Engrossments
Introduction		Posted on 03/18/2024

Section 1.

Minnesota Statutes 2022, section 15.99, subdivision 3, is amended to read:

Subd. 3.

Application; extensions.

(a) The time limit in subdivision 2 begins upon the
agency's receipt of a written request containing all information required by law or by a
previously adopted rule, ordinance, or policy of the agency, including the applicable
application fee. If an agency receives a written request that does not contain all required
information, the 60-day limit starts over only if the agency sends written notice within 15
business days of receipt of the request telling the requester what information is missing.

(b) If a request relating to zoning, septic systems, watershed district review, soil and
water conservation district review, or expansion of the metropolitan urban service area
requires the approval of more than one state agency in the executive branch, the 60-day
period in subdivision 2 begins to run for all executive branch agencies on the day a request
containing all required information is received by one state agency. The agency receiving
the request must forward copies to other state agencies whose approval is required.

(c) An agency response, including an approval with conditions, meets the 60-day time
limit if the agency can document that the response was sent within 60 days of receipt of the
written request. Failure to satisfy the conditions, if any, may be a basis to revoke or rescind
the approval by the agency and will not give rise to a claim that the 60-day limit was not
met.

(d) The time limit in subdivision 2 is extended if a state statute, federal law, or court
order requires a process to occur before the agency acts on the request, and the time periods
prescribed in the state statute, federal law, or court order make it impossible to act on the
request within 60 days. In cases described in this paragraph, the deadline is extended to 60
days after completion of the last process required in the applicable statute, law, or order.
Final approval of an agency receiving a request is not considered a process for purposes of
this paragraph.

(e) The time limit in subdivision 2 is extended if: (1) a request submitted to a state agency
requires prior approval of a federal agency; or (2) an application submitted to a city, county,
town, school district, metropolitan or regional entity, or other political subdivision requires
prior approval of a state or federal agency. In cases described in this paragraph, the deadline
for agency action is extended to 60 days after the required prior approval is granted.

(f) An agency may extend the time limit in subdivision 2 before the end of the initial
60-day period by providing written notice of the extension to the applicant. The notification
must state the reasons for the extension and its anticipated length, which may not exceed
60 days unless approved by the applicant.new text begin There may be no more than one extension under
this paragraph of any determination under sections 103G.221 to 103G.2375.
new text end

(g) An applicant may by written notice to the agency request an extension of the time
limit under this section.

Sec. 2.

new text begin [84.0265] ENVIRONMENTAL REVIEW AND PERMITTING;
COORDINATED PROJECT PLANS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin In this section, the following terms have the meanings given:
new text end

new text begin (1) "commissioner" means the commissioner of natural resources;
new text end

new text begin (2) "coordinated project plan" or "plan" means a plan to ensure that any required
environmental review and other required state agency actions are completed efficiently by
coordinating and establishing deadlines for all necessary state agency actions;
new text end

new text begin (3) "eligible project" means:
new text end

new text begin (i) a project that requires an environmental assessment worksheet or an environmental
impact statement under chapter 116D; or
new text end

new text begin (ii) a license, permit, certificate, certification, approval, compliance schedule, or other
authorization for which approval includes considerations to protect land, air, or water
resources and that:
new text end

new text begin (A) must be obtained from the commissioner before constructing or operating a facility
in the state; or
new text end

new text begin (B) will have a significant impact on regulatory requirements for constructing or operating
a facility; and
new text end

new text begin (4) "state agency" means an office, board, commission, authority, department, or other
agency of the executive branch of state government.
new text end

new text begin Subd. 2. new text end

new text begin State policy. new text end

new text begin It is the goal of the state to maximize the coordination,
effectiveness, transparency, and accountability of environmental review, environmental
permitting, and other critical regulatory actions for facilities in Minnesota.
new text end

new text begin Subd. 3. new text end

new text begin Early communication; identifying issues. new text end

new text begin (a) To the extent practicable, the
commissioner must establish and provide an expeditious process for a person requesting or
planning to request a coordinated project plan to confer with the commissioner, other state
agencies, and federal, Tribal, and local agencies and to obtain from those agencies
information about:
new text end

new text begin (1) the availability of any information and tools, including preapplication toolkits, to
facilitate early planning efforts;
new text end

new text begin (2) key issues of concern to each agency and to the public; and
new text end

new text begin (3) issues that must be addressed before an environmental review, permit action, or other
required action by a state agency can be completed.
new text end

new text begin (b) The commissioner and other state agencies must identify, as early as practicable,
any issues of concern regarding the potential environmental impacts related to an eligible
project, including any issues that could substantially delay or prevent a state agency from
completing agency decisions.
new text end

new text begin Subd. 4. new text end

new text begin Plan preparation; participating agencies. new text end

new text begin (a) A person who submits an
application for an eligible project to the commissioner may request that the commissioner
prepare a coordinated project plan to complete any required environmental review and other
agency actions for the eligible project. A plan may be incorporated into a memorandum of
understanding with other state and federal agencies and Tribes.
new text end

new text begin (b) Within 60 days of receiving a request under paragraph (a), the commissioner must
prepare a coordinated project plan in consultation with the requestor and other state agencies
identified under paragraph (c).
new text end

new text begin (c) Any state agency that has environmental review, permitting, or other regulatory
authority over the eligible project or that intends to comment on environmental review or
an application for the eligible project must participate in developing a coordinated project
plan.
new text end

new text begin Subd. 5. new text end

new text begin Plan contents; synchronization; updates. new text end

new text begin (a) A coordinated project plan must
include:
new text end

new text begin (1) a list of all state agencies with environmental review, permitting, or other regulatory
authority over the eligible project and an explanation of each agency's specific role and
responsibilities for actions under the coordinated project plan;
new text end

new text begin (2) plans and a schedule for any public and Tribal outreach and coordination; and
new text end

new text begin (3) a comprehensive schedule of deadlines by which all environmental reviews, permits,
and other state agency actions, including those at the federal level to the extent practicable,
must be completed. The deadlines established under this clause must include intermediate
and final completion deadlines for actions by each state agency and must be consistent with
subdivision 6.
new text end

