1.1.................... moves to amend H.F. No. 1237 as follows:
1.2Page 1, after line 14, insert:

1.3    "Section 1. Minnesota Statutes 2008, section 84.66, subdivision 2, is amended to read:
1.4    Subd. 2. Definitions. For the purpose of this section, the following terms have
1.5the meanings given:
1.6    (1) "forest land" has the meaning given under section 89.001, subdivision 4;
1.7    (2) "forest resources" has the meaning given under section 89.001, subdivision 8;
1.8    (3) "guidelines" has the meaning given under section 89A.01, subdivision 8;
1.9    (4) "riparian land" has the meaning given under section 103F.511, subdivision 8a
; and
1.11    (5) "working forest land" means land that provides a broad range of goods and
1.12services, including forest products, recreation, fish and wildlife habitat, clean air and
1.13water, and carbon sequestration."
1.14Page 4, after line 30, insert:

1.15    "Sec. 13. Minnesota Statutes 2008, section 103B.101, subdivision 1, is amended to
1.17    Subdivision 1. Membership. The Board of Water and Soil Resources is composed
1.18of 12 15 appointed members knowledgeable of water and soil problems and conditions
1.19within the state and five ex officio members.

1.20    Sec. 14. Minnesota Statutes 2008, section 103B.101, subdivision 2, is amended to read:
1.21    Subd. 2. Voting members. (a) The members are:
1.22(1) three county commissioners;
1.23(2) three soil and water conservation district supervisors;
1.24(3) three watershed district or watershed management organization representatives;
1.25(4) three citizens who are not employed by, or the appointed or elected officials of,
1.26a governmental office, board, or agency;
2.1(5) one township officer;
2.2(6) two elected city officials, one of whom must be from a city located in the
2.3metropolitan area, as defined under section 473.121, subdivision 2;
2.4(5) (7) the commissioner of agriculture;
2.5(6) (8) the commissioner of health;
2.6(7) (9) the commissioner of natural resources;
2.7(8) (10) the commissioner of the Pollution Control Agency; and
2.8(9) (11) the director of the University of Minnesota Extension Service.
2.9(b) Members in paragraph (a), clauses (1) to (4) (6), must be distributed across
2.10the state with at least three four members but not more than five six members from the
2.11metropolitan area, as defined by section 473.121, subdivision 2; and one from each of the
2.12current soil and water conservation administrative regions.
2.13(c) Members in paragraph (a), clauses (1) to (4) (6), are appointed by the governor.
2.14In making the appointments, the governor may consider persons recommended by
2.15the Association of Minnesota Counties, the Minnesota Association of Townships, the
2.16League of Minnesota Cities, the Minnesota Association of Soil and Water Conservation
2.17Districts, and the Minnesota Association of Watershed Districts. The list submitted by an
2.18association must contain at least three nominees for each position to be filled.
2.19(d) The membership terms, compensation, removal of members and filling of
2.20vacancies on the board for members in paragraph (a), clauses (1) to (4) (6), are as provided
2.21in section 15.0575.

2.22    Sec. 15. Minnesota Statutes 2008, section 103B.3369, subdivision 5, is amended to
2.24    Subd. 5. Financial assistance. A base grant may be awarded to a county that levies
2.25provides a match utilizing a water implementation tax or other local source. A water
2.26implementation tax that a county intends to use as a match to the base grant must be levied
2.27at a rate, which shall be determined by the board. The minimum amount of the water
2.28implementation tax shall be a tax rate times the adjusted net tax capacity of the county for
2.29the preceding year. The rate shall be the rate, rounded to the nearest .001 of a percent,
2.30that, when applied to the adjusted net tax capacity for all counties, raises the amount of
2.31$1,500,000. The base grant will be in an amount equal to $37,500 less the amount raised
2.32by that levy the local match. If the amount necessary to implement the local water plan for
2.33the county is less than $37,500, the amount of the base grant shall be the amount that,
2.34when added to the levy match amount, equals the amount required to implement the plan.
3.1For counties where the tax rate generates an amount equal to or greater than $18,750, the
3.2base grant shall be in an amount equal to $18,750.

