1.1                          A bill for an act 
  1.2             relating to waters; planning, development, review, 
  1.3             reporting, and coordination of surface and groundwater 
  1.4             management in the metropolitan area; amending 
  1.5             Minnesota Statutes 1994, sections 103B.205, by adding 
  1.6             a subdivision; 103B.211, subdivision 1; 103B.231, 
  1.7             subdivisions 3, 4, 6, 7, 8, 9, 11, and by adding a 
  1.8             subdivision; 103B.235, subdivision 3; 103B.241, 
  1.9             subdivision 1; 103B.245, subdivisions 1 and 4; 
  1.10            103B.251, subdivisions 3 and 7; 103B.255, subdivisions 
  1.11            6, 7, 8, 9, 10, and 12; 103B.311, subdivisions 4 and 
  1.12            6; 103B.3369, subdivisions 5 and 6; 103B.355; and 
  1.13            103B.611, subdivisions 1 and 2; proposing coding for 
  1.14            new law in Minnesota Statutes, chapter 103B; repealing 
  1.15            Minnesota Statutes 1994, sections 103B.227, 
  1.16            subdivision 6; 103B.231, subdivisions 5 and 12; and 
  1.17            103B.3365. 
  1.18  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.19     Section 1.  Minnesota Statutes 1994, section 103B.205, is 
  1.20  amended by adding a subdivision to read: 
  1.21     Subd. 10b.  [STATE REVIEW AGENCIES.] "State review agencies"
  1.22  means the commissioners of natural resources, the pollution 
  1.23  control agency, agriculture, and health. 
  1.24     Sec. 2.  Minnesota Statutes 1994, section 103B.211, 
  1.25  subdivision 1, is amended to read: 
  1.26     Subdivision 1.  [AUTHORITY.] (a) Any agreement under 
  1.27  section 471.59 to jointly or cooperatively manage or plan for 
  1.28  the management of surface water in a watershed delineated 
  1.29  pursuant to subdivision 2, as required by sections 103B.205 to 
  1.30  103B.255, may provide, in addition to other provisions 
  1.31  authorized by section 471.59, for a joint board having:  
  2.1      (1) the authority to prepare, adopt, and implement a plan 
  2.2   for the watershed meeting the requirements of section 103B.231; 
  2.3      (2) the authority to review and approve local water 
  2.4   management plans as provided in section 103B.235; 
  2.5      (3) the authority of a watershed district under chapter 
  2.6   103D to regulate the use and development of land in the 
  2.7   watershed when one or more of the following conditions exists:  
  2.8      (i) the local government unit exercising planning and 
  2.9   zoning authority over the land under sections 366.10 to 366.19, 
  2.10  394.21 to 394.37, or 462.351 to 462.364, does not have a local 
  2.11  water management plan approved and adopted in accordance with 
  2.12  the requirements of section 103B.235 or has not adopted the 
  2.13  implementation program described in the plan; 
  2.14     (ii) an application to the local government unit for a 
  2.15  permit for the use and development of land requires an amendment 
  2.16  to or variance from the adopted local water management plan or 
  2.17  implementation program of the local unit; or 
  2.18     (iii) the local government unit has authorized the 
  2.19  organization to require permits for the use and development of 
  2.20  land; 
  2.21     (4) the authority of a watershed district under section 
  2.22  103D.625, to accept the transfer of drainage systems in the 
  2.23  watershed, to repair, improve, and maintain the transferred 
  2.24  drainage systems, and to construct all new drainage systems and 
  2.25  improvements of existing drainage systems in the watershed, 
  2.26  provided that: (i) projects may be carried out under the powers 
  2.27  granted in sections 103B.205 to 103B.255 or chapter 103D or 
  2.28  103E; and (ii) proceedings of the board with respect to the 
  2.29  systems must be in conformance with the watershed plan adopted 
  2.30  under section 103B.231; and 
  2.31     (5) the authority of a watershed district under section 
  2.32  103D.911 to adopt a budget, and decide on the total amount 
  2.33  necessary to be raised from ad valorem tax levies to meet the 
  2.34  budget; 
  2.35     (6) the authority of a watershed district under section 
  2.36  103D.915 to certify its budget with the auditor of each county 
  3.1   having territory within the joint powers watershed management 
  3.2   organization; 
  3.3      (7) the authority of a watershed district under section 
  3.4   103D.901 to file approved assessment statements with each 
  3.5   affected county; and 
  3.6      (8) other powers necessary to exercise the authority under 
  3.7   clauses (1) to (3), including the power to enter into contracts 
  3.8   for the performance of functions with governmental units or 
  3.9   persons.  
  3.10     (b) The board of water and soil resources shall adopt rules 
  3.11  prescribing minimum requirements for the content of watershed 
  3.12  management organization joint powers agreements.  
  3.13     (c) Decisions by a joint powers board may not require more 
  3.14  than a majority vote, except a decision on a capital improvement 
  3.15  project, which may require no more than a two-thirds vote. 
  3.16     Sec. 3.  Minnesota Statutes 1994, section 103B.231, 
  3.17  subdivision 3, is amended to read: 
  3.18     Subd. 3.  [RESPONSIBLE UNITS.] (a) Where a watershed 
  3.19  management organization exists, the plan for the watershed must 
  3.20  be prepared and adopted by the organization.  
  3.21     (b) If a watershed management organization is not 
  3.22  established by July 1, 1985, for any minor watershed unit 
  3.23  located wholly outside of Hennepin and Ramsey counties, is 
  3.24  terminated, or the board of water and soil resources determines 
  3.25  a plan is not being implemented in accordance with its rules, 
  3.26  the county or counties containing the watershed unit shall 
  3.27  prepare, adopt, and implement the watershed plan and for this 
  3.28  purpose the county or counties have the planning, review, 
  3.29  permitting, and financing authority of a watershed management 
  3.30  organization specified in sections 103B.211 to 103B.255.  
  3.31     (c) If a watershed management organization is not 
  3.32  established by July 1, 1985, for any minor watershed unit within 
  3.33  the metropolitan area and wholly or partly within Hennepin or 
  3.34  Ramsey counties, the county or counties containing the watershed 
  3.35  unit shall petition for the establishment of a watershed 
  3.36  district under chapter 103D provided, however, that a district 
  4.1   established pursuant to a petition: is terminated or the board 
  4.2   of water and soil resources determines a plan is not being 
  4.3   implemented the county or counties shall petition for the 
  4.4   establishment of a watershed district under chapter 103D. 
