

new text begin (1) grants for the deployment of electric school buses by school districts; and
new text end

new text begin (2) reasonable costs related to technical assistance for electric school bus deployment
program planning and preparing applications for federal vehicle electrification programs.
new text end

new text begin (a) An electric school bus deployment grant may be awarded
to a school district, electric utility, electric vehicle service provider, or transportation service
provider under this section only if the electric school bus deployment program that is the
subject of the grant includes but is not limited to the following elements:
new text end

new text begin (1) a school district or transportation service provider may (i) purchase one or more
electric school buses, or (ii) convert or repower fossil-fuel-powered school buses to be
electric;
new text end

new text begin (2) the grant may be used for up to 75 percent of the cost the school district or
transportation service provider incurs to (i) purchase one or more electric school buses, or
(ii) convert or repower fossil-fuel-powered school buses to be electric;
new text end

new text begin (3) for prioritized school districts, the grant may be used for up to 95 percent of the cost
the school district or transportation service provider incurs to (i) purchase one or more
electric school buses, or (ii) convert or repower fossil-fuel-powered school buses to be
electric;
new text end

new text begin (4) the grant may be used for up to 75 percent of the cost of deploying on the school
district or transportation service provider's real property infrastructure required to operate
electric school buses, including but not limited to battery exchange stations, electric vehicle
infrastructure, or electric vehicle charging stations;
new text end

new text begin (5) for prioritized school districts, the grant may be used for up to 95 percent of the cost
of deploying on the school district or transportation service provider's real property
infrastructure required to operate electric school buses, including but not limited to battery
exchange stations, electric vehicle infrastructure, or electric vehicle charging stations;
new text end

new text begin (6) at the request of a school district or transportation service provider, an electric utility
may deploy on the school district or transportation service provider's real property electric
vehicle infrastructure required to operate electric school buses; and
new text end

new text begin (7) the school district prioritizes the deployment of electric school buses in areas of the
school district that serve disadvantaged students, disproportionately experience poor air
quality, or are environmental justice areas as defined in section 216B.1691, subdivision 1,
paragraph (e).
new text end

new text begin (b) A technical assistance grant may be awarded to a school district, electric utility,
electric vehicle service provider, or transportation service provider under this section for
the reasonable costs related to electric school bus deployment program planning and for
preparing applications for federal vehicle electrification programs.
new text end

new text begin (a) The commissioner must issue a request for proposals
to school districts, electric utilities, electric vehicle service providers, and transportation
service providers that may wish to apply for an electric bus deployment or technical assistance
grant under this section on behalf of a school.
new text end

new text begin (b) A school district, electric utility, electric vehicle service provider, or transportation
service provider must submit an application for an electric school bus deployment grant to
the commissioner on behalf of a school district 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 number of and description of the electric school buses the school district or
transportation service provider intends to purchase;
new text end

new text begin (2) the total cost to purchase the electric school buses and the incremental cost, if any,
of the electric school buses when compared with fossil-fuel-powered school buses;
new text end

new text begin (3) a copy of the proposed contract agreement between the school district, the electric
utility, the electric vehicle service provider, or the transportation service provider that
includes provisions addressing responsibility for maintenance of the electric school buses
and the infrastructure required to operate electric school buses, including but not limited to
battery exchange stations, electric vehicle infrastructure, or electric vehicle charging stations;
new text end

new text begin (4) whether the school district is also a prioritized school district;
new text end

new text begin (5) the areas of the school district that (i) serve disadvantaged students; (ii)
disproportionately experience poor air quality, as measured by indicators such as the
Minnesota Pollution Control Agency's air quality monitoring network, the Minnesota
Department of Health's air quality and health monitoring, or any other indicators applicants
choose to include; or (iii) are environmental justice areas as defined in section 216B.1691,
subdivision 1, paragraph (e);
new text end

new text begin (6) the school district's plan, if any, to make the electric school buses serve as a visible
learning tool for students, teachers, and visitors to the school, including how vehicle
electrification may be integrated into the school district's curriculum;
new text end

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

new text begin (8) information that demonstrates the school district's readiness to implement the project
and to operate the electric school buses for no less than five years;
new text end

new text begin (9) with respect to the installation and operation of the infrastructure required to operate
electric school buses, the willingness and ability of the electric vehicle service provider or
the electric 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; and
new text end

new text begin (10) any other information deemed relevant by the commissioner.
new text end

new text begin (c) A school district, electric utility, electric vehicle service provider, or transportation
service provider must submit an application for a technical assistance grant to the
commissioner on behalf of a school district 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 name of the federal programs to which the applicants intend to apply;
new text end

new text begin (2) a description of the technical assistance the applicants need in order to complete the
federal application; and
new text end

new text begin (3) any other information deemed relevant by the commissioner.
new text end

new text begin (d) The commissioner shall prioritize making grant awards to prioritized school districts.
On an annual basis, when prioritized school districts have applied for a grant, the
commissioner shall have as a goal awarding no less than 40 percent of the state's total grant
award amount to prioritized school districts.
new text end

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

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

new text begin The commissioner must provide technical assistance to
school districts to develop and execute projects under this section.
new text end

new text begin The commissioner must award a grant from the account
established under subdivision 3 to a school district, the electric utility, electric vehicle service
provider, or transportation service provider for necessary costs associated with deployment
of electric buses. The amount of the grant must be based on the commissioner's assessment
of the school district's need for financial assistance. For each award, the amount of the grant,
in combination with any federal vehicle electrification program awards to the school district,
the electric utility, the electric vehicle service provider, or the transportation service provider,
shall not exceed the cost of the applicant's proposed electric school buses, electric vehicle
charging stations, and electric vehicle infrastructure.
new text end

new text begin No application may be submitted under this section
after December 31, 2032.
new text end

new text begin Beginning January 15, 2024, and each year thereafter until January
15, 2034, the commissioner must report to the chairs and ranking minority members of the
legislative committees with jurisdiction over energy regarding: (1) grants and amounts
awarded to school districts under this section during the previous year; and (2) any remaining
balances available under this section.
new text end

new text begin (a) Any prudent and reasonable investment made by any public
utility on electric vehicle infrastructure installed on a school district's real property may be
placed in the public utility's rate base and earn a rate of return, as determined by the
commission.
new text end

new text begin (b) Notwithstanding any other provision of this chapter, the commission may approve
a tariff mechanism to automatically adjust annual charges for prudent and reasonable
investments made by a public utility on electric vehicle infrastructure installed on a school
district's real property.
new text end

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

Minnesota Statutes 2022, section 216B.1641, is amended to read:

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

new text begin (b) "Landlord" has the meaning given in section 504B.001, subdivision 7.
new text end

new text begin (c) "Residential tenant" has the meaning given in section 504B.001, subdivision 12.
new text end

new text begin (d) "Subscriber" means a retail customer who contracts for one or more subscriptions
for a community solar garden interconnected with the retail customer's utility.
new text end

new text begin (e) "Subscription" means a contract between a subscriber and the owner of a community
solar garden.
new text end

(a) The public utility subject to section 116C.779 shall
file by September 30, 2013, a plan with the commission to operate a community solar garden
program which shall begin operations within 90 days after commission approval of the plan.
Other public utilities may file an application at their election. The community solar garden
program must be designed to offset the energy use of not less than five subscribers in each
community solar garden facility of which no single subscriber has more than a 40 percent
interest. The owner of the community solar garden may be a public utility or any other entity
or organization that contracts to sell the output from the community solar garden to the
utility under section 216B.164. There shall be no limitation on the number or cumulative
generating capacity of community solar garden facilities other than the limitations imposed
under section 216B.164, subdivision 4c, or other limitations provided in law or regulations.

(b) A solar garden is a facility that generates electricity by means of a ground-mounted
or roof-mounted solar photovoltaic device whereby subscribers receive a bill credit for the
electricity generated in proportion to the size of their subscription. The solar garden must
have a nameplate capacity of no more than one megawatt. Each subscription shall be sized
to represent at least 200 watts of the community solar garden's generating capacity and to
supply, when combined with other distributed generation resources serving the premises,
no more than 120 percent of the average annual consumption of electricity by each subscriber
at the premises to which the subscription is attributed.

(c) The solar generation facility must be located in the service territory of the public
utility filing the plan. Subscribers must be retail customers of the public utility deleted text begin located in
the same county or a county contiguous to where the facility is locateddeleted text end .

(d) The public utility must purchase from the community solar garden all energy generated
by the solar garden. The purchase shall be at the rate calculated under section 216B.164,
subdivision 10, or, until that rate for the public utility has been approved by the commission,
the applicable retail rate. A solar garden is eligible for any incentive programs offered under
section 116C.7792. A subscriber's portion of the purchase shall be provided by a credit on
the subscriber's bill.

deleted text begin (e)deleted text end new text begin (a)new text end The commission may approve,
disapprove, or modify a community solar garden deleted text begin programdeleted text end new text begin plannew text end . Any plan approved by the
commission must:

(1) reasonably allow for the creation, financing, and accessibility of community solar
gardens;

(2) establish uniform standards, fees, and processes for the interconnection of community
solar garden facilities that allow the utility to recover reasonable interconnection costs for
each community solar garden;

(3) not apply different requirements to utility and nonutility community solar garden
facilities;

(4) be consistent with the public interest;

(5) identify the information that must be provided to potential subscribers to ensure fair
disclosure of future costs and benefits of subscriptions;

(6) include a program implementation schedule;

(7) identify all proposed rules, fees, and charges; deleted text begin and
deleted text end

(8) identify the means by which the program will be promotednew text begin ;
new text end

new text begin (9) require that participation by a subscriber must be strictly voluntary;
new text end

new text begin (10) prohibit a landlord from removing a residential tenant who is an existing retail
customer of the public utility from the utility account and subscribing to a community solar
garden on behalf of the tenant;
new text end

new text begin (11) ensure that contract terms are publicly available; and
new text end

new text begin (12) allow subscribers to stop subscribing without charging a fee or other penaltynew text end .

deleted text begin (f)deleted text end new text begin (b)new text end Notwithstanding any other law, neither the manager of nor the subscribers to a
community solar garden facility shall be considered a utility solely as a result of their
participation in the community solar garden facility.

deleted text begin (g)deleted text end new text begin (c)new text end Within 180 days of commission approval of a plan under this section, a utility
shall begin crediting subscriber accounts for each community solar garden facility in its
service territory, and shall file with the commissioner of commerce a description of its
crediting system.

deleted text begin (h) For the purposes of this section, the following terms have the meanings given:
deleted text end

deleted text begin (1) "subscriber" means a retail customer of a utility who owns one or more subscriptions
of a community solar garden facility interconnected with that utility; and
deleted text end

deleted text begin (2) "subscription" means a contract between a subscriber and the owner of a solar garden.
deleted text end

new text begin (a) The public utility subject to section
116C.779 must file by September 30, 2023, a plan with the commission to operate a
low-income community solar garden program in accordance with this subdivision, and must
begin operations within 90 days after commission approval of the plan. The program operated
under this subdivision:
new text end

new text begin (1) is subject to the other requirements of this section except as modified by this
subdivision;
new text end

new text begin (2) is limited in size to ten megawatts of solar photovoltaic capacity annually;
new text end

new text begin (3) must provide that renewable energy credits generated under the program are retained
by the public utility; and
new text end

new text begin (4) must require the utility to purchase all energy generated by a low-income community
solar garden. A subscriber's portion of the purchase shall be provided by a credit on the
subscriber's bill at the average retail utility energy rate for the appropriate customer class.
new text end

new text begin (b) The owner of a solar project must apply to the utility to be designated as a low-income
community solar garden before it is eligible to participate in the program. The utility must
not designate a project a low-income community solar garden unless it is majority owned
by a cooperative association, nonprofit organization, or federally recognized Indian Tribe.
The utility may designate a project as a low-income community solar garden if the owner
of the solar garden demonstrates it will meet the following conditions:
new text end

new text begin (1) the solar generation facilities of the solar garden meet the requirements of subdivision
2, paragraph (b), except as modified by this paragraph;
new text end

new text begin (2) at least 25 percent of the solar garden's generating capacity is subscribed by residential
customers whose household income:
new text end

new text begin (i) is 80 percent or less of the area median household income for the geographic area in
which the low-income household is located, as calculated by the federal Department of
Housing and Urban Development; or
new text end

new text begin (ii) meets the income eligibility standards, as determined by the commission, required
for a household to receive financial assistance from a federal, state, municipal, or utility
program administered or approved by the commission;
new text end

new text begin (3) eligible nonresidential subscribers consist of only the following, located on census
tracts designated as low- or moderate-income by the federal Financial Institutions
Examination Council:
new text end

new text begin (i) grocery stores;
new text end

new text begin (ii) clinics;
new text end

new text begin (iii) child care centers;
new text end

new text begin (iv) food shelves;
new text end

new text begin (v) libraries;
new text end

new text begin (vi) Tribal Nations;
new text end

new text begin (vii) shelters;
new text end

new text begin (viii) schools that are not enrolled in any other solar incentive program; or
new text end

new text begin (ix) houses of worship;
new text end

new text begin (4) the owner does not run credit score or credit history checks on residential subscribers;
new text end

new text begin (5) the solar garden has a nameplate capacity of no more than three megawatts alternating
current;
new text end

new text begin (6) the solar garden has no fewer than three subscribers and no subscriber accounts for
more than 40 percent of the solar garden's capacity;
new text end

new text begin (7) the solar garden is operated by an entity that maintains a physical address in Minnesota
and has designated a contact person in Minnesota who responds to subscriber inquiries; and
new text end

new text begin (8) the agreement between the owner of the solar garden and subscribers states that the
owner must adequately publicize and convene at least one in-person meeting annually to
provide an opportunity for subscribers to pose questions to the manager or owner.
new text end

new text begin The
public utility subject to section 116C.779 must not approve interconnection of new solar
gardens or renew existing solar gardens for inclusion in the community solar garden program
after August 1, 2023, unless the solar garden is accepted for inclusion in the low-income
community solar garden program under subdivision 4.
new text end

new text begin The owner of a low-income
community solar garden must include the following information in an annual report to the
low-income community solar garden subscribers and the utility:
new text end

new text begin (1) a description of the process by which subscribers may provide input regarding solar
garden policy and decision making;
new text end

new text begin (2) the amount of revenues received by the solar garden in the previous year that were
allocated to categories that include but are not limited to operating costs, debt service, profits
distributed to subscribers, and profits distributed to others;
new text end

new text begin (3) minutes from the most recent annual meeting; and
new text end

new text begin (4) the proportion of low- and moderate-income subscribers, and a description of how
the information was collected from subscribers and verified.
new text end

new text begin A solar garden that has begun commercial operation must
notify the commission in writing within 30 days if the solar garden is not in compliance
with subdivision 4, and must comply within 12 months or the commission must revoke the
solar garden's participation in the program. Nothing in this subdivision prevents an owner
from reapplying to participate in the program after revocation.
new text end