new text begin (b) To the extent practicable under applicable law, the commissioner and participating
state agencies must synchronize state environmental review, permitting, and decision
processes listed in the coordinated project plan with any federal, local, or Tribal agency
responsible for conducting a review or authorization related to an eligible project to ensure
timely and efficient completion of environmental reviews and state agency decisions. To
the extent practicable, any synchronization plan must be included in a memorandum of
understanding with affected agencies.
new text end

new text begin (c) The commissioner must update a coordinated project plan quarterly.
new text end

new text begin Subd. 6. new text end

new text begin Required deadlines. new text end

new text begin (a) Deadlines established in a coordinated project plan
must comply with this subdivision.
new text end

new text begin (b) When an environmental assessment worksheet is prepared for an eligible project for
which an environmental impact statement is not mandatory under Minnesota Rules, chapter
4410, the decision on the need for an environmental impact statement must be made as
expeditiously as possible but no later than 18 months after the environmental assessment
worksheet is submitted.
new text end

new text begin (c) When an environmental impact statement is prepared for an eligible project, the
decision on the adequacy of the final environmental impact statement must be made as
expeditiously as possible but no later than three years after the data for the environmental
assessment worksheet is submitted.
new text end

new text begin (d) If the commissioner includes plan deadlines that are inconsistent with paragraphs
(b) and (c), then within 30 days of finalizing the plan, the commissioner must report to the
chairs and ranking minority members of the legislative committees and divisions with
jurisdiction over natural resources policy to explain how deadlines were established and
why the deadlines under paragraphs (b) and (c) are not attainable. The anticipated time
required to obtain a federal permit or decision may not serve as the sole basis for a decision
to deviate from the deadlines under paragraphs (b) and (c).
new text end

new text begin Subd. 7. new text end

new text begin Deadline compliance; modification. new text end

new text begin (a) A state agency that participates in
developing a coordinated project plan must comply with deadlines established in the plan.
If a participating state agency fails to meet a deadline established in a coordinated project
plan or anticipates failing to meet a deadline, the state agency must immediately notify the
commissioner to explain the reason for the failure or anticipated failure and to propose a
date for a modified deadline.
new text end

new text begin (b) The commissioner may modify a deadline established in a coordinated project plan
only if:
new text end

new text begin (1) the commissioner or state agency provides the person that requested the plan with a
written justification for the modification; and
new text end

new text begin (2) the commissioner and the state agency, after consultation with the person that
requested the plan, mutually agree on a different deadline.
new text end

new text begin (c) If the combined modifications to one or more deadlines established in a coordinated
project plan extend the initially anticipated final decision date for an eligible project
application by more than 20 percent, then within 30 days of the last modification, the
commissioner must report to the chairs and ranking minority members of the legislative
committees and divisions with jurisdiction over natural resources policy to explain the
reason the modifications are necessary. For purposes of calculating the percentage of time
that modifications have extended the anticipated final decision date, modifications made
necessary by reasons wholly outside the control of state agencies must not be considered.
new text end

new text begin Subd. 8. new text end

new text begin Annual report. new text end

new text begin The commissioner must annually submit to the chairs and
ranking minority members of the legislative committees and divisions with jurisdiction over
natural resources policy a report on progress toward required actions described in a
coordinated project plan until the required actions are completed or the requestor withdraws
the plan request.
new text end

new text begin Subd. 9. new text end

new text begin Relation to other law. new text end

new text begin Nothing in this section is to be construed to require an
act that conflicts with applicable federal law. Nothing in this section affects the specific
statutory obligations of a state agency to comply with criteria or standards of environmental
quality.
new text end

Sec. 3.

Minnesota Statutes 2022, section 116.03, subdivision 2b, is amended to read:

Subd. 2b.

Permitting efficiency.

(a) It is the goal of the state that environmental and
resource management permits be issued or denied within 90 days for tier 1 permits or 150
days for tier 2 permits following submission of a permit application. The commissioner of
the Pollution Control Agency deleted text begin shalldeleted text end new text begin mustnew text end establish management systems designed to achieve
the goal. For the purposes of this section, "tier 1 permits" are permits that do not require
individualized actions or public comment periods, and "tier 2 permits" are permits that
require individualized actions or public comment periods.

(b) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end prepare deleted text begin an annualdeleted text end new text begin semiannualnew text end permitting efficiency
deleted text begin reportdeleted text end new text begin reportsnew text end that deleted text begin includesdeleted text end new text begin includenew text end statistics on meeting thenew text begin tier 2new text end goal in paragraph (a) and
the criteria for tier 2 by permit categories. The deleted text begin report is duedeleted text end new text begin reports must be submitted to
the governor and to the chairs and ranking minority members of the house of representatives
and senate committees having jurisdiction over environment policy and finance by February
1 andnew text end August 1 each yearnew text begin and must be posted on the agency's websitenew text end . new text begin Each report must
include:
new text end

new text begin (1) new text end for new text begin each new text end permit deleted text begin applicationsdeleted text end new text begin applicationnew text end that deleted text begin havedeleted text end new text begin hasnew text end not met the goal, deleted text begin the report
must state the reasons for not meeting the goal. In stating the reasons for not meeting the
goal, the commissioner shall separately identify delaysdeleted text end new text begin an explanation of whether the delay
wasnew text end caused by the responsiveness of the proposer, deleted text begin lack of staff,deleted text end scientific or technical
disagreements, or the level of public engagementdeleted text begin . The report must specifydeleted text end new text begin ;
new text end

new text begin (2) for each permit that has not met the goal, new text end the number of days from initial submission
of the application to the day of determination that the application is completedeleted text begin . The report
must aggregatedeleted text end new text begin ;
new text end

new text begin (3) a summary ofnew text end the data for the deleted text begin yeardeleted text end new text begin reporting periodnew text end and deleted text begin assessdeleted text end new text begin an assessment ofnew text end
whether program or system changes are necessary to achieve the new text begin tier 2 new text end goaldeleted text begin . The report
must be posted on the agency's website and submitted to the governor and the chairs and
ranking minority members of the house of representatives and senate committees having
jurisdiction over environment policy and finance.deleted text end new text begin in paragraph (a); and
new text end

new text begin (4) a statement of the number of tier 2 permits completed within the reporting period
and, immediately following in parentheses, a statement of the percentage of total applications
received for that tier 2 permit category that the number represents, stated separately for
industrial and municipal permits.
new text end

(c) The commissioner deleted text begin shalldeleted text end new text begin mustnew text end allow electronic submission of environmental review
and permit documents to the agency.

