2nd Engrossment - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to agriculture; changing certain duties, loan 1.3 requirements, procedures, inspection requirements, and 1.4 fees; regulating certain veterinary treatments; 1.5 modifying provisions governing county and regional 1.6 fairs; eliminating an ownership disclosure 1.7 requirement; changing certain grain buyers' bond and 1.8 financial reporting requirements; changing certain 1.9 limits; establishing loan and grant programs; 1.10 providing for faculty veterinary licensure; limiting 1.11 certain nuisance claims; prohibiting intentional 1.12 introduction of disease to domestic animals; 1.13 prohibiting certain trespass on agricultural land; 1.14 providing a civil remedy; providing criminal 1.15 penalties; transferring certain funds; appropriating 1.16 money; changing certain appropriations; amending 1.17 Minnesota Statutes 2002, sections 16C.135, by adding 1.18 subdivisions; 17.115, subdivisions 2, 3, 4; 17B.03, 1.19 subdivision 1; 17B.15, subdivision 1; 27.10; 35.243; 1.20 38.04; 38.12; 38.14; 38.15; 38.16; 41B.03, subdivision 1.21 3; 41B.036; 41B.039, subdivision 2; 41B.04, 1.22 subdivision 8; 41B.042, subdivision 4; 41B.043, 1.23 subdivision 1b, by adding a subdivision; 41B.045, 1.24 subdivision 2; 41B.046, subdivision 5; 41B.049, 1.25 subdivision 2; 41C.02, subdivision 12; 156.12, 1.26 subdivision 2, by adding a subdivision; 223.17, 1.27 subdivisions 3, 6; 231.16; 232.22, subdivision 3; 1.28 236.02, subdivision 4; 561.19, subdivision 2; 609.605, 1.29 subdivision 1, by adding a subdivision; Minnesota 1.30 Statutes 2003 Supplement, sections 18G.10, 1.31 subdivisions 5, 7; 38.02, subdivisions 1, 3; 41A.09, 1.32 subdivision 3a; 223.17, subdivision 4; proposing 1.33 coding for new law in Minnesota Statutes, chapters 1.34 41B; 116J; 609; repealing Minnesota Statutes 2002, 1.35 sections 18C.433; 38.02, subdivision 2; 38.13; 1.36 41B.046, subdivision 3. 1.37 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.38 Section 1. [AGRICULTURE APPROPRIATIONS AND REDUCTIONS.] 1.39 The dollar amounts in the columns under "APPROPRIATIONS" 1.40 are added to or, if shown in parentheses, are subtracted from 1.41 the appropriations in Laws 2003, chapter 128, article 3, or 2.1 other law, to the specified agencies. The appropriations are 2.2 from the general fund or other named fund and are available for 2.3 the fiscal years indicated for each purpose. The figures "2004" 2.4 and "2005" means that the addition to or subtraction from the 2.5 appropriations listed under the figure are for the fiscal year 2.6 ending June 30, 2004, or June 30, 2005, respectively. The term 2.7 "first year" means the year ending June 30, 2004, and the term 2.8 "second year" means the year ending June 30, 2005. 2.9 SUMMARY BY FUND 2.10 APPROPRIATIONS 2004 2005 TOTAL 2.11 General $ -0- $ (390,000) $ (390,000) 2.12 APPROPRIATIONS 2.13 Available for the Year 2.14 Ending June 30 2.15 2004 2005 2.16 Sec. 2. AGRICULTURE 2.17 Subdivision 1. Total 2.18 Appropriations -0- (306,000) 2.19 The Department of Agriculture's general 2.20 fund appropriation is reduced by 2.21 $497,000 in fiscal year 2005. This 2.22 reduction, for the biennium ending June 2.23 30, 2005, must be from savings achieved 2.24 without a reduction in services 2.25 provided. 2.26 Subd. 2. Protection Services -0- 191,000 2.27 $191,000 is added in fiscal year 2005 2.28 for the invasive species program. 2.29 Sec. 3. BOARD OF ANIMAL 2.30 HEALTH -0- (84,000) 2.31 Sec. 4. Minnesota Statutes 2002, section 16C.135, is 2.32 amended by adding a subdivision to read: 2.33 Subd. 4. [COMMISSIONER DUTIES; PERIODIC NOTICE TO 2.34 AGENCIES; REPORT TO LEGISLATURE.] (a) Not later than September 2.35 1, 2004, and at intervals not exceeding six months thereafter, 2.36 the commissioner shall provide a written communication to the 2.37 head of each agency for which the commissioner acquires or has 2.38 oversight authority for the acquisition of passenger 2.39 automobiles, vans, or pickup trucks used by the agency. The 2.40 communication must remind the agency head of the statutory 2.41 requirement in subdivision 2 that state-owned or leased vehicles 2.42 capable of being operated on E85 fuel (manufactured as 3.1 flexible-fuel vehicles) should be operated on E85 fuel whenever 3.2 and wherever the fuel is reasonably available. The 3.3 communication must also include a form for use by the head of 3.4 the agency to report to the commissioner on total fuel purchased 3.5 for use in the flexible-fuel vehicles operated by the agency and 3.6 the extent to which fuel purchases are E85 fuel. 3.7 (b) Not later than March 1 of each year the commissioner 3.8 shall report to appropriate committees of the senate and the 3.9 house of representatives on the extent to which flexible-fuel 3.10 vehicles owned or leased by the state are operated on E85 fuel. 3.11 Sec. 5. Minnesota Statutes 2002, section 16C.135, is 3.12 amended by adding a subdivision to read: 3.13 Subd. 5. [AGENCY REPORTS.] Each agency that operates one 3.14 or more highway vehicles that are flexible-fuel vehicles shall 3.15 report not later than April 1 and October 1 to the commissioner, 3.16 on the form provided by the commissioner or in a comparable 3.17 manner, on the extent to which the agency has complied with the 3.18 requirement to use E85 fuel in flexible-fuel vehicles operated 3.19 by the agency. 3.20 Sec. 6. Minnesota Statutes 2002, section 17.115, 3.21 subdivision 2, is amended to read: 3.22 Subd. 2. [LOAN CRITERIA.] (a) The shared savings loan 3.23 program must provide loans for purchase of new or used machinery 3.24 and installation of equipment for projects that make 3.25 environmental improvements or enhance farm profitability. 3.26 Eligible loan uses do not include seed, fertilizer, or fuel. 3.27 (b) Loans may not exceed $25,000 per individual applying 3.28 for a loan and may not exceed $100,000 for loans to four or more 3.29 individuals on joint projects. The loan repayment period may be 3.30 up to seven years as determined by project cost and energy 3.31 savings. The interest rate on the loans
ismust not exceed six 3.32 percent. 3.33 (c) Loans may only be made to residents of this state 3.34 engaged in farming. 3.35 Sec. 7. Minnesota Statutes 2002, section 17.115, 3.36 subdivision 3, is amended to read: 4.1 Subd. 3. [AWARDING OF LOANS.] (a) Applications for loans 4.2 must be made to the commissioner on forms prescribed by the 4.3 commissioner. 4.4 (b) The applications must be reviewed, ranked, and 4.5 recommended by a loan review panel appointed by the 4.6 commissioner. The loan review panel shall consist of two 4.7 lenders with agricultural experience, two resident farmers of 4.8 the state using sustainable agriculture methods, two resident 4.9 farmers of the state using organic agriculture methods, a farm 4.10 management specialist, a representative from a postsecondary 4.11 education institution, and a chair from the department. 4.12 (c) The loan review panel shall rank applications according 4.13 to the following criteria: 4.14 (1) realize savings to the cost of agricultural production; 4.15 (2) reduce or make more efficient use of energy or inputs; 4.16 (3) increase overall farm profitability; and 4.17 (4) result in environmental benefits. 4.18 (d) A loan application must show that the loan can be 4.19 repaid by the applicant. 4.20 (e) The commissioner must consider the recommendations of 4.21 the loan review panel and may make loans for eligible projects. 4.22 (f) The commissioner may provide loans to resident farmers 4.23 beginning or expanding organic farming operations. 4.24 Sec. 8. Minnesota Statutes 2002, section 17.115, 4.25 subdivision 4, is amended to read: 4.26 Subd. 4. [ADMINISTRATION; INFORMATION DISSEMINATION.] The4.27 amount in the revolving loan account is appropriated toThe 4.28 commissioner shall use designated funds in the revolving loan 4.29 account in section 41B.06 to make loans under this section and 4.30 administer the loan program. The interest on the money in the4.31 revolving loan account and the interest on loans repaid to the4.32 state may be spent by the commissioner for administrative4.33 expenses.The commissioner shall collect and disseminate 4.34 information relating to projects for which loans are given under 4.35 this section. 4.36 Sec. 9. Minnesota Statutes 2002, section 17B.03, 5.1 subdivision 1, is amended to read: 5.2 Subdivision 1. [COMMISSIONER'S POWERS.] The commissioner 5.3 of agriculture shall exercise general supervision over the 5.4 inspection, grading, weighing, sampling, andanalysis of grain, 5.5 and scale testing subject to the provisions of the United States 5.6 Grain Standards Act of 1976 and the rules promulgated thereunder 5.7 by the United States Department of Agriculture. This activity 5.8 may take place within or outside the state of Minnesota. Scale 5.9 testing may be performed at export locations or, on request from 5.10 and with the consent of the delegated authority, at domestic 5.11 locations. 5.12 Sec. 10. Minnesota Statutes 2002, section 17B.15, 5.13 subdivision 1, is amended to read: 5.14 Subdivision 1. [ADMINISTRATION; APPROPRIATION.] The fees 5.15 for inspection and weighing shall be fixed by the commissioner 5.16 and be a lien upon the grain. The commissioner shall set fees 5.17 for all inspection and weighing in an amount adequate to pay the 5.18 expenses of carrying out and enforcing the purposes of sections 5.19 17B.01 to 17B.22, including the portion of general support costs 5.20 and statewide indirect costs of the agency attributable to that 5.21 function, with a reserve sufficient for up to six months. The 5.22 commissioner shall review the fee schedule twice each year. Fee 5.23 adjustments are not subject to chapter 14. Payment shall be 5.24 required for services rendered. 5.25 Fees for the testing of scales and weighing equipment must 5.26 be uniform with those charged by the Division of Weights and 5.27 Measures of the Department of Public Service. 5.28 All fees collected and all fines and penalties for 5.29 violation of any provision of this chapter shall be deposited in 5.30 the grain inspection and weighing account, which is created in 5.31 the agricultural fund for carrying out the purpose of sections 5.32 17B.01 to 17B.22. The money in the account, including interest 5.33 earned on the account, is annually appropriated to the 5.34 commissioner of agriculture to administer the provisions of 5.35 sections 17B.01 to 17B.22. When money from any other account is 5.36 used to administer sections 17B.01 to 17B.22, the commissioner 6.1 shall notify the chairs of the Agriculture, Environment and 6.2 Natural Resources Finance, and Ways and Means Committees of the 6.3 house of representatives; the Agriculture and Rural Development 6.4 and Finance Committees of the senate; and the Finance Division 6.5 of the Environment and Natural Resources Committee of the senate. 