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Key: (1) language to be deleted (2) new language

                            CHAPTER 616-S.F.No. 2540 
                  An act relating to utilities; classifying and 
                  requiring information on applications for the 
                  municipal energy conservation investment loan program; 
                  authorizing fee to fund enhanced 911 emergency 
                  telephone service; appropriating money; amending 
                  Minnesota Statutes 1992, sections 13.99, by adding a 
                  subdivision; 216C.37, subdivision 3, and by adding 
                  subdivisions; 403.02, by adding a subdivision; 403.11, 
                  subdivisions 1 and 4; Minnesota Statutes 1993 
                  Supplement, section 216C.37, subdivision 1; proposing 
                  coding for new law in Minnesota Statutes, chapter 403; 
                  repealing Minnesota Statutes 1992, section 216C.37, 
                  subdivision 8. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1992, section 13.99, is 
        amended by adding a subdivision to read: 
           Subd. 65b.  [ENERGY CONSERVATION INVESTMENT LOANS.] Data 
        contained in applications for energy conservation investment 
        loans, including supporting technical documentation, is governed 
        by section 216C.37, subdivisions 3a and 3b. 
           Sec. 2.  Minnesota Statutes 1993 Supplement, section 
        216C.37, subdivision 1, is amended to read: 
           Subdivision 1.  [DEFINITIONS.] In this section:  
           (a) "Commissioner" means the commissioner of public service.
           (b) "Maxi-audit" means a detailed engineering analysis of 
        energy-saving improvements to existing buildings or stationary 
        energy-using systems, including (1) modifications to building 
        structures; (2) heating, ventilating, and air conditioning 
        systems; (3) operation practices; (4) lighting; and (5) other 
        factors that relate to energy use.  The primary purpose of the 
        engineering analysis is to quantify the economic and engineering 
        feasibility of energy-saving improvements that require capital 
        expenditures or major operational modifications.  
           (c) "Energy conservation investments" means all capital 
        expenditures that are associated with conservation measures 
        identified in a maxi-audit or an energy project study, and that 
        have a ten-year or less payback period.  
           (d) (c) "Municipality" means any county, statutory or home 
        rule charter city, town, school district, or any combination of 
        those units operating under an agreement to jointly undertake 
        projects authorized in this section.  
           (e) (d) "Energy project study" means a study of one or more 
        energy-related capital improvement projects analyzed in 
        sufficient detail to support a financing application.  At a 
        minimum, it must include one year of energy consumption and cost 
        data, a description of existing conditions, a description of 
        proposed conditions, a detailed description of the costs of the 
        project, and calculations sufficient to document the proposed 
        energy savings. 
           Sec. 3.  Minnesota Statutes 1992, section 216C.37, 
        subdivision 3, is amended to read: 
           Subd. 3.  [APPLICATION.] Application for a loan to be made 
        pursuant to this section shall be made by a municipality to the 
        commissioner on a form the commissioner prescribes by rule.  The 
        commissioner shall review each application to determine:  
           (a) whether or not the municipality's proposal is complete; 
           (b) whether the calculations and estimates contained in the 
        energy project study are appropriate, accurate, and reasonable; 
           (c) whether the project is eligible for a loan; 
           (c) (d) the amount of the loan for which the project is 
        eligible; and 
           (d) (e) the means by which the municipality proposes to 
        finance the project including:  
           (1) a loan authorized by this section; 
           (2) a grant of money appropriated by state law; 
           (3) a grant to the municipality by an agency of the federal 
        government within the amount of money then appropriated to that 
        agency; or 
           (4) the appropriation of other money of the municipality to 
        an account for the construction of the project.  
           Sec. 4.  Minnesota Statutes 1992, section 216C.37, is 
        amended by adding a subdivision to read: 
           Subd. 3a.  [ADDITIONAL INFORMATION.] During application 
        review, the commissioner may request additional information 
        about a proposed energy conservation investment, including 
        information on project cost.  Failure to provide information 
        requested disqualifies a loan applicant. 
           Sec. 5.  Minnesota Statutes 1992, section 216C.37, is 
        amended by adding a subdivision to read: 
           Subd. 3b.  [PUBLIC ACCESSIBILITY OF LOAN APPLICATION DATA.] 
        Data contained in an application submitted to the commissioner 
        for a loan to be made pursuant to this section, including 
        supporting technical documentation, is classified as "public 
        data not on individuals" under section 13.02, subdivision 14. 
