Minnesota Legislature
SF 2096
3rd Unofficial Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
1.2relating to state government; appropriating money for activities of the Science
1.3Museum, the Zoological Board, the Departments of Commerce, Natural
1.4Resources, and Health, the Pollution Control Agency, the Public Utilities
1.5Commission, the Board of Water and Soil Resources, the Metropolitan Council,
1.6and the Minnesota Conservation Corps; providing for grants and fund transfers;
1.7modifying disposition of certain revenue; authorizing certain sales; modifying
1.8and creating certain accounts; modifying and establishing certain fees and
1.9surcharges; establishing an off-highway vehicle safety and conservation
1.10program; defining certain terms; providing for venison donation; providing for
1.11prairie establishment guidance; creating the Cuyuna Country State Recreation
1.12Area Citizens Advisory Council; restricting certain off-road vehicle trails;
1.13modifying state park permit requirements; modifying timber sale provisions;
1.14exempting certain exchanged land from the tax-forfeited land assurance fee;
1.15authorizing certain leases of tax-forfeited lands; modifying definition of public
1.16official; modifying agency service requirements; creating a grant program;
1.17designating a state wildlife management area; improving oversight of local
1.18government water management; modifying authority of watershed district board
1.19of managers and soil and water conservation board of supervisors; modifying
1.20provisions for wetland conservation; modifying requirements for ditch buffers;
1.21modifying provisions for individual sewage treatment systems; providing for
1.22civil enforcement; modifying provisions for regulating genetically engineered
1.23organisms; establishing requirements for acquisition of easements; modifying
1.24access to certain wetlands; modifying trail designation requirements; eliminating
1.25sunset of sustainable forest resources provisions; authorizing rulemaking;
1.26providing for voluntary termination of timber sale permits; modifying county
1.27environmental trust fund provisions; naming an island in Pelican Lake; modifying
1.28or adding provisions relating to financial institutions, investments of health
1.29savings accounts, mortgage originators, the Vehicle Protection Product Act,
1.30long-term care insurance, automobile insurance, an electronic licensing system
1.31and technology fees, allowable forms of collateral, securities regulation, charges
1.32billed by licensed health professionals, allocation of petroleum inspection fee
1.33for low-income weatherization assistance, delivery of home heating fuel, debt
1.34management services, the state energy city, energy savings, renewable energy
1.35research, a renewable hydrogen initiative, the Legislative Electric Energy Task
1.36Force, Clean Energy Resource Teams, landfill gas recovery, on-farm biogas
1.37recovery, nuisance liability of wind energy conversion systems, rural wind
1.38energy, petroleum violation escrow funds for K-12 school energy projects,
1.39renewable energy studies and reports, standards for hydrogen and fuel cells,
2.1hydrogen refueling stations, off-site renewable distributed generation, biofuel
2.2production permits, terrestrial and geologic carbon sequestration, dry cask
2.3storage at a nuclear power plant, utility charges and residential customers, the
2.4cold weather rule, a propane prepurchase program, and intervenor compensation
2.5for participants in proceedings before the Public Utilities Commission; requiring
2.6studies and reports; providing civil penalties; making technical and clarifying
2.7changes;amending Minnesota Statutes 2006, sections 10A.01, subdivision 35;
2.813.712, by adding a subdivision; 15.99, subdivision 3; 16A.531, subdivision
2.91a; 45.011, subdivision 1; 46.04, subdivision 1; 46.05; 46.131, subdivision 2;
2.1047.19; 47.59, subdivision 6; 47.60, subdivision 2; 47.62, subdivision 1; 47.75,
2.11subdivision 1; 48.15, subdivision 4; 58.04, subdivisions 1, 2; 58.05; 58.06,
2.12subdivision 2, by adding a subdivision; 58.08, subdivision 3; 58.10, subdivision
2.131; 60K.55, subdivision 2; 65B.44, subdivisions 2, 3, 4, 5; 65B.47, subdivision
2.147; 65B.54, subdivision 1, by adding a subdivision; 80A.28, subdivision 1;
2.1580A.65, subdivision 1; 82.24, subdivisions 1, 4; 82B.09, subdivision 1; 84.025,
2.16subdivision 9; 84.026, subdivision 1; 84.0272, by adding a subdivision; 84.0855,
2.17subdivisions 1, 2; 84.780; 84.927, subdivision 2; 84.963; 84D.02, by adding
2.18a subdivision; 84D.13, subdivision 7; 85.054, subdivision 12, by adding a
2.19subdivision; 86B.706, subdivision 2; 89.22, subdivision 2; 90.161, by adding
2.20a subdivision; 93.22, subdivision 1; 97A.055, subdivision 4; 97A.065, by
2.21adding a subdivision; 97A.133, by adding a subdivision; 97A.475, subdivision
2.227, by adding a subdivision; 97A.485, subdivision 7; 97C.081, subdivision
2.233; 103B.101, by adding a subdivision; 103C.321, by adding a subdivision;
2.24103D.325, by adding a subdivision; 103E.021, subdivisions 1, 2, 3, by adding a
2.25subdivision; 103E.315, subdivision 8; 103E.321, subdivision 1; 103E.701, by
2.26adding a subdivision; 103E.705, subdivisions 1, 2, 3; 103E.728, subdivision
2.272; 103G.222, subdivisions 1, 3; 103G.2241, subdivisions 1, 2, 3, 6, 9, 11;
2.28103G.2242, subdivisions 2, 2a, 9, 12, 15; 103G.2243, subdivision 2; 103G.235;
2.29103G.301, subdivision 2; 115.55, subdivisions 1, 2, 3, by adding a subdivision;
2.30116C.779, subdivision 2; 116C.92; 116C.94, subdivision 1; 116C.97, subdivision
2.312; 118A.03, subdivision 2; 148.102, by adding a subdivision; 216B.097,
2.32subdivisions 1, 3; 216B.098, subdivision 4; 216B.16, subdivisions 10, 15;
2.33216B.241, subdivision 6; 216B.812, subdivisions 1, 2; 216C.051, subdivisions 2,
2.349; 216C.41, subdivisions 1, 2, 3; 239.101, subdivision 3; 282.04, subdivision 1;
2.35325E.311, subdivision 6; 325N.01; 332.54, subdivision 7; Laws 1998, chapter
2.36389, article 16, section 31, subdivision 4, as amended; Laws 2003, chapter 128,
2.37article 1, section 169; Laws 2006, chapter 236, article 1, section 21; proposing
2.38coding for new law in Minnesota Statutes, chapters 1; 16C; 17; 45; 58; 60K;
2.3984; 84D; 85; 89; 97B; 103B; 103E; 216B; 216C; 325E; 561; proposing coding
2.40for new law as Minnesota Statutes, chapters 59C; 332A; repealing Minnesota
2.41Statutes 2006, sections 46.043; 47.62, subdivision 5; 58.08, subdivision 1;
2.4289A.11; 103G.2241, subdivision 8; 216B.095; 332.12; 332.13; 332.14; 332.15;
2.43332.16; 332.17; 332.18; 332.19; 332.20; 332.21; 332.22; 332.23; 332.24; 332.25;
2.44332.26; 332.27; 332.28; 332.29; Minnesota Rules, parts 7831.0100; 7831.0200;
2.457831.0300; 7831.0400; 7831.0500; 7831.0600; 7831.0700; 7831.0800.
2.46BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
2.51 The amounts shown in this section summarize direct appropriations, by fund, made
2.52in this article.
3.12 The sums shown in the columns marked "Appropriations" are appropriated to the
3.13agencies and for the purposes specified in this article. The appropriations are from the
3.14general fund, or another named fund, and are available for the fiscal years indicated
3.15for each purpose. The figures "2008" and "2009" used in this article mean that the
3.16appropriations listed under them are available for the fiscal year ending June 30, 2008, or
3.17June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
3.18year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
3.19year ending June 30, 2007, are effective the day following final enactment.
3.33The amounts that may be spent for each
3.34purpose are specified in the following
3.35subdivisions.
4.7$2,348,000 the first year and $2,348,000
4.8the second year are for the clean water
4.9partnership program. Any balance remaining
4.10in the first year does not cancel and
4.11is available for the second year. This
4.12appropriation may be used for grants to
4.13local units of government for the purpose
4.14of restoring impaired waters listed under
4.15section 303(d) of the federal Clean Water
4.16Act in accordance with adopted total
4.17maximum daily loads (TMDL's), including
4.18implementation of approved clean water
4.19partnership diagnostic study work plans that
4.20will assist in restoration of such impaired
4.21waters.
4.22$2,324,000 the first year and $2,324,000
4.23the second year are for grants to delegated
4.24counties to administer the county feedlot
4.25program. The commissioner, in consultation
4.26with the Minnesota Association of County
4.27Feedlot Officers executive team, may use up
4.28to five percent of the annual appropriation
4.29for initiatives to enhance existing delegated
4.30county feedlot programs, information and
4.31education, or technical assistance to reduce
4.32feedlot-related pollution hazards. Any
4.33unexpended balance in the first year does not
4.34cancel but is available in the second year.
4.35$335,000 the first year and $335,000 the
4.36second year are for community technical
5.1assistance and education, including grants
5.2and technical assistance to communities for
5.3local and basinwide water quality protection.
5.4$405,000 the first year and $405,000 the
5.5second year are for individual sewage
5.6treatment system (ISTS) administration and
5.7grants. Of this amount, $86,000 each year
5.8is for assistance to counties through grants
5.9for ISTS program administration. Any
5.10unexpended balance in the first year does not
5.11cancel but is available in the second year.
5.12$480,000 the first year and $480,000 the
5.13second year are from the environmental
5.14fund to address the need for continued
5.15increased activity in the areas of new
5.16technology review, technical assistance
5.17for local governments, and enforcement
5.18under Minnesota Statutes, sections 115.55
5.19to 115.58, and to complete the requirements
5.20of Laws 2003, chapter 128, article 1, section
5.21165. Of this amount, $48,000 each year is for
5.22administration of individual septic tank fees.
5.23$375,000 the first year and $375,000 the
5.24second year are to monitor and analyze
5.25endocrine disruptors in surface waters in at
5.26least 20 additional sites. The data must be
5.27placed on the agency's Web site.
5.28$15,317,000 the first year and $15,317,000
5.29the second year are to implement the
5.30requirements of Minnesota Statutes, chapter
5.31114D. Of this amount, $6,317,000 each
5.32year is for completion of ten percent of the
5.33needed statewide assessments of surface
5.34water quality and trends and $9,000,000
5.35each year is to develop TMDL's and TMDL
6.1implementation plans for waters listed on
6.2the United States Environmental Protection
6.3Agency approved impaired waters list. The
6.4agency shall complete an average of ten
6.5percent of the TMDL's each year over the
6.6next ten years.
6.7$690,000 the first year and $690,000 the
6.8second year are from the environmental fund
6.9to provide regulatory services to the ethanol,
6.10mining, and other developing economic
6.11sectors. This is a onetime appropriation.
6.12$88,000 the first year is for the endocrine
6.13disruptors report required to be completed
6.14under article 2.
6.15$550,000 is appropriated in fiscal year
6.162008 from the remediation fund to the
6.17commissioner of the Pollution Control
6.18Agency for transfer to the commissioner
6.19of health to conduct an evaluation of point
6.20of use water treatment units at removing
6.21perfluorooctanoic acid, perfluorooctane
6.22sulfonate, and perfluorobutanoic acid from
6.23known concentrations of these compounds
6.24in drinking water. The evaluation shall be
6.25completed by December 31, 2007, and the
6.26commissioner of health may contract for
6.27services to complete the evaluation.
6.28By January 15, 2008, the commissioner shall
6.29amend agency rules and, where legislative
6.30action is necessary, provide recommendations
6.31to the house of representatives and senate
6.32divisions on environmental finance on
6.33water and air fee changes that will result in
6.34revenue to the environmental fund to pay for
7.1regulatory services to the ethanol, mining,
7.2and other developing economic sectors.
7.3Notwithstanding Minnesota Statutes, section
7.416A.28, the appropriations encumbered
7.5under contract on or before June 30, 2009,
7.6for clean water partnership, individual
7.7sewage treatment systems (ISTS), Minnesota
7.8River, total maximum daily loads (TMDL's),
7.9stormwater contracts or grants, and local and
7.10basinwide water quality protection contracts
7.11or grants in this subdivision are available
7.12until June 30, 2011.
7.16Up to $150,000 the first year and $150,000
7.17the second year may be transferred from the
7.18environmental fund to the small business
7.19environmental improvement loan account
7.20established in Minnesota Statutes, section
7.21116.993.
7.22$200,000 the first year and $200,000 the
7.23second year are from the environmental fund
7.24for a monitoring program under Minnesota
7.25Statutes, section 116.454.
7.26$125,000 the first year and $125,000 the
7.27second year are from the environmental fund
7.28for monitoring ambient air for hazardous
7.29pollutants in the metropolitan area.
7.30$760,000 the first year and $760,000 the
7.31second year are from the environmental fund
7.32to provide regulatory services to the ethanol,
7.33mining, and other developing economic
7.34sectors. This is a onetime appropriation.
8.5All money for environmental response,
8.6compensation, and compliance in the
8.7remediation fund not otherwise appropriated
8.8is appropriated to the commissioners of the
8.9Pollution Control Agency and agriculture
8.10for purposes of Minnesota Statutes, section
8.11115B.20, subdivision 2, clauses (1), (2),
8.12(3), (6), and (7). At the beginning of each
8.13fiscal year, the two commissioners shall
8.14jointly submit an annual spending plan
8.15to the commissioner of finance and the
8.16house and senate chairs of environment and
8.17natural resources finance that maximizes the
8.18utilization of resources and appropriately
8.19allocates the money between the two
8.20departments. This appropriation is available
8.21until June 30, 2009.
8.22$3,616,000 the first year and $3,616,000
8.23the second year are transferred from the
8.24petroleum tank fund to the remediation fund
8.25for appropriation to the commissioner for
8.26purposes of the leaking underground storage
8.27tank program to protect the land.
8.28$252,000 the first year and $252,000 the
8.29second year are from the remediation fund to
8.30be transferred to the Department of Health
8.31for health assessments, drinking water
8.32advisories, and public information activities
8.33for areas contaminated by hazardous releases.
9.4$550,000 the first year and $550,000 the
9.5second year are from the environmental fund
9.6to provide regulatory services to the ethanol,
9.7mining, and other developing economic
9.8sectors. This is a onetime appropriation.
9.9Notwithstanding Minnesota Statutes, section
9.1016A.28, the appropriations encumbered
9.11under contract on or before June 30, 2009, for
9.12total maximum daily load (TMDL) contracts
9.13or grants are available until June 30, 2011.
9.15$14,000,000 each year is from the
9.16environmental fund for SCORE block grants
9.17to counties.
9.18Any unencumbered grant and loan balances
9.19in the first year do not cancel but are available
9.20for grants and loans in the second year.
9.21All money deposited in the environmental
9.22fund for the metropolitan solid waste landfill
9.23fee under Minnesota Statutes, section
9.24473.843, and not otherwise appropriated, is
9.25appropriated to the agency for the purposes
9.26of Minnesota Statutes, section 473.844.
9.27$119,000 the first year and $119,000 the
9.28second year are from the environmental
9.29fund for environmental assistance grants
9.30or loans under Minnesota Statutes, section
9.31115A.0716.
9.32$1,200,000 the first year and $1,200,000 the
9.33second year are from the environmental fund
9.34to retrofit school buses statewide, including
10.1buses for preschool children, and for loans to
10.2small trucking firms to install equipment to
10.3reduce fuel consumption. This is a onetime
10.4appropriation.
10.5Notwithstanding Minnesota Statutes, section
10.616A.28, the appropriations encumbered
10.7under contract on or before June 30,
10.82009, for environmental assistance grants
10.9awarded under Minnesota Statutes, section
10.10115A.0716, and for technical and research
10.11assistance under Minnesota Statutes,
10.12section 115A.152, technical assistance
10.13under Minnesota Statutes, section 115A.52,
10.14and pollution prevention assistance under
10.15Minnesota Statutes, section 115D.04, are
10.16available until June 30, 2011.
10.18The commissioner may transfer money from
10.19the environmental fund to the remediation
10.20fund as necessary for the purposes of the
10.21remediation fund under Minnesota Statutes,
10.22section 116.155, subdivision 2.
10.32The amounts that may be spent for each
10.33purpose are specified in the following
10.34subdivisions.
11.8$475,000 the first year and $475,000 the
11.9second year are for iron ore cooperative
11.10research. Of this amount, $200,000 each year
11.11is from the minerals management account in
11.12the natural resources fund and $275,000 each
11.13year is from the general fund. $237,500 the
11.14first year and $237,500 the second year are
11.15available only as matched by $1 of nonstate
11.16money for each $1 of state money. The
11.17match may be cash or in-kind.
11.18$86,000 the first year and $86,000 the
11.19second year are for minerals cooperative
11.20environmental research, of which $43,000
11.21the first year and $43,000 the second year are
11.22available only as matched by $1 of nonstate
11.23money for each $1 of state money. The
11.24match may be cash or in-kind.
11.25$2,800,000 the first year and $2,696,000
11.26the second year are from the minerals
11.27management account in the natural resources
11.28fund for use as provided in Minnesota
11.29Statutes, section 93.2236, paragraph (c).
11.30$200,000 the first year and $200,000 the
11.31second year are from the state forest suspense
11.32account in the permanent school fund to
11.33accelerate land exchanges, land sales, and
11.34commercial leasing of school trust lands and
11.35to identify, evaluate, and lease construction
11.36aggregate located on school trust lands. This
12.1appropriation is to be used for securing
12.2maximum long-term economic return
12.3from the school trust lands consistent with
12.4fiduciary responsibilities and sound natural
12.5resources conservation and management
12.6principles.
12.7$15,000 the first year is for a report
12.8by February 1, 2008, to the house and
12.9senate committees with jurisdiction over
12.10environment and natural resources on
12.11proposed minimum legal and conservation
12.12standards that could be applied to
12.13conservation easements acquired with public
12.14money.
12.15$701,000 the first year and $701,000 the
12.16second year are to support the land records
12.17management system. Of this amount,
12.18$326,000 the first year and $326,000 the
12.19second year are from the game and fish fund
12.20and $375,000 the first year and $375,000 the
12.21second year are from the natural resources
12.22fund.
12.27$310,000 the first year and $310,000 the
12.28second year are for grants for up to 50
12.29percent of the cost of implementing the Red
12.30River mediation agreement.
12.31$65,000 the first year and $65,000 the
12.32second year are for a grant to the Mississippi
12.33Headwaters Board for up to 50 percent of
12.34the cost of implementing the comprehensive
13.1plan for the upper Mississippi within areas
13.2under the board's jurisdiction.
13.3$5,000 the first year and $5,000 the second
13.4year are for payment to the Leech Lake Band
13.5of Chippewa Indians to implement the band's
13.6portion of the comprehensive plan for the
13.7upper Mississippi.
13.8$200,000 the first year and $200,000 the
13.9second year are for the construction of ring
13.10dikes under Minnesota Statutes, section
13.11103F.161. The ring dikes may be publicly
13.12or privately owned. Any unencumbered
13.13balance does not cancel at the end of the
13.14first year and is available for the second
13.15year. If the appropriation in the first year is
13.16insufficient, the appropriation for the second
13.17year is available in the first year.
13.18$1,280,000 the first year and $1,280,000 the
13.19second year are to support the identification
13.20of impaired waters and develop plans to
13.21address those impairments, as required by the
13.22federal Clean Water Act. This is a onetime
13.23appropriation.
13.29$7,217,000 the first year and $7,217,000
13.30the second year are for prevention,
13.31presuppression, and suppression costs of
13.32emergency firefighting and other costs
13.33incurred under Minnesota Statutes, section
13.3488.12. If the appropriation for either
13.35year is insufficient to cover all costs of
14.1presuppression and suppression, the amount
14.2necessary to pay for these costs during the
14.3biennium is appropriated from the general
14.4fund.
14.5By November 15 of each year, the
14.6commissioner of natural resources shall
14.7submit a report to the chairs of the house
14.8and senate committees and divisions having
14.9jurisdiction over environment and natural
14.10resources finance, identifying all firefighting
14.11costs incurred and reimbursements received
14.12in the prior fiscal year. These appropriations
14.13may not be transferred. Any reimbursement
14.14of firefighting expenditures made to the
14.15commissioner from any source other than
14.16federal mobilizations shall be deposited into
14.17the general fund.
14.18$17,983,000 the first year and $18,293,000
14.19the second year are from the forest
14.20management investment account in the
14.21natural resources fund for only the purposes
14.22specified in Minnesota Statutes, section
14.2389.039, subdivision 2.
14.24$780,000 the first year and $780,000 the
14.25second year are for the Forest Resources
14.26Council for implementation of the
14.27Sustainable Forest Resources Act.
14.28$350,000 the first year and $350,000 the
14.29second year are for the FORIST timber
14.30management information system, other
14.31information systems, and for increased
14.32forestry management. The amount in the
14.33second year is also available in the first year.
14.34$257,000 the first year and $264,000 the
14.35second year are from the game and fish
15.1fund to implement ecological classification
15.2systems (ECS) standards on forested
15.3landscapes. This appropriation is from
15.4revenue deposited in the game and fish fund
15.5under Minnesota Statutes, section 297A.94,
15.6paragraph (e), clause (1).
15.7$55,000 the first year and $55,000 the
15.8second year are to develop and implement
15.9a statewide information and education
15.10campaign regarding the proposed statewide
15.11ban on the transport, storage, or use of
15.12nonapproved firewood on state administered
15.13land.
15.14$75,000 the first year is to the Forest
15.15Resources Council for a task force on
15.16forest protection and $75,000 the second
15.17year is appropriated to the commissioner
15.18for grants to cities, counties, townships,
15.19special recreation areas, and park and
15.20recreation boards in cities of the first class
15.21for the identification, removal, disposal, and
15.22replacement of dead or dying shade trees
15.23lost to forest pests or disease. For purposes
15.24of this section, "shade tree" means a woody
15.25perennial grown primarily for aesthetic or
15.26environmental purposes with minimal to
15.27residual timber value. The commissioner
15.28shall consult with municipalities; park and
15.29recreation boards in cities of the first class;
15.30nonprofit organizations; and other interested
15.31parties in developing eligibility criteria.
16.1$640,000 the first year and $640,000 the
16.2second year are from the water recreation
16.3account in the natural resources fund for state
16.4park water access projects.
16.5$3,996,000 the first year and $3,996,000 the
16.6second year are from the natural resources
16.7fund for state park and recreation area
16.8operations. This appropriation is from the
16.9revenue deposited in the natural resources
16.10fund under Minnesota Statutes, section
16.11297A.94, paragraph (e), clause (2).
16.12$5,000 each year is for payment of expenses
16.13of the Cuyuna Country State Recreation Area
16.14Citizens Advisory Council.
16.15The commissioner of natural resources, in
16.16consultation with the local elected officials
16.17and citizens of Meeker County, shall develop
16.18a plan for Greenleaf Lake State Recreation
16.19Area. The commissioner shall submit the
16.20plan to the legislative committees with
16.21jurisdiction over state parks and capital
16.22investment by February 1, 2008.
16.23The appropriation in Laws 2003, chapter
16.24128, article 1, section 5, subdivision 6, from
16.25the water recreation account in the natural
16.26resources fund for a cooperative project with
16.27the United States Army Corps of Engineers
16.28to develop the Mississippi Whitewater Park
16.29is available until June 30, 2009.
17.1$8,424,000 the first year and $8,424,000
17.2the second year are from the snowmobile
17.3trails and enforcement account in the natural
17.4resources fund for snowmobile grants-in-aid.
17.5The additional money under this paragraph
17.6may be used for new grant-in-aid trails. Any
17.7unencumbered balance does not cancel at the
17.8end of the first year and is available for the
17.9second year.
17.10$925,000 the first year and $825,000 the
17.11second year are from the natural resources
17.12fund for off-highway vehicle grants-in-aid.
17.13Of this amount, $575,000 the first year
17.14and $575,000 the second year are from the
17.15all-terrain vehicle account; $150,000 each
17.16year is from the off-highway motorcycle
17.17account; and $200,000 the first year and
17.18$100,000 the second year are from the
17.19off-road vehicle account. Any unencumbered
17.20balance does not cancel at the end of the first
17.21year and is available for the second year.
17.22$261,000 the first year and $261,000 the
17.23second year are from the water recreation
17.24account in the natural resources fund for a
17.25safe harbor program on Lake Superior.
17.26$742,000 the first year and $760,000
17.27the second year are from the natural
17.28resources fund for state trail operations
17.29and maintenance. The money may be used
17.30for trail maintenance, signage, mapping,
17.31interpretation, native prairie restoration
17.32using best management practices, and
17.33maintenance of nonmotorized forest trails.
17.34This appropriation is from the revenue
17.35deposited in the natural resources fund
18.1under Minnesota Statutes, section 297A.94,
18.2paragraph (e), clause (2).
18.3$32,000 the first year and $107,000 the
18.4second year are from the game and fish fund
18.5and is added to the base for expenditures
18.6on water access sites according to the
18.7requirements of the federal sport and fish
18.8restoration program.
18.14$410,000 the first year and $418,000 the
18.15second year are for resource population
18.16surveys in the 1837 treaty area. Of this
18.17amount, $274,000 the first year and $288,000
18.18the second year are from the game and fish
18.19fund.
18.20$8,061,000 the first year and $8,167,000
18.21the second year are from the heritage
18.22enhancement account in the game and
18.23fish fund for only the purposes specified
18.24in Minnesota Statutes, section 297A.94,
18.25paragraph (e), clause (1). Of this amount,
18.26$1,175,000 the first year and $1,175,000 the
18.27second year are for preserving, restoring, and
18.28enhancing grassland/wetland complexes on
18.29public lands.
18.30Notwithstanding Minnesota Statutes, section
18.3184.943, $13,000 the first year and $13,000
18.32the second year from the critical habitat
18.33private sector matching account may be used
18.34to publicize the critical habitat license plate
18.35match program.
19.1$8,000 the first year and $8,000 the second
19.2year are appropriated from the game and
19.3fish fund for transfer to the wild turkey
19.4management account for purposes specified
19.5in Minnesota Statutes, section 97A.075,
19.6subdivision 5.
19.7$108,000 the first year and $108,000 the
19.8second year are from the game and fish
19.9fund for costs associated with administering
19.10fishing contest permits.
19.11$182,000 the first year and $132,000 the
19.12second year are to accelerate wildlife health
19.13programs and to prevent the spread of
19.14disease from livestock and poultry to the
19.15wildlife population. $50,000 in the first
19.16year is for fencing cattle-feeding areas in
19.17bovine tuberculosis control zones, under the
19.18emergency deterrent materials assistance
19.19program in Minnesota Statutes, section
19.2097A.028, subdivision 3. This appropriation
19.21is available until June 30, 2009. $66,000 of
19.22this amount is permanent.
19.23$575,000 the first year and $575,000 the
19.24second year are for preserving, restoring, and
19.25enhancing grassland/wetland complexes on
19.26public lands.
19.27$150,000 the first year and $150,000 the
19.28second year are from the game and fish fund
19.29to expand the roadsides for wildlife program.
19.30$175,000 the first year and $175,000 the
19.31second year are appropriated from the game
19.32and fish fund to the commissioner of natural
19.33resources for grants to Let's Go Fishing
19.34of Minnesota to promote opportunities
19.35for fishing. The grants must be matched
20.1equally with cash or in-kind contributions
20.2from nonstate sources. This is a onetime
20.3appropriation.
20.4Notwithstanding Minnesota Statutes, section
20.516A.28, the appropriations encumbered
20.6under contract on or before June 30, 2009, for
20.7aquatic restoration grants and wildlife habitat
20.8grants are available until June 30, 2010.
20.14$1,192,000 the first year and $1,223,000 the
20.15second year are from the nongame wildlife
20.16management account in the natural resources
20.17fund for the purpose of nongame wildlife
20.18management. Notwithstanding Minnesota
20.19Statutes, section 290.431, $100,000 the first
20.20year and $100,000 the second year may be
20.21used for nongame information, education,
20.22and promotion.
20.23$1,612,000 the first year and $1,636,000
20.24the second year are from the heritage
20.25enhancement account in the game and
20.26fish fund for only the purposes specified
20.27in Minnesota Statutes, section 297A.94,
20.28paragraph (e), clause (1), on public lands.
20.29$2,765,000 in the first year and $3,985,000
20.30in the second year, of which $1,795,000 the
20.31first year and $1,795,000 the second year
20.32are from the invasive species account in the
20.33natural resources fund for law enforcement
20.34and water access inspection to prevent the
20.35spread of invasive species, grants to manage
21.1invasive plants in public waters, technical
21.2assistance to grant applicants for improving
21.3lake quality, and management of terrestrial
21.4invasive species on state-administered lands.
21.5Priority shall be given to preventing the
21.6spread of aquatic invertebrates. Of this
21.7amount, $250,000 the first year and $250,000
21.8the second year are for a zebra mussel pilot
21.9program. This is a onetime appropriation.
21.10An applicant for a grant to manage invasive
21.11plants in public waters must have a workable
21.12plan for improving water quality and
21.13reducing the need for additional treatment.
21.14Grants may not be made for chemicals that
21.15are likely endocrine disruptors. A plan to
21.16prevent the introduction of asian carp into
21.17Minnesota waters must be made available to
21.18the public by November 1, 2007.
21.19$125,000 the first year is to support a
21.20technical advisory committee and for land
21.21management units that manage grass lands
21.22in order to develop plans to optimize
21.23native prairie seed harvest and replanting
21.24on state-owned lands. The work must
21.25use best management practices with an
21.26outcome of ensuring the survival of the
21.27native prairie remaining in Minnesota and to
21.28estimate the value of the seeds. Maximizing
21.29seed harvest may include allowing seed
21.30producers to keep a portion of the seed as
21.31compensation for supplying equipment and
21.32labor. The Department of Natural Resources
21.33in cooperation with the Department of
21.34Agriculture and the Board of Water and
21.35Soil Resources shall establish the technical
21.36advisory committee which has the expertise
22.1to develop (1) criteria to identify public
22.2and private marginal lands which could be
22.3used to produce native prairie seeds of a
22.4local eco-type or restore native prairies that
22.5could be used to produce clean energy, (2)
22.6guidelines for production that ensure high
22.7carbon sequestration, protection of wildlife
22.8and waters, and minimization of inputs and
22.9that do not compromise the survival of the
22.10native prairie remaining in Minnesota, and
22.11(3) recommendations for incentives that will
22.12result in the production of native prairie seeds
22.13of a local eco-type or restore native prairies.
22.14In addition to agency members, the advisory
22.15committee shall have one member from
22.16each of two farm organizations, one member
22.17from a sustainable farmer organization, one
22.18member each from three rural economic
22.19development organizations, one member
22.20each from three environmental organizations,
22.21and one member each from three wildlife or
22.22conservation organizations. The technical
22.23committee shall work with the NextGen
22.24Energy Board to develop a clean energy
22.25program. A report on outcomes from the
22.26technical committee is due December 15,
22.272007, to the legislative finance chairs on
22.28environment and natural resources.
22.29$50,000 in the first year is for the
22.30commissioner, in consultation with the
22.31Environmental Quality Board, to report to
22.32the house and senate committees having
22.33jurisdiction over environmental policy
22.34and finance by February 1, 2008, on the
22.35Mississippi River critical area program. The
22.36report shall include the status of critical
23.1area plans, zoning ordinances, the number
23.2and types of revisions anticipated, and the
23.3nature and number of variances sought. The
23.4report shall include recommendations that
23.5adequately protect and manage the aesthetic
23.6integrity and natural environment of the river
23.7corridor.
23.8$1,500,000 the first year and $1,500,000 the
23.9second year are to support the identification
23.10of impaired waters and develop plans to
23.11address those impairments, as required by the
23.12federal Clean Water Act. This is a onetime
23.13appropriation.
23.20$100,000 each year is for a conservation
23.21officer position to be stationed at Mississippi
23.22Headwaters State Forest to work with local
23.23jurisdictions in enforcing state law along
23.24the Mississippi River from Lake Itasca
23.25downstream to Lake Bemidji and in the
23.26Bemidji region.
23.27$1,082,000 the first year and $1,082,000 the
23.28second year are from the water recreation
23.29account in the natural resources fund for
23.30grants to counties for boat and water safety.
23.31$100,000 the first year and $100,000 the
23.32second year are from the remediation fund
23.33for solid waste enforcement activities under
23.34Minnesota Statutes, section 116.073.
24.1$315,000 the first year and $315,000 the
24.2second year are from the snowmobile
24.3trails and enforcement account in the
24.4natural resources fund for grants to local
24.5law enforcement agencies for snowmobile
24.6enforcement activities.
24.7$1,164,000 the first year and $1,164,000
24.8the second year are from the heritage
24.9enhancement account in the game and
24.10fish fund for only the purposes specified
24.11in Minnesota Statutes, section 297A.94,
24.12paragraph (e), clause (1).
24.13$225,000 the first year and $225,000
24.14the second year are from the natural
24.15resources fund for grants to county law
24.16enforcement agencies for off-highway
24.17vehicle enforcement and public education
24.18activities based on off-highway vehicle use
24.19in the county. Of this amount, $213,000 each
24.20year is from the all-terrain vehicle account,
24.21$11,000 each year is from the off-highway
24.22motorcycle account, and $1,000 each year
24.23is from the off-road vehicle account. The
24.24county enforcement agencies may use
24.25money received under this appropriation
24.26to make grants to other local enforcement
24.27agencies within the county that have a high
24.28concentration of off-highway vehicle use. Of
24.29this appropriation, $25,000 each year is for
24.30administration of these grants.
24.31$15,000 the first year and $5,000 the second
24.32year are from the off-road vehicle account
24.33in the natural resources fund to establish
24.34the off-road vehicle environment and safety
25.1education and training program under
25.2Minnesota Statutes, section 84.8015.
25.3Overtime must be distributed to conservation
25.4officers at historical levels; however, a
25.5reasonable reduction or addition may be
25.6made to the officer's allocation, if justified,
25.7based on an individual officer's workload. If
25.8funding for enforcement is reduced because
25.9of an unallotment, the overtime bank may be
25.10reduced in proportion to reductions made in
25.11other areas of the budget.
25.17$38,000 in the first year is from the game and
25.18fish fund for the study on the natural stands
25.19of wild rice required in article 2.
25.20$270,000 the first year and $270,000 the
25.21second year are from the natural resources
25.22fund for grants to be divided equally between
25.23the city of St. Paul for the Como Zoo
25.24and Conservatory and the city of Duluth
25.25for the Duluth Zoo. This appropriation
25.26is from the revenue deposited to the fund
25.27under Minnesota Statutes, section 297A.94,
25.28paragraph (e), clause (5).
25.29$55,000 in the first year and $7,000 in the
25.30second year are to be transferred to the
25.31Environmental Quality Board to fulfill the
25.32requirement of Minnesota Statutes, sections
25.33116C.92 and 116C.94.
26.1$4,102,000 the first year and $4,102,000 the
26.2second year are for natural resources block
26.3grants to local governments. The board may
26.4reduce the amount of the natural resources
26.5block grant to a county by an amount equal to
26.6any reduction in the county's general services
26.7allocation to a soil and water conservation
26.8district from the county's previous year
26.9allocation when the board determines that
26.10the reduction was disproportionate. Grants
26.11must be matched with a combination of local
26.12cash or in-kind contributions. The base grant
26.13portion related to water planning must be
26.14matched by an amount that would be raised
26.15by a levy under Minnesota Statutes, section
26.16103B.3369.
26.17$3,566,000 the first year and $3,566,000
26.18the second year are for grants requested
26.19by soil and water conservation districts for
26.20general purposes, nonpoint engineering,
26.21and implementation of the reinvest in
26.22Minnesota conservation reserve program.
26.23Upon approval of the board, expenditures
26.24may be made from these appropriations for
26.25supplies and services benefiting soil and
26.26water conservation districts. Any district
26.27requesting a grant under this paragraph
26.28shall create and maintain a Web page that
26.29publishes, at a minimum, its annual plan,
26.30annual report, annual audit, and annual
26.31budget, including membership dues and
26.32meeting notices and minutes.
26.33$3,250,000 the first year and $3,250,000
26.34the second year are for grants to soil and
26.35water conservation districts for cost-sharing
26.36contracts for erosion control and water
27.1quality management. Of this amount, at least
27.2$1,200,000 the first year and $1,200,000 the
27.3second year are for grants for cost-sharing
27.4contracts to establish and maintain vegetation
27.5buffers of restored native prairie and restored
27.6prairie using seeds of a local ecotype region.
27.7$300,000 the first year and $300,000 the
27.8second year are available to begin county
27.9cooperative weed management programs
27.10on natural lands and private lands enrolled
27.11in state and federal conservation programs
27.12and to restore native plants in selected
27.13invasive species management sites by
27.14providing local native seeds and plants
27.15to landowners for implementation. This
27.16appropriation is available until expended. If
27.17the appropriation in either year is insufficient,
27.18the appropriation in the other year is available
27.19for it. Notwithstanding Minnesota Statutes,
27.20section 103C.501, any balance in the board's
27.21cost-share program that remains from the
27.22fiscal year 2007 appropriation is available
27.23in an amount up to $2,000 for a grant to
27.24the Faribault Soil and Water Conservation
27.25District to pay for erosion repair on the Blue
27.26Earth River, and up to $40,000 is available for
27.27grants to soil and water conservation districts
27.28for Web site development and reporting; and
27.29$100,000 in fiscal years 2008 and 2009 is
27.30for evaluating and reporting on performance,
27.31financial, and activity information of local
27.32water management entities as provided for in
27.33article 2, section 37.
27.34The board shall develop a forestry practice
27.35docket for cost-share money. The board shall
27.36develop standards or policies for cost-share
28.1practices for the following purposes: (1)
28.2establishment and maintenance of vegetated
28.3buffers of restored prairie or restored native
28.4prairie using seeds of a local ecotype;
28.5(2) establishment of cooperative weed
28.6management programs on private natural
28.7lands and lands enrolled in state and federal
28.8conservation programs and restoration of
28.9native plants in selected invasive species
28.10management sites by providing local native
28.11seeds and plants to landowners; and (3)
28.12establishment of soil and water conservation
28.13and ecological improvement practices on
28.14private forest lands.
28.15$100,000 the first year and $100,000 the
28.16second year are for a grant to the Red
28.17River Basin Commission to develop a Red
28.18River basin plan and to coordinate water
28.19management activities in the states and
28.20provinces bordering the Red River. The
28.21unencumbered balance in the first year does
28.22not cancel but is available for the second
28.23year.
28.24$5,450,000 the first year and $5,450,000 the
28.25second year are for implementation of the
28.26Clean Water Legacy Act as follows:
28.27(1) $1,500,000 each year is for targeted
28.28nonpoint restoration cost-share and incentive
28.29payments, of which up to $1,400,000 each
28.30year is available for grants. Of this amount,
28.31$250,000 each year must be contracted for
28.32services with the Minnesota Conservation
28.33Corps. The grant funds are available until
28.34expended;
29.1(2) $2,000,000 each year is for targeted
29.2nonpoint restoration and protection and
29.3technical, compliance, and engineering
29.4assistance activities, of which up to
29.5$1,325,000 the first year and $1,700,000
29.6the second year are available for grants, of
29.7which $225,000 the first year is to inventory
29.8wetland mitigation opportunities and water
29.9quality and watershed improvement projects
29.10in a greater than 80 percent area and of
29.11which $150,000 the first year is to conduct a
29.12regionwide wetland mitigation siting analysis
29.13for greater than 80 percent areas. The
29.14$225,000 amount shall include an inventory
29.15of the wetland and water resources that have
29.16been developed on former mine lands and
29.17an analysis of the functions and values of
29.18those wetland and water resources. This is a
29.19onetime appropriation and is available until
29.20June 30, 2009. The $150,000 amount for
29.21analysis shall (i) evaluate wetland mitigation
29.22opportunities in each watershed and wetland
29.23bank service area, (ii) develop goals for
29.24maintaining water quality in the greater than
29.2580 percent areas, and (iii) identify wetland
29.26mitigation opportunities in other regions with
29.27a greater loss of wetlands or with impaired
29.28waters. This is a onetime appropriation and
29.29is available until June 30, 2009. A report on
29.30the analysis outcomes shall be given to the
29.31house and senate chairs of the environment
29.32and natural resources policy and finance
29.33committees by January 15, 2009;
29.34(3) $200,000 each year is for reporting
29.35and evaluating applied soil and water
29.36conservation practices;
30.1(4) $1,000,000 each year is for grants
30.2to implement county individual sewage
30.3treatment system programs. Of this
30.4amount, after a county has complied with
30.5requirements to adopt ordinances pursuant
30.6to Minnesota Statutes, section 115.55,
30.7subdivision 2, the county may request grants
30.8of up to $60,000 the first year and $60,000
30.9the second year to inventory properties with
30.10individual sewage treatment systems that
30.11are an imminent threat to public health or
30.12safety due to water discharges of untreated
30.13sewage, and require compliance under an
30.14applicable ordinance. The grant amount
30.15shall be proportional to the number of
30.16properties expected to be inventoried. Each
30.17county receiving an appropriation under
30.18this paragraph shall report the number of
30.19inspections and the number determined to be
30.20an imminent threat to public health or safety
30.21to the Pollution Control Agency by February
30.221 of each year;
30.23(5) $650,000 each year is for feedlot water
30.24quality grants for feedlots under 300 animal
30.25units where there are impaired waters; and
30.26(6) $100,000 each year is to the Minnesota
30.27River Basin Joint Powers Board, also known
30.28as the Minnesota River Board, for operating
30.29expenses to measure and report the results of
30.30projects in the 12 major watersheds within
30.31the Minnesota River basin.
30.32If the appropriations in clauses (1) to (6) in
30.33either year are insufficient, the appropriation
30.34in the other year is available for it. All of
30.35the money appropriated in clauses (1) to
31.1(6) as grants to local governments shall be
31.2administered through the Board of Water
31.3and Soil Resources' local water resources
31.4protection and management program under
31.5Minnesota Statutes, section 103B.3369.
31.6$140,000 the first year and $140,000
31.7the second year are for a grant to Area
31.8II, Minnesota River Basin Projects,
31.9for floodplain management, including
31.10administration of programs.
31.11$1,120,000 the first year and $1,060,000 the
31.12second year may be spent for the following
31.13purposes to support implementation of the
31.14Wetland Conservation Act: $500,000 each
31.15year is to make grants to local units of
31.16governments to improve response to major
31.17wetland violations; $500,000 each year is for
31.18staffing to provide adequate state oversight
31.19and technical support to local governments
31.20administering the Wetland Conservation Act;
31.21$60,000 each year is for staff to monitor and
31.22enforce wetland replacement and wetland
31.23bank sites; and $60,000 the first year is
31.24for rulemaking required by changes to the
31.25Wetland Conservation Act.
31.26$450,000 the first year and $800,000
31.27the second year are to implement
31.28recommendations of the Drainage Work
31.29Group to enhance public drainage and
31.30modernization as follows: $150,000 the first
31.31year is to develop guidelines for drainage
31.32records preservation and modernization;
31.33$500,000 the second year is for cost-share
31.34grants to local governments for public
31.35drainage records modernization; and
32.1$300,000 each year is to provide assistance
32.2to local drainage management officials, to
32.3facilitate the work of the Drainage Work
32.4Group, to staff a drainage assistance team,
32.5and to update the Minnesota Public Drainage
32.6Manual. All of the money appropriated in
32.7this paragraph as grants to local governments
32.8shall be administered through the Board
32.9of Water and Soil Resources' local water
32.10resources protection and management
32.11program under Minnesota Statutes, section
32.12103B.3369.
32.13In addition to other authorities, the Board
32.14of Water and Soil Resources may reduce,
32.15withhold, or redirect grants and other funding
32.16if the local water management entity has
32.17not corrected deficiencies as prescribed in a
32.18notice from the board within one year from
32.19the date of the notice.
32.25$4,050,000 the first year and $4,050,000
32.26the second year are for metropolitan parks
32.27operations.
32.28$4,570,000 the first year and $4,570,000 the
32.29second year are from the natural resources
32.30fund for metropolitan area regional parks
32.31and trails maintenance and operations. This
32.32appropriation is from the revenue deposited
32.33in the natural resources fund under Minnesota
32.34Statutes, section 297A.94, paragraph (e),
32.35clause (3).
33.7The Minnesota Conservation Corps may
33.8receive money appropriated from the
33.9natural resources fund under this section
33.10only as provided in an agreement with the
33.11commissioner of natural resources.
33.14 Section 1. Minnesota Statutes 2006, section 10A.01, subdivision 35, is amended to
33.15read:
33.16 Subd. 35. Public official. "Public official" means any:
33.17 (1) member of the legislature;
33.18 (2) individual employed by the legislature as secretary of the senate, legislative
33.19auditor, chief clerk of the house, revisor of statutes, or researcher, legislative analyst, or
33.20attorney in the Office of Senate Counsel and Research or House Research;
33.21 (3) constitutional officer in the executive branch and the officer's chief administrative
33.22deputy;
33.23 (4) solicitor general or deputy, assistant, or special assistant attorney general;
33.24 (5) commissioner, deputy commissioner, or assistant commissioner of any state
33.25department or agency as listed in section15.01 or
15.06 , or the state chief information
33.26officer;
33.27 (6) member, chief administrative officer, or deputy chief administrative officer of a
33.28state board or commission that has either the power to adopt, amend, or repeal rules under
33.29chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
33.30 (7) individual employed in the executive branch who is authorized to adopt, amend,
33.31or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
33.32 (8) executive director of the State Board of Investment;
33.33 (9) deputy of any official listed in clauses (7) and (8);
33.34 (10) judge of the Workers' Compensation Court of Appeals;
34.1 (11) administrative law judge or compensation judge in the State Office of
34.2Administrative Hearings or referee in the Department of Employment and Economic
34.3Development;
34.4 (12) member, regional administrator, division director, general counsel, or operations
34.5manager of the Metropolitan Council;
34.6 (13) member or chief administrator of a metropolitan agency;
34.7 (14) director of the Division of Alcohol and Gambling Enforcement in the
34.8Department of Public Safety;
34.9 (15) member or executive director of the Higher Education Facilities Authority;
34.10 (16) member of the board of directors or president of Minnesota Technology, Inc.;
34.11 (17) member of the board of directors or executive director of the Minnesota State
34.12High School League;
34.13 (18) member of the Minnesota Ballpark Authority established in section 473.755;or
34.14 (19) citizen member of the Legislative-Citizen Commission on Minnesota
34.15Resources.
34.16 (20) manager of a watershed district or member of a watershed management
34.17organization; or
34.18 (21) supervisor of a soil and water conservation district.
34.19 Sec. 2. Minnesota Statutes 2006, section 15.99, subdivision 3, is amended to read:
34.20 Subd. 3. Application; extensions. (a) The time limit in subdivision 2 begins upon
34.21the agency's receipt of a written request containing all information required by law or by
34.22a previously adopted rule, ordinance, or policy of the agency, including the applicable
34.23application fee. If an agency receives a written request that does not contain all required
34.24information, the 60-day limit starts over only if the agency sends written notice within 15
34.25business days of receipt of the request telling the requester what information is missing.
34.26 (b) If a request relating to zoning, septic systems, watershed district review, soil and
34.27water conservation district review, or expansion of the metropolitan urban service area
34.28requires the approval of more than one state agency in the executive branch, the 60-day
34.29period in subdivision 2 begins to run for all executive branch agencies on the day a request
34.30containing all required information is received by one state agency. The agency receiving
34.31the request must forward copies to other state agencies whose approval is required.
34.32 (c) An agency response, including an approval with conditions, meets the 60-day
34.33time limit if the agency can document that the response was sent within 60 days of receipt
34.34of the written request. Failure to satisfy the conditions, if any, may be a basis to revoke
35.1or rescind the approval by the agency and will not give rise to a claim that the 60-day
35.2limit was not met.
35.3 (d) The time limit in subdivision 2 is extended if a state statute, federal law, or court
35.4order requires a process to occur before the agency acts on the request, and the time
35.5periods prescribed in the state statute, federal law, or court order make it impossible to
35.6act on the request within 60 days. In cases described in this paragraph, the deadline is
35.7extended to 60 days after completion of the last process required in the applicable statute,
35.8law, or order. Final approval of an agency receiving a request is not considered a process
35.9for purposes of this paragraph.
35.10 (e) The time limit in subdivision 2 is extended if: (1) a request submitted to a state
35.11agency requires prior approval of a federal agency; or (2) an application submitted to
35.12a city, county, town, school district, metropolitan or regional entity, or other political
35.13subdivision requires prior approval of a state or federal agency. In cases described in
35.14this paragraph, the deadline for agency action is extended to 60 days after the required
35.15prior approval is granted.
35.16 (f) An agency may extend the time limit in subdivision 2 before the end of the
35.17initial 60-day period by providing written notice of the extension to the applicant. The
35.18notification must state the reasons for the extension and its anticipated length, which may
35.19not exceed 60 days unless approved by the applicant.
35.20 (g) An applicant may by written notice to the agency request an extension of the
35.21time limit under this section.
35.22EFFECTIVE DATE.This section is effective the day following final enactment.
35.23 Sec. 3. Minnesota Statutes 2006, section 16A.531, subdivision 1a, is amended to read:
35.24 Subd. 1a. Revenues. The following revenues must be deposited in the
35.25environmental fund:
35.26 (1) all revenue from the motor vehicle transfer fee imposed under section115A.908 ;
35.27 (2) all fees collected under section116.07, subdivision 4d ;
35.28 (3) all money collected by the Pollution Control Agency in enforcement matters
35.29as provided in section115.073 ;
35.30 (4) all revenues from license fees for individual sewage treatment systems under
35.31section115.56 ;
35.32 (5) all loan repayments deposited under section115A.0716 ;
35.33 (6) all revenue from pollution prevention fees imposed under section115D.12 ;
35.34 (7) all loan repayments deposited under section116.994 ;
35.35 (8) all fees collected under section116C.834 ;
36.1 (9) revenue collected from the solid waste management tax pursuant to chapter 297H;
36.2 (10) fees collected under section473.844 ; and
36.3 (11) interest accrued on the fund; and
36.4 (12) money received in the form of gifts, grants, reimbursement, or appropriation
36.5from any source for any of the purposes provided in subdivision 2, except federal grants.
36.6 Sec. 4. [17.035] VENISON DISTRIBUTION AND REIMBURSEMENT.
36.7 Subdivision 1. Reimbursement. A meat processor holding a license under chapter
36.828A may apply to the commissioner of agriculture for reimbursement of $70 towards the
36.9cost of processing a deer donated according to subdivision 1. The meat processor shall
36.10deliver the deer, processed into cuts or ground meat, to a charitable organization that is
36.11registered under chapter 309 and with the commissioner of agriculture and that operates
36.12a food assistance program. To request reimbursement, the processor shall submit an
36.13application, on a form prescribed by the commissioner of agriculture, the tag number
36.14under which the deer was taken, and a receipt for the deer from the charitable organization.
36.15 Subd. 2. Distribution. (a) The commissioner of agriculture shall ensure the
36.16equitable statewide distribution of processed deer by requiring the charitable organization
36.17to allocate and distribute processed deer according to the allocation formula used in the
36.18distribution of United States Department of Agriculture commodities under the federal
36.19emergency food assistance program. The charitable organization must submit quarterly
36.20reports to the commissioner on forms prescribed by the commissioner. The reports must
36.21include, but are not limited to, information on the amount of processed deer received and
36.22the organizations to which the meat was distributed.
36.23 (b) The commissioner of agriculture may adopt rules to implement this section.
36.24 Sec. 5. Minnesota Statutes 2006, section 84.025, subdivision 9, is amended to read:
36.25 Subd. 9. Professional services support account. The commissioner of natural
36.26resources may bill the various programs carried out by the commissioner for the costs of
36.27providing them with professional support services. Except as provided under section
36.2889.421, receipts must be credited to a special account in the state treasury and are
36.29appropriated to the commissioner to pay the costs for which the billings were made.
36.30 The commissioner of natural resources shall submit to the commissioner of finance
36.31before the start of each fiscal year a work plan showing the estimated work to be done
36.32during the coming year, the estimated cost of doing the work, and the positions and fees
36.33that will be necessary. This account is exempted from statewide and agency indirect
36.34cost payments.
37.1 Sec. 6. [84.02] DEFINITIONS.
37.2 Subdivision 1. Definitions. For purposes of this chapter, the terms defined in this
37.3section shall have the meanings given them.
37.4 Subd. 2. Best management practice for native prairie restoration. "Best
37.5management practice for native prairie restoration" means using seeds collected from a
37.6native prairie within the same county or within 25 miles of the county's border, but not
37.7across the boundary of an ecotype region.
37.8 Subd. 3. Created grassland. "Created grassland" means a restoration using seeds
37.9or plants with origins outside of the state of Minnesota.
37.10 Subd. 4. Ecotype region. "Ecotype region" means the following ecological
37.11subsections and counties based on the Department of Natural Resources map, "County
37.12Landscape Groupings Based on Ecological Subsections," dated February 15, 2007.
37.33 Subd. 5. Native prairie. "Native prairie" means land that has never been plowed
37.34where native prairie vegetation originating from the site currently predominates or, if
37.35disturbed, is predominantly covered with native prairie vegetation that originated from the
37.36site. Unbroken pasture land used for livestock grazing can be considered native prairie if it
37.37has predominantly native vegetation originating from the site and conservation practices
37.38have maintained biological diversity.
37.39 Subd. 6. Native prairie species of a local ecotype. "Native prairie species of a local
37.40ecotype" means a genetically differentiated population of a species that has at least one
37.41trait (morphological, biochemical, fitness, or phenological) that is evolutionarily adapted
38.1to local environmental conditions, notably plant competitors, pathogens, pollinators, soil
38.2microorganisms, growing season length, climate, hydrology, and soil.
38.3 Subd. 7. Restored native prairie. "Restored native prairie" means a restoration
38.4using at least 25 representative and biologically diverse native prairie plant species of a
38.5local ecotype originating in the same county as the restoration site or within 25 miles of
38.6the county's border, but not across the boundary of an ecotype region.
38.7 Subd. 8. Restored prairie. "Restored prairie" means a restoration using at least
38.825 representative and biologically diverse native prairie plant species originating from
38.9the same ecotype region in which the restoration occurs.
38.10 Sec. 7. Minnesota Statutes 2006, section 84.026, subdivision 1, is amended to read:
38.11 Subdivision 1. Contracts. The commissioner of natural resources is authorized
38.12to enter into contractual agreements with any public or private entity for the provision
38.13of statutorily prescribed natural resources services by the department. The contracts
38.14shall specify the services to be provided. Except as provided under section 89.421, funds
38.15generated in a contractual agreement made pursuant to this section shall be deposited in
38.16the special revenue fund and are appropriated to the department for purposes of providing
38.17the services specified in the contracts. The commissioner shall report revenues collected
38.18and expenditures made under this subdivision to the chairs of the Committees on Ways and
38.19Means in the house and Finance in the senate by January 1 of each odd-numbered year.
38.20 Sec. 8. Minnesota Statutes 2006, section 84.0272, is amended by adding a subdivision
38.21to read:
38.22 Subd. 5. Easement information. Parties to an easement purchased under the
38.23authority of the commissioner must:
38.24 (1) specify in the easement all provisions that are perpetual in nature;
38.25 (2) file the easement with the county recorder or registrar of titles in the county
38.26in which the land is located; and
38.27 (3) submit an electronic copy of the easement to the commissioner.
38.28 Sec. 9. Minnesota Statutes 2006, section 84.0855, subdivision 1, is amended to read:
38.29 Subdivision 1. Sales authorized; gift certificates. The commissioner may
38.30sell natural resources-related publications and maps; forest resource assessment
38.31products; federal migratory waterfowl, junior duck, and other federal stamps; and other
38.32nature-related merchandise, and may rent or sell items for the convenience of persons using
38.33Department of Natural Resources facilities or services. The commissioner may sell gift
39.1certificates for any items rented or sold. Notwithstanding section16A.1285 , a fee charged
39.2by the commissioner under this section may include a reasonable amount in excess of the
39.3actual cost to support Department of Natural Resources programs. The commissioner may
39.4advertise the availability of a program or item offered under this section.
39.5 Sec. 10. Minnesota Statutes 2006, section 84.0855, subdivision 2, is amended to read:
39.6 Subd. 2. Receipts; appropriation. Except as provided under section 89.421,
39.7money received by the commissioner under this section or to buy supplies for the use of
39.8volunteers, may be credited to one or more special accounts in the state treasury and is
39.9appropriated to the commissioner for the purposes for which the money was received.
39.10Money received from sales at the state fair shall be available for state fair related costs.
39.11Money received from sales of intellectual property and software products or services shall
39.12be available for development, maintenance, and support of software products and systems.
39.13 Sec. 11. Minnesota Statutes 2006, section 84.780, is amended to read:
39.1484.780 OFF-HIGHWAY VEHICLE DAMAGE ACCOUNT.
39.15 (a) The off-highway vehicle damage account is created in the natural resources fund.
39.16Money in the off-highway vehicle damage account is appropriated to the commissioner
39.17of natural resources for the repair or restoration of property damaged by the operation of
39.18off-highway vehicles in anunpermitted illegal area after August 1, 2003, and for the costs
39.19of administration for this section. Before the commissioner may make a payment from
39.20this account, the commissioner must determine whether the damage to the property was
39.21caused by theunpermitted illegal use of off-highway vehicles, that the applicant has made
39.22reasonable efforts to identify the responsible individual and obtain payment from the
39.23individual, and that the applicant has made reasonable efforts to prevent reoccurrence.
39.24By June 30, 2008, the commissioner of finance must transfer the remaining balance in the
39.25account to the off-highway motorcycle account under section
84.794, the off-road vehicle
39.26account under section
84.803, and the all-terrain vehicle account under section
84.927.
39.27The amount transferred to each account must be proportionate to the amounts received in
39.28the damage account from the relevant off-highway vehicle accounts.
39.29 (b) Determinations of the commissioner under this section may be made by written
39.30order and are exempt from the rulemaking provisions of chapter 14. Section14.386
39.31does not apply.
39.32 (c)This section expires July 1, 2008 These funds are available until expended.
39.33 Sec. 12. [84.8045] RESTRICTIONS ON OFF-ROAD VEHICLE TRAILS.
40.1 Notwithstanding any provision of sections 84.797 to 84.805 or other law to the
40.2contrary, the commissioner shall not permit land administered by the commissioner in
40.3Beltrami, Cass, Crow Wing, and Hubbard Counties to be used or developed for trails
40.4primarily for off-road vehicles as defined in section 84.797, subdivision 7, except:
40.5 (1) upon approval by the legislature; or
40.6 (2) in designated off-road vehicle use areas.
40.7EFFECTIVE DATE.This section is effective the day following final enactment.
40.8 Sec. 13. [84.9011] OFF-HIGHWAY VEHICLE SAFETY AND CONSERVATION
40.9PROGRAM.
40.10 Subdivision 1. Creation. The commissioner of natural resources shall establish
40.11a program to promote the safe and responsible operation of off-highway vehicles in a
40.12manner that does not harm the environment. The commissioner shall coordinate the
40.13program through the regional offices of the Department of Natural Resources.
40.14 Subd. 2. Purpose. The purpose of the program is to encourage off-highway vehicle
40.15clubs to assist, on a volunteer basis, in improving, maintaining, and monitoring of trails on
40.16state forest land and other public lands.
40.17 Subd. 3. Agreements. (a) The commissioner shall enter into informal agreements
40.18with off-highway vehicle clubs for volunteer services to maintain, make improvements to,
40.19and monitor trails on state forest land and other public lands. The off-highway vehicle
40.20clubs shall promote the operation of off-highway vehicles in a safe and responsible manner
40.21that complies with the laws and rules that relate to the operation of off-highway vehicles.
40.22 (b) The off-highway vehicle clubs may provide assistance to the department in
40.23locating, recruiting, and training instructors for off-highway vehicle training programs.
40.24 (c) The commissioner may provide assistance to enhance the comfort and safety
40.25of volunteers and to facilitate the implementation and administration of the safety and
40.26conservation program.
40.27 Subd. 4. Worker displacement prohibited. The commissioner may not enter into
40.28any agreement that has the purpose of or results in the displacement of public employees
40.29by volunteers participating in the off-highway safety and conservation program under
40.30this section. The commissioner must certify to the appropriate bargaining agent that the
40.31work performed by a volunteer will not result in the displacement of currently employed
40.32workers or workers on seasonal layoff or layoff from a substantially equivalent position,
40.33including partial displacement such as reduction in hours of nonovertime work, wages, or
40.34other employment benefits.
41.1 Sec. 14. Minnesota Statutes 2006, section 84.927, subdivision 2, is amended to read:
41.2 Subd. 2. Purposes. Subject to appropriation by the legislature, money in the
41.3all-terrain vehicle account may only be spent for:
41.4 (1) the education and training program under section84.925 ;
41.5 (2) administration, enforcement, and implementation of sections84.773 to
84.929 ;
41.6 (3) acquisition, maintenance, and development of vehicle trails and use areas;
41.7 (4) grant-in-aid programs to counties and municipalities to construct and maintain
41.8all-terrain vehicle trails and use areas;
41.9 (5) grants-in-aid to local safety programs;and
41.10 (6) enforcement and public education grants to local law enforcement agencies.; and
41.11 (7) maintenance of minimum-maintenance forest roads according to section 89.71,
41.12subdivision 5, and county forest roads within state forest boundaries as defined under
41.13section 89.021.
41.14 The distribution of funds made available through grant-in-aid programs must be
41.15guided by the statewide comprehensive outdoor recreation plan.
41.16 Sec. 15. Minnesota Statutes 2006, section 84.963, is amended to read:
41.1784.963 PRAIRIE PLANT SEED PRODUCTION AREAS.
41.18 (a) The commissioner of natural resources shall study the feasibility of establishing
41.19private or public prairie plant seed production areas within prairie land locations. If
41.20prairie plant seed production is feasible, the commissioner may aid the establishment of
41.21production areas. The commissioner may enter cost-share or sharecrop agreements with
41.22landowners having easements for conservation purposes of ten or more years on their land
41.23to commercially produce prairie plant seed of Minnesota origin. The commissioner may
41.24only aid prairie plant seed production areas on agricultural land used to produce crops
41.25before December 23, 1985, and cropped three out of five years between 1981 and 1985.
41.26 (b) The commissioner shall compile, prepare, and electronically disseminate to
41.27the public prairie establishment guidance materials and resources. The resources must
41.28provide information and guidance on project planning, seed selection including ecotype
41.29and species mix, site preparation, seeding, maintenance, and technical service providers.
41.30The commissioner shall use actual prairie restoration projects under development on
41.31state-owned land to illustrate and demonstrate the practices described.
41.32 Sec. 16. Minnesota Statutes 2006, section 84D.02, is amended by adding a subdivision
41.33to read:
42.1 Subd. 7. Contracts for services for emergency invasive species prevention work;
42.2commissions to persons employed. The commissioner may contract for or accept the
42.3services of any persons whose aid is available, temporarily or otherwise, in emergency
42.4invasive species prevention work, either gratuitously or for compensation not in excess of
42.5the limits provided by law with respect to the employment of labor by the commissioner.
42.6The commissioner may issue a commission, or other written evidence of authority, to any
42.7person whose services are so arranged for and may thereby empower the person to act,
42.8temporarily or otherwise, in any other capacity, with powers and duties as may be specified
42.9in the commission or other written evidence of authority, but not in excess of the powers
42.10conferred by law. The commissioner of agriculture, under authority provided by law, shall
42.11cooperate with the commissioner in emergency control of invasive species prevention.
42.12 Sec. 17. Minnesota Statutes 2006, section 84D.13, subdivision 7, is amended to read:
42.13 Subd. 7. Satisfaction of civil penalties. A civil penalty is due and a watercraft
42.14license suspension is effective 30 days after issuance of the civil citation. A civil penalty
42.15collected under this section is payable to the commissioner and must be credited to the
42.16water recreation account invasive species account.
42.17 Sec. 18. [84D.15] INVASIVE SPECIES ACCOUNT.
42.18 Subdivision 1. Creation. The invasive species account is created in the state
42.19treasury in the natural resources fund.
42.20 Subd. 2. Receipts. Money received from surcharges on watercraft licenses under
42.21section 86B.415, subdivision 7, and civil penalties under section 84D.13 shall be deposited
42.22in the invasive species account. Each year, the commissioner of finance shall transfer from
42.23the game and fish fund to the invasive species account, the annual surcharge collected on
42.24nonresident fishing licenses under section 97A.475, subdivision 7, paragraph (b).
42.25 Subd. 3. Use of money in account. Money credited to the invasive species account
42.26in subdivision 2 shall be used for management of invasive species and implementation of
42.27this chapter as it pertains to invasive species, including control, public awareness, law
42.28enforcement, assessment and monitoring, management planning, and research.
42.29 Sec. 19. [85.0146] CUYUNA COUNTRY STATE RECREATION AREA;
42.30CITIZENS ADVISORY COUNCIL.
42.31 Subdivision 1. Advisory council created. The Cuyuna Country State Recreation
42.32Area Citizens Advisory Council is established. Membership on the advisory council
42.33shall include:
43.1 (1) a representative of the Cuyuna Range Mineland Recreation Area Joint Powers
43.2Board;
43.3 (2) a representative of the Croft Mine Historical Park Joint Powers Board;
43.4 (3) a designee of the Cuyuna Range Mineland Reclamation Committee who has
43.5worked as a miner in the local area;
43.6 (4) a representative of the Crow Wing County Board;
43.7 (5) an elected state official;
43.8 (6) a representative of the Grand Rapids regional office of the Department of Natural
43.9Resources;
43.10 (7) a designee of the Iron Range Resources and Rehabilitation Board;
43.11 (8) a designee of the local business community selected by the area chambers of
43.12commerce;
43.13 (9) a designee of the local environmental community selected by the Crow Wing
43.14County District 5 commissioner;
43.15 (10) a designee of a local education organization selected by the Crosby-Ironton
43.16School Board;
43.17 (11) a designee of one of the recreation area user groups selected by the Cuyuna
43.18Range Chamber of Commerce; and
43.19 (12) a member of the Cuyuna Country Heritage Preservation Society.
43.20 Subd. 2. Administration. (a) The advisory council must meet at least four times
43.21annually. The council shall elect a chair and meetings shall be at the call of the chair.
43.22 (b) Members of the advisory council shall serve as volunteers for two-year terms
43.23with the ability to be reappointed. Members shall accept no per diem.
43.24 (c) The state recreation area manager may attend the council meetings and advise
43.25the council of issues in management of the recreation area.
43.26 (d) Before a major decision is implemented in the Cuyuna Country State Recreation
43.27Area, the area manager must consult with the council and take into consideration any
43.28council comments or advice that may impact the major decision.
43.29 Sec. 20. Minnesota Statutes 2006, section 85.054, subdivision 12, is amended to read:
43.30 Subd. 12. Soudan Underground Mine State Park. A state park permit is not
43.31required and a fee may not be charged for motor vehicle entryor, parking at the visitor
43.32parking area of Soudan Underground Mine State Park, or for tours of the High Energy
43.33Physics Lab by supervised kindergarten through grade 12 school classes during the school
43.34year.
44.1 Sec. 21. Minnesota Statutes 2006, section 85.054, is amended by adding a subdivision
44.2to read:
44.3 Subd. 13. Cuyuna Country State Recreation Area. A state park permit is not
44.4required and a fee may not be charged for motor vehicle entry or parking at Croft Mine
44.5Historical Park and Portsmouth Mine Lake Overlook in Cuyuna Country State Recreation
44.6Area, except for overnight camping.
44.7 Sec. 22. Minnesota Statutes 2006, section 86B.706, subdivision 2, is amended to read:
44.8 Subd. 2. Money deposited in account. The following shall be deposited in the state
44.9treasury and credited to the water recreation account:
44.10 (1) feesand surcharges from titling and licensing of watercraft under this chapter;
44.11 (2) fines, installment payments, and forfeited bail according to section86B.705,
44.12subdivision 2 ;
44.13 (3)civil penalties according to section
84D.13;
44.14(4) mooring fees and receipts from the sale of marine gas at state-operated or
44.15state-assisted small craft harbors and mooring facilities according to section86A.21 ;
44.16(5) (4) the unrefunded gasoline tax attributable to watercraft use under section
44.17296A.18
; and
44.18(6) (5) fees for permits issued to control or harvest aquatic plants other than wild
44.19rice under section103G.615, subdivision 2 .
44.20 Sec. 23. Minnesota Statutes 2006, section 89.22, subdivision 2, is amended to read:
44.21 Subd. 2. Receipts tonatural resources special revenue fund. Fees collected under
44.22subdivision 1 shall be credited toa forest land use account in the natural resources fund
44.23the special revenue fund and are annually appropriated to the commissioner to recoup the
44.24costs of developing, operating, and maintaining facilities necessary for the specified uses
44.25in subdivision 1 or to prevent or mitigate resource impacts of those uses.
44.26EFFECTIVE DATE.This section is effective July 1, 2007, and applies to fees
44.27collected according to Minnesota Statutes, section 89.22, subdivision 1, after August
44.281, 2006.
44.29 Sec. 24. [89.421] FOREST RESOURCE ASSESSMENT PRODUCTS AND
44.30SERVICES ACCOUNT.
44.31 Subdivision 1. Creation. The forest resource assessment products and services
44.32account is created in the state treasury in the natural resources fund.
45.1 Subd. 2. Receipts. Money received from forest resource assessment product sales
45.2and services provided by the commissioner under sections 84.025, subdivision 9; 84.026;
45.3and 84.0855 shall be credited to the forest resource assessment products and services
45.4account. Forest resource assessment products and services include the sale of aerial
45.5photography, remote sensing, and satellite imagery products and services.
45.6 Subd. 3. Use of money in account. Money credited to the forest resource
45.7assessment products and services account under subdivision 2 is appropriated for fiscal
45.8years 2008 and 2009 to the commissioner and shall be used to maintain the staff and
45.9facilities producing the aerial photography, remote sensing, and satellite imagery products
45.10and services.
45.11 Sec. 25. [89.62] SHADE TREE PEST CONTROL; GRANT PROGRAM.
45.12 Subdivision 1. Grants. The commissioner may make grants to aid in the control of
45.13a shade tree pest. To be eligible, a grantee must have a pest control program approved
45.14by the commissioner that:
45.15 (1) defines tree ownership and who is responsible for the costs associated with
45.16control measures;
45.17 (2) defines the zone of infestation within which the control measures are to be
45.18applied;
45.19 (3) includes a tree inspector certified under section 89.63 and having the authority to
45.20enter and inspect private lands;
45.21 (4) has the means to enforce measures needed to limit the spread of shade tree
45.22pests; and
45.23 (5) provides that grant money received will be deposited in a separate fund to be
45.24spent only for the purposes authorized by this section.
45.25 Subd. 2. Grant eligibility. The following are eligible for grants under this section:
45.26 (1) a home rule charter or statutory city or a town that exercises municipal powers
45.27under section 368.01 or any general or special law;
45.28 (2) a special park district organized under chapter 398;
45.29 (3) a special-purpose park and recreation board;
45.30 (4) a soil and water conservation district;
45.31 (5) a county; or
45.32 (6) any other organization with the legal authority to enter into contractual
45.33agreements.
45.34 Subd. 3. Rules; applicability to municipalities. The rules and procedures adopted
45.35under this section by the commissioner apply in a municipality unless the municipality
46.1adopts an ordinance determined by the commissioner to be more stringent than the rules
46.2and procedures of the commissioner. The rules and procedures of the commissioner or
46.3the municipality apply to all state agencies, special purpose districts, and metropolitan
46.4commissions as defined in section 473.121, subdivision 5a, that own or control land
46.5adjacent to or within a zone of infestation.
46.6 Sec. 26. Minnesota Statutes 2006, section 90.161, is amended by adding a subdivision
46.7to read:
46.8 Subd. 4. Change of security. Prior to any harvest activity, or activities incidental
46.9to the preparation for harvest, a purchaser having posted a bond for 100 percent of the
46.10purchase price of a sale may request the release of the bond and the commissioner
46.11shall grant such release upon cash payment to the commissioner of the down payment
46.12requirement of the sale, plus interest.
46.13 Sec. 27. Minnesota Statutes 2006, section 93.22, subdivision 1, is amended to read:
46.14 Subdivision 1. Generally. (a) All payments under sections93.14 to
93.285 shall
46.15be made to the Department of Natural Resources and shall be credited according to this
46.16section.
46.17(a) If the lands or minerals and mineral rights covered by a lease are held by the state
46.18by virtue of an act of Congress, payments made under the lease shall be credited to the
46.19permanent fund of the class of land to which the leased premises belong.
46.20(b) If a lease covers the bed of navigable waters, payments made under the lease
46.21shall be credited to the permanent school fund of the state.
46.22(c) If the lands or minerals and mineral rights covered by a lease are held by the
46.23state in trust for the taxing districts, payments made under the lease shall be distributed
46.24annually on the first day of September as follows:
46.25(1) 20 percent to the general fund; and
46.26(2) 80 percent to the respective counties in which the lands lie, to be apportioned
46.27among the taxing districts interested therein as follows: county, three-ninths; town or city,
46.28two-ninths; and school district, four-ninths.
46.29(d) Except as provided under this section and except where the disposition of
46.30payments may be otherwise directed by law, all payments shall be paid into the general
46.31fund of the state.
46.32 (b) Twenty percent of all payments under sections93.14 to
93.285 shall be
46.33credited to the minerals management account in the natural resources fund as costs for
47.1the administration and management of state mineral resources by the commissioner of
47.2natural resources.
47.3 (c) The remainder of the payments shall be credited as follows:
47.4 (1) if the lands or minerals and mineral rights covered by a lease are held by the state
47.5by virtue of an act of Congress, payments made under the lease shall be credited to the
47.6permanent fund of the class of land to which the leased premises belong;
47.7 (2) if a lease covers the bed of navigable waters, payments made under the lease
47.8shall be credited to the permanent school fund of the state;
47.9 (3) if the lands or minerals and mineral rights covered by a lease are held by the state
47.10in trust for the taxing districts, payments made under the lease shall be distributed annually
47.11on the first day of September to the respective counties in which the lands lie, to be
47.12apportioned among the taxing districts interested therein as follows: county, three-ninths;
47.13town or city, two-ninths; and school district, four-ninths;
47.14 (4) if the lands or mineral rights covered by a lease became the absolute property of
47.15the state under the provisions of chapter 84A, payments made under the lease shall be
47.16distributed as follows: county containing the land from which the income was derived,
47.17five-eighths; and general fund of the state, three-eighths; and
47.18 (5) except as provided under this section and except where the disposition of
47.19payments may be otherwise directed by law, payments made under a lease shall be paid
47.20into the general fund of the state.
47.21 Sec. 28. Minnesota Statutes 2006, section 97A.055, subdivision 4, is amended to read:
47.22 Subd. 4. Game and fish annual reports. (a) By December 15 each year,
47.23the commissioner shall submit to the legislative committees having jurisdiction over
47.24appropriations and the environment and natural resources reports on each of the following:
47.25 (1) the amount of revenue from the following and purposes for which expenditures
47.26were made:
47.27 (i) the small game license surcharge under section97A.475, subdivision 4 ;
47.28 (ii) the Minnesota migratory waterfowl stamp under section97A.475, subdivision
47.295 , clause (1);
47.30 (iii) the trout and salmon stamp under section97A.475, subdivision 10 ;
47.31 (iv) the pheasant stamp under section97A.475, subdivision 5 , clause (2); and
47.32 (v) the turkey stamp under section97A.475, subdivision 5 , clause (3); and
47.33 (vi) the deer license surcharge under section 97A.475, subdivision 3a;
47.34 (2) the amounts available under section97A.075, subdivision 1 , paragraphs (b) and
47.35(c), and the purposes for which these amounts were spent;
48.1 (3) money credited to the game and fish fund under this section and purposes for
48.2which expenditures were made from the fund;
48.3 (4) outcome goals for the expenditures from the game and fish fund; and
48.4 (5) summary and comments of citizen oversight committee reviews under
48.5subdivision 4b.
48.6 (b) The report must include the commissioner's recommendations, if any, for
48.7changes in the laws relating to the stamps and surcharge referenced in paragraph (a).
48.8 Sec. 29. Minnesota Statutes 2006, section 97A.065, is amended by adding a
48.9subdivision to read:
48.10 Subd. 6. Deer license surcharge. The surcharge collected under section 97A.475,
48.11subdivision 3a, shall be deposited in a special revenue account and is appropriated for fiscal
48.12years 2008 and 2009 to the commissioner for deer management, including for grants or
48.13payments to agencies, organizations, or individuals for assisting with the cost of processing
48.14deer taken for population management purposes for venison donation programs. None of
48.15the additional license fees shall be transferred to any other agency for administration of
48.16programs other than venison donation. If any money transferred by the commissioner is
48.17not used for a venison donation program, it shall be returned to the commissioner.
48.18 Sec. 30. Minnesota Statutes 2006, section 97A.133, is amended by adding a
48.19subdivision to read:
48.20 Subd. 66. Vermillion Highlands Wildlife Management Area, Dakota County.
48.21 Sec. 31. Minnesota Statutes 2006, section 97A.475, is amended by adding a
48.22subdivision to read:
48.23 Subd. 3a. Deer license surcharge. (a) Fees for annual resident and nonresident
48.24licenses to take deer by firearms or archery established under subdivisions 2, clauses (4),
48.25(5), (9), and (11), and 3, clauses (2), (3), and (7), must be increased by a surcharge of $1,
48.26except as provided under section 97A.065, subdivision 6. An additional commission may
48.27not be assessed on the surcharge and the following statement must be included in the
48.28annual deer hunting regulations: "The $1 deer license surcharge is being paid by hunters
48.29for deer management, including assisting with the costs of processing deer donated for
48.30charitable purposes."
48.31 (b) The commissioner shall report to the legislature on the participation in and
48.32effectiveness of the venison donation program by February 1, 2010.
49.1 Sec. 32. Minnesota Statutes 2006, section 97A.475, subdivision 7, is amended to read:
49.2 Subd. 7. Nonresident fishing. (a) Fees for the following licenses, to be issued
49.3to nonresidents, are:
49.4 (1) to take fish by angling, $34;
49.5 (2) to take fish by angling limited to seven consecutive days selected by the licensee,
49.6$24;
49.7 (3) to take fish by angling for a 72-hour period selected by the licensee, $20;
49.8 (4) to take fish by angling for a combined license for a family for one or both parents
49.9and dependent children under the age of 16, $46;
49.10 (5) to take fish by angling for a 24-hour period selected by the licensee, $8.50; and
49.11 (6) to take fish by angling for a combined license for a married couple, limited to
49.1214 consecutive days selected by one of the licensees, $35.
49.13 (b) A $2 surcharge shall be added to all nonresident fishing licenses, except licenses
49.14issued under paragraph (a), clause (5). An additional commission may not be assessed
49.15on this surcharge.
49.16EFFECTIVE DATE.This section is effective March 1, 2008.
49.17 Sec. 33. Minnesota Statutes 2006, section 97A.485, subdivision 7, is amended to read:
49.18 Subd. 7. Electronic licensing system commission. The commissioner shall retain
49.19for the operation of the electronic licensing system the commission established under
49.20section84.027, subdivision 15 , and issuing fees collected by the commissioner on all
49.21license fees collected, excluding:
49.22 (1) the small game surcharge;and
49.23 (2) the deer license surcharge; and
49.24 (3) $2.50 of the license fee for the licenses in section97A.475, subdivisions 6,
49.25clauses (1) , (2), and (4), 7, 8, 12, and 13.
49.26 Sec. 34. [97B.303] VENISON DONATIONS.
49.27 An individual who legally takes a deer may donate the deer, for distribution to
49.28charitable food assistance programs, to a meat processor that is licensed under chapter
49.2928A. An individual donating a deer must supply the processor with the tag number under
49.30which the deer was taken.
49.31 Sec. 35. Minnesota Statutes 2006, section 97C.081, subdivision 3, is amended to read:
49.32 Subd. 3. Contests requiring a permit. (a) A person must have a permit from the
49.33commissioner to conduct a fishing contest that does not meet the criteria in subdivision 2.
50.1Permits shall be issued without a fee. The commissioner shall charge a fee for the permit
50.2that recovers the costs of issuing the permit and of monitoring the activities allowed by
50.3the permit. Receipts collected from this fee shall be credited to the game and fish fund.
50.4Notwithstanding section 16A.1283, the commissioner may, by written order published in
50.5the State Register, establish contest permit fees. The fees are not subject to the rulemaking
50.6provisions of chapter 14 and section 14.386 does not apply.
50.7 (b) If entry fees are over $25 per person, or total prizes are valued at more than
50.8$25,000, and if the applicant has either:
50.9 (1) not previously conducted a fishing contest requiring a permit under this
50.10subdivision; or
50.11 (2) ever failed to make required prize awards in a fishing contest conducted by
50.12the applicant, the commissioner may require the applicant to furnish the commissioner
50.13evidence of financial responsibility in the form of a surety bond or bank letter of credit in
50.14the amount of $25,000.
50.15 (c) The permit fee for any individual contest may not exceed the following amounts:
50.16 (1) $120 for an open water contest not exceeding 100 participants and without
50.17off-site weigh-in;
50.18 (2) $400 for an open water contest with more than 100 participants and without
50.19off-site weigh-in;
50.20 (3) $500 for an open water contest not exceeding 100 participants with off-site
50.21weigh-in;
50.22 (4) $1,000 for an open water contest with more than 100 participants with off-site
50.23weigh-in; or
50.24 (5) $120 for an ice fishing contest with more than 150 participants.
50.25 Sec. 36. Minnesota Statutes 2006, section 103B.101, is amended by adding a
50.26subdivision to read:
50.27 Subd. 12. Authority to issue penalty orders. The board may issue an order
50.28requiring violations to be corrected and administratively assessing monetary penalties for
50.29violations of this chapter and chapters 103C, 103D, 103E, 103F, and 103G, any rules
50.30adopted under those chapters, and any standards, limitations, or conditions established
50.31by the board.
50.32EFFECTIVE DATE.This section is effective the day following final enactment.
50.33 Sec. 37. [103B.102] LOCAL WATER MANAGEMENT ACCOUNTABILITY
50.34AND OVERSIGHT.
51.1 Subdivision 1. Findings; improving accountability and oversight. The legislature
51.2finds that a process is needed to monitor the performance and activities of local water
51.3management entities. The process should be preemptive so that problems can be identified
51.4early and systematically. Underperforming entities should be provided assistance and
51.5direction for improving performance in a reasonable time frame.
51.6 Subd. 2. Definitions. For the purposes of this section, "local water management
51.7entities" means watershed districts, soil and water conservation districts, metropolitan
51.8water management organizations, and counties operating separately or jointly in their
51.9role as local water management authorities under chapter 103B, 103C, 103D, or 103G
51.10and chapter 114D.
51.11 Subd. 3. Evaluation and report. The Board of Water and Soil Resources shall
51.12evaluate performance, financial, and activity information for each local water management
51.13entity. The board shall evaluate the entities' progress in accomplishing their adopted
51.14plans on a regular basis, but not less than once every five years. The board shall maintain
51.15a summary of local water management entity performance on the board's Web site.
51.16Beginning February 1, 2008, and annually thereafter, the board shall provide an analysis
51.17of local water management entity performance to the chairs of the house and senate
51.18committees having jurisdiction over environment and natural resources policy.
51.19 Subd. 4. Corrective actions. (a) In addition to other authorities, the Board of Water
51.20and Soil Resources may, based on its evaluation in subdivision 3, reduce, withhold, or
51.21redirect grants and other funding if the local water management entity has not corrected
51.22deficiencies as prescribed in a notice from the board within one year from the date of
51.23the notice.
51.24 (b) The board may defer a decision on a termination petition filed under section
51.25103B.221, 103C.225, or 103D.271 for up to one year to conduct or update the evaluation
51.26under subdivision 3 or to communicate the results of the evaluation to petitioners or to
51.27local and state government agencies.
51.28 Sec. 38. Minnesota Statutes 2006, section 103C.321, is amended by adding a
51.29subdivision to read:
51.30 Subd. 6. Credit card use. The supervisors may authorize the use of a credit card
51.31by any soil and water conservation district officer or employee otherwise authorized
51.32to make a purchase on behalf of the soil and water conservation district. If a soil and
51.33water conservation district officer or employee makes a purchase by credit card that is not
51.34approved by the supervisors, the officer or employee is personally liable for the amount of
51.35the purchase. A purchase by credit card must otherwise comply with all statutes, rules,
52.1or soil and water conservation district policy applicable to soil and water conservation
52.2district purchases.
52.3 Sec. 39. Minnesota Statutes 2006, section 103D.325, is amended by adding a
52.4subdivision to read:
52.5 Subd. 4. Credit card use. The managers may authorize the use of a credit card
52.6by any watershed district officer or employee otherwise authorized to make a purchase
52.7on behalf of the watershed district. If a watershed district officer or employee makes a
52.8purchase by credit card that is not approved by the managers, the officer or employee is
52.9personally liable for the amount of the purchase. A purchase by credit card must otherwise
52.10comply with all statutes, rules, or watershed district policy applicable to watershed district
52.11purchases.
52.12 Sec. 40. Minnesota Statutes 2006, section 103E.021, subdivision 1, is amended to read:
52.13 Subdivision 1. Spoil banks must be spread andgrass planted permanent
52.14vegetation established. In any proceeding to establish, construct, improve, or do any
52.15work affecting a public drainage system under any law that appoints viewers to assess
52.16benefits and damages, the authority having jurisdiction over the proceeding shall order
52.17spoil banks to be spread consistent with the plan and function of the drainage system. The
52.18authority shall order that permanent grass, other than a noxious weed, be planted on
52.19thebanks ditch side slopes and on a strip that a permanent strip of perennial vegetation
52.20approved by the drainage authority be established on each side of the ditch. Preference
52.21should be given to planting native species of a local ecotype. The approved perennial
52.22vegetation shall not impede future maintenance of the ditch. The permanent strips of
52.23perennial vegetation shall be 16-1/2 feet in width measured outward from the top edge
52.24of the constructed channel resulting from the proceeding, or to the crown of the leveled
52.25spoil bank, whichever is the greater,on each side of the top edge of the channel of the
52.26ditch. except for an action by a drainage authority that results only in a redetermination of
52.27benefits and damages, for which the required width shall be 16-1/2 feet. Drainage system
52.28rights-of-way for the acreage and additional property required for theplanting permanent
52.29strips must be acquired by the authority having jurisdiction.
52.30 Sec. 41. Minnesota Statutes 2006, section 103E.021, subdivision 2, is amended to read:
52.31 Subd. 2. Reseeding and harvestinggrass perennial vegetation. The authority
52.32having jurisdiction over the repair and maintenance of the drainage system shall supervise
52.33all necessary reseeding. The permanentgrass strips of perennial vegetation must be
53.1maintained in the same manner as other drainage system repairs. Harvest of thegrass
53.2vegetation from thegrass permanent strip in a manner not harmful to the grass vegetation
53.3or the drainage system is the privilege of the fee owner or assigns. Thecounty drainage
53.4inspector shall establish rules for the fee owner and assigns to harvest thegrass vegetation.
53.5 Sec. 42. Minnesota Statutes 2006, section 103E.021, subdivision 3, is amended to read:
53.6 Subd. 3. Agricultural practices prohibited. Agricultural practices, other than
53.7those required for the maintenance of a permanent growth ofgrass perennial vegetation,
53.8are not permitted on any portion of the property acquired forplanting perennial vegetation.
53.9 Sec. 43. Minnesota Statutes 2006, section 103E.021, is amended by adding a
53.10subdivision to read:
53.11 Subd. 6. Incremental implementation of vegetated ditch buffer strips and side
53.12inlet controls. (a) Notwithstanding other provisions of this chapter requiring appointment
53.13of viewers and redetermination of benefits and damages, a drainage authority may
53.14implement permanent buffer strips of perennial vegetation approved by the drainage
53.15authority or side inlet controls, or both, adjacent to a public drainage ditch, where
53.16necessary to control erosion and sedimentation, improve water quality, or maintain the
53.17efficiency of the drainage system. Preference should be given to planting native species of
53.18a local ecotype. The approved perennial vegetation shall not impede future maintenance
53.19of the ditch. The permanent strips of perennial vegetation shall be 16-1/2 feet in width
53.20measured outward from the top edge of the existing constructed channel. Drainage system
53.21rights-of-way for the acreage and additional property required for the permanent strips
53.22must be acquired by the authority having jurisdiction.
53.23 (b) A project under this subdivision shall be implemented as a repair according to
53.24section 103E.705, except that the drainage authority may appoint an engineer to examine
53.25the drainage system and prepare an engineer's repair report for the project.
53.26 (c) Damages shall be determined by the drainage authority, or viewers, appointed by
53.27the drainage authority, according to section 103E.315, subdivision 8. A damages statement
53.28shall be prepared, including an explanation of how the damages were determined for each
53.29property affected by the project, and filed with the auditor or watershed district. Within 30
53.30days after the damages statement is filed, the auditor or watershed district shall prepare
53.31property owners' reports according to section 103E.323, subdivision 1, clauses (1), (2),
53.32(6), (7), and (8), and mail a copy of the property owner's report and damages statement to
53.33each owner of property affected by the proposed project.
