Amendment SSA1-SB161

Note: This Section shifts the contents of s. NR 46.18 (4), Wis. Adm. Code, relating to modification of management plans, to the managed forest land subchapter of ch. 77, stats. The Section also requires modified management plans to include the establishment of an annual allowable harvest unless the lands are certified by an independent third party.

SB161-SSA1, s. 11 Section 11. 77.82 (3m) of the statutes is created to read:

SB161-SSA1,9,21 77.82 (3m) Group managed forest plans. Notwithstanding the requirements for management plans under sub. (3), the department may, upon request, authorize 2 or more owners of managed forest land to designate land to be covered by a group management plan if the total designated land proposed to be covered by the group management plan exceeds 1,000 acres. The department shall promulgate rules that establish criteria, substantially similar to the criteria under sub. (3e) (a) 1. to 5., that the department must consider before approving group management plans under this subsection.

SB161-SSA1, s. 12 Section 12. 77.82 (3r) of the statutes is created to read:

SB161-SSA1,10,5 77.82 (3r) Timber harvests. If the department requires an owner of managed forest land covered by a management plan under sub. (3) or (3e), or requires owners of managed forest land covered by a group management plan under sub. (3m), to harvest particular timber from the land within a specified time period, the specified time period may not be a period of less than 3 years.

SB161-SSA1, s. 13 Section 13. 77.82 (4) (title) of the statutes is amended to read:

SB161-SSA1,10,7 77.82 (4) (title) Additions Additional designations to managed forest land.

SB161-SSA1, s. 14 Section 14. 77.82 (4) of the statutes is renumbered 77.82 (4) (a) and amended to read:

SB161-SSA1,10,15 77.82 (4) (a) Orders on or after April 28, 2004. An owner of land that is designated as managed forest land under an order that takes effect on or after April 28, 2004, may file an application with the department to designate as managed forest land an additional parcel of land if the additional parcel is at least 3 acres in size and, is contiguous to any of that designated land. The, and complies with the other requirements in sub. (1).

SB161-SSA1,10,22 (c) Fee; additional information. An application under par. (a) or (b) shall be accompanied by a nonrefundable $20 application recording fee unless a different amount for the fee is established by the department by rule at an amount equal to the average expense to the department of recording an order issued under this subchapter. The fee shall be deposited in the conservation fund and credited to the appropriation under s. 20.370 (1) (cr). The application shall be filed on a department form and shall contain any additional information required by the department.

SB161-SSA1, s. 15 Section 15. 77.82 (4) (b) of the statutes is created to read:

SB161-SSA1,11,7 77.82 (4) (b) Orders before April 28, 2004. Beginning on the day after the effective date of this paragraph .... [LRB inserts date], an owner of land that is designated as managed forest land under an order that takes effect before April 28, 2004, may file an application with the department to designate as managed forest land an additional parcel of land if the additional parcel is at least 3 acres in size, is contiguous to any of that designated land, and complies with the other requirements in sub. (1). An additional parcel of land that is designated as managed forest land under this paragraph shall be subject to the taxes imposed under s. 77.84 (2) (am) and (bm).

SB161-SSA1, s. 16 Section 16. 77.82 (4g) (title) of the statutes is amended to read:

SB161-SSA1,11,10 77.82 (4g) (title) Designation Grandfathered designations of additional managed forest land for certain owners.

SB161-SSA1, s. 17 Section 17. 77.82 (4g) (a) of the statutes is amended to read:

SB161-SSA1,11,18 77.82 (4g) (a) If an owner of land that is designated as managed forest land under an order that takes effect before April 28, 2004, wishes to have an additional parcel of land that is at least 10 acres in size and that satisfies the other requirements in sub. (1) designated as managed forest land, the owner may file an application with the department under sub. (2) for a new order covering the additional land. An application may not be filed pursuant to this paragraph after the effective date of this paragraph .... [LRB inserts date].

