HF 1734

1st Engrossment - 86th Legislature (2009 - 2010) Posted on 03/15/2010 01:25pm

A bill for an act
relating to environment; authorizing establishment of basin boards; authorizing
taxing authority; amending Minnesota Statutes 2008, sections 103B.101,
subdivision 9; 103B.102, subdivision 2; 103B.231, subdivision 4; 103B.245,
subdivision 1; 103B.3369, subdivision 2; 103D.205, subdivision 3; 103D.401,
subdivision 1; Minnesota Statutes 2009 Supplement, sections 103B.3369,
subdivision 5; 275.066; proposing coding for new law in Minnesota Statutes,
chapters 103A; 103B.

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

Section 1.

new text begin [103A.212] BASIN WATERSHED 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.
new text end

Sec. 2.

Minnesota Statutes 2008, section 103B.101, subdivision 9, is amended to read:

Subd. 9.

Powers and duties.

In addition to the powers and duties prescribed
elsewhere, the board shall:

(1) coordinate the water and soil resources planning activities of counties, soil and
water conservation districts, watershed districts, watershed management organizations,
and any other local units of government through its various authorities for approval of
local plans, administration of state grants, and by other means as may be appropriate;

(2) facilitate communication and coordination among state agencies in cooperation
with the Environmental Quality Board, and between state and local units of government,
in order to make the expertise and resources of state agencies involved in water and soil
resources management available to the local units of government to the greatest extent
possible;

(3) coordinate state and local interests with respect to the study in southwestern
Minnesota under United States Code, title 16, section 1009;

(4) develop information and education programs designed to increase awareness
of local water and soil resources problems and awareness of opportunities for local
government involvement in preventing or solving them;

(5) provide a forum for the discussion of local issues and opportunities relating
to water and soil resources management;

(6) adopt an annual budget and work program that integrate the various functions
and responsibilities assigned to it by law; deleted text begin and
deleted text end

(7) report to the governor and the legislature by October 15 of each even-numbered
year with an assessment of board programs and recommendations for any program
changes and board membership changes necessary to improve state and local efforts in
water and soil resources management new text begin ; and
new text end

new text begin (8) report to the legislature by January 15 of each even-numbered year on the
progress being made to further the basin watershed management policy established under
section 103A.212 new text end .

The board may accept grants, gifts, donations, or contributions in money, services,
materials, or otherwise from the United States, a state agency, or other source to achieve
an authorized purpose. The board may enter into a contract or agreement necessary or
appropriate to accomplish the transfer. The board may receive and expend money to
acquire conservation easements, as defined in chapter 84C, on behalf of the state and
federal government consistent with the Camp Ripley's Army Compatible Use Buffer
Project.

Any money received is hereby appropriated and dedicated for the purpose for
which it is granted.

Sec. 3.

Minnesota Statutes 2008, section 103B.102, subdivision 2, is amended to read:

Subd. 2.

Definitions.

For the purposes of this section, "local water management
entities" means new text begin basin boards, new text end watershed districts, soil and water conservation districts,
metropolitan water management organizations, and counties operating separately or
jointly in their role as local water management authorities under chapter 103B, 103C,
103D, or 103G and chapter 114D.

Sec. 4.

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

new text begin (a) For the purposes of sections 103B.176 to 103B.18, the following terms have
the meanings given.
new text end

new text begin (b) "Basin board" means a basin board established under section 103B.178 or
103B.179.
new text end

new text begin (c) "Local water management organizations" 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 (d) "Watershed management entity" means: (1) a watershed district under chapter
103D; (2) a watershed management organization under section 103B.211; or (3) a formally
organized joint powers organization of counties, cities, soil and water conservation
districts, and watershed 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 as determined by the Board of Water and Soil Resources. A lake
improvement district is not a watershed management entity.
new text end

Sec. 5.

