Minnesota is home to one of the most critical fuel production hubs in the American Midwest, yet few residents realize how fragile that system may have become.

One refinery alone supplies roughly half of all gasoline used in the state.

It also produces about forty percent of the gasoline consumed in Wisconsin and nearly all jet fuel used by Minneapolis Saint Paul International Airport.

Any prolonged disruption at this facility would ripple across fuel markets, transportation systems, and regional supply chains throughout the Midwest.

This refinery is the Pine Bend facility in Rosemount, operated by Flint Hills Resources.

Along with the Marathon refinery in Saint Paul Park, these two plants account for roughly seventy percent of the gasoline consumed in Minnesota.

Pine Bend is by far the larger operation.

It processes approximately three hundred seventy five thousand barrels of crude oil each day, making it the thirteenth largest refinery in the United States.

It is also unique in one important way.

Minnesota has no oil wells.

Not a single barrel of crude oil is produced in the state.

Pine Bend is the largest refinery in the nation located in a state with zero oil production.

For decades, these refineries have operated as the backbone of the Upper Midwest fuel supply.

They employ thousands of workers directly and rely on even more specialized contractors during scheduled maintenance events.

During major maintenance shutdowns, Pine Bend alone can require as many as three thousand five hundred additional workers on site, sometimes for weeks at a time.

These contractors travel from across the country and often specialize in highly technical refinery work that only a limited pool of workers can perform.

In 2023, Minnesota lawmakers passed legislation that fundamentally altered how oil refineries in the state may hire these workers.

The law is known as the Skilled and Trained Workforce Act.

At first glance, the title suggests a simple goal of improving safety and workforce quality.

However, the actual requirements of the law have raised significant concerns among refinery operators and industry experts.

Beginning in 2024, oil refineries in Minnesota are required to use contractors who have completed union affiliated apprenticeship programs.

By January 2026, at least sixty percent of all contractor workers at refinery sites must possess formal union training certifications.

Refineries that fail to meet this threshold face fines ranging from five thousand to ten thousand dollars per violation.

With hundreds or even thousands of contractors present during major maintenance events, those penalties can accumulate rapidly.

There are only two oil refineries in Minnesota, and both are directly affected by this law.

The Pine Bend refinery in Rosemount and the Marathon refinery in Saint Paul Park supply most of the fuel used by Minnesota drivers.

Any constraint on their operations has immediate implications for fuel availability and pricing across the region.

Flint Hills Resources warned lawmakers before the bill passed that the law could create serious operational challenges.

The company cited real world examples from its own maintenance operations.

During a previous maintenance event, the company needed twenty boilermakers, a highly skilled trade responsible for repairing and maintaining pressure vessels and critical refinery equipment.

When the contractor contacted the union hiring hall, only one fully qualified worker was available.

Even after requesting apprentices, the union was only able to supply five workers.

That left a significant labor shortfall for a critical maintenance task.

This example highlights a central issue with the law.

The shortage is not necessarily a lack of skilled workers.

Many experienced refinery contractors have spent decades working in similar facilities across the country.

The shortage is a lack of workers with specific union apprenticeship credentials.

Under the new law, experience alone is no longer sufficient.

Without the required paperwork, even veteran workers may be barred from working at Minnesota refineries.

The range of affected jobs extends far beyond specialized trades like boilermakers.

Daily operations rely on vacuum truck operators, leak detection technicians, and maintenance specialists who travel from site to site.

Many of these workers possess extensive practical experience but have never completed a formal union apprenticeship.

Under the law, they may be deemed unqualified regardless of their actual skills.

Republican lawmakers raised objections during the legislative process.

Some warned that experienced workers could lose their livelihoods solely because they lacked a union certificate.

Others argued that the state government should not dictate hiring decisions in private industry.

Despite these warnings, the bill passed the Minnesota House by a wide margin and was approved by the Senate.

Governor Tim Walz signed the legislation into law on May 2, 2023.

