1.1                          A bill for an act 
  1.2             relating to natural resources; modifying open burning 
  1.3             restrictions; empowering the commissioner to declare 
  1.4             an emergency; modifying provisions relating to timber 
  1.5             sales; amending Minnesota Statutes 1994, sections 
  1.6             88.171, subdivisions 4 and 10; 90.031, subdivision 4; 
  1.7             90.041, by adding a subdivision; 90.101, subdivision 
  1.8             1; 90.121; and 90.191, subdivision 1; Minnesota 
  1.9             Statutes 1995 Supplement, section 88.171, subdivision 
  1.10            2. 
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12     Section 1.  Minnesota Statutes 1995 Supplement, section 
  1.13  88.171, subdivision 2, is amended to read: 
  1.14     Subd. 2.  [PROHIBITED MATERIALS; EXCEPTIONS.] No person 
  1.15  shall conduct, cause, or permit open burning of rubber, 
  1.16  plastics, chemically treated materials, or other materials which 
  1.17  produce excessive or noxious smoke including, but not limited 
  1.18  to, tires, railroad ties, chemically treated lumber, composite 
  1.19  shingles, tar paper, insulation, composition board, sheetrock, 
  1.20  wiring, paint, or paint filters.  The commissioner may allow 
  1.21  burning of prohibited materials when the commissioner of health 
  1.22  or the local board of health has made a determination that the 
  1.23  burning is necessary to abate a public health nuisance.  Except 
  1.24  as specifically authorized by the commissioner of the pollution 
  1.25  control agency as an emergency response to an oil spill, no 
  1.26  person shall conduct, cause, or permit open burning of oil. 
  1.27     Sec. 2.  Minnesota Statutes 1994, section 88.171, 
  1.28  subdivision 4, is amended to read: 
  2.1      Subd. 4.  [INDUSTRIAL SOLID WASTE.] (a) No person shall 
  2.2   conduct, cause, or permit open burning of solid waste generated 
  2.3   from an industrial or manufacturing process or from a service or 
  2.4   commercial structure.  
  2.5      (b) The commissioner may allow open burning of raw 
  2.6   untreated wood if the commissioner determines that reuse, 
  2.7   recycling, or land disposal is not a feasible or prudent 
  2.8   alternative. 
  2.9      Sec. 3.  Minnesota Statutes 1994, section 88.171, 
  2.10  subdivision 10, is amended to read: 
  2.11     Subd. 10.  [SMOLDERING FIRES.] Peat, duff, and sawdust 
  2.12  fires must not be allowed to smolder with no flame present, 
  2.13  except when conducted for the purpose of managing forests, 
  2.14  prairies, or wildlife habitats. 
  2.15     Sec. 4.  Minnesota Statutes 1994, section 90.031, 
  2.16  subdivision 4, is amended to read: 
  2.17     Subd. 4.  The executive council may formulate and 
  2.18  establish, from time to time, rules it deems advisable for the 
  2.19  transaction of timber business of the state, including approval 
  2.20  of the sale of timber on any tract in a lot 
  2.21  exceeding $50,000 6,000 cords in volume when the sale is in the 
  2.22  best interests of the state, and may abrogate, modify, or 
  2.23  suspend rules at its pleasure. 
  2.24     Sec. 5.  Minnesota Statutes 1994, section 90.041, is 
  2.25  amended by adding a subdivision to read: 
  2.26     Subd. 7.  The commissioner may declare an emergency in the 
  2.27  event of a catastrophe caused by fire, windstorm, flood, insect, 
  2.28  disease, or other natural cause.  In the event of an emergency 
  2.29  declaration, the commissioner may grant an extension, without 
  2.30  penalty or interest, on an existing permit for standing timber 
  2.31  if the permit holder has entered into a purchase agreement to 
  2.32  harvest timber damaged by the natural catastrophe. 
  2.33     Sec. 6.  [PERMIT EXTENSION VALIDATION.] 
  2.34     An extension on an existing permit for standing timber 
  2.35  granted in 1995 or 1996 is valid if it would have been lawful 
  2.36  under section 90.041 as amended by this act. 
  3.1      Sec. 7.  Minnesota Statutes 1994, section 90.101, 
  3.2   subdivision 1, is amended to read: 
  3.3      Subdivision 1.  The commissioner may sell the timber on any 
  3.4   tract of state land in lots not exceeding $50,000 in appraised 
  3.5   value 6,000 cords in volume and may determine the number of 
  3.6   sections or fractional sections of land to be covered by any one 
  3.7   permit issued to the purchaser of timber on state lands, or in 
  3.8   any one contract or other instrument relating thereto.  No 
  3.9   timber shall be sold, except (1) to the highest bidder at public 
  3.10  auction, or (2) if unsold at public auction the commissioner may 
  3.11  offer the timber for private sale for a period of no more than 
  3.12  six months after the public auction to any person who pays the 
  3.13  appraised value for the timber.  The minimum price shall be the 
  3.14  appraised value as fixed by the report of the state appraiser.  
