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Regulated Industries

TWENTY-FIFTH MEETING

2005-2006 Regular Session - Tuesday, April 4, 2006

STATE OF MINNESOTA TWENTY-FIFTH MEETING
HOUSE OF REPRESENTATIVES EIGHTY-FOURTH SESSION

REGULATED INDUSTRIES COMMITTEE

MINUTES


Rep. Torrey Westrom, Chair of the Regulated Industries Committee, called the twenty-fifth meeting to order at 2:40 p.m. on April 4, 2006 in the Basement Hearing Room of the State Office Building.

The Clerk noted the roll.

Members of the Committee:

WESTROM, Torrey, Chair ANDERSON, I.
BEARD, Mike, Vice Chair ATKINS, Joe
CHARRON, Mike HANSEN, Rick
EMMER, Tom HILTY, Bill
ERICKSON, Sondra HUNTLEY, Tom
GUNTHER, Bob JOHNSON, Sheldon
HACKBARTH, Tom LESCH, John
HOPPE, Joe PETERSON, Aaron
LANNING, Morrie RUUD, Maria
POWELL, Duke THISSEN, Paul
SIMPSON, Dean WALKER, Neva
WESTERBERG, Andy
ZELLERS, Kurt


Members Excused: ZELLERS

A quorum was present.

Rep. Hoppe moved adoption of the minutes for March 29, 2006. THE MOTION PREVAILED.

SF2798/HF3542 (Westrom) Gas utility service reconnection plan preparation and implementation required.

Rep. Westrom brought HF 3542/SF 2798 before the committee for reconsideration.

Rep. Charron assumed the gavel at 2:40 p.m.

Rep. Beard assumed the gavel at 2:45 p.m.

Bob Eleff, House Research, provided the committee with an overview of the DE1 amendment to HF 3542.

Rep. Westrom resumed the gavel at 2:47 p.m.

Rep. Westrom moved to amend HF 3542 (H3542DE1 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Beard moved to amend HF 3542, as amended (H3542A16 amendment).

Paul Kramer, Vice President, Rahr Malting, testified before the committee.

Rep. Beard renewed the motion to amend HF 3542, as amended (H3542A16 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Gunther withdrew the H3542A17 amendment.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A12 amendment).

Bill Grant, Izaak Walton League, testified before the committee.

Rep. Erickson moved to amend the H3542A12 amendment as follows:

Page 4, delete Sec. 6 of the amendment
Page 2, delete lines 2.8 – 1.16

THE MOTION PREVAILED. THE AMENDMENT, AS AMENDED, WAS ADOPTED.

Rep. Westrom withdrew the H3542A14 amendment.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A6 amendment).

Mike Bull, Assistant Commissioner, MN Department of Commerce, testified before the committee.

Rep. Atkins moved to amend the H3542A6 amendment as follows:

Page 2, line 2.24, strike 2005 and insert 2025.
Page 2, line 21, after “percent of the” strike “liquid” and insert “gasoline and diesel fuel”
Page 2, line 23, after “percent of the” strike “liquid” and insert “gasoline and diesel fuel”

Rep. Westrom incorporated the Atkins oral amendment to the H3542A6 amendment.

Rep. Beard spoke against the H3542A6 amendment, as amended.

Rep. Westrom withdrew the H3542A6 amendment, as amended.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A5 amendment).

Rep. Westrom withdrew the H3542A5 amendment.

Rep. Peterson moved to amend HF 3542, as amended, (H3542A13 amendment).

Rick Evans, Excel Energy, testified before the committee.

Rep. Lanning and Rep. Erickson raised the point of committee jurisdiction if the H3542A13 amendment was adopted.

Rep. Westrom laid the H3542A13 amendment over for future consideration.

Rep. Hansen moved to amend HF 3542, as amended, (H3542-A4 amendment).

The following individuals testified before the committee:

Pat Boland, Xcel Energy
Pam Marshall, Energy Cents
Sue Turbis, CenterPoint Energy

Rep. Hansen renewed the motion to amend HF 3542, as amended, (H3542-A4 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Johnson moved to amend HF 3542, as amended, (H3542-A3 amendment).

