Bill Text: MN SF1 | 2011-2012 | 87th Legislature | Introduced


Bill Title: Job creation; business tax reductions; department of natural resources (DNR) permitting efficiency; environmental review requirements modifications

Spectrum: Moderate Partisan Bill (Republican 6-1)

Status: (Engrossed - Dead) 2011-07-20 - Secretary of State, Filed [SF1 Detail]

Download: Minnesota-2011-SF1-Introduced.html

1.1A bill for an act
1.2relating to job creation; reducing certain taxes; providing for permitting
1.3efficiency; modifying environmental review requirements;amending Minnesota
1.4Statutes 2010, sections 84.027, by adding a subdivision; 115.07; 116.03, by
1.5adding a subdivision; 116.07, subdivision 2; 116D.04, subdivisions 3a, 10;
1.6116D.045, subdivisions 1, 3; 275.025, subdivisions 1, 4; 290.06, subdivision 1;
1.7290.0921, subdivision 1.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9ARTICLE 1
1.10BUSINESS TAXATION

1.11    Section 1. Minnesota Statutes 2010, section 275.025, subdivision 1, is amended to read:
1.12    Subdivision 1. Levy amount. The state general levy is levied against
1.13commercial-industrial property and seasonal residential recreational property, as defined
1.14in this section. The state general levy base amount is $592,000,000 $717,100,000 for
1.15commercial-industrial property and $39,800,000 for seasonal residential recreational
1.16property for taxes payable in 2002 2012 and thereafter. For taxes payable in subsequent
1.17years, the levy base amount is increased each year by multiplying the levy base amount
1.18for the prior year by the sum of one plus the rate of increase, if any, in the implicit price
1.19deflator for government consumption expenditures and gross investment for state and
1.20local governments prepared by the Bureau of Economic Analysts of the United States
1.21Department of Commerce for the 12-month period ending March 31 of the year prior to the
1.22year the taxes are payable. The tax under this section is not treated as a local tax rate under
1.23section 469.177 and is not the levy of a governmental unit under chapters 276A and 473F.
1.24The commissioner shall increase or decrease the preliminary or final rate for a year
1.25as necessary to account for errors and tax base changes that affected a preliminary or final
2.1rate for either of the two preceding years. Adjustments are allowed to the extent that the
2.2necessary information is available to the commissioner at the time the rates for a year must
2.3be certified, and for the following reasons:
2.4(1) an erroneous report of taxable value by a local official;
2.5(2) an erroneous calculation by the commissioner; and
2.6(3) an increase or decrease in taxable value for commercial-industrial or seasonal
2.7residential recreational property reported on the abstracts of tax lists submitted under
2.8section 275.29 that was not reported on the abstracts of assessment submitted under
2.9section 270C.89 for the same year.
2.10The commissioner may, but need not, make adjustments if the total difference in the tax
2.11levied for the year would be less than $100,000.
2.12EFFECTIVE DATE.This section is effective for taxes levied in 2011, payable
2.13in 2012, and thereafter.

2.14    Sec. 2. Minnesota Statutes 2010, section 275.025, subdivision 4, is amended to read:
2.15    Subd. 4. Apportionment and Levy of state general tax. Ninety-five percent of the
2.16state general tax must be levied by applying a uniform rate to all commercial-industrial tax
2.17capacity and five percent of the state general tax must be levied by applying a uniform
2.18rate to all seasonal residential recreational tax capacity. On or before October 1 each year,
2.19the commissioner of revenue shall certify the preliminary state general levy rates to each
2.20county auditor that must be used to prepare the notices of proposed property taxes for taxes
2.21payable in the following year. By January 1 of each year, the commissioner shall certify
2.22the final state general levy rate to each county auditor that shall be used in spreading taxes.
2.23EFFECTIVE DATE.This section is effective for taxes levied in 2011, payable
2.24in 2012, and thereafter.

2.25    Sec. 3. Minnesota Statutes 2010, section 290.06, subdivision 1, is amended to read:
2.26    Subdivision 1. Computation, corporations. The franchise tax imposed upon
2.27corporations shall be computed by applying to their taxable income the rate of 9.8 percent.:
2.28(1) 9.8 percent in taxable year 2011;
2.29(2) 8.8 percent in taxable year 2012;
2.30(3) 7.8 percent in taxable year 2013;
2.31(4) 7.3 percent in taxable year 2014;
2.32(5) 6.8 percent in taxable year 2015;
2.33(6) 5.8 percent in taxable year 2016; and
3.1(7) 4.9 percent in taxable year 2017 and thereafter.
3.2EFFECTIVE DATE.This section is effective for taxable years beginning after
3.3December 31, 2010.

