1.1                          A bill for an act 
  1.2             relating to natural resources; modifying provisions 
  1.3             for the review of flood protection plans; increasing 
  1.4             the limit on flood hazard mitigation grants; modifying 
  1.5             water use permit processing fee provisions; amending 
  1.6             Minnesota Statutes 1996, sections 103F.155, 
  1.7             subdivision 2; 103F.161, subdivision 2; and 103G.271, 
  1.8             subdivision 6. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1996, section 103F.155, 
  1.11  subdivision 2, is amended to read: 
  1.12     Subd. 2.  [COMMISSIONER'S REVIEW.] (a) The commissioner 
  1.13  shall review the plan and consult with the state office of civil 
  1.14  defense and other appropriate state and federal agencies.  
  1.15  Following the review, the commissioner shall accept, require 
  1.16  modification, or reject the plan.  
  1.17     (b) If required modifications are not made, or if the plan 
  1.18  is rejected, the commissioner shall order the removal of the 
  1.19  emergency protection measures and shall not provide grant money 
  1.20  under section 103F.161 until the plan is approved or the 
  1.21  required modifications are made. 
  1.22     Sec. 2.  Minnesota Statutes 1996, section 103F.161, 
  1.23  subdivision 2, is amended to read: 
  1.24     Subd. 2.  [ACTION ON GRANT APPLICATIONS.] (a) A local 
  1.25  government may apply to the commissioner for a grant on forms 
  1.26  provided by the commissioner.  The commissioner shall confer 
  1.27  with the local government requesting the grant and may make a 
  2.1   grant up to $75,000 $200,000 based on the following 
  2.2   considerations: 
  2.3      (1) the extent and effectiveness of mitigation measures 
  2.4   already implemented by the local government requesting the 
  2.5   grant; 
  2.6      (2) the feasibility, practicality, and effectiveness of the 
  2.7   proposed mitigation measures and the associated nonflood related 
  2.8   benefits and detriments; 
  2.9      (3) the level of grant assistance that should be provided 
  2.10  to the local government, based on available facts regarding the 
  2.11  nature, extent, and severity of flood problems; 
  2.12     (4) the frequency of occurrence of severe flooding that has 
  2.13  resulted in declaration of the area as a flood disaster area by 
  2.14  the President of the United States; 
  2.15     (5) the economic, social, and environmental benefits and 
  2.16  detriments of the proposed mitigation measures; 
  2.17     (6) whether the floodplain management ordinance or 
  2.18  regulation adopted by the local government meets the minimum 
  2.19  standards established by the commissioner, the degree of 
  2.20  enforcement of the ordinance or regulation, and whether the 
  2.21  local government is complying with the ordinance or regulation; 
  2.22     (7) the degree to which the grant request is consistent 
  2.23  with local water plans developed under chapters 103B and 103D; 
  2.24     (8) the financial capability of the local government to 
  2.25  solve its flood hazard problems without financial assistance; 
  2.26  and 
  2.27     (9) the estimated cost and method of financing of the 
  2.28  proposed mitigation measures based on local money and federal 
  2.29  and state financial assistance. 
  2.30     (b) If the amount of the grant requested 
  2.31  is $75,000 $200,000 or more, the commissioner shall determine, 
  2.32  under the considerations in paragraph (a), whether any part of 
  2.33  the grant should be awarded.  The commissioner must submit an 
  2.34  appropriation request to the governor and the legislature for 
  2.35  funding consideration before each odd-numbered year, consisting 
  2.36  of requests or parts of grant requests of $75,000 $200,000 or 
  3.1   more.  The commissioner must prioritize the grant requests, 
  3.2   under the considerations in paragraph (a), beginning with the 
  3.3   projects the commissioner determines most deserving of financing.
  3.4      (c) A grant may not exceed one-half the total cost of the 
  3.5   proposed mitigation measures. 
  3.6      (d) After July 1, 1991, grants made under this section may 
  3.7   be made to local governments whose grant requests are part of, 
  3.8   or responsive to, a comprehensive local water plan prepared 
  3.9   under chapter 103B or 103D. 
