HF 2683

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/24/2025 03:03 p.m.

A bill for an act
relating to agriculture; establishing the biofertilizer innovation and efficiency
program; requiring rulemaking; appropriating money; amending Minnesota Statutes
2024, section 18C.005, by adding a subdivision; proposing coding for new law in
Minnesota Statutes, chapter 18C.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 18C.005, is amended by adding a subdivision
to read:

new text begin Subd. 4a. new text end

new text begin Commercial nitrogen fertilizer. new text end

new text begin "Commercial nitrogen fertilizer" means a
fertilizer with a nitrogen content that is not less than 25 percent.
new text end

Sec. 2.

new text begin [18C.113] BIOFERTILIZER INNOVATION AND EFFICIENCY PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Program established. new text end

new text begin In consultation with the commissioner of natural
resources and soil and water conservation districts in Minnesota, the commissioner of
agriculture must develop and administer a biofertilizer innovation and efficiency program
to address water quality by incentivizing Minnesota farmers to improve nitrogen management
and incorporate innovative technologies into the farmers' crop nutrient management plans.
The commissioner must determine which products qualify for the program, including soil
amendments, fertilizers with nitrogen-fixing properties, biological sources of nitrogen, and
other biofertilizers.
new text end

new text begin Subd. 2. new text end

new text begin Payments to qualified farmers. new text end

new text begin (a) In consultation with farmers and the
fertilizer industry, the commissioner must establish a per-acre payment rate, not less than
$5 per acre, for payments provided to a qualifying farmer. The program must provide an
annual per-acre incentive payment to a qualifying farmer who verifies through documentation
that the farmer has reduced commercial nitrogen fertilizer rates by using a qualifying product
in the farmer's crop nutrient management plans by the lesser of:
new text end

new text begin (1) 15 percent; or
new text end

new text begin (2) 30 pounds per acre.
new text end

new text begin (b) The Department of Agriculture must annually review and may adjust the per-acre
payment rate based on inflation and emerging fertilizer technology.
new text end

new text begin Subd. 3. new text end

new text begin Qualifications. new text end

new text begin To qualify for the biofertilizer water preservation program, a
farmer must:
new text end

new text begin (1) be a Minnesota resident operating farmland located in Minnesota;
new text end

new text begin (2) submit documentation to the commissioner, including a crop nutrient management
plan that will reduce the use of commercial nitrogen fertilizers at the reduction rate required
under subdivision 2 by using a qualifying product determined by the commissioner under
subdivision 1; and
new text end

new text begin (3) enroll a minimum of 40 eligible acres.
new text end

new text begin Subd. 4. new text end

new text begin Review required. new text end

new text begin Every two years, the commissioner must review:
new text end

new text begin (1) the program's required minimum commercial nitrogen fertilizer reduction rate under
subdivision 2 and determine whether an increase in the minimum reduction rate is necessary;
and
new text end

new text begin (2) additional qualifying products that may be used by farmers in the program. When
making this determination, the commissioner must consider newly available technologies
and products capable of reducing commercial nitrogen fertilizer applications.
new text end

new text begin Subd. 5. new text end

new text begin Rulemaking required. new text end

new text begin The commissioner must adopt rules to implement this
section.
new text end

Sec. 3. new text begin APPROPRIATION.
new text end

new text begin $1,500,000 in fiscal year 2026 is appropriated from the general fund to the commissioner
of agriculture to establish and administer the biofertilizer innovation and efficiency program.
Notwithstanding Minnesota Statutes, section 16A.28, any unencumbered balance at the end
of fiscal year 2026 does not cancel and is available until June 30, 2027.
new text end