HF 1493

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to water; changing the classification of 
  1.3             public waters wetlands; amending Minnesota Statutes 
  1.4             1998, sections 84.085, subdivision 2; 103F.601, 
  1.5             subdivision 1; 103G.005, subdivisions 14, 15, and 19; 
  1.6             103G.201; 103G.211; 103G.231, subdivision 3; 272.02, 
  1.7             subdivision 1; and 645.44, subdivision 8a; repealing 
  1.8             Minnesota Statutes 1998, sections 103G.005, 
  1.9             subdivision 15a; 103G.221; 103G.225; 103G.231, 
  1.10            subdivisions 1 and 2; and 103G.235. 
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12     Section 1.  Minnesota Statutes 1998, section 84.085, 
  1.13  subdivision 2, is amended to read: 
  1.14     Subd. 2.  [WETLANDS.] The commissioner of natural resources 
  1.15  must accept a gift, bequest, devise, or grant of wetlands, as 
  1.16  defined in section 103G.005, subdivision 19, or public waters 
  1.17  wetlands, as defined in section 103G.005, subdivision 15a, 
  1.18  unless: 
  1.19     (1) the commissioner determines that the value of the 
  1.20  wetland for water quality, floodwater retention, public 
  1.21  recreation, wildlife habitat, or other public benefits is 
  1.22  minimal; 
  1.23     (2) the wetland has been degraded by activities conducted 
  1.24  without a required permit by the person offering the wetland and 
  1.25  the person has not taken actions determined by the commissioner 
  1.26  to be necessary to restore the wetland; 
  1.27     (3) the commissioner determines that the wetland has been 
  1.28  contaminated by a hazardous substance as defined in section 
  2.1   115B.02, subdivision 8, a pollutant or contaminant as defined in 
  2.2   section 115B.02, subdivision 13, or petroleum as defined in 
  2.3   section 115C.02, subdivision 10, and the contamination has not 
  2.4   been remedied as required under chapter 115B or 115C; 
  2.5      (4) the wetland is subject to a lien or other encumbrance; 
  2.6   or 
  2.7      (5) the commissioner, after reasonable effort, has been 
  2.8   unable to obtain an access to the wetland. 
  2.9      Sec. 2.  Minnesota Statutes 1998, section 103F.601, 
  2.10  subdivision 1, is amended to read: 
  2.11     Subdivision 1.  [ESTABLISHMENT.] (a) The commissioner of 
  2.12  natural resources shall establish a water bank program of 
  2.13  acquiring interests in land to preserve wetlands, whether or not 
  2.14  the wetlands are included in the definition contained in section 
  2.15  103G.005, subdivision 15a. 
  2.16     (b) The commissioner may: 
  2.17     (1) acquire title to wetlands under section 97A.145; or 
  2.18     (2) enter into easement agreements with property owners to 
  2.19  preserve wetlands and other waters.  
  2.20     Sec. 3.  Minnesota Statutes 1998, section 103G.005, 
  2.21  subdivision 14, is amended to read: 
  2.22     Subd. 14.  [ORDINARY HIGH WATER LEVEL.] "Ordinary high 
  2.23  water level" means the boundary of waterbasins, 
  2.24  watercourses, and public waters, and public waters wetlands, and:
  2.25     (1) the ordinary high water level is an elevation 
  2.26  delineating the highest water level that has been maintained for 
  2.27  a sufficient period of time to leave evidence upon the 
  2.28  landscape, commonly the point where the natural vegetation 
  2.29  changes from predominantly aquatic to predominantly terrestrial; 
  2.30     (2) for watercourses, the ordinary high water level is the 
  2.31  elevation of the top of the bank of the channel; and 
  2.32     (3) for reservoirs and flowages, the ordinary high water 
  2.33  level is the operating elevation of the normal summer pool.  
