<a id="pl.1.4"></a><var>1.4</var>amending Minnesota Statutes 2008, sections 394.36, subdivision 4, by adding a <br/>
<a id="pl.1.5"></a><var>1.5</var>subdivision; 462.357, subdivision 1e.<br/>
<a id="pl.1.6"></a><var>1.6</var>May 16, 2009<br/>
<a id="pl.1.7"></a><var>1.7</var>The Honorable Margaret Anderson Kelliher<br/>
<a id="pl.1.8"></a><var>1.8</var>Speaker of the House of Representatives<br/>
<a id="pl.1.9"></a><var>1.9</var>The Honorable James P. Metzen<br/>
<a id="pl.1.10"></a><var>1.10</var>President of the Senate<br/>
<a id="pl.1.11"></a><var>1.11</var>We, the undersigned conferees for H. F. No. 519 report that we have agreed upon the <br/>
<a id="pl.1.12"></a><var>1.12</var>items in dispute and recommend as follows:<br/>
<a id="pl.1.13"></a><var>1.13</var>That the Senate recede from its amendments and that H. F. No. 519 be further <br/>
<a id="pl.1.14"></a><var>1.14</var>amended as follows:<br/>
<a id="pl.1.15"></a><var>1.15</var>Delete everything after the enacting clause and insert:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.16"></a><var>1.16</var>    "Section 1. Minnesota Statutes 2008, section 394.36, subdivision 4, is amended to read:<br/>
<a id="pl.1.17"></a><var>1.17</var>    Subd. 4. <b>Nonconformities; certain classes of property.</b> This subdivision <br/>
<a id="pl.1.18"></a><var>1.18</var>applies to homestead and nonhomestead residential real estate and seasonal residential <br/>
<a id="pl.1.19"></a><var>1.19</var>real estate occupied for recreational purposes. Except as otherwise provided by law, a <br/>
<a id="pl.1.20"></a><var>1.20</var>nonconformity, including the lawful use or occupation of land or premises existing at the <br/>
<a id="pl.1.21"></a><var>1.21</var>time of the adoption of an official control under this chapter, may be continued, including <br/>
<a id="pl.1.22"></a><var>1.22</var>through repair, replacement, restoration, maintenance, or improvement, but not including <br/>
<a id="pl.1.23"></a><var>1.23</var>expansion. If the nonconformity or occupancy is discontinued for a period of more than <br/>
<a id="pl.1.24"></a><var>1.24</var>one year, or any nonconforming building or structure is destroyed by fire or other peril <br/>
<a id="pl.1.25"></a><var>1.25</var>to the extent of greater than 50 percent of its estimated market value, as indicated in <br/>
<a id="pl.1.26"></a><var>1.26</var>the records of the county assessor at the time of damage, and no building permit has <br/>
<a id="pl.1.27"></a><var>1.27</var>been applied for within 180 days of when the property is damaged, any subsequent <br/>
<a id="pl.1.28"></a><var>1.28</var>use or occupancy of the land or premises must be a conforming use or occupancy. If a <br/>
<a id="pl.2.1"></a><var>2.1</var>nonconforming building or structure is destroyed by fire or other peril to the extent of <br/>
<a id="pl.2.2"></a><var>2.2</var>greater than 50 percent of its estimated market value, as indicated in the records of the <br/>
<a id="pl.2.3"></a><var>2.3</var>county assessor at the time of damage, the board may impose reasonable conditions upon <br/>
<a id="pl.2.4"></a><var>2.4</var>a zoning or building permit in order to mitigate any newly created impact on adjacent <br/>
<a id="pl.2.5"></a><var>2.5</var>property. or water body. When a nonconforming structure in the shoreland district with <br/>
<a id="pl.2.6"></a><var>2.6</var>less than 50 percent of the required setback from the water is destroyed by fire or other <br/>
<a id="pl.2.7"></a><var>2.7</var>peril to greater than 50 percent of its estimated market value, as indicated in the records <br/>
<a id="pl.2.8"></a><var>2.8</var>of the county assessor at the time of damage, the structure setback may be increased if <br/>
<a id="pl.2.9"></a><var>2.9</var>practicable and reasonable conditions are placed upon a zoning or building permit to <br/>
<a id="pl.2.10"></a><var>2.10</var>mitigate created impacts on the adjacent property or water body.<br/>
