1.1                          A bill for an act 
  1.2             relating to taxation; exempting machinery and other 
  1.3             personal property of a biomass electrical generating 
  1.4             facility from the property tax; amending Minnesota 
  1.5             Statutes 2000, section 272.02, by adding a subdivision.
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2000, section 272.02, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 45.  [POULTRY LITTER BIOMASS GENERATION FACILITY 
  1.10  PERSONAL PROPERTY.] Notwithstanding subdivision 9, clause (a), 
  1.11  attached machinery and other personal property which is part of 
  1.12  an electrical generating facility that meets the requirements of 
  1.13  this subdivision is exempt.  At the time of construction, the 
  1.14  facility must: 
  1.15     (1) be designed to utilize poultry litter as a primary fuel 
  1.16  source; and 
  1.17     (2) be constructed for the purpose of generating power at 
  1.18  the facility that will be sold pursuant to a contract approved 
  1.19  by the public utilities commission in accordance with the 
  1.20  biomass mandate imposed under section 216B.2424. 
  1.21     Construction of the facility must be commenced after 
  1.22  January 1, 2000, and before December 31, 2002.  Property 
  1.23  eligible for this exemption does not include electric 
  1.24  transmission lines and interconnections or gas pipelines and 
  1.25  interconnections appurtenant to the property or the facility. 
  2.1      <b>[EFFECTIVE DATE.]</b> This section is effective for taxes 
  2.2   levied in 2001, payable in 2002, and thereafter.