1.1 	A bill for an act
1.2 	relating to energy; regulating projects funded by renewable development 
1.3 	account; amending Minnesota Statutes 2010, section 116C.779, subdivision 1.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. Minnesota Statutes 2010, section 116C.779, subdivision 1, is amended to 
1.6 	read:
1.7 		Subdivision 1.Renewable development account. (a) The public utility that owns 
1.8 	the Prairie Island nuclear generating plant must transfer to a renewable development 
1.9 	account $500,000 each year for each dry cask containing spent fuel that is located at the 
1.10 	Prairie Island power plant for each year the plant is in operation, and $7,500,000 each 
1.11 	year the plant is not in operation if ordered by the commission pursuant to paragraph (d). 
1.12 	The fund transfer must be made if nuclear waste is stored in a dry cask at the independent 
1.13 	spent-fuel storage facility at Prairie Island for any part of a year. Funds in the account 
1.14 	may be expended only for development of renewable energy sources. ~~Preference~~Projects 
1.15 	must be ~~given to development of renewable energy source projects~~ located within the 
1.16 	~~state~~ service territory of the public utility, unless the commission finds that a project 
1.17 	located outside the service territory would provide significantly more benefits to the public 
1.18 	utility's ratepayers than a competing project located within the service territory. The utility 
1.19 	that owns a nuclear generating plant is eligible to apply for renewable development fund 
1.20 	grants. The utility's proposals must be evaluated by the renewable development fund 
1.21 	board in a manner consistent with that used to evaluate other renewable development fund 
1.22 	project proposals.
1.23 	(b) The public utility that owns the Monticello nuclear generating plant must transfer 
1.24 	to the renewable development account $350,000 each year for each dry cask containing 
2.1 	spent fuel that is located at the Monticello nuclear power plant for each year the plant is 
2.2 	in operation, and $5,250,000 each year the plant is not in operation if ordered by the 
2.3 	commission pursuant to paragraph (d). The fund transfer must be made if nuclear waste 
2.4 	is stored in a dry cask at the independent spent-fuel storage facility at Monticello for 
2.5 	any part of a year.
2.6 	 (c) Expenditures from the account may only be made after approval by order of the 
2.7 	Public Utilities Commission upon a petition by the public utility.
2.8 	 (d) After discontinuation of operation of the Prairie Island nuclear plant or the 
2.9 	Monticello nuclear plant and each year spent nuclear fuel is stored in dry cask at the 
2.10 	discontinued facility, the commission shall require the public utility to pay $7,500,000 for 
2.11 	the discontinued Prairie Island facility and $5,250,000 for the discontinued Monticello 
2.12 	facility for any year in which the commission finds, by the preponderance of the evidence, 
2.13 	that the public utility did not make a good faith effort to remove the spent nuclear 
2.14 	fuel stored at the facility to a permanent or interim storage site out of the state. This 
2.15 	determination shall be made at least every two years.