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

new text begin Subdivision 1. new text end

new text begin Basin management purposes. new text end

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

new text begin (1) protect, preserve, and use natural surface water 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 water
and groundwater quality;
new text end

new text begin (4) establish more uniform policies, goals, and objectives for surface water 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 water and groundwater resources;
new text end

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

new text begin (10) work with other public agencies and citizen volunteers collecting scientific data
used to identify and restore impaired waters; and
new text end

new text begin (11) 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) Basin boards may be established in each of the state's
major river basins. Basin boards shall be established by petition under section 103B.178
in the following major river basins:
new text end

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

new text begin (2) Great Lakes 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; and
new text end

new text begin (8) Minnesota River Basin.
new text end

new text begin (b) The board for the Red River of the North Basin shall be the Red River Watershed
Management Board established under Laws 1976, chapter 162. The Red River Watershed
Management Board may reorganize and establish itself under the petition for amendment
process under section 103B.179. Until the Red River Watershed Management Board
is established under section 103B.179, the board shall continue to operate under Laws
1976, chapter 162.
new text end

new text begin Subd. 3. new text end

new text begin Membership; organization. new text end

new text begin (a) Membership of the basin boards under
subdivision 2, paragraph (a), consists of one member from each of the existing watershed
management entities within the basin and one member from each of the major watershed
units where there is no watershed management entity. The governing body for each
watershed management entity shall appoint one member. If no watershed management
entity exists, the counties and soil and water conservation districts located wholly or
partially within, or any watershed district located partially within, each major watershed
unit shall jointly appoint one member that resides in the major watershed unit. A member
of a basin board must be a county commissioner, a soil and water conservation district
supervisor, a watershed district manager, or an elected city official.
new text end

new text begin (b) Each basin board established by petition under section 103B.178 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 Subd. 4. new text end

new text begin Advisory committee. new text end

new text begin (a) A basin board must appoint an advisory
committee to advise and assist the basin board on all matters affecting the interests of the
basin and make recommendations to the basin board on all projects and improvements
proposed by the basin board.
new text end

new text begin (b) The advisory committee consists of at least six members. The members of the
advisory committee shall be from the advisory committees of the watershed management
entities within the basin. If no watershed management entity exists, the advisory
committee member shall be appointed in the same manner as the basin membership under
subdivision 3. The members must be residents of the basin and shall serve two-year terms.
new text end

new text begin Subd. 5. new text end

new text begin Basin management plans. new text end

new text begin Within 24 months of establishment under
section 103B.178 or 103B.179, a basin board shall adopt a basin management plan as
approved by the Board of Water and Soil Resources.
new text end

new text begin Subd. 6. new text end

new text begin Watershed management entity plans. new text end

new text begin Within 120 days of basin board
establishment under section 103B.178 or 103B.179, all watershed management entity
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 to the basin board for review and comment on the consistency
of the proposed plan with the basin management plan. A county or soil and water
conservation district may use the watershed management entity plan to meet the local
water management plan requirements of sections 103B.311 and 103C.331, subdivision 11.
new text end

new text begin Subd. 7. new text end

new text begin Taxing and other authority. new text end

new text begin (a) For taxes levied the year following
the establishment of the basin board and thereafter, a basin board with taxing authority
under paragraph (b) or a county with taxing authority under paragraph (c) may levy an ad
valorem tax not to exceed 0.048 percent of the taxable market value of all property within
the basin, or $1,000,000, whichever is less. A levy under this subdivision is in addition to
any other levy authorized by statute. The levy shall be allocated as follows:
new text end

new text begin (1) one-half of the levy shall be credited to the general fund of the basin board and
shall be used: (i) to develop and implement the basin board's management plan; and (ii)
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; and
new text end

new text begin (2) the remaining one-half of the levy shall be credited to the watershed management
fund of the watershed management entity for development, construction, maintenance,
implementation, and operation of projects and programs of benefit to the watershed and
basin for the restoration, enhancement, preservation, and protection of water and related
land resources. If no watershed management entity exists for a major watershed unit,
the levy under this clause shall be credited to the county and held by the county until a
watershed management entity is established, at which time the funds shall be transferred
for use by the watershed management entity.
new text end

new text begin (b) A basin board may establish taxing authority under this section if the majority of
the members of the basin board are elected officials at the time the levy is established.
A basin board with taxing authority under this section is a special taxing district under
section 275.066.
new text end

new text begin (c) A county may levy a tax under paragraph (a) on behalf of a basin board when a
basin board does not have taxing authority under paragraph (b). A county levying under
this section is a special taxing district under section 275.066.
new text end

new text begin (d) A basin board may hire or contract for goods and services to carry out its
responsibilities under this section.
new text end

