HF 4111

as introduced - 92nd Legislature (2021 - 2022) Posted on 03/07/2022 03:02pm

A bill for an act
relating to agriculture; establishing cooperative grants; proposing coding for new
law in Minnesota Statutes, chapter 17.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [17.1016] COOPERATIVE GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this section:
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new text begin (1) "agricultural commodity" has the meaning given in section 17.101, subdivision 5;
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new text begin (2) new text end new text begin "agricultural product processing facility" has the meaning given in section 17.101,
subdivision 5; and
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new text begin (3) "agricultural service" means an action made under the direction of a farmer that
provides value to another entity. Agricultural service includes grazing to manage vegetation.
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new text begin Subd. 2. new text end

new text begin Grant program. new text end

new text begin (a) The commissioner may establish and implement a grant
program to help farmers finance new cooperatives that organize for purposes of operating
an agricultural product processing facility or marketing an agricultural product or agricultural
service.
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new text begin (b) To be eligible for this program, a grantee must:
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new text begin (1) be a cooperative organized under chapter 308A;
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new text begin (2) certify that all control and equity in the cooperative is from farmers, family farm
partnerships, family farm limited liability companies, or family farm corporations as defined
in section 500.24, subdivision 2, who are actively engaged in agricultural commodity
production;
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new text begin (3) be operated primarily to process agricultural commodities or market agricultural
products or services produced in Minnesota; and
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new text begin (4) receive agricultural commodities produced primarily by shareholders or members
of the cooperative.
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new text begin (c) The commissioner may receive applications and make grants up to $50,000 to eligible
grantees for feasibility, marketing analysis, assistance with organizational development,
financing and managing new cooperatives, product development, development of business
and marketing plans, and predesign of facilities including site analysis, development of bid
specifications, preliminary blueprints and schematics, and completion of purchase agreements
and other necessary legal documents.
new text end