1.1 	A bill for an act
1.2 	relating to state government; appropriating money from the outdoor heritage 
1.3 	fund, clean water fund, parks and trails fund, and arts and cultural heritage fund; 
1.4 	modifying certain outdoor heritage provisions; establishing accounts; modifying 
1.5 	the Clean Water Legacy Act; revising membership and duties of the Clean 
1.6 	Water Council; establishing State Capitol Preservation Commission; providing 
1.7 	appointments; establishing reporting and other requirements for legacy fund 
1.8 	recipients;amending Minnesota Statutes 2010, sections 3.303, subdivision 10; 
1.9 	85.013, by adding a subdivision; 85.53, subdivision 2; 97A.056, subdivision 2, 
1.10 	by adding subdivisions; 114D.10; 114D.20, subdivisions 1, 2, 3, 6, 7; 114D.30; 
1.11 	114D.35; 114D.50, subdivision 4; 116.195; 129D.17, subdivision 2; 129D.18, 
1.12 	subdivisions 3, 4; 129D.19, subdivision 5; Laws 2009, chapter 172, article 1, 
1.13 	section 2, subdivisions 3, 15; article 2, section 4, as amended; article 4, section 
1.14 	9, subdivision 5; Laws 2010, chapter 361, article 1, section 2, subdivision 14; 
1.15 	proposing coding for new law in Minnesota Statutes, chapters 15B; 16B; 84; 
1.16 	138; repealing Minnesota Statutes 2010, sections 84.02, subdivisions 1, 2, 3, 4, 
1.17 	6, 7, 8; 114D.45.
1.18 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.19 	ARTICLE 1
1.20 	OUTDOOR HERITAGE FUND

1.21	Section 1. OUTDOOR HERITAGE APPROPRIATION.
 	
1.22 	The sums shown in the columns marked "Appropriations" are appropriated to the 
1.23 	agencies and for the purposes specified in this article. The appropriations are from the 
1.24 	outdoor heritage fund and are available for the fiscal years indicated for each purpose. The 
1.25 	figures "2012" and "2013" used in this article mean that the appropriations listed under 
1.26 	them are available for the fiscal year ending June 30, 2012, or June 30, 2013, respectively. 
1.27 	"The first year" is fiscal year 2012. "The second year" is fiscal year 2013. "The biennium" 
1.28 	is fiscal years 2012 and 2013. The appropriations in this article are onetime.

2.1				APPROPRIATIONS
	
2.2				Available for the Year
	
2.3				Ending June 30
	
2.4					2012
		2013

2.5	Sec. 2. OUTDOOR HERITAGE

2.6	Subdivision 1.Total Appropriation
 	$
	92,123,000
	$
	471,000
	
2.7 	This appropriation is from the outdoor 
2.8 	heritage fund. The amounts that may be 
2.9 	spent for each purpose are specified in the 
2.10 	following subdivisions.

2.11	Subd. 2.Prairies and Grasslands
 		35,324,000
		-0-
	
2.12 	(a) Wildlife Management Area, Scientific 
2.13 	and Natural Areas, and Prairie Bank 
2.14 	Easement Acquisition - Phase III
2.15 	$4,690,000 the first year is to the 
2.16 	commissioner of natural resources to:
2.17 	(1) acquire land in fee for wildlife 
2.18 	management area purposes under Minnesota 
2.19 	Statutes, sections 86A.05, subdivision 8, and 
2.20 	97A.145;
2.21 	(2) acquire land in fee for scientific and 
2.22 	natural area purposes under Minnesota 
2.23 	Statutes, sections 84.033 and 86A.05, 
2.24 	subdivision 5; and
2.25 	(3) acquire native prairie bank easements 
2.26 	under Minnesota Statutes, section 84.96.
2.27 	Of this amount, $759,000 is for transfer 
2.28 	to the outdoor heritage land management 
2.29 	account in the special revenue fund for the 
2.30 	purposes specified in Minnesota Statutes, 
2.31 	section 97A.056, subdivision 1a.
2.32 	A list of proposed land or permanent 
2.33 	conservation easement acquisitions must 
3.1 	be provided as part of the required 
3.2 	accomplishment plan. The accomplishment 
3.3 	plan must include an easement monitoring 
3.4 	and enforcement plan. Money appropriated 
3.5 	from the outdoor heritage fund for easement 
3.6 	acquisition may be used to establish a 
3.7 	monitoring and enforcement fund as 
3.8 	approved in the accomplishment plan, 
3.9 	and subject to subdivision 15. An annual 
3.10 	financial report is required for any monitoring 
3.11 	and enforcement fund established, including 
3.12 	expenditures from the fund.
3.13 	(b) Accelerated Prairie Restoration and 
3.14 	Enhancement on DNR Lands - Phase III
3.15 	$1,652,000 the first year is to the 
3.16 	commissioner of natural resources to 
3.17 	accelerate the restoration and enhancement 
3.18 	on wildlife management areas, scientific and 
3.19 	natural areas, and land under native prairie 
3.20 	bank easements.
3.21 	(c) Minnesota Buffers for Wildlife and 
3.22 	Water
3.23 	$2,249,000 the first year is to the Board of 
3.24 	Water and Soil Resources in cooperation 
3.25 	with Pheasants Forever to acquire permanent 
3.26 	conservation easements to enhance habitat 
3.27 	by expanding riparian wildlife buffers on 
3.28 	private land. A list of proposed easement 
3.29 	acquisitions must be provided as part of 
3.30 	the required accomplishment plan. The 
3.31 	accomplishment plan must include an 
3.32 	easement monitoring and enforcement 
3.33 	plan. Money appropriated from the outdoor 
3.34 	heritage fund for easement acquisition 
3.35 	may be used to establish a monitoring 
4.1 	and enforcement fund as approved in 
4.2 	the accomplishment plan and subject to 
4.3 	subdivision 15. An annual financial report is 
4.4 	required for any monitoring and enforcement 
4.5 	fund established, including expenditures 
4.6 	from the fund.
4.7 	(d) Northern Tallgrass Prairie National 
4.8 	Wildlife Refuge Land Acquisition - Phase 
4.9 	III
4.10 	$1,720,000 the first year is to the 
4.11 	commissioner of natural resources for an 
4.12 	agreement with The Nature Conservancy 
4.13 	to acquire land or permanent easements 
4.14 	within the Northern Tallgrass Prairie Habitat 
4.15 	Preservation Area in western Minnesota for 
4.16 	addition to the Northern Tallgrass Prairie 
4.17 	National Wildlife Refuge. A list of proposed 
4.18 	land acquisitions must be provided as part 
4.19 	of the required accomplishment plan. The 
4.20 	accomplishment plan must include an 
4.21 	easement monitoring and enforcement plan.
4.22 	(e) Minnesota Prairie Recovery Project - 
4.23 	Phase II
4.24 	$4,500,000 the first year is to the 
4.25 	commissioner of natural resources for an 
4.26 	agreement with The Nature Conservancy to 
4.27 	acquire native prairie and savanna and restore 
4.28 	and enhance grasslands and savanna. A list of 
4.29 	proposed land acquisitions must be provided 
4.30 	as part of the required accomplishment plan. 
4.31 	Acquisitions, restorations, and enhancements 
4.32 	must be within the two existing and two 
4.33 	additional pilot focus areas contained in 
4.34 	the accomplishment plan. Annual income 
4.35 	statements and balance sheets for income 
5.1 	and expenses from land acquired with 
5.2 	appropriations from the outdoor heritage 
5.3 	fund must be submitted to the Lessard-Sams 
5.4 	Outdoor Heritage Council.
5.5 	(f) Cannon River Headwaters Habitat 
5.6 	Complex - Phase I
5.7 	$1,877,000 the first year is to the 
5.8 	commissioner of natural resources for an 
5.9 	agreement with The Trust for Public Land 
5.10 	to acquire and restore lands in the Cannon 
5.11 	River watershed for wildlife management 
5.12 	area purposes under Minnesota Statutes, 
5.13 	section 86A.05, subdivision 8, or aquatic 
5.14 	management areas under Minnesota Statutes, 
5.15 	sections 86A.05, subdivision 14, and 97C.02. 
5.16 	Of this amount, $344,000 is for transfer 
5.17 	to the outdoor heritage land management 
5.18 	account in the special revenue fund for the 
5.19 	purposes specified in Minnesota Statutes, 
5.20 	section 97A.056, subdivision 1a. A list of 
5.21 	proposed land acquisitions must be provided 
5.22 	as part of the required accomplishment plan.
5.23 	(g) Accelerating the Wildlife Management 
5.24 	Area Program - Phase III
5.25 	$6,691,000 the first year is to the 
5.26 	commissioner of natural resources for an 
5.27 	agreement with Pheasants Forever to acquire 
5.28 	prairie and other habitat areas for wildlife 
5.29 	management area purposes under Minnesota 
5.30 	Statutes, section 86A.05, subdivision 8. Of 
5.31 	this amount, $1,191,000 is for transfer to the 
5.32 	outdoor heritage land management account 
5.33 	in the special revenue fund for the purposes 
5.34 	specified in Minnesota Statutes, section 
5.35 	97A.056, subdivision 1a. A list of proposed 
6.1 	land acquisitions must be provided as part of 
6.2 	the required accomplishment plan.
6.3 	(h) Accelerating the Waterfowl Production 
6.4 	Area Program - Phase III
6.5 	$9,815,000 the first year is to the 
6.6 	commissioner of natural resources for 
6.7 	an agreement with Pheasants Forever to 
6.8 	accelerate the acquisition of wetlands and 
6.9 	grasslands to be added to the waterfowl 
6.10 	production area system in Minnesota in 
6.11 	cooperation with the United States Fish and 
6.12 	Wildlife Service. A list of proposed land 
6.13 	acquisitions must be provided as part of the 
6.14 	required accomplishment plan.
6.15 	(i) The Green Corridor Legacy Program - 
6.16 	Phase III
6.17 	$2,130,000 the first year is to the 
6.18 	commissioner of natural resources for 
6.19 	an agreement with the Redwood Area 
6.20 	Development Corporation to acquire land 
6.21 	for wildlife management area purposes 
6.22 	under Minnesota Statutes, section 86A.05, 
6.23 	subdivision 8, or aquatic management 
6.24 	areas under Minnesota Statutes, sections 
6.25 	86A.05, subdivision 14, and 97C.02. Of 
6.26 	this amount, $359,000 is for transfer to the 
6.27 	outdoor heritage land management account 
6.28 	in the special revenue fund for the purposes 
6.29 	specified in Minnesota Statutes, section 
6.30 	97A.056, subdivision 1a. A list of proposed 
6.31 	land acquisitions must be provided as part of 
6.32 	the required accomplishment plan.
6.33 	(j) Native Prairie Report
6.34 	By January 15, 2012, the Lessard-Sams 
6.35 	Outdoor Heritage Council shall submit a 
7.1 	report to the chairs and ranking minority 
7.2 	members of the house of representatives 
7.3 	and senate committees and divisions with 
7.4 	jurisdiction over the outdoor heritage fund 
7.5 	and environment and natural resources 
7.6 	finance and policy that details the amount 
7.7 	of native prairie protected, enhanced, 
7.8 	and restored with outdoor heritage fund 
7.9 	appropriations for fiscal years 2010, 2011, 
7.10 	and 2012. The report must include:
7.11 	(1) the total number of acres of native prairie 
7.12 	that have been protected; and
7.13 	(2) the total number of acres of native prairie 
7.14 	that have been restored.

7.15	Subd. 3.Forests
 		16,039,000
		-0-
	
7.16 	(a) Minnesota Forests for the Future - 
7.17 	Phase III
7.18 	$5,409,000 the first year is to the 
7.19 	commissioner of natural resources to 
7.20 	acquire forest and wetland habitat through 
7.21 	working forest easements and fee acquisition 
7.22 	under the Minnesota forests for the future 
7.23 	program pursuant to Minnesota Statutes, 
7.24 	section 84.66. A conservation easement 
7.25 	acquired with money appropriated under this 
7.26 	paragraph must comply with subdivision 
7.27 	13. A list of proposed land acquisitions 
7.28 	must be provided as part of the required 
7.29 	accomplishment plan. The accomplishment 
7.30 	plan must include an easement monitoring 
7.31 	and enforcement plan. Money appropriated 
7.32 	from the outdoor heritage fund for easement 
7.33 	acquisition may be used to establish a 
7.34 	monitoring and enforcement fund as 
7.35 	approved in the accomplishment plan 
8.1 	and subject to subdivision 15. An annual 
8.2 	financial report is required for any monitoring 
8.3 	and enforcement fund established, including 
8.4 	expenditures from the fund. 
8.5 	(b) LaSalle Lake: Protecting Critical 
8.6 	Mississippi Headwaters Habitat
8.7 	$5,709,000 the first year is to the 
8.8 	commissioner of natural resources for an 
8.9 	agreement with The Trust for Public Land 
8.10 	to acquire land adjacent to LaSalle Lake in 
8.11 	Hubbard County. Of this amount, $1,077,000 
8.12 	is for transfer to the outdoor heritage land 
8.13 	management account in the special revenue 
8.14 	fund for the purposes specified in Minnesota 
8.15 	Statutes, section 97A.056, subdivision 
8.16 	1a. A list of proposed land acquisitions 
8.17 	must be provided as part of the required 
8.18 	accomplishment plan. If the acquisition 
8.19 	is not completed by July 15, 2012, or if a 
8.20 	balance remains after acquisition of land, the 
8.21 	money under this paragraph is available for 
8.22 	acquisition under subdivision 2, paragraph 
8.23 	(a).
8.24 	(c) Accelerated Forest Habitat 
8.25 	Enhancement - Phase II
8.26 	$826,000 the first year is to the commissioner 
8.27 	of natural resources to restore and enhance 
8.28 	lands in state forests, pursuant to Minnesota 
8.29 	Statutes, section 89.021.
8.30 	(d) Northeastern Minnesota Sharp-Tailed 
8.31 	Grouse Habitat Partnership - Phase II
8.32 	$1,199,000 the first year is to the 
8.33 	commissioner of natural resources for 
8.34 	an agreement with Pheasants Forever in 
8.35 	cooperation with the Minnesota Sharp-Tailed 
9.1 	Grouse Society to acquire and enhance 
9.2 	lands for wildlife management area purposes 
9.3 	under Minnesota Statutes, section 86A.05, 
9.4 	subdivision 8.  Of this amount, $211,000 
9.5 	is for transfer to the outdoor heritage land 
9.6 	management account in the special revenue 
9.7 	fund for the purposes specified in Minnesota 
9.8 	Statutes, section 97A.056, subdivision 
9.9 	1a. A list of proposed land acquisitions 
9.10 	must be provided as part of the required 
9.11 	accomplishment plan.
9.12 	(e) Lower Mississippi River Habitat 
9.13 	Partnership - Phase II
9.14 	$863,000 the first year is to the commissioner 
9.15 	of natural resources to acquire and enhance 
9.16 	habitat in the lower Root River and 
9.17 	lower Zumbro River watersheds, pursuant 
9.18 	to Minnesota Statutes, section 86A.05, 
9.19 	subdivisions 7 and 8. Of this amount, 
9.20 	$156,000 is for transfer to the outdoor 
9.21 	heritage land management account in the 
9.22 	special revenue fund for the purposes 
9.23 	specified in Minnesota Statutes, section 
9.24 	97A.056, subdivision 1a. A list of proposed 
9.25 	land acquisitions must be provided as part of 
9.26 	the required accomplishment plan.
9.27 	(f) Protect Key Forest Habitat Lands in 
9.28 	Cass County - Phase II
9.29 	$604,000 the first year is to the commissioner 
9.30 	of natural resources for an agreement with 
9.31 	Cass County to acquire land in fee for forest 
9.32 	wildlife habitat. A list of proposed land 
9.33 	acquisitions must be provided as part of the 
9.34 	required accomplishment plan.
9.35 	(g) State Forest Acquisition
10.1 	$1,429,000 the first year is to the 
10.2 	commissioner of natural resources to acquire 
10.3 	land in fee and permanent management 
10.4 	access easements for state forests under 
10.5 	Minnesota Statutes, section 86A.05, 
10.6 	subdivision 7. Of this amount, $224,000 
10.7 	is for transfer to the outdoor heritage land 
10.8 	management account in the special revenue 
10.9 	fund for the purposes specified in Minnesota 
10.10 	Statutes, section 97A.056, subdivision 
10.11 	1a. A list of proposed land acquisitions 
10.12 	must be provided as part of the required 
10.13 	accomplishment plan.

10.14	Subd. 4.Wetlands
 		15,934,000
		-0-
	
10.15 	(a) Reinvest in Minnesota Wetlands 
10.16 	Reserve Acquisition and Restoration 
10.17 	Program Partnership - Phase III
10.18 	$13,000,000 the first year is to the Board 
10.19 	of Water and Soil Resources to acquire 
10.20 	permanent conservation easements and 
10.21 	restore wetlands and associated upland 
10.22 	habitat in cooperation with the United States 
10.23 	Department of Agriculture Wetlands Reserve 
10.24 	Program. A list of proposed land acquisitions 
10.25 	must be provided as part of the required 
10.26 	accomplishment plan. The accomplishment 
10.27 	plan must include an easement monitoring 
10.28 	and enforcement plan. Money appropriated 
10.29 	from the outdoor heritage fund for easement 
10.30 	acquisition may be used to establish a 
10.31 	monitoring and enforcement fund as 
10.32 	approved in the accomplishment plan 
10.33 	and subject to subdivision 15. An annual 
10.34 	financial report is required for any monitoring 
10.35 	and enforcement fund established, including 
11.1 	expenditures from the fund and a description 
11.2 	of monitoring and enforcement activities.
11.3 	(b) Accelerated Shallow Lakes and 
11.4 	Wetlands Restoration and Enhancement - 
11.5 	Phase III
11.6 	$936,000 the first year is to the commissioner 
11.7 	of natural resources to develop engineering 
11.8 	designs for shallow lakes and wetlands and 
11.9 	restore and enhance shallow lakes.
11.10 	(c) Shallow Lake Shoreland Protection: 
11.11 	Wild Rice Lakes
11.12 	$1,998,000 the first year is to the 
11.13 	commissioner of natural resources for an 
11.14 	agreement with Ducks Unlimited and the 
11.15 	Board of Water and Soil Resources to acquire 
11.16 	wild rice lake shoreland habitat in fee and 
11.17 	as permanent conservation easements as 
11.18 	follows: $500,000 to the Department of 
11.19 	Natural Resources; $1,100,000 to the Board 
11.20 	of Water and Soil Resources; $291,000 to 
11.21 	Ducks Unlimited; and $107,000 for transfer 
11.22 	to the outdoor heritage land management 
11.23 	account in the special revenue fund for the 
11.24 	purposes specified in Minnesota Statutes, 
11.25 	section 97A.056, subdivision 1a. A list of 
11.26 	proposed land acquisitions must be provided 
11.27 	as part of the required accomplishment plan. 
11.28 	The accomplishment plan must include 
11.29 	an easement monitoring and enforcement 
11.30 	plan. Money appropriated from the outdoor 
11.31 	heritage fund for easement acquisition 
11.32 	may be used to establish a monitoring 
11.33 	and enforcement fund as approved in 
11.34 	the accomplishment plan and subject to 
11.35 	subdivision 15. An annual financial report is 
12.1 	required for any monitoring and enforcement 
12.2 	fund established, including expenditures 
12.3 	from the fund. 