  2.34     Sec. 4.  Minnesota Statutes 1998, section 103G.005, 
  2.35  subdivision 15, is amended to read: 
  2.36     Subd. 15.  [PUBLIC WATERS.] (a) "Public waters" means:  
  3.1      (1) waterbasins assigned a shoreland management 
  3.2   classification by the commissioner under sections 103F.201 to 
  3.3   103F.221, except wetlands less than 80 acres in size that are 
  3.4   classified as natural environment lakes; 
  3.5      (2) waters of the state that have been finally determined 
  3.6   to be public waters or navigable waters by a court of competent 
  3.7   jurisdiction; 
  3.8      (3) meandered lakes, excluding lakes that have been legally 
  3.9   drained; 
  3.10     (4) waterbasins previously designated by the commissioner 
  3.11  for management for a specific purpose such as trout lakes and 
  3.12  game lakes pursuant to applicable laws; 
  3.13     (5) waterbasins designated as scientific and natural areas 
  3.14  under section 84.033; 
  3.15     (6) waterbasins located within and totally surrounded by 
  3.16  publicly owned lands; 
  3.17     (7) waterbasins where the state of Minnesota or the federal 
  3.18  government holds title to any of the beds or shores, unless the 
  3.19  owner declares that the water is not necessary for the purposes 
  3.20  of the public ownership; 
  3.21     (8) waterbasins where there is a publicly owned and 
  3.22  controlled access that is intended to provide for public access 
  3.23  to the waterbasin; 
  3.24     (9) natural and altered watercourses with a total drainage 
  3.25  area greater than two square miles; and 
  3.26     (10) natural and altered watercourses designated by the 
  3.27  commissioner as trout streams; and 
  3.28     (11) public waters wetlands, unless the statute expressly 
  3.29  states otherwise. 
  3.30     (b) Public waters are not determined exclusively by the 
  3.31  proprietorship of the underlying, overlying, or surrounding land 
  3.32  or by whether it is a body or stream of water that was navigable 
  3.33  in fact or susceptible of being used as a highway for commerce 
  3.34  at the time this state was admitted to the union.  
  3.35     Sec. 5.  Minnesota Statutes 1998, section 103G.005, 
  3.36  subdivision 19, is amended to read: 
  4.1      Subd. 19.  [WETLANDS.] (a) "Wetlands" means lands 
  4.2   transitional between terrestrial and aquatic systems where the 
  4.3   water table is usually at or near the surface or the land is 
  4.4   covered by shallow water.  For purposes of this definition, 
  4.5   wetlands must have the following three attributes:  
  4.6      (1) have a predominance of hydric soils; 
  4.7      (2) are inundated or saturated by surface or ground water 
  4.8   at a frequency and duration sufficient to support a prevalence 
  4.9   of hydrophytic vegetation typically adapted for life in 
  4.10  saturated soil conditions; and 
  4.11     (3) under normal circumstances support a prevalence of such 
  4.12  vegetation. 
  4.13     (b) Wetlands does not include public waters includes all 
  4.14  type 3, 4, and 5 wetlands as defined in subdivision 
  4.15  15a designated as public waters wetlands before the effective 
  4.16  date of this section.  
  4.17     Sec. 6.  Minnesota Statutes 1998, section 103G.201, is 
  4.18  amended to read: 
  4.19     103G.201 [PUBLIC WATERS INVENTORY.] 
  4.20     (a) The commissioner shall prepare a public waters 
  4.21  inventory map of each county that shows the waters of this state 
  4.22  that are designated as public waters under the public waters 
  4.23  inventory and classification procedures prescribed under Laws 
  4.24  1979, chapter 199.  The public waters inventory map for each 
  4.25  county must be filed with the auditor of the county.  
  4.26     (b) Areas shown as public waters wetlands before the 
  4.27  effective date of this section shall be removed from the public 
  4.28  waters inventory and reclassified as wetlands. 
