1.1 	A bill for an act
1.2 	relating to state government; clarifying certain livestock compensation 
1.3 	provisions; regulating and classifying certain data; classifying equines as 
1.4 	livestock; changing certain pesticide control provisions; authorizing waivers of 
1.5 	certain fees; providing for control of bovine tuberculosis; eliminating the native 
1.6 	grasses and wildflower seed production and incentive program; authorizing 
1.7 	ownership of agricultural land by certain nonprofit corporations; requiring 
1.8 	tree care and tree trimming company registration; regulating certain sale and 
1.9 	distribution of firewood; changing certain fuel requirements; authorizing 
1.10 	individuals and entities to take certain easements in agricultural land; eliminating 
1.11 	a penalty; allowing a temporary lien for livestock production inputs for 45 days 
1.12 	following a mediation request; setting a goal; requiring reports and memoranda; 
1.13 	specifying certain procedures; clarifying the role of the commissioner and 
1.14 	Department of Veterans Affairs in providing certain resources for the county 
1.15 	veterans service offices; modifying a residency requirement for purposes of 
1.16 	eligibility for higher educational benefits for the surviving spouse and children of 
1.17 	a deceased veteran who dies as a result of military service; changing eligibility 
1.18 	for a license plate; changing preference requirements; repealing authorization for 
1.19 	a license plate; clarifying a state procurement preference; extending availability 
1.20 	of certain appropriations; requiring planning for new veterans cemeteries; 
1.21 	appropriating money;amending Minnesota Statutes 2008, sections 1.141, by 
1.22 	adding subdivisions; 3.737, subdivision 4; 13.635, by adding a subdivision; 
1.23 	17.03, by adding a subdivision; 18B.31, subdivision 5; 18B.36, subdivision 1; 
1.24 	18B.37, subdivision 4; 18G.07; 28A.082, subdivision 1; 35.244, subdivisions 1, 
1.25 	2; 123B.35; 123B.36, subdivision 6; 168.123, subdivision 2; 196.05, by adding 
1.26 	a subdivision; 197.455, by adding a subdivision; 197.481, subdivisions 1, 2, 
1.27 	4; 197.585, subdivision 5; 197.60, subdivision 1; 197.601; 197.605; 197.606; 
1.28 	197.609, subdivisions 1, 2; 197.75, subdivision 1; 239.092; 239.093; 239.791, 
1.29 	by adding subdivisions; 336.9-531; 336A.08, subdivisions 1, 4; 336A.14; 
1.30 	500.221, subdivisions 2, 4; 500.24, subdivision 2; 514.965, subdivision 2; 
1.31 	514.966, subdivisions 5, 6, by adding a subdivision; Minnesota Statutes 2009 
1.32 	Supplement, sections 3.737, subdivision 1; 16C.16, subdivision 6a; 16C.19; 
1.33 	18B.316, subdivision 10; 197.46; 239.791, subdivisions 1, 1a; Laws 2008, 
1.34 	chapter 296, article 1, section 25; Laws 2009, chapter 94, article 3, section 14; 
1.35 	proposing coding for new law in Minnesota Statutes, chapters 17; 38; repealing 
1.36 	Minnesota Statutes 2008, sections 17.231; 168.1251; 343.26; Laws 2009, chapter 
1.37 	94, article 1, section 106.
1.38 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.1 	ARTICLE 1
2.2 	AGRICULTURE

2.3 	Section 1. Minnesota Statutes 2009 Supplement, section 3.737, subdivision 1, is 
2.4 	amended to read:
2.5 		Subdivision 1.Compensation required. (a) Notwithstanding section 3.736, 
2.6 	subdivision 3, paragraph (e), or any other law, a livestock owner shall be compensated 
2.7 	by the commissioner of agriculture for livestock that is destroyed by a gray wolf or is so 
2.8 	crippled by a gray wolf that it must be destroyed. Except as provided in this section, 
2.9 	the owner is entitled to the fair market value of the destroyed livestock as determined 
2.10 	by the commissioner, upon recommendation of the fair market value by a university 
2.11 	extension agent or a conservation officer. In any fiscal year, a livestock owner may not 
2.12 	be compensated for a destroyed animal claim that is less than $100 in value and may be 
2.13 	compensated up to $20,000, as determined under this section. In any fiscal year, the 
2.14 	commissioner may provide compensation for claims filed under this section up to the 
2.15 	amount expressly appropriated for this purpose.
2.16 	(b) Either the agent or the A university extension agent, a conservation officer, 
2.17 	an official from the Animal and Plant Health Inspection Service of the United States 
2.18 	Department of Agriculture, a peace officer from the county sheriff's office, or a licensed 
2.19 	veterinarian must make a personal inspection of the site and submit a report to the 
2.20 	commissioner, including photographs, detailing the results of the investigation. The agent 
2.21 	or the conservation officer The investigator must take into account factors in addition to a 
2.22 	visual identification of a carcass when making a recommendation to the commissioner. 
2.23 	The commissioner, upon recommendation of the agent or conservation officer investigator, 
2.24 	shall determine whether the livestock was destroyed by a gray wolf and any deficiencies in 
2.25 	the owner's adoption of the best management practices developed in subdivision 5. The 
2.26 	commissioner may authorize payment of claims only if the agent or the conservation 
2.27 	officer has recommended payment. The owner shall file a claim on forms provided by the 
2.28 	commissioner and available at the university extension agent's office.

2.29 	Sec. 2. Minnesota Statutes 2008, section 3.737, subdivision 4, is amended to read:
2.30 		Subd. 4.Payment; denial of compensation. (a) If the commissioner finds that the 
2.31 	livestock owner has shown that the loss of the livestock was likely caused by a gray 
2.32 	wolf, the commissioner shall pay compensation as provided in this section and in the 
2.33 	rules of the department.
3.1 	(b) For a gray wolf depredation claim submitted by a livestock owner after 
3.2 	September 1, 1999, the commissioner shall, based on the report from the university 
3.3 	extension agent and conservation officer, evaluate the claim for conformance with 
3.4 	the best management practices developed by the commissioner in subdivision 5. The 
3.5 	commissioner must provide to the livestock owner an itemized list of any deficiencies 
3.6 	in the livestock owner's adoption of best management practices that were noted in the 
3.7 	university extension agent's or conservation officer's report.
3.8 	(c) If the commissioner denies compensation claimed by an owner under this section, 
3.9 	the commissioner shall issue a written decision based upon the available evidence. It shall 
3.10 	include specification of the facts upon which the decision is based and the conclusions on 
3.11 	the material issues of the claim. A copy of the decision shall be mailed to the owner.
3.12 	(d) (c) A decision to deny compensation claimed under this section is not subject to 
3.13 	the contested case review procedures of chapter 14, but may be reviewed upon a trial de 
3.14 	novo in a court in the county where the loss occurred. The decision of the court may be 
3.15 	appealed as in other civil cases. Review in court may be obtained by filing a petition for 
3.16 	review with the administrator of the court within 60 days following receipt of a decision 
3.17 	under this section. Upon the filing of a petition, the administrator shall mail a copy to the 
3.18 	commissioner and set a time for hearing within 90 days of the filing.

3.19 	Sec. 3. Minnesota Statutes 2008, section 13.635, is amended by adding a subdivision 
3.20 	to read:
3.21 		Subd. 5.Secretary of state. Social Security numbers and tax identification 
3.22 	numbers maintained by the secretary of state in filing systems are classified under sections 
3.23 	336.9-531 and 336A.14.

3.24 	Sec. 4. Minnesota Statutes 2008, section 17.03, is amended by adding a subdivision to 
3.25 	read:
3.26 		Subd. 11a.Permitting efficiency goal and report. (a) It is the goal of the 
3.27 	Department of Agriculture that environmental and resource management permits be 
3.28 	issued or denied within 150 days of the submission of a completed permit application. 
3.29 	The commissioner of agriculture shall establish management systems designed to achieve 
3.30 	the goal.
3.31 	(b) The commissioner shall prepare semiannual permitting efficiency reports that 
3.32 	include statistics on meeting the goal in paragraph (a). The reports are due February 1 
3.33 	and August 1 of each year. For permit applications that have not met the goal, the report 
3.34 	must state the reasons for not meeting the goal, steps that will be taken to complete action 
4.1 	on the application, and the expected timeline. In stating the reasons for not meeting the 
4.2 	goal, the commissioner shall separately identify delays caused by the responsiveness of 
4.3 	the proposer, lack of staff, scientific or technical disagreements, or the level of public 
4.4 	engagement. The report must specify the number of days from initial submission of 
4.5 	the application to the day of determination that the application is complete. The report 
4.6 	for the final quarter of the fiscal year must aggregate the data for the year and assess 
4.7 	whether program or system changes are necessary to achieve the goal. The report must 
4.8 	be posted on the department Web site and submitted to the governor and the chairs of 
4.9 	the house of representatives and senate committees having jurisdiction over agriculture 
4.10 	policy and finance.
4.11 	(c) The commissioner shall allow electronic submission of environmental review 
4.12 	and permit documents to the department.

4.13 	Sec. 5. [17.459] HORSES.
4.14 		Subdivision 1.Classification as livestock. Horses and other equines raised for the 
4.15 	purposes of riding, driving, farm or ranch work, competition, racing, recreation, sale, or as 
4.16 	breeding stock are livestock. Horses and their products are livestock and farm products for 
4.17 	purposes of financial transactions and collateral.
4.18 		Subd. 2.Agricultural pursuit. Raising horses and other equines is agricultural 
4.19 	production and an agricultural pursuit.
4.20 		Subd. 3.Nonapplicability for property tax laws. This section does not apply to 
4.21 	the treatment of land used for raising horses under chapter 273.

4.22 	Sec. 6. Minnesota Statutes 2008, section 18B.31, subdivision 5, is amended to read:
4.23 		Subd. 5.Application fee. (a) An application for a pesticide dealer license must be 
4.24 	accompanied by a nonrefundable application fee of $150.
4.25 	(b) If an application for renewal of a pesticide dealer license is not filed before 
4.26 	January 1 of the year for which the license is to be issued expires, an additional fee of $20
4.27 	50 percent of the application fee must be paid by the applicant before the commissioner 
4.28 	may issue the license is issued.

4.29 	Sec. 7. Minnesota Statutes 2009 Supplement, section 18B.316, subdivision 10, is 
4.30 	amended to read:
4.31 		Subd. 10.Application fee. (a) An application for an agricultural pesticide dealer 
4.32 	license, or a renewal of an agricultural pesticide dealer license, must be accompanied 
4.33 	by a nonrefundable fee of $150.
5.1 	(b) If an application for renewal of an agricultural pesticide dealer license is not filed 
5.2 	before January of the year for which the license is to be issued expires, an additional fee of 
5.3 	50 percent of the application fee must be paid by the applicant before the commissioner 
5.4 	may issue the license.

5.5 	Sec. 8. Minnesota Statutes 2008, section 18B.36, subdivision 1, is amended to read:
5.6 		Subdivision 1.Requirement. (a) Except for a licensed commercial or 
5.7 	noncommercial applicator, only a certified private applicator may use a restricted use 
5.8 	pesticide to produce an agricultural commodity:
5.9 	(1) as a traditional exchange of services without financial compensation;
5.10 	(2) on a site owned, rented, or managed by the person or the person's employees; or
5.11 	(3) when the private applicator is one of two or fewer employees and the owner or 
5.12 	operator is a certified private applicator or is licensed as a noncommercial applicator.
5.13 	(b) A private applicator person may not purchase a restricted use pesticide without 
5.14 	presenting a license card, certified private applicator card, or the card number.

5.15 	Sec. 9. Minnesota Statutes 2008, section 18B.37, subdivision 4, is amended to read:
5.16 		Subd. 4.Storage, handling, incident response, and disposal plan. A commercial
5.17 	pesticide dealer, agricultural pesticide dealer, or a commercial, noncommercial, or 
5.18 	structural pest control applicator or the business that the applicator is employed by must 
5.19 	develop and maintain a plan that describes its pesticide storage, handling, incident 
5.20 	response, and disposal practices. The plan must be kept at a principal business site 
5.21 	or location within this state and must be submitted to the commissioner upon request 
5.22 	on forms provided by the commissioner. The plan must be available for inspection by 
5.23 	the commissioner.