6.6 Sec. 11. Minnesota Statutes 2003 Supplement, section 6.7 18G.10, subdivision 5, is amended to read: 6.8 Subd. 5. [CERTIFICATE FEES.] (a) The commissioner shall 6.9 assess the fees in paragraphs (b) to (f) for the inspection, 6.10 service, and work performed in carrying out the issuance of a 6.11 phytosanitary certificate or export certificate. The inspection 6.12 fee must be based on mileage and inspection time. 6.13 (b) Mileage charge: current United States Internal Revenue 6.14 Service mileage rate. 6.15 (c) Inspection time: $50 per hour minimum or fee necessary 6.16 to cover department costs. Inspection time includes the driving 6.17 time to and from the location in addition to the time spent 6.18 conducting the inspection. 6.19 (d) A fee must be charged for any certificate issued that6.20 requires laboratory analysis before issuance. The fee must be6.21 deposited into the laboratory account as authorized in section6.22 17.85.If laboratory analysis or other technical analysis is 6.23 required to issue a certificate, the commissioner must set and 6.24 collect the fee to recover this additional cost. 6.25 (e) Certificate fee for product value greater than $250: 6.26 $75 for each phytosanitary or export certificate issued for any 6.27 single shipment valued at more than $250 in addition to any 6.28 mileage or inspection time charges that are assessed. 6.29 (f) Certificate fee for product value less than $250: $25 6.30 for each phytosanitary or export certificate issued for any 6.31 single shipment valued at less than $250 in addition to any 6.32 mileage or inspection time charges that are assessed. 6.33 (g) For services provided under subdivision 7 for goods and 6.34 services provided for the direct and primary use of a private 6.35 individual, business, or other entity, the commissioner must set 6.36 and collect the fees to recover the cost of the services 7.1 provided. 7.2 Sec. 12. Minnesota Statutes 2003 Supplement, section 7.3 18G.10, subdivision 7, is amended to read: 7.4 Subd. 7. [ PLANT PROTECTION INSPECTIONS,SUPPLEMENTAL, 7.5 ADDITIONAL, OR OTHER CERTIFICATES ,AND PERMITS , AND FEES.] (a) 7.6 The commissioner may provide inspection, sampling, or 7.7 certification services to ensure that Minnesota plant products 7.8 or commodities meet import requirements of other states or 7.9 countries. 7.10 (b) The state plant regulatory officialcommissioner may 7.11 issue permits and certificates verifying that various Minnesota 7.12 agricultural products or commodities meet 7.13 specified phytosanitaryplant health requirements, treatment 7.14 requirements, or pest absence assurances based on determinations 7.15 by the commissioner. The commissioner may collect fees7.16 sufficient to recover costs for these permits or certificates.7.17 The fees must be deposited in the nursery and phytosanitary7.18 account.7.19 Sec. 13. Minnesota Statutes 2002, section 27.10, is 7.20 amended to read: 7.21 27.10 [PRODUCE EXAMINED, WHEN.] 7.22 When produce is shipped to or received by a dealer at 7.23 wholesale for handling, purchase, or sale in this state or 7.24 another state designated in a cooperative agreement between the 7.25 commissioner and the United States Department of Agriculture, at 7.26 any market point therein giving inspection service, as provided 7.27 for in section 27.07, and the dealer at wholesale finds the same 7.28 to be in a spoiled, damaged, unmarketable, or unsatisfactory 7.29 condition, unless both parties shall waive inspection before 7.30 sale or other disposition thereof, the dealer shall cause the 7.31 same to be examined by an inspector assigned by the commissioner 7.32 for that purpose, and the inspector shall execute and deliver a 7.33 certificate to the applicant thereof stating the day, the time 7.34 and place of the inspection, and the condition of the produce 7.35 and mail or deliver a copy of the certificate to the shipper 7.36 thereof. 8.1 Sec. 14. Minnesota Statutes 2002, section 35.243, is 8.2 amended to read: 8.3 35.243 [RULES FOR CONTROL OF BRUCELLOSIS IN CATTLE.] 8.4 The Board of Animal Health shall adopt rules to provide for 8.5 the control of brucellosis in cattle. The rules may include 8.6 provisions for quarantine, tests, and vaccinations, and such 8.7 other measures as the board deems appropriate. A prescription 8.8 from a licensed veterinarian is not required for the sale of 8.9 modified live vaccines used to prevent common diseases in beef 8.10 cattle, except for brucellosis, rabies, and anthrax. 8.11 Sec. 15. Minnesota Statutes 2003 Supplement, section 8.12 38.02, subdivision 1, is amended to read: 8.13 Subdivision 1. [PRO RATA DISTRIBUTION; CONDITIONS.] (a) 8.14 Money appropriated to aid county and district agricultural 8.15 societies and associations shall be distributed among all county 8.16 and district agricultural societies or associations in the state 8.17 pro rata, upon condition that each of them has complied with the 8.18 conditions specified in paragraph (b). 8.19 (b) To be eligible to participate in the distribution of 8.20 aid, each agricultural society or association shall have: 8.21 (1) held an annual fair for each of the three years last 8.22 past, unless prevented from doing so because of a calamity or an 8.23 epidemic declared by the Board of Health as defined in section 8.24 145A.02, subdivision 2, orthe state commissioner of health, or 8.25 the board of animal health to exist; 8.26 (2) an annual membership of 2515 or more; 8.27 (3) paid out to exhibitors for premiums awarded at the last 8.28 fair held a sum not less than the amount to be received from the 8.29 state; 8.30 (4) published and distributed, or made available on an 8.31 Internet Web site, not less than three weeks before the opening 8.32 day of the fair a premium list, listing all items or articles on 8.33 which premiums are offered and the amounts of such premiums and 8.34 shall have paid premiums pursuant to the amount shown for each 8.35 article or item to be exhibited; provided that premiums for 8.36 school exhibits may be advertised in the published premium list 9.1 by reference to a school premium list prepared and circulated 9.2 during the preceding school year; and shall have collected all 9.3 fees charged for entering an exhibit at the time the entry was 9.4 made and in accordance with schedule of entry fees to be charged 9.5 as published in the premium list; 9.6 (5) paid not more than one premium on each article or item 9.7 exhibited, excluding championship or sweepstake awards, and 9.8 excluding the payment of open class premium awards to 4H Club 9.9 exhibits which at this same fair had won a first prize award in 9.10 regular 4H Club competition; and 9.11 (6) submitted its records andannual report of premiums 9.12 paid to the commissioner of agriculture on a form provided by9.13 the commissioner of agriculture,on or before the first day of 9.14 November of the year in which the fair was held. 9.15 (c) All payments authorized under the provisions of this 9.16 chapter shall be made only upon the presentation by the 9.17 commissioner of agriculture with the commissioner of finance of 9.18 a statement of premium allocations. As used herein the term 9.19 premium shall mean the cash award paid to an exhibitor for the 9.20 merit of an exhibit of livestock, livestock products, grains, 9.21 fruits, flowers, vegetables, articles of domestic science, 9.22 handicrafts, hobbies, fine arts, other products of a creative 9.23 nature, and articles made by school pupils, or the cash award 9.24 paid to the merit winner of events such as 4H Club or Future 9.25 Farmer contest, youth group contests, school spelling contests 9.26 and school current events contests, the award corresponding to 9.27 the amount offered in the advertised premium list referred to in 9.28 schedule 2. Payments of awards for horse races, horse pulls, 9.29 tractor pulls, demolition derby, automobile or other racing, 9.30 jackpot premiums, ball games, musical contests, talent contests, 9.31 parades, and for amusement features for which admission is 9.32 charged, are specifically excluded from consideration as 9.33 premiums within the meaning of that term as used herein. Upon9.34 receipt of the statement by the commissioner of agriculture, the9.35 commissioner of finance shall draw a voucher in favor of the9.36 agricultural society or association for the amount to which it10.1 is entitled under the provisions of this chapter.The amount 10.2 shall be computed as follows: On the first $750 premiums paid 10.3 by each society or association at the last fair held, the 10.4 society or association shall receive 100 percent reimbursement; 10.5 on the second $750 premiums paid, 80 percent; on the third $750 10.6 premiums paid, 60 percent; and on any sum in excess of $2,250, 10.7 40 percent. The commissioner of finance shall make payments not 10.8 later than July 15 of the year following the calendar year in 10.9 which the annual fair was held to those agricultural societies 10.10 or associations entitled to payments under the provisions of 10.11 this chapter. 10.12 (d) If the total amount of state aid to which the 10.13 agricultural societies and associations are entitled under the 10.14 provisions of this chapter exceeds the amount of the 10.15 appropriation therefor, the amounts to which the societies or 10.16 associations are entitled shall be prorated so that the total 10.17 payments by the state will not exceed the appropriation. 10.18 Sec. 16. Minnesota Statutes 2003 Supplement, section 10.19 38.02, subdivision 3, is amended to read: 10.20 Subd. 3. [ CERTIFICATION, COMMISSIONER OF10.21 AGRICULTUREENTITLEMENT FOR PRO RATA DISTRIBUTION.] AnyA county 10.22 or district agricultural society which has held its second 10.23 annual fair is entitled to share pro rata in the 10.24 distribution. The commissioner of agriculture shall certify to10.25 the secretary of the State Agricultural Society, within 30 days10.26 after payments have been made, a list of all county or district10.27 agricultural societies that have complied with this chapter, and10.28 which are entitled to share in the appropriation. AllPayments 10.29 shall be based on reports submitted by agricultural societies 10.30 under subdivision 1, paragraph (b), clause (6). 10.31 Sec. 17. Minnesota Statutes 2002, section 38.04, is 10.32 amended to read: 10.33 38.04 [ANNUAL MEETINGS; REPORTS.] 10.34 Every county agricultural society shall hold an annual 10.35 meeting for the election of officers and the transaction of 10.36 other business on or before the third Tuesday in November. 11.1 Service on the county agricultural society board or as an 11.2 officer of the board is not a public office. Elected officials 11.3 of the state or its political subdivisions may serve on the 11.4 board or be elected as officers. 