The bill establishes a geothermal heat exchange system rebate program under Minnesota Statutes, section 216C.49, aimed at providing financial assistance to eligible applicants who install geothermal heat exchange technology in their buildings. Eligible applicants include individuals, businesses, nonprofits, government entities, federally recognized Tribes in Minnesota, and religious institutions that demonstrate they have applied for or received a rebate from the U.S. Department of Treasury under the Inflation Reduction Act of 2022. The program outlines specific requirements for applicants, including conducting an energy audit and ensuring the installation meets certain standards.

Additionally, the bill appropriates funds for the program, with specific allocations from both the renewable development account and the general fund for fiscal year 2026. The rebate amount is capped at 15% of the geothermal heat exchange system costs, not exceeding $100,000 per project, or the total installation cost net of other financial support. The commissioner is tasked with managing the rebate account and prioritizing applications for multifamily housing or commercial buildings owned by nonprofits or government entities that qualify as low-income rental properties.