12.4	Subd. 5.Habitat
 		24,086,000
		-0-
	
12.5 	(a) Accelerated Aquatic Management 
12.6 	Area Habitat Program - Phase III
12.7 	$7,061,000 the first year is to the 
12.8 	commissioner of natural resources to 
12.9 	acquire interests in land in fee or permanent 
12.10 	conservation easements for aquatic 
12.11 	management areas under Minnesota Statutes, 
12.12 	sections 86A.05, subdivision 14, and 97C.02, 
12.13 	to restore and enhance aquatic habitat. 
12.14 	Of this amount, $561,000 is for transfer 
12.15 	to the outdoor heritage land management 
12.16 	account in the special revenue fund for the 
12.17 	purposes specified in Minnesota Statutes, 
12.18 	section 97A.056, subdivision 1a. A list 
12.19 	of proposed acquisitions and stream and 
12.20 	lake habitat restorations and enhancements 
12.21 	must be provided as part of the required 
12.22 	accomplishment plan. The accomplishment 
12.23 	plan must include an easement monitoring 
12.24 	and enforcement plan. Money appropriated 
12.25 	from the outdoor heritage fund for easement 
12.26 	acquisition may be used to establish a 
12.27 	monitoring and enforcement fund as 
12.28 	approved in the accomplishment plan 
12.29 	and subject to subdivision 15. An annual 
12.30 	financial report is required for any monitoring 
12.31 	and enforcement fund established, including 
12.32 	expenditures from the fund.
12.33 	(b) Coldwater Fish Habitat Enhancement 
12.34 	Program - Phase III
13.1 	$1,533,000 the first year is to the 
13.2 	commissioner of natural resources for an 
13.3 	agreement with Minnesota Trout Unlimited 
13.4 	to restore, enhance, and protect cold water 
13.5 	river and stream habitats in Minnesota. A list 
13.6 	of proposed projects, describing types and 
13.7 	locations of restorations and enhancements, 
13.8 	must be provided as part of the required 
13.9 	accomplishment plan.
13.10 	(c) Land Addition to the Janet Johnson 
13.11 	Memorial Wildlife Management Area
13.12 	$707,000 the first year is to the commissioner 
13.13 	of natural resources for an agreement with 
13.14 	Chisago County to acquire land in fee to 
13.15 	be added to the Janet Johnson Memorial 
13.16 	Wildlife Management Area under Minnesota 
13.17 	Statutes, section 86A.05, subdivision 8. Of 
13.18 	this amount, $130,000 is for transfer to the 
13.19 	outdoor heritage land management account 
13.20 	in the special revenue fund for the purposes 
13.21 	specified in Minnesota Statutes, section 
13.22 	97A.056, subdivision 1a. A list of proposed 
13.23 	land acquisitions must be provided as part of 
13.24 	the required accomplishment plan.
13.25 	(d) Metro Big Rivers Habitat - Phase II
13.26 	$5,481,000 the first year is to the 
13.27 	commissioner of natural resources for 
13.28 	agreements to acquire interests in land in 
13.29 	fee or permanent conservation easements 
13.30 	and to restore and enhance natural systems 
13.31 	associated with the Mississippi, Minnesota, 
13.32 	and St. Croix Rivers as follows: $960,000 
13.33 	to the Minnesota Valley National Wildlife 
13.34 	Refuge Trust, Inc.; $150,000 to Great River 
13.35 	Greening; $840,000 to Minnesota Land 
14.1 	Trust; $150,000 to Friends of the Mississippi 
14.2 	River; $2,900,000 to The Trust for Public 
14.3 	Land; and $481,000 for transfer to the 
14.4 	outdoor heritage land management account 
14.5 	in the special revenue fund for the purposes 
14.6 	specified in Minnesota Statutes, section 
14.7 	97A.056, subdivision 1a. A list of proposed 
14.8 	projects, describing types and locations of 
14.9 	acquisitions, restorations, and enhancements, 
14.10 	must be provided as part of the required 
14.11 	accomplishment plan. The accomplishment 
14.12 	plan must include an easement monitoring 
14.13 	and enforcement plan. Money appropriated 
14.14 	from the outdoor heritage fund for easement 
14.15 	acquisition may be used to establish a 
14.16 	monitoring and enforcement fund as 
14.17 	approved in the accomplishment plan 
14.18 	and subject to subdivision 15. An annual 
14.19 	financial report is required for any monitoring 
14.20 	and enforcement fund established, including 
14.21 	expenditures from the fund.
14.22 	(e) Protecting Sensitive Shorelands in 
14.23 	North Central Minnesota
14.24 	$1,098,000 the first year is to the 
14.25 	commissioner of natural resources for 
14.26 	agreements with the Leech Lake Watershed 
14.27 	Foundation and the Minnesota Land Trust 
14.28 	as follows: $339,000 to the Leech Lake 
14.29 	Watershed Foundation; $741,000 to the 
14.30 	Minnesota Land Trust; and $18,000 to the 
14.31 	Department of Natural Resources to pay for 
14.32 	acquisition-related expenses and monitoring 
14.33 	costs of donated permanent conservation 
14.34 	easements on sensitive shorelands in north 
14.35 	central Minnesota. A list of proposed land 
14.36 	acquisitions must be provided as part of 
15.1 	the required accomplishment plan. The 
15.2 	accomplishment plan must include an 
15.3 	easement monitoring and enforcement 
15.4 	plan. Money appropriated from the outdoor 
15.5 	heritage fund for easement acquisition 
15.6 	may be used to establish a monitoring 
15.7 	and enforcement fund as approved in 
15.8 	the accomplishment plan and subject to 
15.9 	subdivision 15. An annual financial report is 
15.10 	required for any monitoring and enforcement 
15.11 	fund established, including expenditures 
15.12 	from the fund.
15.13 	(f) Restoring Native Habitat and Water 
15.14 	Quality to Shell Rock River - Phase II
15.15 	$2,577,000 the first year is to the 
15.16 	commissioner of natural resources for 
15.17 	an agreement with the Shell Rock River 
15.18 	Watershed District to acquire land in fee 
15.19 	at the headwaters of the Shell Rock River 
15.20 	for aquatic management area purposes 
15.21 	under Minnesota Statutes, sections 86A.05, 
15.22 	subdivision 14, and 97C.02, to restore 
15.23 	and enhance aquatic habitat. The leases 
15.24 	for gravel mining existing at the time of 
15.25 	acquisition may not be extended and all gross 
15.26 	income generated from mining operations 
15.27 	must be transferred to the commissioner of 
15.28 	management and budget and credited to the 
15.29 	outdoor heritage fund. A list of proposed 
15.30 	land acquisitions must be provided as part of 
15.31 	the required accomplishment plan.
15.32 	(g) Outdoor Heritage Conservation 
15.33 	Partners Grant Program - Phase III
15.34 	$5,629,000 the first year is to the 
15.35 	commissioner of natural resources for a 
16.1 	program to provide competitive, matching 
16.2 	grants of up to $400,000 to local, regional, 
16.3 	state, and national organizations for 
16.4 	enhancement, restoration, or protection of 
16.5 	forests, wetlands, prairies, and habitat for 
16.6 	fish, game, or wildlife in Minnesota. Grants 
16.7 	shall not be made for activities required to 
16.8 	fulfill the duties of owners of lands subject 
16.9 	to conservation easements.  Grants shall 
16.10 	not be made from appropriations in this 
16.11 	paragraph for projects that have a total 
16.12 	project cost exceeding $475,000. $319,000 
16.13 	of this appropriation may be spent for 
16.14 	personnel costs and other administrative 
16.15 	costs. Grantees may acquire land or interests 
16.16 	in land. Easements must be permanent. 
16.17 	Land acquired in fee must be open to 
16.18 	hunting and fishing during the open season 
16.19 	unless otherwise provided by state law. The 
16.20 	program shall require a match of at least ten 
16.21 	percent from nonstate sources for grants of 
16.22 	$100,000 or less and a match of at least 15 
16.23 	percent from nonstate sources for grants over 
16.24 	$100,000. Up to one-third of the match may 
16.25 	be in-kind resources. For grant applications 
16.26 	of $25,000 or less, the commissioner shall 
16.27 	provide a separate, simplified application 
16.28 	process. The criteria for evaluating grant 
16.29 	applications over $25,000 must include the 
16.30 	amount of habitat restored, enhanced, or 
16.31 	protected; local support; encouragement 
16.32 	of a local conservation culture; urgency; 
16.33 	capacity to achieve multiple benefits; 
16.34 	habitat benefits provided; consistency with 
16.35 	current conservation science; adjacency 
16.36 	to protected lands; full funding of the 
17.1 	project; supplementing existing funding; 
17.2 	public access for hunting and fishing during 
17.3 	the open season; sustainability; degree 
17.4 	of collaboration; and use of native plant 
17.5 	materials. All projects must conform to 
17.6 	the Minnesota statewide conservation and 
17.7 	preservation plan. Wildlife habitat projects 
17.8 	must also conform to the Minnesota wildlife 
17.9 	action plan. Subject to the evaluation 
17.10 	criteria and requirements of this paragraph 
17.11 	and Minnesota Statutes, the commissioner 
17.12 	of natural resources shall give priority to 
17.13 	organizations that have a history of receiving 
17.14 	or charter to receive private contributions 
17.15 	for local conservation or habitat projects 
17.16 	when evaluating projects of equal value. If 
17.17 	acquiring land or a conservation easement, 
17.18 	priority shall be given to projects associated 
17.19 	with existing wildlife management areas 
17.20 	under Minnesota Statutes, section 86A.05, 
17.21 	subdivision 8; scientific and natural areas 
17.22 	under Minnesota Statutes, sections 84.033 
17.23 	and 86A.05, subdivision 5; and aquatic 
17.24 	management areas under Minnesota Statutes, 
17.25 	sections 86A.05, subdivision 14, and 97C.02. 
17.26 	All restoration or enhancement projects 
17.27 	must be on land permanently protected by a 
17.28 	conservation easement or public ownership 
17.29 	or in public waters as defined in Minnesota 
17.30 	Statutes, section 103G.005, subdivision 
17.31 	15. Priority shall be given to restoration 
17.32 	and enhancement projects on public lands. 
17.33 	Subdivision 9 applies to grants awarded 
17.34 	under this paragraph. This appropriation is 
17.35 	available until June 30, 2015. No less than 
17.36 	five percent of the amount of each grant 
18.1 	must be held back from reimbursement until 
18.2 	the grant recipient has completed a grant 
18.3 	accomplishment report by the deadline and 
18.4 	in the form prescribed by and satisfactory to 
18.5 	the Lessard-Sams Outdoor Heritage Council. 
18.6 	The commissioner shall provide notice of the 
18.7 	grant program in the 2011 game and fish law 
18.8 	summaries that are prepared under Minnesota 
18.9 	Statutes, section 97A.051, subdivision 2.

18.10	Subd. 6.Administration
 		740,000
		471,000
	
18.11 	(a) Contract Management
18.12 	$175,000 the first year is to the commissioner 
18.13 	of natural resources for contract management 
18.14 	duties assigned in this section. The 
18.15 	commissioner shall provide documentation 
18.16 	to the Legislative Coordinating Commission 
18.17 	on the expenditure of these funds.
18.18 	(b) Legislative Coordinating Commission
18.19 	(1) $471,000 the first year and $471,000 
18.20 	the second year are to the Legislative 
18.21 	Coordinating Commission for two years of 
18.22 	administrative expenses of the Lessard-Sams 
18.23 	Outdoor Heritage Council and for two years 
18.24 	of compensation and expense reimbursement 
18.25 	of council members.
18.26 	(2) $13,000 the first year is to the Legislative 
18.27 	Coordinating Commission for the Web site 
18.28 	required under Minnesota Statutes, section 
18.29 	3.303, subdivision 10.
18.30 	(c) Technical Assistance Panel
18.31 	$84,000 the first year is to the commissioner 
18.32 	of natural resources for a technical assistance 
18.33 	panel to conduct up to ten restoration audits 
19.1 	under Minnesota Statutes, section 97A.056, 
19.2 	subdivision 10.

19.3	Subd. 7.Availability of Appropriation
 					
19.4 	Money appropriated in this section may 
19.5 	not be spent on activities unless they are 
19.6 	directly related to and necessary for a 
19.7 	specific appropriation and are specified 
19.8 	in the accomplishment plan. Money 
19.9 	appropriated in this section must not be 
19.10 	spent on indirect costs or other institutional 
19.11 	overhead charges that are not directly related 
19.12 	to and necessary for a specific appropriation. 
19.13 	Unless otherwise provided, the amounts 
19.14 	in this section are available until June 30, 
19.15 	2014, when projects must be completed and 
19.16 	final accomplishments reported. Funds for 
19.17 	restoration or enhancement are available 
19.18 	until June 30, 2016, or four years after 
19.19 	acquisition, whichever is later, in order to 
19.20 	complete restoration or enhancement work. 
19.21 	If a project receives federal funds, the time 
19.22 	period of the appropriation is extended to 
19.23 	equal the availability of federal funding. 
19.24 	Funds appropriated for fee title acquisition 
19.25 	of  land may be used to restore, enhance, and 
19.26 	provide for the public use of land acquired 
19.27 	with the appropriation. Public use facilities 
19.28 	must have a minimal impact on habitat on 
19.29 	acquired lands.

19.30	Subd. 8.Accomplishment Plans
 					
19.31 	It is a condition of acceptance of the 
19.32 	appropriations made under this section that 
19.33 	the  agency or entity using the appropriation 
19.34 	submit to the Lessard-Sams Outdoor 
19.35 	Heritage Council an accomplishment  plan 
20.1 	and periodic accomplishment  reports in 
20.2 	the form determined by the council. The 
20.3 	accomplishment plan must identify the 
20.4 	project manager responsible for expending 
20.5 	the appropriation and the final product. The 
20.6 	accomplishment plan must account for  the 
20.7 	use of the appropriation and outcomes  of 
20.8 	the expenditure in measures of wetlands, 
20.9 	prairies, forests, and fish, game, and wildlife 
20.10 	habitat restored, protected, and enhanced. 
20.11 	The plan must include an evaluation of 
20.12 	results. None of the money provided in this 
20.13 	section may be expended unless the council 
20.14 	has approved the pertinent accomplishment 
20.15 	plan.

20.16	Subd. 9.Project Requirements
 					
20.17 	(a) As a condition of accepting an 
20.18 	appropriation made under this section, an 
20.19 	agency or entity receiving an appropriation 
20.20 	must comply with this subdivision for any 
20.21 	project funded in whole or in part with funds 
20.22 	from the appropriation.
20.23 	(b) All conservation easements acquired with 
20.24 	money appropriated under this section must: 
20.25 	(1) be permanent; (2) specify the parties to 
20.26 	the easement; (3) specify all of the provisions 
20.27 	of an agreement that are permanent; (4) 
20.28 	specify the habitat types and location 
20.29 	being protected; (5) where appropriate for 
20.30 	conservation or water protection outcomes, 
20.31 	require the grantor to employ practices 
20.32 	retaining water on the eased land as long as 
20.33 	practicable; (6) specify the responsibilities 
20.34 	of the parties for habitat enhancement and 
20.35 	restoration and the associated costs of these 
21.1 	activities; (7) be sent to the office of the 
21.2 	Lessard-Sams Outdoor Heritage Council; (8) 
21.3 	include a long-term stewardship plan and 
21.4 	identify the sources and amount of funding 
21.5 	for monitoring and enforcing the easement 
21.6 	agreement; and (9) identify the parties 
21.7 	responsible for monitoring and enforcing the 
21.8 	easement agreement.
21.9 	(c) For all restorations, a recipient must 
21.10 	prepare and retain an ecological restoration 
21.11 	and management plan that, to the degree 
21.12 	practicable, is consistent with current 
21.13 	conservation science and ecological goals 
21.14 	for the restoration site. Consideration should 
21.15 	be given to soil, geology, topography, and 
21.16 	other relevant factors that would provide 
21.17 	the best chance for long-term success and 
21.18 	durability of the restoration projects. The 
21.19 	plan must include the proposed timetable for 
21.20 	implementing the restoration, including, but 
21.21 	not limited to, site preparation, establishment 
21.22 	of diverse plant species, maintenance, and 
21.23 	additional enhancement to establish the 
21.24 	restoration; identify long-term maintenance 
21.25 	and management needs of the restoration 
21.26 	and how the maintenance, management, 
21.27 	and enhancement will be financed; and use 
21.28 	current conservation science to achieve the 
21.29 	best restoration.
21.30 	(d) For new lands acquired, a recipient 
21.31 	must prepare a restoration and management 
21.32 	plan in compliance with paragraph (c), 
21.33 	including identification of sufficient funding 
21.34 	for implementation.
22.1 	(e) To ensure public accountability for the 
22.2 	use of public funds, a recipient must provide 
22.3 	to the Lessard-Sams Outdoor Heritage 
22.4 	Council documentation of the process 
22.5 	used to select parcels acquired in fee or as 
22.6 	permanent conservation easements and must 
22.7 	provide the council with documentation 
22.8 	of all related transaction costs, including, 
22.9 	but not limited to, appraisals, legal fees, 
22.10 	recording fees, commissions, other similar 
22.11 	costs, and donations. This information 
22.12 	must be provided for all parties involved 
22.13 	in the transaction. The recipient must 
22.14 	also report to the Lessard-Sams Outdoor 
22.15 	Heritage Council any difference between the 
22.16 	acquisition amount paid to the seller and the 
22.17 	state-certified or state-reviewed appraisal, if 
22.18 	a state-certified or state-reviewed appraisal 
22.19 	was conducted. Acquisition data such 
22.20 	as appraisals may remain private during 
22.21 	negotiations but must ultimately be made 
22.22 	public according to Minnesota Statutes, 
22.23 	chapter 13.
22.24 	(f) Except as otherwise provided in this 
22.25 	section, all restoration and enhancement 
22.26 	projects funded with money appropriated 
22.27 	under this section must be on land 
22.28 	permanently protected by a conservation 
22.29 	easement or public ownership or in public 
22.30 	waters as defined in Minnesota Statutes, 
22.31 	section 103G.005, subdivision 15.
22.32 	(g) To the extent an appropriation is used to 
22.33 	acquire an interest in real property, a recipient 
22.34 	of an appropriation under this section must 
22.35 	provide to the Lessard-Sams Outdoor 
22.36 	Heritage Council and the commissioner 
23.1 	of management and budget an analysis of 
23.2 	increased operations and maintenance costs 
23.3 	likely to be incurred by public entities as 
23.4 	a result of the acquisition and of how these 
23.5 	costs are to be paid.
23.6 	(h) A recipient of money under this section 
23.7 	must erect signage according to Laws 2009, 
23.8 	chapter 172, article 5, section 10.

23.923.10
	Subd. 10.Payment Conditions and Capital 
Equipment Expenditures
 					
23.11 	All agreements, grants, or contracts referred 
23.12 	to in this section must be administered on 
23.13 	a reimbursement basis unless otherwise 
23.14 	provided in this section. Notwithstanding 
23.15 	Minnesota Statutes, section 16A.41, 
23.16 	expenditures directly related to each 
23.17 	appropriation's purpose made on or after July 
23.18 	1, 2011, are eligible for reimbursement unless 
23.19 	otherwise provided in this section. Periodic 
23.20 	reimbursement must be made upon receiving 
23.21 	documentation that the deliverable items 
23.22 	articulated in the approved accomplishment 
23.23 	plan have been achieved, including partial 
23.24 	achievements as evidenced by approved 
23.25 	progress reports. Reasonable amounts may 
23.26 	be advanced to projects to accommodate 
23.27 	cash flow needs, support future management 
23.28 	of acquired lands, or match a federal share. 
23.29 	The advances must be approved as part of 
23.30 	the accomplishment plan. Capital equipment 
23.31 	expenditures for specific items in excess of 
23.32 	$10,000 must be itemized in and approved as 
23.33 	part of the accomplishment plan.

23.34
23.35	Subd. 11.Purchase of Recycled and Recyclable 
Materials
 					
24.1 	A political subdivision, public or private 
24.2 	corporation, or other entity that receives an 
24.3 	appropriation under this section must use the 
24.4 	appropriation in compliance with Minnesota 
24.5 	Statutes, sections 16B.121, regarding 
24.6 	purchase of recycled, repairable, and durable 
24.7 	materials, and 16B.122, regarding purchase 
24.8 	and use of paper stock and printing.

24.9	Subd. 12.Accessibility
 					
24.10 	Structural and nonstructural facilities must 
24.11 	meet the design standards in the Americans 
24.12 	with Disabilities Act (ADA) accessibility 
24.13 	guidelines.

24.14	Subd. 13.Land Acquisition Restrictions
 					
24.15 	(a) An interest in real property, including, but 
24.16 	not limited to, an easement or fee title that 
24.17 	is acquired with money appropriated under 
24.18 	this section must be used in perpetuity or for 
24.19 	the specific term of an easement interest for 
24.20 	the purpose for which the appropriation was 
24.21 	made.
24.22 	(b) A recipient of funding who acquires 
24.23 	an interest in real property subject to this 
24.24 	subdivision may not alter the intended use 
24.25 	of the interest in real property or convey 
24.26 	any interest in the real property acquired 
24.27 	with the appropriation without the prior 
24.28 	review and approval of the Lessard-Sams 
24.29 	Outdoor Heritage Council or its successor. 
24.30 	The council shall notify the chairs and 
24.31 	ranking minority members of the legislative 
24.32 	committees and divisions with jurisdiction 
24.33 	over the outdoor heritage fund at least 15 
24.34 	business days before approval under this 
24.35 	paragraph. The council shall establish 
25.1 	procedures to review requests from recipients 
25.2 	to alter the use of or convey an interest in 
25.3 	real property. These procedures shall allow 
25.4 	for the replacement of the interest in real 
25.5 	property with another interest in real property 
25.6 	meeting the following criteria: (1) the 
25.7 	interest must be at least equal in fair market 
25.8 	value, as certified by the commissioner 
25.9 	of natural resources, to the interest being 
25.10 	replaced; and (2) the interest must be in a 
25.11 	reasonably equivalent  location and have a 
25.12 	reasonably equivalent  useful conservation 
25.13 	purpose compared to the  interest being 
25.14 	replaced, taking into consideration all effects 
25.15 	from fragmentation of the whole habitat.
25.16 	(c) A recipient of funding who acquires an 
25.17 	interest in real property under paragraph 
25.18 	(a) must separately record a notice of 
25.19 	funding restrictions in the appropriate local 
25.20 	government office where the conveyance 
25.21 	of the interest in real property is filed. The 
25.22 	notice of funding agreement must contain: 
25.23 	(1) a legal description of the interest in real 
25.24 	property covered by the funding agreement; 
25.25 	(2) a reference to the underlying funding 
25.26 	agreement; (3) a reference to this section; and 
25.27 	(4) the following statement: "This interest 
25.28 	in real property shall be administered in 
25.29 	accordance with the terms, conditions, and 
25.30 	purposes of the grant agreement controlling 
25.31 	the acquisition of the property. The interest 
25.32 	in real property, or any portion of the interest 
25.33 	in real property, shall not be sold, transferred, 
25.34 	pledged, or otherwise disposed of or further 
25.35 	encumbered without obtaining the prior 
25.36 	written approval of the Lessard-Sams 
26.1 	Outdoor Heritage Council or its successor. 
26.2 	The ownership of the interest in real property 
26.3 	shall transfer to the state if: (1) the holder of 
26.4 	the interest in real property fails to comply 
26.5 	with the terms and conditions of the grant 
26.6 	agreement or accomplishment plan; or 
26.7 	(2) restrictions are placed on the land that 
26.8 	preclude its use for the intended purpose as 
26.9 	specified in the appropriation."