  4.5      (1) may not cross a primary river or a river forming the 
  4.6   boundary between a metropolitan county and a county outside the 
  4.7   metropolitan area; and 
  4.8      (2) must have boundaries that are based upon negotiations 
  4.9   among all local government units that may have territory within 
  4.10  the district and adjacent watersheds; and 
  4.11     (3) may not cross county boundaries to include territory 
  4.12  whose distinguishing characteristic is multiple drainage points 
  4.13  into a primary river.  
  4.14     (d) A watershed management organization may request a 
  4.15  county to prepare all or part of a plan.  
  4.16     (e) A county may delegate the preparation of all or part of 
  4.17  a plan to the county soil and water conservation district.  
  4.18     (f) Upon request of a statutory or home rule charter city 
  4.19  or town, a county may delegate the preparation of all or part of 
  4.20  a plan to the city or town.  
  4.21     (g) If the board of water and soil resources determines 
  4.22  that a watershed management organization or county has not 
  4.23  developed a draft plan, is not implementing the plan, has not 
  4.24  delegated implementation of the plan, and has not petitioned for 
  4.25  the creation of a watershed district: 
  4.26     (1) state agencies may withhold from local government units 
  4.27  state funding for water programs for projects within the 
  4.28  watershed; 
  4.29     (2) state agencies may withhold from local government units 
  4.30  delegation of state water resource regulatory authority within 
  4.31  the watershed; and 
  4.32     (3) state agencies may suspend issuance of water-related 
  4.33  permits within the watershed; and 
  4.34     (4) the board may request state agencies to withhold 
  4.35  portions of state aid funding used for the installation of curb 
  4.36  and gutter and other drainage facilities of public 
  5.1   transportation projects within the watershed.  
  5.2      The provisions of this paragraph apply until the board of 
  5.3   water and soil resources determines that a plan is being 
  5.4   implemented in accordance with its rules. 
  5.5      (h) Appeals from the board of water and soil resources 
  5.6   determination are made in the same manner as appeals under 
  5.7   section 103B.345, subdivision 5. 
  5.8      Sec. 4.  Minnesota Statutes 1994, section 103B.231, is 
  5.9   amended by adding a subdivision to read: 
  5.10     Subd. 3a.  [PRIORITY SCHEDULE.] (a) The board of water and 
  5.11  soil resources in consultation with the state review agencies 
  5.12  and the metropolitan council shall develop a priority schedule 
  5.13  for the revision of plans required under this chapter. 
  5.14     (b) The prioritization should be based on but not be 
  5.15  limited to status of current plan, scheduled revision dates, 
  5.16  anticipated growth and development, existing and potential 
  5.17  problems, and regional water quality goals and priorities. 
  5.18     (c) The schedule will be used by the board of water and 
  5.19  soil resources in consultation with the state review agencies 
  5.20  and the metropolitan council to direct watershed management 
  5.21  organizations of when they will be required to revise their 
  5.22  plans. 
  5.23     (d) Upon notification from the board of water and soil 
  5.24  resources that a revision of a plan is required, a watershed 
  5.25  management organization shall have 24 months from the date of 
  5.26  notification to revise and submit a plan for review. 
  5.27     (e) In the event that a plan expires prior to notification 
  5.28  from the board of water and soil resources under this section, 
  5.29  the existing plan, authorities, and official controls of a 
  5.30  watershed management organization shall remain in full force and 
  5.31  effect until a revision is approved. 
  5.32     (f) A one-year extension to submit a revised plan may be 
  5.33  granted by the board. 
  5.34     (g) Watershed management organizations submitting plans and 
  5.35  draft plan amendments for review prior to the board's priority 
  5.36  review schedule, may proceed to adopt and implement the plan 
  6.1   revisions without formal board approval if the board fails to 
  6.2   adjust its priority review schedule for plan review, and 
  6.3   commence its statutory review process within 45 days of 
  6.4   submittal of the plan revision or amendment. 
  6.5      Sec. 5.  Minnesota Statutes 1994, section 103B.231, 
  6.6   subdivision 4, is amended to read: 
  6.7      Subd. 4.  [GENERAL STANDARDS.] (a) The watershed management 
  6.8   plan must specify the period covered by the plan and must extend 
  6.9   through the year 1990 or any later year that is evenly divisible 
  6.10  by five at least five years but no more than ten years from the 
  6.11  date the board approves the plan.  Plans that contain revision 
  6.12  dates inconsistent with this section must comply with that date, 
  6.13  provided it is not more than ten years beyond the date of board 
  6.14  approval. 
  6.15     (b) The plan must be updated before the expiration of the 
  6.16  period covered by the plan.  The plan must be reviewed for 
  6.17  consistency with an adopted county groundwater plan, and revised 
  6.18  as necessary, whenever the watershed plan undergoes substantial 
  6.19  revision or updating.  In counties that adopt or amend 
  6.20  groundwater plans within five years following August 1, 1987, 
  6.21  watershed plans must be reviewed for consistency with the county 
  6.22  groundwater plan, and revised as necessary, not later than six 
  6.23  years following August 1, 1987.  In counties that adopt or amend 
  6.24  groundwater plans after five years following August 1, 1987, 
  6.25  watershed plans must be reviewed for consistency with the county 
  6.26  groundwater plan, and revised as necessary, not later than one 
  6.27  year following the adoption or amendment of the groundwater plan 
  6.28  to the degree necessary to become compliant with the groundwater 
  6.29  plan no later than two years after adoption by the county.  A 
  6.30  one-year extension may be granted by the board.  Upon the 
  6.31  request of a watershed management organization, the county shall 
  6.32  provide a written statement that: 
  6.33     (1) identifies any substantial inconsistencies between the 
  6.34  watershed plan and the groundwater plan and any substantial 
  6.35  adverse effects of the watershed plan on the groundwater plan; 
  6.36  and 
  7.1      (2) evaluates, estimates the cost of, and recommends 
  7.2   alternatives for amending the watershed plan to rectify any 
  7.3   substantial inconsistencies and adverse effects.  