5.24 	Sec. 10. Minnesota Statutes 2008, section 18G.07, is amended to read:
5.25 	18G.07 TREE CARE AND TREE TRIMMING COMPANY REGISTRY
5.26 	REGISTRATION.
5.27 		Subdivision 1.Creation of registry. (a) The commissioner shall maintain a list of 
5.28 	all persons and companies that provide tree care or tree trimming services in Minnesota. 
5.29 	All tree care providers, tree trimmers, and persons who remove trees, limbs, branches, 
5.30 	brush, or shrubs for hire must provide the following information tobe registered by the 
5.31 	commissioner:.
5.32 	(b) Persons or companies who are required to be registered under paragraph (a), 
5.33 	must register annually by providing the following to the commissioner:
6.1 	(1) accurate and up-to-date business name, address, and telephone number;
6.2 	(2) a complete list of all Minnesota counties in which they work; and
6.3 	(3) a complete list of persons in the business who are certified by the International 
6.4 	Society of Arborists a nonrefundable fee of $25 for initial application or renewing the 
6.5 	registration.
6.6 	(c) All persons and companies required to be registered under paragraph (a) must 
6.7 	register before conducting the activities specified in paragraph (a). Annual registration 
6.8 	expires December 31, must be renewed annually, and the renewal fee remitted by January 
6.9 	7 of the year for which it is issued. In addition, a penalty of ten percent of the renewal fee 
6.10 	due must be charged for each month, or portion of a month, that the fee is delinquent up to 
6.11 	a maximum of 30 percent for any application for renewal postmarked after December 31.
6.12 		Subd. 2.Information dissemination. The commissioner shall provide registered 
6.13 	tree care companies with information and data regarding any existing or potential 
6.14 	regulated forest pest infestations within the state.
6.15 		Subd. 3.Violation. It is unlawful for a person to advertise tree care or tree trimming 
6.16 	services in Minnesota without being registered with the commissioner.

6.17 	EFFECTIVE DATE. This section is effective January 1, 2011.

6.18 	Sec. 11. Minnesota Statutes 2008, section 28A.082, subdivision 1, is amended to read:
6.19 		Subdivision 1.Fees; application. The fees for review of food handler facility floor 
6.20 	plans under the Minnesota Food Code are based upon the square footage of the structure 
6.21 	being newly constructed, remodeled, or converted. The fees for the review shall be:

6.22		square footage
		review fee
		
6.23		0 - 4,999
........	$
	200.00
		
6.24		5,000 - 24,999
........	$
	275.00
		
6.25		25,000 plus
........	$
	425.00
		
6.26 	The applicant must submit the required fee, review application, plans, equipment 
6.27 	specifications, materials lists, and other required information on forms supplied by the 
6.28 	department at least 30 days prior to commencement of construction, remodeling, or 
6.29 	conversion. The commissioner may waive this fee after determining that the facility's 
6.30 	principal mode of business is not the sale of food and that the facility sells only 
6.31 	prepackaged foods.

6.32 	Sec. 12. Minnesota Statutes 2008, section 35.244, subdivision 1, is amended to read:
6.33 		Subdivision 1. Designation of zones. The board has the authority to may establish 
6.34 	zones for the control and eradication of tuberculosis and restrict the movement of cattle, 
7.1 	bison, goats, and farmed cervidae within and between tuberculosis zones in the state. 
7.2 	Zones within the state may be designated as accreditation preparatory, modified accredited, 
7.3 	modified accredited advanced, or accredited free as those terms are defined in Code of 
7.4 	Federal Regulations, title 9, part 77. The board may designate bovine tuberculosis control 
7.5 	zones that contain not more than 325 herds.

7.6 	Sec. 13. Minnesota Statutes 2008, section 35.244, subdivision 2, is amended to read:
7.7 		Subd. 2. Requirements within a tuberculosis control within modified accredited
7.8 	zone. In a modified accredited tuberculosis control zone, the board has the authority to
7.9 	may: 
7.10 	(1) require owners of cattle, bison, goats, or farmed cervidae to report personal 
7.11 	contact information and location of livestock to the board; 
7.12 	(2) require a permit or movement certificates for all cattle, bison, goats, and farmed 
7.13 	cervidae moving between premises within the zone or leaving or entering the zone; 
7.14 	(3) require official identification of all cattle, bison, goats, and farmed cervidae 
7.15 	within the zone or leaving or entering the zone; 
7.16 	(4) require a whole-herd tuberculosis test on each herd of cattle, bison, goats, or 
7.17 	farmed cervidae when any of the animals in the herd is kept on a premises within the zone; 
7.18 	(5) require a negative tuberculosis test within 60 days prior to movement for any 
7.19 	individual cattle, bison, goat, or farmed cervidae moved from a premises in the zone to 
7.20 	another location in Minnesota, with the exception of cattle moving under permit directly 
7.21 	to a slaughter facility under state or federal inspection; 
7.22 	(6) require a whole-herd tuberculosis test within 12 months prior to moving 
7.23 	cattle, bison, goats, or farmed cervidae from premises in the zone to another location 
7.24 	in Minnesota; 
7.25 	(7) require annual herd inventories on all cattle, bison, goat, or farmed cervidae 
7.26 	herds; and 
7.27 	(8) require that a risk assessment be performed to evaluate the interaction of 
7.28 	free-ranging deer and elk with cattle, bison, goat, and farmed cervidae herds and require 
7.29 	the owner to implement the recommendations of the risk assessment. 

7.30 	Sec. 14. [38.345] APPROPRIATIONS BY MUNICIPALITIES.
7.31 	The council of any city and the board of supervisors of any town may spend money 
7.32 	for county extension work, as provided in sections 38.33 to 38.38.

8.1 	Sec. 15. Minnesota Statutes 2008, section 239.092, is amended to read:
8.2 	239.092 SALE FROM BULK.
8.3 	(a) Bulk sales of commodities, when the buyer and seller are not both present to 
8.4 	witness the measurement, must be accompanied by a delivery ticket containing the 
8.5 	following information:
8.6 	(1) the name and address of the person who weighed or measured the commodity;
8.7 	(2) the date delivered;
8.8 	(3) the quantity delivered;
8.9 	(4) the count of individually wrapped packages delivered, if more than one is 
8.10 	included in the quantity delivered;
8.11 	(5) the quantity on which the price is based, if different than the quantity delivered; 
8.12 	and
8.13 	(6) the identity of the commodity in the most descriptive terms commercially 
8.14 	practicable, including representations of quality made in connection with the sale.
8.15 	(b) This section is not intended to conflict with the bulk sale requirements of the 
8.16 	Department of Agriculture. If a conflict occurs, the law and rules of the Department of 
8.17 	Agriculture govern.
8.18 	(c) Firewood sold or distributed across state boundaries or more than 100 miles 
8.19 	from its origin must include delivery ticket information regarding the harvest locations 
8.20 	of the wood by county and state.
8.21 	(d) Paragraph (c) may be enforced using the authority granted in this chapter or 
8.22 	section 18J.05 or 84D.13.

8.23 	Sec. 16. Minnesota Statutes 2008, section 239.093, is amended to read:
8.24 	239.093 INFORMATION REQUIRED WITH PACKAGE.
8.25 	(a) A package offered, exposed, or held for sale must bear a clear and conspicuous 
8.26 	declaration of:
8.27 	(1) the identity of the commodity in the package, unless the commodity can be easily 
8.28 	identified through the wrapper or container;
8.29 	(2) the net quantity in terms of weight, measure, or count;
8.30 	(3) the name and address of the manufacturer, packer, or distributor, if the packages 
8.31 	were not produced on the premises where they are offered, exposed, or held for sale; and
8.32 	(4) the unit price, if the packages are part of a lot containing random weight 
8.33 	packages of the same commodity.
9.1 	(b) This section is not intended to conflict with the packaging requirements of the 
9.2 	Department of Agriculture. If a conflict occurs, the laws and rules of the Department of 
9.3 	Agriculture govern.
9.4 	(c) Firewood sold or distributed across state boundaries or more than 100 miles 
9.5 	from its origin must include information regarding the harvest locations of the wood by 
9.6 	county and state on each label or wrapper.
9.7 	(d) Paragraph (c) may be enforced using the authority granted in this chapter or 
9.8 	section 18J.05 or 84D.13.

9.9 	Sec. 17. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1, is 
9.10 	amended to read:
9.11 		Subdivision 1.Minimum ethanol content required. (a) Except as provided in 
9.12 	subdivisions 10 to 14, a person responsible for the product shall ensure that all gasoline 
9.13 	sold or offered for sale in Minnesota must contain at least the quantity of ethanol required 
9.14 	by clause (1) or (2), whichever is greater:
9.15 	(1) 10.0 percent denatured ethanol by volume; or
9.16 	(2) the maximum percent of denatured ethanol by volume authorized in a waiver 
9.17 	granted by the United States Environmental Protection Agency under section 211(f)(4) of 
9.18 	the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).
9.19 	(b) For purposes of enforcing the minimum ethanol requirement of paragraph 
9.20 	(a), clause (1), a gasoline/ethanol blend will be construed to be in compliance if the 
9.21 	ethanol content, exclusive of denaturants and other permitted contaminants components, 
9.22 	comprises not less than 9.2 percent by volume and not more than 10.0 percent by volume 
9.23 	of the blend as determined by an appropriate United States Environmental Protection 
9.24 	Agency or American Society of Testing Materials standard method of analysis of 
9.25 	alcohol/ether content in engine fuels.
9.26 	(c) The provisions of this subdivision are suspended during any period of time that 
9.27 	subdivision 1a, paragraph (a), is in effect.

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

9.29 	Sec. 18. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1a, 
9.30 	is amended to read:
9.31 		Subd. 1a.Minimum ethanol content required. (a) Except as provided in 
9.32 	subdivisions 10 to 14, on August 30, 2013, and thereafter, a person responsible for the 
9.33 	product shall ensure that all gasoline sold or offered for sale in Minnesota must contain at 
9.34 	least the quantity of ethanol required by clause (1) or (2), whichever is greater:
10.1 	(1) 20 percent denatured ethanol by volume; or
10.2 	(2) the maximum percent of denatured ethanol by volume authorized in a waiver 
10.3 	granted by the United States Environmental Protection Agency under section 211(f)(4) of 
10.4 	the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).
10.5 	(b) For purposes of enforcing the minimum ethanol requirement of paragraph 
10.6 	(a), clause (1), a gasoline/ethanol blend will be construed to be in compliance if the 
10.7 	ethanol content, exclusive of denaturants and other permitted contaminants components, 
10.8 	comprises not less than 18.4 percent by volume and not more than 20 percent by volume 
10.9 	of the blend as determined by an appropriate United States Environmental Protection 
10.10 	Agency or American Society of Testing Materials standard method of analysis of alcohol 
10.11 	content in motor fuels.
10.12 	(c) No motor fuel shall be deemed to be a defective product by virtue of the fact 
10.13 	that the motor fuel is formulated or blended pursuant to the requirements of paragraph 
10.14 	(a) under any theory of liability except for simple or willful negligence or fraud. This 
10.15 	paragraph does not preclude an action for negligent, fraudulent, or willful acts. This 
10.16 	paragraph does not affect a person whose liability arises under chapter 115, water pollution 
10.17 	control; 115A, waste management; 115B, environmental response and liability; 115C, 
10.18 	leaking underground storage tanks; or 299J, pipeline safety; under public nuisance law 
10.19 	for damage to the environment or the public health; under any other environmental or 
10.20 	public health law; or under any environmental or public health ordinance or program of a 
10.21 	municipality as defined in section 466.01.
10.22 	(d)(c) This subdivision expires on December 31, 2010 2012, if by that date:
10.23 	(1) the commissioner of agriculture certifies and publishes the certification in 
10.24 	the State Register that at least 20 percent of the volume of gasoline sold in the state 
10.25 	is denatured ethanol; or
10.26 	(2) federal approval has not been granted under paragraph (a), clause (1). The 
10.27 	United States Environmental Protection Agency's failure to act on an application shall not 
10.28 	be deemed approval under paragraph (a), clause (1), or a waiver under section 211(f)(4) of 
10.29 	the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).

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

10.31 	Sec. 19. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 
10.32 	to read:
10.33 		Subd. 2a.Federal Clean Air Act waivers; conditions. (a) Before a waiver granted 
10.34 	by the United States Environmental Protection Agency under section 211(f)(4) of the 
10.35 	Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4), 
11.1 	may alter the minimum content level required by subdivision 1, paragraph (a), clause (2), 
11.2 	or subdivision 1a, paragraph (a), clause (2), the waiver must:
11.3 	(1) apply to all gasoline-powered motor vehicles irrespective of model year; and
11.4 	(2) allow for special regulatory treatment of Reid vapor pressure under Code of 
11.5 	Federal Regulations, title 40, section 80.27(d), for blends of gasoline and ethanol up to the 
11.6 	maximum percent of denatured ethanol by volume authorized under the waiver.
11.7 	(b) The minimum ethanol requirement in subdivision 1, paragraph (a), clause (2), 
11.8 	or subdivision 1a, paragraph (a), clause (2), shall, upon the grant of the federal waiver, 
11.9 	be effective the day after the commissioner of commerce publishes notice in the State 
11.10 	Register. In making this determination, the commissioner shall consider the amount of 
11.11 	time required by refiners, retailers, pipeline and distribution terminal companies, and 
11.12 	other fuel suppliers, acting expeditiously, to make the operational and logistical changes 
11.13 	required to supply fuel in compliance with the minimum ethanol requirement.