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

new text begin (f) A basin board is eligible for funding from the clean water fund under section
114D.50, provided the basin board meets the requirements established under section
103B.18, subdivision 1.
new text end

new text begin (g) A basin board may enter into joint powers agreements under section 471.59.
new text end

Sec. 6.

new text begin [103B.178] ESTABLISHMENT PETITION.
new text end

new text begin Subdivision 1. new text end

new text begin Filing. new text end

new text begin To establish a basin board as permitted under section
103B.177, an establishment petition must be filed with the Board of Water and Soil
Resources.
new text end

new text begin Subd. 2. new text end

new text begin Requirements. new text end

new text begin The establishment petition must state:
new text end

new text begin (1) the name of the proposed basin board;
new text end

new text begin (2) the major river basin under section 103B.177 to be represented by the board,
including a map and description of the property to be included;
new text end

new text begin (3) the membership structure of the board meeting the requirements under section
103B.177, subdivision 3; and
new text end

new text begin (4) whether the board intends to meet the elected official requirements for
establishing taxing authority under section 103B.177, subdivision 7.
new text end

new text begin Subd. 3. new text end

new text begin Signatures. new text end

new text begin The establishment petition must be signed by one or more
of the following groups:
new text end

new text begin (1) one-half or more of the counties, soil and water conservation districts, or
watershed districts located wholly or partially within the basin;
new text end

new text begin (2) counties, soil and water conservation districts, or watershed districts collectively
having 50 percent or more of the area within the basin;
new text end

new text begin (3) cities that represent the majority of city residents within the basin; or
new text end

new text begin (4) 50 or more resident owners residing in a watershed from at least 25 percent of
the watersheds within the basin, excluding resident owners within the corporate limits of
a city if the city has signed the petition.
new text end

new text begin Subd. 4. new text end

new text begin Filing establishment petitions. new text end

new text begin (a) The petitioners must file a copy of
the original establishment petition with a signed statement of delivery or receipt with the
auditors of affected counties and with the Board of Water and Soil Resources.
new text end

new text begin (b) An auditor that receives a copy of an establishment petition must determine
whether the petitioners are resident owners from the tax records. The tax records are prima
facie evidence of ownership. The auditor must certify the number of petitioners that are
resident owners and file the certification with the Board of Water and Soil Resources.
new text end

new text begin (c) After receiving a copy of the establishment petition, the Board of Water and Soil
Resources shall acknowledge that an establishment petition has been received and prepare
a preliminary river basin map and a preliminary report about the basin.
new text end

new text begin Subd. 5. new text end

new text begin Similar and duplicate establishment petitions. new text end

new text begin Similar and duplicate
establishment petitions for the same proposed basin board may be filed and regarded as
one establishment petition. All establishment petitions filed before the establishment
hearing must be considered by the Board of Water and Soil Resources as part of the
original petition.
new text end

new text begin Subd. 6. new text end

new text begin Defective establishment petition. new text end

new text begin An establishment petition that has the
requisite number of petitioner signatures may not be dismissed because of defects in the
establishment petition. The Board of Water and Soil Resources must allow petitioners to
amend a defective establishment petition at any time before the end of the establishment
hearing.
new text end

new text begin Subd. 7. new text end

new text begin Withdrawal of petitioners. new text end

new text begin After an establishment petition has been filed,
a petitioner may not withdraw from the establishment petition unless the withdrawing
petitioner obtains the written consent of all other petitioners and files the written consent
with the Board of Water and Soil Resources.
new text end

new text begin Subd. 8. new text end

new text begin Hearings; notice. new text end

new text begin (a) After receiving an establishment petition, the
Board of Water and Soil Resources must determine whether the establishment petition
has the requisite number of petitioner signatures. If the establishment petition does
not have the requisite number of petitioners, the board must dismiss the establishment
petition and return it to the petitioners with an explanation of why the petition was
dismissed. If the board determines that an establishment petition has the requisite number
of petitioner signatures, the board must, by order, set a time and location for hearings on
the establishment petition within 35 days after the board's determination. The hearings
must be held within the limits of the basin to be established unless the board determines
a suitable place is not located within the basin and selects a place within the limits of a
county that would be affected by the proposed basin board.
new text end