54.1 (d) After a damages statement is filed, the drainage authority shall set a time, by
54.2order, not more than 30 days after the date of the order, for a hearing on the project. At
54.3least ten days before the hearing, the auditor or watershed district shall give notice by mail
54.4of the time and location of the hearing to the owners of property and political subdivisions
54.5likely to be affected by the project.
54.6 (e) The drainage authority shall make findings and order the repairs to be made if
54.7the drainage authority determines from the evidence presented at the hearing and by the
54.8viewers and engineer, if appointed, that the repairs are necessary for the drainage system
54.9and the costs of the repairs are within the limitations of section 103E.705.
54.10 Sec. 44. [103E.067] DITCH BUFFER STRIP ANNUAL REPORTING.
54.11 The drainage authority shall annually submit a report to the Board of Water and Soil
54.12Resources for the calendar year including:
54.13 (1) the number and types of actions for which viewers were appointed;
54.14 (2) the number of miles of buffer strips established according to section 103E.021;
54.15 (3) the number of drainage system inspections conducted; and
54.16 (4) the number of violations of section 103E.021 identified and enforcement actions
54.17taken.
54.18 Sec. 45. Minnesota Statutes 2006, section 103E.315, subdivision 8, is amended to read:
54.19 Subd. 8. Extent of damages. Damages to be paid may include:
54.20 (1) the fair market value of the property required for the channel of an open ditch
54.21and the permanentgrass strip of perennial vegetation under section
103E.021 ;
54.22 (2) the diminished value of a farm due to severing a field by an open ditch;
54.23 (3) loss of crop production during drainage project construction;and
54.24 (4) the diminished productivity or land value from increased overflow.; and
54.25 (5) costs to restore a perennial vegetative cover or structural practice existing
54.26under a federal or state conservation program adjacent to the permanent drainage system
54.27right-of-way and damaged by the drainage project.
54.28 Sec. 46. Minnesota Statutes 2006, section 103E.321, subdivision 1, is amended to read:
54.29 Subdivision 1. Requirements. The viewers' report must show, in tabular form,
54.30for each lot, 40-acre tract, and fraction of a lot or tract under separate ownership that
54.31is benefited or damaged:
54.32 (1) a description of the lot or tract, under separate ownership, that is benefited or
54.33damaged;
55.1 (2) the names of the owners as they appear on the current tax records of the county
55.2and their addresses;
55.3 (3) the number of acres in each tract or lot;
55.4 (4) the number and value of acres added to a tract or lot by the proposed drainage of
55.5public waters;
55.6 (5) the damage, if any, to riparian rights;
55.7 (6) the damages paid for the permanentgrass strip of perennial vegetation under
55.8section103E.021 ;
55.9 (7) the total number and value of acres added to a tract or lot by the proposed
55.10drainage of public waters, wetlands, and other areas not currently being cultivated;
55.11 (8) the number of acres and amount of benefits being assessed for drainage of areas
55.12which before the drainage benefits could be realized would require a public waters work
55.13permit to work in public waters under section103G.245 to excavate or fill a navigable
55.14water body under United States Code, title 33, section 403, or a permit to discharge into
55.15waters of the United States under United States Code, title 33, section 1344;
55.16 (9) the number of acres and amount of benefits being assessed for drainage of areas
55.17that would be considered conversion of a wetland under United States Code, title 16,
55.18section 3821, if the area was placed in agricultural production;
55.19 (10) the amount of right-of-way acreage required; and
55.20 (11) the amount that each tract or lot will be benefited or damaged.
55.21 Sec. 47. Minnesota Statutes 2006, section 103E.701, is amended by adding a
55.22subdivision to read:
55.23 Subd. 7. Restoration; disturbance or destruction by repair. If a drainage system
55.24repair disturbs or destroys a perennial vegetative cover or structural practice existing
55.25under a federal or state conservation program adjacent to the permanent drainage system
55.26right-of-way, the practice must be restored according to the applicable practice plan or
55.27as determined by the drainage authority, if a practice plan is not available. Restoration
55.28costs shall be paid by the drainage system.
55.29 Sec. 48. Minnesota Statutes 2006, section 103E.705, subdivision 1, is amended to read:
55.30 Subdivision 1. Inspection. After the construction of a drainage system has been
55.31completed, the drainage authority shall maintain the drainage system that is located in its
55.32jurisdiction, includinggrass the permanent strips of perennial vegetation under section
55.33103E.021
, and provide the repairs necessary to make the drainage system efficient. The
55.34drainage authority shall have the drainage system inspected on a regular basis by an
56.1inspection committee of the drainage authority or a drainage inspector appointed by the
56.2drainage authority. Open drainage ditches shall be inspected at a minimum of every five
56.3years when no violation of section 103E.021 is found and annually when a violation of
56.4section 103E.021 is found, until one year after the violation is corrected.
56.5 Sec. 49. Minnesota Statutes 2006, section 103E.705, subdivision 2, is amended to read:
56.6 Subd. 2.Grass Permanent strip of perennial vegetation inspection and
56.7compliance notice. (a) The drainage authority having jurisdiction over a drainage system
56.8must inspect the drainage system for violations of section103E.021 . If an inspection
56.9committee of the drainage authority or a drainage inspector determines that permanent
56.10grass strips of perennial vegetation are not being maintained in compliance with section
56.11103E.021
, a compliance notice must be sent to the property owner.
56.12 (b) The notice must state:
56.13 (1) the date the ditch was inspected;
56.14 (2) the persons making the inspection;
56.15 (3) that spoil banks are to be spread in a manner consistent with the plan and function
56.16of the drainage system and that the drainage system has acquired agrass permanent strip
56.1716-1/2 feet in width or to the crown of the spoil bank, whichever is greater of perennial
56.18vegetation, according to section 103E.021;
56.19 (4) the violations of section103E.021 ;
56.20 (5) the measures that must be taken by the property owner to comply with section
56.21103E.021
and the date when the property must be in compliance; and
56.22 (6) that if the property owner does not comply by the date specified, the drainage
56.23authority will perform the work necessary to bring the area into compliance with section
56.24103E.021
and charge the cost of the work to the property owner.
56.25 (c) If a property owner does not bring an area into compliance with section103E.021
56.26as provided in the compliance notice, the inspection committee or drainage inspector
56.27must notify the drainage authority.
56.28 (d) This subdivision applies to property acquired under section103E.021 .
56.29 Sec. 50. Minnesota Statutes 2006, section 103E.705, subdivision 3, is amended to read:
56.30 Subd. 3. Drainage inspection report. For each drainage system that the board
56.31designates and requires the drainage inspector to examine, the drainage inspector shall
56.32make a drainage inspection report in writing to the board after examining a drainage
56.33system, designating portions that need repair or maintenance ofgrass the permanent
56.34strips of perennial vegetation and the location and nature of the repair or maintenance.
57.1The board shall consider the drainage inspection report at its next meeting and may repair
57.2all or any part of the drainage system as provided under this chapter. Thegrass permanent
57.3strips of perennial vegetation must be maintained in compliance with section103E.021 .
57.4 Sec. 51. Minnesota Statutes 2006, section 103E.728, subdivision 2, is amended to read:
57.5 Subd. 2. Additional assessment for agricultural practices ongrass permanent
57.6strip of perennial vegetation. (a) The drainage authority may, after notice and hearing,
57.7charge an additional assessment on property that has agricultural practices on or otherwise
57.8violates provisions related to the permanentgrass strip of perennial vegetation acquired
57.9under section103E.021 .
57.10 (b) The drainage authority may determine the cost of the repair per mile of open
57.11ditch on the ditch system. Property that is in violation of the grass requirement shall be
57.12assessed a cost of 20 percent of the repair cost per open ditch mile multiplied by the length
57.13of open ditch in miles on the property in violation.
57.14 (c) After the amount of the additional assessment is determined and applied to the
57.15repair cost, the balance of the repair cost may be apportioned pro rata as provided in
57.16subdivision 1.
57.17 Sec. 52. Minnesota Statutes 2006, section 103G.222, subdivision 1, is amended to read:
57.18 Subdivision 1. Requirements. (a) Wetlands must not be drained or filled, wholly
57.19or partially, unless replaced by restoring or creating wetland areas of at least equal
57.20public value under a replacement plan approved as provided in section103G.2242 , a
57.21replacement plan under a local governmental unit's comprehensive wetland protection
57.22and management plan approved by the board under section103G.2243 , or, if a permit to
57.23mine is required under section93.481 , under a mining reclamation plan approved by the
57.24commissioner under the permit to mine. Mining reclamation plans shall apply the same
57.25principles and standards for replacing wetlands by restoration or creation of wetland areas
57.26that are applicable to mitigation plans approved as provided in section103G.2242 . Public
57.27value must be determined in accordance with section103B.3355 or a comprehensive
57.28wetland protection and management plan established under section103G.2243 . Sections
57.29103G.221
to
103G.2372 also apply to excavation in permanently and semipermanently
57.30flooded areas of types 3, 4, and 5 wetlands.
57.31 (b) Replacement must be guided by the following principles in descending order
57.32of priority:
57.33 (1) avoiding the direct or indirect impact of the activity that may destroy or diminish
57.34the wetland;
58.1 (2) minimizing the impact by limiting the degree or magnitude of the wetland
58.2activity and its implementation;
58.3 (3) rectifying the impact by repairing, rehabilitating, or restoring the affected
58.4wetland environment;
58.5 (4) reducing or eliminating the impact over time by preservation and maintenance
58.6operations during the life of the activity;
58.7 (5) compensating for the impact by restoring a wetland; and
58.8 (6) compensating for the impact by replacing or providing substitute wetland
58.9resources or environments.
58.10 For a project involving the draining or filling of wetlands in an amount not exceeding
58.1110,000 square feet more than the applicable amount in section103G.2241, subdivision 9 ,
58.12paragraph (a), the local government unit may make an on-site sequencing determination
58.13without a written alternatives analysis from the applicant.
58.14 (c) If a wetland is located in a cultivated field, then replacement must be
58.15accomplished through restoration only without regard to the priority order in paragraph
58.16(b), provided that a deed restriction is placed on the altered wetland prohibiting
58.17nonagricultural use for at least ten years.
58.18 (d) If a wetland is drained under section 103G.2241, subdivision 2, the local
58.19government unit may require a deed restriction that prohibits nonagricultural use for at
58.20least ten years unless the drained wetland is replaced as provided under this section. The
58.21local government unit may require the deed restriction if it determines the wetland area
58.22drained is at risk of conversion to a nonagricultural use within ten years based on the
58.23zoning classification, proximity to a municipality or full service road, or other criteria as
58.24determined by the local government unit.
58.25 (e) Restoration and replacement of wetlands must be accomplished in accordance
58.26with the ecology of the landscape area affected and ponds that are created primarily to
58.27fulfill stormwater management, and water quality treatment requirements may not be
58.28used to satisfy replacement requirements under this chapter unless the design includes
58.29pretreatment of runoff and the pond is functioning as a wetland.
58.30(e) (f) Except as provided in paragraph (f) (g), for a wetland or public waters wetland
58.31located on nonagricultural land, replacement must be in the ratio of two acres of replaced
58.32wetland for each acre of drained or filled wetland.
58.33(f) (g) For a wetland or public waters wetland located on agricultural land or in a
58.34greater than 80 percent area, replacement must be in the ratio of one acre of replaced
58.35wetland for each acre of drained or filled wetland.
59.1(g) (h) Wetlands that are restored or created as a result of an approved replacement
59.2plan are subject to the provisions of this section for any subsequent drainage or filling.
59.3(h) (i) Except in a greater than 80 percent area, only wetlands that have been
59.4restored from previously drained or filled wetlands, wetlands created by excavation in
59.5nonwetlands, wetlands created by dikes or dams along public or private drainage ditches,
59.6or wetlands created by dikes or dams associated with the restoration of previously drained
59.7or filled wetlands may be used in a statewide banking program established in rules adopted
59.8under section103G.2242, subdivision 1 . Modification or conversion of nondegraded
59.9naturally occurring wetlands from one type to another are not eligible for enrollment in a
59.10statewide wetlands bank.
59.11(i) (j) The Technical Evaluation Panel established under section
103G.2242,
59.12subdivision 2 , shall ensure that sufficient time has occurred for the wetland to develop
59.13wetland characteristics of soils, vegetation, and hydrology before recommending that the
59.14wetland be deposited in the statewide wetland bank. If the Technical Evaluation Panel has
59.15reason to believe that the wetland characteristics may change substantially, the panel shall
59.16postpone its recommendation until the wetland has stabilized.
59.17(j) (k) This section and sections
103G.223 to
103G.2242 ,
103G.2364 , and
59.18103G.2365
apply to the state and its departments and agencies.
59.19(k) (l) For projects involving draining or filling of wetlands associated with a new
59.20public transportation project, and for projects expanded solely for additional traffic
59.21capacity, public transportation authorities may purchase credits from the board at the cost
59.22to the board to establish credits. Proceeds from the sale of credits provided under this
59.23paragraph are appropriated to the board for the purposes of this paragraph.
59.24(l) (m) A replacement plan for wetlands is not required for individual projects that
59.25result in the filling or draining of wetlands for the repair, rehabilitation, reconstruction,
59.26or replacement of a currently serviceable existing state, city, county, or town public road
59.27necessary, as determined by the public transportation authority, to meet state or federal
59.28design or safety standards or requirements, excluding new roads or roads expanded solely
59.29for additional traffic capacity lanes. This paragraph only applies to authorities for public
59.30transportation projects that:
59.31 (1) minimize the amount of wetland filling or draining associated with the project
59.32and consider mitigating important site-specific wetland functions on-site;
59.33 (2) except as provided in clause (3), submit project-specific reports to the board, the
59.34Technical Evaluation Panel, the commissioner of natural resources, and members of the
59.35public requesting a copy at least 30 days prior to construction that indicate the location,
59.36amount, and type of wetlands to be filled or drained by the project or, alternatively,
60.1convene an annual meeting of the parties required to receive notice to review projects to
60.2be commenced during the upcoming year; and
60.3 (3) for minor and emergency maintenance work impacting less than 10,000 square
60.4feet, submit project-specific reports, within 30 days of commencing the activity, to the
60.5board that indicate the location, amount, and type of wetlands that have been filled
60.6or drained.
60.7 Those required to receive notice of public transportation projects may appeal
60.8minimization, delineation, and on-site mitigation decisions made by the public
60.9transportation authority to the board according to the provisions of section103G.2242,
60.10subdivision 9 . The Technical Evaluation Panel shall review minimization and delineation
60.11decisions made by the public transportation authority and provide recommendations
60.12regarding on-site mitigation if requested to do so by the local government unit, a
60.13contiguous landowner, or a member of the Technical Evaluation Panel.
60.14 Except for state public transportation projects, for which the state Department of
60.15Transportation is responsible, the board must replace the wetlands, and wetland areas of
60.16public waters if authorized by the commissioner or a delegated authority, drained or filled
60.17by public transportation projects on existing roads.
60.18 Public transportation authorities at their discretion may deviate from federal and
60.19state design standards on existing road projects when practical and reasonable to avoid
60.20wetland filling or draining, provided that public safety is not unreasonably compromised.
60.21The local road authority and its officers and employees are exempt from liability for
60.22any tort claim for injury to persons or property arising from travel on the highway and
60.23related to the deviation from the design standards for construction or reconstruction under
60.24this paragraph. This paragraph does not preclude an action for damages arising from
60.25negligence in construction or maintenance on a highway.
60.26(m) (n) If a landowner seeks approval of a replacement plan after the proposed
60.27project has already affected the wetland, the local government unit may require the
60.28landowner to replace the affected wetland at a ratio not to exceed twice the replacement
60.29ratio otherwise required.
60.30(n) (o) A local government unit may request the board to reclassify a county or
60.31watershed on the basis of its percentage of presettlement wetlands remaining. After
60.32receipt of satisfactory documentation from the local government, the board shall change
60.33the classification of a county or watershed. If requested by the local government unit,
60.34the board must assist in developing the documentation. Within 30 days of its action to
60.35approve a change of wetland classifications, the board shall publish a notice of the change
60.36in the Environmental Quality Board Monitor.
61.1(o) (p) One hundred citizens who reside within the jurisdiction of the local
61.2government unit may request the local government unit to reclassify a county or watershed
61.3on the basis of its percentage of presettlement wetlands remaining. In support of their
61.4petition, the citizens shall provide satisfactory documentation to the local government unit.
61.5The local government unit shall consider the petition and forward the request to the board
61.6under paragraph(n) (o) or provide a reason why the petition is denied.
61.7EFFECTIVE DATE.This section is effective the day following final enactment.
61.8 Sec. 53. Minnesota Statutes 2006, section 103G.222, subdivision 3, is amended to read:
61.9 Subd. 3. Wetland replacement siting. (a) Siting wetland replacement must follow
61.10this priority order:
61.11 (1) on site or in the same minor watershed as the affected wetland;
61.12 (2) in the same watershed as the affected wetland;
61.13 (3) in the same county as the affected wetland;
61.14 (4) for replacement by wetland banking, in the same wetland bank service area as
61.15the impacted wetland, except that impacts in a 50 to 80 percent area must be replaced in
61.16a 50 to 80 percent area and impacts in a less than 50 percent area must be replaced in a
61.17less than 50 percent area;
61.18 (5) for project specific replacement, in an adjacent watershedor county to the
61.19affected wetland, or for replacement by wetland banking, in an adjacent wetland bank
61.20service area, except that impacts in a 50 to 80 percent area must be replaced in a 50 to
61.2180 percent area and impacts in a less than 50 percent area must be replaced in a less
61.22than 50 percent area; and
61.23(5) (6) statewide, only for wetlands affected in greater than 80 percent areas and for
61.24public transportation projects, except that wetlands affected in less than 50 percent areas
61.25must be replaced in less than 50 percent areas, and wetlands affected in the seven-county
61.26metropolitan area must be replaced at a ratio of two to one in: (i) the affected county or,
61.27(ii) in another of the seven metropolitan counties, or (iii) in one of the major watersheds
61.28that are wholly or partially within the seven-county metropolitan area, but at least one to
61.29one must be replaced within the seven-county metropolitan area.
61.30 (b) Notwithstanding paragraph (a), siting wetland replacement in greater than 80
61.31percent areas may follow the priority order under this paragraph: (1) by wetland banking
61.32after evaluating on-site replacement and replacement within the watershed; (2) replaced
61.33in an adjacent wetland bank service area if wetland bank credits are not reasonably
61.34available in the same wetland bank service area as the affected wetland, as determined
62.1by the local government unit or by a comprehensive inventory approved by the board;
62.2and (3) statewide.
62.3 (c) Notwithstanding paragraph (a), siting wetland replacement in the seven-county
62.4metropolitan area must follow the priority order under this paragraph: (1) in the affected
62.5county; (2) in another of the seven metropolitan counties; or (3) in one of the major
62.6watersheds that are wholly or partially within the seven-county metropolitan area, but at
62.7least one to one must be replaced within the seven-county metropolitan area.
62.8 (d) The exception in paragraph (a), clause(5) (6), does not apply to replacement
62.9completed using wetland banking credits established by a person who submitted a
62.10complete wetland banking application to a local government unit by April 1, 1996.
62.11(c) (e) When reasonable, practicable, and environmentally beneficial replacement
62.12opportunities are not available in siting priorities listed in paragraph (a), the applicant
62.13may seek opportunities at the next level.
62.14(d) (f) For the purposes of this section, "reasonable, practicable, and environmentally
62.15beneficial replacement opportunities" are defined as opportunities that:
62.16 (1) take advantage of naturally occurring hydrogeomorphological conditions and
62.17require minimal landscape alteration;
62.18 (2) have a high likelihood of becoming a functional wetland that will continue
62.19in perpetuity;
62.20 (3) do not adversely affect other habitat types or ecological communities that are
62.21important in maintaining the overall biological diversity of the area; and
62.22 (4) are available and capable of being done after taking into consideration cost,
62.23existing technology, and logistics consistent with overall project purposes.
62.24(e) (g) Regulatory agencies, local government units, and other entities involved in
62.25wetland restoration shall collaborate to identify potential replacement opportunities within
62.26their jurisdictional areas.
62.27EFFECTIVE DATE.This section is effective the day following final enactment.
62.28 Sec. 54. Minnesota Statutes 2006, section 103G.2241, subdivision 1, is amended to
62.29read:
62.30 Subdivision 1. Agricultural activities.(a) A replacement plan for wetlands is
62.31not required for:
62.32(1) activities in a wetland that was planted with annually seeded crops, was in a crop
62.33rotation seeding of pasture grass or legumes, or was required to be set aside to receive
62.34price support or other payments under United States Code, title 7, sections 1421 to 1469,
62.35in six of the last ten years prior to January 1, 1991;
63.1(2) activities in a wetland that is or has been enrolled in the federal conservation
63.2reserve program under United States Code, title 16, section 3831, that:
63.3(i) was planted with annually seeded crops, was in a crop rotation seeding, or was
63.4required to be set aside to receive price support or payment under United States Code,
63.5title 7, sections 1421 to 1469, in six of the last ten years prior to being enrolled in the
63.6program; and
63.7(ii) has not been restored with assistance from a public or private wetland restoration
63.8program;
63.9(3) activities in a wetland that has received a commenced drainage determination
63.10provided for by the federal Food Security Act of 1985, that was made to the county
63.11Agricultural Stabilization and Conservation Service office prior to September 19, 1988,
63.12and a ruling and any subsequent appeals or reviews have determined that drainage of the
63.13wetland had been commenced prior to December 23, 1985;
63.14(4) activities in a type 1 wetland on agricultural land, except for bottomland
63.15hardwood type 1 wetlands, and activities in a type 2 or type 6 wetland that is less than two
63.16acres in size and located on agricultural land;
63.17 (1) activities in a wetland conducted as part of normal farming practices. For
63.18purposes of this clause, "normal farming practices" means farming, silvicultural, grazing,
63.19and ranching activities such as plowing, seeding, cultivating, and harvesting for the
63.20production of feed, food, fuel, fiber, and forest products, but does not include activities
63.21that result in the draining or filling of wetlands in whole or part;
63.22 (2) soil and water conservation practices approved by the soil and water conservation
63.23district, after review by the Technical Evaluation Panel;
63.24(5) (3) aquaculture activities including pond excavation and construction and
63.25maintenance of associated access roads and dikes authorized under, and conducted in
63.26accordance with, a permit issued by the United States Army Corps of Engineers under
63.27section 404 of the federal Clean Water Act, United States Code, title 33, section 1344, but
63.28not including construction or expansion of buildings; or
63.29(6) (4) wild rice production activities, including necessary diking and other activities
63.30authorized under a permit issued by the United States Army Corps of Engineers under
63.31section 404 of the federal Clean Water Act, United States Code, title 33, section 1344;.
63.32(7) normal agricultural practices to control noxious or secondary weeds as defined
63.33by rule of the commissioner of agriculture, in accordance with applicable requirements
63.34under state and federal law, including established best management practices; and
63.35(8) agricultural activities in a wetland that is on agricultural land:
64.1(i) annually enrolled in the federal Agriculture Improvement and Reform Act of
64.21996 and is subject to United States Code, title 16, sections 3821 to 3823, in effect on
64.3January 1, 2000; or
64.4(ii) subject to subsequent federal farm program restrictions that meet minimum
64.5state standards under this chapter and sections
103A.202 and
103B.3355 and that have
64.6been approved by the Board of Water and Soil Resources, the commissioners of natural
64.7resources and agriculture, and the Pollution Control Agency.
64.8(b) Land enrolled in a federal farm program under paragraph (a), clause (8), is
64.9eligible for easement participation for those acres not already compensated under a federal
64.10program.
64.11(c) The exemption under paragraph (a), clause (4), may be expanded to additional
64.12acreage, including types 1, 2, and 6 wetlands that are part of a larger wetland system, when
64.13the additional acreage is part of a conservation plan approved by the local soil and water
64.14conservation district, the additional draining or filling is necessary for efficient operation
64.15of the farm, the hydrology of the larger wetland system is not adversely affected, and
64.16wetlands other than types 1, 2, and 6 are not drained or filled.
64.17EFFECTIVE DATE.This section is effective the day following final enactment.
64.18 Sec. 55. Minnesota Statutes 2006, section 103G.2241, subdivision 2, is amended to
64.19read:
64.20 Subd. 2. Drainage. (a) For the purposes of this subdivision, "public drainage
64.21system" means a drainage system as defined in section103E.005, subdivision 12 , and any
64.22ditch or tile lawfully connected to the drainage system. If wetlands drained under this
64.23subdivision are converted to uses prohibited under paragraph (b), clause (2), during the
64.24ten-year period following drainage, the wetlands must be replaced according to section
64.25103G.222.
64.26 (b) A replacement plan is not required for draining of type 1 wetlands, or up to five
64.27acres of type 2 or 6 wetlands, in an unincorporated area on land that has been assessed
64.28drainage benefits for a public drainage system, provided that:
64.29 (1) during the 20-year period that ended January 1, 1992:
64.30 (i) there was an expenditure made from the drainage system account for the public
64.31drainage system;
64.32 (ii) the public drainage system was repaired or maintained as approved by the
64.33drainage authority; or
64.34 (iii) no repair or maintenance of the public drainage system was required under
64.35section103E.705, subdivision 1 , as determined by the public drainage authority; and
65.1 (2) the wetlands are not drained for conversion to:
65.2 (i) platted lots;
65.3 (ii) planned unit, commercial, or industrial developments; or
65.4 (iii) any development with more than one residential unit per 40 acres.
65.5If wetlands drained under this paragraph are converted to uses prohibited under clause
65.6(2) during the ten-year period following drainage, the wetlands must be replaced under
65.7section
103G.222.
65.8 (c) A replacement plan is not required for draining or filling of wetlands, except for
65.9draining types 3, 4, and 5 wetlands that have been in existence for more than 25 years,
65.10resulting from maintenance and repair of existing public drainage systems.
65.11 (d) A replacement plan is not required for draining or filling of wetlands, except
65.12for draining wetlands that have been in existence for more than 25 years, resulting from
65.13maintenance and repair of existing drainage systems other than public drainage systems.
65.14(e) A replacement plan is not required for draining or filling of wetlands resulting
65.15from activities conducted as part of a public drainage system improvement project that
65.16received final approval from the drainage authority before July 1, 1991, and after July 1,
65.171986, if:
65.18(1) the approval remains valid;
65.19(2) the project remains active; and
65.20(3) no additional drainage will occur beyond that originally approved.
65.21 (e) A replacement plan is not required for draining agricultural land that: (1) was
65.22planted with annually seeded crops before June 10, except for crops that are normally
65.23planted after that date, in eight out of the ten most recent years prior to the impact; (2)
65.24was in a crop rotation seeding of pasture grass or legumes in eight out of the ten most
65.25recent years prior to the impact; or (3) was enrolled in a state or federal land conservation
65.26program and met the requirements of clause (1) or (2) before enrollment.
65.27 (f) The public drainage authority may, as part of the repair, install control structures,
65.28realign the ditch, construct dikes along the ditch, or make other modifications as necessary
65.29to prevent drainage of the wetland.
65.30 (g) Wetlands of all types that would be drained as a part of a public drainage repair
65.31project are eligible for the permanent wetlands preserve under section103F.516 . The
65.32board shall give priority to acquisition of easements on types 3, 4, and 5 wetlands that have
65.33been in existence for more than 25 years on public drainage systems and other wetlands
65.34that have the greatest risk of drainage from a public drainage repair project.
65.35EFFECTIVE DATE.This section is effective the day following final enactment.
66.1 Sec. 56. Minnesota Statutes 2006, section 103G.2241, subdivision 3, is amended to
66.2read:
66.3 Subd. 3. Federal approvals. A replacement plan for wetlands is not required for:
66.4(1) activities exempted from federal regulation under United States Code, title 33,
66.5section 1344(f), as in effect on January 1, 1991;
66.6(2) activities authorized under, and conducted in accordance with, an applicable
66.7general permit issued by the United States Army Corps of Engineers under section 404
66.8of the federal Clean Water Act, United States Code, title 33, section 1344, except the
66.9nationwide permit in Code of Federal Regulations, title 33, section 330.5, paragraph (a),
66.10clauses (14), limited to when a new road crosses a wetland, and (26), as in effect on
66.11January 1, 1991; or
66.12(3) activities authorized under the federal Clean Water Act, section 404, or the
66.13Rivers and Harbors Act, section 10, regulations that meet minimum state standards
66.14under this chapter and sections103A.202 and
103B.3355 and that have been approved
66.15by the Board of Water and Soil Resources, the commissioners of natural resources and
66.16agriculture, and the Pollution Control Agency.
66.17EFFECTIVE DATE.This section is effective the day following final enactment.
66.18 Sec. 57. Minnesota Statutes 2006, section 103G.2241, subdivision 6, is amended to
66.19read:
66.20 Subd. 6. Utilities; public works. (a) A replacement plan for wetlands is not
66.21required for:
66.22(1) placement, maintenance, repair, enhancement, or replacement of utility or
66.23utility-type service if:
66.24(i) the impacts of the proposed project on the hydrologic and biological
66.25characteristics of the wetland have been avoided and minimized to the extent possible; and
66.26(ii) the proposed project significantly modifies or alters less than one-half acre of
66.27wetlands;
66.28(2) activities associated with routine maintenance of utility and pipeline
66.29rights-of-way, provided the activities do not result in additional intrusion into the wetland;
66.30(3) alteration of a wetland associated with the operation, maintenance, or repair of
66.31an interstate pipeline within all existing or acquired interstate pipeline rights-of-way;
66.32(4) emergency repair and normal maintenance and repair of existing public works,
66.33provided the activity does not result in additional intrusion of the public works into the
66.34wetland and does not result in the draining or filling, wholly or partially, of a wetland;
67.1(5) normal maintenance and minor repair of structures causing no additional
67.2intrusion of an existing structure into the wetland, and maintenance and repair of private
67.3crossings that do not result in the draining or filling, wholly or partially, of a wetland; or
67.4(6) repair and updating of existing individual sewage treatment systems as necessary
67.5to comply with local, state, and federal regulations.
67.6 (1) new placement or maintenance, repair, enhancement, or replacement of existing
67.7utility or utility-type service, including pipelines, if:
67.8 (i) the direct and indirect impacts of the proposed project have been avoided and
67.9minimized to the extent possible; and
67.10 (ii) the proposed project significantly modifies or alters less than one-half acre of
67.11wetlands;
67.12 (2) activities associated with operation, routine maintenance, or emergency repair of
67.13existing utilities and public work structures, including pipelines, provided the activities
67.14do not result in additional wetland intrusion or additional draining or filling of a wetland
67.15either wholly or partially; or
67.16 (3) repair and updating of existing individual sewage treatment systems necessary to
67.17comply with local, state, and federal regulations.
67.18 (b) For maintenance, repair, and replacement, the local government unit may issue
67.19a seasonal or annual exemption certification or the utility may proceed without local
67.20government unit certification if the utility is carrying out the work according to approved
67.21best management practices. Work of an emergency nature may proceed as necessary
67.22and any drain or fill activities shall be addressed with the local government unit after
67.23the emergency work has been completed.
67.24EFFECTIVE DATE.This section is effective the day following final enactment.
67.25 Sec. 58. Minnesota Statutes 2006, section 103G.2241, subdivision 9, is amended to
67.26read:
67.27 Subd. 9. De minimis. (a) Except as provided in paragraphs (b) and (c), a
67.28replacement plan for wetlands is not required for draining or filling the following amounts
67.29of wetlands as part of a project:
67.30 (1) 10,000 square feet of type 1, 2, 6, or 7 wetland, excluding white cedar and
67.31tamarack wetlands, outside of the shoreland wetland protection zone in a greater than
67.3280 percent area;
67.33 (2)5,000 2,500 square feet of type 1, 2, 6, or 7 wetland, excluding white cedar
67.34and tamarack wetlands, outside of the shoreland wetland protection zone in a 50 to 80
67.35percent area;
68.1 (3)2,000 1,000 square feet of type 1, 2, or 6 wetland, outside of the shoreland
68.2wetland protection zone in a less than 50 percent area;
68.3 (4)400 100 square feet of wetland types not listed in clauses (1) to (3) outside of
68.4the building setback zone of the shoreland wetland protection zones in all counties;or
68.5 (5) 400 square feet oftype 1, 2, 3, 4, 5, 6, 7, or 8 wetland types listed in clauses (1)
68.6to (3),in beyond the building setback zone, as defined in the local shoreland management
68.7ordinance, but within the shoreland wetland protection zone, except that. In a greater
68.8than 80 percent area, the local government unit may increase the de minimis amount
68.9up to 1,000 square feetin the shoreland protection zone in areas beyond the building
68.10setback if the wetland is isolated and is determined to have no direct surficial connection
68.11to the public water. To the extent that a local shoreland management ordinance is more
68.12restrictive than this provision, the local shoreland ordinance applies; or
68.13 (6) up to 20 square feet of wetland, regardless of type or location.
68.14 (b) The amounts listed in paragraph (a), clauses (1) to(5) (6), may not be combined
68.15on a project.
68.16 (c) This exemption no longer applies to a landowner's portion of a wetland when
68.17the cumulative area drained or filled of the landowner's portion since January 1, 1992, is
68.18the greatest of:
68.19 (1) the applicable area listed in paragraph (a), if the landowner owns the entire
68.20wetland;
68.21 (2) five percent of the landowner's portion of the wetland; or
68.22 (3) 400 square feet.
68.23 (d) This exemption may not be combined with another exemption in this section on
68.24a project.
68.25 (e) Property may not be divided to increase the amounts listed in paragraph (a).
68.26EFFECTIVE DATE.This section is effective the day following final enactment.
68.27 Sec. 59. Minnesota Statutes 2006, section 103G.2241, subdivision 11, is amended to
68.28read:
68.29 Subd. 11. Exemption conditions. (a) A person conducting an activity in a wetland
68.30under an exemption in subdivisions 1 to 10 shall ensure that:
68.31 (1) appropriate erosion control measures are taken to prevent sedimentation of
68.32the water;
68.33 (2) the activity does not block fish passage in a watercourse; and
69.1 (3) the activity is conducted in compliance with all other applicable federal,
69.2state, and local requirements, including best management practices and water resource
69.3protection requirements established under chapter 103H.
69.4 (b) An activity is exempt if it qualifies for any one of the exemptions, even though it
69.5may be indicated as not exempt under another exemption.
69.6 (c) Persons proposing to conduct an exempt activity are encouraged to contact the
69.7local government unit or the local government unit's designee for advice on minimizing
69.8wetland impacts.
69.9 (d) The board shall develop rules that address the application and implementation
69.10of exemptions and that provide for estimates and reporting of exempt wetland impacts,
69.11including those in section 103G.2241, subdivisions 2, 6, and 9.
69.12EFFECTIVE DATE.This section is effective the day following final enactment.
69.13 Sec. 60. Minnesota Statutes 2006, section 103G.2242, subdivision 2, is amended to
69.14read:
69.15 Subd. 2. Evaluation. (a) Questions concerning the public value, location, size,
69.16or type of a wetland shall be submitted to and determined by a Technical Evaluation
69.17Panel after an on-site inspection. The Technical Evaluation Panel shall be composed of
69.18a technical professional employee of the board, a technical professional employee of
69.19the local soil and water conservation district or districts, a technical professional with
69.20expertise in water resources management appointed by the local government unit, and
69.21a technical professional employee of the Department of Natural Resources for projects
69.22affecting public waters or wetlands adjacent to public waters. The panel shall use the
69.23"United States Army Corps of Engineers Wetland Delineation Manual" (January 1987),
69.24including updates, supplementary guidance, and replacements, if any, "Wetlands of
69.25the United States" (United States Fish and Wildlife Service Circular 39, 1971 edition),
69.26and "Classification of Wetlands and Deepwater Habitats of the United States" (1979
69.27edition). The panel shall provide the wetland determination and recommendations on
69.28other technical matters to the local government unit that must approve a replacement
69.29plan, wetland banking plan, exemption determination, no-loss determination, or wetland
69.30boundary or type determination and may recommend approval or denial of the plan. The
69.31authority must consider and include the decision of the Technical Evaluation Panel in their
69.32approval or denial of a plan or determination.
69.33 (b) Persons conducting wetland or public waters boundary delineations or type
69.34determinations are exempt from the requirements of chapter 326.By January 15, 2001,
69.35the board, in consultation with the Minnesota Association of Professional Soil Scientists,
70.1the University of Minnesota, and the Wetland Delineators' Association, shall submit a plan
70.2for a professional wetland delineator certification program to the legislature. The board
70.3may develop a professional wetland delineator certification program.
70.4EFFECTIVE DATE.This section is effective the day following final enactment.
70.5 Sec. 61. Minnesota Statutes 2006, section 103G.2242, subdivision 2a, is amended to
70.6read:
70.7 Subd. 2a. Wetland boundary or type determination. (a) A landowner may apply
70.8for a wetland boundary or type determination from the local government unit. The
70.9landowner applying for the determination is responsible for submitting proof necessary
70.10to make the determination, including, but not limited to, wetland delineation field data,
70.11observation well data, topographic mapping, survey mapping, and information regarding
70.12soils, vegetation, hydrology, and groundwater both within and outside of the proposed
70.13wetland boundary.
70.14 (b) A local government unit that receives an application under paragraph (a) may
70.15seek the advice of the Technical Evaluation Panel as described in subdivision 2, and, if
70.16necessary, expand the Technical Evaluation Panel. The local government unit may delegate
70.17the decision authority for wetland boundary or type determinationswith the zoning
70.18administrator to designated staff, or establish other procedures it considers appropriate.
70.19 (c) The local government unit decision must be made in compliance with section
70.2015.99
. Within ten calendar days of the decision, the local government unit decision must
70.21be mailed to the landowner, members of the Technical Evaluation Panel, the watershed
70.22district or watershed management organization, if one exists, and individual members of
70.23the public who request a copy.
70.24 (d) Appeals of decisions made by designated local government staff must be made
70.25to the local government unit. Notwithstanding any law to the contrary, a ruling on an
70.26appeal must be made by the local government unit within 30 days from the date of the
70.27filing of the appeal.
70.28 (e) The local government unit decision is valid for three years unless the Technical
70.29Evaluation Panel determines that natural or artificial changes to the hydrology, vegetation,
70.30or soils of the area have been sufficient to alter the wetland boundary or type.
70.31EFFECTIVE DATE.This section is effective the day following final enactment.
70.32 Sec. 62. Minnesota Statutes 2006, section 103G.2242, subdivision 9, is amended to
70.33read:
71.1 Subd. 9. Appeal. (a) Appeal of a replacement plan, exemption, wetland banking,
71.2wetland boundary or type determination,or no-loss decision, or restoration order may
71.3be obtained by mailing a petition and payment of a filing feeof $200, which shall be
71.4retained by the board to defray administrative costs, to the board within 30 days after the
71.5postmarked date of the mailing specified in subdivision 7. If appeal is not sought within
71.630 days, the decision becomes final.The local government unit may require the petitioner
71.7to post a letter of credit, cashier's check, or cash in an amount not to exceed $500. If the
71.8petition for hearing is accepted, the amount posted must be returned to the petitioner.
71.9Appeal may be made by:
71.10 (1) the wetland owner;
71.11 (2) any of those to whom notice is required to be mailed under subdivision 7; or
71.12 (3) 100 residents of the county in which a majority of the wetland is located.
71.13 (b) Within 30 days after receiving a petition, the board shall decide whether to
71.14grant the petition and hear the appeal. The board shall grant the petition unless the board
71.15finds that:
71.16 (1) the appeal is meritless, trivial, or brought solely for the purposes of delay;
71.17 (2) the petitioner has not exhausted all local administrative remedies;
71.18 (3) expanded technical review is needed;
71.19 (4) the local government unit's record is not adequate; or
71.20 (5) the petitioner has not posted a letter of credit, cashier's check, or cash if required
71.21by the local government unit.
71.22 (c) In determining whether to grant the appeal, the board shall also consider the
71.23size of the wetland, other factors in controversy, any patterns of similar acts by the local
71.24government unit or petitioner, and the consequences of the delay resulting from the appeal.
71.25 (d) All appeals must be heard by the committee for dispute resolution of the board,
71.26and a decision made within 60 days of filing the local government unit's record and the
71.27written briefs submitted for the appeal. The decision must be served by mail on the parties
71.28to the appeal, and is not subject to the provisions of chapter 14. A decision whether to
71.29grant a petition for appeal and a decision on the merits of an appeal must be considered the
71.30decision of an agency in a contested case for purposes of judicial review under sections
71.3114.63
to
14.69 .
71.32 (e) Notwithstanding section 16A.1283, the board shall establish a fee schedule to
71.33defray the administrative costs of appeals made to the board under this subdivision. Fees
71.34established under this authority shall not exceed $1,000. Establishment of the fee is not
71.35subject to the rulemaking process of chapter 14 and section 14.386 does not apply.
71.36EFFECTIVE DATE.This section is effective the day following final enactment.
72.1 Sec. 63. Minnesota Statutes 2006, section 103G.2242, subdivision 12, is amended to
72.2read:
72.3 Subd. 12. Replacement credits. (a) No public or private wetland restoration,
72.4enhancement, or construction may be allowed for replacement unless specifically
72.5designated for replacement and paid for by the individual or organization performing the
72.6wetland restoration, enhancement, or construction, and is completed prior to any draining
72.7or filling of the wetland.
72.8 (b) Paragraph (a) does not apply to a wetland whose owner has paid back with
72.9interest the individual or organization restoring, enhancing, or constructing the wetland.
72.10 (c) Notwithstanding section103G.222, subdivision 1 , paragraph (h) (i), the
72.11following actions, and others established in rule, that are consistent with criteria in rules
72.12adopted by the board in conjunction with the commissioners of natural resources and
72.13agriculture, are eligible for replacement credit as determined by the local government unit,
72.14including enrollment in a statewide wetlands bank:
72.15 (1) reestablishment of permanent native, noninvasive vegetative cover on a wetland
72.16on agricultural land that was planted with annually seeded crops, was in a crop rotation
72.17seeding of pasture grasses or legumes, or was in a land retirement program during the
72.18past ten years;
72.19 (2) buffer areas of permanent native, noninvasive vegetative cover established or
72.20preserved on upland adjacent to replacement wetlands;
72.21 (3) wetlands restored for conservation purposes under terminated easements or
72.22contracts; and
72.23 (4) water quality treatment ponds constructed to pretreat storm water runoff prior
72.24to discharge to wetlands, public waters, or other water bodies, provided that the water
72.25quality treatment ponds must be associated with an ongoing or proposed project that
72.26will impact a wetland and replacement credit for the treatment ponds is based on the
72.27replacement of wetland functions and on an approved stormwater management plan for
72.28the local government.
72.29 (d) Notwithstanding section103G.222, subdivision 1 , paragraphs (e) (f) and (f) (g),
72.30the board may establish by rule different replacement ratios for restoration projects with
72.31exceptional natural resource value.
72.32EFFECTIVE DATE.This section is effective the day following final enactment.
72.33 Sec. 64. Minnesota Statutes 2006, section 103G.2242, subdivision 15, is amended to
72.34read:
73.1 Subd. 15. Fees paid to board. All fees established insubdivision subdivisions 9
73.2and 14 must be paid to the Board of Water and Soil Resourcesand credited to the general
73.3fund to be used for the purpose of administration of the wetland bank and to process
73.4appeals under section 103G.2242, subdivision 9.
73.5EFFECTIVE DATE.This section is effective the day following final enactment.
73.6 Sec. 65. Minnesota Statutes 2006, section 103G.2243, subdivision 2, is amended to
73.7read:
73.8 Subd. 2. Plan contents. A comprehensive wetland protection and management
73.9plan may:
73.10 (1) provide for classification of wetlands in the plan area based on:
73.11 (i) an inventory of wetlands in the plan area;
73.12 (ii) an assessment of the wetland functions listed in section103B.3355 , using a
73.13methodology chosen by the Technical Evaluation Panel from one of the methodologies
73.14established or approved by the board under that section; and
73.15 (iii) the resulting public values;
73.16 (2) vary application of the sequencing standards in section103G.222, subdivision 1 ,
73.17paragraph (b), for projects based on the classification and criteria set forth in the plan;
73.18 (3) vary the replacement standards of section103G.222, subdivision 1 , paragraphs
73.19(e) (f) and (f) (g), based on the classification and criteria set forth in the plan, for specific
73.20wetland impacts provided there is no net loss of public values within the area subject to
73.21the plan, and so long as:
73.22 (i) in a 50 to 80 percent area, a minimum acreage requirement of one acre of replaced
73.23wetland for each acre of drained or filled wetland requiring replacement is met within
73.24the area subject to the plan; and
73.25 (ii) in a less than 50 percent area, a minimum acreage requirement of two acres of
73.26replaced wetland for each acre of drained or filled wetland requiring replacement is met
73.27within the area subject to the plan, except that replacement for the amount above a 1:1
73.28ratio can be accomplished as described in section103G.2242, subdivision 12 ; and
73.29 (4) in a greater than 80 percent area, allow replacement credit, based on the
73.30classification and criteria set forth in the plan, for any project that increases the public
73.31value of wetlands, including activities on adjacent upland acres; and.
73.32(5) in a greater than 80 percent area, based on the classification and criteria set forth
73.33in the plan, expand the application of the exemptions in section
103G.2241, subdivision
73.341
, paragraph (a), clause (4), to also include nonagricultural land, provided there is no
73.35net loss of wetland values.
74.1EFFECTIVE DATE.This section is effective the day following final enactment.
74.2 Sec. 66. Minnesota Statutes 2006, section 103G.235, is amended to read:
74.3103G.235 RESTRICTIONS ON ACCESS TOPUBLIC WATERS WETLANDS.
74.4 Subdivision 1. Wetlands adjacent to roads. To protect the public health or safety,
74.5local units of government may by ordinance restrict public access to public waters
74.6wetlands from municipality, county, or township roads that abut public waters wetlands.
74.7 Subd. 2. Privately restored or created wetlands. When a landowner creates a new
74.8wetland or restores a formerly existing wetland on private land that is adjacent to public
74.9land or a public road right-of-way, there is no public access to the created or restored
74.10wetland if posted by the landowner.
74.11 Sec. 67. Minnesota Statutes 2006, section 103G.301, subdivision 2, is amended to read:
74.12 Subd. 2. Permit application fees. (a) A permit application fee to defray the costs of
74.13receiving, recording, and processing the application must be paid for a permit authorized
74.14under this chapter and for each request to amend or transfer an existing permit.
74.15 (b) The fee to apply for a permit to appropriate water by a nonpublic applicant or a
74.16nonagricultural irrigation applicant must be assessed to recover the reasonable costs of
74.17preparing and issuing the permit. Fees collected under this paragraph must be credited
74.18to an account in the natural resources fund and are appropriated for fiscal years 2008
74.19and 2009 to the commissioner.
74.20(b) (c) The fee to apply for a permit to appropriate water, other than a permit subject
74.21to the fee under paragraph (b); a permit to construct or repair a dam that is subject to dam
74.22safety inspection,; or a state general permit or to apply for the state water bank program is
74.23$150. The application fee for a permit to work in public waters or to divert waters for
74.24mining must be at least $150, but not more than $1,000, according to a schedule of fees
74.25adopted under section16A.1285 .
74.26 Sec. 68. Minnesota Statutes 2006, section 115.55, subdivision 1, is amended to read:
74.27 Subdivision 1. Definitions. (a) The definitions in this subdivision apply to sections
74.28115.55
to
115.56 .
74.29 (b) "Advisory committee" means the Advisory Committee on Individual Sewage
74.30Treatment Systems established under the individual sewage treatment system rules. The
74.31advisory committee must be appointed to ensure geographic representation of the state
74.32and include elected public officials.
74.33 (c) "Applicable requirements" means:
75.1 (1) local ordinances that comply with the individual sewage treatment system rules,
75.2as required in subdivision 2; or
75.3 (2) in areas not subject to the ordinances described in clause (1), the individual
75.4sewage treatment system rules.
75.5 (d) "City" means a statutory or home rule charter city.
75.6 (e) "Commissioner" means the commissioner of the Pollution Control Agency.
75.7 (f) "Dwelling" means a building or place used or intended to be used by human
75.8occupants as a single-family or two-family unit.
75.9 (g) "Individual sewage treatment system" or "system" means a sewage treatment
75.10system, or part thereof,serving a dwelling, other establishment, or group thereof, that
75.11uses subsurface soil treatment and disposal, or a holding tank, serving a dwelling, other
75.12establishment, or a group thereof.
75.13 (h) "Individual sewage treatment system professional" means an inspector, installer,
75.14site evaluator or designer, or pumper.
75.15 (i) "Individual sewage treatment system rules" means rules adopted by the agency
75.16that establish minimum standards and criteria for the design, location, installation, use,
75.17and maintenance of individual sewage treatment systems.
75.18 (j) "Inspector" means a person who inspects individual sewage treatment systems for
75.19compliance with the applicable requirements.
75.20 (k) "Installer" means a person who constructs or repairs individual sewage treatment
75.21systems.
75.22 (l) "Local unit of government" means a township, city, or county.
75.23 (m) "Performance-based system" means a system that is designed specifically for a
75.24site and the environmental conditions on that site and designed to adequately protect the
75.25public health and the environment and provide long-term performance. At a minimum, a
75.26performance based system must ensure that applicable water quality standards are met in
75.27both ground and surface water that ultimately receive the treated wastewater.
75.28 (n) "Pumper" means a person who maintains components of individual sewage
75.29treatment systems including, but not limited to, septic, aerobic, and holding tanks.
75.30(n) (o) "Seasonal dwelling" means a dwelling that is occupied or used for less than
75.31180 days per year and less than 120 consecutive days.
75.32(o) (p) "Septic system tank" means any covered receptacle designed, constructed,
75.33and installed as part of an individual sewage treatment system.
75.34(p) (q) "Site evaluator or designer" means a person who:
75.35 (1) investigates soils and site characteristics to determine suitability, limitations, and
75.36sizing requirements; and
76.1 (2) designs individual sewage treatment systems.
76.2(q) (r) "Straight-pipe system" means a sewage disposal system that includes toilet
76.3waste and transports raw or partially settled sewage directly to a lake, a stream, a drainage
76.4system, or ground surface.
76.5 Sec. 69. Minnesota Statutes 2006, section 115.55, subdivision 2, is amended to read:
76.6 Subd. 2. Local ordinances. (a) All countiesthat did not adopt ordinances by
76.7May 7, 1994, or that do not have ordinances, must adopt ordinances that comply with
76.8revisions to the individual sewage treatment system rulesby January 1, 1999, unless all
76.9towns and cities in the county have adopted such ordinances within two years of the final
76.10adoption by the agency. County ordinances must apply to all areas of the county other
76.11than cities or towns that have adopted ordinances that comply with this section and are
76.12as strict as the applicable county ordinances.Any ordinance adopted by a local unit of
76.13government before May 7, 1994, to regulate individual sewage treatment systems must be
76.14in compliance with the individual sewage treatment system rules by January 1, 1998.
76.15 (b) A copy of each ordinance adopted under this subdivision must be submitted to
76.16the commissioner upon adoption.
76.17 (c) A local unit of government must make available to the public upon request a
76.18written list of any differences between its ordinances and rules adopted under this section.
76.19 Sec. 70. Minnesota Statutes 2006, section 115.55, subdivision 3, is amended to read:
76.20 Subd. 3. Rules. (a) The agency shall adopt rules containing minimum standards and
76.21criteria for the design, location, installation, use, and maintenance of individual sewage
76.22treatment systems. The rules must include:
76.23 (1) how the agency will ensure compliance under subdivision 2;
76.24 (2) how local units of government shall enforce ordinances under subdivision 2,
76.25including requirements for permits and inspection programs;
76.26 (3) how the advisory committee will participate in review and implementation of
76.27the rules;
76.28 (4) provisions foralternative nonstandard systems and performance-based systems;
76.29 (5) provisions for handling and disposal of effluent;
76.30 (6) provisions for system abandonment; and
76.31 (7) procedures for variances, including the consideration of variances based on cost
76.32and variances that take into account proximity of a system to other systems.
76.33 (b) The agency shall consult with the advisory committee before adopting rules
76.34under this subdivision.
77.1 (c) Notwithstanding the repeal of the agency rule under which the commissioner
77.2has established a list of warrantied individual sewage treatment systems, the warranties
77.3for all systems so listed as of the effective date of the repeal shall continue to be valid
77.4for the remainder of the warranty period.
77.5 (d) The rules required in paragraph (a) must also address the following:
77.6 (1) a definition of redoximorphic features and other criteria that can be used by
77.7system designers and inspectors;
77.8 (2) direction on the interpretation of observed soil features that may be
77.9redoximorphic and their relation to zones of seasonal saturation; and
77.10 (3) procedures on how to resolve professional disagreements on seasonally saturated
77.11soils.
77.12These rules must be in place by March 31, 2006.
77.13 Sec. 71. Minnesota Statutes 2006, section 115.55, is amended by adding a subdivision
77.14to read:
77.15 Subd. 12. Advisory committee; county individual sewage treatment system
77.16management plan. (a) A county may adopt an individual sewage treatment system
77.17management plan that describes how the county plans on carrying out individual sewage
77.18treatment system needs. The commissioner of the Pollution Control Agency shall form an
77.19advisory committee to determine what the plans should address. The advisory committee
77.20shall be made up of representatives of the Association of Minnesota Counties, Pollution
77.21Control Agency, Board of Water and Soil Resources, Department of Health, and other
77.22public agencies or local units of government that have an interest in individual sewage
77.23treatment systems.
77.24 (b) The advisory committee shall advise the agency on the standards, management,
77.25monitoring, and reporting requirements for performance-based systems.
77.26 Sec. 72. Minnesota Statutes 2006, section 116C.92, is amended to read:
77.27116C.92 COORDINATION OF ACTIVITIES.
77.28 Subdivision 1. State coordinating organization. The Environmental Quality Board
77.29is designated the state coordinating organization for state and federal regulatory activities
77.30relating to genetically engineered organisms.
77.31 Subd. 2. Notice of nationwide action. The board shall notify interested parties if a
77.32permit to release genetically engineered wild rice is issued anywhere in the United States.
77.33For purposes of this subdivision, "interested parties" means:
77.34 (1) the state's wild rice industry;
78.1 (2) the legislature;
78.2 (3) federally recognized tribes within Minnesota; and
78.3 (4) individuals who request to be notified.
78.4 Sec. 73. Minnesota Statutes 2006, section 116C.94, subdivision 1, is amended to read:
78.5 Subdivision 1. General authority. (a) Except as provided in paragraph (b), the
78.6board shall adopt rules consistent with sections116C.91 to
116C.96 that require an
78.7environmental assessment worksheet and otherwise comply with chapter 116D and rules
78.8adopted under it for a proposed release and a permit for a release. The board may place
78.9conditions on a permit and may deny, modify, suspend, or revoke a permit.
78.10 (b) The board shall adopt rules that require an environmental impact statement and
78.11otherwise comply with chapter 116D and rules adopted under it for a proposed release and
78.12a permit for a release of genetically engineered wild rice. The board may place conditions
78.13on the permit and may deny, modify, suspend, or revoke the permit.
78.14 Sec. 74. Minnesota Statutes 2006, section 116C.97, subdivision 2, is amended to read:
78.15 Subd. 2. Federal oversight. (a) If the board determines, upon its own volition or at
78.16the request of any person, that a federal program exists for regulating the release of certain
78.17genetically engineered organisms and the federal oversight under the program is adequate
78.18to protect human health or the environment, then any person may release such genetically
78.19engineered organisms after obtaining the necessary federal approval and without obtaining
78.20a state release permit or a significant environmental permit or complying with the other
78.21requirements of sections116C.91 to
116C.96 and the rules of the board adopted pursuant
78.22to section116C.94 .
78.23 (b) If the board determines the federal program is adequate to meet only certain
78.24requirements of sections116C.91 to
116C.96 and the rules of the board adopted pursuant
78.25to section116C.94 , the board may exempt such releases from those requirements.
78.26 (c) A person proposing a release for which a federal authorization is required may
78.27apply to the board for an exemption from the board's permit or to a state agency with a
78.28significant environmental permit for the proposed release for an exemption from the
78.29agency's permit. The proposer must file with the board or state agency a written request
78.30for exemption with a copy of the federal application and the information necessary to
78.31determine if there is a potential for significant environmental effects under chapter 116D
78.32and rules adopted under it. The board or state agency shall give public notice of the request
78.33in the first available issue of the EQB Monitor and shall provide an opportunity for public
78.34comment on the environmental review process consistent with chapter 116D and rules
79.1adopted under it. The board or state agency may grant the exemption if the board or state
79.2agency finds that the federal authorization issued is adequate to meet the requirements of
79.3chapter 116D and rules adopted under it and any other requirement of the board's or state
79.4agency's authority regarding the release of genetically engineered organisms. The board
79.5or state agency must grant or deny the exemption within 45 days after the receipt of the
79.6written request and the information required by the board or state agency.
79.7 (d) This subdivision does not apply to genetically engineered organisms for which
79.8an environmental impact statement is required under sections 116C.91 to 116C.96.
79.9 Sec. 75. Minnesota Statutes 2006, section 282.04, subdivision 1, is amended to read:
79.10 Subdivision 1. Timber sales; land leases and uses. (a) The county auditor may
79.11sell timber upon any tract that may be approved by the natural resources commissioner.
79.12The sale of timber shall be made for cash at not less than the appraised value determined
79.13by the county board to the highest bidder after not less than one week's published notice
79.14in an official paper within the county. Any timber offered at the public sale and not sold
79.15may thereafter be sold at private sale by the county auditor at not less than the appraised
79.16value thereof, until the time as the county board may withdraw the timber from sale. The
79.17appraised value of the timber and the forestry practices to be followed in the cutting of
79.18said timber shall be approved by the commissioner of natural resources.
79.19 (b) Payment of the full sale price of all timber sold on tax-forfeited lands shall be
79.20made in cash at the time of the timber sale, except in the case of oral or sealed bid auction
79.21sales, the down payment shall be no less than 15 percent of the appraised value, and the
79.22balance shall be paid prior to entry. In the case of auction sales that are partitioned and
79.23sold as a single sale with predetermined cutting blocks, the down payment shall be no less
79.24than 15 percent of the appraised price of the entire timber sale which may be held until the
79.25satisfactory completion of the sale or applied in whole or in part to the final cutting block.
79.26The value of each separate block must be paid in full before any cutting may begin in that
79.27block. With the permission of the county contract administrator the purchaser may enter
79.28unpaid blocks and cut necessary timber incidental to developing logging roads as may
79.29be needed to log other blocks provided that no timber may be removed from an unpaid
79.30block until separately scaled and paid for. If payment is provided as specified in this
79.31paragraph as security under paragraph (a) and no cutting has taken place on the contract,
79.32the county auditor may credit the security provided, less any down payment required for
79.33an auction sale under this paragraph, to any other contract issued to the contract holder
79.34by the county under this chapter to which the contract holder requests in writing that it
80.1be credited, provided the request and transfer is made within the same calendar year as
80.2the security was received.
80.3 (c) The county board mayrequire final settlement on the basis of a scale of cut
80.4products sell any timber, including biomass, as appraised or scaled. Any parcels of land
80.5from which timber is to be sold by scale of cut products shall be so designated in the
80.6published notice of sale under paragraph (a), in which case the notice shall contain a
80.7description of the parcels, a statement of the estimated quantity of each species of timber,
80.8and the appraised price of each species of timber for 1,000 feet, per cord or per piece, as
80.9the case may be. In those cases any bids offered over and above the appraised prices shall
80.10be by percentage, the percent bid to be added to the appraised price of each of the different
80.11species of timber advertised on the land. The purchaser of timber from the parcels shall
80.12pay in cash at the time of sale at the rate bid for all of the timber shown in the notice of
80.13sale as estimated to be standing on the land, and in addition shall pay at the same rate for
80.14any additional amounts which the final scale shows to have been cut or was available for
80.15cutting on the land at the time of sale under the terms of the sale. Where the final scale
80.16of cut products shows that less timber was cut or was available for cutting under terms
80.17of the sale than was originally paid for, the excess payment shall be refunded from the
80.18forfeited tax sale fund upon the claim of the purchaser, to be audited and allowed by the
80.19county board as in case of other claims against the county. No timber, except hardwood
80.20pulpwood, may be removed from the parcels of land or other designated landings until
80.21scaled by a person or persons designated by the county board and approved by the
80.22commissioner of natural resources. Landings other than the parcel of land from which
80.23timber is cut may be designated for scaling by the county board by written agreement
80.24with the purchaser of the timber. The county board may, by written agreement with the
80.25purchaser and with a consumer designated by the purchaser when the timber is sold by the
80.26county auditor, and with the approval of the commissioner of natural resources, accept the
80.27consumer's scale of cut products delivered at the consumer's landing. No timber shall be
80.28removed until fully paid for in cash. Small amounts of timber not exceeding $3,000 in
80.29appraised valuation may be sold for not less than the full appraised value at private sale
80.30to individual persons without first publishing notice of sale or calling for bids, provided
80.31that in case of a sale involving a total appraised value of more than $200 the sale shall be
80.32made subject to final settlement on the basis of a scale of cut products in the manner above
80.33provided and not more than two of the sales, directly or indirectly to any individual shall
80.34be in effect at one time.
80.35 (d) As directed by the county board, the county auditor may lease tax-forfeited land
80.36to individuals, corporations or organized subdivisions of the state at public or private sale,
81.1and at the prices and under the terms as the county board may prescribe, for use as cottage
81.2and camp sites and for agricultural purposes and for the purpose of taking and removing of
81.3hay, stumpage, sand, gravel, clay, rock, marl, and black dirt from the land, and for garden
81.4sites and other temporary uses provided that no leases shall be for a period to exceed ten
81.5years; provided, further that any leases involving a consideration of more than $12,000 per
81.6year, except to an organized subdivision of the state shall first be offered at public sale in
81.7the manner provided herein for sale of timber. Upon the sale of any leased land, it shall
81.8remain subject to the lease for not to exceed one year from the beginning of the term of the
81.9lease. Any rent paid by the lessee for the portion of the term cut off by the cancellation
81.10shall be refunded from the forfeited tax sale fund upon the claim of the lessee, to be
81.11audited and allowed by the county board as in case of other claims against the county.
81.12 (e) As directed by the county board, the county auditor may lease tax-forfeited land
81.13to individuals, corporations, or organized subdivisions of the state at public or private sale,
81.14at the prices and under the terms as the county board may prescribe, for the purpose
81.15of taking and removing for use for road construction and other purposes tax-forfeited
81.16stockpiled iron-bearing material. The county auditor must determine that the material is
81.17needed and suitable for use in the construction or maintenance of a road, tailings basin,
81.18settling basin, dike, dam, bank fill, or other works on public or private property, and
81.19that the use would be in the best interests of the public. No lease shall exceed ten years.
81.20The use of a stockpile for these purposes must first be approved by the commissioner of
81.21natural resources. The request shall be deemed approved unless the requesting county
81.22is notified to the contrary by the commissioner of natural resources within six months
81.23after receipt of a request for approval for use of a stockpile. Once use of a stockpile has
81.24been approved, the county may continue to lease it for these purposes until approval is
81.25withdrawn by the commissioner of natural resources.
81.26 (f) The county auditor, with the approval of the county board is authorized to grant
81.27permits, licenses, and leases to tax-forfeited lands for the depositing of stripping, lean
81.28ores, tailings, or waste products from mines or ore milling plants, upon the conditions and
81.29for the consideration and for the period of time, not exceeding 15 years, as the county
81.30board may determine. The permits, licenses, or leases are subject to approval by the
81.31commissioner of natural resources.
81.32 (g) Any person who removes any timber from tax-forfeited land before said
81.33timber has been scaled and fully paid for as provided in this subdivision is guilty of a
81.34misdemeanor.
81.35 (h) The county auditor may, with the approval of the county board, and without first
81.36offering at public sale, grant leases, for a term not exceeding 25 years, for the removal
82.1of peat and for the production or removal of farm-grown closed-loop biomass as defined
82.2in section216B.2424, subdivision 1 , or short-rotation woody crops from tax-forfeited
82.3lands upon the terms and conditions as the county board may prescribe. Any lease for
82.4the removal of peat, farm-grown closed-loop biomass, or short-rotation woody crops
82.5from tax-forfeited lands must first be reviewed and approved by the commissioner of
82.6natural resources if the lease covers 320 or more acres. No lease for the removal of
82.7peat, farm-grown closed-loop biomass, or short-rotation woody crops shall be made by
82.8the county auditor pursuant to this section without first holding a public hearing on the
82.9auditor's intention to lease. One printed notice in a legal newspaper in the county at least
82.10ten days before the hearing, and posted notice in the courthouse at least 20 days before
82.11the hearing shall be given of the hearing.
82.12 (i) Notwithstanding any provision of paragraph (c) to the contrary, the St. Louis
82.13County auditor may, at the discretion of the county board, sell timber to the party who
82.14bids the highest price for all the several kinds of timber, as provided for sales by the
82.15commissioner of natural resources under section90.14 . Bids offered over and above the
82.16appraised price need not be applied proportionately to the appraised price of each of
82.17the different species of timber.
82.18 (j) In lieu of any payment or deposit required in paragraph (b), as directed by the
82.19county board and under terms set by the county board, the county auditor may accept an
82.20irrevocable bank letter of credit in the amount equal to the amount otherwise determined
82.21in paragraph (b). If an irrevocable bank letter of credit is provided under this paragraph,
82.22at the written request of the purchaser, the county may periodically allow the bank letter
82.23of credit to be reduced by an amount proportionate to the value of timber that has been
82.24harvested and for which the county has received payment. The remaining amount of
82.25the bank letter of credit after a reduction under this paragraph must not be less than 20
82.26percent of the value of the timber purchased. If an irrevocable bank letter of credit or
82.27cash deposit is provided for the down payment required in paragraph (b), and no cutting
82.28of timber has taken place on the contract for which a letter of credit has been provided,
82.29the county may allow the transfer of the letter of credit to any other contract issued to the
82.30contract holder by the county under this chapter to which the contract holder requests in
82.31writing that it be credited.
82.32 Sec. 76. Laws 1998, chapter 389, article 16, section 31, subdivision 4, as amended
82.33by Laws 1999, chapter 180, section 3, and Laws 2001, chapter 164, section 5, and Laws
82.342005, First Special Session chapter 1, article 2, section 149, is amended to read:
83.1 Subd. 4. County environmental trust fund. Notwithstanding the provisions of
83.2Minnesota Statutes, chapter 282, and any other law relating to the apportionment of
83.3proceeds from the sale of tax-forfeited land, and except as otherwise provided in this
83.4section, a county board must deposit the money received from the sale of land under
83.5subdivision 3 into an environmental trust fund established by the county under this
83.6subdivision. The county board may: (1) deposit part or all of the environmental trust fund
83.7money as provided in Minnesota Statutes, chapter 118A; or (2) enter into an agreement
83.8with the State Board of Investment to invest all or part of the money in investments
83.9under Minnesota Statutes, section11A.24 , subdivisions 1 to 5, on behalf of the county.
83.10The following may be withheld by a county board and are not required to be deposited
83.11into an environmental trust fund: the costs of appraisal, abstracts, and surveys; money
83.12received from a sale which is attributable to land owned by a county in fee; amounts paid
83.13to lessees for improvements; amounts paid to acquire land which is included in a county
83.14plan for exchange and is conveyed to the state in the exchange, including the purchase
83.15price, appraisal, abstract, survey, and closing costs; and the costs of sale to lessees or other
83.16parties, including the costs of advertising, realtors, and closing services. If the proceeds
83.17from the sale of tax-forfeited land in a county are $250,000 or more, the amount the
83.18county may spend from the fund each calendar year may not exceed 5-1/2 percent of the
83.19market value of the fund on January 1 of the preceding calendar year, and the county board
83.20may spend money from the fund only for purposes related to the improvement of natural
83.21resources. To the extent money received from the sale is attributable to tax-forfeited
83.22land from another county, the money must be deposited in an environmental trust fund
83.23established under this section by that county board. The county board must not delegate
83.24to an appointed official or any other person any decision required or permitted to be
83.25made under this subdivision.
83.26 Sec. 77. Laws 2003, chapter 128, article 1, section 169, is amended to read:
83.27 Sec. 169. CONTINUOUS TRAIL DESIGNATION.
83.28 (a) The commissioner of natural resources shall locate, plan, design, map, construct,
83.29designate, and sign a new trail for use by all-terrain vehicles and off-highway motorcycles
83.30of not less than 70 continuous miles in length on any land owned by the state or in
83.31cooperation with any county on land owned by that county or on a combination of any of
83.32these lands. This new trail shall be ready for use byApril 1, 2007 June 30, 2009.
83.33 (b) All funding for this new trail shall come from the all-terrain vehicle dedicated
83.34account and is appropriated each year as needed.
84.1 (c) This new trail shall have at least two areas of access complete with appropriate
84.2parking for vehicles and trailers and enough room for loading and unloading all-terrain
84.3vehicles. Some existing trails, that are strictly all-terrain vehicle trails, and are not
84.4inventoried forest roads, may be incorporated into the design of this new all-terrain vehicle
84.5trail. This new trail may be of a continuous loop design and shall provide for spurs to other
84.6all-terrain vehicle trails as long as those spurs do not count toward the 70 continuous miles
84.7of this new all-terrain vehicle trail. Four rest areas shall be provided along the way.
84.8 Sec. 78. Laws 2006, chapter 236, article 1, section 21, is amended to read:
84.9 Sec. 21. EXCHANGE OF TAX-FORFEITED LAND; PRIVATE SALE;
84.10ITASCA COUNTY.
84.11 (a) For the purpose of a land exchange for use in connection with a proposed
84.12steel mill in Itasca County referenced in Laws 1999, chapter 240, article 1, section 8,
84.13subdivision 3, title examination and approval of the land described in paragraph (b)
84.14shall be undertaken as a condition of exchange of the land for class B land, and shall be
84.15governed by Minnesota Statutes, section94.344, subdivisions 9 and 10, and the provisions
84.16of this section. Notwithstanding the evidence of title requirements in Minnesota Statutes,
84.17section94.344, subdivisions 9 and 10, the county attorney shall examine one or more title
84.18reports or title insurance commitments prepared or underwritten by a title insurer licensed
84.19to conduct title insurance business in this state, regardless of whether abstracts were
84.20created or updated in the preparation of the title reports or commitments. The opinion of
84.21the county attorney, and approval by the attorney general, shall be based on those title
84.22reports or commitments.
84.23 (b) The land subject to this section is located in Itasca County and is described as:
84.24 (1) Sections 3, 4, 7, 10, 14, 15, 16, 17, 18, 20, 21, 22, 23, 26, 28, and 29, Township
84.2556 North, Range 22 West;
84.26 (2) Sections 3, 4, 9, 10, 13, and 14, Township 56 North, Range 23 West;
84.27 (3) Section 30, Township 57 North, Range 22 West; and
84.28 (4) Sections 25, 26, 34, 35, and 36, Township 57 North, Range 23 West.
84.29 (c) Riparian land given in exchange by Itasca County for the purpose of the steel
84.30mill referenced in paragraph (a), is exempt from the restrictions imposed by Minnesota
84.31Statutes, section94.342, subdivision 3 .
84.32 (d) Notwithstanding Minnesota Statutes, sections92.45 and
282.018, subdivision 1 ,
84.33and the public sale provisions of Minnesota Statutes, chapter 282, Itasca County may sell,
84.34by private sale, any land received in exchange for the purpose of the steel mill referenced
85.1in paragraph (a), under the remaining provisions of Minnesota Statutes, chapter 282. The
85.2sale must be in a form approved by the attorney general.
85.3 (e) Notwithstanding Minnesota Statutes, section 284.28, subdivision 8, or any other
85.4law to the contrary, land acquired through an exchange under this section is exempt from
85.5payment of three percent of the sales price required to be collected by the county auditor
85.6at the time of sale for deposit in the state treasury.
85.7 Sec. 79. VOLUNTARY TERMINATION OF TIMBER SALE PERMITS.
85.8 (a) Notwithstanding Minnesota Statutes, sections 90.161, 90.173, and 90.211, or
85.9other law to the contrary, the commissioner of natural resources shall, in the case of
85.10nontrust land, terminate the permit for an eligible sale of timber without penalty according
85.11to this section and upon request of the permit holder. In the case of a permit relating
85.12to trust land, the commissioner shall terminate the permit for an eligible sale of timber
85.13according to this section only if termination of the permit would secure the maximum
85.14long-term economic return from the land consistent with the fiduciary responsibilities
85.15imposed by law in regard to the trust lands.
85.16 (b) An "eligible sale" means a sale for timber:
85.17 (1) the permit for which was issued on or after October 1, 2004, but before March
85.1831, 2006;
85.19 (2) that contains aspen as the predominant timber species;
85.20 (3) for which the aspen was sold for $40 per cord or more; and
85.21 (4) for which no harvest activities or activities incidental to harvest have occurred.
85.22 (c) The maximum amount available for voluntary turn back under this section is
85.237,500 cords of all species for each permittee.
85.24 (d) In the case of a 100 percent secured sale, the permittee may choose to be released
85.25from the security of any permit consistent with paragraph (b), except that the permittee
85.26must pay 15 percent of the appraised value of the permit, plus eight percent interest from
85.27date of purchase to date of conversion under this paragraph, in cash, to the commissioner.
85.28 (e) In the case of any sale, including a sale under paragraph (d), for which the
85.29commissioner has received a 15 percent down payment and that meets the criteria in
85.30paragraph (b), the permit holder may request a credit equal to two-thirds of the down
85.31payment. Amounts credited to permittees under this paragraph must first be applied to
85.32any existing sales that remain in the permittee's account and may then be used toward
85.33future timber purchases. Credits under this paragraph expire two years after the effective
85.34date of the permit termination.
86.1 (f) All permit terminations under this section must be completed by December 31,
86.22007. The commissioner of natural resources must proceed expeditiously to reoffer for
86.3sale any timber subject of a turn back under this section.
86.4EFFECTIVE DATE.This section is effective the day following final enactment.
86.5 Sec. 80. ENDOCRINE DISRUPTOR REPORT.
86.6 The commissioner of the Pollution Control Agency shall prepare a report on
86.7strategies to prevent the entry of endocrine disruptors into waters of the state. The report
86.8must include an estimate for each strategy of the proportion of endocrine disruptors that
86.9are prevented from entering the waters of the state. The commissioner shall submit the
86.10report to the house and senate committees having jurisdiction over environment and
86.11natural resources policy and finance by January 15, 2008.
86.12 Sec. 81. EASEMENT REPORT REQUIRED.
86.13 By January 1, 2008, the commissioner of natural resources must report to the
86.14house and senate committees with jurisdiction over environment and natural resources
86.15finance with proposed minimum legal and conservation standards that could be applied
86.16to conservation easements acquired with public money.
86.17 Sec. 82. TAX-FORFEITED LANDS LEASE; ITASCA COUNTY.
86.18 Notwithstanding Minnesota Statutes, section 282.04, or other law to the contrary,
86.19the Itasca County auditor may lease tax-forfeited land to Minnesota Steel for a period of
86.2020 years, for use as a tailings basin and buffer area. A lease entered under this section
86.21is renewable.
86.22 Sec. 83. WILD RICE STUDY.
86.23 By February 15, 2008, the commissioner of natural resources must prepare a study
86.24for natural wild rice that includes:
86.25 (1) the current location and estimated acreage and area of natural stands;
86.26 (2) identified threats to natural stands, including, but not limited to, development
86.27pressure, water levels, pollution, invasive species, and genetic strains; and
86.28 (3) recommendations to the house and senate committees with jurisdiction over
86.29natural resources on protecting and increasing natural wild rice stands in the state.
86.30 In developing the study, the commissioner must contact and ask for comments
86.31from the state's wild rice industry, the commissioner of agriculture, local officials with
87.1significant areas of wild rice within their jurisdictions, tribal leaders within affected
87.2federally recognized tribes, and interested citizens.
87.3EFFECTIVE DATE.This section is effective the day following final enactment.
87.4 Sec. 84. CONSTRUCTION.
87.5 Nothing in sections 72, 73, 74, and 83 affects, alters, or modifies the authorities,
87.6responsibilities, obligations, or powers of the state or any political subdivision thereof or
87.7any federally recognized tribe.
87.8 Sec. 85. SEPTIC BEST PRACTICES ASSISTANCE.
87.9 The commissioner of the Pollution Control Agency shall establish a database of
87.10best practices regarding the installation, management, and maintenance of individual
87.11sewage treatment systems. The database must be made available to any interested public
87.12or private party.
87.13 Sec. 86. RULEMAKING.
87.14 Within 90 days of the effective date of this section, the Board of Water and Soil
87.15Resources shall adopt rules that amend Minnesota Rules, chapter 8420, to incorporate
87.16statute changes and to address the related wetland exemption provisions in Minnesota
87.17Rules, parts 8420.0115 to 8420.0210, and the wetland replacement and banking provisions
87.18in Minnesota Rules, parts 8420.0500 to 8420.0760. These rules are exempt from the
87.19rulemaking provisions of Minnesota Statutes, chapter 14, except that Minnesota Statutes,
87.20section 14.386, applies and the proposed rules must be submitted to the senate and house
87.21committees having jurisdiction over environment and natural resources at least 30 days
87.22prior to being published in the State Register. The amended rules are effective for two
87.23years from the date of publication in the State Register unless they are superseded by
87.24permanent rules.
87.25EFFECTIVE DATE.This section is effective the day following final enactment.
87.26 Sec. 87. VERMILLION HIGHLANDS WILDLIFE MANAGEMENT AREA.
87.27 (a) The following area is established and designated as the Vermillion Highlands
87.28Wildlife Management Area, subject to the special permitted uses authorized in this section:
87.29 The approximately 2,840 acres owned by the University of Minnesota lying within
87.30the area legally described as approximately the southerly 3/4 of the Southwest 1/4 of
87.31Section 1, the Southeast 1/4 of Section 2, the East 1/2 of Section 10, Section 11, the
88.1West 1/2 of Section 12, Section 13, and Section 14, all in Township 114 North, Range
88.219 West, Dakota County.
88.3 (b) Notwithstanding Minnesota Statutes, section 86A.05, subdivision 8, paragraph
88.4(c), permitted uses in the Vermillion Highlands Wildlife Management Area include:
88.5 (1) education, outreach, and agriculture with the intent to eventually phase out
88.6agriculture leases and plant and restore native prairie;
88.7 (2) research by the University of Minnesota or other permitted researchers;
88.8 (3) hiking, hunting, fishing, trapping, and other compatible wildlife-related
88.9recreation of a natural outdoors experience, without constructing new hard surface trails
88.10or roads, and supporting management and improvements;
88.11 (4) designated trails for hiking, horseback riding, biking, and cross-country skiing
88.12and necessary trailhead support with minimal impact on the permitted uses in clause (3);
88.13 (5) shooting sports facilities for sporting clays, skeet, trapshooting, and rifle and
88.14pistol shooting, including sanctioned events and training for responsible handling and
88.15use of firearms;
88.16 (6) grant-in-aid snowmobile trails; and
88.17 (7) leases for small-scale farms to market vegetable farming.
88.18 (c) With the concurrence of representatives of the University of Minnesota and
88.19Dakota County, the commissioner of natural resources may, by posting or rule, restrict the
88.20permitted uses as follows:
88.21 (1) temporarily close areas or trails, by posting at the access points, to facilitate
88.22hunting. When temporarily closing trails under this clause, the commissioner shall avoid
88.23closing all trail loops simultaneously whenever practical; or
88.24 (2) limit other permitted uses to accommodate hunting and trapping after providing
88.25advance public notice. Research conducted by the university may not be limited unless
88.26mutually agreed by the commissioner and the University of Minnesota.
88.27 (d) Road maintenance within the wildlife management area shall be minimized, with
88.28the intent to abandon interior roads when no longer needed for traditional agriculture
88.29purposes.
88.30 (e) Money collected on leases from lands within the wildlife management area
88.31must be kept in a separate account and spent within the wildlife management area under
88.32direction of the representatives listed in paragraph (c). $200,000 of this money may be
88.33transferred to the commissioner of natural resources for a master planning process and
88.34resource inventory of the land identified in Minnesota Statutes, section 137.50, subdivision
88.356, in order to provide needed prairie and wetland restoration. The commissioner must work
89.1with affected officials from the University of Minnesota and Dakota County to complete
89.2these requirements and inform landowners and lessees about the planning process.
89.3 (f) Notwithstanding Minnesota Statutes, sections 97A.061 and 477A.11, the state
89.4of Minnesota shall not provide payments in lieu of taxes for the lands described in
89.5paragraph (a).
89.6 Sec. 88. STRAND'S STATE ISLAND.
89.7 Notwithstanding Minnesota Statutes, section 83A.02, the commissioner of natural
89.8resources shall change the name of Big Island in Pelican Lake in St. Louis County
89.9to Strand's State Island.
89.10 Sec. 89. REPEALER.
89.11(a) Minnesota Statutes 2006, section 89A.11, is repealed.
89.12(b) Minnesota Statutes 2006, section 103G.2241, subdivision 8, is repealed.
89.13EFFECTIVE DATE.Paragraph (a) of this section is effective July 1, 2007.
89.14Paragraph (b) of this section is effective the day following final enactment.
89.18 The amounts shown in this section summarize direct appropriations by fund made
89.19in this article.
89.26The base budget for the Science Museum
89.27of Minnesota is $1,000,000 each year in the
89.282010-2011 biennium.
90.3$137,000 the first year and $138,000 the
90.4second year are from the natural resources
90.5fund from the revenue deposited under
90.6Minnesota Statutes, section 297A.94,
90.7paragraph (e), clause (5). This is a onetime
90.8appropriation.
90.9The general fund base budget for the
90.10Zoological Board is $6,940,000 each year in
90.11the 2010-2011 biennium.
90.15 The amounts shown in this section summarize direct appropriations, by fund, made
90.16in this article.
90.24 The sums shown in the columns marked "Appropriations" are appropriated to the
90.25agencies and for the purposes specified in this article. The appropriations are from the
90.26general fund, or another named fund, and are available for the fiscal years indicated
90.27for each purpose. The figures "2008" and "2009" used in this article mean that the
90.28appropriations listed under them are available for the fiscal year ending June 30, 2008, or
90.29June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
90.30year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
90.31year ending June 30, 2007, are effective the day following final enactment.
91.10The amounts that may be spent for each
91.11purpose are specified in the following
91.12subdivisions.
91.16This appropriation is from the petroleum
91.17tank release cleanup fund.
91.28$2,000,000 the first year and $2,000,000 the
91.29second year are for E85 cost-share grants.
91.30Notwithstanding Minnesota Statutes, section
91.3116A.28, this appropriation is available
91.32until expended. The base appropriation for
91.33these grants is $2,000,000 each year in the
91.342010-2011 biennium. Funding for these
91.35grants ends June 30, 2011. Up to ten percent
92.1of the funds may be used for cost-share grants
92.2for pumps dispensing fuel that contains at
92.3least ten percent biodiesel fuel by volume.
92.4The utility subject to Minnesota Statutes,
92.5section 116C.779, shall transfer $2,500,000
92.6in fiscal year 2008 and $2,500,000 in fiscal
92.7year 2009 to the Department of Commerce
92.8on a schedule to be determined by the
92.9commissioner of commerce. The funds must
92.10be deposited in the special revenue fund
92.11and are appropriated to the commissioner
92.12for grants to promote renewable energy
92.13projects and community energy outreach and
92.14assistance. Of the amounts identified:
92.15(1) $500,000 each year for capital grants for
92.16on-farm biogas recovery facilities; eligible
92.17projects will be selected in coordination
92.18with the Department of Agriculture and the
92.19Pollution Control Agency;
92.20(2) $500,000 each year to provide financial
92.21rebates to new solar electricity projects;
92.22(3) $500,000 each year for continued funding
92.23of community energy technical assistance
92.24and outreach on renewable energy and
92.25energy efficiency; and
92.26(4) $1,000,000 each year for technical
92.27analysis and demonstration funding for
92.28automotive technology projects, with a
92.29special focus on plug-in hybrid electric
92.30vehicles.
92.31The utility subject to Minnesota Statutes,
92.32section 116C.779, shall transfer $3,000,000
92.33in fiscal year 2008 and $2,000,000 in fiscal
92.34year 2009 to the Department of Commerce
92.35on a schedule to be determined by the
93.1commissioner of commerce. The funds must
93.2be deposited in the special revenue fund and
93.3are appropriated to the commissioner for
93.4grants to provide competitive, cost-share
93.5grants to fund renewable energy research in
93.6Minnesota. These grants must be awarded
93.7by a three-member panel made up of the
93.8commissioners of commerce, pollution
93.9control, and agriculture, or their designees.
93.10Grant applications must be ranked and grants
93.11issued according to how well the applications
93.12meet state energy policy research goals
93.13established by the commissioners, the quality
93.14and experience of the research teams, the
93.15cross-interdisciplinary and cross-institutional
93.16nature of the research teams, and the ability
93.17of the research team to leverage nonstate
93.18funds.
93.19$3,000,000 the second year is for a grant to
93.20the Board of Regents of the University of
93.21Minnesota for the Initiative for Renewable
93.22Energy and the Environment. The grant
93.23is for the purposes set forth in Minnesota
93.24Statutes, section 216B.241, subdivision 6.
93.25The appropriation is available until spent.
93.26The base budget for this grant to the Board
93.27of Regents of the University of Minnesota
93.28for the Initiative for Renewable Energy and
93.29the Environment is $5,000,000 each year in
93.30the 2010-2011 fiscal biennium.
93.31As a condition of this grant, beginning in
93.32the 2010-2011 biennium, the Initiative for
93.33Renewable Energy and the Environment
93.34must set aside at least 15 percent of the
93.35funds received annually under the grant for
93.36qualified projects conducted at a rural campus
94.1or experiment station. Any amount of the
94.2set aside funds that has not been awarded to
94.3a rural campus or experiment station at the
94.4end of the fiscal year must revert back to the
94.5initiative for its exclusive use.
94.6$10,000,000 the first year is for the renewable
94.7hydrogen initiative in Minnesota Statutes,
94.8section 216B.813, to fund the competitive
94.9grant program included in that section. The
94.10commissioner may use up to two percent of
94.11the competitive grant program appropriation
94.12for grant administration and to develop and
94.13implement the renewable hydrogen road
94.14map. This is a onetime appropriation and is
94.15available until expended.
94.16$3,100,000 the first year is for deposit in the
94.17rural wind energy development revolving
94.18loan fund under Minnesota Statutes, section
94.19216C.39. This appropriation does not cancel.
94.20This is a onetime appropriation.
94.21$1,000,000 the first year and $1,000,000 the
94.22second year are for a grant to the Center for
94.23Rural Policy and Development for the rural
94.24wind energy development program in article
94.253. This is a onetime appropriation and is
94.26available until expended.
94.27$50,000 the first year is a onetime
94.28appropriation for a comprehensive technical,
94.29economic, and environmental analysis of the
94.30benefits to be derived from greater use in this
94.31state of geothermal heat pump systems for
94.32heating and cooling air and heating water.
94.33The analysis must:
94.34(1) estimate the extent of geothermal heat
94.35pump systems currently installed in this state
95.1in residential, commercial, and institutional
95.2buildings;
95.3(2) estimate energy and economic savings of
95.4geothermal heat pump systems in comparison
95.5with fossil fuel-based heating and cooling
95.6systems, including electricity use, on a
95.7capital cost and life-cycle cost basis, for both
95.8newly constructed and retrofitted residential,
95.9commercial, and institutional buildings;
95.10(3) compare the emission of pollutants and
95.11greenhouse gases from geothermal heat
95.12pump systems and fossil fuel-based heating
95.13and cooling systems;
95.14(4) identify financial assistance available
95.15from state and federal sources and Minnesota
95.16utilities to defray the costs of installing
95.17geothermal heat pump systems;
95.18(5) identify Minnesota firms currently
95.19manufacturing or installing the physical
95.20components of geothermal heat pump
95.21systems and estimate the economic
95.22development potential in this state if demand
95.23for such systems increases significantly;
95.24(6) identify the barriers to more widespread
95.25adoption of geothermal heat pump systems in
95.26this state and suggest strategies to overcome
95.27those barriers; and
95.28(7) make recommendations for legislative
95.29action.
95.30Not later than March 15, 2008, the
95.31commissioner shall submit the results of the
95.32analysis in a report to the chairs of the senate
95.33and house of representatives committees
95.34with primary jurisdiction over energy policy.
96.1$45,000 the first year is a onetime
96.2appropriation for a grant to Linden Hills
96.3Power and Light for preliminary engineering
96.4design work and other technical and legal
96.5services required for a community digester
96.6and neighborhood district heating and
96.7cooling system demonstration project in the
96.8Linden Hills neighborhood of Minneapolis.
96.9Funds may be expended upon a determination
96.10by the commissioner of commerce that the
96.11project is technically and economically
96.12feasible. A portion of the appropriation
96.13may be used to expand the scope of the
96.14project feasibility study to include portions
96.15of adjacent communities including St. Louis
96.16Park and Edina.