  4.29     Sec. 7.  Minnesota Statutes 1998, section 103G.211, is 
  4.30  amended to read: 
  4.31     103G.211 [DRAINAGE OF PUBLIC WATERS GENERALLY PROHIBITED 
  4.32  WITHOUT REPLACEMENT.] 
  4.33     Except as provided in sections 103G.221 to 103G.235, Public 
  4.34  waters may not be drained, and a permit authorizing drainage of 
  4.35  public waters may not be issued, unless the public waters to be 
  4.36  drained are replaced by public waters that will have equal or 
  5.1   greater public value.  
  5.2      Sec. 8.  Minnesota Statutes 1998, section 103G.231, 
  5.3   subdivision 3, is amended to read: 
  5.4      Subd. 3.  [PEAT MINING.] Peat mining, as defined in section 
  5.5   93.461, is permitted in public waters subject to the mine permit 
  5.6   and reclamation requirements of sections 93.44 to 93.51, and the 
  5.7   rules adopted under those restrictions, except as provided for 
  5.8   in sections 84.035 and 84.036. 
  5.9      Sec. 9.  Minnesota Statutes 1998, section 272.02, 
  5.10  subdivision 1, is amended to read: 
  5.11     Subdivision 1.  [EXEMPT PROPERTY DESCRIBED.] All property 
  5.12  described in this section to the extent herein limited shall be 
  5.13  exempt from taxation: 
  5.14     (1) All public burying grounds. 
  5.15     (2) All public schoolhouses. 
  5.16     (3) All public hospitals. 
  5.17     (4) All academies, colleges, and universities, and all 
  5.18  seminaries of learning. 
  5.19     (5) All churches, church property, and houses of worship. 
  5.20     (6) Institutions of purely public charity except parcels of 
  5.21  property containing structures and the structures described in 
  5.22  section 273.13, subdivision 25, paragraph (e), other than those 
  5.23  that qualify for exemption under clause (25). 
  5.24     (7) All public property exclusively used for any public 
  5.25  purpose. 
  5.26     (8) Except for the taxable personal property enumerated 
  5.27  below, all personal property and the property described in 
  5.28  section 272.03, subdivision 1, paragraphs (c) and (d), shall be 
  5.29  exempt.  
  5.30     The following personal property shall be taxable:  
  5.31     (a) personal property which is part of an electric 
  5.32  generating, transmission, or distribution system or a pipeline 
  5.33  system transporting or distributing water, gas, crude oil, or 
  5.34  petroleum products or mains and pipes used in the distribution 
  5.35  of steam or hot or chilled water for heating or cooling 
  5.36  buildings and structures; 
  6.1      (b) railroad docks and wharves which are part of the 
  6.2   operating property of a railroad company as defined in section 
  6.3   270.80; 
  6.4      (c) personal property defined in section 272.03, 
  6.5   subdivision 2, clause (3); 
  6.6      (d) leasehold or other personal property interests which 
  6.7   are taxed pursuant to section 272.01, subdivision 2; 273.124, 
  6.8   subdivision 7; or 273.19, subdivision 1; or any other law 
  6.9   providing the property is taxable as if the lessee or user were 
  6.10  the fee owner; 
  6.11     (e) manufactured homes and sectional structures, including 
  6.12  storage sheds, decks, and similar removable improvements 
  6.13  constructed on the site of a manufactured home, sectional 
  6.14  structure, park trailer or travel trailer as provided in section 
  6.15  273.125, subdivision 8, paragraph (f); and 
  6.16     (f) flight property as defined in section 270.071.  
  6.17     (9) Personal property used primarily for the abatement and 
  6.18  control of air, water, or land pollution to the extent that it 
  6.19  is so used, and real property which is used primarily for 
  6.20  abatement and control of air, water, or land pollution as part 
  6.21  of an agricultural operation, as a part of a centralized 
  6.22  treatment and recovery facility operating under a permit issued 
  6.23  by the Minnesota pollution control agency pursuant to chapters 
  6.24  115 and 116 and Minnesota Rules, parts 7001.0500 to 7001.0730, 
  6.25  and 7045.0020 to 7045.1260, as a wastewater treatment facility 
  6.26  and for the treatment, recovery, and stabilization of metals, 
  6.27  oils, chemicals, water, sludges, or inorganic materials from 
  6.28  hazardous industrial wastes, or as part of an electric 
  6.29  generation system.  For purposes of this clause, personal 
  6.30  property includes ponderous machinery and equipment used in a 
  6.31  business or production activity that at common law is considered 
  6.32  real property. 
