1.1 	A bill for an act
1.2 	relating to state government; authorizing supplemental agriculture appropriations; 
1.3 	modifying appropriations; providing broadband appropriation transfer authority; 
1.4 	making policy and technical changes to agriculture provisions; establishing and 
1.5 	modifying agriculture programs; requiring an application for federal broadband 
1.6 	aid; requiring reports; appropriating money;amending Minnesota Statutes 2022, 
1.7 	sections 17.116, subdivision 2; 17.133, subdivision 1; 18C.70, subdivision 5; 
1.8 	18C.71, subdivision 4; 18C.80, subdivision 2; 28A.10; 31.94; 32D.30; 41B.047, 
1.9 	subdivision 1; 116J.396, by adding a subdivision; Minnesota Statutes 2023 
1.10 	Supplement, sections 17.055, subdivision 3; 17.133, subdivision 3; 18C.425, 
1.11 	subdivision 6; 35.155, subdivision 12; 41B.0391, subdivisions 1, 2, 4, 6; Laws 
1.12 	2023, chapter 43, article 1, section 2, subdivisions 1, 2, 3, 4, 5; repealing Minnesota 
1.13 	Statutes 2022, section 34.07.
1.14 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.15 	ARTICLE 1
1.16 	APPROPRIATIONS

1.17	Section 1. APPROPRIATIONS.
 	
1.18 	The sums shown in the columns marked "Appropriations" are added to or, if shown in 
1.19 	parenthesis, subtracted from the appropriation in Laws 2023, chapter 43, or appropriated 
1.20 	to the agencies and for the purposes specified in this article. The appropriations are from 
1.21 	the general fund or another named fund and are available for the fiscal years indicated for 
1.22 	each purpose. The figures "2024" and "2025" used in this article mean that the appropriations 
1.23 	listed under them are available for the fiscal year ending June 30, 2024, or June 30, 2025, 
1.24 	respectively. "The first year" is fiscal year 2024. "The second year" is fiscal year 2025. "The 
1.25 	biennium" is fiscal years 2024 and 2025.

1.26				APPROPRIATIONS
	
1.27				Available for the Year
	
2.1				Ending June 30
	
2.2					2024
		2025

2.3	Sec. 2. DEPARTMENT OF AGRICULTURE
 	$
	475,000
	$
	1,650,000
	
2.4 	(a) $750,000 the second year is for home water 
2.5 	treatment such as reverse osmosis treatment 
2.6 	for private wells that are tested at or above the 
2.7 	maximum contaminant level of 10 mg/L and 
2.8 	located in Dodge, Fillmore, Goodhue, 
2.9 	Houston, Mower, Olmsted, or Wabasha 
2.10 	County. Priority must be given to households 
2.11 	at or below 300 percent of the federal poverty 
2.12 	guidelines and households with infants and 
2.13 	pregnant individuals. This appropriation may 
2.14 	also be used for education, outreach, and 
2.15 	technical assistance to homeowners. 
2.16 	Notwithstanding Minnesota Statutes, section 
2.17 	16B.98, subdivision 14, the commissioner may 
2.18 	use up to 6.5 percent of this appropriation for 
2.19 	administrative costs. This appropriation is 
2.20 	available until June 30, 2027. This is a onetime 
2.21 	appropriation.
2.22 	By December 15 each year through 2027, the 
2.23 	commissioner must report to the chairs and 
2.24 	ranking minority members of the legislative 
2.25 	committees with jurisdiction over agriculture 
2.26 	and health detailing the use of this 
2.27 	appropriation and the number of households 
2.28 	served in each county.
2.29 	(b) $500,000 the second year is for the soil 
2.30 	health financial assistance program under 
2.31 	Minnesota Statutes, section 17.134, for 
2.32 	projects located in Dodge, Fillmore, Goodhue, 
2.33 	Houston, Mower, Olmsted, or Wabasha 
2.34 	County. The commissioner may award no 
2.35 	more than $50,000 of the appropriation each 
3.1 	year to a single recipient. Notwithstanding 
3.2 	Minnesota Statutes, section 16B.98, 
3.3 	subdivision 14, the commissioner may use up 
3.4 	to 6.5 percent of this appropriation for costs 
3.5 	incurred to administer the program. 
3.6 	Appropriations encumbered under contract on 
3.7 	or before June 30, 2025, for soil health 
3.8 	financial assistance grants are available until 
3.9 	June 30, 2027. This appropriation is in 
3.10 	addition to the appropriation in Laws 2023, 
3.11 	chapter 43, article 1, section 2, subdivision 2, 
3.12 	paragraph (b). This is a onetime appropriation.
3.13 	(c) $50,000 the first year is to convene a 
3.14 	working group of interested parties, including 
3.15 	representatives from the Department of 
3.16 	Natural Resources, to investigate and 
3.17 	recommend options for addressing crop and 
3.18 	fence destruction due to Cervidae. By 
3.19 	February 1, 2025, the commissioner must 
3.20 	submit a report on the findings and 
3.21 	recommendations of the working group to the 
3.22 	chairs and ranking minority members of the 
3.23 	legislative committees with jurisdiction over 
3.24 	agriculture policy and finance. 
3.25 	Notwithstanding Minnesota Statutes, section 
3.26 	16A.28, any unencumbered balance does not 
3.27 	cancel at the end of the first year and is 
3.28 	available in the second year. This is a onetime 
3.29 	appropriation.
3.30 	(d) $100,000 the second year is to develop and 
3.31 	enhance farm-to-school markets by providing 
3.32 	more fruits, vegetables, meat, poultry, grain, 
3.33 	and dairy for children in schools and early 
3.34 	childhood education centers, child care 
3.35 	centers, and family child care programs, 
4.1 	including, at the commissioner's discretion, 
4.2 	providing grants to reimburse schools, early 
4.3 	childhood education centers, child care 
4.4 	centers, and family child care programs for 
4.5 	purchasing equipment and agricultural 
4.6 	products. This appropriation is for the 
4.7 	agricultural growth, research, and innovation 
4.8 	program under Minnesota Statutes, section 
4.9 	41A.12. Any unencumbered balance at the 
4.10 	end of the second year may be used for other 
4.11 	purposes under the agricultural growth, 
4.12 	research, and innovation program and is 
4.13 	available until June 30, 2027. Notwithstanding 
4.14 	Minnesota Statutes, section 16B.98, 
4.15 	subdivision 14, the commissioner may use up 
4.16 	to 6.5 percent of this appropriation for 
4.17 	administrative costs. This appropriation is in 
4.18 	addition to the appropriation in Laws 2023, 
4.19 	chapter 43, article 1, section 2, subdivision 4, 
4.20 	paragraph (c). This is a onetime appropriation.
4.21 	(e) $300,000 the second year is for the 
4.22 	protecting livestock grant program for 
4.23 	producers to support the installation of 
4.24 	measures to prevent the transmission of avian 
4.25 	influenza. For the appropriation in this 
4.26 	paragraph, a grant applicant must document 
4.27 	a cost-share of 20 percent. An applicant's 
4.28 	cost-share amount may be reduced up to 
4.29 	$2,000 to cover time and labor costs. This 
4.30 	appropriation is for the agricultural growth, 
4.31 	research, and innovation program under 
4.32 	Minnesota Statutes, section 41A.12. 
4.33 	Notwithstanding Minnesota Statutes, section 
4.34 	16B.98, subdivision 14, the commissioner may 
4.35 	use up to 6.5 percent of this appropriation for 
4.36 	administrative costs. This appropriation is 
5.1 	available until June 30, 2027. This is a onetime 
5.2 	appropriation.
5.3 	(f) $375,000 the first year is to provide grants 
5.4 	to secondary career and technical education 
5.5 	programs for the purpose of offering 
5.6 	instruction in meat cutting and butchery. This 
5.7 	appropriation is for the agricultural growth, 
5.8 	research, and innovation program under 
5.9 	Minnesota Statutes, section 41A.12. 
5.10 	Notwithstanding Minnesota Statutes, section 
5.11 	16B.98, subdivision 14, the commissioner may 
5.12 	use up to 6.5 percent of this appropriation for 
5.13 	administrative costs. This is a onetime 
5.14 	appropriation. Notwithstanding Minnesota 
5.15 	Statutes, section 16A.28, any unencumbered 
5.16 	balance does not cancel at the end of the first 
5.17 	year and is available in the second year. Grants 
5.18 	may be used for costs, including but not 
5.19 	limited to:
5.20 	(1) equipment required for a meat cutting 
5.21 	program;
5.22 	(2) facility renovation to accommodate meat 
5.23 	cutting; and
5.24 	(3) training faculty to teach the fundamentals 
5.25 	of meat processing.
5.26 	A grant recipient may be awarded a grant of 
5.27 	up to $75,000 and may use up to ten percent 
5.28 	of the grant for faculty training. Priority may 
5.29 	be given to applicants who are coordinating 
5.30 	with meat cutting and butchery programs at 
5.31 	Minnesota State Colleges and Universities 
5.32 	institutions or with local industry partners.
5.33 	By January 15, 2025, the commissioner must 
5.34 	report to the chairs and ranking minority 
6.1 	members of the legislative committees with 
6.2 	jurisdiction over agriculture finance and 
6.3 	education finance by listing the grants made 
6.4 	under this paragraph by county and noting the 
6.5 	number and amount of grant requests not 
6.6 	fulfilled. The report may include additional 
6.7 	information as determined by the 
6.8 	commissioner, including but not limited to 
6.9 	information regarding the outcomes produced 
6.10 	by these grants. If additional grants are 
6.11 	awarded under this paragraph that were not 
6.12 	covered in the report due by January 15, 2025, 
6.13 	the commissioner must submit an additional 
6.14 	report to the chairs and ranking minority 
6.15 	members of the legislative committees with 
6.16 	jurisdiction over agriculture finance and 
6.17 	education finance regarding all grants issued 
6.18 	under this paragraph by November 1, 2025.
6.19 	(g) $50,000 the first year is  to prepare a report 
6.20 	on agricultural land trends. For the purposes 
6.21 	of this section, "agricultural land" means 
6.22 	property classified as class 2a agricultural land 
6.23 	or class 2b rural vacant land under Minnesota 
6.24 	Statutes, section 273.13, subdivision 23. The 
6.25 	report must include the following:
6.26 	(1) information about agricultural land sales, 
6.27 	including the price, number of acres, type of 
6.28 	buyer, and type of financing used;
6.29 	(2) information about agricultural land use, 
6.30 	including differences among regions; and
6.31 	(3) legislative recommendations for ensuring 
6.32 	that agricultural land is available to farmers.
6.33 	No data included in this report shall reveal 
6.34 	personally identifiable information. The 
7.1 	commissioner may contract with external 
7.2 	experts to develop this report and may 
7.3 	coordinate with the Department of Revenue, 
7.4 	University of Minnesota Extension, and 
7.5 	Minnesota State Colleges and Universities. 
7.6 	No later than January 3, 2025, the 
7.7 	commissioner must submit the report to the 
7.8 	chairs and ranking minority members of the 
7.9 	legislative committees and divisions with 
7.10 	jurisdiction over agriculture. Notwithstanding 
7.11 	Minnesota Statutes, section 16A.28, any 
7.12 	unencumbered balance does not cancel at the 
7.13 	end of the first year and is available in the 
7.14 	second year. This is a onetime appropriation.

