1.1A bill for an act1.2relating to the operation of state government; changing certain appropriations 1.3and provisions relating to agriculture and veterans affairs; requiring a report; 1.4funding certain projects for veterans; appropriating money;amending Minnesota 1.5Statutes 2009 Supplement, sections 190.19, subdivision 2a; 198.003, subdivision 1.64a; Laws 2007, chapter 45, article 1, section 3, subdivisions 4, as amended, 5, as 1.7amended; Laws 2009, chapter 94, article 1, section 3, subdivision 5; article 3, 1.8section 2, subdivision 3.1.9BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:1.10ARTICLE 11.11AGRICULTURE

1.12Section 1. APPROPRIATIONS.

1.13Unless otherwise stated, the sums shown in the columns marked "Appropriations" 1.14are added to, or if shown in parentheses, subtracted from the appropriations in Laws 1.152009, chapter 94, article 1, to the agencies and for the purposes specified in this article. 1.16The appropriations are from the general fund, or another named fund, and are available 1.17for the fiscal years indicated for each purpose. The figures "2010" and "2011" used in 1.18this article mean that the addition to or subtraction from the appropriation listed under 1.19them is available for the fiscal year ending June 30, 2010, or June 30, 2011, respectively. 1.20Supplemental appropriations and reductions to appropriations for the fiscal year ending 1.21June 30, 2010, are effective the day following final enactment.

1.22APPROPRIATIONS1.23Available for the Year1.24Ending June 301.2520102011

2.1Sec. 2. AGRICULTURE

2.2Subdivision 1.Total Appropriation$(1,895,000)$(3,411,000)

2.3The amounts that may be spent for each 2.4purpose are specified in the following 2.5subdivisions.

2.6Subd. 2.Protection Services(168,000)(1,626,000)

2.7These reductions include elimination of 2.8noncrop invasive species programs and 2.9efforts including gypsy moth and emerald 2.10ash borer.

2.112.12Subd. 3.Agricultural Marketing and Development(127,000)(8,000)

2.13$6,000 in 2010 is a reduction for grants to 2.14farmers for demonstration projects involving 2.15sustainable agriculture, as authorized in 2.16Minnesota Statutes, section 17.116.2.17$113,000 in 2010 is a reduction from Laws 2.182006, chapter 282, article 10, section 4, for 2.19the agricultural best management program.

2.202.21Subd. 4.Bioenergy and Value-Added Agriculture(1,102,000)(1,153,000)

2.22$1,102,000 in 2010 and $1,153,000 in 2011 2.23are reductions from the appropriation for 2.24ethanol producer payments. These are 2.25onetime reductions.

2.262.27Subd. 5.Administration and Financial Assistance(498,000)(624,000)

2.28$23,000 in 2010 and $52,000 in 2011 2.29are reductions from the appropriation for 2.30the dairy development and profitability 2.31enhancement and dairy business planning 2.32grant programs established under Laws 1997, 2.33chapter 216, section 7, subdivision 2, and 3.1Laws 2001, First Special Session chapter 2, 3.2section 9, subdivision 2.3.3$1,000 in 2011 is a reduction from the 3.4appropriation for a grant to the Minnesota 3.5Livestock Breeders Association.3.6$15,000 in 2011 is a reduction from the 3.7appropriation for a grant to the Minnesota 3.8Agricultural Education and Leadership 3.9Council.3.10$4,000 in 2011 is a reduction from the 3.11appropriation for the Northern Crops 3.12Institute.3.13$4,000 in 2010 and $5,000 in 2011 are 3.14reductions from the appropriation for grants 3.15to the Minnesota Turf Seed Council for 3.16basic and applied research on the improved 3.17production of forage and turf seed related to 3.18new and improved varieties.3.19$3,000 in 2010 and $4,000 in 2011 are 3.20reductions from the appropriation for grants 3.21to the Minnesota Turf Seed Council for basic 3.22and applied agronomic research on native 3.23plants including plant breeding, nutrient 3.24management, pest management, disease 3.25management yield, and viability.3.26$60,000 in 2010 is a reduction from the 3.27appropriation for the agricultural growth, 3.28research, and innovation program.3.29$8,000 in 2011 is a reduction from the 3.30appropriation for transfer to the Board of 3.31Trustees of the Minnesota State Colleges and 3.32Universities for mental health counseling 3.33support to farm families and business 3.34operators through farm business management 4.1programs at Central Lakes College and 4.2Ridgewater College.4.3$1,000 in 2011 is a reduction from the 4.4appropriation for a grant to the Minnesota 4.5Horticultural Society.4.6$4,000 in 2010 is a reduction from the 4.7appropriation for transfer to the University 4.8of Minnesota Extension Service for 4.9farm-to-school grants to school districts in 4.10Minneapolis, Moorhead, White Earth, and 4.11Willmar.4.12$300,000 in 2010 and $300,000 in 2011 4.13are reductions due to efficiencies and other 4.14cost savings realized by various methods 4.15including, but not limited to, renegotiating 4.16leases and other contracts and resource 4.17reorganization or consolidation within the 4.18department or in conjunction with other 4.19public entities. The commissioner may 4.20allocate these reductions to programs. If 4.21the commissioner cannot realize $300,000 4.22in savings in each fiscal year from these 4.23methods, the commissioner shall achieve the 4.24reductions required under this provision by 4.25eliminating employees in the unclassified 4.26service or reducing the department's 4.27operations and maintenance budget.