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

11.15 	Sec. 20. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 
11.16 	to read:
11.17 		Subd. 2b.Limited liability waiver. No motor fuel shall be deemed to be a defective 
11.18 	product by virtue of the fact that the motor fuel is formulated or blended pursuant to 
11.19 	the requirements of subdivision 1, paragraph (a), clause (2), or subdivision 1a, under 
11.20 	any theory of liability except for simple or willful negligence or fraud. This subdivision 
11.21 	does not preclude an action for negligent, fraudulent, or willful acts. This subdivision 
11.22 	does not affect a person whose liability arises under chapter 115, water pollution control; 
11.23 	115A, waste management; 115B, environmental response and liability; 115C, leaking 
11.24 	underground storage tanks; or 299J, pipeline safety; under public nuisance law for damage 
11.25 	to the environment or the public health; under any other environmental or public health 
11.26 	law; or under any environmental or public health ordinance or program of a municipality 
11.27 	as defined in section 466.01.

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

11.29 	Sec. 21. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision 
11.30 	to read:
11.31 		Subd. 2c.Fuel dispensing equipment; blends over ten percent ethanol.
 11.32 	Notwithstanding any other law or rule, fuel dispensing equipment authorized to dispense 
12.1 	fuel under subdivision 1, paragraph (a), clause (1), is authorized to dispense fuel under 
12.2 	subdivision 1, paragraph (a), clause (2), or subdivision 1a.

12.3 	Sec. 22. Minnesota Statutes 2008, section 336.9-531, is amended to read:
12.4 	336.9-531 ELECTRONIC ACCESS; LIABILITY; RETENTION.
12.5 	(a) Electronic access. The secretary of state may allow private parties to have 
12.6 	electronic access to the central filing system and to other computerized records maintained 
12.7 	by the secretary of state on a fee basis, except that: (1) visual access to electronic display 
12.8 	terminals at the public counters at the Secretary of State's Office must be without charge 
12.9 	and must be available during public counter hours; and (2) access by law enforcement 
12.10 	personnel, acting in an official capacity, must be without charge. If the central filing system 
12.11 	allows a form of electronic access to information regarding the obligations of debtors, the 
12.12 	access must be available 24 hours a day, every day of the year. Notwithstanding section 
12.13 	13.355, private parties who have electronic access to computerized records may view the 
12.14 	Social Security number information about a debtor that is of record.
12.15 	Notwithstanding section 13.355, a filing office may include Social Security number 
12.16 	information in an information request response under section 336.9-523 or a search of 
12.17 	other liens in the central filing system. A filing office may also include Social Security 
12.18 	number information on a photocopy or electronic copy of a record whether provided in 
12.19 	an information request response or in response to a request made under section 13.03. A 
12.20 	Social Security number or tax identification number maintained by the secretary of state 
12.21 	under this section is private data on individuals or nonpublic data, as defined in section 
12.22 	13.02.
12.23 	(b) Liability. The secretary of state, county recorders, and their employees and 
12.24 	agents are not liable for any loss or damages arising from errors in or omissions from 
12.25 	information entered into the central filing system as a result of the electronic transmission 
12.26 	of tax lien notices under sections 268.058, subdivision 1, paragraph (c); 270C.63, 
12.27 	subdivision 4; 272.483; and 272.488, subdivisions 1 and 3.
12.28 	The state, the secretary of state, counties, county recorders, and their employees and 
12.29 	agents are immune from liability that occurs as a result of errors in or omissions from 
12.30 	information provided from the central filing system.
12.31 	(c) Retention. Once the image of a paper record has been captured by the central 
12.32 	filing system, the secretary of state may remove or direct the removal from the files and 
12.33 	destroy the paper record.

13.1 	EFFECTIVE DATE. This section is effective for financing statements filed in the 
13.2 	central filing system after November 30, 2010.

13.3 	Sec. 23. Minnesota Statutes 2008, section 336A.08, subdivision 1, is amended to read:
13.4 		Subdivision 1.Compilation. (a) The secretary of state shall compile the information 
13.5 	on effective financing statements in the computerized filing system into a master list:
13.6 	(1) organized according to farm product;
13.7 	(2) arranged within each product:
13.8 	(i) in alphabetical order according to the last name of the individual debtor or, in 
13.9 	the case of debtors doing business other than as individuals, the first word in the name 
13.10 	of the debtors;
13.11 	(ii) in numerical order according to the Social Security number of the individual 
13.12 	debtor or, in the case of debtors doing business other than as individuals, the Internal 
13.13 	Revenue Service taxpayer identification number of the debtors unique identifier assigned 
13.14 	by the secretary of state to, and associated with, the Social Security number or tax 
13.15 	identification number of the debtor;
13.16 	(iii) geographically by county; and
13.17 	(iv) by crop year;
13.18 	(3) containing the information provided on an effective financing statement; and
13.19 	(4) designating any applicable terminations of the effective financing statement.
13.20 	(b) The secretary of state shall compile information from lien notices recorded in the 
13.21 	computerized filing system into a statutory lien master list in alphabetical order according 
13.22 	to the last name of the individual debtor or, in the case of debtors doing business other 
13.23 	than as individuals, the first word in the name of the debtors. The secretary of state may 
13.24 	also organize the statutory lien master list according to one or more of the categories of 
13.25 	information established in paragraph (a). Any terminations of lien notices must be noted.

13.26 	EFFECTIVE DATE. This section is effective for lists compiled pursuant to this 
13.27 	section after October 31, 2010.

13.28 	Sec. 24. Minnesota Statutes 2008, section 336A.08, subdivision 4, is amended to read:
13.29 		Subd. 4.Distribution of master and partial lists. (a) The secretary of state shall 
13.30 	maintain the information on the effective financing statement master list:
13.31 	(1) by farm product arranged alphabetically by debtor; and
13.32 	(2) by farm product arranged numerically by the debtor's Social Security number for 
13.33 	an individual debtor or, in the case of debtors doing business other than as individuals, the 
13.34 	Internal Revenue Service taxpayer identification number of the debtors unique identifier 
14.1 	assigned by the secretary of state to, and associated with, the Social Security number 
14.2 	or tax identification number of the debtor.
14.3 	(b) The secretary of state shall maintain the information in the farm products 
14.4 	statutory lien master list by county arranged alphabetically by debtor.
14.5 	(c) The secretary of state shall distribute or make available the requested master and 
14.6 	partial master lists on a monthly basis to farm product dealers registered under section 
14.7 	336A.11. Lists will be distributed or made available on or before the tenth day of each 
14.8 	month or on the next business day thereafter if the tenth day is not a business day.  
14.9 	(d) The secretary of state shall make the master and partial master lists available 
14.10 	as written or printed paper documents and may make lists available in other forms or 
14.11 	media, including:
14.12 	(1) any electronically transmitted medium; or
14.13 	(2) any form of digital media.
14.14 	(e) There shall be no fee for partial or master lists distributed via an electronically 
14.15 	transmitted medium. The annual fee for any other form of digital media is $200. The 
14.16 	annual fee for paper partial lists is $250 and $400 for paper master lists.
14.17 	(f) A farm products dealer shall register pursuant to section 336A.11 by the last 
14.18 	business day of the month to receive the monthly lists requested by the farm products 
14.19 	dealer for that month.  
14.20 	(g) If a registered farm products dealer receives a monthly list that cannot be read or 
14.21 	is incomplete, the farm products dealer must immediately inform the secretary of state by 
14.22 	telephone or e-mail of the problem. The registered farm products dealer shall confirm the 
14.23 	existence of the problem by writing to the secretary of state. The secretary of state shall 
14.24 	provide the registered farm products dealer with new monthly lists in the medium chosen 
14.25 	by the registered farm products dealer no later than five business days after receipt of the 
14.26 	oral notice from the registered farm products dealer. A registered farm products dealer is 
14.27 	not considered to have received notice of the information on the monthly lists until the 
14.28 	duplicate list is received from the secretary of state or until five days have passed since the 
14.29 	duplicate lists were deposited in the mail by the secretary of state, whichever comes first.
14.30 	(h) On receipt of a written notice pursuant to section 336A.13, the secretary of state 
14.31 	shall duplicate the monthly lists requested by the registered farm products dealer. The 
14.32 	duplicate monthly lists must be sent to the registered farm products dealer no later than five 
14.33 	business days after receipt of the written notice from the registered farm products dealer.  
14.34 	(i) A registered farm products dealer may request monthly lists in one medium 
14.35 	per registration.
15.1 	(j) Registered farm products dealers must have renewed their registration before the 
15.2 	first day of July each year. Failure to send in the registration before that date will result in 
15.3 	the farm products dealer not receiving the requested monthly lists.
15.4 	(k) Registered farm products dealers choosing to obtain monthly lists via an 
15.5 	electronically transmitted medium or in any form of digital media may choose to receive 
15.6 	all of the information for the monthly lists requested the first month and then only 
15.7 	additions and deletions to the database for the remaining 11 months of the year. Following 
15.8 	the first year of registration, the registered farm products dealer may choose to continue to 
15.9 	receive one copy of the full monthly list at the beginning of each year or may choose to 
15.10 	receive only additions and deletions.

15.11 	EFFECTIVE DATE. This section is effective for lists distributed pursuant to this 
15.12 	section after October 31, 2010.

15.13 	Sec. 25. Minnesota Statutes 2008, section 336A.14, is amended to read:
15.14 	336A.14 RESTRICTED USE OF INFORMATION.
15.15 	A Social Security number or tax identification number maintained by the secretary 
15.16 	of state under this section is private data on individuals or nonpublic data, as defined in 
15.17 	section 13.02. Information obtained from the seller of a farm product relative to the Social 
15.18 	Security number or tax identification number of the true owner of the farm product and all 
15.19 	information obtained from the master or limited list may not be used for purposes that are 
15.20 	not related to: (1) purchase of a farm product; (2) taking a security interest against a farm 
15.21 	product; or (3) perfecting a farm product statutory lien.

15.22 	EFFECTIVE DATE. This section is effective October 31, 2010.

15.23 	Sec. 26. Minnesota Statutes 2008, section 500.221, subdivision 2, is amended to read:
15.24 		Subd. 2.Aliens and non-American corporations. Except as hereinafter provided, 
15.25 	no natural person shall acquire directly or indirectly any interest in agricultural land unless 
15.26 	the person is a citizen of the United States or a permanent resident alien of the United 
15.27 	States. In addition to the restrictions in section 500.24, no corporation, partnership, 
15.28 	limited partnership, trustee, or other business entity shall directly or indirectly, acquire 
15.29 	or otherwise obtain any interest, whether legal, beneficial or otherwise, in any title to 
15.30 	agricultural land unless at least 80 percent of each class of stock issued and outstanding or 
15.31 	80 percent of the ultimate beneficial interest of the entity is held directly or indirectly by 
15.32 	citizens of the United States or permanent resident aliens. This section shall not apply: 
16.1 	(1) to agricultural land that may be acquired by devise, inheritance, as security for 
16.2 	indebtedness, by process of law in the collection of debts, or by any procedure for the 
16.3 	enforcement of a lien or claim thereon, whether created by mortgage or otherwise. All 
16.4 	agricultural land acquired in the collection of debts or by the enforcement of a lien or 
16.5 	claim shall be disposed of within three years after acquiring ownership;
16.6 	(2) to citizens or subjects of a foreign country whose rights to hold land are secured 
16.7 	by treaty;
16.8 	(3) to lands used for transportation purposes by a common carrier, as defined in 
16.9 	section 218.011, subdivision 10; 
16.10 	(4) to lands or interests in lands acquired for use in connection with (i) the production 
16.11 	of timber and forestry products by a corporation organized under the laws of Minnesota, 
16.12 	or (ii) mining and mineral processing operations. Pending the development of agricultural 
16.13 	land for the production of timber and forestry products or mining purposes the land may 
16.14 	not be used for farming except under lease to a family farm, a family farm corporation or 
16.15 	an authorized farm corporation;
16.16 	(5) to agricultural land operated for research or experimental purposes if the 
16.17 	ownership of the agricultural land is incidental to the research or experimental objectives 
16.18 	of the person or business entity and the total acreage owned by the person or business 
16.19 	entity does not exceed the acreage owned on May 27, 1977;
16.20 	(6) to the purchase of any tract of 40 acres or less for facilities incidental to pipeline 
16.21 	operation by a company operating a pipeline as defined in section 216G.01, subdivision 3; 
16.22 	(7) to agricultural land and land capable of being used as farmland in vegetable 
16.23 	processing operations that is reasonably necessary to meet the requirements of pollution 
16.24 	control law or rules; or
16.25 	(8) to an interest in agricultural land held on the August 1, 2003, by a natural person 
16.26 	with a nonimmigrant treaty investment visa, pursuant to United States Code, title 8, 
16.27 	section 1101(a)15(E)(ii), if, within five years after August 1, 2003, the person:
16.28 	(i) disposes of all agricultural land held; or
16.29 	(ii) becomes a permanent resident alien of the United States or a United States 
16.30 	citizen.; or
16.31 	(9) to an easement taken by an individual or entity for the installation and repair 
16.32 	of transmission lines and for wind rights.