Minnesota Statutes 2022, section 216B.1691, is amended by adding a subdivision
to read:

new text begin (a) In addition to the other requirements
of this section, for the public utility subject to section 116C.779, at least three percent of
the utility's total retail electric sales to customers in Minnesota by the end of 2030 must be
generated by solar photovoltaic devices:
new text end

new text begin (1) with a nameplate capacity of ten megawatts or less connected to the utility's
distribution system;
new text end

new text begin (2) that are located in the service territory of the public utility; and
new text end

new text begin (3) that were constructed or procured after August 1, 2023.
new text end

new text begin (b) Generation with a nameplate capacity of 100 kilowatts or more does not count toward
compliance with the standard established in this subdivision unless the public utility verifies
that construction trades workers who constructed the generation resource were all paid no
less than the prevailing wage rate, as defined in section 177.42.
new text end

new text begin (c) The public utility subject to section 116C.779 may own no more than 30 percent of
the solar photovoltaic capacity used to satisfy the requirements of this subdivision.
new text end

new text begin (d) Compensation for solar photovoltaic projects procured to satisfy the standard
established in this subdivision must be determined based on a competitive procurement
process and standard contracts approved by the commission.
new text end

new text begin (e) After January 1, 2031, the commission may use the authority in subdivision 2b to
increase or decrease the standard obligation established in paragraph (a). Prior to that date,
the commission may modify or delay the implementation of that standard obligation, in
whole or in part, in accordance with subdivision 2b.
new text end

new text begin (f) An integrated distribution plan filed by a utility subject to this subdivision must
describe investments in the distribution grid that facilitate the interconnection of sufficient
distribution-connected solar energy to fulfill the requirements of this subdivision.
new text end

Minnesota Statutes 2022, section 216B.17, subdivision 1, is amended to read:

On deleted text begin itsdeleted text end new text begin the commission'snew text end own motion or upon a complaint
made against any public utilitydeleted text begin ,deleted text end by the governing body of any political subdivision, by
another public utility, by the department, deleted text begin ordeleted text end by any 50 consumers of deleted text begin thedeleted text end new text begin anew text end particular utilitynew text begin ,
or by a complainant under section 216B.172new text end that any of the rates, tolls, tariffs, charges, or
schedules or any joint rate or any regulation, measurement, practice, act, or omission affecting
or relating to the production, transmission, delivery, or furnishing of natural gas or electricity
or any service in connection therewith is in any respect unreasonable, insufficient, or unjustly
discriminatory, or that any service is inadequate or cannot be obtained, the commission
shall proceed, with notice, to make such investigation as it may deem necessary. The
commission may dismiss any complaint without a hearing if in its opinion a hearing is not
in the public interest.

new text begin This section is effective the day following final enactment and
applies to any complaint filed with the commission on or after that date.
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) "Appeal" means a request a complainant files with the commission to review and
make a final decision regarding the resolution of the complainant's complaint by the consumer
affairs office.
new text end

new text begin (c) "Complainant" means an individual residential customer who files with the consumer
affairs office a complaint against a public utility.
new text end

new text begin (d) "Complaint" means an allegation submitted to the consumer affairs office by a
complainant that a public utility's action or practice regarding billing or terms and conditions
of service:
new text end

new text begin (1) violates a statute, rule, tariff, service contract, or other provision of law;
new text end

new text begin (2) is unreasonable; or
new text end

new text begin (3) has harmed or, if not addressed, harms a complainant.
new text end

new text begin Complaint does not include an objection to or a request to modify any natural gas or
electricity rate contained in a tariff that has been approved by the commission. A complaint
under this section is an informal complaint under Minnesota Rules, chapter 7829.
new text end

new text begin (e) "Consumer affairs office" means the staff unit of the commission that is organized
to receive and respond to complaints.
new text end

new text begin (f) "Informal proceeding" has the meaning given in Minnesota Rules, part 7829.0100,
subpart 8.
new text end

new text begin (g) "Public assistance" has the meaning given in section 550.37, subdivision 14.
new text end

new text begin (h) "Public utility" has the meaning given in section 216B.02, subdivision 4.
new text end

new text begin A complainant must first attempt to resolve
a dispute with a public utility by filing a complaint with the consumer affairs office. The
consumer affairs office must: (1) notify the complainant of the resolution of the complaint;
and (2) provide written notice of (i) the complainant's right to appeal the resolution to the
commission, and (ii) the steps the complainant may take to appeal the resolution. Upon
request, the consumer affairs office must provide to the complainant a written notice
containing the substance of and basis for the resolution. Nothing in this section affects any
other rights existing under this chapter or other law.
new text end

new text begin (a) If a complainant is not satisfied with
the resolution of a complaint by the consumer affairs office, the complainant may file an
appeal with the commission requesting that the commission make a final decision on the
complaint. The commission's response to an appeal filed under this subdivision must comply
with the notice requirements under section 216B.17, subdivisions 2 to 5.
new text end

new text begin (b) Upon the commission's receipt of an appeal filed under paragraph (a), the chair of
the commission or a subcommittee delegated under section 216A.03, subdivision 8, to
review the resolution of the complaint must decide whether the complaint be:
new text end

new text begin (1) dismissed because there is no reasonable basis on which to proceed;
new text end

new text begin (2) resolved through an informal commission proceeding; or
new text end

new text begin (3) referred to the Office of Administrative Hearings for a contested case proceeding
under chapter 14.
new text end

new text begin A decision made under this paragraph must be provided in writing to the complainant and
the public utility.
new text end

new text begin (c) If the commission decides that the complaint be resolved through an informal
proceeding before the commission or referred to the Office of Administrative Hearings for
a contested case proceeding, the executive secretary must issue any procedural schedules,
notices, or orders required to initiate an informal proceeding or a contested case.
new text end

new text begin (d) The commission's dismissal of an appeal request or a decision rendered after
conducting an informal proceeding is a final decision constituting an order or determination
of the commission.
new text end

new text begin Notwithstanding section 216B.27, a complainant may seek
judicial review in district court of an adverse final decision under subdivision 3, paragraph
(b), clause (1) or (2). Judicial review of the commission's decision in a contested case referred
under subdivision 3, paragraph (b), clause (3), is governed by chapter 14.
new text end

new text begin A public utility must continue
or promptly restore service to a complainant during the pendency of an administrative or
judicial procedure pursued by a complainant under this section, provided that the
complainant:
new text end

new text begin (1) agrees to enter into a payment agreement under section 216B.098, subdivision 3;
new text end

new text begin (2) posts the full disputed payment in escrow;
new text end

new text begin (3) demonstrates receipt of public assistance or eligibility for legal aid services; or
new text end

new text begin (4) demonstrates the complainant's household income is at or below 50 percent of the
median income in Minnesota.
new text end

new text begin The commission may adopt rules to carry out the
purposes of this section.
new text end

new text begin This section is effective the day following final enactment and
applies to any complaint filed with the commission on or after that date.
new text end

Minnesota Statutes 2022, section 216B.2422, subdivision 2, is amended to read:

(a) A utility shall file a resource plan with
the commission periodically in accordance with rules adopted by the commission. The
commission shall approve, reject, or modify the plan of a public utility, as defined in section
216B.02, subdivision 4, consistent with the public interest.

(b) In the resource plan proceedings of all other utilities, the commission's order shall
be advisory and the order's findings and conclusions shall constitute prima facie evidence
which may be rebutted by substantial evidence in all other proceedings. With respect to
utilities other than those defined in section 216B.02, subdivision 4, the commission shall
consider the filing requirements and decisions in any comparable proceedings in another
jurisdiction.

(c) As a part of its resource plan filing, a utility shall include the least cost plan for
meeting 50 and 75 percent of all energy needs from both new and refurbished generating
facilities through a combination of conservation and renewable energy resources.

new text begin (d) A public utility must include distributed energy resources among the options
considered in the public utility's resource plan filing.
new text end

Minnesota Statutes 2022, section 216B.62, subdivision 3b, is amended to read:

deleted text begin (a)deleted text end In addition
to other assessments in subdivision 3, the department may assess up to deleted text begin $500,000deleted text end new text begin $1,000,000new text end
per fiscal year to perform the duties under section 216A.07, subdivision 3a, and to conduct
analysis that assesses energy grid reliability at state, regional, and national levels. The
amount in this subdivision shall be assessed to energy utilities in proportion to their respective
gross operating revenues from retail sales of gas or electric service within the state during
the last calendar year and shall be deposited into an account in the special revenue fund and
is appropriated to the commissioner of commerce for the purposes of section 216A.07,
subdivision 3a. An assessment made under this subdivision is not subject to the cap on
assessments provided in subdivision 3 or any other law. For the purpose of this subdivision,
an "energy utility" means public utilities, generation and transmission cooperative electric
associations, and municipal power agencies providing natural gas or electric service in the
state.

deleted text begin (b) By February 1, 2023, the commissioner of commerce must submit a written report
to the chairs and ranking minority members of the legislative committees with primary
jurisdiction over energy policy. The report must describe how the department has used
utility grid assessment funding under paragraph (a) and must explain the impact the grid
assessment funding has had on grid reliability in Minnesota.
deleted text end

deleted text begin (c) This subdivision expires June 30, 2023.
deleted text end

new text begin This section is effective the day following final enactment.
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) "Participant" means a person who files comments or appears in a commission
proceeding concerning one or more public utilities, excluding public hearings held in
contested cases and commission proceedings conducted to receive general public comments.
new text end

new text begin (c) "Party" means a person by or against whom a proceeding before the commission is
commenced or a person permitted to intervene in a proceeding, other than public hearings,
concerning one or more public utilities.
new text end

new text begin (d) "Proceeding" means a process or procedural means the commission engages in under
this chapter to attempt to resolve an issue affecting one or more public utilities and that
results in a commission order.
new text end

new text begin (e) "Public utility" has the meaning given in section 216B.02, subdivision 4.
new text end

new text begin Any of the following participants is eligible to receive
compensation under this section:
new text end

new text begin (1) a nonprofit organization that:
new text end

new text begin (i) is exempt from taxation under section 501(c)(3) of the Internal Revenue Code;
new text end

new text begin (ii) is incorporated or organized in Minnesota;
new text end

new text begin (iii) is governed under chapter 317A or section 322C.1101; and
new text end

new text begin (iv) the commission determines under subdivision 3, paragraph (c), would suffer financial
hardship if not compensated for the nonprofit organization's participation in the applicable
proceeding;
new text end

new text begin (2) a Tribal government of a federally recognized Indian Tribe that is located in
Minnesota; or
new text end

new text begin (3) a Minnesota resident, except that an individual who owns a for-profit business that
has earned revenue from a Minnesota utility in the past two years is not eligible for
compensation.
new text end

new text begin (a) The commission may order a public utility to
compensate all or part of a participant's reasonable costs incurred to participate in a
proceeding before the commission if the participant is eligible under subdivision 2 and the
commission finds:
new text end

new text begin (1) that the participant has materially assisted the commission's deliberation; and
new text end

new text begin (2) if the participant is a nonprofit organization, that the participant would suffer financial
hardship if the nonprofit organization's participation in the proceeding was not compensated.
new text end

new text begin (b) In determining whether a participant has materially assisted the commission's
deliberation, the commission must find that:
new text end

new text begin (1) the participant made a unique contribution to the record and represented an interest
that would not otherwise have been adequately represented;
new text end

new text begin (2) the evidence or arguments presented or the positions taken by the participant were
an important factor in producing a fair decision;
new text end

new text begin (3) the participant's position promoted a public purpose or policy;
new text end

new text begin (4) the evidence presented, arguments made, issues raised, or positions taken by the
participant would not otherwise have been part of the record;
new text end

new text begin (5) the participant was active in any stakeholder process included in the proceeding; and
new text end

new text begin (6) the proceeding resulted in a commission order that adopted, in whole or in part, a
position advocated by the participant.
new text end

new text begin (c) In determining whether a nonprofit participant has demonstrated that a lack of
compensation would present financial hardship, the commission must find that the nonprofit
participant:
new text end

new text begin (1) incorporated or organized within three years of the beginning of the applicable
proceeding;
new text end

new text begin (2) has payroll expenses less than $750,000; or
new text end

new text begin (3) has secured less than $100,000 in current year funding dedicated to participation in
commission proceedings, not including any participant compensation awarded under this
section.
new text end

new text begin (d) In reviewing a compensation request, the commission must consider whether the
costs presented in the participant's claim are reasonable. If the commission determines that
an eligible participant materially assisted the commission's deliberation, the commission
shall award all or part of the requested compensation, up to the maximum amounts provided
under subdivision 4.
new text end

new text begin (a) Compensation must not exceed $50,000 for a
single participant in any proceeding, except that:
new text end

new text begin (1) if a proceeding extends longer than 12 months, a participant may request and be
awarded compensation of up to $50,000 for costs incurred in each calendar year; and
new text end

new text begin (2) in an integrated resource plan proceeding under section 216B.2422 or a proceeding
that has been referred to the Office of Administrative Hearings for a contested case
proceeding, a participant may request and be awarded up to $75,000.
new text end

new text begin (b) No single participant may be awarded more than $200,000 under this section in a
single calendar year.
new text end

new text begin (c) Compensation requests from joint participants must be presented as a single request.
new text end

new text begin (d) Notwithstanding paragraphs (a) and (b), the commission must not, in any calendar
year, require a single public utility to pay aggregate compensation under this section that
exceeds the following amounts:
new text end

new text begin (1) $100,000, for a public utility with up to $300,000,000 annual gross operating revenue
in Minnesota;
new text end

new text begin (2) $275,000, for a public utility with at least $300,000,000 but less than $900,000,000
annual gross operating revenue in Minnesota;
new text end

new text begin (3) $375,000, for a public utility with at least $900,000,000 but less than $2,000,000,000
annual gross operating revenue in Minnesota; and
new text end

new text begin (4) $1,250,000, for a public utility with $2,000,000,000 or more annual gross operating
revenue in Minnesota.
new text end

new text begin (e) When requests for compensation from any public utility approach the limits established
in paragraph (d), the commission may give priority to requests from participants that received
less than $150,000 in total compensation during the previous two years and from participants
who represent residential ratepayers, particularly those residential ratepayers who the
participant can demonstrate have been underrepresented in past commission proceedings.
new text end

new text begin (a) A participant seeking compensation must file a
request and an affidavit of service with the commission, and serve a copy of the request on
each party to the proceeding. The request must be filed no more than 30 days after the later
of:
new text end

new text begin (1) the expiration of the period within which a petition for rehearing, amendment,
vacation, reconsideration, or reargument must be filed; or
new text end

