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S.F. No. 2342 - Electric Vehicle Charging Station Revolving Loan Program (First Engrossment)
 
Author: Senator David J. Osmek
 
Prepared By: Carlon D. Fontaine, Senate Counsel (651/296-4395)
 
Date: March 28, 2019



 

Section 1.  Electric vehicle charging station revolving loan program.

Subdivision 1.  Definitions.  Provides definitions.  

Subdivision 2.  Revolving loan fund.  Requires the commissioner of commerce to establish an electric vehicle charging station revolving loan fund to make loans for charging station projects installed in Minnesota.

Subdivision 3.  Administration.  Specifies that the minimum interest rates established by the commissioner must not exceed one percent interest for the state, other governmental entity, or a nonprofit organization; or three percent interest for private businesses. Requires 40 percent of a loan repayment to be returned to the renewable development account until the returned amount totals $1.5 million.

Subdivision 4.  Applications.  Requires an applicant to submit the following information to the commissioner: (1) the estimated cost of the project and the loan amount; (2) other sources of funding; (3) sources of funds to repay loans received; and (4) ability of the borrower to repay loans.

Subdivision 5.  Use of loan funds.  Allows loan funds to be used to design, develop, purchase, and install electric vehicle charging stations at locations in Minnesota. Requires an electric vehicle charging station project receiving loan funds to be available for public use.

Subdivision 6.  Evaluation of projects.  Requires the commissioner to consider when evaluating a project:

  • the need for the project and why it is in the public interest;

  • the relationship of the project to the local area's needs;

  • the estimated project cost and the loan amount sought;

  • proposed sources of funding;

  • the need for the project as part of the overall transportation system; and

  • the overall economic impact of the project.

Allows the commissioner to consult with the commissioner of transportation regarding the electric vehicle charging needs throughout the state.

Subdivision 7.  Maximum loan amount.  Provides an unspecified per project maximum loan amount. 

Subdivision 8.  User fees.  Requires a borrower to charge a per hour fee for use of a charging station. Requires a borrower to use at least 25 percent of the fees collected to repay the loan and pay for expenses associated with operating and maintaining the electric vehicle charging 
station funded by the loan.

Subdivision 9.  Report to legislature.  Requires a report regarding the revolving loan program. Specifies that the report must include (1) a description of the projects and an account of loans made, (2) the revolving loan fund balance, and (3) an explanation of administrative expenses.

Section 2.  Appropriation; electric vehicle charging station revolving loan program. Appropriates $1,500,000 from the renewable development account to the commissioner of commerce for the loan program. Specifies that loans be made only for electric vehicle charging station projects in Xcel Energy service territory. Allows the commissioner to use up to three percent of this amount for administration.

CDF/syl

 

 
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