Engrossments
Introduction		Posted on 04/28/2005
1st Engrossment		Posted on 04/29/2005
2nd Engrossment		Posted on 05/03/2005

ARTICLE 1

ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE

Section 1. ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE
APPROPRIATIONS.

The sums in the columns marked "APPROPRIATIONS" are added
to, or if shown in parentheses, are subtracted from the
appropriations to the specific agencies in 2005 S.F. No. 1879,
article 6, if enacted. The appropriations are from the general
fund, unless another fund is named, and are available for the
fiscal year indicated for each purpose. The figures "2006" and
"2007," where used in this article, mean that the appropriation
or appropriations listed under them are available for the year
ending June 30, 2006, or June 30, 2007, respectively. The term
"the first year" means the year ending June 30, 2006, and the
term "the second year" means the year ending June 30, 2007. The
biennium is fiscal years 2006 and 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ (77,000)$ (845,000)$ (922,000)

Environmental 8,832,000 9,139,000 17,971,000

Natural
Resources 9,741,000 8,255,000 17,996,000

Game and Fish 3,262,000 3,111,000 6,373,000

Great Lakes
Protection 28,000 -0- 28,000

Environment and
Natural Resources 18,829,000 18,829,000 37,658,000

Remediation 35,000 35,000 70,000

Bond Proceeds 18,000,000 -0- 18,000,000

Permanent School 50,000 50,000 100,000

TOTAL $ 58,700,000 $ 38,574,000 $ 97,274,000

Sec. 2. POLLUTION CONTROL
AGENCY

Subdivision 1.

Total
Appropriation $6,428,000 $6,735,000

Summary by Fund

General (2,404,000) (2,404,000)

Environmental 8,832,000 9,139,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Water

6,296,000 6,296,000

Summary by Fund

General (2,004,000) (2,004,000)

Environmental 8,300,000 8,300,000

Subd. 3.

Air

532,000 839,000

Summary by Fund

Environmental 532,000 839,000

Subd. 4.

Land

$8,300,000 each year is transferred
from the remediation fund to the
environmental fund. This is a onetime
transfer.

Of the money appropriated from the
remediation fund under Minnesota
Statutes, section 116.155, subdivision
2, $6,800,000 for the biennium must be
used for cleanup at Mankato Plating,
Gopher Oil, Whiteway Cleaners, Reserve
Mining, Valentine Clark, and old
unpermitted solid waste disposal
facilities.

Subd. 5.

Administrative Support

(400,000) (400,000)

Summary by Fund

General (400,000) (400,000)

By December 1, 2005, the commissioner
shall submit a report to the
Environment and Natural Resources
Policy and Finance Committees of the
house and senate that provides a
benchmarking matrix and analysis that
compares the environmental review and
permitting requirements for forest
products and mining industry projects
in Minnesota with requirements in other
states and countries. The matrix and
analysis must include an assessment of
whether the requirements in Minnesota
and other states and countries are more
strict, less strict, or equivalent to
requirements of the federal
Environmental Protection Agency and
requirements under the National
Environmental Policy Act.

Sec. 3. OFFICE OF ENVIRONMENTAL
ASSISTANCE

Notwithstanding Minnesota Statutes,
section 16B.37, the commissioner of
administration shall not issue a
reorganization order affecting the
Office of Environmental Assistance or
direct work by the office for another
agency before July 1, 2007. The
director of the Office of Environmental
Assistance shall not enter into or
continue any memorandum of
understanding or other agreement that
directs work by the office for another
agency before July 1, 2007.

Sec. 4. ZOOLOGICAL BOARD 8,000 10,000

Summary by Fund

Natural Resources 8,000 10,000

$8,000 the first year and $10,000 the
second year are from the natural
resources fund. This appropriation is
from the revenue deposited in the
natural resources fund under Minnesota
Statutes, section 297A.94, paragraph
(e), clause (5).

Sec. 5. NATURAL RESOURCES

Subdivision 1.

Total
Appropriation 9,289,000 8,189,000

Summary by Fund

General (1,861,000) (2,836,000)

Natural Resources 7,838,000 7,864,000

Game and Fish 3,262,000 3,111,000

Permanent School 50,000 50,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Land and Mineral Resources
Management

737,000 487,000

Summary by Fund

General 593,000 343,000

Natural Resources 20,000 20,000

Game and Fish 74,000 74,000

Permanent School 50,000 50,000

$50,000 the first year and $50,000 the
second year are from the state forest
suspense account in the permanent
school fund to identify, evaluate, and
lease construction aggregate located on
school trust lands.

$250,000 the first year is for a grant
to the Board of Regents of the
University of Minnesota to drill a
5,000 foot core sampling bore hole at
the Tower-Soudan mine complex in
support of a National Science
Foundation grant.

Subd. 3.

Water Resources Management

408,000 408,000

Summary by Fund

General 408,000 408,000

Subd. 4.

Forest Management

2,789,000 2,789,000

Summary by Fund

General (1,261,000) (1,261,000)

Natural Resources 3,800,000 3,800,000

Game and Fish 250,000 250,000

$3,800,000 the first year and
$3,800,000 the second year are from the
forest management investment account in
the natural resources fund for only the
purposes specified in Minnesota
Statutes, section 89.039, subdivision 2.

$200,000 the first year and $200,000
the second year are for grants to the
Natural Resources Research Institute
for silvicultural research to improve
the quality and quantity of timber
fiber. The appropriation must be
matched in the amount of $200,000 each
year, in cash or in-kind contributions,
from the forest products industry
members of the Minnesota Forest
Productivity Research Cooperative.

$250,000 the first year and $250,000
the second year are from the game and
fish fund to implement Ecological
Classification Systems (ECS) standards
on forested landscapes. This
appropriation is from revenue deposited
in the game and fish fund under
Minnesota Statutes, section 297A.94,
paragraph (e), clause (1).

Subd. 5.

Parks and Recreation
Management

3,764,000 3,836,000

Summary by Fund

General 3,518,000 3,518,000

Natural Resources 246,000 318,000

$246,000 the first year and $318,000
the second year are from the natural
resources fund for state park and
recreation area operations. This
appropriation is from the revenue
deposited to the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (2).

Subd. 6.

Trails and Waterways
Management

4,583,000 4,129,000

Summary by Fund

General 450,000 50,000

Natural Resources 3,726,000 3,676,000

Game and Fish 407,000 403,000

$500,000 the first year and $500,000
the second year are from the snowmobile
trails and enforcement account in the
natural resources fund for snowmobile
grants-in-aid. Any unencumbered
balance does not cancel at the end of
the first year and is available for the
second year.

$500,000 in fiscal year 2006 and
$500,000 in fiscal year 2007 are
appropriated from the snowmobile trails
and enforcement account to the
commissioner of natural resources to
acquire easements for permanent
recreational snowmobile trails.

The commissioner must work with trail
providers to increase grooming rates
and maintenance reimbursements,
consistent with funding appropriated by
the legislature, for grants provided
under Minnesota Statutes, section 84.83.

$75,000 the first year is from the
all-terrain vehicle account in the
natural resources fund for a study to
determine the amount of gasoline used
each year by all-terrain vehicle riders
on public lands in the state. The
commissioners of natural resources,
revenue, and transportation shall
jointly determine the amount of
unrefunded gasoline tax attributable to
all-terrain vehicle use on public lands
in the state and shall report to the
legislature by March 1, 2006, with an
appropriate proposed revision to
Minnesota Statutes, section 296A.18.

With money appropriated from the
natural resources fund in S.F. No.
1879, article 6, section 5, subdivision
6, if enacted, the department shall
establish a boat launch and ramp at
Horseshoe Bay in Cook County, and
rehabilitate the historic fishing pier
on Dower Lake in Todd County.

$100,000 the first year is for a grant
to the Duluth Port Authority to
determine the cause of freshwater
corrosion of harbor sheet piling,
provided these state funds are matched
on a dollar-for-dollar basis by
nonstate funds.

$300,000 is for a grant to the St.
Louis and Lake Counties Regional
Railroad Authority to complete
constructing, furnishing, and equipping
Mesabi Station along the 132-mile
recreational trail known as Mesabi
Trail and located at the intersection
of U.S. Highway 53 and marked Trunk
Highway 37. This appropriation is
dependent upon a matching contribution
of $800,000 from other sources, public
or private.

The appropriation in Laws 2003, chapter
128, article 1, section 5, subdivision
6, from the water recreation account in
the natural resources fund for a
cooperative project with the United
States Army Corps of Engineers to
develop the Mississippi Whitewater Park
is available until June 30, 2007.

Subd. 7.

Fish and Wildlife Management

5,820,000 5,348,000

Summary by Fund

General 425,000 100,000

Natural Resources 348,000 348,000

Game and Fish 5,047,000 4,900,000

$150,000 the second year is a reduction
from the trout and salmon management
account for the purposes specified in
Minnesota Statutes, section 97A.075,
subdivision 3.

$983,000 the first year and $983,000
the second year are from the wildlife
acquisition surcharge account for only
the purposes specified in Minnesota
Statutes, section 97A.071, subdivision
2a.

$142,000 the first year and $142,000
the second year are from the deer
habitat improvement account for only
the purposes specified in Minnesota
Statutes, section 97A.075, subdivision
1, paragraph (b).

$65,000 the first year and $65,000 the
second year are from the deer and bear
management account for only the
purposes specified in Minnesota
Statutes, section 97A.075, subdivision
1, paragraph (c).

$35,000 the first year and $35,000 the
second year are a reduction from the
waterfowl habitat improvement account
for only the purposes specified in
Minnesota Statutes, section 97A.075,
subdivision 2.

$344,000 the first year and $344,000
the second year are from the pheasant
habitat improvement account for only
the purposes specified in Minnesota
Statutes, section 97A.075, subdivision
4.

$22,000 the first year and $22,000 the
second year are from the wild turkey
management account for only the
purposes specified in Minnesota
Statutes, section 97A.075, subdivision
5. Of this amount, $8,000 the first
year and $8,000 the second year are
appropriated from the game and fish
fund for transfer to the wild turkey
management account for purposes
specified in Minnesota Statutes,
section 97A.075, subdivision 5.

$675,000 the first year and $675,000
the second year are from the heritage
enhancement account in the game and
fish fund for only the purposes
specified in Minnesota Statutes,
section 297A.94, paragraph (e), clause
(1).

$100,000 the first year and $100,000
the second year are for coordination
and implementation of the roadsides for
wildlife program, including roadside
wildlife management training for road
managers and adjacent landowners,
development of local partnerships to
maximize roadside habitat benefits,
identification and cataloguing of
existing and needed technical
resources, and development of a
steering group to monitor the progress
of the program and identify and resolve
issues of concern for wildlife
management in roadsides.

$325,000 the first year is for a grant
to "Let's Go Fishing" of Minnesota to
promote opportunities for fishing.

Notwithstanding Minnesota Statutes,
section 16A.28, the appropriations
encumbered under contract on or before
June 30, 2007, for aquatic restoration
grants and wildlife habitat grants in
S.F. No. 1879, article 6, section 5,
subdivision 7, if enacted, are
available until June 30, 2008.

Subd. 8.

Ecological Services

889,000 889,000

Summary by Fund

General 75,000 75,000

Natural Resources 426,000 426,000

Game and Fish 388,000 388,000

Notwithstanding Minnesota Statutes,
section 290.431, $100,000 the first
year and $100,000 the second year from
the nongame wildlife management account
is for nongame information, education,
and promotion.

$325,000 the first year and $325,000
the second year are from the heritage
enhancement account in the game and
fish fund for only the purposes
specified in Minnesota Statutes,
section 297A.94, paragraph (e), clause
(1).

$370,000 the first year and $370,000
the second year are for a cost-share
program with local government, lake
associations, and conservation
organizations for aquatic invasive
species prevention and management
activities, including: (1) development
of prevention plans; (2) aquatic
invasive species surveys and
monitoring; (3) public education and
training programs; or (4) conducting
watercraft inspection programs. Of
this amount, $154,000 each year is from
the general fund and $216,000 each year
is from the heritage enhancement
account in the game and fish fund.

The general fund appropriation in this
subdivision includes a $250,000 per
year general fund reduction and a
$171,000 increase for operations
support reallocation.

Subd. 9.

Enforcement

735,000 735,000

Summary by Fund

General (240,000) (240,000)

Natural Resources 347,000 347,000

Game and Fish 628,000 628,000

$200,000 the first year and $200,000
the second year are from the natural
resources fund for off-highway vehicle
enforcement. Of this amount, $180,000
each year is from the all-terrain
vehicle account; $10,000 each year is
from the off-highway motorcycle
account; and $10,000 each year is from
the off-road vehicle account.

Subd. 10.

Operations Support

(10,436,000) (10,432,000)

Summary by Fund

General (5,829,000) (5,829,000)

Natural Resources (1,075,000) (1,071,000)

Game and Fish (3,532,000) (3,532,000)

$18,000 the first year and $22,000 the
second year are from the natural
resources fund for grants to be divided
equally between the city of St. Paul
for the Como Zoo and Conservatory and
the city of Duluth Zoo. This
appropriation is from the revenue
deposited to the natural resources fund
under Minnesota Statutes, section
297A.94, paragraph (e), clause (5).

The natural resources fund
appropriation in this subdivision
includes a reduction of $1,093,000 each
year for operations support
reallocation.

Any reduction in general fund
appropriations in S.F. No. 1879,
article 10, section 33, if enacted,
must be taken from administrative costs
of the central office in St. Paul.

Sec. 6. BOARD OF WATER AND
SOIL RESOURCES 194,000 85,000

$35,000 the first year and $35,000 the
second year are for grants to the
Minnesota River basin study area 2 for
administration and flood reduction
programs.

$109,000 the first year is for an
implementation assessment of public
drainage system buffers and their use,
maintenance, and benefits. The
assessment must be done in consultation
with farm groups, watershed districts,
soil and water conservation districts,
counties, and conservation
organizations, as well as federal
agencies implementing voluntary buffer
programs. The board shall report the
results to the senate and house of
representatives committees with
jurisdiction over drainage systems by
January 15, 2006.

$50,000 the first year and $50,000 the
second year are for beaver damage
control grants under new Minnesota
Statutes, section 103F.950.

The appropriations for grants in this
section are available until expended.
If an appropriation for grants in
either year is insufficient, the
appropriation in the other year is
available for it.

Sec. 7. METROPOLITAN COUNCIL 495,000 581,000

Summary by Fund

General 200,000 200,000

Natural Resources 295,000 381,000

$295,000 the first year and $381,000
the second year are from the natural
resources fund for metropolitan area
regional parks and trails maintenance
and operations. This appropriation is
from the revenue deposited in the
natural resources fund under Minnesota
Statutes, section 297A.94, paragraph
(e), clause (3).

Sec. 8. AGRICULTURE

Subdivision 1.

Total
Appropriation 21,373,000 3,687,000

Summary by Fund

General 3,338,000 3,652,000

Remediation 35,000 35,000

Bond Proceeds 18,000,000 -0-

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Protection Services

35,000 35,000

Summary by Fund

Remediation 35,000 35,000

Subd. 3.

Value-Added Agricultural Products

600,000 100,000

$500,000 in the first year is for
grants to gasoline service station
owners who, after the effective date of
this section, install pumps in this
state for dispensing E85 gasoline. The
commissioner may reimburse owners of
gasoline service stations for up to 50
percent of the total cost of installing
an E85 pump, including the tank and any
related components, up to a maximum of
$15,000 per E85 pump. The commissioner
shall grant priority for E85 pumps
installed in areas of the state where
gasoline service stations with E85
pumps are not reasonably available to
the general public. This appropriation
is available until spent.

$100,000 the first year and $100,000
the second year are for ethanol
combustion efficiency grants under
Minnesota Statutes, section 41A.09,
subdivision 9.

Subd. 4.

Administration and
Financial Assistance

20,738,000 3,552,000

Summary by Fund

General 2,738,000 3,552,000

Bond Proceeds 18,000,000 -0-

$85,000 is to conduct a study, in close
consultation with the commissioner of
transportation, of the feasibility and
desirability of constructing a rail
container load-out facility in or near
the city of Willmar or the city of
Clara City. The study must include an
estimate of the costs and benefits of a
facility to the city and region and to
the state transportation system. The
commissioner shall report to the
governor and legislature on the results
of the study by January 15, 2006.

$100,000 the first year and $100,000
the second year are for transfer to the
Board of Trustees of the Minnesota
State Colleges and Universities for
mental health counseling support to
farm families and business operators
through farm business management
programs at Central Lakes College and
Ridgewater College.

$35,000 the first year and $35,000 the
second year are for grants to the
Minnesota Horticultural Society.

$75,000 the first year and $75,000 the
second year are for annual grants to
the Northern Minnesota Forage-Turf Seed
Advisory Committee for basic and
applied research on the improved
production of forage and turf seed
related to new and improved varieties.
The grant recipient may subcontract
with a qualified third party for some
or all of the basic and applied
research.

$100,000 the first year and $100,000
the second year are to provide training
and technical assistance to county and
town officials relating to livestock
siting issues and local zoning and land
use planning including a checklist
template that would clarify the
federal, state, and local government
requirements for consideration of an
animal agriculture modernization or
expansion project. In developing the
training and technical assistance
program, the commissioner may seek
assistance from the local planning
assistance center of the Department of
Administration and shall seek guidance,
advice, and support of livestock
producer organizations, general
agricultural organizations, local
government associations, academic
institutions, other government
agencies, and others with expertise in
land use and agriculture.

$220,000 the first year is to contract
with the University of Minnesota for
further research and development of
livestock odor and air quality
management.

$325,000 the first year and $325,000
the second year are for grants to
Second Harvest Heartland on behalf of
Minnesota's six Second Harvest food
banks for the purchase of milk for
distribution to Minnesota's food
shelves and other charitable
organizations that are eligible to
receive food from the food banks. Milk
purchased under the grants must be
acquired from Minnesota milk processors
and based on low-cost bids. The milk
must be allocated to each Second
Harvest food bank serving Minnesota
according to the formula used in the
distribution of United States
Department of Agriculture commodities
under The Emergency Food Assistance
Program (TEFAP). Second Harvest
Heartland must submit quarterly reports
to the commissioner on forms prescribed
by the commissioner. The reports must
include, but are not limited to,
information on the expenditure of
funds, the amount of milk purchased,
and the organizations to which the milk
was distributed. Second Harvest
Heartland may enter into contracts or
agreements with food banks for shared
funding or reimbursement of the direct
purchase of milk. Each food bank
receiving money from this appropriation
may use up to two percent of the grant
for administrative expenses.

$18,000,000 is appropriated from the
bond proceeds fund for purposes as set
forth in the Minnesota Constitution,
article XI, section 5, clause (h), to
the Rural Finance Authority to purchase
participation interests in or to make
direct agricultural loans to farmers
under Minnesota Statutes, chapter 41B.
This appropriation is for the beginning
farmer program under Minnesota
Statutes, section 41B.039, the loan
restructuring program under Minnesota
Statutes, section 41B.04, the
seller-sponsored program under
Minnesota Statutes, section 41B.042,
the agricultural improvement loan
program under Minnesota Statutes,
section 41B.043, and the livestock
expansion loan program under Minnesota
Statutes, section 41B.045. All debt
service on bond proceeds used to
finance this appropriation must be
repaid by the Rural Finance Authority
under Minnesota Statutes, section
16A.643. Loan participations must be
priced to provide full interest and
principal coverage and a reserve for
potential losses. Priority for loans
must be given first to basic beginning
farmer loans; second, to
seller-sponsored loans; and third, to
agricultural improvement loans.

Sec. 9. BOND SALE

To provide the money appropriated in
this article from the bond proceeds
fund, the commissioner of finance shall
sell and issue bonds of the state in an
amount up to $18,000,000 in the manner,
upon the terms, and with the effect
prescribed by Minnesota Statutes,
sections 16A.631 to 16A.675, and by the
Minnesota Constitution, article XI,
sections 4 to 7.

Sec. 10. BOARD OF ANIMAL
HEALTH 456,000 458,000

$300,000 the first year and $300,000
the second year are for a grant to the
Veterinary Diagnostic Laboratory at the
University of Minnesota to expand
animal disease surveillance and to
protect animal agriculture and public
health. This appropriation is
available until June 30, 2007.

Sec. 11. MINNESOTA RESOURCES

Subdivision 1.

Total
Appropriation
20,457,000 18,829,000

Summary by Fund

State Land and Water Conservation
Account (LAWCON) 1,600,000 -0-

Environment and Natural Resources
Trust Fund 18,829,000 18,829,000

Great Lakes Protection
Account 28,000 -0-

Appropriations from the LAWCON account
and Great Lakes protection account are
available for either year of the
biennium.

For appropriations from the environment
and natural resources trust fund, any
unencumbered balance remaining in the
first year does not cancel and is
available for the second year of the
biennium. Unless otherwise provided,
the amounts in this section are
available until June 30, 2007, when
projects must be completed and final
products delivered.

Subd. 2. Definitions

(a) "State land and water conservation
account (LAWCON)" means the state land
and water conservation account in the
natural resources fund referred to in
Minnesota Statutes, section 116P.14.

(b) "Great Lakes protection account"
means the Great Lakes protection
account referred to in Minnesota
Statutes, section 116Q.02, subdivision
1.

(c) "Trust fund" means the Minnesota
environment and natural resources trust
fund referred to in Minnesota Statutes,
section 116P.02, subdivision 6.

Subd. 3.

Administration 524,000 525,000

Summary by Fund

Trust Fund 524,000 525,000

(a) Legislative Commission on Minnesota Resources

$449,000 the first year and $450,000
the second year are from the trust fund
for administration as provided in
Minnesota Statutes, section 116P.09,
subdivision 5.

(b) Contract Administration

$75,000 the first year and $75,000 the
second year are from the trust fund to
the commissioner of natural resources
for contract administration activities
assigned to the commissioner in this
section. This appropriation is
available until June 30, 2008.

Subd. 4.

Citizen Advisory Committee 10,000 10,000

Summary by Fund

Trust Fund 10,000 10,000

$10,000 the first year and $10,000 the
second year are from the trust fund to
the Legislative Commission on Minnesota
Resources for expenses of the citizen
advisory committee as provided in
Minnesota Statutes, section 116P.06.
Notwithstanding Minnesota Statutes,
section 16A.281, the availability of
$15,000 of the appropriation from Laws
2003, chapter 128, article 1, section
9, subdivision 4, advisory committee,
is extended to June 30, 2007.

Subd. 5.

Fish and Wildlife Habitat 5,038,000 5,038,000

Summary by Fund

Trust Fund 5,038,000 5,038,000

(a) Restoring Minnesota's Fish and Wildlife
Habitat Corridors-Phase III

$2,031,000 the first year and
$2,031,000 the second year are from the
trust fund to the commissioner of
natural resources for the third
biennium for acceleration of agency
programs and cooperative agreements
with Pheasants Forever, Minnesota Deer
Hunters Association, Ducks Unlimited,
Inc., National Wild Turkey Federation,
the Nature Conservancy, Minnesota Land
Trust, the Trust for Public Land,
Minnesota Valley National Wildlife
Refuge Trust, Inc., U.S. Fish and
Wildlife Service, Red Lake Band of
Chippewa, Leech Lake Band of Chippewa,
Fond du Lac Band of Chippewa,
USDA-Natural Resources Conservation
Service, and the Board of Water and
Soil Resources to plan, restore, and
acquire fragmented landscape corridors
that connect areas of quality habitat
to sustain fish, wildlife, and plants.
Expenditures are limited to the 11
project areas as defined in the work
program. Land acquired with this
appropriation must be sufficiently
improved to meet at least minimum
habitat and facility management
standards as determined by the
commissioner of natural resources.
This appropriation may not be used for
the purchase of residential structures,
unless expressly approved in the work
program. Any land acquired in fee
title by the commissioner of natural
resources with money from this
appropriation must be designated: (1)
as an outdoor recreation unit under
Minnesota Statutes, section 86A.07; or
(2) as provided in Minnesota Statutes,
sections 89.018, subdivision 2,
paragraph (a); 97A.101; 97A.125;
97C.001; and 97C.011. The commissioner
may similarly designate any lands
acquired in less than fee title. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(b) Metropolitan Area Wildlife
Corridors-Phase II

$1,765,000 the first year and
$1,765,000 the second year are from the
trust fund to the commissioner of
natural resources for the second
biennium for acceleration of agency
programs and cooperative agreements
with the Trust for Public Land, Ducks
Unlimited, Inc., Friends of the
Mississippi River, Great River
Greening, Minnesota Land Trust,
Minnesota Valley National Wildlife
Refuge Trust, Inc., Pheasants Forever,
Inc., and Friends of the Minnesota
Valley for the purposes of planning,
improving, and protecting important
natural areas in the metropolitan
region, as defined by Minnesota
Statutes, section 473.121, subdivision
2, and portions of the surrounding
counties, through grants, contracted
services, conservation easements, and
fee acquisition. Land acquired with
this appropriation must be sufficiently
improved to meet at least minimum
management standards as determined by
the commissioner of natural resources.
Expenditures are limited to the
identified project areas as defined in
the work program. This appropriation
may not be used for the purchase of
residential structures, unless
expressly approved in the work
program. Any land acquired in fee
title by the commissioner of natural
resources with money from this
appropriation must be designated: (1)
as an outdoor recreation unit under
Minnesota Statutes, section 86A.07; or
(2) as provided in Minnesota Statutes,
sections 89.018, subdivision 2,
paragraph (a); 97A.101; 97A.125;
97C.001; and 97C.011. The commissioner
may similarly designate any lands
acquired in less than fee title. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

$67,000 the first year and $67,000 the
second year are from the trust fund to
the commissioner of natural resources
to develop and enhance lands designated
as scientific and natural areas. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(d) Prairie Stewardship of Private Lands

$50,000 the first year and $50,000 the
second year are from the trust fund to
the commissioner of natural resources
to develop stewardship plans and
implement prairie management on private
prairie lands on a cost-share basis
with private or federal funds. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(e) Local Initiative Grants-Conservation
Partners and Environmental Partnerships

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources to provide matching grants of
up to $20,000 to local government and
private organizations for enhancement,
restoration, research, and education
associated with natural habitat and
environmental service projects.
Subdivision 16 applies to grants
awarded in the approved work program.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(f) Minnesota ReLeaf Community Forest
Development and Protection

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources for acceleration of the
agency program and a cooperative
agreement with Tree Trust to protect
forest resources, develop
inventory-based management plans, and
provide matching grants to communities
to plant native trees. At least
$390,000 of this appropriation must be
used for grants to communities. For
the purposes of this paragraph, the
match must be a nonstate contribution,
but may be either cash or qualifying
in-kind. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final projects delivered, unless an
earlier date is specified in the work
program.

(g) Integrated and Pheromonal Control of
Common Carp

$275,000 the first year and $275,000
the second year are from the trust fund
to the University of Minnesota for the
second biennium to research new options
for controlling common carp. This
appropriation is available until June
30, 2009, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(h) Biological Control of European Buckthorn
and Garlic Mustard

$100,000 the first year and $100,000
the second year are from the trust fund
to the commissioner of natural
resources to research potential insects
for biological control of invasive
European buckthorn species for the
second biennium and to introduce and
evaluate insects for biological control
of garlic mustard. This appropriation
is available until June 30, 2008, at
which time the project must be
completed and final products delivered,
unless an earlier date is specified in
the work program.

(i) Land Exchange Revolving Fund for
Aitkin, Cass, and Crow Wing Counties

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with Aitkin
County for a six-year revolving loan
fund to improve public and private land
ownership patterns, increase management
efficiency, and protect critical
habitat in Aitkin, Cass, and Crow Wing
Counties. By June 30, 2011, Aitkin
County shall repay the $500,000 to the
commissioner of finance for deposit in
the environment and natural resources
trust fund.

Subd. 6.

Recreation 7,160,000 5,559,000

Summary by Fund

Trust Fund 5,560,000 5,559,000

State Land and Water Conservation
Account (LAWCON) 1,600,000 -0-

(a) State Park and Recreation Area
Land Acquisition

$1,000,000 the first year and
$1,000,000 the second year are from the
trust fund to the commissioner of
natural resources to acquire
in-holdings for state park and
recreation areas. Land acquired with
this appropriation must be sufficiently
improved to meet at least minimum
management standards as determined by
the commissioner of natural resources.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(b) LAWCON Federal Reimbursements

$1,600,000 is from the State Land and
Water Conservation Account (LAWCON) in
the natural resources fund to the
commissioner of natural resources for
priorities established by the
commissioner for eligible state
projects and administrative and
planning activities consistent with
Minnesota Statutes, section 116P.14,
and the federal Land and Water
Conservation Fund Act. Subdivision 16
applies to grants awarded in the
approved work program. This
appropriation is contingent upon
receipt of the federal obligation and
remains available until June 30, 2008,
at which time the project must be
completed and final products delivered,
unless an earlier date is specified in
the work program.

$100,000 the first year and $100,000
the second year are from the trust fund
to the commissioner of natural
resources to enhance revenue generation
in the state's park and recreation
system.

(d) Best Management Practices for Parks
and Outdoor Recreation

$100,000 the first year and $100,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
Minnesota Recreation and Park
Association to develop and evaluate
opportunities to more efficiently
manage Minnesota's parks and outdoor
recreation areas.

(e) Metropolitan Regional Parks Acquisition,
Rehabilitation, and Development

$1,000,000 the first year and
$1,000,000 the second year are from the
trust fund to the Metropolitan Council
for subgrants for the acquisition,
development, and rehabilitation in the
metropolitan regional park system,
consistent with the Metropolitan
Council regional recreation open space
capital improvement plan. This
appropriation may not be used for the
purchase of residential structures, may
be used to reimburse implementing
agencies for acquisition as expressly
approved in the work program, and must
be matched by at least 40 percent of
nonstate money. Subdivision 16 applies
to grants awarded in the approved work
program. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program. If a project financed under
this program receives a federal grant
award, the availability of the
financing from this paragraph for that
project is extended to equal the period
of the federal grant.

(f) Gitchi-Gami State Trail

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources, in cooperation with the
Gitchi-Gami Trail Association, for the
fourth biennium, to design and
construct approximately two miles of
Gitchi-Gami State Trail segments. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered. If this project receives a
federal grant award, the availability
of the financing from this paragraph
for the project is extended to equal
the period of the federal grant.

(g) Casey Jones State Trail

$600,000 the first year and $600,000
the second year are from the trust fund
to the commissioner of natural
resources in cooperation with the
Friends of the Casey Jones Trail
Association for land acquisition and
development of the Casey Jones State
Trail in southwest Minnesota. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered. If this project receives a
federal grant award, the availability
of the financing from this paragraph
for the project is extended to equal
the period of the federal grant.

(h) Paul Bunyan State Trail Connection

$200,000 the first year and $200,000
the second year are from the trust fund
to the commissioner of natural
resources to acquire land to connect
the Paul Bunyan State Trail within the
city of Bemidji.

(i) Minnesota River Trail Planning

$100,000 the first year and $100,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
University of Minnesota to provide
trail planning assistance to three
communities along the Minnesota River
State Trail.

(j) Local Initiative Grants-Parks and Natural Areas

$600,000 the first year and $600,000
the second year are from the trust fund
to the commissioner of natural
resources to provide matching grants to
local governments for acquisition and
development of natural and scenic areas
and local parks as provided in
Minnesota Statutes, section 85.019,
subdivisions 2 and 4a, and regional
parks outside of the metropolitan
area. Grants may provide up to 50
percent of the nonfederal share of the
project cost, except nonmetropolitan
regional park grants may provide up to
60 percent of the nonfederal share of
the project cost. $500,000 of this
appropriation is for land acquisition
for a proposed county regional park on
Kraemer Lake in Stearns County. The
commission will monitor the grants for
approximate balance over extended
periods of time between the
metropolitan area, under Minnesota
Statutes, section 473.121, subdivision
2, and the nonmetropolitan area through
work program oversight and periodic
allocation decisions. For the purposes
of this paragraph, the match must be a
nonstate contribution, but may be
either cash or qualifying in-kind.
Recipients may receive funding for more
than one project in any given grant
period. Subdivision 16 applies to
grants awarded in the approved work
program. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered.

(k) Regional Park Planning for Nonmetropolitan
Urban Areas

$43,000 the first year and $43,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with the University of
Minnesota to develop a plan for a
system of regional recreation areas for
major outstate urban complexes in
Minnesota.

(l) Local and Regional Trail Grant Initiative Program

$350,000 the first year and $350,000
the second year are from the trust fund
to the commissioner of natural
resources to provide matching grants to
local units of government for the cost
of acquisition, development,
engineering services, and enhancement
of existing and new trail facilities.
Subdivision 16 applies to grants
awarded in the approved work program.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.
In addition, if a project financed
under this program receives a federal
grant award, the availability of the
financing from this paragraph for that
project is extended to equal the period
of the federal grant.

(m) Mesabi Trail

$500,000 the first year and $500,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with St.
Louis and Lake Counties Regional Rail
Authority for the seventh biennium to
acquire and develop segments for the
Mesabi Trail. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered. If this
project receives a federal grant award,
the availability of the financing from
this paragraph for the project is
extended to equal the period of the
federal grant.

(n) Cannon Valley Trail Belle Creek Bridge
Replacement

$150,000 the first year and $150,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
Cannon Valley Trail Joint Powers Board
for bridge replacement of the Belle
Creek Bridge on the Cannon Valley
Trail. This appropriation must be
matched by at least $44,000 of nonstate
money.

(o) Arrowhead Regional Bike Trail Connections Plan

$42,000 the first year and $41,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with the Arrowhead
Regional Development Commission to
analyze the Arrowhead's major bike
trails and plan new trail connections.

(p) Land Acquisition, Minnesota Landscape Arboretum

$325,000 the first year and $325,000
the second year are from the trust fund
to the University of Minnesota for an
agreement with the University of
Minnesota Landscape Arboretum
Foundation for the sixth biennium to
acquire land from willing sellers.
This appropriation must be matched by
an equal amount of nonstate money.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(q) Development and Rehabilitation of Minnesota
Shooting Ranges

$150,000 the first year and $150,000
the second year are from the trust fund
to the commissioner of natural
resources to provide technical
assistance and matching grants to local
communities and recreational shooting
and archery clubs for the purpose of
developing or rehabilitating shooting
and archery facilities for public use.
Recipient facilities must be open to
the general public at reasonable times
and for a reasonable fee on a walk-in
basis. This appropriation is available
until June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(r) Birding Maps

$50,000 the first year and $50,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with Audubon Minnesota
to create a new birding trail guide for
the North Shore/Arrowhead region and
reprint and distribute guides for three
existing birding trails.

Subd. 7.

Water Resources 3,027,000 3,000,000

Summary by Fund

Trust Fund 2,999,000 3,000,000

Great Lakes Protection
Account 28,000

(a) Local Water Management Matching Challenge Grants

$500,000 the first year and $500,000
the second year are from the trust fund
to the Board of Water and Soil
Resources to accelerate the local water
management challenge grant program
under Minnesota Statutes, sections
103B.3361 to 103B.3369, through
matching grants to implement high
priority activities in state-approved
comprehensive water management plans.
For the purposes of this paragraph, the
match must be a nonstate contribution,
but may be either cash or qualifying
in-kind. The grants may be provided on
an advance basis as specified in the
work program. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(b) Accelerating and Enhancing Surface Water
Monitoring for Lakes and Streams

$300,000 the first year and $300,000
the second year are from the trust fund
to the commissioner of the Pollution
Control Agency for acceleration of
agency programs and cooperative
agreements with the Minnesota Lakes
Association, Rivers Council of
Minnesota, and the University of
Minnesota to accelerate monitoring
efforts through assessments, citizen
training, and implementation grants.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

$150,000 the first year and $150,000
the second year are from the trust fund
to the Board of Water and Soil
Resources for a cooperative agreement
with the U.S. Geological Survey to
evaluate effects of retired or
set-aside agricultural lands on the
water quality and aquatic habitat of
streams in the Minnesota River Basin in
order to enhance prioritization of
future land retirements. This
appropriation must be matched by an
equal amount of nonstate money. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(d) Recycling Treated Municipal Wastewater for
Industrial Water Use

$150,000 the first year and $150,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
Metropolitan Council to determine the
feasibility of recycling treated
municipal wastewater for industrial
use, characterize industrial water
demand and quality, and determine the
costs to treat municipal wastewater to
meet specific industrial needs.

(e) Unwanted Hormone Therapy: Protecting Water
and Public Health

$150,000 the first year and $150,000
the second year are from the trust fund
to the University of Minnesota to
determine where behavior-altering
estrogenic compounds come from and how
they are distributed in wastewater
treatment plants. This appropriation
is available until June 30, 2008, at
which time the project must be
completed and final products delivered,
unless an earlier date is specified in
the work program.

(f) Climate Change Impacts on Minnesota's
Aquatic Resources

$125,000 the first year and $125,000
the second year are from the trust fund
to the University of Minnesota, Natural
Resources Research Institute, to
quantify climate, hydrologic, and
ecological variability and trends; and
identify indicators of future climate
change effects on aquatic systems.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(g) Green Roof Cost Share and Monitoring

$175,000 the first year and $175,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with Ramsey
Conservation District to install green,
vegetated roofs on four commercial or
industrial buildings in Roseville and
Falcon Heights and to monitor their
effectiveness for stormwater
management, flood reduction, water
quality, and energy efficiency. The
cost of the installations must be
matched by at least 50 percent nonstate
money.

(h) Woodchip Biofilter Treatment of Feedlot Runoff

$135,000 the first year and $135,000
the second year are from the trust fund
to the commissioner of natural
resources for agreements with Stearns
County Soil and Water Conservation
District and the University of
Minnesota to treat feedlot runoff with
woodchip biofilters to remove
pollutants and assess improvements to
surface water quality. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

(i) Improving Water Quality on the Central Sands

$294,000 the first year and $293,000
the second year are from the trust fund
to the commissioner of natural
resources for agreements with the
University of Minnesota and the Central
Lakes College Agricultural Center to
reduce nitrate and phosphorus losses to
groundwater and surface waters of sandy
ecoregions through the development,
promotion, and adoption of new farming
and land management practices and
techniques. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(j) Improving Impaired Watersheds: Conservation
Drainage Research

$150,000 the first year and $150,000
the second year are from the trust fund
to the commissioner of agriculture to
analyze conservation drainage systems
at University of Minnesota research and
outreach centers for opportunities to
retrofit drainage infrastructure with
water quality improvement
technologies. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(k) Hydrology, Habitat, and Energy Potential
of Mine Lakes

$188,000 the first year and $211,000
the second year are from the trust fund
to the commissioner of natural
resources for agency work and
agreements with Architectural
Resources, Inc., and Northeast
Technical Services, Inc., for a
coordinated effort of the Central Iron
Range Initiative to establish ultimate
mine water elevations, outflows, and
quality; design optimum future mineland
configurations for fish habitat and
lakeshore development; and evaluate
wind-pumped hydropower potential.
$62,000 the first year and $39,000 the
second year are from the trust fund to
the Minnesota Geological Survey at the
University of Minnesota to assess the
geology and mine pit morphometry.

(l) Hennepin County Beach Water Quality
Monitoring Project

$50,000 the first year and $50,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with Hennepin County
to develop a predictive model for
on-site determination of beach water
quality to prevent outbreaks of
waterborne illnesses and provide
related water safety outreach to the
public.

(m) Southwest Minnesota Floodwater Retention Projects

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with Area II
MN River Basin Projects, Inc., to
acquire easements and construct four
floodwater retention projects in the
Minnesota River Basin to improve water
quality and waterfowl habitat.

(n) Upgrades to Blue Heron Research Vessel

$28,000 is from the Great Lakes
protection account in the first year
and $133,000 the first year and
$134,000 the second year are from the
trust fund to the University of
Minnesota, Large Lakes Observatory, to
upgrade and overhaul the Blue Heron
Research Vessel.

(o) Bassett Creek Valley Channel Restoration

$87,000 the first year and $88,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with the city of
Minneapolis for design and engineering
activities for habitat restoration and
water quality and channel improvements
for Bassett Creek Valley.

(p) Restoration of Indian Lake

$100,000 the first year and $100,000
the second year are from the trust fund
to the commissioner of natural
resources for agreements with MN
Environmental Services and Bemidji
State University to demonstrate the
removal of excess nutrients from Indian
Lake in Wright County. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program, and is
contingent on all appropriate permits
being obtained.

Subd. 8.

Land Use and Natural Resource
Information 1,000,000 1,000,000

Summary by Fund

Trust Fund 1,000,000 1,000,000

(a) Minnesota County Biological Survey

$500,000 the first year and $500,000
the second year are from the trust fund
to the commissioner of natural
resources for the tenth biennium to
accelerate the survey that identifies
significant natural areas and
systematically collects and interprets
data on the distribution and ecology of
native plant communities, rare plants,
and rare animals.

(b) Soil Survey

$250,000 the first year and $250,000
the second year are from the trust fund
to the Board of Water and Soil
Resources to accelerate digitizing of
completed soil surveys for Web-based
user application and for agreements
with Pine and Crow Wing Counties to
begin soil surveys. The new soil
surveys must be done on a cost-share
basis with local and federal funds.
This appropriation is available until
June 30, 2008, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

$125,000 the first year and $125,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with
Hennepin County to develop GIS tools
for prioritizing natural areas for
protection and restoration and to
update and complete land cover
classification mapping.

(d) Open Space Planning and Protection

$125,000 the first year and $125,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with Anoka
Conservation District to protect open
space by identifying high priority
natural resource corridors through
planning, conservation easements, and
land dedication as part of development
processes.

Subd. 9.

Agriculture and Natural
Resource Industries 1,342,000 1,341,000

Summary by Fund

Trust Fund 1,342,000 1,341,000

(a) Completing Third-Party Certification
of DNR Forest Lands

$125,000 the first year and $125,000
the second year are from the trust fund
to the commissioner of natural
resources for third-party assessment
and certification of 4,470,000 acres of
DNR-administered lands under forest
sustainability standards established by
two internationally recognized forest
certification systems, the Forest
Stewardship Council system, and the
Sustainable Forestry Initiative system.

(b) Third-Party Certification of Private Woodlands

$188,000 the first year and $188,000
the second year are from the trust fund
to the University of Minnesota, Cloquet
Forestry Center, to pilot a third-party
certification assessment framework for
nonindustrial private forest owners.

$437,000 the first year and $437,000
the second year are from the trust fund
to the commissioner of natural
resources to develop stewardship plans
for private forested lands, implement
stewardship plans on a cost-share basis
and for conservation easements matching
federal funds. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(d) Evaluating Riparian Timber Harvesting
Guidelines: Phase 2

$167,000 the first year and $166,000
the second year are from the trust fund
to the University of Minnesota for a
second biennium to assess the timber
harvesting riparian management
guidelines for postharvest impacts on
terrestrial, aquatic, and wildlife
habitat. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(e) Third Crops for Water Quality-Phase 2

$250,000 the first year and $250,000
the second year are from the trust fund
to the commissioner of natural
resources for cooperative agreements
with Rural Advantage and the University
of Minnesota to accelerate adoption of
third crops to enhance water quality,
diversify cropping systems, supply
bioenergy, and provide wildlife habitat
through demonstration, research, and
education. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(f) Bioconversion of Potato Waste into
Marketable Biopolymers

$175,000 the first year and $175,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with Bemidji
State University to evaluate the
bioconversion of potato waste into
plant-based plastics. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

Subd. 10.

Energy 1,896,000 1,896,000

Summary by Fund

Trust Fund 1,896,000 1,896,000

(a) Clean Energy Resource Teams and Community Wind
Energy Rebate Program

$350,000 the first year and $350,000
the second year are from the trust fund
to the commissioner of commerce.
$300,000 of this appropriation is to
provide technical assistance to
implement cost-effective conservation,
energy efficiency, and renewable energy
projects. $400,000 of this
appropriation is to assist two
Minnesota communities in developing
locally owned wind energy projects by
offering financial assistance rebates.