7.15 	EFFECTIVE DATE. This section is effective the day following final enactment.

7.16 	Sec. 3. Laws 2023, chapter 43, article 1, section 2, subdivision 1, is amended to read:

7.187.17
	Subdivision 1.Total Appropriation
 	$
	92,025,000
88,025,000
	$
	72,223,000
76,643,000

7.19	Appropriations by Fund
	
7.20		2024
	2025
	
7.227.21
	General
	91,626,000
87,626,000
	71,824,000
76,244,000
	
7.23	Remediation
	399,000
	399,000
	
7.24 	The amounts that may be spent for each 
7.25 	purpose are specified in the following 
7.26 	subdivisions.

7.27 	Sec. 4. Laws 2023, chapter 43, article 1, section 2, subdivision 2, is amended to read:

7.28	Subd. 2.Protection Services

7.29	Appropriations by Fund
	
7.30		2024
	2025
	
7.327.31
	General
	32,034,000
	18,743,000
18,818,000
	
7.33	Remediation
	399,000
	399,000
	
8.1 	(a) $399,000 the first year and $399,000 the 
8.2 	second year are from the remediation fund for 
8.3 	administrative funding for the voluntary 
8.4 	cleanup program.
8.5 	(b) $625,000 the first year and $625,000 the 
8.6 	second year are for the soil health financial 
8.7 	assistance program under Minnesota Statutes, 
8.8 	section 17.134. The commissioner may award 
8.9 	no more than $50,000 of the appropriation 
8.10 	each year to a single recipient. The 
8.11 	commissioner may use up to 6.5 percent of 
8.12 	this appropriation for costs incurred to 
8.13 	administer the program. Any unencumbered 
8.14 	balance does not cancel at the end of the first 
8.15 	year and is available in the second year. 
8.16 	Appropriations encumbered under contract on 
8.17 	or before June 30, 2025, for soil health 
8.18 	financial assistance grants are available until 
8.19 	June 30, 2027. The base for this appropriation 
8.20 	is $639,000 in fiscal year 2026 and each year 
8.21 	thereafter.
8.22 	(c) $800,000 the first year is for transfer to the 
8.23 	pollinator research account established under 
8.24 	Minnesota Statutes, section 18B.051. The base 
8.25 	for this transfer is $100,000 in fiscal year 2026 
8.26 	and each year thereafter.
8.27 	(d) $150,000 the first year and $150,000 the 
8.28 	second year are for transfer to the noxious 
8.29 	weed and invasive plant species assistance 
8.30 	account established under Minnesota Statutes, 
8.31 	section 18.89, to award grants under 
8.32 	Minnesota Statutes, section 18.90, to counties, 
8.33 	municipalities, and other weed management 
8.34 	entities, including Minnesota Tribal 
9.1 	governments as defined in Minnesota Statutes, 
9.2 	section 10.65. This is a onetime appropriation.
9.3 	(e) $175,000 the first year and $175,000 the 
9.4 	second year are for compensation for 
9.5 	destroyed or crippled livestock under 
9.6 	Minnesota Statutes, section 3.737. The first 
9.7 	year appropriation may be spent to compensate 
9.8 	for livestock that were destroyed or crippled 
9.9 	during fiscal year 2023. If the amount in the 
9.10 	first year is insufficient, the amount in the 
9.11 	second year is available in the first year. The 
9.12 	commissioner may use up to $5,000 each year 
9.13 	to reimburse expenses incurred by university 
9.14 	extension educators to provide fair market 
9.15 	values of destroyed or crippled livestock. If 
9.16 	the commissioner receives federal dollars to 
9.17 	pay claims for destroyed or crippled livestock, 
9.18 	an equivalent amount of this appropriation 
9.19 	may be used to reimburse nonlethal prevention 
9.20 	methods performed by federal wildlife services 
9.21 	staff.
9.22 	(f) $155,000 the first year and $155,000
9.23 	$230,000 the second year are for compensation 
9.24 	for crop damage under Minnesota Statutes, 
9.25 	section 3.7371. If the amount in the first year 
9.26 	is insufficient, the amount in the second year 
9.27 	is available in the first year. The commissioner 
9.28 	may use up to $10,000 of the appropriation 
9.29 	each year to reimburse expenses incurred by 
9.30 	the commissioner or the commissioner's 
9.31 	approved agent to investigate and resolve 
9.32 	claims, as well as for costs associated with 
9.33 	training for approved agents. The 
9.34 	commissioner may use up to $40,000 of the 
9.35 	appropriation each year to make grants to 
10.1 	producers for measures to protect stored crops 
10.2 	from elk damage. If the commissioner 
10.3 	determines that claims made under Minnesota 
10.4 	Statutes, section 3.737 or 3.7371, are 
10.5 	unusually high, amounts appropriated for 
10.6 	either program may be transferred to the 
10.7 	appropriation for the other program. The base 
10.8 	for this appropriation is $155,000 in fiscal year 
10.9 	2026 and each year thereafter.
10.10 	(g) $825,000 the first year and $825,000 the 
10.11 	second year are to replace capital equipment 
10.12 	in the Department of Agriculture's analytical 
10.13 	laboratory.
10.14 	(h) $75,000 the first year and $75,000 the 
10.15 	second year are to support a meat processing 
10.16 	liaison position to assist new or existing meat 
10.17 	and poultry processing operations in getting 
10.18 	started, expanding, growing, or transitioning 
10.19 	into new business models.
10.20 	(i) $2,200,000 the first year and $1,650,000 
10.21 	the second year are additional funding to 
10.22 	maintain the current level of service delivery 
10.23 	for programs under this subdivision. The base 
10.24 	for this appropriation is $1,925,000 for fiscal 
10.25 	year 2026 and each year thereafter.
10.26 	(j) $250,000 the first year and $250,000 the 
10.27 	second year are for grants to organizations in 
10.28 	Minnesota to develop enterprises, supply 
10.29 	chains, and markets for continuous-living 
10.30 	cover crops and cropping systems in the early 
10.31 	stages of commercial development. For the 
10.32 	purposes of this paragraph, "continuous-living 
10.33 	cover crops and cropping systems" refers to 
10.34 	agroforestry, perennial biomass, perennial 
10.35 	forage, perennial grains, and winter-annual 
11.1 	cereal grains and oilseeds that have market 
11.2 	value as harvested or grazed commodities. By 
11.3 	February 1 each year, the commissioner must 
11.4 	submit a report to the chairs and ranking 
11.5 	minority members of the legislative 
11.6 	committees with jurisdiction over agriculture 
11.7 	finance and policy detailing uses of the funds 
11.8 	in this paragraph, including administrative 
11.9 	costs, and the achievements these funds 
11.10 	contributed to. The commissioner may use up 
11.11 	to 6.5 percent of this appropriation for 
11.12 	administrative costs. This is a onetime 
11.13 	appropriation.
11.14 	(k) $45,000 the first year and $45,000 the 
11.15 	second year are appropriated for 
11.16 	wolf-livestock conflict-prevention grants. The 
11.17 	commissioner may use some of this 
11.18 	appropriation to support nonlethal prevention 
11.19 	work performed by federal wildlife services. 
11.20 	This is a onetime appropriation.
11.21 	(l) $10,000,000 the first year is for transfer to 
11.22 	the grain indemnity account established in 
11.23 	Minnesota Statutes, section 223.24. This is a 
11.24 	onetime transfer.
11.25 	(m) $125,000 the first year and $125,000 the 
11.26 	second year are for the PFAS in pesticides 
11.27 	review. This is a onetime appropriation.
11.28 	(n) $1,941,000 the first year is for transfer to 
11.29 	the food handler license account. This is a 
11.30 	onetime transfer.

12.1 	Sec. 5. Laws 2023, chapter 43, article 1, section 2, subdivision 3, is amended to read:

12.2
12.3	Subd. 3.Agricultural Marketing and 
Development
 		5,165,000
		4,985,000
	
12.4 	(a) $150,000 the first year and $150,000 the 
12.5 	second year are to expand international trade 
12.6 	opportunities and markets for Minnesota 
12.7 	agricultural products.
12.8 	(b) $186,000 the first year and $186,000 the 
12.9 	second year are for transfer to the Minnesota 
12.10 	grown account and may be used as grants for 
12.11 	Minnesota grown promotion under Minnesota 
12.12 	Statutes, section 17.102. Notwithstanding 
12.13 	Minnesota Statutes, section 16A.28, the 
12.14 	appropriations encumbered under contract on 
12.15 	or before June 30, 2025, for Minnesota grown 
12.16 	grants in this paragraph are available until June 
12.17 	30, 2027.
12.18 	(c) $634,000 the first year and $634,000 the 
12.19 	second year are for the continuation of the 
12.20 	dairy development and profitability 
12.21 	enhancement programs, including dairy 
12.22 	profitability teams and dairy business planning 
12.23 	grants under Minnesota Statutes, section 
12.24 	32D.30.
12.25 	(d) The commissioner may use funds 
12.26 	appropriated in this subdivision for annual 
12.27 	cost-share payments to resident farmers or 
12.28 	entities that sell, process, or package 
12.29 	agricultural products in this state for the costs 
12.30 	of organic certification. The commissioner 
12.31 	may allocate these funds for assistance to 
12.32 	persons transitioning from conventional to 
12.33 	organic agriculture.
13.1 	(e) $600,000 the first year and $420,000 the 
13.2 	second year are to maintain the current level 
13.3 	of service delivery. The base for this 
13.4 	appropriation is $490,000 $510,000 for fiscal 
13.5 	year 2026 and each year thereafter.
13.6 	(f) $100,000 the first year and $100,000 the 
13.7 	second year are for mental health outreach and 
13.8 	support to farmers, ranchers, and others in the 
13.9 	agricultural community and for farm safety 
13.10 	grant and outreach programs under Minnesota 
13.11 	Statutes, section 17.1195. Mental health 
13.12 	outreach and support may include a 24-hour 
13.13 	hotline, stigma reduction, and education. 
13.14 	Notwithstanding Minnesota Statutes, section 
13.15 	16A.28, any unencumbered balance does not 
13.16 	cancel at the end of the first year and is 
13.17 	available in the second year. This is a onetime 
13.18 	appropriation.
13.19 	(g) $100,000 the first year and $100,000 the 
13.20 	second year are to award and administer grants 
13.21 	for infrastructure and other forms of financial 
13.22 	assistance to support EBT, SNAP, SFMNP, 
13.23 	and related programs at farmers markets.
13.24 	Grants may be used for staff costs associated 
13.25 	with program administration, compliance, and 
13.26 	reporting. The commissioner may use up to 
13.27 	6.5 percent of the appropriation each year to 
13.28 	administer the grant program. Notwithstanding 
13.29 	Minnesota Statutes, section 16A.28, any 
13.30 	unencumbered balance does not cancel at the 
13.31 	end of the first year and is available in the 
13.32 	second year. This is a onetime appropriation.
13.33 	(h) $200,000 the first year and $200,000 the 
13.34 	second year are to award cooperative grants 
13.35 	under Minnesota Statutes, section 17.1016. 
14.1 	The commissioner may use up to 6.5 percent 
14.2 	of the appropriation each year to administer 
14.3 	the grant program. Notwithstanding Minnesota 
14.4 	Statutes, section 16A.28, any unencumbered 
14.5 	balance does not cancel at the end of the first 
14.6 	year and is available in the second year. This 
14.7 	is a onetime appropriation.

