1.1.................... moves to amend H.F. No. 2537, the first engrossment, as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. [216B.0991] DEFINITIONS.
1.4    Subdivision 1. Scope. For the purposes of sections 325E.0271 to 325E.0276, the
1.5terms defined in this section have the meanings given them.
1.6    Subd. 2. Customer. "Customer" means a person who has an established relationship
1.7with a propane distributor and whose propane system meets the safety guidelines
1.8established by the propane distributor for residential heating service.
1.9    Subd. 3. LIHEAP. "LIHEAP" means the low-income home energy assistance
1.10program.
1.11    Subd. 4. Propane distributor. "Propane distributor" means a person who sells
1.12propane at retail to customers as their primary residential heat source; propane distributors
1.13are not public utilities.
1.14    Subd. 5. Residential heating service. "Residential heating service" means the
1.15provision of the primary source of heat for the interior of a residential structure.

1.16    Sec. 2. [216B.0992] PRICE AND FEE DISCLOSURE.
1.17A propane distributor must provide a document listing the current per-gallon price of
1.18propane and all additional charges, fees, and discounts that pertain to residential heating
1.19service. The document must be:
1.20(1) made available to the general public upon request; and
1.21(2) provided to new customers before residential heating service is initiated.

1.22    Sec. 3. [216B.0993] BUDGET PAYMENT PLAN.
1.23(a) A propane distributor who offers customers a budget payment plan must make that
1.24plan available to all customers, including those who participate in the LIHEAP program.
2.1(b) A budget payment plan must equalize a customer's estimated annual propane bill
2.2by dividing it into equal monthly payments. Any budget plan started after the propane
2.3distributor's traditional budget plan start date will be divided by the remaining months
2.4in the budget plan year. Any positive balance remaining at the end of a year may, at the
2.5customer's discretion, be provided to the customer as a cash payment or carried over as a
2.6credit on the customer's bill for the next year.
2.7(c) A propane distributor must notify a customer on a budget payment plan of a price
2.8or fee change that may affect the monthly amount due under the budget payment plan
2.9by more than 20 percent.
2.10(d) A propane distributor may alter or terminate the plan if a customer has failed to
2.11pay two monthly payments during the period of the budget payment plan. In lieu of the
2.12requirements of this section, the parties may enter into a mutually agreeable plan.

2.13    Sec. 4. [216B.0994] PROPANE PURCHASE CONTRACTS.
2.14A propane distributor is prohibited from adding any service, distribution,
2.15transportation, or similar fees to customer billings for those customers who have entered
2.16into a contract for prepurchasing or capitated pricing of propane for the period of the
2.17contract provided that:
2.18(1) the customer has met all obligations of that contract; and
2.19(2) the propane distributor can receive product from its contracted supply points and
2.20a force majeure has not been declared by the propane distributor's supplier.

2.21    Sec. 5. [216B.0995] NONDISCRIMINATION.
2.22A propane distributor that offers customers service and service options, including,
2.23but not limited to, prepurchase contracts, keep-fill delivery, and budget payments, must
2.24offer the same terms and conditions to all new and existing customers.

2.25    Sec. 6. [216B.0996] PROPANE DEMAND.
2.26(a) On August 1 each year, beginning in 2014, the commissioner of management and
2.27budget shall appropriate the amount identified in paragraph (b) from the general fund to
2.28the commissioner of commerce for the purpose of providing advance heating assistance
2.29grants to LIHEAP-eligible individuals.
2.30(b) The amount appropriated under this subdivision is the amount of federal
2.31assistance the commissioner of commerce anticipates receiving for LIHEAP grants in
2.32Minnesota for the upcoming heating season. By June 1 each year, the commissioner of
2.33commerce must return to the general fund:
3.1(1) an amount equal to the actual federal LIHEAP funding received; and
3.2(2) any amount of state funds appropriated in excess of the actual amount of federal
3.3LIHEAP funding received, unless the excess state funding is otherwise appropriated to the
3.4commissioner of commerce for LIHEAP purposes.
3.5(c) Propane paid for with advance LIHEAP funds is subject to the following
3.6conditions:
3.7(1) the per gallon price of propane charged by a propane distributor may not exceed
3.8the price charged to all propane customers as of August 1, regardless of the date on which
3.9the propane is delivered to the customer;
3.10(2) the propane distributor must deliver the propane to the customer before October
3.1115; and
3.12(3) any subsequent propane delivery must occur on a keep-fill basis.