(b) Planning for Economic Development
via Energy Independence

$120,000 the first year and $120,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
University of Minnesota-Duluth to
evaluate the socioeconomic benefits of
statewide and community renewable
energy production and distribution by
analyzing system installation,
technical capabilities,
cost-competitiveness, economic impacts,
and policy incentives.

$50,000 the first year and $50,000 the
second year are from the trust fund to
the commissioner of agriculture to
research the potential for a centrally
located, multifarm manure digester and
the potential use of compatible waste
streams with manure digesters.

(d) Dairy Farm Digesters

$168,000 the first year and $168,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
Minnesota Project for a pilot project
to evaluate anaerobic digester
technology on average size dairy farms
of 50 to 300 cows.

(e) Wind to Hydrogen Demonstration

$400,000 the first year and $400,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
University of Minnesota, West Central
Research and Outreach Center, to
develop a model community-scale
wind-to-hydrogen facility.

(f) Natural Gas Production from
Agricultural Biomass

$50,000 the first year and $50,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with Sebesta Blomberg
and Associates to demonstrate potential
natural gas yield using anaerobic
digestion of blends of chopped grasses
or crop residue with hog manure and
determine optimum operating conditions
for conversion to natural gas.

(g) Biomass-Derived Oils for Generating Electricity
and Reducing Emissions

$75,000 the first year and $75,000 the
second year are from the trust fund to
the University of Minnesota to evaluate
the environmental and performance
benefits of using renewable
biomass-derived oils, such as soybean
oil, for generating electricity.

(h) Phillips Biomass Community Energy System

$450,000 the first year and $450,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with
Phillips Community Energy Cooperative
to assist in the distribution system
equipment and construction costs for a
biomass district energy system. This
appropriation is contingent on all
appropriate permits being obtained and
a signed commitment of financing for
the biomass electrical generating
facility being in place.

(i) Laurentian Energy Authority Biomass Project

$233,000 the first year and $233,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with
Virginia Public Utility to lease land
and plant approximately 1,000 acres of
trees to support a proposed conversion
to a biomass power plant.

Subd. 11.

Environmental Education 360,000 360,000

Summary by Fund

Trust Fund 360,000 360,000

(a) Enhancing Civic Understanding of Groundwater

$75,000 the first year and $75,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with the Science
Museum of Minnesota to create
groundwater exhibits and a statewide
traveling groundwater classroom
program. This appropriation is
available until June 30, 2008, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(b) Cedar Creek Natural History Area Interpretive
Center and Restoration

$200,000 the first year and $200,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with the
University of Minnesota, Cedar Creek
Natural History Area, to restore 400
acres of savanna and prairie; construct
a Science Interpretive Center to
publicly demonstrate technologies for
energy efficiency; and create
interpretive trails. This
appropriation is available until June
30, 2008, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program.

$38,000 the first year and $37,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with Eco Education to
train high school students and teachers
on environmental problem solving.

(d) Tamarack Nature Center Exhibits

$47,000 the first year and $48,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with Ramsey County
Parks and Recreation Department to
develop interactive ecological exhibits
at Tamarack Nature Center.

Subd. 12.

Children's Environmental
Health 100,000 100,000

Summary by Fund

Trust Fund 100,000 100,000

Minnesota Children's Pesticide Exposure
Reduction Initiative

$100,000 the first year and $100,000
the second year are appropriated to the
commissioner of agriculture to reduce
children's pesticide exposure through
parent education on alternative pest
control methods and safe pesticide use.

Subd. 13.

Data Availability Requirements

(a) During the biennium ending June 30,
2007, data collected by the projects
funded under this section that have
value for planning and management of
natural resource, emergency
preparedness, and infrastructure
investments must conform to the
enterprise information architecture
developed by the Office of Technology.
Spatial data must conform to geographic
information system guidelines and
standards outlined in that architecture
and adopted by the Minnesota Geographic
Data Clearinghouse at the Land
Management Information Center. A
description of these data that adheres
to Office of Technology geographic
metadata standards must be submitted to
the Land Management Information Center
to be made available online through the
clearinghouse, and the data themselves
must be accessible and free to the
public unless made private under the
Data Practices Act, Minnesota Statutes,
chapter 13.

(b) To the extent practicable, summary
data and results of projects funded
under this section should be readily
accessible on the Internet and
identified as an environment and
natural resources trust fund project.

(c) As part of project expenditures,
recipients of land acquisition
appropriations must provide the
information necessary to update public
recreation information maps to the
Department of Natural Resources in the
form specified by the department.

Subd. 14.

Project Requirements

It is a condition of acceptance of the
appropriations in this section that any
agency or entity receiving the
appropriation must comply with
Minnesota Statutes, chapter 116P, and
vegetation planted must be native to
Minnesota and preferably of the local
ecotype unless the work program
approved by the commission expressly
allows the planting of species that are
not native to Minnesota. Bridges that
are constructed with appropriations
under this section must be made out of
iron, concrete, or wood.

Subd. 15.

Match Requirements

Unless specifically authorized,
appropriations in this section that
must be matched and for which the match
has not been committed by December 31,
2005, are canceled, and in-kind
contributions may not be counted as
matching funds.

Subd. 16.

Payment Conditions and Capital Equipment Expenditures

All agreements, grants, or contracts
referred to in this section must be
administered on a reimbursement basis
unless otherwise provided in this
section. Notwithstanding Minnesota
Statutes, section 16A.41, expenditures
made on or after July 1, 2005, or the
date the work program is approved,
whichever is later, are eligible for
reimbursement unless otherwise provided
in this section. Payment must be made
upon receiving documentation that
project-eligible, reimbursable dollar
amounts have been expended, except that
reasonable amounts may be advanced to
projects to accommodate cash flow needs
or match federal funds. The advances
must be approved as part of the work
program. No expenditures for capital
equipment are allowed unless expressly
authorized in the project work program.

Subd. 17.

Purchase of Recycled and Recyclable Materials

A political subdivision, public or
private corporation, or other entity
that receives an appropriation in this
section must use the appropriation in
compliance with Minnesota Statutes,
sections 16B.121 and 16B.122, requiring
the purchase of recycled, repairable,
and durable materials; the purchase of
uncoated paper stock; and the use of
soy-based ink, the same as if it were a
state agency.

Subd. 18.

Energy Conservation

A recipient to whom an appropriation is
made in this section for a capital
improvement project shall ensure that
the project complies with the
applicable energy conservation
standards contained in law, including
Minnesota Statutes, sections 216C.19
and 216C.20, and rules adopted
thereunder. The recipient may use the
energy planning, advocacy, and state
energy office units of the Department
of Commerce to obtain information and
technical assistance on energy
conservation and alternative energy
development relating to the planning
and construction of the capital
improvement project.

Subd. 19.

Accessibility

Structural and nonstructural facilities
must meet the design standards in the
Americans with Disability Act (ADA)
accessibility guidelines.

Sec. 12.

Minnesota Statutes 2004, section 16A.125,
subdivision 5, is amended to read:

Subd. 5.

Forest trust lands.

(a) The term "state forest
trust fund lands" as used in this subdivision, means public land
in trust under the Constitution set apart as "forest lands under
the authority of the commissioner" of natural resources as
defined by section 89.001, subdivision 13.

(b) The commissioner of finance shall credit the revenue
from the forest trust fund lands to the forest suspense
account. The account must specify the trust funds interested in
the lands and the respective receipts of the lands.

(c) After a fiscal year, the commissioner of finance shall
certify the total costs incurred for forestry during that year
under appropriations for the protection, improvement,
administration, and management of state forest trust fund lands
and construction and improvement of forest roads to enhance the
forest value of the lands. The certificate must specify the
trust funds interested in the lands. The commissioner of
natural resources shall supply the commissioner of finance with
the information needed for the certificate.

(d) After a fiscal year, the commissioner shall distribute
the receipts credited to the suspense account during that fiscal
year as follows:

(a) (1) the amount of the certified costs incurred by the
state for forest management, forest improvement, and road
improvement during the fiscal year shall be transferred to
the general fund.forest management investment account
established under section 89.039;

(2) the balance of the certified costs incurred by the
state during the fiscal year shall be transferred to the general
fund; and

(b) (3) the balance of the receipts shall then be returned
prorated to the trust funds in proportion to their respective
interests in the lands which produced the receipts.

Sec. 13.

Minnesota Statutes 2004, section 17.03,
subdivision 13, is amended to read:

Subd. 13.

Semiannual reports.

(a) By October 15 and
April 15 of each year,The commissioner shall submit to the
legislative committees having jurisdiction over appropriations
from the agricultural fund in section 16A.531a report reports
on the amount of revenue raised in each fee account within the
fund, the expenditures from each account, and the purposes for
which the expenditures were made. The reports must be issued in
February and November each year, to coincide with the forecasts
of revenue and expenditures prepared under section 16A.103.

(b) The report delivered on October 15 in February of each
year must include the commissioner's recommendations, if any,
for changes in statutes relating to the fee accounts of the
agricultural fund.

Sec. 14.

Minnesota Statutes 2004, section 17.117, is
amended by adding a subdivision to read:

Subd. 5b.

Application fee.

The commissioner may impose a
nonrefundable application fee of $50 for each loan issued under
the program. The fees must be credited to the agricultural best
management practices administration account, which is hereby
established in the agricultural fund. Interest earned in the
account accrues to the account. Money in the account and
interest earned in the accounts established in the agricultural
fund under subdivision 5a are appropriated to the commissioner
for administrative expenses of the program.

Sec. 15.

Minnesota Statutes 2004, section 17B.03,
subdivision 1, is amended to read:

Subdivision 1.

Commissioner's powers.

The commissioner
of agriculture shall exercise general supervision over the
inspection, grading, weighing, sampling, and analysis of grain
subject to the provisions of the United States Grain Standards
Act of 1976 and the rules promulgated thereunder by the United
States Department of Agriculture. This activity may take place
within or outside the state of Minnesota. Scale testing must be
performed at export locations or, upon request from and with the
consent of the delegated authority, at domestic locations. Fees
for the testing of scales and weighing equipment shall be fixed
by the commissioner and must be uniform with those charged by
the Division of Weights and Measures of the Department of
Commerce.

Sec. 16.

Minnesota Statutes 2004, section 18B.05,
subdivision 1, is amended to read:

Subdivision 1.

Establishment.

A pesticide regulatory
account is established in the agricultural fund. Fees,
assessments,and penalties collected under this chapter must be
deposited in the agricultural fund and credited to the pesticide
regulatory account. Money in the account, including interest,
is appropriated to the commissioner for the administration and
enforcement of this chapter.

Sec. 17.

Minnesota Statutes 2004, section 18B.08,
subdivision 4, is amended to read:

Subd. 4.

Application fee.

A person initially applying
for a chemigation permit must pay a nonrefundable application
fee of $50 $250. A person who holds a fertilizer chemigation
permit under section 18C.205, is exempt from the fee in this
subdivision.

Sec. 18.

Minnesota Statutes 2004, section 18B.26,
subdivision 3, is amended to read:

Subd. 3.

Application fee.

(a) A registrant shall pay an
annual application fee for each pesticide to be registered, and
this fee is set at one-tenth of one percent for calendar year
1990, at one-fifth of one percent for calendar year 1991, and at
two-fifths of one percent for calendar year 1992 and thereafter
of annual gross sales within the state and annual gross sales of
pesticides used in the state, with a minimum nonrefundable fee
of $250. The registrant shall determine when and which
pesticides are sold or used in this state. The registrant shall
secure sufficient sales information of pesticides distributed
into this state from distributors and dealers, regardless of
distributor location, to make a determination. Sales of
pesticides in this state and sales of pesticides for use in this
state by out-of-state distributors are not exempt and must be
included in the registrant's annual report, as required under
paragraph (c), and fees shall be paid by the registrant based
upon those reported sales. Sales of pesticides in the state for
use outside of the state are exempt from the application fee in
this paragraph if the registrant properly documents the sale
location and distributors. A registrant paying more than the
minimum fee shall pay the balance due by March 1 based on the
gross sales of the pesticide by the registrant for the preceding
calendar year. The fee for disinfectants and sanitizers shall
be the minimum. The minimum fee is due by December 31 preceding
the year for which the application for registration is made.
The commissioner shall spend at least $300,000 per fiscal year
from the pesticide regulatory account for the purposes of the
waste pesticide collection program.

(b) An additional fee of $100 must be paid by the applicant
for each pesticide to be registered if the application is a
renewal application that is submitted after December 31.

(c) A registrant must annually report to the commissioner
the amount and type of each registered pesticide sold, offered
for sale, or otherwise distributed in the state. The report
shall be filed by March 1 for the previous year's registration.
The commissioner shall specify the form of the report and
require additional information deemed necessary to determine the
amount and type of pesticides annually distributed in the
state. The information required shall include the brand name,
amount, and formulation of each pesticide sold, offered for
sale, or otherwise distributed in the state, but the information
collected, if made public, shall be reported in a manner which
does not identify a specific brand name in the report.

(d) A registrant who is required to pay more than the
minimum fee for any pesticide under paragraph (a) must pay a
late fee penalty of $100 for each pesticide application fee paid
after March 1 in the year for which the license is to be issued.

Sec. 19.

Minnesota Statutes 2004, section 18B.31,
subdivision 5, is amended to read:

Subd. 5.

Application fee.

(a) An application for a
pesticide dealer license must be accompanied by a nonrefundable
application fee of $50 $150.

(b) If an application for renewal of a pesticide dealer
license is not filed before January 1 of the year for which the
license is to be issued, an additional fee of $20 must be paid
by the applicant before the license is issued.

Sec. 20.

Minnesota Statutes 2004, section 18B.315,
subdivision 6, is amended to read:

Subd. 6.

Fees.

(a) An applicant for an aquatic pest
control license for a business must pay a nonrefundable
application fee of $100 $200. An employee of a licensed
business must pay a nonrefundable application fee of $50 for an
individual aquatic pest control license.

(b) An application received after expiration of the aquatic
pest control license is subject to a penalty of 50 percent of
the application fee.

(c) An applicant that meets renewal requirements by
reexamination instead of attending workshops must pay the
equivalent workshop fee for the reexamination as determined by
the commissioner.

Sec. 21.

Minnesota Statutes 2004, section 18B.32,
subdivision 6, is amended to read:

Subd. 6.

Fees.

(a) An applicant for a structural pest
control license for a business must pay a nonrefundable
application fee of $100 $200. An employee of a licensed
business must pay a nonrefundable application fee of $50 for an
individual structural pest control license.

(b) An application received after expiration of the
structural pest control license is subject to a penalty fee of
50 percent of the application fee.

(c) An applicant that meets renewal requirements by
reexamination instead of attending workshops must pay the
equivalent workshop fee for the reexamination as determined by
the commissioner.

Sec. 22.

Minnesota Statutes 2004, section 18B.33,
subdivision 7, is amended to read:

Subd. 7.

Application fees.

(a) A person initially
applying for or renewing a commercial applicator license must
pay a nonrefundable application fee of $50.

(b) If A license renewal application is not filed
before received after March 1 of in the year for which the
license is to be issued, an additional is subject to a penalty
fee of $10 must be paid before the commercial applicator 50
percent of the application fee. The penalty fee must be paid
before the renewal license may be issued.

(c) An application for a duplicate commercial applicator
license must be accompanied by a nonrefundable application fee
of $10.

Sec. 23.

Minnesota Statutes 2004, section 18B.34,
subdivision 5, is amended to read:

Subd. 5.

Fees.

(a) A person initially applying for or
renewing a noncommercial applicator license must pay a
nonrefundable application fee of $50, except an applicant who is
a government or Minnesota Conservation Corps employee who uses
pesticides in the course of performing official duties must pay
a nonrefundable application fee of $10.

(b) If an A license renewal application for renewal of a
noncommercial license is not filed before received after March 1
in the year for which the license is to be issued, an additional
is subject to a penalty fee of $10 must be paid before the 50
percent of the application fee. The penalty fee must be paid
before the renewal license may be issued.

(c) An application for a duplicate noncommercial applicator
license must be accompanied by a nonrefundable application fee
of $10.

Sec. 24.

Minnesota Statutes 2004, section 18C.141,
subdivision 1, is amended to read:

Subdivision 1.

Program establishment.

The commissioner
shall establish a program voluntary programs to certify the
accuracy of analyses from soil and manure testing laboratories
and promote standardization of soil and manure testing
procedures and analytical results.

Sec. 25.

Minnesota Statutes 2004, section 18C.141,
subdivision 3, is amended to read:

Subd. 3.

Analyses reporting standards.

(a) The results
obtained from soil, manure, or plant analysis must be reported
in accordance with standard reporting units established by the
commissioner by rule. The standard reporting units must conform
as far as practical to uniform standards that are adopted on a
regional or national basis.

(b) If a certified laboratory offers a recommendation for
use in Minnesota, the University of Minnesota recommendation or
that of another land grant college in a contiguous state must be
offered in addition to other recommendations, and the source of
the recommendation must be identified on the recommendation
form. If relative levels such as low, medium, or high are
presented to classify the analytical results, the corresponding
relative levels based on the analysis as designated by the
University of Minnesota or the land grant college in a
contiguous state must also be presented.

Sec. 26.

Minnesota Statutes 2004, section 18C.141,
subdivision 5, is amended to read:

Subd. 5.

certification fees.

(a) The commissioner may
charge the actual costs for check sample preparation and
shipping.

(b) A laboratory applying for certification shall pay an
application fee of $100 and a certification fee of $100 before
the certification is issued may be charged a nonrefundable
certification fee to cover the actual costs for administration
of the program.

(b) (c) Certification is valid for one year and the renewal
fee is $100. The commissioner shall charge an additional
application fee of $100 if a certified laboratory allows
certification to lapse before applying for renewed certification
renewable on an annual basis.

(c) The commissioner shall notify a certified lab that its
certification lapses within 30 to 60 days of the date when the
certification lapses.

(d) The commissioner may accept donations to support the
development and operation of soil and manure programs.

(e) Revenues under this section are deposited in the
fertilizer account of the agricultural fund.

Sec. 27.

Minnesota Statutes 2004, section 18C.425,
subdivision 6, is amended to read:

Subd. 6.

Inspection fees.

The person responsible for
payment of the inspection fees for fertilizers, soil amendments,
or plant amendments sold and used in this state must pay an
inspection fee of 15 30 cents per ton of fertilizer, soil
amendment, and plant amendment sold or distributed in this
state, with a minimum of $10 on all tonnage reports. Products
sold or distributed to manufacturers or exchanged between them
are exempt from the inspection fee imposed by this subdivision
if the products are used exclusively for manufacturing purposes.

Sec. 28.

Minnesota Statutes 2004, section 18E.03,
subdivision 2, is amended to read:

Subd. 2.

Expenditures.

(a) Money in the agricultural
chemical response and reimbursement account may only be used:

(1) to pay for the commissioner's responses to incidents
under chapters 18B, 18C, and 18D that are not eligible for
payment under section 115B.20, subdivision 2;

(2) to pay for emergency responses that are otherwise
unable to be funded;

(3) to reimburse and pay corrective action costs under
section 18E.04; and

(4) by the board to reimburse the commissioner for board
staff and other administrative costs up to $175,000 $225,000 per
fiscal year.

(b) Money in the agricultural chemical response and
reimbursement account is appropriated to the commissioner to
make payments as provided in this subdivision.

Sec. 29.

Minnesota Statutes 2004, section 18G.10,
subdivision 5, is amended to read:

Subd. 5.

Certificate fees.

(a) The commissioner shall
assess the fees in paragraphs (b) to (f) for the inspection,
service, and work performed in carrying out the issuance of a
phytosanitary certificate or export certificate. The inspection
fee must be based on mileage and inspection time.

(b) Mileage charge: current United States Internal Revenue
Service mileage rate.

(c) Inspection time: $50 per hour minimum or fee necessary
to cover department costs. Inspection time includes the driving
time to and from the location in addition to the time spent
conducting the inspection.

(d) A fee must be charged for any certificate issued that
requires laboratory analysis before issuance. The fee must be
deposited into the laboratory account as authorized in section
17.85.If laboratory analysis or other technical analysis is
required to issue a certificate, the commissioner must set and
collect the fee to recover this additional cost.

(e) Certificate fee for product value greater than $250:
$75 for each phytosanitary or export certificate issued for any
single shipment valued at more than $250 in addition to any
mileage or inspection time charges that are assessed.

(f) Certificate fee for product value less than $250: $25
for each phytosanitary or export certificate issued for any
single shipment valued at less than $250 in addition to any
mileage or inspection time charges that are assessed.

(g) For services provided for in subdivision 7 that are
goods and services provided for the direct and primary use of a
private individual, business, or other entity, the commissioner
must set and collect the fees to cover the cost of the services
provided.

Sec. 30.

Minnesota Statutes 2004, section 18G.10,
subdivision 7, is amended to read:

Subd. 7.

plant protection inspections,supplemental,
additional, or other certificates,and permits, and fees.

(a)
The commissioner may provide inspection, sampling, or
certification services to ensure that Minnesota plant products
or commodities meet import requirements of other states or
countries.

(b) The state plant regulatory official may issue permits
and certificates verifying that various Minnesota agricultural
products or commodities meet specified phytosanitary plant
health requirements, treatment requirements, or pest absence
assurances based on determinations by the commissioner. The
commissioner may collect fees sufficient to recover costs for
these permits or certificates. The fees must be deposited in
the nursery and phytosanitary account.

Sec. 31.

Minnesota Statutes 2004, section 18G.16,
subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) The definitions in this
subdivision apply to this section.

(b) "Metropolitan area" means the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

(c) "Municipality" means a home rule charter or statutory
city or a town located in the metropolitan area that exercises
municipal powers under section 368.01 or any general or special
law; a special park district organized under chapter 398; a
special-purpose park and recreation board organized under the
city charter of a city of the first class located in the
metropolitan area; a county in the metropolitan area for the
purposes of county-owned property or any portion of a county
located outside the geographic boundaries of a city or a town
exercising municipal powers; and a municipality or county
located outside the metropolitan area with an approved disease
control program.

(d) "Shade tree disease pest " means Dutch elm disease, oak
wilt, or any disorder pests or pathogens affecting the growth
and life of shade trees.

(e) "Wood utilization or disposal system" means facilities,
equipment, or systems used for the removal and disposal of
diseased or pest-infested shade trees, including collection,
transportation, processing, or storage of wood and assisting in
the recovery of materials or energy from wood.

(f) "Approved disease pest control program" means a
municipal plan approved by the commissioner to control or
eradicate a shade tree disease pest.

(g) " Disease Pest control area" means an area approved by
the commissioner within which a municipality will conduct an
approved disease pest control program.

(h) "Sanitation" means the identification, inspection,
disruption of a common root system, girdling, trimming, removal,
and disposal of dead, pest-infested or diseased wood of shade
trees, including subsidies for trees removed pursuant to
subdivision 4, on public or private property within a disease
control area.

(i) "Reforestation" means the replacement of shade trees
removed from public property and the planting of a tree as part
of a municipal disease control program. For purposes of this
paragraph, "public property" includes private property within
five feet of the boulevard or street terrace in a city that
enacted an ordinance on or before January 1, 1977, that
prohibits or requires a permit for the planting of trees in the
public right-of-way.

(j) "Shade tree" means a woody perennial grown primarily
for aesthetic or environmental purposes.

Sec. 32.

Minnesota Statutes 2004, section 18G.16,
subdivision 2, is amended to read:

Subd. 2.

Commissioner to adopt rules.

The commissioner
may adopt rules relating to shade tree pest and disease control
in any municipality. The rules must prescribe control measures
to be used to prevent the spread of shade tree pests and
diseases and must include the following:

(1) a definition of shade tree;

(2) qualifications for tree inspectors;

(3) methods of identifying diseased or infested
pest-infested shade trees;

(4) procedures for giving reasonable notice of inspection
of private real property;

(5) measures for the removal of any shade tree which may
contribute to the spread of shade tree pests or disease and for
reforestation of pest or disease control areas;

(6) approved methods of treatment of shade trees;

(7) criteria for priority designation areas in an approved
pest or disease control program; and

(8) any other matters determined necessary by the
commissioner to prevent the spread of shade tree pests or
disease and enforce this section.

Sec. 33.

Minnesota Statutes 2004, section 18G.16,
subdivision 3, is amended to read:

Subd. 3.

Diagnostic laboratory.

The commissioner shall
operate a diagnostic laboratory for culturing diseased or
infested pest-infested trees for positive identification of
diseased or infested pest-infested shade trees.

Sec. 34.

Minnesota Statutes 2004, section 18G.16,
subdivision 4, is amended to read:

Subd. 4.

Cooperation by university.

The University of
Minnesota College of Natural Resources shall cooperate with the
department in control of shade tree disease, pests, and
disorders and management of shade tree populations. The College
of Natural Resources shall cooperate with the department to
conduct tree inspector certification and recertification
workshops for certified tree inspectors. The College of Natural
Resources shall also conduct research into means for identifying
diseased or pest-infested shade trees, develop and evaluate
control measures, and develop means for disposing of and using
diseased or pest-infested shade trees.

Sec. 35.

Minnesota Statutes 2004, section 18G.16,
subdivision 5, is amended to read:

Subd. 5.

Experimental programs.

The commissioner may
establish experimental programs for sanitation or treatment of
shade tree diseases and for research into tree varieties most
suitable for municipal reforestation. The research must include
considerations of disease resistance, energy conservation, and
other factors considered appropriate. The commissioner may make
grants to municipalities or enter into contracts with
municipalities, nurseries, colleges, universities, or state or
federal agencies in connection with experimental shade tree
programs including research to assist municipalities in
establishing priority designation areas for shade tree disease
pest control and energy conservation.

Sec. 36.

Minnesota Statutes 2004, section 18G.16,
subdivision 6, is amended to read:

Subd. 6.

Removal of diseased or infested pest-infested
trees.

After reasonable notice of inspection, an owner of real
property containing a shade tree that is diseased, infested, or
may contribute to the spread of pests or disease, must remove or
treat the tree within the period of time and in the manner
established by the commissioner. Trees that are not removed in
compliance with the commissioner's rules must be declared a
public nuisance and removed or treated by approved methods by
the municipality, which may assess all or part of the expense,
limited to the lowest contract rates available that include wage
levels which meet Minnesota minimum wage standards, to the
property and the expense becomes a lien on the property. A
municipality may assess not more than 50 percent of the expense
of treating with an approved method or removing diseased or
pest-infested shade trees located on street terraces or
boulevards to the abutting properties and the assessment becomes
a lien on the property.

Sec. 37.

Minnesota Statutes 2004, section 18G.16,
subdivision 7, is amended to read:

Subd. 7.

Rules; applicability to municipalities.

The
rules of the commissioner apply in a municipality unless the
municipality adopts an ordinance determined by the commissioner
to be more stringent than the rules of the commissioner. The
rules of the commissioner or the municipality apply to all state
agencies, special purpose districts, and metropolitan
commissions as defined in section 473.121, subdivision 5a, that
own or control land adjacent to or within a shade tree disease
pest control area.

Sec. 38.

Minnesota Statutes 2004, section 18G.16,
subdivision 8, is amended to read:

Subd. 8.

Grants to municipalities.

(a) The commissioner
may, in the name of the state and within the limit of
appropriations provided, make a grant to a municipality with an
approved disease pest control program for the partial funding of
municipal sanitation and reforestation programs to replace trees
lost to pest,disease,or natural disaster. The commissioner
may make a grant to a home rule charter or statutory city, a
special purpose park and recreation board organized under a
charter of a city of the first class, a nonprofit corporation
serving a city of the first class, or a county having an
approved disease control program for the acquisition or
implementation of a wood use or disposal system.

(b) The commissioner shall adopt rules for the
administration of grants under this subdivision. The rules must
contain:

(1) procedures for grant applications;

(2) conditions and procedures for the administration of
grants;

(3) criteria of eligibility for grants including, but not
limited to, those specified in this subdivision; and

(4) other matters the commissioner may find necessary to
the proper administration of the grant program.

(c) Grants for wood utilization and disposal systems made
by the commissioner under this subdivision must not exceed 50
percent of the total cost of the system. Grants for sanitation
and reforestation must be combined into one grant program.
Grants to a municipality for sanitation must not exceed 50
percent of sanitation costs approved by the commissioner
including any amount of sanitation costs paid by special
assessments, ad valorem taxes, federal grants, or other funds.
A municipality must not specially assess a property owner an
amount greater than the amount of the tree's sanitation cost
minus the amount of the tree's sanitation cost reimbursed by the
commissioner. Grants to municipalities for reforestation must
not exceed 50 percent of the wholesale cost of the trees planted
under the reforestation program; provided that a reforestation
grant to a county may include 90 percent of the cost of the
first 50 trees planted on public property in a town not included
in the definition of municipality in subdivision 1 and with less
than 1,000 population when the town applies to the county.
Reforestation grants to towns and home rule charter or statutory
cities of less than 4,000 population with an approved disease
pest control program may include 90 percent of the cost of the
first 50 trees planted on public property. The governing body
of a municipality that receives a reforestation grant under this
section must appoint up to seven residents of the municipality
or designate an existing municipal board or committee to serve
as a reforestation advisory committee to advise the governing
body of the municipality in the administration of the
reforestation program. For the purpose of this subdivision,
"cost" does not include the value of a gift or dedication of
trees required by a municipal ordinance but does include
documented "in-kind" services or voluntary work for
municipalities with a population of less than 1,000 according to
the most recent federal census.

(d) Based upon estimates submitted by the municipality to
the commissioner, which state the estimated costs of sanitation
and reforestation in the succeeding quarter under an approved
program, the commissioner shall direct quarterly advance
payments to be made by the state to the municipality commencing
April 1. The commissioner shall direct adjustment of any
overestimate in a succeeding quarter. A municipality may elect
to receive the proceeds of its sanitation and reforestation
grants on a periodic cost reimbursement basis.

(e) A home rule charter or statutory city, county outside
the metropolitan area, or any municipality, as defined in
subdivision 1, may submit an application for a grant authorized
by this subdivision concurrently with its request for approval
of a disease pest control program.

(f) The commissioner shall not make grants for sanitation
and reforestation or wood utilization and disposal systems in
excess of 67 percent of the amounts appropriated for those
purposes to the municipalities located within the metropolitan
area, as defined in subdivision 1.

Sec. 39.

Minnesota Statutes 2004, section 18G.16,
subdivision 9, is amended to read:

Subd. 9.

Subsidies to certain owners.

A municipality may
provide subsidies to nonprofit organizations, to owners of
private residential property of five acres or less, to owners of
property used for a homestead of more than five acres but less
than 20 acres, and to nonprofit cemeteries for the approved
treatment or removal of diseased or pest-infested shade trees.

Notwithstanding any law to the contrary, an owner of
property on which shade trees are located may contract with a
municipality to provide protection against the cost of approved
treatment or removal of diseased or pest-infested shade trees or
shade trees that will contribute to the spread of shade tree
diseases or pest infestations. Under the contract, the
municipality must pay for the removal or approved treatment
under terms and conditions determined by its governing body.

Sec. 40.

Minnesota Statutes 2004, section 18G.16,
subdivision 14, is amended to read:

Subd. 14.

Municipal option to participate in program.

The term "municipality" shall include only those municipalities
which have informed the commissioner of their intent to continue
an approved disease pest control program. Any municipality
desiring to participate in the grants-in-aid for the partial
funding of municipal sanitation and reforestation programs must
notify the commissioner in writing before the beginning of the
calendar year in which it wants to participate and must have an
approved disease pest control program during any year in which
it receives grants-in-aid. Notwithstanding the provisions of
any law to the contrary, no municipality shall be required to
have an approved disease control program after December 31, 1981.

Sec. 41.

Minnesota Statutes 2004, section 18H.07,
subdivision 1, is amended to read:

Subdivision 1.

Establishment of fees.

The commissioner
shall establish fees sufficient to allow for the administration
and enforcement of this chapter and rules adopted under this
chapter, including the portion of general support costs and
statewide indirect costs of the agency attributable to that
function, with a reserve sufficient for up to six months. The
commissioner shall review the fee schedule annually in
consultation with the Minnesota Nursery and Landscape Advisory
Committee. For the certificate year beginning January 1, 2004
2006, the fees are as described in this section.

Sec. 42.

Minnesota Statutes 2004, section 18H.07,
subdivision 2, is amended to read:

Subd. 2.

Nursery stock grower certificate.

(a) A nursery
stock grower must pay an annual fee based on the area of all
acreage on which nursery stock is grown for certification as
follows:

(1) less than one-half acre, $150;

(2) from one-half acre to two acres, $200;

(3) over two acres up to five acres, $300;

(4) over five acres up to ten acres, $350;

(5) over ten acres up to 20 acres, $500;

(6) over 20 acres up to 40 acres, $650;

(7) over 40 acres up to 50 acres, $800;

(8) over 50 acres up to 200 acres, $1,100;

(9) over 200 acres up to 500 acres, $1,500; and

(10) over 500 acres, $1,500 plus $2 for each additional
acre.

(b) In addition to the fees in paragraph (a), a penalty of
ten percent of the fee due must be charged for each month, or
portion thereof,that the fee is delinquent up to a maximum of
30 percent for any application for renewal not received by
January 1 of the year following expiration of a certificate.

Sec. 43.

Minnesota Statutes 2004, section 18H.07,
subdivision 3, is amended to read:

Subd. 3.

Nursery stock dealer certificate.

(a) A nursery
stock dealer must pay an annual fee based on the dealer's gross
sales of certified nursery stock per location during the
preceding most recent certificate year. A certificate applicant
operating for the first time must pay the minimum fee. The fees
per sales location are:

(1) gross sales up to $20,000 $5,000, $150;

(2) gross sales over $20,000 $5,000 up to $100,000 $20,000,
$175;

(3) gross sales over $100,000 $20,000 up to
$250,000 $50,000, $300;

(4) gross sales over $250,000 $50,000 up to
$500,000 $75,000, $425;

(5) gross sales over $500,000 $75,000 up to
$1,000,000 $100,000, $550;

(6) gross sales over $1,000,000 $100,000 up to
$2,000,000 $200,000, $675; and

(7) gross sales over $2,000,000 $200,000, $800.

Sec. 44.

Minnesota Statutes 2004, section 19.64,
subdivision 1, is amended to read:

Subdivision 1.

Registration.

Every person who owns,
leases, or possesses colonies of bees or who intends to bring
bees into the state under an entry permit shall register the
bees with the commissioner on or before April 15 June 1 of each
year or within 15 days of entry into Minnesota or taking
possession of hives, whichever comes first. The registration
application shall include the name and address of the applicant,
a description of the exact location of each of the applicant's
apiaries by county, township, range and quarter section, and
other information required by the commissioner. The fee for
registration under this subdivision is $10 $25 for beekeepers
with less than 50 colonies and $50 for beekeepers with 50
colonies or more maintained in the state. The commissioner
shall provide registered beekeepers with the Minnesota pest
report.

The registration required by this section is not
transferable. At least one colony in each location must be
plainly and legibly marked with the owner's name and telephone
number and address, and other information required by the
commissioner. The department shall provide information on
colony locations as reported on the registrations on an Internet
Web site or through other appropriate measures.

Sec. 45.

Minnesota Statutes 2004, section 25.341,
subdivision 2, is amended to read:

Subd. 2.

Application; fee; term.

A person who is
required to have a commercial feed license shall submit an
application on a form provided or approved by the commissioner
accompanied by a license fee of $25 paid to the commissioner for
each facility location. A license is not transferable from one
person to another, from one ownership to another, or from one
location to another.The license year is the calendar year. A
license expires on December 31 of the year for which it is
issued, except that a license is valid through January 31 of the
next year or until the issuance of the renewal license,
whichever comes first, if the licensee has filed a renewal
application with the commissioner on or before December 31 of
the year for which the current license was issued. A new
applicant who Any person who is required to have, but fails to
obtain a license within 15 working days of notification of the
requirement to obtain a license,or a licensee who fails to
comply with license renewal requirements, shall pay a $50 late
fee in addition to the license fee. The commissioner may issue
a withdrawal from distribution order on any commercial feed that
an unlicensed person produces or distributes in the state until
a license is issued.

Sec. 46.

[25.342] CERTIFICATES, FREE SALE.

A nonrefundable application fee of $25 must accompany all
free sale certificate requests to facilitate the movement of
Minnesota processed and manufactured feeds destined for export
from the state. Each label submitted for review must be
accompanied by a nonrefundable $50 application fee.

Sec. 47.

Minnesota Statutes 2004, section 25.39,
subdivision 1, is amended to read:

Subdivision 1.

Amount of fee.

(a) An inspection fee at
the rate of 16 cents per ton must be paid to the commissioner on
commercial feeds distributed in this state by the person who
first distributes the commercial feed, except that:

(1) no fee needs to need be paid on:

(1) (i) a commercial feed if the payment has been made by a
previous distributor; or

(2) (ii) customer formula feeds if the inspection fee is
paid on the commercial feeds which are used as ingredients; or

(3) commercial feeds used as ingredients for the
manufacture of commercial feeds if the fee has been paid by a
previous distributor. If the fee has already been paid, credit
must be given for that payment.(2) a Minnesota feed distributor
who distributes can substantiate that greater than 50 percent of
the distribution of commercial feed is to purchasers outside the
state may purchase commercial feeds,without payment by any
person of the inspection fee required on those purchases,under
a tonnage fee exemption permit issued by the commissioner. Such
location specific permits shall only be issued on a calendar
year basis to commercial feed distributors who submit a $100
nonrefundable application fee and comply with rules adopted by
the commissioner relative to record keeping, tonnage of
commercial feed distributed in Minnesota, total of all
commercial feed tonnage distributed, and all other information
which the commissioner may require so as to ensure that proper
inspection fee payment has been made.

(b) In the case of pet food distributed in the state only
in packages of ten pounds or less, a listing of each product and
a current label for each product must be submitted annually on
forms provided by the commissioner and accompanied by an annual
fee of $50 for each product in lieu of the inspection fee. This
annual fee is due by July 1. The inspection fee required by
paragraph (a) applies to pet food distributed in packages
exceeding ten pounds.

(c) In the case of specialty pet food distributed in the
state only in packages of ten pounds or less, a listing of each
product and a current label for each product must be submitted
annually on forms provided by the commissioner and accompanied
by an annual fee of $25 for each product in lieu of the
inspection fee. This annual fee is due by July 1. The
inspection fee required by paragraph (a) applies to specialty
pet food distributed in packages exceeding ten pounds.

(d) The minimum inspection fee is $10 per annual reporting
period.

Sec. 48.

Minnesota Statutes 2004, section 25.39,
subdivision 4, is amended to read:

Subd. 4.

Commercial feed inspection account.

A
commercial feed inspection account is established in the
agricultural fund. Fees and penalties collected under sections
25.35 to 25.43 this chapter and interest attributable to money
in the account must be deposited in the agricultural fund and
credited to the commercial feed inspection account. Money in
the account, including interest earned, is appropriated to the
commissioner for the administration and enforcement of sections
25.341 to 25.43 this chapter.

Sec. 49.

Minnesota Statutes 2004, section 41A.09,
subdivision 2a, is amended to read:

Subd. 2a.

Definitions.

For the purposes of this section,
the terms defined in this subdivision have the meanings given
them.

(a) "Ethanol" means fermentation ethyl alcohol derived from
agricultural products, including potatoes, cereal grains, cheese
whey, and sugar beets; forest products; or other renewable
resources, including residue and waste generated from the
production, processing, and marketing of agricultural products,
forest products, and other renewable resources, that:

(1) meets all of the specifications in ASTM specification
D4806-01; and

(2) is denatured as specified in Code of Federal
Regulations, title 27, parts 20 and 21.

(b) "Ethanol plant" means a plant at which ethanol is
produced.

(d) "Rural economic infrastructure" means the development
activities that will enhance the value of agricultural crop or
livestock commodities or by-products or waste from farming
operations.

Sec. 50.

Minnesota Statutes 2004, section 41A.09,
subdivision 3a, is amended to read:

Subd. 3a.

Ethanol producer payments.

(a) The
commissioner shall make cash payments to producers of ethanol
located in the state that have begun production at a specific
location by June 30, 2000. For the purpose of this subdivision,
an entity that holds a controlling interest in more than one
ethanol plant is considered a single producer. The amount of
the payment for each producer's annual production, except as
provided in paragraph (c), is 20 cents per gallon for each
gallon of ethanol produced at a specific location on or before
June 30, 2000, or ten years after the start of production,
whichever is later. Annually, within 90 days of the end of its
fiscal year, an ethanol producer receiving payments under this
subdivision must file a disclosure statement on a form provided
by the commissioner. The initial disclosure statement must
include a summary description of the organization of the
business structure of the claimant, a listing of the percentages
of ownership by any person or other entity with an ownership
interest of five percent or greater, and a copy of its annual
audited financial statements, including the auditor's report and
footnotes. The disclosure statement must include information
demonstrating what percentage of the entity receiving payments
under this section is owned by farmers or other entities
eligible to farm or own agricultural land in Minnesota under the
provisions of section 500.24. Subsequent annual reports must
reflect noncumulative changes in ownership of ten percent or
more of the entity. The report need not disclose the identity
of the persons or entities eligible to farm or own agricultural
land with ownership interests, individuals residing within 30
miles of the plant, or of any other entity with less than ten
percent ownership interest, but the claimant must retain
information within its files confirming the accuracy of the data
provided. This data must be made available to the commissioner
upon request. Not later than the 15th day of February in each
year the commissioner shall deliver to the chairs of the
standing committees of the senate and the house of
representatives that deal with agricultural policy and
agricultural finance issues an annual report summarizing
aggregated data from plants receiving payments under this
section during the preceding calendar year. Audited financial
statements and notes and disclosure statements submitted to the
commissioner are nonpublic data under section 13.02, subdivision
9. Notwithstanding the provisions of chapter 13 relating to
nonpublic data, summaries of the submitted audited financial
reports and notes and disclosure statements will be contained in
the report to the committee chairs and will be public data.

(b) No payments shall be made for ethanol production that
occurs after June 30, 2010. A producer of ethanol shall not
transfer the producer's eligibility for payments under this
section to an ethanol plant at a different location.

(c) If the level of production at an ethanol plant
increases due to an increase in the production capacity of the
plant, the payment under paragraph (a) applies to the additional
increment of production until ten years after the increased
production began. Once a plant's production capacity reaches
15,000,000 gallons per year, no additional increment will
qualify for the payment.

(d) Total payments under paragraphs (a) and (c) to a
producer in a fiscal year may not exceed $3,000,000.

(e) By the last day of October, January, April, and July,
each producer shall file a claim for payment for ethanol
production during the preceding three calendar months. A
producer that files a claim under this subdivision shall include
a statement of the producer's total ethanol production in
Minnesota during the quarter covered by the claim. For each
claim and statement of total ethanol production filed under this
subdivision, the volume of ethanol production must be examined
by an independent certified public accountant in accordance with
standards established by the American Institute of Certified
Public Accountants.

(f) Payments shall be made November 15, February 15, May
15, and August 15. A separate payment shall be made for each
claim filed. Except as provided in paragraph (g), the total
quarterly payment to a producer under this paragraph may not
exceed $750,000.

(g) Notwithstanding the quarterly payment limits of
paragraph (f), the commissioner shall make an additional payment
in the fourth quarter of each fiscal year to ethanol producers
for the lesser of: (1) 20 cents per gallon of production in the
fourth quarter of the year that is greater than 3,750,000
gallons; or (2) the total amount of payments lost during the
first three quarters of the fiscal year due to plant outages,
repair, or major maintenance. Total payments to an ethanol
producer in a fiscal year, including any payment under this
paragraph, must not exceed the total amount the producer is
eligible to receive based on the producer's approved production
capacity. The provisions of this paragraph apply only to
production losses that occur in quarters beginning after
December 31, 1999.