14.8 	EFFECTIVE DATE. This section is effective the day following final enactment.

14.9 	Sec. 6. Laws 2023, chapter 43, article 1, section 2, subdivision 4, is amended to read:

14.10
14.11	Subd. 4.Agriculture, Bioenergy, and Bioproduct 
Advancement
 		37,809,000
33,809,000
		33,809,000
38,154,000
	
14.12 	(a) $10,702,000 the first year and $10,702,000 
14.13 	the second year are for the agriculture 
14.14 	research, education, extension, and technology 
14.15 	transfer program under Minnesota Statutes, 
14.16 	section 41A.14. Except as provided below, 
14.17 	the appropriation each year is for transfer to 
14.18 	the agriculture research, education, extension, 
14.19 	and technology transfer account under 
14.20 	Minnesota Statutes, section 41A.14, 
14.21 	subdivision 3, and the commissioner shall 
14.22 	transfer funds each year to the Board of 
14.23 	Regents of the University of Minnesota for 
14.24 	purposes of Minnesota Statutes, section 
14.25 	41A.14. To the extent practicable, money 
14.26 	expended under Minnesota Statutes, section 
14.27 	41A.14, subdivision 1, clauses (1) and (2), 
14.28 	must supplement and not supplant existing 
14.29 	sources and levels of funding. The 
14.30 	commissioner may use up to one percent of 
14.31 	this appropriation for costs incurred to 
14.32 	administer the program.
14.33 	Of the amount appropriated for the agriculture 
14.34 	research, education, extension, and technology 
15.1 	transfer grant program under Minnesota 
15.2 	Statutes, section 41A.14:
15.3 	(1) $600,000 the first year and $600,000 the 
15.4 	second year are for the Minnesota Agricultural 
15.5 	Experiment Station's agriculture rapid 
15.6 	response fund under Minnesota Statutes, 
15.7 	section 41A.14, subdivision 1, clause (2);
15.8 	(2) up to $1,000,000 the first year and up to 
15.9 	$1,000,000 the second year are for research 
15.10 	on avian influenza, salmonella, and other 
15.11 	turkey-related diseases and disease prevention 
15.12 	measures;
15.13 	(3) $2,250,000 the first year and $2,250,000 
15.14 	the second year are for grants to the Minnesota 
15.15 	Agricultural Education Leadership Council to 
15.16 	enhance agricultural education with priority 
15.17 	given to Farm Business Management 
15.18 	challenge grants;
15.19 	(4) $450,000 the first year is for the cultivated 
15.20 	wild rice breeding project at the North Central 
15.21 	Research and Outreach Center to include a 
15.22 	tenure track/research associate plant breeder;
15.23 	(5) $350,000 the first year and $350,000 the 
15.24 	second year are for potato breeding;
15.25 	(6) $802,000 the first year and $802,000 the 
15.26 	second year are to fund the Forever Green 
15.27 	Initiative and protect the state's natural 
15.28 	resources while increasing the efficiency, 
15.29 	profitability, and productivity of Minnesota 
15.30 	farmers by incorporating perennial and 
15.31 	winter-annual crops into existing agricultural 
15.32 	practices. The base for the allocation under 
15.33 	this clause is $802,000 in fiscal year 2026 and 
15.34 	each year thereafter. By February 1 each year, 
16.1 	the dean of the College of Food, Agricultural 
16.2 	and Natural Resource Sciences must submit 
16.3 	a report to the chairs and ranking minority 
16.4 	members of the legislative committees with 
16.5 	jurisdiction over agriculture finance and policy 
16.6 	and higher education detailing uses of the 
16.7 	funds in this paragraph, including 
16.8 	administrative costs, and the achievements 
16.9 	these funds contributed to; and
16.10 	(7) $350,000 each year is for farm-scale winter 
16.11 	greenhouse research and development 
16.12 	coordinated by University of Minnesota 
16.13 	Extension Regional Sustainable Development 
16.14 	Partnerships. The allocation in this clause is 
16.15 	onetime.;
16.16 	(8) $200,000 the second year is for research 
16.17 	on natural stands of wild rice; and
16.18 	(9) $250,000 the second year is for the 
16.19 	cultivated wild rice forward selection project 
16.20 	at the North Central Research and Outreach 
16.21 	Center, including a tenure track or research 
16.22 	associate plant scientist.
16.23 	(b) The base for the agriculture research, 
16.24 	education, extension, and technology transfer 
16.25 	program is $10,352,000 in fiscal year 2026 
16.26 	and $10,352,000 in fiscal year 2027.
16.27 	(c) $27,107,000 $23,107,000 the first year and 
16.28 	$23,107,000 the second year are is for the 
16.29 	agricultural growth, research, and innovation 
16.30 	program under Minnesota Statutes, section 
16.31 	41A.12. Except as provided below, the 
16.32 	commissioner may allocate this appropriation 
16.33 	each year among the following areas: 
16.34 	facilitating the start-up, modernization, 
17.1 	improvement, or expansion of livestock 
17.2 	operations, including beginning and 
17.3 	transitioning livestock operations with 
17.4 	preference given to robotic dairy-milking 
17.5 	equipment; assisting value-added agricultural 
17.6 	businesses to begin or expand, to access new 
17.7 	markets, or to diversify, including aquaponics 
17.8 	systems, with preference given to hemp fiber 
17.9 	processing equipment; facilitating the start-up, 
17.10 	modernization, or expansion of other 
17.11 	beginning and transitioning farms, including 
17.12 	by providing loans under Minnesota Statutes, 
17.13 	section 41B.056; sustainable agriculture 
17.14 	on-farm research and demonstration; the 
17.15 	development or expansion of food hubs and 
17.16 	other alternative community-based food 
17.17 	distribution systems; enhancing renewable 
17.18 	energy infrastructure and use; crop research, 
17.19 	including basic and applied turf seed research; 
17.20 	Farm Business Management tuition assistance; 
17.21 	and good agricultural practices and good 
17.22 	handling practices certification assistance. The 
17.23 	commissioner may use up to 6.5 percent of 
17.24 	this appropriation for costs incurred to 
17.25 	administer the program.
17.26 	Of the amount appropriated for the agricultural 
17.27 	growth, research, and innovation program 
17.28 	under Minnesota Statutes, section 41A.12:
17.29 	(1) $1,000,000 the first year and $1,000,000 
17.30 	the second year are is for distribution in equal 
17.31 	amounts to each of the state's county fairs to 
17.32 	preserve and promote Minnesota agriculture;
17.33 	(2) $5,750,000 the first year and $5,750,000 
17.34 	the second year are is for incentive payments 
17.35 	under Minnesota Statutes, sections 41A.16, 
18.1 	41A.17, 41A.18, and 41A.20. Notwithstanding 
18.2 	Minnesota Statutes, section 16A.28, the first 
18.3 	year appropriation is available until June 30, 
18.4 	2025, and the second year appropriation is 
18.5 	available until June 30, 2026. If this 
18.6 	appropriation exceeds the total amount for 
18.7 	which all producers are eligible in a fiscal 
18.8 	year, the balance of the appropriation is 
18.9 	available for other purposes under this 
18.10 	paragraph. The base under this clause is 
18.11 	$3,000,000 in fiscal year 2026 and each year 
18.12 	thereafter;
18.13 	(3) $3,375,000 the first year and $3,375,000 
18.14 	the second year are is for grants that enable 
18.15 	retail petroleum dispensers, fuel storage tanks, 
18.16 	and other equipment to dispense biofuels to 
18.17 	the public in accordance with the biofuel 
18.18 	replacement goals established under 
18.19 	Minnesota Statutes, section 239.7911. A retail 
18.20 	petroleum dispenser selling petroleum for use 
18.21 	in spark ignition engines for vehicle model 
18.22 	years after 2000 is eligible for grant money 
18.23 	under this clause if the retail petroleum 
18.24 	dispenser has no more than 1020 retail 
18.25 	petroleum dispensing sites and each site is 
18.26 	located in Minnesota. The grant money must 
18.27 	be used to replace or upgrade equipment that 
18.28 	does not have the ability to be certified for 
18.29 	E25. A grant award must not exceed 65 
18.30 	percent of the cost of the appropriate 
18.31 	technology. A grant award must not exceed 
18.32 	$200,000 per station. The commissioner must 
18.33 	cooperate with biofuel stakeholders in the 
18.34 	implementation of the grant program. The 
18.35 	commissioner, in cooperation with any 
18.36 	economic or community development 
19.1 	financial institution and any other entity with 
19.2 	which the commissioner contracts, must 
19.3 	submit a report on the biofuels infrastructure 
19.4 	financial assistance program by January 15 of 
19.5 	each year to the chairs and ranking minority 
19.6 	members of the legislative committees and 
19.7 	divisions with jurisdiction over agriculture 
19.8 	policy and finance. The annual report must 
19.9 	include but not be limited to a summary of the 
19.10 	following metrics: (i) the number and types 
19.11 	of projects financed; (ii) the amount of dollars 
19.12 	leveraged or matched per project; (iii) the 
19.13 	geographic distribution of financed projects; 
19.14 	(iv) any market expansion associated with 
19.15 	upgraded infrastructure; (v) the demographics 
19.16 	of the areas served; (vi) the costs of the 
19.17 	program; and (vii) the number of grants to 
19.18 	minority-owned or female-owned businesses. 
19.19 	The base under this clause is $3,000,000 for 
19.20 	fiscal year 2026 and each year thereafter;
19.21 	(4) $1,250,000 the first year and $1,250,000 
19.22 	the second year are is for grants to facilitate 
19.23 	the start-up, modernization, or expansion of 
19.24 	meat, poultry, egg, and milk processing 
19.25 	facilities. A grant award under this clause must 
19.26 	not exceed $200,000. Any unencumbered 
19.27 	balance at the end of the second year does not 
19.28 	cancel until June 30, 2026, and may be used 
19.29 	for other purposes under this paragraph. The 
19.30 	base under this clause is $250,000 in fiscal 
19.31 	year 2026 and each year thereafter;
19.32 	(5) $1,150,000 the first year and $1,150,000 
19.33 	the second year are for is to develop and 
19.34 	enhance farm-to-school markets for Minnesota 
19.35 	farmers by providing more fruits, vegetables, 
20.1 	meat, poultry, grain, and dairy for children in 
20.2 	school and schools, early childhood education 
20.3 	centers, child care centers, and family child 
20.4 	care programs, including, at the 
