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Minnesota Legislature

Office of the Revisor of Statutes

Key: (1) language to be deleted (2) new language

  

                         Laws of Minnesota 1987 

                        CHAPTER 229-H.F.No. 1197 
           An act relating to statutes; revising the text of 
          certain laws to remove redundant and obsolete 
          language, to simplify grammar and syntax, and to 
          improve the style of language without causing changes 
          in the meaning of the laws; amending Minnesota 
          Statutes 1986, chapters 84A; 105; 112; 274; 276; 352; 
          352B; 365; 430; and 447. 
          
                                       REVISOR'S BILL 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 

                               ARTICLE 1 
    Section 1.  Minnesota Statutes 1986, chapter 84A, is 
amended to read: 
 RED LAKE GAME PRESERVE 
    84A.01 [RED LAKE GAME PRESERVE.] 
    There is created a state wildlife preserve and hunting 
ground to be known as the Red Lake game preserve.  It is created 
for the purpose of vesting and revesting the state with title to 
lands in the area hereinafter described which that are suitable 
primarily for state use and development for the purpose of 
preserving, protecting, propagating, and breeding wildlife of 
all suitable kinds, including all species of game and fish and 
fur-bearing animals and birds of rare and useful species, and 
for the development of forests and prevention of forest fires, 
and the preservation and development of rare and distinctive 
plant species of flora native in such the area, there is 
hereby located, established, and created a state wild life 
preserve and hunting ground comprising.  It includes all lands 
and waters in Lake of the Woods county lying south of Rainy 
river, and south of Lake of the Woods, and all full and 
fractional townships in Beltrami county lying north of the north 
line of township 151, excluding all of the lands and waters 
lying within Red Lake Indian reservation, and including.  It 
also all that includes the part of Koochiching county lying west 
and northwesterly of the following described line: 
    Beginning at a point where the range line between ranges 26 
and 27 west of the fifth principal meridian intersects the 
southerly bank of Rainy River; thence south on this range line 
to the point formed by the intersection of this range line with 
the easterly boundary line of the original Red Lake Indian 
reservation; thence southwesterly along the easterly boundary 
line of the original Red Lake Indian reservation to a point 
formed by the intersection of such the boundary line with the 
range line between ranges 29 and 30 west of the fifth principal 
meridian; to be known as the Red Lake game preserve, sometimes 
called "preserve and hunting ground."  
    84A.02 [MANAGEMENT DEPARTMENT TO MANAGE PRESERVE.] 
    The department of natural resources shall manage and 
control the Red Lake game preserve shall be under the management 
and control of the department, which shall have, and it is 
hereby given, full power and authority to make, establish, 
promulgate, and enforce all necessary.  The department may adopt 
and enforce rules, not inconsistent with the laws of the state, 
for the care, preservation, protection, breeding, propagation, 
and disposition of any and all species of wildlife therein and 
in the preserve.  The department may adopt and enforce rules for 
the regulation, issuance, sale, and revocation of special 
licenses or special permits for hunting, fishing, camping, and 
other uses of this area, not inconsistent consistent with the 
terms of sections 84A.01 to 84A.11 or other laws of the state 
now or hereafter applicable thereto.  The department shall have 
power and authority, may by means of rules, to declare rule, set 
the terms and, conditions of, and charges for these licenses and 
permits and the charges to be made therefor. 
    These The rules may specify and control the terms under and 
by which wildlife may be taken, captured, or killed therein in 
the preserve, and under and by which fur-bearing animals, or 
animals and fish otherwise having commercial value, may be 
taken, captured, trapped, killed, sold, and removed therefrom 
from it.  These rules may also provide for (1) the afforestation 
and reforestation of state lands now or hereafter owned by the 
state in this game the preserve and hunting grounds, and for 
(2) the sale of merchantable timber from these lands when and 
where, in the opinion of the department, the same it can be sold 
and removed without damage or injury to the further use and 
development of the land for a habitat of wildlife and game in 
this game the preserve and hunting ground, and for (3) the 
purposes for which this the preserve and hunting ground is 
established by sections 84A.01 to 84A.11. 
    The department may provide for the policing of this the 
preserve and hunting ground in such manner as may be needful 
necessary for the its proper development and use of the preserve 
and hunting ground for the purposes specified, and all.  
Supervisors, guards, custodians, and caretakers assigned to duty 
in this the preserve and hunting ground shall have and possess 
the authority and powers of peace officers while in their 
employment. 
    The department shall also make and enforce such adopt and 
enforce rules, not inconsistent with the laws of the state, 
concerning the burning of grass, timber slashings, and 
other inflammable flammable matter, and the clearing, 
development, and use of lands in this the preserve and hunting 
ground as may be necessary and advisable to prevent destructive 
forest fires and grass fires which that would injure the use and 
development of this area for the wildlife preservation and 
propagation of wild life therein, and for the proper protection 
of the to protect its forest and wooded areas thereof. 
    All Lands within the boundaries of this the preserve and 
hunting ground shall be are subject to such the rules, whether 
owned by the state or privately, consistent with the rights of 
the private owners and with the laws of this applicable state 
now or hereafter applicable thereto law.  By such The rules 
there may be established establish areas and zones within this 
the preserve and hunting ground where hunting, fishing, 
trapping, or camping may be is prohibited or specially 
regulated, for the purpose of protection to protect and 
propagation of propagate particular wildlife therein in the 
preserve.  
    All Rules adopted and promulgated under the provisions of 
sections 84A.01 to 84A.11 shall must be published in the manner 
now as required by law under the provisions of section 97A.051, 
and shall be, in addition thereto, posted on the boundaries of 
this the preserve and hunting ground.  
    84A.03 [RED LAKE GAME PRESERVE FUND.] 
    The Red Lake game preserve fund is created.  The following 
funds must be paid into the state treasury and credited to the 
fund and are annually appropriated for the purposes of sections 
84A.01 to 84A.11: 
     (1) the proceeds of all certificates of indebtedness issued 
under the provisions of sections 84A.01 to 84A.11, all moneys; 
     (2) money received from redemption, as therein provided in 
those sections, all moneys; 
     (3) money received as gifts to the state for the purpose of 
care, preservation, improvement, and maintenance of this the 
preserve and hunting ground, and all; 
    (4) income which may be received from the operation, 
development, management, and use of this the preserve and 
hunting ground, including such fees as may be received for such 
licenses and permits, all; 
    (5) income which may be received from the sale of birds, 
animals, fish, and flora therefrom plants from the preserve, and 
from the sale of lands and timber thereon owned by the state 
within such the area, other than university, school, and swamp 
lands, state forest lands set apart pursuant to under the 
Minnesota Constitution of the state of Minnesota, article XI, 
section 11, and state lands acquired under the system of rural 
credit,; and all 
    (6) state money of the state which may hereafter be 
transferred thereto to the preserve under any state law of the 
state, shall be paid into the state treasury and credited to the 
Red Lake game preserve fund, which is hereby created, and the 
same are hereby annually appropriated for the purposes of 
sections 84A.01 to 84A.11. 
    84A.04 [COUNTY AUDITOR TO MAKE LIST OF LANDS.] 
    Subdivision 1.  [1929 REPORT.] The auditor of each county 
in which containing a portion of this the preserve and hunting 
ground is situated shall certify to the commissioner of natural 
resources a list of all the lands within the boundaries of the 
preserve and hunting ground, except lands lying within the 
boundaries of any an incorporated city, which that have been bid 
in for the state at the delinquent tax sale held in the year 
1928 for the nonpayment of taxes or special drainage assessments 
and not redeemed or assigned to an actual purchaser, which.  The 
certificate shall must contain the following information: 
    (1) the legal description of each parcel of such lands; 
    (2) the amount of principal and interest of delinquent 
drainage assessments, if any, or assessment installments 
thereof, for all years prior to before the date of such the 
report, against each such parcel of land; and 
    (3) the amount of drainage assessments thereof assessed 
against each such parcel of land which that have been or are to 
be extended upon on the county tax rolls of such county for 
collection with the taxes for the year 1927 and subsequent later 
years. 
    Subd. 2.  [ANNUAL REPORTS.] On or before June fifteenth, 15 
of each year thereafter, such after the report, the county 
auditor shall certify to the commissioner of natural resources a 
supplemental report giving the information contained in the 
original report covering such the lands within this the preserve 
and hunting ground bid in for the state at the annual tax sale 
of that year and not included in the previous report.  
    Subd. 3.  [REPORTS OF LAND REDEMPTIONS.] When redemption is 
made of any parcel of such land within the preserve and hunting 
ground which that has been bid in for the state at any tax sale 
for taxes heretofore levied before April 19, 1929, or when the 
tax liens on such the land are assigned to an actual purchaser, 
the county auditor shall report the same forthwith the fact to 
the commissioner of natural resources, and the county treasurer 
shall transmit forthwith send the proceeds of such redemption to 
the state treasurer.  
    Subd. 4.  [DRAINAGE DITCH BONDS; REPORTS.] (a) After each 
distribution has been made of the tax collections on the June 
and November tax settlements, such the county auditor shall 
certify to the commissioner of natural resources the following 
information relating to bonds issued to finance or refinance 
public drainage ditches lying wholly or partly within this the 
preserve and hunting ground and the collection of assessments 
levied on account of such the ditches: 
    (1) the amount of principal and interest to become due on 
such the bonds prior to before the next ensuing tax settlement 
and distribution; 
    (2) the amount of money collected from such the drainage 
assessments and credited to the funds of these ditches; and 
    (3) the amount of the deficit in the ditch fund of the 
county chargeable to such the ditches.  
    (b) Upon the approval of On approving this certificate 
by, the commissioner of natural resources, the commissioner 
shall draw a warrant or warrants on the state treasurer, payable 
out of the Red Lake game preserve fund, for the amount of the 
deficit in favor of such the county.  
    (c) As to all public drainage ditches which lie wholly 
within this the preserve and hunting ground, the maximum amount 
of money which shall be paid to or for the benefit of such the 
county, in the manner above provided, shall under paragraph (b) 
must never exceed the principal and interest of the bonds issued 
to finance and refinance such the ditches outstanding at the 
time of the passage and approval of sections 84A.01 to 
84A.11 after April 19, 1929, less money on hand in the county 
ditch fund to the credit of such the ditches, and such.  The 
liability shall be reduced, from time to time, by the amount 
of any and all payments of assessments hereafter extended after 
April 19, 1929, made by the owners of lands heretofore assessed 
before that date for benefits on account of such the ditches. 
    (d) As to all public drainage ditches which lie partly 
within and partly without the boundaries of this outside the 
preserve and hunting ground, the maximum amount which shall be 
paid to or for the benefit of such the county shall must never 
exceed the a certain percentage of bonds issued to finance and 
refinance such the ditches so outstanding, less money on hand in 
the county ditch fund to the credit of such the ditches at the 
time of the passage and approval of sections 84A.01 to 84A.11, 
which bears after April 19, 1929.  This percentage must bear the 
same proportion to the whole amount of such the bonds as the 
original benefits assessed against lands within the game 
preserve bear to the original total benefits assessed to the 
entire system of such ditches, and such.  The liability shall be 
reduced, from time to time, by the payments of all 
assessments hereafter extended after April 19, 1929, made by the 
owners of lands in this the preserve and hunting ground, of 
assessments for benefits heretofore assessed before April 19, 
1929, on account of any such the ditch. 
    (e) The commissioner of natural resources shall have 
authority to may provide and prescribe the forms for any reports 
required by sections 84A.01 to 84A.11, and to require any 
further and additional information from any county officials of 
these counties which that the commissioner of finance deems 
finds necessary for the proper administration of sections 84A.01 
to 84A.11. 
    84A.07 [TITLE TO LAND IN PRESERVE LANDS TO BE HELD BY 
STATE.] 
    The title to all parcels of land lying within this the 
preserve and hunting ground, except lands lying within the 
boundaries of any incorporated city, which shall be that are 
acquired by the state under the provisions of section 280.13 
Laws 1927, chapter 119, as amended, shall be is held by the 
state, free from the trust in favor of the taxing districts 
specified therein, and shall in that chapter.  Title must be 
held and used, or disposed of, in accordance with the provisions 
of Laws 1929, chapter 258 sections 84A.01 to 84A.11. 
    84A.08 [PRESERVE LANDS CLASSIFIED.] 
    Upon receipt by the commissioner of finance of On receiving 
the reports of county auditor specified in section 84A.04, the 
commissioner of finance shall certify a copy thereof of the 
report to the department, which.  The department shall 
classify all such the lands as to their suitability for 
agriculture or for, afforestation or reforestation, or for 
ownership and use by the state for preserving, propagating, 
breeding, and hunting of wildlife of the kinds specified in 
section 84A.01, and.  After the state acquires title to any such 
the lands has been acquired by the state, in the manner 
provided, such lands they may be reclassified, from time to 
time.  All such Lands which shall that become the absolute 
property of the state under the provisions of sections 84A.01 to 
84A.11, which and have been classified as suitable for 
agriculture, and timber, from any lands so acquired, shall be 
subject to sale may be sold by the state, as provided by law.  
    84A.09 [GIFTS RECEIVED.] 
    The department is hereby authorized and empowered to may 
receive, for and in behalf of the state, and to make suitable 
acknowledgments of, acknowledge any gifts, bequests, devises, or 
grants of land or interests in lands in this the preserve and 
hunting ground, or of money or personal property of any 
kind, which that it may deem considers suitable for use in 
connection with the operation, control, development, or use of 
the preserve and hunting ground.  
    84A.10 [EMINENT DOMAIN.] 
    The department has the right of eminent domain in chapter 
117.  The department is hereby authorized and empowered to may 
acquire, by exercise of the right of eminent domain, which right 
is hereby given it, to be exercised in the manner provided in 
chapter 117, or by purchase, any lands or interests in lands in 
this the preserve and hunting ground which that the department 
shall deem considers necessary for state ownership, use, or 
development for the purposes of sections 84A.01 to 84A.11.  
No moneys money shall be used for the purposes specified in this 
section to acquire the lands or interests until and unless the 
department shall have determined determines that such moneys the 
money will not be required to meet the requisitions of the 
counties authorized under section 84A.04, or for payment of 
certificates of indebtedness and their interest thereon.  
    [84A.101] [RULE VIOLATION; MISDEMEANOR.] 
    Any person who, within the limits of the preserve, 
willfully violates a rule of the department, is guilty of a 
misdemeanor. 
    84A.11 [WHEN BONDS PAID IN PART BY COUNTIES.] 
    Any A county wherein containing a portion of this the 
preserve and hunting ground is located may voluntarily assume, 
in the manner specified in this section, the obligation to 
pay that a portion of the principal and interest of the bonds, 
heretofore issued before April 19, 1929, and which may remain 
remaining unpaid at maturity, of any school district or 
town situated in the county and wholly or partly lying within 
the preserve and hunting ground, which.  The portion bears must 
bear the same proportion to the whole of such the unpaid 
principal and interest as the 1928 assessed valuation of lands 
then acquired by the state pursuant to under sections 84A.01 to 
84A.11 in such that school district or town bears to the total 
1928 assessed valuation of such the school district or town. 
    This assumption shall must be evidenced by a resolution of 
the county board of the county,.  A copy of which shall the 
resolution must be certified to the commissioner of finance 
within one year after the passage of sections 84A.01 to 84A.11, 
and thereafter. 
    After that time, if any of these bonds shall remain unpaid 
at maturity, the county board shall, upon demand of the 
governing body of the school district or town or of the holder 
of any such bonds a bondholder, provide for the payment of the 
portion thereof so assumed, and.  The county board shall levy 
general taxes on all the taxable property of the county therefor 
for that purpose, or shall issue its bonds to raise such the sum 
as may be needed conforming to the provisions of law respecting 
the issuance of county refunding bonds.  The proceeds of these 
taxes or bonds shall must be paid over by the county treasurer 
to the treasurers of the respective school districts or towns.  
    In the event any such If a county shall fail or neglect so 
fails to adopt and certify this resolution, the commissioner of 
finance shall withhold from the payments to be made to the 
county, under the provisions of section 84A.04, a sum equal to 
that portion of the principal and interest of these outstanding 
bonds which that bears the same proportion to the whole thereof 
principal and interest as the 1928 assessed valuation of lands 
acquired by the state within the preserve and hunting ground 
bears to the total 1928 assessed valuation of the school 
district or town.  Moneys so The money withheld from the county 
shall must be set aside in the state treasury and not paid to 
the county until the full principal and interest of these school 
district and town bonds shall have been is paid.  
    In the event that If any such bonds remain unpaid at 
maturity, upon the demand of the governing body of the school 
district or town, or the holder of any such bonds a bondholder, 
the commissioner of finance shall issue to the treasurer of the 
school district or town a warrant on the state treasurer for 
that portion of the past due principal and interest computed as 
in the case of the county liability authorized to be voluntarily 
assumed.  All Money received by any a school district or town 
pursuant to under this section shall must be applied to the 
payment of these past due bonds and interest.  
    Any person who, within the limits of this preserve and 
hunting ground, shall willfully violate or fail to comply with 
any rule of the department of natural resources adopted and 
promulgated in accordance with the provisions of sections 84A.01 
to 84A.11 shall be deemed guilty of a misdemeanor.  
 REFORESTATION AREAS AND PROJECTS, 1931 
    84A.20 [REFORESTATION AREAS TO BE SET OFF COUNTY ACTION TO 
SET OFF AREAS.] 
    Subdivision 1.  [PURPOSES.] The powers in this section are 
granted for the purpose of:  
    (1) vesting and revesting the state with title to lands 
suitable primarily for the development of forests and the 
prevention of forest fires, and for experimenting in and 
practically advancing afforestation and reforestation, or for 
the purpose of;  
     (2) impounding, controlling, and regulating the waters of 
meandered lakes and the flow of natural streams in the state, or 
for either or any of such purposes,; or for 
    (3) other public state purposes,. 
    Subd. 2.  [COUNTY PROPOSAL TO STATE.] Under certain 
conditions, the board of county commissioners of any 
county within which such lands are located and in which on 
January 1, 1931, the taxes on more than 35 percent of the 
taxable land are delinquent and of which on January 1, 1931, the 
bonded ditch indebtedness, including accrued interest, equals or 
exceeds nine percent of the assessed valuation of the county, 
exclusive of money and credits, may by resolution duly adopted 
propose to the state of Minnesota that one or more areas in the 
county containing this land be taken over by the state for 
afforestation, reforestation, flood control projects, or 
other public state purposes,.  The projects are to be managed, 
controlled, and used for the development of forests and the 
prevention of forest fires, and for the purpose of experimenting 
in and practically advancing afforestation, reforestation, or 
for the purpose of impounding, controlling, and regulating the 
waters of meandered lakes and the flow of natural streams, or 
for other public state purposes, the purposes in subdivision 1 
on lands to be acquired by the state within such the projects, 
as hereinafter set forth in sections 84A.20 to 84A.30.  The 
county board may propose this if (1) the county contains lands 
suitable for the purposes in subdivision 1, (2) on January 1, 
1931, the taxes on more than 35 percent of the taxable land in 
the county are delinquent, (3) on January 1, 1931, the county's 
bonded ditch indebtedness, including accrued interest, equals or 
exceeds nine percent of the assessed valuation of the county, 
exclusive of money and credits. 
     Each such The area shall taken over must include 
lands which that have been assessed for all or part of the cost 
of the establishment and construction of public drainage ditches 
under the laws of this state law, and on which such the 
assessments or installments thereof are overdue, delinquent, and 
unpaid.  A duly certified copy of each such resolution of the 
county board shall board's resolution must be submitted to and 
filed with the department and considered and acted upon by the 
department;.  If approved by the department, it shall must then 
be submitted to, considered, and acted upon by the executive 
council and.  If approved by the executive council, the 
proposition shall must be formally accepted by the governor.  
Acceptance shall must be communicated in writing to and filed 
with the county auditor of the county. 
    Subd. 3.  [DEFINITIONS.] State lands which that have been 
sold as provided by law and for which certificates of sale have 
been issued shall be considered are taxable lands within the 
meaning of this section and,.  If the taxes against such the 
lands or the interest of the purchaser therein in them are 
delinquent, shall be considered lands on which the taxes they 
are delinquent within the meaning of this section subdivision 2 
until such time as the title of the certificate holder shall 
have has been terminated by the commissioner in accordance 
with the provisions of section 92.16. 
    84A.21 [DEPARTMENT TO MANAGE AREAS PROJECTS.] 
    The department shall manage and control each of such 
projects so project approved and accepted shall be under the 
management and control of the department, which shall have and 
is hereby given full power and authority to make, establish, 
promulgate, under section 84A.20.  The department may adopt and 
enforce all necessary rules not inconsistent with the laws of 
the state for the care, preservation, protection, and 
development of forests and for experimenting in and practically 
advancing afforestation and reforestation therein, and 
impounding, controlling, and regulating the waters of meandered 
lakes and the flow of natural streams, or for other public state 
purposes, and purposes in section 84A.20, subdivision 1, for the 
prevention of forest fires therein in the projects, and for the 
sale of merchantable timber from lands so acquired by the state 
therein when and where, in the opinion of the department, 
the same timber may be sold and removed without damage or injury 
to the purposes of such project. 
     These rules may relate to the care, preservation, 
protection, breeding, propagation, and disposition of any and 
all species of wildlife therein in the project and the 
regulation, issuance, sale, and revocation of special licenses 
or special permits for hunting, fishing, camping, and other uses 
of the areas not inconsistent with the terms of any laws of the 
state now or hereafter applicable thereto consistent with 
applicable state law. 
    The department may provide for the policing of each project 
in such manner as may be needful needed for the proper 
development, use, and protection thereof, of the project and of 
its purposes, and all.  Supervisors, guards, custodians, and 
caretakers assigned to duty in any project shall have and 
possess the authority and powers of peace officers while in its 
employ employed by the department. 
    All Lands within the boundaries of any a project shall be 
are subject to these rules, whether owned by the state or 
privately, consistent with the rights of the private owners or 
with the laws of this state now or hereafter applicable thereto 
state law.  All these The rules shall must be published once 
in one qualified newspaper in each county affected and shall 
take effect after such publication and shall be, in addition 
thereto,.  They must also be posted on the boundaries of each 
project affected.  
    84A.22 [DISPOSAL OF PROCEEDS.] 
    The following funds must be paid to the state treasury, 
credited to the project to which they pertain and are annually 
appropriated to its purposes: 
    (1) the proceeds of all certificates of indebtedness issued 
under the provisions of sections 84A.20 to 84A.30, all; 
    (2) money received from redemption, as provided in sections 
84A.22 to 84A.30, all; 
    (3) all money received as gifts to the state for the 
purposes of any such project, and all; 
    (4) income which may be received from the operation, 
development, management, and use of these projects, including 
fees received from licenses and permits, all;  
    (5) income which may be received from the sale of all 
birds, animals, fish, and flora therefrom plants from the 
projects and from the sale of lands and timber thereon owned by 
the state within such the area, other than university, school, 
and swamp lands, state forest lands set apart pursuant to under 
the Minnesota Constitution of the state of Minnesota, article 
XI, section 11, and state lands acquired under the system of 
rural credit,; and all 
    (6) state money of the state which may hereafter be 
transferred thereto to the project under any state law of this 
state shall be paid into the state treasury and credited to the 
project to which the same pertain and the same are hereby 
annually appropriated for the purposes thereof; provided, that,. 
    Under the provisions of sections 84A.20 to 84A.30, the 
aggregate or total of all certificates of indebtedness issued 
shall must not exceed $2,250,000. 
    84A.23 [COUNTY AUDITOR TO MAKE LIST OF CERTIFY 
TAX-DELINQUENT LANDS.] 
    Subdivision 1.  [FIRST REPORT.] As soon as practicable 
after the approval and acceptance of any such a project, the 
auditor of each county in which where the same project is 
situated shall certify to the commissioner of finance a list of 
all the lands within the boundaries of the project, except lands 
lying within the boundaries of any a city, which that have 
been bid in for the state at the delinquent tax sale held in the 
year 1928 for the nonpayment of taxes or special drainage 
assessments and not redeemed or assigned to an actual purchaser, 
which.  The certificate shall must contain the following 
information: 
    (1) the legal description of each parcel of such the lands; 
    (2) the amount of the principal and interest of delinquent 
drainage assessments, if any, or installments thereof of 
assessments for all years prior to before the date of such the 
report against each such parcel of land; and 
    (3) the amount of drainage assessments thereof assessed 
against each such parcel of land, which that have been or are to 
be extended upon on the county tax rolls of such county for 
collection with the taxes for the year 1927 and subsequent later 
years.  
    Subd. 2.  [SUPPLEMENTAL REPORTS.] On or before June 15 of 
each year thereafter such after the report, the county auditor 
shall certify to the commissioner of finance a supplemental 
report giving the information contained in the original report 
covering such the lands within each such project bid in for the 
state at the annual tax sale of that year and not included in 
the previous reports.  
    Subd. 3.  [REDEMPTION OR LIEN ASSIGNMENT; PROCEEDS.] When 
redemption is made of any parcel of such the land within any 
such a project which that has been bid in for the state at any 
a tax sale for taxes heretofore levied before April 25, 1931, or 
when tax liens on these lands are assigned to an actual 
purchaser, the county auditor shall report the same forthwith 
fact to the commissioner of finance, and the county treasurer 
shall transmit forthwith send the proceeds of the redemption or 
assignment to the state treasurer.  
    Forthwith upon the approval and acceptance of any such Subd.
4.  [DRAINAGE DITCH BONDS; REPORTS.] (a) Immediately after a 
project is approved and accepted and thereafter, then after each 
distribution has been made of the tax collections on the June 
and November tax settlements, such the county auditor shall 
certify to the commissioner of finance the following information 
relating to bonds issued to finance or refinance public drainage 
ditches lying, wholly or partly, within such the projects, and 
the collection of assessments levied on account of such the 
ditches: 
    (1) the amount of principal and interest to become due on 
such the bonds prior to before the next ensuing tax settlement 
and distribution; 
    (2) the amount of moneys money collected from such the 
drainage assessments and credited to the funds of the ditches; 
and 
    (3) the amount of the deficit in the ditch fund of the 
county chargeable to such the ditches.  
    Upon the approval of (b) On approving the certificate by, 
the commissioner of finance, the commissioner shall draw a 
warrant or warrants on the state treasurer, payable out of the 
fund pertaining to such the project, for the amount of the 
deficit in favor of such the county.  
    (c) As to all public drainage ditches which lie wholly 
within any such a project, the maximum amount of money which 
shall be paid to or for the benefit of the county in the manner 
above provided shall under paragraph (b) must never exceed the 
principal and interest of the bonds issued to finance or 
refinance such the ditches outstanding at the time of the 
passage and approval of sections 84A.20 to 84A.30, less moneys 
money on hand in the county ditch fund to the credit of such the 
ditches, and such.  The liabilities shall must be reduced from 
time to time by the amount of any and all payments of 
assessments hereafter extended after April 25, 1931, made by the 
owners of lands heretofore assessed before that date for 
benefits on account of such the ditches. 
    (d) As to all public drainage ditches which lie partly 
within and partly without the boundaries of any such outside a 
project, the maximum amount which shall be paid from the fund 
pertaining to such the project to or for the benefit of such the 
county shall must never exceed the a certain percentage of bonds 
issued to finance and refinance such the ditches so outstanding, 
less moneys money on hand in the county ditch fund to the credit 
of such the ditches at the time of the passage and approval of 
sections 84A.20 to 84A.30, which bears on April 25, 1931.  The 
percentage must bear the same proportion to the whole amount of 
these bonds as the original benefits assessed against lands 
within the project bear to the original total benefits assessed 
to the entire system of such the ditches, and.  This liability 
shall be reduced from time to time by the payments of all 
assessments hereafter extended after April 25, 1931, made by the 
owners of lands within such the project of assessments for 
benefits heretofore assessed before that date on account of any 
such a ditch.  
    (e) The commissioner of finance shall have authority to may 
provide and prescribe the forms for any reports required by 
sections 84A.20 to 84A.30, and to require any further and 
additional information from any county officials of any such 
county which that the commissioner of finance deems considers 
necessary for the proper administration of sections 84A.20 to 
84A.30.  
    84A.26 [PROJECT LANDS TO BE HELD BY STATE.] 
    The title to all parcels of land lying within any such a 
project, except lands lying within the boundaries of any a city, 
which shall be that are acquired by the state under the 
provisions of section 280.13 shall Laws 1927, chapter 119, as 
amended, must be held by the state free from the trust in favor 
of the taxing districts specified in those sections and that 
chapter.  Title must be held and used or disposed of in 
accordance with the provisions of sections 84A.20 to 84A.30. 
    84A.27 [REPORTS, CERTIFICATION PROJECT LANDS CLASSIFIED.] 
    Upon receipt of the commissioner of finance of On receiving 
the reports of the county auditor specified in section 84A.23, 
the commissioner of finance shall certify a copy thereof of the 
report to the department, which.  The department shall classify 
all such the lands as to their suitability for agriculture or 
for afforestation, reforestation, or for the purpose of 
impounding, controlling, and regulating the waters of meandered 
lakes and the flow of natural streams, or for other public state 
purposes; and.  After the state acquires title to any such the 
lands has been acquired by the state in the manner as provided 
in sections 84A.20 to 84A.30 such lands, they may be 
reclassified from time to time.  All such Lands which that 
become the absolute property of the state under the provisions 
of sections 84A.20 to 84A.30 which and have been classified as 
suitable for agriculture, and timber from any lands so acquired, 
shall be subject to sale may be sold by the state as provided by 
law.  
    84A.28 [DEPARTMENT TO ACCEPT GIFTS.] 
    The department is hereby authorized and empowered to may 
receive for and in behalf of the state, and to make suitable 
acknowledgments of, acknowledge any gift, bequest, devise, or 
grant of land or interests in lands in any such a project, or of 
money or personal property of any kind, which that it may deem 
considers suitable for use in connection with the operation, 
control, development, or use of any or all of such projects.  
    84A.29 [DEPARTMENT TO HAVE RIGHT OF EMINENT DOMAIN.] 
    The department has the right of eminent domain in chapter 
117.  The department is hereby authorized and empowered to may 
acquire by exercise of the right of eminent domain, which right 
is hereby given it, to be exercised in the manner provided in 
chapter 117, or by purchase, any lands or interests in lands in 
any such project, which that the department shall deem 
considers necessary for state ownership, use, or development for 
the purposes of sections 84A.20 to 84A.30.  No moneys money 
shall be used for the purposes specified in this section to 
acquire land or interest in it until and unless the department 
and the commissioner of finance shall have determined determine 
that such moneys the money will not be required to meet the 
requisitions of the counties authorized under section 84A.23 or 
for the payment of to pay certificates of indebtedness and their 
interest thereon therein provided for in section 84A.23. 
    84A.30 [RULES VIOLATION A MISDEMEANOR.] 
    Any person who, Within the limits of any such a project, 
shall willfully violate or fail to comply with any a willful 
violation of a rule of the department adopted and promulgated in 
accordance with the provisions of under sections 84A.20 to 
84A.30 shall be guilty of is a misdemeanor.  
 REFORESTATION AREAS AND PROJECTS, 1933 
    84A.31 [STATE REFORESTATION PROJECTS.] 
    For the purpose of Subdivision 1.  [PURPOSES.] The powers 
in this section are granted for the purpose of:  
    (1) vesting and revesting the state with title to lands 
suitable primarily for the development of forests and prevention 
of forest fires, and for experimenting in and practically 
advancing afforestation and reforestation, and for the purpose 
of;  
     (2) impounding, controlling, and regulating the water of 
meandered lakes and the flow of natural streams of the 
state, and for the purpose of;  
     (3) creating and establishing wild game and fishing 
reserves, or for either or any of these purposes,; or for 
    (4) any other public state purpose,. 
     Subd. 2.  [COUNTY PROPOSAL TO STATE.] Under certain 
conditions, the board of county commissioners of any 
county within which such lands are located, and in which, on 
January 1, 1933, the taxes on more than 25 percent of the 
acreage of the lands in any town in the county, as shown by the 
tax books thereof, are delinquent, and in which, on January 1, 
1933, the taxes or ditch assessments on more than 50 percent of 
the acreage of the lands included in the area or project herein 
provided for, as shown by the tax books of the county, are 
delinquent, and of which, on January 1, 1933, the bonded ditch 
indebtedness of any county wherein any of the lands are located 
equals or exceeds 15 percent of the assessed value of the county 
for the year 1932, as fixed and determined by the Minnesota tax 
commission, exclusive of money and credits, may by 
resolution duly adopted propose to that the state of Minnesota 
take over part of the tax-delinquent lands in the county.  The 
board may propose this if: 
    (1) the county contains land suitable for the purposes in 
subdivision 1; 
    (2) on January 1, 1933, the taxes on more than 25 percent 
of the acreage of the lands in a town in the county are 
delinquent, as shown by its tax books; 
    (3) on January 1, 1933, the taxes or ditch assessments on 
more than 50 percent of the acreage of the lands to be taken 
over are delinquent, as shown by the county's tax books; and 
    (4) on January 1, 1933, the bonded ditch indebtedness of 
the county equals or exceeds 15 percent of the assessed value of 
the county for 1932 as fixed by the Minnesota tax commission, 
exclusive of money and credits. 
    Subd. 3.  [FORM.] Specifically, the board may propose that 
any "area in the county consisting of one or more townships, or 
part of any township, containing such lands be taken over by the 
state for afforestation, reforestation, flood control projects, 
wild game and fishing reserves, or other public state purpose, 
to be managed, controlled, and used for the development of 
forests and prevention of forest fires, and for the purpose of 
experimenting in and practically advancing afforestation, 
reforestation, or for the purpose of impounding, controlling, 
and regulating the waters of meandered lakes and the flow of 
natural streams, or for the purpose of creating and establishing 
wild game and fishing reserves, or for either or any such 
purposes," or for any other public state purpose, on lands to be 
acquired by the state within such projects, as herein set forth 
in this section.  Each such area shall must include lands 
which have been assessed for all or part of the cost of the 
establishment, construction, or repair of public drainage 
ditches under the laws of this state law, and on which the 
assessments or installments thereon on them are overdue, 
delinquent, and unpaid. 
    Subd. 4.  [ACTION ON RESOLUTIONS.] A duly certified copy of 
the resolutions of the county board shall must be submitted to 
and filed with the department, or such department as shall be 
established in lieu thereof, and considered and acted upon by 
the department;.  If approved by the department, it shall must 
then be submitted to, considered, and acted upon by the 
executive council; or such department as shall be established in 
lieu thereof, and,.  If approved by the executive council, the 
proposition shall must be formally accepted by the governor.  
Acceptance shall must be communicated in writing to and filed 
with the auditor of the county. 
    Subd. 5.  [DEFINITIONS.] State school, swamp, indemnity, 
and institutional lands which have heretofore been, or shall 
hereafter be, that are sold as provided by law and for which 
certificates of sale have been issued at the time of the passage 
of the resolution by the county board, and all lands owned by 
the conservator of rural credit shall be considered are taxable 
lands, within the meaning of this section; and,.  If the taxes 
or ditch lien installments on such the lands or the interest of 
the purchaser therein in them are delinquent, shall be 
considered they are lands on which the taxes are delinquent 
within the meaning of this section subdivision 2.  
    84A.32 [MANAGEMENT DEPARTMENT TO MANAGE PROJECTS.] 
    Subdivision 1.  [RULES.] (a) The department shall manage 
and control each of such projects so project approved and 
accepted shall be under the management and control of the 
department, which shall have full power and authority to make, 
establish, promulgate, under section 84A.31.  The department may 
adopt and enforce all necessary rules not inconsistent with the 
laws of this state for the care, preservation, protection, and 
development of forests and for experimenting in and practically 
advancing afforestation and reforestation therein, and 
impounding, controlling, and regulating the waters of meandered 
lakes and the flow of natural streams, or for other public state 
purposes, and purposes in section 84A.31, subdivision 1, for the 
prevention of forest fires therein in the projects, and for the 
sale of merchantable timber from lands acquired by the 
state therein in the projects when and where, in the opinion of 
the department, the same timber may be sold and removed without 
damage or injury to the purposes of such the projects.  No such 
Rules shall in any manner must not interfere with, destroy, or 
damage any privately owned property without just compensation 
being made to the owner of the private property by purchase or 
in lawful condemnation proceedings duly instituted pursuant to 
the laws of this state.  The rules may relate to the care, 
preservation, protection, breeding, propagation, and disposition 
of any and all species of wildlife therein in the projects and 
the regulation, issuance, sale, and revocation of special 
licenses or special permits for hunting, fishing, camping, or 
other uses of these areas not inconsistent with the terms of any 
laws of the state now or hereafter consistent with 
applicable thereto state law. 
    (b) The department may provide for the policing of each of 
the projects in such manner project as may be needful necessary 
for the proper development, use, and protection thereof of the 
project, and of its purpose, and all.  Supervisors, guards, 
custodians, and caretakers assigned to duty in any such a 
project shall have and possess the authority and powers of peace 
officers while in its employ employed by the department. 
    All (c) Lands within the boundaries of such the project 
shall be are subject to these rules, whether owned by the state, 
or privately, consistent with the constitutional rights of the 
private owners or with the laws of this state now or hereafter 
applicable thereto state law.  The department may exclude from 
the operation of any such the rules any lands owned by private 
individuals upon which taxes are delinquent for three years or 
less.  All these Rules shall must be published once in the 
official newspaper of each county affected and shall take effect 
30 days after the publication, and shall be, in addition 
thereto,.  They must also be posted on each of the four corners 
of each township of each project affected. 
    (d) In the management, operation, and control of such areas 
as may be taken for afforestation, reforestation, flood control 
projects, and wild game and fishing reserves, nothing shall be 
done which that will in any manner, directly or indirectly, 
obstruct or interfere with the operation of any ditches or 
drainage systems existing within such the areas, nor shall 
anything be done which will in any manner, directly or 
indirectly, or damage or destroy any of the existing roads or 
highways within these areas or projects, unless the ditches, 
drainage systems, roads, or highways be are first taken under 
the right of eminent domain and compensation made to the 
property owners and municipalities affected and damaged.  Each 
such area or project shall contribute from the funds and money 
of the project, in proportion of the state land within the 
project, for the construction and maintenance of such roads and 
highways as may be necessary within such the areas and projects 
in order to give the settlers therein and private owners of 
privately-owned lands within such areas them access to their 
land.  The department may construct and maintain such roads and 
highways within such the areas and projects as it may deem 
considers necessary. 
    Subd. 2.  [PROCEEDS PAID INTO STATE TREASURY.] The 
following funds must be paid to the state treasury and credited 
to the projects to which they pertain and are annually 
appropriated for its purposes: 
    (1) the proceeds of all certificates of indebtedness issued 
under sections 84A.31 to 84A.42, all; 
    (2) money received from redemption as provided in sections 
84A.33 to 84A.42, all; 
    (3) money received as gifts to the state for the purpose of 
any such projects, and all; 
    (4) income which may be received from the operation, 
development, management, and use of such projects, including 
fees received from the sale of all birds, animals, fish, and 
flora therefrom plants from the projects, and the sale of all 
lands and timber thereon on them owned by the state within such 
the area, other than university, school, swamp, indemnity, or 
institutional lands, and state forests set apart pursuant 
to under the Minnesota Constitution of the state of Minnesota, 
article XI, section 11, and state lands acquired under the 
system of rural credit,; and all 
    (5) state money of the state which may hereafter be 
transferred thereto to the projects under any state law of 
this state, shall be paid into the state treasury and credited 
to the project to which the same pertains, and the same are 
hereby annually appropriated for the purposes thereof; provided, 
that,. 
    Under the provisions of sections 84A.31 to 84A.42, 
the aggregate or total of all certificates of indebtedness 
issued shall must not exceed the sum of $750,000. 
    84A.33 [COUNTY AUDITORS TO CERTIFY TAX-DELINQUENT LANDS.] 
    Subdivision 1.  [FIRST REPORT.] As soon as practicable 
after the approval and acceptance of any such a project, the 
auditor of each county in which where the same project is 
situated shall certify to the commissioner of finance a list 
of all lands within the boundaries of any such the project, 
except lands lying within the boundaries of any an incorporated 
city, upon which taxes are delinquent for three years or more, 
which have been bid in for the state at any delinquent tax 
sale heretofore or hereafter held in the nonpayment of taxes, 
and which have not been redeemed or assigned to any actual 
purchaser, and which.  The certificates shall must contain the 
following information: 
    (1) the legal description of each parcel of such the land; 
and 
    (2) the name and number of the ditch and the amount of the 
principal and interest of each delinquent drainage assessment as 
it appears on the county tax books of the county for all years 
prior to before the date of such the certificate against each 
such parcel of land, together with interest thereon on the 
amount at six percent per annum annually since the due date of 
the installment.  
    Subd. 2.  [FURTHER ANNUAL REPORTS.] On or before the 
fifteenth day of June 15 in each year thereafter after the 
report, the county auditor shall certify to the commissioner of 
finance a list of all lands within the boundaries of any such a 
project, except lands lying within the boundaries of any a city, 
and except lands which have been described in any previous 
certificate, and upon which taxes are delinquent for three years 
or more and which have been bid in for the state at any 
delinquent tax sale heretofore or hereafter held for the 
nonpayment of taxes, and which have not been redeemed or 
assigned to an actual purchaser, and which.  The certificate 
shall must contain the following information: 
    (1) The legal description of each parcel of such the land, 
contained in any prior an earlier certificate upon which all 
taxes have been redeemed;. 
    (2) The legal description of each parcel of such the lands 
which, on May fourteenth 14 of the year in which when the 
certificate is furnished, is delinquent for three years or more;.
    (3) The name and number of the ditch and the amount of the 
principal and interest of each delinquent ditch assessment 
installment as it appears on the county tax books of the county 
for all years prior to before the date of such the certificate 
against each such parcel of land, together with interest thereon 
on the amount at the an annual rate of six percent per annum 
since the due date of each installment; provided, that.  The 
certificate shall must not contain the delinquent drainage 
assessment installments included in any certificate theretofore 
furnished earlier.  
    Subd. 3.  [DRAINAGE ASSESSMENTS; REPORT WHEN PAID OR 
ASSIGNED.] When the delinquent drainage assessment installment 
on any such parcel of land included in any such a certificate of 
the county auditor is redeemed, paid, or assigned to any person, 
the county auditor shall forthwith report the same fact to the 
commissioner of finance and.  The county treasurer shall 
forthwith remit to pay the state treasurer the amount so paid in 
the county treasury on account of any such the delinquent 
drainage assessment installment or installments.  
    Forthwith Subd. 4.  [DITCH BONDS; FUNDS; PAYMENTS TO 
COUNTIES.] (a) Upon the approval and acceptance of any such a 
project and thereafter, after each distribution has been made of 
the tax collections for the June and November tax settlements, 
such the county auditor shall certify to the commissioner of 
finance the following information relating to about bonds issued 
to finance or refinance public drainage ditches lying wholly or 
partly within such the projects, and the collection of 
assessments levied on account of such for the ditches: 
    (1) the amount of principal and interest to become due on 
such the bonds prior to before the next ensuing tax settlement 
and distribution; 
    (2) the amount of moneys money collected from such the 
drainage assessments and credited to the funds of such the 
ditches, not already transmitted sent to the state treasurer as 
provided in sections 84A.31 to 84A.42.; and 
    (3) the amount of the deficit in the ditch fund of the 
county chargeable to such the ditches.  
    Forthwith upon the approval of (b) On approving this 
certificate of the county auditor by, the commissioner of 
finance, the commissioner shall draw a warrant or warrants on 
the state treasurer, payable out of the fund herein provided for 
in sections 84A.31 to 84A.42, and transmit the same send it to 
the county treasurer of the county, and.  These moneys shall 
funds must be credited to the proper ditch of the county and 
placed in the ditch bond fund of the county, which is hereby 
created, and used only to pay the ditch bonded indebtedness of 
the county assumed by the state under sections 84A.31 to 84A.42, 
and for no other purpose.  The total amount of such warrants so 
to be drawn by the commissioner of finance shall must not exceed 
in any one year the total amount of the deficit hereinafter 
provided for under this section.  
    (c) The state shall be is subrogated to all title, right, 
interest, or lien of the county in or on the lands so certified 
within these projects.  
    (d) As to all public drainage ditches which lie wholly 
within any such a project, the maximum amount of money which 
shall be paid to, or for the benefit of, the county, in the 
manner above provided, shall under this subdivision must never 
exceed the principal and interest of the bonds issued to finance 
or refinance any such a ditch outstanding at the time of the 
passage and approval of sections 84A.31 to 84A.42 on April 22, 
1933, less moneys money on hand in the county ditch fund to the 
credit of any such a ditch, and.  These liabilities shall 
must be reduced from time to time by the amount of any and all 
payments of assessments hereafter extended after April 22, 1933, 
made by the owners of lands heretofore assessed before that date 
for benefits on account of such the ditches. 
    As to all public drainage ditches which lie partly within 
and partly without the boundaries of any such outside a project 
the maximum amount which shall be paid from the fund pertaining 
to such the project to or for the benefit of the county shall 
must never exceed the a certain percentage of bonds issued to 
finance and refinance any such a ditch so outstanding, less 
moneys money on hand in the county ditch fund to the credit of 
any such a ditch at the time of the passage and approval of 
sections 84A.31 to 84A.42, which bears on April 22, 1932.  The 
percentage must bear the same proportion to the whole amount 
of such the bonds as the original benefits assessed against 
these lands within the project bear to the original total 
benefits assessed to the entire system for any such a ditch, 
and.  This liability shall must be reduced from time to time by 
the payments of all assessments hereafter extended after April 
22, 1933, made by the owners of lands within the project of 
assessments for benefits heretofore assessed before that date on 
account of any such a ditch.  
    Subd. 5.  [FORMS AND INFORMATION.] The commissioner of 
finance shall have authority to may provide and prescribe the 
forms for any required reports and to require any further and 
additional information from any county officials of any such 
county which the commissioner of finance deems finds necessary 
for the proper administration thereof of sections 84A.31 to 
84A.42. 
    84A.36 [LANDS TO BE HELD BY STATE IN FEE.] 
    The title to all parcels of land lying within any such a 
project, except lands lying within the boundaries of any a city, 
which shall be that are acquired by the state under the 
provisions of section 280.13, shall Laws 1927, chapter 119, as 
amended, must be held by the state free from any trust in favor 
of the taxing districts specified therein and shall in that 
chapter.  Title must be held and used or disposed of in 
accordance with the provisions of any law of this state law. 
    84A.37 [COMMISSIONER OF FINANCE TO CERTIFY LIST TO 
DEPARTMENT.] 
    Upon receipt by the commissioner of finance of On receiving 
the reports of the county auditor specified in section 84A.33, 
the commissioner of finance shall certify a copy thereof of the 
report to the department, which.  The department shall classify 
all such the lands as to their suitability for agriculture or 
for afforestation, reforestation, or for the purpose of 
impounding, controlling, and regulating the waters of meandered 
lakes and flow of natural streams, or for other public state 
purposes; and,.  After the state acquires title to any such 
the land has been acquired by the state in the manner herein as 
provided in sections 84A.31 to 84A.42, such the lands may be 
reclassified from time to time.  All such Lands which that 
become the absolute property of the state under the provisions 
of sections 84A.31 to 84A.42 which and have been classified as 
suitable for agriculture, and timber from any lands so acquired, 
shall be subject to sale or rental may be sold or rented by the 
state, as provided by law.  
    84A.38 [DEPARTMENT TO RECEIVE ACCEPT GIFTS.] 
    The department is hereby authorized and empowered to may 
receive for and in behalf of the state and to make suitable 
acknowledgment thereof acknowledge any gift, bequest, devise, or 
grant of land, or interests in lands, in any such a project, or 
of money or personal property of any kind, which that it may 
deem finds suitable for use in connection with the operation, 
control, development, or use of any or all such projects.  
    84A.39 [DEPARTMENT SHALL HAVE RIGHT OF EMINENT DOMAIN.] 
    The department has the right of eminent domain in chapter 
117.  The department is hereby authorized and empowered to may 
acquire by exercise of the right of eminent domain, which right 
is hereby given it, to be exercised in the manner provided in 
chapter 117, or by purchase, any privately owned lands or 
interests in lands within the boundaries of any such a project 
which that it shall deem considers necessary for state 
ownership, use, or development for the purposes of sections 
84A.31 to 84A.42; provided, that.  No money shall be used for 
the purposes specified in this section to acquire land or 
interest in it until and unless the department and the 
commissioner of finance shall have determined determine that 
such the money will not be required to meet the requisitions of 
the counties authorized under section 84A.33 or for the payment 
of to pay certificates of indebtedness and their interest 
thereon herein provided for. 
    84A.40 [COUNTY MAY ASSUME BONDS.] 
    Any county wherein any such where a project or portion 
thereof of it is located may voluntarily assume, in the 
manner hereinafter specified in this section, the obligation to 
pay that a portion of the principal and interest of the bonds 
issued before the approval and acceptance of the project and 
remaining unpaid at maturity, of any school district or 
town situated in the county and wholly or partly lying within 
the project, which.  The portion bears must bear the same 
proportion to the whole of the unpaid principal and interest as 
the last assessed valuation, prior to before the acceptance of 
the project, of lands then acquired by the state pursuant to 
under sections 84A.31 to 84A.42 in such the school districts or 
towns bears to the total assessed valuation for the same year of 
the school district or town.  This assumption shall must be 
evidenced by a resolution of the county board of the county,.  A 
copy of which shall the resolution must be certified to the 
commissioner of finance within one year after the acceptance of 
the project; and thereafter. 
     Later, if any such of the bonds shall remain remains 
unpaid at maturity, the county board shall, upon demand of the 
governing body of the school district or town or of the holder 
of any such bond a bondholder, provide for the payment of the 
portion thereof so assumed, and.  The county shall levy general 
taxes on all the taxable property of the county therefor for 
that purpose, or issue its bonds to raise such the sum as may be 
needed, conforming to the provisions of law respecting the 
issuance of county refunding bonds.  The proceeds of such taxes 
or bonds shall must be paid over by the county treasurer to the 
treasurer of the school district or town; provided, that.  No 
such payments shall be made by the county to the school district 
or town until such time as the money in the treasury of the 
school district or town, together with the money so to be paid 
by the county, shall be is sufficient to pay in full each of the 
bonds as it may become becomes due.  
    In the event that any such If a county shall fail or 
neglect so fails to adopt and certify such the resolution, the 
commissioner of finance shall withhold from the payments to be 
made to the county under the provisions of section 84A.32 a sum 
equal to that portion of the principal and interest of such the 
outstanding bonds which that bears the same proportion to the 
whole thereof of the bonds as the above determined assessed 
valuation of lands acquired by the state within the project 
bears to the total assessed valuation for the same year of the 
school district or town.  Money so withheld from the 
county shall must be set aside in the state treasury and not 
paid to the county until the full principal and interest of the 
school district and town bonds shall have been paid.  
    In the event that If any such bonds remain unpaid at 
maturity, upon the demand of the governing body of the school 
district or town, or the holder of any such bonds a bondholder, 
the commissioner of finance shall issue to the treasurer of the 
school district or town a warrant on the state treasurer for 
that portion of the past due principal and interest computed as 
in the case of the county's liability hereinbefore authorized in 
this section to be voluntarily assumed.  All Money received by 
any a school district or town pursuant to under this section 
shall must be applied to the payment of such past-due bonds and 
interest.  
    84A.41 [DEFINITIONS.] 
    Subdivision 1.  [TAXES.] The word "Taxes," as used in 
sections 84A.31 to 84A.42, shall be held to include includes 
taxes of every kind, including and special assessments of every 
kind.  
    Subd. 2.  [BONDS OR AND BONDED INDEBTEDNESS.] The 
words "Bonds" or and "bonded indebtedness," as used in sections 
84A.31 to 84A.42, include bonds and accumulated interest thereon 
on bonds of every nature issued to finance or refinance the 
construction, maintenance, or repair of public drainage ditches. 
    84A.42 [VIOLATIONS RULES VIOLATION A MISDEMEANOR.] 
    Any A person who within the limits of any project 
established in accordance with the provisions of section 84A.31 
shall willfully violate or fail to comply with any willfully 
violates a rule of the department of natural resources 
adopted and promulgated in accordance with the provisions 
of under sections 84A.31 to 84A.42 shall be deemed is guilty of 
a misdemeanor.  
 FINANCES 
    84A.50 [CERTAIN CERTIFICATES ACCEPTED AS CORRECT AND 
VALIDATED.] 
    All Certificates relating to bonds issued to finance or 
refinance public drainage ditches, the principal and interest 
thereof of the bonds, the amount of moneys money collected from 
drainage assessments and credited to ditches, and the amount of 
the deficit in the ditch fund made by a county auditor pursuant 
to Minnesota Statutes 1945, under section 84A.04, 84A.23 or 
84A.33, or any predecessor statute thereof to the commissioner 
of finance on which payment has been made by the state are 
accepted as correct and are validated.  
    84A.51 [CONSOLIDATED CONSERVATION AREAS FUND.] 
    Subdivision 1.  [FUND CREATED.] There is created in the 
state treasury the consolidated conservation areas fund, 
hereinafter referred to as also called the consolidated fund.  
    Subd. 2.  [FUNDS TRANSFERRED; APPROPRIATED.] All Money in 
any fund established pursuant to under section 84A.03, 84A.22 or 
84A.32, subdivision 2, are is transferred to the consolidated 
fund, except as provided in subdivision 3.  The money in the 
consolidated fund, or so as much thereof of it as may be 
necessary, are hereby is appropriated for the purposes of 
sections 84A.52 and 84A.53. 
    Subd. 3.  [PAYMENTS TO COUNTY.] Within 30 days after the 
end of each fiscal year the commissioner of finance shall pay 
one-half of the income received in the consolidated fund in that 
fiscal year to the county wherein is located containing the land 
from which such the income is derived, and.  That amount is 
hereby so appropriated. 
    Subd. 4.  [COUNTY'S USE OF FUNDS.] The funds received by 
each county shall must be apportioned by the county auditor as 
follows: 
    (1) 30 percent to a county development fund, which 
is hereby created, to be expended spent under the direction of 
the county board for the rehabilitation and development of the 
portion of the county lying within the conservation area;  
    (2) 40 percent to the capital outlay fund of the school 
district from which derived; 
    (3) 20 percent to the county revenue fund; and 
    (4) ten percent to the township road and bridge fund of the 
township from which derived, provided however, that in the event.
    If the proceeds are derived from an unorganized 
township wherein there is with no levy for road and bridge 
purposes, the township portion shall must be credited to the 
county revenue fund. 
    84A.52 [ACCOUNTS; EXAMINATION, APPROPRIATION, PAYMENT.] 
    As a part of the examination provided for by section 6.48, 
of the accounts of the several counties within a game preserve, 
area, or project established pursuant to Minnesota Statutes 
1945, under section 84A.01, 84A.20, or 84A.31, the state auditor 
shall segregate the audit of the accounts reflecting the receipt 
and disbursement of all money collected or disbursed pursuant to 
Minnesota Statutes 1945, under chapter 84A or from the sale 
of any tax-forfeited lands which are held by the state pursuant 
to Minnesota Statutes 1945, under section 84A.07, 84A.26 or 
84A.36, and.  The auditor shall also include in the reports 
required by section 6.48 summary statements as of December 
31 preceding before the examination which shall that set forth 
the proportionate amount of principal and interest due from the 
state to the individual county and any money due the state from 
the county remaining unremitted unpaid under this chapter, or 
from the sale of any tax-forfeited lands referred to above in 
this section, and such other information as required by the 
commissioner of finance may require.  Upon the receipt of On 
receiving a report, the commissioner of finance shall determine 
the net amount due to the county for the period covered thereby 
by the report and shall draw a warrant upon the state treasurer 
treasury payable out of the consolidated fund for such that 
amount which shall.  It must be paid to and received by the 
county as payment in full of all amounts due for the period 
stated thereon on the warrants from the state under any 
provision of Minnesota Statutes 1945, chapter 84A this chapter. 
    There Money to pay the warrants is hereby appropriated to 
the counties entitled to such payment, from the consolidated 
fund in the state treasury, such sums as may be necessary to pay 
the warrants specified herein. 
    84A.53 [CERTAIN RECEIPTS NOT CREDITED TO CONSOLIDATED 
FUND.] 
    Subdivision 1.  [TAX LEVIES.] All moneys heretofore or 
hereafter Money collected from tax levies heretofore made 
pursuant to Minnesota Statutes 1945, before April 19, 1949, 
under chapter 84A, shall must be deposited in the state treasury 
to the credit of the general fund.  Upon completion of the 
payment provided for in section 84A.52, the commissioner of 
finance shall make the appropriate entries.  None of the 
moneys Money referred to in this section shall must not be used 
for the payments provided for in under section 84A.52 until all 
other moneys money in the consolidated fund have has been 
expended spent. 
    Subd. 2.  [LAND SALES.] The portion of the money received 
from the sale of tax-forfeited lands that are held by the 
state pursuant to under section 84A.07, 84A.26, or 84A.36, that 
would not be paid to the counties if all of the sale proceeds 
were deposited in the consolidated conservation fund, shall must 
be deposited in the land acquisition account.  The remaining 
amount shall must be paid to the counties under section 84A.51 
as if all of the sale proceeds were deposited in the 
consolidated conservation fund.  
    84A.54 [CERTAIN COLLECTIONS DEPOSITED IN CONSOLIDATED 
FUND.] 
    Except as provided in section 84A.53, all money hereafter 
received from any source pursuant to Minnesota Statutes 
1945, after April 18, 1949, under chapter 84A shall must be 
deposited in the consolidated fund. 
 ADMINISTRATION 
    84A.55 [CERTAIN GAME PRESERVES, AREAS, PROJECTS; CONTROL 
COMMISSIONER'S CONTROL OF CONSERVATION LANDS.] 
    Subdivision 1.  [GENERAL CONTROL.] All Game preserves, 
areas, and projects established pursuant to Minnesota Statutes 
1945, under section 84A.01, 84A.20, or 84A.31, are under the 
management, operation, and control of the commissioner of 
natural resources, herein called.  The commissioner, who shall 
have has the powers and duties relating thereto granted and 
prescribed provided in this section. 
    Subd. 2.  [FOREST PROTECTION.] The commissioner shall care 
for, preserve, protect, and develop the forests therein, in 
preserves, areas, and projects; shall prevent forest 
fires therein in them so far as means are available,; and may 
experiment in and practically advance afforestation and 
reforestation therein there. 
    Subd. 3.  [TIMBER SALES.] The commissioner may sell in like 
manner to the sale of timber on other state lands the 
merchantable timber on lands which are held by the state 
pursuant to Minnesota Statutes 1945, under section 84A.07, 
84A.26, or 84A.36.  It must be sold in the same way as timber on 
other state lands. 
    Subd. 4.  [WATERS.] The commissioner may impound, control, 
and regulate the waters of meandered and other public 
lakes therein in preserves, areas, and projects and the flow of 
natural streams therein. 
    Subd. 5.  [WILDLIFE.] The commissioner shall care for, 
protect, and preserve any or all species of wildlife therein 
there, so far as means are available. 
    Subd. 6.  [REGULATION; LICENSING.] The commissioner may 
regulate and license, subject to revocation for violation of any 
state law of this state relating to wild animals or of Laws 
1949, chapter 498 this section, the breeding, propagation, and 
disposition of wildlife therein in preserves, areas, or projects 
by any person as may be necessary to execute subdivision 5. 
    Subd. 7.  [HUNTING AND OTHER LICENSES.] The commissioner 
may issue, subject to revocation for violation of any state law 
of this state relating to wild animals or of sections 84A.50 to 
84A.55, special licenses or permits for hunting, fishing, 
camping, or other uses not inconsistent therewith consistent 
with those sections or any other applicable state law of this 
state. 
    Subd. 8.  [POLICING.] The commissioner may police the game 
preserves, areas, and projects as may be necessary to execute 
the provisions of carry out this section.  All Persons assigned 
to the policing shall have the authority and powers of police 
officers while so engaged. 
    Subd. 9.  [DRAINAGE.] The commissioner may make necessary 
investigations and surveys for and may undertake projects for 
the drainage of any state-owned lands within any a game 
preserve, conservation area, or other area subject to the 
provisions hereof this section so far as the commissioner shall 
determine determines that such the lands will be benefited 
thereby in furtherance of benefit from the project for the 
purposes for which the area was established, and.  The 
commissioner may pay the cost thereof of drainage projects out 
of any funds appropriated and available therefor for them.  If 
the commissioner shall determine finds after investigation that 
any a project for the construction, repair, or improvement of 
any a public ditch or ditch system undertaken by any a county or 
other public agency as otherwise provided by law will 
benefit such the lands in furtherance of said for those 
purposes, the commissioner may cooperate in such the project by 
joining in the petition therefor for the project or consenting 
thereto to or approving the same upon such it on any conditions 
as the commissioner shall determine, and determines.  The 
commissioner shall authorize the imposition of 
assessments therefor upon such for the projects on the lands in 
such any amounts as the commissioner shall determine 
determines, or may make lump sum contributions to the county or 
other public funds established for the payment of the cost of 
the project; provided, such.  The assessments or 
contributions shall must not in any case exceed the value of 
such benefits to such the state-owned lands as determined by the 
commissioner and specified by written certificates or other 
statement filed in the proceedings, and shall be.  Assessments 
or contributions are payable only out of funds appropriated and 
available therefor for them in such amounts as the commissioner 
may determine determines.  The commissioner of natural resources 
shall establish by rule before January 1, 1986, the criteria for 
determining benefits to state-owned lands held or used for the 
purpose of protecting to protect or propagating propagate 
wildlife, providing provide hunting or fishing for the public, 
or serve other purposes relating to conservation, development, 
or use of soil, water, forests, wild animals, or related natural 
resources.  
    Subd. 10.  [ROADS; LANDING STRIPS.] The commissioner may 
construct and maintain and contribute funds for construction and 
maintenance of roads and airplane landing fields or strips 
within any a game preserve, conservation area, or other area 
subject to the provisions hereof this section.  Payments for 
highway purposes under this subdivision may be made to any 
governmental subdivision or to the United States in such amounts 
as set by the commissioner shall determine from the fund created 
by section 84A.51. 
    Subd. 11.  [RULES.] The commissioner may promulgate rules 
necessary for the execution of this section, including but not 
limited to the conditions of licenses and permits under 
subdivision 7 and the amount of license fees to be paid 
therefor, giving.  In addition to notice required by 
other provisions of law, the commissioner must give 30 
days days' notice posted in each township affected thereby by 
the rules.  Every such rule shall The rules have the force and 
effect of law, and any violation thereof shall be of rules is a 
misdemeanor.  All Lands within the boundaries of any a game 
preserve, area, or project referred to in subdivision 1, whether 
owned privately or by the state or any governmental subdivision 
thereof, shall be are subject to such the rules to the 
fullest extent consistent with the constitutional rights of 
private owners or with any other applicable provision of the 
laws of this state law. 
    Subd. 12.  [COMPENSATION.] Nothing shall be done under this 
section which that will in any manner, directly or indirectly, 
obstruct or interfere with the operation of any ditches or 
drainage systems existing in any game preserve, area, or project 
referred to in subdivision 1, or damage or destroy any existing 
road or highway therein in it, so far as constructed, improved, 
or maintained by any governmental subdivision or public agency 
or person other than the commissioner, unless the right thereto 
shall to them is first be acquired by the commissioner by 
purchase or condemnation, upon payment of just compensation to 
the governmental political subdivision, public agency, or person 
affected and damaged thereby. 
    Subd. 13.  [BUYING LAND.] The commissioner may acquire by 
purchase or condemnation any land or interest therein in land or 
any public work or project or right therein which may be in it 
necessary for any purpose herein authorized in this section. 
    Subd. 14.  [SOURCE OF FUNDS.] All Salaries and expenses 
incurred in the execution of to carry out this section shall 
must be paid from money appropriated from the consolidated fund 
or such other fund as may be designated in the applicable 
appropriation act. 
    84A.56 [CONSOLIDATED CONSERVATION LAND ACQUISITION AND 
DISPOSITION.] 
    Subdivision 1.  [CONSOLIDATED CONSERVATION LAND ACQUISITION 
AND DISPOSITION PLAN.] Before the commissioner may acquire or 
dispose of land in the game preserves, areas, and projects 
established under Minnesota Statutes 1945, section 84A.01, 
84A.20, or 84A.31, in any county, the commissioner must prepare 
a county land acquisition and disposition plan.  The plan must 
identify the general areas where the commissioner intends to 
acquire or dispose of land and their accompanying reasons.  The 
plan must emphasize a balance of uplands and wetlands.  
    Subd. 2.  [REVIEW BY COUNTY BOARD.] The plan must be 
submitted to the county board for review and comment.  The board 
must notify the commissioner of natural resources of any 
concerns or disagreements with the plan within 90 days after 
receiving the plan or proposal.  
    Subd. 3.  [DEPARTMENT REVIEW OF APPRAISALS.] The county 
board must submit appraisals for land offered for sale under 
this section to the commissioner for review at least 30 days 
before the date of the sale.  
    84A.57 [CERTAIN TAX-FORFEITED LAND HELD IN TRUST FOR 
COUNTY.] 
    Notwithstanding any law to the contrary, land that forfeits 
to the state for nonpayment of taxes and is in a game preserve, 
areas area, or projects project established under Minnesota 
Statutes 1945, section 84A.01, 84A.20, or 84A.31 shall must be 
held in trust for the taxing district as land outside a game 
preserve, area, or project.  The lands shall must be disposed of 
and managed, and have income from the land allocated, in the 
same manner as land that is outside a game preserve, area, or 
project. 