11.5 At the annual meeting, the society's secretaryan officer 11.6 of the society shall make a report of its proceedings for the 11.7 preceding year ; this report shall contain a statement of all11.8 transactions at its fairs, the numbers of entries, the amount11.9 and source of all money received, andand a financial statement 11.10 prepared in accordance with generally accepted accounting 11.11 principles. The report must also list the amount paid out for 11.12 premiums and for other purposes , and show in detail its entire11.13 receipts and expenditures during the year. The report must11.14 contain a separate accounting of any income received from the11.15 operation of horse racing on which pari-mutuel betting is11.16 conducted, and of the disposition of that income.11.17 The treasurer shall make a comprehensive report of the11.18 funds received, paid out, and on hand, and upon whose order11.19 paid. Each secretary shall cause a certified copy of the annual11.20 report to be filed with the county recorder of the county and11.21 the commissioner of agriculture on or before the first day of11.22 November each year.Reports of the society are public data 11.23 under chapter 13 and must be made available for inspection by 11.24 any person. 11.25 Sec. 18. Minnesota Statutes 2002, section 38.12, is 11.26 amended to read: 11.27 38.12 [APPROPRIATIONS BY CERTAINMUNICIPALITIES.] 11.28 The council of any city and the board of supervisors of any 11.29 town having fairs of county and district agricultural societies 11.30 or associations, who are members of the Minnesota state 11.31 agricultural society, held within or in close proximity to their 11.32 corporate limits or in close proximity thereto, are hereby11.33 authorized and empowered tomay appropriate for and paymoney to 11.34 suchthe agricultural society or association annually a sum not11.35 exceeding $1,000. 11.36 Sec. 19. Minnesota Statutes 2002, section 38.14, is 12.1 amended to read: 12.2 38.14 [ IN COUNTIES OF 150,000:APPROPRIATIONS FOR COUNTY 12.3 FAIRS.] 12.4 Subdivision 1. [CONDITIONS, PROCEDURES, BOND.] In any12.5 county in this state now or hereafter having a population of12.6 150,000, theA county board may annually appropriate not to12.7 exceed $3,000, except that counties having more than 300,000 and12.8 less than 450,000 inhabitants may appropriate not to exceed12.9 $5,000,money to assist in maintaining a county fair , which fair12.10 shall be under the management and control ofmanaged by a county 12.11 agricultural society. The appropriation shall be made either to 12.12 the treasurer of the society or to some other suitable person ,. 12.13 but before the money is paid, the treasurer or other person12.14 shall file with the county auditor a satisfactory bond in double12.15 the sum of the appropriation, conditioned upon the faithful12.16 disbursing and accounting for all of the funds so appropriated.12.17 The funds so appropriated shall be used solely for the purpose12.18 of obtaining, preparing, and arranging exhibits and paying12.19 premiums to exhibitors. The treasurer or other person to whom12.20 the appropriation is paid shall, within four months after the12.21 holding of any such aided annual fair, file with the county12.22 auditor a verified and detailed report showing the name and12.23 address of every person to whom any of the money was paid,12.24 together with the date of payment, and a full description of the12.25 purposes for which the money was so paid, and shall attach12.26 thereto receipts and subvouchers for each payment so made and12.27 return to the county treasurer all of the unexpended portion12.28 thereof. After the report, receipts, and subvouchers have been12.29 audited by the county board and found to be correct, it may, by12.30 resolution, release the treasurer or other person and the12.31 sureties from all further liabilities under bond.12.32 Subd. 2. [EXCEPT RAMSEY COUNTY.] This section and section 12.33 38.15 do not apply to Ramsey County. 12.34 Sec. 20. Minnesota Statutes 2002, section 38.15, is 12.35 amended to read: 12.36 38.15 [SITES AND BUILDINGS.] 13.1 The county board in any suchcounty may also annually13.2 appropriate such further sum as it may desire, not exceeding13.3 $7,500,money for the purpose of procuring a suitable site and 13.4 the erection oferecting on it a suitable county building 13.5 thereon, for the building or repairing of a race track and for 13.6 grading and improving the grounds, to be used in connection with 13.7 sucha county fair, but the site and the building and 13.8 improvements shall be andremain the property of the county, and 13.9 the annualappropriation shall be used only for the purpose 13.10 of soacquiring the site and building and grading and for the 13.11 necessary care, repair, maintenance, and upkeep thereof. In any13.12 county in this state now or hereafter having a population in13.13 excess of 150,000 and an area of more than 5,000 square miles,13.14 the county agricultural society may expend funds appropriated to13.15 it for the year 1957 for the payment of debts and liabilities13.16 incurred during the year 1956 in the construction of county fair13.17 buildings, notwithstanding the provisions of Laws 1941, chapter13.18 118.13.19 Sec. 21. Minnesota Statutes 2002, section 38.16, is 13.20 amended to read: 13.21 38.16 [EXEMPTION FROM ZONING ORDINANCES.] 13.22 When lands lying within the corporate limits of towns or 13.23 cities of the first or second class of the stateare owned by a 13.24 county or agricultural society and used for agricultural fair 13.25 purposes, the lands and the buildings now or hereafter erected 13.26 thereon shall beare exempt from the zoning, building, and other 13.27 ordinances of the town or city; provided, that no license or 13.28 permit need be obtained from, nor fee paid to, the town or city 13.29 in connection with the use of the lands. 13.30 Sec. 22. Minnesota Statutes 2003 Supplement, section 13.31 41A.09, subdivision 3a, is amended to read: 13.32 Subd. 3a. [ETHANOL PRODUCER PAYMENTS.] (a) The 13.33 commissioner shall make cash payments to producers of ethanol 13.34 located in the state that have begun production by June 30, 2000. 13.35 For the purpose of this subdivision, an entity that holds a 13.36 controlling interest in more than one ethanol plant is 14.1 considered a single producer. The amount of the payment for 14.2 each producer's annual production, except as provided in 14.3 paragraph (c), is 20 cents per gallon for each gallon of ethanol 14.4 produced on or before June 30, 2000, or ten years after the 14.5 start of production, whichever is later. The first claim for14.6 production after June 30, 2003, must be accompanied byAnnually, 14.7 within 90 days of the end of its fiscal year, an ethanol 14.8 producer receiving payments under this subdivision must file a 14.9 disclosure statement on a form provided by the commissioner. 14.10 The initial disclosure statement must include a detailedsummary 14.11 description of the organization of the business structure of the 14.12 claimant, a listing of the percentages of ownership by any 14.13 person or other entity with an ownership interest of five 14.14 percent or greater, the distribution of income received by the14.15 claimant, including operating income and payments under this14.16 subdivisionand a copy of its annual audited financial 14.17 statements, including the auditor's report and footnotes. The 14.18 disclosure statement must include information sufficient to14.19 demonstrate that a majority of the ultimate beneficial interest14.20 in thedemonstrating what percentage of the entity receiving 14.21 payments under this section is owned by farmers or spouses of14.22 farmers, as defined inor other entities eligible to farm or own 14.23 agricultural land in Minnesota under the provisions of section 14.24 500.24 , residing in Minnesota. Subsequent quarterly claims14.25 annual reports must reportreflect noncumulative changes in 14.26 ownership of ten percent or more of the entity. Payments must14.27 not be made to a claimant that has less than a majority of14.28 Minnesota farmer control except that the commissioner may grant14.29 an exemption from the farmer majority ownership requirement to a14.30 claimant that, on May 29, 2003, has demonstrated greater than 4014.31 percent farmer ownership which, when combined with ownership14.32 interests of persons residing within 30 miles of the plant,14.33 exceeds 50 percent. In addition, a claimant located in a city14.34 of the first class which qualifies for payments in all other14.35 respects is not subject to this condition. Information provided14.36 under this paragraph isThe report need not disclose the 15.1 identity of the persons or entities eligible to farm or own 15.2 agricultural land with ownership interests, individuals residing 15.3 within 30 miles of the plant, or of any other entity with less 15.4 than ten percent ownership interest, but the claimant must 15.5 retain information within its files confirming the accuracy of 15.6 the data provided. This data must be made available to the 15.7 commissioner upon request. Not later than the 15th day of 15.8 February in each year the commissioner shall deliver to the 15.9 chairs of the standing committees of the senate and the house of 15.10 representatives that deal with agricultural policy and 15.11 agricultural finance issues an annual report summarizing 15.12 aggregated data from plants receiving payments under this 15.13 section during the preceding calendar year. Audited financial 15.14 statements and notes and disclosure statements submitted to the 15.15 commissioner are nonpublic data under section 13.02, subdivision 15.16 9. Notwithstanding the provisions of chapter 13 relating to 15.17 nonpublic data, summaries of the submitted audited financial 15.18 reports and notes and disclosure statements will be contained in 15.19 the report to the committee chairs and will be public data. 15.20 (b) No payments shall be made for ethanol production that 15.21 occurs after June 30, 2010. 15.22 (c) If the level of production at an ethanol plant 15.23 increases due to an increase in the production capacity of the 15.24 plant, the payment under paragraph (a) applies to the additional 15.25 increment of production until ten years after the increased 15.26 production began. Once a plant's production capacity reaches 15.27 15,000,000 gallons per year, no additional increment will 15.28 qualify for the payment. 15.29 (d) Total payments under paragraphs (a) and (c) to a 15.30 producer in a fiscal year may not exceed $3,000,000. 