HF 3605

1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to natural resources; reorganizing and renaming the Legislative
Commission on Minnesota Resources; providing for land donor appraisal
reimbursement; providing for acquisition of land for certain facilities; providing
for disposition of certain receipts; modifying state park permit provisions;
modifying forest services provided to private owners; granting authority to
establish state forest user fees; modifying the State Timber Act; modifying
certain definitions; modifying noise standard exemptions; extending certain
pilot programs; granting certain authority to the Lower Minnesota River
Watershed District; exempting counties from certain rules; requiring reports;
eliminating the requirement for a comprehensive forest resource management
plan; appropriating money; amending Minnesota Statutes 2004, sections 84.085,
subdivision 1; 85.052, subdivision 4; 85.053, by adding a subdivision; 85.054,
by adding subdivisions; 88.79, subdivision 1; 90.14; 90.151, subdivisions 1,
6, by adding a subdivision; 103I.005, subdivision 9; 116.07, subdivision 2a;
116P.02, subdivision 4; 116P.03; 116P.04, subdivision 5; 116P.05, as amended;
116P.07; 116P.08, subdivisions 3, 4, 5, 6; 116P.09, subdivisions 1, 6, by adding a
subdivision; 116P.11; Minnesota Statutes 2005 Supplement, sections 10A.01,
subdivision 35; 85.053, subdivision 2; 85.055, subdivision 1; Laws 2003,
chapter 128, article 1, section 165; proposing coding for new law in Minnesota
Statutes, chapters 85; 89; 90; repealing Minnesota Statutes 2004, sections 89.011,
subdivisions 1, 2, 3, 6; 116P.02, subdivision 2; 116P.06; Laws 2005, First Special
Session chapter 1, article 2, section 156, subdivision 2.

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

Section 1.

Minnesota Statutes 2005 Supplement, section 10A.01, subdivision 35,
is amended to read:

Subd. 35.

Public official.

"Public official" means any:

(1) member of the legislature;

(2) individual employed by the legislature as secretary of the senate, legislative
auditor, chief clerk of the house, revisor of statutes, or researcher, legislative analyst, or
attorney in the Office of Senate Counsel and Research or House Research;

(3) constitutional officer in the executive branch and the officer's chief administrative
deputy;

(4) solicitor general or deputy, assistant, or special assistant attorney general;

(5) commissioner, deputy commissioner, or assistant commissioner of any state
department or agency as listed in section 15.01 or 15.06, or the state chief information
officer;

(6) member, chief administrative officer, or deputy chief administrative officer of a
state board or commission that has either the power to adopt, amend, or repeal rules under
chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;

(7) individual employed in the executive branch who is authorized to adopt, amend,
or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;

(8) executive director of the State Board of Investment;

(9) deputy of any official listed in clauses (7) and (8);

(10) judge of the Workers' Compensation Court of Appeals;

(11) administrative law judge or compensation judge in the State Office of
Administrative Hearings or referee in the Department of Employment and Economic
Development;

(12) member, regional administrator, division director, general counsel, or operations
manager of the Metropolitan Council;

(13) member or chief administrator of a metropolitan agency;

(14) director of the Division of Alcohol and Gambling Enforcement in the
Department of Public Safety;

(15) member or executive director of the Higher Education Facilities Authority;

(16) member of the board of directors or president of Minnesota Technology, Inc.; deleted text begin or
deleted text end

(17) member of the board of directors or executive director of the Minnesota State
High School League deleted text begin . deleted text end new text begin ; or
new text end

new text begin (18) a citizen member of the Legislative-Citizen Commission on Minnesota
Resources.
new text end

Sec. 2.

Minnesota Statutes 2004, section 84.085, subdivision 1, is amended to read:

Subdivision 1.

Authority.

(a) The commissioner of natural resources may accept for
and on behalf of the state any gift, bequest, devise, or grants of lands or interest in lands or
personal property of any kind or of money tendered to the state for any purpose pertaining
to the activities of the department or any of its divisions. Any money so received is hereby
appropriated and dedicated for the purpose for which it is granted. Lands and interests in
lands so received may be sold or exchanged as provided in chapter 94.

new text begin (b) When the commissioner of natural resources accepts lands or interests in land,
the commissioner may reimburse the donor for costs incurred to obtain an appraisal needed
for tax reporting purposes. If the state pays the donor for a portion of the value of the
lands or interests in lands that are donated, the reimbursement for appraisal costs shall not
exceed $1,500. If the donor receives no payment from the state for the lands or interests in
lands that are donated, the reimbursement for appraisal costs shall not exceed $5,000.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end The commissioner of natural resources, on behalf of the state, may accept and
use grants of money or property from the United States or other grantors for conservation
purposes not inconsistent with the laws of this state. Any money or property so received
is hereby appropriated and dedicated for the purposes for which it is granted, and shall
be expended or used solely for such purposes in accordance with the federal laws and
regulations pertaining thereto, subject to applicable state laws and rules as to manner
of expenditure or use providing that the commissioner may make subgrants of any
money received to other agencies, units of local government, private individuals, private
organizations, and private nonprofit corporations. Appropriate funds and accounts shall be
maintained by the commissioner of finance to secure compliance with this section.

deleted text begin (c) deleted text end new text begin (d) new text end The commissioner may accept for and on behalf of the permanent school fund
a donation of lands, interest in lands, or improvements on lands. A donation so received
shall become state property, be classified as school trust land as defined in section 92.025,
and be managed consistent with section 127A.31.