20.5 	commissioner's discretion, providing grants 
20.6 	to reimburse schools and, early childhood 
20.7 	education centers, child care centers, and 
20.8 	family child care programs, for purchasing 
20.9 	equipment and agricultural products. Of the 
20.10 	amount appropriated, $150,000 each year is 
20.11 	for a statewide coordinator of 
20.12 	farm-to-institution strategy and programming. 
20.13 	The coordinator must consult with relevant 
20.14 	stakeholders and provide technical assistance 
20.15 	and training for participating farmers and 
20.16 	eligible grant recipients. The base under this 
20.17 	clause is $1,294,000 in fiscal year 2026 and 
20.18 	each year thereafter;
20.19 	(6) $4,000,000 the first year is for Dairy 
20.20 	Assistance, Investment, Relief Initiative 
20.21 	(DAIRI) grants and other forms of financial 
20.22 	assistance to Minnesota dairy farms that enroll 
20.23 	in coverage under a federal dairy risk 
20.24 	protection program and produced no more 
20.25 	than 16,000,000 pounds of milk in 2022. The 
20.26 	commissioner must make DAIRI payments 
20.27 	based on the amount of milk produced in 
20.28 	2022, up to 5,000,000 pounds per participating 
20.29 	farm, at a rate determined by the commissioner 
20.30 	within the limits of available funding. Any 
20.31 	unencumbered balance does not cancel at the 
20.32 	end of the first year and is available in the 
20.33 	second year. Any unencumbered balance at 
20.34 	the end of the second year does not cancel 
20.35 	until June 30, 2026, and may be used for other 
21.1 	purposes under this paragraph. The allocation 
21.2 	in this clause is onetime;
21.3 	(7) (6) $2,000,000 the first year and 
21.4 	$2,000,000 the second year are is for urban 
21.5 	youth agricultural education or urban 
21.6 	agriculture community development; and
21.7 	(8) (7) $1,000,000 the first year and 
21.8 	$1,000,000 the second year are is for the good 
21.9 	food access program under Minnesota 
21.10 	Statutes, section 17.1017.
21.11 	Notwithstanding Minnesota Statutes, section 
21.12 	16A.28, any unencumbered balance does not 
21.13 	cancel at the end of the first year and is 
21.14 	available for the second year, and 
21.15 	appropriations encumbered under contract on 
21.16 	or before June 30, 2025, for agricultural 
21.17 	growth, research, and innovation grants are 
21.18 	available until June 30, 2028.
21.19 	(d) $27,452,000 the second year is for the 
21.20 	agricultural growth, research, and innovation 
21.21 	program under Minnesota Statutes, section 
21.22 	41A.12. Except as provided below, the 
21.23 	commissioner may allocate this appropriation 
21.24 	among the following areas: facilitating the 
21.25 	start-up, modernization, improvement, or 
21.26 	expansion of livestock operations, including 
21.27 	beginning and transitioning livestock 
21.28 	operations with preference given to robotic 
21.29 	dairy-milking equipment; assisting 
21.30 	value-added agricultural businesses to begin 
21.31 	or expand, to access new markets, or to 
21.32 	diversify, including aquaponics systems, with 
21.33 	preference given to hemp fiber processing 
21.34 	equipment; facilitating the start-up, 
21.35 	modernization, or expansion of other 
22.1 	beginning and transitioning farms, including 
22.2 	by providing loans under Minnesota Statutes, 
22.3 	section 41B.056; sustainable agriculture 
22.4 	on-farm research and demonstration; the 
22.5 	development or expansion of food hubs and 
22.6 	other alternative community-based food 
22.7 	distribution systems; enhancing renewable 
22.8 	energy infrastructure and use; crop research, 
22.9 	including basic and applied turf seed research; 
22.10 	Farm Business Management tuition assistance; 
22.11 	and good agricultural practices and good 
22.12 	handling practices certification assistance. The 
22.13 	commissioner may use up to 6.5 percent of 
22.14 	this appropriation for costs incurred to 
22.15 	administer the program.
22.16 	Of the amount appropriated for the agricultural 
22.17 	growth, research, and innovation program 
22.18 	under Minnesota Statutes, section 41A.12:
22.19 	(1) $1,000,000 the second year is for 
22.20 	distribution in equal amounts to each of the 
22.21 	state's county fairs to preserve and promote 
22.22 	Minnesota agriculture;
22.23 	(2) $5,750,000 the second year is for incentive 
22.24 	payments under Minnesota Statutes, sections 
22.25 	41A.16, 41A.17, 41A.18, and 41A.20. 
22.26 	Notwithstanding Minnesota Statutes, section 
22.27 	16A.28, this appropriation is available until 
22.28 	June 30, 2027. If this appropriation exceeds 
22.29 	the total amount for which all producers are 
22.30 	eligible in a fiscal year, the balance of the 
22.31 	appropriation is available for other purposes 
22.32 	under this paragraph. The base under this 
22.33 	clause is $3,000,000 in fiscal year 2026 and 
22.34 	each year thereafter;
23.1 	(3) $3,375,000 the second year is for grants 
23.2 	that enable retail petroleum dispensers, fuel 
23.3 	storage tanks, and other equipment to dispense 
23.4 	biofuels to the public in accordance with the 
23.5 	biofuel replacement goals established under 
23.6 	Minnesota Statutes, section 239.7911. A retail 
23.7 	petroleum dispenser selling petroleum for use 
23.8 	in spark ignition engines for vehicle model 
23.9 	years after 2000 is eligible for grant money 
23.10 	under this clause if the retail petroleum 
23.11 	dispenser has no more than 20 retail petroleum 
23.12 	dispensing sites and each site is located in 
23.13 	Minnesota. The grant money must be used to 
23.14 	replace or upgrade equipment that does not 
23.15 	have the ability to be certified for E25. A grant 
23.16 	award must not exceed 65 percent of the cost 
23.17 	of the appropriate technology. A grant award 
23.18 	must not exceed $200,000 per station. The 
23.19 	commissioner must cooperate with biofuel 
23.20 	stakeholders in the implementation of the grant 
23.21 	program. The commissioner, in cooperation 
23.22 	with any economic or community development 
23.23 	financial institution and any other entity with 
23.24 	which the commissioner contracts, must 
23.25 	submit a report on the biofuels infrastructure 
23.26 	financial assistance program by January 15 of 
23.27 	each year to the chairs and ranking minority 
23.28 	members of the legislative committees and 
23.29 	divisions with jurisdiction over agriculture 
23.30 	policy and finance. The annual report must 
23.31 	include but not be limited to a summary of the 
23.32 	following metrics: (i) the number and types 
23.33 	of projects financed; (ii) the amount of dollars 
23.34 	leveraged or matched per project; (iii) the 
23.35 	geographic distribution of financed projects; 
23.36 	(iv) any market expansion associated with 
24.1 	upgraded infrastructure; (v) the demographics 
24.2 	of the areas served; (vi) the costs of the 
24.3 	program; and (vii) the number of grants to 
24.4 	minority-owned or female-owned businesses. 
24.5 	The base under this clause is $3,000,000 for 
24.6 	fiscal year 2026 and each year thereafter;
24.7 	(4) $1,250,000 the second year is for grants 
24.8 	to facilitate the start-up, modernization, or 
24.9 	expansion of meat, poultry, egg, and milk 
24.10 	processing facilities. A grant award under this 
24.11 	clause must not exceed $200,000. Any 
24.12 	unencumbered balance at the end of the second 
24.13 	year does not cancel until June 30, 2027, and 
24.14 	may be used for other purposes under this 
24.15 	paragraph. The base under this clause is 
24.16 	$250,000 in fiscal year 2026 and each year 
24.17 	thereafter;
24.18 	(5) $1,150,000 the first year is to develop and 
24.19 	enhance farm-to-school markets for Minnesota 
24.20 	farmers by providing more fruits, vegetables, 
24.21 	meat, poultry, grain, and dairy for children in 
24.22 	schools, early childhood education centers, 
24.23 	child care centers, and family child care 
24.24 	programs, including, at the commissioner's 
24.25 	discretion, providing grants to reimburse 
24.26 	schools, early childhood education centers, 
24.27 	child care centers, and family child care 
24.28 	programs for purchasing equipment and 
24.29 	agricultural products. Of the amount 
24.30 	appropriated, $150,000 each year is for a 
24.31 	statewide coordinator of farm-to-institution 
24.32 	strategy and programming. The coordinator 
24.33 	must consult with relevant stakeholders and 
24.34 	provide technical assistance and training for 
24.35 	participating farmers and eligible grant 
25.1 	recipients. The base under this clause is 
25.2 	$1,294,000 in fiscal year 2026 and each year 
25.3 	thereafter;
25.4 	(6) $4,000,000 the second year is for Dairy 
25.5 	Assistance, Investment, Relief Initiative 
25.6 	(DAIRI) grants and other forms of financial 
25.7 	assistance to Minnesota dairy farms that enroll 
25.8 	in coverage under a federal dairy risk 
25.9 	protection program and produced no more 
25.10 	than 16,000,000 pounds of milk in 2022. The 
25.11 	commissioner must make DAIRI payments 
25.12 	based on the amount of milk produced in 
25.13 	2022, up to 5,000,000 pounds per participating 
25.14 	farm, at a rate determined by the commissioner 
25.15 	within the limits of available funding. Any 
25.16 	unencumbered balance on June 30, 2026, may 
25.17 	be used for other purposes under this 
25.18 	paragraph. The allocation in this clause is 
25.19 	onetime;
25.20 	(7) $2,000,000 the second year is for urban 
25.21 	youth agricultural education or urban 
25.22 	agriculture community development; and
25.23 	(8) $1,000,000 the second year is for the good 
25.24 	food access program under Minnesota 
25.25 	Statutes, section 17.1017.
25.26 	Notwithstanding Minnesota Statutes, section 
25.27 	16A.28, this appropriation does not cancel at 
25.28 	the end of the second year and is available 
25.29 	until June 30, 2027. Appropriations 
25.30 	encumbered under contract on or before June 
25.31 	30, 2027, for agricultural growth, research, 
25.32 	and innovation grants are available until June 
25.33 	30, 2030.
26.1 	(d) (e) The base for the agricultural growth, 
26.2 	research, and innovation program is 
26.3 	$16,294,000 $17,582,000 in fiscal year 2026 
26.4 	and each year thereafter and includes $200,000 
26.5 	each year for cooperative development grants.