  7.4      (c) The plan shall contain the elements required by 
  7.5   subdivision 6.  Each element shall be set out in the degree of 
  7.6   detail and prescription necessary to accomplish the purposes of 
  7.7   sections 103B.205 to 103B.255, considering the character of 
  7.8   existing and anticipated physical and hydrogeologic conditions, 
  7.9   land use, and development and the severity of existing and 
  7.10  anticipated water management problems in the watershed. 
  7.11     (d) The plan shall be prepared and submitted for review 
  7.12  under subdivision 7 not later than December 31, 1986. 
  7.13     (e) Existing plans of a watershed management organization 
  7.14  shall remain in force and effect until amended or superseded by 
  7.15  plans adopted under sections 103B.205 to 103B.255.  Existing or 
  7.16  amended plans of a watershed management organization which meet 
  7.17  the requirements of sections 103B.205 to 103B.255 may be 
  7.18  submitted for review under subdivision 7.  
  7.19     (f) (e) Watershed management organizations shall coordinate 
  7.20  their planning activities with contiguous watershed management 
  7.21  organizations and counties conducting water planning and 
  7.22  implementation under sections 103B.101 and 103B.301 to 103B.355. 
  7.23     Sec. 6.  Minnesota Statutes 1994, section 103B.231, 
  7.24  subdivision 6, is amended to read: 
  7.25     Subd. 6.  [CONTENTS.] (a) The plan shall:  
  7.26     (1) describe the existing physical environment, land use, 
  7.27  and development in the area and the environment, land use, and 
  7.28  development proposed in existing local and metropolitan 
  7.29  comprehensive plans; 
  7.30     (2) present information on the hydrologic system and its 
  7.31  components, including drainage systems previously constructed 
  7.32  under chapter 103E, and existing and potential problems related 
  7.33  thereto; 
  7.34     (3) state objectives and policies, including management 
  7.35  principles, alternatives and modifications, water quality, and 
  7.36  protection of natural characteristics; 
  8.1      (4) set forth a management plan, including the hydrologic 
  8.2   and water quality conditions that will be sought and significant 
  8.3   opportunities for improvement; 
  8.4      (5) describe the effect of the plan on existing drainage 
  8.5   systems; 
  8.6      (6) identify high priority areas for wetland preservation, 
  8.7   enhancement, restoration, and establishment and describe any 
  8.8   conflicts with wetlands and land use in these areas; 
  8.9      (7) describe conflicts between the watershed plan and 
  8.10  existing plans of local government units; 
  8.11     (8) set forth an implementation program consistent with the 
  8.12  management plan, which includes a capital improvement program 
  8.13  and standards and schedules for amending the comprehensive plans 
  8.14  and official controls of local government units in the watershed 
  8.15  to bring about conformance with the watershed plan; and 
  8.16     (9) set out a procedure procedures and timelines for 
  8.17  amending the plan. 
  8.18     (b) The board shall adopt rules to establish standards and 
  8.19  requirements for amendments to watershed plans.  The rules must 
  8.20  include:  
  8.21     (1) performance standards for the watershed plans, which 
  8.22  may distinguish between plans for urban areas and rural areas; 
  8.23     (2) minimum requirements for the content of watershed plans 
  8.24  and plan amendments, including public participation process 
  8.25  requirements for amendment and implementation of watershed 
  8.26  plans; 
  8.27     (3) standards for the content of capital improvement 
  8.28  programs to implement watershed plans, including a requirement 
  8.29  that capital improvement programs identify structural and 
  8.30  nonstructural alternatives that would lessen capital 
  8.31  expenditures; and 
  8.32     (4) how watershed plans are to specify the nature of the 
  8.33  official controls required to be adopted by the local units of 
  8.34  government, including uniform erosion control, stormwater 
  8.35  retention, and wetland protection ordinances in the metropolitan 
  8.36  area.  
  9.1      Sec. 7.  Minnesota Statutes 1994, section 103B.231, 
  9.2   subdivision 7, is amended to read: 
  9.3      Subd. 7.  [LOCAL REVIEW OF THE DRAFT PLAN.] (a) Upon 
  9.4   completion of the plan but before final adoption by the 
  9.5   organization, the organization must submit the draft plan for a 
  9.6   60-day review and comment period to all counties, the 
  9.7   metropolitan council, the state review agencies, the board of 
  9.8   water and soil resources, soil and water conservation districts, 
  9.9   towns, and statutory and home rule charter cities having 
  9.10  territory within the watershed.  A local government unit that 
  9.11  expects that substantial amendment of its local comprehensive 
  9.12  plan will be necessary to bring local water management into 
  9.13  conformance with the watershed plan must describe as 
  9.14  specifically as possible, within its comments, the amendments to 
  9.15  the local plan that it expects will be necessary.  If the county 
  9.16  has a groundwater plan, the county must review and comment on 
  9.17  the consistency of the watershed plan with the county 
  9.18  groundwater plan.  Differences among local governmental agencies 
  9.19  regarding the plan must be mediated.  Notwithstanding sections 
  9.20  103D.401, 103D.405, and 473.165, the council shall review the 
  9.21  plan in the same manner and with the same authority and effect 
  9.22  as provided for the council's review of the comprehensive plans 
  9.23  of local government units under section 473.175.  The council 
  9.24  shall comment on the apparent conformity with metropolitan 
  9.25  system plans of any anticipated amendments to local 
  9.26  comprehensive plans.  The council shall advise the board of 
  9.27  water and soil resources on whether the plan conforms with the 
  9.28  management objectives and target pollution loads stated in the 
  9.29  council's water resources plan and shall recommend changes in 
  9.30  the plan that would satisfy the council's plan. 
  9.31     (b) Sixty days after the submission to local government 
  9.32  units for comment, the organization shall submit the plan, any 
  9.33  comments received, and any appropriate amendments to the plan, 
  9.34  to the board of the county or counties having territory within 
  9.35  the watershed The watershed management organization must respond 
  9.36  in writing to any concerns expressed by the review agencies 
 10.1   within 30 days of receipt thereof. 
 10.2      (c) The watershed management organization must hold a 
 10.3   public hearing on the draft plan no sooner than 30 days and no 
 10.4   later than 45 days after the 60-day review period of the draft 
 10.5   plan.  The county board or boards of the affected counties shall 
 10.6   approve or disapprove projects in the capital improvement 
 10.7   program which may require the provision of county funds pursuant 
 10.8   to section 103B.251 or 103D.901, subdivision 2.  The Each county 
 10.9   has 60 days up until the date of the public hearing on the draft 
 10.10  plan to complete its review of the capital improvement program.  