  6.33     Any taxpayer requesting exemption of all or a portion of 
  6.34  any real property or any equipment or device, or part thereof, 
  6.35  operated primarily for the control or abatement of air or water 
  6.36  pollution shall file an application with the commissioner of 
  7.1   revenue.  The equipment or device shall meet standards, rules, 
  7.2   or criteria prescribed by the Minnesota pollution control 
  7.3   agency, and must be installed or operated in accordance with a 
  7.4   permit or order issued by that agency.  The Minnesota pollution 
  7.5   control agency shall upon request of the commissioner furnish 
  7.6   information or advice to the commissioner.  On determining that 
  7.7   property qualifies for exemption, the commissioner shall issue 
  7.8   an order exempting the property from taxation.  The equipment or 
  7.9   device shall continue to be exempt from taxation as long as the 
  7.10  permit issued by the Minnesota pollution control agency remains 
  7.11  in effect. 
  7.12     (10) Wetlands.  For purposes of this subdivision, 
  7.13  "wetlands" means:  (i) land described in section 103G.005, 
  7.14  subdivision 15a; (ii) land which is mostly under water, produces 
  7.15  little if any income, and has no use except for wildlife or 
  7.16  water conservation purposes, provided it is preserved in its 
  7.17  natural condition and drainage of it would be legal, feasible, 
  7.18  and economically practical for the production of livestock, 
  7.19  dairy animals, poultry, fruit, vegetables, forage and grains, 
  7.20  except wild rice; or (iii) (ii) land in a wetland preservation 
  7.21  area under sections 103F.612 to 103F.616.  "Wetlands" 
  7.22  under items item (i) and (ii) include adjacent land which is not 
  7.23  suitable for agricultural purposes due to the presence of the 
  7.24  wetlands, but do not include woody swamps containing shrubs or 
  7.25  trees, wet meadows, meandered water, streams, rivers, and 
  7.26  floodplains or river bottoms.  Exemption of wetlands from 
  7.27  taxation pursuant to this section shall not grant the public any 
  7.28  additional or greater right of access to the wetlands or 
  7.29  diminish any right of ownership to the wetlands. 
  7.30     (11) Native prairie.  The commissioner of the department of 
  7.31  natural resources shall determine lands in the state which are 
  7.32  native prairie and shall notify the county assessor of each 
  7.33  county in which the lands are located.  Pasture land used for 
  7.34  livestock grazing purposes shall not be considered native 
  7.35  prairie for the purposes of this clause.  Upon receipt of an 
  7.36  application for the exemption provided in this clause for lands 
  8.1   for which the assessor has no determination from the 
  8.2   commissioner of natural resources, the assessor shall refer the 
  8.3   application to the commissioner of natural resources who shall 
  8.4   determine within 30 days whether the land is native prairie and 
  8.5   notify the county assessor of the decision.  Exemption of native 
  8.6   prairie pursuant to this clause shall not grant the public any 
  8.7   additional or greater right of access to the native prairie or 
  8.8   diminish any right of ownership to it. 
