Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature

House approves consumer protections bill for residential energy-improvement program

The House on Monday passed a bill that would establish consumer protections for a residential home energy-improvement program, Property Assessed Clean Energy.

HF3688/SF3245*, sponsored by Rep. Tim O'Driscoll (R-Sartell) and Sen. Eric Pratt (R-Prior Lake), would add a number of layers and guards for PACE administrators and licensees determined to make homes more energy efficient.

Following the 123-0 vote, the bill goes to the governor. It was passed 65-1 by the Senate last Monday.

O’Driscoll said the bill creates “more disclosures for consumers” to explain to homeowners “how this program works.”

PACE is a financing mechanism allowing local governments to extend financing for various energy-related projects on private property, usually focused on reducing greenhouse gas emissions through energy conservation or use of renewable energy. A task force established by law last session recommended changes included in the bill.

Among many technical and clarifying changes, the bill would also:

  • let the Commerce Department assess examination fees against administrators;
  • establish commercial PACE loan programs for cost-effective energy improvements;
  • specify that a residential PACE lien is subordinate to all other earlier liens;
  • require residential PACE administrators to obtain a one-year license from the Commerce Department costing $1,000 initially, and $500 annually, to renew;
  • require Department of Labor and Industry-licensed contractors to do the energy improvement installations;
  • prohibit administrators and contractors from entering into PACE contracts with low-income homeowners unless they’re first referred to other state programs; and
  • allow subsequent homeowners the same rights as original homeowners in claims.

 


Related Articles


Priority Dailies

Rep. Thompson to apologize for saying member is 'a racist,' ethics complaint dismissed
Rep. John Thompson (DFL-St. Paul) has agreed to apologize the next time the House convenes for calling a Republican member racist during the June 19 special session.
House caps off special session by passing omnibus tax bill
The bill would produce $49.1 billion in revenue in the 2022-23 biennium that started Thursday and provide $4.2 billion in refunds, aids and credits, including $761 million in new tax cuts and credits.

Minnesota House on Twitter