15.31 (e) By the last day of October, January, April, and July, 15.32 each producer shall file a claim for payment for ethanol 15.33 production during the preceding three calendar months. A 15.34 producer that files a claim under this subdivision shall include 15.35 a statement of the producer's total ethanol production in 15.36 Minnesota during the quarter covered by the claim. For each 16.1 claim and statement of total ethanol production filed under this 16.2 subdivision, the volume of ethanol production must be examined 16.3 by an independent certified public accountant in accordance with 16.4 standards established by the American Institute of Certified 16.5 Public Accountants. 16.6 (f) Payments shall be made November 15, February 15, May 16.7 15, and August 15. A separate payment shall be made for each 16.8 claim filed. Except as provided in paragraph (g), the total 16.9 quarterly payment to a producer under this paragraph may not 16.10 exceed $750,000. 16.11 (g) Notwithstanding the quarterly payment limits of 16.12 paragraph (f), the commissioner shall make an additional payment 16.13 in the fourth quarter of each fiscal year to ethanol producers 16.14 for the lesser of: (1) 20 cents per gallon of production in the 16.15 fourth quarter of the year that is greater than 3,750,000 16.16 gallons; or (2) the total amount of payments lost during the 16.17 first three quarters of the fiscal year due to plant outages, 16.18 repair, or major maintenance. Total payments to an ethanol 16.19 producer in a fiscal year, including any payment under this 16.20 paragraph, must not exceed the total amount the producer is 16.21 eligible to receive based on the producer's approved production 16.22 capacity. The provisions of this paragraph apply only to 16.23 production losses that occur in quarters beginning after 16.24 December 31, 1999. 16.25 (h) The commissioner shall reimburse ethanol producers for 16.26 any deficiency in payments during earlier quarters if the 16.27 deficiency occurred because appropriated money was insufficient 16.28 to make timely payments in the full amount provided in paragraph 16.29 (a). Notwithstanding the quarterly or annual payment 16.30 limitations in this subdivision, the commissioner shall begin 16.31 making payments for earlier deficiencies in each fiscal year 16.32 that appropriations for ethanol payments exceed the amount 16.33 required to make eligible scheduled payments. Payments for 16.34 earlier deficiencies must continue until the deficiencies for 16.35 each producer are paid in full. 16.36 Sec. 23. Minnesota Statutes 2002, section 41B.03, 17.1 subdivision 3, is amended to read: 17.2 Subd. 3. [ELIGIBILITY FOR BEGINNING FARMER LOANS.] (a) In 17.3 addition to the requirements under subdivision 1, a prospective 17.4 borrower for a beginning farm loan in which the authority holds 17.5 an interest, must: 17.6 (1) have sufficient education, training, or experience in 17.7 the type of farming for which the loan is desired; 17.8 (2) have a total net worth, including assets and 17.9 liabilities of the borrower's spouse and dependents, of less 17.10 than $200,000 in 1991$350,000 in 2004 and an amount in 17.11 subsequent years which is adjusted for inflation by 17.12 multiplying $200,000that amount by the cumulative inflation 17.13 rate as determined by the United States All-Items Consumer Price 17.14 Index; 17.15 (3) demonstrate a need for the loan; 17.16 (4) demonstrate an ability to repay the loan; 17.17 (5) certify that the agricultural land to be purchased will 17.18 be used by the borrower for agricultural purposes; 17.19 (6) certify that farming will be the principal occupation 17.20 of the borrower; 17.21 (7) agree to participate in a farm management program 17.22 approved by the commissioner of agriculture for at least the 17.23 first three years of the loan, if an approved program is 17.24 available within 45 miles from the borrower's residence. The 17.25 commissioner may waive this requirement for any of the programs 17.26 administered by the authority if the participant requests a 17.27 waiver and has either a four-year degree in an agricultural 17.28 program or certification as an adult farm management instructor; 17.29 and 17.30 (8) agree to file an approved soil and water conservation 17.31 plan with the Soil Conservation Service office in the county 17.32 where the land is located. 17.33 (b) If a borrower fails to participate under paragraph (a), 17.34 clause (7), the borrower is subject to penalty as determined by 17.35 the authority. 17.36 Sec. 24. Minnesota Statutes 2002, section 41B.036, is 18.1 amended to read: 18.2 41B.036 [GENERAL POWERS OF THE AUTHORITY.] 18.3 For the purpose of exercising the specific powers granted 18.4 in section 41B.04 and effectuating the other purposes of 18.5 sections 41B.01 to 41B.23 the authority has the general powers 18.6 granted in this section. 18.7 (a) It may sue and be sued. 18.8 (b) It may have a seal and alter the seal. 18.9 (c) It may make, and from time to time, amend and repeal 18.10 rules consistent with sections 41B.01 to 41B.23. 18.11 (d) It may acquire, hold, and dispose of real or personal 18.12 property for its corporate purposes. 18.13 (e) It may enter into agreements, contracts, or other 18.14 transactions with any federal or state agency, any person and 18.15 any domestic or foreign partnership, corporation, association, 18.16 or organization, including contracts or agreements for 18.17 administration and implementation of all or part of sections 18.18 41B.01 to 41B.23. 18.19 (f) It may acquire real property, or an interest therein, 18.20 in its own name, by purchase or foreclosure, where such 18.21 acquisition is necessary or appropriate. 18.22 (g) It may provide general technical services related to 18.23 rural finance. 18.24 (h) It may provide general consultative assistance services 18.25 related to rural finance. 18.26 (i) It may promote research and development in matters 18.27 related to rural finance. 18.28 (j) It may enter into agreements with lenders, borrowers, 18.29 or the issuers of securities for the purpose of regulating the 18.30 development and management of farms financed in whole or in part 18.31 by the proceeds of qualified agricultural loans. 18.32 (k) It may enter into agreements with other appropriate 18.33 federal, state, or local governmental units to foster rural 18.34 finance. It may give advance reservations of loan financing as 18.35 part of the agreements, with the understanding that the 18.36 authority will only approve the loans pursuant to normal 19.1 procedures, and may adopt special procedures designed to meet 19.2 problems inherent in such programs. 19.3 (l) It may undertake and carry out studies and analyses of 19.4 rural financing needs within the state and ways of meeting such 19.5 needs including: data with respect to geographical 19.6 distribution; farm size; the distribution of farm credit needs 19.7 according to debt ratios and similar factors; the amount and 19.8 quality of available financing and its distribution according to 19.9 factors affecting rural financing needs and the meeting thereof; 19.10 and may make the results of such studies and analyses available 19.11 to the public and may engage in research and disseminate 19.12 information on rural finance. 19.13 (m) It may survey and investigate the rural financing needs 19.14 throughout the state and make recommendations to the governor 19.15 and the legislature as to legislation and other measures 19.16 necessary or advisable to alleviate any existing shortage in the 19.17 state. 19.18 (n) It may establish cooperative relationships with such 19.19 county and multicounty authorities as may be established and may 19.20 develop priorities for the utilization of authority resources 19.21 and assistance within a region in cooperation with county and 19.22 multicounty authorities. 19.23 (o) It may contract with, use, or employ any federal, 19.24 state, regional, or local public or private agency or 19.25 organization, legal counsel, financial advisors, investment 19.26 bankers or others, upon terms it deems necessary or desirable, 19.27 to assist in the exercise of any of the powers granted in 19.28 sections 41B.01 to 41B.23 and to carry out the objectives of 19.29 sections 41B.01 to 41B.23 and may pay for the services from 19.30 authority funds. 19.31 (p) It may establish cooperative relationships with 19.32 counties to develop priorities for the use of authority 19.33 resources and assistance within counties and to consider county 19.34 plans and programs in the process of setting the priorities. 19.35 (q) It may delegate any of its powers to its officers or 19.36 staff. 20.1 (r) It may enter into agreements with qualified 20.2 agricultural lenders or others insuring or guaranteeing to the 20.3 state the payment of all or a portion of qualified agricultural 20.4 loans. 20.5 (s) It may enter into agreements with eligible agricultural 20.6 lenders providing for advance reservations of purchases of 20.7 participation interests in restructuring loans, if the 20.8 agreements provide that the authority may only purchase 20.9 participation interests in restructuring loans under the normal 20.10 procedure. The authority may provide in an agreement for 20.11 special procedures or requirements designed to meet specific 20.12 conditions or requirements. 20.13 (t) It may allow farmers who are natural persons to combine 20.14 programs of the federal Agriculture Credit Act of 1987 with 20.15 programs of the Rural Finance Authority. 20.16 (u) It, after providing notice to the State Board of 20.17 Investment, may transfer funds from the security account created 20.18 under section 41B.19, subdivision 5, in such amounts and for 20.19 such time as funds may be available, to a special revenue 20.20 account for qualified agricultural loans or for participation in 20.21 qualified agricultural loans created through agreements under 20.22 paragraph (k). 20.23 (v) From within available funds generated by program fees, 20.24 it may provide partial or full tuition assistance for farm 20.25 management programs required under section 41B.03, subdivision 20.26 3, clause (7). 20.27 Sec. 25. Minnesota Statutes 2002, section 41B.039, 20.28 subdivision 2, is amended to read: 20.29 Subd. 2. [STATE PARTICIPATION.] The state may participate 20.30 in a new real estate loan with an eligible lender to a beginning 20.31 farmer to the extent of 45 percent of the principal amount of 20.32 the loan or $125,000$200,000, whichever is less. The interest 20.33 rates and repayment terms of the authority's participation 20.34 interest may be different than the interest rates and repayment 20.35 terms of the lender's retained portion of the loan. 20.36 Sec. 26. Minnesota Statutes 2002, section 41B.04, 21.1 subdivision 8, is amended to read: 21.2 Subd. 8. [STATE'S PARTICIPATION.] With respect to loans 21.3 that are eligible for restructuring under sections 41B.01 to 21.4 41B.23 and upon acceptance by the authority, the authority shall 21.5 enter into a participation agreement or other financial 21.6 arrangement whereby it shall participate in a restructured loan 21.7 to the extent of 45 percent of the primary principal or 21.8 $150,000$225,000, whichever is less. The authority's portion 21.9 of the loan must be protected during the authority's 21.10 participation by the first mortgage held by the eligible lender 21.11 to the extent of its participation in the loan. 21.12 Sec. 27. [41B.041] [DAIRY UPGRADE PILOT LOAN PROGRAM.] 