26.6 	Sec. 7. Laws 2023, chapter 43, article 1, section 2, subdivision 5, is amended to read:

26.7
26.8	Subd. 5.Administration and Financial 
Assistance
 		16,618,000
		14,287,000
	
26.9 	(a) $474,000 the first year and $474,000 the 
26.10 	second year are for payments to county and 
26.11 	district agricultural societies and associations 
26.12 	under Minnesota Statutes, section 38.02, 
26.13 	subdivision 1. Aid payments to county and 
26.14 	district agricultural societies and associations 
26.15 	must be disbursed no later than July 15 of each 
26.16 	year. These payments are the amount of aid 
26.17 	from the state for an annual fair held in the 
26.18 	previous calendar year.
26.19 	(b) $350,000 the first year and $350,000 the 
26.20 	second year are for grants to the Minnesota 
26.21 	Agricultural Education and Leadership 
26.22 	Council for programs of the council under 
26.23 	Minnesota Statutes, chapter 41D. The base for 
26.24 	this appropriation is $250,000 in fiscal year 
26.25 	2026 and each year thereafter.
26.26 	(c) $2,000 the first year is for a grant to the 
26.27 	Minnesota State Poultry Association. This is 
26.28 	a onetime appropriation. Notwithstanding 
26.29 	Minnesota Statutes, section 16A.28, any 
26.30 	unencumbered balance does not cancel at the 
26.31 	end of the first year and is available for the 
26.32 	second year.
26.33 	(d) $18,000 the first year and $18,000 the 
26.34 	second year are for grants to the Minnesota 
27.1 	Livestock Breeders Association. This is a 
27.2 	onetime appropriation.
27.3 	(e) $60,000 the first year and $60,000 the 
27.4 	second year are for grants to the Northern 
27.5 	Crops Institute that may be used to purchase 
27.6 	equipment. This is a onetime appropriation.
27.7 	(f) $34,000 the first year and $34,000 the 
27.8 	second year are for grants to the Minnesota 
27.9 	State Horticultural Society. This is a onetime 
27.10 	appropriation.
27.11 	(g) $25,000 the first year and $25,000 the 
27.12 	second year are for grants to the Center for 
27.13 	Rural Policy and Development. This is a 
27.14 	onetime appropriation.
27.15 	(h) $75,000 the first year and $75,000 the 
27.16 	second year are appropriated from the general 
27.17 	fund to the commissioner of agriculture for 
27.18 	grants to the Minnesota Turf Seed Council for 
27.19 	basic and applied research on: (1) the 
27.20 	improved production of forage and turf seed 
27.21 	related to new and improved varieties; and (2) 
27.22 	native plants, including plant breeding, 
27.23 	nutrient management, pest management, 
27.24 	disease management, yield, and viability. The 
27.25 	Minnesota Turf Seed Council may subcontract 
27.26 	with a qualified third party for some or all of 
27.27 	the basic or applied research. Any 
27.28 	unencumbered balance does not cancel at the 
27.29 	end of the first year and is available in the 
27.30 	second year. The Minnesota Turf Seed Council 
27.31 	must prepare a report outlining the use of the 
27.32 	grant money and related accomplishments. No 
27.33 	later than January 15, 2025, the council must 
27.34 	submit the report to the chairs and ranking 
27.35 	minority members of the legislative 
28.1 	committees and divisions with jurisdiction 
28.2 	over agriculture finance and policy. This is a 
28.3 	onetime appropriation.
28.4 	(i) $100,000 the first year and $100,000 the 
28.5 	second year are for grants to GreenSeam for 
28.6 	assistance to agriculture-related businesses to 
28.7 	support business retention and development, 
28.8 	business attraction and creation, talent 
28.9 	development and attraction, and regional 
28.10 	branding and promotion. These are onetime 
28.11 	appropriations. No later than December 1, 
28.12 	2024, and December 1, 2025, GreenSeam 
28.13 	must report to the chairs and ranking minority 
28.14 	members of the legislative committees with 
28.15 	jurisdiction over agriculture and rural 
28.16 	development with information on new and 
28.17 	existing businesses supported, number of new 
28.18 	jobs created in the region, new educational 
28.19 	partnerships and programs supported, and 
28.20 	regional branding and promotional efforts.
28.21 	(j) $1,950,000 the first year and $1,950,000 
28.22 	the second year are for grants to Second 
28.23 	Harvest Heartland on behalf of Minnesota's 
28.24 	six Feeding America food banks for the 
28.25 	following purposes:
28.26 	(1) at least $850,000 each year must be 
28.27 	allocated to purchase milk for distribution to 
28.28 	Minnesota's food shelves and other charitable 
28.29 	organizations that are eligible to receive food 
28.30 	from the food banks. Milk purchased under 
28.31 	the grants must be acquired from Minnesota 
28.32 	milk processors and based on low-cost bids. 
28.33 	The milk must be allocated to each Feeding 
28.34 	America food bank serving Minnesota 
28.35 	according to the formula used in the 
29.1 	distribution of United States Department of 
29.2 	Agriculture commodities under The 
29.3 	Emergency Food Assistance Program. Second 
29.4 	Harvest Heartland may enter into contracts or 
29.5 	agreements with food banks for shared funding 
29.6 	or reimbursement of the direct purchase of 
29.7 	milk. Each food bank that receives funding 
29.8 	under this clause may use up to two percent 
29.9 	for administrative expenses. Notwithstanding 
29.10 	Minnesota Statutes, section 16A.28, any 
29.11 	unencumbered balance the first year does not 
29.12 	cancel and is available the second year;
29.13 	(2) to compensate agricultural producers and 
29.14 	processors for costs incurred to harvest and 
29.15 	package for transfer surplus fruits, vegetables, 
29.16 	and other agricultural commodities that would 
29.17 	otherwise go unharvested, be discarded, or be 
29.18 	sold in a secondary market. Surplus 
29.19 	commodities must be distributed statewide to 
29.20 	food shelves and other charitable organizations 
29.21 	that are eligible to receive food from the food 
29.22 	banks. Surplus food acquired under this clause 
29.23 	must be from Minnesota producers and 
29.24 	processors. Second Harvest Heartland may 
29.25 	use up to 15 percent of each grant awarded 
29.26 	under this clause for administrative and 
29.27 	transportation expenses; and
29.28 	(3) to purchase and distribute protein products, 
29.29 	including but not limited to pork, poultry, beef, 
29.30 	dry legumes, cheese, and eggs to Minnesota's 
29.31 	food shelves and other charitable organizations 
29.32 	that are eligible to receive food from the food 
29.33 	banks. Second Harvest Heartland may use up 
29.34 	to two percent of each grant awarded under 
29.35 	this clause for administrative expenses. Protein 
30.1 	products purchased under the grants must be 
30.2 	acquired from Minnesota processors and 
30.3 	producers.
30.4 	Second Harvest Heartland must submit 
30.5 	quarterly reports to the commissioner and the 
30.6 	chairs and ranking minority members of the 
30.7 	legislative committees with jurisdiction over 
30.8 	agriculture finance in the form prescribed by 
30.9 	the commissioner. The reports must include 
30.10 	but are not limited to information on the 
30.11 	expenditure of funds, the amount of milk or 
30.12 	other commodities purchased, and the 
30.13 	organizations to which this food was 
30.14 	distributed. The base for this appropriation is 
30.15 	$1,700,000 for fiscal year 2026 and each year 
30.16 	thereafter.
30.17 	(k) $25,000 the first year and $25,000 the 
30.18 	second year are for grants to the Southern 
30.19 	Minnesota Initiative Foundation to promote 
30.20 	local foods through an annual event that raises 
30.21 	public awareness of local foods and connects 
30.22 	local food producers and processors with 
30.23 	potential buyers.
30.24 	(l) $300,000 the first year and $300,000 the 
30.25 	second year are for grants to The Good Acre 
30.26 	for the Local Emergency Assistance Farmer 
30.27 	Fund (LEAFF) program to compensate 
30.28 	emerging farmers for crops donated to hunger 
30.29 	relief organizations in Minnesota. This is a 
30.30 	onetime appropriation.
30.31 	(m) $750,000 the first year and $750,000 the 
30.32 	second year are to expand the Emerging 
30.33 	Farmers Office and provide services to 
30.34 	beginning and emerging farmers to increase 
30.35 	connections between farmers and market 
31.1 	opportunities throughout the state. This 
31.2 	appropriation may be used for grants, 
31.3 	translation services, training programs, or 
31.4 	other purposes in line with the 
31.5 	recommendations of the Emerging Farmer 
31.6 	Working Group established under Minnesota 
31.7 	Statutes, section 17.055, subdivision 1. The 
31.8 	base for this appropriation is $1,000,000 in 
31.9 	fiscal year 2026 and each year thereafter.
31.10 	(n) $50,000 the first year is to provide 
31.11 	technical assistance and leadership in the 
31.12 	development of a comprehensive and 
31.13 	well-documented state aquaculture plan. The 
31.14 	commissioner must provide the state 
31.15 	aquaculture plan to the legislative committees 
31.16 	with jurisdiction over agriculture finance and 
31.17 	policy by February 15, 2025.
31.18 	(o) $337,000 the first year and $337,000 the 
31.19 	second year are for farm advocate services. 
31.20 	Of these amounts, $50,000 the first year and 
31.21 	$50,000 the second year are for the 
31.22 	continuation of the farmland transition 
31.23 	programs and may be used for grants to 
31.24 	farmland access teams to provide technical 
31.25 	assistance to potential beginning farmers. 
31.26 	Farmland access teams must assist existing 
31.27 	farmers and beginning farmers with 
31.28 	transitioning farm ownership and farm 
31.29 	operation. Services provided by teams may 
31.30 	include but are not limited to mediation 
31.31 	assistance, designing contracts, financial 
31.32 	planning, tax preparation, estate planning, and 
31.33 	housing assistance.
31.34 	(p) $260,000 the first year and $260,000 the 
31.35 	second year are for a pass-through grant to 
32.1 	Region Five Development Commission to 
32.2 	provide, in collaboration with Farm Business 
32.3 	Management, statewide mental health 
32.4 	counseling support to Minnesota farm 
32.5 	operators, families, and employees, and 
32.6 	individuals who work with Minnesota farmers 
32.7 	in a professional capacity. Region Five 
32.8 	Development Commission may use up to 6.5 
32.9 	percent of the grant awarded under this 
32.10 	paragraph for administration.
32.11 	(q) $1,000,000 the first year is for transfer to 
32.12 	the agricultural emergency account established 
32.13 	under Minnesota Statutes, section 17.041.
32.14 	(r) $1,084,000 the first year and $500,000 the 
32.15 	second year are to support IT modernization 
32.16 	efforts, including laying the technology 
32.17 	foundations needed for improving customer 
32.18 	interactions with the department for licensing 
32.19 	and payments. This is a onetime appropriation.
32.20 	(s) $275,000 the first year is for technical 
32.21 	assistance grants to certified community 
32.22 	development financial institutions that 
32.23 	participate in United States Department of 
32.24 	Agriculture loan or grant programs for small 
32.25 	or emerging farmers, including but not limited 
32.26 	to the Increasing Land, Capital, and Market 
32.27 	Access Program. For purposes of this 
32.28 	paragraph, "emerging farmer" has the meaning 
32.29 	given in Minnesota Statutes, section 17.055, 
32.30 	subdivision 1. The commissioner may use up 
32.31 	to 6.5 percent of this appropriation for costs 
32.32 	incurred to administer the program. 
32.33 	Notwithstanding Minnesota Statutes, section 
32.34 	16A.28, any unencumbered balance does not 
32.35 	cancel at the end of the first year and is 
33.1 	available in the second year. This is a onetime 
33.2 	appropriation.
33.3 	(t) $1,425,000 the first year and $1,425,000 
33.4 	the second year are for transfer to the 
33.5 	agricultural and environmental revolving loan 
33.6 	account established under Minnesota Statutes, 
33.7 	section 17.117, subdivision 5a, for low-interest 
33.8 	loans under Minnesota Statutes, section 
33.9 	17.117.
33.10 	(u) $150,000 the first year and $150,000 the 
33.11 	second year are for administrative support for 
33.12 	the Rural Finance Authority.
33.13 	(v) The base in fiscal years 2026 and 2027 is 
33.14 	$150,000 each year to coordinate 
33.15 	climate-related activities and services within 
33.16 	the Department of Agriculture and 
33.17 	counterparts in local, state, and federal 
33.18 	agencies and to hire a full-time climate 
33.19 	implementation coordinator. The climate 
33.20 	implementation coordinator must coordinate 
33.21 	efforts seeking federal funding for Minnesota's 
33.22 	agricultural climate adaptation and mitigation 
33.23 	efforts and develop strategic partnerships with 
33.24 	the private sector and nongovernment 
33.25 	organizations.
33.26 	(w) $1,200,000 the first year and $930,000 the 
33.27 	second year are to maintain the current level 
33.28 	of service delivery. The base for this 
33.29 	appropriation is $1,085,000 $1,065,000 in 
33.30 	fiscal year 2026 and $1,085,000 $1,065,000
33.31 	in fiscal year 2027.
33.32 	(x) $250,000 the first year is for a grant to the 
33.33 	Board of Regents of the University of 
33.34 	Minnesota to purchase equipment for the 
34.1 	Veterinary Diagnostic Laboratory to test for 
34.2 	chronic wasting disease, African swine fever, 
34.3 	avian influenza, and other animal diseases. 
34.4 	The Veterinary Diagnostic Laboratory must 
34.5 	report expenditures under this paragraph to 
34.6 	the legislative committees with jurisdiction 
34.7 	over agriculture finance and higher education 
34.8 	with a report submitted by January 3, 2024, 
34.9 	and a final report submitted by December 31, 
34.10 	2024. The reports must include a list of 
34.11 	equipment purchased, including the cost of 
34.12 	each item.
34.13 	(y) $1,000,000 the first year and $1,000,000 
34.14 	the second year are to award and administer 
34.15 	down payment assistance grants under 
34.16 	Minnesota Statutes, section 17.133, with 
34.17 	priority given to emerging farmers
34.18 	experiencing limited land access as defined in 
34.19 	Minnesota Statutes, section 17.055, 
34.20 	subdivision 1 17.133, subdivision 1, or farmers 
34.21 	who had a net farm profit of $100,000 or less 
34.22 	the previous year. Notwithstanding Minnesota 
34.23 	Statutes, section 16A.28, any unencumbered 
34.24 	balance at the end of the first year does not 
34.25 	cancel and is available in the second year and 
34.26 	appropriations encumbered under contract by 
34.27 	June 30, 2025, are available until June 30, 
34.28 	2027.
34.29 	(z) $222,000 the first year and $322,000 the 
34.30 	second year are for meat processing training 
34.31 	and retention incentive grants under section 
34.32 	5. The commissioner may use up to 6.5 
34.33 	percent of this appropriation for costs incurred 
34.34 	to administer the program. Notwithstanding 
34.35 	Minnesota Statutes, section 16A.28, any 
35.1 	unencumbered balance does not cancel at the 
35.2 	end of the first year and is available in the 
35.3 	second year. This is a onetime appropriation.
35.4 	(aa) $300,000 the first year and $300,000 the 
35.5 	second year are for transfer to the Board of 
35.6 	Regents of the University of Minnesota to 
35.7 	evaluate, propagate, and maintain the genetic 
35.8 	diversity of oilseeds, grains, grasses, legumes, 
35.9 	and other plants including flax, timothy, 
35.10 	barley, rye, triticale, alfalfa, orchard grass, 
35.11 	clover, and other species and varieties that 
35.12 	were in commercial distribution and use in 
35.13 	Minnesota before 1970, excluding wild rice. 
35.14 	This effort must also protect traditional seeds 
35.15 	brought to Minnesota by immigrant 
35.16 	communities. This appropriation includes 
35.17 	funding for associated extension and outreach 
35.18 	to small and Black, Indigenous, and People of 
35.19 	Color (BIPOC) farmers. This is a onetime 
35.20 	appropriation.
35.21 	(bb) The commissioner shall continue to 
35.22 	increase connections with ethnic minority and 
35.23 	immigrant farmers to farming opportunities 
35.24 	and farming programs throughout the state.

