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Office of the Revisor of Statutes

HF 2678

1st Committee Engrossment - 86th Legislature (2009 - 2010)

Posted on 03/19/2013 07:29 p.m.

KEY: stricken = removed, old language.
underscored = added, new language.
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1.1A bill for an act 1.2relating to the operation of state government; changing certain provisions and 1.3programs affecting agriculture and veterans affairs; clarifying certain terms and 1.4procedures; changing certain record keeping provisions; requiring planning for 1.5additional veterans cemeteries;amending Minnesota Statutes 2008, sections 1.61.141, by adding subdivisions; 3.737, subdivision 4; 17.03, by adding a 1.7subdivision; 18B.31, subdivision 5; 18B.36, subdivision 1; 18B.37, subdivision 1.84; 28A.082, subdivision 1; 35.244, subdivisions 1, 2; 197.455, by adding a 1.9subdivision; 197.481, subdivisions 1, 2, 4; 197.60, subdivision 1; 197.601; 1.10197.605; 197.606; 197.609, subdivisions 1, 2; 197.75, subdivision 1; 239.092; 1.11239.093; 239.791, by adding subdivisions; 336.9-531; 336A.08, subdivisions 1.121, 4; 336A.14; 500.221, subdivisions 2, 4; 500.24, subdivision 2; 514.965, 1.13subdivision 2; 514.966, subdivisions 5, 6, by adding a subdivision; Minnesota 1.14Statutes 2009 Supplement, sections 3.737, subdivision 1; 18B.316, subdivision 1.1510; 190.19, subdivision 2a; 197.46; 239.791, subdivisions 1, 1a; Laws 2007, 1.16chapter 45, article 1, section 3, subdivisions 4, as amended, 5, as amended; Laws 1.172008, chapter 296, article 1, section 25; Laws 2009, chapter 94, article 1, section 1.183, subdivision 5; proposing coding for new law in Minnesota Statutes, chapter 1.1938; repealing Minnesota Statutes 2008, section 17.231. 1.20BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.21ARTICLE 1 1.22AGRICULTURE 1.23    Section 1. Minnesota Statutes 2009 Supplement, section 3.737, subdivision 1, is 1.24amended to read: 1.25    Subdivision 1. Compensation required. (a) Notwithstanding section 3.736, 1.26subdivision 3 , paragraph (e), or any other law, a livestock owner shall be compensated 1.27by the commissioner of agriculture for livestock that is destroyed by a gray wolf or is so 1.28crippled by a gray wolf that it must be destroyed. Except as provided in this section, 1.29the owner is entitled to the fair market value of the destroyed livestock as determined 2.1by the commissioner, upon recommendation of new text begin the fair market value by new text end a university 2.2extension agent or a conservation officer. In any fiscal year, a livestock owner may not 2.3be compensated for a destroyed animal claim that is less than $100 in value and may be 2.4compensated up to $20,000, as determined under this section. In any fiscal year, the 2.5commissioner may provide compensation for claims filed under this section up to the 2.6amount expressly appropriated for this purpose. 2.7    (b) Either the agent or thenew text begin Anew text end conservation officernew text begin , an official from the Animal and new text end 2.8new text begin Plant Health Inspection Service of the United States Department of Agriculture, or a peace new text end 2.9new text begin officer from the county sheriff's officenew text end must make a personal inspection of the sitenew text begin and new text end 2.10new text begin submit a report to the commissioner detailing the results of the investigationnew text end . The agent or 2.11the conservation officernew text begin The investigatornew text end must take into account factors in addition to a 2.12visual identification of a carcass when making a recommendation to the commissioner. 2.13The commissioner, upon recommendation of the agent or conservation officernew text begin investigatornew text end , 2.14shall determine whether the livestock was destroyed by a gray wolf and any deficiencies in 2.15the owner's adoption of the best management practices developed in subdivision 5. The 2.16commissioner may authorize payment of claims only if the agent or the conservation 2.17officer has recommended payment. The owner shall file a claim on forms provided by the 2.18commissioner and available at the university extension agent's office. 2.19    Sec. 2. Minnesota Statutes 2008, section 3.737, subdivision 4, is amended to read: 2.20    Subd. 4. Payment; denial of compensation. (a) If the commissioner finds that the 2.21livestock owner has shown that the loss of the livestock was likely caused by a gray 2.22wolf, the commissioner shall pay compensation as provided in this section and in the 2.23rules of the department. 2.24(b) For a gray wolf depredation claim submitted by a livestock owner after 2.25September 1, 1999, the commissioner shall, based on the report from the university 2.26extension agent and conservation officer, evaluate the claim for conformance with 2.27the best management practices developed by the commissioner in subdivision 5. The 2.28commissioner must provide to the livestock owner an itemized list of any deficiencies 2.29in the livestock owner's adoption of best management practices that were noted in the 2.30university extension agent's or conservation officer's report. 2.31(c)new text begin (b)new text end If the commissioner denies compensation claimed by an owner under 2.32this section, the commissioner shall issue a written decision based upon the available 2.33evidence. It shall include specification of the facts upon which the decision is based 2.34and the conclusions on the material issues of the claim. A copy of the decision shall 2.35be mailed to the owner. 3.1(d)new text begin (c)new text end A decision to deny compensation claimed under this section is not subject to 3.2the contested case review procedures of chapter 14, but may be reviewed upon a trial de 3.3novo in a court in the county where the loss occurred. The decision of the court may be 3.4appealed as in other civil cases. Review in court may be obtained by filing a petition for 3.5review with the administrator of the court within 60 days following receipt of a decision 3.6under this section. Upon the filing of a petition, the administrator shall mail a copy to the 3.7commissioner and set a time for hearing within 90 days of the filing. 3.8    Sec. 3. Minnesota Statutes 2008, section 17.03, is amended by adding a subdivision to 3.9read: 3.10    new text begin Subd. 11a.new text end new text begin Permitting efficiency goal and report.new text end new text begin (a) It is the goal of the state that new text end 3.11new text begin environmental and resource management permits be issued or denied within 150 days of new text end 3.12new text begin the submission of a completed permit application. The commissioner of agriculture shall new text end 3.13new text begin establish management systems designed to achieve the goal.new text end 3.14new text begin (b) The commissioner shall prepare semiannual permitting efficiency reports that new text end 3.15new text begin include statistics on meeting the goal in paragraph (a). The reports are due February 1 new text end 3.16new text begin and August 1 of each year. For permit applications that have not met the goal, the report new text end 3.17new text begin must state the reasons for not meeting the goal, steps that will be taken to complete action new text end 3.18new text begin on the application, and the expected timeline. In stating the reasons for not meeting the new text end 3.19new text begin goal, the commissioner shall separately identify delays caused by the responsiveness of new text end 3.20new text begin the proposer, lack of staff, scientific or technical disagreements, or the level of public new text end 3.21new text begin engagement. The report must specify the number of days from initial submission of new text end 3.22new text begin the application to the day of determination that the application is complete. The report new text end 3.23new text begin for the final quarter of the fiscal year must aggregate the data for the year and assess new text end 3.24new text begin whether program or system changes are necessary to achieve the goal. The report must new text end 3.25new text begin be posted on the department Web site and submitted to the governor and the chairs of new text end 3.26new text begin the house of representatives and senate committees having jurisdiction over agriculture new text end 3.27new text begin policy and finance.new text end 3.28new text begin (c) The commissioner shall allow electronic submission of environmental review new text end 3.29new text begin and permit documents to the department.new text end 3.30    Sec. 4. Minnesota Statutes 2008, section 18B.31, subdivision 5, is amended to read: 3.31    Subd. 5. Application fee. (a) An application for a pesticide dealer license must be 3.32accompanied by a nonrefundable application fee of $150. 3.33(b) If an application for renewal of a pesticide dealer license is not filed before 3.34January 1 of the year for which the license is to be issuednew text begin expiresnew text end , an additional fee of $20new text begin new text end 4.1new text begin 50 percent of the application feenew text end must be paid by the applicant before new text begin the commissioner new text end 4.2new text begin may issue new text end the license is issued. 4.3    Sec. 5. Minnesota Statutes 2009 Supplement, section 18B.316, subdivision 10, is 4.4amended to read: 4.5    Subd. 10. Application fee. (a) An application for an agricultural pesticide dealer 4.6license, or a renewal of an agricultural pesticide dealer license, must be accompanied 4.7by a nonrefundable fee of $150. 4.8(b) If an application for renewal of an agricultural pesticide dealer license is not filed 4.9before January of the year for which the license is to be issuednew text begin expiresnew text end , an additional fee of 4.1050 percent of the application fee must be paid by the applicant before the commissioner 4.11may issue the license. 4.12    Sec. 6. Minnesota Statutes 2008, section 18B.36, subdivision 1, is amended to read: 4.13    Subdivision 1. Requirement. (a) Except for a licensed commercial or 4.14noncommercial applicator, only a certified private applicator may use a restricted use 4.15pesticide to produce an agricultural commodity: 4.16(1) as a traditional exchange of services without financial compensation; 4.17(2) on a site owned, rented, or managed by the person or the person's employees; or 4.18(3) when the private applicator is one of two or fewer employees and the owner or 4.19operator is a certified private applicator or is licensed as a noncommercial applicator. 4.20(b) A private applicatornew text begin personnew text end may not purchase a restricted use pesticide without 4.21presenting a new text begin license card, new text end certified private applicator cardnew text begin ,new text end or the card number. 4.22    Sec. 7. Minnesota Statutes 2008, section 18B.37, subdivision 4, is amended to read: 4.23    Subd. 4. Storage, handling, new text begin incident response, new text end and disposal plan. A commercialnew text begin new text end 4.24new text begin pesticide dealer, agricultural pesticide dealer, or a commercialnew text end , noncommercial, or 4.25structural pest control applicator or the business that the applicator is employed by must 4.26develop and maintain a plan that describes its pesticide storage, handling, new text begin incident new text end 4.27new text begin response, new text end and disposal practices. The plan must be kept at a principal business site 4.28or location within this state and must be submitted to the commissioner upon request 4.29on forms provided by the commissioner. The plan must be available for inspection by 4.30the commissioner. 4.31    Sec. 8. Minnesota Statutes 2008, section 28A.082, subdivision 1, is amended to read: 5.1    Subdivision 1. Fees; application. The fees for review of food handler facility floor 5.2plans under the Minnesota Food Code are based upon the square footage of the structure 5.3being newly constructed, remodeled, or converted. The fees for the review shall be: 5.4 square footage review fee 5.5 0 - 4,999 ..... $ 200.00 5.6 5,000 - 24,999 ..... $ 275.00 5.7 25,000 plus ..... $ 425.00
5.8    The applicant must submit the required fee, review application, plans, equipment 5.9specifications, materials lists, and other required information on forms supplied by the 5.10department at least 30 days prior to commencement of construction, remodeling, or 5.11conversion.new text begin The commissioner may waive this fee after determining that the facility's new text end 5.12new text begin principal mode of business is not the sale of food and that the facility sells only new text end 5.13new text begin prepackaged foods.new text end 5.14    Sec. 9. Minnesota Statutes 2008, section 35.244, subdivision 1, is amended to read: 5.15    Subdivision 1. Designation of zones. The board has the authority tonew text begin may establish new text end 5.16new text begin zones for thenew text end controlnew text begin and eradication ofnew text end tuberculosis andnew text begin restrictnew text end the movement of cattle, 5.17bison, goats, and farmed cervidae within and between tuberculosis zones in the state. 5.18Zones within the state may be designated as accreditation preparatory, modified accredited, 5.19modified accredited advanced, or accredited free as those terms are defined in Code of 5.20Federal Regulations, title 9, part 77. The board may designate bovine tuberculosis control 5.21zones that contain not more than 325 herds. 5.22    Sec. 10. Minnesota Statutes 2008, section 35.244, subdivision 2, is amended to read: 5.23    Subd. 2. new text begin Requirements within a tuberculosis new text end control within modified accredited 5.24zone. In a modified accreditednew text begin tuberculosis controlnew text end zone, the board has the authority tonew text begin new text end 5.25new text begin maynew text end : 5.26    (1) require owners of cattle, bison, goats, or farmed cervidae to report personal 5.27contact information and location of livestock to the board; 5.28    (2) require a permit or movement certificates for all cattle, bison, goats, and farmed 5.29cervidae moving between premises within the zone or leaving or entering the zone; 5.30    (3) require official identification of all cattle, bison, goats, and farmed cervidae 5.31within the zone or leaving or entering the zone; 5.32    (4) require a whole-herd tuberculosis test on each herd of cattle, bison, goats, or 5.33farmed cervidae when any of the animals in the herd is kept on a premises within the zone; 6.1    (5) require a negative tuberculosis test within 60 days prior to movement for any 6.2individual cattle, bison, goat, or farmed cervidae moved from a premises in the zone to 6.3another location in Minnesota, with the exception of cattle moving under permit directly 6.4to a slaughter facility under state or federal inspection; 6.5    (6) require a whole-herd tuberculosis test within 12 months prior to moving 6.6cattle, bison, goats, or farmed cervidae from premises in the zone to another location 6.7in Minnesota; 6.8    (7) require annual herd inventories on all cattle, bison, goat, or farmed cervidae 6.9herds; and 6.10    (8) require that a risk assessment be performed to evaluate the interaction of 6.11free-ranging deer and elk with cattle, bison, goat, and farmed cervidae herds and require 6.12the owner to implement the recommendations of the risk assessment. 