                               ARTICLE 2 
    Section 1.  Minnesota Statutes 1986, chapter 105, is 
amended to read:  
    105.37 [DEFINITIONS.] 
    Subdivision 1.  [SCOPE.] Unless the language or context 
clearly indicates that a different meaning is intended, 
The following words and terms, for the purposes of in sections 
105.37 to 105.55, shall have the meanings subjoined to given 
them in this section. 
    Subd. 2.  [COMMISSIONER.] "Commissioner" means the 
Minnesota's commissioner of natural resources of the state of 
Minnesota.  
    Subd. 3.  [DIVISION.] "Division" means the division of 
waters, soils and minerals of the state department of natural 
resources of the state of Minnesota.  
    Subd. 4.  [DIRECTOR.] "Director" means the director of the 
division of waters, soils and minerals of the state department 
of natural resources of the state of Minnesota.  
    Subd. 5.  [APPROPRIATING.] "Appropriating" includes but is 
not limited to "taking," regardless of the use to which the 
water is put how the water is used.  
    Subd. 7.  [WATERS OF THE STATE.] "Waters of the state" 
means any waters, surface or underground, except those surface 
waters which that are not confined but are spread and diffused 
over the land.  "Waters of the state" includes all boundary and 
inland waters. 
    Subd. 8.  [ABANDON.] "Abandon" means to give up the use and 
maintenance of the described structures or improvements to 
realty and to surrender the same them to deterioration, without 
reference.  It does not refer to any intent to surrender or 
relinquish title to or possessory interest in the real property 
constituting the site of the structures or improvements.  
"Abandoned" and "abandonment" have meanings consistent with this 
the definition of "abandon."  
    Subd. 9.  [WATERBASIN.] "Waterbasin" means an enclosed 
natural depression with definable banks capable of containing 
water which that may be partly filled with waters of the state 
and which that is discernible on aerial photographs. 
    Subd. 10.  [NATURAL WATERCOURSE.] "Natural watercourse" 
means any a natural channel which that has definable beds and 
banks capable of conducting confined runoff from adjacent lands. 
    Subd. 11.  [ALTERED NATURAL WATERCOURSE.] "Altered natural 
watercourse" means a former natural watercourse which that has 
been affected by artificial changes in straightening, deepening, 
narrowing, or widening of to straighten, deepen, narrow, or 
widen the original channel. 
    Subd. 12.  [ARTIFICIAL WATERCOURSE.] "Artificial 
watercourse" means a watercourse which has been artificially 
constructed by human beings where there was no previous natural 
watercourse. 
    Subd. 13.  [MEANDERED LAKES.] "Meandered lakes" means all 
bodies of water except streams lying within the meander lines 
shown on plats made by the United States General Land Office.  
    Subd. 14.  [PUBLIC WATERS.] "Public waters" includes and 
shall be limited to the following waters of the state:  
    (a) (1) All waterbasins assigned a shoreland management 
classification by the commissioner pursuant to section 105.485, 
except wetlands less than 80 acres in size which are classified 
as natural environment lakes;  
    (b) (2) All waters of the state which have been finally 
determined to be public waters or navigable waters by a court of 
competent jurisdiction;  
    (c) (3) All meandered lakes, except for those which have 
been legally drained;  
    (d) (4) All waterbasins previously designated by the 
commissioner for management for a specific purpose such as trout 
lakes and game lakes pursuant to applicable laws;  
    (e) (5) All waterbasins designated as scientific and 
natural areas pursuant to section 84.033;  
    (f) (6) All waterbasins located within and totally 
surrounded by publicly owned lands;  
    (g) (7) All waterbasins where the state of Minnesota or the 
federal government holds title to any of the beds or shores, 
unless the owner declares that the water is not necessary for 
the purposes of the public ownership;  
    (h) (8) All waterbasins where there is a publicly owned and 
controlled access which is intended to provide for public access 
to the waterbasin; and 
    (i) (9) All natural and altered natural watercourses with a 
total drainage area greater than two square miles, except that 
trout streams officially designated by the commissioner shall be 
public waters regardless of the size of their drainage area. 
    The public character of water shall not be determined 
exclusively by the proprietorship of the underlying, overlying, 
or surrounding land or by whether it is a body or stream of 
water which was navigable in fact or susceptible of being used 
as a highway for commerce at the time this state was admitted to 
the union.  
    For the purposes of statutes other than sections 105.37, 
105.38 and 105.391, the term "public waters" shall include 
"wetlands" unless the statute expressly states otherwise.  
    Subd. 15.  [WETLANDS.] "Wetlands" includes, and shall be 
limited to, all types 3, 4, and 5 wetlands, as defined in United 
States Fish and Wildlife Service Circular No. 39 (1971 edition), 
not included within the definition of public waters, which are 
ten or more acres in size in unincorporated areas or 2-1/2 or 
more acres in incorporated areas.  
    Subd. 16.  [ORDINARY HIGH WATER LEVEL.] "Ordinary high 
water level" means the boundary of public waters and wetlands, 
and shall be an elevation delineating the highest water level 
which has been maintained for a sufficient period of time to 
leave evidence upon the landscape, commonly that point where the 
natural vegetation changes from predominantly aquatic to 
predominantly terrestrial.  For watercourses, the ordinary high 
water level shall be the elevation of the top of the bank of the 
channel.  For reservoirs and flowages the ordinary high water 
level shall be the operating elevation of the normal summer pool.
    105.38 [DECLARATION OF POLICY.] 
    In order To conserve and utilize use the state's water 
resources of the state in the best interests of the its people 
of the state, and for the purpose of promoting to promote the 
public health, safety, and welfare, it is hereby declared to be 
the policy of the state is as follows: 
    (1) (a) Subject to existing rights all, public waters and 
wetlands are subject to the control of the state.  
    (2) (b) The state, to the extent provided by law from time 
to time, shall control the appropriation and use of surface and 
underground waters of the state. 
    (3) (c) The state shall control and supervise, so far as 
practicable, any activity which that changes or which will 
change the course, current, or cross-section of public waters or 
wetlands, including but not limited to the construction, 
reconstruction, repair, removal, abandonment, the making of any 
other change, or the transfer of ownership of dams, reservoirs, 
control structures, and waterway obstructions in any of the 
public waters or wetlands of the state. 
    105.39 [AUTHORITY AND POWERS OF COMMISSIONER.] 
    Subdivision 1.  [WATER CONSERVATION PROGRAM.] The 
commissioner shall devise and develop a general water resources 
conservation program for the state.  The program shall must 
contemplate the conservation, allocation, and development of all 
the waters of the state, surface and underground, for the best 
interests of the people.  The commissioner shall must be guided 
by such the program in the issuance of issuing permits for the 
use and appropriation of the waters of the state and the 
construction, reconstruction, repair, removal, or abandonment of 
dams, reservoirs and other control structures, as provided by 
sections 105.37 to 105.55.  
    Subd. 2.  [SURVEYS AND INVESTIGATIONS.] The commissioner is 
authorized to cause to be made all such may have surveys, maps, 
investigations, and studies made of the water resources and 
topography of the state as the commissioner deems finds 
necessary to provide the information to formulate set up a 
program and carry out the provisions of sections 105.37 to 
105.55.  
    Subd. 3.  [ALLOCATION AND CONTROL OF WETLANDS AND WATERS.] 
The commissioner shall have administration over administer: 
    (1) the use, allocation, and control of public waters and 
wetlands,;  
    (2) the establishment, maintenance, and control of lake 
levels and water storage reservoirs,; and 
    (3) the determination of the ordinary high water level 
of any public waters and wetlands. 
    Subd. 4.  [POWER TO ACQUIRE PROPERTY; EMINENT DOMAIN.] The 
commissioner shall have the power to may acquire title to any 
private property for any authorized purpose by purchase or by 
the exercise of the right of eminent domain; and.  The use of 
such this property in the furtherance of for lawful projects 
under sections 105.37 to 105.55 is hereby declared to be a 
public purpose.  On request by the commissioner, the attorney 
general shall proceed to acquire the necessary title to private 
property for such that use under the provisions of Minnesota 
Statutes 1945, chapter 117.  
    Subd. 5.  [CONTRACTS.] The commissioner is authorized 
to may approve contracts for all works under sections 105.37 to 
105.55, to change the plans thereof of the works when necessary, 
and to supervise, control, and accept the same them when 
complete.  The commissioner is further authorized to cause may 
have the same works, together with and expenses incurred in 
connection therewith with them, to be paid for out of any 
funds made available to the use of the commissioner. 
    Subd. 6.  [STATEWIDE WATER INFORMATION SYSTEM.] The 
commissioner, in cooperation with other state agencies, 
including the Minnesota geologic survey, shall establish and 
maintain a statewide system to gather, process, and disseminate 
distribute information on the availability, distribution, 
quality, and use of waters of the state.  Each local, regional, 
and state governmental unit, its officers and employees shall 
cooperate with the commissioner in accomplishing the purpose of 
carrying out this subdivision.  
    105.391 [WATERS INVENTORY AND CLASSIFICATION.] 
    Subdivision 1.  [INVENTORY, COUNTY BOARD REVIEW, HEARINGS.] 
On the basis of all information available to the commissioner 
and the criteria set forth in section 105.37, subdivisions 14 
and 15, the commissioner shall inventory the waters of each 
county and make a preliminary designation as to which constitute 
are public waters and wetlands.  The commissioner shall send a 
list and map of the waters preliminarily designated as public 
waters and wetlands in each county to the county board of that 
county for its review and comment. 
     The county board shall conduct at least one public 
informational meeting within the county regarding the 
commissioner's preliminary designation.  After conducting the 
meetings and within 90 days after receipt of the list or maps, 
the county board shall present its recommendation to the 
commissioner, listing any waters regarding which the board 
disagrees with the commissioner's preliminary designation and 
stating with particularity the waters involved and the reasons 
for disagreement. 
     The commissioner shall review the county board's response 
and, if in agreement with any of the board's recommendations, 
shall revise the list and map to reflect the recommendations. 
Within 30 days after receiving the county board's 
recommendations, the commissioner shall also notify the county 
board as to which recommendations are accepted and rejected and 
the reasons for the decision. 
     After the revision of the map and list, if any, or if no 
response is received from the county board within the 90 days 
review period, the commissioner shall file the revised list and 
map with the recorder of each county and shall cause have the 
list and map to be published in the official newspaper of the 
county.  The published notice shall must also state that any 
person or any county may challenge the designation of specific 
waters as public waters or wetlands or may request the 
designation of additional waters as public waters or wetlands, 
by filing a petition for a hearing with the commissioner within 
90 days following the date of publication.  The petition shall 
must state with particularity the waters for which the 
commissioner's designation is disputed and shall set forth the 
reasons for disputing the designation. 
     If any designations are disputed by petition, the 
commissioner shall order a public hearing to be held within the 
county within 60 days following the 90-day period,.  Notice of 
which shall the hearing must be published in the state register 
and the official newspaper of the county.  The hearings shall 
must be conducted by a hearings unit.  The unit is composed of: 
one person appointed by the affected county board,; one person 
appointed by the commissioner,; and one board member of the 
local soil and water conservation district or districts within 
the county who shall must be selected by the other two members 
at least 20 days prior to before the hearing date.  The expenses 
of and per diem payments to of any member of the hearings unit 
who is not a state employee shall must be paid as provided for 
in section 15.059, subdivision 3, within the limits of funds 
available from grants to the county pursuant to under Laws 1979, 
chapter 199, section 16.  
    In the event If there is a watershed district whose 
boundaries include the waters involved, the district may provide 
give the hearings unit with its recommendations.  
    Within 60 days following after completion of the hearing, 
the hearings unit shall issue its findings of fact, conclusions 
and an order, which shall must be considered the decision of an 
agency in a contested case for purposes of judicial review 
pursuant to under sections 14.63 to 14.69.  The commissioner, 
the county, or any person aggrieved by the decision of the 
hearings unit may appeal from the hearings unit's order.  Upon 
receipt of On receiving the order of the hearings unit and after 
the appeal period has expired, or upon receipt of on receiving 
the final order of the court in the case of an appeal, the 
commissioner shall publish a list of the waters determined to be 
public waters and wetlands.  The commissioner shall complete the 
public waters and wetlands inventory by December 31, 1982.  
    Subd. 3.  [PERMISSION TO DRAIN WATERS AND WETLANDS.] Except 
as provided below, no public waters or wetlands shall be 
drained, and no permit authorizing drainage of public waters or 
wetlands shall be issued, unless the public waters or wetlands 
being drained are replaced by public waters or wetlands which 
that will have equal or greater public value.  However, after a 
state waterbank program has been established, wetlands which 
that are eligible for inclusion in that program may be drained 
without a permit and without replacement of wetlands of equal or 
greater public value if the commissioner does not elect choose, 
within 60 days of the receipt of receiving an application for a 
permit to drain the wetlands, to either (1) place the wetlands 
in the state waterbank program, or (2) acquire it pursuant to 
under section 97A.145, or (3) indemnify the landowner 
through any other appropriate means, including but not limited 
to conservation restrictions, easements, leases, or any 
applicable federal program.  The applicant, if not offered a 
choice of the above alternatives, is entitled to drain the 
wetlands involved. 
    In addition, the owner or owners of lands underlying 
wetlands situated on privately owned lands may apply to the 
commissioner for a permit to drain the wetlands at any time 
after the expiration of more than ten years following the after 
their original designation thereof.  Upon receipt of On 
receiving an application, the commissioner shall review 
the current status and conditions of the wetlands.  If the 
commissioner finds that the current status or conditions are 
such that make it appears likely that the economic or other 
benefits to the owner or owners which would result from drainage 
would exceed the public benefits of maintaining the wetlands, 
the commissioner shall grant the application and issue a 
drainage permit.  If the application is denied, no additional 
application shall be made until the expiration of an 
additional the owner may not apply again for another ten years.  
    Subd. 9.  [RESTRICTIONS ON ACCESS TO WETLANDS.] In order To 
protect the public health or safety, local units of government 
may establish by ordinance restrictions upon restrict public 
access to any wetlands from city, county, or township roads 
which that abut wetlands.  
    Subd. 10.  [LANDOWNER'S USE OF WETLANDS.] Nothing in This 
chapter shall does not prevent a landowner from utilizing using 
the bed of wetlands or public waters for pasture or cropland 
during periods of drought, provided if there is no construction 
of dikes, ditches, tile lines or buildings, and the agricultural 
use does not result in the drainage of the wetlands or public 
waters.  This chapter shall does not prevent a landowner from 
filling any a wetland to accommodate wheeled booms on irrigation 
devices so long as the fill does not impede normal drainage.  
    Subd. 11.  [STATE WETLANDS AND PUBLIC DRAINAGE SYSTEMS.] 
When the state owns wetlands on or adjacent to existing public 
drainage systems, the state shall give consideration to consider 
the utilization use of the wetlands as part of the drainage 
system.  If the wetlands interfere with or prevent the 
authorized functioning of the public drainage system, the state 
shall provide for any necessary work to allow the proper use and 
maintenance of the drainage system while still preserving the 
wetlands.  
    Subd. 12.  [COMMISSIONER'S DESIGNATION DOES NOT CHANGE 
RIGHTS OR TRESPASS LAW.] The designation of waters as "public 
waters" or "wetlands" pursuant to under this section shall 
does not grant any the public additional or greater right of 
access to the public to those waters, nor is.  The commissioner 
is not required to acquire access to those waters under section 
97A.141, nor is any.  The right of ownership or usage of the 
beds underlying those waters is not diminished.  Notwithstanding 
the designation of waters or lands as public waters or wetlands, 
all provisions of any Minnesota law forbidding trespass upon 
private lands shall remain remains in full force and effect.  
    105.392 [WATER BANK PROGRAM.] 
    Subdivision 1.  [POLICY.] The legislature finds that it is 
in the public interest to preserve the wetlands of the state and 
thereby to so conserve surface waters, to preserve wildlife 
habitat, to reduce runoff, to provide for floodwater retention, 
to reduce stream sedimentation, to contribute to improved 
subsurface moisture, to enhance the natural beauty of the 
landscape, and to promote comprehensive and total water 
management planning.  Therefore, the commissioner of natural 
resources is authorized to may promulgate rules, which 
shall that include the procedures and payment rates designed 
to effectuate the terms of carry out this section.  This program 
is intended to supplement and complement the federal water bank 
program and.  The payment rates established shall be must at 
least equal to the federal rates existing at the time any when 
the agreements are entered into. 
    Subd. 2.  [TEN-YEAR WATERBANK AGREEMENTS.] The commissioner 
shall have authority to may enter into agreements with 
landowners for the conservation of wetlands.  These 
agreements shall must be entered into for a period of ten years, 
with provision for renewal for additional ten-year periods.  The 
commissioner may reexamine the payment rates at the beginning of 
any a ten-year renewal period and adjust them in the light of 
the then current land and crop values and make needed 
adjustments in rates for any renewal period. 
    Subd. 2a.  [WATERBANK PROGRAM CHARACTERISTICS.] Wetlands A 
wetland is eligible for inclusion in the waterbank program shall 
have all the following characteristics as determined by if the 
commissioner determines that:  
    (a) (1) it is type 3, 4, or 5 as defined in United States 
Fish and Wildlife Service Circular No. 39 (1971 edition); 
    (b) (2) its drainage is lawful, feasible, and practical; 
and 
    (c) (3) its drainage would provide high quality cropland 
and that is the projected land use.  
    Waters which that have the foregoing those characteristics 
but are less than ten acres in size in unincorporated areas or 
less than 2-1/2 acres in size in incorporated areas shall may 
also be eligible for inclusion included in the waterbank 
program, at the discretion of the commissioner.  
    Subd. 3.  [CONTENTS OF WATERBANK AGREEMENT.] In the 
agreement between the commissioner and an owner, the owner shall 
agree: 
    (1) to place in the program for the period of the agreement 
eligible wetland areas the owner designates, which areas may 
include wetlands covered by a federal or state government 
easement which that permits agricultural use, together with such 
adjacent areas as determined desirable by the commissioner; 
    (2) not to drain, burn, fill, or otherwise destroy the 
wetland character of such the areas, nor to use such areas them 
for agricultural purposes, as determined by the commissioner; 
    (3) to effectuate carry out the wetland conservation and 
development plan for the land in accordance with the terms of 
the agreement, unless any requirement thereof of the agreement 
or plan is waived or modified changed by the commissioner; 
    (4) to forfeit all rights to further payments or grants 
under the agreement and to refund to the state all payments or 
grants received thereunder under it upon violating the agreement 
at any stage during the time the owner has control of the land 
subject to the agreement if the commissioner determines that the 
violation is of such a nature as to warrant warrants termination 
of the agreement, or to make refunds or accept such payment 
adjustments as the commissioner may deem finds appropriate if 
the commissioner determines that the violation by the owner does 
not warrant termination of the agreement; 
    (5) upon transfer of right and interest in the lands 
subject to the agreement during the agreement period, to forfeit 
all rights to further payments or grants under the agreement and 
refund to the state all payments or grants received thereunder 
under it during the year of the transfer unless the transferee 
of any such land agrees with the commissioner to assume all the 
obligations of the agreement; 
    (6) not to adopt any practice specified by the commissioner 
in the agreement as a practice which that would tend to defeat 
the purposes of the agreement; and 
    (7) to additional provisions which that the commissioner 
determines are desirable and includes in the agreement to 
effectuate carry out the purposes of the program or to 
facilitate its administration. 
    Subd. 4.  [PAYMENT AND HELP TO OWNER.] In return for the 
agreement of the owner, the commissioner shall: 
     (1) make an annual payment to the owner for the period of 
the agreement at the rate as the commissioner determines to be 
fair and reasonable in consideration of the obligations 
undertaken by the owner; and 
    (2) provide advice on conservation and development 
practices on the wetlands and adjacent areas for the purposes of 
this section as the commissioner determines to be appropriate.  
    In making the determination, the commissioner shall 
consider, among other things, the rate of compensation necessary 
to encourage owners of wetlands to participate in the waterbank 
program. 
    Subd. 5.  [CHANGES IN OWNERSHIP.] Any An agreement may be 
renewed or extended at the end of the agreement period for an 
additional period of ten years by mutual agreement of the 
commissioner and the owner, subject to any rate redetermination 
by the commissioner.  If, during the agreement period, the owner 
sells or otherwise disposes of the ownership or right of 
occupancy of the land, the new owner may:  
    (1) continue such the agreement under the same terms or 
conditions, or;  
    (2) enter into a new agreement in accordance with the 
provisions of this section, including the provisions for renewal 
and adjustment of payment rates,; or 
    (3) may choose not to participate in the program, except. 
However, if the owner or occupant chooses not to participate, 
any water designated as wetlands shall must not be drained. 
    Subd. 6.  [ENDING OR CHANGING AGREEMENT.] The commissioner 
may terminate any agreement by mutual agreement with the owner 
if the commissioner determines that the termination would be in 
the public interest, and may agree to any modification of 
agreements the commissioner may determine to be determines 
desirable to carry out the purposes of the program or facilitate 
its administration. 
    105.40 [DIRECTOR; QUALIFICATIONS, DUTIES.] 
    Subdivision 1.  [REGISTERED ENGINEER.] The director of the 
division of waters, soils and minerals of the department of 
natural resources shall must be a registered professional 
engineer, skilled in hydraulics.  Under the direction of the 
commissioner, the director shall make the surveys and 
engineering investigations required by sections 105.37 to 105.55 
and perform the following duties.  
    Subd. 2.  [DITCH INFORMATION; DIRECTOR'S REPORT.] A 
complete copy of all preliminary and final engineers' maps, 
plans and reports on all public ditches hereafter initiated in 
the state shall must be filed in the office of the director by 
the respective county auditors or court administrators of 
district court, and.  The director shall report thereon on them 
to the county boards of commissioners or judges of the district 
court, as required by the county and judicial ditch laws of this 
state. 
    Subd. 3.  [ADVICE ABOUT DITCHES.] Upon request by any 
county board or judge of the district court or engineer on any a 
public ditch, the director shall advise them relative to any on 
engineering questions or problems arising in connection with any 
a public ditch.  
    Subd. 4.  [FIELD SURVEYS, INVESTIGATIONS.] When any a field 
survey or investigation of any public ditch is deemed found 
necessary by the director or is requested in writing by the 
county board or district judge, the director may make the same 
it.  If the field survey or investigation be is made at the 
request of the board or judge, the expense thereof shall its 
cost must be reported to the board or court and paid by the 
county as are other ditch expenses.  
    Subd. 5.  [INFORMATION, PUBLISHING.] The director is 
authorized to may prepare and publish run-off data and 
information as to about the capacity of tile drains and open 
ditches within in the state together with forms of 
specifications for drain tile, open ditches, and ditch 
construction and standard procedural forms for public ditch 
proceedings, and to furnish the same.  The director may furnish 
the information to engineers and public officials for their 
advice and information.  
    Subd. 6.  [DRAIN TILE MANUFACTURING, STUDIES.] The director 
is authorized to may investigate the methods employed used in 
the manufacture of drain tile and the causes of any its failures 
thereof, and to may conduct research and experimentation for the 
purpose of improving to improve the quality of drain tile.  The 
director may make inspections and tests of manufacturing 
processes and materials used and the resultant product in any 
manufacturing plant in the state where drain tile is made and 
sold to the general public.  The director, or an authorized 
representative of the director, shall have free access to all 
such the manufacturing plants for the purpose of such 
inspections and tests, and.  The results thereof shall of 
inspections and tests must be made public for the information of 
officials concerned in public ditch proceedings, tile 
manufacturers, and others interested in the use of drain tile.  
    Subd. 7.  [WATER BOARD REQUESTS; HEARINGS APPEARANCES AT 
HEARINGS.] The director shall perform such engineering work as 
may be requested by the state water policy board, and shall 
appear in all hearings and proceedings before the state water 
policy board affecting waters within the state.  
    Subd. 8.  [COOPERATION, RECOMMENDATIONS TO AGENCIES.] The 
director shall cooperate with all agencies and departments of 
the state and federal government relating to projects or works 
of improvement affecting waters within the state and shall make 
recommendations to the agencies involved and to the governor as 
to about the desirability, feasibility, and practicability of 
such the proposed projects and works of improvement.  
    Subd. 9.  [PURCHASING.] The director is authorized to may 
purchase such technical and scientific equipment as may be 
necessary to perform needed for the functions and discharge the 
duties of the director's office.  
    Subd. 10.  [CONTRACT APPROVALS.] No contract or agreement 
shall be made by any department or agency of the state or any 
municipality with the United States or any agency or 
department thereof of it, for the collection of basic data 
pertaining to surface or ground waters of the state without 
first securing the written approval of the director.  
    Subd. 11.  [STANDARDS.] The director is authorized to 
formulate may make rules so as to standardize the forms and 
sizes of maps, plats, drawings and specifications in public 
drainage proceedings and proceedings and undertakings pertaining 
to public waters of the state.  
    Subd. 12.  [APPROPRIATIONS AVAILABLE.] All moneys Money 
appropriated to the commissioner of natural resources of the 
department of natural resources for the use of the division of 
waters, soils, and minerals or the its director thereof, to 
conduct hydrologic studies, shall remain remains available until 
expended spent.  
    Subd. 13.  [APPEARANCES.] The director may appear for the 
state in any matter or proceeding affecting waters within the 
state, including boundary waters, for the purpose of furnishing 
to give hydrologic and hydraulic engineering advice and 
information in connection therewith with the proceeding.  
    Subd. 14.  [AGREEMENTS.] The director, with the approval of 
the commissioner, may make cooperative agreements with and 
cooperate with any person, corporation, or governmental 
authority for the purpose of effectuating the provisions of to 
carry out this section.  
    105.403 [WATER AND RELATED LAND RESOURCES PLANS.] 
    The commissioner of natural resources, in cooperation with 
other state and federal agencies, regional development 
commissions, the metropolitan council, local governmental units, 
and citizens, shall prepare a statewide framework and assessment 
water and related land resources plan for presentation to the 
legislature by November 15, 1975, for its review and approval or 
disapproval.  This plan shall must relate each of the programs 
of the department of natural resources for specific aspects of 
water management to the others.  The statewide plan shall must 
include but is not be limited to provisions for the following: 
    (a) (1) regulation of improvements and land development by 
abutting landowners of the beds, banks, and shores of lakes, 
streams, watercourses, and marshes by permit or otherwise in 
order to preserve them for beneficial use; 
    (b) (2) regulation of construction of improvements on and 
prevention of encroachments in the flood plains of the rivers, 
streams, lakes, and marshes of the state; 
    (c) (3) reclamation or filling of wet and overflowed lands; 
    (d) (4) repair, improvement, relocation, modification or 
consolidation in whole or in part of previously established 
public drainage systems within the state; 
    (e) (5) preservation of wetland areas; 
    (f) (6) management of game and fish resources as related to 
water resources; 
    (g) (7) control of water weeds; 
    (h) (8) control or alleviation of damages by flood waters; 
    (i) (9) alteration of stream channels for conveyance of 
surface waters, navigation, and any other public purposes; 
    (j) (10) diversion or changing of watercourses in whole or 
in part; 
    (k) (11) regulation of the flow of streams and conservation 
of the their waters thereof; 
    (l) (12) regulation of lake water levels; 
    (m) (13) maintenance of water supply for municipal, 
domestic, industrial, recreational, agricultural, aesthetic, 
wildlife, fishery, or other public use; 
    (n) (14) sanitation and public health and regulation of 
uses of streams, ditches, or watercourses for the purpose of 
disposing to dispose of waste and maintaining maintain water 
quality; 
    (o) (15) preventive or remedial measures to control or 
alleviate land and soil erosion and siltation of watercourses or 
bodies of water affected thereby; and 
    (p) (16) regulation of uses of water surfaces.  
    105.405 [WATER SUPPLY MANAGEMENT.] 
    Subdivision 1.  [ASSURANCE OF SUPPLY.] The commissioner 
shall develop and manage water resources to assure a supply 
adequate to meet long-range seasonal requirements for domestic, 
municipal, industrial, agricultural, fish and wildlife, 
recreational, power, navigation, and quality control purposes 
from surface or ground water sources, or from a combination of 
these.  
    Subd. 2.  [STATE NEEDS.] No permit authorized by sections 
105.37 to 105.55 nor any plan for which the commissioner's 
approval is required or permitted, involving a diversion of any 
waters of the state, surface or underground, to a place outside 
of this state shall be granted or approved until after a 
determination by the commissioner has determined that the water 
remaining in this state will be adequate to meet the state's 
water resources needs during the specified life of the diversion 
project and after approval by the legislature. 
    105.41 [APPROPRIATION AND USE OF WATERS.] 
    Subdivision 1.  [COMMISSIONER'S PERMISSION.] It shall be is 
unlawful for the state, any person, partnership, or association, 
private or public corporation, county, municipality, or other 
political subdivision of the state to appropriate or use any 
waters of the state, surface or underground, without the written 
permit of the commissioner.  Nothing in This section shall be 
construed to does not apply to the use of water for domestic 
purposes serving less than 25 persons.  The commissioner shall 
establish set up a statewide training program to provide 
training in the conduct of pumping tests and data acquisition 
programs. 
    Subd. 1a.  [WATER ALLOCATION RULES, PRIORITIES.] The 
commissioner shall submit to the legislature by January 1, 1975, 
for its approval, proposed rules governing the allocation of 
waters among potential water users.  These rules shall must be 
based on the following priorities for appropriation and use of 
water: 
    First priority.:  domestic water supply, excluding 
industrial and commercial uses of municipal water supply. 
    Second priority.:  any use of water that involves 
consumption of less than 10,000 gallons of water per a day.  For 
purposes of In this section "consumption" shall mean means water 
withdrawn from a supply which that is lost for immediate further 
use in the area. 
    Third priority.:  agricultural irrigation, involving 
consumption in excess of 10,000 gallons per a day, and 
processing of agricultural products. 
    Fourth priority.:  power production, involving consumption 
in excess of 10,000 gallons per a day. 
    Fifth priority.:  other uses, involving consumption in 
excess of 10,000 gallons per a day. 
    Appropriation and use of surface water from streams during 
periods of flood flows and high water levels shall must be 
encouraged subject to consideration of the purposes for use, 
quantities to be used, and the number of persons appropriating 
water. 
    Appropriation and use of surface water from lakes of less 
than 500 acres in surface area shall must be discouraged. 
    Diversions of water from the state for use in other states 
or regions of the United States or Canada shall must be 
discouraged, subject to the jurisdiction of the United States 
government. 
    No permit shall may be issued under this section unless it 
is consistent with state, regional, and local water and related 
land resources management plans, provided that if regional and 
local plans are consistent with statewide plans.  The 
commissioner shall must not modify or restrict the amount of 
appropriation from a groundwater source authorized in a permit 
issued pursuant to under section 105.44, subdivision 8, between 
May 1 and October 1 of any year, unless the commissioner 
determines the authorized amount of appropriation endangers any 
domestic water supply. 
    Subd. 1b.  [USE LESS THAN MINIMUM.] No permit shall be is 
required for the appropriation and use of less than a minimum 
amount to be established by the commissioner by rule.  Permits 
for more than the minimum amount but less than an intermediate 
amount to be specified by the commissioner by rule shall must be 
processed and approved at the municipal, county, or regional 
level based on rules to be established by the commissioner by 
January 1, 1977.  The rules shall must include provisions for 
reporting to the commissioner the amounts of water appropriated 
pursuant to under local permits. 
    Subd. 2.  [INSTALLATIONS FOR WATER USE, PERMITS AND 
REPORTS.] It shall be is unlawful for the owner of any 
installation for appropriating or using surface or underground 
water to increase the pumping capacity or make any 
major modification change in such the installation without 
first applying in writing for, and obtaining, the written permit 
of the commissioner previously obtained upon written application 
therefor to the commissioner. 
    The owner or person in charge of every an installation for 
appropriating or using surface or underground water, whether or 
not under permit, shall file a statement with the commissioner.  
The statement shall be filed at such the time as the 
commissioner determines necessary to for the statewide water 
information system, a.  The statement of must identify the 
installation's location thereof, its capacity, the purpose or 
purposes for which it is used, and such additional information 
that the commissioner may require,.  The statement shall be 
provided on forms provided by the commissioner. 
    Subd. 3.  [COMMISSIONER'S EXAMINATIONS.] The commissioner 
may examine any installation which that appropriates or uses 
surface or underground water, and.  The owner of such the 
installation shall supply such information concerning such 
installation it as the commissioner may require requires. 
    Subd. 4.  [MEASURING AND RECORDING QUANTITIES USED.] It 
shall be is unlawful for the state, any a person, partnership, 
or association, private or public corporation, county, 
municipality, or other political subdivision of the state to 
appropriate or use any waters of the state, surface or 
underground, without measuring and keeping a record of the 
quantity of water used or appropriated as herein provided in 
this section.  Each installation for appropriating or using 
water shall must be equipped with a device or employ a method to 
measure the quantity of water appropriated with reasonable 
accuracy.  The commissioner's determination of the method to be 
used for measuring water quantity shall must be based upon on 
the quantity of water appropriated or used, the source of water, 
the method of appropriating or using water, and any other facts 
supplied to the commissioner. 
    Subd. 5.  [RECORDS REQUIRED.] Records of the amount of 
water appropriated or used shall must be recorded kept for each 
such installation and such.  The readings and the total amount 
of water appropriated shall must be reported annually to the 
commissioner of natural resources on or before February 15 of 
the following year upon forms to be supplied by the commissioner.
    The records shall must be submitted with an annual water 
appropriation processing fee in the amount established in 
accordance with the following schedule of fees for each water 
appropriation permit in force at any time during the 
year:  (a) (1) irrigation permits, $15 for the first permitted 
160 acres or portion thereof part of 160 acres, and $25 for each 
additional permitted 160 acres or portion thereof part of 160 
acres; (b) (2) for nonirrigation permits, $5 for each ten 
million gallons or portion thereof of that amount permitted each 
year.  However, in no case shall the fee must not exceed a total 
of $500 per permit.  The fee is payable regardless of the amount 
of water appropriated during the year.  Failure to pay the fee 
is sufficient cause for revoking a permit.  No fee may be 
imposed on any state agency, as defined in section 16B.01, or 
federal governmental agency holding a water appropriation permit.
    Subd. 6.  [TRANSFER OF PERMIT.] Any appropriation or use 
permit may be transferred if the permittee conveys the real 
property where the source of water is located to the subsequent 
next owner of the real property.  The subsequent new owner shall 
notify the commissioner of natural resources immediately after 
an appropriation or use permit is transferred pursuant to under 
this section. 
    105.415 [RULES GOVERNING PERMITS.] 
    Notwithstanding the provision in section 105.41, 
subdivision 1a, stating that the commissioner of natural 
resources shall submit to the legislature by January 1, 1975, 
for its approval proposed rules governing the allocation of 
waters among potential water users, and notwithstanding the 
provision in section 105.42, subdivision 1a, stating that the 
commissioner shall recommend by January 15, 1975, to the 
legislature a comprehensive law containing standards and 
criteria governing the issuance and denial of permits under the 
section, the commissioner shall prior to, before January 30, 
1978, adopt rules containing standards and criteria for the 
issuance and denial of the permits required by sections 105.41 
and 105.42. 
    105.416 [IRRIGATION FROM GROUNDWATER.] 
    Subdivision 1.  [PERMIT.] Permit applications required by 
section 105.41, for appropriation of groundwater for purposes of 
agricultural irrigation shall, must be processed as either class 
A or class B applications.  Class A applications are for wells 
located in areas for which the commissioner of natural resources 
has adequate groundwater availability data.  Class B are those 
for all other areas.  The commissioner shall evaluate available 
groundwater data, determine its adequacy, and designate areas A 
and B, statewide.  The commissioner shall solicit, receive, and 
evaluate groundwater data from soil and water conservation 
districts, and where appropriate revise the area A and B 
designations.  The commissioner of natural resources shall file 
with the secretary of state a commissioner's order defining 
these areas by county and township.  Additional areas may be 
added by a subsequent later order of the commissioner.  Class A 
and B applications shall must be processed in the order received.
    Subd. 2.  [CLASS B PERMITS; INFORMATION REQUIREMENTS.] 
Class B applications are not complete until the applicant has 
supplied the following data: 
    (a) (1) A summary of the anticipated well depth and 
subsurface geologic formation expected to be penetrated by the 
well.  For glacial drift aquifers, this data shall must include 
the logs of test holes drilled for the purpose of locating to 
locate the site of the proposed production well;.  
    (b) (2) The formation and aquifer expected to serve as the 
groundwater source;. 
    (c) (3) The maximum daily, seasonal and annual pumpage 
expected;. 
    (d) (4) The anticipated groundwater quality in terms of the 
measures of quality commonly specified for the proposed water 
use;. 
    (e) (5) The results of a pumping test supervised by the 
commissioner or a designee of the commissioner, conducted at a 
rate not to exceed the proposed pumping rate for a period not to 
exceed more than 72 continuous hours for wells under water table 
conditions and not to exceed more than 24 continuous hours for 
wells under artesian conditions.  Before, during, and after the 
pumping test the commissioner shall require monitoring of water 
levels in one observation well located at such a distance from 
the pumping well which that the commissioner has reason to 
believe may be affected by the new appropriation.  The permit 
applicant shall be is responsible for all costs of the pumping 
tests and monitoring in the one observation well.  The applicant 
shall be is responsible for the construction of this one 
observation well if suitable existing wells cannot be located 
for this purpose.  If the commissioner believes that more than 
one observation well is needed the commissioner shall instruct 
the applicant to install and monitor additional more observation 
wells.  The commissioner shall reimburse the applicant for these 
added costs; and. 
    (f) Upon determination of (6) When the area of influence of 
the proposed well is determined, the location of existing wells 
within the area of influence which that were reported pursuant 
according to section 156A.07, together with readily available 
facts on depths, geologic formations, pumping and nonpumping 
water levels and details of well construction as related to 
the commissioner of health "water well construction code". 
    The commissioner may in any specific application waive any 
of the requirements of clauses (d) (4) to (f) (6) when the 
necessary data is already available. 
    Subd. 3.  [ISSUANCE OF NEW PERMITS; CONDITIONS.] The 
commissioner shall issue permits for irrigation appropriation 
from groundwater only where the commissioner determines that:  
    (1) proposed soil and water conservation measures are 
adequate based on recommendations of the soil and water 
conservation districts; and that 
    (2) water supply is available for the proposed use without 
reducing water levels beyond the reach of vicinity wells 
constructed in accordance with the water well construction code, 
contained in the rules of the Minnesota state commissioner of 
health Rules, parts 4725.1900 to 4725.6500. 
    105.417 [WATER APPROPRIATIONS FROM SURFACE SOURCES.] 
    Subdivision 1.  [WAIVER.] The commissioner may waive any 
limitation or requirement in subdivisions 2 to 5 for just cause. 
    Subd. 2.  [NATURAL AND ALTERED NATURAL WATERCOURSES.] Where 
data are is available, permits to appropriate water from natural 
and altered natural watercourses shall must be limited so that 
consumptive appropriations are not made from the watercourses 
during periods of specified low flows in order.  The purpose of 
the limits is to safeguard water availability for instream uses 
and for downstream higher priority users located in reasonable 
proximity to reasonably near the site of appropriation. 
    Subd. 3.  [WATERBASINS.] (a) Permits to appropriate water 
for any purpose from waterbasins shall must be limited so that 
the collective annual withdrawals do not exceed a total volume 
of water amounting to one-half acre-foot per acre of waterbasin 
based on Minnesota department of conservation bulletin No. 25, 
"An Inventory of Minnesota Lakes." 
    (b) As a condition to any a surface water appropriation 
permit, the commissioner of natural resources shall establish 
set an elevation for the subject waterbasin, below which no 
appropriation shall be is allowed.  During the determination of 
the elevation, which for the purposes of this section shall be 
known as called the "protection elevation," the commissioner 
shall take into account the elevation of important aquatic 
vegetation characteristics related to fish and wildlife habitat, 
existing uses of the waterbasin by the public and riparian land 
owners, the total volume within the waterbasin and the slope of 
the littoral zone. 
    (c) As part of any an application for appropriation of 
water for any purpose from a waterbasin of less than 500 acres 
in surface area, the applicant shall obtain get a signed 
statement from containing as many signatures as the applicant 
can obtain of landowners with land riparian to the subject 
waterbasin stating.  It must state their support to the proposed 
appropriation as the applicant is able to obtain, and it shall 
indicate must show the number of landowners whose signature 
signatures the applicant is unable to could not obtain. 
    Subd. 4.  [TROUT STREAMS.] Permits issued after June 3, 
1977, to appropriate water for any purpose from streams 
designated trout streams by the commissioner's orders pursuant 
to under section 97C.021, shall must be limited to temporary 
appropriations. 
    Subd. 5.  [CONTINGENCY PLANNING.] No application for use of 
surface waters of the state for any purpose is complete until 
the applicant submits, as part of the application, a contingency 
plan which that describes the alternatives the applicant will 
utilize use if further appropriation is restricted due to the 
flow of the stream or the level of a waterbasin.  No surface 
water appropriation for any purpose shall be allowed unless the 
contingency plan is feasible or the permittee agrees to 
withstand the results of no appropriation. 
    105.418 [CONSERVATION OF PUBLIC WATER SUPPLIES.] 
    During periods of critical water deficiency as determined 
by the governor and declared by order of the governor, public 
water supply authorities appropriating water shall adopt and 
enforce restrictions consistent with rules adopted by the 
commissioner of natural resources within their areas of 
jurisdiction to restrict.  The restrictions must limit lawn 
sprinkling, car washing, golf course and park irrigation, and 
other nonessential uses, together with and have appropriate 
penalties for failure to comply with the restrictions.  The 
commissioner may adopt emergency rules pursuant according to 
section 15.0412, subdivision 5 sections 14.29 to 14.36 relating 
to matters covered by this section during the year 1977.  
Disregard of critical water deficiency orders, even though total 
appropriation remains less than that permitted, shall be 
adequate is grounds for immediate modification of any public 
water supply authority's appropriator's permit. 
    105.42 [PERMITS; WORK IN PUBLIC WATERS.] 
    Subdivision 1.  [CONSTRUCTION.] It shall be is unlawful for 
the state, any a person, partnership, association, private or 
public corporation, county, municipality or other political 
subdivision of the state, to construct, reconstruct, remove, 
abandon, transfer ownership of, or make any change in any 
reservoir, dam or waterway obstruction on any public water; or 
in any manner, to change or diminish the course, current, or 
cross-section of any public waters, wholly or partly within the 
state, by any means, including but not limited to, filling, 
excavating, or placing of any materials in or on the beds of 
public waters, without first getting a written permit from the 
commissioner previously obtained.  Application for such a permit 
shall must be in writing to the commissioner on forms prescribed 
by the commissioner.  No permit shall be required for work in 
altered natural watercourses which that are part of drainage 
systems established pursuant to under sections 106A.005 to 
106A.811 and chapter 112 when the work in the waters is 
undertaken pursuant to under those chapters. 
    This section does not apply to any public drainage system 
lawfully established under the provisions of sections 106A.005 
to 106A.811 which that does not substantially affect any public 
waters. 
    The commissioner, subject to the approval of the county 
board, shall have power to may grant, and to prescribe terms and 
conditions for granting, permits to establish, construct, 
maintain, and control wharfs, docks, piers, levees, breakwaters, 
basins, canals and hangars in or adjacent to public waters of 
the state except within the corporate limits of cities. 
    Subd. 1a.  [STANDARDS AND CRITERIA.] By January 15, 1975, 
the commissioner shall recommend by January 15, 1975, to the 
legislature a comprehensive law containing standards and 
criteria governing for the issuance and denial of permits under 
this section.  These standards and criteria shall must relate to 
the diversion of water from other uses and changes in the level 
of public waters to insure ensure that projects will be 
satisfactorily completed and maintained in a satisfactory 
manner.  The commissioner may, by rule, identify classes of 
activities in waterbasins and classes of watercourses on which 
the commissioner may delegate permit authority to the 
appropriate county or city under such guidelines as the 
commissioner may provide based on agreement with the involved 
county or city and in compliance with the requirements of 
section 105.45.  After November 15, 1975, a permit shall be 
granted under this section only when the project conforms to 
state, regional, and local water and related land resources 
management plans, and only when it will involve a minimum of 
encroachment, change, or damage to the environment, particularly 
the ecology of the waterway.  In those instances where When a 
major change in the resource is justified, permits shall must 
include provisions to compensate for the detrimental aspects of 
the change. 
    In unincorporated areas and, after January 1, 1976, in 
incorporated areas, permits that will involve excavation in the 
beds of public waters shall be granted only where the area in 
which the excavation will take place is covered by a shoreland 
conservation ordinance approved by the commissioner and only 
where the work to be authorized is consistent with the shoreland 
conservation ordinance.  Each permit that will involve 
excavation in the public waters shall must include provisions 
governing the deposition of spoil materials. 
    No A permit affecting flood waters shall be granted except 
where only if:  
    (1) the area covered by the permit is governed by a flood 
plain management ordinance approved by the commissioner; and 
    (2) the conduct authorized by the permit is consistent with 
the flood plain management ordinance, provided that if the 
commissioner has determined that sufficient enough information 
is available for the adoption of a flood plain ordinance.  
    No A permit involving the control of flood waters by 
structural means, such as dams, dikes, levees, and channel 
improvements, shall be granted until only after the commissioner 
has given due consideration to considered all other flood damage 
reduction alternatives.  In developing a policy with regard to 
on placing emergency levees along the banks of public waters 
under flood emergency conditions, the commissioner shall consult 
and cooperate with the office of emergency services. 
    No permit that will involve a change in the level of public 
waters shall be granted unless the shoreland adjacent to the 
waters to be changed is governed by a shoreland conservation 
ordinance approved by the commissioner and the change in water 
level is consistent with that shoreland conservation ordinance.  
Standards and procedures for use in deciding the level of a 
particular lake must insure ensure that the rights of all 
persons are protected when lake levels are changed and shall 
include provisions must provide for providing:  (1) technical 
advice to all persons involved, for; (2) establishing 
alternatives to assist help local agencies in resolving resolve 
water level conflicts,; and (3) mechanics necessary to provide 
for local resolution of water problems within the state 
guidelines. 
    Subd. 2.  [EMERGENCY REPAIRS.] Nothing in This section 
shall does not prevent the owner of any a dam, reservoir, 
control structure, or waterway obstruction from instituting 
making repairs which that are immediately necessary in case of 
emergency.  However, the owner shall notify the commissioner at 
once of the emergency and of the emergency repairs 
being instituted made and, as soon as practicable, shall apply 
for a permit for the emergency repairs and any necessary 
permanent repairs.  Nothing in This section shall does not apply 
to routine maintenance, not affecting the safety of the 
structures. 
    In case of an emergency where the commissioner declares 
that repairs or remedial action is immediately necessary to 
safeguard life and property, the repairs, remedial action, or 
both, shall must be started immediately by the owner. 
    Subd. 3.  [OPERATION.] The owner of any a dam, reservoir, 
control structure, or waterway obstruction constructed before a 
permit was required by law shall maintain and operate all 
such the dams, reservoirs, control structures, and waterway 
obstructions in a manner approved by the commissioner and in 
accordance with any rules promulgated adopted by the 
commissioner in the manner prescribed by under chapter 14. 
    Subd. 4.  [LANDLOCKED LAKES; PREVENTION OF FLOODING.] Where 
prescribed in an approved storm water management plan under 
section 473.879, the commissioner shall issue permits to 
establish control elevations for landlocked lakes up to three 
feet below the ordinary high water level for the lake, if the 
commissioner finds that the control is necessary to prevent 
flooding of homesteads and that no other reasonable or 
cost-effective alternative is available. 
    105.43 [APPLICATION FOR ESTABLISHMENT OF LAKE LEVELS.] 
    Application for authority to establish and maintain levels 
on any public water and applications to establish the natural 
ordinary high water level of any body of public water may be 
made to the commissioner by any public body or authority or by a 
majority of the riparian owners thereon; or, for the purpose of 
conserving or utilizing the water resources of the state, the 
commissioner may initiate proceedings therefor.  
    105.44 [PROCEDURE UPON APPLICATION.] 
    Subdivision 1.  [PERMIT.] Each application for a permit 
required by sections 105.37 to 105.55 shall must be accompanied 
by maps, plans, and specifications describing the proposed 
appropriation and use of waters, or the changes, additions, 
repairs or abandonment proposed to be made, or the public water 
affected, and such other data as the commissioner may require.  
This data may include but not be limited to a statement of the 
effect the actions proposed in the permit application will have 
on the environment, such as:  
    (a) (1) anticipated changes in water and related land 
resources which are anticipated; 
    (b) (2) unavoidable but anticipated detrimental effects; 
and 
    (c) (3) alternatives to the actions proposed in the permit. 
If the proposed activity, for which the permit is requested, is 
within a city, or is within or affects a watershed district or a 
soil and water conservation district, a copy of the application 
together with maps, plans, and specifications shall must be 
served on the secretary of the board of managers of the district 
and the secretary of the board of supervisors of the soil and 
water conservation district and on the mayor of the city.  Proof 
of such service shall must be included with the application and 
filed with the commissioner. 
    Subd. 1a.  [EXCAVATION CHARGES.] The commissioner shall 
impose charges for the excavation of minerals from the beds of 
public waters, as provided in chapter 93. 
    Subd. 2.  [AUTHORITY.] The commissioner is authorized to 
may receive applications for permits and to grant the same them, 
with or without conditions, or refuse the same as hereinafter 
set forth them.  Provided, that If the proposed activity for 
which the permit is requested is within a city, or is within or 
affects a watershed district or a soil and water conservation 
district, the commissioner may secure get the written 
recommendation of the managers of said the district and the 
board of supervisors of the soil and water conservation district 
or the mayor of the city before granting or refusing the 
permit.  The managers or supervisors or mayors shall file their 
recommendation within 30 days after receipt of a copy of the 
application for permit. 
    Subd. 3.  [WAIVER OF HEARING.] The commissioner may waive 
hearing on any application and order the granting or refusal of 
such application granted or refused.  In such that case, if any 
application is granted, with or without conditions, or is 
refused, the applicant, the managers of the watershed district, 
the board of supervisors of the soil and water conservation 
district, or the mayor of the city may within 30 days after 
mailed notice thereof of the order file with the commissioner a 
demand for hearing on the application together with the bond 
required by subdivision 6.  The application shall thereupon must 
then be fully heard, on notice as hereinafter provided under 
subdivision 5, and determined the same as though no previous 
order had been made.  Any hearing pursuant to under this section 
shall must be conducted as a contested case in accordance with 
chapter 14.  If the commissioner elects to waive waives a 
hearing, and if no demand for hearing be is made, or if a 
hearing is demanded but no bond is filed as required by 
subdivision 6, the order shall become becomes final at 
the expiration end of 30 days after mailed notice thereof of the 
order to the applicant, the managers of the watershed district, 
the board of supervisors of the soil and water conservation 
district, or the mayor of the city and no appeal of the order 
may be taken to the district court. 
    Subd. 4.  [TIME.] The commissioner shall act upon on all 
applications, except for appropriations for irrigation, pursuant 
according to subdivision 8, within 30 days after the application 
and all required data is are filed in the commissioner's office
;.  The commissioner shall either waiving waive the hearing and 
 making make an order thereon on the application or directing 
direct the hearing thereon on it. 
    Subd. 5.  [NOTICE.] The notice of hearing on any an 
application shall recite must state the date, place, and time 
fixed by the commissioner for the public hearing thereon and 
shall.  It must also show the waters affected, the levels sought 
to be established or any control structures proposed.  The 
notice shall must be published by the commissioner at the 
expense of the applicant or, if the proceeding is initiated by 
the commissioner in the absence of an applicant, at the expense 
of the commissioner,.  It must be published once each a week for 
two successive weeks prior to before the day of hearing in a 
legal newspaper published in the county in which a any part or 
all of the affected waters are is located.  Notice shall must 
also be mailed by the commissioner to the county auditor and the 
mayor of any municipality or the watershed district and the soil 
and water conservation district affected.  The commissioner 
shall also fulfill any notice requirements prescribed by 
sections 14.57 to 14.59 and rules of the chief administrative 
law judge. 
    Subd. 6.  [HEARING COSTS.] (a) Except where a public 
hearing is demanded by a public authority which is not the 
applicant as stated in paragraph (b), the applicant shall pay 
the following, if after the hearing the commissioner's action, 
taken pursuant to under subdivision 2, is affirmed without 
material modification:  (1) costs of the stenographic record and 
transcript, (2) rental expenses costs, if any, of the place of 
hearing, (3) costs of publication of orders made by the 
commissioner;.  However, in no event shall the applicant shall 
not pay more than $750. 
    (b) Where the public hearing is demanded by a public 
authority which that is not the applicant, the public authority 
making the demand shall pay the costs and expenses listed above 
in paragraph (a) if the commissioner's action is affirmed 
without material modification. 
     (c) An applicant filing a demand for a public hearing shall 
execute and file a corporate surety bond or equivalent security 
to the state of Minnesota, to be approved by the commissioner, 
and in an amount and form fixed by the commissioner.  The bond 
or security shall must be conditioned for the payment of all 
costs and expenses of the public hearing if the commissioner's 
action taken pursuant to under subdivision 2 is affirmed without 
material modification.  No bond or security is required of a 
public authority which that demands a public hearing.  The 
commissioner may waive the requirement for a bond or other 
security.  In all other instances, costs of the hearing shall 
must be borne in the manner as prescribed by chapter 14 and the 
chief administrative law judge. 
    Subd. 7.  [WITNESSES; CONTEMPT.] The commissioner may 
subpoena and compel the attendance of witnesses and the 
production of all books and documents that are material to the 
purposes of the hearing.  Disobedience of every such a subpoena 
shall be is punishable as a contempt in like manner in the same 
way as a contempt of the district court on complaint of the 
commissioner before the district court of the county where such 
the disobedience or refusal occurred. 
    Subd. 8.  [PERMIT TO IRRIGATE AGRICULTURAL LAND.] When an 
application a person applies for permit to irrigate agricultural 
land from public waters is made, the soil and water conservation 
district may make recommendations to the commissioner regarding 
the disposition of the application and its compatibility to a 
comprehensive soil and water conservation plan approved pursuant 
to under section 40.07, subdivision 9,.  The recommendations 
must be made within 30 days of the receipt of the application.  
Within 30 days of receipt of the application the commissioner 
may require additional specific information from the applicant.  
Upon receipt of all additional specific information required of 
the applicant On receiving all requested information, the 
commissioner shall have has an additional 60 days to review that 
information it, consider the soil and water conservation 
recommendations, and decide whether to grant or deny the permit; 
provided that.  If the commissioner orders a hearing, then 
the time within which the commissioner must grant or deny the 
application shall must be granted or denied within ten days 
after receipt of the report of the hearing officer.  In the case 
of an application for permit to irrigate agricultural land, 
failure of the commissioner to act thereon on it within the 
specified time period, shall be deemed is an order granting the 
application.  This order shall be deemed is considered granted 
ten days after the applicant has given written notice to the 
commissioner stating an intention to proceed with the 
appropriation. 
    Subd. 9.  [LIMITATIONS ON PERMITS.] Except as otherwise 
expressly provided by law, every a permit issued by the 
commissioner of natural resources under the provisions of 
Minnesota Statutes 1949, sections 105.37 to 105.55, or any 
amendment thereof, shall be is subject to the following: 
    (1) cancellation by the commissioner at any time if deemed 
necessary for any cause for the protection of to protect the 
public interests; 
    (2) such further conditions respecting on the term of the 
permit or the its cancellation thereof as the commissioner may 
prescribe and insert in the permit; 
    (3) All applicable provisions of law existing at the time 
of before or after the issuance of the permit or thereafter 
enacted by the legislature; 
    (4) Any Applications granted under subdivision 8, or deemed 
considered granted under the provisions thereof, shall likewise 
be it are also subject to the foregoing provisions of this 
subdivision, and shall be are subject also to cancellation by 
the commissioner upon the recommendation of the supervisors of 
the soil and water conservation district wherein where the land 
to be irrigated is located. 
    Subd. 10.  [PERMIT FEES.] Each application for a permit 
authorized by sections 105.37 to 105.64, and each request to 
amend or transfer an existing permit, shall must be accompanied 
by a permit application fee in the amount of $30 to defray the 
costs of receiving, recording, and processing the application or 
request to amend or transfer.  The commissioner may charge an 
additional permit application fee in excess of the $30 fee 
specified above, but not to exceed over $250 for each 
application, in accordance with a schedule of fees adopted by 
rules promulgated in the manner provided by under section 
16A.128. 
    The commissioner may charge an additional field inspection 
fee for: 
    (1) projects requiring a mandatory environmental assessment 
pursuant to under chapter 116D,; 
     (2) projects undertaken without a permit or application as 
required by sections 105.37 to 105.64,; and 
    (3) projects undertaken in excess of limitations 
established in an issued permit, the commissioner may charge an 
additional field inspection fee of.  The fee must not be less 
than $25 nor more than $750.  The purpose of the fee is to cover 
actual costs for each permit applied for under sections 105.37 
to 105.64 and for each project undertaken without proper 
authorization.  
    The commissioner shall establish pursuant to rules adopted 
in the manner provided by a schedule of field inspection fees 
under section 16A.128, a schedule for field inspection fees 
which shall.  The schedule must include actual costs related to 
field inspection such as investigations of the area affected by 
the proposed activity, analysis of the proposed activity, 
consultant services, and subsequent monitoring, if any, of the 
activity authorized by the permit. 
    Except as provided below, the commissioner may not issue a 
permit until all fees required by this section relating to the 
issuance of a permit have been paid.  The time limits prescribed 
by subdivision 4, do not apply to an application for which the 
appropriate fee has not been paid.  Field inspection fees 
relating to monitoring of an activity authorized by a permit may 
be charged and collected as necessary at any time after the 
issuance of the permit.  No permit application or field 
inspection fee may be refunded for any reason, even if the 
application is denied or withdrawn.  No permit application or 
field inspection fee may be imposed on any state agency, as 
defined in section 16B.01, or federal governmental agency 
applying for a permit. 
    105.45 [PERMITS AND ORDERS OF COMMISSIONER; NOTICE.] 
    The commissioner shall make findings of fact upon all on 
issues necessary for determination of the applications 
considered.  All Orders made by the commissioner shall must be 
based upon findings of fact made on substantial evidence.  The 
commissioner may cause have investigations to be made, and in 
such event.  The facts disclosed thereby shall by investigation 
must be put in evidence at the hearing or any adjournment 
thereof. 
    If the commissioner concludes that the plans of the 
applicant are reasonable, practical, and will adequately protect 
public safety and promote the public welfare, the commissioner 
shall grant the permit and,.  If that be they are in issue, 
the commissioner shall also fix the control levels of public 
waters accordingly.  In all other cases Otherwise the 
commissioner shall reject the application or may require such 
modification of the plan as the commissioner deems finds proper 
to protect the public interest.  In all permit applications the 
applicant has the burden of proving that the proposed project is 
reasonable, practical, and will adequately protect public safety 
and promote the public welfare. 
    In granting a permit the commissioner may include therein 
such in it terms and reservations with respect to about the 
amount and manner of such the use or appropriation or method of 
construction or operation of controls as appears appear 
reasonably necessary for the safety and welfare of the people of 
the state. 
    Notice of all orders made after hearing shall must be given 
by publication of the order once each a week for two successive 
weeks in a legal newspaper in the county where the hearing was 
held, and by mailing copies of the order to all parties who 
entered an appearance at such the hearing. 
    The commissioner shall make an order pursuant to hearing 
within 60 days after the completion of the hearing. 
    105.46 [TIME LIMIT.] 
    The commissioner shall fix set the time within which all 
construction authorized in the permit must be completed, or 
within which the appropriation or use of water must be made, 
which.  The time shall must not exceed five years from the date 
of the permit.  Such The time may be thereafter later extended 
by the commissioner for good cause shown.  Permits granted in 
connection with the mining, transporting, concentration or 
shipment of taconite as defined in Minnesota Statutes 1945, 
section 93.20, subdivision 18, and permits granted in connection 
with the mining, production, or beneficiation of copper, 
copper-nickel, or nickel, shall be are irrevocable for the term 
thereof of the permits without the consent of the permittee, 
except for breach or nonperformance of any condition of the 
permit by the permittee and.  The commissioner may allow and 
prescribe therein such in the permit any time as the 
commissioner deems considers reasonable, regardless of the 
limitations of time contained in this section, for the 
commencement beginning or completion of any completing 
construction or operations under such the permit, or the 
exercising of the rights granted thereunder, or under it.  The 
commissioner may extend such the time, for cause shown, upon the 
application of the permittee.  
    105.461 [ORDERS TO RESTORE.] 
    As a part of any an order granting or denying a permit, 
whether or not a hearing has been held, the commissioner may 
order the applicant to take any action necessary to restore the 
public waters or their beds thereof to the condition existing 
before unlawful activities, if any, were undertaken by the 
applicant.  This restoration may include, but not be limited to, 
filling beds unlawfully dredged, removing fill unlawfully 
placed, or restoring water unlawfully appropriated.  If a 
hearing on the application was not held, the applicant 
may, contest the order within 30 days of the receipt of an order 
to restore public waters or beds, contest the order receiving it 
and shall be afforded must be given a contested case hearing in 
the manner as prescribed by chapter 14. 
    105.462 [INVESTIGATIONS; ORDERS WITHOUT A PERMIT 
APPLICATION.] 
    On determining that the public interest requires it, the 
commissioner may investigate any activities being conducted in 
relation to public waters without a permit as required by 
sections 105.37 to 105.55.  With or without a public hearing, 
the commissioner may make findings and issue orders as otherwise 
may be issued pursuant to under sections 105.37 to 105.55.  A 
copy of the findings and order shall must be served upon the 
person to whom the order is issued.  If the commissioner issues 
the findings and order without a hearing, the person to whom the 
order is issued may file with the commissioner a demand for a 
hearing, together with the bond required by section 105.44, 
subdivision 6, within 30 days after being served with a copy of 
the commissioner's order.  The matter shall must be heard in the 
same manner way and pursuant to under the same laws as an 
application is heard following a demand made under section 
105.44, subdivision 3, insofar as applicable.  If no the person 
does not demand for a hearing is made by the person to whom the 
order is issued under this section, or if that person demands a 
hearing but fails to file the required bond, the commissioner's 
order becomes final at the expiration end of 30 days after the 
person is served with the order and no appeal of the order may 
be taken. 
    105.463 [CONTRACTOR'S RESPONSIBILITY.] 
    It is unlawful for any Except under certain conditions, an 
agent, servant, or employee of another to may not construct, 
reconstruct, remove, make any change in any reservoir, dam, or 
waterway obstruction on any public water, or in any manner to 
change or diminish the course, current, or cross-section of any 
public waters unless.  These actions are lawful only if the 
agent, servant, or employee has: 
    (a) (1) obtained a signed statement from the landowner that 
all permits required for the work have been obtained or that no 
permit is required,; and 
    (b) (2) mailed a copy of the statement to the office of the 
department for the region in which the proposed work is located. 
Violation of this section constitutes a separate and independent 
offense from any other provided by sections 105.37 to 105.55.  
    The commissioner of natural resources shall develop a 
suitable form to be distributed to contractors' associations and 
county auditors for the purposes of this section, which shall.  
The form must include:  
    (1) a listing of the activities for which a permit is 
required,; 
    (2) a description of the penalties for violating this 
chapter,; 
    (3) the mailing addresses and telephone numbers of the 
various regional offices of the department of natural resources,;
    (4) a statement that water inventory maps completed 
pursuant to according to section 105.391, subdivision 1, are on 
file with the auditors of the various counties,; and 
    (5) spaces for a description of the work and the names, 
mailing addresses, and phone numbers of the person authorizing 
the work and the agent, servant, or employee proposing to 
undertake it.  
    105.471 [VENUE OF ACTIONS AGAINST COMMISSIONER; DRAINAGE 
AND CLASSIFICATION OF PUBLIC WATERS ON COMMISSIONER'S 
DECISIONS.] 
    Notwithstanding any other law to the contrary, any an 
action for declaratory judgment that is commenced brought under 
chapter 555 by or against the commissioner to determine the 
validity of the commissioner's final decision regarding the 
classification of any waters of the state as public waters 
pursuant to under sections 105.38 to 105.391, or the drainage of 
waterbasins or watercourses as provided in sections 106A.011 and 
106A.015, subdivision 1, shall must be venued in the county 
where the water, watercourse, or waterbasin is located, if the 
water, watercourse, or waterbasin is located in one county, or 
in the judicial district where the majority of the water, 
watercourse or waterbasin is located,.  If the water, 
watercourse, or waterbasin is located in more than one county, 
then the venue is the judicial district where the majority of 
the water, watercourse, or waterbasin is located. 
    105.475 [STREAM MAINTENANCE PROGRAM.] 
    Subdivision 1.  [FINDINGS.] In recognition of recurrent 
problems created by debris and rubble accumulation in streams in 
Minnesota, the legislature finds that the removal of debris and 
rubble for the purpose of cleaning up to clean up stream beds 
and flood plains of streams is of benefit to benefits the public 
health, safety, and welfare.  
    Subd. 2.  [ESTABLISHMENT; COMMISSIONER'S DUTIES.] In 
furtherance of the finding set forth in subdivision 1, The 
commissioner of natural resources shall establish and supervise 
a stream maintenance program which shall.  The program must 
include grants-in-aid to participating counties.  Money granted 
by the commissioner shall must be apportioned according to the 
relative severity of the maintenance problem, the date of 
application for the grant, and the availability of funds.  In no 
case may the amount granted to a county by the commissioner The 
grant must not exceed 75 percent of the total cost of a stream 
maintenance project.  The stream maintenance work shall must be 
performed by the county or under county supervision.  The 
commissioner may grant money for the following work:  
    (1) cutting and removal of brush and dead or down trees,; 
and 
    (2) removal of large rocks and other debris such as 
concrete, asphalt, or scrap material.  
    No money may be granted for excavation or filling or for 
work performed before an application is filed.  
    Subd. 3.  [APPLICATION.] A county desiring to participate 
in the stream maintenance program shall complete and submit to 
the commissioner an application for the proposed work on forms 
provided by the commissioner.  Unless waived by the 
commissioner, the county shall submit the following information 
with its application: 
    (a) (1) a map of the county showing the stream for which 
maintenance is desired, and the specific reaches of the stream 
to be maintained; 
    (b) (2) photographs showing the nature and extent of the 
maintenance problem; and 
    (c) (3) a resolution by the county board of commissioners 
requesting participation asking to participate in the program 
and agreeing to provide at least 25 percent of the cost of the 
maintenance project.  
    Subd. 4.  [CONTRACT.] Upon approving a stream maintenance 
project, the commissioner shall contract with the county for 
performance of work necessary to the stream maintenance 
project.  The contract may provide that the county share of the 
cost of the project may be paid in the form of services provided 
by the county.  
    Subd. 5.  [COUNTY MATCHING FUNDS.] Any county may 
appropriate from its general revenue fund sufficient funds to 
match the grants in aid authorized in this section.  
    105.48 [DAM CONSTRUCTION AND MAINTENANCE BY STATE.] 
    The commissioner, in order To improve navigation, protect 
and improve domestic water supply, protect and preserve fish and 
other wild life wildlife, protect the public interest in the 
shore and shore lines of public waters, and promote public 
health, shall have power to, the commissioner may construct, 
maintain, and operate all necessary dikes, dams, and other 
structures necessary to maintain such uniform water levels as 
may be established under sections 105.37 to 105.55.  
    For the purposes of sections 105.37 to 105.55 the 
commissioner is authorized to may acquire lands or any necessary 
interest therein in lands by purchase, gift, or condemnation.  
    All Dams owned by the state or erected upon built on lands 
owned or controlled by the state shall must be maintained under 
the direction of the commissioner and the same shall be operated 
under the commissioner's direction and control.  
    The commissioner is authorized to may accept funds from 
local governmental and civic agencies or persons funds for the 
purpose of constructing, maintaining, or operating to construct, 
maintain, or operate dams and control structures or acquiring 
acquire the lands required therefor for those purposes.  
    105.482 [DAMS; REPAIR, RECONSTRUCTION; GRANTS.] 
    Subdivision 1.  [PURPOSE.] The public health, safety, and 
welfare is promoted by the orderly repair and restoration of 
dams serving the public interest and by the use of existing dams 
and potential dam sites for hydroelectric or hydromechanical 
power generation wherever that use is economically justified and 
environmentally sound.  In furtherance of this objective 
Therefore, it is the purpose of this section to facilitate the 
repair and restoration of dams owned by the state and local 
governmental units and to investigate and analyze hydroelectric 
or hydromechanical generating capability of publicly owned dams 
and potential dam sites. 
    Subd. 2.  [DEFINITION.] For the purposes of In this 
section, the term "local governmental unit" means any political 
subdivision of the state, or any two or more of these 
subdivisions acting jointly. 
    Subd. 3.  [COMMISSIONER'S DUTIES.] From money appropriated 
for the following purposes from time to time, the commissioner 
of natural resources may repair or reconstruct state-owned dams 
and may grant aid to local governmental units to repair or 
reconstruct dams owned by local governmental units and to make 
necessary engineering evaluations related to the repair or 
reconstruction.  The engineering evaluations may include, but 
are not limited to, studies of the feasibility, practicality, 
and environmental effects of utilizing using dams for 
hydroelectric power generation.  Except as provided below in 
this section, no grant to a local governmental unit shall may 
exceed the amount contributed to the project by the local 
governmental unit from funds raised locally.  A grant to study 
the feasibility, practicality, and environmental effects of 
utilizing using a dam for hydroelectric power generation may be 
for an amount not to exceed over 90 percent of the costs of the 
study.  Federal general revenue sharing money may be counted as 
funds raised locally, but other federal grants or loans shall 
must be used to reduce equally the state share and the local 
share of project costs. 
    Subd. 4.  [PROCEDURES.] The commissioner shall repair or 
reconstruct a state-owned dam or make a grant to a local 
governmental unit only after making an investigation of the 
dam.  A local governmental unit desiring a grant for the repair 
or reconstruction of a dam shall apply for the grant on forms 
supplied by the commissioner.  The commissioner shall consider 
all relevant factors, including but not limited to the following 
in determining whether to repair or reconstruct a state-owned 
dam or to make a grant to a local governmental unit:  
    (a) (1) the age and type of construction of the dam; 
    (b) (2) the use of the dam for water supply, flood control, 
navigation, hydroelectric power generation, recreation, wildlife 
management, scenic, or other purpose related to public health, 
safety, and welfare; 
    (c) (3) the consequences of abandonment, removal, or 
alteration of the dam;  
    (d) (4) prospective future uses of the dam; and 
    (e) (5) the relative importance of the dam to the statewide 
water resource program.  
    Upon the commissioner's own initiative or at the request of 
a governmental unit applying for a grant, the commissioner may 
hold a public hearing under section 105.44 on the proposed 
repair or reconstruction in the manner provided in section 
105.44, after giving the same notice as required for such a 
hearing.  If the hearing is held at the request of a 
governmental unit, the costs of publishing notice and of taking 
and preparing the stenographic record shall must be paid by the 
governmental unit.  To receive a grant the local governmental 
unit shall must enter into an agreement with the commissioner 
giving assurance that the governmental unit will operate and 
maintain the dam in a safe condition for the benefit of the 
public and shall must agree to such other conditions as the 
commissioner deems considers reasonable. 
    Subd. 5.  [LIMITATIONS.] If the cost of repair or 
reconstruction of a state-owned dam or a grant to a local 
governmental unit is less than $75,000, the commissioner may 
direct that the state-owned dam be repaired or reconstructed or 
that a grant be made to repair or reconstruct a dam owned by a 
local governmental unit without the approval of the state 
executive council.  If the cost of repair or reconstruction of a 
state-owned dam, or a grant to a local governmental unit amount 
is $75,000 or more but less than $150,000, the expenditure shall 
be made only with the approval of the state executive council.  
If the cost of repair or reconstruction of a state-owned dam or 
a grant to a local governmental unit amount is $150,000 or more, 
the commissioner may recommend the project to the legislature 
for its consideration and action, except in the 
following emergency situations emergencies.  With the approval 
of the executive council, the commissioner may direct that a 
state-owned dam be repaired or reconstructed or a grant be made 
to a local governmental unit where if the commissioner 
determines that an emergency condition exists and that there is 
danger that life will be lost or that substantial property 
losses will be suffered if such action is not promptly taken.  
    Subd. 5a.  [LOANS.] When the commissioner of natural 
resources decides to recommend to the legislature a dam repair 
or reconstruction grant to for a local governmental unit, the 
commissioner shall notify the local governmental unit and the 
commissioner of finance of the decision.  The local government 
unit may then apply to the commissioner of finance on forms 
supplied by the commissioner of finance for a loan to cover up 
to 90 percent of the local share of project costs.  The loan is 
repayable over a period not to exceed longer than 20 years, with 
interest at a rate sufficient to cover the cost to the state of 
borrowing the money.  Each local unit of government receiving a 
dam safety loan shall levy for the loan payment in that year and 
each later year thereafter, until its loan is paid,: 
    (a) (1) the amount of its annual loan payment, or 
    (b) (2) the amount of the required loan payment levy less 
the amount the local unit certifies is available from other 
sources for the loan payment. 
    Upon approval of the project grant by the legislature, the 
commissioner of finance shall make the loan in an amount and on 
terms that are appropriate.  Loans made pursuant to under this 
subdivision shall do not require approval by the electors of the 
local governmental unit as provided in section 475.58.  All 
Principal and interest payments received by the commissioner of 
finance in repayment of these loans are appropriated to the 
Minnesota state building bond account. 
    Subd. 6.  [COMMISSIONER'S ORDER TO REPAIR OR RECONSTRUCT A 
DAM.] If for any reason a local governmental unit fails to 
repair or remove a dam when ordered to do so by the commissioner 
pursuant to under section 105.52, the commissioner may repair or 
remove the dam.  In so doing the commissioner shall proceed by 
proceeding as follows.  After a hearing as provided in section 
105.44, on the failure of the local governmental unit to repair 
or remove the dam, the commissioner shall make findings relating 
to the matter, specifying the failure of the local governmental 
unit to act, and shall by order assume and possess the powers of 
the legislative authority of the local governmental unit in 
regard to the repair or removal of dams.  Thereafter After 
issuing the order, the commissioner has the same powers, insofar 
as applicable to the repair or removal of dams, as the 
commissioner of administration and pollution control agency have 
in the construction, installation, maintenance, or operation of 
a municipal disposal system, or part thereof of a system, or 
issuing bonds and levying taxes therefor, pursuant to under 
section 115.48. 
    Subd. 7.  [PRIORITY LIST OF DAMS NEEDING REPAIR.] On the 
basis of examinations of dams owned by the state or local 
governmental units, the commissioner shall report annually to 
the legislature those state or local governmental dams in need 
of repair or reconstruction in the order of priority the 
commissioner determines necessary considering danger to life, 
damage to property and those factors listed in subdivision 4. 
    Subd. 8.  [HYDROPOWER GENERATION POLICY; LEASING OF DAMS 
AND DAM SITES.] Consistent with laws relating to dam 
construction, reconstruction, repair, and maintenance, the 
legislature finds that the public health, safety, and welfare of 
the state is also promoted by the use of state waters to produce 
hydroelectric or hydromechanical power.  Further, the 
legislature finds that the leasing of existing dams and 
potential dam sites primarily for such power generation is a 
valid public purpose.  A local governmental unit, or the 
commissioner of natural resources with the approval of the state 
executive council, may provide pursuant to by a lease or 
development agreement for the development and operation of dams, 
dam sites, and hydroelectric or hydromechanical power generation 
plants owned by the respective government by an individual, a 
corporation, an organization, or other legal entity upon terms 
and conditions as contained in subdivision 9.  For installations 
of 15,000 kilowatts or less at a dam site and reservoir that is 
not being used unused on January 1, 1984, in connection with the 
production of hydroelectric or hydromechanical power, the lease 
or development agreement negotiated by the local governmental 
unit and the developer shall constitute constitutes full payment 
by the lessee and may be in lieu of all real or personal 
property taxes that might otherwise be due to a local 
governmental unit.  If the dam, dam site, or power generation 
plant is located in or contiguous to a city or town, other than 
the lessor governmental unit, the lease or agreement shall is 
not be effective unless it is approved by the governing body of 
the city or town.  For purposes of In this subdivision, "city" 
means a statutory or home rule charter city.  
    Subd. 9.  [CONTENTS OF DEVELOPMENT AGREEMENT.] An agreement 
for the development or redevelopment of a hydropower site may 
contain, but need not be limited to, the following provisions:  
    (a) (1) length of the development agreement, subject to 
negotiations between the parties but not more than 99 years, and 
conditions for extension, modification, or termination;  
    (b) (2) provisions for a performance bond on the developer, 
or, certification that the equipment and its installation have a 
design life at least as long as the lease; and 
    (c) (3) provisions to assure adequate maintenance and 
safety in the impoundment structures, if any, and to assure 
access to recreational sites, if any;. 
    An agreement shall must contain provisions to assure the 
maximum financial return to the local governmental unit or the 
commissioner of natural resources.  
    105.484 [LAKE IMPROVEMENTS; GRANTS-IN-AID; PRIORITIES.] 
    The commissioner of natural resources, with the assistance 
help of the pollution control agency and the commissioner of 
energy and economic development, shall make an assessment of 
assess the need for particular kinds of lake improvements 
including improvements related to high or low water levels and 
any other resource management considerations, except pollution 
problems, and develop criteria for allocating state aid funds 
among proposed projects.  The assessment must include provisions 
shall be included to insure ensure that any federal program of 
aid to local lake improvement projects serves to reduce reduces 
the local share of project costs rather than reducing and not 
only the state's share. 
    105.485 [REGULATION OF SHORELAND DEVELOPMENT.] 
    Subdivision 1.  [PURPOSE.] In furtherance of To promote the 
policies declared in section 105.38, and chapter 116, it is in 
the interest of the public health, safety, and welfare to:  
    (1) provide guidance for the wise development of shorelands 
of public waters and thus preserve and enhance the quality of 
surface waters,;  
    (2) preserve the economic and natural environmental values 
of shorelands,; and 
    (3) provide for the wise utilization use of water and 
related land resources of the state. 
    Subd. 2.  [DEFINITIONS.] For the purposes of this section 
(a) The terms defined used in this section have the meanings 
given them: in this subdivision. 
    (a) (b) "Shoreland" means land located within the following 
distances from the ordinary high water elevation of public 
waters:  (1) land within 1,000 feet from the normal high 
watermark of a lake, pond, or flowage; and (2) land within 300 
feet of a river or stream or the landward side of flood plain 
delineated by ordinance on such a river or stream, whichever is 
greater. 
    (b) (c) "Unincorporated area" means the area outside a city.
    (c) (d) "Municipality" means a city. 
    Subd. 3.  [COMMISSIONER'S DUTIES.] The commissioner of 
natural resources shall adopt, in the manner provided in under 
chapter 14, model standards and criteria, other than a model 
ordinance, for the subdivision, use, and development of 
shoreland in municipalities, which.  The standards and criteria 
shall must include but not be limited to those listed below in 
regard to unincorporated areas in clauses (1) to (7).  The 
commissioner of natural resources shall adopt, in the manner 
provided in under chapter 14, model standards and criteria for 
the subdivision, use, and development of shoreland in 
unincorporated areas, including but not limited to the following:
    (a) (1) the area of a lot and length of water frontage 
suitable for a building site; 
    (b) (2) the placement of structures in relation to 
shorelines and roads; 
    (c) (3) the placement and construction of sanitary and 
waste disposal facilities; 
    (d) (4) designation of types of land uses; 
    (e) (5) changes in bottom contours of adjacent public 
waters; 
    (f) (6) preservation of natural shorelands through the 
restriction of land uses; 
    (g) (7) variances from the minimum standards and criteria; 
and 
    (h) (8) a model ordinance.  
    The following agencies shall provide information and advice 
necessary to the preparation of prepare or amend the rules, or 
amendments thereto:  the state departments of agriculture, 
health, and energy, planning and economic development; the state 
planning and pollution control agency agencies; the state soil 
and water conservation board; and the Minnesota historical 
society.  In addition to other requirements of chapter 14, the 
model standards and ordinance adopted pursuant to under this 
section, or amendments thereto, shall to them must not be filed 
with the secretary of state finally adopted unless approved by 
the state commissioner of health and the director of the 
pollution control agency. 
    Subd. 4.  [FAILURE OF COUNTY TO ACT; COMMISSIONER'S DUTIES; 
ENFORCEMENT.] The commissioner shall adapt the model ordinance 
to the county if a county:  
    (1) fails to adopt a shoreland conservation ordinance by 
July 1, 1972,; or 
    (2) if the commissioner of natural resources, at any time 
after July 1, 1972, after notice and hearing as provided in 
section 105.44, finds that a county has adopted a shoreland 
conservation ordinance which that fails to meet the minimum 
standards established pursuant to under this section, the 
commissioner shall adapt the model ordinance to the county. 
    The commissioner shall hold at least one public hearing on 
the proposed ordinance in the manner provided in section 394.26, 
after giving notice as provided in section 394.26.  This 
ordinance is effective for the county on the date and in 
accordance with such any rules the commissioner prescribes 
relating to compliance as the commissioner shall prescribe.  The 
ordinance shall must be enforced as provided in section 394.37.  
The penalties provided in section 394.37, apply to violations of 
the ordinance so adapted by the commissioner. 
    Subd. 5.  [COSTS.] The cost incurred by the commissioner in 
adapting the model ordinance to the county pursuant to under 
subdivision 4 shall be paid by the county upon the submission to 
the county of an itemized statement of these costs by the 
commissioner.  If the county fails to pay these costs within 90 
days after the commissioner's statement is received, the 
commissioner may file a copy of the statement of these costs 
with the county auditor of the county for collection by special 
tax levy.  The county auditor, upon receiving a statement from 
the commissioner, shall include the amount of the state's claim 
in the tax levy for general revenue purposes of the county.  
This additional tax shall must be levied in excess of any 
limitation as to rate or amount, but shall must not cause reduce 
the amount of other taxes which that are subject to any 
limitation to be reduced in any amount whatsoever.  Upon On 
completion of the tax settlement following this levy, the county 
treasurer shall remit pay the amount due to the state to the 
commissioner for deposit in the state treasury. 
    Subd. 6.  [MUNICIPAL SHORELAND MANAGEMENT.] Before April 1, 
1974, each municipality having shoreland within its corporate 
limits shall submit to the commissioner, for review, any 
ordinances or rules affecting the use and development of its 
shorelands.  The commissioner shall review the ordinances or 
rules and determine whether they are in substantial compliance 
with municipal shoreland management standards and criteria 
promulgated pursuant to under subdivision 3.  In making the 
review, the commissioner also shall consider any feature unique 
to the municipal shoreland in question, including but not 
limited to the characteristics of the waters which that may be 
affected by development, storm sewer facilities, and sanitary 
and waste disposal facilities in existence at the time of the 
commissioner's review.  
    If the commissioner determines that the ordinances or rules 
of a municipality do not substantially comply with the state 
standards and criteria for municipal shoreland management, then 
the commissioner shall so notify the municipality and.  The 
notice shall indicate to must tell the municipality the what 
changes which are necessary to bring the ordinances or rules 
into substantial compliance with state standards and criteria.  
Within one year after receiving this notice from the 
commissioner, the municipality shall make the changes necessary 
to bring the ordinances or rules into substantial compliance 
with state standards and criteria.  If a municipality has no 
ordinance or rule affecting the use and development of shoreland 
on April 1, 1974, it shall adopt such an ordinance or rule 
complying with state standards and criteria for municipal 
shoreland management, before July 1, 1975.  
    The commissioner may adopt an ordinance or rules for the 
municipality if: 
    (a) (1) a municipality has no ordinance or rule affecting 
the use and development of shoreland on April 1, 1974, and fails 
to adopt such an ordinance one by July 1, 1975, or if;  
    (b) (2) the corporate boundaries of the municipality are 
expanded to include shorelands not previously included within 
the municipal boundaries and the municipality fails to adopt 
such an ordinance within one year after including the shorelands 
within its municipal boundaries,; or if 
    (c) (3) the commissioner determines that a municipal 
shoreland management ordinance does not substantially comply 
with the state standards and criteria for municipal shoreland 
management and that the municipality has failed to make the 
necessary changes within one year after receiving notice of 
noncompliance, the commissioner may adopt an.  The ordinance or 
rules for the municipality must be adopted in the following 
manner.  The commissioner shall hold at least one public hearing 
on the proposed ordinance or rules in the manner provided in 
section 462.357, after giving notice as provided in under 
section 462.357.  The ordinance or rules are effective for the 
municipality on the date and in accordance with such any rules 
prescribed by the commissioner relating to compliance as the 
commissioner shall prescribe.  The ordinance shall must be 
enforced as provided in section 462.362.  The penalties provided 
in section 462.362 apply to violations of the ordinances or 
rules adopted for the municipality by the commissioner.  
    The costs incurred by the commissioner in adopting the 
ordinances or rules for the municipality shall must be paid by 
the municipality and collected from the municipality in the same 
manner as such just as costs are paid by a county and collected 
from a county pursuant to under subdivision 5; and.  Any Tax 
levied to pay the costs shall must be levied in excess of any 
limitation as to rate or amount, but shall must not cause reduce 
the amount of other taxes which that are subject to any 
limitation to be reduced in any amount whatsoever. 
    Subd. 7.  [MUNICIPAL USE OF LAND OTHER THAN SHORELAND.] 
Municipal planning and land use controls for land other than 
shoreland in the vicinity of shoreland shall must be, to the 
maximum extent practical, compatible with planning and land use 
controls for shoreland adopted pursuant to under subdivision 6. 
    Subd. 8.  [EXTENT OF AUTHORITY OF MUNICIPALITY.] Nothing in 
Laws 1973, chapter 379 shall be construed to This section does 
not prohibit a municipality from adopting and enforcing 
ordinances or rules affecting the use and development of 
shoreland which that are more restrictive than the state 
standards and criteria. 
    105.49 [COOPERATION WITH OTHER AGENCIES.] 
    The commissioner may cooperate and enter into agreements 
with the United States government, any a state department of the 
state of Minnesota, or any state or country adjacent to the 
state of Minnesota for the purpose of effecting any of the 
provisions of to carry out sections 105.37 to 105.55.  The 
commissioner may cooperate with any department of the government 
of the United States in the execution of surveys within the 
state.  
    Personnel of the pollution control agency, the health 
department, and county and municipal governments shall cooperate 
with the commissioner in monitoring and enforcing water 
permits.  It shall be the duty of all County attorneys, 
sheriffs, and other peace officers and other officers having 
authority to shall take all action to the extent of their 
authority, respectively, that may be necessary or proper for the 
enforcement of any of the provisions, rules, standards, orders, 
or permits specified in sections 105.37 to 105.55.  
    105.50 [COMMISSIONER TO APPEAR FOR STATE.] 
    The commissioner may appear, represent, and act for the 
state in any matter relating to any application to be made to 
the federal government relating to waters within the state or 
the their use thereof and may do and perform such acts in 
connection therewith as whatever the commissioner deems finds 
proper to protect the interests of the people of the state 
consistent with the provisions of sections 105.37 to 105.55.  
    105.51 [WELLS; CONTROL, REPORTS BY DRILLERS.] 
    Subdivision 1.  [WASTE PREVENTION REQUIRED.] For the 
conservation of the underground water supplies of the state, the 
commissioner is authorized to may require the owners of wells, 
especially flowing artesian wells, to prevent waste.  
    Subd. 2.  [DRILLING RECORDS.] Every A person, firm, or 
corporation who shall provide that provides the means of 
appropriating ground water by drilling, boring, or otherwise 
shall file a verified statement with the director of the 
division of waters containing the log of the materials and water 
encountered in connection therewith, together with all and 
related water pumping tests relating thereto.  Such The 
statements shall be are confidential and can be used only by the 
division for scientific study,.  The study's result of which may 
be public information.  The commissioner may exclude from the 
requirement to file such statements those whose operations are 
of a type which that would not yield significant scientific 
information.  
    Subd. 3.  [WELL ABANDONMENT.] It shall be unlawful for The 
owner of any a well having with a casing six inches or more in 
inside diameter to must not abandon such the well, or to cover 
or otherwise render the same it inaccessible for inspection, or 
to permanently remove the pumps therefrom from it without 
notifying the commissioner of natural resources and complying 
with the commissioner's recommendations relating thereto.  The 
commissioner may make such recommendations and impose such 
conditions as the commissioner may find finds advisable in the 
public interest.  The commissioner, or an authorized agent of 
the commissioner, shall be granted access at any reasonable time 
to inspect the site of any such well that has been abandoned, or 
for which notice of abandonment has been given under this 
subdivision.  
    105.52 [EXAMINATION AND REPAIR OF DAMS AND RESERVOIRS.] 
    Upon complaint or acting personally, the commissioner is 
authorized to may examine any a reservoir, dam, control 
structure, or waterway obstruction.  In so doing the 
commissioner, or an authorized agent, shall be granted access at 
any reasonable time to examine the reservoir, dam, control 
structure, or waterway obstruction.  If the commissioner 
determines that additional engineering investigations are 
necessary in order to determine the safety of the dam, 
reservoir, control structure, or waterway obstruction and the 
nature and extent of the necessary repairs or alterations, the 
commissioner shall notify the owner thereof to cause such have 
investigations to be made at the owner's expense and filed with 
the commissioner for use in determining the condition of the 
structures and the need for the their repair, alteration, or 
removal thereof. 
    If the commissioner determines that such the reservoir, 
dam, control structure, or waterway obstruction is unsafe or 
needs repair or alteration, the commissioner shall notify the 
its owner thereof to repair, alter, or remove the same it as 
the exigencies of the case may require necessary, and shall 
issue an order to that effect in the same manner and subject to 
the same conditions as if the owner had made application applied 
for permit for the said repairs, alterations, or removal.  The 
engineering investigations or the work of repair, alteration, or 
removal shall be commenced must begin and be completed 
within such a reasonable time as may be prescribed by the 
commissioner. 
    105.521 [DAM EXAMINATION REPORTS; LIMITATIONS ON TRANSFERS 
OF DAMS.] 
    No state department or agency and no county, city, town, or 
other governmental entity may purchase or accept as a gift any 
privately owned dam subject to permit requirements until after: 
    (1) the commissioner has examined the dam,; 
    (2) the commissioner has prepared a report of the 
examination and filed it with the legislature,; and 
    (3) the legislature has had an opportunity to consider the 
report and has not prohibited the purchase or gift during the 
legislative session in which the report is filed, or, if the 
report is filed when the legislature is not in session, the 
legislature has not prohibited the gift or purchase at the next 
succeeding session. 
    105.53 [APPLICATION.] 
    Sections 105.37 to 105.55 shall do not in any way supersede 
or amend the provisions of Minnesota Statutes 1945, sections 
92.45 and 110.13. 
    Nothing in Sections 105.37 to 105.55 shall do not authorize 
the commissioner to require a permit for the original 
construction of dams, reservoirs, or control works in existence 
on and prior to before July 1, 1937. 
    105.535 [RULES.] 
    The commissioner of natural resources shall promulgate 
adopt rules pursuant to under Laws 1978, chapter 779 by April 1, 
1979.  These rules shall must include provisions which that 
exclude from permit requirements, minor dams such as those less 
than six feet in height or which that impound less than 50 
acre-feet of storage at maximum storage elevations.  This does 
not apply to any such barrier which that is not in excess of six 
feet in height, regardless of storage capacity, or which that 
has a storage capacity at maximum water storage elevation not in 
excess of 15 acre-feet, regardless of height.  Rules shall must 
include a fee schedule to cover the cost of dam inspection and 
shall must classify structures to adequately define risks and 
hazards involved in relation to public health, safety, and 
welfare.  The rules shall may not impose a field inspection fee 
on any state agency, political subdivision of the state, or 
federal governmental agency. 
    105.541 [PENALTIES.] 
    Whoever does any of the following is guilty of a 
misdemeanor: 
    (1) undertakes or procures another to undertake an 
alteration in the course, current, or cross section of public 
waters or appropriates waters of the state without a permit from 
the commissioner previously obtained regardless of whether the 
commissioner would have granted a permit had an application been 
filed; 
    (2) undertakes or procures another to undertake an 
alteration in the course, current, or cross section of public 
waters or appropriates waters of the state in violation or in 
excess of authority granted pursuant to under a permit duly 
issued by the commissioner, regardless of whether an application 
had been filed for permission to perform the act involved, or 
whether the act involved would have been permitted had a proper 
application been filed; 
    (3) undertakes or procures another to undertake an 
alteration in the course, current, or cross section of public 
waters or appropriates waters of the state after a permit to 
undertake such the project has been denied by the commissioner; 
or 
    (4) violates any other provision of this chapter. 
    105.55 [COMMISSIONER'S ORDERS, ENFORCEMENT.] 
    Upon application of the commissioner, the district court of 
any a county in which the project is wholly or partially 
located, may by injunction, enforce the compliance with, or 
restrain the violation of, any order of the commissioner 
made pursuant to under sections 105.37 to 105.55, or restrain 
the violation of those sections.  
    105.63 [TRANSFER OF CUSTODY OF CERTAIN DAM AND WATER 
CONTROLS FROM STATE AGENCY.] 
    Subdivision 1.  [APPLICATION FOR TRANSFER.] Upon 
application by resolution of the governing body of any 
governmental subdivision of the state having authority 
authorized to maintain and operate dams or other control works 
affecting public waters, the commissioner of natural resources, 
hereinafter called the commissioner, with the approval of the 
executive council, may transfer to such the subdivision the 
custody of any such a dam or other water control works belonging 
to the state and under the supervision or control of the 
commissioner in any case where if the commissioner shall 
determine determines that the transfer will be in furtherance of 
promote the best interests of the public.  Such The transfer 
shall must be made by order of the commissioner upon such the 
terms and conditions as the commissioner shall prescribe 
respecting sets for maintenance and operation of the project.  
In connection with such the transfer the commissioner may convey 
to the transferee by deed or other appropriate instrument in the 
name of the state any lands, easements, or other state property 
of the state pertaining to the project, subject to such 
conditions and reservations as the commissioner may deem finds 
proper.  A duplicate of every order, conveyance, or other 
instrument executed by the commissioner in connection with a 
transfer shall must be filed with the commissioner of finance.  
    Subd. 2.  [ACTUAL TRANSFER.] A transfer may be made 
hereunder with or without payment of money consideration to the 
state, as may be agreed upon between the commissioner and the 
transferee.  Any amounts Payment received on account of such 
consideration shall must be paid into the general fund.  
    105.64 [DRAINAGE OR DIVERSION OF WATER TO FACILITATE FOR 
MINING.] 
    Subdivision 1.  [MINING PERMITS.] The commissioner of 
natural resources may grant permits for the drainage, diversion, 
control, or use of any waters under the commissioner's 
jurisdiction when necessary for the mining of iron ore, 
taconite, copper, copper-nickel, or nickel, wherever situated, 
as herein provided in this section.  
    Subd. 2.  [APPLICATION.] Application for such a permit 
shall must be made to the commissioner in such the form as the 
commissioner shall prescribe prescribes by the owner of the iron 
ore, taconite, copper, copper-nickel, or nickel deposits 
affected or by the owner of the right to mine the same them.  
Except as otherwise herein provided, all matters pertaining to 
such the application, to the proceedings thereon on it, and to 
any permit issued thereon shall be on it are governed by the 
applicable provisions of sections 105.37 to 105.55 relating to 
applications and permits affecting waters, so far as applicable. 
    Subd. 3.  [GRANT.] A permit shall be granted hereunder only 
upon determination by when the commissioner of the following 
conditions determines: 
    (1) that the proposed drainage, diversion, control, or use 
of waters will be necessary for the mining of substantial 
deposits of iron ore, taconite, copper, copper-nickel or nickel, 
and that no other feasible and economical method therefor of 
mining is reasonably available; 
    (2) that the proposed drainage, diversion, control, or use 
of waters will not substantially impair the interests of the 
public in lands or waters or the substantial beneficial public 
use thereof of lands or waters except as expressly authorized in 
the permit, and will not endanger public health or safety; and 
    (3) that the proposed mining operations will be in the 
public interest, and that the resulting public benefits 
resulting therefrom will be sufficient to warrant the proposed 
drainage, diversion, or control of waters.  
    Subd. 4.  [OPERATION.] In any case where If the operations 
authorized by a permit hereunder may affect any public or 
private property not owned by the permittee, before proceeding 
with such the operations, the permittee shall acquire all rights 
or easements necessary therefor for them, shall pay or furnish 
give security for the payment of all damages to such the 
property that may result therefrom from the operations, and 
shall furnish give such evidence of compliance with the 
provisions hereof this subdivision as the commissioner may 
require.  Neither The state nor any of and its officers, agents, 
or employees shall do not incur any liability on account of the 
issuance of a permit hereunder or on account of any act or 
omission of the permittee, or the permittee's agents or 
servants, under or in connection with any such the permit. 
    Subd. 5.  [DURATION OF MINING.] Notwithstanding any other 
limitations prescribed by law, every a permit hereunder shall be 
granted for such a term as the commissioner shall find finds 
necessary for the completion of the proposed mining operations, 
and the commissioner may allow and prescribe in the permit such 
a time as the commissioner deems reasonable for the commencement 
or completion of any operations or construction under the permit 
or the exercise of the rights granted thereby by it.  The 
commissioner may extend the original term of the permit or the 
time allowed for the performance of any condition thereof may be 
extended by the commissioner its conditions for good cause shown 
upon application of the permittee.  In any a permit issued 
hereunder, the commissioner may prescribe such conditions as the 
commissioner deems finds necessary and practicable for 
restoration of restoring the waters affected to their former 
condition after completion of the mining operations or after 
expiration or cancellation of the permit, and.  The commissioner 
may also prescribe such other conditions as the commissioner 
deems necessary for protection of to protect the public health, 
safety, and welfare, and may require the permittee to furnish a 
bond to the state, in such an appropriate form and amount as the 
commissioner deems appropriate, as security for compliance with 
the conditions of the permit and all applicable provisions of 
law.  
    Subd. 6.  [IRREVOCABILITY.] Every A permit issued hereunder 
under this section shall be is irrevocable for the term thereof 
of the permit and for any extension of such the term except as 
follows: 
    (1) A permit may be modified or canceled by the 
commissioner at the request or with the consent of the permittee 
upon such conditions as the commissioner deems finds necessary 
for protection of to protect the public interests;. 
    (2) Subject to appeal in the manner provided by according 
to sections 105.37 to 105.55, the commissioner may modify or 
cancel a permit may be modified or canceled by the commissioner 
in case of any breach of the terms or conditions thereof or in 
case of any violation of law pertaining thereto by the 
permittee, or the permittee's agents or servants, or in 
case if:  (i) the permittee or its servants or agents breach the 
permit's terms or conditions or violate pertinent law; or (ii) 
the commissioner finds such the modification or cancellation 
necessary to protect the public health or safety, or to protect 
the public interests in lands or waters against substantial 
injury resulting in any manner or to any extent not expressly 
authorized by the permit, or to prevent substantial injury to 
persons or property resulting in any manner or to any extent not 
so authorized,.  The commissioner may modify or cancel the 
permit upon at least 30 days' written notice to the permittee, 
stating the grounds of the proposed modification or cancellation 
and giving the permittee an opportunity to be heard thereon;. 
    (3) By written order to the permittee the commissioner may 
forthwith immediately suspend operations under a permit if 
necessary in an emergency to protect the public health or safety 
or to protect public interests in lands or waters against 
imminent danger of substantial injury in any manner or to any 
extent not expressly authorized by the permit, or to protect 
persons or property against such the danger, and may require the 
permittee to take any measures necessary to prevent or 
remedy such the injury; provided, that.  No such order shall 
be may remain in effect for more than 30 days from the 
date thereof of the order without giving the permittee at least 
ten days' written notice of such the order and an opportunity to 
be heard thereon on it.  
    Subd. 7.  [EFFECT ON OTHER LAW.] This section shall does 
not amend, supersede, or repeal any existing law, but shall be 
is supplementary thereto to it. 
    105.71 [WATER RESOURCES BOARD.] 
    Subdivision 1.  [CREATION.] There is hereby established to 
serve as an agency of the state a board to be known as The 
Minnesota Water Resources Board is established as a state agency 
to perform such functions and duties as shall be prescribed by 
law.  The board shall must be composed of three members who are 
conversant with water problems and conditions within the 
watersheds of this state and who are not officers or employees 
of the state, the federal government or any political 
subdivisions thereof, to.  The members must be appointed by the 
governor with the advice and consent of the senate.  The 
membership of said the board may be increased by the governor to 
five members.  The additional members shall must have the same 
qualifications and be appointed in the same manner way as the 
members of the original board. 
    The board shall keep a record of its official actions, and 
may perform such acts, hold such public hearings, and promulgate 
such rules as may be necessary for the discharge of its duties 
and the exercise of its functions. 
    Subd. 1a.  [MEMBERSHIP.] The membership terms, 
compensation, removal of members, and filling of vacancies on 
the board shall be as provided in section 15.0575. 
    Subd. 2.  [POWERS.] The state board may employ such 
technical and professional personnel and such other agents and 
employees, permanent or temporary, as it may require requires, 
and shall determine their qualifications and duties.  
Compensation of employees shall must be determined pursuant to 
under chapter 43A.  It shall have authority to The board may 
prescribe the powers and duties of its officers and employees. 
    Upon On request of the board for the purpose of carrying 
out any of its functions, the supervising officer of any state 
agency, or any state institution of learning, shall, insofar as 
it may be possible under available appropriations, and having 
due regard to the agency's or institution's needs of the agency 
to which the request is directed, assign or detail to the state 
board from the staff or personnel of the agency or institution 
of learning, and make such any special reports, surveys, or 
studies as the state board may request requests. 
    Subd. 3.  [BUSINESS.] The board shall designate its chair, 
and may annually from time to time change such the designation. 
    A majority of the board shall constitute is a quorum, and.  
The concurrence of a majority in any matter within their 
duties shall be is required for a determination. 
    In connection with their duties as members of the board, 
The board shall provide for the keeping of have a full and 
accurate record kept of all proceedings and of all resolutions, 
rules, and orders issued or adopted. 
    The commissioner of administration shall provide and make 
available within the department of natural resources suitable 
and adequate office facilities and space for the board.  The 
legislative auditor shall annually audit the books of the board 
if funds and personnel permit. 
    105.72 [DECLARATION OF POLICY.] 
    The code of water law of Minnesota is contained in numerous 
statutes enacted from time to time, which that must be 
considered as a whole to effect a systematic administration of 
systematically administer water policy for the public welfare.  
Seeming contradictions in these laws when applied in a specific 
proceeding create a need for a forum where the conflicting 
aspects of public interest conflicts involved can be presented 
and by consideration of the whole body of water law the 
controlling policy can be determined and apparent 
inconsistencies resolved.  
    105.73 [DEFINITIONS.] 
    Subdivision 1.  [SCOPE.] Unless the context clearly 
indicates a different meaning is intended, the following terms 
for the purposes of this chapter shall be given used in sections 
105.72 to 105.78 have the meanings ascribed to given them in 
this section.  
    Subd. 2.  [BOARD.] "Board" -- means the Minnesota water 
resources board.  
    Subd. 3.  [PROCEEDING.] "Proceeding" -- Any means a 
procedure under any of the laws enumerated listed in section 
105.74 however administrative discretion or duty thereunder 
under them may be invoked in any instance.  
    Subd. 4.  [AGENCY.] "Agency" -- Any means a state 
officer, board, commission, bureau, division, or agency, other 
than a court, exercising duty or authority under any of the laws 
enumerated listed in section 105.74.  
    Subd. 5.  [COURT.] "Court" -- The court means the district 
court or a judge thereof of the district court before whom the 
proceedings are proceeding is pending.  
    Subd. 6.  [QUESTION OF WATER POLICY.] "Question of water 
policy" -- means the question or questions of state water law 
and policy involved where use, disposal, pollution, or 
conservation of water is a purpose, incident, or factor in a 
proceeding, the question or questions of state water law and 
policy involved, including either: 
    (a) (1) determination of the governing policy of state law 
in the proceeding, resolving apparent inconsistencies between 
different statutes,; 
    (b) (2) the proper application of that policy to facts in 
the proceeding when application is a matter of administrative 
discretion,; or 
    (3) both (a) (1) and (b) (2).  
    105.74 [ADDITIONAL DUTIES OF BOARD DUTIES; WATER POLICY 
QUESTIONS.] 
    In addition to other duties elsewhere prescribed, the board 
has the function defined in sections 105.72 to 105.79 when the 
decision of the agency in a proceeding involves a question of 
water policy in one or more of the areas of water conservation, 
water pollution, preservation and management of wildlife, 
drainage, soil conservation, public recreation, forest 
management, and municipal planning under any of the following:  
sections 84.57, 97A.135, 105.41, 105.42, 105.43, 105.44, 105.64, 
106A.011, 106A.015, 115.04, 115.05, and chapter 110. 
    105.75 [PETITION FOR INTERVENTION.] 
    Subdivision 1.  [INTERVENTION INVOKED.] The board's 
intervention is invoked by a petition addressed to it for 
referral of a question of water policy involved in the 
proceeding.  The petition must identify the proceeding in which 
it is made and state the grounds for referral generally but in 
sufficient detail to inform interested parties of the nature of 
the questions proposed to be presented to the board and the 
public importance thereof of the questions.  
    Subd. 2.  [CONTENTS.] This petition can be made by the 
applicant in the proceeding, by any party thereto to the 
proceeding, the governor, the agency, the commissioner or 
director of any a division in the department of natural 
resources, the head of any other another state department of 
state, any a bureau or division of the federal government a 
function of which includes with a concern in the proceeding, and 
any an organization or group of persons of appropriate purpose, 
or person, the board deems considers representative of any 
substantial segment of the state or peculiarly able to present 
evidence bearing on the public interest.  The petition must be 
signed by the petitioner's attorney or verified by the 
petitioner, or on behalf of the petitioner by any of its 
officers, shall.  It must be filed in duplicate, one counterpart 
copy with the board, the other with the agency.  
    Subd. 3.  [TIMING.] The intervention of the board can be 
invoked by this petition in any proceeding at any time after the 
proceeding is initiated and before the agency's order is made.  
    105.751 [COURT REFERRALS.] 
    The court may refer any a procedure before it under any of 
the laws enumerated listed in section 105.74, to the board.  
This referral may be used in both original and appellate 
matters; it may be invoked by a petition of the court directed 
to the board.  Any A party to the procedure may request ask the 
court to refer the matter to the board.  Upon receipt of On 
receiving a petition for referral the board shall proceed 
under the provisions of sections 105.72 to 105.79. 
    105.76 [PETITION ABATES PROCEEDING UNTIL BOARD ACTS.] 
    A filed petition abates the proceeding until there is a 
recommendation by the board or until 60 days have elapsed passed 
after conclusion of hearing before the board, whichever is 
earlier, unless the agency makes a written finding in writing 
with a statement of stating reasons that the public interest 
requires immediate action by it the board to act immediately.  
In all cases the board or its staff according to its rules 
decides whether the petition and the record made before the 
agency show an important question of water policy.  If the 
decision on that question is negative it refuses to intervene, 
and the proceeding continues in the agency as though the 
petition had not been made;.  If the decision is affirmative and 
the board believes its intervention in the public interest is 
justified, it consents to intervene.  Consent is shown by a 
brief statement in general terms of the questions of public 
policy it will consider.  
    105.77 [HEARING, DETERMINATION.] 
    As a petition is filed the board proceeds with all 
reasonable dispatch to hear, determine, and make its 
recommendations on the questions it has consented to consider.  
The hearings are so conducted that the board may be fully 
informed about all aspects of the public interest in those 
questions, to the end that its recommendation will state in 
order to make an impartial, scientific, and fully considered 
judgment.  The recommendation of the board is its decision on 
the question of water policy considered by it;.  The ultimate 
question to which the board's recommendation is directed in all 
cases is the proper course of action to be followed by the 
agency in the proceeding in relation to questions of water 
policy considered by the board.  The decision of the board is in 
the form of a written recommendation to the agency;.  It must 
recite controlling facts in sufficient enough detail to apprise 
tell the parties, the agency, and a reviewing court of the basis 
and reason therefor for the decision.  In the proceeding and 
upon any judicial review the recommendation is evidence.  A 
copy, certified, is competent evidence of the recommendation.  
    105.78 [CONSENT, NOTICE AND PROCEDURE.] 
    When a consent, notice, or recommendation is made by the 
board a copy is filed with the agency, and such.  The filing is 
notice thereof of the board's action.  The board's rules may 
provide for a notice, in addition to such filing by mail, 
posting, publication, or otherwise, which it deems believes will 
practically give information to inform parties and interested 
persons of its actions.  For the purposes of carrying out the 
provisions of To carry out sections 105.72 to 105.79, the chair 
of the board, or any board member thereof, has the power to may 
subpoena witnesses, to administer oaths, and to compel the 
production of books, records, and other evidence.  Disobedience 
of any such a subpoena, or refusal to be sworn, or to answer as 
a witness, shall be is punishable as a contempt of the district 
court on complaint of the board, or any board member thereof, 
before the district court of the county where such disobedience 
or refusal it occurred.  Witnesses receive the same fees and 
mileage as in civil actions.  All Persons are sworn before 
testifying and the right to examine or cross-examine is the same 
as in civil actions.  All Hearings are public, conducted by the 
board or any an authorized board member thereof, and all 
affected persons have the opportunity to be heard.  The board 
provides a stenographer to take the testimony, and all 
proceedings at the hearings are recorded and preserved.  All 
Hearings are conducted insofar as practicable in the same manner 
way as civil actions.  It is proper for the divisions of State 
government and the agencies thereof to may adopt opposite 
positions in respect to on the matter before the board when full 
advocacy will assist to disclose the public interest.  
    105.79 [FINDINGS BY BOARD.] 
    Within 60 days of the close of any a hearing the board 
makes its findings and recommendations based solely on the 
evidence adduced at the public hearing. 
    105.81 [PETITION; BOND; INVESTIGATION; REPORT; HEARING; 
ORDER.] 
    For the purpose of conserving and making To conserve and 
make more adequate use of our water resources, any person, 
public or municipal corporation, governmental subdivision, the 
state or any of its departments or agencies, the commissioner of 
natural resources, and the United States or any of its agencies, 
may petition the county board in the case of a system lying 
wholly within one county or the district court in the case of a 
drainage system affecting two or more counties for the 
installation of dams or other control works in said ditches 
drainage ditch systems to impound or divert waters for any 
beneficial use.  The petition must be directed to the county 
board when a drainage system is wholly within one county and to 
the joint county board when the system affects two or more 
counties.  Said The petition shall must contain the location 
of the installation, plans, and specifications for the proposed 
structure, and a map of the areas likely to be affected by the 
impoundment or diversion.  The petitioner shall agree to be 
responsible for the cost of installation and construction of the 
structure.  Upon filing of the petition, the petitioners shall 
file a bond as provided in sections 106A.205 and 106A.211.  No 
bond shall be is required if the petition is filed by the state, 
any of its departments or agencies, the commissioner of natural 
resources, the United States or any of its agencies, and 
cities.  Said The petition shall must also be accompanied by a 
permit from the commissioner of natural resources as required in 
sections 105.41 and 105.42.  
    On receipt of the petition, bond, and permit, if required, 
the board or court shall appoint an engineer to investigate the 
effect of the proposed installation and file a report of 
findings.  Upon filing of the engineer's report, notice shall 
must be given and a public hearing held as provided in section 
106A.261.  If at this hearing it appears from the engineer's 
report and other evidence presented that such the installation 
will be of a public or private benefit and that it will not 
impair the utility of the ditch or deprive affected land owners 
of the its benefit thereof, the board or court shall issue a 
permit authorizing its installation.  Before installing or 
constructing any an impoundment or diversion, the petitioner 
shall obtain such rights-of-way and flowage easements from all 
owners of land to be affected thereby by it. 
    The order of the court modifying the ditch system shall 
must provide that all construction and subsequent later 
maintenance and repairs of the ditch modification shall must be 
done and performed by the petitioner without any cost to the 
owners of lands and properties previously within the drainage 
system. 