Sec. 3.

new text begin [85.0145] ACQUISITION OF LAND FOR FACILITIES.
new text end

new text begin The commissioner of natural resources may acquire interests in land by gift,
purchase, or lease for facilities outside the boundaries of state parks, state recreation areas,
or state waysides that are needed for the management of state parks, state recreation areas,
or state waysides established under sections 85.012 and 85.013.
new text end

Sec. 4.

Minnesota Statutes 2004, section 85.052, subdivision 4, is amended to read:

Subd. 4.

Deposit of fees.

(a) Fees paid for providing contracted products and
services within a state park, state recreation area, or wayside, and for special state park
uses under this section shall be deposited in the natural resources fund and credited to a
state parks account.

(b) Gross receipts derived from sales, rentals, or leases of natural resources within
state parks, recreation areas, and waysides, other than those on trust fund lands, must be
deposited in the state treasury and credited to the general fund.

new text begin (c) Notwithstanding paragraph (b), the gross receipts from the sale of stockpile
materials, aggregate, or other earth materials from the Iron Range Off-Highway Vehicle
Recreation Area shall be deposited in the dedicated accounts in the natural resources fund
from which the purchase of the stockpile material was made.
new text end

Sec. 5.

Minnesota Statutes 2005 Supplement, section 85.053, subdivision 2, is
amended to read:

Subd. 2.

Requirement.

Except as provided in section 85.054, a motor vehicle
may not enter a state park, state recreation area, or state wayside over 50 acres in area,
without a state park permit issued under this section. Except for vehicles permitted under
deleted text begin subdivision deleted text end new text begin subdivisions new text end 7, paragraph (a), clause (2), new text begin and 8, new text end the state park permit must be
affixed to the lower right corner windshield of the motor vehicle and must be completely
affixed by its own adhesive to the windshield, or the commissioner may, by written order,
provide an alternative means to display and validate annual permits.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2007.
new text end

Sec. 6.

Minnesota Statutes 2004, section 85.053, is amended by adding a subdivision
to read:

new text begin Subd. 8. new text end

new text begin Towed vehicles. new text end

new text begin The commissioner shall prescribe and issue a temporary
permit for a vehicle that enters a park towed by a vehicle used for camping. The temporary
permit shall be issued with the camping permit and allows the towed vehicle to be driven
in state parks until the camping permit expires.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2007.
new text end

Sec. 7.

Minnesota Statutes 2004, section 85.054, is amended by adding a subdivision
to read:

new text begin Subd. 12. new text end

new text begin Soudan Underground Mine State Park. new text end

new text begin A state park permit is not
required and a fee may not be charged for motor vehicle entry or parking at the visitor
parking area of Soudan Underground Mine State Park.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2007.
new text end

Sec. 8.

Minnesota Statutes 2004, section 85.054, is amended by adding a subdivision
to read:

new text begin Subd. 13. new text end

new text begin Sunday church services. new text end

new text begin A state park permit is not required and a fee
may not be charged for motor vehicle entry to attend a Sunday church service held in a
state park if the motor vehicle and occupants depart the park within two hours of entry.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2007.
new text end

Sec. 9.

Minnesota Statutes 2005 Supplement, section 85.055, subdivision 1, is
amended to read:

Subdivision 1.

Fees.

The fee for state park permits for:

(1) an annual use of state parks is $25;

(2) a second vehicle state park permit is $18;

(3) a state park permit valid for one day is deleted text begin $7 deleted text end new text begin $5 new text end ;

(4) a daily vehicle state park permit for groups is deleted text begin $5 deleted text end new text begin $3 new text end ;

(5) new text begin an annual permit for motorcycles is $20;
new text end

new text begin (6) new text end an employee's state park permit is without charge; and

deleted text begin (6) deleted text end new text begin (7) new text end a state park permit for deleted text begin handicapped deleted text end new text begin disabled new text end persons under section 85.053,
subdivision 7, clauses (1) and (2), is $12.

The fees specified in this subdivision include any sales tax required by state law.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2007.
new text end

Sec. 10.

Minnesota Statutes 2004, section 88.79, subdivision 1, is amended to read:

Subdivision 1.

Employment of competent foresters; service to private owners.

The commissioner of natural resources may employ competent foresters to furnish owners
of forest lands within the state of Minnesota deleted text begin owning respectively not exceeding deleted text end new text begin who own
not more than new text end 1,000 acres of deleted text begin such deleted text end new text begin forest new text end land, forest management services consisting of new text begin : new text end

new text begin (1) new text end advice in management and protection of timber, new text begin including written stewardship
and forest management plans; new text end

new text begin (2) new text end selection and marking of timber to be cut deleted text begin , deleted text end new text begin ; new text end

new text begin (3) new text end measurement of products deleted text begin , deleted text end new text begin ; new text end

new text begin (4) new text end aid in marketing harvested products deleted text begin , deleted text end new text begin ;
new text end

new text begin (5) provision of tree-planting equipment; new text end and

new text begin (6) new text end such other services as the commissioner of natural resources deems necessary or
advisable to promote maximum sustained yield of timber upon such forest lands.

