1.1                          A bill for an act 
  1.2             relating to animal feedlots; requiring licenses; 
  1.3             creating and funding a cleanup fund; limiting issuance 
  1.4             of certain permits; requiring an inventory and review; 
  1.5             requiring a generic environmental impact statement on 
  1.6             feedlots; appropriating money; amending Minnesota 
  1.7             Statutes 1996, section 116.07, by adding a 
  1.8             subdivision; proposing coding for new law in Minnesota 
  1.9             Statutes, chapter 116; proposing coding for new law as 
  1.10            Minnesota Statutes, chapter 18G.  
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12     Section 1.  [18G.01] [PURPOSE.] 
  1.13     The purpose of this chapter is to minimize the 
  1.14  environmental and economic risks associated with careless, 
  1.15  improper, or malicious handling, management, or application of 
  1.16  animal wastes generated by large animal feedlots.  
  1.17     Sec. 2.  [18G.02] [TRAINING AND LICENSING FOR ANIMAL WASTE 
  1.18  TECHNICIANS.] 
  1.19     A person who manages or applies animal wastes, except a 
  1.20  person who manages and applies only animal wastes generated by 
  1.21  animals owned by that person on property owned by that person, 
  1.22  must hold a valid commercial or noncommercial animal waste 
  1.23  management technician license.  
  1.24     The commissioner of agriculture, in cooperation with the 
  1.25  Minnesota extension service and appropriate educational 
  1.26  institutions, shall establish and implement a program for 
  1.27  training and licensing commercial and noncommercial animal waste 
  1.28  technicians.  
  2.1      Sec. 3.  [18G.03] [COMMERCIAL ANIMAL WASTE TECHNICIAN.] 
  2.2      Subdivision 1.  [REQUIREMENT.] (a) A person may not manage 
  2.3   or apply animal wastes for hire without a valid commercial 
  2.4   animal waste technician license.  
  2.5      (b) A commercial animal waste technician licensee must have 
  2.6   a valid license identification card when managing or applying 
  2.7   animal wastes for hire and must display it upon demand by an 
  2.8   authorized representative of the commissioner of agriculture or 
  2.9   a law enforcement officer.  The commissioner shall prescribe the 
  2.10  information required on the license identification card.  
  2.11     Subd. 2.  [RESPONSIBILITY.] A person required to be 
  2.12  licensed under this section who performs animal waste management 
  2.13  or application for hire or who employs a licensed technician to 
  2.14  perform animal waste management or application for compensation 
  2.15  is responsible for proper management or application of the 
  2.16  animal wastes. 
  2.17     Subd. 3.  [LICENSE.] A commercial animal waste technician 
  2.18  license: 
  2.19     (1) expires on December 31 of the year for which it is 
  2.20  issued, unless suspended or revoked before that date; 
  2.21     (2) is not transferable to another person; and 
  2.22     (3) must be prominently displayed to the public in the 
  2.23  commercial animal waste technician's place of business. 
  2.24     Subd. 4.  [APPLICATION.] A person must apply to the 
  2.25  commissioner of agriculture for a commercial animal waste 
  2.26  technician license on forms and in the manner required by the 
  2.27  commissioner and must include the application fee.  The 
  2.28  commissioner shall prescribe and administer a closed-book, 
  2.29  monitored examination or equivalent measure to determine if the 
  2.30  applicant is eligible for the commercial animal waste technician 
  2.31  license. 
  2.32     Subd. 5.  [RENEWAL APPLICATION.] (a) A person must apply to 
  2.33  the commissioner of agriculture to renew a commercial animal 
  2.34  waste technician license and must include the application fee.  
  2.35  The commissioner may renew a commercial animal waste technician 
  2.36  license, subject to reexamination, attendance at workshops 
  3.1   approved by the commissioner, or other requirements imposed by 
  3.2   the commissioner to provide the animal waste technician with 
  3.3   information regarding changing technology and to help ensure a 
  3.4   continuing level of competence and ability to manage and apply 
  3.5   animal wastes properly.  The applicant may renew a commercial 
  3.6   animal waste technician license within 12 months after 
  3.7   expiration of the license without having to meet initial testing 
  3.8   requirements.  The commissioner may require additional 
  3.9   demonstration of animal waste technician qualification if a 
  3.10  person has had a license suspended or revoked or has had a 
  3.11  history of violations of this chapter. 