35.25 	Sec. 8. COMMISSIONER OF HEALTH; APPROPRIATIONS.
 35.26 	(a) $2,000,000 in fiscal year 2025 is appropriated from the general fund to the 
35.27 	commissioner of health to establish a mitigation program for contaminated wells, including 
35.28 	testing, repairing, and replacing wells and providing home water treatment, such as reverse 
35.29 	osmosis treatment, for private wells that are tested at or above the maximum contaminant 
35.30 	level of 10 mg/L located in Dodge, Fillmore, Goodhue, Houston, Mower, Olmsted, or 
35.31 	Wabasha County. This appropriation is available until June 30, 2027. This is a onetime 
35.32 	appropriation. Notwithstanding Minnesota Statutes, section 16B.98, subdivision 14, the 
35.33 	commissioner may use up to 6.5 percent of this appropriation for administrative costs.
36.1 	(b) By December 15 each year through 2027, the commissioner must report to the chairs 
36.2 	and ranking minority members of the legislative committees with jurisdiction over agriculture 
36.3 	and health detailing the use of the appropriation in this section and the number of households 
36.4 	served in each county.

36.5 	ARTICLE 2
36.6 	AGRICULTURE POLICY

36.7 	Section 1. Minnesota Statutes 2023 Supplement, section 17.055, subdivision 3, is amended 
36.8 	to read:
36.9 		Subd. 3.Beginning farmer equipment and infrastructure grants. (a) The commissioner 
36.10 	may award and administer equipment and infrastructure grants to beginning farmers. The 
36.11 	commissioner shall give preference to applicants who are emerging farmers experiencing 
36.12 	limited land access as defined in section 17.133, subdivision 1. Grant money may be used 
36.13 	for equipment and infrastructure development.
36.14 	(b) The commissioner shall develop competitive eligibility criteria and may allocate 
36.15 	grants on a needs basis.
36.16 	(c) Grant projects may continue for up to two years.

36.17 	Sec. 2. Minnesota Statutes 2022, section 17.116, subdivision 2, is amended to read:
36.18 		Subd. 2.Eligibility. (a) Grants may only be made to farmers,and organizations such as 
36.19 	farms, agricultural cooperatives, educational institutions, individuals at educational 
36.20 	institutions, or nonprofit organizations, Tribal governments, or local units of government
36.21 	residing or located in the state for research or demonstrations on farms in the state.
36.22 	(b) Grants may only be made for projects that show:
36.23 	(1) the ability to maximize direct or indirect energy savings or production;
36.24 	(2) a positive effect or reduced adverse effect on the environment; or
36.25 	(3) increased profitability for the individual farm by reducing costs or improving 
36.26 	marketing opportunities.

36.27 	Sec. 3. Minnesota Statutes 2022, section 17.133, subdivision 1, is amended to read:
36.28 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
36.29 	the meanings given.
36.30 	(b) "Eligible farmer" means an individual who at the time that the grant is awarded:
37.1 	(1) is a resident of Minnesota who intends to acquire farmland located within the state 
37.2 	and provide the majority of the day-to-day physical labor and management of the farm;
37.3 	(2) has participated in the business operation of a farm for at least three years;
37.4 	(2) (3) grosses no more than $250,000 per year from the sale of farm products; and
37.5 	(3) (4) has not, and whose spouse has not, at any time had a direct or indirect ownership 
37.6 	interest in farmland.
37.7 	(c) "Farm down payment" means an initial, partial payment required by a lender or seller 
37.8 	to purchase farmland.
37.9 	(d) "Incubator farm" means a farm where people are given temporary, exclusive, and 
37.10 	affordable access to small parcels of land, infrastructure, and often training, for the purposes 
37.11 	of honing skills and launching farm businesses.
37.12 	(e) "Limited land access" means farming without ownership of land and:
37.13 	(1) under a lease or other rental arrangement of no more than three years in duration 
37.14 	when the person leasing or renting the land is not related to the lessee or renter by blood or 
37.15 	marriage;
37.16 	(2) farming by renting land from an incubator farm as defined in this section;
37.17 	(3) farming with no current lease or other rental arrangement; or
37.18 	(4) farming where access to land is constrained by Tribal land ownership patterns, 
37.19 	treaties, or federal and Tribal laws and regulations.

37.20 	Sec. 4. Minnesota Statutes 2023 Supplement, section 17.133, subdivision 3, is amended 
37.21 	to read:
37.22 		Subd. 3.Report to legislature. No later than December 1, 2023, and annually thereafter, 
37.23 	the commissioner must provide a report to the chairs and ranking minority members of the 
37.24 	legislative committees having jurisdiction over agriculture and rural development, in 
37.25 	compliance with sections 3.195 and 3.197, on the farm down payment assistance grants 
37.26 	under this section. The report must include:
37.27 	(1) background information on beginning farmers in Minnesota and any other information 
37.28 	that the commissioner and authority find relevant to evaluating the effect of the grants on 
37.29 	increasing opportunities for and the number of beginning farmers;
37.30 	(2) the number and amount of grants;
37.31 	(3) the geographic distribution of grants by county;
38.1 	(4) the number of grant recipients who are emerging farmers experiencing limited land 
38.2 	access or who have a net farm profit of $100,000 or less the previous year;
38.3 	(5) disaggregated data regarding the gender, race, and ethnicity of grant recipients;
38.4 	(6) the number of farmers who cease to own land and are subject to payment of a penalty, 
38.5 	along with the reasons for the land ownership cessation; and
38.6 	(7) the number and amount of grant applications that exceeded the allocation available 
38.7 	in each year.

38.8 	Sec. 5. Minnesota Statutes 2023 Supplement, section 18C.425, subdivision 6, is amended 
38.9 	to read:
38.10 		Subd. 6.Payment of inspection fee. (a) The person who registers and distributes in the 
38.11 	state a specialty fertilizer, soil amendment, or plant amendment under section 18C.411 shall 
38.12 	pay the inspection fee to the commissioner.
38.13 	(b) The person licensed under section 18C.415 who distributes a fertilizer to a person 
38.14 	not required to be so licensed shall pay the inspection fee to the commissioner, except as 
38.15 	exempted under section 18C.421, subdivision 1, paragraph (b).
38.16 	(c) The person responsible for payment of the inspection fees for fertilizers, soil 
38.17 	amendments, or plant amendments sold and used in this state must pay the inspection fee 
38.18 	set under paragraph (e), and until June 30, 2024 2034, an additional 40 cents per ton, of 
38.19 	fertilizer, soil amendment, and plant amendment sold or distributed in this state, with a 
38.20 	minimum of $10 on all tonnage reports. Notwithstanding section 18C.131, the commissioner 
38.21 	must deposit all revenue from the additional 40 cents per ton fee in the agricultural fertilizer 
38.22 	research and education account in section 18C.80. Products sold or distributed to 
38.23 	manufacturers or exchanged between them are exempt from the inspection fee imposed by 
38.24 	this subdivision if the products are used exclusively for manufacturing purposes.
38.25 	(d) A registrant or licensee must retain invoices showing proof of fertilizer, plant 
38.26 	amendment, or soil amendment distribution amounts and inspection fees paid for a period 
38.27 	of three years.
38.28 	(e) By commissioner's order, the commissioner must set the inspection fee at no less 
38.29 	than 39 cents per ton and no more than 70 cents per ton. The commissioner must hold a 
38.30 	public meeting before increasing the fee by more than five cents per ton.

38.31 	EFFECTIVE DATE. This section is effective the day following final enactment.

39.1 	Sec. 6. Minnesota Statutes 2022, section 18C.70, subdivision 5, is amended to read:
39.2 		Subd. 5.Expiration. This section expires June 30, 2025 2035.

39.3 	Sec. 7. Minnesota Statutes 2022, section 18C.71, subdivision 4, is amended to read:
39.4 		Subd. 4.Expiration. This section expires June 30, 2025 2035.

39.5 	Sec. 8. Minnesota Statutes 2022, section 18C.80, subdivision 2, is amended to read:
39.6 		Subd. 2.Expiration. This section expires June 30, 2025 2035.

39.7 	Sec. 9. Minnesota Statutes 2022, section 28A.10, is amended to read:
39.8 	28A.10 POSTING OF LICENSE; RULES.
39.9 	All such licenses shall be issued for a period of one year and shall be posted or displayed 
39.10 	in a conspicuous place at the place of business so licensed. Except as provided in sections 
39.11 	29.22, subdivision 4 and 31.39, all such license fees and penalties collected by the 
39.12 	commissioner shall be deposited into the state treasury and credited to the general fund.
39.13 	The commissioner may adopt such rules in conformity with law as the commissioner deems 
39.14 	necessary to effectively and efficiently carry out the provisions of sections 28A.01 to 28A.16.