  8.9      (12) Property used in a continuous program to provide 
  8.10  emergency shelter for victims of domestic abuse, provided the 
  8.11  organization that owns and sponsors the shelter is exempt from 
  8.12  federal income taxation pursuant to section 501(c)(3) of the 
  8.13  Internal Revenue Code of 1986, as amended through December 31, 
  8.14  1992, notwithstanding the fact that the sponsoring organization 
  8.15  receives funding under section 8 of the United States Housing 
  8.16  Act of 1937, as amended. 
  8.17     (13) If approved by the governing body of the municipality 
  8.18  in which the property is located, property not exceeding one 
  8.19  acre which is owned and operated by any senior citizen group or 
  8.20  association of groups that in general limits membership to 
  8.21  persons age 55 or older and is organized and operated 
  8.22  exclusively for pleasure, recreation, and other nonprofit 
  8.23  purposes, no part of the net earnings of which inures to the 
  8.24  benefit of any private shareholders; provided the property is 
  8.25  used primarily as a clubhouse, meeting facility, or recreational 
  8.26  facility by the group or association and the property is not 
  8.27  used for residential purposes on either a temporary or permanent 
  8.28  basis. 
  8.29     (14) To the extent provided by section 295.44, real and 
  8.30  personal property used or to be used primarily for the 
  8.31  production of hydroelectric or hydromechanical power on a site 
  8.32  owned by the federal government, the state, or a local 
  8.33  governmental unit which is developed and operated pursuant to 
  8.34  the provisions of section 103G.535. 
  8.35     (15) If approved by the governing body of the municipality 
  8.36  in which the property is located, and if construction is 
  9.1   commenced after June 30, 1983:  
  9.2      (a) a "direct satellite broadcasting facility" operated by 
  9.3   a corporation licensed by the federal communications commission 
  9.4   to provide direct satellite broadcasting services using direct 
  9.5   broadcast satellites operating in the 12-ghz. band; and 
  9.6      (b) a "fixed satellite regional or national program service 
  9.7   facility" operated by a corporation licensed by the federal 
  9.8   communications commission to provide fixed satellite-transmitted 
  9.9   regularly scheduled broadcasting services using satellites 
  9.10  operating in the 6-ghz. band. 
  9.11  An exemption provided by clause (15) shall apply for a period 
  9.12  not to exceed five years.  When the facility no longer qualifies 
  9.13  for exemption, it shall be placed on the assessment rolls as 
  9.14  provided in subdivision 4.  Before approving a tax exemption 
  9.15  pursuant to this paragraph, the governing body of the 
  9.16  municipality shall provide an opportunity to the members of the 
  9.17  county board of commissioners of the county in which the 
  9.18  facility is proposed to be located and the members of the school 
  9.19  board of the school district in which the facility is proposed 
  9.20  to be located to meet with the governing body.  The governing 
  9.21  body shall present to the members of those boards its estimate 
  9.22  of the fiscal impact of the proposed property tax exemption.  
  9.23  The tax exemption shall not be approved by the governing body 
  9.24  until the county board of commissioners has presented its 
  9.25  written comment on the proposal to the governing body or 30 days 
  9.26  have passed from the date of the transmittal by the governing 
  9.27  body to the board of the information on the fiscal impact, 
  9.28  whichever occurs first. 
  9.29     (16) Real and personal property owned and operated by a 
  9.30  private, nonprofit corporation exempt from federal income 
  9.31  taxation pursuant to United States Code, title 26, section 
  9.32  501(c)(3), primarily used in the generation and distribution of 
  9.33  hot water for heating buildings and structures.  
  9.34     (17) Notwithstanding section 273.19, state lands that are
  9.35  leased from the department of natural resources under section 
  9.36  92.46. 
 10.1      (18) Electric power distribution lines and their 
 10.2   attachments and appurtenances, that are used primarily for 
 10.3   supplying electricity to farmers at retail.  