Sec. 11.

new text begin [89.22] USES OF STATE FOREST LANDS; FEES.
new text end

new text begin Subdivision 1. new text end

new text begin Establishing fees. new text end

new text begin Notwithstanding section 16A.1283, the
commissioner may, by written order published in the State Register, establish fees
providing for the use of state forest lands, including motorcycle, snowmobile, and sports
car rallies, races, or enduros; orienteering trials; group campouts that do not occur at
designated group camps; dog sled races; dog trials; large horse trail rides; and commercial
uses. The fees are not subject to the rulemaking provisions of chapter 14 and section
14.386 does not apply.
new text end

new text begin Subd. 2. new text end

new text begin Receipts to special revenue fund. new text end

new text begin Fees collected under subdivision 1 shall
be credited to the special revenue fund and are annually appropriated to the commissioner
for costs incurred attributable to the uses for which the fees were imposed.
new text end

Sec. 12.

Minnesota Statutes 2004, section 90.14, is amended to read:

90.14 AUCTION SALE PROCEDURE.

(a) All state timber shall be offered and sold by the same unit of measurement as it
was appraised. deleted text begin The sale shall be made to the person who (1) bids the highest price for all
the several kinds of timber as advertised, or (2) if unsold at public auction, to the person
who purchases at any subsequent sale authorized under section 90.101, subdivision 1. deleted text end new text begin No
tract shall be sold to any person other than the purchaser in whose name the bid was made. new text end
The commissioner may refuse to approve any and all bids received and cancel a sale of
state timber for good and sufficient reasons.

(b) The purchaser at any sale of timber shall, immediately upon the approval of the
bid, or, if unsold at public auction, at the time of purchase at a subsequent sale under
section 90.101, subdivision 1, pay to the commissioner a down payment of 15 percent
of the appraised value. In case any purchaser fails to make such payment, the purchaser
shall be liable therefor to the state in a civil action, and the commissioner may reoffer the
timber for sale as though no bid or sale under section 90.101, subdivision 1, therefor
had been made.

(c) In lieu of the scaling of state timber required by this chapter, a purchaser of
state timber may, at the time of payment by the purchaser to the commissioner of 15
percent of the appraised value, elect in writing on a form prescribed by the attorney
general to purchase a permit based solely on the appraiser's estimate of the volume of
timber described in the permit, provided that the commissioner has expressly designated
the availability of such option for that tract on the list of tracts available for sale as
required under section 90.101. A purchaser who elects in writing on a form prescribed
by the attorney general to purchase a permit based solely on the appraiser's estimate of
the volume of timber described on the permit does not have recourse to the provisions
of section 90.281.

new text begin (d) In the case of a public auction sale conducted by a sealed bid process, tracts shall
be awarded to the high bidder, who shall pay to the commissioner a down payment of 15
percent of the appraised value within ten business days of receiving a written award
notice. If a purchaser fails to make the down payment, the purchaser is liable for the down
payment to the state and the commissioner may offer the timber for sale to the next highest
bidder as though no higher bid had been made.
new text end

new text begin (e) Except as otherwise provided by law, at the time the purchaser signs a permit
issued under section 90.151, the purchaser shall make a bid guarantee payment to the
commissioner in an amount equal to 15 percent of the total purchase price of the permit
less the down payment amount required by paragraph (b). If the bid guarantee payment is
not submitted with the signed permit, no harvesting may occur, the permit cancels, and the
down payment for timber forfeits to the state. The bid guarantee payment forfeits to the
state if the purchaser and successors in interest fail to execute an effective permit.
new text end

Sec. 13.

new text begin [90.145] PURCHASER QUALIFICATIONS AND REGISTRATION.
new text end

new text begin Subdivision 1. new text end

new text begin Purchaser qualifications. new text end

new text begin (a) In addition to any other requirements
imposed by this chapter, the purchaser of a state timber permit issued under section 90.151
must meet the requirements in paragraphs (b) to (d).
new text end

new text begin (b) The purchaser and the purchaser's agents, employees, subcontractors, and
assigns must comply with general industry safety standards for logging adopted by the
commissioner of labor and industry under chapter 182. The commissioner of natural
resources shall require a purchaser to provide proof of compliance with the general
industry safety standards.
new text end

new text begin (c) The purchaser and the purchaser's agents, subcontractors, and assigns must
comply with the mandatory insurance requirements of chapter 176. The commissioner
shall require a purchaser to provide a copy of the proof of insurance required by section
176.130 before the start of harvesting operations on any permit.
new text end

new text begin (d) Before the start of harvesting operations on any permit, the purchaser must
certify that a foreperson or other designated employee who has a current certificate of
completion from the Minnesota logger education program (MLEP), the Wisconsin Forest
Industry Safety and Training Alliance (FISTA), or any similar program acceptable to the
commissioner, is supervising active logging operations.
new text end

new text begin Subd. 2. new text end

new text begin Purchaser preregistration. new text end

new text begin To facilitate the sale of permits issued under
section 90.151, the commissioner may establish a purchaser preregistration system.
Any system implemented by the commissioner shall be limited in scope to only that
information that is required for the efficient administration of the purchaser qualification
provisions of this chapter and shall conform with the requirements of chapter 13.
new text end

Sec. 14.

Minnesota Statutes 2004, section 90.151, subdivision 1, is amended to read:

Subdivision 1.