new text begin (2) the date the commission issues an order following rehearing, amendment, vacation,
reconsideration, or reargument.
new text end

new text begin (b) A compensation request must include:
new text end

new text begin (1) the name and address of the participant or nonprofit organization the participant is
representing;
new text end

new text begin (2) evidence of the organization's nonprofit, tax-exempt status, if applicable;
new text end

new text begin (3) the name and docket number of the proceeding for which compensation is requested;
new text end

new text begin (4) for a nonprofit participant, evidence supporting the nonprofit organization's eligibility
for compensation under the financial hardship test under subdivision 3, paragraph (c);
new text end

new text begin (5) amounts of compensation awarded to the participant under this section during the
current year and any pending requests for compensation, itemized by docket;
new text end

new text begin (6) an itemization of the participant's costs, not including overhead costs;
new text end

new text begin (7) participant revenues dedicated for the proceeding;
new text end

new text begin (8) the total compensation request; and
new text end

new text begin (9) a narrative describing the unique contribution made to the proceeding by the
participant.
new text end

new text begin (c) A participant must comply with reasonable requests for information by the commission
and other parties or participants. A participant must reply to information requests within
ten calendar days of the date the request is received, unless doing so would place an extreme
hardship upon the replying participant. The replying participant must provide a copy of the
information to any other participant or interested person upon request. Disputes regarding
information requests may be resolved by the commission.
new text end

new text begin (d) A party objecting to a request for compensation must, within 30 days after service
of the request for compensation, file a response and an affidavit of service with the
commission. A copy of the response must be served on the requesting participant and all
other parties to the proceeding.
new text end

new text begin (e) The requesting participant may file a reply with the commission within 15 days after
a response is filed under paragraph (d). A copy of the reply and an affidavit of service must
be served on all other parties to the proceeding.
new text end

new text begin (f) If additional costs are incurred by a participant as a result of additional proceedings
following the commission's initial order, the participant may file an amended request within
30 days after the commission issues an amended order. Paragraphs (b) to (e) apply to an
amended request.
new text end

new text begin (g) The commission must issue a decision on participant compensation within 120 days
of the date a request for compensation is filed by a participant.
new text end

new text begin (h) The commission may extend the deadlines in paragraphs (d), (e), and (g) for up to
30 days upon the request of a participant or on the commission's own initiative.
new text end

new text begin (i) A participant may request reconsideration of the commission's compensation decision
within 30 days of the decision date.
new text end

new text begin (a) If the commission issues an order requiring payment
of participant compensation, the public utility that was the subject of the proceeding must
pay the full compensation to the participant and file proof of payment with the commission
within 30 days after the later of:
new text end

new text begin (1) the expiration of the period within which a petition for reconsideration of the
commission's compensation decision must be filed; or
new text end

new text begin (2) the date the commission issues an order following reconsideration of the commission's
order on participant compensation.
new text end

new text begin (b) If the commission issues an order requiring payment of participant compensation in
a proceeding involving multiple public utilities, the commission must apportion costs among
the public utilities in proportion to each public utility's annual revenue.
new text end

new text begin (c) The commission may issue orders necessary to allow a public utility to recover the
costs of participant compensation on a timely basis.
new text end

new text begin By July 1, 2026, the commission must report to the chairs and ranking
minority members of the senate and house of representatives committees with primary
jurisdiction over energy policy on the operation of this section. The report must include but
is not limited to:
new text end

new text begin (1) the amount of compensation paid each year by each utility;
new text end

new text begin (2) each recipient of compensation, the commission dockets in which compensation was
awarded, and the compensation amounts; and
new text end

new text begin (3) the impact of the participation of compensated participants.
new text end

new text begin This section is effective the day following final enactment and
applies to any proceeding in which the commission has not issued a final order as of that
date.
new text end

Minnesota Statutes 2022, section 216C.02, subdivision 1, is amended to read:

(a) The commissioner may:

(1) apply for, receive, and spend money received from federal, municipal, county,
regional, and other government agencies and private sources;

(2) apply for, accept, and disburse grants and other aids from public and private sources;

(3) contract for professional services if work or services required or authorized to be
carried out by the commissioner cannot be satisfactorily performed by employees of the
department or by another state agency;

(4) enter into interstate compacts to carry out research and planning jointly with other
states or the federal government when appropriate;

(5) upon reasonable request, distribute informational material at no cost to the public;
and

(6) enter into contracts for the performance of the commissioner's duties with federal,
state, regional, metropolitan, local, and other agencies or units of government and educational
institutions, including the University of Minnesota, without regard to the competitive bidding
requirements of chapters 16A and 16C.

(b) The commissioner shall collect information on conservation and other energy-related
programs carried on by other agencies, by public utilities, by cooperative electric associations,
by municipal power agencies, by other fuel suppliers, by political subdivisions, and by
private organizations. Other agencies, cooperative electric associations, municipal power
agencies, and political subdivisions shall cooperate with the commissioner by providing
information requested by the commissioner. The commissioner may by rule require the
submission of information by other program operators. The commissioner shall make the
information available to other agencies and to the public and, as necessary, shall recommend
to the legislature changes in the laws governing conservation and other energy-related
programs to ensure that:

(1) expenditures on the programs are adequate to meet identified needs;

(2) the needs of low-income energy users are being adequately addressed;

(3) duplication of effort is avoided or eliminated;

(4) a program that is ineffective is improved or eliminated; and

(5) voluntary efforts are encouraged through incentives for their operators.

(c) By January 15 of each year, the commissioner shall report to the legislature on the
projected amount of federal money likely to be available to the state during the next fiscal
year, including grant money and money received by the state as a result of litigation or
settlements of alleged violations of federal petroleum-pricing regulations. The report must
also estimate the amount of money projected as needed during the next fiscal year to finance
a level of conservation and other energy-related programs adequate to meet projected needs,
particularly the needs of low-income persons and households, and must recommend the
amount of state appropriations needed to cover the difference between the projected
availability of federal money and the projected needs.

new text begin (d) By January 15 of each year, the commissioner shall report to the chairs and ranking
minority members of the legislative committees with jurisdiction over energy finance the
following information for each account in the special revenue fund created in this chapter:
new text end

new text begin (1) the unobligated balance in the account from the most recent forecast listed separately
by funding source;
new text end

new text begin (2) all expenditures, including grants and administrative costs over the last two fiscal
years; and
new text end

new text begin (3) the date on which unobligated balances expire.
new text end

Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision
to read:

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

new text begin (b) "Low-income conservation program" means a utility program that offers energy
conservation services to low-income households under sections 216B.2403, subdivision 5,
and 216B.241, subdivision 7.
new text end

new text begin (c) "Preweatherization measure" has the meaning given in section 216B.2402, subdivision
20.
new text end

new text begin (d) "Weatherization assistance program" means the federal program described in Code
of Federal Regulations, title 10, part 440, et seq., designed to assist low-income households
reduce energy use.
new text end

new text begin (e) "Weatherization assistance services" means the energy measures installed in
households under the weatherization assistance program.
new text end

Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision
to read:

new text begin A preweatherization program is established in the
department. The purpose of the program is to provide grants for preweatherization services,
as defined under section 216B.2402, subdivision 20, in order to expand the breadth and
depth of services provided to income-eligible households in Minnesota.
new text end

Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision
to read:

new text begin (a) A preweatherization account is created as a
separate account in the special revenue fund of the state treasury. The account consists of
money provided by law, donated, allotted, transferred, or otherwise provided to the account.
Earnings, including interest, dividends, and any other earnings arising from assets of the
account, must be credited to the account. Money remaining in the account at the end of a
fiscal year does not cancel to the general fund and remains in the account until expended.
The commissioner must manage the account.
new text end

new text begin (b) Money in the account is appropriated to the commissioner to pay for (1) grants issued
under the program, and (2) the reasonable costs incurred by the commissioner to administer
the program.
new text end

Minnesota Statutes 2022, section 216C.264, subdivision 5, is amended to read:

new text begin (a) new text end The commissioner must distribute supplementary state
grants in a manner consistent with the goal of producing the maximum number of weatherized
units. Supplementary state grants are provided primarily deleted text begin for the payment of additional labor
costs for the federal weatherization program, and as an incentive for the increased production
of weatherized units.deleted text end new text begin to pay for and may be used to:
new text end

new text begin (1) address physical deficiencies in a residence that increase heat loss, including
deficiencies that prohibit the residence from being eligible to receive federal weatherization
assistance;
new text end

new text begin (2) install eligible preweatherization measures established by the commissioner, as
required under section 216B.241, subdivision 7, paragraph (g);
new text end

new text begin (3) increase the number of weatherized residences;
new text end

new text begin (4) conduct outreach activities to make income-eligible households aware of available
weatherization services, to assist applicants in filling out applications for weatherization
assistance, and to provide translation services when necessary;
new text end

new text begin (5) enable projects in multifamily buildings to proceed even if the project cannot comply
with the federal requirement that projects must be completed within the same federal fiscal
year in which the project is begun;
new text end

new text begin (6) expand weatherization training opportunities in existing and new training programs;
new text end

new text begin (7) pay additional labor costs for the federal weatherization program; and
new text end

new text begin (8) provide an incentive for the increased production of weatherized units.
new text end

new text begin (b) new text end Criteria deleted text begin for the allocation ofdeleted text end new text begin used to allocatenew text end state grants to local agencies include
existing local agency production levels, emergency needs, and the potential deleted text begin for maintainingdeleted text end new text begin
to maintainnew text end or deleted text begin increasingdeleted text end new text begin increasenew text end acceptable levels of production in the area.

new text begin (c) new text end An eligible local agency may receive advance funding for 90 days' production, but
thereafter must receive grants solely on the basis ofnew text begin thenew text end program criterianew text begin under this
subdivisionnew text end .

Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision
to read:

new text begin The commissioner must
provide grants to weatherization service providers to address physical deficiencies and
install weatherization and preweatherization measures in residential buildings occupied by
eligible low-income households.
new text end

Minnesota Statutes 2022, section 216C.264, is amended by adding a subdivision
to read:

new text begin (a) The commissioner must establish a
weatherization training grant program to award grants through a competitive process to
educational institutions, certified training centers, labor organizations, and nonprofits to
assist with the costs associated with training and developing programs for careers in the
weatherization industry.
new text end

new text begin (b) In order to receive grant funds, a written application must be submitted to the
commissioner on a form developed by the commissioner.
new text end

new text begin (c) When awarding grants under this subdivision, the commissioner must prioritize
applications that:
new text end

new text begin (1) provide the highest quality training to prepare for in-demand careers;
new text end

new text begin (2) train workers to provide weatherization services that meet federal Building
Performance Institute certification requirements or Standard Work Specification
requirements, as required by the program; and
new text end

new text begin (3) leverage nonstate funds or in-kind contributions.
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) "Aggregated customer energy use data" means customer energy use data that is
combined into one collective data point per time interval. Aggregated customer energy use
data is data with any unique identifiers or other personal information removed that a
qualifying utility collects and aggregates in at least monthly intervals for an entire building
on a covered property.
new text end

new text begin (c) "Benchmark" means to electronically input into a benchmarking tool the total energy
use data and other descriptive information about a building that is required by a benchmarking
tool.
new text end

new text begin (d) "Benchmarking information" means data related to a building's energy use generated
by a benchmarking tool, and other information about the building's physical and operational
characteristics. Benchmarking information includes but is not limited to the building's:
new text end

new text begin (1) address;
new text end

new text begin (2) owner and, if applicable, the building manager responsible for operating the building's
physical systems;
new text end

new text begin (3) total floor area, expressed in square feet;
new text end

new text begin (4) energy use intensity;
new text end

new text begin (5) greenhouse gas emissions; and
new text end

new text begin (6) energy performance score comparing the building's energy use with that of similar
buildings.
new text end

new text begin (e) "Benchmarking tool" means the United States Environmental Protection Agency's
Energy Star Portfolio Manager tool or an equivalent tool determined by the commissioner.
new text end

new text begin (f) "Covered property" means any property that is served by an investor-owned utility
in the metropolitan area, as defined in section 473.121, subdivision 2, or in any city outside
the metropolitan area with a population of over 50,000 residents served by a municipal
energy utility or investor-owned utility, and that has one or more buildings containing in
sum 50,000 gross square feet or greater. Covered property does not include:
new text end

new text begin (1) a residential property containing fewer than five dwelling units;
new text end

new text begin (2) a property that is: (i) classified as manufacturing under the North American Industrial
Classification System; (ii) an energy-intensive trade-exposed customer, as defined in section
216B.1696; (iii) an electric power generation facility; (iv) a mining facility; or (v) otherwise
an industrial building incompatible with benchmarking in the benchmarking tool;
new text end

new text begin (3) an agricultural building; or
new text end

new text begin (4) a multitenant building that is served by a utility that cannot supply aggregated
customer usage data, and other property types that do not meet the purposes of this section,
as determined by the commissioner.
new text end

new text begin (g) "Customer energy use data" means data collected from the utility customer meters
that reflect the quantity, quality, or timing of customers' usage.
new text end

new text begin (h) "Energy" means electricity, natural gas, steam, or another product used to: (1) provide
heating, cooling, lighting, or water heating; or (2) power other end uses in a building.
new text end

new text begin (i) "Energy performance score" means a numerical value from one to 100 that the Energy
Star Portfolio Manager tool calculates to rate a building's energy efficiency against that of
comparable buildings nationwide.
new text end

new text begin (j) "Energy Star Portfolio Manager" means an interactive resource management tool
developed by the United States Environmental Protection Agency that (1) enables the
periodic entry of a building's energy use data and other descriptive information about a
building, and (2) rates a building's energy efficiency against that of comparable buildings
nationwide.
new text end

new text begin (k) "Energy use intensity" means the total annual energy consumed in a building divided
by the building's total floor area.
new text end

new text begin (l) "Financial distress" means a covered property that, at the time benchmarking is
conducted:
new text end

new text begin (1) is the subject of a qualified tax lien sale or public auction due to property tax
arrearages;
new text end

new text begin (2) is controlled by a court-appointed receiver based on financial distress;
new text end

new text begin (3) is owned by a financial institution through default by the borrower;
new text end

new text begin (4) has been acquired by deed in lieu of foreclosure; or
new text end

new text begin (5) has a senior mortgage that is subject to a notice of default.
new text end

new text begin (m) "Local government" means a statutory or home rule municipality or county.
new text end

new text begin (n) "Owner" means:
new text end

new text begin (1) an individual or entity that possesses title to a covered property; or
new text end

new text begin (2) an agent authorized to act on behalf of the covered property owner.
new text end

new text begin (o) "Qualifying utility" means a utility serving the covered property, including:
new text end