6.13    Sec. 11. new text begin [38.345] APPROPRIATIONS BY MUNICIPALITIES.new text end 6.14new text begin The council of any city and the board of supervisors of any town may incur expenses new text end 6.15new text begin and spend money for county extension work, as provided in sections 38.33 to 38.38.new text end 6.16    Sec. 12. Minnesota Statutes 2008, section 239.092, is amended to read: 6.17239.092 SALE FROM BULK. 6.18    (a) Bulk sales of commodities, when the buyer and seller are not both present to 6.19witness the measurement, must be accompanied by a delivery ticket containing the 6.20following information: 6.21    (1) the name and address of the person who weighed or measured the commodity; 6.22    (2) the date delivered; 6.23    (3) the quantity delivered; 6.24    (4) the count of individually wrapped packages delivered, if more than one is 6.25included in the quantity delivered; 6.26    (5) the quantity on which the price is based, if different than the quantity delivered; 6.27and 6.28    (6) the identity of the commodity in the most descriptive terms commercially 6.29practicable, including representations of quality made in connection with the sale. 6.30    (b) This section is not intended to conflict with the bulk sale requirements of the 6.31Department of Agriculture. If a conflict occurs, the law and rules of the Department of 6.32Agriculture govern. 7.1    (c) Firewood sold or distributed across state boundaries or more than 100 miles 7.2from its origin must include delivery ticket information regarding the harvest locations 7.3of the wood by county and state. 7.4new text begin (d) Paragraph (c) may be enforced using the authority granted in this chapter or new text end 7.5new text begin section 18J.05 or 84D.13.new text end 7.6    Sec. 13. Minnesota Statutes 2008, section 239.093, is amended to read: 7.7239.093 INFORMATION REQUIRED WITH PACKAGE. 7.8    (a) A package offered, exposed, or held for sale must bear a clear and conspicuous 7.9declaration of: 7.10    (1) the identity of the commodity in the package, unless the commodity can be easily 7.11identified through the wrapper or container; 7.12    (2) the net quantity in terms of weight, measure, or count; 7.13    (3) the name and address of the manufacturer, packer, or distributor, if the packages 7.14were not produced on the premises where they are offered, exposed, or held for sale; and 7.15    (4) the unit price, if the packages are part of a lot containing random weight 7.16packages of the same commodity. 7.17    (b) This section is not intended to conflict with the packaging requirements of the 7.18Department of Agriculture. If a conflict occurs, the laws and rules of the Department of 7.19Agriculture govern. 7.20    (c) Firewood sold or distributed across state boundaries or more than 100 miles 7.21from its origin must include information regarding the harvest locations of the wood by 7.22county and state on each label or wrapper. 7.23new text begin (d) Paragraph (c) may be enforced using the authority granted in this chapter or new text end 7.24new text begin section 18J.05 or 84D.13.new text end 7.25    Sec. 14. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1, is 7.26amended to read: 7.27    Subdivision 1. Minimum ethanol content required. (a) Except as provided in 7.28subdivisions 10 to 14, a person responsible for the product shall ensure that all gasoline 7.29sold or offered for sale in Minnesota must contain at least the quantity of ethanol required 7.30by clause (1) or (2), whichever is greater: 7.31(1) 10.0 percent denatured ethanol by volume; or 7.32(2) the maximum percent of denatured ethanol by volume authorized in a waiver 7.33granted by the United States Environmental Protection Agency under section 211(f)(4) of 7.34the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4). 8.1(b) For purposes of enforcing the minimum ethanol requirement of paragraph (a), 8.2clause (1), a gasoline/ethanol blend will be construed to be in compliance if the ethanol 8.3content, exclusive of denaturants and permitted contaminants, comprises not less than 9.2 8.4percent by volume and not more than 10.0 percent by volume of the blend as determined 8.5by an appropriate United States Environmental Protection Agency or American Society of 8.6Testing Materials standard method of analysis of alcohol/ether content in engine fuels. 8.7(c) The provisions of this subdivision are suspended during any period of time that 8.8subdivision 1a, paragraph (a), is in effect. 8.9new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 8.10    Sec. 15. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1a, 8.11is amended to read: 8.12    Subd. 1a. Minimum ethanol content required. (a) Except as provided in 8.13subdivisions 10 to 14, on August 30, 2013, and thereafter, a person responsible for the 8.14product shall ensure that all gasoline sold or offered for sale in Minnesota must contain at 8.15least the quantity of ethanol required by clause (1) or (2), whichever is greater: 8.16(1) 20 percent denatured ethanol by volume; or 8.17(2) the maximum percent of denatured ethanol by volume authorized in a waiver 8.18granted by the United States Environmental Protection Agency under section 211(f)(4) of 8.19the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4). 8.20(b) For purposes of enforcing the minimum ethanol requirement of paragraph (a), 8.21clause (1), a gasoline/ethanol blend will be construed to be in compliance if the ethanol 8.22content, exclusive of denaturants and permitted contaminants, comprises not less than 18.4 8.23percent by volume and not more than 20 percent by volume of the blend as determined by 8.24an appropriate United States Environmental Protection Agency or American Society of 8.25Testing Materials standard method of analysis of alcohol content in motor fuels. 8.26(c) No motor fuel shall be deemed to be a defective product by virtue of the fact 8.27that the motor fuel is formulated or blended pursuant to the requirements of paragraph 8.28(a) under any theory of liability except for simple or willful negligence or fraud. This 8.29paragraph does not preclude an action for negligent, fraudulent, or willful acts. This 8.30paragraph does not affect a person whose liability arises under chapter 115, water pollution 8.31control; 115A, waste management; 115B, environmental response and liability; 115C, 8.32leaking underground storage tanks; or 299J, pipeline safety; under public nuisance law 8.33for damage to the environment or the public health; under any other environmental or 8.34public health law; or under any environmental or public health ordinance or program of a 8.35municipality as defined in section . 9.1(d) new text begin (c) new text end This subdivision expires on December 31, 2010new text begin 2012new text end , if by that date: 9.2(1) the commissioner of agriculture certifies and publishes the certification in 9.3the State Register that at least 20 percent of the volume of gasoline sold in the state 9.4is denatured ethanol; or 9.5(2) federal approval has not been granted under paragraph (a), clause (1). The 9.6United States Environmental Protection Agency's failure to act on an application shall not 9.7be deemed approval under paragraph (a), clause (1), or a waiver under section 211(f)(4) of 9.8the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4). 9.9new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 9.10    Sec. 16. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 9.11to read: 9.12    new text begin Subd. 2a.new text end new text begin Federal Clean Air Act waivers; conditions.new text end new text begin (a) Before a waiver granted new text end 9.13new text begin by the United States Environmental Protection Agency under section 211(f)(4) of the new text end 9.14new text begin Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4), new text end 9.15new text begin may alter the minimum content level required by subdivision 1, paragraph (a), clause (2), new text end 9.16new text begin or subdivision 1a, paragraph (a), clause (2), the waiver must:new text end 9.17new text begin (1) apply to all gasoline-powered motor vehicles irrespective of model year; andnew text end 9.18new text begin (2) allow for special regulatory treatment of Reid vapor pressure under Code of new text end 9.19new text begin Federal Regulations, title 40, section 80.27(d), for blends of gasoline and ethanol up to the new text end 9.20new text begin maximum percent of denatured ethanol by volume authorized under the waiver.new text end 9.21new text begin (b) The minimum ethanol requirement in subdivision 1, paragraph (a), clause (2), new text end 9.22new text begin or subdivision 1a, paragraph (a), clause (2), shall, upon the grant of the federal waiver, new text end 9.23new text begin be effective on a date determined by the commissioner of commerce. In making this new text end 9.24new text begin determination, the commissioner shall consider the amount of time required by refiners, new text end 9.25new text begin retailers, and other fuel suppliers, acting expeditiously, to make the operational and new text end 9.26new text begin logistical changes required to supply fuel in compliance with the minimum ethanol new text end 9.27new text begin requirement.new text end 9.28new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 9.29    Sec. 17. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 9.30to read: 9.31    new text begin Subd. 2b.new text end new text begin Limited liability waiver.new text end new text begin No motor fuel shall be deemed to be a defective new text end 9.32new text begin product by virtue of the fact that the motor fuel is formulated or blended pursuant to new text end 9.33new text begin the requirements of subdivision 1, paragraph (a), clause (2), or subdivision 1a, under new text end 10.1new text begin any theory of liability except for simple or willful negligence or fraud. This subdivision new text end 10.2new text begin does not preclude an action for negligent, fraudulent, or willful acts. This subdivision new text end 10.3new text begin does not affect a person whose liability arises under chapter 115, water pollution control; new text end 10.4new text begin 115A, waste management; 115B, environmental response and liability; 115C, leaking new text end 10.5new text begin underground storage tanks; or 299J, pipeline safety; under public nuisance law for damage new text end 10.6new text begin to the environment or the public health; under any other environmental or public health new text end 10.7new text begin law; or under any environmental or public health ordinance or program of a municipality new text end 10.8new text begin as defined in section new text end new text begin .new text end 10.9new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 10.10    Sec. 18. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 10.11to read: 10.12    new text begin Subd. 2c.new text end new text begin Fuel dispensing equipment; blends over ten percent ethanol.new text end 10.13new text begin Notwithstanding any other law or rule, fuel dispensing equipment authorized to dispense new text end 10.14new text begin fuel under subdivision 1, paragraph (a), clause (1), is authorized to dispense fuel under new text end 10.15new text begin subdivision 1, paragraph (a), clause (2), or subdivision 1a.new text end 10.16    Sec. 19. Minnesota Statutes 2008, section 336.9-531, is amended to read: 10.17336.9-531 ELECTRONIC ACCESS; LIABILITY; RETENTION. 10.18(a) Electronic access. The secretary of state may allow private parties to have 10.19electronic access to the central filing system and to other computerized records maintained 10.20by the secretary of state on a fee basis, except that: (1) visual access to electronic display 10.21terminals at the public counters at the Secretary of State's Office must be without charge 10.22and must be available during public counter hours; and (2) access by law enforcement 10.23personnel, acting in an official capacity, must be without charge. If the central filing system 10.24allows a form of electronic access to information regarding the obligations of debtors, the 10.25access must be available 24 hours a day, every day of the year. Notwithstanding section 10.26, private parties who have electronic access to computerized records may view the 10.27Social Security number information about a debtor that is of record. 10.28Notwithstanding section , a filing office may include Social Security number 10.29information in an information request response under section or a search of 10.30other liens in the central filing system. A filing office may also include Social Security 10.31number information on a photocopy or electronic copy of a record whether provided in 10.32an information request response or in response to a request made under section .new text begin new text end 11.1new text begin Any Social Security number information or tax identification number information in the new text end 11.2new text begin possession of the secretary of state is private data on individuals.new text end 11.3(b) Liability. The secretary of state, county recorders, and their employees and 11.4agents are not liable for any loss or damages arising from errors in or omissions from 11.5information entered into the central filing system as a result of the electronic transmission 11.6of tax lien notices under sections 268.058, subdivision 1, paragraph (c); 270C.63, 11.7subdivision 4 ; 272.483; and 272.488, subdivisions 1 and 3. 11.8The state, the secretary of state, counties, county recorders, and their employees and 11.9agents are immune from liability that occurs as a result of errors in or omissions from 11.10information provided from the central filing system. 11.11(c) Retention. Once the image of a paper record has been captured by the central 11.12filing system, the secretary of state may remove or direct the removal from the files and 11.13destroy the paper record. 11.14new text begin EFFECTIVE DATE.new text end new text begin This section is effective 30 days after the secretary of state new text end 11.15new text begin certifies that the information systems of the Office of the Secretary of State have been new text end 11.16new text begin modified to implement this section.new text end 11.17    Sec. 20. Minnesota Statutes 2008, section 336A.08, subdivision 1, is amended to read: 11.18    Subdivision 1. Compilation. (a) The secretary of state shall compile the information 11.19on effective financing statements in the computerized filing system into a master list: 11.20(1) organized according to farm product; 11.21(2) arranged within each product: 11.22(i) in alphabetical order according to the last name of the individual debtor or, in 11.23the case of debtors doing business other than as individuals, the first word in the name 11.24of the debtors; 11.25(ii) in numerical order according to the Social Security number of the individual 11.26debtor or, in the case of debtors doing business other than as individuals, the Internal 11.27Revenue Service taxpayer identification number of the debtorsnew text begin unique identifier assigned new text end 11.28new text begin by the secretary of state to, and associated with, the Social Security number of the debtornew text end ; 11.29(iii) geographically by county; and 11.30(iv) by crop year; 11.31(3) containing the information provided on an effective financing statement; and 11.32(4) designating any applicable terminations of the effective financing statement. 