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LRB-5222/2
EHS:skw
2021 - 2022 LEGISLATURE
January 25, 2022 - Introduced by Representatives Mursau, Penterman, Knodl,
Skowronski, Snodgrass and Wichgers, cosponsored by Senators Felzkowski,
Ballweg and Marklein. Referred to Committee on Forestry, Parks and
Outdoor Recreation.
AB909,1,8 1An Act to repeal 77.83 (2) (ar); to renumber and amend 77.82 (11) and 77.88
2(3k); to amend 77.82 (1) (a) (intro.), 77.82 (1) (a) 1., 77.82 (1) (b) 3., 77.82 (1) (bp)
31. (intro.), 77.82 (1) (bp) 1. a., 77.82 (1) (c), 77.82 (4), 77.88 (2) (ac) 1., 77.88 (2)
4(am), 77.88 (2) (b), 77.88 (2) (c), 77.88 (3) (am), 77.88 (3) (b) (intro.), 77.88 (3j)
5(title), 77.88 (3j) (a) 1., 77.88 (3j) (a) 4., 77.88 (3L) and 77.88 (8) (b); and to create
677.82 (1) (ag), (am) and (ar), 77.82 (1) (b) 3m., 77.82 (1) (bp) 4., 77.82 (3) (h), 77.86
7(1) (am), 77.88 (2) (d), 77.88 (3k) (a) and (b), 77.88 (3L) (a) and (b) and 77.88 (8)
8(a) 4. of the statutes; relating to: the managed forest land program.
Analysis by the Legislative Reference Bureau
This bill makes numerous changes to the managed forest land (MFL) program
administered by the Department of Natural Resources.
Introduction
Under current law, certain forested land may be designated as MFL under a
program administered by DNR. Under this program, the owner of land designated
as MFL makes an annual acreage share payment that is lower than, and in lieu of,
the property taxes that normally would be payable. In exchange, the owner must
comply with certain forestry practices and have a management plan prepared for the
land. The owner must also open the MFL to the public for hunting, fishing, hiking,

sight-seeing, and cross-country skiing, but may designate up to a certain number
of acres as being closed to the public. For MFL that is designated as closed, the owner
must pay an additional closed acreage fee. An owner seeking to have land designated
as MFL submits an application to DNR that contains a management plan for the
land. If the MFL meets the eligibility requirements under the program, which
include minimum acreage requirements and requirements as to how much
merchantable timber can be produced on the land, DNR approves the application
and issues an order designating the land as MFL. An owner may choose to have the
order last 25 or 50 years.
Eligibility
Under current law, a parcel of land is eligible for designation as MFL only if it
consists of at least 20 contiguous acres. This was increased from a minimum of 10
acres under 2015 Wisconsin Act 358. Under current law, the fact that a lake, river,
stream, or flowage, a public or private road, or a railroad or utility right-of-way
separates any part of the parcel from any other part does not render it
noncontiguous. Under the bill, a parcel of land is eligible if it either consists of at
least 20 contiguous acres or it consists of at least 10 contiguous acres and is located
in a tract of land under the same ownership that contains at least one other parcel
of at least 10 contiguous acres that meets the other eligibility requirements and for
which designation under a single managed forest land order is sought. The bill
requires that the owner of such a tract of land notify DNR of any sale or transfer of
land not enrolled in MFL from the tract, as it may impact eligibility of the MFL
parcels. Under the bill, the fact that a lake, river, stream, or flowage, a public or
private road, or a railroad or utility right-of-way separates any part of the land from
any other part does not render a parcel noncontiguous and does not render ownership
of the land noncontiguous. These changes only apply to land designated as MFL by
an order issued or renewed on or after April 16, 2016, which is the date on which the
minimum acreage change and other eligibility changes under Act 358 first applied.