<br/>
<a id="bill.0.2.0"></a><a id="pl.2.11"></a><var>2.11</var>    Sec. 2. Minnesota Statutes 2008, section 394.36, is amended by adding a subdivision <br/>
<a id="pl.2.12"></a><var>2.12</var>to read:<br/>
<a id="pl.2.13"></a><var>2.13</var>    Subd. 5. <b>Existing nonconforming lots in shoreland areas.</b> (a) This subdivision <br/>
<a id="pl.2.14"></a><var>2.14</var>applies to shoreland lots of record in the office of the county recorder on the date of <br/>
<a id="pl.2.15"></a><var>2.15</var>adoption of local shoreland controls that do not meet the requirements for lot size or lot <br/>
<a id="pl.2.16"></a><var>2.16</var>width. A county shall regulate the use of nonconforming lots of record and the repair, <br/>
<a id="pl.2.17"></a><var>2.17</var>replacement, maintenance, improvement, or expansion of nonconforming uses and <br/>
<a id="pl.2.18"></a><var>2.18</var>structures in shoreland areas according to this subdivision.<br/>
<a id="pl.2.19"></a><var>2.19</var>(b) A nonconforming single lot of record located within a shoreland area may be <br/>
<a id="pl.2.20"></a><var>2.20</var>allowed as a building site without variances from lot size requirements, provided that:<br/>
<a id="pl.2.21"></a><var>2.21</var>(1) all structure and septic system setback distance requirements can be met;<br/>
<a id="pl.2.22"></a><var>2.22</var>(2) a Type 1 sewage treatment system consistent with Minnesota Rules, chapter <br/>
<a id="pl.2.23"></a><var>2.23</var>7080, can be installed or the lot is connected to a public sewer; and<br/>
<a id="pl.2.24"></a><var>2.24</var>(3) the impervious surface coverage does not exceed 25 percent of the lot.<br/>
<a id="pl.2.25"></a><var>2.25</var>(c) In a group of two or more contiguous lots of record under a common ownership, <br/>
<a id="pl.2.26"></a><var>2.26</var>an individual lot must be considered as a separate parcel of land for the purpose of sale <br/>
<a id="pl.2.27"></a><var>2.27</var>or development, if it meets the following requirements:<br/>
<a id="pl.2.28"></a><var>2.28</var>(1) the lot must be at least 66 percent of the dimensional standard for lot width and <br/>
<a id="pl.2.29"></a><var>2.29</var>lot size for the shoreland classification consistent with Minnesota Rules, chapter 6120;<br/>
<a id="pl.2.30"></a><var>2.30</var>(2) the lot must be connected to a public sewer, if available, or must be suitable for <br/>
<a id="pl.2.31"></a><var>2.31</var>the installation of a Type 1 sewage treatment system consistent with Minnesota Rules, <br/>
<a id="pl.2.32"></a><var>2.32</var>chapter 7080, and local government controls;<br/>
<a id="pl.2.33"></a><var>2.33</var>(3) impervious surface coverage must not exceed 25 percent of each lot; and<br/>
<a id="pl.2.34"></a><var>2.34</var>(4) development of the lot must be consistent with an adopted comprehensive plan.<br/>
<a id="pl.3.1"></a><var>3.1</var>(d) A lot subject to paragraph (c) not meeting the requirements of paragraph (c) must <br/>
<a id="pl.3.2"></a><var>3.2</var>be combined with the one or more contiguous lots so they equal one or more conforming <br/>
<a id="pl.3.3"></a><var>3.3</var>lots as much as possible.<br/>
<a id="pl.3.4"></a><var>3.4</var>(e) Notwithstanding paragraph (c), contiguous nonconforming lots of record <br/>
<a id="pl.3.5"></a><var>3.5</var>in shoreland areas under a common ownership must be able to be sold or purchased <br/>
<a id="pl.3.6"></a><var>3.6</var>individually if each lot contained a habitable residential dwelling at the time the lots came <br/>
<a id="pl.3.7"></a><var>3.7</var>under common ownership and the lots are suitable for, or served by, a sewage treatment <br/>
<a id="pl.3.8"></a><var>3.8</var>system consistent with the requirements of section 115.55 and Minnesota Rules, chapter <br/>
<a id="pl.3.9"></a><var>3.9</var>7080, or connected to a public sewer.<br/>
<a id="pl.3.10"></a><var>3.10</var>(f) In evaluating all variances, zoning and building permit applications, or <br/>