  3.12     (b) An applicant that meets renewal requirements by 
  3.13  reexamination instead of attending workshops must pay the 
  3.14  equivalent workshop fee for the reexamination as determined by 
  3.15  the commissioner of agriculture. 
  3.16     Subd. 6.  [FINANCIAL RESPONSIBILITY.] (a) A commercial 
  3.17  animal waste technician license may not be issued unless the 
  3.18  applicant furnishes proof of financial responsibility.  The 
  3.19  financial responsibility may be demonstrated by (1) proof of net 
  3.20  assets equal to or greater than $50,000, or (2) a performance 
  3.21  bond or insurance of the kind and in an amount determined by the 
  3.22  commissioner of agriculture. 
  3.23     (b) The bond or insurance must cover a period of time at 
  3.24  least equal to the term of the applicant's license.  The 
  3.25  commissioner of agriculture shall immediately suspend the 
  3.26  license of a person who fails to maintain the required bond or 
  3.27  insurance.  The performance bond or insurance policy must 
  3.28  contain a provision requiring the insurance or bonding company 
  3.29  to notify the commissioner by ten days before the effective date 
  3.30  of cancellation, termination, or any other change of the bond or 
  3.31  insurance.  If there is recovery against the bond or insurance, 
  3.32  additional coverage must be secured to maintain financial 
  3.33  responsibility equal to the original amount required. 
  3.34     (c) An employee of a licensed person is not required to 
  3.35  maintain an insurance policy or bond during the time the 
  3.36  employer is maintaining the required insurance or bond. 
  4.1      (d) Applications for reinstatement of a license suspended 
  4.2   under paragraph (b) must be accompanied by proof of satisfaction 
  4.3   of judgments previously rendered.  
  4.4      Subd. 7.  [APPLICATION FEES.] (a) A person initially 
  4.5   applying for or renewing a commercial animal waste technician 
  4.6   license must pay a nonrefundable application fee of $50.  
  4.7      (b) If a renewal application is not filed before March 1 of 
  4.8   the year for which the license is to be issued, an additional 
  4.9   penalty of $10 must be paid before the commercial animal waste 
  4.10  technician license may be issued. 
  4.11     (c) An application for a duplicate commercial animal waste 
  4.12  technician license must be accompanied by a nonrefundable 
  4.13  application fee of $10. 
  4.14     (d) Fees collected under this subdivision must be deposited 
  4.15  in the animal waste spill liability account.  
  4.16     Sec. 4.  [18G.04] [NONCOMMERCIAL ANIMAL WASTE TECHNICIAN 
  4.17  LICENSE.] 
  4.18     Subdivision 1.  [REQUIREMENT.] (a) A person who does not 
  4.19  hold a valid commercial animal waste technician license may not 
  4.20  manage or apply animal wastes without a valid noncommercial 
  4.21  animal waste technician license. 
  4.22     (b) A noncommercial animal waste technician licensee must, 
  4.23  within 24 hours of the demand, display a valid animal waste 
  4.24  technician license to an authorized representative of the 
  4.25  commissioner of agriculture or a law enforcement officer.  The 
  4.26  commissioner shall prescribe the information required on the 
  4.27  license identification card. 
  4.28     Subd. 2.  [RESPONSIBILITY.] A person required to be 
  4.29  licensed under this section is responsible for proper management 
  4.30  or application of the animal wastes. 
  4.31     Subd. 3.  [LICENSE.] A noncommercial animal waste 
  4.32  technician license: 
  4.33     (1) expires on December 31 of the year for which it is 
  4.34  issued, unless suspended or revoked before that date; and 
  4.35     (2) is not transferable to another person. 
  4.36     Subd. 4.  [APPLICATION.] A person must apply to the 
  5.1   commissioner of agriculture for a noncommercial animal waste 
  5.2   technician license on forms and in the manner required by the 
  5.3   commissioner and must include the application fee.  The 
  5.4   commissioner shall prescribe and administer a closed-book, 
  5.5   monitored examination or equivalent measure to determine if the 
  5.6   applicant is eligible for the noncommercial animal waste 
  5.7   technician license. 
