Amendment ASA2-AB426

11. DNR must determine whether the final EIS is adequate within 280 days after publication of the notice under item 8., except that the deadline may be extended by consent of the applicant or by the governor for good cause.

12. If DNR determines that the EIS is inadequate, it must prepare an adequate EIS within 60 days of that determination.

The substitute amendment prohibits DNR from making final decisions on any approvals for the iron mine that were considered in the EIS process, including the mining permit, before the EIS is determined to be adequate. DNR must generally make final decisions on those approvals within 90 days after the determination of adequacy, but the deadline may be extended with the consent of the applicant and the deadline does not apply if a longer period is required for an approval by federal law or other state law.

Net proceeds occupation tax

Under current law, the state imposes a net proceeds occupation tax on the mining of metallic minerals in this state. The tax is based, generally, on a percentage of net income from the sale of ore or minerals after certain mining processes have been applied to the ore or minerals. The tax rates are annually adjusted to reflect the change in gross national product. Gross national product, generally, measures the output generated by U.S. enterprises, regardless of whether those enterprises are located in this country.

Under current law, the revenue collected from the net proceeds occupation tax is deposited into the investment and local impact fund. The fund is managed by the local impact fund board. The revenue is then distributed to the counties and municipalities in which metallic minerals are being mined. In addition to paying the net proceeds occupation tax, a person who intends to apply for a mining permit must make an additional three payments of $50,000 each to the investment and local impact fund. Those payment amounts are not annually adjusted to reflect the change in gross national product.

Under the substitute amendment, instead of paying a net proceeds occupation tax based on net income, a person who is mining ferrous minerals in this state would pay a tax equal to $2.38 for each 2,240 pounds of mining product sold, based on a three-year average. The tax rate would be annually adjusted to reflect the change in the gross domestic product. Gross domestic product, generally, measures the total output produced within the United States, regardless of whether the output is produced by foreign companies. Under the substitute amendment, a person who intends to apply for a mining permit must also make an additional three payments of $100,000 each to the investment and local impact fund. Those payment amounts are annually adjusted to reflect the change in gross domestic product.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB426-ASA2, s. 1 Section 1. 70.375 (2) (a) of the statutes is amended to read:

AB426-ASA2,5,9 70.375 (2) (a) In Except as provided in sub. (7), with respect to mines not in operation on November 28, 1981, there is imposed upon persons engaged in mining metalliferous minerals in this state a net proceeds occupation tax effective on the date on which extraction begins to compensate the state and municipalities for the loss of valuable, irreplaceable metalliferous minerals. The amount of the tax shall be determined by applying the rates established under sub. (5) to the net proceeds of each mine. The net proceeds of each mine for each year are the difference between the gross proceeds and the deductions allowed under sub. (4) for the year.

AB426-ASA2, s. 2 Section 2. 70.375 (5) (intro.) of the statutes is amended to read:

AB426-ASA2,5,13 70.375 (5) Rates. (intro.) The Except as provided in sub. (7), the tax to be assessed, levied and collected upon persons engaging in mining metalliferous minerals in this state shall be computed at the following rates:

AB426-ASA2, s. 3 Section 3. 70.375 (6) of the statutes is amended to read:

AB426-ASA2,6,18 70.375 (6) Indexing. For Except as provided in sub. (7), for calendar year 1983 and corresponding fiscal years and thereafter, the dollar amounts in sub. (5) and s. 70.395 (1) and (2) (d) 1m. and 5. a. and (dg) shall be changed to reflect the percentage change between the gross national product deflator for June of the current year and the gross national product deflator for June of the previous year, as determined by the U.S. department of commerce as of December 30 of the year for which the taxes are due, except that no annual increase may be more than 10%. For calendar year 1983 and corresponding fiscal years and thereafter until calendar year 1997 and corresponding fiscal years, the dollar amounts in s. 70.395 (1m), 1995 stats., shall be changed to reflect the percentage change between the gross national product deflator for June of the current year and the gross national product deflator for June of the previous year, as determined by the U.S. department of commerce as of December 30 of the year for which the taxes are due, except that no annual increase may be more than 10%. The revised amounts shall be rounded to the nearest whole number divisible by 100 and shall not be reduced below the amounts under sub. (5) on November 28, 1981. Annually, the department shall adopt any changes in dollar amounts required under this subsection and incorporate them into the appropriate tax forms.