Issuance; expiration.

(a) Following receipt of the down payment
for state timber required under section 90.14 or 90.191, the commissioner shall issue a
numbered permit to the purchaser, in a form approved by the attorney general, by the
terms of which the purchaser shall be authorized to enter upon the land, and to cut and
remove the timber therein described as designated for cutting in the report of the state
appraiser, according to the provisions of this chapter. The permit shall be correctly dated
and executed by the commissioner and signed by the purchaser. If a permit is not signed
by the purchaser within 60 days from the date of purchase, the permit cancels and the
down payment for timber required under section 90.14 forfeits to the state.

(b) The permit shall expire no later than five years after the date of sale as the
commissioner shall specify or as specified under section 90.191, and the timber shall
be cut within the time specified therein. All cut timber, equipment, and buildings not
removed from the land within 90 days after expiration of the permit shall become the
property of the state.

(c) The commissioner may grant an additional period of time not to exceed 120 days
for the removal of cut timber, equipment, and buildings upon receipt of such request by
the permit holder for good and sufficient reasons. The commissioner may grant a second
period of time not to exceed 120 days for the removal of cut timber, equipment, and
buildings upon receipt of a request by the permit holder for hardship reasons only.

deleted text begin (d) No permit shall be issued to any person other than the purchaser in whose name
the bid was made.
deleted text end

Sec. 15.

Minnesota Statutes 2004, section 90.151, subdivision 6, is amended to read:

Subd. 6.

Notice and approval required.

The permit shall provide that the permit
holder shall not start cutting any state timber nor clear building sites nor logging roads until
the commissioner has been notified and has given prior approval to such cutting operations. new text begin
Approval shall not be granted until the permit holder has completed a presale conference
with the state appraiser designated to supervise the cutting. The permit holder shall also
give prior notice whenever permit operations are to be temporarily halted, whenever
permit operations are to be resumed, and when permit operations are to be completed.
new text end

Sec. 16.

Minnesota Statutes 2004, section 90.151, is amended by adding a subdivision
to read:

new text begin Subd. 15. new text end

new text begin Liquidated damages. new text end

new text begin The permit may include a schedule of liquidated
damage charges for breach of permit terms by the permit holder. The damage charges shall
be limited to amounts that are reasonable in light of the anticipated or actual harm caused
by the breach, the difficulties of proof of loss, and the inconvenience or nonfeasibility of
otherwise obtaining an adequate remedy.
new text end

Sec. 17.

Minnesota Statutes 2004, section 103I.005, subdivision 9, is amended to read:

Subd. 9.

Exploratory boring.

"Exploratory boring" means a surface drilling done
to explore or prospect for oil, natural gas, new text begin apatite, diamonds, graphite, gemstones, new text end kaolin
clay, and metallic minerals, including iron, copper, zinc, lead, gold, silver, titanium,
vanadium, nickel, cadmium, molybdenum, chromium, manganese, cobalt, zirconium,
beryllium, thorium, uranium, aluminum, platinum, palladium, radium, tantalum, tin, and
niobium, and a drilling or boring for petroleum.

Sec. 18.

Minnesota Statutes 2004, section 116.07, subdivision 2a, is amended to read:

Subd. 2a.

Exemptions from standards.

No standards adopted by any state agency
for limiting levels of noise in terms of sound pressure which may occur in the outdoor
atmosphere shall apply to (1) segments of trunk highways constructed with federal
interstate substitution money, provided that all reasonably available noise mitigation
measures are employed to abate noise, (2) an existing or newly constructed segment of a
highway, provided that all reasonably available noise mitigation measures, as approved by
the commissioners of the Department of Transportation and Pollution Control Agency, are
employed to abate noise, (3) except for the cities of Minneapolis and St. Paul, an existing
or newly constructed segment of a road, street, or highway under the jurisdiction of a road
authority of a town, statutory or home rule charter city, or county, except for roadways for
which full control of access has been acquired, (4) skeet, trap or shooting sports clubs,
or (5) motor vehicle race events conducted at a facility specifically designed for that
purpose that was in operation on or before July 1, deleted text begin 1983. deleted text end new text begin 1996. Motor vehicle race events
exempted from state standards under this subdivision are exempt from claims based on
noise brought under section 561.01 and chapters 116B and 116D. new text end Nothing herein shall
prohibit a local unit of government or a public corporation with the power to make rules
for the government of its real property from regulating the location and operation of
skeet, trap or shooting sports clubs, or motor vehicle race events conducted at a facility
specifically designed for that purpose that was in operation on or before July 1, deleted text begin 1983 deleted text end new text begin 1996 new text end .

Sec. 19.

Minnesota Statutes 2004, section 116P.02, subdivision 4, is amended to read:

Subd. 4.

Commission.

"Commission" means the deleted text begin Legislative deleted text end new text begin Legislative-Citizen
new text end Commission on Minnesota Resources.

Sec. 20.

Minnesota Statutes 2004, section 116P.03, is amended to read:

116P.03 TRUST FUND NOT TO SUPPLANT EXISTING FUNDING new text begin ;
APPROPRIATIONS new text end .

(a) The trust fund may not be used as a substitute for traditional sources of funding
environmental and natural resources activities, but the trust fund shall supplement the
traditional sources, including those sources used to support the criteria in section 116P.08,
subdivision 1. The trust fund must be used primarily to support activities whose benefits
become available only over an extended period of time.