26.10	Subd. 14.Real Property Interest Report
 					
26.11 	By December 1 each year, a recipient of 
26.12 	money appropriated under this section that 
26.13 	is used for the acquisition of an interest in 
26.14 	real property, including, but not limited to, 
26.15 	an easement or fee title, must submit annual 
26.16 	reports on the status of the real property to 
26.17 	the Lessard-Sams Outdoor Heritage Council 
26.18 	or its successor in a form determined by the 
26.19 	council. The responsibility for reporting 
26.20 	under this section may be transferred by 
26.21 	the recipient of the appropriation to another 
26.22 	person or entity that holds the interest in the 
26.23 	real property. To complete the transfer of 
26.24 	reporting responsibility, the recipient of the 
26.25 	appropriation must: (1) inform the person 
26.26 	to whom the responsibility is transferred of 
26.27 	that person's reporting responsibility; (2) 
26.28 	inform the person to whom the responsibility 
26.29 	is transferred of the property restrictions 
26.30 	under subdivision 13; and (3) provide written 
26.31 	notice to the council of the transfer of 
26.32 	reporting responsibility, including contact 
26.33 	information for the person to whom the 
26.34 	responsibility is transferred. After the 
26.35 	transfer, the person or entity that holds the 
27.1 	interest in the real property is responsible for 
27.2 	reporting requirements under this section.

27.3
27.4	Subd. 15.Easement Monitoring and 
Enforcement Requirements
 					
27.5 	Money appropriated under this section 
27.6 	for easement monitoring and enforcement 
27.7 	may be spent only on activities included in 
27.8 	an easement monitoring and enforcement 
27.9 	plan contained within the accomplishment 
27.10 	plan. Money received for monitoring 
27.11 	and enforcement, including earnings on 
27.12 	the money received, shall be kept in a 
27.13 	monitoring and enforcement fund held by 
27.14 	the organization and dedicated to monitoring 
27.15 	and enforcing conservation easements within 
27.16 	Minnesota. Within 120 days after the close 
27.17 	of the entity's fiscal year, an entity receiving 
27.18 	appropriations for easement monitoring 
27.19 	and enforcement must provide an annual 
27.20 	financial report to the Lessard-Sams Outdoor 
27.21 	Heritage Council on the easement monitoring 
27.22 	and enforcement fund as specified in the 
27.23 	accomplishment plan. Money appropriated 
27.24 	under this section for monitoring and 
27.25 	enforcement of easements and earnings on 
27.26 	the money appropriated shall revert to the 
27.27 	state if: (1) the easement transfers to the 
27.28 	state under subdivision 13; (2) the holder of 
27.29 	the easement fails to file an annual report 
27.30 	and then fails to cure that default within 30 
27.31 	days of notification of the default by the 
27.32 	state; or (3) the holder of the easement fails 
27.33 	to comply with the terms of the monitoring 
27.34 	and enforcement plan contained within the 
27.35 	accomplishment plan and fails to cure that 
28.1 	default within 90 days of notification of the 
28.2 	default by the state.

28.3	Subd. 16.Successor Organizations
 					
28.4 	The Lessard-Sams Outdoor Heritage Council 
28.5 	may approve the continuation of a project 
28.6 	with an organization that has adopted 
28.7 	a new name. Continuation of a project 
28.8 	with an organization that has undergone 
28.9 	a significant change in mission, structure, 
28.10 	or purpose requires: (1) notice to the 
28.11 	chairs of the legislative committees with 
28.12 	relevant jurisdiction; and (2) presentation 
28.13 	by the council of proposed legislation either 
28.14 	ratifying or rejecting continued involvement 
28.15 	with the new organization.

28.16	Subd. 17.Appropriations Adjustment
 					
28.17 	(a) Mississippi River Bluffland Prairie 
28.18 	Protection Initiative
28.19 	Of the amount appropriated in Laws 2009, 
28.20 	chapter 172, article 1, section 2, subdivision 
28.21 	2, paragraph (f), $65,000 is for deposit in 
28.22 	a monitoring and enforcement account as 
28.23 	authorized in subdivision 15.
28.24 	(b) Critical Shoreline Habitat Protection 
28.25 	Program
28.26 	Of the amount appropriated in Laws 2010, 
28.27 	chapter 361, article 1, section 2, subdivision 
28.28 	3, paragraph (a), $187,000 is for deposit in 
28.29 	a monitoring and enforcement account as 
28.30 	authorized in subdivision 15.
28.31 	(c) Riparian and Lakeshore Protection in 
28.32 	Dakota County
28.33 	Of the amount appropriated in Laws 2010, 
28.34 	chapter 361, article 1, section 2, subdivision 
29.1 	5, paragraph (d), $80,000 is for deposit in 
29.2 	a monitoring and enforcement account as 
29.3 	authorized in subdivision 15.
29.4 	(d) Valley Creek Protection Partnership
29.5 	Of the amount appropriated in Laws 2010, 
29.6 	chapter 361, article 1, section 2, subdivision 
29.7 	5, paragraph (e), $12,000 is for deposit in 
29.8 	a monitoring and enforcement account as 
29.9 	authorized in subdivision 15.

29.10 	Sec. 3. [84.68] FORESTS FOR THE FUTURE CONSERVATION EASEMENT 
29.11 	ACCOUNT.
29.12 		Subdivision 1.Account established; sources. The forests for the future 
29.13 	conservation easement account is created in the natural resources fund in the state treasury. 
29.14 	The following revenue shall be deposited in the account:
29.15 	(1) contributions to the account or specified for any purposes of the account;
29.16 	(2) financial contributions required under section 84.66, subdivision 11, or other 
29.17 	applicable law; and
29.18 	(3) money appropriated or transferred for the purposes described in subdivision 2.
29.19 	Interest earned on money in the account accrues to the account.
29.20 		Subd. 2.Appropriation; purposes of account. Money in the forests for the future 
29.21 	conservation easement account is appropriated annually to the commissioner of natural 
29.22 	resources and may be spent only to cover the costs of managing forests for the future 
29.23 	conservation easements held by the Department of Natural Resources, including costs 
29.24 	incurred from monitoring, landowner contracts, record keeping, processing landowner 
29.25 	notices, requests for approval or amendments, and enforcement.

29.26 	EFFECTIVE DATE. This section is effective the day following final enactment.

29.27 	Sec. 4. Minnesota Statutes 2010, section 97A.056, is amended by adding a subdivision 
29.28 	to read:
29.29 		Subd. 1a.Outdoor heritage land management account. An outdoor heritage 
29.30 	land management account is created as an account in the special revenue fund. The 
29.31 	State Board of Investment shall ensure the account is invested under section 11A.24. 
29.32 	The commissioner of management and budget shall credit to the account all money 
29.33 	appropriated to the account and all money earned by the account. The principal of the 
30.1 	account and any unexpended earnings must be invested and reinvested by the State Board 
30.2 	of Investment. Nothing in this section limits the source of contributions to the account. 
30.3 	No more than five and one-half percent of the market value of the account as of June 30 
30.4 	of the prior fiscal year is appropriated to the commissioner of natural resources to pay 
30.5 	for future restoration and enhancement of lands purchased in fee with monies from the 
30.6 	outdoor heritage fund and held by the state.

30.7 	Sec. 5. Minnesota Statutes 2010, section 97A.056, is amended by adding a subdivision 
30.8 	to read:
30.9 		Subd. 1b.Definitions. For the purpose of appropriations from the outdoor heritage 
30.10 	fund, "recipient" means the entity responsible for deliverables financed by the outdoor 
30.11 	heritage fund.

30.12 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2009.

30.13 	Sec. 6. Minnesota Statutes 2010, section 97A.056, subdivision 2, is amended to read:
30.14 		Subd. 2.Lessard-Sams Outdoor Heritage Council. (a) The Lessard-Sams 
30.15 	Outdoor Heritage Council of 12 members is created in the legislative branch, consisting of:
30.16 	(1) two public members appointed by the senate Subcommittee on Committees of 
30.17 	the Committee on Rules and Administration;
30.18 	(2) two public members appointed by the speaker of the house;
30.19 	(3) four public members appointed by the governor;
30.20 	(4) two members of the senate appointed by the senate Subcommittee on Committees 
30.21 	of the Committee on Rules and Administration; and
30.22 	(5) two members of the house of representatives appointed by the speaker of the 
30.23 	house.
30.24 	(b) Members appointed under paragraph (a) must not be registered lobbyists. 
30.25 	In making appointments, the governor, senate Subcommittee on Committees of the 
30.26 	Committee on Rules and Administration, and the speaker of the house shall consider 
30.27 	geographic balance, gender, age, ethnicity, and varying interests including hunting and 
30.28 	fishing. The governor's appointments to the council are subject to the advice and consent 
30.29 	of the senate.
30.30 	(c) Public members appointed under paragraph (a) shall have practical experience 
30.31 	or expertise or demonstrated knowledge in the science, policy, or practice of restoring, 
30.32 	protecting, and enhancing wetlands, prairies, forests, and habitat for fish, game, and 
30.33 	wildlife.
31.1 	(d) Legislative members appointed under paragraph (a) shall include the chairs 
31.2 	of the legislative committees with jurisdiction over environment and natural resources 
31.3 	finance or their designee, one member from the minority party of the senate, and one 
31.4 	member from the minority party of the house of representatives.
31.5 	(e) Public members serve four-year terms and. Appointed legislative members serve 
31.6 	at the pleasure of the appointing authority. Public and legislative members continue to 
31.7 	serve until their successors are appointed.  Public members  shall be initially appointed 
31.8 	according to the following schedule of terms:
31.9 	(1) two public members appointed by the governor for a term ending the first 
31.10 	Monday in January 2011;
31.11 	(2) one public member appointed by the senate Subcommittee on Committees of the 
31.12 	Committee on Rules and Administration for a term ending the first Monday in January 
31.13 	2011;
31.14 	(3) one public member appointed by the speaker of the house for a term ending 
31.15 	the first Monday in January 2011;
31.16 	(4) two public members appointed by the governor for a term ending the first 
31.17 	Monday in January 2013;
31.18 	(5) one public member appointed by the senate Subcommittee on Committees of the 
31.19 	Committee on Rules and Administration for a term ending the first Monday in January 
31.20 	2013; and
31.21 	(6) one public member appointed by the speaker of the house for a term ending the 
31.22 	first Monday in January 2013; and.
31.23 	(7) two members of the senate appointed by the senate Subcommittee on Committees 
31.24 	of the Committee on Rules and Administration for a term ending the first Monday in 
31.25 	January 2013, and two members of the house of representatives appointed by the speaker 
31.26 	of the house for a term ending the first Monday in January 2013.
31.27 	(f) Compensation and removal of public members are as provided in section 
31.28 	15.0575. A vacancy on the council may be filled by the appointing authority for the 
31.29 	remainder of the unexpired term.
31.30 	(g) The first meeting of the council shall be convened by the chair of the Legislative 
31.31 	Coordinating Commission no later than December 1, 2008. Members shall elect a chair, 
31.32 	vice-chair, secretary, and other officers as determined by the council. The chair may 
31.33 	convene meetings as necessary to conduct the duties prescribed by this section.
31.34 	(h) Upon coordination with and approval by the Legislative Coordinating 
31.35 	Commission, the council may appoint nonpartisan staff and contract with consultants 
31.36 	as necessary to carry out the functions of the council. Up to one percent of the money 
32.1 	appropriated from the fund may be used to pay for administrative expenses of the council 
32.2 	and for compensation and expense reimbursement of council members.

32.3 	Sec. 7. Minnesota Statutes 2010, section 97A.056, is amended by adding a subdivision 
32.4 	to read:
32.5 		Subd. 11.Commissioner approval; acquisitions. The commissioner must agree 
32.6 	in writing to each proposed acquisition of land or interest in land purchased with an 
32.7 	appropriation from the outdoor heritage fund that is intended to be transferred to the 
32.8 	commissioner. Prior to signing the written agreement, the commissioner must determine 
32.9 	that the acquisition meets the Department of Natural Resources' precision acquisition 
32.10 	goals.

32.11 	Sec. 8. Laws 2009, chapter 172, article 1, section 2, subdivision 3, is amended to read:

32.12	Subd. 3.Forests
 		18,000,000
		18,000,000
	
32.13 	$18,000,000 in fiscal year 2010 and 
32.14 	$18,000,000 in fiscal year 2011 are to the 
32.15 	commissioner of natural resources to acquire 
32.16 	land or permanent working forest easements 
32.17 	on private forests in areas identified through 
32.18 	the Minnesota forests for the future program 
32.19 	under Minnesota Statutes, section 84.66. 
32.20 	Up to $750,000 in fiscal year 2011 may 
32.21 	be transferred to the forests for the future 
32.22 	conservation easement account and used 
32.23 	for the purposes specified under Minnesota 
32.24 	Statutes, section 84.68, subdivision 2. 
32.25 	Priority must be given to acquiring land 
32.26 	or interests in private lands within existing 
32.27 	Minnesota state forest boundaries. Any 
32.28 	easements acquired must have a forest 
32.29 	management plan as defined in Minnesota 
32.30 	Statutes, section 290C.02, subdivision 7. 
32.31 	A list of proposed fee title and easement 
32.32 	acquisitions must be provided as part of the 
32.33 	required accomplishment plan. The fiscal 
33.1 	year 2011 appropriation is available only for 
33.2 	acquisitions that, by August 15, 2009, are:
33.3 	(1) subject to a binding agreement with the 
33.4 	commissioner; and
33.5 	(2) matched by at least $9,000,000 in private 
33.6 	donations.

33.7 	Sec. 9. Laws 2009, chapter 172, article 1, section 2, subdivision 15, is amended to read:

33.8	Subd. 15.Real Property Interest Report
 					
33.9 	By December 1 each year, a recipient of 
33.10 	money appropriated under this section that 
33.11 	is used for the acquisition of an interest in 
33.12 	real property, including but not limited to 
33.13 	an easement or fee title, must submit annual 
33.14 	reports on the status of the real property to 
33.15 	the Lessard Outdoor Heritage Council or 
33.16 	its successor in a form determined by the 
33.17 	council. The responsibility for reporting 
33.18 	under this section may be transferred by 
33.19 	the recipient of the appropriation to another 
33.20 	person or entity that holds the interest in the 
33.21 	real property. To complete the transfer of 
33.22 	reporting responsibility, the recipient of the 
33.23 	appropriation must:
33.24 	(1) inform the person to whom the 
33.25 	responsibility is transferred of that person's 
33.26 	reporting responsibility;
33.27 	(2) inform the person to whom the 
33.28 	responsibility is transferred of the property 
33.29 	restrictions under subdivision 14; and
33.30 	(3) provide written notice to the council 
33.31 	of the transfer of reporting responsibility, 
33.32 	including contact information for the person 
33.33 	to whom the responsibility is transferred. 
34.1 	Before the transfer, the entity receiving 
34.2 	the transfer of property must certify to the 
34.3 	Lessard Outdoor Heritage Council, or its 
34.4 	successor, acceptance of all obligations and 
34.5 	responsibilities held by the prior owner.
34.6 	After the transfer, the person or entity that 
34.7 	holds the interest in the real property is 
34.8 	responsible for reporting requirements under 
34.9 	this section.

34.10 	Sec. 10. Laws 2010, chapter 361, article 1, section 2, subdivision 14, is amended to 
34.11 	read:

34.12	Subd. 14.Real Property Interest Report
 					
34.13 	By December 1 each year, a recipient of 
34.14 	money appropriated under this section that 
34.15 	is used for the acquisition of an interest in 
34.16 	real property, including, but not limited to, 
34.17 	an easement or fee title, must submit annual 
34.18 	reports on the status of the real property to 
34.19 	the Lessard-Sams Outdoor Heritage Council 
34.20 	or its successor in a form determined by the 
34.21 	council. The responsibility for reporting 
34.22 	under this section may be transferred by 
34.23 	the recipient of the appropriation to another 
34.24 	person or entity that holds the interest in the 
34.25 	real property. To complete the transfer of 
34.26 	reporting responsibility, the recipient of the 
34.27 	appropriation must: (1) inform the person 
34.28 	to whom the responsibility is transferred of 
34.29 	that person's reporting responsibility; (2) 
34.30 	inform the person to whom the responsibility 
34.31 	is transferred of the property restrictions 
34.32 	under subdivision 13; and (3) provide written 
34.33 	notice to the council of the transfer of 
34.34 	reporting responsibility, including contact 
35.1 	information for the person to whom the 
35.2 	responsibility is transferred; and (4) provide 
35.3 	the Lessard-Sams Outdoor Heritage Council 
35.4 	or its successor written documentation from 
35.5 	the person or entity holding the interest in 
35.6 	real property certifying its acceptance of all 
35.7 	reporting obligations and responsibilities 
35.8 	previously held by the recipient of the 
35.9 	appropriation. After the transfer, the person 
35.10 	or entity that holds the interest in the 
35.11 	real property is responsible for reporting 
35.12 	requirements under this section.

35.13 	Sec. 11.  REPEALER.
 35.14 	Minnesota Statutes 2010, section 84.02, subdivisions 1, 2, 3, 4, 6, 7, and 8, are 
35.15 	repealed.

35.16 	ARTICLE 2
35.17 	CLEAN WATER FUND

35.18	Section 1. CLEAN WATER FUND APPROPRIATIONS.
 	
35.19 	The sums shown in the columns marked "Appropriations" are appropriated to the 
35.20 	agencies and for the purposes specified in this article. The appropriations are from the 
35.21 	clean water fund, and are available for the fiscal years indicated for allowable activities 
35.22 	under the Minnesota Constitution, article XI, section 15. "The first year" is fiscal year 
35.23 	2012. "The second year" is fiscal year 2013. "The biennium" is fiscal years 2012 and 
35.24 	2013. The appropriations in this article are onetime.

35.25				APPROPRIATIONS
	
35.26				Available for the Year
	
35.27				Ending June 30
	
35.28					2012
		2013

35.29	Sec. 2. CLEAN WATER

35.30	Subdivision 1.Total Appropriation
 	$
	89,903,000
	$
	88,454,000
	
35.31 	The amounts that may be spent for each 
35.32 	purpose are specified in the following 
35.33 	sections.

36.1	Subd. 2.Availability of Appropriation
 					
36.2 	Money appropriated in this article may 
36.3 	not be spent on activities unless they are 
36.4 	directly related to and necessary for a specific 
36.5 	appropriation. Money appropriated in this 
36.6 	article must not be spent on indirect costs 
36.7 	or other institutional overhead charges that 
36.8 	are not directly related to and necessary for 
36.9 	a specific appropriation. Notwithstanding 
36.10 	Minnesota Statutes, section 16A.28, and 
36.11 	unless otherwise specified in this article, 
36.12 	fiscal year 2012 appropriations are available 
36.13 	until June 30, 2013, and fiscal year 2013 
36.14 	appropriations are available until June 30, 
36.15 	2014. If a project receives federal funds, the 
36.16 	time period of the appropriation is extended 
36.17 	to equal the availability of federal funding.

36.18	Sec. 3. DEPARTMENT OF AGRICULTURE
 	$
	8,200,000
	$
	8,200,000
	
36.19 	(a) $350,000 the first year and $350,000 the 
36.20 	second year are to increase monitoring for 
36.21 	pesticides and pesticide degradates in surface 
36.22 	water and groundwater and to use data 
36.23 	collected to assess pesticide use practices.
36.24 	(b) $850,000 the first year and $850,000 
36.25 	the second year are to increase monitoring 
36.26 	and evaluate trends in the concentration of 
36.27 	nitrates in groundwater in high-risk areas 
36.28 	and regionally and to promote and evaluate 
36.29 	regional and crop-specific nutrient best 
36.30 	management practices. This appropriation is 
36.31 	available until spent.
36.32 	(c) $5,000,000 the first year and $5,000,000 
36.33 	the second year are for the agriculture best 
36.34 	management practices loan program. At 
37.1 	least $4,000,000 the first year and at least 
37.2 	$4,400,000 the second year are for transfer to 
37.3 	the clean water agricultural best management 
37.4 	practices loan account and are available 
37.5 	for pass-through to local governments 
37.6 	and lenders for low-interest loans. Any 
37.7 	unencumbered balance that is not used for 
37.8 	pass-through to local governments does not 
37.9 	cancel at the end of the first year and is 
37.10 	available for the second year.
37.11 	(d) $700,000 the first year and $700,000 
37.12 	the second year are for pilot projects 
37.13 	and technical assistance on proper 
37.14 	implementation of best management 
37.15 	practices for nonpoint contributions to 
37.16 	impaired waters. This appropriation is 
37.17 	available until spent.
37.18 	(e) $1,050,000 the first year and $1,050,000 
37.19 	the second year are for research to quantify 
37.20 	agricultural contributions to impaired waters 
37.21 	and for development and evaluation of 
37.22 	best management practices to protect and 
37.23 	restore water resources while maintaining 
37.24 	productivity. This appropriation is available 
37.25 	until spent.
37.26 	(f) $250,000 the first year and $250,000 the 
37.27 	second year are for a research inventory 
37.28 	database containing water-related research 
37.29 	activities that have been publicly funded.