96.17$3,000,000 the first year is for the purpose
96.18of the propane prepurchase program under
96.19Minnesota Statutes, section 216B.0951. This
96.20is a onetime appropriation and is available
96.21for the biennium.
96.22$4,000,000 the first year is for a onetime
96.23grant to the St. Paul Port Authority for
96.24environmental review and permitting,
96.25preliminary engineering, and development of
96.26a steam-producing facility to be located in
96.27St. Paul using fuels consistent with eligible
96.28energy technologies as defined in Minnesota
96.29Statutes, section 216B.243, subdivision 3a.
96.30Grant funds for the project may only
96.31be expended when the commissioner of
96.32commerce has reviewed and approved a
96.33project plan that includes the following
96.34elements:
96.35(i) total project cost estimates;
97.1(ii) cost estimates for project design and
97.2engineering tasks;
97.3(iii) a preliminary plan for fuel source
97.4procurement from a renewable energy source
97.5as defined in Minnesota Statutes, section
97.6216B.243, subdivision 3a; and
97.7(iv) a preliminary financing plan for the
97.8entire project.
97.9$150,000 the first year is appropriated to the
97.10commissioner of commerce for grants for
97.11demonstration projects of electric vehicles
97.12with advanced transmission technologies
97.13incorporating, if feasible, batteries,
97.14converters, and other components developed
97.15in Minnesota. Funds may be expended
97.16under the grants only if grantees enter into
97.17agreements specifying that commercial
97.18production of these vehicles and components
97.19will, to the extent possible, take place in
97.20Minnesota.
97.23$100,000 the first year and $100,000
97.24the second year are appropriated to the
97.25commissioner of commerce for transfer
97.26to the commissioner of human services to
97.27supplement the ongoing operational expenses
97.28of the Minnesota Commission Serving
97.29Deaf and Hard-of-Hearing People. This
97.30appropriation is from the telecommunication
97.31access Minnesota fund, and is added to the
97.32commission's base.
98.3$475,000 the first year is a onetime
98.4appropriation for terrestrial and geologic
98.5carbon sequestration reports and studies in
98.6article 4. Of this amount, the commissioner
98.7shall make payments of $385,000 to the
98.8Board of Regents of the University of
98.9Minnesota for the purposes of terrestrial
98.10carbon sequestration activities, and $90,000
98.11to the Minnesota Geological Survey for the
98.12purposes of geologic carbon sequestration
98.13assessment.
98.14$60,000 the first year is a onetime
98.15appropriation to the commissioner of natural
98.16resources to conduct a feasibility study
98.17in conjunction with U.S. Army Corps of
98.18Engineers on the foundation and hydraulics
98.19of the Rapidan Dam in Blue Earth County.
98.20This appropriation must be equally matched
98.21by Blue Earth County, and is available until
98.22expended.
98.24$400,000 the first year is a onetime
98.25appropriation for a grant to the Koochiching
98.26Economic Development Authority for
98.27a feasibility study for a plasma torch
98.28gasification facility that converts municipal
98.29solid waste into energy and slag.
98.30$300,000 the first year is for the biomass
98.31gasification facilities air emissions study for
98.32the purpose of fully characterizing the air
98.33emissions exerted from biomass gasification
99.1facilities across a range of feedstocks. This
99.2is a onetime appropriation.
99.4$1,000,000 the first year and $1,000,000
99.5the second year are appropriated to the
99.6commissioner of health for grants for lead
99.7environmental risk assessment conducted
99.8by local units of government, as required
99.9under Minnesota Statutes, section 144.9504,
99.10subdivision 2, and lead cleanup. Of
99.11these amounts, $500,000 the first year
99.12and $500,000 the second year must be
99.13awarded to the federally designated nonprofit
99.14organization operating the Clear Corps
99.15program. This is a onetime appropriation.
99.18 Section 1. Minnesota Statutes 2006, section 13.712, is amended by adding a
99.19subdivision to read:
99.20 Subd. 3. Vehicle protection product warrantors. Financial information provided
99.21to the commissioner of commerce by vehicle protection product warrantors is classified
99.22under section 59C.05, subdivision 3.
99.23EFFECTIVE DATE.This section is effective January 1, 2008.
99.24 Sec. 2. Minnesota Statutes 2006, section 45.011, subdivision 1, is amended to read:
99.25 Subdivision 1. Scope. As used in chapters 45 to 83, 155A, 332, 332A, 345, and
99.26359, and sections325D.30 to
325D.42 ,
326.83 to
326.991 , and
386.61 to
386.78 , unless
99.27the context indicates otherwise, the terms defined in this section have the meanings given
99.28them.
99.29EFFECTIVE DATE.This section is effective January 1, 2008.
99.30 Sec. 3. [45.24] LICENSE TECHNOLOGY FEES.
100.1 (a) The commissioner may establish and maintain an electronic licensing database
100.2system for license origination, renewal, and tracking the completion of continuing
100.3education requirements by individual licensees who have continuing education
100.4requirements, and other related purposes.
100.5 (b) The commissioner shall pay for the cost of operating and maintaining the
100.6electronic database system described in paragraph (a) through a technology surcharge
100.7imposed upon the fee for license origination and renewal, for individual licenses that
100.8require continuing education.
100.9 (c) The surcharge permitted under paragraph (b) shall be up to $40 for each two-year
100.10licensing period, except as otherwise provided in paragraph (f), and shall be payable at the
100.11time of license origination and renewal.
100.12 (d) The Commerce Department technology account is hereby created as an account
100.13in the special revenue fund.
100.14 (e) The commissioner shall deposit the surcharge permitted under this section in
100.15the account created in paragraph (d), and funds in the account are appropriated to the
100.16commissioner in the amounts needed for purposes of this section.
100.17 (f) The commissioner shall temporarily reduce or suspend the surcharge as necessary
100.18if the balance in the account created in paragraph (d) exceeds $2,000,000 as of the end of
100.19any calendar year and shall increase or decrease the surcharge as necessary to keep the
100.20fund balance at an adequate level but not in excess of $2,000,000.
100.21EFFECTIVE DATE.This section is effective the day following final enactment.
100.22 Sec. 4. Minnesota Statutes 2006, section 46.04, subdivision 1, is amended to read:
100.23 Subdivision 1. General. The commissioner of commerce, referred to in chapters
100.2446 to 59A, andsections
332.12 to
332.29
100.25with all the powers, authority, and privileges which, prior to the enactment of Laws 1909,
100.26chapter 201, were conferred by law upon the public examiner, and shall take over all
100.27duties in relation to state banks, savings banks, trust companies, savings associations, and
100.28other financial institutions within the state which, prior to the enactment of chapter 201,
100.29were imposed upon the public examiner. The commissioner of commerce shall exercise
100.30a constant supervision, either personally or through the examiners herein provided for,
100.31over the books and affairs of all state banks, savings banks, trust companies, savings
100.32associations, credit unions, industrial loan and thrift companies, and other financial
100.33institutions doing business within this state; and shall, through examiners, examine each
100.34financial institution at least once every 24 calendar months. In satisfying this examination
100.35requirement, the commissioner may accept reports of examination prepared by a federal
101.1agency having comparable supervisory powers and examination procedures. With the
101.2exception of industrial loan and thrift companies which do not have deposit liabilities
101.3and licensed regulated lenders, it shall be the principal purpose of these examinations to
101.4inspect and verify the assets and liabilities of each and so far investigate the character
101.5and value of the assets of each institution as to determine with reasonable certainty that
101.6the values are correctly carried on its books. Assets and liabilities shall be verified in
101.7accordance with methods of procedure which the commissioner may determine to be
101.8adequate to carry out the intentions of this section. It shall be the further purpose of
101.9these examinations to assess the adequacy of capital protection and the capacity of the
101.10institution to meet usual and reasonably anticipated deposit withdrawals and other cash
101.11commitments without resorting to excessive borrowing or sale of assets at a significant
101.12loss, and to investigate each institution's compliance with applicable laws and rules. Based
101.13on the examination findings, the commissioner shall make a determination as to whether
101.14the institution is being operated in a safe and sound manner. None of the above provisions
101.15limits the commissioner in making additional examinations as deemed necessary or
101.16advisable. The commissioner shall investigate the methods of operation and conduct of
101.17these institutions and their systems of accounting, to ascertain whether these methods and
101.18systems are in accordance with law and sound banking principles. The commissioner may
101.19make requirements as to records as deemed necessary to facilitate the carrying out of the
101.20commissioner's duties and to properly protect the public interest. The commissioner may
101.21examine, or cause to be examined by these examiners, on oath, any officer, director,
101.22trustee, owner, agent, clerk, customer, or depositor of any financial institution touching
101.23the affairs and business thereof, and may issue, or cause to be issued by the examiners,
101.24subpoenas, and administer, or cause to be administered by the examiners, oaths. In
101.25case of any refusal to obey any subpoena issued under the commissioner's direction,
101.26the refusal may at once be reported to the district court of the district in which the bank
101.27or other financial institution is located, and this court shall enforce obedience to these
101.28subpoenas in the manner provided by law for enforcing obedience to subpoenas of the
101.29court. In all matters relating to official duties, the commissioner of commerce has the
101.30power possessed by courts of law to issue subpoenas and cause them to be served and
101.31enforced, and all officers, directors, trustees, and employees of state banks, savings banks,
101.32trust companies, savings associations, and other financial institutions within the state,
101.33and all persons having dealings with or knowledge of the affairs or methods of these
101.34institutions, shall afford reasonable facilities for these examinations, make returns and
101.35reports to the commissioner of commerce as the commissioner may require; attend and
101.36answer, under oath, the commissioner's lawful inquiries; produce and exhibit any books,
102.1accounts, documents, and property as the commissioner may desire to inspect, and in all
102.2things aid the commissioner in the performance of duties.
102.3EFFECTIVE DATE.This section is effective January 1, 2008.
102.4 Sec. 5. Minnesota Statutes 2006, section 46.05, is amended to read:
102.546.05 SUPERVISION OVER FINANCIAL INSTITUTIONS.
102.6 Every state bank, savings bank, trust company, savings association, debt
102.7management services provider, and other financial institutions shall be at all times under
102.8the supervision and subject to the control of the commissioner of commerce. If, and
102.9whenever in the performance of duties, the commissioner finds it necessary to make a
102.10special investigation of any financial institution under the commissioner's supervision,
102.11and other than a complete examination, the commissioner shall make a charge therefor to
102.12include only the necessary costs thereof. Such a fee shall be payable to the commissioner
102.13on the commissioner's making a request for payment.
102.14EFFECTIVE DATE.This section is effective January 1, 2008.
102.15 Sec. 6. Minnesota Statutes 2006, section 46.131, subdivision 2, is amended to read:
102.16 Subd. 2. Assessment authority. Each bank, trust company, savings bank, savings
102.17association, regulated lender, industrial loan and thrift company, credit union, motor
102.18vehicle sales finance company, debtprorating agency management services provider and
102.19insurance premium finance company organized under the laws of this state or required
102.20to be administered by the commissioner of commerce shall pay into the state treasury its
102.21proportionate share of the cost of maintaining the Department of Commerce.
102.22EFFECTIVE DATE.This section is effective January 1, 2008.
102.23 Sec. 7. Minnesota Statutes 2006, section 47.19, is amended to read:
102.2447.19 CORPORATION MAY BE MEMBER OR STOCKHOLDER OF
102.25FEDERAL AGENCY.
102.26 Any corporation is hereby empowered and authorized to become a member of,
102.27or stockholder in, any such agency, and to that end to purchase stock in, or securities
102.28of, or deposit money with, such agency and/or to comply with any other conditions of
102.29membership or credit; to borrow money from such agency upon such rates of interest, not
102.30exceeding the contract rate of interest in this state, and upon such terms and conditions
102.31as may be agreed upon by such corporation and such agency, for the purpose of making
103.1loans, paying withdrawals, paying maturities, paying debts, and for any other purpose not
103.2inconsistent with the objects of the corporation; provided, that the aggregate amount of the
103.3indebtedness, so incurred by such corporation, which shall be outstanding at any time shall
103.4not exceed25 35 percent of the then total assets of the corporation; to assign, pledge and
103.5hypothecate its bonds, mortgages or other assets; and, in case of savings associations, to
103.6repledge with such agency the shares of stock in such association which any owner thereof
103.7may have pledged as collateral security, without obtaining the consent thereunto of such
103.8owner, as security for the repayment of the indebtedness so created by such corporation
103.9and as evidenced by its note or other evidence of indebtedness given for such borrowed
103.10money; and to do any and all things which shall or may be necessary or convenient in
103.11order to comply with and to obtain the benefits of the provisions of any act of Congress
103.12creating such agency, or any amendments thereto.
103.13 Sec. 8. Minnesota Statutes 2006, section 47.59, subdivision 6, is amended to read:
103.14 Subd. 6. Additional charges. (a) For purposes of this subdivision, "financial
103.15institution" includes a person described in subdivision 4, paragraph (a). In addition to the
103.16finance charges permitted by this section, a financial institution may contract for and
103.17receive the following additional charges that may be included in the principal amount
103.18of the loan or credit sale unpaid balances:
103.19 (1) official fees and taxes;
103.20 (2) charges for insurance as described in paragraph (b);
103.21 (3) with respect to a loan or credit sale contract secured by real estate, the following
103.22"closing costs," if they are bona fide, reasonable in amount, and not for the purpose of
103.23circumvention or evasion of this section:
103.24 (i) fees or premiums for title examination, abstract of title, title insurance, surveys,
103.25or similar purposes;
103.26 (ii) fees for preparation of a deed, mortgage, settlement statement, or other
103.27documents, if not paid to the financial institution;
103.28 (iii) escrows for future payments of taxes, including assessments for improvements,
103.29insurance, and water, sewer, and land rents;
103.30 (iv) fees for notarizing deeds and other documents;
103.31 (v) appraisal and credit report fees; and
103.32 (vi) fees for determining whether any portion of the property is located in a flood
103.33zone and fees for ongoing monitoring of the property to determine changes, if any,
103.34in flood zone status;
104.1 (4) a delinquency charge on a payment, including the minimum payment due in
104.2connection with open-end credit, not paid in full on or before the tenth day after its due
104.3date in an amount not to exceed five percent of the amount of the payment or $5.20,
104.4whichever is greater;
104.5 (5) for a returned check or returned automatic payment withdrawal request, an
104.6amount not in excess of the service charge limitation in section604.113, except that, on
104.7a loan transaction that is a consumer small loan as defined in section 47.60, subdivision
104.81, paragraph (a), in which cash is advanced in exchange for a personal check, the civil
104.9penalty provisions of section 604.113, subdivision 2, paragraph (b), may not be demanded
104.10or assessed against the borrower ; and
104.11 (6) charges for other benefits, including insurance, conferred on the borrower that
104.12are of a type that is not for credit.
104.13 (b) An additional charge may be made for insurance written in connection with the
104.14loan or credit sale contract, which may be included in the principal amount of the loan or
104.15credit sale unpaid balances:
104.16 (1) with respect to insurance against loss of or damage to property, or against
104.17liability arising out of the ownership or use of property, if the financial institution furnishes
104.18a clear, conspicuous, and specific statement in writing to the borrower setting forth the
104.19cost of the insurance if obtained from or through the financial institution and stating that
104.20the borrower may choose the person through whom the insurance is to be obtained;
104.21 (2) with respect to credit insurance or mortgage insurance providing life, accident,
104.22health, or unemployment coverage, if the insurance coverage is not required by the
104.23financial institution, and this fact is clearly and conspicuously disclosed in writing to
104.24the borrower, and the borrower gives specific, dated, and separately signed affirmative
104.25written indication of the borrower's desire to do so after written disclosure to the borrower
104.26of the cost of the insurance; and
104.27 (3) with respect to the vendor's single interest insurance, but only (i) to the extent
104.28that the insurer has no right of subrogation against the borrower; and (ii) to the extent that
104.29the insurance does not duplicate the coverage of other insurance under which loss is
104.30payable to the financial institution as its interest may appear, against loss of or damage
104.31to property for which a separate charge is made to the borrower according to clause (1);
104.32and (iii) if a clear, conspicuous, and specific statement in writing is furnished by the
104.33financial institution to the borrower setting forth the cost of the insurance if obtained from
104.34or through the financial institution and stating that the borrower may choose the person
104.35through whom the insurance is to be obtained.
105.1 (c) In addition to the finance charges and other additional charges permitted by
105.2this section, a financial institution may contract for and receive the following additional
105.3charges in connection with open-end credit, which may be included in the principal
105.4amount of the loan or balance upon which the finance charge is computed:
105.5 (1) annual charges, not to exceed $50 per annum, payable in advance, for the
105.6privilege of opening and maintaining open-end credit;
105.7 (2) charges for the use of an automated teller machine;
105.8 (3) charges for any monthly or other periodic payment period in which the borrower
105.9has exceeded or, except for the financial institution's dishonor would have exceeded,
105.10the maximum approved credit limit, in an amount not in excess of the service charge
105.11permitted in section604.113 ;
105.12 (4) charges for obtaining a cash advance in an amount not to exceed the service
105.13charge permitted in section604.113 ; and
105.14 (5) charges for check and draft copies and for the replacement of lost or stolen
105.15credit cards.
105.16 (d) In addition to the finance charges and other additional charges permitted by this
105.17section, a financial institution may contract for and receive a onetime loan administrative
105.18fee not exceeding $25 in connection with closed-end credit, which may be included in the
105.19principal balance upon which the finance charge is computed. This paragraph applies only
105.20to closed-end credit in an original principal amount of $4,320 or less. The determination
105.21of an original principal amount must exclude the administrative fee contracted for and
105.22received according to this paragraph.
105.23 Sec. 9. Minnesota Statutes 2006, section 47.60, subdivision 2, is amended to read:
105.24 Subd. 2. Authorization, terms, conditions, and prohibitions. (a) In lieu of the
105.25interest, finance charges, or fees in any other law, a consumer small loan lender may
105.26charge the following:
105.27 (1) on any amount up to and including $50, a charge of $5.50 may be added;
105.28 (2) on amounts in excess of $50, but not more than $100, a charge may be added
105.29equal to ten percent of the loan proceeds plus a $5 administrative fee;
105.30 (3) on amounts in excess of $100, but not more than $250, a charge may be
105.31added equal to seven percent of the loan proceeds with a minimum of $10 plus a $5
105.32administrative fee;
105.33 (4) for amounts in excess of $250 and not greater than the maximum in subdivision
105.341, paragraph (a), a charge may be added equal to six percent of the loan proceeds with a
105.35minimum of $17.50 plus a $5 administrative fee.
106.1 (b) The term of a loan made under this section shall be for no more than 30 calendar
106.2days.
106.3 (c) After maturity, the contract rate must not exceed2.75 percent per month of the
106.4remaining loan proceeds after the maturity date calculated at a rate of 1/30 of the monthly
106.5rate in the contract for each calendar day the balance is outstanding.
106.6 (d) No insurance charges or other charges must be permitted to be charged, collected,
106.7or imposed on a consumer small loan except as authorized in this section.
106.8 (e) On a loan transaction in which cash is advanced in exchange for a personal
106.9check, a return check charge may be charged as authorized by section604.113, subdivision
106.102 , paragraph (a). The civil penalty provisions of section 604.113, subdivision 2, paragraph
106.11(b), may not be demanded or assessed against the borrower.
106.12 (f) A loan made under this section must not be repaid by the proceeds of another
106.13loan made under this section by the same lender or related interest. The proceeds from a
106.14loan made under this section must not be applied to another loan from the same lender or
106.15related interest. No loan to a single borrower made pursuant to this section shall be split or
106.16divided and no single borrower shall have outstanding more than one loan with the result
106.17of collecting a higher charge than permitted by this section or in an aggregate amount of
106.18principal exceed at any one time the maximum of $350.
106.19 Sec. 10. Minnesota Statutes 2006, section 47.62, subdivision 1, is amended to read:
106.20 Subdivision 1. General authority. Any person may establish and maintain one
106.21or more electronic financial terminals. Any financial institution may provide for its
106.22customers the use of an electronic financial terminal by entering into an agreement with
106.23any person who has established and maintains one or more electronic financial terminals if
106.24that person authorizes use of the electronic financial terminal to all financial institutions
106.25on a nondiscriminatory basis pursuant to section47.64 . Electronic financial terminals to
106.26be established and maintained in this state by financial institutions located in states other
106.27than Minnesota must file a notification to the commissioner as required in this section.
106.28The notification may be in the form lawfully required by the state regulator responsible
106.29for the examination and supervision of that financial institution. If there is no such
106.30requirement, then notification must be in the form required by this section for Minnesota
106.31financial institutions.
106.32 Sec. 11. Minnesota Statutes 2006, section 47.75, subdivision 1, is amended to read:
107.1 Subdivision 1. Retirement, health savings, and medical savings accounts. (a) A
107.2commercial bank, savings bank, savings association, credit union, or industrial loan and
107.3thrift company may act as trustee or custodian:
107.4 (1) under the Federal Self-Employed Individual Tax Retirement Act of 1962, as
107.5amended;
107.6 (2) of a medical savings account under the Federal Health Insurance Portability and
107.7Accountability Act of 1996, as amended;
107.8 (3) of a health savings account under the Medicare Prescription Drug, Improvement,
107.9and Modernization Act of 2003, as amended; and
107.10 (4) under the Federal Employee Retirement Income Security Act of 1974, as
107.11amended.
107.12 (b) The trustee or custodian may accept the trust funds if the funds are invested
107.13only in savings accounts or time deposits in the commercial bank, savings bank, savings
107.14association, credit union, or industrial loan and thrift company, except that health savings
107.15accounts may also be invested in transaction accounts. Health savings accounts invested in
107.16transaction accounts shall not be subject to the restrictions in section 48.512, subdivision
107.173. All funds held in the fiduciary capacity may be commingled by the financial institution
107.18in the conduct of its business, but individual records shall be maintained by the fiduciary
107.19for each participant and shall show in detail all transactions engaged under authority
107.20of this subdivision.
107.21EFFECTIVE DATE. This section is effective the day following final enactment.
107.22 Sec. 12. Minnesota Statutes 2006, section 48.15, subdivision 4, is amended to read:
107.23 Subd. 4. Retirement, health savings, and medical savings accounts. (a) A state
107.24bank may act as trustee or custodian:
107.25 (1) of a self-employed retirement plan under the Federal Self-Employed Individual
107.26Tax Retirement Act of 1962, as amended;
107.27 (2) of a medical savings account under the Federal Health Insurance Portability and
107.28Accountability Act of 1996, as amended;
107.29 (3) of a health savings account under the Medicare Prescription Drug, Improvement,
107.30and Modernization Act of 2003, as amended; and
107.31 (4) of an individual retirement account under the Federal Employee Retirement
107.32Income Security Act of 1974, as amended, if the bank's duties as trustee or custodian are
107.33essentially ministerial or custodial in nature and the funds are invested only (i) in the
107.34bank's own savings or time deposits, except that health savings accounts may also be
107.35invested in transaction accounts. Health savings accounts invested in transaction accounts
108.1shall not be subject to the restrictions in section 48.512, subdivision 3; or (ii) in any
108.2other assets at the direction of the customer if the bank does not exercise any investment
108.3discretion, invest the funds in collective investment funds administered by it, or provide
108.4any investment advice with respect to those account assets.
108.5 (b) Affiliated discount brokers may be utilized by the bank acting as trustee or
108.6custodian for self-directed IRAs, if specifically authorized and directed in appropriate
108.7documents. The relationship between the affiliated broker and the bank must be fully
108.8disclosed. Brokerage commissions to be charged to the IRA by the affiliated broker should
108.9be accurately disclosed. Provisions should be made for disclosure of any changes in
108.10commission rates prior to their becoming effective. The affiliated broker may not provide
108.11investment advice to the customer.
108.12 (c) All funds held in the fiduciary capacity may be commingled by the financial
108.13institution in the conduct of its business, but individual records shall be maintained by
108.14the fiduciary for each participant and shall show in detail all transactions engaged under
108.15authority of this subdivision.
108.16 (d) The authority granted by this section is in addition to, and not limited by, section
108.1747.75
.
108.18EFFECTIVE DATE. This section is effective the day following final enactment.
108.19 Sec. 13. Minnesota Statutes 2006, section 58.04, subdivision 1, is amended to read:
108.20 Subdivision 1. Residential mortgage originator licensing requirements. (a)
108.21Beginning August 1, 1999, No person shall act as a residential mortgage originator, or
108.22make residential mortgage loans without first obtaining a license from the commissioner
108.23according to the licensing procedures provided in this chapter.
108.24 (b) A licensee must be either a partnership, limited liability partnership, association,
108.25limited liability company, corporation, or other form of business organization, and must
108.26have and maintain at all times one of the following: approval as a mortgagee by either the
108.27federal Department of Housing and Urban Development or the Federal National Mortgage
108.28Association; a minimum net worth, net of intangibles, of at least $250,000; or a surety bond
108.29or irrevocable letter of credit in the amount of $100,000. Net worth, net of intangibles,
108.30must be calculated in accordance with generally accepted accounting principles.
108.31 (c) The following persons are exempt from the residential mortgage originator
108.32licensing requirements:
108.33(1) an employee of one mortgage originator licensee or one person holding a
108.34certificate of exemption;
109.1(2) a person licensed as a real estate broker under chapter 82 who is not licensed to
109.2another real estate broker;
109.3(3) an individual real estate licensee who is licensed to a real estate broker as
109.4described in clause (2) if:
109.5(i) the individual licensee acts only under the name, authority, and supervision of the
109.6broker to whom the licensee is licensed;
109.7(ii) the broker to whom the licensee is licensed obtains a certificate of exemption
109.8according to section
58.05, subdivision 2;
109.9(iii) the broker does not collect an advance fee for its residential mortgage-related
109.10activities; and
109.11(iv) the residential mortgage origination activities are incidental to the real estate
109.12licensee's primary activities as a real estate broker or salesperson;
109.13(4) an individual licensed as a property/casualty or life/health insurance agent under
109.14chapter 60K if:
109.15(i) the insurance agent acts on behalf of only one residential mortgage originator,
109.16which is in compliance with chapter 58;
109.17(ii) the insurance agent has entered into a written contract with the mortgage
109.18originator under the terms of which the mortgage originator agrees to accept responsibility
109.19for the insurance agent's residential mortgage-related activities;
109.20(iii) the insurance agent obtains a certificate of exemption under section
58.05,
109.21subdivision 2
; and
109.22(iv) the insurance agent does not collect an advance fee for the insurance agent's
109.23residential mortgage-related activities;
109.24(5) (1) a person who is not in the business of making residential mortgage loans and
109.25who makes no more than three such loans, with its own funds, during any 12-month period;
109.26(6) (2) a financial institution as defined in section
58.02, subdivision 10 ;
109.27(7) (3) an agency of the federal government, or of a state or municipal government;
109.28(8) (4) an employee or employer pension plan making loans only to its participants;
109.29(9) (5) a person acting in a fiduciary capacity, such as a trustee or receiver, as a result
109.30of a specific order issued by a court of competent jurisdiction; or
109.31(10) (6) a person exempted by order of the commissioner.
109.32 Sec. 14. Minnesota Statutes 2006, section 58.04, subdivision 2, is amended to read:
109.33 Subd. 2. Residential mortgage servicer licensing requirements. (a)Beginning
109.34August 1, 1999, No person shall engage in activities or practices that fall within the
109.35definition of "servicing a residential mortgage loan" under section58.02, subdivision
110.122 , without first obtaining a license from the commissioner according to the licensing
110.2procedures provided in this chapter.
110.3 (b) The following persons are exempt from the residential mortgage servicer
110.4licensing requirements:
110.5 (1) a person licensed as a residential mortgage originator;
110.6(2) an employee of one licensee or one person holding a certificate of exemption
110.7based on an exemption under this subdivision;
110.8(3) (2) a person servicing loans made with its the person's own funds, if no more
110.9than three such loans are made in any 12-month period;
110.10(4) (3) a financial institution as defined in section
58.02, subdivision 10 ;
110.11(5) (4) an agency of the federal government, or of a state or municipal government;
110.12(6) (5) an employee or employer pension plan making loans only to its participants;
110.13(7) (6) a person acting in a fiduciary capacity, such as a trustee or receiver, as a result
110.14of a specific order issued by a court of competent jurisdiction; or
110.15(8) (7) a person exempted by order of the commissioner.
110.16 Sec. 15. Minnesota Statutes 2006, section 58.05, is amended to read:
110.1758.05 EXEMPTIONS FROM LICENSE.
110.18 Subdivision 1. Exempt person. An exempt person as defined by section58.04,
110.19subdivision 1 , paragraph (b) (c), and subdivision 2, paragraph (b), is exempt from the
110.20licensing requirements of this chapter, but is subject to all other provisions of this chapter.
110.21 Subd. 3. Certificate of exemption. A person must obtain a certificate of exemption
110.22from the commissioner to qualify as an exempt person under section58.04, subdivision
110.231 , paragraph (b) (c), as a real estate broker under clause (2), an insurance agent under
110.24clause (4), a financial institution under clause (6) (2), or by order of the commissioner
110.25under clause(10) (6); or under section
58.04, subdivision 2 , paragraph (b), as a financial
110.26institution under clause(4) (3), or by order of the commissioner under clause (8) (7).
110.27 Sec. 16. Minnesota Statutes 2006, section 58.06, subdivision 2, is amended to read:
110.28 Subd. 2. Application contents. (a) The application must contain the name and
110.29complete business address or addresses of the license applicant.If The license applicant is
110.30must be a partnership, limited liability partnership, association, limited liability company,
110.31corporation, or other form of business organization, and the application must contain the
110.32names and complete business addresses of each partner, member, director, and principal
110.33officer. The application must also include a description of the activities of the license
110.34applicant, in the detail and for the periods the commissioner may require.
111.1 (b) An applicant must submit one of the following:
111.2 (1) evidence which shows, to the commissioner's satisfaction, that either the federal
111.3Department of Housing and Urban Development or the Federal National Mortgage
111.4Association has approved the applicant as a mortgagee;
111.5 (2) a surety bond or irrevocable letter of credit in the amount of not less than
111.6$100,000 in a form approved by the commissioner, issued by an insurance company
111.7or bank authorized to do so in this state. The bond or irrevocable letter of credit must
111.8be available for the recovery of expenses, fines, and fees levied by the commissioner
111.9under this chapter and for losses incurred by borrowers. The bond or letter of credit must
111.10be submitted with the license application, and evidence of continued coverage must be
111.11submitted with each renewal. Any change in the bond or letter of credit must be submitted
111.12for approval by the commissioner within ten days of its execution; or
111.13 (3) a copy of the applicant's most recent audited financial statement, including
111.14balance sheet, statement of income or loss, statements of changes in shareholder equity,
111.15and statement of changes in financial position. Financial statements must be as of a date
111.16within 12 months of the date of application.
111.17 (c) The application must also include all of the following:
111.18(a) (1) an affirmation under oath that the applicant:
111.19(1) will maintain competent staff and adequate staffing levels, through direct
111.20employees or otherwise, to meet the requirements of this chapter; (i) is in compliance
111.21with the requirements of section 58.125;
111.22 (ii) will maintain a perpetual roster of individuals employed as residential mortgage
111.23originators, including employees and independent contractors, which includes the date that
111.24mandatory initial education was completed. In addition, the roster must be made available
111.25to the commissioner on demand, within three business days of the commissioner's request;
111.26(2) (iii) will advise the commissioner of any material changes to the information
111.27submitted in the most recent application within ten days of the change;
111.28(3) (iv) will advise the commissioner in writing immediately of any bankruptcy
111.29petitions filed against or by the applicant or licensee;
111.30(4) is financially solvent; (v) will maintain at all times either a net worth, net of
111.31intangibles, of at least $250,000 or a surety bond or irrevocable letter of credit in the
111.32amount of at least $100,000;
111.33(5) (vi) complies with federal and state tax laws; and
111.34(6) (vii) complies with sections
345.31 to
345.60 , the Minnesota unclaimed property
111.35law;and
111.36(7) is, or that a person in control of the license applicant is, at least 18 years of age;
112.1(b) (2) information as to the mortgage lending, servicing, or brokering experience
112.2of the applicant and persons in control of the applicant;
112.3(c) (3) information as to criminal convictions, excluding traffic violations, of persons
112.4in control of the license applicant;
112.5(d) (4) whether a court of competent jurisdiction has found that the applicant or
112.6persons in control of the applicant have engaged in conduct evidencing gross negligence,
112.7fraud, misrepresentation, or deceit in performing an act for which a license is required
112.8under this chapter;
112.9(e) (5) whether the applicant or persons in control of the applicant have been the
112.10subject of: an order of suspension or revocation, cease and desist order, or injunctive
112.11order, or order barring involvement in an industry or profession issued by this or another
112.12state or federal regulatory agency or by the Secretary of Housing and Urban Development
112.13within the ten-year period immediately preceding submission of the application; and
112.14(f) (6) other information required by the commissioner.
112.15 Sec. 17. Minnesota Statutes 2006, section 58.06, is amended by adding a subdivision
112.16to read:
112.17 Subd. 3. Waiver. The commissioner may, for good cause shown, waive any
112.18requirement of this section with respect to any license application or to permit a license
112.19applicant to submit substituted information in its license application in lieu of the
112.20information required by this section.
112.21 Sec. 18. Minnesota Statutes 2006, section 58.08, subdivision 3, is amended to read:
112.22 Subd. 3. Exemption.Subdivisions 1 and Subdivision 2 do does not apply to
112.23mortgage originators or mortgage servicers who are approved as seller/servicers by the
112.24Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation.
112.25 Sec. 19. Minnesota Statutes 2006, section 58.10, subdivision 1, is amended to read:
112.26 Subdivision 1. Amounts. The following fees must be paid to the commissioner:
112.27 (1) for an initial residential mortgage originator license,$850 $2,550, $50 of which
112.28is credited to the consumer education account in the special revenue fund;
112.29 (2) for a renewal license,$450 $1,350, $50 of which is credited to the consumer
112.30education account in the special revenue fund;
112.31 (3) for an initial residential mortgage servicer's license, $1,000;
112.32 (4) for a renewal license, $500; and
112.33 (5) for a certificate of exemption, $100.
113.1 Sec. 20. [58.115] EXAMINATIONS.
113.2 The commissioner has under this chapter the same powers with respect to
113.3examinations that the commissioner has under section 46.04, including the authority to
113.4charge for the direct costs of the examination, including travel and per diem expenses.
113.5 Sec. 21. [58.126] EDUCATION REQUIREMENT.
113.6 No individual shall engage in residential mortgage origination or make residential
113.7mortgage loans, whether as an employee or independent contractor, before the completion
113.8of 15 hours of educational training which has been approved by the commissioner, and
113.9covering state and federal laws concerning residential mortgage lending.
113.10 Sec. 22. [59C.01] SHORT TITLE.
113.11 This chapter may be cited as the Vehicle Protection Product Act.
113.12EFFECTIVE DATE.This section is effective January 1, 2008.
113.13 Sec. 23. [59C.02] DEFINITIONS.
113.14 Subdivision 1. Terms. For purposes of this chapter, the terms defined in subdivisions
113.152 to 11 have the meanings given them.
113.16 Subd. 2. Administrator. "Administrator" means a third party other than the
113.17warrantor who is designated by the warrantor to be responsible for the administration
113.18of vehicle protection product warranties.
113.19 Subd. 3. Commissioner. "Commissioner" means the commissioner of commerce.
113.20 Subd. 4. Department. "Department" means the Department of Commerce.
113.21 Subd. 5. Incidental costs. "Incidental costs" means expenses specified in the
113.22warranty incurred by the warranty holder related to the failure of the vehicle protection
113.23product to perform as provided in the warranty. Incidental costs may include, without
113.24limitation, insurance policy deductibles, rental vehicle charges, the difference between the
113.25actual value of the stolen vehicle at the time of theft and the cost of a replacement vehicle,
113.26sales taxes, registration fees, transaction fees, and mechanical inspection fees.
113.27 Subd. 6. Service contract. "Service contract" means a contract or agreement as
113.28regulated under chapter 59B.
113.29 Subd. 7. Vehicle protection product. "Vehicle protection product" means a vehicle
113.30protection device, system, or service that:
113.31 (1) is installed on or applied to a vehicle;
113.32 (2) is designed to prevent loss or damage to a vehicle from a specific cause; and
113.33 (3) includes a written warranty.
114.1 For purposes of this section, vehicle protection product includes, without limitation,
114.2alarm systems; body part marking products; steering locks; window etch products; pedal
114.3and ignition locks; fuel and ignition kill switches; and electronic, radio, and satellite
114.4tracking devices.
114.5 Subd. 8. Vehicle protection product warranty or warranty. "Vehicle protection
114.6product warranty" or "warranty" means, for the purposes of this chapter, a written
114.7agreement by a warrantor that provides if the vehicle protection product fails to prevent
114.8loss or damage to a vehicle from a specific cause, that the warranty holder must be
114.9paid specified incidental costs by the warrantor as a result of the failure of the vehicle
114.10protection product to perform pursuant to the terms of the warranty.
114.11 Subd. 9. Vehicle protection product warrantor or warrantor. "Vehicle protection
114.12product warrantor" or "warrantor," for the purposes of this chapter, means a person who is
114.13contractually obligated to the warranty holder under the terms of the vehicle protection
114.14product warranty agreement. Warrantor does not include an authorized insurer providing a
114.15warranty reimbursement insurance policy.
114.16 Subd. 10. Warranty holder. "Warranty holder," for the purposes of this chapter,
114.17means the person who purchases a vehicle protection product or who is a permitted
114.18transferee.
114.19 Subd. 11. Warranty reimbursement insurance policy. "Warranty reimbursement
114.20insurance policy" means a policy of insurance that is issued to the vehicle protection
114.21product warrantor to provide reimbursement to, or to pay on behalf of, the warrantor all
114.22covered contractual obligations incurred by the warrantor under the terms and conditions
114.23of the insured vehicle protection product warranties sold by the warrantor.
114.24EFFECTIVE DATE.This section is effective January 1, 2008.
114.25 Sec. 24. [59C.03] SCOPE AND EXEMPTIONS.
114.26 (a) No vehicle protection product may be sold or offered for sale in this state unless
114.27the seller, warrantor, and administrator, if any, comply with the provisions of this chapter.
114.28 (b) Vehicle protection product warrantors and related vehicle protection product
114.29sellers and warranty administrators complying with this chapter are not required to comply
114.30with and are not subject to any other provision of chapters 59B to 72A, except that section
114.3172A.20, subdivision 38, shall apply to vehicle protection product warranties in the same
114.32manner it applies to service contracts.
114.33 (c) Service contract providers who do not sell vehicle protection products are not
114.34subject to the requirements of this chapter and sales of vehicle protection products are
114.35exempt from the requirements of chapter 59B.
115.1 (d) Warranties, indemnity agreements, and guarantees that are not provided as a part
115.2of a vehicle protection product are not subject to the provisions of this chapter.
115.3EFFECTIVE DATE.This section is effective January 1, 2008.
115.4 Sec. 25. [59C.04] REGISTRATION AND FILING REQUIREMENTS OF
115.5WARRANTORS.
115.6 Subdivision 1. General requirement. A person may not operate as a warrantor or
115.7represent to the public that the person is a warrantor unless the person is registered with
115.8the department on a form prescribed by the commissioner.
115.9 Subd. 2. Registration records. A registrant shall file a warrantor registration
115.10record annually and shall update it within 30 days of any change. A registration record
115.11must contain the following information:
115.12 (1) the warrantor's name, any fictitious names under which the warrantor does
115.13business in the state, principal office address, and telephone number;
115.14 (2) the name and address of the warrantor's agent for service of process in the state if
115.15other than the warrantor;
115.16 (3) the names of the warrantor's executive officer or officers directly responsible for
115.17the warrantor's vehicle protection product business;
115.18 (4) the name, address, and telephone number of any administrators designated by
115.19the warrantor to be responsible for the administration of vehicle protection product
115.20warranties in this state;
115.21 (5) a copy of the warranty reimbursement insurance policy or policies or other
115.22financial information required by section 59C.05;
115.23 (6) a copy of each warranty the warrantor proposes to use in this state; and
115.24 (7) a statement indicating under which provision of section 59C.05 the warrantor
115.25qualifies to do business in this state as a warrantor.
115.26 Subd. 3. Registration fee. The commissioner may charge each registrant a
115.27reasonable fee to offset the cost of processing the registration and maintaining the records
115.28in an amount not to exceed $250 annually. The information in subdivision 2, clauses (1)
115.29and (2), must be made available to the public.
115.30 Subd. 4. Renewal. If a registrant fails to register by the renewal deadline, the
115.31commissioner shall give them written notice of the failure and the registrant will have 30
115.32days to complete the renewal of the registration before the commissioner suspends the
115.33registration.
115.34 Subd. 5. Exception. An administrator or person who sells or solicits a sale of a
115.35vehicle protection product but who is not a warrantor shall not be required to register as a
116.1warrantor or be licensed under the insurance laws of this state to sell vehicle protection
116.2products.
116.3EFFECTIVE DATE.This section is effective January 1, 2008.
116.4 Sec. 26. [59C.05] FINANCIAL RESPONSIBILITY.
116.5 Subdivision 1. General requirements. No vehicle protection product may be sold,
116.6or offered for sale in this state unless the warrantor meets either the requirements of
116.7subdivision 2 or 3 in order to ensure adequate performance under the warranty. No other
116.8financial security requirements or financial standards for warrantors is required.
116.9 Subd. 2. Warranty reimbursement insurance policy. The vehicle protection
116.10product warrantor shall be insured under a warranty reimbursement insurance policy
116.11issued by an insurer authorized to do business in this state which provides that:
116.12 (1) the insurer will pay to, or on behalf of the warrantor, 100 percent of all sums
116.13that the warrantor is legally obligated to pay according to the warrantor's contractual
116.14obligations under the warrantor's vehicle protection product warranty;
116.15 (2) a true and correct copy of the warranty reimbursement insurance policy has been
116.16filed with the commissioner by the warrantor; and
116.17 (3) the policy contains the provision required in section 59C.06.
116.18 Subd. 3. Network or stockholder's equity. (1) The vehicle protection product
116.19warrantor, or its parent company in accordance with clause (2), shall maintain a net worth
116.20or stockholders' equity of $50,000,000; and
116.21 (2) the warrantor shall provide the commissioner with a copy of the warrantor's or
116.22the warrantor's parent company's most recent Form 10-K or Form 20-F filed with the
116.23Securities and Exchange Commission within the last calendar year or, if the warrantor
116.24does not file with the Securities and Exchange Commission, a copy of the warrantor or
116.25the warrantor's parent company's audited financial statements that shows a net worth of
116.26the warrantor or its parent company of at least $50,000,000. If the warrantor's parent
116.27company's Form 10-K, Form 20-F, or audited financial statements are filed to meet
116.28the warrantor's financial stability requirement, then the parent company shall agree to
116.29guarantee the obligations of the warrantor relating to warranties issued by the warrantor in
116.30this state. The financial information provided to the commissioner under this paragraph
116.31is trade secret information for purposes of section 13.37.
116.32EFFECTIVE DATE.This section is effective January 1, 2008.
117.1 Sec. 27. [59C.06] WARRANTY REIMBURSEMENT POLICY
117.2REQUIREMENTS.
117.3 No warranty reimbursement insurance policy may be issued, sold, or offered for sale
117.4in this state unless the policy meets the following conditions:
117.5 (1) the policy states that the issuer of the policy will reimburse, or pay on behalf of
117.6the vehicle protection product warrantor, all covered sums that the warrantor is legally
117.7obligated to pay, or will provide all service that the warrantor is legally obligated to
117.8perform according to the warrantor's contractual obligations under the provisions of the
117.9insured warranties sold by the warrantor;
117.10 (2) the policy states that in the event payment due under the terms of the warranty is
117.11not provided by the warrantor within 60 days after proof of loss has been filed according
117.12to the terms of the warranty by the warranty holder, the warranty holder may file directly
117.13with the warranty reimbursement insurance company for reimbursement;
117.14 (3) the policy provides that a warranty reimbursement insurance company that
117.15insures a warranty is deemed to have received payment of the premium if the warranty
117.16holder paid for the vehicle protection product and the insurer's liability under the policy
117.17shall not be reduced or relieved by a failure of the warrantor, for any reason, to report the
117.18issuance of a warranty to the insurer; and
117.19 (4) the policy has the following provisions regarding cancellation of the policy:
117.20 (i) the issuer of a reimbursement insurance policy shall not cancel the policy until a
117.21notice of cancellation in writing has been mailed or delivered to the commissioner and
117.22each insured warrantor;
117.23 (ii) the cancellation of a reimbursement insurance policy shall not reduce the issuer's
117.24responsibility for vehicle protection products sold prior to the date of cancellation; and
117.25 (iii) in the event an insurer cancels a policy that a warrantor has filed with the
117.26commissioner, the warrantor shall do either of the following:
117.27 (A) file a copy of a new policy with the commissioner, before the termination of
117.28the prior policy, providing no lapse in coverage following the termination of the prior
117.29policy; or
117.30 (B) discontinue offering warranties as of the termination date of the policy until a
117.31new policy becomes effective and is accepted by the commissioner.
117.32EFFECTIVE DATE.This section is effective January 1, 2008.
117.33 Sec. 28. [59C.07] DISCLOSURE TO WARRANTY HOLDER.
117.34 A vehicle protection product warranty must not be sold or offered for sale in this
117.35state unless the warranty:
118.1 (1) states, "The obligations of the warrantor to the warranty holder are guaranteed
118.2under a warranty reimbursement insurance policy" if the warrantor elects to meet its
118.3financial responsibility obligations under section 59C.05, subdivision 2, or states "The
118.4obligations of the warrantor under this warranty are backed by the full faith and credit
118.5of the warrantor" if the warrantor elects to meet its financial responsibility obligations
118.6under section 59C.05, subdivision 3;
118.7 (2) states that in the event a warranty holder must make a claim against a party other
118.8than the warranty reimbursement insurance policy issuer, the warranty holder is entitled to
118.9make a direct claim against the insurer upon the failure of the warrantor to pay any claim
118.10or meet any obligation under the terms of the warranty within 60 days after proof of loss
118.11has been filed with the warrantor, if the warrantor elects to meet its financial responsibility
118.12obligations under section 59C.05, subdivision 2;
118.13 (3) states the name and address of the issuer of the warranty reimbursement
118.14insurance policy, and this information need not be preprinted on the warranty form, but
118.15may be added to or stamped on the warranty, if the warrantor elects to meet its financial
118.16responsibility obligations under section 59C.05, subdivision 2;
118.17 (4) identifies the warrantor, the seller, and the warranty holder;
118.18 (5) sets forth the total purchase price and the terms under which it is to be paid,
118.19however, the purchase price is not required to be preprinted on the vehicle protection
118.20product warranty and may be negotiated with the consumer at the time of sale;
118.21 (6) sets forth the procedure for making a claim, including a telephone number;
118.22 (7) specifies the payments or performance to be provided under the warranty
118.23including payments for incidental costs expressed as either a fixed amount specified in the
118.24warranty or sales agreement or by the use of a formula itemizing specific incidental costs
118.25incurred by the warranty holder, the manner of calculation or determination of payments
118.26or performance, and any limitations, exceptions, or exclusions;
118.27 (8) sets forth all of the obligations and duties of the warranty holder such as the duty
118.28to protect against any further damage to the vehicle, the obligation to notify the warrantor
118.29in advance of any repair, or other similar requirements, if any;
118.30 (9) sets forth any terms, restrictions, or conditions governing transferability and
118.31cancellation of the warranty, if any; and
118.32 (10) contains a disclosure that reads substantially as follows: "This agreement is a
118.33product warranty and is not insurance."
118.34EFFECTIVE DATE.This section is effective January 1, 2008.
118.35 Sec. 29. [59C.08] PROHIBITED ACTS.
119.1 (a) Unless licensed as an insurance company, a vehicle protection product warrantor
119.2shall not use in its name, contracts, or literature, any of the words "insurance," "casualty,"
119.3"surety," "mutual," or any other words descriptive of the insurance, casualty, or surety
119.4business or deceptively similar to the name or description of any insurance or surety
119.5corporation, or any other vehicle protection product warrantor. A warrantor may use the
119.6term "guaranty" or similar word in the warrantor's name.
119.7 (b) A vehicle protection product seller or warrantor may not require as a condition of
119.8financing that a retail purchaser of a motor vehicle purchase a vehicle protection product.
119.9EFFECTIVE DATE.This section is effective January 1, 2008.
119.10 Sec. 30. [59C.09] RECORD KEEPING.
119.11 (a) All vehicle protection product warrantors shall keep accurate accounts, books,
119.12and records concerning transactions regulated under this chapter.
119.13 (b) A vehicle protection product warrantor's accounts, books, and records must
119.14include:
119.15 (1) copies of all vehicle protection product warranties;
119.16 (2) the name and address of each warranty holder; and
119.17 (3) the dates, amounts, and descriptions of all receipts, claims, and expenditures.
119.18 (c) A vehicle protection product warrantor shall retain all required accounts, books,
119.19and records pertaining to each warranty holder for at least two years after the specified
119.20period of coverage has expired. A warrantor discontinuing business in this state shall
119.21maintain its records until it furnishes the commissioner satisfactory proof that it has
119.22discharged all obligations to warranty holders in this state.
119.23EFFECTIVE DATE.This section is effective January 1, 2008.
119.24 Sec. 31. [59C.10] COMMISSIONER'S POWERS AND DUTIES.
119.25 Subdivision 1. Examination and compliance powers. The commissioner may
119.26conduct examinations of warrantors, administrators, or other persons to enforce this
119.27chapter and protect warranty holders in this state. Upon request of the commissioner, a
119.28warrantor shall make available to the commissioner all accounts, books, and records
119.29concerning vehicle protection products sold by the warrantor and transactions regulated
119.30under this chapter that are necessary to enable the commissioner to reasonably determine
119.31compliance or noncompliance with this chapter.
119.32 Subd. 2. Enforcement authority. The commissioner may take action that is
119.33necessary or appropriate to enforce the provisions of this chapter and the commissioner's
120.1rules and orders and to protect warranty holders in this state. The commissioner has the
120.2enforcement authority in chapter 45 available to enforce the provisions of the chapter and
120.3the rules adopted pursuant to it.
120.4EFFECTIVE DATE.This section is effective January 1, 2008.
120.5 Sec. 32. [59C.12] APPLICABILITY.
120.6 This chapter applies to all vehicle protection products sold or offered for sale on
120.7or after the effective date of this chapter. The failure of any person to comply with this
120.8chapter before its effective date is not admissible in any court proceeding, administrative
120.9proceeding, arbitration, or alternative dispute resolution proceeding and may not otherwise
120.10be used to prove that the action of any person or the affected vehicle protection product
120.11was unlawful or otherwise improper. The adoption of this chapter does not imply that
120.12a vehicle protection product warranty was insurance before the effective date of this
120.13chapter. Nothing in this section may be construed to require the application of the penalty
120.14provisions where this section is not applicable.
120.15EFFECTIVE DATE.This section is effective January 1, 2008.
120.16 Sec. 33. [60K.365] PRODUCER TRAINING REQUIREMENTS FOR
120.17LONG-TERM CARE PARTNERSHIP PROGRAM INSURANCE PRODUCTS.
120.18 (a) An individual may not sell, solicit, or negotiate long-term care insurance
120.19unless the individual is licensed as an insurance producer for accident and health or
120.20sickness insurance or life insurance and has completed an initial training course and
120.21ongoing training every 24 months thereafter. The training shall meet the requirements of
120.22paragraph (b).
120.23 (b) The initial training course required by this subdivision shall be no less than
120.24eight hours and the ongoing training courses required by this subdivision shall be no less
120.25than four hours every 24 months. The courses shall be approved by the Department of
120.26Commerce and may be approved as continuing education courses under section 60K.56.
120.27The courses shall consist of topics related to long-term care insurance, long-term care
120.28services, and, if applicable, qualified state long-term care insurance partnership programs,
120.29including but not limited to:
120.30 (1) state and federal regulations and requirements and the relationship between
120.31qualified state long-term care insurance partnership programs and other public and private
120.32coverage of long-term care services, including Medicaid;
120.33 (2) available long-term care services and providers;
121.1 (3) changes or improvements in long-term care services or providers;
121.2 (4) alternatives to the purchase of private long-term care insurance;
121.3 (5) the effect of inflation on benefits and the importance of inflation protection; and
121.4 (6) consumer suitability standards and guidelines.
121.5 The training required by this subdivision shall not include training that is insurer or
121.6company product specific or that includes any sales or marketing information, materials,
121.7or training, other than those required by state or federal law.
121.8 (c) Insurers shall obtain verification that a producer has received the training
121.9required by this subdivision before a producer is permitted to sell, solicit, or negotiate the
121.10insurer's long-term care insurance products. Insurers shall maintain records verifying
121.11that the producer has received the training contained in this subdivision and make that
121.12verification available to the commissioner upon request.
121.13 (d) Currently licensed producers must complete the initial training course by January
121.141, 2008.
121.15EFFECTIVE DATE.This section is effective the day following final enactment.
121.16 Sec. 34. Minnesota Statutes 2006, section 60K.55, subdivision 2, is amended to read:
121.17 Subd. 2. Licensing fees. (a) In addition to fees provided for examinations and the
121.18technology surcharge required under paragraph (d), each insurance producer licensed
121.19under this chapter shall pay to the commissioner a fee of:
121.20 (1) $50 for an initial life, accident and health, property, or casualty license issued to
121.21an individual insurance producer, and a fee of $50 for each renewal;
121.22 (2) $50 for an initial variable life and variable annuity license issued to an individual
121.23insurance producer, and a fee of $50 for each renewal;
121.24 (3) $50 for an initial personal lines license issued to an individual insurance
121.25producer, and a fee of $50 for each renewal;
121.26 (4) $50 for an initial limited lines license issued to an individual insurance producer,
121.27and a fee of $50 for each renewal;
121.28 (5) $200 for an initial license issued to a business entity, and a fee of $200 for each
121.29renewal; and
121.30 (6) $500 for an initial surplus lines license, and a fee of $500 for each renewal.
121.31 (b) Initial licenses issued under this chapter are valid for a period not to exceed 24
121.32months and expire on October 31 of the renewal year assigned by the commissioner.
121.33Each renewal insurance producer license is valid for a period of 24 months. Licensees
121.34who submit renewal applications postmarked or delivered on or before October 15 of the
121.35renewal year may continue to transact business whether or not the renewal license has been
122.1received by November 1. Licensees who submit applications postmarked or delivered
122.2after October 15 of the renewal year must not transact business after the expiration date
122.3of the license until the renewal license has been received.
122.4 (c) All fees are nonreturnable, except that an overpayment of any fee may be
122.5refunded upon proper application.
122.6 (d) In addition to the fees required under paragraph (a), individual insurance
122.7producers shall pay, for each initial license and renewal, a technology surcharge of up to
122.8$40 under section 45.24, unless the commissioner has adjusted the surcharge as permitted
122.9under that section.
122.10EFFECTIVE DATE.This section is effective October 1, 2007.
122.11 Sec. 35. Minnesota Statutes 2006, section 65B.44, subdivision 2, is amended to read:
122.12 Subd. 2. Medical expense benefits. (a) Medical expense benefits shall reimburse
122.13all reasonable expenses for necessary:
122.14 (1) medical, surgical, x-ray, optical, dental, chiropractic, and rehabilitative services,
122.15including prosthetic devices and items that provide relief from any injury;
122.16 (2) prescription drugs;
122.17 (3) ambulance and all other transportation expenses incurred in traveling to receive
122.18other covered medical expense benefits;
122.19 (4) sign interpreting and language translation services, other than such services
122.20provided by a family member of the patient, related to the receipt of medical, surgical,
122.21x-ray, optical, dental, chiropractic, hospital, extended care, nursing, and rehabilitative
122.22services; and
122.23 (5) hospital, extended care, and nursing services.
122.24 (b) Hospital room and board benefits may be limited, except for intensive care
122.25facilities, to the regular daily semiprivate room rates customarily charged by the institution
122.26in which the recipient of benefits is confined.
122.27 (c) Such benefits shall also include necessary remedial treatment and services
122.28recognized and permitted under the laws of this state for an injured person who relies
122.29upon spiritual means through prayer alone for healing in accordance with that person's
122.30religious beliefs.
122.31 (d) Medical expense loss includes medical expenses accrued prior to the death of a
122.32person notwithstanding the fact that benefits are paid or payable to the decedent's survivors.
122.33 (e) Medical expense benefits for rehabilitative services shall be subject to the
122.34provisions of section65B.45 .
123.1 Sec. 36. Minnesota Statutes 2006, section 65B.44, subdivision 3, is amended to read:
123.2 Subd. 3. Disability and income loss benefits. Disability and income loss benefits
123.3shall provide compensation for 85 percent of the injured person's loss of present and future
123.4gross income from inability to work proximately caused by the nonfatal injury subject
123.5to a maximum of$250 $500 per week. Loss of income includes the costs incurred by a
123.6self-employed person to hire substitute employees to perform tasks which are necessary to
123.7maintain the income of the injured person, which are normally performed by the injured
123.8person, and which cannot be performed because of the injury.
123.9 If the injured person is unemployed at the time of injury and is receiving or is
123.10eligible to receive unemployment benefits under chapter 268, but the injured person loses
123.11eligibility for those benefits because of inability to work caused by the injury, disability
123.12and income loss benefits shall provide compensation for the lost benefits in an amount
123.13equal to the unemployment benefits which otherwise would have been payable, subject to
123.14a maximum of$250 $500 per week.
123.15 Compensation under this subdivision shall be reduced by any income from substitute
123.16work actually performed by the injured person or by income the injured person would
123.17have earned in available appropriate substitute work which the injured person was capable
123.18of performing but unreasonably failed to undertake.
123.19 For the purposes of this section "inability to work" means disability which prevents
123.20the injured person from engaging in any substantial gainful occupation or employment
123.21on a regular basis, for wage or profit, for which the injured person is or may by training
123.22become reasonably qualified. If the injured person returns to employment and is unable by
123.23reason of the injury to work continuously, compensation for lost income shall be reduced
123.24by the income received while the injured person is actually able to work. The weekly
123.25maximums may not be prorated to arrive at a daily maximum, even if the injured person
123.26does not incur loss of income for a full week.
123.27 For the purposes of this section, an injured person who is "unable by reason of the
123.28injury to work continuously" includes, but is not limited to, a person who misses time
123.29from work, including reasonable travel time, and loses income, vacation, or sick leave
123.30benefits, to obtain medical treatment for an injury arising out of the maintenance or use
123.31of a motor vehicle.
123.32 Sec. 37. Minnesota Statutes 2006, section 65B.44, subdivision 4, is amended to read:
123.33 Subd. 4. Funeral and burial expenses. Funeral and burial benefits shall be
123.34reasonable expenses not in excess of$2,000 $5,000, including expenses for cremation or
123.35delivery under the Uniform Anatomical Gift Act (1987), sections525.921 to
525.9224 .
124.1 Sec. 38. Minnesota Statutes 2006, section 65B.44, subdivision 5, is amended to read:
124.2 Subd. 5. Replacement service and loss. Replacement service loss benefits shall
124.3reimburse all expenses reasonably incurred by or on behalf of the nonfatally injured
124.4person in obtaining usual and necessary substitute services in lieu of those that, had the
124.5injured person not been injured, the injured person would have performed not for income
124.6but for direct personal benefit or for the benefit of the injured person's household; if
124.7the nonfatally injured person normally, as a full time responsibility, provides care and
124.8maintenance of a home with or without children, the benefit to be provided under this
124.9subdivision shall be the reasonable value of such care and maintenance or the reasonable
124.10expenses incurred in obtaining usual and necessary substitute care and maintenance of
124.11the home, whichever is greater. These benefits shall be subject to a maximum of$200
124.12$600 per week. All replacement services loss sustained on the date of injury and the first
124.13seven days thereafter is excluded in calculating replacement services loss.
124.14 Sec. 39. Minnesota Statutes 2006, section 65B.47, subdivision 7, is amended to read:
124.15 Subd. 7. Adding policies together. Unless a policyholder makes a specific election
124.16not to have two or more policies added together the limit of liability for basic economic
124.17loss benefits for two or more motor vehiclesmay not must be added together to determine
124.18the limit of insurance coverage available to an injured person for any one accident. An
124.19insurer shall notify policyholders that they may elect not to have two or more policies
124.20added together.
124.21 Sec. 40. Minnesota Statutes 2006, section 65B.54, subdivision 1, is amended to read:
124.22 Subdivision 1. Payment of basic economic loss benefits. Basic economic loss
124.23benefits are payable monthly as loss accrues. Loss accrues not when injury occurs, but as
124.24income loss, replacement services loss, survivor's economic loss, survivor's replacement
124.25services loss, or medical or funeral expense is incurred. Benefits are overdue if not
124.26paid within 30 days after the reparation obligor receives reasonable proof of the fact
124.27and amount of loss realized, unless the reparation obligor elects to accumulate claims
124.28for periods not exceeding 31 days and pays them within 15 days after the period of
124.29accumulation. However, if the insurer notifies the insured that it is denying benefits, the
124.30insured need not continue to provide the insurer with proof of the bills, losses, or expenses.
124.31If reasonable proof is supplied as to only part of a claim, and the part totals $100 or more,
124.32the part is overdue if not paid within the time provided by this section. Medical or funeral
124.33expense benefits may be paid by the reparation obligor directly to persons supplying
124.34products, services, or accommodations to the claimant.
125.1 Sec. 41. Minnesota Statutes 2006, section 65B.54, is amended by adding a subdivision
125.2to read:
125.3 Subd. 6. Unethical practices. (a) A licensed health care provider shall not initiate
125.4direct contact, in person, over the telephone, or by other electronic means, with any person
125.5who has suffered an injury arising out of the maintenance or use of an automobile, for the
125.6purpose of influencing that person to receive treatment or to purchase any good or item
125.7from the licensee or anyone associated with the licensee. This subdivision prohibits such
125.8direct contact whether initiated by the licensee individually or on behalf of the licensee by
125.9any employee, independent contractor, agent, or third party. This subdivision does not
125.10apply when an injured person voluntarily initiates contact with a licensee.
125.11 (b) This subdivision does not prohibit licensees from mailing advertising literature
125.12directly to such persons, so long as:
125.13 (1) the word "ADVERTISEMENT" appears clearly and conspicuously at the
125.14beginning of the written materials;
125.15 (2) the name of the individual licensee appears clearly and conspicuously within
125.16the written materials;
125.17 (3) the licensee is clearly identified as a licensed health care provider within the
125.18written materials; and
125.19 (4) the licensee does not initiate, individually or through any employee, independent
125.20contractor, agent, or third party, direct contact with the person after the written materials
125.21are sent.
125.22 (c) This subdivision does not apply to:
125.23 (1) advertising that does not involve direct contact with specific prospective patients,
125.24in public media such as telephone directories, professional directories, ads in newspapers
125.25and other periodicals, radio or television ads, Web sites, billboards, or similar media; or
125.26 (2) general marketing practices such as giving lectures; participating in special
125.27events, trade shows, or meetings of organizations; or making presentations relative to
125.28the benefits of chiropractic treatment; or
125.29 (3) contact with friends or relatives, or statements made in a social setting.
125.30 (d) A violation of this subdivision is grounds for the licensing authority to take
125.31disciplinary action against the licensee, including revocation in appropriate cases.
125.32 Sec. 42. Minnesota Statutes 2006, section 80A.28, subdivision 1, is amended to read:
125.33 Subdivision 1. Registration or notice filing fee. (a) There shall be a filing fee of
125.34$100 for every application for registration or notice filing. There shall be an additional fee
126.1of one-tenth of one percent of the maximum aggregate offering price at which the securities
126.2are to be offered in this state, and the maximum combined fees shall not exceed $300.
126.3 (b) When an application for registration is withdrawn before the effective date or a
126.4preeffective stop order is entered under section80A.13, subdivision 1 , all but the $100
126.5filing fee shall be returned. If an application to register securities is denied, the total of all
126.6fees received shall be retained.
126.7 (c) Where a filing is made in connection with a federal covered security under
126.8section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
126.9If the filing is made in connection with redeemable securities issued by an open end
126.10management company or unit investment trust, as defined in the Investment Company Act
126.11of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate
126.12offering price at which the securities are to be offered in this state during the notice filing
126.13period. The fee must be paid at the time of the initial filing and thereafter in connection
126.14with each renewal no later than July 1 of each year and must be sufficient to cover the
126.15shares the issuer expects to sell in this state over the next 12 months. If during a current
126.16notice filing the issuer determines it is likely to sell shares in excess of the shares for
126.17which fees have been paid to the commissioner, the issuer shall submit an amended notice
126.18filing to the commissioner under section80A.122, subdivision 1 , clause (3), together with
126.19a fee of 1/20 of one percent of the maximum aggregate offering price of the additional
126.20shares. Shares for which a fee has been paid, but which have not been sold at the time
126.21of expiration of the notice filing, may not be sold unless an additional fee to cover the
126.22shares has been paid to the commissioner as provided in this section and section80A.122,
126.23subdivision 4a . If the filing is made in connection with redeemable securities issued by
126.24such a company or trust, there is no maximum fee for securities filings made according to
126.25this paragraph. If the filing is made in connection with any other federal covered security
126.26under Section 18(b)(2) of the Securities Act of 1933, there is an additional fee of one-tenth
126.27of one percent of the maximum aggregate offering price at which the securities are to be
126.28offered in this state, and the combined fees shall not exceed $300. Beginning with fiscal
126.29year 2001 and continuing each fiscal year thereafter, as of the last day of each fiscal year,
126.30the commissioner shall determine the total amount of all fees that were collected under
126.31this paragraph in connection with any filings made for that fiscal year for securities of an
126.32open-end investment company on behalf of a security that is a federal covered security
126.33pursuant to section 18(b)(2) of the Securities Act of 1933.To the extent the total fees
126.34collected by the commissioner in connection with these filings exceed $25,000,000 in a
126.35fiscal year, the commissioner shall refund, on a pro rata basis, to all persons who paid any
127.1fees for that fiscal year, the amount of fees collected by the commissioner in excess of
127.2$25,000,000. No individual refund is required of amounts of $100 or less for a fiscal year.
127.3 Sec. 43. Minnesota Statutes 2006, section 80A.65, subdivision 1, is amended to read:
127.4 Subdivision 1. Registration or notice filing fee. (a) There shall be a filing fee of
127.5$100 for every application for registration or notice filing. There shall be an additional fee
127.6of one-tenth of one percent of the maximum aggregate offering price at which the securities
127.7are to be offered in this state, and the maximum combined fees shall not exceed $300.
127.8 (b) When an application for registration is withdrawn before the effective date
127.9or a preeffective stop order is entered under section 80A.54, all but the $100 filing fee
127.10shall be returned. If an application to register securities is denied, the total of all fees
127.11received shall be retained.
127.12 (c) Where a filing is made in connection with a federal covered security under
127.13section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
127.14If the filing is made in connection with redeemable securities issued by an open end
127.15management company or unit investment trust, as defined in the Investment Company Act
127.16of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate
127.17offering price at which the securities are to be offered in this state during the notice filing
127.18period. The fee must be paid at the time of the initial filing and thereafter in connection
127.19with each renewal no later than July 1 of each year and must be sufficient to cover the
127.20shares the issuer expects to sell in this state over the next 12 months. If during a current
127.21notice filing the issuer determines it is likely to sell shares in excess of the shares for which
127.22fees have been paid to the administrator, the issuer shall submit an amended notice filing
127.23to the administrator under section 80A.50, together with a fee of 1/20 of one percent of the
127.24maximum aggregate offering price of the additional shares. Shares for which a fee has
127.25been paid, but which have not been sold at the time of expiration of the notice filing, may
127.26not be sold unless an additional fee to cover the shares has been paid to the administrator
127.27as provided in this section and section 80A.50. If the filing is made in connection with
127.28redeemable securities issued by such a company or trust, there is no maximum fee for
127.29securities filings made according to this paragraph. If the filing is made in connection
127.30with any other federal covered security under Section 18(b)(2) of the Securities Act of
127.311933, there is an additional fee of one-tenth of one percent of the maximum aggregate
127.32offering price at which the securities are to be offered in this state, and the combined fees
127.33shall not exceed $300.Beginning with fiscal year 2001 and continuing each fiscal year
127.34thereafter, as of the last day of each fiscal year, the administrator shall determine the total
127.35amount of all fees that were collected under this paragraph in connection with any filings
128.1made for that fiscal year for securities of an open-end investment company on behalf of a
128.2security that is a federal covered security pursuant to section 18(b)(2) of the Securities
128.3Act of 1933. To the extent the total fees collected by the administrator in connection
128.4with these filings exceed $25,000,000 in a fiscal year, the administrator shall refund, on
128.5a pro rata basis, to all persons who paid any fees for that fiscal year, the amount of fees
128.6collected by the administrator in excess of $25,000,000. No individual refund is required
128.7of amounts of $100 or less for a fiscal year.
128.8 Sec. 44. Minnesota Statutes 2006, section 82.24, subdivision 1, is amended to read:
128.9 Subdivision 1. Amounts. The following fees shall be paid to the commissioner:
128.10 (a) a fee of $150 for each initial individual broker's license, and a fee of $100 for
128.11each renewal thereof;
128.12 (b) a fee of $70 for each initial salesperson's license, and a fee of $40 for each
128.13renewal thereof;
128.14 (c) a fee of $85 for each initial real estate closing agent license, and a fee of $60
128.15for each renewal thereof;
128.16 (d) a fee of $150 for each initial corporate, limited liability company, or partnership
128.17license, and a fee of $100 for each renewal thereof;
128.18 (e) a fee for payment to the education, research and recovery fund in accordance
128.19with section82.43 ;
128.20 (f) a fee of $20 for each transfer;
128.21 (g) a fee of $50 for license reinstatement;and
128.22 (h) a fee of $20 for reactivating a corporate, limited liability company, or partnership
128.23license without land; and
128.24 (i) in addition to the fees required under this subdivision, individual licensees under
128.25clauses (a) and (b) shall pay, for each initial license and renewal, a technology surcharge
128.26of up to $40 under section 45.24, unless the commissioner has adjusted the surcharge
128.27as permitted under that section.
128.28EFFECTIVE DATE.This section is effective the day following final enactment.
128.29 Sec. 45. Minnesota Statutes 2006, section 82.24, subdivision 4, is amended to read:
128.30 Subd. 4. Deposit of fees. Unless otherwise provided by this chapter, all fees
128.31collected under this chapter shall be deposited in the state treasury. The technology
128.32surcharge shall be deposited as required under section 45.24.
128.33EFFECTIVE DATE.This section is effective the day following final enactment.
129.1 Sec. 46. Minnesota Statutes 2006, section 82B.09, subdivision 1, is amended to read:
129.2 Subdivision 1. Amounts. (a) The following fees must be paid to the commissioner:
129.3 (1) $150 for each initial individual real estate appraiser's license; and
129.4 (2) $100 for each renewal.
129.5 (b) In addition to the fees required under this subdivision, individual real estate
129.6appraisers shall pay a technology surcharge of up to $40 under section 45.24, unless the
129.7commissioner has adjusted the surcharge as permitted under that section.
129.8EFFECTIVE DATE.This section is effective the day following final enactment.
129.9 Sec. 47. Minnesota Statutes 2006, section 118A.03, subdivision 2, is amended to read:
129.10 Subd. 2. In lieu of surety bond. The following are the allowable forms of collateral
129.11in lieu of a corporate surety bond:
129.12 (1) United States government Treasury bills, Treasury notes, Treasury bonds;
129.13 (2) issues of United States government agencies and instrumentalities as quoted by a
129.14recognized industry quotation service available to the government entity;
129.15 (3) general obligation securities of any state or local government with taxing powers
129.16which is rated "A" or better by a national bond rating service, or revenue obligation
129.17securities of any state or local government with taxing powers which is rated "AA" or
129.18better by a national bond rating service;
129.19 (4)unrated general obligation securities of a local government with taxing powers
129.20may be pledged as collateral against funds deposited by that same local government entity;
129.21 (5) irrevocable standby letters of credit issued by Federal Home Loan Banks to a
129.22municipality accompanied by written evidence that the bank's public debt is rated "AA" or
129.23better by Moody's Investors Service, Inc., or Standard & Poor's Corporation; and
129.24 (6) time deposits that are fully insured by any federal agency.
129.25 Sec. 48. Minnesota Statutes 2006, section 148.102, is amended by adding a subdivision
129.26to read:
129.27 Subd. 3a. Reparation obligors. A reparation obligor as defined in section 65B.43,
129.28subdivision 9, may submit any relevant information to the board in any case in which
129.29the reparation obligor has reason to believe that charges being billed by a licensee are
129.30fraudulent, unreasonable, or inconsistent with treatment actually received by the injured
129.31party involved.
129.32 A reparation obligor that makes a report under this section shall provide the board
129.33with any additional information, related to the reported activities, requested by the board.
130.1 Sec. 49. Minnesota Statutes 2006, section 239.101, subdivision 3, is amended to read:
130.2 Subd. 3. Petroleum inspection fee. (a) An inspection fee is imposed (1) on
130.3petroleum products when received by the first licensed distributor, and (2) on petroleum
130.4products received and held for sale or use by any person when the petroleum products
130.5have not previously been received by a licensed distributor. The petroleum inspection
130.6fee is $1 for every 1,000 gallons received. The commissioner of revenue shall collect
130.7the fee. The revenue from 81 cents of the fee is appropriated to the commissioner of
130.8commerce for the cost of operations of the Division of Weights and Measures, petroleum
130.9supply monitoring, andthe oil burner retrofit program to make grants to providers of
130.10low-income weatherization services to install renewable energy equipment in households
130.11that are eligible for weatherization assistance under Minnesota's weatherization assistance
130.12program state plan. The remainder of the fee must be deposited in the general fund.
130.13 (b) The commissioner of revenue shall credit a person for inspection fees previously
130.14paid in error or for any material exported or sold for export from the state upon filing of a
130.15report as prescribed by the commissioner of revenue.
130.16 (c) The commissioner of revenue may collect the inspection fee along with any
130.17taxes due under chapter 296A.
130.18 Sec. 50. [325E.027] DISCRIMINATION PROHIBITION.
130.19 (a) No dealer or distributor of liquid propane gas or number 1 or number 2 fuel oil
130.20who has signed a low-income home energy assistance program vendor agreement with the
130.21department of commerce may refuse to deliver liquid propane gas or number 1 or number
130.222 fuel oil to any person located within the dealer's or distributor's normal delivery area
130.23who receives direct grants under the low-income home energy assistance program if:
130.24 (1) the person has requested delivery;
130.25 (2) the dealer or distributor has product available;
130.26 (3) the person requesting delivery is capable of making full payment at the time of
130.27delivery; and
130.28 (4) the person is not in arrears regarding any previous fuel purchase from that dealer
130.29or distributor.
130.30 (b) A dealer or distributor making delivery to a person receiving direct grants
130.31under the low-income home energy assistance program may not charge that person any
130.32additional costs or fees that would not be charged to any other customer and must make
130.33available to that person any discount program on the same basis as the dealer or distributor
130.34makes available to any other customer.
131.1 Sec. 51. Minnesota Statutes 2006, section 325E.311, subdivision 6, is amended to read:
131.2 Subd. 6. Telephone solicitation. "Telephone solicitation" means any voice
131.3communication over a telephone line for the purpose of encouraging the purchase or
131.4rental of, or investment in, property, goods, or services, whether the communication is
131.5made by a live operator, through the use of an automatic dialing-announcing device as
131.6defined in section325E.26, subdivision 2 , or by other means. Telephone solicitation
131.7does not include communications:
131.8 (1) to any residential subscriber with that subscriber's prior express invitation or
131.9permission; or
131.10 (2) by or on behalf of any person or entity with whom a residential subscriber has a
131.11prior or current business or personal relationship.
131.12Telephone solicitation also does not include communications if the caller is identified by a
131.13caller identification service and the call is:
131.14 (i) by or on behalf of an organization that is identified as a nonprofit organization
131.15under state or federal law, unless the organization is a debt management services provider
131.16defined in section 332A.02;
131.17 (ii) by a person soliciting without the intent to complete, and who does not in
131.18fact complete, the sales presentation during the call, but who will complete the sales
131.19presentation at a later face-to-face meeting between the solicitor who makes the call
131.20and the prospective purchaser; or
131.21 (iii) by a political party as defined under section200.02, subdivision 6 .
131.22EFFECTIVE DATE.This section is effective January 1, 2008.
131.23 Sec. 52. Minnesota Statutes 2006, section 325N.01, is amended to read:
131.24325N.01 DEFINITIONS.
131.25 The definitions in paragraphs (a) to (h) apply to sections325N.01 to
325N.09 .
131.26 (a) "Foreclosure consultant" means any person who, directly or indirectly, makes
131.27any solicitation, representation, or offer to any owner to perform for compensation or
131.28who, for compensation, performs any service which the person in any manner represents
131.29will in any manner do any of the following:
131.30 (1) stop or postpone the foreclosure sale;
131.31 (2) obtain any forbearance from any beneficiary or mortgagee;
131.32 (3) assist the owner to exercise the right of reinstatement provided in section580.30 ;
131.33 (4) obtain any extension of the period within which the owner may reinstate the
131.34owner's obligation;
132.1 (5) obtain any waiver of an acceleration clause contained in any promissory note or
132.2contract secured by a mortgage on a residence in foreclosure or contained in the mortgage;
132.3 (6) assist the owner in foreclosure or loan default to obtain a loan or advance
132.4of funds;
132.5 (7) avoid or ameliorate the impairment of the owner's credit resulting from the
132.6recording of a notice of default or the conduct of a foreclosure sale; or
132.7 (8) save the owner's residence from foreclosure.
132.8 (b) A foreclosure consultant does not include any of the following:
132.9 (1) a person licensed to practice law in this state when the person renders service
132.10in the course of his or her practice as an attorney-at-law;
132.11 (2) a person licensed as a debtprorater under sections
332.12 to
332.29
132.12services provider under chapter 332A, when the person is acting as a debtprorater
132.13management services provider as defined inthese sections that chapter;
132.14 (3) a person licensed as a real estate broker or salesperson under chapter 82 when the
132.15person engages in acts whose performance requires licensure under that chapter unless the
132.16person is engaged in offering services designed to, or purportedly designed to, enable the
132.17owner to retain possession of the residence in foreclosure;
132.18 (4) a person licensed as an accountant under chapter 326A when the person is acting
132.19in any capacity for which the person is licensed under those provisions;
132.20 (5) a person or the person's authorized agent acting under the express authority
132.21or written approval of the Department of Housing and Urban Development or other
132.22department or agency of the United States or this state to provide services;
132.23 (6) a person who holds or is owed an obligation secured by a lien on any residence
132.24in foreclosure when the person performs services in connection with this obligation or lien
132.25if the obligation or lien did not arise as the result of or as part of a proposed foreclosure
132.26reconveyance;
132.27 (7) any person or entity doing business under any law of this state, or of the United
132.28States relating to banks, trust companies, savings and loan associations, industrial loan and
132.29thrift companies, regulated lenders, credit unions, insurance companies, or a mortgagee
132.30which is a United States Department of Housing and Urban Development approved
132.31mortgagee and any subsidiary or affiliate of these persons or entities, and any agent or
132.32employee of these persons or entities while engaged in the business of these persons
132.33or entities;
132.34 (8) a person licensed as a residential mortgage originator or servicer pursuant to
132.35chapter 58, when acting under the authority of that license or a foreclosure purchaser as
132.36defined in section325N.10 ;
133.1 (9) a nonprofit agency or organization that offers counseling or advice to an owner
133.2of a home in foreclosure or loan default if they do not contract for services with for-profit
133.3lenders or foreclosure purchasers; and
133.4 (10) a judgment creditor of the owner, to the extent that the judgment creditor's claim
133.5accrued prior to the personal service of the foreclosure notice required by section580.03 ,
133.6but excluding a person who purchased the claim after such personal service.
133.7 (c) "Foreclosure reconveyance" means a transaction involving:
133.8 (1) the transfer of title to real property by a foreclosed homeowner during a
133.9foreclosure proceeding, either by transfer of interest from the foreclosed homeowner or
133.10by creation of a mortgage or other lien or encumbrance during the foreclosure process
133.11that allows the acquirer to obtain title to the property by redeeming the property as
133.12a junior lienholder; and
133.13 (2) the subsequent conveyance, or promise of a subsequent conveyance, of an interest
133.14back to the foreclosed homeowner by the acquirer or a person acting in participation with
133.15the acquirer that allows the foreclosed homeowner to possess the real property following
133.16the completion of the foreclosure proceeding, which interest includes, but is not limited to,
133.17an interest in a contract for deed, purchase agreement, option to purchase, or lease.
133.18 (d) "Person" means any individual, partnership, corporation, limited liability
133.19company, association, or other group, however organized.
133.20 (e) "Service" means and includes, but is not limited to, any of the following:
133.21 (1) debt, budget, or financial counseling of any type;
133.22 (2) receiving money for the purpose of distributing it to creditors in payment or
133.23partial payment of any obligation secured by a lien on a residence in foreclosure;
133.24 (3) contacting creditors on behalf of an owner of a residence in foreclosure;
133.25 (4) arranging or attempting to arrange for an extension of the period within which
133.26the owner of a residence in foreclosure may cure the owner's default and reinstate his or
133.27her obligation pursuant to section580.30 ;
133.28 (5) arranging or attempting to arrange for any delay or postponement of the time of
133.29sale of the residence in foreclosure;
133.30 (6) advising the filing of any document or assisting in any manner in the preparation
133.31of any document for filing with any bankruptcy court; or
133.32 (7) giving any advice, explanation, or instruction to an owner of a residence in
133.33foreclosure, which in any manner relates to the cure of a default in or the reinstatement
133.34of an obligation secured by a lien on the residence in foreclosure, the full satisfaction of
133.35that obligation, or the postponement or avoidance of a sale of a residence in foreclosure,
133.36pursuant to a power of sale contained in any mortgage.
134.1 (f) "Residence in foreclosure" means residential real property consisting of one to
134.2four family dwelling units, one of which the owner occupies as his or her principal place
134.3of residence, and against which there is an outstanding notice of pendency of foreclosure,
134.4recorded pursuant to section580.032 , or against which a summons and complaint has
134.5been served under chapter 581.
134.6 (g) "Owner" means the record owner of the residential real property in foreclosure at
134.7the time the notice of pendency was recorded, or the summons and complaint served.
134.8 (h) "Contract" means any agreement, or any term in any agreement, between
134.9a foreclosure consultant and an owner for the rendition of any service as defined in
134.10paragraph (e).
134.11EFFECTIVE DATE.This section is effective January 1, 2008.
134.12 Sec. 53. Minnesota Statutes 2006, section 332.54, subdivision 7, is amended to read:
134.13 Subd. 7. Fees. The fee for a credit services organization's registration is$100
134.14$1,000 for issuance or renewal for each location of business.
134.15EFFECTIVE DATE; APPLICATION.This section is effective July 1, 2007, and
134.16applies to registrations issued or renewed on or after that date.
134.17 Sec. 54. [332A.02] DEFINITIONS.
134.18 Subdivision 1. Scope. Unless a different meaning is clearly indicated by the context,
134.19for the purposes of this chapter the terms defined in this section have the meanings given
134.20them.
134.21 Subd. 2. Accreditation. "Accreditation" means certification as an accredited
134.22credit counseling provider by the International Standards Organization or the Council on
134.23Accreditation.
134.24 Subd. 3. Attorney general. "Attorney general" means the attorney general of the
134.25state of Minnesota.
134.26 Subd. 4. Commissioner. "Commissioner" means commissioner of commerce.
134.27 Subd. 5. Controlling or affiliated party. "Controlling or affiliated party" means
134.28any person directly or indirectly controlling, controlled by, or under common control
134.29with another person.
134.30 Subd. 6. Debt management services agreement. "Debt management services
134.31agreement" means the written contract between the debt management services provider
134.32and the debtor.
135.1 Subd. 7. Debt management services plan. "Debt management services plan"
135.2means the debtor's individualized package of debt management services set forth in the
135.3debt management services agreement.
135.4 Subd. 8. Debt management services provider. "Debt management services
135.5provider" means any person offering or providing debt management services to a debtor
135.6domiciled in this state, regardless of whether or not a fee is charged for the services and
135.7regardless of whether the person maintains a physical presence in the state. This term does
135.8not include services performed by the following when engaged in the regular course of
135.9their respective businesses and professions:
135.10 (1) attorneys at law, escrow agents, accountants, broker-dealers in securities;
135.11 (2) state or national banks, trust companies, savings associations, title insurance
135.12companies, insurance companies, and all other lending institutions duly authorized to
135.13transact business in Minnesota, provided no fee is charged for the service;
135.14 (3) persons who, as employees on a regular salary or wage of an employer not
135.15engaged in the business of debt management, perform credit services for their employer;
135.16 (4) public officers acting in their official capacities and persons acting as a debt
135.17management services provider pursuant to court order;
135.18 (5) any person while performing services incidental to the dissolution, winding up,
135.19or liquidation of a partnership, corporation, or other business enterprise;
135.20 (6) the state, its political subdivisions, public agencies, and their employees;
135.21 (7) credit unions and collection agencies, provided no fee is charged for the service;
135.22 (8) "qualified organizations" designated as representative payees for purposes of the
135.23Social Security and Supplemental Security Income Representative Payee System and the
135.24federal Omnibus Budget Reconciliation Act of 1990, Public Law 101-508; and
135.25 (9) accelerated mortgage payment providers. "Accelerated mortgage payment
135.26providers" are persons who, after satisfying the requirements of sections 332.30 to
135.27332.303, receive funds to make mortgage payments to a lender or lenders, on behalf
135.28of mortgagors, in order to exceed regularly scheduled minimum payment obligations
135.29under the terms of the indebtedness. The term does not include: (i) persons or entities
135.30described in clauses (1) to (8); (ii) mortgage lenders or servicers, industrial loan and
135.31thrift companies, or regulated lenders under chapter 56; or (iii) persons authorized to
135.32make loans under section 47.20, subdivision 1. For purposes of this clause and sections
135.33332.30 to 332.303, "lender" means the original lender or that lender's assignee, whichever
135.34is the current mortgage holder.
135.35 Subd. 9. Debt management services. "Debt management services" means the
135.36provision of any one or more of the following:
136.1 (1) managing the financial affairs of an individual by distributing income or money
136.2to the individual's creditors;
136.3 (2) receiving funds for the purpose of distributing the funds among creditors in
136.4payment or partial payment of obligations of a debtor; or
136.5 (3) settling, adjusting, prorating, pooling, or liquidating the indebtedness of a debtor.
136.6Any person so engaged or holding out as so engaged is deemed to be engaged in the
136.7provision of debt management services regardless of whether or not a fee is charged for
136.8such services.
136.9 Subd. 10. Debtor. "Debtor" means the person for whom the debt prorating service
136.10is performed.
136.11 Subd. 11. Person. "Person" means any individual, firm, partnership, association,
136.12or corporation.
136.13 Subd. 12. Registrant. "Registrant" means any person registered by the
136.14commissioner pursuant to this chapter and, where used in conjunction with an act or
136.15omission required or prohibited by this chapter, shall mean any person performing debt
136.16management services.
136.17EFFECTIVE DATE.This section is effective January 1, 2008.
136.18 Sec. 55. [332A.03] REQUIREMENT OF REGISTRATION.
136.19 On or after August 1, 2007, it is unlawful for any person, whether or not located in
136.20this state, to operate as a debt management services provider or provide debt management
136.21services, including but not limited to offering, advertising, or executing or causing to
136.22be executed any debt management services or debt management services agreement,
136.23except as authorized by law without first becoming registered as provided in this
136.24chapter. A person who possesses a valid license as a debt prorater that was issued by the
136.25commissioner before August 1, 2007, is deemed to be registered as a debt management
136.26services provider until the date the debt prorater license expires, at which time the licensee
136.27must obtain a renewal as a debt management services provider in compliance with this
136.28chapter. Debt proraters who were not required to be licensed as debt proraters before
136.29August 1, 2007, may continue to provide debt management services without complying
136.30with this chapter to those debtors who entered into a contract to participate in a debt
136.31management plan before August 1, 2007, except that the debt prorater must comply with
136.32section 332A.13, subdivision 2.
136.33EFFECTIVE DATE.This section is effective January 1, 2008.