16.33 	Sec. 27. Minnesota Statutes 2008, section 500.221, subdivision 4, is amended to read:
16.34 		Subd. 4.Reports. (a) Any natural person, corporation, partnership, limited 
16.35 	partnership, trustee, or other business entity prohibited from future acquisition of 
17.1 	agricultural land may retain title to any agricultural land lawfully acquired within this state 
17.2 	prior to June 1, 1981, but shall file a report with the commissioner of agriculture annually 
17.3 	before January 31 containing a description of all agricultural land held within this state, 
17.4 	the purchase price and market value of the land, the use to which it is put, the date of 
17.5 	acquisition and any other reasonable information required by the commissioner. 
17.6 	(b) An individual or entity that qualifies for an exemption under subdivision 2, 
17.7 	clause (2) or (9), and owns an interest in agricultural land shall file a report with the 
17.8 	commissioner of agriculture by December 31 of each year in which the individual or 
17.9 	entity acquires an interest in agricultural land. The report must contain a description of all 
17.10 	interests in agricultural land held by the individual or entity within this state.
17.11 	(c) The commissioner shall make the information available to the public. 
17.12 	(d) All required annual reports shall include a filing fee of $50 plus $10 for each 
17.13 	additional quarter section of land.

17.14 	Sec. 28. Minnesota Statutes 2008, section 500.24, subdivision 2, is amended to read:
17.15 		Subd. 2.Definitions. The definitions in this subdivision apply to this section.
17.16 	(a) "Farming" means the production of (1) agricultural products; (2) livestock or 
17.17 	livestock products; (3) milk or milk products; or (4) fruit or other horticultural products. It 
17.18 	does not include the processing, refining, or packaging of said products, nor the provision 
17.19 	of spraying or harvesting services by a processor or distributor of farm products. It does 
17.20 	not include the production of timber or forest products, the production of poultry or 
17.21 	poultry products, or the feeding and caring for livestock that are delivered to a corporation 
17.22 	for slaughter or processing for up to 20 days before slaughter or processing.
17.23 	(b) "Family farm" means an unincorporated farming unit owned by one or more 
17.24 	persons residing on the farm or actively engaging in farming.
17.25 	(c) "Family farm corporation" means a corporation founded for the purpose of 
17.26 	farming and the ownership of agricultural land in which the majority of the stock is held 
17.27 	by and the majority of the stockholders are persons, the spouses of persons, or current 
17.28 	beneficiaries of one or more family farm trusts in which the trustee holds stock in a family 
17.29 	farm corporation, related to each other within the third degree of kindred according to 
17.30 	the rules of the civil law, and at least one of the related persons is residing on or actively 
17.31 	operating the farm, and none of whose stockholders are corporations; provided that a 
17.32 	family farm corporation shall not cease to qualify as such hereunder by reason of any:
17.33 	(1) transfer of shares of stock to a person or the spouse of a person related within 
17.34 	the third degree of kindred according to the rules of civil law to the person making the 
18.1 	transfer, or to a family farm trust of which the shareholder, spouse, or related person is 
18.2 	a current beneficiary; or
18.3 	(2) distribution from a family farm trust of shares of stock to a beneficiary related 
18.4 	within the third degree of kindred according to the rules of civil law to a majority of the 
18.5 	current beneficiaries of the trust, or to a family farm trust of which the shareholder, spouse, 
18.6 	or related person is a current beneficiary.
18.7 	For the purposes of this section, a transfer may be made with or without 
18.8 	consideration, either directly or indirectly, during life or at death, whether or not in trust, 
18.9 	of the shares in the family farm corporation, and stock owned by a family farm trust are 
18.10 	considered to be owned in equal shares by the current beneficiaries.
18.11 	(d) "Family farm trust" means:
18.12 	(1) a trust in which:
18.13 	(i) a majority of the current beneficiaries are persons or spouses of persons who are 
18.14 	related to each other within the third degree of kindred according to the rules of civil law;
18.15 	(ii) all of the current beneficiaries are natural persons or nonprofit corporations 
18.16 	or trusts described in the Internal Revenue Code, section 170(c), as amended, and the 
18.17 	regulations under that section; and
18.18 	(iii) one of the family member current beneficiaries is residing on or actively 
18.19 	operating the farm; or the trust leases the agricultural land to a family farm unit, a 
18.20 	family farm corporation, an authorized farm corporation, an authorized livestock farm 
18.21 	corporation, a family farm limited liability company, a family farm trust, an authorized 
18.22 	farm limited liability company, a family farm partnership, or an authorized farm 
18.23 	partnership; or
18.24 	(2) a charitable remainder trust as defined in the Internal Revenue Code, section 664, 
18.25 	as amended, and the regulations under that section, and a charitable lead trust as set forth 
18.26 	in the Internal Revenue Code, section 170(f), and the regulations under that section.
18.27 	(e) "Authorized farm corporation" means a corporation meeting the following 
18.28 	standards:
18.29 	(1) it has no more than five shareholders, provided that for the purposes of this 
18.30 	section, a husband and wife are considered one shareholder;
18.31 	(2) all its shareholders, other than any estate, are natural persons or a family farm 
18.32 	trust;
18.33 	(3) it does not have more than one class of shares;
18.34 	(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 
18.35 	20 percent of its gross receipts;
19.1 	(5) shareholders holding 51 percent or more of the interest in the corporation reside 
19.2 	on the farm or are actively engaging in farming;
19.3 	(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 
19.4 	more than 1,500 acres of agricultural land; and
19.5 	(7) none of its shareholders are shareholders in other authorized farm corporations 
19.6 	that directly or indirectly in combination with the corporation own more than 1,500 acres 
19.7 	of agricultural land.
19.8 	(f) "Authorized livestock farm corporation" means a corporation formed for the 
19.9 	production of livestock and meeting the following standards:
19.10 	(1) it is engaged in the production of livestock other than dairy cattle;
19.11 	(2) all its shareholders, other than any estate, are natural persons, family farm trusts, 
19.12 	or family farm corporations;
19.13 	(3) it does not have more than one class of shares;
19.14 	(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 
19.15 	20 percent of its gross receipts;
19.16 	(5) shareholders holding 75 percent or more of the control, financial, and capital 
19.17 	investment in the corporation are farmers, and at least 51 percent of the required 
19.18 	percentage of farmers are actively engaged in livestock production;
19.19 	(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 
19.20 	more than 1,500 acres of agricultural land; and
19.21 	(7) none of its shareholders are shareholders in other authorized farm corporations 
19.22 	that directly or indirectly in combination with the corporation own more than 1,500 acres 
19.23 	of agricultural land.
19.24 	(g) "Agricultural land" means real estate used for farming or capable of being used 
19.25 	for farming in this state.
19.26 	(h) "Pension or investment fund" means a pension or employee welfare benefit fund, 
19.27 	however organized, a mutual fund, a life insurance company separate account, a common 
19.28 	trust of a bank or other trustee established for the investment and reinvestment of money 
19.29 	contributed to it, a real estate investment trust, or an investment company as defined in 
19.30 	United States Code, title 15, section 80a-3.
19.31 	(i) "Farm homestead" means a house including adjoining buildings that has been 
19.32 	used as part of a farming operation or is part of the agricultural land used for a farming 
19.33 	operation.
19.34 	(j) "Family farm partnership" means a limited partnership formed for the purpose of 
19.35 	farming and the ownership of agricultural land in which the majority of the interests in 
19.36 	the partnership is held by and the majority of the partners are natural persons or current 
20.1 	beneficiaries of one or more family farm trusts in which the trustee holds an interest in a 
20.2 	family farm partnership related to each other within the third degree of kindred according 
20.3 	to the rules of the civil law, and at least one of the related persons is residing on the farm, 
20.4 	actively operating the farm, or the agricultural land was owned by one or more of the 
20.5 	related persons for a period of five years before its transfer to the limited partnership, and 
20.6 	none of the partners is a corporation. A family farm partnership does not cease to qualify 
20.7 	as a family farm partnership because of a:
20.8 	(1) transfer of a partnership interest to a person or spouse of a person related within 
20.9 	the third degree of kindred according to the rules of civil law to the person making the 
20.10 	transfer or to a family farm trust of which the partner, spouse, or related person is a current 
20.11 	beneficiary; or
20.12 	(2) distribution from a family farm trust of a partnership interest to a beneficiary 
20.13 	related within the third degree of kindred according to the rules of civil law to a majority 
20.14 	of the current beneficiaries of the trust, or to a family farm trust of which the partner, 
20.15 	spouse, or related person is a current beneficiary.
20.16 	For the purposes of this section, a transfer may be made with or without 
20.17 	consideration, either directly or indirectly, during life or at death, whether or not in trust, 
20.18 	of a partnership interest in the family farm partnership, and interest owned by a family 
20.19 	farm trust is considered to be owned in equal shares by the current beneficiaries.
20.20 	(k) "Authorized farm partnership" means a limited partnership meeting the following 
20.21 	standards:
20.22 	(1) it has been issued a certificate from the secretary of state or is registered with the 
20.23 	county recorder and farming and ownership of agricultural land is stated as a purpose or 
20.24 	character of the business;
20.25 	(2) it has no more than five partners;
20.26 	(3) all its partners, other than any estate, are natural persons or family farm trusts;
20.27 	(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 
20.28 	20 percent of its gross receipts;
20.29 	(5) its general partners hold at least 51 percent of the interest in the land assets of the 
20.30 	partnership and reside on the farm or are actively engaging in farming not more than 1,500 
20.31 	acres as a general partner in an authorized limited partnership;
20.32 	(6) its limited partners do not participate in the business of the limited partnership 
20.33 	including operating, managing, or directing management of farming operations;
20.34 	(7) it does not, directly or indirectly, own or otherwise have an interest in any title to 
20.35 	more than 1,500 acres of agricultural land; and
21.1 	(8) none of its limited partners are limited partners in other authorized farm 
21.2 	partnerships that directly or indirectly in combination with the partnership own more than 
21.3 	1,500 acres of agricultural land.
21.4 	(l) "Family farm limited liability company" means a limited liability company 
21.5 	founded for the purpose of farming and the ownership of agricultural land in which the 
21.6 	majority of the membership interests is held by and the majority of the members are 
21.7 	natural persons, or current beneficiaries of one or more family farm trusts in which the 
21.8 	trustee holds an interest in a family farm limited liability company related to each other 
21.9 	within the third degree of kindred according to the rules of the civil law, and at least one of 
21.10 	the related persons is residing on the farm, actively operating the farm, or the agricultural 
21.11 	land was owned by one or more of the related persons for a period of five years before 
21.12 	its transfer to the limited liability company, and none of the members is a corporation or 
21.13 	a limited liability company. A family farm limited liability company does not cease to 
21.14 	qualify as a family farm limited liability company because of:
21.15 	(1) a transfer of a membership interest to a person or spouse of a person related 
21.16 	within the third degree of kindred according to the rules of civil law to the person making 
21.17 	the transfer or to a family farm trust of which the member, spouse, or related person is 
21.18 	a current beneficiary; or
21.19 	(2) distribution from a family farm trust of a membership interest to a beneficiary 
21.20 	related within the third degree of kindred according to the rules of civil law to a majority 
21.21 	of the current beneficiaries of the trust, or to a family farm trust of which the member, 
21.22 	spouse, or related person is a current beneficiary.
21.23 	For the purposes of this section, a transfer may be made with or without 
21.24 	consideration, either directly or indirectly, during life or at death, whether or not in trust, of 
21.25 	a membership interest in the family farm limited liability company, and interest owned by 
21.26 	a family farm trust is considered to be owned in equal shares by the current beneficiaries. 
21.27 	Except for a state or federally chartered financial institution acquiring an encumbrance 
21.28 	for the purpose of security or an interest under paragraph (x), a member of a family farm 
21.29 	limited liability company may not transfer a membership interest, including a financial 
21.30 	interest, to a person who is not otherwise eligible to be a member under this paragraph.
21.31 	(m) "Authorized farm limited liability company" means a limited liability company 
21.32 	meeting the following standards:
21.33 	(1) it has no more than five members;
21.34 	(2) all its members, other than any estate, are natural persons or family farm trusts;
21.35 	(3) it does not have more than one class of membership interests;
22.1 	(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed 
22.2 	20 percent of its gross receipts;
22.3 	(5) members holding 51 percent or more of both the governance rights and financial 
22.4 	rights in the limited liability company reside on the farm or are actively engaged in 
22.5 	farming;
22.6 	(6) it does not, directly or indirectly, own or otherwise have an interest in any title to 
22.7 	more than 1,500 acres of agricultural land; and
22.8 	(7) none of its members are members in other authorized farm limited liability 
22.9 	companies that directly or indirectly in combination with the authorized farm limited 
22.10 	liability company own more than 1,500 acres of agricultural land.
22.11 	Except for a state or federally chartered financial institution acquiring an 
22.12 	encumbrance for the purpose of security or an interest under paragraph (x), a member of 
22.13 	an authorized farm limited liability company may not transfer a membership interest, 
22.14 	including a financial interest, to a person who is not otherwise eligible to be a member 
22.15 	under this paragraph.
22.16 	(n) "Farmer" means a natural person who regularly participates in physical labor or 
22.17 	operations management in the person's farming operation and files "Schedule F" as part of 
22.18 	the person's annual Form 1040 filing with the United States Internal Revenue Service.
22.19 	(o) "Actively engaged in livestock production" means performing day-to-day 
22.20 	physical labor or day-to-day operations management that significantly contributes to 
22.21 	livestock production and the functioning of a livestock operation.
22.22 	(p) "Research or experimental farm" means a corporation, limited partnership, 
22.23 	pension, investment fund, or limited liability company that owns or operates agricultural 
22.24 	land for research or experimental purposes, provided that any commercial sales from the 
22.25 	operation are incidental to the research or experimental objectives of the corporation. A 
22.26 	corporation, limited partnership, limited liability company, or pension or investment fund 
22.27 	seeking initial approval by the commissioner to operate agricultural land for research or 
22.28 	experimental purposes must first submit to the commissioner a prospectus or proposal of 
22.29 	the intended method of operation containing information required by the commissioner 
22.30 	including a copy of any operational contract with individual participants.
22.31 	(q) "Breeding stock farm" means a corporation, limited partnership, or limited 
22.32 	liability company, that owns or operates agricultural land for the purpose of raising 
22.33 	breeding stock, including embryos, for resale to farmers or for the purpose of growing 
22.34 	seed, wild rice, nursery plants, or sod. An entity that is organized to raise livestock 
22.35 	other than dairy cattle under this paragraph that does not qualify as an authorized farm 
22.36 	corporation must:
23.1 	(1) sell all castrated animals to be fed out or finished to farming operations that are 
23.2 	neither directly nor indirectly owned by the business entity operating the breeding stock 
23.3 	operation; and
23.4 	(2) report its total production and sales annually to the commissioner.
23.5 	(r) "Aquatic farm" means a corporation, limited partnership, or limited liability 
23.6 	company, that owns or leases agricultural land as a necessary part of an aquatic farm 
23.7 	as defined in section 17.47, subdivision 3. 
23.8 	(s) "Religious farm" means a corporation formed primarily for religious purposes 
23.9 	whose sole income is derived from agriculture.
23.10 	(t) "Utility corporation" means a corporation regulated under Minnesota Statutes 
23.11 	1974, chapter 216B, that owns agricultural land for purposes described in that chapter, or 
23.12 	an electric generation or transmission cooperative that owns agricultural land for use in 
23.13 	its business if the land is not used for farming except under lease to a family farm unit, 
23.14 	a family farm corporation, a family farm trust, a family farm partnership, or a family 
23.15 	farm limited liability company.
23.16 	(u) "Development organization" means a corporation, limited partnership, limited 
23.17 	liability company, or pension or investment fund that has an interest in agricultural land 
23.18 	for which the corporation, limited partnership, limited liability company, or pension or 
23.19 	investment fund has documented plans to use and subsequently uses the land within 
23.20 	six years from the date of purchase for a specific nonfarming purpose, or if the land is 
23.21 	zoned nonagricultural, or if the land is located within an incorporated area. A corporation, 
23.22 	limited partnership, limited liability company, or pension or investment fund may hold 
23.23 	agricultural land in the amount necessary for its nonfarm business operation; provided, 
23.24 	however, that pending the development of agricultural land for nonfarm purposes, the land 
23.25 	may not be used for farming except under lease to a family farm unit, a family farm 
23.26 	corporation, a family farm trust, an authorized farm corporation, an authorized livestock 
23.27 	farm corporation, a family farm partnership, an authorized farm partnership, a family farm 
23.28 	limited liability company, or an authorized farm limited liability company, or except when 
23.29 	controlled through ownership, options, leaseholds, or other agreements by a corporation 
23.30 	that has entered into an agreement with the United States under the New Community Act 
23.31 	of 1968 (Title IV of the Housing and Urban Development Act of 1968, United States Code, 
23.32 	title 42, sections 3901 to 3914) as amended, or a subsidiary or assign of such a corporation.
23.33 	(v) "Exempt land" means agricultural land owned or leased by a corporation as of 
23.34 	May 20, 1973, agricultural land owned or leased by a pension or investment fund as of 
23.35 	May 12, 1981, agricultural land owned or leased by a limited partnership as of May 1, 
23.36 	1988, or agricultural land owned or leased by a trust as of the effective date of Laws 2000, 
24.1 	chapter 477, including the normal expansion of that ownership at a rate not to exceed 20 
24.2 	percent of the amount of land owned as of May 20, 1973, for a corporation; May 12, 1981, 
24.3 	for a pension or investment fund; May 1, 1988, for a limited partnership, or the effective 
24.4 	date of Laws 2000, chapter 477, for a trust, measured in acres, in any five-year period, 
24.5 	and including additional ownership reasonably necessary to meet the requirements of 
24.6 	pollution control rules. A corporation, limited partnership, or pension or investment fund 
24.7 	that is eligible to own or lease agricultural land under this section prior to May 1997, or a 
24.8 	corporation that is eligible to own or lease agricultural land as a benevolent trust under this 
24.9 	section prior to the effective date of Laws 2000, chapter 477, may continue to own or lease 
24.10 	agricultural land subject to the same conditions and limitations as previously allowed.
24.11 	(w) "Gifted land" means agricultural land acquired as a gift, either by grant or devise, 
24.12 	by an educational, religious, or charitable nonprofit corporation, limited partnership, 
24.13 	limited liability company, or pension or investment fund if all land so acquired is disposed 
24.14 	of within ten years after acquiring the title.
24.15 	(x) "Repossessed land" means agricultural land acquired by a corporation, limited 
24.16 	partnership, limited liability company, or pension or investment fund by process of law 
24.17 	in the collection of debts, or by any procedure for the enforcement of a lien or claim on 
24.18 	the land, whether created by mortgage or otherwise if all land so acquired is disposed of 
24.19 	within five years after acquiring the title. The five-year limitation is a covenant running 
24.20 	with the title to the land against any grantee, assignee, or successor of the pension or 
24.21 	investment fund, corporation, limited partnership, or limited liability company. The land 
24.22 	so acquired must not be used for farming during the five-year period, except under a 
24.23 	lease to a family farm unit, a family farm corporation, a family farm trust, an authorized 
24.24 	farm corporation, an authorized livestock farm corporation, a family farm partnership, an 
24.25 	authorized farm partnership, a family farm limited liability company, or an authorized 
24.26 	farm limited liability company. Notwithstanding the five-year divestiture requirement 
24.27 	under this paragraph, a financial institution may continue to own the agricultural land if the 
24.28 	agricultural land is leased to the immediately preceding former owner, but must dispose 
24.29 	of the agricultural land within ten years of acquiring the title. Livestock acquired by a 
24.30 	pension or investment fund, corporation, limited partnership, or limited liability company 
24.31 	in the collection of debts, or by a procedure for the enforcement of lien or claim on the 
24.32 	livestock whether created by security agreement or otherwise after August 1, 1994, must 
24.33 	be sold or disposed of within one full production cycle for the type of livestock acquired 
24.34 	or 18 months after the livestock is acquired, whichever is earlier.
24.35 	(y) "Commissioner" means the commissioner of agriculture.
25.1 	(z) "Nonprofit corporation" means a nonprofit corporation organized under state 
25.2 	nonprofit corporation or trust law or qualified for tax-exempt status under federal tax law 
25.3 	that: (1)  uses the land for a specific nonfarming purpose or; (2) leases the agricultural 
25.4 	land to a family farm unit, a family farm corporation, an authorized farm corporation, an 
25.5 	authorized livestock farm corporation, a family farm limited liability company, a family 
25.6 	farm trust, an authorized farm limited liability company, a family farm partnership, or an 
25.7 	authorized farm partnership; or (3) actively farms less than 160 acres that were acquired 
25.8 	by the nonprofit corporation prior to August 1, 2010, or actively farms less than 40 acres 
25.9 	that were acquired by the nonprofit corporation after August 1, 2010, and the nonprofit 
25.10 	corporation uses all profits from the agricultural land for educational purposes.
25.11 	(aa) "Current beneficiary" means a person who at any time during a year is entitled 
25.12 	to, or at the discretion of any person may, receive a distribution from the income or 
25.13 	principal of the trust. It does not include a distributee trust, other than a trust described in 
25.14 	section 170(c) of the Internal Revenue Code, as amended, but does include the current 
25.15 	beneficiaries of the distributee trust. It does not include a person in whose favor a power 
25.16 	of appointment could be exercised until the holder of the power of appointment actually 
25.17 	exercises the power of appointment in that person's favor. It does not include a person who 
25.18 	is entitled to receive a distribution only after a specified time or upon the occurrence of a 
25.19 	specified event until the time or occurrence of the event. For the purposes of this section, a 
25.20 	distributee trust is a current beneficiary of a family farm trust.
25.21 	(bb) "De minimis" means that any corporation, pension or investment fund, limited 
25.22 	liability company, or limited partnership that directly or indirectly owns, acquires, or 
25.23 	otherwise obtains any interest in 40 acres or less of agricultural land and annually receives 
25.24 	less than $150 per acre in gross revenue from rental or agricultural production.