 10.4      (19) Transitional housing facilities.  "Transitional 
 10.5   housing facility" means a facility that meets the following 
 10.6   requirements.  (i) It provides temporary housing to individuals, 
 10.7   couples, or families.  (ii) It has the purpose of reuniting 
 10.8   families and enabling parents or individuals to obtain 
 10.9   self-sufficiency, advance their education, get job training, or 
 10.10  become employed in jobs that provide a living wage.  (iii) It 
 10.11  provides support services such as child care, work readiness 
 10.12  training, and career development counseling; and a 
 10.13  self-sufficiency program with periodic monitoring of each 
 10.14  resident's progress in completing the program's goals.  (iv) It 
 10.15  provides services to a resident of the facility for at least 
 10.16  three months but no longer than three years, except residents 
 10.17  enrolled in an educational or vocational institution or job 
 10.18  training program.  These residents may receive services during 
 10.19  the time they are enrolled but in no event longer than four 
 10.20  years.  (v) It is owned and operated or under lease from a unit 
 10.21  of government or governmental agency under a property 
 10.22  disposition program and operated by one or more organizations 
 10.23  exempt from federal income tax under section 501(c)(3) of the 
 10.24  Internal Revenue Code of 1986, as amended through December 31, 
 10.25  1992.  This exemption applies notwithstanding the fact that the 
 10.26  sponsoring organization receives financing by a direct federal 
 10.27  loan or federally insured loan or a loan made by the Minnesota 
 10.28  housing finance agency under the provisions of either Title II 
 10.29  of the National Housing Act or the Minnesota Housing Finance 
 10.30  Agency Law of 1971 or rules promulgated by the agency pursuant 
 10.31  to it, and notwithstanding the fact that the sponsoring 
 10.32  organization receives funding under Section 8 of the United 
 10.33  States Housing Act of 1937, as amended. 
 10.34     (20) Real and personal property, including leasehold or 
 10.35  other personal property interests, owned and operated by a 
 10.36  corporation if more than 50 percent of the total voting power of 
 11.1   the stock of the corporation is owned collectively by:  (i) the 
 11.2   board of regents of the University of Minnesota, (ii) the 
 11.3   University of Minnesota Foundation, an organization exempt from 
 11.4   federal income taxation under section 501(c)(3) of the Internal 
 11.5   Revenue Code of 1986, as amended through December 31, 1992, and 
 11.6   (iii) a corporation organized under chapter 317A, which by its 
 11.7   articles of incorporation is prohibited from providing pecuniary 
 11.8   gain to any person or entity other than the regents of the 
 11.9   University of Minnesota; which property is used primarily to 
 11.10  manage or provide goods, services, or facilities utilizing or 
 11.11  relating to large-scale advanced scientific computing resources 
 11.12  to the regents of the University of Minnesota and others. 
 11.13     (21)(a) Small scale wind energy conversion systems 
 11.14  installed after January 1, 1991, and used as an electric power 
 11.15  source are exempt. 
 11.16     "Small scale wind energy conversion systems" are wind 
 11.17  energy conversion systems, as defined in section 216C.06, 
 11.18  subdivision 12, including the foundation or support pad, which 
 11.19  are (i) used as an electric power source; (ii) located within 
 11.20  one county and owned by the same owner; and (iii) produce two 
 11.21  megawatts or less of electricity as measured by nameplate 
 11.22  ratings. 
 11.23     (b) Medium scale wind energy conversion systems installed 
 11.24  after January 1, 1991, are treated as follows:  (i) the 
 11.25  foundation and support pad are taxable; (ii) the associated 
 11.26  supporting and protective structures are exempt for the first 
 11.27  five assessment years after they have been constructed, and 
 11.28  thereafter, 30 percent of the market value of the associated 
 11.29  supporting and protective structures are taxable; and (iii) the 
 11.30  turbines, blades, transformers, and its related equipment, are 
 11.31  exempt.  "Medium scale wind energy conversion systems" are wind 
 11.32  energy conversion systems as defined in section 216C.06, 
 11.33  subdivision 12, including the foundation or support pad, which 
 11.34  are:  (i) used as an electric power source; (ii) located within 
 11.35  one county and owned by the same owner; and (iii) produce more 
 11.36  than two but equal to or less than 12 megawatts of energy as 
 12.1   measured by nameplate ratings. 