(h) The commissioner shall reimburse ethanol producers for
any deficiency in payments during earlier quarters if the
deficiency occurred because of unallotment or because
appropriated money was insufficient to make timely payments in
the full amount provided in paragraph (a). Notwithstanding the
quarterly or annual payment limitations in this subdivision, the
commissioner shall begin making payments for earlier
deficiencies in each fiscal year that appropriations for ethanol
payments exceed the amount required to make eligible scheduled
payments. Payments for earlier deficiencies must continue until
the deficiencies for each producer are paid in full.

(i) The commissioner may make direct payments to producers
of rural economic infrastructure with any amount of the annual
appropriation for ethanol producer payments and rural economic
infrastructure that is in excess of the amount required to make
scheduled ethanol producer payments and deficiency payments
under paragraphs (a) to (h).

Sec. 51.

Minnesota Statutes 2004, section 41A.09, is
amended by adding a subdivision to read:

Subd. 9.

Motor vehicles; ethanol combustion efficiency
grants.

From within the appropriation for each fiscal year to
the ethanol development program under this section, or from
other appropriated money, the commissioner shall make up to two
grants, each in an amount not exceeding $50,000, to qualified
applicants proposing to do research on, but not limited to,
ethanol's effect on fuel system materials compatibility and ways
to improve the energy efficiency of ethanol fuel blends in motor
vehicles while meeting all requirements for control of tailpipe
emissions. A grant recipient may receive funding for no more
than two consecutive years. A research project must be matched
by $2 of nonstate money for each $3 of state grant money.

Sec. 52.

Minnesota Statutes 2004, section 41A.09, is
amended by adding a subdivision to read:

Subd. 10.

Guidelines.

The commissioner shall establish
guidelines not subject to chapter 14 for the submission and
review of applications and the awarding of grants under
subdivision 9.

Sec. 53.

Minnesota Statutes 2004, section 41B.046,
subdivision 5, is amended to read:

Subd. 5.

Loans.

(a) The authority may participate in a
stock loan with an eligible lender to a farmer who is eligible
under subdivision 4. Participation is limited to 45 percent of
the principal amount of the loan or $40,000, whichever is less.
The interest rates and repayment terms of the authority's
participation interest may differ from the interest rates and
repayment terms of the lender's retained portion of the loan,
but the authority's interest rate must not exceed 50 percent of
the lender's interest rate.

(b) No more than 95 percent of the purchase price of the
stock may be financed under this program.

(c) Security for stock loans must be the stock purchased, a
personal note executed by the borrower, and whatever other
security is required by the eligible lender or the authority.

(d) The authority may impose a reasonable nonrefundable
application fee for each application for a stock loan. The
authority may review the fee annually and make adjustments as
necessary. The application fee is initially $50. Application
fees received by the authority must be deposited in the
value-added agricultural product revolving fund revolving loan
account established in section 41B.06.

(e) Stock loans under this program will be made using money
in the value-added agricultural product revolving fund loan
account established under subdivision 3 in section 41B.06.

(f) The authority may not grant stock loans in a cumulative
amount exceeding $2,000,000 for the financing of stock purchases
in any one cooperative.

(g) Repayments of financial assistance under this section,
including principal and interest, must be deposited into the
revolving loan account established in section 41B.06.

Sec. 54.

Minnesota Statutes 2004, section 41B.049,
subdivision 2, is amended to read:

Subd. 2.

revolving fund deposit of repayments.

There is
established in the state treasury a revolving fund, which is
eligible to receive appropriations and the transfer of funds
from other services.All repayments of financial assistance
granted under subdivision 1, including principal and interest,
must be deposited into this fund. Interest earned on money in
the fund accrues to the fund, and money in the fund is
appropriated to the commissioner of agriculture for purposes of
the manure digester loan program, including costs incurred by
the authority to establish and administer the program the
revolving loan account established in section 41B.06.

Sec. 55.

[41B.055] LIVESTOCK EQUIPMENT PILOT LOAN
PROGRAM.

Subdivision 1.

Establishment.

The authority must
establish and implement a livestock equipment pilot loan program
to help finance the first purchase of livestock-related
equipment and make livestock facilities improvements.

Subd. 2.

Eligibility.

Notwithstanding section 41B.03, to
be eligible for this program a borrower must:

(1) be a resident of Minnesota or general partnership or a
family farm corporation, authorized farm corporation, family
farm partnership, or authorized farm partnership as defined in
section 500.24, subdivision 2;

(2) be the principal operator of a livestock farm;

(3) have a total net worth, including assets and
liabilities of the borrower's spouse and dependents, no greater
than the amount stipulated in section 41B.03, subdivision 3;

(4) demonstrate an ability to repay the loan; and

(5) hold an appropriate feedlot registration or be using
the loan under this program to meet registration requirements.
In addition to the requirements in clauses (1) to (5),
preference must be given to applicants who have farmed less than
ten years as evidenced by their filing of schedule F in their
federal tax returns.

Subd. 3.

Loans.

(a) The authority may participate in a
livestock equipment loan equal to 90 percent of the purchased
equipment value with an eligible lender to a farmer who is
eligible under subdivision 2. Participation is limited to 45
percent of the principal amount of the loan or $40,000,
whichever is less. The interest rates and repayment terms of
the authority's participation interest may differ from the
interest rates and repayment terms of the lender's retained
portion of the loan, but the authority's interest rate must not
exceed three percent. The authority may review the interest
annually and make adjustments as necessary.

(b) Standards for loan amortization must be set by the
rural finance authority and must not exceed seven years.

(c) Security for a livestock equipment loan must be a
personal note executed by the borrower and whatever other
security is required by the eligible lender or the authority.

(d) Refinancing of existing debt is not an eligible purpose.

(e) The authority may impose a reasonable, nonrefundable
application fee for a livestock equipment loan. The authority
may review the fee annually and make adjustments as necessary.
The initial application fee is $50. Application fees received
by the authority must be deposited in the revolving loan account
established in section 41B.06.

(f) Loans under this program must be made using money in
the revolving loan account established in section 41B.06.

Subd. 4.

Eligible expenditures.

Money may be used for
loans for the acquisition of equipment for animal housing,
confinement, animal feeding, milk production, and waste
management, including the following, if related to animal
husbandry:

(1) fences;

(2) watering facilities;

(3) feed storage and handling equipment;

(4) milking parlors;

(5) milking equipment;

(6) scales;

(7) milk storage and cooling facilities;

(8) manure pumping and storage facilities; and

(9) capital investment in pasture.

Sec. 56.

[41B.06] RURAL FINANCE AUTHORITY REVOLVING LOAN
ACCOUNT.

There is established in the rural finance administration
fund a rural finance authority revolving loan account that is
eligible to receive appropriations and the transfer of loan
funds from other programs. All repayments of financial
assistance granted from this account, including principal and
interest, must be deposited into this account. Interest earned
on money in the account accrues to the account, and the money in
the account is appropriated to the commissioner of agriculture
for purposes of the rural finance authority livestock equipment,
methane digester, and value-added agricultural product loan
programs, including costs incurred by the authority to establish
and administer the programs.

Sec. 57.

Minnesota Statutes 2004, section 84.027,
subdivision 12, is amended to read:

Subd. 12.

Property disposal; gift acknowledgment;
advertising sales.

(a) The commissioner may give away to
members of the public items with a value of less than $10 $50
that are intended to promote conservation of natural resources
or create awareness of the state and its resources or natural
resource management programs. The total value of items given to
the public under this paragraph may not exceed $25,000 per year.

(b) The commissioner may recognize the contribution of
money or in-kind services on plaques, signs, publications,
audio-visual materials, and media advertisements by allowing the
organization's contribution to be acknowledged in print of
readable size.

(c) The commissioner may accept paid advertising for
departmental publications. Advertising revenues received are
appropriated to the commissioner to be used to defray costs of
publications, media productions, or other informational
materials. The commissioner may not accept paid advertising
from any elected official or candidate for elective office.

Sec. 58.

Minnesota Statutes 2004, section 84.027,
subdivision 13, is amended to read:

Subd. 13.

Game and fish rules.

(a) The commissioner of
natural resources may adopt rules under sections 97A.0451 to
97A.0459 and this subdivision that are authorized under:

(1) chapters 97A, 97B, and 97C to set open seasons and
areas, to close seasons and areas, to select hunters for areas,
to provide for tagging and registration of game and fish, to
prohibit or allow taking of wild animals to protect a species,
to prevent or control wildlife disease, and to prohibit or allow
importation, transportation, or possession of a wild animal;

(2) sections 84.093, 84.15, and 84.152 to set seasons for
harvesting wild ginseng roots and wild rice and to restrict or
prohibit harvesting in designated areas; and

(3) section 84D.12 to designate prohibited invasive
species, regulated invasive species, unregulated nonnative
species, and infested waters.

(b) If conditions exist that do not allow the commissioner
to comply with sections 97A.0451 to 97A.0459, the commissioner
may adopt a rule under this subdivision by submitting the rule
to the attorney general for review under section 97A.0455,
publishing a notice in the State Register and filing the rule
with the secretary of state and the Legislative Coordinating
Commission, and complying with section 97A.0459, and including a
statement of the emergency conditions and a copy of the rule in
the notice. The notice may be published after it is received
from the attorney general or five business days after it is
submitted to the attorney general, whichever is earlier.

(c) Rules adopted under paragraph (b) are effective upon
publishing in the State Register and may be effective up to
seven days before publishing and filing under paragraph (b), if:

(1) the commissioner of natural resources determines that
an emergency exists;

(2) the attorney general approves the rule; and

(3) for a rule that affects more than three counties the
commissioner publishes the rule once in a legal newspaper
published in Minneapolis, St. Paul, and Duluth, or for a rule
that affects three or fewer counties the commissioner publishes
the rule once in a legal newspaper in each of the affected
counties.

(d) Except as provided in paragraph (e), a rule published
under paragraph (c), clause (3), may not be effective earlier
than seven days after publication.

(e) A rule published under paragraph (c), clause (3), may
be effective the day the rule is published if the commissioner
gives notice and holds a public hearing on the rule within 15
days before publication.

(f) The commissioner shall attempt to notify persons or
groups of persons affected by rules adopted under paragraphs (b)
and (c) by public announcements, posting, and other appropriate
means as determined by the commissioner.

(g) Notwithstanding section 97A.0458, a rule adopted under
this subdivision is effective for the period stated in the
notice but not longer than 18 months after the rule is adopted.

Sec. 59.

Minnesota Statutes 2004, section 84.027,
subdivision 15, is amended to read:

Subd. 15.

Electronic transactions.

(a) The commissioner
may receive an application for, sell, and issue any license,
stamp, permit, pass, sticker, duplicate safety training
certification,registration, or transfer under the jurisdiction
of the commissioner by electronic means, including by telephone.
Notwithstanding section 97A.472, electronic and telephone
transactions may be made outside of the state. The commissioner
may:

(1) provide for the electronic transfer of funds generated
by electronic transactions, including by telephone;

(2) assign a license an identification number to an
applicant who purchases a hunting or fishing license or
recreational vehicle registration by electronic means, to serve
as temporary authorization to engage in the licensed activity
requiring a license or registration until the license or
registration is received or expires;

(3) charge and permit agents to charge a fee of individuals
who make electronic transactions and transactions by
telephone or Internet, including the issuing fee under section
97A.485, subdivision 6,fees and an additional transaction fee
not to exceed $3.50;

(4) collect issuing or filing fees as provided under
sections 84.788, subdivision 3, paragraph (e); 84.798,
subdivision 3, paragraph (b); 84.82, subdivision 2, paragraph
(d); 84.8205, subdivisions 5 and 6; 84.922, subdivision 2,
paragraph (e); 85.41, subdivision 5; 86B.415, subdivision 8; and
97A.485, subdivision 6, and collect establish, by written order,
an electronic licensing system commission on to be paid by
revenues generated from all sales of licenses as provided under
sections 85.43, paragraph (b), and 97A.485, subdivision 7 made
through the electronic licensing system. The commissioner shall
establish the commission in a manner that neither significantly
overrecovers nor underrecovers costs involved in providing the
electronic licensing system; and

(5) adopt rules to administer the provisions of this
subdivision.

(b) Establishment of The transaction fee fees established
under paragraph (a), clause (3), and the commission established
under paragraph (a), clause (4), is are not subject to the
rulemaking procedures of chapter 14 and section 14.386 does not
apply.

(c) Money received from fees and commissions collected
under this subdivision, including interest earned, is annually
appropriated from the game and fish fund and the natural
resources fund to the commissioner for the cost of electronic
licensing.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 60.

Minnesota Statutes 2004, section 84.0911,
subdivision 2, is amended to read:

Subd. 2.

Receipts.

Money received from the sale of wild
rice licenses issued by the commissioner under section 84.091,
subdivision 3, paragraph (a), clauses (1), (3), and (4), and
subdivision 3, paragraph (b), except for the electronic
licensing system commission established by the commissioner
under section 84.027, subdivision 15,shall be credited to the
wild rice management account.

EFFECTIVE DATE.

This section is effective July 1, 2006.

Sec. 61.

Minnesota Statutes 2004, section 84.780, is
amended to read:

84.780 OFF-HIGHWAY VEHICLE DAMAGE ACCOUNT.

(a) The off-highway vehicle damage account is created in
the natural resources fund. Money in the off-highway vehicle
damage account is appropriated to the commissioner of natural
resources for the repair or restoration of property damaged by
the operation of off-highway vehicles in an unpermitted area
after August 1, 2003, and for the costs of administration for
this section.

Before the commissioner may make a payment from this
account, the commissioner must determine whether the damage to
the property was caused by the unpermitted use of off-highway
vehicles, that the applicant has made reasonable efforts to
identify the responsible individual and obtain payment from the
individual, and that the applicant has made reasonable efforts
to prevent reoccurrence. By June 30, 2005 2007, the
commissioner of finance must transfer the remaining balance in
the account to the off-highway motorcycle account under section
84.794, the off-road vehicle account under section 84.803, and
the all-terrain vehicle account under section 84.927. The
amount transferred to each account must be proportionate to the
amounts received in the damage account from the relevant
off-highway vehicle accounts.

(b) Determinations of the commissioner under this section
may be made by written order and are exempt from the rulemaking
provisions of chapter 14. Section 14.386 does not apply.

Sec. 62.

Minnesota Statutes 2004, section 84.788,
subdivision 3, is amended to read:

Subd. 3.

Application; issuance; reports.

(a) Application
for registration or continued registration must be made to the
commissioner or an authorized deputy registrar of motor vehicles
in a form prescribed by the commissioner. The form must state
the name and address of every owner of the off-highway
motorcycle.

(b) A person who purchases from a retail dealer an
off-highway motorcycle shall make application for registration
to the dealer at the point of sale. The dealer shall issue a
dealer temporary ten-day registration permit to each purchaser
who applies to the dealer for registration. The dealer shall
submit the completed registration applications and fees to the
deputy registrar at least once each week. No fee may be charged
by a dealer to a purchaser for providing the temporary permit.

(c) Upon receipt of the application and the appropriate
fee, the commissioner or deputy registrar shall issue to the
applicant, or provide to the dealer, a 60-day temporary receipt
and shall assign a an assigned registration number that or a
commissioner or deputy registrar temporary ten-day permit. Once
issued, the registration number must be affixed to the
motorcycle in a manner prescribed by the commissioner according
to paragraph (f). A dealer subject to paragraph (b) shall
provide the registration materials and or temporary receipt
permit to the purchaser within the ten-day temporary permit
period.

(d) The commissioner shall develop a registration system to
register vehicles under this section. A deputy registrar of
motor vehicles acting under section 168.33, is also a deputy
registrar of off-highway motorcycles. The commissioner of
natural resources in agreement with the commissioner of public
safety may prescribe the accounting and procedural requirements
necessary to ensure efficient handling of registrations and
registration fees. Deputy registrars shall strictly comply with
the accounting and procedural requirements.

(e) In addition to other fees prescribed by law, a filing
fee of $4.50 is charged for each off-highway motorcycle
registration renewal, duplicate or replacement registration
card, and replacement decal and a filing fee of $7 is charged
for each off-highway motorcycle registration and registration
transfer issued by:

(1) a deputy registrar and must be deposited in the
treasury of the jurisdiction where the deputy is appointed, or
kept if the deputy is not a public official; or

(2) the commissioner and must be deposited in the state
treasury and credited to the off-highway motorcycle account.

(f) Unless exempted under paragraph (g), the owner of an
off-highway motorcycle must display a registration decal issued
by the commissioner. If the motorcycle is licensed as a motor
vehicle, a registration decal must be affixed on the upper left
corner of the rear license plate. If the motorcycle is not
licensed as a motor vehicle, the decal must be attached on the
side of the motorcycle and may be attached to the fork tube.
The decal must be attached so that it is visible while a rider
is on the motorcycle. The decals must not exceed three inches
high and three inches wide.

(g) Display of a registration decal is not required for an
off-highway motorcycle while being operated on private property
or while competing in a closed-course competition event.

Sec. 63.

Minnesota Statutes 2004, section 84.788, is
amended by adding a subdivision to read:

Subd. 11.

Refunds.

The commissioner may issue a refund
on a registration, not including any issuing fees paid under
subdivision 3, paragraph (e), or section 84.027, subdivision 15,
paragraph (a), clause (3), if the refund request is received
within 12 months of the original registration and:

(1) the off-highway motorcycle was registered incorrectly
by the commissioner or the deputy registrar; or

(2) the off-highway motorcycle was registered twice, once
by the dealer and once by the customer.

Sec. 64.

Minnesota Statutes 2004, section 84.791,
subdivision 2, is amended to read:

Subd. 2.

Fees.

For the purposes of administering the
program and to defray a portion of the expenses of training and
certifying vehicle operators, the commissioner shall collect a
fee not to exceed $5 from each person who receives the training.
The commissioner shall collect a fee for issuing a duplicate
off-highway motorcycle safety certificate. The commissioner
shall establish the fee for a duplicate off-highway motorcycle
safety certificate, to include a $1 issuing fee for licensing
agents,that neither significantly overrecovers nor
underrecovers costs, including overhead costs, involved in
providing the service. The fees must , except for the issuing
fee for licensing agents under this subdivision, shall be
deposited in the state treasury and credited to the off-highway
motorcycle account in the natural resources fund.

EFFECTIVE DATE.

This section is effective July 1, 2005.

Sec. 65.

Minnesota Statutes 2004, section 84.798, is
amended by adding a subdivision to read:

Subd. 10.

Refunds.

The commissioner may issue a refund
on a registration, not including any issuing fees paid under
subdivision 3, paragraph (b), or section 84.027, subdivision 15,
paragraph (a), clause (3), if the refund request is received
within 12 months of the original registration and the vehicle
was registered incorrectly by the commissioner or the deputy
registrar.

Sec. 66.

Minnesota Statutes 2004, section 84.82,
subdivision 2, is amended to read:

Subd. 2.

Application, issuance, reports, additional fee.

(a) Application for registration or reregistration shall be made
to the commissioner or an authorized deputy registrar of motor
vehicles in a format prescribed by the commissioner and shall
state the legal name and address of every owner of the
snowmobile.

(b) A person who purchases a snowmobile from a retail
dealer shall make application for registration to the dealer at
the point of sale. The dealer shall issue a dealer temporary
ten-day registration permit to each purchaser who applies to the
dealer for registration. The temporary registration is valid
for 60 days from the date of issue.Each retail dealer shall
submit completed registration and fees to the deputy registrar
at least once a week. No fee may be charged by a dealer to a
purchaser for providing the temporary permit.

(c) Upon receipt of the application and the appropriate fee
as hereinafter provided, such snowmobile shall be registered and
a the commissioner or deputy registrar shall issue to the
applicant, or provide to the dealer, an assigned registration
number assigned which shall or a commissioner or deputy
registrar temporary ten-day permit. Once issued, the
registration number must be affixed to the snowmobile in a
clearly visible and permanent manner for enforcement purposes as
the commissioner of natural resources shall prescribe. A dealer
subject to paragraph (b) shall provide the registration
materials or temporary permit to the purchaser within the
temporary ten-day permit period.The registration is not valid
unless signed by at least one owner.

(c) (d) Each deputy registrar of motor vehicles acting
pursuant to section 168.33, shall also be a deputy registrar of
snowmobiles. The commissioner of natural resources in agreement
with the commissioner of public safety may prescribe the
accounting and procedural requirements necessary to assure
efficient handling of registrations and registration fees.
Deputy registrars shall strictly comply with these accounting
and procedural requirements.

(d) (e) A fee of $2 in addition to that otherwise
prescribed by law shall be charged for:

(1) each snowmobile registered by the registrar or a deputy
registrar and the additional fee shall be disposed of in the
manner provided in section 168.33, subdivision 2; or

(2) each snowmobile registered by the commissioner and the
additional fee shall be deposited in the state treasury and
credited to the snowmobile trails and enforcement account in the
natural resources fund.

Sec. 67.

Minnesota Statutes 2004, section 84.82, is
amended by adding a subdivision to read:

Subd. 11.

Refunds.

The commissioner may issue a refund
on a registration, not including any issuing fees paid under
subdivision 2, paragraph (e), or section 84.027, subdivision 15,
paragraph (a), clause (3), if the refund request is received
within 12 months of the original registration and:

(1) the snowmobile was registered incorrectly by the
commissioner or the deputy registrar; or

(2) the snowmobile was registered twice, once by the dealer
and once by the customer.

Sec. 68.

Minnesota Statutes 2004, section 84.8205,
subdivision 1, is amended to read:

Subdivision 1.

Sticker required; fee.

A person may not
operate a snowmobile that is not registered in this state on a
state or grant-in-aid snowmobile trail unless a snowmobile state
trail sticker is affixed to the snowmobile. The commissioner of
natural resources shall issue a sticker upon application and
payment of a $15 fee. The fee for a three-year snowmobile state
trail sticker that is purchased at the time of snowmobile
registration is $30. In addition to other penalties prescribed
by law, a person in violation of this subdivision must purchase
an annual state trail sticker for a fee of $30.The sticker is
valid from November 1 through April 30. Fees collected under
this section, except for the issuing fee for licensing agents
under this section and for the electronic licensing system
commission established by the commissioner under section 84.027,
subdivision 15,shall be deposited in the state treasury and
credited to the snowmobile trails and enforcement account in the
natural resources fund and must be used for grants-in-aid or
acquisition of easements for permanent recreational snowmobile
trails.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 69.

Minnesota Statutes 2004, section 84.8205,
subdivision 3, is amended to read:

Subd. 3.

License agents.

County auditors are appointed
agents of the commissioner for the sale of snowmobile state
trail stickers.The commissioner may appoint other state
agencies as agents for the sale of the to issue and sell state
trail stickers. A county auditor may appoint subagents within
the county or within adjacent counties to sell stickers. Upon
appointment of a subagent, the auditor shall notify the
commissioner of the name and address of the subagent. The
auditor may revoke the appointment of a subagent, and The
commissioner may revoke the appointment of a state agency an
agent at any time. The commissioner may require an auditor to
revoke a subagent's appointment. The auditor shall furnish
stickers on consignment to any subagent who furnishes a surety
bond in favor of the county in an amount at least equal to the
value of the stickers to be consigned to that subagent. A
surety bond is not required for a state agency appointed by the
commissioner. The county auditor shall be responsible for all
stickers issued to and user fees received by agents except in a
county where the county auditor does not retain fees paid for
license purposes. In these counties, the responsibilities
imposed by this section upon the county auditor are imposed upon
the county.The commissioner may promulgate adopt additional
rules governing the accounting and procedures for handling state
trail stickers as provided in section 97A.485, subdivision 11.

Any resident desiring to sell snowmobile state trail
stickers may either purchase for cash or obtain on consignment
stickers from a county auditor in groups of not less than ten
individual stickers. In selling stickers, the resident shall be
deemed a subagent of the county auditor and the commissioner,
and An agent shall observe all rules promulgated adopted by the
commissioner for accounting and handling of licenses and
stickers pursuant to section 97A.485, subdivision 11.

The county auditor An agent shall promptly deposit and
remit all money received from the sale of the stickers with the
county treasurer and shall promptly transmit any reports
required by the commissioner, plus 96 percent of the price paid
by each stickerholder, exclusive of the issuing fee, for each
sticker sold or consigned by the auditor and subsequently sold
to a stickerholder during the accounting period. The county
auditor shall retain as a commission four percent of all sticker
fees, excluding the issuing fee for stickers consigned to
subagents and the issuing fee on stickers sold by the auditor to
stickerholders to the commissioner.

Unsold stickers in the hands of any subagent shall be
redeemed by the commissioner if presented for redemption within
the time prescribed by the commissioner. Any stickers not
presented for redemption within the period prescribed shall be
conclusively presumed to have been sold, and the subagent
possessing the same or to whom they are charged shall be
accountable.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 70.

Minnesota Statutes 2004, section 84.8205,
subdivision 4, is amended to read:

Subd. 4.

distribution issuance of stickers.

The
commissioner and agents shall provide issue and sell snowmobile
state trail stickers to all agents authorized to issue stickers
by the commissioner.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 71.

Minnesota Statutes 2004, section 84.8205,
subdivision 6, is amended to read:

Subd. 6.

Duplicate state trail stickers.

The
commissioner and agents shall issue a duplicate sticker to
persons whose sticker is lost or destroyed using the process
established under section 97A.405, subdivision 3, and rules
promulgated thereunder. The fee for a duplicate state trail
sticker is $2, with an issuing fee of 50 cents.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 72.

Minnesota Statutes 2004, section 84.83,
subdivision 3, is amended to read:

Subd. 3.

Purposes for the account.

The money deposited
in the account and interest earned on that money may be expended
only as appropriated by law for the following purposes:

(1) for a grant-in-aid program to counties and
municipalities for construction and maintenance of snowmobile
trails, including maintenance of trails on lands and waters of
Voyageurs National Park, on Lake of the Woods, on Rainy Lake,
and on the following lakes in St. Louis County: Burntside,
Crane, Little Long, Mud, Pelican, Shagawa, and Vermilion;

(2) for acquisition, development, and maintenance of state
recreational snowmobile trails;

(3) for snowmobile safety programs; and

(4) for the administration and enforcement of sections
84.81 to 84.91 and appropriated grants to local law enforcement
agencies.

Sec. 73.

Minnesota Statutes 2004, section 84.83,
subdivision 4, is amended to read:

Subd. 4.

Provisions applicable to funding recipients.

(a) Recipients of Minnesota trail assistance program funds must
be afforded the same protection and be held to the same standard
of liability as a political subdivision under chapter 466 for
activities associated with the administration, design,
construction, maintenance, and grooming of snowmobile trails.

(b) Recipients of Minnesota trail assistance program funds
who maintain ice trails on public waters listed under
subdivision 3, clause (1), or on waters of Voyageurs National
Park are expressly immune from liability under section 466.03,
subdivision 6e.

Sec. 74.

Minnesota Statutes 2004, section 84.86,
subdivision 1, is amended to read:

Subdivision 1.

Required rules.

With a view of achieving
maximum use of snowmobiles consistent with protection of the
environment the commissioner of natural resources shall adopt
rules in the manner provided by chapter 14, for the following
purposes:

(1) Registration of snowmobiles and display of registration
numbers.

(2) Use of snowmobiles insofar as game and fish resources
are affected.

(3) Use of snowmobiles on public lands and waters, or on
grant-in-aid trails.

(4) Uniform signs to be used by the state, counties, and
cities, which are necessary or desirable to control, direct, or
regulate the operation and use of snowmobiles.

(5) Specifications relating to snowmobile mufflers.

(6) A comprehensive snowmobile information and safety
education and training program, including but not limited to the
preparation and dissemination of snowmobile information and
safety advice to the public, the training of snowmobile
operators, and the issuance of snowmobile safety certificates to
snowmobile operators who successfully complete the snowmobile
safety education and training course. For the purpose of
administering such program and to defray expenses of training
and certifying snowmobile operators, the commissioner shall
collect a fee from each person who receives the youth or adult
training. The commissioner shall collect a fee, to include a $1
issuing fee for licensing agents,for issuing a duplicate
snowmobile safety certificate. The commissioner shall establish
both fees in a manner that neither significantly overrecovers
nor underrecovers costs, including overhead costs, involved in
providing the services. The fees are not subject to the
rulemaking provisions of chapter 14 and section 14.386 does not
apply. The fees may be established by the commissioner
notwithstanding section 16A.1283. The fees must , except for the
issuing fee for licensing agents under this subdivision, shall
be deposited in the snowmobile trails and enforcement account in
the natural resources fund and the amount thereof, except for
the electronic licensing system commission established by the
commissioner under section 84.027, subdivision 15, and issuing
fees collected by the commissioner,is appropriated annually to
the Enforcement Division of the Department of Natural Resources
for the administration of such programs. In addition to the fee
established by the commissioner, instructors may charge each
person up to the established fee amount for class materials and
expenses. The commissioner shall cooperate with private
organizations and associations, private and public corporations,
and local governmental units in furtherance of the program
established under this clause. School districts may cooperate
with the commissioner and volunteer instructors to provide space
for the classroom portion of the training. The commissioner
shall consult with the commissioner of public safety in regard
to training program subject matter and performance testing that
leads to the certification of snowmobile operators.

(7) The operator of any snowmobile involved in an accident
resulting in injury requiring medical attention or
hospitalization to or death of any person or total damage to an
extent of $500 or more, shall forward a written report of the
accident to the commissioner on such form as the commissioner
shall prescribe. If the operator is killed or is unable to file
a report due to incapacitation, any peace officer investigating
the accident shall file the accident report within ten business
days.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 75.

Minnesota Statutes 2004, section 84.922,
subdivision 2, is amended to read:

Subd. 2.

Application, issuance, reports.

(a) Application
for registration or continued registration shall be made to the
commissioner of natural resources, the commissioner of public
safety or an authorized deputy registrar of motor vehicles in a
form prescribed by the commissioner. The form must state the
name and address of every owner of the vehicle.

(b) A person who purchases an all-terrain vehicle from a
retail dealer shall make application for registration to the
dealer at the point of sale. The dealer shall issue a dealer
temporary ten-day registration permit to each purchaser who
applies to the dealer for registration. The dealer shall submit
the completed registration application and fees to the deputy
registrar at least once each week. No fee may be charged by a
dealer to a purchaser for providing the temporary permit.

(c) Upon receipt of the application and the appropriate
fee, the commissioner or deputy registrar shall issue to the
applicant, or provide to the dealer, a 60-day temporary receipt
and shall assign a an assigned registration number that or a
commissioner or deputy registrar temporary ten-day permit. Once
issued, the registration number must be affixed to the vehicle
in a manner prescribed by the commissioner. A dealer subject to
paragraph (b) shall provide the registration materials and or
temporary receipt permit to the purchaser within the ten-day
temporary permit period. The commissioner shall use the
snowmobile registration system to register vehicles under this
section.

(d) Each deputy registrar of motor vehicles acting under
section 168.33, is also a deputy registrar of all-terrain
vehicles. The commissioner of natural resources in agreement
with the commissioner of public safety may prescribe the
accounting and procedural requirements necessary to assure
efficient handling of registrations and registration fees.
Deputy registrars shall strictly comply with the accounting and
procedural requirements.

(e) In addition to other fees prescribed by law, a filing
fee of $4.50 is charged for each all-terrain vehicle
registration renewal, duplicate or replacement registration
card, and replacement decal and a filing fee of $7 is charged
for each all-terrain vehicle registration and registration
transfer issued by:

(1) a deputy registrar and shall be deposited in the
treasury of the jurisdiction where the deputy is appointed, or
retained if the deputy is not a public official; or

(2) the commissioner and shall be deposited to the state
treasury and credited to the all-terrain vehicle account in the
natural resources fund.

Sec. 76.

Minnesota Statutes 2004, section 84.922, is
amended by adding a subdivision to read:

Subd. 12.

Refunds.

(1) the vehicle was registered incorrectly by the
commissioner or the deputy registrar; or

(2) the vehicle was registered twice, once by the dealer
and once by the customer.

Sec. 77.

Minnesota Statutes 2004, section 84.925,
subdivision 1, is amended to read:

Subdivision 1.

Program established.

(a) The commissioner
shall establish a comprehensive all-terrain vehicle
environmental and safety education and training program,
including the preparation and dissemination of vehicle
information and safety advice to the public, the training of
all-terrain vehicle operators, and the issuance of all-terrain
vehicle safety certificates to vehicle operators over the age of
12 years who successfully complete the all-terrain vehicle
environmental and safety education and training course.

(b) For the purpose of administering the program and to
defray a portion of the expenses of training and certifying
vehicle operators, the commissioner shall collect a fee of $15
from each person who receives the training. The commissioner
shall collect a fee, to include a $1 issuing fee for licensing
agents,for issuing a duplicate all-terrain vehicle safety
certificate. The commissioner shall establish the fee for a
duplicate all-terrain vehicle safety certificate that neither
significantly overrecovers nor underrecovers costs, including
overhead costs, involved in providing the service. Fee
proceeds, except for the issuing fee for licensing agents under
this subdivision,shall be deposited in the all-terrain vehicle
account in the natural resources fund.

(c) The commissioner shall cooperate with private
organizations and associations, private and public corporations,
and local governmental units in furtherance of the program
established under this section. School districts may cooperate
with the commissioner and volunteer instructors to provide space
for the classroom portion of the training. The commissioner
shall consult with the commissioner of public safety in regard
to training program subject matter and performance testing that
leads to the certification of vehicle operators. By June 30,
2003, the commissioner shall incorporate a riding component in
the safety education and training program.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 78.

Minnesota Statutes 2004, section 84D.03,
subdivision 4, is amended to read:

Subd. 4.

Commercial fishing and turtle, frog, and
crayfish harvesting restrictions in infested and noninfested
waters.

(a) All nets, traps, buoys, anchors, stakes, and lines
used for commercial fishing or turtle, frog, or crayfish
harvesting in an infested waters,water that is designated
because the waters contain it contains invasive fish or
invertebrates, may not be used in noninfested any other waters.
If a commercial licensee operates in both noninfested waters and
an infested waters water designated because the waters contain
it contains invasive fish or invertebrates and other waters, all
nets, traps, buoys, anchors, stakes, and lines used for
commercial fishing or turtle, frog, or crayfish harvesting in
noninfested waters not designated as infested with invasive fish
or invertebrates must be tagged with tags provided by the
commissioner, as specified in the commercial licensee's license
or permit, and may not be used in infested waters designated
because the waters contain invasive fish or invertebrates.

(b) In infested waters designated solely because the waters
contain Eurasian water milfoil,All nets, traps, buoys, anchors,
stakes, and lines used for commercial fishing or turtle, frog,
or crayfish harvesting in an infested water that is designated
solely because it contains Eurasian water milfoil must be dried
for a minimum of ten days or frozen for a minimum of two days
before they are used in noninfested any other waters, except as
provided in this paragraph. Commercial operators licensees must
notify the department's regional or area fisheries office or a
conservation officer when before removing nets or equipment from
an infested waters water designated solely because it contains
Eurasian water milfoil and before resetting those nets or
equipment in noninfested any other waters. All aquatic
macrophytes Upon notification, the commissioner may authorize a
commercial licensee to move nets or equipment to another water
without freezing or drying, if that water is designated as
infested solely because it contains Eurasian water milfoil.

(c) A commercial licensee must be removed remove all
aquatic macrophytes from nets and other equipment when the nets
and equipment are removed from infested waters of the state.

(d) The commissioner shall provide a commercial licensee
with a current listing of designated infested waters at the time
that a license or permit is issued.

Sec. 79.

Minnesota Statutes 2004, section 85.054,
subdivision 1, is amended to read:

Subdivision 1.

State park open house day.

(a) A state
park permit is not required for a motor vehicle to enter a state
park, state monument, state recreation area, or state wayside,
on one day each calendar year at each park, which the
commissioner may designate as State Park Open House Day. The
commissioner may designate two consecutive days as State Park
Open House Day, if the open house is held in conjunction with a
special pageant described in section 85.052, subdivision 2.

(b) The commissioner shall announce the date of each state
park open house day at least 30 days in advance of the date it
occurs.

Sec. 80.

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

Subd. 11.

Big bog state recreation area.

A state park
permit is not required and a fee may not be charged for motor
vehicle entry or parking at the parking area located north of
Tamarac River in the southern unit of Big Bog State Recreation
Area, Beltrami County.

Sec. 81.

Minnesota Statutes 2004, section 85.055, is
amended by adding a subdivision to read:

Subd. 1b.

Discounts.

Except as otherwise specified in
law, and notwithstanding section 16A.1285, subdivision 2, the
commissioner may by written order authorize waiver or reduction
of state park entrance fees.

Sec. 82.

Minnesota Statutes 2004, section 85.43, is
amended to read:

85.43 DISPOSITION OF RECEIPTS; PURPOSE.

(a) Fees from cross-country ski passes shall be deposited
in the state treasury and credited to a cross-country ski
account in the natural resources fund and, except as provided in
paragraph (b) for the electronic licensing system commission
established by the commissioner under section 84.027,
subdivision 15, are appropriated to the commissioner of natural
resources for:

(1) grants-in-aid for cross-country ski trails sponsored by
local units of government and special park districts as provided
in section 85.44; and

(2) maintenance, winter grooming, and associated
administrative costs for cross-country ski trails under the
jurisdiction of the commissioner.

(b) The commissioner shall retain for the operation of the
electronic licensing system a commission of 4.7 percent of all
cross-country ski pass fees collected.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 83.

Minnesota Statutes 2004, section 86B.415, is
amended by adding a subdivision to read:

Subd. 11.

Refunds.

The commissioner may issue a refund
on a license or title, not including any issuing fees paid under
subdivision 8 or section 84.027, subdivision 15, paragraph (a),
clause (3), or 86B.870, subdivision 1, paragraph (b), if the
refund request is received within 12 months of the original
license or title and:

(1) the watercraft was licensed or titled incorrectly by
the commissioner or the deputy registrar;

(2) the customer was incorrectly charged a title fee; or

(3) the watercraft was licensed or titled twice, once by
the dealer and once by the customer.

Sec. 84.

[86B.706] WATER RECREATION ACCOUNT; RECEIPTS AND
PURPOSE.

Subdivision 1.

Creation.

The water recreation account is
created in the state treasury in the natural resources fund.

Subd. 2.

Money deposited in account.

The following shall
be deposited in the state treasury and credited to the water
recreation account:

(1) fees and surcharges from titling and licensing of
watercraft under this chapter;

(2) fines, installment payments, and forfeited bail
according to section 86B.705, subdivision 2;

(3) civil penalties according to section 84D.13;

(4) mooring fees and receipts from the sale of marine gas
at state-operated or state-assisted small craft harbors and
mooring facilities according to section 86A.21;

(5) the unrefunded gasoline tax attributable to watercraft
use under section 296A.18; and

(6) fees for permits issued to control or harvest aquatic
plants other than wild rice under section 103G.615, subdivision
2.

Subd. 3.

Purposes.

The money in the account may be
expended only as appropriated by law for the following purposes:

(1) as directed under section 296A.18, subdivision 2, for
acquisition, development, maintenance, and rehabilitation of
public water access and boating facilities on public waters;
lake and river improvements; and boat and water safety;

(2) from the fees collected at state-operated or
state-assisted small craft harbors and mooring facilities from
daily and seasonal moorings and the sale of marine gas, for
maintenance, operation, replacement, and expansion of these
facilities and for the debt service on state bonds sold to
finance these facilities;

(3) for administration and enforcement of this chapter as
it pertains to titling and licensing of watercraft and use and
safe operation of watercraft; grants for county-sponsored and
administered boat and water safety programs; and state boat and
water safety efforts;

(4) for management of aquatic invasive species and the
implementation of chapter 84D as it pertains to aquatic invasive
species, including control, public awareness, law enforcement,
assessment and monitoring, management planning, and research;
and

(5) for management of aquatic plants and the implementation
of section 103G.615 as it pertains to aquatic plants, including
plant removal permitting, control, public awareness, law
enforcement, assessment and monitoring, management planning, and
research.

Sec. 85.

[87A.01] DEFINITIONS.

Subdivision 1.

Applicability.

The definitions in this
section apply to sections 87A.01 to 87A.08.

Subd. 2.

Person.

"Person" means an individual,
association, proprietorship, partnership, corporation, club,
political subdivision, or other legal entity.

Subd. 3.

Shooting range or range.

"Shooting range" or
"range" means an area or facility designated or operated
primarily for the use of firearms, as defined in section
97A.015, subdivision 19, or archery, and includes shooting
preserves as described in section 97A.115 or any other Minnesota
law.

Subd. 4.

Shooting range performance standards.

"Shooting
range performance standards" means those rules adopted by the
commissioner of natural resources under section 87A.02 for the
safe operation of shooting ranges.

Subd. 5.

Local unit of government.

"Local unit of
government" means a home rule charter or statutory city, county,
town, or other political subdivision.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 86.

[87A.02] SHOOTING RANGE PERFORMANCE STANDARDS.

Subdivision 1.

Adoption of standards; review.

(a) The
commissioner of natural resources must develop and adopt
shooting range performance standards according to the expedited
rulemaking process under section 14.389. The shooting range
performance standards must provide for compliance with
applicable noise standards under section 87A.05 and for the safe
use of shooting ranges within their boundaries, including the
containment of projectiles.

(b) The shooting range performance standards must provide
for the operation of shooting preserves within the boundaries of
the preserve, including an exemption from any discharge distance
limitations generally applicable to hunting on other land, when
the shooting preserve is in compliance with all other applicable
laws and is in operation on or before the effective date of the
performance standards adopted under this section or prior to the
development of any structure that would cause the preserve to be
out of compliance with the discharge distance.

(c) The commissioner must review the shooting range
performance standards at least once every five years and revise
them if necessary for the safe operation of shooting ranges.

(d) In the adoption of any amendments to the shooting range
performance standards adopted under paragraph (a), the
commissioner shall follow all notice and public hearing
requirements for the regular rule adoption process under
sections 14.001 to 14.28.

Subd. 2.

Interim standards.

Until the commissioner of
natural resources adopts the shooting range performance
standards under subdivision 1, paragraph (a), the November 1999
revised edition of the National Rifle Association's Range Source
Book: A Guide to Planning and Construction shall serve as the
interim shooting range performance standards, having the full
effect of the shooting range performance standards for purposes
of this chapter. The interim shooting range performance
standards sunset and have no further effect under this chapter
upon the effective date of the shooting range performance
standards adopted under subdivision 1, paragraph (a).

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 87.

[87A.03] COMPLIANT RANGES; AUTHORIZED
ACTIVITIES.

Subdivision 1.

Authorized activities.

A shooting range
that operates in compliance with the shooting range performance
standards must be permitted to do all of the following within
its geographic boundaries, under the same or different ownership
or occupancy, if done in accordance with shooting range
performance standards:

(1) operate the range and conduct activities involving the
discharge of firearms;

(2) expand or increase its membership or opportunities for
public participation related to the primary activity as a
shooting range;

(3) make those repairs or improvements desirable to meet or
exceed requirements of shooting range performance standards;

(4) increase events and activities related to the primary
activity as a shooting range;

(5) conduct shooting activities and discharge firearms
daily between 7:00 a.m. and 10:00 p.m. A local unit of
government with zoning jurisdiction over a shooting range may
extend the hours of operation by the issuance of a special or
conditional use permit; and

(6) acquire additional lands to be used for buffer zones or
noise mitigation efforts or to otherwise comply with this
chapter.

Subd. 2.

Nonconforming use.

A shooting range that is a
nonconforming use shall be allowed to conduct additional
shooting activities within the range's lawful property
boundaries as of the date the range became a nonconforming use,
provided the shooting range remains in compliance with noise and
shooting range performance standards under this chapter.

Subd. 3.

Compliance with other law.