 10.11  If the county fails to complete its review within the prescribed 
 10.12  period, unless an extension is agreed to by the organization the 
 10.13  program shall be deemed approved.  If the watershed extends into 
 10.14  more than one county and one or more counties disapprove of all 
 10.15  or part of a capital improvement program while the other county 
 10.16  or counties approve, the program shall be submitted to the board 
 10.17  of water and soil resources for review pursuant to subdivision 9.
 10.18     Sec. 8.  Minnesota Statutes 1994, section 103B.231, 
 10.19  subdivision 8, is amended to read: 
 10.20     Subd. 8.  [REVIEW BY METROPOLITAN COUNCIL AND STATE REVIEW 
 10.21  AGENCIES.] After completion of the review under subdivision 7, 
 10.22  the draft plan and, any amendments thereto, all written comments 
 10.23  received on the plan, a record of the public hearing, and a 
 10.24  summary of changes incorporated as a result of the review 
 10.25  process shall be submitted to the metropolitan council, the 
 10.26  state review agencies, and the board of water and soil resources 
 10.27  for final review.  Notwithstanding any provision to the contrary 
 10.28  in sections 103D.401, 103D.405, and 473.165, the council shall 
 10.29  review the plan in the same manner and with the same authority 
 10.30  and effect as provided for the council's review of the 
 10.31  comprehensive plans of local government units under section 
 10.32  473.175.  The council shall comment on the apparent conformity 
 10.33  with metropolitan system plans of any anticipated amendments to 
 10.34  local comprehensive plans.  The council shall advise the board 
 10.35  of water and soil resources on whether the plan conforms with 
 10.36  the management objectives and target pollution loads stated in 
 11.1   the council's water resources plan and shall recommend changes 
 11.2   in the plan that would satisfy the council's plan.  The council 
 11.3   may mediate and attempt to resolve differences among local 
 11.4   governmental agencies regarding the plan.  The state review 
 11.5   agencies shall review and comment on the consistency of the plan 
 11.6   with state laws and rules relating to water and related land 
 11.7   resources.  The state review agencies shall forward their 
 11.8   comments within 45 days after they receive the final review 
 11.9   draft of the plan to the board.  A state review agency may 
 11.10  request and receive up to a 30-day extension of this review 
 11.11  period from the board. 
 11.12     Sec. 9.  Minnesota Statutes 1994, section 103B.231, 
 11.13  subdivision 9, is amended to read: 
 11.14     Subd. 9.  [REVIEW BY STATE AGENCIES APPROVAL BY THE BOARD.] 
 11.15  After completion of the review under subdivision 8, the plan and 
 11.16  all comments received shall be submitted to the commissioners of 
 11.17  natural resources, health, and the pollution control agency for 
 11.18  review and comment on the consistency of the plan with state 
 11.19  laws and rules relating to water and related land resources, and 
 11.20  to the board of water and soil resources for review under 
 11.21  sections 103D.401 and 103D.405.  Except as otherwise provided in 
 11.22  this subdivision, the board of water and soil resources shall 
 11.23  review the plan as provided in sections 103D.401 and 103D.405.  
 11.24  The board shall review the plan for conformance with the 
 11.25  requirements of sections 103B.205 to 103B.255, and chapter 
 11.26  103D.  The board shall not prescribe a plan, but may disapprove 
 11.27  all or parts of a plan which it determines is not in conformance 
 11.28  with the requirements of sections 103B.205 to 103B.255, and 
 11.29  chapter 103D.  If the capital improvement program is the subject 
 11.30  of a dispute between counties, the board of water and soil 
 11.31  resources shall make a final decision on the issue.  The 
 11.32  decision shall be binding on the organization and the counties 
 11.33  involved.  The board shall complete its review under this 
 11.34  section within 90 days. 
 11.35     Sec. 10.  Minnesota Statutes 1994, section 103B.231, 
 11.36  subdivision 11, is amended to read: 
 12.1      Subd. 11.  [AMENDMENTS.] To the extent and in the manner 
 12.2   required by the adopted plan, all amendments to the adopted plan 
 12.3   shall be submitted to the towns, cities, county, and other the 
 12.4   metropolitan council, the state review agencies, and the board 
 12.5   of water and soil resources for review in accordance with the 
 12.6   provisions of subdivisions 7, 8, and 9.  Amendments necessary to 
 12.7   revise the plan to be consistent with the county groundwater 
 12.8   plan, as required by subdivision 4, must be submitted for review 
 12.9   in accordance with subdivisions 7, 8, and 9.  Minor amendments 
 12.10  to a plan shall be reviewed in accordance with standards 
 12.11  prescribed in the watershed management plan.  
 12.12     Sec. 11.  Minnesota Statutes 1994, section 103B.235, 
 12.13  subdivision 3, is amended to read: 
 12.14     Subd. 3.  [REVIEW.] After consideration but before adoption 
 12.15  by the governing body, each local unit shall submit its water 
 12.16  management plan to the watershed management organization for 
 12.17  review for consistency with the watershed plan adopted pursuant 
 12.18  to section 103B.231.  If the county or counties having territory 
 12.19  within the local unit have a state-approved and locally adopted 
 12.20  groundwater plan, the local unit shall submit its plan to the 
 12.21  county or counties for review.  The county or counties have 45 
 12.22  days to review and comment on the plan.  The organization shall 
 12.23  approve or disapprove the local plan or parts of the plan.  The 
 12.24  organization shall have 60 days to complete its review.  If the 
 12.25  organization fails to complete its review within the prescribed 
 12.26  period, the local plan shall be deemed approved unless an 
 12.27  extension is agreed to by the local unit.  