 12.2      (c) Large scale wind energy conversion systems installed 
 12.3   after January 1, 1991, are treated as follows:  25 percent of 
 12.4   the market value of all property is taxable, including (i) the 
 12.5   foundation and support pad; (ii) the associated supporting and 
 12.6   protective structures; and (iii) the turbines, blades, 
 12.7   transformers, and its related equipment.  "Large scale wind 
 12.8   energy conversion systems" are wind energy conversion systems as 
 12.9   defined in section 216C.06, subdivision 12, including the 
 12.10  foundation or support pad, which are:  (i) used as an electric 
 12.11  power source; and (ii) produce more than 12 megawatts of energy 
 12.12  as measured by nameplate ratings. 
 12.13     (22) Containment tanks, cache basins, and that portion of 
 12.14  the structure needed for the containment facility used to 
 12.15  confine agricultural chemicals as defined in section 18D.01, 
 12.16  subdivision 3, as required by the commissioner of agriculture 
 12.17  under chapter 18B or 18C. 
 12.18     (23) Photovoltaic devices, as defined in section 216C.06, 
 12.19  subdivision 13, installed after January 1, 1992, and used to 
 12.20  produce or store electric power. 
 12.21     (24) Real and personal property owned and operated by a 
 12.22  private, nonprofit corporation exempt from federal income 
 12.23  taxation pursuant to United States Code, title 26, section 
 12.24  501(c)(3), primarily used for an ice arena or ice rink, and used 
 12.25  primarily for youth and high school programs. 
 12.26     (25) A structure that is situated on real property that is 
 12.27  used for: 
 12.28     (i) housing for the elderly or for low- and moderate-income 
 12.29  families as defined in Title II of the National Housing Act, as 
 12.30  amended through December 31, 1990, and funded by a direct 
 12.31  federal loan or federally insured loan made pursuant to Title II 
 12.32  of the act; or 
 12.33     (ii) housing lower income families or elderly or 
 12.34  handicapped persons, as defined in Section 8 of the United 
 12.35  States Housing Act of 1937, as amended. 
 12.36     In order for a structure to be exempt under item (i) or 
 13.1   (ii), it must also meet each of the following criteria: 
 13.2      (A) is owned by an entity which is operated as a nonprofit 
 13.3   corporation organized under chapter 317A; 
 13.4      (B) is owned by an entity which has not entered into a 
 13.5   housing assistance payments contract under Section 8 of the 
 13.6   United States Housing Act of 1937, or, if the entity which owns 
 13.7   the structure has entered into a housing assistance payments 
 13.8   contract under Section 8 of the United States Housing Act of 
 13.9   1937, the contract provides assistance for less than 90 percent 
 13.10  of the dwelling units in the structure, excluding dwelling units 
 13.11  intended for management or maintenance personnel; 
 13.12     (C) operates an on-site congregate dining program in which 
 13.13  participation by residents is mandatory, and provides assisted 
 13.14  living or similar social and physical support services for 
 13.15  residents; and 
 13.16     (D) was not assessed and did not pay tax under chapter 273 
 13.17  prior to the 1991 levy, while meeting the other conditions of 
 13.18  this clause. 
 13.19     An exemption under this clause remains in effect for taxes 
 13.20  levied in each year or partial year of the term of its permanent 
 13.21  financing. 
 13.22     (26) Real and personal property that is located in the 
 13.23  Superior National Forest, and owned or leased and operated by a 
 13.24  nonprofit organization that is exempt from federal income 
 13.25  taxation under section 501(c)(3) of the Internal Revenue Code of 
 13.26  1986, as amended through December 31, 1992, and primarily used 
 13.27  to provide recreational opportunities for disabled veterans and 
 13.28  their families. 
 13.29     (27) Manure pits and appurtenances, which may include 
 13.30  slatted floors and pipes, installed or operated in accordance 
 13.31  with a permit, order, or certificate of compliance issued by the 
 13.32  Minnesota pollution control agency.  The exemption shall 
 13.33  continue for as long as the permit, order, or certificate issued 
 13.34  by the Minnesota pollution control agency remains in effect. 