new text begin (1) an electric or gas utility, including:
new text end

new text begin (i) an investor-owned electric or gas utility; or
new text end

new text begin (ii) a municipally owned electric or gas utility;
new text end

new text begin (2) a natural gas supplier with five or more active commercial connections, accounts,
or customers in the state; or
new text end

new text begin (3) a district stream, hot water, or chilled water provider.
new text end

new text begin (p) "Tenant" means a person that occupies or holds possession of a building or part of
a building or premises pursuant to a lease agreement.
new text end

new text begin (q) "Total floor area" means the sum of gross square footage inside a building's envelope,
measured between the outside exterior walls of the building. Total floor area includes covered
parking structures.
new text end

new text begin (r) "Utility customer" means the building owner or tenant listed on the utility's records
as the customer liable for payment of the utility service or additional charges assessed on
the utility account.
new text end

new text begin The commissioner must establish and maintain a building
energy benchmarking program. The purpose of the program is to:
new text end

new text begin (1) make a building's owners, tenants, and potential tenants aware of (i) the building's
energy consumption levels and patterns, and (ii) how the building's energy use compares
with that of similar buildings nationwide; and
new text end

new text begin (2) enhance the likelihood that an owner adopts energy conservation measures in the
owner's building as a way to reduce energy use, operating costs, and greenhouse gas
emissions.
new text end

new text begin For the purposes of this section, a covered
property is classified as follows:
new text end

new text begin Class new text end	new text begin Total Floor Area (square feet) new text end
new text begin 1 new text end	new text begin 100,000 or more new text end
new text begin 2 new text end	new text begin 50,000 to 99,999 new text end

new text begin (a) An owner must annually benchmark all
covered property owned as of December 31 in conformity with the schedule in subdivision
7. Energy use data must be compiled by:
new text end

new text begin (1) obtaining the data from the utility providing the energy; or
new text end

new text begin (2) reading a master meter.
new text end

new text begin (b) Before entering information in a benchmarking tool, an owner must run all automated
data quality assurance functions available within the benchmarking tool and must correct
all data identified as missing or incorrect.
new text end

new text begin (c) An owner who becomes aware that any information entered into a benchmarking
tool is inaccurate or incomplete must amend the information in the benchmarking tool within
30 days of the date the owner learned of the inaccuracy.
new text end

new text begin (d) Nothing in this subdivision prohibits an owner of property that is not a covered
property from voluntarily benchmarking a property under this section.
new text end

new text begin (a) The commissioner may exempt an
owner of a covered property from the requirements of subdivision 4 if the owner provides
evidence satisfactory to the commissioner that the covered property:
new text end

new text begin (1) is presently experiencing financial distress;
new text end

new text begin (2) has been less than 50 percent occupied during the previous calendar year;
new text end

new text begin (3) does not have a certificate of occupancy or temporary certificate of occupancy for
the full previous calendar year;
new text end

new text begin (4) was issued a demolition permit during the previous calendar year that remains current;
or
new text end

new text begin (5) received no energy services for at least 30 days during the previous calendar year.
new text end

new text begin (b) An exemption granted under this subdivision applies only to a single calendar year.
An owner must reapply to the commissioner each year an extension is sought.
new text end

new text begin (c) Within 30 days of the date an owner makes a request under this paragraph, a tenant
of a covered property subject to this section must provide the owner with any information
regarding energy use of the tenant's rental unit that the property owner cannot otherwise
obtain and that is needed by the owner to comply with this section. The tenant must provide
the information required under this paragraph in a format approved by the commissioner.
new text end

new text begin An owner is
exempt from the requirements of subdivision 4 for a covered property if the property is
subject to a benchmarking requirement by the state, a city, or other political subdivision
with a benchmarking requirement that the commissioner determines is equivalent or more
stringent, as determined under subdivision 11, paragraph (b), than the benchmarking
requirement established in this section. The exemption under this subdivision applies in
perpetuity unless or until the benchmarking requirement is changed or revoked and the
commissioner determines the benchmarking requirement is no longer equivalent nor more
stringent.
new text end

new text begin (a) An owner must annually benchmark each covered
property for the previous calendar year according to the following schedule:
new text end

new text begin (1) all Class 1 properties by June 1, 2025, and by every June 1 thereafter; and
new text end

new text begin (2) all Class 2 properties by June 1, 2026, and by every June 1 thereafter.
new text end

new text begin (b) Beginning June 1, 2025, for Class 1 properties, and June 1, 2026, for Class 2
properties, an owner who is selling a covered property must provide the following to the
new owner at the time of sale:
new text end

new text begin (1) benchmarking information for the most recent 12-month period, including monthly
energy use by source; or
new text end

new text begin (2) ownership of the digital property record in the benchmarking tool through an online
transfer.
new text end

new text begin (a) In implementing this section, a qualifying utility
shall implement the data aggregation standards established by the commission in docket
number 19-505, including changes to the standards adopted in an order issued after the
effective date of this section. A municipal energy utility serving a covered property under
this section shall adopt data aggregation standards that are substantially similar to the
standards included in the commission's order in that docket and subsequent relevant orders.
new text end

new text begin (b) Customer energy use data that a qualifying utility provides an owner pursuant to this
subdivision must be:
new text end

new text begin (1) available on, or able to be requested through, an easily navigable web portal or online
request form using up-to-date standards for digital authentication;
new text end

new text begin (2) provided to the owner within 30 days after receiving the owner's valid written or
electronic request;
new text end

new text begin (3) provided for at least 24 consecutive months of energy consumption or as many
months of consumption data that are available if the owner has owned the building for less
than 24 months;
new text end

new text begin (4) directly uploaded to the owner's benchmarking tool account, delivered in the
spreadsheet template specified by the benchmarking tool, or delivered in another format
approved by the commissioner;
new text end

new text begin (5) provided to the owner on at least an annual basis until the owner revokes the request
for energy use data or sells the covered property; and
new text end

new text begin (6) provided in monthly intervals, or the shortest available intervals based in billing.
new text end

new text begin (c) Data necessary to establish, utilize, or maintain information in the benchmarking
tool under this section may be collected or shared as provided by this section and are
considered public data whether or not the data have been aggregated.
new text end

new text begin (a) The commissioner must:
new text end

new text begin (1) collect benchmarking information generated by a benchmarking tool and other related
information for each covered property;
new text end

new text begin (2) provide technical assistance to owners entering data into a benchmarking tool;
new text end

new text begin (3) collaborate with the Department of Revenue to collect the data necessary for
establishing the covered property list annually; and
new text end

new text begin (4) provide technical guidance to utilities in the establishment of data aggregation and
access tools.
new text end

new text begin (b) Upon request of the commissioner, a county assessor shall provide readily available
property data necessary for the development of the covered property list, including but not
limited to gross floor area, property type, and owner information by January 15 annually.
new text end

new text begin (c) The commissioner must:
new text end

new text begin (1) rank benchmarked covered properties in each property class from highest to lowest
performance score or, if a performance score is unavailable for a covered property, from
lowest to highest energy use intensity;
new text end

new text begin (2) divide covered properties in each property class into four quartiles based on the
applicable measure in clause (1);
new text end

new text begin (3) assign four stars to each covered property in the quartile of each property class with
the highest performance scores or lowest energy use intensities, as applicable;
new text end

new text begin (4) assign three stars to each covered property in the quartile of each property class with
the second highest performance scores or second lowest energy use intensities, as applicable;
new text end

new text begin (5) assign two stars to each covered property in the quartile of each property class with
the third highest performance scores or third lowest energy use intensities, as applicable;
new text end

new text begin (6) assign one star to each covered property in the quartile of each property class with
the lowest performance scores or highest energy use intensities, as applicable; and
new text end

new text begin (7) serve notice in writing to each owner identifying the number of stars assigned by the
commissioner to each of the owner's covered properties.
new text end

new text begin (a) The commissioner must post on the department's
website and update by December 1 annually the following information for the previous
calendar year:
new text end

new text begin (1) annual summary statistics on energy use for all covered properties;
new text end

new text begin (2) annual summary statistics on energy use for all covered properties, aggregated by
covered property class, as defined in subdivision 3, city, and county;
new text end

new text begin (3) the percentage of covered properties in each building class listed in subdivision 3
that are in compliance with the benchmarking requirements under subdivisions 4 to 7; and
new text end

new text begin (4) for each covered property, at a minimum, report the address, the total energy use,
energy use intensity, annual greenhouse gas emissions, and an energy performance score,
if available.
new text end

new text begin (b) The commissioner must post the information required under this subdivision for:
new text end

new text begin (1) all Class 1 properties by November 1, 2025, and by every November 1 thereafter;
and
new text end

new text begin (2) all Class 2 properties by November 1, 2026, and by every November 1 thereafter.
new text end

new text begin (a) The commissioner
shall coordinate with any state agency or local government that implements an energy
benchmarking program, including the coordination of reporting requirements.
new text end

new text begin (b) This section does not restrict a local government from adopting or implementing an
ordinance or resolution that imposes more stringent benchmarking requirements. For purposes
of this section, a local government benchmarking program is more stringent if the program
requires:
new text end

new text begin (1) buildings to be benchmarked that are not required to be benchmarked under this
section; or
new text end

new text begin (2) benchmarking of information that is not required to be benchmarked under this
section.
new text end

new text begin (c) Benchmarking program requirements of local governments must:
new text end

new text begin (1) be at least as comprehensive in scope and application as the program operated under
this section; and
new text end

new text begin (2) include annual enforcement of a penalty on covered properties that do not comply
with the local government's benchmarking ordinance.
new text end

new text begin (d) Local governments must notify the commissioner of the local government's existing
benchmarking ordinance requirements. Local governments must notify the commissioner
of new, changed, or revoked ordinance requirements, which when made by December 31
would apply to the benchmarking schedule for the following year.
new text end

new text begin (e) The commissioner shall make available for local governments upon request all
benchmarking data for covered properties within the local government's jurisdiction by
December 1, annually.
new text end

new text begin The commissioner must
provide disclosure materials for public display within a building to building owners, so that
building owners can prominently display the performance of the building. The materials
must include the number of stars assigned to the building by the commissioner under
subdivision 9, paragraph (c), and a relevant explanation of the rating.
new text end

new text begin By March 1 each year, the commissioner must notify the owner
of each covered property required to benchmark for the previous calendar year of the
requirement to benchmark by June 1 of the current year.
new text end

new text begin The commissioner may contract with an
independent third party to implement any or all of the commissioner's duties required under
this section. To implement the benchmarking program, the commissioner shall assist building
owners to increase energy efficiency and reduce greenhouse gas emissions from the owners'
buildings, including by providing outreach, training, and technical assistance to building
owners to help the owners' buildings come into compliance with the benchmarking program.
new text end

new text begin By June 15 each year, the commissioner must notify the owner
of each covered property required to comply with this section that has failed to comply that
the owner has until July 15 to come into compliance, unless the owner requests an extension,
in which case the owner has until August 15 to come into compliance. If an owner fails to
comply with the requirements of this section by July 15 and fails to request an extension
by that date, or is given an extension and fails to comply by August 15, the commissioner
may impose a civil fine of $1,000 on the owner. The commissioner may by rule increase
the civil fine to adjust for inflation.
new text end

new text begin The commission shall allow a public utility to recover
reasonable and prudent expenses of implementing this section under section 216B.16,
subdivision 6b. The costs and benefits associated with implementing this section may, at
the discretion of the utility, be excluded from the calculation of net economic benefits for
purposes of calculating the financial incentive to the public utility under section 216B.16,
subdivision 6c. The energy and demand savings may, at the discretion of the public utility,
be applied toward the calculation of overall portfolio energy and demand savings for purposes
of determining progress toward annual goals under section 216B.241, subdivision 1c, and
in the financial incentive mechanism under section 216B.16, subdivision 6c.
new text end

new text begin This section is effective the day following final enactment, except
that subdivision 15 is effective June 15, 2026.
new text end

Minnesota Statutes 2022, section 216C.375, subdivision 1, is amended to read:

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

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

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

(d) "School" means: (1) a school that operates as part of an independent or special school
district;new text begin (2) a Tribal contract school;new text end or deleted text begin (2)deleted text end new text begin (3)new text end a state college or university that is under the
jurisdiction of the Board of Trustees of the Minnesota State Colleges and Universities.

(e) "School district" meansnew text begin : (1)new text end an independent or special school districtnew text begin ; or (2) any other
public school district deemed appropriate by the commissioner, provided that at a minimum
the school owns the building and instruction for students occursnew text end .

(f) "Solar energy system" means photovoltaic or solar thermal devices.

(g) "Solar thermal" has the meaning given to "qualifying solar thermal project" in section
216B.2411, subdivision 2, paragraph (d).

(h) "State colleges and universities" has the meaning given in section 136F.01, subdivision
4.

Minnesota Statutes 2022, section 216C.375, subdivision 3, is amended to read:

new text begin (a) new text end 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.new text begin The account
consists of money provided by law, donated, allocated, transferred, or otherwise provided
to the account. Earnings, including interest, dividends, and any other earnings arising from
the assets of the account, must be credited to the account.
new text end

new text begin (b) Money in the account is appropriated to the commissioner for the purposes of the
program under this section. new text end Except as otherwise provided in this paragraph, money deposited
in the account remains in the account until expended. Any money that remains in the account
on June 30, deleted text begin 2027deleted text end new text begin 2034new text end , cancels to the general fund.

Minnesota Statutes 2022, section 216C.375, subdivision 10, is amended to read:

deleted text begin Nodeleted text end new text begin Annew text end application deleted text begin maydeleted text end new text begin must notnew text end be submitted under
this section after December 31, deleted text begin 2025deleted text end new text begin 2032new text end .

Minnesota Statutes 2022, section 216C.375, subdivision 11, is amended to read:

Beginning January 15, 2022, and each year thereafter until January
15, deleted text begin 2028deleted text end new text begin 2035new text end , the commissioner must report to the chairs and ranking minority members
of the legislative committees with jurisdiction over energy regarding: (1) grants and amounts
awarded to schools under this section during the previous year; (2) financial assistance,
including amounts per award, provided to schools under section 216C.376 during the
previous year; and (3) any remaining balances available under this section and section
216C.376.