3.3    Sec. 16. Minnesota Statutes 2008, section 103F.505, is amended to read:
3.5It is the purpose of sections 103F.505 to 103F.531 to keep restore certain marginal
3.6agricultural land out of crop production and protect environmentally sensitive areas to
3.7protect enhance soil and water quality, minimize damage to flood-prone areas, sequester
3.8carbon, and support native plant, fish, and wildlife habitat habitats. It is state policy to
3.9encourage the restoration of wetlands and riparian lands and promote the retirement of
3.10marginal, highly erodible land, particularly land adjacent to public waters, drainage
3.11systems, wetlands, and locally designated priority waters, from crop production and to
3.12reestablish a cover of perennial vegetation.

3.13    Sec. 17. Minnesota Statutes 2008, section 103F.511, subdivision 5, is amended to read:
3.14    Subd. 5. Drained wetland. "Drained wetland" means a former natural wetland that
3.15has been altered by draining, dredging, filling, leveling, or other manipulation sufficient
3.16to render the land suitable for agricultural crop production. The alteration must have
3.17occurred before December 23, 1985, and must be a legal alteration as determined by the
3.18commissioner of natural resources.

3.19    Sec. 18. Minnesota Statutes 2008, section 103F.511, is amended by adding a
3.20subdivision to read:
3.21    Subd. 8a. Reinvest in Minnesota reserve program. "Reinvest in Minnesota
3.22reserve program" means the program established under section 103F.515.

3.23    Sec. 19. Minnesota Statutes 2008, section 103F.511, subdivision 8a, is amended to read:
3.24    Subd. 8a 8b. Riparian land. "Riparian land" means lands adjacent to public
3.25waters, drainage systems, wetlands, or locally designated priority waters identified in a
3.26comprehensive local water plan, as defined in section 103B.3363, subdivision 3.

3.27    Sec. 20. Minnesota Statutes 2008, section 103F.515, subdivision 1, is amended to read:
3.28    Subdivision 1. Establishment of program. The board, in consultation with the
3.29commissioner of agriculture and the commissioner of natural resources, shall establish
3.30and administer a conservation the reinvest in Minnesota reserve program. The board
3.31shall implement sections 103F.505 to 103F.531. Selection of land for the conservation
3.32reinvest in Minnesota reserve program must be based on its enhancement potential for
4.1fish and, wildlife production, and native plant habitats, reducing erosion, and protecting
4.2water quality.

4.3    Sec. 21. Minnesota Statutes 2008, section 103F.515, subdivision 2, is amended to read:
4.4    Subd. 2. Eligible land. (a) Land may be placed in the conservation reinvest in
4.5Minnesota reserve program if the land meets the requirements of paragraphs (b) and (c).
4.6(b) Land is eligible if the land:
4.7(1) is marginal agricultural land;
4.8(2) is adjacent to marginal agricultural land and is either beneficial to resource
4.9protection or necessary for efficient recording of the land description;
4.10(3) consists of a drained wetland;
4.11(4) is land that with a windbreak or water quality improvement practice would be
4.12beneficial to resource protection;
4.13(5) is land in a sensitive groundwater area;
4.14(6) is riparian land;
4.15(7) is cropland or noncropland adjacent to restored wetlands to the extent of up to
4.16four acres of cropland or one acre of noncropland for each acre of wetland restored;
4.17(8) is a woodlot on agricultural land;
4.18(9) is abandoned building site on agricultural land, provided that funds are not used
4.19for compensation of the value of the buildings; or
4.20(10) is land on a hillside used for pasture that is marginal in nature.
4.21(c) Eligible land under paragraph (a) must:
4.22(1) be owned by the landowner, or a parent or other blood relative of the landowner,
4.23for at least one year before the date of application;
4.24(2) be at least five acres in size, except for a drained wetland area, riparian area,
4.25windbreak, woodlot, or abandoned building site, or be a whole field as defined by the
4.26United States Agricultural Stabilization and Conservation Services;
4.27(3) not be set aside, enrolled or diverted under another federal or state government
4.28program unless enrollment in the conservation reinvest in Minnesota reserve program
4.29would provide additional conservation benefits or a longer term of enrollment than under
4.30the current federal or state program; and
4.31(4) have been in agricultural crop production for at least two of the last five
4.32years before the date of application, except drained wetlands, riparian lands, woodlots,
4.33abandoned building sites, environmentally sensitive areas, or land on a hillside used
4.34for pasture.
5.1(d) In selecting drained wetlands for enrollment in the program, the highest priority
5.2must be given to wetlands with a cropping history during the period 1976 to 1985.
5.3(e) (d) In selecting land for enrollment in the program, highest priority must be given
5.4to permanent easements that are consistent with the purposes stated in section 103F.505.