Under current law, land is not eligible for designation as MFL if a building or
an improvement associated with a building is located on it. Current law specifies
that an improvement includes any accessory building, structure, or fixture that is
built or placed on the parcel for its benefit. The bill eliminates reference to an
accessory building in the description of an improvement. The bill provides that the
prohibition on buildings and improvements does not apply to a building used
exclusively for storage. This change also only applies to land designated as MFL by
an order issued or renewed on or after April 16, 2016.
Under current law, an owner of land that is designated as MFL may file an
application with DNR to designate an additional parcel of land as MFL if the
additional parcel is at least three acres in size and is contiguous to any of that
designated land. Under the bill, such an additional parcel may be any size if
contiguous to designated land under the same ownership, or not contiguous if it
meets the minimum acreage requirements under the bill. The bill specifies that the
eligibility requirements applicable to such an addition are the eligibility
requirements under the order that designated the parcel to which the land is being
added.

Material change to law
Under current law, if a statute is enacted or a rule is promulgated during the
period of an MFL order that materially changes the terms of the order, the landowner
must elect between acceptance of modifications to the contract consistent with the
provisions of the statute or rule or voluntary withdrawal of the land without penalty.
The bill adds that a statutory change does not constitute a material change to an
order unless, in the act that makes the change, the legislature states that the act or
a provision in the act makes a material change to orders entered into under prior law.
Under the bill, this first applies to the enactment of this bill, itself, which does not
contain such a statement. Further, under the bill, a promulgated rule does not
constitute a material change to an order unless the rule includes a statement that
the rule constitutes a material change to orders entered into under prior rules and
DNR includes in its report to the legislature on the proposed rule a statement that
the rule constitutes a material change to orders entered into under prior rules and
an analysis of this determination.
Withdrawal taxes and fees
The bill clarifies that DNR is required to assess a withdrawal tax and fee
against an owner of MFL who voluntarily withdraws part or all of a parcel, which was
made unclear under Act 358.
Current law allows an owner of MFL to sell or otherwise transfer all or part of
the owner's parcel of MFL, and the transferred land continues to be designated as
MFL if it meets eligibility requirements and the transferee certifies to DNR an intent
to comply with the existing management plan for the land and any amendments to
the plan. If the transferred land does not meet eligibility requirements, current law
requires DNR to issue an order withdrawing the land and to assess against the owner
the withdrawal tax and fee. Under the bill, in this circumstance DNR may, but is not
required to, assess the withdrawal tax and fee.
Under current law, an owner of MFL may request to withdraw part of a parcel
and DNR must issue an order of withdrawal if DNR determines that the parcel is
either unable to produce merchantable timber in the amount required by law or
unsuitable, due to environmental, ecological, or economic concerns or factors, for the
production of merchantable timber. Current law requires that the order withdraw
only the number of acres necessary for the parcel to resume its ability to produce the
required amount or to resume its sustainability to produce merchantable timber, and
prohibits the assessment of a withdrawal tax or fee for the withdrawal. The bill adds
that, if the land remaining in the parcel after the withdrawal does not meet eligibility
requirements under the order designating the MFL, the order must withdraw the
entire parcel, and if the land subject to the MFL order after the withdrawal does not
meet the eligibility requirements under the MFL order, all land under the MFL order
must be withdrawn. The bill maintains that the withdrawal order may not assess
a withdrawal tax or fee.
Current law exempts certain transfers of MLF from the imposition of
withdrawal taxes and fees, such as transfers for a public road or railroad or utility
right-of-way. The bill adds such an exemption for transfers for a public purpose to
a city, village, town, or county that is authorized to levy property taxes on the land.

Small land sales
Under current law, generally an owner of MFL may voluntarily withdraw part
of a parcel of the owner's land once per 25-year order and twice per 50-year order
if the purpose for which the owner requests the withdrawal is for the sale of one to
five acres of the land or for a construction site. Current law separately allows an
owner of MFL to sell or transfer ownership of all or part of the owner's land an
unlimited number of times per order. The bill harmonizes these provisions by
removing the sale of land as a purpose for a voluntary withdrawal under the former.