4.28Subd. 6.Transfers In

4.29Notwithstanding any other law to the 4.30contrary, the commissioner of management 4.31and budget shall transfer $405,000 from 4.32the agricultural fund to the general fund 4.33by July 15, 2010. By July 15, 2011, the 4.34commissioner of management and budget 5.1will transfer $629,000 from the agricultural 5.2fund to the general fund.5.3Notwithstanding any other law to the 5.4contrary, the commissioner of management 5.5and budget shall transfer $6,000 from the 5.6miscellaneous special revenue fund to the 5.7general fund by July 15, 2010. By July 15, 5.82011, the commissioner of management 5.9and budget shall transfer $6,000 from the 5.10miscellaneous special revenue fund to the 5.11general fund.

5.12Sec. 3. BOARD OF ANIMAL HEALTH$(87,000)$(141,000)

5.13$87,000 in 2010 and $141,000 in 2011 is 5.14from the appropriation for general operations.

5.155.16Sec. 4. AGRICULTURAL UTILIZATION RESEARCH INSTITUTE$(120,000)$(250,000)

5.17    Sec. 5. Laws 2007, chapter 45, article 1, section 3, subdivision 4, as amended by Laws 5.182008, chapter 297, article 1, section 64; and Laws 2008, chapter 363, article 7, section 6, 5.19is amended to read:

5.205.21Subd. 4. Bioenergy and Value-Added Agricultural Products19,918,000 15,168,000 