137.1 Sec. 56. [332A.04] REGISTRATION.
137.2 Subdivision 1. Form. Application for registration to operate as a debt management
137.3services provider in this state must be made in writing to the commissioner, under oath, in
137.4the form prescribed by the commissioner, and must contain:
137.5 (1) the full name of each principal of the entity applying;
137.6 (2) the address, which must not be a post office box, and the telephone number and,
137.7if applicable, e-mail address, of the applicant;
137.8 (3) identification of the trust account required under section 332A.13;
137.9 (4) consent to the jurisdiction of the courts of this state;
137.10 (5) the name and address of the registered agent authorized to accept service of
137.11process on behalf of the applicant or appointment of the commissioner as the applicant's
137.12agent for purposes of accepting service of process;
137.13 (6) disclosure of:
137.14 (i) whether any controlling or affiliated party has ever been convicted of a crime
137.15or found civilly liable for an offense involving moral turpitude, including forgery,
137.16embezzlement, obtaining money under false pretenses, larceny, extortion, conspiracy to
137.17defraud, or any other similar offense or violation, or any violation of a federal or state law
137.18or regulation in connection with activities relating to the rendition of debt management
137.19services or involving any consumer fraud, false advertising, deceptive trade practices, or
137.20similar consumer protection law;
137.21 (ii) any judgments, private or public litigation, tax liens, written complaints,
137.22administrative actions, or investigations by any government agency against the applicant
137.23or any officer, director, manager, or shareholder owning more than five percent interest
137.24in the applicant, unresolved or otherwise, filed or otherwise commenced within the
137.25preceding ten years;
137.26 (iii) whether the applicant or any person employed by the applicant has had a record
137.27of having defaulted in the payment of money collected for others, including the discharge
137.28of debts through bankruptcy proceedings; and
137.29 (iv) whether the applicant's license or registration to provide debt management
137.30services in any other state has ever been revoked or suspended;
137.31 (7) a copy of the applicant's standard debt management services agreement that the
137.32applicant intends to execute with debtors;
137.33 (8) proof of accreditation of:
137.34 (i) the debt management services provider; and
137.35 (ii) all individuals employed by, under contract with, or otherwise agents of the
137.36provider who offer to provide or provide debt management services; and
138.1 (9) any other information and material as the commissioner may require.
138.2 Subd. 2. Term and scope of registration. The registration must remain in full
138.3force and effect for one calendar year or until it is surrendered by the licensee or revoked
138.4or suspended by the commissioner. The registration is limited solely to the business
138.5of providing debt management services.
138.6 Subd. 3. Fees. The registration application must be accompanied by payment of
138.7$1,000 as a registration fee.
138.8 Subd. 4. Bond. The registration application must be accompanied by payment of
138.9the premium for a surety bond in which the applicant shall be the obligor, in a sum to be
138.10determined by the commissioner but not less than $5,000, and in which an insurance
138.11company, which is duly authorized by the state of Minnesota to transact the business of
138.12fidelity and surety insurance, shall be a surety. However, the commissioner may accept
138.13a deposit in cash, or securities that may legally be purchased by savings banks or for
138.14trust funds of an aggregate market value equal to the bond requirement, in lieu of the
138.15surety bond. The cash or securities must be deposited with the commissioner of finance.
138.16The commissioner may also require a fidelity bond in an appropriate amount covering
138.17employees of any applicant. Each branch office or additional place of business of an
138.18applicant must be bonded as provided in this subdivision. In determining the bond amount
138.19necessary for the maintenance of any office, whether it is a surety bond, fidelity bond, or
138.20both, the commissioner shall consider the financial responsibility, experience, character,
138.21and general fitness of the debt management services provider and its operators and owners;
138.22the volume of business handled or proposed to be handled; the location of the office
138.23and the geographical area served or proposed to be served; and other information the
138.24commissioner may deem pertinent based upon past performance, previous examinations,
138.25annual reports, and manner of business conducted in other states.
138.26 Subd. 5. Condition of bond. The bond must run to the state of Minnesota for the
138.27use of the state and of any person or persons who may have a cause of action against the
138.28obligor arising out of the obligor's activities as a debt management services provider to
138.29a debtor domiciled in this state. The bond must be conditioned that the obligor will not
138.30commit any fraudulent act and will faithfully conform to and abide by the provisions of
138.31this chapter and of all rules lawfully made by the commissioner under this chapter and
138.32pay to the state and to any such person or persons any and all money that may become
138.33due or owing to the state or to such person or persons from the obligor under and by
138.34virtue of this chapter.
138.35 Subd. 6. Right of action on bond. If the registrant has failed to account to a debtor
138.36or distribute to the debtor's creditors the amounts required by this chapter and the debt
139.1management services agreement between the debtor and registrant, the debtor or the
139.2debtor's legal representative or receiver, the commissioner, or the attorney general, shall
139.3have, in addition to all other legal remedies, a right of action in the name of the debtor
139.4on the bond or the security given under this section, for loss suffered by the debtor, not
139.5exceeding the face amount of the bond or security, and without the necessity of joining
139.6the registrant in the suit or action.
139.7 Subd. 7. Registrant list. The commissioner must maintain a list of registered debt
139.8management services providers. The list must be made available to the public in written
139.9form upon request and on the Department of Commerce Web site.
139.10EFFECTIVE DATE.This section is effective January 1, 2008.
139.11 Sec. 57. [332A.05] NONASSIGNMENT OF REGISTRATION.
139.12 A registration must not be transferred or assigned without the consent of the
139.13commissioner.
139.14EFFECTIVE DATE.This section is effective January 1, 2008.
139.15 Sec. 58. [332A.06] RENEWAL OF REGISTRATION.
139.16 Each year, each registrant under the provisions of this chapter must, not more than
139.1760 nor less than 30 days before its registration is to expire, apply to the commissioner for
139.18renewal of its registration on a form prescribed by the commissioner. The application must
139.19be signed by the registrant under penalty of perjury, contain current information on all
139.20matters required in the original application, and be accompanied by a payment of $250.
139.21The registrant must maintain a continuous surety bond that satisfies the requirements of
139.22section 332A.04, subdivision 4, provided that the commissioner may require a different
139.23amount that is at least equal to the largest amount that has accrued in the registrant's trust
139.24account during the previous year. The renewal is effective for one year.
139.25EFFECTIVE DATE.This section is effective January 1, 2008.
139.26 Sec. 59. [332A.07] OTHER DUTIES OF REGISTRANT.
139.27 Subdivision 1. Requirement to update information. A registrant must update any
139.28information required by this chapter provided in its original or renewal application not
139.29later than 90 days after the date the events precipitating the update occurred.
139.30 Subd. 2. Inspection of debtor of registration. Each registrant must maintain a
139.31copy of its registration in its files. The registrant must allow a debtor, upon request, to
139.32inspect the registration.
140.1EFFECTIVE DATE.This section is effective January 1, 2008.
140.2 Sec. 60. [332A.08] DENIAL OF REGISTRATION.
140.3 The commissioner, with notice to the applicant by certified mail sent to the address
140.4listed on the application, may deny an application for a registration upon finding that
140.5the applicant:
140.6 (1) has submitted an application required under section 332A.04 that contains
140.7incorrect, misleading, incomplete, or materially untrue information. An application is
140.8incomplete if it does not include all the information required in section 332A.04;
140.9 (2) has failed to pay any fee or pay or maintain any bond required by this chapter,
140.10or failed to comply with any order, decision, or finding of the commissioner made under
140.11and within the authority of this chapter;
140.12 (3) has violated any provision of this chapter or any rule or direction lawfully made
140.13by the commissioner under and within the authority of this chapter;
140.14 (4) or any controlling or affiliated party has ever been convicted of a crime or found
140.15civilly liable for an offense involving moral turpitude, including forgery, embezzlement,
140.16obtaining money under false pretenses, larceny, extortion, conspiracy to defraud, or any
140.17other similar offense or violation, or any violation of a federal or state law or regulation
140.18in connection with activities relating to the rendition of debt management services or
140.19any consumer fraud, false advertising, deceptive trade practices, or similar consumer
140.20protection law;
140.21 (5) has had a registration or license previously revoked or suspended in this state or
140.22any other state or the applicant or licensee has been permanently or temporarily enjoined
140.23by any court of competent jurisdiction from engaging in or continuing any conduct or
140.24practice involving any aspect of the debt management services provider business; or
140.25any controlling or affiliated party has been an officer, director, manager, or shareholder
140.26owning more than a ten percent interest in a debt management services provider whose
140.27registration has previously been revoked or suspended in this state or any other state, or
140.28who has been permanently or temporarily enjoined by any court of competent jurisdiction
140.29from engaging in or continuing any conduct or practice involving any aspect of the debt
140.30management services provider business;
140.31 (6) has made any false statement or representation to the commissioner;
140.32 (7) is insolvent;
140.33 (8) refuses to fully comply with an investigation or examination of the debt
140.34management services provider by the commissioner;
141.1 (9) has improperly withheld, misappropriated, or converted any money or properties
141.2received in the course of doing business;
141.3 (10) has failed to have a trust account with an actual cash balance equal to or greater
141.4than the sum of the escrow balances of each debtor's account;
141.5 (11) has defaulted in making payments to creditors on behalf of debtors as required
141.6by agreements between the provider and debtor; or
141.7 (12) has used fraudulent, coercive, or dishonest practices, or demonstrated
141.8incompetence, untrustworthiness, or financial irresponsibility in this state or elsewhere.
141.9EFFECTIVE DATE.This section is effective January 1, 2008.
141.10 Sec. 61. [332A.09] SUSPENDING, REVOKING, OR REFUSING TO RENEW
141.11REGISTRATION.
141.12 Subdivision 1. Procedure. The commissioner may revoke, suspend, or refuse
141.13to renew any registration issued under this chapter, or may levy a civil penalty under
141.14section 45.027, or any combination of actions, if the debt management services provider
141.15or any controlling or affiliated person has committed any act or omission for which the
141.16commissioner could have refused to issue an initial registration or renew an existing
141.17registration. Revocation of or refusal to renew a registration must be upon notice and
141.18hearing as prescribed in the Administrative Procedure Act, sections 14.57 to 14.69. The
141.19notice must set a time for hearing before the commissioner not less than 20 nor more than
141.2030 days after service of the notice, provided the registrant may waive the 20-day minimum.
141.21The commissioner may, in the notice, suspend the registration for a period not to exceed 60
141.22days. Unless the notice states that the registration is suspended, pending the determination
141.23of the main issue, the registrant may continue to transact business until the final decision of
141.24the commissioner. If the registration is suspended, the commissioner shall hold a hearing
141.25and render a final determination within ten days of a request by the registrant. If the
141.26commissioner fails to do so, the suspension shall terminate and be of no force or effect.
141.27 Subd. 2. Notification of interested persons. After the notice and hearing required
141.28in subdivision 1, upon issuing an order suspending or revoking a registration or refusing to
141.29renew a registration, the commissioner may notify all individuals who have contracts with
141.30the affected registrant and all creditors who have agreed to a debt management services
141.31plan that the registration has been revoked and that the order is subject to appeal.
141.32 Subd. 3. Receiver for funds of sanctioned registrant. When an order is issued
141.33revoking or refusing to renew a registration, the commissioner may apply for, and the
141.34district court must appoint, a receiver to temporarily or permanently receive the assets of
141.35the registrant pending a final determination of the validity of the order.
142.1EFFECTIVE DATE.This section is effective January 1, 2008.
142.2 Sec. 62. [332A.10] WRITTEN DEBT MANAGEMENT SERVICES
142.3AGREEMENT.
142.4 Subdivision 1. Written agreement required. A debt management services provider
142.5may not perform any debt management services or receive any money related to a debt
142.6management plan until the provider has obtained a debt management services agreement
142.7that contains all terms of the agreement between the debt management services provider
142.8and the debtor. A debt management services agreement must be in writing, dated, and
142.9signed by the debt management services provider and the debtor. The registrant must
142.10furnish the debtor with a copy of the signed contract upon execution.
142.11 Subd. 2. Actions prior to written agreement. No person may provide debt
142.12management services for a debtor unless the person first has:
142.13 (1) provided the debtor individualized counseling and educational information
142.14that, at a minimum, addresses managing household finances, managing credit and debt,
142.15budgeting, and personal savings strategies;
142.16 (2) prepared in writing and provided to the debtor, in a form that the debtor may
142.17keep, an individualized financial analysis and a proposed debt management plan listing the
142.18debtor's known debts with specific recommendations regarding actions the debtor should
142.19take to reduce or eliminate the amount of the debts, including written disclosure that
142.20debt management services are not suitable for all debtors and that there are other ways,
142.21including bankruptcy, to deal with indebtedness;
142.22 (3) made a determination supported by an individualized financial analysis that the
142.23debtor can reasonably meet the requirements of the proposed debt management plan
142.24and that there is a net tangible benefit to the debtor of entering into the proposed debt
142.25management plan; and
142.26 (4) prepared, in a form the debtor may keep, a written list identifying all known
142.27creditors of the debtor that the provider reasonably expects to participate in the plan
142.28and the creditors, including secured creditors, that the provider reasonably expects not
142.29to participate.
142.30 Subd. 3. Required terms. (a) Each debt management services agreement must
142.31contain the following terms, which must be disclosed prominently and clearly in bold print
142.32on the front page of the agreement, segregated by bold lines from all other information on
142.33the page:
142.34 (1) the fee amount to be paid by the debtor and whether the initial fee amount is
142.35refundable or nonrefundable;
143.1 (2) the monthly fee amount or percentage to be paid by the debtor; and
143.2 (3) the total amount of fees reasonably anticipated to be paid by the debtor over
143.3the term of the agreement.
143.4 (b) Each debt management services agreement must also contain the following:
143.5 (1) a disclosure that if the amount of debt owed is increased by interest, late fees,
143.6over the limit fees, and other amounts imposed by the creditors, the length of the debt
143.7management services agreement will be extended and remain in force and that the total
143.8dollar charges agreed upon may increase at the rate agreed upon in the original contract
143.9agreement;
143.10 (2) a prominent statement describing the terms upon which the debtor may cancel
143.11the contract as set forth in section 332A.11;
143.12 (3) a detailed description of all services to be performed by the debt management
143.13services provider for the debtor;
143.14 (4) the debt management services provider's refund policy; and
143.15 (5) the debt management services provider's principal business address and the name
143.16and address of its agent in this state authorized to receive service of process.
143.17 Subd. 4. Prohibited terms. The following terms shall not be included in the debt
143.18management services agreement:
143.19 (1) a hold harmless clause;
143.20 (2) a confession of judgment, or a power of attorney to confess judgment against the
143.21debtor or appear as the debtor in any judicial proceeding;
143.22 (3) a waiver of the right to a jury trial, if applicable, in any action brought by
143.23or against a debtor;
143.24 (4) an assignment of or an order for payment of wages or other compensation for
143.25services;
143.26 (5) a provision in which the debtor agrees not to assert any claim or defense arising
143.27out of the debt management services agreement;
143.28 (6) a waiver of any provision of this chapter or a release of any obligation required
143.29to be performed on the part of the debt management services provider; or
143.30 (7) a mandatory arbitration clause.
143.31 Subd. 5. New debt management services agreements; modification of existing
143.32agreements. (a) Separate and additional debt management services agreements that
143.33comply with this chapter may be entered into by the debt management services provider
143.34and the debtor provided that no additional initial fee may be charged by the debt
143.35management services provider.
144.1 (b) Any modification of an existing debt management services agreement, including
144.2any increase in the number or amount of debts included in the debt management service,
144.3must be in writing and signed by both parties. No fees, charges, or other consideration
144.4may be demanded from the debtor for the modification, other than an increase in the
144.5amount of the monthly maintenance fee established in the original debt management
144.6services agreement.
144.7EFFECTIVE DATE.This section is effective January 1, 2008.
144.8 Sec. 63. [332A.11] RIGHT TO CANCEL.
144.9 Subdivision 1. Debtor's right to cancel. A debtor has the right to cancel the debt
144.10management services agreement without cause at any time upon ten days' written notice to
144.11the debt management services provider. In the event of cancellation, the debt management
144.12services provider must, within ten days of the cancellation, notify the debtor's creditors of
144.13the cancellation and provide a refund of all unexpended funds paid by or for the debtor to
144.14the debt management services provider.
144.15 Subd. 2. Notice of debtor's right to cancel. A debt management services
144.16agreement must contain, on its face, in an easily readable typeface immediately adjacent
144.17to the space for signature by the debtor, the following notice: "Right To Cancel: You have
144.18the right to cancel this contract at any time on ten days' written notice."
144.19 Subd. 3. Automatic termination. Upon the payment of all listed debts and
144.20fees, the debt management services agreement must automatically terminate, and all
144.21unexpended funds paid by or for the debtor to the debt management services provider
144.22must be immediately returned to the debtor.
144.23 Subd. 4. Debt management services provider's right to cancel. A debt
144.24management services provider may cancel a debt management services agreement
144.25with good cause upon 30 days' written notice to the debtor. Within ten days after the
144.26cancellation, the debt management services provider must: (1) notify the debtor's creditors
144.27of the cancellation; and (2) return to the debtor all unexpended funds paid by or for the
144.28debtor.
144.29EFFECTIVE DATE.This section is effective January 1, 2008.
144.30 Sec. 64. [332A.12] BOOKS, RECORDS, AND INFORMATION.
144.31 Subdivision 1. Records retention. Every registrant must keep, and use in the
144.32registrant's business, such books, accounts, and records, including electronic records, as
144.33will enable the commissioner to determine whether the registrant is complying with this
145.1chapter and of the rules, orders, and directives adopted by the commissioner under this
145.2chapter. Every registrant must preserve such books, accounts, and records for at least six
145.3years after making the final entry on any transaction recorded therein. Examinations of
145.4the books, records, and method of operations conducted under the supervision of the
145.5commissioner shall be done at the cost of the registrant. The cost must be assessed as
145.6determined under section 46.131.
145.7 Subd. 2. Statements to debtors. Each registrant must maintain and must make
145.8available records and accounts that will enable each debtor to ascertain the amounts
145.9paid to the creditors of the debtor. A statement showing amounts received from the
145.10debtor, disbursements to each creditor, amounts which any creditor has agreed to accept
145.11as payment in full for any debt owed the creditor by the debtor, charges deducted by
145.12the registrant, and such other information as the commissioner may prescribe, must be
145.13furnished by the registrant to the debtor at least monthly and, in addition, upon any
145.14cancellation or termination of the contract. In addition to the statements required by this
145.15subdivision, each debtor must have reasonable access, without cost, by electronic or other
145.16means, to information in the registrant's files applicable to the debtor. These statements,
145.17records, and accounts must otherwise remain confidential except for duly authorized state
145.18and government officials, the commissioner, the attorney general, the debtor, and the
145.19debtor's representative and designees. Each registrant must prepare and retain in the file of
145.20each debtor a written analysis of the debtor's income and expenses to substantiate that the
145.21plan of payment is feasible and practicable.
145.22EFFECTIVE DATE.This section is effective January 1, 2008.
145.23 Sec. 65. [332A.13] FEES, PAYMENTS, AND CONSENT OF CREDITORS.
145.24 Subdivision 1. Origination fee; credit background report cost. The registrant
145.25may charge a nonrefundable origination fee of not more than $50, which may be retained
145.26by the registrant from the initial amount paid by the debtor to the registrant.
145.27 Subd. 2. Monthly maintenance fee. The registrant may charge a periodic fee for
145.28account maintenance or other purposes, but only if the fee is reasonable for the services
145.29provided and does exceed the lesser of 15 percent of the monthly payment amount or $75.
145.30 Subd. 3. Additional fees unauthorized. A registrant may not impose any fee or
145.31other charge or receive any funds or other payment other than the initial fee or monthly
145.32maintenance fee authorized by this section.
145.33 Subd. 4. Amount of periodic payments retained. The registrant may retain as
145.34payment for the fees authorized by this section no more than 15 percent of any periodic
145.35payment made to the registrant by the debtor. The remaining 85 percent must be disbursed
146.1to listed creditors under and in accordance with the debt management services agreement.
146.2No fees or charges may be received or retained by the registrant for any handling of
146.3recurring payments. Recurring payments include current rent, mortgage, utility, telephone,
146.4maintenance as defined in section 518.27, child support, insurance premiums, and such
146.5other payments as the commissioner may by rule prescribe.
146.6 Subd. 5. Advance payments. No fees or charges may be received or retained for
146.7any payments by the debtor made more than the following number of days in advance
146.8of the date specified in the debt management services agreement on which they are due:
146.9(1) 42 days in the case of contracts requiring monthly payments; (2) 15 days in the case
146.10of agreements requiring biweekly payments; or (3) seven days in the case of agreements
146.11requiring weekly payments. For those agreements which do not require payments in
146.12specified amounts, a payment is deemed an advance payment to the extent it exceeds
146.13twice the average regular payment previously made by the debtor under that contract. This
146.14subdivision does not apply when the debtor intends to use the advance payments to satisfy
146.15future payment of obligations due within 30 days under the contract. This subdivision
146.16supersedes any inconsistent provision of this chapter.
146.17 Subd. 6. Consent of creditors. A registrant must actively seek to obtain the consent
146.18of all creditors to the debt management services plan set forth in the debt management
146.19services agreement. Consent by a creditor may be express and in writing, or may be
146.20evidenced by acceptance of a payment made under the debt management services plan
146.21set forth in the contract. The registrant must notify the debtor within ten days after any
146.22failure to obtain the required consent and of the debtor's right to cancel without penalty.
146.23The notice must be in a form as the commissioner shall prescribe. Nothing contained in
146.24this section is deemed to require the return of any origination fee and any fees earned by
146.25the registrant prior to cancellation or default.
146.26 Subd. 7. Withdrawal of creditor. Whenever a creditor withdraws from a debt
146.27management services plan, or refuses to participate in a debt management services plan,
146.28the registrant must promptly notify the debtor of the withdrawal or refusal. In no case
146.29may this notice be provided more than 15 days after the debt management services plan
146.30learns of the creditor's decision to withdraw from or refuse to participate in a plan. This
146.31notice must include the identity of the creditor withdrawing from the plan, the amount of
146.32the monthly payment to that creditor, and the right of the debtor to cancel the agreement
146.33under section 332A.11.
146.34 Subd. 8. Payments held in trust. The registrant must maintain a separate trust
146.35account and deposit in the account all payments received from the moment that they are
146.36received, except that the registrant may commingle the payment with the registrant's
147.1own property or funds, but only to the extent necessary to ensure the maintenance of a
147.2minimum balance if the financial institution at which the trust account is held requires
147.3a minimum balance to avoid the assessment of fees or penalties for failure to maintain
147.4a minimum balance. All disbursements, whether to the debtor or to the creditors of the
147.5debtor, or to the registrant, must be made from such account.
147.6 Subd. 9. Timely payment of creditors. The registrant must disburse any funds
147.7paid by or on behalf of a debtor to creditors of the consumer within 42 days after receipt
147.8of the funds, or earlier if necessary to comply with the due date in the contract between
147.9the debtor and the creditor, unless the reasonable payment of one or more of the debtor's
147.10obligations requires that the funds be held for a longer period so as to accumulate a sum
147.11certain, or where the debtor's payment is returned for insufficient funds or other reason
147.12that makes the withholding of such payments in the net interest of the debtor.
147.13EFFECTIVE DATE.This section is effective January 1, 2008.
147.14 Sec. 66. [332A.14] PROHIBITIONS.
147.15 A registrant shall not:
147.16 (1) purchase from a creditor any obligation of a debtor;
147.17 (2) use, threaten to use, seek to have used, or seek to have threatened the use of any
147.18legal process, including but not limited to garnishment and repossession of personal
147.19property, against any debtor while the debt management services agreement between the
147.20registrant and the debtor remains executory;
147.21 (3) advise a debtor to stop paying a creditor until a debt management services plan is
147.22in place;
147.23 (4) require as a condition of performing debt management services the purchase of
147.24any services, stock, insurance, commodity, or other property or any interest therein either
147.25by the debtor or the registrant;
147.26 (5) compromise any debts unless the prior written approval of the debtor has been
147.27obtained to such compromise and unless such compromise inures solely to the benefit
147.28of the debtor;
147.29 (6) receive from any debtor as security or in payment of any fee a promissory note
147.30or other promise to pay or any mortgage or other security, whether as to real or personal
147.31property;
147.32 (7) lend money or provide credit to any debtor if any interest or fee is charged,
147.33or directly or indirectly collect any fee for referring, advising, procuring, arranging, or
147.34assisting a consumer in obtaining any extension of credit or other debtor service from a
147.35lender or services provider;
148.1 (8) structure a debt management services agreement that would result in negative
148.2amortization of any debt in the plan;
148.3 (9) engage in any unfair, deceptive, or unconscionable act or practice in connection
148.4with any service provided to any debtor;
148.5 (10) offer, pay, or give any material cash fee, gift, bonus, premium, reward, or other
148.6compensation to any person for referring any prospective customer to the registrant or for
148.7enrolling a debtor in a debt management services plan, or provide any other incentives
148.8for employees or agents of the debt management services provider to induce debtors to
148.9enter into a debt management plan;
148.10 (11) receive any cash, fee, gift, bonus, premium, reward, or other compensation
148.11from any person other than the debtor or a person on the debtor's behalf in connection
148.12with activities as a registrant, provided that this paragraph does not apply to a registrant
148.13which is a bona fide nonprofit corporation duly organized under chapter 317A or under
148.14the similar laws of another state;
148.15 (12) enter into a contract with a debtor unless a thorough written budget analysis
148.16indicates that the debtor can reasonably meet the requirements of the financial adjustment
148.17plan and will be benefited by the plan;
148.18 (13) in any way charge or purport to charge or provide any debtor credit insurance in
148.19conjunction with any contract or agreement involved in the debt management services
148.20plan;
148.21 (14) operate or employ a person who is an employee or owner of a collection agency
148.22or process-serving business; or
148.23 (15) require or attempt to require payment of a sum that the registrant states,
148.24discloses, or advertises to be a voluntary contribution from the debtor.
148.25EFFECTIVE DATE.This section is effective January 1, 2008.
148.26 Sec. 67. [332A.16] ADVERTISEMENT OF DEBT MANAGEMENT SERVICES
148.27PLANS.
148.28 No debt management services provider may make false, deceptive, or misleading
148.29statements or omissions about the rates, terms, or conditions of an actual or proposed
148.30debt management services plan or its debt management services, or create the likelihood
148.31of consumer confusion or misunderstanding regarding its services, including but not
148.32limited to the following:
148.33 (1) represent that the debt management services provider is a nonprofit, not-for-profit,
148.34or has similar status or characteristics if some or all of the debt management services will
149.1be provided by a for-profit company that is a controlling or affiliated party to the debt
149.2management services provider; or
149.3 (2) make any communication that gives the impression that the debt management
149.4services provider is acting on behalf of a government agency.
149.5EFFECTIVE DATE.This section is effective January 1, 2008.
149.6 Sec. 68. [332A.17] DEBT MANAGEMENT SERVICES AGREEMENT
149.7RESCISSION.
149.8 Any debtor has the right to rescind any debt management services agreement with
149.9a debt management services provider that commits a material violation of this chapter.
149.10On rescission, all fees paid to the debt management services provider or any other person
149.11other than creditors of the debtor must be returned to the debtor entering into the debt
149.12management services agreement within ten days of rescission of the debt management
149.13services agreement.
149.14EFFECTIVE DATE.This section is effective January 1, 2008.
149.15 Sec. 69. [332A.18] ENFORCEMENT; REMEDIES.
149.16 Subdivision 1. Violation a deceptive practice. A violation of any of the provisions
149.17of this chapter is considered an unfair or deceptive trade practice under section 8.31,
149.18subdivision 1. A private right of action under section 8.31 by an aggrieved debtor is in
149.19the public interest.
149.20 Subd. 2. Private right of action. (a) A debt management services provider who
149.21fails to comply with any of the provisions of this chapter is liable under this section in
149.22an individual action for the sum of: (i) actual, incidental, and consequential damages
149.23sustained by the debtor as a result of the failure; and (ii) statutory damages of up to $1,000.
149.24 (b) A debt management services provider who fails to comply with any of the
149.25provisions of this chapter is liable under this section in a class action for the sum of: (i) the
149.26amount that each named plaintiff could recover under paragraph (a), clause (i); and (ii)
149.27such amount as the court may allow for all other class members.
149.28 (c) In determining the amount of statutory damages, the court shall consider, among
149.29other relevant factors:
149.30 (1) the frequency, nature, and persistence of noncompliance;
149.31 (2) the extent to which the noncompliance was intentional; and
149.32 (3) in the case of a class action, the number of debtors adversely affected.
150.1 (d) A plaintiff or class successful in a legal or equitable action under this section is
150.2entitled to the costs of the action, plus reasonable attorney fees.
150.3 Subd. 3. Injunctive relief. A debtor may sue a debt management services provider
150.4for temporary or permanent injunctive or other appropriate equitable relief to prevent
150.5violations of any provision of this chapter. A court must grant injunctive relief on a
150.6showing that the debt management services provider has violated any provision of this
150.7chapter, or in the case of a temporary injunction, on a showing that the debtor is likely to
150.8prevail on allegations that the debt management services provider violated any provision
150.9of this chapter.
150.10 Subd. 4. Remedies cumulative. The remedies provided in this section are
150.11cumulative and do not restrict any remedy that is otherwise available. The provisions
150.12of this chapter are not exclusive and are in addition to any other requirements, rights,
150.13remedies, and penalties provided by law.
150.14 Subd. 5. Public enforcement. The attorney general shall enforce this chapter
150.15under section 8.31.
150.16EFFECTIVE DATE.This section is effective January 1, 2008.
150.17 Sec. 70. [332A.19] INVESTIGATION.
150.18 The commissioner may examine the books and records of every registrant and of
150.19any person engaged in the business of providing debt management services as defined in
150.20section 332A.02 at any reasonable time. The commissioner once during any calendar year
150.21may require the submission of an audit prepared by a certified public accountant of the
150.22books and records of each registrant. If the registrant has, within one year previous to the
150.23commissioner's demand, had an audit prepared for some other purpose, this audit may be
150.24submitted to satisfy the requirement of this section. The commissioner may investigate
150.25any complaint concerning violations of this chapter and may require the attendance and
150.26sworn testimony of witnesses and the production of documents.
150.27EFFECTIVE DATE.This section is effective January 1, 2008.
150.28 Sec. 71. LICENSE RENEWAL EXTENSION.
150.29 The July 31, 2007, renewal date for mortgage originators is extended to October 30,
150.302007, because of the changes to the licensing requirements made by this article.
150.31 Sec. 72. REPEALER.
151.1(a) Minnesota Statutes 2006, sections 46.043; 47.62, subdivision 5; and 58.08,
151.2subdivision 1, are repealed.
151.3(b) Minnesota Statutes 2006, sections 332.12; 332.13; 332.14; 332.15; 332.16;
151.4332.17; 332.18; 332.19; 332.20; 332.21; 332.22; 332.23; 332.24; 332.25; 332.26; 332.27;
151.5332.28; and 332.29, are repealed effective January 1, 2008.
151.8 Section 1. [1.1499] STATE ENERGY CITY.
151.9 The city of Elk River is designated as the state energy city.
151.10 Sec. 2. [16C.141] EMPLOYEE SUGGESTIONS; ENERGY SAVINGS
151.11INCENTIVE PROGRAM.
151.12 Subdivision 1. Creation of program. The commissioner of administration must
151.13implement a program using best practices and develop policies under which state
151.14employees may receive cash awards for making suggestions that result in documented cost
151.15savings to state agencies from reduced energy usage in state-owned buildings. The cash
151.16awards must be an amount equal to half the amount of the energy costs saved by agencies
151.17in the year immediately following the implementation of the employee suggestion, up to
151.18$1,000 per suggestion. The program must include methods for documenting submission
151.19of suggestions and for documenting savings achieved as a result of these suggestions.
151.20 Subd. 2. Funding. To the extent necessary to fund the program under this section,
151.21the commissioner of administration, with approval of the commissioner of finance, may
151.22transfer a portion of the documented cost savings resulting from a suggestion under this
151.23section from the general services revolving fund to an energy savings reward account.
151.24Money in the energy savings reward account is appropriated to the commissioner for
151.25purposes of making cash rewards and paying the commissioner's incentive program
151.26developments costs and administrative expenses under this section.
151.27 Subd. 3. Report to legislature. The commissioner of administration shall report to
151.28the chairs of the senate and house of representatives committees with jurisdiction over
151.29energy policy by January 1, 2008, on the development of the incentive program, and
151.30by January 15 each year thereafter on the implementation of this section, including the
151.31ideas submitted and energy savings realized.
151.32 Subd. 4. Minnesota State Colleges and Universities. This section does not apply to
151.33the Minnesota State Colleges and Universities, except to the extent the Board of Trustees
151.34of the Minnesota State Colleges and Universities provides that the section does apply.
152.1 Subd. 5. Repeal. This section is repealed July 1, 2009.
152.2 Sec. 3. Minnesota Statutes 2006, section 116C.779, subdivision 2, is amended to read:
152.3 Subd. 2. Renewable energy production incentive. (a) Until January 1, 2018, up to
152.4$10,900,000 $11,400,000 annually must be allocated from available funds in the account
152.5to fund renewable energy production incentives and on-farm biogas recovery facility
152.6grants. $9,400,000 of this annual amount is for incentives for up to 200 megawatts of
152.7electricity generated by wind energy conversion systems that are eligible for the incentives
152.8under section216C.41 . The balance of this amount, Up to $1,500,000 $1,000,000
152.9annually, may be used for production incentives for on-farm biogas recovery facilities
152.10and landfill gas recovery facilities that are eligible for the incentive under section216C.41
152.11or for production incentives for other renewables, to be provided in the same manner
152.12as under section216C.41 . Of this amount, no more than $500,000 may be used for
152.13production incentives for landfill gas recovery facilities. Up to $1,000,000 may be used
152.14for grants for qualified on-farm biogas recovery facilities as provided in section 216C.42.
152.15Any portion of the$10,900,000 $11,400,000 not expended in any calendar year for the
152.16incentive is available for other spending purposes under this section. This subdivision
152.17does not create an obligation to contribute funds to the account.
152.18 (b) The Department of Commerce shall determine eligibility of projects under
152.19section216C.41 for the purposes of this subdivision. At least quarterly, the Department of
152.20Commerce shall notify the public utility of the name and address of each eligible project
152.21owner and the amount due to each project under section216C.41 . The public utility shall
152.22make payments within 15 working days after receipt of notification of payments due.
152.23 Sec. 4. Minnesota Statutes 2006, section 216B.241, subdivision 6, is amended to read:
152.24 Subd. 6. Renewable energy research. (a) A public utility that owns a nuclear
152.25generation facility in the state shall spend five percent of the total amount that utility
152.26is required to spend under this section to support basic and applied research and
152.27demonstration activities at the University of Minnesota Initiative for Renewable Energy
152.28and the Environment for the development of renewable energy sources and technologies.
152.29The utility shall transfer the required amount to the University of Minnesota on or before
152.30July 1 of each year and that annual amount shall be deducted from the amount of money the
152.31utility is required to spend under this section. The University of Minnesota shall transfer
152.32at least ten percent of these funds to at least one rural campus or experiment station.
152.33 (b)Research Activities funded under this subdivision shall may include, but are
152.34not limited to:
153.1(1) development of environmentally sound production, distribution, and use of
153.2energy, chemicals, and materials from renewable sources;
153.3(2) processing and utilization of agricultural and forestry plant products and other
153.4bio-based, renewable sources as a substitute for fossil-fuel-based energy, chemicals, and
153.5materials using a variety of means including biocatalysis, biorefining, and fermentation;
153.6(3) conversion of state wind resources to hydrogen for energy storage and
153.7transportation to areas of energy demand;
153.8(4) improvements in scalable hydrogen fuel cell technologies; and
153.9(5) production of hydrogen from bio-based, renewable sources; and sequestration
153.10of carbon.
153.11 (1) environmentally sound production of energy from a renewable energy source
153.12including biomass;
153.13 (2) environmentally sound production of hydrogen from biomass and any other
153.14renewable energy source for energy storage and energy utilization;
153.15 (3) development of energy conservation and efficient energy utilization technologies;
153.16 (4) energy storage technologies; and
153.17 (5) analysis of policy options to facilitate adoption of technologies that use or
153.18produce a renewable energy source.
153.19 (c) Notwithstanding other law to the contrary, the utility may, but is not required to,
153.20spend more than two percent of its gross operating revenues from service provided in this
153.21state under this section or section216B.2411 .
153.22 (d) For the purposes of this subdivision:
153.23 (1) "renewable energy source: means hydro, wind, solar, biomass and geothermal
153.24energy, and microorganisms used as an energy source; and
153.25 (2) "biomass" means plant and animal material, agricultural and forest residues,
153.26mixed municipal solid waste, and sludge from wastewater treatment.
153.27 (e) This subdivision expires June 30,2008 2010.
153.28 Sec. 5. Minnesota Statutes 2006, section 216B.812, subdivision 1, is amended to read:
153.29 Subdivision 1. Early purchase and deployment of renewable hydrogen, fuel
153.30cells, and related technologies by the state. (a) The Department of Commerce, in
153.31conjunction coordination with the Department of Administration and the Pollution Control
153.32Agency, shall identify opportunities fordemonstrating the use of deploying renewable
153.33hydrogen, fuel cells, and related technologies within state-owned facilities, vehicle fleets,
153.34and operations in ways that demonstrate their commercial performance and economics.
154.1 (b) The Department of Commerce shall recommend to the Department of
154.2Administration, when feasible, the purchase and demonstration deployment of hydrogen,
154.3fuel cells, and related technologies, when feasible, in ways that strategically contribute
154.4to realizing Minnesota's hydrogen economy goal as set forth in section216B.8109 , and
154.5which contribute to the following nonexclusive list of objectives:
154.6 (1) provide needed performance data to the marketplace;
154.7 (2) identify code and regulatory issues to be resolved;
154.8 (3) foster economic development and job creation in the state;
154.9 (4) raise public awareness of renewable hydrogen, fuel cells, and related
154.10technologies; or
154.11 (5) reduce emissions of carbon dioxide and other pollutants.
154.12 (c) The Department of Commerce and the Pollution Control Agency shall also
154.13recommend to the Department of Administration changes to the state's procurement
154.14guidelines and contracts in order to facilitate the purchase and deployment of cost-effective
154.15renewable hydrogen, fuel cells, and related technologies by all levels of government.
154.16 Sec. 6. Minnesota Statutes 2006, section 216B.812, subdivision 2, is amended to read:
154.17 Subd. 2. Pilot projects. (a) In consultation with appropriate representatives from
154.18state agencies, local governments, universities, businesses, and other interested parties,
154.19the Department of Commerce shall report back to the legislature by November 1, 2005,
154.20and every two years thereafter, with a slate of proposed pilot projects that contribute to
154.21realizing Minnesota's hydrogen economy goal as set forth in section216B.8109 . The
154.22Department of Commerce must consider the following nonexclusive list of priorities in
154.23developing the proposed slate of pilot projects:
154.24 (1)demonstrate deploy "bridge" technologies such as hybrid-electric, off-road, and
154.25fleet vehicles running on hydrogen or fuels blended with hydrogen;
154.26 (2)develop lead to cost-competitive, on-site renewable hydrogen production
154.27technologies;
154.28 (3) demonstrate nonvehicle applications for hydrogen;
154.29 (4) improve the cost and efficiency of hydrogen from renewable energy sources; and
154.30 (5) improve the cost and efficiency of hydrogen production using direct solar energy
154.31without electricity generation as an intermediate step.
154.32 (b) Forall demonstrations deployment projects that do not involve a demonstration
154.33component, individual system components of the technologymust should, if feasible, meet
154.34commercial performance standards and systems modeling must be completed to predict
155.1commercial performance, risk, and synergies. In addition, the proposed pilots should meet
155.2as many of the following criteria as possible:
155.3 (1) advance energy security;
155.4 (2) capitalize on the state's native resources;
155.5 (3) result in economically competitive infrastructure being put in place;
155.6 (4) be located where it will link well with existing and related projects and be
155.7accessible to the public, now or in the future;
155.8 (5) demonstrate multiple, integrated aspects of renewable hydrogen infrastructure;
155.9 (6) include an explicit public education and awareness component;
155.10 (7) be scalable to respond to changing circumstances and market demands;
155.11 (8) draw on firms and expertise within the state where possible;
155.12 (9) include an assessment of its economic, environmental, and social impact; and
155.13 (10) serve other needs beyond hydrogen development.
155.14 Sec. 7. [216B.813] MINNESOTA RENEWABLE HYDROGEN INITIATIVE.
155.15 Subdivision 1. Road map. The Department of Commerce shall coordinate and
155.16administer directly or by contract the Minnesota renewable hydrogen initiative. If the
155.17department decides to contract for its duties under this section, it must contract with a
155.18nonpartisan, nonprofit organization within the state to develop the road map. The initiative
155.19may be run as a public-private partnership representing business, academic, governmental,
155.20and nongovernmental organizations. The initiative must oversee the development and
155.21implementation of a renewable hydrogen road map, including appropriate technology
155.22deployments, that achieve the hydrogen goal of section 216B.013. The road map should
155.23be compatible with the United States Department of Energy's National Hydrogen Energy
155.24Roadmap and be based on an assessment of marketplace economics and the state's
155.25opportunities in hydrogen, fuel cells, and related technologies, so as to capitalize on
155.26strengths. The road map should establish a vision, goals, general timeline, strategies for
155.27working with industry, and measurable milestones for achieving the state's renewable
155.28hydrogen goal. The road map should describe how renewable hydrogen and fuel cells fit
155.29in Minnesota's overall energy system, and should help foster a consistent, predictable, and
155.30prudent investment environment. The department must report to the legislature on the
155.31progress in implementing the road map by November 1 of each odd-numbered year.
155.32 Subd. 2. Grants. (a) The commissioner of commerce shall operate a competitive
155.33grant program for projects to assist the state in attaining its renewable hydrogen energy
155.34goals. The commissioner of commerce shall assemble an advisory committee made up of
155.35industry, university, government, and nongovernment organizations to:
156.1 (1) help identify the most promising technology deployment projects for public
156.2investment;
156.3 (2) advise on the technical specifications for those projects; and
156.4 (3) make recommendations on project grants.
156.5 (b) The commissioner shall give preference to project concepts included in the
156.6department's most recent biennial report: Strategic Demonstration Projects to Accelerate
156.7the Commercialization of Renewable Hydrogen and Related Technologies in Minnesota.
156.8Projects eligible for funding must combine one or more of the hydrogen production
156.9options listed in the department's report with an end use that has significant commercial
156.10potential, preferably high visibility, and relies on fuel cells or related technologies. Each
156.11funded technology deployment must include an explicit education and awareness-raising
156.12component, be compatible with the renewable hydrogen deployment criteria defined in
156.13section 216B.812, and receive 50 percent of its total cost from nonstate sources. The 50
156.14percent requirement does not apply for recipients that are public institutions.
156.15 Sec. 8. Minnesota Statutes 2006, section 216C.051, subdivision 2, is amended to read:
156.16 Subd. 2. Establishment. (a) There is established a Legislative Electric Energy Task
156.17Force to study future electric energy sources and costs and to make recommendations
156.18for legislation for an environmentally and economically sustainable and advantageous
156.19electric energy supply.
156.20 (b) The task force consists of:
156.21 (1) ten members of the house of representatives including the chairs of the
156.22Environment and Natural Resources Committee andRegulated Industries Subcommittee
156.23the Energy Finance and Policy Division and eight members to be appointed by the speaker
156.24of the house, four of whom must be from the minority caucus; and
156.25 (2) ten members of the senate including the chairs of the Environment, Energy and
156.26Natural Resources Budget Division andJobs, Energy, and Community Development
156.27Utilities, Technology and Communications committees and eight members to be appointed
156.28by the Subcommittee on Committees, four of whom must be from the minority caucus.
156.29 (c) The task force may employ staff, contract for consulting services, and may
156.30reimburse the expenses of persons requested to assist it in its duties other than state
156.31employees or employees of electric utilities. The director of the Legislative Coordinating
156.32Commission shall assist the task force in administrative matters. The task force shall
156.33elect cochairs, one member of the house and one member of the senate from among the
156.34committee and subcommittee chairs named to the committee. The task force members
157.1from the house shall elect the house cochair, and the task force members from the senate
157.2shall elect the senate cochair.
157.3 Sec. 9. Minnesota Statutes 2006, section 216C.051, subdivision 9, is amended to read:
157.4 Subd. 9. Expiration. This section is repealed June 30,2007 2008.
157.5EFFECTIVE DATE.This section is effective the day following final enactment.
157.6 Sec. 10. [216C.385] CLEAN ENERGY RESOURCE TEAMS.
157.7 Subdivision 1. Findings. The legislature finds that community-based energy
157.8programs are an effective means of implementing improved energy practices including
157.9conservation, greater efficiency in energy use, and the production and use of renewable
157.10resources such as wind, solar, biomass, and biofuels. Further, community-based energy
157.11programs are found to be a public purpose for which public money may be spent.
157.12 Subd. 2. Mission, organization, and membership. The Clean Energy Resource
157.13Teams (CERT's) project is an innovative state, university, and nonprofit partnership that
157.14serves as a catalyst for community energy planning and projects. The mission of CERT's
157.15is to give citizens a voice in the energy planning process by connecting them with the
157.16necessary technical resources to identify and implement community-scale renewable
157.17energy and energy efficiency projects. In 2003, the Department of Commerce designated
157.18the CERT's project as a statewide collaborative venture and recognized six regional teams
157.19based on their geography: Central, Northeast, Northwest, Southeast, Southwest, and
157.20West-Central. Membership of CERT's may include but is not limited to representatives
157.21of utilities; federal, state, and local governments; small business; labor; senior citizens;
157.22academia; and other interested parties. The Department of Commerce may certify
157.23additional Clean Energy Resource Teams by regional geography, including teams in
157.24the Twin Cities metropolitan area.
157.25 Subd. 3. Powers and duties. In order to develop and implement community-based
157.26energy programs, a Clean Energy Resource Team may:
157.27 (1) analyze social and economic impacts caused by energy expenditures;
157.28 (2) analyze regional renewable and energy efficiency resources and opportunities;
157.29 (3) link community members and community energy projects to the knowledge
157.30and capabilities of the University of Minnesota, the State Energy Office, nonprofit
157.31organizations, and regional community members, among others;
157.32 (4) plan, set priorities for, provide technical assistance to, and catalyze local energy
157.33efficiency and renewable energy projects that help to meet state energy policy goals and
157.34maximize local economic development opportunities;
158.1 (5) provide a broad-based resource and communications network that links local,
158.2county, and regional energy efficiency and renewable energy project efforts around the
158.3state (both interregional and intraregional);
158.4 (6) seek, accept, and disburse grants and other aids from public or private sources
158.5for purposes authorized in this subdivision;
158.6 (7) provides a convening and networking function within CERT's regions to facilitate
158.7education, knowledge formation, and project replication; and
158.8 (8) exercise other powers and duties imposed on it by statute, charter, or ordinance.
158.9 Subd. 4. Department assistance. The commissioner, via the Clean Energy
158.10Resource Teams, may provide professional, technical, organizational, and financial
158.11assistance to regions and communities to develop and implement community energy
158.12programs and projects, within available resources.
158.13 Sec. 11. [216C.39] RURAL WIND ENERGY DEVELOPMENT REVOLVING
158.14LOAN FUND.
158.15 Subdivision 1. Establishment. A rural wind energy development revolving loan
158.16fund is established as an account in the special revenue fund in the state treasury. The
158.17commissioner of finance shall credit to the account the amounts authorized under this
158.18section and appropriations and transfers to the account. Earnings, such as interest,
158.19dividends, and any other earnings arising from fund assets, must be credited to the account.
158.20 Subd. 2. Purpose. The rural wind energy development revolving loan fund
158.21is created to provide financial assistance, through partnership with local owners and
158.22communities, in developing community wind energy projects that meet the specifications
158.23of section 216B.1612, subdivision 2, paragraph (f).
158.24 Subd. 3. Expenditures. Money in the fund is appropriated to the commissioner
158.25of commerce, and may be used to make loans to qualifying owners of wind energy
158.26projects, as defined in section 216B.1612, subdivision 2, paragraph (f), to assist in funding
158.27wind studies and transmission interconnection studies. The loans must be structured for
158.28repayment within 30 days after the project begins commercial operations or two years
158.29from the date the loan is issued, whichever is sooner.
158.30 Subd. 4. Limitations. A loan may not be approved for an amount exceeding
158.31$100,000. This limit applies to all money loaned to a single project or single entity,
158.32whether paid to one or more qualifying owners and whether paid in one or more fiscal
158.33years.
158.34 Subd. 5. Administration; eligible projects. (a) Applications for a loan under
158.35this section must be made in a manner and on forms prescribed by the commissioner.
159.1Loans to eligible projects must be made in the order in which complete applications are
159.2received by the commissioner. Loan funds must be disbursed to an applicant within ten
159.3days of submission of a payment request by the applicant that demonstrates a payment
159.4due to the Midwest Independent System Operator. Interest payable on the loan amount
159.5may not exceed 1.5 percent per annum.
159.6 (b) A project is eligible for a loan under this program if:
159.7 (1) the project has completed an adequate interconnection feasibility study that
159.8indicates the project may be interconnected with system upgrades of less than ten percent
159.9of the estimated project costs;
159.10 (2) the project has a signed power purchase agreement with an electric utility or
159.11provides evidence that the project is under serious consideration for such an agreement by
159.12an electric utility;
159.13 (3) the ownership and structure of the project allows it to qualify as a
159.14community-based energy development (C-BED) project under section 216B.1612, and the
159.15developer commits to obtaining and maintaining C-BED status; and
159.16 (4) the commissioner has determined that sufficient funds are available to make a
159.17loan to the project.
159.18 Sec. 12. Minnesota Statutes 2006, section 216C.41, subdivision 1, is amended to read:
159.19 Subdivision 1. Definitions. (a) Unless otherwise provided, the definitions in this
159.20subdivision apply to this section.
159.21 (b) "Qualified hydroelectric facility" means a hydroelectric generating facility in
159.22this state that:
159.23 (1) is located at the site of a dam, if the dam was in existence as of March 31,
159.241994; and
159.25 (2) begins generating electricity after July 1, 1994, or generates electricity after
159.26substantial refurbishing of a facility that begins after July 1, 2001.
159.27 (c) "Qualified wind energy conversion facility" means a wind energy conversion
159.28system in this state that:
159.29 (1) produces two megawatts or less of electricity as measured by nameplate rating
159.30and begins generating electricity after December 31, 1996, and before July 1, 1999;
159.31 (2) begins generating electricity after June 30, 1999, produces two megawatts or
159.32less of electricity as measured by nameplate rating, and is:
159.33 (i) owned by a resident of Minnesota or an entity that is organized under the laws
159.34of this state, is not prohibited from owning agricultural land under section500.24 , and
159.35owns the land where the facility is sited;
160.1 (ii) owned by a Minnesota small business as defined in section645.445 ;
160.2 (iii) owned by a Minnesota nonprofit organization;
160.3 (iv) owned by a tribal council if the facility is located within the boundaries of
160.4the reservation;
160.5 (v) owned by a Minnesota municipal utility or a Minnesota cooperative electric
160.6association; or
160.7 (vi) owned by a Minnesota political subdivision or local government, including,
160.8but not limited to, a county, statutory or home rule charter city, town, school district, or
160.9any other local or regional governmental organization such as a board, commission, or
160.10association; or
160.11 (3) begins generating electricity after June 30, 1999, produces seven megawatts or
160.12less of electricity as measured by nameplate rating, and:
160.13 (i) is owned by a cooperative organized under chapter 308A other than a Minnesota
160.14cooperative electric association; and
160.15 (ii) all shares and membership in the cooperative are held by an entity that is not
160.16prohibited from owning agricultural land under section500.24 .
160.17 (d) "Qualified on-farm biogas recovery facility" means an anaerobic digester system
160.18that:
160.19 (1) is located at the site of an agricultural operation; and
160.20 (2) is owned by an entity that is not prohibited from owning agricultural land under
160.21section500.24 and that owns or rents the land where the facility is located.
160.22 (e) "Anaerobic digester system" means a system of components that processes
160.23animal waste based on the absence of oxygen and produces gas used to generate electricity.
160.24 (f) "Qualified landfill gas recovery facility" means a landfill that is operating or
160.25closed, that generates gas from the decomposition of organic matter, and that installs a
160.26system to collect the gas after July 1, 2007.
160.27 Sec. 13. Minnesota Statutes 2006, section 216C.41, subdivision 2, is amended to read:
160.28 Subd. 2. Incentive payment; appropriation. (a) Incentive payments must be made
160.29according to this section to (1) a qualified on-farm biogas recovery facility, (2) the owner
160.30or operator of a qualified hydropower facility or qualified wind energy conversion facility
160.31for electric energy generated and sold by the facility, (3) a publicly owned hydropower
160.32facility for electric energy that is generated by the facility and used by the owner of the
160.33facility outside the facility,or (4) the owner of a publicly owned dam that is in need of
160.34substantial repair, for electric energy that is generated by a hydropower facility at the
160.35dam and the annual incentive payments will be used to fund the structural repairs and
161.1replacement of structural components of the dam, or to retire debt incurred to fund those
161.2repairs, or (5) a qualified landfill gas recovery facility.
161.3 (b) Payment may only be made upon receipt by the commissioner of commerce of
161.4an incentive payment application that establishes that the applicant is eligible to receive an
161.5incentive payment and that satisfies other requirements the commissioner deems necessary.
161.6The application must be in a form and submitted at a time the commissioner establishes.
161.7 (c) There is annually appropriated from the renewable development account
161.8under section116C.779 to the commissioner of commerce sums sufficient to make the
161.9payments required under this section, in addition to the amounts funded by the renewable
161.10development account as specified in subdivision 5a.
161.11 Sec. 14. Minnesota Statutes 2006, section 216C.41, subdivision 3, is amended to read:
161.12 Subd. 3. Eligibility window. Payments may be made under this section only for:
161.13 (a) electricity generated from:
161.14 (1)from a qualified hydroelectric facility that is operational and generating
161.15electricity before December 31, 2009;
161.16 (2)from a qualified wind energy conversion facility that is operational and
161.17generating electricity before January 1, 2008; or
161.18 (3)from a qualified on-farm biogas recovery facility from July 1, 2001, through
161.19December 31, 2017; and
161.20 (b) gas generated from:
161.21 (1) a qualified on-farm biogas recovery facility from July 1, 2007, through December
161.2231, 2017; or
161.23 (2) a qualified landfill gas recovery facility from July 1, 2007, through December
161.2431, 2017.
161.25 Sec. 15. [216C.42] ON-FARM BIOGAS RECOVERY GRANTS.
161.26 Subdivision 1. Definitions. For the purpose of this section, the following terms
161.27have the meanings given.
161.28 (a) "Qualified on-farm biogas recovery facility" means an anaerobic digester system
161.29that:
161.30 (1) is located at the site of an agricultural operation;
161.31 (2) is owned by an entity that is not prohibited from owning agricultural land under
161.32section 500.24 and that owns or rents the land where the facility is located; and
161.33 (3) is owned by a qualified owner as defined in section 216B.1612, subdivision 2,
161.34paragraph (c).
162.1 (b) "Anaerobic digester system" means a system of components that processes
162.2animal waste based on the absence of oxygen and produces gas.
162.3 (c) "Commissioner" means the commissioner of agriculture.
162.4 Subd. 2. Eligibility. Subject to the availability of funds, the commissioner must
162.5approve grants to a qualified owner of a qualified on-farm biogas recovery facility for the
162.6total installed costs of capital investments associated with the facility, up to a maximum of
162.7$500,000.
162.8 Subd. 3. Application. Application for a grant under this section must be made by a
162.9qualified owner to the commissioner on a form the commissioner prescribes by rule. The
162.10commissioner must review each application to determine:
162.11 (1) whether the application is complete;
162.12 (2) whether the information, calculations, and estimates contained in the application
162.13are appropriate, accurate, and reasonable;
162.14 (3) whether the project is eligible for a grant;
162.15 (4) the amount of the grant for which the project is eligible; and
162.16 (5) other funding sources the owner proposes to use to finance the project in addition
162.17to a grant authorized by this section.
162.18An applicant may submit only one grant application each year under this section.
162.19 Subd. 4. Additional information. During application review, the commissioner
162.20may request additional information about a proposed project, including information on
162.21project cost. Failure to provide information requested disqualifies a grant application.
162.22 Subd. 5. Public accessibility of grant application data. Data contained in an
162.23application submitted to the commissioner for a grant under this section, including
162.24supporting technical documentation, is classified as public data not on individuals under
162.25section 13.02, subdivision 14.
162.26 Subd. 6. Rules. The commissioner must adopt rules necessary to implement this
162.27section. The rules must contain at a minimum:
162.28 (1) standards for project eligibility;
162.29 (2) criteria for reviewing grant applications; and
162.30 (3) procedures and guidelines for program monitoring and evaluation.
162.31 Subd. 7. Right of first refusal. A utility that provides electric service at retail in
162.32the area where the qualified on-farm biogas recovery facility is located has the right of
162.33first refusal for any gas produced by a qualified on-farm biogas recovery facility that has
162.34received a grant under this section. A utility's right of first refusal expires if:
163.1 (1) within 45 days after the qualified owner files an incentive payment application
163.2with the commissioner of commerce, the utility fails to send a letter of intent to the
163.3qualified owner indicating the utility's willingness to negotiate a purchase agreement; or
163.4 (2) the parties enter negotiations but fail to reach agreement within 120 days after
163.5the qualified owner files an incentive payment application with the commissioner of
163.6commerce.
163.7 Subd. 8. Eligibility toward renewable energy objective and standard. Any gas
163.8generated by a qualified on-farm biogas recovery facility awarded a grant under this
163.9section that is purchased by a utility may be counted toward the utility's renewable energy
163.10objective and standard under section 216B.1691.
163.11 Subd. 9. Appropriation. Up to $1,000,000 is appropriated annually from the
163.12renewable development account through fiscal year 2015 to the commissioner of
163.13agriculture for the purpose of providing grants to qualified on-farm biogas recovery
163.14facilities.
163.15 Sec. 16. [561.20] NUISANCE LIABILITY OF WIND ENERGY CONVERSION
163.16SYSTEMS.
163.17 Subdivision 1. Definition. For the purposes of this section, "wind energy conversion
163.18system" has the meaning given in section 216C.06.
163.19 Subd. 2. Wind energy conversion system not a nuisance. (a) A wind energy
163.20conversion system is not and does not become a private or public nuisance after two years
163.21from the date it begins generating electricity as a matter of law if the system:
163.22 (1) complies with all applicable federal, state, or county laws, regulations, rules, and
163.23ordinances and any permits issued for it; and
163.24 (2) operates according to generally accepted practices.
163.25 (b) For a period of two years from the date it begins generating electricity, there is
163.26a rebuttable presumption that a wind energy conversion system in compliance with the
163.27requirements of paragraph (a) is not a public or private nuisance.
163.28 (c) This subdivision does not apply:
163.29 (1) to any prosecution for the crime of public nuisance as provided in section
163.30609.74 or to an action by a public authority to abate a particular condition that is a public
163.31nuisance; or
163.32 (2) to any enforcement action brought by a local unit of government related to
163.33zoning under chapter 394 or 462.
163.34 Subd. 3. Existing contracts. This section must not be construed to invalidate any
163.35contracts or commitments made before the effective date of this section.
164.1 Subd. 4. Severability. If a provision of this section, or application thereof to any
164.2person or set of circumstances, is held invalid or unconstitutional, the invalidity does not
164.3affect other provisions or applications of this section that can be given effect without the
164.4invalid provision or application. To that end, the provisions of this section are declared to
164.5be severable.
164.6EFFECTIVE DATE.This section is effective the day following final enactment.
164.7 Sec. 17. PETROLEUM VIOLATION ESCROW FUNDS.
164.8 (a) Petroleum violation escrow funds appropriated to the commissioner of commerce
164.9by Laws 1988, chapter 686, article 1, section 38, for state energy loan programs for
164.10schools, hospitals, and public buildings must be used for grants to kindergarten through
164.11grade 12 schools to develop energy conservation or renewable energy projects. A grant
164.12may not exceed $500,000. The commissioner must endeavor to award grants throughout
164.13the regions of the state. No more than one grant may be awarded in a county, unless an
164.14insufficient number of applications is received from schools located in other counties to
164.15exhaust available funds.
164.16 (b) The commissioner of commerce must petition the federal Department of Energy
164.17for a waiver from any federal regulation that limits the proportion of federal funds
164.18expended on state energy programs that may be spent on energy efficiency.
164.19 (c) For purposes of this subdivision, "renewable energy" means wind, solar,
164.20hydroelectric with a capacity of less than 60 megawatts, geothermal, hydrogen, fuel cells
164.21made from renewable resources, herbaceous crops, agricultural crops, agricultural waste,
164.22and aquatic plant matter.
164.23EFFECTIVE DATE.This section is effective the day after the commissioner of
164.24commerce receives the waiver described in paragraph (b).
164.25 Sec. 18. RURAL WIND ENERGY DEVELOPMENT PROGRAM.
164.26 (a) The Center for Rural Policy and Development shall make a grant to a nonprofit
164.27organization with experience dealing with energy and community wind issues to design
164.28and implement a rural wind energy development assistance program. The program must
164.29be designed to maximize rural economic development and stabilize rural community
164.30institutions, including hospitals and schools, by increasing the income of local residents
164.31and increasing local tax revenues. The grant may be disbursed in two installments. The
164.32program must provide assistance to rural entities seeking to develop wind generation
164.33projects that meet the specifications of Minnesota Statutes, section 216B.1612, subdivision
165.12, paragraph (f), and to sell the electricity the projects produce. Among other strategies,
165.2the program may consider aggregating rural entities and others into groups with the size
165.3and market power necessary to plan and develop significant rural wind energy projects.
165.4 (b) The program must provide assistance that includes, but is not limited to:
165.5 (1) providing legal, engineering, and financial services;
165.6 (2) identifying target communities with favorable wind resources, community
165.7interest, and local political support;
165.8 (3) providing assistance to reserve, obtain, and ensure the maintenance over time of
165.9wind turbines;
165.10 (4) creating market opportunities for utilities to meet their renewable energy standard
165.11obligations through purchases from rural community wind projects;
165.12 (5) assisting in negotiating fair power purchase agreements;
165.13 (6) facilitating transmission interconnection and delivery of energy from community
165.14wind projects; and
165.15 (7) lowering the market risk facing potential wind investors by supporting all phases
165.16of project development.
165.17 The grantee must demonstrate an ability to sustain program functions with ongoing
165.18revenue from sources other than state funding and shall provide a 35 percent grant match.
165.19The grant must be awarded on a competitive basis. The center must use best practices
165.20regarding grant management functions, including selection and monitoring of the grantee,
165.21compliance review, and financial oversight. Grant management fees are limited to 2.5
165.22percent of the grant.
165.23 (c) The commissioner of commerce shall monitor the activities of the rural wind
165.24energy development assistance program created under this section. By November 1, 2008,
165.25the commissioner shall submit an evaluation of the program to the chairs of the house of
165.26representatives and senate committees with jurisdiction over energy policy and finance,
165.27including recommendations for legislative or administrative action to better achieve the
165.28program goals described in paragraph (a).
165.29 Sec. 19. UNIFORM CODES AND STANDARDS FOR HYDROGEN, FUEL
165.30CELLS, AND RELATED TECHNOLOGIES; RECOMMENDATIONS AND
165.31REPORT.
165.32 (a) The commissioner of labor and industry, in consultation with the Department of
165.33Commerce and other relevant public and private interests, shall develop recommendations
165.34regarding the adoption of uniform codes and standards for hydrogen infrastructure, fuel
166.1cells, and related technologies, and report those recommendations to the legislature by
166.2December 31, 2008.
166.3 (b) The goal of the recommendations is to have all regulatory jurisdictions in the
166.4state have the same safety standards with regard to the production, storage, transportation,
166.5distribution, and use of hydrogen, fuel cells, and related technologies. The commissioner's
166.6recommendations must, without limitation, include:
166.7 (1) codes and standards that already exist for hydrogen, fuel cells, and related
166.8technologies, and how the state should formalize their use;
166.9 (2) codes and standards still under development by various official standard-making
166.10bodies;
166.11 (3) gaps between existing codes and standards, those under development, and those
166.12that may still be needed but are not yet being developed;
166.13 (4) the need for, and estimated cost of, additional education and training for
166.14emergency management and code officials;
166.15 (5) any changes needed to environmental and other permitting processes to
166.16accommodate the commercialization of hydrogen, fuel cells, and related technologies; and
166.17 (6) recommendations on appropriate codes and standards for educational and
166.18research institutions.
166.19 Sec. 20. HYDROGEN REFUELING STATION GRANTS.
166.20 In addition to the purposes specified in Laws 2005, chapter 97, article 13, section
166.214, for which the commissioner of commerce may make grants, the commissioner may
166.22make grants under that law for the purpose of developing, deploying, and encouraging
166.23commercially promising renewable hydrogen production systems and hydrogen end
166.24uses in partnership with industry. The authority of the commissioner to make grants
166.25and assessments under Laws 2005, chapter 97, article 13, section 4, continues until the
166.26authorized grants and assessments are made.
166.27 Sec. 21. OFF-SITE RENEWABLE DISTRIBUTED GENERATION.
166.28 The commissioner of commerce shall convene a broad group of interested
166.29stakeholders to evaluate the feasibility and potential for the interconnection and parallel
166.30operation of off-site renewable distributed generation in a manner consistent with
166.31Minnesota Statutes, sections 216B.37 to 216B.43, and shall issue recommendations to
166.32the chairs of the house of representatives and senate committees with jurisdiction over
166.33energy issues by February 1, 2008.
167.3 Section 1. BIOFUEL PERMITTING REPORT.
167.4 By January 15, 2008, the Pollution Control Agency, the commissioner of natural
167.5resources, and the Environmental Quality Board shall report to the house of representatives
167.6and senate committees and divisions with jurisdiction over agriculture and environment
167.7policy and budget on the process to issue permits for biofuel production facilities. The
167.8report shall include:
167.9 (1) information on the timing of the permits and measures taken to improve the
167.10timing of the permitting process;
167.11 (2) recommended changes to statutes, rules, or procedures to improve the biofuel
167.12facility permitting process and reduce the groundwater needed for production; and
167.13 (3) other information or analysis that may be helpful in understanding or improving
167.14the biofuel production facility permitting process.
167.15EFFECTIVE DATE.This section is effective the day following final enactment.
167.16 Sec. 2. DEFINITIONS.
167.17 Subdivision 1. Terrestrial carbon sequestration. "Terrestrial carbon sequestration"
167.18means the long-term storage of carbon in soil and vegetation to prevent its collection in
167.19the atmosphere as carbon dioxide.
167.20 Subd. 2. Geologic carbon sequestration. "Geologic carbon sequestration" means
167.21injecting carbon dioxide into underground geologic formations where it can be stored for
167.22long periods of time to prevent its escape to the atmosphere.
167.23 Sec. 3. TERRESTRIAL CARBON SEQUESTRATION ACTIVITIES.
167.24 Subdivision 1. Study; scope. The Board of Regents of the University of Minnesota
167.25is requested to conduct a study assessing the potential capacity for carbon sequestration in
167.26Minnesota's terrestrial systems. The study must:
167.27 (1) conduct a statewide inventory and construct a database of lands across several
167.28land types, such as forests, agricultural lands, peatlands, and wetlands, that have the
167.29potential to sequester significant quantities of carbon and of lands that currently contain
167.30large stocks of carbon that are at risk of being emitted to the atmosphere as a result of
167.31changes in land use and climate;
167.32
168.1 (2) quantify the ability of various land use practices, such as the growth of different
168.2species of crops, grasses, and trees, to sequester carbon and their impacts on other
168.3ecological services of value, including air and water quality, biodiversity, and wildlife
168.4habitat;
168.5 (3) identify a network of benchmark monitoring sites to measure the impact of
168.6long-term, large-scale factors, such as changes in climate, carbon dioxide levels, and land
168.7use, on the terrestrial carbon sequestration capacity of various land types, to improve
168.8understanding of carbon-terrestrial interactions and dynamics;
168.9 (4) identify long-term demonstration projects to measure the impact of deliberate
168.10sequestration practices, including the establishment of biofuel production systems, on
168.11forest, agricultural, wetland, and prairie ecosystems; and
168.12 (5) evaluate current state policies and programs that affect the levels of terrestrial
168.13sequestration on public and private lands and identify gaps and recommend policy changes
168.14to increase sequestration rates.
168.15 Subd. 2. Coordination of terrestrial carbon sequestration activities. Planning
168.16and implementation of the study described in subdivision 1 will be coordinated by
168.17the Minnesota Terrestrial Carbon Sequestration Initiative, a task force consisting of
168.18representatives from the University of Minnesota, the Department of Agriculture, the
168.19Board of Water and Soil Resources, the Department of Commerce, the Department
168.20of Natural Resources, and the Pollution Control Agency and agricultural, forestry,
168.21conservation, and business stakeholders.
168.22 Subd. 3. Contracting. The University of Minnesota may contract with another
168.23party to perform any of the tasks listed in subdivision 1.
168.24 Subd. 4. Report. The commissioner of natural resources must submit a report
168.25with the results of the study to the senate and house of representatives committees with
168.26jurisdiction over environmental and energy policies no later than February 1, 2008.
168.27 Sec. 4. GEOLOGIC CARBON SEQUESTRATION ASSESSMENT.
168.28 Subdivision 1. Study; scope. (a) The Minnesota Geological Survey shall conduct
168.29a study assessing the potential capacity for geologic carbon sequestration in the
168.30Midcontinent Rift system in Minnesota. The study must assess the potential of porous
168.31and permeable sandstone layers deeper than one kilometer below the surface that are
168.32capped by less permeable shale and must identify potential risks to carbon storage, such
168.33as areas of low permeability in injection zones, low storage capacity, and potential seal
168.34failure. The study must identify the most promising formations and geographic areas for
168.35physical analysis of carbon sequestration potential. The study must review geologic
169.1maps, published reports and surveys, and any relevant unpublished raw data with respect
169.2to attributes that are pertinent for the long-term sequestration of carbon in geologic
169.3formations, in particular, those that bear on formation injectivity, capacity, and seal
169.4effectiveness. The study must examine the following characteristics of key sedimentary
169.5units within the Midcontinent Rift system in Minnesota:
169.6 (1) likely depth, temperature, and pressure;
169.7 (2) physical properties, including the ability to contain and transmit fluids;
169.8 (3) the type of rocks present;
169.9 (4) structure and geometry, including folds and faults; and
169.10 (5) hydrogeology, including water chemistry and water flow.
169.11 (b) The commissioner of natural resources, in consultation with the Minnesota
169.12Geological Survey, shall contract for a study to estimate the properties of the Midcontinent
169.13Rift system in Minnesota, as described in paragraph (a), clauses (1) to (5), through the
169.14use of computer models developed for similar geologic formations located outside of
169.15Minnesota which have been studied in greater detail.
169.16 Subd. 2. Consultation. The Minnesota Geological Survey shall consult with the
169.17Minnesota Mineral Coordinating Committee, established in Minnesota Statutes, section
169.1893.0015, in planning and implementing the study design.
169.19 Subd. 3. Report. The commissioner of natural resources must submit a report
169.20with the results of the study to the senate and house of representatives committees with
169.21jurisdiction over environmental and energy policies no later than February 1, 2008.
169.22 Sec. 5. STAY EXTENDED; DRY CASK STORAGE AT MONTICELLO.
169.23 The stay of a Public Utilities Commission decision to approve an application for
169.24a certificate of need for additional dry cask storage at the Monticello nuclear power
169.25generating facility, imposed under Minnesota Statutes, section 116C.83, subdivision 3,
169.26is extended until June 1, 2008.
169.27EFFECTIVE DATE.This section is effective the day following final enactment.
169.30 Section 1. [216B.091] MONTHLY REPORTS.
169.31 (a) Each public utility must report the following data on residential customers to the
169.32commission monthly, in a format determined by the commission:
169.33 (1) number of customers;
170.1 (2) number and total amount of accounts past due;
170.2 (3) average customer past due amount;
170.3 (4) total revenue received from the low-income home energy assistance program and
170.4other sources contributing to the bills of low-income persons;
170.5 (5) average monthly bill;
170.6 (6) total sales revenue;
170.7 (7) total write-offs due to uncollectible bills;
170.8 (8) number of disconnection notices mailed;
170.9 (9) number of accounts disconnected for nonpayment;
170.10 (10) number of accounts reconnected to service; and
170.11 (11) number of accounts that remain disconnected, grouped by the duration of
170.12disconnection, as follows:
170.13 (i) 1-30 days;
170.14 (ii) 31-60 days; and
170.15 (iii) more than 60 days.
170.16 (b) Monthly reports for October through April must also include the following data:
170.17 (1) number of cold weather protection requests;
170.18 (2) number of payment arrangement requests received and granted;
170.19 (3) number of right to appeal notices mailed to customers;
170.20 (4) number of reconnect request appeals withdrawn;
170.21 (5) number of occupied heat-affected accounts disconnected for 24 hours or more
170.22for electric and natural gas service separately;
170.23 (6) number of occupied non-heat-affected accounts disconnected for 24 hours or
170.24more for electric and gas service separately;
170.25 (7) number of customers granted cold weather rule protection;
170.26 (8) number of customers disconnected who did not request cold weather rule
170.27protection; and
170.28 (9) number of customers disconnected who requested cold weather rule protection.
170.29 (c) The data reported under paragraphs (a) and (b) is presumed to be accurate upon
170.30submission and must be made available through the commission's electronic filing system.
170.31 Sec. 2. [216B.0951] PROPANE PREPURCHASE PROGRAM.
170.32 Subdivision 1. Establishment. The commissioner of commerce shall operate, or
170.33contract to operate, a propane fuel prepurchase fuel program. The commissioner may
170.34contract at any time of the year to purchase the lesser of one-third of the liquid propane
170.35fuel consumed by low-income home energy assistance program recipients during the
171.1previous heating season or the amount that can be purchased with available funds. The
171.2propane fuel prepurchase program must be available statewide through each local agency
171.3that administers the energy assistance program. The commissioner may decide to limit or
171.4not engage in prepurchasing if the commissioner finds that there is a reasonable likelihood
171.5that prepurchasing will not provide fuel-cost savings.
171.6 Subd. 2. Hedge account. The commissioner may establish a hedge account with
171.7realized program savings due to prepurchasing. The account must be used to compensate
171.8program recipients an amount up to the difference in cost for fuel provided to the recipient
171.9if winter-delivered fuel prices are lower than the prepurchase or summer-fill price. No
171.10more than ten percent of the aggregate prepurchase program savings may be used to
171.11establish the hedge account.
171.12 Subd. 3. Report. The Department of Commerce shall issue a report by June 30,
171.132008, made available electronically on its Web site and in print upon request, that contains
171.14the following information:
171.15 (1) the cost per gallon of prepurchased fuel;
171.16 (2) the total gallons of fuel prepurchased;
171.17 (3) the average cost of propane each month between October and the following April;
171.18 (4) the number of energy assistance program households receiving prepurchased
171.19fuel; and
171.20 (5) the average savings accruing or benefit increase provided to energy assistance
171.21households.
171.22 Sec. 3. [216B.096] COLD WEATHER RULE; PUBLIC UTILITIES.
171.23 Subdivision 1. Scope. This section applies only to residential customers of a
171.24public utility.
171.25 Subd. 2. Definitions. (a) The terms used in this section have the meanings given
171.26them in this subdivision.
171.27 (b) "Cold weather period" means the period from October 15 through April 15 of
171.28the following year.
171.29 (c) "Customer" means a residential customer of a utility.
171.30 (d) "Customer's income" means the actual monthly income of the customer or the
171.31average monthly income of the customer computed on a calendar year basis, whichever is
171.32less, and does not include any amount received for energy assistance.
171.33 (e) "Disconnection" means the involuntary loss of utility heating service as a result
171.34of a physical act by a utility to discontinue service. Disconnection includes installation of
171.35a service or load limiter or any device that limits or interrupts utility service in any way.
172.1 (f) "Household income" means the combined income, as defined in section 290A.03,
172.2subdivision 3, of all residents of the customer's household, computed on an annual basis.
172.3Household income does not include any amount received for energy assistance.
172.4 (g) "Reasonably timely payment" means payment within seven calendar days of
172.5agreed-upon due dates.
172.6 (h) "Reconnection" means the restoration of utility heating service after it has been
172.7disconnected.
172.8 (i) "Third party notice" means a commission-approved notice containing, at a
172.9minimum, the following information:
172.10 (1) a statement that the utility will send a copy of any future notice of proposed
172.11disconnection of utility heating service to a third party designated by the residential
172.12customer;
172.13 (2) instructions on how to request this service; and
172.14 (3) a statement that the residential customer should contact the person the customer
172.15intends to designate as the third party contact before providing the utility with the party's
172.16name.
172.17 (j) "Utility" means a public utility as defined in section 216B.02.
172.18 (k) "Utility heating service" means natural gas or electricity used as a primary
172.19heating source, including electricity service necessary to operate gas heating equipment.
172.20 (l) "Working days" means Mondays through Fridays, excluding legal holidays.
172.21 Subd. 3. Utility obligations before cold weather period. (a) Each year, between
172.22September 1 and October 15, each utility must notify all customers of the provisions of
172.23this section. Notice must also be provided to all new residential customers when service is
172.24initiated. Notice must, at a minimum, include:
172.25 (1) an explanation of the customer's rights and responsibilities under subdivision 5;
172.26 (2) an explanation of no-cost and low-cost methods to reduce the consumption
172.27of energy; and
172.28 (3) a third party notice.
172.29 (b) Also, each year, between September 1 and October 15, each utility must attempt
172.30to contact, establish a payment agreement, and reconnect utility heating service to all
172.31customers who were disconnected after the preceding heating season. A record must be
172.32made of all contacts and attempted contacts.
172.33 Subd. 4. Notice before disconnection during cold weather period. Before
172.34disconnecting utility heating service during the cold weather period, a utility must provide
172.35notice to a customer, in easy-to-understand language, that contains the following:
172.36 (1) the date of the scheduled disconnection;
173.1 (2) the amount due;
173.2 (3) ways to avoid disconnection;
173.3 (4) information regarding payment agreements;
173.4 (5) a statement explaining the customer's rights and responsibilities, including the
173.5right to appeal a determination by the utility that the customer is not eligible for protection
173.6and the right to request commission intervention if the utility and customer cannot arrive
173.7at a mutually acceptable payment agreement;
173.8 (6) a list of local energy assistance and weatherization providers in each county
173.9served by the utility; and
173.10 (7) a third party notice.
173.11 Subd. 5. Cold weather rule. (a) During the cold weather period, a utility may
173.12not disconnect and must reconnect a customer whose household income is at or below
173.1350 percent of the state median income if the customer enters into and makes reasonably
173.14timely payments under a mutually acceptable payment agreement with the utility that is
173.15based on the financial resources and circumstances of the household; provided that, a
173.16utility may not require a customer to pay more than ten percent of the customer's income
173.17toward current and past utility bills for utility heating service.
173.18 (b) A utility may accept more than ten percent of the household income as the
173.19payment arrangement amount if agreed to by the customer.
173.20 (c) The customer or a designated third party may request a modification of the terms
173.21of a payment agreement previously entered into if the customer's financial circumstances
173.22have changed or the customer is unable to make reasonably timely payments. The utility
173.23may refer to commission staff a customer who requests more than two modifications of a
173.24payment agreement during a single cold weather rule period if no payments have been
173.25made.
173.26 (d) The payment agreement terminates at the expiration of the cold weather period
173.27unless a longer period is mutually agreed to by the customer and the utility.
173.28 Subd. 6. Verification of income. (a) In verifying a customer's household income,
173.29a utility may:
173.30 (1) accept the signed statement of a customer that the customer is income eligible;
173.31 (2) obtain income verification from a local energy assistance provider or a
173.32government agency;
173.33 (3) consider one or more of the following:
173.34 (i) the most recent income tax return filed by members of the customer's household;
174.1 (ii) for each employed member of the customer's household, paycheck stubs for the
174.2last two months or a written statement from the employer reporting wages earned during
174.3the preceding two months;
174.4 (iii) a customer's Medicaid card, documentation that the customer receives food
174.5stamps, or a food support eligibility document;
174.6 (iv) documentation that the customer receives a pension from the Department of
174.7Human Services, the Social Security Administration, the Veteran's Administration, or
174.8other pension provider;
174.9 (v) a letter showing the customer's dismissal from a job or other documentation of
174.10unemployment; or
174.11 (vi) other documentation that supports the customer's declaration of income
174.12eligibility.
174.13 (b) A customer who receives energy assistance benefits under any federal, state,
174.14or county government programs in which eligibility is defined as household income at
174.15or below 50 percent of state median income is deemed to be automatically eligible for
174.16protection under this section and no other verification of income may be required.
174.17 Subd. 7. Prohibitions and requirements. During the cold weather period:
174.18 (a) A utility may not charge a deposit or delinquency charge to a customer who has
174.19entered into a payment agreement or a customer who has appealed to the commission
174.20under subdivision 8.
174.21 (b) A utility may not disconnect service during the following periods:
174.22 (1) during the pendency of any appeal under subdivision 8;
174.23 (2) earlier than ten working days after a utility has deposited in first class mail,
174.24or seven working days after a utility has personally served, the notice required under
174.25subdivision 4 to a customer in an occupied dwelling;
174.26 (3) earlier than ten working days after the utility has deposited in first class mail
174.27the notice required under subdivision 4 to the recorded billing address of the customer,
174.28if the utility has reasonably determined from an on-site inspection that the dwelling
174.29is unoccupied;
174.30 (4) on a Friday, unless the utility makes personal contact with, and offers a payment
174.31agreement to, the customer;
174.32 (5) on a Saturday, Sunday, holiday, or the day before a holiday;
174.33 (6) when utility offices are closed;
174.34 (7) when no utility personnel are available to resolve disputes, enter into payment
174.35agreements, accept payments, and reconnect service; or
174.36 (8) when commission offices are closed.
175.1 (c) Also, a utility may not discontinue service until the utility investigates whether
175.2the dwelling is actually occupied. At a minimum, the investigation must include one visit
175.3by the utility to the dwelling during normal working hours. If no contact is made and
175.4there is reason to believe that the dwelling is occupied, the utility must attempt a second
175.5contact during nonbusiness hours. If personal contact is made, the utility representative
175.6must provide notice required under subdivision 4 and, if the utility representative is not
175.7authorized to enter into a payment agreement, the telephone number the customer can call
175.8to establish a payment agreement.
175.9 (d) Each utility must reconnect utility service if, following disconnection, the
175.10dwelling is found to be occupied and the customer agrees to enter into a payment
175.11agreement or appeals to the commission because the customer and the utility are unable to
175.12agree on a payment agreement.
175.13 Subd. 8. Disputes; customer appeals. (a) A utility must provide the customer
175.14and any designated third party with a commission-approved written notice of the right
175.15to appeal:
175.16 (1) upon a utility determination that the customer's household income is more than
175.1750 percent of state median household income; or
175.18 (2) when the utility and customer are unable to agree on the establishment or
175.19modification of a payment agreement.
175.20 (b) A customer's appeal must be filed with the commission no later than seven
175.21working days after the customer's receipt of a personally served disconnection notice, or
175.22within ten working days after the utility has deposited a first class mail notice. If no
175.23disconnection notice has been issued, an appeal may be filed at any time.
175.24 (c) The commission must determine all customer appeals on an informal basis,
175.25within 30 calendar days of receipt of a customer's written appeal. In making its
175.26determination, the commission must consider one or more of the factors in subdivision 6,
175.27paragraph (a), clauses (2) and (3).
175.28 (d) Notwithstanding any other law, following an appeals decision adverse to the
175.29customer, a utility may not disconnect utility heating service for seven working days
175.30after the utility has personally served a disconnection notice, or for ten working days
175.31after the utility has deposited a first class mail notice. The notice must contain, in
175.32easy-to-understand language, the date on or after which disconnection will occur, the
175.33reason for disconnection, and ways to avoid disconnection.
175.34 Subd. 9. Utility appeals. A utility may file an appeal of the commission's informal
175.35determination under subdivision 8 within 14 working days after it is issued. An appeal
175.36must be in writing, on forms prescribed by the commission. A copy of the appeal and a
176.1commission-approved letter explaining that the customer may have service disconnected
176.2must be mailed by the utility to the local human services or social services agency and
176.3the local energy assistance provider on the same day as the utility mails its appeal to
176.4the commission.
176.5 Subd. 10. Reporting. Annually on November 1, a utility must file with the
176.6commission a report specifying the number of utility heating service customers whose
176.7service is disconnected or remains disconnected as of October 1 and October 15. If
176.8customers remain disconnected on October 15, a utility must file a report each week
176.9between November 1 and the end of the cold weather period specifying:
176.10 (1) the number of utility heating service customers that are or remain disconnected
176.11from service; and
176.12 (2) the number of utility heating service customers that are reconnected to service
176.13each week. The utility may discontinue weekly reporting if the number of utility heating
176.14service customers that are or remain disconnected reaches zero before the end of the
176.15cold weather period.
176.16 Sec. 4. Minnesota Statutes 2006, section 216B.097, subdivision 1, is amended to read:
176.17 Subdivision 1. Application; notice to residential customer. (a) A municipal utility
176.18or a cooperative electric association must not disconnect and must reconnect the utility
176.19service of a residential customer during the period between October 15 and April 15 if
176.20the disconnection affects the primary heat source for the residential unitwhen and all of
176.21the following conditions are met:
176.22 (1)the customer has declared inability to pay on forms provided by the utility. For
176.23the purposes of this clause, a customer that is receiving energy assistance is deemed
176.24to have demonstrated an inability to pay;
176.25(2) The household income of the customer is less than at or below 50 percent of the
176.26state median household income;. A municipal utility or cooperative electric association
176.27utility may (i) verify income on forms it provides or (ii) obtain
176.28(3) verification of income may be conducted by from the local energy assistance
176.29provideror the utility, unless the. A customer is deemed automatically eligible for to meet
176.30the income requirements of this clauseprotection against disconnection as a recipient of
176.31if the customer receives any form of public assistance, including energy assistance, that
176.32uses an income eligibilityin an amount threshold set at or below the income eligibility in
176.33clause (2); 50 percent of the state median household income.
176.34(4) (2) A customer whose account is current for the billing period immediately prior
176.35to October 15 or who, at any time, enters into and makes reasonably timely payments
177.1under a paymentschedule agreement that considers the financial resources of the
177.2householdand is reasonably current with payments under the schedule; and.
177.3(5) the (3) A customer receives referrals to energy assistance programs,
177.4weatherization, conservation, or other programs likely to reduce the customer's energy
177.5bills.
177.6 (b) A municipal utility or a cooperative electric association must, between August
177.715 and October 15of each year, notify all residential customers of the provisions of this
177.8section.
177.9 Sec. 5. Minnesota Statutes 2006, section 216B.097, subdivision 3, is amended to read:
177.10 Subd. 3. Restrictions if disconnection necessary. (a) If a residential customer must
177.11be involuntarily disconnected between October 15 and April 15 for failure to comply with
177.12the provisions of subdivision 1, the disconnection must not occur:
177.13 (1) on a Fridayor on the day before a holiday, unless the customer declines to enter
177.14into a payment agreement offered that day in person or via personal contact by telephone
177.15by a municipal utility or cooperative electric association;
177.16 (2) on a weekend, holiday, or the day before a holiday;
177.17 (3) when utility offices are closed; or
177.18 (4) after the close of business on a day when disconnection is permitted, unless
177.19a field representative of a municipal utility or cooperative electric association who is
177.20authorized to enter into a payment agreement, accept payment, and continue service,
177.21offers a payment agreement to the customer.
177.22Further, the disconnection must not occur until at least 20 days after the notice required
177.23in subdivision 2 has been mailed to the customer or 15 days after the notice has been
177.24personally delivered to the customer.
177.25 (b) If a customer does not respond to a disconnection notice, the customer must
177.26not be disconnected until the utility investigates whether the residential unit is actually
177.27occupied. If the unit is found to be occupied, the utility must immediately inform the
177.28occupant of the provisions of this section. If the unit is unoccupied, the utility must give
177.29seven days' written notice of the proposed disconnection to the local energy assistance
177.30provider before making a disconnection.
177.31 (c) If, prior to disconnection, a customer appeals a notice of involuntary
177.32disconnection, as provided by the utility's established appeal procedure, the utility must
177.33not disconnect until the appeal is resolved.
177.34 Sec. 6. Minnesota Statutes 2006, section 216B.098, subdivision 4, is amended to read:
178.1 Subd. 4. Undercharges. (a) A utility shall offer a payment agreement to customers
178.2who have been undercharged if no culpable conduct by the customer or resident of
178.3the customer's household caused the undercharge. The agreement must cover a period
178.4equal to the time over which the undercharge occurred or a different time period that is
178.5mutually agreeable to the customer and the utility, except that the duration of a payment
178.6agreement offered by a utility to a customer whose household income is at or below 50
178.7percent of state median household income must consider the financial circumstances of
178.8the customer's household.
178.9 (b) No interest or delinquency fee may be chargedunder this as part of an
178.10undercharge agreement under this subdivision.
178.11 (c) If a customer inquiry or complaint results in the utility's discovery of the
178.12undercharge, the utility may bill for undercharges incurred after the date of the inquiry
178.13or complaint only if the utility began investigating the inquiry or complaint within a
178.14reasonable time after when it was made.
178.15 Sec. 7. Minnesota Statutes 2006, section 216B.16, subdivision 10, is amended to read:
178.16 Subd. 10. Intervenorpayment compensation. (a) An organization or individual
178.17granted formal intervenor status by the commission is eligible to receive compensation.