new text begin (b) The Board of Water and Soil Resources must give notice of the establishment
hearings by publication in a legal newspaper that is published in counties affected by the
proposed basin board. The last publication must occur at least ten days before the last
establishment hearing. The board must give notice of the establishment hearings to the
commissioners of natural resources, agriculture, health, and the Pollution Control Agency
and to the auditors of counties and the chief executive officials of municipalities affected
by the proposed basin board. The notice must include:
new text end

new text begin (1) a statement that an establishment petition has been filed with the board and
auditors of counties affected by the proposed basin board;
new text end

new text begin (2) a general description of the need for the basin board;
new text end

new text begin (3) a general description of the property to be included in the basin represented
by the proposed board;
new text end

new text begin (4) the date, time, and location of the hearings; and
new text end

new text begin (5) a statement that all persons affected or interested in the establishment of the basin
board may attend and give statements at the establishment hearings.
new text end

new text begin (c) The Board of Water and Soil Resources must allow all persons interested in or
affected by the proposed basin board an opportunity to make oral and written statements at
the establishment hearings. The board may continue the establishment hearings.
new text end

new text begin Subd. 9. new text end

new text begin Establishment order. new text end

new text begin (a) If the Board of Water and Soil Resources
determines after the establishment hearings that the establishment of the proposed basin
board would benefit the public welfare and public interest, the board must, by order,
establish the basin board. The order of the board establishing the basin board must include:
new text end

new text begin (1) the findings of the board supporting its determination to establish the basin board;
new text end

new text begin (2) the official name of the basin board;
new text end

new text begin (3) the location of the principal place of business of the basin board;
new text end

new text begin (4) the boundaries of the basin to be represented by the basin board; and
new text end

new text begin (5) the membership of the basin board.
new text end

new text begin (b) The Board of Water and Soil Resources must file a certified copy of the findings
and order establishing a basin board with the secretary of state and, at the same time:
new text end

new text begin (1) mail a copy of the findings and order to the auditor of each county affected by the
basin board and to the commissioners of natural resources, agriculture, health, and the
Pollution Control Agency; and
new text end

new text begin (2) have each basin board member personally served with a copy of the order.
new text end

new text begin (c) A basin board established under this section exists from the time the order
establishing the basin board is filed with the secretary of state until the basin board is
terminated under section 103B.179.
new text end

Sec. 7.

new text begin [103B.179] AMENDMENTS AND TERMINATION.
new text end

new text begin Subdivision 1. new text end

new text begin Amendment process. new text end

new text begin An establishment order for a basin board may
be amended as provided in this section. A proceeding to amend an establishment order
must be initiated by a petition to the Board of Water and Soil Resources requesting the
amendment. Amendments may include changes to the boundaries of the area represented
by the basin board, withdrawal of a portion of the area represented, additions to the area
represented, or consolidation of areas represented. The Red River Watershed Management
Board may reorganize and establish itself under this section as provided under section
103B.177.
new text end

new text begin Subd. 2. new text end

new text begin Petition. new text end

new text begin (a) A petition for an amendment to an establishment order for a
basin board must include:
new text end

new text begin (1) the name of the basin boards affected by any of the proposed changes;
new text end

new text begin (2) a description, in general terms, of the property affected by the proposed changes;
new text end

new text begin (3) reasons for the proposed changes;
new text end

new text begin (4) by illustration in a map, the proposed changes; and
new text end

new text begin (5) a request for the Board of Water and Soil Resources to establish the proposed
changes.
new text end

new text begin (b) A petition for an amendment must be signed by:
new text end

new text begin (1) one-half or more of the counties, soil and water conservation districts, or
watershed districts located wholly or partially within the basin;
new text end

new text begin (2) counties, soil and water conservation districts, or watershed districts collectively
having 50 percent or more of the area within the basin;
new text end

new text begin (3) cities that represent the majority of city residents within the basin;
new text end