25.25 	Sec. 29. Minnesota Statutes 2008, section 514.965, subdivision 2, is amended to read:
25.26 		Subd. 2.Agricultural lien. "Agricultural lien" means an agricultural lien as defined 
25.27 	in section 336.9-102(a)(5) and includes a veterinarian's lien, breeder's lien, livestock 
25.28 	production input lien, temporary livestock production input lien, and feeder's lien under 
25.29 	this section and section 514.966.  

25.30 	Sec. 30. Minnesota Statutes 2008, section 514.966, is amended by adding a subdivision 
25.31 	to read:
25.32 		Subd. 3a.Temporary livestock production input lien; debtor in mediation. (a) 
25.33 	A supplier furnishing livestock production inputs in the ordinary course of business to 
25.34 	a debtor who has filed a mediation request under chapter 583 has a temporary livestock 
26.1 	production input lien for the unpaid retail cost of the livestock production input. A 
26.2 	perfected temporary livestock production input lien that attaches to livestock may not 
26.3 	exceed the amount, if any, that the sales price of the livestock for which the inputs were 
26.4 	received exceeds the greater of the fair market value of the livestock at the time the lien 
26.5 	attaches or the acquisition price of the livestock. A temporary livestock production input 
26.6 	lien becomes effective when the agricultural production inputs are furnished by the 
26.7 	supplier to the purchaser.
26.8 	(b) A temporary livestock production input lien under this subdivision applies 
26.9 	to livestock production inputs provided to the debtor during the 45 days following a 
26.10 	mediation request under chapter 583.
26.11 	(c) A person who supplies livestock production inputs under this subdivision shall 
26.12 	provide a lien-notification statement as required under subdivision 3, paragraphs (b) 
26.13 	and (c), but is not subject to subdivision 3, paragraphs (d) to (f). A perfected temporary 
26.14 	livestock production input lien corresponding to the lien-notification statement has priority 
26.15 	over any security interest of the lender in the same livestock or their proceeds for the 
26.16 	lesser of:
26.17 	(1) the amount stated in the lien-notification statement; or
26.18 	(2) the unpaid retail cost of the livestock production input identified in the 
26.19 	lien-notification statement, subject to any limitation in paragraph (a).

26.20 	Sec. 31. Minnesota Statutes 2008, section 514.966, subdivision 5, is amended to read:
26.21 		Subd. 5.Scope. A veterinarian's lien, breeder's lien, livestock production input lien, 
26.22 	temporary livestock production lien, or feeder's lien attaches to the livestock serviced by 
26.23 	the agricultural lienholder, and products and proceeds thereof to the extent of the price 
26.24 	or value of the service provided.

