diff --git a/blockchain/reactor_test.go b/blockchain/reactor_test.go
index 21eaae4b..11991bda 100644
--- a/blockchain/reactor_test.go
+++ b/blockchain/reactor_test.go
@@ -156,7 +156,7 @@ func makeTxs(height int64) (txs []types.Tx) {
 }
 
 func makeBlock(height int64, state sm.State) *types.Block {
-	block, _ := state.MakeBlock(height, makeTxs(height), new(types.Commit))
+	block, _ := state.MakeBlock(height, makeTxs(height), new(types.Commit), nil)
 	return block
 }
 
diff --git a/consensus/state.go b/consensus/state.go
index 634f1031..f66a872e 100644
--- a/consensus/state.go
+++ b/consensus/state.go
@@ -907,6 +907,8 @@ func (cs *ConsensusState) isProposalComplete() bool {
 }
 
 // Create the next block to propose and return it.
+// We really only need to return the parts, but the block
+// is returned for convenience so we can log the proposal block.
 // Returns nil block upon error.
 // NOTE: keep it side-effect free for clarity.
 func (cs *ConsensusState) createProposalBlock() (block *types.Block, blockParts *types.PartSet) {
@@ -926,9 +928,8 @@ func (cs *ConsensusState) createProposalBlock() (block *types.Block, blockParts
 
 	// Mempool validated transactions
 	txs := cs.mempool.Reap(cs.state.ConsensusParams.BlockSize.MaxTxs)
-	block, parts := cs.state.MakeBlock(cs.Height, txs, commit)
 	evidence := cs.evpool.PendingEvidence()
-	block.AddEvidence(evidence)
+	block, parts := cs.state.MakeBlock(cs.Height, txs, commit, evidence)
 	return block, parts
 }
 
diff --git a/state/execution_test.go b/state/execution_test.go
index 81510fb9..d214ae4f 100644
--- a/state/execution_test.go
+++ b/state/execution_test.go
@@ -79,7 +79,7 @@ func TestBeginBlockValidators(t *testing.T) {
 		lastCommit := &types.Commit{BlockID: prevBlockID, Precommits: tc.lastCommitPrecommits}
 
 		// block for height 2
-		block, _ := state.MakeBlock(2, makeTxs(2), lastCommit)
+		block, _ := state.MakeBlock(2, makeTxs(2), lastCommit, nil)
 		_, err = ExecCommitBlock(proxyApp.Consensus(), block, log.TestingLogger(), state.Validators, stateDB)
 		require.Nil(t, err, tc.desc)
 
@@ -138,7 +138,7 @@ func TestBeginBlockByzantineValidators(t *testing.T) {
 	lastCommit := &types.Commit{BlockID: prevBlockID, Precommits: votes}
 	for _, tc := range testCases {
 
-		block, _ := state.MakeBlock(10, makeTxs(2), lastCommit)
+		block, _ := state.MakeBlock(10, makeTxs(2), lastCommit, nil)
 		block.Time = now
 		block.Evidence.Evidence = tc.evidence
 		_, err = ExecCommitBlock(proxyApp.Consensus(), block, log.TestingLogger(), state.Validators, stateDB)
@@ -269,7 +269,7 @@ func state(nVals, height int) (State, dbm.DB) {
 }
 
 func makeBlock(state State, height int64) *types.Block {
-	block, _ := state.MakeBlock(height, makeTxs(state.LastBlockHeight), new(types.Commit))
+	block, _ := state.MakeBlock(height, makeTxs(state.LastBlockHeight), new(types.Commit), nil)
 	return block
 }
 
diff --git a/state/state.go b/state/state.go
index 3bc08dae..fb589a24 100644
--- a/state/state.go
+++ b/state/state.go
@@ -101,18 +101,26 @@ func (state State) GetValidators() (last *types.ValidatorSet, current *types.Val
 //------------------------------------------------------------------------
 // Create a block from the latest state
 
