HF 3389

as introduced - 92nd Legislature (2021 - 2022) Posted on 02/14/2022 01:57pm

A bill for an act
relating to mining; providing for denial and revocation of nonferrous mining permit,
license, or lease to bad actors; requiring rulemaking; proposing coding for new
law in Minnesota Statutes, chapter 93.

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

Section 1.

new text begin [93.005] NONFERROUS ORE PERMITS, LICENSES, AND LEASES;
BAD ACTORS.
new text end

new text begin Subdivision 1. new text end

new text begin Denying permit, license, or lease. new text end

new text begin (a) To protect the public health and
safety and the environment of the state, the commissioner of natural resources must not
issue, renew, assign, approve, or transfer a permit, license, or lease to mine nonferrous ore
under this chapter to an applicant that:
new text end

new text begin (1) in the last 15 years, has been convicted of violating a state, federal, Tribal, or foreign
law for the protection of the natural environment;
new text end

new text begin (2) is party to or the subject of a consent decree, consent agreement and final order,
stipulated penalty, or administrative order on consent entered in the last 15 years in
connection with a civil administrative action or civil judicial action for violating an
environmental law;
new text end

new text begin (3) in the last 15 years, has been convicted of violating a state, federal, Tribal, or foreign
law against bribery or corruption, including but not limited to the federal Foreign Corrupt
Practices Act;
new text end

new text begin (4) in the last 15 years, has entered into a settlement resolving claims of violating a state,
federal, Tribal, or foreign law against bribery or corruption, including but not limited to the
federal Foreign Corrupt Practices Act;
new text end

new text begin (5) is found by the commissioner to be a subsidiary, affiliate, or related party to a business
concern described under clauses (1) to (4);
new text end

new text begin (6) is found by the commissioner to have common ownership with a business concern
described under clauses (1) to (4);
new text end

new text begin (7) is found by the commissioner to hold, or previously to have held, a beneficial business
interest in a business concern that:
new text end

new text begin (i) is required to be listed on the applicant's disclosure statement under subdivision 2;
and
new text end

new text begin (ii) is a person described under clauses (1) to (4); or
new text end

new text begin (8) is found by the commissioner to employ as an officer or director a person described
under clauses (1) to (4).
new text end

new text begin (b) The commissioner must determine whether to deny an application according to
paragraph (a) no later than six months after a person submits a disclosure statement under
subdivision 2.
new text end

new text begin (c) The commissioner must not deny an application under paragraph (a) if the applicant
demonstrates by clear and convincing evidence that the applicant has been rehabilitated.
Factors that the commissioner may consider in reviewing the evidence include:
new text end

new text begin (1) the nature and seriousness of the offense;
new text end

new text begin (2) the applicant's relationship to the person that committed the offense;
new text end

new text begin (3) the circumstances under which the offense occurred;
new text end

new text begin (4) the date of the offense;
new text end

new text begin (5) whether the offense was an isolated or repeated incident;
new text end

new text begin (6) the nature and responsibility of the position a convicted individual would hold;
new text end

new text begin (7) the age of a convicted individual when the offense was committed;
new text end

new text begin (8) the history and nature of the applicant's environmental, anticorruption, and federal
Foreign Corrupt Practices Act compliance program, if any; and
new text end

new text begin (9) when an applicant is a business concern, the existence of formal management controls
to minimize and prevent the occurrence of violations and activities that will or may result
in denial of an application under paragraph (a), clause (1), and whether the applicant has
formalized those controls as a result of a revocation or denial of a permit or license.
Management controls include but are not limited to instituting environmental auditing
programs to help ensure the adequacy of internal systems to achieve, maintain, and monitor
compliance with applicable environmental laws and standards.
new text end

new text begin Subd. 2. new text end

new text begin Disclosure statement. new text end

new text begin (a) For purposes of enforcing subdivision 1, a person
submitting an application to obtain, renew, assign, or transfer a permit, license, or lease to
mine nonferrous ore must submit a disclosure statement according to paragraph (b) to the
commissioner when the application is submitted.
new text end

