HF2871

Purpose of the Bill

The purpose of this bill is to modify the existing statutes concerning public safety assessments for railroad and pipeline companies in Minnesota. It introduces a sunset clause for these assessments and adjusts the method by which they are calculated and imposed.

Main Provisions

• Annual Assessments: The commissioner of public safety is required to assess a total of $4,000,000 or $2,800,000 annually to railroad and pipeline companies. This assessment is intended to provide funds for the railroad and pipeline safety account.
• Assessment Formula: The assessment for each railroad company represents 70-100% of the total annual assessment, distributed equally based on the route miles they operate within Minnesota. Conversely, the assessment for each pipeline company is set at 30% of the total annual amount, divided based on the total volume of oil and hazardous substances transported through pipelines in Minnesota.
• Incident-Specific Assessments: Companies involved in incidents that necessitate a significant response will be assessed for all post-incident costs related to reviews and analyses by state and local governments. This clause applies even if the company is not assessed under the general annual assessment for that fiscal year.

Significant Changes

• The bill explicitly stipulates a required assessment amount and its allocation between railroads and pipelines, as well as laying out the conditions under which additional assessments are levied in the event of incidents.

Relevant Terms

• Public safety
• Pipeline safety
• Railroad assessment
• Hazardous substances
• Incident response costs