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

new text begin (b) "Capacity constrained location" means a location on an electric utility's distribution
system that the utility has reasonably determined requires significant distribution or network
upgrades before additional distributed energy resources can interconnect.
new text end

new text begin (c) "DER Technical Planning Standard" means an engineering practice that limits the
total aggregate distributed energy resource capacity that may interconnect to a particular
location on the utility's distribution system.
new text end

new text begin (d) "Distributed energy resources" means distributed generation, as defined in section
216B.164, and energy storage systems, as defined in section 216B.2422.
new text end

new text begin (e) "Distribution upgrades" means the additions, modifications, and upgrades made to
an electric utility's distribution system to facilitate interconnection of distributed energy
resources.
new text end

new text begin (f) "Interconnection" means the process governed by section 216B.1611.
new text end

new text begin (g) "Net metered" has the meaning given in section 216B.164.
new text end

new text begin (h) "Network upgrades" means additions, modifications, and upgrades to the transmission
system required at or beyond the point at which the distributed energy resource interconnects
with an electric utility's distribution system to accommodate the interconnection of the
distributed energy resource with the electric utility's distribution system. Network upgrades
do not include distribution upgrades.
new text end

new text begin A distributed energy resources system upgrade
program is established in the department. The purpose of the program is to provide funding
to the utility subject to section 116C.779 to complete infrastructure investments necessary
to enable electricity customers to interconnect distributed energy resources. The program
must be designed to achieve the following goals to the maximum extent feasible:
new text end

new text begin (1) make upgrades at capacity constrained locations on the utility's distribution system
that maximize the number and capacity of distributed energy resources projects with a
capacity of up to 40 kilowatts alternating current that can be interconnected sufficient to
serve projected demand;
new text end

new text begin (2) enable all distributed energy resources projects with a nameplate capacity of up to
40 kilowatts alternating current to be reviewed and approved by the utility within 43 business
days;
new text end

new text begin (3) minimize interconnection barriers for electricity customers seeking to construct net
metered facilities for on-site electricity use; and
new text end

new text begin (4) advance innovative solutions that can minimize the cost of distribution and network
upgrades required for interconnection, including but not limited to energy storage, control
technologies, smart inverters, distributed energy resources management systems, and other
innovative technologies and programs.
new text end

new text begin (a) By November 1, 2023, the utility subject to section 116C.779
must file with the commissioner a plan for the distributed energy resources system upgrade
program. The plan must contain, at a minimum:
new text end

new text begin (1) a description of how the utility proposes to use money in the distributed energy
resources system upgrade program account to upgrade the utility's distribution system to
maximize the number and capacity of distributed energy resources that can be interconnected
sufficient to serve projected demand;
new text end

new text begin (2) the locations where the utility proposes to make investments under the program;
new text end

new text begin (3) the number and capacity of distributed energy resources projects the utility expects
to interconnect as a result of the program;
new text end

new text begin (4) a plan for reporting on the program's outcomes; and
new text end

new text begin (5) any additional information required by the commissioner.
new text end

new text begin (b) The utility subject to section 116C.779 is prohibited from implementing the program
until the commissioner approves the plan submitted under this subdivision. No later than
March 31, 2024, the commissioner must approve a plan under this subdivision that the
commissioner determines is in the public interest. Any proposed modifications to the plan
approved under this subdivision must be approved by the commissioner.
new text end

new text begin In developing the plan required by subdivision 3, the utility
must prioritize making investments:
new text end

new text begin (1) at capacity constrained locations on the distribution grid;
new text end

new text begin (2) in communities with demonstrated customer interest in distributed energy resources,
as measured by anticipated, pending, and completed interconnection applications; and
new text end

new text begin (3) in communities with a climate action plan, clean energy goal, or policies that:
new text end

new text begin (i) seek to mitigate the impacts of climate change on the city; or
new text end

new text begin (ii) reduce the city's contributions to the causes of climate change.
new text end

new text begin The commissioner may pay the following reasonable costs of
the utility subject to section 116C.779 under a plan approved in accordance with subdivision
3 from money available in the distributed energy resources system upgrade program account:
new text end

new text begin (1) distribution upgrades and network upgrades;
new text end

new text begin (2) energy storage; control technologies, including but not limited to a distributed energy
resources management system; or other innovative technology used to achieve the purposes
of this section;
new text end

new text begin (3) pilot programs operated by the utility to implement innovative technology solutions;
and
new text end

new text begin (4) costs incurred by the department to administer this section.
new text end

new text begin The utility subject to section 116C.779 must reserve any
increase in the DER Technical Planning Standard made available by upgrades paid for under
this section for net metered facilities and distributed energy resources with a nameplate
capacity of up to 40 kilowatts alternating current. The commissioner may modify the
requirements of this subdivision when the commissioner finds doing so is in the public
interest.
new text end

new text begin (a) A distributed energy resources system upgrade
program account is established in the special revenue fund. The account consists of money
provided by law, and any other money donated, allotted, transferred, or otherwise provided
to the account. Earnings, including interest, dividends, and any other earnings arising from
the assets of the account, must be credited to the account. Earnings remaining in the account
at the end of a fiscal year do not cancel to the general fund or renewable development
account but remain in the account until expended.
new text end

new text begin (b) Money in the account is appropriated to the commissioner for eligible expenditures
under this section.
new text end

new text begin The utility subject to section 116C.779 must
report to the commissioner within 60 days if any distributed energy resources project with
a capacity of up to 40 kilowatts alternating current is unable to interconnect due to safety,
reliability, or the cost of distribution or network upgrades required at a location for which
upgrade funding was provided under this program. The utility must make available to the
commissioner all engineering analyses, studies, and information related to any such instances.
The commissioner may modify or waive this requirement after December 31, 2025.
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) "Cooperative electric association" means a cooperative association organized under
chapter 308A for the purpose of providing rural electrification at retail.
new text end

new text begin (c) "Developer" means an entity that applies for a grant on behalf of a public building
under this section to install a solar energy generating system on the public building.
new text end

new text begin (d) "Local unit of government" means:
new text end

new text begin (1) a county, statutory or home rule charter city, town, municipal utility, or other local
government jurisdiction, excluding a school district eligible to receive financial assistance
under section 216C.375 or 216C.376; or
new text end

new text begin (2) a federally recognized Indian Tribe in Minnesota.
new text end

new text begin (e) "Municipal electric utility" means a utility that (1) provides electric service to retail
customers in Minnesota, and (2) is governed by a city council or a local utilities commission.
new text end

new text begin (f) "Public building" means:
new text end

new text begin (1) a building owned and operated by a local unit of government; or
new text end

new text begin (2) a building owned by a federally recognized Indian Tribe in Minnesota whose primary
purpose is Tribal government operations.
new text end

new text begin (g) "Solar energy generating system" has the meaning given in section 216E.01,
subdivision 9a.
new text end

new text begin A solar on public buildings grant program is
established in the department. The purpose of the program is to provide grants to stimulate
the installation of solar energy generating systems on public buildings.
new text end

new text begin A solar on public buildings grant program account
is established in the special revenue fund. Any money received from state resources for the
purposes of this section must be transferred to the commissioner of commerce and credited
to the account. Earnings, including interest, dividends, and any other earnings arising from
the assets of the account, must be credited to the account. Earnings remaining in the account
at the end of a fiscal year do not cancel to the general fund or renewable development
account but remain in the account until expended. The commissioner must manage the
account.
new text end

new text begin Money in the account established under
subdivision 3 is appropriated to the commissioner for the purposes of this section and must
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 of the department to administer this section.
new text end

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

new text begin (1) is installed (i) on or adjacent to a public building that consumes the electricity
generated by the solar energy generating system, and (ii) on property within the service
territory of the utility currently providing electric service to the public 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
average annual electricity consumption, measured over the most recent three calendar years,
of the public building at which the solar energy generating system is installed.
new text end

new text begin (b) A public building that receives a rebate or other financial incentive under section
216B.241 for a solar energy generating system is eligible for a grant under this section for
the same solar energy generating system.
new text end

new text begin (c) Before filing an application for a grant under this section, a local unit of government
or public building that is served by a municipal electric utility or cooperative electric
association must inform the municipal electric utility or cooperative electric association of
the local unit of government's or public building's intention to do so.
new text end

new text begin (a) The commissioner must issue a request for proposals
to utilities, local units of government, and developers who may wish to apply for a grant
under this section on behalf of a public building.
new text end

new text begin (b) A utility or developer must submit an application to the commissioner on behalf of
a public building 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 generating 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 public building on which the solar energy generating
system is to be installed, information regarding any distributed energy resource that currently
provides electricity to the public building, and the size of the public building's subscription
to a community solar garden, if applicable;
new text end

new text begin (3) information sufficient to estimate the energy and monetary savings that are projected
to result from installation of the solar energy generating system over the system's useful
life;
new text end

new text begin (4) the total cost to purchase and install the solar energy system and the solar energy
system's life cycle cost, including removal and disposal at the end of the system's life;
new text end

new text begin (5) a copy of the proposed contract agreement between the local unit of government and
the utility or developer that includes provisions addressing responsibility for maintenance,
removal, and disposal of the solar energy generating system; and
new text end

new text begin (6) if the applicant is other than the utility providing electric service to the public building
at which the solar energy generating system is to be installed, a written statement or
memorandum of understanding from that utility that the proposed financing arrangement
presents no foreseeable issues that would prevent interconnection of the solar energy
generating system.
new text end

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

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

new text begin At the commissioner's request, a local unit of
government awarded a grant under this section must provide the commissioner with
information regarding energy conservation measures implemented at the public building
where the solar energy generating system is to be installed. The commissioner may make
recommendations to the local unit of government regarding cost-effective conservation
measures the local unit of government can implement and may provide technical assistance
and direct the local unit of government to available financial assistance programs.
new text end

new text begin The commissioner must provide technical assistance to
local units of government to develop and execute projects under this section.
new text end

new text begin A grant awarded by the commissioner from the account
established under subdivision 3 to a local unit of government must include the necessary
and reasonable costs associated with the purchase and installation of a solar energy generating
system. In determining the amount of a grant award, the commissioner shall take into
consideration the financial capacity of the local unit of government awarded the grant.
new text end

new text begin An application must not be submitted under this section
after December 31, 2032.
new text end

new text begin A contractor or subcontractor performing construction
work on a project supported by a grant awarded under this section: (1) must pay employees
working on the project no less than the prevailing wage rate, as defined in section 177.42;
and (2) is subject to the requirements and enforcement provisions of sections 177.27, 177.30,
177.32, 177.41 to 177.435, and 177.45.
new text end

new text begin Beginning January 15, 2024, and each year thereafter until January
15, 2027, the commissioner must report to the chairs and ranking minority members of the
legislative committees with primary jurisdiction over energy finance and policy regarding
grants and amounts awarded to local units of government under this section during the
previous year and any remaining balances available in the account established under this
section.
new text end

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

new text begin (a) The electric utility subject to section 116C.779 must develop and operate a program
to provide a lump-sum grant to customers to reduce the cost of purchasing and installing
an on-site energy storage system, as defined in section 216B.2422, subdivision 1, paragraph
(f). No later than October 1, 2023, the utility subject to this section must file a plan with the
commissioner to operate the program. The utility must not operate the program until the
program is approved by the commissioner. Any change to an operating program must be
approved by the commissioner.
new text end

new text begin (b) In order to be eligible to receive a grant under this section, an energy storage system
must:
new text end

new text begin (1) have a capacity no greater than 50 kilowatt hours; and
new text end

new text begin (2) be located within the electric service area of the utility subject to this section.
new text end

new text begin (c) An owner of an energy storage system is eligible to receive a grant under this section
if:
new text end

new text begin (1) a solar energy generating system is operating at the same site as the proposed energy
storage system; or
new text end

new text begin (2) the owner has filed an application with the utility subject to this section to interconnect
a solar energy generating system at the same site as the proposed energy storage system.
new text end

new text begin (d) The commissioner must annually review and may adjust the amount of grants awarded
under this section, but must not increase the amount over that awarded in previous years
unless the commissioner demonstrates in writing that an upward adjustment is warranted
by market conditions.
new text end

new text begin (e) A customer who receives a grant under this section is eligible to receive financial
assistance under programs operated by the state or the utility for the solar energy generating
system operating in conjunction with the energy storage system.
new text end

new text begin (f) For the purposes of this section, "solar energy generating system" has the meaning
given in section 216E.01, subdivision 9a.
new text end

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

new text begin (a) For purposes of this section and section 216C.402, the
terms in this subdivision have the meanings given.
new text end

new text begin (b) "Dealer" means a person, firm, or corporation that:
new text end

new text begin (1) possesses a new motor vehicle license under chapter 168;
new text end

new text begin (2) regularly engages in the business of manufacturing or selling, purchasing, and
generally dealing in new and unused motor vehicles;
new text end

new text begin (3) has an established place of business to sell, trade, and display new and unused motor
vehicles; and
new text end

new text begin (4) possesses new and unused motor vehicles to sell or trade the motor vehicles.
new text end

new text begin (c) "Electric vehicle" has the meaning given in section 169.011, subdivision 26a,
paragraphs (a) and (b), clause (3).
new text end

new text begin (d) "Eligible new electric vehicle" means an electric vehicle that meets the requirements
of subdivision 2, paragraph (a).
new text end

new text begin (e) "Eligible used electric vehicle" means an electric vehicle that meets the requirements
of subdivision 2, paragraph (b).
new text end

new text begin (f) "Lease" means a business transaction under which a dealer furnishes an eligible
electric vehicle to a person for a fee under a bailor-bailee relationship where no incidences
of ownership transferred, other than the right to use the vehicle for a term of at least 24
months.
new text end

new text begin (g) "Lessee" means a person who leases an eligible electric vehicle from a dealer.
new text end

new text begin (h) "New eligible electric vehicle" means an eligible electric vehicle that has not been
registered in any state.
new text end

new text begin (a) A new electric vehicle is eligible for a rebate under this
section if the electric vehicle:
new text end

new text begin (1) has a base manufacturer's suggested retail price that does not exceed $60,000;
new text end

new text begin (2) has not been previously owned;
new text end

new text begin (3) has not been modified from the original manufacturer's specifications;
new text end

new text begin (4) is purchased or leased from a dealer or directly from an original equipment
manufacturer that does not have licensed franchised dealers in Minnesota; and
new text end

new text begin (5) is purchased or leased after the effective date of this section for use by the purchaser
and not for resale.
new text end

new text begin (b) A used electric vehicle is eligible for an electric vehicle rebate under this section if
the electric vehicle had a base manufacturer's suggested retail price that did not exceed
$60,000 when purchased, has previously been owned in Minnesota or another state, and
has not been modified from the original manufacturer's specifications.
new text end

new text begin (c) For purposes of paragraph (a), a vehicle has not been previously owned if it:
new text end

new text begin (1) is used by a dealer as a floor model or test drive vehicle and has not been previously
registered in Minnesota or any other state prior to purchase or lease; or
new text end

new text begin (2) is returned to a dealer by a purchaser or lessee:
new text end

new text begin (i) within two weeks of purchase or leasing or when a purchaser's or lessee's financing
for the electric vehicle has been disapproved; or
new text end

new text begin (ii) before the purchaser or lessee takes delivery, even if the electric vehicle is registered
in Minnesota.
new text end

new text begin A person who purchases or leases an eligible
new or used electric vehicle is eligible for a rebate under this section if the purchaser or
lessee:
new text end