3.13    Sec. 7. [216B.0997] TERMS OF SALE.
3.14    Subdivision 1. Cash sales. A propane distributor with an available supply of
3.15propane must not refuse to sell propane to a customer who:
3.16(1) pays the distributor's established price upon delivery in cash, by certified or
3.17cashier's check, or by commercial money order or its equivalent; or
3.18(2) receives energy assistance from LIHEAP or a governmental or private agency
3.19that has funds available to pay for a delivery.
3.20    Subd. 2. LIHEAP participation; fee prohibitions; delivery. (a) A propane
3.21distributor who accepts LIHEAP payments must, upon request, make available to its
3.22customers information regarding LIHEAP, including income eligibility and contact
3.23information for organizations accepting LIHEAP applications.
3.24(b) A propane distributor may not charge a customer a fee for an emergency delivery
3.25for which payment is made from LIHEAP funds.
3.26(c) Between October 15 and April 1, in addition to regularly scheduled deliveries
3.27made by a propane distributor to a customer who receives LIHEAP assistance, and
3.28deliveries made at the customer's request, a propane distributor may make additional
3.29deliveries of propane to a customer who receives LIHEAP assistance as the propane
3.30distributor deems necessary.
3.31    Subd. 3. Third-party credit disclosure. A propane distributor must not make
3.32known the names of past or present delinquent customers to other propane distributors,
3.33except in the course of a routine credit check performed when a prospective customer
3.34applies for credit privileges.
4.1    Subd. 4. Security deposits. During the heating season, a propane distributor may
4.2not require the customer to pay a security deposit as a condition of service. At all other
4.3times, a security deposit may not exceed $200.

4.4    Sec. 8. [216B.0998] REPORTING.
4.5(a) Annually by September 1, a propane distributor must submit the following
4.6information to the commissioner:
4.7(1) the amount of fees associated with propane delivery to a customer, including, but
4.8not limited to, tank purchasing, leasing, installation, inspection, pump-out and pick-up
4.9fees, emergency and after-hours delivery fees, and meter service fees;
4.10(2) a copy of the standard contract between the propane distributor and a customer;
4.11and
4.12(3) terms and conditions of payment and credit options made available to a customer,
4.13including but not limited to prepurchase, fixed-price, and capped-price options, payment
4.14agreements and budget payment plans, and price discounts.
4.15EFFECTIVE DATE.This section is effective the day following final enactment
4.16and the initial reporting required must be submitted on or before September 1, 2014.

4.17    Sec. 9. Minnesota Statutes 2012, section 239.051, subdivision 29, is amended to read:
4.18    Subd. 29. Refinery, terminal. "Refinery" or "terminal" means a petroleum refinery,
4.19pipeline terminal, river terminal, storage facility, or other point of origin where liquefied
4.20petroleum gas or petroleum products are manufactured, or imported by rail, truck, barge, or
4.21pipe; and held, stored, transferred, offered for distribution, distributed, offered for sale, or
4.22sold. For the purpose of restricting petroleum product blending, this definition includes all
4.23refineries and terminals within and outside of Minnesota, but does not include a licensed
4.24distributor's bulk storage facility that is used to store petroleum products for which the
4.25petroleum inspection fee charged under this chapter is either not due or has been paid.

4.26    Sec. 10. Minnesota Statutes 2012, section 239.785, is amended by adding a subdivision
4.27to read:
4.28    Subd. 7. Notification of product unavailability; terminal operators. A person
4.29who operates a terminal where liquefied petroleum gas is loaded into transport trucks for
4.30subsequent distribution shall notify the commissioner within 24 hours when liquefied
4.31petroleum gas is physically not available for sale to licensed distributors.

4.32    Sec. 11. Minnesota Statutes 2012, section 325E.027, is amended to read:
5.1325E.027 DISCRIMINATION PROHIBITION.
5.2    (a) No dealer or distributor of liquid propane gas or number 1 or number 2 fuel oil
5.3who has signed a low-income home energy assistance program vendor agreement with the
5.4Department of Commerce may refuse to deliver liquid propane gas or number 1 or number
5.52 fuel oil to any person located within the dealer's or distributor's normal delivery area
5.6who receives direct grants under the low-income home energy assistance program if:
5.7    (1) the person has requested delivery;
5.8    (2) the dealer or distributor has product available;
5.9    (3) the person requesting delivery is capable of making full payment at the time of
5.10delivery; and
5.11    (4) the person is not in arrears regarding any previous fuel purchase from that dealer
5.12or distributor.
5.13    (b) A dealer or distributor making delivery to a person receiving direct grants
5.14under the low-income home energy assistance program may not charge that person any
5.15additional costs or fees that would not be charged to any other customer and must make
5.16available to that person any discount program on the same basis as the dealer or distributor
5.17makes available to any other customer.
5.18(c) The commissioner of commerce may enforce this section using any of the
5.19authority granted to the commissioner under section 45.027.

5.20    Sec. 12. EFFECTIVE DATE.
5.21Unless otherwise specified, sections 1 to 11 are effective the day following final
5.22enactment."
5.23Amend the title accordingly