  3.10     Sec. 3.  Minnesota Statutes 1996, section 103G.271, 
  3.11  subdivision 6, is amended to read: 
  3.12     Subd. 6.  [WATER USE PERMIT PROCESSING FEE.] (a) Except as 
  3.13  described in paragraphs (b) to (f), a water use permit 
  3.14  processing fee must be prescribed by the commissioner in 
  3.15  accordance with the following schedule of fees for each water 
  3.16  use permit in force at any time during the year: 
  3.17     (1) 0.05 cents per 1,000 gallons for the first 50,000,000 
  3.18  gallons per year; 
  3.19     (2) 0.10 cents per 1,000 gallons for amounts greater than 
  3.20  50,000,000 gallons but less than 100,000,000 gallons per year; 
  3.21     (3) 0.15 cents per 1,000 gallons for amounts greater than 
  3.22  100,000,000 gallons but less than 150,000,000 gallons per year; 
  3.23  and 
  3.24     (4) 0.20 cents per 1,000 gallons for amounts greater than 
  3.25  150,000,000 gallons but less than 200,000,000 gallons per year; 
  3.26     (5) 0.25 cents per 1,000 gallons for amounts greater than 
  3.27  200,000,000 gallons but less than 250,000,000 gallons per year; 
  3.28     (6) 0.30 cents per 1,000 gallons for amounts greater than 
  3.29  250,000,000 gallons but less than 300,000,000 gallons per year; 
  3.30     (7) 0.35 cents per 1,000 gallons for amounts greater than 
  3.31  300,000,000 gallons but less than 350,000,000 gallons per year; 
  3.32     (8) 0.40 cents per 1,000 gallons for amounts greater than 
  3.33  350,000,000 gallons but less than 400,000,000 gallons per year; 
  3.34  and 
  3.35     (9) 0.45 cents per 1,000 gallons for amounts greater than 
  3.36  400,000,000 gallons per year.  
  4.1      (b) For once-through cooling systems, a water use 
  4.2   processing fee must be prescribed by the commissioner in 
  4.3   accordance with the following schedule of fees for each water 
  4.4   use permit in force at any time during the year: 
  4.5      (1) for nonprofit corporations and school districts: 
  4.6      (i) 5.0 cents per 1,000 gallons until December 31, 1991; 
  4.7      (ii) 10.0 cents per 1,000 gallons from January 1, 1992, 
  4.8   until December 31, 1996; and 
  4.9      (iii) 15.0 cents per 1,000 gallons after January 1, 1997; 
  4.10  and 
  4.11     (2) for all other users, 20 cents per 1,000 gallons. 
  4.12     (c) The fee is payable based on the amount of water 
  4.13  appropriated during the year and, except as provided in 
  4.14  paragraph (f), the minimum fee is $50.  
  4.15     (d) For water use processing fees other than once-through 
  4.16  cooling systems:  
  4.17     (1) the fee for a city of the first class may not exceed 
  4.18  $175,000 per year; 
  4.19     (2) the fee for other entities for any permitted use may 
  4.20  not exceed: 
  4.21     (i) $35,000 per year for an entity holding three or fewer 
  4.22  permits; 
  4.23     (ii) $50,000 per year for an entity holding four or five 
  4.24  permits; 
  4.25     (iii) $175,000 per year for an entity holding more than 
  4.26  five permits; 
  4.27     (3) the fee for agricultural irrigation may not exceed $750 
  4.28  per year; and 
  4.29     (4) the fee for a municipality that furnishes electric 
  4.30  service and cogenerates steam for home heating may not exceed 
  4.31  $10,000 for its permit for water use related to the cogeneration 
  4.32  of electricity and steam; and 
  4.33     (5) no fee is required for a project involving the 
  4.34  appropriation of surface water to prevent flood damage or to 
  4.35  remove flood waters during a period of flooding, as determined 
  4.36  by the commissioner.  
  5.1      (e) Failure to pay the fee is sufficient cause for revoking 
  5.2   a permit.  A penalty of two percent per month calculated from 
  5.3   the original due date must be imposed on the unpaid balance of 
  5.4   fees remaining 30 days after the sending of a second notice of 
  5.5   fees due.  A fee may not be imposed on an agency, as defined in 
  5.6   section 16B.01, subdivision 2, or federal governmental agency 
  5.7   holding a water appropriation permit. 
  5.8      (f) The minimum water use processing fee for a permit 
  5.9   issued for irrigation of agricultural land is $10 for years in 
  5.10  which: 
  5.11     (1) there is no appropriation of water under the permit; or 
  5.12     (2) the permit is suspended for more than seven consecutive 
  5.13  days between May 1 and October 1. 
  5.14     (g) For once-through systems fees payable after July 1, 
  5.15  1993, 75 percent of the fees must be credited to a special 
  5.16  account and are appropriated to the Minnesota public facilities 
  5.17  authority for loans under section 446A.21.