  5.8      Subd. 5.  [RENEWAL APPLICATION.] (a) A person must apply to 
  5.9   the commissioner of agriculture to renew a noncommercial animal 
  5.10  waste technician license and must include the application fee.  
  5.11  The commissioner may renew a noncommercial animal waste 
  5.12  technician license subject to reexamination, attendance at 
  5.13  workshops approved by the commissioner, or other requirements 
  5.14  imposed by the commissioner to provide the animal waste 
  5.15  technician with information regarding changing technology and to 
  5.16  help ensure a continuing level of competence and ability to use 
  5.17  pesticides safely and properly.  The applicant may renew a 
  5.18  noncommercial animal waste technician license within 12 months 
  5.19  after expiration of the license without having to meet initial 
  5.20  testing requirements.  The commissioner may require additional 
  5.21  demonstration of animal waste technician qualification if a 
  5.22  person has had a license suspended or revoked or has had a 
  5.23  history of violations of this chapter.  
  5.24     (b) An applicant that meets renewal requirements by 
  5.25  reexamination instead of attending workshops must pay the 
  5.26  equivalent workshop fee for the reexamination as determined by 
  5.27  the commissioner of agriculture. 
  5.28     Subd. 6.  [APPLICATION FEES.] (a) A person initially 
  5.29  applying for or renewing a noncommercial animal waste technician 
  5.30  license must pay a nonrefundable application fee of $25. 
  5.31     (b) If a renewal application is not filed before March 1 of 
  5.32  the year for which the license is to be issued, an additional 
  5.33  penalty of $10 must be paid before the noncommercial animal 
  5.34  waste technician license may be issued. 
  5.35     (c) An application for a duplicate noncommercial animal 
  5.36  waste technician license must be accompanied by a nonrefundable 
  6.1   application fee of $10. 
  6.2      (d) Fees collected under this subdivision must be deposited 
  6.3   in the animal waste spill liability account. 
  6.4      Sec. 5.  Minnesota Statutes 1996, section 116.07, is 
  6.5   amended by adding a subdivision to read: 
  6.6      Subd. 7b.  [PROHIBITED PERMITS.] Neither the pollution 
  6.7   control agency nor a county board may issue a permit to 
  6.8   construct or expand a feedlot if: 
  6.9      (1) the feedlot would operate with a clay, earthen, or 
  6.10  plastic lined animal waste lagoon; or 
  6.11     (2) the feedlot would operate with over 1,000 animal units 
  6.12  unless the requester already has a permit under the federal 
  6.13  Clean Water Act. 
  6.14     Sec. 6.  [116.0711] [ANIMAL WASTE SPILL LIABILITY ACCOUNT; 
  6.15  SURCHARGE.] 
  6.16     Subdivision 1.  [ESTABLISHMENT OF ACCOUNT.] An animal waste 
  6.17  spill liability account is established in the environmental 
  6.18  fund.  Money in the account is appropriated to the commissioner 
  6.19  for containment and cleanup of animal waste spills. 
  6.20     Subd. 2.  [FEEDLOT PERMIT SURCHARGE.] A surcharge of $1 per 
  6.21  animal unit must be paid on feedlot permits issued or renewed by 
  6.22  the pollution control agency or a county board.  Money collected 
  6.23  under this section must be deposited in the state treasury and 
  6.24  credited to the animal waste spill liability account.  
  6.25     Sec. 7.  [116.0712] [ANIMAL WASTE CONTROL AND SPILL 
  6.26  INVENTORY AND REPORTING; CONTINGENCY PLAN.] 
  6.27     The pollution control agency, in cooperation with the 
  6.28  commissioner of agriculture and county officials, shall 
  6.29  investigate the problems of proper control of animal wastes 
  6.30  generated by animal feedlots and conduct an inventory of animal 
  6.31  waste facilities and storage sites and the needs relative to the 
  6.32  transportation and application of animal wastes and shall 
  6.33  develop an informational reporting system of animal waste 
  6.34  quantities generated, applied, and disposed of in the state.  