5.22$15,168,000 the first year and $15,168,000 5.23the second year are for ethanol producer 5.24payments under Minnesota Statutes, section 5.2541A.09
         . If the total amount for which all 5.26producers are eligible in a quarter exceeds 5.27the amount available for payments, the 5.28commissioner shall make payments on a 5.29pro rata basis. If the appropriation exceeds 5.30the total amount for which all producers 5.31are eligible in a fiscal year for scheduled 5.32payments and for deficiencies in payments 5.33during previous fiscal years, the balance 6.1in the appropriation is available to the 6.2commissioner for value-added agricultural 6.3programs including the value-added 6.4agricultural product processing and 6.5marketing grant program under Minnesota 6.6Statutes, section 
         17.101, subdivision 5. The 6.7appropriation remains available until spent. 6.8$3,000,000 the first year is for grants to 6.9bioenergy projects. The NextGen Energy 6.10Board shall make recommendations to 6.11the commissioner on grants for owners of 6.12Minnesota facilities producing bioenergy, 6.13organizations that provide for on-station, 6.14on-farm field scale research and outreach to 6.15develop and test the agronomic and economic 6.16requirements of diverse stands of prairie 6.17plants and other perennials for bioenergy 6.18systems, or certain nongovernmental 6.19entities. For the purposes of this paragraph, 6.20"bioenergy" includes transportation fuels 6.21derived from cellulosic material as well as 6.22the generation of energy for commercial heat, 6.23industrial process heat, or electrical power 6.24from cellulosic material via gasification 6.25or other processes. The board must give 6.26priority to a bioenergy facility that is at 6.27least 60 percent owned and controlled by 6.28farmers, as defined in Minnesota Statutes, 6.29section 
         500.24, subdivision 2, paragraph 6.30(n), or natural persons residing in the 6.31county or counties contiguous to where the 6.32facility is located. Grants are limited to 50 6.33percent of the cost of research, technical 6.34assistance, or equipment related to bioenergy 6.35production or $1,000,000, whichever is 6.36less. Grants to nongovernmental entities 7.1for the development of business plans and 7.2structures related to community ownership 7.3of eligible bioenergy facilities together may 7.4not exceed $150,000. The board shall make 7.5a good faith effort to select projects that have 7.6merit and when taken together represent a 7.7variety of bioenergy technologies, biomass 7.8feedstocks, and geographic regions of the 7.9state. Projects must have a qualified engineer 7.10certification on the technology and fuel 7.11source. Grantees shall provide reports at 7.12the request of the commissioner and must 7.13actively participate in the Agricultural 7.14Utilization Research Institute's Renewable 7.15Energy Roundtable. No later than February 7.161, 2009, the commissioner shall report on 7.17the projects funded under this appropriation 7.18to the house and senate committees with 7.19jurisdiction over agriculture finance. The 7.20commissioner's costs in administering the 7.21program may be paid from the appropriation. 7.22Any unencumbered balance does not cancel 7.23at the end of the first year and is available 7.24in the second year This appropriation is 7.25available until June 30, 2011.7.26$200,000 the first year is for a grant to the 7.27Minnesota Turf Seed Council for basic 7.28and applied agronomic research on native 7.29plants, including plant breeding, nutrient 7.30management, pest management, disease 7.31management, yield, and viability. The grant 7.32recipient may subcontract with a qualified 7.33third party for some or all of the basic 7.34or applied research. The grant recipient 7.35must actively participate in the Agricultural 7.36Utilization Research Institute's Renewable 8.1Energy Roundtable and no later than 8.2February 1, 2009, must report to the house 8.3and senate committees with jurisdiction 8.4over agriculture finance. This is a onetime 8.5appropriation and is available until spent. 8.6$200,000 the first year is for a grant to a joint 8.7venture combined heat and power energy 8.8facility located in Scott or LeSueur County 8.9for the creation of a centrally located biomass 8.10fuel supply depot with the capability of 8.11unloading, processing, testing, scaling, and 8.12storing renewable biomass fuels. The grant 8.13must be matched by at least $3 of nonstate 8.14funds for every $1 of state funds. The grant 8.15recipient must actively participate in the 8.16Agricultural Utilization Research Institute's 8.17Renewable Energy Roundtable and no 8.18later than February 1, 2009, must report 8.19to the house and senate committees with 8.20jurisdiction over agriculture finance. This is 8.21a onetime appropriation and is available until 8.22spent. 