21.13 Subdivision 1. [ESTABLISHMENT.] The authority shall 21.14 establish and implement a dairy upgrade pilot loan program to 21.15 help finance the purchase of breeding stock, meet feedlot and 21.16 other environmental regulations, purchase dairy-related 21.17 equipment, and make dairy facilities improvements. 21.18 Subd. 2. [ELIGIBILITY.] Notwithstanding section 41B.03, to 21.19 be eligible for this program, a borrower must: 21.20 (1) be a resident of Minnesota or general partnership or a 21.21 family farm corporation, authorized farm corporation, family 21.22 farm partnership, or authorized farm partnership as defined in 21.23 section 500.24, subdivision 2; 21.24 (2) be the principal operator of a dairy farm; 21.25 (3) have a total net worth, including assets and 21.26 liabilities of the borrower's spouse and dependents, no greater 21.27 than the amount stipulated in section 41B.03, subdivision 3; 21.28 (4) demonstrate an ability to repay the loan; and 21.29 (5) hold an appropriate feedlot registration or be using 21.30 the loan under this program to meet registration requirements. 21.31 Subd. 3. [LOANS.] (a) The authority may participate in a 21.32 dairy upgrade loan with an eligible lender to a farmer who is 21.33 eligible under subdivision 2. Participation is limited to 45 21.34 percent of the principal amount of the loan or $50,000, 21.35 whichever is less. The interest rates and repayment terms of 21.36 the authority's participation interest may differ from the 22.1 interest rates and repayment terms of the lender's retained 22.2 portion of the loan. The authority may review the interest 22.3 annually after June 30, 2007, and make adjustments as necessary. 22.4 Participation interest on loans made under this section before 22.5 July 1, 2007, must not exceed three percent. 22.6 (b) Standards for loan amortization must be set by the 22.7 rural finance authority and must not exceed ten years. 22.8 (c) Security for the dairy upgrade loans must be a personal 22.9 note executed by the borrower and whatever other security is 22.10 required by the eligible lender or the authority. 22.11 (d) Refinancing of existing debt is not an eligible purpose. 22.12 (e) The authority may impose a reasonable, nonrefundable 22.13 application fee for a dairy upgrade loan. The authority may 22.14 review the fee annually and make adjustments as necessary. The 22.15 initial application fee is $50. Application fees received by 22.16 the authority must be deposited in the revolving loan account 22.17 established in section 41B.06. 22.18 (f) Dairy upgrade loans under this program must be made 22.19 using money in the revolving loan account established in section 22.20 41B.06. 22.21 Sec. 28. Minnesota Statutes 2002, section 41B.042, 22.22 subdivision 4, is amended to read: 22.23 Subd. 4. [PARTICIPATION LIMIT; INTEREST.] The authority 22.24 may participate in new seller-sponsored loans to the extent of 22.25 45 percent of the principal amount of the loan or 22.26 $125,000$200,000, whichever is less. The interest rates and 22.27 repayment terms of the authority's participation interest may be 22.28 different than the interest rates and repayment terms of the 22.29 seller's retained portion of the loan. 22.30 Sec. 29. Minnesota Statutes 2002, section 41B.043, 22.31 subdivision 1b, is amended to read: 22.32 Subd. 1b. [LOAN PARTICIPATION.] The authority may 22.33 participate in an agricultural improvement loan with an eligible 22.34 lender to a farmer who meets the requirements of section 41B.03, 22.35 subdivision 1, clauses (1) and (2), and who is actively engaged 22.36 in farming. Participation is limited to 45 percent of the 23.1 principal amount of the loan or $125,000$200,000, whichever is 23.2 less. The interest rates and repayment terms of the authority's 23.3 participation interest may be different than the interest rates 23.4 and repayment terms of the lender's retained portion of the loan. 23.5 Sec. 30. Minnesota Statutes 2002, section 41B.043, is 23.6 amended by adding a subdivision to read: 23.7 Subd. 5. [TOTAL NET WORTH LIMIT.] A prospective borrower 23.8 for an agricultural improvement loan in which the authority 23.9 holds an interest must have a total net worth, including assets 23.10 and liabilities of the borrower's spouse and dependents, of less 23.11 than $350,000 in 2004 and an amount in subsequent years which is 23.12 adjusted for inflation by multiplying that amount by the 23.13 cumulative inflation rate as determined by the United States 23.14 All-Items Consumer Price Index. 23.15 Sec. 31. Minnesota Statutes 2002, section 41B.045, 23.16 subdivision 2, is amended to read: 23.17 Subd. 2. [LOAN PARTICIPATION.] The authority may 23.18 participate in a livestock expansion loan with an eligible 23.19 lender to a livestock farmer who meets the requirements of 23.20 section 41B.03, subdivision 1, clauses (1) and (2), and who are 23.21 actively engaged in a livestock operation. A prospective 23.22 borrower must have a total net worth, including assets and 23.23 liabilities of the borrower's spouse and dependents, of less 23.24 than $400,000 in 1999 and an amount in subsequent years which is 23.25 adjusted for inflation by multiplying $400,000 by the cumulative 23.26 inflation rate as determined by the United States All-Items 23.27 Consumer Price Index. 23.28 Participation is limited to 45 percent of the principal 23.29 amount of the loan or $250,000$275,000, whichever is less. The 23.30 interest rates and repayment terms of the authority's 23.31 participation interest may be different from the interest rates 23.32 and repayment terms of the lender's retained portion of the loan. 23.33 Sec. 32. Minnesota Statutes 2002, section 41B.046, 23.34 subdivision 5, is amended to read: 23.35 Subd. 5. [LOANS.] (a) The authority may participate in a 23.36 stock loan with an eligible lender to a farmer who is eligible 24.1 under subdivision 4. Participation is limited to 45 percent of 24.2 the principal amount of the loan or $24,000$40,000, whichever 24.3 is less. The interest rates and repayment terms of the 24.4 authority's participation interest may differ from the interest 24.5 rates and repayment terms of the lender's retained portion of 24.6 the loan, but the authority's interest rate must not exceed 50 24.7 percent of the lender's interest rate. 24.8 (b) No more than 95 percent of the purchase price of the 24.9 stock may be financed under this program. 24.10 (c) Security for stock loans must be the stock purchased, a 24.11 personal note executed by the borrower, and whatever other 24.12 security is required by the eligible lender or the authority. 24.13 (d) The authority may impose a reasonable nonrefundable 24.14 application fee for each application for a stock loan. The 24.15 authority may review the fee annually and make adjustments as 24.16 necessary. The application fee is initially $50. Application 24.17 fees received by the authority must be deposited in the 24.18 value-added agricultural product revolving fund. 24.19 (e) Stock loans under this program will be made using money 24.20 in the value-added agricultural productrevolving fundloan 24.21 account established under subdivision 3in section 41B.06. 24.22 (f) The authority may not grant stock loans in a cumulative 24.23 amount exceeding $2,000,000 for the financing of stock purchases 24.24 in any one cooperative. 24.25 (g) Repayments of financial assistance under this section, 24.26 including principal and interest, must be deposited into the 24.27 revolving loan account established in section 41B.06. 24.28 Sec. 33. Minnesota Statutes 2002, section 41B.049, 24.29 subdivision 2, is amended to read: 24.30 Subd. 2. [ REVOLVING FUNDDEPOSIT OF REPAYMENTS.] There is24.31 established in the state treasury a revolving fund, which is24.32 eligible to receive appropriations and the transfer of funds24.33 from other services.All repayments of financial assistance 24.34 granted under subdivision 1, including principal and interest, 24.35 must be deposited into this fund. Interest earned on money in24.36 the fund accrues to the fund, and money in the fund is25.1 appropriated to the commissioner of agriculture for purposes of25.2 the manure digester loan program, including costs incurred by25.3 the authority to establish and administer the programthe 25.4 revolving loan account established in section 41B.06. 25.5 Sec. 34. [41B.06] [RURAL FINANCE AUTHORITY REVOLVING LOAN 25.6 ACCOUNT.] 25.7 There is established in the rural finance administration 25.8 fund a rural finance authority revolving loan account that is 25.9 eligible to receive appropriations and the transfer of loan 25.10 funds from other programs. All repayments of financial 25.11 assistance granted from this account, including principal and 25.12 interest, must be deposited into this account. Interest earned 25.13 on money in the account accrues to the account, and the money in 25.14 the account is appropriated to the commissioner of agriculture 25.15 for purposes of the rural finance authority shared savings loan 25.16 program under section 17.115; dairy upgrade loan program under 25.17 section 41B.041; methane digester loan program under section 25.18 17.115, subdivision 5; and value-added agricultural product loan 25.19 program under section 41B.046, including costs incurred by the 25.20 authority to establish and administer the programs. 25.21 Sec. 35. Minnesota Statutes 2002, section 41C.02, 25.22 subdivision 12, is amended to read: 25.23 Subd. 12. [LOW OR MODERATE NET WORTH.] "Low or moderate 25.24 net worth" means: 25.25 (1) for an individual, an aggregate net worth of the 25.26 individual and the individual's spouse and minor children of 25.27 less than $200,000 in 1991$350,000 in 2004 and an amount in 25.28 subsequent years which is adjusted for inflation by 25.29 multiplying $200,000that amount by the cumulative inflation 25.30 rate as determined by the United States All-Items Consumer Price 25.31 Index; or 25.32 (2) for a partnership, an aggregate net worth of all 25.33 partners, including each partner's net capital in the 25.34 partnership, and each partner's spouse and minor children of 25.35 less than $400,000 in 1991 and an amount in subsequent years25.36 which is adjusted for inflation by multiplying $400,000 by the26.1 cumulative inflation rate as determined by the United States26.2 All-Items Consumer Price Indextwice the amount set for an 26.3 individual in clause (1). However, the aggregate net worth of 26.4 each partner and that partner's spouse and minor children may 26.5 not exceed $200,000 in 1991 and an amount in subsequent years26.6 which is adjusted for inflation by multiplying $200,000 by the26.7 cumulative inflation rate as determined by the United States26.8 All-Items Consumer Price Indexthe amount set for an individual 26.9 in clause (1). 