new text begin (1) is one of the following:
new text end

new text begin (i) a resident of Minnesota, as defined in section 290.01, subdivision 7, paragraph (a),
when the electric vehicle is purchased or leased;
new text end

new text begin (ii) a business that has a valid address in Minnesota from which business is conducted;
new text end

new text begin (iii) a nonprofit corporation incorporated under chapter 317A; or
new text end

new text begin (iv) a political subdivision of the state;
new text end

new text begin (2) has not received a rebate or tax credit for the purchase or lease of an electric vehicle
from the state of Minnesota; and
new text end

new text begin (3) registers the electric vehicle in Minnesota.
new text end

new text begin (a) A $2,500 rebate may be issued under this section to an
eligible purchaser to purchase or lease an eligible new electric vehicle.
new text end

new text begin (b) A $500 rebate may be issued under this section to an eligible purchaser or lessee of
an eligible used electric vehicle.
new text end

new text begin (c) A purchaser or lessee whose household income at the time the eligible electric vehicle
is purchased or leased is less than 150 percent of the current federal poverty guidelines
established by the Department of Health and Human Services is eligible for a rebate of $500
to purchase or lease an eligible new electric vehicle and $100 to purchase or lease an eligible
used electric vehicle. The rebate under this paragraph is in addition to the rebate under
paragraph (a) or (b), as applicable.
new text end

new text begin The number of rebates allowed under this section is limited to:
new text end

new text begin (1) no more than one rebate per resident; and
new text end

new text begin (2) no more than one rebate per business entity per year.
new text end

new text begin (a) A rebate application under this section must be
filed with the commissioner on a form developed by the commissioner.
new text end

new text begin (b) The commissioner must develop administrative procedures governing the application
and rebate award process. Applications must be reviewed and rebates awarded by the
commissioner on a first-come, first-served basis.
new text end

new text begin (c) The commissioner must, in coordination with dealers and other state agencies as
applicable, develop a procedure to allow a rebate to be used by an eligible purchaser or
lessee at the point of sale so that the rebate amount may be subtracted from the selling price
of the eligible electric vehicle.
new text end

new text begin (d) The commissioner may reduce the rebate amounts provided under subdivision 4 or
restrict program eligibility based on the availability of money to award rebates or other
factors.
new text end

new text begin This section expires June 30, 2027.
new text end

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

new text begin A grant program is established in the department to
award grants to dealers to offset the costs of obtaining the necessary training and equipment
that is required by electric vehicle manufacturers in order to certify a dealer to sell electric
vehicles produced by the manufacturer.
new text end

new text begin An application for a grant under this section must be made to the
commissioner on a form developed by the commissioner. The commissioner must develop
administrative procedures and processes to review applications and award grants under this
section.
new text end

new text begin An applicant for a grant awarded under this section must
be a dealer of new motor vehicles licensed under chapter 168 operating under a franchise
from a manufacturer of electric vehicles.
new text end

new text begin Appropriations made to support the activities of this
section must be used only to reimburse:
new text end

new text begin (1) a dealer for the reasonable costs to obtain training and certification for the dealer's
employees from the electric vehicle manufacturer that awarded the franchise to the dealer;
new text end

new text begin (2) a dealer for the reasonable costs to purchase and install equipment to service and
repair electric vehicles, as required by the electric vehicle manufacturer that awarded the
franchise to the dealer; and
new text end

new text begin (3) the department for the reasonable costs to administer this section.
new text end

new text begin A grant awarded under this section to a single dealer must not
exceed $40,000.
new text end

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

new text begin (a) There is created a public body corporate
and politic to be known as the "Minnesota Climate Innovation Finance Authority," whose
purpose is to accelerate the deployment of clean energy projects, greenhouse gas emissions
reduction projects, and other qualified projects through the strategic deployment of public
funds in the form of grants, loans, credit enhancements, and other financing mechanisms
in order to leverage existing public and private sources of capital to reduce the upfront and
total cost of qualified projects and to overcome financial barriers to project adoption,
especially in low-income communities.
new text end

new text begin (b) The goals of the authority include but are not limited to:
new text end

new text begin (1) reducing Minnesota's contributions to climate change by accelerating the deployment
of clean energy projects;
new text end

new text begin (2) ensuring that all Minnesotans share the benefits of clean and renewable energy and
the opportunity to fully participate in the clean energy economy by promoting:
new text end

new text begin (i) the creation of clean energy jobs for Minnesota workers, particularly in environmental
justice communities and communities in which fossil fuel electric generating plants are
retiring; and
new text end

new text begin (ii) the principles of environmental justice in the authority's operations and funding
decisions; and
new text end

new text begin (3) maintaining energy reliability while reducing the economic burden of energy costs,
especially on low-income households.
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) "Authority" means the Minnesota Climate Innovation Finance Authority.
new text end

new text begin (c) "Board" means the Minnesota Climate Innovation Finance Authority's board of
directors established in subdivision 10.
new text end

new text begin (d) "Clean energy project" has the meaning given to "qualified project" in paragraph
(m), clauses (1) to (7).
new text end

new text begin (e) "Community navigator" means an organization that works to facilitate access to clean
energy project financing by community groups.
new text end

new text begin (f) "Credit enhancement" means a pool of capital set aside to cover potential losses on
loans and other investments made by financing entities. Credit enhancement includes but
is not limited to loan loss reserves and loan guarantees.
new text end

new text begin (g) "Energy storage system" has the meaning given in section 216B.2422, subdivision
1, paragraph (f).
new text end

new text begin (h) "Environmental justice" means that:
new text end

new text begin (1) communities of color, Indigenous communities, and low-income communities have
a healthy environment and are treated fairly when environmental statutes, rules, and policies
are developed, adopted, implemented, and enforced; and
new text end

new text begin (2) in all decisions that have the potential to affect the environment of an environmental
justice community or the public health of an environmental justice community's residents,
due consideration is given to the history of the area's and the area's residents' cumulative
exposure to pollutants and to any current socioeconomic conditions that increase the physical
sensitivity of the area's residents to additional exposure to pollutants.
new text end

new text begin (i) "Environmental justice community" means a community in Minnesota that, based
on the most recent data published by the United States Census Bureau, meets one or more
of the following criteria:
new text end

new text begin (1) 40 percent or more of the community's total population is nonwhite;
new text end

new text begin (2) 35 percent or more of households in the community have an income that is at or
below 200 percent of the federal poverty level;
new text end

new text begin (3) 40 percent or more of the community's residents over the age of five have limited
English proficiency; or
new text end

new text begin (4) the community is located within Indian country, as defined in United States Code,
title 18, section 1151.
new text end

new text begin (j) "Greenhouse gas emissions" means emissions of carbon dioxide, methane, nitrous
oxide, hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride emitted by
anthropogenic sources.
new text end

new text begin (k) "Loan loss reserve" means a pool of capital set aside to reimburse a private lender
if a customer defaults on a loan, up to an agreed-upon percentage of loans originated by the
private lender.
new text end

new text begin (l) "Microgrid system" means an electrical grid that:
new text end

new text begin (1) serves a discrete geographical area from distributed energy resources; and
new text end

new text begin (2) can operate independently from the central electric grid on a temporary basis.
new text end

new text begin (m) "Project labor agreement" means a prehire collective bargaining agreement with a
council of building and construction trades labor organizations (1) prohibiting strikes,
lockouts, and similar disruptions, and (2) providing for a binding procedure to resolve labor
disputes on the project.
new text end

new text begin (n) "Qualified project" means a project, technology, product, service, or measure
promoting energy efficiency, clean energy, electrification, or water conservation and quality
that:
new text end

new text begin (1) substantially reduces greenhouse gas emissions;
new text end

new text begin (2) reduces energy use without diminishing the level of service;
new text end

new text begin (3) increases the deployment of renewable energy projects, energy storage systems,
district heating, smart grid technologies, or microgrid systems;
new text end

new text begin (4) replaces existing fossil-fuel-based technology with an end-use electric technology;
new text end

new text begin (5) supports the development and deployment of electric vehicle charging stations and
associated infrastructure, electric buses, and electric fleet vehicles;
new text end

new text begin (6) reduces water use or protects, restores, or preserves the quality of surface waters; or
new text end

new text begin (7) incentivizes customers to shift demand in response to changes in the price of electricity
or when system reliability is not jeopardized.
new text end

new text begin (o) "Renewable energy" has the meaning given in section 216B.1691, subdivision 1,
paragraph (c), clauses (1), (2), and (4), and includes fuel cells generated from renewable
energy.
new text end

new text begin (p) "Securitization" means the conversion of an asset composed of individual loans into
marketable securities.
new text end

new text begin (q) "Smart grid" means a digital technology that:
new text end

new text begin (1) allows for two-way communication between a utility and the utility's customers; and
new text end

new text begin (2) enables the utility to control power flow and load in real time.
new text end

new text begin (a) For the purpose of exercising the specific powers granted
in this section, the authority has the general powers granted in this subdivision.
new text end

new text begin (b) The authority may:
new text end

new text begin (1) hire an executive director and staff to conduct the authority's operations;
new text end

new text begin (2) sue and be sued;
new text end

new text begin (3) have a seal and alter the seal;
new text end

new text begin (4) acquire, hold, lease, manage, and dispose of real or personal property for the
authority's corporate purposes;
new text end

new text begin (5) enter into agreements, including cooperative financing agreements, contracts, or
other transactions, with any federal or state agency, county, local unit of government,
regional development commission, person, domestic or foreign partnership, corporation,
association, or organization;
new text end

new text begin (6) acquire by purchase real property, or an interest therein, in the authority's own name
where acquisition is necessary or appropriate;
new text end

new text begin (7) provide general technical and consultative services related to the authority's purpose;
new text end

new text begin (8) promote research and development in matters related to the authority's purpose;
new text end

new text begin (9) analyze greenhouse gas emissions reduction project financing needs in the state and
recommend measures to alleviate any shortage of financing capacity;
new text end

new text begin (10) contract with any governmental or private agency or organization, legal counsel,
financial advisor, investment banker, or others to assist in the exercise of the authority's
powers;
new text end

new text begin (11) enter into agreements with qualified lenders or others insuring or guaranteeing to
the state the payment of qualified loans or other financing instruments; and
new text end

new text begin (12) accept on behalf of the state any gift, grant, or interest in money or personal property
tendered to the state for any purpose pertaining to the authority's activities.
new text end

new text begin (a) The authority must:
new text end

new text begin (1) serve as a financial resource to reduce the upfront and total costs of implementing
qualified projects;
new text end

new text begin (2) ensure that all financed projects reduce greenhouse gas emissions;
new text end

new text begin (3) ensure that financing terms and conditions offered are well-suited to qualified projects;
new text end

new text begin (4) strategically prioritize the use of the authority's funds to leverage private investment
in qualified projects, with the aim of achieving a high ratio of private to public money
invested through funding mechanisms that support, enhance, and complement private lending
and investment;
new text end

new text begin (5) coordinate with existing federal, state, local, utility, and other programs to ensure
that the authority's resources are being used most effectively to add to and complement
those programs;
new text end

new text begin (6) stimulate demand for qualified projects by:
new text end

new text begin (i) contracting with the department's Energy Information Center and community
navigators to provide information to project participants about federal, state, local, utility,
and other authority financial assistance for qualifying projects, and technical information
on energy conservation and renewable energy measures;
new text end

new text begin (ii) forming partnerships with contractors and informing contractors about the authority's
financing programs;
new text end

new text begin (iii) developing innovative marketing strategies to stimulate project owner interest,
especially in underserved communities; and
new text end

new text begin (iv) incentivizing financing entities to increase activity in underserved markets;
new text end

new text begin (7) finance projects in all regions of the state;
new text end

new text begin (8) develop participant eligibility standards and other terms and conditions for financial
support provided by the authority;
new text end

new text begin (9) develop and administer:
new text end

new text begin (i) policies to collect reasonable fees for authority services; and
new text end

new text begin (ii) risk management activities to support ongoing authority activities;
new text end

new text begin (10) develop consumer protection standards governing the authority's investments to
ensure that financial support is provided responsibly and transparently, and is in the financial
interest of participating project owners;
new text end

new text begin (11) develop methods to accurately measure the impact of the authority's activities,
particularly on low-income communities and on greenhouse gas emissions reductions;
new text end

new text begin (12) hire an executive director and sufficient staff with the appropriate skills and
qualifications to carry out the authority's programs, making an affirmative effort to recruit
and hire a director and staff who are from, or share the interests of, the communities the
authority must serve;
new text end

new text begin (13) apply for, either as a direct or subgrantee applicant, and accept Greenhouse Gas
Reduction Fund grants authorized by the federal Clean Air Act, United States Code, title
42, section 7434(a). If the application deadlines for these grants are earlier than is practical
for the authority to meet, the commissioner shall apply on behalf of the authority. In all
cases, applications for these funds by or on behalf of the authority must be coordinated with
all known Minnesota applicants; and
new text end

new text begin (14) ensure that authority contracts with all third-party administrators, contractors, and
subcontractors contain required covenants, representations, and warranties specifying that
contracted third parties are agents of the authority, and that all acts of contracted third parties
are considered acts of the authority, provided that the act is within the contracted scope of
work.
new text end

new text begin (b) The authority may:
new text end

new text begin (1) employ credit enhancement mechanisms that reduce financial risk for financing
entities by providing assurance that a limited portion of a loan or other financial instrument
is assumed by the authority via a loan loss reserve, loan guarantee, or other mechanism;
new text end

new text begin (2) co-invest in a qualified project by providing senior or subordinated debt, equity, or
other mechanisms in conjunction with other investment, co-lending, or financing;
new text end

new text begin (3) aggregate small and geographically dispersed qualified projects in order to diversify
risk or secure additional private investment through securitization or similar resale of the
authority's interest in a completed qualified project;
new text end

new text begin (4) expend up to 25 percent of money appropriated to the authority for start-up purposes,
which may be used for financing programs and project investments authorized under this
section prior to adoption of the strategic plan required under subdivision 7 and the investment
strategy under subdivision 8; and
new text end

new text begin (5) require a specific project to agree to implement a project labor agreement as a
condition of receiving financing from the authority.
new text end

new text begin (a) Before developing a financing program,
the authority must conduct an analysis of the financial market the authority is considering
entering in order to determine the extent to which the market is underserved and to ensure
that the authority's activities supplement, and do not duplicate or supplant, the efforts of
financing entities currently serving the market. The analysis must address the nature and
extent of any barriers or gaps that may be preventing financing entities from adequately
serving the market, and must examine present and projected future efforts of existing
financing entities, federal, state, and local governments, and of utilities and others to serve
the market.
new text end

new text begin (b) In determining whether the authority should enter a market, the authority must
consider:
new text end

new text begin (1) whether serving the market advances the authority's policy goals;
new text end