8.23$300,000 the first year is for a grant to the 8.24Bois Forte Band of Chippewa for a feasibility 8.25study of a renewable energy biofuels 8.26demonstration facility on the Bois Forte 8.27Reservation in St. Louis and Koochiching 8.28Counties. The grant shall be used by the Bois 8.29Forte Band to conduct a detailed feasibility 8.30study of the economic and technical viability 8.31of developing a multistream renewable 8.32energy biofuels demonstration facility 8.33on Bois Forte Reservation land to utilize 8.34existing forest resources, woody biomass, 8.35and cellulosic material to produce biofuels or 8.36bioenergy. The grant recipient must actively 9.1participate in the Agricultural Utilization 9.2Research Institute's Renewable Energy 9.3Roundtable and no later than February 1, 9.42009, must report to the house and senate 9.5committees with jurisdiction over agriculture 9.6finance. This is a onetime appropriation and 9.7is available until spent. 9.8$300,000 the first year is for a grant to 9.9the White Earth Band of Chippewa for a 9.10feasibility study of a renewable energy 9.11biofuels production, research, and production 9.12facility on the White Earth Reservation in 9.13Mahnomen County. The grant must be used 9.14by the White Earth Band and the University 9.15of Minnesota to conduct a detailed feasibility 9.16study of the economic and technical viability 9.17of (1) developing a multistream renewable 9.18energy biofuels demonstration facility on 9.19White Earth Reservation land to utilize 9.20existing forest resources, woody biomass, 9.21and cellulosic material to produce biofuels or 9.22bioenergy, and (2) developing, harvesting, 9.23and marketing native prairie plants and seeds 9.24for bioenergy production. The grant recipient 9.25must actively participate in the Agricultural 9.26Utilization Research Institute's Renewable 9.27Energy Roundtable and no later than 9.28February 1, 2009, must report to the house 9.29and senate committees with jurisdiction 9.30over agriculture finance. This is a onetime 9.31appropriation and is available until spent. 9.32$200,000 the first year is for a grant to the Elk 9.33River Economic Development Authority for 9.34upfront engineering and a feasibility study 9.35of the Elk River renewable fuels facility. 9.36The facility must use a plasma gasification 10.1process to convert primarily cellulosic 10.2material, but may also use plastics and other 10.3components from municipal solid waste, as 10.4feedstock for the production of methanol 10.5for use in biodiesel production facilities. 10.6Any unencumbered balance in fiscal year 10.72008 does not cancel but is available for 10.8fiscal year 2009. Notwithstanding Minnesota 10.9Statutes, section 
         16A.285, the agency must 10.10not transfer this appropriation. The grant 10.11recipient must actively participate in the 10.12Agricultural Utilization Research Institute's 10.13Renewable Energy Roundtable and no 10.14later than February 1, 2009, must report 10.15to the house and senate committees with 10.16jurisdiction over agriculture finance. This is 10.17a onetime appropriation and is available until 10.18spent. 10.19$200,000 the first year is for a grant to 10.20Chisago County to conduct a detailed 10.21feasibility study of the economic and 10.22technical viability of developing a 10.23multistream renewable energy biofuels 10.24demonstration facility in Chisago, Isanti, 10.25or Pine County to utilize existing forest 10.26resources, woody biomass, and cellulosic 10.27material to produce biofuels or bioenergy. 10.28Chisago County may expend funds to Isanti 10.29and Pine Counties and the University of 10.30Minnesota for any costs incurred as part 10.31of the study. The feasibility study must 10.32consider the capacity of: (1) the seed bank 10.33at Wild River State Park to expand the 10.34existing prairie grass, woody biomass, and 10.35cellulosic material resources in Chisago, 10.36Isanti, and Pine Counties; (2) willing and 11.1interested landowners in Chisago, Isanti, and 11.2Pine Counties to grow cellulosic materials; 11.3and (3) the Minnesota Conservation Corps, 11.4the sentence to serve program, and other 11.5existing workforce programs in east central 11.6Minnesota to contribute labor to these efforts. 11.7The grant recipient must actively participate 11.8in the Agricultural Utilization Research 11.9Institute's Renewable Energy Roundtable and 11.10no later than February 1, 2009, must report 11.11to the house and senate committees with 11.12jurisdiction over agriculture finance. This is 11.13a onetime appropriation and is available until 11.14spent. 11.15    Sec. 6. Laws 2007, chapter 45, article 1, section 3, subdivision 5, as amended by Laws 11.162008, chapter 297, article 1, section 65, is amended to read:

11.1711.18Subd. 5. Administration and Financial Assistance7,338,000 6,751,000 

11.19$1,005,000 the first year and $1,005,000 11.20the second year are for continuation of 11.21the dairy development and profitability 11.22enhancement and dairy business planning 11.23grant programs established under Laws 1997, 11.24chapter 216, section 7, subdivision 2, and 11.25Laws 2001, First Special Session chapter 2, 11.26section 9, subdivision 2 . The commissioner 11.27may allocate the available sums among 11.28permissible activities, including efforts to 11.29improve the quality of milk produced in the 11.30state in the proportions that the commissioner 11.31deems most beneficial to Minnesota's dairy 11.32farmers. The commissioner must submit a 11.33work plan detailing plans for expenditures 11.34under this program to the chairs of the 11.35house and senate committees dealing with 12.1agricultural policy and budget on or before 12.2the start of each fiscal year. If significant 12.3changes are made to the plans in the course 12.4of the year, the commissioner must notify the 12.5chairs. 12.6$50,000 the first year and $50,000 the 12.7second year are for the Northern Crops 12.8Institute. These appropriations may be spent 12.9to purchase equipment. 12.10$19,000 the first year and $19,000 the 12.11second year are for a grant to the Minnesota 12.12Livestock Breeders Association. 12.13$250,000 the first year and $250,000 the 12.14second year are for grants to the Minnesota 12.15Agricultural Education Leadership Council 12.16for programs of the council under Minnesota 12.17Statutes, chapter 41D. 12.18$600,000 the first year is for grants for 12.19fertilizer research as awarded by the 12.20Minnesota Agricultural Fertilizer Research 12.21and Education Council under Minnesota 12.22Statutes, section 
         18C.71. The amount 12.23available to the commissioner pursuant 12.24to Minnesota Statutes, section 
         18C.70, 12.25subdivision 2
         , for administration of this 12.26activity is available until February 1, 2009, 12.27by which time the commissioner shall 12.28report to the house and senate committees 12.29with jurisdiction over agriculture finance. 12.30The report must include the progress and 12.31outcome of funded projects as well as the 12.32sentiment of the council concerning the need 12.33for additional research funded through an 12.34industry checkoff fee. The amount available 12.35for grants is available until June 30, 2011.13.1$465,000 the first year and $465,000 the 13.2second year are for payments to county and 13.3district agricultural societies and associations 13.4under Minnesota Statutes, section 
         38.02, 13.5subdivision 1
         . Aid payments to county and 13.6district agricultural societies and associations 13.7shall be disbursed not later than July 15 of 13.8each year. These payments are the amount of 13.9aid owed by the state for an annual fair held 13.10in the previous calendar year. 13.11$65,000 the first year and $65,000 the second 13.12year are for annual grants to the Minnesota 13.13Turf Seed Council for basic and applied 13.14research on the improved production of 13.15forage and turf seed related to new and 13.16improved varieties. The grant recipient may 13.17subcontract with a qualified third party for 13.18some or all of the basic and applied research. 13.19$500,000 the first year and $500,000 the 13.20second year are for grants to Second Harvest 13.21Heartland on behalf of Minnesota's six 13.22Second Harvest food banks for the purchase 13.23of milk for distribution to Minnesota's food 13.24shelves and other charitable organizations 13.25that are eligible to receive food from the food 13.26banks. Milk purchased under the grants must 13.27be acquired from Minnesota milk processors 13.28and based on low-cost bids. The milk must be 13.29allocated to each Second Harvest food bank 13.30serving Minnesota according to the formula 13.31used in the distribution of United States 13.32Department of Agriculture commodities 13.33under The Emergency Food Assistance 13.34Program (TEFAP). Second Harvest 13.35Heartland must submit quarterly reports 13.36to the commissioner on forms prescribed 14.1by the commissioner. The reports must 14.2include, but are not limited to, information 14.3on the expenditure of funds, the amount 14.4of milk purchased, and the organizations 14.5to which the milk was distributed. Second 14.6Harvest Heartland may enter into contracts 14.7or agreements with food banks for shared 14.8funding or reimbursement of the direct 14.9purchase of milk. Each food bank receiving 14.10money from this appropriation may use up to 14.11two percent of the grant for administrative 14.12expenses. 14.13$100,000 the first year and $100,000 the 14.14second year are for transfer to the Board of 14.15Trustees of the Minnesota State Colleges and 14.16Universities for mental health counseling 14.17support to farm families and business 14.18operators through farm business management 14.19programs at Central Lakes College and 14.20Ridgewater College. 14.21$18,000 the first year and $18,000 the 14.22second year are for grants to the Minnesota 14.23Horticultural Society. 14.24$50,000 is for a grant to the University of 14.25Minnesota, Department of Horticultural 14.26Science, Enology Laboratory, to upgrade 14.27and purchase instrumentation to allow 14.28rapid and accurate measurement of enology 14.29components. This is a onetime appropriation 14.30and is available until expended.14.31    Sec. 7. Laws 2009, chapter 94, article 1, section 3, subdivision 5, is amended to read:

14.3214.33Subd. 5.Administration and Financial Assistance8,177,0007,037,000

15.1Appropriations by Fund15.22010201115.3General7,377,0006,237,00015.4Agricultural800,000800,000