37.30	Sec. 4. PUBLIC FACILITIES AUTHORITY
 	$
	16,710,000
	$
	16,710,000
	
37.31 	(a) $11,185,000 the first year and $11,185,000 
37.32 	the second year are for the total maximum 
37.33 	daily load (TMDL) grant program under 
38.1 	Minnesota Statutes, section 446A.073. This 
38.2 	appropriation is available until spent.
38.3 	(b) $4,275,000 the first year and $4,275,000 
38.4 	the second year are for the clean water legacy 
38.5 	phosphorus reduction grant program under 
38.6 	Minnesota Statutes, section 446A.074. This 
38.7 	appropriation is available until spent.
38.8 	(c) $1,250,000 the first year and $1,250,000 
38.9 	the second year are for small community 
38.10 	wastewater treatment grants and loans under 
38.11 	Minnesota Statutes, section 446A.075. This 
38.12 	appropriation is available until spent.
38.13 	(d) If there are any uncommitted funds at the 
38.14 	end of each fiscal year under paragraph (a), 
38.15 	(b), or (c), the Public Facilities Authority 
38.16 	may transfer the remaining funds to eligible 
38.17 	projects under any of the programs listed 
38.18 	under this section, based on their priority 
38.19 	rank on the Pollution Control Agency's 
38.20 	project priority list.

38.21	Sec. 5. POLLUTION CONTROL AGENCY
 	$
	23,100,000
	$
	22,600,000
	
38.22 	(a) $7,500,000 the first year and $7,500,000 
38.23 	the second year are for completion of 20 
38.24 	percent of the needed statewide assessments 
38.25 	of surface water quality and trends. Of 
38.26 	this amount, $100,000 the first year and 
38.27 	$100,000 the second year are for grants 
38.28 	to the Red River Watershed Management 
38.29 	Board to enhance and expand the existing 
38.30 	water quality and watershed monitoring river 
38.31 	watch activities in the schools in the Red 
38.32 	River of the North. The Red River Watershed 
38.33 	Management Board shall provide a report to 
38.34 	the commissioner of the Pollution Control 
39.1 	Agency and the legislative committees and 
39.2 	divisions with jurisdiction over environment 
39.3 	and natural resources finance and policy and 
39.4 	the clean water fund by February 15, 2013, 
39.5 	on the expenditure of these funds.
39.6 	(b) $9,400,000 the first year and $9,400,000 
39.7 	the second year are to develop total maximum 
39.8 	daily load (TMDL) studies and TMDL 
39.9 	implementation plans for waters listed on 
39.10 	the United States Environmental Protection 
39.11 	Agency approved impaired waters list in 
39.12 	accordance with Minnesota Statutes, chapter 
39.13 	114D. The agency shall complete an average 
39.14 	of ten percent of the TMDL's each year over 
39.15 	the biennium.
39.16 	(c) $1,125,000 the first year and $1,125,000 
39.17 	the second year are for groundwater 
39.18 	assessment, including enhancing the 
39.19 	ambient monitoring network, modeling, 
39.20 	and continuing to monitor for and assess 
39.21 	contaminants of emerging concern.
39.22 	(d) $750,000 the first year and $750,000 
39.23 	the second year are for water quality 
39.24 	improvement in the lower St. Louis River 
39.25 	and Duluth harbor. This appropriation must 
39.26 	be matched by a rate of 65 percent nonstate 
39.27 	funds to 35 percent state funds.
39.28 	(e) $1,250,000 the first year and $1,250,000 
39.29 	the second year are for the clean water 
39.30 	partnership program to provide grants 
39.31 	to protect and improve the basins and 
39.32 	watersheds of the state and provide financial 
39.33 	and technical assistance to study waters 
39.34 	with nonpoint source pollution problems. 
39.35 	Priority shall be given to projects preventing 
40.1 	impairments and degradation of lakes, rivers, 
40.2 	streams, and groundwater in accordance 
40.3 	with Minnesota Statutes, section 114D.20, 
40.4 	subdivision 2, clause (4). Any balance 
40.5 	remaining in the first year does not cancel 
40.6 	and is available for the second year.
40.7 	(f) $400,000 the first year and $400,000 the 
40.8 	second year are for storm water research and 
40.9 	guidance.
40.10 	(g) $1,150,000 the first year and $1,150,000 
40.11 	the second year are for TMDL research and 
40.12 	database development.
40.13 	(h) $800,000 the first year and $800,000 
40.14 	the second year are for national pollutant 
40.15 	discharge elimination system wastewater and 
40.16 	storm water TMDL implementation efforts.
40.17 	(i) $225,000 the first year and $225,000 
40.18 	the second year are transferred to the 
40.19 	commissioner of administration for the 
40.20 	Environmental Quality Board in cooperation 
40.21 	with the United States Geological Survey 
40.22 	to characterize groundwater flow and 
40.23 	aquifer properties in the I-94 corridor in 
40.24 	cooperation with local units of government. 
40.25 	This appropriation is available until June 30, 
40.26 	2014.
40.27 	(j) $500,000 the first year is for a wild rice 
40.28 	standards study.
40.29 	Notwithstanding Minnesota Statutes, section 
40.30 	16A.28, the appropriations encumbered on or 
40.31 	before June 30, 2013, as grants or contracts in 
40.32 	this section are available until June 30, 2016.

40.33
40.34	Sec. 6. DEPARTMENT OF NATURAL 
RESOURCES
 	$
	11,160,000
	$
	10,160,000
	
41.1 	(a) $1,825,000 the first year and $1,825,000 
41.2 	the second year are for the continuation and 
41.3 	expansion of stream flow monitoring.
41.4 	(b) $1,150,000 the first year and $1,150,000 
41.5 	the second year are for lake Index of 
41.6 	Biological Integrity (IBI) assessments, 
41.7 	including assessment of 400 additional lakes 
41.8 	and technical analysis to develop an aquatic 
41.9 	plant IBI analysis. The commissioner shall 
41.10 	work with the commissioner of the Pollution 
41.11 	Control Agency on the development of an 
41.12 	assessment tool.
41.13 	(c) $130,000 the first year and $130,000 
41.14 	the second year are for assessing mercury 
41.15 	contamination of fish, including monitoring 
41.16 	to track the status of waters impaired by 
41.17 	mercury and mercury reduction efforts over 
41.18 	time.
41.19 	(d) $1,730,000 the first year and $1,730,000 
41.20 	the second year are for TMDL development 
41.21 	and TMDL implementation plans for waters 
41.22 	listed on the United States Environmental 
41.23 	Protection Agency approved impaired waters 
41.24 	list in accordance with Minnesota Statutes, 
41.25 	chapter 114D, and for development of a 
41.26 	watershed assessment tool.
41.27 	(e) $1,500,000 the first year and $1,500,000 
41.28 	the second year are for water supply 
41.29 	planning, aquifer protection, and monitoring 
41.30 	activities.
41.31 	(f) $450,000 the first year and $450,000 the 
41.32 	second year are for establishing a Web-based 
41.33 	electronic permitting system to capture water 
41.34 	appropriation use information.
42.1 	(g) $1,725,000 the first year and $1,725,000 
42.2 	the second year are for shoreland 
42.3 	stewardship, TMDL implementation 
42.4 	coordination, providing technical assistance 
42.5 	to the Drainage Work Group and Drainage 
42.6 	Management Team, and maintaining and 
42.7 	updating data. Of this amount, $235,000 
42.8 	each year is for maintaining and updating 
42.9 	watershed boundaries and integrating 
42.10 	high-resolution digital elevation data with 
42.11 	watershed modeling and $40,000 each year 
42.12 	is for a biomonitoring database. TMDL 
42.13 	implementation coordination efforts shall be 
42.14 	focused on major watersheds with TMDL 
42.15 	implementation plans, including forested 
42.16 	watersheds.
42.17 	(h) $1,350,000 the first year and $1,350,000 
42.18 	the second year are to acquire and distribute 
42.19 	high-resolution digital elevation data using 
42.20 	light detection and ranging to aid with 
42.21 	impaired waters modeling and TMDL 
42.22 	implementation under Minnesota Statutes, 
42.23 	chapter 114D. The money shall be used to 
42.24 	collect data for areas of the state that have 
42.25 	not acquired such data prior to January 
42.26 	1, 2007, or to complete acquisition and 
42.27 	distribution of the data for those areas of 
42.28 	the state that have not previously received 
42.29 	state funds for acquiring and distributing the 
42.30 	data. The distribution of data acquired under 
42.31 	this paragraph must be conducted under 
42.32 	the auspices of the Minnesota Geospatial 
42.33 	Information Office, which shall receive up 
42.34 	to 2.5 percent of the appropriation in this 
42.35 	paragraph to support coordination of data 
42.36 	acquisition and distribution. Mapping and 
43.1 	data set distribution under this paragraph 
43.2 	must be completed within three years of 
43.3 	funds availability. The commissioner shall 
43.4 	utilize department staff whenever possible. 
43.5 	The commissioner may contract for services 
43.6 	only if the services cannot otherwise be 
43.7 	provided by the department.
43.8 	(i) $300,000 the first year and $300,000 
43.9 	the second year are for delivery of decision 
43.10 	support tools through outreach, education, 
43.11 	and citizen engagement.
43.12 	(j) $1,000,000 the first year is for 
43.13 	implementation of the metropolitan 
43.14 	groundwater monitoring and protection 
43.15 	activities under Minnesota Laws 2010, 
43.16 	chapter 361, article 2, section 4, subdivision 
43.17 	2.

43.18
43.19	Sec. 7. BOARD OF WATER AND SOIL 
RESOURCES
 	$
	27,234,000
	$
	27,234,000
	
43.20 	(a) $13,750,000 the first year and 
43.21 	$13,750,000 the second year are for 
43.22 	pollution reduction and restoration grants 
43.23 	to local government units and joint powers 
43.24 	organizations of local government units to 
43.25 	protect surface water and drinking water; to 
43.26 	keep water on the land; to protect, enhance, 
43.27 	and restore water quality in lakes, rivers, 
43.28 	and streams; and to protect groundwater 
43.29 	and drinking water, including feedlot water 
43.30 	quality and subsurface sewage treatment 
43.31 	system (SSTS) projects and stream bank, 
43.32 	stream channel, and shoreline restoration 
43.33 	projects. The projects must be of long-lasting 
43.34 	public benefit, include a match, and be 
44.1 	consistent with TMDL implementation plans 
44.2 	or local water management plans.
44.3 	(b) $3,000,000 the first year and $3,000,000 
44.4 	the second year are for targeted local 
44.5 	resource protection and enhancement grants. 
44.6 	The board shall give priority consideration 
44.7 	to projects and practices that complement, 
44.8 	supplement, or exceed current state standards 
44.9 	for protection, enhancement, and restoration 
44.10 	of water quality in lakes, rivers, and streams 
44.11 	or that protect groundwater from degradation. 
44.12 	Of this amount, at least $1,500,000 each year 
44.13 	is for SSTS county implementation.
44.14 	(c) $900,000 the first year and $900,000 the 
44.15 	second year are to provide state oversight 
44.16 	and accountability, evaluate results, and 
44.17 	measure the value of conservation program 
44.18 	implementation by local governments, 
44.19 	including submission to the legislature 
44.20 	by March 1 each year an annual report 
44.21 	prepared by the board, in consultation with 
44.22 	the commissioners of natural resources, 
44.23 	health, agriculture, and the Pollution Control 
44.24 	Agency, detailing the recipients and projects 
44.25 	funded under this section. The board shall 
44.26 	require grantees to specify the outcomes that 
44.27 	will be achieved by the grants prior to any 
44.28 	grant awards.
44.29 	(d) $1,000,000 the first year and $1,000,000 
44.30 	the second year are for technical assistance 
44.31 	and grants for the conservation drainage 
44.32 	program in consultation with the Drainage 
44.33 	Work Group that consists of projects to 
44.34 	retrofit existing drainage systems with 
44.35 	water quality improvement practices, 
45.1 	evaluate outcomes, and provide outreach 
45.2 	to landowners, public drainage authorities, 
45.3 	drainage engineers and contractors, and 
45.4 	others.
45.5 	(e) $6,000,000 the first year and $6,000,000 
45.6 	the second year are to purchase and restore 
45.7 	permanent conservation easements on 
45.8 	riparian buffers adjacent to public waters, 
45.9 	excluding wetlands, to keep water on the 
45.10 	land in order to decrease sediment, pollutant, 
45.11 	and nutrient transport; reduce hydrologic 
45.12 	impacts to surface waters; and increase 
45.13 	infiltration for groundwater recharge. The 
45.14 	riparian buffers must be at least 50 feet 
45.15 	unless there is a natural impediment, a road, 
45.16 	or other impediment beyond the control 
45.17 	of the landowner. This appropriation may 
45.18 	be used for restoration of riparian buffers 
45.19 	protected by easements purchased with 
45.20 	this appropriation and for stream bank 
45.21 	restorations when the riparian buffers have 
45.22 	been restored.
45.23 	(f) $1,000,000 the first year and $1,000,000 
45.24 	the second year are for permanent 
45.25 	conservation easements on wellhead 
45.26 	protection areas under Minnesota Statutes, 
45.27 	section 103F.515, subdivision 2, paragraph 
45.28 	(d). Priority must be placed on land that 
45.29 	is located where the vulnerability of the 
45.30 	drinking water supply is designated as high 
45.31 	or very high by the commissioner of health.
45.32 	(g) $1,500,000 the first year and $1,500,000 
45.33 	the second year are for community partners 
45.34 	grants to local units of government for: 
45.35 	(1) structural or vegetative management 
46.1 	practices that reduce storm water runoff 
46.2 	from developed or disturbed lands to reduce 
46.3 	the movement of sediment, nutrients, and 
46.4 	pollutants for restoration, protection, or 
46.5 	enhancement of water quality in lakes, rivers, 
46.6 	and streams and to protect groundwater 
46.7 	and drinking water; and (2) installation 
46.8 	of proven and effective water retention 
46.9 	practices including, but not limited to, rain 
46.10 	gardens and other vegetated infiltration 
46.11 	basins and sediment control basins in order 
46.12 	to keep water on the land. The projects 
46.13 	must be of long-lasting public benefit, 
46.14 	include a local match, and be consistent with 
46.15 	TMDL implementation plans or local water 
46.16 	management plans. Local government unit 
46.17 	staff and administration costs may be used 
46.18 	as a match.
46.19 	(h) $84,000 the first year and $84,000 the 
46.20 	second year are for a technical assistance 
46.21 	panel to conduct up to ten restoration audits 
46.22 	under Minnesota Statutes, section 114D.50, 
46.23 	subdivision 6.
46.24 	(i) The board shall contract for services 
46.25 	with Conservation Corps Minnesota for 
46.26 	restoration, maintenance, and other activities 
46.27 	under this section for $500,000 the first year 
46.28 	and $500,000 the second year.
46.29 	(j) The board may shift grant or cost-share 
46.30 	funds in this section and may adjust the 
46.31 	technical and administrative assistance 
46.32 	portion of the funds to leverage federal or 
46.33 	other nonstate funds or to address oversight 
46.34 	responsibilities or high-priority needs 
46.35 	identified in local water management plans.
47.1 	(k) The appropriations in this section are 
47.2 	available until spent.

47.3	Sec. 8. DEPARTMENT OF HEALTH
 	$
	2,988,000
	$
	3,050,000
	
47.4 	(a) $1,020,000 the first year and $1,020,000 
47.5 	the second year are for addressing public 
47.6 	health concerns related to contaminants 
47.7 	found in Minnesota drinking water for which 
47.8 	no health-based drinking water standard 
47.9 	exists.
47.10 	(b) $1,415,000 the first year and $1,415,000 
47.11 	the second year are for protection of drinking 
47.12 	water sources.
47.13 	(c) $250,000 the first year and $250,000 the 
47.14 	second year are for cost-share assistance to 
47.15 	public and private well owners for up to 50 
47.16 	percent of the cost of sealing unused wells.
47.17 	(d) $303,000 the first year and $365,000 the 
47.18 	second year are to expand the county well 
47.19 	index.

47.20	Sec. 9. METROPOLITAN COUNCIL
 	$
	500,000
	$
	500,000
	
47.21 	$500,000 the first year and $500,000 the 
47.22 	second year are for implementation of the 
47.23 	master water supply plan developed under 
47.24 	Minnesota Statutes, section 473.1565.

47.25	Sec. 10. LEGISLATURE
 	$
	 14,000
	$
	-0-
	
47.26 	$14,000 the first year is for the Legislative 
47.27 	Coordinating Commission for the costs of 
47.28 	developing and implementing a Web site to 
47.29 	contain information on projects receiving 
47.30 	appropriations from the clean water fund and 
47.31 	other constitutionally dedicated funds.

48.1	Sec. 11. CARRYFORWARD
 					
48.2 	(a) The appropriations in Laws 2009, chapter 
48.3 	172, article 2, section 4, paragraph (g), as 
48.4 	amended by Laws 2010, chapter 361, article 
48.5 	2, section 2, are available until June 30, 
48.6 	2013, and may be spent to continue research 
48.7 	and testing on the potential for coal tar 
48.8 	contamination of waters, on the study of 
48.9 	treatment and disposal options, and for grants 
48.10 	to local units of government.
48.11 	(b) The appropriation in Laws 2010, chapter 
48.12 	361, article 2, section 4, subdivision 1, for 
48.13 	nitrogen and nitrate water quality standards 
48.14 	rulemaking is available until June 30, 2012.
48.15 	(c) The appropriations in Laws 2009, chapter 
48.16 	172, article 2, section 4, paragraph (a), 
48.17 	as amended by Laws 2010, chapter 361, 
48.18 	article 2, section 2, for total maximum 
48.19 	daily load (TMDL) study development and 
48.20 	implementation are available until June 30, 
48.21 	2014.
48.22 	(d) The appropriations in Laws 2009, chapter 
48.23 	172, article 2, section 2, paragraph (d), 
48.24 	for research and pilot projects related to 
48.25 	ways agricultural practices contribute to 
48.26 	restoring impaired waters and assist with the 
48.27 	development of TMDL plans, are available 
48.28 	until spent.

48.29 	Sec. 12. Minnesota Statutes 2010, section 114D.10, is amended to read:
48.30 	114D.10 LEGISLATIVE PURPOSE AND FINDINGS.
48.31 		Subdivision 1.Purpose. The purpose of the Clean Water Legacy Act is to protect, 
48.32 	enhance, and restore, and preserve the water quality of Minnesota's surface waters in 
48.33 	lakes, rivers, and streams and to protect groundwater from degradation, by providing 
48.34 	authority, direction, and resources to achieve and maintain water quality standards for 
49.1 	groundwater and surface waters as, including the standards required by section 303(d) 
49.2 	of the federal Clean Water Act, United States Code, title 33, section 1313(d), and other
49.3 	applicable state and federal regulations.
49.4 		Subd. 2.Findings. The legislature finds that:
49.5 	(1) there is a close link between protecting, enhancing, and restoring, and preserving
49.6 	the quality of Minnesota's groundwater and surface waters and the ability to develop the 
49.7 	state's economy, enhance its quality of life, and protect its human and natural resources;
49.8 	(2) achieving the state's water quality goals will require long-term commitment and 
49.9 	cooperation by all state and local agencies, and other public and private organizations 
49.10 	and individuals, with responsibility and authority for water management, planning, and 
49.11 	protection; and
49.12 	(3) all persons and organizations whose activities affect the quality of waters, 
49.13 	including point and nonpoint sources of pollution, have a responsibility to participate in 
49.14 	and support efforts to achieve the state's water quality goals.

