1.1Senator Hauschild moved to amend
H.F. No. 3911, as amended pursuant to Rule 45,
1.2adopted by the Senate May 3, 2024, as follows:
1.3(The text of the amended House File is identical to
S.F. No. 3887.)
1.4Page 21, after line 25, insert:
1.5 "Sec. 5. Minnesota Statutes 2022, section 93.222, is amended to read:
1.693.222 TACONITE IRON ORE SPECIAL ADVANCE ROYALTY ACCOUNT.
1.7The taconite iron ore special advance royalty account is created as an account in
the
1.8state treasury for disposal of certain mineral lease money received
under negotiated state
1.9iron ore or taconite iron ore mining leases and under the terms of extension agreements
1.10adopted under section
93.193, relating to state iron ore or taconite iron ore mining leases.
1.11The principal of the account is distributed under the terms of the
negotiated leases or
1.12extension agreements to the account or entity entitled by applicable law and lease
terms to
1.13receive the income from the class of land being leased. Interest accruing from investment
1.14of the account remains with the account until distributed as provided in this section.
The
1.15interest accrued through June 30 under each extension agreement is distributed annually,
1.16as soon as possible after June 30, to the account or entity entitled by applicable
law and
1.17lease terms to receive the income from the class of land being leased in the same
proportion
1.18that the total acres included in a particular class of land bears to the total acreage
of the
1.19leased land covered by each extension agreement. Money in the taconite iron ore special
1.20advance royalty account is appropriated for distribution as provided in this section."
1.21Page 56, after line 20, insert:
1.22 "Sec. 41.
RULEMAKING; CHANGES TO NONFERROUS METALLIC MINERAL
1.23LEASE TERMS.
1.24(a) The commissioner of natural resources must amend paragraph 8c of the lease terms
1.25under Minnesota Rules, part 6125.0700, as follows:
1.26(1) in the first paragraph, strike ": (1) the net return value of the metallic minerals
and
1.27associated mineral products recovered from each ton of dried crude ore mined from
the
1.28mining unit exceeds $75; and (2)";
1.29(2) amend the second paragraph to read "The adjustment to the base rate must be
1.30computed by multiplying a fraction, the numerator of which is the Base Index and the
1.31denominator of which is equal to the Producer Price Index for All Commodities for
the
1.32month in question, by the net return value of the metallic minerals and associated
mineral
2.1products recovered from each ton of dried crude ore mined from the mining unit. The
2.2resulting product must be carried to four decimal places and then rounded to the nearest
2.3one-hundredth of a dollar. This product must be used instead of the net return value
to
2.4reference Appendix A: Royalty Base Rate Table and to determine the base rate."; and
2.5(3) in the third paragraph, make changes to the example consistent with clauses (1)
and
2.6(2) and update and reformat as needed.
2.7(b) The commissioner may use the good-cause exemption under Minnesota Statutes,
2.8section 14.388, subdivision 1, clause (3), to adopt the rule under paragraph (a),
and Minnesota
2.9Statutes, section 14.386, does not apply except as provided under Minnesota Statutes,
section
2.1014.388.
2.11(c) Effective on the date that the rule under paragraph (a) is adopted, all existing
2.12nonferrous metallic mineral leases issued by the commissioner are deemed amended to
2.13reflect the adopted rule."
2.14Renumber the sections in sequence and correct the internal references
2.15Amend the title accordingly
2.16The motion prevailed. #did not prevail. So the amendment was #not adopted.