Minnesota 2025-2026 Regular Session

Minnesota Senate Bill SF3477 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to energy; establishing reimbursement program for underground petroleum
3	3	1.3 storage tank systems with pressurized single-walled steel piping; amending
4	4	1.4 Minnesota Statutes 2024, sections 115C.08, subdivision 4; 115C.09, by adding a
5	5	1.5 subdivision.
6	6	1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
7	7	1.7 Section 1. Minnesota Statutes 2024, section 115C.08, subdivision 4, is amended to read:
8	8	1.8 Subd. 4.Expenditures.(a) Money in the fund may only be spent:
9	9	1.9 (1) to administer the petroleum tank release cleanup program established in this chapter;
10	10	1.10 (2) for agency administrative costs under sections 116.46 to 116.50, sections 115C.03
11	11	1.11to 115C.06, and costs of corrective action taken by the agency under section 115C.03,
12	12	1.12including investigations;
13	13	1.13 (3) for costs of recovering expenses of corrective actions under section 115C.04;
14	14	1.14 (4) for training, certification, and rulemaking under sections 116.46 to 116.50;
15	15	1.15 (5) for agency administrative costs of enforcing rules governing the construction,
16	16	1.16installation, operation, and closure of aboveground and underground petroleum storage
17	17	1.17tanks;
18	18	1.18 (6) for reimbursement of the environmental response, compensation, and compliance
19	19	1.19account under subdivision 5 and section 115B.26, subdivision 4;
20	20	1.20 (7) for administrative and staff costs as set by the board to administer the petroleum tank
21	21	1.21release program established in this chapter;
22	22	1Section 1.
23	23	25-05546 as introduced04/25/25 REVISOR CKM/AD
24	24	SENATE
25	25	STATE OF MINNESOTA
26	26	S.F. No. 3477NINETY-FOURTH SESSION
27	27	(SENATE AUTHORS: WEBER and Frentz)
28	28	OFFICIAL STATUSD-PGDATE
29	29	Introduction and first reading05/01/2025
30	30	Referred to Energy, Utilities, Environment, and Climate 2.1 (8) for corrective action performance audits under section 115C.093;
31	31	2.2 (9) for contamination cleanup grants, as provided in paragraph (c);
32	32	2.3 (10) to assess and remove abandoned underground storage tanks under section 115C.094
33	33	2.4and, if a release is discovered, to pay for the specific consultant and contractor services
34	34	2.5costs necessary to complete the tank removal project, including, but not limited to, excavation
35	35	2.6soil sampling, groundwater sampling, soil disposal, and completion of an excavation report;
36	36	2.7and
37	37	2.8 (11) to acquire interests in real or personal property, including easements, environmental
38	38	2.9covenants under chapter 114E, and leases, that the agency determines are necessary for
39	39	2.10corrective actions or to ensure the protectiveness of corrective actions. A donation of an
40	40	2.11interest in real property to the agency is not effective until the agency executes a certificate
41	41	2.12of acceptance. The state is not liable under this chapter solely as a result of acquiring an
42	42	2.13interest in real property under this clause. Agency approval of an environmental covenant
43	43	2.14under chapter 114E is sufficient evidence of acceptance of an interest in real property when
44	44	2.15the agency is expressly identified as a holder in the covenant. Acquisition of real property
45	45	2.16under this clause, except environmental covenants under chapter 114E, is subject to approval
46	46	2.17by the board.; and
47	47	2.18 (12) to reimburse the cost of replacing pressurized single-walled steel piping in
48	48	2.19underground petroleum storage tank systems under section 115C.09, subdivision 3l.
49	49	2.20 (b) Except as provided in paragraph (c), money in the fund is appropriated to the board
50	50	2.21to make reimbursements or payments under this section.
51	51	2.22 (c) In fiscal years 2010 and 2011, $3,700,000 is annually appropriated from the fund to
52	52	2.23the commissioner of employment and economic development for contamination cleanup
53	53	2.24grants under section 116J.554. Beginning in fiscal year 2012 and each year thereafter,
54	54	2.25$6,200,000 is annually appropriated from the fund to the commissioner of employment and
55	55	2.26economic development for contamination cleanup grants under section 116J.554. Of this
56	56	2.27amount, the commissioner may spend up to $225,000 annually for administration of the
57	57	2.28contamination cleanup grant program. The appropriation does not cancel and is available
58	58	2.29until expended. The appropriation shall not be withdrawn from the fund nor the fund balance
59	59	2.30reduced until the funds are requested by the commissioner of employment and economic
60	60	2.31development. The commissioner shall schedule requests for withdrawals from the fund to
61	61	2.32minimize the necessity to impose the fee authorized by subdivision 2. Unless otherwise
62	62	2.33provided, the appropriation in this paragraph may be used for:
63	63	2Section 1.
