1.1Senator .................... moves to amend S.F. No. 664 as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. FLOOD HAZARD MITIGATION GRANTS; APPROPRIATION.
1.4(a) $55,000,000 is appropriated from the bond proceeds fund to the commissioner of
1.5natural resources for the state share of flood hazard mitigation grants for publicly owned
1.6capital improvements to prevent or alleviate flood damage under Minnesota Statutes,
1.7section 103F.161. Levee projects, to the extent practical, shall meet the state standard of
1.8three feet above the 100-year flood elevation.
1.9(b) Project priorities shall be determined by the commissioner as appropriate, based
1.10on need.
1.11    (c) This appropriation includes money for the following county and municipal
1.12projects as prioritized by the commissioner: Ada, Afton, Albert Lea, Austin, Borup,
1.13Breckenridge, Clay County, Climax, Crookston, Delano, Felton, Georgetown, Granite
1.14Falls, Halstad, Hendrum, Inver Grove Heights, Montevideo, Moorhead, New Ulm,
1.15Newport, Nielsville, Oakport Township, Oslo, Perley, Redwood Falls, Roseau, Rushford,
1.16Shelly, and South St. Paul.
1.17(d) This appropriation includes money for the following projects: Area II
1.18Minnesota River Basin; Brandt-Angus, Middle-Snake-Tamarac Rivers Watershed District;
1.19Buffalo-Red Watershed District; Cedar River Watershed District; Climax and Nielsville,
1.20Sand Hill River Watershed District; Grand Marais, Red Lake Watershed District; Hay
1.21Creek-Norland, Roseau Watershed District; Manston Slough; North Ottawa, Bois de
1.22Sioux Watershed District; Red Path, Bois de Sioux Watershed District; Shell Rock River
1.23Watershed District; Shelly and Felton, Wild Rice Watershed District; Springbrook, Two
1.24Rivers Watershed District; and Turtle Creek Watershed District.
1.25(e) This appropriation includes money for the following Wild Rice Watershed
1.26District projects:
1.27(1) for property acquisitions originally approved by the Federal Emergency
1.28Management Agency for acquisition cost share and then later denied; and
1.29(2) for river stability acquisitions.
1.30    (f) For any project listed in this section that the commissioner determines is not
1.31ready to proceed or does not expend all the money allocated to it, the commissioner may
1.32allocate that project's money to a project on the commissioner's priority list.
1.33    (g) To the extent that the cost of a project exceeds two percent of the median
1.34household income in the municipality multiplied by the number of households in the
1.35municipality, this appropriation is also for the local share of the project.
2.1(h) The appropriation for a project funded under paragraph (g), clause (1), is eligible
2.2for up to 100 percent state flood hazard mitigation funding for the acquisition and disposal
2.3of flood-damaged property.
2.4(i) The match required for a project funded under paragraph (g), clause (2), is an
2.5amount equal to 50 percent.
2.6(j) This appropriation includes money for property acquisitions in Clay County with
2.7the local share not to exceed $1,000,000.

2.8    Sec. 2. CONSERVATION EASEMENT ACQUISITION; APPROPRIATION.
2.9$10,000,000 is appropriated from the bond proceeds fund to the Board of Water and
2.10Soil Resources to acquire conservation easements from landowners to provide flood
2.11retention or attenuation or to restore damaged lands within or adjacent to floodplains,
2.12waterways, and wetlands that are damaged by flooding. Of this appropriation, up to ten
2.13percent may be used to implement the program. The board shall, to the extent possible,
2.14use this appropriation to leverage federal disaster recovery or conservation funding and
2.15shall locate projects in watersheds that have known or potential flood damages.

2.16    Sec. 3. BOND SALE.
2.17To provide the money appropriated in this section from the bond proceeds fund, the
2.18commissioner of management and budget shall sell and issue bonds of the state in an
2.19amount up to $65,000,000 in the manner, upon the terms, and with the effect prescribed by
2.20Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution,
2.21article XI, sections 4 to 7.

2.22    Sec. 4. EFFECTIVE DATE.
2.23This act is effective the day following final enactment. "
2.24Delete the title and insert:
2.26relating to capital improvements; authorizing the sale and issuance of state bonds;
2.27appropriating money for flood hazard mitigation grants; appropriating money
2.28to the Board of Water and Soil Resources to acquire conservation easements to
2.29prevent or repair flood damaged land."