11.33(b) The secretary of state shall compile information from lien notices recorded in the 11.34computerized filing system into a statutory lien master list in alphabetical order according 11.35to the last name of the individual debtor or, in the case of debtors doing business other 12.1than as individuals, the first word in the name of the debtors. The secretary of state may 12.2also organize the statutory lien master list according to one or more of the categories of 12.3information established in paragraph (a). Any terminations of lien notices must be noted. 12.4new text begin EFFECTIVE DATE.new text end new text begin This section is effective 30 days after the secretary of state new text end 12.5new text begin certifies that the information systems of the Office of the Secretary of State have been new text end 12.6new text begin modified to implement this section.new text end 12.7    Sec. 21. Minnesota Statutes 2008, section 336A.08, subdivision 4, is amended to read: 12.8    Subd. 4. Distribution of master and partial lists. (a) The secretary of state shall 12.9maintain the information on the effective financing statement master list: 12.10(1) by farm product arranged alphabetically by debtor; and 12.11(2) by farm product arranged numerically by the debtor's Social Security number for 12.12an individual debtor or, in the case of debtors doing business other than as individuals, the 12.13Internal Revenue Service taxpayer identification number of the debtorsnew text begin unique identifier new text end 12.14new text begin assigned by the secretary of state to, and associated with, the Social Security number new text end 12.15new text begin of the debtornew text end . 12.16(b) The secretary of state shall maintain the information in the farm products 12.17statutory lien master list by county arranged alphabetically by debtor. 12.18(c) The secretary of state shall distribute or make available the requested master and 12.19partial master lists on a monthly basis to farm product dealers registered under section 12.20336A.11 . Lists will be distributed or made available on or before the tenth day of each 12.21month or on the next business day thereafter if the tenth day is not a business day. 12.22(d) The secretary of state shall make the master and partial master lists available 12.23as written or printed paper documents and may make lists available in other forms or 12.24media, including: 12.25(1) any electronically transmitted medium; or 12.26(2) any form of digital media. 12.27(e) There shall be no fee for partial or master lists distributed via an electronically 12.28transmitted medium. The annual fee for any other form of digital media is $200. The 12.29annual fee for paper partial lists is $250 and $400 for paper master lists. 12.30(f) A farm products dealer shall register pursuant to section 336A.11 by the last 12.31business day of the month to receive the monthly lists requested by the farm products 12.32dealer for that month. 12.33(g) If a registered farm products dealer receives a monthly list that cannot be read or 12.34is incomplete, the farm products dealer must immediately inform the secretary of state by 12.35telephone or e-mail of the problem. The registered farm products dealer shall confirm the 13.1existence of the problem by writing to the secretary of state. The secretary of state shall 13.2provide the registered farm products dealer with new monthly lists in the medium chosen 13.3by the registered farm products dealer no later than five business days after receipt of the 13.4oral notice from the registered farm products dealer. A registered farm products dealer is 13.5not considered to have received notice of the information on the monthly lists until the 13.6duplicate list is received from the secretary of state or until five days have passed since the 13.7duplicate lists were deposited in the mail by the secretary of state, whichever comes first. 13.8(h) On receipt of a written notice pursuant to section 336A.13, the secretary of state 13.9shall duplicate the monthly lists requested by the registered farm products dealer. The 13.10duplicate monthly lists must be sent to the registered farm products dealer no later than five 13.11business days after receipt of the written notice from the registered farm products dealer. 13.12(i) A registered farm products dealer may request monthly lists in one medium 13.13per registration. 13.14(j) Registered farm products dealers must have renewed their registration before the 13.15first day of July each year. Failure to send in the registration before that date will result in 13.16the farm products dealer not receiving the requested monthly lists. 13.17(k) Registered farm products dealers choosing to obtain monthly lists via an 13.18electronically transmitted medium or in any form of digital media may choose to receive 13.19all of the information for the monthly lists requested the first month and then only 13.20additions and deletions to the database for the remaining 11 months of the year. Following 13.21the first year of registration, the registered farm products dealer may choose to continue to 13.22receive one copy of the full monthly list at the beginning of each year or may choose to 13.23receive only additions and deletions. 13.24new text begin EFFECTIVE DATE.new text end new text begin This section is effective 30 days after the secretary of state new text end 13.25new text begin certifies that the information systems of the Office of the Secretary of State have been new text end 13.26new text begin modified to implement this section.new text end 13.27    Sec. 22. Minnesota Statutes 2008, section 336A.14, is amended to read: 13.28336A.14 RESTRICTED USE OF INFORMATION. 13.29new text begin Any Social Security number information or tax identification number information new text end 13.30new text begin in the possession of the secretary of state is private data on individuals. new text end Information 13.31obtained from the seller of a farm product relative to the Social Security number or tax 13.32identification number of the true owner of the farm product and all information obtained 13.33from the master or limited list may not be used for purposes that are not related to: (1) 14.1purchase of a farm product; (2) taking a security interest against a farm product; or (3) 14.2perfecting a farm product statutory lien. 14.3new text begin EFFECTIVE DATE.new text end new text begin This section is effective 30 days after the secretary of state new text end 14.4new text begin certifies that the information systems of the Office of the Secretary of State have been new text end 14.5new text begin modified to implement this section.new text end 14.6    Sec. 23. Minnesota Statutes 2008, section 500.221, subdivision 2, is amended to read: 14.7    Subd. 2. Aliens and non-American corporations. Except as hereinafter provided, 14.8no natural person shall acquire directly or indirectly any interest in agricultural land unless 14.9the person is a citizen of the United States or a permanent resident alien of the United 14.10States. In addition to the restrictions in section 500.24, no corporation, partnership, 14.11limited partnership, trustee, or other business entity shall directly or indirectly, acquire 14.12or otherwise obtain any interest, whether legal, beneficial or otherwise, in any title to 14.13agricultural land unless at least 80 percent of each class of stock issued and outstanding or 14.1480 percent of the ultimate beneficial interest of the entity is held directly or indirectly by 14.15citizens of the United States or permanent resident aliens. This section shall not apply: 14.16(1) to agricultural land that may be acquired by devise, inheritance, as security for 14.17indebtedness, by process of law in the collection of debts, or by any procedure for the 14.18enforcement of a lien or claim thereon, whether created by mortgage or otherwise. All 14.19agricultural land acquired in the collection of debts or by the enforcement of a lien or 14.20claim shall be disposed of within three years after acquiring ownership; 14.21(2) to citizens or subjects of a foreign country whose rights to hold land are secured 14.22by treaty; 14.23(3) to lands used for transportation purposes by a common carrier, as defined in 14.24section 218.011, subdivision 10; 14.25(4) to lands or interests in lands acquired for use in connection with (i) the production 14.26of timber and forestry products by a corporation organized under the laws of Minnesota, 14.27or (ii) mining and mineral processing operations. Pending the development of agricultural 14.28land for the production of timber and forestry products or mining purposes the land may 14.29not be used for farming except under lease to a family farm, a family farm corporation or 14.30an authorized farm corporation; 14.31(5) to agricultural land operated for research or experimental purposes if the 14.32ownership of the agricultural land is incidental to the research or experimental objectives 14.33of the person or business entity and the total acreage owned by the person or business 14.34entity does not exceed the acreage owned on May 27, 1977; 15.1(6) to the purchase of any tract of 40 acres or less for facilities incidental to pipeline 15.2operation by a company operating a pipeline as defined in section 216G.01, subdivision 3; 15.3(7) to agricultural land and land capable of being used as farmland in vegetable 15.4processing operations that is reasonably necessary to meet the requirements of pollution 15.5control law or rules; or 15.6(8) to an interest in agricultural land held on the August 1, 2003, by a natural person 15.7with a nonimmigrant treaty investment visa, pursuant to United States Code, title 8, 15.8section 1101(a)15(E)(ii), if, within five years after August 1, 2003, the person: 15.9(i) disposes of all agricultural land held; or 15.10(ii) becomes a permanent resident alien of the United States or a United States 15.11citizen.new text begin ; ornew text end 15.12new text begin (9) to an easement taken by an individual or entity for the installation and repair new text end 15.13new text begin of transmission lines and for wind rights.new text end 15.14    Sec. 24. Minnesota Statutes 2008, section 500.221, subdivision 4, is amended to read: 15.15    Subd. 4. Reports. new text begin (a) new text end Any natural person, corporation, partnership, limited 15.16partnership, trustee, or other business entity prohibited from future acquisition of 15.17agricultural land may retain title to any agricultural land lawfully acquired within this state 15.18prior to June 1, 1981, but shall file a report with the commissioner of agriculture annually 15.19before January 31 containing a description of all agricultural land held within this state, 15.20the purchase price and market value of the land, the use to which it is put, the date of 15.21acquisition and any other reasonable information required by the commissioner. 15.22new text begin (b) An individual or entity that qualifies for an exemption under subdivision 2, clause new text end 15.23new text begin (2) or (9), and owns an interest in agricultural land shall file a report with the commissioner new text end 15.24new text begin of agriculture within 30 days of acquisition and annually thereafter by January 31, new text end 15.25new text begin containing a description of all interests in agricultural land held within this state.new text end 15.26new text begin (c) new text end The commissioner shall make the information available to the public. 15.27new text begin (d) new text end All required annual reports shall include a filing fee of $50 plus $10 for each 15.28additional quarter section of land. 15.29    Sec. 25. Minnesota Statutes 2008, section 500.24, subdivision 2, is amended to read: 15.30    Subd. 2. Definitions. The definitions in this subdivision apply to this section. 15.31(a) "Farming" means the production of (1) agricultural products; (2) livestock or 15.32livestock products; (3) milk or milk products; or (4) fruit or other horticultural products. It 15.33does not include the processing, refining, or packaging of said products, nor the provision 15.34of spraying or harvesting services by a processor or distributor of farm products. It does 16.1not include the production of timber or forest products, the production of poultry or 16.2poultry products, or the feeding and caring for livestock that are delivered to a corporation 16.3for slaughter or processing for up to 20 days before slaughter or processing. 16.4(b) "Family farm" means an unincorporated farming unit owned by one or more 16.5persons residing on the farm or actively engaging in farming. 16.6(c) "Family farm corporation" means a corporation founded for the purpose of 16.7farming and the ownership of agricultural land in which the majority of the stock is held 16.8by and the majority of the stockholders are persons, the spouses of persons, or current 16.9beneficiaries of one or more family farm trusts in which the trustee holds stock in a family 16.10farm corporation, related to each other within the third degree of kindred according to 16.11the rules of the civil law, and at least one of the related persons is residing on or actively 16.12operating the farm, and none of whose stockholders are corporations; provided that a 16.13family farm corporation shall not cease to qualify as such hereunder by reason of any: 16.14(1) transfer of shares of stock to a person or the spouse of a person related within 16.15the third degree of kindred according to the rules of civil law to the person making the 16.16transfer, or to a family farm trust of which the shareholder, spouse, or related person is 16.17a current beneficiary; or 16.18(2) distribution from a family farm trust of shares of stock to a beneficiary related 16.19within the third degree of kindred according to the rules of civil law to a majority of the 16.20current beneficiaries of the trust, or to a family farm trust of which the shareholder, spouse, 16.21or related person is a current beneficiary. 16.22For the purposes of this section, a transfer may be made with or without 16.23consideration, either directly or indirectly, during life or at death, whether or not in trust, 16.24of the shares in the family farm corporation, and stock owned by a family farm trust are 16.25considered to be owned in equal shares by the current beneficiaries. 16.26(d) "Family farm trust" means: 16.27(1) a trust in which: 16.28(i) a majority of the current beneficiaries are persons or spouses of persons who are 16.29related to each other within the third degree of kindred according to the rules of civil law; 16.30(ii) all of the current beneficiaries are natural persons or nonprofit corporations 16.31or trusts described in the Internal Revenue Code, section 170(c), as amended, and the 16.32regulations under that section; and 16.33(iii) one of the family member current beneficiaries is residing on or actively 16.34operating the farm; or the trust leases the agricultural land to a family farm unit, a 16.35family farm corporation, an authorized farm corporation, an authorized livestock farm 16.36corporation, a family farm limited liability company, a family farm trust, an authorized 17.1farm limited liability company, a family farm partnership, or an authorized farm 17.2partnership; or 17.3(2) a charitable remainder trust as defined in the Internal Revenue Code, section 664, 17.4as amended, and the regulations under that section, and a charitable lead trust as set forth 17.5in the Internal Revenue Code, section 170(f), and the regulations under that section. 