                                ARTICLE 3
    Section 1.  Minnesota Statutes 1986, chapter 112, is 
amended to read:  
    112.34 [WATERSHED ACT; DECLARATION OF POLICY, CITATION.] 
    Subdivision 1.  [POLICY.] In order to carry out 
conservation of To conserve the natural resources of the state 
through land utilization use, flood control and other needs upon 
on sound scientific principles for the protection of the public 
health and welfare and the provident use of the natural 
resources, the establishment of a public corporation, as an 
agency of the state for the aforesaid purposes, is provided in, 
may be established under this chapter of Minnesota Statutes.  
This chapter shall must be construed and administered so as to 
make effective these purposes effective.  
    Subd. 2.  [CITATION.] This chapter shall be known and may 
be cited as the "Minnesota watershed act."  
    112.35 [DEFINITIONS.] 
    Subdivision 1.  [APPLICABILITY.] For the purposes of this 
chapter The terms defined in this section chapter have the 
meanings ascribed to given them in this section.  
    Subd. 2.  [PERSON.] "Person" includes firm, copartnership, 
association, or corporation but does not include public or 
political subdivision.  
    Subd. 3.  [PUBLIC CORPORATION.] "Public corporation" means 
a county, town, school district, or a political division or 
subdivision of the state.  Public corporation, except where the 
context clearly indicates otherwise, does not mean a watershed 
district.  
    Subd. 4.  [BOARD.] "Board" means the Minnesota water 
resources board established by section 105.71. 
    Subd. 5.  [MANAGERS.] "Managers" means the board of 
managers of a watershed district.  
    Subd. 6.  [PUBLICATION.] "Publication" means publication 
once a week for two successive weeks in accordance with section 
645.11.  
    Subd. 7.  [PUBLIC HEALTH.] "Public health" includes means 
any act or thing tending to improve the general sanitary 
conditions of the district.  
    Subd. 8.  [PUBLIC WELFARE.] "Public welfare," "general 
welfare," and "public benefit" include mean any act or thing 
tending to improve or benefit or contribute to the safety or 
well-being of the general public or benefit the inhabitants of 
the district. 
    Subd. 9.  [COUNTY AUDITOR.] "County auditor" means the 
county auditor of any county affected by a watershed district.  
    Subd. 10.  [COURT ADMINISTRATOR.] "Court administrator" 
means the court administrator of the district court of the 
county in which any a judicial proceeding concerning a district 
is pending.  
    Subd. 11.  [ENGINEER.] "Engineer" means the engineer 
designated by the managers to act as engineer.  
    Subd. 12.  [APPRAISERS.] "Appraisers" means the persons 
appointed by the managers of the district to ascertain and 
report benefits and damages arising from proposed work.  
    Subd. 13.  [DIRECTOR.] "Director" means the director of the 
division of waters, soils and minerals of the department of 
natural resources.  
    Subd. 14.  [COMMISSIONER.] "Commissioner" means the 
commissioner of natural resources.  
    Subd. 15.  [PETITION.] "Petition" means an initiating 
petition for "work", and may consist of one or more 
petitions therefor.  
    Subd. 16.  [NOMINATING PETITION.] "Nominating petition" 
means an initiating petition for the creation of a watershed 
district, and may consist of one or more petitions therefor.  
    Subd. 17.  [HEARING.] "Hearing" means a hearing conducted 
by either the managers or the board, which, if conducted by the 
board pursuant to under its rules promulgated by it, may be 
formal, provided, however, that.  All interested parties shall 
must be given a reasonable opportunity to be heard.  
    Subd. 18.  [INTERESTED PARTY.] "Interested party" means any 
public corporation or any person having with an interest in the 
subject matter pending or involved, and shall include.  
"Interested party" includes the director or any agency of 
government.  
    Subd. 19.  [PROJECT.] "Project" or "projects" means any 
construction, maintenance, repairs, or improvements of a 
watershed district including planning and development to 
accomplish any of the purposes a purpose for which a district is 
organized. 
    Subd. 20.  [NOTICE BY MAIL; MAILED NOTICE.] "Notice by 
mail" or "mailed notice" means a notice mailed and addressed to 
each person entitled to receive notice if the address be is 
known to the auditor or court administrator, or can 
be ascertained by inquiry obtained at the office of the county 
treasurer of the county wherein where the affected land or 
property is located.  
    Subd. 21.  [RESIDENT OWNER; RESIDENT FREEHOLDER.] "Resident 
owner" or "resident freeholder" means the owner of land or the 
contract purchaser, and who resides in the state.  
    Subd. 22.  [METROPOLITAN AREA.] "Metropolitan area" has the 
meaning given in section 473.121, subdivision 2.  
    112.36 [ESTABLISHMENT OF DISTRICTS.] 
    Subdivision 1.  [GENERAL POWER.] The board is hereby vested 
with has jurisdiction, power, and authority, upon filing of a 
nominating petition, to establish a watershed district and 
define and fix the its boundaries thereof,.  All areas of 
which shall included in the district must be contiguous and 
which.  The district may be entirely within or partly within and 
partly without outside any county, and.  The district may 
include the whole or any part of any watershed or watersheds 
within the discretion of the board and.  The district may 
include the whole or any part of one or more counties, and to 
appoint.  The board appoints the first board of managers thereof 
of the watershed district, as herein provided in this chapter. 
    Subd. 2.  [PURPOSES OF DISTRICT.] A watershed district may 
be established for any or all of the following conservation 
purposes: 
    (1) control or alleviation of lessen damage by flood waters;
    (2) improvement of improve stream channels for drainage, 
navigation, and any other public purpose; 
    (3) reclaiming reclaim or filling fill wet and overflowed 
lands; 
    (4) providing provide water supply for irrigation; 
    (5) regulating regulate the flow of streams and conserving 
the conserve their waters thereof; 
    (6) diverting divert or changing change watercourses in 
whole or in part; 
    (7) providing provide and conserving conserve water supply 
for domestic, industrial, recreational, agricultural, or other 
public use; 
    (8) providing provide for sanitation and public health and 
regulating regulate the use of streams, ditches, or watercourses 
for the purpose of disposing disposal of waste; 
    (9) repair, improve, relocate, modify, consolidate, and 
abandon, in whole or in part, drainage systems within a 
watershed district; 
    (10) imposition of impose preventive or remedial measures 
for the to control or alleviation of reduce land and soil 
erosion and siltation of watercourses or bodies of water 
affected thereby by erosion; 
    (11) regulating regulate improvements by riparian 
landowners of the beds, banks, and shores of lakes, streams, and 
marshes by permit or otherwise in order to preserve the same 
them for beneficial use;  
    (12) providing provide for the generation of hydroelectric 
power;  
    (13) protecting protect or enhancing enhance the quality of 
water in watercourses or bodies of water; and 
    (14) providing for the protection of protect groundwater 
and regulating groundwater regulate its use to preserve 
groundwater it for beneficial use. 
    112.37 [PROCEDURE FOR ESTABLISHMENT.] 
    Subdivision 1.  [SIGNERS OF PETITION.] To begin proceedings 
for the establishment of to establish a watershed district shall 
be initiated by the filing of, a nominating petition must be 
filed with the secretary of the board.  The nominating 
petition shall must be signed by any one of the following groups:
    (1) at least one-half of the counties within the proposed 
district; or 
    (2) by a county or counties having at least 50 percent of 
the area within the proposed district; or 
    (3) by a majority of the cities within the proposed 
district; or 
    (4) by at least 50 resident freeholders of the proposed 
district, exclusive of the except resident freeholders within 
the corporate limits of any a city on whose behalf the 
authorized official has signed the petition. 
    Subd. 1a.  [CONTENTS OF PETITION.] The nominating 
petition shall set forth the following must include: 
    (1) the name of the proposed district and a statement in 
general terms setting forth the its territory to be included in 
the district; 
    (2) the necessity for the district, the contemplated 
improvements within the district in it, and the reasons why the 
district and the contemplated improvements would be conducive to 
public health and public welfare, or accomplish any of the 
purposes purpose of this chapter; 
    (3) the number of managers manager positions proposed for 
the district shall be not less than three nor more than nine, 
and shall be selected from a list of nominees containing at 
least twice the number of managers to be selected.  No manager 
shall be a public officer of the county, state, or federal 
government, provided that a soil and water conservation 
supervisor may be a manager and a list of nominees; 
    (4) a map of the proposed district; and, 
    (5) a request for the establishment of the district as 
proposed. 
    At least three but not more than nine manager positions 
must be proposed.  Managers must be chosen from a list of 
nominees containing at least twice the number to be chosen.  A 
manager must not be a public officer of the county, state, or 
federal government, except that a soil and water conservation 
supervisor may be a manager. 
    Subd. 1b.  [PERSONS SERVED WITH PETITION.] The petitioners 
shall cause to be have a copy of the petition served upon on the 
county auditor or auditors of the counties affected by the 
proposed district, the commissioner, and the director, a copy of 
the nominating petition, and.  Proof of service shall must be 
attached to the original petition, to be and filed with the 
secretary of the board. 
    Subd. 2.  [COUNTY AUDITOR'S SEARCH OF TAX RECORDS.] Upon 
receipt of On receiving a copy of such the nominating petition 
the county auditor or auditors, as the case may be, shall 
determine whether or not the petitioners are freeholders, 
which.  The determination shall must be made upon from the 
tax records, which shall be are prima facie evidence of 
ownership, and from which.  The auditor shall certify a the 
determination to the board.  
    Subd. 3.  [DIRECTOR'S MAP AND REPORT.] Upon receipt of On 
receiving a copy of the nominating petition, the director shall: 
    (1) acknowledge its receipt thereof to the board; 
    (2) prepare a preliminary watershed map of the proposed 
district showing the its natural boundaries and subdivisions 
thereof; 
    (3) prepare a preliminary report based upon on the 
nominating petition and other available data, stating an opinion 
as to about the desirability of organizing the district, and 
submit the report to the board with such any recommendation as 
the director may deem considers proper, which.  The report 
shall must be submitted to the board within 30 days from the 
date of the service of the petition upon the director, 
unless such the board extends the time is extended by the board. 
    Subd. 5.  [PETITION CORRECTIONS; CONSOLIDATION.] No 
petition containing the requisite number of signatures or 
petitioners or signed by the requisite number of counties or 
cities shall be void or dismissed on account of any defects 
therein, but the board shall, at any time prior to.  Before the 
close of hearing, the board shall permit the petition to be 
amended in form and substance to conform to the facts by 
correcting correct any errors in the description of the 
territory or by supplying any other defects therein.  Several 
similar petitions, or duplicate copies of the same petition, for 
the establishment of the same district may be filed together and 
altogether be regarded as one petition.  All petitions 
filed prior to before the hearing hereinafter provided in 
section 112.38 shall be considered by the board as part of the 
original petition.  
    After a petition has been filed, no petitioner may withdraw 
therefrom except with from it without the written consent of all 
other petitioners filed with the water resources board.  
    Subd. 7.  [METRO AREA DISTRICT; MANAGERS.] The managers of 
In a district wholly within the metropolitan area shall number 
not less than there must be at least five nor and not more than 
nine managers.  The managers shall They must be selected 
chosen to fairly represent by residence the various hydrologic 
areas within the district.  They shall must be selected chosen 
from a list of persons nominated jointly or severally by 
statutory and home rule charter cities and towns having 
territory within the district.  The list shall must contain at 
least three nominees for each position to be filled.  If the 
cities and towns fail to nominate in accordance with this 
subdivision, the managers shall must be selected chosen as 
provided in subdivision 1a.  
    112.38 [HEARING,; NOTICE.] 
    When it has been made to appear appears to the board that a 
sufficient nominating petition has been filed, the board shall, 
within 35 days thereafter, by its order, fix a time and place, 
within the limits of the proposed district, for a hearing 
thereon; provided that on it.  The place of hearing must be 
within the district limits.  If there is not a no suitable place 
within the proposed district, the board may select a place 
within the limits of the county or counties in which publication 
of the notice of the hearing is required.  The board must 
publish notice of such the hearing shall be given by the board 
by publication published once each week for two successive weeks 
prior to before the date of hearing.  The notice must be 
published in a legal newspaper, published in the county or 
counties in which a part or all of the affected waters and lands 
are located,.  The last publication shall must occur at least 
ten days before the hearing.  Notice shall must also be mailed 
by the board to the county auditor and to the chief executive 
official of any municipality affected, which.  The mailed notice 
shall must contain the following: 
    (1)  a statement that a nominating petition has been filed 
with the board, and a copy thereof filed with the county auditor 
auditors of the county or counties affected; 
    (2) a general description of the purpose of the 
contemplated improvement, and the territory to be included in 
the proposed district; 
    (3) the date, time, and place of hearing,; and 
    (4) a statement that all persons affected thereby or 
interested therein may appear and be heard.  
    112.39 [ACTION OF BOARD UPON PETITION.] 
    Subdivision 1.  [HEARING.] At the time and place fixed for 
the hearing on the nominating petition, all persons interested 
in or affected by the proposed watershed district shall must be 
given an opportunity to be heard.  The board may continue the 
hearing from time to time as it may deem finds necessary. 
    Subd. 2.  [WITNESSES; PROCEEDINGS.] For the purpose of 
carrying out To carry out the provisions of this chapter and to 
hold hearings, the chair of the board, or any board member 
thereof, shall have the power to may subpoena witnesses, to 
administer oaths, and to compel the production of books, 
records, and other evidence.  Witnesses shall receive the same 
fees and mileage as in civil actions.  All persons shall must be 
sworn before testifying, and.  The right to examine and 
cross-examine witnesses shall be is the same as in civil actions.
The board shall cause make a record of all proceedings before it 
to be made and filed file it with the secretary of the board.  
Copies thereof of the record may be obtained upon such terms and 
conditions as the board shall prescribe prescribes.  
    Subd. 3.  [FINDINGS AND ORDER.] Upon the hearing if it 
appears to the board that the establishment of a district 
as prayed asked for in the nominating petition would be for the 
public welfare and public interest, and that would serve the 
purpose of this chapter would be subserved by the establishment 
of a watershed district, the board shall, by its findings and 
order, establish a watershed district and give it a corporate 
name by which, in all proceedings, it shall thereafter be known, 
and upon filing.  When a certified copy of said the findings and 
order is filed with the secretary of state such, the watershed 
district shall become becomes a political subdivision of the 
state and a public corporation, with the authority, power, and 
duties as prescribed in this chapter.  
    Subd. 4.  [FINDINGS AND ORDER; LATER CHANGES.] The findings 
and order of the board shall must name the first board of 
managers of the district whose.  Their term of office shall be 
for one year, and until their successors are appointed and 
qualified, and shall.  The finding and order must designate the 
place within the district where the principal place of business 
of the district shall be is located, and define the boundaries 
of the district, which.  
    The boundaries may be changed upon a by petition 
therefor,.  The petition must be signed and as provided in 
section 112.37, subdivision 1 or signed by the board of managers 
of a watershed district upon after passage of a resolution duly 
passed authorizing the same petition, and a notice and 
hearing thereon on it, in the same manner way as in the original 
proceeding.  Whenever When a petition for a boundary change 
involves a common boundary of two or more watershed districts 
the board may determine in which district the hearing shall must 
be held.  
    The managers may change the principal place of business may 
be changed within the district by the managers upon by passing a 
resolution duly passed authorizing the same, with a notice 
change and conducting a hearing to be conducted by the 
managers.  The managers must publish notice of such the hearing 
shall be given by the managers of publication published once 
each week for two successive weeks prior to before the date of 
hearing in a legal newspaper, published in the county or 
counties in which a part or all of the affected waters and lands 
are located,.  The last publication shall occur must be at least 
ten days before the hearing.  Notice of hearing shall must be 
mailed to the county auditor of each county affected ten days 
before the hearing.  After the hearing the managers may order 
the change in place of business which shall be.  The change is 
effective upon the filing of when a certified copy thereof of 
the order is filed with the secretary of state and the secretary 
of the board.  
    Subd. 5.  [COPIES MAILED.] A copy of the findings and order 
shall, at the time of filing a When the certified copy thereof 
of the board's findings and order is filed with the secretary of 
state, a copy must be mailed to the county auditor of each 
county affected, the commissioner, and director.  
    Subd. 6.  [ORDER TO DISMISS.] If the board should determine 
finds that the establishment of a the district as prayed for in 
the nominating petition would not be for the public welfare and 
public interest, and would not serve the purpose of this 
chapter, the board shall, by its decision, dismiss the 
proceedings.  A copy of such the dismissal order shall must be 
forthwith mailed immediately to the county auditor of each 
county affected, and to the commissioner, and director.  
    112.40 [RULES OF PRACTICE.] 
    The board shall adopt rules of practice for its proceedings 
and hearings, not inconsistent with the provisions of this 
chapter and other provisions of law, as it deems finds necessary 
and expedient.  The rules must be consistent with this chapter 
and other law.  
    112.401 [BOARD HEARINGS.] 
    Subdivision 1.  [PROCEDURE.] (a) A rulemaking hearing shall 
must be conducted under chapter 14.  
    (b) A hearing must be conducted as a contested case under 
the provisions of chapter 14 if the hearing is:  
    (1) in a proceeding to establish or terminate a watershed 
district; or 
    (2) of an appeal under section 112.801.  
    (c) Notwithstanding chapter 14, other hearings under this 
chapter, except hearings under paragraphs (a) and (b), shall 
must be conducted by the board under this section.  The board 
may refer the hearing to one or more members of the board, or an 
administrative law judge to hear evidence and make findings of 
fact and report them to the board. 
    Subd. 2.  [PROCEDURE FOR NONCONTROVERSIAL PLANS OR 
PETITIONS.] (a) If the board finds that a watershed plan or 
petition that would be given a hearing under subdivision 1, 
paragraph (c), is noncontroversial, the board may proceed under 
this subdivision.  
    (b) The board must give notice that the plan or petition 
has been filed.  The notice must be made:  
    (1) by publication once each week for two successive weeks 
in a legal newspaper in each county affected; 
    (2) by mail to the county auditor of each county affected; 
and 
     (3) by mail to the chief official of each home rule charter 
and statutory city affected.  
    (c) The notice: 
    (1) must describe the actions proposed by the plan or 
petition; 
    (2) invite written comments on the plan or petition for 
consideration by the board; 
    (3) state that a person who objects to the actions proposed 
in the plan or petition may submit a written request for hearing 
to the board within 30 days of the last publication of the 
notice of filing of the plan or petition; and 
    (4) state that if a timely request for hearing is not 
received, the board may make a decision on the plan or petition 
at a future meeting of the board. 
    (d) If one or more timely requests for hearing are 
received, the board must hold a hearing on the plan or petition. 
    Subd. 3.  [APPEAL.] A party that is aggrieved by the 
decision made by the order of the board may appeal the order to 
the district court. 
    112.41 [PERPETUAL EXISTENCE.] 
    A district created under the provisions of this chapter 
shall have has perpetual existence with power, but only.  To the 
extent necessary for lawful conservation purposes, to it may:  
    (1) sue and be sued, to; 
    (2) incur debts, liabilities, and obligations, to; 
    (3) exercise the power of eminent domain, to;  
    (4) provide for assessments, and to; 
    (5) issue certificates, warrants, and bonds and; 
    (6) do and perform all acts herein anything expressly 
authorized, in this chapter; and all other acts 
     (7) do anything else necessary and proper for carrying out 
and exercising the to exercise its express powers expressly 
vested in it.  
    112.411 [PROCEDURE FOR TERMINATION.] 
    Subdivision 1.  [PETITION CONTENTS.] Proceedings for the 
termination of to terminate a watershed district shall be 
initiated only by the filing of a petition with the secretary of 
the board, which.  The petition shall must be signed by not 
less than at least 25 percent of the resident freeholders of the 
district.  Such The petition shall must state that the existence 
of the district is no longer in the public welfare and public 
interest and that it is not needed to accomplish the purposes of 
the Minnesota watershed act.  
    The petitioners shall cause to be have a copy of the 
petition served upon on the county auditor or auditors of the 
counties affected a copy of said petition and.  Proof of service 
thereof shall must be attached to the original petition, to be 
filed with the secretary of the board.  
    Subd. 2.  [DETERMINING STATUS OF SIGNERS.] Upon receipt of 
On receiving a copy of such the petition the county auditor or 
auditors shall determine whether or not the petitioners are 
resident freeholders within the district, which.  The 
determination shall must be made, upon from the tax records, 
which shall be are prima facie evidence of ownership, and.  From 
which them the auditor shall certify the determination to the 
board.  
    Subd. 3.  [BOND.] At the time of filing When the petition 
is filed or before notice of a hearing thereon on it is given, 
the petitioners shall file a bond shall be filed by the 
petitioners with the board, to be approved by it and in such sum 
as the board may determine, conditioned that the petitioners, an 
amount it determines.  The bond must state that in case the 
petition is dismissed or denied, the petitioners will pay all 
costs and expenses therefrom.  
    Subd. 4.  [HEARING; ORDER TO TERMINATE.] When it appears to 
the board that a sufficient petition has been filed, the board 
shall, within 35 days thereafter, by its order fix a time and 
place, within the district, for a hearing thereon on the 
petition.  The provisions of this section chapter relating to 
notice and conduct of a hearing upon a nominating petition shall 
govern. 
    If the board should determine finds that the existence of 
the district is no longer in the public welfare and public 
interest and that it is not needed to accomplish the purpose of 
the Minnesota watershed act, the board shall by its findings and 
order terminate the district.  Upon filing When a certified copy 
of said the findings and order is filed with the secretary of 
state such, the district shall cease ceases to be a political 
subdivision of the state. 
    Subd. 5.  [WHEN PETITIONS MAY BE CONSIDERED.] The board 
shall not entertain a petition for termination of a district 
within five years from the date of its formation nor shall it.  
The board shall not make determinations pursuant to on petitions 
in accordance with provisions of this section, more often than 
once in five years.  
    112.42 [MANAGERS; ORGANIZATION, APPOINTMENT OF SUCCESSORS.] 
    Subdivision 1.  [OATH.] At the time of filing When a 
certified copy of the findings and order establishing a district 
is filed with the secretary of state, the board shall cause 
personal service of have a copy thereof to be made upon of them 
personally served on the managers named therein.  Within ten 
days after such the personal service has been made, the managers 
shall meet at the designated named principal place of business 
of the district and.  They shall then take and subscribe sign 
the oath defined in Minnesota Constitution, article V, section 
6, which.  The signed oath as subscribed shall must be 
forthwith immediately filed with the secretary of the board. 
    Subd. 1a.  [BOND.] Each manager shall thereupon then file 
with the board a bond in the sum of $1,000, the premium to be 
paid by the district for the faithful performance of the 
manager's duties.  The board may increase the amount of such the 
bond may be increased by the board if in the judgment of the 
board it becomes judges the increase necessary.  The managers 
shall thereupon then organize by electing one of their number as 
president, another one as secretary, and another one as 
treasurer, and provide the necessary books, records, furniture, 
and equipment needed for the conduct and the transaction of 
their official duties. 
    In lieu of the individual bonds required to be furnished by 
managers in a watershed district, the managers may give a 
schedule or position bond or undertaking may be given by the 
managers of the watershed district or.  Alternatively, a single 
corporate surety fidelity, schedule or position bond or 
undertaking may be given covering all managers and employees of 
the watershed district, including officers and employees 
required by law to furnish an individual bond or undertaking, 
may be furnished in the respective amounts fixed by law or by 
the person or board authorized to fix the amounts,.  The bond or 
undertaking must be conditioned substantially as provided in 
section 574.13. 
    Subd. 2.  [SEAL; RECORD.] The board of managers shall adopt 
a seal and shall efficiently keep a record of all proceedings, 
minutes, certificates, contracts, bonds of its employees, and 
all other business transacted or action taken by the board, 
which.  The record shall must be, at all reasonable times, open 
to inspection by the property owners within the district, 
and all other interested parties. 
    Subd. 3.  [SUCCESSORS TO MANAGERS TERMS; SUCCESSOR 
APPOINTMENTS; VACANCIES.] (a) At least 30 days prior to before 
the expiration of the term of office of the first managers named 
by the board, the county commissioners of each county affected 
shall meet and proceed to appoint successors to the first 
managers.  If the nominating petition that initiated for the 
district originated from a majority of the cities within in the 
district, or if the district is wholly within the metropolitan 
area, the county commissioners shall appoint the managers from a 
list of persons nominated jointly or severally by the townships 
towns and municipalities within the district.  The list shall 
must contain at least three nominees for each position to be 
filled.  Managers for a district wholly within the metropolitan 
area shall must be appointed to fairly represent by residence 
the various hydrologic areas within the district.  It shall 
    (b) The list of nominees must be submitted to the affected 
county board at least 60 days prior to before the expiration of 
the term of office.  If the list is not submitted within 60 days 
prior to the expiration of the term of office, the county 
commissioners shall select the managers from eligible 
individuals within the district.  The county commissioners shall 
at least 30 days before the expiration of the term of office, of 
any managers meet and appoint the successors at least 30 days 
before any manager's term expires.  If the district affects more 
than one county, distribution of the managers among the counties 
affected shall be as directed by the board.  
    (c) Ten years after the order of establishment, upon 
petition of the county board of commissioners of any county 
affected by the district, the board after public hearing 
thereon, may redistribute the managers among the counties if 
redistribution is in accordance with the policy and purposes of 
this chapter.  No The board may take this action upon petition 
of the county board of commissioners of any county affected by 
the district and after public hearing on the petition.  A 
petition for the redistribution of managers shall must not be 
filed with the board more often than once in ten years.  
    (d) The term of office of each manager, If the number does 
not exceed of manager positions in the board's findings and 
order establishing the district is three, the terms of office of 
the first county-appointed managers shall be one for a term of 
one year, one for a term of two years, and one for a term of 
three years.  If the number of managers consist of is five 
members, one manager's term shall be for a term of one year, two 
for a term of managers' terms shall be two years, and two for a 
term of managers' terms shall be three years.  If the board of 
managers consists of more than five members, the managers shall 
be appointed so that as nearly as possible one-third serve terms 
of one year, one-third serve terms of two years, and one-third 
serve terms of three years.  If the district affects more than 
one county, the board shall direct the distribution of the one, 
two and three year terms among the affected counties.  
Thereafter, the term of office for each manager shall must be 
for a term of three years, and until a successor is appointed 
and qualified.  If the district affects more than five counties, 
in order to provide for the orderly distribution of the 
managers, the board may determine and identify the manager areas 
within the territory of the district and select the appointing 
county board of commissioners for each manager's area.  Any 
vacancy occurring in an office of a manager shall must be filled 
by the appointing county board of commissioners.  
     (e) A record of all appointments made under this 
subdivision shall must be filed with the county auditor of each 
county affected, with the secretary of the board of managers, 
and with the secretary of the water resources board.  No A 
person shall be appointed as a manager who is not must be a 
voting resident of the district and none shall must not be a 
public officer of the county, state, or federal 
government, provided that except that a soil and water 
conservation supervisor may be a manager. 
    Subd. 3a.  [RESTRUCTURING BOARDS OF OLD DISTRICTS.] The 
board shall restructure the boards of managers of districts 
established before the effective date of Laws August 2, 1982, 
chapter 509 and located wholly within the metropolitan area to 
ensure compliance with the requirements of sections subdivision 
3 and section 112.37, subdivision 7 and 112.42, subdivision 3.  
The board shall request recommendations from the district and 
the affected local government units.  Additional managers, if 
any, shall must be appointed by the county designated by the 
board, to terms designated by the board, at the time of and in 
the manner provided for the next regular appointment of 
successors to managers of the district.  
    Subd. 4.  [VACANCIES.] The provisions of Section 351.02, 
shall apply applies to members of the board of managers. 
    Subd. 5.  [PER DIEM.] The compensation of managers for 
meetings and for performance of other necessary duties shall 
must not exceed $50 per day.  Managers shall be are entitled to 
reimbursement for all traveling and other expenses necessarily 
incurred in the performance of official duties.  
    Subd. 6.  [BUSINESS RULES.] The managers shall adopt bylaws 
and rules not inconsistent consistent with this chapter for the 
administration of the to conduct district business and affairs 
of the district.  Rules adopted under this subdivision are not 
subject to the provisions of section 112.43, subdivision 1c.  
    Subd. 7.  [MEETINGS.] The managers shall meet annually and 
at such other times as may be necessary for the transaction of 
to do the business of the district.  If public facilities are 
not available for a district's principal place of business 
within the district, the board shall determine and designate 
name the nearest suitable public facility as the district's 
principal place of business.  A meeting may be called at any 
time upon the request of any manager, and.  When so requested 
the secretary of the district shall mail a notice of such the 
meeting to each member at least eight days prior thereto before 
the meeting. 
    112.421 [PROCEDURE FOR INCREASING NUMBER OF MANAGERS.] 
    Subdivision 1.  [PETITION AND NOTICE.] A petition must be 
filed with the secretary of the board to initiate proceedings to 
increase the number of managers of a watershed district.  The 
petition must be signed as provided in section 112.37, 
subdivision 1, or signed by the board of managers of the 
watershed district.  When the petition is filed, the board shall 
order a hearing to be held on the petition.  Notice of hearing 
must be given in the same manner as a nominating petition. 
    Subd. 2.  [HEARING.] If the board determines at the hearing 
that an increase in the number of managers would serve the 
public welfare, public interest, and the purpose of this 
chapter, the board shall increase the number of managers.  If 
the district affects more than one county, the board, by order, 
shall direct the distribution of the managers among the affected 
counties. 
    112.43 [MANAGERS; POWERS, DUTIES.] 
    Subdivision 1.  The managers, in order to give effect to 
the purposes of carry out this chapter, may: 
    (1) Make necessary surveys or utilize use other reliable 
surveys and data and develop projects to accomplish the purposes 
for which the district is organized and may initiate, undertake, 
and construct projects not required to be instituted by a 
petition under section 112.47. 
    (2) Cooperate or contract with any state or subdivision 
thereof of a state or federal agency or private or public 
corporation or cooperative association. 
    (3) Construct, clean, repair, alter, abandon, consolidate, 
reclaim, or change the course or terminus of any public ditch, 
drain, sewer, river, watercourse, natural or artificial, within 
the district. 
    (4) Acquire, operate, construct, and maintain dams, dikes, 
reservoirs, water supply systems, and appurtenant works. 
    (5) Regulate, conserve, and control the use of water within 
the district. 
    (6) Acquire by gift, purchase, or the right of eminent 
domain necessary real and personal property.  The district may 
acquire such property without outside the district where 
necessary for a water supply system. 
    (7) Contract for or purchase such insurance as the managers 
deem find necessary for the protection of the district. 
    (8) Establish and maintain devices for acquiring and 
recording hydrological data. 
    (9) Enter into all contracts of construction authorized by 
this chapter. 
    (10) Enter upon lands within inside or without outside 
the district to make surveys and investigations to accomplish 
the purposes of the district.  The district shall be is liable 
for actual damages resulting therefrom from entry. 
    (11) To Take over when directed by the district court joint 
county ditch authority or county board all judicial and joint 
county or county drainage systems within the district, together 
with the right to repair, maintain, and improve the same 
them.  Whenever such judicial When a joint county or county 
drainage system is taken over in whole or in part, the same, it 
becomes part of the works of the district to the extent so taken 
over, shall become a part of the works of the district. 
    (12) Provide for sanitation and public health and regulate 
the use of streams, ditches, or watercourses for the purpose of 
disposing to dispose of waste and preventing prevent pollution. 
    (13) Borrow funds from the following:  (a) any agency of 
the federal government; (b) any state agency; (c) any county in 
which the district is located in whole or in part; or (d) a 
financial institution authorized under chapter 47 to do business 
in this state.  A county board may lend the amount requested by 
a district.  No district may have more than a total of $50,000 
in loans from counties and financial institutions under this 
clause outstanding at any time. 
    (14) Prepare a flood plain map of the lands of the district 
which that are in the flood plain of lakes and watercourses, 
which.  The map shall must be made available to the counties and 
local municipalities for inclusion in flood plain ordinances and 
shall be in conformity with.  It must conform to state rules 
setting standards and criteria for designation of flood plain 
areas. 
    (15) Prepare an open space and greenbelt map of the lands 
of the district which that should be preserved and included in 
the open space and greenbelt land areas of the district, which.  
The map shall must be made available to the counties and local 
municipalities for inclusion in flood plain and shoreland 
ordinances. 
    (16) Appropriate necessary funds to provide for membership 
in a state association of watershed districts which has as its 
whose purpose the betterment and improvement of is to improve 
watershed governmental operations. 
    (17) To Control the use and development of land in the 
flood plain and the greenbelt and open space areas of the 
district,.  To do this, the managers may adopt, amend, or repeal 
rules to control encroachments, the changing of land contours, 
the placement of fill and structures, the placement of 
encumbrances or obstructions and to require the landowner to 
remove fill, structures, encumbrances, or other obstructions and 
to restore the previously existing land contours and 
vegetation.  The managers may by rule provide a procedure 
whereby by which the district can do the work required and 
assess the its cost thereof against the affected property as a 
special assessment.  The rules shall be applicable apply only in 
the absence of county or municipal ordinances for the regulation 
of those regulating the items set forth in this clause.  The 
rules shall must be adopted in accordance with subdivision 1c. 
    Subd. 1a.  [NOTICE TO CITY.] No A resolution or rule 
approved by the managers after August 1, 1978, which that 
affects land or water within the boundaries of a home rule 
charter or statutory city shall be is not effective within the 
city's boundaries prior to notifying until the governing body of 
the city is notified. 
    Subd. 1b.  [METROPOLITAN WATERSHED DISTRICTS.] A watershed 
district located wholly within the metropolitan area shall have 
has the duties and authorities provided powers in sections 
473.875 to 473.883.  Notwithstanding any contrary provision of 
subdivision 1, a watershed district located wholly within the 
metropolitan area shall have authority to may regulate the use 
and development of land only under the conditions specified in 
section 473.877, subdivision 1, clause (c).  
    Subd. 1c.  [DISTRICT RULES.] Each district shall adopt 
rules to accomplish the purposes of this chapter and to 
implement the powers of the managers.  Rules of the 
district shall must be adopted or amended by a majority vote of 
the board of managers, after public notice and hearing.  
They shall must be signed by the secretary of the board of 
managers and shall be recorded in the board's district's 
official minute book.  For each county of the district the board 
managers shall publish a notice of any hearing or adopted rules 
in one or more legal newspapers published in the county and 
generally circulated in the district, and shall file any adopted 
rules with the county recorder of each county affected.  A copy 
of the rules shall must be mailed by the board managers to the 
governing body of each municipality affected.  
    Any ordinance of a district in effect on March 23, 1982 
shall remain, remains in full force and effect until the 
district adopts rules pursuant to under this subdivision.  
    Subd. 2.  [ENFORCEMENT POWERS.] The district court may 
enforce by injunction or other appropriate order the provisions 
of sections 112.37 112.34 to 112.801 112.89 and any rule or 
regulation adopted or order issued by the managers thereunder 
under them. 
    Subd. 3.  [BUSINESS REPORT.] The managers shall annually 
make and file a report of the financial conditions of the 
district, the status of all projects therein in the district, 
the business transacted by the district, other matters affecting 
the interests of the district, and a discussion of the managers' 
intentions for the succeeding year.  Copies of the report shall 
must be transmitted sent to the secretary of state water 
resources the board, the commissioner, and the director within a 
reasonable time.  
    Subd. 4.  [BOARD REVIEW OF MANAGERS.] The exercise of said 
the managers' powers by the managers shall at all times be is 
subject to review by the board as herein provided in this 
chapter. 
    112.431 [DRAINAGE IMPROVEMENTS.] 
    Subdivision 1.  [FINDINGS.] The legislature finds that 
because of urban growth and development in the metropolitan area 
problems arise for the improvement and repair of drainage 
systems which were originally established for the benefit of 
land used for agricultural purposes and that agriculture.  The 
procedure for the improvement and repair of drainage systems now 
in the metropolitan area should be simplified to more adequately 
and economically improve and repair drainage systems.  
    Subd. 2.  [DEFINITIONS.] (a) For the purpose of this 
section The terms defined in this subdivision section have the 
meanings ascribed to given them in this subdivision.  
    (b) "Drainage system" means a ditch as defined by section 
106A.005, subdivision 11.  
    (c) "Watershed district" means any watershed district 
established pursuant to the provisions of under this chapter, 
wholly or partially in a metropolitan county.  
    (d) "Metropolitan county" means any one of the following 
counties:  Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or 
Washington.  
    (e) "Metropolitan area" means the combined area of the 
metropolitan counties.  
    Subd. 3.  [DRAINAGE IMPROVEMENTS.] With the concurrence of 
the governing bodies of the home rule charter or statutory 
cities and the town board boards of the towns where the drainage 
system is located, the board of managers of a watershed district 
in which where there exists is a drainage system shall have 
the power to may improve and repair any drainage system 
transferred to the watershed district pursuant to under section 
112.65, by conforming to sections 429.031; 429.041, subdivisions 
1 and 2; 429.051; 429.061 and 429.071.  
    Subd. 4.  [ALTERNATIVE POWER.] With the concurrence of the 
governing bodies of the home rule charter or statutory cities 
and the town boards of the towns where the drainage system is 
located, the managers in their discretion may improve and repair 
a drainage system under the power granted to them elsewhere in 
this chapter.  
    Subd. 5.  [APPEAL.] Any A person aggrieved by an order for 
improvement or repair by the managers or by an assessment may 
appeal as provided in sections 112.801 and 112.82.  
    112.44 [ADVISORY COMMITTEE.] 
    The managers, upon qualifying, shall appoint an advisory 
committee consisting of at least five members, who shall.  They 
must be selected if practicable as follows:  one shall be a 
supervisor of a soil and water conservation district; one shall 
be a member of a county board; one shall be a member of a 
sporting organization,; and one shall be a member of a farm 
organization and.  Others may be appointed at the discretion of 
the managers, which.  The appointees shall must be residents of 
the district, and shall serve during at the pleasure of the 
managers.  The committee shall advise and assist the managers 
upon all matters affecting the interests of the district, and 
shall make recommendations to the managers upon all contemplated 
projects and works of improvement within in the district.  In 
addition The managers may also appoint other interested and 
technical persons who may or may not reside within in the 
district who shall to serve during at the pleasure of the 
managers.  Each member of the advisory committee, in the 
discretion of the managers, shall be is entitled to 
reimbursement for actual traveling and other expenses 
necessarily incurred in the performance of duties as provided 
for state employees. 
    112.45 [EMPLOYEES,;  DUTIES.] 
    The managers may employ a chief engineer, professional 
assistants, and such other employees as may be necessary, and 
provide for their qualifications, duties, and compensation.  The 
chief engineer shall be superintendent of all the works and 
improvements;.  The chief engineer shall make a full report to 
the managers each year, or more often if necessary.  A copy 
of such the report and all recommendations by the chief engineer 
shall must be transmitted sent to the managers and the 
director.  The managers may require any officer or employee of 
the district to give a bond for the faithful performance of 
duties, in an amount prescribed by them,.  The cost thereof to 
of the bond must be paid from the funds of the district. 
    112.46 [OVERALL PLAN.] 
    Subdivision 1.  [PLAN CONTENTS.] The managers shall, Within 
a reasonable time after qualifying, the managers shall adopt an 
overall plan for any or all of the purposes for which a district 
may be established.  The overall plan shall be composed of must 
contain narrative statements of existing water and water-related 
problems within in the district, possible solutions thereto, and 
the general objectives of the district.  The overall plan may 
also include as a separate section any proposed projects.  The 
separate statement of proposed projects or petitions for 
projects to be undertaken pursuant according to the overall plan 
shall be considered as a comprehensive plan of the district for 
all purposes of review by the metropolitan council under section 
473.165, if the district is within the metropolitan area.  
    Subd. 2.  [ADOPTION PROCEDURES.] A copy of the plan shall 
forthwith be transmitted sent immediately to the county auditor 
of each county affected, the secretary of the board, the 
commissioner, the director, the governing bodies of all 
municipalities, any soil and water conservation district having 
territory within the district, and the metropolitan council if 
the district is within the metropolitan area.  Upon receipt of 
On receiving the copy the director and the council shall examine 
it and within 60 days thereafter, unless the time is extended by 
the board, the director and the council shall transmit 
recommendations about the plan to the board recommendations in 
connection therewith,.  A copy of which shall the 
recommendations must be transmitted sent to the managers, the 
county auditor of each county affected, the governing bodies of 
all affected municipalities, and any affected soil and water 
conservation districts.  Within 45 days from receipt of the 
director's and the council's recommendations the board shall 
have a public hearing on the proposed overall plan.  The 
provisions of this chapter relating to notice, time, and place 
of hearing upon on a nominating petition shall govern the 
hearing.  After the public hearing the board shall, by its 
order, prescribe an overall plan for the district.  A copy of 
the order shall must be transmitted sent to the managers, the 
county board of each county affected, the commissioner, the 
director, the governing bodies of all municipalities affected, 
any affected soil and water conservation districts, and the 
council.  Upon transmittal When sent, the plan shall become 
becomes the overall plan for the district.  The plan may be 
amended upon a petition submitted by the managers, and.  The 
board shall have a hearing on the amendment in the same manner 
way as in the original overall plan proceeding.  
    Subd. 3.  [PLAN REVISION.] The managers and the board shall 
revise the overall plan for the district at least once every ten 
years after the board originally prescribes the overall plan and 
shall make amendments as it deems finds advisable.  The managers 
shall consider including the following items in the revised 
overall plan, and any other information deemed they find 
appropriate:  
    (1) updates of and supplements of to the existing 
hydrological and other statistical data of the district;  
    (2) specific projects completed;  
    (3) a statement setting forth the extent to which the 
purposes for which the district had been established have been 
accomplished;  
    (4) a description of problems requiring future action by 
the district;  
    (5) a summary of completed studies on active or planned 
projects, including financial data;  
    (6) an analysis of the effectiveness of the district's 
rules and permits in achieving its water management objectives 
in the district.  
    Subd. 4.  [BOARD REVIEW OF REVISED OUTLINE.] After ten 
years and six months have elapsed from the date that the board 
prescribed an overall plan or the last revised plan, the 
managers shall adopt a revised overall plan outline and shall 
transmit a copy of the outline to the board.  Upon receipt of On 
receiving a copy the board shall examine it and within 60 days 
thereafter adopt recommendations regarding the outline and 
report them to the managers.  
    Subd. 5.  [FURTHER REVIEW.] Within 120 days after receiving 
the board's recommendations regarding the revised overall plan 
outline, the managers shall complete the revised overall plan.  
A copy of the plan shall must be transmitted sent to the board, 
the county board and county auditor of each county affected, the 
director, the governing bodies of all municipalities affected, 
any soil and water conservation district having territory within 
the district, and the metropolitan council if the district is 
within the metropolitan area.  Upon receipt of On receiving the 
copy, the director and the council shall examine it and within 
60 days thereafter, unless the time is extended by the board, 
the director and the council shall transmit recommendations on 
the revised plan to the board,.  A copy of which shall the 
recommendations must be transmitted sent to the managers, the 
county auditor of each county affected, the governing bodies of 
all affected municipalities, and any affected soil and water 
conservation districts.  
    Within 45 days from transmittal of the revised overall plan 
to the board, the board shall have a public hearing on the 
proposed revised overall plan.  The provisions of this chapter 
relating to notice, time, and place of hearing upon on a 
nominating petition shall govern this proceeding.  After public 
hearing the board shall, by its order, prescribe a revised plan 
for the district.  A copy of the revised plan shall must be 
transmitted sent to the managers, the county board of each 
county affected, the commissioner, the director, the governing 
bodies of all municipalities affected, any affected soil and 
water conservation districts, and the council.  Upon transmittal 
the plan shall become becomes the overall plan for the district. 
    112.47 [PROJECTS INSTITUTED.] 
    All Projects of the district which that are to be paid by 
assessment upon on the benefited properties, shall must be 
instituted:  (1) by a petition filed with the managers; (2) by 
unanimous resolution of the managers; or (3) as otherwise 
prescribed by this chapter. 
    112.48 [APPROVAL OF PROJECT; FILING OF PETITION; CONTENTS; 
HEARING; BONDS.] 
    Subdivision 1.  [SIGNATURES.] After the overall plan of the 
district has been prescribed by the board, as provided in under 
section 112.46, a petition may be filed with the managers for 
any project within the district conforming in general with the 
plan.  The petition must be signed:  
    (1) by not less than 25 percent of the resident 
freeholders, or by the owners of more than 25 percent of the 
land within the limits of the area proposed to be improved 
unless the project consists of the establishment of a drainage 
system as defined in sections 106A.005 to 106A.811 or the 
improvement of an existing drainage system;  
    (2) by a majority of the resident owners of the land over 
which the proposed project passes or is located, or by the 
owners of at least 60 percent of the area of the land, if the 
project consists of the establishment of a drainage system as 
defined in sections 106A.005 to 106A.811;  
    (3) by not less than 26 percent of the resident owners of 
the property affected by the proposed project or over which the 
proposed project passes or by the owners of not less than 26 
percent of the area affected or over which the proposed project 
passes if the project consists of the improvement of an existing 
drainage system as defined in sections 106A.005 to 106A.811;  
    (4) by a county board of any county affected; or 
    (5) by the governing body of any city lying wholly or 
partly within the area proposed to be improved; provided that.  
If the proposed project affects lands exclusively within a city, 
the petition shall must originate from the governing body of the 
city. 
    For the purpose of this subdivision, holders of easements 
for electric or telephone transmission or distribution lines are 
not considered freeholders or owners.  
    Subd. 1a.  [CONTENTS.] The petition shall contain the 
following: 
    (a) (1) a description of the proposed project, and the 
purpose to be accomplished; 
    (b) (2) a description of the lands over which the proposed 
project passes or is located; 
    (c) (3) a general description of the part of the district 
which that will be affected, if less than the entire district; 
    (d) (4) a statement of the need and necessity for the 
proposed improvement; 
    (e) (5) a statement that the proposed project will be 
conducive to public health, convenience, and welfare; 
    (f) (6) a statement that the petitioners will pay all costs 
and expenses which that may be incurred in case the proceedings 
are dismissed or for any reason no construction contract is let 
for the project. 
    Subd. 2.  [BOND.] Upon the filing of When a petition is 
filed and before any action is taken on it, one or more of the 
petitioners shall deposit not less than at least $2,000 with the 
board of managers, conditioned to pay all costs and expenses 
incurred if the project petitioned for is not constructed.  
Alternatively, with the approval of the board of managers, one 
or more of the petitioners may make and file a bond payable to 
the watershed district named in the petition in the sum of not 
less than at least $2,000 with good and sufficient sureties, to 
be approved by the board of managers of the district with which 
the bond is filed, conditioned to pay all costs and expenses 
which may be incurred in case if the proceedings are dismissed 
or for any reason no contract is entered into for the 
construction of the project petitioned for.  
    If it appears at any time prior to before the making of the 
order establishing a project that the deposit or bond of 
petitioners is insufficient in amount too small to protect the 
watershed district from loss on account of any costs or expenses 
incurred or to be incurred, the watershed district shall require 
an additional deposit or bond.  In that event All further 
proceedings shall must then be stayed until the deposit or bond 
is furnished and.  If the additional deposit or bond is not 
furnished within the time the watershed district fixes, the 
proceedings may be dismissed.  
    In all project proceedings, the expenses incurred prior to 
before establishment shall must not exceed the required deposit 
or the penalty named in the bond or bonds given by the parties.  
No claim in excess of the amount of the deposit or bond or bonds 
shall be audited or paid by direction of the watershed district 
unless one or more parties in the proceeding, within the time 
the watershed district directs, files an additional deposit or 
bond in an amount as directed by the watershed district.  
    If the petition is signed by the proper officials of a 
county or city, no bond shall be is required. 
    Subd. 3.  [AGREEMENTS WITH STATE OR FEDERAL AGENCIES.] 
Where The procedure in this section must be followed when an 
improvement is to be constructed within the district under an 
agreement between the managers and the state of Minnesota, 
or any a state department or agency thereof, or the United 
States of America, or any a federal department or agency 
thereof, wherein where the cost of the improvement is to be paid 
for in whole or in part by the governmental agency but the 
rights of way, and the expenses of the improvement are assumed 
by the district or where the managers are undertaking all or a 
portion of the basic water management project as identified in 
the overall plan, the following procedure shall be followed.  A 
copy of the project plan shall must be forwarded to the board 
and director for their reports after which.  The managers shall 
then hold a public hearing on the proposed improvement following 
publication.  Notice of the hearing must be published once each 
week for two successive weeks prior to before the date of the 
hearing in a legal newspaper, published in the county or 
counties in which a part or all of the affected waters and lands 
are located.  The last publication shall must occur not more 
than 30 days and at least ten days before the hearing.  The 
notice shall must state the time and place of hearing, the 
general nature of the proposed improvement, the its estimated 
cost thereof and the method by which how the cost of the 
improvement is to be paid, including the cost to be allocated to 
each affected municipal corporation or the state of Minnesota or 
any state department thereof.  Not less than At least ten days 
before the hearing, notice by mail shall must be given to the 
director and to the municipal corporations wholly or partly 
within the improvement project area, but.  Failure to give 
mailed notice or defects in the notice shall do not invalidate 
the proceedings.  At the time and place specified in the notice 
the managers shall hear all parties interested in the proposed 
project or improvement.  If upon full hearing the managers find 
that the improvement will be conducive to public health and 
promote the general welfare, and is in compliance complies with 
the overall plan and the provisions of this chapter, they shall 
make findings accordingly and authorize the project. 
    Subd. 4.  [RESOLUTION; HEARING.] The board of managers may 
institute projects upon a resolution of not less than at least a 
majority of the board managers if:  
    (a) (1) each project is financed by one or more grants 
totaling at least 50 percent of the estimated cost; and 
    (b) (2) the engineer's estimate of local costs to the 
district, including any assessments against benefited properties 
but excluding any state, federal, or other grant grants, is not 
over $750,000 for any single project.  No resolution under this 
subdivision shall be used for the establishment of to establish 
a project, the essential nature and purpose of which is for 
drainage.  
    The managers shall hold a public hearing on the proposed 
resolution for the project following publication published once 
each week for two successive weeks.  The publication shall must 
be in a legal newspaper published in the county or counties in 
which the watershed district is situated.  The last 
publication shall must occur at least ten days before the 
meeting at which the resolution will be heard.  The notice shall 
must contain the date, time, and place of hearing, the substance 
of the proposed resolution, the means of financing the project, 
and a statement that all persons who might be affected by the 
project or who may be interested in it may appear and be heard.  
Defects in the notice shall do not invalidate the proceedings.  
    The managers shall secure from the district engineer or 
other competent person of their selection they select a report 
advising them in a preliminary way whether the proposed project 
is feasible and estimating the cost of the project.  No An error 
or omission in the report shall does not invalidate the 
proceeding.  The managers may also take other steps prior to 
before the hearing which that will in their judgment provide 
helpful information in determining help determine the 
desirability and feasibility of the improvement.  If after the 
hearing it appears to the managers that the proposed project 
promotes the public interest and welfare, and is practicable and 
in conformity conforms with the overall plan of the district, 
they shall adopt a final resolution for the project, and 
properly.  They shall identify the proceeding by name and 
number.  If the report of the engineer is unfavorable the 
managers shall fix a time and place for a hearing in the manner 
provided for the hearing on the resolution.  Thereafter The 
matter may then be referred back to the engineer for further 
study and report or the managers may dismiss the proceeding.  
    When a final resolution is adopted, the matter shall 
proceed as in the case of like a project instituted by petition 
as is prescribed by under this chapter.  Upon the filing by the 
managers with the auditor of a county of a statement listing the 
property and corporations benefited or damaged or otherwise 
affected by any project under this subdivision as found by the 
appraisers and approved by the managers, proceedings shall be 
commenced pursuant to begin under section 112.60. 
    112.49 [SURVEYS,; PLANS.] 
    Subdivision 1.  [CONTENTS OF PLAN.] If it appears to the 
managers that the petition is sufficient, that the proposed 
project promotes the public interest and welfare and is 
practicable and in conformity with the overall plan of the 
district, they shall properly identify the proceeding by name 
and number and shall cause to be made, at the earliest time.  As 
soon as possible, all they shall have necessary surveys and maps 
made for the proposed project as provided in this subdivision.  
The engineer designated by the managers shall make a report to 
the managers of findings and recommendations relative to about 
the proposed project.  If the engineer finds the improvement 
feasible the engineer shall include in the report a plan of the 
proposed project including: 
    (1) a map of the area to be improved, drawn to scale, 
showing the location of the proposed improvements; the location 
and adequacy of the outlet; the watershed of the project area; 
the location of existing highways, bridges, and culverts; all 
lands, highways, and utilities affected, together with and the 
names of the known owners, so far as known; the outlines of any 
public lands and public bodies of water affected; and any other 
physical characteristics of the watershed necessary for the 
understanding of the area; 
    (2) the estimated total cost of the completion of 
completing the project, including costs of construction and all, 
supervision, and administrative costs of the 
project administration; 
    (3) the acreage which will be required and taken as 
right-of-way listed by each lot and 40-acre tract, or fraction 
thereof of a lot or tract, under separate ownership; and 
    (4) other details and information to inform the managers of 
the practicability and necessity of the proposed project 
together with the engineer's recommendations on these matters. 
    Subd. 2.  [STATE AND FEDERAL PROJECT PLANS.] The engineer 
may adopt and approve and include as a part of the report, any 
project of the state of Minnesota or the United States which is 
pertinent to the project and.  The engineer may accept any data, 
plats, plans, details, or information pertaining to such the 
state or federal project furnished to the engineer by the state 
or federal agency and.  The engineer shall omit from the report 
those the items called for in subdivision 1 if the data 
furnished by the state or federal agency is sufficient to meet 
meets the requirements of subdivision 1. 
    Subd. 3.  [HEARING.] If the engineer's report is 
unfavorable the managers shall, within 35 days thereafter by, 
order fix a time and place within the district for a hearing at 
which the petitioners shall show cause why the managers shall 
not refer the petition back to the petitioners for such further 
proceedings thereon as that the managers may determine, or the 
managers may dismiss the petition.  The notice shall must state 
that the engineer's report is unfavorable, that it is on file 
with the managers and is subject to inspection, and the time and 
place for hearing thereon on it.  The managers shall mail a copy 
of the notice to each of the petitioners at least 14 days before 
the hearing. 
    Subd. 4.  [PETITION DISMISSAL.] The petitioners may dismiss 
the petition, upon payment of costs and expenses. 
    Subd. 6.  [DIRECTOR AND BOARD REPORTS.] Upon the filing of 
When the engineer's report, is filed, the managers must send a 
complete copy thereof shall be transmitted to the director and 
to the board by the managers. 
    The director and the board shall examine the same report 
and within 30 days make their reports thereon report on it to 
the managers.  If they find the report incomplete and not in 
accordance with the provisions of this chapter, they shall so 
report.  If they approve the same it as being a practical plan 
they shall so state.  If they do not approve the plan they shall 
file their recommendations for changes as they deem find 
advisable, or.  If in their opinion the proposed project or 
improvement is not practical they shall so report.  If a soil 
survey appears advisable they shall so advise and in such 
event.  In that case the engineer shall make the soil survey and 
report thereon on the survey before the final hearing.  Their 
reports shall be directed to and filed with the managers.  Such 
The reports shall be deemed are advisory only. 
    No notice shall issue for the hearing until the board's and 
the director's reports are filed or the time for filing thereof 
them has expired. 
    Subd. 7.  [ENGINEERING REPORTS.] The findings, 
recommendations, and content of engineering reports for projects 
under this chapter shall must conform as nearly as practicable 
to the requirements of this section and.  The managers must send 
a copy of each report shall be transmitted to the board by the 
managers. 
    112.50 [APPRAISALS.] 
    Subdivision 1.  [APPOINTMENT; DUTIES.] Upon the filing of 
When the engineer's report is filed the managers shall, with the 
least possible delay, appoint three disinterested resident 
freeholders of the state to act as appraisers.  These The 
appraisers shall subscribe sign an oath to faithfully and 
impartially perform their duties, and.  With or without the 
engineer, they shall determine the benefits or damages to all 
lands and properties affected by the proposed project or 
improvement, including lands owned by the state of Minnesota or 
any a state department thereof, highways, and other property 
likely to be affected by the proposed improvement or that may be 
used or taken for the its construction or maintenance thereof.  
Benefits and damages to lands owned by the state of Minnesota or 
any a state department thereof held and used for the purposes 
described in sections 106A.025 and 106A.315, subdivision 1, 
shall be determined subject to the provisions thereof those 
sections, so far as applicable.  Each appraiser may be paid on a 
per diem basis for every day necessarily engaged in the 
performance of duties and for actual and necessary expenses.  
The compensation shall must be fixed by the managers, to be paid 
by the district and included in the cost of improvement.  The 
managers of the watershed districts may in their discretion use 
the following procedure for the purpose of determining to 
determine benefits and damages.  Upon the filing of When the 
engineer's report is filed, the managers with the assistance 
help of the engineer shall determine the benefits or damages to 
all lands and properties affected by the proposed project or 
improvement, including.  The lands and properties include lands 
owned by the state of Minnesota or any a state department 
thereof, highways, and other property likely to be affected by 
the proposed improvement or that may be used or taken from the 
its construction or maintenance thereof.  Benefits and damages 
to lands owned by the state of Minnesota or any a state 
department thereof held and used for the purposes described in 
sections 106A.025 and 106A.315, subdivision 1 shall must be 
determined subject to the provisions thereof those sections, so 
far as applicable.  The managers shall also determine the amount 
to be paid and generally assessed by the watershed district for 
the basic water management portion of the improvement projects. 
    112.501 [BENEFITED PROPERTY,; DETERMINATION.] 
    Subdivision 1.  [APPRAISERS' STANDARDS.] Where If the 
proposed improvement, includes or prays for the construction or 
improvement of any a ditch, stream, river, or watercourse, or 
any structures a structure for the control or alleviation of 
damages from flood waters, the appraisers shall be governed by 
sections 106A.311 to 106A.321. 
    Subd. 2.  [DETERMINATION OF BENEFITS.] In all proceedings 
under this act chapter assessments for benefits against lands 
shall must be made upon benefits to such the lands by reason of 
the project or improvement affecting the same them.  Benefits 
and benefited properties shall include: 
    (1) All Lands, including lands owned by the state of 
Minnesota or any a subdivision thereof of the state receiving 
direct benefits.  Direct benefits include, but are not limited 
to assessments for drainage, recreation, commercial navigation, 
disposal of sewage or waste material, bank stabilization, flood 
control, land reclamation, prevention of siltation, control of 
erosion, and maintenance of lake levels;. 
    (2) All Lands that are contributing water or are furnished 
an improved drainage outlet and all lands that contribute waters 
that are stored, handled, or controlled by the proposed 
improvement;. 
    (3) All Lands that are not receiving but need drainage and 
that are furnishing waters that are handled or controlled by the 
proposed improvement.  
    (4) Benefits to the state by reason of the improvement of 
lakes, streams, or other bodies of water as a place for 
propagation, protection, and preservation of fish and other 
forms of wildlife, which.  These benefits shall be are 
assessable against the state of Minnesota to the extent and in 
the manner provided for assessments against the state in section 
84A.55, subdivision 9, and within the available appropriation.  
    (5) Benefits to municipal corporations which that occur to 
the lands in the municipality generally and which may be in 
addition to special benefits to specific lands within the 
municipality.  
    (6) Benefits that will result to all lands used for railway 
or other utility purposes.  
    112.51 [APPRAISERS' REPORT,; EXAMINATION.] 
    Upon filing of When the appraisers' report is filed the 
managers shall examine it to determine if it was made in 
conformity with conforms to the requirements of this chapter, 
and if the total benefits thus found are greater than the total 
estimated costs and damages.  If the appraisers' report is 
lacking in any particulars the managers may recommit return it 
to the appraisers for further study and report.  
    112.52 [HEARING UPON PETITION AND REPORTS.] 
    Upon the filing of the report of the engineer and the 
appraisers appointed herein by the managers, they the managers 
shall, within 35 days thereafter, by order, fix a time and place 
within the district for a hearing upon on the petition or 
resolution and reports.  Due notice thereof shall of the hearing 
must be given by the managers as herein provided in this chapter.
    112.53 [NOTICE OF HEARING, CONTENTS.] 
    Subdivision 1.  [CONTENTS OF NOTICE.] The managers shall by 
publication give notice of the pendency of the petition or 
resolution; the time and place for hearing thereon on it; and 
that the engineer's and appraisers' reports, including the 
plans, have been filed with the managers and are subject to 
inspection.  The notice shall contain a brief description of the 
proposed project, together with a description of the properties 
benefited or damaged, the names of the owners of the properties, 
and the public and other corporations affected by the project as 
shown by the engineer's and appraisers' reports.  A map of the 
affected area may be included in the notice in lieu instead of 
the names of the owners or of the descriptions of the properties 
affected by the project or both.  The notice shall require all 
parties interested in the proposed project to appear before the 
managers at the time and place designated in the notice to 
present any objections they may have, and to show cause why an 
order should not be made by the managers granting the petition, 
confirming the reports of the engineer and appraisers, and 
ordering the establishment and construction of the project. 
    Subd. 2.  [MAILING.] The managers shall give notice by 
mail, within one week after the beginning of publication, to the 
director and to each person, corporation, and public body that 
owns property benefited or damaged by the proposed improvement 
as shown by the engineers and appraisers report.  The notice 
shall must contain a brief description of the proposed 
improvement and state:  
     (1) that the engineer's and appraisers' report are on file 
with the managers and available for public inspection; 
     (2) the time and place of hearing; and 
     (3) that the addressee's name appears as an affected party. 
    Subd. 3.  [SPECIAL REQUIREMENTS; ACQUIRING LAND.] When it 
is required that the managers acquire land in fee simple estate, 
they shall, prior to before the filing of the appraiser's 
report, record in the office of county recorder of the county in 
which the lands are situated, a notice of the pendency of a 
proceeding initiated by the managers to acquire the lands, 
which.  The notice shall must state the purpose for which the 
lands are to be taken.  At least 20 days before the hearing, 
notice of the hearing in addition to that required in 
subdivisions 1 and 2 hereof shall must be served upon owners of 
the property, in the same manner as the summons in a civil 
action, which.  The notice shall must describe the land, state 
by whom and for what purpose it is to be taken, and give the 
names of all persons appearing of record or known to the 
managers to be the owners.  The notice shall must also state 
that benefits and damages have been determined, and that a 
hearing will be held by the managers at the time and place 
specified in the notice. 
    Subd. 4.  [SPECIAL NOTICE; LAND IN TWO OR MORE COUNTIES.] 
Where If the improvement affects the lands and properties in 
more than one county, separate notices shall must be prepared 
and published in each county affected showing only the.  The 
notices must include a general description of the proposed 
improvement and the names and descriptions of the properties 
affected in the county or, in lieu instead of the names or 
descriptions or both, a map of the area affected in the county.  
Notice by mail as provided in subdivision 2 shall must be given. 
    112.54 [HEARING BEFORE MANAGERS.] 
    At the time and place specified in the notice, the managers 
shall hear all parties interested for and against the 
establishment of the proposed improvement and confirming the 
reports.  All Questions relative to about the proposed 
improvement including jurisdiction, sufficiency of the petition 
or resolution, practicability, and necessity shall must be 
determined upon evidence presented at the hearing.  Any Findings 
made by the managers prior to before the hearing shall are not 
be conclusive but shall be are subject to further investigation, 
consideration, and determination at the hearing.  They The 
managers may order and direct the modification of the engineer's 
report within the scope of the overall improvement plan for the 
district, and the assessment of benefits and damages and amend 
or change the list of property reported as assessable for the 
construction and maintenance thereof of the improvement.  If the 
amended reports include property not included in the original 
reports, the managers shall adjourn and cause to be 
published publish and mailed mail, as in the original notice, 
the proper notice with reference to all lands and properties not 
included in the previous notice.  If upon full hearing the 
managers find that the improvement will be conducive to public 
health and promote the general welfare, and is in compliance 
with the provisions and purposes of this chapter, and that the 
its benefits resulting therefrom will be greater than the cost 
of the construction and damages, they shall make findings 
accordingly and order and direct the construction of the 
improvement and confirm the report of the engineer and the 
findings and report of the appraisers and.  The managers may by 
this the order authorize the construction of the proposed 
improvement as a whole or for different parts thereof 
separately.  The managers shall order the engineer to proceed 
with making to make the necessary surveys and preparing such 
prepare the plans and specifications as are needed to construct 
the proposed improvements and report the same them to the 
managers with reasonable dispatch.  The hearing then shall be 
recessed to await the engineer's report and receipt of bids, 
when it may again be recessed to allow compliance with section 
112.541 if said section 112.541 becomes applicable it applies.  
    112.541 [PROCEDURE WHEN CONTRACT IS NOT LET.] 
    If after the receipt of the bids, no bids are received 
except for a price more than 30 percent in excess of the 
engineers estimate as contained in the engineer's report, or for 
a price in excess of the benefits, less damages and other costs, 
the managers shall follow the procedure described in section 
106A.511. 
    112.55 [ORDER OF MANAGERS ESTABLISHING IMPROVEMENT,; 
FILING.] 
    Any An order of the managers establishing the improvement 
and authorizing the its construction thereof shall forthwith 
must immediately be filed with the secretary of the district, 
and.  A certified copy thereof shall of the order must be filed 
with the auditor of each county affected, the board, the 
commissioner, the director, the Minnesota pollution control 
agency, and the state department of health. 
    112.57 [BIDS.] 
    After an order has been made by the managers directing have 
ordered the establishment of each improvement, the managers they 
shall call for bids for the construction of the work and.  They 
shall give notice thereof of the call for bids by publication 
specifying therein publishing the time and place when the bids 
will be opened for the letting of a contract for the 
construction of the work.  The contract may be let in sections 
or as a whole, as the managers may direct.  Notice thereof shall 
must be published in at least one of the newspapers in the state 
where such notices are usually published.  At a time and place 
specified in the notice, the managers may accept or reject 
any or all bids and may let the contract to the lowest 
responsible bidder, who shall give a bond, with ample 
security, conditions conditioned for the carrying out of the 
contract.  Bids shall must not be entertained considered which 
in the aggregate exceed by more than 30 percent the total 
estimated cost of construction.  Such The contract shall must be 
in writing and shall be accompanied by or shall refer to the 
plans and specifications for the work to be done, and prepared 
by the engineer for the district.  The plans and 
specifications shall become a part of the contract.  The 
contract shall must be approved by the managers, signed by the 
president and secretary thereof, and by the contractor.  
    112.58 [EMERGENCY PROCEDURES.] 
    If the managers find that conditions exist which present 
there is a clear and imminent danger to the health or welfare of 
the people of the district, and that to delay action would 
prejudice the interests of the people of the district or would 
be likely to cause irreparable harm, the managers may 
declare the existence of an emergency and designate the its 
location, nature and extent of the emergency.  When an emergency 
has been declared, and to the extent necessary to protect the 
interests of the district, the managers may order that work be 
done under the direction of the managers and the engineer, 
without a contract.  The cost of work undertaken without a 
contract may be assessed against benefited properties or, if the 
cost is not more than 25 percent of the latest administrative ad 
valorem levy of the district and the work is found to be of 
common benefit to the district, may be raised by an ad valorem 
tax levy upon all taxable property within the district, or both. 
    112.59 [CONTROL OF CONTRACTS.] 
    In all cases where When contracts are let by the managers, 
they shall have full control of all matters pertaining thereto 
to the contracts.  If a contractor fails to complete the 
improvement within the time or in the manner specified in the 
contract, the managers may extend the time for completion or may 
refuse an extension of time or may cancel the contract and 
readvertise and relet the contract.  They may require the surety 
for the contractor to complete the improvement or proceed to 
have the contract otherwise completed at the expense of the 
contractor and the surety.  They may take such other action with 
reference thereto that to the contract as the occasion may 
require requires in the interest of the district.  The 
provisions of Sections 106A.005 to 106A.811, so far as 
pertinent, apply to and govern the relations between the 
engineer and the contractor, including the examination and 
report of the engineer and the amount and time of payment.  The 
managers shall keep an accurate account of all expenses 
incurred, which shall.  The account must include the 
compensation of the engineer and the assistants, the 
compensation and expenses of the appraisers as provided in 
section 112.50, and the compensation of petitioners' attorney,; 
the cost of petitioners' bond,; the fees of all county officials 
necessitated by the improvement, which shall be in addition to 
all fees otherwise allowed by law,; and the time and expenses of 
all employees of the district, including the expenses of the 
managers while engaged in any improvement.  The fees and 
expenses provided for herein in this section shall be audited, 
allowed and paid upon the order of the managers and shall must 
be charged to and be treated as a part of the cost of the 
improvement.  
    112.60 [ASSESSMENTS,; LEVIES.] 
    Subdivision 1.  [AUDITOR'S DUTIES.] Upon the filing by When 
the managers file with the auditor of any county of a statement 
listing the property and corporations benefited or damaged or 
otherwise affected by any improvement as found by the appraisers 
and approved by the managers, the auditor shall assess the 
amount specified in such the list against the lands and 
municipalities or other corporations as therein specified in the 
list in accordance with the pertinent provisions of sections 
106A.005 to 106A.811. 
    Subd. 2.  [COUNTY BOARD DUTIES.] Upon filing of the When a 
statement is filed as provided in subdivision 1, the county 
board of each county affected shall provide funds to meet its 
proportionate share of the total cost of the improvements, as 
shown by the report and order of the managers of the district, 
and.  For such purposes is authorized to that purpose it may 
issue bonds of the county in such the necessary amount as may be 
necessary in the manner provided by section 106A.635.  In the 
event If an improvement is to be constructed under the 
provisions of section 112.69, the provisions of section 106A.635 
requiring the county board to let a contract for construction 
before issuing bonds shall does not be applicable apply to bonds 
issued to provide the funds required to be furnished by this 
section.  
    Subd. 3.  [LEVY AND COLLECTION.] The respective county 
auditors and county treasurers shall levy and collect the amount 
shown in the tabular statement and lien as provided in sections 
106A.601 to 106A.631.  All money received by the treasurer of 
any county from the sale of bonds, assessments, or otherwise, 
for the benefit of the district shall must be accounted for by 
the auditor and paid over to the treasurer of the district.  
    Subd. 4.  [EXCEPTIONS.] No assessment shall be levied 
against any property or corporations benefited under the 
provisions of this chapter in excess of the amount of benefits 
received as fixed by the order of the managers authorizing the 
construction of the improvement or subsequently determined on 
appeal.  
    112.61 [FUNDS OF DISTRICT.] 
    Subdivision 1.  [ENUMERATION OF FUNDS.] The money of any a 
district organized under the provisions of this chapter consist 
consists of: the funds described in subdivisions 2 to 8. 
    Subd. 2.  [ORGANIZATIONAL EXPENSE FUND.] An The 
organizational expense fund, which consists of an ad valorem tax 
levy, not to exceed two-thirds of one mill on each dollar of 
assessed valuation of all taxable property within the district 
or $60,000 whichever is the lesser less.  Such The funds shall 
be used for organizational expenses, and preparation of an 
overall plan for projects and improvements.  The managers of the 
district shall be authorized to may borrow from the affected 
counties up to 75 percent of the anticipated funds to be 
collected from the organizational expense fund levy and the 
counties affected are hereby authorized to may make such the 
advancements.  The advancement of anticipated funds shall be 
apportioned among affected counties in the same ratio as the 
assessed valuation of the area of the counties within the 
district bears to the assessed valuation of the entire 
district.  In the event If an established district is enlarged, 
an organizational expense fund may be levied against the area 
added to the district in the same manner as above way provided 
in this subdivision.  Unexpended funds collected for the 
organizational expense may be transferred to the administrative 
fund and used for the purposes authorized therein; for it. 
    Subd. 3.  [ADMINISTRATIVE FUND.] An The administrative fund 
, which consists of an ad valorem tax levy not to exceed one 
mill on each dollar of assessed valuation of all taxable 
property within the district, or $125,000, whichever is the 
lesser less.  Such The funds shall be used for general 
administrative expenses and for the construction and maintenance 
of to construct and maintain projects of common benefit to the 
district.  The managers may make an annual levy for this fund as 
provided in section 112.611.  In addition to the annual 
administrative levy, the managers may annually levy a tax of not 
to exceed one-third of one mill for a period of not to exceed 15 
consecutive years to pay the cost attributable to the basic 
water management features of projects initiated by petition of a 
municipality of the district. 
    Subd. 4.  [BOND FUND.] A The bond fund, which consists of 
the proceeds of bonds issued by such the district under this 
chapter, as herein provided secured upon the property of the 
district which is producing or is likely to produce a regular 
income and.  The bond fund is to be used for the payment of to 
pay the purchase price of the property or the its value thereof 
as fixed by the court in proper proceedings, and for the its 
improvement and development of such property;. 
    Subd. 5.  [CONSTRUCTION FUND.] A The construction fund, 
which is to be supplied by: the sale of county bonds; 
construction loans from any agency of the federal government; 
and by special assessments to be levied as herein provided under 
this chapter to supply funds for the construction of to 
construct the improvements of the district, including 
reservoirs, ditches, dikes, canals, channels, and other works, 
together with the expenses incident thereto and connected 
therewith with it.  Construction loans from any agency of the 
federal government may be repaid from moneys money collected by 
special assessments upon properties benefited by the improvement 
as herein provided; under this chapter. 
    Subd. 6.  [PRELIMINARY FUND.] A The preliminary fund, which 
consists of funds provided as herein specified under this 
chapter, and is to be used for preliminary work on proposed 
works of the district. 
    Subd. 7.  [REPAIR AND MAINTENANCE FUNDS.] The repair and 
maintenance funds to be are established pursuant to the 
provisions of under section 112.64 as amended or hereafter 
amended. 
    Subd. 8.  [SURVEY AND DATA ACQUISITION FUND.] A The survey 
and data acquisition fund which shall be is established or used 
only when no other funds are available to the district to pay 
for making to make necessary surveys and acquiring acquire 
data.  The fund consists of an ad valorem levy, which can be 
levied not more than once every five years, not to exceed one 
mill on each dollar of assessed valuation of all taxable 
property within the district.  At no time shall The balance of 
the survey and data acquisition fund must never exceed $50,000.  
In a subsequent proceeding for a work where a survey has been 
made, the attributable cost of the survey as determined by the 
managers shall be included as a part of the cost of the work and 
that sum shall be repaid to the survey and data acquisition fund.
    112.611 [BUDGET; TAX LEVY.] 
    Subdivision 1.  [BUDGET PROCEDURES.] On or before October 1 
of each year the managers shall adopt a budget for the ensuing 
year and shall decide upon the total amount necessary to be 
raised from ad valorem tax levies to meet its budget.  Before 
adopting a budget the managers shall hold a public hearing on 
the proposed budget.  The managers shall publish a notice of the 
hearing together with a summary of the proposed budget in one or 
more newspapers of general circulation in each county into which 
the watershed district extends.  The notice and summary shall 
must be published once each week for two successive weeks before 
the hearing.  The last publication shall must be at least two 
days before the hearing.  
    After adoption of the budget and no later than October 1, 
the secretary of the district shall certify to the auditor of 
each county within the district the county's share of such the 
tax, which shall.  The share must be an amount bearing the same 
proportion to the total levy as the assessed valuation of the 
area of the county within the watershed bears to the assessed 
valuation of the entire watershed district.  The maximum amount 
of any levy shall must not exceed that provided for in Minnesota 
Statutes 1961, section 112.61 and acts amendatory thereof. 
    Subd. 2.  [TAX LEVY AND COLLECTION.] The auditor of each 
county in the district shall add the amount of any levy made by 
the managers to the other tax levies on the property of the 
county within the district for collection by the county 
treasurer with other taxes.  When collected, the county 
treasurer shall make settlement of such the taxes with the 
treasurer of the district in the same manner way as other taxes 
are distributed to the other political subdivisions.  The levy 
authorized by this section shall be is in addition to any other 
county taxes authorized by law.  
    112.62 [DISTRICT COURT TO CREATE PRELIMINARY FUND.] 
    Subdivision 1.  [PETITION.] When a proper petition has been 
filed with the managers for the construction of a project within 
the district, the managers may file a petition with the district 
court in the county where the district has its principal place 
of business asking that a preliminary expense fund be created 
for the district, and.  The managers may subsequently later 
amend or supplement the petition if necessary.  At least ten 
days' notice of a petition or amended or supplementary 
petition shall must be given to the auditor of each county 
affected by the proposed project.  The fund applied for shall 
must be of a size proportionate to meet the needs of the 
district for preliminary work on the proposed project. 
    Subd. 2.  [DISTRICT COURT; ESTABLISHMENT OF FUND.] The 
district court upon hearing may designate the amount of the fund 
and fix the proportionate amount that each county affected by 
the improvement shall pay, in proportion to the area in the 
county affected by the proposed improvement.  The court shall 
order the auditor of each county to draw a warrant upon on the 
treasurer of the county for the payment of to pay the amount 
specified in the order, payable to the treasurer of the 
district.  The sum so advanced by the county shall must be 
charged to the district, and shall be repaid with interest as 
soon as the district has funds for that purpose.  The funds so 
provided shall must be used by the managers for preliminary 
work.  When the managers incur expenses for surveys or other 
preliminary work on any a proposed improvement, all expenses 
connected with such the work shall must be included in the cost 
of its construction of the proposed improvement.  When the 
construction of the improvement is authorized by the managers 
the funds advanced from the preliminary fund shall must be 
repaid out of receipts from assessments. 
    Subd. 4.  [APPROPRIATIONS.] The state of Minnesota and any, 
a state department, or political subdivision thereof may 
appropriate such sums as are necessary to pay its proportionate 
share of such preliminary expenses,.  The proportionate share 
must be determined by the managers according to the benefits 
that will probably accrue to the corporation from the 
contemplated improvements. 
    Subd. 5.  [DISTRICT COURT POWERS.] The district court may 
order a preliminary fund for all works of the district 
instituted pursuant to begun under section 112.47. 
    112.63 [WARRANTS.] 
    The managers of any a district may issue warrants of the 
district in payment of any to pay contracts for the construction 
of any improvements, for all ordinary general expenses, and for 
all expenses incurred in making repairs, which have been 
approved by the managers only when there are sufficient funds 
available for payment in the district treasury.  
    112.64 [LEVY FOR REPAIR OF IMPROVEMENT IMPROVEMENTS.] 
    Subdivision 1.  [MANAGERS' DUTIES.] The board of managers 
shall be are responsible for maintaining the projects of the 
district in such condition so that they will accomplish the 
purposes for which they were constructed.  The cost of normal or 
routine maintenance of the projects of the district, and the 
cost of removing obstructions and accumulations of foreign 
substances from a drainage system, shall must be paid from the 
maintenance fund upon the order of the board of managers. 
    Subd. 2.  [CREATION OF MAINTENANCE FUND.] For the purpose 
of creating To create a maintenance fund for normal and routine 
maintenance of a project, the board of managers is authorized to 
may apportion and assess the amount of the fund against all the 
parcels of land and municipal corporations previously assessed 
for benefits in proceedings for the construction of the 
project.  The assessment shall must be made pro rata according 
to benefits determined.  No assessment for the benefit of the 
maintenance fund shall be made when the fund exceeds 20 percent 
of the original cost of construction of the project.  Upon 
receiving the assessment order from the board of managers, the 
auditors of the counties affected shall file for record in the 
office offices of the county recorder recorders for the county 
counties a tabular lien statement covering the assessment.  The 
assessment shall must be collected as provided in the order in 
the same manner way as provided in section 106A.731.  Before 
ordering the levy of an assessment for the benefit of the 
maintenance fund, the board of managers, in its discretion, may 
give notice of a hearing on the matter. 
    Subd. 3.  [REPAIRS OTHER THAN NORMAL MAINTENANCE.] The 
managers may order repairs other than routine maintenance if the 
engineer certifies to the board of managers, them in the annual 
report or otherwise,:  
    (1) that an improvement of the district is in such a state 
of disrepair that it cannot be restored by normal and routine 
maintenance to the same its condition as when originally 
constructed or subsequently later improved, or;  
    (2) that a ditch or channel must be widened or deepened,; 
or 
    (3) that any an improvement of the district must be altered 
or improved, in order to attain the level of operating 
efficiency contemplated at the time of the original 
construction, the board of managers,.  
    Before ordering any repairs other than normal and routine 
maintenance, the managers shall order the engineer to prepare 
and submit to the board of managers technical and cost 
specifications on the work necessary to restore, or improve the 
improvement to the desired level of operating efficiency.  Upon 
receiving the engineer's report, the board of managers shall set 
a date for hearing on the report and give notice of the hearing 
in the same manner as in the original proceeding on the 
construction of the improvement.  If upon hearing the board of 
managers finds find that the repair or improvement is in 
compliance with the provisions, is and necessary to accomplish 
the purposes of this chapter, and that the cost of the repair or 
improvement will not exceed its benefits, they may order the 
repair or improvement and assess the cost against the benefited 
properties.  The cost shall be apportioned and assessed pro rata 
upon all lands and property that were assessed for the 
construction of the improvement.  No single levy for repair 
shall exceed the amount of benefits originally determined.  
    The board of managers shall file a copy of the order for 
levy with the auditor of each county which that contains 
affected properties.  The auditor shall extend the levy against 
affected properties as in proceedings for the levy, assessment, 
and collection of taxes levied in drainage proceedings conducted 
under sections 106A.005 to 106A.811. 
    Subd. 4.  [BIDDING REQUIREMENTS.] If the managers find that 
the estimated cost of repair, including all fees and costs 
incurred for related proceedings relating to it, is less than 
$20,000, it may have the work done by contract without 
advertising for bids. 
    112.65 [DRAINAGE SYSTEMS WITHIN DISTRICT.] 
    Subdivision 1.  [MANAGERS' CONTROL.] The managers of a 
district shall take over when directed by the district court a 
joint county ditch authority or county board any judicial joint 
county or county drainage system within the district, together 
with the right to repair and maintain the same it.  Such The 
transfer may be initiated by the district court joint county 
ditch authority or county board, or such transfer.  It may also 
be initiated by a petition from any person having an interest 
interested in the drainage system or by the managers.  No such 
The transfer shall must not be made until the district court 
joint county ditch authority or county board has held a hearing 
thereon on it.  Due Notice of the proposed transfer together 
with the time and place of hearing shall must be given by two 
weeks published notice in a legal newspaper of general 
circulation in the area involved.  All interested persons may 
appear and be heard.  Following the hearing, the district court 
joint county ditch authority or county board shall make its 
order directing that the managers of a district take over the 
affected judicial or county drainage system, unless it appears 
that the take over takeover would not be in for the public 
welfare or be in the public interest and would not serve the 
purpose of this chapter.  When the transfer is directed all 
proceedings for repair and maintenance shall thereafter must 
conform to the provisions of sections 106A.005 to 106A.811.  
    Subd. 2.  [CONSTRUCTION OR IMPROVEMENT.] Construction of 
all new drainage systems or improvements of existing drainage 
systems within in the district shall must be initiated by filing 
a petition with the managers of the district.  In all 
proceedings for the improvement of existing drainage 
systems within in the district, the managers shall conform 
to the provisions of section 112.49. 
    112.66 [DAMAGE TO HIGHWAY OR BRIDGE BY PASSAGE OF 
EQUIPMENT.] 
    In case If it is necessary to pass any a dredge or other 
equipment through a bridge or grade of any a highway or railroad 
owned by any a corporation, county, town, or municipality, the 
managers shall give 20 days days' notice to the owner of the 
bridge or grade so that the same it may be removed temporarily 
to allow the passage of such the equipment, or an agreement may 
be immediately entered into for such purposes the purpose.  The 
owner of the bridge or grade shall keep an itemized account of 
the cost of removal and if necessary, of the replacing of the 
bridge or grade and.  The actual cost shall must be paid by the 
district.  In case If the owner of the bridge or grade refuses 
to provide for the passage of the equipment, the managers may 
remove such the bridge or grade at the expense of the district, 
interrupting traffic in the least degree consistent with good 
work and without delay or unnecessary damage.  In case If the 
managers are prevented from doing so, the owner of the bridge or 
grade shall be is liable for the damages resulting from the 
delay.  
    112.67 [CONTRACTS OF COOPERATION AND ASSISTANCE.] 
    The managers may enter into make contracts or other 
arrangements with the United States government, or any federal 
department thereof, with persons, railroads, or other 
corporations, with public corporations, and the state government 
of this state or other states, or any state department thereof, 
with drainage, flood control, soil conservation, or other 
improvement districts, in this state or other states, for 
cooperation or assistance in constructing, maintaining, and 
operating the works of the district, or for the control of 
the its waters thereof, or for making surveys and investigations 
or reports thereon; and on them.  The managers may purchase, 
lease, or acquire land or other property in adjoining states in 
order to secure outlets;, to construct and maintain dikes or 
dams or other structures for the accomplishment of the purposes 
of this chapter.  
    112.68 [OTHER STATUTES APPLICABLE.] 
    The provisions of Sections 471.59 and 471.64, are hereby 
made applicable apply to districts organized under this chapter. 
    112.69 [CONSTRUCTION BY GOVERNMENTAL AGENCIES; PROCEDURE; 
CONVEYANCES TO FEDERAL GOVERNMENT.] 
    Subdivision 1.  [HEARING; APPRAISAL.] Where If an 
improvement is to be constructed within the district under a 
contract between the managers of said the district and the state 
of Minnesota, or any state department thereof, or by the United 
States of America, or any federal department thereof, wherein, 
and if the cost of the construction is to be paid for by the 
governmental agency but the rights-of-way, legal, and general 
expenses of the improvement are to be paid by the district, the 
managers shall forward a copy of the improvement plan to the 
board and director for their reports thereon; thereupon, on it.  
    They shall then hold a public hearing on the proposed 
contract authorized by section 112.67 following publication of 
notice.  Notice must be published once each week for two 
successive weeks prior to before the date of the hearing in a 
legal newspaper, published in the county or counties in which a 
part or all of the affected waters and lands are located.  The 
last publication shall must occur at least ten days before the 
hearing.  The notice shall must state the time and place of 
hearing, the general nature of the proposed improvement, the its 
estimated cost thereof, and the area proposed to be assessed.  
Not less than At least ten days before the hearing, notice by 
mail shall must be given mailed to each resident owner, as shown 
on the county auditor's most recent records maintained for 
taxation purposes, within the area proposed to be assessed, and 
to the director and to each public body within the area to be 
assessed likely to be affected, but.  Failure to give mailed 
notice or defects in the notice shall do not invalidate the 
proceedings.  
    At the time and place specified in the notice the managers 
shall hear all interested parties interested for and against the 
proposed project or improvement and.  All questions relative 
thereto shall to it must be determined upon evidence presented 
at the hearing.  If upon full hearing the managers find that the 
improvement will be conducive to public health and promote the 
general welfare, and is in compliance complies with the 
provisions and purposes of this chapter, they shall make 
findings accordingly and, authorize the project, and enter into 
make the proposed contract or other arrangement.  Thereupon The 
managers shall then appoint three disinterested freeholders of 
the state to act as appraisers.  After the appraisers so 
selected subscribe to sign an oath to faithfully and impartially 
perform their duties, they shall, with or without the engineer, 
determine the benefits or damages to all lands and 
properties property affected by the proposed improvement.  They 
shall make and file with the managers a detailed statement 
showing the actual damages that have resulted or will result to 
individuals, property, or corporations from the construction of 
the improvement and.  They shall make and file with the managers 
a detailed statement and list of lands and other property, 
including highways and corporations, receiving actual benefits 
by way of drainage, control of flood waters, or by other 
means herein authorized in this chapter. 
    Subd. 2.  [HEARING ON APPRAISERS' REPORT.] Upon the filing 
of the appraisers' report and the plans and engineering data 
prepared by the governmental agency the managers shall prepare a 
detailed statement of all costs including damages to be incurred 
by the district in the construction of the improvement.  They 
shall, within 35 days thereafter by, order fix a time and place 
within the district for a hearing upon the appraiser's report.  
The managers shall cause give notice to be given by publication 
and mailing as above provided in subdivision 1 for a hearing on 
a petition.  At the time and place specified in the notice, the 
managers shall hear all parties interested for and against the 
confirming of the report; and.  They may order and direct the 
modification of the assessment of benefits and damages, and 
amend or change the list of properties reported as benefited or 
damaged.  If the amended reports include property not included 
in the original report, the managers shall adjourn and cause to 
be published publish and mailed mail as in the original notice 
the proper notice with reference to concerning all lands and 
properties not included in the previous notice.  If upon full 
hearing the managers find that the benefits resulting from the 
construction will be greater than the assessments including 
damages they shall confirm the report.  All Persons or public 
corporations affected by the order may appeal therefrom as 
herein provided it under this chapter. 
    Upon the filing by the managers with the auditor of any a 
county of a statement listing the property and corporations 
benefited or damaged or otherwise affected by any an improvement 
as found by the appraisers and approved by the managers, 
proceedings shall be had as provided in may be brought under 
section 112.60. 
    Section 112.47 is not applicable does not apply to works of 
the district constructed under contract as provided in this 
section. 
    Subd. 3.  [TAKING LAND; PROCEEDING.] When it is required 
that the board of managers are required to acquire the fee 
simple estate or a lesser interest in real property pursuant 
according to this section or convey to the United States 
government the fee simple estate or a lesser interest in real 
property, the managers shall, prior to before the filing of the 
appraiser's report, record in the office of the county recorder 
of the county in which the lands are situated, a notice of the 
pendency of a proceeding initiated by the managers to acquire 
the lands to be conveyed to the United States government which.  
The notice shall must state the purpose for which the lands are 
to be taken.  At least 20 days before the hearing upon the 
appraiser's report, notice of the hearing in addition to that 
required by subdivision 2 hereof shall must be served upon the 
owners of the property to be acquired, in the same manner as the 
summons in a civil action, which.  The notice shall must 
describe the land, state by whom and for what purpose it is to 
be taken, and give the names of all persons appearing of record 
or known to the managers to be the owners.  The notice shall 
must also state that appraisers have been appointed in the 
manner as provided by subdivision 1 hereof, to determine the 
benefits and damages, and that a hearing will be held by the 
managers upon on the appraiser's report at the time and place 
specified in the notice.  When the managers have confirmed the 
appraiser's report listing the property benefited or damaged as 
provided in subdivision 2, the managers shall have all rights of 
possession and entry conferred in other cases of condemnation by 
chapter 117.  Thereafter After confirmation, the attorney for 
the managers shall make a certificate describing the land taken, 
and the purpose for which taken the taking, and reciting the 
fact of payment of all awards as determined by the appraisers 
appointed by the managers or judgments in relation thereto, 
which certificate, upon approval thereof to the land.  When 
approved by the managers, shall establish the certificate 
establishes the right of the watershed district in the lands 
taken and shall.  It must be filed for record with the county 
recorder of the county in which containing the lands are 
situated, which record shall be.  It constitutes notice to all 
parties of the title of the watershed district to the 
lands therein described in it.  Thereafter The managers are 
authorized to may then convey such the lands and interests 
acquired to the United States government, if necessary. 
    112.71 [USE OF WATER, CONTRACTS; NOTICE, HEARING.] 
    The rights enjoyed by of private or corporate landowners, 
whether private or corporate, to the use of the waters of the 
district for any purpose shall continue as they existed at the 
time of the organization of the district and.  All such rights 
then existing shall must be recognized and observed by the 
managers, but when improvements made by the district make 
possible a greater, better, or more convenient use of or benefit 
from the waters of the district for any purpose, the right 
to such the greater, better or more convenient use of or benefit 
from such waters shall be is the property of the district, and 
such.  The district may lease or assign the rights may be leased 
or assigned by the district in return for reasonable 
compensation, as provided herein in this section.  
    All Leases, assignments, permits, or contracts for the use 
of water shall be entered into only after a report has been made 
by the managers of such the district have reported to the board 
setting forth the terms and conditions of the lease, permit, or 
contract relative to the use of any district property of the 
district.  The secretary of the board shall give due 
notice thereof of the contract to all parties interested, by 
mail, and shall cause to be published have notice of the 
application, stating therein published.  The notice must state 
the purpose of the application and the time and place of hearing 
thereon on it.  At the time of hearing the board shall hear all 
interested persons for or against such the proposed contract and 
make its order accordingly upon such on conditions and 
restrictions as may be necessary to protect the interest of the 
district and of the public.  
    112.72 [OTHER DRAINAGE LAWS, EFFECT OF REFERENCE.] 
    Whenever reference is made herein to When this chapter 
refers to particular sections of any drainage laws of this state 
and sections thereof are referred to, the sections and 
provisions shall, if not inconsistent consistent with this 
chapter, be treated and construed as having the same force and 
effect, so far as the provisions of this chapter are concerned, 
as though herein set forth in this chapter.  Any Amendments of 
such act or acts those laws passed after the effective date of 
this chapter shall become applicable to this chapter.  
    112.73 [ANNUAL AUDIT.] 
    The managers shall make such the reports as are demanded by 
the state auditor.  The managers shall cause to be made an 
annual audit of have the books and accounts of the district 
audited annually.  Such The audit may be made by either a public 
accountant or by the state auditor.  If the audit is to be made 
by the state auditor it shall must be initiated by a petition of 
the resident freeholders of the district or resolution of the 
managers of the watershed district requesting such the audit 
pursuant to under the authority granted municipalities under the 
provisions of sections 6.54 and 6.55.  If the audit is made by 
the state auditor the district receiving such the examination 
shall pay to the state the total cost and expenses of such the 
examination, including the salaries paid to the examiners while 
actually engaged in making such the examination.  The revolving 
fund of the state auditor shall must be credited with all 
collections made for any such the examinations.  
    112.74 [EXISTING DISTRICTS MAY COME UNDER CHAPTER.] 
    Any district heretofore organized before April 23, 1955, 
under the provisions of Minnesota Statutes 1953, sections 111.01 
to 111.42, or 112.01 to 112.33, may acquire the right to operate 
under and exercise all the rights and authority of this chapter, 
instead of the act under which it was organized, upon the filing 
by.  To do so, the governing board of such the district, in 
the office of the court administrator of district court of the 
county in which its principal place of business is situate, must 
file a petition to the court asking that the district be granted 
such the authority.  The petition must be filed in the office of 
the court administrator of the district court of the county 
where the governing body's principal place of business is 
located.  The court administrator of district court, as directed 
by the judge, shall thereupon fix then set a time and place for 
hearing upon on the petition.  Notice of the hearing shall be 
given by publication must be published for two successive weeks 
in a newspaper published in each county having territory 
within such the district.  The court administrator of district 
court shall give written notice of the hearing to the secretary 
of the water resources board.  If at the hearing the court finds 
that it is for the best interests of the district to be 
granted such the authority, it may by order grant such the 
petition.  Thereafter The district may then exercise the 
authority provided for in this chapter.  Thereafter, upon 
petition by the managers, the name of the district, and the 
number and distribution of the board of its managers of the same 
shall be as the water resources board shall prescribe prescribes 
after notice and hearing.  The distribution shall take effect 
upon the expiration of term of office of the director of the 
conservancy district as the term of office of each director 
expires.  The appointments shall be made by the county 
commissioners as provided in Minnesota Statutes 1961, section 
112.42, subdivision 3.  
    112.76 [CORPORATE EXISTENCE OF CERTAIN DISTRICTS,; 
TERMINATION.] 
    The corporate existence of any district organized under the 
provisions of Minnesota Statutes 1953, sections 112.01 to 
112.33, wherein no work has been performed during the five-year 
period immediately prior to before April 23, 1955, shall be 
terminated unless within one year thereafter such the district 
makes application for authority to continue its corporate 
existence under the provisions of this chapter.  The procedure 
to provide a record of the termination of a district shall must 
be initiated started by a petition from the Minnesota water 
resources board to the district court of the county in which 
where its principal place of business is situated.  Said The 
petition shall must contain a statement to the effect that no 
work was performed during the five-year period immediately prior 
to April 23, 1955 and that no application was made to continue 
the district's operation under this chapter.  The court 
administrator of the district court, as directed by the judge, 
shall fix a time and place for hearing upon the petition.  
Notice of the hearing shall be given by publication for two 
successive weeks in a newspaper published in each county having 
territory within such district.  If the court finds that the 
facts in the petition exist it shall issue an order finding the 
fact of the termination of the district.  A copy of such the 
order shall be filed in the office of the secretary of state.  
    After April 23, 1955, no new district shall be organized 
under the provisions of Minnesota Statutes 1953, chapter 112.  
    The above procedure for termination shall apply with like 
force and effect in this section also applies to any a district 
organized under the provisions of Minnesota Statutes 1961, 
sections 111.01 to 111.42, wherein where no work has been 
performed during the 20-year period immediately prior to before 
May 21, 1965.  After May 21, 1965, no new district shall be 
organized under the provisions of Minnesota Statutes 1961, 
sections 111.01 to 111.42. 
    112.761 [PROCEEDINGS FOR ENLARGEMENT OF TO ENLARGE A 
DISTRICT.] 
    Subdivision 1.  [PETITION.] Proceedings for the enlargement 
of to enlarge an existing district shall must be initiated by a 
petition filed with the secretary of the board.  The required 
signatures on a petition to enlarge shall be are the same as 
prescribed for a nominating petition, provided, however, but the 
percentages shall must be calculated only with reference to the 
territory which that is proposed to be added to the 
district.  Such The petition shall must state: 
    (1) that the area to be added is contiguous to the existing 
district; 
    (2) that it the area can be feasibly administered by the 
managers of the existing district; 
    (3) the reasons why it adding the area to the existing 
district would be conducive to the public health and welfare to 
add the area to the existing district; 
    (4) a map of the affected area; 
    (5) the name of the enlarged district, if other than that 
of the existing district; and 
    (6) a request for the addition of the proposed territory. 
    The petition shall must be served and the board shall must 
proceed in a manner as prescribed for a nominating petition.  
The requirement of notice, and public hearings shall be is as 
prescribed for the nominating petition.  Service of The petition 
shall be made upon must be served on any affected watershed 
district. 
    Subd. 2.  [BOARD ORDER.] Upon the hearing, if it appears to 
the board that the enlargement of the district as prayed asked 
for in the petition would be for the public welfare and public 
interest and the purpose of this chapter, would be served, it 
shall, by its findings and order, enlarge the district and file 
a certified copy of said the findings and order with the 
secretary of state.  The name of the district may be changed by 
order of the board if requested in the petition to enlarge the 
district. 
    Subd. 3.  [DISTRIBUTION OF MANAGERS IN ENLARGED DISTRICT.] 
If the enlarged district, as enlarged, affects more than one 
county, distribution of the managers among the counties affected 
shall be as directed by the board in the order enlarging the 
district. 
    112.78 [FAULTY NOTICES,; EFFECT.] 
    In any case where When a notice is provided for in this 
chapter required for any a hearing or proceeding before the 
board, managers, or district court, if the board or managers or 
court finds that due notice was not given, it does not thereby 
lose jurisdiction, and the proceedings are not thereby invalid, 
but.  The board, managers, or court, in such that case, shall 
order notice to be given and.  They shall continue the hearing 
until such time as such notice shall be is properly given, 
and thereupon shall then proceed as though notice had been 
properly given in the first instance.  In case If the original 
notice was faulty only with reference to publication as to 
certain tracts, only the persons interested in those particular 
tracts need be notified by a subsequent later notice.  If the 
publication of any a notice in any a county was defective or not 
made in time, notice need be given only within the county in 
which notice was defective.  
    112.79 [HEARINGS,; CONTINUANCES.] 
    Whenever an order has been made and notice given for a 
hearing in any proceeding under this chapter, and the board or 
managers or court fail fails to appear at the time and place 
specified, the secretary of the board or managers or the court 
administrator of the district court shall continue the hearing 
to such other another date as is deemed necessary and notify the 
board or managers or the court of the continuance and the date 
of hearing.  The matter shall be continued to the that 
date fixed by the secretary of the board or any manager, or the 
court administrator, without affecting the jurisdiction of the 
board or, the managers, or the court.  
    112.801 [APPELLATE PROCEDURES AND REVIEW.] 
    Subdivision 1.  [WHAT CAN BE APPEALED.] An appeal may be 
had to the district court or to the Minnesota water resources 
board by any party, or jointly by more than one, aggrieved by an 
order of the managers made in any proceeding and entered upon 
its record determining any of the following matters: 
    (1) the amount of benefits determined; 
    (2) the amount of damages allowed; 
    (3) Relative to the allowance of fees or expenses in any 
proceedings,; 
    (4) Which a matter that affects a substantial right,; or 
    (5) an order of the board of managers authorizing or 
refusing to establish a project and improvement in whole or in 
part. 
    Subd. 2.  [AMOUNTS AWARDED ON APPEAL ARE SUBSTITUTED.] In 
all cases of appeal, the amount awarded by the jury or the board 
as finally determined shall stand for and in the place of the 
amount from which the appeal was taken. 
    Subd. 3.  [APPEALS FROM BOARD ORDERS.] If an appeal is 
taken from an order authorizing an improvement, the trial of any 
appeals from benefits or damages in such the proceedings shall 
must be stayed pending the determination of such until the 
appeal is decided.  If the order authorizing be is affirmed, any 
such the appeal from benefits or damages shall must then stand 
for trial as provided by this section.  If such the appeal be is 
from an order refusing to authorize an improvement, and if the 
court or the board thereafter later orders the improvement, the 
secretary of the district shall give notice by publication of 
the filing of the order.  Such The notice shall be is sufficient 
if it refers to the proposed improvement by general description 
and recites the substance of the order and the date of filing in 
the court. 
    Subd. 4.  [APPEALS CAN INVOLVE PROPERTY OTHER THAN 
APPELLANT'S OWN.] Any person or public corporation appealing on 
the first or second grounds named in subdivision 1, amount of 
benefits or damages may include and have considered and 
determined benefits or damages affecting property other than 
that person's own.  Notice of such the appeal shall must be 
served upon the owner or occupant of such the other property or 
upon the attorney who represented such the owner in the 
proceedings.  Such The notice of appeal shall must be served 
upon on the auditor of the county wherein where the property is 
situated located and upon on the court administrator of the 
district court of the county wherein where the principal place 
of business of the district is located, or upon the secretary of 
the board. 
    Subd. 5.  [NOTICE OF APPEAL.] To render make the appeal 
effectual effective, the appellant shall file a notice of appeal 
with such the court administrator of the district court or the 
secretary of the board.  It must be filed within 30 days of the 
date of such the final order a notice of appeal which shall.  It 
must state the grounds upon which the appeal is taken.  The 
notice of appeal shall It must be accompanied by an appeal bond 
to the district where the property is situate located of not 
less than at least $250 to.  The bond must be approved by the 
court administrator of the district court or the secretary of 
the board, as the case may be,.  The bond must be conditioned 
that the appellant will duly prosecute the appeal and, pay all 
costs and disbursements which that may be adjudged against the 
appellant, and abide comply with the order of the court or of 
the board, as the case may be. 
    Subd. 6.  [TIME AND PLACE OF TRIAL.] The issues raised by 
the appeal shall stand for trial must be tried by a jury, or by 
the board at a time and place fixed by it or by a jury, and.  If 
it is tried by a jury, shall it must be tried and determined at 
the next term of the district court held within the county in 
which the notice of appeal was filed, or in such other 
counties in which where the appeal shall be is heard, beginning 
after the filing of the appeal; and shall.  Appeals take 
precedence over all other court civil matters of a civil nature. 
    If there is more than one appeal to the board involving the 
same project for improvement, or if there is more than one 
appeal triable in one county, the court or the board may, on its 
own motion or upon the motion of a party in interest, 
consolidate two or more appeals them and try them together, but 
the rights of the appellants shall must be separately 
determined.  Consolidation may be on the court's or board's own 
motion or on the motion of a party in interest.  
    In case of appeal as to damages or benefits to property 
situate in the a county other than the county where the 
principal place of business of the district is located, and if 
the appellant so requests, the trial shall must be held at the 
next term of the district court of the county wherein containing 
the lands are situated.  In such that case, the court 
administrator of the district court where the appeal is filed, 
shall make, certify and file in the office of the court 
administrator of district court of the county where the trial is 
to be had, a transcript of the papers and documents on file in 
the court administrator's office in the proceeding so far as 
they pertain to the matter on account of for which the appeal is 
taken.  The court administrator shall certify the transcript and 
file it in the office of the court administrator of the district 
court in the county where the appeal will be tried.  After the 
final determination of such the appeal, the court administrator 
of the district court where the action is tried shall certify 
and return the verdict to the district court of the county where 
the proceedings were instituted.  
    If the appeal is to the board, the board shall file its 
decision with the board's secretary thereof.  If the appeal is 
taken to the board from the order of the managers, the decision 
of such the board may be reviewed by certiorari proceedings in 
the district court of a county in which the proposed project 
lies in whole or in part.  If the appeal from the order of the 
managers is to the district court, and it appears to the court 
that there are involved facts, circumstances, or 
matters peculiarly or especially within the knowledge, 
functions, or duties of the Minnesota water resources board, the 
court may refer to such the board as referee questions of fact 
within the scope of such the board's knowledge, functions, and 
duties.  Thereupon such The board shall make its findings of 
fact upon the questions of fact so submitted to it and report 
the same them back to the court. 
    Subd. 7.  [TRIAL RECORD.] The board shall make a record of 
all matters tried by it on appeal or referred to it by the 
district court for findings of fact under the provisions of this 
section.  Such The record shall must meet the requirements of a 
record of the trial of a matter in district court. 
    Subd. 8.  [ADMINISTRATIVE PROCEDURE.] All Proceedings 
before the board shall be in conformity with must conform to 
sections 14.02, 14.04 to 14.36, 14.38, 14.44 to 14.45, and 14.57 
to 14.62. 
    112.82 [AGGRIEVED PARTIES,; RIGHTS.] 
    Subdivision 1.  [ESTABLISHMENT; APPEAL.] Any A party may 
appeal as in other civil cases if aggrieved by a final order or 
judgment rendered given on appeal to the district court, or by 
the original order of the court made in any proceedings heard 
and tried before the court may appeal as in other civil cases.  
    Subd. 2.  [REPAIR; APPEAL.] In any a proceeding before the 
managers for the repair, improvement, maintenance, 
consolidation, or abandonment of any of the works of the 
district, the same right of appeal shall be had is the same as 
in other civil cases. 
     112.84 [DUE PROCESS OF LAW.] 
    No person shall, under this chapter, be deprived or 
divested of any previously established beneficial uses or rights 
without due process of law.  
    112.85 [WITHDRAWAL OF TERRITORY.] 
    Subdivision 1.  [PETITION.] Proceedings to withdraw any 
territory from an existing district shall must be initiated by a 
petition filed with the secretary of the board.  The required 
signatures on a petition for withdrawal shall be are the same as 
prescribed for a nominating petition, provided, however, but the 
percentages shall must be calculated only with reference to the 
territory which that is proposed to be withdrawn from the 
district.  Such The petition shall must state that the territory 
so described has not received or will not receive any benefits 
from the operation of the district, that the district can 
perform the functions for which it was established without the 
inclusion of said the territory, and that said the territory 
is not, in fact, a part of the watershed.  The petition shall 
must request the release of the described territory from the 
district. 
    The petition shall must be served and the board shall 
proceed in a manner as prescribed for a nominating petition.  
The requirements for notices and public hearings shall be are as 
prescribed for the nominating petition.  Service of The petition 
shall be made upon must be served on any affected watershed 
district. 
    Subd. 2.  [BOARD'S ORDER OF WITHDRAWAL.] Upon the hearing 
if it appears to the board that the territory as described in 
the petition has not and will not receive any benefit from the 
operation of the district and that the district can perform the 
functions for which it was established without the inclusion 
of said the territory, and that said the territory is not, in 
fact, a part of the watershed, the board may issue an order 
releasing the territory, or any part of said territory it, as 
described in the petition.  No lands shall be released which 
have been determined subject to any benefits or damages for any 
improvement previously constructed.  The Territory so 
released shall remain remains liable for its proportionate share 
of any indebtedness existing at the time of the order.  Levies 
on the lands shall continue in force until fully paid.  If the 
board shall determine determines that the order prescribing the 
distribution of managers should be amended following the 
withdrawal of any territory it may so direct in the order 
authorizing the withdrawal. 
    112.86 [CONSOLIDATION OF DISTRICTS.] 
    Subdivision 1.  [PETITION.] Proceedings for the 
consolidation of two or more districts shall must be initiated 
by a petition filed with the board.  The petition shall must be 
signed by each district affected and shall must state: 
    (1) the names of the districts to be consolidated.;  
    (2) that the districts are adjoining.;  
    (3) that the consolidated districts can be feasibly 
administered as one district.;  
    (4) the proposed name of the consolidated district.;  
    (5) the reasons why it would be conducive to the public 
health, convenience and welfare to consolidate the districts.; 
and 
    (6) a request for the consolidation.  
    The petition shall must be served and the board shall 
proceed in a manner as prescribed for a nominating petition.  
The requirement of notice, and public hearings shall be are as 
prescribed for the nominating petition.  
    Subd. 2.  [BOARD'S ORDER AND FINDINGS.] Upon the hearing, 
if it appears to the board that consolidation of the districts 
as prayed for asked in the petition would be for serve the 
public welfare and, public interest and the purpose of this 
chapter, would be served, it shall, by its findings and order, 
consolidate the districts and.  It shall file a certified copy 
of said the findings and order with the secretary of state.  The 
name of the district may be changed by order of the board.  
    Subd. 3.  [NEW MANAGERS.] The term of office of all 
managers of the districts consolidated shall end upon the order 
of consolidation.  Distribution of the managers of the 
consolidated district shall be as directed by the board in the 
order of consolidation.  The Five managers of the consolidated 
district shall must be appointed from the managers of the 
districts consolidated.  They shall be five in number and Their 
first term shall be for one year, thereafter.  After that, they 
shall must be appointed as provided in this chapter. 
    Subd. 4.  [DISTRICT ASSETS, LIABILITIES.] All of the 
assets, real and personal, of the districts involved and all 
legally valid and enforceable claims and contract obligations of 
the districts pass to the new district.  Levies on the property 
of the districts consolidated shall continue in force until 
fully paid and.  All land shall remain remains liable for its 
proportionate share of any indebtedness existing at the time of 
the order.  
    Subd. 5.  [NEW PLAN.] The overall plans of the existing 
districts shall become the overall plan of the consolidated 
district.  
    112.87 [DAMAGES; PAYMENT.] 
    Section 117.155 shall does not apply to any a project to 
be financed by special assessment.  When the damages for a 
project to be financed by special assessment are awarded and 
duly confirmed, the managers shall determine that the project's 
benefits exceed the total costs, including any damages awarded, 
and.  They shall amend its the project's statement filed with 
the county auditor pursuant to under section 112.60, subdivision 
1, to reflect the amount of damages awarded.  Before entering 
upon any property for which damages were awarded in order to 
initiate the begin construction of the project, the managers 
shall pay the amount of damages awarded less any assessment 
against the property from the funds provided by the county board 
pursuant to under section 112.60.  In case of appeal of If the 
amount of damages is appealed, no damages shall be paid until 
the final determination thereof of the appeal. 
    112.88 [FEE FOR PERMIT; BOND.] 
    Subdivision 1.  [APPLICATION FEE.] A person applying for 
any kind of a permit required by the managers of a watershed 
district in a rule made pursuant to under section 112.43, 
subdivision 1, clause (17), shall accompany the application with 
a permit application fee in an amount set by the managers not in 
excess of $10 to defray the cost of recording and processing the 
application.  The managers may set the fee, but it must not 
exceed $10. 
    Subd. 2.  [FIELD INSPECTION FEE.] The managers of a 
watershed district may charge, in addition, a field inspection 
fee of not less than at least $35, which shall.  It must be used 
to cover actual costs related to a field inspection, including.  
These costs include investigation of the area affected by the 
proposed activity, analysis of the proposed activity, services 
of a consultant, and any required subsequent monitoring of the 
proposed activity.  Costs of monitoring an activity authorized 
by permit may be charged and collected as necessary after 
issuance of the permit. 
    Subd. 3.  [GOVERNMENT AGENCIES EXEMPT.] The fees in 
subdivisions 1 and 2 shall must not be charged to an agency of 
the United States or any a governmental unit in this state. 
    Subd. 4.  [BOND.] The managers of a watershed district may 
require an applicant for a permit to file a bond with the 
managers in an amount set by the managers and conditioned on 
performance by the applicant of authorized activities in 
conformance with the terms of the permit. 
    112.89 [ENFORCEMENT.] 
    Subdivision 1.  [MISDEMEANOR.] A violation of a provision 
of this chapter or a rule, order, or stipulation agreement made 
or a permit issued by the board of managers of a watershed 
district pursuant to under this chapter is a misdemeanor. 
    Subd. 2.  [METHODS OF ENFORCEMENT.] A provision of this 
chapter or a rule, order, or stipulation agreement made or a 
permit issued by the board of managers of a watershed district 
pursuant to under this chapter may be enforced by criminal 
prosecution, injunction pursuant to under section 112.43, 
subdivision 2, action to compel performance, restoration, 
abatement, and other appropriate action. 