Nothing in this
section exempts any newly constructed or remodeled building on a
shooting range from compliance with fire safety, handicapped
accessibility, elevator safety, bleacher safety, or other
provisions of the State Building Code that have mandatory
statewide application.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 88.

[87A.04] MITIGATION AREA.

(a) Except for those uses, developments, and structures in
existence or for which approval has been granted by October 1,
2005, no change in use, new development, or construction of a
structure shall be approved for any portion of property within
750 feet of the perimeter property line of an outdoor shooting
range if the change in use, development, or construction would
cause a preexisting outdoor shooting range in compliance with
this chapter to become out of compliance.

(b) A change in use, new development, or construction of a
structure may be approved under this section if the person
seeking approval agrees to provide any mitigation required to
keep the range in compliance with this chapter. The approving
authority, instead of the person requesting the change in use,
new development, or construction of a structure may provide any
mitigation required under this section. The person requesting
approval under this section is responsible for providing
documentation if no mitigation is required under this section.
Failure to provide the documentation or any mitigation required
under this section exempts the range from being out of
compliance with the shooting range performance and noise
standards of this chapter with regard to the property
responsible for the mitigation. Any action brought by the owner
of the property against the range is subject to section 87A.06.
With the permission of the range operator, any mitigation
required under this section may be provided on the range
property.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 89.

[87A.05] NOISE STANDARDS.

Allowable noise levels for the operation of a shooting
range are the levels determined by replacing the steady state
noise L10 and L50 state standards for each period of time within
each noise area's classification with a single Leq(h) standard
for impulsive noise that is two dBA lower than that of the L10
level for steady state noise. The noise level shall be measured
outside of the range property at the location of the receiver's
activity according to Minnesota Rules, parts 7030.0010 to
7030.0080. For purposes of this section, "Leq(h)" means the
energy level that is equivalent to a steady state level that
contains the same amount of sound energy as the time varying
sound level for a 60-minute time period.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 90.

[87A.06] NUISANCE ACTIONS; COMPLIANCE WITH
SHOOTING RANGE PERFORMANCE STANDARDS.

A person who owns, operates, or uses a shooting range in
this state that is in compliance with shooting range performance
standards is not subject to any nuisance action based on noise
or other matters regulated by the shooting range performance
standards. This section does not prohibit an action that seeks
damages for personal physical injury or tangible damage to
property caused by acts or omissions involving the operation of
the range or by a person using the range.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 91.

[87A.07] CLOSURE OF SHOOTING RANGES.

Subdivision 1.

Closure.

Except as otherwise provided in
sections 87A.01 to 87A.08, a shooting range that is in
compliance with shooting range performance standards and the
requirements of sections 87A.01 to 87A.08 shall not be forced to
permanently close or permanently cease any activity related to
the primary use of the shooting range unless the range or
activity is found to be a clear and immediate safety hazard. In
any action brought to compel the permanent closure of any range
in compliance with shooting range performance standards and this
chapter, or to permanently cease any activity related to the
primary use of the shooting range, there is a rebuttable
presumption that the range or activity is not a clear and
immediate safety hazard. If the shooting range provides
evidence that the cause of a proven safety hazard can be
mitigated so as to eliminate the safety hazard, the court shall
not order the permanent closure of the range, or permanent
ceasing of the activity found to be a clear and immediate safety
hazard, unless the range operator fails to implement the
necessary mitigation to remove the safety hazard by the date
that is determined reasonable by the court.

Subd. 2.

Preliminary injunctions.

Nothing in this
section prohibits a court from granting a preliminary injunction
against any activity determined to be a probable clear and
immediate safety hazard, or against any individual determined to
be the probable cause of an alleged clear and immediate safety
hazard, pending the final determination of the existence of the
safety hazard.

Subd. 3.

Permanent injunctions.

A court may grant a
permanent injunction only against a particular activity or
person instead of permanently closing the range unless the court
finds that the remaining operations also pose a safety hazard
under this section.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 92.

[87A.08] APPLICABILITY OF OTHER LAWS.

Subdivision 1.

Public safety laws; zoning.

(a) Nothing
in this chapter prohibits enforcement of any federal law. To
the extent consistent with this chapter, other state laws
regarding the health, safety, and welfare of the public may be
enforced. To the extent consistent with this chapter, a local
unit of government with zoning authority jurisdiction over a
shooting range may enforce its applicable ordinances and permits.

(b) If the operator of the shooting range shows evidence
that the range can be brought into compliance with the
applicable state law, local ordinance, or permit, the range may
not be permanently closed unless the range operator fails to
bring the range into compliance with the applicable law,
ordinance, or permit under this section by the date that the
court determines reasonable. Nothing in this section prohibits
a court from granting a preliminary injunction against any
activity determined to be a violation of a law, ordinance, or
permit under this section or against any individual determined
to be causing an alleged violation, pending the final
determination of the existence of the violation.

Subd. 2.

Permanent injunctions.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 93.

Minnesota Statutes 2004, section 88.6435,
subdivision 4, is amended to read:

Subd. 4.

forest bough account;disposition of permit fees
and penalties.

(a) The forest bough account is established in
the state treasury within the natural resources fund.

(b) Fees for permits issued under this section shall be
deposited in the state treasury and credited to the special
revenue fund forest bough account and, except for the electronic
licensing system commission established by the commissioner
under section 84.027, subdivision 15,are annually appropriated
to the commissioner of natural resources for costs associated
with balsam bough educational programs for harvesters and buyers.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 94.

Minnesota Statutes 2004, section 89.039,
subdivision 1, is amended to read:

Subdivision 1.

Account established; sources.

The forest
management investment account is created in the natural
resources fund in the state treasury and money in the account
may be spent only for the purposes provided in subdivision 2.
The following revenue shall be deposited in the forest
management investment account:

(1) timber sales receipts transferred from the consolidated
conservation areas account as provided in section 84A.51,
subdivision 2;

(2) timber sales receipts from forest lands as provided in
section 89.035; and

(3) money transferred from the forest suspense account
according to section 16A.125, subdivision 5; and

(4) interest accruing from investment of the account.

Sec. 95.

Minnesota Statutes 2004, section 89.37, is
amended by adding a subdivision to read:

Subd. 4a.

Surcharge.

For tree seedlings sold according
to this section, the commissioner may assess a 2.5 cent
surcharge on each tree seedling. All surcharges collected under
this subdivision must be deposited in the state treasury and
credited to the forest nursery account and are annually
appropriated to the commissioner for the purpose of forestry
education and technical assistance.

Sec. 96.

Minnesota Statutes 2004, section 90.195, is
amended to read:

90.195 SPECIAL USE PERMIT.

The commissioner may issue a permit to salvage or cut not
to exceed 12 cords of fuelwood per year for personal use from
either or both of the following sources: (1) dead, down, and
diseased trees; (2) other trees that are of negative value under
good forest management practices. The permits may be issued for
a period not to exceed one year. The commissioner shall charge
a fee, not less than $5, in an amount up to the stumpage for the
permit that shall cover the commissioner's cost of issuing the
permit and shall not exceed the current market value of fuelwood
of similar species, grade, and volume that is being sold in the
area where the salvage or cutting is authorized under the permit.

Sec. 97.

Minnesota Statutes 2004, section 97A.055,
subdivision 4b, is amended to read:

Subd. 4b.

Citizen oversight subcommittees.

(a) The
commissioner shall appoint subcommittees of affected persons to
review the reports prepared under subdivision 4; review the
proposed work plans and budgets for the coming year; propose
changes in policies, activities, and revenue enhancements or
reductions; review other relevant information; and make
recommendations to the legislature and the commissioner for
improvements in the management and use of money in the game and
fish fund.

(b) The commissioner shall appoint the following
subcommittees, each comprised of at least three affected persons:

(1) a Fisheries Operations Subcommittee to review fisheries
funding, excluding activities related to trout and salmon stamp
funding;

(2) a Wildlife Operations Subcommittee to review wildlife
funding, excluding activities related to migratory waterfowl,
pheasant, and turkey stamp funding and excluding review of the
amounts available under section 97A.075, subdivision 1,
paragraphs (b) and (c);

(3) a Big Game Subcommittee to review the report required
in subdivision 4, paragraph (a), clause (2);

(4) an Ecological Services Operations Subcommittee to
review ecological services funding;

(5) a subcommittee to review game and fish fund funding of
enforcement, support services, and Department of Natural
Resources administration;

(6) a subcommittee to review the trout and salmon stamp
report and address funding issues related to trout and salmon;

(7) a subcommittee to review the report on the migratory
waterfowl stamp and address funding issues related to migratory
waterfowl;

(8) a subcommittee to review the report on the pheasant
stamp and address funding issues related to pheasants; and

(9) a subcommittee to review the report on the turkey stamp
and address funding issues related to wild turkeys.

(c) The chairs of each of the subcommittees shall form a
Budgetary Oversight Committee to coordinate the integration of
the subcommittee reports into an annual report to the
legislature; recommend changes on a broad level in policies,
activities, and revenue enhancements or reductions; provide a
forum to address issues that transcend the subcommittees; and
submit a report for any subcommittee that fails to submit its
report in a timely manner.

(d) The Budgetary Oversight Committee shall develop
recommendations for a biennial budget plan and report for
expenditures on game and fish activities. By August 15 of each
even-numbered year, the committee shall submit the budget plan
recommendations to the commissioner.

(e) Each subcommittee shall choose its own chair, except
that the chair of the Budgetary Oversight Committee shall be
appointed by the commissioner and may not be the chair of any of
the subcommittees.

(f) The Budgetary Oversight Committee must make
recommendations to the commissioner for outcome goals from
expenditures.

(g) Notwithstanding section 15.059, subdivision 5, or other
law to the contrary, the Budgetary Oversight Committee and
subcommittees do not expire until June 30, 2005 2010.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 98.

Minnesota Statutes 2004, section 97A.061,
subdivision 1, is amended to read:

Subdivision 1.

Applicability; amount.

(a) The
commissioner shall annually make a payment to each county having
public hunting areas and game refuges. Money to make the
payments is annually appropriated for that purpose from the
general fund. Except as provided in paragraph (b),this section
does not apply to state trust fund land and other state land not
purchased for game refuge or public hunting purposes. Except as
provided in paragraph (b),the payment shall be the greatest of:

(1) 35 percent of the gross receipts from all special use
permits and leases of land acquired for public hunting and game
refuges;

(2) 50 cents per acre on land purchased actually used for
public hunting or game refuges; or

(3) three-fourths of one percent of the appraised value of
purchased land actually used for public hunting and game refuges.

(b) The payment shall be 50 percent of the dollar amount
adjusted for inflation as determined under section 477A.12,
subdivision 1, paragraph (a), clause (1), multiplied by the
number of acres of land in the county that are owned by another
state agency for military purposes and designated as a game
refuge under section 97A.085.

(c) (d) The appraised value is the purchase price for five
years after acquisition. The appraised value shall be
determined by the county assessor every five years after
acquisition.

EFFECTIVE DATE.

This section is effective for aids paid
in calendar year 2007 and thereafter.

Sec. 99.

Minnesota Statutes 2004, section 97A.075,
subdivision 3, is amended to read:

Subd. 3.

Trout and salmon stamp.

(a) Ninety percent of
the revenue from trout and salmon stamps must be credited to the
trout and salmon management account. Money in the account may
be used only for:

(1) the development, restoration, maintenance, improvement,
protection,and preservation of habitat for trout and salmon in
trout streams and lakes, including, but not limited to,
evaluating habitat; stabilizing eroding stream banks; adding
fish cover; modifying stream channels; managing vegetation to
protect, shade, or reduce runoff on stream banks; and purchasing
equipment to accomplish these tasks;

(2) rearing of trout and salmon and , including utility and
service costs associated with coldwater hatchery buildings and
systems;stocking of trout and salmon in streams and lakes and
Lake Superior; and monitoring and evaluating stocked trout and
salmon;

(3) acquisition of easements and fee title along trout
waters;

(4) identifying easement and fee title areas along trout
waters; and

(5) research and special management projects on trout
streams, trout lakes, and Lake Superior and the anadromous
portions of its tributaries.

(b) Money in the account may not be used for costs unless
they are directly related to a specific parcel of land or body
of water under paragraph (a) or ,to specific fish rearing
activities under paragraph (a), clause (2), or for costs
associated with supplies and equipment to implement trout and
salmon management activities under paragraph (a).

Sec. 100.

Minnesota Statutes 2004, section 97A.4742,
subdivision 4, is amended to read:

Subd. 4.

Annual report.

By December 15 each year, the
commissioner shall submit a report to the legislative committees
having jurisdiction over environment and natural resources
appropriations and environment and natural resources policy.
The report shall state the amount of revenue received in and
expenditures made from revenue transferred from the lifetime
fish and wildlife trust fund to the game and fish fund and shall
describe projects funded, locations of the projects, and results
and benefits from the projects. The report may be included in
the game and fish fund report required by section 97A.055,
subdivision 4. The commissioner shall make the annual report
available to the public.

Sec. 101.

Minnesota Statutes 2004, section 97A.482, is
amended to read:

97A.482 LICENSE APPLICATIONS; COLLECTION OF SOCIAL
SECURITY NUMBERS.

(a) All applicants for individual noncommercial game and
fish licenses under this chapter and chapters 97B and 97C must
include the applicant's social security number on the license
application. If an applicant does not have a Social Security
number, the applicant must certify that the applicant does not
have a Social Security number.

(b) The Social Security numbers collected by the
commissioner on game and fish license applications are private
data under section 13.355, subdivision 1, and must be provided
by the commissioner to the commissioner of human services for
child support enforcement purposes. Title IV-D of the Social
Security Act, United States Code, title 42, section 666(a)(13),
requires the collection of Social Security numbers on game and
fish license applications for child support enforcement purposes.

(c) The commissioners of human services and natural
resources shall request a waiver from the secretary of health
and human services to exclude any applicant under the age of 16
from the requirement under this section and under cross-country
ski licensing sections to provide the applicant's Social
Security number. If a waiver is granted, this section will be
so amended effective January 1, 2006, or upon the effective date
of the waiver, whichever is later.

Sec. 102.

Minnesota Statutes 2004, section 97A.485,
subdivision 7, is amended to read:

Subd. 7.

Electronic licensing system commission.

The
commissioner shall retain for the operation of the electronic
licensing system a commission of 4.7 percent of the commission
established under section 84.027, subdivision 15, and issuing
fees collected by the commissioner on all license fees
collected, excluding:

(1) the small game surcharge; and

(2) all issuing fees; and

(3) $2.50 of the license fee for the licenses in section
97A.475, subdivisions 6, clauses (1), (2), and (4), 7, 8, 12,
and 13.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 103.

Minnesota Statutes 2004, section 97A.551, is
amended by adding a subdivision to read:

Subd. 6.

Tagging and registration.

The commissioner may,
by rule, require persons taking, possessing, and transporting
certain species of fish to tag the fish with a special fish
management tag and may require registration of tagged fish. A
person may not possess or transport a fish species taken in the
state for which a special fish management tag is required unless
a tag is attached to the fish in a manner prescribed by the
commissioner. The commissioner shall prescribe the manner of
issuance and the type of tag as authorized under section
97C.087. The tag must be attached to the fish as prescribed by
the commissioner immediately upon reducing the fish to
possession and must remain attached to the fish until the fish
is processed or consumed. Species for which a special fish
management tag is required must be transported undressed.

Sec. 104.

Minnesota Statutes 2004, section 97B.015,
subdivision 7, is amended to read:

Subd. 7.

Fee for duplicate certificate.

The commissioner
shall collect a fee, to include a $1 issuing fee for licensing
agents,for issuing a duplicate firearms safety certificate.
The commissioner shall establish a fee that neither
significantly overrecovers nor underrecovers costs, including
overhead costs, involved in providing the service. The fee is
not subject to the rulemaking provisions of chapter 14 and
section 14.386 does not apply. The commissioner may establish
the fee notwithstanding section 16A.1283. The duplicate
certificate fees, except for the issuing fee for licensing
agents under this subdivision, shall be deposited in the game
and fish fund and, except for the electronic licensing system
commission established by the commissioner under section 84.027,
subdivision 15, and issuing fees collected by the commissioner,
are appropriated annually to the Enforcement Division of the
Department of Natural Resources for the administration of the
firearm safety course program.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 105.

Minnesota Statutes 2004, section 97B.025, is
amended to read:

97B.025 HUNTER AND TRAPPER EDUCATION.

(a) The commissioner may establish education courses for
hunters and trappers. The commissioner shall collect a fee from
each person attending a course. A fee, to include a $1 issuing
fee for licensing agents,shall be collected for issuing a
duplicate certificate. The commissioner shall establish the
fees in a manner that neither significantly overrecovers nor
underrecovers costs, including overhead costs, involved in
providing the services. The fees are not subject to the
rulemaking provisions of chapter 14 and section 14.386 does not
apply. The commissioner may establish the fees notwithstanding
section 16A.1283. The fees, except for the issuing fee for
licensing agents under this subdivision,shall be deposited in
the game and fish fund and the amount thereof, except for the
electronic licensing system commission established by the
commissioner under section 84.027, subdivision 15,is
appropriated annually to the Enforcement Division of the
Department of Natural Resources for the administration of the
program. In addition to the fee established by the commissioner
for each course, instructors may charge each person up to the
established fee amount for class materials and expenses. School
districts may cooperate with the commissioner and volunteer
instructors to provide space for the classroom portion of the
training.

(b) The commissioner shall enter into an agreement with a
statewide nonprofit trappers association to conduct a trapper
education program. At a minimum, the program must include at
least six hours of classroom and in the field training. The
program must include a review of state trapping laws and
regulations, trapping ethics, the setting and tending of traps
and snares, tagging and registration requirements, and the
preparation of pelts. The association shall be responsible for
all costs of conducting the education program, and shall not
charge any fee for attending the course.

EFFECTIVE DATE.

This section is effective July 6, 2005.

Sec. 106.

Minnesota Statutes 2004, section 97C.085, is
amended to read:

97C.085 PERMIT REQUIRED FOR TAGGING FISH.

A person may not tag or otherwise mark a live fish for
identification without a permit from the commissioner, except
for special fish management tags as authorized under section
97A.551.

Sec. 107.

[97C.087] SPECIAL FISH MANAGEMENT TAGS.

Subdivision 1.

Tags to be issued.

If the commissioner
determines it is necessary to require that a species of fish be
tagged with a special fish management tag, the commissioner
shall prescribe, by rule, the species to be tagged, tagging
procedures, and eligibility requirements.

Subd. 2.

Application for tag.

Application for special
fish management tags must be accompanied by a $5, nonrefundable
application fee for each tag. A person may not make more than
one tag application each year. If a person makes more than one
application, the person is ineligible for a special fish
management tag for that season after determination by the
commissioner, without a hearing.

Sec. 108.

Minnesota Statutes 2004, section 103E.081, is
amended by adding a subdivision to read:

Subd 2a.[PLANTING TREES OVER PUBLIC TILE.] A person must
not knowingly plant trees over a public drain tile, unless the
person planting the trees receives permission from the drainage
authority.

Sec. 109.

Minnesota Statutes 2004, section 103E.081, is
amended by adding a subdivision to read:

Subd. 2b.

Planting trees over private tile.

A person
must not knowingly plant trees over a private drain tile that
provides for the drainage of land owned or leased by another
person, unless the person planting the trees receives permission
from all persons who receive drainage benefits from the drain
tile.

Sec. 110.

[103F.950] BEAVER DAMAGE CONTROL GRANTS.

Subdivision 1.

Establishment.

The Board of Water and
Soil Resources shall establish a beaver damage control grant
program to provide grants for the control of beaver activities
causing damage to public waters, roads, and ditches and adjacent
private property. The grants may be made to:

(1) a joint powers board established under section 471.59
by two or more governmental units;

(2) soil and water conservation districts; and

(3) Indian tribal governments.

Subd. 2.

Grant amount.

The board may provide up to 50
percent of the costs of implementing a beaver damage control
program by a joint powers board.

Subd. 3.

Awarding of grants.

Applications for grants
must be made to the board on forms prescribed by the
commissioner. The board shall consult with town supervisors and
county commissioners representing different areas of the state
in developing the application form. A joint powers board
seeking a grant may be required to supply information on the
beaver control program it has adopted, the extent of the problem
in the geographic area covered by the joint powers agreement,
and the ability of the joint powers board to match the state
grant. The board may prioritize the grant applications based
upon the information requested as part of the grant application.

Subd. 4.

Report.

(a) Within one year after receiving a
grant under this section, a joint powers board must report to
the Board of Water and Soil Resources on the joint powers
board's efforts to control beaver in the area.

(b) By December 15 of each even-numbered year, the board
shall report to the senate and house environment and natural
resources policy and finance committees on the efforts under
this section to control beaver.

Sec. 111.

Minnesota Statutes 2004, section 103G.271,
subdivision 6, is amended to read:

Subd. 6.

Water use permit processing fee.

(a) Except as
described in paragraphs (b) to (f), a water use permit
processing fee must be prescribed by the commissioner in
accordance with the schedule of fees in this subdivision for
each water use permit in force at any time during the year. The
schedule is as follows, with the stated fee in each clause
applied to the total amount appropriated:

(1) $101 for amounts not exceeding 50,000,000 gallons per
year;

(2) $3 per 1,000,000 gallons for amounts greater than
50,000,000 gallons but less than 100,000,000 gallons per year;

(3) $3.50 per 1,000,000 gallons for amounts greater than
100,000,000 gallons but less than 150,000,000 gallons per year;

(4) $4 per 1,000,000 gallons for amounts greater than
150,000,000 gallons but less than 200,000,000 gallons per year;

(5) $4.50 per 1,000,000 gallons for amounts greater than
200,000,000 gallons but less than 250,000,000 gallons per year;

(6) $5 per 1,000,000 gallons for amounts greater than
250,000,000 gallons but less than 300,000,000 gallons per year;

(7) $5.50 per 1,000,000 gallons for amounts greater than
300,000,000 gallons but less than 350,000,000 gallons per year;

(8) $6 per 1,000,000 gallons for amounts greater than
350,000,000 gallons but less than 400,000,000 gallons per year;

(9) $6.50 per 1,000,000 gallons for amounts greater than
400,000,000 gallons but less than 450,000,000 gallons per year;

(10) $7 per 1,000,000 gallons for amounts greater than
450,000,000 gallons but less than 500,000,000 gallons per year;
and

(11) $7.50 per 1,000,000 gallons for amounts greater than
500,000,000 gallons per year.

(b) For once-through cooling systems, a water use
processing fee must be prescribed by the commissioner in
accordance with the following schedule of fees for each water
use permit in force at any time during the year:

(1) for nonprofit corporations and school districts, $150
per 1,000,000 gallons; and

(2) for all other users, $200 $300 per 1,000,000 gallons.

(c) The fee is payable based on the amount of water
appropriated during the year and, except as provided in
paragraph (f), the minimum fee is $100.

(d) For water use processing fees other than once-through
cooling systems:

(1) the fee for a city of the first class may not exceed
$250,000 per year;

(2) the fee for other entities for any permitted use may
not exceed:

(i) $50,000 per year for an entity holding three or fewer
permits;

(ii) $75,000 per year for an entity holding four or five
permits;

(iii) $250,000 per year for an entity holding more than
five permits;

(3) the fee for agricultural irrigation may not exceed $750
per year;

(4) the fee for a municipality that furnishes electric
service and cogenerates steam for home heating may not exceed
$10,000 for its permit for water use related to the cogeneration
of electricity and steam; and

(5) no fee is required for a project involving the
appropriation of surface water to prevent flood damage or to
remove flood waters during a period of flooding, as determined
by the commissioner.

(e) Failure to pay the fee is sufficient cause for revoking
a permit. A penalty of two percent per month calculated from
the original due date must be imposed on the unpaid balance of
fees remaining 30 days after the sending of a second notice of
fees due. A fee may not be imposed on an agency, as defined in
section 16B.01, subdivision 2, or federal governmental agency
holding a water appropriation permit.

(f) The minimum water use processing fee for a permit
issued for irrigation of agricultural land is $20 for years in
which:

(1) there is no appropriation of water under the permit; or

(2) the permit is suspended for more than seven consecutive
days between May 1 and October 1.

(g) A surcharge of $20 per million gallons in addition to
the fee prescribed in paragraph (a) shall be applied to the
volume of water used in June, July, and August that exceeds the
volume of water used in January for municipal water use,
irrigation of golf courses, and landscape irrigation.

Sec. 112.

Minnesota Statutes 2004, section 103G.301,
subdivision 2, is amended to read:

Subd. 2.

Permit application fees.

(a) An application for
a permit authorized under this chapter, and each request to
amend or transfer an existing permit, must be accompanied by a
permit application fee to defray the costs of receiving,
recording, and processing the application or request to amend or
transfer.

(b) The fee to apply for a permit to appropriate water, a
permit to construct or repair a dam that is subject to dam
safety inspection, or a state general permit or to apply for the
state water bank program is $75 $150. The application fee for a
permit to work in public waters or to divert waters for mining
must be at least $75 $150, but not more than $500 $1,000,
according to a schedule of fees adopted under section 16A.1285.

Sec. 113.

Minnesota Statutes 2004, section 103G.615,
subdivision 2, is amended to read:

Subd. 2.

Fees.

(a) The commissioner shall establish a
fee schedule for permits to control or harvest aquatic plants
other than wild rice. The fees must be set by rule, and section
16A.1283 does not apply. The fees may not exceed $750 per
permit based upon the cost of receiving, processing, analyzing,
and issuing the permit, and additional costs incurred after the
application to inspect and monitor the activities authorized by
the permit, and enforce aquatic plant management rules and
permit requirements.

(b) The fee for a permit for the control of rooted aquatic
vegetation is $35 for each contiguous parcel of shoreline owned
by an owner. This fee may not be charged for permits issued in
connection with purple loosestrife control or lakewide Eurasian
water milfoil control programs.

(d) The money received for the permits under this
subdivision shall be deposited in the treasury and credited to
the game and fish fund water recreation account.

Sec. 114.

Minnesota Statutes 2004, section 103I.681,
subdivision 11, is amended to read:

Subd. 11.

Permit fee schedule.

(a) The commissioner of
natural resources shall adopt a permit fee schedule under
chapter 14. The schedule may provide minimum fees for various
classes of permits, and additional fees, which may be imposed
subsequent to the application, based on the cost of receiving,
processing, analyzing, and issuing the permit, and the actual
inspecting and monitoring of the activities authorized by the
permit, including costs of consulting services.

(b) A fee may not be imposed on a state or federal
governmental agency applying for a permit.

(c) The fee schedule may provide for the refund of a fee,
in whole or in part, under circumstances prescribed by the
commissioner of natural resources. Permit Fees received must be
deposited in the state treasury and credited to the general
fund. The amount of money necessary to pay the refunds is
Permit fees received are appropriated annually from the general
fund to the commissioner of natural resources for the costs of
inspecting and monitoring the activities authorized by the
permit, including costs of consulting services.

Sec. 115.

Minnesota Statutes 2004, section 115.03,
subdivision 4a, is amended to read:

Subd. 4a.

Section 401 certifications.

(a) The following
definitions apply to this subdivision:

(1) "section 401 certification" means a water quality
certification required under section 401 of the federal Clean
Water Act, United States Code, title 33, section 1341; and

(2) " nationwide federal general permit" means a nationwide
general permit issued by the United States Army Corps of
Engineers and listed in Code of Federal Regulations, title 40,
part 330, appendix A under section 404 of the federal Clean
Water Act, United States Code, title 33, section 1344; and

(3) "professional review" means review of federal permits
or licenses that require section 401 certification before
issuance by professional or technical agency staff experienced
with section 401 water quality certification.

(b) The agency commissioner is responsible for providing
section 401 certifications for nationwide federal permits or
licenses that require section 401 certification before issuance
of the federal permit or license.

(c) Before making a final decision on a section 401
certification for regional conditions on a nationwide federal
general permit, the agency commissioner shall hold at least one
public meeting outside the seven-county metropolitan area.

(d) In addition to other notice required by law, the agency
shall provide written notice of a meeting at which the agency
will be considering a section 401 certification for regional
conditions on a nationwide federal general permit at least 21
days before the date of the meeting to the members of the senate
and house of representatives environment and natural resources
committees, the senate Agriculture and Rural Development
Committee, and the house of representatives Agriculture
Committee policy committees with jurisdiction over environment
and agriculture.

(e) Beginning July 1, 2005, the commissioner shall collect
a fee on individual section 401 certifications that are not
subject to a federal general permit or a letter of permission in
the amount of $350 per certification and an additional $200 for
each acre of wetland or surface water that is subject to the
section 401 certification. All fees collected by the
commissioner under this section shall be deposited in the
environmental fund and are appropriated to the agency for the
purpose of providing professional review and notification.

(f) A decision by the commissioner to waive review of
section 401 certification must include a written notice to
project applicants that they remain responsible for complying
with all water quality standards and other applicable statutes
and rules and that the commissioner retains the authority to
enforce violations of applicable standards, statutes, and rules,
including assessment of penalties.

(g) The commissioner shall provide access to all public
notices of applications for section 401 certification, their
status, and the decision to certify, deny, or waive any
application on the agency's Internet Web site, and may publish
these documents in any other appropriate public medium. All
public comments must be attached to the official public record
waiver decision and be available for review upon request. All
publications shall include the project's location, including
county, township, range and section, street address, or
directions.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 116.

Minnesota Statutes 2004, section 115.55,
subdivision 5, is amended to read:

Subd. 5.

Inspection.

(a) An inspection shall be required
for all new construction or replacement of a system to determine
compliance with agency rule or local standards. The manner and
timing of inspection may be determined by the applicable local
ordinance. The inspection requirement may be satisfied by a
review by the designated local official of video, electronic,
photographic, or other evidence of compliance provided by the
installer.

(b) Except as provided in subdivision 5b, paragraph (b), a
local unit of government may not issue a building permit or
variance for the addition of a bedroom on property served by a
system unless the system is in compliance with the applicable
requirements, as evidenced by a certificate of compliance issued
by a licensed inspector or site evaluator or designer. A local
unit of government may temporarily waive the certificate of
compliance requirement for a building permit or variance for
which application is made during the period from November 1 to
April 30, provided that an inspection of the system is performed
by the following June 1 and the applicant submits a certificate
of compliance by the following September 30. This paragraph
does not apply if the local unit of government does not have an
ordinance requiring a building permit to add a bedroom.

(c) A certificate of compliance for an existing system is
valid for three years from the date of issuance unless the local
unit of government finds evidence of an imminent threat to
public health or safety requiring removal and abatement under
section 145A.04, subdivision 8.

(d) A certificate of compliance for a new system is valid
for five years from the date of issuance unless the local unit
of government finds evidence of an imminent threat to public
health or safety requiring removal and abatement under section
145A.04, subdivision 8.

(e) A licensed inspector who inspects an existing system
may subsequently design and install a new system for that
property, provided the inspector is licensed to install
individual sewage treatment systems.

(f) No system professional may use their position with
government, either as an employee or a contractor, to solicit
business for their private system enterprise.

Sec. 117.

Minnesota Statutes 2004, section 115.551, is
amended to read:

115.551 TANK FEE.

(a) An installer shall pay a fee of $25 for each septic
system tank installed in the previous calendar year. The fees
required under this section must be paid to the commissioner by
January 30 of each year. The revenue derived from the fee
imposed under this section shall be deposited in the
environmental fund and is exempt from section 16A.1285.

(b) Notwithstanding paragraph (a), for the purposes of
performance-based individual sewage treatment systems, the tank
fee is limited to $25 per household system installation.

Sec. 118.

Minnesota Statutes 2004, section 115B.48,
subdivision 8, is amended to read:

Subd. 8.

Full-time equivalence.

"Full-time equivalence"
means 2,000 hours worked by employees, owners, and others in a
dry cleaning facility during a 12-month period beginning July 1
of the preceding year and running through June 30 of the year in
which the annual registration fee is due. For those dry
cleaning facilities that were in business less than the 12-month
period, full-time equivalence means the total of all of the
hours worked in the dry cleaning facility, divided by 2,000 and
multiplied by a fraction, the numerator of which is 50 and the
denominator of which is the number of weeks in business during
the reporting period. For the purposes of section 115B.49, an
owner working 2,000 hours or more shall be considered as one
full-time equivalent.

Sec. 119.

Minnesota Statutes 2004, section 115B.49, is
amended by adding a subdivision to read:

Subd. 5.

Fee adjustment.

Notwithstanding section
16A.1285, each fiscal year the commissioner shall adjust the
fees in subdivision 4 as necessary to maintain an annual income
to the account of $650,000.

Sec. 120.

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

Subd. 1a.

Board of directors.

The board of directors of
the Agricultural Utilization Research Institute is comprised of:

(1) the chairs of the senate and the house of
representatives standing committees with jurisdiction over
agriculture finance or the chair's designee;

(2) two representatives of statewide farm organizations;

(3) two representatives of agribusiness; and

(4) three representatives of the commodity promotion
councils.

A member of the board of directors under clauses (2) to
(4), including a member serving on July 1, 2003, may serve for a
maximum of two three-year terms. The board's compensation is
governed by section 15.0575, subdivision 3.

Sec. 121.

Minnesota Statutes 2004, section 116P.05,
subdivision 2, is amended to read:

Subd. 2.

Duties.

(a) The commission shall recommend a
budget plan for expenditures from the environment and natural
resources trust fund and shall adopt a strategic plan as
provided in section 116P.08.

(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 Legislative 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.

EFFECTIVE DATE.

This section is effective for interests
in land acquired after June 30, 2005.

Sec. 122.

[116P.16] REAL PROPERTY INTEREST REPORT.

By December 1 each year, a recipient of an appropriation
from the trust fund, that is used for the acquisition of an
interest in real property, must submit annual reports on the
status of the real property to the Legislative Commission on
Minnesota Resources in a form determined by the commission. The
responsibility for reporting under this section may be
transferred by the recipient of the appropriation to another
person who holds the interest in the real property. To complete
the transfer of reporting responsibility, the recipient of the
appropriation must:

(1) inform the person to whom the responsibility is
transferred of that person's reporting responsibility;

(2) inform the person to whom the responsibility is
transferred of the property restrictions under section 116P.15;
and

(3) provide written notice to the commission of the
transfer of reporting responsibility, including contact
information for the person to whom the responsibility is
transferred.

After the transfer, the person who holds the interest in the
real property is responsible for reporting requirements under
this section.

EFFECTIVE DATE.

This section is effective for interests
in land acquired after June 30, 2005.

Sec. 123.

Minnesota Statutes 2004, section 160.232, is
amended to read:

160.232 MOWING DITCHES OUTSIDE CITIES.

(a) To provide enhanced roadside habitat for nesting birds
and other small wildlife,road authorities may not mow or till
the right-of-way of a highway located outside of a home rule
charter or statutory city except as allowed in this section and
section 160.23.

(b) On any highway, the first eight feet away from the road
surface, or shoulder if one exists, may be mowed at any time.

(c) An entire right-of-way may be mowed after July 31.
From August 31 to the following July 31, the entire right-of-way
may only be mowed if necessary for safety reasons, and but may
not be mowed to a height of less than 12 inches.

(d) A right-of-way may be mowed as necessary to maintain
sight distance for safety and may be mowed at other times under
rules of the commissioner, or by ordinance of a local road
authority not conflicting with the rules of the commissioner.

(e) A right-of-way may be mowed, burned, or tilled to
prepare the right-of-way for the establishment of permanent
vegetative cover or for prairie vegetation management.

(f) When feasible, road authorities are encouraged to
utilize low maintenance, native vegetation that reduces the need
to mow, provides wildlife habitat, and maintains public safety.

(g) The commissioner of natural resources shall cooperate
with the commissioner of transportation to provide enhanced
roadside habitat for nesting birds and other small wildlife.

Sec. 124.

Minnesota Statutes 2004, section 168.1296,
subdivision 1, is amended to read:

Subdivision 1.

General requirements and procedures.

(a)
The registrar shall issue special critical habitat license
plates to an applicant who:

(1) is an owner or joint owner of a passenger automobile,
pickup truck, or van, or recreational equipment;

(2) pays a fee of $10 to cover the costs of handling and
manufacturing the plates;

(3) pays the registration tax required under section
168.013;

(4) pays the fees required under this chapter;

(5) contributes a minimum of $30 annually to the Minnesota
critical habitat private sector matching account established in
section 84.943; and

(6) complies with laws and rules governing registration and
licensing of vehicles and drivers.

(b) The critical habitat license application form must
clearly indicate that the annual contribution specified under
paragraph (a), clause (5), is a minimum contribution to receive
the license plate and that the applicant may make an additional
contribution to the account.

(c) Owners of recreational equipment under paragraph (a),
clause (1), are eligible only for special critical habitat
license plates for which the designs are selected under
subdivision 2, on or after January 1, 2006.

(d) Special critical habitat license plates, the designs
for which are selected under subdivision 2, on or after January
1, 2006, may be personalized according to section 168.12,
subdivision 2a.

Sec. 125.

Minnesota Statutes 2004, section 223.17,
subdivision 3, is amended to read:

Subd. 3.

Grain buyers and storage account; fees.

The
commissioner shall set the fees for inspections under sections
223.15 to 223.22 at levels necessary to pay the expenses of
administering and enforcing sections 223.15 to 223.22.

The fee for any license issued or renewed after June 30,
2001 2005, shall be set according to the following schedule:

(a) $125 $140 plus $100 $110 for each additional location
for grain buyers whose gross annual purchases are less than
$100,000;

(b) $250 $275 plus $100 $110 for each additional location
for grain buyers whose gross annual purchases are at least
$100,000, but not more than $750,000;

(c) $375 $415 plus $200 $220 for each additional location
for grain buyers whose gross annual purchases are more than
$750,000 but not more than $1,500,000;

(d) $500 $550 plus $200 $220 for each additional location
for grain buyers whose gross annual purchases are more than
$1,500,000 but not more than $3,000,000; and

(e) $625 $700 plus $200 $220 for each additional location
for grain buyers whose gross annual purchases are more than
$3,000,000.

A penalty amount not to exceed ten percent of the fees due
may be imposed by the commissioner for each month for which the
fees are delinquent.

There is created the grain buyers and storage account in
the agricultural fund. Money collected pursuant to sections
223.15 to 223.19 shall be paid into the state treasury and
credited to the grain buyers and storage account and is
appropriated to the commissioner for the administration and
enforcement of sections 223.15 to 223.22.

Sec. 126.

Minnesota Statutes 2004, section 231.16, is
amended to read:

231.16 WAREHOUSE OPERATOR OR HOUSEHOLD GOODS WAREHOUSE
OPERATOR TO OBTAIN LICENSE.

A warehouse operator or household goods warehouse operator
must be licensed annually by the department. The department
shall prescribe the form of the written application. If the
department approves the license application and the applicant
files with the department the necessary bond, in the case of
household goods warehouse operators, or proof of warehouse
operators legal liability insurance coverage in an amount of
$50,000 or more, as provided for in this chapter, the department
shall issue the license upon payment of the license fee required
in this section. A warehouse operator or household goods
warehouse operator to whom a license is issued shall pay a fee
as follows:
Building square footage used for public storage

(1) 5,000 or less $100 $110
(2) 5,001 to 10,000 $200 $220
(3) 10,001 to 20,000 $300 $330
(4) 20,001 to 100,000 $400 $440
(5) 100,001 to 200,000 $500 $550
(6) over 200,000 $600 $660

A penalty amount not to exceed ten percent of the fees due
may be imposed by the commissioner for each month for which the
fees are delinquent.

Fees collected under this chapter must be paid into the
grain buyers and storage account established in section 232.22.

The license must be renewed annually on or before July 1,
and always upon payment of the full license fee required in this
section. No license shall be issued for any portion of a year
for less than the full amount of the license fee required in
this section. Each license obtained under this chapter must be
publicly displayed in the main office of the place of business
of the warehouse operator or household goods warehouse operator
to whom it is issued. The license authorizes the warehouse
operator or household goods warehouse operator to carry on the
business of warehousing only in the one city or town named in
the application and in the buildings therein described. The
department, without requiring an additional bond and license,
may issue permits from time to time to any warehouse operator
already duly licensed under the provisions of this chapter to
operate an additional warehouse in the same city or town for
which the original license was issued during the term thereof,
upon the filing an application for a permit in the form
prescribed by the department.

A license may be refused for good cause shown and revoked
by the department for violation of law or of any rule adopted by
the department, upon notice and after hearing.

Sec. 127.

Minnesota Statutes 2004, section 232.22,
subdivision 3, is amended to read:

Subd. 3.

Fees; grain buyers and storage account.

There
is created in the agricultural fund an account known as the
grain buyers and storage account. The commissioner shall set
the fees for inspections, certifications and licenses under
sections 232.20 to 232.25 at levels necessary to pay the costs
of administering and enforcing sections 232.20 to 232.25. All
money collected pursuant to sections 232.20 to 232.25 and
chapters 233 and 236 shall be paid by the commissioner into the
state treasury and credited to the grain buyers and storage
account and is appropriated to the commissioner for the
administration and enforcement of sections 232.20 to 232.25 and
chapters 233 and 236. All money collected pursuant to chapter
231 shall be paid by the commissioner into the grain buyers and
storage account and is appropriated to the commissioner for the
administration and enforcement of chapter 231.

The fees for a license to store grain are as follows:

(a) For a license to store grain, $110 for each home rule
charter or statutory city or town in which a public grain
warehouse is operated.

(b) A person with a license to store grain in a public
grain warehouse is subject to an examination fee for each
licensed location, based on the following schedule for one
examination:

Bushel Capacity Examination Fee
Less than 150,001 $300
150,001 to 250,000 $425
250,001 to 500,000 $545
500,001 to 750,000 $700
750,001 to 1,000,000 $865
1,000,001 to 1,200,000 $1,040
1,200,001 to 1,500,000 $1,205
1,500,001 to 2,000,000 $1,380
More than 2,000,000 $1,555

(c) The fee for the second examination is $55 per hour per
examiner for warehouse operators who choose to have it performed
by the commissioner.

(d) A penalty amount not to exceed ten percent of the fees
due may be imposed by the commissioner for each month for which
the fees are delinquent.

Sec. 128.

Minnesota Statutes 2004, section 236.02,
subdivision 4, is amended to read:

Subd. 4.

Fees.

The license fee is $140 for each home
rule charter or statutory city or town in which a private grain
warehouse is operated and which will be used to operate a grain
bank. A penalty amount not to exceed ten percent of the fees
due may be imposed by the commissioner for each month for which
the fees are delinquent.The license fee must be set by the
commissioner in an amount sufficient to cover the costs of
administering and enforcing this chapter. Fees collected under
this chapter must be paid into the grain buyers and storage
account established in section 232.22.

Sec. 129.

Minnesota Statutes 2004, section 282.08, is
amended to read:

282.08 APPORTIONMENT OF PROCEEDS TO TAXING DISTRICTS.

The net proceeds from the sale or rental of any parcel of
forfeited land, or from the sale of products from the forfeited
land, must be apportioned by the county auditor to the taxing
districts interested in the land, as follows:

(1) the amounts necessary to pay the state general tax levy
against the parcel for taxes payable in the year for which the
tax judgment was entered, and for each subsequent payable year
up to and including the year of forfeiture, must be apportioned
to the state;

(2) the portion required to pay any amounts included in the
appraised value under section 282.01, subdivision 3, as
representing increased value due to any public improvement made
after forfeiture of the parcel to the state, but not exceeding
the amount certified by the clerk of the municipality must be
apportioned to the municipal subdivision entitled to it;

(3) the portion required to pay any amount included in the
appraised value under section 282.019, subdivision 5,
representing increased value due to response actions taken after
forfeiture of the parcel to the state, but not exceeding the
amount of expenses certified by the Pollution Control Agency or
the commissioner of agriculture, must be apportioned to the
agency or the commissioner of agriculture and deposited in the
fund from which the expenses were paid;

(4) the portion of the remainder required to discharge any
special assessment chargeable against the parcel for drainage or
other purpose whether due or deferred at the time of forfeiture,
must be apportioned to the municipal subdivision entitled to it;
and

(5) any balance must be apportioned as follows:

(i) The county board may annually by resolution set aside
no more than 30 percent of the receipts remaining to be used for
timber forest development on tax-forfeited land and dedicated
memorial forests, to be expended under the supervision of the
county board. It must be expended only on projects approved by
the commissioner of natural resources improving the health and
management of the forest resource.