(d) Within 30 business days of application for a permit subject to paragraph (a), the
commissioner of the Pollution Control Agency deleted text begin shalldeleted text end new text begin mustnew text end notify the permit applicant, in
writing, whether the application is complete or incomplete.new text begin If an application is missing
information, the commissioner must attempt to complete the application where practicable
by applying reasonable assumptions to supply the missing information and must include
that information in the application.new text end If the commissioner determines that an application is
incomplete, the notice to the applicant must enumerate all deficiencies, citing specific
provisions of the applicable rules and statutes, and advise the applicant on how the
deficiencies can be remedied.new text begin Submission by the applicant of additional information to
correct deficiencies does not restart the 30 business days allowed under this paragraph for
the agency to determine whether the application is complete or incomplete unless the
corrected application is more than 30 percent larger than the deficient application.new text end If the
commissioner determines that the application is complete, the notice must confirm the
application's tier 1 or tier 2 permit statusnew text begin and must inform the applicant of any missing
information that was supplied by the commissioner under this paragraphnew text end . If the commissioner
believes that a complete application for a tier 2 construction permit cannot be issued within
the 150-day goal, the commissioner must provide notice to the applicant with the
commissioner's notice that the application is complete and, upon request of the applicant,
provide the permit applicant with a schedule estimating when the agency will begin drafting
the permit and issue the public notice of the draft permit.new text begin Failure to meet the goal in paragraph
(a) for issuing a type 2 permit constitutes a final decision of the agency for purposes of
section 115.05, subdivision 11.new text end This paragraph does not apply to an application for a permit
that is subject to a grant or loan agreement under chapter 446A.

(e) For purposes of this subdivision, "permit professional" means an individual not
employed by the Pollution Control Agency who:

(1) has a professional license issued by the state of Minnesota in the subject area of the
permit;

(2) has at least ten years of experience in the subject area of the permit; and

(3) abides by the duty of candor applicable to employees of the Pollution Control Agency
under agency rules and complies with all applicable requirements under chapter 326.

(f) Upon the agency's request, an applicant relying on a permit professional must
participate in a meeting with the agency before submitting an application:

(1) at least two weeks prior to the preapplication meeting, the applicant must submit at
least the following:

(i) project description, including, but not limited to, scope of work, primary emissions
points, discharge outfalls, and water intake points;

(ii) location of the project, including county, municipality, and location on the site;

(iii) business schedule for project completion; and

(iv) other information requested by the agency at least four weeks prior to the scheduled
meeting; and

(2) during the preapplication meeting, the agency deleted text begin shalldeleted text end new text begin mustnew text end provide for the applicant
at least the following:

(i) an overview of the permit review program;

(ii) a determination of which specific application or applications will be necessary to
complete the project;

(iii) a statement notifying the applicant if the specific permit being sought requires a
mandatory public hearing or comment period;

(iv) a review of the timetable established in the permit review program for the specific
permit being sought; and

(v) a determination of what information must be included in the application, including
a description of any required modeling or testing.

(g) The applicant may select a permit professional to undertake the preparation of the
permit application and draft permit.

(h) If a preapplication meeting was held, the agency deleted text begin shalldeleted text end new text begin mustnew text end , within seven business
days of receipt of an application, notify the applicant and submitting permit professional
that the application is complete or is denied, specifying the deficiencies of the application.

(i) Upon receipt of notice that the application is complete, the permit professional deleted text begin shalldeleted text end new text begin
mustnew text end submit to the agency a timetable for submitting a draft permit. The permit professional
deleted text begin shalldeleted text end new text begin mustnew text end submit a draft permit on or before the date provided in the timetable. Within 60
days after the close of the public comment period, the commissioner deleted text begin shalldeleted text end new text begin mustnew text end notify the
applicant whether the permit can be issued.

(j) Nothing in this section shall be construed to modify:

(1) any requirement of law that is necessary to retain federal delegation to or assumption
by the state; or

(2) the authority to implement a federal law or program.

(k) The permit application and draft permit deleted text begin shalldeleted text end new text begin mustnew text end identify or include as an appendix
all studies and other sources of information used to substantiate the analysis contained in
the permit application and draft permit. The commissioner deleted text begin shalldeleted text end new text begin mustnew text end request additional
studies, if needed, and the permit applicant deleted text begin shalldeleted text end new text begin mustnew text end submit all additional studies and
information necessary for the commissioner to perform the commissioner's responsibility
to review, modify, and determine the completeness of the application and approve the draft
permit.

Sec. 4.

new text begin [116.035] ENVIRONMENTAL REVIEW AND PERMITTING;
COORDINATED PROJECT PLANS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin In this section, the following terms have the meanings given:
new text end

new text begin (1) "commissioner" means the commissioner of the Pollution Control Agency;
new text end

new text begin (2) "coordinated project plan" or "plan" means a plan to ensure that any required
environmental review and other required state agency actions are completed efficiently by
coordinating and establishing deadlines for all necessary state agency actions;
new text end

new text begin (3) "eligible project" means:
new text end

new text begin (i) a project that requires an environmental assessment worksheet or an environmental
impact statement under chapter 116D; or
new text end

new text begin (ii) a license, permit, certificate, certification, approval, compliance schedule, or other
authorization for which approval includes considerations to protect land, air, or water
resources and that:
new text end

new text begin (A) must be obtained from the commissioner before constructing or operating a facility
in the state; or
new text end

new text begin (B) will have a significant impact on regulatory requirements for constructing or operating
a facility; and
new text end

new text begin (4) "state agency" means an office, board, commission, authority, department, or other
agency of the executive branch of state government.
new text end

new text begin Subd. 2. new text end

new text begin State policy. new text end

new text begin It is the goal of the state to maximize the coordination,
effectiveness, transparency, and accountability of environmental review, environmental
permitting, and other critical regulatory actions for facilities in Minnesota.
new text end

new text begin Subd. 3. new text end

new text begin Early communication; identifying issues. new text end

new text begin (a) To the extent practicable, the
commissioner must establish and provide an expeditious process for a person requesting or
planning to request a coordinated project plan to confer with the commissioner, other state
agencies, and federal, Tribal, and local agencies and to obtain from those agencies
information about:
new text end