15.5$780,000 the first year and $755,000 the 15.6second year are for continuation of the dairy 15.7development and profitability enhancement 15.8and dairy business planning grant programs 15.9established under Laws 1997, chapter 15.10216, section 7, subdivision 2, and Laws 15.112001, First Special Session chapter 2, 15.12section 9, subdivision 2. The commissioner 15.13may allocate the available sums among 15.14permissible activities, including efforts to 15.15improve the quality of milk produced in the 15.16state in the proportions that the commissioner 15.17deems most beneficial to Minnesota's dairy 15.18farmers. The commissioner must submit a 15.19work plan detailing plans for expenditures 15.20under this program to the chairs of the house 15.21of representatives and senate committees 15.22dealing with agricultural policy and budget 15.23on or before the start of each fiscal year. If 15.24significant changes are made to the plans 15.25in the course of the year, the commissioner 15.26must notify the chairs.15.27$50,000 the first year and $50,000 the 15.28second year are for the Northern Crops 15.29Institute. These appropriations may be spent 15.30to purchase equipment.15.31$19,000 the first year and $19,000 the 15.32second year are for a grant to the Minnesota 15.33Livestock Breeders Association.15.34$250,000 the first year and $250,000 the 15.35second year are for grants to the Minnesota 16.1Agricultural Education and Leadership 16.2Council for programs of the council under 16.3Minnesota Statutes, chapter 41D.16.4$474,000 the first year and $474,000 the 16.5second year are for payments to county and 16.6district agricultural societies and associations 16.7under Minnesota Statutes, section 
         38.02, 16.8subdivision 1
         . Aid payments to county and 16.9district agricultural societies and associations 16.10shall be disbursed no later than July 15 of 16.11each year. These payments are the amount of 16.12aid from the state for an annual fair held in 16.13the previous calendar year.16.14$1,000 the first year and $1,000 the second 16.15year are for grants to the Minnesota State 16.16Poultry Association.16.17$65,000 the first year and $65,000 the second 16.18year are for annual grants to the Minnesota 16.19Turf Seed Council for basic and applied 16.20research on the improved production of 16.21forage and turf seed related to new and 16.22improved varieties. The grant recipient may 16.23subcontract with a qualified third party for 16.24some or all of the basic and applied research.16.25$50,000 the first year and $50,000 the 16.26second year are for annual grants to the 16.27Minnesota Turf Seed Council for basic 16.28and applied agronomic research on native 16.29plants, including plant breeding, nutrient 16.30management, pest management, disease 16.31management, yield, and viability. The grant 16.32recipient may subcontract with a qualified 16.33third party for some or all of the basic 16.34or applied research. The grant recipient 16.35must actively participate in the Agricultural 17.1Utilization Research Institute's Renewable 17.2Energy Roundtable and no later than 17.3February 1, 2011, must report to the house of 17.4representatives and senate committees with 17.5jurisdiction over agriculture finance.17.6$500,000 the first year and $500,000 the 17.7second year are for grants to Second Harvest 17.8Heartland on behalf of Minnesota's six 17.9Second Harvest food banks for the purchase 17.10of milk for distribution to Minnesota's food 17.11shelves and other charitable organizations 17.12that are eligible to receive food from the food 17.13banks. Milk purchased under the grants must 17.14be acquired from Minnesota milk processors 17.15and based on low-cost bids. The milk must be 17.16allocated to each Second Harvest food bank 17.17serving Minnesota according to the formula 17.18used in the distribution of United States 17.19Department of Agriculture commodities 17.20under The Emergency Food Assistance 17.21Program (TEFAP). Second Harvest 