1.1 	A bill for an act
1.2 	relating to state lands; providing for disposition of proceeds from the lease 
1.3 	of certain tax-forfeited land in Itasca County; authorizing private sale of 
1.4 	tax-forfeited land bordering public water in Itasca County;amending Laws 2006, 
1.5 	chapter 236, article 1, section 43.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Laws 2006, chapter 236, article 1, section 43, is amended to read:
1.8 	Sec. 43. LAND REPLACEMENT TRUST FUND; ITASCA COUNTY.
 1.9 	Notwithstanding the provisions of Minnesota Statutes, chapter 282, and any other 
1.10 	law relating to the apportionment of proceeds from the sale or lease of tax-forfeited land, 
1.11 	Itasca County must apportion the first $1,000,000 received from the sale or lease of 
1.12 	tax-forfeited lands within Minnesota Steel Industries permit to mine area near Nashwauk, 
1.13 	Minnesota, as provided in Laws 1965, chapter 326, section 1, as amended. Any remaining 
1.14 	proceeds received from the sale or lease must be deposited into a tax-forfeited land 
1.15 	replacement trust fund established by Itasca County under this section. The principal 
1.16 	and interest from this fund may be spent only on the purchase of lands to replace the 
1.17 	tax-forfeited lands sold to Minnesota Steel Industries. Lands purchased with the land 
1.18 	replacement fund must: 
1.19 	(1) become subject to trust in favor of the governmental subdivision wherein they lie 
1.20 	and all laws related to tax-forfeited lands; and 
1.21 	(2) be for forest management purposes and dedicated as memorial forest under 
1.22 	Minnesota Statutes, section 459.06, subdivision 2. 

2.1 	EFFECTIVE DATE. This section is effective the day after compliance with 
2.2 	Minnesota Statutes, section 645.021, subdivision 3, by the governing body of Itasca 
2.3 	County.

2.4 	Sec. 2. PRIVATE SALE OF TAX-FORFEITED LAND BORDERING PUBLIC 
2.5 	WATER; ITASCA COUNTY.
 2.6 	(a) Notwithstanding Minnesota Statutes, sections 92.45 and 282.018, subdivision 
2.7 	1, and the public sale provisions of Minnesota Statutes, chapter 282, Itasca County may 
2.8 	sell to Itasca County the tax-forfeited land bordering public water that is described in 
2.9 	paragraph (c), for the appraised value of the land.
2.10 	(b) The conveyance must be in a form approved by the attorney general. The attorney 
2.11 	general may make changes to the land description to correct errors and ensure accuracy.
2.12 	(c) The land to be sold is in Itasca County and is described as: the North 1,100 feet 
2.13 	of Government Lot 1, Section 26, Township 56 North, Range 26 West.
2.14 	(d) The county has determined that the county's land management interests would be 
2.15 	best served if the land was under the direct ownership of Itasca County.