<a id="pl.3.11"></a><var>3.11</var>conditional use requests, the zoning authority shall require the property owner to address, <br/>
<a id="pl.3.12"></a><var>3.12</var>when appropriate, storm water runoff management, reducing impervious surfaces, <br/>
<a id="pl.3.13"></a><var>3.13</var>increasing setback, restoration of wetlands, vegetative buffers, sewage treatment and water <br/>
<a id="pl.3.14"></a><var>3.14</var>supply capabilities, and other conservation-designed actions.<br/>
<a id="pl.3.15"></a><var>3.15</var>(g) A portion of a conforming lot may be separated from an existing parcel as long <br/>
<a id="pl.3.16"></a><var>3.16</var>as the remainder of the existing parcel meets the lot size and sewage system requirements <br/>
<a id="pl.3.17"></a><var>3.17</var>of the zoning district for a new lot and the newly created parcel is combined with an <br/>
<a id="pl.3.18"></a><var>3.18</var>adjacent parcel.<br/>
<br/>
<a id="bill.0.3.0"></a><a id="pl.3.19"></a><var>3.19</var>    Sec. 3. Minnesota Statutes 2008, section 462.357, subdivision 1e, is amended to read:<br/>
<a id="pl.3.20"></a><var>3.20</var>    Subd. 1e. <b>Nonconformities.</b> (a) Except as otherwise provided by law, any <br/>
<a id="pl.3.21"></a><var>3.21</var>nonconformity, including the lawful use or occupation of land or premises existing at <br/>
<a id="pl.3.22"></a><var>3.22</var>the time of the adoption of an additional control under this chapter, may be continued, <br/>
<a id="pl.3.23"></a><var>3.23</var>including through repair, replacement, restoration, maintenance, or improvement, but <br/>
<a id="pl.3.24"></a><var>3.24</var>not including expansion, unless:<br/>
<a id="pl.3.25"></a><var>3.25</var>(1) the nonconformity or occupancy is discontinued for a period of more than one <br/>
<a id="pl.3.26"></a><var>3.26</var>year; or<br/>
<a id="pl.3.27"></a><var>3.27</var>(2) any nonconforming use is destroyed by fire or other peril to the extent of greater <br/>
<a id="pl.3.28"></a><var>3.28</var>than 50 percent of its estimated market value, as indicated in the records of the county <br/>
<a id="pl.3.29"></a><var>3.29</var>assessor at the time of damage, and no building permit has been applied for within 180 <br/>
<a id="pl.3.30"></a><var>3.30</var>days of when the property is damaged. In this case, a municipality may impose reasonable <br/>
<a id="pl.3.31"></a><var>3.31</var>conditions upon a zoning or building permit in order to mitigate any newly created impact <br/>
<a id="pl.3.32"></a><var>3.32</var>on adjacent property. or water body. When a nonconforming structure in the shoreland <br/>
<a id="pl.3.33"></a><var>3.33</var>district with less than 50 percent of the required setback from the water is destroyed by <br/>
<a id="pl.3.34"></a><var>3.34</var>fire or other peril to greater than 50 percent of its estimated market value, as indicated in <br/>
<a id="pl.3.35"></a><var>3.35</var>the records of the county assessor at the time of damage, the structure setback may be <br/>
<a id="pl.4.1"></a><var>4.1</var>increased if practicable and reasonable conditions are placed upon a zoning or building <br/>
<a id="pl.4.2"></a><var>4.2</var>permit to mitigate created impacts on the adjacent property or water body.<br/>
<a id="pl.4.3"></a><var>4.3</var>(b) Any subsequent use or occupancy of the land or premises shall be a conforming <br/>
<a id="pl.4.4"></a><var>4.4</var>use or occupancy. A municipality may, by ordinance, permit an expansion or impose upon <br/>
<a id="pl.4.5"></a><var>4.5</var>nonconformities reasonable regulations to prevent and abate nuisances and to protect the <br/>
<a id="pl.4.6"></a><var>4.6</var>public health, welfare, or safety. This subdivision does not prohibit a municipality from <br/>
<a id="pl.4.7"></a><var>4.7</var>enforcing an ordinance that applies to adults-only bookstores, adults-only theaters, or <br/>