64	64	25-05546 as introduced04/25/25 REVISOR CKM/AD 3.1 (1) project costs at a qualifying site if a portion of the cleanup costs are attributable to
65	65	3.2petroleum contamination or new and used tar and tar-like substances, including but not
66	66	3.3limited to bitumen and asphalt, but excluding bituminous or asphalt pavement, that consist
67	67	3.4primarily of hydrocarbons and are found in natural deposits in the earth or are distillates,
68	68	3.5fractions, or residues from the processing of petroleum crude or petroleum products as
69	69	3.6defined in section 296A.01; and
70	70	3.7 (2) the costs of performing contamination investigation if there is a reasonable basis to
71	71	3.8suspect the contamination is attributable to petroleum or new and used tar and tar-like
72	72	3.9substances, including but not limited to bitumen and asphalt, but excluding bituminous or
73	73	3.10asphalt pavement, that consist primarily of hydrocarbons and are found in natural deposits
74	74	3.11in the earth or are distillates, fractions, or residues from the processing of petroleum crude
75	75	3.12or petroleum products as defined in section 296A.01.
76	76	3.13 Sec. 2. Minnesota Statutes 2024, section 115C.09, is amended by adding a subdivision to
77	77	3.14read:
78	78	3.15 Subd. 31.Reimbursement; single-walled steel piping.(a) For the purposes of this
79	79	3.16subdivision, the following terms have the meanings given:
80	80	3.17 (1) "eligible equipment" means all equipment between the underground petroleum storage
81	81	3.18tank and the dispenser, including piping, probes, monitors, pumps, containment, and electrical
82	82	3.19equipment to support such equipment. Eligible equipment does not include underground
83	83	3.20petroleum storage tanks, dispensers, canopies, site improvements, or signage replacement;
84	84	3.21 (2) "eligible location" means an underground petroleum storage tank system that is
85	85	3.22located in Minnesota, has pressurized single-walled steel piping, and was installed before
86	86	3.23the effective date of this subdivision; and
87	87	3.24 (3) "qualified person" means someone who is registered as a contractor under sections
88	88	3.25115C.11 to 115C.12 and, as part of the person's trade or business, installs or repairs
89	89	3.26pressurized underground petroleum storage tank systems.
90	90	3.27 (b) Notwithstanding any other provision of this chapter or any rules adopted under this
91	91	3.28chapter, for new projects beginning after January 1, 2026, the board must reimburse an
92	92	3.29owner 50 percent of the cost of replacing eligible equipment that is at a minimum compatible
93	93	3.30with E25 or B20 equipment at eligible locations if:
94	94	3.31 (1) the owner considered at least two bids and selected the bid with the lowest total cost;
95	95	3.32and
96	96	3.33 (2) the board determines that the costs incurred were reasonable.
97	97	3Sec. 2.
98	98	25-05546 as introduced04/25/25 REVISOR CKM/AD 4.1 (c) The board must not reimburse costs that the board determines were unreasonable.
99	99	4.2 (d) Reimbursement under paragraph (b) may not exceed $100,000 per eligible location.
100	100	4.3 (e) The maximum annual expenditure from the fund for reimbursing the costs of replacing
101	101	4.4pressurized single-walled steel piping may not exceed $4,000,000.
102	102	4.5 (f) An owner that owns or operates multiple eligible locations must not receive
103	103	4.6reimbursement for more than two eligible locations per calendar year.
104	104	4.7 (g) An owner may be reimbursed for the costs of:
105	105	4.8 (1) all eligible equipment;
106	106	4.9 (2) labor completed by a qualified person and associated with eligible equipment
107	107	4.10installation;
108	108	4.11 (3) labor completed by a qualified person and associated with dirt and concrete work
109	109	4.12directly associated with installing eligible equipment; and
110	110	4.13 (4) permits, freight, and shipping directly related to eligible equipment.
111	111	4.14 (h) Nothing in this subdivision prohibits an owner from receiving reimbursement from
112	112	4.15other sources for costs that are not reimbursed under this subdivision.
113	113	4.16 (i) This subdivision expires June 30, 2036.
114	114	4Sec. 2.
115	115	25-05546 as introduced04/25/25 REVISOR CKM/AD