SF 1042

1st Engrossment - 90th Legislature (2017 - 2018) Posted on 03/07/2017 08:49am

A bill for an act
relating to state lands; modifying certain boathouse lease terms; amending Laws
2000, chapter 486, section 4, as amended.

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

Section 1.

Laws 2000, chapter 486, section 4, as amended by Laws 2001, chapter 182,
section 2, is amended to read:

Sec. 4. [BOATHOUSE LEASES; SOUDAN UNDERGROUND MINE STATE
PARK.]

(a) In 1965, United States Steel Corporation conveyed land to the state of Minnesota
that was included in the Soudan underground mine state park, with certain lands at Stuntz
Bay subject to leases outstanding for employee boathouse sites.

(b) Notwithstanding Minnesota Statutes, sections 85.011, 85.012, subdivision 1, and
86A.05, subdivision 2, upon the expiration of a boathouse lease described under paragraph
(a), the commissioner of natural resources shall offer a new lease to the party in possession
at the time of lease expiration, or, if there has been a miscellaneous lease issued by the
Department of Natural Resources due to expiration of a lease described under paragraph
(a), upon its expiration to the lessee. The new lease shall be issued under the terms and
conditions of Minnesota Statutes, section 92.50, deleted text begin with the following limitations deleted text end new text begin except as
follows new text end :

(1) the term of the lease shall be for the lifetime of the party being issued a renewed
lease and, if transferred, for the lifetime of the party to whom the lease is transferred;

(2) the new lease shall provide that the lease may be transferred only once and the transfer
must be to a person within the third degree of kindred or first cousin according to civil law;
deleted text begin and
deleted text end

(3) the commissioner shall limit the number of lessees per lease to no more than two
persons who have attained legal age deleted text begin . deleted text end new text begin ; and
new text end

new text begin (4) the lease amount must not exceed 50 percent of the average market rate, based on
comparable private lease rates, as determined once every five years per lease.
new text end

At the time of the new lease, the commissioner may offer, and after agreement with the
leaseholder, lease equivalent alternative sites to the leaseholder.

(c) The commissioner shall not cancel a boathouse lease described under paragraphs (a)
and (b) except for noncompliance with the lease agreement.

new text begin (d) The commissioner must issue a written receipt to the lessee for each lease payment.
new text end

deleted text begin (d) deleted text end new text begin (e) new text end By January 15, 2001, the commissioner of natural resources shall report to the
senate and house environment and natural resources policy and finance committees on
boathouse leases in state parks. The report shall include information on:

(1) the number of boathouse leases;

(2) the number of leases that have forfeited;

(3) the expiration dates of the leases;

(4) the historical significance of the boathouses;

(5) recommendations on the inclusion of the land described in paragraph deleted text begin (d) deleted text end new text begin (f) new text end within
the park boundary; and

(6) any other relevant information on the leases.

deleted text begin (e) deleted text end new text begin (f) new text end The commissioner of natural resources shall contact U.S.X. Corporation and local
units of government regarding the inclusion of the following lands within Soudan
underground mine state park:

(1) all lands located South of Vermillion Lake shoreline in Section 13, Township 62
North, Range 15 West;

(2) all lands located South of Vermillion Lake shoreline in the S1/2-SE1/4 of Section
14, Township 62 North, Range 15 West;

(3) NE1/4-SE1/4 and E1/2-NE1/4 of Section 22, Township 62 North, Range 15 West;

(4) all lands located South of Vermillion Lake shoreline in Section 23, Township 62
North, Range 15 West;

(5) all of Section 24, Township 62 North, Range 15 West;

(6) all lands North of trunk highway No. 169 located in Section 25, Township 62 North,
Range 15 West;

(7) all lands North of trunk highway No. 169 located in Section 26, Township 62 North,
Range 15 West;

(8) NE1/4-SE1/4 and SE1/4-NE1/4 of Section 27, Township 62 North, Range 15 West;
and

(9) NW1/4 of Section 19, Township 62 North, Range 14 West.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment and
applies to monthly lease payments made on or after that date.
new text end