26.25 	Sec. 32. Minnesota Statutes 2008, section 514.966, subdivision 6, is amended to read:
26.26 		Subd. 6.Perfection. (a) An agricultural lien under this section is perfected if a 
26.27 	financing statement is filed pursuant to sections 336.9-501 to 336.9-530 and within the 
26.28 	time periods set forth in paragraphs (b) to (e) (f).  
26.29 	(b) A veterinarian's lien must be perfected on or before 180 days after the last item 
26.30 	of the veterinary service is performed.
26.31 	(c) A breeder's lien must be perfected by six months after the last date that breeding 
26.32 	services are provided the obligor.
27.1 	(d) Except as provided in paragraph (f), a livestock production input lien must be 
27.2 	perfected by six months after the last date that livestock production inputs are furnished 
27.3 	the obligor.
27.4 	(e) A feeder's lien must be perfected on or before 60 days after the last date that 
27.5 	feeding services are furnished the obligor.
27.6 	(f) A temporary livestock production input lien, under subdivision 3a, must be 
27.7 	perfected on or before 60 days after the last date that livestock production inputs are 
27.8 	furnished the obligor.

27.9 	Sec. 33. Laws 2008, chapter 296, article 1, section 25, the effective date, is amended to 
27.10 	read:

27.11 	EFFECTIVE DATE. This section is effective June 1, 2010 2012.

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

27.13 	Sec. 34. FERTILIZER RESEARCH GRANTS; EXTENSION OF 
27.14 	APPROPRIATION AVAILABILITY.
 27.15 	Notwithstanding Minnesota Statutes, section 16A.28:
27.16 	(1) the appropriation encumbered on or before June 30, 2009, for fertilizer research 
27.17 	grants in Laws 2007, chapter 45, article 1, section 3, subdivision 5, is available until 
27.18 	June 30, 2011;
27.19 	(2) the fiscal year 2010 appropriation encumbered on or before June 30, 2011, for 
27.20 	fertilizer research grants in Laws 2009, chapter 94, article 1, section 3, subdivision 5, is 
27.21 	available until June 30, 2013; and
27.22 	(3) the fiscal year 2011 appropriation encumbered on or before June 30, 2012, for 
27.23 	fertilizer research grants in Laws 2009, chapter 94, article 1, section 3, subdivision 5, 
27.24 	is available until June 30, 2014.

27.25 	Sec. 35. DAIRY RESEARCH AND EDUCATION FACILITY; 
27.26 	COLLABORATION.
 27.27 	The commissioner of agriculture shall convene one or more meetings with milk 
27.28 	producers, other industry stakeholders, and representatives of the University of Minnesota 
27.29 	and Minnesota State Colleges and Universities System whose work relates to the dairy 
27.30 	industry to consider the elements of a dairy research and education facility which would 
27.31 	represent a partnership between higher education institutions and the dairy industry. No 
28.1 	later than February 1, 2011, the commissioner shall provide a report on facility and 
28.2 	financing options to the legislative committees with jurisdiction over agriculture finance.

28.3 	Sec. 36. APPROPRIATION; TERMINAL CAPACITY REPORT.
 28.4 	$40,000 is appropriated in fiscal year 2011 from the liquefied petroleum gas account 
28.5 	in the special revenue fund under Minnesota Statutes, section 239.785, subdivision 6 
28.6 	to the commissioner of agriculture for a terminal capacity report. This is a onetime 
28.7 	appropriation. The commissioner of agriculture, with assistance from the Office of Energy 
28.8 	Security, shall determine the total propane and anhydrous ammonia terminal capacity 
28.9 	located in the state and within 100 miles of the state's borders. The commissioner shall 
28.10 	also use projected grain yields and other relevant factors to estimate total agricultural 
28.11 	demand for propane and anhydrous ammonia in this state in the year 2020 and shall 
28.12 	develop a detailed plan for fully and economically satisfying this anticipated demand. No 
28.13 	later than February 1, 2011, the commissioner shall present the report to the legislative 
28.14 	committees with jurisdiction over agriculture finance.

28.15 	Sec. 37. INDUSTRIAL HEMP REPORT.
 28.16 	The commissioner of agriculture shall identify and analyze industrial hemp laws 
28.17 	and procedures in Canada or one or more of the other 30 nations where industrial hemp is 
28.18 	grown as an agricultural crop. In particular, the commissioner shall report on how law 
28.19 	enforcement and other authorities differentiate between industrial hemp and marijuana 
28.20 	growing in the field. No later than February 15, 2011, the commissioner shall present a 
28.21 	report on this topic to the legislative committees with jurisdiction over agriculture policy 
28.22 	and finance and provide a copy to the Minnesota Police and Peace Officers Association, 
28.23 	the Minnesota Chiefs of Police Association, the Minnesota Sheriffs' Association, and the 
28.24 	Minnesota County Attorneys Association.

28.25 	Sec. 38. BIOENERGY DEVELOPMENT; REPORT.
 28.26 	The commissioner of agriculture shall actively pursue federal and other resources 
28.27 	available to promote and achieve greater production and use of biofuels in this state, 
28.28 	including but not limited to increasing the availability of retail fuel dispensers for E85 and 
28.29 	intermediate ethanol-gasoline blends. No later than February 15, 2011, the commissioner 
28.30 	shall report on activities and accomplishments under this section to the legislative 
28.31 	committees with jurisdiction over agriculture finance.

28.32 	Sec. 39. FOREST PEST WORKGROUP; REPORT.
 29.1 	(a) The commissioners of agriculture and natural resources shall form a workgroup 
29.2 	and develop recommendations on how the state should address mitigation of invasive or 
29.3 	exotic forest pests, primarily gypsy moth and emerald ash borer. The commissioners shall 
29.4 	consult with representatives of the Forest and Animal and Plant Health Inspection Services 
29.5 	of the United States Department of Agriculture, local units of government, the nursery 
29.6 	industry, and the timber industry. The commissioners shall report to the legislature under 
29.7 	Minnesota Statutes, section 3.195, no later than September 1, 2010.
29.8 	(b) The recommendations must outline current funding sources for forest pest 
29.9 	survey, treatment, quarantine, and outreach activities and must explore and evaluate 
29.10 	alternative or additional funding options. The workgroup shall also report on:
29.11 	(1) the public and private sector benefits of forest pest survey, detection, eradication 
29.12 	and outreach efforts;
29.13 	(2) potential ramifications if the state discontinues efforts to control forest pests, 
29.14 	including but not limited to the economic and commercial impact of a statewide quarantine 
29.15 	and the environmental consequences of forests pests left unabated;
29.16 	(3) clarifying statutory and regulatory roles and responsibilities of state agencies and 
29.17 	local units of government as well as identifying and evaluating options for consolidating 
29.18 	these roles and responsibilities; and
29.19 	(4) the roles that federal agencies play in managing and regulating invasive forest 
29.20 	pests.

29.21 	Sec. 40.  REPEALER.
 29.22 	Minnesota Statutes 2008, sections 17.231; and 343.26, and Laws 2009, chapter 94, 
29.23 	article 1, section 106,  are repealed.

29.24 	ARTICLE 2
29.25 	VETERANS

29.26 	Section 1. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision 
29.27 	to read:
29.28 		Subd. 6.Folding of the state flag for presentation or display. The following 
29.29 	procedures constitute the proper way to fold the Minnesota State Flag for presentation or 
29.30 	display. Fold the flag four times lengthwise so that one section displays the three stars 
29.31 	of the state crest and the text "L'Etoile du Nord." Fold each side behind the displayed 
29.32 	section at a 90-degree angle so that the display section forms a triangle. Take the section 
29.33 	ending with the hoist and fold it at a 90-degree angle across the bottom of the display 
29.34 	section and then fold the hoist back over so it is aligned with the middle of the display 
30.1 	section. Fold the other protruding section directly upwards so that its edge is flush with 
30.2 	the display section and then fold it upwards along a 45-degree angle so that a mirror 
30.3 	of the display section triangle is formed. Fold the mirror section in half from the point 
30.4 	upwards, then fold the remaining portion upwards, tucking it between the display section 
30.5 	and the remainder of the flag.

30.6 	Sec. 2. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision to 
30.7 	read:
30.8 		Subd. 7.Folding of the state flag for storage. When folding the Minnesota State 
30.9 	Flag for storage, the proper procedure is to fold and store the flag in the same manner as 
30.10 	the national colors.

30.11 	Sec. 3. Minnesota Statutes 2009 Supplement, section 16C.16, subdivision 6a, is 
30.12 	amended to read:
30.13 		Subd. 6a.Veteran-owned small businesses. (a) The commissioner shall award up 
30.14 	to a six percent preference, but no less than the percentage awarded to any other group 
30.15 	under this section, in the amount bid on state procurement to certified small businesses 
30.16 	that are majority-owned and operated either by:
30.17 	(1) by recently separated veterans, who are veterans as defined in section 197.447,
30.18 	who have served in active military service, at any time on or after September 11, 2001, 
30.19 	and who have been discharged under honorable conditions from active service, as 
30.20 	indicated by the person's United States Department of Defense form DD-214 or by the 
30.21 	commissioner of veterans affairs; or
30.22 	(2) by veterans who are veterans as defined in section 197.447, with 
30.23 	service-connected disabilities, as determined at any time by the United States Department 
30.24 	of Veterans Affairs; or 
30.25 	(3) any other veteran-owned small businesses certified under section 16C.19, 
30.26 	paragraph (d).
30.27 	(b) The purpose of this designation is to facilitate the transition of veterans from 
30.28 	military to civilian life, and to help compensate veterans for their sacrifices, including but 
30.29 	not limited to their sacrifice of health and time, to the state and nation during their military 
30.30 	service, as well as to enhance economic development within Minnesota.
30.31 	(c) For purposes of this section and section 16C.19, "service-connected disability" 
30.32 	has the meaning given in United States Code, title 38, section 101(16), as determined by 
30.33 	the United States Department of Veterans Affairs.

31.1 	EFFECTIVE DATE. This section is effective July 1, 2010, and applies to 
31.2 	businesses that apply for state contracts being awarded on or after that date.

31.3 	Sec. 4. Minnesota Statutes 2009 Supplement, section 16C.19, is amended to read:
31.4 	16C.19 ELIGIBILITY; RULES.
31.5 	(a) A small business wishing to participate in the programs under section 16C.16, 
31.6 	subdivisions 4 to 7, must be certified by the commissioner. The commissioner shall adopt 
31.7 	by rule standards and procedures for certifying that small businesses, small targeted group 
31.8 	businesses, and small businesses located in economically disadvantaged areas are eligible 
31.9 	to participate under the requirements of sections 16C.16 to 16C.21. The commissioner 
31.10 	shall adopt by rule standards and procedures for hearing appeals and grievances and other 
31.11 	rules necessary to carry out the duties set forth in sections 16C.16 to 16C.21. 
31.12 	(b) The commissioner may make rules which exclude or limit the participation of 
31.13 	nonmanufacturing business, including third-party lessors, brokers, franchises, jobbers, 
31.14 	manufacturers' representatives, and others from eligibility under sections 16C.16 to 
31.15 	16C.21. 
31.16 	(c) The commissioner may make rules that set time limits and other eligibility limits 
31.17 	on business participation in programs under sections 16C.16 to 16C.21. 
31.18 	(d) Notwithstanding paragraph (c), for purposes of sections 16C.16 to 16C.21, 
31.19 	a veteran-owned small business or service-disabled veteran-owned small business, the 
31.20 	principal place of business of which is in Minnesota, is certified if:
31.21 	(1) it has been verified by the United States Department of Veterans Affairs as 
31.22 	being either a veteran-owned small business or a service-disabled veteran-owned small 
31.23 	business, in accordance with Public Law 109-461 and Code of Federal Regulations, title 
31.24 	38, part 74, and a majority of the owners of the business are recently separated veterans as 
31.25 	provided in section 16C.16, subdivision 6a; or
31.26 	(2) it has been verified by the United States Department of Veterans Affairs as being 
31.27 	a service-disabled veteran-owned small business in accordance with Public Law 109-461 
31.28 	and Code of Federal Regulations, title 38, part 74.

31.29 	EFFECTIVE DATE. This section is effective July 1, 2010, and applies to 
31.30 	businesses that apply for state contracts being awarded on or after that date.