(b) The commission must determine the amount of the state budget spent from
traditional sources to fund environmental and natural resources activities before and after
the trust fund is established and include a comparison of the amount in the report under
section 116P.09, subdivision 7.

new text begin (c) For the fiscal year beginning July 1, 2007, and each year thereafter, the amount of
the environment and natural resources trust fund that is available for appropriation under
the terms of the Minnesota Constitution, article XI, section 14, shall be appropriated by a
law passed by the legislature and signed by the governor.
new text end

new text begin (d) The amount appropriated from the environment and natural resources trust fund
may be spent only for the public purpose of protection, conservation, preservation, and
enhancement of the state's air, water, land, fish, wildlife, and other natural resources.
Recommendations made by the commission under this chapter must be consistent with
this chapter; the Minnesota Constitution, article XI, section 14; and the strategic plan
adopted under section 116P.08, subdivision 3, and must demonstrate a direct benefit to the
state's environment and natural resources.
new text end

Sec. 21.

Minnesota Statutes 2004, section 116P.04, subdivision 5, is amended to read:

Subd. 5.

Audits required.

The legislative auditor shall audit trust fund expenditures
to ensure that the money is spent for the purposes deleted text begin provided in the commission's budget
plan deleted text end new text begin for which the money was appropriated new text end .

Sec. 22.

Minnesota Statutes 2004, section 116P.05, as amended by Laws 2005, First
Special Session chapter 1, article 2, section 135, is amended to read:

116P.05 deleted text begin LEGISLATIVE deleted text end new text begin LEGISLATIVE-CITIZEN new text end COMMISSION ON
MINNESOTA RESOURCES.

Subdivision 1.

Membership.

(a) A deleted text begin Legislative deleted text end new text begin Legislative-Citizen new text end Commission on
Minnesota Resources of deleted text begin 20 deleted text end new text begin 17 new text end members is created new text begin in the legislative branch new text end , consisting
of deleted text begin the chairs of the house and senate committees on environment and natural resources
or designees appointed for the terms of the chairs, deleted text end the chairs of the house and senate
committees on environment and natural resources finance or designees appointed for
the terms of the chairs, deleted text begin the chairs of the house Ways and Means and Senate Finance
Committees or designees appointed for the terms of the chairs, seven deleted text end new text begin four new text end members of the
senate appointed by the Subcommittee on Committees of the Committee on Rules and
Administration, and deleted text begin seven deleted text end new text begin four new text end members of the house appointed by the speaker.

At least deleted text begin three deleted text end new text begin two new text end members from the senate and deleted text begin three deleted text end new text begin two new text end members from the house
must be from the minority caucus. Members are entitled to reimbursement for per diem
expenses plus travel expenses incurred in the services of the commission.

new text begin Seven citizens are members of the commission, five appointed by the governor, one
appointed by the senate Subcommittee on Committees of the Committee on Rules and
Administration, and one appointed by the speaker of the house. The governor's appointees
must be confirmed with the advice and consent of the senate. The citizen members are
selected and recommended to the appointing authorities according to subdivision 1a
and must:
new text end

new text begin (1) have experience or expertise in the science, policy, or practice of the protection,
conservation, preservation, and enhancement of the state's air, water, land, fish, wildlife,
and other natural resources;
new text end

new text begin (2) have strong knowledge in the state's environment and natural resource issues
around the state; and
new text end

new text begin (3) have demonstrated ability to work in a collaborative environment.
new text end

(b) Members shall deleted text begin appoint deleted text end new text begin develop procedures to elect new text end a chair deleted text begin who deleted text end new text begin that rotates
between legislative and citizen members. The chair new text end shall preside and convene meetings as
often as necessary to conduct duties prescribed by this chapter.

(c) new text begin Appointed legislative new text end members shall serve on the commission deleted text begin until their
successors are appointed deleted text end new text begin for two-year terms, beginning in January of each odd-numbered
year and continuing through the end of December of the next even-numbered year. Citizen
and legislative members continue to serve until their successors are appointed new text end .

(d) new text begin A citizen member may be removed by an appointing authority for cause. new text end
Vacancies occurring on the commission shall not affect the authority of the remaining
members of the commission to carry out their duties, and vacancies shall be filled new text begin for the
remainder of the term new text end in the same manner under paragraph (a).

new text begin (e) Citizen members shall be initially appointed according to the following schedule
of terms:
new text end

new text begin (1) two members appointed by the governor for a term ending the first Monday in
January 2010;
new text end

new text begin (2) one member appointed by the senate Subcommittee on Committees of the
Committee on Rules and Administration for a term ending the first Monday in January
2010 and one member appointed by the speaker of the house for a term ending the first
Monday in January 2010;
new text end

new text begin (3) two members appointed by the governor for a term ending the first Monday in
January 2009; and
new text end

new text begin (4) one member appointed by the governor for a term ending the first Monday in
January 2008.
new text end

new text begin (f) Citizen members are entitled to per diem and reimbursement for expenses
incurred in the services of the commission, as provided in section 15.059, subdivision 3.
new text end

new text begin Subd. 1a. new text end

new text begin Citizen selection committee. new text end

new text begin The governor shall appoint a trust fund
citizen selection committee of five members who come from different regions of the state
and who have knowledge and experience of state environment and natural resource issues.
new text end

new text begin The duties of the trust fund citizen selection committee shall be to:
new text end

new text begin (1) identify citizen candidates to be members of the commission as part of the open
appointments process under section 15.0597;
new text end

new text begin (2) request and review citizen candidate applications to be members of the
commission; and
new text end

new text begin (3) interview the citizen candidates and recommend an adequate pool of candidates
to be selected for commission membership by the governor, the senate, and the house
of representatives.
new text end

new text begin Members are entitled to travel expenses incurred to fulfill their duties under this
subdivision as provided in section 15.059, subdivision 6.
new text end

Subd. 2.

