HF 2536

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to environment; authorizing establishment of watershed basin
management districts with taxing authority; appropriating money; amending
Minnesota Statutes 2006, sections 103B.151, subdivision 1; 275.066; proposing
coding for new law in Minnesota Statutes, chapter 103B.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 103B.151, subdivision 1, is amended to
read:

Subdivision 1.

Water planning.

The Environmental Quality Board shall:

(1) coordinate public water resource management and regulation activities among
the state agencies having jurisdiction in the area new text begin , identifying opportunities to accelerate the
protection, preservation, enhancement, and restoration of Minnesota's water and related
land resources by the adoption of river basin approaches to state activities new text end ;

(2) initiate, coordinate, and continue to develop comprehensive long-range water
resources planning in furtherance of deleted text begin the plan prepared by the Environmental Quality
Board's Water Resources Committee entitled "Minnesota Water Plan," published in
January 1991, by September 15, 2000 deleted text end new text begin sustainable approaches to water management in
the state by adopting a revised state water plan by September 15, 2010 new text end , and each ten-year
interval afterwards new text begin , addressing the issues of statewide concern raised by the local water
management entities and basin boards in their plans new text end ;

(3) coordinate water planning activities of local, regional, and federal bodies with
state water planning and integrate these plans with state strategies;

(4) coordinate development of state water policy recommendations and priorities,
and a recommended program for funding identified needs, including priorities for
implementing the new text begin state water plan, new text end state water resources monitoring plan new text begin , and basin
management plans new text end ;

(5) administer federal water resources planning with multiagency interests;

(6) ensure that groundwater quality monitoring and related data is provided and
integrated into the Minnesota land management information system according to
published data compatibility guidelines. Costs of integrating the data in accordance with
data compatibility standards must be borne by the agency generating the data;

(7) coordinate the development and evaluation of water information and education
materials and resources; and

(8) coordinate the dissemination of water information and education through
existing delivery systems.

Sec. 2.

new text begin [103B.175] WATERSHED BASIN MANAGEMENT POLICY.
new text end

new text begin The quality of life of every Minnesotan depends on water. Minnesota's rivers, lakes,
streams, wetlands, and groundwater provide a foundation for the state's recreational,
municipal, commercial, industrial, agricultural, environmental, aesthetic, and economic
well being. The legislature finds that it is in the public interest to manage water resources
from the perspective of watersheds and river basins to achieve protection, preservation,
enhancement, and restoration of the state's valuable water resources. State agencies and
local governments having authority and responsibility for the protection, preservation,
enhancement, and restoration of Minnesota's water and related land resources shall adopt
a watershed or river basin approach for water management planning and implementation.
new text end

Sec. 3.

new text begin [103B.176] DEFINITIONS.
new text end

new text begin (a) For the purposes of sections 103B.175 to 103B.179, the following terms have
the meanings given.
new text end

new text begin (b) "Local water management entities" means watershed districts, soil and water
conservation districts, metropolitan water management organizations, lake improvement
districts, lake conservation districts, and counties under chapters 103B, 103C, 103D,
and 114.
new text end

new text begin (c) "Watershed management organization" means a watershed district under chapter
103D; a watershed management organization under section 103B.211; or a formally
organized joint powers organization of counties and soil and water conservation districts
located outside the seven-county metropolitan area as defined under section 473.121,
subdivision 4, encompassing one or more of the state's major watersheds and created by
special law or agreement. Lake improvement districts are not watershed management
organizations.
new text end

new text begin (d) "Board" means the Board of Water and Soil Resources.
new text end

Sec. 4.

new text begin [103B.177] BASIN WATERSHED MANAGEMENT.
new text end

new text begin Subdivision 1. new text end

new text begin Basin management purpose. new text end

new text begin The purposes of basin watershed
management are to:
new text end

new text begin (1) protect, preserve, and use natural surface and groundwater storage and retention
systems;
new text end

new text begin (2) maximize benefits of public capital expenditures needed to correct flooding and
water quality problems;
new text end

new text begin (3) identify and plan for means to effectively protect and improve surface and
groundwater quality;
new text end

new text begin (4) establish more uniform policies and official controls for surface and groundwater
management;
new text end

new text begin (5) prevent erosion of soil and associated pollutants into surface water systems;
new text end