17.6(e) "Authorized farm corporation" means a corporation meeting the following 17.7standards: 17.8(1) it has no more than five shareholders, provided that for the purposes of this 17.9section, a husband and wife are considered one shareholder; 17.10(2) all its shareholders, other than any estate, are natural persons or a family farm 17.11trust; 17.12(3) it does not have more than one class of shares; 17.13(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 17.1420 percent of its gross receipts; 17.15(5) shareholders holding 51 percent or more of the interest in the corporation reside 17.16on the farm or are actively engaging in farming; 17.17(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 17.18more than 1,500 acres of agricultural land; and 17.19(7) none of its shareholders are shareholders in other authorized farm corporations 17.20that directly or indirectly in combination with the corporation own more than 1,500 acres 17.21of agricultural land. 17.22(f) "Authorized livestock farm corporation" means a corporation formed for the 17.23production of livestock and meeting the following standards: 17.24(1) it is engaged in the production of livestock other than dairy cattle; 17.25(2) all its shareholders, other than any estate, are natural persons, family farm trusts, 17.26or family farm corporations; 17.27(3) it does not have more than one class of shares; 17.28(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 17.2920 percent of its gross receipts; 17.30(5) shareholders holding 75 percent or more of the control, financial, and capital 17.31investment in the corporation are farmers, and at least 51 percent of the required 17.32percentage of farmers are actively engaged in livestock production; 17.33(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 17.34more than 1,500 acres of agricultural land; and 18.1(7) none of its shareholders are shareholders in other authorized farm corporations 18.2that directly or indirectly in combination with the corporation own more than 1,500 acres 18.3of agricultural land. 18.4(g) "Agricultural land" means real estate used for farming or capable of being used 18.5for farming in this state. 18.6(h) "Pension or investment fund" means a pension or employee welfare benefit fund, 18.7however organized, a mutual fund, a life insurance company separate account, a common 18.8trust of a bank or other trustee established for the investment and reinvestment of money 18.9contributed to it, a real estate investment trust, or an investment company as defined in 18.10United States Code, title 15, section 80a-3. 18.11(i) "Farm homestead" means a house including adjoining buildings that has been 18.12used as part of a farming operation or is part of the agricultural land used for a farming 18.13operation. 18.14(j) "Family farm partnership" means a limited partnership formed for the purpose of 18.15farming and the ownership of agricultural land in which the majority of the interests in 18.16the partnership is held by and the majority of the partners are natural persons or current 18.17beneficiaries of one or more family farm trusts in which the trustee holds an interest in a 18.18family farm partnership related to each other within the third degree of kindred according 18.19to the rules of the civil law, and at least one of the related persons is residing on the farm, 18.20actively operating the farm, or the agricultural land was owned by one or more of the 18.21related persons for a period of five years before its transfer to the limited partnership, and 18.22none of the partners is a corporation. A family farm partnership does not cease to qualify 18.23as a family farm partnership because of a: 18.24(1) transfer of a partnership interest to a person or spouse of a person related within 18.25the third degree of kindred according to the rules of civil law to the person making the 18.26transfer or to a family farm trust of which the partner, spouse, or related person is a current 18.27beneficiary; or 18.28(2) distribution from a family farm trust of a partnership interest to a beneficiary 18.29related within the third degree of kindred according to the rules of civil law to a majority 18.30of the current beneficiaries of the trust, or to a family farm trust of which the partner, 18.31spouse, or related person is a current beneficiary. 18.32For the purposes of this section, a transfer may be made with or without 18.33consideration, either directly or indirectly, during life or at death, whether or not in trust, 18.34of a partnership interest in the family farm partnership, and interest owned by a family 18.35farm trust is considered to be owned in equal shares by the current beneficiaries. 19.1(k) "Authorized farm partnership" means a limited partnership meeting the following 19.2standards: 19.3(1) it has been issued a certificate from the secretary of state or is registered with the 19.4county recorder and farming and ownership of agricultural land is stated as a purpose or 19.5character of the business; 19.6(2) it has no more than five partners; 19.7(3) all its partners, other than any estate, are natural persons or family farm trusts; 19.8(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 19.920 percent of its gross receipts; 19.10(5) its general partners hold at least 51 percent of the interest in the land assets of the 19.11partnership and reside on the farm or are actively engaging in farming not more than 1,500 19.12acres as a general partner in an authorized limited partnership; 19.13(6) its limited partners do not participate in the business of the limited partnership 19.14including operating, managing, or directing management of farming operations; 19.15(7) it does not, directly or indirectly, own or otherwise have an interest in any title to 19.16more than 1,500 acres of agricultural land; and 19.17(8) none of its limited partners are limited partners in other authorized farm 19.18partnerships that directly or indirectly in combination with the partnership own more than 19.191,500 acres of agricultural land. 19.20(l) "Family farm limited liability company" means a limited liability company 19.21founded for the purpose of farming and the ownership of agricultural land in which the 19.22majority of the membership interests is held by and the majority of the members are 19.23natural persons, or current beneficiaries of one or more family farm trusts in which the 19.24trustee holds an interest in a family farm limited liability company related to each other 19.25within the third degree of kindred according to the rules of the civil law, and at least one of 19.26the related persons is residing on the farm, actively operating the farm, or the agricultural 19.27land was owned by one or more of the related persons for a period of five years before 19.28its transfer to the limited liability company, and none of the members is a corporation or 19.29a limited liability company. A family farm limited liability company does not cease to 19.30qualify as a family farm limited liability company because of: 19.31(1) a transfer of a membership interest to a person or spouse of a person related 19.32within the third degree of kindred according to the rules of civil law to the person making 19.33the transfer or to a family farm trust of which the member, spouse, or related person is 19.34a current beneficiary; or 19.35(2) distribution from a family farm trust of a membership interest to a beneficiary 19.36related within the third degree of kindred according to the rules of civil law to a majority 20.1of the current beneficiaries of the trust, or to a family farm trust of which the member, 20.2spouse, or related person is a current beneficiary. 20.3For the purposes of this section, a transfer may be made with or without 20.4consideration, either directly or indirectly, during life or at death, whether or not in trust, of 20.5a membership interest in the family farm limited liability company, and interest owned by 20.6a family farm trust is considered to be owned in equal shares by the current beneficiaries. 20.7Except for a state or federally chartered financial institution acquiring an encumbrance 20.8for the purpose of security or an interest under paragraph (x), a member of a family farm 20.9limited liability company may not transfer a membership interest, including a financial 20.10interest, to a person who is not otherwise eligible to be a member under this paragraph. 20.11(m) "Authorized farm limited liability company" means a limited liability company 20.12meeting the following standards: 20.13(1) it has no more than five members; 20.14(2) all its members, other than any estate, are natural persons or family farm trusts; 20.15(3) it does not have more than one class of membership interests; 20.16(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 20.1720 percent of its gross receipts; 20.18(5) members holding 51 percent or more of both the governance rights and financial 20.19rights in the limited liability company reside on the farm or are actively engaged in 20.20farming; 20.21(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 20.22more than 1,500 acres of agricultural land; and 20.23(7) none of its members are members in other authorized farm limited liability 20.24companies that directly or indirectly in combination with the authorized farm limited 20.25liability company own more than 1,500 acres of agricultural land. 20.26Except for a state or federally chartered financial institution acquiring an 20.27encumbrance for the purpose of security or an interest under paragraph (x), a member of 20.28an authorized farm limited liability company may not transfer a membership interest, 20.29including a financial interest, to a person who is not otherwise eligible to be a member 20.30under this paragraph. 20.31(n) "Farmer" means a natural person who regularly participates in physical labor or 20.32operations management in the person's farming operation and files "Schedule F" as part of 20.33the person's annual Form 1040 filing with the United States Internal Revenue Service. 20.34(o) "Actively engaged in livestock production" means performing day-to-day 20.35physical labor or day-to-day operations management that significantly contributes to 20.36livestock production and the functioning of a livestock operation. 21.1(p) "Research or experimental farm" means a corporation, limited partnership, 21.2pension, investment fund, or limited liability company that owns or operates agricultural 21.3land for research or experimental purposes, provided that any commercial sales from the 21.4operation are incidental to the research or experimental objectives of the corporation. A 21.5corporation, limited partnership, limited liability company, or pension or investment fund 21.6seeking initial approval by the commissioner to operate agricultural land for research or 21.7experimental purposes must first submit to the commissioner a prospectus or proposal of 21.8the intended method of operation containing information required by the commissioner 21.9including a copy of any operational contract with individual participants. 21.10(q) "Breeding stock farm" means a corporation, limited partnership, or limited 21.11liability company, that owns or operates agricultural land for the purpose of raising 21.12breeding stock, including embryos, for resale to farmers or for the purpose of growing 21.13seed, wild rice, nursery plants, or sod. An entity that is organized to raise livestock 21.14other than dairy cattle under this paragraph that does not qualify as an authorized farm 21.15corporation must: 21.16(1) sell all castrated animals to be fed out or finished to farming operations that are 21.17neither directly nor indirectly owned by the business entity operating the breeding stock 21.18operation; and 21.19(2) report its total production and sales annually to the commissioner. 21.20(r) "Aquatic farm" means a corporation, limited partnership, or limited liability 21.21company, that owns or leases agricultural land as a necessary part of an aquatic farm 21.22as defined in section 17.47, subdivision 3. 21.23(s) "Religious farm" means a corporation formed primarily for religious purposes 21.24whose sole income is derived from agriculture. 21.25(t) "Utility corporation" means a corporation regulated under Minnesota Statutes 21.261974, chapter 216B, that owns agricultural land for purposes described in that chapter, or 21.27an electric generation or transmission cooperative that owns agricultural land for use in 21.28its business if the land is not used for farming except under lease to a family farm unit, 21.29a family farm corporation, a family farm trust, a family farm partnership, or a family 21.30farm limited liability company. 21.31(u) "Development organization" means a corporation, limited partnership, limited 21.32liability company, or pension or investment fund that has an interest in agricultural land 21.33for which the corporation, limited partnership, limited liability company, or pension or 21.34investment fund has documented plans to use and subsequently uses the land within 21.35six years from the date of purchase for a specific nonfarming purpose, or if the land is 21.36zoned nonagricultural, or if the land is located within an incorporated area. A corporation, 22.1limited partnership, limited liability company, or pension or investment fund may hold 22.2agricultural land in the amount necessary for its nonfarm business operation; provided, 22.3however, that pending the development of agricultural land for nonfarm purposes, the land 22.4may not be used for farming except under lease to a family farm unit, a family farm 22.5corporation, a family farm trust, an authorized farm corporation, an authorized livestock 22.6farm corporation, a family farm partnership, an authorized farm partnership, a family farm 22.7limited liability company, or an authorized farm limited liability company, or except when 22.8controlled through ownership, options, leaseholds, or other agreements by a corporation 22.9that has entered into an agreement with the United States under the New Community Act 22.10of 1968 (Title IV of the Housing and Urban Development Act of 1968, United States Code, 22.11title 42, sections 3901 to 3914) as amended, or a subsidiary or assign of such a corporation. 22.12(v) "Exempt land" means agricultural land owned or leased by a corporation as of 22.13May 20, 1973, agricultural land owned or leased by a pension or investment fund as of 22.14May 12, 1981, agricultural land owned or leased by a limited partnership as of May 1, 22.151988, or agricultural land owned or leased by a trust as of the effective date of Laws 2000, 22.16chapter 477, including the normal expansion of that ownership at a rate not to exceed 20 22.17percent of the amount of land owned as of May 20, 1973, for a corporation; May 12, 1981, 22.18for a pension or investment fund; May 1, 1988, for a limited partnership, or the effective 22.19date of Laws 2000, chapter 477, for a trust, measured in acres, in any five-year period, 22.20and including additional ownership reasonably necessary to meet the requirements of 22.21pollution control rules. A corporation, limited partnership, or pension or investment fund 22.22that is eligible to own or lease agricultural land under this section prior to May 1997, or a 22.23corporation that is eligible to own or lease agricultural land as a benevolent trust under this 22.24section prior to the effective date of Laws 2000, chapter 477, may continue to own or lease 22.25agricultural land subject to the same conditions and limitations as previously allowed. 