178.18 (b) The commission may order a utility topay all or a portion of a party's intervention
178.19 compensate all or part of an eligible intervenor's reasonable costsnot to exceed $20,000
178.20per intervenor in any proceeding of participation in a general rate case that comes before
178.21the commission when the commission finds that the intervenor has materially assisted
178.22the commission's deliberationand the intervenor has insufficient financial resources to
178.23afford the costs of intervention and when a lack of compensation would present financial
178.24hardship to the intervenor. Compensation may not exceed $50,000 for a single intervenor
178.25in any proceeding. For the purpose of this subdivision, "materially assisted" means that
178.26the intervenor's participation and presentation was useful and seriously considered, or
178.27otherwise substantially contributed to the commission's deliberations in the proceeding.
178.28 (c) In determining whether an intervenor has materially assisted the commission's
178.29deliberation, the commission must consider, at a minimum, whether:
178.30 (1) the intervenor represented an interest that would not otherwise have been
178.31adequately represented;
178.32 (2) the evidence or arguments presented or the positions taken by the intervenor
178.33were an important factor in producing a fair decision;
178.34 (3) the intervenor's position promoted a public purpose or policy;
179.1 (4) the evidence presented, arguments made, issues raised, or positions taken by the
179.2intervenor would not have been a part of the record without the intervenor's participation;
179.3and
179.4 (5) the administrative law judge or the commission adopted, in whole or in part, a
179.5position advocated by the intervenor.
179.6 (d) In determining whether the absence of compensation would present financial
179.7hardship to the intervenor, the commission must consider:
179.8 (1) whether the costs presented in the intervenor's claim reflect reasonable fees for
179.9attorneys and expert witnesses and other reasonable costs; and
179.10 (2) the ratio between the costs of intervention and the intervenor's unrestricted funds.
179.11 (e) An intervenor seeking compensation must file a request and an affidavit of service
179.12with the commission, and serve a copy of the request on each party to the proceeding.
179.13The request must be filed 30 days after the later of (1) the expiration of the period within
179.14which a petition for rehearing, amendment, vacation, reconsideration, or reargument must
179.15be filed or (2) the date the commission issues an order following rehearing, amendment,
179.16vacation, reconsideration, or reargument.
179.17 (f) The compensation request must include:
179.18 (1) the name and address of the intervenor or representative of the nonprofit
179.19organization the intervenor is representing;
179.20 (2) if necessary, proof of the organization's nonprofit, tax-exempt status;
179.21 (3) the name and docket number of the proceeding for which compensation is
179.22requested;
179.23 (4) a list of actual annual revenues and expenses of the organization the intervenor is
179.24representing for the preceding year and projected revenues, revenue sources, and expenses
179.25for the current year;
179.26 (5) the organization's balance sheet for the preceding year and a current monthly
179.27balance sheet;
179.28 (6) an itemization of intervenor costs and the total compensation request; and
179.29 (7) a narrative explaining why additional organizational funds cannot be devoted
179.30to the intervention.
179.31 (g) Within 30 days after service of the request for compensation, a party may file
179.32a response, together with an affidavit of service, with the commission. A copy of the
179.33response must be served on the intervenor and all other parties to the proceeding.
179.34 (h) Within 15 days after the response is filed, the intervenor may file a reply with
179.35the commission. A copy of the reply and an affidavit of service must be served on all
179.36other parties to the proceeding.
180.1 (i) If additional costs are incurred as a result of additional proceedings following
180.2the commission's initial order, the intervenor may file an amended request within 30
180.3days after the commission issues an amended order. Paragraphs (e) to (h) apply to an
180.4amended request.
180.5 (j) The commission must issue a decision on intervenor compensation within 60
180.6days of a filing by an intervenor.
180.7 (k) A party may request reconsideration of the commission's compensation decision
180.8within 30 days of the decision.
180.9 (l) If the commission issues an order requiring payment of intervenor compensation,
180.10the utility that was the subject of the proceeding must pay the compensation to the
180.11intervenor, and file with the commission proof of payment, within 30 days after the later
180.12of (1) the expiration of the period within which a petition for reconsideration of the
180.13commission's compensation decision must be filed or (2) the date the commission issues
180.14an order following reconsideration of its order on intervenor compensation.
180.15 Sec. 8. Minnesota Statutes 2006, section 216B.16, subdivision 15, is amended to read:
180.16 Subd. 15. Low-income affordability programs. (a) The commissionmay must
180.17consider ability to pay as a factor in setting utility rates and may establish affordability
180.18programs for low-income residential ratepayers in order to ensure affordable, reliable, and
180.19continuous service to low-income utility customers. By September 1, 2007, a public
180.20utility serving low-income residential ratepayers who use natural gas for heating must
180.21file an affordability program with the commission. For purposes of this subdivision,
180.22"low-income residential ratepayers" means ratepayers who receive energy assistance from
180.23the low-income home energy assistance program (LIHEAP).
180.24 (b)The purpose of the low-income programs is to Any affordability program the
180.25commission orders a utility to implement must:
180.26 (1) lower the percentage of income that participating low-income households devote
180.27to energy bills, to;
180.28 (2) increase participating customer payments, and to over time by increasing the
180.29frequency of payments;
180.30 (3) decrease or eliminate participating customer arrears;
180.31 (4) lower the utility costs associated with customer account collection activities; and
180.32 (5) coordinate the program with other available low-income bill payment assistance
180.33and conservation resources.
180.34In orderinglow-income affordability programs, the commission may require public
180.35utilities to file program evaluations, including the coordination of other available
181.1low-income bill payment and conservation resources and that measure the effect of the
181.2affordability program on:
181.3 (1)reducing the percentage of income that participating households devote to energy
181.4bills;
181.5 (2) service disconnections; and
181.6 (3) frequency of customerpayment behavior payments, utility collection costs,
181.7arrearages, and bad debt.
181.8 (c) The commission must issue orders necessary to implement, administer, and
181.9evaluate affordability programs, and to allow a utility to recover program costs, including
181.10administrative costs, on a timely basis. The commission may not allow a utility to recover
181.11administrative costs, excluding start-up costs, in excess of five percent of total program
181.12costs, or program evaluation costs in excess of two percent of total program costs. The
181.13commission must permit deferred accounting, with carrying costs, for recovery of program
181.14costs incurred during the period between general rate cases.
181.15 (d) Public utilities may use information collected or created for the purpose of
181.16administering energy assistance to administer affordability programs.
181.17 Sec. 9. RULES; INSTRUCTION TO COMMISSION AND REVISOR.
181.18 Subdivision 1. Public Utilities Commission. The commission must amend
181.19Minnesota Rules, chapters 7820 and 7831, to conform with the provisions of Minnesota
181.20Statutes, section 216B.096, as authorized under Minnesota Statutes, section 14.388,
181.21subdivision 1, clause (3).
181.22 Subd. 2. Revisor of statutes. The revisor of statutes shall change the reference from
181.23"216B.095" to "216B.096" wherever found in Minnesota Rules, chapter 7820.
181.24 Sec. 10. REPEALER.
181.25(a) Minnesota Rules, parts 7831.0100; 7831.0200; 7831.0300; 7831.0400;
181.267831.0500; 7831.0600; 7831.0700; and 7831.0800, are repealed as they pertain to a
181.27general rate case for a gas or electric utility held before the commission. The Public
181.28Utilities Commission shall timely adopt rules to conform with this repealer and Minnesota
181.29Statutes, section 216B.16, subdivision 10, as amended by this act, under the exempt rule
181.30procedures of Minnesota Statutes, section 14.388, subdivision 1, clause (3).
181.31(b) Minnesota Statutes 2006, section 216B.095, is repealed.
1.3Museum, the Zoological Board, the Departments of Commerce, Natural
1.4Resources, and Health, the Pollution Control Agency, the Public Utilities
1.5Commission, the Board of Water and Soil Resources, the Metropolitan Council,
1.6and the Minnesota Conservation Corps; providing for grants and fund transfers;
1.7modifying disposition of certain revenue; authorizing certain sales; modifying
1.8and creating certain accounts; modifying and establishing certain fees and
1.9surcharges; establishing an off-highway vehicle safety and conservation
1.10program; defining certain terms; providing for venison donation; providing for
1.11prairie establishment guidance; creating the Cuyuna Country State Recreation
1.12Area Citizens Advisory Council; restricting certain off-road vehicle trails;
1.13modifying state park permit requirements; modifying timber sale provisions;
1.14exempting certain exchanged land from the tax-forfeited land assurance fee;
1.15authorizing certain leases of tax-forfeited lands; modifying definition of public
1.16official; modifying agency service requirements; creating a grant program;
1.17designating a state wildlife management area; improving oversight of local
1.18government water management; modifying authority of watershed district board
1.19of managers and soil and water conservation board of supervisors; modifying
1.20provisions for wetland conservation; modifying requirements for ditch buffers;
1.21modifying provisions for individual sewage treatment systems; providing for
1.22civil enforcement; modifying provisions for regulating genetically engineered
1.23organisms; establishing requirements for acquisition of easements; modifying
1.24access to certain wetlands; modifying trail designation requirements; eliminating
1.25sunset of sustainable forest resources provisions; authorizing rulemaking;
1.26providing for voluntary termination of timber sale permits; modifying county
1.27environmental trust fund provisions; naming an island in Pelican Lake; modifying
1.28or adding provisions relating to financial institutions, investments of health
1.29savings accounts, mortgage originators, the Vehicle Protection Product Act,
1.30long-term care insurance, automobile insurance, an electronic licensing system
1.31and technology fees, allowable forms of collateral, securities regulation, charges
1.32billed by licensed health professionals, allocation of petroleum inspection fee
1.33for low-income weatherization assistance, delivery of home heating fuel, debt
1.34management services, the state energy city, energy savings, renewable energy
1.35research, a renewable hydrogen initiative, the Legislative Electric Energy Task
1.36Force, Clean Energy Resource Teams, landfill gas recovery, on-farm biogas
1.37recovery, nuisance liability of wind energy conversion systems, rural wind
1.38energy, petroleum violation escrow funds for K-12 school energy projects,
1.39renewable energy studies and reports, standards for hydrogen and fuel cells,
2.1hydrogen refueling stations, off-site renewable distributed generation, biofuel
2.2production permits, terrestrial and geologic carbon sequestration, dry cask
2.3storage at a nuclear power plant, utility charges and residential customers, the
2.4cold weather rule, a propane prepurchase program, and intervenor compensation
2.5for participants in proceedings before the Public Utilities Commission; requiring
2.6studies and reports; providing civil penalties; making technical and clarifying
2.7changes;amending Minnesota Statutes 2006, sections 10A.01, subdivision 35;
2.813.712, by adding a subdivision; 15.99, subdivision 3; 16A.531, subdivision
2.91a; 45.011, subdivision 1; 46.04, subdivision 1; 46.05; 46.131, subdivision 2;
2.1047.19; 47.59, subdivision 6; 47.60, subdivision 2; 47.62, subdivision 1; 47.75,
2.11subdivision 1; 48.15, subdivision 4; 58.04, subdivisions 1, 2; 58.05; 58.06,
2.12subdivision 2, by adding a subdivision; 58.08, subdivision 3; 58.10, subdivision
2.131; 60K.55, subdivision 2; 65B.44, subdivisions 2, 3, 4, 5; 65B.47, subdivision
2.147; 65B.54, subdivision 1, by adding a subdivision; 80A.28, subdivision 1;
2.1580A.65, subdivision 1; 82.24, subdivisions 1, 4; 82B.09, subdivision 1; 84.025,
2.16subdivision 9; 84.026, subdivision 1; 84.0272, by adding a subdivision; 84.0855,
2.17subdivisions 1, 2; 84.780; 84.927, subdivision 2; 84.963; 84D.02, by adding
2.18a subdivision; 84D.13, subdivision 7; 85.054, subdivision 12, by adding a
2.19subdivision; 86B.706, subdivision 2; 89.22, subdivision 2; 90.161, by adding
2.20a subdivision; 93.22, subdivision 1; 97A.055, subdivision 4; 97A.065, by
2.21adding a subdivision; 97A.133, by adding a subdivision; 97A.475, subdivision
2.227, by adding a subdivision; 97A.485, subdivision 7; 97C.081, subdivision
2.233; 103B.101, by adding a subdivision; 103C.321, by adding a subdivision;
2.24103D.325, by adding a subdivision; 103E.021, subdivisions 1, 2, 3, by adding a
2.25subdivision; 103E.315, subdivision 8; 103E.321, subdivision 1; 103E.701, by
2.26adding a subdivision; 103E.705, subdivisions 1, 2, 3; 103E.728, subdivision
2.272; 103G.222, subdivisions 1, 3; 103G.2241, subdivisions 1, 2, 3, 6, 9, 11;
2.28103G.2242, subdivisions 2, 2a, 9, 12, 15; 103G.2243, subdivision 2; 103G.235;
2.29103G.301, subdivision 2; 115.55, subdivisions 1, 2, 3, by adding a subdivision;
2.30116C.779, subdivision 2; 116C.92; 116C.94, subdivision 1; 116C.97, subdivision
2.312; 118A.03, subdivision 2; 148.102, by adding a subdivision; 216B.097,
2.32subdivisions 1, 3; 216B.098, subdivision 4; 216B.16, subdivisions 10, 15;
2.33216B.241, subdivision 6; 216B.812, subdivisions 1, 2; 216C.051, subdivisions 2,
2.349; 216C.41, subdivisions 1, 2, 3; 239.101, subdivision 3; 282.04, subdivision 1;
2.35325E.311, subdivision 6; 325N.01; 332.54, subdivision 7; Laws 1998, chapter
2.36389, article 16, section 31, subdivision 4, as amended; Laws 2003, chapter 128,
2.37article 1, section 169; Laws 2006, chapter 236, article 1, section 21; proposing
2.38coding for new law in Minnesota Statutes, chapters 1; 16C; 17; 45; 58; 60K;
2.3984; 84D; 85; 89; 97B; 103B; 103E; 216B; 216C; 325E; 561; proposing coding
2.40for new law as Minnesota Statutes, chapters 59C; 332A; repealing Minnesota
2.41Statutes 2006, sections 46.043; 47.62, subdivision 5; 58.08, subdivision 1;
2.4289A.11; 103G.2241, subdivision 8; 216B.095; 332.12; 332.13; 332.14; 332.15;
2.43332.16; 332.17; 332.18; 332.19; 332.20; 332.21; 332.22; 332.23; 332.24; 332.25;
2.44332.26; 332.27; 332.28; 332.29; Minnesota Rules, parts 7831.0100; 7831.0200;
2.457831.0300; 7831.0400; 7831.0500; 7831.0600; 7831.0700; 7831.0800.
2.46BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
| 2.50 |
Section 1. SUMMARY OF APPROPRIATIONS. |
||||||
2.52in this article.
| 3.11 |
Sec. 2. ENVIRONMENT AND NATURAL RESOURCES APPROPRIATIONS. |
||||||
3.13agencies and for the purposes specified in this article. The appropriations are from the
3.14general fund, or another named fund, and are available for the fiscal years indicated
3.15for each purpose. The figures "2008" and "2009" used in this article mean that the
3.16appropriations listed under them are available for the fiscal year ending June 30, 2008, or
3.17June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
3.18year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
3.19year ending June 30, 2007, are effective the day following final enactment.
| 3.20 |
APPROPRIATIONS |
||||||
| 3.21 |
Available for the Year |
||||||
| 3.22 |
Ending June 30 |
||||||
| 3.23 |
2008 |
2009 |
|||||
| 3.24 |
Sec. 3. POLLUTION CONTROL AGENCY |
||||||
| 3.25 |
Subdivision 1.Total Appropriation |
$ |
100,271,000 |
$ |
99,989,000 |
||
3.34purpose are specified in the following
3.35subdivisions.
| 3.36 |
Subd. 2.Water |
42,928,000 |
42,248,000 |
||||
| 4.1 |
Appropriations by Fund |
||
| 4.2 |
General |
23,326,000 |
23,266,000 |
| 4.3 4.4 |
State Government Special Revenue |
48,000 |
48,000 |
| 4.5 |
Remediation |
550,000 |
-0- |
| 4.6 |
Environmental |
19,004,000 |
18,934,000 |
4.8the second year are for the clean water
4.9partnership program. Any balance remaining
4.10in the first year does not cancel and
4.11is available for the second year. This
4.12appropriation may be used for grants to
4.13local units of government for the purpose
4.14of restoring impaired waters listed under
4.15section 303(d) of the federal Clean Water
4.16Act in accordance with adopted total
4.17maximum daily loads (TMDL's), including
4.18implementation of approved clean water
4.19partnership diagnostic study work plans that
4.20will assist in restoration of such impaired
4.21waters.
4.22$2,324,000 the first year and $2,324,000
4.23the second year are for grants to delegated
4.24counties to administer the county feedlot
4.25program. The commissioner, in consultation
4.26with the Minnesota Association of County
4.27Feedlot Officers executive team, may use up
4.28to five percent of the annual appropriation
4.29for initiatives to enhance existing delegated
4.30county feedlot programs, information and
4.31education, or technical assistance to reduce
4.32feedlot-related pollution hazards. Any
4.33unexpended balance in the first year does not
4.34cancel but is available in the second year.
4.35$335,000 the first year and $335,000 the
4.36second year are for community technical
5.1assistance and education, including grants
5.2and technical assistance to communities for
5.3local and basinwide water quality protection.
5.4$405,000 the first year and $405,000 the
5.5second year are for individual sewage
5.6treatment system (ISTS) administration and
5.7grants. Of this amount, $86,000 each year
5.8is for assistance to counties through grants
5.9for ISTS program administration. Any
5.10unexpended balance in the first year does not
5.11cancel but is available in the second year.
5.12$480,000 the first year and $480,000 the
5.13second year are from the environmental
5.14fund to address the need for continued
5.15increased activity in the areas of new
5.16technology review, technical assistance
5.17for local governments, and enforcement
5.18under Minnesota Statutes, sections 115.55
5.19to 115.58, and to complete the requirements
5.20of Laws 2003, chapter 128, article 1, section
5.21165. Of this amount, $48,000 each year is for
5.22administration of individual septic tank fees.
5.23$375,000 the first year and $375,000 the
5.24second year are to monitor and analyze
5.25endocrine disruptors in surface waters in at
5.26least 20 additional sites. The data must be
5.27placed on the agency's Web site.
5.28$15,317,000 the first year and $15,317,000
5.29the second year are to implement the
5.30requirements of Minnesota Statutes, chapter
5.31114D. Of this amount, $6,317,000 each
5.32year is for completion of ten percent of the
5.33needed statewide assessments of surface
5.34water quality and trends and $9,000,000
5.35each year is to develop TMDL's and TMDL
6.1implementation plans for waters listed on
6.2the United States Environmental Protection
6.3Agency approved impaired waters list. The
6.4agency shall complete an average of ten
6.5percent of the TMDL's each year over the
6.6next ten years.
6.7$690,000 the first year and $690,000 the
6.8second year are from the environmental fund
6.9to provide regulatory services to the ethanol,
6.10mining, and other developing economic
6.11sectors. This is a onetime appropriation.
6.12$88,000 the first year is for the endocrine
6.13disruptors report required to be completed
6.14under article 2.
6.15$550,000 is appropriated in fiscal year
6.162008 from the remediation fund to the
6.17commissioner of the Pollution Control
6.18Agency for transfer to the commissioner
6.19of health to conduct an evaluation of point
6.20of use water treatment units at removing
6.21perfluorooctanoic acid, perfluorooctane
6.22sulfonate, and perfluorobutanoic acid from
6.23known concentrations of these compounds
6.24in drinking water. The evaluation shall be
6.25completed by December 31, 2007, and the
6.26commissioner of health may contract for
6.27services to complete the evaluation.
6.28By January 15, 2008, the commissioner shall
6.29amend agency rules and, where legislative
6.30action is necessary, provide recommendations
6.31to the house of representatives and senate
6.32divisions on environmental finance on
6.33water and air fee changes that will result in
6.34revenue to the environmental fund to pay for
7.1regulatory services to the ethanol, mining,
7.2and other developing economic sectors.
7.3Notwithstanding Minnesota Statutes, section
7.416A.28, the appropriations encumbered
7.5under contract on or before June 30, 2009,
7.6for clean water partnership, individual
7.7sewage treatment systems (ISTS), Minnesota
7.8River, total maximum daily loads (TMDL's),
7.9stormwater contracts or grants, and local and
7.10basinwide water quality protection contracts
7.11or grants in this subdivision are available
7.12until June 30, 2011.
| 7.13 |
Subd. 3.Air |
10,623,000 |
10,890,000 |
||||
| 7.14 |
Appropriations by Fund |
||
| 7.15 |
Environmental |
10,623,000 |
10,890,000 |
7.17the second year may be transferred from the
7.18environmental fund to the small business
7.19environmental improvement loan account
7.20established in Minnesota Statutes, section
7.21116.993.
7.22$200,000 the first year and $200,000 the
7.23second year are from the environmental fund
7.24for a monitoring program under Minnesota
7.25Statutes, section 116.454.
7.26$125,000 the first year and $125,000 the
7.27second year are from the environmental fund
7.28for monitoring ambient air for hazardous
7.29pollutants in the metropolitan area.
7.30$760,000 the first year and $760,000 the
7.31second year are from the environmental fund
7.32to provide regulatory services to the ethanol,
7.33mining, and other developing economic
7.34sectors. This is a onetime appropriation.
| 8.1 |
Subd. 4.Land |
18,081,000 |
18,151,000 |
||||
| 8.2 |
Appropriations by Fund |
||
| 8.3 |
Environmental |
7,065,000 |
7,065,000 |
| 8.4 |
Remediation |
11,016,000 |
11,086,000 |
8.6compensation, and compliance in the
8.7remediation fund not otherwise appropriated
8.8is appropriated to the commissioners of the
8.9Pollution Control Agency and agriculture
8.10for purposes of Minnesota Statutes, section
8.11115B.20, subdivision 2, clauses (1), (2),
8.12(3), (6), and (7). At the beginning of each
8.13fiscal year, the two commissioners shall
8.14jointly submit an annual spending plan
8.15to the commissioner of finance and the
8.16house and senate chairs of environment and
8.17natural resources finance that maximizes the
8.18utilization of resources and appropriately
8.19allocates the money between the two
8.20departments. This appropriation is available
8.21until June 30, 2009.
8.22$3,616,000 the first year and $3,616,000
8.23the second year are transferred from the
8.24petroleum tank fund to the remediation fund
8.25for appropriation to the commissioner for
8.26purposes of the leaking underground storage
8.27tank program to protect the land.
8.28$252,000 the first year and $252,000 the
8.29second year are from the remediation fund to
8.30be transferred to the Department of Health
8.31for health assessments, drinking water
8.32advisories, and public information activities
8.33for areas contaminated by hazardous releases.
| 8.34 |
Subd. 5.Multimedia |
4,879,000 |
4,911,000 |
||||
| 9.1 |
Appropriations by Fund |
||
| 9.2 |
General |
2,288,000 |
2,320,000 |
| 9.3 |
Environmental |
2,591,000 |
2,591,000 |
9.5second year are from the environmental fund
9.6to provide regulatory services to the ethanol,
9.7mining, and other developing economic
9.8sectors. This is a onetime appropriation.
9.9Notwithstanding Minnesota Statutes, section
9.1016A.28, the appropriations encumbered
9.11under contract on or before June 30, 2009, for
9.12total maximum daily load (TMDL) contracts
9.13or grants are available until June 30, 2011.
| 9.14 |
Subd. 6.Environmental Assistance |
22,142,000 |
22,142,000 |
||||
9.16environmental fund for SCORE block grants
9.17to counties.
9.18Any unencumbered grant and loan balances
9.19in the first year do not cancel but are available
9.20for grants and loans in the second year.
9.21All money deposited in the environmental
9.22fund for the metropolitan solid waste landfill
9.23fee under Minnesota Statutes, section
9.24473.843, and not otherwise appropriated, is
9.25appropriated to the agency for the purposes
9.26of Minnesota Statutes, section 473.844.
9.27$119,000 the first year and $119,000 the
9.28second year are from the environmental
9.29fund for environmental assistance grants
9.30or loans under Minnesota Statutes, section
9.31115A.0716.
9.32$1,200,000 the first year and $1,200,000 the
9.33second year are from the environmental fund
9.34to retrofit school buses statewide, including
10.1buses for preschool children, and for loans to
10.2small trucking firms to install equipment to
10.3reduce fuel consumption. This is a onetime
10.4appropriation.
10.5Notwithstanding Minnesota Statutes, section
10.616A.28, the appropriations encumbered
10.7under contract on or before June 30,
10.82009, for environmental assistance grants
10.9awarded under Minnesota Statutes, section
10.10115A.0716, and for technical and research
10.11assistance under Minnesota Statutes,
10.12section 115A.152, technical assistance
10.13under Minnesota Statutes, section 115A.52,
10.14and pollution prevention assistance under
10.15Minnesota Statutes, section 115D.04, are
10.16available until June 30, 2011.
| 10.17 |
Subd. 7.Administrative Support |
1,618,000 |
1,647,000 |
||||
10.19the environmental fund to the remediation
10.20fund as necessary for the purposes of the
10.21remediation fund under Minnesota Statutes,
10.22section 116.155, subdivision 2.
| 10.23 |
Sec. 4. NATURAL RESOURCES |
||||||
| 10.24 |
Subdivision 1.Total Appropriation |
$ |
245,396,000 |
$ |
250,238,000 |
||
10.33purpose are specified in the following
10.34subdivisions.
| 11.1 11.2 |
Subd. 2.Land and Mineral Resources Management |
11,461,000 |
11,448,000 |
||||
| 11.3 |
Appropriations by Fund |
||
| 11.4 |
General |
6,347,000 |
6,406,000 |
| 11.5 |
Natural Resources |
3,551,000 |
3,447,000 |
| 11.6 |
Game and Fish |
1,363,000 |
1,395,000 |
| 11.7 |
Permanent School |
200,000 |
200,000 |
11.9second year are for iron ore cooperative
11.10research. Of this amount, $200,000 each year
11.11is from the minerals management account in
11.12the natural resources fund and $275,000 each
11.13year is from the general fund. $237,500 the
11.14first year and $237,500 the second year are
11.15available only as matched by $1 of nonstate
11.16money for each $1 of state money. The
11.17match may be cash or in-kind.
11.18$86,000 the first year and $86,000 the
11.19second year are for minerals cooperative
11.20environmental research, of which $43,000
11.21the first year and $43,000 the second year are
11.22available only as matched by $1 of nonstate
11.23money for each $1 of state money. The
11.24match may be cash or in-kind.
11.25$2,800,000 the first year and $2,696,000
11.26the second year are from the minerals
11.27management account in the natural resources
11.28fund for use as provided in Minnesota
11.29Statutes, section 93.2236, paragraph (c).
11.30$200,000 the first year and $200,000 the
11.31second year are from the state forest suspense
11.32account in the permanent school fund to
11.33accelerate land exchanges, land sales, and
11.34commercial leasing of school trust lands and
11.35to identify, evaluate, and lease construction
11.36aggregate located on school trust lands. This
12.1appropriation is to be used for securing
12.2maximum long-term economic return
12.3from the school trust lands consistent with
12.4fiduciary responsibilities and sound natural
12.5resources conservation and management
12.6principles.
12.7$15,000 the first year is for a report
12.8by February 1, 2008, to the house and
12.9senate committees with jurisdiction over
12.10environment and natural resources on
12.11proposed minimum legal and conservation
12.12standards that could be applied to
12.13conservation easements acquired with public
12.14money.
12.15$701,000 the first year and $701,000 the
12.16second year are to support the land records
12.17management system. Of this amount,
12.18$326,000 the first year and $326,000 the
12.19second year are from the game and fish fund
12.20and $375,000 the first year and $375,000 the
12.21second year are from the natural resources
12.22fund.
| 12.23 |
Subd. 3.Water Resources Management |
12,931,000 |
13,116,000 |
||||
| 12.24 |
Appropriations by Fund |
||
| 12.25 |
General |
12,651,000 |
12,836,000 |
| 12.26 |
Natural Resources |
280,000 |
280,000 |
12.28second year are for grants for up to 50
12.29percent of the cost of implementing the Red
12.30River mediation agreement.
12.31$65,000 the first year and $65,000 the
12.32second year are for a grant to the Mississippi
12.33Headwaters Board for up to 50 percent of
12.34the cost of implementing the comprehensive
13.1plan for the upper Mississippi within areas
13.2under the board's jurisdiction.
13.3$5,000 the first year and $5,000 the second
13.4year are for payment to the Leech Lake Band
13.5of Chippewa Indians to implement the band's
13.6portion of the comprehensive plan for the
13.7upper Mississippi.
13.8$200,000 the first year and $200,000 the
13.9second year are for the construction of ring
13.10dikes under Minnesota Statutes, section
13.11103F.161. The ring dikes may be publicly
13.12or privately owned. Any unencumbered
13.13balance does not cancel at the end of the
13.14first year and is available for the second
13.15year. If the appropriation in the first year is
13.16insufficient, the appropriation for the second
13.17year is available in the first year.
13.18$1,280,000 the first year and $1,280,000 the
13.19second year are to support the identification
13.20of impaired waters and develop plans to
13.21address those impairments, as required by the
13.22federal Clean Water Act. This is a onetime
13.23appropriation.
| 13.24 |
Subd. 4.Forest Management |
41,098,000 |
41,830,000 |
||||
| 13.25 |
Appropriations by Fund |
||
| 13.26 |
General |
22,858,000 |
23,273,000 |
| 13.27 |
Natural Resources |
17,983,000 |
18,293,000 |
| 13.28 |
Game and Fish |
257,000 |
264,000 |
13.30the second year are for prevention,
13.31presuppression, and suppression costs of
13.32emergency firefighting and other costs
13.33incurred under Minnesota Statutes, section
13.3488.12. If the appropriation for either
13.35year is insufficient to cover all costs of
14.1presuppression and suppression, the amount
14.2necessary to pay for these costs during the
14.3biennium is appropriated from the general
14.4fund.
14.5By November 15 of each year, the
14.6commissioner of natural resources shall
14.7submit a report to the chairs of the house
14.8and senate committees and divisions having
14.9jurisdiction over environment and natural
14.10resources finance, identifying all firefighting
14.11costs incurred and reimbursements received
14.12in the prior fiscal year. These appropriations
14.13may not be transferred. Any reimbursement
14.14of firefighting expenditures made to the
14.15commissioner from any source other than
14.16federal mobilizations shall be deposited into
14.17the general fund.
14.18$17,983,000 the first year and $18,293,000
14.19the second year are from the forest
14.20management investment account in the
14.21natural resources fund for only the purposes
14.22specified in Minnesota Statutes, section
14.2389.039, subdivision 2.
14.24$780,000 the first year and $780,000 the
14.25second year are for the Forest Resources
14.26Council for implementation of the
14.27Sustainable Forest Resources Act.
14.28$350,000 the first year and $350,000 the
14.29second year are for the FORIST timber
14.30management information system, other
14.31information systems, and for increased
14.32forestry management. The amount in the
14.33second year is also available in the first year.
14.34$257,000 the first year and $264,000 the
14.35second year are from the game and fish
15.1fund to implement ecological classification
15.2systems (ECS) standards on forested
15.3landscapes. This appropriation is from
15.4revenue deposited in the game and fish fund
15.5under Minnesota Statutes, section 297A.94,
15.6paragraph (e), clause (1).
15.7$55,000 the first year and $55,000 the
15.8second year are to develop and implement
15.9a statewide information and education
15.10campaign regarding the proposed statewide
15.11ban on the transport, storage, or use of
15.12nonapproved firewood on state administered
15.13land.
15.14$75,000 the first year is to the Forest
15.15Resources Council for a task force on
15.16forest protection and $75,000 the second
15.17year is appropriated to the commissioner
15.18for grants to cities, counties, townships,
15.19special recreation areas, and park and
15.20recreation boards in cities of the first class
15.21for the identification, removal, disposal, and
15.22replacement of dead or dying shade trees
15.23lost to forest pests or disease. For purposes
15.24of this section, "shade tree" means a woody
15.25perennial grown primarily for aesthetic or
15.26environmental purposes with minimal to
15.27residual timber value. The commissioner
15.28shall consult with municipalities; park and
15.29recreation boards in cities of the first class;
15.30nonprofit organizations; and other interested
15.31parties in developing eligibility criteria.
| 15.32 |
Subd. 5.Parks and Recreation Management |
35,141,000 |
35,959,000 |
||||
| 15.33 |
Appropriations by Fund |
||
| 15.34 |
General |
20,560,000 |
20,923,000 |
| 15.35 |
Natural Resources |
14,581,000 |
15,036,000 |
16.2second year are from the water recreation
16.3account in the natural resources fund for state
16.4park water access projects.
16.5$3,996,000 the first year and $3,996,000 the
16.6second year are from the natural resources
16.7fund for state park and recreation area
16.8operations. This appropriation is from the
16.9revenue deposited in the natural resources
16.10fund under Minnesota Statutes, section
16.11297A.94, paragraph (e), clause (2).
16.12$5,000 each year is for payment of expenses
16.13of the Cuyuna Country State Recreation Area
16.14Citizens Advisory Council.
16.15The commissioner of natural resources, in
16.16consultation with the local elected officials
16.17and citizens of Meeker County, shall develop
16.18a plan for Greenleaf Lake State Recreation
16.19Area. The commissioner shall submit the
16.20plan to the legislative committees with
16.21jurisdiction over state parks and capital
16.22investment by February 1, 2008.
16.23The appropriation in Laws 2003, chapter
16.24128, article 1, section 5, subdivision 6, from
16.25the water recreation account in the natural
16.26resources fund for a cooperative project with
16.27the United States Army Corps of Engineers
16.28to develop the Mississippi Whitewater Park
16.29is available until June 30, 2009.
| 16.30 |
Subd. 6.Trails and Waterways Management |
29,727,000 |
29,822,000 |
||||
| 16.31 |
Appropriations by Fund |
||
| 16.32 |
General |
2,528,000 |
2,548,000 |
| 16.33 |
Natural Resources |
25,080,000 |
25,080,000 |
| 16.34 |
Game and Fish |
2,119,000 |
2,194,000 |
17.2the second year are from the snowmobile
17.3trails and enforcement account in the natural
17.4resources fund for snowmobile grants-in-aid.
17.5The additional money under this paragraph
17.6may be used for new grant-in-aid trails. Any
17.7unencumbered balance does not cancel at the
17.8end of the first year and is available for the
17.9second year.
17.10$925,000 the first year and $825,000 the
17.11second year are from the natural resources
17.12fund for off-highway vehicle grants-in-aid.
17.13Of this amount, $575,000 the first year
17.14and $575,000 the second year are from the
17.15all-terrain vehicle account; $150,000 each
17.16year is from the off-highway motorcycle
17.17account; and $200,000 the first year and
17.18$100,000 the second year are from the
17.19off-road vehicle account. Any unencumbered
17.20balance does not cancel at the end of the first
17.21year and is available for the second year.
17.22$261,000 the first year and $261,000 the
17.23second year are from the water recreation
17.24account in the natural resources fund for a
17.25safe harbor program on Lake Superior.
17.26$742,000 the first year and $760,000
17.27the second year are from the natural
17.28resources fund for state trail operations
17.29and maintenance. The money may be used
17.30for trail maintenance, signage, mapping,
17.31interpretation, native prairie restoration
17.32using best management practices, and
17.33maintenance of nonmotorized forest trails.
17.34This appropriation is from the revenue
17.35deposited in the natural resources fund
18.1under Minnesota Statutes, section 297A.94,
18.2paragraph (e), clause (2).
18.3$32,000 the first year and $107,000 the
18.4second year are from the game and fish fund
18.5and is added to the base for expenditures
18.6on water access sites according to the
18.7requirements of the federal sport and fish
18.8restoration program.
| 18.9 |
Subd. 7.Fish and Wildlife Management |
67,072,000 |
68,394,000 |
||||
| 18.10 |
Appropriations by Fund |
||
| 18.11 |
General |
3,255,000 |
3,255,000 |
| 18.12 |
Natural Resources |
1,876,000 |
1,876,000 |
| 18.13 |
Game and Fish |
61,941,000 |
63,263,000 |
18.15second year are for resource population
18.16surveys in the 1837 treaty area. Of this
18.17amount, $274,000 the first year and $288,000
18.18the second year are from the game and fish
18.19fund.
18.20$8,061,000 the first year and $8,167,000
18.21the second year are from the heritage
18.22enhancement account in the game and
18.23fish fund for only the purposes specified
18.24in Minnesota Statutes, section 297A.94,
18.25paragraph (e), clause (1). Of this amount,
18.26$1,175,000 the first year and $1,175,000 the
18.27second year are for preserving, restoring, and
18.28enhancing grassland/wetland complexes on
18.29public lands.
18.30Notwithstanding Minnesota Statutes, section
18.3184.943, $13,000 the first year and $13,000
18.32the second year from the critical habitat
18.33private sector matching account may be used
18.34to publicize the critical habitat license plate
18.35match program.
19.1$8,000 the first year and $8,000 the second
19.2year are appropriated from the game and
19.3fish fund for transfer to the wild turkey
19.4management account for purposes specified
19.5in Minnesota Statutes, section 97A.075,
19.6subdivision 5.
19.7$108,000 the first year and $108,000 the
19.8second year are from the game and fish
19.9fund for costs associated with administering
19.10fishing contest permits.
19.11$182,000 the first year and $132,000 the
19.12second year are to accelerate wildlife health
19.13programs and to prevent the spread of
19.14disease from livestock and poultry to the
19.15wildlife population. $50,000 in the first
19.16year is for fencing cattle-feeding areas in
19.17bovine tuberculosis control zones, under the
19.18emergency deterrent materials assistance
19.19program in Minnesota Statutes, section
19.2097A.028, subdivision 3. This appropriation
19.21is available until June 30, 2009. $66,000 of
19.22this amount is permanent.
19.23$575,000 the first year and $575,000 the
19.24second year are for preserving, restoring, and
19.25enhancing grassland/wetland complexes on
19.26public lands.
19.27$150,000 the first year and $150,000 the
19.28second year are from the game and fish fund
19.29to expand the roadsides for wildlife program.
19.30$175,000 the first year and $175,000 the
19.31second year are appropriated from the game
19.32and fish fund to the commissioner of natural
19.33resources for grants to Let's Go Fishing
19.34of Minnesota to promote opportunities
19.35for fishing. The grants must be matched
20.1equally with cash or in-kind contributions
20.2from nonstate sources. This is a onetime
20.3appropriation.
20.4Notwithstanding Minnesota Statutes, section
20.516A.28, the appropriations encumbered
20.6under contract on or before June 30, 2009, for
20.7aquatic restoration grants and wildlife habitat
20.8grants are available until June 30, 2010.
| 20.9 |
Subd. 8.Ecological Services |
14,201,000 |
15,404,000 |
||||
| 20.10 |
Appropriations by Fund |
||
| 20.11 |
General |
6,831,000 |
7,934,000 |
| 20.12 |
Natural Resources |
3,488,000 |
3,519,000 |
| 20.13 |
Game and Fish |
3,882,000 |
3,951,000 |
20.15second year are from the nongame wildlife
20.16management account in the natural resources
20.17fund for the purpose of nongame wildlife
20.18management. Notwithstanding Minnesota
20.19Statutes, section 290.431, $100,000 the first
20.20year and $100,000 the second year may be
20.21used for nongame information, education,
20.22and promotion.
20.23$1,612,000 the first year and $1,636,000
20.24the second year are from the heritage
20.25enhancement account in the game and
20.26fish fund for only the purposes specified
20.27in Minnesota Statutes, section 297A.94,
20.28paragraph (e), clause (1), on public lands.
20.29$2,765,000 in the first year and $3,985,000
20.30in the second year, of which $1,795,000 the
20.31first year and $1,795,000 the second year
20.32are from the invasive species account in the
20.33natural resources fund for law enforcement
20.34and water access inspection to prevent the
20.35spread of invasive species, grants to manage
21.1invasive plants in public waters, technical
21.2assistance to grant applicants for improving
21.3lake quality, and management of terrestrial
21.4invasive species on state-administered lands.
21.5Priority shall be given to preventing the
21.6spread of aquatic invertebrates. Of this
21.7amount, $250,000 the first year and $250,000
21.8the second year are for a zebra mussel pilot
21.9program. This is a onetime appropriation.
21.10An applicant for a grant to manage invasive
21.11plants in public waters must have a workable
21.12plan for improving water quality and
21.13reducing the need for additional treatment.
21.14Grants may not be made for chemicals that
21.15are likely endocrine disruptors. A plan to
21.16prevent the introduction of asian carp into
21.17Minnesota waters must be made available to
21.18the public by November 1, 2007.
21.19$125,000 the first year is to support a
21.20technical advisory committee and for land
21.21management units that manage grass lands
21.22in order to develop plans to optimize
21.23native prairie seed harvest and replanting
21.24on state-owned lands. The work must
21.25use best management practices with an
21.26outcome of ensuring the survival of the
21.27native prairie remaining in Minnesota and to
21.28estimate the value of the seeds. Maximizing
21.29seed harvest may include allowing seed
21.30producers to keep a portion of the seed as
21.31compensation for supplying equipment and
21.32labor. The Department of Natural Resources
21.33in cooperation with the Department of
21.34Agriculture and the Board of Water and
21.35Soil Resources shall establish the technical
21.36advisory committee which has the expertise
22.1to develop (1) criteria to identify public
22.2and private marginal lands which could be
22.3used to produce native prairie seeds of a
22.4local eco-type or restore native prairies that
22.5could be used to produce clean energy, (2)
22.6guidelines for production that ensure high
22.7carbon sequestration, protection of wildlife
22.8and waters, and minimization of inputs and
22.9that do not compromise the survival of the
22.10native prairie remaining in Minnesota, and
22.11(3) recommendations for incentives that will
22.12result in the production of native prairie seeds
22.13of a local eco-type or restore native prairies.
22.14In addition to agency members, the advisory
22.15committee shall have one member from
22.16each of two farm organizations, one member
22.17from a sustainable farmer organization, one
22.18member each from three rural economic
22.19development organizations, one member
22.20each from three environmental organizations,
22.21and one member each from three wildlife or
22.22conservation organizations. The technical
22.23committee shall work with the NextGen
22.24Energy Board to develop a clean energy
22.25program. A report on outcomes from the
22.26technical committee is due December 15,
22.272007, to the legislative finance chairs on
22.28environment and natural resources.
22.29$50,000 in the first year is for the
22.30commissioner, in consultation with the
22.31Environmental Quality Board, to report to
22.32the house and senate committees having
22.33jurisdiction over environmental policy
22.34and finance by February 1, 2008, on the
22.35Mississippi River critical area program. The
22.36report shall include the status of critical
23.1area plans, zoning ordinances, the number
23.2and types of revisions anticipated, and the
23.3nature and number of variances sought. The
23.4report shall include recommendations that
23.5adequately protect and manage the aesthetic
23.6integrity and natural environment of the river
23.7corridor.
23.8$1,500,000 the first year and $1,500,000 the
23.9second year are to support the identification
23.10of impaired waters and develop plans to
23.11address those impairments, as required by the
23.12federal Clean Water Act. This is a onetime
23.13appropriation.
| 23.14 |
Subd. 9.Enforcement |
29,971,000 |
30,490,000 |
||||
| 23.15 |
Appropriations by Fund |
||
| 23.16 |
General |
3,336,000 |
3,392,000 |
| 23.17 |
Natural Resources |
7,113,000 |
7,113,000 |
| 23.18 |
Game and Fish |
19,422,000 |
19,885,000 |
| 23.19 |
Remediation |
100,000 |
100,000 |
23.21officer position to be stationed at Mississippi
23.22Headwaters State Forest to work with local
23.23jurisdictions in enforcing state law along
23.24the Mississippi River from Lake Itasca
23.25downstream to Lake Bemidji and in the
23.26Bemidji region.
23.27$1,082,000 the first year and $1,082,000 the
23.28second year are from the water recreation
23.29account in the natural resources fund for
23.30grants to counties for boat and water safety.
23.31$100,000 the first year and $100,000 the
23.32second year are from the remediation fund
23.33for solid waste enforcement activities under
23.34Minnesota Statutes, section 116.073.
24.1$315,000 the first year and $315,000 the
24.2second year are from the snowmobile
24.3trails and enforcement account in the
24.4natural resources fund for grants to local
24.5law enforcement agencies for snowmobile
24.6enforcement activities.
24.7$1,164,000 the first year and $1,164,000
24.8the second year are from the heritage
24.9enhancement account in the game and
24.10fish fund for only the purposes specified
24.11in Minnesota Statutes, section 297A.94,
24.12paragraph (e), clause (1).
24.13$225,000 the first year and $225,000
24.14the second year are from the natural
24.15resources fund for grants to county law
24.16enforcement agencies for off-highway
24.17vehicle enforcement and public education
24.18activities based on off-highway vehicle use
24.19in the county. Of this amount, $213,000 each
24.20year is from the all-terrain vehicle account,
24.21$11,000 each year is from the off-highway
24.22motorcycle account, and $1,000 each year
24.23is from the off-road vehicle account. The
24.24county enforcement agencies may use
24.25money received under this appropriation
24.26to make grants to other local enforcement
24.27agencies within the county that have a high
24.28concentration of off-highway vehicle use. Of
24.29this appropriation, $25,000 each year is for
24.30administration of these grants.
24.31$15,000 the first year and $5,000 the second
24.32year are from the off-road vehicle account
24.33in the natural resources fund to establish
24.34the off-road vehicle environment and safety
25.1education and training program under
25.2Minnesota Statutes, section 84.8015.
25.3Overtime must be distributed to conservation
25.4officers at historical levels; however, a
25.5reasonable reduction or addition may be
25.6made to the officer's allocation, if justified,
25.7based on an individual officer's workload. If
25.8funding for enforcement is reduced because
25.9of an unallotment, the overtime bank may be
25.10reduced in proportion to reductions made in
25.11other areas of the budget.
| 25.12 |
Subd. 10.Operations Support |
3,794,000 |
3,775,000 |
||||
| 25.13 |
Appropriations by Fund |
||
| 25.14 |
General |
2,221,000 |
2,211,000 |
| 25.15 |
Natural Resources |
484,000 |
484,000 |
| 25.16 |
Game and Fish |
1,089,000 |
1,080,000 |
25.18fish fund for the study on the natural stands
25.19of wild rice required in article 2.
25.20$270,000 the first year and $270,000 the
25.21second year are from the natural resources
25.22fund for grants to be divided equally between
25.23the city of St. Paul for the Como Zoo
25.24and Conservatory and the city of Duluth
25.25for the Duluth Zoo. This appropriation
25.26is from the revenue deposited to the fund
25.27under Minnesota Statutes, section 297A.94,
25.28paragraph (e), clause (5).
25.29$55,000 in the first year and $7,000 in the
25.30second year are to be transferred to the
25.31Environmental Quality Board to fulfill the
25.32requirement of Minnesota Statutes, sections
25.33116C.92 and 116C.94.
| 25.34 25.35 |
Sec. 5. BOARD OF WATER AND SOIL RESOURCES |
$ |
22,369,000 |
$ |
22,728,000 |
||
26.2second year are for natural resources block
26.3grants to local governments. The board may
26.4reduce the amount of the natural resources
26.5block grant to a county by an amount equal to
26.6any reduction in the county's general services
26.7allocation to a soil and water conservation
26.8district from the county's previous year
26.9allocation when the board determines that
26.10the reduction was disproportionate. Grants
26.11must be matched with a combination of local
26.12cash or in-kind contributions. The base grant
26.13portion related to water planning must be
26.14matched by an amount that would be raised
26.15by a levy under Minnesota Statutes, section
26.16103B.3369.
26.17$3,566,000 the first year and $3,566,000
26.18the second year are for grants requested
26.19by soil and water conservation districts for
26.20general purposes, nonpoint engineering,
26.21and implementation of the reinvest in
26.22Minnesota conservation reserve program.
26.23Upon approval of the board, expenditures
26.24may be made from these appropriations for
26.25supplies and services benefiting soil and
26.26water conservation districts. Any district
26.27requesting a grant under this paragraph
26.28shall create and maintain a Web page that
26.29publishes, at a minimum, its annual plan,
26.30annual report, annual audit, and annual
26.31budget, including membership dues and
26.32meeting notices and minutes.
26.33$3,250,000 the first year and $3,250,000
26.34the second year are for grants to soil and
26.35water conservation districts for cost-sharing
26.36contracts for erosion control and water
27.1quality management. Of this amount, at least
27.2$1,200,000 the first year and $1,200,000 the
27.3second year are for grants for cost-sharing
27.4contracts to establish and maintain vegetation
27.5buffers of restored native prairie and restored
27.6prairie using seeds of a local ecotype region.
27.7$300,000 the first year and $300,000 the
27.8second year are available to begin county
27.9cooperative weed management programs
27.10on natural lands and private lands enrolled
27.11in state and federal conservation programs
27.12and to restore native plants in selected
27.13invasive species management sites by
27.14providing local native seeds and plants
27.15to landowners for implementation. This
27.16appropriation is available until expended. If
27.17the appropriation in either year is insufficient,
27.18the appropriation in the other year is available
27.19for it. Notwithstanding Minnesota Statutes,
27.20section 103C.501, any balance in the board's
27.21cost-share program that remains from the
27.22fiscal year 2007 appropriation is available
27.23in an amount up to $2,000 for a grant to
27.24the Faribault Soil and Water Conservation
27.25District to pay for erosion repair on the Blue
27.26Earth River, and up to $40,000 is available for
27.27grants to soil and water conservation districts
27.28for Web site development and reporting; and
27.29$100,000 in fiscal years 2008 and 2009 is
27.30for evaluating and reporting on performance,
27.31financial, and activity information of local
27.32water management entities as provided for in
27.33article 2, section 37.
27.34The board shall develop a forestry practice
27.35docket for cost-share money. The board shall
27.36develop standards or policies for cost-share
28.1practices for the following purposes: (1)
28.2establishment and maintenance of vegetated
28.3buffers of restored prairie or restored native
28.4prairie using seeds of a local ecotype;
28.5(2) establishment of cooperative weed
28.6management programs on private natural
28.7lands and lands enrolled in state and federal
28.8conservation programs and restoration of
28.9native plants in selected invasive species
28.10management sites by providing local native
28.11seeds and plants to landowners; and (3)
28.12establishment of soil and water conservation
28.13and ecological improvement practices on
28.14private forest lands.
28.15$100,000 the first year and $100,000 the
28.16second year are for a grant to the Red
28.17River Basin Commission to develop a Red
28.18River basin plan and to coordinate water
28.19management activities in the states and
28.20provinces bordering the Red River. The
28.21unencumbered balance in the first year does
28.22not cancel but is available for the second
28.23year.
28.24$5,450,000 the first year and $5,450,000 the
28.25second year are for implementation of the
28.26Clean Water Legacy Act as follows:
28.27(1) $1,500,000 each year is for targeted
28.28nonpoint restoration cost-share and incentive
28.29payments, of which up to $1,400,000 each
28.30year is available for grants. Of this amount,
28.31$250,000 each year must be contracted for
28.32services with the Minnesota Conservation
28.33Corps. The grant funds are available until
28.34expended;
29.1(2) $2,000,000 each year is for targeted
29.2nonpoint restoration and protection and
29.3technical, compliance, and engineering
29.4assistance activities, of which up to
29.5$1,325,000 the first year and $1,700,000
29.6the second year are available for grants, of
29.7which $225,000 the first year is to inventory
29.8wetland mitigation opportunities and water
29.9quality and watershed improvement projects
29.10in a greater than 80 percent area and of
29.11which $150,000 the first year is to conduct a
29.12regionwide wetland mitigation siting analysis
29.13for greater than 80 percent areas. The
29.14$225,000 amount shall include an inventory
29.15of the wetland and water resources that have
29.16been developed on former mine lands and
29.17an analysis of the functions and values of
29.18those wetland and water resources. This is a
29.19onetime appropriation and is available until
29.20June 30, 2009. The $150,000 amount for
29.21analysis shall (i) evaluate wetland mitigation
29.22opportunities in each watershed and wetland
29.23bank service area, (ii) develop goals for
29.24maintaining water quality in the greater than
29.2580 percent areas, and (iii) identify wetland
29.26mitigation opportunities in other regions with
29.27a greater loss of wetlands or with impaired
29.28waters. This is a onetime appropriation and
29.29is available until June 30, 2009. A report on
29.30the analysis outcomes shall be given to the
29.31house and senate chairs of the environment
29.32and natural resources policy and finance
29.33committees by January 15, 2009;
29.34(3) $200,000 each year is for reporting
29.35and evaluating applied soil and water
29.36conservation practices;
30.1(4) $1,000,000 each year is for grants
30.2to implement county individual sewage
30.3treatment system programs. Of this
30.4amount, after a county has complied with
30.5requirements to adopt ordinances pursuant
30.6to Minnesota Statutes, section 115.55,
30.7subdivision 2, the county may request grants
30.8of up to $60,000 the first year and $60,000
30.9the second year to inventory properties with
30.10individual sewage treatment systems that
30.11are an imminent threat to public health or
30.12safety due to water discharges of untreated
30.13sewage, and require compliance under an
30.14applicable ordinance. The grant amount
30.15shall be proportional to the number of
30.16properties expected to be inventoried. Each
30.17county receiving an appropriation under
30.18this paragraph shall report the number of
30.19inspections and the number determined to be
30.20an imminent threat to public health or safety
30.21to the Pollution Control Agency by February
30.221 of each year;
30.23(5) $650,000 each year is for feedlot water
30.24quality grants for feedlots under 300 animal
30.25units where there are impaired waters; and
30.26(6) $100,000 each year is to the Minnesota
30.27River Basin Joint Powers Board, also known
30.28as the Minnesota River Board, for operating
30.29expenses to measure and report the results of
30.30projects in the 12 major watersheds within
30.31the Minnesota River basin.
30.32If the appropriations in clauses (1) to (6) in
30.33either year are insufficient, the appropriation
30.34in the other year is available for it. All of
30.35the money appropriated in clauses (1) to
31.1(6) as grants to local governments shall be
31.2administered through the Board of Water
31.3and Soil Resources' local water resources
31.4protection and management program under
31.5Minnesota Statutes, section 103B.3369.
31.6$140,000 the first year and $140,000
31.7the second year are for a grant to Area
31.8II, Minnesota River Basin Projects,
31.9for floodplain management, including
31.10administration of programs.
31.11$1,120,000 the first year and $1,060,000 the
31.12second year may be spent for the following
31.13purposes to support implementation of the
31.14Wetland Conservation Act: $500,000 each
31.15year is to make grants to local units of
31.16governments to improve response to major
31.17wetland violations; $500,000 each year is for
31.18staffing to provide adequate state oversight
31.19and technical support to local governments
31.20administering the Wetland Conservation Act;
31.21$60,000 each year is for staff to monitor and
31.22enforce wetland replacement and wetland
31.23bank sites; and $60,000 the first year is
31.24for rulemaking required by changes to the
31.25Wetland Conservation Act.
31.26$450,000 the first year and $800,000
31.27the second year are to implement
31.28recommendations of the Drainage Work
31.29Group to enhance public drainage and
31.30modernization as follows: $150,000 the first
31.31year is to develop guidelines for drainage
31.32records preservation and modernization;
31.33$500,000 the second year is for cost-share
31.34grants to local governments for public
31.35drainage records modernization; and
32.1$300,000 each year is to provide assistance
32.2to local drainage management officials, to
32.3facilitate the work of the Drainage Work
32.4Group, to staff a drainage assistance team,
32.5and to update the Minnesota Public Drainage
32.6Manual. All of the money appropriated in
32.7this paragraph as grants to local governments
32.8shall be administered through the Board
32.9of Water and Soil Resources' local water
32.10resources protection and management
32.11program under Minnesota Statutes, section
32.12103B.3369.
32.13In addition to other authorities, the Board
32.14of Water and Soil Resources may reduce,
32.15withhold, or redirect grants and other funding
32.16if the local water management entity has
32.17not corrected deficiencies as prescribed in a
32.18notice from the board within one year from
32.19the date of the notice.
| 32.20 |
Sec. 6. METROPOLITAN COUNCIL |
$ |
8,620,000 |
$ |
8,620,000 |
||
| 32.21 |
Appropriations by Fund |
||
| 32.22 |
2008 |
2009 |
|
| 32.23 |
General |
4,050,000 |
4,050,000 |
| 32.24 |
Natural Resources |
4,570,000 |
4,570,000 |
32.26the second year are for metropolitan parks
32.27operations.
32.28$4,570,000 the first year and $4,570,000 the
32.29second year are from the natural resources
32.30fund for metropolitan area regional parks
32.31and trails maintenance and operations. This
32.32appropriation is from the revenue deposited
32.33in the natural resources fund under Minnesota
32.34Statutes, section 297A.94, paragraph (e),
32.35clause (3).
| 33.1 33.2 |
Sec. 7. MINNESOTA CONSERVATION CORPS |
$ |
840,000 |
$ |
840,000 |
||
| 33.3 |
Appropriations by Fund |
||
| 33.4 |
2008 |
2009 |
|
| 33.5 |
General |
350,000 |
350,000 |
| 33.6 |
Natural Resources |
490,000 |
490,000 |
33.8receive money appropriated from the
33.9natural resources fund under this section
33.10only as provided in an agreement with the
33.11commissioner of natural resources.
33.14 Section 1. Minnesota Statutes 2006, section 10A.01, subdivision 35, is amended to
33.15read:
33.16 Subd. 35. Public official. "Public official" means any:
33.17 (1) member of the legislature;
33.18 (2) individual employed by the legislature as secretary of the senate, legislative
33.19auditor, chief clerk of the house, revisor of statutes, or researcher, legislative analyst, or
33.20attorney in the Office of Senate Counsel and Research or House Research;
33.21 (3) constitutional officer in the executive branch and the officer's chief administrative
33.22deputy;
33.23 (4) solicitor general or deputy, assistant, or special assistant attorney general;
33.24 (5) commissioner, deputy commissioner, or assistant commissioner of any state
33.25department or agency as listed in section
33.26officer;
33.27 (6) member, chief administrative officer, or deputy chief administrative officer of a
33.28state board or commission that has either the power to adopt, amend, or repeal rules under
33.29chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;
33.30 (7) individual employed in the executive branch who is authorized to adopt, amend,
33.31or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;
33.32 (8) executive director of the State Board of Investment;
33.33 (9) deputy of any official listed in clauses (7) and (8);
33.34 (10) judge of the Workers' Compensation Court of Appeals;
34.1 (11) administrative law judge or compensation judge in the State Office of
34.2Administrative Hearings or referee in the Department of Employment and Economic
34.3Development;
34.4 (12) member, regional administrator, division director, general counsel, or operations
34.5manager of the Metropolitan Council;
34.6 (13) member or chief administrator of a metropolitan agency;
34.7 (14) director of the Division of Alcohol and Gambling Enforcement in the
34.8Department of Public Safety;
34.9 (15) member or executive director of the Higher Education Facilities Authority;
34.10 (16) member of the board of directors or president of Minnesota Technology, Inc.;
34.11 (17) member of the board of directors or executive director of the Minnesota State
34.12High School League;
34.13 (18) member of the Minnesota Ballpark Authority established in section 473.755;
34.14 (19) citizen member of the Legislative-Citizen Commission on Minnesota
34.15Resources
34.16 (20) manager of a watershed district or member of a watershed management
34.17organization; or
34.18 (21) supervisor of a soil and water conservation district.
34.19 Sec. 2. Minnesota Statutes 2006, section 15.99, subdivision 3, is amended to read:
34.20 Subd. 3. Application; extensions. (a) The time limit in subdivision 2 begins upon
34.21the agency's receipt of a written request containing all information required by law or by
34.22a previously adopted rule, ordinance, or policy of the agency, including the applicable
34.23application fee. If an agency receives a written request that does not contain all required
34.24information, the 60-day limit starts over only if the agency sends written notice within 15
34.25business days of receipt of the request telling the requester what information is missing.
34.26 (b) If a request relating to zoning, septic systems, watershed district review, soil and
34.27water conservation district review, or expansion of the metropolitan urban service area
34.28requires the approval of more than one state agency in the executive branch, the 60-day
34.29period in subdivision 2 begins to run for all executive branch agencies on the day a request
34.30containing all required information is received by one state agency. The agency receiving
34.31the request must forward copies to other state agencies whose approval is required.
34.32 (c) An agency response, including an approval with conditions, meets the 60-day
34.33time limit if the agency can document that the response was sent within 60 days of receipt
34.34of the written request. Failure to satisfy the conditions, if any, may be a basis to revoke
35.1or rescind the approval by the agency and will not give rise to a claim that the 60-day
35.2limit was not met.
35.3 (d) The time limit in subdivision 2 is extended if a state statute, federal law, or court
35.4order requires a process to occur before the agency acts on the request, and the time
35.5periods prescribed in the state statute, federal law, or court order make it impossible to
35.6act on the request within 60 days. In cases described in this paragraph, the deadline is
35.7extended to 60 days after completion of the last process required in the applicable statute,
35.8law, or order. Final approval of an agency receiving a request is not considered a process
35.9for purposes of this paragraph.
35.10 (e) The time limit in subdivision 2 is extended if: (1) a request submitted to a state
35.11agency requires prior approval of a federal agency; or (2) an application submitted to
35.12a city, county, town, school district, metropolitan or regional entity, or other political
35.13subdivision requires prior approval of a state or federal agency. In cases described in
35.14this paragraph, the deadline for agency action is extended to 60 days after the required
35.15prior approval is granted.
35.16 (f) An agency may extend the time limit in subdivision 2 before the end of the
35.17initial 60-day period by providing written notice of the extension to the applicant. The
35.18notification must state the reasons for the extension and its anticipated length, which may
35.19not exceed 60 days unless approved by the applicant.
35.20 (g) An applicant may by written notice to the agency request an extension of the
35.21time limit under this section.
35.22EFFECTIVE DATE.This section is effective the day following final enactment.
35.23 Sec. 3. Minnesota Statutes 2006, section 16A.531, subdivision 1a, is amended to read:
35.24 Subd. 1a. Revenues. The following revenues must be deposited in the
35.25environmental fund:
35.26 (1) all revenue from the motor vehicle transfer fee imposed under section
35.27 (2) all fees collected under section
35.28 (3) all money collected by the Pollution Control Agency in enforcement matters
35.29as provided in section
35.30 (4) all revenues from license fees for individual sewage treatment systems under
35.31section
35.32 (5) all loan repayments deposited under section
35.33 (6) all revenue from pollution prevention fees imposed under section
35.34 (7) all loan repayments deposited under section
35.35 (8) all fees collected under section
36.1 (9) revenue collected from the solid waste management tax pursuant to chapter 297H;
36.2 (10) fees collected under section
36.3 (11) interest accrued on the fund; and
36.4 (12) money received in the form of gifts, grants, reimbursement, or appropriation
36.5from any source for any of the purposes provided in subdivision 2, except federal grants.
36.6 Sec. 4. [17.035] VENISON DISTRIBUTION AND REIMBURSEMENT.
36.7 Subdivision 1. Reimbursement. A meat processor holding a license under chapter
36.828A may apply to the commissioner of agriculture for reimbursement of $70 towards the
36.9cost of processing a deer donated according to subdivision 1. The meat processor shall
36.10deliver the deer, processed into cuts or ground meat, to a charitable organization that is
36.11registered under chapter 309 and with the commissioner of agriculture and that operates
36.12a food assistance program. To request reimbursement, the processor shall submit an
36.13application, on a form prescribed by the commissioner of agriculture, the tag number
36.14under which the deer was taken, and a receipt for the deer from the charitable organization.
36.15 Subd. 2. Distribution. (a) The commissioner of agriculture shall ensure the
36.16equitable statewide distribution of processed deer by requiring the charitable organization
36.17to allocate and distribute processed deer according to the allocation formula used in the
36.18distribution of United States Department of Agriculture commodities under the federal
36.19emergency food assistance program. The charitable organization must submit quarterly
36.20reports to the commissioner on forms prescribed by the commissioner. The reports must
36.21include, but are not limited to, information on the amount of processed deer received and
36.22the organizations to which the meat was distributed.
36.23 (b) The commissioner of agriculture may adopt rules to implement this section.
36.24 Sec. 5. Minnesota Statutes 2006, section 84.025, subdivision 9, is amended to read:
36.25 Subd. 9. Professional services support account. The commissioner of natural
36.26resources may bill the various programs carried out by the commissioner for the costs of
36.27providing them with professional support services. Except as provided under section
36.2889.421, receipts must be credited to a special account in the state treasury and are
36.29appropriated to the commissioner to pay the costs for which the billings were made.
36.30 The commissioner of natural resources shall submit to the commissioner of finance
36.31before the start of each fiscal year a work plan showing the estimated work to be done
36.32during the coming year, the estimated cost of doing the work, and the positions and fees
36.33that will be necessary. This account is exempted from statewide and agency indirect
36.34cost payments.
37.1 Sec. 6. [84.02] DEFINITIONS.
37.2 Subdivision 1. Definitions. For purposes of this chapter, the terms defined in this
37.3section shall have the meanings given them.
37.4 Subd. 2. Best management practice for native prairie restoration. "Best
37.5management practice for native prairie restoration" means using seeds collected from a
37.6native prairie within the same county or within 25 miles of the county's border, but not
37.7across the boundary of an ecotype region.
37.8 Subd. 3. Created grassland. "Created grassland" means a restoration using seeds
37.9or plants with origins outside of the state of Minnesota.
37.10 Subd. 4. Ecotype region. "Ecotype region" means the following ecological
37.11subsections and counties based on the Department of Natural Resources map, "County
37.12Landscape Groupings Based on Ecological Subsections," dated February 15, 2007.
37.33 Subd. 5. Native prairie. "Native prairie" means land that has never been plowed
37.34where native prairie vegetation originating from the site currently predominates or, if
37.35disturbed, is predominantly covered with native prairie vegetation that originated from the
37.36site. Unbroken pasture land used for livestock grazing can be considered native prairie if it
37.37has predominantly native vegetation originating from the site and conservation practices
37.38have maintained biological diversity.
37.39 Subd. 6. Native prairie species of a local ecotype. "Native prairie species of a local
37.40ecotype" means a genetically differentiated population of a species that has at least one
37.41trait (morphological, biochemical, fitness, or phenological) that is evolutionarily adapted
38.1to local environmental conditions, notably plant competitors, pathogens, pollinators, soil
38.2microorganisms, growing season length, climate, hydrology, and soil.
38.3 Subd. 7. Restored native prairie. "Restored native prairie" means a restoration
38.4using at least 25 representative and biologically diverse native prairie plant species of a
38.5local ecotype originating in the same county as the restoration site or within 25 miles of
38.6the county's border, but not across the boundary of an ecotype region.
38.7 Subd. 8. Restored prairie. "Restored prairie" means a restoration using at least
38.825 representative and biologically diverse native prairie plant species originating from
38.9the same ecotype region in which the restoration occurs.
38.10 Sec. 7. Minnesota Statutes 2006, section 84.026, subdivision 1, is amended to read:
38.11 Subdivision 1. Contracts. The commissioner of natural resources is authorized
38.12to enter into contractual agreements with any public or private entity for the provision
38.13of statutorily prescribed natural resources services by the department. The contracts
38.14shall specify the services to be provided. Except as provided under section 89.421, funds
38.15generated in a contractual agreement made pursuant to this section shall be deposited in
38.16the special revenue fund and are appropriated to the department for purposes of providing
38.17the services specified in the contracts. The commissioner shall report revenues collected
38.18and expenditures made under this subdivision to the chairs of the Committees on Ways and
38.19Means in the house and Finance in the senate by January 1 of each odd-numbered year.
38.20 Sec. 8. Minnesota Statutes 2006, section 84.0272, is amended by adding a subdivision
38.21to read:
38.22 Subd. 5. Easement information. Parties to an easement purchased under the
38.23authority of the commissioner must:
38.24 (1) specify in the easement all provisions that are perpetual in nature;
38.25 (2) file the easement with the county recorder or registrar of titles in the county
38.26in which the land is located; and
38.27 (3) submit an electronic copy of the easement to the commissioner.
38.28 Sec. 9. Minnesota Statutes 2006, section 84.0855, subdivision 1, is amended to read:
38.29 Subdivision 1. Sales authorized; gift certificates. The commissioner may
38.30sell natural resources-related publications and maps; forest resource assessment
38.31products; federal migratory waterfowl, junior duck, and other federal stamps; and other
38.32nature-related merchandise, and may rent or sell items for the convenience of persons using
38.33Department of Natural Resources facilities or services. The commissioner may sell gift
39.1certificates for any items rented or sold. Notwithstanding section
39.2by the commissioner under this section may include a reasonable amount in excess of the
39.3actual cost to support Department of Natural Resources programs. The commissioner may
39.4advertise the availability of a program or item offered under this section.
39.5 Sec. 10. Minnesota Statutes 2006, section 84.0855, subdivision 2, is amended to read:
39.6 Subd. 2. Receipts; appropriation. Except as provided under section 89.421,
39.7money received by the commissioner under this section or to buy supplies for the use of
39.8volunteers, may be credited to one or more special accounts in the state treasury and is
39.9appropriated to the commissioner for the purposes for which the money was received.
39.10Money received from sales at the state fair shall be available for state fair related costs.
39.11Money received from sales of intellectual property and software products or services shall
39.12be available for development, maintenance, and support of software products and systems.
39.13 Sec. 11. Minnesota Statutes 2006, section 84.780, is amended to read:
39.1484.780 OFF-HIGHWAY VEHICLE DAMAGE ACCOUNT.
39.15 (a) The off-highway vehicle damage account is created in the natural resources fund.
39.16Money in the off-highway vehicle damage account is appropriated to the commissioner
39.17of natural resources for the repair or restoration of property damaged by the operation of
39.18off-highway vehicles in an
39.19of administration for this section. Before the commissioner may make a payment from
39.20this account, the commissioner must determine whether the damage to the property was
39.21caused by the
39.22reasonable efforts to identify the responsible individual and obtain payment from the
39.23individual, and that the applicant has made reasonable efforts to prevent reoccurrence.
39.24
39.25
39.26
39.27
39.28
39.29 (b) Determinations of the commissioner under this section may be made by written
39.30order and are exempt from the rulemaking provisions of chapter 14. Section
39.31does not apply.
39.32 (c)
39.33 Sec. 12. [84.8045] RESTRICTIONS ON OFF-ROAD VEHICLE TRAILS.
40.1 Notwithstanding any provision of sections 84.797 to 84.805 or other law to the
40.2contrary, the commissioner shall not permit land administered by the commissioner in
40.3Beltrami, Cass, Crow Wing, and Hubbard Counties to be used or developed for trails
40.4primarily for off-road vehicles as defined in section 84.797, subdivision 7, except:
40.5 (1) upon approval by the legislature; or
40.6 (2) in designated off-road vehicle use areas.
40.7EFFECTIVE DATE.This section is effective the day following final enactment.
40.8 Sec. 13. [84.9011] OFF-HIGHWAY VEHICLE SAFETY AND CONSERVATION
40.9PROGRAM.
40.10 Subdivision 1. Creation. The commissioner of natural resources shall establish
40.11a program to promote the safe and responsible operation of off-highway vehicles in a
40.12manner that does not harm the environment. The commissioner shall coordinate the
40.13program through the regional offices of the Department of Natural Resources.
40.14 Subd. 2. Purpose. The purpose of the program is to encourage off-highway vehicle
40.15clubs to assist, on a volunteer basis, in improving, maintaining, and monitoring of trails on
40.16state forest land and other public lands.
40.17 Subd. 3. Agreements. (a) The commissioner shall enter into informal agreements
40.18with off-highway vehicle clubs for volunteer services to maintain, make improvements to,
40.19and monitor trails on state forest land and other public lands. The off-highway vehicle
40.20clubs shall promote the operation of off-highway vehicles in a safe and responsible manner
40.21that complies with the laws and rules that relate to the operation of off-highway vehicles.
40.22 (b) The off-highway vehicle clubs may provide assistance to the department in
40.23locating, recruiting, and training instructors for off-highway vehicle training programs.
40.24 (c) The commissioner may provide assistance to enhance the comfort and safety
40.25of volunteers and to facilitate the implementation and administration of the safety and
40.26conservation program.
40.27 Subd. 4. Worker displacement prohibited. The commissioner may not enter into
40.28any agreement that has the purpose of or results in the displacement of public employees
40.29by volunteers participating in the off-highway safety and conservation program under
40.30this section. The commissioner must certify to the appropriate bargaining agent that the
40.31work performed by a volunteer will not result in the displacement of currently employed
40.32workers or workers on seasonal layoff or layoff from a substantially equivalent position,
40.33including partial displacement such as reduction in hours of nonovertime work, wages, or
40.34other employment benefits.
41.1 Sec. 14. Minnesota Statutes 2006, section 84.927, subdivision 2, is amended to read:
41.2 Subd. 2. Purposes. Subject to appropriation by the legislature, money in the
41.3all-terrain vehicle account may only be spent for:
41.4 (1) the education and training program under section
41.5 (2) administration, enforcement, and implementation of sections
41.6 (3) acquisition, maintenance, and development of vehicle trails and use areas;
41.7 (4) grant-in-aid programs to counties and municipalities to construct and maintain
41.8all-terrain vehicle trails and use areas;
41.9 (5) grants-in-aid to local safety programs;
41.10 (6) enforcement and public education grants to local law enforcement agencies
41.11 (7) maintenance of minimum-maintenance forest roads according to section 89.71,
41.12subdivision 5, and county forest roads within state forest boundaries as defined under
41.13section 89.021.
41.14 The distribution of funds made available through grant-in-aid programs must be
41.15guided by the statewide comprehensive outdoor recreation plan.
41.16 Sec. 15. Minnesota Statutes 2006, section 84.963, is amended to read:
41.1784.963 PRAIRIE PLANT SEED PRODUCTION AREAS.
41.18 (a) The commissioner of natural resources shall study the feasibility of establishing
41.19private or public prairie plant seed production areas within prairie land locations. If
41.20prairie plant seed production is feasible, the commissioner may aid the establishment of
41.21production areas. The commissioner may enter cost-share or sharecrop agreements with
41.22landowners having easements for conservation purposes of ten or more years on their land
41.23to commercially produce prairie plant seed of Minnesota origin. The commissioner may
41.24only aid prairie plant seed production areas on agricultural land used to produce crops
41.25before December 23, 1985, and cropped three out of five years between 1981 and 1985.
41.26 (b) The commissioner shall compile, prepare, and electronically disseminate to
41.27the public prairie establishment guidance materials and resources. The resources must
41.28provide information and guidance on project planning, seed selection including ecotype
41.29and species mix, site preparation, seeding, maintenance, and technical service providers.
41.30The commissioner shall use actual prairie restoration projects under development on
41.31state-owned land to illustrate and demonstrate the practices described.
41.32 Sec. 16. Minnesota Statutes 2006, section 84D.02, is amended by adding a subdivision
41.33to read:
42.1 Subd. 7. Contracts for services for emergency invasive species prevention work;
42.2commissions to persons employed. The commissioner may contract for or accept the
42.3services of any persons whose aid is available, temporarily or otherwise, in emergency
42.4invasive species prevention work, either gratuitously or for compensation not in excess of
42.5the limits provided by law with respect to the employment of labor by the commissioner.
42.6The commissioner may issue a commission, or other written evidence of authority, to any
42.7person whose services are so arranged for and may thereby empower the person to act,
42.8temporarily or otherwise, in any other capacity, with powers and duties as may be specified
42.9in the commission or other written evidence of authority, but not in excess of the powers
42.10conferred by law. The commissioner of agriculture, under authority provided by law, shall
42.11cooperate with the commissioner in emergency control of invasive species prevention.
42.12 Sec. 17. Minnesota Statutes 2006, section 84D.13, subdivision 7, is amended to read:
42.13 Subd. 7. Satisfaction of civil penalties. A civil penalty is due and a watercraft
42.14license suspension is effective 30 days after issuance of the civil citation. A civil penalty
42.15collected under this section is payable to the commissioner and must be credited to the
42.16
42.17 Sec. 18. [84D.15] INVASIVE SPECIES ACCOUNT.
42.18 Subdivision 1. Creation. The invasive species account is created in the state
42.19treasury in the natural resources fund.
42.20 Subd. 2. Receipts. Money received from surcharges on watercraft licenses under
42.21section 86B.415, subdivision 7, and civil penalties under section 84D.13 shall be deposited
42.22in the invasive species account. Each year, the commissioner of finance shall transfer from
42.23the game and fish fund to the invasive species account, the annual surcharge collected on
42.24nonresident fishing licenses under section 97A.475, subdivision 7, paragraph (b).
42.25 Subd. 3. Use of money in account. Money credited to the invasive species account
42.26in subdivision 2 shall be used for management of invasive species and implementation of
42.27this chapter as it pertains to invasive species, including control, public awareness, law
42.28enforcement, assessment and monitoring, management planning, and research.
42.29 Sec. 19. [85.0146] CUYUNA COUNTRY STATE RECREATION AREA;
42.30CITIZENS ADVISORY COUNCIL.
42.31 Subdivision 1. Advisory council created. The Cuyuna Country State Recreation
42.32Area Citizens Advisory Council is established. Membership on the advisory council
42.33shall include:
43.1 (1) a representative of the Cuyuna Range Mineland Recreation Area Joint Powers
43.2Board;
43.3 (2) a representative of the Croft Mine Historical Park Joint Powers Board;
43.4 (3) a designee of the Cuyuna Range Mineland Reclamation Committee who has
43.5worked as a miner in the local area;
43.6 (4) a representative of the Crow Wing County Board;
43.7 (5) an elected state official;
43.8 (6) a representative of the Grand Rapids regional office of the Department of Natural
43.9Resources;
43.10 (7) a designee of the Iron Range Resources and Rehabilitation Board;
43.11 (8) a designee of the local business community selected by the area chambers of
43.12commerce;
43.13 (9) a designee of the local environmental community selected by the Crow Wing
43.14County District 5 commissioner;
43.15 (10) a designee of a local education organization selected by the Crosby-Ironton
43.16School Board;
43.17 (11) a designee of one of the recreation area user groups selected by the Cuyuna
43.18Range Chamber of Commerce; and
43.19 (12) a member of the Cuyuna Country Heritage Preservation Society.
43.20 Subd. 2. Administration. (a) The advisory council must meet at least four times
43.21annually. The council shall elect a chair and meetings shall be at the call of the chair.
43.22 (b) Members of the advisory council shall serve as volunteers for two-year terms
43.23with the ability to be reappointed. Members shall accept no per diem.
43.24 (c) The state recreation area manager may attend the council meetings and advise
43.25the council of issues in management of the recreation area.
43.26 (d) Before a major decision is implemented in the Cuyuna Country State Recreation
43.27Area, the area manager must consult with the council and take into consideration any
43.28council comments or advice that may impact the major decision.
43.29 Sec. 20. Minnesota Statutes 2006, section 85.054, subdivision 12, is amended to read:
43.30 Subd. 12. Soudan Underground Mine State Park. A state park permit is not
43.31required and a fee may not be charged for motor vehicle entry
43.32parking area of Soudan Underground Mine State Park, or for tours of the High Energy
43.33Physics Lab by supervised kindergarten through grade 12 school classes during the school
43.34year.
44.1 Sec. 21. Minnesota Statutes 2006, section 85.054, is amended by adding a subdivision
44.2to read:
44.3 Subd. 13. Cuyuna Country State Recreation Area. A state park permit is not
44.4required and a fee may not be charged for motor vehicle entry or parking at Croft Mine
44.5Historical Park and Portsmouth Mine Lake Overlook in Cuyuna Country State Recreation
44.6Area, except for overnight camping.
44.7 Sec. 22. Minnesota Statutes 2006, section 86B.706, subdivision 2, is amended to read:
44.8 Subd. 2. Money deposited in account. The following shall be deposited in the state
44.9treasury and credited to the water recreation account:
44.10 (1) fees
44.11 (2) fines, installment payments, and forfeited bail according to section
44.12subdivision 2
44.13 (3)
44.14
44.15state-assisted small craft harbors and mooring facilities according to section
44.16
44.18
44.19rice under section
44.20 Sec. 23. Minnesota Statutes 2006, section 89.22, subdivision 2, is amended to read:
44.21 Subd. 2. Receipts to
44.22subdivision 1 shall be credited to
44.23the special revenue fund and are annually appropriated to the commissioner to recoup the
44.24costs of developing, operating, and maintaining facilities necessary for the specified uses
44.25in subdivision 1 or to prevent or mitigate resource impacts of those uses.
44.26EFFECTIVE DATE.This section is effective July 1, 2007, and applies to fees
44.27collected according to Minnesota Statutes, section 89.22, subdivision 1, after August
44.281, 2006.
44.29 Sec. 24. [89.421] FOREST RESOURCE ASSESSMENT PRODUCTS AND
44.30SERVICES ACCOUNT.
44.31 Subdivision 1. Creation. The forest resource assessment products and services
44.32account is created in the state treasury in the natural resources fund.
45.1 Subd. 2. Receipts. Money received from forest resource assessment product sales
45.2and services provided by the commissioner under sections 84.025, subdivision 9; 84.026;
45.3and 84.0855 shall be credited to the forest resource assessment products and services
45.4account. Forest resource assessment products and services include the sale of aerial
45.5photography, remote sensing, and satellite imagery products and services.
45.6 Subd. 3. Use of money in account. Money credited to the forest resource
45.7assessment products and services account under subdivision 2 is appropriated for fiscal
45.8years 2008 and 2009 to the commissioner and shall be used to maintain the staff and
45.9facilities producing the aerial photography, remote sensing, and satellite imagery products
45.10and services.
45.11 Sec. 25. [89.62] SHADE TREE PEST CONTROL; GRANT PROGRAM.
45.12 Subdivision 1. Grants. The commissioner may make grants to aid in the control of
45.13a shade tree pest. To be eligible, a grantee must have a pest control program approved
45.14by the commissioner that:
45.15 (1) defines tree ownership and who is responsible for the costs associated with
45.16control measures;
45.17 (2) defines the zone of infestation within which the control measures are to be
45.18applied;
45.19 (3) includes a tree inspector certified under section 89.63 and having the authority to
45.20enter and inspect private lands;
45.21 (4) has the means to enforce measures needed to limit the spread of shade tree
45.22pests; and
45.23 (5) provides that grant money received will be deposited in a separate fund to be
45.24spent only for the purposes authorized by this section.
45.25 Subd. 2. Grant eligibility. The following are eligible for grants under this section:
45.26 (1) a home rule charter or statutory city or a town that exercises municipal powers
45.27under section 368.01 or any general or special law;
45.28 (2) a special park district organized under chapter 398;
45.29 (3) a special-purpose park and recreation board;
45.30 (4) a soil and water conservation district;
45.31 (5) a county; or
45.32 (6) any other organization with the legal authority to enter into contractual
45.33agreements.
45.34 Subd. 3. Rules; applicability to municipalities. The rules and procedures adopted
45.35under this section by the commissioner apply in a municipality unless the municipality
46.1adopts an ordinance determined by the commissioner to be more stringent than the rules
46.2and procedures of the commissioner. The rules and procedures of the commissioner or
46.3the municipality apply to all state agencies, special purpose districts, and metropolitan
46.4commissions as defined in section 473.121, subdivision 5a, that own or control land
46.5adjacent to or within a zone of infestation.
46.6 Sec. 26. Minnesota Statutes 2006, section 90.161, is amended by adding a subdivision
46.7to read:
46.8 Subd. 4. Change of security. Prior to any harvest activity, or activities incidental
46.9to the preparation for harvest, a purchaser having posted a bond for 100 percent of the
46.10purchase price of a sale may request the release of the bond and the commissioner
46.11shall grant such release upon cash payment to the commissioner of the down payment
46.12requirement of the sale, plus interest.
46.13 Sec. 27. Minnesota Statutes 2006, section 93.22, subdivision 1, is amended to read:
46.14 Subdivision 1. Generally. (a) All payments under sections
46.15be made to the Department of Natural Resources and shall be credited according to this
46.16section.
46.17
46.18
46.19
46.20
46.21
46.22
46.23
46.24
46.25
46.26
46.27
46.28
46.29
46.30
46.31
46.32 (b) Twenty percent of all payments under sections
46.33credited to the minerals management account in the natural resources fund as costs for
47.1the administration and management of state mineral resources by the commissioner of
47.2natural resources.
47.3 (c) The remainder of the payments shall be credited as follows:
47.4 (1) if the lands or minerals and mineral rights covered by a lease are held by the state
47.5by virtue of an act of Congress, payments made under the lease shall be credited to the
47.6permanent fund of the class of land to which the leased premises belong;
47.7 (2) if a lease covers the bed of navigable waters, payments made under the lease
47.8shall be credited to the permanent school fund of the state;
47.9 (3) if the lands or minerals and mineral rights covered by a lease are held by the state
47.10in trust for the taxing districts, payments made under the lease shall be distributed annually
47.11on the first day of September to the respective counties in which the lands lie, to be
47.12apportioned among the taxing districts interested therein as follows: county, three-ninths;
47.13town or city, two-ninths; and school district, four-ninths;
47.14 (4) if the lands or mineral rights covered by a lease became the absolute property of
47.15the state under the provisions of chapter 84A, payments made under the lease shall be
47.16distributed as follows: county containing the land from which the income was derived,
47.17five-eighths; and general fund of the state, three-eighths; and
47.18 (5) except as provided under this section and except where the disposition of
47.19payments may be otherwise directed by law, payments made under a lease shall be paid
47.20into the general fund of the state.
47.21 Sec. 28. Minnesota Statutes 2006, section 97A.055, subdivision 4, is amended to read:
47.22 Subd. 4. Game and fish annual reports. (a) By December 15 each year,
47.23the commissioner shall submit to the legislative committees having jurisdiction over
47.24appropriations and the environment and natural resources reports on each of the following:
47.25 (1) the amount of revenue from the following and purposes for which expenditures
47.26were made:
47.27 (i) the small game license surcharge under section
47.28 (ii) the Minnesota migratory waterfowl stamp under section
47.295
47.30 (iii) the trout and salmon stamp under section
47.31 (iv) the pheasant stamp under section
47.32 (v) the turkey stamp under section
47.33 (vi) the deer license surcharge under section 97A.475, subdivision 3a;
47.34 (2) the amounts available under section
47.35(c), and the purposes for which these amounts were spent;
48.1 (3) money credited to the game and fish fund under this section and purposes for
48.2which expenditures were made from the fund;
48.3 (4) outcome goals for the expenditures from the game and fish fund; and
48.4 (5) summary and comments of citizen oversight committee reviews under
48.5subdivision 4b.
48.6 (b) The report must include the commissioner's recommendations, if any, for
48.7changes in the laws relating to the stamps and surcharge referenced in paragraph (a).
48.8 Sec. 29. Minnesota Statutes 2006, section 97A.065, is amended by adding a
48.9subdivision to read:
48.10 Subd. 6. Deer license surcharge. The surcharge collected under section 97A.475,
48.11subdivision 3a, shall be deposited in a special revenue account and is appropriated for fiscal
48.12years 2008 and 2009 to the commissioner for deer management, including for grants or
48.13payments to agencies, organizations, or individuals for assisting with the cost of processing
48.14deer taken for population management purposes for venison donation programs. None of
48.15the additional license fees shall be transferred to any other agency for administration of
48.16programs other than venison donation. If any money transferred by the commissioner is
48.17not used for a venison donation program, it shall be returned to the commissioner.
48.18 Sec. 30. Minnesota Statutes 2006, section 97A.133, is amended by adding a
48.19subdivision to read:
48.20 Subd. 66. Vermillion Highlands Wildlife Management Area, Dakota County.
48.21 Sec. 31. Minnesota Statutes 2006, section 97A.475, is amended by adding a
48.22subdivision to read:
48.23 Subd. 3a. Deer license surcharge. (a) Fees for annual resident and nonresident
48.24licenses to take deer by firearms or archery established under subdivisions 2, clauses (4),
48.25(5), (9), and (11), and 3, clauses (2), (3), and (7), must be increased by a surcharge of $1,
48.26except as provided under section 97A.065, subdivision 6. An additional commission may
48.27not be assessed on the surcharge and the following statement must be included in the
48.28annual deer hunting regulations: "The $1 deer license surcharge is being paid by hunters
48.29for deer management, including assisting with the costs of processing deer donated for
48.30charitable purposes."
48.31 (b) The commissioner shall report to the legislature on the participation in and
48.32effectiveness of the venison donation program by February 1, 2010.
49.1 Sec. 32. Minnesota Statutes 2006, section 97A.475, subdivision 7, is amended to read:
49.2 Subd. 7. Nonresident fishing. (a) Fees for the following licenses, to be issued
49.3to nonresidents, are:
49.4 (1) to take fish by angling, $34;
49.5 (2) to take fish by angling limited to seven consecutive days selected by the licensee,
49.6$24;
49.7 (3) to take fish by angling for a 72-hour period selected by the licensee, $20;
49.8 (4) to take fish by angling for a combined license for a family for one or both parents
49.9and dependent children under the age of 16, $46;
49.10 (5) to take fish by angling for a 24-hour period selected by the licensee, $8.50; and
49.11 (6) to take fish by angling for a combined license for a married couple, limited to
49.1214 consecutive days selected by one of the licensees, $35.