39.15 	Sec. 10. Minnesota Statutes 2022, section 31.94, is amended to read:
39.16 	31.94 ORGANIC AGRICULTURE; COMMISSIONER DUTIES.
39.17 	(a) In order to promote opportunities for organic agriculture in Minnesota, the 
39.18 	commissioner shall:
39.19 	(1) survey producers and support services and organizations to determine information 
39.20 	and research needs in the area of organic agriculture practices;
39.21 	(2) work with the University of Minnesota and other research and education institutions 
39.22 	to demonstrate the on-farm applicability of organic agriculture practices to conditions in 
39.23 	this state;
39.24 	(3) direct the programs of the department so as to work toward the promotion of organic 
39.25 	agriculture in this state;
39.26 	(4) inform agencies about state or federal programs that support organic agriculture 
39.27 	practices; and
39.28 	(5) work closely with producers, producer organizations, the University of Minnesota, 
39.29 	and other appropriate agencies and organizations to identify opportunities and needs as well 
40.1 	as ensure coordination and avoid duplication of state agency efforts regarding research, 
40.2 	teaching, marketing, and extension work relating to organic agriculture.
40.3 	(b) By November 15 of each year that ends in a zero or a five, the commissioner, in 
40.4 	conjunction with the task force created in paragraph (c), shall report on the status of organic 
40.5 	agriculture in Minnesota to the legislative policy and finance committees and divisions with 
40.6 	jurisdiction over agriculture. The report must include available data on organic acreage and 
40.7 	production, available data on the sales or market performance of organic products, and 
40.8 	recommendations regarding programs, policies, and research efforts that will benefit 
40.9 	Minnesota's organic agriculture sector.
40.10 	(c) A Minnesota Organic Advisory Task Force shall advise the commissioner and the 
40.11 	University of Minnesota on policies and programs that will improve organic agriculture in 
40.12 	Minnesota, including how available resources can most effectively be used for outreach, 
40.13 	education, research, and technical assistance that meet the needs of the organic agriculture 
40.14 	sector. The task force must consist of the following residents of the state:
40.15 	(1) three organic farmers;
40.16 	(2) one wholesaler or distributor of organic products;
40.17 	(3) one representative of organic certification agencies;
40.18 	(4) two organic processors;
40.19 	(5) one representative from University of Minnesota Extension;
40.20 	(6) one University of Minnesota faculty member;
40.21 	(7) one representative from a nonprofit organization representing producers;
40.22 	(8) two public members;
40.23 	(9) one representative from the United States Department of Agriculture;
40.24 	(10) one retailer of organic products; and
40.25 	(11) one organic consumer representative.
40.26 	The commissioner, in consultation with the director of the Minnesota Agricultural Experiment 
40.27 	Station; the dean and director of University of Minnesota Extension and the dean of the 
40.28 	College of Food, Agricultural and Natural Resource Sciences, shall appoint members to 
40.29 	serve three-year terms.
40.30 	Compensation and removal of members are governed by section 15.059, subdivision 6. 
40.31 	The task force must meet at least twice each year and expires on June 30, 2024 2034.
41.1 	(d) For the purposes of expanding, improving, and developing production and marketing 
41.2 	of the organic products of Minnesota agriculture, the commissioner may receive funds from 
41.3 	state and federal sources and spend them, including through grants or contracts, to assist 
41.4 	producers and processors to achieve certification, to conduct education or marketing 
41.5 	activities, to enter into research and development partnerships, or to address production or 
41.6 	marketing obstacles to the growth and well-being of the industry.
41.7 	(e) The commissioner may facilitate the registration of state organic production and 
41.8 	handling operations including those exempt from organic certification according to Code 
41.9 	of Federal Regulations, title 7, section 205.101, and accredited certification agencies 
41.10 	operating within the state.

41.11 	EFFECTIVE DATE. This section is effective the day following final enactment.

41.12 	Sec. 11. Minnesota Statutes 2022, section 32D.30, is amended to read:
41.13 	32D.30 DAIRY DEVELOPMENT AND PROFITABILITY ENHANCEMENT.
41.14 		Subdivision 1.Program. The commissioner must implement a dairy development and 
41.15 	profitability enhancement program consisting of a dairy profitability enhancement teams 
41.16 	and program, dairy business planning grants, and other services to support the dairy industry.
41.17 		Subd. 2.Dairy profitability enhancement teams program. (a) The dairy profitability 
41.18 	enhancement teams program must provide one-on-one information and technical assistance 
41.19 	to dairy farms of all sizes to enhance their financial success and long-term sustainability. 
41.20 	Teams The program must assist dairy producers in all dairy-producing regions of the state 
41.21 	and. Assistance to producers from the program may consist of be provided individually, as 
41.22 	a team, or through other methods by farm business management instructors, dairy extension 
41.23 	specialists, and other dairy industry partners. Teams The program may engage in activities 
41.24 	including such as comprehensive financial analysis, risk management education, enhanced 
41.25 	milk marketing tools and technologies, and facilitating or improving production systems,
41.26 	including rotational grazing and other sustainable agriculture methods, and value-added 
41.27 	opportunities.
41.28 	(b) The commissioner must make grants to regional or statewide organizations qualified 
41.29 	to manage the various components of the teams program and serve as program administrators. 
41.30 	Each regional or statewide organization must designate a coordinator responsible for 
41.31 	overseeing the program and submitting periodic reports to the commissioner regarding 
41.32 	aggregate changes in producer financial stability, productivity, product quality, animal 
41.33 	health, environmental protection, and other performance measures attributable to the program. 
42.1 	The organizations must submit this information in a format that maintains the confidentiality 
42.2 	of individual dairy producers.
42.3 		Subd. 3.Dairy business planning grants. The commissioner may award dairy business 
42.4 	planning grants of up to $5,000 per producer or dairy processor to develop comprehensive 
42.5 	business plans use technical assistance services for evaluating operations, transitional 
42.6 	changes, expansions, improvements, and other business modifications. Producers and 
42.7 	processors must not use dairy business planning grants for capital improvements.
42.8 		Subd. 4.Funding allocation. Except as specified in law, the commissioner may allocate 
42.9 	dairy development and profitability enhancement program dollars among for the permissible 
42.10 	uses specified in this section and other needs to support the dairy industry, including efforts 
42.11 	to improve the quality of milk produced in the state, in the proportions that the commissioner 
42.12 	deems most beneficial to the state's dairy farmers.
42.13 		Subd. 5.Reporting. No later than July 1 each year, the commissioner must submit a 
42.14 	detailed accomplishment report and work plan detailing future plans for, and the actual and 
42.15 	anticipated accomplishments from, expenditures under this section to the chairs and ranking 
42.16 	minority members of the legislative committees and divisions with jurisdiction over 
42.17 	agriculture policy and finance. If the commissioner significantly modifies a submitted work 
42.18 	plan during the fiscal year, the commissioner must notify the chairs and ranking minority 
42.19 	members.

42.20 	Sec. 12. Minnesota Statutes 2023 Supplement, section 35.155, subdivision 12, is amended 
42.21 	to read:
42.22 		Subd. 12.Importation. (a) A person must not import live Cervidae into the state from 
42.23 	a state or province where chronic wasting disease has been detected in the farmed or wild 
42.24 	cervid population in the last five years unless the animal has tested not detected for chronic 
42.25 	wasting disease with a validated live-animal test.
42.26 	(b) Live Cervidae or Cervidae semen must originate from a herd that has been subject 
42.27 	to a state-, federal-, or provincial-approved chronic wasting disease herd certification program 
42.28 	and that has reached a status equivalent to the highest certification.
42.29 	(c) Cervidae imported in violation of this section may be seized and destroyed by the 
42.30 	commissioner of natural resources.
42.31 	(d) This subdivision does not apply to the interstate transfer of animals between two 
42.32 	facilities accredited by the Association of Zoos and Aquariums.
43.1 	(e) Notwithstanding this subdivision, the commissioner of natural resources may issue 
43.2 	a permit allowing the importation of orphaned wild cervid species that are not susceptible 
43.3 	to chronic wasting disease from another state to an Association of Zoos and Aquariums 
43.4 	accredited institution in Minnesota following a joint risk-based assessment conducted by 
43.5 	the commissioner and the institution.
43.6 	(f) Notwithstanding this subdivision, the state veterinarian may issue a permit to a zoo 
43.7 	that is a United States Department of Agriculture-licensed exhibitor of regulated animals 
43.8 	to import live Cervidae from another state if the Cervidae are part of a herd that is:
43.9 	(1) in the United States Department of Agriculture Herd Certification program; or
43.10 	(2) subject to similar equivalent disease surveillance at the discretion of the state 
43.11 	veterinarian.

43.12 	Sec. 13. Minnesota Statutes 2023 Supplement, section 41B.0391, subdivision 1, is amended 
43.13 	to read:
43.14 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
43.15 	the meanings given.
43.16 	(b) "Agricultural assets" means agricultural land, livestock, facilities, buildings, and 
43.17 	machinery used for farming in Minnesota.
43.18 	(c) "Beginning farmer" means an individual or LLC owned by an individual who:
43.19 	(1) is a resident of Minnesota;
43.20 	(2) is seeking entry, or has entered within the last ten years, into farming;
43.21 	(3) intends to farm land located within the state borders of Minnesota;
43.22 	(4) except as provided in subdivision 2, paragraph (f), is not and whose spouse is not a 
43.23 	family member of the owner of the agricultural assets from whom the beginning farmer is 
43.24 	seeking to purchase or rent agricultural assets;
43.25 	(5) except as provided in subdivision 2, paragraph (f), is not and whose spouse is not a 
43.26 	family member of a partner, member, shareholder, or trustee of the owner of agricultural 
43.27 	assets from whom the beginning farmer is seeking to purchase or rent agricultural assets; 
43.28 	and
43.29 	(6) meets the following eligibility requirements as determined by the authority:
43.30 	(i) has a net worth that does not exceed the limit provided under section 41B.03, 
43.31 	subdivision 3, paragraph (a), clause (2);
44.1 	(ii) provides the majority of the day-to-day physical labor and management of the farm;
44.2 	(iii) has, by the judgment of the authority, adequate farming experience or demonstrates 
44.3 	knowledge in the type of farming for which the beginning farmer seeks assistance from the 
44.4 	authority;
44.5 	(iv) demonstrates to the authority a profit potential by submitting projected earnings 
44.6 	statements;
44.7 	(v) asserts to the satisfaction of the authority that farming will be a significant source 
44.8 	of income for the beginning farmer;
44.9 	(vi) is enrolled in or has completed within ten years of their first year of farming a 
44.10 	financial management program approved by the authority or the commissioner of agriculture;
44.11 	(vii) agrees to notify the authority if the beginning farmer no longer meets the eligibility 
44.12 	requirements within the three-year certification period, in which case the beginning farmer 
44.13 	is no longer eligible for credits under this section; and
44.14 	(viii) has other qualifications as specified by the authority.
44.15 	The authority may waive the requirement in item (vi) if the participant requests a waiver 
44.16 	and has a four-year degree in an agricultural program or related field, reasonable agricultural 
44.17 	job-related experience, or certification as an adult farm management instructor.
44.18 	(d) "Emerging farmer" means an emerging farmer within the meaning of section 17.055, 
44.19 	subdivision 1.
44.20 	(e) "Family member" means a family member within the meaning of the Internal Revenue 
44.21 	Code, section 267(c)(4).
44.22 	(f) "Farm product" means plants and animals useful to humans and includes, but is not 
44.23 	limited to, forage and sod crops, oilseeds, grain and feed crops, dairy and dairy products, 
44.24 	poultry and poultry products, livestock, fruits, and vegetables.
44.25 	(g) "Farming" means the active use, management, and operation of real and personal 
44.26 	property for the production of a farm product.
44.27 	(h) "Limited land access" has the meaning given in section 17.133, subdivision 1.
44.28 	(h) (i) "Owner of agricultural assets" means an individual, trust, or pass-through entity 
44.29 	that is the owner in fee of agricultural land or has legal title to any other agricultural asset. 
44.30 	Owner of agricultural assets does not mean an equipment dealer, livestock dealer defined 
44.31 	in section 17A.03, subdivision 7, or comparable entity that is engaged in the business of 
44.32 	selling agricultural assets for profit and that is not engaged in farming as its primary business 
45.1 	activity. An owner of agricultural assets approved and certified by the authority under 
45.2 	subdivision 4 must notify the authority if the owner no longer meets the definition in this 
45.3 	paragraph within the three year certification period and is then no longer eligible for credits 
45.4 	under this section.
45.5 	(i) (j) "Resident" has the meaning given in section 290.01, subdivision 7.
45.6 	(j) (k) "Share rent agreement" means a rental agreement in which the principal 
45.7 	consideration given to the owner of agricultural assets is a predetermined portion of the 
45.8 	production of farm products produced from the rented agricultural assets and which provides 
45.9 	for sharing production costs or risk of loss, or both.