22.26(w) "Gifted land" means agricultural land acquired as a gift, either by grant or devise, 22.27by an educational, religious, or charitable nonprofit corporation, limited partnership, 22.28limited liability company, or pension or investment fund if all land so acquired is disposed 22.29of within ten years after acquiring the title. 22.30(x) "Repossessed land" means agricultural land acquired by a corporation, limited 22.31partnership, limited liability company, or pension or investment fund by process of law 22.32in the collection of debts, or by any procedure for the enforcement of a lien or claim on 22.33the land, whether created by mortgage or otherwise if all land so acquired is disposed of 22.34within five years after acquiring the title. The five-year limitation is a covenant running 22.35with the title to the land against any grantee, assignee, or successor of the pension or 22.36investment fund, corporation, limited partnership, or limited liability company. The land 23.1so acquired must not be used for farming during the five-year period, except under a 23.2lease to a family farm unit, a family farm corporation, a family farm trust, an authorized 23.3farm corporation, an authorized livestock farm corporation, a family farm partnership, an 23.4authorized farm partnership, a family farm limited liability company, or an authorized 23.5farm limited liability company. Notwithstanding the five-year divestiture requirement 23.6under this paragraph, a financial institution may continue to own the agricultural land if the 23.7agricultural land is leased to the immediately preceding former owner, but must dispose 23.8of the agricultural land within ten years of acquiring the title. Livestock acquired by a 23.9pension or investment fund, corporation, limited partnership, or limited liability company 23.10in the collection of debts, or by a procedure for the enforcement of lien or claim on the 23.11livestock whether created by security agreement or otherwise after August 1, 1994, must 23.12be sold or disposed of within one full production cycle for the type of livestock acquired 23.13or 18 months after the livestock is acquired, whichever is earlier. 23.14(y) "Commissioner" means the commissioner of agriculture. 23.15(z) "Nonprofit corporation" means a nonprofit corporation organized under state 23.16nonprofit corporation or trust law or qualified for tax-exempt status under federal tax 23.17law that uses the land for a specific nonfarming purpose ornew text begin ,new text end leases the agricultural land 23.18to a family farm unit, a family farm corporation, an authorized farm corporation, an 23.19authorized livestock farm corporation, a family farm limited liability company, a family 23.20farm trust, an authorized farm limited liability company, a family farm partnership, or an 23.21authorized farm partnershipnew text begin , or actively farms less than 40 acres and uses all profits from new text end 23.22new text begin the agricultural land for educational purposesnew text end . 23.23(aa) "Current beneficiary" means a person who at any time during a year is entitled 23.24to, or at the discretion of any person may, receive a distribution from the income or 23.25principal of the trust. It does not include a distributee trust, other than a trust described in 23.26section 170(c) of the Internal Revenue Code, as amended, but does include the current 23.27beneficiaries of the distributee trust. It does not include a person in whose favor a power 23.28of appointment could be exercised until the holder of the power of appointment actually 23.29exercises the power of appointment in that person's favor. It does not include a person who 23.30is entitled to receive a distribution only after a specified time or upon the occurrence of a 23.31specified event until the time or occurrence of the event. For the purposes of this section, a 23.32distributee trust is a current beneficiary of a family farm trust. 23.33(bb) "De minimis" means that any corporation, pension or investment fund, limited 23.34liability company, or limited partnership that directly or indirectly owns, acquires, or 23.35otherwise obtains any interest in 40 acres or less of agricultural land and annually receives 23.36less than $150 per acre in gross revenue from rental or agricultural production. 24.1    Sec. 26. Minnesota Statutes 2008, section 514.965, subdivision 2, is amended to read: 24.2    Subd. 2. Agricultural lien. "Agricultural lien" means an agricultural lien as defined 24.3in section 336.9-102(a)(5) and includes a veterinarian's lien, breeder's lien, livestock 24.4production input lien, new text begin temporary livestock production input lien, new text end and feeder's lien under 24.5this sectionnew text begin and section 514.966new text end . 24.6    Sec. 27. Minnesota Statutes 2008, section 514.966, is amended by adding a subdivision 24.7to read: 24.8    new text begin Subd. 3a.new text end new text begin Temporary livestock production input lien; debtor in mediation.new text end new text begin (a) new text end 24.9new text begin A supplier furnishing livestock production inputs in the ordinary course of business to a new text end 24.10new text begin debtor who has filed a mediation request under chapter 583 has a livestock production new text end 24.11new text begin input lien for the unpaid retail cost of the livestock production input. A perfected livestock new text end 24.12new text begin production input lien that attaches to livestock may not exceed the amount, if any, that the new text end 24.13new text begin sales price of the livestock for which the inputs were received exceeds the greater of the new text end 24.14new text begin fair market value of the livestock at the time the lien attaches or the acquisition price of new text end 24.15new text begin the livestock. A livestock production input lien becomes effective when the agricultural new text end 24.16new text begin production inputs are furnished by the supplier to the purchaser.new text end 24.17new text begin (b) A livestock production input lien under this subdivision applies to livestock new text end 24.18new text begin production inputs provided to the debtor during the 45 days following a mediation request new text end 24.19new text begin under chapter 583.new text end 24.20new text begin (c) A person who supplies livestock production inputs under this subdivision shall new text end 24.21new text begin provide a lien-notification statement as required under subdivision 3, paragraphs (b) new text end 24.22new text begin and (c), but is not subject to subdivision 3, paragraphs (d) to (f). A perfected temporary new text end 24.23new text begin livestock production input lien corresponding to the lien-notification statement has priority new text end 24.24new text begin over any security interest of the lender in the same livestock or their proceeds for the new text end 24.25new text begin lesser of:new text end 24.26new text begin (1) the amount stated in the lien-notification statement; ornew text end 24.27new text begin (2) the unpaid retail cost of the livestock production input identified in the new text end 24.28new text begin lien-notification statement, subject to any limitation in paragraph (a).new text end 24.29    Sec. 28. Minnesota Statutes 2008, section 514.966, subdivision 5, is amended to read: 24.30    Subd. 5. Scope. A veterinarian's lien, breeder's lien, livestock production input lien, 24.31new text begin temporary livestock production lien, new text end or feeder's lien attaches to the livestock serviced by 24.32the agricultural lienholder, and products and proceeds thereof to the extent of the price 24.33or value of the service provided. 25.1    Sec. 29. Minnesota Statutes 2008, section 514.966, subdivision 6, is amended to read: 25.2    Subd. 6. Perfection. (a) An agricultural lien under this section is perfected if a 25.3financing statement is filed pursuant to sections 336.9-501 to 336.9-530 and within the 25.4time periods set forth in paragraphs (b) to (e)new text begin (f)new text end . 25.5(b) A veterinarian's lien must be perfected on or before 180 days after the last item 25.6of the veterinary service is performed. 25.7(c) A breeder's lien must be perfected by six months after the last date that breeding 25.8services are provided the obligor. 25.9(d) new text begin Except as provided in paragraph (f), new text end a livestock production input lien must be 25.10perfected by six months after the last date that livestock production inputs are furnished 25.11the obligor. 25.12(e) A feeder's lien must be perfected on or before 60 days after the last date that 25.13feeding services are furnished the obligor. 25.14new text begin (f) A temporary livestock production input lien, under subdivision 3a, must be new text end 25.15new text begin perfected on or before 60 days after the last date that livestock production inputs are new text end 25.16new text begin furnished the obligor.new text end 25.17    Sec. 30. Laws 2007, chapter 45, article 1, section 3, subdivision 4, as amended by 25.18Laws 2008, chapter 297, article 1, section 64; and Laws 2008, chapter 363, article 7, 25.19section 6, is amended to read: 25.20 25.21 Subd. 4. Bioenergy and Value-Added Agricultural Products 19,918,000 15,168,000
25.22$15,168,000 the first year and $15,168,000 25.23the second year are for ethanol producer 25.24payments under Minnesota Statutes, section 25.2541A.09 . If the total amount for which all 25.26producers are eligible in a quarter exceeds 25.27the amount available for payments, the 25.28commissioner shall make payments on a 25.29pro rata basis. If the appropriation exceeds 25.30the total amount for which all producers 25.31are eligible in a fiscal year for scheduled 25.32payments and for deficiencies in payments 25.33during previous fiscal years, the balance 25.34in the appropriation is available to the 25.35commissioner for value-added agricultural 26.1programs including the value-added 26.2agricultural product processing and 26.3marketing grant program under Minnesota 26.4Statutes, section 17.101, subdivision 5. The 26.5appropriation remains available until spent. 26.6$3,000,000 the first year is for grants to 26.7bioenergy projects. The NextGen Energy 26.8Board shall make recommendations to 26.9the commissioner on grants for owners of 26.10Minnesota facilities producing bioenergy, 26.11organizations that provide for on-station, 26.12on-farm field scale research and outreach to 26.13develop and test the agronomic and economic 26.14requirements of diverse stands of prairie 26.15plants and other perennials for bioenergy 26.16systems, or certain nongovernmental 26.17entities. For the purposes of this paragraph, 26.18"bioenergy" includes transportation fuels 26.19derived from cellulosic material as well as 26.20the generation of energy for commercial heat, 26.21industrial process heat, or electrical power 26.22from cellulosic material via gasification 26.23or other processes. The board must give 26.24priority to a bioenergy facility that is at 26.25least 60 percent owned and controlled by 26.26farmers, as defined in Minnesota Statutes, 26.27section 500.24, subdivision 2, paragraph 26.28(n), or natural persons residing in the 26.29county or counties contiguous to where the 26.30facility is located. Grants are limited to 50 26.31percent of the cost of research, technical 26.32assistance, or equipment related to bioenergy 26.33production or $1,000,000, whichever is 26.34less. Grants to nongovernmental entities 26.35for the development of business plans and 26.36structures related to community ownership 27.1of eligible bioenergy facilities together may 27.2not exceed $150,000. The board shall make 27.3a good faith effort to select projects that have 27.4merit and when taken together represent a 27.5variety of bioenergy technologies, biomass 27.6feedstocks, and geographic regions of the 27.7state. Projects must have a qualified engineer 27.8certification on the technology and fuel 27.9source. Grantees shall provide reports at 27.10the request of the commissioner and must 27.11actively participate in the Agricultural 27.12Utilization Research Institute's Renewable 27.13Energy Roundtable. No later than February 27.141, 2009, the commissioner shall report on 27.15the projects funded under this appropriation 27.16to the house and senate committees with 27.17jurisdiction over agriculture finance. The 27.18commissioner's costs in administering the 27.19program may be paid from the appropriation. 27.20Any unencumbered balance does not cancel 27.21at the end of the first year and is available 27.22in the second yearnew text begin This appropriation is new text end 27.23new text begin available until June 30, 2011new text end . 27.24$200,000 the first year is for a grant to the 27.25Minnesota Turf Seed Council for basic 27.26and applied agronomic research on native 27.27plants, including plant breeding, nutrient 27.28management, pest management, disease 27.29management, yield, and viability. The grant 27.30recipient may subcontract with a qualified 27.31third party for some or all of the basic 27.32or applied research. The grant recipient 27.33must actively participate in the Agricultural 27.34Utilization Research Institute's Renewable 27.35Energy Roundtable and no later than 27.36February 1, 2009, must report to the house 28.1and senate committees with jurisdiction 28.2over agriculture finance. This is a onetime 28.3appropriation and is available until spent. 28.4$200,000 the first year is for a grant to a joint 28.5venture combined heat and power energy 28.6facility located in Scott or LeSueur County 28.7for the creation of a centrally located biomass 28.8fuel supply depot with the capability of 28.9unloading, processing, testing, scaling, and 28.10storing renewable biomass fuels. The grant 28.11must be matched by at least $3 of nonstate 28.12funds for every $1 of state funds. The grant 28.13recipient must actively participate in the 28.14Agricultural Utilization Research Institute's 28.15Renewable Energy Roundtable and no 28.16later than February 1, 2009, must report 28.17to the house and senate committees with 28.18jurisdiction over agriculture finance. This is 28.19a onetime appropriation and is available until 28.20spent. 28.21$300,000 the first year is for a grant to the 28.22Bois Forte Band of Chippewa for a feasibility 28.23study of a renewable energy biofuels 28.24demonstration facility on the Bois Forte 28.25Reservation in St. Louis and Koochiching 28.26Counties. The grant shall be used by the Bois 28.27Forte Band to conduct a detailed feasibility 28.28study of the economic and technical viability 28.29of developing a multistream renewable 28.30energy biofuels demonstration facility 28.31on Bois Forte Reservation land to utilize 28.32existing forest resources, woody biomass, 28.33and cellulosic material to produce biofuels or 28.34bioenergy. The grant recipient must actively 28.35participate in the Agricultural Utilization 28.36Research Institute's Renewable Energy 29.1Roundtable and no later than February 1, 29.22009, must report to the house and senate 29.3committees with jurisdiction over agriculture 29.4finance. This is a onetime appropriation and 29.5is available until spent. 