5.5    Sec. 22. Minnesota Statutes 2008, section 103F.515, subdivision 4, is amended to read:
5.6    Subd. 4. Nature of property rights acquired. (a) A conservation easement must
5.8(1) alteration of wildlife habitat and other natural features, unless specifically
5.9approved by the board;
5.10(2) agricultural crop production and livestock grazing, unless specifically approved
5.11by the board for wildlife conservation management purposes; and
5.12(3) grazing of livestock except, for agreements entered before the effective date of
5.13Laws 1990, chapter 391, grazing of livestock may be allowed only if approved by the
5.14board after consultation with the commissioner of natural resources, in the case of severe
5.15drought, or a local emergency declared under section 12.29; and
5.16(4) (3) spraying with chemicals or mowing, except: as necessary to comply with
5.17noxious weed control laws or; for emergency control of pests necessary to protect public
5.18health; or as approved by the board for conservation management purposes.
5.19(b) A conservation easement is subject to the terms of the agreement provided in
5.20subdivision 5.
5.21(c) A conservation easement must allow repairs, improvements, and inspections
5.22necessary to maintain public drainage systems provided the easement area is restored to
5.23the condition required by the terms of the conservation easement.

5.24    Sec. 23. Minnesota Statutes 2008, section 103F.515, subdivision 5, is amended to read:
5.25    Subd. 5. Agreements by landowner. The board may enroll eligible land in the
5.26conservation reinvest in Minnesota reserve program by signing an agreement in recordable
5.27form with a landowner in which the landowner agrees:
5.28(1) to convey to the state a conservation easement that is not subject to any prior
5.29title, lien, or encumbrance;
5.30(2) to seed the land subject to the conservation easement, as specified in the
5.31agreement, to establish and maintain perennial cover of either a grass-legume mixture or
5.32native grasses for the term of the easement, at seeding rates determined by the board; or
5.33to plant trees or carry out other long-term capital improvements approved by the board
5.34for soil and water conservation or wildlife management;
5.35(3) to convey to the state a permanent easement for the wetland restoration;
6.1(4) that other land supporting natural vegetation owned or leased as part of the
6.2same farm operation at the time of application, if it supports natural vegetation or and
6.3has not been used in agricultural crop production, will not be converted to agricultural
6.4crop production or pasture; and
6.5(5) that the easement duration may be lengthened through mutual agreement with
6.6the board in consultation with the commissioners of agriculture and natural resources
6.7if they determine that the changes effectuate the purpose of the program or facilitate
6.8its administration.

6.9    Sec. 24. Minnesota Statutes 2008, section 103F.515, subdivision 6, is amended to read:
6.10    Subd. 6. Payments for conservation easements and establishment of cover
6.11conservation practices. (a) The board must make the following shall establish rates
6.12for payments to the landowner for the conservation easement and agreement: related
6.13practices. The board shall consider market factors, including the township average
6.14equalized estimated market value of property as established by the commissioner of
6.15revenue at the time of easement application.
6.16(1) to establish the perennial cover or other improvements required by the agreement:
6.17(i) except as provided in items (ii) and (iii), up to 75 percent of the total eligible cost
6.18not to exceed $125 per acre for limited duration easements and 100 percent of the total
6.19eligible cost not to exceed $150 per acre for perpetual easements;
6.20(ii) for native species restoration, 75 percent of the total eligible cost not to exceed
6.21$200 per acre for limited duration easements and 100 percent of the total eligible cost not
6.22to exceed $300 per acre for perpetual easements; and
6.23(iii) 100 percent of the total eligible cost of wetland restoration not to exceed $600
6.24per acre;
6.25(2) for the cost of planting trees required by the agreement, up to 75 percent of the
6.26total eligible cost not to exceed $250 per acre for limited duration easements, and 100
6.27percent of the total eligible cost not to exceed $400 per acre for perpetual easements;
6.28(3) for a permanent easement, 70 percent of the township average equalized
6.29estimated market value of agricultural property as established by the commissioner of
6.30revenue at the time of easement application;
6.31(4) for an easement of limited duration, 90 percent of the present value of the
6.32average of the accepted bids for the federal conservation reserve program, as contained in
6.33Public Law 99-198, in the relevant geographic area and on bids accepted at the time of
6.34easement application; or
7.1(5) an alternative payment system for easements based on cash rent or a similar
7.2system as may be determined by the board.
7.3(b) For hillside pasture conservation easements, the payments to the landowner in
7.4paragraph (a) for the conservation easement and agreement must be reduced to reflect the
7.5value of similar property.
7.6(c) (b) The board may establish a payment system for flowage easements acquired
7.7under this section.
7.8(d) (c) For wetland restoration projects involving more than one conservation
7.9easement, state payments for restoration costs may exceed the limits set forth in this section
7.10by the board for an individual easement provided the total payment for the restoration
7.11project does not exceed the amount payable for the total number of acres involved.
7.12(e) (d) The board may use available nonstate funds to exceed the payment limits
7.13in this section.