           Sec. 6.  Minnesota Statutes 1992, section 403.02, is 
        amended by adding a subdivision to read: 
           Subd. 9.  [ENHANCED 911 SERVICE.] "Enhanced 911 Service" 
        means the use of selective routing, automatic location 
        identification, or local location identification as part of 
        local 911 service. 
           Sec. 7.  Minnesota Statutes 1992, section 403.11, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [EMERGENCY TELEPHONE SERVICE FEE.] (a) Each 
        customer of a local exchange telephone company or communications 
        carrier that provides service capable of originating a 911 
        emergency telephone call is assessed a fee to cover the costs of 
        ongoing maintenance and related improvements for trunking and 
        central office switching equipment for minimum 911 emergency 
        telephone service, plus administrative and staffing costs of the 
        department of administration related to managing the 911 
        emergency telephone service program.  Recurring charges by a 
        public utility providing telephone service for updating the 
        information required by section 403.07, subdivision 3, must be 
        paid by the commissioner for information if the utility is 
        included in an approved 911 plan and the charges have been 
        certified and approved under subdivision 3.  
           (b) The fee may not be less than eight cents nor more than 
        30 cents a month for each customer access line or other basic 
        access service, including trunk equivalents as designated by the 
        public utilities commission for access charge purposes and 
        including cellular and other nonwire access services.  The fee 
        must be the same for all customers.  
           (c) The fee must be collected by each utility providing 
        local exchange telephone service company or carrier providing 
        service subject to the fee.  Fees are payable to and must be 
        submitted to the commissioner of administration monthly before 
        the 25th of each month following the month of collection, except 
        that fees may be submitted quarterly if less than $250 a month 
        is due, or annually if less than $25 a month is due.  Receipts 
        must be deposited in the state treasury and credited to a 911 
        emergency telephone service account in the special revenue 
        fund.  The money in the account may only be used for 911 
        telephone services as provided in paragraph (a).  
           (d) The commissioner of administration, with the approval 
        of the commissioner of finance, shall establish the amount of 
        the fee within the limits specified and inform the utilities 
        companies and carriers of the amount to be collected.  Utilities 
        Companies and carriers must be given a minimum of 45 days notice 
        of fee changes. 
           (e) This subdivision does not apply to customers of a 
        telecommunications carrier as defined in section 237.01, 
        subdivision 6. 
           Sec. 8.  Minnesota Statutes 1992, section 403.11, 
        subdivision 4, is amended to read: 
           Subd. 4.  [LOCAL RECURRING COSTS.] Recurring costs of 
        telephone communications equipment and services at public safety 
        answering points shall be borne by the local governmental unit 
        operating the public safety answering point or allocated 
        pursuant to section 403.10, subdivision 3.  Costs attributable 
        to local government electives for services beyond minimum 911 
        service not otherwise addressed under section 403.113 shall be 
        borne by the governmental unit requesting the elective service. 
           Sec. 9.  [403.113] [ENHANCED 911 SERVICE COSTS.] 
           Subdivision 1.  [ENHANCED 911 SERVICE FEE.] (a) In addition 
        to the actual fee assessed under section 403.11, each customer 
        receiving local telephone service, excluding cellular or other 
        nonwire service, is assessed a fee to fund implementation and 
        maintenance of enhanced 911 service, including acquisition of 
        necessary equipment and the costs of the department of 
        administration to administer the program.  The actual fee 
        assessed under section 403.11 and the enhanced 911 service fee 
        must be collected as one amount and may not exceed the amount 
        specified in section 403.11, subdivision 1, paragraph (b). 
           (b) The enhanced 911 service fee must be collected and 
        deposited in the same manner as the fee in section 403.11 and 
        used solely for the purposes of paragraph (a) and subdivision 3. 
           (c) The commissioner of the department of administration, 
        in consultation with counties and 911 system users, shall 
        determine the amount of the enhanced 911 service fee and inform 
        telephone companies of the total amount of the 911 service fees 
        in the same manner as provided in section 403.11. 