(ii) The county board may annually by resolution set aside
no more than 20 percent of the receipts remaining to be used for
the acquisition and maintenance of county parks or recreational
areas as defined in sections 398.31 to 398.36, to be expended
under the supervision of the county board.

(iii) Any balance remaining must be apportioned as
follows: county, 40 percent; town or city, 20 percent; and
school district, 40 percent, provided, however, that in
unorganized territory that portion which would have accrued to
the township must be administered by the county board of
commissioners.

Sec. 130.

Minnesota Statutes 2004, section 282.38,
subdivision 1, is amended to read:

Subdivision 1.

Development.

In any county where the
county board by proper resolution sets aside funds for timber
forest development pursuant to section 282.08,
clause (3)(a) (5), item (i), or section 459.06, subdivision 2,
the Commission commissioner of Iron Range resources and
rehabilitation with the approval of the board may upon request
of the county board assist said county in carrying out any
project for the long range development of its timber forest
resources through matching of funds or otherwise, provided that
any such project shall first be approved by the commissioner of
natural resources.

Sec. 131.

Minnesota Statutes 2004, section 296A.18,
subdivision 2, is amended to read:

Subd. 2.

Motorboat.

Approximately 1-1/2 percent of all
gasoline received in this state and 1-1/2 percent of all
gasoline produced or brought into this state, except gasoline
used for aviation purposes, is being used as fuel for the
operation of motorboats on the waters of this state and of the
total revenue derived from the imposition of the gasoline fuel
tax for uses other than for aviation purposes, 1-1/2 percent of
such revenues the revenue is the amount of tax on fuel used in
motorboats operated on the waters of this state. The amount of
unrefunded tax paid on gasoline used for motor boat purposes as
computed in this chapter shall be paid into the state treasury
and credited to a water recreation account in the special
revenue fund for acquisition, development, maintenance, and
rehabilitation of sites for public access and boating facilities
on public waters; lake and river improvement; state park
development;and boat and water safety.

Sec. 132.

Minnesota Statutes 2004, section 462.357,
subdivision 1e, is amended to read:

Subd. 1e.

Nonconformities.

(a) Any nonconformity,
including the lawful use or occupation of land or premises
existing at the time of the adoption of an additional control
under this chapter, may be continued, including through repair,
replacement, restoration, maintenance, or improvement, but not
including expansion, unless:

(1) the nonconformity or occupancy is discontinued for a
period of more than one year; or

(2) any nonconforming use is destroyed by fire or other
peril to the extent of greater than 50 percent of its market
value, and no building permit has been applied for within 180
days of when the property is damaged. In this case, a
municipality may impose reasonable conditions upon a building
permit in order to mitigate any newly created impact on adjacent
property.

(b) Any subsequent use or occupancy of the land or premises
shall be a conforming use or occupancy. A municipality may, by
ordinance, permit an expansion or impose upon nonconformities
reasonable regulations to prevent and abate nuisances and to
protect the public health, welfare, or safety. This subdivision
does not prohibit a municipality from enforcing an ordinance
that applies to adults-only bookstores, adults-only theaters, or
similar adults-only businesses, as defined by ordinance.

(c) Notwithstanding paragraph (a), a municipality shall
regulate the repair, replacement, maintenance, improvement, or
expansion of nonconforming uses and structures in floodplain
areas to the extent necessary to maintain eligibility in the
National Flood Insurance Program and not increase flood damage
potential or increase the degree of obstruction to flood flows
in the floodway.

Sec. 133.

[473.1565] METROPOLITAN AREA WATER SUPPLY
PLANNING ACTIVITIES; ADVISORY COMMITTEE.

Subdivision 1.

Planning activities.

(a) The Metropolitan
Council must carry out planning activities addressing the water
supply needs of the metropolitan area as defined in section
473.121, subdivision 2. The planning activities must include,
at a minimum:

(1) development and maintenance of a base of technical
information needed for sound water supply decisions including
surface and groundwater availability analyses, water demand
projections, water withdrawal and use impact analyses, modeling,
and similar studies;

(2) development and periodic update of a metropolitan area
master water supply plan that:

(i) provides guidance for local water supply systems and
future regional investments;

(ii) emphasizes conservation, interjurisdictional
cooperation, and long-term sustainability; and

(iii) addresses the reliability, security, and
cost-effectiveness of the metropolitan area water supply system
and its local and subregional components;

(3) recommendations for clarifying the appropriate roles
and responsibilities of local, regional, and state government in
metropolitan area water supply;

(4) recommendations for streamlining and consolidating
metropolitan area water supply decision-making and approval
processes; and

(5) recommendations for the ongoing and long-term funding
of metropolitan area water supply planning activities and
capital investments.

(b) The council must carry out the planning activities in
this subdivision in consultation with the metropolitan area
water supply advisory committee established in subdivision 2.

Subd. 2.

Advisory committee.

(a) A metropolitan area
water supply advisory committee is established to assist the
council in its planning activities in subdivision 1. The
advisory committee has the following membership:

(1) the commissioner of agriculture or the commissioner's
designee;

(2) the commissioner of health or the commissioner's
designee;

(3) the commissioner of natural resources or the
commissioner's designee;

(4) the commissioner of the Pollution Control Agency or the
commissioner's designee;

(5) two officials of counties that are located in the
metropolitan area, appointed by the governor;

(6) six officials of noncounty local governmental units
that are located in the metropolitan area, appointed by the
governor; and

(7) the chair of the Metropolitan Council or the chair's
designee, who is chair of the advisory committee.

(b) Members of the advisory committee appointed by the
governor serve at the pleasure of the governor and their terms
end with the term of the governor. Members of the advisory
committee serve without compensation but may be reimbursed for
their reasonable expenses as determined by the Metropolitan
Council. The advisory committee does not expire until repealed
by law.

Subd. 3.

Reports to legislature.

The council must submit
reports to the legislature regarding its continuing planning
activities under subdivision 1. The first report must be
submitted to the legislature by the date the legislature
convenes in 2007 and subsequent reports must be submitted by
such date every five years thereafter.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 134.

Minnesota Statutes 2004, section 473.197,
subdivision 4, is amended to read:

Subd. 4.

Debt reserve; levy.

To provide money to pay
debt service on bonds issued under the credit enhancement
program if pledged revenues are insufficient to pay debt service
in repealed subdivision 1 of Minnesota Statutes 2004, section
473.197, the council must maintain a debt reserve fund in the
manner and with the effect provided by section 118A.04 for
public funds until the reserve is no longer pledged or otherwise
needed to pay debt service on such bonds. To provide funds for
the debt reserve fund, the council may use up to $3,000,000 of
the proceeds of solid waste bonds issued by the council under
section 473.831 before its repeal. To provide additional funds
for the debt reserve fund, the council may levy a tax on all
taxable property in the metropolitan area and must levy the tax
If sums in the debt reserve fund are insufficient to cure any
deficiency in the debt service fund established for the bonds,
the council must levy a tax on all taxable property in the
metropolitan area in the amount needed to liquidate the
deficiency. The tax authorized by this section does not affect
the amount or rate of taxes that may be levied by the council
for other purposes and is not subject to limit as to rate or
amount.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 135.

Laws 2003, chapter 128, article 1, section 9,
subdivision 6, is amended to read:

Subd. 6.

Recreation 7,622,000 5,870,000

Summary by Fund

Trust Fund 5,622,000 5,870,000

State Land and Conservation
Account (LAWCON) 2,000,000

(a) State Park and Recreation Area Land
Acquisition

$750,000 the first year and $750,000
the second year are from the trust fund
to the commissioner of natural
resources to acquire in-holdings for
state park and recreation areas. Land
acquired with this appropriation must
be sufficiently improved to meet at
least minimum management standards as
determined by the commissioner of
natural resources. This appropriation
is available until June 30, 2006, at
which time the project must be
completed and final products delivered,
unless an earlier date is specified in
the work program.

(b) LAWCON Federal Reimbursements

$2,000,000 is from the state land and
water conservation account (LAWCON) in
the natural resources fund to the
commissioner of natural resources for
eligible state projects and
administrative and planning activities
consistent with Minnesota Statutes,
section 116P.14, and the federal Land
and Water Conservation Fund Act. This
appropriation is contingent upon
receipt of the federal obligation and
remains available until June 30, 2006,
at which time the project must be
completed and final products delivered,
unless an earlier date is specified in
the work program.

$1,290,000 the first year and
$1,289,000 the second year are from the
trust fund to the commissioner of
natural resources for matching grants
to local governments for acquisition
and development of natural and scenic
areas and local parks as provided in
Minnesota Statutes, section 85.019,
subdivisions 2 and 4a, and regional
parks outside of the metropolitan
area. Grants may provide up to 50
percent of the nonfederal share of the
project cost, except nonmetropolitan
regional park grants may provide up to
60 percent of the nonfederal share of
the project cost. The commission will
monitor the grants for approximate
balance over extended periods of time
between the metropolitan area, under
Minnesota Statutes, section 473.121,
subdivision 2, and the nonmetropolitan
area through work program oversight and
periodic allocation decisions. For the
purposes of this paragraph, the match
must be a nonstate contribution, but
may be either cash or qualifying
in-kind. Recipients may receive
funding for more than one project in
any given grant period. This
appropriation is available until June
30, 2006, at which time the project
must be completed and final products
delivered.

(d) Metropolitan Regional Parks
Acquisition, Rehabilitation, and
Development

$1,670,000 the first year and
$1,669,000 the second year are from the
trust fund to the commissioner of
natural resources for an agreement with
the metropolitan council for subgrants
for the acquisition, development, and
rehabilitation in the metropolitan
regional park system, consistent with
the metropolitan council regional
recreation open space capital
improvement plan. This appropriation
may not be used for the purchase of
residential structures. This
appropriation may be used to reimburse
implementing agencies for acquisition
of nonresidential property as expressly
approved in the work program. This
appropriation is available until June
30, 2006, at which time the project
must be completed and final products
delivered, unless an earlier date is
specified in the work program. In
addition, if a project financed under
this program receives a federal grant,
the availability of the financing from
this paragraph for that project is
extended to equal the period of the
federal grant.

(e) Local and Regional Trail Grant
Initiative Program

$160,000 the first year and $160,000
the second year are from the trust fund
to the commissioner of natural
resources to provide matching grants to
local units of government for the cost
of acquisition, development,
engineering services, and enhancement
of existing and new trail facilities.
This appropriation is available until
June 30, 2006, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.
In addition, if a project financed
under this program receives a federal
grant, the availability of the
financing from this paragraph for that
project is extended to equal the period
of the federal grant.

(f) Gitchi-Gami State Trail

$650,000 the first year and $650,000
the second year are from the trust fund
to the commissioner of natural
resources, in cooperation with the
Gitchi-Gami Trail Association, for the
third biennium, to design and construct
approximately five miles of Gitchi-Gami
state trail segments. This
appropriation must be matched by at
least $400,000 of nonstate money. The
availability of the financing from this
paragraph is extended to equal the
period of any federal money received.

(g) Water Recreation: Boat Access,
Fishing Piers, and Shore-fishing

$450,000 the first year and $700,000
the second year are from the trust fund
to the commissioner of natural
resources to acquire and develop public
water access sites statewide, construct
shore-fishing and pier sites, and
restore shorelands at public accesses.
This appropriation is available until
June 30, 2006, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(h) Mesabi Trail

$190,000 the first year and $190,000
the second year are from the trust fund
to the commissioner of natural
resources for an agreement with St.
Louis and Lake Counties Regional Rail
Authority for the sixth biennium to
acquire and develop segments of the
Mesabi trail. If a federal grant is
received, the availability of the
financing from this paragraph is
extended to equal the period of the
federal grant.

(i) Linking Communities Design,
Technology, and DNR Trail Resources

$92,000 the first year and $92,000 the
second year are from the trust fund to
the commissioner of natural resources
for an agreement with the University of
Minnesota to provide designs for up to
three state trails incorporating
recreation, natural, and cultural
features.

(j) Ft. Ridgley Historic Site
Interpretive Trail

$75,000 the first year and $75,000 the
second year are from the trust fund to
the Minnesota historical society to
construct a trail through the original
fort site and install interpretive
markers. This appropriation is
available until June 30, 2006, at which
time the project must be completed and
final products delivered, unless an
earlier date is specified in the work
program.

(k) Development and Rehabilitation of
Minnesota Shooting Ranges

$120,000 the first year and $120,000
the second year are from the trust fund
to the commissioner of natural
resources to provide technical
assistance and matching cost-share
grants to local recreational shooting
and archery clubs for the purpose of
developing or rehabilitating shooting
and archery facilities for public use.
Recipient facilities must be open to
the general public at reasonable times
and for a reasonable fee on a walk-in
basis. This appropriation is available
until June 30, 2006, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

(l) Land Acquisition, Minnesota
Landscape Arboretum

$175,000 the first year and $175,000
the second year are from the trust fund
to the University of Minnesota for an
agreement with the University of
Minnesota Landscape Arboretum
Foundation for the fifth biennium to
acquire in-holdings within the
arboretum's boundary land from willing
sellers. This appropriation must be
matched by an equal amount of nonstate
money. This appropriation is available
until June 30, 2006, at which time the
project must be completed and final
products delivered, unless an earlier
date is specified in the work program.

Sec. 136. CONTINUATION OF AGREEMENTS.

An agreement entered into between the Metropolitan Council
and a participant in the credit enhancement program under
Minnesota Statutes 2004, section 473.197, subdivision 5, with
respect to bonds issued prior to the effective date of this
section, shall continue in effect in accordance with its terms;
provided that no provision in the agreement shall be construed
to require or allow the council to pledge its full faith and
credit and taxing powers to the payment of additional bonds
issued after the effective date of this section.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 137. USE OF CREDIT ENHANCEMENT PROGRAM FUNDS.

The Metropolitan Council must transfer any funds
originating from the proceeds of solid waste bonds and available
for the credit enhancement program under Minnesota Statutes
2004, section 473.197, subdivision 4, to the council's general
fund to the extent that the funds are no longer pledged or
otherwise needed by the council to maintain a debt reserve fund
as provided for in ongoing Minnesota Statutes, section 473.197,
subdivision 4. The council must first use the transferred funds
for carrying out the metropolitan area water supply planning
activities required by Minnesota Statutes, section 473.1565, for
staff support of the advisory committee established under that
section, and for related purposes. If the council determines
that the transferred funds are no longer needed for those
purposes, the council may use any of the funds for any general
purposes of the council.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 138. TRANSFER OF FUNDS; DEPOSIT OF REPAYMENTS.

The remaining balances in the revolving accounts in
Minnesota Statutes, sections 41B.046 and 41B.049, that are
dedicated to rural finance authority loan programs under those
sections, are transferred to the revolving loan account
established in Minnesota Statutes, section 41B.06, on the
effective date of this section. All future receipts from
value-added agricultural product loans and methane digester
loans originated under Minnesota Statutes, sections 41B.046 and
41B.049, must be deposited in the revolving loan account
established in Minnesota Statutes, section 41B.06.

Sec. 139. REPEALER.

(a) Minnesota Statutes 2004, sections 18B.065, subdivision
5; 19.64, subdivision 4a; 41B.046, subdivision 3; 84.901; and
115B.49, subdivision 4a, are repealed.

(b) Minnesota Statutes 2004, sections 473.156; and 473.197,
subdivisions 1, 2, 3, and 5, are repealed effective the day
following final enactment.

ARTICLE 2

ECONOMIC DEVELOPMENT

Section 1. ECONOMIC DEVELOPMENT APPROPRIATIONS.

The sums in the columns marked "APPROPRIATIONS" are added
to, or, if shown in parentheses, are subtracted from the
appropriations to the specified agencies in 2005 S.F. No. 1879,
article 5, if enacted. The appropriations are from the general
fund, unless another fund is named, and are available for the
fiscal year indicated for each purpose. The figures "2006" and
"2007," where used in this article, mean that the additions to
or subtractions from the appropriations listed under them are
for the fiscal year ending June 30, 2006, or June 30, 2007,
respectively. The "first year" is fiscal year 2006. The
"second year" is fiscal year 2007. The "biennium" is fiscal
years 2006 and 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 9,188,000 $ 2,713,000 $ 11,901,000

Workers'
Compensation 25,000 25,000 50,000

Workforce
Development 5,000,000 7,950,000 12,950,000

Special Revenue 643,000 848,000 1,491,000

TOTAL $ 14,856,000 $ 11,536,000 $ 26,392,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. EMPLOYMENT AND
ECONOMIC DEVELOPMENT

Subdivision 1.

Total
Appropriation $ 12,078,000 $ 6,558,000

Summary by Fund

General 7,935,000 460,000

Workforce
Development 2,750,000 4,500,000

Special
Revenue 643,000 848,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Business and Community
Development

7,930,000 455,000

$7,000,000 the first year is for the
direct and indirect expenses of the
collaborative research partnership
between the University of Minnesota and
the Mayo Foundation for research in
biotechnology and medical genomics.
This is a onetime appropriation. An
annual report on the expenditure of
this appropriation must be submitted to
the governor and the chairs of the
senate Higher Education Budget
Division, the house of representatives
Higher Education Finance Committee, the
senate Environment, Agriculture, and
Economic Development Budget Division,
and the house of representatives Jobs
and Economic Opportunity Policy and
Finance Committee, by June 30 of each
fiscal year until the appropriation is
expended. This appropriation is
available until expended.

$100,000 the first year and $100,000
the second year are to help small
businesses access federal funds through
the federal Small Business Innovation
Research Program and the federal Small
Business Technology Transfer Program.
Department services must include
maintaining connections to 11 federal
programs, assessment of specific
funding opportunities, review of
funding proposals, referral to specific
consulting services, and training
workshops throughout the state. The
appropriation is added to the agency's
base. The department must implement
fees for services that help companies
seek federal Phase II Small Business
Innovation Research grants. The
recommended fee schedule must be
reported to the chairs of the house of
representatives finance committee and
senate budget division with
jurisdiction over economic development
by February 1, 2006.

$50,000 the first year and $50,000 the
second year are for a grant to the
Minnesota Inventors Congress.

$250,000 the first year and $250,000
the second year are to establish a
methamphetamine laboratory cleanup
revolving loan fund pursuant to
proposed Minnesota Statutes, section
446A.083. This appropriation is
available until spent.

$125,000 the first year is for a grant
to the Northwest Regional Development
Commission at Warren to do field
research on the planting and production
of cold-hardy grape cultivars. This is
a onetime appropriation and is
available until expended.

This vineyard production research
project is to select cold-hardy
cultivars and cultural practices that
can diversify the agricultural
landscape of Minnesota and stimulate
economic development with subsequent
expansion into value-added businesses
and the winery industry. Treatments
used in this research project must
focus on development of cultural and
management practices that include
trials on planting depths, vine root
care, cultivation techniques, mulching,
and other methods that will enhance
productivity and winter survival in
subzero temperatures.

An annual report is required, including
an economic assessment that compares
the input requirements and feasibility
of each overwintering technique and its
contribution to the success of the
vines. The report must be submitted to
the chairs of the house of
representatives and senate policy
committees with jurisdiction over
agriculture. The Northwest Regional
Development Commission is encouraged to
work with the University of Minnesota
and the North Dakota State University
experiment stations and on-farm sites
to evaluate the suitability of
regionally developed grape cultivars in
areas of harsh winters and short
growing seasons.

$55,000 the first year and $55,000 the
second year are for a grant to the
Metropolitan Economic Development
Association for continuing minority
business development programs in the
metropolitan area. These programs
include one-on-one business consulting,
marketing assistance, providing and
arranging financing, and training and
leadership development. These
appropriations are part of the
department's budget base.

$250,000 the first year is for a grant
to the Blandin Foundation for the "get
broadband" program. This appropriation
must be matched equally by nonstate
funds and is available until expended.
Expenditures made by the Blandin
Foundation beginning December 1, 2004,
may be used as match for this
appropriation. The "get broadband"
program must be designed to increase
the use of broadband-based technologies
by businesses, schools, health care
organizations, government
organizations, and the general public.

$100,000 the first year is for a grant
to the Children's Discovery Museum for
furnishing and equipping the new
Children's Discovery Museum in Grand
Rapids.

Subd. 3.

Workforce Partnerships

3,398,000 5,353,000

Summary by Fund

General 5,000 5,000

Workforce
Development 2,750,000 4,500,000

Special Revenue 643,000 848,000

$1,000,000 the first year and
$2,000,000 the second year are from the
workforce development fund for a grant
to the Minnesota Alliance of Boys and
Girls Clubs to administer a statewide
project of youth job skills
development. This project, which may
have career guidance components, is to
encourage, train, and assist youth in
job-seeking skills, workplace
orientation, and job-site knowledge
through coaching. This grant requires
a 25 percent match from nonstate
resources.

$5,000 the first year and $5,000 the
second year are for a grant to the
Northwest Regional Curfew Center under
the youth intervention program in
Minnesota Statutes, section 116L.30.

$500,000 the first year and $500,000
the second year are from the workforce
development fund for a grant to the
Minnesota Opportunities
Industrialization Centers State
Council. The grant shall be used by
the American Indian Opportunities
Industrialization Centers of
Minneapolis, and the Northwestern
Opportunities Industrialization Centers
of Bemidji, to provide training to
American Indians on personal financial
management and investment and to become
small businesspersons. The
opportunities industrialization centers
may contract with any accredited state
or private educational institution to
deliver training. This appropriation
is in addition to the base level
funding and shall become part of the
agency's budget base.

$500,000 the first year and $1,000,000
the second year are from the workforce
development fund for a grant to the
Minnesota Opportunity Industrialization
Centers State Council. The grant shall
be used to initiate and expand health
occupation training at Minnesota
Opportunity Industrialization Centers.
The grant shall be distributed evenly
among those Minnesota Opportunity
Industrialization Centers that have
plans to either initiate or expand
health occupations and career ladder
training programs for individuals
seeking employment as nurses, nursing
assistants, home health aides,
phlebotomists, or in the field of
medical coding. This appropriation is
in addition to the base level funding
and shall become part of the agency's
budget base.

Notwithstanding 2005 S.F. No. 1879,
article 7, section 2, subdivision 3,
paragraph (d), if enacted, of the total
appropriation in that subdivision, plus
this subdivision, $843,000 the first
year and $1,048,000 the second year are
for displaced homemaker programs under
Minnesota Statutes, section 116L.96.
These appropriations are from the
special revenue fund and are part of
agency budget base. The commissioner
of economic security shall report to
the legislature by February 15, 2007,
on the outcome of grants under this
paragraph.

$750,000 the first year is from the
workforce development fund for a grant
to provide training to implement the
Ford Motor Company Ford Production
System at the Twin Cities Ford Assembly
Plant.

$500,000 the first year and $1,500,000
the second year are from the workforce
development fund for youth intervention
programs under Minnesota Statutes,
section 116L.30. This funding must be
used to help existing programs serve
unmet needs in their communities, and
to create new programs in underserved
areas of the state. This appropriation
is part of the department's budget
base. The appropriations are available
until expended.

$8,500 in the first year and $8,500 in
the second year are from the
department's base for a grant to the
Twin Cities Community Voice Mail to
maintain the toll-free telephone number
for the Greater Minnesota Project. The
commissioner must ensure that the
telephone number is not changed for the
2006-2007 biennium.

$250,000 the first year and $250,000
the second year are from the workforce
development fund for a grant to
Lifetrack Resources for its immigrant
and refugee collaborative programs,
including those related to job-seeking
skills and workplace orientation,
intensive job development, functional
work English, and on-site job coaching.

Subd. 4.

Workforce Services

750,000 750,000

$400,000 the first year and $400,000
the second year are from the workforce
development fund for extended
employment services for persons with
severe disabilities or related
conditions under Minnesota Statutes,
section 268A.15.

$150,000 the first year and $150,000
the second year are from the workforce
development fund for grants to the
Minnesota Employment Center for people
who are deaf or hard-of-hearing. Money
not expended the first year is
available the second year.

$200,000 the first year and $200,000
the second year are from the workforce
development fund for grants for
programs that provide employment
support services to persons with mental
illness under Minnesota Statutes,
sections 268A.13 and 268A.14. Of the
total appropriations for this program,
up to $84,000 each year may be used for
administrative and salary expenses.

Sec. 3. MINNESOTA CONSERVATION CORPS 1,200,000 2,400,000

This appropriation is from the
workforce development fund for the
purposes of Minnesota Statutes, section
84.991.

Sec. 4. EXPLORE MINNESOTA TOURISM 125,000 1,125,000

Notwithstanding 2005 S.F. No. 1879,
article 7, section 3, if enacted, the
appropriation in that section, plus the
appropriation in this section, must be
spent as provided in this section.

$1,000,000 in the second year is to
enhance the public/private funding
partnership. To develop maximum
private sector involvement in tourism,
$4,000,000 the first year and
$4,000,000 the second year of the
amounts appropriated for marketing
activities are contingent upon receipt
of an equal contribution from nonstate
sources that have been certified by the
director. Up to one-half of the match
may be given in in-kind contributions.

In order to maximize marketing grant
benefits, the director must give
priority for joint venture marketing
grants to organizations with year-round
sustained tourism activities. For
programs and projects submitted, the
director must give priority to those
that encompass two or more areas or
that attract nonresident travelers to
the state.

If an appropriation for either year for
grants is not sufficient, the
appropriation for the other year is
available for it.

The director may use grant dollars or
the value of in-kind services to
provide the state contribution for the
partnership program.

Any unexpended money from general fund
appropriations governed by this section
does not cancel but must be placed in a
special advertising account for use by
Explore Minnesota Tourism to purchase
additional media.

$125,000 the first year and $125,000
the second year of the appropriation in
this section are for the Minnesota Film
Board. The appropriation in each year
is available only upon receipt by the
board of $1 in matching contributions
of money or in kind from nonstate
sources for every $3 provided by this
appropriation.

Sec. 5. HOUSING FINANCE AGENCY

As provided in Minnesota Statutes,
section 462A.20, subdivision 3, the
agency may transfer unencumbered
balances from one appropriated account
to another as necessary to implement
the business plan of the working group
on long-term homelessness established
in Laws 2003, chapter 128, article 15,
section 9.

The agency shall establish a priority
for supportive housing projects that
provide employment support and housing
for offenders who are discharged from a
correctional or detention facility. Up
to $1,400,000 of the appropriation to
the housing trust fund in 2005 S.F. No.
1879, if enacted, shall be awarded to
projects that address this priority and
the greatest number of priorities
established under the rules governing
the housing trust fund program.

Sec. 6. LABOR AND INDUSTRY

Subdivision 1.

Total
Appropriation 703,000 703,000

Summary by Fund

General 378,000 378,000

Workers'
Compensation 25,000 25,000

Workforce
Development 300,000 300,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Workers' Compensation

25,000 25,000

This appropriation is from the workers'
compensation fund for grants to the
Vinland Center for rehabilitation
service. These grants include the
Vinland employment program and must
address multiple barriers to
employment, a self-sufficiency
lifestyle, and physical, mental,
emotional, or cognitive work injuries
or disabilities. This appropriation is
part of the budget base for the
Department of Labor and Industry.

Subd. 3.

Workplace Services

678,000 678,000

Summary by Fund

General 378,000 378,000

Workforce
Development 300,000 300,000

$378,000 the first year and $378,000
the second year are to improve the
regulatory enforcement and safety of
boilers and high-pressure-piping
systems.

$300,000 each year is from the
workforce development fund for the
apprenticeship program under Minnesota
Statutes, chapter 178.

The annual license fees authorized
under Minnesota Statutes, section
326.48, and detailed in Minnesota
Rules, part 5230.0100, subpart 3, shall
increase $20 for a journeyman
high-pressure piping pipefitter
license, $20 for a high-pressure piping
contracting pipefitter, $10 for an
inactive license, and $100 for a
high-pressure pipefitting business
license.

The permit filing and inspection fees
authorized under Minnesota Statutes,
section 326.47, and detailed in
Minnesota Rules, part 5230.0100,
subpart 4, shall be increased as
follows: the filing of a permit
application shall be increased $50, the
minimum high-pressure piping inspection
fee shall be increased $50, and the
schedule of inspection fee rates shall
be increased by ten percent.

Subd. 4.

General Support

The commissioner of labor and industry
shall report to the 2006 legislature on
the safety and education program for
Minnesota loggers under Minnesota
Statutes, section 176.130.

Sec. 7. MINNESOTA HISTORICAL
SOCIETY 750,000 750,000

$75,000 the first year and $75,000 the
second year are to assist the Minnesota
Sesquicentennial Commission for
planning and support of its mission.
This is a onetime appropriation and is
available until January 30, 2009.

$675,000 the first year and $675,000
the second year are to operate historic
sites including: Kelley Farm, Hill
House, Lower Sioux Agency, Fort
Ridgely, Historic Forestville, the
Forest History Center, and the Comstock
House. Funding for these sites must be
matched on a $1 of nonstate money to $1
of state money basis. This
appropriation is in addition to any
other appropriation and is part of the
Minnesota Historical Society's budget
base.

Sec. 8.

Minnesota Statutes 2004, section 11A.24,
subdivision 6, is amended to read:

Subd. 6.

Other investments.

(a) In addition to the
investments authorized in subdivisions 1 to 5, and subject to
the provisions in paragraph (b), the state board may invest
funds in:

(1) venture capital investment businesses through
participation in limited partnerships, trusts, private
placements, limited liability corporations, limited liability
companies, limited liability partnerships, and corporations;

(2) real estate ownership interests or loans secured by
mortgages or deeds of trust or shares of real estate investment
trusts through investment in limited partnerships, bank
sponsored collective funds, trusts, mortgage participation
agreements, and insurance company commingled accounts, including
separate accounts;

(3) regional and mutual funds through bank sponsored
collective funds and open-end investment companies registered
under the Federal Investment Company Act of 1940, and closed-end
mutual funds listed on an exchange regulated by a governmental
agency;

(4) resource investments through limited partnerships,
trusts, private placements, limited liability corporations,
limited liability companies, limited liability partnerships, and
corporations; and

(5) international securities.

(b) The investments authorized in paragraph (a) must
conform to the following provisions:

(1) the aggregate value of all investments made according
to paragraph (a), clauses (1) to (4), may not exceed 35 percent
of the market value of the fund for which the state board is
investing;

(2) there must be at least four unrelated owners of the
investment other than the state board for investments made under
paragraph (a), clause (1), (2), (3), or (4);

(3) state board participation in an investment vehicle is
limited to 20 percent thereof for investments made under
paragraph (a), clause (1), (2), (3), or (4); and

(4) state board participation in a limited partnership does
not include a general partnership interest or other interest
involving general liability. The state board may not engage in
any activity as a limited partner which creates general
liability.

(c) All financial, business, or proprietary data collected,
created, received, or maintained by the state board in
connection with investments authorized by paragraph (a), clause
(1), (2), or (4), are nonpublic data under section 13.02,
subdivision 9. As used in this paragraph, "financial, business,
or proprietary data" means data, as determined by the
responsible authority for the state board, that is of a
financial, business, or proprietary nature, the release of which
could cause competitive harm to the state board, the legal
entity in which the state board has invested or has considered
an investment, the managing entity of an investment, or a
portfolio company in which the legal entity holds an interest.
As used in this section, "business data" is data described in
section 13.591, subdivision 1. Regardless of whether they could
be considered financial, business, or proprietary data, the
following data received, prepared, used, or retained by the
state board in connection with investments authorized by
paragraph (a), clause (1), (2), or (4), are public at all times:

(1) the name and industry group classification of the legal
entity in which the state board has invested or in which the
state board has considered an investment;

(2) the state board commitment amount, if any;

(3) the funded amount of the state board's commitment to
date, if any;

(4) the market value of the investment by the state board;

(5) the state board's internal rate of return for the
investment, including expenditures and receipts used in the
calculation of the investment's internal rate of return; and

(6) the age of the investment in years.

Sec. 9.

Minnesota Statutes 2004, section 13.635, is
amended by adding a subdivision to read:

Subd. 1a.

State board of investment.

Certain government
data of the State Board of Investment related to capital
investments are classified under section 11A.24, subdivision 6.

Sec. 10.

Minnesota Statutes 2004, section 41A.09,
subdivision 2a, is amended to read:

Subd. 2a.

Definitions.

For the purposes of this section,
the terms defined in this subdivision have the meanings given
them.

(1) meets all of the specifications in ASTM specification
D4806-01 D4806-04a; and

(2) is denatured as specified in Code of Federal
Regulations, title 27, parts 20 and 21.

(b) "Ethanol plant" means a plant at which ethanol is
produced.

Sec. 11.

[45.22] LICENSE EDUCATION.

The following fees must be paid to the commissioner:

(1) initial course approval, $10 for each hour or fraction
of one hour of education course approval sought. Initial course
approval expires on the last day of the 24th month after the
course is approved;

(2) renewal of course approval, $10 per course. Renewal of
course approval expires on the last day of the 24th month after
the course is renewed;

(3) initial coordinator approval, $100. Initial
coordinator approval expires on the last day of the 24th month
after the coordinator is approved; and

(4) renewal of coordinator approval, $10. Renewal of
coordinator approval expires on the last day of the 24th month
after the coordinator is renewed.

Sec. 12.

[59B.01] SCOPE AND PURPOSE.

(a) The purpose of this chapter is to create a legal
framework within which service contracts may be sold in this
state.

(b) The following are exempt from this chapter:

(1) warranties;

(2) maintenance agreements;

(3) warranties, service contracts, or maintenance
agreements offered by public utilities, as defined in section
216B.02, subdivision 4, or an entity or operating unit owned by
or under common control with a public utility;

(4) service contracts sold or offered for sale to persons
other than consumers;

(5) service contracts on tangible property where the
tangible property for which the service contract is sold has a
purchase price of $250 or less, exclusive of sales tax;

(6) motor vehicle service contracts as defined in section
65B.29, subdivision 1, paragraph (1);

(7) service contracts for home security equipment installed
by a licensed technology systems contractor; and

(8) motor club membership contracts that typically provide
roadside assistance services to motorists stranded for reasons
that include, but are not limited to, mechanical breakdown or
adverse road conditions.

(c) The types of agreements referred to in paragraph (b)
are not subject to chapters 60A to 79A, except as otherwise
specifically provided by law.

Sec. 13.

[59B.02] DEFINITIONS.

Subdivision 1.

Terms.

For the purposes of this chapter,
the terms defined in this section have the meanings given them.

Subd. 2.

Administrator.

"Administrator" means the person
who is responsible for the administration of the service
contracts or the service contracts plan or who is responsible
for any filings required by this chapter.

Subd. 3.

Commissioner.

"Commissioner" means the
commissioner of commerce.

Subd. 4.

Consumer.

"Consumer" means a natural person who
buys, other than for purposes of resale, any tangible personal
property that is distributed in commerce and that is normally
used for personal, family, or household purposes and not for
business or research purposes.

Subd. 5.

Maintenance agreement.

"Maintenance agreement"
means a contract of limited duration that provides for scheduled
maintenance only.

Subd. 6.

Person.

"Person" means an individual,
partnership, corporation, incorporated or unincorporated
association, joint stock company, reciprocal, syndicate, or any
similar entity or combination of entities acting in concert.

Subd. 7.

Premium.

"Premium" means the consideration paid
to an insurer for a reimbursement insurance policy.

Subd. 8.

Provider.

"Provider" means a person who is
contractually obligated to the service contract holder under the
terms of the service contract.

Subd. 9.

Provider fee.

"Provider fee" means the
consideration paid for a service contract.

Subd. 10.

Reimbursement insurance policy.

"Reimbursement
insurance policy" means a policy of insurance issued to a
provider to either provide reimbursement to the provider under
the terms of the insured service contracts issued or sold by the
provider or, in the event of the provider's nonperformance, to
pay on behalf of the provider all covered contractual
obligations incurred by the provider under the terms of the
insured service contracts issued or sold by the provider.

Subd. 11.

Service contract.

"Service contract" means a
contract or agreement for a separately stated consideration for
a specific duration to perform the repair, replacement, or
maintenance of property or indemnification for repair,
replacement, or maintenance, for the operational or structural
failure due to a defect in materials, workmanship, or normal
wear and tear, with or without additional provisions for
incidental payment of indemnity under limited circumstances.
Service contracts may provide for the repair, replacement, or
maintenance of property for damage resulting from power surges
and accidental damage from handling.

Subd. 12.

Service contract holder or contract
holder.

"Service contract holder" or "contract holder" means a
person who is the purchaser or holder of a service contract.

Subd. 13.

Warranty.

"Warranty" means a warranty made
solely by the manufacturer, importer, or seller of property or
services without consideration, that is not negotiated or
separated from the sale of the product, and is incidental to the
sale of the product, that guarantees indemnity for defective
parts, mechanical or electrical breakdown, labor, or other
remedial measures, such as repair or replacement of the property
or repetition of services.

Sec. 14.

[59B.03] REQUIREMENTS FOR TRANSACTING BUSINESS.

Subdivision 1.

Appointment of administrator.

A provider
may, but is not required to, appoint an administrator or other
designee to be responsible for any or all of the administration
of service contracts and compliance with this chapter.

Subd. 2.

Contract copies and receipts.

Service contracts
must not be issued, sold, or offered for sale in this state
unless the provider has:

(1) provided a receipt for, or other written evidence of,
the purchase of the service contract to the contract holder;

(2) provided a copy of the service contract to the service
contract holder within a reasonable period of time from the date
of purchase; and

(3) complied with this chapter.

Subd. 3.

Registration.

Each provider of service
contracts sold in this state shall file a registration with the
commissioner on a form prescribed by the commissioner. Each
provider shall pay to the commissioner a fee in the amount of
$200 annually.

Subd. 4.

Financial requirements.

In order to ensure the
faithful performance of a provider's obligations to its contract
holders, each provider is responsible for complying with the
requirements of one of the following:

(1) insure all service contracts under a reimbursement
insurance policy issued by an insurer authorized to transact
insurance in this state, a risk retention group, as that term is
defined in United States Code, title 15, section 3901(A)(4), as
long as that risk retention group is registered pursuant to
section 60E.03 or 60E.04 as applicable, and is in full
compliance with the federal Liability Risk Retention Act of
1986, United States Code, title 15, section 3901, et al., or
issued pursuant to sections 60A.195 to 60A.209, and either:

(i) the insurer or risk retention group shall, at the time
the policy is filed with the commissioner, and continuously
thereafter, maintain surplus as to policyholders and paid-in
capital of at least $15,000,000, and annually file audited
financial statements with the commissioner; or

(ii) the commissioner may authorize an insurer or risk
retention group that has surplus as to policyholders and paid-in
capital of less than $15,000,000 but at least equal to
$10,000,000 to issue the insurance required by this section if
the insurer or risk retention group demonstrates to the
satisfaction of the commissioner that the company maintains a
ratio of direct written premiums, wherever written, to surplus
as to policyholders and paid-in capital of not greater than
3-to-1; or

(2)(i) maintain a funded reserve account for obligations
under contracts issued and outstanding in this state. The
reserves must not be less than 40 percent of gross consideration
received, less claims paid, on the sale of the service contract
for all in-force contracts. The reserve account is subject to
examination and review by the commissioner; and

(ii) place in trust with the commissioner a financial
security deposit, having a value of not less than five percent
of the gross consideration received, less claims paid, on the
sale of the service contract for all service contracts issued
and in force, but not less than $25,000, consisting of one of
the following:

(A) a surety bond issued by an authorized surety;

(B) securities of the type eligible for deposit by
authorized insurers in this state;

(D) a letter of credit issued by a qualified financial
institution containing an evergreen clause which prevents the
expiration of the letter without due notice from the issuer; or

(E) another form of security prescribed by rules of the
commissioner; or

(3)(i) maintain, or its parent company maintain, a net
worth or stockholders' equity of $100,000,000; and

(ii) upon request, provide the commissioner with a copy of
the provider's or the provider's parent company's most recent
Form 10-K or Form 20-F filed with the Securities and Exchange
Commission (SEC) within the last calendar year, or if the
company does not file with the SEC, a copy of the company's
audited financial statements, which shows a net worth of the
provider or its parent company of at least $100,000,000. If the
provider's parent company's Form 10-K, Form 20-F, or audited
financial statements are filed to meet the provider's financial
stability requirement, then the parent company shall agree to
guarantee the obligations of the provider relating to service
contracts sold by the provider in this state.

Subd. 5.

Right of return.

Service contracts must require
the provider to permit the service contract holder to return the
service contract within 20 days of the date the service contract
was mailed to the service contract holder or within ten days of
delivery if the service contract is delivered to the service
contract holder at the time of sale or within a longer time
period permitted under the service contract. Upon return of the
service contract to the provider within the applicable time
period, if no claim has been made under the service contract
before its return to the provider, the service contract is void
and the provider shall refund to the service contract holder, or
credit the account of the service contract holder, with the full
purchase price of the service contract. The right to void the
service contract provided in this paragraph is not transferable
and applies only to the original service contract purchaser, and
only if no claim has been made before its return to the
provider. A ten percent penalty per month must be added to a
refund that is not paid or credited within 45 days after return
of the service contract to the provider.

Subd. 6.

Premium taxes.

(a) Provider fees collected on
service contracts are not subject to premium taxes.

(b) Premiums for reimbursement insurance policies are
subject to applicable taxes.

Subd. 7.

Licensing exemption.

Except for the
registration requirements in subdivision 3, providers and
related service contract sellers, administrators, and other
persons marketing, selling, or offering to sell service
contracts are exempt from any licensing requirements of this
state.

Subd. 8.

Insurance exemption.

The marketing, sale,
offering for sale, issuance, making, proposing to make, and
administration of service contracts by providers and related
service contract sellers, administrators, and other persons are
exempt from all other provisions of the insurance laws of this
state, except as provided in section 72A.20, subdivision 38.

Sec. 15.

[59B.04] REQUIRED DISCLOSURES; REIMBURSEMENT
INSURANCE POLICY.

Subdivision 1.

Right to payment or
reimbursement.

Reimbursement insurance policies insuring
service contracts issued, sold, or offered for sale in this
state shall state that the insurer that issued the reimbursement
insurance policy shall either reimburse or pay on behalf of the
provider any covered sums the provider is legally obligated to
pay or, in the event of the provider's nonperformance, shall
provide the service which the provider is legally obligated to
perform according to the provider's contractual obligations
under the service contracts issued or sold by the provider.

Subd. 2.

Right to apply to company.

In the event covered
service is not provided by the service contract provider within
60 days of proof of loss by the service contract holder, the
contract holder is entitled to apply directly to the
reimbursement insurance company.

Sec. 16.

[59B.05] REQUIRED DISCLOSURE; SERVICE
CONTRACTS.

Subdivision 1.

Readability and general
disclosure.

Service contracts marketed, sold, offered for sale,
issued, made, proposed to be made, or administered in this state
must be written, printed, or typed in clear, understandable
language that is easy to read and must disclose the requirements
set forth in this section, as applicable.

Subd. 2.

Identities of parties.

Service contracts must
state the name and address of the provider, and must identify
any administrator if different from the provider, the service
contract seller, and the service contract holder to the extent
that the name of the service contract holder has been furnished
by the service contract holder. The identities of the parties
are not required to be preprinted on the service contract and
may be added to the service contract at the time of sale.

Subd. 3.

Total purchase price and sales terms.

Service
contracts must state the total purchase price and the terms
under which the service contract is sold. The purchase price is
not required to be preprinted on the service contract and may be
negotiated at the time of sale with the service contract holder.