AB426-ASA2, s. 4 Section 4. 70.375 (7) of the statutes is created to read:

AB426-ASA2,6,25 70.375 (7) Per ton rate. (a) Notwithstanding subs. (2), (5), and (6), for mines in operation after December 31, 2011, the tax assessed, levied, and collected from a person engaged in mining ferrous minerals in this state is an amount equal to $2.38 for each 2,240 pounds of mining product sold, based on the average annual amount sold during the current year and the previous 2 years, not including any year in which no ferrous minerals are extracted in this state.

AB426-ASA2,7,6 (b) Beginning in 2013, and in each year thereafter, the department shall change the dollar amounts under par. (a) and s. 70.395 (2) (dc) 1., 2., and 3. to reflect the percentage change between the gross domestic product deflator for June of the current year and the gross domestic product deflator for June of the previous year, as determined by the federal department of commerce on December 30 of the year in which the taxes are due.

AB426-ASA2, s. 5 Section 5. 70.395 (2) (dc) 1. of the statutes is amended to read:

AB426-ASA2,7,12 70.395 (2) (dc) 1. Each person intending to submit an application for a mining permit shall pay $50,000 $100,000, as adjusted under s. 70.375 (7) (b), to the department of revenue for deposit in the investment and local impact fund at the time that the person notifies the department of natural resources under s. 293.31 (1) or 293.495 (2) of that intent.

AB426-ASA2, s. 6 Section 6. 70.395 (2) (dc) 2. of the statutes is amended to read:

AB426-ASA2,7,16 70.395 (2) (dc) 2. A person making a payment under subd. 1. shall pay an additional $50,000 $100,000, as adjusted under s. 70.375 (7) (b), upon notification by the board that the board has distributed 50% of the payment under subd. 1.

AB426-ASA2, s. 7 Section 7. 70.395 (2) (dc) 3. of the statutes is amended to read:

AB426-ASA2,7,21 70.395 (2) (dc) 3. A person making a payment under subd. 2. shall pay an additional $50,000 $100,000, as adjusted under s. 70.375 (7) (b), upon notification by the board that the board has distributed all of the payment under subd. 1. and 50% of the payment under subd. 2.

AB426-ASA2, s. 8 Section 8. 293.01 (4e) of the statutes is created to read:

AB426-ASA2,7,25 293.01 (4e) "Ferrous mineral" means an ore or earthen material in natural deposits in or on the earth that primarily exists in the form of an iron oxide, including taconite and hematite.

AB426-ASA2, s. 9 Section 9. 293.01 (4m) of the statutes is created to read:

AB426-ASA2,8,4 293.01 (4m) "Ferrous mining" means the mining of ferrous minerals at a mining site where the department determines that it is not likely that any of the disturbed areas will contain significant amounts of sulfide minerals.

AB426-ASA2, s. 10 Section 10. 293.32 of the statutes is amended to read:

AB426-ASA2,8,11 293.32 Prospecting and mining fees. (1) When a person gives notice under s. 293.31 (1) or 293.495 (2), the person shall pay a fee established by the department by rule designed to cover the costs incurred by the department in connection with the proposed prospecting or mining during the year following receipt of the notice, other than any costs related to the environmental impact statement for the proposed prospecting or mining.

AB426-ASA2,8,19 (2) The department shall annually compare the fees paid under this section and under chs. 30, 280 to 292 and 295 to 299 in connection with proposed prospecting or mining for which notice has been given under s. 293.31 (1) or 293.495 (2) with the costs incurred by the department in connection with that proposed prospecting or mining, including the costs incurred under chs. 30, 280 to 292 and 295 to 299 but excluding costs related to the environmental impact statement. If the costs incurred exceed the fees paid, the person who notified the department shall pay a fee equal to the amount by which the costs exceed the fees previously paid.

AB426-ASA2,9,6 (3) When the department issues or denies a prospecting or mining permit or when a person who gave notice under s. 293.31 (1) or 293.495 (2) ceases to seek approval of the proposed prospecting or mining project, the department shall compare the fees paid under this section and under chs. 30, 280 to 292 and 295 to 299 in connection with the proposed prospecting or mining with the costs incurred by the department in connection with the proposed prospecting or mining, including the costs incurred under chs. 30, 280 to 292 and 295 to 299 but excluding costs related to the environmental impact statement. If the costs incurred are less than the fees paid, the department shall pay the person who gave notice the amount by which the fees exceed the costs. If the costs incurred exceed the fees paid, the person who notified the department shall pay a final fee equal to the amount by which the costs exceed the fees previously paid.