 12.28     Sec. 12.  Minnesota Statutes 1994, section 103B.241, 
 12.29  subdivision 1, is amended to read: 
 12.30     Subdivision 1.  [WATERSHED PLANS AND PROJECTS.] A levy to 
 12.31  pay the increased costs to Notwithstanding chapter 103D, a local 
 12.32  government unit or watershed management organization of 
 12.33  implementing sections 103B.231 and 103B.235 or to pay costs of 
 12.34  improvements and maintenance of improvements identified in an 
 12.35  approved and adopted plan shall be in addition to any other 
 12.36  taxes authorized by law.  Notwithstanding any provision to the 
 13.1   contrary in chapter 103D, a watershed district may levy a tax 
 13.2   sufficient to pay the increased costs to the district of 
 13.3   implementing sections 103B.231 and 103B.235 may levy a tax to 
 13.4   pay the increased costs of preparing a plan under sections 
 13.5   103B.231 and 103B.235 or for projects identified in an approved 
 13.6   and adopted plan necessary to implement the purposes of section 
 13.7   103B.201.  The proceeds of any tax levied under this section 
 13.8   shall be deposited in a separate fund and expended only for the 
 13.9   purposes authorized by this section.  Watershed management 
 13.10  organizations and local government units may accumulate the 
 13.11  proceeds of levies as an alternative to issuing bonds to finance 
 13.12  improvements.  
 13.13     Sec. 13.  Minnesota Statutes 1994, section 103B.245, 
 13.14  subdivision 1, is amended to read: 
 13.15     Subdivision 1.  [WATERSHED MANAGEMENT TAX DISTRICT.] (a) 
 13.16  Any local government unit planning for water management under 
 13.17  sections 103B.231 and 103B.235 may establish a watershed 
 13.18  management tax district in the territory within the watershed, 
 13.19  for the purpose of paying the costs of the planning required 
 13.20  under sections 103B.231 and 103B.235.  
 13.21     (b) Any local government unit which has part of its 
 13.22  territory within a watershed for which a plan has been adopted 
 13.23  in accordance with section 103B.231 and which has a local water 
 13.24  management plan adopted in accordance with section 103B.235 may 
 13.25  establish a watershed management tax district in the territory 
 13.26  within the watershed or a subwatershed unit in the watershed, 
 13.27  for the purpose of paying capital costs of the water management 
 13.28  facilities described in the capital improvement program of the 
 13.29  plans and for the purpose of paying for normal and routine 
 13.30  maintenance of the facilities.  
 13.31     (c) A county or counties required by section 103B.231, 
 13.32  subdivision 3, to prepare, adopt, and implement a watershed plan 
 13.33  shall apportion the costs of planning, capital improvements, and 
 13.34  maintenance proportionate to benefits.  The county may apportion 
 13.35  the costs among the subwatershed units in the watershed, or 
 13.36  among the statutory and home rule charter cities and towns 
 14.1   having territory in the watershed, and for this purpose may 
 14.2   establish more than one watershed management tax district in the 
 14.3   watershed.  
 14.4      (d) Notification of new watershed management tax districts 
 14.5   established under this subdivision must be made to the county 
 14.6   auditor by July 1 in order to be effective for taxes payable in 
 14.7   the following year. 
 14.8      Sec. 14.  Minnesota Statutes 1994, section 103B.245, 
 14.9   subdivision 4, is amended to read: 
 14.10     Subd. 4.  [BONDS.] After adoption of the ordinance under 
 14.11  subdivision 2, and after a contract for the construction of all 
 14.12  or part of an improvement has been entered into or the work has 
 14.13  been ordered done by day labor, the local government unit may 
 14.14  issue obligations in the amount it deems necessary to pay in 
 14.15  whole or in part the capital cost incurred and estimated to be 
 14.16  incurred in making the improvement project.  The obligations 
 14.17  shall be payable out of the proceeds of the tax levied pursuant 
 14.18  to subdivision 3.  The local unit may by resolution of its 
 14.19  governing body adopted prior to the sale of obligations pledge 
 14.20  the full faith, credit and taxing power of the local unit to 
 14.21  assure payment of the principal and interest in the event the 
 14.22  proceeds of the tax levy in the district are insufficient to pay 
 14.23  principal and interest.  The amount of any taxes which are 
 14.24  required to be levied outside of the territory of the tax 
 14.25  district or taken from the general funds of the local unit to 
 14.26  pay principal and interest on the obligations shall be 
 14.27  reimbursed to the local unit from taxes levied within the 
 14.28  territory of the tax district.  Obligations shall be issued in 
 14.29  accordance with chapter 475, except that an election is not 
 14.30  required and the amount of any obligations shall not be included 
 14.31  in determining the net indebtedness of the local unit under the 
 14.32  provisions of any law or charter limiting indebtedness.  
 14.33     Sec. 15.  Minnesota Statutes 1994, section 103B.251, 
 14.34  subdivision 3, is amended to read: 
 14.35     Subd. 3.  [IMPROVEMENT HEARING NOTICE.] (a) The 
 14.36  organization shall then hold a public hearing on the proposed 
 15.1   improvement, following publication once each week for two 
 15.2   successive weeks before the date of the hearing in a legal 
 15.3   newspaper published in the county or counties in which a part or 
 15.4   all of the affected waters and lands are located.  The last 
 15.5   publication shall occur not more than 30 days nor less than ten 
 15.6   days before the hearing.  
 15.7      (b) The notice shall state the time and place of hearing, 
 15.8   the general nature of the proposed improvement, the estimated 
 15.9   cost, and the method by which the cost of the improvement is to 
 15.10  be paid, including the cost to be allocated to each county or 
 15.11  minor watershed unit under subdivision 5.  The cost must be 
 15.12  apportioned according to the benefits received by property in 
 15.13  the county.  
 15.14     (c) At least ten days before the hearing, notice by mail 
 15.15  shall be given to the counties and to each home rule charter or 
 15.16  statutory city or town located wholly or partly within the 
 15.17  territory of the watershed management organization.  
 15.18     (d) Failure to give mailed notice or defects in the notice 
 15.19  shall not invalidate the proceedings.  
 15.20     Sec. 16.  Minnesota Statutes 1994, section 103B.251, 
 15.21  subdivision 7, is amended to read: 
 15.22     Subd. 7.  [BONDS.] In order to make the payment required by 
 15.23  subdivision 6, the county board of each county may issue general 
 15.24  obligation bonds of the county in the amount necessary to pay 
 15.25  all or part of the cost of improvements projects certified to 
 15.26  the county board or to refund general obligation bonds issued 
 15.27  for this purpose.  The bonds shall be sold, issued, and secured 
 15.28  in accordance with the provisions of chapter 475 for general 
 15.29  obligation bonds, except as otherwise provided in this 
 15.30  subdivision.  No election shall be required.  