SB161-SSA1, s. 18 Section 18. 77.82 (4g) (b) of the statutes is amended to read:

SB161-SSA1,12,4 77.82 (4g) (b) If an owner of land that is designated as managed forest land under an order that takes effect before April 28, 2004, wishes to have designated as managed forest land an additional parcel of land that is at least 3 acres in size, that does not satisfy the requirements in sub. (1), and that is contiguous to any of that designated land, the owner may withdraw the designated land from the original order and may file an application with the department under sub. (2) for a new order covering both the withdrawn land and the additional land. The withdrawal tax and the withdrawal fee under s. 77.88 (5) and (5m) do not apply to a withdrawal under this paragraph. An application may not be filed pursuant to this paragraph after the effective date of this paragraph .... [LRB inserts date].

SB161-SSA1, s. 19 Section 19. 77.82 (8) of the statutes is amended to read:

SB161-SSA1,12,14 77.82 (8) Order. If an application under sub. (2), (4m), or (12) is approved, the department shall issue an order designating the land as managed forest land for the time period specified in the application. If an application under sub. (4) (a) or (b) is approved, the department shall amend the original order to include the additional parcel. The department shall provide the applicant with a copy of the order or amended order and shall also file a copy with the department of revenue, the supervisor of assessments, and the clerk of each municipality in which the land is located, and shall record the order with the register of deeds in each county in which the land is located.

SB161-SSA1, s. 20 Section 20. 77.83 (2) (am) of the statutes is repealed and recreated to read:

SB161-SSA1,12,20 77.83 (2) (am) Each owner of managed forest land may enter into a lease, or other agreement for consideration, to allow the land to be used for any purpose, including engaging in one or more recreational activities on the land, if the use does not conflict with any forest management objective contained in the management plan for the land and does not conflict with any sound forestry practice.

SB161-SSA1, s. 21 Section 21. 77.83 (4) (b) of the statutes is amended to read:

SB161-SSA1,12,25 77.83 (4) (b) Any person who enters into a lease or agreement under sub. (2) (am) that fails to comply with sub. (2) (am) shall forfeit an amount equal to the total amount of consideration received by the person as a result of violating sub. (2) (am) or $500, whichever is greater.

SB161-SSA1, s. 22 Section 22. 77.84 (2) (am) of the statutes is amended to read:

SB161-SSA1,13,7 77.84 (2) (am) For managed forest land orders that take effect on or after April 28, 2004, and before the effective date of this paragraph .... [LRB inserts date], each owner of managed forest land shall pay to each municipal treasurer, on or before January 31, an amount that is equal to 5 percent of the average statewide property tax per acre of property classified under s. 70.32 (2) (a) 6., as determined under par. (cm), for each acre of managed forest land.

SB161-SSA1, s. 23 Section 23. 77.84 (2) (bm) of the statutes is amended to read:

SB161-SSA1,13,15 77.84 (2) (bm) For managed forest land orders that take effect on or after April 28, 2004, and before the effective date of this paragraph .... [LRB inserts date], in addition to the payment under par. (am), each owner of managed forest land shall pay to each municipal treasurer, on or before January 31, an amount that is equal to 20 percent of the average statewide property tax per acre of property classified under s. 70.32 (2) (a) 6., as determined under par. (cm), for each acre that is designated as closed under s. 77.83.

SB161-SSA1, s. 24 Section 24. 77.84 (2) (d) and (e) of the statutes are created to read:

SB161-SSA1,13,20 77.84 (2) (d) Except as provided in par. (e), for managed forest land orders that take effect on or after the effective date of this paragraph .... [LRB inserts date], each owner of managed forest land shall pay to each municipal treasurer on or before January 31, an amount equal to the amount calculated under par. (am).

SB161-SSA1,13,24 (e) For managed forest land orders that take effect on or after the effective date of this paragraph .... [LRB inserts date], each owner of managed forest land that is closed under s. 77.83 shall pay to each municipal treasurer on or before January 31, an amount equal to the greater of the following:

SB161-SSA1,13,25 1. The amount calculated under both of the following:

SB161-SSA1,14,1 a. Paragraph (am).

SB161-SSA1,14,2 b. Paragraph (bm).

SB161-SSA1,14,3 2. The sum of the following:

SB161-SSA1,14,7 a. An amount equal to 5 percent of the assessed value of the managed forest land that is closed under s. 77.83, multiplied by the full value effective rate of taxation applicable to general property in the same taxation district as the managed forest land.

