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                            CHAPTER 295-H.F.No. 2365 
                  An act relating to natural resources; modifying open 
                  burning restrictions; empowering the commissioner to 
                  declare an emergency; modifying provisions relating to 
                  timber sales; amending Minnesota Statutes 1994, 
                  sections 88.171, subdivision 4; 90.031, subdivision 4; 
                  90.041, by adding a subdivision; 90.101, subdivision 
                  1; 90.121; and 90.191, subdivision 1; Minnesota 
                  Statutes 1995 Supplement, section 88.171, subdivision 
                  2. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1995 Supplement, section 
        88.171, subdivision 2, is amended to read: 
           Subd. 2.  [PROHIBITED MATERIALS; EXCEPTIONS.] No person 
        shall conduct, cause, or permit open burning of rubber, 
        plastics, chemically treated materials, or other materials which 
        produce excessive or noxious smoke including, but not limited 
        to, tires, railroad ties, chemically treated lumber, composite 
        shingles, tar paper, insulation, composition board, sheetrock, 
        wiring, paint, or paint filters.  The commissioner may allow 
        burning of prohibited materials when the commissioner of health 
        or the local board of health has made a determination that the 
        burning is necessary to abate a public health nuisance.  Except 
        as specifically authorized by the commissioner of the pollution 
        control agency as an emergency response to an oil spill, no 
        person shall conduct, cause, or permit open burning of oil. 
           Sec. 2.  Minnesota Statutes 1994, section 88.171, 
        subdivision 4, is amended to read: 
           Subd. 4.  [INDUSTRIAL SOLID WASTE.] (a) No person shall 
        conduct, cause, or permit open burning of solid waste generated 
        from an industrial or manufacturing process or from a service or 
        commercial structure.  
           (b) The commissioner may allow open burning of raw 
        untreated wood if the commissioner determines that reuse, 
        recycling, or land disposal is not a feasible or prudent 
        alternative. 
           Sec. 3.  Minnesota Statutes 1994, section 90.031, 
        subdivision 4, is amended to read: 
           Subd. 4.  The executive council may formulate and 
        establish, from time to time, rules it deems advisable for the 
        transaction of timber business of the state, including approval 
        of the sale of timber on any tract in a lot 
        exceeding $50,000 6,000 cords in volume when the sale is in the 
        best interests of the state, and may abrogate, modify, or 
        suspend rules at its pleasure. 
           Sec. 4.  Minnesota Statutes 1994, section 90.041, is 
        amended by adding a subdivision to read: 
           Subd. 7.  The commissioner may declare an emergency in the 
        event of a catastrophe caused by fire, windstorm, flood, insect, 
        disease, or other natural cause.  In the event of an emergency 
        declaration, the commissioner may grant an extension, without 
        penalty or interest, on an existing permit for standing timber 
        if the permit holder has entered into a purchase agreement to 
        harvest timber damaged by the natural catastrophe. 
           Sec. 5.  [PERMIT EXTENSION VALIDATION.] 
           An extension on an existing permit for standing timber 
        granted in 1995 or 1996 is valid if it would have been lawful 
        under section 90.041 as amended by this act. 
           Sec. 6.  Minnesota Statutes 1994, section 90.101, 
        subdivision 1, is amended to read: 
           Subdivision 1.  The commissioner may sell the timber on any 
        tract of state land in lots not exceeding $50,000 in appraised 
        value 6,000 cords in volume and may determine the number of 
        sections or fractional sections of land to be covered by any one 
        permit issued to the purchaser of timber on state lands, or in 
        any one contract or other instrument relating thereto.  No 
        timber shall be sold, except (1) to the highest bidder at public 
        auction, or (2) if unsold at public auction the commissioner may 
        offer the timber for private sale for a period of no more than 
        six months after the public auction to any person who pays the 
        appraised value for the timber.  The minimum price shall be the 
        appraised value as fixed by the report of the state appraiser.  
        Sales may include tracts in more than one contiguous county and 
        shall be held either in the county in which the tract is located 
        or in an adjacent county which is nearest the tract offered for 
        sale.  In adjoining counties, sales may not be held less than 
        two hours apart. 