The following individuals testified before the committee:

John Bailey, Institute for Local Self Reliance
David Ejadi
Linda Kane, State Architectural Office

Rep. Powell raised the point of fiscal impact and the request for a fiscal note if the H3542-A3 amendment was adopted.

Rep. Johnson renewed the motion to amend HF 3542, as amended, (H3542-A3 amendment). THE MOTION DID NOT PREVAIL. THE AMENDMENT WAS NOT ADOPTED.

Rep. Johnson requested a division.

There being 9 Ayes and 11 Nayes THE MOTION DID NOT PREVAIL. THE AMENDMENT WAS NOT ADOPTED.

Rep. Westrom brought the H3542A13 amendment before the committee for reconsideration.

Committee discussion regarding the H3542A13 amendment to HF 3542, as amended.

Rep. Westrom laid the H3542A13 amendment over for further consideration.

Rep. Beard moved to amend HF 3542, as amended, (H3542A11 amendment).

Rep. Beard withdrew the H3542A11 amendment.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A2 amendment).

Mike Bull, Assistant Commissioner, MN Department of Commerce, testified before the committee.

Rep. Westrom laid the H3542A2 amendment over for future consideration.

Rep. Beard moved to amend HF 3542, as amended, (H3542A22 amendment).

Greg Oxley, MMUA, testified before the committee.

Rep. Beard renewed the motion to amend HF 3542, as amended, (H3542A22 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Westrom brought the H3542-A2 amendment before the committee for reconsideration.

Rep. Ron Abrams testified before the committee regarding the H3542-A2 amendment.

Rep. Westrom renewed the motion to amend HF 3542, as amended, (H3542-A2 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Beard assumed the gavel at 5:00 p.m.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A24 amendment).

The following individuals testified before the committee:

Mike Bull, Assistant Commissioner, MN Department of Commerce
Bill Grant, Izaak Walton League
Steve Nyhus, MRES

The committee stood in recess at 5:10 p.m. due to technical difficulties with the audio equipment.

The committee reconvened at 5:12 p.m.

Edward Garvey, Deputy Commissioner, MN Department of Commerce testified before the committee regarding the H3542A24 amendment to HF 3542.

Rep. Westrom withdrew the H3542A24 amendment to HF 3542, as amended.

Rep. Westrom resumed the gavel at 5:25 p.m.
Rep. Thissen moved to amend HF 3542, as amended, (H3542A9 amendment).

Rep. Thissen moved to amend the H3542A9 amendment as follows:

Page 3, delete Section 3

THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Paul Thissen reviewed the H3542A9 amendment, as amended, with the committee.

Rep. Thissen moved to incorporate the following oral amendment to the H3542A9 amendment, as amended:

Page 3, line 3.34, strike “transportation” and insert “gasoline and diesel”

ORAL AMENDMENT INCORPORATED TO AMENDMENT, AS AMENDED.

Rep. Powell spoke against the H3542A9 amendment, as amended.

The following individuals testified before the committee:

Mike Franklin, Energy Manager, MN Chamber of Commerce
Rick Evans, Excel Energy
Loren Lautaug, Otter Tail Power

Rep. Thissen withdrew the H3542A9 amendment, as amended to HF 3542, as amended.

Rep. Westrom brought the H3542A13 amendment to HF 3542, as amended, before the committee for reconsideration.

Rep. Westrom moved to amend the H3542A13 amendment as follows:

Page 2, line 2.8 after “2017.” insert the following language:

The provisions of Sec. 123B, subd. 21, apply to wind energy conversion systems owned by school districts eligible to receive payments under this subdivision.

ORAL AMENDMENT INCORPORATED TO AMENDMENT.

Rep. Westrom renewed the motion to amend HF 3542, as amended, (H3542A13 amendment, as amended).
THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Thissen moved to amend HF 3542, as amended, (H3542A21 amendment).

Rep. Thissen withdrew the H3542A21 amendment.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A23 amendment).

