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S.F. No. 1516 - Natural Gas Vehicle and Fueling Station Rebate Program Establishment (First Engrossment)
 
Author: Senator John A. Hoffman
 
Prepared By: Carlon D. Fontaine, Senate Counsel (651/296-4395)
 
Date: April 14, 2015



 

Section 1 (Natural Gas Vehicle and Fueling Station Rebate Program), subdivision 1 [Establishment] requires the Commissioner of Commerce, in collaboration with a nonprofit entity with grant administration experience, to administer a natural gas vehicle and fueling station rebate program. Requires the Department of Commerce to implement policies and procedures, including a mechanism for provisional approval of a rebate, for the program by October 1, 2015.

Subdivision 2 [Definitions] provides definitions for terms used in the section including “natural gas vehicle,” “incremental cost,” “fueling station,” “light-duty vehicle,” “medium-duty vehicle,” and “heavy-duty vehicle.”

Subdivision 3 [Rebate Eligibility] provides specifications for eligibility for the rebate program. Allows Minnesota residents, governmental units, and businesses, including state agencies, transit authorities, school districts, cities, or counties, that purchase a natural gas vehicle, convert a conventional vehicle to use natural gas, or purchase and install a fueling station to be eligible for rebates.

Subdivision 4 [Rebate Amounts] limits rebate amounts to no more than 50 percent of the incremental cost for light-duty vehicles ($5,000), medium-duty vehicles ($8,000), and heavy-duty vehicles ($20,000).  Limits the rebate amount to no more than 50 percent of the incremental cost of a fueling station up to $200,000.

Subdivision 5 [Maximum Rebate Allowed] limits the number of rebates allowed to no more than one rebate per resident household for a passenger car or light-duty vehicle; no more than $50,000 for light- and medium-duty vehicles per business entity or governmental unit per year; no more than $100,000 for heavy-duty vehicles per business entity or governmental unit per year; and no more than one fueling station rebate per business entity or governmental unit per year.

Subdivision 6 [Appropriation] appropriates $5,000,000 in fiscal year 2016 from the general fund for the rebate program.  Specifies that $3,000,000 is for natural gas vehicle rebates, and $2,000,000 for natural gas fueling station rebates.

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CDF/syl

 
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