3.4    Sec. 4. Minnesota Statutes 2010, section 290.0921, subdivision 1, is amended to read:
3.5    Subdivision 1. Tax imposed. In addition to the taxes computed under this chapter
3.6without regard to this section, the franchise tax imposed on corporations includes a tax
3.7equal to the excess, if any, for the taxable year of:
3.8(1)(i) 5.8 percent of Minnesota alternative minimum taxable income in taxable
3.9year 2011;
3.10(ii) 5.2 percent of Minnesota alternative minimum taxable income in taxable year
3.112012;
3.12(iii) 4.6 percent of Minnesota alternative minimum taxable income in taxable year
3.132013;
3.14(iv) 4.3 percent of Minnesota alternative minimum taxable income in taxable year
3.152014;
3.16(v) 4 percent of Minnesota alternative minimum taxable income in taxable year 2015;
3.17(vi) 3.4 percent of Minnesota alternative minimum taxable income in taxable year
3.182016; and
3.19(vii) 2.9 percent of Minnesota alternative minimum taxable income in taxable year
3.202017 and thereafter; over
3.21(2) the tax imposed under section 290.06, subdivision 1, for the taxable year without
3.22regard to this section.
3.23EFFECTIVE DATE.This section is effective for taxable years beginning after
3.24December 31, 2010.

3.25ARTICLE 2
3.26ENVIRONMENTAL PERMITTING AND REVIEW

3.27    Section 1. Minnesota Statutes 2010, section 84.027, is amended by adding a
3.28subdivision to read:
3.29    Subd. 14a. Permitting efficiency. (a) It is the goal of the state that environmental
3.30and resource management permits be issued or denied within 150 days of the submission
3.31of a completed permit application. The commissioner of natural resources shall establish
3.32management systems designed to achieve the goal.
4.1(b) The commissioner shall prepare semiannual permitting efficiency reports that
4.2include statistics on meeting the goal in paragraph (a). The reports are due February 1 and
4.3August 1 each year. For permit applications that have not met the goal, the report must
4.4state the reasons for not meeting the goal, steps that will be taken to complete action on
4.5the application, and the expected timeline. In stating the reasons for not meeting the
4.6goal, the commissioner shall separately identify delays caused by the responsiveness of
4.7the proposer, lack of staff, scientific or technical disagreements, or the level of public
4.8engagement. The report must specify the number of days from initial submission of
4.9the application to the day of determination that the application is complete. The report
4.10for the final quarter of the fiscal year must aggregate the data for the year and assess
4.11whether program or system changes are necessary to achieve the goal. The report must
4.12be posted on the department's Web site and submitted to the governor and the chairs
4.13of the house of representatives and senate committees having jurisdiction over natural
4.14resources policy and finance.
4.15(c) The commissioner shall allow electronic submission of environmental review
4.16and permit documents to the department.