Duties.

(a) The commission shall recommend deleted text begin a budget plan deleted text end new text begin an annual
legislative bill new text end for deleted text begin expenditures deleted text end new text begin appropriations new text end from the environment and natural resources
trust fund and shall adopt a strategic plan as provided in section 116P.08. new text begin Approval of
the recommended legislative bill requires an affirmative vote of at least 12 members
of the commission.
new text end

(b) The commission shall recommend expenditures to the legislature from the state
land and water conservation account in the natural resources fund.

(c) It is a condition of acceptance of the appropriations made from the Minnesota
environment and natural resources trust fund, and oil overcharge money under section
4.071, subdivision 2, that the agency or entity receiving the appropriation must submit a
work program and semiannual progress reports in the form determined by the deleted text begin Legislative deleted text end
new text begin Legislative-Citizen new text end Commission on Minnesota Resources, and comply with applicable
reporting requirements under section 116P.16. None of the money provided may be spent
unless the commission has approved the pertinent work program.

(d) The peer review panel created under section 116P.08 must also review, comment,
and report to the commission on research proposals applying for an appropriation from the
oil overcharge money under section 4.071, subdivision 2.

(e) The commission may adopt operating procedures to fulfill its duties under
chapter 116P.

new text begin (f) As part of the operating procedures, the commission shall:
new text end

new text begin (1) ensure that members' expectations are to participate in all meetings related to
funding decision recommendations;
new text end

new text begin (2) recommend adequate funding for increased citizen outreach and communications
for trust fund expenditure planning;
new text end

new text begin (3) allow administrative expenses as part of individual project expenditures based
on need;
new text end

new text begin (4) provide for project outcome evaluation;
new text end

new text begin (5) keep the grant application, administration, and review process as simple as
possible; and
new text end

new text begin (6) define and emphasize the leveraging of additional sources of money that project
proposers should consider when making trust fund proposals.
new text end

new text begin Subd. 3. new text end

new text begin Sunset. new text end

new text begin This section expires June 30, 2016, unless extended by the
legislature.
new text end

Sec. 23.

Minnesota Statutes 2004, section 116P.07, is amended to read:

116P.07 INFORMATION GATHERING.

The commission may convene public forums new text begin or employ other methods new text end to gather
information for establishing priorities for funding.

Sec. 24.

Minnesota Statutes 2004, section 116P.08, subdivision 3, is amended to read:

Subd. 3.

Strategic plan required.

(a) The commission shall adopt a strategic
plan for making expenditures from the trust fund, including identifying the priority
areas for funding for the next six years. The strategic plan must be deleted text begin updated deleted text end new text begin reviewed new text end
every two years. deleted text begin The plan is advisory only. The commission shall submit the plan, as a
recommendation, to the house of representatives Ways and Means and senate Finance
Committees by January 1 of each odd-numbered year. deleted text end new text begin The strategic plan must have clearly
stated short- and long-term goals and strategies for trust fund expenditures, must provide
measurable outcomes for expenditures, and must determine areas of emphasis for funding.
new text end

(b) The commission deleted text begin may accept or modify the draft of the strategic plan submitted
to it by the advisory committee before voting on the plan's adoption deleted text end new text begin shall consider the
long-term strategic plans of agencies with environment and natural resource programs
and responsibilities and plans of conservation and environmental organizations during the
development and review of the strategic plan new text end .

Sec. 25.

Minnesota Statutes 2004, section 116P.08, subdivision 4, is amended to read:

Subd. 4.

deleted text begin Budget plan deleted text end new text begin Legislative recommendations new text end .

(a) Funding may be provided
only for those projects that meet the categories established in subdivision 1.

(b) deleted text begin Projects submitted to the commission for funding may be referred to the advisory
committee for recommendation.
deleted text end

deleted text begin (c) deleted text end The commission must deleted text begin adopt a budget plan deleted text end new text begin recommend an annual legislative bill new text end
to make deleted text begin expenditures deleted text end new text begin appropriations new text end from the trust fund for the purposes provided in
subdivision 1. The deleted text begin budget plan deleted text end new text begin recommendations new text end must be submitted to the governor for
inclusion in the biennial budget and supplemental budget submitted to the legislature.

new text begin (c) The commission may recommend regional block grants for a portion of trust
fund expenditures to partner with existing regional organizations that have strong citizen
involvement, to address unique local needs and capacity, and to leverage all available
funding sources for projects.
new text end

new text begin (d) The commission may recommend the establishment of an annual emerging
issues account in its annual legislative bill for funding emerging issues, which come up
unexpectedly, but which still adhere to the commission's strategic plan, to be approved by
the governor after initiation and recommendation by the commission.
new text end

deleted text begin (d) deleted text end new text begin (e) new text end Money in the trust fund may not be spent except under an appropriation
by law.