Large ownerships
The bill authorizes DNR to promulgate rules that subject large ownerships,
meaning 1,000 or more acres of land designated as MFL under the same owner, to
management plan requirements that deviate from the requirements that apply
under statute.
Leasing
The bill eliminates a provision authorizing an owner of MFL that is designated
as closed to enter into a lease or other agreement for consideration that permits
persons to engage in a recreational activity on the land. Under the bill, there are no
prohibitions on leasing land under the MFL program.
Cutting
Current law requires that a land owner who intends to cut merchantable timber
on MFL to file with DNR a notice of intent to cut and request DNR's approval of the
cutting. Current law requires DNR to approve such a cutting notice if the proposed
cutting conforms to the management plan and is consistent with sound forestry
practices. If not, current law requires DNR to help the owner to develop an
acceptable proposal before approving the request. The bill specifies that cutting
merchantable timber on MFL in a manner that is contrary to a management plan or
a cutting notice is prohibited and that a violator may be subject to a forfeiture equal
to 20 percent of the current value of the merchantable timber cut, based on the
stumpage value, as well as withdrawal of all or a part of the MFL parcel.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB909,1 1Section 1. 77.82 (1) (a) (intro.) of the statutes is amended to read:
AB909,4,42 77.82 (1) (a) (intro.) A parcel of land that is subject to a managed forest land
3order issued or renewed before April 16, 2016,
is eligible for designation as managed
4forest land only if it fulfills the following requirements:
AB909,2
1Section 2. 77.82 (1) (a) 1. of the statutes is amended to read:
AB909,5,112 77.82 (1) (a) 1. It consists of at least 20 10 contiguous acres, except as provided
3in this subdivision. The fact that a lake, river, stream, or flowage, a public or private
4road, or a railroad or utility right-of-way separates any part of the land from any
5other part does not render a parcel of land noncontiguous. If a part of a parcel of at
6least 20 10 contiguous acres is separated from another part of that parcel by a public
7road, that part of the parcel may be enrolled in the program, even if that part is less
8than 20 10 acres, if that part meets the requirement under subd. 2. and is not
9ineligible under par. (b). The owner of a parcel of less than 20 acres that is subject
10to a managed forest land order before April 16, 2016, may apply one time for a
11renewal of the order under sub. (12) without meeting the 20-acre requirement.
AB909,3 12Section 3. 77.82 (1) (ag), (am) and (ar) of the statutes are created to read:
AB909,5,1513 77.82 (1) (ag) A parcel of land that is or will be subject to a managed forest land
14order issued or renewed on or after April 16, 2016, is eligible for designation as
15managed forest land only if it fulfills all of the following requirements:
AB909,5,1716 1. Subject to par. (am), the parcel either consists of at least 20 contiguous acres
17or meets all of the following acreage requirements:
AB909,5,1818 a. The parcel consists of at least 10 contiguous acres.
AB909,5,2219 b. The parcel is located in a tract of land under the same ownership that
20contains at least one other parcel of at least 10 acres that meets the requirements
21under subd. 2. and for which designation under the same managed forest land order
22is sought.
AB909,5,2423 2. At least 80 percent of the parcel is producing or capable of producing a
24minimum of 20 cubic feet of merchantable timber per acre per year.
AB909,6,4
1(am) The fact that a lake, river, stream, or flowage, a public or private road, or
2a railroad or utility right-of-way separates any part of the land from any other part
3does not render a parcel of land noncontiguous and does not render ownership of land
4noncontiguous.
AB909,6,85 (ar) The owner of a parcel that does not meet the acreage requirements in par.
6(ag) 1. and that is subject to a managed forest land order issued before April 16, 2016,
7may apply one time for a renewal of the order under sub. (12) on or after April 16,
82016, without meeting the acreage requirements under par. (ag) 1.