26.10 Sec. 36. [116J.407] [DAIRY MODERNIZATION GRANTS.] 26.11 Subdivision 1. [GENERALLY.] The commissioner shall make 26.12 funds available to eligible regional or statewide development 26.13 organizations defined under section 116J.8731 to be used for the 26.14 purposes of this section. 26.15 Subd. 2. [ELIGIBLE EXPENDITURES.] Grant funds may be used 26.16 for the acquisition, construction, or improvement of buildings 26.17 or facilities, or the acquisition of equipment, for dairy animal 26.18 housing, confinement, animal feeding, milk production, and waste 26.19 management, including the following, if related to dairy animals: 26.20 (1) freestall barns; 26.21 (2) fences; 26.22 (3) watering facilities; 26.23 (4) feed storage and handling equipment; 26.24 (5) milking parlors; 26.25 (6) robotic equipment; 26.26 (7) scales; 26.27 (8) milk storage and cooling facilities; 26.28 (9) bulk tanks; 26.29 (10) manure pumping and storage facilities; 26.30 (11) pasture and forage improvement measures; 26.31 (12) on-farm processing facilities; 26.32 (13) digesters; and 26.33 (14) equipment used to produce energy. 26.34 Subd. 3. [APPLICATION PROCESS.] The commissioner of 26.35 agriculture and the commissioner of employment and economic 26.36 development shall establish a process by which an eligible dairy 27.1 producer may make application for assistance under this section 27.2 to the county in which the producer is located. The application 27.3 must require the producer and county to provide information 27.4 regarding the producer's existing business, the intended use of 27.5 the requested funds, and other information the commissioners 27.6 find necessary to evaluate the feasibility, likely success, and 27.7 economic return of the project, and to ensure that grant funds 27.8 can be provided consistent with other state and federal laws. 27.9 Sec. 37. Minnesota Statutes 2002, section 156.12, 27.10 subdivision 2, is amended to read: 27.11 Subd. 2. [AUTHORIZED ACTIVITIES.] No provision of this 27.12 chapter shall be construed to prohibit: 27.13 (a) a person from rendering necessary gratuitous assistance 27.14 in the treatment of any animal when the assistance does not 27.15 amount to prescribing, testing for, or diagnosing, operating, or 27.16 vaccinating and when the attendance of a licensed veterinarian 27.17 cannot be procured; 27.18 (b) a person who is a regular student in an accredited or 27.19 approved college of veterinary medicine from performing duties 27.20 or actions assigned by instructors or preceptors or working 27.21 under the direct supervision of a licensed veterinarian; 27.22 (c) a veterinarian regularly licensed in another 27.23 jurisdiction from consulting with a licensed veterinarian in 27.24 this state; 27.25 (d) the owner of an animal and the owner's regular employee 27.26 from caring for and administering to the animal belonging to the 27.27 owner, except where the ownership of the animal was transferred 27.28 for purposes of circumventing this chapter; 27.29 (e) veterinarians employed by the University of Minnesota 27.30 from performing their duties with the College of Veterinary 27.31 Medicine, College of Agriculture, Agricultural Experiment 27.32 Station, Agricultural Extension Service, Medical School, School 27.33 of Public Health, or other unit within the university; or a 27.34 person from lecturing or giving instructions or demonstrations 27.35 at the university or in connection with a continuing education 27.36 course or seminar to veterinarians; 28.1 (f) any person from selling or applying any pesticide, 28.2 insecticide or herbicide; 28.3 (g) any person from engaging in bona fide scientific 28.4 research or investigations which reasonably requires 28.5 experimentation involving animals; 28.6 (h) any employee of a licensed veterinarian from performing 28.7 duties other than diagnosis, prescription or surgical correction 28.8 under the direction and supervision of the veterinarian, who 28.9 shall be responsible for the performance of the employee; 28.10 (i) a graduate of a foreign college of veterinary medicine 28.11 from working under the direct personal instruction, control, or 28.12 supervision of a veterinarian faculty member of the College of 28.13 Veterinary Medicine, University of Minnesota in order to 28.14 complete the requirements necessary to obtain an ECFVG 28.15 certificate; or 28.16 (j) a person from performing as a diagnostician at the 28.17 University of Minnesota Veterinary Diagnostic Laboratory if the 28.18 person meets the licensure requirements in subdivision 6. 28.19 Sec. 38. Minnesota Statutes 2002, section 156.12, is 28.20 amended by adding a subdivision to read: 28.21 Subd. 6. [FACULTY LICENSURE.] (a) Veterinary Medical 28.22 Center clinicians at the College of Veterinary Medicine, 28.23 University of Minnesota who are engaged in the practice of 28.24 veterinary medicine as defined in subdivision 1 and who treat 28.25 animals owned by clients of the Veterinary Medical Center must 28.26 possess the same license required by other veterinary 28.27 practitioners in the state of Minnesota except for persons 28.28 covered by paragraphs (b) and (c). 28.29 (b) A specialty practitioner in a hard-to-fill faculty 28.30 position who has been employed at the College of Veterinary 28.31 Medicine, University of Minnesota for five years or more prior 28.32 to 2003 or is specialty board certified by the American 28.33 Veterinary Medical Association may be granted a specialty 28.34 faculty Veterinary Medical Center clinician license which will 28.35 allow the licensee to practice veterinary medicine in the state 28.36 of Minnesota in the specialty area of the licensee's training 29.1 and only within the scope of employment at the Veterinary 29.2 Medical Center. 29.3 (c) A specialty practitioner in a hard-to-fill faculty 29.4 position at the College of Veterinary Medicine, University of 29.5 Minnesota who has graduated from a board-approved foreign 29.6 veterinary school may be granted a temporary faculty Veterinary 29.7 Medical Center clinician license. The temporary faculty 29.8 Veterinary Medical Center clinician license expires in two years 29.9 and allows the licensee to practice veterinary medicine as 29.10 defined in subdivision 1 and treat animals owned by clients of 29.11 the Veterinary Medical Center. The temporary faculty Veterinary 29.12 Medical Center clinician license allows the licensee to practice 29.13 veterinary medicine in the state of Minnesota in the specialty 29.14 area of the licensee's training and only within the scope of 29.15 employment at the Veterinary Medical Center. The holder of a 29.16 temporary faculty Veterinary Medical Center clinician license 29.17 who is enrolled in a PhD program may apply for two two-year 29.18 extensions of an expiring temporary faculty Veterinary Medical 29.19 Center clinician license. Any other holder of a temporary 29.20 faculty Veterinary Medical Center clinician license may apply 29.21 for one two-year extension of the expiring temporary faculty 29.22 Veterinary Medical Center clinician license. Temporary faculty 29.23 Veterinary Medical Center clinician licenses that are allowed to 29.24 expire may not be renewed. The board shall grant an extension 29.25 to a licensee who demonstrates suitable progress toward 29.26 completing the requirements of their academic program, specialty 29.27 board certification, or full licensure in Minnesota by a 29.28 graduate of a foreign veterinary college. 29.29 (d) Temporary and specialty faculty Veterinary Medical 29.30 Center clinician licensees must abide by all the laws governing 29.31 the practice of veterinary medicine in the state of Minnesota 29.32 and are subject to the same disciplinary action as any other 29.33 veterinarian licensed in the state of Minnesota. 29.34 (e) The fee for a license issued under this subdivision is 29.35 the same as for a regular license to practice veterinary 29.36 medicine in Minnesota. License payment deadlines, late payment 30.1 fees, and other license requirements are also the same as for 30.2 regular licenses. 30.3 Sec. 39. Minnesota Statutes 2002, section 223.17, 30.4 subdivision 3, is amended to read: 30.5 Subd. 3. [GRAIN BUYERS AND STORAGE ACCOUNT; FEES.] The 30.6 commissioner shall set the fees for inspections under sections 30.7 223.15 to 223.22 at levels necessary to pay the expenses of 30.8 administering and enforcing sections 223.15 to 223.22. 30.9 The fee for any license issued or renewed after June 30, 30.10 20012004, shallmust be set according to the following 30.11 schedule: 30.12 (a) $125$140 plus $100$110 for each additional location 30.13 for grain buyers whose gross annual purchases are less than 30.14 $100,000; 30.15 (b) $250$275 plus $100$110 for each additional location 30.16 for grain buyers whose gross annual purchases are at least 30.17 $100,000, but not more than $750,000; 30.18 (c) $375$415 plus $200$220 for each additional location 30.19 for grain buyers whose gross annual purchases are more than 30.20 $750,000 but not more than $1,500,000; 30.21 (d) $500$550 plus $200$220 for each additional location 30.22 for grain buyers whose gross annual purchases are more than 30.23 $1,500,000 but not more than $3,000,000; and 30.24 (e) $625$700 plus $200$220 for each additional location 30.25 for grain buyers whose gross annual purchases are more than 30.26 $3,000,000. 30.27 (f) A penalty amount not to exceed ten percent of the fees 30.28 due may be imposed by the commissioner for each month for which 30.29 the fees are delinquent. 30.30 There is created the grain buyers and storage account in 30.31 the agricultural fund. Money collected pursuant to sections 30.32 223.15 to 223.19 shallmust be paid into the state treasury and 30.33 credited to the grain buyers and storage account and is 30.34 appropriated to the commissioner for the administration and 30.35 enforcement of sections 223.15 to 223.22. 