1.1 	A bill for an act
1.2 	relating to taxation; sales and use; modifying the exemption for agriculture 
1.3 	processing materials;amending Minnesota Statutes 2024, section 297A.71, 
1.4 	subdivision 13.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2024, section 297A.71, subdivision 13, is amended to read:
1.7 		Subd. 13.Agriculture processing facility materials. (a) Building materials and supplies 
1.8 	for constructing an agriculture processing facility as defined in section 469.1811 in which 
1.9 	the total capital investment in the processing facility is expected to exceed $100,000,000 
1.10 	are exempt.
1.11 	(b) For purposes of this subdivision, "agriculture processing facility" means land, 
1.12 	buildings, structures, fixtures, and improvements used or operated primarily for the processing 
1.13 	or production of marketable products from agricultural crops, including waste and residues 
1.14 	from agricultural crops, but not including livestock or livestock products other than milk, 
1.15 	poultry or poultry products, or wood or wood products. As used in this subdivision, land is 
1.16 	limited to land on which the buildings, structures, fixtures, and improvements are situated 
1.17 	and the immediately surrounding land used for storage or other functions directly related 
1.18 	to the processing or production, not including land used for the growing of agricultural 
1.19 	crops.
1.20 	(c) The tax must be imposed and collected as if the rate under section 297A.62, 
1.21 	subdivision 1, applied, and then refunded in the manner provided in section 297A.75.

1.22 	EFFECTIVE DATE. This section is effective for sales and purchases made after June 
1.23 	30, 2025.