1.1                          A bill for an act 
  1.2             relating to environment; modifying reimbursement 
  1.3             provisions for certain settlements made under the 
  1.4             Environment Response and Liability Act; amending 
  1.5             Minnesota Statutes 1998, section 115B.17, subdivision 
  1.6             19. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1998, section 115B.17, 
  1.9   subdivision 19, is amended to read: 
  1.10     Subd. 19.  [REIMBURSEMENT UNDER CERTAIN SETTLEMENTS.] (a) 
  1.11  When the agency determines that some but not all persons 
  1.12  responsible for a release are willing to implement response 
  1.13  actions, the agency may agree, pursuant to a settlement of its 
  1.14  claims under sections 115B.01 to 115B.18, to reimburse the 
  1.15  settling parties for response costs incurred to take the 
  1.16  actions.  The agency may agree to reimburse any amount which 
  1.17  does not exceed the amount that the agency estimates may be 
  1.18  attributable to the liability of responsible persons who are not 
  1.19  parties to the settlement.  Reimbursement may be provided only 
  1.20  for the cost of conducting remedial design and constructing 
  1.21  remedial action pursuant to the terms of the settlement.  
  1.22  Reimbursement under this subdivision shall be paid only upon the 
  1.23  agency's determination that the remedial action approved by the 
  1.24  agency has been completed in accordance with the terms of the 
  1.25  settlement.  The agency may use money appropriated to it for 
  1.26  actions authorized under section 115B.20, subdivision 2, clause 
  2.1   (2), to pay reimbursement under this subdivision. 
  2.2      (b) The agency may agree to provide reimbursement under a 
  2.3   settlement only when all of the following requirements have been 
  2.4   met: 
  2.5      (1) the agency has made the determination under paragraph 
  2.6   (c) regarding persons who are not participating in the 
  2.7   settlement, and has provided written notice to persons 
  2.8   identified under paragraph (c), clauses (1) and (2), of their 
  2.9   opportunity to participate in the settlement or in a separate 
  2.10  settlement under subdivision 20; 
  2.11     (2) the release addressed in the settlement has been 
  2.12  assigned a priority pursuant to agency rules adopted under 
  2.13  subdivision 13, and the priority is at least as high as a 
  2.14  release for which the agency would be allowed to allocate funds 
  2.15  for remedial action under the rules; 
  2.16     (3) an investigation of the release addressed in the 
  2.17  settlement has been completed in accordance with a plan approved 
  2.18  by the agency; and 
  2.19     (4) the agency has approved the remedial action to be 
  2.20  implemented under the settlement. 
  2.21     (c) Before entering into a settlement providing for 
  2.22  reimbursement under this subdivision, the agency shall determine 
  2.23  that there are one or more persons who meet any of the following 
  2.24  criteria who are not participating in the settlement: 
  2.25     (1) persons identified by the agency as responsible for the 
  2.26  release addressed in the settlement but who are likely to have 
  2.27  only minimal involvement in actions leading to the release, or 
  2.28  are insolvent or financially unable to pay any significant share 
  2.29  of response action costs; 
  2.30     (2) persons identified by the agency as responsible for the 
  2.31  release other than persons described in clause (1) and who are 
  2.32  unwilling to participate in the settlement or to take response 
  2.33  actions with respect to the release; 
  2.34     (3) persons whom the agency has reason to believe are 
  2.35  responsible for the release addressed in the settlement but whom 
  2.36  the agency has been unable to identify; or 
  3.1      (4) persons identified to the agency by a party to the 
  3.2   proposed settlement as persons who are potentially responsible 
  3.3   for the release but for whom the agency has insufficient 
  3.4   information to determine responsibility. 
  3.5      (d) Except as otherwise provided in this subdivision, a 
  3.6   decision of the agency under this subdivision to offer or agree 
  3.7   to provide reimbursement in any settlement, or to determine the 
  3.8   amount of reimbursement it will provide under a settlement, is a 
  3.9   matter of agency discretion in the exercise of its enforcement 
  3.10  authority.  In exercising discretion in this matter, the agency 
  3.11  may consider, among other factors, the degree of cooperation 
  3.12  with the agency that has been shown prior to the settlement by 
  3.13  the parties seeking reimbursement. 
  3.14     (e) The agency may require as a term of settlement under 
  3.15  this subdivision that the parties receiving reimbursement from 
  3.16  the agency waive any rights they may have to bring a claim for 
  3.17  contribution against persons who are not parties to the 
  3.18  settlement. 
  3.19     (f) Until June 30, 2001, the agency may use the authority 
  3.20  under this subdivision to enter settlement agreements and 
  3.21  provide reimbursement for implementation of a portion of an 
  3.22  approved response action plan.  The amount reimbursed may not 
  3.23  exceed that proportion of the costs of the actions implemented 
  3.24  under the settlement which are attributable to the liability of 
  3.25  responsible persons who are not parties to the settlement.  
  3.26  Notwithstanding the limitations on the timing and conditions for 
  3.27  reimbursement payments in paragraph (a), reimbursement may be 
  3.28  provided as costs of implementing actions included within the 
  3.29  settlement are incurred.  The actions under the settlement may 
  3.30  be implemented by the agency or by the responsible parties.  The 
  3.31  agency may provide reimbursement for approved costs incurred 
  3.32  prior to July 1, 2001. 
  3.33     (g) A decision of the agency under paragraph (f) to offer 
  3.34  or agree to provide reimbursement in any settlement, or to 
  3.35  determine the specific remedial actions included in a settlement 
  3.36  or the amount of reimbursement it will provide under a 
  4.1   settlement, is a matter of agency discretion in the exercise of 
  4.2   its enforcement authority.  In exercising discretion in this 
  4.3   matter, the agency may consider, among other factors, the degree 
  4.4   of cooperation with the agency that has been shown prior to the 
  4.5   settlement by the parties seeking reimbursement. 
  4.6      Sec. 2.  [EFFECTIVE DATE.] 
  4.7      This act is effective the day following final enactment.