Senate Bill S.F. No. 881, introduced by Senators Kupec, Westrom, Gustafson, Dornink, and Putnam, focuses on supporting biofuel usage in Minnesota. The bill proposes allocating funds from the state's general fund in the fiscal years 2026 and 2027 to support grants. These grants will enable gas stations with fewer than ten locations in Minnesota to upgrade their equipment to dispense biofuels.

Key points of the bill include: 1. Eligibility is restricted to retail petroleum dispensers for vehicles manufactured after the year 2000. 2. Grants can fund up to 65% of the costs required to upgrade equipment so it can handle E25 biofuel, with a maximum of $200,000 per station. 3. The bill requires coordination between the Commissioner of Agriculture, economic stakeholders, and communities to properly implement this program. 4. An annual report will be required, detailing the number and type of projects financed, funds leveraged, geographic distribution of projects, market expansion, demographics of impacted areas, program costs, and the number of grants awarded to minority- or female-owned businesses.

This bill aims to enhance biofuel infrastructure and promote broader biofuel usage within the state, in alignment with Minnesota's biofuel replacement goals.