-// MakeBlock builds a block with the given txs and commit from the current state.
-func (state State) MakeBlock(height int64, txs []types.Tx, commit *types.Commit) (*types.Block, *types.PartSet) {
-	// build base block
-	block := types.MakeBlock(height, txs, commit)
+// MakeBlock builds a block from the current state with the given txs, commit, and evidence.
+func (state State) MakeBlock(
+	height int64,
+	txs []types.Tx,
+	commit *types.Commit,
+	evidence []types.Evidence,
+) (*types.Block, *types.PartSet) {
 
-	// fill header with state data
+	// Build base block with block data.
+	block := types.MakeBlock(height, txs, commit, evidence)
+
+	// Fill rest of header with state data.
 	block.ChainID = state.ChainID
-	block.TotalTxs = state.LastBlockTotalTx + block.NumTxs
+
 	block.LastBlockID = state.LastBlockID
+	block.TotalTxs = state.LastBlockTotalTx + block.NumTxs
+
 	block.ValidatorsHash = state.Validators.Hash()
-	block.AppHash = state.AppHash
 	block.ConsensusHash = state.ConsensusParams.Hash()
+	block.AppHash = state.AppHash
 	block.LastResultsHash = state.LastResultsHash
 
 	return block, block.MakePartSet(state.ConsensusParams.BlockGossip.BlockPartSizeBytes)
diff --git a/types/block.go b/types/block.go
index 48857076..304e8bde 100644
--- a/types/block.go
+++ b/types/block.go
@@ -25,7 +25,7 @@ type Block struct {
 
 // MakeBlock returns a new block with an empty header, except what can be computed from itself.
 // It populates the same set of fields validated by ValidateBasic
-func MakeBlock(height int64, txs []Tx, commit *Commit) *Block {
+func MakeBlock(height int64, txs []Tx, commit *Commit, evidence []Evidence) *Block {
 	block := &Block{
 		Header: Header{
 			Height: height,
@@ -35,20 +35,13 @@ func MakeBlock(height int64, txs []Tx, commit *Commit) *Block {
 		Data: Data{
 			Txs: txs,
 		},
+		Evidence:   EvidenceData{Evidence: evidence},
 		LastCommit: commit,
 	}
 	block.fillHeader()
 	return block
 }
 
-// AddEvidence appends the given evidence to the block
-func (b *Block) AddEvidence(evidence []Evidence) {
-	if b == nil {
-		return
-	}
-	b.Evidence.Evidence = append(b.Evidence.Evidence, evidence...)
-}
-
 // ValidateBasic performs basic validation that doesn't involve state data.
 // It checks the internal consistency of the block.
 func (b *Block) ValidateBasic() error {
diff --git a/types/block_test.go b/types/block_test.go
index 1d27a774..714029bf 100644
--- a/types/block_test.go
+++ b/types/block_test.go
@@ -19,11 +19,13 @@ func TestBlockAddEvidence(t *testing.T) {
 	commit, err := MakeCommit(lastID, h-1, 1, voteSet, vals)
 	require.NoError(t, err)
 
-	block := MakeBlock(h, txs, commit)
-	require.NotNil(t, block)
-
 	ev := NewMockGoodEvidence(h, 0, valSet.Validators[0].Address)
-	block.AddEvidence([]Evidence{ev})
+	evList := []Evidence{ev}
+
+	block := MakeBlock(h, txs, commit, evList)
+	require.NotNil(t, block)
+	require.Equal(t, 1, len(block.Evidence.Evidence))
+	require.NotNil(t, block.EvidenceHash)
 }
 
 func TestBlockValidateBasic(t *testing.T) {
@@ -33,11 +35,14 @@ func TestBlockValidateBasic(t *testing.T) {
 	lastID := makeBlockIDRandom()
 	h := int64(3)
 
-	voteSet, _, vals := randVoteSet(h-1, 1, VoteTypePrecommit, 10, 1)
+	voteSet, valSet, vals := randVoteSet(h-1, 1, VoteTypePrecommit, 10, 1)
 	commit, err := MakeCommit(lastID, h-1, 1, voteSet, vals)
 	require.NoError(t, err)
 