17.22Heartland must submit quarterly reports 17.23to the commissioner on forms prescribed 17.24by the commissioner. The reports must 17.25include, but are not limited to, information 17.26on the expenditure of funds, the amount 17.27of milk purchased, and the organizations 17.28to which the milk was distributed. Second 17.29Harvest Heartland may enter into contracts 17.30or agreements with food banks for shared 17.31funding or reimbursement of the direct 17.32purchase of milk. Each food bank receiving 17.33money from this appropriation may use up to 17.34two percent of the grant for administrative 17.35expenses.18.1$1,000,000 the first year is for the agricultural 18.2growth, research, and innovation program 18.3in Minnesota Statutes, section 
         41A.12. 18.4Priority must be given to livestock programs 18.5under Minnesota Statutes, section 
         17.118. 18.6Priority for livestock grants shall be given 18.7to persons who are beginning livestock 18.8producers and livestock producers who are 18.9rebuilding after a disaster that was due to 18.10natural or other unintended conditions. The 18.11commissioner may use up to 4.5 percent 18.12of this appropriation for costs incurred to 18.13administer the program. Any unencumbered 18.14balance does not cancel at the end of the first 18.15year and is available in the second year.18.16$100,000 the first year and $100,000 the 18.17second year are for transfer to the Board of 18.18Trustees of the Minnesota State Colleges and 18.19Universities for mental health counseling 18.20support to farm families and business 18.21operators through farm business management 18.22programs at Central Lakes College and 18.23Ridgewater College.18.24$18,000 the first year and $18,000 the 18.25second year are for grants to the Minnesota 18.26Horticultural Society.18.27Notwithstanding Minnesota Statutes, 18.28section 
         18C.131, $800,000 the first year 18.29and $800,000 the second year are from the 18.30fertilizer account in the agricultural fund 18.31for grants for fertilizer research as awarded 18.32by the Minnesota Agricultural Fertilizer 18.33Research and Education Council under 18.34Minnesota Statutes, section 
         18C.71. The 18.35amount appropriated in either fiscal year must 19.1not exceed 57 percent of the inspection fee 19.2revenue collected under Minnesota Statutes, 19.3section 
         18C.425, subdivision 6, during the 19.4previous fiscal year. No later than February 19.51, 2011, the commissioner shall report to 19.6the legislative committees with jurisdiction 19.7over agriculture finance. The report must 19.8include the progress and outcome of funded 19.9projects as well as the sentiment of the 19.10council concerning the need for additional 19.11research funds. The appropriation for the 19.12first year is available until June 30, 2013, 19.13and the appropriation for the second year is 19.14available until June 30, 2014.19.15$60,000 the first year is for a transfer to the 19.16University of Minnesota Extension Service 19.17for farm-to-school grants to school districts 19.18in Minneapolis, Moorhead, White Earth, and 19.19Willmar.19.20$30,000 is for star farms program 19.21development. The commissioner, in 19.22consultation with other state and local 19.23agencies, farm groups, conservation 19.24groups, legislators, and other interested 19.25persons, shall develop a proposal for a star 19.26farms program. By January 15, 2010, the 19.27commissioner shall submit the proposal to 19.28the legislative committees and divisions 19.29with jurisdiction over agriculture and 19.30environmental policy and finance. This is a 19.31onetime appropriation. * (The preceding 19.32paragraph beginning "$30,000 is for star 19.33farms program" was indicated as vetoed 19.34by the governor.)20.1$25,000 the first year is for the administration 20.2of the Feeding Minnesota Task Force, under 20.3new Minnesota Statutes, section 
         31.97. This 20.4is a onetime appropriation.20.5ARTICLE 220.6VETERANS AFFAIRS 

