Minnesota Legislature
HF 3058
as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am
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A bill for an act
relating to state government; clarifying the Iron Range Resources and
Rehabilitation Board's funds expenditure approval process; amending Minnesota
Statutes 2004, sections 298.22, subdivision 1, by adding a subdivision; 298.2213,
subdivision 4; 298.223, subdivisions 2, 3; 298.296, subdivision 2; Minnesota
Statutes 2005 Supplement, section 298.296, subdivision 1; repealing Minnesota
Statutes 2005 Supplement, section 298.298.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2004, section 298.22, subdivision 1, is amended to read:
Subdivision 1.
The office of the commissioner of Iron Range resources and
rehabilitation.
(1) The office of the commissioner of Iron Range resources and
rehabilitation is creatednew text begin as an agency in the executive branch of state governmentnew text end . The
governor shall appoint the commissioner of Iron Range resources and rehabilitation under
section 15.06.
(2) The commissioner may hold other positions or appointments that are not
incompatible with duties as commissioner of Iron Range resources and rehabilitation. The
commissioner may appoint a deputy commissioner. All expenses of the commissioner,
including the payment of such new text begin staff and other new text end assistance as may be necessary, must be
paid out of the amounts appropriated by section 298.28new text begin or otherwise made available by
law to the commissioner. The commissioner may appoint and compensate under section
15.014 the members of any number of advisory task forcesnew text end .
(3) When the commissioner determines that distress and unemployment exists or
may exist in the future in any county by reason of the removal of natural resources or
a possibly limited use of natural resources in the future and any resulting decrease in
employment, the commissioner may use whatever amounts of the appropriation made deleted text begin to
the commissioner of revenuedeleted text end in section 298.28 that are determined to be necessary and
proper in the development of the remaining resources of the county and in the vocational
training and rehabilitation of its residents, except that the amount needed to cover cost
overruns awarded to a contractor by an arbitrator in relation to a contract awarded by
the commissioner or in effect after July 1, 1985, is appropriated from the general fund.
For the purposes of this section, "development of remaining resources" includes, but is
not limited to, the promotion of tourism.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 2.
Minnesota Statutes 2004, section 298.22, is amended by adding a subdivision
to read:
new text begin Subd. 11. new text end
new text begin Budgeting. new text end
new text begin
(a) The commissioner of Iron Range resources and
rehabilitation shall annually prepare a budget of operational expenditures, programs,
and projects, and submit it to the Iron Range Resources and Rehabilitation Board and
the governor for approval. The commissioner is authorized to expend available funds
approved in the budget for operational expenditures and, to the extent provided in
paragraph (c), for programs.
new text end
new text begin
(b) Expenditures identified as projects under the approved annual budget require
specific project approval as further provided by the particular account from which the
project is funded.
new text end
new text begin
(c) Expenditures of funds provided under section 298.22 or 298.223 for programs
approved in the annual budget, except grants to for-profit recipients, do not require further
approval by the Iron Range Resources and Rehabilitation Board or by the governor.
new text end
Sec. 3.
Minnesota Statutes 2004, section 298.2213, subdivision 4, is amended to read:
Subd. 4.
Project new text begin and program new text end approval.
The deleted text begin boarddeleted text end new text begin commissionernew text end shall deleted text begin by August
1 each year prepare a list ofdeleted text end new text begin submit to the Iron Range Resources and Rehabilitation Board
new text end projects new text begin and programs new text end to be funded from the money appropriated in this section with
necessary supporting information including descriptions of the new text begin programs, new text end projects, plans,
and cost estimates. A project new text begin or program new text end must not be approved by the board unless it
finds that:
(1) the project new text begin or program new text end will materially assist, directly or indirectly, the creation of
additional long-term employment opportunities;
(2) the prospective benefits of the expenditure exceed the anticipated costs; and
(3) in the case of assistance to private enterprise, the project new text begin or program new text end will serve a
sound business purpose.
deleted text begin To be proposed by the board, adeleted text end new text begin Each new text end project new text begin or program new text end must be approved by
a majority of the Iron Range Resources and Rehabilitation Board members and the
commissioner of Iron Range resources and rehabilitation. The list of projects new text begin and
programs new text end must be submitted to the governor, who shalldeleted text begin , by November 15 of each year,deleted text end
approve, disapprove, or return for further considerationdeleted text begin ,deleted text end each projectnew text begin and programnew text end . The
money for a project new text begin or program new text end may be spent only upon approval of the project new text begin or program
new text end by the governor. deleted text begin The board may submit supplemental projects for approval at any time.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 4.
Minnesota Statutes 2004, section 298.223, subdivision 2, is amended to read:
Subd. 2.
Administration.
The taconite new text begin area new text end environmental protection fund shall
be administered by the commissioner of deleted text begin thedeleted text end Iron Range resources and rehabilitation
deleted text begin Boarddeleted text end . The commissioner shall deleted text begin by September 1 of each yeardeleted text end submit to the new text begin Iron Range
Resources and Rehabilitation new text end Board deleted text begin a list ofdeleted text end projects new text begin and programs new text end to be funded from the
taconite new text begin area new text end environmental protection fund, with such supporting information including
description of the projects, plans, and cost estimates as may be necessary. Upon approval
by a majority of the members of the Iron Range Resources and Rehabilitation Board, deleted text begin this
list shall be submitted to the governor by November 1 of each year. By December 1 of
each year,deleted text end new text begin by the commissioner of Iron Range resources and rehabilitation, and bynew text end the
governor deleted text begin shall approve or disapprove, or return for further consideration, each project.deleted text end new text begin ,new text end
funds for a project new text begin or program new text end may be expended deleted text begin only upon approval of the projectdeleted text end by the
deleted text begin board and governor. Thedeleted text end commissioner deleted text begin may submit supplemental projects to the board
and governor for approval at any timedeleted text end .