AB426-ASA2, s. 11 Section 11. 293.33 (3) of the statutes is amended to read:

AB426-ASA2,9,13 293.33 (3) Persons giving notice under s. 293.31 (1) or 293.495 (2) shall thereafter appoint a liaison person to any committee established under sub. (1) or (2), and shall provide such reasonable information as is requested by the committee. Operators and persons giving notice under s. 293.31 or 293.495 (2) shall thereafter make reasonable efforts to design and operate mining operations in harmony with community development objectives.

AB426-ASA2, s. 12 Section 12. 293.39 (4) and (5) of the statutes are created to read:

AB426-ASA2,9,17 293.39 (4) (a) A person proposing to engage in ferrous mining shall prepare and submit to the department an environmental impact report for the ferrous mining project.

AB426-ASA2,9,22 (b) The department shall determine whether an environmental impact report submitted under par. (a) or (c) is complete no later than 30 days after receiving the environmental impact report. The department shall notify the person submitting the environmental impact report of its determination no later than 5 days after making the determination.

AB426-ASA2,9,24 (c) If the department determines that an environmental impact report submitted under par. (a) is incomplete, the person proposing to engage in ferrous mining shall prepare and submit to the department a revised environmental impact report for the ferrous mining project.

AB426-ASA2,10,12 (d) No more than 30 days after providing notification under par. (b) that an environmental impact report is complete, the department shall prepare a draft scoping statement consisting of at least the following: a description of known governmental approvals or reviews required for the ferrous mining project; a description of the issues to be covered in the environmental impact statement; alternatives that will be addressed in the environmental impact statement; identification of areas potentially affected by the project and by related actions; and identification of necessary studies requiring compilation of existing information or the development of new data that can be generated within a reasonable amount of time and at a reasonable cost.

AB426-ASA2,10,16 (e) No more than 10 days after completing its responsibilities under par. (d), the department shall publish a class 1 notice, under ch. 985, in a newspaper with general circulation in the area in which the proposed site is located and in the official state newspaper, that includes all of the following:

AB426-ASA2,10,17 1. The name and location of the proposed ferrous mining project.

AB426-ASA2,10,18 2. A brief description of the proposed project.

AB426-ASA2,10,20 3. The location at which copies of the environmental impact report and draft scoping statement are available for review.

AB426-ASA2,10,22 4. The description of the opportunity to comment on the appropriate scope of the environmental impact statement for the project.

AB426-ASA2,10,24 5. A statement that the period for written comment expires 30 days after the date of publication of the notice.

AB426-ASA2,10,25 6. The procedures for commenting.

AB426-ASA2,11,1 7. The date, time, and place of the public informational meeting under par. (g).

AB426-ASA2,11,7 (f) The department shall also provide the notice under par. (e) to the person who submitted the environmental impact report, the U.S. army corps of engineers, the federal environmental protection agency; the U.S. fish and wildlife service, the state historical society, any federally recognized American Indian tribe or band that may be affected by the proposed project, and any local governmental unit in which the project will take place.

AB426-ASA2,11,10 (g) At least 10 days, but not more than 20 days after publication of the notice under par. (e), the department shall hold at least one public informational meeting to discuss the scope of the environmental impact statement.

AB426-ASA2,11,20 (h) The department shall issue its final decision on the scope of the environmental impact statement no later than 15 days after the the end of the public comment period. The department shall include at least all of the following in the scoping decision: a description of known governmental approvals or reviews required for the ferrous mining project; a description of the issues to be covered in the environmental impact statement; alternatives that will be addressed in the environmental impact statement; identification of areas potentially affected by the project and by related actions; and identification of necessary studies requiring compilation of existing information or the development of new data that can be generated within a reasonable amount of time and at a reasonable cost.

AB426-ASA2,12,4 (i) No later than 30 days after it issues the scoping decision, the department shall submit to the person who submitted the environmental impact report a draft cost agreement. The agreement shall include the estimated cost of preparing the environmental impact statement and a brief description of the tasks and the cost of each task to be performed by each party in preparing and distributing the environmental impact statement. The person may request changes in the cost agreement. If, within 30 days after the person receives the draft cost agreement, the department and the person have not signed a cost agreement, either party may refer the matter to the secretary of administration for resolution.

AB426-ASA2,12,7 (im) No later than 10 days after finalizing the cost agreement under par. (i), the person entering into the cost agreement with the department shall pay to the department 50 percent of the estimated costs under the cost agreement.