 15.31     Sec. 17.  [103B.252] [EMERGENCY PROJECTS.] 
 15.32     Subdivision 1.  [GENERAL AUTHORITY.] Notwithstanding 
 15.33  chapter 103D, a local government unit or a watershed management 
 15.34  organization which has an approved and adopted plan may 
 15.35  undertake and perform emergency projects under this section. 
 15.36     Subd. 2.  [DECLARATION OF EMERGENCY.] If the joint powers 
 16.1   board, watershed district managers, or local government unit 
 16.2   find that conditions exist that present a clear and imminent 
 16.3   danger to the health or welfare of the people of the watershed 
 16.4   management organization or local government unit, and that to 
 16.5   delay action would prejudice the interests of the people of the 
 16.6   watershed management organization or local government unit, or 
 16.7   would likely cause permanent harm, the joint powers board, 
 16.8   watershed district managers, or local government unit may 
 16.9   declare the existence of an emergency and designate the 
 16.10  location, watershed or subwatershed unit, nature, and extent of 
 16.11  the emergency. 
 16.12     Subd. 3.  [PROJECT ORDER.] If an emergency has been 
 16.13  declared to the extent necessary to protect the interests of the 
 16.14  watershed management organization or the local government unit, 
 16.15  the joint powers board, watershed district managers, or local 
 16.16  government unit may order that the work be done under the 
 16.17  direction of the joint powers board, watershed district 
 16.18  managers, or local government unit and their engineer, without a 
 16.19  contract. 
 16.20     Sec. 18.  Minnesota Statutes 1994, section 103B.255, 
 16.21  subdivision 6, is amended to read: 
 16.22     Subd. 6.  [GENERAL STANDARDS.] (a) The groundwater plan 
 16.23  must specify the period covered by the plan and must extend 
 16.24  through the year 1995 or any later year that is evenly divisible 
 16.25  by five at least five years but no more than ten years from the 
 16.26  date the board approves the plan.  The plan must contain the 
 16.27  elements required by subdivision 7.  Each element must be set 
 16.28  out in the degree of detail and prescription necessary to 
 16.29  accomplish the purposes of sections 103B.205 to 103B.255, 
 16.30  considering the character of existing and anticipated physical 
 16.31  and hydrogeologic conditions, land use, and development and the 
 16.32  severity of existing and anticipated groundwater management 
 16.33  problems in the county.  
 16.34     (b) To the fullest extent possible in a manner consistent 
 16.35  with groundwater protection, a county shall make maximum use of 
 16.36  existing and available data and studies in preparing the 
 17.1   groundwater plan and incorporate into its groundwater plan 
 17.2   relevant data from existing plans and studies and the relevant 
 17.3   provisions of existing plans adopted by watershed management 
 17.4   organizations having jurisdiction wholly or partly within the 
 17.5   county.  
 17.6      Sec. 19.  Minnesota Statutes 1994, section 103B.255, 
 17.7   subdivision 7, is amended to read: 
 17.8      Subd. 7.  [CONTENTS.] A groundwater plan must: 
 17.9      (1) cover the entire area within the county; 
 17.10     (2) describe existing and expected changes to the physical 
 17.11  environment, land use, and development in the county; 
 17.12     (3) summarize available information about the groundwater 
 17.13  and related resources in the county, including existing and 
 17.14  potential distribution, availability, quality, and use; 
 17.15     (4) state the goals, objectives, scope, and priorities of 
 17.16  groundwater protection in the county; 
 17.17     (5) contain standards, criteria, and guidelines for the 
 17.18  protection of groundwater from pollution and for various types 
 17.19  of land uses in environmentally sensitive areas, critical areas, 
 17.20  or previously contaminated areas; 
 17.21     (6) describe relationships and possible conflicts between 
 17.22  the groundwater plan and the plans of other counties, local 
 17.23  government units, and watershed management organizations in the 
 17.24  affected groundwater system; 
 17.25     (7) set forth standards and, guidelines, and official 
 17.26  controls for implementation of the plan by watershed management 
 17.27  organizations and local units of government; and 
 17.28     (8) include a procedure procedures and timelines for 
 17.29  amending the groundwater plan. 
 17.30     Sec. 20.  Minnesota Statutes 1994, section 103B.255, 
 17.31  subdivision 8, is amended to read: 
 17.32     Subd. 8.  [LOCAL REVIEW AND COMMENT OF THE DRAFT PLAN.] (a) 
 17.33  Upon completion of the groundwater plan but before final 
 17.34  adoption by the county, the county shall submit the draft plan 
 17.35  for a 60-day review and comment period to adjoining counties, 
 17.36  the metropolitan council, the state review agencies, the board 
 18.1   of water and soil resources, each soil and water conservation 
 18.2   district, town, statutory and home rule charter city, and 
 18.3   watershed management organization having territory within the 
 18.4   county.  The county also shall submit the plan to any other 
 18.5   county or watershed management organization or district in the 
 18.6   affected groundwater system that could affect or be affected by 
 18.7   implementation of the plan.  Any political subdivision or 
 18.8   watershed management organization that expects that substantial 
 18.9   amendment of its plans would be necessary in order to bring them 
 18.10  into conformance with the county groundwater plan shall describe 
 18.11  as specifically as possible, within its comments, the amendments 
 18.12  that it expects would be necessary and the cost of amendment and 
 18.13  implementation.  Reviewing entities have 60 days to review and 
 18.14  comment.  Differences among local governmental agencies 
 18.15  regarding the plan must be mediated.  Notwithstanding sections 
 18.16  103D.401, 103D.405, and 473.165, the council shall review the 
 18.17  plan in the same manner and with the same authority and effect 
 18.18  as provided in section 473.175 for review of the comprehensive 
 18.19  plans of local government units.  The council shall comment on 
 18.20  the apparent conformity with metropolitan system plans of any 
 18.21  anticipated amendments to watershed plans and local 
 18.22  comprehensive plans.  The council shall advise the board of 
 18.23  water and soil resources on whether the plan conforms with the 
 18.24  management objectives stated in the council's water resources 
 18.25  plan and shall recommend changes in the plan that would satisfy 
 18.26  the council's plan. 
 18.27     (b) The county must respond in writing to any concerns 
 18.28  expressed by the reviewing agencies within 30 days of receipt 
 18.29  thereof. 
 18.30     (c) The county shall hold a public hearing on the draft 
 18.31  plan no sooner than 30 days and no later than 45 days after the 
 18.32  60-day review period of the draft plan. 
