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HF 2770

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Introduction Posted on 01/31/2002

Current Version - as introduced

  1.1                          A bill for an act 
  1.2             relating to agriculture; changing eligibility criteria 
  1.3             for certain loan programs; making additional kinds of 
  1.4             business organizations eligible for value-added stock 
  1.5             loan participation; amending Minnesota Statutes 2000, 
  1.6             section 41B.03, subdivisions 1, 3; Minnesota Statutes 
  1.7             2001 Supplement, section 41B.046, subdivision 2. 
  1.9      Section 1.  Minnesota Statutes 2000, section 41B.03, 
  1.10  subdivision 1, is amended to read: 
  1.11     Subdivision 1.  [ELIGIBILITY GENERALLY.] To be eligible for 
  1.12  a program in sections 41B.01 to 41B.23: 
  1.13     (1) a borrower must be a resident of Minnesota or a 
  1.14  domestic family farm corporation or family farm partnership, as 
  1.15  defined in section 500.24, subdivision 2; and 
  1.16     (2) the borrower or one of the borrowers must be the 
  1.17  principal operator of the farm or, for a prospective homestead 
  1.18  redemption borrower, must have at one time been the principal 
  1.19  operator of a farm. 
  1.20     Sec. 2.  Minnesota Statutes 2000, section 41B.03, 
  1.21  subdivision 3, is amended to read: 
  1.23  addition to the requirements under subdivision 1, a prospective 
  1.24  borrower for a beginning farm loan in which the authority holds 
  1.25  an interest, must:  
  1.26     (1) have sufficient education, training, or experience in 
  2.1   the type of farming for which the loan is desired; 
  2.2      (2) have a total net worth, including assets and 
  2.3   liabilities of the borrower's spouse and dependents, of less 
  2.4   than $200,000 in 1991 and an amount in subsequent years which is 
  2.5   adjusted for inflation by multiplying $200,000 by the cumulative 
  2.6   inflation rate as determined by the United States All-Items 
  2.7   Consumer Price Index; 
  2.8      (3) demonstrate a need for the loan; 
  2.9      (4) demonstrate an ability to repay the loan; 
  2.10     (5) certify that the agricultural land to be purchased will 
  2.11  be used by the borrower for agricultural purposes; 
  2.12     (6) certify that farming will be the principal occupation 
  2.13  of the borrower; 
  2.14     (7) agree to participate in a farm management program 
  2.15  approved by the commissioner of agriculture for at least the 
  2.16  first five three years of the loan, if an approved program is 
  2.17  available within 45 miles from the borrower's residence.  The 
  2.18  commissioner may waive this requirement for any of the programs 
  2.19  administered by the authority if the participant requests a 
  2.20  waiver and has either a four-year degree in an agricultural 
  2.21  program or certification as an adult farm management instructor; 
  2.22  and 
  2.23     (8) agree to file an approved soil and water conservation 
  2.24  plan with the soil conservation service office in the county 
  2.25  where the land is located.  
  2.26     (b) If a borrower fails to participate under paragraph (a), 
  2.27  clause (7), the borrower is subject to penalty as determined by 
  2.28  the authority. 
  2.29     Sec. 3.  Minnesota Statutes 2001 Supplement, section 
  2.30  41B.046, subdivision 2, is amended to read: 
  2.31     Subd. 2.  [ESTABLISHMENT.] The authority shall establish 
  2.32  and implement a value-added agricultural product loan program to 
  2.33  help farmers finance the purchase of stock in a cooperative, 
  2.34  limited liability company, or limited liability partnership that 
  2.35  is proposing to build or purchase and operate an agricultural 
  2.36  product processing facility or already owns and operates an 
  3.1   agricultural product processing facility.