new text begin (6) promote groundwater recharge;
new text end

new text begin (7) protect and enhance fish and wildlife habitat;
new text end

new text begin (8) secure other benefits associated with the sustainable use and management of
surface and groundwater resources;
new text end

new text begin (9) promote coordination and cooperation among basin water management
organizations; and
new text end

new text begin (10) facilitate resolution of water resources conflicts.
new text end

new text begin Subd. 2. new text end

new text begin Basin boards. new text end

new text begin (a) A basin board is established in each of the state's
major river basins. A board's purpose is to coordinate basin water management
activities, implement projects and programs of common benefit to the basin, and monitor
performance of local water management entities. The major river basins are:
new text end

new text begin (1) Rainy River Basin;
new text end

new text begin (2) Lake Superior Basin;
new text end

new text begin (3) St. Croix River Basin;
new text end

new text begin (4) Middle Mississippi River Basin;
new text end

new text begin (5) Lower Mississippi-Cedar Rivers Basin;
new text end

new text begin (6) Missouri-Des Moines Rivers Basin;
new text end

new text begin (7) Upper Mississippi River Basin;
new text end

new text begin (8) Minnesota River Basin; and
new text end

new text begin (9) Red River of the North Basin.
new text end

new text begin The Red River Watershed Management Board, established under Laws 1976,
chapter 162, section 1, as amended, for the Red River of the North Basin; the Minnesota
River Basin Joint Powers Board, established under sections 103F.378 and 471.59, for the
Minnesota River Basin; and the Mississippi Headwaters Board, established under sections
103F.367 and 471.59, for the Upper Mississippi River Basin, have the same powers and
duties of a basin board under this section.
new text end

new text begin (b) Membership of the basin boards in paragraph (a), clauses (1) to (6), consists of
two members from each of the existing watershed management organizations or from each
of the major watershed units where there is no formally organized watershed management
organization within the basin. The governing body for each watershed management
organization shall appoint two members. If no watershed management organization exists,
the counties and soil and water conservation districts wholly or partially within each major
watershed unit shall jointly appoint one county commissioner and one soil and water
conservation district supervisor that resides in the major watershed unit.
new text end

new text begin (c) Each basin board shall annually elect from among its members a chair, vice-chair,
and secretary-treasurer who shall serve for concurrent three-year terms. The chair shall
preside over all meetings of the basin board and may call special meetings at reasonable
times and with adequate notice, when necessary. The vice-chair shall preside over the
meetings of the basin board in the absence of the chair. The secretary-treasurer or the
designee of the secretary-treasurer shall keep a record of all proceedings of the basin board.
The secretary-treasurer shall provide for the proper receipt and disbursement of funds.
new text end

new text begin (d) On or before January 1, 2010, each basin board shall adopt a basin management
plan that builds on local water plans, establishes goals and measurable outcomes, and
implements actions addressing the water quality, flood protection, land conservation,
and related ecosystem needs of the basin. Effective January 1, 2010, all watershed
management organization plans and local water plans developed under sections 103B.231,
103B.235, 103B.255, 103B.311, 103B.501, 103B.601, 103B.651, 103C.331, subdivision
11, and 103D.401 shall be submitted for review and comment by the appropriate basin
board on the consistency of the proposed plan with the basin management plan.
new text end

new text begin (e) A basin board may hire or contract for resources to carry out its responsibilities
under this section.
new text end

new text begin (f) A basin board has the authority to and must participate in interstate and
international river basin organizations that are geographically and hydrologically
connected with the river basin.
new text end

new text begin (g) Staff of local units of government that are members of the watershed management
organization are not eligible to be appointed to the respective basin boards.
new text end

Sec. 5.

new text begin [103B.178] WATERSHED MANAGEMENT ORGANIZATIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Authority. new text end

new text begin (a) A party to a joint powers agreement under section
471.59 to jointly or cooperatively manage or plan for the management of surface water
and groundwater in a watershed under this section has, in addition to other authorities
granted under section 471.59:
new text end

new text begin (1) the authority to prepare, adopt, and implement a plan for the watershed meeting
the requirements of section 103B.231;
new text end

new text begin (2) the authority of a watershed district under chapter 103D to regulate the use and
development of land in the watershed when one or more of the following conditions exists:
new text end