Subd. 4.

Deductibles.

Service contracts must state the
existence of any deductible amount, if applicable.

Subd. 5.

Coverages, limitations, and exclusions.

No
particular causes of loss of property are required to be
covered, but service contracts must specify the merchandise and
services to be provided and, with equal prominence, any
limitations, exceptions, or exclusions including, but not
limited to, any damage or breakdown not covered by the service
contract.

Subd. 6.

Restrictions on transferability.

Service
contracts must state any restrictions governing the
transferability of the service contract, if applicable.

Subd. 7.

Cancellation terms.

Service contracts must
state the terms, restrictions, or conditions governing
cancellation of the service contract prior to the termination or
expiration date of the service contract by either the provider
or the service contract holder. The provider of the service
contract shall mail a written notice to the contract holder at
the last known address of the service contract holder contained
in the records of the provider at least 15 days before
cancellation by the provider. Five days' notice is required if
the reason for cancellation is nonpayment of the provider fee, a
material misrepresentation by the service contract holder to the
provider, or a substantial breach of duties by the service
contract holder relating to the covered product or its use. The
notice must state the effective date of the cancellation and the
reason for the cancellation.

Subd. 8.

Duties of contract holder.

Service contracts
must set forth all of the obligations and duties of the service
contract holder, such as the duty to protect against any further
damage and any requirement to follow the owner's manual.

Subd. 9.

Exclusions; consequential damages and
preexisting conditions.

Service contracts may exclude coverage
for consequential damages or preexisting conditions. These
exclusions, if applicable, must be stated in the contract.

Sec. 17.

[59B.06] ADDITIONAL REQUIRED DISCLOSURE; SERVICE
CONTRACTS.

Subdivision 1.

Insurance disclosure.

Service contracts
insured under a reimbursement insurance policy pursuant to
section 59B.03, subdivision 4, clause (1), must contain a
statement in substantially the following form: "Obligations of
the provider under this service contract are insured under a
service contract reimbursement insurance policy." The service
contract must also state the name and address of the insurer.

Subd. 2.

Disclosure of no insurance.

Service contracts
not insured under a reimbursement insurance policy pursuant to
section 59B.03, subdivision 4, clause (1), must contain a
statement in substantially the following form: "Obligations of
the provider under this service contract are backed by the full
faith and credit of the provider."

Sec. 18.

[59B.07] PROHIBITED ACTS.

Subdivision 1.

Deceptive names.

A provider shall not use
in its name the words insurance, casualty, surety, mutual, or
any other words descriptive of the insurance, casualty, or
surety business; or a name deceptively similar to the name or
description of any insurance or surety corporation, or to the
name of any other provider. The word "guaranty" or similar word
may be used by a provider. This section does not apply to a
company that was using any of the prohibited language in its
name before the effective date of this chapter. However, a
company using the prohibited language in its name shall include
in its service contracts a statement in substantially the
following form: "This agreement is not an insurance contract."

Subd. 2.

False or misleading statements.

A provider or
its representative shall not in its service contracts,
literature, or otherwise make, permit, or cause to be made any
false or misleading statement or omit any material statement
that would be considered misleading if omitted.

Subd. 3.

Required purchase.

A person, such as a bank,
savings association, lending institution, manufacturer, or
seller of any product, shall not require the purchase of a
service contract as a condition of a loan or a condition for the
sale of any property.

Sec. 19.

[59B.08] RECORD-KEEPING REQUIREMENTS.

Subdivision 1.

Generally.

The provider shall keep
accurate accounts, books, and records concerning transactions
regulated under this chapter.

The provider's accounts, books, and records include the
following:

(1) copies of each type of service contracts sold;

(2) the name and address of each service contract holder to
the extent that the name and address have been furnished by the
service contract holder;

(3) a list of the locations where service contracts are
marketed, sold, or offered for sale; and

(4) written claims files which shall contain information
regarding the services provided or claims payments for contracts
that provide for payments or reimbursement, including at least
the dates and description of claims related to the service
contracts.

Subd. 2.

Retention.

(a) Except as provided in paragraph
(b), the provider shall retain all records required to be
maintained by this section for at least three years after the
specified period of coverage has expired.

(b) A provider discontinuing business in this state shall
maintain its records until it furnishes the commissioner
satisfactory proof that it has discharged all obligations to
contract holders in this state.

Subd. 3.

Medium.

The records required by this chapter
may be, but are not required to be, maintained on a computer
disk or other record-keeping technology. If the records are
maintained in other than hard copy, the records must be capable
of duplication to legible hard copy at the request of the
commissioner.

Sec. 20.

[59B.09] TERMINATION OF REIMBURSEMENT INSURANCE
POLICY.

An insurer that issued a reimbursement insurance policy may
not terminate the policy unless the insurer mails or delivers
written notice of the termination to the commissioner at least
30 days before the effective date of termination. The
termination of a reimbursement insurance policy does not reduce
the issuer's responsibility for service contracts issued by
providers before the date of the termination.

Sec. 21.

[59B.10] OBLIGATION OF REIMBURSEMENT INSURANCE
POLICY INSURERS.

Insurers issuing reimbursement insurance to providers are
deemed to have received the premiums for the insurance upon the
payment of provider fees by consumers for service contracts
issued by the insured providers.

Nothing in this chapter prevents or limits the right of an
insurer that issued a reimbursement insurance policy to seek
indemnification or subrogation against a provider if the issuer
pays or is obligated to pay the service contract holder sums
that the provider was obligated to pay pursuant to the
provisions of the service contract.

Sec. 22.

[59B.11] SEVERABILITY PROVISION.

If any provision of this chapter or the application of the
provision to any person or circumstances are held invalid, the
remainder of this chapter and the application of the provision
to persons or circumstances other than those as to which it is
held invalid, must not be affected.

Sec. 23.

Minnesota Statutes 2004, section 60A.14,
subdivision 1, is amended to read:

Subdivision 1.

Fees other than examination fees.

In
addition to the fees and charges provided for examinations, the
following fees must be paid to the commissioner for deposit in
the general fund:

(a) by township mutual fire insurance companies;

(1) for filing certificate of incorporation $25 and
amendments thereto, $10;

(2) for filing annual statements, $15;

(3) for each annual certificate of authority, $15;

(4) for filing bylaws $25 and amendments thereto, $10;

(b) by other domestic and foreign companies including
fraternals and reciprocal exchanges;

(1) for filing an application for an initial certification
of authority to be admitted to transact business in this state,
$1,500;

(2) for filing certified copy of certificate of articles of
incorporation, $100;

(2) (3) for filing annual statement, $225;

(3) (4) for filing certified copy of amendment to
certificate or articles of incorporation, $100;

(4) (5) for filing bylaws, $75 or amendments thereto, $75;

(5) (6) for each company's certificate of authority, $575,
annually;

(1) for each certificate, including certified copy of
certificate of authority, renewal, valuation of life policies,
corporate condition or qualification, $25;

(2) for each copy of paper on file in the commissioner's
office 50 cents per page, and $2.50 for certifying the same;

(3) for license to procure insurance in unadmitted foreign
companies, $575;

(4) for valuing the policies of life insurance companies,
one cent per $1,000 of insurance so valued, provided that the
fee shall not exceed $13,000 per year for any company. The
commissioner may, in lieu of a valuation of the policies of any
foreign life insurance company admitted, or applying for
admission, to do business in this state, accept a certificate of
valuation from the company's own actuary or from the
commissioner of insurance of the state or territory in which the
company is domiciled;

(5) for receiving and filing certificates of policies by
the company's actuary, or by the commissioner of insurance of
any other state or territory, $50;

(6) for each appointment of an agent filed with the
commissioner, $10;

(7) for filing forms and rates, $75 per filing, which may
be paid on a quarterly basis in response to an invoice. Billing
and payment may be made electronically;

(8) for annual renewal of surplus lines insurer license,
$300;

(9) $250 filing fee for a large risk alternative rating
option plan that meets the $250,000 threshold requirement.

The commissioner shall adopt rules to define filings that
are subject to a fee.

Sec. 24.

Minnesota Statutes 2004, section 60K.55,
subdivision 2, is amended to read:

Subd. 2.

Licensing fees.

(a) In addition to fees
provided for examinations, each insurance producer licensed
under this chapter shall pay to the commissioner a fee of:

(1) $40 $50 for an initial life, accident and health,
property, or casualty license issued to an individual insurance
producer, and a fee of $40 $50 for each renewal;

(2) $75 $50 for an initial variable life and variable
annuity license issued to an individual insurance producer, and
a fee of $50 for each renewal;

(3) $80 $50 for an initial personal lines license issued to
an individual insurance producer, and a fee of $80 $50 for each
renewal;

(4) $80 $50 for an initial limited lines license issued to
an individual insurance producer, and a fee of $80 $50 for each
renewal;

(5) $200 for an initial license issued to a business
entity, and a fee of $150 $200 for each renewal; and

(6) $500 for an initial surplus lines license, and a fee of
$500 for each renewal.

(b) Initial licenses issued under this chapter are valid
for a period not to exceed 24 months and expire on October 31 of
the renewal year assigned by the commissioner. Each renewal
insurance producer license is valid for a period of 24 months.
Licensees who submit renewal applications postmarked or
delivered on or before October 15 of the renewal year may
continue to transact business whether or not the renewal license
has been received by November 1. Licensees who submit
applications postmarked or delivered after October 15 of the
renewal year must not transact business after the expiration
date of the license until the renewal license has been received.

Sec. 25.

Minnesota Statutes 2004, section 72A.20, is
amended by adding a subdivision to read:

Subd. 38.

Unfair claims service; service contracts.

No
person shall, in connection with a service contract regulated
under chapter 59B:

(1) attempt to settle claims on the basis of an application
or any other material document which was altered without notice
to, or knowledge or consent of, the service contract holder;

(2) make a material misrepresentation to the service
contract holder for the purpose and with the intent of effecting
settlement of the claims, loss, or damage under the contract on
less favorable terms than those provided in, and contemplated
by, the contract; or

(3) commit or perform with such frequency as to indicate a
general business practice any of the following practices:

(i) failure to properly investigate claims;

(ii) misrepresentation of pertinent facts or contract
provisions relating to coverages at issue;

(iii) failure to acknowledge and act upon communications
within a reasonable time with respect to claims;

(iv) denial of claims without conducting reasonable
investigations based upon available information;

(v) failure to affirm or deny coverage of claims upon
written request of the service contract holder within a
reasonable time after proof-of-loss statements have been
completed; or

(vi) failure to timely provide a reasonable explanation to
the service contract holder of the basis in the contract in
relation to the facts or applicable law for denial of a claim or
for the offer of a compromise settlement.

Sec. 26.

Minnesota Statutes 2004, section 72B.04,
subdivision 10, is amended to read:

Subd. 10.

Fees.

A fee of $80 $50 is imposed for each
initial license or temporary permit and $80 $50 for each renewal
thereof or amendment thereto. A fee of $20 is imposed for the
registration of each nonlicensed adjuster who is required to
register under section 72B.06. All fees shall be transmitted to
the commissioner and shall be payable to the Department of
Commerce.

Sec. 27.

Minnesota Statutes 2004, section 82B.09,
subdivision 1, is amended to read:

Subdivision 1.

Amounts.

The following fees must be paid
to the commissioner:

(1) $150 for each initial individual real estate
appraiser's license: $150 if the license expires more than 12
months after issuance, $100 if the license expires less than 12
months after issuance; and a fee of

(2) $100 for each renewal.

Sec. 28.

Minnesota Statutes 2004, section 115C.07,
subdivision 3, is amended to read:

Subd. 3.

Rules.

(a) The board shall adopt rules
regarding its practices and procedures, the form and procedure
for applications for compensation from the fund, procedures for
investigation of claims and specifying the costs that are
eligible for reimbursement from the fund.

(b) The board may adopt rules requiring certification of
environmental consultants.

(d) The board may use section 14.389 to adopt rules
specifying the competitive bidding requirements for consultant
services proposals.

(e) The board may use section 14.389 to adopt rules
specifying the written proposal and invoice requirements for
consultant services.

Sec. 29.

Minnesota Statutes 2004, section 115C.09,
subdivision 3h, is amended to read:

Subd. 3h.

Reimbursement; aboveground tanks in bulk
plants.

(a) As used in this subdivision, "bulk plant" means an
aboveground or underground tank facility with a storage capacity
of more than 1,100 gallons but less than 1,000,000 gallons that
is used to dispense petroleum into cargo tanks for
transportation and sale at another location.

(b) Notwithstanding any other provision in this chapter and
any rules adopted pursuant to this chapter, the board shall
reimburse 90 percent of an applicant's cost for bulk plant
upgrades or closures completed between June 1, 1998, and
November 1, 2003, to comply with Minnesota Rules, chapter 7151,
provided that the board determines the costs were incurred and
reasonable. The reimbursement may not exceed $10,000 per bulk
plant. The board may provide reimbursement under this paragraph
for work completed after November 1, 2003, if the work was
contracted for prior to that date and was not completed by that
date as a result of an unanticipated situation, provided that an
application for reimbursement under this sentence, which may be
a renewal of an application previously denied, is submitted
prior to December 31, 2005.

(c) For corrective action at a bulk plant located on what
is or was railroad right-of-way, the board shall reimburse 90
percent of total reimbursable costs on the first $40,000 of
reimbursable costs and 100 percent of any remaining reimbursable
costs when the applicant can document that more than one bulk
plant was operated on the same section of right-of-way, as
determined by the commissioner of commerce.

Sec. 30.

Minnesota Statutes 2004, section 115C.09,
subdivision 3j, is amended to read:

Subd. 3j.

Retail locations and transport vehicles.

(a)
As used in this subdivision, "retail location" means a facility
located in the metropolitan area as defined in section 473.121,
subdivision 2, where gasoline is offered for sale to the general
public for use in automobiles and trucks. "Transport vehicle"
means a liquid fuel cargo tank used to deliver gasoline into
underground storage tanks during 2002 and 2003 at a retail
location.

(b) Notwithstanding any other provision in this chapter,
and any rules adopted under this chapter, the board shall
reimburse 90 percent of an applicant's cost for retrofits of
retail locations and transport vehicles completed between
January 1, 2001, and January 1, 2006, to comply with section
116.49, subdivisions 3 and 4, provided that the board determines
the costs were incurred and reasonable. The reimbursement may
not exceed $3,000 per retail location and $3,000 per transport
vehicle.

Sec. 31.

Minnesota Statutes 2004, section 115C.13, is
amended to read:

115C.13 REPEALER.

Sections 115C.01, 115C.02, 115C.021, 115C.03, 115C.04,
115C.045, 115C.05, 115C.06, 115C.065, 115C.07, 115C.08, 115C.09,
115C.093, 115C.094, 115C.10, 115C.11, 115C.111, 115C.112,
115C.113, 115C.12, and 115C.13,are repealed effective June 30,
2007 2012.

Sec. 32.

Minnesota Statutes 2004, section 116J.571, is
amended to read:

116J.571 CREATION OF ACCOUNTS.

Two greater Minnesota redevelopment accounts are created,
one in the general fund and one in the bond proceeds fund.
Money in the accounts may be used to make grants as provided in
section 116J.575. Money in the bond proceeds fund may only be
used for eligible costs for publicly owned property. Money in
the general fund may be used and to pay for the commissioner's
costs in reviewing the applications and making grants.

Sec. 33.

Minnesota Statutes 2004, section 116J.572, is
amended to read:

116J.572 DEFINITIONS.

Subdivision 1.

Scope of application.

For purposes of
sections 116J.571 to 116J.575, the terms in this section have
the meanings given.

Subd. 2.

Development authority.

"Development authority"
includes a statutory or home rule charter city, county, housing
and redevelopment authority, economic development authority, or
port authority located outside .

Subd. 2a.

Metropolitan area.

"Metropolitan area" means
the seven-county metropolitan area, as defined in section
473.121, subdivision 2.

Subd. 2b.

Municipality.

"Municipality" means the
statutory or home rule charter city, town, or, in the case of
unorganized territory, county in which the redevelopment is
located.

Subd. 3.

eligible redevelopment costs or costs.

" Eligible Redevelopment costs" or "costs" means the costs of
land acquisition, stabilizing unstable soils when infill is
required, demolition, infrastructure improvements, and ponding
or other environmental infrastructure; building construction,
design and engineering;and costs necessary for adaptive reuse
of buildings, including remedial activities. Eligible costs do
not include project administration and legal fees.

Subd. 4.

Redevelopment.

"Redevelopment" means recycling
obsolete, abandoned, or underutilized properties for new
industrial, commercial, or residential uses.

Sec. 34.

Minnesota Statutes 2004, section 116J.574, is
amended to read:

116J.574 GRANT APPLICATIONS.

Subdivision 1.

Application required.

To obtain a
redevelopment grant, a development authority shall apply to the
commissioner. The governing body of the municipality must
approve the application by resolution.

Subd. 2.

Required content.

The commissioner shall
prescribe and provide the application form. The application
must include at least the following information:

(1) identification of the site;

(2) a redevelopment plan for the site;

(3) a detailed budget estimate, including along with
necessary supporting evidence, of the total redevelopment costs
for the site including the total eligible redevelopment costs;

(3) a complete (4) an assessment of the development
potential or likely use of the site after completion of the
redevelopment plan, including any specific commitments from
third parties to construct improvements on the site;

(4) a complete financing plan, including (5) the manner in
which the development authority uses innovative financial
partnerships between government, private for-profit, and
nonprofit sectors municipality will meet the local match
requirement; and

(5) (6) any additional information or material that the
commissioner prescribes.

Sec. 35.

Minnesota Statutes 2004, section 116J.575, is
amended to read:

116J.575 GRANTS.

Subdivision 1.

Commissioner discretion.

The commissioner
may make a grant for up to 50 percent of the eligible costs of a
project. The determination of whether to make a grant for a
site is within the discretion of the commissioner, subject to
this section and sections 116J.571 to 116J.574 and available
unencumbered money in the greater Minnesota redevelopment
account. The commissioner's decisions and application of the
priorities under this section are not subject to judicial
review, except for abuse of discretion.

Subd. 1a.

Priorities.

(a) If applications for grants
exceed the available appropriations, grants shall be made for
sites that, in the commissioner's judgment, provide the highest
return in public benefits for the public costs incurred.
"Public benefits" include job creation, bioscience development,
environmental benefits to the state and region, efficient use of
public transportation, efficient use of existing infrastructure,
provision of affordable housing, multiuse development that
constitutes community rebuilding rather than single-use
development, crime reduction, blight reduction, community
stabilization, and property tax base maintenance or
improvement. In making this judgment, the commissioner shall
give priority to redevelopment projects with one or more of the
following characteristics:

(1) the need for redevelopment in conjunction with
contamination remediation needs;

(2) the redevelopment project meets current tax increment
financing requirements for a redevelopment district and tax
increments will contribute to the project;

(3) the redevelopment potential within the municipality;

(4) proximity to public transit if located in the
metropolitan area; and

(5) multijurisdictional projects that take into account the
need for affordable housing, transportation, and environmental
impact.

(b) The factors in paragraph (a) are not listed in a rank
order of priority; rather, the commissioner may weigh each
factor, depending upon the facts and circumstances, as the
commissioner considers appropriate.

Subd. 2.

Application cycles.

In making grants, the
commissioner shall establish semiannual application deadlines in
which grants will be authorized from all or part of the
available money in the account.

Subd. 3.

Match required.

In order to qualify for a grant
under sections 116J.571 to 116J.575, the municipality must pay
for at least one-half of the redevelopment costs as a local
match from any money available to the municipality.

Sec. 36.

Minnesota Statutes 2004, section 116L.20,
subdivision 1, is amended to read:

Subdivision 1.

Determination and collection of special
assessment.

(a) In addition to amounts due from an employer
under the Minnesota unemployment insurance program, each
employer, except an employer making reimbursements is liable for
a special assessment levied at the rate of seven-hundredths
one-tenth of one percent per year on all taxable wages, as
defined in section 268.035, subdivision 24. If the commissioner
of employment and economic development determines that the need
for services under the dislocated worker program substantially
exceeds the resources that will be available for that program,
the commissioner may increase the fee to no more than 12/100 of
one percent of taxable wages.The assessment shall become due
and be paid by each employer on the same schedule and in the
same manner as other amounts due from an employer under section
268.051, subdivision 1.

(b) The special assessment levied under this section shall
be subject to the same requirements and collection procedures as
any amounts due from an employer under the Minnesota
unemployment insurance program.

EFFECTIVE DATE.

This section is effective January 1, 2006.

Sec. 37.

Minnesota Statutes 2004, section 116L.30,
subdivision 1, is amended to read:

Subdivision 1.

Grants.

The commissioner may make grants
to nonprofit agencies administering youth intervention programs
in communities where the programs are or may be established.

"Youth intervention program" means a nonresidential
community-based program providing advocacy, education,
counseling, mentoring,and referral services to youth and their
families experiencing personal, familial, school, legal, or
chemical problems with the goal of resolving the present
problems and preventing the occurrence of the problems in the
future. The purpose of the youth intervention program is to
provide an ongoing, stable funding source to community-based
early intervention programs for youth. Program design may be
different for the grantees depending on youth needs in the
communities being served.

Sec. 38.

Minnesota Statutes 2004, section 116L.30,
subdivision 2, is amended to read:

Subd. 2.

Applications.

Applications for a grant-in-aid
shall be made by the administering agency to the commissioner.
The grant-in-aid is contingent upon the agency having obtained
from the community in which the youth intervention program is
established local matching money two times the amount of the
grant that is sought. The purpose of the matching requirement
is to leverage the investment of state and community dollars in
supporting the efforts of the grantees to provide early
intervention services to youth and their families.

The commissioner shall provide the application form,
procedures for making application form applications, criteria
for review of the application, and kinds of contributions in
addition to cash that qualify as local matching money. No grant
to any agency may exceed $50,000.

Sec. 39.

Minnesota Statutes 2004, section 116L.30, is
amended by adding a subdivision to read:

Subd. 3.

Grant allocation formula.

Up to one percent of
the appropriations to the grants-in-aid to the youth
intervention program may be used for a grant to the Minnesota
Youth Intervention Programs Association for expenses in
providing collaborative training and technical assistance to
community-based grantees.

Sec. 40.

Minnesota Statutes 2004, section 116L.30, is
amended by adding a subdivision to read:

Subd. 4.

Administrative costs.

The commissioner may use
up to two percent of the biennial appropriation for
grants-in-aid to the youth intervention program to pay costs
incurred by the department in administering the grants.

Sec. 41.

[116P.081] MINNESOTA EARLY STAGE VENTURE CAPITAL
INVESTMENTS.

(a) For purposes of this section, "Minnesota early stage
company" means an early stage company with its headquarters and
principal place of business located in this state.

(b) Until June 30, 2019, the State Board of Investment must
invest at least $25,000,000 of the principal of the Minnesota
environmental and natural resources trust fund in early stage
venture capital investments, subject to the following conditions:

(1) the board may not make initial investments of more than
a total of $50,000,000 under this section;

(2) each separate investment vehicle must commit 50 percent
or more of its assets to investments in Minnesota early stage
companies;

(3) the board's investment may not exceed 50 percent of the
total investment in an investment vehicle;

(4) no new investment vehicles may be purchased after June
30, 2008; and

(5) the board may reinvest returns from investments made
under this section.

The board may set evaluation criteria for investment
vehicles and fund managers of investments under this section
different from those it uses for other investments.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 42.

Minnesota Statutes 2004, section 129D.02,
subdivision 3, is amended to read:

Subd. 3.

Compensation.

Members shall be compensated at
the rate of $35 per day spent on board activities. In addition,
members shall receive reimbursement for expenses in the same
manner and amount as state employees. Employees of the state or
its political subdivisions shall not be entitled to the per
diem, but they shall suffer no loss in compensation or benefits
as a result of service on the board. Members not entitled to
the per diem shall receive expenses as provided in this
subdivision unless the expenses are reimbursed from another
source as provided in section 15.0575, subdivision 3.

Sec. 43.

Minnesota Statutes 2004, section 161.1419,
subdivision 2, is amended to read:

Subd. 2.

Members.

(a) The commission shall be composed
of 15 members of whom:

(1) one shall be appointed by the commissioner of
transportation;

(2) one shall be appointed by the commissioner of natural
resources;

(3) one shall be appointed by the commissioner of
employment and economic development director of Explore
Minnesota Tourism;

(4) one shall be appointed by the commissioner of
agriculture;

(5) one shall be appointed by the director of the Minnesota
Historical Society;

(6) two shall be members of the senate to be appointed by
the Committee on Committees;

(7) two shall be members of the house of representatives to
be appointed by the speaker;

(8) one shall be the secretary appointed pursuant to
subdivision 3; and

(9) five shall be citizen members appointed by five citizen
committees established by the members appointed under clauses
(1) to (8), with each citizen committee established within and
representing each of the following geographic segments along the
Mississippi River:

(i) Lake Itasca to but not including the city of Grand
Rapids;

(ii) Grand Rapids to but not including the city of
Brainerd;

(iii) Brainerd to but not including the city of Elk River;

(iv) Elk River to but not including the city of Hastings;
and

(v) Hastings to the Iowa border.

Each citizen committee member shall be a resident of the
geographic segment that the committee and member represents.

(b) The members of the commission shall serve for a term
expiring at the close of each regular session of the legislature
and until their successors are appointed. Successor members
shall be appointed by the same appointing authorities. Members
may be reappointed. Any vacancy shall be filled by the
appointing authority. The commissioner of transportation, the
commissioner of natural resources, and the director of the
Minnesota Historical Society shall be ex officio members, and
shall be in addition to the 15 members heretofore provided for.
Immediately upon making the appointments to the commission the
appointing authorities shall so notify the Mississippi River
Parkway Commission, hereinafter called the National Commission,
giving the names and addresses of the members so appointed.

Sec. 44.

Minnesota Statutes 2004, section 161.1419, is
amended by adding a subdivision to read:

Subd. 3a.

Gifts, grants, and endowments.

The commission
may accept gifts of money, property, or services; may apply for
and accept grants from the United States, the state, a
subdivision of the state, or a person for any of its purposes;
may enter into an agreement required in connection with it; and
may hold, use, and dispose of the money, property, or services
in accordance with the terms of the gift, grant, or agreement
relating to it. The commission may also make grants, gifts, and
bequests of money, property, or services and enter into
contracts to carry out the same. The gift acceptance procedures
of sections 16A.013 to 16A.016 do not apply to this section.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 45.

Minnesota Statutes 2004, section 176.136,
subdivision 1a, is amended to read:

Subd. 1a.

Relative value fee schedule.

The liability of
an employer for services included in the medical fee schedule is
limited to the maximum fee allowed by the schedule in effect on
the date of the medical service, or the provider's actual fee,
whichever is lower. The medical fee schedule effective on
October 1, 1991, remains in effect until the commissioner adopts
a new schedule by permanent rule. The commissioner shall adopt
permanent rules regulating fees allowable for medical,
chiropractic, podiatric, surgical, and other health care
provider treatment or service, including those provided to
hospital outpatients, by implementing a relative value fee
schedule to be effective on October 1, 1993. The commissioner
may adopt by reference the relative value fee schedule adopted
for the federal Medicare program or a relative value fee
schedule adopted by other federal or state agencies. The
relative value fee schedule must may contain reasonable
classifications including, but not limited to, classifications
that differentiate among health care provider disciplines. The
conversion factors for the original relative value fee schedule
must reasonably reflect a 15 percent overall reduction from the
medical fee schedule most recently in effect. The reduction
need not be applied equally to all treatment or services, but
must represent a gross 15 percent reduction The rules must
provide that chiropractors and physical therapists have the same
provider group designation as medical physicians and have the
same maximum fee allowed as medical physicians for the same
patient interventions.

After permanent rules have been adopted to implement this
section, the conversion factors must be adjusted annually on
October 1 by no more than the percentage change computed under
section 176.645, but without the annual cap provided by that
section. The commissioner shall annually give notice in the
State Register of the adjusted conversion factors and may also
give annual notice of any additions, deletions, or changes to
the relative value units or service codes adopted by the federal
Medicare program. The relative value units may be statistically
adjusted in the same manner as for the original workers'
compensation relative value fee schedule. The notices of the
adjusted conversion factors and additions, deletions, or changes
to the relative value units and service codes is in lieu of the
requirements of chapter 14. The commissioner shall follow the
requirements of section 14.386, paragraph (a). The annual
adjustments to the conversion factors and the medical fee
schedules adopted under this section, including all previous fee
schedules, are not subject to expiration under section 14.386,
paragraph (b).

Sec. 46.

[181.722] MISREPRESENTATION OF EMPLOYMENT
RELATIONSHIP PROHIBITED.

Subdivision 1.

Prohibition.

No employer shall
misrepresent the nature of its employment relationship with its
employees to any federal, state, or local government unit, to
other employers or to its employees. An employer misrepresents
the nature of its employment relationship with its employees if
it makes any statement regarding the nature of the relationship
that the employer knows or has reason to know is untrue and if
it fails to report individuals as employees when legally
required to do so.

Subd. 2.

Agreements to misclassify prohibited.

No
employer shall require or request any employee to enter into any
agreement, or sign any document, that results in
misclassification of the employee as an independent contractor
or otherwise does not accurately reflect the employment
relationship with the employer.

Subd. 3.

Determination of employment relationship.

For
purposes of this section, the nature of an employment
relationship is determined using the same tests and in the same
manner as employee status is determined under the applicable
workers' compensation and unemployment insurance program laws
and rules.

Subd. 4.

Reporting of violations.

Any court finding that
a violation of this section has occurred shall transmit a copy
of the documentation of the finding to the commissioner of labor
and industry. The commissioner of labor and industry shall
report the finding to relevant state and federal agencies,
including at least the commissioner of commerce, the
commissioner of employment and economic development, the
commissioner of revenue, the federal Internal Revenue Service,
and the United States Department of Labor.

Subd. 5.

Civil remedy.

An individual not a contractor
injured by a violation of this section may bring an action for
damages against the violator. The court may award attorney
fees, costs, and disbursements to a party recovering under this
section. If the individual injured is an employee of the
violator of this section, the employee's representative, as
defined in section 179.01, subdivision 5, may bring an action
for damages against the violator on behalf of the employee.

Sec. 47.

Minnesota Statutes 2004, section 183.41, is
amended by adding a subdivision to read:

Subd. 4.

Annual permit.

The commissioner shall issue an
annual permit to a boat for the purpose of carrying passengers
for hire on the inland waters of the state provided the boat
satisfies the inspection requirements of this section. A boat
subject to inspection under this chapter shall be registered
with the Division of Boiler Inspection and shall be inspected
before a permit may be issued.

Sec. 48.

Minnesota Statutes 2004, section 183.411,
subdivision 2a, is amended to read:

Subd. 2a.

Inspection fees.

The commissioner may set fees
fee for inspecting traction engines, show boilers, and show
engines shall be the hourly rate pursuant to section
16A.1285 183.545, subdivision 3a.

Sec. 49.

Minnesota Statutes 2004, section 183.411,
subdivision 3, is amended to read:

Subd. 3.

Licenses.

A license to operate steam farm
traction engines, portable and stationary show engines and
portable and stationary show boilers shall be issued to an
applicant who:

(a) (1) is 18 years of age or older;

(b) (2) has a licensed second class or higher class
engineer or steam traction (hobby) engineer sign the affidavit
attesting to the applicant's competence in operating said
devices;

(d) (4) has at least 25 hours of actual operating
experience on said devices; and

(e) (5) pays the required fee.

A license shall be valid for the lifetime of the licensee.
A onetime fee set by the commissioner pursuant to section
16A.1285 183.545, subdivision 4, shall be charged for the
license.

Sec. 50.

Minnesota Statutes 2004, section 183.42, is
amended to read:

183.42 INSPECTION EACH YEAR AND REGISTRATION.

Subdivision 1.

Inspection.

Every owner, lessee, or other
person having charge of boilers,or pressure vessels, or any
boat subject to inspection under this chapter shall cause them
to be inspected by the Division of Boiler Inspection.
Boilers and boats subject to inspection under this chapter must
be inspected at least annually and pressure vessels inspected at
least every two years except as provided under section
183.45. A person who fails to have the inspection required by
this section shall pay to the commissioner a penalty in the
amount of the cost of inspection up to a maximum of $1,000.The
commissioner shall assess a $250 penalty per applicable boiler
or pressure vessel for failure to have the inspection required
by this section and may seal the boiler or pressure vessel for
refusal to allow an inspection as required by this section.

Subd. 2.

Registration.

Every owner, lessee, or other
person having charge of boilers or pressure vessels subject to
inspection under this chapter shall register said objects with
the Division of Boiler Inspection. The registration shall be
renewed annually and is applicable to each object separately.
The fee for registration of a boiler or pressure vessel shall be
pursuant to section 183.545, subdivision 10. The Division of
Boiler Inspection may issue a billing statement for each boiler
and pressure vessel on record with the division, and may
determine a monthly schedule of billings to be followed for
owners, lessees, or other persons having charge of a boiler or
pressure vessel subject to inspection under this chapter.

Subd. 3.

Certificate of registration.

The Division of
Boiler Inspection shall issue a certificate of registration that
lists the boilers and pressure vessels at the location,
expiration date of the certificate of registration, last
inspection date of each boiler and pressure vessel, and maximum
allowable working pressure for each boiler and pressure vessel.
The commissioner may make an electronic certificate of
registration available to be printed by the owner, lessee, or
other person having charge of the boiler or pressure vessel.

Sec. 51.

Minnesota Statutes 2004, section 183.44,
subdivision 1, is amended to read:

Subdivision 1.

Masters and pilots.

The Division of
Boiler Inspection commissioner or the commissioner's designee
shall examine all masters and pilots of boats and vessels
carrying passengers for hire on the inland waters of the state
as to their qualifications and fitness. If found trustworthy
qualified and competent to perform their duties as a master or
pilot of a boat carrying passengers for hire,they shall be
given issued a certificate license authorizing them to act as
such on the inland waters of the state. The license shall be
renewed annually. Fees for the original issue and renewal of
the license authorized under this section shall be pursuant to
section 183.545, subdivision 2.

Sec. 52.

Minnesota Statutes 2004, section 183.51,
subdivision 2, is amended to read:

Subd. 2.

Applications.

Any person who desires an
engineer's license shall make submit a written application, on
blanks furnished by the inspector. The person shall also
successfully pass a written examination for such grade of
license applied for commissioner or designee, at least 15 days
before the requested exam date. The application is valid for
one year from the date the commissioner or designee received the
application.

Sec. 53.

Minnesota Statutes 2004, section 183.51, is
amended by adding a subdivision to read:

Subd. 2a.

Examinations.

Each applicant for a license
must pass an examination approved by the commissioner. The
examinations shall be of sufficient scope to establish the
competency of the applicant to operate a boiler of the
applicable license class and grade.

Sec. 54.

Minnesota Statutes 2004, section 183.545, is
amended to read:

183.545 FEES FOR INSPECTION.

Subdivision 1.

Fee amount; vessels operated on inland
waters.

The fees for the inspection of the hull, boiler,
machinery, and equipments of vessels are to be set by the
commissioner pursuant to section 16A.1285, for vessels of 50
tons burden or over and vessels of less than 50 tons
burden.operated on inland waters and that carry passengers for
hire are as follows:

(1) annual operating permit and safety inspections shall be
$200; and

(2) other inspections, including dry-dock inspections, boat
stability tests, and plan reviews, are billed at the hourly rate
set in subdivision 3a.

Subd. 2.

Fee amounts; masters and pilots.

The
commissioner shall, pursuant to section 16A.1285, set
the license and application fee for an examination of an
applicant for a master's or pilot's license is $50, for an or
$20 if the applicant possesses a valid, unlimited, current
United States Coast Guard master's or pilot's license. The
annual renewal of a master's or a pilot's license, and for an is
$20. The annual renewal if paid later than ten 30 days after
expiration is $35. The fee for replacement of a current, valid
license is $20.

Subd. 3.

boiler and pressure vessel inspection fees.

The
fees for the annual inspection of boilers and biennial
inspection of pressure vessels are to be set by the commissioner
pursuant to section 16A.1285, for as follows:

(a) (1) boiler inaccessible for internal inspection, $55;

(b) (2) boiler accessible for internal inspection, $55;

(c) (3) boiler internal inspection over 2,000 square feet
heating surface shall be billed at the hourly rate set in
subdivision 3a;

(d) boiler internal inspection over 4,000 square feet
heating surface;

(e) boiler internal inspection over 10,000 square feet
heating surface;

(f) (4) boiler accessible for internal inspection requiring
one-half day or more of inspection time shall be billed at the
established shop inspection fee hourly rate set in subdivision
3a;

(g) (5) pressure vessel for internal inspection via manhole
, $35; and

(h) (6) pressure vessel inaccessible for internal
inspection, $35.

An additional fee based on the scale of fees applicable to
an inspection shall be charged when it is necessary to make a
special trip for a hydrostatic test of a boiler or pressure
vessel.

Subd. 3a.

Hourly rate.

The commissioner shall, pursuant
to section 16A.1285, set shop inspection fees hourly rate for an
inspection not set elsewhere in this chapter is $80 per hour.
Inspection time includes all time related to the shop
inspection. Travel time, billed at the hourly rate, and travel
expenses shall be billed for shop inspections, triennial audits,
boat stability tests, hydrostatic tests of a boiler or pressure
vessel, or any other inspection or consultation requiring a
special trip.

Subd. 4.

applicants boiler engineer license fees.

The
commissioner shall, pursuant to section 16A.1285, set the fee
for an examination of an applicant For the following licenses,
the nonrefundable license and application fee is:

(a) (1) chief engineer's license, $50;

(b) (2) first class engineer's license, $50;

(d) (4) special engineer's license, $20; and

(e) (5) traction or hobby boiler engineer's license; and ,
$50.

(f) pilot's license.

If an applicant, after an examination, is entitled to
receive a license, it shall be issued without the payment of any
additional charge. Any license so issued expires one year after
the date of its issuance.An engineer's license may be renewed
upon application therefor and the payment of an annual renewal
fee as set by the commissioner pursuant to section 16A.1285 of
$20. The annual renewal, if paid later than 30 days after
expiration, is $35. The fee for replacement of a current, valid
license is $20.

Subd. 6.

National board inspectors.

The fee for an
examination of an applicant for a National Board of Boiler and
Pressure Vessels Inspectors commission shall be set by the
commissioner pursuant to section 16A.1285 is $100.

Subd. 7.

Nuclear endorsement.

The fee for each
examination of an applicant for a National Board of Boiler and
Pressure Vessels commissioned inspectors nuclear endorsement
shall be set by the commissioner pursuant to section 16A.1285 is
$100.

Subd. 8.

Certificate of competency.

The fee for issuance
of the original state of Minnesota certificate of competency for
inspectors shall be set by the commissioner pursuant to section
16A.1285 is $50. This fee is waived for inspectors who paid the
examination fee. The fee for an annual renewal of the state of
Minnesota certificate of competency shall be set by the
commissioner pursuant to section 16A.1285 is $35, and is due
January 1 of each year. The fee for replacement of a current,
valid license is $35.

Subd. 9.

Deposit of fees.

Fees received under this
section and section 183.57 must be deposited in the state
treasury and credited to the general fund.

Subd. 10.

Boiler and pressure vessel registration
fee.

The annual registration fee for boilers and pressure
vessels in use and required to be inspected per section 183.42
shall be $10 per boiler and pressure vessel.

Sec. 55.

Minnesota Statutes 2004, section 183.57, is
amended to read:

183.57 REPORT OF INSURER; EXEMPTION FROM INSPECTION.

Subdivision 1.

Report required.

Any insurance company
insuring boilers and pressure vessels in this state shall make a
written file a report thereof showing the date of inspection,
the name of the person making the inspection, the condition of
the boiler or pressure vessel as disclosed by the inspection,
whether the same is boiler was operated by a properly licensed
engineer, and whether a policy of insurance has been issued by
the company with reference to the boiler or pressure vessel, and
other information as directed by the chief boiler inspector.
Within 15 21 days after the inspection, the insurance company
shall mail a copy of file the report to with the chief boiler
inspector and or designee. The insurer shall provide a copy of
the report to the person, firm, or corporation owning or
operating the inspected boiler or pressure vessel inspected.
Such report shall be made annually for boilers and biennially
for pressure vessels.

Subd. 2.

Exemption.

Every boiler or pressure vessel as
to which any insurance company authorized to do business in this
state has issued a policy of insurance, after the inspection
thereof, is exempt from inspection by the department made under
sections 183.375 to 183.62, while the same continues to be
insured and provided it continues to be inspected in accordance
with the inspection schedule set forth in sections 183.42 and
183.45,and the person, firm, or corporation owning or operating
the same has an unexpired certificate of exemption from
inspection, issued by the chief boiler
inspector registration. The fee set by the commissioner
pursuant to section 16A.1285, on the first object inspected and
on each object thereafter shall apply to each exempt object. A
certificate of exemption expires one year from date of issue.
The certificate of exemption shall be posted in a conspicuous
place near the boiler or pressure vessel or in the plant office
or boiler room described therein and to which it relates. Every
insurance company shall give written notice to the chief boiler
inspector of the cancellation or expiration of every policy of
insurance issued by it with reference to policies in this state,
and the cause or reason for the cancellation or expiration.
These notices of cancellation or expiration shall show the date
of the policy and the date when the cancellation has or will
become effective.

Subd. 4.

Certificate of exemption.

The Division of
Boiler Inspection may issue a billing and exemption certificate
for each boiler and pressure vessel which the division records
indicate shall be or has been inspected by an insurance company
which is providing coverage for the boilers and pressure
vessels. The division may determine the monthly schedule of the
billings to be followed for each business insured.

Subd. 5.

Notice of insurance coverage.

The insurer shall
notify the commissioner or designee in writing of its policy to
insure and inspect boilers and pressure vessels at a location
within 30 days of the effective date of insurance coverage,
including binders. The insurer must also provide a duplicate of
the notification to the insured.

Subd. 6.

Notice of discontinued coverage.

The insurer
shall notify the commissioner or designee in writing, within 30
days of the effective date, of the discontinuation of insurance
coverage of the boilers and pressure vessels at a location and
the cause or reason for the discontinuation. This notice shall
show the effective date when the discontinued policy takes
effect.

Subd. 7.

Penalties.

The commissioner shall assess upon
the insurer a $50 penalty, per applicable boiler and pressure
vessel, for failing to submit an inspection report or notify the
commissioner of insurance coverage or discontinuation of
insurance coverage as set forth in this section. The
commissioner shall assess upon the insurer a penalty of $100,
per applicable boiler and pressure vessel, for failing to
conduct the required in-service inspection within 120 days after
the inspection was due in accordance with section 183.42.

Sec. 56.

Minnesota Statutes 2004, section 216B.2424,
subdivision 1, is amended to read:

Subdivision 1.

Farm-grown closed-loop biomass.

(a) For
the purposes of this section, "farm-grown closed-loop biomass"
means biomass, as defined in section 216C.051, subdivision 7,
that:

(1) is intentionally cultivated, harvested, and prepared
for use, in whole or in part, as a fuel for the generation of
electricity;

(2) when combusted, releases an amount of carbon dioxide
that is less than or approximately equal to the carbon dioxide
absorbed by the biomass fuel during its growing cycle; and

(3) is fired in a new or substantially retrofitted electric
generating facility that is:

(i) located within 400 miles of the site of the biomass
production; and

(ii) designed to use biomass to meet at least 75 percent of
its fuel requirements.

(b) The legislature finds that the negative environmental
impacts within 400 miles of the facility resulting from
transporting and combusting the biomass are offset in that
region by the environmental benefits to air, soil, and water of
the biomass production.

(c) Among the biomass fuel sources that meet the
requirements of paragraph (a), clause clauses (1) and (2) are
poplar, aspen, willow, switch grass, sorghum, alfalfa, and
cultivated prairie grass and sustainably managed woody biomass.