                                ARTICLE 4
    Section 1.  Minnesota Statutes 1986, chapter 274, is 
amended to read:  
    274.01 [BOARD OF REVIEW.] 
    Subdivision 1.  [ORDINARY BOARD; MEETINGS, DEADLINES, 
GRIEVANCES.] (a) The town board of each a town, or the council 
or other governing body of each a city, is the board of review 
except in cities whose charters provide for a board of 
equalization, shall be a board of review.  The county assessor 
shall fix a day and time when each of such boards and the board 
or the board of equalization of any city whose charter provides 
for a board of equalization shall meet in the several assessment 
districts of the county, and shall.  On or before April 1st 1 of 
each year the assessor shall give written notice thereof of the 
time to the city or town clerk.  Such meetings Notwithstanding 
the provisions of any charter to the contrary shall, the 
meetings must be held between April 1st 1 and June 30th in 30 
each year, and.  The clerk shall give published and posted 
notice of such the meeting at least ten days prior to before the 
date fixed of the meeting.  Such The board shall meet at the 
office of the clerk to review the assessment and classification 
of property in such the town or district, and immediately 
proceed to examine and see that all city. 
    (b) The board shall determine whether the taxable property 
in the town or district city has been properly placed upon on 
the list, and duly properly valued by the assessor.  In case any 
property, If real or personal shall have property has been 
omitted, the board shall place it upon on the list with its 
market value, and correct the assessment so that each tract or 
lot of real property, and each article, parcel, or class of 
personal property, shall be is entered on the assessment list at 
its market value; but.  No assessment of the property of any 
person shall may be raised until unless the person has been duly 
notified of the intent of the board to do so to do.  On 
application of any person feeling aggrieved, the board shall 
review the assessment or classification, or both, and correct it 
as shall appear appears just.  
    (c) A majority of the members may act at such the meeting, 
and adjourn from day to day until they finish the hearing of all 
the cases presented.  The assessor shall attend, with the 
assessment books and papers, and take part in the proceedings, 
but shall must not vote.  The county assessor, or an assistant 
delegated by the county assessor shall attend such the 
meetings.  The board shall list separately, on a form appended 
to the assessment book, all omitted property added to the list 
by the board and all items of property increased or decreased, 
with the market value of each item of property, added or changed 
by the board, placed opposite such the item.  The county 
assessor shall enter all changes made by the board in the 
assessment book. 
    (b) (d) If a person fails to appear in person, by counsel, 
or by written communication before the board after being duly 
notified of the board's intent to raise the assessment of the 
property, or if a person feeling aggrieved by an assessment or 
classification fails to apply for a review of the assessment or 
classification, the person may not appear before the county 
board of equalization for a review of the assessment or 
classification, except when.  This paragraph does not apply if 
an assessment was made subsequent to after the board meeting of 
the board, as provided in section 273.01, or that if the person 
can establish not having received notice of market value at 
least five days before the local board of review meeting. 
    (e) The board of review, and or the board of equalization 
of any city, unless a longer period is approved by the 
commissioner of revenue, shall must complete its work and 
adjourn within 20 days from the time of convening specified 
stated in the notice of the clerk and, unless a longer period is 
approved by the commissioner of revenue.  No action taken 
subsequent to such after that date shall be is valid.  All 
complaints in reference to any about an assessment or 
classification made after the meeting of such the board, 
shall must be heard and determined by the county board of 
equalization.  Any A nonresident may, at any time, before the 
meeting of the board of review file written objections to an 
assessment or classification with the county assessor and if any 
such.  The objections are filed they shall must be presented to 
the board of review at its meeting by the county assessor for 
its consideration. 
    Subd. 2.  [SPECIAL BOARD; DUTIES DELEGATED.] The council or 
other governing body of any a city, including cities a city 
whose charters provide charter provides for a board of 
equalization, may appoint a special board of review to which 
it.  The city may delegate to the special board of review all of 
the powers and duties specified in subdivision 1.  The special 
board of review shall serve at the direction and discretion of 
the appointing body, subject to the restrictions imposed by 
law on the appointing body.  The appointing body shall determine 
the number of members to be appointed thereto of the board, the 
compensation and expenses to be paid, and the term of office of 
each member.  At least one member of the special board of review 
shall must be an appraiser, realtor, or other person familiar 
with property valuations in the assessment district. 
    274.03 [NOTICE OF MEETING.] 
    The clerk shall give at least ten days' posted notice of 
the time and place of the meeting of the board of review; but.  
The Failure to give such notice or hold such the meeting shall 
does not vitiate any assessment, except as to the excess over 
the market value of the property. 
    274.04 [ASSESSOR'S RETURN TO AUDITOR.] 
    Subdivision 1.  [ASSESSMENT BOOKS; AFFIDAVITS.] The 
assessor shall foot each column in the assessment books, and 
make in each book, under proper headings, a tabular statement 
showing the footings of the several columns upon on each page.  
The assessor shall also foot the total amounts of the several 
columns under the respective headings.  On or before the first 
Monday of May, the assessor shall return the assessment books to 
the county auditor the assessment books, and deliver therewith 
the lists and statements of all persons assessed, all of which 
shall be preserved in the office of the auditor.  Such The 
return shall must be verified by affidavit, substantially in the 
following form: 
 
 "State of Minnesota           )                          
                               ) ss.                      
 County of ................... )                          
    I, .........., assessor of .........., do solemnly swear 
that the book to which this is attached contains a correct and 
full list of all the real property (or personal property, as the 
case may be) subject to taxation in .........., so far as I have 
been able to ascertain the same, and that the market value and 
the assessed value set down in the proper column, opposite the 
several kinds and descriptions of property, is in each case the 
market and the assessed value of such the property, to the best 
of my knowledge and belief (where the assessment has been 
corrected by the town board, "except as corrected by the town 
board"), and that the footings of the several columns in said 
the book, and the tabular statement returned herewith with it, 
are correct, as I verily believe. 
    .......... 
    Assessor. 
    Subscribed Signed and sworn to before me this .......... 
day of .........., 19.... 
    .......... 
    Auditor of .......... County." 
    The auditor shall preserve the records. 
    Subd. 2.  [SUMMARY; AFFIDAVIT.] In counties where the 
county auditor has elected to come keep records under the 
provisions of section 273.03, subdivision 2, the county assessor 
shall prepare recapitulations in such form as is prescribed by 
the commissioner of revenue, summaries of the total amount of 
market and assessed valuations by subdivisions of government 
within the county as of January 2 of each year.  The summary 
must be in the form required by the commissioner of 
revenue.  Such recapitulation shall The summary must be 
submitted on or before the fourth Monday of June and shall must 
be verified by the assessor's affidavit, substantially in the 
following form: 
 
 "State of Minnesota           )                          
                               ) ss.                      
 County of ................... )                          
    I, .........., assessor of .........., do solemnly swear 
that the recapitulation summary attached hereto to this 
affidavit contains a correct and full statement of market and 
assessed valuations of real estate for the year 19..... 
    .......... 
    Assessor 
    Subscribed Signed and sworn to before me this .......... 
day of .........., 19.... 
    ........................................ 
    Auditor of ..............................  County." 
    A true copy of this recapitulation shall the summary must 
be certified by the county assessor and promptly forwarded to 
the commissioner of revenue. 
    274.05 [AUDITOR'S CERTIFICATE; WHERE FILED CERTIFICATES.] 
    Subdivision 1.  [AUDITOR'S CERTIFICATE OF ASSESSMENT 
BOOKS.] Upon the return of the assessment books, as provided for 
in under section 274.04, the county auditor shall examine such 
assessment books them; and, if found in proper form, shall issue 
a certificate to the assessor, setting forth the fact that such. 
The certificate must state that the books are conformable to the 
provisions of comply with section 274.04.  The assessor shall 
file such the certificate with the clerk of the town, and no 
compensation shall be allowed such assessor, by.  The town board 
, must not pay the assessor for services until the provisions of 
the assessor has complied with this section shall have been 
complied with. 
    Subd. 2.  [AUDITOR'S CERTIFICATE OF SUMMARIES.] Upon 
receipt of On receiving the recapitulations of market and 
assessed valuations provided for in summaries under section 
274.04, subdivision 2, the county auditor shall examine such 
recapitulations; them and, if found in proper form, shall issue 
a certificate to the assessor, setting forth the fact that such 
recapitulations are conformable to the provisions of.  The 
certificate must state that the summaries comply with section 
274.04, subdivision 2. 
    274.07 [LIST BY PERSON SICK OR ABSENT.] 
    If any person required to list property for taxation is 
prevented by sickness or absence from giving to listing it with 
the assessor such statement, such the person, or the person's 
agent having in charge of such the property, may, give the 
auditor a statement of the property value as required by this 
chapter at any time before the extension of taxes thereon are 
extended by the county auditor, make and deliver a statement of 
the same, as required by this chapter, to the auditor, who shall 
make an entry thereof,.  The auditor shall list the property and 
correct the corresponding items in the return made by the 
assessor, as the case may require; but.  No such statement shall 
may be received from any person who refused or neglected to make 
oath attest to the statement when required by the assessor; 
nor.  No statement may be received from any person, unless the 
person makes and files therewith with it an affidavit of absence 
from the town or district without design to avoid the listing of 
the property, or was prevented by sickness from giving to the 
assessor the required statement when called on for that 
purpose asked to do so.  
    274.08 [CORRECTION OF BOOKS.] 
    The county auditor shall carefully examine the assessment 
books returned.  If any property has been omitted, the auditor 
shall enter the same upon it on the proper list, and 
forthwith.  The auditor shall notify the assessor making such of 
the omission, who.  Upon notification, the assessor shall 
immediately ascertain determine the value thereof of the omitted 
property and correct the original return.  In case of the 
inability or neglect of.  If the assessor to does not perform 
this duty, the auditor shall ascertain determine the value of 
such the property and make the necessary corrections. 
    274.09 [CORRECTION OF FALSE LISTS AND RETURNS.] 
    If the county auditor has reason to believe or is informed 
believes that any person has given to the assessor a false 
statement of personal property, or that the assessor has not 
returned the full amount of all property required to be listed 
in the assessor's town or district, or has omitted, or made an 
erroneous return of, any property subject to taxation, the 
auditor shall proceed, correct the return of the assessor.  At 
any time before the final settlement with the county 
treasurer, to correct the return of the assessor, and to the 
auditor shall charge the owners of such the property on the tax 
lists with the proper amount of taxes.  
    For such purpose purposes of this section the county 
auditor may issue compulsory process, require the attendance of 
any person supposed to have a knowledge of the property, or its 
value, and may examine such the person, on oath, in relation to 
such about the statement or return.  In all such cases, Before 
making the entry on the tax list, the county auditor shall 
notify the person required to list the property of the right to 
have an opportunity to show that the person's statement or the 
return of the assessor is correct; and.  The county auditor 
shall file in the auditor's office a statement of the facts or 
evidence upon which the auditor made such the corrections.  In 
no case shall The county auditor must not reduce the amount 
returned by the assessor without the written consent of the 
commissioner of revenue, on a statement of the case.  A 
statement supporting the reduction must be submitted by the 
county auditor or the party aggrieved to the commissioner of 
revenue. 
    274.10 [PROPERTY OMITTED OR UNDERVALUED.] 
    Subdivision 1.  [EXAMINER; APPOINTMENT, DUTIES.] The 
governor shall appoint an examiner when it shall be made to 
appear appears to the governor by on a verified complaint, or by 
the finding of a court or of the legislature, or any committee 
thereof of the legislature, that any a considerable amount of 
property in any county has been improperly omitted from the tax 
lists and assessment roll of such the county for any a year; or, 
if assessed, that the same property has been grossly undervalued 
by the assessor or other county officials, whether or not such 
the assessment has been reviewed by the county board of 
equalization, the governor shall appoint,.  The appointment must 
be in writing, some.  The appointee must be a competent citizen 
of the state, but not a resident of such the county, as 
examiner, to ascertain.  The person appointed shall determine 
the character, location, value, and ownership of the real and 
personal property in such the county so omitted or undervalued, 
who,.  Before entering upon duties, The person shall take an 
oath to faithfully to perform such the duties.  
    Such The person shall forthwith examine the subject, and 
prepare a report, in duplicate, attaching thereto.  A list must 
be attached to the report, showing the character, location, 
ownership, and valuation of all such property, with the year or 
years for which the same, or any part thereof, that has been 
omitted or undervalued.  The list must state the years or part 
of years that the property has been omitted or 
undervalued.  Such The list shall also must show opposite each 
piece or parcel of land or item of personal property 
undervalued, the amount of the assessment, and the its actual 
and market value thereof at the time the same it should have 
been assessed, and the difference between the its assessed and 
the actual value thereof as so found.  On or before 
January first 1, in the assessment year in which any such 
assessment is to be made, the examiner shall file one duplicate 
the report and list with the county auditor of such county, and 
the other with the commissioner of finance.  Such Lists shall 
must be verified substantially, as follows: 
    "I, ............................., do solemnly swear that I 
have personally examined the real and personal property in the 
foregoing attached list described, and that the same it is a 
correct and full list of all the real and personal property 
subject to taxation in said the county, and omitted from 
taxation for the years therein stated in it, or, if assessed for 
said those years, grossly undervalued, so far as I have been 
able to ascertain the same, and that the character, location, 
ownership, and valuation thereof of the property as set down in 
the proper column, opposite the several kinds and pieces of 
property, are just and true correct, to the best of my knowledge 
and belief."  
    Subd. 2.  [DEPUTIES; APPOINTMENT, DUTIES.] Such examiner, 
When necessary to properly perform duties within the time 
prescribed by law, with the approval of the governor, the 
examiner may appoint one or more well-qualified citizens of the 
state as deputies to assist in the performance of examiner's 
duties.  These The deputies shall perform such the duties as 
shall be assigned them by the examiner, first taking.  The 
deputies must take an oath to faithfully to perform such the 
duties.  
    Subd. 3.  [COMPENSATION OF EXAMINER AND DEPUTIES.] Such The 
examiner shall receive be paid $3 for services $3, and each 
deputy shall be paid $2, for every day in which they are 
necessarily employed in the performance of their duties, and.  
The examiner and deputies shall be paid their necessary 
expenses.  Upon the approval by the governor, such the 
compensation and expenses shall must be paid out of the general 
fund in the state treasury.  The respective counties shall 
reimburse the state therefor two years after the same are 
incurred payments are made.  The state auditor shall notify 
the county auditor of such county of the amount thereof, 
whereupon to be paid.  The county auditor shall levy a tax on 
the taxable property in the county sufficient to pay the same, 
and, it.  When collected, the proceeds thereof shall be 
forthwith of the tax must be paid into the state treasury in the 
same manner as like other state taxes. 
    274.11 [TAXES A LIEN ON PROPERTY IN EXAMINER'S LIST.] 
    The taxes upon all the property named in on the list of the 
examiner appointed as provided in under section 274.10, and 
found to have been omitted from or undervalued in the tax list 
for any year, shall be is a lien upon all the real property 
owned in such the county by any person named in such duplicate 
list in it as the owner thereof, from the time when such list 
shall be.  The lien attaches at the time the list is filed with 
the county auditor until the same.  The lien continues until the 
taxes are paid, and.  The lien may be satisfied out from the 
proceeds of the sale of any property in such the county owned by 
any the person so assessed. 
    274.12 [DUTIES OF AUDITOR AND ASSESSORS.] 
    Upon the receipt of any such the examiner's list, the 
county auditor shall enter the property therein described in it 
in the real and personal property assessment books; and,.  Upon 
receiving such the books from the auditor, the assessor shall 
assess the property so entered in it at its market value as 
shown by such the list,.  A copy of which shall the list 
must be furnished to the assessor with the assessment books of 
the district.  The assessor shall also make the necessary 
corrections in any assessment theretofore made so as to make the 
same made before receipt of the list to correspond with the 
market value of the property as returned shown in such the list, 
and correct the returns accordingly.  The auditor shall 
proceed thereon as provided by under sections 273.02 and 
274.09.  On finding from any such the examiner's list that any 
property has been omitted from or undervalued in the lists of 
any prior year or years, the auditor shall forthwith enter the 
same it on the assessment and tax books for the year or years in 
which the same it was omitted or undervalued, and shall assess 
such.  The omitted and undervalued property must be assessed at 
the valuation and amounts so shown, and extend on the list.  The 
arrearages of taxes on such the property accruing against the 
same it must be extended upon the tax list for the current year, 
and collect the same as collected like other taxes.  Any An 
assessor or county auditor who shall neglect neglects to perform 
any a duty required by under this section shall be is guilty 
of a misdemeanor; and,.  In addition to the usual penalty, shall 
be the assessor or auditor is liable on official bond for all 
taxes on any and all the property named in such on the 
examiner's list. 
    274.13 [COUNTY BOARD OF EQUALIZATION.] 
    Subdivision 1.  [MEMBERS; MEETINGS; RULES FOR EQUALIZING 
ASSESSMENTS.] (a) The county commissioners, or a majority of 
them, with the county auditor, or, if the auditor cannot be 
present, the deputy county auditor, or, if there be is no such 
deputy, the court administrator of the district court, shall 
form a board for the equalization of the assessment of the 
property of the county, including the property of all cities 
whose charters provide for a board of equalization.  The board 
shall meet annually, on the date specified in section 274.14, at 
the office of the auditor and,.  Each member having taken shall 
take an oath to fairly and impartially to perform duties as 
such, a member.  The board shall examine and compare the returns 
of the assessment of property of the several towns or districts, 
and equalize the same them so that each tract or lot of real 
property and each article or class of personal property shall be 
is entered on the assessment list at its market value, subject 
to the following rules: 
    (1) The board shall raise the valuation of each tract or 
lot of real property which in its opinion is returned below its 
market value to such the sum as is believed to be the its 
market value thereof;.  The board must first, giving give notice 
of intention to do so raise the valuation to the person in whose 
name it is assessed, if the person is a resident of the county, 
which.  The notice shall must fix a time and place when and 
where for a hearing will be had;.  
    (2) The board shall reduce the valuation of each tract or 
lot which in its opinion is returned above its market value to 
such the sum as is believed to be the its market value 
thereof;. 
    (3) The board shall raise the valuation of each class of 
personal property which in its opinion is returned below its 
market value to such the sum as is believed to be the its 
market value thereof; and.  It shall raise the aggregate value 
of the personal property of individuals, firms, or corporations, 
when it believes that such the aggregate valuation, as returned, 
is less than the market value of the taxable personal property 
possessed by such the individuals, firms, or corporations, to 
such the sum as it believes to be the market value thereof;.  
The board must first giving give notice to such the persons of 
intention to do so, which.  The notice shall fix must set a time 
and place when and where for a hearing will be had;. 
    (4) The board shall reduce the valuation of each class of 
personal property enumerated listed in section 273.49 which that 
is returned above its market value to such the sum as it 
believes to be the its market value thereof; and,.  Upon 
complaint of any a party aggrieved, the board shall reduce the 
aggregate valuation of the individual's personal property of 
such individual, or of any class of personal property for which 
the individual is assessed, which in its opinion has been 
assessed at too large a sum, to such the sum as it believes was 
the market value of the individual's personal property of such 
that class;.  
    (5) The board shall must not reduce the aggregate value of 
all the property of its county, as submitted to the county board 
of equalization, with the additions made thereto by the auditor 
as in under this chapter required, by more than one percent 
of the its whole valuation thereof; but.  The board may raise 
the aggregate valuation of such real property, and of each class 
of personal property, of the county, or of any town or 
district thereof of the county, when it believes the same it is 
below the market value of the property, or class of property, to 
such the aggregate amount as it believes to be the its market 
value thereof;. 
    (6) The board shall change the classification of any 
property which in its opinion is not properly classified;. 
    (b) Subd. 1a.  [FAILURE TO APPEAR OR APPEAL.] If a person, 
other than a public utility, mining company, or the metropolitan 
airport commission for which the original assessments are 
determined by the commissioner of revenue, fails to appear in 
person, by counsel, or by written communication before the 
county board after being duly notified of the board's intent to 
raise the assessment of the person's property, or if a person 
fails to appeal a decision of the board of review as described 
in section 274.01 subsequent to appearance after appearing 
before the local board, the person may not appear before the 
commissioner of revenue as provided for in under section 270.11, 
subdivisions 5 and 6, to contest the valuation.  
    Subd. 2.  [SPECIAL BOARD; DELEGATED DUTIES.] The board of 
equalization for any county as it is duly constituted, may 
appoint a special board of equalization to which it and may 
delegate all of to it the powers and duties specified in 
subdivision 1.  The special board of equalization shall serve at 
the direction and discretion of the appointing county board, 
subject to the restrictions imposed by law on the appointing 
board.  The appointing board may determine the number of members 
to be appointed thereto to the special board, the compensation 
and expenses to be paid, and the term of office of each member.  
At least one member of the special board of equalization shall 
must be an appraiser, realtor, or other person familiar with 
property valuations in the county.  The county auditor shall be 
is a nonvoting member and serve serves as the recorder for the 
special board. 
    274.14 [LENGTH OF SESSION; RECORD.] 
    The county board of equalization or the special board of 
equalization appointed by it may continue in session and adjourn 
from time to time commencing starting on the first Monday 
following the fourth day of after July 4, or, if the first 
Monday following the fourth day of after July 4 is a legal 
holiday, the first Tuesday following the fourth day of after 
July 4, and ending on or before the tenth following working day, 
when it shall adjourn and.  No action taken subsequent to after 
the day of adjournment shall be is valid unless a longer session 
period is approved by the commissioner of revenue.  The 
commissioner may extend the session period to August 10 but no 
action taken by the county board of review after the extended 
termination date shall be is valid.  The county auditor shall 
keep an accurate record of the proceedings and orders of the 
board, which.  The record shall must be published in the same 
manner as like other proceedings of county commissioners.  A 
copy of such the published record shall must be transmitted 
sent to the commissioner of revenue, with the abstract of 
assessment required by section 274.16.  
    274.16 [CORRECTED LISTS, ABSTRACTS.] 
    The county assessor or, in Ramsey county, the official 
designated by the board of county commissioners shall calculate 
the changes of the assessment lists determined by the county 
board of equalization, and make corrections accordingly, in the 
real or personal lists, or both, and shall make duplicate 
abstracts of the same; them.  One shall must be filed in the 
assessor's office, and one shall must be forwarded to the 
commissioner of revenue on or before by August 1. 
    274.17 [RECORD; ABSTRACT TO COUNTY AUDITORS.] 
    The secretary shall keep a record of the proceedings of the 
county board of equalization, which shall.  The record must be 
published in the annual report of the commissioner of 
finance and.  Upon final adjournment the secretary shall 
transmit to send each county auditor an abstract of such the 
proceedings, specifying:  (1) the percent added to or deducted 
from the valuation of the real property of each of the several 
towns and cities, and of the real property not in towns or 
cities, in case an equal percent has not been added to or 
deducted from each; and specifying also (2) the percent added to 
or deducted from the several classes of personal property in 
each of the towns and cities; and specifying also (3) the 
amounts added to the assessments of individuals, firms, or 
corporations.  
     The county auditor shall add to or deduct from each tract 
or lot of real property in the county the required percent on 
the valuation thereof, as it stood of the property after 
equalization by the county board, adding in each case any 
fractional sum of 50 cents or more, and deducting in each case 
any fractional sum of less than 50 cents, so that no valuation 
of any rounding the value of each separate tract or lot shall 
contain a fraction of a to the nearest dollar; and.  The county 
auditor shall also add to or deduct from the several classes of 
personal property in the county the required percent on the 
valuation thereof, as it stood of the property after 
equalization by the county board, adding or deducting in manner 
aforesaid any fractional sum, so that no valuation of 
any rounding the value of each separate class of personal 
property shall contain a fraction of a to the nearest dollar; 
and.  The county auditor shall also add to the assessments of 
individuals, firms, and corporations, as they stood after 
equalization by the county board, the required amounts.  
    274.18 [ABSTRACT OF REALTY ASSESSMENT ROLL TO TOWN CLERKS.] 
    On or before the first Tuesday of March, in each year, the 
county auditor shall make out and transmit send to each town 
clerk in the county a certified copy or abstract of the real 
estate assessment roll of such the town, as equalized by the 
county and state boards of equalization. 
    274.19 [ASSESSMENT OF MANUFACTURED HOMES.] 
    Subdivision 1.  [VALUATION; NOTICE.] The provisions of 
Subdivisions 1 to 7 apply to manufactured homes that are 
assessed under subdivision 8, clause paragraph (c).  Each 
manufactured home shall must be valued each year by the assessor 
and be assessed with reference to its value on January 2 of that 
year.  Notice of the value shall must be mailed to the person to 
be assessed at least ten days before the meeting of the local 
board of review or equalization.  The notice shall must contain 
the amount of valuation in terms of market value, the assessor's 
office address, and the date, place, and time set for the 
meeting of the local board of review or equalization and the 
county board of equalization. 
    Subd. 2.  [RETURN ASSESSMENT BOOKS; SET TAX.] On or before 
May 1, the assessor shall return to the county auditor the 
assessment books relating to the assessment of manufactured 
homes.  After receiving the assessment books, the county auditor 
shall determine the tax to be due by applying the rate of levy 
of the preceding year and shall transmit send a list of the 
taxes to the county treasurer not later than May 30. 
    Subd. 3.  [TAX STATEMENTS; PENALTIES; COLLECTIONS.] Not 
later than July 15 in the year of assessment the county 
treasurer shall mail to the taxpayer a statement of tax due on a 
manufactured home.  The taxes shall be are due on the last day 
of August.  Taxes remaining unpaid after the due date shall be 
deemed are delinquent, and a penalty of eight percent shall must 
be assessed and collected as part of the unpaid taxes.  On 
September 30 the county treasurer shall make a list of taxes 
remaining unpaid and shall certify the list immediately to the 
court administrator of district court, who.  The court 
administrator shall issue warrants to the sheriff for collection.
    Subd. 4.  [PETITIONS OF GRIEVANCE.] Any A person who claims 
that the person's manufactured home has been unfairly or 
unequally assessed, or that such the property has been assessed 
at a valuation greater than its real or actual value, or that 
the tax levied against the same it is illegal, in whole or in 
part, or has been paid, or that the property is exempt from the 
tax so levied, may have the validity of the claim, defense, or 
objection determined in court.  The determination must be made 
by the district court of the county in which the tax is levied 
or by the tax court.  A person can request the determination by 
filing a petition for such determination, it in the office of 
the court administrator of the district court on or before the 
first day of September 1 of the year in which such the tax 
becomes payable.  A petition for determination under this 
section may be transferred by the district court to the tax 
court. 
    Subd. 5.  [CONTINUING WITH PETITION.] The right to continue 
prosecution of the petition shall be is conditioned upon the 
payment of the tax when due unless the court permits the 
petitioner to continue prosecution of the petition without 
payment, or with a reduced payment, pursuant to under section 
277.011, subdivision 3. The petitioner, Upon ten days notice to 
the county attorney and to the county auditor, given at least 
ten days prior to before the last day of August, the petitioner 
may apply to the court for permission to continue prosecution of 
the petition without payment or with a reduced payment. 
    Subd. 6.  [CORRECTING TAX.] If the local board of review or 
equalization or the county board of equalization change changes 
the assessor's valuation of a manufactured home, the 
change shall must be transmitted sent to the county auditor, 
who.  The auditor shall immediately recompute the tax and advise 
the treasurer of the corrected tax.  If the property is entitled 
to homestead classification, the auditor shall also take 
appropriate action to reflect the reduction in reduce the tax 
accordingly. 
    Subd. 7.  [PERSONAL PROPERTY.] The tax assessed on 
manufactured homes shall be deemed to be is a personal property 
tax and.  Laws relating to assessment, review, and collection of 
personal property taxes shall be applicable apply to this tax, 
if not inconsistent consistent with provisions in this section. 
    Subd. 8.  [MANUFACTURED HOMES; SECTIONAL STRUCTURES.] (a) 
For purposes of In this section, a "manufactured home" means a 
structure transportable in one or more sections, which is built 
on a permanent chassis, and designed to be used as a dwelling 
with or without a permanent foundation when connected to the 
required utilities, and contains the plumbing, heating, 
air-conditioning, and electrical systems therein, including in 
it.  "Manufactured home" includes any accessory structure which 
that is an addition or supplement to the manufactured home and, 
when installed, becomes a part of the manufactured home.  
    (b) A manufactured home which that meets each of the 
following criteria must be valued and assessed as an improvement 
to real property, the appropriate real property 
classification shall apply applies, and the valuation is subject 
to review and the taxes payable in the manner provided for real 
property:  
    (i) (1) the owner of the unit holds title to the land upon 
on which it is situated;  
    (ii) (2) the unit is affixed to the land by a permanent 
foundation or is installed at its location in accordance with 
the manufactured home building code contained in sections 327.31 
to 327.34, and the rules adopted thereto under those sections, 
or is affixed to the land in a manner comparable to like other 
real property in the taxing district; and 
    (iii) (3) the unit is connected to public utilities, has a 
well and septic tank system, or is serviced by water and sewer 
facilities comparable to other real property in the taxing 
district.  
    (c) A manufactured home which that meets each of the 
following criteria must be assessed at the rate provided by the 
appropriate real property classification but must be treated as 
personal property, and the valuation is subject to review and 
the taxes payable thereon in the manner provided in this section:
    (i) (1) the owner of the unit is a lessee of the 
land pursuant to under the terms of a lease;  
    (ii) (2) the unit is affixed to the land by a permanent 
foundation or is installed at its location in accordance with 
the manufactured homes building code contained in sections 
327.31 to 327.34, and the rules adopted thereto under those 
sections, or is affixed to the land in a manner comparable to 
like other real property in the taxing district; and 
    (iii) (3) the unit is connected to public utilities, has a 
well and septic tank system, or is serviced by water and sewer 
facilities comparable to other real property in the taxing 
district.  
    (d) Sectional structures must be valued and assessed as an 
improvement to real property if the owner of the structure holds 
title to the land upon on which it is located or is a qualifying 
lessee of the land under the provisions of section 273.19.  For 
purposes of In this paragraph "sectional structure" means a 
building or structural unit which that has been in whole or 
substantial part manufactured or constructed at an off-site 
location to be wholly or partially assembled on-site alone or 
with other units and attached to a permanent foundation.  
    (e) The commissioner of revenue may adopt rules pursuant to 
under the administrative procedure act for the purpose of 
establishing to establish additional criteria for the 
classification of manufactured homes and sectional structures 
under this subdivision. 

                                ARTICLE 5
    Section 1.  Minnesota Statutes 1986, chapter 276, is 
amended to read:  
    276.01 [DELIVERY OF LISTS TO TREASURER.] 
    On or before the first business day in January in each 
year, the county auditor shall deliver the lists of the several 
districts of the county to the county treasurer, taking therefor 
and get the treasurer's receipt, showing for them.  The lists 
must show the total amount of taxes due upon the lists.  Where 
the names of taxpayers appear in the property tax lists, the 
county auditor shall show the taxpayers' addresses of such 
taxpayers.  Such The lists shall be are authority for the 
treasurer to receive and collect the taxes therein levied shown 
on the list. 
    In counties in which an election has been made that have 
elected to come under the provisions of section 273.03, 
subdivision 2, the auditor shall, during the year in which 
such when the county treasurer possesses the lists as provided 
for in section 275.28, subdivision 3, are in the possession of 
the county treasurer, the county auditor shall have access 
thereto for the purposes of changing to the lists to change the 
market valuations and the classifications of real 
estate contained therein which in the lists that the auditor 
would have been required to change or otherwise amend in the 
assessment books provided for in section 273.03, subdivision 1, 
except for the election to discontinue the preparation of such 
the assessment books.  The county auditor shall be is the 
official custodian of such the lists after the year during which 
when they are in the county treasurer's possession. 
    [276.015] [TREASURER TO PUBLISH TAX RATES.] 
    On receiving the tax lists from the county auditor, the 
county treasurer shall give three weeks' published notice of the 
tax rates if directed by the county board.  Notice must be given 
in a newspaper.  It must specify the rates of taxation for all 
general purposes and the amounts raised for each specific 
purpose. 
    276.02 [TREASURER TO BE COLLECTOR.] 
    The county treasurer shall be the receiver and collector of 
collect all the taxes extended upon on the tax lists of the 
county, whether levied for state, county, city, town, school, 
poor, bridge, road, or other purposes and of all the fines, 
forfeitures, or penalties received by any person or officer for 
the use of the county.  The treasurer shall proceed to collect 
the same taxes according to law and place the same when 
collected to the credit of them to the proper funds.  This 
section shall does not apply to fines and penalties accruing to 
municipal corporations for the violation of their 
ordinances which that are recoverable before a city justice.  
The county board may by resolution authorize the treasurer to 
impose a charge for any dishonored checks.  
    276.03 [TREASURER TO COLLECT LOCAL ASSESSMENTS.] 
    Any A county treasurer in this state now empowered 
authorized by law to collect local assessments made or levied by 
any a city in this state is hereby required to shall collect all 
assessments for local improvements made or levied and certified 
to the treasurer by any such the city against any specific tract 
or parcel of land at.  The assessment must be collected at the 
same time that any as taxes are collected which have been or may 
be levied against the same that tract or parcel of land under 
the general laws of this state.  
    276.04 [NOTICE OF RATES; PROPERTY TAX STATEMENTS.] 
    On receiving the tax lists from the county auditor, the 
county treasurer shall, if directed by the county board, give 
three weeks' published notice in a newspaper specifying the 
rates of taxation for all general purposes and the amounts 
raised for each specific purpose. 
    Subdivision 1.  [REQUIREMENTS OF TAX STATEMENTS.] (a) The 
treasurer shall, whether or not directed by the county board, 
cause to be have printed on all tax statements, or on an 
attachment, a tabulated statement of the dollar amount due to 
each taxing authority from the parcel of real property for which 
a particular tax statement is prepared.  The dollar amounts due 
the county, township, or municipality, and school district shall 
must be separately stated but.  The amounts due other taxing 
districts, if any, may be aggregated.  The dollar amounts, 
including the dollar amount of any special assessments, may be 
rounded to the nearest even whole dollar.  For purposes of this 
section, whole odd-numbered dollars may be adjusted to the next 
higher even-numbered dollar.  The statement shall must include 
the following sentence, printed in upper-case letters in 
boldface print:  "THE STATE OF MINNESOTA DOES NOT RECEIVE ANY 
PROPERTY TAX REVENUES.  THE STATE OF MINNESOTA REDUCES YOUR 
PROPERTY TAX BY PAYING CREDITS AND REIMBURSEMENTS TO LOCAL UNITS 
OF GOVERNMENT."  
   (b) The property tax statements for manufactured homes and 
sectional structures taxed as personal property shall must 
contain the same information that is required on the tax 
statements for real property. 
    (c) Real and personal property tax statements must contain 
the market value, as defined in section 272.03, subdivision 8, 
used in determining the tax.  The statement must show the amount 
attributable to section 124.2137 as "state paid agricultural 
credit" and the amount attributable to section 273.13, 
subdivisions 22 and 23 as "state paid homestead credit." 
    (d) The treasurer of each county may have a statement 
printed on all current tax statements, or on an attachment, 
showing the number of mills of the current tax apportioned to 
the state, county, city, town, or school district. 
    Subd. 2.  [MAILING OF TAX STATEMENTS.] The county treasurer 
shall mail to taxpayers statements of their personal property 
taxes due, such.  The statements to must be mailed not later 
than by February 15 (except in the case of manufactured homes 
and sectional structures taxed as personal property),.  
Statements of the real property taxes due shall be mailed not 
later than January 31; provided, that.  The validity of the tax 
shall is not be affected by failure of the treasurer to mail 
such the statement.  The taxpayer is defined as the owner who is 
responsible for the payment of the tax.  Such real and personal 
property tax statements shall contain the market value, as 
defined in section 272.03, subdivision 8, used in determining 
the tax.  The statement shall show the amount attributable to 
section 124.2137 as "state paid agricultural credit" and the 
amount attributable to section 273.13, subdivisions 22 and 23 as 
"state paid homestead credit."  Failure to mail the tax 
statement is not a material defect affecting the validity of a 
judgment and sale for delinquent taxes. 
    Subd. 3.  [COLLECTION SITES.] If so directed by the county 
board, the treasurer shall visit places in the county as the 
treasurer deems expedient for the purpose of receiving to 
collect taxes and.  The county board is authorized to may pay 
the expenses of such the visits and of preparing duplicate tax 
lists.  Failure to mail the tax statement shall not be deemed a 
material defect to affect the validity of any judgment and sale 
for delinquent taxes. 
    276.041 [FILING TO RECEIVE NOTICE OF DELINQUENT TAXES.] 
    Fee owners, vendees, mortgagees, lienholders, and lessees 
of real property may file their names and current mailing 
addresses with the county auditor in the county in which where 
the land is located for the purpose of receiving notices 
affecting such the land that are issued pursuant to under 
sections 276.04, 281.23, and 279.091.  Each A person filing 
shall pay a filing fee of $15 to the county auditor for each 
parcel.  The filing shall expire expires after three years.  
Persons may refile their names and addresses for additional 
three-year periods, and a fee of $15 shall be paid with each 
refiling.  The county auditor shall furnish give a copy of the 
list of names and addresses to the county treasurer.  Taxpayers 
of record with the county auditor and mortgagees who remit taxes 
on their behalf shall receive tax statements and other 
notices as otherwise provided by law and shall are not be 
required to file and pay fees under this section.  
    276.05 [ADDRESSES OF PAYER GIVEN ON TAX RECEIPTS FOR TAX 
PAYMENTS.] 
    The county treasurer may issue receipts showing payment of 
the tax except that upon the payment of any.  If the tax is paid 
in currency or if the payer requests a receipt, the county 
treasurer shall give to the person paying a receipt therefor, 
showing a receipt.  The receipt must show the name and post 
office address of the person, the amount and date of payment, 
the land, lot, or other property on which the tax was levied, 
according to its description on the tax list or in some other 
sufficient manner, and the year or years for which the tax was 
levied.  If for current taxes on real estate, the receipt shall 
must have written or stamped across its face, "taxes for" 
(giving the year in figures), or "first half of taxes for" 
(giving the year in figures), or "last half of taxes for" 
(giving the year in figures), as the case may be.  If land has 
been sold for taxes either to a purchaser, or to the state, and 
the time for redemption from such the sale has not expired, the 
receipt for such taxes shall must have written or stamped across 
the face, "sold for taxes."  The treasurer shall make duplicates 
of all receipts and return all such the duplicates at the end of 
each month to the county auditor, who.  The auditor shall file 
and preserve them in the auditor's office, charging the 
treasurer with the amount thereof on the receipts. 
    276.06 [TAX STATEMENTS TO STATE APPORTIONMENT OF TAXES.] 
    The treasurer of each county may cause to be printed, 
stamped, or written on the back of all current tax statements, 
or on a separate sheet or card to be furnished with the 
statements, a statement showing the number of mills of the 
current tax apportioned to the state, county, city, town, or 
school district. [Renumbered 276.04, subdivision 1, paragraph 
(d).] 
    276.07 [UNDIVIDED INTEREST; PAYMENT AND RECEIPT.] 
    Any A person holding an undivided interest in any taxable 
real property in this state listed for taxation, including 
mortgagees, lessees, and others, who by law or contract are 
required or entitled to pay taxes to protect any right, title, 
interest, claim, or lien held by them in, to, or upon undivided 
interests in land it, may pay the taxes on such the undivided 
interests, and on such payment.  The county treasurer may issue 
a receipt for the amount so paid and specify the interest so 
paid on, and.  The treasurer shall enter on the tax list the 
name of the person who paid such the taxes and the undivided 
interest paid, and shall report the payment and nature of the 
interest to the county auditor the payment of such taxes upon 
such undivided interests.  Thereupon such If the taxes have been 
paid, the undivided interests shall be are exempt from 
proceedings to enforce the collection of the same tax against 
other undivided interests upon which such the tax has not been 
paid, and.  The collection of such tax upon the undivided 
interests upon which the taxes have not been paid shall must be 
proceeded with in the same manner collected as to such though 
the undivided interests as though it were a separate description.
    276.08 [ORDERS RECEIVED FOR TAXES.] 
    The county treasurer shall receive in payment of taxes 
orders on the several funds for which taxes may be levied, to 
the amount of the tax for such the fund, without regard to 
priority of the numbers of such orders, except when otherwise 
provided by law, and shall write or stamp across the face of all 
such the orders the date of their receipt, and the name of the 
person from whom received.  
    276.09 [SETTLEMENT BETWEEN AUDITOR AND TREASURER.] 
    On the fifth day of March 5, and the 20th day of May 20 of 
each year, the county treasurer shall make full settlement with 
the county auditor of all receipts collected for all purposes, 
from the date of the last settlement up to and including each 
day mentioned.  The county auditor shall, within 30 days after 
each settlement, send an abstract of same it to the state 
auditor in the form prescribed by the state auditor.  At each 
settlement the treasurer shall make complete returns of the 
receipts on the current tax list, showing the amount collected 
on account of the several funds included in the list. 
    Settlement of receipts from May 20 to December 31 of each 
year shall must be made as provided in section 276.111. 
    For purposes of this section, "receipts" shall include 
includes all tax payments received by the county treasurer on or 
before the settlement date.  
    276.10 [APPORTIONMENT AND DISTRIBUTION OF FUNDS.] 
    On the settlement day in March and May of each year, the 
county auditor and county treasurer shall distribute all 
undistributed funds in the treasury, apportioning them,.  The 
funds must be apportioned as provided by law, and placing them 
to the credit of credited to the state, town, city, school 
district, special district and each county fund.  Within 20 days 
after the distribution is completed, the county auditor shall 
make a report of it to the state auditor in the form prescribed 
by the state auditor.  The county auditor shall issue a warrant 
for the payment of money in the county treasury to the credit of 
the state, town, city, school district, or special districts on 
application of the persons entitled to receive them the 
payment.  The county auditor may apply the mill rate from the 
year previous to before the year of distribution when 
apportioning and distributing delinquent tax proceeds, provided 
that if the composition of the previous year's mill rate between 
taxing districts is not significantly different than the mill 
rate that which existed for the year of the delinquency.  
    276.11 [WHEN TREASURER SHALL PAY FUNDS FROM MARCH AND MAY 
SETTLEMENTS.] 
    As soon as practical after the March and May settlements 
the county treasurer shall pay over to the state treasurer or 
the treasurer of any a town, city, school district, or special 
district, on the warrant of the county auditor, all receipts 
arising from of taxes levied by and belonging to the state, or 
to such municipal corporation, or other body, the taxing 
district and deliver up all orders and other evidences of 
indebtedness of such municipal corporation or other body the 
taxing district, taking triplicate receipts therefor for them.  
The treasurer shall file one of the receipts with the county 
auditor, and shall return one by mail on the day of 
its reception receipt to the clerk of the town, city, school 
district, or special district to which payment was made.  The 
clerk shall preserve keep the receipt in the clerk's office.  
Upon written request of the state, a municipal corporation or 
other public body taxing district, to the extent practicable, 
the county treasurer shall, to the extent practicable, make 
partial payments of amounts collected periodically in advance of 
the next settlement and distribution.  Accompanying each payment 
shall be A statement prepared by the county 
treasurer designating must accompany each payment.  It must 
state the years for which taxes included in the payment were 
collected and, for each year, the amount of the taxes and any 
penalties thereon on the tax.  Upon written request of a taxing 
district, except school districts, the county treasurer shall 
pay, upon written request of the state, a municipal corporation 
or other public body except school districts, at least 70 
percent of the estimated collection within 30 days after the 
March and May settlement dates.  Within seven business days 
after the due date, the county treasurer shall pay to the 
treasurer of the school districts 50 percent of the estimated 
collections arising from taxes levied by and belonging to the 
school district and.  The remaining 50 percent of the estimated 
collections shall must be paid to the treasurer of the school 
district within the next seven business days.  The treasurer 
shall pay the balance of the amounts collected to the state or 
to a municipal corporation or other body within 60 days after 
the March and May settlement dates, provided, however, that.  
After 45 days interest shall accrue at a an annual rate of eight 
percent per annum to the credit of and shall accrues and must be 
paid to the state, municipal corporation or other body taxing 
district.  Interest shall must be payable paid upon 
appropriation from the general revenue fund of the county and,.  
If not paid, it may be recovered by the state, municipal 
corporation, or other body taxing district, in a civil action. 
    276.111 [DISTRIBUTIONS AND FINAL YEAR-END SETTLEMENT.] 
    Within seven business days after October 15, the county 
treasurer shall pay to the school districts 50 percent of the 
estimated collections arising from taxes levied by and belonging 
to the school district from May 20 to October 20 and.  The 
remaining 50 percent of the estimated tax collections must be 
paid to the school district within the next seven business days. 
Within ten business days after November 15, the county treasurer 
shall pay to the school district 100 percent of the estimated 
collections arising from taxes levied by and belonging to the 
school districts from October 20 to November 20. 
    Within ten business days after November 15, the county 
treasurer shall pay to each taxing district, except any school 
district, 100 percent of the estimated collections arising from 
taxes levied by and belonging to each taxing district from May 
20 to November 20. 
    On or before the fifth day of January 5, the county 
treasurer shall make full settlement with the county auditor of 
all receipts collected from the 20th day of May 20 to December 
31.  After subtracting any tax distributions which that have 
been made to the taxing districts in October and November, the 
treasurer shall pay to each of the taxing districts on or before 
January 25, the balance of the tax amounts collected on behalf 
of each taxing district.  Interest shall accrue accrues at a an 
annual rate of eight percent per annum to the credit of and 
shall and must be paid to the taxing district if this final 
settlement amount is not paid by January 25.  Interest shall 
must be payable paid upon appropriation from the general revenue 
fund of the county and,.  If not paid, it may be recovered by 
the state, municipal corporation, or other body, taxing district 
in a civil action. 
    276.12 [AUDITOR TO KEEP ACCOUNTS.] 
    The county auditor shall keep accounts with the state, the 
county, and each of the county funds of such county, and each 
town, city, and school district, and with the county treasurer, 
making.  The auditor shall make daily entries of the charges and 
credits to the treasurer; and, immediately after each 
distribution of taxes, shall credit the collections to the 
proper funds.  Upon application of the treasurer of a town, 
city, or school district, and upon the filing of a certificate 
of its clerk that the person applying is the duly elected or 
appointed treasurer, the auditor shall give a warrant on the 
county treasurer for the amount due any town, city, or school 
district, upon application of its treasurer, and upon the filing 
of a certificate of its clerk that the person applying is such 
treasurer, duly elected or appointed, and charge such the body 
with the amount of the warrant. 
    276.13 [DISTRIBUTION OF INTEREST, PENALTIES, AND COSTS.] 
    All Penalties accruing upon any tax levied by a special 
assessment against any particular tract, block, or lot in any 
city or organized township shall must be apportioned to the 
general revenue fund of the city or town where the land lies is 
located.  All Other penalties, costs, and interest collected on 
real estate taxes shall must be apportioned one-half to the 
county revenue fund and the other half to the school districts 
of the county in the manner provided for the distribution of 
other school funds.  
    276.14 [COLLECTED COSTS TO BE CREDITED TO COUNTY REVENUE 
FUND INTEREST, PENALTIES; INCORPORATED CITIES.] 
    All Penalties and interest accruing upon on any tax levied 
by special assessment, or otherwise, for local purposes, on real 
estate in any incorporated city shall must be apportioned to the 
general revenue fund of the city where the real estate is 
situated; and all.  Other penalties, and interest collected on 
real estate taxes, shall must be apportioned one-half to the 
county revenue fund, and the other half to school districts of 
the county in the manner provided for the distribution of other 
school funds by section 124.10.  All The costs collected shall 
must be apportioned to the county revenue fund. 