new text begin (i) the local government unit exercising planning and zoning authority over the land
under sections 366.10 to 366.19; 394.21 to 394.37; or 462.351 to 462.364, does not have
a local water management plan approved and adopted according to section 103B.201,
103B.301, or 103D.401;
new text end

new text begin (ii) an application to the local government unit for a permit for the use and
development of land requires an amendment to or variance from the adopted local water
management plan or implementation program of the local unit; or
new text end

new text begin (iii) the local government unit has authorized the organization to require permits for
the use and development of land;
new text end

new text begin (3) the authority of a watershed district under section 103D.911 to adopt a budget
and decide on the total amount necessary up to the maximum allowed from ad valorem tax
levies to meet the budget;
new text end

new text begin (4) the authority of a watershed district under section 103D.915 to certify its levy to
the home county auditor of a county that has territory within the joint powers watershed
management organization; and
new text end

new text begin (5) other powers necessary to exercise the authority under clauses (1) to (4),
including the power to enter into contracts with governmental units or persons.
new text end

new text begin (b) Decisions by a joint powers board may not require more than a majority vote,
except a decision on a capital improvement project, which may require no more than a
two-thirds vote.
new text end

new text begin (c) For purposes of paragraph (a), clause (4), "home county auditor" means the
county auditor of the county containing the highest taxable market value within the
watershed management organization boundary in the assessment year in which it is
established.
new text end

new text begin Subd. 2. new text end

new text begin Review of watershed boundaries. new text end

new text begin Before commencing planning, a
watershed management organization established under this section and section 471.59,
must submit a map delineating the boundaries of the watershed management organization
to the board for review and comment. The board has 60 days to comment.
new text end

new text begin Subd. 3. new text end

new text begin Taxing authority by watershed basin. new text end

new text begin (a) Each watershed management
organization located within one of the established basin boards under section 103B.177
may levy an ad valorem tax not to exceed 0.048 percent of the taxable market value of all
property within the watershed basin, or $......., whichever is less. The levy is in addition
to any other levy authorized by statute. One-half of the levy shall be credited to the
watershed management fund of the watershed management organization for development,
construction, maintenance, implementation, and operation of projects and programs of
benefit to the watershed for the restoration, enhancement, preservation, and protection
of water and related land resources. The remaining one-half of the levy shall be credited
to the general fund of the basin board and shall be used for water resource projects and
programs of benefit to the basin. The basin board must adopt criteria for application and
allocation of these funds by the basin board.
new text end

new text begin (b) For purposes of this section, a joint powers watershed management organization
shall be considered a special taxes district under section 275.066.
new text end

Sec. 6.

new text begin [103B.179] ACCOUNTABILITY AND OVERSIGHT.
new text end

new text begin Subdivision 1. new text end

new text begin Standards. new text end

new text begin The board shall establish performance and operational
standards for basins, water management organizations, and local water management
entities that provide for annual performance review of progress in achieving the goals
and objectives of each organization's respective management plan. Each basin board
may adopt additional performance and operational standards for its member watershed.
Water management organizations or local water management entities are not eligible for
Clean Water Legacy restoration and protection implementation grants or loans unless they
are formally organized and there is cooperation, coordination, and implementation on
a watershed basis.
new text end

new text begin Subd. 2. new text end

new text begin Annual reporting. new text end

new text begin Annually on or before April 15, each watershed
basin, water management organization, and local water management entity shall file with
the basin board and the board an annual report on a form developed by the board that
summarizes its activities and outcomes including: plan development and implementation;
financial management; water quality assessment, monitoring, and management; flood
control and water level management; natural area protection and restoration; ditch and
stormwater facility management and maintenance; capital projects; scientific and technical
studies; and grants and cost-sharing activities.
new text end

new text begin Subd. 3. new text end

new text begin Peer review and evaluation. new text end

new text begin A basin board shall evaluate the
performance, financial management, and activity information of each watershed
management organization in the basin. Not less than once every five years, the basin board
shall establish a peer review panel to evaluate the performance of each water management
organization and its member local water management entities in accomplishing its adopted
plan. A peer review panel shall have at least five members, including two members
of the basin board, technical professionals representing two of the water management
organizations within the basin, and a representative from the board. Members of the
peer review panel must not be from the watershed management organization or local
water management entity under evaluation. The peer review panel shall file a report
with the basin board and the board. The board shall maintain a summary of watershed
management organization performance and peer review panel reports on its Web site and
provide an analysis to the chairs of the house and senate committees having jurisdiction
over environment and natural resources by February 1 of each odd-numbered year.
new text end