Sec. 26.

Minnesota Statutes 2004, section 116P.08, subdivision 5, is amended to read:

Subd. 5.

Public meetings.

deleted text begin All deleted text end new text begin Technical new text end advisory committee and commission
meetings must be open to the public. The commission shall attempt to meet deleted text begin at least once
in each of the state's congressional districts deleted text end new text begin throughout various regions of the state new text end new text begin new text end during
each biennium.

Sec. 27.

Minnesota Statutes 2004, section 116P.08, subdivision 6, is amended to read:

Subd. 6.

Peer review.

(a) Research proposals must include a stated purpose new text begin directly
connected to the trust fund's constitutional mandate, this chapter, and the adopted strategic
plan under subdivision 3 new text end , new text begin a new text end timeline, potential outcomes, and an explanation of the need
for the research. All research proposals must be reviewed by a peer review panel before
receiving an appropriation.

(b) In conducting research proposal reviews, the peer review panel shall:

(1) comment on the methodology proposed and whether it can be expected to yield
appropriate and useful information and data;

(2) comment on the need for the research and about similar existing information
available, if any; and

(3) report to the commission deleted text begin and advisory committee deleted text end on clauses (1) and (2).

(c) The peer review panel also must review completed research proposals that have
received an appropriation and comment and report upon whether the project reached
the intended goals.

Sec. 28.

Minnesota Statutes 2004, section 116P.09, subdivision 1, is amended to read:

Subdivision 1.

Administrative authority.

The commission may appoint legal
and other personnel and consultants necessary to carry out functions and duties of the
commission. Permanent employees shall be in the unclassified service. In addition,
the commission may request staff assistance and data from any other agency of state
government as needed for the execution of the responsibilities of the commission deleted text begin and
advisory committee deleted text end and an agency must promptly furnish it.

Sec. 29.

Minnesota Statutes 2004, section 116P.09, subdivision 6, is amended to read:

Subd. 6.

Conflict of interest.

A commission member, new text begin a technical new text end advisory
committee member, new text begin a new text end peer review panelist, or an employee of the commission may not
participate in or vote on a decision of the commission, advisory committee, or peer
review panel relating to an organization in which the member, panelist, or employee has
either a direct or indirect personal financial interest. While serving on the deleted text begin legislative deleted text end
commission, new text begin technical new text end advisory committee, or peer review panel, or being an employee of
the commission, a person shall avoid any potential conflict of interest.

Sec. 30.

Minnesota Statutes 2004, section 116P.09, is amended by adding a subdivision
to read:

new text begin Subd. 8. new text end

new text begin Technical advisory committees. new text end

new text begin The commission shall make use of
available public and private expertise on environment and natural resource issues by
appointing necessary technical advisory committees to review funding proposals and
evaluate project outcomes. Compensation for technical advisory committee members is
governed by section 15.059, subdivision 6.
new text end

Sec. 31.

Minnesota Statutes 2004, section 116P.11, is amended to read:

116P.11 AVAILABILITY OF FUNDS FOR DISBURSEMENT.

(a) The amount deleted text begin biennially deleted text end new text begin annually new text end available from the trust fund for the deleted text begin budget plan deleted text end new text begin
legislative bill new text end developed by the commission is as defined in the Minnesota Constitution,
article XI, section 14.

(b) Any appropriated funds not encumbered in the biennium in which they are
appropriated cancel and must be credited to the principal of the trust fund.

Sec. 32.

Laws 2003, chapter 128, article 1, section 165, is amended to read:

Sec. 165. ISTS PILOT PROGRAM.

The Pollution Control Agency shall, in conjunction with the association of
Minnesota counties, designate three cooperating counties with waterbodies listed as
impaired by fecal coliform bacteria, and within designated counties shall:

(1) by July 1, deleted text begin 2007 deleted text end new text begin 2008 new text end , complete an inventory of properties with individual
sewage treatment systems that are an imminent threat to public health or safety due to
surface water discharges of untreated sewage, and the inventory of properties may be
phased over the period of the pilot project; and

(2) require compliance under the applicable requirements of this section by May 1,
deleted text begin 2008 deleted text end new text begin 2009 new text end . The pollution control agency may utilize cooperative agreements with the
three pilot counties to meet the requirements of clauses (1) and (2).

Sec. 33. new text begin CONTINUITY.
new text end

new text begin (a) The Legislative Commission on Minnesota Resources shall continue to operate
until the full membership of the Legislative-Citizen Commission on Minnesota Resources
is appointed under section 22, but no later than August 15, 2006.
new text end

new text begin (b) The staff of the Legislative Commission on Minnesota Resources shall provide
administrative and professional services to the Legislative-Citizen Commission on
Minnesota Resources, as provided in Minnesota Statutes, section 15.039, subdivision 7.
new text end

Sec. 34. new text begin TRANSITION PROVISIONS FOR LEGISLATIVE MEMBERS.
new text end

new text begin Legislative members initially appointed to the Legislative-Citizen Commission on
Minnesota Resources serve through January 2, 2007, or for those who are still legislators
in January 2007, until their successors are appointed.
new text end