49.13 (b) A $2 surcharge shall be added to all nonresident fishing licenses, except licenses
49.14issued under paragraph (a), clause (5). An additional commission may not be assessed
49.15on this surcharge.
49.16EFFECTIVE DATE.This section is effective March 1, 2008.
49.17 Sec. 33. Minnesota Statutes 2006, section 97A.485, subdivision 7, is amended to read:
49.18 Subd. 7. Electronic licensing system commission. The commissioner shall retain
49.19for the operation of the electronic licensing system the commission established under
49.20section
49.21license fees collected, excluding:
49.22 (1) the small game surcharge;
49.23 (2) the deer license surcharge; and
49.24 (3) $2.50 of the license fee for the licenses in section
49.25clauses (1)
49.26 Sec. 34. [97B.303] VENISON DONATIONS.
49.27 An individual who legally takes a deer may donate the deer, for distribution to
49.28charitable food assistance programs, to a meat processor that is licensed under chapter
49.2928A. An individual donating a deer must supply the processor with the tag number under
49.30which the deer was taken.
49.31 Sec. 35. Minnesota Statutes 2006, section 97C.081, subdivision 3, is amended to read:
49.32 Subd. 3. Contests requiring a permit. (a) A person must have a permit from the
49.33commissioner to conduct a fishing contest that does not meet the criteria in subdivision 2.
50.1
50.2that recovers the costs of issuing the permit and of monitoring the activities allowed by
50.3the permit. Receipts collected from this fee shall be credited to the game and fish fund.
50.4Notwithstanding section 16A.1283, the commissioner may, by written order published in
50.5the State Register, establish contest permit fees. The fees are not subject to the rulemaking
50.6provisions of chapter 14 and section 14.386 does not apply.
50.7 (b) If entry fees are over $25 per person, or total prizes are valued at more than
50.8$25,000, and if the applicant has either:
50.9 (1) not previously conducted a fishing contest requiring a permit under this
50.10subdivision; or
50.11 (2) ever failed to make required prize awards in a fishing contest conducted by
50.12the applicant, the commissioner may require the applicant to furnish the commissioner
50.13evidence of financial responsibility in the form of a surety bond or bank letter of credit in
50.14the amount of $25,000.
50.15 (c) The permit fee for any individual contest may not exceed the following amounts:
50.16 (1) $120 for an open water contest not exceeding 100 participants and without
50.17off-site weigh-in;
50.18 (2) $400 for an open water contest with more than 100 participants and without
50.19off-site weigh-in;
50.20 (3) $500 for an open water contest not exceeding 100 participants with off-site
50.21weigh-in;
50.22 (4) $1,000 for an open water contest with more than 100 participants with off-site
50.23weigh-in; or
50.24 (5) $120 for an ice fishing contest with more than 150 participants.
50.25 Sec. 36. Minnesota Statutes 2006, section 103B.101, is amended by adding a
50.26subdivision to read:
50.27 Subd. 12. Authority to issue penalty orders. The board may issue an order
50.28requiring violations to be corrected and administratively assessing monetary penalties for
50.29violations of this chapter and chapters 103C, 103D, 103E, 103F, and 103G, any rules
50.30adopted under those chapters, and any standards, limitations, or conditions established
50.31by the board.
50.32EFFECTIVE DATE.This section is effective the day following final enactment.
50.33 Sec. 37. [103B.102] LOCAL WATER MANAGEMENT ACCOUNTABILITY
50.34AND OVERSIGHT.
51.1 Subdivision 1. Findings; improving accountability and oversight. The legislature
51.2finds that a process is needed to monitor the performance and activities of local water
51.3management entities. The process should be preemptive so that problems can be identified
51.4early and systematically. Underperforming entities should be provided assistance and
51.5direction for improving performance in a reasonable time frame.
51.6 Subd. 2. Definitions. For the purposes of this section, "local water management
51.7entities" means watershed districts, soil and water conservation districts, metropolitan
51.8water management organizations, and counties operating separately or jointly in their
51.9role as local water management authorities under chapter 103B, 103C, 103D, or 103G
51.10and chapter 114D.
51.11 Subd. 3. Evaluation and report. The Board of Water and Soil Resources shall
51.12evaluate performance, financial, and activity information for each local water management
51.13entity. The board shall evaluate the entities' progress in accomplishing their adopted
51.14plans on a regular basis, but not less than once every five years. The board shall maintain
51.15a summary of local water management entity performance on the board's Web site.
51.16Beginning February 1, 2008, and annually thereafter, the board shall provide an analysis
51.17of local water management entity performance to the chairs of the house and senate
51.18committees having jurisdiction over environment and natural resources policy.
51.19 Subd. 4. Corrective actions. (a) In addition to other authorities, the Board of Water
51.20and Soil Resources may, based on its evaluation in subdivision 3, reduce, withhold, or
51.21redirect grants and other funding if the local water management entity has not corrected
51.22deficiencies as prescribed in a notice from the board within one year from the date of
51.23the notice.
51.24 (b) The board may defer a decision on a termination petition filed under section
51.25103B.221, 103C.225, or 103D.271 for up to one year to conduct or update the evaluation
51.26under subdivision 3 or to communicate the results of the evaluation to petitioners or to
51.27local and state government agencies.
51.28 Sec. 38. Minnesota Statutes 2006, section 103C.321, is amended by adding a
51.29subdivision to read:
51.30 Subd. 6. Credit card use. The supervisors may authorize the use of a credit card
51.31by any soil and water conservation district officer or employee otherwise authorized
51.32to make a purchase on behalf of the soil and water conservation district. If a soil and
51.33water conservation district officer or employee makes a purchase by credit card that is not
51.34approved by the supervisors, the officer or employee is personally liable for the amount of
51.35the purchase. A purchase by credit card must otherwise comply with all statutes, rules,
52.1or soil and water conservation district policy applicable to soil and water conservation
52.2district purchases.
52.3 Sec. 39. Minnesota Statutes 2006, section 103D.325, is amended by adding a
52.4subdivision to read:
52.5 Subd. 4. Credit card use. The managers may authorize the use of a credit card
52.6by any watershed district officer or employee otherwise authorized to make a purchase
52.7on behalf of the watershed district. If a watershed district officer or employee makes a
52.8purchase by credit card that is not approved by the managers, the officer or employee is
52.9personally liable for the amount of the purchase. A purchase by credit card must otherwise
52.10comply with all statutes, rules, or watershed district policy applicable to watershed district
52.11purchases.
52.12 Sec. 40. Minnesota Statutes 2006, section 103E.021, subdivision 1, is amended to read:
52.13 Subdivision 1. Spoil banks must be spread and
52.14vegetation established. In any proceeding to establish, construct, improve, or do any
52.15work affecting a public drainage system under any law that appoints viewers to assess
52.16benefits and damages, the authority having jurisdiction over the proceeding shall order
52.17spoil banks to be spread consistent with the plan and function of the drainage system. The
52.18authority shall order that permanent grass, other than a noxious weed, be planted on
52.19the
52.20approved by the drainage authority be established on each side of the ditch. Preference
52.21should be given to planting native species of a local ecotype. The approved perennial
52.22vegetation shall not impede future maintenance of the ditch. The permanent strips of
52.23perennial vegetation shall be 16-1/2 feet in width measured outward from the top edge
52.24of the constructed channel resulting from the proceeding, or to the crown of the leveled
52.25spoil bank, whichever is the greater,
52.26
52.27benefits and damages, for which the required width shall be 16-1/2 feet. Drainage system
52.28rights-of-way for the acreage and additional property required for the
52.29strips must be acquired by the authority having jurisdiction.
52.30 Sec. 41. Minnesota Statutes 2006, section 103E.021, subdivision 2, is amended to read:
52.31 Subd. 2. Reseeding and harvesting
52.32having jurisdiction over the repair and maintenance of the drainage system shall supervise
52.33all necessary reseeding. The permanent
53.1maintained in the same manner as other drainage system repairs. Harvest of the
53.2vegetation from the
53.3or the drainage system is the privilege of the fee owner or assigns. The
53.4inspector shall establish rules for the fee owner and assigns to harvest the
53.5 Sec. 42. Minnesota Statutes 2006, section 103E.021, subdivision 3, is amended to read:
53.6 Subd. 3. Agricultural practices prohibited. Agricultural practices, other than
53.7those required for the maintenance of a permanent growth of
53.8are not permitted on any portion of the property acquired for
53.9 Sec. 43. Minnesota Statutes 2006, section 103E.021, is amended by adding a
53.10subdivision to read:
53.11 Subd. 6. Incremental implementation of vegetated ditch buffer strips and side
53.12inlet controls. (a) Notwithstanding other provisions of this chapter requiring appointment
53.13of viewers and redetermination of benefits and damages, a drainage authority may
53.14implement permanent buffer strips of perennial vegetation approved by the drainage
53.15authority or side inlet controls, or both, adjacent to a public drainage ditch, where
53.16necessary to control erosion and sedimentation, improve water quality, or maintain the
53.17efficiency of the drainage system. Preference should be given to planting native species of
53.18a local ecotype. The approved perennial vegetation shall not impede future maintenance
53.19of the ditch. The permanent strips of perennial vegetation shall be 16-1/2 feet in width
53.20measured outward from the top edge of the existing constructed channel. Drainage system
53.21rights-of-way for the acreage and additional property required for the permanent strips
53.22must be acquired by the authority having jurisdiction.
53.23 (b) A project under this subdivision shall be implemented as a repair according to
53.24section 103E.705, except that the drainage authority may appoint an engineer to examine
53.25the drainage system and prepare an engineer's repair report for the project.
53.26 (c) Damages shall be determined by the drainage authority, or viewers, appointed by
53.27the drainage authority, according to section 103E.315, subdivision 8. A damages statement
53.28shall be prepared, including an explanation of how the damages were determined for each
53.29property affected by the project, and filed with the auditor or watershed district. Within 30
53.30days after the damages statement is filed, the auditor or watershed district shall prepare
53.31property owners' reports according to section 103E.323, subdivision 1, clauses (1), (2),
53.32(6), (7), and (8), and mail a copy of the property owner's report and damages statement to
53.33each owner of property affected by the proposed project.
54.1 (d) After a damages statement is filed, the drainage authority shall set a time, by
54.2order, not more than 30 days after the date of the order, for a hearing on the project. At
54.3least ten days before the hearing, the auditor or watershed district shall give notice by mail
54.4of the time and location of the hearing to the owners of property and political subdivisions
54.5likely to be affected by the project.
54.6 (e) The drainage authority shall make findings and order the repairs to be made if
54.7the drainage authority determines from the evidence presented at the hearing and by the
54.8viewers and engineer, if appointed, that the repairs are necessary for the drainage system
54.9and the costs of the repairs are within the limitations of section 103E.705.
54.10 Sec. 44. [103E.067] DITCH BUFFER STRIP ANNUAL REPORTING.
54.11 The drainage authority shall annually submit a report to the Board of Water and Soil
54.12Resources for the calendar year including:
54.13 (1) the number and types of actions for which viewers were appointed;
54.14 (2) the number of miles of buffer strips established according to section 103E.021;
54.15 (3) the number of drainage system inspections conducted; and
54.16 (4) the number of violations of section 103E.021 identified and enforcement actions
54.17taken.
54.18 Sec. 45. Minnesota Statutes 2006, section 103E.315, subdivision 8, is amended to read:
54.19 Subd. 8. Extent of damages. Damages to be paid may include:
54.20 (1) the fair market value of the property required for the channel of an open ditch
54.21and the permanent
54.22 (2) the diminished value of a farm due to severing a field by an open ditch;
54.23 (3) loss of crop production during drainage project construction;
54.24 (4) the diminished productivity or land value from increased overflow
54.25 (5) costs to restore a perennial vegetative cover or structural practice existing
54.26under a federal or state conservation program adjacent to the permanent drainage system
54.27right-of-way and damaged by the drainage project.
54.28 Sec. 46. Minnesota Statutes 2006, section 103E.321, subdivision 1, is amended to read:
54.29 Subdivision 1. Requirements. The viewers' report must show, in tabular form,
54.30for each lot, 40-acre tract, and fraction of a lot or tract under separate ownership that
54.31is benefited or damaged:
54.32 (1) a description of the lot or tract, under separate ownership, that is benefited or
54.33damaged;
55.1 (2) the names of the owners as they appear on the current tax records of the county
55.2and their addresses;
55.3 (3) the number of acres in each tract or lot;
55.4 (4) the number and value of acres added to a tract or lot by the proposed drainage of
55.5public waters;
55.6 (5) the damage, if any, to riparian rights;
55.7 (6) the damages paid for the permanent
55.8section
55.9 (7) the total number and value of acres added to a tract or lot by the proposed
55.10drainage of public waters, wetlands, and other areas not currently being cultivated;
55.11 (8) the number of acres and amount of benefits being assessed for drainage of areas
55.12which before the drainage benefits could be realized would require a public waters work
55.13permit to work in public waters under section
55.14water body under United States Code, title 33, section 403, or a permit to discharge into
55.15waters of the United States under United States Code, title 33, section 1344;
55.16 (9) the number of acres and amount of benefits being assessed for drainage of areas
55.17that would be considered conversion of a wetland under United States Code, title 16,
55.18section 3821, if the area was placed in agricultural production;
55.19 (10) the amount of right-of-way acreage required; and
55.20 (11) the amount that each tract or lot will be benefited or damaged.
55.21 Sec. 47. Minnesota Statutes 2006, section 103E.701, is amended by adding a
55.22subdivision to read:
55.23 Subd. 7. Restoration; disturbance or destruction by repair. If a drainage system
55.24repair disturbs or destroys a perennial vegetative cover or structural practice existing
55.25under a federal or state conservation program adjacent to the permanent drainage system
55.26right-of-way, the practice must be restored according to the applicable practice plan or
55.27as determined by the drainage authority, if a practice plan is not available. Restoration
55.28costs shall be paid by the drainage system.
55.29 Sec. 48. Minnesota Statutes 2006, section 103E.705, subdivision 1, is amended to read:
55.30 Subdivision 1. Inspection. After the construction of a drainage system has been
55.31completed, the drainage authority shall maintain the drainage system that is located in its
55.32jurisdiction, including
55.34drainage authority shall have the drainage system inspected on a regular basis by an
56.1inspection committee of the drainage authority or a drainage inspector appointed by the
56.2drainage authority. Open drainage ditches shall be inspected at a minimum of every five
56.3years when no violation of section 103E.021 is found and annually when a violation of
56.4section 103E.021 is found, until one year after the violation is corrected.
56.5 Sec. 49. Minnesota Statutes 2006, section 103E.705, subdivision 2, is amended to read:
56.6 Subd. 2.
56.7compliance notice. (a) The drainage authority having jurisdiction over a drainage system
56.8must inspect the drainage system for violations of section
56.9committee of the drainage authority or a drainage inspector determines that permanent
56.10
56.12 (b) The notice must state:
56.13 (1) the date the ditch was inspected;
56.14 (2) the persons making the inspection;
56.15 (3) that spoil banks are to be spread in a manner consistent with the plan and function
56.16of the drainage system and that the drainage system has acquired a
56.17
56.18vegetation, according to section 103E.021;
56.19 (4) the violations of section
56.20 (5) the measures that must be taken by the property owner to comply with section
56.22 (6) that if the property owner does not comply by the date specified, the drainage
56.23authority will perform the work necessary to bring the area into compliance with section
56.25 (c) If a property owner does not bring an area into compliance with section
56.26as provided in the compliance notice, the inspection committee or drainage inspector
56.27must notify the drainage authority.
56.28 (d) This subdivision applies to property acquired under section
56.29 Sec. 50. Minnesota Statutes 2006, section 103E.705, subdivision 3, is amended to read:
56.30 Subd. 3. Drainage inspection report. For each drainage system that the board
56.31designates and requires the drainage inspector to examine, the drainage inspector shall
56.32make a drainage inspection report in writing to the board after examining a drainage
56.33system, designating portions that need repair or maintenance of
56.34strips of perennial vegetation and the location and nature of the repair or maintenance.
57.1The board shall consider the drainage inspection report at its next meeting and may repair
57.2all or any part of the drainage system as provided under this chapter. The
57.3strips of perennial vegetation must be maintained in compliance with section
57.4 Sec. 51. Minnesota Statutes 2006, section 103E.728, subdivision 2, is amended to read:
57.5 Subd. 2. Additional assessment for agricultural practices on
57.6strip of perennial vegetation. (a) The drainage authority may, after notice and hearing,
57.7charge an additional assessment on property that has agricultural practices on or otherwise
57.8violates provisions related to the permanent
57.9under section
57.10 (b) The drainage authority may determine the cost of the repair per mile of open
57.11ditch on the ditch system. Property that is in violation of the grass requirement shall be
57.12assessed a cost of 20 percent of the repair cost per open ditch mile multiplied by the length
57.13of open ditch in miles on the property in violation.
57.14 (c) After the amount of the additional assessment is determined and applied to the
57.15repair cost, the balance of the repair cost may be apportioned pro rata as provided in
57.16subdivision 1.
57.17 Sec. 52. Minnesota Statutes 2006, section 103G.222, subdivision 1, is amended to read:
57.18 Subdivision 1. Requirements. (a) Wetlands must not be drained or filled, wholly
57.19or partially, unless replaced by restoring or creating wetland areas of at least equal
57.20public value under a replacement plan approved as provided in section
57.21replacement plan under a local governmental unit's comprehensive wetland protection
57.22and management plan approved by the board under section
57.23mine is required under section
57.24commissioner under the permit to mine. Mining reclamation plans shall apply the same
57.25principles and standards for replacing wetlands by restoration or creation of wetland areas
57.26that are applicable to mitigation plans approved as provided in section
57.27value must be determined in accordance with section
57.28wetland protection and management plan established under section
57.30flooded areas of types 3, 4, and 5 wetlands.
57.31 (b) Replacement must be guided by the following principles in descending order
57.32of priority:
57.33 (1) avoiding the direct or indirect impact of the activity that may destroy or diminish
57.34the wetland;
58.1 (2) minimizing the impact by limiting the degree or magnitude of the wetland
58.2activity and its implementation;
58.3 (3) rectifying the impact by repairing, rehabilitating, or restoring the affected
58.4wetland environment;
58.5 (4) reducing or eliminating the impact over time by preservation and maintenance
58.6operations during the life of the activity;
58.7 (5) compensating for the impact by restoring a wetland; and
58.8 (6) compensating for the impact by replacing or providing substitute wetland
58.9resources or environments.
58.10 For a project involving the draining or filling of wetlands in an amount not exceeding
58.1110,000 square feet more than the applicable amount in section
58.12paragraph (a), the local government unit may make an on-site sequencing determination
58.13without a written alternatives analysis from the applicant.
58.14 (c) If a wetland is located in a cultivated field, then replacement must be
58.15accomplished through restoration only without regard to the priority order in paragraph
58.16(b), provided that a deed restriction is placed on the altered wetland prohibiting
58.17nonagricultural use for at least ten years.
58.18 (d) If a wetland is drained under section 103G.2241, subdivision 2, the local
58.19government unit may require a deed restriction that prohibits nonagricultural use for at
58.20least ten years unless the drained wetland is replaced as provided under this section. The
58.21local government unit may require the deed restriction if it determines the wetland area
58.22drained is at risk of conversion to a nonagricultural use within ten years based on the
58.23zoning classification, proximity to a municipality or full service road, or other criteria as
58.24determined by the local government unit.
58.25 (e) Restoration and replacement of wetlands must be accomplished in accordance
58.26with the ecology of the landscape area affected and ponds that are created primarily to
58.27fulfill stormwater management, and water quality treatment requirements may not be
58.28used to satisfy replacement requirements under this chapter unless the design includes
58.29pretreatment of runoff and the pond is functioning as a wetland.
58.30
58.31located on nonagricultural land, replacement must be in the ratio of two acres of replaced
58.32wetland for each acre of drained or filled wetland.
58.33
58.34greater than 80 percent area, replacement must be in the ratio of one acre of replaced
58.35wetland for each acre of drained or filled wetland.
59.1
59.2plan are subject to the provisions of this section for any subsequent drainage or filling.
59.3
59.4restored from previously drained or filled wetlands, wetlands created by excavation in
59.5nonwetlands, wetlands created by dikes or dams along public or private drainage ditches,
59.6or wetlands created by dikes or dams associated with the restoration of previously drained
59.7or filled wetlands may be used in a statewide banking program established in rules adopted
59.8under section
59.9naturally occurring wetlands from one type to another are not eligible for enrollment in a
59.10statewide wetlands bank.
59.11
59.12subdivision 2
59.13wetland characteristics of soils, vegetation, and hydrology before recommending that the
59.14wetland be deposited in the statewide wetland bank. If the Technical Evaluation Panel has
59.15reason to believe that the wetland characteristics may change substantially, the panel shall
59.16postpone its recommendation until the wetland has stabilized.
59.17
59.19
59.20public transportation project, and for projects expanded solely for additional traffic
59.21capacity, public transportation authorities may purchase credits from the board at the cost
59.22to the board to establish credits. Proceeds from the sale of credits provided under this
59.23paragraph are appropriated to the board for the purposes of this paragraph.
59.24
59.25result in the filling or draining of wetlands for the repair, rehabilitation, reconstruction,
59.26or replacement of a currently serviceable existing state, city, county, or town public road
59.27necessary, as determined by the public transportation authority, to meet state or federal
59.28design or safety standards or requirements, excluding new roads or roads expanded solely
59.29for additional traffic capacity lanes. This paragraph only applies to authorities for public
59.30transportation projects that:
59.31 (1) minimize the amount of wetland filling or draining associated with the project
59.32and consider mitigating important site-specific wetland functions on-site;
59.33 (2) except as provided in clause (3), submit project-specific reports to the board, the
59.34Technical Evaluation Panel, the commissioner of natural resources, and members of the
59.35public requesting a copy at least 30 days prior to construction that indicate the location,
59.36amount, and type of wetlands to be filled or drained by the project or, alternatively,
60.1convene an annual meeting of the parties required to receive notice to review projects to
60.2be commenced during the upcoming year; and
60.3 (3) for minor and emergency maintenance work impacting less than 10,000 square
60.4feet, submit project-specific reports, within 30 days of commencing the activity, to the
60.5board that indicate the location, amount, and type of wetlands that have been filled
60.6or drained.
60.7 Those required to receive notice of public transportation projects may appeal
60.8minimization, delineation, and on-site mitigation decisions made by the public
60.9transportation authority to the board according to the provisions of section
60.10subdivision 9
60.11decisions made by the public transportation authority and provide recommendations
60.12regarding on-site mitigation if requested to do so by the local government unit, a
60.13contiguous landowner, or a member of the Technical Evaluation Panel.
60.14 Except for state public transportation projects, for which the state Department of
60.15Transportation is responsible, the board must replace the wetlands, and wetland areas of
60.16public waters if authorized by the commissioner or a delegated authority, drained or filled
60.17by public transportation projects on existing roads.
60.18 Public transportation authorities at their discretion may deviate from federal and
60.19state design standards on existing road projects when practical and reasonable to avoid
60.20wetland filling or draining, provided that public safety is not unreasonably compromised.
60.21The local road authority and its officers and employees are exempt from liability for
60.22any tort claim for injury to persons or property arising from travel on the highway and
60.23related to the deviation from the design standards for construction or reconstruction under
60.24this paragraph. This paragraph does not preclude an action for damages arising from
60.25negligence in construction or maintenance on a highway.
60.26
60.27project has already affected the wetland, the local government unit may require the
60.28landowner to replace the affected wetland at a ratio not to exceed twice the replacement
60.29ratio otherwise required.
60.30
60.31watershed on the basis of its percentage of presettlement wetlands remaining. After
60.32receipt of satisfactory documentation from the local government, the board shall change
60.33the classification of a county or watershed. If requested by the local government unit,
60.34the board must assist in developing the documentation. Within 30 days of its action to
60.35approve a change of wetland classifications, the board shall publish a notice of the change
60.36in the Environmental Quality Board Monitor.
61.1
61.2government unit may request the local government unit to reclassify a county or watershed
61.3on the basis of its percentage of presettlement wetlands remaining. In support of their
61.4petition, the citizens shall provide satisfactory documentation to the local government unit.
61.5The local government unit shall consider the petition and forward the request to the board
61.6under paragraph
61.7EFFECTIVE DATE.This section is effective the day following final enactment.
61.8 Sec. 53. Minnesota Statutes 2006, section 103G.222, subdivision 3, is amended to read:
61.9 Subd. 3. Wetland replacement siting. (a) Siting wetland replacement must follow
61.10this priority order:
61.11 (1) on site or in the same minor watershed as the affected wetland;
61.12 (2) in the same watershed as the affected wetland;
61.13 (3) in the same county as the affected wetland;
61.14 (4) for replacement by wetland banking, in the same wetland bank service area as
61.15the impacted wetland, except that impacts in a 50 to 80 percent area must be replaced in
61.16a 50 to 80 percent area and impacts in a less than 50 percent area must be replaced in a
61.17less than 50 percent area;
61.18 (5) for project specific replacement, in an adjacent watershed
61.19affected wetland, or for replacement by wetland banking, in an adjacent wetland bank
61.20service area, except that impacts in a 50 to 80 percent area must be replaced in a 50 to
61.2180 percent area and impacts in a less than 50 percent area must be replaced in a less
61.22than 50 percent area; and
61.23
61.24public transportation projects, except that wetlands affected in less than 50 percent areas
61.25must be replaced in less than 50 percent areas, and wetlands affected in the seven-county
61.26metropolitan area must be replaced at a ratio of two to one in: (i) the affected county or,
61.27(ii) in another of the seven metropolitan counties, or (iii) in one of the major watersheds
61.28that are wholly or partially within the seven-county metropolitan area, but at least one to
61.29one must be replaced within the seven-county metropolitan area.
61.30 (b) Notwithstanding paragraph (a), siting wetland replacement in greater than 80
61.31percent areas may follow the priority order under this paragraph: (1) by wetland banking
61.32after evaluating on-site replacement and replacement within the watershed; (2) replaced
61.33in an adjacent wetland bank service area if wetland bank credits are not reasonably
61.34available in the same wetland bank service area as the affected wetland, as determined
62.1by the local government unit or by a comprehensive inventory approved by the board;
62.2and (3) statewide.
62.3 (c) Notwithstanding paragraph (a), siting wetland replacement in the seven-county
62.4metropolitan area must follow the priority order under this paragraph: (1) in the affected
62.5county; (2) in another of the seven metropolitan counties; or (3) in one of the major
62.6watersheds that are wholly or partially within the seven-county metropolitan area, but at
62.7least one to one must be replaced within the seven-county metropolitan area.
62.8 (d) The exception in paragraph (a), clause
62.9completed using wetland banking credits established by a person who submitted a
62.10complete wetland banking application to a local government unit by April 1, 1996.
62.11
62.12opportunities are not available in siting priorities listed in paragraph (a), the applicant
62.13may seek opportunities at the next level.
62.14
62.15beneficial replacement opportunities" are defined as opportunities that:
62.16 (1) take advantage of naturally occurring hydrogeomorphological conditions and
62.17require minimal landscape alteration;
62.18 (2) have a high likelihood of becoming a functional wetland that will continue
62.19in perpetuity;
62.20 (3) do not adversely affect other habitat types or ecological communities that are
62.21important in maintaining the overall biological diversity of the area; and
62.22 (4) are available and capable of being done after taking into consideration cost,
62.23existing technology, and logistics consistent with overall project purposes.
62.24
62.25wetland restoration shall collaborate to identify potential replacement opportunities within
62.26their jurisdictional areas.
62.27EFFECTIVE DATE.This section is effective the day following final enactment.
62.28 Sec. 54. Minnesota Statutes 2006, section 103G.2241, subdivision 1, is amended to
62.29read:
62.30 Subdivision 1. Agricultural activities.
62.31not required for:
62.32
62.33
62.34
62.35
63.1
63.2
63.3
63.4
63.5
63.6
63.7
63.8
63.9
63.10
63.11
63.12
63.13
63.14
63.15
63.16
63.17 (1) activities in a wetland conducted as part of normal farming practices. For
63.18purposes of this clause, "normal farming practices" means farming, silvicultural, grazing,
63.19and ranching activities such as plowing, seeding, cultivating, and harvesting for the
63.20production of feed, food, fuel, fiber, and forest products, but does not include activities
63.21that result in the draining or filling of wetlands in whole or part;
63.22 (2) soil and water conservation practices approved by the soil and water conservation
63.23district, after review by the Technical Evaluation Panel;
63.24
63.25maintenance of associated access roads and dikes authorized under, and conducted in
63.26accordance with, a permit issued by the United States Army Corps of Engineers under
63.27section 404 of the federal Clean Water Act, United States Code, title 33, section 1344, but
63.28not including construction or expansion of buildings; or
63.29
63.30authorized under a permit issued by the United States Army Corps of Engineers under
63.31section 404 of the federal Clean Water Act, United States Code, title 33, section 1344
63.32
63.33
63.34
63.35
64.1
64.2
64.3
64.4
64.5
64.6
64.7
64.8
64.9
64.10
64.11
64.12
64.13
64.14
64.15
64.16
64.17EFFECTIVE DATE.This section is effective the day following final enactment.
64.18 Sec. 55. Minnesota Statutes 2006, section 103G.2241, subdivision 2, is amended to
64.19read:
64.20 Subd. 2. Drainage. (a) For the purposes of this subdivision, "public drainage
64.21system" means a drainage system as defined in section
64.22ditch or tile lawfully connected to the drainage system. If wetlands drained under this
64.23subdivision are converted to uses prohibited under paragraph (b), clause (2), during the
64.24ten-year period following drainage, the wetlands must be replaced according to section
64.25103G.222.
64.26 (b) A replacement plan is not required for draining of type 1 wetlands, or up to five
64.27acres of type 2 or 6 wetlands, in an unincorporated area on land that has been assessed
64.28drainage benefits for a public drainage system, provided that:
64.29 (1) during the 20-year period that ended January 1, 1992:
64.30 (i) there was an expenditure made from the drainage system account for the public
64.31drainage system;
64.32 (ii) the public drainage system was repaired or maintained as approved by the
64.33drainage authority; or
64.34 (iii) no repair or maintenance of the public drainage system was required under
64.35section
65.1 (2) the wetlands are not drained for conversion to:
65.2 (i) platted lots;
65.3 (ii) planned unit, commercial, or industrial developments; or
65.4 (iii) any development with more than one residential unit per 40 acres.
65.5
65.6
65.7
65.8 (c) A replacement plan is not required for draining or filling of wetlands, except for
65.9draining types 3, 4, and 5 wetlands that have been in existence for more than 25 years,
65.10resulting from maintenance and repair of existing public drainage systems.
65.11 (d) A replacement plan is not required for draining or filling of wetlands, except
65.12for draining wetlands that have been in existence for more than 25 years, resulting from
65.13maintenance and repair of existing drainage systems other than public drainage systems.
65.14
65.15
65.16
65.17
65.18
65.19
65.20
65.21 (e) A replacement plan is not required for draining agricultural land that: (1) was
65.22planted with annually seeded crops before June 10, except for crops that are normally
65.23planted after that date, in eight out of the ten most recent years prior to the impact; (2)
65.24was in a crop rotation seeding of pasture grass or legumes in eight out of the ten most
65.25recent years prior to the impact; or (3) was enrolled in a state or federal land conservation
65.26program and met the requirements of clause (1) or (2) before enrollment.
65.27 (f) The public drainage authority may, as part of the repair, install control structures,
65.28realign the ditch, construct dikes along the ditch, or make other modifications as necessary
65.29to prevent drainage of the wetland.
65.30 (g) Wetlands of all types that would be drained as a part of a public drainage repair
65.31project are eligible for the permanent wetlands preserve under section
65.32board shall give priority to acquisition of easements on types 3, 4, and 5 wetlands that have
65.33been in existence for more than 25 years on public drainage systems and other wetlands
65.34that have the greatest risk of drainage from a public drainage repair project.
65.35EFFECTIVE DATE.This section is effective the day following final enactment.
66.1 Sec. 56. Minnesota Statutes 2006, section 103G.2241, subdivision 3, is amended to
66.2read:
66.3 Subd. 3. Federal approvals. A replacement plan for wetlands is not required for
66.4
66.5
66.6
66.7
66.8
66.9
66.10
66.11
66.12
66.13Rivers and Harbors Act, section 10, regulations that meet minimum state standards
66.14under this chapter and sections
66.15by the Board of Water and Soil Resources, the commissioners of natural resources and
66.16agriculture, and the Pollution Control Agency.
66.17EFFECTIVE DATE.This section is effective the day following final enactment.
66.18 Sec. 57. Minnesota Statutes 2006, section 103G.2241, subdivision 6, is amended to
66.19read:
66.20 Subd. 6. Utilities; public works. (a) A replacement plan for wetlands is not
66.21required for:
66.22
66.23
66.24
66.25
66.26
66.27
66.28
66.29
66.30
66.31
66.32
66.33
66.34
67.1
67.2
67.3
67.4
67.5
67.6 (1) new placement or maintenance, repair, enhancement, or replacement of existing
67.7utility or utility-type service, including pipelines, if:
67.8 (i) the direct and indirect impacts of the proposed project have been avoided and
67.9minimized to the extent possible; and
67.10 (ii) the proposed project significantly modifies or alters less than one-half acre of
67.11wetlands;
67.12 (2) activities associated with operation, routine maintenance, or emergency repair of
67.13existing utilities and public work structures, including pipelines, provided the activities
67.14do not result in additional wetland intrusion or additional draining or filling of a wetland
67.15either wholly or partially; or
67.16 (3) repair and updating of existing individual sewage treatment systems necessary to
67.17comply with local, state, and federal regulations.
67.18 (b) For maintenance, repair, and replacement, the local government unit may issue
67.19a seasonal or annual exemption certification or the utility may proceed without local
67.20government unit certification if the utility is carrying out the work according to approved
67.21best management practices. Work of an emergency nature may proceed as necessary
67.22and any drain or fill activities shall be addressed with the local government unit after
67.23the emergency work has been completed.
67.24EFFECTIVE DATE.This section is effective the day following final enactment.
67.25 Sec. 58. Minnesota Statutes 2006, section 103G.2241, subdivision 9, is amended to
67.26read:
67.27 Subd. 9. De minimis. (a) Except as provided in paragraphs (b) and (c), a
67.28replacement plan for wetlands is not required for draining or filling the following amounts
67.29of wetlands as part of a project:
67.30 (1) 10,000 square feet of type 1, 2, 6, or 7 wetland, excluding white cedar and
67.31tamarack wetlands, outside of the shoreland wetland protection zone in a greater than
67.3280 percent area;
67.33 (2)
67.34and tamarack wetlands, outside of the shoreland wetland protection zone in a 50 to 80
67.35percent area;
68.1 (3)
68.2wetland protection zone in a less than 50 percent area;
68.3 (4)
68.4the building setback zone of the shoreland wetland protection zones in all counties;
68.5 (5) 400 square feet of
68.6to (3),
68.7ordinance, but within the shoreland wetland protection zone
68.8than 80 percent area, the local government unit may increase the de minimis amount
68.9up to 1,000 square feet
68.10
68.11to the public water. To the extent that a local shoreland management ordinance is more
68.12restrictive than this provision, the local shoreland ordinance applies; or
68.13 (6) up to 20 square feet of wetland, regardless of type or location.
68.14 (b) The amounts listed in paragraph (a), clauses (1) to
68.15on a project.
68.16 (c) This exemption no longer applies to a landowner's portion of a wetland when
68.17the cumulative area drained or filled of the landowner's portion since January 1, 1992, is
68.18the greatest of:
68.19 (1) the applicable area listed in paragraph (a), if the landowner owns the entire
68.20wetland;
68.21 (2) five percent of the landowner's portion of the wetland; or
68.22 (3) 400 square feet.
68.23 (d) This exemption may not be combined with another exemption in this section on
68.24a project.
68.25 (e) Property may not be divided to increase the amounts listed in paragraph (a).
68.26EFFECTIVE DATE.This section is effective the day following final enactment.
68.27 Sec. 59. Minnesota Statutes 2006, section 103G.2241, subdivision 11, is amended to
68.28read:
68.29 Subd. 11. Exemption conditions. (a) A person conducting an activity in a wetland
68.30under an exemption in subdivisions 1 to 10 shall ensure that:
68.31 (1) appropriate erosion control measures are taken to prevent sedimentation of
68.32the water;
68.33 (2) the activity does not block fish passage in a watercourse; and
69.1 (3) the activity is conducted in compliance with all other applicable federal,
69.2state, and local requirements, including best management practices and water resource
69.3protection requirements established under chapter 103H.
69.4 (b) An activity is exempt if it qualifies for any one of the exemptions, even though it
69.5may be indicated as not exempt under another exemption.
69.6 (c) Persons proposing to conduct an exempt activity are encouraged to contact the
69.7local government unit or the local government unit's designee for advice on minimizing
69.8wetland impacts.
69.9 (d) The board shall develop rules that address the application and implementation
69.10of exemptions and that provide for estimates and reporting of exempt wetland impacts,
69.11including those in section 103G.2241, subdivisions 2, 6, and 9.
69.12EFFECTIVE DATE.This section is effective the day following final enactment.
69.13 Sec. 60. Minnesota Statutes 2006, section 103G.2242, subdivision 2, is amended to
69.14read:
69.15 Subd. 2. Evaluation. (a) Questions concerning the public value, location, size,
69.16or type of a wetland shall be submitted to and determined by a Technical Evaluation
69.17Panel after an on-site inspection. The Technical Evaluation Panel shall be composed of
69.18a technical professional employee of the board, a technical professional employee of
69.19the local soil and water conservation district or districts, a technical professional with
69.20expertise in water resources management appointed by the local government unit, and
69.21a technical professional employee of the Department of Natural Resources for projects
69.22affecting public waters or wetlands adjacent to public waters. The panel shall use the
69.23"United States Army Corps of Engineers Wetland Delineation Manual" (January 1987),
69.24including updates, supplementary guidance, and replacements, if any, "Wetlands of
69.25the United States" (United States Fish and Wildlife Service Circular 39, 1971 edition),
69.26and "Classification of Wetlands and Deepwater Habitats of the United States" (1979
69.27edition). The panel shall provide the wetland determination and recommendations on
69.28other technical matters to the local government unit that must approve a replacement
69.29plan, wetland banking plan, exemption determination, no-loss determination, or wetland
69.30boundary or type determination and may recommend approval or denial of the plan. The
69.31authority must consider and include the decision of the Technical Evaluation Panel in their
69.32approval or denial of a plan or determination.
69.33 (b) Persons conducting wetland or public waters boundary delineations or type
69.34determinations are exempt from the requirements of chapter 326.
69.35
70.1
70.2
70.3may develop a professional wetland delineator certification program.
70.4EFFECTIVE DATE.This section is effective the day following final enactment.
70.5 Sec. 61. Minnesota Statutes 2006, section 103G.2242, subdivision 2a, is amended to
70.6read:
70.7 Subd. 2a. Wetland boundary or type determination. (a) A landowner may apply
70.8for a wetland boundary or type determination from the local government unit. The
70.9landowner applying for the determination is responsible for submitting proof necessary
70.10to make the determination, including, but not limited to, wetland delineation field data,
70.11observation well data, topographic mapping, survey mapping, and information regarding
70.12soils, vegetation, hydrology, and groundwater both within and outside of the proposed
70.13wetland boundary.
70.14 (b) A local government unit that receives an application under paragraph (a) may
70.15seek the advice of the Technical Evaluation Panel as described in subdivision 2, and, if
70.16necessary, expand the Technical Evaluation Panel. The local government unit may delegate
70.17the decision authority for wetland boundary or type determinations
70.18
70.19 (c) The local government unit decision must be made in compliance with section
70.21be mailed to the landowner, members of the Technical Evaluation Panel, the watershed
70.22district or watershed management organization, if one exists, and individual members of
70.23the public who request a copy.
70.24 (d) Appeals of decisions made by designated local government staff must be made
70.25to the local government unit. Notwithstanding any law to the contrary, a ruling on an
70.26appeal must be made by the local government unit within 30 days from the date of the
70.27filing of the appeal.
70.28 (e) The local government unit decision is valid for three years unless the Technical
70.29Evaluation Panel determines that natural or artificial changes to the hydrology, vegetation,
70.30or soils of the area have been sufficient to alter the wetland boundary or type.
70.31EFFECTIVE DATE.This section is effective the day following final enactment.
70.32 Sec. 62. Minnesota Statutes 2006, section 103G.2242, subdivision 9, is amended to
70.33read:
71.1 Subd. 9. Appeal. (a) Appeal of a replacement plan, exemption, wetland banking,
71.2wetland boundary or type determination,
71.3be obtained by mailing a petition and payment of a filing fee
71.4retained by the board to defray administrative costs, to the board within 30 days after the
71.5postmarked date of the mailing specified in subdivision 7. If appeal is not sought within
71.630 days, the decision becomes final.
71.7
71.8petition for hearing is accepted, the amount posted must be returned to the petitioner.
71.9Appeal may be made by:
71.10 (1) the wetland owner;
71.11 (2) any of those to whom notice is required to be mailed under subdivision 7; or
71.12 (3) 100 residents of the county in which a majority of the wetland is located.
71.13 (b) Within 30 days after receiving a petition, the board shall decide whether to
71.14grant the petition and hear the appeal. The board shall grant the petition unless the board
71.15finds that:
71.16 (1) the appeal is meritless, trivial, or brought solely for the purposes of delay;
71.17 (2) the petitioner has not exhausted all local administrative remedies;
71.18 (3) expanded technical review is needed;
71.19 (4) the local government unit's record is not adequate; or
71.20 (5) the petitioner has not posted a letter of credit, cashier's check, or cash if required
71.21by the local government unit.
71.22 (c) In determining whether to grant the appeal, the board shall also consider the
71.23size of the wetland, other factors in controversy, any patterns of similar acts by the local
71.24government unit or petitioner, and the consequences of the delay resulting from the appeal.
71.25 (d) All appeals must be heard by the committee for dispute resolution of the board,
71.26and a decision made within 60 days of filing the local government unit's record and the
71.27written briefs submitted for the appeal. The decision must be served by mail on the parties
71.28to the appeal, and is not subject to the provisions of chapter 14. A decision whether to
71.29grant a petition for appeal and a decision on the merits of an appeal must be considered the
71.30decision of an agency in a contested case for purposes of judicial review under sections
71.32 (e) Notwithstanding section 16A.1283, the board shall establish a fee schedule to
71.33defray the administrative costs of appeals made to the board under this subdivision. Fees
71.34established under this authority shall not exceed $1,000. Establishment of the fee is not
71.35subject to the rulemaking process of chapter 14 and section 14.386 does not apply.
71.36EFFECTIVE DATE.This section is effective the day following final enactment.
72.1 Sec. 63. Minnesota Statutes 2006, section 103G.2242, subdivision 12, is amended to
72.2read:
72.3 Subd. 12. Replacement credits. (a) No public or private wetland restoration,
72.4enhancement, or construction may be allowed for replacement unless specifically
72.5designated for replacement and paid for by the individual or organization performing the
72.6wetland restoration, enhancement, or construction, and is completed prior to any draining
72.7or filling of the wetland.
72.8 (b) Paragraph (a) does not apply to a wetland whose owner has paid back with
72.9interest the individual or organization restoring, enhancing, or constructing the wetland.
72.10 (c) Notwithstanding section
72.11following actions, and others established in rule, that are consistent with criteria in rules
72.12adopted by the board in conjunction with the commissioners of natural resources and
72.13agriculture, are eligible for replacement credit as determined by the local government unit,
72.14including enrollment in a statewide wetlands bank:
72.15 (1) reestablishment of permanent native, noninvasive vegetative cover on a wetland
72.16on agricultural land that was planted with annually seeded crops, was in a crop rotation
72.17seeding of pasture grasses or legumes, or was in a land retirement program during the
72.18past ten years;
72.19 (2) buffer areas of permanent native, noninvasive vegetative cover established or
72.20preserved on upland adjacent to replacement wetlands;
72.21 (3) wetlands restored for conservation purposes under terminated easements or
72.22contracts; and
72.23 (4) water quality treatment ponds constructed to pretreat storm water runoff prior
72.24to discharge to wetlands, public waters, or other water bodies, provided that the water
72.25quality treatment ponds must be associated with an ongoing or proposed project that
72.26will impact a wetland and replacement credit for the treatment ponds is based on the
72.27replacement of wetland functions and on an approved stormwater management plan for
72.28the local government.
72.29 (d) Notwithstanding section
72.30the board may establish by rule different replacement ratios for restoration projects with
72.31exceptional natural resource value.
72.32EFFECTIVE DATE.This section is effective the day following final enactment.
72.33 Sec. 64. Minnesota Statutes 2006, section 103G.2242, subdivision 15, is amended to
72.34read:
73.1 Subd. 15. Fees paid to board. All fees established in
73.2and 14 must be paid to the Board of Water and Soil Resources
73.3
73.4appeals under section 103G.2242, subdivision 9.
73.5EFFECTIVE DATE.This section is effective the day following final enactment.
73.6 Sec. 65. Minnesota Statutes 2006, section 103G.2243, subdivision 2, is amended to
73.7read:
73.8 Subd. 2. Plan contents. A comprehensive wetland protection and management
73.9plan may:
73.10 (1) provide for classification of wetlands in the plan area based on:
73.11 (i) an inventory of wetlands in the plan area;
73.12 (ii) an assessment of the wetland functions listed in section
73.13methodology chosen by the Technical Evaluation Panel from one of the methodologies
73.14established or approved by the board under that section; and
73.15 (iii) the resulting public values;
73.16 (2) vary application of the sequencing standards in section
73.17paragraph (b), for projects based on the classification and criteria set forth in the plan;
73.18 (3) vary the replacement standards of section
73.19
73.20wetland impacts provided there is no net loss of public values within the area subject to
73.21the plan, and so long as:
73.22 (i) in a 50 to 80 percent area, a minimum acreage requirement of one acre of replaced
73.23wetland for each acre of drained or filled wetland requiring replacement is met within
73.24the area subject to the plan; and
73.25 (ii) in a less than 50 percent area, a minimum acreage requirement of two acres of
73.26replaced wetland for each acre of drained or filled wetland requiring replacement is met
73.27within the area subject to the plan, except that replacement for the amount above a 1:1
73.28ratio can be accomplished as described in section
73.29 (4) in a greater than 80 percent area, allow replacement credit, based on the
73.30classification and criteria set forth in the plan, for any project that increases the public
73.31value of wetlands, including activities on adjacent upland acres
73.32
73.33
73.34
73.35
74.1EFFECTIVE DATE.This section is effective the day following final enactment.
74.2 Sec. 66. Minnesota Statutes 2006, section 103G.235, is amended to read:
74.3103G.235 RESTRICTIONS ON ACCESS TO
74.4 Subdivision 1. Wetlands adjacent to roads. To protect the public health or safety,
74.5local units of government may by ordinance restrict public access to public waters
74.6wetlands from municipality, county, or township roads that abut public waters wetlands.
74.7 Subd. 2. Privately restored or created wetlands. When a landowner creates a new
74.8wetland or restores a formerly existing wetland on private land that is adjacent to public
74.9land or a public road right-of-way, there is no public access to the created or restored
74.10wetland if posted by the landowner.
74.11 Sec. 67. Minnesota Statutes 2006, section 103G.301, subdivision 2, is amended to read:
74.12 Subd. 2. Permit application fees. (a) A permit application fee to defray the costs of
74.13receiving, recording, and processing the application must be paid for a permit authorized
74.14under this chapter and for each request to amend or transfer an existing permit.
74.15 (b) The fee to apply for a permit to appropriate water by a nonpublic applicant or a
74.16nonagricultural irrigation applicant must be assessed to recover the reasonable costs of
74.17preparing and issuing the permit. Fees collected under this paragraph must be credited
74.18to an account in the natural resources fund and are appropriated for fiscal years 2008
74.19and 2009 to the commissioner.
74.20
74.21to the fee under paragraph (b); a permit to construct or repair a dam that is subject to dam
74.22safety inspection
74.23$150. The application fee for a permit to work in public waters or to divert waters for
74.24mining must be at least $150, but not more than $1,000, according to a schedule of fees
74.25adopted under section
74.26 Sec. 68. Minnesota Statutes 2006, section 115.55, subdivision 1, is amended to read:
74.27 Subdivision 1. Definitions. (a) The definitions in this subdivision apply to sections
74.29 (b) "Advisory committee" means the Advisory Committee on Individual Sewage
74.30Treatment Systems established under the individual sewage treatment system rules. The
74.31advisory committee must be appointed to ensure geographic representation of the state
74.32and include elected public officials.
74.33 (c) "Applicable requirements" means:
75.1 (1) local ordinances that comply with the individual sewage treatment system rules,
75.2as required in subdivision 2; or
75.3 (2) in areas not subject to the ordinances described in clause (1), the individual
75.4sewage treatment system rules.
75.5 (d) "City" means a statutory or home rule charter city.
75.6 (e) "Commissioner" means the commissioner of the Pollution Control Agency.
75.7 (f) "Dwelling" means a building or place used or intended to be used by human
75.8occupants as a single-family or two-family unit.
75.9 (g) "Individual sewage treatment system" or "system" means a sewage treatment
75.10system, or part thereof,
75.11uses subsurface soil treatment and disposal, or a holding tank, serving a dwelling, other
75.12establishment, or a group thereof.
75.13 (h) "Individual sewage treatment system professional" means an inspector, installer,
75.14site evaluator or designer, or pumper.
75.15 (i) "Individual sewage treatment system rules" means rules adopted by the agency
75.16that establish minimum standards and criteria for the design, location, installation, use,
75.17and maintenance of individual sewage treatment systems.
75.18 (j) "Inspector" means a person who inspects individual sewage treatment systems for
75.19compliance with the applicable requirements.
75.20 (k) "Installer" means a person who constructs or repairs individual sewage treatment
75.21systems.
75.22 (l) "Local unit of government" means a township, city, or county.
75.23 (m) "Performance-based system" means a system that is designed specifically for a
75.24site and the environmental conditions on that site and designed to adequately protect the
75.25public health and the environment and provide long-term performance. At a minimum, a
75.26performance based system must ensure that applicable water quality standards are met in
75.27both ground and surface water that ultimately receive the treated wastewater.
75.28 (n) "Pumper" means a person who maintains components of individual sewage
75.29treatment systems including, but not limited to, septic, aerobic, and holding tanks.
75.30
75.31180 days per year and less than 120 consecutive days.
75.32
75.33and installed as part of an individual sewage treatment system.
75.34
75.35 (1) investigates soils and site characteristics to determine suitability, limitations, and
75.36sizing requirements; and
76.1 (2) designs individual sewage treatment systems.
76.2
76.3waste and transports raw or partially settled sewage directly to a lake, a stream, a drainage
76.4system, or ground surface.
76.5 Sec. 69. Minnesota Statutes 2006, section 115.55, subdivision 2, is amended to read:
76.6 Subd. 2. Local ordinances. (a) All counties
76.7
76.8revisions to the individual sewage treatment system rules
76.9
76.10adoption by the agency. County ordinances must apply to all areas of the county other
76.11than cities or towns that have adopted ordinances that comply with this section and are
76.12as strict as the applicable county ordinances.
76.13
76.14
76.15 (b) A copy of each ordinance adopted under this subdivision must be submitted to
76.16the commissioner upon adoption.
76.17 (c) A local unit of government must make available to the public upon request a
76.18written list of any differences between its ordinances and rules adopted under this section.
76.19 Sec. 70. Minnesota Statutes 2006, section 115.55, subdivision 3, is amended to read:
76.20 Subd. 3. Rules. (a) The agency shall adopt rules containing minimum standards and
76.21criteria for the design, location, installation, use, and maintenance of individual sewage
76.22treatment systems. The rules must include:
76.23 (1) how the agency will ensure compliance under subdivision 2;
76.24 (2) how local units of government shall enforce ordinances under subdivision 2,
76.25including requirements for permits and inspection programs;
76.26 (3) how the advisory committee will participate in review and implementation of
76.27the rules;
76.28 (4) provisions for
76.29 (5) provisions for handling and disposal of effluent;
76.30 (6) provisions for system abandonment; and
76.31 (7) procedures for variances, including the consideration of variances based on cost
76.32and variances that take into account proximity of a system to other systems.
76.33 (b) The agency shall consult with the advisory committee before adopting rules
76.34under this subdivision.
77.1 (c) Notwithstanding the repeal of the agency rule under which the commissioner
77.2has established a list of warrantied individual sewage treatment systems, the warranties
77.3for all systems so listed as of the effective date of the repeal shall continue to be valid
77.4for the remainder of the warranty period.
77.5 (d) The rules required in paragraph (a) must also address the following:
77.6 (1) a definition of redoximorphic features and other criteria that can be used by
77.7system designers and inspectors;
77.8 (2) direction on the interpretation of observed soil features that may be
77.9redoximorphic and their relation to zones of seasonal saturation; and
77.10 (3) procedures on how to resolve professional disagreements on seasonally saturated
77.11soils.
77.12These rules must be in place by March 31, 2006.
77.13 Sec. 71. Minnesota Statutes 2006, section 115.55, is amended by adding a subdivision
77.14to read:
77.15 Subd. 12. Advisory committee; county individual sewage treatment system
77.16management plan. (a) A county may adopt an individual sewage treatment system
77.17management plan that describes how the county plans on carrying out individual sewage
77.18treatment system needs. The commissioner of the Pollution Control Agency shall form an
77.19advisory committee to determine what the plans should address. The advisory committee
77.20shall be made up of representatives of the Association of Minnesota Counties, Pollution
77.21Control Agency, Board of Water and Soil Resources, Department of Health, and other
77.22public agencies or local units of government that have an interest in individual sewage
77.23treatment systems.
77.24 (b) The advisory committee shall advise the agency on the standards, management,
77.25monitoring, and reporting requirements for performance-based systems.
77.26 Sec. 72. Minnesota Statutes 2006, section 116C.92, is amended to read:
77.27116C.92 COORDINATION OF ACTIVITIES.
77.28 Subdivision 1. State coordinating organization. The Environmental Quality Board
77.29is designated the state coordinating organization for state and federal regulatory activities
77.30relating to genetically engineered organisms.
77.31 Subd. 2. Notice of nationwide action. The board shall notify interested parties if a
77.32permit to release genetically engineered wild rice is issued anywhere in the United States.
77.33For purposes of this subdivision, "interested parties" means:
77.34 (1) the state's wild rice industry;
78.1 (2) the legislature;
78.2 (3) federally recognized tribes within Minnesota; and
78.3 (4) individuals who request to be notified.
78.4 Sec. 73. Minnesota Statutes 2006, section 116C.94, subdivision 1, is amended to read:
78.5 Subdivision 1. General authority. (a) Except as provided in paragraph (b), the
78.6board shall adopt rules consistent with sections
78.7environmental assessment worksheet and otherwise comply with chapter 116D and rules
78.8adopted under it for a proposed release and a permit for a release. The board may place
78.9conditions on a permit and may deny, modify, suspend, or revoke a permit.
78.10 (b) The board shall adopt rules that require an environmental impact statement and
78.11otherwise comply with chapter 116D and rules adopted under it for a proposed release and
78.12a permit for a release of genetically engineered wild rice. The board may place conditions
78.13on the permit and may deny, modify, suspend, or revoke the permit.
78.14 Sec. 74. Minnesota Statutes 2006, section 116C.97, subdivision 2, is amended to read:
78.15 Subd. 2. Federal oversight. (a) If the board determines, upon its own volition or at
78.16the request of any person, that a federal program exists for regulating the release of certain
78.17genetically engineered organisms and the federal oversight under the program is adequate
78.18to protect human health or the environment, then any person may release such genetically
78.19engineered organisms after obtaining the necessary federal approval and without obtaining
78.20a state release permit or a significant environmental permit or complying with the other
78.21requirements of sections
78.22to section
78.23 (b) If the board determines the federal program is adequate to meet only certain
78.24requirements of sections
78.25to section
78.26 (c) A person proposing a release for which a federal authorization is required may
78.27apply to the board for an exemption from the board's permit or to a state agency with a
78.28significant environmental permit for the proposed release for an exemption from the
78.29agency's permit. The proposer must file with the board or state agency a written request
78.30for exemption with a copy of the federal application and the information necessary to
78.31determine if there is a potential for significant environmental effects under chapter 116D
78.32and rules adopted under it. The board or state agency shall give public notice of the request
78.33in the first available issue of the EQB Monitor and shall provide an opportunity for public
78.34comment on the environmental review process consistent with chapter 116D and rules
79.1adopted under it. The board or state agency may grant the exemption if the board or state
79.2agency finds that the federal authorization issued is adequate to meet the requirements of
79.3chapter 116D and rules adopted under it and any other requirement of the board's or state
79.4agency's authority regarding the release of genetically engineered organisms. The board
79.5or state agency must grant or deny the exemption within 45 days after the receipt of the
79.6written request and the information required by the board or state agency.
79.7 (d) This subdivision does not apply to genetically engineered organisms for which
79.8an environmental impact statement is required under sections 116C.91 to 116C.96.
79.9 Sec. 75. Minnesota Statutes 2006, section 282.04, subdivision 1, is amended to read:
79.10 Subdivision 1. Timber sales; land leases and uses. (a) The county auditor may
79.11sell timber upon any tract that may be approved by the natural resources commissioner.
79.12The sale of timber shall be made for cash at not less than the appraised value determined
79.13by the county board to the highest bidder after not less than one week's published notice
79.14in an official paper within the county. Any timber offered at the public sale and not sold
79.15may thereafter be sold at private sale by the county auditor at not less than the appraised
79.16value thereof, until the time as the county board may withdraw the timber from sale. The
79.17appraised value of the timber and the forestry practices to be followed in the cutting of
79.18said timber shall be approved by the commissioner of natural resources.
79.19 (b) Payment of the full sale price of all timber sold on tax-forfeited lands shall be
79.20made in cash at the time of the timber sale, except in the case of oral or sealed bid auction
79.21sales, the down payment shall be no less than 15 percent of the appraised value, and the
79.22balance shall be paid prior to entry. In the case of auction sales that are partitioned and
79.23sold as a single sale with predetermined cutting blocks, the down payment shall be no less
79.24than 15 percent of the appraised price of the entire timber sale which may be held until the
79.25satisfactory completion of the sale or applied in whole or in part to the final cutting block.
79.26The value of each separate block must be paid in full before any cutting may begin in that
79.27block. With the permission of the county contract administrator the purchaser may enter
79.28unpaid blocks and cut necessary timber incidental to developing logging roads as may
79.29be needed to log other blocks provided that no timber may be removed from an unpaid
79.30block until separately scaled and paid for. If payment is provided as specified in this
79.31paragraph as security under paragraph (a) and no cutting has taken place on the contract,
79.32the county auditor may credit the security provided, less any down payment required for
79.33an auction sale under this paragraph, to any other contract issued to the contract holder
79.34by the county under this chapter to which the contract holder requests in writing that it
80.1be credited, provided the request and transfer is made within the same calendar year as
80.2the security was received.
80.3 (c) The county board may
80.4
80.5from which timber is to be sold by scale of cut products shall be so designated in the
80.6published notice of sale under paragraph (a), in which case the notice shall contain a
80.7description of the parcels, a statement of the estimated quantity of each species of timber,
80.8and the appraised price of each species of timber for 1,000 feet, per cord or per piece, as
80.9the case may be. In those cases any bids offered over and above the appraised prices shall
80.10be by percentage, the percent bid to be added to the appraised price of each of the different
80.11species of timber advertised on the land. The purchaser of timber from the parcels shall
80.12pay in cash at the time of sale at the rate bid for all of the timber shown in the notice of
80.13sale as estimated to be standing on the land, and in addition shall pay at the same rate for
80.14any additional amounts which the final scale shows to have been cut or was available for
80.15cutting on the land at the time of sale under the terms of the sale. Where the final scale
80.16of cut products shows that less timber was cut or was available for cutting under terms
80.17of the sale than was originally paid for, the excess payment shall be refunded from the
80.18forfeited tax sale fund upon the claim of the purchaser, to be audited and allowed by the
80.19county board as in case of other claims against the county. No timber, except hardwood
80.20pulpwood, may be removed from the parcels of land or other designated landings until
80.21scaled by a person or persons designated by the county board and approved by the
80.22commissioner of natural resources. Landings other than the parcel of land from which
80.23timber is cut may be designated for scaling by the county board by written agreement
80.24with the purchaser of the timber. The county board may, by written agreement with the
80.25purchaser and with a consumer designated by the purchaser when the timber is sold by the
80.26county auditor, and with the approval of the commissioner of natural resources, accept the
80.27consumer's scale of cut products delivered at the consumer's landing. No timber shall be
80.28removed until fully paid for in cash. Small amounts of timber not exceeding $3,000 in
80.29appraised valuation may be sold for not less than the full appraised value at private sale
80.30to individual persons without first publishing notice of sale or calling for bids, provided
80.31that in case of a sale involving a total appraised value of more than $200 the sale shall be
80.32made subject to final settlement on the basis of a scale of cut products in the manner above
80.33provided and not more than two of the sales, directly or indirectly to any individual shall
80.34be in effect at one time.
80.35 (d) As directed by the county board, the county auditor may lease tax-forfeited land
80.36to individuals, corporations or organized subdivisions of the state at public or private sale,
81.1and at the prices and under the terms as the county board may prescribe, for use as cottage
81.2and camp sites and for agricultural purposes and for the purpose of taking and removing of
81.3hay, stumpage, sand, gravel, clay, rock, marl, and black dirt from the land, and for garden
81.4sites and other temporary uses provided that no leases shall be for a period to exceed ten
81.5years; provided, further that any leases involving a consideration of more than $12,000 per
81.6year, except to an organized subdivision of the state shall first be offered at public sale in
81.7the manner provided herein for sale of timber. Upon the sale of any leased land, it shall
81.8remain subject to the lease for not to exceed one year from the beginning of the term of the
81.9lease. Any rent paid by the lessee for the portion of the term cut off by the cancellation
81.10shall be refunded from the forfeited tax sale fund upon the claim of the lessee, to be
81.11audited and allowed by the county board as in case of other claims against the county.
81.12 (e) As directed by the county board, the county auditor may lease tax-forfeited land
81.13to individuals, corporations, or organized subdivisions of the state at public or private sale,
81.14at the prices and under the terms as the county board may prescribe, for the purpose
81.15of taking and removing for use for road construction and other purposes tax-forfeited
81.16stockpiled iron-bearing material. The county auditor must determine that the material is
81.17needed and suitable for use in the construction or maintenance of a road, tailings basin,
81.18settling basin, dike, dam, bank fill, or other works on public or private property, and
81.19that the use would be in the best interests of the public. No lease shall exceed ten years.
81.20The use of a stockpile for these purposes must first be approved by the commissioner of
81.21natural resources. The request shall be deemed approved unless the requesting county
81.22is notified to the contrary by the commissioner of natural resources within six months
81.23after receipt of a request for approval for use of a stockpile. Once use of a stockpile has
81.24been approved, the county may continue to lease it for these purposes until approval is
81.25withdrawn by the commissioner of natural resources.
81.26 (f) The county auditor, with the approval of the county board is authorized to grant
81.27permits, licenses, and leases to tax-forfeited lands for the depositing of stripping, lean
81.28ores, tailings, or waste products from mines or ore milling plants, upon the conditions and
81.29for the consideration and for the period of time, not exceeding 15 years, as the county
81.30board may determine. The permits, licenses, or leases are subject to approval by the
81.31commissioner of natural resources.
81.32 (g) Any person who removes any timber from tax-forfeited land before said
81.33timber has been scaled and fully paid for as provided in this subdivision is guilty of a
81.34misdemeanor.
81.35 (h) The county auditor may, with the approval of the county board, and without first
81.36offering at public sale, grant leases, for a term not exceeding 25 years, for the removal
82.1of peat and for the production or removal of farm-grown closed-loop biomass as defined
82.2in section
82.3lands upon the terms and conditions as the county board may prescribe. Any lease for
82.4the removal of peat, farm-grown closed-loop biomass, or short-rotation woody crops
82.5from tax-forfeited lands must first be reviewed and approved by the commissioner of
82.6natural resources if the lease covers 320 or more acres. No lease for the removal of
82.7peat, farm-grown closed-loop biomass, or short-rotation woody crops shall be made by
82.8the county auditor pursuant to this section without first holding a public hearing on the
82.9auditor's intention to lease. One printed notice in a legal newspaper in the county at least
82.10ten days before the hearing, and posted notice in the courthouse at least 20 days before
82.11the hearing shall be given of the hearing.
82.12 (i) Notwithstanding any provision of paragraph (c) to the contrary, the St. Louis
82.13County auditor may, at the discretion of the county board, sell timber to the party who
82.14bids the highest price for all the several kinds of timber, as provided for sales by the
82.15commissioner of natural resources under section
82.16appraised price need not be applied proportionately to the appraised price of each of
82.17the different species of timber.
82.18 (j) In lieu of any payment or deposit required in paragraph (b), as directed by the
82.19county board and under terms set by the county board, the county auditor may accept an
82.20irrevocable bank letter of credit in the amount equal to the amount otherwise determined
82.21in paragraph (b). If an irrevocable bank letter of credit is provided under this paragraph,
82.22at the written request of the purchaser, the county may periodically allow the bank letter
82.23of credit to be reduced by an amount proportionate to the value of timber that has been
82.24harvested and for which the county has received payment. The remaining amount of
82.25the bank letter of credit after a reduction under this paragraph must not be less than 20
82.26percent of the value of the timber purchased. If an irrevocable bank letter of credit or
82.27cash deposit is provided for the down payment required in paragraph (b), and no cutting
82.28of timber has taken place on the contract for which a letter of credit has been provided,
82.29the county may allow the transfer of the letter of credit to any other contract issued to the
82.30contract holder by the county under this chapter to which the contract holder requests in
82.31writing that it be credited.
82.32 Sec. 76. Laws 1998, chapter 389, article 16, section 31, subdivision 4, as amended
82.33by Laws 1999, chapter 180, section 3, and Laws 2001, chapter 164, section 5, and Laws
82.342005, First Special Session chapter 1, article 2, section 149, is amended to read:
83.1 Subd. 4. County environmental trust fund. Notwithstanding the provisions of
83.2Minnesota Statutes, chapter 282, and any other law relating to the apportionment of
83.3proceeds from the sale of tax-forfeited land, and except as otherwise provided in this
83.4section, a county board must deposit the money received from the sale of land under
83.5subdivision 3 into an environmental trust fund established by the county under this
83.6subdivision. The county board may: (1) deposit part or all of the environmental trust fund
83.7money as provided in Minnesota Statutes, chapter 118A; or (2) enter into an agreement
83.8with the State Board of Investment to invest all or part of the money in investments
83.9under Minnesota Statutes, section
83.10The following may be withheld by a county board and are not required to be deposited
83.11into an environmental trust fund: the costs of appraisal, abstracts, and surveys; money
83.12received from a sale which is attributable to land owned by a county in fee; amounts paid
83.13to lessees for improvements; amounts paid to acquire land which is included in a county
83.14plan for exchange and is conveyed to the state in the exchange, including the purchase
83.15price, appraisal, abstract, survey, and closing costs; and the costs of sale to lessees or other
83.16parties, including the costs of advertising, realtors, and closing services. If the proceeds
83.17from the sale of tax-forfeited land in a county are $250,000 or more, the amount the
83.18county may spend from the fund each calendar year may not exceed 5-1/2 percent of the
83.19market value of the fund on January 1 of the preceding calendar year, and the county board
83.20may spend money from the fund only for purposes related to the improvement of natural
83.21resources. To the extent money received from the sale is attributable to tax-forfeited
83.22land from another county, the money must be deposited in an environmental trust fund
83.23established under this section by that county board. The county board must not delegate
83.24to an appointed official or any other person any decision required or permitted to be
83.25made under this subdivision.
83.26 Sec. 77. Laws 2003, chapter 128, article 1, section 169, is amended to read:
83.27 Sec. 169. CONTINUOUS TRAIL DESIGNATION.
83.28 (a) The commissioner of natural resources shall locate, plan, design, map, construct,
83.29designate, and sign a new trail for use by all-terrain vehicles and off-highway motorcycles
83.30of not less than 70 continuous miles in length on any land owned by the state or in
83.31cooperation with any county on land owned by that county or on a combination of any of
83.32these lands. This new trail shall be ready for use by
83.33 (b) All funding for this new trail shall come from the all-terrain vehicle dedicated
83.34account and is appropriated each year as needed.
84.1 (c) This new trail shall have at least two areas of access complete with appropriate
84.2parking for vehicles and trailers and enough room for loading and unloading all-terrain
84.3vehicles. Some existing trails, that are strictly all-terrain vehicle trails, and are not
84.4inventoried forest roads, may be incorporated into the design of this new all-terrain vehicle
84.5trail. This new trail may be of a continuous loop design and shall provide for spurs to other
84.6all-terrain vehicle trails as long as those spurs do not count toward the 70 continuous miles
84.7of this new all-terrain vehicle trail. Four rest areas shall be provided along the way.
84.8 Sec. 78. Laws 2006, chapter 236, article 1, section 21, is amended to read:
84.9 Sec. 21. EXCHANGE OF TAX-FORFEITED LAND; PRIVATE SALE;
84.10ITASCA COUNTY.
84.11 (a) For the purpose of a land exchange for use in connection with a proposed
84.12steel mill in Itasca County referenced in Laws 1999, chapter 240, article 1, section 8,
84.13subdivision 3, title examination and approval of the land described in paragraph (b)
84.14shall be undertaken as a condition of exchange of the land for class B land, and shall be
84.15governed by Minnesota Statutes, section
84.16of this section. Notwithstanding the evidence of title requirements in Minnesota Statutes,
84.17section
84.18reports or title insurance commitments prepared or underwritten by a title insurer licensed
84.19to conduct title insurance business in this state, regardless of whether abstracts were
84.20created or updated in the preparation of the title reports or commitments. The opinion of
84.21the county attorney, and approval by the attorney general, shall be based on those title
84.22reports or commitments.
84.23 (b) The land subject to this section is located in Itasca County and is described as:
84.24 (1) Sections 3, 4, 7, 10, 14, 15, 16, 17, 18, 20, 21, 22, 23, 26, 28, and 29, Township
84.2556 North, Range 22 West;
84.26 (2) Sections 3, 4, 9, 10, 13, and 14, Township 56 North, Range 23 West;
84.27 (3) Section 30, Township 57 North, Range 22 West; and
84.28 (4) Sections 25, 26, 34, 35, and 36, Township 57 North, Range 23 West.
84.29 (c) Riparian land given in exchange by Itasca County for the purpose of the steel
84.30mill referenced in paragraph (a), is exempt from the restrictions imposed by Minnesota
84.31Statutes, section
84.32 (d) Notwithstanding Minnesota Statutes, sections
84.33and the public sale provisions of Minnesota Statutes, chapter 282, Itasca County may sell,
84.34by private sale, any land received in exchange for the purpose of the steel mill referenced
85.1in paragraph (a), under the remaining provisions of Minnesota Statutes, chapter 282. The
85.2sale must be in a form approved by the attorney general.
85.3 (e) Notwithstanding Minnesota Statutes, section 284.28, subdivision 8, or any other
85.4law to the contrary, land acquired through an exchange under this section is exempt from
85.5payment of three percent of the sales price required to be collected by the county auditor
85.6at the time of sale for deposit in the state treasury.
85.7 Sec. 79. VOLUNTARY TERMINATION OF TIMBER SALE PERMITS.
85.8 (a) Notwithstanding Minnesota Statutes, sections 90.161, 90.173, and 90.211, or
85.9other law to the contrary, the commissioner of natural resources shall, in the case of
85.10nontrust land, terminate the permit for an eligible sale of timber without penalty according
85.11to this section and upon request of the permit holder. In the case of a permit relating
85.12to trust land, the commissioner shall terminate the permit for an eligible sale of timber
85.13according to this section only if termination of the permit would secure the maximum
85.14long-term economic return from the land consistent with the fiduciary responsibilities
85.15imposed by law in regard to the trust lands.
85.16 (b) An "eligible sale" means a sale for timber:
85.17 (1) the permit for which was issued on or after October 1, 2004, but before March
85.1831, 2006;
85.19 (2) that contains aspen as the predominant timber species;
85.20 (3) for which the aspen was sold for $40 per cord or more; and
85.21 (4) for which no harvest activities or activities incidental to harvest have occurred.
85.22 (c) The maximum amount available for voluntary turn back under this section is
85.237,500 cords of all species for each permittee.
85.24 (d) In the case of a 100 percent secured sale, the permittee may choose to be released
85.25from the security of any permit consistent with paragraph (b), except that the permittee
85.26must pay 15 percent of the appraised value of the permit, plus eight percent interest from
85.27date of purchase to date of conversion under this paragraph, in cash, to the commissioner.
85.28 (e) In the case of any sale, including a sale under paragraph (d), for which the
85.29commissioner has received a 15 percent down payment and that meets the criteria in
85.30paragraph (b), the permit holder may request a credit equal to two-thirds of the down
85.31payment. Amounts credited to permittees under this paragraph must first be applied to
85.32any existing sales that remain in the permittee's account and may then be used toward
85.33future timber purchases. Credits under this paragraph expire two years after the effective
85.34date of the permit termination.
86.1 (f) All permit terminations under this section must be completed by December 31,
86.22007. The commissioner of natural resources must proceed expeditiously to reoffer for
86.3sale any timber subject of a turn back under this section.
86.4EFFECTIVE DATE.This section is effective the day following final enactment.
86.5 Sec. 80. ENDOCRINE DISRUPTOR REPORT.
86.6 The commissioner of the Pollution Control Agency shall prepare a report on
86.7strategies to prevent the entry of endocrine disruptors into waters of the state. The report
86.8must include an estimate for each strategy of the proportion of endocrine disruptors that
86.9are prevented from entering the waters of the state. The commissioner shall submit the
86.10report to the house and senate committees having jurisdiction over environment and
86.11natural resources policy and finance by January 15, 2008.
86.12 Sec. 81. EASEMENT REPORT REQUIRED.
86.13 By January 1, 2008, the commissioner of natural resources must report to the
86.14house and senate committees with jurisdiction over environment and natural resources
86.15finance with proposed minimum legal and conservation standards that could be applied
86.16to conservation easements acquired with public money.
86.17 Sec. 82. TAX-FORFEITED LANDS LEASE; ITASCA COUNTY.
86.18 Notwithstanding Minnesota Statutes, section 282.04, or other law to the contrary,
86.19the Itasca County auditor may lease tax-forfeited land to Minnesota Steel for a period of
86.2020 years, for use as a tailings basin and buffer area. A lease entered under this section
86.21is renewable.
86.22 Sec. 83. WILD RICE STUDY.
86.23 By February 15, 2008, the commissioner of natural resources must prepare a study
86.24for natural wild rice that includes:
86.25 (1) the current location and estimated acreage and area of natural stands;
86.26 (2) identified threats to natural stands, including, but not limited to, development
86.27pressure, water levels, pollution, invasive species, and genetic strains; and
86.28 (3) recommendations to the house and senate committees with jurisdiction over
86.29natural resources on protecting and increasing natural wild rice stands in the state.
86.30 In developing the study, the commissioner must contact and ask for comments
86.31from the state's wild rice industry, the commissioner of agriculture, local officials with
87.1significant areas of wild rice within their jurisdictions, tribal leaders within affected
87.2federally recognized tribes, and interested citizens.
87.3EFFECTIVE DATE.This section is effective the day following final enactment.
87.4 Sec. 84. CONSTRUCTION.
87.5 Nothing in sections 72, 73, 74, and 83 affects, alters, or modifies the authorities,
87.6responsibilities, obligations, or powers of the state or any political subdivision thereof or
87.7any federally recognized tribe.
87.8 Sec. 85. SEPTIC BEST PRACTICES ASSISTANCE.
87.9 The commissioner of the Pollution Control Agency shall establish a database of
87.10best practices regarding the installation, management, and maintenance of individual
87.11sewage treatment systems. The database must be made available to any interested public
87.12or private party.
87.13 Sec. 86. RULEMAKING.
87.14 Within 90 days of the effective date of this section, the Board of Water and Soil
87.15Resources shall adopt rules that amend Minnesota Rules, chapter 8420, to incorporate
87.16statute changes and to address the related wetland exemption provisions in Minnesota
87.17Rules, parts 8420.0115 to 8420.0210, and the wetland replacement and banking provisions
87.18in Minnesota Rules, parts 8420.0500 to 8420.0760. These rules are exempt from the
87.19rulemaking provisions of Minnesota Statutes, chapter 14, except that Minnesota Statutes,
87.20section 14.386, applies and the proposed rules must be submitted to the senate and house
87.21committees having jurisdiction over environment and natural resources at least 30 days
87.22prior to being published in the State Register. The amended rules are effective for two
87.23years from the date of publication in the State Register unless they are superseded by
87.24permanent rules.
87.25EFFECTIVE DATE.This section is effective the day following final enactment.
87.26 Sec. 87. VERMILLION HIGHLANDS WILDLIFE MANAGEMENT AREA.
87.27 (a) The following area is established and designated as the Vermillion Highlands
87.28Wildlife Management Area, subject to the special permitted uses authorized in this section:
87.29 The approximately 2,840 acres owned by the University of Minnesota lying within
87.30the area legally described as approximately the southerly 3/4 of the Southwest 1/4 of
87.31Section 1, the Southeast 1/4 of Section 2, the East 1/2 of Section 10, Section 11, the
88.1West 1/2 of Section 12, Section 13, and Section 14, all in Township 114 North, Range
88.219 West, Dakota County.
88.3 (b) Notwithstanding Minnesota Statutes, section 86A.05, subdivision 8, paragraph
88.4(c), permitted uses in the Vermillion Highlands Wildlife Management Area include:
88.5 (1) education, outreach, and agriculture with the intent to eventually phase out
88.6agriculture leases and plant and restore native prairie;
88.7 (2) research by the University of Minnesota or other permitted researchers;
88.8 (3) hiking, hunting, fishing, trapping, and other compatible wildlife-related
88.9recreation of a natural outdoors experience, without constructing new hard surface trails
88.10or roads, and supporting management and improvements;
88.11 (4) designated trails for hiking, horseback riding, biking, and cross-country skiing
88.12and necessary trailhead support with minimal impact on the permitted uses in clause (3);
88.13 (5) shooting sports facilities for sporting clays, skeet, trapshooting, and rifle and
88.14pistol shooting, including sanctioned events and training for responsible handling and
88.15use of firearms;
88.16 (6) grant-in-aid snowmobile trails; and
88.17 (7) leases for small-scale farms to market vegetable farming.
88.18 (c) With the concurrence of representatives of the University of Minnesota and
88.19Dakota County, the commissioner of natural resources may, by posting or rule, restrict the
88.20permitted uses as follows:
88.21 (1) temporarily close areas or trails, by posting at the access points, to facilitate
88.22hunting. When temporarily closing trails under this clause, the commissioner shall avoid
88.23closing all trail loops simultaneously whenever practical; or
88.24 (2) limit other permitted uses to accommodate hunting and trapping after providing
88.25advance public notice. Research conducted by the university may not be limited unless
88.26mutually agreed by the commissioner and the University of Minnesota.
88.27 (d) Road maintenance within the wildlife management area shall be minimized, with
88.28the intent to abandon interior roads when no longer needed for traditional agriculture
88.29purposes.
88.30 (e) Money collected on leases from lands within the wildlife management area
88.31must be kept in a separate account and spent within the wildlife management area under
88.32direction of the representatives listed in paragraph (c). $200,000 of this money may be
88.33transferred to the commissioner of natural resources for a master planning process and
88.34resource inventory of the land identified in Minnesota Statutes, section 137.50, subdivision
88.356, in order to provide needed prairie and wetland restoration. The commissioner must work
89.1with affected officials from the University of Minnesota and Dakota County to complete
89.2these requirements and inform landowners and lessees about the planning process.
89.3 (f) Notwithstanding Minnesota Statutes, sections 97A.061 and 477A.11, the state
89.4of Minnesota shall not provide payments in lieu of taxes for the lands described in
89.5paragraph (a).
89.6 Sec. 88. STRAND'S STATE ISLAND.
89.7 Notwithstanding Minnesota Statutes, section 83A.02, the commissioner of natural
89.8resources shall change the name of Big Island in Pelican Lake in St. Louis County
89.9to Strand's State Island.
89.10 Sec. 89. REPEALER.
89.11(a) Minnesota Statutes 2006, section 89A.11, is repealed.
89.12(b) Minnesota Statutes 2006, section 103G.2241, subdivision 8, is repealed.
89.13EFFECTIVE DATE.Paragraph (a) of this section is effective July 1, 2007.
89.14Paragraph (b) of this section is effective the day following final enactment.
| 89.17 |
Section 1. SUMMARY OF APPROPRIATIONS. |
||||||
89.19in this article.
| 89.20 |
2008 |
2009 |
Total |
||||
| 89.21 |
General |
$ |
8,313,000 |
$ |
8,440,000 |
$ |
16,753,000 |
| 89.22 |
Natural Resources |
137,000 |
138,000 |
275,000 |
|||
| 89.23 |
Total |
$ |
8,450,000 |
$ |
8,578,000 |
$ |
17,028,000 |
| 89.24 89.25 |
Sec. 2. SCIENCE MUSEUM OF MINNESOTA |
$ |
1,250,000 |
$ |
1,250,000 |
||
89.27of Minnesota is $1,000,000 each year in the
89.282010-2011 biennium.
| 89.29 |
Sec. 3. ZOOLOGICAL BOARD |
$ |
7,200,000 |
$ |
7,328,000 |
||
| 89.30 |
Appropriations by Fund |
||
| 89.31 |
2008 |
2009 |
|
| 90.1 |
General |
7,063,000 |
7,190,000 |
| 90.2 |
Natural Resources |
137,000 |
138,000 |
90.4second year are from the natural resources
90.5fund from the revenue deposited under
90.6Minnesota Statutes, section 297A.94,
90.7paragraph (e), clause (5). This is a onetime
90.8appropriation.
90.9The general fund base budget for the
90.10Zoological Board is $6,940,000 each year in
90.11the 2010-2011 biennium.
| 90.14 |
Section 1. SUMMARY OF APPROPRIATIONS. |
||||||
90.16in this article.
| 90.23 |
Sec. 2. ENERGY FINANCE APPROPRIATIONS. |
||||||
90.25agencies and for the purposes specified in this article. The appropriations are from the
90.26general fund, or another named fund, and are available for the fiscal years indicated
90.27for each purpose. The figures "2008" and "2009" used in this article mean that the
90.28appropriations listed under them are available for the fiscal year ending June 30, 2008, or
90.29June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
90.30year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
90.31year ending June 30, 2007, are effective the day following final enactment.
| 90.32 |
APPROPRIATIONS |
||||||
| 90.33 |
Available for the Year |
||||||
| 90.34 |
Ending June 30 |
||||||
| 90.35 |
2008 |
2009 |
|||||
| 91.1 |
Sec. 3. DEPARTMENT OF COMMERCE. |
||||||
| 91.2 |
Subdivision 1.Total Appropriation |
$ |
51,721,000 |
$ |
33,695,000 |
||
91.11purpose are specified in the following
91.12subdivisions.
| 91.13 |
Subd. 2.Financial Examinations |
6,432,000 |
6,519,000 |
||||
| 91.14 91.15 |
Subd. 3.Petroleum Tank Release Cleanup Board |
1,084,000 |
1,084,000 |
||||
91.17tank release cleanup fund.
| 91.18 |
Subd. 4.Administrative Services |
4,477,000 |
4,540,000 |
||||
| 91.19 |
Subd. 5.Market Assurance |
6,902,000 |
6,999,000 |
||||
| 91.20 |
Appropriations by Fund |
||
| 91.21 |
General |
6,067,000 |
6,164,000 |
| 91.22 91.23 |
Workers' Compensation |
835,000 |
835,000 |
| 91.24 |
Subd. 6.Energy and Telecommunications |
32,726,000 |
14,453,000 |
||||
| 91.25 |
Appropriations by Fund |
||
| 91.26 |
General |
27,226,000 |
9,953,000 |
| 91.27 |
Special Revenue |
5,500,000 |
4,500,000 |
91.29second year are for E85 cost-share grants.
91.30Notwithstanding Minnesota Statutes, section
91.3116A.28, this appropriation is available
91.32until expended. The base appropriation for
91.33these grants is $2,000,000 each year in the
91.342010-2011 biennium. Funding for these
91.35grants ends June 30, 2011. Up to ten percent
92.1of the funds may be used for cost-share grants
92.2for pumps dispensing fuel that contains at
92.3least ten percent biodiesel fuel by volume.
92.4The utility subject to Minnesota Statutes,
92.5section 116C.779, shall transfer $2,500,000
92.6in fiscal year 2008 and $2,500,000 in fiscal
92.7year 2009 to the Department of Commerce
92.8on a schedule to be determined by the
92.9commissioner of commerce. The funds must
92.10be deposited in the special revenue fund
92.11and are appropriated to the commissioner
92.12for grants to promote renewable energy
92.13projects and community energy outreach and
92.14assistance. Of the amounts identified:
92.15(1) $500,000 each year for capital grants for
92.16on-farm biogas recovery facilities; eligible
92.17projects will be selected in coordination
92.18with the Department of Agriculture and the
92.19Pollution Control Agency;
92.20(2) $500,000 each year to provide financial
92.21rebates to new solar electricity projects;
92.22(3) $500,000 each year for continued funding
92.23of community energy technical assistance
92.24and outreach on renewable energy and
92.25energy efficiency; and
92.26(4) $1,000,000 each year for technical
92.27analysis and demonstration funding for
92.28automotive technology projects, with a
92.29special focus on plug-in hybrid electric
92.30vehicles.
92.31The utility subject to Minnesota Statutes,
92.32section 116C.779, shall transfer $3,000,000
92.33in fiscal year 2008 and $2,000,000 in fiscal
92.34year 2009 to the Department of Commerce
92.35on a schedule to be determined by the
93.1commissioner of commerce. The funds must
93.2be deposited in the special revenue fund and
93.3are appropriated to the commissioner for
93.4grants to provide competitive, cost-share
93.5grants to fund renewable energy research in
93.6Minnesota. These grants must be awarded
93.7by a three-member panel made up of the
93.8commissioners of commerce, pollution
93.9control, and agriculture, or their designees.
93.10Grant applications must be ranked and grants
93.11issued according to how well the applications
93.12meet state energy policy research goals
93.13established by the commissioners, the quality
93.14and experience of the research teams, the
93.15cross-interdisciplinary and cross-institutional
93.16nature of the research teams, and the ability
93.17of the research team to leverage nonstate
93.18funds.
93.19$3,000,000 the second year is for a grant to
93.20the Board of Regents of the University of
93.21Minnesota for the Initiative for Renewable
93.22Energy and the Environment. The grant
93.23is for the purposes set forth in Minnesota
93.24Statutes, section 216B.241, subdivision 6.
93.25The appropriation is available until spent.
93.26The base budget for this grant to the Board
93.27of Regents of the University of Minnesota
93.28for the Initiative for Renewable Energy and
93.29the Environment is $5,000,000 each year in
93.30the 2010-2011 fiscal biennium.
93.31As a condition of this grant, beginning in
93.32the 2010-2011 biennium, the Initiative for
93.33Renewable Energy and the Environment
93.34must set aside at least 15 percent of the
93.35funds received annually under the grant for
93.36qualified projects conducted at a rural campus
94.1or experiment station. Any amount of the
94.2set aside funds that has not been awarded to
94.3a rural campus or experiment station at the
94.4end of the fiscal year must revert back to the
94.5initiative for its exclusive use.
94.6$10,000,000 the first year is for the renewable
94.7hydrogen initiative in Minnesota Statutes,
94.8section 216B.813, to fund the competitive
94.9grant program included in that section. The
94.10commissioner may use up to two percent of
94.11the competitive grant program appropriation
94.12for grant administration and to develop and
94.13implement the renewable hydrogen road
94.14map. This is a onetime appropriation and is
94.15available until expended.
94.16$3,100,000 the first year is for deposit in the
94.17rural wind energy development revolving
94.18loan fund under Minnesota Statutes, section
94.19216C.39. This appropriation does not cancel.
94.20This is a onetime appropriation.
94.21$1,000,000 the first year and $1,000,000 the
94.22second year are for a grant to the Center for
94.23Rural Policy and Development for the rural
94.24wind energy development program in article
94.253. This is a onetime appropriation and is
94.26available until expended.
94.27$50,000 the first year is a onetime
94.28appropriation for a comprehensive technical,
94.29economic, and environmental analysis of the
94.30benefits to be derived from greater use in this
94.31state of geothermal heat pump systems for
94.32heating and cooling air and heating water.