                               ARTICLE 6 
    Section 1.  Minnesota Statutes 1986, chapter 352, is 
amended to read:  
    352.01 [DEFINITIONS.] 
    Subdivision 1.  [TERMS.] Unless the language or context 
clearly indicates that a different meaning is intended, 
the following terms defined in this section, for the purposes of 
this chapter, shall be given have the meanings subjoined to 
given them. 
    Subd. 2.  [STATE EMPLOYEE.] "State employee" means any 
employee or officer in the classified and unclassified service 
of the state.  The term also includes the special classes of 
persons listed in subdivision 2A 2a but excludes the special 
classes of persons listed in subdivision 2B 2b. 
    Subd. 2A 2a.  [INCLUDED EMPLOYEES.] The following persons 
are included in the meaning of "State employee" includes:  
    (1) employees of the Minnesota historical society.;  
    (2) employees of the state horticultural society.;  
    (3) employees of the Disabled American Veterans, Department 
of Minnesota, Veterans of Foreign Wars, Department of Minnesota, 
if employed prior to before July 1, 1963.; 
    (4) employees of the Minnesota crop improvement 
association.; 
    (5) employees of the adjutant general who are paid from 
federal funds and who are not covered by any federal civilian 
employees retirement system.; 
    (6) employees of the state universities employed under the 
university activities program.; 
    (7) currently contributing employees covered by the system 
who are temporarily employed by the legislature during a 
legislative session or any currently contributing employee 
employed for any special service as defined in clause (8) of 
subdivision 2B. 2b; 
    (8) employees of the armory building commission.;  
    (9) permanent employees of the legislature and persons 
employed or designated by the legislature or by a legislative 
committee or commission or other competent authority to make or 
conduct a special inquiry, investigation, examination, or 
installation.; 
    (10) trainees who are employed on a full-time established 
training program performing the duties of the classified 
position for which they will be eligible to receive immediate 
appointment at the completion of the training period.;  
    (11) employees of the Minnesota safety council.;  
    (12) employees of the transit operating division of the 
metropolitan transit commission and any employees on authorized 
leave of absence from the transit operating division who are 
employed by the labor organization which is the exclusive 
bargaining agent representing employees of the transit operating 
division.; 
    (13) employees of the metropolitan council, metropolitan 
parks and open space commission, regional transit board, 
metropolitan transit commission, metropolitan waste control 
commission, metropolitan sports facilities commission or the 
metropolitan mosquito control commission unless excluded or 
covered by another public pension fund or plan pursuant to under 
section 473.141, subdivision 12, or 473.415, subdivision 3.; and 
    (14) judges of the tax court. 
    Subd. 2B 2b.  [EXCLUDED EMPLOYEES.] The following persons 
are excluded from the meaning of "State employee" does not 
include: 
    (1) elective state officers; 
    (2) students employed by the University of Minnesota, the 
state universities, and community colleges unless approved for 
coverage by the board of regents, the state university board, or 
the state board for community colleges, as the case may be;  
    (3) employees who are eligible to for membership in the 
state teachers retirement association except employees of the 
department of education who have elected chosen or may elect 
choose to be covered by the Minnesota state retirement system 
instead of the teachers retirement association; 
    (4) employees of the University of Minnesota who are 
excluded from coverage by action of the board of regents; 
    (5) officers and enlisted personnel in the national guard 
and the naval militia and such as who are assigned to permanent 
peacetime duty and who pursuant to under federal law are or are 
required to be members of a federal retirement system; 
    (6) election officers; 
    (7) persons engaged in public work for the state but 
employed by contractors when the performance of the contract is 
authorized by the legislature or other competent authority;  
    (8) officers and employees of the senate and house of 
representatives or a legislative committee or commission who are 
temporarily employed; 
    (9) all courts and court employees, referees, receivers, 
jurors, and notaries public, except employees of the appellate 
courts and referees and adjusters employed by the department of 
labor and industry; 
    (10) patient and inmate help in state charitable, penal, 
and correctional institutions including the Minnesota veterans 
home; 
    (11) persons employed for professional services where the 
service is incidental to regular professional duties and whose 
compensation is paid on a per diem basis; 
    (12) employees of the Sibley House Association; 
    (13) employees of the Grand Army of the Republic and 
employees of the ladies of the G.A.R.; 
    (14) operators and drivers employed pursuant to under 
section 16.07, subdivision 4; 
    (15) the members of any state board or commission who serve 
the state intermittently and are paid on a per diem basis; the 
secretary, secretary-treasurer, and treasurer of those boards if 
their compensation is $500 or less per year, or, if they are 
legally prohibited from serving more than two consecutive terms 
and their total service therefor is required by law to be less 
than ten years; and the board of managers of the state 
agricultural society and its treasurer unless the treasurer is 
also its full time full-time secretary; 
    (16) state troopers; 
    (17) temporary employees of the Minnesota state fair 
employed on or after July 1 for a period not to extend beyond 
October 15 of the same that year; and persons employed at any 
time or times by the state fair administration for special 
events held on the fairgrounds; 
    (18) emergency employees in the classified service; except 
that if an emergency employees who employee, within the same pay 
period, become becomes a provisional or probationary employees 
employee on other than a temporary basis, the employee shall be 
deemed considered a "state employees employee" retroactively to 
the beginning of the pay period; 
    (19) persons described in section 352B.01, subdivision 2, 
clauses (b) and (c) formerly defined as state police officers;  
    (20) all temporary employees in the classified service, all 
temporary employees in the unclassified service appointed for a 
definite period of not more than six months and employed less 
than six months in any one-year period and all seasonal help in 
the classified service employed by the department of revenue;  
    (21) trainees paid under budget classification number 41, 
and other trainee employees, except those listed in 
subdivision 2A 2a, clause (10); 
    (22) persons whose compensation is paid on a fee basis;  
    (23) state employees who in any year have credit for 12 
months service as teachers in the public schools of the state 
and as teachers are members of the teachers retirement 
association or a retirement system in St. Paul, Minneapolis, or 
Duluth; 
    (24) employees of the adjutant general employed on an 
unlimited intermittent or temporary basis in the classified and 
unclassified service for the support of army and air national 
guard training facilities; 
    (25) chaplains and nuns who have taken a vow of poverty as 
members of a religious order; 
    (26) labor service employees employed as a laborer 1 on an 
hourly basis; 
    (27) examination monitors employed by departments, 
agencies, commissions, and boards for the purpose of conducting 
to conduct examinations required by law; 
    (28) members of appeal tribunals, exclusive of the chair, 
to which reference is made in section 268.10, subdivision 4; 
    (29) persons appointed to serve as members of fact finding 
fact-finding commissions, or adjustment panels, arbitrators, or 
labor referees under the provisions of chapter 179; 
    (30) temporary employees employed for limited periods of 
time under any state or federal program for the purpose of 
training or rehabilitation including persons employed for 
limited periods of time from areas of economic distress except 
skilled and supervisory personnel and persons having civil 
service status covered by the system; 
    (31) full-time students employed by the Minnesota 
historical society who are employed intermittently during part 
of the year and full time full-time during the summer months;  
    (32) temporary employees, appointed for not more than six 
months, of the metropolitan council and of any of its statutory 
boards, if the board members of which board are appointed by the 
metropolitan council; 
    (33) persons employed in positions designated by the 
department of employee relations as student workers; 
    (34) any person who is 65 years of age or older when 
appointed and who does not have allowable service credit for 
previous employment, unless the employee gives notice to the 
director within 60 days following after appointment that 
coverage is desired; 
    (35)  members of trades employed by the metropolitan waste 
control commission with trade union pension plan 
coverage pursuant to under a collective bargaining agreement 
first employed after June 1, 1977; and 
    (36) persons employed in subsidized on-the-job training, 
work experience, or public service employment as enrollees under 
the federal Comprehensive Employment and Training Act from and 
after March 30, 1978, unless the person has as of the later of 
March 30, 1978 or the date of employment sufficient service 
credit in the retirement system to meet the minimum vesting 
requirements for a deferred annuity, or the employer agrees in 
writing on forms prescribed by the director to make the required 
employer contributions, including any employer additional 
contributions, on account of that person from revenue sources 
other than funds provided under the federal Comprehensive 
Employment and Training Act, or the person agrees in writing on 
forms prescribed by the director to make the required employer 
contribution in addition to the required employee contribution.  
    Subd. 3.  [HEAD OF DEPARTMENT.] "Head of department" means 
the head of any department, institution, or branch of the state 
service which that directly pays salaries out of its income or 
which that prepares, approves, and submits salary abstracts of 
its employees to the commissioner of finance and state treasurer.
    Subd. 4.  [ACCUMULATED CONTRIBUTIONS.] "Accumulated 
contributions" means the total, exclusive of interest, 
of (a) (1) the sums deducted from the salary of an 
employee, (b) (2) the amount of payments, including assessments, 
paid by the employee in lieu of such salary deductions and all 
other payments made under Laws 1929, chapter 191, or any 
amendment thereof as amended, and credited to the employee's 
individual account in the retirement fund. 
    Subd. 5.  [RETIREMENT FUND.] "The retirement fund" includes 
the aggregate of all "accumulated contributions" of employees, 
and all other moneys funds paid into the state treasury or 
received by the director pursuant to the provisions of under 
Laws 1929, chapter 191, or any amendment thereof as amended, 
together with all income and profits therefrom from the money 
and interest thereon on it, including contributions on the part 
of the federal government, the state, and state departments 
thereof. 
    Subd. 7.  [PRIOR SERVICE.] "Prior service" means the 
allowable service rendered before the first day of July 1, 1929, 
and.  It includes the service during the first world war of 
officers, soldiers, sailors, marines, and army nurses who were 
state employees at the time of enlisting or being drafted into 
the military service of the United States, and who returned 
directly to the state service of the state upon on returning 
from the first world war.  It also includes any temporary 
service or service of less than six months rendered prior 
to before July 1, 1929, upon payment for such service credit as 
provided in the law in effect at the time of such payment or 
authorized agreement for such payment. 
    Subd. 11.  [ALLOWABLE SERVICE.] "Allowable service" means:  
    (1) Any Service rendered by an employee for which on or 
before July 1, 1957, the employee was entitled to allowable 
service credit on the records of the system by reason of 
employee contributions in the form of salary deductions, 
payments in lieu of salary deductions, or in any other manner 
authorized by Minnesota Statutes 1953, chapter 352, as amended 
by Laws 1955, chapter 239;. 
    (2) Any Service rendered by an employee for which on or 
before July 1, 1961, the employee elected chose to obtain credit 
for service by making payments to the fund pursuant to under 
Minnesota Statutes 1961, section 352.24;. 
    (3) Except as provided in clauses (9) and (10), any service 
rendered by an employee after July 1, 1957, for any calendar 
month in which the employee is paid salary from which deductions 
are made, deposited, and credited in the fund, including 
deductions made, deposited, and credited as provided in section 
352.041;. 
    (4) Except as provided in clauses (9) and (10), any service 
rendered by an employee after July 1, 1957, for any calendar 
month for which payments in lieu of salary deductions are made, 
deposited, and credited in the fund, as provided in section 
352.27 and Minnesota Statutes 1957, section 352.021, subdivision 
4. 
    For purposes of clauses (3) and (4), except as provided in 
clauses (9) and (10), any salary paid for a fractional part of 
any calendar month is deemed the compensation for the entire 
calendar month;. 
    (5) The period of absence from their duties by employees 
who by reason of are temporarily disabled because of injuries 
incurred in the performance thereof are temporarily disabled of 
duties and for which disability the state is liable under the 
workers' compensation law until the date authorized by the 
director for the commencement of payments of a total and 
permanent disability benefit from the retirement fund;. 
    (6) The unused portion part of an employee's annual leave 
allowance for which the employee is paid salary;. 
    (7) Any service covered by a refund repaid as provided in 
section 352.23 or 352D.05, subdivision 4, but does not include 
except service rendered as an employee of the adjutant general 
for which the person has credit with the federal civil service 
retirement system;. 
    (8) Any service prior to before July 1, 1978, by an 
employee of the transit operating division of the metropolitan 
transit commission or by an employee on an authorized leave of 
absence from the transit operating division of the metropolitan 
transit commission who is employed by the labor organization 
which is the exclusive bargaining agent representing employees 
of the transit operating division, which was credited by the 
metropolitan transit commission-transit operating division 
employees retirement fund or any of its predecessor plans or 
funds as past, intermediate, future, continuous, or allowable 
service as defined in the metropolitan transit 
commission-transit operating division employees retirement fund 
plan document in effect on December 31, 1977;. 
    (9) Any Service rendered after July 1, 1983, by an employee 
who is employed on a part-time basis for less than 50 percent of 
full time, for which the employee is paid salary from which 
deductions are made, deposited, and credited in the fund, 
including deductions made, deposited, and credited as provided 
in section 352.041 or for which payments in lieu of salary 
deductions are made, deposited, and credited in the fund as 
provided in section 352.27 shall be credited on a fractional 
basis either by pay period, monthly, or annually based upon on 
the relationship that the percentage of salary earned bears to a 
full-time salary, with any salary paid for the fractional 
service credited on the basis of the rate of salary applicable 
for a full-time pay period, month, or a full-time year.  For 
periods of part-time service which that is duplicated service 
credit, the provisions of section 356.30, subdivision 1, clauses 
(i) and (j), shall govern;. 
    (10) Any service by an employee in the Minnesota 
demonstration job-sharing program pursuant to under sections 
43.56 to 43.62 which is less than 40 hours per week or 2,080 
hours per year and for which the employee is paid salary from 
which deductions are made, deposited and credited in the fund, 
shall be credited on a fractional basis either weekly or 
annually based upon on the relationship that the number of hours 
of service bears to either 40 hours per week or 2,080 hours per 
year, with any salary paid for the fractional service credited 
on the basis of the rate of salary applicable for a full-time 
week or a full-time year.  
    The allowable service determined and credited on a 
fractional basis pursuant to under clauses (9) and (10) shall be 
used in calculating the amount of benefits payable, but service 
as determined on a fractional basis shall must not be used in 
determining the length of service required for eligibility for 
benefits;.  
    (11) Any period of authorized leave of absence without 
pay which that does not exceed one year and for which the 
employee obtained credit by payment to the fund made in lieu of 
salary deductions.  To obtain credit, the employee shall pay an 
amount equal to the employee and employer contribution 
rate provided in section 352.04, subdivisions 2 and 3, 
multiplied by the employee's hourly rate of salary on the date 
of return from leave of absence and by the days and months of 
the leave of absence without pay for which the employee desires 
to obtain wants allowable service credit.  The employing 
department, at its option, may pay the employer amount on behalf 
of its employees.  Payments made under this clause shall include 
interest at the rate of six percent per annum year from the date 
of termination of the leave of absence to the date payment is 
made unless payment is completed within one year of the return 
from leave of absence. 
    Subd. 12.  [ACTUARIAL EQUIVALENT.] "Actuarial equivalent"  
means the annual amount determined by calculations based on 
mortality tables, purchasable with a given amount at a stated 
age. 
    Subd. 13.  [SALARY.] "Salary" means any compensation paid 
to any employee including wages, allowances, and fees, but 
excluding amounts of severance pay. 
    Subd. 15.  [APPROVED ACTUARY.] "Approved actuary" means any 
actuary who is either a fellow of the society of actuaries or 
who has at least 15 years of service to major public employee 
funds, or any firm retaining such an approved actuary on its 
staff. 
    Subd. 16.  [YEAR OF ALLOWABLE SERVICE.] "Year of allowable 
service"  means any 12 calendar months not necessarily 
consecutive in which an employee is entitled to allowable 
service credit.  It also means 12 months credit each calendar 
year for teachers in the state universities and state 
institutions who may or may not receive compensation in every 
month in the calendar year.  
    Subd. 17.  [TOTAL AND PERMANENT DISABILITY.] "Total and 
permanent disability" means the inability to engage in any 
substantial gainful activity by reason of any medically 
determinable physical or mental impairment which can be expected 
to be of long-continued and indefinite duration.  
"Long-continued and indefinite duration" means that the 
disability has been existed or is expected to be continue for 
a period of at least one year. 
    Subd. 18.  ["ANNUITY" AND "BENEFIT" SYNONYMOUS.] The words 
"annuity" and "benefit," wherever they appear in this chapter, 
are synonymous. 
    Subd. 19.  [RETIREMENT.] "Retirement" means the time after 
a state employee is entitled to an accrued annuity, as defined 
in subdivision 21, payable pursuant to under an application for 
annuity filed in the office of the system as provided in section 
352.115, subdivision 8 or, in the case of an employee who has 
received a disability benefit, when that employee attains 
reaches age 65. 
    Subd. 20.  [RETIRED EMPLOYEE.] "Retired employee" means an 
employee who has retirement status as defined in subdivision 19. 
    Subd. 21.  [ACCRUED ANNUITIES.] For the purposes of In this 
chapter and chapters 3A, 352B, 352C, and 490, "accrued annuity"  
means an annuity which that had become payable to a retired 
employee in the lifetime of the employee.  An annuity or benefit 
authorized as provided in this chapter and chapters 3A, 352B, 
352C, and 490 becomes payable on the first day of each calendar 
month for that calendar month and is to be paid on the first day 
of each calendar month beginning with benefits payable on and 
after December 1, 1977. 
    Notwithstanding any provision to the contrary in this 
chapter and chapters 3A, 352B, 352C, and 490, benefit payment 
authorized as "payable for life" shall be is payable for the 
entire month in which death occurs, and the benefit payment for 
the month of death shall be is payable to the surviving spouse 
or other beneficiary only if the annuitant dies before 
negotiating the check. 
    Subd. 22.  [DISABLED EMPLOYEE.] For the purposes of this 
chapter "Disabled employee" means an employee who is totally and 
permanently disabled as defined in subdivision 17, and who as a 
result thereof of the disability is entitled to receive a 
disability benefit as provided in section 352.113.  
    Subd. 23.  [COVERAGE OR COVERED BY THE SYSTEM.] "Coverage"  
or "covered by the system" for the purposes of this chapter 
means that state employees who serve the state of Minnesota and 
make the required employee contributions to the retirement fund 
will by reason thereof of these contributions become entitled to 
either (1) a retirement annuity, or (2) a disability benefit, or 
(3) a refund of accumulated contributions, all as provided in 
this chapter. 
    Subd. 24.  [SYSTEM.] "System" means the Minnesota state 
retirement system.  
    352.021 [MINNESOTA STATE RETIREMENT SYSTEM.] 
    Subdivision 1.  [ESTABLISHMENT.] There is hereby 
established the Minnesota state retirement system, hereinafter 
called the system, for state employees.  The Minnesota state 
retirement system is a continuation of the state employees 
retirement association.  Any person who was a member of the 
state employees retirement association on June 30, 1967, shall 
be is covered by the Minnesota state retirement system and shall 
be is entitled to all benefits provided by such the system upon 
fulfilling the age, service, contribution, and other 
requirements thereof of this chapter.  
    Subd. 2.  [STATE EMPLOYEES COVERED.] Every person who is a 
state employee, as defined in section 352.01, on July 1, 
1967, and every person becoming or becomes a state employee 
thereafter after that date is covered by the system provided by 
this chapter.  Acceptance of state employment or continuance in 
state service is deemed consent to have deductions made from 
salary for deposit to the credit of the account of the state 
employee in the retirement fund.  
    Subd. 3.  [OPTIONAL EXEMPTIONS.] Any person who is 
appointed by the governor or lieutenant governor may request 
exemption from coverage under this chapter if the appointee is 
not so covered at the date of such appointment.  To qualify for 
this exemption request must be made within 90 days from the date 
of entering upon the duties of the position to which appointed.  
After the request, a person requesting exemption shall is not 
thereafter be entitled to such coverage so long as while 
employed in the position which that entitled that person to 
exemption therefrom from coverage.  
    Subd. 4.  [RE-ENTERING SERVICE AFTER REFUNDMENT 
REFUND.] Whenever When a former employee who has withdrawn 
accumulated contributions re-enters employment in a position 
entitled to coverage under the state retirement system 
established by this chapter, the employee shall be 
covered thereby by the system on the same basis as a new 
employee and shall is not be entitled to credit for any former 
service, nor shall.  The annuity rights forfeited at the time of 
when taking a refundment refund can only be restored, except as 
provided in this chapter.  
    Subd. 5.  [CONTINUING COVERAGE.] Any state employee who has 
made contributions to the retirement fund for a period of one 
year and who, thereafter continuing in state service after that 
year, becomes eligible to for membership in the state teachers 
retirement association shall have the option of continuing may 
continue coverage under the system by filing in its office 
written notice of election therefor to continue.  The election 
to be covered by the system under this subdivision or section 
352.01, subdivision 2B 2b, clause (3) shall must be made on a 
form approved by the director within 90 days after appointment 
to the position.  If the option is exercised, the employee shall 
is not thereafter be entitled to membership in the teachers 
retirement association while employed by the state in a position 
which that entitled the employee to make this election.  
    352.028 [COVERAGE TERMINATION.] 
    Coverage of any person under the system shall terminate 
upon that person's ceasing ends when the person ceases to be a 
state employee.  
    352.029 [COVERAGE FOR EMPLOYEES OF LABOR ORGANIZATIONS.] 
    Subdivision 1.  [QUALIFICATIONS.] A former state employee 
who is an employee of a labor organization which that is an 
exclusive bargaining agent representing state employees or a 
state employee on leave of absence without pay to provide 
service as an employee or officer of a labor organization that 
is an exclusive bargaining agent representing state employees, 
may elect pursuant to choose under subdivision 2 to be covered 
by the state retirement system established by this chapter with 
respect to for service with the labor organization unless 
specifically excluded under section 352.01, subdivision 2B 2b.  
    Subd. 2.  [ELECTION.] A person described in subdivision 1 
shall be covered by the state retirement system if written 
election to be covered is delivered to the executive director 
before December 31, 1985, within 90 days of being employed by 
the labor organization, or within 90 days of commencing their 
starting the first leave of absence with an exclusive bargaining 
agent, whichever is later. 
    Subd. 3.  [CONTRIBUTIONS.] The employee, employer, and 
additional employer contributions required pursuant to by 
section 352.04 shall be are the obligation of the employee who 
elects chooses coverage under this section; provided,.  However, 
that the employing labor organization may pay the employer and 
employer additional contributions.  Contributions made by the 
employee shall must be made by salary deduction.  The employing 
labor organization shall remit pay all contributions to the 
state retirement system pursuant to as required by section 
352.04. 
    Subd. 4.  [PURCHASE OF PRIOR SERVICE CREDIT.] Any person 
who elects membership pursuant to under this section shall be 
allowed to may make payment for service rendered prior to before 
December 31, 1985, in a labor organization designated in 
subdivision 1; provided that if the labor organization makes 
satisfactory certification of satisfactorily certifies the prior 
service of the former state employee.  Payment shall include all 
employee, employer, and additional employer contributions at the 
rates in effect when the service was rendered plus interest at 
the rate of six percent per annum year from the year of purchase 
to the date payment is made; provided, however, that.  The 
employing labor organization may pay the employer and employer 
additional contributions plus interest at the specified rate.  
Payment shall must be made in one lump sum prior to before 
December 31, 1985, or prior to before retirement, whichever is 
earlier, and.  No allowable service with respect to such this 
payment shall be credited to the employee's account until 
payment is received by the executive director. 
    Subd. 5.  [BOARD MEMBERSHIP EXCLUDED.] Employees of a labor 
organization who become members of the state retirement system 
pursuant to under this section shall are not be eligible for 
election to the board of trustees directors. 
    352.03 [BOARD OF DIRECTORS, COMPOSITION,; EXECUTIVE 
DIRECTOR; DUTIES, POWERS.] 
    Subdivision 1.  [MEMBERSHIP OF BOARD; ELECTION; TERM.] The 
policy making policy-making function of the system is hereby 
vested in a board of 11 members, who shall be known as the board 
of directors hereinafter called the board.  This board shall 
consist of three members appointed by the governor, one of 
whom shall must be a constitutional officer or appointed state 
official and two of whom shall must be public members 
knowledgeable in pension matters, four state employees who shall 
be elected by state employees covered by the system excluding 
employees in categories specifically authorized to designate or 
elect a member by this subdivision, one employee of the transit 
operating division of the metropolitan transit commission 
designated by the executive committee of the labor 
organization which that is the exclusive bargaining agent 
representing employees of the transit division, one member of 
the state patrol retirement fund elected by members of that fund 
at a time and in a manner fixed by the board, one employee 
covered by the correctional employees plan elected by employees 
covered by that plan, and one retired employee elected by 
retired employees at a time and in a manner to be fixed by the 
board.  Two state employee members, whose terms of office shall 
begin on the first Monday in March next succeeding after their 
election, shall must be elected biennially.  Elected members and 
the appointed transit operating division member shall hold 
office for a term of four years, except the retired member whose 
term shall be is two years, and until their successors are 
elected or appointed, and have qualified.  A state employee on 
leave of absence shall is not be eligible for election or 
re-election to membership on the board of directors; and.  The 
term of any board member who is on leave for more than six 
months shall automatically terminate upon the expiration ends on 
expiration of this period. 
    Subd. 1a.  [TERMS; COMPENSATION; REMOVAL; VACANCIES; PUBLIC 
MEMBERS.] The membership terms, compensation, removal of 
members, and filling of vacancies for the public members on the 
board shall be are as provided in section 15.0575. 
    Subd. 2.  [VACANCY.] Any vacancy of a state employee or 
retired employee in the board caused by death, resignation, or 
removal of any member so elected shall must be filled by the 
board for the unexpired portion of the term in which the vacancy 
occurs.  Any vacancy of the employee of the transit operating 
division member of the board caused by death, resignation, or 
removal shall must be filled by the governing board of the labor 
organization which that is the exclusive bargaining agent 
representing employees of the transit operating division. 
    Subd. 4.  [DUTIES AND POWERS OF BOARD OF DIRECTORS.] It is 
the duty of The board and it has power to shall: 
    (1) elect a chair; 
    (2) appoint an executive director; 
    (3) establish rules for the administration of the 
provisions of to administer this chapter and chapters 3A, 352B, 
352C, 352D, and 490 and transaction of transact the business of 
the system, all subject to the limitations of said chapter and 
the law; 
    (4) consider and dispose of, or take such any other action 
as the board of directors deems appropriate concerning denials 
of applications for annuities or disability benefits under this 
chapter, and complaints of employees and others pertaining to 
the retirement of employees and the operation of the system; and 
    (5) advise the director on any matters relating to the 
system and the carrying out of the functions and purposes of 
said this chapter, which.  The board's advice shall be 
controlling; and control. 
    The director and assistant director shall must be in the 
unclassified service but appointees may be selected from civil 
service lists if it is desired to do so.  The salary of the 
executive director shall must be as provided by section 15A.081, 
subdivision 1.  The salary of the assistant director shall must 
be set in accordance with section 43A.18, subdivision 3.  
    Subd. 4a.  [ADDITIONAL DUTIES OF THE BOARD.] The board may 
consider, review, and make recommendations regarding the 
financial and other needs of retired employees and may 
disseminate appropriate retirement information to the retired 
employee. 
    Subd. 5.  [EXECUTIVE DIRECTOR.] The executive director, 
hereinafter in this chapter called the director, of the system 
shall must be appointed by the board on the basis of fitness, 
experience in the retirement field, and leadership ability.  The 
director shall must have had at least five years' experience on 
the administrative staff of a major retirement system. 
    Subd. 6.  [DUTIES AND POWERS OF EXECUTIVE DIRECTOR.] The 
management of the system is vested in the director, who shall be 
is the executive and administrative head of the system.  The 
director shall act as be advisor to the board on all matters 
pertaining to the system, and shall also act as the secretary of 
the board.  The director shall: 
    (1) Attend all meetings of the board; 
    (2) Prepare and recommend to the board rules for the 
purpose of carrying to carry out the provisions of this chapter; 
    (3) Establish and maintain an adequate system of records 
and accounts following recognized accounting principles and 
controls; 
    (4) Designate an assistant director with the approval of 
the board; 
    (5) Appoint such any employees, both permanent and 
temporary, as that are necessary to carry out the provisions of 
said this chapter; 
    (6) Organize the work of the system as the director deems 
necessary to fulfill the functions of the system, and define the 
duties of its employees and delegate to them any powers or 
duties, subject to the control of the director and under such 
conditions as the director may prescribe.  Appointments to 
exercise delegated power shall must be by written order filed 
with the secretary of state; 
    (7) With the advice and consent of the board, contract for 
actuarial services, professional management services, and 
consulting services as may be necessary and fix the compensation 
therefor for these services.  The contracts shall are not be 
subject to the competitive bidding procedure prescribed by under 
chapter 16.  Professional management services may not be 
contracted for more often than once in every six years.  Copies 
of all professional management survey reports shall must be sent 
directly to the legislature and the legislative auditor at 
the same time reports are furnished the board.  Only management 
firms experienced in conducting management surveys of federal, 
state, or local public retirement systems shall be are qualified 
to contract with the director hereunder; 
    (8) With the advice and consent of the board 
provide inservice in-service training for all employees of the 
system;  
    (9) Make refundments refunds of accumulated contributions 
to former state employees and to the designated beneficiary, 
surviving spouse, legal representative, or next of kin of 
deceased state employees or deceased former state employees, all 
as provided in this chapter; 
    (10) Determine the amount of the annuities and disability 
benefits of employees covered by the system and authorize 
payment thereof beginning as of the dates the annuities and 
benefits begin to accrue, all in accordance with the provisions 
of said this chapter; 
    (11) Pay annuities, refundments refunds, survivor benefits, 
salaries, and all necessary operating expenses of the system; 
    (12) Certify funds available for investment to the state 
board of investment; 
    (13) With the advice and approval of the board request the 
state board of investment to sell securities when the director 
determines that funds are needed for the purposes of the system; 
    (14) Prepare and submit Report annually to the board and 
the legislature an annual report covering on the operation of 
the system, as required by sections 356.215 to 356.23; 
    (15) Prepare and submit biennial and quarterly budgets to 
the board and with the approval of the board submit the budgets 
to the department of administration; and 
    (16) With the approval of the board, perform such other 
duties as may be required for the administration of required to 
administer the retirement and other provisions of this chapter 
and for the transaction of to do its business. 
    Subd. 7.  [DIRECTORS' FIDUCIARY OBLIGATION.] It is the duty 
of The board and the director to shall administer the law 
faithfully without prejudice and consistent with the expressed 
intent of the legislature.  They shall act in their respective 
capacities with a fiduciary obligation to the state of Minnesota 
which created the fund, the taxpayers which who aid in financing 
it, and the state employees who are its beneficiaries. 
    Subd. 8.  [MEDICAL ADVISOR.] The state commissioner of 
health or such other licensed physician on the staff of the 
commissioner as the commissioner may designate shall be the 
medical advisor of the director. 
    Subd. 9.  [DUTIES OF THE MEDICAL ADVISOR.] The medical 
advisor shall designate licensed physicians to examine 
applicants for disability benefits.  The medical advisor shall 
pass upon all medical reports based upon such examinations 
required to determine whether a state employee is totally and 
permanently disabled as defined in section 352.01, subdivision 
17, shall investigate all health and medical statements and 
certificates by or on behalf of a state employee in connection 
with a disability benefit, and shall report in writing to the 
director conclusions and recommendations on all matters referred 
for advice. 
    Subd. 10.  [POWER TO DETERMINE EMPLOYEE'S STATUS.] Except 
as otherwise specifically provided in this chapter, the final 
power to determine the status of any individual in the employ of 
the state for the purposes of this chapter is vested in the 
board and its decision is final. 
    Subd. 11.  [LEGAL ADVISER, ATTORNEY GENERAL.] The attorney 
general shall be the legal adviser of the board and of the 
director.  The board may sue or be sued in the name of the board 
of directors of the Minnesota state retirement system and.  In 
all actions brought by it or against it, the board shall be 
represented by the attorney general provided that.  Venue of all 
such actions shall be in the Ramsey county district court. 
    Subd. 12.  [DEPARTMENT OF EMPLOYEE RELATIONS, DUTIES.] Upon 
request of the director, the department of employee relations 
shall furnish such information relative to about the status of 
state employees as may be required by the director or the board 
in the performance of their duties. 
    Subd. 13.  [DEPARTMENT OF LABOR AND INDUSTRY, DUTIES.] The 
department of labor and industry shall furnish give the director 
with a copy of each abstract submitted to the commissioner of 
finance and to be charged to the state compensation revolving 
fund which shall be construed as.  The copy is notice to the 
director that the employees listed thereon on it have sustained 
injury arising out of and in the course of employment by the 
state of Minnesota and are entitled to credit for service on the 
records of the system during the time while they receive 
compensation is received for temporary disability resulting from 
such the injury, but shall.  The copy must not be used for any 
other purpose. 
    Subd. 14.  [DEPARTMENTAL INFORMATION.] Under the direction 
of the director the head of each department shall furnish such 
give information and keep such records as the director or the 
board may require needs for the discharge of their duties.  
    Subd. 15.  [CALENDAR YEAR BASIS OPTIONAL.] For all purposes 
except quarterly and biennial budgets the system may operate on 
a calendar rather than a fiscal year basis. 
    Subd. 16.  [DATA PROCESSING SERVICES.] Notwithstanding 
chapter 16, or any law to the contrary, the executive director 
of the Minnesota state retirement system may use the services of 
the department of administration, information services division, 
for electronic data processing and related services or may 
contract for all or a portion part of such the services. 
    352.04 [STATE EMPLOYEES RETIREMENT FUND, CONTRIBUTIONS BY 
EMPLOYEE AND EMPLOYER.] 
    Subdivision 1.  [FUND CREATED.] (1) (a) There is created a 
special fund to be known as the state employees retirement 
fund.  In that fund there shall be deposited employees 
contributions, employers contributions, and other amounts 
authorized by law.  
    (2) (b) Effective July 1, 1969, the Minnesota state 
retirement system shall participate in the Minnesota 
postretirement investment fund. In that fund there shall be 
deposited the amounts provided in section 352.119.  
    Subd. 2.  [EMPLOYEE CONTRIBUTIONS.] The employee 
contribution to the fund shall must be an amount equal to 3.73 
percent of salary, beginning with the first full pay period 
after June 30, 1984.  These contributions shall must be made by 
deduction from salary in the manner as provided in subdivision 4.
    Subd. 3.  [EMPLOYER CONTRIBUTIONS.] The employer 
contribution to the fund shall must be an amount equal to 3.90 
percent of salary beginning with the first full pay period after 
June 30, 1984.  
    Subd. 4.  [PAYROLL DEDUCTIONS.] The head of each department 
shall cause have employee contributions to be deducted from the 
salary of each employee covered by the system on every payroll 
abstract and shall approve one voucher payable to the state 
treasurer for the aggregate amount so deducted on the payroll 
abstract.  Deductions from salaries of employees paid direct by 
any department, institution, or agency of the state shall must 
be made by the officer or employee authorized by law to pay such 
the salaries.  The head of any department or agency having 
authority to appoint any employee who receives fees as 
compensation or who receives compensation on federal payrolls 
shall collect as the required employee contribution the 
applicable amounts required in subdivision 2.  All such 
Deductions from salary and amounts collected shall must be 
remitted to the director with a statement showing the amount of 
earnings or fees, and in the case of fees, the number of 
transactions, and the amount of each of such the deductions and 
collections and the names of the employees on whose account the 
same they have been made.  
    Subd. 5.  [PAYMENT OF EMPLOYER CONTRIBUTIONS.] The head of 
each department or agency shall cause have employer 
contributions to be made to the fund on each a payroll abstract 
at the time each an employee is paid salary in the amounts 
required by subdivision 3.  These contributions shall must be 
charged as administrative costs.  Each department shall pay 
these amounts from such accounts and funds from which each the 
department or agency receives its revenue, including 
appropriations from the general fund and from any other fund, 
now or hereafter existing, for the payment of salaries and in 
the same proportion as it pays therefrom the amounts of such 
salaries. 
    Subd. 6.  [QUASISTATE AGENCIES; EMPLOYER CONTRIBUTIONS.] 
For those of their employees who are covered by the system, the 
state horticultural society, the Disabled American Veterans, 
Department of Minnesota, Veterans of Foreign Wars, Department of 
Minnesota, the Minnesota crop improvement association, the 
Minnesota historical society, the armory building commission, 
the Minnesota safety council, the Metropolitan council and any 
of its statutory boards, and any other agency employing 
employees covered by this system, respectively, shall also pay 
into the retirement fund the amount required by subdivision 3.  
    Subd. 8.  [DEPARTMENT REQUIRED TO PAY OMITTED SALARY 
DEDUCTIONS.] (a) If any a department fails to take deductions 
past due for a period of 60 days or less from an employee's 
salary as provided in this section, those deductions shall must 
be taken on subsequent later payroll abstracts.  
    (b) If any a department fails to take deductions past due 
for a period in excess of 60 days from an employee's salary as 
provided in this section, the department, and not the employee, 
shall pay the employee and employer contributions and an amount 
equivalent to six percent of the total amount due in lieu of 
interest.  
    (c) If any a department fails to take deductions past due 
for a period of 60 days or less and the employee is no longer in 
state service so that the required deductions cannot be taken 
from the salary of the employee, the department shall 
nevertheless pay the required employer contributions.  If any 
department fails to take deductions past due for a period in 
excess of 60 days and the employee is no longer in state 
service, the omitted contributions shall be recovered pursuant 
to clause under paragraph (b).  
    (d) If an employee from whose salary required deductions 
were past due for a period of 60 days or less leaves state 
service prior to before the payment of the omitted deductions 
and subsequently returns to state service, the unpaid 
amount thereof shall be is considered the equivalent of a 
refund, and.  The employee shall accrue accrues no right by 
reason thereof of the unpaid amount, except that the employee 
may pay the amount thereof of omitted deductions as provided in 
section 352.23. 
    Subd. 9.  [ERRONEOUS DEDUCTIONS, CANCELED WARRANTS.] (1)  
Any (a) Deductions taken from the salary of an employee for the 
retirement fund in error shall must, upon discovery and 
verification by the department making the deduction, be refunded 
to the employee.  
    (2) In the event a salary warrant or check from which (b)  
If a deduction for the retirement fund was is taken has been 
from a salary warrant or check, and the check is canceled or the 
amount of the warrant or check returned to the funds of the 
department making the payment, a refundment of the sum so 
deducted, or any portion the part of it as is required to adjust 
the deductions, shall be made must be refunded to the department 
or institution provided application if the department applies 
for it is made the refund on a form furnished by the director, 
and.  The department's payments shall must likewise be refunded 
to the department.  
    Subd. 11.  [GIFTS AND BEQUESTS.] The director is hereby 
authorized and empowered to may credit to the retirement fund 
any moneys money received in the form of donations, gifts, 
appropriations, bequests, or otherwise, or derived therefrom 
from it.  
    Subd. 12.  [FUND DISBURSEMENT RESTRICTED.] The state 
employees retirement fund and the participation in the Minnesota 
postretirement investment fund shall must be disbursed only for 
the purposes herein provided by law.  The expenses of the system 
and any benefits herein provided by law, other than benefits 
payable from the Minnesota postretirement investment fund, shall 
must be paid from the state employees retirement fund.  The 
retirement allowances, retirement annuities, and disability 
benefits, as well as refundment refunds of any sum remaining to 
the credit of a deceased retired employee or a disabled employee 
shall must be paid only from the state employees retirement fund 
after such the needs have been certified and the amounts 
withdrawn from the participation in the Minnesota postretirement 
investment fund under the provisions of section 11A.18.  The 
amounts necessary to make the payments from the state employees 
retirement fund and the participation in the Minnesota 
postretirement investment fund are hereby annually appropriated 
from said these funds for said those purposes.  
    352.041 [LEAVE OF ABSENCE FOR EMPLOYMENT BY POLITICAL 
SUBDIVISION.] 
    Subdivision 1.  [ALLOWABLE SERVICE CREDIT.] Any employee 
covered by the system who is given a leave of absence for 
employment by a political subdivision of the state shall 
continue to pay into the state employees retirement fund for the 
period of such leave, and.  Upon such payment shall the 
employee must be given allowable service credit as a state 
employee on the records of the system the same as though the 
employee had received salary from the state therefor during the 
leave.  Such Payments into the retirement fund shall be at the 
rate required in section 352.04, subdivision 2, and shall must 
be based upon the salary received from the political subdivision 
subject to the maximum amount, if any. 
    Subd. 2.  [EMPLOYEE CONTRIBUTIONS, PROCEDURE.] The officer 
or employee authorized by law to pay salaries to employees of 
the political subdivision employing such a state employee shall 
cause have employee contributions to be deducted from the salary 
of each employee who is on leave of absence from state 
service as aforesaid on each payroll abstract and shall pay such 
the sum to the director each pay period. 
    Subd. 3.  [EMPLOYER CONTRIBUTIONS, PROCEDURE.] The officer 
or employee authorized by law to pay salaries to employees of 
the political subdivision employing such a state employee 
covered by the system shall also cause have employer 
contributions to be made to the state employees retirement fund 
on each payroll abstract in the amount required by section 
352.04, subdivision 3.  These contributions are to be charged as 
an administrative cost.  
    Subd. 5.  [EMPLOYER CONTRIBUTIONS, LEAVES OF ABSENCE; TAX 
LEVIES.] Every political subdivision employing a state employee 
covered by the system on leave of absence from state service for 
employment by a political subdivision of the state shall pay 
into the state employees retirement fund the amount of the 
employer contribution required by law for state employees 
covered by the system.  Such Employing political subdivisions, 
except school districts, may levy such taxes as may be necessary 
for the payment of employer contributions without limitation as 
to rate or amount, and.  The levy of such the taxes shall not 
cause does not reduce the amount of other taxes to be levied by 
political subdivisions, except school districts, which are 
subject to any such limitation, to be reduced in any amount 
whatsoever.  
    352.05 [STATE TREASURER TO BE TREASURER OF SYSTEM.] 
    The state treasurer shall be is ex officio treasurer of the 
retirement funds of the system and.  The general bond to the 
state shall cover all liability for actions as treasurer of 
these funds.  All moneys Funds of the system received by the 
treasurer shall must be set aside in the state treasury to the 
credit of the proper fund.  The treasurer shall deliver to the 
director each month copies of all payroll abstracts of the state 
together with the commissioner of finance's warrants covering 
the deductions made on these payroll abstracts for the 
retirement fund; whereupon.  The director shall cause to be have 
a list made, in quadruplicate, a list of the commissioner of 
finance's warrants and.  These warrants shall must then be 
deposited with the state treasurer to be credited to the 
retirement fund.  The treasurer shall pay out of this fund only 
on warrants issued by the commissioner of finance, upon 
abstracts signed by the director, or by the finance officer 
designated by the director during the disability or the absence 
of the director from the city of St. Paul, Minnesota.  Abstracts 
for investments may be signed by the secretary executive 
director of the state board of investment.  
    352.061 [INVESTMENT BOARD TO INVEST FUNDS.] 
    The director shall, from time to time, certify to the state 
board of investment such any portions of the state employees 
retirement fund as that in the judgment of the director may are 
not be required for immediate use.  Assets from the state 
employees retirement fund shall must be transferred to the 
Minnesota postretirement investment fund as provided in section 
11A.18.  The state board of investment shall thereupon invest 
and reinvest sums so transferred, or certified, in such 
securities as that are duly authorized legal investments for 
such purposes under section 11A.24.  
    352.113 [PERMANENT DISABILITY BENEFITS.] 
    Subdivision 1.  [AGE AND SERVICE REQUIREMENTS.] Any 
employee covered by the system who is less than 65 years of age 
old who becomes totally and permanently disabled after ten or 
more years of allowable service and any employee who is at least 
50 years of age old but less than 65 years of age old who 
becomes totally and permanently disabled after five or more 
years of allowable service shall be is entitled to a disability 
benefit in an amount provided in subdivision 3.  If such the 
disabled employee's state service has terminated at any 
time, the employee must have at least five years of allowable 
service must have been rendered after last becoming a state 
employee covered by the system. 
    Subd. 2.  [APPLICATION; ACCRUAL OF BENEFITS.] An employee 
making claim for a total and permanent disability benefit shall 
file a written application therefor for benefits in the office 
of the system.  The application must be in a form and manner 
prescribed by the executive director.  The benefit shall begin 
to accrue the day following the commencement start of disability 
or the day following the last day paid, whichever is later, but 
in no event not earlier than 60 days prior to before the date 
the application is filed with the director.  
    Subd. 3.  [COMPUTATION OF BENEFITS.] The total and 
permanent disability benefit shall must be computed in the 
manner provided in section 352.115.  The disability benefit 
shall be the normal annuity without reduction for each month the 
employee is under age 65 at the time of becoming disabled.  A 
disabled employee may elect choose to receive the normal 
disability benefit or an optional annuity as provided in section 
352.116, subdivision 3.  The election of an optional annuity 
shall This choice must be made prior to before the 
commencement start of payment of the disability benefit and 
shall be is effective the date on which the disability begins to 
accrue as provided in subdivision 2.  
    Subd. 4.  [MEDICAL EXAMINATIONS; AUTHORIZATION FOR PAYMENT 
OF BENEFIT.] An applicant shall provide medical evidence to 
support an application for total and permanent disability.  The 
director shall have the employee examined by at least one 
additional licensed physician designated by the medical 
advisor.  The physicians shall make written reports to the 
director concerning the employee's disability including medical 
opinions as to whether the employee is permanently and totally 
disabled within the meaning of section 352.01, subdivision 17.  
The director shall also obtain written certification from the 
employer stating whether the employee is on sick leave of 
absence because of a disability which that will prevent further 
service to the employer and as a consequence the employee is not 
entitled to compensation from the employer.  If upon the 
consideration of The medical advisor shall consider the reports 
of the physicians and such any other evidence as may have been 
supplied by the employee or others interested therein, other 
interested parties.  If the medical advisor finds the employee 
totally and permanently disabled, the advisor shall make 
appropriate recommendation to the director in writing together 
with the date from which the employee has been totally disabled 
, and.  The director shall thereupon then determine the 
propriety of authorizing payment of a disability benefit as 
provided in this section.  The employee must be on approved 
leave of absence from the employer to be eligible to make 
application apply for a total and permanent disability benefit, 
but the fact that an employee is placed on leave of absence 
without compensation because of disability shall does not bar 
that employee from receiving a disability benefit.  Unless 
payment of a disability benefit has terminated because the 
employee is no longer totally disabled, or because the employee 
has reached age 65 as provided in this section, the disability 
benefit shall cease with the last payment received by the 
disabled employee or which had accrued during the lifetime of 
the employee unless there is a spouse surviving; in that event 
the surviving spouse shall be is entitled to the disability 
benefit for the calendar month in which the disabled employee 
died.  
    Subd. 6.  [REGULAR MEDICAL EXAMINATIONS.] At least once 
each year during the first five years following the allowance of 
a disability benefit to any employee, and at least once in every 
three-year period thereafter, the director may require any 
disabled employee to undergo a medical examination to be.  The 
examination must be made at the place of residence of such the 
employee, or at any place mutually agreed upon, by a physician 
or physicians designated by the medical advisor and engaged by 
the director.  If any examination indicates to the medical 
advisor that the employee is no longer permanently and totally 
disabled, or is engaged in or is able to can engage in a gainful 
occupation, payments of the disability benefit by the fund shall 
must be discontinued.  The payments shall discontinue as soon as 
the employee is reinstated to the payroll following sick leave, 
but in no case shall payment be made for more than 60 days after 
the medical advisor finds that such the employee is no longer 
permanently and totally disabled.  
    Subd. 7.  [PARTIAL RE-EMPLOYMENT.] Should If the disabled 
employee resume resumes a gainful occupation from which earnings 
are less than the employee's salary at the date of disability or 
the salary currently paid for similar positions, the director 
shall continue the disability benefit in an amount which when 
added to such earnings does not exceed the salary at the date of 
disability or the salary currently paid for similar positions, 
whichever is lower, provided the disability benefit in such this 
case does not exceed the disability benefit originally allowed.  
No Deductions for the retirement fund shall must not be taken 
from the salary of a disabled employee who is receiving a 
disability benefit as provided in this subdivision. 
    Subd. 8.  [REFUSAL OF EXAMINATION.] Should any such If a 
disabled employee refuse refuses to submit to a medical 
examination as herein provided required, payments by the 
fund shall must be discontinued and the director shall revoke 
all rights of the employee in any disability benefit shall be 
revoked by the director. 
    Subd. 9.  [RETURN TO STATE SERVICE.] Any employee receiving 
a disability benefit who is restored to active state service 
except employees receiving benefits as provided in subdivision 
7, shall have deductions taken for the retirement fund and upon 
subsequent retirement have the payable retirement annuity based 
upon all allowable service including that upon which the 
disability benefits were based.  No employee shall be is 
entitled to receive disability benefits and a retirement annuity 
at the same time. 
    Subd. 10.  [EMPLOYEE AGAIN DISABLED AFTER RESUMING 
EMPLOYMENT.] If a disabled employee resumes gainful employment 
with the state and is not entitled to continued payment of a 
disability benefit as provided in subdivision 7, the right to a 
disability benefit shall terminate ends when the employee has 
been employed for one year thereafter.  Should such If the 
employee again become becomes totally and permanently disabled 
before reaching age 65, application for a disability benefit may 
again be made.  In the event If the employee is entitled to a 
disability benefit it shall must be computed as provided in 
subdivision 9. 
    Subd. 11.  [RECOMPUTATION OF BENEFIT.] If an employee who 
has resumed employment as provided in subdivision 10 is 
re-employed for more than three months, but is unable to cannot 
continue in such re-employment for one year, the disability 
benefit shall must be recomputed allowing additional service 
credit for the period of re-employment; provided that.  If the 
period of re-employment does not exceed three months, the 
deductions taken from salary after resuming employment shall 
must be returned to the employee, who shall not be.  The 
employee is not entitled to service credit for the period 
covered by the returned deductions.  
    Subd. 12.  [RETIREMENT STATUS AT AGE 65.] The disability 
benefit paid to a disabled employee hereunder shall terminate 
under this section ends when the employee reaches age 65.  If 
the disabled employee is still totally and permanently disabled 
when the employee reaches age 65, the employee shall be 
deemed considered to be a retired employee and,.  If the 
employee had elected chosen an optional annuity pursuant to 
under subdivision 3, the employee shall receive an annuity in 
accordance with the terms of the optional annuity previously 
elected, or, chosen.  If the employee had not elected chosen an 
optional annuity pursuant to subdivision 3, the employee may 
then elect choose to receive either a normal retirement annuity 
equal in amount to the disability benefit paid before the 
employee reached age 65 or an optional annuity as provided in 
section 352.116, subdivision 3.  Election The choice of an 
optional annuity shall must be made prior to before reaching age 
65.  If an optional annuity is elected chosen, the election 
shall be choice is effective on the date on which the employee 
attains the age of becomes 65 years old and the optional annuity 
shall begin to accrue the first of the month following the month 
in which the employee attains age 65.  
    352.115 [RETIREMENT ANNUITY.] 
    Subdivision 1.  [AGE AND SERVICE REQUIREMENTS.] After 
separation from state service, any employee (a) (1) who has 
attained the age of at least 55 years and who is entitled to 
credit for not less than at least ten years allowable service, 
or (b) (2) who has received credit for not less than at least 30 
years allowable service regardless of age, is entitled upon 
application to a retirement annuity. 
    Subd. 2.  [AVERAGE SALARY.] The retirement annuity 
hereunder payable at age 65 or thereafter shall must be computed 
in accordance with the applicable provisions of the formula 
stated in subdivision 3 hereof, on the basis of the employee's 
average salary for the period of allowable service.  Such This 
retirement annuity is known as the "normal" retirement annuity.  
    For each year of allowable service, "average salary" of an 
employee for the purpose of in determining a retirement annuity 
means the average of the highest five successive years of salary 
upon which the employee has made contributions to the retirement 
fund by payroll deductions. 
    "Average salary" shall does not include the payment of 
accrued unused annual leave or overtime paid at time of final 
separation from state service if paid in a lump sum nor shall 
does it include the reduced salary, if any, paid during the 
period the employee is entitled to workers' compensation benefit 
payments from the workers' compensation court of appeals for 
temporary disability. 
    Subd. 3.  [RETIREMENT ANNUITY FORMULA.] The employee's 
average salary, as defined in subdivision 2, multiplied by 1 one 
percent per year of allowable service for the first ten years 
and 1.5 percent for each subsequent later year of allowable 
service and pro rata for completed months less than a full year 
shall determine the amount of the retirement annuity to which 
the employee qualifying therefor is entitled. 
    Subd. 7.  [APPLICATION FOR ANNUITY.] Application for 
annuity may be made by the employee, or someone acting in behalf 
of the employee, upon proof of authority satisfactory to the 
director. 
    Subd. 8.  [ACCRUAL OF ANNUITY.] State employees shall make 
application apply for an annuity but such.  The application 
shall must not be made more than 60 days prior to before the 
time the employee is eligible to retire by reason of both age 
and service requirements.  If the director determines an 
applicant for annuity has fulfilled all the legal requirements 
of the law to entitle the applicant to for an annuity, the 
director shall authorize the annuity payment thereof in 
accordance with the provisions of this chapter and payment shall 
must be made pursuant to this authorization as authorized.  An 
annuity shall begin to accrue no earlier than 60 days prior to 
before the date the application is filed with the director, 
but in no event prior to not before the day following the 
termination of state service or prior to before the day the 
employee is eligible to retire by reason of both age and service 
requirements.  The retirement annuity shall cease with the last 
payment which had accrued during the lifetime of the retired 
employee unless an optional annuity provided in section 352.116, 
subdivision 3, had been selected and had become payable.  The 
joint and last survivor annuity shall cease with the last 
payment received by the survivor during the lifetime of the 
survivor.  If a retired employee had not selected an optional 
annuity, or a survivor annuity is not payable under the option, 
and a spouse survives, such the spouse shall be is entitled only 
to the annuity for the calendar month in which the retired 
employee died.  If an optional annuity is payable after the 
death of the retired employee, the survivor shall be is entitled 
to the annuity for the calendar month in which the retired 
employee died.  
    Subd. 9.  [ANNUITIES PAYABLE MONTHLY.] All annuities, and 
disability benefits authorized under the provisions of by this 
chapter shall, must be paid in equal monthly installments and 
shall must not be increased, decreased, or revoked except as 
provided herein in this chapter. 
    Subd. 10.  [RE-EMPLOYMENT OF ANNUITANT.] Should If any 
retired employee again become becomes entitled to receive salary 
or wages from the state, or any employer who employs state 
employees as that term is defined in section 352.01, subdivision 
2, other than salary or wages received as a temporary employee 
of the legislature during a legislative session, the annuity or 
retirement allowance shall cease when the retired employee has 
earned an amount equal to the annual maximum earnings allowable 
for that age for the continued receipt of full benefit amounts 
monthly under the federal old age, survivors, and disability 
insurance program as set by the secretary of health and human 
services pursuant to the provisions of 42 U.S.C., Section 
403 under United States Code, title 42, section 403, in any 
calendar year.  In the event that If the retired employee has 
not yet reached the minimum age for the receipt of social 
security benefits, the maximum earnings for the retired employee 
shall be equal to the annual maximum earnings allowable for the 
minimum age for the receipt of social security benefits.  The 
annuity shall must be resumed when state service terminates 
ends, or, if the retired employee is still employed at the 
beginning of the next calendar year, at the beginning of such 
that calendar year, and payment shall must again terminate end 
when the retired employee has earned the applicable 
re-employment earnings maximum specified in this subdivision.  
No payroll deductions for the retirement fund shall be made from 
the earnings of a re-employed retired employee.  If the retired 
employee is granted a sick leave without pay, but not otherwise, 
the annuity or retirement allowance shall must be resumed during 
the period of sick leave.  No change shall be made in the 
monthly amount of an annuity or retirement allowance because of 
the re-employment of an annuitant. 
    Subd. 11.  [ACCRUED ANNUITY AT DEATH.] Any annuity which 
had accrued prior to before the death of a retired employee, and 
any disability benefit which had accrued prior to before the 
death of a disabled employee shall be paid to the beneficiary 
whom the retired employee or the disabled employee had last 
designated.  If (a) (1) no beneficiary has been so designated, 
or (b) (2) the designated beneficiary should die dies before 
making claim for payment of such an annuity or benefit, payment 
shall must be made to the surviving spouse, or, if none, to the 
employee's surviving children in equal shares or, if none, to 
the employee's surviving parents in equal shares or, if none, to 
the legal representative of such the retired employee or 
disabled employee.  If such the designated beneficiary, 
surviving spouse, or legal representative entitled thereto to 
the annuity does not apply for payment within five years from 
the date of death of the retired employee or disabled employee, 
the annuity or disability benefit which had accrued at the time 
of death shall must be credited to and become a part of the 
retirement fund. 
    Subd. 12.  [DEATH, RETURN OF WARRANTS.] If at the time of 
death a retired employee, a disabled employee, or a survivor has 
in possession commissioner of finance's warrants covering a 
retirement annuity, disability benefit or survivor benefit from 
the retirement fund, in the absence of probate proceedings, and 
upon the return of such the warrants for cancellation, payment 
of such the accrued annuity or benefit, shall be paid made as 
provided in subdivision 11, or 352.12, subdivision 4.  Payments 
made under the provisions of this subdivision shall be a bar to 
recovery by any other person or persons. 
    352.116 [ANNUITIES UPON RETIREMENT.] 
    Subdivision 1.  [REDUCED ANNUITY BEFORE AGE 65.] Any 
employee who retires prior to before age 65 shall be paid the 
normal retirement annuity provided in section 352.115, 
subdivisions 2 and 3, reduced so that the reduced annuity shall 
be is the actuarial equivalent of the annuity which that would 
be payable to the employee if the employee deferred receipt of 
the annuity from the day the annuity begins to accrue to age 65, 
provided however that.  If an employee is entitled to credit for 
not less than at least 30 years allowable service, the 
retirement annuity shall must be reduced so that the reduced 
annuity shall be is the actuarial equivalent of the annuity 
which that would be payable to the employee if the employee 
deferred receipt of the annuity from the day the annuity begins 
to accrue to age 62. 
    Subd. 2.  [NORMAL ANNUITY AT AGE 65.] Any employee who 
retires after age 65 shall be paid the annuity provided in 
section 352.115. 
    Subd. 3.  [OPTIONAL ANNUITIES.] The board shall establish 
an optional retirement annuity which shall take in the form of a 
joint and survivor annuity.  The board may also in its 
discretion establish an optional annuity which shall take in the 
form of an annuity payable for a period certain and for life 
thereafter.  The optional forms shall must be actuarially 
equivalent to the normal forms provided in sections 352.115 and 
352.116, whichever applies.  In establishing these optional 
forms, the board shall obtain the written recommendation of an 
approved actuary as defined in section 352.01, subdivision 15, 
and.  These recommendations shall be a part of the permanent 
records of the board. 
    352.119 [PARTICIPATION IN MINNESOTA POSTRETIREMENT 
INVESTMENT FUND.] 
    Subdivision 1.  [ADJUSTABLE FIXED BENEFIT ANNUITY.] 
Adjustable fixed benefit annuity means the payments made from 
the participation in the fund to an annuitant after retirement 
in accordance with the provisions of this section.  It also 
means that the payments made to the persons receiving 
benefits shall must never be an amount less than the amount 
originally determined on the date of retirement or on July 1, 
1969, whichever is later, but not including the supplemental 
benefit provided for in section 352.73.  
    Subd. 2.  [VALUATION OF ASSETS; ADJUSTMENT OF BENEFITS.] 
(1) (a) Effective July 1, 1969, for those employees commencing 
beginning to receive benefits pursuant to under this chapter, 
and acts amendatory thereof, the required reserves as determined 
in accordance with the interest assumption then in effect and 
appropriate mortality table based on experience of the fund as 
recommended by the system's actuary shall must be transferred to 
the Minnesota postretirement investment fund as of the date end 
of the month in which benefits begin to accrue.  
    (2) (b) Annuity payments shall must be adjusted in 
accordance with the provisions of section 11A.18.  
    Subd. 3.  [INCREASES MADE AUTOMATICALLY.] Notwithstanding 
section 356.18, increases in benefit payments pursuant to under 
this section will be made automatically unless the intended 
recipient files written notice with the Minnesota state 
retirement system requesting that the increase shall not be made.
    352.12 [REFUND AFTER DEATH OF EMPLOYEE OR FORMER EMPLOYEE.] 
    Subdivision 1.  [DEATH BEFORE TERMINATION OF SERVICE.] If 
an employee dies before state service has terminated and neither 
a survivor annuity nor a reversionary annuity is payable, or if 
a former employee who has sufficient service credit to be 
entitled to an annuity dies before the benefit has become 
payable, the director shall make a refundment refund to the last 
designated beneficiary or, if there be is none, to the surviving 
spouse or, if none, to the employee's surviving children in 
equal shares or, if none, to the employee's surviving parents in 
equal shares or, if none, to the representative of the estate in 
an amount equal to the accumulated employee contributions plus 
interest thereon to the date of death at the rate of five 
percent per annum compounded annually.  In the event Upon the 
death of an employee dies who has received a refundment which 
refund that was subsequently later repaid in full, interest 
shall must be paid on such the repaid refundment refund only 
from the date of repayment.  If the repayment was made in 
installments, interest shall must be paid only from the date 
installment payments began.  The designated beneficiary, 
surviving spouse, or representative of the estate of an employee 
who had received a disability benefit shall is not be entitled 
to interest upon any balance remaining to the decedent's credit 
in the fund at the time of death.  
    Subd. 2.  [SURVIVING SPOUSE BENEFIT.] If an employee or 
former employee who has attained the age of is at least 50 years 
old and has credit for not less than at least ten years 
allowable service or who has credit for not less than at least 
30 years of allowable service, regardless of age attained, dies 
before an annuity or disability benefit has become payable, 
notwithstanding any designation of beneficiary to the contrary, 
the surviving spouse of the employee may elect to receive, in 
lieu of the refund with interest provided in subdivision 1, an 
annuity equal to the joint and 100 percent survivor annuity 
which the employee could have qualified for had the employee 
terminated service on the date of death.  The surviving spouse 
may apply for the annuity at any time after the date on which 
the deceased employee would have attained the required age for 
retirement based on the employee's allowable service.  The 
annuity shall must be computed as provided in sections 352.115, 
subdivisions 1, 2, and 3, and 352.116, subdivisions 1 and 3.  
Sections 352.22, subdivision 3, and 352.72, subdivision 2, apply 
to a deferred annuity payable under this subdivision.  The 
annuity shall must cease with the last payment received by the 
surviving spouse in the lifetime of the surviving spouse.  An 
amount equal to the excess, if any, of the accumulated 
contributions which were credited to the account of the deceased 
employee over and above in excess of the total of the benefits 
paid and payable to the surviving spouse shall must be paid to 
the deceased employee's last designated beneficiary or, if none, 
to the surviving children of the deceased spouse in equal shares 
or, if none, to the surviving parents of the deceased spouse or, 
if none, to the representative of the estate of such the 
deceased spouse.  Any employee may request in writing that this 
subdivision not apply and that payment be made only to a 
designated beneficiary as otherwise provided by this chapter.  
    Subd. 3.  [REFUND OF $1,500 OR LESS.] If a state employee 
or former state employee dies without having designated a 
beneficiary, or if the beneficiary should die before making 
application applying for refund of the sum to the credit of such 
the deceased employee or former employee, and there is no 
surviving spouse, and the amount of the refund does not exceed 
$1,500 exclusive of interest, the director may, refund the 
amount to the deceased or former employee's next of kin.  The 
amount may be refunded 90 days after the date of death of the 
employee or former employee in the absence of probate 
proceedings, and upon proper application make refund to the next 
of kin of the deceased employee or former employee, as.  The 
next of kin must be determined by the director with the 
concurrence of the board, to be entitled thereto to the refund 
consistent with the laws of descent and such.  A determination 
and payment without notice shall be are conclusive and final and 
shall be are a bar against claims of all other persons.  
    Subd. 4.  [REFUND TO MINOR BENEFICIARY.] If an employee or 
former employee dies having named as a beneficiary a person who 
is a minor at the time of the application for refund, and the 
amount of the refund does not exceed $1,500, exclusive of 
interest, the director in the absence of guardianship or probate 
proceedings may make payment to the natural guardian having 
custody of such the minor beneficiary, for the benefit of such 
the child.  Any annuity, retirement allowance, or disability 
benefit which had accrued at the time of death of a disabled or 
retired employee, payable to a minor beneficiary, may similarly 
be paid, and such.  Payment shall be is a bar to recovery by any 
other person or persons.  
    Subd. 5.  [MONTHLY INSTALLMENTS.] The beneficiary or 
surviving spouse of any deceased employee or former employee 
entitled to receive a refundment shall have refund has the 
option of having the amount due paid in monthly installments 
in such amounts as may be agreed upon with the director.  
    Subd. 6.  [DEATH AFTER SERVICE TERMINATION.] Except as 
provided in subdivision 1, if a former employee covered by the 
system dies and has not received an annuity, a retirement 
allowance, or a disability benefit, a refundment shall refund 
must be made to the last designated beneficiary or, if there be 
is none, to the surviving spouse or, if none, to the employee's 
surviving children in equal shares or, if none, to the 
employee's surviving parents in equal shares or, if none, to the 
representative of the estate in an amount equal to accumulated 
employee contributions.  
    Subd. 7.  [ABSENCE OF OPTIONAL OR REVERSIONARY ANNUITY.] If 
Upon the death of a retired employee dies who selected neither 
an optional annuity or a reversionary annuity, there shall a 
refund must be paid to the designated beneficiary or, if there 
be none, to the surviving spouse or, if none, to the employee's 
surviving children in equal shares or, if none, to the 
employee's surviving parents in equal shares or, if none, to the 
representative of the estate, in an amount equal to the excess, 
if any, of the accumulated contributions to the credit of the 
retired employee immediately prior to before retirement over and 
above in excess of the aggregate sum of (1) all annuities, 
retirement allowances, and disability benefits which that had 
been received and which had accrued in the lifetime of the 
decedent, and (2) the annuity, retirement allowance, or 
disability benefit if applicable, payable to the surviving 
spouse under section 352.115, subdivision 8, or 352.113, 
subdivision 4, for the calendar month in which the retired 
employee died.  The refund must be paid to the named beneficiary 
or, if there be none, to the surviving spouse or, if none, to 
the employee's surviving children in equal shares or, if none, 
to the employee's surviving parents in equal shares or, if none, 
to the representative of the estate. 
    Subd. 8.  [OPTIONAL OR REVERSIONARY ANNUITY.] If the last 
eligible recipient of an optional annuity dies and the total 
amounts paid thereunder under it are less than the accumulated 
contributions to the credit of the retired employee 
immediately prior to before retirement, the balance of such 
accumulated contributions shall must be paid to the person 
designated by the retired employee in writing to receive the 
same, but payment.  If no such designation has been made by the 
retired employee, the remaining balance of such accumulated 
contributions shall must be paid to the surviving children of 
the deceased recipient of the optional annuity in equal 
shares or, if none,.  If there are no surviving children, 
payment must be made to the deceased recipient's parents or, if 
none, to the representative of the deceased recipient's estate.  
    Subd. 9.  [BENEFICIARY DESIGNATION.] The designation of a 
beneficiary or person to receive any accumulated contributions 
remaining to the credit of an employee, a former employee, or a 
retired employee, at the time of death, as provided in this 
section, must be in writing and must be filed with the 
director prior to before the death of the employee, former 
employee, or retired employee.  
    Subd. 10.  [DEATH OF BENEFICIARY BEFORE REFUND.] If the 
last designated beneficiary or beneficiaries and the surviving 
spouse of a (a) (1) deceased employee, (b) (2) former employee, 
or (c) (3) retired employee, should die dies before receiving a 
refund of the sum to the credit of the deceased employee, former 
employee, or retired employee at the time of death, the 
refund shall must be made to the estate of the deceased employee 
or as provided in subdivision 3 if the amount of the refund does 
not exceed $1,500 exclusive of interest.  
    Subd. 11.  [DEATH OF DISABILITY ANNUITANT.] If an employee 
who has received a disability benefit dies, there shall a 
payment must be paid to the last designated beneficiary or, if 
there be none, to the surviving spouse, or if none, to the 
employee's surviving children in equal shares or, if none, to 
the employee's surviving parents in equal shares or, if none, to 
the representative of the estate, made of an amount equal to the 
excess, if any, of the accumulated contributions to the credit 
of the employee at the time the disability benefit began to 
accrue over and above the aggregate of (1) all disability 
benefits received and which had accrued during life, and (2) the 
benefit for the month in which the disabled employee died, 
payable, if applicable, to the surviving spouse under section 
352.113, subdivision 4.  The payment must be paid to the last 
designated beneficiary or, if there be none, to the surviving 
spouse, or if none, to the employee's surviving children in 
equal shares or, if none, to the employee's surviving parents in 
equal shares or, if none, to the representative of the estate.  
    Subd. 12.  [REFUNDMENT REFUND, FAILURE TO REQUEST.] If the 
last designated beneficiary, surviving spouse, legal 
representative, or next of kin, as determined by the director 
with the concurrence of the board, fails to make claim for 
refundment the refund as provided in this section (a) (1) within 
five years from the date of death of a retired employee or 
disabled employee, or (b) (2) within five years after the last 
deduction was taken from the salary of a deceased employee or 
deceased former employee, the accumulated contributions of 
such the deceased employee, former employee, retired employee, 
or disabled employee shall must be credited to the retirement 
fund;.  However, if claim to refundment refund is made within 
ten years after the transfer of accumulated contributions to the 
fund or within ten years after the date of death, whichever is 
later, and the amount transferred to the fund is over $25, the 
sum shall must be restored to the account of such the deceased 
employee, former employee, retired employee, or disabled 
employee and refundment shall.  The refund must then be made to 
the surviving spouse or, if none, to the legal representative of 
the estate irrespective of any designation of beneficiary made 
by the deceased employee, former employee, retired employee, or 
disabled employee.  
    Subd. 13.  [REFUNDMENT REFUND, BENEFICIARY.] If at the time 
of upon death a former employee has in possession a commissioner 
of finance's warrant which does not exceed $500 covering 
a refundment refund of accumulated contributions in the 
retirement fund, in the absence of probate proceedings such the 
commissioner of finance's warrant may be returned for 
cancellation, and then upon application made by the last 
designated beneficiary of such the deceased former 
employee, refundment refund of the accumulated contributions 
shall be made must be paid to the last designated beneficiary.  
Payments made under the provisions of this subdivision shall be 
are a bar to recovery by any other person or persons.  
    352.15 [EXEMPTION FROM PROCESS AND TAXATION.] 
    Subdivision 1.  [GENERAL EXEMPTION; EXCEPTION TO PAY 
BANKING INSTITUTION.] None of the moneys money, annuities, or 
other benefits mentioned herein shall be in this chapter is 
assignable either in law or in equity or be subject to any state 
estate tax, or to execution, levy, attachment, garnishment, or 
other legal process, except as provided in section 
518.611.  Provided, however, The executive director may pay an 
annuity, benefit, or refund to a banking institution, qualified 
under chapter 48, that is trustee for a person eligible to 
receive such the annuity, benefit, or refund.  Upon the request 
of a retired, disabled, or former employee, the executive 
director may mail the annuity, benefit, or refund check to a 
banking institution, savings association, or credit union for 
deposit to such the employee's account or joint account with a 
spouse.  The board of directors may prescribe the conditions 
under which such payments will be made.  
    Subd. 2.  [CORRECTING OVERPAYMENTS.] Upon certification to 
the director by the commissioner of finance or the regents of 
the University of Minnesota or the head of any other department 
or agency responsible for the processing of its payrolls, the 
director shall release part or all of any moneys money held for 
an employee in a retirement fund to correct a salary overpayment 
to an employee who has been erroneously paid.  Provided however 
that The director shall not release such moneys the money until 
such time as the former employee or person otherwise 
entitled thereto to it would be eligible to apply for a refund 
and has been given proper notice.  Amounts paid under the 
provisions of this subdivision shall be the equivalent of a 
refund.  If an employee or survivor is entitled to an immediate 
or deferred annuity or survivor benefit, no funds shall be paid 
from a retirement account under this provision.  The director 
shall prescribe the form and manner of certification.  
    352.16 [INSURANCE LAWS NOT TO APPLY.] 
    None of the laws of this state regulating insurance or 
insurance companies shall apply to the Minnesota state 
retirement system or any of its funds.  
    352.22 [REFUND OR DEFERRED ANNUITIES.] 
    Subdivision 1.  [SERVICE TERMINATION.] Any employee who 
ceases to be a state employee by reason of termination of state 
service, shall be is entitled to a refund provided in 
subdivision 2 or a deferred retirement annuity as provided in 
subdivision 3.  Application for a refund may be made 30 or more 
days after the termination of state service if the applicant has 
not again become a state employee required to be covered by the 
system.  
    Subd. 2.  [AMOUNT OF REFUNDMENT REFUND.] Except as provided 
in subdivision 3, any person who ceased to be a state employee 
after June 30, 1973, by reason of termination of state service 
shall receive a refundment refund in an amount equal to employee 
accumulated contributions plus interest at the rate of five 
percent per annum year compounded annually.  Such Interest shall 
must be computed to the first day of the month in which the 
refund is processed and shall must be based on fiscal year 
balances.  
    Subd. 2a.  [AMOUNT OF CERTAIN REFUND.] For any employee who 
is entitled to receive a refund pursuant to under subdivision 1 
and who, prior to before July 1, 1978, was a member of the 
metropolitan transit commission-transit operating division 
employees retirement fund, the refund for contributions 
made prior to before July 1, 1978 shall be must equal to the 
following amounts: 
    (a) For any employee contributions made prior to before 
January 1, 1950, the amount equal to one-half of the employee 
contributions without interest; 
    (b) For any employee contributions made subsequent to after 
December 31, 1949, but prior to before January 1, 1975, the 
amount of the employee contributions plus simple interest at the 
rate of two percent per annum year; and 
    (c) For any employee contributions made subsequent to after 
December 31, 1974, but prior to before July 1, 1978, the amount 
of the employee contributions plus simple interest at the rate 
of 3-1/2 percent per annum year.  The refund of contributions 
made on or after July 1, 1978 shall, must be determined pursuant 
to under subdivision 2.  Interest shall must be computed to the 
first day of the month in which the refund is processed 
and shall must be based on fiscal year balances.  No refunds of 
contributions made to the metropolitan transit 
commission-transit operating division employees retirement fund 
received prior to before July 1, 1978, or for service 
rendered prior to before July 1, 1978, may be repaid.  
    Subd. 3.  [DEFERRED ANNUITY.] (1) (a) Any employee with at 
least ten years of allowable service when such termination 
occurs may elect to leave the accumulated contributions in the 
fund and thereby be entitled to a deferred retirement annuity.  
This annuity shall must be computed in the manner as provided by 
the law in effect at the time when state service terminated, on 
the basis of allowable service prior to before termination of 
service. 
    (2) (b) An employee on layoff or on leave of absence 
without pay, except a leave of absence for health reasons, who 
does not return to state service shall have any annuity, 
deferred annuity, or other benefit to which the employee may 
become entitled computed under the law in effect on the last 
working day. 
    (3) (c) No application for a deferred annuity shall be made 
more than 60 days prior to before the time the former employee 
reaches the required age for entitlement to the payment of the 
annuity.  The deferred annuity shall begin to accrue no earlier 
than 60 days prior to before the date the application is filed 
in the office of the system, but in no event prior to not (1)  
before the date the employee reaches the required age for 
entitlement to the annuity nor prior to (2) before the day 
following the termination of state service in a position not 
covered by the retirement system nor prior to (3) before the day 
following the termination of employment in a position which that 
requires the employee to be a member of either the public 
employees retirement association or the teachers retirement 
association. 
    (4) (d) Application for the accumulated contributions left 
on deposit with the fund may be made at any time after 30 days 
following the date of termination of service. 
    Subd. 5.  [REFUNDMENT REFUND GENERALLY UNLIMITED.] The 
right of refundment refund provided in this section is not 
restricted as to time unless specifically provided and the 
statute of limitation does not apply thereto to it. 
    Subd. 8.  [REFUND SPECIFICALLY LIMITED.] If a former 
employee covered by the system does not apply for refund within 
five years after the last deduction was taken from salary for 
the retirement fund, and does not have sufficient enough service 
to qualify for a deferred annuity such, accumulated 
contributions shall must be credited to and become a part of the 
retirement fund.  In the event If the former employee returns to 
state service and becomes a state employee covered by the 
system, the amount so credited to the retirement fund, if more 
than $2, shall be restored to the individual account.  If the 
amount so credited to the fund is over $2 and the former 
employee applies for refund or an annuity pursuant to the 
provisions of under section 352.72, the amount shall must be 
restored to the former employee's individual account and refund 
made or annuity paid whichever applies. 
    Subd. 9.  [REFUNDMENT REFUND FOR PERSONS COMMITTED TO STATE 
HOSPITALS.] While a former employee is under commitment as an 
inmate of a state hospital under the jurisdiction of the 
commissioner of human services, or of a similar public authority 
if the former employee is an inmate of a state hospital of 
another state, and if the inmate is entitled to a refundment 
refund of accumulated employee contributions in the retirement 
fund in an amount not to exceed $300, refundment refund of such 
accumulated contributions may be made, upon appropriate 
application therefor, to the superintendent of such the state 
hospital of this state, or similar public authority of another 
state if authorized so to do so by the laws of that state, and 
such refundment shall be.  The refund is a bar to recovery by 
any other person or persons. 
    Subd. 10.  [OTHER REFUNDS.] Former employees covered by the 
system who are entitled to apply for refunds if they are or who 
become members of the state patrol retirement fund, the state 
teacher's retirement association, or employees of the University 
of Minnesota excluded from coverage under the system by action 
of the board of regents; or labor service employees, excluded 
from coverage under section 352.01, subdivision 2B, clause (26); 
or employees of the adjutant general who under federal law 
effectually elect membership in a federal retirement system; or 
officers or employees of the senate or house of representatives, 
excluded from coverage under section 352.01, subdivision 2B, 
clause (8), shall be entitled to make application for a refund 
of their.  The refunds must include accumulated contributions 
plus interest as provided in subdivision 2, upon the expiration 
of.  These employees may apply 30 days or more after their 
coverage ceases, notwithstanding their continuance even if they 
continue in state service but in positions not covered by this 
chapter. 
    352.23 [TERMINATION OF RIGHTS.] 
    When any employee accepts a refund as provided in section 
352.22, all existing service credits and all rights and benefits 
to which the employee was entitled prior to the acceptance of 
such before accepting the refund shall terminate and shall.  
They must not again be restored until the former employee 
acquires not less than at least one year's allowable service 
credit subsequent to after taking the last refund.  In that 
event, the employee may repay all refunds previously taken from 
the retirement fund.  Repayment of refunds will entitle entitles 
the employee only to credit for service covered by (a) (1)  
salary deductions, (b) (2) payments made in lieu of salary 
deductions, and (c) (3) payments made to obtain credit for 
service as permitted by laws in effect at the time when payment 
was made.  If an employee before taking one or more refunds had 
credit for prior service or for military service without payment 
in either case, the employee may obtain credit for such any 
forfeited service prior to before July 1, 1929, and for such any 
forfeited military service by making payments at a contribution 
rate of three percent of the average salary upon which 
deductions for the retirement fund were based, for the three 
year period immediately preceding repayment of refund for 
service credit prior to before July 1, 1929, and on the salary 
received at the time of entering military service to restore 
military service credit.  All such Payments and repayment of 
refunds are to be paid with interest at six percent per annum 
year compounded annually and.  They may be paid in a lump sum or 
by payroll deduction in the manner provided in section 352.04.  
    352.27 [CREDIT FOR MILITARY SERVICE.] 
    Any employee given a leave of absence to enter military 
service who returns to state service upon discharge from 
military service as provided in section 192.262, may obtain 
credit for the period of military service but shall.  The 
employee is not be entitled to credit for any voluntary 
extension of military service at the instance of the employee 
beyond the initial period of enlistment, induction, or call to 
active duty, nor to credit for any period of service following a 
voluntary return to military service.  Such An employee may 
obtain such credit by paying into the fund an employee 
contribution based upon the salary received at the date of 
return from military service.  The amount of this 
contribution shall must be the applicable amounts required in 
section 352.04, subdivision 2, plus interest at six percent 
per annum year compounded annually.  In such cases The matching 
employer contribution and additional contribution provided in 
section 352.04 shall must be paid by the department employing 
such the employee upon return to state service from funds 
available to such the department at the time and in the manner 
provided in section 352.04.  
    352.271 [METROPOLITAN TRANSIT COMMISSION-TRANSIT OPERATING 
DIVISION EMPLOYEES; CREDIT FOR MILITARY SERVICE.] 
    Any employee of the metropolitan transit commission 
operating division who was on a leave of absence to enter 
military service on July 1, 1978, who has not taken a refund of 
employee contributions as authorized by article 12 of the 
metropolitan transit commission-transit operating division 
employees retirement fund document or section 352.22, 
subdivision 2a, and who returns to service as an employee of the 
metropolitan transit commission-transit operating division upon 
discharge from military service as provided in section 
192.262 shall be is entitled to receive allowable service credit 
for the period of military service.  If an employee has taken a 
refund of employee contributions as authorized, and would 
otherwise be entitled to receive allowable service credit 
pursuant to under this section, the employee shall be is 
entitled to receive allowable service credit for the period of 
military service upon repayment to the executive director of the 
Minnesota state retirement system of the amount refunded plus 
interest at the rate of six percent per annum year compounded 
annually from the date on which the refund was taken to the date 
of repayment.  No employee shall be is entitled to receive 
allowable service credit for any voluntary extensions of 
military service at the instance of the employee beyond any 
initial period of enlistment, induction, or call to active duty. 
    352.72 [COVERAGE BY MORE THAN ONE RETIREMENT SYSTEM OR 
ASSOCIATION.] 
    Subdivision 1.  [ENTITLEMENT TO ANNUITY.] (a) Any person 
who has been an employee covered by the Minnesota state a 
retirement system, or a member of the public employees 
retirement association including the public employees retirement 
association police and firefighters' fund, or the teachers 
retirement association, or the state patrol retirement 
association, or any other public employee retirement system in 
the state of Minnesota having a like provision but excluding all 
other funds providing benefits for police officers or 
firefighters shall be listed in paragraph (b) is entitled when 
qualified to an annuity from each fund if total allowable 
service in all funds or in any two of these funds totals ten or 
more years, provided.  
    (b) This section applies to the Minnesota state retirement 
system, the public employees retirement association including 
the public employees retirement association police and 
firefighters fund, the teachers retirement association, the 
state patrol retirement association, or any other public 
employee retirement system in the state with a similar 
provision, except as noted in paragraph (c).  
    (c) This section does not apply to other funds providing 
benefits for police officers or firefighters.  
    (d) No portion of the allowable service upon which the 
retirement annuity from one fund is based is shall be again used 
in the computation for benefits from another fund and provided 
further that a.  No refund has not may have been taken from any 
one of these funds since service entitling the employee to 
coverage under the system or the employee's membership in any of 
the associations last terminated.  The annuity from each 
fund shall must be determined by the appropriate provisions of 
the law except that the requirement that a person must have at 
least ten years allowable service in the respective system or 
association shall does not apply for the purposes of this 
section provided if the combined service in two or more of these 
funds equals ten or more years. 
    Subd. 2.  [COMPUTATION OF DEFERRED ANNUITY.] The deferred 
annuity, if any, accruing under subdivision 1, or section 
352.22, subdivision 3, shall must be computed in the manner as 
provided in section 352.22, subdivision 3, on the basis of 
allowable service prior to before termination of state service 
and augmented as provided herein.  The required reserves 
applicable to a deferred annuity or to an annuity for which a 
former employee was eligible but had not applied or to any 
deferred segment of an annuity shall must be determined as of 
the date the benefit begins to accrue and augmented by interest 
compounded annually from the first day of the month following 
the month in which the employee ceased to be a state employee, 
or July 1, 1971, whichever is later, to the first day of the 
month in which the annuity begins to accrue.  The rates of 
interest used for this purpose shall must be five percent 
compounded annually until January 1, 1981, and thereafter after 
that date three percent compounded annually.  If a person has 
more than one period of uninterrupted service, the required 
reserves related to each period shall must be augmented by 
interest pursuant to under this subdivision.  The sum of the 
augmented required reserves so determined shall be is the 
present value of the annuity.  "Uninterrupted service" for the 
purpose of this subdivision shall mean means periods of covered 
employment during which the employee has not been separated from 
state service for more than two years.  If a person repays 
a refundment refund, the service restored by the repayment shall 
must be considered as continuous with the next period of service 
for which the employee has credit with this system.  The formula 
percentages used for each period of uninterrupted service shall 
must be those as would be applicable to a new employee.  The 
mortality table and interest assumption used to compute the 
annuity shall must be those in effect at the time when the 
employee files application for annuity.  This section shall not 
reduce the annuity otherwise payable under this chapter. 
    Subd. 4.  [REFUNDMENT REFUND REPAYMENT.] Any person who has 
received a refundment refund from the state employees retirement 
fund, and who is a member of a public retirement system included 
in subdivision 1, may repay such refundment the refund with 
interest to the state employees retirement fund.  If 
a refundment refund is repaid to the fund and more than 
one refundment refund has been received from the fund, 
all refundments refunds must be repaid.  Such Repayment shall 
must be made as provided in section 352.23, and under such terms 
and conditions consistent therewith with that section as may be 
agreed upon with the director. 
    Subd. 5.  [EARLY RETIREMENT.] The requirements and 
provisions for retirement prior to before age 65 in sections 
352.115, subdivision 1, and 352.116 shall also apply to an 
employee fulfilling such the requirements with a combination of 
service as provided in subdivision 1. 
    352.73 [SUPPLEMENTAL BENEFIT FOR FORMER STATE EMPLOYEES.] 
    Subdivision 1.  [ELIGIBILITY; AMOUNT.] Any person who at on 
June 30, 1963, was receiving from the state employees retirement 
fund an annuity or retirement allowance based upon not less than 
at least 20 years allowable service, who is receiving such the 
annuity or retirement allowance on June 30, 1967, and 
    (a) (1) who did not have social security coverage as a 
state employee shall receive on and after July 1, 1967, the 
following supplemental benefit:  $18 a month, or 
    (b) (2) who had social security coverage as a state 
employee and who was eligible to receive either an immediate 
social security benefit or who would become eligible to receive 
a social security benefit based in whole or in part upon social 
security coverage as a state employee shall receive on and after 
July 1, 1967, a supplemental benefit of $10 a month.  
    Subd. 2.  [PURPOSE; ADMINISTRATION.] The supplemental 
benefit payable under subdivision 1 hereof shall must not be 
paid to any person receiving, or who may become eligible to 
receive, a survivor benefit pursuant to the employee's election 
of an employee to take an optional annuity or a reversionary 
annuity; nor shall such.  A supplemental benefit must not be 
paid to any person receiving a survivor benefit under Minnesota 
Statutes 1957, section 352.117, subdivisions 1 and 2, as 
amended, or to any employee receiving a disability 
benefit.  Such A supplemental payment shall must be paid to a 
surviving spouse receiving payment as provided in section 
352.115, subdivision 8. 
    Subd. 3.  The supplemental benefit herein provided in this 
section is for the purpose of relief in the present inflationary 
period and is not an increase in the amount of the annuity or 
retirement allowance such the retired state employee receives 
from the state employees retirement fund.  This supplemental 
benefit is not a vested right and the legislature reserves the 
power to withdraw, abolish, or modify it in any way.  The 
benefits herein provided for shall in this section must be 
administered by the director of the Minnesota state employees 
retirement system.  These supplemental benefits shall must be 
paid in the same manner and at the same time annuities and 
retirement allowances are paid and,.  For the purpose of 
economy, such benefits may be included in the warrants on which 
the annuities are paid.  Money certified by the director to the 
commissioner of finance as needed to meet the state's 
obligations to the state employees retirement fund shall must be 
transferred to the fund at least once a month.  
    352.75 [TRANSFER OF PENSION COVERAGE SAVINGS CLAUSE;  
INCREASE IN EXISTING ANNUITIES AND BENEFITS.] 
    Subdivision 1.  [EXISTING EMPLOYEES.] Notwithstanding any 
provisions of law to the contrary, as of July 1, 1978, all 
active employees of the transit operating division of the 
metropolitan transit commission and all employees on authorized 
leaves of absence from the transit operating division who are 
employed on July 1, 1978, by a labor organization which is the 
exclusive bargaining agent representing employees of the transit 
operating division shall cease to be members of the metropolitan 
transit commission-transit operating employees retirement fund 
and shall cease to have any accrual of service credit, rights, 
or benefits under that retirement fund.  From and After July 1, 
1978, all active employees of the transit operating division of 
the metropolitan transit commission and all employees on 
authorized leaves of absence from the transit operating division 
who are employed on July 1, 1978, by the labor organization 
which is the exclusive bargaining agent representing employees 
of the transit operating division shall be those employees 
become members of the Minnesota state retirement system, shall 
be are considered state employees for purposes of this chapter, 
unless specifically excluded pursuant to by section 352.01, 
subdivision 2B, and shall have past service with the transit 
operating division of the metropolitan transit commission 
credited by the Minnesota state retirement system in accordance 
with section 352.01, subdivision 11, clause (10).  Any employees 
on authorized leaves of absence from the transit operating 
division of the metropolitan transit commission who become 
employed by the labor organization which is the exclusive 
bargaining agent representing employees of the transit operating 
division after July 1, 1978, shall be entitled to be members of 
the Minnesota state retirement system pursuant to under section 
352.029. 
    Subd. 2.  [NEW EMPLOYEES.] All persons first employed by 
the metropolitan transit commission as employees of the transit 
operating division on or after July 1, 1978, shall be are 
members of the Minnesota state retirement system and shall be 
are considered state employees for purposes of this chapter 
unless specifically excluded pursuant to under section 352.01, 
subdivision 2B. 
    Subd. 3.  [EXISTING RETIRED MEMBERS AND BENEFIT 
RECIPIENTS.] As of July 1, 1978, the liability for all 
retirement annuities, disability benefits, survivorship 
annuities, and survivor of deceased active employee benefits 
paid or payable by the metropolitan transit commission-transit 
operating division employees retirement fund shall be is 
transferred to the Minnesota state retirement system, and 
shall is no longer be the liability of the metropolitan transit 
commission-transit operating division employees retirement 
fund.  The required reserves for retirement annuities, 
disability benefits, and optional joint and survivor annuities 
in effect on the day prior to July 1 June 30, 1978, and the 
required reserves for the increase in annuities and benefits 
provided pursuant to under subdivision 6 shall must be 
determined using a five percent interest assumption and the 
applicable Minnesota state retirement system mortality table and 
shall be transferred by the Minnesota state retirement system to 
the Minnesota postretirement investment fund on July 1, 1978, 
but shall be considered transferred as of June 30, 1978.  The 
annuity or benefit amount in effect on July 1, 1978, including 
the increase granted pursuant to under subdivision 6, shall be 
utilized must be used for purposes of any adjustments made 
pursuant to under section 11A.18.  For persons receiving 
benefits as survivors of deceased former retirement annuitants, 
the benefits shall must be considered as having commenced on the 
date on which the retirement annuitant began receiving the 
retirement annuity. 
    Subd. 4.  [EXISTING DEFERRED RETIREES.] Any former member 
of the metropolitan transit commission-transit operating 
division employees retirement fund who is entitled to a 
retirement annuity from the Minnesota state retirement system if 
the employee: 
    (1) is not an active employee of the transit operating 
division of the metropolitan transit commission on July 1, 1978, 
who; (2) has at least ten years of active continuous service 
with the transit operating division of the metropolitan transit 
commission as defined by the metropolitan transit 
commission-transit operating division employees retirement plan 
document in effect on December 31, 1977, who; (3) has not 
received a refund of contributions and who; (4) has not retired 
or begun receiving an annuity or benefit from the metropolitan 
transit commission-transit operating division employees 
retirement fund shall be entitled to a retirement annuity from 
the Minnesota state retirement system upon attaining the age of; 
(5) is at least 55 years and submitting old; and (6) submits a 
valid application for a retirement annuity to the executive 
director of the Minnesota state retirement system.  
    The person shall be is entitled to a retirement annuity in 
an amount equal to the normal old age retirement allowance 
calculated under the metropolitan transit commission-transit 
operating division employees retirement fund plan document in 
effect on December 31, 1977, subject to an early retirement 
reduction or adjustment in amount on account of retirement prior 
to before the normal retirement age specified in that 
metropolitan transit commission-transit operating division 
employees retirement fund plan document. 
    The deferred retirement annuity of any person to whom this 
subdivision applies shall must be augmented.  The required 
reserves applicable to the deferred retirement annuity, 
determined as of the date the allowance begins to accrue using 
an appropriate mortality table and an interest assumption of 
five percent, shall must be augmented by interest at the rate of 
five percent per annum year compounded annually from January 1, 
1978, to January 1, 1981, and three percent per annum year 
compounded annually from January 1, 1981 to the first day of the 
month in which the annuity begins to accrue.  Upon the 
commencement of the retirement annuity, the required reserves 
for the annuity shall must be transferred to the Minnesota 
postretirement investment fund in accordance with subdivision 2 
and section 352.119.  Upon application On applying for a 
retirement annuity under this subdivision, the person shall be 
is entitled to elect a joint and survivor optional 
annuity pursuant to under section 352.116, subdivision 3.  
    Subd. 5.  [SAVINGS CLAUSE FOR CERTAIN EXISTING EMPLOYEES.] 
Any person who is a member of the metropolitan transit 
commission-transit operating division employees retirement fund 
on July 1, 1978 shall be, is entitled to retain past and 
prospective rights under the retirement benefit formula, normal 
retirement age, and early reduced retirement age provisions of 
the metropolitan transit commission-transit operating division 
employees retirement fund plan document in effect on July 1, 
1978, in lieu of the provisions contained in sections 352.115;  
352.116; 352.22, subdivisions 3 to 11; and 356.30. 
    Subd. 6.  [INCREASE IN EXISTING ANNUITIES AND BENEFITS.] 
All persons receiving retirement allowances or annuities, 
disability benefits, survivorship annuities and survivor of 
deceased active employee benefits from the metropolitan transit 
commission-transit operating division employees retirement fund 
on December 31, 1977, and on July 1, 1978, shall be are entitled 
to have that retirement allowance or annuity, disability 
benefit, survivorship annuity or survivor of deceased active 
employee benefit the allowances, annuities, or benefits 
increased by an amount equal to $20 per month. Notwithstanding 
section 356.18, increases in payments pursuant to under this 
subdivision shall must be made automatically unless the intended 
recipient files written notice with the executive director of 
the Minnesota state retirement system requesting that the 
increase shall not be made.  If any actuarial reduction or 
adjustment was applied to the retirement allowance or annuity, 
disability benefit, survivorship annuity, or survivor of 
deceased active employee benefit, the increase specified in this 
subdivision shall must be similarly reduced or adjusted.  Upon 
the death of any person receiving an annuity or benefit where if 
the person made elected a joint and survivor optional 
annuity election, the survivor shall be is entitled to the 
continued receipt of the increase provided for under this 
subdivision;  provided, however, that, but the increase 
shall must be reduced or adjusted in accordance with the 
optional annuity election.  
    352.76 [GENERAL ADMINISTRATION.] 
    The provisions of This chapter shall govern in all 
instances governs where not inconsistent with the provisions of 
Laws 1978, chapter 538. 