<a id="pl.4.8"></a><var>4.8</var>similar adults-only businesses, as defined by ordinance.<br/>
<a id="pl.4.9"></a><var>4.9</var>(c) Notwithstanding paragraph (a), a municipality shall regulate the repair, <br/>
<a id="pl.4.10"></a><var>4.10</var>replacement, maintenance, improvement, or expansion of nonconforming uses and <br/>
<a id="pl.4.11"></a><var>4.11</var>structures in floodplain areas to the extent necessary to maintain eligibility in the National <br/>
<a id="pl.4.12"></a><var>4.12</var>Flood Insurance Program and not increase flood damage potential or increase the degree <br/>
<a id="pl.4.13"></a><var>4.13</var>of obstruction to flood flows in the floodway.<br/>
<a id="pl.4.14"></a><var>4.14</var>(d) Paragraphs (d) to (j) apply to shoreland lots of record in the office of the <br/>
<a id="pl.4.15"></a><var>4.15</var>county recorder on the date of adoption of local shoreland controls that do not meet <br/>
<a id="pl.4.16"></a><var>4.16</var>the requirements for lot size or lot width. A municipality shall regulate the use of <br/>
<a id="pl.4.17"></a><var>4.17</var>nonconforming lots of record and the repair, replacement, maintenance, improvement, <br/>
<a id="pl.4.18"></a><var>4.18</var>or expansion of nonconforming uses and structures in shoreland areas according to <br/>
<a id="pl.4.19"></a><var>4.19</var>paragraphs (d) to (j).<br/>
<a id="pl.4.20"></a><var>4.20</var>(e) A nonconforming single lot of record located within a shoreland area may be <br/>
<a id="pl.4.21"></a><var>4.21</var>allowed as a building site without variances from lot size requirements, provided that:<br/>
<a id="pl.4.22"></a><var>4.22</var>(1) all structure and septic system setback distance requirements can be met;<br/>
<a id="pl.4.23"></a><var>4.23</var>(2) a Type 1 sewage treatment system consistent with Minnesota Rules, chapter <br/>
<a id="pl.4.24"></a><var>4.24</var>7080, can be installed or the lot is connected to a public sewer; and<br/>
<a id="pl.4.25"></a><var>4.25</var>(3) the impervious surface coverage does not exceed 25 percent of the lot.<br/>
<a id="pl.4.26"></a><var>4.26</var>(f) In a group of two or more contiguous lots of record under a common ownership, <br/>
<a id="pl.4.27"></a><var>4.27</var>an individual lot must be considered as a separate parcel of land for the purpose of sale <br/>
<a id="pl.4.28"></a><var>4.28</var>or development, if it meets the following requirements:<br/>
<a id="pl.4.29"></a><var>4.29</var>(1) the lot must be at least 66 percent of the dimensional standard for lot width and <br/>
<a id="pl.4.30"></a><var>4.30</var>lot size for the shoreland classification consistent with Minnesota Rules, chapter 6120;<br/>
<a id="pl.4.31"></a><var>4.31</var>(2) the lot must be connected to a public sewer, if available, or must be suitable for <br/>
<a id="pl.4.32"></a><var>4.32</var>the installation of a Type 1 sewage treatment system consistent with Minnesota Rules, <br/>
<a id="pl.4.33"></a><var>4.33</var>chapter 7080, and local government controls;<br/>
<a id="pl.4.34"></a><var>4.34</var>(3) impervious surface coverage must not exceed 25 percent of each lot; and<br/>
<a id="pl.4.35"></a><var>4.35</var>(4) development of the lot must be consistent with an adopted comprehensive plan.<br/>
<a id="pl.5.1"></a><var>5.1</var>(g) A lot subject to paragraph (f) not meeting the requirements of paragraph (f) must <br/>
<a id="pl.5.2"></a><var>5.2</var>be combined with the one or more contiguous lots so they equal one or more conforming <br/>
<a id="pl.5.3"></a><var>5.3</var>lots as much as possible.<br/>
<a id="pl.5.4"></a><var>5.4</var>(h) Notwithstanding paragraph (f), contiguous nonconforming lots of record in <br/>
<a id="pl.5.5"></a><var>5.5</var>shoreland areas under a common ownership must be able to be sold or purchased <br/>
<a id="pl.5.6"></a><var>5.6</var>individually if each lot contained a habitable residential dwelling at the time the lots came <br/>
