Minnesota Public Utilities; small natural gas utilities eligibility amended to be exempt from regulation.

HF 252 increases the customer threshold for small natural gas utilities to qualify for exemption from Minnesota Public Utilities Commission (PUC) regulation, raising it from 650 to 2,500 customers served within a municipality. This change directly affects small natural gas utilities serving 2,500 or fewer customers, allowing them to operate without direct PUC oversight for their municipal service. However, these utilities must still file rate changes with the PUC for services outside municipal borders and comply with cold weather disconnection policies. The bill maintains the existing 5,000 total customer cap across all service areas and requires annual submission of municipally approved rates to the PUC.