Green Jobs Proposals in Minnesota

1.

Green JOBZ Program. Qualifying projects would receive tax-free incentives currently available to companies in the state’s JOBZ Program (exemption from corporate franchise tax; income tax for operators or investors, including capital gains tax; sales tax on goods and services used in the zone if the goods and services were purchased during the duration of the zone; property tax on commercial and industrial improvements but not on land; wind energy production tax; and employment tax credit for high paying jobs) for 12 years on any agreements executed through 2015.

2.

Job Growth Investment Tax Credit. This credit would increase the availability of financing to emerging companies around Minnesota by creating tax incentives for investments in regional investment funds. Fifty percent of the tax credits would be focused on green job projects that promote the state’s renewable energy goals. The total amount of tax credits available would be $20 million over four years.

3.

Small Business Investment Tax Credit. This tax credit would provide $60 million in tax incentives to insurance companies for investments in certified capital companies, which would be required to invest in qualified businesses in Minnesota with less than 100 employees each. Half of the tax credits would be focused on green job growth. Certified capital companies are state-sanctioned venture capital firms that are funded by insurance companies.

4.

Biomethane and Solar Power Conservation Credits. Incentives to expand the production and infrastructure for biomethane, solar, and other renewable energy projects will help Minnesota support the next round of technologies related to renewable energy development. The proposed policies will provide incentives to expand projects like landfill waste-to-energy, methane digesters, and on-farm anaerobic methane digesters. Natural gas utilities would receive a credit toward their annual energy savings for meeting the state’s energy conservation policy goal for biomethane purchased by or produced on their distribution system. Electric utilities would receive a credit toward their annual energy savings for meeting the state’s energy conservation policy goal for solar power purchased by or produced on their distribution system for projects larger than currently allowed in state law.