Marathon Petroleum, which operates the Saint Paul Park refinery, also opposed the bill.

In written communications to lawmakers, the company argued that the law would restrict its ability to hire the most qualified workers and could create labor shortages during critical maintenance periods.

The company further warned that prioritizing formal apprenticeship credentials over real world experience could introduce new safety risks.

Safety concerns carry particular weight at the Marathon facility.

The refinery stores approximately one hundred ninety thousand pounds of hydrogen fluoride, one of the most dangerous industrial chemicals in use.

Even minimal skin exposure can be fatal, and a worst case release could produce a toxic cloud traveling nearly nineteen miles.

More than one point seven million people live within that potential impact zone.

In such an environment, familiarity with the facility and its systems is essential.

Minnesota has already seen how labor disruptions can affect refinery operations.

In 2021, a labor dispute at the Marathon refinery resulted in a five month lockout of approximately two hundred workers.

During that period, the company brought in replacement workers from other states to keep the facility running.

Some union workers later criticized the experience level of the replacements, citing concerns about safety and preparedness.

Ironically, the new law was promoted by unions as a response to concerns about untrained workers.

Yet refinery operators argue that the legislation may force them into a difficult choice between violating the law or operating with insufficient staffing.

In March 2025, Pine Bend experienced a propane pipeline leak that led to neighborhood evacuations and the shutdown of Highway 52 in both directions.

While no injuries occurred, the incident underscored how even minor failures at a refinery can have serious consequences.

Industry groups also opposed the legislation.

The American Petroleum Institute argued that the law represents government overreach into private hiring decisions and unfairly targets a single industry.

Chemical plants and ethanol facilities in Minnesota are not subject to the same requirements, despite handling hazardous materials of their own.

The selective application of the law has fueled criticism that it was designed primarily to benefit union labor rather than improve safety.

Supporters of the law have suggested that experienced workers could simply complete the required training.

However, apprenticeship programs take time, have limited capacity, and often require significant financial commitments.

For contractors who travel nationally to meet short term demand at refineries, stopping work to complete a state specific program is often impractical.

The timing of the mandate adds to the concern.

Major maintenance events require thousands of workers on short notice.

There is no clear evidence that Minnesota or neighboring states have enough union certified workers to meet that demand by the January 2026 deadline.

While the law includes limited emergency exemptions, those provisions are narrow and temporary, and fines remain a real risk.

These challenges come amid a broader economic context that already places pressure on businesses operating in Minnesota.

The state has one of the highest corporate tax rates in the country at nine point eight percent.

The Tax Foundation ranks Minnesota near the bottom nationally for business tax climate.

Other states have moved aggressively in the opposite direction, lowering corporate taxes and marketing themselves as business friendly destinations.

Refineries are capital intensive and difficult to relocate, but they can reduce investment, scale back operations, or eventually shut down.

The Marathon refinery has changed ownership four times since 2010, a sign of instability in an industry that typically favors long term continuity.

Pine Bend has operated in Minnesota since 1955, supplying fuel to the region for seventy years, but long term viability depends on regulatory and economic conditions.

As the sixty percent mandate approaches, uncertainty continues to grow.

Experienced contractors without union credentials face the prospect of losing access to work they have performed safely for decades.

Drivers across Minnesota and neighboring states may face higher fuel prices if refinery output declines.

Communities near these facilities have a direct stake in who is working inside them and whether staffing constraints compromise safety.

The Skilled and Trained Workforce Act was presented as a measure to improve safety and labor standards.

However, the refineries that operate these complex and hazardous facilities warned that the law could produce the opposite effect.

As Minnesota prepares to enforce the full requirements in 2026, the question remains whether the state has adequately planned for the consequences of restricting labor supply in one of its most critical industries.

Minnesota built an energy system heavily dependent on two refineries.

It then enacted a law that makes operating those refineries more difficult.

Whether ideology or practical reality will prevail remains uncertain, but the outcome will affect workers, consumers, and the broader Midwest for years to come.