-	block := MakeBlock(h, txs, commit)
+	ev := NewMockGoodEvidence(h, 0, valSet.Validators[0].Address)
+	evList := []Evidence{ev}
+
+	block := MakeBlock(h, txs, commit, evList)
 	require.NotNil(t, block)
 
 	// proper block must pass
@@ -45,39 +50,39 @@ func TestBlockValidateBasic(t *testing.T) {
 	require.NoError(t, err)
 
 	// tamper with NumTxs
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.NumTxs++
 	err = block.ValidateBasic()
 	require.Error(t, err)
 
 	// remove 1/2 the commits
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.LastCommit.Precommits = commit.Precommits[:commit.Size()/2]
 	block.LastCommit.hash = nil // clear hash or change wont be noticed
 	err = block.ValidateBasic()
 	require.Error(t, err)
 
 	// tamper with LastCommitHash
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.LastCommitHash = []byte("something else")
 	err = block.ValidateBasic()
 	require.Error(t, err)
 
 	// tamper with data
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.Data.Txs[0] = Tx("something else")
 	block.Data.hash = nil // clear hash or change wont be noticed
 	err = block.ValidateBasic()
 	require.Error(t, err)
 
 	// tamper with DataHash
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.DataHash = cmn.RandBytes(len(block.DataHash))
 	err = block.ValidateBasic()
 	require.Error(t, err)
 
 	// tamper with evidence
-	block = MakeBlock(h, txs, commit)
+	block = MakeBlock(h, txs, commit, evList)
 	block.EvidenceHash = []byte("something else")
 	err = block.ValidateBasic()
 	require.Error(t, err)
@@ -85,13 +90,13 @@ func TestBlockValidateBasic(t *testing.T) {
 
 func TestBlockHash(t *testing.T) {
 	assert.Nil(t, (*Block)(nil).Hash())
-	assert.Nil(t, MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil).Hash())
+	assert.Nil(t, MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil, nil).Hash())
 }
 
 func TestBlockMakePartSet(t *testing.T) {
 	assert.Nil(t, (*Block)(nil).MakePartSet(2))
 
-	partSet := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil).MakePartSet(1024)
+	partSet := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil, nil).MakePartSet(1024)
 	assert.NotNil(t, partSet)
 	assert.Equal(t, 1, partSet.Total())
 }
@@ -105,7 +110,10 @@ func TestBlockHashesTo(t *testing.T) {
 	commit, err := MakeCommit(lastID, h-1, 1, voteSet, vals)
 	require.NoError(t, err)
 
-	block := MakeBlock(h, []Tx{Tx("Hello World")}, commit)
+	ev := NewMockGoodEvidence(h, 0, valSet.Validators[0].Address)
+	evList := []Evidence{ev}
+
+	block := MakeBlock(h, []Tx{Tx("Hello World")}, commit, evList)
 	block.ValidatorsHash = valSet.Hash()
 	assert.False(t, block.HashesTo([]byte{}))
 	assert.False(t, block.HashesTo([]byte("something else")))
@@ -113,7 +121,7 @@ func TestBlockHashesTo(t *testing.T) {
 }
 
 func TestBlockSize(t *testing.T) {
-	size := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil).Size()
+	size := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil, nil).Size()
 	if size <= 0 {
 		t.Fatal("Size of the block is zero or negative")
 	}
@@ -124,7 +132,7 @@ func TestBlockString(t *testing.T) {
 	assert.Equal(t, "nil-Block", (*Block)(nil).StringIndented(""))
 	assert.Equal(t, "nil-Block", (*Block)(nil).StringShort())
 
-	block := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil)
+	block := MakeBlock(int64(3), []Tx{Tx("Hello World")}, nil, nil)
 	assert.NotEqual(t, "nil-Block", block.String())
 	assert.NotEqual(t, "nil-Block", block.StringIndented(""))
 	assert.NotEqual(t, "nil-Block", block.StringShort())