29.6$300,000 the first year is for a grant to 29.7the White Earth Band of Chippewa for a 29.8feasibility study of a renewable energy 29.9biofuels production, research, and production 29.10facility on the White Earth Reservation in 29.11Mahnomen County. The grant must be used 29.12by the White Earth Band and the University 29.13of Minnesota to conduct a detailed feasibility 29.14study of the economic and technical viability 29.15of (1) developing a multistream renewable 29.16energy biofuels demonstration facility on 29.17White Earth Reservation land to utilize 29.18existing forest resources, woody biomass, 29.19and cellulosic material to produce biofuels or 29.20bioenergy, and (2) developing, harvesting, 29.21and marketing native prairie plants and seeds 29.22for bioenergy production. The grant recipient 29.23must actively participate in the Agricultural 29.24Utilization Research Institute's Renewable 29.25Energy Roundtable and no later than 29.26February 1, 2009, must report to the house 29.27and senate committees with jurisdiction 29.28over agriculture finance. This is a onetime 29.29appropriation and is available until spent. 29.30$200,000 the first year is for a grant to the Elk 29.31River Economic Development Authority for 29.32upfront engineering and a feasibility study 29.33of the Elk River renewable fuels facility. 29.34The facility must use a plasma gasification 29.35process to convert primarily cellulosic 29.36material, but may also use plastics and other 30.1components from municipal solid waste, as 30.2feedstock for the production of methanol 30.3for use in biodiesel production facilities. 30.4Any unencumbered balance in fiscal year 30.52008 does not cancel but is available for 30.6fiscal year 2009. Notwithstanding Minnesota 30.7Statutes, section 16A.285, the agency must 30.8not transfer this appropriation. The grant 30.9recipient must actively participate in the 30.10Agricultural Utilization Research Institute's 30.11Renewable Energy Roundtable and no 30.12later than February 1, 2009, must report 30.13to the house and senate committees with 30.14jurisdiction over agriculture finance. This is 30.15a onetime appropriation and is available until 30.16spent. 30.17$200,000 the first year is for a grant to 30.18Chisago County to conduct a detailed 30.19feasibility study of the economic and 30.20technical viability of developing a 30.21multistream renewable energy biofuels 30.22demonstration facility in Chisago, Isanti, 30.23or Pine County to utilize existing forest 30.24resources, woody biomass, and cellulosic 30.25material to produce biofuels or bioenergy. 30.26Chisago County may expend funds to Isanti 30.27and Pine Counties and the University of 30.28Minnesota for any costs incurred as part 30.29of the study. The feasibility study must 30.30consider the capacity of: (1) the seed bank 30.31at Wild River State Park to expand the 30.32existing prairie grass, woody biomass, and 30.33cellulosic material resources in Chisago, 30.34Isanti, and Pine Counties; (2) willing and 30.35interested landowners in Chisago, Isanti, and 30.36Pine Counties to grow cellulosic materials; 31.1and (3) the Minnesota Conservation Corps, 31.2the sentence to serve program, and other 31.3existing workforce programs in east central 31.4Minnesota to contribute labor to these efforts. 31.5The grant recipient must actively participate 31.6in the Agricultural Utilization Research 31.7Institute's Renewable Energy Roundtable and 31.8no later than February 1, 2009, must report 31.9to the house and senate committees with 31.10jurisdiction over agriculture finance. This is 31.11a onetime appropriation and is available until 31.12spent. 31.13new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 31.14    Sec. 31. Laws 2007, chapter 45, article 1, section 3, subdivision 5, as amended by 31.15Laws 2008, chapter 297, article 1, section 65, is amended to read: 31.16 31.17 Subd. 5. Administration and Financial Assistance 7,338,000 6,751,000
31.18$1,005,000 the first year and $1,005,000 31.19the second year are for continuation of 31.20the dairy development and profitability 31.21enhancement and dairy business planning 31.22grant programs established under Laws 1997, 31.23chapter 216, section 7, subdivision 2, and 31.24Laws 2001, First Special Session chapter 2, 31.25section 9, subdivision 2 . The commissioner 31.26may allocate the available sums among 31.27permissible activities, including efforts to 31.28improve the quality of milk produced in the 31.29state in the proportions that the commissioner 31.30deems most beneficial to Minnesota's dairy 31.31farmers. The commissioner must submit a 31.32work plan detailing plans for expenditures 31.33under this program to the chairs of the 31.34house and senate committees dealing with 31.35agricultural policy and budget on or before 32.1the start of each fiscal year. If significant 32.2changes are made to the plans in the course 32.3of the year, the commissioner must notify the 32.4chairs. 32.5$50,000 the first year and $50,000 the 32.6second year are for the Northern Crops 32.7Institute. These appropriations may be spent 32.8to purchase equipment. 32.9$19,000 the first year and $19,000 the 32.10second year are for a grant to the Minnesota 32.11Livestock Breeders Association. 32.12$250,000 the first year and $250,000 the 32.13second year are for grants to the Minnesota 32.14Agricultural Education Leadership Council 32.15for programs of the council under Minnesota 32.16Statutes, chapter 41D. 32.17$600,000 the first year is for grants for 32.18fertilizer research as awarded by the 32.19Minnesota Agricultural Fertilizer Research 32.20and Education Council under Minnesota 32.21Statutes, section 18C.71. The amount 32.22available to the commissioner pursuant 32.23to Minnesota Statutes, section 18C.70, 32.24subdivision 2 , for administration of this 32.25activity is available until February 1, 2009, 32.26by which time the commissioner shall 32.27report to the house and senate committees 32.28with jurisdiction over agriculture finance. 32.29The report must include the progress and 32.30outcome of funded projects as well as the 32.31sentiment of the council concerning the need 32.32for additional research funded through an 32.33industry checkoff fee. new text begin The amount available new text end 32.34new text begin for grants is available until June 30, 2011.new text end 33.1$465,000 the first year and $465,000 the 33.2second year are for payments to county and 33.3district agricultural societies and associations 33.4under Minnesota Statutes, section 38.02, 33.5subdivision 1 . Aid payments to county and 33.6district agricultural societies and associations 33.7shall be disbursed not later than July 15 of 33.8each year. These payments are the amount of 33.9aid owed by the state for an annual fair held 33.10in the previous calendar year. 33.11$65,000 the first year and $65,000 the second 33.12year are for annual grants to the Minnesota 33.13Turf Seed Council for basic and applied 33.14research on the improved production of 33.15forage and turf seed related to new and 33.16improved varieties. The grant recipient may 33.17subcontract with a qualified third party for 33.18some or all of the basic and applied research. 33.19$500,000 the first year and $500,000 the 33.20second year are for grants to Second Harvest 33.21Heartland on behalf of Minnesota's six 33.22Second Harvest food banks for the purchase 33.23of milk for distribution to Minnesota's food 33.24shelves and other charitable organizations 33.25that are eligible to receive food from the food 33.26banks. Milk purchased under the grants must 33.27be acquired from Minnesota milk processors 33.28and based on low-cost bids. The milk must be 33.29allocated to each Second Harvest food bank 33.30serving Minnesota according to the formula 33.31used in the distribution of United States 33.32Department of Agriculture commodities 33.33under The Emergency Food Assistance 33.34Program (TEFAP). Second Harvest 33.35Heartland must submit quarterly reports 33.36to the commissioner on forms prescribed 34.1by the commissioner. The reports must 34.2include, but are not limited to, information 34.3on the expenditure of funds, the amount 34.4of milk purchased, and the organizations 34.5to which the milk was distributed. Second 34.6Harvest Heartland may enter into contracts 34.7or agreements with food banks for shared 34.8funding or reimbursement of the direct 34.9purchase of milk. Each food bank receiving 34.10money from this appropriation may use up to 34.11two percent of the grant for administrative 34.12expenses. 34.13$100,000 the first year and $100,000 the 34.14second year are for transfer to the Board of 34.15Trustees of the Minnesota State Colleges and 34.16Universities for mental health counseling 34.17support to farm families and business 34.18operators through farm business management 34.19programs at Central Lakes College and 34.20Ridgewater College. 34.21$18,000 the first year and $18,000 the 34.22second year are for grants to the Minnesota 34.23Horticultural Society. 34.24$50,000 is for a grant to the University of 34.25Minnesota, Department of Horticultural 34.26Science, Enology Laboratory, to upgrade 34.27and purchase instrumentation to allow 34.28rapid and accurate measurement of enology 34.29components. This is a onetime appropriation 34.30and is available until expended. 34.31new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 34.32    Sec. 32. Laws 2008, chapter 296, article 1, section 25, the effective date, is amended to 34.33read: 35.1EFFECTIVE DATE.This section is effective June 1, 2010new text begin 2011new text end . 35.2new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 35.3    Sec. 33. Laws 2009, chapter 94, article 1, section 3, subdivision 5, is amended to read: 35.4 35.5 Subd. 5.Administration and Financial Assistance 8,177,000 7,037,000
35.6 Appropriations by Fund 35.7 2010 2011 35.8 General 7,377,000 6,237,000 35.9 Agricultural 800,000 800,000
35.10$780,000 the first year and $755,000 the 35.11second year are for continuation of the dairy 35.12development and profitability enhancement 35.13and dairy business planning grant programs 35.14established under Laws 1997, chapter 35.15216, section 7, subdivision 2, and Laws 35.162001, First Special Session chapter 2, 35.17section 9, subdivision 2. The commissioner 35.18may allocate the available sums among 35.19permissible activities, including efforts to 35.20improve the quality of milk produced in the 35.21state in the proportions that the commissioner 35.22deems most beneficial to Minnesota's dairy 35.23farmers. The commissioner must submit a 35.24work plan detailing plans for expenditures 35.25under this program to the chairs of the house 35.26of representatives and senate committees 35.27dealing with agricultural policy and budget 35.28on or before the start of each fiscal year. If 35.29significant changes are made to the plans 35.30in the course of the year, the commissioner 35.31must notify the chairs. 35.32$50,000 the first year and $50,000 the 35.33second year are for the Northern Crops 36.1Institute. These appropriations may be spent 36.2to purchase equipment. 36.3$19,000 the first year and $19,000 the 36.4second year are for a grant to the Minnesota 36.5Livestock Breeders Association. 36.6$250,000 the first year and $250,000 the 36.7second year are for grants to the Minnesota 36.8Agricultural Education and Leadership 36.9Council for programs of the council under 36.10Minnesota Statutes, chapter 41D. 36.11$474,000 the first year and $474,000 the 36.12second year are for payments to county and 36.13district agricultural societies and associations 36.14under Minnesota Statutes, section 38.02, 36.15subdivision 1 . Aid payments to county and 36.16district agricultural societies and associations 36.17shall be disbursed no later than July 15 of 36.18each year. These payments are the amount of 36.19aid from the state for an annual fair held in 36.20the previous calendar year. 36.21$1,000 the first year and $1,000 the second 36.22year are for grants to the Minnesota State 36.23Poultry Association. 36.24$65,000 the first year and $65,000 the second 36.25year are for annual grants to the Minnesota 36.26Turf Seed Council for basic and applied 36.27research on the improved production of 36.28forage and turf seed related to new and 36.29improved varieties. The grant recipient may 36.30subcontract with a qualified third party for 36.31some or all of the basic and applied research. 36.32$50,000 the first year and $50,000 the 36.33second year are for annual grants to the 36.34Minnesota Turf Seed Council for basic 36.35and applied agronomic research on native 37.1plants, including plant breeding, nutrient 37.2management, pest management, disease 37.3management, yield, and viability. The grant 37.4recipient may subcontract with a qualified 37.5third party for some or all of the basic 37.6or applied research. The grant recipient 37.7must actively participate in the Agricultural 37.8Utilization Research Institute's Renewable 37.9Energy Roundtable and no later than 37.10February 1, 2011, must report to the house of 37.11representatives and senate committees with 37.12jurisdiction over agriculture finance. 37.13$500,000 the first year and $500,000 the 37.14second year are for grants to Second Harvest 37.15Heartland on behalf of Minnesota's six 37.16Second Harvest food banks for the purchase 37.17of milk for distribution to Minnesota's food 37.18shelves and other charitable organizations 37.19that are eligible to receive food from the food 37.20banks. Milk purchased under the grants must 37.21be acquired from Minnesota milk processors 37.22and based on low-cost bids. The milk must be 37.23allocated to each Second Harvest food bank 37.24serving Minnesota according to the formula 37.25used in the distribution of United States 37.26Department of Agriculture commodities 37.27under The Emergency Food Assistance 37.28Program (TEFAP). Second Harvest 37.29Heartland must submit quarterly reports 37.30to the commissioner on forms prescribed 37.31by the commissioner. The reports must 37.32include, but are not limited to, information 37.33on the expenditure of funds, the amount 37.34of milk purchased, and the organizations 37.35to which the milk was distributed. Second 37.36Harvest Heartland may enter into contracts 38.1or agreements with food banks for shared 38.2funding or reimbursement of the direct 38.3purchase of milk. Each food bank receiving 38.4money from this appropriation may use up to 38.5two percent of the grant for administrative 38.6expenses. 38.7$1,000,000 the first year is for the agricultural 38.8growth, research, and innovation program 38.9in Minnesota Statutes, section 41A.12. 38.10Priority must be given to livestock programs 38.11under Minnesota Statutes, section 17.118. 