(d) For the purpose of this section, "sustainably managed
woody biomass" means:

(1) brush, trees, and other biomass harvested from within
designated utility, railroad, and road rights-of-way;

(2) upland and lowland brush harvested from lands
incorporated into brushland habitat management activities of the
Minnesota Department of Natural Resources;

(3) upland and lowland brush harvested from lands managed
in accordance with Minnesota Department of Natural Resources
"Best Management Practices for Managing Brushlands";

(4) logging slash or waste wood that is created by harvest,
precommercial timber stand improvement to meet silvicultural
objectives, or by fire, disease, or insect control treatments,
and that is managed in compliance with the Minnesota Forest
Resources Council's "Sustaining Minnesota Forest Resources:
Voluntary Site-Level Forest Management Guidelines for
Landowners, Loggers and Resource Managers" as modified by the
requirement of this subdivision; and

(5) trees or parts of trees that do not meet the
utilization standards for pulpwood, posts, bolts, or sawtimber
as described in the Minnesota Department of Natural Resources
Division of Forestry Timber Sales Manual, 1998, as amended as of
May 1, 2005, and the Minnesota Department of Natural Resources
Timber Scaling Manual, 1981, as amended as of May 1, 2005,
except as provided in paragraph (a), clause (1), and this
paragraph, clauses (1) to (3).

Sec. 57.

Minnesota Statutes 2004, section 216B.2424, is
amended by adding a subdivision to read:

Subd. 1a.

Municipal waste-to-energy project.

(a) This
subdivision applies only to a biomass project owned or
controlled, directly or indirectly, by two municipal utilities
as described in subdivision 5a, paragraph (b).

(b) Woody biomass from state-owned land must be harvested
in compliance with an adopted management plan and a program of
ecologically based third-party certification.

(c) The project must prepare a fuel plan on an annual basis
after commercial operation of the project as described in the
power contract between the project and the public utility, and
must also prepare annually certificates reflecting the types of
fuel used in the preceding year by the project, as described in
the power contract. The fuel plans and certificates shall also
be filed with the Minnesota Department of Natural Resources and
the Minnesota Department of Commerce within 30 days after being
provided to the public utility, as provided by the power
contract. Any person who believes the fuel plans, as amended,
and certificates show that the project does not or will not
comply with the fuel requirements of this subdivision may file a
petition with the commission seeking such a determination.

(d) The wood procurement process must utilize third-party
audit certification systems to verify that applicable best
management practices were utilized in the procurement of the
sustainably managed biomass. If there is a failure to so verify
in any two consecutive years during the original contract term,
the farm-grown closed-loop biomass requirements of subdivision 2
must be increased to 50 percent for the remaining contract term
period; however, if in two consecutive subsequent years after
the increase has been implemented, it is verified that the
conditions in this subdivision have been met, then for the
remaining original contract term the closed-loop biomass mandate
reverts to 25 percent. If there is a subsequent failure to
verify in a year after the first failure and implementation of
the 50 percent requirement, then the closed-loop percentage
shall remain at 50 percent for each remaining year of the
contract term.

(e) In the closed-loop plantation, no transgenic plants may
be used.

(f) No wood may be harvested from any lands identified by
the final or preliminary Minnesota County Biological Survey as
having statewide significance as native plant communities, large
populations or concentrations of rare species, or critical
animal habitat.

(g) A wood procurement plan must be prepared every five
years and public meetings must be held and written comments
taken on the plan and documentation must be provided on why or
why not the public inputs were used.

(h) Guidelines or best management practices for sustainably
managed woody biomass must be adopted by:

(1) the Minnesota Department of Natural Resources for
managing and maintaining brushland and open land habitat on
public and private lands, including, but not limited to,
provisions of sections 84.941, 84.942, and 97A.125; and

(2) the Minnesota Forest Resources Council for logging
slash, using the most recent available scientific information
regarding the removal of woody biomass from forest lands, to
sustain the management of forest resources as defined by section
89.001, subdivisions 8 and 9, with particular attention to soil
productivity, biological diversity as defined by section 89A.01,
subdivision 3, and wildlife habitat.

These guidelines must be completed by July 1, 2007, and the
process of developing them must incorporate public notification
and comment.

(i) The University of Minnesota Initiative for Renewable
Energy and the Environment is encouraged to solicit and fund
high-quality research projects to develop and consolidate
scientific information regarding the removal of woody biomass
from forest and brush lands, with particular attention to the
environmental impacts on soil productivity, biological
diversity, and sequestration of carbon. The results of this
research shall be made available to the public.

(j) The two utilities owning or controlling, directly or
indirectly, the biomass project described in subdivision 5a,
paragraph (b), shall fund or obtain funding from nonstate
sources of up to $150,000 to complete the guidelines or best
management practices described in paragraph (h). The
expenditures to be funded under this paragraph do not include
any of the expenditures to be funded under paragraph (i).

Sec. 58.

Minnesota Statutes 2004, section 216B.2424,
subdivision 2, is amended to read:

Subd. 2.

Interim exemption.

(a) A biomass project
proposing to use, as its primary fuel over the life of the
project, short-rotation woody crops, may use as an interim fuel
agricultural waste and other biomass which is not farm-grown
closed-loop biomass for up to six years after the project's
electric generating facility becomes operational; provided, the
project developer demonstrates the project will use the
designated short-rotation woody crops as its primary fuel after
the interim period and provided the location of the interim fuel
production meets the requirements of subdivision 1, paragraph
(a), clause (3).

(b) A biomass project proposing to use, as its primary fuel
over the life of the project, short-rotation woody crops, may
use as an interim fuel agricultural waste and other biomass
which is not farm-grown closed-loop biomass for up to three
years after the project's electric generating facility becomes
operational; provided, the project developer demonstrates the
project will use the designated short-rotation woody crops as
its primary fuel after the interim period.

(c) A biomass project that uses an interim fuel under the
terms of paragraph (b) may, in addition, use an interim fuel
under the terms of paragraph (a) for six years less the number
of years that an interim fuel was used under paragraph (b).

(d) A project developer proposing to use an exempt interim
fuel under paragraphs (a) and (b) must demonstrate to the public
utility that the project will have an adequate supply of
short-rotation woody crops which meet the requirements of
subdivision 1 to fuel the project after the interim period.

(e) If a biomass project using an interim fuel under this
subdivision is or becomes owned or controlled, directly or
indirectly, by two municipal utilities as described in
subdivision 5a, paragraph (b), the project is deemed to comply
with the requirement under this subdivision to use farm-grown
closed-loop biomass as its primary fuel if farm-grown
closed-loop biomass comprises no less than 25 percent of the
fuel used over the life of the project. For purposes of this
subdivision, "life of the project" means 20 years from the date
the project becomes operational or the term of the applicable
power purchase agreement between the project owner and the
public utility, whichever is longer.

Sec. 59.

Minnesota Statutes 2004, section 216B.2424,
subdivision 5a, is amended to read:

Subd. 5a.

Reduction of biomass mandate.

(a)
Notwithstanding subdivision 5, the biomass electric energy
mandate shall must be reduced from 125 megawatts to 110
megawatts.

(b) The Public Utilities Commission shall approve a request
pending before the Public Utilities commission as of May 15,
2003, for an amendment amendments to and assignment of a
contract for power from power purchase agreement with the owner
of a facility that uses short-rotation, woody crops as its
primary fuel previously approved to satisfy a portion of the
biomass mandate if the developer owner of the project agrees to
reduce the size of its project from 50 megawatts to 35
megawatts, while maintaining a an average price for energy at or
below the current contract price.in nominal dollars measured
over the term of the power purchase agreement at or below $104
per megawatt-hour, exclusive of any price adjustments that may
take effect subsequent to commission approval of the power
purchase agreement, as amended. The commission shall also
approve, as necessary, any subsequent assignment or sale of the
power purchase agreement or ownership of the project to an
entity owned or controlled, directly or indirectly, by two
municipal utilities located north of Constitutional Route No. 8,
as described in section 161.114, which currently own electric
and steam generation facilities using coal as a fuel and which
propose to retrofit their existing municipal electrical
generating facilities to utilize biomass fuels in order to
perform the power purchase agreement.

(c) If the power purchase agreement described in paragraph
(b) is assigned to an entity that is, or becomes, owned or
controlled, directly or indirectly, by two municipal entities as
described in paragraph (b), and the power purchase agreement
meets the price requirements of paragraph (b), the commission
shall approve any amendments to the power purchase agreement
necessary to reflect the changes in project location and
ownership and any other amendments made necessary by those
changes. The commission shall also specifically find that:

(1) the power purchase agreement complies with and fully
satisfies the provisions of this section to the full extent of
its 35-megawatt capacity;

(2) all costs incurred by the public utility and all
amounts to be paid by the public utility to the project owner
under the terms of the power purchase agreement are fully
recoverable pursuant to section 216B.1645;

(3) subject to prudency review by the commission, the
public utility may recover from its Minnesota retail customers
the Minnesota jurisdictional portion of the amounts that may be
incurred and paid by the public utility during the full term of
the power purchase agreement; and

(4) if the purchase power agreement meets the requirements
of this subdivision, it is reasonable and in the public interest.

(d) The commission shall specifically approve recovery by
the public utility of any and all Minnesota jurisdictional costs
incurred by the public utility to improve, construct, install,
or upgrade transmission, distribution, or other electrical
facilities owned by the public utility or other persons in order
to permit interconnection of the retrofitted biomass-fueled
generating facilities or to obtain transmission service for the
energy provided by the facilities to the public utility pursuant
to section 216B.1645, and shall disapprove any provision in the
power purchase agreement that requires the developer or owner of
the project to pay the jurisdictional costs or that permit the
public utility to terminate the power purchase agreement as a
result of the existence of those costs or the public utility's
obligation to pay any or all of those costs.

Sec. 60.

Minnesota Statutes 2004, section 216B.2424,
subdivision 6, is amended to read:

Subd. 6.

Remaining megawatt compliance process.

(a) If
there remain megawatts of biomass power generating capacity to
fulfill the mandate in subdivision 5 after the commission has
taken final action on all contracts filed by September 1, 2000,
by a public utility, as amended and assigned,this subdivision
governs final compliance with the biomass energy mandate in
subdivision 5 subject to the requirements of subdivisions 7 and
8.

(b) To the extent not inconsistent with this subdivision,
the provisions of subdivisions 2, 3, 4, and 5 apply to proposals
subject to this subdivision.

(c) A public utility must submit proposals to the
commission to complete the biomass mandate. The commission
shall require a public utility subject to this section to issue
a request for competitive proposals for projects for electric
generation utilizing biomass as defined in paragraph (f) of this
subdivision to provide the remaining megawatts of the mandate.
The commission shall set an expedited schedule for submission of
proposals to the utility, selection by the utility of proposals
or projects, negotiation of contracts, and review by the
commission of the contracts or projects submitted by the utility
to the commission.

(d) Notwithstanding the provisions of subdivisions 1 to 5
but subject to the provisions of subdivisions 7 and 8, a new or
existing facility proposed under this subdivision that is fueled
either by biomass or by co-firing biomass with nonbiomass may
satisfy the mandate in this section. Such a facility need not
use biomass that complies with the definition in subdivision 1
if it uses biomass as defined in paragraph (f) of this
subdivision. Generating capacity produced by co-firing of
biomass that is operational as of April 25, 2000, does not meet
the requirements of the mandate, except that additional
co-firing capacity added at an existing facility after April 25,
2000, may be used to satisfy this mandate. Only the number of
megawatts of capacity at a facility which co-fires biomass that
are directly attributable to the biomass and that become
operational after April 25, 2000, count toward meeting the
biomass mandate in this section.

(e) Nothing in this subdivision precludes a facility
proposed and approved under this subdivision from using fuel
sources that are not biomass in compliance with subdivision 3.

(f) Notwithstanding the provisions of subdivision 1, for
proposals subject to this subdivision, "biomass" includes
farm-grown closed-loop biomass; agricultural wastes, including
animal, poultry, and plant wastes; and waste wood, including
chipped wood, bark, brush, residue wood, and sawdust.

(g) Nothing in this subdivision affects in any way
contracts entered into as of April 25, 2000, to satisfy the
mandate in subdivision 5.

(h) Nothing in this subdivision requires a public utility
to retrofit its own power plants for the purpose of co-firing
biomass fuel, nor is a utility prohibited from retrofitting its
own power plants for the purpose of co-firing biomass fuel to
meet the requirements of this subdivision.

Sec. 61.

Minnesota Statutes 2004, section 216B.2424,
subdivision 8, is amended to read:

Subd. 8.

Agricultural biomass requirement.

Of the 125
megawatts mandated in subdivision 5, or 110 megawatts mandated
in subdivision 5a,at least 75 megawatts of the generating
capacity must be generated by facilities that use agricultural
biomass as the principal fuel source. For purposes of this
subdivision, agricultural biomass includes only farm-grown
closed-loop biomass and agricultural waste, including animal,
poultry, and plant wastes. For purposes of this subdivision,
"principal fuel source" means a fuel source that satisfies at
least 75 percent of the fuel requirements of an electric power
generating facility. Nothing in this subdivision is intended to
expand the fuel source requirements of subdivision 5.

Sec. 62.

[219.552] OBSTRUCTING TREATMENT OF INJURED
WORKER.

It is unlawful for a railroad company or person employed by
a railroad company to:

(1) deny, delay, or interfere with medical treatment or
first aid treatment to an employee of a railroad who has been
injured during employment; or

(2) discipline or threaten to discipline an employee who
has been injured during employment for requesting medical
treatment or first aid treatment.

Sec. 63.

[219.553] ENFORCEMENT.

Subdivision 1.

Penalty.

A person who believes that the
person has been affected by a violation of section 219.552 may
file a complaint with the commissioner of labor and industry who
shall refer it to the Office of Administrative Hearings for
consideration as a contested case. Upon finding a violation,
the administrative law judge may assess a penalty to the
violating railroad company of up to $10,000 for a violation of
section 219.552. In determining the amount of the penalty, the
administrative law judge shall consider those factors that must
be considered in determining a monetary penalty under section
221.036, subdivision 3. The contents of the order must include
the provisions specified in section 221.036, subdivision 4.

Subd. 2.

Administrative hearing or judicial review.

A
railroad company against which a penalty is imposed under
subdivision 1 may request judicial review in district court.
Judicial review under this subdivision is as provided in section
221.036, subdivision 8.

Subd. 3.

Enforcement of penalty.

A penalty ordered under
subdivision 1 and due and payable under this section may be
enforced by the attorney general in the manner provided under
section 221.036, subdivision 11.

Sec. 64.

Minnesota Statutes 2004, section 237.11, is
amended to read:

237.11 INSPECTING RECORDS AND PROPERTY; REPORTS REQUIRED.

Every telephone company subject to the provisions of this
chapter, wherever organized, shall keep an office in this state,
and make such reports to the department as it shall from time to
time require. All books, records, and files, whether they
relate to competitive or noncompetitive services, and all of its
property shall be at all times subject to inspection by the
commission and the department. It shall close its accounts and
take therefrom a balance sheet on December 31 of each year, and
on or before May 1 following, such balance sheet, together with
such other information as the department shall require, verified
by an officer of the telephone company, shall be filed with the
commission and the department, except that a telephone company,
competitive local exchange carrier, or independent telephone
company is only required to file an annual report that includes
the company's name, contact person, annual revenue, and status
of it 911 update plan.

In the event that any telephone company shall fail to file
its annual report, as provided by this section, the department
is authorized to make such an examination of the books, records,
and vouchers of the company as is necessary to procure the
necessary data for the annual report and cause the same to be
prepared. The expense of procuring this data and preparing this
report shall be paid by the telephone company failing to report,
and the amount paid shall be credited by the commissioner of
finance to funds appropriated for the expense of the department.

The department is authorized to force collection of such
sum by an action at law in the name of the department.

Sec. 65.

Minnesota Statutes 2004, section 237.295,
subdivision 1, is amended to read:

Subdivision 1.

payment for investigation filing fee for
new authority.

(a) Whenever the department or commission, in a
proceeding upon its own motion, on complaint, or upon an
application to it, considers it necessary, in order to carry out
the duties imposed on it, to investigate the books, accounts,
practices, and activities of any company, parties to the
proceeding shall pay the expenses reasonably attributable to the
proceeding. The department and commission shall ascertain the
expenses, and the department shall render a bill for those
expenses to the parties, at the conclusion of the proceeding.
The department is authorized to submit billings to parties at
intervals selected by the department during the course of a
proceeding.

(b) The allocation of costs may be adjusted for cause by
the commission during the course of the proceeding, or upon the
closing of the docket and issuance of an order. In addition to
the rights granted in subdivision 3, parties to a proceeding may
object to the allocation at any time during the proceeding.
Withdrawal by a party to a proceeding does not absolve the party
from paying allocated costs as determined by the commission.
The commission may decide that a party should not pay any
allocated costs of the proceeding.

(c) The bill constitutes notice of the assessment and a
demand for payment. The amount of the bills assessed by the
department under this subdivision must be paid by the parties
into the state treasury within 30 days from the date of
assessment. The total amount, in a calendar year, for which a
telephone company may become liable, by reason of costs incurred
by the department and commission within that calendar year, may
not exceed two-fifths of one percent of the gross jurisdictional
operating revenue of the telephone company in the last preceding
calendar year. Direct charges may be assessed without regard to
this limitation until the gross jurisdictional operating revenue
of the telephone company for the preceding calendar year has
been reported for the first time. Where, under this
subdivision, costs are incurred within a calendar year that are
in excess of two-fifths of one percent of the gross
jurisdictional operating revenues, the excess costs are not
chargeable as part of the remainder under subdivision 2.

(d) Except as otherwise provided in paragraph (e), for
purposes of assessing the cost of a proceeding to a party,
"party" means any entity or group subject to the laws and rules
of this state, however organized, whether public or private,
whether domestic or foreign, whether for profit or nonprofit,
and whether natural, corporate, or political, such as a business
or commercial enterprise organized as any type or combination of
corporation, limited liability company, partnership, limited
liability partnership, proprietorship, association, cooperative,
joint venture, carrier, or utility, and any successor or
assignee of any of them; a social or charitable organization;
and any type or combination of political subdivision, which
includes the executive, judicial, or legislative branch of the
state, a local government unit, an agency of the state or a
local government unit, or a combination of any of them.

(e) For assessment and billing purposes, "party" does not
include the Department of Commerce or the Residential Utilities
Division of the Office of Attorney General; any entity or group
instituted primarily for the purpose of mutual help and not
conducted for profit; intervenors awarded compensation under
section 237.075, subdivision 10; or any individual or group or
counsel for the individual or group representing the interests
of end users or classes of end users of services provided by
telephone companies or telecommunications carriers, as
determined by the commission An application for a new authority
must be accompanied by a payment not to exceed $2,000 as
determined by the Public Utilities Commission. This fee will be
reviewed annually and adjusted accordingly.

Sec. 66.

Minnesota Statutes 2004, section 237.295,
subdivision 2, is amended to read:

Subd. 2.

Assessment of costs.

The department and
commission shall quarterly, at least 30 days before the start of
each quarter, estimate the total of their expenditures in the
performance of their duties relating to telephone companies,
other than amounts chargeable to telephone companies under
subdivision 1, 5, or 6. The remainder must be assessed by the
department to the telephone companies operating in this state in
proportion to their respective gross jurisdictional operating
revenues during the last calendar year. The assessment must be
paid into the state treasury within 30 days after the bill has
been mailed to the telephone companies. The bill constitutes
notice of the assessment and demand of payment. The total
amount that may be assessed to the telephone companies under
this subdivision may not exceed one-eighth three-eighths of one
percent of the total gross jurisdictional operating revenues
during the calendar year. The assessment for the third quarter
of each fiscal year must be adjusted to compensate for the
amount by which actual expenditures by the commission and
department for the preceding fiscal year were more or less than
the estimated expenditures previously assessed. A telephone
company with gross jurisdictional operating revenues of less
than $5,000 is exempt from assessments under this subdivision.

Sec. 67.

[237.491] COMBINED PER NUMBER FEE.

Subdivision 1.

Definitions.

(a) The definitions in this
subdivision apply to this section.

(b) "911 emergency and public safety communications program"
means the program governed by chapter 403.

(c) "Minnesota telephone number" means a ten-digit
telephone number being used to connect to the public switched
telephone network and starting with area code 218, 320, 507,
612, 651, 763, or 952, or any subsequent area code assigned to
this state.

(d) "Service provider" means a provider doing business in
this state who provides real time, two-way voice service with a
Minnesota telephone number.

(e) "Telecommunications access Minnesota program" means the
program governed by sections 237.50 to 237.55.

(f) "Telephone assistance program" means the program
governed by sections 237.69 to 237.711.

Subd. 2.

Per number fee.

(a) By January 15, 2006, the
commissioner of commerce shall report to the legislature and to
the senate Committee on Jobs, Energy, and Community Development
and the house Committee on Regulated Industries, recommendations
for the amount of and method for assessing a fee that would
apply to each service provider based upon the number of
Minnesota telephone numbers in use by current customers of the
service provider. The fee would be set at a level calculated to
generate only the amount of revenue necessary to fund:

(1) the telephone assistance program and the
telecommunications access Minnesota program at the levels
established by the commission under sections 237.52, subdivision
2, and 237.70; and

(2) the 911 emergency and public safety communications
program at the levels appropriated by law to the commissioner of
public safety and the commissioner of finance for purposes of
sections 403.11, 403.113, 403.27, 403.30, and 403.31 for each
fiscal year.

(b) The recommendations must include any changes to
Minnesota Statutes necessary to establish the procedures whereby
each service provider, to the extent allowed under federal law,
would collect and remit the fee proceeds to the commissioner of
revenue. The commissioner of revenue would allocate the fee
proceeds to the three funding areas in paragraph (a) and credit
the allocations to the appropriate accounts.

(c) The recommendations must be designed to allow the
combined per telephone number fee to be collected beginning July
1, 2006. The per access line fee used to collect revenues to
support the TAP, TAM, and 911 programs remains in effect until
the statutory changes necessary to implement the per telephone
number fee have become effective.

(d) As part of the process of developing the
recommendations and preparing the report to the legislature
required under paragraph (a), the commissioner of commerce must,
at a minimum, consult regularly with the Departments of Public
Safety, Finance, and Administration, the Public Utilities
Commission, service providers, the chairs and ranking minority
members of the senate and house committees, subcommittees, and
divisions having jurisdiction over telecommunications and public
safety, and other affected parties.

Sec. 68.

Minnesota Statutes 2004, section 237.701,
subdivision 1, is amended to read:

Subdivision 1.

Fund created; authorized expenditures.

The telephone assistance fund is created as a separate account
in the state treasury to consist of amounts received by the
commissioner of public safety representing the surcharge
authorized by section 237.70, subdivision 6, and amounts earned
on the fund assets. Money in the fund may be used only for:

(1) reimbursement to local service providers for expenses
and credits allowed in section 237.70, subdivision 7, paragraph
(d), clause (5);

(2) reimbursement of the reasonable administrative expenses
of the commission not to exceed $25,000 annually , a portion of
which may be used for periodic promotional activities,
including, but not limited to, radio or newspaper
advertisements, to inform eligible households of the
availability of the telephone assistance program; and

(3) reimbursement of the statewide indirect cost of the
commission.

Sec. 69.

Minnesota Statutes 2004, section 239.011,
subdivision 2, is amended to read:

Subd. 2.

Duties and powers.

To carry out the
responsibilities in section 239.01 and subdivision 1, the
director:

(1) shall take charge of, keep, and maintain in good order
the standard of weights and measures of the state and keep a
seal so formed as to impress, when appropriate, the letters
"MINN" and the date of sealing upon the weights and measures
that are sealed;

(2) has general supervision of the weights, measures, and
weighing and measuring devices offered for sale, sold, or in use
in the state;

(3) shall maintain traceability of the state standards to
the national standards of the National Institute of Standards
and Technology;

(4) shall enforce this chapter;

(5) shall grant variances from department rules, within the
limits set by rule, when appropriate to maintain good commercial
practices or when enforcement of the rules would cause undue
hardship;

(6) shall conduct investigations to ensure compliance with
this chapter;

(7) may delegate to division personnel the
responsibilities, duties, and powers contained in this section;

(8) shall test annually, and approve when found to be
correct, the standards of weights and measures used by the
division, by a town, statutory or home rule charter city, or
county within the state, or by a person using standards to
repair, adjust, or calibrate commercial weights and measures;

(9) shall inspect and test weights and measures kept,
offered, or exposed for sale;

(10) shall inspect and test, to ascertain if they are
correct, weights and measures commercially used to:

(i) determine the weight, measure, or count of commodities
or things sold, offered, or exposed for sale, on the basis of
weight, measure, or count; and

(ii) compute the basic charge or payment for services
rendered on the basis of weight, measure, or count;

(11) shall approve for use and mark weights and measures
that are found to be correct;

(12) shall reject, and mark as rejected, weights and
measures that are found to be incorrect and may seize them if
those weights and measures:

(i) are not corrected within the time specified by the
director;

(ii) are used or disposed of in a manner not specifically
authorized by the director; or

(iii) are found to be both incorrect and not capable of
being made correct, in which case the director shall condemn
those weights and measures;

(13) shall weigh, measure, or inspect packaged commodities
kept, offered, or exposed for sale, sold, or in the process of
delivery, to determine whether they contain the amount
represented and whether they are kept, offered, or exposed for
sale in accordance with this chapter and department rules. In
carrying out this section, the director must employ recognized
sampling procedures, such as those contained in National
Institute of Standards and Technology Handbook 133, "Checking
the Net Contents of Packaged Goods";

(14) shall prescribe the appropriate term or unit of weight
or measure to be used for a specific commodity when an existing
term or declaration of quantity does not facilitate value
comparisons by consumers, or creates an opportunity for consumer
confusion;

(15) shall allow reasonable variations from the stated
quantity of contents, including variations caused by loss or
gain of moisture during the course of good distribution practice
or by unavoidable deviations in good manufacturing practice,
only after the commodity has entered commerce within the state;

(16) shall inspect and test petroleum products in
accordance with this chapter and chapter 296A;

(17) shall distribute and post notices for used motor oil
and used motor oil filters and lead acid battery recycling in
accordance with sections 239.54, 325E.11, and 325E.115;

(18) shall collect inspection fees in accordance with
sections 239.10 and 239.101; and

(19) shall provide metrological services and support to
businesses and individuals in the United States who wish to
market products and services in the member nations of the
European Economic Community, and other nations outside of the
United States by:

(i) meeting, to the extent practicable, the measurement
quality assurance standards described in the International
Standards Organization ISO 9000, Guide 25 17025;

(ii) maintaining, to the extent practicable, certification
of the metrology laboratory by a governing body appointed by the
European Economic Community an internationally accepted
accrediting body such as the National Voluntary Laboratory
Accreditation Program (NVLAP); and

(iii) providing calibration and consultation services to
metrology laboratories in government and private industry in the
United States.

Sec. 70.

Minnesota Statutes 2004, section 239.05, is
amended by adding a subdivision to read:

Subd. 3a.

Automotive fuel.

For the purpose of enforcing
the gasoline octane requirements in section 239.792, "automotive
fuel" has the meaning given it in Code of Federal Regulations,
title 16, section 306.0.

Sec. 71.

Minnesota Statutes 2004, section 239.05,
subdivision 10b, is amended to read:

Subd. 10b.

oxygenate ethanol blender.

" Oxygenate Ethanol
blender" means a person who has registered with the division to
blend and distribute, transport, sell, or offer blends and
distributes, transports, sells, or offers to sell gasoline
containing a minimum of 2.0 percent, and an average of 2.7 ten
percent oxygen ethanol by weight volume.

Sec. 72.

Minnesota Statutes 2004, section 239.09, is
amended to read:

239.09 SPECIAL POLICE POWERS.

When necessary to enforce this chapter or rules adopted
under the authority granted by section 239.06, the director is:

(1) authorized and empowered to arrest, without formal
warrant, any violator of sections 325E.11 and 325E.115 or of the
statute in relation to weights and measures;

(2) empowered to seize for use as evidence and without
formal warrant, any false weight, measure, weighing or measuring
device, package, or commodity found to be used, retained, or
offered or exposed for sale or sold in violation of law;

(3) during normal business hours, authorized to enter
commercial premises;

(4) if the premises are not open to the public, authorized
to enter commercial premises only after presenting credentials
and obtaining consent or after obtaining a search warrant;

(5) empowered to issue stop-use, hold, and removal orders
with respect to weights and measures commercially used, and
packaged commodities or bulk commodities kept, offered, or
exposed for sale, that do not comply with the weights and
measures laws; and

(6) empowered, upon reasonable suspicion of a violation of
the weights and measures laws, to stop a commercial vehicle and,
after presentation of credentials, inspect the contents of the
vehicle, require that the person in charge of the vehicle
produce documents concerning the contents, and require the
person to proceed with the vehicle to some specified place for
inspection; and

(7) empowered, after written warning, to issue citations of
not less than $100 and not more than $500 to a person who
violates any provision of this chapter, any provision of the
rules adopted under the authority contained in this chapter, or
any provision of statutes enforced by the division of weights
and measures.

Sec. 73.

Minnesota Statutes 2004, section 239.101,
subdivision 3, is amended to read:

Subd. 3.

Petroleum inspection fee.

(a) An inspection fee
is imposed (1) on petroleum products when received by the first
licensed distributor, and (2) on petroleum products received and
held for sale or use by any person when the petroleum products
have not previously been received by a licensed distributor.
The petroleum inspection fee is $1 for every 1,000 gallons
received. The commissioner of revenue shall collect the fee.
The revenue from 81 cents of the fee must first be applied to
cover the amounts appropriated. Fifteen cents of the inspection
fee must be deposited in an account in the special revenue fund
and is appropriated to the commissioner of commerce for the cost
of petroleum product quality inspection expenses and for the
inspection and testing of petroleum product-measuring
equipment operations of the Division of Weights and Measures,
petroleum supply monitoring, and the oil burner retrofit
program. The remainder of the fee must be deposited in the
general fund.

(b) The commissioner of revenue shall credit a person for
inspection fees previously paid in error or for any material
exported or sold for export from the state upon filing of a
report as prescribed by the commissioner of revenue.

Sec. 74.

Minnesota Statutes 2004, section 239.75,
subdivision 1, is amended to read:

Subdivision 1.

Inspection to be made.

The director shall:

(1) take samples, free of charge, of petroleum products
wherever processed, blended, held, stored, imported,
transferred, offered for sale or use, or sold in Minnesota,
limiting each sample to:

(i) two-tenths of one one-half gallon, except when an
octane test is planned; or

(ii) seven-tenths of one gallon for an octane test;

(2) inspect and test petroleum product samples according to
the methods of ASTM or other valid test methods adopted by rule,
to determine whether the products comply with the specifications
in section 239.761;

(3) inspect petroleum product storage tanks to ensure that
the products are free from water and impurities;

(4) inspect and test samples submitted to the department by
a licensed distributor, making the test results available to the
distributor;

(5) inspect the labeling, price posting, and price
advertising of petroleum product dispensers and advertising
signs at businesses or locations where petroleum products are
sold, offered for sale or use, or dispensed into motor vehicles;

(6) maintain records of all inspections and tests according
to the records retention policies of the Department of
Administration;

(7) delegate to division personnel, at the director's
discretion, any or all of the responsibilities, duties, and
powers in sections 239.75 to 239.80;

(8) publish octane test data and information to assist
persons who use,produce and , distribute, or sell gasoline and
gasoline-oxygenate blends petroleum-based heating and engine
fuels;

(9) register gasoline-oxygenate blenders according to the
requirements of the EPA;

(10) audit the records of any person responsible for the
product to determine compliance with sections 239.75 to 239.792;

(11) (10) after consulting with the commissioner of the
Pollution Control Agency, grant a temporary exemption from the
oxygenated gasoline gasoline-ethanol blending requirements in
section 239.791 if the supply of oxygenate ethanol is
insufficient to produce gasoline-oxygenate gasoline-ethanol
blends during an EPA-designated carbon monoxide control period;
and

(12) (11) adopt, as an enforcement policy for the division,
reasonable margins of uncertainty for the tests used to
determine compliance with the specifications in section 239.761,
the oxygen percentages in section 239.791, and the octane
requirements in section 239.792 and apply the margins of
uncertainty to only tests performed by the division, not by
adding the margins to uncertainties in tests performed by any
person responsible for the product.

Sec. 75.

Minnesota Statutes 2004, section 239.75,
subdivision 5, is amended to read:

Subd. 5.

Product quality, responsibility.

After a
gasoline product petroleum-based engine fuel is purchased,
transferred, or otherwise removed from a refinery or terminal,
the person responsible for the product shall:

(1) keep the product free from contamination with water and
impurities;

(2) not blend the product with dissimilar petroleum
products, for example, gasoline must not be blended with diesel
fuel;

(3) not blend the product with any contaminant, dye,
chemical, or additive, except:

(i) agriculturally derived, denatured ethanol that complies
with the specifications in this chapter;

(ii) an antiknock additive, or an additive designed to
replace tetra-ethyl lead, that is registered by the EPA; or

(iii) a dye to distinguish heating fuel from low sulfur
diesel fuel; and or

(iv) biodiesel fuel that complies with the specifications
in this chapter; and

(4) maintain a record of the name or chemical composition
of the additive, with the product shipping manifest or bill of
lading for one year after the date of the manifest or bill.

Sec. 76.

Minnesota Statutes 2004, section 239.761, is
amended to read:

239.761 PETROLEUM PRODUCT SPECIFICATIONS.

Subdivision 1.

Applicability.

A person responsible for
the product must meet the specifications in this section. The
specifications apply to petroleum products processed, held,
stored, imported, transferred, distributed, offered for
distribution, offered for sale or use, or sold in Minnesota.

Subd. 2.

Coordination with departments of revenue and
agriculture.

The petroleum product specifications in this
section are intended to match the definitions and specifications
in sections 41A.09 and 296A.01. Petroleum products named in
this section are defined in section 296A.01.

Subd. 3.

Gasoline.

(a) Gasoline that is not blended with
ethanol must not be contaminated with water or other impurities
and must comply with ASTM specification D4814-01 D4814-04a.
Gasoline that is not blended with ethanol must also comply with
the volatility requirements in Code of Federal Regulations,
title 40, part 80.

(b) After gasoline is sold, transferred, or otherwise
removed from a refinery or terminal, a person responsible for
the product:

(1) may blend the gasoline with agriculturally derived
ethanol as provided in subdivision 4;

(2) shall not blend the gasoline with any oxygenate other
than denatured, agriculturally derived ethanol;

(3) shall not blend the gasoline with other petroleum
products that are not gasoline or denatured, agriculturally
derived ethanol;

(4) shall not blend the gasoline with products commonly and
commercially known as casinghead gasoline, absorption gasoline,
condensation gasoline, drip gasoline, or natural gasoline; and

(5) may blend the gasoline with a detergent additive, an
antiknock additive, or an additive designed to replace
tetra-ethyl lead, that is registered by the EPA.

Subd. 4.

Gasoline blended with ethanol.

(a) Gasoline may
be blended with up to ten percent, by volume, agriculturally
derived, denatured ethanol that complies with the requirements
of subdivision 5.

(b) A gasoline-ethanol blend must:

(1) comply with the volatility requirements in Code of
Federal Regulations, title 40, part 80;

(2) comply with ASTM specification D4814-01 D4814-04a, or
the gasoline base stock from which a gasoline-ethanol blend was
produced must comply with ASTM specification D4814-01 D4814-04a;
and

(3) not be blended with casinghead gasoline, absorption
gasoline, condensation gasoline, drip gasoline, or natural
gasoline after the gasoline-ethanol blend has been sold,
transferred, or otherwise removed from a refinery or terminal.

Subd. 5.

Denatured ethanol.

Denatured ethanol that is to
be blended with gasoline must be agriculturally derived and must
comply with ASTM specification D4806-01 D4806-04a. This
includes the requirement that ethanol may be denatured only as
specified in Code of Federal Regulations, title 27, parts 20 and
21.

Subd. 6.

Gasoline blended with nonethanol oxygenate.

(a)
A person responsible for the product shall comply with the
following requirements:

(1) after July 1, 2000, gasoline containing in excess of
one-third of one percent, in total, of nonethanol oxygenates
listed in paragraph (b) must not be sold or offered for sale at
any time in this state; and

(2) after July 1, 2005, gasoline containing any of the
nonethanol oxygenates listed in paragraph (b) must not be sold
or offered for sale in this state.

(b) The oxygenates prohibited under paragraph (a) are:

(1) methyl tertiary butyl ether, as defined in section
296A.01, subdivision 34;

(2) ethyl tertiary butyl ether, as defined in section
296A.01, subdivision 18; or

(3) tertiary amyl methyl ether.

(c) Gasoline that is blended with a nonethanol oxygenate
must comply with ASTM specification D4814-01 D4814-04a.
Nonethanol oxygenates must not be blended into gasoline after
the gasoline has been sold, transferred, or otherwise removed
from a refinery or terminal.

Subd. 7.

Heating fuel oil.

Heating fuel oil must comply
with ASTM specification D396-01 D396-02a.

Subd. 8.

Diesel fuel oil.

Diesel fuel oil must comply
with ASTM specification D975-01a D975-04b, except that diesel
fuel oil is not required to meet the diesel lubricity standard
until the date that the biodiesel fuel requirement in section
239.77, subdivision 2, becomes effective or December 31, 2005,
whichever comes first.

Subd. 9.

Kerosene.

Kerosene must comply with ASTM
specification D3699-01 D3699-03.

Subd. 10.

Aviation gasoline.

Aviation gasoline must
comply with ASTM specification D910-00 D910-04.

Subd. 11.

Aviation turbine fuel, jet fuel.

Aviation
turbine fuel and jet fuel must comply with ASTM specification
D1655-01 D1655-04.

Subd. 12.

Gas turbine fuel oil.

Fuel oil for use in
nonaviation gas turbine engines must comply with ASTM
specification D2880-00 D2880-03.

Subd. 13.

E85.

A blend of ethanol and gasoline,
containing at least 60 percent ethanol and not more than 85
percent ethanol, produced for use as a motor fuel in alternative
fuel vehicles as defined in section 296A.01, subdivision 5, must
comply with ASTM specification D5798-99 (2004).

Subd. 14.

M85.

A blend of methanol and gasoline,
containing at least 85 percent methanol, produced for use as a
motor fuel in alternative fuel vehicles as defined in section
296A.01, subdivision 5, must comply with ASTM specification
D5797-96.

Sec. 77.

Minnesota Statutes 2004, section 239.77, is
amended by adding a subdivision to read:

Subd. 4.

Disclosure.

A refinery or terminal shall
provide, at the time diesel fuel is sold or transferred from the
refinery or terminal, a bill of lading or shipping manifest to
the person who receives the fuel. For biodiesel-blended
product, the bill of lading or shipping manifest must disclose
biodiesel content, stating volume percentage, or gallons of
biodiesel per gallons of petroleum diesel base-stock, or an ASTM
"Bxx" designation where "xx" denotes the volume percent
biodiesel included in the blended product. This subdivision
does not apply to sales or transfers of biodiesel blend stock
between refineries, between terminals, or between a refinery and
a terminal.

Sec. 78.

Minnesota Statutes 2004, section 239.79,
subdivision 4, is amended to read:

Subd. 4.

Sale of certain petroleum products on gross
volume basis.

A person responsible for the products listed in
this subdivision shall transfer, ship, distribute, offer for
distribution, sell, or offer to sell the products by volume.
Volumetric measurement of the product must not be temperature
compensated, or adjusted by any other factor. This subdivision
applies to gasoline, number one and number two diesel fuel oils,
number one and number two heating fuel oils, kerosene, denatured
ethanol that is to be blended into gasoline, and an oxygenate
that is to be blended into gasoline , and biodiesel. This
subdivision does not apply to the measurement of petroleum
products transferred, sold, or traded between refineries,
between refineries and terminals, or between terminals.

Sec. 79.

Minnesota Statutes 2004, section 239.791,
subdivision 1, is amended to read:

Subdivision 1.

Minimum ethanol content required.

(a)
Except as provided in subdivisions 10 to 14, a person
responsible for the product shall ensure that all gasoline sold
or offered for sale in Minnesota must contain at least 10.0
percent denatured ethanol by volume.

(b) For purposes of enforcing the minimum ethanol
requirement of paragraph (a), a gasoline/ethanol blend will be
construed to be in compliance if the ethanol content, exclusive
of denaturants and permitted contaminants, comprises not less
than 9.2 percent by volume and not more than 10.0 percent by
volume of the blend as determined by an appropriate United
States Environmental Protection Agency or American Society of
Testing Materials standard method of analysis of alcohol/ether
content in motor engine fuels.

Sec. 80.

Minnesota Statutes 2004, section 239.791,
subdivision 7, is amended to read:

Subd. 7.

oxygenate ethanol records; state audit.

The
director shall audit the records of registered oxygenate ethanol
blenders to ensure that each blender has met all requirements in
this chapter. Specific information or data relating to sales
figures or to processes or methods of production unique to the
blender or that would tend to adversely affect the competitive
position of the blender must be only for the confidential use of
the director, unless otherwise specifically authorized by the
registered blender.

Sec. 81.

Minnesota Statutes 2004, section 239.791,
subdivision 8, is amended to read:

Subd. 8.

Disclosure.

A refinery or terminal, shall
provide, at the time gasoline is sold or transferred from the
refinery or terminal, a bill of lading or shipping manifest to
the person who receives the gasoline. For oxygenated gasoline,
the bill of lading or shipping manifest must include the
identity and the volume percentage or gallons of oxygenate
included in the gasoline, and it must state: "This fuel
contains an oxygenate. Do not blend this fuel with ethanol or
with any other oxygenate." For nonoxygenated gasoline sold or
transferred before October 1, 1997, the bill or manifest must
state: "This fuel must not be sold at retail in a carbon
monoxide control area." For nonoxygenated gasoline sold or
transferred after September 30, 1997, the bill or manifest must
state: "This fuel is not oxygenated. It must not be sold at
retail in Minnesota." This subdivision does not apply to sales
or transfers of gasoline between refineries, between terminals,
or between a refinery and a terminal.

Sec. 82.

Minnesota Statutes 2004, section 239.791,
subdivision 15, is amended to read:

Subd. 15.

Exemption for certain blend pumps.

(a) A
person responsible for the product, who offers for sale, sells,
or dispenses nonoxygenated premium gasoline under one or more of
the exemptions in subdivisions 10 to 14, may sell, offer for
sale, or dispense oxygenated gasoline that contains less than
the minimum amount of ethanol required under subdivision 1 if
all of the following conditions are met:

(1) the blended gasoline has an octane rating of 88 or
greater;

(2) the gasoline is a blend of oxygenated gasoline meeting
the requirements of subdivision 1 with nonoxygenated premium
gasoline;

(3) the blended gasoline contains not more than ten percent
nonoxygenated premium gasoline;

(4) the blending of oxygenated gasoline with nonoxygenated
gasoline occurs within the gasoline dispenser; and

(5) the gasoline station at which the gasoline is sold,
offered for sale, or delivered is equipped to store gasoline in
not more than two storage tanks.

(b) This subdivision applies only to those persons who meet
the conditions in paragraph (a),clauses (1) through (5),on the
effective date of this act August 1, 2004,and have registered
with the director within three months of the effective that date
of this act.

Sec. 83.

Minnesota Statutes 2004, section 239.792, is
amended to read:

239.792 GASOLINE OCTANE AUTOMOTIVE FUEL RATINGS,
CERTIFICATION, AND POSTING.

Subdivision 1.

disclosure duties of refiners, importers,
and producers.