           Sec. 7.  Minnesota Statutes 1994, section 90.121, is 
        amended to read: 
           90.121 [INTERMEDIATE AUCTION SALES; MAXIMUM LOTS OF $15,000 
        3,000 CORDS.] 
           The commissioner may sell the timber on any tract of state 
        land in lots not exceeding $15,000 in appraised value 3,000 
        cords in volume, in the same manner as timber sold at public 
        auction under section 90.101, and related laws, subject to the 
        following special exceptions and limitations:  
           (1) sales shall be at the forest office or other public 
        facility most accessible to potential bidders or close to where 
        the tract is located; 
           (2) the commissioner's list describing the tract, quantity 
        of timber, and appraised price shall be compiled not less than 
        30 days before the date of sale and a copy of the list posted 
        not less than 30 days before the date of the sale at the 
        location designated for the sale; 
           (3) notice of the sale shall be published once, not less 
        than one week before the date of the sale; 
           (4) no bidder may be awarded more than 25 percent of the 
        total tracts offered at the first round of bidding unless fewer 
        than four tracts are offered, in which case not more than one 
        tract shall be awarded to one bidder.  Any tract not sold may be 
        offered for sale for a period of six months for purchase by 
        persons eligible under this section at the appraised value; 
           (5) the bond or deposit required pursuant to section 90.161 
        or 90.173 shall be given or deposited before any cutting begins 
        or not later than 120 days after the date of purchase, whichever 
        is earlier, provided that the commissioner may extend the time 
        for furnishing the bond or deposit for not more than 30 
        additional days for good cause shown; 
           (6) in lieu of the placing of the marks M I N on cut 
        products as prescribed under section 90.151, subdivision 2, all 
        landings of cut products shall be legibly marked with the name 
        of the permit holder and the assigned permit number; 
           (7) no person may hold more than six permits issued under 
        this section and no sale may be made to a person holding six 
        permits which are still in effect or to a person having more 
        than 20 employees; 
           (8) the permit may not exceed three years in duration; and 
           (9) if all cut timber, equipment, and buildings are not 
        removed at the end of any 120-day extension period which the 
        commissioner may grant for removal, the commissioner may grant a 
        second period of time not to exceed 120 days for the removal of 
        cut timber, equipment, and buildings upon receipt of a request 
        by the permit holder for hardship reasons only.  
           The auction sale procedure set forth in this section 
        constitutes an additional alternative timber sale procedure 
        available to the commissioner and is not intended to replace 
        other authority possessed by the commissioner to sell timber in 
        lots of $15,000 3,000 cords or less. 
           Sec. 8.  Minnesota Statutes 1994, section 90.191, 
        subdivision 1, is amended to read: 
           Subdivision 1.  The commissioner may sell the timber on any 
        tract of state land in lots not exceeding $3,000 in appraised 
        value 500 cords in volume, without formalities but for not less 
        than the full appraised value thereof, to any person.  No sale 
        shall be made under this section to any person holding two 
        permits issued hereunder which are still in effect; except that 
        (1) a partnership as defined in chapter 323, which may include 
        spouses but which shall provide evidence that a partnership 
        exists, may be holding two permits for each of not more than 
        three partners who are actively engaged in the business of 
        logging or who are the spouses of persons who are actively 
        engaged in the business of logging with that partnership; and 
        (2) a corporation, a majority of whose shares and voting power 
        are owned by natural persons related to each other within the 
        fourth degree of kindred according to the rules of the civil law 
        or their spouses or estates, may be holding two permits for each 
        of not more than three shareholders who are actively engaged in 
        the business of logging or who are the spouses of persons who 
        are actively engaged in the business of logging with that 
        corporation. 
           Sec. 9.  [EFFECTIVE DATE.] 
           Sections 4 and 5 are effective the day following final 
        enactment. 
           Presented to the governor March 1, 1996 
           Signed by the governor March 4, 1996, 11:10 a.m.

Official Publication of the State of Minnesota
Revisor of Statutes