 18.33     Sec. 21.  Minnesota Statutes 1994, section 103B.255, 
 18.34  subdivision 9, is amended to read: 
 18.35     Subd. 9.  [REVIEW BY METROPOLITAN COUNCIL AND STATE 
 18.36  AGENCIES.] After completion of the review under subdivision 8, 
 19.1   the draft plan and, any amendments thereto, all written comments 
 19.2   received on the plan, a record of the public hearing, and a 
 19.3   summary of changes incorporated as part of the review process 
 19.4   must be submitted to the metropolitan council, the state review 
 19.5   agencies, and the board of water and soil resources for final 
 19.6   review.  Notwithstanding any provision to the contrary in 
 19.7   sections 103D.401, 103D.405, and 473.165, the council shall 
 19.8   review the plan in the same manner and with the same authority 
 19.9   and effect as provided for the council's review of the 
 19.10  comprehensive plans of local government units under section 
 19.11  473.175.  The council shall comment on the apparent conformity 
 19.12  with metropolitan system plans of any anticipated amendments to 
 19.13  watershed plans and local comprehensive plans.  The council 
 19.14  shall summarize and evaluate the cost of rectifying 
 19.15  inconsistencies between the groundwater plan and watershed plans.
 19.16  If the council finds that significant funding problems, needs, 
 19.17  or inequities will result from the groundwater plan, the council 
 19.18  shall report to the legislature on the matter and on appropriate 
 19.19  means of allocating and paying costs.  The council may mediate 
 19.20  and attempt to resolve differences among local governmental 
 19.21  agencies regarding the plan.  The state review agencies shall 
 19.22  review and comment on the consistency of the plan with state 
 19.23  laws and rules relating to water and related land resources.  
 19.24  The state review agencies shall forward their comments to the 
 19.25  board within 45 days after they receive the final review draft 
 19.26  of the plan.  A state review agency may request and receive up 
 19.27  to a 30-day extension of this review period from the board. 
 19.28     Sec. 22.  Minnesota Statutes 1994, section 103B.255, 
 19.29  subdivision 10, is amended to read: 
 19.30     Subd. 10.  [REVIEW BY STATE AGENCIES APPROVAL BY THE 
 19.31  BOARD.] (a) After completion of the review under subdivision 9, 
 19.32  the plan and all comments received must be submitted to the 
 19.33  commissioners of natural resources, health, and the pollution 
 19.34  control agency for review and comment on the consistency of the 
 19.35  plan with state laws and rules relating to water and related 
 19.36  land resources, and to the board of water and soil resources for 
 20.1   review under sections 103D.401 and 103D.405.  
 20.2      (b) Except as otherwise provided in this subdivision, the 
 20.3   board of water and soil resources shall review the plan as 
 20.4   provided in section 103D.401.  The board shall review the plan 
 20.5   for conformance with the requirements of sections 103B.205 to 
 20.6   103B.255, and chapter 103D.  The board may not prescribe a plan 
 20.7   but may disapprove all or parts of a plan which it determines is 
 20.8   not in conformance with the requirements of sections 103B.205 to 
 20.9   103B.255, and chapter 103D.  
 20.10     Sec. 23.  Minnesota Statutes 1994, section 103B.255, 
 20.11  subdivision 12, is amended to read: 
 20.12     Subd. 12.  [AMENDMENTS.] To the extent and in the manner 
 20.13  required by the adopted plan, all amendments to the adopted plan 
 20.14  must be submitted to the towns, cities, counties, and other the 
 20.15  metropolitan council, the state review agencies, and the board 
 20.16  of water and soil resources for review in accordance with the 
 20.17  provisions of subdivisions 8 to 10.  
 20.18     Sec. 24.  Minnesota Statutes 1994, section 103B.311, 
 20.19  subdivision 4, is amended to read: 
 20.20     Subd. 4.  [WATER PLAN REQUIREMENTS.] (a) A comprehensive 
 20.21  water plan must: 
 20.22     (1) cover the entire area within a county; 
 20.23     (2) address water problems in the context of watershed 
 20.24  units and groundwater systems; 
 20.25     (3) be based upon principles of sound hydrologic management 
 20.26  of water, effective environmental protection, and efficient 
 20.27  management; 
 20.28     (4) be consistent with comprehensive water plans prepared 
 20.29  by counties and watershed management organizations wholly or 
 20.30  partially within a single watershed unit or groundwater system; 
 20.31  and 
 20.32     (5) apply to every year through the year 1995 or any later 
 20.33  year that is evenly divisible by five and be updated before the 
 20.34  period covered expires. the comprehensive water plan must 
 20.35  specify the period covered by the comprehensive water plan and 
 20.36  must extend at least five years but no more than ten years from 
 21.1   the date the board approves the comprehensive water plan.  
 21.2   Comprehensive water plans that contain revision dates 
 21.3   inconsistent with this section must comply with that date, 
 21.4   provided it is not more than ten years beyond the date of board 
 21.5   approval.  A two-year extension of the revision date of a 
 21.6   comprehensive water plan may be granted by the board, provided 
 21.7   no projects are ordered or commenced during the period of the 
 21.8   extension. 
 21.9      (b) Existing water and related land resources plans, 
 21.10  including plans related to agricultural land preservation 
 21.11  programs developed pursuant to chapter 40A, must be fully 
 21.12  utilized in preparing the comprehensive water plan.  Duplication 
 21.13  of the existing plans is not required.  