Sec. 35. new text begin LOWER MINNESOTA RIVER WATERSHED DISTRICT;
AUTHORITY TO ACQUIRE, MAINTAIN, OPERATE, IMPROVE, AND
ENLARGE DREDGE MATERIAL SITE.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin The definitions in this subdivision apply to this section:
new text end

new text begin (1) "district" means the Lower Minnesota River Watershed District, a district
established under Minnesota Statutes, chapter 103D;
new text end

new text begin (2) "governing body" means the managers of the district as defined in Minnesota
Statutes, section 103D.011, subdivision 15; and
new text end

new text begin (3) "dredge material site" means a site at which public agencies or private customers
may deposit material from dredging activities conducted on the Minnesota River.
new text end

new text begin Subd. 2. new text end

new text begin Authorization; authority to own and operate. new text end

new text begin The district may own
and operate a dredge material site for its own needs, the needs of other public agencies,
the needs of private customers, or any combination of these. The district may acquire,
construct, and install all facilities needed for that purpose and may lease, purchase, or
acquire by exercise of the power of eminent domain any existing properties so needed.
The district may sell the dredge material to any person or entity. If the governing body
determines that the dredge material has no value, the district may convey the dredge
material for no consideration to any person or entity. The district may hire all personnel
the governing body deems necessary and may make all necessary rules and regulations for
the operation and maintenance of the dredge material site.
new text end

new text begin Subd. 3. new text end

new text begin Charges; net revenues. new text end

new text begin (a) To pay for the acquisition, maintenance,
operation, improvement, and enlargement of the dredge material site and to obtain and
comply with permits required by law for the dredge material site, the governing body may
impose charges for permitting private customers to deposit dredge material at the dredge
material site and make contracts for the charges as provided in this section.
new text end

new text begin (b) The amount of the charges imposed shall be established at the discretion of the
governing body. In determining the amount of the charges to be imposed, the governing
body may give consideration to all costs of the operation and maintenance of the dredge
material site, the costs of depreciation and replacement of structures and equipment, the
costs of improvements and enlargements, the cost of reimbursing the district for special
assessment revenues expended for the benefit of persons or entities not subject to special
assessment levies by the district, the amount of the principal and interest to become due
on obligations issued or to be issued, the costs of obtaining and complying with permits
required by law, the price charged for similar services by other providers of dredge
material sites in similar markets, and all other factors the governing body deems relevant.
new text end

new text begin (c) At its discretion, the governing body may impose a surcharge on private
customers using the dredge material site in addition to the charges allowed under
paragraph (a). The surcharge shall be for the purpose of paying for the removal of dredge
material from the dredging site if the governing body determines it necessary. If the
governing body later determines that there is no need to pay for the removal of the dredge
material from the dredge material site, the governing body shall rebate all surcharges
paid by private customers.
new text end

Sec. 36. new text begin APPLICATION OF STORM WATER RULES TO COUNTIES.
new text end

new text begin Until the Pollution Control Agency storm water rules are amended, the provisions of
Minnesota Rules, part 7090.1010, subpart 1, item B, subitems (2) and (3), only, shall not
apply to counties.
new text end

Sec. 37. new text begin TERRESTRIAL SEQUESTRATION; REPORT.
new text end

new text begin The commissioners of agriculture, commerce, natural resources, and the Pollution
Control Agency shall review the phase 1 report from the Minnesota Terrestrial Carbon
Sequestration Project and report to the Minnesota Environmental Quality Board and
the members of the house and senate committees with jurisdiction over agriculture,
energy, environment, and natural resource issues by June 30, 2007, on existing scientific
information on carbon stocks in Minnesota's major ecosystems, the economics of various
carbon enhancing practices, and alternative carbon trading systems and their potential
application in Minnesota.
new text end

Sec. 38. new text begin GREENHOUSE GAS EMISSIONS; REPORT.
new text end

new text begin The Pollution Control Agency, in collaboration with the Minnesota Clean Energy
Environment Partnership, shall report to the Minnesota Environmental Quality Board and
the members of the house and senate committees with jurisdiction over agriculture, energy,
environment, and natural resource issues by June 30, 2007, on strategies for mitigating,
reducing, and sequestering state greenhouse gas emissions.
new text end

Sec. 39. new text begin DISPOSITION OF LAND SALE RECEIPTS.
new text end

new text begin Notwithstanding Laws 2005, chapter 156, article 2, section 45, or any other law to
the contrary, during fiscal year 2006 and fiscal year 2007, all receipts from the sale of land
under the control of the commissioner of natural resources shall be credited according to
Minnesota Statutes, section 94.16.
new text end

Sec. 40. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall change the term "Legislative Commission on Minnesota
Resources" to "Legislative-Citizen Commission on Minnesota Resources" wherever it
appears in Minnesota Statutes and Minnesota Rules.
new text end

Sec. 41. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2004, sections 116P.02, subdivision 2; and 116P.06, new text end new text begin and new text end new text begin Laws
2005, First Special Session chapter 1, article 2, section 156, subdivision 2, new text end new text begin are repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2004, section 89.011, subdivisions 1, 2, 3, and 6, new text end new text begin are repealed.
new text end

Sec. 42. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1; 19 to 21; 22, subdivisions 1, 2, and 3; 23 to 31; 33; 34; 40; and 41,
paragraph (a), are effective June 1, 2006. Section 22, subdivision 1a, is effective the
day following final enactment.
new text end