4.17    Sec. 2. Minnesota Statutes 2010, section 115.07, is amended to read:
4.18115.07 VIOLATIONS AND PROHIBITIONS.
4.19    Subdivision 1. Obtain permit. (a) Except as provided in paragraph (b), it shall be
4.20is unlawful for any person to construct, install, or operate a disposal system, or any part
4.21thereof, until plans therefor shall and specifications for the disposal system have been
4.22submitted to the agency, unless the agency shall have waived the waives submission
4.23thereof to it of the plans and specifications and a written permit therefor shall have been
4.24for the disposal system is granted by the agency.
4.25(b) If a person who discharges a pollutant into the waters of the state is required by
4.26statutes or rules to obtain both a national pollutant discharge elimination system permit
4.27and a state disposal system permit and the permit is not for discharges under Minnesota
4.28Rules, part 7090.2010, it is unlawful for the person to construct, install, or operate the
4.29disposal system, or any part thereof, until plans and specifications for the disposal system
4.30have been submitted to the agency, unless the agency waives submission of the plans and
4.31specifications. The person is prohibited from discharging a pollutant into the waters of
4.32the state until a written permit for the discharge is granted by the agency and plans and
4.33specifications for the disposal system have been approved, unless the agency waives the
4.34submission of the plans and specifications.
5.1(c) For disposal systems operated on streams with extreme seasonal flows, the
5.2agency must allow seasonal permit limits based on a fixed or variable effluent limit when
5.3the municipality operating the disposal system requests them and is in compliance with
5.4agency water quality standards.
5.5    Subd. 3. Permission for extension. (a) Except as provided in paragraph (b), it
5.6shall be is unlawful for any person to make any change in, addition to, or extension of any
5.7existing disposal system or point source, or part thereof, to effect any facility expansion,
5.8production increase, or process modification which results in new or increased discharges
5.9of pollutants, or to operate such system or point source, or part thereof as so changed,
5.10added to, or extended until plans and specifications therefor shall have been submitted to
5.11the agency, unless the agency shall have waived the waives submission thereof to it of
5.12the plans and specifications and a written permit therefor shall have been for the change,
5.13addition, or extension is granted by the agency.
5.14(b) If a person who discharges a pollutant into the waters of the state is required by
5.15statutes or rules to obtain both a national pollutant discharge elimination system permit
5.16and a state disposal system permit and the permit is not for discharge under Minnesota
5.17Rules, part 7090.2010, it is unlawful for the person to change, add to, or extend an existing
5.18disposal system or point source, or part thereof, as specified under paragraph (a) until
5.19plans and specifications for the change, addition, or extension have been submitted to
5.20the agency, unless the agency waives submission of the plans and specifications. The
5.21person is prohibited from discharging additional or increased pollutants into the waters
5.22of the state until a written permit for the discharge is granted by the agency and plans
5.23and specifications for the change, addition, or extension have been approved, unless the
5.24agency waives the submission of plans and specifications.

5.25    Sec. 3. Minnesota Statutes 2010, section 116.03, is amended by adding a subdivision to
5.26read:
5.27    Subd. 2b. Permitting efficiency. (a) It is the goal of the state that environmental
5.28and resource management permits be issued or denied within 150 days of the submission
5.29of a completed permit application. The commissioner of the Pollution Control Agency
5.30shall establish management systems designed to achieve the goal.
5.31(b) The commissioner shall prepare semiannual permitting efficiency reports that
5.32include statistics on meeting the goal in paragraph (a). The reports are due February 1 and
5.33August 1 each year. For permit applications that have not met the goal, the report must
5.34state the reasons for not meeting the goal, steps that will be taken to complete action on
5.35the application, and the expected timeline. In stating the reasons for not meeting the
6.1goal, the commissioner shall separately identify delays caused by the responsiveness of
6.2the proposer, lack of staff, scientific or technical disagreements, or the level of public
6.3engagement. The report must specify the number of days from initial submission of
6.4the application to the day of determination that the application is complete. The report
6.5for the final quarter of the fiscal year must aggregate the data for the year and assess
6.6whether program or system changes are necessary to achieve the goal. The report must
6.7be posted on the agency's Web site and submitted to the governor and the chairs of the
6.8house of representatives and senate committees having jurisdiction over environment
6.9policy and finance.
6.10(c) The commissioner shall allow electronic submission of environmental review
6.11and permit documents to the agency.

