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House Journal: Page 1083: Tuesday, April 8, 1997

 6   hundred thousand dollars.  Any funds in excess of two
 7   million five hundred thousand dollars shall be
 8   credited to the general fund of the state.
 9     3.  The administrative director of the division
10   shall establish a blufflands protection program to
11   demonstrate creative land protection techniques and
12   encourage private landowners to protect the natural
13   beauty of the blufflands along the Mississippi river.
14   The commissioners of each soil and water conservation
15   district which has a boundary which is coterminous
16   with the Mississippi river shall cooperate with and
17   assist the director in administering the blufflands
18   protection program within their respective districts.
19   The director shall provide, by rule, for a uniform
20   application form, the content of the form, provisions
21   for a loan agreement model conservation easement and
22   restrictive covenant requirements for blufflands, and
23   minimum qualifications of conservation organizations
24   which are eligible to participate in the blufflands
25   protection program.  The administrative director shall
26   specify the eligible purposes for which a loan
27   authorized under this section can be expended
28   including, but not limited to, the purchase of
29   blufflands, the acquisition of conservation easements
30   on blufflands, the establishment of landowner
31   associations, payment for loss of land value due to
32   restrictive covenants, and payment for administrative
33   and legal costs.
34     4.  An applicant for a loan from the blufflands
35   protection revolving fund shall apply to the soil and
36   water conservation district of the county in which the
37   bluffland is located.  The application shall be on
38   forms prepared by the division and shall include the
39   information required by rule of the division.  Each
40   conservation organization which applies for a loan
41   under this section shall demonstrate its financial
42   capability to qualify for a loan to the commissioners
43   and its commitment to natural resource protection and
44   appropriate development.  If there is a loss of value
45   of a blufflands protection project funded under this
46   section resulting from restrictive covenants, the
47   conservation organization shall be forgiven seventy-
48   five percent of the amount of the loss not exceeding
49   the amount of the loan.  If a loan is used to purchase
50   a conservation easement on a blufflands protection

Page   3

 1   project, the conservation organization shall be
 2   forgiven seventy-five percent of the loan.  The
 3   application shall be reviewed and feasibility of the
 4   proposed project shall be investigated by the
 5   commissioners of the district and its report and

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