94.33The analysis must:
94.34(1) estimate the extent of geothermal heat
94.35pump systems currently installed in this state
95.1in residential, commercial, and institutional
95.2buildings;
95.3(2) estimate energy and economic savings of
95.4geothermal heat pump systems in comparison
95.5with fossil fuel-based heating and cooling
95.6systems, including electricity use, on a
95.7capital cost and life-cycle cost basis, for both
95.8newly constructed and retrofitted residential,
95.9commercial, and institutional buildings;
95.10(3) compare the emission of pollutants and
95.11greenhouse gases from geothermal heat
95.12pump systems and fossil fuel-based heating
95.13and cooling systems;
95.14(4) identify financial assistance available
95.15from state and federal sources and Minnesota
95.16utilities to defray the costs of installing
95.17geothermal heat pump systems;
95.18(5) identify Minnesota firms currently
95.19manufacturing or installing the physical
95.20components of geothermal heat pump
95.21systems and estimate the economic
95.22development potential in this state if demand
95.23for such systems increases significantly;
95.24(6) identify the barriers to more widespread
95.25adoption of geothermal heat pump systems in
95.26this state and suggest strategies to overcome
95.27those barriers; and
95.28(7) make recommendations for legislative
95.29action.
95.30Not later than March 15, 2008, the
95.31commissioner shall submit the results of the
95.32analysis in a report to the chairs of the senate
95.33and house of representatives committees
95.34with primary jurisdiction over energy policy.
96.1$45,000 the first year is a onetime
96.2appropriation for a grant to Linden Hills
96.3Power and Light for preliminary engineering
96.4design work and other technical and legal
96.5services required for a community digester
96.6and neighborhood district heating and
96.7cooling system demonstration project in the
96.8Linden Hills neighborhood of Minneapolis.
96.9Funds may be expended upon a determination
96.10by the commissioner of commerce that the
96.11project is technically and economically
96.12feasible. A portion of the appropriation
96.13may be used to expand the scope of the
96.14project feasibility study to include portions
96.15of adjacent communities including St. Louis
96.16Park and Edina.
96.17$3,000,000 the first year is for the purpose
96.18of the propane prepurchase program under
96.19Minnesota Statutes, section 216B.0951. This
96.20is a onetime appropriation and is available
96.21for the biennium.
96.22$4,000,000 the first year is for a onetime
96.23grant to the St. Paul Port Authority for
96.24environmental review and permitting,
96.25preliminary engineering, and development of
96.26a steam-producing facility to be located in
96.27St. Paul using fuels consistent with eligible
96.28energy technologies as defined in Minnesota
96.29Statutes, section 216B.243, subdivision 3a.
96.30Grant funds for the project may only
96.31be expended when the commissioner of
96.32commerce has reviewed and approved a
96.33project plan that includes the following
96.34elements:
96.35(i) total project cost estimates;
97.1(ii) cost estimates for project design and
97.2engineering tasks;
97.3(iii) a preliminary plan for fuel source
97.4procurement from a renewable energy source
97.5as defined in Minnesota Statutes, section
97.6216B.243, subdivision 3a; and
97.7(iv) a preliminary financing plan for the
97.8entire project.
97.9$150,000 the first year is appropriated to the
97.10commissioner of commerce for grants for
97.11demonstration projects of electric vehicles
97.12with advanced transmission technologies
97.13incorporating, if feasible, batteries,
97.14converters, and other components developed
97.15in Minnesota. Funds may be expended
97.16under the grants only if grantees enter into
97.17agreements specifying that commercial
97.18production of these vehicles and components
97.19will, to the extent possible, take place in
97.20Minnesota.
| 97.21 97.22 |
Subd. 7.Telecommunications Access Minnesota |
100,000 |
100,000 |
||||
97.24the second year are appropriated to the
97.25commissioner of commerce for transfer
97.26to the commissioner of human services to
97.27supplement the ongoing operational expenses
97.28of the Minnesota Commission Serving
97.29Deaf and Hard-of-Hearing People. This
97.30appropriation is from the telecommunication
97.31access Minnesota fund, and is added to the
97.32commission's base.
| 97.33 |
Sec. 4. PUBLIC UTILITIES COMMISSION |
$ |
5,315,000 |
$ |
5,366,000 |
||
| 98.1 98.2 |
Sec. 5. DEPARTMENT OF NATURAL RESOURCES |
$ |
535,000 |
$ |
0 |
||
98.4appropriation for terrestrial and geologic
98.5carbon sequestration reports and studies in
98.6article 4. Of this amount, the commissioner
98.7shall make payments of $385,000 to the
98.8Board of Regents of the University of
98.9Minnesota for the purposes of terrestrial
98.10carbon sequestration activities, and $90,000
98.11to the Minnesota Geological Survey for the
98.12purposes of geologic carbon sequestration
98.13assessment.
98.14$60,000 the first year is a onetime
98.15appropriation to the commissioner of natural
98.16resources to conduct a feasibility study
98.17in conjunction with U.S. Army Corps of
98.18Engineers on the foundation and hydraulics
98.19of the Rapidan Dam in Blue Earth County.
98.20This appropriation must be equally matched
98.21by Blue Earth County, and is available until
98.22expended.
| 98.23 |
Sec. 6. POLLUTION CONTROL AGENCY |
$ |
700,000 |
$ |
0 |
||
98.25appropriation for a grant to the Koochiching
98.26Economic Development Authority for
98.27a feasibility study for a plasma torch
98.28gasification facility that converts municipal
98.29solid waste into energy and slag.
98.30$300,000 the first year is for the biomass
98.31gasification facilities air emissions study for
98.32the purpose of fully characterizing the air
98.33emissions exerted from biomass gasification
99.1facilities across a range of feedstocks. This
99.2is a onetime appropriation.
| 99.3 |
Sec. 7. DEPARTMENT OF HEALTH |
$ |
1,000,000 |
$ |
1,000,000 |
||
99.5the second year are appropriated to the
99.6commissioner of health for grants for lead
99.7environmental risk assessment conducted
99.8by local units of government, as required
99.9under Minnesota Statutes, section 144.9504,
99.10subdivision 2, and lead cleanup. Of
99.11these amounts, $500,000 the first year
99.12and $500,000 the second year must be
99.13awarded to the federally designated nonprofit
99.14organization operating the Clear Corps
99.15program. This is a onetime appropriation.
99.18 Section 1. Minnesota Statutes 2006, section 13.712, is amended by adding a
99.19subdivision to read:
99.20 Subd. 3. Vehicle protection product warrantors. Financial information provided
99.21to the commissioner of commerce by vehicle protection product warrantors is classified
99.22under section 59C.05, subdivision 3.
99.23EFFECTIVE DATE.This section is effective January 1, 2008.
99.24 Sec. 2. Minnesota Statutes 2006, section 45.011, subdivision 1, is amended to read:
99.25 Subdivision 1. Scope. As used in chapters 45 to 83, 155A, 332, 332A, 345, and
99.26359, and sections
99.27the context indicates otherwise, the terms defined in this section have the meanings given
99.28them.
99.29EFFECTIVE DATE.This section is effective January 1, 2008.
99.30 Sec. 3. [45.24] LICENSE TECHNOLOGY FEES.
100.1 (a) The commissioner may establish and maintain an electronic licensing database
100.2system for license origination, renewal, and tracking the completion of continuing
100.3education requirements by individual licensees who have continuing education
100.4requirements, and other related purposes.
100.5 (b) The commissioner shall pay for the cost of operating and maintaining the
100.6electronic database system described in paragraph (a) through a technology surcharge
100.7imposed upon the fee for license origination and renewal, for individual licenses that
100.8require continuing education.
100.9 (c) The surcharge permitted under paragraph (b) shall be up to $40 for each two-year
100.10licensing period, except as otherwise provided in paragraph (f), and shall be payable at the
100.11time of license origination and renewal.
100.12 (d) The Commerce Department technology account is hereby created as an account
100.13in the special revenue fund.
100.14 (e) The commissioner shall deposit the surcharge permitted under this section in
100.15the account created in paragraph (d), and funds in the account are appropriated to the
100.16commissioner in the amounts needed for purposes of this section.
100.17 (f) The commissioner shall temporarily reduce or suspend the surcharge as necessary
100.18if the balance in the account created in paragraph (d) exceeds $2,000,000 as of the end of
100.19any calendar year and shall increase or decrease the surcharge as necessary to keep the
100.20fund balance at an adequate level but not in excess of $2,000,000.
100.21EFFECTIVE DATE.This section is effective the day following final enactment.
100.22 Sec. 4. Minnesota Statutes 2006, section 46.04, subdivision 1, is amended to read:
100.23 Subdivision 1. General. The commissioner of commerce, referred to in chapters
100.2446 to 59A, and
100.25with all the powers, authority, and privileges which, prior to the enactment of Laws 1909,
100.26chapter 201, were conferred by law upon the public examiner, and shall take over all
100.27duties in relation to state banks, savings banks, trust companies, savings associations, and
100.28other financial institutions within the state which, prior to the enactment of chapter 201,
100.29were imposed upon the public examiner. The commissioner of commerce shall exercise
100.30a constant supervision, either personally or through the examiners herein provided for,
100.31over the books and affairs of all state banks, savings banks, trust companies, savings
100.32associations, credit unions, industrial loan and thrift companies, and other financial
100.33institutions doing business within this state; and shall, through examiners, examine each
100.34financial institution at least once every 24 calendar months. In satisfying this examination
100.35requirement, the commissioner may accept reports of examination prepared by a federal
101.1agency having comparable supervisory powers and examination procedures. With the
101.2exception of industrial loan and thrift companies which do not have deposit liabilities
101.3and licensed regulated lenders, it shall be the principal purpose of these examinations to
101.4inspect and verify the assets and liabilities of each and so far investigate the character
101.5and value of the assets of each institution as to determine with reasonable certainty that
101.6the values are correctly carried on its books. Assets and liabilities shall be verified in
101.7accordance with methods of procedure which the commissioner may determine to be
101.8adequate to carry out the intentions of this section. It shall be the further purpose of
101.9these examinations to assess the adequacy of capital protection and the capacity of the
101.10institution to meet usual and reasonably anticipated deposit withdrawals and other cash
101.11commitments without resorting to excessive borrowing or sale of assets at a significant
101.12loss, and to investigate each institution's compliance with applicable laws and rules. Based
101.13on the examination findings, the commissioner shall make a determination as to whether
101.14the institution is being operated in a safe and sound manner. None of the above provisions
101.15limits the commissioner in making additional examinations as deemed necessary or
101.16advisable. The commissioner shall investigate the methods of operation and conduct of
101.17these institutions and their systems of accounting, to ascertain whether these methods and
101.18systems are in accordance with law and sound banking principles. The commissioner may
101.19make requirements as to records as deemed necessary to facilitate the carrying out of the
101.20commissioner's duties and to properly protect the public interest. The commissioner may
101.21examine, or cause to be examined by these examiners, on oath, any officer, director,
101.22trustee, owner, agent, clerk, customer, or depositor of any financial institution touching
101.23the affairs and business thereof, and may issue, or cause to be issued by the examiners,
101.24subpoenas, and administer, or cause to be administered by the examiners, oaths. In
101.25case of any refusal to obey any subpoena issued under the commissioner's direction,
101.26the refusal may at once be reported to the district court of the district in which the bank
101.27or other financial institution is located, and this court shall enforce obedience to these
101.28subpoenas in the manner provided by law for enforcing obedience to subpoenas of the
101.29court. In all matters relating to official duties, the commissioner of commerce has the
101.30power possessed by courts of law to issue subpoenas and cause them to be served and
101.31enforced, and all officers, directors, trustees, and employees of state banks, savings banks,
101.32trust companies, savings associations, and other financial institutions within the state,
101.33and all persons having dealings with or knowledge of the affairs or methods of these
101.34institutions, shall afford reasonable facilities for these examinations, make returns and
101.35reports to the commissioner of commerce as the commissioner may require; attend and
101.36answer, under oath, the commissioner's lawful inquiries; produce and exhibit any books,
102.1accounts, documents, and property as the commissioner may desire to inspect, and in all
102.2things aid the commissioner in the performance of duties.
102.3EFFECTIVE DATE.This section is effective January 1, 2008.
102.4 Sec. 5. Minnesota Statutes 2006, section 46.05, is amended to read:
102.546.05 SUPERVISION OVER FINANCIAL INSTITUTIONS.
102.6 Every state bank, savings bank, trust company, savings association, debt
102.7management services provider, and other financial institutions shall be at all times under
102.8the supervision and subject to the control of the commissioner of commerce. If, and
102.9whenever in the performance of duties, the commissioner finds it necessary to make a
102.10special investigation of any financial institution under the commissioner's supervision,
102.11and other than a complete examination, the commissioner shall make a charge therefor to
102.12include only the necessary costs thereof. Such a fee shall be payable to the commissioner
102.13on the commissioner's making a request for payment.
102.14EFFECTIVE DATE.This section is effective January 1, 2008.
102.15 Sec. 6. Minnesota Statutes 2006, section 46.131, subdivision 2, is amended to read:
102.16 Subd. 2. Assessment authority. Each bank, trust company, savings bank, savings
102.17association, regulated lender, industrial loan and thrift company, credit union, motor
102.18vehicle sales finance company, debt
102.19insurance premium finance company organized under the laws of this state or required
102.20to be administered by the commissioner of commerce shall pay into the state treasury its
102.21proportionate share of the cost of maintaining the Department of Commerce.
102.22EFFECTIVE DATE.This section is effective January 1, 2008.
102.23 Sec. 7. Minnesota Statutes 2006, section 47.19, is amended to read:
102.2447.19 CORPORATION MAY BE MEMBER OR STOCKHOLDER OF
102.25FEDERAL AGENCY.
102.26 Any corporation is hereby empowered and authorized to become a member of,
102.27or stockholder in, any such agency, and to that end to purchase stock in, or securities
102.28of, or deposit money with, such agency and/or to comply with any other conditions of
102.29membership or credit; to borrow money from such agency upon such rates of interest, not
102.30exceeding the contract rate of interest in this state, and upon such terms and conditions
102.31as may be agreed upon by such corporation and such agency, for the purpose of making
103.1loans, paying withdrawals, paying maturities, paying debts, and for any other purpose not
103.2inconsistent with the objects of the corporation; provided, that the aggregate amount of the
103.3indebtedness, so incurred by such corporation, which shall be outstanding at any time shall
103.4not exceed
103.5hypothecate its bonds, mortgages or other assets; and, in case of savings associations, to
103.6repledge with such agency the shares of stock in such association which any owner thereof
103.7may have pledged as collateral security, without obtaining the consent thereunto of such
103.8owner, as security for the repayment of the indebtedness so created by such corporation
103.9and as evidenced by its note or other evidence of indebtedness given for such borrowed
103.10money; and to do any and all things which shall or may be necessary or convenient in
103.11order to comply with and to obtain the benefits of the provisions of any act of Congress
103.12creating such agency, or any amendments thereto.
103.13 Sec. 8. Minnesota Statutes 2006, section 47.59, subdivision 6, is amended to read:
103.14 Subd. 6. Additional charges. (a) For purposes of this subdivision, "financial
103.15institution" includes a person described in subdivision 4, paragraph (a). In addition to the
103.16finance charges permitted by this section, a financial institution may contract for and
103.17receive the following additional charges that may be included in the principal amount
103.18of the loan or credit sale unpaid balances:
103.19 (1) official fees and taxes;
103.20 (2) charges for insurance as described in paragraph (b);
103.21 (3) with respect to a loan or credit sale contract secured by real estate, the following
103.22"closing costs," if they are bona fide, reasonable in amount, and not for the purpose of
103.23circumvention or evasion of this section:
103.24 (i) fees or premiums for title examination, abstract of title, title insurance, surveys,
103.25or similar purposes;
103.26 (ii) fees for preparation of a deed, mortgage, settlement statement, or other
103.27documents, if not paid to the financial institution;
103.28 (iii) escrows for future payments of taxes, including assessments for improvements,
103.29insurance, and water, sewer, and land rents;
103.30 (iv) fees for notarizing deeds and other documents;
103.31 (v) appraisal and credit report fees; and
103.32 (vi) fees for determining whether any portion of the property is located in a flood
103.33zone and fees for ongoing monitoring of the property to determine changes, if any,
103.34in flood zone status;
104.1 (4) a delinquency charge on a payment, including the minimum payment due in
104.2connection with open-end credit, not paid in full on or before the tenth day after its due
104.3date in an amount not to exceed five percent of the amount of the payment or $5.20,
104.4whichever is greater;
104.5 (5) for a returned check or returned automatic payment withdrawal request, an
104.6amount not in excess of the service charge limitation in section
104.7a loan transaction that is a consumer small loan as defined in section 47.60, subdivision
104.81, paragraph (a), in which cash is advanced in exchange for a personal check, the civil
104.9penalty provisions of section 604.113, subdivision 2, paragraph (b), may not be demanded
104.10or assessed against the borrower
104.11 (6) charges for other benefits, including insurance, conferred on the borrower that
104.12are of a type that is not for credit.
104.13 (b) An additional charge may be made for insurance written in connection with the
104.14loan or credit sale contract, which may be included in the principal amount of the loan or
104.15credit sale unpaid balances:
104.16 (1) with respect to insurance against loss of or damage to property, or against
104.17liability arising out of the ownership or use of property, if the financial institution furnishes
104.18a clear, conspicuous, and specific statement in writing to the borrower setting forth the
104.19cost of the insurance if obtained from or through the financial institution and stating that
104.20the borrower may choose the person through whom the insurance is to be obtained;
104.21 (2) with respect to credit insurance or mortgage insurance providing life, accident,
104.22health, or unemployment coverage, if the insurance coverage is not required by the
104.23financial institution, and this fact is clearly and conspicuously disclosed in writing to
104.24the borrower, and the borrower gives specific, dated, and separately signed affirmative
104.25written indication of the borrower's desire to do so after written disclosure to the borrower
104.26of the cost of the insurance; and
104.27 (3) with respect to the vendor's single interest insurance, but only (i) to the extent
104.28that the insurer has no right of subrogation against the borrower; and (ii) to the extent that
104.29the insurance does not duplicate the coverage of other insurance under which loss is
104.30payable to the financial institution as its interest may appear, against loss of or damage
104.31to property for which a separate charge is made to the borrower according to clause (1);
104.32and (iii) if a clear, conspicuous, and specific statement in writing is furnished by the
104.33financial institution to the borrower setting forth the cost of the insurance if obtained from
104.34or through the financial institution and stating that the borrower may choose the person
104.35through whom the insurance is to be obtained.
105.1 (c) In addition to the finance charges and other additional charges permitted by
105.2this section, a financial institution may contract for and receive the following additional
105.3charges in connection with open-end credit, which may be included in the principal
105.4amount of the loan or balance upon which the finance charge is computed:
105.5 (1) annual charges, not to exceed $50 per annum, payable in advance, for the
105.6privilege of opening and maintaining open-end credit;
105.7 (2) charges for the use of an automated teller machine;
105.8 (3) charges for any monthly or other periodic payment period in which the borrower
105.9has exceeded or, except for the financial institution's dishonor would have exceeded,
105.10the maximum approved credit limit, in an amount not in excess of the service charge
105.11permitted in section
105.12 (4) charges for obtaining a cash advance in an amount not to exceed the service
105.13charge permitted in section
105.14 (5) charges for check and draft copies and for the replacement of lost or stolen
105.15credit cards.
105.16 (d) In addition to the finance charges and other additional charges permitted by this
105.17section, a financial institution may contract for and receive a onetime loan administrative
105.18fee not exceeding $25 in connection with closed-end credit, which may be included in the
105.19principal balance upon which the finance charge is computed. This paragraph applies only
105.20to closed-end credit in an original principal amount of $4,320 or less. The determination
105.21of an original principal amount must exclude the administrative fee contracted for and
105.22received according to this paragraph.
105.23 Sec. 9. Minnesota Statutes 2006, section 47.60, subdivision 2, is amended to read:
105.24 Subd. 2. Authorization, terms, conditions, and prohibitions. (a) In lieu of the
105.25interest, finance charges, or fees in any other law, a consumer small loan lender may
105.26charge the following:
105.27 (1) on any amount up to and including $50, a charge of $5.50 may be added;
105.28 (2) on amounts in excess of $50, but not more than $100, a charge may be added
105.29equal to ten percent of the loan proceeds plus a $5 administrative fee;
105.30 (3) on amounts in excess of $100, but not more than $250, a charge may be
105.31added equal to seven percent of the loan proceeds with a minimum of $10 plus a $5
105.32administrative fee;
105.33 (4) for amounts in excess of $250 and not greater than the maximum in subdivision
105.341, paragraph (a), a charge may be added equal to six percent of the loan proceeds with a
105.35minimum of $17.50 plus a $5 administrative fee.
106.1 (b) The term of a loan made under this section shall be for no more than 30 calendar
106.2days.
106.3 (c) After maturity, the contract rate must not exceed
106.4remaining loan proceeds after the maturity date calculated at a rate of 1/30 of the monthly
106.5rate in the contract for each calendar day the balance is outstanding.
106.6 (d) No insurance charges or other charges must be permitted to be charged, collected,
106.7or imposed on a consumer small loan except as authorized in this section.
106.8 (e) On a loan transaction in which cash is advanced in exchange for a personal
106.9check, a return check charge may be charged as authorized by section
106.102
106.11(b), may not be demanded or assessed against the borrower.
106.12 (f) A loan made under this section must not be repaid by the proceeds of another
106.13loan made under this section by the same lender or related interest. The proceeds from a
106.14loan made under this section must not be applied to another loan from the same lender or
106.15related interest. No loan to a single borrower made pursuant to this section shall be split or
106.16divided and no single borrower shall have outstanding more than one loan with the result
106.17of collecting a higher charge than permitted by this section or in an aggregate amount of
106.18principal exceed at any one time the maximum of $350.
106.19 Sec. 10. Minnesota Statutes 2006, section 47.62, subdivision 1, is amended to read:
106.20 Subdivision 1. General authority. Any person may establish and maintain one
106.21or more electronic financial terminals. Any financial institution may provide for its
106.22customers the use of an electronic financial terminal by entering into an agreement with
106.23any person who has established and maintains one or more electronic financial terminals if
106.24that person authorizes use of the electronic financial terminal to all financial institutions
106.25on a nondiscriminatory basis pursuant to section
106.26
106.27
106.28
106.29
106.30
106.31
106.32 Sec. 11. Minnesota Statutes 2006, section 47.75, subdivision 1, is amended to read:
107.1 Subdivision 1. Retirement, health savings, and medical savings accounts. (a) A
107.2commercial bank, savings bank, savings association, credit union, or industrial loan and
107.3thrift company may act as trustee or custodian:
107.4 (1) under the Federal Self-Employed Individual Tax Retirement Act of 1962, as
107.5amended;
107.6 (2) of a medical savings account under the Federal Health Insurance Portability and
107.7Accountability Act of 1996, as amended;
107.8 (3) of a health savings account under the Medicare Prescription Drug, Improvement,
107.9and Modernization Act of 2003, as amended; and
107.10 (4) under the Federal Employee Retirement Income Security Act of 1974, as
107.11amended.
107.12 (b) The trustee or custodian may accept the trust funds if the funds are invested
107.13only in savings accounts or time deposits in the commercial bank, savings bank, savings
107.14association, credit union, or industrial loan and thrift company, except that health savings
107.15accounts may also be invested in transaction accounts. Health savings accounts invested in
107.16transaction accounts shall not be subject to the restrictions in section 48.512, subdivision
107.173. All funds held in the fiduciary capacity may be commingled by the financial institution
107.18in the conduct of its business, but individual records shall be maintained by the fiduciary
107.19for each participant and shall show in detail all transactions engaged under authority
107.20of this subdivision.
107.21EFFECTIVE DATE. This section is effective the day following final enactment.
107.22 Sec. 12. Minnesota Statutes 2006, section 48.15, subdivision 4, is amended to read:
107.23 Subd. 4. Retirement, health savings, and medical savings accounts. (a) A state
107.24bank may act as trustee or custodian:
107.25 (1) of a self-employed retirement plan under the Federal Self-Employed Individual
107.26Tax Retirement Act of 1962, as amended;
107.27 (2) of a medical savings account under the Federal Health Insurance Portability and
107.28Accountability Act of 1996, as amended;
107.29 (3) of a health savings account under the Medicare Prescription Drug, Improvement,
107.30and Modernization Act of 2003, as amended; and
107.31 (4) of an individual retirement account under the Federal Employee Retirement
107.32Income Security Act of 1974, as amended, if the bank's duties as trustee or custodian are
107.33essentially ministerial or custodial in nature and the funds are invested only (i) in the
107.34bank's own savings or time deposits, except that health savings accounts may also be
107.35invested in transaction accounts. Health savings accounts invested in transaction accounts
108.1shall not be subject to the restrictions in section 48.512, subdivision 3; or (ii) in any
108.2other assets at the direction of the customer if the bank does not exercise any investment
108.3discretion, invest the funds in collective investment funds administered by it, or provide
108.4any investment advice with respect to those account assets.
108.5 (b) Affiliated discount brokers may be utilized by the bank acting as trustee or
108.6custodian for self-directed IRAs, if specifically authorized and directed in appropriate
108.7documents. The relationship between the affiliated broker and the bank must be fully
108.8disclosed. Brokerage commissions to be charged to the IRA by the affiliated broker should
108.9be accurately disclosed. Provisions should be made for disclosure of any changes in
108.10commission rates prior to their becoming effective. The affiliated broker may not provide
108.11investment advice to the customer.
108.12 (c) All funds held in the fiduciary capacity may be commingled by the financial
108.13institution in the conduct of its business, but individual records shall be maintained by
108.14the fiduciary for each participant and shall show in detail all transactions engaged under
108.15authority of this subdivision.
108.16 (d) The authority granted by this section is in addition to, and not limited by, section
108.18EFFECTIVE DATE. This section is effective the day following final enactment.
108.19 Sec. 13. Minnesota Statutes 2006, section 58.04, subdivision 1, is amended to read:
108.20 Subdivision 1. Residential mortgage originator licensing requirements. (a)
108.21
108.22make residential mortgage loans without first obtaining a license from the commissioner
108.23according to the licensing procedures provided in this chapter.
108.24 (b) A licensee must be either a partnership, limited liability partnership, association,
108.25limited liability company, corporation, or other form of business organization, and must
108.26have and maintain at all times one of the following: approval as a mortgagee by either the
108.27federal Department of Housing and Urban Development or the Federal National Mortgage
108.28Association; a minimum net worth, net of intangibles, of at least $250,000; or a surety bond
108.29or irrevocable letter of credit in the amount of $100,000. Net worth, net of intangibles,
108.30must be calculated in accordance with generally accepted accounting principles.
108.31 (c) The following persons are exempt from the residential mortgage originator
108.32licensing requirements:
108.33
108.34
109.1
109.2
109.3
109.4
109.5
109.6
109.7
109.8
109.9
109.10
109.11
109.12
109.13
109.14
109.15
109.16
109.17
109.18
109.19
109.20
109.21
109.22
109.23
109.24
109.25who makes no more than three such loans, with its own funds, during any 12-month period;
109.26
109.27
109.28
109.29
109.30of a specific order issued by a court of competent jurisdiction; or
109.31
109.32 Sec. 14. Minnesota Statutes 2006, section 58.04, subdivision 2, is amended to read:
109.33 Subd. 2. Residential mortgage servicer licensing requirements. (a)
109.34
109.35definition of "servicing a residential mortgage loan" under section
110.122
110.2procedures provided in this chapter.
110.3 (b) The following persons are exempt from the residential mortgage servicer
110.4licensing requirements:
110.5 (1) a person licensed as a residential mortgage originator;
110.6
110.7
110.8
110.9than three such loans are made in any 12-month period;
110.10
110.11
110.12
110.13
110.14of a specific order issued by a court of competent jurisdiction; or
110.15
110.16 Sec. 15. Minnesota Statutes 2006, section 58.05, is amended to read:
110.1758.05 EXEMPTIONS FROM LICENSE.
110.18 Subdivision 1. Exempt person. An exempt person as defined by section
110.19subdivision 1
110.20licensing requirements of this chapter, but is subject to all other provisions of this chapter.
110.21 Subd. 3. Certificate of exemption. A person must obtain a certificate of exemption
110.22from the commissioner to qualify as an exempt person under section
110.231
110.24
110.25under clause
110.26institution under clause
110.27 Sec. 16. Minnesota Statutes 2006, section 58.06, subdivision 2, is amended to read:
110.28 Subd. 2. Application contents. (a) The application must contain the name and
110.29complete business address or addresses of the license applicant.
110.30must be a partnership, limited liability partnership, association, limited liability company,
110.31corporation, or other form of business organization, and the application must contain the
110.32names and complete business addresses of each partner, member, director, and principal
110.33officer. The application must also include a description of the activities of the license
110.34applicant, in the detail and for the periods the commissioner may require.
111.1 (b) An applicant must submit one of the following:
111.2 (1) evidence which shows, to the commissioner's satisfaction, that either the federal
111.3Department of Housing and Urban Development or the Federal National Mortgage
111.4Association has approved the applicant as a mortgagee;
111.5 (2) a surety bond or irrevocable letter of credit in the amount of not less than
111.6$100,000 in a form approved by the commissioner, issued by an insurance company
111.7or bank authorized to do so in this state. The bond or irrevocable letter of credit must
111.8be available for the recovery of expenses, fines, and fees levied by the commissioner
111.9under this chapter and for losses incurred by borrowers. The bond or letter of credit must
111.10be submitted with the license application, and evidence of continued coverage must be
111.11submitted with each renewal. Any change in the bond or letter of credit must be submitted
111.12for approval by the commissioner within ten days of its execution; or
111.13 (3) a copy of the applicant's most recent audited financial statement, including
111.14balance sheet, statement of income or loss, statements of changes in shareholder equity,
111.15and statement of changes in financial position. Financial statements must be as of a date
111.16within 12 months of the date of application.
111.17 (c) The application must also include all of the following:
111.18
111.19
111.20
111.21with the requirements of section 58.125;
111.22 (ii) will maintain a perpetual roster of individuals employed as residential mortgage
111.23originators, including employees and independent contractors, which includes the date that
111.24mandatory initial education was completed. In addition, the roster must be made available
111.25to the commissioner on demand, within three business days of the commissioner's request;
111.26
111.27submitted in the most recent application within ten days of the change;
111.28
111.29petitions filed against or by the applicant or licensee;
111.30
111.31intangibles, of at least $250,000 or a surety bond or irrevocable letter of credit in the
111.32amount of at least $100,000;
111.33
111.34
111.35law;
111.36
112.1
112.2of the applicant and persons in control of the applicant;
112.3
112.4in control of the license applicant;
112.5
112.6persons in control of the applicant have engaged in conduct evidencing gross negligence,
112.7fraud, misrepresentation, or deceit in performing an act for which a license is required
112.8under this chapter;
112.9
112.10subject of: an order of suspension or revocation, cease and desist order, or injunctive
112.11order, or order barring involvement in an industry or profession issued by this or another
112.12state or federal regulatory agency or by the Secretary of Housing and Urban Development
112.13within the ten-year period immediately preceding submission of the application; and
112.14
112.15 Sec. 17. Minnesota Statutes 2006, section 58.06, is amended by adding a subdivision
112.16to read:
112.17 Subd. 3. Waiver. The commissioner may, for good cause shown, waive any
112.18requirement of this section with respect to any license application or to permit a license
112.19applicant to submit substituted information in its license application in lieu of the
112.20information required by this section.
112.21 Sec. 18. Minnesota Statutes 2006, section 58.08, subdivision 3, is amended to read:
112.22 Subd. 3. Exemption.
112.23mortgage originators or mortgage servicers who are approved as seller/servicers by the
112.24Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation.
112.25 Sec. 19. Minnesota Statutes 2006, section 58.10, subdivision 1, is amended to read:
112.26 Subdivision 1. Amounts. The following fees must be paid to the commissioner:
112.27 (1) for an initial residential mortgage originator license,
112.28is credited to the consumer education account in the special revenue fund;
112.29 (2) for a renewal license,
112.30education account in the special revenue fund;
112.31 (3) for an initial residential mortgage servicer's license, $1,000;
112.32 (4) for a renewal license, $500; and
112.33 (5) for a certificate of exemption, $100.
113.1 Sec. 20. [58.115] EXAMINATIONS.
113.2 The commissioner has under this chapter the same powers with respect to
113.3examinations that the commissioner has under section 46.04, including the authority to
113.4charge for the direct costs of the examination, including travel and per diem expenses.
113.5 Sec. 21. [58.126] EDUCATION REQUIREMENT.
113.6 No individual shall engage in residential mortgage origination or make residential
113.7mortgage loans, whether as an employee or independent contractor, before the completion
113.8of 15 hours of educational training which has been approved by the commissioner, and
113.9covering state and federal laws concerning residential mortgage lending.
113.10 Sec. 22. [59C.01] SHORT TITLE.
113.11 This chapter may be cited as the Vehicle Protection Product Act.
113.12EFFECTIVE DATE.This section is effective January 1, 2008.
113.13 Sec. 23. [59C.02] DEFINITIONS.
113.14 Subdivision 1. Terms. For purposes of this chapter, the terms defined in subdivisions
113.152 to 11 have the meanings given them.
113.16 Subd. 2. Administrator. "Administrator" means a third party other than the
113.17warrantor who is designated by the warrantor to be responsible for the administration
113.18of vehicle protection product warranties.
113.19 Subd. 3. Commissioner. "Commissioner" means the commissioner of commerce.
113.20 Subd. 4. Department. "Department" means the Department of Commerce.
113.21 Subd. 5. Incidental costs. "Incidental costs" means expenses specified in the
113.22warranty incurred by the warranty holder related to the failure of the vehicle protection
113.23product to perform as provided in the warranty. Incidental costs may include, without
113.24limitation, insurance policy deductibles, rental vehicle charges, the difference between the
113.25actual value of the stolen vehicle at the time of theft and the cost of a replacement vehicle,
113.26sales taxes, registration fees, transaction fees, and mechanical inspection fees.
113.27 Subd. 6. Service contract. "Service contract" means a contract or agreement as
113.28regulated under chapter 59B.
113.29 Subd. 7. Vehicle protection product. "Vehicle protection product" means a vehicle
113.30protection device, system, or service that:
113.31 (1) is installed on or applied to a vehicle;
113.32 (2) is designed to prevent loss or damage to a vehicle from a specific cause; and
113.33 (3) includes a written warranty.
114.1 For purposes of this section, vehicle protection product includes, without limitation,
114.2alarm systems; body part marking products; steering locks; window etch products; pedal
114.3and ignition locks; fuel and ignition kill switches; and electronic, radio, and satellite
114.4tracking devices.
114.5 Subd. 8. Vehicle protection product warranty or warranty. "Vehicle protection
114.6product warranty" or "warranty" means, for the purposes of this chapter, a written
114.7agreement by a warrantor that provides if the vehicle protection product fails to prevent
114.8loss or damage to a vehicle from a specific cause, that the warranty holder must be
114.9paid specified incidental costs by the warrantor as a result of the failure of the vehicle
114.10protection product to perform pursuant to the terms of the warranty.
114.11 Subd. 9. Vehicle protection product warrantor or warrantor. "Vehicle protection
114.12product warrantor" or "warrantor," for the purposes of this chapter, means a person who is
114.13contractually obligated to the warranty holder under the terms of the vehicle protection
114.14product warranty agreement. Warrantor does not include an authorized insurer providing a
114.15warranty reimbursement insurance policy.
114.16 Subd. 10. Warranty holder. "Warranty holder," for the purposes of this chapter,
114.17means the person who purchases a vehicle protection product or who is a permitted
114.18transferee.
114.19 Subd. 11. Warranty reimbursement insurance policy. "Warranty reimbursement
114.20insurance policy" means a policy of insurance that is issued to the vehicle protection
114.21product warrantor to provide reimbursement to, or to pay on behalf of, the warrantor all
114.22covered contractual obligations incurred by the warrantor under the terms and conditions
114.23of the insured vehicle protection product warranties sold by the warrantor.
114.24EFFECTIVE DATE.This section is effective January 1, 2008.
114.25 Sec. 24. [59C.03] SCOPE AND EXEMPTIONS.
114.26 (a) No vehicle protection product may be sold or offered for sale in this state unless
114.27the seller, warrantor, and administrator, if any, comply with the provisions of this chapter.
114.28 (b) Vehicle protection product warrantors and related vehicle protection product
114.29sellers and warranty administrators complying with this chapter are not required to comply
114.30with and are not subject to any other provision of chapters 59B to 72A, except that section
114.3172A.20, subdivision 38, shall apply to vehicle protection product warranties in the same
114.32manner it applies to service contracts.
114.33 (c) Service contract providers who do not sell vehicle protection products are not
114.34subject to the requirements of this chapter and sales of vehicle protection products are
114.35exempt from the requirements of chapter 59B.
115.1 (d) Warranties, indemnity agreements, and guarantees that are not provided as a part
115.2of a vehicle protection product are not subject to the provisions of this chapter.
115.3EFFECTIVE DATE.This section is effective January 1, 2008.
115.4 Sec. 25. [59C.04] REGISTRATION AND FILING REQUIREMENTS OF
115.5WARRANTORS.
115.6 Subdivision 1. General requirement. A person may not operate as a warrantor or
115.7represent to the public that the person is a warrantor unless the person is registered with
115.8the department on a form prescribed by the commissioner.
115.9 Subd. 2. Registration records. A registrant shall file a warrantor registration
115.10record annually and shall update it within 30 days of any change. A registration record
115.11must contain the following information:
115.12 (1) the warrantor's name, any fictitious names under which the warrantor does
115.13business in the state, principal office address, and telephone number;
115.14 (2) the name and address of the warrantor's agent for service of process in the state if
115.15other than the warrantor;
115.16 (3) the names of the warrantor's executive officer or officers directly responsible for
115.17the warrantor's vehicle protection product business;
115.18 (4) the name, address, and telephone number of any administrators designated by
115.19the warrantor to be responsible for the administration of vehicle protection product
115.20warranties in this state;
115.21 (5) a copy of the warranty reimbursement insurance policy or policies or other
115.22financial information required by section 59C.05;
115.23 (6) a copy of each warranty the warrantor proposes to use in this state; and
115.24 (7) a statement indicating under which provision of section 59C.05 the warrantor
115.25qualifies to do business in this state as a warrantor.
115.26 Subd. 3. Registration fee. The commissioner may charge each registrant a
115.27reasonable fee to offset the cost of processing the registration and maintaining the records
115.28in an amount not to exceed $250 annually. The information in subdivision 2, clauses (1)
115.29and (2), must be made available to the public.
115.30 Subd. 4. Renewal. If a registrant fails to register by the renewal deadline, the
115.31commissioner shall give them written notice of the failure and the registrant will have 30
115.32days to complete the renewal of the registration before the commissioner suspends the
115.33registration.
115.34 Subd. 5. Exception. An administrator or person who sells or solicits a sale of a
115.35vehicle protection product but who is not a warrantor shall not be required to register as a
116.1warrantor or be licensed under the insurance laws of this state to sell vehicle protection
116.2products.
116.3EFFECTIVE DATE.This section is effective January 1, 2008.
116.4 Sec. 26. [59C.05] FINANCIAL RESPONSIBILITY.
116.5 Subdivision 1. General requirements. No vehicle protection product may be sold,
116.6or offered for sale in this state unless the warrantor meets either the requirements of
116.7subdivision 2 or 3 in order to ensure adequate performance under the warranty. No other
116.8financial security requirements or financial standards for warrantors is required.
116.9 Subd. 2. Warranty reimbursement insurance policy. The vehicle protection
116.10product warrantor shall be insured under a warranty reimbursement insurance policy
116.11issued by an insurer authorized to do business in this state which provides that:
116.12 (1) the insurer will pay to, or on behalf of the warrantor, 100 percent of all sums
116.13that the warrantor is legally obligated to pay according to the warrantor's contractual
116.14obligations under the warrantor's vehicle protection product warranty;
116.15 (2) a true and correct copy of the warranty reimbursement insurance policy has been
116.16filed with the commissioner by the warrantor; and
116.17 (3) the policy contains the provision required in section 59C.06.
116.18 Subd. 3. Network or stockholder's equity. (1) The vehicle protection product
116.19warrantor, or its parent company in accordance with clause (2), shall maintain a net worth
116.20or stockholders' equity of $50,000,000; and
116.21 (2) the warrantor shall provide the commissioner with a copy of the warrantor's or
116.22the warrantor's parent company's most recent Form 10-K or Form 20-F filed with the
116.23Securities and Exchange Commission within the last calendar year or, if the warrantor
116.24does not file with the Securities and Exchange Commission, a copy of the warrantor or
116.25the warrantor's parent company's audited financial statements that shows a net worth of
116.26the warrantor or its parent company of at least $50,000,000. If the warrantor's parent
116.27company's Form 10-K, Form 20-F, or audited financial statements are filed to meet
116.28the warrantor's financial stability requirement, then the parent company shall agree to
116.29guarantee the obligations of the warrantor relating to warranties issued by the warrantor in
116.30this state. The financial information provided to the commissioner under this paragraph
116.31is trade secret information for purposes of section 13.37.
116.32EFFECTIVE DATE.This section is effective January 1, 2008.
117.1 Sec. 27. [59C.06] WARRANTY REIMBURSEMENT POLICY
117.2REQUIREMENTS.
117.3 No warranty reimbursement insurance policy may be issued, sold, or offered for sale
117.4in this state unless the policy meets the following conditions:
117.5 (1) the policy states that the issuer of the policy will reimburse, or pay on behalf of
117.6the vehicle protection product warrantor, all covered sums that the warrantor is legally
117.7obligated to pay, or will provide all service that the warrantor is legally obligated to
117.8perform according to the warrantor's contractual obligations under the provisions of the
117.9insured warranties sold by the warrantor;
117.10 (2) the policy states that in the event payment due under the terms of the warranty is
117.11not provided by the warrantor within 60 days after proof of loss has been filed according
117.12to the terms of the warranty by the warranty holder, the warranty holder may file directly
117.13with the warranty reimbursement insurance company for reimbursement;
117.14 (3) the policy provides that a warranty reimbursement insurance company that
117.15insures a warranty is deemed to have received payment of the premium if the warranty
117.16holder paid for the vehicle protection product and the insurer's liability under the policy
117.17shall not be reduced or relieved by a failure of the warrantor, for any reason, to report the
117.18issuance of a warranty to the insurer; and
117.19 (4) the policy has the following provisions regarding cancellation of the policy:
117.20 (i) the issuer of a reimbursement insurance policy shall not cancel the policy until a
117.21notice of cancellation in writing has been mailed or delivered to the commissioner and
117.22each insured warrantor;
117.23 (ii) the cancellation of a reimbursement insurance policy shall not reduce the issuer's
117.24responsibility for vehicle protection products sold prior to the date of cancellation; and
117.25 (iii) in the event an insurer cancels a policy that a warrantor has filed with the
117.26commissioner, the warrantor shall do either of the following:
117.27 (A) file a copy of a new policy with the commissioner, before the termination of
117.28the prior policy, providing no lapse in coverage following the termination of the prior
117.29policy; or
117.30 (B) discontinue offering warranties as of the termination date of the policy until a
117.31new policy becomes effective and is accepted by the commissioner.
117.32EFFECTIVE DATE.This section is effective January 1, 2008.
117.33 Sec. 28. [59C.07] DISCLOSURE TO WARRANTY HOLDER.
117.34 A vehicle protection product warranty must not be sold or offered for sale in this
117.35state unless the warranty:
118.1 (1) states, "The obligations of the warrantor to the warranty holder are guaranteed
118.2under a warranty reimbursement insurance policy" if the warrantor elects to meet its
118.3financial responsibility obligations under section 59C.05, subdivision 2, or states "The
118.4obligations of the warrantor under this warranty are backed by the full faith and credit
118.5of the warrantor" if the warrantor elects to meet its financial responsibility obligations
118.6under section 59C.05, subdivision 3;
118.7 (2) states that in the event a warranty holder must make a claim against a party other
118.8than the warranty reimbursement insurance policy issuer, the warranty holder is entitled to
118.9make a direct claim against the insurer upon the failure of the warrantor to pay any claim
118.10or meet any obligation under the terms of the warranty within 60 days after proof of loss
118.11has been filed with the warrantor, if the warrantor elects to meet its financial responsibility
118.12obligations under section 59C.05, subdivision 2;
118.13 (3) states the name and address of the issuer of the warranty reimbursement
118.14insurance policy, and this information need not be preprinted on the warranty form, but
118.15may be added to or stamped on the warranty, if the warrantor elects to meet its financial
118.16responsibility obligations under section 59C.05, subdivision 2;
118.17 (4) identifies the warrantor, the seller, and the warranty holder;
118.18 (5) sets forth the total purchase price and the terms under which it is to be paid,
118.19however, the purchase price is not required to be preprinted on the vehicle protection
118.20product warranty and may be negotiated with the consumer at the time of sale;
118.21 (6) sets forth the procedure for making a claim, including a telephone number;
118.22 (7) specifies the payments or performance to be provided under the warranty
118.23including payments for incidental costs expressed as either a fixed amount specified in the
118.24warranty or sales agreement or by the use of a formula itemizing specific incidental costs
118.25incurred by the warranty holder, the manner of calculation or determination of payments
118.26or performance, and any limitations, exceptions, or exclusions;
118.27 (8) sets forth all of the obligations and duties of the warranty holder such as the duty
118.28to protect against any further damage to the vehicle, the obligation to notify the warrantor
118.29in advance of any repair, or other similar requirements, if any;
118.30 (9) sets forth any terms, restrictions, or conditions governing transferability and
118.31cancellation of the warranty, if any; and
118.32 (10) contains a disclosure that reads substantially as follows: "This agreement is a
118.33product warranty and is not insurance."
118.34EFFECTIVE DATE.This section is effective January 1, 2008.
118.35 Sec. 29. [59C.08] PROHIBITED ACTS.
119.1 (a) Unless licensed as an insurance company, a vehicle protection product warrantor
119.2shall not use in its name, contracts, or literature, any of the words "insurance," "casualty,"
119.3"surety," "mutual," or any other words descriptive of the insurance, casualty, or surety
119.4business or deceptively similar to the name or description of any insurance or surety
119.5corporation, or any other vehicle protection product warrantor. A warrantor may use the
119.6term "guaranty" or similar word in the warrantor's name.
119.7 (b) A vehicle protection product seller or warrantor may not require as a condition of
119.8financing that a retail purchaser of a motor vehicle purchase a vehicle protection product.
119.9EFFECTIVE DATE.This section is effective January 1, 2008.
119.10 Sec. 30. [59C.09] RECORD KEEPING.
119.11 (a) All vehicle protection product warrantors shall keep accurate accounts, books,
119.12and records concerning transactions regulated under this chapter.
119.13 (b) A vehicle protection product warrantor's accounts, books, and records must
119.14include:
119.15 (1) copies of all vehicle protection product warranties;
119.16 (2) the name and address of each warranty holder; and
119.17 (3) the dates, amounts, and descriptions of all receipts, claims, and expenditures.
119.18 (c) A vehicle protection product warrantor shall retain all required accounts, books,
119.19and records pertaining to each warranty holder for at least two years after the specified
119.20period of coverage has expired. A warrantor discontinuing business in this state shall
119.21maintain its records until it furnishes the commissioner satisfactory proof that it has
119.22discharged all obligations to warranty holders in this state.
119.23EFFECTIVE DATE.This section is effective January 1, 2008.
119.24 Sec. 31. [59C.10] COMMISSIONER'S POWERS AND DUTIES.
119.25 Subdivision 1. Examination and compliance powers. The commissioner may
119.26conduct examinations of warrantors, administrators, or other persons to enforce this
119.27chapter and protect warranty holders in this state. Upon request of the commissioner, a
119.28warrantor shall make available to the commissioner all accounts, books, and records
119.29concerning vehicle protection products sold by the warrantor and transactions regulated
119.30under this chapter that are necessary to enable the commissioner to reasonably determine
119.31compliance or noncompliance with this chapter.
119.32 Subd. 2. Enforcement authority. The commissioner may take action that is
119.33necessary or appropriate to enforce the provisions of this chapter and the commissioner's
120.1rules and orders and to protect warranty holders in this state. The commissioner has the
120.2enforcement authority in chapter 45 available to enforce the provisions of the chapter and
120.3the rules adopted pursuant to it.
120.4EFFECTIVE DATE.This section is effective January 1, 2008.
120.5 Sec. 32. [59C.12] APPLICABILITY.
120.6 This chapter applies to all vehicle protection products sold or offered for sale on
120.7or after the effective date of this chapter. The failure of any person to comply with this
120.8chapter before its effective date is not admissible in any court proceeding, administrative
120.9proceeding, arbitration, or alternative dispute resolution proceeding and may not otherwise
120.10be used to prove that the action of any person or the affected vehicle protection product
120.11was unlawful or otherwise improper. The adoption of this chapter does not imply that
120.12a vehicle protection product warranty was insurance before the effective date of this
120.13chapter. Nothing in this section may be construed to require the application of the penalty
120.14provisions where this section is not applicable.
120.15EFFECTIVE DATE.This section is effective January 1, 2008.
120.16 Sec. 33. [60K.365] PRODUCER TRAINING REQUIREMENTS FOR
120.17LONG-TERM CARE PARTNERSHIP PROGRAM INSURANCE PRODUCTS.
120.18 (a) An individual may not sell, solicit, or negotiate long-term care insurance
120.19unless the individual is licensed as an insurance producer for accident and health or
120.20sickness insurance or life insurance and has completed an initial training course and
120.21ongoing training every 24 months thereafter. The training shall meet the requirements of
120.22paragraph (b).
120.23 (b) The initial training course required by this subdivision shall be no less than
120.24eight hours and the ongoing training courses required by this subdivision shall be no less
120.25than four hours every 24 months. The courses shall be approved by the Department of
120.26Commerce and may be approved as continuing education courses under section 60K.56.
120.27The courses shall consist of topics related to long-term care insurance, long-term care
120.28services, and, if applicable, qualified state long-term care insurance partnership programs,
120.29including but not limited to:
120.30 (1) state and federal regulations and requirements and the relationship between
120.31qualified state long-term care insurance partnership programs and other public and private
120.32coverage of long-term care services, including Medicaid;
120.33 (2) available long-term care services and providers;
121.1 (3) changes or improvements in long-term care services or providers;
121.2 (4) alternatives to the purchase of private long-term care insurance;
121.3 (5) the effect of inflation on benefits and the importance of inflation protection; and
121.4 (6) consumer suitability standards and guidelines.
121.5 The training required by this subdivision shall not include training that is insurer or
121.6company product specific or that includes any sales or marketing information, materials,
121.7or training, other than those required by state or federal law.
121.8 (c) Insurers shall obtain verification that a producer has received the training
121.9required by this subdivision before a producer is permitted to sell, solicit, or negotiate the
121.10insurer's long-term care insurance products. Insurers shall maintain records verifying
121.11that the producer has received the training contained in this subdivision and make that
121.12verification available to the commissioner upon request.
121.13 (d) Currently licensed producers must complete the initial training course by January
121.141, 2008.
121.15EFFECTIVE DATE.This section is effective the day following final enactment.
121.16 Sec. 34. Minnesota Statutes 2006, section 60K.55, subdivision 2, is amended to read:
121.17 Subd. 2. Licensing fees. (a) In addition to fees provided for examinations and the
121.18technology surcharge required under paragraph (d), each insurance producer licensed
121.19under this chapter shall pay to the commissioner a fee of:
121.20 (1) $50 for an initial life, accident and health, property, or casualty license issued to
121.21an individual insurance producer, and a fee of $50 for each renewal;
121.22 (2) $50 for an initial variable life and variable annuity license issued to an individual
121.23insurance producer, and a fee of $50 for each renewal;
121.24 (3) $50 for an initial personal lines license issued to an individual insurance
121.25producer, and a fee of $50 for each renewal;
121.26 (4) $50 for an initial limited lines license issued to an individual insurance producer,
121.27and a fee of $50 for each renewal;
121.28 (5) $200 for an initial license issued to a business entity, and a fee of $200 for each
121.29renewal; and
121.30 (6) $500 for an initial surplus lines license, and a fee of $500 for each renewal.
121.31 (b) Initial licenses issued under this chapter are valid for a period not to exceed 24
121.32months and expire on October 31 of the renewal year assigned by the commissioner.
121.33Each renewal insurance producer license is valid for a period of 24 months. Licensees
121.34who submit renewal applications postmarked or delivered on or before October 15 of the
121.35renewal year may continue to transact business whether or not the renewal license has been
122.1received by November 1. Licensees who submit applications postmarked or delivered
122.2after October 15 of the renewal year must not transact business after the expiration date
122.3of the license until the renewal license has been received.
122.4 (c) All fees are nonreturnable, except that an overpayment of any fee may be
122.5refunded upon proper application.
122.6 (d) In addition to the fees required under paragraph (a), individual insurance
122.7producers shall pay, for each initial license and renewal, a technology surcharge of up to
122.8$40 under section 45.24, unless the commissioner has adjusted the surcharge as permitted
122.9under that section.
122.10EFFECTIVE DATE.This section is effective October 1, 2007.
122.11 Sec. 35. Minnesota Statutes 2006, section 65B.44, subdivision 2, is amended to read:
122.12 Subd. 2. Medical expense benefits. (a) Medical expense benefits shall reimburse
122.13all reasonable expenses for necessary:
122.14 (1) medical, surgical, x-ray, optical, dental, chiropractic, and rehabilitative services,
122.15including prosthetic devices and items that provide relief from any injury;
122.16 (2) prescription drugs;
122.17 (3) ambulance and all other transportation expenses incurred in traveling to receive
122.18other covered medical expense benefits;
122.19 (4) sign interpreting and language translation services, other than such services
122.20provided by a family member of the patient, related to the receipt of medical, surgical,
122.21x-ray, optical, dental, chiropractic, hospital, extended care, nursing, and rehabilitative
122.22services; and
122.23 (5) hospital, extended care, and nursing services.
122.24 (b) Hospital room and board benefits may be limited, except for intensive care
122.25facilities, to the regular daily semiprivate room rates customarily charged by the institution
122.26in which the recipient of benefits is confined.
122.27 (c) Such benefits shall also include necessary remedial treatment and services
122.28recognized and permitted under the laws of this state for an injured person who relies
122.29upon spiritual means through prayer alone for healing in accordance with that person's
122.30religious beliefs.
122.31 (d) Medical expense loss includes medical expenses accrued prior to the death of a
122.32person notwithstanding the fact that benefits are paid or payable to the decedent's survivors.
122.33 (e) Medical expense benefits for rehabilitative services shall be subject to the
122.34provisions of section
123.1 Sec. 36. Minnesota Statutes 2006, section 65B.44, subdivision 3, is amended to read:
123.2 Subd. 3. Disability and income loss benefits. Disability and income loss benefits
123.3shall provide compensation for 85 percent of the injured person's loss of present and future
123.4gross income from inability to work proximately caused by the nonfatal injury subject
123.5to a maximum of
123.6self-employed person to hire substitute employees to perform tasks which are necessary to
123.7maintain the income of the injured person, which are normally performed by the injured
123.8person, and which cannot be performed because of the injury.
123.9 If the injured person is unemployed at the time of injury and is receiving or is
123.10eligible to receive unemployment benefits under chapter 268, but the injured person loses
123.11eligibility for those benefits because of inability to work caused by the injury, disability
123.12and income loss benefits shall provide compensation for the lost benefits in an amount
123.13equal to the unemployment benefits which otherwise would have been payable, subject to
123.14a maximum of
123.15 Compensation under this subdivision shall be reduced by any income from substitute
123.16work actually performed by the injured person or by income the injured person would
123.17have earned in available appropriate substitute work which the injured person was capable
123.18of performing but unreasonably failed to undertake.
123.19 For the purposes of this section "inability to work" means disability which prevents
123.20the injured person from engaging in any substantial gainful occupation or employment
123.21on a regular basis, for wage or profit, for which the injured person is or may by training
123.22become reasonably qualified. If the injured person returns to employment and is unable by
123.23reason of the injury to work continuously, compensation for lost income shall be reduced
123.24by the income received while the injured person is actually able to work. The weekly
123.25maximums may not be prorated to arrive at a daily maximum, even if the injured person
123.26does not incur loss of income for a full week.
123.27 For the purposes of this section, an injured person who is "unable by reason of the
123.28injury to work continuously" includes, but is not limited to, a person who misses time
123.29from work, including reasonable travel time, and loses income, vacation, or sick leave
123.30benefits, to obtain medical treatment for an injury arising out of the maintenance or use
123.31of a motor vehicle.
123.32 Sec. 37. Minnesota Statutes 2006, section 65B.44, subdivision 4, is amended to read:
123.33 Subd. 4. Funeral and burial expenses. Funeral and burial benefits shall be
123.34reasonable expenses not in excess of
123.35delivery under the Uniform Anatomical Gift Act (1987), sections
124.1 Sec. 38. Minnesota Statutes 2006, section 65B.44, subdivision 5, is amended to read:
124.2 Subd. 5. Replacement service and loss. Replacement service loss benefits shall
124.3reimburse all expenses reasonably incurred by or on behalf of the nonfatally injured
124.4person in obtaining usual and necessary substitute services in lieu of those that, had the
124.5injured person not been injured, the injured person would have performed not for income
124.6but for direct personal benefit or for the benefit of the injured person's household; if
124.7the nonfatally injured person normally, as a full time responsibility, provides care and
124.8maintenance of a home with or without children, the benefit to be provided under this
124.9subdivision shall be the reasonable value of such care and maintenance or the reasonable
124.10expenses incurred in obtaining usual and necessary substitute care and maintenance of
124.11the home, whichever is greater. These benefits shall be subject to a maximum of
124.12$600 per week. All replacement services loss sustained on the date of injury and the first
124.13seven days thereafter is excluded in calculating replacement services loss.
124.14 Sec. 39. Minnesota Statutes 2006, section 65B.47, subdivision 7, is amended to read:
124.15 Subd. 7. Adding policies together. Unless a policyholder makes a specific election
124.16not to have two or more policies added together the limit of liability for basic economic
124.17loss benefits for two or more motor vehicles
124.18the limit of insurance coverage available to an injured person for any one accident. An
124.19insurer shall notify policyholders that they may elect not to have two or more policies
124.20added together.
124.21 Sec. 40. Minnesota Statutes 2006, section 65B.54, subdivision 1, is amended to read:
124.22 Subdivision 1. Payment of basic economic loss benefits. Basic economic loss
124.23benefits are payable monthly as loss accrues. Loss accrues not when injury occurs, but as
124.24income loss, replacement services loss, survivor's economic loss, survivor's replacement
124.25services loss, or medical or funeral expense is incurred. Benefits are overdue if not
124.26paid within 30 days after the reparation obligor receives reasonable proof of the fact
124.27and amount of loss realized, unless the reparation obligor elects to accumulate claims
124.28for periods not exceeding 31 days and pays them within 15 days after the period of
124.29accumulation. However, if the insurer notifies the insured that it is denying benefits, the
124.30insured need not continue to provide the insurer with proof of the bills, losses, or expenses.
124.31If reasonable proof is supplied as to only part of a claim, and the part totals $100 or more,
124.32the part is overdue if not paid within the time provided by this section. Medical or funeral
124.33expense benefits may be paid by the reparation obligor directly to persons supplying
124.34products, services, or accommodations to the claimant.
125.1 Sec. 41. Minnesota Statutes 2006, section 65B.54, is amended by adding a subdivision
125.2to read:
125.3 Subd. 6. Unethical practices. (a) A licensed health care provider shall not initiate
125.4direct contact, in person, over the telephone, or by other electronic means, with any person
125.5who has suffered an injury arising out of the maintenance or use of an automobile, for the
125.6purpose of influencing that person to receive treatment or to purchase any good or item
125.7from the licensee or anyone associated with the licensee. This subdivision prohibits such
125.8direct contact whether initiated by the licensee individually or on behalf of the licensee by
125.9any employee, independent contractor, agent, or third party. This subdivision does not
125.10apply when an injured person voluntarily initiates contact with a licensee.
125.11 (b) This subdivision does not prohibit licensees from mailing advertising literature
125.12directly to such persons, so long as:
125.13 (1) the word "ADVERTISEMENT" appears clearly and conspicuously at the
125.14beginning of the written materials;
125.15 (2) the name of the individual licensee appears clearly and conspicuously within
125.16the written materials;
125.17 (3) the licensee is clearly identified as a licensed health care provider within the
125.18written materials; and
125.19 (4) the licensee does not initiate, individually or through any employee, independent
125.20contractor, agent, or third party, direct contact with the person after the written materials
125.21are sent.
125.22 (c) This subdivision does not apply to:
125.23 (1) advertising that does not involve direct contact with specific prospective patients,
125.24in public media such as telephone directories, professional directories, ads in newspapers
125.25and other periodicals, radio or television ads, Web sites, billboards, or similar media; or
125.26 (2) general marketing practices such as giving lectures; participating in special
125.27events, trade shows, or meetings of organizations; or making presentations relative to
125.28the benefits of chiropractic treatment; or
125.29 (3) contact with friends or relatives, or statements made in a social setting.
125.30 (d) A violation of this subdivision is grounds for the licensing authority to take
125.31disciplinary action against the licensee, including revocation in appropriate cases.
125.32 Sec. 42. Minnesota Statutes 2006, section 80A.28, subdivision 1, is amended to read:
125.33 Subdivision 1. Registration or notice filing fee. (a) There shall be a filing fee of
125.34$100 for every application for registration or notice filing. There shall be an additional fee
126.1of one-tenth of one percent of the maximum aggregate offering price at which the securities
126.2are to be offered in this state, and the maximum combined fees shall not exceed $300.
126.3 (b) When an application for registration is withdrawn before the effective date or a
126.4preeffective stop order is entered under section
126.5filing fee shall be returned. If an application to register securities is denied, the total of all
126.6fees received shall be retained.
126.7 (c) Where a filing is made in connection with a federal covered security under
126.8section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
126.9If the filing is made in connection with redeemable securities issued by an open end
126.10management company or unit investment trust, as defined in the Investment Company Act
126.11of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate
126.12offering price at which the securities are to be offered in this state during the notice filing
126.13period. The fee must be paid at the time of the initial filing and thereafter in connection
126.14with each renewal no later than July 1 of each year and must be sufficient to cover the
126.15shares the issuer expects to sell in this state over the next 12 months. If during a current
126.16notice filing the issuer determines it is likely to sell shares in excess of the shares for
126.17which fees have been paid to the commissioner, the issuer shall submit an amended notice
126.18filing to the commissioner under section
126.19a fee of 1/20 of one percent of the maximum aggregate offering price of the additional
126.20shares. Shares for which a fee has been paid, but which have not been sold at the time
126.21of expiration of the notice filing, may not be sold unless an additional fee to cover the
126.22shares has been paid to the commissioner as provided in this section and section
126.23subdivision 4a
126.24such a company or trust, there is no maximum fee for securities filings made according to
126.25this paragraph. If the filing is made in connection with any other federal covered security
126.26under Section 18(b)(2) of the Securities Act of 1933, there is an additional fee of one-tenth
126.27of one percent of the maximum aggregate offering price at which the securities are to be
126.28offered in this state, and the combined fees shall not exceed $300. Beginning with fiscal
126.29year 2001 and continuing each fiscal year thereafter, as of the last day of each fiscal year,
126.30the commissioner shall determine the total amount of all fees that were collected under
126.31this paragraph in connection with any filings made for that fiscal year for securities of an
126.32open-end investment company on behalf of a security that is a federal covered security
126.33pursuant to section 18(b)(2) of the Securities Act of 1933.
126.34
126.35
127.1
127.2
127.3 Sec. 43. Minnesota Statutes 2006, section 80A.65, subdivision 1, is amended to read:
127.4 Subdivision 1. Registration or notice filing fee. (a) There shall be a filing fee of
127.5$100 for every application for registration or notice filing. There shall be an additional fee
127.6of one-tenth of one percent of the maximum aggregate offering price at which the securities
127.7are to be offered in this state, and the maximum combined fees shall not exceed $300.
127.8 (b) When an application for registration is withdrawn before the effective date
127.9or a preeffective stop order is entered under section 80A.54, all but the $100 filing fee
127.10shall be returned. If an application to register securities is denied, the total of all fees
127.11received shall be retained.
127.12 (c) Where a filing is made in connection with a federal covered security under
127.13section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing.
127.14If the filing is made in connection with redeemable securities issued by an open end
127.15management company or unit investment trust, as defined in the Investment Company Act
127.16of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate
127.17offering price at which the securities are to be offered in this state during the notice filing
127.18period. The fee must be paid at the time of the initial filing and thereafter in connection
127.19with each renewal no later than July 1 of each year and must be sufficient to cover the
127.20shares the issuer expects to sell in this state over the next 12 months. If during a current
127.21notice filing the issuer determines it is likely to sell shares in excess of the shares for which
127.22fees have been paid to the administrator, the issuer shall submit an amended notice filing
127.23to the administrator under section 80A.50, together with a fee of 1/20 of one percent of the
127.24maximum aggregate offering price of the additional shares. Shares for which a fee has
127.25been paid, but which have not been sold at the time of expiration of the notice filing, may
127.26not be sold unless an additional fee to cover the shares has been paid to the administrator
127.27as provided in this section and section 80A.50. If the filing is made in connection with
127.28redeemable securities issued by such a company or trust, there is no maximum fee for
127.29securities filings made according to this paragraph. If the filing is made in connection
127.30with any other federal covered security under Section 18(b)(2) of the Securities Act of
127.311933, there is an additional fee of one-tenth of one percent of the maximum aggregate
127.32offering price at which the securities are to be offered in this state, and the combined fees
127.33shall not exceed $300.
127.34
127.35
128.1
128.2
128.3
128.4
128.5
128.6
128.7of amounts of $100 or less for a fiscal year.
128.8 Sec. 44. Minnesota Statutes 2006, section 82.24, subdivision 1, is amended to read:
128.9 Subdivision 1. Amounts. The following fees shall be paid to the commissioner:
128.10 (a) a fee of $150 for each initial individual broker's license, and a fee of $100 for
128.11each renewal thereof;
128.12 (b) a fee of $70 for each initial salesperson's license, and a fee of $40 for each
128.13renewal thereof;
128.14 (c) a fee of $85 for each initial real estate closing agent license, and a fee of $60
128.15for each renewal thereof;
128.16 (d) a fee of $150 for each initial corporate, limited liability company, or partnership
128.17license, and a fee of $100 for each renewal thereof;
128.18 (e) a fee for payment to the education, research and recovery fund in accordance
128.19with section
128.20 (f) a fee of $20 for each transfer;
128.21 (g) a fee of $50 for license reinstatement;
128.22 (h) a fee of $20 for reactivating a corporate, limited liability company, or partnership
128.23license without land; and
128.24 (i) in addition to the fees required under this subdivision, individual licensees under
128.25clauses (a) and (b) shall pay, for each initial license and renewal, a technology surcharge
128.26of up to $40 under section 45.24, unless the commissioner has adjusted the surcharge
128.27as permitted under that section.
128.28EFFECTIVE DATE.This section is effective the day following final enactment.
128.29 Sec. 45. Minnesota Statutes 2006, section 82.24, subdivision 4, is amended to read:
128.30 Subd. 4. Deposit of fees. Unless otherwise provided by this chapter, all fees
128.31collected under this chapter shall be deposited in the state treasury. The technology
128.32surcharge shall be deposited as required under section 45.24.
128.33EFFECTIVE DATE.This section is effective the day following final enactment.
129.1 Sec. 46. Minnesota Statutes 2006, section 82B.09, subdivision 1, is amended to read:
129.2 Subdivision 1. Amounts. (a) The following fees must be paid to the commissioner:
129.3 (1) $150 for each initial individual real estate appraiser's license; and
129.4 (2) $100 for each renewal.
129.5 (b) In addition to the fees required under this subdivision, individual real estate
129.6appraisers shall pay a technology surcharge of up to $40 under section 45.24, unless the
129.7commissioner has adjusted the surcharge as permitted under that section.
129.8EFFECTIVE DATE.This section is effective the day following final enactment.
129.9 Sec. 47. Minnesota Statutes 2006, section 118A.03, subdivision 2, is amended to read:
129.10 Subd. 2. In lieu of surety bond. The following are the allowable forms of collateral
129.11in lieu of a corporate surety bond:
129.12 (1) United States government Treasury bills, Treasury notes, Treasury bonds;
129.13 (2) issues of United States government agencies and instrumentalities as quoted by a
129.14recognized industry quotation service available to the government entity;
129.15 (3) general obligation securities of any state or local government with taxing powers
129.16which is rated "A" or better by a national bond rating service, or revenue obligation
129.17securities of any state or local government with taxing powers which is rated "AA" or
129.18better by a national bond rating service;
129.19 (4)
129.20may be pledged as collateral against funds deposited by that same local government entity;
129.21 (5) irrevocable standby letters of credit issued by Federal Home Loan Banks to a
129.22municipality accompanied by written evidence that the bank's public debt is rated "AA" or
129.23better by Moody's Investors Service, Inc., or Standard & Poor's Corporation; and
129.24 (6) time deposits that are fully insured by any federal agency.
129.25 Sec. 48. Minnesota Statutes 2006, section 148.102, is amended by adding a subdivision
129.26to read:
129.27 Subd. 3a. Reparation obligors. A reparation obligor as defined in section 65B.43,
129.28subdivision 9, may submit any relevant information to the board in any case in which
129.29the reparation obligor has reason to believe that charges being billed by a licensee are
129.30fraudulent, unreasonable, or inconsistent with treatment actually received by the injured
129.31party involved.
129.32 A reparation obligor that makes a report under this section shall provide the board
129.33with any additional information, related to the reported activities, requested by the board.
130.1 Sec. 49. Minnesota Statutes 2006, section 239.101, subdivision 3, is amended to read:
130.2 Subd. 3. Petroleum inspection fee. (a) An inspection fee is imposed (1) on
130.3petroleum products when received by the first licensed distributor, and (2) on petroleum
130.4products received and held for sale or use by any person when the petroleum products
130.5have not previously been received by a licensed distributor. The petroleum inspection
130.6fee is $1 for every 1,000 gallons received. The commissioner of revenue shall collect
130.7the fee. The revenue from 81 cents of the fee is appropriated to the commissioner of
130.8commerce for the cost of operations of the Division of Weights and Measures, petroleum
130.9supply monitoring, and
130.10low-income weatherization services to install renewable energy equipment in households
130.11that are eligible for weatherization assistance under Minnesota's weatherization assistance
130.12program state plan. The remainder of the fee must be deposited in the general fund.
130.13 (b) The commissioner of revenue shall credit a person for inspection fees previously
130.14paid in error or for any material exported or sold for export from the state upon filing of a
130.15report as prescribed by the commissioner of revenue.
130.16 (c) The commissioner of revenue may collect the inspection fee along with any
130.17taxes due under chapter 296A.
130.18 Sec. 50. [325E.027] DISCRIMINATION PROHIBITION.
130.19 (a) No dealer or distributor of liquid propane gas or number 1 or number 2 fuel oil
130.20who has signed a low-income home energy assistance program vendor agreement with the
130.21department of commerce may refuse to deliver liquid propane gas or number 1 or number
130.222 fuel oil to any person located within the dealer's or distributor's normal delivery area
130.23who receives direct grants under the low-income home energy assistance program if:
130.24 (1) the person has requested delivery;
130.25 (2) the dealer or distributor has product available;
130.26 (3) the person requesting delivery is capable of making full payment at the time of
130.27delivery; and
130.28 (4) the person is not in arrears regarding any previous fuel purchase from that dealer
130.29or distributor.
130.30 (b) A dealer or distributor making delivery to a person receiving direct grants
130.31under the low-income home energy assistance program may not charge that person any
130.32additional costs or fees that would not be charged to any other customer and must make
130.33available to that person any discount program on the same basis as the dealer or distributor
130.34makes available to any other customer.
131.1 Sec. 51. Minnesota Statutes 2006, section 325E.311, subdivision 6, is amended to read:
131.2 Subd. 6. Telephone solicitation. "Telephone solicitation" means any voice
131.3communication over a telephone line for the purpose of encouraging the purchase or
131.4rental of, or investment in, property, goods, or services, whether the communication is
131.5made by a live operator, through the use of an automatic dialing-announcing device as
131.6defined in section
131.7does not include communications:
131.8 (1) to any residential subscriber with that subscriber's prior express invitation or
131.9permission; or
131.10 (2) by or on behalf of any person or entity with whom a residential subscriber has a
131.11prior or current business or personal relationship.
131.12Telephone solicitation also does not include communications if the caller is identified by a
131.13caller identification service and the call is:
131.14 (i) by or on behalf of an organization that is identified as a nonprofit organization
131.15under state or federal law, unless the organization is a debt management services provider
131.16defined in section 332A.02;
131.17 (ii) by a person soliciting without the intent to complete, and who does not in
131.18fact complete, the sales presentation during the call, but who will complete the sales
131.19presentation at a later face-to-face meeting between the solicitor who makes the call
131.20and the prospective purchaser; or
131.21 (iii) by a political party as defined under section
131.22EFFECTIVE DATE.This section is effective January 1, 2008.
131.23 Sec. 52. Minnesota Statutes 2006, section 325N.01, is amended to read:
131.24325N.01 DEFINITIONS.
131.25 The definitions in paragraphs (a) to (h) apply to sections
131.26 (a) "Foreclosure consultant" means any person who, directly or indirectly, makes
131.27any solicitation, representation, or offer to any owner to perform for compensation or
131.28who, for compensation, performs any service which the person in any manner represents
131.29will in any manner do any of the following:
131.30 (1) stop or postpone the foreclosure sale;
131.31 (2) obtain any forbearance from any beneficiary or mortgagee;
131.32 (3) assist the owner to exercise the right of reinstatement provided in section
131.33 (4) obtain any extension of the period within which the owner may reinstate the
131.34owner's obligation;
132.1 (5) obtain any waiver of an acceleration clause contained in any promissory note or
132.2contract secured by a mortgage on a residence in foreclosure or contained in the mortgage;
132.3 (6) assist the owner in foreclosure or loan default to obtain a loan or advance
132.4of funds;
132.5 (7) avoid or ameliorate the impairment of the owner's credit resulting from the
132.6recording of a notice of default or the conduct of a foreclosure sale; or
132.7 (8) save the owner's residence from foreclosure.
132.8 (b) A foreclosure consultant does not include any of the following:
132.9 (1) a person licensed to practice law in this state when the person renders service
132.10in the course of his or her practice as an attorney-at-law;
132.11 (2) a person licensed as a debt
132.12services provider under chapter 332A, when the person is acting as a debt
132.13management services provider as defined in
132.14 (3) a person licensed as a real estate broker or salesperson under chapter 82 when the
132.15person engages in acts whose performance requires licensure under that chapter unless the
132.16person is engaged in offering services designed to, or purportedly designed to, enable the
132.17owner to retain possession of the residence in foreclosure;
132.18 (4) a person licensed as an accountant under chapter 326A when the person is acting
132.19in any capacity for which the person is licensed under those provisions;
132.20 (5) a person or the person's authorized agent acting under the express authority
132.21or written approval of the Department of Housing and Urban Development or other
132.22department or agency of the United States or this state to provide services;
132.23 (6) a person who holds or is owed an obligation secured by a lien on any residence
132.24in foreclosure when the person performs services in connection with this obligation or lien
132.25if the obligation or lien did not arise as the result of or as part of a proposed foreclosure
132.26reconveyance;
132.27 (7) any person or entity doing business under any law of this state, or of the United
132.28States relating to banks, trust companies, savings and loan associations, industrial loan and
132.29thrift companies, regulated lenders, credit unions, insurance companies, or a mortgagee
132.30which is a United States Department of Housing and Urban Development approved
132.31mortgagee and any subsidiary or affiliate of these persons or entities, and any agent or
132.32employee of these persons or entities while engaged in the business of these persons
132.33or entities;
132.34 (8) a person licensed as a residential mortgage originator or servicer pursuant to
132.35chapter 58, when acting under the authority of that license or a foreclosure purchaser as
132.36defined in section
133.1 (9) a nonprofit agency or organization that offers counseling or advice to an owner
133.2of a home in foreclosure or loan default if they do not contract for services with for-profit
133.3lenders or foreclosure purchasers; and
133.4 (10) a judgment creditor of the owner, to the extent that the judgment creditor's claim
133.5accrued prior to the personal service of the foreclosure notice required by section
133.6but excluding a person who purchased the claim after such personal service.
133.7 (c) "Foreclosure reconveyance" means a transaction involving:
133.8 (1) the transfer of title to real property by a foreclosed homeowner during a
133.9foreclosure proceeding, either by transfer of interest from the foreclosed homeowner or
133.10by creation of a mortgage or other lien or encumbrance during the foreclosure process
133.11that allows the acquirer to obtain title to the property by redeeming the property as
133.12a junior lienholder; and
133.13 (2) the subsequent conveyance, or promise of a subsequent conveyance, of an interest
133.14back to the foreclosed homeowner by the acquirer or a person acting in participation with
133.15the acquirer that allows the foreclosed homeowner to possess the real property following
133.16the completion of the foreclosure proceeding, which interest includes, but is not limited to,
133.17an interest in a contract for deed, purchase agreement, option to purchase, or lease.
133.18 (d) "Person" means any individual, partnership, corporation, limited liability
133.19company, association, or other group, however organized.
133.20 (e) "Service" means and includes, but is not limited to, any of the following:
133.21 (1) debt, budget, or financial counseling of any type;
133.22 (2) receiving money for the purpose of distributing it to creditors in payment or
133.23partial payment of any obligation secured by a lien on a residence in foreclosure;
133.24 (3) contacting creditors on behalf of an owner of a residence in foreclosure;
133.25 (4) arranging or attempting to arrange for an extension of the period within which
133.26the owner of a residence in foreclosure may cure the owner's default and reinstate his or
133.27her obligation pursuant to section
133.28 (5) arranging or attempting to arrange for any delay or postponement of the time of
133.29sale of the residence in foreclosure;
133.30 (6) advising the filing of any document or assisting in any manner in the preparation
133.31of any document for filing with any bankruptcy court; or
133.32 (7) giving any advice, explanation, or instruction to an owner of a residence in
133.33foreclosure, which in any manner relates to the cure of a default in or the reinstatement
133.34of an obligation secured by a lien on the residence in foreclosure, the full satisfaction of
133.35that obligation, or the postponement or avoidance of a sale of a residence in foreclosure,
133.36pursuant to a power of sale contained in any mortgage.
134.1 (f) "Residence in foreclosure" means residential real property consisting of one to
134.2four family dwelling units, one of which the owner occupies as his or her principal place
134.3of residence, and against which there is an outstanding notice of pendency of foreclosure,
134.4recorded pursuant to section
134.5been served under chapter 581.
134.6 (g) "Owner" means the record owner of the residential real property in foreclosure at
134.7the time the notice of pendency was recorded, or the summons and complaint served.
134.8 (h) "Contract" means any agreement, or any term in any agreement, between
134.9a foreclosure consultant and an owner for the rendition of any service as defined in
134.10paragraph (e).
134.11EFFECTIVE DATE.This section is effective January 1, 2008.
134.12 Sec. 53. Minnesota Statutes 2006, section 332.54, subdivision 7, is amended to read:
134.13 Subd. 7. Fees. The fee for a credit services organization's registration is
134.14$1,000 for issuance or renewal for each location of business.
134.15EFFECTIVE DATE; APPLICATION.This section is effective July 1, 2007, and
134.16applies to registrations issued or renewed on or after that date.
134.17 Sec. 54. [332A.02] DEFINITIONS.
134.18 Subdivision 1. Scope. Unless a different meaning is clearly indicated by the context,
134.19for the purposes of this chapter the terms defined in this section have the meanings given
134.20them.
134.21 Subd. 2. Accreditation. "Accreditation" means certification as an accredited
134.22credit counseling provider by the International Standards Organization or the Council on
134.23Accreditation.
134.24 Subd. 3. Attorney general. "Attorney general" means the attorney general of the
134.25state of Minnesota.
134.26 Subd. 4. Commissioner. "Commissioner" means commissioner of commerce.
134.27 Subd. 5. Controlling or affiliated party. "Controlling or affiliated party" means
134.28any person directly or indirectly controlling, controlled by, or under common control
134.29with another person.
134.30 Subd. 6. Debt management services agreement. "Debt management services
134.31agreement" means the written contract between the debt management services provider
134.32and the debtor.
135.1 Subd. 7. Debt management services plan. "Debt management services plan"
135.2means the debtor's individualized package of debt management services set forth in the
135.3debt management services agreement.
135.4 Subd. 8. Debt management services provider. "Debt management services
135.5provider" means any person offering or providing debt management services to a debtor
135.6domiciled in this state, regardless of whether or not a fee is charged for the services and
135.7regardless of whether the person maintains a physical presence in the state. This term does
135.8not include services performed by the following when engaged in the regular course of
135.9their respective businesses and professions:
135.10 (1) attorneys at law, escrow agents, accountants, broker-dealers in securities;
135.11 (2) state or national banks, trust companies, savings associations, title insurance
135.12companies, insurance companies, and all other lending institutions duly authorized to
135.13transact business in Minnesota, provided no fee is charged for the service;
135.14 (3) persons who, as employees on a regular salary or wage of an employer not
135.15engaged in the business of debt management, perform credit services for their employer;
135.16 (4) public officers acting in their official capacities and persons acting as a debt
135.17management services provider pursuant to court order;
135.18 (5) any person while performing services incidental to the dissolution, winding up,
135.19or liquidation of a partnership, corporation, or other business enterprise;
135.20 (6) the state, its political subdivisions, public agencies, and their employees;
135.21 (7) credit unions and collection agencies, provided no fee is charged for the service;
135.22 (8) "qualified organizations" designated as representative payees for purposes of the
135.23Social Security and Supplemental Security Income Representative Payee System and the
135.24federal Omnibus Budget Reconciliation Act of 1990, Public Law 101-508; and
135.25 (9) accelerated mortgage payment providers. "Accelerated mortgage payment
135.26providers" are persons who, after satisfying the requirements of sections 332.30 to
135.27332.303, receive funds to make mortgage payments to a lender or lenders, on behalf
135.28of mortgagors, in order to exceed regularly scheduled minimum payment obligations
135.29under the terms of the indebtedness. The term does not include: (i) persons or entities
135.30described in clauses (1) to (8); (ii) mortgage lenders or servicers, industrial loan and
135.31thrift companies, or regulated lenders under chapter 56; or (iii) persons authorized to
135.32make loans under section 47.20, subdivision 1. For purposes of this clause and sections
135.33332.30 to 332.303, "lender" means the original lender or that lender's assignee, whichever
135.34is the current mortgage holder.
135.35 Subd. 9. Debt management services. "Debt management services" means the
135.36provision of any one or more of the following:
136.1 (1) managing the financial affairs of an individual by distributing income or money
136.2to the individual's creditors;
136.3 (2) receiving funds for the purpose of distributing the funds among creditors in
136.4payment or partial payment of obligations of a debtor; or
136.5 (3) settling, adjusting, prorating, pooling, or liquidating the indebtedness of a debtor.
136.6Any person so engaged or holding out as so engaged is deemed to be engaged in the
136.7provision of debt management services regardless of whether or not a fee is charged for
136.8such services.
136.9 Subd. 10. Debtor. "Debtor" means the person for whom the debt prorating service
136.10is performed.
136.11 Subd. 11. Person. "Person" means any individual, firm, partnership, association,
136.12or corporation.
136.13 Subd. 12. Registrant. "Registrant" means any person registered by the
136.14commissioner pursuant to this chapter and, where used in conjunction with an act or
136.15omission required or prohibited by this chapter, shall mean any person performing debt
136.16management services.
136.17EFFECTIVE DATE.This section is effective January 1, 2008.
136.18 Sec. 55. [332A.03] REQUIREMENT OF REGISTRATION.
136.19 On or after August 1, 2007, it is unlawful for any person, whether or not located in
136.20this state, to operate as a debt management services provider or provide debt management
136.21services, including but not limited to offering, advertising, or executing or causing to
136.22be executed any debt management services or debt management services agreement,
136.23except as authorized by law without first becoming registered as provided in this
136.24chapter. A person who possesses a valid license as a debt prorater that was issued by the
136.25commissioner before August 1, 2007, is deemed to be registered as a debt management
136.26services provider until the date the debt prorater license expires, at which time the licensee
136.27must obtain a renewal as a debt management services provider in compliance with this
136.28chapter. Debt proraters who were not required to be licensed as debt proraters before
136.29August 1, 2007, may continue to provide debt management services without complying
136.30with this chapter to those debtors who entered into a contract to participate in a debt
136.31management plan before August 1, 2007, except that the debt prorater must comply with
136.32section 332A.13, subdivision 2.
136.33EFFECTIVE DATE.This section is effective January 1, 2008.
137.1 Sec. 56. [332A.04] REGISTRATION.
137.2 Subdivision 1. Form. Application for registration to operate as a debt management
137.3services provider in this state must be made in writing to the commissioner, under oath, in
137.4the form prescribed by the commissioner, and must contain:
137.5 (1) the full name of each principal of the entity applying;
137.6 (2) the address, which must not be a post office box, and the telephone number and,
137.7if applicable, e-mail address, of the applicant;
137.8 (3) identification of the trust account required under section 332A.13;
137.9 (4) consent to the jurisdiction of the courts of this state;
137.10 (5) the name and address of the registered agent authorized to accept service of
137.11process on behalf of the applicant or appointment of the commissioner as the applicant's
137.12agent for purposes of accepting service of process;
137.13 (6) disclosure of:
137.14 (i) whether any controlling or affiliated party has ever been convicted of a crime
137.15or found civilly liable for an offense involving moral turpitude, including forgery,
137.16embezzlement, obtaining money under false pretenses, larceny, extortion, conspiracy to
137.17defraud, or any other similar offense or violation, or any violation of a federal or state law
137.18or regulation in connection with activities relating to the rendition of debt management
137.19services or involving any consumer fraud, false advertising, deceptive trade practices, or
137.20similar consumer protection law;
137.21 (ii) any judgments, private or public litigation, tax liens, written complaints,
137.22administrative actions, or investigations by any government agency against the applicant
137.23or any officer, director, manager, or shareholder owning more than five percent interest
137.24in the applicant, unresolved or otherwise, filed or otherwise commenced within the
137.25preceding ten years;
137.26 (iii) whether the applicant or any person employed by the applicant has had a record
137.27of having defaulted in the payment of money collected for others, including the discharge
137.28of debts through bankruptcy proceedings; and
137.29 (iv) whether the applicant's license or registration to provide debt management
137.30services in any other state has ever been revoked or suspended;
137.31 (7) a copy of the applicant's standard debt management services agreement that the
137.32applicant intends to execute with debtors;
137.33 (8) proof of accreditation of:
137.34 (i) the debt management services provider; and
137.35 (ii) all individuals employed by, under contract with, or otherwise agents of the
137.36provider who offer to provide or provide debt management services; and
138.1 (9) any other information and material as the commissioner may require.
138.2 Subd. 2. Term and scope of registration. The registration must remain in full
138.3force and effect for one calendar year or until it is surrendered by the licensee or revoked
138.4or suspended by the commissioner. The registration is limited solely to the business
138.5of providing debt management services.
138.6 Subd. 3. Fees. The registration application must be accompanied by payment of
138.7$1,000 as a registration fee.
138.8 Subd. 4. Bond. The registration application must be accompanied by payment of
138.9the premium for a surety bond in which the applicant shall be the obligor, in a sum to be
138.10determined by the commissioner but not less than $5,000, and in which an insurance
138.11company, which is duly authorized by the state of Minnesota to transact the business of
138.12fidelity and surety insurance, shall be a surety. However, the commissioner may accept
138.13a deposit in cash, or securities that may legally be purchased by savings banks or for
138.14trust funds of an aggregate market value equal to the bond requirement, in lieu of the
138.15surety bond. The cash or securities must be deposited with the commissioner of finance.
138.16The commissioner may also require a fidelity bond in an appropriate amount covering
138.17employees of any applicant. Each branch office or additional place of business of an
138.18applicant must be bonded as provided in this subdivision. In determining the bond amount
138.19necessary for the maintenance of any office, whether it is a surety bond, fidelity bond, or
138.20both, the commissioner shall consider the financial responsibility, experience, character,
138.21and general fitness of the debt management services provider and its operators and owners;
138.22the volume of business handled or proposed to be handled; the location of the office
138.23and the geographical area served or proposed to be served; and other information the
138.24commissioner may deem pertinent based upon past performance, previous examinations,
138.25annual reports, and manner of business conducted in other states.
138.26 Subd. 5. Condition of bond. The bond must run to the state of Minnesota for the
138.27use of the state and of any person or persons who may have a cause of action against the
138.28obligor arising out of the obligor's activities as a debt management services provider to
138.29a debtor domiciled in this state. The bond must be conditioned that the obligor will not
138.30commit any fraudulent act and will faithfully conform to and abide by the provisions of
138.31this chapter and of all rules lawfully made by the commissioner under this chapter and
138.32pay to the state and to any such person or persons any and all money that may become
138.33due or owing to the state or to such person or persons from the obligor under and by
138.34virtue of this chapter.
138.35 Subd. 6. Right of action on bond. If the registrant has failed to account to a debtor
138.36or distribute to the debtor's creditors the amounts required by this chapter and the debt
139.1management services agreement between the debtor and registrant, the debtor or the
139.2debtor's legal representative or receiver, the commissioner, or the attorney general, shall
139.3have, in addition to all other legal remedies, a right of action in the name of the debtor
139.4on the bond or the security given under this section, for loss suffered by the debtor, not
139.5exceeding the face amount of the bond or security, and without the necessity of joining
139.6the registrant in the suit or action.