new text begin (1) the availability of any information and tools, including preapplication toolkits, to
facilitate early planning efforts;
new text end

new text begin (2) key issues of concern to each agency and to the public; and
new text end

new text begin (3) issues that must be addressed before an environmental review, permit action, or other
required action by a state agency can be completed.
new text end

new text begin (b) The commissioner and other state agencies must identify, as early as practicable,
any issues of concern regarding the potential environmental impacts related to an eligible
project, including any issues that could substantially delay or prevent a state agency from
completing agency decisions.
new text end

new text begin Subd. 4. new text end

new text begin Plan preparation; participating agencies. new text end

new text begin (a) A person who submits an
application for an eligible project to the commissioner may request that the commissioner
prepare a coordinated project plan to complete any required environmental review and other
agency actions for the eligible project. A plan may be incorporated into a memorandum of
understanding with other state and federal agencies and Tribes.
new text end

new text begin (b) Within 60 days of receiving a request under paragraph (a), the commissioner must
prepare a coordinated project plan in consultation with the requestor and other state agencies
identified under paragraph (c).
new text end

new text begin (c) Any state agency that has environmental review, permitting, or other regulatory
authority over the eligible project or that intends to comment on environmental review or
an application for the eligible project must participate in developing a coordinated project
plan.
new text end

new text begin Subd. 5. new text end

new text begin Plan contents; synchronization; updates. new text end

new text begin (a) A coordinated project plan must
include:
new text end

new text begin (1) a list of all state agencies with environmental review, permitting, or other regulatory
authority over the eligible project and an explanation of each agency's specific role and
responsibilities for actions under the coordinated project plan;
new text end

new text begin (2) plans and a schedule for any public and Tribal outreach and coordination; and
new text end

new text begin (3) a comprehensive schedule of deadlines by which all environmental reviews, permits,
and other state agency actions, including those at the federal level to the extent practicable,
must be completed. The deadlines established under this clause must include intermediate
and final completion deadlines for actions by each state agency and must be consistent with
subdivision 6.
new text end

new text begin (b) To the extent practicable under applicable law, the commissioner and participating
state agencies must synchronize state environmental review, permitting, and decision
processes listed in the coordinated project plan with any federal, local, or Tribal agency
responsible for conducting a review or authorization related to an eligible project to ensure
timely and efficient completion of environmental reviews and state agency decisions. To
the extent practicable, any synchronization plan must be included in a memorandum of
understanding with affected agencies.
new text end

new text begin (c) The commissioner must update a coordinated project plan quarterly.
new text end

new text begin Subd. 6. new text end

new text begin Required deadlines. new text end

new text begin (a) Deadlines established in a coordinated project plan
must comply with this subdivision.
new text end

new text begin (b) When an environmental assessment worksheet is prepared for an eligible project for
which an environmental impact statement is not mandatory under Minnesota Rules, chapter
4410, the decision on the need for an environmental impact statement must be made as
expeditiously as possible but no later than 18 months after the environmental assessment
worksheet is submitted.
new text end

new text begin (c) When an environmental impact statement is prepared for an eligible project, the
decision on the adequacy of the final environmental impact statement must be made as
expeditiously as possible but no later than three years after the data for the environmental
assessment worksheet is submitted.
new text end

new text begin (d) If the commissioner includes plan deadlines that are inconsistent with paragraphs
(b) and (c), then within 30 days of finalizing the plan, the commissioner must report to the
chairs and ranking minority members of the legislative committees and divisions with
jurisdiction over natural resources policy to explain how deadlines were established and
why the deadlines under paragraphs (b) and (c) are not attainable. The anticipated time
required to obtain a federal permit or decision may not serve as the sole basis for a decision
to deviate from the deadlines under paragraphs (b) and (c).
new text end

new text begin Subd. 7. new text end

new text begin Deadline compliance; modification. new text end

new text begin (a) A state agency that participates in
developing a coordinated project plan must comply with deadlines established in the plan.
If a participating state agency fails to meet a deadline established in a coordinated project
plan or anticipates failing to meet a deadline, the state agency must immediately notify the
commissioner to explain the reason for the failure or anticipated failure and to propose a
date for a modified deadline.
new text end

new text begin (b) The commissioner may modify a deadline established in a coordinated project plan
only if:
new text end

new text begin (1) the commissioner or state agency provides the person that requested the plan with a
written justification for the modification; and
new text end

new text begin (2) the commissioner and the state agency, after consultation with the person that
requested the plan, mutually agree on a different deadline.
new text end

new text begin (c) If the combined modifications to one or more deadlines established in a coordinated
project plan extend the initially anticipated final decision date for an eligible project
application by more than 20 percent, then within 30 days of the last modification, the
commissioner must report to the chairs and ranking minority members of the legislative
committees and divisions with jurisdiction over natural resources policy to explain the
reason the modifications are necessary. For purposes of calculating the percentage of time
that modifications have extended the anticipated final decision date, modifications made
necessary by reasons wholly outside the control of state agencies must not be considered.
new text end

new text begin Subd. 8. new text end

new text begin Annual report. new text end

new text begin The commissioner must annually submit to the chairs and
ranking minority members of the legislative committees and divisions with jurisdiction over
natural resources policy a report on progress toward required actions described in a
coordinated project plan until the required actions are completed or the requestor withdraws
the plan request.
new text end

new text begin Subd. 9. new text end

new text begin Relation to other law. new text end

new text begin Nothing in this section is to be construed to require an
act that conflicts with applicable federal law. Nothing in this section affects the specific
statutory obligations of a state agency to comply with criteria or standards of environmental
quality.
new text end

Sec. 5.

Minnesota Statutes 2023 Supplement, section 116.07, subdivision 4a, is amended
to read:

Subd. 4a.

Permits.

(a) The Pollution Control Agency may issue, continue in effect or
deny permits, under such conditions as it may prescribe for the prevention of pollution, for
the emission of air contaminants, or for the installation or operation of any emission facility,
air contaminant treatment facility, treatment facility, potential air contaminant storage
facility, or storage facility, or any part thereof, or for the sources or emissions of noise
pollution.new text begin The Pollution Control Agency must issue separate permits for constructing a
facility described in this paragraph and for its operation. The Pollution Control Agency
must issue these permits in a manner that minimizes the time required to construct and begin
operation of the permitted facility.
new text end

(b) The Pollution Control Agency may also issue, continue in effect or deny permits,
under such conditions as it may prescribe for the prevention of pollution, for the storage,
collection, transportation, processing, or disposal of waste, or for the installation or operation
of any system or facility, or any part thereof, related to the storage, collection, transportation,
processing, or disposal of waste.