                            SPECIAL COVERAGE 
    352.85 [SPECIAL RETIREMENT COVERAGE FOR MILITARY AFFAIRS 
DEPARTMENT PERSONNEL.] 
    Subdivision 1.  [ELIGIBILITY; RETIREMENT ANNUITY.] Any 
person who is employed by the department of military affairs who 
is covered by the general employee retirement plan of the 
Minnesota state retirement system as provided in section 352.01, 
subdivision 23, who is ordered to active duty pursuant to under 
section 190.08, subdivision 3, who elects this special 
retirement coverage pursuant to under subdivision 4, who is 
required to retire from federal military status at the age of 60 
years by applicable federal laws or regulations and who 
terminates employment as a state employee upon attaining that 
age shall be is entitled, upon application, to a retirement 
annuity computed in accordance with section 352.115, 
subdivisions 2 and 3, without any reduction for early retirement 
pursuant to under section 352.116, subdivision 1. 
    Subd. 2.  [DISABILITY BENEFIT.] An employee described in 
subdivision 1, who is less than 60 years of age and who shall 
become becomes disabled and physically or mentally unfit to 
perform occupational duties due to injury, sickness, or other 
disability, and who shall be is found disqualified for retention 
on active duty as a result of a physical examination required by 
applicable federal laws or regulations, shall be is entitled 
upon application to disability benefits computed in the same 
manner as specified in section 352.113.  Disability 
benefits shall be are otherwise governed by section 352.113, 
except that the age for the termination of the disability 
benefit shall be is 60 years.  
    Subd. 3.  [ADDITIONAL CONTRIBUTIONS.] The special 
retirement annuities and disability benefits authorized by this 
section shall be financed by an employee contribution from the 
covered department of military affairs employee of 1.6 percent 
and an employer contribution from the department of military 
affairs of 1.6 percent, which.  These contributions shall be are 
in addition to the contributions required by section 352.04, 
subdivisions 2 and 3, and shall.  They must be made in the 
manner as provided for in section 352.04, subdivisions 4, 5, and 
6. 
    Subd. 4.  [ELECTION OF COVERAGE.] To be covered by the 
provisions of Laws 1980, chapter 607, any employee of the 
department of military affairs, described in subdivision 1, who 
is employed on July 1, 1980, or is first employed in such 
position after July 1, 1980, shall by August 1, 1980, or within 
30 days of their employment, whichever is later, must file a 
notice with the executive director of the Minnesota state 
retirement system on a form prescribed by the executive director 
stating whether or not the employee elects to be 
covered.  Notice must be filed by August 1, 1980, or within 30 
days of employment, whichever is later.  Elections shall be are 
irrevocable during any period of covered employment.  
    Subd. 5.  [RESTRICTION ON COVERAGE.] Nothing in this 
section shall be construed to apply applies to the adjutant 
general. 
    Subd. 6.  [ACTUARIAL VALUATION EXHIBIT.] In each valuation 
of the Minnesota state retirement system prepared pursuant to 
under section 356.215, an exhibit pertaining to this special 
retirement program shall be included which shall contain for the 
special program those actuarial valuation contents items 
specified in section 356.215, subdivisions 4 to 4k, which the 
executive director deems are necessary to adequately disclose 
the actuarial condition of the special program.  
    352.86 [SPECIAL COVERAGE FOR TRANSPORTATION DEPARTMENT 
PILOTS.] 
    Subdivision 1.  [ELIGIBILITY; RETIREMENT ANNUITY.] Any A 
person who is employed by the department of transportation in 
the civil service employment classification of aircraft pilot or 
chief pilot who is covered by the general employee retirement 
plan of the Minnesota state retirement system pursuant to under 
section 352.01, subdivision 23, who elects this special 
retirement coverage pursuant to under subdivision 3, who is 
prohibited from performing the duties of aircraft pilot or chief 
pilot after attaining the age of reaching age 62 years by a rule 
adopted by the commissioner of transportation and who terminates 
employment as a state employee upon attaining on reaching that 
age shall be is entitled, upon application, to a retirement 
annuity computed in accordance with section 352.115, 
subdivisions 2 and 3, without any reduction for early retirement 
pursuant to under section 352.116, subdivision 1.  
    Subd. 1a.  [DISABILITY BENEFITS.] An employee described in 
subdivision 1, who is less than 62 years of age and who becomes 
disabled and physically or mentally unfit to perform 
occupational duties due to injury, sickness, or other 
disability, and who is found disqualified for retention as chief 
pilot or pilot as a result of a physical examination required by 
applicable federal laws or regulations, shall be is entitled 
upon application to disability benefits for a maximum of five 
years in the amount of 75 percent of current monthly salary, to 
be paid by the appointing authority from the state airports 
fund. In no case shall Disability benefits must not continue 
beyond the after the employee reaches age of 62 years.  These 
benefits are in lieu of all other state benefits for the 
disability, including, but not limited to, workers' compensation 
benefits.  
    Subd. 2.  [ADDITIONAL CONTRIBUTIONS.] The special 
retirement annuity authorized by subdivision 1 shall be financed 
by an employee contribution from the covered aircraft pilot or 
chief pilot of 1.6 percent and an employer contribution from the 
department of transportation of 1.6 percent, which.  These 
contributions shall be are in addition to the contributions 
required by section 352.04, subdivisions 2 and 3, and shall.  
They must be made in the manner provided for in section 352.04, 
subdivisions 4, 5, and 6.  
    Subd. 3.  [ELECTION OF COVERAGE.] To be covered by the 
provisions of this section, an employee of the department of 
transportation described in subdivision 1 who is employed in the 
described position on July 1, 1982, or thereafter shall, by 
August 1, 1982, or within 90 days of their employment, whichever 
is later, after must file a notice with the executive director 
of the Minnesota state retirement system on a form prescribed by 
the executive director stating whether or not the employee 
elects to be covered by this special plan.  Notice must be filed 
by August 1, 1982, or within 90 days of employment, whichever is 
later.  Elections shall be are irrevocable during any period of 
covered employment.  
    Subd. 4.  [ACTUARIAL VALUATION EXHIBIT.] In each valuation 
of the Minnesota state retirement system prepared pursuant to 
under section 356.215, an exhibit pertaining to this special 
retirement program shall must be included which shall and must 
contain for the special program those actuarial valuation 
content items specified in section 356.215, subdivisions 4 to 
4k, which the executive director deems are necessary to 
adequately disclose the actuarial condition of the special 
program.  

                         CORRECTIONAL EMPLOYEES
    352.90 [CORRECTIONAL EMPLOYEES POLICY.] 
    It is the policy of the legislature to provide special 
retirement benefits and contributions for certain correctional 
employees who may be required to retire at an early age because 
they are unable to retain lose the mental or physical capacity 
required to maintain the safety, security, discipline, and 
custody of inmates at state adult correctional facilities.  
    352.91 [COVERED CORRECTIONAL SERVICE.] 
    Subdivision 1.  [QUALIFYING JOBS.] "Covered correctional 
service" means:  (a) (1) services performed on, before, or after 
July 1, 1973, by a state employee, as defined in section 352.01, 
as an attendant guard, attendant guard supervisor, correctional 
captain, correctional counselor I, correctional counselor II, 
correctional counselor III, correctional counselor IV, 
correctional lieutenant, correctional officer, correctional 
sergeant, director of attendant guards, and guard farmer garden, 
provided the employee was employed in such the position on July 
1, 1973, or thereafter after; (b) (2) services performed 
before July 1, 1973, by an employee covered under clause (a) (1) 
in a position classified as a houseparent, special schools 
counselor, shop instructor, or guard instructor; and (c) (3)  
services performed before July 1, 1973, in a position listed in 
clause (a) (1) and positions classified as houseparent, guard 
instructor, and guard farmer dairy, by a person employed on July 
1, 1973, in a position classified as a license plant manager, 
prison industry lead supervisor (general, metal fabricating and 
foundry), prison industry supervisor, food service manager, 
prison farmer supervisor, prison farmer assistant supervisor, or 
rehabilitation therapist employed at the Minnesota security 
hospital.  However, an employee shall is not be covered 
hereunder under sections 352.91 to 352.951 if first employed 
after July 1, 1973, and who because of age could not acquire 
sufficient service to qualify for an annuity as a correctional 
employee. 
    Subd. 2.  [TEACHING, MAINTENANCE, AND TRADES.] "Covered 
correctional service" shall also mean means service rendered at 
any time by state employees as special teachers, maintenance 
personnel, and members of trades certified by the commissioner 
of employee relations as being regularly engaged in 
rehabilitation, treatment, custody, or supervision of inmates 
employed at the Minnesota correctional facility-St. Cloud, the 
Minnesota correctional facility-Stillwater and the Minnesota 
correctional facility-Shakopee on or after July 1, 1974, other 
than any employees who are age 62 years of age or older as of 
July 1, 1974, and,.  Effective the first payroll period after 
June 1, 1980, or the date of initial employment in covered 
correctional service, whichever is later, shall "covered 
correctional service" also include includes those employees of 
the Minnesota correctional facility-Lino Lakes and the employees 
of any other adult state correctional facility which may be 
established, who perform covered correctional service after June 
1, 1980.  The term "Special teacher" shall also include 
includes the classifications of facility educational 
administrator and supervisor. 
    Subd. 3.  "Covered correctional service" includes service 
rendered prior to before July 1, 1973, in a classification of 
farmer or farm manager by an employee employed in a covered 
correctional position on July 1, 1973.  Services performed 
before July 1, 1974, in a classification defined in subdivisions 
1, clause (a) clauses (1) and (b) (2), and 2 by an employee in a 
covered correctional position on or after July 1, 1974, shall be 
are covered correctional service and shall be applicable apply 
to employees retiring after July 1, 1974.  The portion of the 
retirement benefit payable to any special teacher who was 
covered by the correctional plan under subdivision 2 and who 
retires after July 1, 1974, which is based on service 
rendered prior to before July 1, 1974, if such that service was 
covered by the state teachers retirement basic formula, shall 
must be not less than at least the benefit determined using such 
the basic formula and shall must never be less than the benefit 
which that would have been payable on such the service under the 
basic formula adjusted for the number of months the employee is 
under age 65 at date of retirement. 
    Subd. 3a.  [SECURITY GUARDS.] "Covered correctional service 
" shall also mean means service rendered prior to before 
January 1, 1981, in the classification of security guard by any 
employee employed in a covered correctional position on January 
1, 1981.  
    Subd. 3b.  [OLDER EMPLOYEES FORMERLY EXCLUDED.] "Covered 
correctional service" also means service performed by certain 
state employees in positions usually covered by this section 
who:  (1) were excluded by law from coverage between July 1973 
and July 1980 if they; (2) were age 45 years of age or over when 
hired, provided they; (3) are state employees on March 26, 1986; 
and provided they (4) elect coverage.  Eligible employees who 
elect coverage must file written notice of their election with 
the director prior to before July 1, 1986. 
    Subd. 4.  Upon the recommendation of the commissioner of 
corrections or the commissioner of human services, whichever is 
the appropriate employing authority, with the approval of the 
legislative advisory committee and with notification to and 
receipt of comments from the legislative commission on pensions 
and retirement, Under certain conditions, the commissioner of 
employee relations may certify additional civil service 
classifications at state adult correctional or security hospital 
facilities to the executive director of the Minnesota state 
retirement system as positions rendering covered correctional 
service.  To certify a classification, the commission must:  
    (1) have the recommendation of the commissioner of 
corrections or the commissioner of human services, whichever is 
the appropriate employing authority; 
    (2) have the approval of the legislative advisory 
committee; and 
    (3) have notified and received comments from the 
legislative commission on pensions and retirement. 
    352.92 [CORRECTIONAL EMPLOYEE CONTRIBUTIONS.] 
    Subdivision 1.  [EMPLOYEE CONTRIBUTIONS.] Beginning with 
the first full pay period after July 1, 1984, in lieu of 
employee contributions payable under section 352.04, subdivision 
2, contributions by covered correctional employees shall must be 
in an amount equal to 4.90 percent of salary.  
    Subd. 2.  [EMPLOYER CONTRIBUTIONS.] Beginning with the 
first full pay period after July 1, 1984, in lieu of employer 
contributions payable under section 352.04, subdivision 3, the 
employer shall contribute for covered correctional employees an 
amount equal to 8.70 percent of salary.  
    352.93 [RETIREMENT ANNUITY.] 
    Subdivision 1.  [BASIS OF ANNUITY; WHEN TO APPLY.] After 
separation from state service an employee covered under section 
352.91 who has attained the reached age of at least 55 years and 
has credit for not less than a total of at least ten years of 
covered correctional service and regular Minnesota state 
retirement system service shall be is entitled upon application 
to a retirement annuity under this section based only on covered 
correctional employees' service.  Application may be made no 
earlier than 60 days prior to before the date the employee is 
eligible to retire by reason of both age and service 
requirements.  
    For the purpose In of this section, "average salary" means 
the average of the monthly salary during the employees' highest 
five successive years of salary as an employee covered by the 
Minnesota state retirement system.  
    Subd. 2.  [CALCULATING MONTHLY ANNUITY.] The monthly 
annuity under this section shall must be determined by 
multiplying the average monthly salary by the number of years, 
or completed months, of covered correctional service by 2.5 
percent for the first 25 years of correctional service and two 
percent for each year thereafter; provided after that.  However, 
the monthly annuity shall must not exceed 75 percent of the 
average monthly salary.  
    Subd. 3.  [PAYMENTS:; DURATION AND AMOUNT.] The annuity 
under this section shall begin to accrue as provided in section 
352.115, subdivision 8, and shall must be paid for an additional 
84 full calendar months or to the first of the month following 
the month in which the employee becomes age 65, whichever occurs 
first, except that in no event shall payment must not cease 
prior to before the first of the month following the month in 
which the employee becomes 62, and.  It must then be reduced to 
the amount as calculated under section 352.115, except that if 
this amount, when added to the social security benefit based on 
state service the employee is eligible to receive at such the 
time, is less than the benefit payable under subdivision 2, the 
retired employee shall receive an amount that when added to such 
the social security benefit will equal the amount payable under 
subdivision 2.  
    When an annuity is reduced under this subdivision, the 
percentage adjustments, if any, that have been applied to the 
original annuity under section 11A.18, prior to before the 
reduction, shall must be compounded and applied to the reduced 
annuity.  A former correctional employee employed by the state 
in a position covered by the regular plan between the ages of 58 
and 65 shall receive a partial return of correctional 
contributions at retirement with five percent interest based on 
the following formula: 
 
 Employee contributions             Years and complete    
 contributed as a                   months of regular     
 correctional employee              service between       
 in excess of the                   ages 58 and 65        
 contributions such the    X        ....................  
 employee would have                       7 
 contributed as a 
 regular employee 
    Subd. 4.  [EMPLOYEE WITH REGULAR AND CORRECTIONAL SERVICE.] 
A former employee who has both regular and correctional service 
shall, if qualified, receive an annuity based on both periods of 
service under applicable sections of law but no period of 
service shall be used more than once in calculating the annuity. 
    352.94 [AUGMENTATION FOR EMPLOYEES WITH REGULAR AND 
CORRECTIONAL SERVICE.] 
    Subdivision 1.  [CHANGE FROM REGULAR TO CORRECTIONAL 
SERVICE.] An employee who becomes a correctional employee after 
serving as a regular employee shall be is covered under section 
352.72, subdivision 2, with respect to the regular service.  
    Subd. 2.  [CHANGE FROM CORRECTIONAL TO REGULAR SERVICE.] An 
employee who becomes a regular employee after serving as a 
correctional employee shall is not be covered under section 
352.72, subdivision 2, with respect to correctional service.  
    352.95 [DISABILITY BENEFITS.] 
    Subdivision 1.  [JOB-RELATED DISABILITY.] Any A covered 
correctional employee less than 55 years of age old who shall 
become becomes disabled and physically unfit to perform the 
duties of the position as a direct result of an injury, 
sickness, or other disability incurred in or arising out of any 
act of duty which shall render that makes the employee 
physically or mentally unable to perform the duties, shall be is 
entitled to a disability benefit based on covered correctional 
service only, in an.  The benefit amount must equal to 50 
percent of the average salary defined in section 352.93, plus an 
additional 2-1/2 percent for each year of covered correctional 
service in excess of 20 years but not in excess of 25 years, and 
two percent for each year of covered correctional service in 
excess of 25 years, prorated for completed months, to a maximum 
monthly benefit of 75 percent of the average monthly salary. 
    Subd. 1a.  [OPTIONAL ANNUITY ELECTION.] A disabled 
correctional employee may elect the normal disability benefit or 
an optional annuity as provided in section 352.116, subdivision 
3.  The election of an optional annuity shall must be made prior 
to before commencement of payment of the disability benefit 
and shall be becomes effective the date on which the disability 
benefit begins to accrue as provided in subdivision 3.  Upon 
becoming effective, the optional annuity shall begin to accrue 
on the same date as provided for the disability benefit.  
    Subd. 2.  [NON-JOB-RELATED DISABILITY.] Any covered 
correctional employee who, after not less than at least five 
years of covered correctional service, before reaching the age 
of 55 shall become becomes disabled and physically unfit to 
perform the duties of the position because of sickness or injury 
occurring while not engaged in covered employment, shall be is 
entitled to a disability benefit based on covered correctional 
service only.  The disability benefit shall must be computed as 
provided in section 352.93, subdivisions 1 and 2, and computed 
as though the employee had at least ten years of covered 
correctional service.  
    Subd. 3.  [APPLYING FOR BENEFITS; ACCRUAL.] No application 
for disability benefits shall be made until after the last day 
physically on the job.  The disability benefit shall begin to 
accrue the day following the last day for which the employee is 
paid sick leave or annual leave, but in no event not earlier 
than 60 days prior to before the date the application is filed.  
    Subd. 4.  [MEDICAL EVIDENCE.] An applicant shall provide 
medical evidence to support an application for disability 
benefits.  The director shall have the employee examined by at 
least one additional licensed physician designated by the 
medical advisor.  The physicians shall make written reports to 
the director concerning the employee's disability, including 
medical opinions as to whether the employee is disabled within 
the meaning of this section.  The director shall also obtain 
written certification from the employer stating whether the 
employee is on sick leave of absence because of a 
disability which that will prevent further service to the 
employer, and as a consequence the employee is not entitled to 
compensation from the employer.  
    If upon the consideration of on considering the physicians' 
reports of the physicians and such any other evidence as may 
have been supplied by the employee or others, the medical 
advisor finds the employee disabled within the meaning of this 
section, the advisor shall make appropriate recommendation to 
the director in writing, together with the date from which the 
employee has been disabled, and.  The director shall thereupon 
then determine the propriety of authorizing payment of a 
disability benefit as provided in this section.  
    Unless payment of a disability benefit has terminated 
because the employee is no longer disabled, or because the 
employee has reached age 62, the disability benefit shall cease 
with the last payment received by the disabled employee or which 
had accrued during the employee's lifetime.  During the time 
that While disability benefits are paid, the director shall have 
has the right at reasonable times to require the disabled 
employee to submit proof of the continuance of the disability 
claimed.  If any examination indicates to the medical advisor 
that the employee is no longer disabled, the disability 
payment shall must be discontinued upon reinstatement to state 
service or within 60 days of such the finding, whichever is 
sooner.  
    Subd. 5.  [RETIREMENT STATUS AT AGE 65.] The disability 
benefit paid to a disabled correctional employee hereunder under 
this section shall terminate at the end of the month in which 
the employee reaches age 62.  If the disabled correctional 
employee is still disabled when the employee reaches age 62, the 
employee shall be deemed to be a retired employee and,.  If the 
employee had elected an optional annuity pursuant to under 
subdivision 1a, the employee shall receive an annuity in 
accordance with the terms of the optional annuity previously 
elected, or,.  If the employee had not elected an optional 
annuity pursuant to under subdivision 1a, the employee may then 
either elect to receive a normal retirement annuity computed in 
the manner provided in section 352.115 or elect to receive an 
optional annuity as provided in section 352.116, subdivision 3, 
based on the same length of service as used in the calculation 
of the disability benefit.  Election of an optional 
annuity shall must be made prior to attaining the before 
reaching age of 62 years.  The reduction for retirement prior to 
before age 65 as provided in section 352.116, subdivision 
1, shall does not be applicable apply.  The savings clause 
provision of section 352.93, subdivision 3, shall be 
applicable applies.  If an optional annuity is elected, the 
optional annuity shall begin to accrue on the first of the month 
following the month in which the employee attains the reaches 
age of 62 years.  
    Subd. 6.  If the employee is entitled to receive a 
disability benefit as provided in subdivision 1 or 2 and has 
credit for less covered correctional service than the length of 
service upon which the correctional disability benefit is based, 
and also has credit for regular plan service, the employee shall 
be is entitled to a disability benefit or deferred retirement 
annuity based on the regular plan service only for that service 
which when combined with the correctional service exceeds number 
of years on which the correctional disability benefit is based.  
The disabled employee who also has credit for regular plan 
service must in all respects qualify under the provisions of 
section 352.113 to be entitled to receive for a disability 
benefit based on the regular plan service, except that the 
service may be combined to satisfy length of service 
requirements.  Any deferred annuity to which the employee may be 
is entitled based on regular plan service shall must be 
augmented as provided in section 352.72 while the employee is 
receiving a disability benefit under this section.  
    Subd. 7.  [RESUMPTION OF EMPLOYMENT.] Should If the 
disabled employee resume resumes a gainful occupation from which 
earnings are less than the salary received at the date of 
disability or the salary currently paid for similar positions, 
or should if the employee be is entitled to receive workers' 
compensation benefits, the disability benefit shall must be 
continued in an amount which when added to such earnings and 
workers' compensation benefits does not exceed the salary 
received at the date of disability or the salary currently paid 
for similar positions, whichever is higher, provided if the 
disability benefit in such that case does not exceed the 
disability benefit originally authorized and in effect.  
    352.951 [APPLICABILITY OF GENERAL LAW.] 
    Except as otherwise provided, the provisions of this 
chapter shall apply applies to covered correctional employees.  
    352.96 [DEFERRED COMPENSATION.] 
    Subdivision 1.  [WRITTEN AGREEMENT FOR DEFERMENT.] At the 
request of an officer or employee of the state of Minnesota or 
any a political subdivision thereof, or an employee covered by 
any of the retirement funds enumerated in section 356.20, 
subdivision 2, the appointing authority shall by payroll 
deduction defer the payment of part of the compensation of the 
officer or employee as provided in a written agreement between 
the officer or employee and the state of Minnesota, the 
political subdivision, or other employing unit whose employees 
are covered by any of the public retirement funds enumerated in 
section 356.20, subdivision 2, in such a manner as will.  The 
payment must be deferred so as to qualify the deferred amount 
for benefits afforded under federal and state tax laws, rules, 
and rulings. 
    Subd. 2.  [PURCHASE OF SHARES.] The amount of compensation 
so deferred may be used to purchase: 
    (a) (1) shares in the Minnesota supplemental investment 
fund established in section 11A.17; 
    (b) (2) saving accounts in federally insured financial 
institutions; 
    (c) (3) life insurance contracts, fixed annuity and 
variable annuity contracts from companies which that are subject 
to regulation by the commissioner of commerce; or 
    (d) (4) any a combination of (a) (1), (b) (2), or 
(c) above (3), as specified by the participant. 
    The shares accounts or contracts so purchased shall stand 
in the name of the state of Minnesota or other employing unit, 
for the officer or employee whose deferred compensation 
purchased said the shares, until distributed to said the officer 
or employee in a manner agreed upon by the employee and the 
executive director of the Minnesota state retirement system, 
acting for the employer.  Nothing in This subdivision shall be 
construed as to does not authorize an employer contribution, nor 
shall.  The state, the political subdivision, or other employing 
unit be is not responsible for any loss which that may result 
from investment of the deferred compensation. 
    Subd. 3.  [EXECUTIVE DIRECTOR TO ADMINISTER SECTION.] The 
provisions of This section shall be administered by the 
executive director of the Minnesota state retirement 
system pursuant to the provisions of under subdivision 4.  If 
the state board of investment so elects, it may solicit bids for 
options under subdivision 2, clauses (b) (2) and (c) (3).  All 
contracts must be approved prior to before execution by the 
state board of investment.  All Contracts shall must provide 
that all options in subdivision 2 shall must:  be presented in 
an unbiased manner, shall be presented in a manner so as to 
conform conforming to applicable rules promulgated adopted by 
the executive director, shall be reported on a periodic basis to 
all employees participating in the deferred compensation 
program, and shall not be the subject of unreasonable 
solicitation of state employees to participate in the program.  
The contract may not call for any person to jeopardize the 
tax-deferred status of moneys money invested by state employees 
pursuant to under this section.  All costs or fees in relation 
to the options provided under subdivision 2, 
clause (c) (3), shall must be paid by the underwriting companies 
ultimately selected by the state board of investment. 
    Subd. 4.  [EXECUTIVE DIRECTOR TO ESTABLISH RULES.] The 
executive director of the Minnesota state retirement system 
shall establish rules and procedures to carry out the provisions 
of this section including allocation of administrative costs 
against the assets accumulated under this section.  Funds to pay 
such these costs are hereby appropriated from the fund or 
account in which the assets accumulated under this section are 
placed.  The rules established by the executive director shall 
must conform to federal and state tax laws, regulations, and 
rulings, and are not subject to the administrative procedure 
act.  Rules adopted after July 1, 1977, relating to the options 
provided under subdivision 2, clauses (b) (2) and (c) (3), must 
be approved by the state board of investment.  A state 
employee shall must not be permitted to make payments under a 
plan until the plan or applicable component thereof of the plan 
has been approved as to its for tax-deferred status by the 
internal revenue service. 
    Subd. 5.  [OTHER LAWS NOT APPLICABLE.] No provision of this 
chapter or other law specifically referring to this chapter is 
applicable applies to this section unless this section is 
specifically mentioned therein. 
    352.97 [PRIOR DEFERRED COMPENSATION PLANS; CONSTRUCTION.] 
    Sections 352.96 and 352.97 shall not be construed to do not 
preempt, prohibit, ratify, or approve any other deferred 
compensation plan which is established prior to before or which 
may be established subsequent to after June 3, 1975. 

                               ARTICLE 7 
    Section 1.  Minnesota Statutes 1986, chapter 352B, is 
amended to read:  
    352B.01 [DEFINITIONS.] 
    Subdivision 1.  [SCOPE.] For the purposes of In this 
chapter, the terms defined in this section have the meanings 
given them. 
    Subd. 2.  [MEMBER.] "Member" means: 
    (a) all of the persons referred to and employed on and 
after July 1 June 30, 1943 pursuant to the provisions of under 
Laws 1929, chapter 355, and all acts amendatory thereof and 
supplementary thereto as amended or supplemented, currently 
employed by the state, whose salaries or compensation is paid 
out of state funds of the state of Minnesota;  
    (b) any a conservation officer employed under the 
provisions of section 97A.201, currently employed by the state, 
whose salary or compensation is paid out of state funds of the 
state; and 
    (c) any a crime bureau officer who was employed by the 
crime bureau and was a member of the highway patrolmen's 
retirement fund on July 1, 1978, whether or not that person has 
the power of arrest by warrant after that date, or who is 
employed as police personnel, with powers of arrest by warrant, 
pursuant to the provisions of under section 299C.04, and who is 
currently employed by the state, and whose salary or 
compensation is paid out of state funds of the state.  
    Subd. 2a.  [CETA MEMBERS.] The term "Member" shall does not 
include any person employed in subsidized on-the-job training, 
work experience, or public service employment as an enrollee 
under the federal Comprehensive Employment and Training Act from 
and after March 30, 1978, unless:  
    (a) the person has as of the later of March 30, 1978, or 
the date of employment sufficient service credit in the 
retirement fund to meet the minimum vesting requirements for a 
deferred retirement annuity, or;  
    (b) the employer agrees in writing on forms prescribed by 
the executive director to make the required employer 
contributions, including any employer additional contributions, 
on account of that person from revenue sources other than funds 
provided under the federal Comprehensive Employment and Training 
Act,; or 
    (c) the person agrees in writing on forms prescribed by the 
executive director to make the required employer contribution in 
addition to the required employee contribution.  
    Subd. 3.  [ALLOWABLE SERVICES.] "Allowable service" means:  
     (a) for those members defined in subdivision 2, clause (a), 
service for which payments have been made to the state patrol 
retirement fund, and 
     (b) for those members defined in subdivision 2, clauses (b) 
and (c), service for which payments have been made to the state 
patrol retirement fund, service for which payments were made to 
the state police officers retirement fund after June 30, 1961, 
and all prior service which was credited to such a member for 
service on or before June 30, 1961; provided that,.  
After a member identified in clause (b) of this subdivision 
reaches the age of 60, allowable service thereafter shall after 
that date must not be computed in determining the normal annuity 
unless the member was employed as a state police officer before 
July 1, 1961.  If such the member was so employed before July 1, 
1961, and reaches 60 years of age and has more than 30 years' 
allowable service at such that time, each year and completed 
month of allowable service acquired by such the member shall 
must be computed in determining the normal annuity until such 
the member reaches the age of 60.  If such the member was so 
employed before July 1, 1961, and has less than 30 years of 
allowable service when the member reaches age 60, each year and 
completed month of allowable service acquired by such the member 
shall must be computed in determining the normal annuity not to 
exceed 30 years of such allowable service.  The completed year 
members reach age 60 may be counted in full in determining 
allowable service.  Allowable service also includes any period 
of absence from duty by a member who, by reason of injury 
incurred in the performance of duty, is temporarily disabled and 
for which disability the state is liable under the workers' 
compensation law, until the date authorized by the executive 
director for commencement of payment of a disability benefit or 
return to employment.  
    Subd. 4.  [DEPARTMENT HEAD.] "Department head" means the 
head of any department, institution, or branch of the state 
service which that directly pays salaries from state funds to a 
member and who prepares, approves, and submits salary abstracts 
of employees to the commissioner of finance and state treasurer. 
    Subd. 6.  [ACCUMULATED DEDUCTIONS.] "Accumulated 
deductions" means the total sums deducted from the salary of a 
member and the total amount of assessments paid by a member 
in lieu place of such deductions, and credited to the member's 
individual account, without interest. 
    Subd. 7.  [FUND.] "Fund" means the state patrol retirement 
fund. 
    Subd. 9.  [SURVIVING SPOUSE.] "Surviving spouse" means a 
member's or former member's legally married spouse residing who 
resided with the member or former member at the time of death 
and who was married to the member or former member, for a period 
of at least one year, during or prior to before the time of 
membership. 
    Subd. 10.  [DEPENDENT CHILD.] "Dependent child" means any a 
natural or adopted unmarried child of a deceased member under 
the age of 18 years, including any child of the member conceived 
during the lifetime of the member and born after the death of 
the member. 
    352B.02 [STATE PATROL RETIREMENT FUND.] 
    Subdivision 1.  [CONTRIBUTIONS; PAYMENTS.] There is hereby 
established A state patrol retirement fund, the is established.  
Its membership of which shall consist consists of all persons 
defined in section 352B.01, subdivision 2.  Each member shall 
pay a sum equal to 8.5 percent of the member's salary.  Member 
contribution amounts shall must be deducted each pay period by 
the department head, who shall cause have the total amount of 
the deductions to be paid to the state treasurer, and shall 
cause have a detailed report of all deductions to be made each 
pay period to the executive director of the Minnesota state 
retirement system.  In addition thereto, there shall be paid out 
of money appropriated to the departments for this purpose, by 
the to member contributions, department heads, shall pay a sum 
equal to 18.9 percent of the salary upon which deductions were 
made.  Department contributions must be paid out of money 
appropriated to departments for this purpose. 
    These amounts shall must be credited to the state patrol 
retirement fund.  All money received shall must be deposited by 
the state treasurer in the state patrol retirement fund.  Out of 
The fund shall be paid must be used to pay the administrative 
expenses of the retirement fund, and the benefits and 
annuities as hereinafter provided in this chapter.  The 
legislative auditor shall audit the fund and the executive 
director shall procure an actuarial study of the fund in 
accordance with chapter 356,.  The cost of which shall the study 
must be borne by the fund.  
    352B.03 [OFFICERS, DUTIES.] 
    Subdivision 1.  [OFFICERS.] The policymaking, management, 
and administrative functions governing the operation of the 
state patrol retirement fund shall be are vested in the board of 
directors and executive director of the Minnesota state 
retirement system with such duties, authority and responsibility 
as is provided in chapter 352.  
    Subd. 2.  [DUTIES OF TREASURER.] The state treasurer shall 
be is ex officio treasurer of the state patrol retirement 
fund and.  The treasurer's general bond to the state shall cover 
covers all liability for actions as treasurer of the fund.  
    All moneys money of the fund received by the treasurer 
pursuant to under this chapter, shall must be set aside in the 
state treasury and credited to the state patrol retirement 
fund.  The treasurer shall transmit, monthly, to the director, a 
detailed statement showing all credits to and disbursements from 
said the fund.  The treasurer shall disburse moneys money from 
such the fund only on warrants issued by the commissioner of 
finance upon vouchers signed by the director.  
    352B.05 [INVESTMENTS.] 
    The state board of investment is hereby authorized to may 
invest and reinvest such any portions of the state patrol 
retirement fund as in the judgment of the executive director of 
the Minnesota state retirement system are not needed for 
immediate purposes,.  The executive director shall determine 
what funds may be invested.  Money may be invested in such 
securities as are duly authorized or as legal investments for 
the Minnesota state retirement system, and shall have authority 
to.  The state board may sell, convey, and exchange such 
securities and invest and reinvest the funds when it deems it 
desirable to do so, and.  The state board shall sell securities 
upon request from the executive director when the executive 
director determines funds are needed for its purposes.  All of 
the Provisions regarding accounting procedures and restrictions 
and conditions for the purchase and sale of securities for the 
Minnesota state retirement system shall apply to the accounting, 
purchase, and sale of securities for the state patrol retirement 
fund.  
    352B.07 [ACTIONS BY OR AGAINST.] 
    The board may sue or be sued in the name of the board of 
directors of the state retirement system, and.  In all actions 
brought by or against it, the board shall be represented by the 
attorney general who.  The attorney general shall also be the 
legal adviser for the board.  Venue of all actions shall be is 
in the Ramsey county district court.  
    352B.071 [EXEMPTION FROM PROCESS.] 
    None of the money, annuities, or other benefits provided 
for in this chapter shall be is assignable either in law or in 
equity or be subject to execution, levy, attachment, 
garnishment, or other legal process, except as provided in 
section 518.611.  
    352B.08 [BENEFITS.] 
    Subdivision 1.  [WHO IS ELIGIBLE; WHEN TO APPLY; ACCRUAL.] 
Every member who is credited with ten or more years of allowable 
service shall be is entitled to separate from such state service 
and upon attaining the age of becoming 55 years old, shall 
be is entitled to receive a life annuity, upon separation from 
state service.  Members shall make application apply for an 
annuity in a form and manner prescribed by the executive 
director.  No application may be made more than 60 days prior to 
before the date the member is eligible to retire by reason of 
both age and service requirements.  An annuity shall begin 
begins to accrue no earlier than 90 days prior to before the 
date the application is filed with the executive director.  
    Subd. 2.  [AMOUNT OF PAYMENTS.] The annuity shall must be 
paid in monthly installments equal to that portion of the 
average monthly salary of the member multiplied by 2-1/2 percent 
for each year and pro rata for completed months of service not 
exceeding 25 years and two percent for each year and pro rata 
for completed months of service in excess of 25 years.  "Average 
monthly salary" shall mean means the average of the monthly 
salaries for the five high years of service as a member.  The 
monthly salary for the period prior to before July 2, 1969 shall 
be deemed to be $600.  The term "Average monthly salary" shall 
does not include any amounts of severance pay or any reduced 
salary paid during the period the person is entitled to workers' 
compensation benefit payments from the workers' compensation 
court of appeals for temporary disability.  In lieu of the 
single life annuity herein provided, the member or former member 
with ten years or more of service may elect a joint and survivor 
annuity, payable to a designated beneficiary for life, adjusted 
to the actuarial equivalent value of the single life annuity.  
The joint and survivor annuity elected by a member may also 
provide that the elected annuity be reinstated to the single 
life annuity herein provided, if after drawing the elected joint 
and survivor annuity, the designated beneficiary dies prior to 
the death of before the member.  This reinstatement shall is not 
be retroactive but shall be in takes effect for the first full 
month subsequent to after the death of the designated 
beneficiary.  This additional joint and survivor option with 
reinstatement clause shall must be adjusted to the actuarial 
equivalent value of a regular single life annuity. 
    352B.10 [DISABILITY BENEFITS.] 
    (1) Subdivision 1.  [INJURIES, PAYMENT AMOUNTS.] Any member 
less than 55 years of age old, who shall become becomes disabled 
and physically or mentally unfit to perform duties as a direct 
result of an injury, sickness, or other disability incurred in 
or arising out of any act of duty, which shall render the member 
physically or mentally unable to perform duties, shall receive 
disability benefits during the period of such disability while 
disabled.  The benefits shall must be paid in monthly 
installments equal to that portion of the member's average 
monthly salary of the member multiplied (a) (1) by 50 percent 
and, (b) (2) by an additional 2-1/2 percent for each year and 
pro rata for completed months of service in excess of 20 years, 
but not exceeding 25 years and two percent for each year and pro 
rata for completed months of service in excess of 25 years. 
    (2) Subd. 2.  [UNDER 55; DISABLED WHILE NOT ON DUTY.] 
Any If a member who terminates employment after not less than 
at least five years of service, before reaching the age of 
55, terminates employment because of sickness or injury 
occurring while not on duty and not engaged in state work 
entitling the member to membership, and the termination is 
necessary because the member is unable to cannot perform 
duties shall be, the member is entitled to receive a disability 
benefit.  The benefit shall must be in the same amount and 
computed in the same manner way as if the member were 55 years 
of age old at the date of disability and the annuity were 
paid pursuant to under section 352B.08.  Should If disability 
under this clause occur occurs after five but in less 
than before ten years service, the disability benefit shall must 
be computed as though the member had ten years service. 
    (3) Subd. 3.  [ANNUAL AND SICK LEAVE; WORK AT LOWER PAY.] 
No member shall receive any disability benefit payment when the 
member has unused annual leave or sick leave or under any other 
circumstances, when during the period of disability there has 
been no impairment of salary.  Should such the member or former 
member resume a gainful occupation work and have earnings earn 
less than the salary received at the date of disability or the 
salary currently paid for similar positions, the disability 
benefit shall must be continued in an amount which when added to 
earnings does not exceed the salary received at the date of 
disability or the salary currently paid for similar positions, 
whichever is higher, provided.  The disability benefit in such 
case does must not exceed the disability benefit originally 
allowed. 
    (4) Subd. 4.  [PROOF OF DISABILITY.] No disability benefit 
payment shall be made except upon adequate proof furnished to 
the director of the existence of such the disability, and during 
the time when any such.  While disability benefits are being 
paid, the director shall have has the right, at reasonable 
times, to require the disabled former member to submit proof of 
the continuance of the disability claimed.  
    (5) Subd. 5.  [OPTIONAL ANNUITY.] A disabled member not 
eligible for survivorship coverage pursuant to under section 
352B.11, subdivision 2, may elect choose the normal disability 
benefit or an optional annuity as provided in section 352B.08, 
subdivision 2.  The election choice of an optional annuity shall 
must be made prior to before commencement of payment of the 
disability benefit and shall be.  It is effective 30 days after 
receipt of this election choice or the date on which the 
disability benefit begins to accrue, whichever occurs is later.  
Upon becoming effective, the optional annuity shall begin begins 
to accrue on the same date as provided for the disability 
benefit.  
    352B.101 [APPLICATION FOR DISABILITY BENEFIT.] 
    A member making claim for claiming a disability benefit 
shall must file a written application therefor for benefits in 
the office of the system in a form and manner prescribed by the 
executive director.  The member shall provide medical evidence 
to support the application.  The benefit shall begin begins to 
accrue the day following the commencement start of disability or 
the day following the last day for which the member was paid, 
whichever is later, but in no event not earlier than 90 days 
prior to before the date the application is filed with the 
executive director.  
    352B.105 [TERMINATION OF DISABILITY BENEFITS.] 
    All Disability benefits payable under section 352B.10 shall 
terminate at the end of the month the beneficiary becomes 55 
years of age old.  If the beneficiary is still disabled when the 
beneficiary attains the age of becomes 55 years old, the 
beneficiary shall be deemed to be a retired member and, if the 
beneficiary had elected chosen an optional annuity pursuant to 
under section 352B.10, clause (6) subdivision 5, shall receive 
an annuity in accordance with the terms of the optional annuity 
previously elected, or, chosen.  If the beneficiary had 
not elected chosen an optional annuity pursuant to under section 
352B.10, clause (6) subdivision 5, the beneficiary may then 
elect choose to receive either a normal retirement annuity 
computed pursuant to under section 352B.08, subdivision 1, or an 
optional annuity as provided in section 352B.08, subdivision 2.  
Election of An optional annuity shall must be made prior to 
attaining the age of chosen before the beneficiary becomes 55 
years old.  If an optional annuity is elected chosen, the 
optional annuity shall begin to accrue the first of the month 
following the month in which the beneficiary attains the age 
of becomes 55 years old.  
    352B.11 [RETIREES.] 
    Subdivision 1.  [REFUND OF PAYMENTS.] Should any A member 
who has not received other benefits under this chapter become is 
entitled to a refund of payments made by salary deduction, plus 
interest, if the member is separated, either voluntarily or 
involuntarily, from state service that entitled the member to 
membership, the member, or.  In the event of the member's death, 
the member's estate, shall be is entitled to receive a the 
refund of all payments which have been made by salary deductions 
plus interest at.  Interest must be computed at the rate of five 
percent per annum a year, compounded annually upon application.  
To receive a refund, the member must apply on a form prescribed 
by the executive director. 
    Subd. 2.  [DEATH; PAYMENT TO SPOUSE AND CHILDREN.] In the 
event any If a member serving actively as a member, a member 
receiving the disability benefit provided by section 352B.10, 
clause (1) subdivision 1, or a former member receiving a 
disability benefit as provided by section 352B.10, clause 
(3) subdivision 3, dies from any cause, the surviving spouse and 
dependent child or dependent children shall be are entitled to 
benefit payments as follows: 
    (a) A member with at least ten years of allowable service 
or a former member with at least 20 years of allowable service 
is deemed to have elected a 100 percent joint and survivor 
annuity payable to a surviving spouse only on or after the date 
the member or former member attained became or would have 
attained the age of become 55. 
    (b) The surviving spouse of a member who had credit for 
less than ten years of service shall receive, for life, a 
monthly annuity equal to 20 percent of that portion part of the 
average monthly salary of the member from which deductions were 
made for retirement.  If the surviving spouse remarries, the 
annuity shall cease as of the date of the remarriage. 
    (c) The surviving spouse of a member who had credit for at 
least ten years of service and who dies died after attaining 55 
years of age, may elect to receive a 100 percent joint and 
survivor annuity, for life, notwithstanding a subsequent 
remarriage, in lieu of the annuity prescribed in clause 
paragraph (b). 
    (d) The surviving spouse of any member who had credit for 
ten years or more and who was not 55 years of age at death, 
shall receive the benefit equal to 20 percent of the average 
monthly salary as described in clause (b) until the deceased 
member would have reached the age of 55 years, and beginning the 
first of the month following that date, may elect to receive the 
100 percent joint and survivor annuity.  If the surviving spouse 
remarries prior to before the deceased member's 55th birthdate, 
all benefits or annuities shall cease as of the date of 
remarriage.  Remarriage subsequent to after the deceased 
member's 55th birthday shall not affect the payment of the 
benefit. 
    (e) Each dependent child shall receive a monthly annuity 
equal to ten percent of that portion part of the average monthly 
salary of the former member from which deductions were made for 
retirement.  A dependent child over the age of 18 years and 
under the age of 22 years of age also may receive the monthly 
benefit provided herein in this section, if the child is 
continuously attending an accredited school as a full time 
student during the normal school year as determined by the 
director.  If the child does not continuously attend school but 
separates from full-time attendance during any portion part of a 
school year, the annuity shall cease at the end of the month of 
separation.  In addition, a payment of $20 per month shall be 
prorated equally to surviving dependent children when the former 
member is survived by one or more dependent children.  Payments 
for the benefit of any qualified dependent child shall must be 
made to the surviving spouse, or if there be is none, to the 
legal guardian of the child.  The maximum monthly benefit shall 
must not exceed 40 percent of the average monthly salary for any 
number of children. 
    (f) If the member shall die dies under circumstances which 
that entitle the surviving spouse and dependent children to 
receive benefits under the workers' compensation law, amounts 
equal to the workers' compensation benefits received by 
them shall must not be deducted from the benefits 
payable pursuant to under this section. 
    (g) The surviving spouse of a deceased former member who 
had credit for ten or more years of allowable service, but 
excluding not the spouse of a former member receiving a 
disability benefit under the provisions of section 352B.10, 
clause (3) subdivision 3, shall be is entitled to receive the 
100 percent joint and survivor annuity at such the time as the 
deceased member would have reached the age of 55 years, provided 
if the surviving spouse has not remarried prior to before that 
date.  In the event of the death of If a former member dies who 
does not qualify for other benefits under this chapter, the 
surviving spouse or, if none, the children or heirs shall be are 
entitled to receive a refund of the accumulated deductions left 
in the fund plus interest at the rate of five percent per annum 
year compounded annually.  
    Subd. 2a.  [APPLICATIONS FOR SURVIVOR BENEFITS.] An 
application for benefits under this section shall must be filed 
in the office of the system in a form and manner prescribed by 
the executive director.  The benefit shall begin to accrue the 
day following the date of death but shall in no event not be 
retroactive for more than six months prior to before the date 
the application is filed.  
    Subd. 3.  [REFUNDMENT REFUND; EFFECT.] When any member or 
former member accepts a refundment refund, all existing service 
credits and all rights and benefits to which the member or 
former member was entitled prior to the before acceptance of 
such refundment shall the refund terminate. 
    Subd. 4.  [RE-ENTRY INTO STATE SERVICE.] Should any When a 
former member, who has become separated from state service that 
entitled the member to membership and has received a refund of 
retirement payments, re-enter re-enters the state service in a 
position that entitles the member to membership, that member 
shall receive credit for the period of prior allowable state 
service provided if the member repays into the fund the amount 
of the refund, plus interest thereon on it at the rate of five 
percent per annum year, at any time prior to before subsequent 
retirement.  Repayment may be made in installments or in a lump 
sum.  
    352B.131 [PRIOR OPTIONS EXERCISED.] 
    Any A state police officer, as defined in Minnesota 
Statutes 1969, section 352A.01, subdivision 2, who exercised the 
options provided for in Minnesota Statutes 1969, sections 
352A.11 and 352A.12, and, who did not revoke such the election 
pursuant to under Minnesota Statutes 1969, section 352A.11, 
shall is not be entitled to any annuities or other benefits 
under this chapter.  If such the state police officer remains in 
state service as a state police officer, payments to the state 
patrol retirement fund shall be made in the manner as provided 
in section 352B.02, and the department head shall make the 
payments to the state patrol retirement fund as therein provided 
required. 
    352B.14 [LAW GOVERNING BENEFITS.] 
    Subdivision 1.  [RETIREMENT.] Except as provided in 
subdivision 4, every a member who retires and is entitled to any 
an annuity shall receive the retirement annuity computed on the 
basis of the law in effect at the date of retirement. 
    Subd. 2.  [LEAVING STATE SERVICE.] Except as provided in 
subdivision 4, every a member who terminates state service and 
is entitled to a retirement annuity shall receive such an 
annuity computed on the basis of the law in effect on the date 
state service terminated. 
    Subd. 3.  [DEATH.] Except as provided in subdivision 4, 
every surviving spouse or dependent child of a deceased former 
member entitled to an annuity or benefit shall receive such an 
annuity or benefit computed on the basis of the law in effect on 
the date said the member or former member died. 
    Subd. 4.  [RETIREES UNDER OLD LAW.] Any A member defined in 
section 352B.01, subdivision 2, clause (a) who has retired and 
began collecting a retirement annuity prior to the effective 
date of Laws 1961, chapter 493 before April 21, 1961, or any 
surviving spouse or child who began collecting an annuity or 
benefit prior to the effective date of Laws 1961, chapter 
493 before April 21, 1961, shall continue to receive such an 
annuity or benefit in the amount and subject to the conditions 
specified in the law prior to the effective date of Laws 1961, 
chapter 493 before April 21, 1961. 
    Subd. 5.  [RETROACTIVE CHANGE.] Notwithstanding the 
provisions of subdivisions 1 to 4 hereof, the retirement 
annuities or benefits provided for highway patrol officers under 
Minnesota Statutes 1961, sections 172.01 to 172.11, and as in 
effect on April 21, 1961, shall also apply to annuitants who 
retired and to those entitled to survivors benefits, under said 
those sections, on or prior to before April 21, 1961.  Any 
additional annuities or benefits provided for by this 
subdivision shall be available only after July 1, 1965. 
    352B.25 [CONTINUING APPROPRIATION; PAYMENT OF PENSION FUNDS 
BY INDIVIDUALS.] 
    The state patrol retirement fund and the participation in 
the Minnesota postretirement investment fund shall must be 
disbursed only for the purposes herein provided in this 
chapter.  The expenses of the system and any benefits or 
annuities herein provided in this chapter, other than benefits 
payable from the Minnesota postretirement investment fund, shall 
must be paid from the state patrol retirement fund.  The amounts 
necessary to make the payments from the state patrol retirement 
fund and the participation in the Minnesota postretirement 
investment fund are annually appropriated from those funds for 
those purposes.  
    352B.26 [PARTICIPATION IN MINNESOTA POSTRETIREMENT 
INVESTMENT FUND.] 
    Subdivision 1.  [AUTHORIZATION.] The state patrol 
retirement fund shall participate in the Minnesota 
postretirement investment fund.  In that fund there shall be 
deposited Assets as required by this section and from which fund 
must be deposited in the fund.  Amounts shall be withdrawn from 
the fund only for the purpose of paying to pay annuities 
as herein provided and.  The money is annually and from time to 
time appropriated for this purpose. 
    Subd. 2.  [ADJUSTABLE FIXED BENEFIT ANNUITY.] "Adjustable 
fixed benefit annuity" means the payments made from the 
participation in the fund to an annuitant, including a joint and 
survivor annuitant and qualified recipients of surviving spouse 
benefits, after retirement in accordance with the provisions of 
this section.  It also means that the payments made to such 
these persons shall never be an amount less than the amount 
determined on or before June 30, 1969, or on retirement, 
whichever is later. 
    Subd. 3.  [VALUATION OF ASSETS; ADJUSTMENT OF BENEFITS.] 
(1) (a) For those former members commencing beginning to 
receive annuities and qualified recipients of joint and survivor 
annuities and surviving spouse benefits, the required 
reserves shall must be determined in accordance with the 
appropriate mortality table, calculated with an interest 
assumption set at the interest rate specified in section 
356.215, subdivision 4d, and.  Assets representing the required 
reserves for these annuities shall must be transferred to the 
Minnesota postretirement investment fund in accordance with 
procedures as specified in section 11A.18.  
    (2) (b) Annuity payments shall must be adjusted in 
accordance with the provisions of section 11A.18. 
    (3) (c) Notwithstanding section 356.18, increases in 
annuity payments pursuant to under this section shall must be 
made automatically unless written notice is filed by the 
annuitant with the executive director of the Minnesota state 
retirement system requesting that the increase not be made. 
    352B.261 [RETIREMENT BENEFIT INCREASE.] 
    The benefits payable from the Minnesota postretirement 
investment fund authorized and in effect on May 31, 1973, shall 
be increased in the same ratio that the actuarially computed 
reserve for such benefits determined by using an interest 
assumption of 3-1/2 percent bears to the actuarially computed 
reserve for such benefits determined by using an interest 
assumption of five percent.  The reserves upon which such the 
increase shall be is based shall be the actuarially determined 
reserve for benefits in effect on June 30, 1972, in accordance 
with the mortality assumptions then in effect and at interest 
assumptions of 3-1/2 percent and five percent.  Such The ratio 
of increase computed to the last full one 1/100 of one percent 
shall must be applied to benefits in effect on May 31, 1973 and 
shall begin to accrue July 1, 1973.  Notwithstanding section 
356.18, increases in benefit payments pursuant to under this 
section will be made automatically unless the intended recipient 
files written notice with the state patrol retirement 
association requesting that the increase shall not be made.  
    352B.262 [DISABILITY BENEFIT INCREASE.] 
    The Disability benefits authorized and in effect on May 31, 
1973, shall be are increased by 25 percent.  The increase shall 
apply applies to the accrual of such benefits commencing January 
1, 1974. 
    352B.265 [PRE-1973 INCREASE.] 
    Total benefits payable to a retiree or surviving spouse 
whose benefits were computed under the law in effect prior to 
before June 1, 1973, shall be are increased by six percent on 
July 1, 1982 and on July 1 of each year thereafter.  Funds 
sufficient to pay the increases provided by this section 
are hereby appropriated annually to the executive director from 
the state patrol retirement fund.  
    352B.27 [SAVINGS CLAUSE.] 
    Subdivision 1.  [EARLIER RETIREMENT LAWS.] The rights, 
privileges, annuities, and benefits, whether presently accrued 
or to accrue in the future, extended to those persons designated 
or described in Laws 1967, chapter 244, section 4; Laws 1969, 
chapter 693, sections 15 and 17; Laws 1971, chapter 278, section 
3; and Laws 1971, chapter 543, section 1 shall continue in full 
force and effect as provided therein, notwithstanding 
any provisions of law to the contrary.  
    Subd. 2.  [BENEFITS TO CONTINUE.] Except as otherwise 
specifically provided in this chapter, all persons who on May 8, 
1973 are receiving any benefit, annuity or payment from the 
highway patrol officers' retirement fund shall, after May 8, 
1973, receive the same benefit, annuity or payment from said the 
fund.  
    352B.28 [SURVIVING SPOUSE BENEFITS.] 
    Subdivision 1.  [BASIC ANNUITY.] Upon the death of any 
highway patrol officer who retired or separated from state 
service prior to before July 1, 1965, the surviving spouse, if 
legally married to the patrol officer during service as a patrol 
officer and residing with the officer at the time of death, 
shall receive for life an annuity of $125 per month. 
    Subd. 2.  [INCREASE; HIGHWAY PATROL.] The annuity of a 
surviving spouse of a member of the highway patrol who retired 
or separated from active service prior to before July 1, 1965, 
and the surviving spouse of a highway patrol officer who dies in 
service prior to before the effective date of Laws 1969, chapter 
693, and who on May 25, 1973 is receiving an annuity of less 
than $125 per month, shall thereafter be increased to $125 per 
month. 
    Subd. 3.  [INCREASE; POLICE OFFICERS FUND.] The annuity of 
a surviving spouse currently receiving an annuity by way of the 
state police officers retirement fund where there was no option 
of eligibility, shall on May 25, 1973 be increased to $125 per 
month. 
    Subd. 4.  [REMARRIAGE.] The annuity of any surviving spouse 
granted or supplemented by this section shall cease in the event 
of remarriage of if the recipient remarries. 
    352B.29 [HIGHWAY PATROLMEN'S RETIREMENT ASSOCIATION; 
TRANSFER OF FUNCTIONS.] 
    Notwithstanding other provisions of chapters 352 and 352B 
as amended, effective July 1, 1973, all powers, duties, 
responsibilities, books, papers and records of the highway 
patrolmen's retirement association and of the officers of the 
highway patrolmen's retirement association are hereby 
transferred to the Minnesota state retirement system.  The 
officers of the highway patrolmen's retirement association as 
constituted under this chapter as amended are hereby abolished.  
    352B.30 [COVERAGE BY MORE THAN ONE RETIREMENT SYSTEM OR 
ASSOCIATION.] 
    Subdivision 1.  [ENTITLEMENT TO ANNUITY.] Any person who 
has been an employee covered by the Minnesota state retirement 
system, or a member of the public employees retirement 
association including the public employees retirement 
association police and firefighters' fund, or the teachers 
retirement association, or the state patrol retirement fund, or 
any other public employee retirement system in the state of 
Minnesota having a like provision but excluding all other funds 
providing benefits for police or firefighters shall be is 
entitled when qualified to an annuity from each fund if total 
allowable service in all funds or in any two of these funds 
totals ten or more years, provided.  No portion part of the 
allowable service upon which the retirement annuity from one 
fund is based is may again used in the computation for benefits 
from another fund and provided further that.  The member has 
must not have taken a refund from any one of these funds since 
service entitling the member to coverage under the system or 
membership in any of the associations last terminated.  The 
annuity from each fund shall must be determined by the 
appropriate provisions of the law except that the requirement 
that a person must have at least ten years allowable service in 
the respective system or association shall does not apply for 
the purposes of this section provided if the combined service in 
two or more of these funds equals ten or more years. 
    Subd. 2.  [COMPUTATION OF DEFERRED ANNUITY.] Deferred 
annuities shall must be computed in the manner provided by 
according to this chapter and acts amendatory thereof, on the 
basis of allowable service prior to before termination of 
service and augmented as provided herein in this chapter.  The 
required reserves applicable to a deferred annuity shall must be 
augmented by interest compounded annually from the first day of 
the month following the month in which the member terminated 
service, or July 1, 1971, whichever is later, to the first day 
of the month in which the annuity begins to accrue.  The rates 
of interest used for this purpose shall be five percent 
per annum year compounded annually until January 1, 1981, 
and thereafter after that date three percent per annum year 
compounded annually.  The mortality table and interest 
assumption used to compute such the annuity shall be those in 
effect at the time when the member files application for annuity.
    Subd. 3.  [REFUND REPAYMENT.] Any A person who has received 
a refund from the state patrol retirement fund who is a member 
of a public retirement system included in subdivision 1, may 
repay such the refund with interest to the state patrol 
retirement fund as provided in section 352B.11, subdivision 4. 

                               ARTICLE 8 

                BOUNDARIES, POWERS, CONTRACTS, PROPERTY 
    Section 1.  Minnesota Statutes 1986, chapter 365, is 
amended to read:  
    365.01 [1906 BOUNDARIES REMAIN UNLESS CHANGED BY COUNTY.] 
    The A town's boundaries of towns shall remain as now 
established until otherwise provided by on March 1, 1906 remain 
its boundaries unless the county board pursuant to law changes 
them according to law. 
    365.02 [CORPORATE POWERS TOWN MAY SUE, OWN PROPERTY, MAKE 
CONTRACTS.] 
    Each A town is and shall be a body corporate, and empowered 
public corporation.  A town may: 
    (1) To sue and be sued by in its corporate name; 
    (2) To purchase buy, take, and hold real and personal 
property for a public uses purpose, and convey and dispose of 
the same property; 
    (3) To make all contracts enter into any contract that is 
necessary for the exercise of its corporate town to use any of 
its powers; and 
    (4) To make such orders for the disposition, regulation 
dispose of, control, and use of its corporate town property as 
the inhabitants thereof may deem expedient as its residents 
consider expedient.  
    365.025 [CONTRACTS; TIME PAYMENTS; PETITION ON BIG BUYS.] 
    Subdivision 1.  [BOARD MAKES CONTRACTS.] 
Notwithstanding any other law to the contrary, the a town 
board shall have power to make such contracts as may be deemed 
necessary or desirable to make effective may enter into any 
contract it considers necessary or desirable to use any town 
power possessed by the town.  
    Subd. 2.  [MAY BUY OVER FIVE YEARS.] The town may purchase 
buy personal property through on a conditional sales contract 
and real property through on a contract for deed under which 
contracts the seller is confined to the remedy of recovery of 
the property in case of nonpayment of all or part of the 
purchase price, which shall be payable over a period of not to 
exceed five years.  When the contract price of property to be 
purchased by contract for deed or conditional sales contract 
exceeds.  The town must pay for the property within five years.  
    Subd. 3.  [SELLER'S REMEDY:  RECOVER PROPERTY.] The 
seller's only remedy for nonpayment on a contract entered into 
under subdivision 2 is recovery of the property.  
    Subd. 4.  [BIG DEALS BUYS:  NOTICE, PETITION, 
ELECTION.] Before buying anything under subdivision 2 that costs 
more than one percent of the assessed valuation of the town, the 
town may not enter into such a contract for at least ten days 
after publication must follow this subdivision.  
    The town must publish in the its official newspaper of a 
board the board's resolution determining to purchase pay for 
the property by such a contract; and, if before the end of that 
over time.  Then a petition asking for an election on the 
proposition signed by voters equal to ten percent of the number 
of voters at the last regular town election is contract may be 
filed with the clerk, the town may not enter into such a 
contract until the proposition has been.  The petition must be 
filed within ten days after the resolution is published.  To 
require the election the petition must be signed by a number of 
voters equal to ten percent of the voters at the last regular 
town election.  The contract then must be approved by a majority 
of the votes cast those voting on the question.  The question 
may be voted on at a regular or special election. 
    365.03 [LIMITATION OF ONLY POWERS:  EXPRESS OR NECESSARILY 
IMPLIED.] 
    No towns shall possess or exercise any corporate A town may 
use only the powers except such as are expressly given it by 
law, or are necessary for the town to the exercise of the powers 
so use a given power. 
    365.04 [CONVEYANCES TO TOWNS PROPERTY TO OR FOR USE OF TOWN 
IS TOWN PROPERTY.] 
    All Real and or personal property conveyed to any a town 
, or to the inhabitants thereof, its residents or to any person 
for the use of the town, or its inhabitants, shall be deemed the 
residents is town property of such town and all such conveyances 
shall have the same force and.  The conveyance has the same 
effect as if made directly to the town by name. 
    365.05 [SALE OF REALTY DEED OF TOWN LAND; FORMALITIES; 
INTEREST GIVEN.] 
    When any A deed conveying real estate belonging to the 
owned by a town is sold the conveyance thereof shall be executed 
must be signed by the chair of the town board in an official 
capacity, and attested by the clerk; and such conveyance, duly.  
The deed, witnessed and acknowledged, shall convey to must give 
the grantee therein named all of the right, title, and estate 
which the town then has town's interest in the real 
estate conveyed. 

                               ROAD SIGNS 
    365.06 [TOWN MUST PUT UP GUIDEPOSTS FOR TRAVELERS.] 
    Every A town shall erect put up and maintain suitable 
guideposts and boards at such the places on the public roads 
therein as shall be in the town that are convenient for the 
direction of travelers. 

                              TOWN CHARGES 
    365.07 [TOWN CHARGES TO PAY OFFICERS AND EXPENSES; TO RAISE 
MONEY.] 
     The following shall be It is a town charges charge: 
    (1) The compensation of to pay town officers for services 
rendered their towns performed for the town; 
    (2) to pay contingent expenses necessarily incurred for the 
use and benefit of the town; 
    (3) The to raise money authorized to be raised by the vote 
of the town meeting for general purposes; and 
    (4) Every sum to raise money directed by law to be raised 
for any town purpose.  
    No tax for town purposes shall exceed the amount voted to 
be raised at the annual town meeting. 
    365.08 [TOWN CHARGES; DAMAGES CAUSED BY WORK ON SUPPOSED 
HIGHWAY DAMAGE TO PRIVATE ROAD IS A CHARGE IF VOTED.] 
    In all towns in this state where any road work has been 
performed, or may hereafter be performed, upon a supposed 
highway thereof, by order of the proper officers of such town, 
on the belief that the same is a lawful public highway, and 
where an action at law has been or may hereafter be commenced, 
in any court of competent jurisdiction, in which it is or may be 
determined that such supposed highway was not a legal highway at 
the time the work was performed, all necessary costs and 
expenses incurred by any defendant therein, and any damages that 
may have been allowed or shall be allowed in any such action 
because of such road work shall be a charge against such town in 
favor of the defendant and allowed and paid by such town the 
same as other claims If a court finds that a town's officers 
ordered work done on a private road believing that the road was 
public, the damage caused and necessary expenses and costs 
incurred in the suit are a claim against the town.  Before such 
costs, expenses, and damages shall be the claim becomes a charge 
, and to be paid by the town, the same shall be payment must be 
authorized by vote of a majority of all legal voters electors 
present and voting in favor thereof at an annual or a special 
town meeting of such town, after.  First, there must be due 
notice that the question will be submitted considered and voted 
upon on at the meeting. 
    365.09 [TOWN TAXES CHARGES PAID BY TAXES LEVIED UNDER 
CHAPTER 275.] 
    Taxes to raise money for defraying pay for town charges 
shall must be levied under chapter 275 on the town's taxable 
property in the town in the manner prescribed in chapter 275. 

                          TOWN MEETING POWERS 
    365.10 [TOWN MEETINGS, POWERS WHAT ELECTORS MAY DO AT 
ANNUAL TOWN MEETING.] 
    Subdivision 1.  [POWERS LISTED HERE.] The electors of each 
a town have power, at their annual town meeting:, may do what is 
in this section. 
    Subd. 1a.  [POUNDS, POUNDMASTERS.] (1) to determine The 
electors may (1) decide the locations of pounds, and (2) set the 
number of poundmasters, and to (3) discontinue any such 
pounds; a pound. 
    Subd. 2.  [ELECT TOWN OFFICERS.] (2) to select such The 
electors may elect town officers as are to be chosen;. 
    Subd. 3.  [ANIMALS AT LARGE.] (3) to make lawful orders and 
bylaws as they deem proper for The electors may make orders and 
bylaws on restraining horses, cattle, sheep, swine, and other 
domestic animals from going at large on the highways, provide 
for roads.  They may also make orders and bylaws on the 
impounding those of domestic animals so going at large, and to 
fix penalties for violations of the orders or and bylaws;. 
    Subd. 4.  [ROADS, BRIDGES, OTHER EXPENSES.] (4) to The 
electors may vote money for the to repair and construction 
of build roads and bridges, and to.  They may also vote such 
sums as much money as they deem consider expedient for the 
good of the town for other town expenses, including the 
construction building and maintenance of docks and breakwaters;. 
    Subd. 5.  [ADJOINING TOWN'S ROADS.] (5) The electors may, 
when they deem it for the interest of the town to direct that 
a specified certain amount of the road tax be expended, under 
the direction of their town board, spent on the roads of an 
adjoining town;.  The spending must be for the good of the town 
and under the control of the town board. 
    Subd. 6.  [BUILD TOWN BUILDING.] (6) to authorize The 
electors may let the town board to purchase buy or build a town 
hall or other building for the use of the town, and to determine.
The electors must decide the amount of money to be raised for 
that purpose; but, if.  Once the town gets a site for a town 
hall is once obtained, it shall the site must not be changed for 
another site, except by a vote therefor designating choosing a 
new site by.  To get a new site two-thirds of the votes cast at 
such election of the legal voters of the town; those voting on 
the question must vote for it. 
    Subd. 7.  [BUY TOWN CEMETERY.] (7) to authorize The 
electors may let the town board, by vote, to purchase buy 
grounds for a town cemetery, and.  The electors may limit the 
price to be paid, for the cemetery and to may vote a tax for 
the payment thereof; to pay for it. 
    Subd. 8.  [BUY, BEAUTIFY PARK.] (8) to authorize The 
electors may let the town board, either by itself or in 
conjunction with one or more other towns, to purchase buy 
grounds for a public park and to may limit the price to be paid 
therefor, to authorize for the grounds.  The electors may let 
the town, alone or in conjunction with such the other town or 
towns, to care for, improve, and beautify such the parks, and to 
determine.  The electors may decide, by ballot, the amount of 
money to be raised for that purpose, and to those purposes.  The 
electors may vote a tax for the payment thereof; to pay for what 
they allow under this subdivision. 
    Subd. 9.  [COMMUNITY HALLS.] (9) to The electors may vote 
money to aid in the construction of help build community halls, 
to be erected.  The community halls may be built by farm 
bureaus, farmers clubs, or other like organizations;.  
    Subd. 10.  [TAX FOR DUMP.] (10) to The electors may vote a 
tax to purchase buy and maintain a public dumping ground; dump.  
    Subd. 11.  [ABANDONED TOWN ROADS.] (11) to authorize The 
electors may let the town board, by resolution, to determine 
whether to open or maintain town roads or town cartways under 
the jurisdiction of the town board upon which no maintenance or 
construction has been conducted for 25 years or more.  For 
purposes of this clause the provisions of subdivision, section 
163.16 shall does not apply to town roads described in 
this clause subdivision.  Nothing in This clause shall be 
construed to abridge subdivision does not limit the right of 
town voters or land owners to petition for the establishment 
of to establish a cartway as provided in under section 
164.08;.  
    Subd. 12.  [FUND TOWN CELEBRATION.] (12) to authorize The 
electors may set an amount of money and let the town board to 
spend money in an amount as determined by the electors for the 
purpose of commemorating it to commemorate an event of 
historical significance to the town;. 
    Subd. 13.  [CONTROL DOGS, CATS.] (13) to authorize The 
electors may let the town board to provide, by pass an 
ordinance, for licensing dogs and cats and regulating the their 
presence or, keeping of dogs and cats and their, and running at 
large within in the town;. 
    Subd. 14.  [HEALTH, SOCIAL, RECREATIONAL SERVICES.] (14) to 
authorize The electors may let the town board to contract with 
nonprofit organizations for not more than $5,000 per year of 
health, social, or and recreational services in an amount not to 
exceed a total of $5,000 in any year when deemed.  To do so, the 
town board must consider the services to be in the public 
interest and of benefit to good for the town;. 
    Subd. 15.  [REFUSE, HOUSEHOLD WASTE.] (15) to authorize The 
electors may let the town board to provide for the collection 
and disposal find a way to collect and get rid of household 
waste and other refuse,.  The way must be consistent with other 
law; and. 
    Subd. 16.  [CEMETERY PERPETUAL CARE.] (16) to authorize The 
electors may let the town board to establish set up a perpetual 
care program for the administration and maintenance of any to 
administer and maintain a cemetery located in the town.  Before 
establishing a perpetual care program, The town board must make 
the determination that sufficient funds are first decide that it 
has enough money available from burial plot sales, gifts, and 
private assistance to administer and maintain the cemetery.  
Cemetery administration may include the sale of burial plots and 
the supervision of burials.  The town may accept gifts of money 
and other assistance help from individuals to establish set up 
the perpetual care program. 

                           ORDINANCES, BYLAWS 
    365.11 [BYLAWS TO BE POSTED NOTICE OF BYLAW REQUIRED; BINDS 
ALL IN TOWN.] 
    No bylaw shall take effect A town bylaw is not effective 
until posted notice thereof has been of it is given.  Thereafter 
it shall be The bylaw is then binding upon on all the 
inhabitants of the town, residents and upon on all persons 
coming within its limits others while in the town. 
    365.125 [ENACTMENT OF ORDINANCES ORDINANCE FORMALITIES; 
PUBLISH, POST, RECORD.] 
    Subdivision 1.  [FORMALITIES; TITLE, STYLE.] Every An 
ordinance shall must be enacted by a majority vote of all the 
members of the town board unless a larger number is required by 
law.  It shall An ordinance must be signed by the chair of the 
town board, and attested by the clerk, and.  An ordinance must 
have a title and must begin with words like "The board of 
supervisors of the town of ......... ordains:".  
    Subd. 2.  [PUBLICATION.] An ordinance must be published 
once in a qualified newspaper having general circulation within 
in the town.  If The whole ordinance must be published unless 
the town board determines decides that publication of the 
publishing its title and a summary of an ordinance would it 
clearly inform tells the public of the its intent and effect 
of the ordinance, the town board may by a.  The text of the 
ordinance, if published, must be in body type no smaller than 
brevier or 8-point type as specified in section 331.07. 
    Subd. 3.  [IF SUMMARY PUBLISHED.] The town board must 
approve the words in the summary.  The decision to publish only 
the title and a summary must be made by a two-thirds vote of its 
members, or a three-member board and a four-fifths vote in a 
town having of a five-member board direct that only the title of 
the ordinance and a summary be published with.  A notice must be 
published with the summary.  The notice must say that a printed 
copy of the whole ordinance is available for inspection by any 
person during the clerk's regular office hours of the town clerk 
and any other location which the town board designates at 
another named place.  The publishing of the title and summary is 
legally the same as publishing the whole ordinance.  
    Subd. 4.  [POSTING.] A copy of the entire text shall whole 
ordinance must be posted in the community library, if there is 
one, or if not,.  If there is no library, the whole ordinance 
must be posted in any other another public location which 
place that the town board designates.  Before the publication of 
the title and summary, the town board shall approve the text of 
the summary and determine that it clearly informs the public of 
the intent and effect of the ordinance.  The publishing of the 
title and summary shall be deemed to fulfill all legal 
publication requirements as completely as if the entire 
ordinance had been published.  The text of the ordinance shall 
be published in body type no smaller than brevier or eight-point 
type, as defined in section 331.07.  Proof of the publication 
shall be attached to and filed with the ordinance.  Every names. 
    Subd. 5.  [RECORDING.] An ordinance shall must be recorded 
in the town's ordinance book within 20 days after publication of 
the ordinance, or its title and summary, is published.  All 
ordinances shall be suitably entitled and shall be substantially 
in the style:  "The Town Board of Supervisors of ..... 
ordains:." Proof of publication must be attached to the recorded 
ordinance. 

                             ANIMAL POUNDS 
    365.13 [POUNDS POUNDMASTER NEEDED IF ELECTORS WANT POUND.] 
    When the A poundmaster must be chosen to run the pound if 
electors of any town determine at the an annual town meeting to 
maintain one or more pounds the same shall be under the control 
of such poundmasters as are chosen for that purpose decide to 
have a pound. 

                             TOWN BUILDINGS 
    365.14 [BOARD TO TAX FOR, CONTRACT FOR, MANAGE TOWN 
BUILDINGS HALL.] 
    When any town shall have authorized the purchase or 
building of a town hall or other building for its use and 
determined the amount of money to be raised for that purpose the 
A town board may levy a tax for the amount so authorized and 
make all necessary allowed by the town's electors to buy or 
build a building for the town's use.  The town board may enter 
into the contracts for purchasing or building the same and shall 
have the control and management thereof that are necessary to 
buy or build the building.  The town board shall manage the 
building. 