31.31 	Sec. 5. Minnesota Statutes 2008, section 123B.35, is amended to read:
31.32 	123B.35 GENERAL POLICY.
32.1 	It is the policy of the state of Minnesota that public school education shall be 
32.2 	free and no pupil shall be denied an education because of economic inability to furnish 
32.3 	educational books and supplies necessary to complete educational requirements necessary 
32.4 	for graduation. Any practice leading to suspension, coercion, exclusion, withholding of 
32.5 	grades or diplomas, or discriminatory action based upon nonpayment of fees denies pupils 
32.6 	their right to equal protection and entitled privileges. It is recognized that school boards 
32.7 	do have the right to accept voluntary contributions and,  to make certain charges and to 
32.8 	establish fees in areas considered extra curricular, noncurricular or supplementary to the 
32.9 	requirements for the successful completion of a class or educational program, and to waive 
32.10 	those fees under certain circumstances. No public school board may require, except as 
32.11 	authorized by sections 123B.36 and 123B.38, the payment of fees.  

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

32.13 	Sec. 6. Minnesota Statutes 2008, section 123B.36, subdivision 6, is amended to read:
32.14 		Subd. 6.Waiver of student fees based on need. (a) A board may waive any deposit 
32.15 	or fee for any pupil whose parent is serving in, or within the past year has served in, active 
32.16 	military service as defined under section 190.05.
32.17 	(b) A board may waive any deposit or fee if any pupil or the pupil's parent or 
32.18 	guardian is unable to pay it.

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

32.20 	Sec. 7. Minnesota Statutes 2008, section 168.123, subdivision 2, is amended to read:
32.21 		Subd. 2.Design. The commissioner of veterans affairs shall design the emblem for 
32.22 	the veterans' special plates, subject to the approval of the commissioner, that satisfy the 
32.23 	following requirements:
32.24 	(a) For a Vietnam veteran who served after July 1, 1961, and before July 1, 1978, 
32.25 	in the active military service in a branch of the armed forces of the United States or a 
32.26 	nation or society allied with the United States the special plates must bear the inscription 
32.27 	"VIETNAM VET" and the letters "V" and "V" with the first letter directly above the 
32.28 	second letter and both letters just preceding the first numeral of the special plate number.
32.29 	(b) For a veteran stationed on the island of Oahu, Hawaii, or offshore, during the 
32.30 	attack on Pearl Harbor on December 7, 1941, the special plates must bear the inscription 
32.31 	"PEARL HARBOR SURVIVOR" and the letters "P" and "H" with the first letter directly 
32.32 	above the second letter and both letters just preceding the first numeral of the special 
32.33 	plate number.
33.1 	(c) For a veteran who served during World War I or World War II, the plates must 
33.2 	bear the inscription "WORLD WAR VET" and:
33.3 	(1) for a World War I veteran, the characters "W" and "I" with the first character 
33.4 	directly above the second character and both characters just preceding the first numeral 
33.5 	of the special plate number; or
33.6 	(2) for a World War II veteran, the characters "W" and "II" with the first character 
33.7 	directly above the second character and both characters just preceding the first numeral of 
33.8 	the special plate number.
33.9 	(d) For a veteran who served during the Korean Conflict, the special plates must 
33.10 	bear the inscription "KOREAN VET" and the letters "K" and "V" with the first letter 
33.11 	directly above the second letter and both letters just preceding the first numeral of the 
33.12 	special plate number.
33.13 	(e) For a combat wounded veteran who is a recipient of the purple heart medal, the 
33.14 	plates must bear the inscription "COMBAT WOUNDED VET" and have a facsimile on an 
33.15 	emblem of the official purple heart medal and the letters "C" over "W" with the first letter 
33.16 	directly over the second letter just preceding the first numeral of the special plate number.
33.17 	A member of the United States armed forces who is serving actively in the military 
33.18 	and who is a recipient of the purple heart medal is also eligible for this license plate. 
33.19 	The commissioner of public safety shall ensure that information regarding the required 
33.20 	proof of eligibility for any applicant under this paragraph who has not yet been issued 
33.21 	military discharge papers is distributed to the public officials responsible for administering 
33.22 	this section. 
33.23 	(f) For a Persian Gulf War veteran, the plates must bear the inscription "GULF 
33.24 	WAR VET" and the letters "G" and "W" with the first letter directly above the second 
33.25 	letter and both letters just preceding the first numeral of the special plate number. For 
33.26 	the purposes of this section, "Persian Gulf War veteran" means a person who served on 
33.27 	active duty after August 1, 1990, in a branch of the armed forces of the United States or 
33.28 	a nation or society allied with the United States or the United Nations during Operation 
33.29 	Desert Shield, Operation Desert Storm, or other military operation in the Persian Gulf 
33.30 	area combat zone as designated in United States Presidential Executive Order No. 12744, 
33.31 	dated January 21, 1991.
33.32 	(g) For a veteran who served in the Laos War after July 1, 1961, and before July 1, 
33.33 	1978, the special plates must bear the inscription "LAOS WAR VET" and the letters "L" 
33.34 	and "V" with the first letter directly above the second letter and both letters just preceding 
33.35 	the first numeral of the special plate number.
33.36 	(h) For a veteran who is the recipient of:
34.1 	(1) the Iraq Campaign Medal, the special plates must be inscribed with a facsimile of 
34.2 	that medal and must bear the inscription "IRAQ WAR VET" directly below the special 
34.3 	plate number;
34.4 	(2) the Afghanistan Campaign Medal, the special plates must be inscribed with a 
34.5 	facsimile of that medal and must bear the inscription "AFGHAN WAR VET" directly 
34.6 	below the special plate number; or
34.7 	(3) the Global War on Terrorism Expeditionary Medal, the special plates must 
34.8 	be inscribed with a facsimile of that medal and must bear the inscription "GWOT 
34.9 	VETERAN" directly below the special plate number.
34.10 	(i) For a veteran who is the recipient of the Global War on Terrorism Service Medal, 
34.11 	the special plates must be inscribed with a facsimile of that medal and must bear the 
34.12 	inscription "GWOT VETERAN" directly below the special plate number. In addition, 
34.13 	any member of the National Guard or other military reserves who has been ordered to 
34.14 	federally funded state active service under United States Code, title 32, as defined in 
34.15 	section 190.05, subdivision 5b, and who is the recipient of the Global War on Terrorism 
34.16 	Service Medal, is eligible for the license plate described in this paragraph, irrespective of 
34.17 	whether that person qualifies as a veteran under section 197.447.

34.18 	EFFECTIVE DATE. This section is effective August 1, 2010.

34.19 	Sec. 8. Minnesota Statutes 2008, section 196.05, is amended by adding a subdivision 
34.20 	to read:
34.21 		Subd. 3.Consumer satisfaction. (a) The commissioner shall submit a 
34.22 	memorandum each year to the governor and the chairs and ranking minority members of 
34.23 	the house of representatives and senate standing committees with jurisdiction over the 
34.24 	department's programs that provides the following information:
34.25 	(1) the number of calls made to each of the department's help lines by consumers 
34.26 	and citizens regarding services provided or regulated by the department;
34.27 	(2) the subject matter of the call;
34.28 	(3) the number of service-related calls that were resolved;
34.29 	(4) the number that remain open; and
34.30 	(5) the number that were without merit.
34.31 	(b) The commissioner shall publish the annual memorandum on the department's 
34.32 	Web site each year no later than March 1.

34.33 	Sec. 9. Minnesota Statutes 2008, section 197.455, is amended by adding a subdivision 
34.34 	to read:
35.1 		Subd. 5a.Teacher hiring. (a) Any public school under the state's Education Code 
35.2 	that chooses at any time to use a 100-point hiring method to evaluate applicants for 
35.3 	teaching positions is subject to the requirements of subdivisions 4 and 5 for determining 
35.4 	veterans preference points.
35.5 	(b) Any public school under the state's Education Code opting at any time not to use 
35.6 	a 100-point hiring method to evaluate applicants for teaching positions is exempt from 
35.7 	the requirements of subdivisions 4 and 5 for determining veterans preference points, but 
35.8 	must instead grant to any veteran who applies for a teaching position and who has proper 
35.9 	licensure for that position an interview for that position.

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

35.11 	Sec. 10. Minnesota Statutes 2009 Supplement, section 197.46, is amended to read:
35.12 	197.46 VETERANS PREFERENCE ACT; REMOVAL FORBIDDEN; RIGHT 
35.13 	OF MANDAMUS.
35.14 	Any person whose rights may be in any way prejudiced contrary to any of the 
35.15 	provisions of this section, shall be entitled to a writ of mandamus to remedy the wrong. 
35.16 	No person holding a position by appointment or employment in the several counties, 
35.17 	cities, towns, school districts and all other political subdivisions in the state, who is a 
35.18 	veteran separated from the military service under honorable conditions, shall be removed 
35.19 	from such position or employment except for incompetency or misconduct shown after a 
35.20 	hearing, upon due notice, upon stated charges, in writing.
35.21 	Any veteran who has been notified of the intent to discharge the veteran from an 
35.22 	appointed position or employment pursuant to this section shall be notified in writing of 
35.23 	such intent to discharge and of the veteran's right to request a hearing within 60 days of 
35.24 	receipt of the notice of intent to discharge. The failure of a veteran to request a hearing 
35.25 	within the provided 60-day period shall constitute a waiver of the right to a hearing. Such 
35.26 	failure shall also waive all other available legal remedies for reinstatement.
35.27 	Request for a hearing concerning such a discharge shall be made in writing and 
35.28 	submitted by mail or personal service to the employment office of the concerned employer 
35.29 	or other appropriate office or person.
35.30 	In all governmental subdivisions having an established civil service board or 
35.31 	commission, or merit system authority, such hearing for removal or discharge shall be 
35.32 	held before such civil service board or commission or merit system authority. Where no 
35.33 	such civil service board or commission or merit system authority exists, such hearing 
35.34 	shall be held by a board of three persons appointed as follows: one by the governmental 
36.1 	subdivision, one by the veteran, and the third by the two so selected. In the event the two 
36.2 	persons so selected do not appoint the third person within ten days after the appointment 
36.3 	of the last of the two, then the judge of the district court of the county wherein the 
36.4 	proceeding is pending, or if there be more than one judge in said county then any judge in 
36.5 	chambers, shall have jurisdiction to appoint, and upon application of either or both of the 
36.6 	two so selected shall appoint, the third person to the board and the person so appointed 
36.7 	by the judge with the two first selected shall constitute the board. The veteran may 
36.8 	appeal from the decision of the board upon the charges to the district court by causing 
36.9 	written notice of appeal, stating the grounds thereof, to be served upon the governmental 
36.10 	subdivision or officer making the charges within 15 days after notice of the decision 
36.11 	and by filing the original notice of appeal with proof of service thereof in the office of 
36.12 	the court administrator of the district court within ten days after service thereof. Nothing 
36.13 	in section 197.455 or this section shall be construed to apply to the position of private 
36.14 	secretary, superintendent of schools, or one chief deputy of any elected official or head of 
36.15 	a department, or to any person holding a strictly confidential relation to the appointing 
36.16 	officer. Nothing in this section shall be construed to apply to the position of teacher.
36.17 	The burden of establishing such relationship shall be upon the appointing officer in all 
36.18 	proceedings and actions relating thereto.
36.19 	All officers, boards, commissions, and employees shall conform to, comply with, 
36.20 	and aid in all proper ways in carrying into effect the provisions of section 197.455 and this 
36.21 	section notwithstanding any laws, charter provisions, ordinances or rules to the contrary. 
36.22 	Any willful violation of such sections by officers, officials, or employees is a misdemeanor.

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

36.24 	Sec. 11. Minnesota Statutes 2008, section 197.481, subdivision 1, is amended to read:
36.25 		Subdivision 1.Petition. A veteran, as defined by section 197.447, who has been 
36.26 	denied rights by the state or any political subdivision, municipality, or other public agency 
36.27 	of the state as authorized by the Veterans Preference Act under section 43A.11, 197.46, 
36.28 	197.48, or 197.455 may petition the commissioner of veterans affairs for an order directing 
36.29 	the agency to grant the veteran such relief the commissioner finds justified by said statutes. 
36.30 	The petition shall be submitted via United States mail and contain:
36.31 	(1) the name, address, telephone number, and acknowledgednotarized original 
36.32 	signature of the veteran;
36.33 	(2) the names, telephone numbers, and addresses of all agencies and persons that 
36.34 	will be directly affected if the petition is granted;
37.1 	(3) a concise statement of the facts giving rise to the veteran's rights and a concise 
37.2 	statement showing the manner in which rights were denied;
37.3 	(4) a statement of the relief requested.; and
37.4 	(5) a copy of the veteran's Form DD214 (Separation or Discharge from Active Duty).