           Subd. 2.  [ENHANCED 911 SERVICE; DISTRIBUTION OF 
        MONEY.] (a) After payment of the costs of the department of 
        administration to administer the program, the commissioner shall 
        distribute the money collected under this section as follows: 
           (1) one-half of the amount equally to all qualified 
        counties; and 
           (2) the remaining one-half to qualified counties and cities 
        with existing 911 systems based on each county's or city's 
        percentage of the total population of qualified counties and 
        cities.  The population of a qualified city with an existing 
        system must be deducted from its county's population when 
        calculating the county's share under this clause if the city 
        seeks direct distribution of its share. 
           (b) A county's share under subdivision 1 must be shared pro 
        rata between the county and existing city systems in the 
        county.  A county or city shall deposit money received under 
        this subdivision in an interest-bearing fund or account separate 
        from the county's or city's general fund and may use money in 
        the fund or account only for the purposes specified in 
        subdivision 3. 
           (c) For the purposes of this subdivision, a county or city 
        is qualified to share in the distribution of money for enhanced 
        911 service if the county auditor certifies to the commissioner 
        of administration the amount of the county's or city's levy for 
        the cost of providing enhanced 911 service for taxes payable in 
        the year in which money for enhanced 911 service will be 
        distributed.  The commissioner may not distribute money to a 
        county or city in an amount greater than twice the amount of the 
        county's or city's certified levy.  A county or city is not 
        qualified to share in the distribution of money for enhanced 911 
        service if, in addition to the levy required under this 
        paragraph, it has not implemented enhanced 911 service before 
        December 31, 1998. 
           (d) For the purposes of this subdivision, "existing city 
        system" means a city 911 system that provides at least basic 911 
        service and that was implemented on or before April 1, 1993.  
           Subd. 3.  [LOCAL EXPENDITURES.] (a) Money distributed to 
        counties or an existing city system for enhanced 911 service may 
        be spent on enhanced 911 system costs for the purposes stated in 
        subdivision 1, paragraph (a).  In addition, money may be spent 
        to lease, purchase, lease-purchase, or maintain enhanced 911 
        equipment, including telephone equipment; recording equipment; 
        computer hardware; computer software for data base provisioning, 
        addressing, mapping, and any other software necessary for 
        automatic location identification or local location 
        identification; trunk lines; selective routing equipment; the 
        master street address guide; dispatcher public safety answering 
        point equipment proficiency and operational skills; and the 
        equipment necessary within the public safety answering point to 
        notify and communicate with the emergency services requested by 
        the 911 caller. 
           (b) Money distributed for enhanced 911 service may not be 
        spent on: 
           (1) purchasing or leasing of real estate or cosmetic 
        additions to or remodeling of communications centers; 
           (2) mobile communications vehicles, fire engines, 
        ambulances, law enforcement vehicles, or other emergency 
        vehicles; 
           (3) signs, posts, or other markers related to addressing or 
        any costs associated with the installation or maintenance of 
        signs, posts, or markers. 
           Subd. 4.  [AUDITS.] Each county and city shall conduct an 
        annual audit on the use of funds distributed to it for enhanced 
        911 service.  A copy of each audit report must be submitted to 
        the commissioner of administration. 
           Subd. 5.  [FEE REVIEW.] By January 1, 1999, the 
        commissioner of administration, in consultation with counties 
        and 911 service users, shall review funding requirements for 
        enhanced 911 system costs. 
           Sec. 10.  [INTERIM FEE AND DISTRIBUTION.] 
           Until January 1, 1996, the enhanced 911 service fee is ten 
        cents per month in addition to the fee actually collected under 
        Minnesota Statutes 1992, section 403.11, subdivision 1.  The 
        additional fee is imposed effective January 1, 1995.  
        Distribution of the revenue from the fee under Minnesota 
        Statutes, section 403.113, subdivision 2, must begin March 1, 
        1995.  The commissioner of the department of administration 
        shall determine the amount of the additional enhanced 911 
        service fee to be in effect beginning January 1, 1996, under 
        Minnesota Statutes, section 403.113. 
           Sec. 11.  [APPROPRIATION.] 
           $1,500,000 is appropriated to the commissioner of 
        administration in fiscal year 1995 from the special revenue fund 
        for purposes of implementing enhanced 911 telephone service as 
        required in this act. 
           Sec. 12.  [REPEALER.] 
           Minnesota Statutes 1992, section 216C.37, subdivision 8, is 
        repealed. 
           Presented to the governor May 6, 1994 
           Signed by the governor May 10, 1994, 5:40 p.m.

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Revisor of Statutes