SF 2852

2nd Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to natural resources; providing for land donor appraisal reimbursement;
providing for acquisition of land for certain facilities; modifying certain
definitions; modifying forest services provided to private owners; granting
authority to establish state forest user fees; modifying the State Timber Act;
eliminating the requirement for a comprehensive forest resource management
plan; amending Minnesota Statutes 2004, sections 84.085, subdivision 1;
88.79, subdivision 1; 90.14; 90.151, subdivisions 1, 6, by adding a subdivision;
103I.005, subdivision 9; proposing coding for new law in Minnesota Statutes,
chapters 85; 89; 90; repealing Minnesota Statutes 2004, section 89.011,
subdivisions 1, 2, 3, 6.

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

Section 1.

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

Subdivision 1.

Authority.

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

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

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

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

Sec. 2.

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

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

Sec. 3.

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

Subdivision 1.

Employment of competent foresters; service to private owners.

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

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

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

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

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

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

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

Sec. 4.

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

new text begin Subdivision 1. new text end

new text begin Establishing fees. new text end

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

new text begin Subd. 2. new text end

new text begin Receipts to natural resources fund. new text end

new text begin Fees collected under subdivision 1
shall be credited to a forest land use account in the natural resources fund.
new text end

Sec. 5.

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

90.14 AUCTION SALE PROCEDURE.

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

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

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

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

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

Sec. 6.

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

new text begin Subdivision 1. new text end

new text begin Purchaser qualifications. new text end

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

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

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

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

new text begin Subd. 2. new text end

new text begin Purchaser preregistration. new text end

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

Sec. 7.

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

Subdivision 1.

Issuance; expiration.

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

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

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

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

Sec. 8.

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

Subd. 6.

Notice and approval required.

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

Sec. 9.

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

new text begin Subd. 15. new text end

new text begin Liquidated damages. new text end

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

Sec. 10.

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

Subd. 9.

Exploratory boring.

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

Sec. 11. new text begin REPEALER.
new text end

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