Minnesota Legislature
SF 2638
as introduced - 89th Legislature (2015 - 2016) Posted on 03/30/2016 08:36am
Current Version - as introduced
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A bill for an act
relating to natural resources; making distributions quarterly from the minerals
management account; allowing expedited sales of school trust lands and
university lands; appropriating money; amending Minnesota Statutes 2014,
sections 93.2236; 94.3495, subdivisions 2, 3, 7.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2014, section 93.2236, is amended to read:
93.2236 MINERALS MANAGEMENT ACCOUNT.
(a) The minerals management account is created as an account in the natural
resources fund. Interest earned on money in the account accrues to the account. Money in
the account may be spent or distributed only as provided in paragraphs (b) and (c).
(b) If the balance in the minerals management account exceeds $3,000,000 on new text begin March
31, new text end June 30, new text begin September 30, or December 31, new text end the amount exceeding $3,000,000 must
be distributed to the permanent school fund, the permanent university fund, and taxing
districts as provided in section 93.22, subdivision 1, paragraph (c). The amount distributed
to each fund must be in the same proportion as the total mineral lease revenue received
in the previous biennium from school trust lands, university lands, and lands held by the
state in trust for taxing districts.
(c) Subject to appropriation by the legislature, money in the minerals management
account may be spent by the commissioner of natural resources for mineral resource
management and projects to enhance future mineral income and promote new mineral
resource opportunities.
Sec. 2.
Minnesota Statutes 2014, section 94.3495, subdivision 2, is amended to read:
Subd. 2.
Classes of land; definitions.
new text begin (a) new text end The classes of public land that may be
involved in an expedited exchange under this section are:
(1) Class 1 land, which for the purpose of this section is Class A land as defined in
section 94.342, subdivision 1deleted text begin , except for:deleted text end new text begin ;
new text end
deleted text begin
(i) school trust land as defined in section 92.025; and
deleted text end
deleted text begin
(ii) university land granted to the state by acts of Congress;
deleted text end
(2) Class 2 land, which for the purpose of this section is Class B land as defined in
section 94.342, subdivision 2; and
(3) Class 3 land, which for the purpose of this section is all land owned in fee by
a governmental subdivision of the state.
new text begin
(b) "School trust land" has the meaning given in section 92.025.
new text end
new text begin
(c) "University land" means land granted to the state by acts of Congress for
university purposes.
new text end
Sec. 3.
Minnesota Statutes 2014, section 94.3495, subdivision 3, is amended to read:
Subd. 3.
Valuation of land.
(a) In an exchange of Class 1 land for Class 2 or 3 land,
the value of all the land shall be determined by the commissioner of natural resourcesnew text begin ,
but the county board must approve the value determined for the Class 2 land, and the
governmental subdivision of the state must approve the value determined for the Class 3
landnew text end . In an exchange of Class 2 land for Class 3 land, the value of all the land shall be
determined by the county board of the county in which the land liesnew text begin , but the governmental
subdivision of the state must approve the value determined for the Class 3 landnew text end .
new text begin (b)new text end To determine the value of the land, the parties to the exchange may new text begin either (1)
new text end cause the land to be appraised, deleted text begin utilize the valuation process provided under section
84.0272, subdivision 3, or obtain a market analysis from a qualified real estate brokerdeleted text end new text begin or
(2) determine the value for each 40-acre tract or lot, or a portion thereof, using the most
current township or county assessment schedules for similar land types from the county
assessor of the county in which the lands are locatednew text end . Merchantable timber value deleted text begin must
deleted text end new text begin shouldnew text end be deleted text begin determined anddeleted text end considered in finalizing valuation of the lands.
deleted text begin (b) Alldeleted text end new text begin (c) Except for school trust lands and university lands, thenew text end lands exchanged
under this section shall be exchanged only for lands of at least substantially equal value.
For the purposes of this subdivision, "substantially equal value" has the meaning given
under section 94.343, subdivision 3, paragraph (b). No payment is due either party if the
landsnew text begin , other than school trust lands or univerity lands, new text end are of substantially equal value but
are not of the same value.
new text begin
(d) School trust lands and university lands exchanged under this section must be
exchanged only for lands of equal or greater value.
new text end
Sec. 4.
Minnesota Statutes 2014, section 94.3495, subdivision 7, is amended to read:
Subd. 7.
deleted text begin Reversionary interest;deleted text end Mineral and water power rights and other
reservations.
deleted text begin
(a) All deeds conveying land given in an expedited land exchange under
this section shall include a reverter that provides that title to the land automatically reverts
to the conveying governmental unit if:
deleted text end
deleted text begin
(1) the receiving governmental unit sells, exchanges, or otherwise transfers title of
the land within 40 years of the date of the deed conveying ownership; and
deleted text end
deleted text begin
(2) there is no prior written approval for the transfer from the conveying
governmental unit. The authority for granting approval is the commissioner of natural
resources for former Class 1 land, the county board for former Class 2 land, and the
governing body for former Class 3 land.
deleted text end
deleted text begin (b)deleted text end Class 1 land given in exchange is subject to the reservation provisions of section
94.343, subdivision 4. Class 2 land given in exchange is subject to the reservation
provisions of section 94.344, subdivision 4. County fee land given in exchange is subject
to the reservation provisions of section 373.01, subdivision 1, paragraph (g).
Sec. 5. new text begin APPROPRIATION.
new text end
new text begin
$500,000 is appropriated in fiscal year 2017 from the general fund to the school trust
lands director to initiate the private sale of surplus school trust lands identified according
to Minnesota Statutes, section 92.82, paragraph (d), including, but not limited to, valuation
expenses, legal fees, and transactional staff costs. This appropriation must not be used
to extinguish school trust interests in school trust lands.
new text end