(c) The agency may not issue a permit to a facility without analyzing and considering
the cumulative levels and effects of past and current environmental pollution from all sources
on the environment and residents of the geographic area within which the facility's emissions
are likely to be deposited, provided that the facility is located in a community in a city of
the first class in Hennepin County that meets all of the following conditions:

(1) is within a half mile of a site designated by the federal government as an EPA
superfund site due to residential arsenic contamination;

(2) a majority of the population are low-income persons of color and American Indians;

(3) a disproportionate percent of the children have childhood lead poisoning, asthma,
or other environmentally related health problems;

(4) is located in a city that has experienced numerous air quality alert days of dangerous
air quality for sensitive populations between February 2007 and February 2008; and

(5) is located near the junctions of several heavily trafficked state and county highways
and two one-way streets which carry both truck and auto traffic.

(d) The Pollution Control Agency may revoke or modify any permit issued under this
subdivision and section 116.081 whenever it is necessary, in the opinion of the agency, to
prevent or abate pollution.

(e) The Pollution Control Agency has the authority for approval over the siting, expansion,
or operation of a solid waste facility with regard to environmental issues. However, the
agency's issuance of a permit does not release the permittee from any liability, penalty, or
duty imposed by any applicable county ordinances. Nothing in this chapter precludes, or
shall be construed to preclude, a county from enforcing land use controls, regulations, and
ordinances existing at the time of the permit application and adopted pursuant to Minnesota
Statutes 2020, sections 366.10 to 366.181, or sections 394.21 to 394.37, or 462.351 to
462.365, with regard to the siting, expansion, or operation of a solid waste facility.

(f) Except as prohibited by federal law, a person may commence construction,
reconstruction, replacement, or modification of any facility prior to the issuance of a
construction permit by the agency.

Sec. 6.

Minnesota Statutes 2022, section 116.07, subdivision 4d, is amended to read:

Subd. 4d.

Permit fees.

(a) The agency may collect permit fees in amounts not greater
than those necessary to cover the reasonable costs of developing, reviewing, and acting
upon applications for agency permits and implementing and enforcing the conditions of the
permits pursuant to agency rules. Permit fees shall not include the costs of litigation. The
fee schedule must reflect reasonable and routine direct and indirect costs associated with
permitting, implementation, and enforcement. The agency may impose an additional
enforcement fee to be collected for a period of up to two years to cover the reasonable costs
of implementing and enforcing the conditions of a permit under the rules of the agency.
Any money collected under this paragraph shall be deposited in the environmental fund.

(b) Notwithstanding paragraph (a), the agency shall collect an annual fee from the owner
or operator of all stationary sources, emission facilities, emissions units, air contaminant
treatment facilities, treatment facilities, potential air contaminant storage facilities, or storage
facilities subject to a notification, permit, or license requirement under this chapter,
subchapters I and V of the federal Clean Air Act, United States Code, title 42, section 7401
et seq., or rules adopted thereunder. The annual fee shall be used to pay for all direct and
indirect reasonable costs, including legal costs, required to develop and administer the
notification, permit, or license program requirements of this chapter, subchapters I and V
of the federal Clean Air Act, United States Code, title 42, section 7401 et seq., or rules
adopted thereunder. Those costs include the reasonable costs of reviewing and acting upon
an application for a permit; implementing and enforcing statutes, rules, and the terms and
conditions of a permit; emissions, ambient, and deposition monitoring; preparing generally
applicable regulations; responding to federal guidance; modeling, analyses, and
demonstrations; preparing inventories and tracking emissions; and providing information
to the public about these activities.

(c) The agency shall set fees that:

(1) will result in the collection, in the aggregate, from the sources listed in paragraph
(b), of an amount not less than $25 per ton of each volatile organic compound; pollutant
regulated under United States Code, title 42, section 7411 or 7412 (section 111 or 112 of
the federal Clean Air Act); and each pollutant, except carbon monoxide, for which a national
primary ambient air quality standard has been promulgated;

(2) may result in the collection, in the aggregate, from the sources listed in paragraph
(b), of an amount not less than $25 per ton of each pollutant not listed in clause (1) that is
regulated under this chapter or air quality rules adopted under this chapter; and

(3) shall collect, in the aggregate, from the sources listed in paragraph (b), the amount
needed to match grant funds received by the state under United States Code, title 42, section
7405 (section 105 of the federal Clean Air Act).

The agency must not include in the calculation of the aggregate amount to be collected
under clauses (1) and (2) any amount in excess of 4,000 tons per year of each air pollutant
from a source. The increase in air permit fees to match federal grant funds shall be a surcharge
on existing fees. The commissioner may not collect the surcharge after the grant funds
become unavailable. In addition, the commissioner shall use nonfee funds to the extent
practical to match the grant funds so that the fee surcharge is minimized.

(d) To cover the reasonable costs described in paragraph (b), the agency shall provide
in the rules promulgated under paragraph (c) for an increase in the fee collected in each
year by the percentage, if any, by which the Consumer Price Index for the most recent
calendar year ending before the beginning of the year the fee is collected exceeds the
Consumer Price Index for the calendar year 1989. For purposes of this paragraph the
Consumer Price Index for any calendar year is the average of the Consumer Price Index for
all-urban consumers published by the United States Department of Labor, as of the close
of the 12-month period ending on August 31 of each calendar year. The revision of the
Consumer Price Index that is most consistent with the Consumer Price Index for calendar
year 1989 shall be used.

(e) Any money collected under paragraphs (b) to (d) must be deposited in the
environmental fund and must be used solely for the activities listed in paragraph (b).

