MN HF125

Establishes a claims process administered by the Office of Administrative Hearings to compensate Minnesota businesses negatively affected by early termination of a power purchase agreement with a biomass plant.

Eligible businesses must have had a valid contract with the biomass plant as of May 1, 2017, be located in Minnesota, and demonstrate either decreased operating income or loss of investment value in real or personal property essential to their operations.

Compensation award for decreased operating income cannot exceed two times the difference between the business's five-year average operating income before termination and current operating income; property loss awards must account for salvage value and other compensation received.

Creates a biomass business compensation account funded with $20 million on July 1, 2020, and $20 million on July 1, 2021, transferred from the renewable development account; if insufficient to cover all claims, awards are adjusted proportionally.

Application process available by August 1, 2020, with 60-day filing deadline for claims; preliminary awards made within 120 days, final awards within 60 days of reconsideration deadline, and payments made within 45 days; entire program expires June 30, 2022.