 21.14     Sec. 25.  Minnesota Statutes 1994, section 103B.311, 
 21.15  subdivision 6, is amended to read: 
 21.16     Subd. 6.  [SCOPE OF PLANS.] Comprehensive water plans must 
 21.17  include: 
 21.18     (1) a description of the existing and expected changes to 
 21.19  physical environment, land use, and development in the county; 
 21.20     (2) available information about the surface water, 
 21.21  groundwater, and related land resources in the county, including 
 21.22  existing and potential distribution, availability, quality, and 
 21.23  use; 
 21.24     (3) objectives for future development, use, and 
 21.25  conservation of water and related land resources, including 
 21.26  objectives that concern water quality and quantity, and 
 21.27  sensitive areas, wellhead protection areas, high priority areas 
 21.28  for wetland preservation, enhancement, restoration, and 
 21.29  establishment, stormwater management for developing areas, and 
 21.30  related land use conditions, and a description of actions that 
 21.31  will be taken in affected watersheds or groundwater systems to 
 21.32  achieve the objectives; 
 21.33     (4) a description of potential changes in state programs, 
 21.34  policies, and requirements considered important by the county to 
 21.35  management of water resources in the county; 
 21.36     (5) a description of conflicts between the comprehensive 
 22.1   water plan and existing plans of other local units of 
 22.2   government; 
 22.3      (6) a description of possible conflicts between the 
 22.4   comprehensive water plan and existing or proposed comprehensive 
 22.5   water plans of other counties in the affected watershed units or 
 22.6   groundwater systems; 
 22.7      (7) a program for implementation of the plan that is 
 22.8   consistent with the plan's management objectives and includes 
 22.9   schedules for amending official controls and water and related 
 22.10  land resources plans of local units of government to conform 
 22.11  with the comprehensive water plan, and the schedule, components, 
 22.12  and expected state and local costs of any projects to implement 
 22.13  the comprehensive water plan that may be proposed, although this 
 22.14  does not mean that projects are required by this section; and 
 22.15     (8) a procedure for amending the comprehensive water plan.  
 22.16     Sec. 26.  Minnesota Statutes 1994, section 103B.3369, 
 22.17  subdivision 5, is amended to read: 
 22.18     Subd. 5.  [FINANCIAL ASSISTANCE.] The board may award 
 22.19  grants to watershed management organizations in the seven-county 
 22.20  metropolitan area or counties only to carry out water resource 
 22.21  protection and management programs identified as priorities in 
 22.22  comprehensive local water plans.  Grants may be used to employ 
 22.23  persons and to obtain and use information necessary to: 
 22.24     (1) develop comprehensive local water plans under sections 
 22.25  103B.255 and 103B.311 that have not received state funding for 
 22.26  water resources planning as provided for in Laws 1987, chapter 
 22.27  404, section 30, subdivision 5, clause (a); and 
 22.28     (2) revise comprehensive local water plans under section 
 22.29  103B.201; and 
 22.30     (3) implement comprehensive local water plans.  
 22.31  A base grant shall be awarded to a county that levies a water 
 22.32  implementation tax at the a rate established under section 
 22.33  275.50, subdivision 5, paragraph (z), which shall be determined 
 22.34  by the board.  The minimum amount of the water implementation 
 22.35  tax shall be a tax rate times the adjusted net tax capacity of 
 22.36  the county for the preceding year.  The rate shall be the rate, 
 23.1   rounded to the nearest .001 of a percent, that, when applied to 
 23.2   the adjusted net tax capacity for all counties, raises the 
 23.3   amount of $1,500,000.  The base grant will be in an amount equal 
 23.4   to $37,500 less the amount raised by that levy.  If the amount 
 23.5   necessary to implement the local water plan for the county is 
 23.6   less than $37,500, the amount of the base grant shall be the 
 23.7   amount that, when added to the levy amount, equals the amount 
 23.8   required to implement the plan.  For counties where the tax rate 
 23.9   generates an amount equal to or greater than $18,750, the base 
 23.10  grant shall be in an amount equal to $18,750. 
 23.11     Sec. 27.  Minnesota Statutes 1994, section 103B.3369, 
 23.12  subdivision 6, is amended to read: 
 23.13     Subd. 6.  [LIMITATIONS.] (a) Grants provided to implement 
 23.14  programs under this section must be reviewed by the state agency 
 23.15  having statutory program authority to assure compliance with 
 23.16  minimum state standards.  At the request of the state agency 
 23.17  commissioner, the board shall revoke the portion of a grant used 
 23.18  to support a program not in compliance.  
 23.19     (b) Grants provided to develop or revise comprehensive 
 23.20  local water plans may not be awarded for a time longer than two 
 23.21  years.  
 23.22     (c) A county may not request or be awarded grants for 
 23.23  project implementation unless a comprehensive water plan has 
 23.24  been adopted. 
 23.25     Sec. 28.  Minnesota Statutes 1994, section 103B.355, is 
 23.26  amended to read: 
 23.27     103B.355 [APPLICATION.] 
 23.28     Sections 103B.301 to 103B.355 do not apply in areas subject 
 23.29  to the requirements of sections 103B.201 to 103B.255 under 
 23.30  section 103B.231, subdivision 1, and in areas covered by an 
 23.31  agreement entered into by December 31, 1985, under section 
 23.32  103B.231, subdivision 2, except as otherwise provided in 
 23.33  sections 103B.311, subdivision 4, clause (4); and 103B.315, 
 23.34  subdivisions 1, clauses (3) and (4), and 2, clause (b). 
 23.35     Sec. 29.  Minnesota Statutes 1994, section 103B.611, 
 23.36  subdivision 1, is amended to read: 
 24.1      Subdivision 1.  [COMPOSITION.] The district is governed by 
 24.2   a board composed of members elected appointed by the governing 
 24.3   bodies of the municipalities included in the district.  Each 
 24.4   municipality shall elect may appoint one member.  
 24.5      Sec. 30.  Minnesota Statutes 1994, section 103B.611, 
 24.6   subdivision 2, is amended to read: 
 24.7      Subd. 2.  [TERM.] The term of office of each board member 
 24.8   is three years unless the appointing municipality recalls the 
 24.9   member and either appoints another member for the balance of the 
 24.10  term or leaves the office vacant for the balance of the term.  
 24.11  This subdivision applies both to members serving on the 
 24.12  effective date of this act and to members appointed after the 
 24.13  effective date of this act. 
 24.14     Sec. 31.  [REVISOR INSTRUCTION.] 
 24.15     In the next and subsequent editions of Minnesota Statutes, 
 24.16  the revisor of statutes shall renumber section 103B.205, 
 24.17  subdivision 10a, as subdivision 10b, and shall renumber section 
 24.18  103B.205, subdivision 10b, as subdivision 10a. 
 24.19     Sec. 32.  [REPEALER.] 
 24.20     Minnesota Statutes 1994, sections 103B.227, subdivision 6; 
 24.21  103B.231, subdivisions 5 and 12; and 103B.3365, are repealed. 
 24.22     Sec. 33.  [EFFECTIVE DATE.] 
 24.23     Under Minnesota Statutes, section 645.023, subdivision 1, 
 24.24  clause (a), section 29 takes effect, without local approval, the 
 24.25  day following final enactment.