37.5 	Sec. 12. Minnesota Statutes 2008, section 197.481, subdivision 2, is amended to read:
37.6 		Subd. 2.Service. Upon receipt and authorization verification of a complete petition 
37.7 	herein, the commissioner shall serve a copy of same, by certified mail, on all agencies and 
37.8 	persons named therein and on such other agencies or persons as in the judgment of the 
37.9 	commissioner should in justice be parties to the proceeding. The veteran and all agencies 
37.10 	and persons served shall be parties to the proceeding.

37.11 	Sec. 13. Minnesota Statutes 2008, section 197.481, subdivision 4, is amended to read:
37.12 		Subd. 4.Hearing. The commissioner shall hold schedule a hearing on the petition 
37.13 	of any party to be held or conducted within 20 120 days of serving, or being served with 
37.14 	the authorized and complete petition. The veteran may demand an opportunity to be heard 
37.15 	at a time set by the commissioner. A party who fails to demand such hearing within 20 
37.16 	days shall be heard only by permission of the commissioner, except that if any party 
37.17 	demands to be heardAt the hearing, all parties shall have the right to be heard. A hearing 
37.18 	hereunder shall be conducted and orders issued in accord with sections 14.57 to 14.60
37.19 	and 14.62, at the office of the commissioner or at a place the commissioner designates. 
37.20 	The commissioner shall notify all parties, by certified mail, of the date, time, and place 
37.21 	of the hearing. 

37.22 	Sec. 14. Minnesota Statutes 2008, section 197.585, subdivision 5, is amended to read:
37.23 		Subd. 5.Expiration. This section expires at the end of the first fiscal year in which 
37.24 	the number of veterans enrolled in Minnesota public institutions of higher education is 
37.25 	fewer than 4,000, but no later than June 30, 2011 2012.

37.26 	Sec. 15. Minnesota Statutes 2008, section 197.60, subdivision 1, is amended to read:
37.27 		Subdivision 1.Appointment; administrative support. The county board of any 
37.28 	county except Clay County, or the county boards of any two or more counties acting 
37.29 	pursuant to the provisions of section 197.602, shall appoint a veterans service officer 
37.30 	and shall provide necessary clerical help, office space, equipment, and supplies for the 
37.31 	officer, together with reimbursement for mileage and other traveling expenses necessarily 
37.32 	incurred in the performance of duties; and may appoint one or more assistant veterans 
38.1 	service officers who shall have the qualifications prescribed in are qualified under section 
38.2 	197.601. The county board of Clay County may appoint a veterans service officer and 
38.3 	assistant veterans service officers as provided in this subdivision.The county board or 
38.4 	boards shall provide necessary clerical help, office space, equipment, and supplies for the 
38.5 	officer, and reimbursement for mileage and other traveling expenses necessarily incurred 
38.6 	in the performance of duties. Subject to the direction and control of the veterans service 
38.7 	officer, the assistant veterans service officer may exercise all the powers, and shall perform 
38.8 	the duties, of the veterans service officer, and shall be is subject to all the provisions of 
38.9 	sections 197.60 to 197.606 relating to a veterans service officer. Every county officer and 
38.10 	agency shall cooperate with the veterans service officer and shall provide the officer with 
38.11 	information necessary in connection with the performance of duties.  

38.12 	Sec. 16. Minnesota Statutes 2008, section 197.601, is amended to read:
38.13 	197.601 QUALIFICATIONS OF VETERANS SERVICE OFFICERS.
38.14 	No person shall be appointed a veterans service officer or an assistant county 
38.15 	veterans service officer under sections 197.60 to 197.606without the following 
38.16 	qualifications unless the person is:  
38.17 	(1) residence in a resident of the state of Minnesota;
38.18 	(2) citizenship in a citizen of the United States; and
38.19 	(3) a veteran, as defined in section 197.447;.
38.20 	(4) education and training for the duties of veterans service officer;
38.21 	(5) knowledge of the law and the regulations and rulings of the United States 
38.22 	Veterans Administration applicable to cases before it and the administration thereof.
38.23 	In addition, a person accepting appointment to the position of county veterans 
38.24 	service officer or assistant county veterans service officer or other equivalent assistant 
38.25 	position must agree to receive, within six months of the appointment, training and 
38.26 	education for the duties of the position, including development of an effective working 
38.27 	knowledge of relevant laws, rules, and regulations pertaining to the United States 
38.28 	Department of Veterans Affairs, as applicable to veterans cases before the department and 
38.29 	the administration of those cases.

38.30 	Sec. 17. Minnesota Statutes 2008, section 197.605, is amended to read:
38.31 	197.605 SUPERVISION DEPARTMENT AS A RESOURCE TO COUNTIES.
38.32 		Subdivision 1.Methods of operation Resources available. Every veterans service 
38.33 	officer appointed under sections 197.60 to 197.606 shall be under the general supervision 
38.34 	of the commissioner of veterans affairs as to methods of operation.The commissioner of 
39.1 	veterans affairs shall make resources available within the Department of Veterans Affairs 
39.2 	to every county that operates a county veterans service office, to assist the county with 
39.3 	maintaining efficient and effective services to veterans. To receive available resources 
39.4 	from the department, a county must formally request them from the commissioner and 
39.5 	invite the commissioner or the commissioner's designee or designees into the county 
39.6 	as necessary to provide those resources. The commissioner shall consult with the 
39.7 	Association of Minnesota Counties and the Minnesota Association of County Veterans 
39.8 	Service Officers in developing a list of resources available to counties in support of their 
39.9 	county veterans service offices.
39.10 		Subd. 2.Use of agencies to present claims. Every veterans service officer and 
39.11 	assistant veterans service officer appointed under sections 197.60 to 197.606 shall use 
39.12 	the Minnesota Department of Veterans Affairs or any organization recognized by the 
39.13 	United States Department of Veterans Administration Affairs, as may be designated by the 
39.14 	veteran by power of attorney, in the presentation of claims to the United States Department 
39.15 	of Veterans Administration Affairs for the benefits referred to in section 197.603.  
39.16 		Subd. 3.Rules. The commissioner of veterans affairs shall have authority to 
39.17 	prescribe such rules as are necessary for compliance with this section and the efficient 
39.18 	uniform administration of sections 197.60 to 197.606. Such rules shall not apply to the 
39.19 	appointment, tenure, compensation, or working conditions of a veterans service officer 
39.20 	appointed under sections 197.60 to 197.606.  
39.21 		Subd. 4.Certification. The commissioner of veterans affairs shall establish a 
39.22 	certification process for veterans service officers. In doing so, the commissioner shall 
39.23 	consult with the Minnesota Association of County Veterans Service Officers.

39.24 	Sec. 18. Minnesota Statutes 2008, section 197.606, is amended to read:
39.25 	197.606 CLASSED AS COUNTY EMPLOYEES.
39.26 	Veterans service officers and assistant veterans service officers appointed under 
39.27 	sections 197.60 to 197.606 are employees of the counties by which they are employed, and 
39.28 	are under the exclusive jurisdiction and control of such those counties and the Department 
39.29 	of Veterans Affairs as herein provided.  

39.30 	Sec. 19. Minnesota Statutes 2008, section 197.609, subdivision 1, is amended to read:
39.31 		Subdivision 1.Establishment and administration. An education program for 
39.32 	county veterans service officers is established to be administered by the commissioner of 
39.33 	veterans affairs, with assistance and advice from the Minnesota Association of County 
39.34 	Veterans Service Officers.

40.1 	Sec. 20. Minnesota Statutes 2008, section 197.609, subdivision 2, is amended to read:
40.2 		Subd. 2.Eligibility. To be eligible for the program in this section, a person must 
40.3 	currently be employed as a county veterans service officer or assistant county veterans 
40.4 	service officer, as authorized by sections 197.60 to 197.606, and be certified to serve in 
40.5 	that position by the commissioner of veterans affairs or be serving a probationary period 
40.6 	as authorized by section 197.60, subdivision 2.  

40.7 	Sec. 21. Minnesota Statutes 2008, section 197.75, subdivision 1, is amended to read:
40.8 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this 
40.9 	section.
40.10 	(b) "Commissioner" means the commissioner of veterans affairs.
40.11 	(c) "Deceased veteran" means a veteran who was a Minnesota resident within six 
40.12 	months of the time of the person's entry into the United States armed forces and who has 
40.13 	died as a result of thatthe person's military service, as determined by the United States 
40.14 	Veterans Administration, and who was a resident of this state: (1) within six months of 
40.15 	entering the United States armed forces, or (2) for the six months preceding the veteran's 
40.16 	date of death. 
40.17 	(d) "Eligible child" means a person who:
40.18 	(1) is the natural or adopted son or daughterchild or stepchild of a deceased veteran; 
40.19 	and
40.20 	(2) is a student making satisfactory academic progress at an eligible institution 
40.21 	of higher education.
40.22 	(e) "Eligible institution" means a postsecondary educational institution located in 
40.23 	this state that either (1) is operated by this state, or (2) is operated publicly or privately 
40.24 	and, as determined by the office, maintains academic standards substantially equivalent 
40.25 	to those of comparable institutions operated in this state.
40.26 	(f) "Eligible spouse" means the surviving spouse of a deceased veteran.
40.27 	(g) "Eligible veteran" means a veteran who:
40.28 	(1) is a student making satisfactory academic progress at an eligible institution 
40.29 	of higher education;
40.30 	(2) had Minnesota as the person's state of residence at the time of the person's 
40.31 	enlistment or any reenlistment into the United States armed forces, as shown by the 
40.32 	person's federal form DD-214 or other official documentation to the satisfaction of the 
40.33 	commissioner;
40.34 	(3) except for benefits under this section, has no remaining military or veteran-related 
40.35 	educational assistance benefits for which the person may have been entitled; and
41.1 	(4) while using the educational assistance authorized in this section, remains a 
41.2 	resident student as defined in section 136A.101, subdivision 8.
41.3 	(h) "Satisfactory academic progress" has the meaning given in section 136A.101, 
41.4 	subdivision 10.
41.5 	(i) "Student" has the meaning given in section 136A.101, subdivision 7.
41.6 	(j) "Veteran" has the meaning given in section 197.447.

41.7 	EFFECTIVE DATE. This section is effective July 1, 2010, for educational benefits 
41.8 	provided to an eligible child or eligible spouse on or after that date.

41.9 	Sec. 22. Laws 2009, chapter 94, article 3, section 14, the effective date, is amended to 
41.10 	read:

41.11 	EFFECTIVE DATE. This section is effective July 1, 2009, and applies to 
41.12 	appointments to state and local government positions of employment made on or after 
41.13 	that date.

41.14 	EFFECTIVE DATE. This section is effective the day following final enactment 
41.15 	and applies to terminations after that date.

41.16 	Sec. 23. PLANNING NEW VETERANS CEMETERIES.
 41.17 	The commissioner of veterans affairs shall determine a suitable site and plan for 
41.18 	three new state veterans cemeteries, one to be located  in northeastern Minnesota, one to 
41.19 	be located in southeastern Minnesota, and one to be located in southwestern Minnesota. 
41.20 	In determining the site for a cemetery, the commissioner shall consider available public 
41.21 	land options and shall seek proposals for donated land from interested counties, local 
41.22 	communities, civic organizations, veterans service organizations, and individuals.
41.23 	The commissioner's planning process for a state veterans cemetery must include, at a 
41.24 	minimum, the following actions:
41.25 	(1) determining the need for the cemetery;
41.26 	(2) investigating the availability of suitable land for the cemetery;
41.27 	(3) assessment of impacts of the cemetery;
41.28 	(4) encouragement of support from veteran service organizations and local 
41.29 	governments; and 
41.30 	(5) preparation and submission of a preapplication for a grant from the United States 
41.31 	Department of Veterans Affairs for commitment of funding for establishing the cemetery.
42.1 	By January 15, 2011, the commissioner shall report to the chair and ranking minority 
42.2 	member of the house of representatives and senate committees having responsibility for 
42.3 	veterans affairs with a report of the commissioner's progress in implementing this section.

42.4 	Sec. 24. NONCOMPLIANCE.
 42.5 	A county that on July 1, 2010, is noncompliant with regard to the qualifications of 
42.6 	an assistant county veterans service officer, under Minnesota Statutes, section 197.601, 
42.7 	must comply with the requirements of that section no later than June 30, 2013, and must 
42.8 	remain in compliance after that date.

42.9 	Sec. 25. ALTERNATIVE FUNDING SOURCES.
 42.10 	By January 15, 2011, the commissioner of veterans affairs shall report to the chairs 
42.11 	and ranking minority members of the legislative committees with jurisdiction over 
42.12 	veterans affairs policy and finance regarding alternative funding sources for the higher 
42.13 	education veterans assistance program under Minnesota Statutes, section 197.585.

42.14 	Sec. 26.  REPEALER.
 42.15 	Minnesota Statutes 2008, section 168.1251, is repealed.