1.1 	A bill for an act
1.2 	relating to natural resources; providing a process for designating star lakes 
1.3 	or rivers; creating a Star Lake Board as a nonprofit corporation; allowing for 
1.4 	the placement of star lake or river signs on highways; appropriating money;
1.5 	proposing coding for new law in Minnesota Statutes, chapters 103B; 173.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. [103B.701] STAR LAKES.
1.8 		Subdivision 1.Definition. For the purposes of this section, the term "lake 
1.9 	association" means an organized association for the purpose of addressing issues on a 
1.10 	specific lake or river, a lake improvement district, or a lake conservation district.
1.11 		Subd. 2.Application. (a) A lake association may apply to the Star Lake Board for 
1.12 	designation as a star lake or river. The applicant must include a copy of a star lake or 
1.13 	river management plan for the lake or river.
1.14 	(b) After review of the application, the Star Lake Board shall determine whether 
1.15 	designation as a star lake or river will be granted. The designation as a star lake or river 
1.16 	becomes effective the day following designation by the board. The board shall publish the 
1.17 	decision on a star lake or river designation in the State Register, including the effective 
1.18 	date of the designation.
1.19 	(c) The star lake or river designation is effective until the earlier of:
1.20 	(1) five years after the date of designation; or
1.21 	(2) when the Star Lake Board finds that the lake association is not fulfilling the 
1.22 	requirements of this section or of the star lake or river management plan submitted.
1.23 	(d) Within six months before the expiration date of the designation as a star lake 
1.24 	or river, a lake association may apply to continue the star lake or river designation under 
1.25 	this section.
2.1 		Subd. 3.Eligibility. A lake association applying for designation as a star lake 
2.2 	or river must:
2.3 	(1) develop and update a star lake or river management plan as provided in 
2.4 	subdivision 4;
2.5 	(2) maintain a membership or participation of at least 50 percent of the private 
2.6 	shoreland owners;
2.7 	(3) participate in a water quality monitoring program under section 115.06, 
2.8 	subdivision 4, or other programs meeting Pollution Control Agency standards; and
2.9 	(4) meet at least annually to review the plan and notify appropriate state agencies 
2.10 	and local government units in the development and monitoring of the star lake or river 
2.11 	management plan.
2.12 		Subd. 4.Star lake or river management plan. (a) A star lake or river management 
2.13 	plan must contain a baseline of the current condition of the lake or river based on scientific 
2.14 	information, and plans for addressing the following issues:
2.15 	(1) increases in native vegetation in the littoral area of the lake or river, where 
2.16 	appropriate;
2.17 	(2) increases in native vegetation on the shoreline areas of the lake or river, where 
2.18 	appropriate;
2.19 	(3) prevention, reduction, or elimination of aquatic invasive species in the lake 
2.20 	or river;
2.21 	(4) increasing or maintaining a healthy diverse fishery that is appropriate for the 
2.22 	lake or river;
2.23 	(5) how the association will work with state agencies and local government units to 
2.24 	identify water pollution sources and impairments;
2.25 	(6) how the association will assist state and local programs to generate data needed 
2.26 	by state agencies and local government units in an appropriate format;
2.27 	(7) promoting compliance with adopted shoreland zoning standards and shoreland 
2.28 	best management practices;
2.29 	(8) how the lake association will assure its involvement in public input opportunities 
2.30 	for various local comprehensive and project-specific planning and zoning processes;
2.31 	(9) education and recognition opportunities for shoreland owners and other entities 
2.32 	that conduct activities affecting the quality of the lake or river; and
2.33 	(10) other activities that will coordinate with or enhance other state and local water 
2.34 	management efforts.
2.35 	(b) The star lake or river management plan shall be updated within five years of 
2.36 	adoption by the lake association.
3.1 		Subd. 5.State resources. State agencies may consider star lake or river designation 
3.2 	in determining the allocation of financial and staff resources.