A manufacturer, hauler, blender, agent, jobber,
consignment agent refiner, importer, or distributor who sells,
delivers, or distributes gasoline or gasoline-oxygenate blends,
shall provide, at the time of delivery, a bill of lading or
shipping manifest to the person who receives the gasoline. The
bill or manifest must state the minimum octane of the gasoline
delivered. The stated octane number must be the average of the
"motor method" octane number and the "research method" octane
number as determined by the test methods in ASTM specification
D4814-01, or by a test method adopted by department
rule producer of automotive fuel must comply with the automotive
fuel rating, certification, and record-keeping requirements of
Code of Federal Regulations, title 16, sections 306.5 to 306.7.

Subd. 2.

dispenser labeling duties of distributors.

A
person responsible for the product shall clearly, conspicuously,
and permanently label each gasoline dispenser that is used to
sell gasoline or gasoline-oxygenate blends at retail or to
dispense gasoline or gasoline-oxygenate blends into the fuel
supply tanks of motor vehicles, with the minimum octane of the
gasoline dispensed. The label must meet the following
requirements:

(a) The octane number displayed on the label must represent
the average of the "motor method" octane number and the
"research method" octane number as determined by the test
methods in ASTM specification D4814-01, or by a test method
adopted by department rule.

(b) The label must be at least 2-1/2 inches high and three
inches wide, with a yellow background, black border, and black
figures and letters.

(d) The label must include the words "minimum octane" and
the term "(R+M)/2" or "(RON+MON)/2." A licensed distributor of
automotive fuel must comply with the certification and
record-keeping provisions of Code of Federal Regulations, title
16, sections 306.8 and 306.9.

Subd. 3.

Duties of retailers.

A person responsible for
the product who sells or transfers automotive fuel to a consumer
must comply with the automotive fuel rating posting and
record-keeping requirements, and the label specifications of
Code of Federal Regulations, title 16, sections 306.10 to 306.12.

Subd. 4.

Duties of director.

Upon request, the director
shall provide any person with a copy of Code of Federal
Regulations, title 16, part 306. Upon request, the director
shall provide any distributor, retailer, or organization of
distributors or retailers with the label specifications in Code
of Federal Regulations, title 16, section 306.12.

Sec. 84.

Minnesota Statutes 2004, section 296A.01,
subdivision 2, is amended to read:

Subd. 2.

Agricultural alcohol gasoline.

"Agricultural
alcohol gasoline" means a gasoline-ethanol blend of up to ten
percent agriculturally derived fermentation ethanol derived from
agricultural products, such as potatoes, cereal, grains, cheese
whey, sugar beets, forest products, or other renewable
resources, that:

(1) meets the specifications in ASTM specification D4806-01
D4806-04a; and

(2) is denatured as specified in Code of Federal
Regulations, title 27, parts 20 and 21.

Sec. 85.

Minnesota Statutes 2004, section 296A.01,
subdivision 7, is amended to read:

Subd. 7.

Aviation gasoline.

"Aviation gasoline" means
any gasoline that is capable of use for the purpose of producing
or generating power for propelling internal combustion engine
aircraft, that meets the specifications in ASTM
specification D910-00 D910-04, and that either:

(1) is invoiced and billed by a producer, manufacturer,
refiner, or blender to a distributor or dealer, by a distributor
to a dealer or consumer, or by a dealer to consumer, as
"aviation gasoline"; or

(2) whether or not invoiced and billed as provided in
clause (1), is received, sold, stored, or withdrawn from storage
by any person, to be used for the purpose of producing or
generating power for propelling internal combustion engine
aircraft.

Sec. 86.

Minnesota Statutes 2004, section 296A.01,
subdivision 8, is amended to read:

Subd. 8.

Aviation turbine fuel and jet fuel.

"Aviation
turbine fuel" and "jet fuel" mean blends of hydrocarbons derived
from crude petroleum, natural gasoline, and synthetic
hydrocarbons, intended for use in aviation turbine engines, and
that meet the specifications in ASTM specification
D1655-01 D1655.04.

Sec. 87.

Minnesota Statutes 2004, section 296A.01,
subdivision 14, is amended to read:

Subd. 14.

Diesel fuel oil.

"Diesel fuel oil" means a
petroleum distillate or blend of petroleum distillate and
residual fuels, intended for use as a motor fuel in internal
combustion diesel engines, that meets the specifications in ASTM
specification D975-01A D975-04b, except that diesel fuel oil is
not required to meet the diesel lubricity standard until the
date that the biodiesel fuel requirement in section 239.77,
subdivision 2, becomes effective or December 31, 2005, whichever
comes first. Diesel fuel includes number 1 and number 2 fuel
oils. K-1 kerosene is not diesel fuel unless it is blended with
diesel fuel for use in motor vehicles.

Sec. 88.

Minnesota Statutes 2004, section 296A.01,
subdivision 19, is amended to read:

Subd. 19.

E85.

"E85" means a petroleum product that is a
blend of agriculturally derived denatured ethanol and gasoline
or natural gasoline that typically contains 85 percent ethanol
by volume, but at a minimum must contain 60 percent ethanol by
volume. For the purposes of this chapter, the energy content of
E85 will be considered to be 82,000 BTUs per gallon. E85
produced for use as a motor fuel in alternative fuel vehicles as
defined in subdivision 5 must comply with ASTM specification
D5798-99 (2004).

Sec. 89.

Minnesota Statutes 2004, section 296A.01,
subdivision 20, is amended to read:

Subd. 20.

Ethanol, denatured.

"Ethanol, denatured" means
ethanol that is to be blended with gasoline, has been
agriculturally derived, and complies with ASTM specification
D4806-01 D4806-04a. This includes the requirement that ethanol
may be denatured only as specified in Code of Federal
Regulations, title 27, parts 20 and 21.

Sec. 90.

Minnesota Statutes 2004, section 296A.01,
subdivision 22, is amended to read:

Subd. 22.

Gas turbine fuel oil.

"Gas turbine fuel oil"
means fuel that contains mixtures of hydrocarbon oils free of
inorganic acid and excessive amounts of solid or fibrous foreign
matter, intended for use in nonaviation gas turbine engines, and
that meets the specifications in ASTM specification
D2880-00 D2880-03.

Sec. 91.

Minnesota Statutes 2004, section 296A.01,
subdivision 23, is amended to read:

Subd. 23.

Gasoline.

(a) "Gasoline" means:

(1) all products commonly or commercially known or sold as
gasoline regardless of their classification or uses, except
casinghead gasoline, absorption gasoline, condensation gasoline,
drip gasoline, or natural gasoline that under the requirements
of section 239.761, subdivision 3, must not be blended with
gasoline that has been sold, transferred, or otherwise removed
from a refinery or terminal; and

(2) any liquid prepared, advertised, offered for sale or
sold for use as, or commonly and commercially used as, a fuel in
spark-ignition, internal combustion engines, and that when
tested by the Weights and Measures Division meets the
specifications in ASTM specification D4814-01 D4814-04a.

(b) Gasoline that is not blended with ethanol must not be
contaminated with water or other impurities and must comply with
both ASTM specification D4814-01 D4814-04a and the volatility
requirements in Code of Federal Regulations, title 40, part 80.

(c) After gasoline is sold, transferred, or otherwise
removed from a refinery or terminal, a person responsible for
the product:

(1) may blend the gasoline with agriculturally derived
ethanol, as provided in subdivision 24;

(2) must not blend the gasoline with any oxygenate other
than denatured, agriculturally derived ethanol;

(3) must not blend the gasoline with other petroleum
products that are not gasoline or denatured, agriculturally
derived ethanol;

(4) must not blend the gasoline with products commonly and
commercially known as casinghead gasoline, absorption gasoline,
condensation gasoline, drip gasoline, or natural gasoline; and

(5) may blend the gasoline with a detergent additive, an
antiknock additive, or an additive designed to replace
tetra-ethyl lead, that is registered by the EPA.

Sec. 92.

Minnesota Statutes 2004, section 296A.01,
subdivision 24, is amended to read:

Subd. 24.

Gasoline blended with nonethanol oxygenate.

"Gasoline blended with nonethanol oxygenate" means gasoline
blended with ETBE, MTBE, or other alcohol or ether, except
denatured ethanol, that is approved as an oxygenate by the EPA,
and that complies with ASTM specification D4814-01 D4814-04a.
Oxygenates, other than denatured ethanol, must not be blended
into gasoline after the gasoline has been sold, transferred, or
otherwise removed from a refinery or terminal.

Sec. 93.

Minnesota Statutes 2004, section 296A.01,
subdivision 25, is amended to read:

Subd. 25.

Gasoline blended with ethanol.

"Gasoline
blended with ethanol" means gasoline blended with up to ten
percent, by volume, agriculturally derived, denatured ethanol.
The blend must comply with the volatility requirements in Code
of Federal Regulations, title 40, part 80. The blend must also
comply with ASTM specification D4814-01 D4814-04a, or the
gasoline base stock from which a gasoline-ethanol blend was
produced must comply with ASTM specification D4814-01 D4814-04a;
and the gasoline-ethanol blend must not be blended with
casinghead gasoline, absorption gasoline, condensation gasoline,
drip gasoline, or natural gasoline after the gasoline-ethanol
blend has been sold, transferred, or otherwise removed from a
refinery or terminal. The blend need not comply with ASTM
specification D4814-01 D4814-04a if it is subjected to a
standard distillation test. For a distillation test, a
gasoline-ethanol blend is not required to comply with the
temperature specification at the 50 percent liquid recovery
point, if the gasoline from which the gasoline-ethanol blend was
produced complies with all of the distillation specifications.

Sec. 94.

Minnesota Statutes 2004, section 296A.01,
subdivision 26, is amended to read:

Subd. 26.

Heating fuel oil.

"Heating fuel oil" means a
petroleum distillate, blend of petroleum distillates and
residuals, or petroleum residual heating fuel that meets the
specifications in ASTM specification D396-01 D396-02a.

Sec. 95.

Minnesota Statutes 2004, section 296A.01,
subdivision 28, is amended to read:

Subd. 28.

Kerosene.

"Kerosene" means a refined petroleum
distillate consisting of a homogeneous mixture of hydrocarbons
essentially free of water, inorganic acidic and basic compounds,
and excessive amounts of particulate contaminants and that meets
the specifications in ASTM specification D3699-01 D3699-03.

Sec. 96.

Minnesota Statutes 2004, section 298.22, is
amended by adding a subdivision to read:

Subd. 10.

Sale or privatization of functions.

The
commissioner of Iron Range resources and rehabilitation may not
sell or privatize any project area or function of the agency
without prior approval by a majority vote of the board.

Sec. 97.

Minnesota Statutes 2004, section 325E.311,
subdivision 6, is amended to read:

Subd. 6.

Telephone solicitation.

"Telephone
solicitation" means any voice communication over a telephone
line for the purpose of encouraging the purchase or rental of,
or investment in, property, goods, or services, whether the
communication is made by a live operator, through the use of an
automatic dialing-announcing device as defined in section
325E.26, subdivision 2, or by other means. Telephone
solicitation does not include communications:

(1) to any residential subscriber with that subscriber's
prior express invitation or permission; or

(2) by or on behalf of any person or entity with whom a
residential subscriber has a prior or current business or
personal relationship;.

Telephone solicitation also does not include communications
where the caller is identified by a caller identification system
and the call is:

(3) (i) by or on behalf of an organization that is
identified as a nonprofit organization under state or federal
law; or

(4) (ii) by a person soliciting without the intent to
complete, and who does not in fact complete, the sales
presentation during the call, but who will complete the sales
presentation at a later face-to-face meeting between the
solicitor who makes the call and the prospective purchaser; or

(iii) by a political party as defined under section 200.02,
subdivision 6.

Sec. 98.

[325F.991] 911 EMERGENCY PHONE SERVICE
REPRESENTATIONS.

Subdivision 1.

Definitions.

For purposes of this
section, the terms defined in this subdivision have the meanings
given them.

(a) "911 emergency telecommunications system" means a
dedicated emergency telecommunications system required by
section 403.025.

(b) "Person" means an individual, corporation, firm, or
other legal entity.

(c) "Service provider" means a person doing business in
Minnesota who provides real time, two-way voice service
interconnected with the public switched telephone network using
numbers allocated for Minnesota by the North American Numbering
Plan Administration.

Subd. 2.

Representations of 911 service.

A person shall
not advertise, market, or otherwise represent that the person
furnishes a service capable of providing access to emergency
services by dialing 911 unless the person provides a service
that routes 911 calls through the 911 emergency
telecommunications system.

Subd. 3.

Disclosure.

A service provider that does not
provide 911 dialing that routes 911 calls through the 911
emergency telecommunications system must disclose that fact in
all advertisements, marketing materials, and contracts. The
disclosure must be in capital letters, in 12-point font, and on
the front page of the advertisement, marketing materials, and
contracts. The disclosure must state: "THIS SERVICE DOES NOT
ROUTE 911 CALLS THROUGH THE 911 EMERGENCY SYSTEM."

Subd. 4.

Certain calls not 911 calls.

For purposes of
this section, 911 calls routed to the general access number at a
public safety answering point do not qualify as being routed
through a 911 emergency telecommunications system.

Sec. 99.

[354B.33] IRON RANGE RESOURCES AND
REHABILITATION; EARLY SEPARATION INCENTIVE PROGRAM
AUTHORIZATION.

(a) Notwithstanding any law to the contrary, the
commissioner of Iron Range resources and rehabilitation, in
consultation with the commissioner of employee relations, may
offer a targeted early separation incentive program for
employees of the commissioner who have attained the age of 60
years and have at least five years of allowable service credit
under chapter 352, or who have received credit for at least 30
years of allowable service under the provisions of chapter 352.

(b) The early separation incentive program may include one
or more of the following:

(1) employer-paid postseparation health, medical, and
dental insurance until age 65; and

(2) cash incentives that may, but are not required to be,
used to purchase additional years of service credit through the
Minnesota State Retirement System, to the extent that the
purchases are otherwise authorized by law.

(c) The commissioner of Iron Range resources and
rehabilitation shall establish eligibility requirements for
employees to receive an incentive.

(d) The commissioner of Iron Range Resources and
Rehabilitation, consistent with the established program
provisions under paragraph (b), and with the eligibility
requirements under paragraph (c), may designate specific
programs or employees as eligible to be offered the incentive
program.

(e) Acceptance of the offered incentive must be voluntary
on the part of the employee and must be in writing. The
incentive may only be offered at the sole discretion of the
commissioner of Iron Range resources and rehabilitation.

(f) The cost of the incentive is payable solely by funds
made available to the commissioner of Iron Range resources and
rehabilitation by law, but only on prior approval of the
expenditures by a majority of the Iron Range Resources and
Rehabilitation Board.

(g) This section expires June 30, 2006.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 100.

Minnesota Statutes 2004, section 357.021,
subdivision 1a, is amended to read:

Subd. 1a.

Transmittal of fees to commissioner of
finance.

(a) Every person, including the state of Minnesota and
all bodies politic and corporate, who shall transact any
business in the district court, shall pay to the court
administrator of said court the sundry fees prescribed in
subdivision 2. Except as provided in paragraph (d), the court
administrator shall transmit the fees monthly to the
commissioner of finance for deposit in the state treasury and
credit to the general fund. $30 of each fee collected in a
dissolution action under subdivision 2, clause (1), must be
deposited by the commissioner of finance in the special revenue
fund to be appropriated to the commissioner of employment and
economic development for the displaced homemaker program under
section 116L.96.

(b) In a county which has a screener-collector position,
fees paid by a county pursuant to this subdivision shall be
transmitted monthly to the county treasurer, who shall apply the
fees first to reimburse the county for the amount of the salary
paid for the screener-collector position. The balance of the
fees collected shall then be forwarded to the commissioner of
finance for deposit in the state treasury and credited to the
general fund. In a county in a judicial district under section
480.181, subdivision 1, paragraph (b), which has a
screener-collector position, the fees paid by a county shall be
transmitted monthly to the commissioner of finance for deposit
in the state treasury and credited to the general fund. A
screener-collector position for purposes of this paragraph is an
employee whose function is to increase the collection of fines
and to review the incomes of potential clients of the public
defender, in order to verify eligibility for that service.

(c) No fee is required under this section from the public
authority or the party the public authority represents in an
action for:

(1) child support enforcement or modification, medical
assistance enforcement, or establishment of parentage in the
district court, or in a proceeding under section 484.702;

(2) civil commitment under chapter 253B;

(3) the appointment of a public conservator or public
guardian or any other action under chapters 252A and 525;

(4) wrongfully obtaining public assistance under section
256.98 or 256D.07, or recovery of overpayments of public
assistance;

(5) court relief under chapter 260;

(6) forfeiture of property under sections 169A.63 and
609.531 to 609.5317;

(7) recovery of amounts issued by political subdivisions or
public institutions under sections 246.52, 252.27, 256.045,
256.25, 256.87, 256B.042, 256B.14, 256B.15, 256B.37, 260B.331,
and 260C.331, or other sections referring to other forms of
public assistance;

(8) restitution under section 611A.04; or

(9) actions seeking monetary relief in favor of the state
pursuant to section 16D.14, subdivision 5.

(d) The fees collected for child support modifications
under subdivision 2, clause (13), must be transmitted to the
county treasurer for deposit in the county general fund. The
fees must be used by the county to pay for child support
enforcement efforts by county attorneys.

Sec. 101.

Minnesota Statutes 2004, section 357.021,
subdivision 2, is amended to read:

Subd. 2.

Fee amounts.

The fees to be charged and
collected by the court administrator shall be as follows:

(1) In every civil action or proceeding in said court,
including any case arising under the tax laws of the state that
could be transferred or appealed to the Tax Court, the
plaintiff, petitioner, or other moving party shall pay, when the
first paper is filed for that party in said action, a fee of
$235 $240, except in marriage dissolution actions the fee is
$270.

The defendant or other adverse or intervening party, or any
one or more of several defendants or other adverse or
intervening parties appearing separately from the others, shall
pay, when the first paper is filed for that party in said
action, a fee of $235 $240, except in marriage dissolution
actions the fee is $270.

The party requesting a trial by jury shall pay $75.

The fees above stated shall be the full trial fee
chargeable to said parties irrespective of whether trial be to
the court alone, to the court and jury, or disposed of without
trial, and shall include the entry of judgment in the action,
but does not include copies or certified copies of any papers so
filed or proceedings under chapter 103E, except the provisions
therein as to appeals.

(2) Certified copy of any instrument from a civil or
criminal proceeding, $10, and $5 for an uncertified copy.

(3) Issuing a subpoena, $12 for each name.

(4) Filing a motion or response to a motion in civil,
family, excluding child support, and guardianship cases, $55.

(5) Issuing an execution and filing the return thereof;
issuing a writ of attachment, injunction, habeas corpus,
mandamus, quo warranto, certiorari, or other writs not
specifically mentioned, $40.

(6) Issuing a transcript of judgment, or for filing and
docketing a transcript of judgment from another court, $30.

(7) Filing and entering a satisfaction of judgment, partial
satisfaction, or assignment of judgment, $5.

(8) Certificate as to existence or nonexistence of
judgments docketed, $5 for each name certified to.

(9) Filing and indexing trade name; or recording basic
science certificate; or recording certificate of physicians,
osteopaths, chiropractors, veterinarians, or optometrists, $5.

(10) For the filing of each partial, final, or annual
account in all trusteeships, $40.

(11) For the deposit of a will, $20.

(12) For recording notary commission, $100, of which,
notwithstanding subdivision 1a, paragraph (b), $80 must be
forwarded to the commissioner of finance to be deposited in the
state treasury and credited to the general fund.

(13) Filing a motion or response to a motion for
modification of child support, a fee fixed by rule or order of
the Supreme Court.

(14) All other services required by law for which no fee is
provided, such fee as compares favorably with those herein
provided, or such as may be fixed by rule or order of the court.

(15) In addition to any other filing fees under this
chapter, a surcharge in the amount of $75 must be assessed in
accordance with section 259.52, subdivision 14, for each
adoption petition filed in district court to fund the fathers'
adoption registry under section 259.52.

The fees in clauses (3) and (5) need not be paid by a
public authority or the party the public authority represents.

Sec. 102.

[446A.083] METHAMPHETAMINE LABORATORY CLEANUP
REVOLVING FUND.

Subdivision 1.

Definitions.

As used in this section:

(1) "clandestine lab site" has the meaning given in section
152.0275, subdivision 1, paragraph (a);

(2) "property" has the meaning given in section 152.0275,
subdivision 2, paragraph (a), but does not include motor
vehicles; and

(3) "remediate" has the meaning given to remediation in
section 152.0275, subdivision 1, paragraph (a).

Subd. 2.

Fund established.

The authority shall establish
a methamphetamine laboratory cleanup revolving fund to provide
loans to counties and cities to remediate clandestine lab
sites. The fund must be credited with repayments.

Subd. 3.

Applications.

Applications by a county or city
for a loan from the fund must be made to the authority on the
forms prescribed by the authority. The application must
include, but is not limited to:

(1) the amount of the loan requested and the proposed use
of the loan proceeds;

(2) the source of revenues to repay the loan; and

(3) certification by the county or city that it meets the
loan eligibility requirements of subdivision 4.

Subd. 4.

Loan eligibility.

A county or city is eligible
for a loan under this section if the county or city:

(1) identifies a site or sites designated by a local public
health department or law enforcement as a clandestine lab site;

(2) has required the site's property owner to remediate the
site at cost, under a local public health nuisance ordinance
that addresses clandestine lab remediation;

(3) certifies that the property owner cannot pay for the
remediation immediately;

(4) certifies that the property owner has not properly
remediated the site; and

(5) issues a revenue bond payable to the authority to
secure the loan.

Subd. 5.

Use of loan proceeds; reimbursement by property
owner.

(a) A loan recipient shall use the loan to remediate the
clandestine lab site or if this has already been done to
reimburse the applicable county or city fund for costs paid by
the recipient to remediate the clandestine lab site.

(b) A loan recipient shall seek reimbursement from the
owner of the property containing the clandestine lab site for
the costs of the remediation. In addition to other lawful means
of seeking reimbursement, the loan recipient may recover its
costs through a property tax assessment by following the
procedures specified in section 145A.08, subdivision 2,
paragraph (c).

Subd. 6.

Award and disbursement of funds.

The authority
shall award loans to recipients on a first-come, first-served
basis, provided that the recipient is able to comply with the
terms and conditions of the authority loan, which must be in
conformance with this section. The authority shall make a
single disbursement of the loan upon receipt of a payment
request that includes a list of remediation expenses and
evidence that a second-party sampling was undertaken to ensure
that the remediation work was successful or a guarantee that
such a sampling will be undertaken.

Subd. 7.

Loan conditions and terms.

(a) When making
loans from the revolving fund, the authority shall comply with
the criteria in paragraphs (b) to (e).

(b) Loans must be made at a two percent per annum interest
rate for terms not to exceed ten years unless the recipient
requests a 20-year term due to financial hardship.

(c) The annual principal and interest payments must begin
no later than one year after completion of the clean up. Loans
must be amortized no later than 20 years after completion of the
clean up.

(d) A loan recipient must identify and establish a source
of revenue for repayment of the loan and must undertake whatever
steps are necessary to collect payments within one year of
receipt of funds from the authority.

(e) The fund must be credited with all payments of
principal and interest on all loans, except the costs as
permitted under section 446A.04, subdivision 5, paragraph (a).

(f) Loans must be made only to recipients with a local
public health nuisance ordinance that addresses clandestine lab
remediation.

Subd. 8.

Authority to incur debt.

Counties and cities
may incur debt under this section by resolution of the board or
council authorizing issuance of a revenue bond to the authority.

EFFECTIVE DATE.

This section is effective July 1, 2005.

Sec. 103.

Minnesota Statutes 2004, section 469.050,
subdivision 5, is amended to read:

Subd. 5.

Pay.

A commissioner, including the president,
must be paid $35 $55 for each regular or special port authority
meeting attended and shall receive reimbursement for expenses
incurred while performing duties. The advisory members of the
Duluth authority from the legislature must not be paid for their
service to the authority.

Sec. 104.

Minnesota Statutes 2004, section 469.1082,
subdivision 1, is amended to read:

Subdivision 1.

Authority to create.

A county located
outside the metropolitan area may form a county economic
development authority or grant a housing and redevelopment
authority the powers specified in subdivision 4, clause (2), if
it receives a recommendation to do so from a committee formed
under subdivision 2. An economic development authority
established under this section has all the powers and rights of
an authority under sections 469.090 to 469.1081, except the
authority granted under section 469.094 if so limited under
subdivision 4. This section is in addition to any other
authority to create a county economic development authority or
service provider.

Sec. 105.

Minnesota Statutes 2004, section 469.310,
subdivision 11, is amended to read:

Subd. 11.

Qualified business.

(a) "Qualified business"
means A person carrying on a trade or business at a place of
business located within a job opportunity building zone is a
qualified business for the purposes of sections 469.310 to
469.320 according to the criteria in paragraphs (b) to (f).

(b) A person is a qualified business only on those parcels
of land for which the person has entered into a business subsidy
agreement, as required under section 469.313, with the
appropriate local government unit in which the parcels are
located.

(1) how wages compare to the regional industry average;

(2) the number of jobs that will be provided relative to
overall employment in the community;

(3) the economic outlook for the industry the business will
engage in;

(4) sales that will be generated from outside the state of
Minnesota;

(5) how the business will build on existing regional
strengths or diversify the regional economy;

(6) how the business will increase capital investment in
the zone; and

(7) any other criteria the commissioner deems necessary.

(b) (d) A person that relocates a trade or business from
outside a job opportunity building zone into a zone is not a
qualified business,unless the business meets all of the
requirements of paragraphs (b) and (c) and:

(1) (i) increases full-time employment in the first full
year of operation within the job opportunity building zone by at
least a minimum of five jobs or 20 percent, whichever is
greater,measured relative to the operations that were relocated
and maintains the required level of employment for each year the
zone designation applies; or

(ii) makes a capital investment in the property located
within a zone equivalent to ten percent of the gross revenues of
operation that were relocated in the immediately preceding
taxable year;and

(2) enters a binding written agreement with the
commissioner that:

(i) pledges the business will meet the requirements of
clause (1);

(ii) provides for repayment of all tax benefits enumerated
under section 469.315 to the business under the procedures in
section 469.319, if the requirements of clause (1) are not met
for the taxable year or for taxes payable during the year in
which the requirements were not met; and

(iii) contains any other terms the commissioner determines
appropriate.

(e) The commissioner may waive the requirements under
paragraph (d), clause (1), if the commissioner determines that
the qualified business will substantially achieve the factors
under this subdivision.

(f) A business is not a qualified business if, at its
location or locations in the zone, the business is primarily
engaged in making retail sales to purchasers who are physically
present at the business's zone location.

(g) A qualifying business must pay each employee
compensation, including benefits not mandated by law, that on an
annualized basis is equal to at least 110 percent of the federal
poverty level for a family of four.

EFFECTIVE DATE.

This section is effective the day
following final enactment and applies to any business entering a
business subsidy agreement for a job opportunity development
zone after that date, except that paragraph (b) is effective
retroactively from June 9, 2003.

Sec. 106.

Minnesota Statutes 2004, section 469.319,
subdivision 1, is amended to read:

Subdivision 1.

Repayment obligation.

A business must
repay the amount of the total tax reduction listed in section
469.315 and any refund under section 469.318 in excess of tax
liability, received during the two years immediately before it
ceased to operate in the zone, if the business:

(1) received tax reductions authorized by section 469.315;
and

(2)(i) did not meet the goals specified in an agreement
entered into with the applicant that states any obligation the
qualified business must fulfill in order to be eligible for tax
benefits. The commissioner of employment and economic
development may extend for up to one year the period for meeting
any goals provided in an agreement. The applicant may extend
the period for meeting other goals by documenting in writing the
reason for the extension and attaching a copy of the document to
its next annual report to the commissioner of employment and
economic development; or

(ii) ceased to operate its facility located within the job
opportunity building zone or otherwise ceases to be or is not a
qualified business.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 107.

Minnesota Statutes 2004, section 469.319, is
amended by adding a subdivision to read:

Subd. 6.

Reconciliation.

Where this section is
inconsistent with section 116J.994, subdivision 3, paragraph
(e), or 6, or any other provisions of sections 116J.993 to
116J.995, this section prevails.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 108.

Minnesota Statutes 2004, section 469.320,
subdivision 3, is amended to read:

Subd. 3.

Remedies.

If the commissioner determines, based
on a report filed under subdivision 1 or other available
information, that a zone or subzone is failing to meet its
performance goals, the commissioner may take any actions the
commissioner determines appropriate, including modification of
the boundaries of the zone or a subzone or termination of the
zone or a subzone. Before taking any action, the commissioner
shall consult with the applicant and the affected local
government units, including notifying them of the proposed
actions to be taken. The commissioner shall publish any order
modifying a zone in the State Register and on the Internet.The
applicant may appeal the commissioner's order under the
contested case procedures of chapter 14.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 109.

Minnesota Statutes 2004, section 469.330,
subdivision 11, is amended to read:

Subd. 11.

Qualified business.

(a) "Qualified business"
means a person carrying on a trade or business at a
biotechnology and health sciences industry facility located
within a biotechnology and health sciences industry zone. A
person is a qualified business only on those parcels of land for
which it has entered into a business subsidy agreement, as
required under section 469.333, with the appropriate local
government unit in which the parcels are located.

(b) A person that relocates a biotechnology and health
sciences industry facility from outside a biotechnology and
health sciences industry zone into a zone is not a qualified
business, unless the business:

(1)(i) increases full-time employment in the first full
year of operation within the biotechnology and health sciences
industry zone by at least 20 percent measured relative to the
operations that were relocated and maintains the required level
of employment for each year the zone designation applies; or

(ii) makes a capital investment in the property located
within a zone equivalent to ten percent of the gross revenues of
operation that were relocated in the immediately preceding
taxable year; and

(2) enters a binding written agreement with the
commissioner that:

(i) pledges the business will meet the requirements of
clause (1);

(ii) provides for repayment of all tax benefits enumerated
under section 469.336 to the business under the procedures in
section 469.340, if the requirements of clause (1) are not met;
and

(iii) contains any other terms the commissioner determines
appropriate.

EFFECTIVE DATE.

This section is effective retroactively
from June 9, 2003.

Sec. 110.

Minnesota Statutes 2004, section 469.340,
subdivision 1, is amended to read:

Subdivision 1.

Repayment obligation.

A business must
repay the amount of the tax reduction listed in section 469.336
and any refunds under sections 469.338 and 469.339 in excess of
tax liability, received during the two years immediately before
it ceased to operate in the zone, if the business:

(1) received tax reductions authorized by section 469.336;
and

(ii) ceased to operate its facility located within the
biotechnology and health sciences industry zone or otherwise
ceases to be or is not a qualified business.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 111.

Minnesota Statutes 2004, section 474A.061,
subdivision 2c, is amended to read:

Subd. 2c.

Public facilities pool allocation.

From the
beginning of the calendar year and continuing for a period of
120 days, the commissioner shall reserve $3,000,000 $5,000,000
of the available bonding authority from the public facilities
pool for applications for public facilities projects to be
financed by the Western Lake Superior Sanitary District.
Commencing on the second Tuesday in January and continuing on
each Monday through the last Monday in July, the commissioner
shall allocate available bonding authority from the public
facilities pool to applications for eligible public facilities
projects received on or before the Monday of the preceding
week. If there are two or more applications for public
facilities projects from the pool and there is insufficient
available bonding authority to provide allocations for all
projects in any one week, the available bonding authority shall
be awarded by lot unless otherwise agreed to by the respective
issuers.

Sec. 112.

Minnesota Statutes 2004, section 517.08,
subdivision 1b, is amended to read:

Subd. 1b.

Term of license; fee; premarital education.

(a) The local registrar shall examine upon oath the party
applying for a license relative to the legality of the
contemplated marriage. If at the expiration of a five-day
period, on being satisfied that there is no legal impediment to
it, including the restriction contained in section 259.13, the
local registrar shall issue the license, containing the full
names of the parties before and after marriage, and county and
state of residence, with the county seal attached, and make a
record of the date of issuance. The license shall be valid for
a period of six months. In case of emergency or extraordinary
circumstances, a judge of the district court of the county in
which the application is made, may authorize the license to be
issued at any time before the expiration of the five days.
Except as provided in paragraph (b), the local registrar shall
collect from the applicant a fee of $85 $100 for administering
the oath, issuing, recording, and filing all papers required,
and preparing and transmitting to the state registrar of vital
statistics the reports of marriage required by this section. If
the license should not be used within the period of six months
due to illness or other extenuating circumstances, it may be
surrendered to the local registrar for cancellation, and in that
case a new license shall issue upon request of the parties of
the original license without fee. A local registrar who
knowingly issues or signs a marriage license in any manner other
than as provided in this section shall pay to the parties
aggrieved an amount not to exceed $1,000.

(b) The marriage license fee for parties who have completed
at least 12 hours of premarital education is $20 $30. In order
to qualify for the reduced fee, the parties must submit a signed
and dated statement from the person who provided the premarital
education confirming that it was received. The premarital
education must be provided by a licensed or ordained minister or
the minister's designee, a person authorized to solemnize
marriages under section 517.18, or a person authorized to
practice marriage and family therapy under section 148B.33. The
education must include the use of a premarital inventory and the
teaching of communication and conflict management skills.

(c) The statement from the person who provided the
premarital education under paragraph (b) must be in the
following form:

"I, (name of educator), confirm that (names of both
parties) received at least 12 hours of premarital education that
included the use of a premarital inventory and the teaching of
communication and conflict management skills. I am a licensed
or ordained minister, a person authorized to solemnize marriages
under Minnesota Statutes, section 517.18, or a person licensed
to practice marriage and family therapy under Minnesota
Statutes, section 148B.33."

The names of the parties in the educator's statement must
be identical to the legal names of the parties as they appear in
the marriage license application. Notwithstanding section
138.17, the educator's statement must be retained for seven
years, after which time it may be destroyed.

(d) If section 259.13 applies to the request for a marriage
license, the local registrar shall grant the marriage license
without the requested name change. Alternatively, the local
registrar may delay the granting of the marriage license until
the party with the conviction:

(1) certifies under oath that 30 days have passed since
service of the notice for a name change upon the prosecuting
authority and, if applicable, the attorney general and no
objection has been filed under section 259.13; or

(2) provides a certified copy of the court order granting
it. The parties seeking the marriage license shall have the
right to choose to have the license granted without the name
change or to delay its granting pending further action on the
name change request.

Sec. 113.

Minnesota Statutes 2004, section 517.08,
subdivision 1c, is amended to read:

Subd. 1c.

Disposition of license fee.

(a) Of the
marriage license fee collected pursuant to subdivision 1b,
paragraph (a), $15 must be retained by the county. The local
registrar must pay $70 $85 to the commissioner of finance to be
deposited as follows:

(1) $50 in the general fund;

(2) $3 in the special revenue fund to be appropriated to
the commissioner of education for parenting time centers under
section 119A.37;

(3) $2 in the special revenue fund to be appropriated to
the commissioner of health for developing and implementing the
MN ENABL program under section 145.9255;

(4) $10 $25 in the special revenue fund to be appropriated
to the commissioner of employment and economic development for
the displaced homemaker program under section 116L.96; and

(5) $5 in the special revenue fund to be appropriated to
the commissioner of human services for the Minnesota Healthy
Marriage and Responsible Fatherhood Initiative under section
256.742.

(b) Of the $20 $30 fee under subdivision 1b, paragraph (b),
$15 must be retained by the county. The local registrar must
pay $5 $15 to the commissioner of finance to be distributed
deposited as follows:

(1) $5 as provided in paragraph (a), clauses (2) and (3);
and

(2) $10 in the special revenue fund to be appropriated to
the commissioner of employment and economic development for the
displaced homemaker program under section 116L.96.

(c) The increase in the marriage license fee under
paragraph (a) provided for in Laws 2004, chapter 273, and
disbursement of the increase in that fee to the special fund for
the Minnesota Healthy Marriage and Responsible Fatherhood
Initiative under paragraph (a), clause (5), is contingent upon
the receipt of federal funding under United States Code, title
42, section 1315, for purposes of the initiative.

Sec. 114.

Laws 1999, chapter 224, section 7, as amended by
Laws 2004, chapter 261, article 6, section 3, is amended to read:

Sec. 7SUNSET.

Sections 2 and 4 expire on August 1, 2005 2006, and
Minnesota Statutes 1998, sections 237.63, 237.65, and 237.68,
expire on December 31, 2004.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 115. TRANSITION PERIOD FOR CHIROPRACTOR AND PHYSICAL
THERAPIST WORKERS' COMPENSATION FEE MAXIMUMS.

The requirement that the maximum fees for chiropractors and
physical therapists under Minnesota Statutes, section 176.136,
subdivision 1a, be the same as for medical physicians must be
phased in over three years commencing January 1, 2006. On
January 1, 2006, the difference in those maximum fees must be
reduced by one-third, on January 1, 2007, by another one-third,
and on January 1, 2008, the difference must be eliminated and
the maximum fees made the same.

To ensure that the fee adjustments mandated by this section
do not increase costs to the workers' compensation system, the
commissioner of labor and industry shall on October 1, 2005,
2006, and 2007, reduce the annual adjustment in the conversion
factors under Minnesota Statutes, section 176.136, subdivision
1a, so that savings in medical fee costs caused by the reduction
approximately equal the increase in costs caused by the
increased maximum fees provided by this section. The actual
fees shall be determined without application of any scaling
factors, but shall not exceed the provider's uniform, customary,
and reasonable fee.

Sec. 116. SESQUICENTENNIAL COMMISSION.

Subdivision 1.

Commission; purpose.

The Minnesota
Sesquicentennial Commission is established to plan for
activities relating to Minnesota's 150th anniversary of
statehood. The commission shall create a plan for capital
improvements, celebratory activities, and public engagement in
every county in the state of Minnesota.

Subd. 2.

Membership.

The commission shall consist of 17
members who shall serve until the completion of the
sesquicentennial year of statehood, appointed as follows:

(1) nine members appointed by the governor, representing
major corporate, nonprofit, and public sectors of the state,
selected from all parts of the state;

(2) two members appointed by the speaker of the house of
representatives;

(3) two members appointed by the minority leader of the
house of representatives;

(4) two members from the majority party in the senate,
appointed by the Subcommittee on Committees; and

(5) two members from the minority party in the senate,
appointed by the Subcommittee on Committees.

Subd. 3.

Compensation; operation.

The governor shall
appoint a chair from the membership of the commission. The
chair shall convene the first meeting and set the agenda for the
commission. The Minnesota Historical Society shall provide
office space and staff support for the commission, and shall
cooperate with the University of Minnesota and Minnesota State
Colleges and Universities to support the programs of the
commission. Meetings shall be at the call of the chair and must
be convened at least quarterly. The commission may appoint an
advisory council to advise and assist the commission with its
duties. Members shall receive no compensation for service on
the Sesquicentennial Commission. Members appointed by the
governor may be reimbursed for expenses under Minnesota
Statutes, section 15.059, subdivision 3.

Subd. 4.

Duties.

The commission shall have the following
duties:

(1) to present to the governor, senate and house of
representatives committees with jurisdiction over the Minnesota
Historical Society, and the Minnesota Historical Society a plan
for grants to pay for capital improvements on Minnesota's
historic public and private buildings, to be known as
sesquicentennial grants;

(2) to seek funding for activities to celebrate the 150th
anniversary of statehood, and to form partnerships with private
parties to further this mission; and

(3) to present an annual report to the governor,
legislative committees identified in clause (1), and the
Minnesota Historical Society outlining progress made towards the
celebration of the sesquicentennial.

Subd. 5.

Expiration.

The commission shall continue to
operate until January 30, 2009, at which time it shall expire.

EFFECTIVE DATE.

This section is effective the day
following final enactment.

Sec. 117. EXTENDED EMPLOYMENT PROGRAM WAGE RATES.

The commissioner of employment and economic development
must study the issue of the appropriate level of wages to be
paid to participants in extended employment programs under
Minnesota Statutes, chapter 268A. The commissioner must consult
with employers, rehabilitation facilities, program participants
and their parents or legal guardians, advocacy groups, other
involved government agencies, and others the commissioner
determines necessary. The commissioner shall report the results
of the study along with any recommendations by February 1, 2006,
to the chairs of the legislative committees with fiscal or
policy jurisdiction over those extended employment programs.

Sec. 118. REVISOR'S INSTRUCTION.

(a) The revisor of statutes shall insert a first grade
headnote prior to Minnesota Statutes, section 181.722, that
reads "MISREPRESENTATION OF EMPLOYMENT RELATIONSHIPS."

(b) The revisor of statutes shall renumber Minnesota
Statutes, section 239.05, as section 239.051, alphabetize the
definitions, and correct any cross-references to that section
accordingly.

Sec. 119. REPEALER.

(a) Minnesota Statutes 2004, sections 116J.573; 178.12; and
239.05, subdivisions 6a and 6b, are repealed.

(b) Laws 1999, chapter 125, section 4, as amended by Laws
2002, chapter 398, section 7, is repealed.

Sec. 120. EFFECTIVE DATE.

Sections 12 to 22 and 25 are effective January 1, 2006, and
apply to service contracts issued on or after that date. A
provider transacting business in this state on or before the
date of the enactment of this chapter, which submits an
application for registration as a provider under Minnesota
Statutes, section 59B.03, subdivision 3, within 30 days after
the commissioner makes the application available, may continue
to transact business in this state until final agency action is
taken by the commissioner regarding the registration application
and all rights to administrative and judicial review related to
that final agency action have been exhausted or have expired.

SF 2276

Bill Text Versions

Current Version - 2nd Engrossment

ARTICLE 1

ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE

Section 1. ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE APPROPRIATIONS.

Sec. 2. POLLUTION CONTROL AGENCY

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Sec. 3. OFFICE OF ENVIRONMENTAL ASSISTANCE

Sec. 4. ZOOLOGICAL BOARD 8,000 10,000

Sec. 5. NATURAL RESOURCES

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Subd. 5.

Subd. 6.

Subd. 7.

Subd. 8.

Subd. 9.

Subd. 10.

Sec. 6. BOARD OF WATER AND SOIL RESOURCES 194,000 85,000

Sec. 7. METROPOLITAN COUNCIL 495,000 581,000

Sec. 8. AGRICULTURE

Subdivision 1.

Subd. 2.

Subd. 3.

Subd. 4.

Sec. 9. BOND SALE

Sec. 10. BOARD OF ANIMAL HEALTH 456,000 458,000

Sec. 11. MINNESOTA RESOURCES

Subdivision 1.

Subd. 3.

Subd. 4.

Subd. 5.

Subd. 6.

Subd. 7.

Subd. 8.

Subd. 9.

Subd. 10.

Subd. 11.

Subd. 12.

Subd. 13.

Subd. 14.

Subd. 15.

Subd. 16.

Subd. 17.

Subd. 18.

Subd. 19.

Sec. 12.

Subd. 5.

Forest trust lands.

Sec. 13.

Subd. 13.

Semiannual reports.

Sec. 14.

Subd. 5b.

Application fee.

Sec. 15.

Subdivision 1.

Commissioner's powers.

Sec. 16.

Subdivision 1.

Establishment.

Sec. 17.

Subd. 4.

Application fee.

Sec. 18.

Subd. 3.

Application fee.

Sec. 19.

Subd. 5.

Application fee.

Sec. 20.

Subd. 6.

Fees.

Section 1. ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE
APPROPRIATIONS.

Sec. 2. POLLUTION CONTROL
AGENCY

Sec. 3. OFFICE OF ENVIRONMENTAL
ASSISTANCE

Sec. 6. BOARD OF WATER AND
SOIL RESOURCES 194,000 85,000

Sec. 10. BOARD OF ANIMAL
HEALTH 456,000 458,000

plant protection inspections,supplemental,
additional, or other certificates,and permits, and fees.

Removal of diseased or infested pest-infested
trees.