(f) Permit applicants who wish to construct, reconstruct, or modify a project may deleted text begin offerdeleted text end new text begin
request expedited permitting under this paragraph. An applicant requesting expedited
permitting under this paragraph must agreenew text end to reimburse the agency for the costs of staff
time or consultant services needed to expedite the preapplication process and permit
development process through the final decision on the permit, including the analysis of
environmental review documents. The reimbursement deleted text begin shall bedeleted text end new text begin isnew text end in addition to permit
application fees imposed by law. deleted text begin When the agency determines that it needs additional
resources to develop the permit application in an expedited manner, and that expediting the
development is consistent with permitting program priorities, the agency may accept the
reimbursement.deleted text end The commissioner must give the applicant an estimate of new text begin the timeline and
new text end costs to be incurred by the commissioner. The estimate must include a brief description of
the tasks to be performed, a schedule for completing the tasks, and the estimated cost for
each task.new text begin If the applicant agrees to the estimated timeline and costs negotiated with the
commissioner,new text end the applicant and the commissioner must enter into a written agreement
deleted text begin detailing the estimated costs for the expedited permit decision-making process to be incurred
by the agencydeleted text end new text begin to proceed accordinglynew text end . The agreement must deleted text begin alsodeleted text end identify staff anticipated
to be assigned to the project.new text begin The agreement may provide that, if permitting is completed
ahead of the schedule set forth in the written agreement, the commissioner may retain any
fees that would have been due if the permitting had taken the time contemplated in the
written agreement. Fees retained by the commissioner under this paragraph are appropriated
to the commissioner to pay for administering the commissioner's permitting duties.new text end The
commissioner must not issue a permit until the applicant has paid all fees in full. The
commissioner must refund any unobligated balance of fees paid. Reimbursements accepted
by the agency are appropriated to the agency for the purpose of developing the permit or
analyzing environmental review documents. Reimbursement by a permit applicant shall
precede and not be contingent upon issuance of a permit; shall not affect the agency's decision
on whether to issue or deny a permit, what conditions are included in a permit, or the
application of state and federal statutes and rules governing permit determinations; and shall
not affect final decisions regarding environmental review.

(g) The fees under this subdivision are exempt from section 16A.1285.

Sec. 7.

Minnesota Statutes 2022, section 116D.04, subdivision 2a, is amended to read:

Subd. 2a.

When prepared.

(a) Where there is potential for significant environmental
effects resulting from any major governmental action, the action must be preceded by a
detailed environmental impact statement prepared by the responsible governmental unit.
The environmental impact statement must be an analytical rather than an encyclopedic
document that describes the proposed action in detail, analyzes its significant environmental
impacts, discusses appropriate alternatives to the proposed action and their impacts, and
explores methods by which adverse environmental impacts of an action could be mitigated.
The environmental impact statement must also analyze those economic, employment, and
sociological effects that cannot be avoided should the action be implemented. To ensure its
use in the decision-making process, the environmental impact statement must be prepared
as early as practical in the formulation of an action.

(b) The board deleted text begin shalldeleted text end new text begin mustnew text end by rule establish categories of actions for which environmental
impact statements and for which environmental assessment worksheets must be prepared
as well as categories of actions for which no environmental review is required under this
section. A mandatory environmental assessment worksheet is not required for the expansion
of an ethanol plant, as defined in section 41A.09, subdivision 2a, paragraph (b), or the
conversion of an ethanol plant to a biobutanol facility or the expansion of a biobutanol
facility as defined in section 41A.15, subdivision 2d, based on the capacity of the expanded
or converted facility to produce alcohol fuel, but must be required if the ethanol plant or
biobutanol facility meets or exceeds thresholds of other categories of actions for which
environmental assessment worksheets must be prepared. The responsible governmental unit
for an ethanol plant or biobutanol facility project for which an environmental assessment
worksheet is prepared is the state agency with the greatest responsibility for supervising or
approving the project as a whole.

(c) A mandatory environmental impact statement is not required for a facility or plant
located outside the seven-county metropolitan area that produces less than 125,000,000
gallons of ethanol, biobutanol, or cellulosic biofuel annually, or produces less than 400,000
tons of chemicals annually, if the facility or plant is: an ethanol plant, as defined in section
41A.09, subdivision 2a, paragraph (b); a biobutanol facility, as defined in section 41A.15,
subdivision 2d; or a cellulosic biofuel facility. A facility or plant that only uses a cellulosic
feedstock to produce chemical products for use by another facility as a feedstock is not
considered a fuel conversion facility as used in rules adopted under this chapter.

(d) The responsible governmental unit deleted text begin shalldeleted text end new text begin mustnew text end promptly publish notice of the
completion of an environmental assessment worksheet by publishing the notice in at least
one newspaper of general circulation in the geographic area where the project is proposed,
by posting the notice on a website that has been designated as the official publication site
for publication of proceedings, public notices, and summaries of a political subdivision in
which the project is proposed, or in any other manner determined by the board and deleted text begin shalldeleted text end new text begin
mustnew text end provide copies of the environmental assessment worksheet to the board and its member
agencies. Comments on the need for an environmental impact statement may be submitted
to the responsible governmental unit during a 30-day period following publication of the
notice that an environmental assessment worksheet has been completed. The responsible
governmental unit may extend the 30-day comment period for an additional 30 days one
time. Further extensions of the comment period may not be made unless approved by the
project's proposer. The responsible governmental unit's decision on the need for an
environmental impact statement must be based on the environmental assessment worksheet
and the comments received during the comment period, and must be made within 15 days
after the close of the comment period. The board's chair may extend the 15-day period by
not more than 15 additional days upon the request of the responsible governmental unit.

(e) An environmental assessment worksheet must also be prepared for a proposed action
whenever material evidence accompanying a petition by not less than 100 individuals who
reside or own property in deleted text begin the statedeleted text end new text begin a county where the proposed action will be undertaken
or in one or more adjoining countiesnew text end , submitted before the proposed project has received
final approval by the appropriate governmental units, demonstrates that, because of the
nature or location of a proposed action, there may be potential for significant environmental
effects. Petitions requesting the preparation of an environmental assessment worksheet must
be submitted to the board. The chair of the board deleted text begin shalldeleted text end new text begin mustnew text end determine the appropriate
responsible governmental unit and forward the petition to it. A decision on the need for an
environmental assessment worksheet must be made by the responsible governmental unit
within 15 days after the petition is received by the responsible governmental unit. The
board's chair may extend the 15-day period by not more than 15 additional days upon request
of the responsible governmental unit.