3.3 	Sec. 2. [103B.702] STAR LAKE BOARD.
3.4 		Subdivision 1.Establishment. (a) The Star Lake Board shall be established as a 
3.5 	nonprofit corporation under section 501(c)(3) of the Internal Revenue Code of 1986, 
3.6 	as amended. The Star Lake Board shall promote and designate star lakes and rivers in 
3.7 	Minnesota under section 103B.701.
3.8 	(b) The board must work with private and public entities to leverage the resources 
3.9 	available to achieve and sustain the designation of Minnesota star lakes or rivers. The 
3.10 	board may assist lake associations with finding appropriate technical and financial 
3.11 	assistance and make recommendations to state agencies and local government units 
3.12 	regarding the manner in which technical or financial assistance can be most effectively 
3.13 	delivered. To the extent that money is available, the board may secure, provide, or 
3.14 	recommend financial assistance to meet specific needs of lake associations, for:
3.15 	(1) completing a star lake or river management plan when the lake association does 
3.16 	not have an existing management plan and the association is committed to the goals of a 
3.17 	plan, as specified in section 103B.701, subdivision 4; and
3.18 	(2) addressing specific issues of the lake or river to achieve or maintain the goals 
3.19 	of the lake or river management plan for lake associations that have achieved a star lake 
3.20 	or river designation.
3.21 	(c) The board shall consist of:
3.22 	(1) one member designated by Minnesota Waters;
3.23 	(2) one member designated by the North Central Lakes Collaborative;
3.24 	(3) five members, chosen by the other board members with regard to obtaining 
3.25 	representation from a variety of types of lakes and rivers within the state, who are from 
3.26 	lake associations representing designated star lakes or rivers, or until July 1, 2011, are 
3.27 	eligible to achieve star lake or river designation; 
3.28 	(4) one member designated by the commissioner of natural resources;
3.29 	(5) one member designated by the commissioner of the Pollution Control Agency;
3.30 	(6) one member designated by the chair of the Board of Water and Soil Resources;
3.31 	(7) one member designated by the Association of Minnesota Counties;
3.32 	(8) one member designated by the Minnesota Inter-County Association; and
3.33 	(9) one member designated by the League of Minnesota Cities.
3.34 	(d) By January 15 of each odd-numbered year, the board shall submit a report to the 
3.35 	chairs and ranking minority members of the legislative committees and divisions with 
4.1 	jurisdiction over environment policy and finance on the activities for which money has 
4.2 	been or will be spent for the current biennium, the applications for designation, and the 
4.3 	star lakes or rivers designated by the board.
4.4 		Subd. 2.Conflict of interest. A board member may not participate in or vote on a 
4.5 	decision of the board relating to an organization in which the member has either a direct 
4.6 	or indirect personal financial interest. While serving on the Star Lake Board, a member 
4.7 	shall avoid any potential conflict of interest.
4.8 		Subd. 3.Staff; contracts. The board may hire staff or enter into contracts to carry 
4.9 	out the activities of the board.
4.10 		Subd. 4.Bylaws. The board shall adopt bylaws necessary for the conduct of the 
4.11 	business of the board consistent with this section. The corporation must publish bylaws 
4.12 	and amendments to the bylaws in the State Register.
4.13 		Subd. 5.Place of business. The board shall locate and maintain the board's place of 
4.14 	business within the state.
4.15 		Subd. 6.Chair. The board shall annually elect from among its members a chair and 
4.16 	other officers necessary for the performance of its duties.
4.17 		Subd. 7.Meetings. The board shall meet at least twice each year and may hold 
4.18 	additional meetings upon giving notice in accordance with the bylaws of the board. Board 
4.19 	meetings are subject to chapter 13D.
4.20 		Subd. 8.Funds. The board may accept and use gifts, grants, or contributions from 
4.21 	any source. Unless otherwise restricted by the terms of a gift or bequest, the board may 
4.22 	sell, exchange, or otherwise dispose of and invest or reinvest the money, securities, or other 
4.23 	property given or bequested to it. The principal of these funds, the income from them, and 
4.24 	all other revenues received by the board from any nonstate source must be placed in the 
4.25 	depositories the board determines and is subject to expenditure for the board's purposes.
4.26 		Subd. 9.Accounts; audits. The board may establish funds and accounts necessary 
4.27 	to carry out its responsibilities. The board shall provide for and pay the cost of an 
4.28 	independent audit of its official books and records by the legislative auditor subject to 
4.29 	sections 3.971 and 3.972. A copy of this audit shall be filed with the secretary of state.

4.30 	Sec. 3. [173.0855] STAR LAKE OR RIVER SIGNS.
4.31 		Subdivision 1.Authority to erect. (a) A county, statutory or home rule charter city, 
4.32 	or town of Minnesota that contains a star lake or river designated under section 103B.701 
4.33 	may request the Department of Transportation to erect star lake or river signs pursuant 
4.34 	to section 161.139. One sign may be erected at each approach to a lake or river within 
4.35 	the right-of-way of an interstate or other highway that passes over a lake or river in the 
5.1 	Department of Transportation's eight-county metropolitan district or near or over a lake or 
5.2 	river in greater Minnesota.
5.3 	(b) An official lake or river sign on the right-of-way of an interstate or other highway 
5.4 	may be replaced with a star lake or river sign by the Department of Transportation 
5.5 	pursuant to section 161.139.
5.6 		Subd. 2.Sign standards. The Department of Transportation shall design and 
5.7 	manufacture the star lake and river signs to specifications not contrary to other federal 
5.8 	and state highway sign standards.

5.9 	Sec. 4. FIRST MEETING; DEADLINE FOR APPOINTMENTS.
 5.10 	The appointing authorities named in Minnesota Statutes, section 103B.702, must 
5.11 	complete their appointments to the Star Lake Board by August 1, 2008, with the exception 
5.12 	of the appointments required under Minnesota Statutes, section 103B.702, subdivision 1, 
5.13 	paragraph (c), clause (3), which must be completed within 30 days of the first meeting of 
5.14 	the board. The board member designated by the commissioner of natural resources must 
5.15 	convene the first meeting of the board no later than September 1, 2008.

5.16 	Sec. 5. APPROPRIATION.
 5.17 	$....... is appropriated in fiscal year 2009 from the general fund to the Board of Water 
5.18 	and Soil Resources for a grant to the Star Lake Board established in Minnesota Statutes, 
5.19 	section 103B.701.