SF 3061

2nd Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to environment; modifying Petrofund program; amending Minnesota
Statutes 2006, sections 115C.04, subdivision 3; 115C.09, subdivision 3h, by
adding a subdivision; repealing Minnesota Statutes 2006, section 115C.09,
subdivision 3j.

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

Section 1.

Minnesota Statutes 2006, section 115C.04, subdivision 3, is amended to read:

Subd. 3.

deleted text begin Agency deleted text end Cost recovery; subrogation.

Reasonable and necessary expenses
incurred by the agency in taking a corrective action, including costs of investigating
a release, administrative and legal expenses, and reimbursement costs described in
subdivision 1, paragraph (b), may be recovered in a civil action in district court brought by
the attorney general new text begin on behalf of the board new text end against a responsible person. The agency's
certification of expenses is prima facie evidence that the expenses are reasonable and
necessary. If the responsible person has petroleum tank leakage or spill insurance
coverage that insures against the liability provided in this section, the deleted text begin agency deleted text end new text begin board new text end is
subrogated to the rights of the responsible person with respect to that insurance coverage,
to the extent of the expenses incurred by the agency and described in this subdivision.
The deleted text begin agency deleted text end new text begin board new text end may request the attorney general to bring an action in district court
against the insurer to enforce this subrogation right. Expenses that are recovered under
this section must be deposited in the fund.

Sec. 2.

Minnesota Statutes 2006, section 115C.09, subdivision 3h, is amended to read:

Subd. 3h.

Reimbursement; aboveground tanks in bulk plants.

(a) As used in
this subdivision, "bulk plant" means an aboveground or underground tank facility with a
storage capacity of more than 1,100 gallons but less than 1,000,000 gallons that is used to
dispense petroleum into cargo tanks for transportation and sale at another location.

(b) deleted text begin Notwithstanding any other provision in this chapter and any rules adopted
pursuant to this chapter, the board shall reimburse 90 percent of an applicant's cost for bulk
plant upgrades or closures completed between June 1, 1998, and November 1, 2003, to
comply with Minnesota Rules, chapter 7151, provided that the board determines the costs
were incurred and reasonable. The reimbursement may not exceed $10,000 per bulk plant.
The board may provide reimbursement under this paragraph for work completed after
November 1, 2003, if the work was contracted for prior to that date and was not completed
by that date as a result of an unanticipated situation, provided that an application for
reimbursement under this paragraph, which may be a renewal of an application previously
denied, is submitted prior to December 31, 2005.
deleted text end

deleted text begin (c) deleted text end For corrective action at a bulk plant located on what is or was railroad
right-of-way, the board shall reimburse 90 percent of total reimbursable costs on the first
$40,000 of reimbursable costs and 100 percent of any remaining reimbursable costs when
the applicant can document that more than one bulk plant was operated on the same
section of right-of-way, as determined by the commissioner of commerce.

Sec. 3.

Minnesota Statutes 2006, section 115C.09, is amended by adding a subdivision
to read:

new text begin Subd. 3k. new text end

new text begin PVC piping at residential locations. new text end

new text begin (a) As used in this subdivision:
new text end

new text begin (1) "residential locations" means a storage tank and appurtenances for heating oil
that are used to heat a single-family residence; and
new text end

new text begin (2) "qualified person" means someone who is registered as a contractor under section
115C.11 and, as part of their trade or business, installs or repairs nonpressure piping,
heating systems, air conditioning systems, or storage tank systems.
new text end

new text begin (b) Notwithstanding any other provision of this chapter or any rules adopted under
this chapter, the board shall reimburse a qualified person 90 percent of the cost for
replacing PVC piping with metal piping at residential locations between May 1, 2008,
and September 1, 2011, provided that the board determines the costs were incurred and
reasonable. The reimbursement may not exceed $250 per residential location. The
maximum expenditure from the fund may not exceed $1,500,000.
new text end

new text begin (c) A heating oil vendor is not a responsible person for a heating oil spill inside a
residential location if the spill was caused solely by the failure of a tank or appurtenance
to a tank owned by the homeowner.
new text end

Sec. 4. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2006, section 115C.09, subdivision 3j, new text end new text begin is repealed.
new text end