HF3217

Purpose of the Bill

The purpose of the bill is to allocate funds for economic development by supporting bioindustrial facilities in Minnesota. It aims to encourage the production of advanced biofuels, renewable chemicals, and biomass thermal energy by providing financial support to businesses that have invested in this sector.

Main Provisions

• Funding Allocation: The bill appropriates $15,000,000 from the Minnesota Forward Fund under the climate and economic development fund for fiscal year 2026. This money is designated for companies that invested in constructing and operating bioindustrial facilities before June 30, 2024.
• Application Process: Starting August 1, 2026, the commissioner of employment and economic development will accept applications for payments from existing bioindustrial facilities that produce advanced biofuels, renewable chemicals, or biomass thermal energy.
• Eligibility for Payments: Companies eligible for payments must have previously received funding under Minnesota Statutes sections 41A.16, 41A.17, or 41A.18 before January 31, 2025.
• Claim Requirement: Eligible companies must submit copies of prior claims made under the specified statutes. Payments made will match the amount of any unpaid claims by May 15, 2025.
• Nature of Appropriation: This appropriation is a one-time financial allocation available until July 1, 2027.

Significant Changes

• Funding Cancellation: The bill also cancels an equivalent amount, $15,000,000, from a previous appropriation scheduled for fiscal year 2024 under a different section, effectively reallocating the funds to the new bioindustrial facility support program.

Relevant Terms

• Bioindustrial facilities
• Advanced biofuels
• Renewable chemicals
• Biomass thermal energy
• Minnesota Forward Fund
• Economic development
• State appropriation
• Climate fund