1.2relating to environment; modifying environmental review requirements for
1.3biorefinery using cellulosic feedstock;amending Minnesota Statutes 2012,
1.4section 116D.04, subdivision 2a.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2012, section 116D.04, subdivision 2a, is amended to
1.7read:
1.8    Subd. 2a. When prepared. Where there is potential for significant environmental
1.9effects resulting from any major governmental action, the action shall be preceded by a
1.10detailed environmental impact statement prepared by the responsible governmental unit.
1.11The environmental impact statement shall be an analytical rather than an encyclopedic
1.12document which describes the proposed action in detail, analyzes its significant
1.13environmental impacts, discusses appropriate alternatives to the proposed action and
1.14their impacts, and explores methods by which adverse environmental impacts of an
1.15action could be mitigated. The environmental impact statement shall also analyze those
1.16economic, employment, and sociological effects that cannot be avoided should the action
1.17be implemented. To ensure its use in the decision-making process, the environmental
1.18impact statement shall be prepared as early as practical in the formulation of an action.
1.19    (a) The board shall by rule establish categories of actions for which environmental
1.20impact statements and for which environmental assessment worksheets shall be prepared
1.21as well as categories of actions for which no environmental review is required under this
1.22section. A mandatory environmental assessment worksheet shall not be required for the
1.23expansion of an ethanol plant, as defined in section 41A.09, subdivision 2a, paragraph
1.24(b), or the conversion of an ethanol plant to a biobutanol facility or the expansion of a
2.1biobutanol facility as defined in section 41A.105, subdivision 1a, based on the capacity
2.2of the expanded or converted facility to produce alcohol fuel, but must be required if
2.3the ethanol plant or biobutanol facility meets or exceeds thresholds of other categories
2.4of actions for which environmental assessment worksheets must be prepared. The
2.5responsible governmental unit for an ethanol plant or biobutanol facility project for which
2.6an environmental assessment worksheet is prepared shall be the state agency with the
2.7greatest responsibility for supervising or approving the project as a whole.
2.8A mandatory environmental impact statement shall not be required for a facility
2.9or plant located outside the seven-county metropolitan area that produces less than
2.10125,000,000 gallons of ethanol, biobutanol, or cellulosic biofuel annually, or produces less
2.11than 400,000 tons of biochemicals annually, if the facility or plant is: an ethanol plant, as
2.12defined in section 41A.09, subdivision 2a, paragraph (b); a biobutanol facility, as defined
2.13in section 41A.105, subdivision 1a, clause (1); or a cellulosic biofuel facility, as defined in
2.14section 41A.10, subdivision 1, paragraph (d); or a biorefinery using cellulosic feedstock.
2.15    (b) The responsible governmental unit shall promptly publish notice of the
2.16completion of an environmental assessment worksheet by publishing the notice in at least
2.17one newspaper of general circulation in the geographic area where the project is proposed,
2.18by posting the notice on a Web site that has been designated as the official publication site
2.19for publication of proceedings, public notices, and summaries of a political subdivision in
2.20which the project is proposed, or in any other manner determined by the board and shall
2.21provide copies of the environmental assessment worksheet to the board and its member
2.22agencies. Comments on the need for an environmental impact statement may be submitted
2.23to the responsible governmental unit during a 30-day period following publication of the
2.24notice that an environmental assessment worksheet has been completed. The responsible
2.25governmental unit's decision on the need for an environmental impact statement shall be
2.26based on the environmental assessment worksheet and the comments received during the
2.27comment period, and shall be made within 15 days after the close of the comment period.
2.28The board's chair may extend the 15-day period by not more than 15 additional days upon
2.29the request of the responsible governmental unit.
2.30    (c) An environmental assessment worksheet shall also be prepared for a proposed
2.31action whenever material evidence accompanying a petition by not less than 100
2.32individuals who reside or own property in the state, submitted before the proposed
2.33project has received final approval by the appropriate governmental units, demonstrates
2.34that, because of the nature or location of a proposed action, there may be potential for
2.35significant environmental effects. Petitions requesting the preparation of an environmental
2.36assessment worksheet shall be submitted to the board. The chair of the board shall
3.1determine the appropriate responsible governmental unit and forward the petition to it.
3.2A decision on the need for an environmental assessment worksheet shall be made by
3.3the responsible governmental unit within 15 days after the petition is received by the
3.4responsible governmental unit. The board's chair may extend the 15-day period by not
3.5more than 15 additional days upon request of the responsible governmental unit.
