1.1 	A bill for an act
1.2 	relating to agriculture; establishing the Fertilizer
1.3 	Research Council; providing for a program of
1.4 	comprehensive research in soil fertility and
1.5 	fertilizer management; establishing a refundable fee
1.6 	on agricultural fertilizers; amending Minnesota
1.7 	Statutes 2004, section 18C.425, by adding a
1.8 	subdivision.
1.9 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.10 	Section 1. Minnesota Statutes 2004, section 18C.425, is
1.11 	amended by adding a subdivision to read:
1.12 		Subd. 7.Soil fertility and fertilizer management
1.13 	research program; funding; fertilizer council. (a) There is
1.14 	established a permanent program of grants for research in soil
1.15 	fertility and fertilizer use.  Research conducted under the
1.16 	program must seek practical answers to problems and practices
1.17 	related to improving precision in fertilizer use, documentation
1.18 	of the impact of fertilizer use on crop quantity and quality,
1.19 	interactions between fertilizer use and other crop inputs, and
1.20 	best management practices to minimize negative environmental
1.21 	impacts of fertilizer use in various cropping systems.
1.22 	(b) The research program under this subdivision must be
1.23 	supported by a fee of $0.45 per ton of fertilizer sold or
1.24 	distributed in the state.  This fee must be collected at the
1.25 	same time and in the same manner as inspection fees collected
1.26 	under subdivision 6 and deposited in the soil fertility and
1.27 	fertilizer management account in the agricultural account, which
2.1 	account is hereby created.  Money in the account, including
2.2 	interest earned on the account, is annually appropriated to the
2.3 	commissioner for purposes of this subdivision under the
2.4 	direction of the Fertilizer Research Council created in
2.5 	paragraph (e).
2.6 	(c) For purposes of this subdivision the term "person"
2.7 	means an individual or the designated principal of a business
2.8 	entity whether organized as a sole proprietorship, firm,
2.9 	corporation, partnership, association, trust, stock company, or
2.10 	otherwise.
2.11 	(d) A person required to contribute to the soil fertility
2.12 	and fertilizer management account may, by the use of forms
2.13 	provided by the commissioner and submitted to the commissioner
2.14 	not later than January 30, have the fees paid by the person to
2.15 	the soil fertility and fertilizer management account in the
2.16 	previous calendar year fully or partially refunded to the person.
2.17 	(e) The Fertilizer Research Council must be created for
2.18 	persons involved in the manufacture, distribution, sale, and
2.19 	application of agricultural fertilizer on filing with the
2.20 	commissioner a petition requesting creation of the council.  The
2.21 	petition must be signed by not fewer than 25 persons having a
2.22 	direct interest in the agricultural fertilizer industry or
2.23 	research related to the fertilizer industry, including the
2.24 	University of Minnesota.  At least two persons shall certify
2.25 	under oath that the petition has been signed only by persons
2.26 	involved in the agricultural fertilizer industry.
2.27 	(f) Upon petition by the required number of persons, the
2.28 	commissioner shall, after consultation with the various parties
2.29 	petitioning for a referendum, determine the size of the
2.30 	Fertilizer Research Council and the distribution of the council
2.31 	membership.  At least 20 percent of the membership positions on
2.32 	the council must be filled by persons employed by the University
2.33 	of Minnesota and involved in agricultural teaching or research.
2.34 	(g) Within 30 days after the filing of the petition by the
2.35 	required number of persons the commissioner shall appoint a
2.36 	nominating committee of at least five persons who shall, within
3.1 	60 days from the filing of the petition, nominate at least two
3.2 	candidates for each council position and certify the names of
3.3 	the candidates to the commissioner.
3.4 	(h) Upon receipt of the nominations, the commissioner shall
3.5 	promptly arrange an election to be held at places designated by
3.6 	the commissioner reasonably convenient to all interested
3.7 	persons.  Ballots containing the names of the nominated
3.8 	candidates for each position and providing for write-in
3.9 	candidates must be made available at all polling places.  Only
3.10 	persons having a direct interest in the fertilizer industry,
3.11 	including persons employed by the University of Minnesota, are
3.12 	qualified to vote.  General polling procedures must be
3.13 	established by the commissioner.  An impartial committee
3.14 	appointed by the commissioner shall tabulate the votes and the
3.15 	candidates receiving the most votes must be declared elected to
3.16 	the first council.
3.17 	(i) After the first Fertilizer Research Council is elected,
3.18 	an election shall be held annually to elect members of the
3.19 	council.  The election shall be held in the same manner as
3.20 	prescribed for the first council election except that the manner
3.21 	of choosing nominating committee members, the time of
3.22 	nominations, and the time and place of elections must be fixed
3.23 	by the commissioner.  Mail balloting may be permitted by the
3.24 	commissioner.
3.25 	(j) At the first meeting of the Fertilizer Research Council
3.26 	the commissioner shall determine by lot one-third of the council
3.27 	members whose terms expire June 30 in the calendar year
3.28 	following the year of the first election, one-third of the
3.29 	council members whose terms expire June 30 in the second
3.30 	calendar year, and the remaining council members whose terms
3.31 	expire June 30 in the third calendar year.  All council members
3.32 	elected in succeeding elections must serve three-year terms and
3.33 	until their successors are elected and qualified.  All terms
3.34 	expire on June 30 of the last year of the term.  If a council
3.35 	member ceases to have any of the qualifications required for the
3.36 	position, that office must be deemed vacant.  A vacancy on the
4.1 	council must be filled by the council for the remainder of the
4.2 	term vacated.
4.3 	(k) The commissioner shall serve as a member of the
4.4 	Fertilizer Research Council without vote.  The council shall
4.5 	elect from its membership a chair, a vice chair, a secretary,
4.6 	and other officers the council considers necessary.  An
4.7 	executive committee of no more than five members including the
4.8 	officers may also be elected.
4.9 	(l) The Fertilizer Research Council shall meet at times and
4.10 	places as it may determine or upon call of the chair or of any
4.11 	three members or one-third of the council, whichever is
4.12 	greater.  A majority of the voting members of a council
4.13 	constitute a quorum for the transaction of all business in
4.14 	carrying out the duties of the council.
4.15 	(m) The Fertilizer Research Council or its executive
4.16 	committee shall receive and review applications for research
4.17 	projects described in paragraph (a) and determine which should
4.18 	be funded from money in the soil fertility and fertilizer
4.19 	management account.  All research studies must be conducted
4.20 	within the state.  Not less than 50 percent of the money spent
4.21 	on research grants each year must be awarded to the University
4.22 	of Minnesota or the Minnesota Extension Service.  The council or
4.23 	its executive committee shall monitor funded projects.