Electric Vehicle Policy and Funding Proposals Prioritized by DFL

by Sam Richie & Shannon K. Mitchell, AASP-MN Lobbyists

As mentioned in the March issue of AASP-MN News, with the DFL controlling the legislature and Governor’s office, there has been a shift in focus toward investing in renewable energy and efforts to address climate change. A bill requiring utilities to produce all energy from carbon-free sources by 2040 quickly moved through the legislative process and was signed into law by Governor Walz in the opening weeks of session. Some of the clean energy focus has now shifted to the transportation sector.

To that end, there have been many bills related to clean transportation broadly and more narrowly focused bills such as investments in electric vehicles (EVs) and charging stations. While scores of bills have been introduced, many were not heard before the first committee deadline and will not move forward this session. Several bills that did receive hearings before the deadline could dramatically increase the number of EVs on the road, and as a result, in repair shops.

Starting with perhaps the most comprehensive, SF 2584 titled the Clean Transportation Standards Act would require carbon intensity from transportation fuel supplied to Minnesota be reduced by 25 percent by 2030, 75 percent by 2050 and 100 percent by 2050. The bill also includes provisions for bolstering the EV market, including funding for purchase incentives and charging equipment. This legislation was heard in the Senate State and Local Government Committee in March and will then move on to the Senate Environment and Transportation Committees. There is a lot left to be hashed out among various stakeholders as this moves through the process.

Another piece of legislation, SF 1296, is more specifically tailored to increase the number of EVs in use over the coming years. The draft legislation would require state fleets to give preference to EVs, provide rebates for individuals who purchase EVs and provide grants for auto dealers to become EV certified.

Finally, HF 1346 seeks to access federal funds for charging stations. The Infrastructure Investment and Jobs Act (IIJA) includes the National Electric Vehicle Infrastructure (NEVI) program for expedited charging along interstate highways. It requires state matching funds, which HF 1346 would provide.

While the Governor’s proposed budget included funding for job training programs in the “green space,” it was not specific to EV repair, and the provision has not shown up in proposed legislation yet. To date, there has not been significant workforce legislation proposed to bolster the EV repair industry. This could be an issue that is prime for broader coalition advocacy both during this session and the coming legislative session.

Much work remains between now and the constitutionally mandated adjournment date of May 22. We will continue to track and influence priority legislation and keep members updated as the session works towards an end.