Sec. 5.
Minnesota Statutes 2004, section 298.223, subdivision 3, is amended to read:
Subd. 3.
Appropriation.
There is hereby annually appropriated to the commissioner
of Iron Range resources and rehabilitation such new text begin taconite area environmental protection
new text end funds as are necessary to carry out the projects new text begin and programs new text end approved deleted text begin and such funds as
are necessary for administration of this section. Annual administrative costs, not including
detailed engineering expenses for the projects, shall not exceed five percent of the amount
annually expended from the funddeleted text end new text begin by the board and the governornew text end .
Funds for the purposes of this section are provided by section 298.28, subdivision
11, relating to the taconite new text begin area new text end environmental protection fund.
Sec. 6.
Minnesota Statutes 2005 Supplement, section 298.296, subdivision 1, is
amended to read:
Subdivision 1.
Project new text begin and program new text end approval.
The deleted text begin boarddeleted text end new text begin commissionernew text end shall
deleted text begin by August 1 of each year prepare a list ofdeleted text end new text begin submit to the Iron Range Resources and
Rehabilitation Boardnew text end projects new text begin and programs new text end to be funded from the Douglas J. Johnson
economic protection trust with necessary supporting information including description
of the new text begin programs, new text end projects, plans, and cost estimates. These projects new text begin and programs new text end shall
be consistent with the priorities established in section 298.292 and shall not be approved
by the board unless it finds that:
(a) the project new text begin or program new text end will materially assist, directly or indirectly, the creation of
additional long-term employment opportunities;
(b) the prospective benefits of the expenditure exceed the anticipated costs; and
(c) in the case of assistance to private enterprise, the project new text begin or program new text end will serve a
sound business purpose.
deleted text begin To be proposed by the board, adeleted text end new text begin Each new text end project new text begin and program new text end must be approved by at
least eight Iron Range Resources and Rehabilitation Board members and the commissioner
of Iron Range resources and rehabilitation. The list of projects new text begin and programs new text end shall
be submitted to the governor, who shalldeleted text begin , by November 15 of each year,deleted text end approve or
disapprove, or return for further consideration, each projectnew text begin and programnew text end . The money for a
project new text begin or program new text end may be expended only upon approval of the project new text begin or program new text end by the
governor. deleted text begin The board may submit supplemental projects for approval at any time.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 7.
Minnesota Statutes 2004, section 298.296, subdivision 2, is amended to read:
Subd. 2.
Expenditure of funds.
(a) Before January 1, 2028, funds may be expended
on projects new text begin and programs new text end and for administration of the trust fund only from the net
interest, earnings, and dividends arising from the investment of the trust at any time,
including net interest, earnings, and dividends that have arisen prior to July 13, 1982, plus
$10,000,000 made available for use in fiscal year 1983, except that any amount required
to be paid out of the trust fund to provide the property tax relief specified in Laws 1977,
chapter 423, article X, section 4, and to make school bond payments and payments to
recipients of taconite production tax proceeds pursuant to section 298.225, may be taken
from the corpus of the trust.
(b) Additionally, upon recommendation by the board, up to $13,000,000 from the
corpus of the trust may be made available for use as provided in subdivision 4, and up to
$10,000,000 from the corpus of the trust may be made available for use as provided in
section 298.2961.
(c) Additionally, an amount equal to 20 percent of the value of the corpus of the trust
on May 18, 2002, not including the funds authorized in paragraph (b), plus the amounts
made available under section 298.28, subdivision 4, and Laws 2002, chapter 377, article
8, section 17, may be expended on projects. Funds may be expended for projects under
this paragraph only if the project:
(1) is for the purposes established under section 298.292, subdivision 1, clause
(1) or (2); and
(2) is approved by the board upon an affirmative vote of at least ten of its members.
No money made available under this paragraph or paragraph (d) can be used for
administrative or operating expenses of the Iron Range Resources and Rehabilitation
Board or new text begin agency or new text end expenses relating to any facilities owned or operated deleted text begin by the boarddeleted text end new text begin
therebynew text end on May 18, 2002.
(d) Upon recommendation by a unanimous vote of all members of the board,
amounts in addition to those authorized under paragraphs (a), (b), and (c) may be
expended on projects described in section 298.292, subdivision 1.
(e) deleted text begin Annual administrative costs, not including detailed engineering expenses for the
projects, shall not exceed five percent of the net interest, dividends, and earnings arising
from the trust in the preceding fiscal year.
deleted text end
deleted text begin (f)deleted text end Principal and interest received in repayment of loans made pursuant to this
section, and earnings on other investments made under section 298.292, subdivision 2,
clause (4), shall be deposited in the state treasury and credited to the trust. These receipts
are appropriated to the deleted text begin boarddeleted text end new text begin commissionernew text end for the purposes of sections 298.291 to
298.298.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end
Sec. 8. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2005 Supplement, section 298.298,
new text end
new text begin
is repealed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective the day following final enactment.
new text end