1.1                          A bill for an act 
  1.2             relating to motor fuels; changing technical 
  1.3             specifications for petroleum products; amending 
  1.4             Minnesota Statutes 2000, section 239.761. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  Minnesota Statutes 2000, section 239.761, is 
  1.7   amended to read: 
  1.8      239.761 [PETROLEUM PRODUCT SPECIFICATIONS.] 
  1.9      Subdivision 1.  [APPLICABILITY.] A person responsible for 
  1.10  the product must meet the specifications in this section.  The 
  1.11  specifications apply to petroleum products processed, held, 
  1.12  stored, imported, transferred, distributed, offered for 
  1.13  distribution, offered for sale or use, or sold in Minnesota. 
  1.14     Subd. 2.  [COORDINATION WITH DEPARTMENTS OF REVENUE AND 
  1.15  AGRICULTURE.] The petroleum product specifications in this 
  1.16  section are intended to match the definitions and specifications 
  1.17  in sections 41A.09 and 296A.01.  Petroleum products named in 
  1.18  this section are defined in section 296A.01. 
  1.19     Subd. 3.  [GASOLINE.] (a) Gasoline that is not blended with 
  1.20  ethanol must not be contaminated with water or other impurities 
  1.21  and must comply with ASTM specification ~~D 4814-96~~ D4814-00.  
  1.22  Gasoline that is not blended with ethanol must also comply with 
  1.23  the volatility requirements in Code of Federal Regulations, 
  1.24  title 40, part 80.  
  1.25     (b) After gasoline is sold, transferred, or otherwise 
  2.1   removed from a refinery or terminal, a person responsible for 
  2.2   the product: 
  2.3      (1) may blend the gasoline with agriculturally derived 
  2.4   ethanol as provided in subdivision 4; 
  2.5      (2) shall not blend the gasoline with any oxygenate other 
  2.6   than denatured, agriculturally derived ethanol; 
  2.7      (3) shall not blend the gasoline with other petroleum 
  2.8   products that are not gasoline or denatured, agriculturally 
  2.9   derived ethanol; 
  2.10     (4) shall not blend the gasoline with products commonly and 
  2.11  commercially known as casinghead gasoline, absorption gasoline, 
  2.12  condensation gasoline, drip gasoline, or natural gasoline; and 
  2.13     (5) may blend the gasoline with a detergent additive, an 
  2.14  antiknock additive, or an additive designed to replace 
  2.15  tetra-ethyl lead, that is registered by the EPA. 
  2.16     Subd. 4.  [GASOLINE BLENDED WITH ETHANOL.] (a) Gasoline may 
  2.17  be blended with up to ten percent, by volume, agriculturally 
  2.18  derived, denatured ethanol that complies with the requirements 
  2.19  of subdivision 5.  
  2.20     (b) A gasoline-ethanol blend must: 
  2.21     (1) comply with the volatility requirements in Code of 
  2.22  Federal Regulations, title 40, part 80; 
  2.23     (2) comply with ASTM specification ~~D 4814-96~~ D4814-00, or 
  2.24  the gasoline base stock from which a gasoline-ethanol blend was 
  2.25  produced must comply with ASTM specification ~~D 4814-96~~ D4814-00; 
  2.26  and 
  2.27     (3) not be blended with casinghead gasoline, absorption 
  2.28  gasoline, condensation gasoline, drip gasoline, or natural 
  2.29  gasoline after the gasoline-ethanol blend has been sold, 
  2.30  transferred, or otherwise removed from a refinery or terminal. 
  2.31     Subd. 5.  [DENATURED ETHANOL.] Denatured ethanol that is to 
  2.32  be blended with gasoline must be agriculturally derived and must 
  2.33  comply with ASTM specification ~~D 4806-95b~~ D4806-99.  This 
  2.34  includes the requirement that ethanol may be denatured only as 
  2.35  specified in Code of Federal Regulations, title 27, parts 20 and 
  2.36  21. 
  3.1      Subd. 6.  [GASOLINE BLENDED WITH OXYGENATE.] (a) A person 
  3.2   responsible for the product shall comply with the following 
  3.3   requirements: 
  3.4      (1) after July 1, 2000, gasoline containing in excess of 
  3.5   one-third of one percent, in total, of the oxygenates listed in 
  3.6   paragraph (b) may not be sold or offered for sale at any time in 
  3.7   this state; and 
  3.8      (2) after July 1, 2005, gasoline containing any of the 
  3.9   oxygenates listed in paragraph (b) may not be sold or offered 
  3.10  for sale in this state. 
  3.11     (b) The oxygenates prohibited under paragraph (a) are: 
  3.12     (1) methyl tertiary butyl ether, as defined in section 
  3.13  296A.01, subdivision 34; 
  3.14     (2) ethyl tertiary butyl ether, as defined in section 
  3.15  296A.01, subdivision 18; or 
  3.16     (3) tertiary amyl methyl ether. 
  3.17     (c) Gasoline that is blended with an oxygenate, other than 
  3.18  denatured ethanol, must comply with ASTM specification ~~D 4814-96~~ 
  3.19  D4814-00.  Oxygenates, other than denatured ethanol, must not be 
  3.20  blended into gasoline after the gasoline has been sold, 
  3.21  transferred, or otherwise removed from a refinery or terminal. 
  3.22     Subd. 7.  [HEATING FUEL OIL.] Heating fuel oil must comply 
  3.23  with ASTM specification ~~D 396-96~~ D396-98. 
  3.24     Subd. 8.  [DIESEL FUEL OIL.] Diesel fuel oil must comply 
  3.25  with ASTM specification ~~D 975-96a~~ D975-98b. 
  3.26     Subd. 9.  [KEROSENE.] Kerosene must comply with ASTM 
  3.27  specification ~~D 3699-96a~~ D3699-98. 
  3.28     Subd. 10.  [AVIATION GASOLINE.] Aviation gasoline must 
  3.29  comply with ASTM specification ~~D 910-96~~ D910-99. 
  3.30     Subd. 11.  [AVIATION TURBINE FUEL, JET FUEL.] Aviation 
  3.31  turbine fuel and jet fuel must comply with ASTM specification ~~D~~ 
  3.32  ~~1655-96c~~ D1655-00a. 
  3.33     Subd. 12.  [GAS TURBINE FUEL OIL.] Fuel oil for use in 
  3.34  nonaviation gas turbine engines must comply with ASTM 
  3.35  specification ~~D 2880-96a~~ D2880-98. 
  3.36     Subd. 13.  [E85.] A blend of ethanol and gasoline, 
  4.1   containing at least 60 percent ethanol and not more than 85 
  4.2   percent ethanol, produced for use as a motor fuel in alternative 
  4.3   fuel vehicles as defined in section 296A.01, subdivision 5, must 
  4.4   comply with ASTM specification ~~D 5798-96~~ D5798-99. 
  4.5      Subd. 14.  [M85.] A blend of methanol and gasoline, 
  4.6   containing at least 85 percent methanol, produced for use as a 
  4.7   motor fuel in alternative fuel vehicles as defined in section 
  4.8   296A.01, subdivision 5, must comply with ASTM specification 
  4.9   D5797-96.