3.6    (d) Except in an environmentally sensitive location where Minnesota Rules, part
3.74410.4300, subpart 29, item B, applies, the proposed action is exempt from environmental
3.8review under this chapter and rules of the board, if:
3.9    (1) the proposed action is:
3.10    (i) an animal feedlot facility with a capacity of less than 1,000 animal units; or
3.11    (ii) an expansion of an existing animal feedlot facility with a total cumulative
3.12capacity of less than 1,000 animal units;
3.13    (2) the application for the animal feedlot facility includes a written commitment by
3.14the proposer to design, construct, and operate the facility in full compliance with Pollution
3.15Control Agency feedlot rules; and
3.16    (3) the county board holds a public meeting for citizen input at least ten business
3.17days prior to the Pollution Control Agency or county issuing a feedlot permit for the
3.18animal feedlot facility unless another public meeting for citizen input has been held with
3.19regard to the feedlot facility to be permitted. The exemption in this paragraph is in
3.20addition to other exemptions provided under other law and rules of the board.
3.21    (e) The board may, prior to final approval of a proposed project, require preparation
3.22of an environmental assessment worksheet by a responsible governmental unit selected
3.23by the board for any action where environmental review under this section has not been
3.24specifically provided for by rule or otherwise initiated.
3.25    (f) An early and open process shall be utilized to limit the scope of the environmental
3.26impact statement to a discussion of those impacts, which, because of the nature or location
3.27of the project, have the potential for significant environmental effects. The same process
3.28shall be utilized to determine the form, content and level of detail of the statement as well
3.29as the alternatives which are appropriate for consideration in the statement. In addition,
3.30the permits which will be required for the proposed action shall be identified during the
3.31scoping process. Further, the process shall identify those permits for which information
3.32will be developed concurrently with the environmental impact statement. The board
3.33shall provide in its rules for the expeditious completion of the scoping process. The
3.34determinations reached in the process shall be incorporated into the order requiring the
3.35preparation of an environmental impact statement.
4.1    (g) The responsible governmental unit shall, to the extent practicable, avoid
4.2duplication and ensure coordination between state and federal environmental review
4.3and between environmental review and environmental permitting. Whenever practical,
4.4information needed by a governmental unit for making final decisions on permits
4.5or other actions required for a proposed project shall be developed in conjunction
4.6with the preparation of an environmental impact statement. When an environmental
4.7impact statement is prepared for a project requiring multiple permits for which two or
4.8more agencies' decision processes include either mandatory or discretionary hearings
4.9before a hearing officer prior to the agencies' decision on the permit, the agencies
4.10may, notwithstanding any law or rule to the contrary, conduct the hearings in a single
4.11consolidated hearing process if requested by the proposer. All agencies having jurisdiction
4.12over a permit that is included in the consolidated hearing shall participate. The responsible
4.13governmental unit shall establish appropriate procedures for the consolidated hearing
4.14process, including procedures to ensure that the consolidated hearing process is consistent
4.15with the applicable requirements for each permit regarding the rights and duties of parties to
4.16the hearing, and shall utilize the earliest applicable hearing procedure to initiate the hearing.
4.17The procedures of section 116C.28, subdivision 2, apply to the consolidated hearing.
4.18    (h) An environmental impact statement shall be prepared and its adequacy
4.19determined within 280 days after notice of its preparation unless the time is extended by
4.20consent of the parties or by the governor for good cause. The responsible governmental
4.21unit shall determine the adequacy of an environmental impact statement, unless within 60
4.22days after notice is published that an environmental impact statement will be prepared,
4.23the board chooses to determine the adequacy of an environmental impact statement. If an
4.24environmental impact statement is found to be inadequate, the responsible governmental
4.25unit shall have 60 days to prepare an adequate environmental impact statement.
4.26    (i) The proposer of a specific action may include in the information submitted to the
4.27responsible governmental unit a preliminary draft environmental impact statement under
4.28this section on that action for review, modification, and determination of completeness and
4.29adequacy by the responsible governmental unit. A preliminary draft environmental impact
4.30statement prepared by the project proposer and submitted to the responsible governmental
4.31unit shall identify or include as an appendix all studies and other sources of information
4.32used to substantiate the analysis contained in the preliminary draft environmental impact
4.33statement. The responsible governmental unit shall require additional studies, if needed,
4.34and obtain from the project proposer all additional studies and information necessary for
4.35the responsible governmental unit to perform its responsibility to review, modify, and
4.36determine the completeness and adequacy of the environmental impact statement.