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S.F. No. 1585 - Bioincentive Programs
 
Author: Senator Jason Rarick
 
Prepared By: Greg Knopff, Senate Analyst (651/296-9399)
 
Date: March 1, 2019



 

Section 1 [Biomass definition] defines “biomass” for the purpose of the three Bioeconomy producer incentive programs.

Section 2 [Renewable chemical definition] modifies the term “renewable chemical” for the purpose of the three Bioeconomy producer incentive programs.

Section 3 [Advanced biofuel producer payments; minimum production level] decreases the minimum advanced biofuel production level to 1,500 million metric British thermal units (MMbtu) from 23,750 MMbtu to be eligible for producer payments.  This section also makes technical changes.

Section 4 [Advanced biofuel producer payments; raw materials] adds oil and animal fats as raw materials that may be used to produce advanced biofuel and be eligible for producer payments. This section also eliminates the first-come, first-served basis for payments.

Section 5 [Cellulosic biomass requirements; advanced biofuels] makes technical and clarifying changes related to advanced biofuel production incentive payments.

Section 6 [Renewable chemical producer payments; minimum production level] decreases the minimum renewable chemical production level to 250,000 pounds from 750,000 pounds to be eligible for producer payments.  This section also makes technical changes.

Section 7 [Renewable chemical producer payments clarification] clarifies blending of renewable chemicals and the eligibility for payment. This section also eliminates the first-come, first-served basis for payments.

Section 8 [Cellulosic biomass requirements; renewable chemicals] makes technical and clarifying changes related to renewable chemical production incentive payments.

Section 9 [Biomass thermal; eligibility] makes technical changes to the biomass thermal incentive payment eligibility.

Section 10 [Biomass thermal producer payments clarification] makes technical changes to the biomass thermal production incentive eligibility. This section also eliminates the first-come, first-served basis for payments.

Section 11 [Cellulosic biomass requirements; biomass thermal] makes technical and clarifying changes related to biomass thermal production incentive payments.

Section 12 [Bioincentive account] creates the bioincentive account for making bioincentive payments.

Section 13 [Appropriation] appropriates $15 million in FY2020 and $15 million in FY 2021 for transfer to the bioincentive account.

 
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