20.7Section 1. APPROPRIATIONS.

20.8The sums shown in the columns marked "Appropriations" are added to, or if shown 20.9in parentheses, subtracted from the appropriations in Laws 2009, chapter 94, article 3, to 20.10the agencies and for the purposes specified in this article. The appropriations are from the 20.11general fund, or another named fund, and are available for the fiscal years indicated for 20.12each purpose. The figures "2010" and "2011" used in this article mean that the addition 20.13to or subtraction from the appropriation listed under them is available for the fiscal year 20.14ending June 30, 2010, or June 30, 2011, respectively. Supplemental appropriations and 20.15reductions to appropriations for the fiscal year ending June 30, 2010, are effective the 20.16day following final enactment.

20.17APPROPRIATIONS20.18Available for the Year20.19Ending June 3020.2020102011

20.21Sec. 2. VETERANS AFFAIRS$-0-$250,000

20.22$250,000 in fiscal year 2011 is for a grant 20.23to the Military Assistance Council for 20.24Veterans to provide assistance throughout 20.25Minnesota to veterans and their families who 20.26are homeless or in danger of homelessness, 20.27including housing, utility, employment, and 20.28legal assistance, according to guidelines 20.29established by the commissioner. In 20.30order to avoid duplication of services, 20.31the commissioner must ensure that this 20.32assistance will be coordinated with all other 20.33available programs for veterans. This is a 20.34onetime appropriation.21.1Of the appropriation in Laws 2009, chapter 21.294, article 3, section 2, subdivision 2:21.3(1) $100,000 in fiscal year 2011 is for 21.4compensation for honor guards at the 21.5funerals of veterans in accordance with the 21.6program established in Minnesota Statutes, 21.7section 197.231; and21.8(2) $200,000 in fiscal year 2010 and 21.9$200,000 in fiscal year 2011 are from the 21.10Support our Troops account for an increase 21.11in the CORE grant program.

21.12Sec. 3. VETERANS HOMES

21.13Of the appropriation in Laws 2009, chapter 21.1494, article 3, section 2, subdivision 3, or from 21.15funds carried forward from fiscal year 2009:21.16(1) $1,000,000 in fiscal year 2011 is for 21.17operational expenses related to the 21-bed 21.18addition at the Fergus Falls Veterans Home; 21.19and21.20(2) $113,000 in fiscal year 2011 is for start-up 21.21expenses related to the opening of an adult 21.22daycare facility at the Minneapolis Veterans 21.23Home.

21.24Sec. 4.REPORT TO THE LEGISLATURE

21.25By January 15, 2011, the commissioner shall 21.26report to the chairs and ranking minority 21.27members of the legislative committees and 21.28divisions with jurisdiction over veterans 21.29affairs policy and finance regarding any 21.30unexpended appropriations, revenues, or 21.31other actual or projected carryover money 21.32provided directly or indirectly through any 21.33provision in this article.22.1    Sec. 5. Minnesota Statutes 2009 Supplement, section 190.19, subdivision 2a, is 22.2amended to read:22.3    Subd. 2a. Uses; veterans. Money appropriated to the Department of Veterans 22.4Affairs from the Minnesota "Support Our Troops" account may be used for:22.5    (1) grants to veterans service organizations;22.6    (2) outreach to underserved veterans; and22.7(3) providing services and programs for veterans and their families; and22.8(4) transfers to the vehicle services account for Gold Star license plates under 22.9section 
         168.1253.22.10EFFECTIVE DATE.This section is effective the day following final enactment.22.11    Sec. 6. Minnesota Statutes 2009 Supplement, section 198.003, subdivision 4a, is 22.12amended to read:22.13    Subd. 4a. Federal funding. The commissioner is authorized to may apply for and,22.14accept, and spend federal funding for purposes of this section.22.15    Sec. 7. Laws 2009, chapter 94, article 3, section 2, subdivision 3, is amended to read:

22.16Subd. 3.Veterans Homes43,673,00043,916,000

22.17Veterans Homes Special Revenue Account.22.18The general fund appropriations made to 22.19the department may be transferred to a 22.20veterans homes special revenue account in 22.21the special revenue fund in the same manner 22.22as other receipts are deposited according 22.23to Minnesota Statutes, section 
         198.34, and 22.24are appropriated to the department for the 22.25operation of veterans homes facilities and 22.26programs.22.27Repair and Betterment. Of this 22.28appropriation, $1,000,000 in fiscal year 22.292010 and $500,000 in fiscal year 2011 22.30are to be used for repair, maintenance, 22.31rehabilitation, and betterment activities at 22.32facilities statewide.23.1Hastings Veterans Home. $220,000 each 23.2year is for increases in the mental health 23.3program at the Hastings Veterans Home.23.4Food. $92,000 in fiscal year 2010 and 23.5$189,000 in fiscal year 2011 are for increases 23.6in food costs at the Minnesota veterans 23.7homes.23.8Pharmaceuticals. $287,000 in fiscal year 23.92010 and $617,000 in fiscal year 2011 are for 23.10increases in pharmaceutical costs.23.11Fuel and Utilities. $277,000 in fiscal year 23.122010 and $593,000 in fiscal year 2011 are 23.13for increases in fuel and utility costs at the 23.14Minnesota veterans homes.23.15Medicare Part D. $141,000 in fiscal year 23.162010 and $141,000 in fiscal year 2011 are 23.17for implementation of Minnesota Statutes, 23.18section 
         198.003, subdivision 7.