new text begin (4) 50 or more resident owners residing in a watershed from at least 25 percent of
the watersheds within the basin, excluding resident owners within the corporate limits of a
city if the city has signed the petition; or
new text end

new text begin (5) the basin board by passage of a resolution authorizing the amendment.
new text end

new text begin Subd. 3. new text end

new text begin Hearings. new text end

new text begin The Board of Water and Soil Resources must set a time and
location for hearings and give notice of the hearings in the same manner as establishment
hearings. If a petition for an amendment involves a common boundary of two or more
areas represented by established basin boards, the Board of Water and Soil Resources
must determine the basin where the hearings will be held.
new text end

new text begin Subd. 4. new text end

new text begin Establishment of amendment. new text end

new text begin (a) After the hearings on the petition
for an amendment, the Board of Water and Soil Resources must establish the proposed
amendment, by order, if the board determines that establishment of the proposed
amendment would benefit the public welfare and public interest and the proposed
amendment would advance the purpose of this chapter.
new text end

new text begin (b) In the order establishing the amendment, the board must include:
new text end

new text begin (1) the findings of the board supporting its determination to establish the amendment;
and
new text end

new text begin (2) the boundaries of the areas represented by the basin boards affected by the
amendment.
new text end

new text begin (c) The board must file a certified copy of the findings and order establishing the
amendment with the secretary of state and, at the same time, mail a copy of the order to
the auditors of counties affected by the change, the commissioners of natural resources,
agriculture, health, and the Pollution Control Agency, and the members of basin boards
affected by the change. The amendment is effective the day the certified order establishing
the amendment is filed with the secretary of state.
new text end

new text begin Subd. 5. new text end

new text begin Termination process. new text end

new text begin A basin board may be terminated under this
section. Proceedings for the termination of a basin board may only be initiated by
filing a termination petition with the Board of Water and Soil Resources. The board
may not accept a termination petition within five years from the date of a basin board's
establishment. The board may not make determinations or accept termination petitions for
basin boards more than once in five years.
new text end

new text begin Subd. 6. new text end

new text begin Termination petition; certification. new text end

new text begin (a) A termination petition must be
signed by at least 25 percent of the resident owners from each of at least 50 percent of
the watersheds in the area represented by the basin board. The termination petition must
state that the existence of the basin board does not benefit the public welfare and public
interest and the basin board is not needed to accomplish the purposes of this chapter. The
petitioners must file a copy of the termination petition with the auditors of the counties
affected by the basin board. The original termination petition with a statement signed for
delivery or receipt of each of the termination petitions submitted to the auditors of counties
affected by the basin board must be filed with the Board of Water and Soil Resources.
new text end

new text begin (b) An auditor who receives a termination petition must determine from the tax
records whether the petitioners are resident owners within the area represented by the
basin board. The auditor must certify the number of petitioners that are resident owners
and file the certification with the Board of Water and Soil Resources.
new text end

new text begin Subd. 7. new text end

new text begin Termination hearing; notice. new text end

new text begin (a) When the Board of Water and Soil
Resources determines a termination petition has been filed that meets the requirements of
this section, the board must, by order, set a time within 35 days after its determination and
a location within the area represented by the basin board for a termination hearing.
new text end

new text begin (b) The board must give notice of the termination hearing by publication in a legal
newspaper that is published in counties affected by the basin board. The last publication
must occur at least ten days before the termination hearing.
new text end

new text begin (c) The board must give notice of the termination hearing by mail to the auditors of
counties and the chief executive officials of municipalities affected by the basin board.
new text end

new text begin (d) The notice must include:
new text end

new text begin (1) a statement that a termination petition has been filed with the board and auditors
of the counties affected by the basin board;
new text end

new text begin (2) a general description of why the basin board is to be terminated;
new text end

new text begin (3) a general description of the property within the area represented by the basin
board;
new text end

new text begin (4) the date, time, and location of the hearing; and
new text end

new text begin (5) a statement that all persons affected by or interested in the basin board may
attend and give statements at the termination hearing.
new text end

new text begin (e) The Board of Water and Soil Resources must allow all persons affected by or
interested in the basin board to make oral and written statements at the termination
hearing. The board may continue the termination hearing.
new text end

new text begin Subd. 8. new text end

new text begin Termination order. new text end

new text begin If, after the termination hearing, the Board of Water
and Soil Resources determines that the existence of the basin board does not benefit the
public welfare and public interest and the basin board is not needed to accomplish the
purpose of this chapter, the board must issue a termination order. The termination order
must include findings that support termination of the basin board and a statement that the
basin board is terminated. The board must file a certified copy of the termination order
with the secretary of state. A basin board ceases to be a political subdivision and ceases to
exist when a termination order for the basin board is filed with the secretary of state.
new text end