49.15 	Sec. 13. Minnesota Statutes 2010, section 114D.20, subdivision 1, is amended to read:
49.16 		Subdivision 1.Coordination and cooperation. In implementing this chapter, 
49.17 	public agencies and private entities shall take into consideration the relevant provisions of 
49.18 	local and other applicable water management, conservation, land use, land management, 
49.19 	and development plans and programs. Public agencies with authority for local water 
49.20 	management, conservation, land use, land management, and development plans shall 
49.21 	take into consideration the manner in which their plans affect the implementation of 
49.22 	this chapter. Public agencies shall identify opportunities to participate and assist in the 
49.23 	successful implementation of this chapter, including the funding or technical assistance 
49.24 	needs, if any, that may be necessary. In implementing this chapter, public agencies shall 
49.25 	endeavor to engage the cooperation of organizations and individuals whose activities 
49.26 	affect the quality of groundwater or surface waters, including point and nonpoint sources 
49.27 	of pollution, and who have authority and responsibility for water management, planning, 
49.28 	and protection. To the extent practicable, public agencies shall endeavor to enter into 
49.29 	formal and informal agreements and arrangements with federal agencies and departments 
49.30 	to jointly utilize staff and educational, technical, and financial resources to deliver 
49.31 	programs or conduct activities to achieve the intent of this chapter, including efforts 
49.32 	under the federal Clean Water Act and other federal farm and soil and water conservation 
49.33 	programs. Nothing in this chapter affects the application of silvicultural exemptions under 
49.34 	any federal, state, or local law or requires silvicultural practices more stringent than those 
50.1 	recommended in the timber harvesting and forest management guidelines adopted by the 
50.2 	Minnesota Forest Resources Council under section 89A.05.

50.3 	Sec. 14. Minnesota Statutes 2010, section 114D.20, subdivision 2, is amended to read:
50.4 		Subd. 2.Goals for implementation. The following goals must guide the 
50.5 	implementation of this chapter:
50.6 	(1) to identify impaired waters in accordance with federal TMDL requirements 
50.7 	within ten years after the effective date of this section and thereafter to ensure continuing 
50.8 	evaluation of surface waters for impairments;
50.9 	(2) to submit TMDL's to the United States Environmental Protection Agency for all 
50.10 	impaired waters in a timely manner in accordance with federal TMDL requirements;
50.11 	(3) to set a reasonable time for implementing restoration of each identified impaired 
50.12 	water;
50.13 	(4) to provide assistance and incentives to prevent waters from becoming impaired 
50.14 	and to improve the quality of waters that are listed as impaired but do not have an 
50.15 	approved TMDL addressing the impairment;
50.16 	(5) to promptly seek the delisting of waters from the impaired waters list when those 
50.17 	waters are shown to achieve the designated uses applicable to the waters; and
50.18 	(6) to achieve compliance with federal Clean Water Act requirements in Minnesota.;
50.19 	(7) to support effective measures to prevent the degradation of groundwater 
50.20 	according to the groundwater degradation prevention goal under section 103H.001; and
50.21 	(8) to support effective measures to restore degraded groundwater.

50.22 	Sec. 15. Minnesota Statutes 2010, section 114D.20, subdivision 3, is amended to read:
50.23 		Subd. 3.Implementation policies. The following policies must guide the 
50.24 	implementation of this chapter:
50.25 	(1) develop regional and watershed TMDL's and TMDL implementation plans, and 
50.26 	TMDL's and TMDL implementation plans for multiple pollutants, where reasonable and 
50.27 	feasible;
50.28 	(2) maximize use of available organizational, technical, and financial resources to 
50.29 	perform sampling, monitoring, and other activities to identify degraded groundwater and
50.30 	impaired waters, including use of citizen monitoring and citizen monitoring data used 
50.31 	by the Pollution Control Agency in assessing water quality must meet that meets the 
50.32 	requirements in Appendix D of the Volunteer Surface Water Monitoring Guide, Minnesota 
50.33 	Pollution Control Agency (2003);
51.1 	(3) maximize opportunities for restoration of degraded groundwater and impaired 
51.2 	waters, by prioritizing and targeting of available programmatic, financial, and technical 
51.3 	resources and by providing additional state resources to complement and leverage 
51.4 	available resources;
51.5 	(4) use existing regulatory authorities to achieve restoration for point and nonpoint 
51.6 	sources of pollution where applicable, and promote the development and use of effective 
51.7 	nonregulatory measures to address pollution sources for which regulations are not 
51.8 	applicable;
51.9 	(5) use restoration methods that have a demonstrated effectiveness in reducing 
51.10 	impairments and provide the greatest long-term positive impact on water quality protection 
51.11 	and improvement and related conservation benefits while incorporating innovative 
51.12 	approaches on a case-by-case basis;
51.13 	(6) identify for the legislature any innovative approaches that may strengthen or 
51.14 	complement existing programs;
51.15 	(7) identify and encourage implementation of measures to prevent surface waters 
51.16 	from becoming impaired and to improve the quality of waters that are listed as impaired 
51.17 	but have no approved TMDL addressing the impairment using the best available data and 
51.18 	technology, and establish and report outcome-based performance measures that monitor 
51.19 	the progress and effectiveness of protection and restoration measures; and
51.20 	(8) monitor and enforce cost-sharing contracts and impose monetary damages in an 
51.21 	amount up to 150 percent of the financial assistance received for failure to comply.; and
51.22 	(9) identify and encourage implementation of measures to prevent groundwater from 
51.23 	becoming degraded and measures that restore groundwater resources.

51.24 	Sec. 16. Minnesota Statutes 2010, section 114D.20, subdivision 6, is amended to read:
51.25 		Subd. 6.Priorities for restoration of impaired waters. In implementing 
51.26 	restoration of impaired waters, in addition to the priority considerations in subdivision 5, 
51.27 	the Clean Water Council shall give priority in its recommendations for restoration funding 
51.28 	from the clean water legacy account fund to restoration projects that:
51.29 	(1) coordinate with and utilize existing local authorities and infrastructure for 
51.30 	implementation;
51.31 	(2) can be implemented in whole or in part by providing support for existing or 
51.32 	ongoing restoration efforts;
51.33 	(3) most effectively leverage other sources of restoration funding, including federal, 
51.34 	state, local, and private sources of funds;
52.1 	(4) show a high potential for early restoration and delisting based upon scientific 
52.2 	data developed through public agency or citizen monitoring or other means; and
52.3 	(5) show a high potential for long-term water quality and related conservation 
52.4 	benefits.

52.5 	Sec. 17. Minnesota Statutes 2010, section 114D.20, subdivision 7, is amended to read:
52.6 		Subd. 7.Priorities for funding prevention actions. The Clean Water Council 
52.7 	shall apply the priorities applicable under subdivision 6, as far as practicable, when 
52.8 	recommending priorities for funding actions to prevent groundwater and surface waters 
52.9 	from becoming degraded or impaired and to improve the quality of surface waters that are 
52.10 	listed as impaired but do not have an approved TMDL.

52.11 	Sec. 18. Minnesota Statutes 2010, section 114D.30, is amended to read:
52.12 	114D.30 CLEAN WATER COUNCIL.
52.13 		Subdivision 1.Creation; duties. A Clean Water Council is created to advise on the 
52.14 	administration and implementation of this chapter, and foster coordination and cooperation 
52.15 	as described in section 114D.20, subdivision 1. The council may also advise on the 
52.16 	development of appropriate processes for expert scientific review as described in section 
52.17 	114D.35, subdivision 2. The Pollution Control Agency shall provide administrative 
52.18 	support for the council with the support of other member agencies. The members of the 
52.19 	council shall elect a chair from the nonagency voting members of the council.
52.20 		Subd. 2.Membership; appointment. (a) The commissioners of natural resources, 
52.21 	agriculture, health, and the Pollution Control Agency, and the executive director of the 
52.22 	Board of Water and Soil Resources shall each appoint one person from their respective 
52.23 	agency to serve as a nonvoting member of the council. Agency members serve as 
52.24 	nonvoting members of the council. Two members of the house of representatives, 
52.25 	including one member from the majority party and one member from the minority party, 
52.26 	appointed by the speaker and two senators, including one member from the majority 
52.27 	party and one member from the minority party, appointed according to the rules of the 
52.28 	senate shall serve at the pleasure of the appointing authority as nonvoting members of 
52.29 	the council. Agency and legislative members appointed under this paragraph serve as 
52.30 	nonvoting members of the council.
52.31 	(b) Nineteen additional nonagency voting members of the council shall be appointed 
52.32 	by the governor as follows:
52.33 	(1) two members representing statewide farm organizations;
52.34 	(2) two members representing business organizations;
53.1 	(3) two members representing environmental organizations;
53.2 	(4) one member representing soil and water conservation districts;
53.3 	(5) one member representing watershed districts;
53.4 	(6) one member representing nonprofit organizations focused on improvement of 
53.5 	Minnesota lakes or streams;
53.6 	(7) two members representing organizations of county governments, one member 
53.7 	representing the interests of rural counties and one member representing the interests of 
53.8 	counties in the seven-county metropolitan area;
53.9 	(8) two members representing organizations of city governments;
53.10 	(9) one member representing the Metropolitan Council established under section 
53.11 	473.123;
53.12 	(10) one member representing township officer officers;
53.13 	(11) one member representing the interests of tribal governments;
53.14 	(12) one member representing statewide hunting organizations;
53.15 	(13) one member representing the University of Minnesota or a Minnesota state 
53.16 	university; and
53.17 	(14) one member representing statewide fishing organizations.
53.18 	Members appointed under clauses (1) to (14) this paragraph must not be registered 
53.19 	lobbyists or legislators. In making appointments, the governor must attempt to provide for 
53.20 	geographic balance. The members of the council appointed by the governor are subject 
53.21 	to the advice and consent of the senate.
53.22 		Subd. 3.Conflict of interest. A Clean Water Council member may not participate 
53.23 	in or vote on a decision of the council relating to an organization in which the member has 
53.24 	either a direct or indirect personal financial interest. While serving on the Clean Water 
53.25 	Council, a member shall avoid any potential conflict of interest.
53.26 		Subd. 4.Terms; compensation; removal. The initial terms of members 
53.27 	representing state agencies and the Metropolitan Council expire on the first Monday in 
53.28 	January 2007. Thereafter, The terms of members representing the state agencies and the 
53.29 	Metropolitan Council are four years and are coterminous with the governor. The terms 
53.30 	of other nonlegislative members of the council shall be as provided in section 15.059, 
53.31 	subdivision 2. Members may serve until their successors are appointed and qualify. 
53.32 	Compensation and removal of nonlegislative council members is as provided in section 
53.33 	15.059, subdivisions 3 and 4. Compensation of legislative members is as determined 
53.34 	by the appointing authority. A vacancy on the council may be filled by the appointing 
53.35 	authority provided in subdivision 1 for the remainder of the unexpired term.
54.1 		Subd. 5.Implementation plan. The Clean Water Council shall recommend a plan 
54.2 	for implementation of this chapter and the provisions of article XI, section 15, of the 
54.3 	Minnesota Constitution relating to clean water. The recommended plan shall address 
54.4 	general procedures and time frames for implementing this chapter, and shall include a more 
54.5 	specific implementation work plan for the next fiscal biennium and a framework for setting 
54.6 	priorities to address impaired waters consistent with section 114D.20, subdivisions 2 to 7. 
54.7 	The council shall issue the first recommended plan under this subdivision by December 1, 
54.8 	2005, and shall issue a revised plan by December 1 of each even-numbered year thereafter.
54.9 		Subd. 6.Recommendations on appropriation of funds. (a) The Clean Water 
54.10 	Council shall recommend to the governor and the legislature the manner in which 
54.11 	money from the clean water legacy account fund should be appropriated for the purposes 
54.12 	identified in section 114D.45, subdivision 3 stated in article XI, section 15, of the 
54.13 	Minnesota Constitution and section 114D.50.
54.14 	(b) The council's recommendations must:
54.15 	(1) be to protect, enhance, and restore water quality in lakes, rivers, and streams and 
54.16 	to protect groundwater from degradation and ensure that at least five percent of the clean 
54.17 	water fund is spent only to protect drinking water sources;
54.18 	(2) be consistent with the purposes, policies, goals, and priorities in sections 
54.19 	114D.05 to 114D.35, this chapter; and shall
54.20 	(3) allocate adequate support and resources to identify degraded groundwater and 
54.21 	impaired waters, develop TMDL's, implement restoration of groundwater and impaired 
54.22 	waters, and provide assistance and incentives to prevent groundwater and surface waters 
54.23 	from becoming degraded or impaired and improve the quality of surface waters which are 
54.24 	listed as impaired but have no approved TMDL.
54.25 	(c) The council must recommend methods of ensuring that awards of grants, 
54.26 	loans, or other funds from the clean water legacy account fund specify the outcomes 
54.27 	to be achieved as a result of the funding and specify standards to hold the recipient 
54.28 	accountable for achieving the desired outcomes. Expenditures from the account fund must 
54.29 	be appropriated by law.
54.30 		Subd. 7.Biennial report to legislature. By December 1 of each even-numbered 
54.31 	year, the council shall submit a report to the legislature on the activities for which money 
54.32 	has been or will be spent for the current biennium, the activities for which money is 
54.33 	recommended to be spent in the next biennium, and the impact on economic development 
54.34 	of the implementation of efforts to protect and restore groundwater and the impaired waters 
54.35 	program. The report due on December 1, 2014, must include an evaluation of the progress 
54.36 	made through June 30, 2014, in implementing this chapter and the provisions of article XI, 
55.1 	section 15, of the Minnesota Constitution relating to clean water, the need for funding of 
55.2 	future implementation of those sections, and recommendations for the sources of funding.

55.3 	Sec. 19. Minnesota Statutes 2010, section 114D.35, is amended to read:
55.4 	114D.35 PUBLIC AND STAKEHOLDER PARTICIPATION; SCIENTIFIC 
55.5 	REVIEW; EDUCATION.
55.6 		Subdivision 1.Public and stakeholder participation. Public agencies and private 
55.7 	entities involved in the implementation of this chapter shall encourage participation by 
55.8 	the public and stakeholders, including local citizens, landowners and managers, and 
55.9 	public and private organizations, in the identification of identifying impaired waters, in 
55.10 	developing TMDL's, and in planning, priority setting, and implementing restoration of 
55.11 	impaired waters, in identifying degraded groundwater, and in protecting and restoring 
55.12 	groundwater resources. In particular, the Pollution Control Agency shall make reasonable 
55.13 	efforts to provide timely information to the public and to stakeholders about impaired 
55.14 	waters that have been identified by the agency. The agency shall seek broad and early 
55.15 	public and stakeholder participation in scoping the activities necessary to develop a 
55.16 	TMDL, including the scientific models, methods, and approaches to be used in TMDL 
55.17 	development, and to implement restoration pursuant to section 114D.15, subdivision 7.
55.18 		Subd. 2.Expert scientific advice. The Clean Water Council and public agencies 
55.19 	and private entities shall make use of available public and private expertise from 
55.20 	educational, research, and technical organizations, including the University of Minnesota 
55.21 	and other higher education institutions, to provide appropriate independent expert advice 
55.22 	on models, methods, and approaches used in identifying degraded ground water and 
55.23 	impaired waters, developing TMDL's, and implementing prevention and restoration.
55.24 		Subd. 3.Education. The Clean Water Council shall develop strategies for 
55.25 	informing, educating, and encouraging the participation of citizens, stakeholders, 
55.26 	and others regarding the identification of impaired waters, development of TMDL's, 
55.27 	development of TMDL implementation plans, and implementation of restoration for 
55.28 	impaired waters, identification of degraded groundwater, and protection and restoration 
55.29 	of groundwater resources. Public agencies shall be responsible for implementing the 
55.30 	strategies.

55.31 	Sec. 20. Minnesota Statutes 2010, section 116.195, is amended to read:
55.32 	116.195 BENEFICIAL USE OF WASTEWATER AND STORM WATER; 
55.33 	CAPITAL GRANTS FOR DEMONSTRATION PROJECTS.
56.1 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
56.2 	have the meanings given them.
56.3 	(b) "Agency" means the Pollution Control Agency.
56.4 	(c) "Beneficial use of wastewater or storm water" means:
56.5 	(1) use of the effluent from a wastewater treatment plant that replaces use of 
56.6 	groundwater; or
56.7 	(2) use of storm water that replaces the use of groundwater.
56.8 	(d) "Capital project" means the acquisition or betterment of public land, buildings, 
56.9 	and other public improvements of a capital nature for the treatment of wastewater intended 
56.10 	for beneficial use or for the use of storm water to replace groundwater use. Capital project 
56.11 	includes projects to retrofit, expand, or construct new treatment facilities.
56.12 		Subd. 2.Grants for capital project design. The agency shall make grant awards 
56.13 	to political subdivisions for up to 50 percent of the costs to predesign and design capital 
56.14 	projects that demonstrate the beneficial use of wastewater or storm water. The maximum 
56.15 	amount for a grant under this subdivision is $500,000. The grant agreement must provide 
56.16 	that the predesign and design work being funded is public information and available to 
56.17 	anyone without charge. The agency must make the predesign and design work available 
56.18 	on its Web site.
56.19 		Subd. 3.Grants for capital project implementation. The agency shall make grant 
56.20 	awards to political subdivisions for up to 50 percent of the costs to acquire, construct, 
56.21 	install, furnish, and equip capital projects that demonstrate the beneficial use of wastewater
56.22 	or storm water. The political subdivision must submit design plans and specifications 
56.23 	to the agency as part of the application.
56.24 	The agency must consult with the Public Facilities Authority and the commissioner 
56.25 	of natural resources in reviewing and ranking applications for grants under this section.
56.26 	The application must identify the uses of the treated wastewater or storm water 
56.27 	and greater weight will be given to applications that include a binding commitment to 
56.28 	participate by the user or users.
56.29 	The agency must give preference to projects that will reduce use of the greatest 
56.30 	volume of groundwater from aquifers with the slowest rate of recharge.
56.31 		Subd. 4.Application form; procedures. The agency shall develop an application 
56.32 	form and procedures.
56.33 		Subd. 5.Reports. The agency shall report by February 1 of each year to the chairs 
56.34 	of the house of representatives and senate committees with jurisdiction over environment 
56.35 	policy and finance and capital investment on the grants made and projects funded under 
56.36 	this section. For each demonstration project funded, the report must include information 
57.1 	on the scale of water constraints for the area, the volume of treated wastewater supply
57.2 	supplied or storm water available, the quality of the storm water or treated wastewater 
57.3 	supplied and treatment implications for the industrial user, impacts to stream flow and 
57.4 	downstream users, and any considerations related to water appropriation and discharge 
57.5 	permits.

57.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

57.7 	Sec. 21. Laws 2009, chapter 172, article 2, section 4, as amended by Laws 2010, 
57.8 	chapter 361, article 2, section 2, is amended to read:

57.9	Sec. 4. POLLUTION CONTROL AGENCY
 	$
	24,076,000
	$
	27,630,000
	
57.10 	(a) $9,000,000 the first year and $9,000,000 
57.11 	the second year are to develop total 
57.12 	maximum daily load (TMDL) studies and 
57.13 	TMDL implementation plans for waters 
57.14 	listed on the United States Environmental 
57.15 	Protection Agency approved impaired 
57.16 	waters list in accordance with Minnesota 
57.17 	Statutes, chapter 114D. The agency shall 
57.18 	complete an average of ten percent of the 
57.19 	TMDLs each year over the biennium. Of 
57.20 	this amount, $348,000 the first year is to 
57.21 	retest the comprehensive assessment of the 
57.22 	biological conditions of the lower Minnesota 
57.23 	River and its tributaries within the Lower 
57.24 	Minnesota River Major Watershed, as 
57.25 	previously assessed from 1976 to 1992 under 
57.26 	the Minnesota River Assessment Project 
57.27 	(MRAP). The assessment must include the 
57.28 	same fish species sampling at the same 116 
57.29 	locations and the same macroinvertebrate 
57.30 	sampling at the same 41 locations as the 
57.31 	MRAP assessment. The assessment must:
57.32 	(1) include an analysis of the findings; and
57.33 	(2) identify factors that limit aquatic life in 
57.34 	the Minnesota River.
58.1 	Of this amount, $250,000 the first year is 
58.2 	for a pilot project for the development of 
58.3 	total maximum daily load (TMDL) studies 
58.4 	conducted on a watershed basis within 
58.5 	the Buffalo River watershed in order to 
58.6 	protect, enhance, and restore water quality 
58.7 	in lakes, rivers, and streams. The pilot 
58.8 	project shall include all necessary field 
58.9 	work to develop TMDL studies for all 
58.10 	impaired subwatersheds within the Buffalo 
58.11 	River watershed and provide information 
58.12 	necessary to complete reports for most of the 
58.13 	remaining watersheds, including analysis of 
58.14 	water quality data, identification of sources 
58.15 	of water quality degradation and stressors, 
58.16 	load allocation development, development 
58.17 	of reports that provide protection plans 
58.18 	for subwatersheds that meet water quality 
58.19 	standards, and development of reports that 
58.20 	provide information necessary to complete 
58.21 	TMDL studies for subwatersheds that do not 
58.22 	meet water quality standards, but are not 
58.23 	listed as impaired.
58.24 	(b) $500,000 the first year is for development 
58.25 	of an enhanced TMDL database to manage 
58.26 	and track progress. Of this amount, $63,000 
58.27 	the first year is to promulgate rules. By 
58.28 	November 1, 2010, the commissioner shall 
58.29 	submit a report to the chairs of the house of 
58.30 	representatives and senate committees with 
58.31 	jurisdiction over environment and natural 
58.32 	resources finance on the outcomes achieved 
58.33 	with this appropriation.
58.34 	(c) $1,500,000 the first year and $3,169,000 
58.35 	the second year are for grants under 
58.36 	Minnesota Statutes, section 116.195, to 
59.1 	political subdivisions for up to 50 percent of 
59.2 	the costs to predesign, design, and implement 
59.3 	capital projects that use storm water or 
59.4 	treated municipal wastewater instead of 
59.5 	groundwater from drinking water aquifers, 
59.6 	in order to demonstrate the beneficial use 
59.7 	of wastewater or storm water, including 
59.8 	the conservation and protection of water 
59.9 	resources. Of this amount, $1,000,000 the 
59.10 	first year is for grants to ethanol plants that 
59.11 	are within one and one-half miles of a city for 
59.12 	improvements that use storm water or reuse 
59.13 	greater than 300,000 gallons of wastewater 
59.14 	per day. This appropriation is available until 
59.15 	spent.
59.16 	(d) $1,125,000 the first year and $1,125,000 
59.17 	the second year are for groundwater 
59.18 	assessment and drinking water protection to 
59.19 	include:
59.20 	(1) the installation and sampling of at least 
59.21 	30 new monitoring wells;
59.22 	(2) the analysis of samples from at least 40 
59.23 	shallow monitoring wells each year for the 
59.24 	presence of endocrine disrupting compounds; 
59.25 	and
59.26 	(3) the completion of at least four to 
59.27 	five groundwater models for TMDL and 
59.28 	watershed plans.
59.29 	(e) $2,500,000 the first year is for the clean 
59.30 	water partnership program. Priority shall be 
59.31 	given to projects preventing impairments and 
59.32 	degradation of lakes, rivers, streams, and 
59.33 	groundwater in accordance with Minnesota 
59.34 	Statutes, section 114D.20, subdivision 2, 
59.35 	clause (4). Any balance remaining in the first 
60.1 	year does not cancel and is available for the 
60.2 	second year.
60.3 	(f) $896,000 the first year is to establish 
60.4 	a network of water monitoring sites, to 
60.5 	include at least 20 additional sites, in public 
60.6 	waters adjacent to wastewater treatment 
60.7 	facilities across the state to assess levels of 
60.8 	endocrine-disrupting compounds, antibiotic 
60.9 	compounds, and pharmaceuticals as required 
60.10 	in this article. The data must be placed on 
60.11 	the agency's Web site.
60.12 	(g) $155,000 the first year is to provide 
60.13 	notification of the potential for coal tar 
60.14 	contamination, establish a storm water 
60.15 	pond inventory schedule, and develop best 
60.16 	management practices for treating and 
60.17 	cleaning up contaminated sediments as 
60.18 	required in this article. $490,000 the second 
60.19 	year is to provide grants to local units of 
60.20 	government for up to 50 percent of the costs 
60.21 	to implement best management practices to 
60.22 	treat or clean up contaminated sediments 
60.23 	in storm water ponds and other waters as 
60.24 	defined under this article. Local governments 
60.25 	must have adopted an ordinance for the 
60.26 	restricted use of undiluted coal tar sealants 
60.27 	in order to be eligible for a grant, unless a 
60.28 	statewide restriction has been implemented. 
60.29 	A grant awarded under this paragraph must 
60.30 	not exceed $100,000. Up to $145,000 of the 
60.31 	appropriation in the second year may be used 
60.32 	to complete work required under section 28, 
60.33 	paragraph (c).
60.34 	(h) $350,000 the first year and $600,000 the 
60.35 	second year are for a restoration project in 
61.1 	the lower St. Louis River and Duluth harbor 
61.2 	in order to improve water quality. This 
61.3 	appropriation must be matched by nonstate 
61.4 	money at a rate of at least $2 for every $1 of 
61.5 	state money.
61.6 	(i) $150,000 the first year and $196,000 the 
61.7 	second year are for grants to the Red River 
61.8 	Watershed Management Board to enhance 
61.9 	and expand existing river watch activities in 
61.10 	the Red River of the North. The Red River 
61.11 	Watershed Management Board shall provide 
61.12 	a report that includes formal evaluation 
61.13 	results from the river watch program to the 
61.14 	commissioners of education and the Pollution 
61.15 	Control Agency and to the legislative natural 
61.16 	resources finance and policy committees 
61.17 	and K-12 finance and policy committees by 
61.18 	February 15, 2011.
61.19 	(j) $200,000 the first year and $300,000 the 
61.20 	second year are for coordination with the 
61.21 	state of Wisconsin and the National Park 
61.22 	Service on comprehensive water monitoring 
61.23 	and phosphorus reduction activities in the 
61.24 	Lake St. Croix portion of the St. Croix 
61.25 	River. The Pollution Control Agency 
61.26 	shall work with the St. Croix Basin Water 
61.27 	Resources Planning Team and the St. Croix 
61.28 	River Association in implementing the 
61.29 	water monitoring and phosphorus reduction 
61.30 	activities. This appropriation is available 
61.31 	to the extent matched by nonstate sources. 
61.32 	Money not matched by November 15, 2010, 
61.33 	cancels for this purpose and is available for 
61.34 	the purposes of paragraph (a).
62.1 	(k) $7,500,000 the first year and $7,500,000 
62.2 	the second year are for completion of 20 
62.3 	percent of the needed statewide assessments 
62.4 	of surface water quality and trends. Of this 
62.5 	amount, $175,000 the first year and $200,000 
62.6 	the second year are for monitoring and 
62.7 	analyzing endocrine disruptors in surface 
62.8 	waters.
62.9 	(l) $100,000 the first year and $150,000 
62.10 	the second year are for civic engagement 
62.11 	in TMDL development. The agency shall 
62.12 	develop a plan for expenditures under 
62.13 	this paragraph. The agency shall give 
62.14 	consideration to civic engagement proposals 
62.15 	from basin or sub-basin organizations, 
62.16 	including the Mississippi Headwaters Board, 
62.17 	the Minnesota River Joint Powers Board, 
62.18 	Area II Minnesota River Basin Projects, 
62.19 	and the Red River Basin Commission. 
62.20 	By November 15, 2009, the plan shall be 
62.21 	submitted to the house and senate chairs 
62.22 	and ranking minority members of the 
62.23 	environmental finance divisions.
62.24 	(m) $5,000,000 the second year is for 
62.25 	groundwater protection or prevention of 
62.26 	groundwater degradation activities. By 
62.27 	January 15, 2010, the commissioner, in 
62.28 	consultation with the commissioner of 
62.29 	natural resources, the Board of Water and 
62.30 	Soil Resources, and other agencies, shall 
62.31 	submit a report to the chairs of the house of 
62.32 	representatives and senate committees with 
62.33 	jurisdiction over the clean water fund on the 
62.34 	intended use of these funds. The legislature 
62.35 	must approve expenditure of these funds by 
62.36 	law.
63.1 	Notwithstanding Minnesota Statutes, section 
63.2 	16A.28, the appropriations encumbered on or 
63.3 	before June 30, 2011, as grants or contracts in 
63.4 	this section are available until June 30, 2013.

63.5 	EFFECTIVE DATE. This section is effective the day following final enactment.

63.6 	Sec. 22. CIVIC ENGAGEMENT AND PUBLIC EDUCATION.
 63.7 	A recipient of funds appropriated in this article shall incorporate civic engagement 
63.8 	and public education when implementing projects and programs funded under this article.

63.9 	Sec. 23.  REPEALER.
 63.10 	Minnesota Statutes 2010, section 114D.45, is repealed.

63.11 	ARTICLE 3
63.12 	PARKS AND TRAILS FUND

63.13	Section 1. PARKS AND TRAILS FUND APPROPRIATIONS.
 	
63.14 	The sums shown in the columns marked "Appropriations" are appropriated to 
63.15 	the agencies and for the purposes specified in this article. The appropriations are from 
63.16 	the parks and trails fund, or another named fund, and are available for the fiscal years 
63.17 	indicated for each purpose. "The first year" is fiscal year 2012. "The second year" is 
63.18 	fiscal year 2013. "The biennium" is fiscal years 2012 and 2013. Appropriations for the 
63.19 	fiscal year ending June 30, 2012, are effective the day following final enactment. All 
63.20 	appropriations in this article are onetime.

63.21				APPROPRIATIONS
	
63.22				Available for the Year
	
63.23				Ending June 30
	
63.24					2012
		2013

63.25	Sec. 2. PARKS AND TRAILS

63.26	Subdivision 1.Total Appropriation
 	$
	38,635,000
	$
	38,630,000
	
63.27 	The amounts that may be spent for each 
63.28 	purpose are specified in the following 
63.29 	sections.

63.30	Subd. 2.Availability of Appropriation
 					
64.1 	Money appropriated in this article may 
64.2 	not be spent on activities unless they are 
64.3 	directly related to and necessary for a specific 
64.4 	appropriation. Money appropriated in this 
64.5 	article must not be spent on indirect costs 
64.6 	or other institutional overhead charges that 
64.7 	are not directly related to and necessary for 
64.8 	a specific appropriation. Notwithstanding 
64.9 	Minnesota Statutes, section 16A.28, and 
64.10 	unless otherwise specified in this article, 
64.11 	fiscal year 2012 appropriations are available 
64.12 	until June 30, 2014, and fiscal year 2013 
64.13 	appropriations are available until June 30, 
64.14 	2015. If a project receives federal funds, the 
64.15 	time period of the appropriation is extended 
64.16 	to equal the availability of federal funding.

64.17
64.18	Sec. 3. DEPARTMENT OF NATURAL 
RESOURCES
 	$
	24,033,000
	$
	23,193,000
	
64.19 	(a) $14,597,000 the first year and 
64.20 	$15,437,000 the second year are for state 
64.21 	parks, recreation areas, and trails to:
64.22 	(1) connect people to the outdoors;
64.23 	(2) acquire land and create opportunities;
64.24 	(3) maintain existing holdings, including 
64.25 	developing and redeveloping facilities, 
64.26 	and improving accessibility and energy 
64.27 	efficiency; and
64.28 	(4) improve cooperation by coordinating 
64.29 	with partners to implement the 25-year 
64.30 	long-range parks and trails legacy plan.
64.31 	(b) $2,100,000 the first year is for acquisition 
64.32 	of land adjacent to LaSalle Lake in Hubbard 
64.33 	County for a state recreation area. If the 
64.34 	acquisition is not completed by July 15, 
65.1 	2012, or if a balance remains after the 
65.2 	acquisition of the land, the money under this 
65.3 	paragraph is available for acquisitions under 
65.4 	paragraph (a), clause (2).
65.5 	(c) $7,298,000 the first year and $7,718,000 
65.6 	the second year are for parks and trails of 
65.7 	regional or statewide significance as follows:
65.8 	(1) $7,123,000 the first year and $7,718,000 
65.9 	the second year are for grants under 
65.10 	Minnesota Statutes, section 85.535, to 
65.11 	acquire, develop, improve, and restore 
65.12 	parks and trails of regional or statewide 
65.13 	significance; and
65.14 	(2) $175,000 the first year is for a grant to the 
65.15 	Greater Minnesota Regional Park and Trail 
65.16 	Coalition to: define and develop information, 
65.17 	including the number of users and potential 
65.18 	users of greater Minnesota regional parks 
65.19 	and trails; collect and compile details on 
65.20 	the facilities within the greater Minnesota 
65.21 	regional park system; and develop a plan for 
65.22 	high priority park and trail acquisition and 
65.23 	development opportunities. No local match 
65.24 	is required for this grant.
65.25 	Up to 2.5 percent of the total appropriation 
65.26 	may be used for administering the grants. 
65.27 	(d) $38,000 the first year and $38,000 the 
65.28 	second year are for a technical assistance 
65.29 	panel to conduct up to ten restoration audits 
65.30 	under Minnesota Statutes, section 85.53, 
65.31 	subdivision 5.
65.32 	(e) The commissioner shall contract for 
65.33 	services with Conservation Corps Minnesota 
65.34 	for restoration, maintenance, and other 
65.35 	activities under this section for at least 
66.1 	$1,000,000 the first year and $1,000,000 the 
66.2 	second year.
66.3 	(f) The commissioner of natural resources 
66.4 	shall convene and facilitate a working 
66.5 	group of nine members to develop 
66.6 	recommendations for the allocation of the 
66.7 	parks and trails fund. The working group 
66.8 	shall have representatives from metropolitan 
66.9 	parks and trails, greater Minnesota parks 
66.10 	and trails, and the Department of Natural 
66.11 	Resources Parks and Trails Division. The 
66.12 	recommendations shall be submitted no later 
66.13 	than November 15, 2012, and presented to 
66.14 	the governor for consideration in the budget 
66.15 	for fiscal years 2014 and 2015.

66.16	Sec. 4. METROPOLITAN COUNCIL
 	$
	14,597,000
	$
	15,437,000
	
66.17 	(a) $14,597,000 the first year and 
66.18 	$15,437,000 the second year are to be 
66.19 	distributed as required under Minnesota 
66.20 	Statutes, section 85.53, subdivision 3.
66.21 	(b) Grant agreements entered into by the 
66.22 	Metropolitan Council and recipients of 
66.23 	money appropriated under this section shall 
66.24 	ensure that the funds are used to supplement 
66.25 	and not substitute for traditional sources of 
66.26 	funding.

66.27	Sec. 5. LEGISLATURE
 	$
	 7,000
	$
	-0-
	
66.28 	$7,000 the first year is for the Legislative 
66.29 	Coordinating Commission for the costs of 
66.30 	developing and implementing a Web site to 
66.31 	contain information on projects receiving 
66.32 	appropriations from the parks and trails fund 
66.33 	and other constitutionally dedicated funds.

67.1 	Sec. 6. Minnesota Statutes 2010, section 85.013, is amended by adding a subdivision 
67.2 	to read:
67.3 		Subd. 15a.LaSalle Lake State Recreation Area, Hubbard County.

67.4 	Sec. 7. LASALLE LAKE STATE RECREATION AREA.
 67.5 		Subdivision 1.LaSalle Lake State Recreation Area, Hubbard County. The 
67.6 	LaSalle Lake State Recreation Area is established in Hubbard County.
67.7 		Subd. 2.Boundaries. The following described lands are located within the 
67.8 	boundaries of the LaSalle Lake State Recreation Area, all in Hubbard County:
67.9 	(1) the Southwest Quarter of the Southwest Quarter and the Northwest Quarter of the 
67.10 	Southwest Quarter, except the East 10 acres thereof, of Section 29; the Northeast Quarter 
67.11 	of the Northeast Quarter, the Northwest Quarter of the Northeast Quarter, the Southwest 
67.12 	Quarter of the Northeast Quarter, the Northeast Quarter of the Southwest Quarter, the 
67.13 	Southeast Quarter of the Northwest Quarter, the Southeast Quarter of the Northeast 
67.14 	Quarter, and Government Lots 2, 3, 4, 5, 6, 7, 8, and 9, of Section 30; Government Lots 1, 
67.15 	2, 5, 6, 7, 8, 9, and 10, of Section 31; and Government Lots 1 and 4 of Section 32; all in 
67.16 	Township 145 North, Range 35 West; and
67.17 	(2) Government Lot 12, Section 19, Township 145 North, Range 35.
67.18 		Subd. 3.Administration. The commissioner of natural resources shall administer 
67.19 	the area according to Minnesota Statutes, section 86A.05, subdivision 3, subject to 
67.20 	existing rules and regulations for state recreation areas. LaSalle Lake State Recreation 
67.21 	Area shall be administered as a satellite unit of Itasca State Park.

67.22 	Sec. 8. LASALLE LAKE STATE RECREATION AREA MANAGEMENT 
67.23 	OPTIONS.
 67.24 	By March 1, 2012, the commissioner of natural resources shall submit a report to 
67.25 	the senate and house of representatives committees and divisions with jurisdiction over 
67.26 	natural resources policy and finance evaluating options for the management of the resort 
67.27 	within the LaSalle Lake State Recreation Area, including an evaluation of the option 
67.28 	to lease the resort to a nonstate entity. The evaluation shall include potential financial 
67.29 	arrangements or mechanisms that would make the equivalent of local taxes or payments in 
67.30 	lieu of taxes the responsibility of the nonstate entity.

67.31 	ARTICLE 4
67.32 	ARTS AND CULTURAL HERITAGE FUND

67.33	Section 1. ARTS AND CULTURAL HERITAGE FUND APPROPRIATIONS.
 	
68.1 	The sums shown in the columns marked "Appropriations" are appropriated to the 
68.2 	entities and for the purposes specified in this article. The appropriations are from the arts 
68.3 	and cultural heritage fund, and are available for the fiscal years indicated for allowable 
68.4 	activities under the Minnesota Constitution, article XI, section 15. "The first year" is fiscal 
68.5 	year 2012. "The second year" is fiscal year 2013. "The biennium" is fiscal years 2012 
68.6 	and 2013. All appropriations in this article are onetime.

68.7				APPROPRIATIONS
	
68.8				Available for the Year
	
68.9				Ending June 30
	
68.10					2012
		2013

68.11	Sec. 2. ARTS AND CULTURAL HERITAGE

68.12	Subdivision 1.Total Appropriation
 	$
	51,135,000
	$
	50,129,000
	
68.13 	The amounts that may be spent for each 
68.14 	purpose are specified in the following 
68.15 	subdivisions.

68.16	Subd. 2.Availability of Appropriation
 					
68.17 	Money appropriated in this article may 
68.18 	not be spent on activities unless they are 
68.19 	directly related to and necessary for a specific 
68.20 	appropriation. Money appropriated in this 
68.21 	article must not be spent on indirect costs 
68.22 	or other institutional overhead charges that 
68.23 	are not directly related to and necessary for 
68.24 	a specific appropriation. Notwithstanding 
68.25 	Minnesota Statutes, section 16A.28, and 
68.26 	unless otherwise specified in this article, 
68.27 	fiscal year 2012 appropriations are available 
68.28 	until June 30, 2013, and fiscal year 2013 
68.29 	appropriations are available until June 30, 
68.30 	2014. If a project receives federal funds, the 
68.31 	time period of the appropriation is extended 
68.32 	to equal the availability of federal funding.

68.33	Subd. 3.Minnesota State Arts Board
 		 21,824,000
		21,824,000
	
69.1 	These amounts are appropriated to the 
69.2 	Minnesota State Arts Board for arts, arts 
69.3 	education, and arts access. Grant agreements 
69.4 	entered into by the Minnesota State Arts 
69.5 	Board and other recipients of appropriations 
69.6 	in this subdivision shall ensure that 
69.7 	these funds are used to supplement and 
69.8 	not substitute for traditional sources of 
69.9 	funding. Appropriations made directly 
69.10 	to the Minnesota State Arts Board shall 
69.11 	supplement, and shall not substitute for, 
69.12 	traditional sources of funding. Each grant 
69.13 	program established within this appropriation 
69.14 	shall be separately administered from other 
69.15 	state appropriations for program planning 
69.16 	and outcome measurements, but may take 
69.17 	into consideration other state resources 
69.18 	awarded in the selection of applicants and 
69.19 	grant award size.
69.20 	Arts and Arts Access Initiatives. 
69.21 	$16,660,000 the first year and $16,660,000 
69.22 	the second year are to support Minnesota 
69.23 	artists and arts organizations in creating, 
69.24 	producing, and presenting high-quality arts 
69.25 	activities; to overcome barriers to accessing 
69.26 	high-quality arts activities; and to instill the 
69.27 	arts into the community and public life in 
69.28 	this state.
69.29 	A portion of these funds may be used to:
69.30 	(1) pay attendance fees and travel costs 
69.31 	for youth to visit art museums, arts 
69.32 	performances, or other arts activities; or
69.33 	(2) bring artists to schools, libraries, or other 
69.34 	community centers or organizations for 
69.35 	teaching, training, or performance purposes.
70.1 	Arts Education. $3,450,000 the first year 
70.2 	and $3,450,000 the second year are for 
70.3 	high-quality, age-appropriate arts education 
70.4 	for Minnesotans of all ages to develop 
70.5 	knowledge, skills, and understanding of the 
70.6 	arts.
70.7 	A portion of this appropriation may be used 
70.8 	for grants to school districts to provide 
70.9 	materials or resources to teachers, students, 
70.10 	and parents to promote achievement of K-12 
70.11 	academic standards in the arts.
70.12 	Arts and Cultural Heritage. $1,080,000 
70.13 	the first year and $1,080,000 the second year 
70.14 	are for events and activities that represent the 
70.15 	diverse cultural arts traditions, including folk 
70.16 	and traditional artists and art organizations, 
70.17 	represented in this state.
70.18 	Administration, Fiscal Oversight, and 
70.19 	Accountability. $634,000 the first year 
70.20 	and $634,000 the second year are for 
70.21 	administration of grant programs, delivering 
70.22 	technical services, providing fiscal oversight 
70.23 	for the statewide system, and ensuring 
70.24 	accountability for these state resources.
70.25 	Census. The Minnesota State Arts Board, in 
70.26 	partnership with regional arts councils, shall 
70.27 	maintain a census of Minnesota artists and 
70.28 	artistic organizations.
70.29 	Thirty percent of the total appropriated to 
70.30 	each of the categories established in this 
70.31 	subdivision is for grants to the regional arts 
70.32 	councils. This percentage does not apply to 
70.33 	administrative costs.