                      POLICE, FIRE, WATER SERVICE 
    365.15 [FIRE AND ELECTORS TELL BOARD HOW MUCH FOR POLICE 
PROTECTION; ACQUISITION OF APPARATUS, FIRE.] 
    The electors of each town shall have the power at any 
annual or special a town meeting to authorize may direct the 
town board to provide for police or fire protection or for 
police protection, or both, and for the purchase or acquisition 
of apparatus therefor, either by itself or jointly with any 
other town, city, or any number thereof, and for the maintenance 
and operation of such apparatus, and to determine the maximum 
amount of money to be raised in that year and each year 
thereafter for any or all of such purposes until changed in the 
same manner by the electors and get, operate, and keep up police 
and fire apparatus.  The board may act jointly with home rule 
charter or statutory cities and other towns in getting the 
apparatus.  The electors can also set the amount of money to be 
raised in one or more years for these purposes.  The amount can 
be changed at a subsequent later meeting. 
    365.16 [TAX LEVY; CONTRACTS; CONTROL OF APPARATUS BOARD TO 
TAX FOR, GET, MANAGE POLICE, FIRE GEAR.] 
    When the electors of any town have authorized the providing 
of apparatus for fire protection or for police protection, or 
both, or the maintenance and operation of such apparatus or 
both, and determined the amount of money to be raised therefor, 
the A town board may annually levy a the tax for the amount so 
authorized or for such lesser amount as the board may determine 
to be it decides is necessary and make all for police and fire 
apparatus and to operate and keep up the apparatus.  The tax 
must not be more than the amount that the electors allowed for 
the purpose.  The board may enter into any contracts necessary 
for providing the same to get, operate, and keep up the 
apparatus and shall have the control and management of the 
apparatus so provided, subject to control and management jointly 
with other towns or cities as herein provided.  If the apparatus 
is shared under section 365.17 with home rule charter or 
statutory cities or other towns, the control must be shared with 
them.  
    365.17 [ADJACENT TOWNS, JOINT APPARATUS JOINT FIRE 
EQUIPMENT WITH ADJACENT TOWNS.] 
    When the electors of two or more adjacent towns have 
authorized the providing of apparatus for fire protection and 
determined the amount of money to be raised in the respective 
towns for that purpose The town boards of such two or more 
adjacent towns may arrange for pooling pool the amounts raised 
by such the towns and for providing such apparatus and jointly 
get and for the maintaining of such keep up fire protection 
apparatus for the use of such the towns in common upon such.  
The town boards shall jointly agree on the terms and, conditions 
and subject to such rules and regulations as may be mutually 
agreed upon and, in such case, for their joint action.  The 
immediate control and management of the apparatus may 
be entrusted given to a committee composed made up of the 
chair chairs of each of the town boards.  The term of any such 
joint agreement may be any reasonable period must not exceeding 
run for more than ten years. 
    365.18 [NEARBY CITY, CONTRACTS BOARD LEVY FOR POLICE, FIRE 
GEAR AND PROTECTION.] 
    Subdivision 1.  When the electors of any town have 
authorized the providing of fire protection or police 
protection, or both, or apparatus therefor, and the maintenance 
and operation of such apparatus, determined the amount of money 
to be raised therefor, the A town board may annually levy a the 
tax for the amount so authorized or for such lesser amount as 
the board may determine to be necessary, and it decides is 
necessary for police and fire protection and apparatus, and to 
operate and keep up the apparatus.  The tax must not be more 
than the amount that the electors allowed for the purpose. 
    365.181 [CONTRACTED FIRE SERVICE; COST DATA; ASSESSMENTS.] 
    Subdivision 1.  [FROM COUNTY, CITY, OR VOLUNTEERS.] A town 
board may enter into a contract for fire protection and 
operation and upkeep of fire apparatus with the town's county in 
which the town is located or with any or a nearby home rule 
charter or statutory city, or with any.  The town board may also 
enter into the same kind of contract with a volunteer fire 
department or association if the volunteer fire department or 
association is not established, by charter or ordinance as, an 
official part of a city government for the furnishing of such 
fire protection within the limits of the town and for the care, 
maintenance and operation of such apparatus, on such.  The 
parties shall mutually agree on the terms and conditions as 
mutually may be agreed upon.  The term of any such contract may 
be any reasonable period not exceeding of the contract but the 
contract must not run for more than ten years.  
    Subd. 2.  [PROVIDER COST DATA.] In the event that no tax is 
levied or in the event that the proceeds of the tax levied 
pursuant to subdivision 1 for fire protection are insufficient 
to reimburse the town for the amount expended for fire 
protection service pursuant to a contract during any year, the 
town board may levy annually upon each parcel of real estate in 
the town which required fire services during the year an 
assessment for fire protection, not to exceed the actual cost of 
such service, but no such assessment shall be made except upon 
ten days mailed notice by the town board to the owners of the 
parcels proposed to be assessed, which notice shall indicate the 
time and place the town board will meet to consider the 
assessment.  Determination of ownership shall be made on the 
basis of the records of the county auditor.  Such assessment 
shall be a lien upon such parcel of real estate and shall be due 
and payable to the town treasurer 30 days after said levy.  Any 
assessment which is not paid when due, shall be certified by the 
treasurer of the town, together with a description of the real 
estate affected, to the county auditor, who shall add the amount 
of the assessment plus a penalty of ten percent to the tax rolls 
of such parcel of such real estate and extend and collect such 
total amount of the assessment with other real estate taxes for 
the next subsequent year.  
    Subd. 3.  Where a municipality A town that has contracted 
with entered into a contract or enters into contract 
negotiations is negotiating with a town to furnish municipality 
for fire services pursuant to under this section, it shall 
provide the town with such may ask the municipality for cost 
data relating to fire protection as requested.  The town may 
also ask for a copy of each existing fire protection 
contract the municipality has with other political 
subdivisions shall be provided upon request.  The municipality 
shall provide the requested data and contracts.  
    Subd. 3.  [USER ASSESSMENTS; NOTICE; PROCEDURE.] If a tax 
is not levied under section 365.18 or if the tax does not raise 
enough to pay for a year's contracted fire service the town 
board may levy an assessment for fire service.  The assessment 
must be levied on each real estate parcel that required fire 
service during the year.  The assessment must not be more than 
the cost of service.  The parcel owners must be given ten days' 
mailed notice of the time and place of the town board meeting 
that is called to consider the assessments.  The county 
auditor's records must be used to determine ownership of the 
parcels.  
    Subd. 4.  [LIEN, PENALTY.] The assessment is a lien on the 
assessed parcel and is due and payable to the town treasurer 30 
days after the assessment levy.  A parcel's assessment that is 
not paid when due must be certified by the town treasurer to the 
county auditor.  The auditor shall add the assessment plus a ten 
percent penalty to the real estate taxes on the parcel for the 
next year.  
    365.19 [TAX LEVY, LIMIT RELATION OF LEVIES HERE TO FORESTRY 
ACT, LEVY.] 
    Subdivision 1.  [NOT LIMITED BY FORESTRY LEVY.] Nothing in 
sections 365.15 to 365.18 shall be construed so as to modify, 
abridge, or repeal Laws 1925, Chapter 407.  Any A levy hereunder 
shall be separate and distinct from, and under sections 365.15 
to 365.18 is in addition to, the levy and the amount of tax 
authorized in any one year pursuant to under section 88.04. 
    Subd. 2.  [FORESTRY ACT NOT AFFECTED.] Sections 365.15 to 
365.18 do not affect Laws 1925, chapter 407, known in part as 
the forestry act and coded in Minnesota Statutes, chapters 88 
and 89.  
    365.20 [MAY PROVIDE FIRE PROTECTION, POLICE, 
FIRE, PROTECTION, AND USE OF ROADS, STREETS, AND GROUNDS FOR 
WATER MAINS IN CERTAIN PLATTED TOWNS.] 
    Subdivision 1.  [OPT AT ELECTION OR ANNUAL MEETING.] The 
electors of any town in which the assessed valuation of the 
platted lands thereon equals or exceeds If 50 percent or more of 
the total assessed valuation of all the lands of such towns, 
exclusive of mineral valuations, shall have power, at a special 
election called for that purpose or at the regular annual 
meeting, to authorize in a town is platted land, the electors 
may let the town board: do what is described in this section.  
Mineral valuation must be excluded in figuring the percentage.  
The electors must act at a special election called for the 
purpose or at the annual meeting. 
    Subd. 2.  [FIRE PROTECTION AND EQUIPMENT.] (1) To The 
electors may let the town board provide for fire protection and 
apparatus therefor; for the town. 
    Subd. 3.  [POLICE PROTECTION.] (2) To The electors may let 
the town board provide for police protection;. 
    Subd. 4.  [PUBLIC LAYOUT FOR WATERWORKS.] (3) To allow, 
permit, prohibit, and limit The electors may let the town board 
regulate the use of its the town's roads, streets, and public 
grounds for water mains, with all and necessary pipe, hydrants, 
and other appliances and means; and. 
    Subd. 5.  [BUILD WATERWORKS; CONTROL SERVICE, FAIR 
RATES.] (4) To empower The electors may let the town board to 
build and construct water mains, with all the and necessary 
pipe, hydrants, and other appliances for the purpose of 
providing to provide water for to the inhabitants thereof, 
upon such residents of the town.  The town board may set the 
terms and conditions as may be imposed by such town board, and 
upon the condition that of the water service.  The water rates 
charged to the inhabitants of such town residents and the public 
shall be must be just and reasonable and.  The rates must not 
exceeding exceed a fair return upon on the fair value of the 
property used for such the purpose, for a period of not more 
than 20 years. 
    365.21 [SPECIAL ELECTION FOR POLICE, FIRE, WATER.] 
    Subdivision 1.  [BY BOARD OR PETITION.] A special 
election of the electors of such town may be called, for the 
purpose of voting upon any of the propositions set forth in to 
vote on a question under section 365.20, by the town board, upon.
The town board calls the election.  It may call one on its 
own motion, or shall be called by the town board upon a petition 
of but it must call an election if 20 percent of the qualified 
electors of such the town, based upon petition for it.  The 
percentage is of the number of such electors as shown by on the 
poll list of voters at the next preceding last election prior to 
the making of the petition.  
    Subd. 2.  [NOTICE.] The clerk shall post notice of the 
election shall be given by posting notice thereof in three of 
the most public places in the town, specifying the propositions 
upon which.  The notice shall list the questions the electors 
are to vote, as follows: on. 
    Subd. 3.  [QUESTIONS.] A special election under this 
section may answer one or more of the questions in this 
subdivision.  
    (1) (a) Shall the town board be authorized allowed to 
provide for fire protection and apparatus therefor?; 
    (2) (b) Shall the town board be authorized allowed to 
provide for police protection?; 
    (3) (c) Shall the town board be authorized allowed to grant 
a franchise for waterworks for the purpose of supplying the 
inhabitants to supply the residents of the town and the public 
with water?; 
    Or as many of such propositions as are to be voted upon at 
such election. 
    365.22 [CONDUCT OF ELECTION; BALLOTS, VOTING, HOURS.] 
    Subdivision 1.  [LIKE REGULAR TOWN ELECTION.] Every such A 
special election shall under section 365.21 must be conducted 
run in the same manner as way that elections by ballot at the 
regular town election are run.  
    Subd. 2.  [QUESTIONS, BALLOT DETAILS.] The propositions 
questions to be voted upon shall on must be separately 
stated upon on the ballots, as specified worded in section 
365.21 and opposite.  Two squares, one above the other, must be 
put just below each proposition shall be placed two 
squares, question with the words word "yes" beside the upper 
square and the word "no" set opposite each beside the lower 
square, as follows:  
    "Yes .......... 
    No ............" 
    and each.  
     Subd. 3.  [VOTING.] An elector shall must vote separately 
on each proposition by making a cross in the square indicating 
whether the elector desires to vote "yes" or "no" on the 
proposition question for the elector's vote to be counted on 
that question.  To vote "yes" on a question, the elector shall 
mark an "X" in the square beside the word "yes" just below the 
question.  To vote "no" on a question, the elector shall mark an 
"X" in the square beside the word "no" just below the question. 
    Subd. 4.  [HOURS.] The polls shall must be open from 9:00 
a.m. to 7:00 p.m., and 
    Subd. 5.  [MUNICIPAL ELECTION LAW APPLIES.] In all 
other respects matters the election shall must be conducted 
run and the votes canvassed as the way elections by ballot, as 
provided in are run under sections 205.01 to 205.17. 
    365.23 [POWERS TO BE EXERCISED ONLY AT TOWN MEETING FOR 
SECTION 365.20 SPENDING, PACTS, TAX.] 
    In case any of the powers set forth in After getting 
general authority to do something under section 365.20 shall be 
granted to any such town board by the electors in the manner 
aforesaid, the town, a town board shall not have any authority 
to must not spend money therefor or to, enter into any a 
contract, or levy any a tax for any such purposes unless the 
same be authorized at the annual that purpose without specific 
authority from a town meeting, except that whenever the electors 
vote to authorize any town board to exercise any of such powers 
in any year after.  The specific authority is to be given at the 
annual town meeting, a special town meeting may be called upon 
ten days notice, and such special town meeting shall have the 
same authority in respect to voting for these purposes as the 
electors at an annual town meeting if still possible in the year 
the general authority is voted in.  Otherwise, a special meeting 
to decide whether to give the town board the specific authority 
may be called on ten days' notice. 
    365.24 [ELECTION TO REVOKE POWERS GRANTED ELECTION MAY 
REVOKE EARLIER GRANT OF POWER.] 
    The electors of any such a town may, by an election called 
and held, as hereinbefore provided, revoke any authority of such 
town theretofore granted under section 365.20 given by vote of 
such electors, as aforesaid; and, in any such case, if such 
election results in a revocation of any of such powers, the town 
board shall no longer exercise the same them to the town board.  
The revocation must be made in an election held under section 
365.21. 
    365.243 [COUNTY FIRE PROTECTION FOR SERVICE TO UNORGANIZED 
TOWNSHIPS TERRITORY.] 
    Subdivision 1.  [PERMISSIVE.] In any A county of this state 
containing one or more unorganized townships the county board 
may provide fire protection for such to its unorganized township 
or townships territory and may levy taxes upon on the property 
in such the unorganized township or townships territory for 
such that purpose.  
    Subd. 2.  [NO ELECTION NEEDED.] Under sections 365.15 to 
365.18, and 365.20, a county board acts for its unorganized 
territory within its county and no.  The county board does not 
need to get authority from the electors of such the territory to 
the county board is required; any act.  An act of a county board 
in providing fire protection in and levying taxes therefor for 
that protection in unorganized territory is as valid to the same 
extent as a similar act of a town board of an organized township 
duly authorized by the acting on authority granted by its 
electors of the town. 

                            TOWN CEMETERIES 
    365.26 [CEMETERIES LAND; BOARD CONTROL; SALE OR LEASE; CITY 
AID.] 
    Subdivision 1.  [VOTE FOR LAND.] When authorized by a vote 
of its A town's electors any town may acquire by purchase, 
vote to let the town buy, condemn or receive a gift or 
condemnation of land or additional lands within its limits the 
town to be used as a cemetery.  
    Subd. 2.  [BOARD MAY RUN, SPEND FOR.] The town board shall 
control, and may establish rules for, the cemetery and may 
expend spend town funds for the care, maintenance and operation 
of its money to run and keep up the cemetery.  The town board 
may determine those eligible for burial in the cemetery and 
establish other policies for the cemetery.  The town board shall 
have control and management of every such cemetery, and may lay 
the same out the cemetery into lots, streets, and walks, 
and cause order that plats and maps thereof to of the cemetery 
be made and filed in the office of the town clerk clerk's office.
    Subd. 3.  [WHOM TO BURY.] The town board may decide who may 
be buried in the cemetery.  
    Subd. 4.  [SALE TO CITY, IF PART OF.] If any such a town 
cemetery becomes separated from the town by being included in 
part of the territory of a statutory city thereafter organized 
from its territory, it, the cemetery may be sold and conveyed by 
the town board to such statutory the city.  
    Subd. 5.  [SALE OR LEASE TO CORPORATION.] When authorized 
by a vote of its A town's electors at a town meeting may vote to 
let the town may sell or lease any part of such its cemetery 
to a charitable, religious, or cemetery corporation upon the 
terms and conditions expressed in such authorization, but.  The 
vote must be taken at a town meeting.  The terms and conditions 
of the sale or lease must be included in the voted authorization.
The part so sold or leased shall must continue to be used for 
burial purposes burials.  
    Subd. 6.  [AID, BURIALS FROM CITY.] Upon receipt of a 
resolution of the A town board requesting financial may adopt a 
resolution asking for aid for maintenance of a from a statutory 
city within the town's boundaries to maintain the town 
cemetery,.  The board shall send the resolution to the city.  
The statutory city council of any statutory city located within 
the boundaries of such town may, in its discretion, appropriate 
from moneys not required for other purposes and then pay to the 
town for maintenance of such town cemetery a sum from money not 
otherwise needed not to exceed more than $500 per annum, 
provided that burial of the dead of the statutory city is 
permitted in such cemetery, and a year to maintain the 
cemetery.  The town board is authorized to grant such permission 
on such terms and with such limitations as it shall from time to 
time prescribe must then allow burials of the city's dead.  The 
board may set terms for, and limits on, the burials. 
    365.27 [SALE OF LOTS LIMITED; PROCEEDS WHERE MONEY GOES.] 
    Subdivision 1.  [FOR ALLOWED BURIALS ONLY.] Lots of such 
cemetery may be sold by the town A town's board may sell a lot 
in its cemetery for burial of only for the burial of those 
permitted by the board and, upon sale, shall to be buried 
there.  The lots must be conveyed in like manner as its other 
real estate is conveyed.  
    Subd. 2.  [MONEY TO CEMETERY FUND.] Proceeds of all sales 
shall Money from the sale of town cemetery lots must be paid 
into the town treasury, and shall constitute.  The money makes 
up a fund to be used only in maintaining, improving, and 
ornamenting such to keep up, improve, and ornament the cemetery. 
    365.28 [PUBLIC BURIAL GROUNDS GROUND IS TOWN'S AFTER TEN 
YEARS.] 
    When any A tract of land in a town, title to which is not 
vested in some cemetery association, becomes town property after 
it has been used as a public burial ground for ten years the 
title thereto shall be deemed vested in such town and the same 
shall be subject to the if the tract is not owned by a cemetery 
association.  The town board shall control and management of the 
town board of such town in like manner the burial ground as it 
controls other town cemeteries. 
    365.29 [PERMANENT FUND FOR PART OF LOT PRICE GOES TO 
CEMETERY PURPOSES FUND.] 
    The A town's board of supervisors of any town in the state 
which has heretofore purchased land for, and which is now used, 
or may be hereafter purchased and used, as a cemetery therein, 
may require and provide that any part or portion of the price 
paid for lots therein shall constitute a lot in its cemetery 
goes into a permanent fund, which shall.  The money in the fund 
must be deposited, as provided in under section 365.32, and that 
the.  Interest accruing thereon shall from the fund must be paid 
annually to the cemetery's directors of the cemetery to be by 
them expended in caring for and beautifying such.  The directors 
shall spend the money to care for and beautify the lot.  The 
amount spent on a lot must be in the same proportion which the 
amount set aside from the lot bears to that the part of the 
price put in the fund from the sale of that lot is of the total 
amount in the fund. 
    365.30 [SUPERVISORS TO FIX PRICE BOARD SETS LOT CARE SHARE, 
HOW INTEREST USED.] 
    The A town's board of supervisors is hereby given power and 
authority to fix and determine the amount of such may decide the 
share of its cemetery lot price of each such lot sold that shall 
be taken, held, and deposited, for the purpose of that is for 
caring for and beautifying the lot and the cemetery and to 
direct and require.  The board may also require the cemetery 
directors of the cemetery to expend spend the interest on the 
same share as provided in set out in sections 365.29 to 365.36. 
    365.31 [GIFTS GIFT FOR CEMETERY OR LOT; USE INTEREST FOR 
CARE.] 
    The town A town's board of supervisors and the directors of 
its cemetery, and each thereof, are hereby authorized and 
empowered to receive, may accept, and deposit, as provided in 
sections 365.29 to 365.36, any donation or a gift of money made 
to such the cemetery fund so created and to provide and 
require.  They may require that the interest therefrom shall 
from the deposit of the gift be used by the directors in the to 
care for and beautifying of such lot or beautify the cemetery or 
its lots in such cemetery, or in the care and beautifying of 
such cemetery, and may receive and accept gifts and donations 
for the care and beautifying of any particular lot or lots in 
such cemetery, and shall use the same and the interest thereon 
for the purpose specified by the donor.  If a donor gives a gift 
for use of a specific lot, the board or the directors may accept 
the gift and then shall use it and interest on it on that lot. 
    365.32 [TO DEPOSIT MONEY WITH COUNTY TREASURER BOARD MAY 
HAVE LOT MONEY GO TO COUNTY TREASURER.] 
    The A town's board of supervisors is hereby authorized and 
empowered to may require the directors of any such cemetery its 
cemetery's directors to immediately deposit all such money in 
the county treasury of the county in which such town is located 
immediately after the sale and receipt by them of payment for 
any lot sold in such cemetery, or the receipt of any such money 
from the sale of a cemetery lot or from a gift or donation, and 
for the cemetery fund.  The county treasurer of any such county 
is hereby authorized, empowered, and directed to receive the 
same and all such and shall immediately deposit it as provided 
in sections 365.29 to 365.36.  These funds, and all thereof, as 
soon as received by such county treasurer, shall be deposited in 
a bank designated as a depository of county funds by the county 
board of such county the money in the county's depository as 
directed in section 365.33. 
    365.33 [INTEREST; USE HOW COUNTY TO TREAT TOWN CEMETERY 
MONEY.] 
    Subdivision 1.  [LIKE OTHER FUNDS.] For the purpose of such 
deposit, Deposits into the fund so created shall set up under 
section 365.29 must be treated as the way other funds in the 
county treasury, except as herein otherwise provided, and draw 
no less are treated.  The deposit must not earn a lower rate of 
interest than is paid on the county funds of the county 
deposited in the depository; provided that.  
    Subd. 2.  [TIME CERTIFICATES.] The board of directors of 
the a cemetery association may require all or part of the 
funds money to be deposited on in time certificates in the 
depository.  The certificates must be in the name of the county 
treasurer, and must be payable to the county treasurer or 
successors in office, and.  The county treasurer shall secure on 
such time deposit get the highest rate of interest which that 
the depository will pay thereon and on the time certificates.  
The interest rate must not be less than the current rate paid on 
time certificates by such the depository; and for such principal 
and interest so deposited on time certificates,.  The county 
treasurer shall be liable in the same way and manner and to the 
same extent that the treasurer is liable upon official bond for 
moneys deposited on behalf of the county is just as liable on 
the county treasurer's bond for the principal and interest on 
the time certificates as for deposits of county money. 
    Subd. 3.  [SEPARATE SECURED ACCOUNT.] The town's cemetery 
fund shall money must be deposited in such the depository in the 
name of such the county and.  The bond or security given to the 
county by such the depository shall be taken and held to be as 
is security for such the fund, but money.  The county 
treasurer of such county shall keep an accurate and separate 
account thereof and draw from such depository of the fund money. 
     Subd. 4.  [WITHDRAWAL, USE OF INTEREST.] Annually the 
county treasurer shall withdraw the interest accruing earned on 
such the fund money and pay the same it to the board of 
directors of the cemetery and.  The board of directors shall 
may use the interest only for the purposes of sections 365.29 to 
365.36 and none other. 
    365.34 [TRANSFER OF FUND IF DEPOSITORY CHANGED, FUND TO BE 
CHANGED.] 
    It is hereby made the duty of the treasurer of any such 
When a county, when any change is made in the changes its 
depository of the funds of any such county, to change and 
transfer to such new depository the fund provided for in 
sections 365.29 to 365.36 and, the county's treasurer shall 
deposit such fund its towns' cemetery funds in such the new 
depository. 
    365.35 [DISPOSAL OF EXCESS FUND PRINCIPAL, EXTRA INTEREST 
NEVER TO BE USED.] 
    Any excess of The principal of a town's cemetery fund must 
never be used.  Interest over the sum necessary for the care and 
beautifying of the earned by the fund that is not needed to care 
for or beautify the cemetery or its lots or cemetery in any one 
year shall be by the directors deposited in such treasury to be 
must be added to and become a part of the principal sum and no 
part of the principal sum shall ever be used by the cemetery's 
directors. 
    365.36 [INVESTMENT OF CEMETERY FUND.] 
    Subdivision 1.  [LIKE SCHOOL FUND.] The board of 
supervisors, by and through the board of A cemetery's directors 
of the cemetery association, if there shall be a board of 
directors thereof, and if there shall not be a board of 
directors thereof, then acting as a or, if none, the town 
board of supervisors, shall invest the fund so created principal 
of the cemetery fund in the same kind of bonds and securities as 
that the permanent school fund of the state may be invested 
in and for such purpose and none other.  This law, as it shall 
exist at the time any money is received into this fund, shall 
control section controls the investment thereof and such of the 
principal of the fund shall be invested only as the law provides 
at the time of the receipt of the money into the fund, and no 
subsequent amendment or change in this law shall authorize the 
investment of any fund differently or in any other class of 
securities save as provided in this law when the money is 
received into the fund. 
    Subd. 2.  [COUNTY TREASURER'S DUTIES.] The town board of 
supervisors and the cemetery directors may require the county 
treasurer of any such county to withdraw all or any part of such 
fund money from such the depository for investment, as 
hereinbefore provided, and if the fund, or any part thereof, be 
so invested, under this section.  The bonds or other securities 
shall be and invested in must remain with the county 
treasurer and.  The bond of the county treasurer shall at all 
times be is security for the proper care thereof and of the 
securities.  The bond is also security for the payment to the 
cemetery directors of interest earned by the securities and 
received by the treasurer thereon to the directors of the 
cemetery, and upon payment of any such bonds or other.  On 
receiving payments on the securities the county treasurer of 
such county, upon such payment, shall deposit the same payments 
in the county depository in which county funds are deposited,.  
The county treasurer also shall collect the interest upon the 
funds so on money loaned and from the fund.  The county 
treasurer shall then pay the same the money received and 
collected to the directors of the cemetery whenever requested so 
to do and when they ask for it.  Annually the county treasurer 
shall pay over to the directors of the cemetery directors all 
interest on money collected or received by the treasurer or 
collected on funds so money deposited or invested as provided in 
under sections 365.29 to 365.36.  
    Subd. 3.  [TREASURER'S REPORT AND STATEMENTS.] On or Before 
the first day of March 2 each year, the county treasurer shall 
make a report to the town board of supervisors of the town, 
setting forth.  The report must have a statement of all 
moneys money received by the treasurer under the terms of 
sections 365.29 to 365.36 during the preceding last calendar 
year and set forth in detail a.  The statement of must include:  
    (1) the amount of money and the amount of securities in the 
permanent fund on the first day of the calendar year and the 
amount of securities in the fund on the first day of the 
calendar year,; 
    (2) the amount of money paid into the fund during the year,;
    (3) the amount of money invested in securities in the year, 
a statement; 
    (4) the amount of the money and the amount of securities 
held in the fund at the end of the calendar year and the amount 
of money in the fund at the end of the calendar year, a 
statement of; 
    (5) the amount of interest collected on the fund and turned 
over to the directors,; and a statement of the excess, if any, 
of 
    (6) the amount of excess interest over the sum necessary 
for the care and beautifying of the lots which the returned by 
the directors, shall have deposited in the treasury to be, and 
added to and made a part of the permanent fund. 

                BID REQUIREMENTS, CONFLICTS OF INTEREST 
    365.37 [CONTRACTS; LET ON CONFLICTS, BIDS, OFFICERS NOT TO 
BE INTERESTED EMERGENCIES, PENALTY, REMOVAL.] 
    Subdivision 1.  [NO CONFLICTS; EXCEPTIONS.] Except as 
provided in sections 471.87 to 471.89, no supervisors, town 
clerk, or town board shall become a supervisor, town clerk, or 
town board must not be a party to, or be directly or indirectly 
interested in, any a contract made or payment voted by the town 
board and all contracts.  
    Subd. 2.  [TO LOWEST RESPONSIBLE BIDDER.] A contract let on 
bid shall must be let to the lowest responsible bidder after ten 
days public notice, posted in the three most public places in 
the town or published for two weeks in a newspaper generally 
circulated in the town,.  
    Subd. 3.  [NOTICE.] Before a contract is let on bid, ten 
days' public notice of the time and place of receiving bids must 
be given.  The notice must be posted in the three most public 
places in the town or published for two weeks in a newspaper 
generally circulated in the town. 
    Subd. 4.  [SPECIAL EMERGENCY EXCEPTION.] In cases of If a 
special emergency comes up, a contract may be let without the 
notice being given or sealed bids solicited competitive bidding. 
A special emergency, for the purposes of this section, is a 
situation where requiring immediate action must be taken, 
essential to the health, safety, or welfare of the community 
town.  
    Subd. 5.  [VIOLATION; MISDEMEANOR AND REMOVAL.] Every A 
contract made and or payment voted or made contrary to the 
provisions of this section shall be is void and any such.  A 
town officer violating the provisions of who violates this 
section shall be is guilty of a misdemeanor and, in addition to 
the provisions prescribed by law, removed from and must leave 
office. 

                      CLAIMS, LAWSUITS, JUDGMENTS 
    365.38 [FILING CLAIMS; DEMAND NOTIFY CLERK BEFORE SUIT; 
WAIT 30 DAYS ON ORDER.] 
    Subdivision 1.  [ON MOST MONEY CLAIMS; EXCEPTIONS.] No If 
an action upon any on a claim or cause of action for which a 
can demand only a money judgment only is demandable, except upon 
town orders, bonds, coupons, or written promises to pay money, 
shall be maintained the action cannot be brought against any a 
town unless until a statement of such the claim shall have 
been is filed with the town clerk.  Filing is not required for 
actions on a town order, bond, coupon, or written promise to pay 
money. 
    Subd. 2.  [TOWN ORDERS.] No An action shall cannot be 
brought upon any on a town order until the expiration of 30 days 
31st day after payment thereof has been of the order is demanded.
    365.39 [ACTIONS LAWSUIT WITH TOWN AS PARTY IS LIKE ANY 
LAWSUIT.] 
    Actions and proceedings between towns, or between a town 
and an individual or a corporation, shall be begun, tried, and 
conducted in the same manner, and a judgment therein shall have 
a like effect, as in similar actions and proceedings An action 
or proceeding with a town as a party must be handled as other 
actions and proceedings are handled.  A judgment has the same 
effect as a judgment in a similar action or proceeding between 
individuals. 
    365.40 [ACTIONS, IN WHAT NAME TOWN NAME IN SUIT; EXCEPTION; 
SERVICE; DEFENSE.] 
    Subdivision 1.  [TOWN OR OFFICERS NAMED.] In all actions or 
proceedings the town shall sue and be sued in its name, except 
where that town officers are authorized to may sue in their 
official names for its the town's benefit.  
    Subd. 2.  [SERVE CHAIR OR CLERK.] In every an action 
against a town, process and papers shall must be served on the 
chair of the town board or on the town clerk; and such. 
    Subd. 3.  [CHAIR DEFENDS, TELLS BOARD.] The chair shall 
attend to the defense of see that the action, and lay before is 
defended.  The chair shall also give the town board of 
supervisors at the first meeting a full statement of the 
facts relating thereto for its direction in defending about the 
action or proceeding so that the board can decide how to defend 
it.  The statement must be given at the first board meeting 
after the town is served. 
    365.41 [JUDGMENTS JUDGMENT AGAINST TOWNS TOWN; PAYMENT; 
EXECUTION.] 
    Subdivision 1.  [PAID BY TOWN TREASURER.] When A judgment 
is recovered against a town, or against any a town officer in an 
action against the officer in an official capacity, no execution 
shall be issued thereon; but, unless reversed or stayed, it 
shall must be paid by the town treasurer upon on demand and 
the delivery of if there is enough unappropriated money on 
hand.  The demand is made by giving the town treasurer a 
certified copy of the docket thereof, if the treasurer has on 
hand sufficient town money not otherwise appropriated of the 
judgment.  An execution of the judgment must not be issued at 
this time. 
    Subd. 2.  [UNPAID IF STAYED, APPEALED.] If the judgment is 
reversed or stayed the town treasurer must not pay it.  
    Subd. 3.  [PERSONALLY LIABLE.] A treasurer failing to do so 
shall be personally liable If a town has enough money but its 
treasurer does not pay the judgment, the treasurer is liable for 
the amount, unless the collection thereof is afterwards of the 
judgment.  The personal liability is removed if the collection 
of the judgment is later stayed upon on appeal.  
    Subd. 4.  [TAX LEVY; EXECUTION, IF NOT PAID.] If payment is 
not made the town does not have enough money on hand to pay the 
judgment the town shall levy to pay it.  The town treasurer then 
must pay the judgment within 30 days after the time fixed by law 
for the county treasurer to has to pay over to the town 
treasurer the levy money on hand belonging to the town levied 
for the purpose of paying such judgment, treasurer.  If the 
payment is not made by then, execution on the judgment may 
issue, but be made.  Only town property shall be is liable 
thereon on the execution. 
    365.42 [TAX TO PAY AMOUNT OF UNPAID JUDGMENT ADDED TO TAX 
LEVY.] 
    If a judgment for the recovery of money is rendered against 
a town, and is not satisfied or proceedings thereon stayed 
before the next annual town meeting, upon presentation of A 
certified copy of the docket of such an unsatisfied money 
judgment to such may be presented to the first annual town 
meeting after the judgment is rendered.  If proceedings on the 
judgment are not stopped the town board shall then add the 
amount of the judgment to the tax levy for that year the amount 
of such judgment. 

                   YEARLY TAX, SPENDING, DEBT LIMITS 
    365.43 [YEARLY ASSESSED TAXES TO LIMIT DEBTS AND 
EXPENDITURES; EXCEPTION NO DEBT, SPENDING BEYOND TAX LIMIT 
WITHOUT VOTE.] 
    Subdivision 1.  [LEVIED AMOUNT IS SPENDING LIMIT.] No A 
town shall must not contract debts or make expenditures for any 
one spend more money in a year exceeding in amount than the 
taxes assessed levied for such the year, unless such debt or 
expenditure is authorized by the without a favorable vote of a 
majority of the town's electors of such town, and no taxes in 
excess of the amounts authorized by law shall be levied by any 
town in any one year. 
    Subd. 2.  [LAW LIMITS LEVIED AMOUNT.] A town must not levy 
more taxes in a year than are authorized by law. 
    365.431 [AMOUNT VOTED AT MEETING IS TAX LIMIT.] 
    The tax for town purposes must not be more than the amount 
voted to be raised at the annual town meeting. 

                     SEPARATION FROM STATUTORY CITY 
    365.44 [SEPARATION FROM A STATUTORY CITY FIFTY VOTER 
PETITION; BALLOT AT TOWN MEETING.] 
    Upon filing with the clerk of any town of a notice, signed 
by not less than 50 town voters residing either within or 
without the statutory city to be separated stating that The 
question of the separation of the whether a town is to be 
separated for all purposes from any a statutory city located 
within the town will may be voted upon on at the next town's 
annual town meeting,.  This section must be followed for the 
separation to take place.  At least 50 of the town's electors 
must sign a notice stating that the question will be voted on at 
the next annual meeting.  The signers may reside within or 
outside the city.  The notice must be filed with the town 
clerk.  The clerk shall insert include the statement question 
in the notice of the meeting, and.  The question shall must then 
be voted upon on by a ballot.  If a majority of the votes cast 
upon the proposition be on the question are in favor of the 
separation, the town shall be is separated from the statutory 
city for all purposes.  Only voters residing without outside the 
statutory city may vote upon on the question at the town meeting.

                          DISSOLUTION OF TOWNS 
    365.45 [DISSOLUTION OF TOWNS BY COUNTY IF ASKED, OR ON ITS 
OWN IF TAXES LATE.] 
    Subdivision 1.  [RESOLUTION; NOTICE.] A town is dissolved 
when its county board adopts a resolution to dissolve it.  The 
county auditor shall give ten days' notice of the meeting that 
will consider the resolution.  The notice must be given by 
publishing it in the newspaper that publishes the county board's 
proceedings. 
    Subd. 2.  [TWO WAYS.] There are two ways for the matter of 
town dissolution to come before the county board:  by town vote 
or by county board initiative. 
    Subd. 3.  [FIRST:  TOWN VOTE.] When the A town's electors 
of any town, at the annual meeting, or at a special meeting 
called for that purpose, shall have voted, may vote by ballot, 
to dissolve the town organization hereunder,.  The town town's 
board thereof shall adopt a resolution setting forth such facts 
and asking for the dissolution of the town; and then shall ask 
the county board to dissolve the town.  When the town board 
asks, it shall tell the county board how many electors voted for 
and how many voted against the dissolution.  The vote must be 
taken at an annual meeting or at a special meeting called for 
the purpose.  A copy of the resolution asking for the 
dissolution, duly certified by the town clerk, shall must be 
presented to the town's county board of county commissioners of 
the county in which such town is located, such board of county 
commissioners may, or whenever. 
    Subd. 4.  [SECOND:  BY COUNTY INITIATIVE.] A county board 
may take up a town's dissolution on its own.  To do so, the tax 
delinquency in any the town exceeds must be more than 70 percent 
in any one year, the board of county commissioners of the county 
wherein such town is situated, on its own initiative, may, by 
resolution, dissolve such.  
    Subd. 5.  [HOW TERRITORY TO BE GOVERNED.] In dissolving a 
town and the county board may attach the town's 
territory formerly embraced therein to an adjoining town or 
towns, or provide for the government of such territory govern it 
as unorganized territory of the county.  
     Subd. 6.  [APPROVAL OF JOINED TOWN.] If such dissolved 
territory of the dissolved town is added to an adjoining town 
the proposal therefor shall addition must first have the 
approval of be approved by a five-eighths majority of the those 
voting electors of such town to which the dissolved territory is 
added. Upon the adoption of the resolution by the county board 
such town shall be dissolved and no longer entitled to exercise 
any of the powers or functions of an organized town.  The county 
auditor shall give ten days notice, by one publication in the 
paper in which the proceedings of the county board are 
published, of the meeting of the county board at which such 
petition will be considered on the question in the adjoining 
town. 
    365.46 [COPY OF RESOLUTION FILED WITH NOTICE TO SECRETARY 
OF STATE, OTHERS; RECORDING.] 
    Subdivision 1.  [BY COUNTY AUDITOR.] The county auditor 
shall immediately send a certified copy of the resolution of the 
county board board's declaring such town to be dissolved shall 
forthwith be forwarded by the county auditor resolution 
dissolving a town to the secretary of state, who shall, on 
receipt thereof, make an appropriate.  The secretary of state 
shall then record of the dissolution of such town.  
     Subd. 2.  [COPIES.] The county auditor shall also provide 
send a copy of the notice of the dissolution to:  (1) the state 
demographer, (2) the land management information center, (3) the 
Minnesota municipal board, and (4) the commissioner of 
transportation. 
    365.47 [COUNTY'S DISPOSAL OF TOWN'S FUNDS; DEBT LEVY.] 
    Subdivision 1.  [THIS SECTION CONTROLS.] Any funds 
belonging to the town remaining A dissolved town's money that 
remains in or thereafter coming comes into the county 
treasury of the county in which such town was located shall must 
be disposed of in the following manner: under this section. 
    Subd. 2.  [ROAD AND BRIDGE.] Any Money in the road or and 
bridge fund shall must be expended spent by the county board 
of such county for road and bridge improvements wholly within 
the limits of such town; any other funds of such.  
    Subd. 3.  [REMAINDER FOR DEBT.] The county auditor shall 
use all other town shall, by the auditor of such county, be used 
money to pay all outstanding bonds, warrants, or and judgments 
against the town.  
    Subd. 4.  [IF SHORT, LEVY, BOND.] If the funds so remaining 
are not sufficient the county does not have enough town money to 
pay such the holders for the outstanding bonds, warrants, or and 
judgments, then, upon the holders may petition of the holders 
thereof, the county auditor for a levy.  The county auditor 
shall spread enough of a tax levy against the taxable property 
of the town in an amount sufficient to pay the same, which the 
holders off.  The levy shall must not exceed be more than the 
maximum amount which that the town would have been authorized to 
could levy for the purpose of paying such indebtedness to pay 
those debts if it had not been were not dissolved.  If the one 
levy shall does not be sufficient raise enough money to pay off 
such the bonds, warrants, or and judgments, the county auditor 
shall spread successive annual levies in to pay them off.  The 
levies must be for the maximum amount which that the town would 
have been able to could levy for such the purpose if it had 
not been were not dissolved.  The levy must be made until such 
the warrants, bonds, or and judgments are paid in full, unless 
bonds are issued therefor as provided in for them under section 
365.48. 
    365.48 [PAYMENT OF INDEBTEDNESS COUNTY MAY BOND TO PAY DEBT 
OF DISSOLVED TOWN.] 
    Subdivision 1.  [IF YEAR'S LEVY NOT ENOUGH.] In the event 
the outstanding bonds, warrants, and judgments shall exceed the 
maximum amount which may be raised by one year's levy, as 
provided for in sections 365.45 to 365.49, the A county board 
may issue funding or refunding bonds, in the manner to pay off 
the outstanding bonds, warrants, and judgments of a dissolved 
town if they amount to more than one year's maximum levy under 
section 365.48.  The bonds must be issued as provided by law for 
the issuance issuing of county funding or refunding bonds, to 
take up such warrants, judgments, or bonds.  
    Subd. 2.  [NO ELECTION.] The bonds may be issued without 
first submitting the question of such the issue to the electors 
residing in the town's territory or in the county.  
    Subd. 3.  [OBLIGATION OF TOWN TERRITORY ONLY.] Any The 
bonds so issued shall are not be an obligation of the county but 
shall be are an obligation of the territory formerly included 
that used to be in such the town and shall be.  The bonds are 
payable out of levies made against the property in such that 
territory, as provided in under section 365.47, and such 
restriction shall.  The restrictions in this subdivision must be 
printed upon on the face of the bonds.  
    Subd. 4.  [CHAPTER 475 APPLIES.] Except as provided in 
sections 365.45 to 365.49, such The bonds shall must be issued 
pursuant according to the provisions of sections 475.51, 475.53, 
475.54, 475.58, 475.62, 475.63, 475.66, and 475.72, and unless 
this section has a different procedure.  The tax levy required 
by section 475.61 shall must be made against the property of the 
territory formerly included in such town at the time of the 
issuance of such obligated on the bonds. 
    365.49 [PROPERTY TO REVERT OF DISSOLVED TOWN BELONGS TO 
COUNTY.] 
    Subdivision 1.  [IF NEEDED BY COUNTY:  CREDIT.] Any 
property, A dissolved town's real or personal, of such town 
which property that is needed for county purposes shall become 
becomes the property of the county but.  The reasonable value 
thereof of the property, as determined by the county board, 
shall must be credited to such the town and used for the 
purpose of paying to pay off outstanding bonds, warrants, or 
judgments.  
    Subd. 2.  [IF UNNEEDED:  NO CREDIT.] Any Other property of 
such the town shall become becomes the property of the county 
without any allowance being made therefor credited to the town.  
    Subd. 3.  [SURPLUS TOWN MONEY.] Any Surplus funds money of 
the town, after all obligations have been are paid, shall must 
be credited to the county's general fund of the county. 

                              TOWN MEETING 
    365.50 [FIRST TOWN MEETING; NOTICE, OFFICERS, POWERS.] 
    Subdivision 1.  [WHEN, WHERE.] The first town meeting 
in each a new town shall must be held within 20 days after it 
the town is organized, at a time and place to be designated by.  
The county board, and shall name the time and place of the 
meeting.  The county auditor shall cause see that ten days' 
posted notice thereof to be of the meeting is given in each such 
the town.  
     Subd. 2.  [MEETING OFFICERS.] The voters present at 
such the meeting, between 9:00 a.m. and 10:00 a.m. or such other 
time as shall be set by the town board, shall choose one of 
their number as moderator, two others as judges of election, and 
one as clerk who.  Each of these meeting officers shall 
severally take and subscribe sign the oath required of judges 
a judge of a general election, which.  The oath may be 
administered to the judges by the moderator, and to the 
moderator by one of the judges.  They The meeting officers shall 
thereupon conduct then run the proceedings of such meeting, and 
the voters shall possess the same.  
     Subd. 3.  [ELECTORS' POWERS.] During the meeting, the 
electors have the powers as they have at other town meetings. 
    365.51 [ANNUAL TOWN MEETING; PRECINCTS; POLLING 
PLACES NOTICE, BUSINESS, ELECTIONS.] 
    Subdivision 1.  [WHEN; BAD WEATHER.] There shall be an A 
town's annual town meeting must be held in each town on the 
second Tuesday of March at the place designated named by the 
last annual town meeting, and.  If no designation is so made 
place was named then, the meeting must be held at the place 
designated named by the town board.  The place designated may be 
located outside the town if the place is within five miles of 
one a town boundary of the town.  In the event of inclement 
weather.  If there is bad weather on meeting day, the meeting 
shall be held on another March day designated by the town board 
shall set the meeting for another day in March.  
    Subd. 2.  [NOTICE.] The clerk shall give ten days' 
published notice specifying of the time and place of the meeting 
in a qualified newspaper having general circulation within in 
the town, or by.  An alternative to published notice is posted 
notice, as directed by the town board shall direct unless the 
voters electors at the an earlier annual town meeting direct 
otherwise.  
    Subd. 3.  [OFFICERS; OTHER BUSINESS.] All town officers 
required by law to be elected shall must be chosen thereat, and 
elected at the town meeting.  The meeting must also take up 
other business done as is by law required or permitted by law 
and may take up other business allowed by law.  
    Subd. 4.  [PRECINCTS; POLLING PLACES.] The town board may, 
with respect to an election by ballot at the annual town meeting 
for the purpose choose to use precincts and polling places to 
elect of selecting town officers or of determining to decide any 
matter of town business, provide for the casting of ballots in 
precincts and at polling places requiring a ballot election. 
Precincts and polling places shall, if used, must be designated 
set up by the town board in the manner prescribed by under 
sections 204B.14 and 204B.16. 
    365.52 [SPECIAL TOWN MEETINGS; PRECINCT; POLLING PLACES; 
MEETING; VACANCY, OTHER WORK, ELECTION.] 
    Subdivision 1.  [HOW, WHY CALLED.] A special town meeting 
may be held for the purpose of an election to fill a vacancy 
when the town board has failed to fill the vacancy by 
appointment, or for transacting any.  A special meeting may also 
be held to do other lawful business whenever.  To call a special 
meeting, the supervisors and town clerk, or any two of them, 
together with at least 12 other town freeholders of the 
town, shall file a statement in the town clerk's office of the 
town clerk a written statement setting forth the reasons and 
necessity for.  The statement must tell why the meeting and is 
called, the particular business to be transacted at it, and that 
the interests of the town require that the meeting be held.  
A special town meeting may also be called upon a on petition of 
20 percent of the eligible voters electors of the town, based 
upon.  The percentage is of the number of voters at the last 
general election.  
    Subd. 2.  [PRECINCTS; POLLING PLACES.] The town board may, 
with respect to an election by ballot at the annual town meeting 
for the purpose choose to use precincts and polling places to 
elect of selecting town officers or of determining to decide any 
matter of town business, provide for the casting of ballots in 
precincts and at polling places requiring a ballot election. 
Precincts and polling places shall, if used, must be designated 
set up by the town board in the manner prescribed by under 
sections 204B.14 and 204B.16. 
    365.53 [NOTICES; PUBLICATION CLERK TO RECORD NEED TO MEET; 
GIVE NOTICE.] 
    Subdivision 1.  [CLERK'S DUTIES.] When the statement is so 
filed, The clerk shall record it, and the statement of need for 
a special town meeting after it is filed.  The clerk shall also 
give ten days' published notice specifying of the time and, 
place, and the purpose for which of the meeting is to be 
held.  
    Subd. 2.  [PUBLISHED OR POSTED NOTICE.] The notice must be 
published in a qualified newspaper having general 
circulation within in the town, or by.  An alternative to 
published notice is posted notice, as directed by the town board 
shall direct unless the voters electors at the an annual town 
meeting direct otherwise.  
    Subd. 3.  [VACANCY DETAILS IN NOTICE.] If a vacancy in an 
office is to be filled, the notice shall specify in what must 
name the office it exists, and tell how it the vacancy 
occurred, who was the last incumbent, and when the legal term of 
the office expires. 
    365.54 [ORGANIZATION OF MEETING ANNUAL MEETING TIME; 
CONVENER; MODERATOR; PAY.] 
    Subdivision 1.  [CONVENING.] The An annual town meeting 
shall must convene at 9:00 a.m. provided that unless the 
electors at the last annual meeting may set a later time for 
convening the next subsequent annual meeting.  
    Subd. 2.  [CLERK'S CALL TO ORDER.] The voters present 
between 9:00 a.m. and 10:00 a.m. or such other clerk shall call 
the meeting to order at a time as may be set by the town board 
on the day of the annual or any special town meeting, or by the 
electors at the previous last annual meeting, shall be called to 
order by the town clerk, if present;.  If the town board sets 
the time, it must do so on the day of the annual, or a special, 
town meeting.  If no time is set, the clerk shall call the 
meeting to order between 9:00 a.m. and 10:00 a.m. 
    Subd. 3.  [CHAIR, IF CLERK ABSENT.] If not the clerk is not 
there, the voters present may elect a chair by acclamation.  
    Subd. 4.  [MODERATOR; PAY.] They The voters shall then in 
the same manner choose a moderator of such town for the meeting 
in the same way.  The moderator may be paid $2.50 for such work, 
or such amount as may be allowed by The town board shall decide 
how much to pay the moderator. 
    365.55 [TOWN CLERK OF IS MEETING CLERK; MINUTES TO BE 
FILED.] 
    The town clerk shall be is clerk of the town meeting, and 
shall keep full minutes of its proceedings, in which shall be 
entered at length.  The minutes must contain the full text of 
every order or, direction, and all rules and regulations rule 
made by the meeting.  If the town clerk is absent, the voters 
present shall elect a clerk of the meeting.  The minutes of such 
the meeting shall must be subscribed signed by the clerk of 
the meeting and by the judges, and.  The minutes must be filed 
in the office of the town clerk within two days after the 
meeting. 
    365.56 [ORDER OF BUSINESS; PARLIAMENTARY PROCEDURE.] 
    Subdivision 1.  [MODERATOR STATES ORDER FIRST.] At the 
opening beginning of every a town meeting, the moderator shall 
state the order of business to be transacted, which in case of.  
    Subd. 2.  [SPECIAL MEETING:  ONLY NOTICED BUSINESS.] At a 
special town meeting shall be, business is limited to the 
business specified listed in the meeting notice of such meeting, 
and the order in which it will be entertained, and no. 
    Subd. 3.  [TAX VOTED ON IN ORDER.] A proposition to vote a 
tax shall must not be acted on out of the order of business 
stated by the moderator; and no proposition. 
    Subd. 4.  [MOTION TO RECONSIDER.] A motion to reconsider 
any a vote shall be entertained at any town meeting unless must 
be made within one-half hour from the time such of the vote was 
passed, or the.  To pass, a motion for such reconsideration is 
sustained by a number of voters equal to reconsider must be 
favored by a majority of all the names the electors entered upon 
on the election register at such election up to the time 
such when the motion is made; and.  
    Subd. 5.  [VOTING MAJORITY WINS.] All questions upon on 
motions made at town meetings shall be determined except a 
motion to reconsider are decided by a majority of the electors 
voting, and on the question.  
    Subd. 6.  [MODERATOR DECIDES, DECLARES VOTE.] The moderator 
shall ascertain decide and declare the result vote on each 
such question. 
    365.57 [WHO MAY VOTE; CHALLENGES; OATH.] 
    Every person A town resident who is qualified to vote at a 
general election may vote at any town meeting in the town where 
the person resides the town's meetings.  If a voter is 
challenged, the judges shall proceed thereupon act as in the 
case of challenges a challenge at a general election, adopting 
the oath to.  The oath must be changed to fit the circumstances 
of the case. 
    365.58 [MEETINGS MAY BE ADJOURNED MAY ADJOURN MEETING 
EXCEPT TO ELECT OFFICERS.] 
    Any A town meeting may be adjourned to any other day, and 
from time to time, for the purpose of transacting or later the 
same day, to transact any business of the town except the 
election of officers. 
    365.59 [FAILURE TO ELECT COUNTY TO APPOINT OFFICERS IF NONE 
ELECTED.] 
    Subdivision 1.  [SECOND MEETING TRY.] When any If a town 
fails to organize or fails to elect town officers at the time 
fixed by law annual town meeting, 12 freeholders thereof of the 
town may call a town meeting for such purpose these purposes.  
The meeting is called by giving ten days' posted notice thereof, 
setting forth its of it.  The notice must include the time, 
place, and object purpose of the meeting. 
    Subd. 2.  [30-DAY WAIT; AFFIDAVIT.] If no such the 
notice under subdivision 1 is given in such case not posted 
within 30 days after the time date for holding the annual 
town meetings meeting, the county board, on the affidavit of any 
freeholder of such town, filed with the county auditor, setting 
forth the facts, shall appoint officers for such the town, who 
shall have all the powers of officers duly elected, and.  The 
officers shall hold their offices until their successors 
qualify.  The county board shall act only after an affidavit of 
a freeholder of the town is filed with the county auditor.  The 
affidavit must state the facts that require the county board to 
act. 

                               ARTICLE 9 
    Section 1.  Minnesota Statutes 1986, chapter 430, is 
amended to read:  
    430.01 [DESIGNATION OF LAND FOR SYSTEM OF STREETS, PARKS 
AND PARKWAYS VARIOUS USES.] 
    Subdivision 1.  [STREETS; PARKS; AND PARKWAYS.] The council 
and the board of park commissioners of any a city of the first 
class may, by concurrent resolution adopted by a majority vote 
of each body, designate lands land to be acquired for a system 
of streets, parks, and parkways, and determine that this land 
shall be acquired by proceedings.  They may take this action 
only by concurrent resolution adopted by a majority vote of each 
body.  The land must be acquired under this chapter, to be in 
proceedings conducted either by the city council or the board of 
park commissioners, as this stated in the resolution shall 
specify. 
    Subd. 2.  [PARKING LOTS; PEDESTRIAN MALLS AND USES.] The 
council of any such a city, acting separately, of the first 
class may by resolution so adopted, designate lands land to be 
acquired, improved, and operated for motor vehicle parking 
lots.  The council of any such city, acting separately, may By 
resolution so adopted, the council may designate lands to be 
acquired, improved, and operated for pedestrian malls or may.  
By ordinance adopted as provided in under section 430.011, the 
council may designate streets in central business districts to 
be improved primarily for pedestrian uses.  
    Subd. 3.  [PERFORMANCE OF DUTIES.] If proceedings are taken 
by the board of park commissioners acts, the duties herein 
specified to be performed under this chapter by the city clerk, 
the city engineer, and the city attorney, respectively, shall 
must be performed by the secretary, the engineer, and the 
attorney elected and employed by the board of park 
commissioners, and the powers hereinafter specified to be 
exercised under this chapter by the city council may for the 
purposes of this chapter be exercised by the board of park 
commissioners. 
    Subd. 4.  [DEFINITION.] As used in this chapter, the term 
"system of streets, parks, and parkways", as used herein, shall 
embrace any means a body of contiguous land of whatever shape or 
area, designed ultimately to be used in part for streets and in 
part for parks or parkways, and.  The concurrent resolution 
shall must designate what which part is for streets, what 
which part is for parks, and what which part is for 
parkways.  
    Subd. 5.  [INDEPENDENT ACTION.] When If the city council 
desires wants to take or, improve, or take and improve, land 
for street purposes alone, or to take land for motor vehicle 
parking lots, or to take land for pedestrian malls, or to 
improve streets for pedestrian uses, it may proceed act under 
this chapter for that purpose without the concurrence of the 
board of park commissioners, and when.  If the board of park 
commissioners desires wants to take or, improve, or to take 
and improve, land for parks and or parkways alone, or either, it 
may proceed act under this chapter without the concurrence of 
the city council.  
    430.011 [ORDINANCES LIMITING USE OF STREETS; PEDESTRIAN 
MALLS AND DISTRICTS.] 
    Subdivision 1.  [LEGISLATIVE FINDINGS.] The legislature of 
the state of Minnesota finds that:  (a) (1) increases in 
population and automobile usage have created conditions of 
traffic congestion in central business districts of cities of 
the first class; (b) such (2) those conditions constitute a 
hazard to the safety of endanger pedestrians and impede the 
movement of police and fire equipment, ambulances, and like 
other emergency vehicles; (c) (3) streets in such those 
central business districts improved to their maximum width for 
sidewalk and roadway purposes cannot be further widened without 
taking valuable buildings and improvements, substantially 
impairing the primary function of such those city streets of 
such cities as pedestrian facilities, and impairing their the 
cities' sources of tax revenue; and (d) (4) limitation on the 
use of such those streets by private vehicles may be found by 
the council of any such city of the first class to be in the 
interest of the city and state, to be of benefit to adjoining 
properties, and to be essential to the effective use of such the 
streets for street purposes.  
    Subd. 2.  [STATEMENT OF POLICY.] It is the public state's 
policy of the state of Minnesota to permit the city council of 
any city of the first class to protect the public welfare and 
the interests of the public in the safe and effective movement 
of persons and to preserve and enhance the function and 
appearance of the central business districts of such cities of 
the first class by adopting pedestrian mall ordinances as herein 
provided under this section.  
    Subd. 3.  [PEDESTRIAN MALL ORDINANCES AUTHORIZED.] A 
pedestrian mall ordinance may be adopted if the city council 
finds that: 
    (1) a street or a part thereof (a) of a street (i) is not a 
part of any state highway, (b) (ii) is located primarily in a 
central business district, (c) (iii) is improved to its maximum 
width for roadway and sidewalk purposes, and (d) (iv) is 
congested during all or some a substantial part of normal 
business hours; that (e) 
    (2) reasonably convenient alternate routes exist for 
private vehicles to other parts of the city and state, that (f); 
    (3) continued unlimited use of the street or part thereof 
of the street by private vehicles may constitute a hazard to the 
safety of endanger pedestrians, that (g); 
    (4) abutting properties can reasonably and adequately 
receive and deliver merchandise and materials from other streets 
and alleys or by reason of provision made through arrangements 
for limited use of the streets by carriers of such merchandise 
and materials,; and that (h) 
    (5) it would be to in the best interests of the city and 
the public and of benefit to adjacent properties to use such the 
street primarily for pedestrian purposes and pedestrian use is 
the highest and best use of such the street or part thereof of 
it.  
    Subd. 4.  [ORDINANCE PROVISIONS.] The An ordinance shall 
under subdivision 3 must (a) (1) set forth such the findings 
required in subdivision 3, (b) (2) designate such a street or 
part thereof of a street as a pedestrian mall, (c) (3) limit the 
use of the surface of such the street or part thereof of the 
street at all times or during such hours or days as set by the 
council shall determine to pedestrians and to such classes of 
emergency, public works, maintenance, service, and utility 
transportation vehicles as are defined in the ordinance and 
prohibit the use of such street or part thereof by other 
vehicles, and (d) (4) include such further other provisions 
as are herein required in this chapter.  
    Subd. 5.  [INTERSECTING STREETS.] No An ordinance under 
subdivision 3 must state that a limitation of use shall does not 
apply to vehicles on an intersecting street crossing such the 
street or part thereof of a street designated as a pedestrian 
mall, unless such the intersecting street is similarly 
designated, and the ordinance shall so provide. 
    Subd. 6.  [USE OF PEDESTRIAN MALL BY PUBLIC CARRIERS.] If 
the council shall further find finds that such a street or part 
thereof of a street limited under this section is served by a 
transit utility engaged in mass transportation of persons within 
the city by bus or street railway, and that continued use 
of such the street or part thereof of the street by such the 
transit utility will be a benefit to the city and the public and 
to adjacent property, it the council shall permit such the 
transit utility to use such the street or part thereof of the 
street for such transit purposes to the same extent and subject 
to the same obligations and restrictions as are applicable to 
such the transit utility in the use of other streets of the 
city.  Upon like similar findings, it the council may permit use 
of such the street or part thereof of the street by utilities 
engaged in carrying persons by taxicabs.  
    Subd. 7.  [SPECIAL ACCESS PERMITS.] If any property 
abutting upon such on a street or part thereof of a street 
limited under this section does not, at the time such when an 
ordinance is adopted, have access to some other street or alley 
for delivery of or receiving merchandise and materials, the 
council shall provide for deliveries in the ordinance for the 
issuance of.  It may do so by issuing a permit or permits to the 
owners or occupants of such the property for the use of such the 
street or part thereof of the street for deliveries, or 
otherwise in the ordinance.  The council shall provide for 
deliveries, during such hours and days, which need not be 
ordinary business hours or days, as the council shall find finds 
to be reasonably adequate for such the purpose and not to 
interfere with the use of the street or part thereof of the 
street by pedestrians and other authorized vehicles.  
    Subd. 8.  [HOW ADOPTED ADOPTION WITH IMPROVEMENT 
PROCEEDINGS.] If such an ordinance is to be adopted in 
connection with an improvement of the street under this chapter, 
it shall must so state and shall, must be introduced as a 
proposed ordinance and given its first reading concurrently with 
the introduction and adoption of the resolution of the 
council instituting beginning the improvement proceedings.  In 
such cases, it shall, and must not be given its final 
reading nor or be finally adopted until the council shall take 
has taken action on the proposed improvement pursuant to under 
section 430.02, subdivision 12.  
    Subd. 9.  [HOW ADOPTED ADOPTION IN OTHER CASES.] If such An 
ordinance that is not being adopted in connection with an 
improvement of the street under this chapter, it shall so must 
state that fact and shall be considered and adopted as in the 
case of like other ordinances, subject to the right of appeal 
provided in under section 430.031, but.  The council shall not 
meet to give such the ordinance its final reading or to finally 
adopt such the ordinance unless a copy of the proposed ordinance 
and a notice stating the time and place at which the council 
will meet to consider its adoption shall have has been published 
in the official newspaper of the city at least once, and shall 
have has been mailed to the owners of the several lots or 
parcels of land abutting on the proposed pedestrian mall, at 
least three weeks prior to before the date of such meeting.  
    Subd. 10.  [DESCRIPTION OF ASSESSABLE PROPERTIES.] If 
such An ordinance is to be adopted in connection with an 
improvement of the street under this chapter, it shall must 
describe the property to be assessed for such the improvement, 
and.  No property shall be is subject to assessment for such 
the improvement which unless it is not described in the 
ordinance.  
    Subd. 11.  [ANNUAL COSTS; DISTRICTS.] If such an ordinance 
is to be adopted in connection with an improvement of the street 
under the provisions of this chapter, and if the ordinance 
includes a council shall determine determination that (a) (1) 
the improvement will involve annual costs in addition to the 
initial cost of constructing and making the improvement, and 
that (b) such (2) the annual costs will provide benefits 
primarily to adjacent property, rather than to the city as a 
whole, the ordinance may provide require that the improvement 
and its facilities thereof shall be operated and 
maintained pursuant to the provisions of under section 430.101 
and the costs thereof assessed or taxed to benefited properties 
pursuant to the provisions of under section 430.102. 
     In lieu thereof and at any time Alternatively, after a 
pedestrian mall ordinance has been adopted or lands have been 
acquired or improved for a pedestrian mall, the council may upon 
such determination provide, require by separate ordinance or by 
amendment to a pedestrian mall ordinance, that the improvement 
and its facilities thereof shall be so operated and maintained 
and the costs so taxed and assessed to benefited properties 
under sections 430.101 and 430.102, subject to appeal as 
provided in under section 430.031.  In any such that case, 
such the ordinance shall must describe the properties to be 
assessed or taxed for such annual costs, which.  The area may be 
given the name "(name of street) Pedestrian Mall Improvement 
District." 
    Subd. 12.  [PROTESTS.] If The owners of lands abutting on a 
street or part thereof of a street proposed as a pedestrian mall 
representing a majority of the frontage on the proposed 
pedestrian mall have made may make written objection to the 
establishment of the proposed pedestrian mall at any time before 
the ordinance shall have has been given its final reading and 
adopted,.  If they do the council shall so find and shall 
terminate end the proceedings for such establishment of the 
mall.  In such that event, no ordinance for the establishment 
of establishing the same or substantially the same pedestrian 
mall shall may be introduced or adopted within one year 
after such the termination.  
    Subd. 13.  [INTERPRETATION; REPEAL AND AMENDMENTS.] 
Notwithstanding the improvement of any a street as a pedestrian 
mall or the adoption of a pedestrian mall ordinance, the city 
and its council shall retain its keep their police powers and 
other rights and powers relating to the city street or street 
part thereof constituting the pedestrian mall, and no such the 
pedestrian mall action shall may not be interpreted or construed 
to be a vacation, in whole or in part, of any city street 
or street part therein, it being intended that in the mall 
area.  The establishment of a pedestrian mall pursuant to under 
this chapter be is a matter of regulation only.  Nothing in This 
chapter shall be interpreted or construed to does not prevent 
the city and its council, at any time subsequent to after the 
adoption of a pedestrian mall ordinance, from abandoning the 
operation of the pedestrian mall, from changing the extent of 
the pedestrian mall, from supplying or amending the description 
of the district to be specially assessed or taxed for annual 
costs of the pedestrian mall, or from changing or repealing any 
limitations on the use of the pedestrian mall by private 
vehicles or any plan, rules, or regulations adopted for the 
operation of a pedestrian mall.  
    Subd. 14.  [WHEN EFFECTIVE.] Any An ordinance or 
amendment thereto adopted pursuant to under this section shall 
does not become effective or be in force until 20 days after the 
its final adoption and publication thereof.  
    430.02 [PROCEEDINGS FOR ACQUISITION OF LANDS.] 
    Subdivision 1.  [PLAT AND SURVEY.] After the adoption of 
the resolution it shall be the duty of, the city engineer to 
shall make and present to the council a plat and survey of the 
proposed improvement, showing.  The plat or survey must show 
character, course, and extent of the same improvement and the 
property necessary to be taken or interfered with thereby, with 
the name of the owner of each parcel of the property, so far as 
to the extent the engineer can readily ascertain find the same 
name, and such a statement as may in the opinion of the engineer 
be proper to explain the plat and survey and the character and 
extent of the proposed improvement.  For constructing pedestrian 
malls or improving streets primarily for pedestrian uses, the 
council may employ a competent engineer or landscape architect 
or both to assist, and may purchase plans or designs prepared by 
a competent engineer or landscape architect, to aid, the city 
engineer in the performance of duties under this chapter.  
    When the A plat and survey shall be finally adopted by the 
city council, it shall must be filed with the city clerk, and it 
shall must be held to show correctly the character and extent of 
the improvement actually agreed upon and ordered by the city 
council. 
    The plat shall must also show the amount of land taken from 
each owner, so far as to the extent the owners may be are known, 
and the lands contiguous to these the improvements.  
    Subd. 2.  [COMMISSIONERS OR APPRAISERS.] The city council 
shall then or afterwards appoint five freeholders of the city, 
no two of whom shall reside in the same ward, as commissioners, 
.  Their duties are to view the premises and to ascertain 
determine and award the amount of damages and compensation to be 
paid to the owners of property which is to be taken or injured 
by the improvement, and to assess the amount of the damages and 
compensation and the expenses of the improvement upon the lands 
and property to be benefited by the improvement, and in 
proportion to the benefits to be received by each parcel and 
without regard to a cash valuation.  
    Three or more commissioners shall constitute a quorum and 
be competent to may perform any duty required of these the 
commissioners; and they shall.  Commissioners must be notified 
of their appointment, and vacancies in their number shall be 
filled by the city council, and they shall.  Commissioners must 
be sworn to the faithful discharge of their duties.  A vacancy 
must be filled by the city council.  
    Subd. 3.  [NOTICE OF HEARING; HEARING; AWARD AND 
APPRAISEMENT.] (a) The commissioners shall give notice, in a 
manner appropriate to inform the public,: 
    (1) that the survey and plat and the pedestrian mall 
ordinance, if any, is are on file and available for examination 
in the office of the city clerk for the examination of all 
persons interested and; 
    (2) that they the commissioners will, meet on a day and 
at a place designated in this the notice, meet at a place 
designated in the notice on or near the proposed improvement, 
and view the property proposed to be taken or interfered with 
for the purposes of these improvements the improvement, and 
ascertain and award therefor compensation and damages, and view 
the premises to be benefited by this the improvement, and assess 
thereon on the benefited premises, in proportion to the 
benefits, the amount necessary to pay the compensation and 
damage, and the cost of making the improvement, and that they 
will then and there hear such allegations and proofs as proof 
offered by interested persons may offer.  These 
     (b) The commissioners shall meet and view the premises 
pursuant according to the notice, and may adjourn, from time to 
time, and,.  After having viewed the premises, they may, for the 
hearing of evidence and preparation of their award and 
assessment, adjourn or go to any other convenient place in the 
city, and may have the aid and advice of the city engineer and 
of any other city officer of the city, and adjourn from time to 
time.  If a pedestrian mall ordinance is proposed by the council 
under section 430.011, in connection with an improvement, the 
commissioners may consider the business uses of abutting 
property affected by such the ordinance and by the related 
improvement to which it relates and the probable effect which 
the ordinance and improvement will have on the value of such the 
property and such its uses, and the commissioners shall consider 
whether such the property has access to some other another 
street or alley for delivering and receiving merchandise and 
materials and the extent to which the use and value of the 
property without such the access under consideration will suffer 
as a result of the adoption of such the ordinance and the making 
of such the improvement. 
     (c) After viewing the premises and hearing the evidence 
offered, these the commissioners shall prepare and make a true 
and impartial appraisement appraisal and award of the 
compensation and damages to be paid to each person whose 
property is to be taken or injured by the in making of the 
improvement; but.  If the remainder rest of the same property, 
only a part of which only is to be taken or damaged by the 
improvement, shall will be benefited by the improvement, then 
the commissioners, in considering and awarding compensation and 
damages, shall also consider, estimate, and offset the 
benefits which that will accrue to the same owner, in respect to 
because of the remainder rest of the same property, and award 
that owner only the excess of the compensation or damages 
over and above these the benefits. 
    Subd. 4.  [ASSESSMENT OF COMPENSATION AND DAMAGES; REPORT; 
LIST.] The commissioners shall then assess the amount of the 
compensation and damages so awarded under subdivision 3 upon the 
land and property benefited by the proposed improvements in 
proportion to the benefits, together along with the expense and 
cost of making the improvements, as fixed by the city council, 
and in proportion to the benefits, but in.  No case shall the 
amount of the assessment may exceed the actual benefit to the 
assessed lot or parcel of land so assessed, deducting therefrom 
any less damages or injuries to the same parcels which parcel 
that are less than the benefits, and assessing only the excess, 
and.  The commissioners shall prepare and report to the city 
council their appraisement appraisal and award and,.  If, in 
the their judgment of the commissioners, the whole total 
amount of the compensation and damages, together with and the 
cost of making the improvement, shall exceed exceeds the actual 
benefits to the specific property subject to assessment, they 
shall so indicate also state that fact and the amount of the 
excess in their report and shall state the amount of the excess. 
    The commissioners shall also report to prepare for the city 
council an assessment list containing their assessment of the 
compensation, damages, and costs, or so much thereof as shall 
not exceed in excess of the actual benefits to the property so 
assessed, which.  The list shall must contain a brief 
description of each tract or parcel of property assessed, the 
name or names of the known owners thereof of the tract, if 
known, and the amount assessed against each parcel of property, 
and the amount of the excess of the compensation, damages, and 
costs which that they shall must return unassessed.  If the city 
council has proposed a pedestrian mall ordinance pursuant to 
under section 430.011 in connection with an improvement, the 
commissioners shall include in the assessment list only those 
properties proposed to be assessed for the improvement under the 
proposed ordinance.  
    Subd. 5.  [ASSISTANCE AND EXPENSE.] The commissioners may 
employ clerical assistance, and.  The cost thereof, as well as 
of the clerical help, the commissioners' compensation, and the 
expenses of printing the notices required, including the notice 
of consideration by the city council, estimated at the same rate 
per line as the cost of printing the prior notices, shall must 
be added to the other amounts to be assessed and shall must be 
assessed therewith with them.  The city attorney shall represent 
the city before the commissioners and produce such required 
evidence as the case may require.  
    Subd. 6.  [PERCENTAGE PAYMENT BY CITY.] Except in the case 
of motor vehicle parking lots, the city council may provide, in 
all cases, except motor vehicle parking lots, by the resolution 
appointing such commissioners, that a certain specified 
percentage, not exceeding 75 percent, of the total damages and 
costs shall in any case must be payable out of the city's 
general funds, and in that case.  The city's share must then 
either shall be added to the amount of the certificates to be 
issued and sold under section 430.12, or shall be provided by 
the issue of general obligation permanent improvement 
bonds and.  The city council shall from year to year annually 
levy a sufficient tax upon the taxable property of the city to 
pay the same any issued bonds with interest.  In such case 
the Any amount provided required to be paid out of the general 
funds shall fund must not be assessed.  
    Subd. 7.  [PUBLICATION OF NOTICE OF HEARING.] The 
commissioners shall, upon the completion of their report, file 
the same their completed report with the city clerk and 
thereupon it shall be the duty of.  The city clerk to shall then 
prepare a list of descriptions of the several lots and parcels 
of land taken for these the proposed improvements, the amount 
awarded for the taking of each lot or parcel, the names of the 
owner or owners of the same each lot or parcel, descriptions of 
the several lots or parcels of land upon which benefits have 
been assessed, the amount assessed against each lot or parcel, 
and the names of the owner or owners of the same each lot or 
parcel.  The names of all owners referred to herein to must be 
obtained from the commissioners, and, so far as may be or, if 
necessary, from the records in the office of the county 
treasurer.  The clerk shall give notice of the proceedings 
appropriate to inform the owners of the proposed action.  The 
notice shall must designate and fix a place and time, at which a 
committee therein designated appointed by the board of park 
commissioners or of the council will meet to hear and consider, 
from or on the part of the owner or owners of the several lots 
or parcels of land taken for the proposed improvement and of the 
several lots or parcels of land upon which benefits have been 
assessed, any and all objections to the making of the 
improvement, to the amount of damages awarded for the taking of 
or interference interfering with the property involved, and to 
the amount of the assessment for benefits to any property 
affected by the proceedings, and any and all claims of 
irregularities in the proceedings of the city council, the board 
of park commissioners, or the commissioners so appointed 
by either thereof the council or the board.  Objections or 
claims may be made by or on behalf of an owner of a lot or 
parcel taken or interfered with or assessed for benefits because 
of the improvements.  
    Subd. 8.  [SERVICE OF PUBLISHED NOTICE.] Immediately after 
the publication of this notice is given under subdivision 7 and 
at least two weeks prior to before the time designated for of 
the meeting of the committee specifically designated in the 
notice, the city clerk shall serve a copy of the notice upon 
each of the owners owner of the several lots or parcels of land 
taken for this the proposed improvement and of the several lots 
or parcels of or land upon which benefits have been assessed a 
copy of the published notice,.  The notice must be served by 
depositing the same it in the post office of the city United 
States mail, postage prepaid, in an envelope plainly bearing on 
its front in at least ten point type no smaller than ten point 
the words "Notice of Tax Assessments for Improvements Affecting 
Your Property," directed to each of the persons at the and the 
owner's last known place of residence, if known to address, as 
obtained from the records of the city clerk, otherwise as 
obtained from the records in the office of or the county 
treasurer, provided, that.  The failure of any an owner or 
owners to receive the notice shall does not in any wise 
operate to invalidate any of the proceedings covered by under 
this chapter. 
    If a pedestrian mall ordinance is proposed to be adopted in 
connection with the an improvement under section 430.011, a copy 
of the proposed ordinance shall must be mailed with each such 
the notice.  
    Subd. 9.  [WRITTEN OBJECTIONS.] Any (a) A person whose may 
protest the proposed improvement if the person's property is 
proposed to be taken, interfered with, or assessed for benefits 
under any of the provisions of this chapter, who and if the 
person:  (1) objects to the making of the improvement,; or who 
deems (2) thinks that there is any has been an irregularity in 
the proceedings of the city council, or on the part of the 
commissioners so appointed by it, by reason of which so that the 
award of the commissioners ought not to be confirmed,; or who 
(3) is dissatisfied with the amount of damages awarded for the 
taking of or interference with the person's property, or with 
the amount of the assessment for benefits to any property 
affected by the proceedings,. 
     (b) To protest, the person shall appear at the hearing or 
file with the city clerk, designated in this the published 
notice, at any time before the hearing or before the report and 
recommendation of the committee is filed, the person's (1) 
written objection to the making of the improvement, or (2) 
objection to the damages awarded or benefits assessed, or (3) 
claim of the irregularities, specifically designating the same, 
and a description of the a specific irregularity affecting 
specific property affected by the proceedings.  Any such person 
and any An affected property owner or citizen or taxpayer of the 
city may appear at the hearing in support of or to object to the 
adoption of any a pedestrian mall ordinance proposed under 
section 430.011 or may file written statements in support of or 
objecting to the adoption of such the ordinance. 
    Subd. 10.  [HEARINGS BY COUNCIL COMMITTEE.] At the time and 
place designated by this in the published hearing notice for the 
hearing, the city clerk shall present to the committee the 
report of the appointed commissioners so appointed together with 
all and written objections or statements so filed with the city 
clerk and.  The committee shall then consider the same and those 
items, hear the objectors, and persons appearing in favor of or 
against the adoption of any a proposed pedestrian mall ordinance 
, or their representatives, in person, and shall adjourn the 
hearing from time to time as may be necessary.  
    Subd. 11.  [COMMITTEE REPORT.] Within ten days from after 
the conclusion of the hearing or hearings the committee shall 
file with the city clerk its report and recommendation on the 
matter so submitted to it, and upon such filing.  At that time 
the city clerk shall give notice that this the report and 
recommendation has have been filed and that the same, together 
with they and the report of the commissioners, will be 
considered by the city council at a meeting thereof to be 
designated in the notice, which.  The notice shall must be given 
in a manner appropriate so as to inform the persons affected and 
the public. 
    Subd. 12.  [ACTION BY COUNCIL.] The city council, upon On 
the day fixed set in the notice for the consideration of the 
reports and recommendation, or at any subsequent a later meeting 
to which the same reports and recommendation may stand over or 
be referred, the city council may, by resolution, annul and 
abandon the proceedings, or may confirm or annul any or all of 
the awards and assessments or any or either thereof, or annul 
the same, or send the same them back to the commissioners for 
further consideration; and.  If further consideration is 
required, the commissioners may, in such case, again meet again 
at a time and place to be designated in a notice which shall be 
mailed by the city clerk to all interested persons, at least two 
weeks prior to before the meeting, and hear any further evidence 
that may be adduced given by interested persons, and may adjourn 
from time to time the meeting as necessary, and may correct, 
alter, or revise any mistakes in the award and assessment and 
alter and revise the same as they may deem just, and again 
report the same to the city council, who may thereupon. 
    The council may confirm or annul the same new report.  If 
it shall desire to confirm In confirming the awards and 
assessments, the city council shall then give its final reading 
to and vote on the adoption of any pedestrian mall ordinance 
proposed in connection with the improvement pursuant to under 
section 430.011, and.  If it shall be the ordinance is amended 
or shall fail of adoption for lack of a sufficient majority of 
votes or otherwise, fails to be adopted any improvement 
instituted begun in connection with such the proposed ordinance 
shall must either be abandoned or the awards and 
assessments shall must be returned to the commissioners for 
further consideration.  
    Subd. 13.  [LEVY OF ASSESSMENT; ASSESSMENT ROLL.] When the 
city council shall confirm any award and assessment the 
Confirmation shall make of an award and assessment by the city 
council makes the award and assessment final and conclusive upon 
all parties interested, except as hereinafter provided, and.  
The city council shall proceed, at the same or at any subsequent 
meeting, to then levy an assessment, or such fractional part 
thereof as, if the city council may deem considers it necessary, 
a partial assessment to pay the costs of the proceedings 
and making the improvements therein upon the several parcels of 
land described in the assessment list reported by the 
commissioners, in accordance with the confirmed assessments so 
confirmed or in proportion to the assessments herein provided 
levied. 
    The city council may, in its discretion, delay the levying 
of these assessments in any proceeding under this chapter until 
the completion or substantial completion of the improvements 
proposed to be made therein, and when the actual costs cost of 
these the improvements and proceedings have has been determined 
, which.  The cost may include interest at five percent per 
annum year on moneys actually money advanced by the city, and 
thereupon.  The city council shall proceed to then levy 
assessments in the proceeding, aggregating the amount of the 
cost, or that portion the part of these costs as the cost the 
city council shall have has determined, in conformity with the 
provisions of this chapter, upon the several parcels of land 
described in the assessment list reported to the city council by 
the commissioners in the proceeding, and the.  Assessments so 
levied shall be in amounts must be proportionate to and not 
greater than the several amounts theretofore confirmed upon such 
the parcels of land, respectively, by the council or by the 
court upon appeal in the proceeding.  The city council 
shall cause to be made, and shall adopt, an assessment roll of 
the assessments, which.  The roll may be substantially in the 
following form, or any other form the council may adopt: 
    "The city council doth hereby assess assesses and levy upon 
levies on and against the several lots and parcels of land below 
described below the respective sums of money set against each 
lot or parcel.  This assessment is made to defray the 
compensation and damages awarded for the taking of an or injury 
to private property, and the estimated cost of improvement, and 
improvements in and about the ....  as shown on the plat and 
survey of the same on file in the office of the city clerk of 
the city.  This levy is made conformably conforms to the report 
and assessment of commissioners duly appointed to make the 
assessment and in proportion to benefits from the improvements 
to accrue to the parcels and not exceeding the benefits to 
the assessed parcels so assessed.    
 