30.36 Sec. 40. Minnesota Statutes 2003 Supplement, section 31.1 223.17, subdivision 4, is amended to read: 31.2 Subd. 4. [BOND.] Before a grain buyer's license is issued, 31.3 the applicant for the license must file with the commissioner a 31.4 bond in a penal sum prescribed by the commissioner but not less 31.5 than the following amounts: 31.6 (a) $10,000 for grain buyers whose gross annual purchases 31.7 are $100,000 or less; 31.8 (b) $20,000 for grain buyers whose gross annual purchases 31.9 are more than $100,000 but not more than $750,000; 31.10 (c) $30,000 for grain buyers whose gross annual purchases 31.11 are more than $750,000 but not more than $1,500,000; 31.12 (d) $40,000 for grain buyers whose gross annual purchases 31.13 are more than $1,500,000 but not more than $3,000,000; and31.14 (e) $50,000 for grain buyers whose gross annual purchases 31.15 exceedare more than $3,000,000 but not more than $6,000,000; 31.16 (f) $70,000 for grain buyers whose gross annual purchases 31.17 are more than $6,000,000 but not more than $12,000,000; 31.18 (g) $125,000 for grain buyers whose gross annual purchases 31.19 are more than $12,000,000 but not more than $24,000,000; and 31.20 (h) $150,000 for grain buyers whose gross annual purchases 31.21 exceed $24,000,000. 31.22 A grain buyer who has filed a bond with the commissioner 31.23 prior to July 1, 19832004, is not required to increase the 31.24 amount of the bond to comply with this section until July 1, 31.25 19842005. The commissioner may postpone an increase in the 31.26 amount of the bond until July 1, 19852006, if a licensee 31.27 demonstrates that the increase will impose undue financial 31.28 hardship on the licensee, and that producers will not be harmed 31.29 as a result of the postponement. The commissioner may impose 31.30 other restrictions on a licensee whose bond increase has been 31.31 postponed. The amount of the bond shall be based on the most 31.32 recent financial statement of the grain buyer filed under 31.33 subdivision 6. 31.34 A first-time applicant for a grain buyer's license after31.35 July 1, 1983shall file a $20,000$50,000 bond with the 31.36 commissioner. This bond shall remain in effect for the first 32.1 year of the license. Thereafter, the licensee shall comply with 32.2 the applicable bonding requirements contained in clauses (a) 32.3 to (e)(h). 32.4 In lieu of the bond required by this subdivision the 32.5 applicant may deposit with the commissioner of finance cash, a 32.6 certified check, a cashier's check, a postal, bank, or express 32.7 money order, assignable bonds or notes of the United States, or 32.8 an assignment of a bank savings account or investment 32.9 certificate or an irrevocable bank letter of credit as defined 32.10 in section 336.5-102, in the same amount as would be required 32.11 for a bond. 32.12 Sec. 41. Minnesota Statutes 2002, section 223.17, 32.13 subdivision 6, is amended to read: 32.14 Subd. 6. [FINANCIAL STATEMENTS.] For the purpose of fixing 32.15 or changing the amount of a required bond or for any other 32.16 proper reason, the commissioner shall require an annual 32.17 financial statement from a licensee which has been prepared in 32.18 accordance with generally accepted accounting principles and 32.19 which meets the following requirements: 32.20 (a) The financial statement shall include, but not be 32.21 limited to the following: (1) a balance sheet; (2) a statement 32.22 of income (profit and loss); (3) a statement of retained 32.23 earnings; (4) a statement of changes in financial position; and 32.24 (5) a statement of the dollar amount of grain purchased in the 32.25 previous fiscal year of the grain buyer. 32.26 (b) The financial statement shall be accompanied by a 32.27 compilation report of the financial statement which isreviewed 32.28 financial statement or audit prepared by a grain commission firm32.29 or a management firm approved by the commissioner or byan 32.30 independent public accountant, in accordance with standards 32.31 established by the American Institute of Certified Public 32.32 Accountants. 32.33 (c) The financial statement shall be accompanied by a 32.34 certification by the chief executive officer or the chief 32.35 executive officer's designee of the licensee, under penalty of 32.36 perjury, that the financial statement accurately reflects the 33.1 financial condition of the licensee for the period specified in 33.2 the statement. 33.3 Only one financial statement must be filed for a chain of 33.4 warehouses owned or operated as a single business entity, unless 33.5 otherwise required by the commissioner. Any grain buyer having 33.6 a net worth in excess of $500,000,000 need not file the 33.7 financial statement required by this subdivision but must 33.8 provide the commissioner with a certified net worth statement. 33.9 All financial statements filed with the commissioner are private 33.10 or nonpublic data as provided in section 13.02. 33.11 [EFFECTIVE DATE.] This section is effective July 1, 2004. 33.12 Sec. 42. Minnesota Statutes 2002, section 231.16, is 33.13 amended to read: 33.14 231.16 [WAREHOUSE OPERATOR OR HOUSEHOLD GOODS WAREHOUSE 33.15 OPERATOR TO OBTAIN LICENSE.] 33.16 A warehouse operator or household goods warehouse operator 33.17 must be licensed annually by the department. The department 33.18 shall prescribe the form of the written application. If the 33.19 department approves the license application and the applicant 33.20 files with the department the necessary bond, in the case of 33.21 household goods warehouse operators, or proof of warehouse 33.22 operators legal liability insurance coverage in an amount of 33.23 $50,000 or more, as provided for in this chapter, the department 33.24 shall issue the license upon payment of the license fee required 33.25 in this section. A warehouse operator or household goods 33.26 warehouse operator to whom a license is issued shall pay a fee 33.27 as follows: 33.28 Building square footage used for public storage 33.29 (1) 5,000 or less $100$110 33.30 (2) 5,001 to 10,000 $200$220 33.31 (3) 10,001 to 20,000 $300$330 33.32 (4) 20,001 to 100,000 $400$440 33.33 (5) 100,001 to 200,000 $500$550 33.34 (6) over 200,000 $600$660 33.35 A penalty amount not to exceed ten percent of the fees due 33.36 may be imposed by the commissioner for each month for which the 34.1 fees are delinquent. 34.2 Fees collected under this chapter must be paid into the 34.3 grain buyers and storage account established in section 232.22. 34.4 The license must be renewed annually on or before July 1, 34.5 and always upon payment of the full license fee required in this 34.6 section. No license shall be issued for any portion of a year 34.7 for less than the full amount of the license fee required in 34.8 this section. Each license obtained under this chapter must be 34.9 publicly displayed in the main office of the place of business 34.10 of the warehouse operator or household goods warehouse operator 34.11 to whom it is issued. The license authorizes the warehouse 34.12 operator or household goods warehouse operator to carry on the 34.13 business of warehousing only in the one city or town named in 34.14 the application and in the buildings therein described. The 34.15 department, without requiring an additional bond and license, 34.16 may issue permits from time to time to any warehouse operator 34.17 already duly licensed under the provisions of this chapter to 34.18 operate an additional warehouse in the same city or town for 34.19 which the original license was issued during the term thereof, 34.20 upon the filing an application for a permit in the form 34.21 prescribed by the department. 34.22 A license may be refused for good cause shown and revoked 34.23 by the department for violation of law or of any rule adopted by 34.24 the department, upon notice and after hearing. 34.25 Sec. 43. Minnesota Statutes 2002, section 232.22, 34.26 subdivision 3, is amended to read: 34.27 Subd. 3. [FEES; GRAIN BUYERS AND STORAGE ACCOUNT.] (a) 34.28 There is created in the agricultural fund an account known as 34.29 the grain buyers and storage account. The commissioner shall 34.30 set the fees for inspections, certifications and licenses under 34.31 sections 232.20 to 232.25 at levels necessary to pay the costs 34.32 of administering and enforcing sections 232.20 to 232.25. All 34.33 money collected pursuant to sections 232.20 to 232.25 and 34.34 chapters 233 and 236 shallmust be paid by the commissioner into 34.35 the state treasury and credited to the grain buyers and storage 34.36 account and is appropriated to the commissioner for the 35.1 administration and enforcement of sections 232.20 to 232.25 and 35.2 chapters 233 and 236. All money collected pursuant to chapter 35.3 231 shall be paid by the commissioner into the grain buyers and 35.4 storage account and is appropriated to the commissioner for the 35.5 administration and enforcement of chapter 231. 35.6 (b) The fees for a license to store grain are as described 35.7 in paragraphs (c) to (f). 35.8 (c) For a license to store grain, the license fee is $110 35.9 for each home rule charter or statutory city or town in which a 35.10 public grain warehouse is operated. 35.11 (d) A person with a license to store grain in a public 35.12 grain warehouse is subject to an examination fee for each 35.13 licensed location, based on the following schedule for one 35.14 examination: 35.15 Bushel Capacity Examination Fee 35.16 Less than 150,001 $300 35.17 150,001 to 250,000 $425 35.18 250,001 to 500,000 $545 35.19 500,001 to 750,000 $700 35.20 750,001 to 1,000,000 $865 35.21 1,000,001 to 1,200,000 $1,040 35.22 1,200,001 to 1,500,000 $1,205 35.23 1,500,001 to 2,000,000 $1,380 35.24 More than 2,000,000 $1,555 35.25 (e) The fee for the second examination is $55 per hour per 35.26 examiner for warehouse operators who choose to have the 35.27 examination performed by the commissioner. 35.28 (f) A penalty amount not to exceed ten percent of the fees 35.29 due may be imposed by the commissioner for each month for which 35.30 the fees are delinquent. 35.31 Sec. 44. Minnesota Statutes 2002, section 236.02, 35.32 subdivision 4, is amended to read: 35.33 Subd. 4. [FEES.] The license fee must be set by the35.34 commissioner in an amount sufficient to cover the costs of35.35 administering and enforcing this chapter.The license fee is 35.36 $140 for each home rule charter or statutory city or town in 36.1 which a private grain warehouse is operated and which will be 36.2 used to operate a grain bank. A penalty amount not to exceed 36.3 ten percent of the fees due may be imposed by the commissioner 36.4 for each month for which the fees are delinquent. Fees 36.5 collected under this chapter must be paid into the grain buyers 36.6 and storage account established in section 232.22. 36.7 Sec. 45. Minnesota Statutes 2002, section 561.19, 36.8 subdivision 2, is amended to read: 36.9 Subd. 2. [AGRICULTURAL OPERATION NOT A NUISANCE.] (a) For 36.10 purposes of this subdivision, the term "generally accepted 36.11 agricultural practices" means those practices commonly used by 36.12 other farmers in the county and contiguous area in which a 36.13 nuisance claim is asserted. 