SB161-SSA1,14,11 b. An amount equal to 20 percent of the assessed value of the managed forest land that is closed under s. 77.83, multiplied by the full value effective rate of taxation applicable to general property in the same taxation district as the managed forest land.

Note: This Section modifies the calculation of acreage shares for closed acreage under new managed forest land orders. Acreage that is open under new managed forest land orders would remain subject to the same acreage shares that apply to orders that take effect after April 28, 2004.

SB161-SSA1, s. 25 Section 25 . 77.86 (1) of the statutes is renumbered 77.86 (1m), and 77.86 (1m) (c), as renumbered, is amended to read:

SB161-SSA1,14,20 77.86 (1m) (c) If the proposed cutting conforms to the management plan and is consistent with sound forestry practices, the department shall approve the request. In determining whether a proposed cutting is consistent with sound forestry practices, the department may also consider, if consistent with the objectives of the owner, the effect of the proposed cutting on the management of forest resources, other than trees, including wildlife habitat, watersheds, aesthetics, and endangered and threatened plant and animal species.

SB161-SSA1, s. 26 Section 26. 77.86 (1g) of the statutes is created to read:

SB161-SSA1,14,22 77.86 (1g) In this section:

SB161-SSA1,14,23 (a) "Board" means the managed forest land review board.

SB161-SSA1,15,4 (b) "Sound forestry practices" means forest cultural methods, including methods for timber cutting and for transporting timber, that the department determines are effective in propagating and improving the various timber types that are common in this state.

SB161-SSA1, s. 27 Section 27. 77.86 (3) of the statutes is amended to read:

SB161-SSA1,15,9 77.86 (3) Time limit. All cutting specified in the notice under sub. (1) (1m) (b) shall be commenced within one year after the date the proposed cutting is approved. The owner shall report to the department the date on which the cutting is commenced.

SB161-SSA1, s. 28 Section 28. 77.86 (5) (a) of the statutes is amended to read:

SB161-SSA1,15,13 77.86 (5) (a) Any person who fails to file the notice required under sub. (1) (1m) (b), who fails to file a report as required under sub. (4), or who files a false report under sub. (4) shall forfeit not more than $1,000.

SB161-SSA1, s. 29 Section 29 . 77.865 of the statutes is created to read:

SB161-SSA1,15,15 77.865 Review. (1) In this section:

SB161-SSA1,15,16 (a) "Board" means the managed forest land review board.

SB161-SSA1,15,17 (b) "Sound forestry practices" has the meaning given in s. 77.86 (1g) (b).

SB161-SSA1,15,21 (2) If the department decides that an owner of managed forest land is managing the land in a manner that the department determines is inconsistent with sound forestry practices, the owner may challenge that decision by requesting that the board review the decision.

SB161-SSA1,15,24 (3) An owner who requests review of a department decision under sub. (2) shall submit a written request to the board within 30 days after the date on which the owner receives notice of the department's decision.

SB161-SSA1,16,7 (4) Upon receiving a request from an owner under sub. (3), the board shall, within a reasonable time, review the department's decision, render an opinion on whether or not the owner's management of the managed forest land is consistent with sound forestry practices, and forward its opinion to the chief state forester. The chief state forester shall review the board's opinion and issue a decision, in writing, that states whether or not he or she concurs with the board's opinion. The chief state forester shall include in his or her decision sufficient facts to support the decision.

SB161-SSA1,16,11 (5) If the chief state forester decides, after considering the board's opinion under sub. (4), that the owner's management of the managed forest land is consistent with sound forestry practices, the department shall adopt the decision of the chief state forester as the department's decision on the issue.

SB161-SSA1,16,14 (6) An owner adversely affected by the decision of the chief state forester under sub. (5) shall have the right to a contested case hearing under s. 227.42 on the issues decided by the chief state forester.

SB161-SSA1,16,17 (7) The department shall promulgate rules that establish additional procedures, including filing, review, and decision deadlines, with regard to an owner's challenge of a department decision under this section.