<a id="pl.5.7"></a><var>5.7</var>under common ownership and the lots are suitable for, or served by, a sewage treatment <br/>
<a id="pl.5.8"></a><var>5.8</var>system consistent with the requirements of section 115.55 and Minnesota Rules, chapter <br/>
<a id="pl.5.9"></a><var>5.9</var>7080, or connected to a public sewer.<br/>
<a id="pl.5.10"></a><var>5.10</var>(i) In evaluating all variances, zoning and building permit applications, or <br/>
<a id="pl.5.11"></a><var>5.11</var>conditional use requests, the zoning authority shall require the property owner to address, <br/>
<a id="pl.5.12"></a><var>5.12</var>when appropriate, storm water runoff management, reducing impervious surfaces, <br/>
<a id="pl.5.13"></a><var>5.13</var>increasing setback, restoration of wetlands, vegetative buffers, sewage treatment and water <br/>
<a id="pl.5.14"></a><var>5.14</var>supply capabilities, and other conservation-designed actions.<br/>
<a id="pl.5.15"></a><var>5.15</var>(j) A portion of a conforming lot may be separated from an existing parcel as long as <br/>
<a id="pl.5.16"></a><var>5.16</var>the remainder of the existing parcel meets the lot size and sewage treatment requirements <br/>
<a id="pl.5.17"></a><var>5.17</var>of the zoning district for a new lot and the newly created parcel is combined with an <br/>
<a id="pl.5.18"></a><var>5.18</var>adjacent parcel.<br/>
<br/>
<a id="bill.0.4.0"></a><a id="pl.5.19"></a><var>5.19</var>    Sec. 4. <b>EFFECTIVE DATE.</b><br/>
<a id="pl.5.20"></a><var>5.20</var>Sections 1 to 3 are effective the day following final enactment."<br/>
<a id="pl.5.21"></a><var>5.21</var>Delete the title and insert:<br/>

<a id="pl.5.24"></a><var>5.24</var>amending Minnesota Statutes 2008, sections 394.36, subdivision 4, by adding a <br/>
<a id="pl.5.25"></a><var>5.25</var>subdivision; 462.357, subdivision 1e."<br/>
         		We request the adoption of this report and repassage of the bill.House Conferees: (Signed) Michael V. Nelson, Joe Mullery, Larry HowesSenate Conferees: (Signed) Ann Rest, Dick Day, Don Betzold
         <table>
<col width="50px"/>
<col width="252px"/>
<col width="42px"/>
<col width="252px"/>
<tr>
<td><a id="pl.6.1"></a><var>6.1</var><br/>
</td>
<td colspan="3">We request the adoption of this report and repassage of the bill.<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.2"></a><var>6.2</var><br/>
</td>
<td>House Conferees:<span width="2em"></span>(Signed)<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.6.3"></a><var>6.3</var><br/>
</td>
<td><span>
                     							.....
                     						</span><br/>
</td>
<td></td>
<td><span>
                     							.....
                     						</span><br/>
</td>
</tr>
<tr>
<td><a id="pl.6.4"></a><var>6.4</var><br/>
</td>
<td>Michael V. Nelson<br/>
</td>
<td></td>
<td>Joe Mullery<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.5"></a><var>6.5</var><br/>
</td>
<td><span>
                     							.....
                     						</span><br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.6.6"></a><var>6.6</var><br/>
</td>
<td>Larry Howes<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.6.7"></a><var>6.7</var><br/>
</td>
<td>Senate Conferees:<span width="2em"></span>(Signed)<br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.6.8"></a><var>6.8</var><br/>
</td>
<td><span>
                     							.....
                     						</span><br/>
</td>
<td></td>
<td><span>
                     							.....
                     						</span><br/>
</td>
</tr>
<tr>
<td><a id="pl.6.9"></a><var>6.9</var><br/>
</td>
<td>Ann H. Rest<br/>
</td>
<td></td>
<td>Dick Day<br/>
</td>
</tr>
<tr>
<td><a id="pl.6.10"></a><var>6.10</var><br/>
</td>
<td><span>
                     							.....
                     						</span><br/>
</td>
<td></td>
<td></td>
</tr>
<tr>
<td><a id="pl.6.11"></a><var>6.11</var><br/>
</td>
<td>Don Betzold<br/>
</td>
<td></td>
<td></td>
</tr>
</table>