  6.35  The agency shall also develop a statewide animal waste spill 
  6.36  contingency plan including containment and cleanup measures. 
  7.1      Sec. 8.  [INVENTORY OF FEEDLOTS.] 
  7.2      Subdivision 1.  [SCOPE; COMMISSIONER OF AGRICULTURE TO 
  7.3   COORDINATE.] The commissioner of agriculture shall organize and 
  7.4   coordinate a comprehensive, county-by-county inventory of 
  7.5   existing animal feedlots as defined in Minnesota Rules, part 
  7.6   7020.0300, subpart 3.  The inventory must determine for each 
  7.7   animal feedlot: 
  7.8      (1) the type of livestock; 
  7.9      (2) the design capacity in animal units; 
  7.10     (3) the manure management system employed; 
  7.11     (4) the state of compliance with pollution control agency 
  7.12  or county permit conditions; and 
  7.13     (5) the ownership and business organization having 
  7.14  controlling interest in the feedlot. 
  7.15     Subd. 2.  [GRANTS AND TECHNICAL ASSISTANCE TO COUNTIES.] 
  7.16  From the appropriation in section 11, the commissioner of 
  7.17  agriculture shall make grants to counties for the costs of 
  7.18  conducting and reporting the feedlot inventory.  The 
  7.19  commissioner may also provide to counties support and technical 
  7.20  assistance relating to the inventory. 
  7.21     Subd. 3.  [INVENTORY DATA IS PUBLIC DATA.] The information 
  7.22  on each feedlot specified in subdivision 1, clauses (1) to (5), 
  7.23  that is gathered during conduct of the inventory is public data. 
  7.24     Subd. 4.  [REPORT.] Not later than March 1, 1999, the 
  7.25  commissioner of agriculture shall report to the legislature the 
  7.26  findings of the animal feedlot inventory. 
  7.27     Sec. 9.  [REVIEW; UPDATE OF COUNTY FEEDLOT ORDINANCES.] 
  7.28     (a) The commissioners of the pollution control agency and 
  7.29  agriculture shall provide technical assistance to counties for 
  7.30  the development and adoption of new or amended ordinances 
  7.31  relating to animal feedlots. 
  7.32     (b) The attorney general shall provide legal assistance to 
  7.33  counties that elect to review or modify ordinances relating to 
  7.34  animal feedlots.  
  7.35     (c) The commissioner of agriculture may provide for 
  7.36  transfer of appropriated money to the attorney general or the 
  8.1   pollution control agency for costs of the legal or technical 
  8.2   assistance provided under this subdivision. 
  8.3      Sec. 10.  [COUNTIES AND TOWNS TO REPORT.] 
  8.4      (a) Not later than August 1, 1998, each county and each 
  8.5   town that has adopted ordinances related to animal feedlots 
  8.6   shall supply copies of the ordinances to the commissioner of 
  8.7   agriculture.  A county or town that adopts a new or amended 
  8.8   ordinance related to animal feedlots shall report the new or 
  8.9   amended ordinance to the commissioner within 60 days after the 
  8.10  adoption. 
  8.11     (b) The reporting requirements of paragraph (a) expire 
  8.12  after June 30, 2001. 
  8.13     Sec. 11.  [APPROPRIATION; INVENTORY AND REVIEW.] 
  8.14     $....... is appropriated from the general fund to the 
  8.15  commissioner of agriculture for the purposes of sections 8 and 9 
  8.16  for fiscal year 1999. 
  8.17     Sec. 12.  [APPROPRIATION; GENERIC ENVIRONMENTAL IMPACT 
  8.18  STATEMENT.] 
  8.19     $1,200,000 is appropriated in fiscal year 1999 from the 
  8.20  general fund to the pollution control agency for the development 
  8.21  of a generic environmental impact statement for animal 
  8.22  feedlots.  The pollution control agency shall carry out this 
  8.23  effort in cooperation with the environmental quality board, the 
  8.24  department of agriculture, and the department of health.  The 
  8.25  pollution control agency may transfer portions of the 
  8.26  appropriation to the cooperating agencies.  This appropriation 
  8.27  remains available until June 30, 2000.