new text begin (b) A disclosure statement must include:
new text end

new text begin (1) in the case of an individual, the full name and business address of the individual;
new text end

new text begin (2) in the case of a business concern:
new text end

new text begin (i) the full name and business address of any officers, directors, partners, or key
employees of the business concern;
new text end

new text begin (ii) the full name and business address of all individuals or entities holding equity in or
debt liability of the business concern or, if the business concern is a publicly traded
corporation, all individuals or entities holding more than five percent of the equity in or
debt liability of the business concern; and
new text end

new text begin (iii) the full name and business address of any parent, subsidiary, or affiliate of the
business concern;
new text end

new text begin (3) the full name and business address of all officers, directors, or partners of any business
concern disclosed in the statement and the names and addresses of all individuals or entities
holding equity in or debt liability of any disclosed business concern or, if the business
concern is a publicly traded corporation, all individuals or entities holding more than five
percent of the equity in or debt liability of the business concern;
new text end

new text begin (4) a listing and explanation of any notice of violation or prosecution, administrative
order, or license or permit revocation that:
new text end

new text begin (i) was issued by a state, federal, Tribal, or foreign authority in the 15 years immediately
preceding submission of the disclosure statement against a person identified under clauses
(1) to (3) for violating an environmental law or the federal Foreign Corrupt Practices Act;
and
new text end

new text begin (ii) is pending at the time the disclosure statement is submitted or resulted in a finding,
consent decree, consent agreement and final order, stipulated penalty, administrative order
on consent, or other settlement;
new text end

new text begin (5) a listing and explanation of any civil administrative action or civil judicial action
that:
new text end

new text begin (i) occurred in the 15 years immediately preceding submission of the disclosure statement
against a person identified under clauses (1) to (3) for violating an environmental law or
the federal Foreign Corrupt Practices Act; and
new text end

new text begin (ii) is pending at the time the disclosure statement is submitted or resulted in a finding,
consent decree, consent agreement and final order, stipulated penalty, administrative order
on consent, or other settlement;
new text end

new text begin (6) a listing and explanation of any judgment of liability or conviction that was rendered
under a state, federal, Tribal, or foreign law or local ordinance for the protection of the
natural environment or under the federal Foreign Corrupt Practices Act against a person
identified under clauses (1) to (3); and
new text end

new text begin (7) any other information the commissioner may require that relates to the competency,
reliability, or good character of the applicant.
new text end

new text begin (c) If any information required to be included in a disclosure statement changes after an
applicant submits a disclosure statement or if the commissioner requires additional
information after an applicant submits a disclosure statement, the applicant must provide
the information to the commissioner in writing no later than 30 days after the change or
addition.
new text end

new text begin Subd. 3. new text end

new text begin Enforcement; public records. new text end

new text begin (a) The commissioner must enforce subdivision
1 by examining the disclosure statements required under subdivision 2 and by such other
means, including record and field investigations, as the commissioner considers necessary.
new text end

new text begin (b) A person that applies to obtain, renew, assign, or transfer a permit, license, or lease
to mine nonferrous ore under this chapter must, upon request of the commissioner:
new text end

new text begin (1) furnish any information relating to the application and disclosure statement; and
new text end

new text begin (2) permit the commissioner at all reasonable times to have access to and to copy all
records relating to the application and disclosure statement.
new text end

new text begin (c) Except as provided under chapter 13, disclosure statements, records, and other
information obtained from a person under this section must be available to the public.
new text end

new text begin Subd. 4. new text end

new text begin Revocation. new text end

new text begin The commissioner may refuse to renew or may suspend or revoke
a permit, license, or lease subject to subdivision 1, paragraph (a), of a person that fails to
disclose or falsely states any information required under subdivision 2.
new text end

new text begin Subd. 5. new text end

new text begin Contested case hearing. new text end

new text begin A person whose application is denied under this
section must be granted a contested case hearing under chapter 14 if the person makes a
written request for a hearing to the commissioner no later than 30 days after the
commissioner's denial.
new text end

new text begin Subd. 6. new text end

new text begin Rulemaking. new text end

new text begin The commissioner must adopt rules to administer this section.
new text end