Rep. Erickson raised the point of waiving the 24-hour rule for submission and acceptance of amendments.

Christy Brusven, MN Department of Commerce, testified before the committee regarding the H3542A23 amendment.

Rep. Westrom renewed the motion to amend HF 3542, as amended, (H3542A23 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Westrom moved to amend HF 3542, as amended, (H3542A20 amendment).

Rep. Westrom withdrew the H3542A20 amendment.

Rep. Powell moved to amend HF 3542, as amended, (BE-AMD08 amendment).

Rep. Powell moved to amend the BE-AMD08 amendment as follows:

Line 1.14, strike language

ORAL AMENDMENT INCORPORATED TO AMENDMENT.

The following individuals testified before the committee:

Rick Evans, Xcel Energy
Loren Lautaug, Otter Tail Power Company
Larry Johnston, SMMPA

Rep. Powell withdrew the BE-AMD08 amendment, as amended.

Rep. Peterson moved to amend HF 3542, as amended, (H3542A1 amendment).

Rep. Peterson moved to amend the H3542A1 amendment as follows:

Page 1, delete line 1.8
Page 1, delete line 1.9

ORAL AMENDMENT INCORPORATED TO AMENDMENT.

The following individuals testified before the committee:

Lee Sundberg, MN Rural Electric Association
Loren Lautaug, Otter Tail Power Company

Rep. Peterson withdrew the H3542A1 amendment, as amended.

Rep. Westrom renewed the motion that HF 3542, as amended, be recommended to pass and be placed on the General Register.

SF3081/HF3940 (Hoppe) Omnibus Local Liquor Bill.

Rep. Hoppe moved approval of the Liquor Subcommittee Report (SCH3940CR1). THE MOTION PREVAILED. THE SUBCOMMITTEE REPORT WAS ADOPTED.

Rep. Hoppe, chair of the Liquor Subcommittee, discussed the composition of the Omnibus Local Liquor Bill.

Patrick McCormack, House Research, provided an overview of the Omnibus Local Liquor Bill (HF 3940) to the committee.

Rep. Hoppe moved that HF 3940 be recommended to pass and be placed on the General Register.

Rep. Hoppe moved to amend HF 3940 (UESCH3940-1) as follows:

Delete lines 5.9 through 5.11 of the unofficial engrossment.

THE MOTION PREVAILED. THE AMENDMENT TO THE UNOFFICIAL ENGROSSMENT WAS ADOPTED.

Rep. Ruud moved to amend HF 3940 (SCS3071A-1 amendment). THE MOTION PREVAILED PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Hoppe moved to amend HF 3940, as amended, (A-3 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Hoppe moved to amend HF 3940, as amended, (HUESCH3940A1 amendment).

Todd Fyten, Lake Superior Brewing Company, testified before the committee regarding the HUESCH3940A1 amendment to HF 3940.

Rep. Hoppe renewed the motion to amend HF 3940, as amended, (HUESCH3940A1 amendment). THE MOTION PREVAILED. THE AMENDMENT WAS ADOPTED.

Rep. Simpson moved to amend HF 3940 ((UESCH3940-1) as follows:

Delete Sec. 10 of the Unofficial Engrossment to HF 3940

Paul Kaspszak, MN Municipal Beverage Association, testified before the committee regarding the proposed Simpson amendment to the Unofficial Engrossment to HF 3940.

Rep. Simpson renewed the motion to amend HF 3940 (UESCH3940-1). THE MOTION PREVAILED. THE AMENDMENT TO THE UNOFFICIAL ENGROSSMENT WAS ADOPTED.

The committee discussed the 2006 Legislative Audit Report and liquor requlations.

Rep. Hoppe moved that HF 3940, as amended, be recommended to pass and be placed on the General Register. THE MOTION PREVAILED.

Closing comments by the Chair.

The meeting was adjourned at 6:30 p.m.


______________________________
REP. TORREY WESTROM
CHAIR


______________________________
Kathleen Anderson
Committee Legislative Assistant