  3.15  Sales may include tracts in more than one contiguous county and 
  3.16  shall be held either in the county in which the tract is located 
  3.17  or in an adjacent county which is nearest the tract offered for 
  3.18  sale.  In adjoining counties, sales may not be held less than 
  3.19  two hours apart. 
  3.20     Sec. 8.  Minnesota Statutes 1994, section 90.121, is 
  3.21  amended to read: 
  3.22     90.121 [INTERMEDIATE AUCTION SALES; MAXIMUM LOTS OF $15,000 
  3.23  3,000 CORDS.] 
  3.24     The commissioner may sell the timber on any tract of state 
  3.25  land in lots not exceeding $15,000 in appraised value 3,000 
  3.26  cords in volume, in the same manner as timber sold at public 
  3.27  auction under section 90.101, and related laws, subject to the 
  3.28  following special exceptions and limitations:  
  3.29     (1) sales shall be at the forest office or other public 
  3.30  facility most accessible to potential bidders or close to where 
  3.31  the tract is located; 
  3.32     (2) the commissioner's list describing the tract, quantity 
  3.33  of timber, and appraised price shall be compiled not less than 
  3.34  30 days before the date of sale and a copy of the list posted 
  3.35  not less than 30 days before the date of the sale at the 
  3.36  location designated for the sale; 
  4.1      (3) notice of the sale shall be published once, not less 
  4.2   than one week before the date of the sale; 
  4.3      (4) no bidder may be awarded more than 25 percent of the 
  4.4   total tracts offered at the first round of bidding unless fewer 
  4.5   than four tracts are offered, in which case not more than one 
  4.6   tract shall be awarded to one bidder.  Any tract not sold may be 
  4.7   offered for sale for a period of six months for purchase by 
  4.8   persons eligible under this section at the appraised value; 
  4.9      (5) the bond or deposit required pursuant to section 90.161 
  4.10  or 90.173 shall be given or deposited before any cutting begins 
  4.11  or not later than 120 days after the date of purchase, whichever 
  4.12  is earlier, provided that the commissioner may extend the time 
  4.13  for furnishing the bond or deposit for not more than 30 
  4.14  additional days for good cause shown; 
  4.15     (6) in lieu of the placing of the marks M I N on cut 
  4.16  products as prescribed under section 90.151, subdivision 2, all 
  4.17  landings of cut products shall be legibly marked with the name 
  4.18  of the permit holder and the assigned permit number; 
  4.19     (7) no person may hold more than six permits issued under 
  4.20  this section and no sale may be made to a person holding six 
  4.21  permits which are still in effect or to a person having more 
  4.22  than 20 employees; 
  4.23     (8) the permit may not exceed three years in duration; and 
  4.24     (9) if all cut timber, equipment, and buildings are not 
  4.25  removed at the end of any 120-day extension period which the 
  4.26  commissioner may grant for removal, the commissioner may grant a 
  4.27  second period of time not to exceed 120 days for the removal of 
  4.28  cut timber, equipment, and buildings upon receipt of a request 
  4.29  by the permit holder for hardship reasons only.  
  4.30     The auction sale procedure set forth in this section 
  4.31  constitutes an additional alternative timber sale procedure 
  4.32  available to the commissioner and is not intended to replace 
  4.33  other authority possessed by the commissioner to sell timber in 
  4.34  lots of $15,000 3,000 cords or less. 
  4.35     Sec. 9.  Minnesota Statutes 1994, section 90.191, 
  4.36  subdivision 1, is amended to read: 
  5.1      Subdivision 1.  The commissioner may sell the timber on any 
  5.2   tract of state land in lots not exceeding $3,000 in appraised 
  5.3   value 500 cords in volume, without formalities but for not less 
  5.4   than the full appraised value thereof, to any person.  No sale 
  5.5   shall be made under this section to any person holding two 
  5.6   permits issued hereunder which are still in effect; except that 
  5.7   (1) a partnership as defined in chapter 323, which may include 
  5.8   spouses but which shall provide evidence that a partnership 
  5.9   exists, may be holding two permits for each of not more than 
  5.10  three partners who are actively engaged in the business of 
  5.11  logging or who are the spouses of persons who are actively 
  5.12  engaged in the business of logging with that partnership; and 
  5.13  (2) a corporation, a majority of whose shares and voting power 
  5.14  are owned by natural persons related to each other within the 
  5.15  fourth degree of kindred according to the rules of the civil law 
  5.16  or their spouses or estates, may be holding two permits for each 
  5.17  of not more than three shareholders who are actively engaged in 
  5.18  the business of logging or who are the spouses of persons who 
  5.19  are actively engaged in the business of logging with that 
  5.20  corporation. 
  5.21     Sec. 10.  [EFFECTIVE DATE.] 
  5.22     Sections 5 and 6 are effective the day following final 
  5.23  enactment.