AB426-ASA2,12,11 (j) No later than 45 days after receiving the payment under par. (im), the department shall publish a class 1 notice, under ch. 985, in at least one newspaper of general circulation in each county where the project will occur and in the official state newspaper, containing a summary of the scoping decision.

AB426-ASA2,13,5 (k) After the department publishes the notice under par. (j), the department shall prepare a preliminary environmental impact statement for the proposed ferrous mining project in accordance with the scoping decision. When the preliminary environmental impact statement is complete, the department shall make it available for public review and comment and shall publish a class 1 notice, under ch. 985, of completion of the preliminary environmental impact statement, of the ability to comment on the preliminary environmental impact statement, and of the date, time, and place of the public meeting under par. (L) in at least one newspaper of general circulation in each county where the project will occur and in the official state newspaper. The department shall also distribute a summary of the preliminary environmental impact statement and notice of the date, time, and place of the meeting under par. (L) to the person who submitted the environmental impact report, the U.S. army corps of engineers, the federal environmental protection agency, the U.S. fish and wildlife service, the state historical society, any federally recognized American Indian tribe or band that may be affected by the proposed project, any local governmental unit in which the project will take place, any person that submitted substantive comments within the comment period on the environmental impact report and the draft scoping statement, and any person requesting the summary.

AB426-ASA2,13,11 (L) Not less than 15 days after publication of the notice under par. (k), the department shall conduct a public informational meeting on the adequacy of the preliminary environmental impact statement in a county in which at least part of the proposed mining site is located. The department shall receive public comments on the adequacy of the preliminary environmental impact statement for at least 10 days after the day on which it conducts the public informational meeting.

AB426-ASA2,14,2 (m) The department shall prepare a final environmental impact statement, taking into consideration the comments received under par. (L). When the final environmental impact statement is complete, the department shall make it available for public review and comment and shall publish a class 1 notice, under ch. 985, of completion of the final environmental impact statement, of the ability to submit written comments on the final environmental impact statement, and of the date by which comments must be submitted, in at least one newspaper of general circulation in each county where the project will occur and in the official state newspaper. The department shall also distribute a summary of the final environmental impact statement to the person who submitted the environmental impact report, the U.S. army corps of engineers, the federal environmental protection agency, the U.S. fish and wildlife service, the state historical society, any federally recognized American Indian tribe or band that may be affected by the proposed project, any local governmental unit in which the project will take place, any person that submitted substantive comments within the comment period on the preliminary environmental impact statement, and any person requesting the summary.

AB426-ASA2,14,11 (n) The department shall accept written comments on the adequacy of the final environmental impact statement for at least 10 days after the day on which the notice under par. (m) is published. The department shall make the determination of adequacy of the final environmental impact statement at least 10 days after publication of the notice of availability of the final environmental impact statement. The department shall make the determination of adequacy of the final environmental impact statement within 280 days after publication of the notice under par. (j) unless the time is extended by consent of the person submitting the environmental impact report or by the governor for good cause.

AB426-ASA2,15,2 (o) If the department determines that the environmental impact statement is inadequate, the department shall prepare an adequate environmental impact statement within 60 days of that determination. When the adequate environmental impact statement is complete, the department shall publish a class 1 notice, under ch. 985, of completion of the environmental impact statement in at least one newspaper of general circulation in each county where the project will occur and in the official state newspaper. The department shall also distribute a summary of the adequate environmental impact statement to the person who submitted the environmental impact report, the U.S. army corps of engineers, the federal environmental protection agency, the U.S. fish and wildlife service, the state historical society, any federally recognized American Indian tribe or band that may be affected by the proposed project, any local governmental unit in which the project will take place, any person that submitted substantive comments within the comment period on the previous version of the environmental impact statement, and any person requesting the summary.

AB426-ASA2,15,5 (5) (a) The department may not issue a mining permit or any other approval required in connection with a ferrous mining project before it determines that the environmental impact statement for the project is adequate.

AB426-ASA2,15,10 (b) Within 90 days after the determination of adequacy of a final environmental impact statement, the department shall make final decisions on those approvals that were identified as required in the scoping process and for which information was developed concurrently with the preparation of the environmental impact statement, except as follows:

AB426-ASA2,15,12 1. The department may extend the 90-day period with the consent of the applicant.

AB426-ASA2,15,14 2. The 90-day period does not apply if a longer period is required for an approval by federal law or state statute.