 13.35     (28) Notwithstanding clause (8), item (a), attached 
 13.36  machinery and other personal property which is part of a 
 14.1   facility containing a cogeneration system as described in 
 14.2   section 216B.166, subdivision 2, paragraph (a), if the 
 14.3   cogeneration system has met the following criteria:  (i) the 
 14.4   system utilizes natural gas as a primary fuel and the 
 14.5   cogenerated steam initially replaces steam generated from 
 14.6   existing thermal boilers utilizing coal; (ii) the facility 
 14.7   developer is selected as a result of a procurement process 
 14.8   ordered by the public utilities commission; and (iii) 
 14.9   construction of the facility is commenced after July 1, 1994, 
 14.10  and before July 1, 1997. 
 14.11     (29) Real property acquired by a home rule charter city, 
 14.12  statutory city, county, town, or school district under a lease 
 14.13  purchase agreement or an installment purchase contract during 
 14.14  the term of the lease purchase agreement as long as and to the 
 14.15  extent that the property is used by the city, county, town, or 
 14.16  school district and devoted to a public use and to the extent it 
 14.17  is not subleased to any private individual, entity, association, 
 14.18  or corporation in connection with a business or enterprise 
 14.19  operated for profit. 
 14.20     (30) Property owned by a nonprofit charitable organization 
 14.21  that qualifies for tax exemption under section 501(c)(3) of the 
 14.22  Internal Revenue Code of 1986, as amended through December 31, 
 14.23  1997, that is intended to be used as a business incubator in a 
 14.24  high-unemployment county but is not occupied on the assessment 
 14.25  date.  As used in this clause, a "business incubator" is a 
 14.26  facility used for the development of nonretail businesses, 
 14.27  offering access to equipment, space, services, and advice to the 
 14.28  tenant businesses, for the purpose of encouraging economic 
 14.29  development, diversification, and job creation in the area 
 14.30  served by the organization, and "high-unemployment county" is a 
 14.31  county that had an average annual unemployment rate of 7.9 
 14.32  percent or greater in 1997.  Property that qualifies for the 
 14.33  exemption under this clause is limited to no more than two 
 14.34  contiguous parcels and structures that do not exceed in the 
 14.35  aggregate 40,000 square feet.  This exemption expires after 
 14.36  taxes payable in 2005. 
 15.1      (31) Notwithstanding any other law to the contrary, real 
 15.2   property that meets the following criteria is exempt: 
 15.3      (i) constitutes a wastewater treatment system (a) 
 15.4   constructed by a municipality using public funds, (b) operates 
 15.5   under a State Disposal System Permit issued by the Minnesota 
 15.6   pollution control agency pursuant to chapters 115 and 116 and 
 15.7   Minnesota Rules, chapter 700l, and (c) applies its effluent to 
 15.8   land used as part of an agricultural operation; 
 15.9      (ii) is located within a municipality of a population of 
 15.10  less than 10,000; 
 15.11     (iii) is used for treatment of effluent from a private 
 15.12  potato processing facility; and 
 15.13     (iv) is owned by a municipality and operated by a private 
 15.14  entity under agreement with that municipality. 
 15.15     Sec. 10.  Minnesota Statutes 1998, section 645.44, 
 15.16  subdivision 8a, is amended to read: 
 15.17     Subd. 8a.  [PUBLIC WATERS.] "Public waters" means public 
 15.18  waters as defined in section 103G.005, subdivision 15, and 
 15.19  includes "public waters wetlands" as defined in section 
 15.20  103G.005, subdivision 15a. 
 15.21     Sec. 11.  [REPEALER.] 
 15.22     Minnesota Statutes 1998, sections 103G.005, subdivision 
 15.23  15a; 103G.221; 103G.225; 103G.231, subdivisions 1 and 2; and 
 15.24  103G.235, are repealed.