38.12Priority for livestock grants shall be given 38.13to persons who are beginning livestock 38.14producers and livestock producers who are 38.15rebuilding after a disaster that was due to 38.16natural or other unintended conditions. The 38.17commissioner may use up to 4.5 percent 38.18of this appropriation for costs incurred to 38.19administer the program. Any unencumbered 38.20balance does not cancel at the end of the first 38.21year and is available in the second year. 38.22$100,000 the first year and $100,000 the 38.23second year are for transfer to the Board of 38.24Trustees of the Minnesota State Colleges and 38.25Universities for mental health counseling 38.26support to farm families and business 38.27operators through farm business management 38.28programs at Central Lakes College and 38.29Ridgewater College. 38.30$18,000 the first year and $18,000 the 38.31second year are for grants to the Minnesota 38.32Horticultural Society. 38.33Notwithstanding Minnesota Statutes, 38.34section 18C.131, $800,000 the first year 38.35and $800,000 the second year are from the 39.1fertilizer account in the agricultural fund 39.2for grants for fertilizer research as awarded 39.3by the Minnesota Agricultural Fertilizer 39.4Research and Education Council under 39.5Minnesota Statutes, section 18C.71. The 39.6amount appropriated in either fiscal year must 39.7not exceed 57 percent of the inspection fee 39.8revenue collected under Minnesota Statutes, 39.9section 18C.425, subdivision 6, during the 39.10previous fiscal year. No later than February 39.111, 2011, the commissioner shall report to 39.12the legislative committees with jurisdiction 39.13over agriculture finance. The report must 39.14include the progress and outcome of funded 39.15projects as well as the sentiment of the 39.16council concerning the need for additional 39.17research funds.new text begin The appropriation for the new text end 39.18new text begin first year is available until June 30, 2013, new text end 39.19new text begin and the appropriation for the second year is new text end 39.20new text begin available until June 30, 2014.new text end 39.21$60,000 the first year is for a transfer to the 39.22University of Minnesota Extension Service 39.23for farm-to-school grants to school districts 39.24in Minneapolis, Moorhead, White Earth, and 39.25Willmar. 39.26$30,000 is for star farms program 39.27development. The commissioner, in 39.28consultation with other state and local 39.29agencies, farm groups, conservation 39.30groups, legislators, and other interested 39.31persons, shall develop a proposal for a star 39.32farms program. By January 15, 2010, the 39.33commissioner shall submit the proposal to 39.34the legislative committees and divisions 39.35with jurisdiction over agriculture and 39.36environmental policy and finance. This is a 40.1onetime appropriation. * (The preceding 40.2paragraph beginning "$30,000 is for star 40.3farms program" was indicated as vetoed 40.4by the governor.) 40.5$25,000 the first year is for the administration 40.6of the Feeding Minnesota Task Force, under 40.7new Minnesota Statutes, section 31.97. This 40.8is a onetime appropriation. 40.9new text begin EFFECTIVE DATE.new text end new text begin This section is effective the day following final enactment.new text end 40.10    Sec. 34. new text begin TERMINAL CAPACITY; REPORT.new text end 40.11new text begin The commissioner of agriculture, with assistance from the Office of Energy Security, new text end 40.12new text begin shall determine the total propane and anhydrous ammonia terminal capacity located in new text end 40.13new text begin the state and within 100 miles of the state's borders. The commissioner shall also use new text end 40.14new text begin projected grain yields and other relevant factors to estimate total agricultural demand new text end 40.15new text begin for propane and anhydrous ammonia in this state in the year 2020 and shall develop a new text end 40.16new text begin detailed plan for fully and economically satisfying this anticipated demand. No later than new text end 40.17new text begin January 15, 2011, the commissioner shall present the report to the legislative committees new text end 40.18new text begin with jurisdiction over agriculture finance.new text end 40.19    Sec. 35. new text begin DAIRY RESEARCH AND EDUCATION FACILITY; new text end 40.20new text begin COLLABORATION.new text end 40.21new text begin The commissioner of agriculture shall convene one or more meetings with milk new text end 40.22new text begin producers, other industry stakeholders, and representatives of the University of Minnesota new text end 40.23new text begin and Minnesota State Colleges and Universities System whose work relates to the dairy new text end 40.24new text begin industry to consider the elements of a dairy research and education facility which would new text end 40.25new text begin represent a partnership between higher education institutions and the dairy industry. No new text end 40.26new text begin later than February 1, 2011, the commissioner shall provide a report on facility and new text end 40.27new text begin financing options to the legislative committees with jurisdiction over agriculture finance.new text end 40.28    Sec. 36. new text begin BIOENERGY DEVELOPMENT; REPORT.new text end 40.29new text begin The commissioner of agriculture shall actively pursue federal and other resources new text end 40.30new text begin available to promote and achieve greater production and use of biofuels in this state, new text end 40.31new text begin including but not limited to increasing the availability of retail fuel dispensers for E85 and new text end 40.32new text begin intermediate ethanol-gasoline blends. No later than February 15, 2011, the commissioner new text end 41.1new text begin shall report on activities and accomplishments under this section to the legislative new text end 41.2new text begin committees with jurisdiction over agriculture finance.new text end 41.3    Sec. 37. new text begin REPEALER.new text end 41.4new text begin Minnesota Statutes 2008, section 17.231,new text end new text begin is repealed.new text end 41.5ARTICLE 2 41.6VETERANS 41.7    Section 1. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision 41.8to read: 41.9    new text begin Subd. 6.new text end new text begin Folding of the state flag for presentation or display.new text end new text begin The following new text end 41.10new text begin procedures constitute the proper way to fold the Minnesota State Flag for presentation or new text end 41.11new text begin display. Fold the flag four times lengthwise so that one section displays the three stars new text end 41.12new text begin of the state crest and the text "L'Etoile du Nord." Fold each side behind the displayed new text end 41.13new text begin section at a 90-degree angle so that the display section forms a triangle. Take the section new text end 41.14new text begin ending with the hoist and fold it at a 90-degree angle across the bottom of the display new text end 41.15new text begin section and then fold the hoist back over so it is aligned with the middle of the display new text end 41.16new text begin section. Fold the other protruding section directly upwards so that its edge is flush with new text end 41.17new text begin the display section and then fold it upwards along a 45-degree angle so that a mirror new text end 41.18new text begin of the display section triangle is formed. Fold the mirror section in half from the point new text end 41.19new text begin upwards, then fold the remaining portion upwards, tucking it between the display section new text end 41.20new text begin and the remainder of the flag.new text end 41.21    Sec. 2. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision to 41.22read: 41.23    new text begin Subd. 7.new text end new text begin Folding of the state flag for storage.new text end new text begin When folding the Minnesota State new text end 41.24new text begin Flag for storage, the proper procedure is to fold and store the flag in the same manner as new text end 41.25new text begin the national colors.new text end 41.26    Sec. 3. Minnesota Statutes 2009 Supplement, section 190.19, subdivision 2a, is 41.27amended to read: 41.28    Subd. 2a. Uses; veterans. Money appropriated to the Department of Veterans 41.29Affairs from the Minnesota "Support Our Troops" account may be used for: 41.30    (1) grants to veterans service organizations; 41.31    (2) outreach to underserved veterans; and 41.32new text begin (3) providing services and programs for veterans and their families; andnew text end 42.1(3)new text begin (4)new text end transfers to the vehicle services account for Gold Star license plates under 42.2section 168.1253. 42.3    Sec. 4. Minnesota Statutes 2008, section 197.455, is amended by adding a subdivision 42.4to read: 42.5    new text begin Subd. 5a.new text end new text begin Teacher hiring.new text end new text begin (a) Any public school under the state's Education Code new text end 42.6new text begin that chooses at any time to use a 100-point hiring method to evaluate applicants for new text end 42.7new text begin teaching positions is subject to the requirements of subdivisions 4 and 5 for determining new text end 42.8new text begin veterans preference points.new text end 42.9new text begin (b) Any public school under the state's Education Code opting at any time not to use new text end 42.10new text begin a 100-point hiring method to evaluate applicants for teaching positions is exempt from new text end 42.11new text begin the requirements of subdivisions 4 and 5 for determining veterans preference points, but new text end 42.12new text begin must instead grant to any veteran who applies for a teaching position and who has proper new text end 42.13new text begin licensure for that position an interview for that position.new text end 42.14    Sec. 5. Minnesota Statutes 2009 Supplement, section 197.46, is amended to read: 42.15197.46 VETERANS PREFERENCE ACT; REMOVAL FORBIDDEN; RIGHT 42.16OF MANDAMUS. 42.17Any person whose rights may be in any way prejudiced contrary to any of the 42.18provisions of this section, shall be entitled to a writ of mandamus to remedy the wrong. 42.19No person holding a position by appointment or employment in the several counties, 42.20cities, towns, school districts and all other political subdivisions in the state, who is a 42.21veteran separated from the military service under honorable conditions, shall be removed 42.22from such position or employment except for incompetency or misconduct shown after a 42.23hearing, upon due notice, upon stated charges, in writing. 42.24Any veteran who has been notified of the intent to discharge the veteran from an 42.25appointed position or employment pursuant to this section shall be notified in writing of 42.26such intent to discharge and of the veteran's right to request a hearing within 60 days of 42.27receipt of the notice of intent to discharge. The failure of a veteran to request a hearing 42.28within the provided 60-day period shall constitute a waiver of the right to a hearing. Such 42.29failure shall also waive all other available legal remedies for reinstatement. 42.30Request for a hearing concerning such a discharge shall be made in writing and 42.31submitted by mail or personal service to the employment office of the concerned employer 42.32or other appropriate office or person. 42.33In all governmental subdivisions having an established civil service board or 42.34commission, or merit system authority, such hearing for removal or discharge shall be 43.1held before such civil service board or commission or merit system authority. Where no 43.2such civil service board or commission or merit system authority exists, such hearing 43.3shall be held by a board of three persons appointed as follows: one by the governmental 43.4subdivision, one by the veteran, and the third by the two so selected. In the event the two 43.5persons so selected do not appoint the third person within ten days after the appointment 43.6of the last of the two, then the judge of the district court of the county wherein the 43.7proceeding is pending, or if there be more than one judge in said county then any judge in 43.8chambers, shall have jurisdiction to appoint, and upon application of either or both of the 43.9two so selected shall appoint, the third person to the board and the person so appointed 43.10by the judge with the two first selected shall constitute the board. The veteran may 43.11appeal from the decision of the board upon the charges to the district court by causing 43.12written notice of appeal, stating the grounds thereof, to be served upon the governmental 43.13subdivision or officer making the charges within 15 days after notice of the decision 43.14and by filing the original notice of appeal with proof of service thereof in the office of 43.15the court administrator of the district court within ten days after service thereof. Nothing 43.16in section 197.455 or this section shall be construed to apply to the position of private 43.17secretary, superintendent of schools, or one chief deputy of any elected official or head of 43.18a department, or to any person holding a strictly confidential relation to the appointing 43.19officer. new text begin Nothing in this section shall be construed to apply to the position of teacher.new text end 43.20The burden of establishing such relationship shall be upon the appointing officer in all 43.21proceedings and actions relating thereto. 43.22All officers, boards, commissions, and employees shall conform to, comply with, 43.23and aid in all proper ways in carrying into effect the provisions of section 197.455 and this 43.24section notwithstanding any laws, charter provisions, ordinances or rules to the contrary. 43.25Any willful violation of such sections by officers, officials, or employees is a misdemeanor. 43.26    Sec. 6. Minnesota Statutes 2008, section 197.481, subdivision 1, is amended to read: 43.27    Subdivision 1. Petition. A veterannew text begin , as defined by section new text end new text begin ,new text end who has been 43.28denied rights by the state or any political subdivision, municipality, or other public agency 43.29of the state new text begin as authorized by the Veterans Preference Act new text end under section 43A.11, 197.46, 43.30197.48, or 197.455 may petition the commissioner of veterans affairs for an order directing 43.31the agency to grant the veteran such relief the commissioner finds justified by said statutes. 43.32The petition shall new text begin be submitted via United States mail and new text end contain: 43.33(1) the name, address, new text begin telephone number, new text end and acknowledged new text begin notarized original new text end 43.34signature of the veteran; 44.1(2) the namesnew text begin , telephone numbers,new text end and addresses of all agencies and persons that 44.2will be directly affected if the petition is granted; 44.3(3) a concise statement of the facts giving rise to the veteran's rights and a concise 44.4statement showing the manner in which rights were denied; 44.5(4) a statement of the relief requested.new text begin ; andnew text end 44.6new text begin (5) a copy of the veteran's Form DD214 (Separation or Discharge from Active Duty).new text end 44.7    Sec. 7. Minnesota Statutes 2008, section 197.481, subdivision 2, is amended to read: 44.8    Subd. 2. Service. Upon receipt new text begin and authorization verification new text end of a new text begin complete new text end petition 44.9herein, the commissioner shall serve a copy of same, by certified mail, on all agencies and 44.10persons named therein and on such other agencies or persons as in the judgment of the 44.11commissioner should in justice be parties to the proceeding. The veteran and all agencies 44.12and persons served shall be parties to the proceeding. 