Sec. 8.

new text begin [103B.18] STANDARDS AND OVERSIGHT.
new text end

new text begin Subdivision 1. new text end

new text begin Standards. new text end

new text begin A basin board may, in its basin management plan, adopt
additional performance and operational standards for its member watershed management
entities. A basin board, water management entity, or other local water management
organization is not eligible for funds from the clean water legacy account under section
114D.45 or from the clean water fund under section 114D.50 unless:
new text end

new text begin (1) it is formally organized;
new text end

new text begin (2) it has a water plan approved by the Board of Water and Soil Resources;
new text end

new text begin (3) there is cooperation, coordination, and implementation on a watershed basin
basis; and
new text end

new text begin (4) nonstate matching funds are available.
new text end

new text begin Subd. 2. new text end

new text begin Corrective actions. new text end

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

new text begin (b) A basin board may petition the Board of Water and Soil Resources to establish a
watershed district if deficiencies identified by the Board of Water and Soil Resources are
not corrected within two years. The Board of Water and Soil Resources 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. 9.

Minnesota Statutes 2008, section 103B.231, subdivision 4, is amended to read:

Subd. 4.

General standards.

(a) The watershed management plan must specify the
period covered by the plan and must extend at least five years but no more than ten years
from the date the board approves the plan. Plans that contain revision dates inconsistent
with this section must comply with that date, provided it is not more than ten years beyond
the date of board approval.

(b) The plan must be reviewed for consistency with an adopted county groundwater
plan, and revised to the degree necessary to become compliant with the groundwater plan
no later than two years after adoption by the county. A one-year extension may be granted
by the board. Upon the request of a watershed management organization, the county shall
provide a written statement that:

(1) identifies any substantial inconsistencies between the watershed plan and the
groundwater plan and any substantial adverse effects of the watershed plan on the
groundwater plan; and

(2) evaluates, estimates the cost of, and recommends alternatives for amending the
watershed plan to rectify any substantial inconsistencies and adverse effects.

(c) The plan shall contain the elements required by subdivision 6. Each element shall
be set out in the degree of detail and prescription necessary to accomplish the purposes
of sections 103B.205 to 103B.255, considering the character of existing and anticipated
physical and hydrogeologic conditions, land use, and development and the severity of
existing and anticipated water management problems in the watershed.

(d) Existing plans of a watershed management organization shall remain in force and
effect until amended or superseded by plans adopted under sections 103B.205 to 103B.255.

(e) Watershed management organizations shall coordinate their planning activities
with new text begin basin boards, new text end contiguous watershed management organizations and counties
conducting water planning and implementation under sections 103B.101 and 103B.301
to 103B.355.

new text begin (f) The plan must be consistent with the basin watershed management policy
established in section 103A.212.
new text end

Sec. 10.

Minnesota Statutes 2008, section 103B.245, subdivision 1, is amended to read:

Subdivision 1.

Watershed management tax district.

(a) Any local government unit
planning for water management under deleted text begin sections deleted text end new text begin section 103B.177, 103B.178, new text end 103B.231
deleted text begin and deleted text end new text begin , or new text end 103B.235 may establish a watershed management tax district in the territory
within the watershed, for the purpose of paying the costs of the planning required under
deleted text begin sections deleted text end new text begin section 103B.177, new text end 103B.231 deleted text begin and deleted text end new text begin , or new text end 103B.235.

(b) Any local government unit which has part of its territory within a watershed
for which a plan has been adopted in accordance with section new text begin 103B.177, 103B.178, or
new text end 103B.231 and which has a local water management plan adopted in accordance with
section new text begin 103B.177, 103B.178, or new text end 103B.235 may establish a watershed management tax
district in the territory within the watershed or a subwatershed unit in the watershed,
for the purpose of paying capital costs of the water management facilities described in
the capital improvement program of the plans and for the purpose of paying for normal
and routine maintenance of the facilities.