70.34	Subd. 4.Department of Education
 		3,455,000
		3,455,000
	
71.1 	These amounts are appropriated to the 
71.2 	commissioner of education for grants 
71.3 	allocated using existing formulas under 
71.4 	Minnesota Statutes, section 134.355, to the 
71.5 	12 Minnesota regional library systems, to 
71.6 	provide educational opportunities in the arts, 
71.7 	history, literary arts, and cultural heritage 
71.8 	of Minnesota. These funds may be used 
71.9 	to sponsor programs provided by regional 
71.10 	libraries or to provide grants to local arts and 
71.11 	cultural heritage programs for programs in 
71.12 	partnership with regional libraries.

71.13	Subd. 5.Minnesota Historical Society
 		12,250,000
		12,250,000
	
71.14 	These amounts are appropriated to the 
71.15 	governing board of the Minnesota Historical 
71.16 	Society to preserve and enhance access to 
71.17 	Minnesota's history and its cultural and 
71.18 	historical resources. Grant agreements 
71.19 	entered into by the Minnesota Historical 
71.20 	Society and other recipients of appropriations 
71.21 	in this subdivision shall ensure that 
71.22 	these funds are used to supplement and 
71.23 	not substitute for traditional sources of 
71.24 	funding. Funds directly appropriated to the 
71.25 	Minnesota Historical Society shall be used to 
71.26 	supplement, and not substitute for, traditional 
71.27 	sources of funding. Notwithstanding 
71.28 	Minnesota Statutes, section 16A.28, for 
71.29 	historic preservation projects that improve 
71.30 	historic structures, the amounts are available 
71.31 	until June 30, 2015.
71.32 	Statewide Historic and Cultural Grants. 
71.33 	$5,250,000 the first year and $5,250,000 
71.34 	the second year are for history programs 
71.35 	and projects operated or conducted by or 
72.1 	through local, county, regional, or other 
72.2 	historical or cultural organizations; or for 
72.3 	activities to preserve significant historic 
72.4 	and cultural resources. Funds are to be 
72.5 	distributed through a competitive grants 
72.6 	process. The Minnesota Historical Society 
72.7 	shall administer these funds using established 
72.8 	grants mechanisms, with assistance from 
72.9 	the advisory committee created under Laws 
72.10 	2009, chapter 172, article 4, section 2, 
72.11 	subdivision 4, paragraph (b), item (ii).
72.12 	Programs. $5,000,000 the first year and 
72.13 	$5,000,000 the second year are for programs 
72.14 	and purposes related to the historical and 
72.15 	cultural heritage of the state of Minnesota, 
72.16 	conducted by the Minnesota Historical 
72.17 	Society.
72.18 	History Partnerships. $1,500,000 the 
72.19 	first year and $1,500,000 the second year 
72.20 	are for partnerships involving multiple 
72.21 	organizations, which may include the 
72.22 	Minnesota Historical Society, to preserve and 
72.23 	enhance access to Minnesota's history and 
72.24 	cultural heritage in all regions of the state.
72.25 	Statewide Survey of Historical and 
72.26 	Archaeological Sites. $250,000 the first 
72.27 	year and $250,000 the second year are 
72.28 	for a contract or contracts to be let on a 
72.29 	competitive basis to conduct statewide 
72.30 	surveys of Minnesota's sites of historical, 
72.31 	archaeological, and cultural significance. 
72.32 	Results of this survey must be published in 
72.33 	a searchable form, available to the public on 
72.34 	a cost-free basis. The Minnesota Historical 
72.35 	Society, the Office of the State Archaeologist, 
73.1 	and the Indian Affairs Council shall each 
73.2 	appoint a representative to an oversight 
73.3 	board to select contractors and direct the 
73.4 	conduct of these surveys. The oversight 
73.5 	board shall consult with the Departments of 
73.6 	Transportation and Natural Resources.
73.7 	Digital Library. $250,000 the first year and 
73.8 	$250,000 the second year are for a digital 
73.9 	library project to preserve, digitize, and share 
73.10 	Minnesota images, documents, and historical 
73.11 	materials. The Minnesota Historical Society 
73.12 	shall cooperate with the Minitex interlibrary 
73.13 	loan system and shall jointly share this 
73.14 	appropriation for these purposes.

73.15	Subd. 6.Department of Administration
 		7,400,000
		6,400,000
	
73.16 	These amounts are appropriated to the 
73.17 	commissioner of administration for grants 
73.18 	to the named organizations for the purposes 
73.19 	specified in this subdivision. Up to one 
73.20 	percent of funds may be used by the 
73.21 	commissioner for grants administration.
73.22 	Grant agreements entered into by 
73.23 	the commissioner and recipients of 
73.24 	appropriations in this subdivision must 
73.25 	ensure that money appropriated in this 
73.26 	subdivision is used to supplement and not 
73.27 	substitute for traditional sources of funding.
73.28 	Public Broadcasting Grants. $6,400,000 
73.29 	the first year and $6,400,000 the second 
73.30 	year are for a competitive Arts and 
73.31 	Cultural Heritage Grants Program-Public 
73.32 	Broadcasting.
73.33 	The commissioner shall solicit proposals 
73.34 	and award grants to entities that create, 
73.35 	produce, acquire, or distribute programs that 
74.1 	educate, enhance, or promote local, regional, 
74.2 	or statewide items of artistic, cultural, or 
74.3 	historic significance. The commissioner 
74.4 	shall give preference to projects that 
74.5 	expand Minnesotans' access to knowledge, 
74.6 	information, arts, state history, or cultural 
74.7 	heritage.
74.8 	Veterans Camps. $450,000 the first year 
74.9 	is for grants of $400,000 to the Disabled 
74.10 	Veterans Rest Camp located on Big Marine 
74.11 	Lake in Washington County and $50,000 to 
74.12 	the Veterans on the Lake Resort located on 
74.13 	Fall Lake in St. Louis County.
74.14 	State Capitol Preservation Commission. 
74.15 	$550,000 the first year is for the purposes of 
74.16 	Minnesota Statutes, section 16B.2405. This 
74.17 	appropriation is available until spent. 

74.18	Subd. 7.Department of Natural Resources
 		1,100,000
		1,100,000
	
74.19 	These amounts are appropriated to the 
74.20 	commissioner of natural resources for a 
74.21 	competitive Arts and Cultural Heritage 
74.22 	Grants Program-Zoos.
74.23 	The commissioner shall solicit proposals 
74.24 	and award grants to zoos for projects and 
74.25 	programs that promote the arts or preserve 
74.26 	Minnesota's history and cultural heritage. 
74.27 	The commissioner shall give preference to 
74.28 	projects and programs that incorporate arts, 
74.29 	culture, and history into zoo programming 
74.30 	or that increase knowledge and awareness 
74.31 	of the way that history and culture affect 
74.32 	people's lives and that illustrate how that 
74.33 	knowledge can help Minnesotans make 
74.34 	informed decisions for the future.

74.35	Subd. 8.Minnesota Humanities Center 
 		3,700,000
		3,700,000
	
75.1 	These amounts are appropriated to the board 
75.2 	of directors of the Minnesota Humanities 
75.3 	Center for the purposes specified in this 
75.4 	subdivision.
75.5 	Programs and Purposes. $325,000 the first 
75.6 	year and $325,000 the second year are for 
75.7 	programs and purposes of the Minnesota 
75.8 	Humanities Center.
75.9 	The Minnesota Humanities Center may 
75.10 	consider museums and organizations 
75.11 	celebrating the identities of Minnesotans for 
75.12 	grants from these funds. The Minnesota 
75.13 	Humanities Center may develop a written 
75.14 	plan for the competitive issuance of these 
75.15 	grants and, if developed, shall submit 
75.16 	that plan for review and approval by the 
75.17 	Department of Administration.
75.18 	Humanities Grants. $3,375,000 the first 
75.19 	year and $3,375,000 the second year are for 
75.20 	a competitive Arts and Cultural Heritage 
75.21 	Grants Program-Humanities.
75.22 	The board of directors shall solicit proposals 
75.23 	and award grants to entities for projects 
75.24 	and programs that maintain or promote 
75.25 	our cultural heritage. The board shall fund 
75.26 	programs and projects that collectively 
75.27 	preserve both our tangible and intangible 
75.28 	cultural heritage as well as those that 
75.29 	recognize museums as venues for arts and 
75.30 	cultural experiences.

75.31	Subd. 9.Perpich Center For Arts Education
 		.......
		.......
	
75.32 	These amounts are appropriated to the board 
75.33 	of directors of the Perpich Center for Arts 
75.34 	Education for arts, arts education, and arts 
76.1 	access and to preserve Minnesota's history 
76.2 	and cultural heritage.
76.3 	Notwithstanding Minnesota Statutes, section 
76.4 	16A.28, the appropriations encumbered on or 
76.5 	before June 30, 2013, as grants or contracts 
76.6 	in this subdivision are available until June 
76.7 	30, 2015.

76.8	Subd. 10.Department of Agriculture
 		1,400,000
		1,400,000
	
76.9 	These amounts are appropriated to 
76.10 	the commissioner of agriculture for a 
76.11 	competitive Arts and Cultural Heritage 
76.12 	Grants Program-County Arts, Education, 
76.13 	History, and Cultural Preservation.
76.14 	The commissioner shall solicit proposals 
76.15 	and award grants to counties for programs 
76.16 	and projects that promote the arts, arts 
76.17 	education, history, or cultural heritage. 
76.18 	The commissioner shall give preference 
76.19 	to programs and projects that: provide 
76.20 	lifelong educational activities meant to 
76.21 	impart knowledge, teach a new creative skill, 
76.22 	or further develop an existing skill in any 
76.23 	arts discipline; preserve both tangible and 
76.24 	intangible cultural heritage; or ensure that 
76.25 	culturally significant structures and resources 
76.26 	will be preserved for future generations.

76.27	Subd. 11.Legislature
 		8,000
		0
	
76.28 	These amounts are appropriated to the 
76.29 	Legislative Coordinating Commission to 
76.30 	operate the Web site for dedicated funds 
76.31 	required under Minnesota Statutes, section 
76.32 	3.303, subdivision 10.

76.33 	Sec. 3. [15B.32] STATE CAPITOL PRESERVATION COMMISSION.
77.1 		Subdivision 1.Definitions. (a) As used in this section, the terms defined in this 
77.2 	subdivision have the following meanings.
77.3 	(b) "Commission" means the State Capitol Preservation Commission created under 
77.4 	this section.
77.5 	(c) "Capitol Area" means the geographic area defined in section 15B.02.
77.6 	(d) "Board" means the Capitol Area Architectural and Planning Board created under 
77.7 	section 15B.03.
77.8 	(e) "Predesign" has the meaning given in section 16B.335, subdivision 3, paragraph 
77.9 	(a).
77.10 		Subd. 2.Membership. The State Capitol Preservation Commission consists of 22 
77.11 	members, appointed as follows:
77.12 	(1) the governor;
77.13 	(2) the lieutenant governor;
77.14 	(3) the attorney general;
77.15 	(4) the chief justice of the Supreme Court, or the chief justice's designee, who shall 
77.16 	be a member of the Supreme Court;
77.17 	(5) the majority leader of the senate or the majority leader's designee, who shall be 
77.18 	a member of the senate;
77.19 	(6) the speaker of the house or the speaker's designee, who shall be a member of the 
77.20 	house of representatives;
77.21 	(7) two members of the senate, including one member from the majority party 
77.22 	appointed by the majority leader and one member from the minority party appointed by 
77.23 	the minority leader;
77.24 	(8) two members of the house of representatives, including one member appointed 
77.25 	by the speaker of the house and one member from the minority party appointed by the 
77.26 	minority leader;
77.27 	(9) the chair and ranking minority member of the house of representatives committee 
77.28 	with jurisdiction over capital investment and the chair and ranking minority member of 
77.29 	the senate committee with jurisdiction over capital investment;
77.30 	(10) the commissioner of administration or the commissioner's designee;
77.31 	(11) the commissioner of public safety or the commissioner's designee;
77.32 	(12) the executive director of the Minnesota Historical Society or the executive 
77.33 	director's designee;
77.34 	(13) the executive secretary of the Capitol Area Architectural and Planning Board; 
77.35 	and
77.36 	(14) four public members appointed by the governor.
78.1 		Subd. 3.Terms and compensation. (a) A member serving on the commission 
78.2 	because the member or the appointing authority for the member holds an elected or 
78.3 	appointed office shall serve on the commission as long as the member or the appointing 
78.4 	authority holds the office.
78.5 	(b) Public members of the commission shall serve two-year terms. The public 
78.6 	members may not serve for more than three consecutive terms.
78.7 	(c) The removal of members and filling of vacancies on the commission are as 
78.8 	provided in section 15.059. Public members may receive compensation and expenses as 
78.9 	provided under section 15.059, subdivision 3.
78.10 		Subd. 4.Officers and meetings. (a) The governor is the chair of the commission. 
78.11 	The lieutenant governor is the vice-chair of the commission and may act as the chair 
78.12 	of the commission in the absence of the governor. The governor may designate a staff 
78.13 	member to attend commission meetings and vote on the governor's behalf in the absence 
78.14 	of the governor.
78.15 	(b) The commission shall meet at least quarterly and at other times at the call of the 
78.16 	chair. Meetings of the commission are subject to chapter 13D.
78.17 		Subd. 5.Administrative support. The commission may designate an executive 
78.18 	secretary and obtain administrative support through a contract with a state agency or 
78.19 	other means.
78.20 		Subd. 6.Duties. (a) The commission:
78.21 	(1) shall exercise ongoing coordination of the restoration, protection, risk 
78.22 	management, and preservation of the Capitol building;
78.23 	(2) shall consult with and advise the commissioner of administration, the board, and 
78.24 	the Minnesota Historical Society regarding their applicable statutory responsibilities 
78.25 	for and in the Capitol building;
78.26 	(3) may assist in the selection of an architectural firm to assist in the preparation of 
78.27 	the predesign plan for the restoration of the Capitol building;
78.28 	(4) shall develop a comprehensive, multiyear, predesign plan for the restoration 
78.29 	of the Capitol building, review the plan periodically, and, as appropriate, amend and 
78.30 	modify the plan. The predesign plan shall identify appropriate and required functions of 
78.31 	the Capitol building; identify and address space requirements for legislative, executive, 
78.32 	and judicial branch functions; and identify and address the long-term maintenance and 
78.33 	preservation requirements of the Capitol building. In developing the predesign plan, 
78.34 	the commission shall take into account the comprehensive plan for the Minnesota State 
78.35 	Capitol Area, as amended in 2010, the rules governing zoning and design for the Capitol 
78.36 	Area, parking, mass transit, citizen access including public access to the Capitol balcony, 
79.1 	the tunnel system, information technology needs, energy efficiency, security, educational 
79.2 	programs including public and school tours, and any additional space needs for the 
79.3 	efficient operation of state government;
79.4 	(5) shall develop and implement a comprehensive financial plan to fund the 
79.5 	preservation and restoration of the Capitol building;
79.6 	(6) shall provide annual reports about the condition of the Capitol building and its 
79.7 	needs, as well as all activities related to the restoration of the Capitol building; 
79.8 	(7) shall for all capital infrastructure projects taking place in close proximity to the 
79.9 	Capitol building and prior to commencement of actual construction work:
79.10 	(i) review the preliminary and final design plans and construction practices of the 
79.11 	project;
79.12 	(ii) identify whether the actual construction work of the project or subsequent 
79.13 	operations resulting from the project pose:
79.14 	(A) risk to the structural integrity of the Capitol building; or
79.15 	(B) a reasonable likelihood of other adverse physical impacts to the Capitol building, 
79.16 	including but not limited to increased costs for building maintenance and preservation; and
79.17 	(iii) submit a recommendation to the commissioner of administration identifying 
79.18 	whether or not the commissioner should approve the project for commencement of 
79.19 	construction as provided under section 16B.2405; and
79.20 	(8) may solicit gifts, grants, or donations of any kind from any private or public 
79.21 	source to carry out the purposes of this section. All gifts, grants, or donations received by 
79.22 	the commission shall be deposited in a State Capitol preservation account established in 
79.23 	the special revenue fund. Money in the account is appropriated to the commissioner of 
79.24 	administration for the activities of the commission and implementation of the predesign 
79.25 	plan under this section.
79.26 	(b) By January 15 of each year, the commission shall report to the chairs and ranking 
79.27 	minority members of the legislative committees with jurisdiction over the commission 
79.28 	regarding the activities and efforts of the commission in the preceding calendar year, 
79.29 	including recommendations adopted by the commission, the comprehensive financial plan 
79.30 	required under paragraph (a), clause (5), and any proposed draft legislation necessary to 
79.31 	implement the recommendations of the commission.
79.32 		Subd. 7.Expiration. Notwithstanding section 15.059, subdivision 5, the State 
79.33 	Capitol Preservation Commission does not expire.

79.34 	Sec. 4. [15B.34] CAPITOL BUILDING POWERS AND DUTIES.
79.35 	The board shall:
80.1 	(1) jointly, with the commissioner of administration and the Minnesota Historical 
80.2 	Society, establish standards and policies for the repair, furnishing, appearance, and 
80.3 	cleanliness of and change to the public and ceremonial areas of the Capitol building;
80.4 	(2) review and approve plans and specifications and any changes to approved plans 
80.5 	and specifications involving the alteration of the public and ceremonial areas and the 
80.6 	exterior of the Capitol building;
80.7 	(3) jointly, with the Minnesota Historical Society, review and approve the design, 
80.8 	structural composition, and location of all monuments, memorials, or works of art 
80.9 	presently located in the public and ceremonial areas of the State Capitol, or that will be 
80.10 	placed in the public or ceremonial areas, according to section 138.68; and
80.11 	(4) assist the State Capitol Preservation Commission with performance of its duties 
80.12 	as needed.

80.13 	Sec. 5. [16B.2405] CAPITOL BUILDING POWERS AND DUTIES.
80.14 	The commissioner, upon receipt of funding for these purposes, shall:
80.15 	(1) maintain and operate the Capitol building and grounds according to section 
80.16 	16B.24 and other applicable law;
80.17 	(2) designate a project manager to oversee and manage predesign, design, and 
80.18 	construction contracts and funding for all modifications to the Capitol building;
80.19 	(3) manage design and construction projects and funding for the Capitol building 
80.20 	according to section 16B.31 and other applicable law;
80.21 	(4) lease space in the Capitol building, as provided in section 16B.24, to state 
80.22 	agencies, constitutional officers, and the court administrator on behalf of the judicial 
80.23 	branch and allocate space in the Capitol building to the legislative branch as determined 
80.24 	by the commission;
80.25 	(5) provide information about the Capitol building to the commission, legislative 
80.26 	bodies, and others as needed regarding maintenance, operation, leasing, condition 
80.27 	assessments, design, and construction projects;
80.28 	(6) for each project for which a recommendation by the State Capitol Preservation 
80.29 	Commission is submitted under section 15B.32, subdivision 6, paragraph (a), clause (7), 
80.30 	evaluate the recommendation and, notwithstanding any other law to the contrary, either (i) 
80.31 	approve the project where such approval is a prerequisite for commencement of actual 
80.32 	construction work or (ii) identify specific remediation requirements necessary to approve 
80.33 	the project upon subsequent review by the commissioner; and
80.34 	(7) assist the State Capitol Preservation Commission with performance of its duties 
80.35 	as needed.

81.1 	Sec. 6. Minnesota Statutes 2010, section 129D.18, subdivision 3, is amended to read:
81.2 		Subd. 3.Conditions. (a) A public station receiving funds appropriated under this 
81.3 	section must:
81.4 	(1) make programs produced with these funds available for broadcast to all other 
81.5 	public stations eligible to receive grants under this section;
81.6 	(2) offer free public performance rights forclassroom use of programs produced 
81.7 	with these funds to public educational institutions, excluding those materials for which 
81.8 	public television stations do not have rights to distribute;
81.9 	(3) archive programs produced with these funds and make the programs available 
81.10 	for future use through encore broadcast or other distribution, including online; and
81.11 	(4) ensure that underwriting credit is given to the Minnesota arts and cultural 
81.12 	heritage fund.
81.13 	(b) Programs produced in partnership with other mission-centered nonprofit 
81.14 	organizations may be used by the partnering organization for their own educational or 
81.15 	promotional purposes.

81.16 	Sec. 7. Minnesota Statutes 2010, section 129D.18, subdivision 4, is amended to read:
81.17 		Subd. 4.Reporting. A public station receiving funds appropriated under this section 
81.18 	must report annually by January 15 to the commissioner, the Legislative Coordinating 
81.19 	Commission, and the chairs and ranking minority members of the senate and house 
81.20 	of representatives committees and divisions having jurisdiction over arts and cultural 
81.21 	heritage policy and finance regarding how the previous year's grant funds were expended. 
81.22 	ThisIn addition to all information required of each recipient of money from the arts and 
81.23 	cultural heritage fund under section 3.303, subdivision 10, the report must contain specific 
81.24 	information for each program produced and broadcast, including the cost of production, 
81.25 	the number of stations broadcasting the program, estimated viewership, the number of 
81.26 	hours of legacy program content available for streaming on Web site downloads sites, 
81.27 	and other related measures. If the programs produced include educational material, the 
81.28 	public station must report on these efforts.