6.12    Sec. 4. Minnesota Statutes 2010, section 116.07, subdivision 2, is amended to read:
6.13    Subd. 2. Adoption of standards. (a) The Pollution Control Agency shall improve
6.14air quality by promoting, in the most practicable way possible, the use of energy sources
6.15and waste disposal methods which produce or emit the least air contaminants consistent
6.16with the agency's overall goal of reducing all forms of pollution. The agency shall also
6.17adopt standards of air quality, including maximum allowable standards of emission of air
6.18contaminants from motor vehicles, recognizing that due to variable factors, no single
6.19standard of purity of air is applicable to all areas of the state. In adopting standards the
6.20Pollution Control Agency shall give due recognition to the fact that the quantity or
6.21characteristics of air contaminants or the duration of their presence in the atmosphere,
6.22which may cause air pollution in one area of the state, may cause less or not cause any air
6.23pollution in another area of the state, and it shall take into consideration in this connection
6.24such factors, including others which it may deem proper, as existing physical conditions,
6.25zoning classifications, topography, prevailing wind directions and velocities, and the fact
6.26that a standard of air quality which may be proper as to an essentially residential area of
6.27the state, may not be proper as to a highly developed industrial area of the state. Such
6.28standards of air quality shall be premised upon scientific knowledge of causes as well as
6.29effects based on technically substantiated criteria and commonly accepted practices. No
6.30local government unit shall set standards of air quality which are more stringent than
6.31those set by the Pollution Control Agency.
6.32(b) The Pollution Control Agency shall promote solid waste disposal control
6.33by encouraging the updating of collection systems, elimination of open dumps, and
6.34improvements in incinerator practices. The agency shall also adopt standards for the
6.35control of the collection, transportation, storage, processing, and disposal of solid waste
7.1and sewage sludge for the prevention and abatement of water, air, and land pollution,
7.2recognizing that due to variable factors, no single standard of control is applicable to
7.3all areas of the state. In adopting standards, the Pollution Control Agency shall give
7.4due recognition to the fact that elements of control which may be reasonable and proper
7.5in densely populated areas of the state may be unreasonable and improper in sparsely
7.6populated or remote areas of the state, and it shall take into consideration in this connection
7.7such factors, including others which it may deem proper, as existing physical conditions,
7.8topography, soils and geology, climate, transportation, and land use. Such standards of
7.9control shall be premised on technical criteria and commonly accepted practices.
7.10(c) The Pollution Control Agency shall also adopt standards describing the
7.11maximum levels of noise in terms of sound pressure level which may occur in the outdoor
7.12atmosphere, recognizing that due to variable factors no single standard of sound pressure
7.13is applicable to all areas of the state. Such standards shall give due consideration to
7.14such factors as the intensity of noises, the types of noises, the frequency with which
7.15noises recur, the time period for which noises continue, the times of day during which
7.16noises occur, and such other factors as could affect the extent to which noises may be
7.17injurious to human health or welfare, animal or plant life, or property, or could interfere
7.18unreasonably with the enjoyment of life or property. In adopting standards, the Pollution
7.19Control Agency shall give due recognition to the fact that the quantity or characteristics
7.20of noise or the duration of its presence in the outdoor atmosphere, which may cause
7.21noise pollution in one area of the state, may cause less or not cause any noise pollution
7.22in another area of the state, and it shall take into consideration in this connection such
7.23factors, including others which it may deem proper, as existing physical conditions,
7.24zoning classifications, topography, meteorological conditions and the fact that a standard
7.25which may be proper in an essentially residential area of the state, may not be proper as to
7.26a highly developed industrial area of the state. Such noise standards shall be premised
7.27upon scientific knowledge as well as effects based on technically substantiated criteria
7.28and commonly accepted practices. No local governing unit shall set standards describing
7.29the maximum levels of sound pressure which are more stringent than those set by the
7.30Pollution Control Agency.
7.31(d) The Pollution Control Agency shall adopt standards for the identification of
7.32hazardous waste and for the management, identification, labeling, classification, storage,
7.33collection, transportation, processing, and disposal of hazardous waste, recognizing
7.34that due to variable factors, a single standard of hazardous waste control may not be
7.35applicable to all areas of the state. In adopting standards, the Pollution Control Agency
7.36shall recognize that elements of control which may be reasonable and proper in densely
8.1populated areas of the state may be unreasonable and improper in sparsely populated
8.2or remote areas of the state. The agency shall consider existing physical conditions,
8.3topography, soils, and geology, climate, transportation and land use. Standards of
8.4hazardous waste control shall be premised on technical knowledge, and commonly
8.5accepted practices. Hazardous waste generator licenses may be issued for a term not to
8.6exceed five years. No local government unit shall set standards of hazardous waste control
8.7which are in conflict or inconsistent with those set by the Pollution Control Agency.
8.8(e) A person who generates less than 100 kilograms of hazardous waste per month is
8.9exempt from the following agency hazardous waste rules:
8.10(1) rules relating to transportation, manifesting, storage, and labeling for
8.11photographic fixer and x-ray negative wastes that are hazardous solely because of silver
8.12content; and
8.13(2) any rule requiring the generator to send to the agency or commissioner a copy
8.14of each manifest for the transportation of hazardous waste for off-site treatment, storage,
8.15or disposal, except that counties within the metropolitan area may require generators to
8.16provide manifests.
8.17Nothing in this paragraph exempts the generator from the agency's rules relating to on-site
8.18accumulation or outdoor storage. A political subdivision or other local unit of government
8.19may not adopt management requirements that are more restrictive than this paragraph.
8.20(f) In any rulemaking proceeding under chapter 14 to adopt standards for air quality
8.21or hazardous waste under this chapter or standards for water quality under chapter 115
8.22that are more stringent than any similar federal standard, the statement of need and
8.23reasonableness must include documentation that the federal standard does not provide
8.24adequate protection for public health and the environment and a comparison of the
8.25proposed standard with standards in border states and states within Environmental
8.26Protection Agency Region 5.