AB426-ASA2, s. 13 Section 13. 293.49 (1) (a) 3. of the statutes is amended to read:

AB426-ASA2,15,23 293.49 (1) (a) 3. In the case of a surface mine, the site is not unsuitable for mining. The preliminary determination that a site was not unsuitable for mining under s. 293.45 may not be conclusive in the determination of the site's suitability for mining under this section. However, for mining other than ferrous mining, at the hearing held under this section and s. 293.43, testimony and evidence submitted at the prospecting permit proceeding relevant to the issue of suitability of the proposed mining site for surface mining may be adopted, subject to the opportunity for cross-examination and rebuttal, if not unduly repetitious.

AB426-ASA2, s. 14 Section 14. 293.495 of the statutes is created to read:

AB426-ASA2,16,2 293.495 Process for ferrous mining. (1) Applicability of other provisions. The following provisions do not apply to proposed ferrous mining projects:

AB426-ASA2,16,3 (a) Section 293.31.

AB426-ASA2,16,4 (b) Section 293.37 (2) (d).

AB426-ASA2,16,5 (c) Section 293.43.

AB426-ASA2,16,6 (d) The time limit in s. 293.49 (1) (a) (intro.) and (2) (intro.).

AB426-ASA2,16,7 (e) Section 293.49 (1) (a) 2.

AB426-ASA2,16,8 (f) Section 293.55 (1) (c) to (e).

AB426-ASA2,16,10 (g) The authority in s. 293.65 (2) (h) to conduct a hearing on a permit under s. 293.65 as part of the hearing on the application for a mining permit.

AB426-ASA2,16,11 (h) Section 293.65 (2) (i).

AB426-ASA2,16,16 (2) Notice of intent. At least 12 months before submitting an application for a mining permit under s. 293.37 or an environmental impact report under s. 293.39 (4) (a), whichever is earlier, a person proposing to engage in ferrous mining shall notify the department in writing of the intent to submit an application for a mining permit.

AB426-ASA2,16,25 (3) Determination of completeness. After the department receives an application for a mining permit under s. 293.37 for ferrous mining, the department shall determine whether the application is complete. The department shall make the determination within 30 days after receiving the application, except that the department may extend the 30-day period with the consent of the applicant. If the department determines that the application is not complete, the department shall inform the applicant of the additional information that must be provided to complete the application. When the department determines that the application is complete, it shall notify the applicant.

AB426-ASA2,17,7 (4) Notice of application. After receiving notice under sub. (3) that the application for a mining permit is complete, an applicant proposing to engage in ferrous mining shall publish a legal notice, under ch. 985, of the ownership, location, and boundaries of the proposed mining area and reclamation and restoration operations, at least once a week for 4 successive weeks. Within 7 days of publication of the last date of publication, the person shall submit a copy of the notice to the department.

AB426-ASA2,17,10 (5) Hearing. (a) No later than 30 days after the day of publication of the last notice required under sub. (4), any of the following may file written objections to an application for a permit under s. 293.37 for a ferrous mining project:

AB426-ASA2,17,12 1. A person owning property that will be affected by the proposed ferrous mining operation.

AB426-ASA2,17,14 2. Any federal, state, or local governmental agency with responsibilities affected by the proposed ferrous mining operation.

AB426-ASA2,17,19 (b) If the department receives written objections under par. (a), the department shall hold a public hearing on the mining permit application in the county in which the majority of the mining site is located no more than 30 days after receiving the objections, after providing appropriate notice of the date, time, and place of the hearing.

AB426-ASA2,17,23 (c) The department may hold a hearing on an application for a mining permit under s. 293.37 for ferrous mining without receipt of objections no later than 30 days after the day of publication of the last notice required under sub. (4) if the department determines that a hearing is necessary to protect public health, safety, and welfare.

AB426-ASA2,18,2 (6) Action on application. If s. 293.39 (5) (a) does not apply, no later than 120 days after receiving the notice of publication under sub. (4) or, if the department holds a hearing under sub. (5), after holding the hearing, the department shall issue or deny the mining permit.

AB426-ASA2, s. 15 Section 15. 293.51 (3) of the statutes is amended to read:

AB426-ASA2,18,8 293.51 (3) Upon approval of the operator's bond, mining application, other departmental approvals that are required in connection with the mining project, and certificate of insurance, the department shall issue written authorization to commence mining at the permitted mining site in accordance with the approved mining and reclamation plans.

AB426-ASA2,18,9 (End)