(f) Except in an environmentally sensitive location where Minnesota Rules, part
4410.4300, subpart 29, item B, applies, the proposed action is exempt from environmental
review under this chapter and rules of the board, if:

(1) the proposed action is:

(i) an animal feedlot facility with a capacity of less than 1,000 animal units; or

(ii) an expansion of an existing animal feedlot facility with a total cumulative capacity
of less than 1,000 animal units;

(2) the application for the animal feedlot facility includes a written commitment by the
proposer to design, construct, and operate the facility in full compliance with Pollution
Control Agency feedlot rules; and

(3) the county board holds a public meeting for citizen input at least ten business days
before the Pollution Control Agency or county issuing a feedlot permit for the animal feedlot
facility unless another public meeting for citizen input has been held with regard to the
feedlot facility to be permitted. The exemption in this paragraph is in addition to other
exemptions provided under other law and rules of the board.

(g) The board may, before final approval of a proposed project, require preparation of
an environmental assessment worksheet by a responsible governmental unit selected by the
board for any action where environmental review under this section has not been specifically
provided for by rule or otherwise initiated.

(h) An early and open process must be used to limit the scope of the environmental
impact statement to a discussion of those impacts that, because of the nature or location of
the project, have the potential for significant environmental effects. The same process must
be used to determine the form, content, and level of detail of the statement as well as the
alternatives that are appropriate for consideration in the statement. In addition, the permits
that will be required for the proposed action must be identified during the scoping process.
Further, the process must identify those permits for which information will be developed
concurrently with the environmental impact statement. The board deleted text begin shalldeleted text end new text begin mustnew text end provide in its
rules for the expeditious completion of the scoping process. The determinations reached in
the process must be incorporated into the order requiring the preparation of an environmental
impact statement.

(i) The responsible governmental unit deleted text begin shalldeleted text end new text begin mustnew text end , to the extent practicable, avoid
duplication and ensure coordination between state and federal environmental review and
between environmental review and environmental permitting. Whenever practical,
information needed by a governmental unit for making final decisions on permits or other
actions required for a proposed project must be developed in conjunction with the preparation
of an environmental impact statement. When an environmental impact statement is prepared
for a project requiring multiple permits for which two or more agencies' decision processes
include either mandatory or discretionary hearings before a hearing officer before the
agencies' decision on the permit, the agencies may, notwithstanding any law or rule to the
contrary, conduct the hearings in a single consolidated hearing process if requested by the
proposer. All agencies having jurisdiction over a permit that is included in the consolidated
hearing deleted text begin shalldeleted text end new text begin mustnew text end participate. The responsible governmental unit deleted text begin shalldeleted text end new text begin mustnew text end establish
appropriate procedures for the consolidated hearing process, including procedures to ensure
that the consolidated hearing process is consistent with the applicable requirements for each
permit regarding the rights and duties of parties to the hearing, and deleted text begin shalldeleted text end new text begin mustnew text end use the earliest
applicable hearing procedure to initiate the hearing. All agencies having jurisdiction over
a permit identified in the draft environmental assessment worksheet scoping document must
begin reviewing any permit application upon publication of the notice of preparation of the
environmental impact statement.

(j) An environmental impact statement must be prepared and its adequacy determined
within 280 days after notice of its preparation unless the time is extended by consent of the
parties or by the governor for good cause. The responsible governmental unit deleted text begin shalldeleted text end new text begin mustnew text end
determine the adequacy of an environmental impact statement, unless within 60 days after
notice is published that an environmental impact statement will be prepared, the board
chooses to determine the adequacy of an environmental impact statement. If an environmental
impact statement is found to be inadequate, the responsible governmental unit has 60 days
to prepare an adequate environmental impact statement.

(k) The proposer of a specific action may include in the information submitted to the
responsible governmental unit a preliminary draft environmental impact statement under
this section on that action for review, modification, and determination of completeness and
adequacy by the responsible governmental unit. A preliminary draft environmental impact
statement prepared by the project proposer and submitted to the responsible governmental
unit must identify or include as an appendix all studies and other sources of information
used to substantiate the analysis contained in the preliminary draft environmental impact
statement. The responsible governmental unit deleted text begin shalldeleted text end new text begin mustnew text end require additional studies, if needed,
and obtain from the project proposer all additional studies and information necessary for
the responsible governmental unit to perform its responsibility to review, modify, and
determine the completeness and adequacy of the environmental impact statement.

new text begin (l) If an environmental or resource management permit is not issued or denied within
the applicable period described in paragraph (a), the commissioner must immediately begin
review of the application and must take all steps necessary to issue the final permit, deny
the permit, or issue the public notice for the draft permit within 150 days of the expiration
of the applicable period described in paragraph (a). The commissioner may extend the period
for up to 60 days by issuing a written notice to the applicant stating the length of and reason
for the extension. Except as prohibited by federal law, after the applicable period expires,
any person may seek an order of the district court requiring the commissioner to immediately
take action on the permit application. A time limit under this paragraph may be extended
through written agreement between the commissioner and the applicant.
new text end

Sec. 8.

Minnesota Statutes 2022, section 116J.035, is amended by adding a subdivision
to read:

new text begin Subd. 9. new text end

new text begin Ombudsman for business permitting. new text end

new text begin (a) The commissioner of employment
and economic development must appoint an ombudsman for business permitting to assist
businesses of all sizes with obtaining permits necessary to operate in the state. The
ombudsman's duties include but are not limited to:
new text end

new text begin (1) conducting independent evaluations of all aspects of permitting processes that affect
businesses in the state;
new text end

new text begin (2) monitoring, reviewing, and providing comments and recommendations to federal,
state, and local authorities on laws and regulations that impact businesses in the state;
new text end

new text begin (3) facilitating and promoting participation of businesses in developing laws and
regulations that affect businesses;
new text end

new text begin (4) providing reports to federal, state, and local authorities and the public on the
requirements of permitting laws and the laws' impact on businesses;
new text end

new text begin (5) disseminating information about proposed regulations and other information to
businesses and other interested parties;
new text end

new text begin (6) participating in and sponsoring meetings and conferences about business permitting
with state and local regulatory officials, industry groups, and business representatives;
new text end

new text begin (7) investigating and assisting in resolving complaints and disputes from businesses
against state or local authorities;
new text end