new text begin (2) the extent to which the market is currently underserved;
new text end

new text begin (3) the unique tools the authority would deploy to overcome existing market barriers or
gaps;
new text end

new text begin (4) how the authority would market the program to potential participants; and
new text end

new text begin (5) potential financing partners and the role financing partners would play in
complementing the authority's activities.
new text end

new text begin (c) Before providing any direct loans to residential borrowers, the authority must issue
a request for information to existing known financing entities, specifying the market need
and the authority's goals in meeting the underserved market segment, and soliciting each
financing entity's:
new text end

new text begin (1) current financing offerings for that specific market;
new text end

new text begin (2) prior efforts to meet that specific market; and
new text end

new text begin (3) plans and capabilities to serve that specific market.
new text end

new text begin (d) The authority may only provide direct loans to residential borrowers if the authority
certifies that no financing entity is currently able to meet the specific underserved market
need and the authority's goals, and that the authority's entry into the market does not supplant
or duplicate any existing financing activities in that specific market.
new text end

new text begin (a)
In determining the projects in which the authority will participate, the authority must give
preference to projects that:
new text end

new text begin (1) maximize the creation of high-quality employment and apprenticeship opportunities
for local workers, consistent with the public interest, especially workers from environmental
justice communities, labor organizations, and Minnesota communities hosting retired or
retiring electric generation facilities, including workers previously employed at retiring
facilities;
new text end

new text begin (2) utilize energy technologies produced domestically that received an advanced
manufacturing tax credit under section 45X of the Internal Revenue Code, as allowed under
the federal Inflation Reduction Act of 2022, Public Law 117-169;
new text end

new text begin (3) certify, for all contractors and subcontractors, that the rights of workers to organize
and unionize are recognized; and
new text end

new text begin (4) agree to implement a project labor agreement.
new text end

new text begin (b) The authority must require, for all projects for which the authority provides financing,
that:
new text end

new text begin (1) if the budget is $100,000 or more, all contractors and subcontractors:
new text end

new text begin (i) must pay no less than the prevailing wage rate, as defined in section 177.42,
subdivision 6; and
new text end

new text begin (ii) are subject to the requirements and enforcement provisions under sections 177.27,
177.30, 177.32, 177.41 to 177.43, and 177.45, including the posting of prevailing wage
rates, prevailing hours of labor, and hourly basic rates of pay for all trades on the project in
at least one conspicuous location at the project site;
new text end

new text begin (2) financing is not offered without first ensuring that the participants meet the authority's
underwriting criteria; and
new text end

new text begin (3) any loan made to a homeowner for a project on the homeowner's residence complies
with section 47.59 and the following federal laws:
new text end

new text begin (i) the Truth in Lending Act, United States Code, title 15, section 1601 et seq.;
new text end

new text begin (ii) the Fair Credit Reporting Act, United States Code, title 15, section 1681;
new text end

new text begin (iii) the Equal Credit Opportunity Act, United States Code, title 15, section 1691 et seq.;
and
new text end

new text begin (iv) the Fair Debt Collection Practices Act, United States Code, title 15, section 1692.
new text end

new text begin (c) The authority and any third-party administrator, contractor, subcontractor, or agent
that conducts lending, financing, investment, marketing, administration, servicing, or
installation of measures in connection with a qualified project financed in whole or in part
with authority funds is subject to sections 325D.43 to 325D.48; 325F.67 to 325F.71; 325G.06
to 325G.14; 325G.29 to 325G.37; and 332.37.
new text end

new text begin (d) For the purposes of this section, "local workers" means Minnesota residents who
permanently reside within 150 miles of the location of a proposed project in which the
authority is considering to participate.
new text end

new text begin (a) By December 15, 2024, and each December 15 in
even-numbered years thereafter, the authority must develop and adopt a strategic plan that
prioritizes the authority's activities over the next two years. A strategic plan must:
new text end

new text begin (1) identify targeted underserved markets for qualified projects in Minnesota;
new text end

new text begin (2) develop specific programs to overcome market impediments through access to
authority financing and technical assistance; and
new text end

new text begin (3) develop outreach and marketing strategies designed to make potential project
developers, participants, and communities aware of financing and technical assistance
available from the authority, including the deployment of community navigators.
new text end

new text begin (b) Elements of the strategic plan must be informed by the authority's analysis of the
market for qualified projects and by the authority's experience under the previous strategic
plan, including the degree to which performance targets were or were not achieved by each
financing program. In addition, the authority must actively seek input regarding activities
that should be included in the strategic plan from stakeholders, environmental justice
communities, the general public, and participants, including via meetings required under
subdivision 9.
new text end

new text begin (c) The authority must establish annual targets in a strategic plan for each financing
program regarding the number of projects, level of authority investments, greenhouse gas
emissions reductions, and installed generating capacity or energy savings the authority
hopes to achieve, including separate targets for authority activities undertaken in
environmental justice communities.
new text end

new text begin (d) The authority's targets and strategies must be designed to ensure that no less than 40
percent of the direct benefits of authority activities flow to environmental justice communities
as defined under subdivision 2, by the United States Department of Energy, or as modified
by the department.
new text end

new text begin (a) No later than December 15, 2024,
and every four years thereafter, the authority must adopt a long-term investment strategy
to ensure the authority's paramount goal to reduce greenhouse gas emissions is reflected in
all of the authority's operations. The investment strategy must address:
new text end

new text begin (1) the types of qualified projects the authority should focus on;
new text end

new text begin (2) gaps in current qualified project financing that present the greatest opportunities for
successful action by the authority;
new text end

new text begin (3) how the authority can best position itself to maximize its impact without displacing,
subsidizing, or assuming risk that should be shared with financing entities;
new text end

new text begin (4) financing tools that will be most effective in achieving the authority's goals;
new text end

new text begin (5) partnerships the authority should establish with other organizations to increase the
likelihood of success; and
new text end

new text begin (6) how values of equity, environmental justice, and geographic balance can be integrated
into all investment operations of the authority.
new text end

new text begin (b) In developing an investment strategy, the authority must consult, at a minimum, with
similar organizations in other states, lending authorities, state agencies, utilities,
environmental and energy policy nonprofits, labor organizations, and other organizations
that can provide valuable advice on the authority's activities.
new text end

new text begin (c) The long-term investment strategy must contain provisions ensuring that:
new text end

new text begin (1) authority investments are not made solely to reduce private risk; and
new text end

new text begin (2) private financing entities do not unilaterally control the terms of investments to which
the authority is a party.
new text end

new text begin (d) The board must submit a draft long-term investment strategy for comment to each
of the groups and individuals the board consults under paragraph (b) and to the chairs and
ranking minority members of the senate and house of representatives committees with
primary jurisdiction over energy finance and policy, and must post the draft strategy on the
authority's website. The authority must accept written comments on the draft strategy for
at least 30 days and must consider the comments in preparing the final long-term investment
strategy.
new text end

new text begin The authority must:
new text end

new text begin (1) maintain a public website that provides information about the authority's operations,
current financing programs, and practices, including rates, terms, and conditions; the number
and amount of investments by project type; the number of jobs created; the financing
application process; and other information;
new text end

new text begin (2) periodically issue an electronic newsletter to stakeholders and the public containing
information on the authority's products, programs, and services and key authority events
and decisions; and
new text end

new text begin (3) hold quarterly meetings accessible online to update the general public on the
authority's activities, report progress being made in regard to the authority's strategic plan
and long-term investment strategy, and invite audience questions regarding authority
programs.
new text end

new text begin (a) The Minnesota Climate Innovation Finance Authority
Board of Directors shall consist of the following 11 members:
new text end

new text begin (1) the commissioner of commerce, or the commissioner's designee;
new text end

new text begin (2) the commissioner of labor and industry, or the commissioner's designee;
new text end

new text begin (3) the commissioner of the Minnesota Pollution Control Agency, or the commissioner's
designee;
new text end

new text begin (4) the commissioner of employment and economic development, or the commissioner's
designee;
new text end

new text begin (5) the chair of the Minnesota Indian Affairs Council, or the chair's designee; and
new text end

new text begin (6) six additional members appointed by the governor, as follows:
new text end

new text begin (i) one member, appointed after the governor consults with labor organizations in the
state, must be a representative of a labor union with experience working on clean energy
projects;
new text end

new text begin (ii) one member with expertise in the impact of climate change on Minnesota
communities, particularly low-income communities;
new text end

new text begin (iii) one member with expertise in financing projects at a community bank, credit union,
community development institution, or local government;
new text end

new text begin (iv) one member with expertise in sustainable development and energy conservation;
new text end

new text begin (v) one member with expertise in environmental justice; and
new text end

new text begin (vi) one member with expertise in investment fund management or financing and
deploying clean energy technologies.
new text end

new text begin (b) At least two members appointed to the board must permanently reside outside the
metropolitan area, as defined in section 473.121, subdivision 2. The board must collectively
reflect the geographic and ethnic diversity of the state.
new text end

new text begin (c) Board members appointed under paragraph (a), clause (6), shall serve a term of four
years.
new text end

new text begin (d) Members appointed to the board must:
new text end

new text begin (1) provide evidence of a commitment to the authority's purposes and goals; and
new text end

new text begin (2) not hold any personal or professional conflicts of interest related to the authority's
activities, including with respect to the member's financial investments and employment or
the financial investments and employment of the member's immediate family members.
new text end

new text begin (e) The authority shall contract with the department to provide administrative and
technical services to the board and to prospective borrowers, especially those serving or
located in environmental justice communities.
new text end

new text begin (f) Compensation of board members, removal of members, and filling of vacancies are
governed by section 15.0575.
new text end

new text begin (g) Board members may be reappointed for up to two full terms.
new text end

new text begin (h) A majority of board members, excluding vacancies, constitutes a quorum for the
purpose of conducting business and exercising powers, and for all other purposes. Action
may be taken by the authority upon a vote of a majority of the quorum present.
new text end

new text begin (i) Board members and officers are not personally liable, either jointly or severally, for
any debt or obligation created or incurred by the authority.
new text end

new text begin Beginning February 1, 2024, the authority must annually
submit a comprehensive report on the authority's activities during the previous year to the
governor and the chairs and ranking minority members of the legislative committees with
primary jurisdiction over energy policy. The report must contain, at a minimum, information
on:
new text end

new text begin (1) the amount of authority capital invested, by project type;
new text end

new text begin (2) the amount of private and public capital leveraged by authority investments, by
project type;
new text end

new text begin (3) the number of qualified projects supported, by project type and location within
Minnesota, including in environmental justice communities;
new text end

new text begin (4) the estimated number of jobs created for local workers and nonlocal workers, the
ratio of projects subject to and exempt from prevailing wage requirements under subdivision
6, paragraph (b), and tax revenue generated as a result of the authority's activities;
new text end

new text begin (5) estimated reductions in greenhouse gas emissions resulting from the authority's
activities;
new text end

new text begin (6) the number of clean energy projects financed in low- and moderate-income
households;
new text end

new text begin (7) a narrative describing the progress made toward the authority's equity, social, and
labor standards goals; and
new text end

new text begin (8) a financial audit conducted by an independent party.
new text end

new text begin This section is effective the day following final enactment.
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) "Eligible applicant" means a person who provides evidence to the commissioner's
satisfaction demonstrating that the person has received or has applied for a heat pump rebate
available from the federal Department of Energy under the Inflation Reduction Act of 2022,
Public Law 117-189.
new text end

new text begin (c) "Heat pump" means a cold climate rated air-source heat pump composed of (1) a
mechanism that heats and cools indoor air by transferring heat from outdoor or indoor air
using a fan, (2) a refrigerant-filled heat exchanger, and (3) an inverter-driven compressor
that varies the pressure of the refrigerant to warm or cool the refrigerant vapor.
new text end

new text begin A residential heat pump rebate program is established in the
department to provide financial assistance to eligible applicants that purchase and install a
heat pump in the applicant's Minnesota residence.
new text end

new text begin (a) An application for a rebate under this section must be made
to the commissioner on a form developed by the commissioner. The application must be
accompanied by documentation, as required by the commissioner, demonstrating that:
new text end

new text begin (1) the applicant is an eligible applicant;
new text end

new text begin (2) the applicant owns the Minnesota residence in which the heat pump is to be installed;
new text end

new text begin (3) the applicant has had an energy audit conducted of the residence in which the heat
pump is to be installed within the last 18 months by a person with a Building Analyst
Technician certification issued by the Building Performance Institute, Inc., or an equivalent
certification, as determined by the commissioner;
new text end

new text begin (4) either:
new text end

new text begin (i) the applicant has installed in the applicant's residence, by a contractor with an Air
Leakage Control Installer certification issued by the Building Performance Institute, Inc.,
or an equivalent certification, as determined by the commissioner, the amount of insulation
and the air sealing measures recommended by the auditor; or
new text end

new text begin (ii) the auditor has otherwise determined that the amount of insulation and air sealing
measures in the residence are sufficient to enable effective heat pump performance;
new text end

new text begin (5) the applicant has purchased a heat pump of the capacity recommended by the auditor
or contractor, and has had the heat pump installed by a contractor with sufficient training
and experience in installing heat pumps, as determined by the commissioner; and
new text end

new text begin (6) the total cost to purchase and install the heat pump in the applicant's residence.
new text end

new text begin (b) The commissioner must develop administrative procedures governing the application
and rebate award processes.
new text end

new text begin A rebate awarded under this section must not exceed the lesser
of:
new text end

new text begin (1) $4,000; or
new text end

new text begin (2) the total cost to purchase and install the heat pump in an eligible applicant's residence
net of the rebate amount received for the heat pump from the federal Department of Energy
under the Inflation Reduction Act of 2022, Public Law 117-189.
new text end

new text begin The commissioner must issue a request for proposals
seeking an entity to serve as an energy coordinator to interact directly with applicants and
potential applicants to:
new text end

new text begin (1) explain the technical aspects of heat pumps, energy audits, and energy conservation
measures, and the energy and financial savings that can result from implementing each;
new text end

new text begin (2) identify federal, state, and utility programs available to homeowners to reduce the
costs of energy audits, energy conservation, and heat pumps;
new text end

new text begin (3) explain the requirements and scheduling of the application process;
new text end

new text begin (4) provide access to certified contractors who can perform energy audits, install
insulation and air sealing measures, and install heat pumps; and
new text end

new text begin (5) conduct outreach to make potential applicants aware of the program.
new text end

new text begin The commissioner must issue a request for
proposals seeking an entity to develop and organize programs to train contractors with
respect to the technical aspects and installation of heat pumps in residences. The training
curriculum must be at a level sufficient to provide contractors who complete training with
the knowledge and skills necessary to install heat pumps to industry best practice standards,
as determined by the commissioner. Training programs must: (1) be accessible in all regions
of the state; and (2) provide mentoring and ongoing support, including continuing education
and financial assistance, to trainees.
new text end

