Minn. committee hears bill to bar local bans on propane, natural gas hookups for businesses

The House Committee on Housing Finance and Policy on Wednesday considered House File 483, a bill by Rep. Brian Lawrence that would prohibit cities from forbidding commercial buildings and businesses from connecting to natural gas or propane.

Proponents said the bill preserves consumer choice and energy reliability. "If a business so chooses to hook up to the gas that's in the ground or bring a propane tank and hook up to that, they have the ability to do so, and the city cannot ban them from using this energy source," Rep. Brian Lawrence said when he introduced the measure.

A technical amendment to correct a statutory reference (A1) was offered by nonpartisan staff and approved by voice vote. The committee then laid the bill over for possible inclusion in future committee action.

Dave Wagner, executive director of the Minnesota Propane Association, testified in support and cited federal and regional reliability reports. He told the committee that a U.S. Energy Information Administration report showed electrical outage durations in Minnesota increased from 2021 to 2022 and said regional assessments flagged risks of insufficient generation. "In a state like Minnesota, having reliable power during dangerously cold winter weather can mean life or death," Wagner said, arguing that on-site propane supplies can provide continuity during extended outages.

Committee members questioned the bill's preemption of local authority and raised health concerns. Representative Bauci asked why the Legislature would prevent cities from adopting different policies in the future if new information or technologies emerge. "Why preemptively prohibit cities from going in a different direction if further down the line… there's new information out and that city decides that they no longer want to use this energy source?" Bauci asked.

Representative Bozier raised health and indoor-air concerns tied to burning gas in homes and businesses, saying recent studies suggest potential respiratory and cardiovascular effects from gas appliances. Lawrence and supporters characterized the bill as preserving flexibility for businesses to choose their energy source and to maintain operations during outages.

The committee did not take a roll-call vote; the amendment was adopted by voice vote and the bill was laid over for possible inclusion.