Minnesota conference committee reviews Senate File 2077 differences; agencies urge operating adjustments

Members of the Minnesota Legislature conference committee on the environment and natural resources budget met May 9 in St. Paul to compare House and Senate positions on Senate File 2077 and to hear agency testimony on key budget and policy differences.

The committee’s discussion centered on competing general‑fund targets and agency operating adjustments, fee increases tied to groundwater and aquatic invasive species (AIS) programs, a proposal to allow seizure and forfeiture of abandoned watercraft, a Senate proposal for a sustainable foraging task force and a disagreement over the closed landfill investment fund (CLIF) appropriation.

The Senate presented a general‑fund target that nets to a minus $1,000,000 change in fiscal 2026‑27 and a plus $2,000,000 tails position. The House presented a minus $10,000,000 target for the biennium. Nonpartisan staff walked members line‑by‑line through a spreadsheet of change items showing where the chambers differ on spending, fee changes and statutory language.

Key budget and policy items discussed

- Minnesota Pollution Control Agency (MPCA): Nonpartisan staff described a set of operating adjustments and program shifts. The Senate would add permitting capacity tied to five new FTEs in fiscal 2026‑27 and three in the tails, funded in part from the general fund and in part from environmental and remediation funds. The Senate also proposes a $6.5 million one‑time appropriation to the closed landfill investment fund for fiscal 2026‑27; the House would instead extend the existing statutory appropriation for CLIF for four years.

- Department of Natural Resources (DNR): The Senate package includes operating adjustments rolled into one line item and several fee increases (groundwater and AIS surcharges) intended to replace certain general‑fund reductions and support services. The Senate shows an AIS boat fee increase estimated in the spreadsheet to generate about $6.45 million in the first biennium and $8.6 million in the tails; a groundwater fee increase is shown to generate roughly $3.0 million in the first biennium and $5.8 million in the tails. The Senate also includes one‑time grants for ATV and off‑highway motorcycle trails and an extension of prior appropriations for certain boat‑launch and land‑transfer projects.

- Policy proposals: The Senate bill…