new text begin Subd. 4. new text end

new text begin Corrective actions. new text end

new text begin (a) In addition to other authorities, the board and the
board's member agencies may, based on the peer review panel evaluation in subdivision
3, reduce, withhold, or redirect grants and other funding and withdraw other delegated
water-related authorities if the watershed management organization has not taken steps
prescribed to correct deficiencies as identified by the board within one year from the
date of the notice.
new text end

new text begin (b) The board shall provide technical and administrative assistance in helping the
water management organization correct deficiencies identified in the notice.
new text end

new text begin (c) In addition to any other powers granted to the board, the board has the authority
to intervene for the purpose of resolving disputes between basin organizations and its
member watershed management organizations.
new text end

new text begin (d) If the deficiencies are not corrected within two years, the basin board or the
board may, after public notice and hearing, declare a watershed management organization
nonimplementing and initiate proceedings for establishment of a watershed district.
new text end

Sec. 7.

Minnesota Statutes 2006, section 275.066, is amended to read:

275.066 SPECIAL TAXING DISTRICTS; DEFINITION.

For the purposes of property taxation and property tax state aids, the term "special
taxing districts" includes the following entities:

(1) watershed districts under chapter 103D;

(2) sanitary districts under sections 115.18 to 115.37;

(3) regional sanitary sewer districts under sections 115.61 to 115.67;

(4) regional public library districts under section 134.201;

(5) park districts under chapter 398;

(6) regional railroad authorities under chapter 398A;

(7) hospital districts under sections 447.31 to 447.38;

(8) St. Cloud Metropolitan Transit Commission under sections 458A.01 to 458A.15;

(9) Duluth Transit Authority under sections 458A.21 to 458A.37;

(10) regional development commissions under sections 462.381 to 462.398;

(11) housing and redevelopment authorities under sections 469.001 to 469.047;

(12) port authorities under sections 469.048 to 469.068;

(13) economic development authorities under sections 469.090 to 469.1081;

(14) Metropolitan Council under sections 473.123 to 473.549;

(15) Metropolitan Airports Commission under sections 473.601 to 473.680;

(16) Metropolitan Mosquito Control Commission under sections 473.701 to 473.716;

(17) Morrison County Rural Development Financing Authority under Laws 1982,
chapter 437, section 1;

(18) Croft Historical Park District under Laws 1984, chapter 502, article 13, section
6;

(19) East Lake County Medical Clinic District under Laws 1989, chapter 211,
sections 1 to 6;

(20) Floodwood Area Ambulance District under Laws 1993, chapter 375, article
5, section 39;

(21) Middle Mississippi River Watershed Management Organization under sections
103B.211 and 103B.241;

(22) emergency medical services special taxing districts under section 144F.01;

(23) a county levying under the authority of section 103B.241, 103B.245, or
103B.251;

(24) Southern St. Louis County Special Taxing District; Chris Jensen Nursing Home
under Laws 2003, First Special Session chapter 21, article 4, section 12; deleted text begin and
deleted text end

(25) new text begin watershed management organizations under section 103B.178; and
new text end

new text begin (26) new text end any other political subdivision of the state of Minnesota, excluding counties,
school districts, cities, and towns, that has the power to adopt and certify a property tax
levy to the county auditor, as determined by the commissioner of revenue.

Sec. 8. new text begin RULEMAKING.
new text end

new text begin The Board of Water and Soil Resources shall adopt rules prescribing minimum
requirements for the implementation of sections 2 to 6.
new text end

Sec. 9. new text begin APPROPRIATION.
new text end

new text begin $....... is appropriated in fiscal year .... as a onetime appropriation for grants to
the basin boards to assist in development of the basin plan goals, objectives, priorities,
and outcomes.
new text end

new text begin $....... is appropriated in fiscal year .... and $....... is appropriated in fiscal year .... to
the Board of Water and Soil Resources for increased staffing and capacity to support the
watershed management effort of this act.
new text end

new text begin $....... is appropriated to the Environmental Quality Board in fiscal year .... and
$....... is appropriated in fiscal year .... to implement this act.
new text end