Minnesota Department of Administration

Overview

With billions available through the Inflation Reduction Act (IRA), the Minnesota Department of Administration engaged Juris Strategy to identify how federal clean energy tax incentives could be leveraged to accelerate solar adoption in low-income communities. The state needed help interpreting IRS guidance, targeting high-impact geographies, and designing a policy approach that balanced climate goals with equity mandates. Our work equipped Minnesota with a roadmap to maximize value from Sections 48(e) and 45L while prioritizing environmental justice.

Objective

To analyze eligibility pathways for distributed solar incentives under the IRA, model economic impact scenarios, and develop a place-based policy package that would support sustainable investment in historically underserved Minnesota communities.

Process

Step 1: Incentive Framework Analysis

• Interpreted eligibility rules for Section 48(e) (energy credit bonus for low-income communities) and Section 45L (energy-efficient homes credit).

• Analyzed Treasury guidance, IRS FAQs, and DOE grant conditions to clarify stacking and timing mechanisms.

Step 2: Geographic & Economic Mapping

• Used state census and DOE mapping tools to identify 27 qualifying census tracts eligible for bonus credits.

• Cross-referenced locations with energy burden data, solar feasibility, and municipal readiness indicators.

Step 3: Investment Scenario Modeling

• Modeled 3 incentive uptake scenarios using current market data and assumed ITC bonus levels.

• Projected $2.7M in private solar investment unlocked, with job creation potential of 80–110 FTEs over 5 years.

Step 4: Policy Package Development

• Designed a state-level application support toolkit and implementation roadmap for municipalities.

• Proposed a targeted outreach and technical assistance strategy for community-owned and public buildings in qualifying zones.

Outcome

Juris Strategy delivered a tailored policy package that positioned Minnesota to attract an estimated $2.7M in solar investment, enable 7 pilot installations in disadvantaged communities, and generate 80+ clean energy jobs. The Department integrated our eligibility map and economic model into its internal IRA planning process. 87% of surveyed agency staff found the recommendations actionable for immediate deployment or upcoming grant cycles.