7.14    Sec. 25. Minnesota Statutes 2008, section 103F.521, subdivision 1, is amended to read:
7.15    Subdivision 1. Cooperation. In implementing sections 103F.505 to 103F.531, the
7.16board must share information and cooperate with the Department of Agriculture, the
7.17Department of Natural Resources, the Pollution Control Agency, the United States Fish
7.18and Wildlife Service, the Agricultural Stabilization and Conservation Service and Soil
7.19Conservation Service of the United States Department of Agriculture, the Minnesota
7.20Extension Service, the University of Minnesota, county boards, soil and water conservation
7.21districts, watershed districts, and interested private organizations and individuals.

7.22    Sec. 26. Minnesota Statutes 2008, section 103F.525, is amended to read:
7.25The board may supplement payments made under federal land retirement programs
7.26to the extent of available appropriations other than bond proceeds. The supplemental
7.27payments must be used to establish perennial cover on land enrolled or increase payments
7.28for land enrollment in programs approved by the board, including the federal conservation
7.29reserve program and federal and state water bank program.

7.30    Sec. 27. Minnesota Statutes 2008, section 103F.526, is amended to read:
7.32The board, in cooperation with the commissioner of natural resources, may authorize
7.33wildlife food plots on land with windbreaks enrolled in a conservation easement under
7.34section 103F.515.

8.1    Sec. 28. Minnesota Statutes 2008, section 103F.531, is amended to read:
8.2103F.531 RULEMAKING.
8.3The board may adopt rules or policy to implement sections 103F.505 to 103F.531.
8.4The rules must include standards for tree planting so that planting does not conflict with
8.5existing electrical lines, telephone lines, rights-of-way, or drainage ditches.

8.6    Sec. 29. Minnesota Statutes 2008, section 103F.535, subdivision 5, is amended to read:
8.7    Subd. 5. Release and alteration of conservation easements. Conservation
8.8easements existing under this section, as of April 30, 1992, may be altered, released,
8.9or terminated by the board of Water and Soil Resources after consultation with the
8.10commissioners of agriculture and natural resources. The board may alter, release, or
8.11terminate a conservation easement only if the board determines that the public interest and
8.12general welfare are better served by the alteration, release, or termination."
8.13Page 6, after line 29, insert:

8.14    "Sec. 32. REVISOR'S INSTRUCTION.
8.15The revisor of statutes shall change the term "conservation reserve program" to
8.16"reinvest in Minnesota reserve program" where it appears in Minnesota Statutes, sections
8.1784.95, subdivision 2; 92.70, subdivision 1; and 103H.105."
8.18Page 6, delete section 14, and insert:

8.19    "Sec. 33. REPEALER.
8.20(a) Minnesota Statutes 2008, sections 85.0505, subdivision 2; 103F.511, subdivision
8.214; and 103F.521, subdivision 2, are repealed.
8.22(b) Minnesota Rules, parts 8400.3000; 8400.3030; 8400.3060; 8400.3110;
8.238400.3130; 8400.3160; 8400.3200; 8400.3210; 8400.3230; 8400.3260; 8400.3300;
8.248400.3330; 8400.3360; 8400.3390; 8400.3400; 8400.3460; 8400.3500; 8400.3530;
8.258400.3560; 8400.3600; 8400.3610; 8400.3630; 8400.3700; 8400.3730; 8400.3800;
8.268400.3830; 8400.3870; and 8400.3930, are repealed."
8.27Renumber the sections in sequence and correct the internal references
8.28Amend the title accordingly