8.27    Sec. 5. Minnesota Statutes 2010, section 116D.04, subdivision 3a, is amended to read:
8.28    Subd. 3a. Final decisions. Within 90 30 days after final approval of an
8.29environmental impact statement, final decisions shall be made by the appropriate
8.30governmental units on those permits which were identified as required and for which
8.31information was developed concurrently with the preparation of the environmental impact
8.32statement. Provided, however, that the 90-day 30-day period may be extended where a
8.33longer period is required by federal law or state statute or is consented to by the permit
8.34applicant. The permit decision shall include the reasons for the decision, including
9.1any conditions under which the permit is issued, together with a final order granting or
9.2denying the permit.

9.3    Sec. 6. Minnesota Statutes 2010, section 116D.04, subdivision 10, is amended to read:
9.4    Subd. 10. Review. Decisions on the need for an environmental assessment
9.5worksheet, the need for an environmental impact statement, and the adequacy of an
9.6environmental impact statement may be reviewed by a declaratory judgment action in
9.7the district court of the county wherein the proposed action, or any part thereof, would
9.8be undertaken the Court of Appeals. Judicial review under this section shall be initiated
9.9within 30 days after the governmental unit makes the decision, and a bond may be
9.10required under section 562.02 unless at the time of hearing on the application for the bond
9.11the plaintiff has shown that the claim has sufficient possibility of success on the merits to
9.12sustain the burden required for the issuance of a temporary restraining order. Nothing in
9.13this section shall be construed to alter the requirements for a temporary restraining order
9.14or a preliminary injunction pursuant to the Minnesota Rules of Civil Procedure for district
9.15courts. The board may initiate judicial review of decisions referred to herein and may
9.16intervene as of right in any proceeding brought under this subdivision.

9.17    Sec. 7. Minnesota Statutes 2010, section 116D.045, subdivision 1, is amended to read:
9.18    Subdivision 1. Assessment. The board shall by rule adopt procedures to authorize
9.19the proposer of a specific action to prepare a draft environmental impact statement of that
9.20action required pursuant to section 116D.04 for submission to and review, modification,
9.21and determination of completeness and adequacy by the responsible governmental unit or
9.22assess the proposer of a specific action for reasonable costs of preparing, reviewing, and
9.23distributing an the environmental impact statement on that action required pursuant to
9.24section 116D.04. Such costs shall be determined by the responsible governmental unit
9.25pursuant to the rules promulgated by the board.

9.26    Sec. 8. Minnesota Statutes 2010, section 116D.045, subdivision 3, is amended to read:
9.27    Subd. 3. Use of assessment. As necessary, the responsible governmental unit shall
9.28assess the project proposer for reasonable costs that the responsible governmental unit
9.29incurs in preparing, reviewing, and distributing the environmental impact statement and
9.30the proposer shall pay the assessed cost to the responsible governmental unit. Money
9.31received under this subdivision by a responsible governmental unit may be retained by the
9.32unit for the same purposes. Money received by a state agency must be credited to a special
9.33account and is appropriated to the agency to cover the assessed costs incurred.

10.1    Sec. 9. RULE AMENDMENT.
10.2The commissioner of the Pollution Control Agency shall amend Minnesota Rules,
10.3part 7001.0030, to comply with the amendments made under section 2. The commissioner
10.4may use the good cause exemption under Minnesota Statutes, section 14.388, subdivision
10.51, clause (3), to adopt the amendment under this section, and Minnesota Statutes, section
10.614.386, does not apply except as provided under Minnesota Statutes, section 14.388.
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