(c) A county or counties required by section 103B.231, subdivision 3, to prepare,
adopt, and implement a watershed plan shall apportion the costs of planning, capital
improvements, and maintenance proportionate to benefits. The county may apportion the
costs among the subwatershed units in the watershed, or among the statutory and home
rule charter cities and towns having territory in the watershed, and for this purpose may
establish more than one watershed management tax district in the watershed.

(d) Notification of new watershed management tax districts established under this
subdivision must be made to the county auditor by July 1 in order to be effective for
taxes payable in the following year.

Sec. 11.

Minnesota Statutes 2008, section 103B.3369, subdivision 2, is amended to
read:

Subd. 2.

Establishment.

A local water resources protection and management
program is established. The board may provide financial assistance to local units of
government new text begin or to basin boards as defined in section 103B.176, paragraph (b), new text end for activities
that protect or manage water and related land quality. The activities include planning,
zoning, official controls, and other activities to implement local water management plans.

Sec. 12.

Minnesota Statutes 2009 Supplement, section 103B.3369, subdivision 5,
is amended to read:

Subd. 5.

Financial assistance.

new text begin (a) new text end A base grant may be awarded to a county that
provides a match utilizing a water implementation tax or other local source. A water
implementation tax that a county intends to use as a match to the base grant must be levied
at a rate determined by the board. The minimum amount of the water implementation tax
shall be a tax rate times the adjusted net tax capacity of the county for the preceding year.
The rate shall be the rate, rounded to the nearest .001 of a percent, that, when applied to
the adjusted net tax capacity for all counties, raises the amount of $1,500,000. The base
grant will be in an amount equal to $37,500 less the amount raised by the local match.
If the amount necessary to implement the local water plan for the county is less than
$37,500, the amount of the base grant shall be the amount that, when added to the match
amount, equals the amount required to implement the plan. For counties where the tax
rate generates an amount equal to or greater than $18,750, the base grant shall be in an
amount equal to $18,750.

new text begin (b) A base grant may be awarded to a basin board as defined in section 103B.176,
paragraph (b), for the development and implementation of a basin management plan under
section 103B.177, subdivision 5.
new text end

Sec. 13.

Minnesota Statutes 2008, section 103D.205, subdivision 3, is amended to read:

Subd. 3.

Signatures.

The establishment petition must be signed by one or more
of the following groups:

(1) one-half or more of the counties within the proposed watershed district;

(2) counties having 50 percent or more of the area within the proposed watershed
district;

(3) a majority of the cities within the proposed watershed district; deleted text begin or
deleted text end

(4) 50 or more resident owners residing in the proposed watershed district, excluding
resident owners within the corporate limits of a city if the city has signed the petition new text begin ; or
new text end

new text begin (5) a basin board as defined under section 103B.176, paragraph (b) new text end .

Sec. 14.

Minnesota Statutes 2008, section 103D.401, subdivision 1, is amended to read:

Subdivision 1.

Contents.

(a) The managers must adopt a watershed management
plan for any or all of the purposes for which a watershed district may be established.
The watershed management plan must give a narrative description of existing water and
water-related problems within the watershed district, possible solutions to the problems,
and the general objectives of the watershed district. The watershed management plan
must also conform closely with watershed management plan guidelines as adopted and
amended from time to time by the Board of Water and Soil Resources new text begin and be consistent
with the basin watershed management policy established in section 103A.212 new text end .

(b) The watershed management plan may include a separate section on proposed
projects. If the watershed district is within the metropolitan area, the separate section of
proposed projects or petitions for projects to be undertaken according to the watershed
management plan is a comprehensive plan of the watershed district for purposes of review
by the Metropolitan Council under section 473.165.

Sec. 15.

Minnesota Statutes 2009 Supplement, 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;

(25) an airport authority created under section 360.0426; deleted text begin and deleted text end

(26) new text begin a basin board or county under section 103B.177; and
new text end

new text begin (27) 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.