36.14 (b) An agricultural operation is not and shall not become a 36.15 private or public nuisance after two years from its established36.16 date of operation if the operation was not a nuisance at its36.17 established date ofas a matter of law if the operation: 36.18 (1) is located in an agriculturally zoned area; 36.19 (2) complies with the provisions of all applicable federal, 36.20 state, or county laws, regulations, rules, and ordinances and 36.21 any permits issued for the agricultural operation; and 36.22 (3) operates according to generally accepted agricultural 36.23 practices. 36.24 (b) An agricultural operation is operating according to36.25 generally accepted agricultural practices if it is located in an36.26 agriculturally zoned area and complies with the provisions of36.27 all applicable federal and state statutes and rules or any36.28 issued permits for the operation.36.29 (c) The operation of an agricultural operation in 36.30 compliance with the requirements of paragraph (b) constitutes an 36.31 affirmative defense to a private or public nuisance claim 36.32 against the agricultural operation. 36.33 (d) The provisions of this subdivision do not apply: 36.34 (1) to a condition or injury which results from the36.35 negligent or improper operation of an agricultural operation or36.36 from operations contrary to commonly accepted agricultural37.1 practices or to applicable state or local laws, ordinances,37.2 rules, or permits;37.3 (2) when an agricultural operation causes injury or direct37.4 threat of injury to the health or safety of any person;37.5 (3) to the pollution of, or change in the condition of, the37.6 waters of the state or the overflow of waters on the lands of37.7 any person;37.8 (4)to an animal feedlot facility with a swine capacity of 37.9 1,000 or more animal units as defined in the rules of the 37.10 Pollution Control Agency for control of pollution from animal 37.11 feedlots, or a cattle capacity of 2,500 animals or more; or37.12 (5)(2) to any prosecution for the crime of public nuisance 37.13 as provided in section 609.74 or to an action by a public 37.14 authority to abate a particular condition which is a public 37.15 nuisance, or 37.16 (3) to any enforcement action brought by a local unit of 37.17 government related to zoning under chapter 394 or 462. 37.18 Sec. 46. [609.599] [EXPOSING DOMESTIC ANIMALS TO DISEASE.] 37.19 Subdivision 1. [GROSS MISDEMEANOR.] (a) A person who 37.20 intentionally exposes a domestic animal to an animal disease 37.21 contrary to reasonable veterinary practice, or intentionally 37.22 puts a domestic animal at risk of quarantine or destruction by 37.23 actions contrary to reasonable veterinary practice, is guilty of 37.24 a gross misdemeanor. 37.25 (b) The provisions of paragraph (a) do not apply to a 37.26 person performing academic or industry research on domestic 37.27 animals under protocols approved by an institutional animal care 37.28 and use committee. 37.29 Subd. 2. [CIVIL LIABILITY.] A person who violates 37.30 subdivision 1 is liable in a civil action for damages in an 37.31 amount three times the value of any domestic animal destroyed 37.32 because it has the disease, has been exposed to the disease 37.33 agent, or is at high risk of being exposed to the disease agent 37.34 because of proximity to diseased animals. 37.35 Subd. 3. [DEFINITION.] For purposes of this section, 37.36 "domestic animal" means: 38.1 (1) those species of animals that live under the husbandry 38.2 of humans; 38.3 (2) livestock within the meaning of section 35.01, 38.4 subdivision 3; 38.5 (3) a farm-raised deer, farm-raised game bird, or 38.6 farm-raised fish; or 38.7 (4) an animal listed as a domestic animal by a rule adopted 38.8 by the Department of Agriculture. 38.9 Sec. 47. Minnesota Statutes 2002, section 609.605, 38.10 subdivision 1, is amended to read: 38.11 Subdivision 1. [MISDEMEANOR.] (a) The following terms have 38.12 the meanings given them for purposes of this section. 38.13 (i) "Premises" means real property and any appurtenant 38.14 building or structure. 38.15 (ii) "Dwelling" means the building or part of a building 38.16 used by an individual as a place of residence on either a 38.17 full-time or a part-time basis. A dwelling may be part of a 38.18 multidwelling or multipurpose building, or a manufactured home 38.19 as defined in section 168.011, subdivision 8. 38.20 (iii) "Construction site" means the site of the 38.21 construction, alteration, painting, or repair of a building or 38.22 structure. 38.23 (iv) "Owner or lawful possessor," as used in paragraph (b), 38.24 clause (9), means the person on whose behalf a building or 38.25 dwelling is being constructed, altered, painted, or repaired and 38.26 the general contractor or subcontractor engaged in that work. 38.27 (v) "Posted," as used in clause (9), means the placement of 38.28 a sign at least 11 inches square in a conspicuous place on the 38.29 exterior of the building that is under construction, alteration, 38.30 or repair, and additional signs in at least two conspicuous 38.31 places for each ten acres being protected. The sign must carry 38.32 an appropriate notice and the name of the person giving the 38.33 notice, followed by the word "owner" if the person giving the 38.34 notice is the holder of legal title to the land on which the 38.35 construction site is located or by the word "occupant" if the 38.36 person giving the notice is not the holder of legal title but is 39.1 a lawful occupant of the land. 39.2 (vi) "Business licensee," as used in paragraph (b), clause 39.3 (9), includes a representative of a building trades labor or 39.4 management organization. 39.5 (vii) "Building" has the meaning given in section 609.581, 39.6 subdivision 2. 39.7 (b) A person is guilty of a misdemeanor if the person 39.8 intentionally: 39.9 (1) permits domestic animals or fowls under the actor's 39.10 control to go on the land of another within a city; 39.11 (2) interferes unlawfully with a monument, sign, or pointer 39.12 erected or marked to designate a point of a boundary, line or a 39.13 political subdivision, or of a tract of land; 39.14 (3) trespasses on the premises of another and, without 39.15 claim of right, refuses to depart from the premises on demand of 39.16 the lawful possessor; 39.17 (4) occupies or enters the dwelling or locked or posted 39.18 building of another, without claim of right or consent of the 39.19 owner or the consent of one who has the right to give consent, 39.20 except in an emergency situation; 39.21 (5) enters the premises of another with intent to take or 39.22 injure any fruit, fruit trees, or vegetables growing on the 39.23 premises, without the permission of the owner or occupant; 39.24 (6) enters or is found on the premises of a public or 39.25 private cemetery without authorization during hours the cemetery 39.26 is posted as closed to the public; 39.27 (7) returns to the property of another with the intent to 39.28 abuse, disturb, or cause distress in or threaten another, after 39.29 being told to leave the property and not to return, if the actor 39.30 is without claim of right to the property or consent of one with 39.31 authority to consent; 39.32 (8) returns to the property of another within 30 days after 39.33 being told to leave the property and not to return, if the actor 39.34 is without claim of right to the property or consent of one with 39.35 authority to consent; or 39.36 (9) enters the locked or posted construction site or 40.1 aggregate mining site of another without the consent of the 40.2 owner or lawful possessor, unless the person is a business 40.3 licensee. 40.4 Sec. 48. Minnesota Statutes 2002, section 609.605, is 40.5 amended by adding a subdivision to read: 40.6 Subd. 5. [CERTAIN TRESPASS ON AGRICULTURAL LAND.] (a) A 40.7 person is guilty of a gross misdemeanor if the person enters the 40.8 posted premises of another on which cattle, bison, sheep, goats, 40.9 swine, horses, poultry, farmed cervidae, farmed ratitae, 40.10 aquaculture stock, or other species of domestic animals for 40.11 commercial production are kept, without the consent of the owner 40.12 or lawful occupant of the land. 40.13 (b) "Domestic animal," for purposes of this section, has 40.14 the meaning given in section 609.599. 40.15 (c) "Posted," as used in paragraph (a), means the placement 40.16 of a sign at least 11 inches square in a conspicuous place at 40.17 each roadway entry to the premises. The sign must provide 40.18 notice of a bio-security area and wording such as: 40.19 "Bio-security measures are in force. No entrance beyond this 40.20 point without authorization." The sign may also contain a 40.21 telephone number or a location for obtaining such authorization. 40.22 (d) The provisions of this subdivision do not apply to 40.23 employees or agents of the state or county when serving in a 40.24 regulatory capacity and conducting an inspection on posted 40.25 premises where domestic animals are kept. 40.26 Sec. 49. [DELAYED PAYMENTS IN 2003.] 40.27 Not later than 60 days after the effective date this 40.28 section, the commissioner of agriculture shall pay any producer 40.29 denied payment for failure to meet the ownership and reporting 40.30 requirements imposed by Laws 2003, chapter 128, article 3, 40.31 section 38, the amount to which the producer would have been 40.32 otherwise entitled. 40.33 Sec. 50. [TRANSFER OF FUNDS; DEPOSIT OF REPAYMENTS.] 40.34 The remaining balances in the revolving accounts in 40.35 Minnesota Statutes, sections 41B.046 and 41B.049, and in Laws 40.36 1988, chapter 688, article 21, section 7, subdivision 1, that 41.1 are dedicated to rural finance authority loan programs under 41.2 those sections, are transferred to the revolving loan account 41.3 established in Minnesota Statutes, section 41B.06, on the 41.4 effective date of this section. All future receipts from 41.5 value-added agricultural product loans and methane digester 41.6 loans originated under Minnesota Statutes, sections 41B.046 and 41.7 41B.049, must be deposited in the revolving loan account 41.8 established in Minnesota Statutes, section 41B.06. 41.9 Sec. 51. [REPEALER.] 41.10 Minnesota Statutes 2002, sections 18C.433; 38.02, 41.11 subdivision 2; 38.13; and 41B.046, subdivision 3, are repealed. 41.12 Sec. 52. [EFFECTIVE DATE.] 41.13 (a) Except as otherwise specified, this act is effective 41.14 the day following final enactment. 41.15 (b) Section 46, subdivisions 1 and 3, and section 48 are 41.16 effective August 1, 2004, for offenses committed on or after 41.17 that date. 41.18 (c) Section 46, subdivisions 2 and 3, are effective August 41.19 1, 2004, for causes of action arising on or after that date.