44.13    Sec. 8. Minnesota Statutes 2008, section 197.481, subdivision 4, is amended to read: 44.14    Subd. 4. Hearing. The commissioner shall holdnew text begin schedulenew text end a hearing on the petition 44.15of any party new text begin to be held or conductednew text end within 20new text begin 120new text end days of serving, or being served with 44.16the new text begin authorized and complete new text end petition. The veteran may demand an opportunity to be heard 44.17at a time set by the commissioner. A party who fails to demand such hearing within 20 44.18days shall be heard only by permission of the commissioner, except that if any party 44.19demands to be heard new text begin At the hearing, new text end all parties shall have the right to be heard. A hearing 44.20hereunder shall be conducted and orders issued in accord with sections 14.57 to 14.60 44.21and 14.62, at the office of the commissioner or at a place the commissioner designates. 44.22The commissioner shall notify all parties, by new text begin certified new text end mail, of the new text begin date, new text end timenew text begin ,new text end and place 44.23of the hearing. 44.24    Sec. 9. Minnesota Statutes 2008, section 197.60, subdivision 1, is amended to read: 44.25    Subdivision 1. Appointment; administrative support. The county board of any 44.26county except Clay County, or the county boards of any two or more counties acting 44.27pursuant to the provisions of section 197.602, shall appoint a veterans service officer 44.28and shall provide necessary clerical help, office space, equipment, and supplies for the 44.29officer, together with reimbursement for mileage and other traveling expenses necessarily 44.30incurred in the performance of duties; and may appoint one or more assistant veterans 44.31service officers who shall have the qualifications prescribed innew text begin are qualified undernew text end section 44.32197.601 . The county board of Clay County may appoint a veterans service officer and 44.33assistant veterans service officers as provided in this subdivision. new text begin The county board or new text end 45.1new text begin boards shall provide necessary clerical help, office space, equipment, and supplies for the new text end 45.2new text begin officer, and reimbursement for mileage and other traveling expenses necessarily incurred new text end 45.3new text begin in the performance of duties. new text end Subject to the direction and control of the veterans service 45.4officer, the assistant veterans service officer may exercise all the powers, and shall perform 45.5the duties, of the veterans service officer, and shall benew text begin isnew text end subject to all the provisions of 45.6sections 197.60 to 197.606 relating to a veterans service officer. Every county officer and 45.7agency shall cooperate with the veterans service officer and shall provide the officer with 45.8information necessary in connection with the performance of duties. 45.9new text begin EFFECTIVE DATE.new text end new text begin This section is effective July 1, 2010.new text end 45.10    Sec. 10. Minnesota Statutes 2008, section 197.601, is amended to read: 45.11197.601 QUALIFICATIONS OF VETERANS SERVICE OFFICERS. 45.12No person shall be appointed a veterans service officer new text begin or an assistant county new text end 45.13new text begin veterans service officer new text end under sections 197.60 to 197.606 without the following 45.14qualificationsnew text begin unless the person isnew text end : 45.15(1) residence innew text begin a resident ofnew text end the state of Minnesota; 45.16(2) citizenship innew text begin a citizen ofnew text end the United States;new text begin andnew text end 45.17(3) new text begin a new text end veterannew text begin ,new text end as defined in section 197.447;new text begin .new text end 45.18(4) education and training for the duties of veterans service officer; 45.19(5) knowledge of the law and the regulations and rulings of the United States 45.20Veterans Administration applicable to cases before it and the administration thereof. 45.21new text begin In addition, a person accepting appointment to the position of county veterans new text end 45.22new text begin service officer or assistant county veterans service officer or other equivalent assistant new text end 45.23new text begin position must agree to receive, within six months of the appointment, training and new text end 45.24new text begin education for the duties of the position, including development of an effective working new text end 45.25new text begin knowledge of relevant laws, rules, and regulations pertaining to the United States new text end 45.26new text begin Department of Veterans Affairs, as applicable to veterans cases before the department and new text end 45.27new text begin the administration of those cases.new text end 45.28    Sec. 11. Minnesota Statutes 2008, section 197.605, is amended to read: 45.29197.605 SUPERVISIONnew text begin DEPARTMENT AS A RESOURCE TO COUNTIESnew text end . 45.30    Subdivision 1. Methods of operationnew text begin Resources availablenew text end . Every veterans service 45.31officer appointed under sections to shall be under the general supervision 45.32of the commissioner of veterans affairs as to methods of operation. new text begin The commissioner of new text end 45.33new text begin veterans affairs shall make resources available within the Department of Veterans Affairs new text end 46.1new text begin to every county that operates a county veterans service office, to assist the county with new text end 46.2new text begin maintaining efficient and effective services to veterans. To receive available resources new text end 46.3new text begin from the department, a county must formally request them from the commissioner and new text end 46.4new text begin invite the commissioner or the commissioner's designee or designees into the county new text end 46.5new text begin as necessary to provide those resources. The commissioner shall consult with the new text end 46.6new text begin Association of Minnesota Counties and the Minnesota Association of County Veterans new text end 46.7new text begin Service Officers in developing a list of resources available to counties in support of their new text end 46.8new text begin county veterans service offices.new text end 46.9    Subd. 2. Use of agencies to present claims. Every veterans service officer new text begin and new text end 46.10new text begin assistant veterans service officer new text end appointed under sections 197.60 to 197.606 shall use 46.11the new text begin Minnesota new text end Department of Veterans Affairs or any organization recognized by the 46.12United States new text begin Department of new text end Veterans Administrationnew text begin Affairsnew text end , as may be designated by the 46.13veteran by power of attorney, in the presentation of claims to the United States new text begin Department new text end 46.14new text begin of new text end Veterans Administrationnew text begin Affairsnew text end for the benefits referred to in section 197.603. 46.15    Subd. 3. Rules. The commissioner of veterans affairs shall have authority to 46.16prescribe such rules as are necessary for compliance with this section and the efficient 46.17uniform administration of sections to . Such rules shall not apply to the 46.18appointment, tenure, compensation, or working conditions of a veterans service officer 46.19appointed under sections to . 46.20    Subd. 4. Certification. The commissioner of veterans affairs shall establish a 46.21certification process for veterans service officers. In doing so, the commissioner shall 46.22consult with the Minnesota Association of County Veterans Service Officers. 46.23    Sec. 12. Minnesota Statutes 2008, section 197.606, is amended to read: 46.24197.606 CLASSED AS COUNTY EMPLOYEES. 46.25Veterans service officers and assistant veterans service officers appointed under 46.26sections 197.60 to 197.606 are employees of the counties by which they are employed, and 46.27are under the exclusive jurisdiction and control of suchnew text begin thosenew text end counties and the Department 46.28of Veterans Affairs as herein provided. 46.29    Sec. 13. Minnesota Statutes 2008, section 197.609, subdivision 1, is amended to read: 46.30    Subdivision 1. Establishment and administration. An education program for 46.31county veterans service officers is established to be administered by the commissioner of 46.32veterans affairsnew text begin , with assistance and advice from the Minnesota Association of County new text end 46.33new text begin Veterans Service Officersnew text end . 47.1    Sec. 14. Minnesota Statutes 2008, section 197.609, subdivision 2, is amended to read: 47.2    Subd. 2. Eligibility. To be eligible for the program in this section, a person must 47.3currently be employed as a county veterans service officer new text begin or assistant county veterans new text end 47.4new text begin service officer, new text end as authorized by sections 197.60 to 197.606, and be certified to serve in 47.5that position by the commissioner of veterans affairs or be serving a probationary period 47.6as authorized by section 197.60, subdivision 2. 47.7    Sec. 15. Minnesota Statutes 2008, section 197.75, subdivision 1, is amended to read: 47.8    Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this 47.9section. 47.10    (b) "Commissioner" means the commissioner of veterans affairs. 47.11    (c) "Deceased veteran" means a veteran who was a Minnesota resident within six 47.12months of the time of the person's entry into the United States armed forces and who has 47.13died as a result of that new text begin the person's military new text end service, as determined by the United States 47.14Veterans Administrationnew text begin , and who was a resident of this state: (1) within six months of new text end 47.15new text begin entering the United States armed forces, or (2) for the six months preceding the veteran's new text end 47.16new text begin date of deathnew text end . 47.17    (d) "Eligible child" means a person who: 47.18    (1) is the natural or adopted son or daughter new text begin child or stepchildnew text end of a deceased veteran; 47.19and 47.20    (2) is a student making satisfactory academic progress at an eligible institution 47.21of higher education. 47.22    (e) "Eligible institution" means a postsecondary educational institution located in 47.23this state that either (1) is operated by this state, or (2) is operated publicly or privately 47.24and, as determined by the office, maintains academic standards substantially equivalent 47.25to those of comparable institutions operated in this state. 47.26    (f) "Eligible spouse" means the surviving spouse of a deceased veteran. 47.27    (g) "Eligible veteran" means a veteran who: 47.28    (1) is a student making satisfactory academic progress at an eligible institution 47.29of higher education; 47.30    (2) had Minnesota as the person's state of residence at the time of the person's 47.31enlistment or any reenlistment into the United States armed forces, as shown by the 47.32person's federal form DD-214 or other official documentation to the satisfaction of the 47.33commissioner; 47.34    (3) except for benefits under this section, has no remaining military or veteran-related 47.35educational assistance benefits for which the person may have been entitled; and 48.1    (4) while using the educational assistance authorized in this section, remains a 48.2resident student as defined in section 136A.101, subdivision 8. 48.3    (h) "Satisfactory academic progress" has the meaning given in section 136A.101, 48.4subdivision 10. 48.5    (i) "Student" has the meaning given in section 136A.101, subdivision 7. 48.6    (j) "Veteran" has the meaning given in section 197.447. 48.7new text begin EFFECTIVE DATE.new text end new text begin This section is effective July 1, 2010, for educational benefits new text end 48.8new text begin provided to an eligible child or eligible spouse on or after that date.new text end 48.9    Sec. 16. new text begin PLANNING NEW VETERANS CEMETERIES.new text end 48.10new text begin The commissioner of veterans affairs shall determine a suitable site and plan for new text end 48.11new text begin three new state veterans cemeteries, one to be located in northeastern Minnesota, one to new text end 48.12new text begin be located in southeastern Minnesota, and one to be located in southwestern Minnesota. new text end 48.13new text begin In determining the site for a cemetery, the commissioner shall consider available public new text end 48.14new text begin land options and shall seek proposals for donated land from interested counties, local new text end 48.15new text begin communities, civic organizations, veterans service organizations, and individuals. For new text end 48.16new text begin the veterans cemetery in southwestern Minnesota, the commissioner must work with the new text end 48.17new text begin commissioner of natural resources to secure a cemetery site at Fort Ridgely State Park, if new text end 48.18new text begin feasible, or on other public land in that immediate vicinity.new text end 48.19new text begin The commissioner's planning process for a state veterans cemetery must include, at a new text end 48.20new text begin minimum, the following actions:new text end 48.21new text begin (1) determining the need for the cemetery;new text end 48.22new text begin (2) investigating the availability of suitable land for the cemetery;new text end 48.23new text begin (3) assessment of impacts of the cemetery;new text end 48.24new text begin (4) encouragement of support from veteran service organizations and local new text end 48.25new text begin governments; and new text end 48.26new text begin (5) preparation and submission of a preapplication for a grant from the United States new text end 48.27new text begin Department of Veterans Affairs for commitment of funding for establishing the cemetery.new text end 48.28new text begin By January 15, 2011, the commissioner shall report to the chair and ranking minority new text end 48.29new text begin member of the house of representatives and senate committees having responsibility for new text end 48.30new text begin veterans affairs with a report of the commissioner's progress in implementing this section.new text end 48.31    Sec. 17. new text begin NONCOMPLIANCE.new text end 48.32new text begin A county that on July 1, 2010, is noncompliant with regard to the qualifications of new text end 48.33new text begin an assistant county veterans service officer, under Minnesota Statutes, section 197.601, new text end 49.1new text begin must comply with the requirements of that section no later than June 30, 2013, and must new text end 49.2new text begin remain in compliance after that date.new text end 49.3    Sec. 18. new text begin EFFECTIVE DATE.new text end 49.4new text begin Sections 1, 2, and 16 are effective the day following final enactment. All other new text end 49.5new text begin sections are effective July 1, 2010.new text end