   Name of Owner,      Description          Amount        
      if known      of land Lot Block    Dollars Cents    
   Done at a meeting of the council this ............ day 
   of ............, A.D. 19.....                       
   Attest ..................  ............................
          City Clerk          Pres't of the Council President." 
    430.023 [CLERK TO MAIL NOTICES IN CONDEMNATION PROCEEDINGS 
IN CERTAIN CASES.] 
    In any If a city of the first class which, under its 
charter, is authorized in its charter to condemn property for 
public use and to appoint commissioners to assess damages or 
benefits upon on condemned property to be taken for such use, 
which charter provides for notices and is required by its 
charter to give notice of the filing of the commissioners' 
report in such proceedings, the city clerk of such city shall 
mail give the required notice.  Notice must be given by mailing 
it to the person whose name appears on the records of the 
auditor of the county in which such the city is located as the 
person who last paid the taxes on the property proposed to be 
taken, within 48 hours after the filing of the commissioners' 
report in such proceedings, a notice of such filing.  
    430.03 [OBJECTIONS TO CONFIRMATION; APPEAL TO DISTRICT 
COURT; REAPPRAISAL; COURT OF APPEALS.] 
    Subdivision 1.  [APPEAL PROCEDURE; BOND.] Any A person 
whose property is proposed to be taken, interfered with, or 
assessed for benefits under any of the provisions of this 
chapter, who deems that (1) thinks there is any an irregularity 
in the council proceedings of the council or action of the 
commissioners, by reason of which so that the award of the 
commissioners ought not to be confirmed, or who (2) is 
dissatisfied with the amount of damages awarded for the 
taking of or interference interfering with the person's property 
or with the amount of the assessment for benefits to any 
property affected by the proceedings, has the right to may 
appeal from the city council's order of confirmation of the city 
council, to the district court of the county at any time within 
20 days after the order.  This appeal shall must be made by 
serving a written notice of the appeal upon the city clerk of 
the city.  The appeal shall must specify the property of the 
appellant affected by the award and assessment, and refer to the 
objection filed.  The appellant shall also deliver to the city 
clerk a bond to the city, executed by the appellant, or by 
someone on the appellant's behalf, with two sureties, who shall 
justify in the penal sum amount of $50 conditioned to pay all 
costs that may be awarded against the appellant.  The city clerk 
shall then make out and transmit send to the court administrator 
of the district court a copy of the commissioners' award of the 
commissioners, as confirmed by the council, and of the order of 
the council confirming it, and of the objection filed by the 
appellant, all certified by the clerk to be true copies, within 
ten days after the taking of the appeal. 
    Subd. 2.  [MULTIPLE APPEALS.] If more than one appeal is 
taken from any an award, it shall not be necessary that the city 
clerk need not, in subsequent appeals, send up anything to the 
court administrator except a certified copy of the appellant's 
objections.  
    Subd. 3.  [PLEADING; ISSUES.] There shall be An appeal 
requires no pleading on the appeal, but.  The court shall 
determine, in the first instance, (1) whether there was in the 
proceedings any irregularity in the proceedings or omission of 
duty prejudicial to the appellant and specified in the 
appellant's written objections, so that, as to the appellant, 
the appellant's award or assessment of the commissioners ought 
not to stand, and (2) whether the commissioners had jurisdiction 
to take action in the premises affecting the appellant. 
    Subd. 4.  [CONSOLIDATION.] If any a person claims that any 
a pedestrian mall ordinance proposed in connection with the an 
improvement pursuant to under section 430.011, and adopted by 
the city council, is invalid, the person shall perfect an appeal 
pursuant to the provisions of under section 430.031, subject to 
the right of the court to consolidate for hearing any appeal 
taken pursuant to under that section with an appeal 
taken pursuant to under this section. 
    Subd. 5.  [HEARING; AFFECTED PARTIES.] The case may be 
brought on for hearing heard on eight days' notice, at any 
general or special term of the court.  It shall have has 
precedence of over other civil cases, and.  The judgment of the 
court shall must be either to confirm or annul the proceedings 
only as they affect the property of the appellant proposed to be 
taken, damaged, or assessed for benefits and described in the 
written objection.  No appeal or writ of error may be taken from 
this determination no appeal or writ of error shall lie.  
    Subd. 6.  [REAPPRAISAL.] In case If the amount of damages 
awarded or assessment made for benefits is complained of by the 
appellant, the court shall, if the proceedings are confirmed in 
other respects, upon confirmation, appoint as commissioners 
three disinterested freeholders, who are residents of the city, 
commissioners to reappraise the damages or benefits.  The 
parties to the appeal shall must be heard by the court upon the 
appointment of these commissioners.  The court shall fix the 
time and place of the meeting of the commissioners.  They shall 
be sworn to the faithful discharge of their duties as 
commissioners, proceed to view the premises, and hear the 
parties interested, with their from interested parties 
allegations and proofs pertinent to the question of the amount 
of the damages or assessments.  These commissioners shall be are 
governed by the same provisions in respect to this chapter 
governing commissioners appointed by the city council, including 
the method of arriving at the amount of damages and the offset 
thereto of benefits to other property of the same owners, and in 
all other material respects, as are provided in this chapter for 
the government of commissioners appointed by the city council.  
They shall, after the hearing and after they view of the 
premises, report to the court of their appraisal of damages or 
assessments of benefits in respect to the appellant.  The award 
or assessment of these commissioners shall be is final unless it 
is set aside by the court for good cause shown.  If the report 
is set aside, the court may, in its discretion, recommit it to 
the same commissioners or appoint a new board as it deems best 
commissioners. 
    Subd. 7.  [COSTS.] The court shall allow a reasonable 
compensation to these commissioners for their services, and make 
such award of costs on of the appeal, including the 
compensation of commissioners, as it deems thinks just in the 
premises.  If the court is of the opinion decides that the 
appeal was frivolous or vexatious, it may adjudge charge double 
costs against the appellant.  
    Subd. 8.  [APPEAL TO COURT OF APPEALS.] An The city or any 
party may appeal may be taken from the court's final order to 
the court of appeals by the city or any party.  
    Subd. 9.  [FILING REPORTS AND PAPERS; SERVING NOTICES.] In 
case of proceedings conducted by the city council, all Reports 
and other papers shall from city council proceedings under this 
chapter must be filed in the office of the city clerk.; notices 
of appeal and other notices to the city shall must be served 
upon the city clerk.  In case of proceedings conducted by the 
board of park commissioners, all Reports and other papers shall 
from park board proceedings under this chapter must be filed in 
the office of the secretary or other recording officer of the 
board.  All; notices of appeal and other notices to the 
city shall must be served upon the secretary or other recording 
officer of the board.  
    430.031 [APPEALS FROM ADOPTION OF PEDESTRIAN MALL 
ORDINANCES; LIMITATION OF ACTIONS.] 
    Subdivision 1.  [LIMITATION OF ACTIONS.] No action 
shall may be commenced or maintained, and no defense interposed, 
questioning the validity, regularity, or legality of any all or 
part of a pedestrian mall ordinance, or any part thereof or an 
amendment thereto, to it adopted by any a city of the first 
class under the authority of section 430.011, subdivision 3 or 
13 of section 430.011 except by an appeal taken to the district 
court of the county in which such the city is located within 20 
days after the final adoption and publication of any such the 
ordinance or amendment.  
    Subd. 2.  [APPEALS AUTHORIZED.] Such An appeal under this 
section may be commenced and maintained on the grounds that such 
the ordinance is unreasonable or arbitrary or unlawfully 
obstructs the public use and interest in the a street or part 
thereof of a street named in such the ordinance or takes or 
interferes with the appellant's property without due process of 
law, or on any other lawful grounds, and any.  An appeal under 
this section may be taken by a citizen or taxpayer of the city 
shall have standing to commence and maintain such appeal, as 
well as any or a person whose property is or may be taken or 
interfered with without due process of law, by reason of the 
enactment or enforcement of such the ordinance.  
    Subd. 3.  [PROCEEDINGS ON APPEAL.] Any such An appeal under 
this section may be taken made by serving a written notice upon 
on the city clerk of the city setting forth the grounds for the 
appeal and shall specify any property which the appellant shall 
claim claims to be taken or interfered with.  The city clerk 
shall make out and transmit send to the court administrator of 
the district court (1) a certified copy of the 
ordinance and, (2) if not previously filed, a certified copy of 
the award of the commissioners as confirmed by the council, and 
(3) the order of the council confirming the same rendered award 
in any improvement proceeding connected with the ordinance, and. 
No other pleadings shall be are required.  No surety bond shall 
be is required except upon motion of the city pursuant to the 
provisions of under chapter 562. 
    Subd. 4.  [EFFECT OF APPEAL.] An appeal taken pursuant 
to under this section shall suspend the effectiveness of 
suspends the ordinance until the determination of the action is 
determined by a final order of the court.  The court shall 
advance the case on its calendar for trial at the earliest 
feasible date.  An appeal from any judgment entered in the a 
district court judgment in the action shall must be taken within 
30 days after notice of entry of the judgment.  A party may 
apply to the court of appeals for an order fixing the time and 
manner of the hearing of the appeal, whereupon; the court may 
provide for a speedy hearing. 
    430.04 [AWARDS; HOW PAID ON APPEAL; ASSESSMENTS.] 
    When any Subdivision 1.  [DIRECT PAYMENT OR ASSESSMENT.] If 
an award of damages made to appellants upon any after an appeal 
to the district court shall exceed exceeds the amount of the 
award appealed from, and when any or if an assessment of 
benefits made in respect to any an appellant upon appeal shall 
be is less than the amount of the assessment of benefits 
appealed from, the city may pay the amount of this increase in 
the amount of the award of damages and the amount of this or 
decrease in the assessment of benefits may be paid by the city 
from the permanent improvement fund or any available city fund 
of the city available therefor, or.  Alternatively, the city 
council may cause have the same to be amount assessed upon and 
against any property benefited by the proposed improvements in 
addition and without prejudice to prior assessments made thereon 
in the proceedings, and may refer referring the matter to the 
commissioners theretofore appointed by the council in the 
proceeding or to new commissioners to be appointed by the city 
council.  These The commissioners, whether new or old, 
shall must have the same qualifications as required of 
commissioners appointed by under section 430.02 and shall must 
take an oath to faithfully discharge their duties as 
commissioners and. 
     Subd. 2.  [NOTICE OF ASSESSMENT HEARING.] The commissioners 
shall give notice of the time when and the place when and where 
they will meet to hear persons interested and assess the amounts 
of the increase of awards of damages and or decrease of 
assessments of benefits upon the on land and property, 
theretofore previously assessed for these benefits, or to assess 
benefits on lots or parcels of land not theretofore previously 
assessed for benefits in the proceeding.  The notice, as must be 
sent to the owners of the lots or parcels of land entitled to 
increase of their awards upon any appeal, and as to the owners 
of any lots or parcels of land to be then assessed for benefits 
that were not so assessed in the original proceeding by the 
commissioners, shall.  It must be given by these commissioners 
by depositing the same deposited in the post office of the city, 
postage postpaid paid, directed addressed to each of the 
persons at the owners' last known place of residence, if either 
known to the commissioners, otherwise as or obtained from the 
office of the county treasurer; provided that.  The failure of 
any owner to receive this notice shall does not in any wise 
operate to invalidate any of the proceedings covered by under 
this chapter. 
     Subd. 3.  [ASSESSMENT LIST.] The commissioners shall meet, 
at the time and place so designated in their notice, hear all 
interested persons interested, and assess the amount of the 
increased awards of damages and, decreased assessments of 
benefits, or new and original assessments of benefits, upon 
the on property benefited by the proposed improvements, in 
proportion to the benefits, but in no case shall.  The amount of 
this an assessment may not exceed the actual benefit to the lot 
or parcel of assessed land so assessed, and.  The commissioners 
shall prepare and file with the city clerk an assessment list of 
the assessment so made by them, containing a brief description 
of each piece of property assessed, the name names of the owners 
thereof, if known, and the amount assessed against the same, 
and; the city clerk shall present this list to the city council 
for consideration.  A brief minute Minutes of the presentation 
of this assessment list to the city council shall be, included 
in the record of the proceedings of the city council, which 
shall be held to be are sufficient notice to all concerned 
persons concerned.  This assessment list shall must lie over 
without action thereon by the city council until the next a 
regular meeting of the council which will occur at least one 
week thereafter, later.  At which time, that or at any a 
later meeting thereafter, the city council may confirm the 
assessments and assessment roll, or send the same them back to 
the commissioners for further consideration and report thereon. 
     Subd. 4.  [APPEAL.] Any An interested person interested 
who is dissatisfied with the amount of an assessment may appeal 
from the confirmation of the assessment by the city council to 
the district court, in like manner and with like proceedings as 
provided in under section 430.03 in respect to filing objections 
and taking appeals from original appeals made in such 
proceedings from such order of confirmation.  Any A 
decrease made in any assessments upon any an assessment on 
appeal may be paid by the city from the permanent improvement 
fund or from any available city fund of the city available 
therefor, or the city council may cause have the same to be 
amount reassessed as hereinabove provided under this chapter.  
    430.05 [RIGHT OF COUNCIL TO MAY ABANDON; EFFECT OF AWARD; 
PAYMENT ON AWARDS.] 
    The city council shall have the right at any time 
During the pendency of any proceedings for the improvements 
authorized in under this chapter or at any time within 90 days 
after the final order of the court, on the last of all appeals 
appeal from such those proceedings, to the city council may 
set aside any or all awards and abandon all such proceedings as 
to any or all concerning parcels when if it shall deem it for 
thinks that is in the city's interest of the city to do so.  The 
city council shall may also have the right to rescind and annul 
any a pedestrian mall ordinance adopted after being 
proposed pursuant to under section 430.011 within 90 days after 
the final order of the court on the last of all appeals appeal 
from such those proceedings, taken pursuant to under section 
430.03 or section 430.031, and in case it shall do so,.  If it 
does, any improvement instituted begun in connection with such 
the ordinance shall be deemed is abandoned and any awards and 
assessments shall be deemed to have been are set aside.  Such 
Awards, if not set aside, as aforesaid, shall be are a charge 
upon the city, for the payment of which the city pledges its 
faith and credit of the city shall be pledged, and shall entitle 
the city is entitled to immediate possession.  The city council 
may in its discretion order such awards that are not set aside 
to be paid into the district court of the county for the use and 
benefit of the persons who shall be found those who are entitled 
thereto, in which case the moneys so to them.  The money paid 
into court shall must be paid out under order of the court upon 
application of interested parties interested and upon such after 
notice as required by the court may prescribe.  
    430.06 [SPREADING OF ASSESSMENT INSTALLMENTS.] 
     Subdivision 1.  [NUMBER OF INSTALLMENTS; COLLECTED WITH 
TAX.] The city clerk shall transmit send a certified copy of the 
assessment roll to the auditor of the county in which the 
assessed land lies, and.  The auditor shall include five percent 
of the principal amount of the assessment with and as part of 
the taxes upon each parcel for each year annually for 20 years, 
together with including annual interest at the rate ascertained, 
as hereinafter provided.  The city council and board of park 
commissioners may, by concurrent resolution, determine that the 
amount of the assessment shall must be collected in five or ten 
equal annual installments instead of 20, and.  In such that case 
the county auditor shall include a corresponding percent 
percentage of the principal amount of the assessment with and as 
part of the annual taxes of each year, together with including 
annual interest, until the whole principal amount is collected. 
    The auditor shall include in the annual taxes for each year 
one of the installments, together with and one year's interest 
upon that installment, and all subsequent installments at the 
same rate,.  Each of which installment, together with 
interest, shall must be collected with the annual taxes upon the 
land, together with like penalties and interest in case of on 
default,.  All of which shall these must be collected with and 
enforced as the annual taxes and credited to the proper city 
fund. 
     Subd. 2.  [DISCHARGING ASSESSMENTS.] Any parcel assessed 
may be discharged from the assessment at any time after the 
receipt of auditor receives the assessment by the auditor by 
paying all installments that have gone into the hands of the 
county treasurer, with accrued interest, penalties, and costs, 
and by paying all subsequent installments; or any parcel 
assessed may be discharged from the assessment by presenting 
certificates or bonds sold against the assessments, as herein 
provided under this chapter, sufficient in amount to cover all 
installments due on such that parcel and accrued interest, 
penalties, and costs, and all installments yet to accrue, by 
surrendering the certificates or bonds to the county treasurer 
for cancellation or having endorsed thereon on them the 
installments, interest, penalties, and costs. 
     Subd. 3.  [ASSESSMENTS ARE LIENS; DEFENSE.] The An 
assessment shall be is a lien on the land from the time of the 
making thereof as against the owner and every person in any way 
interested in the land.  The owner of and any person interested 
in the land and any person interested therein may defend against 
an assessment at the time of application for judgment in the 
regular proceedings for the enforcement of delinquent taxes, but.
The assessment shall is not be deemed invalid because of any 
irregularity, provided if the notices have been published 
substantially as required, and.  No defense shall be is allowed 
except upon the ground that the cost of the improvement is 
substantially less than the amount of the assessment, and then 
only to the extent of the difference between the assessment and 
the actual cost. 
     Subd. 4.  [NAMING AND NUMBERING OF ASSESSMENTS.] 
Assessments made under this chapter shall must be called special 
street, motor vehicle parking lot, and parkway assessments of 
the city of .....  and numbered consecutively.  When an 
assessment is certified by the city clerk to the county auditor, 
a duplicate thereof shall must be sent to the city comptroller, 
and; all these assessments shall must be sufficiently 
identified by name and number.  
    430.07 [METHOD OF IMPROVEMENTS; ASSESSMENTS.] 
    Subdivision 1.  [RESOLUTIONS.] The city council and park 
commissioners may, by concurrent resolution, or by separate 
resolution when acting separately, specify the method of 
improving any such street, pedestrian mall, park, or parkway 
under this chapter, including grading, drainage, planting, 
street lighting, paving, curb curbing, gutter, building gutters 
and sidewalk sidewalks, as well as installing sewer and water 
mains where necessary in the case of parks, the and installing 
necessary structures and apparatus for playgrounds and general 
park uses. 
    Subd. 2.  [DEFINITION; PEDESTRIAN MALL IMPROVEMENT.] A " 
Pedestrian mall improvement shall mean and include any" means an 
improvement designed and to be used primarily for the movement, 
safety, convenience, and enjoyment of pedestrians, whether or 
not a part of a street is set apart for roadway for emergency 
vehicles, transit vehicles and, or private vehicles or any of 
them, and.  A "pedestrian mall improvement" may provide for, 
and include space for, seating, cafe tables, shelters, trees, 
flower plantings, sculptures, newsstands, telephone booths, 
traffic signs, kiosks, fire hydrants, street lighting, 
ornamental signs, ornamental lights, trash receptacles, display 
cases, marquees, awnings, canopies, overhead radiant heating 
fixtures, underground radiant heating pipes and devices, walls, 
bollards and chains, and all such other similar fixtures, 
equipment, facilities, and appurtenances which, in the judgment 
of the council, will enhance the movement, safety, convenience, 
and enjoyment of pedestrians and benefit the city and adjoining 
properties;.  Sidewalks on pedestrian malls may be constructed 
of concrete, bricks, asphalt tiles, blocks, granite sets or such 
other materials and such combinations of materials as the 
council shall approve approves. 
    Subd. 3.  [COUNCIL'S POWERS.] The council may in its 
discretion narrow any a roadway to be kept and maintained in 
connection with any a pedestrian mall, may cause any have street 
vaults to be reconstructed or removed, may construct crosswalks 
at any point within a block as well as and at the ends of 
blocks, and may cause design the roadway to curve and meander 
within the limits of the street regardless of the uniformity of 
width of the street or curve or absence of curve in the center 
line of such the street to enhance the usefulness and appearance 
of a pedestrian mall. 
    Subd. 4.  [ESTIMATED COST; ASSESSMENT.] The city engineer 
shall estimate the cost of each item in the an improvement 
separately, or by reasonable classifications detailed to the 
satisfaction of the city council or the park commissioners, 
and shall submit the estimate with the plat.  In the case of 
property used for residential purposes only and for not to 
exceed no more than a four-family dwelling, these 
estimates shall be for may not to exceed six-inch water mains 
and not to exceed 24-inch sewers.  The city council shall 
examine the estimates and, after modifying, change them if 
necessary, find and adopt an estimate of the cost.  The city 
council, in appointing commissioners, shall recite provide the 
estimate, and the commissioners shall assess the amount thereof, 
or so much thereof of the estimate or a part of it as shall be 
directed by the city council, upon such lots and parcels of land 
in the city as they shall deem consider specifically benefited, 
in proportion to such the benefits, and not exceeding the actual 
benefit to any a parcel, and.  The commissioners shall add the 
same these assessments to the benefits assessed under section 
430.02 and report the net result of damages or benefits as 
required by section 430.02, and with like proceedings 
thereafter.  The procedure following the report must be the same 
as that following a report under section 430.02. 
    Subd. 5.  [MISTAKEN ESTIMATES.] If, in any proceedings 
under this chapter, the actual cost of the improvement of any a 
street, park, or parkway in the manner herein designated is less 
than the estimated cost thereof, as found and adopted by it, the 
city council, except as otherwise provided by this 
subdivision, the council shall immediately cancel and annul the 
assessments made in the proceedings to an a total amount which, 
in the aggregate, shall that does not exceed such the fractional 
part of the total amount of the excess of estimated cost over 
the actual cost as shall be equivalent to the fraction obtained 
by dividing the total amount of the assessments by the total 
amount of the estimated cost. 
    In case If the assessments in any a proceeding have not 
been entirely collected, or in case if the city council deems 
considers that any such assessments cannot be fully collected, 
the city council may direct the city comptroller to retain keep 
in the fund in the proceeding a sum sufficient, in the judgment 
of an amount the city council, to thinks will cover the 
deficiencies in the collection of the assessments, and.  The 
city council shall direct that the balance rest of the excess of 
estimated cost shall must be disposed of in the following 
manner.  The city council shall direct the city comptroller to 
certify the amount of this balance to the county auditor.  The 
auditor shall thereupon deduct the amount from the first 
installment of the assessment to be collected after the receipt 
of this the certificate.  This deduction shall must be made from 
the assessment against each piece or parcel of property in the 
proportion that the excess, as certified by the city 
comptroller, bears to the total of the installment of the 
assessment.  If the balance as certified, exceeds one 
installment, it shall also must be deducted in like manner from 
succeeding installments until the same it is fully deducted. 
    If the assessment against a piece or parcel of property has 
been paid in full, and the amount to be refunded does not exceed 
$1, the city council may deposit the amount of the potential 
refund in the city's permanent improvement fund or bond 
redemption fund. 
    If the amount to be refunded exceeds $1, but does not 
exceed $20, the city comptroller shall mail to the current owner 
of the property a notice stating that the refund is available.  
The notice shall must be mailed within 60 days after the city 
council determines the actual cost of the improvement. 
    If the amount to be refunded exceeds $20 the following 
notice procedure shall must be followed.  The city comptroller 
shall mail to the person who owned the property when the 
assessment was paid, at the person's last known address, a 
notice stating that the refund is 1; available.  The notice 
shall must be mailed within 60 days after the city council 
determines the actual cost of the improvement.  If a response is 
not received from the owner within ten days of the date of 
mailing, a second notice shall must be mailed.  If the refund is 
not claimed by the person who owned the property when the 
assessment was paid, within 30 days of the date of mailing of 
the last required notice, the city council may deposit the 
amount of the potential refund in the city's permanent 
improvement fund or bond redemption fund. 
    Subd. 6.  [PAYMENTS BY CITY.] If any portion some of the 
damages and cost of the improvement has been paid by the city, 
the city council shall direct the city comptroller to certify to 
the county auditor only that percentage part of the balance or 
excess of estimated cost as shall be equal to the percentage 
part of the total estimated cost of the improvement and 
damages which that has been or is assessed against benefited 
property.  No such certificate shall be directed by The council 
or shall not direct that a certificate be issued to the county 
auditor until after a report from the city engineer reports that 
the improvement work under any such proceeding has been 
completed and each item of damage or cost in the proceeding has 
been paid, and.  This report by the city engineer shall must be 
made to the city council immediately upon the completion of the 
work in the proceeding.  In any a proceeding where there is or 
may be an excess of estimated cost and there is or shall will be 
a balance in the fund in the proceeding over and above the 
actual cost, the city council shall be entitled to may withdraw 
from this the fund a percentage of the fund equal to the 
percentage of the cost of the improvement paid by the city, and 
cause have this percentage to be money deposited in the fund 
from which it was originally drawn or taken by the city council. 
    Subd. 7.  [PERMISSIBLE IMPROVEMENTS.] Any existing A 
street, park or, parkway, or pedestrian mall may be improved and 
the expense thereof cost assessed and raised in the manner 
provided by under this chapter for acquiring and opening 
streets, parks, parkways and pedestrian malls and improving the 
same, including any or all of the following improvements:  
widening, grading, drainage, planting, pavement, sidewalks, curb 
and gutter, sewers and water mains, and in the case of parks, 
the necessary structures and apparatus for playgrounds and 
general park uses.  In case of For streets or parkways exceeding 
over 80 feet in width wide, the resolution may, for the purpose 
of facilitating to facilitate connections with private property 
and obviating the necessity of avoid cutting or breaking into 
the improvements, order a double water main or a double sewer, 
one on either side of the street or parkway, or adopt such other 
another feasible arrangement or device as may seem most feasible.
    430.08 [ASSESSMENTS IN FIVE LIMIT ON ASSESSMENT 
INSTALLMENTS.] 
    Where lands are If land is acquired hereunder under this 
chapter for streets, parks, and parkways and the total cost 
thereof shall be for less than $3,000, the amount of the 
assessment therefor shall for the cost must be collected in not 
more less than five six equal annual installments.  
    430.09 [TITLE ACQUIRED.] 
    The Title obtained to land designated for park purposes and 
motor vehicle parking lots under this chapter shall must be an 
absolute estate in fee simple, unqualified in any way, and must 
vest in the city.  In other lands The city shall take only an 
easement only shall be taken in other land.  
    430.10 [CONTROL OF STREETS, PARKS, AND PARKWAYS, HOW 
GOVERNED.] 
    When the proceedings under this chapter are completed, the 
streets, parks, and parkways shall must be governed as other 
streets, parks, and parkways are governed by the city council 
and board of park commissioners respectively; but such.  Streets 
, however, may be taken by the board of park commissioners for 
parkways with the consent of the city council, and parkways may 
be taken by the city council for streets with the consent of the 
board of park commissioners.  When proceedings for the 
acquisition of motor vehicle parking lots are completed, the 
parking lots so acquired shall must be controlled and operated 
by the city council.  The city council shall fix set parking 
rates for parking, which rates shall be sufficient to defray so 
as to pay the cost of operation of such parking the lots.  All 
moneys so Money received shall must be deposited in a fund 
designated by the city council and shall be kept separate and 
distinct from all other city funds.  Funds which may be 
available in any other another permanent or current fund may be 
advanced to such the designated fund for temporary use, and 
shall must be returned to the fund, or funds, from which 
advanced when receipts from operation permit.  
    430.101 [PEDESTRIAN MALLS, HOW USED; PLAN, REGULATION AND 
PERMITS; ADVISORY BOARDS.] 
    Subdivision 1.  [USE OF PEDESTRIAN MALLS, HOW USED.] Any A 
pedestrian mall acquired pursuant to under section 430.01 or 
improved pursuant to under section 430.07 may be used, under the 
direction of the city council, for any purpose or activity which 
that will enhance the movement, safety, convenience, or 
enjoyment of pedestrians, including seating, sidewalk cafes, 
displays of merchandise, exhibits, advertising, telephone, 
transit, newsstands, bus shelters, plantings, adornment, 
protection against the elements, and any other use or activity 
which in the judgment of the council will enhance the movement, 
safety, convenience or enjoyment of pedestrians and any other 
use or activity permitted by any an applicable pedestrian mall 
ordinance adopted pursuant to under section 430.011 or other 
applicable law, ordinance, or power.  
    Subd. 2.  [REGULATION AND PERMITS.] After a pedestrian mall 
ordinance shall have has been adopted or lands shall have land 
has been acquired for a pedestrian mall, the city engineer 
, shall prepare a plan and submit it to the city council.  The 
plan must be prepared with the assistance of the city attorney 
and of any consulting engineer or landscape architect or other 
consultant employed by the council for the purpose and the 
assistance of any to assist an advisory board appointed pursuant 
to under subdivision 3, shall prepare and submit to the city 
council a plan encompassing.  The plan must include: 
    (a) (1) the initial distribution and location of movable 
furniture, sculpture, or pedestrian traffic control devices, 
flowers, and other facilities belonging to the pedestrian mall 
and not otherwise located or fixed by the plans and 
specifications; 
    (b) (2) the initial uses to be permitted on the mall to 
occupants of abutting property, any a transit or telephone 
utility, vendors, and others to serve the convenience and 
enjoyment of pedestrians, and the location of such those uses; 
    (c) (3) proposed regulations governing the modification of 
such charges in the distribution of movables and such permitted 
uses, the issuance of permits for such uses, and fees and 
rentals to be charged for such permits and uses; and 
    (d) (4) the operation of any lighting, heating, or other 
facilities in the mall, replacing flowers, and maintaining the 
furniture and facilities in the mall.  
    Such The plan shall must be filed with the city clerk and 
be open to inspection and.  The city council shall by ordinance 
or ordinances approve and adopt such the plan and such 
regulations, with such additions or modifications as it shall 
deem considers proper and after such notice and such hearings 
before it or its appropriate committee as that the council shall 
deem considers necessary or desirable.  The council shall have 
like authority to may amend the plan and regulations at any time 
and from time to time.  Any furniture, structure, facility, or 
use located or permitted pursuant to under the plan or a 
pedestrian mall improvement in the street or part thereof 
covered by the plan or improvement shall is not, by 
reason because of such that location or use, be deemed a 
nuisance or unlawful obstruction or condition, and.  Neither the 
city nor any user acting under permit shall be is liable for any 
injury to person or property unless such the furniture, 
structure, facility, or use shall be is negligently constructed, 
maintained, or operated.  
    Subd. 3.  [ADVISORY BOARD.] In its discretion, the city 
council may create and appoint an advisory board or boards, of 
which.  A majority of the members of each board shall must be 
owners or occupants of properties adjoining a pedestrian mall or 
malls or their representatives, to.  The board shall advise the 
city council and the city engineer in connection with on the 
acquisition, construction, and improvement of a pedestrian 
mall or malls, the making of a plan therefor for the mall, and 
the operation and maintenance thereof of the mall, and to meet 
and furnish make recommendations on complaints and requests of 
members of the public and of owners and occupants of adjoining 
property.  Each An advisory board may elect an executive 
secretary, who need not be a member of the board, to keep its 
minutes, records, and correspondence and to communicate with the 
city council, the city engineer and, other officials and with, 
owners and occupants of adjoining properties, and users of the 
pedestrian mall or malls.  
    430.102 [PEDESTRIAN MALL ANNUAL COSTS; ANNUAL IMPROVEMENT 
ASSESSMENTS AND SPECIAL TAXES; APPEALS; COSTS DEFINED.] 
    Subdivision 1.  [COSTS; ESTIMATES; CATEGORIES.] 
Concurrently with (a) When the submission of the plan, is 
submitted and then annually thereafter on or before June 15 of 
each year, the city comptroller and city engineer shall, with 
the assistance of the advisory board, if any, report to the city 
council:  (1) an estimate of the cost of operating and 
maintaining and annual improvement costs to each pedestrian mall 
improvement district in the city for the city's next fiscal year 
of the city to be incurred under the plan then in effect,; and 
(2) an estimate of changes in the amounts of such those costs 
which that would follow upon the adoption of any addition or 
amendment to result from any change in the plan recommended to 
or under consideration by the city council.  Such (b) The 
estimate shall must be reasonably itemized and shall include a 
summary of the categories of cost properly chargeable as follows:
    (a) (1) the amount of such costs to be charged against the 
general funds of the city, which shall be that the amount which 
the city would pay from its general funds for street maintenance 
and operations on a street of similar size and location but not 
improved as a pedestrian mall.;  
    (b) (2) the amount of costs to be charged against benefited 
properties in the district in proportion to benefits, which 
shall be is the aggregate total of costs of annual improvements 
to be made in the district during the ensuing year, not 
exceeding the aggregate of total benefits to the assessable 
tracts and parcels of land in the district received from such 
the annual improvements.; and 
    (c) (3) the amount of costs, if any, to be specially taxed 
against properties in the district in proportion to the cash 
valuation of such those properties, which shall be is the net 
amount of estimated costs remaining after deducting the amounts 
amount to be charged to the general funds of the city pursuant 
to paragraph (a) under clause (1), the amount to be specially 
assessed pursuant to paragraph (b) under clause (2), and rentals 
to be received on account of for use of the mall by vendors.  
    Subd. 2.  [COUNCIL APPROVAL; EFFECT; SPECIAL TAX LEVY 
LIMITATION.] The council shall receive and consider such the 
estimate required in subdivision 1 and the items of cost after 
such notice and hearing before it or its appropriate committee 
as it shall deem considers necessary or expedient, and shall 
approve the same estimate, with such necessary 
amendments thereto as it shall find necessary, and.  The amounts 
of each item of cost estimated shall be deemed are then 
appropriated and expendable for and to operate, maintain, and 
improve the pedestrian mall during the ensuing next fiscal year. 
The amount of the special tax to be charged pursuant to 
paragraph (c) of under subdivision 1 shall, clause (3), must 
not, however, exceed 50 cents per $100 of assessed valuation of 
taxable property in the district, and.  The council shall make 
such any necessary adjustment in costs of operating and 
maintaining the district as may be necessary to keep the amount 
of such the tax within such this limitation.  
    Subd. 3.  [ANNUAL IMPROVEMENT ASSESSMENT PROCEDURE; 
APPEALS.] When the council shall have has acted on the estimate 
of costs, the city engineer, with the assistance of the city 
assessor, shall prepare an assessment roll setting forth.  The 
roll must list separately the amounts to be specially assessed 
against the benefited and assessable properties property in the 
district in proportion to the benefits, descriptions of such 
properties the property, and the names of the owners of such 
properties, so far as such names the property to the extent they 
are available to the engineer.  The assessment roll, when so 
prepared, shall must be filed in the office of the city clerk 
and be there available there for inspection. 
    The city council shall meet to consider objections to the 
amounts of such special assessments at least ten days after a 
notice of hearing has been mailed to the named owners of all the 
tracts, parcels, and lots of property proposed to be assessed.  
The notice shall set forth must give the time and, place, and 
purpose of the meeting, and set forth the purpose of such 
meeting, but may refer to the assessment roll for further 
particulars.  When the city council shall have has approved the 
amounts of the special assessments set forth therein, in the 
assessment roll or as may be has changed by it them, the city 
clerk shall forthwith certify a copy of the assessment roll, 
with such any changes, if any, to the county auditor to be 
extended on the tax lists of the county and to.  The special 
assessments must be collected with and in the same manner as 
other taxes on property for the current year. 
    Within 20 days after the adoption of the assessment, any an 
aggrieved person aggrieved may appeal to the district court as 
provided in section 430.03 except that no commissioners shall 
not will be appointed to consider the amount of benefits;.  If 
the court shall find finds that the assessment is not arbitrary, 
unreasonable, or made under a demonstrable mistake of fact or 
erroneous theory of law, it shall confirm the proceedings, but; 
otherwise the court shall remand the same matter to the city 
council for reconsideration and reassessment of the benefits 
upon like after notice and hearing as in the case of like those 
for the original assessments under this subdivision.  All 
Objections to the assessment shall be deemed are waived unless 
presented on such appeal appealed under this paragraph. 
    Subd. 4.  [COSTS AND ANNUAL IMPROVEMENTS DEFINED.] For the 
purposes of this chapter "annual improvements" shall, with 
respect to pedestrian malls, mean and include "annual 
improvements" means any reconstruction, replacement, or repair 
of trees and plantings, furniture, shelters, and other 
facilities of a pedestrian mall, furnishing overhead or 
underground heating for snow removal or for enjoyment of 
pedestrians, and any other local improvement which 
benefits benefiting properties within the district.  For the 
purposes of this chapter, "costs" shall, with respect to annual 
improvements to and operation and maintenance of pedestrian 
malls, mean and include "costs" means costs of annual 
improvements;, fees of consultants employed by the city council 
to assist in the planning of annual improvements;, premiums upon 
on public liability insurance insuring the city and users of the 
pedestrian mall and upon on property damage insurance for 
pedestrian mall facilities;, reasonable and necessary costs to 
the city for the time of city officials and employees spent in 
connection with annual improvements to and operating and 
maintaining a pedestrian mall and levying and collecting special 
assessments and special taxes therefor; for the mall, 
publication costs;, and all other costs incurred or to be 
incurred in connection with annual improvements to and operation 
and maintenance of pedestrian malls.  
    Subd. 5.  [SPECIAL ACCOUNT; EXCESS COSTS; BALANCES.] Moneys 
Money appropriated and collected on account of for annual 
improvement costs and costs of operating and maintaining a 
pedestrian mall shall must be credited to a special account.  
The council shall have authority to may incur costs for annual 
improvements to or for operating and maintaining a pedestrian 
mall during any fiscal year, though not provided for in an 
approved estimate for such that fiscal year, if in its 
discretion it shall deem the council considers it necessary to 
provide for such annual improvements or operation or maintenance 
prior to before the succeeding fiscal year.  In such that case, 
the costs incurred shall must be included in the next estimate 
of costs to be approved.  Any balances to the credit of the 
account established for a pedestrian mall and 
remaining unexpended unspent at the end of the a fiscal year 
shall must be charged against the proper category of the next 
estimate of costs to be approved.  
    430.11 [IMPROVEMENTS, WHEN AND HOW TO BE MADE PROMPTLY.] 
    The improvements so ordered shall under this chapter must 
be made as soon as possession possible after the land is secured 
, and shall be made by the body which conducts conducting the 
proceedings for acquisition. 
    430.12 [BONDS FOR IMPROVEMENTS.] 
    The city council, for the purpose of realizing the funds 
for making an improvement and paying damages may, from time to 
time as may be needed, issue and sell special certificates of 
indebtedness, or special street or parkway improvement bonds, as 
they may decide, which shall entitle as necessary to pay for 
making improvements and paying damages.  The holder thereof 
holders of the certificates or bonds are entitled to all 
sums amounts realized upon on any assessment, or, if deemed 
advisable, in the council's discretion, the holders of a series 
of two or more certificates or bonds have those rights against 
any one assessment, or against the assessments in two or more 
different proceedings,.  The principal and interest being will 
be payable at fixed dates out of the funds collected from the 
assessments, including interest and penalties, and the whole of 
the fund or those funds is hereby are pledged for the pro rata 
payment of the certificates or bonds and the related interest 
thereon, as they severally become due.  These certificates or 
bonds may be made payable to the bearer, with interest coupons 
attached, and the city council may bind the city to make good 
deficiencies in the collection up to, but not exceeding, the 
principal and interest at the rate fixed, as hereinafter 
provided, under this section and for the time specified in 
section 430.06.  If the city, because of this guaranty, shall 
redeem any redeems a certificate or bond, it shall thereupon be 
is subrogated to the holder's rights.  For the purpose of this 
guaranty, penalties collected shall must be credited upon 
deficiencies of principal and interest before the city shall be 
is liable.  These certificates or bonds shall must be sold at 
public sale or by sealed proposals at a meeting of which after 
at least two weeks' published notice shall be given, to the 
purchaser who will pay the par value thereof at the lowest 
interest rate, and.  The certificates or bonds shall must be 
drawn accordingly, but.  
    The rate of interest shall in no case may not exceed seven 
percent per annum year, payable annually or semiannually.  The 
city clerk shall certify to the county auditor the rate of 
interest so determined at the first bond sale held for any such 
improvement under this chapter, and interest shall must be 
computed upon on the assessments at this annual rate, in 
accordance with the terms of section 430.06.  In case If the 
rate of interest so determined at any subsequent bond sale for 
the same improvement is greater than the rate so determined at 
the first bond sale therefor, the difference between these rates 
of interest shall must be a general city charge.  
    In case If the proceeds of any special certificates of 
indebtedness or special street or parkway improvement bonds are 
in excess of the amount actually necessary to make the 
improvements for which the same they were issued, or in case if 
the proceeds are not immediately required for the prosecution or 
completion of the improvement, these the proceeds may meanwhile 
be used by the city council for the making of other improvements 
authorized under the provisions of this chapter, and the amount 
of the proceeds so used shall must be replaced and made good 
so far as may be necessary from the proceeds of special 
certificates of indebtedness or special bonds issued for the 
purpose of making such other improvements.  
    Sections 474A.01 to 474A.21 apply to any issuance of 
obligations issued under this section which that are subject to 
limitation under a federal volume limitation act as defined in 
section 474A.02, subdivision 9, or existing federal tax law as 
defined in section 474A.02, subdivision 8. 
    430.13 [SCOPE OF CHAPTER.] 
    The provisions of This chapter shall apply applies to all 
cities of the first class.  
    The term "city council" shall be held to refer to means the 
governing body of such cities, whether so-called or called 
common council or otherwise a city.  
    Any Certificates or bonds that may be issued to finance an 
improvement shall be accounted a under this chapter are part of 
the bonded debt of the city.  In calculating the net 
indebtedness of the city due to the issue of any such 
certificates or bonds, there may be deducted from the gross debt 
of the city the amount of any such certificates or bonds that 
are payable wholly or partly from collections of special 
assessments levied on property benefited thereby by the 
improvements, including those which are the general obligations 
of the issuing city issuing the same, if the city is entitled to 
reimbursement, in whole or in part, from the proceeds of special 
assessments levied upon property especially benefited by such 
the improvements.  
    430.14 [POWERS ADDITIONAL POWERS.] 
    The powers herewith granted shall be deemed an in this 
chapter are in addition to all other powers under existing in 
laws and city charters and do not a repeal or modification 
thereof modify any law or city charter. 
    430.15 [PAYMENT BY CITY; GIFTS.] 
    The A city may also, if it have has funds available from 
other sources, pay any portion part of the total cost of any 
an improvement as it deems best and raise the remainder rest by 
the methods provided in this chapter.  It The city may also 
accept gifts to be used for any such purpose to pay for an 
improvement. 

                               ARTICLE 10
    Section 1.  Minnesota Statutes 1986, chapter 447, is 
amended to read:  
    447.04 [CHARITY BUREAU.] 
    The council of any a statutory city now or hereafter having 
with a population of more than over 8,000, may establish and 
maintain a public charity bureau for the purpose of providing to 
give public charitable relief to the city's poor therein, and to 
assist help ex-service persons in securing get hospitalization, 
sick relief, federal aid or benefits, and for the relief 
generally of such persons, and to defray the expense thereof pay 
for the relief.  
    447.045 [LIQUOR DISPENSARY FUND, COMMUNITY HOSPITAL.] 
    Subdivision 1.  [HOME RULE CHARTER CITY, FOURTH CLASS.] The 
council of any If a home rule charter city of the fourth 
class operating under a home rule charter and operating operates 
an off-sale municipal liquor dispensary, its council may 
appropriate not to exceed more than $125,000 from the liquor 
dispensary fund to any duly an incorporated nonprofit hospital 
association for the construction of to build a community 
hospital in such the city.  The hospital must be governed by a 
board including two or more members of the city council and be 
open to all residents of the city on equal terms.  No such 
appropriation shall be made in any city where The council must 
not appropriate the money unless the average net earnings of the 
off-sale municipal liquor dispensary had not have exceeded 
$18,000 for the last five completed fiscal years 
preceding before the date of such the appropriation.  
    Subd. 2.  [STATUTORY CITY; ON-SALE AND OFF-SALE STORE.] If 
the voters of any a statutory city operating an on-sale and 
off-sale municipal liquor store, at a general or special 
election, vote in favor of contributing from its liquor 
dispensary fund toward the construction of a community hospital, 
the city council thereof may appropriate not to exceed more 
than $60,000 from its liquor dispensary the fund to any duly 
incorporated nonprofit hospital association for the construction 
of to build a community hospital in the statutory city.  The 
hospital must be governed by a board including two or more 
members of the statutory city council and be open to all 
residents of the statutory city on equal terms.  This 
appropriation shall must not exceed one-half the total cost of 
construction of the hospital.  No such appropriation shall be 
made in any statutory city where The council must not 
appropriate the money unless the average net earnings of the 
on-sale and off-sale municipal liquor store have been less than 
at least $10,000 for the last five completed fiscal years 
preceding before the date of such the appropriation.  
    Subd. 3.  [STATUTORY CITY; OFF-SALE OR ON- AND OFF-SALE 
STORE.] (a) If the voters of any a statutory city 
operating operates an off-sale, or an on- and off-sale municipal 
liquor store at it may provide for a vote at a general or 
special election vote in favor on the question of contributing 
from the village city liquor dispensary fund toward the 
construction, maintenance and operation of to build, maintain, 
and operate a community hospital,.  If the vote is in favor, the 
city council thereof may appropriate money from the fund to an 
incorporated hospital association for a period of four years 
thereafter appropriate from its liquor dispensary fund to any 
duly incorporated nonprofit hospital association not to exceed 
$4,000 of.  The appropriation must be from the net profits or 
proceeds of the municipal liquor store in any one.  It must not 
exceed $4,000 a year for hospital construction and maintenance 
of any such hospital in such statutory city; and not to 
exceed or $1,000 in any one a year for the operation 
thereof; and.  The hospital shall must be open to all residents 
of the community on equal terms.  
    (b) No such appropriation shall be made in any statutory 
city where The council must not appropriate the money unless the 
average net earnings of the off-sale, or on- and off-sale 
municipal liquor store have been less than at least $8,000 for 
the last two completed years preceding before the date of such 
the appropriation.  
    Subd. 4.  [FOURTH-CLASS CITY OPERATING STORE.] If the 
voters of any a city of the fourth class, operating one or 
more operates a municipal liquor stores store, it may provide 
for a vote at a general or special election vote in favor on the 
question of contributing from the profit in the city liquor 
dispensary fund toward the construction, equipping and 
maintenance of to build, equip, and maintain a community 
hospital within the city limits of the city.  If the vote is in 
favor, the city council thereof may appropriate not to exceed 
more than $200,000 from profits in its liquor dispensary the 
fund for the construction, equipping and maintenance of a 
community hospital in such city and the purpose.  The hospital 
must be open to all residents of the city on equal terms.  
    The city may issue certificates of indebtedness in 
anticipation of such profits may be issued by any such city and 
payable only from profits from the operation of such store 
or municipal liquor stores.  
    Subd. 5.  [STATUTORY CITY; APPROPRIATION TO HOSPITAL 
ASSOCIATION.] (a) The council of any a statutory city operating 
either an on-sale or an off-sale a municipal liquor store, or 
both, may appropriate funds from the store's net earnings 
thereof, annually, not exceeding 50 percent thereof to any duly 
incorporated nonprofit hospital association to aid in the 
maintenance and cost of operation of such help maintain and 
operate the hospital, provided such.  The appropriation must not 
exceed 50 percent of the store's net earnings.  Money may be 
appropriated if:  (1) the hospital is governed by a board of 
directors including two or more members of the statutory city 
council, and; (2) the hospital grounds and buildings are owned 
by the municipality and leased to such the hospital association
,; and provided (3) the hospital is open to all residents of the 
statutory city on equal terms.  
    (b) No such appropriation shall be made in any statutory 
city where The council must not appropriate the money unless the 
average net earnings of the on-sale, the off-sale, or the 
on-sale and off-sale municipal liquor store have has been less 
than at least $8,000 for the last five completed fiscal years 
preceding before the date of such the appropriation.  
    Subd. 6.  [STATUTORY CITY; FOURTH CLASS.] If the electors 
at any general or special election held in any a fourth class 
statutory city of the fourth class, which city operates a 
municipal liquor store, vote in favor it may provide for a vote 
at a general or special election on the question of contributing 
from the city liquor dispensary fund an amount not to exceed 
more than $15,000 per a year for each of five years toward the 
construction and maintenance of to build and maintain a 
community hospital,.  If the vote is in favor the council may 
appropriate not to exceed said amount each year for not to 
exceed five years out of said fund and may pay the same to 
any the money from the fund to an incorporated community 
hospital association in the city. 
    Subd. 7.  [STATUTORY CITY; ANY STORE.] If the voters of any 
a statutory city operating an on-sale, or an off-sale, or an 
on-sale and off-sale operates a municipal liquor store at, it 
may provide for a vote at a general or special election vote in 
favor on the question of contributing from the statutory city 
liquor dispensary fund toward the acquisition, construction, 
improvement, maintenance, and operation of a community 
hospital.  If the vote is in favor, the council may 
appropriate such sums of money as said council may from time to 
time determine out of the net profits or proceeds of the 
municipal liquor store to any an incorporated nonprofit hospital 
association in the statutory city,.  The hospital association 
must be governed by a board of directors elected by donors of 
$50 or more, who shall each have one vote; and.  The hospital 
shall must be open to all residents of the community on equal 
terms. 
    447.05 [HOSPITALS; HOME RULE CHARTER CITIES OF THE THIRD OR 
FOURTH CLASS.] 
    Any A home rule charter city of the third or fourth class 
may by resolution or ordinance approved by two-thirds of the 
members of the council, acquire, establish, and operate 
hospitals.  The city may take those actions by resolution or 
ordinance approved by two-thirds of the city council. 
    447.06 [ACQUISITION OF SITES AND PROPERTY.] 
    Any A city mentioned in section 447.05 may acquire property 
by grant, gift, devise, purchase, or condemnation, or otherwise, 
any property necessary, convenient, or desirable for the purpose 
of establishing, maintaining, equipping, improving, owning, and 
operating any to establish, maintain, equip, improve, own, and 
operate a hospital, hospital site, or hospital grounds within 
the city limits of the city and such.  The city is hereby 
empowered to may hold, own, and operate any a hospital, hospital 
grounds and sites, and other real and personal property, 
heretofore previously transferred or conveyed to the city, by 
gift, devise, bequest, or otherwise it for hospital purposes.  
    447.07 [RULES.] 
    The city council of the city is hereby empowered to make 
such may adopt rules and regulations for the operation of such 
the hospitals and to appoint such a board to manage its hospital 
affairs and property, as it may deem finds necessary, proper, or 
expedient.  
    447.10 [TAX LEVY FOR OPERATING AND MAINTAINING HOSPITAL.] 
    The governing body of any a city of the first class in this 
state owning a hospital, is hereby authorized to may annually 
levy and collect a tax not to exceed one-third of one mill on 
each dollar of the taxable property of the city for the purpose 
of operating and maintaining such to operate and maintain the 
hospital.  The tax must not exceed one-third of one mill on each 
dollar of the city's taxable property.  
    447.11 [SPECIAL FUND.] 
    The proceeds of this the tax under section 447.10 shall 
must be placed in a separate fund in the city treasury of the 
city levying the same and shall constitute a special fund, kept 
distinct from all other funds of the city, and used only for the 
purpose of operating and maintaining to operate and maintain the 
hospital.  
    447.12 [APPLICATION.] 
    Sections 447.10 to 447.13 apply only to those cities of the 
first class in the state as are or may hereafter be that are 
governed by a charter adopted pursuant to under the Minnesota 
Constitution of the state of Minnesota, article IV, section 36.  
    447.13 [POWER GRANTED ADDITIONAL TO EXISTING POWERS.] 
    The power of levying to levy the tax provided for in 
sections 447.10 to 447.13 shall be and is in addition to all 
existing powers and taxes that may now be levied by such the 
cities may now levy.  
    447.14 [GIFTS AND DEVISES IN TRUST FOR FREE MEDICAL 
DISPENSARIES AND FREE PUBLIC LIBRARIES.] 
    Any A city of the first class in the state, shall, in 
addition to all other powers now possessed by it, have, and it 
is hereby given, power and authority to may accept, in trust, 
gifts, devises, and bequests of money or property, whether the 
same be donated, devised, or bequeathed prior or subsequent to 
the passage of Laws 1913, chapter 232, for the purpose of 
founding, establishing, and maintaining to set up and run free 
medical dispensaries for the benefit of the poor of any such the 
city or of the county in which the city is situated, and for the 
purpose of founding, establishing, and maintaining free public 
libraries for the use and benefit of the inhabitants of any such 
city or of the county in which the city is situated residents.  
    447.15 [ADMINISTRATION OF TRUST; DESIGNATION OF TRUSTEES.] 
    Any such A city is hereby authorized and empowered to of 
the first class may administer any a gift, devise, or bequest to 
it in trust for the purposes aforesaid in sections 447.14 to 
447.16, by such officials, officers, or trustees as the donor or 
testator may designate for that purpose in the will or 
instrument creating the trust instrument and in accordance with 
the terms of such the will or instrument, and any.  Officers 
or officials of any such the city or of any the county in 
which any such where the city is situated as may be who are 
designated to administer any such trust by any in the will or 
other instrument creating the trust in any such municipality for 
either of the purposes aforesaid, are hereby empowered to 
administer, and are hereby charged with the duty of 
administering, such trust shall administer it in accordance with 
the instrument's terms of the will or instrument creating the 
same.  
    447.16 [APPLICATION.] 
    Sections 447.14 to 447.16 apply to cities of the first 
class in this state now or hereafter operating under a home rule 
charter adopted pursuant to under the Minnesota Constitution of 
the state of Minnesota, article IV, section 36.  
    447.31 [CREATION AND REORGANIZATION OF HOSPITAL DISTRICTS.] 
    Subdivision 1.  [RESOLUTIONS.] Any four or more cities and 
towns, however organized, except cities of the first class, 
may create a hospital district.  They must do so by resolutions 
adopted by their respective governing bodies or electors create 
a hospital district, and any.  A hospital district now or 
hereafter formed may by resolutions adopted by its hospital 
board and by the governing body or electors of each city and 
town included therein be reorganized, in accordance with the 
provisions of according to sections 447.31 to 447.37.  
Reorganization must be by resolutions adopted by the district's 
hospital board and the governing body or voters of each city and 
town in the district. 
    Subd. 2.  [TERRITORY.] No city or town shall be included in 
a hospital district created or reorganized hereunder under this 
section unless its entire territory is included therein in the 
district and unless such the territory is contiguous at one or 
more points to the territory of one or more of the other cities 
or towns included.  
    Subd. 3.  [CONTENTS OF RESOLUTION.] Each such A resolution 
shall under subdivision 1 must state that a hospital district is 
authorized to be created pursuant to under sections 447.31 to 
447.37, comprising the territory of four or more designated 
cities or towns, or that an existing hospital district, with 
reference to the cities and towns comprising the same, is 
authorized to be reorganized pursuant to under sections 447.31 
to 447.37, for the purpose of the acquisition, betterment, 
operation, maintenance, and administration of such in order to 
acquire, improve, and run hospital and nursing home 
facilities as that the hospital board shall determine decides 
are necessary and expedient in accordance with sections 447.31 
to 447.37 to be necessary and expedient; and each such.  The 
resolution must name the four or more cities or towns included 
in the district.  The resolution shall must be adopted by the 
approving vote of not less than a two-thirds majority of the 
members-elect of the governing body or board acting thereon on 
it, or by the electors voters of the city or town in the manner 
herein as provided in this section. 
     Each resolution adopted by the governing body of a city or 
town shall must be published in its official newspaper and shall 
become effective takes effect 40 days after such publication, 
unless within said period a petition shall be for referendum on 
the resolution is filed with the governing body, within 40 
days.  A petition for referendum must be signed by qualified 
electors of the city or town, equal in number to at least five 
percent of the number of such electors voters voting at the last 
preceding election of officers thereof, requesting a referendum 
on the resolution; in which case the same shall not become 
effective.  If a petition is filed, the resolution does not take 
effect until approved by a majority of such qualified 
electors voters voting thereon on it at a regular municipal 
election or a special election which the governing body may call 
for said that purpose.  
     Alternatively, any such The resolution may also be 
initiated by petition filed with the governing body of the city 
or town, signed by at least ten percent of the number of 
qualified electors voters voting at the last general election, 
setting forth.  A petition must present the text of the proposed 
resolution proposed to be approved, and requesting request an 
election thereon; in which case on it.  If the petition is 
filed, the governing body shall call a special election for such 
the purpose, to be held within 30 days after the filing of such 
the petition, or may submit the resolution to a vote at any a 
regular municipal election which that is to be held within 
said the 30-day period, and.  The resolution shall become 
effective takes effect if and when approved by a majority of 
said qualified electors voters voting thereon on it at such 
the election.  Only one election shall be held within any given 
12-month period, upon resolutions initiated by petition of at 
least ten percent of the qualified voters voting at the last 
general election.  The notice of any such the election and the 
ballot used thereat shall must contain the text of the 
resolution, followed by the question:  "Shall the above 
resolution be approved?"  
    Subd. 4.  [FILING RESOLUTIONS.] The hospital district shall 
be deemed duly is created or reorganized on the effective date 
of the last resolution required to authorize the same it.  
However, certified copies of each resolution shall must be 
transmitted sent by the clerk or other recording officer of the 
governing body or board adopting it to the county auditor of 
each county in which containing territory of in the hospital 
district is situated, and upon receipt of all.  On receiving the 
required resolutions, each county auditor shall file certified 
copies thereof of them as a public record with the county 
recorder of the auditor's county, and.  The county auditor of 
the county in which the majority containing most of the 
population of the district is situated shall transmit send a 
certified copy of each resolution to the secretary of state to 
be filed as a public record.  
    Subd. 5.  [SPECIAL ELECTION FOR NEW BOARD.] As soon as may 
be after the reorganization or creation of any a hospital 
district, a special election for a new board must be called.  
The hospital board or, in the case of a new district, the 
governing body of the most populous city or town included 
therein in the district, shall call a special the election, 
to.  The election must be noticed, held, and canvassed in the 
manner herein provided for like other hospital district 
elections, to elect a new hospital board,.  The members of which 
shall thereupon forthwith the board qualify immediately on 
election and assume the powers and duties hereinafter set 
forth in this section.  
    Subd. 6.  [CORPORATE POWERS OF DISTRICT.] Every A hospital 
district created or reorganized pursuant to under sections 
447.31 to 447.37 shall be is a municipal corporation and 
political subdivision of the state and shall have has perpetual 
succession,.  It may contract and be contracted with, may and 
sue and be sued,.  It may but shall not be required to use a 
corporate seal,.  It may acquire such real and personal property 
as it may require, by purchase, gift, devise, lease, or 
otherwise, and needed.  It may hold, manage, control, sell, 
convey, or otherwise dispose of such the property as its 
interests require. 
     Upon reorganization of any a district all of the, real and 
personal assets, real and personal, of the preexisting district, 
including all property the legal title to which may have been 
held by any county for the use and benefit of the preexisting 
district, shall pass to the new reorganized district, and.  
"Assets" includes all property in which the county has held 
legal title for the use and benefit of the preexisting 
district.  All legally valid and enforceable claims and contract 
obligations of the preexisting district shall must be assumed by 
the new reorganized district; and all the.  Taxable property in 
such the district shall be is taxable for the payment of to 
pay any bonded debt theretofore incurred by or on behalf of the 
preexisting district.  Any Real, personal, or mixed properties, 
real, personal, or mixed, which that are acquired, owned, 
leased, controlled, used, or occupied by a district for the 
purposes of sections 447.31 to 447.37, shall be are exempt from 
taxation by the state or any of its political subdivisions. 
    447.32 [OFFICERS AND ELECTIONS.] 
    Subdivision 1.  [TERMS OF OFFICE.] Each hospital district 
shall be governed by a hospital board composed of one member 
elected from each city and town comprising said in the district 
and one member elected at large.  The A member's term of office 
of each member of the hospital board shall be is four years and 
until a successor qualifies, except that.  At the first election 
, however, members shall must be elected for terms to be 
designated set by the governing body calling the election, in 
such manner so that one-half of half the terms, as nearly as 
may be, shall expire on December 31 of the then next following 
even-numbered year and the remaining terms will expire two years 
from said that date; and thereafter, prior to the expiration of 
the term of each member.  After that, before a member's term 
expires, a new member shall be elected for a term of four years 
from said the expiration date.  Upon the death, resignation, or 
removal of any 
    If a member dies, resigns, fails to qualify, or moves from 
the hospital district, or upon the member's failure to qualify, 
a successor may be appointed by a majority of the remaining 
members of the board, to.  The successor shall hold office until 
December 31 following after the next regular hospital district 
election,.  At which the election a successor shall must be 
elected to fill the unexpired term. 
    Upon annexation of any When an additional city or town is 
annexed to the district, in accordance with section 447.36, its 
governing body shall by resolution appoint a member to the 
board, to.  The member shall hold office until December 
31 following after the next regular hospital district 
election,.  At which the election a successor shall must be 
elected for a term of either two or four years, to be designated 
set by the hospital board in such manner as to assure so that 
the number of members of the board whose terms expire in 
any subsequent later year will not exceed one-half of the 
members plus one. 
    Subd. 2.  [ELECTIONS.] Regular elections shall must be held 
in each hospital district at the same time and, in the same 
election precincts, and at the same polling places as general 
elections of state and county officers, except that.  
Alternatively, the hospital board may by resolution fix a 
date for an election, not later than December 7 immediately 
preceding just before the expiration of board members' terms, 
and.  It may establish the whole district as a single election 
precinct or may establish two or more different election 
precincts and polling places for such the elections; in which 
event.  If there is more than one precinct, the boundaries of 
the election precincts and the locations of the polling 
places shall must be defined in the notice of election, either 
in full or by reference to a description or map on file in the 
office of the clerk. 
    Special elections may be called by the hospital board at 
any time to vote on any matter required by law to be submitted 
to the electors, and such voters.  Special elections shall must 
be held within the election precinct or precincts and at the 
polling place or places designated by the board or,.  In the 
case of the first election of officers of a new district, 
precincts and polling places must be set by the governing body 
of the most populous city or town included in the district. 
    Advisory ballots may be submitted by the hospital board on 
any question which it may desire, relating to it wishes, 
concerning the affairs of the district, but only at a regular 
election or at a special election required to be held for 
another purpose. 
    Subd. 3.  [ELECTION NOTICES.] The notice of each election 
shall must be posted in at least one public and conspicuous 
place within each city and town included in the district, and 
shall.  It must be published in the official newspaper of the 
district or, if such a paper has not been designated, in a legal 
newspaper having general circulation within the district, at 
least one week before the election.  Failure to give such notice 
shall does not invalidate the election of an officer of the 
district.  Any A voter may contest a hospital district election 
in accordance with chapter 209, and any laws amending or 
supplementing the same, and said sections are hereby made 
applicable.  Chapter 209 applies to hospital district elections. 
    Subd. 4.  [CANDIDATES; BALLOTS; CERTIFYING ELECTION.] Any A 
person desiring who wants to be a candidate for member of the 
hospital board shall file with the clerk of the city or town in 
which the candidate resides, not more than 60 nor less than 45 
days before the election, an application to be placed on the 
ballot as a candidate for election either as member at large or 
as a member representing such the city or town, and all 
such where the candidate resides.  The application must be filed 
with the city or town clerk not more than 60 or less than 45 
days before the election.  Applications shall must be 
forwarded forthwith immediately to the clerk of the hospital 
district or, for the first election, the clerk of the most 
populous city or town. 
     Voting shall must be by secret ballot.  The clerk shall 
prepare, at the expense of the district, necessary ballots for 
the election of officers, placing thereon.  Ballots must contain 
the names of the proposed candidates for each office, and the 
length of the term of, each office, with and an additional blank 
space for the insertion of another name by the voter.  The 
ballots shall must be marked and initialed by at least two 
judges as official ballots and shall be used exclusively at the 
election.  Any proposition to be voted upon on may be printed on 
the same ballot as that provided for the election of officers or 
on a different ballot.  The hospital board may also authorize 
the use of voting machines subject to the applicable provisions 
of chapter 206, and any laws amending or supplementing the 
same.  Enough election judges may be appointed in such number as 
deemed necessary to receive the votes at each polling place, 
and.  They may be paid by the district at a rate to be 
determined set by the board.  The election judges shall act as 
clerks of election, count the ballots cast, and submit them to 
the board for canvass.  
     After canvassing the election, the board shall issue a 
certificate of election to the candidate for each office who 
received the largest number of votes cast for that each office.  
The clerk shall deliver such the certificate to the person 
entitled thereto to it in person or by certified mail, and.  
Each person so certified shall file an acceptance and oath of 
office in writing with the clerk within 30 days after the date 
of delivery or mailing of the certificate.  The board may fill 
any office in the manner as provided in subdivision 1 if the 
person elected thereto fails to qualify within said period 30 
days, but such qualification shall be is effective if made at 
any time before action the board acts to fill the vacancy has 
been taken. 
    Subd. 5.  [BOARD MEETINGS.] Regular meetings of the 
hospital board shall must be held at least once a month, at such 
a time and place as the board shall sets by resolution 
determine, and.  Special meetings may be held: 
     (1) at any time upon the call of the chair or of any two 
other members,; 
     (2) upon written notice mailed to each member three 
days prior to before the meeting, or; 
     (3) upon such other notice as the board by resolution may 
provide,; or 
     (4) without notice if each member is present or files with 
the clerk a written consent to the holding of the meeting, 
which.  The consent may be filed before or after the meeting.  
Any action within the authority of the board may be taken by the 
vote of a majority of the members present at a regular or 
adjourned regular meeting or at a duly called special meeting, 
if a quorum is present.  A majority of all the members of the 
board shall constitute constitutes a quorum, but a lesser number 
may meet and adjourn from time to time and compel the attendance 
of absent members. 
    Subd. 6.  [OFFICERS' ELECTION.] At its first regular 
meeting after each regular election, the board shall elect one 
of their number as chair, and.  They shall also select a clerk 
and treasurer who may be members of the board or others, as the 
board shall determine.  The chair, clerk, and treasurer shall 
hold office, as such, at the pleasure of the board, subject to 
the terms of any contract of employment which that the board may 
enter into with the clerk or treasurer. 
    Subd. 7.  [OFFICERS' DUTIES.] The chair shall preside at 
all meetings of the board, shall sign orders upon the treasurer 
for claims allowed by the board, and shall perform all duties 
usually incumbent upon such an a presiding officer.  The clerk 
shall record the minutes of all meetings of the board, shall 
countersign all orders upon the treasurer, and shall be the 
custodian of all district books and records of the district.  
The treasurer shall be the custodian of all moneys money 
received by the district, and shall pay out money only on orders 
signed by the chair and clerk.  Each order shall must state the 
nature of the claim for which it is issued, the name of the 
payee, and the fund on which it is drawn, and.  It may be so 
drawn so that when signed by the treasurer in an appropriate 
place it becomes a check on the depository of funds of the 
hospital district.  In case of absence, inability, or refusal of 
the chair, clerk, or treasurer to execute and disburse orders in 
payment of any a claim duly allowed by the hospital board, the 
board may declare any of said their offices vacant and fill the 
same them by appointment.  The board may also appoint a deputy 
to perform any and all the functions and duties of any of said 
the officers, subject to the officers' supervision and control 
of such officer. 
    Subd. 8.  [COMPENSATION.] The members of the hospital board 
shall receive such the compensation as may be fixed by the 
board.  In addition Each board member may also be reimbursed for 
all actual and necessary expenses incurred in the performance of 
official duties in the same manner and amount as provided for 
state employees, except for that mileage which shall must be 
compensated as provided in under section 471.665, subdivision 1. 
    447.33 [POWERS.] 
    Subdivision 1.  [BROAD POWERS OF DISTRICT.] Each hospital 
district created or reorganized under sections 447.31 to 
447.37 shall have all of has the powers necessary and convenient 
so that it may provide for the acquisition, betterment, 
operation, maintenance, and administration of such to acquire, 
improve, and run the hospital and nursing home facilities as the 
hospital board shall determine to be necessary and finds 
expedient.  The enumeration list of specific powers herein is 
in this section does not intended to restrict the power of the 
board to.  It may take any action which, in the reasonable 
exercise of its discretion, is reasonably necessary or 
convenient for the furtherance of to further the purpose for 
which the district exists, and which is not otherwise prohibited 
by law, whether or not the power to take such action is 
necessarily implied from any of the powers herein expressly 
granted.  
    Subd. 2.  [SPECIFIC POWERS.] Specifically, every district, 
acting through its hospital board, may: 
    (1) employ nursing, administrative, and other personnel, 
legal counsel, engineers, architects, accountants, and other 
qualified persons, who may be paid for their services by monthly 
salaries, hourly wages, and pension benefits, or by such any 
fees as may be agreed on; 
    (2) Cause have reports, plans, studies, and recommendations 
to be prepared; 
    (3) lease, purchase, and contract for the purchase of real 
and personal property by option, contract for deed, conditional 
sales contract, or otherwise, and acquire real or personal 
property by gift; 
    (4) lease or construct, equip, and furnish, and maintain 
necessary buildings and grounds and maintain the same; 
    (5) adopt, by resolution, rules and regulations for the 
operation and administration of any and all the hospital and 
nursing home facilities under its control, and for the admission 
of persons thereto patients; 
    (6) impose by resolution, and collect, charges for all 
services and facilities provided and made available by it; 
    (7) levy taxes as hereinafter prescribed in section 447.34; 
    (8) borrow money and issue bonds as hereinafter prescribed 
in sections 447.345 and 447.35; 
    (9) Procure buy liability insurance against liability of 
for the district or its officers and employees or both, for 
torts committed within the scope of their official duties, 
whether governmental or proprietary, and against damage to or 
destruction of any of its facilities, equipment, or other 
property; 
    (10) sell or lease any of its facilities or equipment as 
may be deemed it finds expedient; and 
    (11) Cause audits to be made of have its accounts, books, 
vouchers, and funds audited by competent public accountants.  
    447.331 [LOANS TO STUDENTS IN MEDICAL SCHOOL OR 
HEALTH-RELATED EDUCATIONAL PROGRAMS.] 
    Subdivision 1.  [ELIGIBILITY; LOAN AMOUNTS.] A hospital 
district may provide loans for the cost of education and living 
expenses to students who: 
     (1) meet eligibility criteria established by resolution of 
the hospital board for the cost of education and living expenses 
during the time the recipient is; 
     (2) are enrolled in an accredited medical school or 
health-related educational program, if the recipient agrees; and 
     (3) agree in writing to practice medicine in, or accept 
employment with, the hospital district which that has provided 
the loans for a specified period of time.  
     No loan may exceed $28,000 to any one applicant, to.  It 
must be paid in annual installments not to exceed $7,000 per 
year.  No loan may be made to any a student who is receiving a 
similar loan under any other another program authorized by law.  
Each recipient shall execute a note to the hospital district 
payable on demand for the principal amount of the loan, and for 
any interest agreed to by the parties.  All other terms for 
fulfilling the obligation and of breach of the obligation shall 
must be determined by the parties and shall must be fully and 
clearly stated in the loan contract.  If the recipient fails to 
fulfill the obligation to practice or accept employment, the 
principal and interest, if any, shall be payable according to 
the terms of the note executed by the recipient. 
    Subd. 2.  [SPECIAL LAW HOSPITAL DISTRICTS.] The provisions 
of Subdivision 1 shall apply applies to any a hospital 
district organized pursuant to under special law and any.  A 
hospital district so organized may expend spend funds for the 
purposes authorized by subdivision 1. 
    447.34 [PAYMENT OF EXPENSES; TAXATION.] 
    Subdivision 1.  [EXPENSES PAID FROM REVENUE, TAXES, AND 
APPROPRIATIONS; TAX LIMITS.] Expenses of acquisition, 
betterment, administration, operation, and maintenance of 
all acquiring, improving, and running hospital and nursing home 
facilities operated by any a hospital district, expenses 
incurred pursuant to under section 447.331, subdivision 1, and 
the expenses of organization and administration of such the 
district and of planning and financing such the facilities, 
shall must be paid from the revenues derived from such 
facilities them, and to the extent necessary, from ad valorem 
taxes levied by the hospital board upon on all taxable property 
situated within the district, and, to the extent determined from 
time to time by the board of county commissioners of any 
county in which containing territory of the district is 
situated, from appropriations made by said the county board in 
accordance with the provisions of section 376.08, and any future 
laws amending or supplementing the same.  Any moneys Money 
appropriated by such the board of county commissioners for the 
acquisition or betterment of to acquire or improve facilities of 
the hospital district may be transferred in the discretion of 
the hospital board to a sinking fund for bonds issued for that 
purpose.  The hospital board may agree to repay to the county 
any sums appropriated by the board of county commissioners for 
this purpose, out of the net revenues to be derived from 
operation of its facilities, and subject to such the terms as 
may be agreed upon on.  
     No Taxes levied by a hospital district in any year, other 
than taxes levied for payment of bonded indebtedness, shall must 
not exceed in amount $1.50 per capita of the population of the 
district according to the last federal census, if the amount 
proposed to be levied in excess of such that amount, when added 
to the levy subject to the limitations of section 275.11, of any 
of the municipalities within the district, would cause such the 
municipal levy to exceed the limitations of that section. 
    Subd. 2.  [DECIDING AND CERTIFYING TAX AMOUNT.] On or 
before October 10 of each year the hospital board shall decide 
upon the total amount necessary to be raised from ad valorem tax 
levies to meet its expenses, and.  No later than October 10 the 
secretary of the hospital board shall certify such that amount 
to the county auditor of each county containing 
territory situated within in the hospital district.  Each of 
said county auditors county auditor shall assess and extend upon 
the tax rolls for such the year that portion of said the 
certified amount which that bears the same ratio to the whole 
amount as the assessed value of taxable property in that part of 
the hospital district located in the auditor's county bears to 
the assessed value of all taxable property in the hospital 
district.  
    Subd. 3.  [TAX COLLECTION AND SETTLEMENT.] Each of said 
county auditors county auditor shall add the amount of any levy 
so determined to the other tax levies on property located within 
in the auditor's county and within the hospital district, for 
collection by the county treasurer with other taxes.  When 
collected, the county treasurer shall make settlement of 
such settle the taxes with the treasurer of the hospital 
district in the same manner way as other taxes are distributed 
to other political subdivisions.  The levies authorized by this 
section shall be are in addition to any other county taxes 
authorized by law. 
    447.345 [TEMPORARY BORROWING AUTHORITY.] 
    Subdivision 1.  [CERTIFICATES OF INDEBTEDNESS.] Any A 
hospital district located wholly outside the seven county 
metropolitan area and created or reorganized under sections 
447.31 to 447.37 may borrow money not exceeding a total of 
$50,000 indebtedness by issuing certificates of indebtedness in 
anticipation of taxes theretofore previously levied, revenues, 
and federal aids,.  Total indebtedness for the certificates must 
not exceed $50,000.  The proceeds to must be used for expenses 
of administration, operation and maintenance of its the 
district's hospital and nursing home facilities.  
    Subd. 2.  [RESOLUTION.] The district may authorize and 
effect such borrowing, borrow and issue such the certificates of 
indebtedness on passage of a resolution specifying the amount 
and purposes reasons for which it deems such borrowing is 
necessary which.  The resolution shall must be adopted by a vote 
of at least two-thirds of its board members.  The board shall 
fix the amount, date, maturity, form, denomination, and other 
details thereof of the certificates and shall fix the date and 
place for receipt of bids for the their purchase thereof and.  
The board shall direct the clerk to give notice thereof of the 
date and place fixed.  
    Subd. 3.  [TERMS OF CERTIFICATES.] No certificate shall be 
issued to Certificates must become due and payable no later than 
two years from the date of issuance.  Certificates shall must be 
negotiable and shall be payable to the order of the payee and 
shall have a definite due date but may be payable on or 
before that the due date.  Certificates shall must be sold for 
not less than at least par and accrued interest and shall must 
bear interest at a rate not to exceed not more than eight 
percent per annum a year.  Interest must be payable at maturity 
or at such earlier time as the board may determine determines.  
The proceeds of the current tax levies and revenues derived from 
the facilities of the district and future federal aids and any 
other district funds which may that become available shall must 
be applied to the extent necessary to repay such the 
certificates and.  The full faith and credit of the hospital 
district shall must be pledged for their payment.  
    447.35 [BONDS.] 
    Each A hospital district may borrow money by the issuance 
of its general obligation bonds for the acquisition and 
betterment of: 
    (1) to acquire and better hospital and nursing home 
facilities (including, but without limitation, the provision of 
an adequate working capital for a new hospital or nursing home),;
    (2) for ambulances and related equipment,; 
    (3) for refunding its outstanding bonds,; and 
    (4) for funding valid outstanding orders,. 
Bonds must be issued by the procedure and subject to all of the 
limitations and conditions set forth in chapter 475, and any 
future laws amending or supplementing the same, for the issuance 
of bonds by municipalities.  Except for revenue bonds 
issued pursuant to under sections 447.45 through to 447.50, no 
bonds of a hospital district shall be deemed to be are excluded 
from its net debt by virtue of the provisions of section 475.51, 
subdivision 4, clause (5).  Except as may be authorized by 
special law, the taxes initially levied by any district in 
accordance with section 475.61, for the payment of its bonds, 
upon property within each municipality included in the hospital 
district, shall must be included in computing the limitations 
upon the levy of such the municipality under section 275.11, as 
the case may be; but nothing herein shall limit here limits the 
taxes required by section 475.74, to be levied by the district 
for payment of any deficiency in its bond sinking funds.  If the 
tax required by section 475.61 to be levied for any year of the 
term of a bond issue upon property within any municipality 
included in the district would, when added to the taxes levied 
by such the municipality for all purposes in the year preceding 
such before the issue, exceed the limitations prescribed in 
section 275.11, the bonds shall must not be issued without the 
consent by resolution of the governing body of such 
municipality.  An election shall be is required prior to 
before the issuance of any but all bonds except funding or 
refunding bonds.  The proposition submitted at any such the 
election shall must be whether the hospital board shall be 
authorized to issue bonds of the district in a specified maximum 
amount, for the purpose of financing the acquisition and 
betterment of hospital and nursing home facilities, or of 
facilities of one of said other stated types if it is not 
proposed to use the bond proceeds for hospital and nursing home 
facilities of the other type.  Bonds issued by a hospital 
district shall do not constitute indebtedness for any purpose of 
any county, city, or town whose territory is included therein in 
the district.  
    447.36 [ANNEXATION OF TERRITORY.] 
    After the creation or reorganization of a hospital district 
any, a city or town whose territory is contiguous thereto to the 
district at any point may request ask to be annexed to the 
district.  Such The resolution shall be is subject to referendum 
in the manner provided in according to section 447.31, 
subdivision 3.  All Annexed territory annexed shall be is 
subject to taxation like other property in the district for the 
support of its facilities and for the payment of principal and 
interest becoming due after the annexation on bonds of the 
district, whether authorized or issued before or after the 
annexation.  If the hospital district has outstanding bonds or 
has voted bonds which that are not yet issued, the annexation 
shall must not be requested unless approved by a majority of the 
electors of the city or town voting thereon on the question at a 
regular or special election.  The hospital board may in its 
discretion condition its approval of the annexation upon the 
contribution, by or on behalf of the city or town to be annexed, 
to the capital improvement fund or the bond sinking fund of the 
hospital district, of such an amount as may be agreed upon as a 
reasonable estimate of the proportionate share, properly 
applicable to the annexed territory, of capital costs previously 
paid by the district, having regard to contributions previously 
made by cities and towns in the district and their inhabitants, 
and principal and interest already paid on bonds of the district.
Any A city or town requesting asking to be so annexed may 
appropriate money or may authorize, issue, and sell its bonds or 
may accept and expend spend contributions from private parties 
for the purpose of paying to pay the proportionate share so 
agreed upon.  Each annexation shall become becomes effective 
upon the date of adoption of the hospital board's resolution 
approving the same annexation, or on such subsequent a later 
date as said the resolution may prescribe prescribes.  A 
certified copy of each such the resolution shall must be filed 
as provided in section 447.31, subdivision 4, for the 
resolutions creating the district.  
    447.37 [POWERS SUPPLEMENTARY.] 
    The powers granted herein here are supplementary to and not 
in substitution for any other powers possessed by of counties, 
cities, and towns in connection with the acquisition, 
betterment, administration, operation, and maintenance of 
hospitals and nursing homes and the creation of hospital 
districts.  
    447.38 [DISSOLUTION:  DETACHMENT OF TERRITORY.] 
    Subdivision 1.  [DISSOLUTION; PETITION TO BOARD; BOARD'S 
ORDER.] Any A hospital district created or reorganized pursuant 
to the provisions of sections 447.31 to 447.37, may be dissolved 
upon a petition to the hospital district board stating.  The 
petition must state the grounds for dissolution, as hereinafter 
provided, be signed by an authorized officer or officers of the 
governing body of any city or town included in the hospital 
district pursuant to a resolution of the governing body, and 
containing contain a proposal for distribution of the remaining 
funds of the district, if any, among the related governmental 
subdivisions.  Except as otherwise provided, a proceeding for 
dissolution shall be is governed by the provisions now or 
hereafter in force relating to proceedings for the organization 
of districts, so far as applicable.  If the board determines 
that the conditions requisite for the creation of the district 
no longer exist therein, that all indebtedness of the district 
has been paid, and that all property of the district except 
funds has been disposed of, it may make an order dissolving the 
district and directing the distribution of its remaining funds, 
if any, among the related governmental subdivisions on such a 
basis as the board determines to be just and equitable, to be 
specified in the order.  Certified copies of the order for 
dissolution shall must be transmitted and filed as provided for 
an order creating a district.  The clerk of the board shall also 
transmit a certified copy of the order to the treasurer of the 
district, who.  The treasurer shall thereupon then distribute 
the remaining funds of the district as directed by the order, 
and shall be is responsible for such the funds until so 
distributed.  
    Subd. 2.  [DETACHMENT OF CITY OR TOWN; SAME PROCEDURE.] Any 
A city or town included in such the hospital district may be 
detached therefrom from it by the same procedure as provided for 
dissolution of the district.  On detachment, all taxable 
property within the detached area shall remain remains subject 
to taxation for any existing bonded indebtedness of the district 
to such the same extent as it would have been subject thereto if 
not detached, and shall also remain.  The property remains 
subject to taxation for any other existing indebtedness of the 
district incurred for any purpose beneficial to such the area to 
such the extent as the board may determine to be finds just 
and equitable, to be specified in the order for detachment.  The 
proper officers shall levy further taxes on such the property 
accordingly.  
    447.41 [ESTABLISHMENT AND OPERATION; WITHDRAWAL.] 
    Except cities of the first class, any a city or town or any 
combination thereof of them acting jointly may, by resolution or 
ordinance, establish and operate a nursing home or home for the 
aged, and may acquire by lease not to exceed 15 years, gift, 
devise, purchase, condemnation, or otherwise any property 
necessary or desirable and suitable for such that purpose.  The 
governing body of the city or town may by ordinance make such 
rules or regulations and provide for such a managing board as it 
deems necessary for the operation of such to operate the nursing 
home or home for the aged.  Any A city or town may withdraw its 
interest in any a nursing home or home for the aged with the 
consent of each city and town having an interest therein in the 
home, and shall be paid such whatever sums as may be agreed 
upon, having due regard for its investment in such the home.  
    447.42 [ESTABLISHMENT AND OPERATION OF COMMUNITY 
RESIDENTIAL FACILITIES FOR PERSONS WITH MENTAL RETARDATION OR 
RELATED CONDITIONS.] 
    Subdivision 1.  [ESTABLISHMENT.] Notwithstanding any 
provision of Minnesota Statutes to the contrary, any city, 
county, town, or any nonprofit corporation approved by the 
commissioner of human services, or any combination thereof of 
them may establish and operate a community residential facility 
for persons with mental retardation or related conditions, as 
defined in section 252.27, subdivision 1.  
    Subd. 2.  [ADMINISTRATION.] Community residential 
facilities established under this section may be administered by 
a nonprofit corporation, by the political subdivision 
establishing same them or by a community mental health-mental 
retardation board organized under sections 245.66 and 245.67.  
    Subd. 3.  [FACILITIES.] The premises and facilities for any 
community residential facility may be acquired by purchase, 
lease, or gift and may be established and operated in connection 
with existing public and private facilities and institutions.  
    Subd. 4.  [FINANCING.] Any political subdivision, as 
described in subdivision 1, may use unexpended unspent funds, 
accept gifts, grants, and subsidies from any lawful source, 
or make application apply for federal funds and may use such 
moneys or the money for a community residential facility.  It 
may also grant or loan such moneys the money to any nonprofit 
corporation approved by the commissioner of human services for 
the establishment and operation of a community residential 
facility.  
    Subd. 5.  [LICENSING.] Any A community residential facility 
established and operated pursuant to under this section shall 
must meet all applicable licensure standards established by the 
commissioners of health and human services.  
    447.45 [HOSPITALS AND NURSING HOMES, FACILITIES FOR PERSONS 
WITH MENTAL RETARDATION OR RELATED CONDITIONS; FINANCING AND 
LEASING.] 
    Subdivision 1.  [FINANCING.] Any A county, city, or 
hospital district, except cities of the first class and counties 
in which are located any containing cities of the first class, 
is authorized, in addition to and not in substitution for any 
other power granted to it by law, to may issue revenue bonds by 
resolution or resolutions of its governing body to finance the 
acquisition and betterment of hospital, nursing home and related 
medical facilities, or any of them, including but without 
limitation.  This power is in addition to other powers granted 
by law and includes, but is not limited to, the payment of 
interest during construction and for a reasonable 
period thereafter after construction and the establishment of 
reserves for bond payment and for working capital, and,.  In 
connection with the acquisition of any existing hospital or 
nursing home facilities, to the city, county, or district may 
retire outstanding indebtedness incurred to finance the 
construction of the existing facilities.  
    Subd. 2.  [POWERS OVER SPECIAL FACILITIES.] Any With 
respect to facilities for the care, treatment, and training of 
persons with mental retardation or related conditions, a county 
or city, including cities of the first class and counties in 
which are located any cities of the first class, is authorized 
to may exercise with respect to facilities, including health 
care facilities, for the care, treatment and training of persons 
with mental retardation or related conditions, as defined in 
section 252.27, subdivision 1, all of the powers conferred by in 
sections 447.45 to 447.50 with the same force and effect as if 
these facilities were hospital or nursing home facilities within 
the meaning of sections 447.45 to 447.50.  "County or city" 
includes cities of the first class and counties containing 
them.  "Related conditions" is defined in section 252.27, 
subdivision 1. 
    447.46 [REVENUE PLEDGED.] 
    The county, city, or hospital district may pledge and 
appropriate the revenues to be derived from its operation of the 
facilities, except related medical facilities, to pay the 
principal and interest on the bonds when due and to create and 
maintain reserves for that purpose, as a first and prior lien on 
all such the revenues or, if so provided in the bond resolution, 
as a lien thereon on the revenues subordinate to the current 
payment of a fixed amount or percentage or all of the costs 
of the operation, administration, and maintenance of running the 
facilities.  
    447.47 [LEASE OF FACILITIES TO NONPROFIT OR PUBLIC 
CORPORATION.] 
    The county, city, or hospital district may lease hospital 
or nursing home facilities for operation, administration, and 
maintenance to be run by a nonprofit or public corporation as a 
community hospital or nursing home,.  The facilities must be 
open to all residents of the community upon on equal terms, 
and.  The city, county, or district may lease related medical 
facilities to any person, firm, association, or corporation, 
upon such rentals and for such term, at rent and on conditions 
agreed.  The term of the lease must not exceeding exceed 30 
years, and subject to such other conditions as may be agreed.  
The lessee may be granted an option to renew the lease, for an 
additional term or terms upon such conditions and rentals, or to 
purchase the facilities at such price, as may be provided.  The 
terms of renewal or purchase must be provided for in the lease.  
The county, city, or hospital district may by resolution or 
resolutions of its governing body undertake and agree to pay to 
the lessee of hospital or nursing home facilities annually, and 
to include in each annual budget and tax levy for hospital and 
nursing home purposes, a fixed compensation determined by the 
governing body to be just and proper compensation for services 
agreed to be performed by the lessee in the operation, 
administration, and maintenance of running the hospital or 
nursing home as a community facility; for any investment by the 
lessee of its own funds or funds granted or contributed to it in 
the construction or equipment of the hospital or nursing home; 
and for any auxiliary services to be provided or made available 
by the lessee through other facilities owned or operated by it; 
and.  Services other than those provided for in the lease 
agreement may be compensated at such rates as may be agreed 
subsequently upon later.  Any The lease agreement entered into 
hereunder shall must, however, require the lessee to pay a net 
rental not less than the amount required to pay the principal 
and interest when due on all revenue bonds issued by the county, 
city, or hospital district for the acquisition and betterment 
and refinancing of to acquire, improve, and refinance the leased 
facilities, and to maintain the agreed revenue bond reserve.  No 
such The lease agreement shall must not grant the lessee an 
option to the lessee to purchase the facilities at a price less 
than the amount of the bonds so issued and interest accrued 
thereon on them, except bonds and accrued interest paid 
from such the net rentals before the option is exercised. 
    To the extent that any such the facilities are leased in 
accordance with under this section for use by persons in private 
medical or dental or similar practice or in any other private 
business, a tax on the privilege of such that use shall must be 
imposed in the same amount and to the same extent just as though 
the user were the owner of such the space and shall.  It must be 
collected in the manner as provided in section 272.01, 
subdivision 2. 
    447.48 [SECURITY FOR BONDS; PLEDGE OF CREDIT FOR BONDS.] 
    In the issuance of bonds hereunder the revenues or rentals 
shall must be pledged and appropriated by resolution for the use 
and benefit of bondholders generally, or may be pledged by the 
execution of an indenture or other appropriate instrument to a 
trustee for the bondholders, and.  The site and facilities, or 
any part thereof of them, may be mortgaged to such the trustee.  
The governing body shall have power to make and may enter into 
any and all covenants with the bondholders or trustee which are 
determined by it to be that it finds necessary and proper to 
assure the marketability of the bonds, the completion of the 
facilities, the segregation of the revenues or rentals and any 
other funds pledged, and the sufficiency thereof of funds for 
the prompt and full payment of all bonds and interest.  The 
bonds shall be deemed to be payable wholly from the income of a 
revenue-producing convenience within the meaning of section 
475.58, except that unless the governing body may also pledge 
pledges to the their payment of the bonds and interest the full 
faith and credit of the county, city, or hospital district.  In 
this event, unless otherwise provided by law, the bonds shall 
may not be issued unless approved by a majority of the electors 
voting on the question at an a legal election duly called and 
held.  
    447.49 [MISCELLANEOUS PROVISIONS.] 
    All Bonds issued pursuant to under sections 447.45 to 
447.50 shall must be issued and sold as provided in chapter 475, 
but.  If the bonds do not pledge the credit of the county, city, 
or hospital district as provided in section 447.48, the 
governing body may negotiate their sale without advertisement 
for bids.  They shall not be included in the net debt of any 
municipality included therein, and shall are not be subject to 
interest rate limitations, as defined or referred to in sections 
475.51 and 475.55.  
    447.50 [REFUNDING BONDS.] 
    Any A county, city, or hospital district is authorized to 
may issue bonds hereunder under this chapter by resolution or 
resolutions of its governing body to refund any bonds issued for 
the purposes herein stated in this chapter. 

                               ARTICLE 11 
    Section 1.  [EFFECT OF CHANGES.] 
    The legislature intends the changes in the language of the 
laws amended by articles 1 to 10 of this act to be exclusively 
changes in style.  No change is intended to alter or shall be 
construed by a court or other authority to alter the meaning of 
a law.  
    If a section is amended by articles 1 to 10 of this act and 
also by another act adopted in 1987 and the amendments cannot be 
edited together in the next publication of Minnesota Statutes, 
the amendment by articles 1 to 10 of this act shall be without 
effect. 
    Approved May 26, 1987