1.1 	A bill for an act
1.2 	relating to natural resources; providing for condemnation of certain school 
1.3 	trust lands; authorizing issuance and sale of state bonds; appropriating money;
1.4 	proposing coding for new law in Minnesota Statutes, chapter 92.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. [92.83] CONDEMNATION OF SCHOOL TRUST LAND.
1.7 		Subdivision 1.Purpose. The purpose of this section is to extinguish the school trust 
1.8 	interest in school trust lands where long-term economic return is prohibited by designation 
1.9 	or policy while producing economic benefits for Minnesota's public schools. For the 
1.10 	purposes of satisfying the Minnesota Constitution, article XI, section 8, which limits the 
1.11 	sale of school trust lands to a public sale, the commissioner of natural resources shall 
1.12 	acquire school trust lands through condemnation, as provided in subdivision 2.
1.13 		Subd. 2.Commencement of condemnation proceedings. When the commissioner 
1.14 	of natural resources has determined sufficient money is available to acquire any of the 
1.15 	lands identified under section 84.027, subdivision 18, paragraph (c), the commissioner 
1.16 	shall proceed to extinguish the school trust interest by condemnation action. When 
1.17 	requested by the commissioner, the attorney general shall commence condemnation of 
1.18 	the identified school trust lands.
1.19 		Subd. 3.Payment. The portion of the payment of the award and judgment that 
1.20 	is for the value of the land shall be deposited into the permanent school fund. The 
1.21 	remainder of the award and judgment payment shall first be remitted for reimbursement 
1.22 	to the accounts from which expenses were paid, with any remainder deposited into the 
1.23 	permanent school fund.

2.1 	Sec. 2. SCHOOL TRUST LANDS.
 2.2 		Subdivision 1.Appropriation. $....... is appropriated from the bond proceeds fund 
2.3 	to the commissioner of natural resources for the purposes of section 1.
2.4 		Subd. 2.Bond sale. To provide the money appropriated in this section from the 
2.5 	bond proceeds fund, the commissioner of management and budget shall sell and issue 
2.6 	bonds of the state in an amount up to $....... in the manner, upon the terms, and with 
2.7 	the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
2.8 	Minnesota Constitution, article XI, sections 4 to 7.

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