139.7 Subd. 7. Registrant list. The commissioner must maintain a list of registered debt
139.8management services providers. The list must be made available to the public in written
139.9form upon request and on the Department of Commerce Web site.
139.10EFFECTIVE DATE.This section is effective January 1, 2008.
139.11 Sec. 57. [332A.05] NONASSIGNMENT OF REGISTRATION.
139.12 A registration must not be transferred or assigned without the consent of the
139.13commissioner.
139.14EFFECTIVE DATE.This section is effective January 1, 2008.
139.15 Sec. 58. [332A.06] RENEWAL OF REGISTRATION.
139.16 Each year, each registrant under the provisions of this chapter must, not more than
139.1760 nor less than 30 days before its registration is to expire, apply to the commissioner for
139.18renewal of its registration on a form prescribed by the commissioner. The application must
139.19be signed by the registrant under penalty of perjury, contain current information on all
139.20matters required in the original application, and be accompanied by a payment of $250.
139.21The registrant must maintain a continuous surety bond that satisfies the requirements of
139.22section 332A.04, subdivision 4, provided that the commissioner may require a different
139.23amount that is at least equal to the largest amount that has accrued in the registrant's trust
139.24account during the previous year. The renewal is effective for one year.
139.25EFFECTIVE DATE.This section is effective January 1, 2008.
139.26 Sec. 59. [332A.07] OTHER DUTIES OF REGISTRANT.
139.27 Subdivision 1. Requirement to update information. A registrant must update any
139.28information required by this chapter provided in its original or renewal application not
139.29later than 90 days after the date the events precipitating the update occurred.
139.30 Subd. 2. Inspection of debtor of registration. Each registrant must maintain a
139.31copy of its registration in its files. The registrant must allow a debtor, upon request, to
139.32inspect the registration.
140.1EFFECTIVE DATE.This section is effective January 1, 2008.
140.2 Sec. 60. [332A.08] DENIAL OF REGISTRATION.
140.3 The commissioner, with notice to the applicant by certified mail sent to the address
140.4listed on the application, may deny an application for a registration upon finding that
140.5the applicant:
140.6 (1) has submitted an application required under section 332A.04 that contains
140.7incorrect, misleading, incomplete, or materially untrue information. An application is
140.8incomplete if it does not include all the information required in section 332A.04;
140.9 (2) has failed to pay any fee or pay or maintain any bond required by this chapter,
140.10or failed to comply with any order, decision, or finding of the commissioner made under
140.11and within the authority of this chapter;
140.12 (3) has violated any provision of this chapter or any rule or direction lawfully made
140.13by the commissioner under and within the authority of this chapter;
140.14 (4) or any controlling or affiliated party has ever been convicted of a crime or found
140.15civilly liable for an offense involving moral turpitude, including forgery, embezzlement,
140.16obtaining money under false pretenses, larceny, extortion, conspiracy to defraud, or any
140.17other similar offense or violation, or any violation of a federal or state law or regulation
140.18in connection with activities relating to the rendition of debt management services or
140.19any consumer fraud, false advertising, deceptive trade practices, or similar consumer
140.20protection law;
140.21 (5) has had a registration or license previously revoked or suspended in this state or
140.22any other state or the applicant or licensee has been permanently or temporarily enjoined
140.23by any court of competent jurisdiction from engaging in or continuing any conduct or
140.24practice involving any aspect of the debt management services provider business; or
140.25any controlling or affiliated party has been an officer, director, manager, or shareholder
140.26owning more than a ten percent interest in a debt management services provider whose
140.27registration has previously been revoked or suspended in this state or any other state, or
140.28who has been permanently or temporarily enjoined by any court of competent jurisdiction
140.29from engaging in or continuing any conduct or practice involving any aspect of the debt
140.30management services provider business;
140.31 (6) has made any false statement or representation to the commissioner;
140.32 (7) is insolvent;
140.33 (8) refuses to fully comply with an investigation or examination of the debt
140.34management services provider by the commissioner;
141.1 (9) has improperly withheld, misappropriated, or converted any money or properties
141.2received in the course of doing business;
141.3 (10) has failed to have a trust account with an actual cash balance equal to or greater
141.4than the sum of the escrow balances of each debtor's account;
141.5 (11) has defaulted in making payments to creditors on behalf of debtors as required
141.6by agreements between the provider and debtor; or
141.7 (12) has used fraudulent, coercive, or dishonest practices, or demonstrated
141.8incompetence, untrustworthiness, or financial irresponsibility in this state or elsewhere.
141.9EFFECTIVE DATE.This section is effective January 1, 2008.
141.10 Sec. 61. [332A.09] SUSPENDING, REVOKING, OR REFUSING TO RENEW
141.11REGISTRATION.
141.12 Subdivision 1. Procedure. The commissioner may revoke, suspend, or refuse
141.13to renew any registration issued under this chapter, or may levy a civil penalty under
141.14section 45.027, or any combination of actions, if the debt management services provider
141.15or any controlling or affiliated person has committed any act or omission for which the
141.16commissioner could have refused to issue an initial registration or renew an existing
141.17registration. Revocation of or refusal to renew a registration must be upon notice and
141.18hearing as prescribed in the Administrative Procedure Act, sections 14.57 to 14.69. The
141.19notice must set a time for hearing before the commissioner not less than 20 nor more than
141.2030 days after service of the notice, provided the registrant may waive the 20-day minimum.
141.21The commissioner may, in the notice, suspend the registration for a period not to exceed 60
141.22days. Unless the notice states that the registration is suspended, pending the determination
141.23of the main issue, the registrant may continue to transact business until the final decision of
141.24the commissioner. If the registration is suspended, the commissioner shall hold a hearing
141.25and render a final determination within ten days of a request by the registrant. If the
141.26commissioner fails to do so, the suspension shall terminate and be of no force or effect.
141.27 Subd. 2. Notification of interested persons. After the notice and hearing required
141.28in subdivision 1, upon issuing an order suspending or revoking a registration or refusing to
141.29renew a registration, the commissioner may notify all individuals who have contracts with
141.30the affected registrant and all creditors who have agreed to a debt management services
141.31plan that the registration has been revoked and that the order is subject to appeal.
141.32 Subd. 3. Receiver for funds of sanctioned registrant. When an order is issued
141.33revoking or refusing to renew a registration, the commissioner may apply for, and the
141.34district court must appoint, a receiver to temporarily or permanently receive the assets of
141.35the registrant pending a final determination of the validity of the order.
142.1EFFECTIVE DATE.This section is effective January 1, 2008.
142.2 Sec. 62. [332A.10] WRITTEN DEBT MANAGEMENT SERVICES
142.3AGREEMENT.
142.4 Subdivision 1. Written agreement required. A debt management services provider
142.5may not perform any debt management services or receive any money related to a debt
142.6management plan until the provider has obtained a debt management services agreement
142.7that contains all terms of the agreement between the debt management services provider
142.8and the debtor. A debt management services agreement must be in writing, dated, and
142.9signed by the debt management services provider and the debtor. The registrant must
142.10furnish the debtor with a copy of the signed contract upon execution.
142.11 Subd. 2. Actions prior to written agreement. No person may provide debt
142.12management services for a debtor unless the person first has:
142.13 (1) provided the debtor individualized counseling and educational information
142.14that, at a minimum, addresses managing household finances, managing credit and debt,
142.15budgeting, and personal savings strategies;
142.16 (2) prepared in writing and provided to the debtor, in a form that the debtor may
142.17keep, an individualized financial analysis and a proposed debt management plan listing the
142.18debtor's known debts with specific recommendations regarding actions the debtor should
142.19take to reduce or eliminate the amount of the debts, including written disclosure that
142.20debt management services are not suitable for all debtors and that there are other ways,
142.21including bankruptcy, to deal with indebtedness;
142.22 (3) made a determination supported by an individualized financial analysis that the
142.23debtor can reasonably meet the requirements of the proposed debt management plan
142.24and that there is a net tangible benefit to the debtor of entering into the proposed debt
142.25management plan; and
142.26 (4) prepared, in a form the debtor may keep, a written list identifying all known
142.27creditors of the debtor that the provider reasonably expects to participate in the plan
142.28and the creditors, including secured creditors, that the provider reasonably expects not
142.29to participate.
142.30 Subd. 3. Required terms. (a) Each debt management services agreement must
142.31contain the following terms, which must be disclosed prominently and clearly in bold print
142.32on the front page of the agreement, segregated by bold lines from all other information on
142.33the page:
142.34 (1) the fee amount to be paid by the debtor and whether the initial fee amount is
142.35refundable or nonrefundable;
143.1 (2) the monthly fee amount or percentage to be paid by the debtor; and
143.2 (3) the total amount of fees reasonably anticipated to be paid by the debtor over
143.3the term of the agreement.
143.4 (b) Each debt management services agreement must also contain the following:
143.5 (1) a disclosure that if the amount of debt owed is increased by interest, late fees,
143.6over the limit fees, and other amounts imposed by the creditors, the length of the debt
143.7management services agreement will be extended and remain in force and that the total
143.8dollar charges agreed upon may increase at the rate agreed upon in the original contract
143.9agreement;
143.10 (2) a prominent statement describing the terms upon which the debtor may cancel
143.11the contract as set forth in section 332A.11;
143.12 (3) a detailed description of all services to be performed by the debt management
143.13services provider for the debtor;
143.14 (4) the debt management services provider's refund policy; and
143.15 (5) the debt management services provider's principal business address and the name
143.16and address of its agent in this state authorized to receive service of process.
143.17 Subd. 4. Prohibited terms. The following terms shall not be included in the debt
143.18management services agreement:
143.19 (1) a hold harmless clause;
143.20 (2) a confession of judgment, or a power of attorney to confess judgment against the
143.21debtor or appear as the debtor in any judicial proceeding;
143.22 (3) a waiver of the right to a jury trial, if applicable, in any action brought by
143.23or against a debtor;
143.24 (4) an assignment of or an order for payment of wages or other compensation for
143.25services;
143.26 (5) a provision in which the debtor agrees not to assert any claim or defense arising
143.27out of the debt management services agreement;
143.28 (6) a waiver of any provision of this chapter or a release of any obligation required
143.29to be performed on the part of the debt management services provider; or
143.30 (7) a mandatory arbitration clause.
143.31 Subd. 5. New debt management services agreements; modification of existing
143.32agreements. (a) Separate and additional debt management services agreements that
143.33comply with this chapter may be entered into by the debt management services provider
143.34and the debtor provided that no additional initial fee may be charged by the debt
143.35management services provider.
144.1 (b) Any modification of an existing debt management services agreement, including
144.2any increase in the number or amount of debts included in the debt management service,
144.3must be in writing and signed by both parties. No fees, charges, or other consideration
144.4may be demanded from the debtor for the modification, other than an increase in the
144.5amount of the monthly maintenance fee established in the original debt management
144.6services agreement.
144.7EFFECTIVE DATE.This section is effective January 1, 2008.
144.8 Sec. 63. [332A.11] RIGHT TO CANCEL.
144.9 Subdivision 1. Debtor's right to cancel. A debtor has the right to cancel the debt
144.10management services agreement without cause at any time upon ten days' written notice to
144.11the debt management services provider. In the event of cancellation, the debt management
144.12services provider must, within ten days of the cancellation, notify the debtor's creditors of
144.13the cancellation and provide a refund of all unexpended funds paid by or for the debtor to
144.14the debt management services provider.
144.15 Subd. 2. Notice of debtor's right to cancel. A debt management services
144.16agreement must contain, on its face, in an easily readable typeface immediately adjacent
144.17to the space for signature by the debtor, the following notice: "Right To Cancel: You have
144.18the right to cancel this contract at any time on ten days' written notice."
144.19 Subd. 3. Automatic termination. Upon the payment of all listed debts and
144.20fees, the debt management services agreement must automatically terminate, and all
144.21unexpended funds paid by or for the debtor to the debt management services provider
144.22must be immediately returned to the debtor.
144.23 Subd. 4. Debt management services provider's right to cancel. A debt
144.24management services provider may cancel a debt management services agreement
144.25with good cause upon 30 days' written notice to the debtor. Within ten days after the
144.26cancellation, the debt management services provider must: (1) notify the debtor's creditors
144.27of the cancellation; and (2) return to the debtor all unexpended funds paid by or for the
144.28debtor.
144.29EFFECTIVE DATE.This section is effective January 1, 2008.
144.30 Sec. 64. [332A.12] BOOKS, RECORDS, AND INFORMATION.
144.31 Subdivision 1. Records retention. Every registrant must keep, and use in the
144.32registrant's business, such books, accounts, and records, including electronic records, as
144.33will enable the commissioner to determine whether the registrant is complying with this
145.1chapter and of the rules, orders, and directives adopted by the commissioner under this
145.2chapter. Every registrant must preserve such books, accounts, and records for at least six
145.3years after making the final entry on any transaction recorded therein. Examinations of
145.4the books, records, and method of operations conducted under the supervision of the
145.5commissioner shall be done at the cost of the registrant. The cost must be assessed as
145.6determined under section 46.131.
145.7 Subd. 2. Statements to debtors. Each registrant must maintain and must make
145.8available records and accounts that will enable each debtor to ascertain the amounts
145.9paid to the creditors of the debtor. A statement showing amounts received from the
145.10debtor, disbursements to each creditor, amounts which any creditor has agreed to accept
145.11as payment in full for any debt owed the creditor by the debtor, charges deducted by
145.12the registrant, and such other information as the commissioner may prescribe, must be
145.13furnished by the registrant to the debtor at least monthly and, in addition, upon any
145.14cancellation or termination of the contract. In addition to the statements required by this
145.15subdivision, each debtor must have reasonable access, without cost, by electronic or other
145.16means, to information in the registrant's files applicable to the debtor. These statements,
145.17records, and accounts must otherwise remain confidential except for duly authorized state
145.18and government officials, the commissioner, the attorney general, the debtor, and the
145.19debtor's representative and designees. Each registrant must prepare and retain in the file of
145.20each debtor a written analysis of the debtor's income and expenses to substantiate that the
145.21plan of payment is feasible and practicable.
145.22EFFECTIVE DATE.This section is effective January 1, 2008.
145.23 Sec. 65. [332A.13] FEES, PAYMENTS, AND CONSENT OF CREDITORS.
145.24 Subdivision 1. Origination fee; credit background report cost. The registrant
145.25may charge a nonrefundable origination fee of not more than $50, which may be retained
145.26by the registrant from the initial amount paid by the debtor to the registrant.
145.27 Subd. 2. Monthly maintenance fee. The registrant may charge a periodic fee for
145.28account maintenance or other purposes, but only if the fee is reasonable for the services
145.29provided and does exceed the lesser of 15 percent of the monthly payment amount or $75.
145.30 Subd. 3. Additional fees unauthorized. A registrant may not impose any fee or
145.31other charge or receive any funds or other payment other than the initial fee or monthly
145.32maintenance fee authorized by this section.
145.33 Subd. 4. Amount of periodic payments retained. The registrant may retain as
145.34payment for the fees authorized by this section no more than 15 percent of any periodic
145.35payment made to the registrant by the debtor. The remaining 85 percent must be disbursed
146.1to listed creditors under and in accordance with the debt management services agreement.
146.2No fees or charges may be received or retained by the registrant for any handling of
146.3recurring payments. Recurring payments include current rent, mortgage, utility, telephone,
146.4maintenance as defined in section 518.27, child support, insurance premiums, and such
146.5other payments as the commissioner may by rule prescribe.
146.6 Subd. 5. Advance payments. No fees or charges may be received or retained for
146.7any payments by the debtor made more than the following number of days in advance
146.8of the date specified in the debt management services agreement on which they are due:
146.9(1) 42 days in the case of contracts requiring monthly payments; (2) 15 days in the case
146.10of agreements requiring biweekly payments; or (3) seven days in the case of agreements
146.11requiring weekly payments. For those agreements which do not require payments in
146.12specified amounts, a payment is deemed an advance payment to the extent it exceeds
146.13twice the average regular payment previously made by the debtor under that contract. This
146.14subdivision does not apply when the debtor intends to use the advance payments to satisfy
146.15future payment of obligations due within 30 days under the contract. This subdivision
146.16supersedes any inconsistent provision of this chapter.
146.17 Subd. 6. Consent of creditors. A registrant must actively seek to obtain the consent
146.18of all creditors to the debt management services plan set forth in the debt management
146.19services agreement. Consent by a creditor may be express and in writing, or may be
146.20evidenced by acceptance of a payment made under the debt management services plan
146.21set forth in the contract. The registrant must notify the debtor within ten days after any
146.22failure to obtain the required consent and of the debtor's right to cancel without penalty.
146.23The notice must be in a form as the commissioner shall prescribe. Nothing contained in
146.24this section is deemed to require the return of any origination fee and any fees earned by
146.25the registrant prior to cancellation or default.
146.26 Subd. 7. Withdrawal of creditor. Whenever a creditor withdraws from a debt
146.27management services plan, or refuses to participate in a debt management services plan,
146.28the registrant must promptly notify the debtor of the withdrawal or refusal. In no case
146.29may this notice be provided more than 15 days after the debt management services plan
146.30learns of the creditor's decision to withdraw from or refuse to participate in a plan. This
146.31notice must include the identity of the creditor withdrawing from the plan, the amount of
146.32the monthly payment to that creditor, and the right of the debtor to cancel the agreement
146.33under section 332A.11.
146.34 Subd. 8. Payments held in trust. The registrant must maintain a separate trust
146.35account and deposit in the account all payments received from the moment that they are
146.36received, except that the registrant may commingle the payment with the registrant's
147.1own property or funds, but only to the extent necessary to ensure the maintenance of a
147.2minimum balance if the financial institution at which the trust account is held requires
147.3a minimum balance to avoid the assessment of fees or penalties for failure to maintain
147.4a minimum balance. All disbursements, whether to the debtor or to the creditors of the
147.5debtor, or to the registrant, must be made from such account.
147.6 Subd. 9. Timely payment of creditors. The registrant must disburse any funds
147.7paid by or on behalf of a debtor to creditors of the consumer within 42 days after receipt
147.8of the funds, or earlier if necessary to comply with the due date in the contract between
147.9the debtor and the creditor, unless the reasonable payment of one or more of the debtor's
147.10obligations requires that the funds be held for a longer period so as to accumulate a sum
147.11certain, or where the debtor's payment is returned for insufficient funds or other reason
147.12that makes the withholding of such payments in the net interest of the debtor.
147.13EFFECTIVE DATE.This section is effective January 1, 2008.
147.14 Sec. 66. [332A.14] PROHIBITIONS.
147.15 A registrant shall not:
147.16 (1) purchase from a creditor any obligation of a debtor;
147.17 (2) use, threaten to use, seek to have used, or seek to have threatened the use of any
147.18legal process, including but not limited to garnishment and repossession of personal
147.19property, against any debtor while the debt management services agreement between the
147.20registrant and the debtor remains executory;
147.21 (3) advise a debtor to stop paying a creditor until a debt management services plan is
147.22in place;
147.23 (4) require as a condition of performing debt management services the purchase of
147.24any services, stock, insurance, commodity, or other property or any interest therein either
147.25by the debtor or the registrant;
147.26 (5) compromise any debts unless the prior written approval of the debtor has been
147.27obtained to such compromise and unless such compromise inures solely to the benefit
147.28of the debtor;
147.29 (6) receive from any debtor as security or in payment of any fee a promissory note
147.30or other promise to pay or any mortgage or other security, whether as to real or personal
147.31property;
147.32 (7) lend money or provide credit to any debtor if any interest or fee is charged,
147.33or directly or indirectly collect any fee for referring, advising, procuring, arranging, or
147.34assisting a consumer in obtaining any extension of credit or other debtor service from a
147.35lender or services provider;
148.1 (8) structure a debt management services agreement that would result in negative
148.2amortization of any debt in the plan;
148.3 (9) engage in any unfair, deceptive, or unconscionable act or practice in connection
148.4with any service provided to any debtor;
148.5 (10) offer, pay, or give any material cash fee, gift, bonus, premium, reward, or other
148.6compensation to any person for referring any prospective customer to the registrant or for
148.7enrolling a debtor in a debt management services plan, or provide any other incentives
148.8for employees or agents of the debt management services provider to induce debtors to
148.9enter into a debt management plan;
148.10 (11) receive any cash, fee, gift, bonus, premium, reward, or other compensation
148.11from any person other than the debtor or a person on the debtor's behalf in connection
148.12with activities as a registrant, provided that this paragraph does not apply to a registrant
148.13which is a bona fide nonprofit corporation duly organized under chapter 317A or under
148.14the similar laws of another state;
148.15 (12) enter into a contract with a debtor unless a thorough written budget analysis
148.16indicates that the debtor can reasonably meet the requirements of the financial adjustment
148.17plan and will be benefited by the plan;
148.18 (13) in any way charge or purport to charge or provide any debtor credit insurance in
148.19conjunction with any contract or agreement involved in the debt management services
148.20plan;
148.21 (14) operate or employ a person who is an employee or owner of a collection agency
148.22or process-serving business; or
148.23 (15) require or attempt to require payment of a sum that the registrant states,
148.24discloses, or advertises to be a voluntary contribution from the debtor.
148.25EFFECTIVE DATE.This section is effective January 1, 2008.
148.26 Sec. 67. [332A.16] ADVERTISEMENT OF DEBT MANAGEMENT SERVICES
148.27PLANS.
148.28 No debt management services provider may make false, deceptive, or misleading
148.29statements or omissions about the rates, terms, or conditions of an actual or proposed
148.30debt management services plan or its debt management services, or create the likelihood
148.31of consumer confusion or misunderstanding regarding its services, including but not
148.32limited to the following:
148.33 (1) represent that the debt management services provider is a nonprofit, not-for-profit,
148.34or has similar status or characteristics if some or all of the debt management services will
149.1be provided by a for-profit company that is a controlling or affiliated party to the debt
149.2management services provider; or
149.3 (2) make any communication that gives the impression that the debt management
149.4services provider is acting on behalf of a government agency.
149.5EFFECTIVE DATE.This section is effective January 1, 2008.
149.6 Sec. 68. [332A.17] DEBT MANAGEMENT SERVICES AGREEMENT
149.7RESCISSION.
149.8 Any debtor has the right to rescind any debt management services agreement with
149.9a debt management services provider that commits a material violation of this chapter.
149.10On rescission, all fees paid to the debt management services provider or any other person
149.11other than creditors of the debtor must be returned to the debtor entering into the debt
149.12management services agreement within ten days of rescission of the debt management
149.13services agreement.
149.14EFFECTIVE DATE.This section is effective January 1, 2008.
149.15 Sec. 69. [332A.18] ENFORCEMENT; REMEDIES.
149.16 Subdivision 1. Violation a deceptive practice. A violation of any of the provisions
149.17of this chapter is considered an unfair or deceptive trade practice under section 8.31,
149.18subdivision 1. A private right of action under section 8.31 by an aggrieved debtor is in
149.19the public interest.
149.20 Subd. 2. Private right of action. (a) A debt management services provider who
149.21fails to comply with any of the provisions of this chapter is liable under this section in
149.22an individual action for the sum of: (i) actual, incidental, and consequential damages
149.23sustained by the debtor as a result of the failure; and (ii) statutory damages of up to $1,000.
149.24 (b) A debt management services provider who fails to comply with any of the
149.25provisions of this chapter is liable under this section in a class action for the sum of: (i) the
149.26amount that each named plaintiff could recover under paragraph (a), clause (i); and (ii)
149.27such amount as the court may allow for all other class members.
149.28 (c) In determining the amount of statutory damages, the court shall consider, among
149.29other relevant factors:
149.30 (1) the frequency, nature, and persistence of noncompliance;
149.31 (2) the extent to which the noncompliance was intentional; and
149.32 (3) in the case of a class action, the number of debtors adversely affected.
150.1 (d) A plaintiff or class successful in a legal or equitable action under this section is
150.2entitled to the costs of the action, plus reasonable attorney fees.
150.3 Subd. 3. Injunctive relief. A debtor may sue a debt management services provider
150.4for temporary or permanent injunctive or other appropriate equitable relief to prevent
150.5violations of any provision of this chapter. A court must grant injunctive relief on a
150.6showing that the debt management services provider has violated any provision of this
150.7chapter, or in the case of a temporary injunction, on a showing that the debtor is likely to
150.8prevail on allegations that the debt management services provider violated any provision
150.9of this chapter.
150.10 Subd. 4. Remedies cumulative. The remedies provided in this section are
150.11cumulative and do not restrict any remedy that is otherwise available. The provisions
150.12of this chapter are not exclusive and are in addition to any other requirements, rights,
150.13remedies, and penalties provided by law.
150.14 Subd. 5. Public enforcement. The attorney general shall enforce this chapter
150.15under section 8.31.
150.16EFFECTIVE DATE.This section is effective January 1, 2008.
150.17 Sec. 70. [332A.19] INVESTIGATION.
150.18 The commissioner may examine the books and records of every registrant and of
150.19any person engaged in the business of providing debt management services as defined in
150.20section 332A.02 at any reasonable time. The commissioner once during any calendar year
150.21may require the submission of an audit prepared by a certified public accountant of the
150.22books and records of each registrant. If the registrant has, within one year previous to the
150.23commissioner's demand, had an audit prepared for some other purpose, this audit may be
150.24submitted to satisfy the requirement of this section. The commissioner may investigate
150.25any complaint concerning violations of this chapter and may require the attendance and
150.26sworn testimony of witnesses and the production of documents.
150.27EFFECTIVE DATE.This section is effective January 1, 2008.
150.28 Sec. 71. LICENSE RENEWAL EXTENSION.
150.29 The July 31, 2007, renewal date for mortgage originators is extended to October 30,
150.302007, because of the changes to the licensing requirements made by this article.
150.31 Sec. 72. REPEALER.
151.1(a) Minnesota Statutes 2006, sections 46.043; 47.62, subdivision 5; and 58.08,
151.2subdivision 1, are repealed.
151.3(b) Minnesota Statutes 2006, sections 332.12; 332.13; 332.14; 332.15; 332.16;
151.4332.17; 332.18; 332.19; 332.20; 332.21; 332.22; 332.23; 332.24; 332.25; 332.26; 332.27;
151.5332.28; and 332.29, are repealed effective January 1, 2008.
151.8 Section 1. [1.1499] STATE ENERGY CITY.
151.9 The city of Elk River is designated as the state energy city.
151.10 Sec. 2. [16C.141] EMPLOYEE SUGGESTIONS; ENERGY SAVINGS
151.11INCENTIVE PROGRAM.
151.12 Subdivision 1. Creation of program. The commissioner of administration must
151.13implement a program using best practices and develop policies under which state
151.14employees may receive cash awards for making suggestions that result in documented cost
151.15savings to state agencies from reduced energy usage in state-owned buildings. The cash
151.16awards must be an amount equal to half the amount of the energy costs saved by agencies
151.17in the year immediately following the implementation of the employee suggestion, up to
151.18$1,000 per suggestion. The program must include methods for documenting submission
151.19of suggestions and for documenting savings achieved as a result of these suggestions.
151.20 Subd. 2. Funding. To the extent necessary to fund the program under this section,
151.21the commissioner of administration, with approval of the commissioner of finance, may
151.22transfer a portion of the documented cost savings resulting from a suggestion under this
151.23section from the general services revolving fund to an energy savings reward account.
151.24Money in the energy savings reward account is appropriated to the commissioner for
151.25purposes of making cash rewards and paying the commissioner's incentive program
151.26developments costs and administrative expenses under this section.
151.27 Subd. 3. Report to legislature. The commissioner of administration shall report to
151.28the chairs of the senate and house of representatives committees with jurisdiction over
151.29energy policy by January 1, 2008, on the development of the incentive program, and
151.30by January 15 each year thereafter on the implementation of this section, including the
151.31ideas submitted and energy savings realized.
151.32 Subd. 4. Minnesota State Colleges and Universities. This section does not apply to
151.33the Minnesota State Colleges and Universities, except to the extent the Board of Trustees
151.34of the Minnesota State Colleges and Universities provides that the section does apply.
152.1 Subd. 5. Repeal. This section is repealed July 1, 2009.
152.2 Sec. 3. Minnesota Statutes 2006, section 116C.779, subdivision 2, is amended to read:
152.3 Subd. 2. Renewable energy production incentive. (a) Until January 1, 2018, up to
152.4
152.5to fund renewable energy production incentives and on-farm biogas recovery facility
152.6grants. $9,400,000 of this annual amount is for incentives for up to 200 megawatts of
152.7electricity generated by wind energy conversion systems that are eligible for the incentives
152.8under section
152.9annually
152.10and landfill gas recovery facilities that are eligible for the incentive under section
152.11or for production incentives for other renewables, to be provided in the same manner
152.12as under section
152.13production incentives for landfill gas recovery facilities. Up to $1,000,000 may be used
152.14for grants for qualified on-farm biogas recovery facilities as provided in section 216C.42.
152.15Any portion of the
152.16incentive is available for other spending purposes under this section. This subdivision
152.17does not create an obligation to contribute funds to the account.
152.18 (b) The Department of Commerce shall determine eligibility of projects under
152.19section
152.20Commerce shall notify the public utility of the name and address of each eligible project
152.21owner and the amount due to each project under section
152.22make payments within 15 working days after receipt of notification of payments due.
152.23 Sec. 4. Minnesota Statutes 2006, section 216B.241, subdivision 6, is amended to read:
152.24 Subd. 6. Renewable energy research. (a) A public utility that owns a nuclear
152.25generation facility in the state shall spend five percent of the total amount that utility
152.26is required to spend under this section to support basic and applied research and
152.27demonstration activities at the University of Minnesota Initiative for Renewable Energy
152.28and the Environment for the development of renewable energy sources and technologies.
152.29The utility shall transfer the required amount to the University of Minnesota on or before
152.30July 1 of each year and that annual amount shall be deducted from the amount of money the
152.31utility is required to spend under this section. The University of Minnesota shall transfer
152.32at least ten percent of these funds to at least one rural campus or experiment station.
152.33 (b)
152.34not limited to:
153.1
153.2
153.3
153.4
153.5
153.6
153.7
153.8
153.9
153.10
153.11 (1) environmentally sound production of energy from a renewable energy source
153.12including biomass;
153.13 (2) environmentally sound production of hydrogen from biomass and any other
153.14renewable energy source for energy storage and energy utilization;
153.15 (3) development of energy conservation and efficient energy utilization technologies;
153.16 (4) energy storage technologies; and
153.17 (5) analysis of policy options to facilitate adoption of technologies that use or
153.18produce a renewable energy source.
153.19 (c) Notwithstanding other law to the contrary, the utility may, but is not required to,
153.20spend more than two percent of its gross operating revenues from service provided in this
153.21state under this section or section
153.22 (d) For the purposes of this subdivision:
153.23 (1) "renewable energy source: means hydro, wind, solar, biomass and geothermal
153.24energy, and microorganisms used as an energy source; and
153.25 (2) "biomass" means plant and animal material, agricultural and forest residues,
153.26mixed municipal solid waste, and sludge from wastewater treatment.
153.27 (e) This subdivision expires June 30,
153.28 Sec. 5. Minnesota Statutes 2006, section 216B.812, subdivision 1, is amended to read:
153.29 Subdivision 1. Early purchase and deployment of renewable hydrogen, fuel
153.30cells, and related technologies by the state. (a) The Department of Commerce, in
153.31
153.32Agency, shall identify opportunities for
153.33hydrogen, fuel cells, and related technologies within state-owned facilities, vehicle fleets,
153.34and operations in ways that demonstrate their commercial performance and economics.
154.1 (b) The Department of Commerce shall recommend to the Department of
154.2Administration
154.3fuel cells, and related technologies, when feasible, in ways that strategically contribute
154.4to realizing Minnesota's hydrogen economy goal as set forth in section
154.5which contribute to the following nonexclusive list of objectives:
154.6 (1) provide needed performance data to the marketplace;
154.7 (2) identify code and regulatory issues to be resolved;
154.8 (3) foster economic development and job creation in the state;
154.9 (4) raise public awareness of renewable hydrogen, fuel cells, and related
154.10technologies; or
154.11 (5) reduce emissions of carbon dioxide and other pollutants.
154.12 (c) The Department of Commerce and the Pollution Control Agency shall also
154.13recommend to the Department of Administration changes to the state's procurement
154.14guidelines and contracts in order to facilitate the purchase and deployment of cost-effective
154.15renewable hydrogen, fuel cells, and related technologies by all levels of government.
154.16 Sec. 6. Minnesota Statutes 2006, section 216B.812, subdivision 2, is amended to read:
154.17 Subd. 2. Pilot projects. (a) In consultation with appropriate representatives from
154.18state agencies, local governments, universities, businesses, and other interested parties,
154.19the Department of Commerce shall report back to the legislature by November 1, 2005,
154.20and every two years thereafter, with a slate of proposed pilot projects that contribute to
154.21realizing Minnesota's hydrogen economy goal as set forth in section
154.22Department of Commerce must consider the following nonexclusive list of priorities in
154.23developing the proposed slate of pilot projects:
154.24 (1)
154.25fleet vehicles running on hydrogen or fuels blended with hydrogen;
154.26 (2)
154.27technologies;
154.28 (3) demonstrate nonvehicle applications for hydrogen;
154.29 (4) improve the cost and efficiency of hydrogen from renewable energy sources; and
154.30 (5) improve the cost and efficiency of hydrogen production using direct solar energy
154.31without electricity generation as an intermediate step.
154.32 (b) For
154.33component, individual system components of the technology
154.34commercial performance standards and systems modeling must be completed to predict
155.1commercial performance, risk, and synergies. In addition, the proposed pilots should meet
155.2as many of the following criteria as possible:
155.3 (1) advance energy security;
155.4 (2) capitalize on the state's native resources;
155.5 (3) result in economically competitive infrastructure being put in place;
155.6 (4) be located where it will link well with existing and related projects and be
155.7accessible to the public, now or in the future;
155.8 (5) demonstrate multiple, integrated aspects of renewable hydrogen infrastructure;
155.9 (6) include an explicit public education and awareness component;
155.10 (7) be scalable to respond to changing circumstances and market demands;
155.11 (8) draw on firms and expertise within the state where possible;
155.12 (9) include an assessment of its economic, environmental, and social impact; and
155.13 (10) serve other needs beyond hydrogen development.
155.14 Sec. 7. [216B.813] MINNESOTA RENEWABLE HYDROGEN INITIATIVE.
155.15 Subdivision 1. Road map. The Department of Commerce shall coordinate and
155.16administer directly or by contract the Minnesota renewable hydrogen initiative. If the
155.17department decides to contract for its duties under this section, it must contract with a
155.18nonpartisan, nonprofit organization within the state to develop the road map. The initiative
155.19may be run as a public-private partnership representing business, academic, governmental,
155.20and nongovernmental organizations. The initiative must oversee the development and
155.21implementation of a renewable hydrogen road map, including appropriate technology
155.22deployments, that achieve the hydrogen goal of section 216B.013. The road map should
155.23be compatible with the United States Department of Energy's National Hydrogen Energy
155.24Roadmap and be based on an assessment of marketplace economics and the state's
155.25opportunities in hydrogen, fuel cells, and related technologies, so as to capitalize on
155.26strengths. The road map should establish a vision, goals, general timeline, strategies for
155.27working with industry, and measurable milestones for achieving the state's renewable
155.28hydrogen goal. The road map should describe how renewable hydrogen and fuel cells fit
155.29in Minnesota's overall energy system, and should help foster a consistent, predictable, and
155.30prudent investment environment. The department must report to the legislature on the
155.31progress in implementing the road map by November 1 of each odd-numbered year.
155.32 Subd. 2. Grants. (a) The commissioner of commerce shall operate a competitive
155.33grant program for projects to assist the state in attaining its renewable hydrogen energy
155.34goals. The commissioner of commerce shall assemble an advisory committee made up of
155.35industry, university, government, and nongovernment organizations to:
156.1 (1) help identify the most promising technology deployment projects for public
156.2investment;
156.3 (2) advise on the technical specifications for those projects; and
156.4 (3) make recommendations on project grants.
156.5 (b) The commissioner shall give preference to project concepts included in the
156.6department's most recent biennial report: Strategic Demonstration Projects to Accelerate
156.7the Commercialization of Renewable Hydrogen and Related Technologies in Minnesota.
156.8Projects eligible for funding must combine one or more of the hydrogen production
156.9options listed in the department's report with an end use that has significant commercial
156.10potential, preferably high visibility, and relies on fuel cells or related technologies. Each
156.11funded technology deployment must include an explicit education and awareness-raising
156.12component, be compatible with the renewable hydrogen deployment criteria defined in
156.13section 216B.812, and receive 50 percent of its total cost from nonstate sources. The 50
156.14percent requirement does not apply for recipients that are public institutions.
156.15 Sec. 8. Minnesota Statutes 2006, section 216C.051, subdivision 2, is amended to read:
156.16 Subd. 2. Establishment. (a) There is established a Legislative Electric Energy Task
156.17Force to study future electric energy sources and costs and to make recommendations
156.18for legislation for an environmentally and economically sustainable and advantageous
156.19electric energy supply.
156.20 (b) The task force consists of:
156.21 (1) ten members of the house of representatives including the chairs of the
156.22Environment and Natural Resources Committee and
156.23the Energy Finance and Policy Division and eight members to be appointed by the speaker
156.24of the house, four of whom must be from the minority caucus; and
156.25 (2) ten members of the senate including the chairs of the Environment, Energy and
156.26Natural Resources Budget Division and
156.27Utilities, Technology and Communications committees and eight members to be appointed
156.28by the Subcommittee on Committees, four of whom must be from the minority caucus.
156.29 (c) The task force may employ staff, contract for consulting services, and may
156.30reimburse the expenses of persons requested to assist it in its duties other than state
156.31employees or employees of electric utilities. The director of the Legislative Coordinating
156.32Commission shall assist the task force in administrative matters. The task force shall
156.33elect cochairs, one member of the house and one member of the senate from among the
156.34committee and subcommittee chairs named to the committee. The task force members
157.1from the house shall elect the house cochair, and the task force members from the senate
157.2shall elect the senate cochair.
157.3 Sec. 9. Minnesota Statutes 2006, section 216C.051, subdivision 9, is amended to read:
157.4 Subd. 9. Expiration. This section is repealed June 30,
157.5EFFECTIVE DATE.This section is effective the day following final enactment.
157.6 Sec. 10. [216C.385] CLEAN ENERGY RESOURCE TEAMS.
157.7 Subdivision 1. Findings. The legislature finds that community-based energy
157.8programs are an effective means of implementing improved energy practices including
157.9conservation, greater efficiency in energy use, and the production and use of renewable
157.10resources such as wind, solar, biomass, and biofuels. Further, community-based energy
157.11programs are found to be a public purpose for which public money may be spent.
157.12 Subd. 2. Mission, organization, and membership. The Clean Energy Resource
157.13Teams (CERT's) project is an innovative state, university, and nonprofit partnership that
157.14serves as a catalyst for community energy planning and projects. The mission of CERT's
157.15is to give citizens a voice in the energy planning process by connecting them with the
157.16necessary technical resources to identify and implement community-scale renewable
157.17energy and energy efficiency projects. In 2003, the Department of Commerce designated
157.18the CERT's project as a statewide collaborative venture and recognized six regional teams
157.19based on their geography: Central, Northeast, Northwest, Southeast, Southwest, and
157.20West-Central. Membership of CERT's may include but is not limited to representatives
157.21of utilities; federal, state, and local governments; small business; labor; senior citizens;
157.22academia; and other interested parties. The Department of Commerce may certify
157.23additional Clean Energy Resource Teams by regional geography, including teams in
157.24the Twin Cities metropolitan area.
157.25 Subd. 3. Powers and duties. In order to develop and implement community-based
157.26energy programs, a Clean Energy Resource Team may:
157.27 (1) analyze social and economic impacts caused by energy expenditures;
157.28 (2) analyze regional renewable and energy efficiency resources and opportunities;
157.29 (3) link community members and community energy projects to the knowledge
157.30and capabilities of the University of Minnesota, the State Energy Office, nonprofit
157.31organizations, and regional community members, among others;
157.32 (4) plan, set priorities for, provide technical assistance to, and catalyze local energy
157.33efficiency and renewable energy projects that help to meet state energy policy goals and
157.34maximize local economic development opportunities;
158.1 (5) provide a broad-based resource and communications network that links local,
158.2county, and regional energy efficiency and renewable energy project efforts around the
158.3state (both interregional and intraregional);
158.4 (6) seek, accept, and disburse grants and other aids from public or private sources
158.5for purposes authorized in this subdivision;
158.6 (7) provides a convening and networking function within CERT's regions to facilitate
158.7education, knowledge formation, and project replication; and
158.8 (8) exercise other powers and duties imposed on it by statute, charter, or ordinance.
158.9 Subd. 4. Department assistance. The commissioner, via the Clean Energy
158.10Resource Teams, may provide professional, technical, organizational, and financial
158.11assistance to regions and communities to develop and implement community energy
158.12programs and projects, within available resources.
158.13 Sec. 11. [216C.39] RURAL WIND ENERGY DEVELOPMENT REVOLVING
158.14LOAN FUND.
158.15 Subdivision 1. Establishment. A rural wind energy development revolving loan
158.16fund is established as an account in the special revenue fund in the state treasury. The
158.17commissioner of finance shall credit to the account the amounts authorized under this
158.18section and appropriations and transfers to the account. Earnings, such as interest,
158.19dividends, and any other earnings arising from fund assets, must be credited to the account.
158.20 Subd. 2. Purpose. The rural wind energy development revolving loan fund
158.21is created to provide financial assistance, through partnership with local owners and
158.22communities, in developing community wind energy projects that meet the specifications
158.23of section 216B.1612, subdivision 2, paragraph (f).
158.24 Subd. 3. Expenditures. Money in the fund is appropriated to the commissioner
158.25of commerce, and may be used to make loans to qualifying owners of wind energy
158.26projects, as defined in section 216B.1612, subdivision 2, paragraph (f), to assist in funding
158.27wind studies and transmission interconnection studies. The loans must be structured for
158.28repayment within 30 days after the project begins commercial operations or two years
158.29from the date the loan is issued, whichever is sooner.
158.30 Subd. 4. Limitations. A loan may not be approved for an amount exceeding
158.31$100,000. This limit applies to all money loaned to a single project or single entity,
158.32whether paid to one or more qualifying owners and whether paid in one or more fiscal
158.33years.
158.34 Subd. 5. Administration; eligible projects. (a) Applications for a loan under
158.35this section must be made in a manner and on forms prescribed by the commissioner.
159.1Loans to eligible projects must be made in the order in which complete applications are
159.2received by the commissioner. Loan funds must be disbursed to an applicant within ten
159.3days of submission of a payment request by the applicant that demonstrates a payment
159.4due to the Midwest Independent System Operator. Interest payable on the loan amount
159.5may not exceed 1.5 percent per annum.
159.6 (b) A project is eligible for a loan under this program if:
159.7 (1) the project has completed an adequate interconnection feasibility study that
159.8indicates the project may be interconnected with system upgrades of less than ten percent
159.9of the estimated project costs;
159.10 (2) the project has a signed power purchase agreement with an electric utility or
159.11provides evidence that the project is under serious consideration for such an agreement by
159.12an electric utility;
159.13 (3) the ownership and structure of the project allows it to qualify as a
159.14community-based energy development (C-BED) project under section 216B.1612, and the
159.15developer commits to obtaining and maintaining C-BED status; and
159.16 (4) the commissioner has determined that sufficient funds are available to make a
159.17loan to the project.
159.18 Sec. 12. Minnesota Statutes 2006, section 216C.41, subdivision 1, is amended to read:
159.19 Subdivision 1. Definitions. (a) Unless otherwise provided, the definitions in this
159.20subdivision apply to this section.
159.21 (b) "Qualified hydroelectric facility" means a hydroelectric generating facility in
159.22this state that:
159.23 (1) is located at the site of a dam, if the dam was in existence as of March 31,
159.241994; and
159.25 (2) begins generating electricity after July 1, 1994, or generates electricity after
159.26substantial refurbishing of a facility that begins after July 1, 2001.
159.27 (c) "Qualified wind energy conversion facility" means a wind energy conversion
159.28system in this state that:
159.29 (1) produces two megawatts or less of electricity as measured by nameplate rating
159.30and begins generating electricity after December 31, 1996, and before July 1, 1999;
159.31 (2) begins generating electricity after June 30, 1999, produces two megawatts or
159.32less of electricity as measured by nameplate rating, and is:
159.33 (i) owned by a resident of Minnesota or an entity that is organized under the laws
159.34of this state, is not prohibited from owning agricultural land under section
159.35owns the land where the facility is sited;
160.1 (ii) owned by a Minnesota small business as defined in section
160.2 (iii) owned by a Minnesota nonprofit organization;
160.3 (iv) owned by a tribal council if the facility is located within the boundaries of
160.4the reservation;
160.5 (v) owned by a Minnesota municipal utility or a Minnesota cooperative electric
160.6association; or
160.7 (vi) owned by a Minnesota political subdivision or local government, including,
160.8but not limited to, a county, statutory or home rule charter city, town, school district, or
160.9any other local or regional governmental organization such as a board, commission, or
160.10association; or
160.11 (3) begins generating electricity after June 30, 1999, produces seven megawatts or
160.12less of electricity as measured by nameplate rating, and:
160.13 (i) is owned by a cooperative organized under chapter 308A other than a Minnesota
160.14cooperative electric association; and
160.15 (ii) all shares and membership in the cooperative are held by an entity that is not
160.16prohibited from owning agricultural land under section
160.17 (d) "Qualified on-farm biogas recovery facility" means an anaerobic digester system
160.18that:
160.19 (1) is located at the site of an agricultural operation; and
160.20 (2) is owned by an entity that is not prohibited from owning agricultural land under
160.21section
160.22 (e) "Anaerobic digester system" means a system of components that processes
160.23animal waste based on the absence of oxygen and produces gas used to generate electricity.
160.24 (f) "Qualified landfill gas recovery facility" means a landfill that is operating or
160.25closed, that generates gas from the decomposition of organic matter, and that installs a
160.26system to collect the gas after July 1, 2007.
160.27 Sec. 13. Minnesota Statutes 2006, section 216C.41, subdivision 2, is amended to read:
160.28 Subd. 2. Incentive payment; appropriation. (a) Incentive payments must be made
160.29according to this section to (1) a qualified on-farm biogas recovery facility, (2) the owner
160.30or operator of a qualified hydropower facility or qualified wind energy conversion facility
160.31for electric energy generated and sold by the facility, (3) a publicly owned hydropower
160.32facility for electric energy that is generated by the facility and used by the owner of the
160.33facility outside the facility,
160.34substantial repair, for electric energy that is generated by a hydropower facility at the
160.35dam and the annual incentive payments will be used to fund the structural repairs and
161.1replacement of structural components of the dam, or to retire debt incurred to fund those
161.2repairs, or (5) a qualified landfill gas recovery facility.
161.3 (b) Payment may only be made upon receipt by the commissioner of commerce of
161.4an incentive payment application that establishes that the applicant is eligible to receive an
161.5incentive payment and that satisfies other requirements the commissioner deems necessary.
161.6The application must be in a form and submitted at a time the commissioner establishes.
161.7 (c) There is annually appropriated from the renewable development account
161.8under section
161.9payments required under this section, in addition to the amounts funded by the renewable
161.10development account as specified in subdivision 5a.
161.11 Sec. 14. Minnesota Statutes 2006, section 216C.41, subdivision 3, is amended to read:
161.12 Subd. 3. Eligibility window. Payments may be made under this section only for:
161.13 (a) electricity generated from:
161.14 (1)
161.15electricity before December 31, 2009;
161.16 (2)
161.17generating electricity before January 1, 2008; or
161.18 (3)
161.19December 31, 2017; and
161.20 (b) gas generated from:
161.21 (1) a qualified on-farm biogas recovery facility from July 1, 2007, through December
161.2231, 2017; or
161.23 (2) a qualified landfill gas recovery facility from July 1, 2007, through December
161.2431, 2017.
161.25 Sec. 15. [216C.42] ON-FARM BIOGAS RECOVERY GRANTS.
161.26 Subdivision 1. Definitions. For the purpose of this section, the following terms
161.27have the meanings given.
161.28 (a) "Qualified on-farm biogas recovery facility" means an anaerobic digester system
161.29that:
161.30 (1) is located at the site of an agricultural operation;
161.31 (2) is owned by an entity that is not prohibited from owning agricultural land under
161.32section 500.24 and that owns or rents the land where the facility is located; and
161.33 (3) is owned by a qualified owner as defined in section 216B.1612, subdivision 2,
161.34paragraph (c).
162.1 (b) "Anaerobic digester system" means a system of components that processes
162.2animal waste based on the absence of oxygen and produces gas.
162.3 (c) "Commissioner" means the commissioner of agriculture.
162.4 Subd. 2. Eligibility. Subject to the availability of funds, the commissioner must
162.5approve grants to a qualified owner of a qualified on-farm biogas recovery facility for the
162.6total installed costs of capital investments associated with the facility, up to a maximum of
162.7$500,000.
162.8 Subd. 3. Application. Application for a grant under this section must be made by a
162.9qualified owner to the commissioner on a form the commissioner prescribes by rule. The
162.10commissioner must review each application to determine:
162.11 (1) whether the application is complete;
162.12 (2) whether the information, calculations, and estimates contained in the application
162.13are appropriate, accurate, and reasonable;
162.14 (3) whether the project is eligible for a grant;
162.15 (4) the amount of the grant for which the project is eligible; and
162.16 (5) other funding sources the owner proposes to use to finance the project in addition
162.17to a grant authorized by this section.
162.18An applicant may submit only one grant application each year under this section.
162.19 Subd. 4. Additional information. During application review, the commissioner
162.20may request additional information about a proposed project, including information on
162.21project cost. Failure to provide information requested disqualifies a grant application.
162.22 Subd. 5. Public accessibility of grant application data. Data contained in an
162.23application submitted to the commissioner for a grant under this section, including
162.24supporting technical documentation, is classified as public data not on individuals under
162.25section 13.02, subdivision 14.
162.26 Subd. 6. Rules. The commissioner must adopt rules necessary to implement this
162.27section. The rules must contain at a minimum:
162.28 (1) standards for project eligibility;
162.29 (2) criteria for reviewing grant applications; and
162.30 (3) procedures and guidelines for program monitoring and evaluation.
162.31 Subd. 7. Right of first refusal. A utility that provides electric service at retail in
162.32the area where the qualified on-farm biogas recovery facility is located has the right of
162.33first refusal for any gas produced by a qualified on-farm biogas recovery facility that has
162.34received a grant under this section. A utility's right of first refusal expires if:
163.1 (1) within 45 days after the qualified owner files an incentive payment application
163.2with the commissioner of commerce, the utility fails to send a letter of intent to the
163.3qualified owner indicating the utility's willingness to negotiate a purchase agreement; or
163.4 (2) the parties enter negotiations but fail to reach agreement within 120 days after
163.5the qualified owner files an incentive payment application with the commissioner of
163.6commerce.
163.7 Subd. 8. Eligibility toward renewable energy objective and standard. Any gas
163.8generated by a qualified on-farm biogas recovery facility awarded a grant under this
163.9section that is purchased by a utility may be counted toward the utility's renewable energy
163.10objective and standard under section 216B.1691.
163.11 Subd. 9. Appropriation. Up to $1,000,000 is appropriated annually from the
163.12renewable development account through fiscal year 2015 to the commissioner of
163.13agriculture for the purpose of providing grants to qualified on-farm biogas recovery
163.14facilities.
163.15 Sec. 16. [561.20] NUISANCE LIABILITY OF WIND ENERGY CONVERSION
163.16SYSTEMS.
163.17 Subdivision 1. Definition. For the purposes of this section, "wind energy conversion
163.18system" has the meaning given in section 216C.06.
163.19 Subd. 2. Wind energy conversion system not a nuisance. (a) A wind energy
163.20conversion system is not and does not become a private or public nuisance after two years
163.21from the date it begins generating electricity as a matter of law if the system:
163.22 (1) complies with all applicable federal, state, or county laws, regulations, rules, and
163.23ordinances and any permits issued for it; and
163.24 (2) operates according to generally accepted practices.
163.25 (b) For a period of two years from the date it begins generating electricity, there is
163.26a rebuttable presumption that a wind energy conversion system in compliance with the
163.27requirements of paragraph (a) is not a public or private nuisance.
163.28 (c) This subdivision does not apply:
163.29 (1) to any prosecution for the crime of public nuisance as provided in section
163.30609.74 or to an action by a public authority to abate a particular condition that is a public
163.31nuisance; or
163.32 (2) to any enforcement action brought by a local unit of government related to
163.33zoning under chapter 394 or 462.
163.34 Subd. 3. Existing contracts. This section must not be construed to invalidate any
163.35contracts or commitments made before the effective date of this section.
164.1 Subd. 4. Severability. If a provision of this section, or application thereof to any
164.2person or set of circumstances, is held invalid or unconstitutional, the invalidity does not
164.3affect other provisions or applications of this section that can be given effect without the
164.4invalid provision or application. To that end, the provisions of this section are declared to
164.5be severable.
164.6EFFECTIVE DATE.This section is effective the day following final enactment.
164.7 Sec. 17. PETROLEUM VIOLATION ESCROW FUNDS.
164.8 (a) Petroleum violation escrow funds appropriated to the commissioner of commerce
164.9by Laws 1988, chapter 686, article 1, section 38, for state energy loan programs for
164.10schools, hospitals, and public buildings must be used for grants to kindergarten through
164.11grade 12 schools to develop energy conservation or renewable energy projects. A grant
164.12may not exceed $500,000. The commissioner must endeavor to award grants throughout
164.13the regions of the state. No more than one grant may be awarded in a county, unless an
164.14insufficient number of applications is received from schools located in other counties to
164.15exhaust available funds.
164.16 (b) The commissioner of commerce must petition the federal Department of Energy
164.17for a waiver from any federal regulation that limits the proportion of federal funds
164.18expended on state energy programs that may be spent on energy efficiency.
164.19 (c) For purposes of this subdivision, "renewable energy" means wind, solar,
164.20hydroelectric with a capacity of less than 60 megawatts, geothermal, hydrogen, fuel cells
164.21made from renewable resources, herbaceous crops, agricultural crops, agricultural waste,
164.22and aquatic plant matter.
164.23EFFECTIVE DATE.This section is effective the day after the commissioner of
164.24commerce receives the waiver described in paragraph (b).
164.25 Sec. 18. RURAL WIND ENERGY DEVELOPMENT PROGRAM.
164.26 (a) The Center for Rural Policy and Development shall make a grant to a nonprofit
164.27organization with experience dealing with energy and community wind issues to design
164.28and implement a rural wind energy development assistance program. The program must
164.29be designed to maximize rural economic development and stabilize rural community
164.30institutions, including hospitals and schools, by increasing the income of local residents
164.31and increasing local tax revenues. The grant may be disbursed in two installments. The
164.32program must provide assistance to rural entities seeking to develop wind generation
164.33projects that meet the specifications of Minnesota Statutes, section 216B.1612, subdivision
165.12, paragraph (f), and to sell the electricity the projects produce. Among other strategies,
165.2the program may consider aggregating rural entities and others into groups with the size
165.3and market power necessary to plan and develop significant rural wind energy projects.
165.4 (b) The program must provide assistance that includes, but is not limited to:
165.5 (1) providing legal, engineering, and financial services;
165.6 (2) identifying target communities with favorable wind resources, community
165.7interest, and local political support;
165.8 (3) providing assistance to reserve, obtain, and ensure the maintenance over time of
165.9wind turbines;
165.10 (4) creating market opportunities for utilities to meet their renewable energy standard
165.11obligations through purchases from rural community wind projects;
165.12 (5) assisting in negotiating fair power purchase agreements;
165.13 (6) facilitating transmission interconnection and delivery of energy from community
165.14wind projects; and
165.15 (7) lowering the market risk facing potential wind investors by supporting all phases
165.16of project development.
165.17 The grantee must demonstrate an ability to sustain program functions with ongoing
165.18revenue from sources other than state funding and shall provide a 35 percent grant match.
165.19The grant must be awarded on a competitive basis. The center must use best practices
165.20regarding grant management functions, including selection and monitoring of the grantee,
165.21compliance review, and financial oversight. Grant management fees are limited to 2.5
165.22percent of the grant.
165.23 (c) The commissioner of commerce shall monitor the activities of the rural wind
165.24energy development assistance program created under this section. By November 1, 2008,
165.25the commissioner shall submit an evaluation of the program to the chairs of the house of
165.26representatives and senate committees with jurisdiction over energy policy and finance,
165.27including recommendations for legislative or administrative action to better achieve the
165.28program goals described in paragraph (a).
165.29 Sec. 19. UNIFORM CODES AND STANDARDS FOR HYDROGEN, FUEL
165.30CELLS, AND RELATED TECHNOLOGIES; RECOMMENDATIONS AND
165.31REPORT.
165.32 (a) The commissioner of labor and industry, in consultation with the Department of
165.33Commerce and other relevant public and private interests, shall develop recommendations
165.34regarding the adoption of uniform codes and standards for hydrogen infrastructure, fuel
166.1cells, and related technologies, and report those recommendations to the legislature by
166.2December 31, 2008.
166.3 (b) The goal of the recommendations is to have all regulatory jurisdictions in the
166.4state have the same safety standards with regard to the production, storage, transportation,
166.5distribution, and use of hydrogen, fuel cells, and related technologies. The commissioner's
166.6recommendations must, without limitation, include:
166.7 (1) codes and standards that already exist for hydrogen, fuel cells, and related
166.8technologies, and how the state should formalize their use;
166.9 (2) codes and standards still under development by various official standard-making
166.10bodies;
166.11 (3) gaps between existing codes and standards, those under development, and those
166.12that may still be needed but are not yet being developed;
166.13 (4) the need for, and estimated cost of, additional education and training for
166.14emergency management and code officials;
166.15 (5) any changes needed to environmental and other permitting processes to
166.16accommodate the commercialization of hydrogen, fuel cells, and related technologies; and
166.17 (6) recommendations on appropriate codes and standards for educational and
166.18research institutions.
166.19 Sec. 20. HYDROGEN REFUELING STATION GRANTS.
166.20 In addition to the purposes specified in Laws 2005, chapter 97, article 13, section
166.214, for which the commissioner of commerce may make grants, the commissioner may
166.22make grants under that law for the purpose of developing, deploying, and encouraging
166.23commercially promising renewable hydrogen production systems and hydrogen end
166.24uses in partnership with industry. The authority of the commissioner to make grants
166.25and assessments under Laws 2005, chapter 97, article 13, section 4, continues until the
166.26authorized grants and assessments are made.
166.27 Sec. 21. OFF-SITE RENEWABLE DISTRIBUTED GENERATION.
166.28 The commissioner of commerce shall convene a broad group of interested
166.29stakeholders to evaluate the feasibility and potential for the interconnection and parallel
166.30operation of off-site renewable distributed generation in a manner consistent with
166.31Minnesota Statutes, sections 216B.37 to 216B.43, and shall issue recommendations to
166.32the chairs of the house of representatives and senate committees with jurisdiction over
166.33energy issues by February 1, 2008.
167.3 Section 1. BIOFUEL PERMITTING REPORT.
167.4 By January 15, 2008, the Pollution Control Agency, the commissioner of natural
167.5resources, and the Environmental Quality Board shall report to the house of representatives
167.6and senate committees and divisions with jurisdiction over agriculture and environment
167.7policy and budget on the process to issue permits for biofuel production facilities. The
167.8report shall include:
167.9 (1) information on the timing of the permits and measures taken to improve the
167.10timing of the permitting process;
167.11 (2) recommended changes to statutes, rules, or procedures to improve the biofuel
167.12facility permitting process and reduce the groundwater needed for production; and
167.13 (3) other information or analysis that may be helpful in understanding or improving
167.14the biofuel production facility permitting process.
167.15EFFECTIVE DATE.This section is effective the day following final enactment.
167.16 Sec. 2. DEFINITIONS.
167.17 Subdivision 1. Terrestrial carbon sequestration. "Terrestrial carbon sequestration"
167.18means the long-term storage of carbon in soil and vegetation to prevent its collection in
167.19the atmosphere as carbon dioxide.
167.20 Subd. 2. Geologic carbon sequestration. "Geologic carbon sequestration" means
167.21injecting carbon dioxide into underground geologic formations where it can be stored for
167.22long periods of time to prevent its escape to the atmosphere.
167.23 Sec. 3. TERRESTRIAL CARBON SEQUESTRATION ACTIVITIES.
167.24 Subdivision 1. Study; scope. The Board of Regents of the University of Minnesota
167.25is requested to conduct a study assessing the potential capacity for carbon sequestration in
167.26Minnesota's terrestrial systems. The study must:
167.27 (1) conduct a statewide inventory and construct a database of lands across several
167.28land types, such as forests, agricultural lands, peatlands, and wetlands, that have the
167.29potential to sequester significant quantities of carbon and of lands that currently contain
167.30large stocks of carbon that are at risk of being emitted to the atmosphere as a result of
167.31changes in land use and climate;
167.32
168.1 (2) quantify the ability of various land use practices, such as the growth of different
168.2species of crops, grasses, and trees, to sequester carbon and their impacts on other
168.3ecological services of value, including air and water quality, biodiversity, and wildlife
168.4habitat;
168.5 (3) identify a network of benchmark monitoring sites to measure the impact of
168.6long-term, large-scale factors, such as changes in climate, carbon dioxide levels, and land
168.7use, on the terrestrial carbon sequestration capacity of various land types, to improve
168.8understanding of carbon-terrestrial interactions and dynamics;
168.9 (4) identify long-term demonstration projects to measure the impact of deliberate
168.10sequestration practices, including the establishment of biofuel production systems, on
168.11forest, agricultural, wetland, and prairie ecosystems; and
168.12 (5) evaluate current state policies and programs that affect the levels of terrestrial
168.13sequestration on public and private lands and identify gaps and recommend policy changes
168.14to increase sequestration rates.
168.15 Subd. 2. Coordination of terrestrial carbon sequestration activities. Planning
168.16and implementation of the study described in subdivision 1 will be coordinated by
168.17the Minnesota Terrestrial Carbon Sequestration Initiative, a task force consisting of
168.18representatives from the University of Minnesota, the Department of Agriculture, the
168.19Board of Water and Soil Resources, the Department of Commerce, the Department
168.20of Natural Resources, and the Pollution Control Agency and agricultural, forestry,
168.21conservation, and business stakeholders.
168.22 Subd. 3. Contracting. The University of Minnesota may contract with another
168.23party to perform any of the tasks listed in subdivision 1.
168.24 Subd. 4. Report. The commissioner of natural resources must submit a report
168.25with the results of the study to the senate and house of representatives committees with
168.26jurisdiction over environmental and energy policies no later than February 1, 2008.
168.27 Sec. 4. GEOLOGIC CARBON SEQUESTRATION ASSESSMENT.
168.28 Subdivision 1. Study; scope. (a) The Minnesota Geological Survey shall conduct
168.29a study assessing the potential capacity for geologic carbon sequestration in the
168.30Midcontinent Rift system in Minnesota. The study must assess the potential of porous
168.31and permeable sandstone layers deeper than one kilometer below the surface that are
168.32capped by less permeable shale and must identify potential risks to carbon storage, such
168.33as areas of low permeability in injection zones, low storage capacity, and potential seal
168.34failure. The study must identify the most promising formations and geographic areas for
168.35physical analysis of carbon sequestration potential. The study must review geologic
169.1maps, published reports and surveys, and any relevant unpublished raw data with respect
169.2to attributes that are pertinent for the long-term sequestration of carbon in geologic
169.3formations, in particular, those that bear on formation injectivity, capacity, and seal
169.4effectiveness. The study must examine the following characteristics of key sedimentary
169.5units within the Midcontinent Rift system in Minnesota:
169.6 (1) likely depth, temperature, and pressure;
169.7 (2) physical properties, including the ability to contain and transmit fluids;
169.8 (3) the type of rocks present;
169.9 (4) structure and geometry, including folds and faults; and
169.10 (5) hydrogeology, including water chemistry and water flow.
169.11 (b) The commissioner of natural resources, in consultation with the Minnesota
169.12Geological Survey, shall contract for a study to estimate the properties of the Midcontinent
169.13Rift system in Minnesota, as described in paragraph (a), clauses (1) to (5), through the
169.14use of computer models developed for similar geologic formations located outside of
169.15Minnesota which have been studied in greater detail.
169.16 Subd. 2. Consultation. The Minnesota Geological Survey shall consult with the
169.17Minnesota Mineral Coordinating Committee, established in Minnesota Statutes, section
169.1893.0015, in planning and implementing the study design.
169.19 Subd. 3. Report. The commissioner of natural resources must submit a report
169.20with the results of the study to the senate and house of representatives committees with
169.21jurisdiction over environmental and energy policies no later than February 1, 2008.
169.22 Sec. 5. STAY EXTENDED; DRY CASK STORAGE AT MONTICELLO.
169.23 The stay of a Public Utilities Commission decision to approve an application for
169.24a certificate of need for additional dry cask storage at the Monticello nuclear power
169.25generating facility, imposed under Minnesota Statutes, section 116C.83, subdivision 3,
169.26is extended until June 1, 2008.
169.27EFFECTIVE DATE.This section is effective the day following final enactment.
169.30 Section 1. [216B.091] MONTHLY REPORTS.
169.31 (a) Each public utility must report the following data on residential customers to the
169.32commission monthly, in a format determined by the commission:
169.33 (1) number of customers;
170.1 (2) number and total amount of accounts past due;
170.2 (3) average customer past due amount;
170.3 (4) total revenue received from the low-income home energy assistance program and
170.4other sources contributing to the bills of low-income persons;
170.5 (5) average monthly bill;
170.6 (6) total sales revenue;
170.7 (7) total write-offs due to uncollectible bills;
170.8 (8) number of disconnection notices mailed;
170.9 (9) number of accounts disconnected for nonpayment;
170.10 (10) number of accounts reconnected to service; and
170.11 (11) number of accounts that remain disconnected, grouped by the duration of
170.12disconnection, as follows:
170.13 (i) 1-30 days;
170.14 (ii) 31-60 days; and
170.15 (iii) more than 60 days.
170.16 (b) Monthly reports for October through April must also include the following data:
170.17 (1) number of cold weather protection requests;
170.18 (2) number of payment arrangement requests received and granted;
170.19 (3) number of right to appeal notices mailed to customers;
170.20 (4) number of reconnect request appeals withdrawn;
170.21 (5) number of occupied heat-affected accounts disconnected for 24 hours or more
170.22for electric and natural gas service separately;
170.23 (6) number of occupied non-heat-affected accounts disconnected for 24 hours or
170.24more for electric and gas service separately;
170.25 (7) number of customers granted cold weather rule protection;
170.26 (8) number of customers disconnected who did not request cold weather rule
170.27protection; and
170.28 (9) number of customers disconnected who requested cold weather rule protection.
170.29 (c) The data reported under paragraphs (a) and (b) is presumed to be accurate upon
170.30submission and must be made available through the commission's electronic filing system.
170.31 Sec. 2. [216B.0951] PROPANE PREPURCHASE PROGRAM.
170.32 Subdivision 1. Establishment. The commissioner of commerce shall operate, or
170.33contract to operate, a propane fuel prepurchase fuel program. The commissioner may
170.34contract at any time of the year to purchase the lesser of one-third of the liquid propane
170.35fuel consumed by low-income home energy assistance program recipients during the
171.1previous heating season or the amount that can be purchased with available funds. The
171.2propane fuel prepurchase program must be available statewide through each local agency
171.3that administers the energy assistance program. The commissioner may decide to limit or
171.4not engage in prepurchasing if the commissioner finds that there is a reasonable likelihood
171.5that prepurchasing will not provide fuel-cost savings.
171.6 Subd. 2. Hedge account. The commissioner may establish a hedge account with
171.7realized program savings due to prepurchasing. The account must be used to compensate
171.8program recipients an amount up to the difference in cost for fuel provided to the recipient
171.9if winter-delivered fuel prices are lower than the prepurchase or summer-fill price. No
171.10more than ten percent of the aggregate prepurchase program savings may be used to
171.11establish the hedge account.
171.12 Subd. 3. Report. The Department of Commerce shall issue a report by June 30,
171.132008, made available electronically on its Web site and in print upon request, that contains
171.14the following information:
171.15 (1) the cost per gallon of prepurchased fuel;
171.16 (2) the total gallons of fuel prepurchased;
171.17 (3) the average cost of propane each month between October and the following April;
171.18 (4) the number of energy assistance program households receiving prepurchased
171.19fuel; and
171.20 (5) the average savings accruing or benefit increase provided to energy assistance
171.21households.
171.22 Sec. 3. [216B.096] COLD WEATHER RULE; PUBLIC UTILITIES.
171.23 Subdivision 1. Scope. This section applies only to residential customers of a
171.24public utility.
171.25 Subd. 2. Definitions. (a) The terms used in this section have the meanings given
171.26them in this subdivision.
171.27 (b) "Cold weather period" means the period from October 15 through April 15 of
171.28the following year.
171.29 (c) "Customer" means a residential customer of a utility.
171.30 (d) "Customer's income" means the actual monthly income of the customer or the
171.31average monthly income of the customer computed on a calendar year basis, whichever is
171.32less, and does not include any amount received for energy assistance.
171.33 (e) "Disconnection" means the involuntary loss of utility heating service as a result
171.34of a physical act by a utility to discontinue service. Disconnection includes installation of
171.35a service or load limiter or any device that limits or interrupts utility service in any way.
172.1 (f) "Household income" means the combined income, as defined in section 290A.03,
172.2subdivision 3, of all residents of the customer's household, computed on an annual basis.
172.3Household income does not include any amount received for energy assistance.
172.4 (g) "Reasonably timely payment" means payment within seven calendar days of
172.5agreed-upon due dates.
172.6 (h) "Reconnection" means the restoration of utility heating service after it has been
172.7disconnected.
172.8 (i) "Third party notice" means a commission-approved notice containing, at a
172.9minimum, the following information:
172.10 (1) a statement that the utility will send a copy of any future notice of proposed
172.11disconnection of utility heating service to a third party designated by the residential
172.12customer;
172.13 (2) instructions on how to request this service; and
172.14 (3) a statement that the residential customer should contact the person the customer
172.15intends to designate as the third party contact before providing the utility with the party's
172.16name.
172.17 (j) "Utility" means a public utility as defined in section 216B.02.
172.18 (k) "Utility heating service" means natural gas or electricity used as a primary
172.19heating source, including electricity service necessary to operate gas heating equipment.
172.20 (l) "Working days" means Mondays through Fridays, excluding legal holidays.
172.21 Subd. 3. Utility obligations before cold weather period. (a) Each year, between
172.22September 1 and October 15, each utility must notify all customers of the provisions of
172.23this section. Notice must also be provided to all new residential customers when service is
172.24initiated. Notice must, at a minimum, include:
172.25 (1) an explanation of the customer's rights and responsibilities under subdivision 5;
172.26 (2) an explanation of no-cost and low-cost methods to reduce the consumption
172.27of energy; and
172.28 (3) a third party notice.
172.29 (b) Also, each year, between September 1 and October 15, each utility must attempt
172.30to contact, establish a payment agreement, and reconnect utility heating service to all
172.31customers who were disconnected after the preceding heating season. A record must be
172.32made of all contacts and attempted contacts.
172.33 Subd. 4. Notice before disconnection during cold weather period. Before
172.34disconnecting utility heating service during the cold weather period, a utility must provide
172.35notice to a customer, in easy-to-understand language, that contains the following:
172.36 (1) the date of the scheduled disconnection;
173.1 (2) the amount due;
173.2 (3) ways to avoid disconnection;
173.3 (4) information regarding payment agreements;
173.4 (5) a statement explaining the customer's rights and responsibilities, including the
173.5right to appeal a determination by the utility that the customer is not eligible for protection
173.6and the right to request commission intervention if the utility and customer cannot arrive
173.7at a mutually acceptable payment agreement;
173.8 (6) a list of local energy assistance and weatherization providers in each county
173.9served by the utility; and
173.10 (7) a third party notice.
173.11 Subd. 5. Cold weather rule. (a) During the cold weather period, a utility may
173.12not disconnect and must reconnect a customer whose household income is at or below
173.1350 percent of the state median income if the customer enters into and makes reasonably
173.14timely payments under a mutually acceptable payment agreement with the utility that is
173.15based on the financial resources and circumstances of the household; provided that, a
173.16utility may not require a customer to pay more than ten percent of the customer's income
173.17toward current and past utility bills for utility heating service.
173.18 (b) A utility may accept more than ten percent of the household income as the
173.19payment arrangement amount if agreed to by the customer.
173.20 (c) The customer or a designated third party may request a modification of the terms
173.21of a payment agreement previously entered into if the customer's financial circumstances
173.22have changed or the customer is unable to make reasonably timely payments. The utility
173.23may refer to commission staff a customer who requests more than two modifications of a
173.24payment agreement during a single cold weather rule period if no payments have been
173.25made.
173.26 (d) The payment agreement terminates at the expiration of the cold weather period
173.27unless a longer period is mutually agreed to by the customer and the utility.
173.28 Subd. 6. Verification of income. (a) In verifying a customer's household income,
173.29a utility may:
173.30 (1) accept the signed statement of a customer that the customer is income eligible;
173.31 (2) obtain income verification from a local energy assistance provider or a
173.32government agency;
173.33 (3) consider one or more of the following:
173.34 (i) the most recent income tax return filed by members of the customer's household;
174.1 (ii) for each employed member of the customer's household, paycheck stubs for the
174.2last two months or a written statement from the employer reporting wages earned during
174.3the preceding two months;
174.4 (iii) a customer's Medicaid card, documentation that the customer receives food
174.5stamps, or a food support eligibility document;
174.6 (iv) documentation that the customer receives a pension from the Department of
174.7Human Services, the Social Security Administration, the Veteran's Administration, or
174.8other pension provider;
174.9 (v) a letter showing the customer's dismissal from a job or other documentation of
174.10unemployment; or
174.11 (vi) other documentation that supports the customer's declaration of income
174.12eligibility.
174.13 (b) A customer who receives energy assistance benefits under any federal, state,
174.14or county government programs in which eligibility is defined as household income at
174.15or below 50 percent of state median income is deemed to be automatically eligible for
174.16protection under this section and no other verification of income may be required.
174.17 Subd. 7. Prohibitions and requirements. During the cold weather period:
174.18 (a) A utility may not charge a deposit or delinquency charge to a customer who has
174.19entered into a payment agreement or a customer who has appealed to the commission
174.20under subdivision 8.
174.21 (b) A utility may not disconnect service during the following periods:
174.22 (1) during the pendency of any appeal under subdivision 8;
174.23 (2) earlier than ten working days after a utility has deposited in first class mail,
174.24or seven working days after a utility has personally served, the notice required under
174.25subdivision 4 to a customer in an occupied dwelling;
174.26 (3) earlier than ten working days after the utility has deposited in first class mail
174.27the notice required under subdivision 4 to the recorded billing address of the customer,
174.28if the utility has reasonably determined from an on-site inspection that the dwelling
174.29is unoccupied;
174.30 (4) on a Friday, unless the utility makes personal contact with, and offers a payment
174.31agreement to, the customer;
174.32 (5) on a Saturday, Sunday, holiday, or the day before a holiday;
174.33 (6) when utility offices are closed;
174.34 (7) when no utility personnel are available to resolve disputes, enter into payment
174.35agreements, accept payments, and reconnect service; or
174.36 (8) when commission offices are closed.
175.1 (c) Also, a utility may not discontinue service until the utility investigates whether
175.2the dwelling is actually occupied. At a minimum, the investigation must include one visit
175.3by the utility to the dwelling during normal working hours. If no contact is made and
175.4there is reason to believe that the dwelling is occupied, the utility must attempt a second
175.5contact during nonbusiness hours. If personal contact is made, the utility representative
175.6must provide notice required under subdivision 4 and, if the utility representative is not
175.7authorized to enter into a payment agreement, the telephone number the customer can call
175.8to establish a payment agreement.
175.9 (d) Each utility must reconnect utility service if, following disconnection, the
175.10dwelling is found to be occupied and the customer agrees to enter into a payment
175.11agreement or appeals to the commission because the customer and the utility are unable to
175.12agree on a payment agreement.
175.13 Subd. 8. Disputes; customer appeals. (a) A utility must provide the customer
175.14and any designated third party with a commission-approved written notice of the right
175.15to appeal:
175.16 (1) upon a utility determination that the customer's household income is more than
175.1750 percent of state median household income; or
175.18 (2) when the utility and customer are unable to agree on the establishment or
175.19modification of a payment agreement.
175.20 (b) A customer's appeal must be filed with the commission no later than seven
175.21working days after the customer's receipt of a personally served disconnection notice, or
175.22within ten working days after the utility has deposited a first class mail notice. If no
175.23disconnection notice has been issued, an appeal may be filed at any time.
175.24 (c) The commission must determine all customer appeals on an informal basis,
175.25within 30 calendar days of receipt of a customer's written appeal. In making its
175.26determination, the commission must consider one or more of the factors in subdivision 6,
175.27paragraph (a), clauses (2) and (3).
175.28 (d) Notwithstanding any other law, following an appeals decision adverse to the
175.29customer, a utility may not disconnect utility heating service for seven working days
175.30after the utility has personally served a disconnection notice, or for ten working days
175.31after the utility has deposited a first class mail notice. The notice must contain, in
175.32easy-to-understand language, the date on or after which disconnection will occur, the
175.33reason for disconnection, and ways to avoid disconnection.
175.34 Subd. 9. Utility appeals. A utility may file an appeal of the commission's informal
175.35determination under subdivision 8 within 14 working days after it is issued. An appeal
175.36must be in writing, on forms prescribed by the commission. A copy of the appeal and a
176.1commission-approved letter explaining that the customer may have service disconnected
176.2must be mailed by the utility to the local human services or social services agency and
176.3the local energy assistance provider on the same day as the utility mails its appeal to
176.4the commission.
176.5 Subd. 10. Reporting. Annually on November 1, a utility must file with the
176.6commission a report specifying the number of utility heating service customers whose
176.7service is disconnected or remains disconnected as of October 1 and October 15. If
176.8customers remain disconnected on October 15, a utility must file a report each week
176.9between November 1 and the end of the cold weather period specifying:
176.10 (1) the number of utility heating service customers that are or remain disconnected
176.11from service; and
176.12 (2) the number of utility heating service customers that are reconnected to service
176.13each week. The utility may discontinue weekly reporting if the number of utility heating
176.14service customers that are or remain disconnected reaches zero before the end of the
176.15cold weather period.
176.16 Sec. 4. Minnesota Statutes 2006, section 216B.097, subdivision 1, is amended to read:
176.17 Subdivision 1. Application; notice to residential customer. (a) A municipal utility
176.18or a cooperative electric association must not disconnect and must reconnect the utility
176.19service of a residential customer during the period between October 15 and April 15 if
176.20the disconnection affects the primary heat source for the residential unit
176.21the following conditions are met:
176.22 (1)
176.23
176.24
176.25
176.26state median household income
176.27utility may (i) verify income on forms it provides or (ii) obtain
176.28
176.29provider
176.30the income requirements of this clause
176.31if the customer receives any form of public assistance, including energy assistance, that
176.32uses an income eligibility
176.33
176.34
176.35
177.1under a payment
177.2household
177.3
177.4weatherization, conservation, or other programs likely to reduce the customer's energy
177.5bills.
177.6 (b) A municipal utility or a cooperative electric association must, between August
177.715 and October 15
177.8section.
177.9 Sec. 5. Minnesota Statutes 2006, section 216B.097, subdivision 3, is amended to read:
177.10 Subd. 3. Restrictions if disconnection necessary. (a) If a residential customer must
177.11be involuntarily disconnected between October 15 and April 15 for failure to comply with
177.12
177.13 (1) on a Friday
177.14into a payment agreement offered that day in person or via personal contact by telephone
177.15by a municipal utility or cooperative electric association;
177.16 (2) on a weekend, holiday, or the day before a holiday;
177.17 (3) when utility offices are closed; or
177.18 (4) after the close of business on a day when disconnection is permitted, unless
177.19a field representative of a municipal utility or cooperative electric association who is
177.20authorized to enter into a payment agreement, accept payment, and continue service,
177.21offers a payment agreement to the customer.
177.22Further, the disconnection must not occur until at least 20 days after the notice required
177.23in subdivision 2 has been mailed to the customer or 15 days after the notice has been
177.24personally delivered to the customer.
177.25 (b) If a customer does not respond to a disconnection notice, the customer must
177.26not be disconnected until the utility investigates whether the residential unit is actually
177.27occupied. If the unit is found to be occupied, the utility must immediately inform the
177.28occupant of the provisions of this section. If the unit is unoccupied, the utility must give
177.29seven days' written notice of the proposed disconnection to the local energy assistance
177.30provider before making a disconnection.
177.31 (c) If, prior to disconnection, a customer appeals a notice of involuntary
177.32disconnection, as provided by the utility's established appeal procedure, the utility must
177.33not disconnect until the appeal is resolved.
177.34 Sec. 6. Minnesota Statutes 2006, section 216B.098, subdivision 4, is amended to read:
178.1 Subd. 4. Undercharges. (a) A utility shall offer a payment agreement to customers
178.2who have been undercharged if no culpable conduct by the customer or resident of
178.3the customer's household caused the undercharge. The agreement must cover a period
178.4equal to the time over which the undercharge occurred or a different time period that is
178.5mutually agreeable to the customer and the utility, except that the duration of a payment
178.6agreement offered by a utility to a customer whose household income is at or below 50
178.7percent of state median household income must consider the financial circumstances of
178.8the customer's household.
178.9 (b) No interest or delinquency fee may be charged
178.10undercharge agreement under this subdivision.
178.11 (c) If a customer inquiry or complaint results in the utility's discovery of the
178.12undercharge, the utility may bill for undercharges incurred after the date of the inquiry
178.13or complaint only if the utility began investigating the inquiry or complaint within a
178.14reasonable time after when it was made.
178.15 Sec. 7. Minnesota Statutes 2006, section 216B.16, subdivision 10, is amended to read:
178.16 Subd. 10. Intervenor
178.17granted formal intervenor status by the commission is eligible to receive compensation.
178.18 (b) The commission may order a utility to
178.19 compensate all or part of an eligible intervenor's reasonable costs
178.20
178.21the commission when the commission finds that the intervenor has materially assisted
178.22the commission's deliberation
178.23
178.24hardship to the intervenor. Compensation may not exceed $50,000 for a single intervenor
178.25in any proceeding. For the purpose of this subdivision, "materially assisted" means that
178.26the intervenor's participation and presentation was useful and seriously considered, or
178.27otherwise substantially contributed to the commission's deliberations in the proceeding.
178.28 (c) In determining whether an intervenor has materially assisted the commission's
178.29deliberation, the commission must consider, at a minimum, whether:
178.30 (1) the intervenor represented an interest that would not otherwise have been
178.31adequately represented;
178.32 (2) the evidence or arguments presented or the positions taken by the intervenor
178.33were an important factor in producing a fair decision;
178.34 (3) the intervenor's position promoted a public purpose or policy;
179.1 (4) the evidence presented, arguments made, issues raised, or positions taken by the
179.2intervenor would not have been a part of the record without the intervenor's participation;
179.3and
179.4 (5) the administrative law judge or the commission adopted, in whole or in part, a
179.5position advocated by the intervenor.
179.6 (d) In determining whether the absence of compensation would present financial
179.7hardship to the intervenor, the commission must consider:
179.8 (1) whether the costs presented in the intervenor's claim reflect reasonable fees for
179.9attorneys and expert witnesses and other reasonable costs; and
179.10 (2) the ratio between the costs of intervention and the intervenor's unrestricted funds.
179.11 (e) An intervenor seeking compensation must file a request and an affidavit of service
179.12with the commission, and serve a copy of the request on each party to the proceeding.
179.13The request must be filed 30 days after the later of (1) the expiration of the period within
179.14which a petition for rehearing, amendment, vacation, reconsideration, or reargument must
179.15be filed or (2) the date the commission issues an order following rehearing, amendment,
179.16vacation, reconsideration, or reargument.
179.17 (f) The compensation request must include:
179.18 (1) the name and address of the intervenor or representative of the nonprofit
179.19organization the intervenor is representing;
179.20 (2) if necessary, proof of the organization's nonprofit, tax-exempt status;
179.21 (3) the name and docket number of the proceeding for which compensation is
179.22requested;
179.23 (4) a list of actual annual revenues and expenses of the organization the intervenor is
179.24representing for the preceding year and projected revenues, revenue sources, and expenses
179.25for the current year;
179.26 (5) the organization's balance sheet for the preceding year and a current monthly
179.27balance sheet;
179.28 (6) an itemization of intervenor costs and the total compensation request; and
179.29 (7) a narrative explaining why additional organizational funds cannot be devoted
179.30to the intervention.
179.31 (g) Within 30 days after service of the request for compensation, a party may file
179.32a response, together with an affidavit of service, with the commission. A copy of the
179.33response must be served on the intervenor and all other parties to the proceeding.
179.34 (h) Within 15 days after the response is filed, the intervenor may file a reply with
179.35the commission. A copy of the reply and an affidavit of service must be served on all
179.36other parties to the proceeding.
180.1 (i) If additional costs are incurred as a result of additional proceedings following
180.2the commission's initial order, the intervenor may file an amended request within 30
180.3days after the commission issues an amended order. Paragraphs (e) to (h) apply to an
180.4amended request.
180.5 (j) The commission must issue a decision on intervenor compensation within 60
180.6days of a filing by an intervenor.
180.7 (k) A party may request reconsideration of the commission's compensation decision
180.8within 30 days of the decision.
180.9 (l) If the commission issues an order requiring payment of intervenor compensation,
180.10the utility that was the subject of the proceeding must pay the compensation to the
180.11intervenor, and file with the commission proof of payment, within 30 days after the later
180.12of (1) the expiration of the period within which a petition for reconsideration of the
180.13commission's compensation decision must be filed or (2) the date the commission issues
180.14an order following reconsideration of its order on intervenor compensation.
180.15 Sec. 8. Minnesota Statutes 2006, section 216B.16, subdivision 15, is amended to read:
180.16 Subd. 15. Low-income affordability programs. (a) The commission
180.17consider ability to pay as a factor in setting utility rates and may establish affordability
180.18programs for low-income residential ratepayers in order to ensure affordable, reliable, and
180.19continuous service to low-income utility customers. By September 1, 2007, a public
180.20utility serving low-income residential ratepayers who use natural gas for heating must
180.21file an affordability program with the commission. For purposes of this subdivision,
180.22"low-income residential ratepayers" means ratepayers who receive energy assistance from
180.23the low-income home energy assistance program (LIHEAP).
180.24 (b)
180.25commission orders a utility to implement must:
180.26 (1) lower the percentage of income that participating low-income households devote
180.27to energy bills
180.28 (2) increase participating customer payments
180.29frequency of payments;
180.30 (3) decrease or eliminate participating customer arrears;
180.31 (4) lower the utility costs associated with customer account collection activities; and
180.32 (5) coordinate the program with other available low-income bill payment assistance
180.33and conservation resources.
180.34In ordering
180.35utilities to file program evaluations
181.1
181.2affordability program on:
181.3 (1)
181.4bills;
181.5 (2) service disconnections; and
181.6 (3) frequency of customer
181.7arrearages, and bad debt.
181.8 (c) The commission must issue orders necessary to implement, administer, and
181.9evaluate affordability programs, and to allow a utility to recover program costs, including
181.10administrative costs, on a timely basis. The commission may not allow a utility to recover
181.11administrative costs, excluding start-up costs, in excess of five percent of total program
181.12costs, or program evaluation costs in excess of two percent of total program costs. The
181.13commission must permit deferred accounting, with carrying costs, for recovery of program
181.14costs incurred during the period between general rate cases.
181.15 (d) Public utilities may use information collected or created for the purpose of
181.16administering energy assistance to administer affordability programs.
181.17 Sec. 9. RULES; INSTRUCTION TO COMMISSION AND REVISOR.
181.18 Subdivision 1. Public Utilities Commission. The commission must amend
181.19Minnesota Rules, chapters 7820 and 7831, to conform with the provisions of Minnesota
181.20Statutes, section 216B.096, as authorized under Minnesota Statutes, section 14.388,
181.21subdivision 1, clause (3).
181.22 Subd. 2. Revisor of statutes. The revisor of statutes shall change the reference from
181.23"216B.095" to "216B.096" wherever found in Minnesota Rules, chapter 7820.
181.24 Sec. 10. REPEALER.
181.25(a) Minnesota Rules, parts 7831.0100; 7831.0200; 7831.0300; 7831.0400;
181.267831.0500; 7831.0600; 7831.0700; and 7831.0800, are repealed as they pertain to a
181.27general rate case for a gas or electric utility held before the commission. The Public
181.28Utilities Commission shall timely adopt rules to conform with this repealer and Minnesota
181.29Statutes, section 216B.16, subdivision 10, as amended by this act, under the exempt rule
181.30procedures of Minnesota Statutes, section 14.388, subdivision 1, clause (3).
181.31(b) Minnesota Statutes 2006, section 216B.095, is repealed.