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Liberty Paper urges state study to replace Sherco steam as plant retires; Becker leaders back bill
Summary
Liberty Diversified CEO told the Senate Energy Committee that Liberty Paper’s Becker mill relies on steam from Sherco and requested a state-funded study into biomass or digester alternatives to keep the mill viable after Sherco 3 retires. Becker city officials backed the proposal.
Senator Robert Matthews presented Senate File 4920 and witnesses told the Senate Energy, Utilities, Environment and Climate Committee on April 8 that Liberty Paper’s Becker mill depends on steam from the Sherco power plant and needs funding to study alternatives before Sherco 3 retires.
"My name is Jim Morgan, the president and chief operating executive officer of Liberty Diversified International," Morgan said in testimony. He described Liberty Paper in Becker as a 150-employee, 100 percent post-consumer recycled paper mill and said the mill "consumes about 874 million pounds of waste steam" from Sherco that it uses to produce motive and thermal steam for paper making. Morgan told the committee the company must begin engineering and permitting immediately to remain viable if Sherco’s scheduled shutdown proceeds.
The bill, as drafted, would authorize a study to evaluate construction of an on-site biomass energy facility or other alternatives such as a digester to supply the steam the mill needs. Greg Roux, Becker city administrator, testified that the Becker mill is a cornerstone of the local industrial park and that the retirement of Sherco units could remove up to 65% of the city’s property-tax base. Roux asked the committee to use Renewable Development Account funds to support a feasibility study and planning work so the mill could continue operating independently of Sherco.
Why it matters: committee members and the bill’s author said the timing is urgent. Morgan and city officials said procurement, permitting and construction timelines require study funds now to preserve jobs and local tax revenue if Sherco’s retirements proceed as scheduled.
Committee action and context: the author’s amendment to add dollar figures and a naming correction was adopted and the chair noted SF 4920 is already contained in the pending energy omnibus. Senator Matthews urged support and the committee laid the bill over for the next stage; no final appropriation or authorization was adopted in committee that day.
What’s next: SF 4920 remains in the omnibus and will be subject to further action in the Senate’s finance process. Committee members said they expect private investment to be necessary alongside any state-supported study.
