Minnesota Session Laws - 1997, Regular Session

                            CHAPTER 121-S.F.No. 156 
                  An act relating to consumer protection; regulating 
                  interest payments on utility deposits; amending 
                  Minnesota Statutes 1996, section 325E.02. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1996, section 325E.02, is 
        amended to read: 
           325E.02 [CUSTOMER DEPOSITS.] 
           Any customer deposit required before commencement of 
        service by a privately or publicly owned water, gas, telephone, 
        cable television, electric light, heat, or power company shall 
        be subject to the following: 
           (a) Upon termination of service with all bills paid, the 
        deposit shall be returned to the customer within 45 days, less 
        any deductions made in accordance with paragraph (c).  
           (b) Interest shall be paid on deposits in excess of $20 at 
        the rate of six not less than three percent per year.  The 
        company may, at its option, pay the interest at intervals it 
        chooses but at least annually, by direct payment, or as a credit 
        on bills.  
           (c) At the time the deposit is made the company shall 
        furnish the customer with a written receipt specifying the 
        conditions, if any, the deposit will be diminished upon return.  
           (d) Advance payments or prepayments shall not be construed 
        as being a deposit.  
           Sec. 2.  [EFFECTIVE DATE.] 
           Section 1 applies to the calculation of interest on and 
        after August 1, 1996, on deposits held or received on or after 
        that date. 
           Presented to the governor May 7, 1997 
           Signed by the governor May 8, 1997, 11:34 a.m.