Note: Section 1 creates the managed forest land review board in DNR and specifies the membership of the board. Section 29 creates an optional procedure for MFL owners who are dissatisfied with a DNR decision regarding the practice of sound forestry to request review of the decision by the board. The board must review and decide upon the issues in the request and issue an opinion for review by the chief state forester. The chief state forester then determines whether to accept the board's recommendation and must issue a decision in writing. DNR is required to promulgate rules regarding the procedures for the board's review. An MFL owner retains the right to a contested case hearing on the issues decided under this procedure by the chief state forester.

SB161-SSA1, s. 30 Section 30. 77.88 (5) (a) 1. and 2. and (b) 1. and 2. of the statutes are amended to read:

SB161-SSA1,17,3 77.88 (5) (a) 1. An amount equal to the past tax liability multiplied by the number of years the land was designated as managed forest land, less any amounts paid by the owner under ss. 77.84 (2) (a) and, (am), (d), and (e) 1. a. or 2. a., and 77.87.

SB161-SSA1,17,6 2. Five percent of the stumpage value of the merchantable timber on the land, less any amounts paid by the owner under ss. 77.84 (2) (a) and, (am), (d), and (e) 1. a. or 2. a., and 77.87.

SB161-SSA1,17,9 (b) 1. An amount equal to the past tax liability multiplied by the number of years since the renewal, less any amounts paid by the owner under ss. 77.84 (2) (a) and, (am), (d), and (e) 1. a. or 2. a., and 77.87.

SB161-SSA1,17,12 2. Five percent of the stumpage value of the merchantable timber on the land, less any amounts paid by the owner under ss. 77.84 (2) (a) and, (am), (d), and (e) 1. a. or 2. a., and 77.87.

Note: This Section updates cross-references used in the calculation of withdrawal taxes.

SB161-SSA1, s. 31 Section 31. 77.89 (2) (a) of the statutes is amended to read:

SB161-SSA1,17,20 77.89 (2) (a) Each municipal treasurer shall pay 20% of each payment received under sub. (1) and under ss. 77.84 (2) (a) and, (am), (d), and (e) 1. a. and 2. a., 77.85, and 77.876 to the county treasurer and shall deposit the remainder in the municipal treasury. The payment to the county treasurer for money received before November 1 of any year shall be made on or before the November 15 after its receipt. For money received on or after November 1 of any year, the payment to the county treasurer shall be made on or before November 15 of the following year.

SB161-SSA1, s. 32 Section 32. 77.89 (2) (b) of the statutes is amended to read:

SB161-SSA1,18,6 77.89 (2) (b) The municipal treasurer shall pay all 48 percent of the amounts received under s. 77.84 (2) (b) and, (bm), and (e) 1. b. and 2. b. to the county treasurer, as provided under ss. 74.25 and 74.30. The county municipal treasurer shall, by June 30 of each year, pay all 20 percent of the amounts received under this paragraph s. 77.84 (2) (b), (bm), and (e) 1. b. and 2. b. to the department. All amounts received by the department shall be credited to the conservation fund and shall be reserved for land acquisition, resource management activities, and grants under s. 77.895 The municipal treasurer shall deposit the remainder in the municipal treasury.

Note: The percentages specified in this paragraph have the effect of sending 20% of the total amounts received under s. 77.89 (2) (b), stats. (generally, closed acreage shares for managed forest land), to the department and sending 60% of the amount remaining to the counties. Directives on the use of the funds by the county are described below in par. (c).

SB161-SSA1, s. 33 Section 33. 77.89 (2) (c) of the statutes is created to read:

SB161-SSA1,18,12 77.89 (2) (c) 1. Except as provided in subd. 2., from the amounts received by a county under par. (b), at least five-sixths of the amounts shall be expended by the county to acquire by purchase, lease, easement, or other agreement land that will be open to the public for hunting, fishing, hiking, sight-seeing, and cross-country skiing.

SB161-SSA1,18,18 2. A county with at least 40 percent of its total area consisting of public access lands shall spend at least five-sixth of the amounts received under par. (b) for acquisitions as described in subd. 1. or for activities to improve resource management, or any combination thereof. Resource management activities may include forest growth, forest health, fish habitat, wildlife habitat, or watershed protection.