AB909,4 9Section 4. 77.82 (1) (b) 3. of the statutes is amended to read:
AB909,6,1310 77.82 (1) (b) 3. A parcel on which a building or an improvement associated with
11a building is located.
that is developed for a human residence. This subdivision
12applies only to a parcel of land subject to a managed forest land order issued or
13renewed before April 16, 2016.
AB909,5 14Section 5. 77.82 (1) (b) 3m. of the statutes is created to read:
AB909,6,1715 77.82 (1) (b) 3m. A parcel on which a building or an improvement associated
16with a building is located. This subdivision applies only to a parcel of land subject
17to a managed forest land order issued or renewed on or after April 16, 2016.
AB909,6 18Section 6. 77.82 (1) (bp) 1. (intro.) of the statutes is amended to read:
AB909,6,2019 77.82 (1) (bp) 1. (intro.) For purposes of par. (b) 3. 3m., and except as provided
20in subd. 2., an improvement is any of the following:
AB909,7 21Section 7. 77.82 (1) (bp) 1. a. of the statutes is amended to read:
AB909,6,2322 77.82 (1) (bp) 1. a. Any accessory building, structure, or fixture that is built or
23placed on the parcel for its benefit.
AB909,8 24Section 8 . 77.82 (1) (bp) 4. of the statutes is created to read:
AB909,7,3
177.82 (1) (bp) 4. Notwithstanding par. (b) 3., a building used exclusively for
2storage that is located on a parcel does not make that parcel ineligible for designation
3as managed forest land.
AB909,9 4Section 9. 77.82 (1) (c) of the statutes is amended to read:
AB909,7,95 77.82 (1) (c) In addition to the requirements under pars. (a) and, (ag), and (b),
6for land subject to an application under sub. (4m), all forest croplands owned by the
7applicant on the date on which the application is filed that are located in the
8municipality or municipalities for which the application is filed shall be included in
9the application.
AB909,10 10Section 10. 77.82 (3) (h) of the statutes is created to read:
AB909,7,1211 77.82 (3) (h) 1. Under this paragraph, “large ownership” means 1,000 or more
12acres of land designated as managed forest land that has the same owner.
AB909,7,1513 2. The department may promulgate rules that subject large ownerships to
14management plan requirements that deviate from the requirements under pars. (ag)
15to (g).
AB909,11 16Section 11. 77.82 (4) of the statutes is amended to read:
AB909,8,817 77.82 (4) Additions to managed forest land. An owner of land that is
18designated as managed forest land may file an application with the department to
19designate as managed forest land an additional parcel of land if the additional parcel
20is at least 3 acres in size and is contiguous to any of that designated land or is not
21contiguous to that designated land but meets the requirements under sub.
(1) (ag).
22The application shall be accompanied by a nonrefundable $20 application recording
23fee unless a different amount for the fee is established by the department by rule at
24an amount equal to the average expense to the department of recording an order
25issued under this subchapter. The fee shall be deposited in the conservation fund and

1credited to the appropriation under s. 20.370 (2) (cr). The application shall be filed
2on a department form and shall contain any additional information required by the
3department. The tax rate applicable to an addition under this subsection shall be
4the tax rate currently applicable to the parcel managed forest land order to which the
5land is being added. Except for the minimum acreage requirements under sub. (1)
6(ag) 1. b. that apply to a noncontiguous addition, the eligibility requirements
7applicable to an addition under this subsection are the eligibility requirements
8under the order that designated the parcel to which the land is being added.
AB909,12 9Section 12. 77.82 (11) of the statutes is renumbered 77.82 (11) (a) and
10amended to read:
AB909,8,1711 77.82 (11) (a) An order issued under this subchapter shall constitute a contract
12between the state and the owner and shall remain in effect for the period specified
13in the application unless the land is withdrawn under s. 77.84 (3) (b) or 77.88. Except
14as provided in subs. (3) (f) and (11m), the department may not amend or otherwise
15change the terms of an order or management plan to conform with changes made to
16any provision of this subchapter subsequent to the date on which the order was
17entered or the plan was approved.
