Committee hears pleas to restore unpaid bio‑incentive payments; bill laid over as amended
April 09, 2026 | 2026 Legislature MN, Minnesota
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Representative Kresha told the House Economic Development Finance and Policy Committee that House File 3017 is "about keeping promises," urging lawmakers to restore funding for companies that completed the requirements of Minnesota's bio‑incentive program but have not received full payments.
The bill's author said firms had made investments and followed the statutory steps required to qualify for incentive payments, but in recent years reimbursements have lagged behind appropriations and some claimants have been paid only partially or not at all. "We asked industry to respond to the problems we see; the least we can do is follow through," Kresha said.
Testimony from industry advocates emphasized the program's role in supporting lower‑carbon fuels and rural economic activity. Brandon Jordan, vice president of transportation and fuels at the Great Plains Institute, said the program is performance‑based and that independent studies show a positive economic return, arguing that fulfilling prior commitments is a low‑risk way to maintain industry confidence. Brian Warner, executive director of the Minnesota Biofuels Association, told the committee that several facilities invested in new equipment, hired workers and began producing advanced biofuels such as corn kernel fiber ethanol because of the expected incentive payments; when reimbursements fell short, facilities faced partial payments or unpaid claims.
Committee members asked whether the bill would change future incentives or merely provide retrospective payments. Representative Kresha and supporters said the request is primarily to make claimants whole for investments already made and that any future program design can be considered separately.
After testimony and brief questioning, the committee agreed to lay House File 3017 over as amended for further consideration.
The bill will remain available for additional amendments or review; the committee did not adopt a final funding figure during the hearing.
The bill's author said firms had made investments and followed the statutory steps required to qualify for incentive payments, but in recent years reimbursements have lagged behind appropriations and some claimants have been paid only partially or not at all. "We asked industry to respond to the problems we see; the least we can do is follow through," Kresha said.
Testimony from industry advocates emphasized the program's role in supporting lower‑carbon fuels and rural economic activity. Brandon Jordan, vice president of transportation and fuels at the Great Plains Institute, said the program is performance‑based and that independent studies show a positive economic return, arguing that fulfilling prior commitments is a low‑risk way to maintain industry confidence. Brian Warner, executive director of the Minnesota Biofuels Association, told the committee that several facilities invested in new equipment, hired workers and began producing advanced biofuels such as corn kernel fiber ethanol because of the expected incentive payments; when reimbursements fell short, facilities faced partial payments or unpaid claims.
Committee members asked whether the bill would change future incentives or merely provide retrospective payments. Representative Kresha and supporters said the request is primarily to make claimants whole for investments already made and that any future program design can be considered separately.
After testimony and brief questioning, the committee agreed to lay House File 3017 over as amended for further consideration.
The bill will remain available for additional amendments or review; the committee did not adopt a final funding figure during the hearing.
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