Note: This paragraph specifies that at least five-sixths of the amount a county receives under s. 77.89 (2) (b), stats. (generally, the county portion of the closed acreage shares), shall be expended to acquire by purchase, lease, easement, or other agreement land that will be open to the public for hunting and certain other recreational activities, unless the county meets a 40% threshold for ownership of public access lands, as defined above. If the county meets the 40% public access threshold, the county shall spend this "closed acreage share" amount for these types of acquisitions or for activities to improve resource management. These activities include forest growth, forest health, fish habitat, wildlife habitat, and watershed protection.

SB161-SSA1, s. 34 Section 34. 77.896 of the statutes is created to read:

SB161-SSA1,19,7 77.896 (1) Designation. (a) 1. The department shall promulgate rules under which the department may designate forest enterprise areas targeted for sustainable forestry and forest-based economic development. The department shall promulgate rules to establish criteria for determining eligibility and approval of a proposed forest enterprise area and the modification or termination of the designation of a forest enterprise area.

SB161-SSA1,19,14 2. A town or county that proposes to create a forest enterprise area shall apply to the department. If a town submits an application to the department, the proposed forest enterprise area shall be consistent with the town plan for forest preservation and development if the town has a plan for forest preservation and development. If a county submits an application to the department, the proposed forest enterprise area shall be consistent with the county plan for forest preservation and development if the county has a plan for forest preservation and development.

SB161-SSA1,19,16 3. The department shall promulgate rules that set forth the information that is required to be included in an application submitted under subd. 2.

SB161-SSA1,19,19 (b) The department may not designate an area as a forest enterprise area unless the department receives an application requesting the designation and the application complies with par. (a).

SB161-SSA1,19,21 (c) Subject to par. (d), the department may designate forest enterprise areas with a combined area of not more than 200,000 acres of land.

SB161-SSA1,19,23 (d) Before January 1, 2013, the department may designate not more than 10 forest enterprise areas with a combined area of not more than 75,000 acres of land.

SB161-SSA1,19,25 (e) The minimum size of a forest enterprise area designated under this subsection shall be 5,000 acres of land.

SB161-SSA1,20,3 (f) In designating forest enterprise areas under this subsection, the department shall give preference to areas that include at least 1,000 acres of land designated as managed forest land under s. 77.82.

SB161-SSA1,20,5 (g) In designating forest enterprise areas under this subsection, the department may not include an acre of land in more than one enterprise area.

SB161-SSA1,20,10 (2) Effect of designation. (a) A town, for which a forest enterprise area has been designated under sub. (1), shall receive, from the appropriation account under s. 20.370 (1) (cw), an annual payment of $1 for each acre in the town that is designated as managed forest land under s. 77.82 and that is included in a forest enterprise area.

SB161-SSA1,20,14 (b) A county, for which a forest enterprise area has been designated under sub. (1), shall receive, from the appropriation account under s. 20.370 (1) (cw), an annual payment of 50 cents for each acre in the county that is designated as managed forest land under s. 77.82 and that is included in a forest enterprise area.

SB161-SSA1,20,21 (c) A town or county that receives a payment under par. (a) or (b) shall use the funds for sustainable forestry and forest-based economic development within the town or county, including educating landowners about the benefits of participating in a forest enterprise area, and contracting with a forester who engages in the practice of providing consultation services on forestry issues to assist landowners in preparing applications under s. 77.82 (2) or owners of managed forest land in preparing management plans under s. 77.82 (3).

Note: This Section requires the DNR to designate forest enterprise areas in administrative rule. The DNR may designate forest enterprise areas with a combined area of up to 200,000 acres. However, before 2013, DNR may only designate up to 10 forest enterprise areas with a combined area of up to 75,000 acres. When designating forest enterprise areas, the DNR must give preference to areas that include at least 1,000 acres of MFL land. A town within a forest enterprise area is eligible to receive an annual payment of $1 for each acre of MFL land in the forest enterprise area. A county within a forest enterprise area is eligible to receive an annual payment of 50 cents for each acre of MFL land in the forest enterprise area. These payments for towns and counties come from the forestry mill tax revenues. The payments must be used for sustainable forestry and forest-based economic development within the town or county.

SB161-SSA1, s. 35 Section 35. Nonstatutory provisions.