new text begin This section is effective the day following final enactment.
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) "Area median income" means the median income of the geographic area in which a
single-family or multifamily building whose owner is applying for a grant under this section
is located, as reported by the United States Department of Housing and Urban Development.
new text end

new text begin (c) "Electric panel" means a building's electric panel or group of panels, including any
subpanels, consisting of buses and automatic overcurrent devices and equipment with or
without switches for the control of light, heat, or power circuits placed in an enclosure,
cabinet, or cutout box. Electric panel includes a smart panel.
new text end

new text begin (d) "Electrical work" has the meaning given in section 326B.31, subdivision 17.
new text end

new text begin (e) "Eligible applicant" means:
new text end

new text begin (1) an owner of a single-family building whose occupants have an annual household
income no greater than 150 percent of the area median income; or
new text end

new text begin (2) an owner of a multifamily building in which at least 50 percent of the units are
occupied by households whose annual income is no greater than 150 percent of the area
median income.
new text end

new text begin (f) "Multifamily building" means a building containing two or more units.
new text end

new text begin (g) "Smart panel" means an electrical panel that may be electronically programmed to
manage electricity use in a building automatically.
new text end

new text begin (h) "Unit" means a residential living space in a multifamily building occupied by an
individual or a household.
new text end

new text begin (i) "Upgrade" means:
new text end

new text begin (1) for a single-family residence, the installation of equipment, devices, and wiring
necessary to increase an electrical panel's capacity to a total rating of not less than 200
amperes, or to a total rating that allows all the building's energy needs to be provided solely
by electricity, as calculated using the most recent National Electrical Code as adopted in
Minnesota;
new text end

new text begin (2) for a single-family residence, the installation of a smart panel; or
new text end

new text begin (3) for a multifamily building, the installation of equipment, devices, and wiring necessary
to increase the capacity of an electric panel, including feeder panels, to a total rating that
allows all the building's energy needs to be provided solely by electricity, as calculated
using the National Electrical Code as adopted in Minnesota.
new text end

new text begin A residential electric panel upgrade grant program
is established in the Department of Commerce to provide financial assistance to owners of
single-family residences and multifamily buildings to upgrade residential electric panels.
new text end

new text begin An applicant seeking a grant under this section must
submit an application to the commissioner on a form developed by the commissioner. The
commissioner must develop administrative procedures to govern the application and grant
award process. The commissioner may contract with a third party to conduct some or all of
the program's operations.
new text end

new text begin A grant may be awarded under this section to:
new text end

new text begin (1) an eligible applicant; or
new text end

new text begin (2) with the written permission of an eligible applicant submitted to the commissioner,
a contractor performing an upgrade or a third party on behalf of the eligible applicant.
new text end

new text begin (a) Subject to the limits of paragraphs (b) to (d), a grant awarded
under this section may be used to pay 100 percent of the equipment and installation costs
of an upgrade.
new text end

new text begin (b) The commissioner may not award a grant to an eligible applicant under this section
which, in combination with a federal grant awarded to the eligible applicant under the federal
Inflation Reduction Act of 2022, Public Law 117-189, for the same electric panel upgrade,
exceeds 100 percent of the equipment and installation costs of the upgrade.
new text end

new text begin (c) The maximum grant amount under this section that may be awarded to an eligible
applicant who owns a single-family residence is:
new text end

new text begin (1) $3,000 for an owner whose annual household income is less than 80 percent of area
median income; and
new text end

new text begin (2) $2,000 for an owner whose annual household income exceeds 80 percent but is not
greater than 150 percent of area median income.
new text end

new text begin (d) The maximum grant amount that may be awarded under this section to an eligible
applicant who owns a multifamily building is the sum of $5,000, plus $500 multiplied by
the number of units containing a separate electric panel receiving an upgrade in the
multifamily building, not to exceed $50,000 per multifamily building.
new text end

new text begin (e) The commissioner may approve grants over the maximum amounts in paragraphs
(c) and (d) up to 100 percent of the equipment and installation costs of the upgrade if
necessary to complete the upgrade.
new text end

new text begin No more than one grant may be awarded to an owner under this
section for work conducted at the same single-family residence or multifamily building.
new text end

new text begin The department must publicize the availability of grants under this
section to, at a minimum:
new text end

new text begin (1) income-eligible households;
new text end

new text begin (2) community action agencies and other public and private nonprofit organizations that
provide weatherization and other energy services to income-eligible households; and
new text end

new text begin (3) multifamily property owners and property managers.
new text end

new text begin Contractors and subcontractors
performing electrical work under a grant awarded under this section:
new text end

new text begin (1) must comply with the provisions of sections 326B.31 to 326B.399;
new text end

new text begin (2) must certify that the electrical work is performed by a licensed journeyworker
electrician or a registered unlicensed individual under the direct supervision of a licensed
journeyworker electrician or master electrician employed by the same licensed electrical
contractor; and
new text end

new text begin (3) must pay workers the prevailing wage rate, as defined in section 177.42, and are
subject to the requirements and enforcement provisions in sections 177.27, 177.30, 177.32,
177.41 to 177.435, and 177.45.
new text end

new text begin Beginning January 1, 2025, and each January 1 through 2033, the
department must submit a report to the chairs and ranking minority members of the legislative
committees with primary jurisdiction over climate and energy policy describing the activities
and expenditures under the program established in the section. The report must include, at
a minimum:
new text end

new text begin (1) the number of units in multifamily buildings and the number of single-family
residences whose owners received grants;
new text end

new text begin (2) the geographic distribution of grant recipients; and
new text end

new text begin (3) the average amount of grants awarded per building in multifamily buildings and in
single-family residences.
new text end

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

new text begin Within 180 days of the effective date of this section, the Public Utilities Commission
must issue an order addressing the requirements of Minnesota Statutes, section 216B.1641,
as amended by this act.
new text end

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

new text begin (a) The commissioner of commerce must conduct a
study evaluating the potential costs, benefits, and impacts of advanced nuclear technology
reactor power generation in Minnesota.
new text end

new text begin (b) At a minimum, the study must address the potential costs, benefits, and impacts of
advanced nuclear technology reactor power generation on:
new text end

new text begin (1) Minnesota's greenhouse gas emissions reduction goals under the Next Generation
Energy Act, Laws 2007, chapter 136;
new text end

new text begin (2) system costs for ratepayers;
new text end

new text begin (3) system reliability;
new text end

new text begin (4) the environment;
new text end

new text begin (5) local jobs;
new text end

new text begin (6) local economic development;
new text end

new text begin (7) Minnesota's eligible energy technology standard under Minnesota Statutes, section
216B.1691, subdivision 2a; and
new text end

new text begin (8) Minnesota's carbon-free standard under Minnesota Statutes, section 216B.1691,
subdivision 2g.
new text end

new text begin (c) The study must also evaluate:
new text end

new text begin (1) current Minnesota statutes and administrative rules that would require modifications
in order to enable the construction and operation of advanced nuclear reactors;
new text end

new text begin (2) the economic feasibility of replacing coal-fired boilers with advanced nuclear reactors,
while accounting for the avoided costs that result from the closure of coal-fired plants; and
new text end

new text begin (3) the technologies and methods most likely to minimize the environmental impacts of
nuclear waste and the costs of managing nuclear waste.
new text end

new text begin The commissioner of commerce must submit the results of the study
under subdivision 1 to the chairs and ranking minority members of the legislative committees
having jurisdiction over energy finance and policy no later than January 31, 2025.
new text end

new text begin (a) The Department of Commerce must provide technical support and subject matter
expertise to assist and help facilitate any efforts taken by the 11 federally recognized Indian
Tribes in Minnesota to establish a Tribal advocacy council on energy.
new text end

new text begin (b) When providing support to a Tribal advocacy council on energy, the Department of
Commerce may assist the council to:
new text end

new text begin (1) assess and evaluate common Tribal energy issues, including (i) identifying and
prioritizing energy issues, (ii) facilitating idea sharing between the Tribes to generate
solutions to energy issues, and (iii) assisting decision making with respect to resolving
energy issues;
new text end

new text begin (2) develop new statewide energy policies or proposed legislation, including (i) organizing
stakeholder meetings, (ii) gathering input and other relevant information, (iii) assisting with
policy proposal development, evaluation, and decision making, and (iv) helping facilitate
actions taken to submit, and obtain approval for or have enacted, policies or legislation
approved by the council;
new text end

new text begin (3) make efforts to raise awareness and provide educational opportunities with respect
to Tribal energy issues by (i) identifying information resources, (ii) gathering feedback on
issues and topics the council identifies as areas of interest, and (iii) identifying topics for
educational forums and helping facilitate the forum process; and
new text end

new text begin (4) identify, evaluate, and disseminate successful energy-related practices, and develop
mechanisms or opportunities to implement the successful practices.
new text end

new text begin (c) Nothing in this section requires or otherwise obligates the 11 federally recognized
Indian Tribes in Minnesota to establish a Tribal advocacy council on energy, nor does it
require or obligate any one of the 11 federally recognized Indian Tribes in Minnesota to
participate in or implement a decision or support an effort made by an established Tribal
advocacy council on energy.
new text end

new text begin (d) Any support provided by the Department of Commerce to a Tribal advocacy council
on energy under this section may be provided only upon request of the council and is limited
to issues and areas where the Department of Commerce's expertise and assistance is
requested.
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) "Commissioner" means the commissioner of commerce.
new text end

new text begin (c) "Department" means the Department of Commerce.
new text end

new text begin (d) "Consumer-owned utility" has the meaning given in Minnesota Statutes, section
216B.2402, subdivision 2.
new text end

new text begin Grants may be awarded under this section to consumer-owned
utilities or associated trade associations, or to generation and transmission cooperative
electric associations, municipal power agencies, or power districts serving one or more
consumer-owned utilities, for projects that:
new text end

new text begin (1) develop or improve distributed energy resources in the state;
new text end

new text begin (2) demonstrate the project helps provide flexibility to electric utilities or consumers,
lead to lower rates, provide environmental benefits, or increase the resilience of an electric
grid;
new text end

new text begin (3) are power generation or storage resources located near load centers; or
new text end

new text begin (4) develop programs to enhance the safety of personnel performing duties exposing the
personnel to potential electrical hazards, including power system restoration, by incorporating
whole person safety concepts into safety programs.
new text end

new text begin (a) An entity seeking a grant award under
subdivision 2 must submit an application to the commissioner on a form prescribed by the
commissioner. The commissioner is responsible for receiving and reviewing grant
applications and awarding grants under this subdivision, and must develop administrative
procedures governing the application, evaluation, and award process. In awarding grants
under this subdivision, the commissioner must endeavor to make awards assisting entities
from all regions of the state. The maximum grant award for each entity awarded a grant
under this subdivision is $250,000.
new text end

new text begin (b) The department must provide technical assistance to applicants.
new text end

new text begin Beginning February 15, 2024, and each February 15 thereafter until
the appropriation under article 1, section 2, subdivision 2, paragraph (y), has been expended,
the commissioner must submit a written report to the chairs and ranking minority members
of the legislative committees with jurisdiction over energy policy and finance on the activities
taken and expenditures made under this section. The report must, at a minimum, include
each grant awarded in the most recent calendar year and the remaining balance of the
appropriation under this section.
new text end

new text begin (a) The initial appointments made under Minnesota Statutes, section 216C.441,
subdivision 10, paragraph (a), clause (6), items (i) to (iii), shall be for two-year terms, and
the initial appointments made under Minnesota Statutes, section 216C.441, subdivision 10,
paragraph (a), clause (6), items (iv) to (vi), shall be for three-year terms.
new text end

new text begin (b) The governor must make the appointments required under this section no later than
July 30, 2023.
new text end

new text begin (c) The initial meeting of the board of directors must be held no later than September
15, 2023. At the initial meeting, the board shall elect a chair and vice-chair by majority vote
of the members present.
new text end

new text begin (a) A grant under this section to a cooperative to invest in green fertilizer production
facilities must include a long-term agreement to purchase nitrogen fertilizer for cooperative
members. Renewable energy, hydrogen, and ammonia may be produced elsewhere, but the
final production of nitrogen fertilizer must occur within Minnesota.
new text end

new text begin (b) For purposes of this section:
new text end

new text begin (1) "cooperative" includes an agricultural or rural electric cooperative organized under
Minnesota Statutes, chapter 308A or 308B;
new text end

new text begin (2) "green fertilizer production facilities" means facilities that use renewable energy to
produce anhydrous ammonia, urea, or hydrogen;
new text end

new text begin (3) "green hydrogen" means hydrogen produced by splitting water molecules using:
new text end

new text begin (i) grid-based electrolyzers that have matched their electricity consumption with wind
or solar; or
new text end

new text begin (ii) electrolyzers connected directly to a wind or solar facility; and
new text end

new text begin (4) "green fertilizer" means a nitrogen-based fertilizer produced from green hydrogen.
new text end

new text begin (c) The commissioner of agriculture must develop criteria and scoring procedures for
evaluating and awarding grants. The maximum grant award for a cooperative is $7,000,000.
new text end

new text begin (d) Up to five percent of the amount in paragraph (a) may be used by the Department
of Agriculture to administer this section.
new text end

new text begin (e) By December 15 each year, the commissioner of agriculture must report to the chairs
and ranking minority members of the legislative committees with jurisdiction over agriculture
to provide an update on the progress of projects funded by this program. Each report must
include how much of the amount appropriated has been used, including the amount used
for administration. The commissioner may include additional information of interest or
relevance to the legislature. This paragraph expires December 31, 2031.
new text end

new text begin (f) By December 15, 2032, the commissioner of agriculture must complete a final report
to the chairs and ranking minority members of the legislative committees with jurisdiction
over agriculture regarding the uses and impacts of this program. The final report must
include a list of the grants awarded, the amount of the appropriation used for administration,
the amount of green fertilizer produced, and a summary of the economic and environmental
impacts of this production compared to the production and purchase of conventionally
produced fertilizer. The commissioner of agriculture may include additional information
of interest or relevance to the legislature. This paragraph expires December 31, 2032.
new text end

new text begin Minnesota Statutes 2022, sections 16B.24, subdivision 13; and 216B.16, subdivision
10, new text end new text begin are repealed.
new text end

new text begin Appropriations by Fund new text end
	new text begin 2024 new text end	new text begin 2025 new text end
new text begin General new text end	new text begin 105,344,000 new text end	new text begin 34,443,000 new text end
new text begin Petroleum Tank new text end	new text begin 1,076,000 new text end	new text begin 1,097,000 new text end

new text begin APPROPRIATIONS
new text end

new text begin Available for the Year
new text end

new text begin Ending June 30
new text end

new text begin 2024
new text end

new text begin 2025
new text end