new text begin (8) operating a toll-free telephone line to provide free confidential help on
permitting-related problems and grievances;
new text end

new text begin (9) establishing cooperative programs with trade associations and small businesses to
promote and achieve voluntary compliance with applicable laws and regulations;
new text end

new text begin (10) establishing cooperative programs with federal, state, and local governmental entities
and the private sector to assist businesses in securing sources of funding to comply with
federal, state, and local permitting laws and regulations;
new text end

new text begin (11) conducting studies to evaluate the impacts of federal and state permitting laws and
regulations on the state's economy, local economies, and businesses; and
new text end

new text begin (12) coordinating with Minnesota Business First Stop, the ombudsman for small business
air-quality compliance assistance, and other relevant state officials.
new text end

new text begin (b) In carrying out the duties imposed by this subdivision, the ombudsman may act
independently of any agency in providing testimony to the legislature, contacting and making
periodic reports to federal and state officials as necessary to carry out the duties imposed
by this subdivision, and addressing problems or concerns related to business permitting.
new text end

new text begin (c) The ombudsman must be knowledgeable about federal and state business permitting
laws and regulations and federal and state legislative and regulatory processes. The
ombudsman must be experienced in dealing with both private enterprise and governmental
entities, arbitration and negotiation, interpretation of laws and regulations, investigation,
record keeping, report writing, public speaking, and management.
new text end

new text begin (d) The commissioner of employment and economic development must provide the
ombudsman with the necessary office space, supplies, equipment, and clerical support to
effectively perform the duties imposed by this subdivision.
new text end

Sec. 9. new text begin SCOPING ENVIRONMENTAL ASSESSMENT WORKSHEET NOT
REQUIRED FOR PROJECTS THAT REQUIRE A MANDATORY
ENVIRONMENTAL IMPACT STATEMENT.
new text end

new text begin (a) The Environmental Quality Board must amend Minnesota Rules, part 4410.2100, as
follows:
new text end

new text begin (1) to provide that neither an environmental assessment worksheet nor any other scoping
document needs to be prepared for a project that falls within a mandatory environmental
impact statement category under Minnesota Rules, part 4410.4400, or other applicable law;
and
new text end

new text begin (2) to provide that a scoping process undertaken under Minnesota Rules, part 4410.2100,
must be completed no later than 280 days after the process begins.
new text end

new text begin (b) The board may use the good-cause exemption under Minnesota Statutes, section
14.388, subdivision 1, clause (3), to adopt rules under this section, and Minnesota Statutes,
section 14.386, does not apply except as provided under Minnesota Statutes, section 14.388.
new text end

Sec. 10. new text begin STATE IMPLEMENTATION PLAN REVISIONS.
new text end

new text begin (a) The commissioner of the Pollution Control Agency must seek approval from the
federal Environmental Protection Agency for revisions to the state's federal Clean Air Act
state implementation plan to reflect the requirements of Minnesota Statutes, section 116.07,
subdivision 4a, as amended by this act.
new text end

new text begin (b) The commissioner of the Pollution Control Agency must report quarterly to the chairs
and ranking minority members of the house of representatives and senate committees and
divisions with jurisdiction over environment and natural resources policy on the status of
efforts to implement paragraph (a) until the revisions required by paragraph (a) have been
either approved or denied.
new text end

HF 5011

Bill Text Versions

Current Version - as introduced

Section 1.

Subd. 3.

Application; extensions.

Sec. 2.

new text begin [84.0265] ENVIRONMENTAL REVIEW AND PERMITTING; COORDINATED PROJECT PLANS. new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin Subd. 2. new text end

new text begin State policy. new text end

new text begin Subd. 3. new text end

new text begin Early communication; identifying issues. new text end

new text begin Subd. 4. new text end

new text begin Plan preparation; participating agencies. new text end

new text begin Subd. 5. new text end

new text begin Plan contents; synchronization; updates. new text end

new text begin Subd. 6. new text end

new text begin Required deadlines. new text end

new text begin Subd. 7. new text end

new text begin Deadline compliance; modification. new text end

new text begin Subd. 8. new text end

new text begin Annual report. new text end

new text begin Subd. 9. new text end

new text begin Relation to other law. new text end

Sec. 3.

Subd. 2b.

Permitting efficiency.

Sec. 4.

new text begin [116.035] ENVIRONMENTAL REVIEW AND PERMITTING; COORDINATED PROJECT PLANS. new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin Subd. 2. new text end

new text begin State policy. new text end

new text begin Subd. 3. new text end

new text begin Early communication; identifying issues. new text end

new text begin Subd. 4. new text end

new text begin Plan preparation; participating agencies. new text end

new text begin Subd. 5. new text end

new text begin Plan contents; synchronization; updates. new text end

new text begin Subd. 6. new text end

new text begin Required deadlines. new text end

new text begin Subd. 7. new text end

new text begin Deadline compliance; modification. new text end

new text begin Subd. 8. new text end

new text begin Annual report. new text end

new text begin Subd. 9. new text end

new text begin Relation to other law. new text end

Sec. 5.

Subd. 4a.

Permits.

Sec. 6.

Subd. 4d.

Permit fees.

Sec. 7.

Subd. 2a.

When prepared.

Sec. 8.

new text begin Subd. 9. new text end

new text begin Ombudsman for business permitting. new text end

Sec. 9. new text begin SCOPING ENVIRONMENTAL ASSESSMENT WORKSHEET NOT REQUIRED FOR PROJECTS THAT REQUIRE A MANDATORY ENVIRONMENTAL IMPACT STATEMENT.new text end

Sec. 10. new text begin STATE IMPLEMENTATION PLAN REVISIONS.new text end

new text begin [84.0265] ENVIRONMENTAL REVIEW AND PERMITTING;
COORDINATED PROJECT PLANS.
new text end

new text begin [116.035] ENVIRONMENTAL REVIEW AND PERMITTING;
COORDINATED PROJECT PLANS.
new text end

Sec. 9. new text begin SCOPING ENVIRONMENTAL ASSESSMENT WORKSHEET NOT
REQUIRED FOR PROJECTS THAT REQUIRE A MANDATORY
ENVIRONMENTAL IMPACT STATEMENT.
new text end

Sec. 10. new text begin STATE IMPLEMENTATION PLAN REVISIONS.
new text end