State Agency Vehicle Acquisition and Management Requirement

When purchasing motor vehicles, state agencies must prioritize vehicles that operate on alternative fuels. Priority is based on fuel type in the following order:

1. Electric vehicles
2. Hybrid electric vehicles
3. Vehicles that use alternative fuels, including biodiesel blends of 20% (B20) or greater, compressed or liquefied natural gas, ethanol blends of 70% (E70) or greater, hydrogen, or propane
4. Gasoline or diesel vehicles

High priority vehicle types may be rejected if the vehicle type is incapable of carrying out its purpose or the total cost of ownership is more than 10% higher than the next vehicle in the preference list. Emergency and law enforcement vehicles are exempt from this requirement. State agencies must also, among other things, encourage state employees to fuel vehicles with alternative fuels when available and increase the use of renewable fuels derived from agricultural products. The Minnesota Department of Administration, in collaboration with the Departments Agriculture, Commerce, Natural Resources, and Transportation, as well as the Pollution Control Agency, must report progress on fleet vehicle acquisitions in the public dashboard for state fleet reporting and information management. The dashboard must also include recommendations for new or adjusted goals, directives, or legislative initiatives to meet fleet vehicle acquisition requirements. For more information, see the Minnesota Office of Enterprise Sustainability website.

(Reference Minnesota Statutes 16C.135, 16C.137, and 16C.138)