AB909,9,4 18(b) If a statute is enacted or a rule is promulgated during the period of the order
19that materially changes the terms of the order as provided under this paragraph, the
20landowner shall elect between acceptance of modifications to the contract consistent
21with the provisions of the statute or rule or voluntary withdrawal of the land without
22penalty. A statutory change does not constitute a material change to an order unless,
23in the act that makes the change, the legislature states that the act or a provision
24in the act makes a material change to orders entered into under prior law. A
25promulgated rule does not constitute a material change to an order unless the rule

1includes a statement that the rule constitutes a material change to orders entered
2into under prior rules and the department includes in its report to the legislature
3under s. 227.19 (2) a statement that the rule constitutes a material change to orders
4entered into under prior rules and an analysis of this determination.
AB909,13 5Section 13. 77.83 (2) (ar) of the statutes is repealed.
AB909,14 6Section 14. 77.86 (1) (am) of the statutes is created to read:
AB909,9,107 77.86 (1) (am) Except as provided under sub. (6), no person may cut
8merchantable timber on managed forest land in a manner that is contrary to an
9approved management plan under s. 77.82 (3) or an approved notice of intent to cut
10under par. (b).
AB909,15 11Section 15. 77.88 (2) (ac) 1. of the statutes is amended to read:
AB909,9,2412 77.88 (2) (ac) 1. If the land transferred under par. (a) meets the eligibility
13requirements under s. 77.82 (1) (a) and, (ag), and (b), the land shall continue to be
14designated as managed forest land if the transferee, within 30 days after a transfer
15of ownership, files a form provided by the department signed by the transferee. By
16signing the form, the transferee certifies to the department an intent to comply with
17the existing management plan for the land and any amendments to the plan. The
18transferee shall provide proof that each person holding any encumbrance on the land
19agrees to the designation. The transferee may designate an area of the transferred
20land closed to public access as provided under s. 77.83. The department shall issue
21an order continuing the designation of the land as managed forest land under the
22new ownership. The transferee shall pay a $100 fee that will accompany the report.
23The fee shall be deposited in the conservation fund. Twenty dollars of the fee or a
24different amount of the fee as may be established under subd. 2. shall be credited to

1the appropriation under s. 20.370 (2) (cr). The department shall immediately notify
2each person entitled to notice under s. 77.82 (8).
AB909,16 3Section 16. 77.88 (2) (am) of the statutes is amended to read:
AB909,10,84 77.88 (2) (am) Transferred land; requirements not met. If the land transferred
5under par. (a) does not meet the eligibility requirements under s. 77.82 (1) (a) and,
6(ag), and
(b), the department shall issue an order withdrawing the land from
7managed forest land designation and shall may assess against the owner a
8withdrawal tax under sub. (5) and the withdrawal fee under sub. (5m).
AB909,17 9Section 17. 77.88 (2) (b) of the statutes is amended to read:
AB909,10,1310 77.88 (2) (b) Remaining land; requirements met. If the land remaining after
11a transfer under par. (a) meets the eligibility requirements under s. 77.82 (1) (a) and,
12(ag), and
(b), the remaining land shall continue to be designated as managed forest
13land.
AB909,18 14Section 18. 77.88 (2) (c) of the statutes is amended to read:
AB909,10,2015 77.88 (2) (c) Remaining land; requirements not met. If the land remaining after
16a transfer under par. (a) does not meet the eligibility requirements under s. 77.82 (1)
17(a) and, (ag), and (b), the department shall issue an order withdrawing the land and
18shall may assess against the owner the withdrawal tax under sub. (5) and the
19withdrawal fee under sub. (5m). Notwithstanding s. 77.90, the owner is not entitled
20to a hearing on an order withdrawing land under this paragraph.
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