81.29 	Sec. 8. Minnesota Statutes 2010, section 129D.19, subdivision 5, is amended to read:
81.30 		Subd. 5.Reporting. A noncommercial radio station receiving funds appropriated 
81.31 	under this section must report annually by January 15 to the commissioner, the Legislative 
81.32 	Coordinating Commission, and the chairs and ranking minority members of the senate 
81.33 	and house of representatives committees and divisions having jurisdiction over arts and 
81.34 	cultural heritage policy and finance regarding how the previous year's grant funds were 
82.1 	expended. ThisIn addition to all information required of each recipient of money from 
82.2 	the arts and cultural heritage fund under section 3.303, subdivision 10, the report must 
82.3 	contain specific information for each program produced and broadcast, including the 
82.4 	cost of production, the number of stations broadcasting the program, estimated number 
82.5 	of listeners, and other related measures. If the programs produced include educational 
82.6 	material, the noncommercial radio station must report on these efforts.

82.7 	Sec. 9. [138.70] CAPITOL BUILDING POWERS AND DUTIES.
82.8 	The Minnesota Historical Society shall:
82.9 	(1) assist and advise in research and preservation of historical features of the Capitol 
82.10 	building, appropriate custodial policies, and maintaining and repairing works of art 
82.11 	according to section 138.69;
82.12 	(2) jointly, with the Capitol Area Architectural and Planning Board, review and 
82.13 	approve the design, structural composition, and location of all monuments, memorials, or 
82.14 	works of art presently located in the public and ceremonial areas of the Capitol building, 
82.15 	or proposed for placement in the public or ceremonial areas, according to section 138.68;
82.16 	(3) assist with planning and design of restoration and renovations of the Capitol 
82.17 	building in order to provide public access and education through public interpretive 
82.18 	programs according to the society's statutory responsibilities under section 138.69; and
82.19 	(4) assist the State Capitol Preservation Commission with performance of its duties 
82.20 	as needed.

82.21 	Sec. 10. Laws 2009, chapter 172, article 4, section 9, subdivision 5, is amended to read:
82.22 		Subd. 5.Report. The working group must report its findings and recommendations, 
82.23 	including draft legislation, if necessary, to the Indian Affairs Council and the chairs and 
82.24 	ranking minority members of the legislative committees and divisions with jurisdiction 
82.25 	over early childhood through grade 12 education and, higher education, and arts and 
82.26 	cultural heritage policy or finance by February 15, 2011, and again by February 15, 2012. 
82.27 	The committee working group expires on February 16, 2011 2013.

82.28 	Sec. 11. STATE CAPITOL PRESERVATION COMMISSION APPOINTMENTS 
82.29 	AND FIRST MEETING.
 82.30 	The appointing authorities designated in Minnesota Statutes, section 15B.32, 
82.31 	subdivision 2, must complete their initial appointments to the commission no later than 
82.32 	August 1, 2011. The governor, or the governor's designee, shall convene the first meeting 
83.1 	of the commission within 30 days after the appointments required under this section 
83.2 	have been completed.

83.3 	ARTICLE 5
83.4 	GENERAL PROVISIONS; ALL LEGACY FUNDS

83.5 	Section 1. Minnesota Statutes 2010, section 3.303, subdivision 10, is amended to read:
83.6 		Subd. 10.Constitutionally dedicated funding accountability. (a) The Legislative 
83.7 	Coordinating Commission shall develop and maintain a user-friendly, public-oriented 
83.8 	Web site that informs, educates, and demonstrates to the public how the constitutionally 
83.9 	dedicated funds in the arts and cultural heritage fund, outdoor heritage fund, clean water 
83.10 	fund, parks and trails fund, and environment and natural resources trust fund are being 
83.11 	expended to meet the requirements established for each fund in the state constitution. 
83.12 	Information provided on the Web site must include, but is not limited to:
83.13 	(1) information on all project proposals received by the Outdoor Heritage Council 
83.14 	and the Legislative-Citizen Commission on Minnesota Resources;
83.15 	(2) information on all projects receiving funding, including:
83.16 	(i) the name of the project and a project description;
83.17 	(ii) the name, telephone number, members of the board or equivalent governing 
83.18 	body, and e-mail address of the funding recipient and, when applicable, the Web site 
83.19 	address where the public can directly access detailed information on the recipient's receipt 
83.20 	and use of money for the project;
83.21 	(iii) the amount and source of funding, including the fiscal year of the appropriation;
83.22 	(iv) the amount and source of any additional funding or leverage;
83.23 	(v) the duration of the project;
83.24 	(vi) the number of full-time equivalents funded under the project. For the purposes 
83.25 	of this item, "full-time equivalent" means a position directly attributed to the receipt of 
83.26 	money from one or more of the funds covered under this section, calculated as the total 
83.27 	number of hours planned for the position divided by 2,088;
83.28 	(vii) the direct expenses and administration costs of the project;
83.29 	(viii) proposed measurable outcomes and the plan for measuring and evaluating 
83.30 	the results;
83.31 	(ix) for pass-through, noncompetitive grants, the entity acting as the fiscal agent or 
83.32 	administering agency and a point of contact for additional information; and
83.33 	(x) for competitive grants, the name and a brief description of the qualifications of 
83.34 	all board members or members of an equivalent governing body ultimately responsible 
83.35 	for awarding the grants, as well as any grantmaking advisory group. In addition, an 
84.1 	entity that awards competitive grants, including but not limited to a state agency or any 
84.2 	statewide, regional, or local organization, must report whether an employee, decision 
84.3 	maker, advisory group member, or other person involved in the grant process disclosed 
84.4 	a conflict of interest or potential conflict of interest. If the entity reports that a conflict 
84.5 	of interest or potential conflict of interest was disclosed, the entity must provide the 
84.6 	Legislative Coordinating Commission with a contact person for additional information and 
84.7 	the Legislative Coordinating Commission must post this information on the Web site. An 
84.8 	entity that awards competitive grants must obtain and apply the conflict of interest policies 
84.9 	developed by the commissioner of administration under section 16B.98, subdivision 3, 
84.10 	unless the entity maintains and applies its own documented conflict of interest policies 
84.11 	which are substantially similar to the commissioner of administration's policies;
84.12 	(3) actual measured outcomes and evaluation of projects as required under sections 
84.13 	85.53, subdivision 2; 114D.50, subdivision 2 4; and 129D.17, subdivision 2;
84.14 	(4) education about the areas and issues the projects address, including, when 
84.15 	feasible, maps of where projects have been undertaken;
84.16 	(5) all frameworks developed for future uses of each fund; and
84.17 	(6) methods by which members of the public may apply for project funds under 
84.18 	any of the constitutionally dedicated funds.
84.19 	(b) As soon as practicable or by the deadline specified in the enabling law, 
84.20 	whichever comes first, a state agency or other recipient of a direct appropriation from a 
84.21 	fund covered under this section shall submit the information required under paragraph (a) 
84.22 	and, when applicable, compile and submit the same information for any grant recipient 
84.23 	or other subrecipient of funding. All information for proposed and funded projects, 
84.24 	including the proposed measurable outcomes, must be made available on the Web site 
84.25 	as soon as practicable. Information on the measured outcomes and evaluation must be 
84.26 	posted as soon as it becomes available. The costs of these activities shall be paid out of 
84.27 	the arts and cultural heritage fund, outdoor heritage fund, clean water fund, parks and 
84.28 	trails fund, and the environment and natural resources trust fund proportionately. For 
84.29 	purposes of this section, "measurable outcomes" means outcomes, indicators, or other 
84.30 	performance measures that may be quantified or otherwise measured in order to measure 
84.31 	the effectiveness of a project or program in meeting its intended goal or purpose.
84.32 	(c) The Legislative Coordinating Commission shall be responsible for receiving all 
84.33 	ten-year plans and 25-year frameworks for each of the constitutionally dedicated funds. To 
84.34 	the extent practicable, staff for the commission shall provide assistance and oversight to 
84.35 	these planning efforts and shall coordinate public access to hearings and public meetings 
84.36 	for all planning efforts.

85.1 	Sec. 2. Minnesota Statutes 2010, section 85.53, subdivision 2, is amended to read:
85.2 		Subd. 2.Expenditures; accountability. (a) A project or program receiving funding 
85.3 	from the parks and trails fund must meet or exceed the constitutional requirement to 
85.4 	support parks and trails of regional or statewide significance. A project or program 
85.5 	receiving funding from the parks and trails fund must include measurable outcomes, as 
85.6 	defined in section 3.303, subdivision 10, and a plan for measuring and evaluating the 
85.7 	results. A project or program must be consistent with current science and incorporate 
85.8 	state-of-the-art technology, except when the project or program is a portrayal or restoration 
85.9 	of historical significance.
85.10 	(b) Money from the parks and trails fund shall be expended to balance the benefits 
85.11 	across all regions and residents of the state.
85.12 	(c) All A state agency or other recipient of a direct appropriation from the parks and 
85.13 	trails fund must compile and submit all information for funded projects or programs, 
85.14 	including the proposed measurable outcomes and all other items required under section 
85.15 	3.303, subdivision 10, must be made available on to the Legislative Coordinating 
85.16 	Commission as soon as practicable or by the deadline specified in the enabling law, 
85.17 	whichever comes first. The Legislative Coordinating Commission must post submitted 
85.18 	information on the Web site required under section 3.303, subdivision 10, as soon as 
85.19 	practicable. Information on the measured outcomes and evaluation must be posted as soon 
85.20 	as it becomes available.
85.21 	(d) Grants funded by the parks and trails fund must be implemented according to 
85.22 	section 16B.98 and must account for all expenditures. Proposals must specify a process 
85.23 	for any regranting envisioned. Priority for grant proposals must be given to proposals 
85.24 	involving grants that will be competitively awarded.
85.25 	(e) Money from the parks and trails fund may only be spent on projects located 
85.26 	in Minnesota.
85.27 	(f) A state agency or other recipient of money from the parks and trails fund shall 
85.28 	prominently display on the state agency's or other recipient's Web site home page, when 
85.29 	applicable, the legacy logo required under Laws 2009, chapter 172, article 5, section 
85.30 	10, as amended by Laws 2010, chapter 361, article 3, section 5, accompanied by the 
85.31 	phrase "Click here for more information." When a person clicks on the legacy logo image, 
85.32 	the Web site must direct the person to a dedicated legacy page on the state agency's or 
85.33 	other recipient's Web site. The dedicated legacy page must prominently display both the 
85.34 	contact information for the state agency or other recipient that a person may use to obtain 
85.35 	additional information, as well as a link to the Legislative Coordinating Commission Web 
85.36 	site required under section 3.303, subdivision 10.
86.1 	(g) Future eligibility for money from the parks and trails fund is contingent upon a 
86.2 	state agency or other recipient satisfying all applicable requirements in this section, as 
86.3 	well as any additional requirements contained in applicable session law.

86.4 	Sec. 3. Minnesota Statutes 2010, section 97A.056, is amended by adding a subdivision 
86.5 	to read:
86.6 		Subd. 12.Recipient requirements. (a) A state agency or other recipient of a direct 
86.7 	appropriation from the outdoor heritage fund must compile and submit all information 
86.8 	for funded projects or programs, including the proposed measurable outcomes and all 
86.9 	other items required under section 3.303, subdivision 10, to the Legislative Coordinating 
86.10 	Commission as soon as practicable or by the deadline specified in the enabling law, 
86.11 	whichever comes first. The Legislative Coordinating Commission must post submitted 
86.12 	information on the Web site required under section 3.303, subdivision 10, as soon as it 
86.13 	becomes available.
86.14 	(b) A state agency or other recipient of money from the outdoor heritage fund shall 
86.15 	prominently display on the state agency's or other recipient's Web site home page, when 
86.16 	applicable, the legacy logo required under Laws 2009, chapter 172, article 5, section 
86.17 	10, as amended by Laws 2010, chapter 361, article 3, section 5, accompanied by the 
86.18 	phrase "Click here for more information." When a person clicks on the legacy logo image, 
86.19 	the Web site must direct the person to a dedicated legacy page on the state agency's or 
86.20 	other recipient's Web site. The dedicated legacy page must prominently display both the 
86.21 	contact information for the state agency or other recipient that a person may use to obtain 
86.22 	additional information, as well as a link to the Legislative Coordinating Commission Web 
86.23 	site required under section 3.303, subdivision 10.
86.24 	(c) Future eligibility for money from the outdoor heritage fund is contingent upon a 
86.25 	state agency or other recipient satisfying all applicable requirements in this section, as 
86.26 	well as any additional requirements contained in applicable session law.

86.27 	Sec. 4. Minnesota Statutes 2010, section 114D.50, subdivision 4, is amended to read:
86.28 		Subd. 4.Expenditures; accountability. (a) A project receiving funding from the 
86.29 	clean water fund must meet or exceed the constitutional requirements to protect, enhance, 
86.30 	and restore water quality in lakes, rivers, and streams and to protect groundwater and 
86.31 	drinking water from degradation. Priority may be given to projects that meet more than 
86.32 	one of these requirements. A project receiving funding from the clean water fund shall 
86.33 	include measurable outcomes, as defined in section 3.303, subdivision 10, and a plan for 
87.1 	measuring and evaluating the results. A project must be consistent with current science 
87.2 	and incorporate state-of-the-art technology.
87.3 	(b) Money from the clean water fund shall be expended to balance the benefits 
87.4 	across all regions and residents of the state.
87.5 	(c) All A state agency or other recipient of a direct appropriation from the clean 
87.6 	water fund must compile and submit all information for proposed and funded projects
87.7 	or programs, including the proposed measurable outcomes, must be made available on 
87.8 	the Web site and all other items required under section 3.303, subdivision 10, to the 
87.9 	Legislative Coordinating Commission as soon as practicable or by the deadline specified 
87.10 	in the enabling law, whichever comes first. Information on the measured outcomes and 
87.11 	evaluation must be posted The Legislative Coordinating Commission must post submitted 
87.12 	information on the Web site required under section 3.303, subdivision 10, as soon as it 
87.13 	becomes available. Information classified as not public under section 13D.05, subdivision 
87.14 	3, paragraph (d), is not required to be placed on the Web site.
87.15 	(d) Grants funded by the clean water fund must be implemented according to section 
87.16 	16B.98 and must account for all expenditures. Proposals must specify a process for any 
87.17 	regranting envisioned. Priority for grant proposals must be given to proposals involving 
87.18 	grants that will be competitively awarded.
87.19 	(e) Money from the clean water fund may only be spent on projects that benefit 
87.20 	Minnesota waters.
87.21 	(f) A state agency or other recipient of money from the clean water fund shall 
87.22 	prominently display on the state agency's or other recipient's Web site home page, when 
87.23 	applicable, the legacy logo required under Laws 2009, chapter 172, article 5, section 
87.24 	10, as amended by Laws 2010, chapter 361, article 3, section 5, accompanied by the 
87.25 	phrase "Click here for more information." When a person clicks on the legacy logo image, 
87.26 	the Web site must direct the person to a dedicated legacy page on the state agency's or 
87.27 	other recipient's Web site. The dedicated legacy page must prominently display both the 
87.28 	contact information for the state agency or other recipient that a person may use to obtain 
87.29 	additional information, as well as a link to the Legislative Coordinating Commission Web 
87.30 	site required under section 3.303, subdivision 10.
87.31 	(g) Future eligibility for money from the clean water fund is contingent upon a state 
87.32 	agency or other recipient satisfying all applicable requirements in this section, as well as 
87.33 	any additional requirements contained in applicable session law.

87.34 	Sec. 5. Minnesota Statutes 2010, section 129D.17, subdivision 2, is amended to read:
88.1 		Subd. 2.Expenditures; accountability. (a) Funding from the arts and cultural 
88.2 	heritage fund may be spent only for arts, arts education, and arts access, and to preserve 
88.3 	Minnesota's history and cultural heritage. A project or program receiving funding from 
88.4 	the arts and cultural heritage fund must include measurable outcomes, and a plan for 
88.5 	measuring and evaluating the results. A project or program must be consistent with current 
88.6 	scholarship, or best practices, when appropriate and must incorporate state-of-the-art 
88.7 	technology when appropriate.
88.8 	(b) Funding from the arts and cultural heritage fund may be granted for an entire 
88.9 	project or for part of a project so long as the recipient provides a description and cost for 
88.10 	the entire project and can demonstrate that it has adequate resources to ensure that the 
88.11 	entire project will be completed.
88.12 	(c) Money from the arts and cultural heritage fund shall be expended for benefits 
88.13 	across all regions and residents of the state.
88.14 	(d) All A state agency or other recipient of a direct appropriation from the arts and 
88.15 	cultural heritage fund must compile and submit all information for funded projects or 
88.16 	programs, including the proposed measurable outcomes and all other items required under 
88.17 	section 3.303, subdivision 10, must be made available on to the Legislative Coordinating 
88.18 	Commission Web site, as soon as practicable or by the deadline specified in the enabling 
88.19 	law, whichever comes first. Information on the measured outcomes and evaluation must 
88.20 	be posted The Legislative Coordinating Commission must post submitted information on 
88.21 	the Web site required under section 3.303, subdivision 10, as soon as it becomes available.
88.22 	(e) Grants funded by the arts and cultural heritage fund must be implemented 
88.23 	according to section 16B.98 and must account for all expenditures of funds. Priority for 
88.24 	grant proposals must be given to proposals involving grants that will be competitively 
88.25 	awarded.
88.26 	(f) All money from the arts and cultural heritage fund must be for projects located 
88.27 	in Minnesota.
88.28 	(g) A state agency or other recipient of money from the arts and cultural heritage 
88.29 	fund shall prominently display on the state agency's or other recipient's Web site home 
88.30 	page, when applicable, the legacy logo required under Laws 2009, chapter 172, article 5, 
88.31 	section 10, as amended by Laws 2010, chapter 361, article 3, section 5, accompanied by 
88.32 	the phrase "Click here for more information." When a person clicks on the legacy logo 
88.33 	image, the Web site must direct the person to a dedicated legacy page on the state agency's 
88.34 	or other recipient's Web site. The dedicated legacy page must prominently display both the 
88.35 	contact information for the state agency or other recipient that a person may use to obtain 
89.1 	additional information, as well as a link to the Legislative Coordinating Commission Web 
89.2 	site required under section 3.303, subdivision 10.
89.3 	(h) Future eligibility for money from the arts and cultural heritage fund is contingent 
89.4 	upon a state agency or other recipient satisfying all applicable requirements in this section, 
89.5 	as well as any additional requirements contained in applicable session law.

89.6 	Sec. 6. APPLICABILITY.
 89.7 	Sections 7 to 10 apply to any appropriation for fiscal year 2012 or 2013 from a legacy 
89.8 	fund. For the purposes of sections 7 to 10, "legacy fund" means the outdoor heritage fund, 
89.9 	the clean water fund, the parks and trails fund, or the arts and cultural heritage fund 

89.10 	Sec. 7. GENERAL PROVISIONS.
 89.11 		Subdivision. 1.Grants. Grants funded by a legacy fund must be implemented 
89.12 	according to Minnesota Statutes, section 16B.98, and the responsible entity must account 
89.13 	for all expenditures of funds.
89.14 		Subd. 2.Constitution. A recipient of money from a legacy fund must comply with 
89.15 	the Minnesota Constitution, article XI, section 15, and may not substitute money received 
89.16 	from a legacy fund for a traditional source of funding.

89.17 	Sec. 8. LEGACY FUNDS RECIPIENT REPORT.
 89.18 	(a) A state agency or other recipient of a direct appropriation from a legacy fund 
89.19 	shall submit a report to the Legislative Reference Library as provided under Minnesota 
89.20 	Statutes, section 3.195, and to the Legislative Coordinating Commission that contains all 
89.21 	of the information required under Minnesota Statutes, section 3.303, subdivision 10.
89.22 	(b) A state agency or other recipient of a direct appropriation from a legacy fund 
89.23 	must submit a report containing all available and required information by January 15, 
89.24 	2012, for appropriations in fiscal year 2012, and January 15, 2013, for appropriations in 
89.25 	fiscal year 2013. If the nature of a funded project is such that all required information is 
89.26 	not yet available by the applicable reporting deadline, a state agency or other recipient of a 
89.27 	direct appropriation must submit any additional information required under Minnesota 
89.28 	Statutes, section 3.303, subdivision 10, as soon as practicable.

89.29 	Sec. 9. IN THE EVENT OF A LAWSUIT.
 89.30 	(a) An appropriation or portion of an appropriation from a legacy fund is canceled to 
89.31 	the extent that a court determines that the appropriation unconstitutionally substitutes for 
89.32 	a traditional source of funding.
90.1 	(b) Any grant contract or similar agreement that awards money from a legacy fund 
90.2 	must contain the information in paragraph (a).

90.3 	Sec. 10. LEGACY ACCOUNTING; TECHNICAL ASSISTANCE.
 90.4 	No later than January 1, 2012, the commissioner of management and budget shall 
90.5 	finalize guidance and best practices to assist state agencies in uniformly accounting for 
90.6 	their expenditure of legacy funds. The commissioner shall make this information available 
90.7 	to all state agencies identified in this act.