1.1    .................... moves to amend the first committee engrossment to H. F. No. 3902
1.2as follows:
1.3Page 41, after line 27, insert:


1.6    Section 1. Minnesota Statutes 2006, section 239.051, subdivision 15, is amended to
1.7read:
1.8    Subd. 15. Ethanol blender. "Ethanol blender" means a person who blends and
1.9distributes, transports, sells, or offers to sell gasoline containing ten percent ethanol by
1.10volume.

1.11    Sec. 2. Minnesota Statutes 2007 Supplement, section 239.761, subdivision 4, is
1.12amended to read:
1.13    Subd. 4. Gasoline blended with ethanol; general. (a) Gasoline may be blended
1.14with up to ten percent, by volume, agriculturally derived, denatured ethanol that complies
1.15with the requirements of subdivision 5.
1.16    (b) A gasoline-ethanol blend must:
1.17    (1) comply with the volatility requirements in Code of Federal Regulations, title
1.1840, part 80;
1.19    (2) comply with ASTM specification D4814-06, or the gasoline base stock from
1.20which a gasoline-ethanol blend was produced must comply with ASTM specification
1.21D4814-06; and
1.22    (3) not be blended with casinghead gasoline, absorption gasoline, condensation
1.23gasoline, drip gasoline, or natural gasoline after the gasoline-ethanol blend has been sold,
1.24transferred, or otherwise removed from a refinery or terminal.

2.1    Sec. 3. Minnesota Statutes 2007 Supplement, section 239.761, is amended by adding a
2.2subdivision to read:
2.3    Subd. 4a. Gasoline blended with ethanol; standard combustion engines.
2.4    Gasoline combined with ethanol for use in standard combustion engines may be blended
2.5with up to ten percent agriculturally derived, denatured ethanol, by volume, or any
2.6percentage specifically authorized in a waiver granted by the United States Environmental
2.7Protection Agency under section 211(f)(4) of the Clean Air Act, United States Code, title
2.842, section 7545, subsection (f), paragraph (4). The gasoline-ethanol blend must comply
2.9with the general provisions in subdivision 4.

2.10    Sec. 4. Minnesota Statutes 2007 Supplement, section 239.761, is amended by adding a
2.11subdivision to read:
2.12    Subd. 4b. Gasoline blended with ethanol; alternative fuel vehicles. (a) Gasoline
2.13blended for use in an alternative fuel vehicle, as defined in section 296A.01, subdivision
2.145, may contain any percentage of agriculturally derived, denatured ethanol, by volume,
2.15not exceeding 85 percent. The gasoline-ethanol blend must comply with the general
2.16provisions in subdivision 4.
2.17    (b) The gasoline and ethanol may be blended by an ethanol blender or at the point of
2.18retail sale in an ethanol-blending fuel dispenser clearly labeled "FLEX-FUEL VEHICLES
2.19ONLY." If a person responsible for the product uses an ethanol-blending fuel dispenser
2.20to dispense both gasoline blended with ethanol for use in alternative fuel vehicles and
2.21gasoline blended with ethanol for use in standard combustion engines, the person must
2.22ensure that the gasoline blended with ethanol for use in standard combustion engines is
2.23dispensed from a fuel-dispensing hose and nozzle or other conveyance dedicated solely
2.24to gasoline blended with ethanol for use in standard combustion engines and clearly
2.25labeled as such. If blended by an ethanol blender, the percentage of ethanol in the resulting
2.26gasoline-ethanol blend must be clearly identified.

2.27    Sec. 5. Minnesota Statutes 2006, section 239.7911, subdivision 2, is amended to read:
2.28    Subd. 2. Promotion of renewable liquid fuels. (a) The commissioner of
2.29agriculture, in consultation with the commissioners of commerce and the Pollution
2.30Control Agency, shall identify and implement activities necessary for the widespread use
2.31of renewable liquid fuels in the state. Beginning November 1, 2005, and continuing
2.32through 2015, the commissioners, or their designees, shall work with representatives
2.33from the renewable fuels industry, petroleum retailers, refiners, automakers, small engine
2.34manufacturers, and other interested groups, to develop annual recommendations for
2.35administrative and legislative action.
3.1    (b) The activities of the commissioners under this subdivision shall include, but not
3.2be limited to:
3.3    (1) developing recommendations for incentives for retailers to install equipment
3.4necessary for dispensing renewable liquid fuels to the public and obtaining regulatory
3.5approval for, and private product safety certification of, liquid fuel dispensers that offer
3.6Minnesota consumers a wider variety of renewable fuel blends, including but not limited
3.7to fuel pumps that dispense several gasoline-ethanol and diesel-biodiesel blends;
3.8    (2) expanding the renewable-fuel options available to Minnesota consumers by
3.9obtaining federal approval for the use of E20, E30, E40, E50, E60, and E70 as gasoline;
3.10    (3) developing recommendations for ensuring that motor vehicles and small engine
3.11equipment have access to an adequate supply of fuel;
3.12    (4) working with the owners and operators of large corporate automotive fleets in the
3.13state to increase their use of renewable fuels; and
3.14    (5) working to maintain an affordable retail price for liquid fuels.

3.15    Sec. 6. Minnesota Statutes 2006, section 296A.01, subdivision 2, is amended to read:
3.16    Subd. 2. Agricultural alcohol gasoline. "Agricultural alcohol gasoline" means a
3.17gasoline-ethanol blend of up to ten percent agriculturally derived fermentation satisfying
3.18the provisions of section 239.761, subdivision 4a or 4b, with ethanol derived from
3.19agricultural products, such as potatoes, cereal, grains, cheese whey, sugar beets, forest
3.20products, or other renewable resources, that:
3.21    (1) meets the specifications in ASTM specification D4806-04a; and
3.22    (2) is denatured as specified in Code of Federal Regulations, title 27, parts 20 and 21.

3.23    Sec. 7. Minnesota Statutes 2007 Supplement, section 296A.01, subdivision 25, is
3.24amended to read:
3.25    Subd. 25. Gasoline blended with ethanol. "Gasoline blended with ethanol" means
3.26gasoline blended with up to 20 percent, by volume, agriculturally derived, denatured
3.27ethanol. The blend must comply with the volatility requirements in Code of Federal
3.28Regulations, title 40, part 80. The blend must also comply with ASTM specification
3.29D4814-06, or the gasoline base stock from which a gasoline-ethanol blend was produced
3.30must comply with ASTM specification D4814-06; and the gasoline-ethanol blend must
3.31not be blended with casinghead gasoline, absorption gasoline, condensation gasoline, drip
3.32gasoline, or natural gasoline after the gasoline-ethanol blend has been sold, transferred, or
3.33otherwise removed from a refinery or terminal. The blend need not comply with ASTM
3.34specification D4814-06 if it is subjected to a standard distillation test. For a distillation
3.35test, a gasoline-ethanol blend is not required to comply with the temperature specification
4.1at the 50 percent liquid recovery point, if the gasoline from which the gasoline-ethanol
4.2blend was produced complies with all of the distillation specifications a gasoline-ethanol
4.3blend satisfying the provisions of section 239.761, subdivision 4a or 4b."
4.4Page 41, line 28, delete "3" and insert "4"
4.5Amend the title accordingly