45.10 	EFFECTIVE DATE. This section is effective for taxable years beginning after December 
45.11 	31, 2024.

45.12 	Sec. 14. Minnesota Statutes 2023 Supplement, section 41B.0391, subdivision 2, is amended 
45.13 	to read:
45.14 		Subd. 2.Tax credit for owners of agricultural assets. (a) An owner of agricultural 
45.15 	assets may take a credit against the tax due under chapter 290 for the sale or rental of 
45.16 	agricultural assets to a beginning farmer in the amount allocated by the authority under 
45.17 	subdivision 4. An owner of agricultural assets is eligible for allocation of a credit equal to:
45.18 	(1) eight percent of the lesser of the sale price or the fair market value of the agricultural 
45.19 	asset, up to a maximum of $50,000;
45.20 	(2) ten percent of the gross rental income in each of the first, second, and third years of 
45.21 	a rental agreement, up to a maximum of $7,000 per year; or
45.22 	(3) 15 percent of the cash equivalent of the gross rental income in each of the first, 
45.23 	second, and third years of a share rent agreement, up to a maximum of $10,000 per year.
45.24 	(b) A qualifying rental agreement includes cash rent of agricultural assets or a share rent 
45.25 	agreement. The agricultural asset must be rented at prevailing community rates as determined 
45.26 	by the authority.
45.27 	(c) The credit may be claimed only after approval and certification by the authority, and 
45.28 	is limited to the amount stated on the certificate issued under subdivision 4. An owner of 
45.29 	agricultural assets must apply to the authority for certification and allocation of a credit, in 
45.30 	a form and manner prescribed by the authority.
45.31 	(d) An owner of agricultural assets or beginning farmer may terminate a rental agreement, 
45.32 	including a share rent agreement, for reasonable cause upon approval of the authority. If a 
46.1 	rental agreement is terminated without the fault of the owner of agricultural assets, the tax 
46.2 	credits shall not be retroactively disallowed. In determining reasonable cause, the authority 
46.3 	must look at which party was at fault in the termination of the agreement. If the authority 
46.4 	determines the owner of agricultural assets did not have reasonable cause, the owner of 
46.5 	agricultural assets must repay all credits received as a result of the rental agreement to the 
46.6 	commissioner of revenue. The repayment is additional income tax for the taxable year in 
46.7 	which the authority makes its decision or when a final adjudication under subdivision 5, 
46.8 	paragraph (a), is made, whichever is later.
46.9 	(e) The credit is limited to the liability for tax as computed under chapter 290 for the 
46.10 	taxable year. If the amount of the credit determined under this section for any taxable year 
46.11 	exceeds this limitation, the excess is a beginning farmer incentive credit carryover according 
46.12 	to section 290.06, subdivision 37.
46.13 	(f) For purposes of the credit for the sale of agricultural land only, the family member 
46.14 	definitional exclusions in subdivision 1, paragraph (c), clauses (4) and (5), do not apply. 
46.15 	For a sale to a family member to qualify for the credit, the sales price of the agricultural 
46.16 	land must equal or exceed the assessed value of the land as of the date of the sale. For 
46.17 	purposes of this paragraph, "sale to a family member" means a sale to a beginning farmer 
46.18 	in which the beginning farmer or the beginning farmer's spouse is a family member of:
46.19 	(1) the owner of the agricultural land; or
46.20 	(2) a partner, member, shareholder, or trustee of the owner of the agricultural land.
46.21 	(g) For a sale to an emerging a farmer experiencing limited land access, the credit rate 
46.22 	under paragraph (a), clause (1), is twelve percent rather than eight percent.

46.23 	EFFECTIVE DATE. This section is effective for taxable years beginning after December 
46.24 	31, 2024.

46.25 	Sec. 15. Minnesota Statutes 2023 Supplement, section 41B.0391, subdivision 4, is amended 
46.26 	to read:
46.27 		Subd. 4.Authority duties. (a) The authority shall:
46.28 	(1) approve and certify or recertify beginning farmers as eligible for the program under 
46.29 	this section;
46.30 	(2) approve and certify or recertify owners of agricultural assets as eligible for the tax 
46.31 	credit under subdivision 2 subject to the allocation limits in paragraph (c);
47.1 	(3) provide necessary and reasonable assistance and support to beginning farmers for 
47.2 	qualification and participation in financial management programs approved by the authority;
47.3 	(4) refer beginning farmers to agencies and organizations that may provide additional 
47.4 	pertinent information and assistance; and
47.5 	(5) notwithstanding section 41B.211, the Rural Finance Authority must share information 
47.6 	with the commissioner of revenue to the extent necessary to administer provisions under 
47.7 	this subdivision and section 290.06, subdivisions 37 and 38. The Rural Finance Authority 
47.8 	must annually notify the commissioner of revenue of approval and certification or 
47.9 	recertification of beginning farmers and owners of agricultural assets under this section. 
47.10 	For credits under subdivision 2, the notification must include the amount of credit approved 
47.11 	by the authority and stated on the credit certificate.
47.12 	(b) The certification of a beginning farmer or an owner of agricultural assets under this 
47.13 	section is valid for the year of the certification and the two following years, after which 
47.14 	time the beginning farmer or owner of agricultural assets must apply to the authority for 
47.15 	recertification.
47.16 	(c) For credits for owners of agricultural assets allowed under subdivision 2, the authority 
47.17 	must not allocate more than $6,500,000 for taxable years beginning after December 31, 
47.18 	2022, and before January 1, 2024, and $4,000,000 for taxable years beginning after December 
47.19 	31, 2023. The authority must allocate credits on a first-come, first-served basis beginning 
47.20 	on January 1 of each year, except that recertifications for the second and third years of 
47.21 	credits under subdivision 2, paragraph (a), clauses (1) and (2), have first priority. Any 
47.22 	amount authorized but not allocated for taxable years ending before January 1, 2023, is 
47.23 	canceled and is not allocated for future taxable years. For taxable years beginning after 
47.24 	December 31, 2022, any amount authorized but not allocated in any taxable year does not 
47.25 	cancel and is added to the allocation for the next taxable year. For each taxable year, 50 
47.26 	percent of newly allocated credits must be allocated to emerging farmers owners of 
47.27 	agricultural assets who sell or rent agricultural assets to beginning farmers who are 
47.28 	experiencing limited land access. Any portion of a taxable year's newly allocated credits 
47.29 	that is reserved for emerging sales or rentals to farmers experiencing limited land access
47.30 	that is not allocated by September 30 of the taxable year is available for allocation to other 
47.31 	credit allocations beginning on October 1.

47.32 	EFFECTIVE DATE. This section is effective for taxable years beginning after December 
47.33 	31, 2024.

48.1 	Sec. 16. Minnesota Statutes 2023 Supplement, section 41B.0391, subdivision 6, is amended 
48.2 	to read:
48.3 		Subd. 6.Report to legislature. (a) No later than February 1, 2024, the Rural Finance 
48.4 	Authority, in consultation with the commissioner of revenue, must provide a report to the 
48.5 	chairs and ranking minority members of the legislative committees having jurisdiction over 
48.6 	agriculture, economic development, rural development, and taxes, in compliance with 
48.7 	sections 3.195 and 3.197, on the beginning farmer tax credits under this section issued in 
48.8 	tax years beginning after December 31, 2017, and before January 1, 2024.
48.9 	(b) The report must include background information on beginning farmers in Minnesota 
48.10 	and any other information the commissioner and authority find relevant to evaluating the 
48.11 	effect of the credits on increasing opportunities for and the number of beginning farmers.
48.12 	(c) For credits issued under subdivision 2, paragraph (a), clauses (1) to (3), the report 
48.13 	must include:
48.14 	(1) the number and amount of credits issued under each clause;
48.15 	(2) the geographic distribution of credits issued under each clause;
48.16 	(3) the type of agricultural assets for which credits were issued under clause (1);
48.17 	(4) the number and geographic distribution of beginning farmers whose purchase or 
48.18 	rental of assets resulted in credits for the seller or owner of the asset;
48.19 	(5) the number and amount of credits disallowed under subdivision 2, paragraph (d);
48.20 	(6) data on the number of beginning farmers by geographic region in calendar years 
48.21 	2017 through 2023, including:
48.22 	(i) the number of beginning farmers by race and ethnicity, as those terms are applied in 
48.23 	the 2020 United States Census; and
48.24 	(ii) the number of beginning farmers who are experiencing limited land access and, to 
48.25 	the extent available, the number of beginning farmers who are emerging farmers; and
48.26 	(7) the number and amount of credit applications that exceeded the allocation available 
48.27 	in each year.
48.28 	(d) For credits issued under subdivision 3, the report must include:
48.29 	(1) the number and amount of credits issued;
48.30 	(2) the geographic distribution of credits;
49.1 	(3) a listing and description of each approved financial management program for which 
49.2 	credits were issued; and
49.3 	(4) a description of the approval procedure for financial management programs not on 
49.4 	the list maintained by the authority, as provided in subdivision 3, paragraph (a).

49.5 	EFFECTIVE DATE. This section is effective for taxable years beginning after December 
49.6 	31, 2024.

49.7 	Sec. 17. Minnesota Statutes 2022, section 41B.047, subdivision 1, is amended to read:
49.8 		Subdivision 1.Establishment. The authority shall establish and implement a disaster 
49.9 	recovery loan program to help farmers:
49.10 	(1) clean up, repair, or replace farm structures and septic and water systems, as well as 
49.11 	replace seed, other crop inputs, feed, and livestock;
49.12 	(2) purchase watering systems, irrigation systems, and other drought mitigation systems 
49.13 	and practices, and feed when drought is the cause of the purchase;
49.14 	(3) restore farmland;
49.15 	(4) replace flocks or livestock, make building improvements, or cover the loss of revenue 
49.16 	when the replacement, improvements, or loss of revenue is due to the confirmed presence 
49.17 	of a highly contagious animal disease in a commercial poultry or game flock, or a commercial 
49.18 	livestock operation, located in Minnesota; or
49.19 	(5) cover the loss of revenue when the revenue loss is due to an infectious human disease 
49.20 	for which the governor has declared a peacetime emergency under section 12.31.

49.21 	Sec. 18. SUPERSEDING EFFECT.
 49.22 	The amendment to Minnesota Statutes, section 35.155, subdivision 12, in section 12 of 
49.23 	this article is intended to supersede the amendment in article 1, section 18, in S.F. No. 4225.

49.24 	Sec. 19. REPEALER.
 49.25 	Minnesota Statutes 2022, section 34.07, is repealed.

50.1 	ARTICLE 3
50.2 	BROADBAND

50.3 	Section 1. Minnesota Statutes 2022, section 116J.396, is amended by adding a subdivision 
50.4 	to read:
50.5 		Subd. 4.Transfer. The commissioner may transfer up to $5,000,000 of a fiscal year 
50.6 	appropriation between the border-to-border broadband program, low density population 
50.7 	broadband program, and the broadband line extension program to meet demand. The 
50.8 	commissioner must inform the chairs and ranking minority members of the legislative 
50.9 	committees with jurisdiction over broadband finance in writing when this transfer authority 
50.10 	is used. The written notice must include how much money was transferred and why the 
50.11 	transfer was made. The written notice must also be filed with the Legislative Reference 
50.12 	Library in compliance with Minnesota Statutes, section 3.195.

50.13 	Sec. 2. BROADBAND DEVELOPMENT; APPLICATION FOR FEDERAL 
50.14 	FUNDING; APPROPRIATION.
 50.15 	(a) The commissioner of employment and economic development must prepare and 
50.16 	submit an application to the United States Department of Commerce requesting State Digital 
50.17 	Equity Capacity Grant funding made available under Public Law 117-58, the Infrastructure 
50.18 	Investment and Jobs Act.
50.19 	(b) The amount awarded to Minnesota pursuant to the application submitted under 
50.20 	paragraph (a) is appropriated to the commissioner of employment and economic development 
50.21 	for purposes of the commissioner's Minnesota Digital Opportunity Plan.

APPENDIX 

Repealed Minnesota Statutes: S3955-1 

34.07 BEVERAGE INSPECTION ACCOUNT; APPROPRIATION.
A beverage inspection account is created in the agricultural fund. All fees and fines collected under this chapter shall be credited to the beverage inspection account. Money in the account is appropriated to the commissioner for inspection and supervision under this chapter.