Minnesota Legislature
SF 1256
as introduced - 93rd Legislature (2023 - 2024) Posted on 06/15/2023 11:42am
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A bill for an act
relating to agriculture; modifying eligibility for a cooperative grant program;
appropriating money; amending Minnesota Statutes 2022, section 17.1016,
subdivision 2.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2022, section 17.1016, subdivision 2, is amended to read:
Subd. 2.
Grant program.
(a) The commissioner may establish and implement a grant
program to help farmers finance new cooperatives that organize for purposes of operating
an agricultural product processing facility or marketing an agricultural product or agricultural
service.
(b) To be eligible for this program, a grantee must:
(1) be a cooperative organized under chapter 308Anew text begin or 308Bnew text end ;
(2) certify that all control deleted text begin and equity indeleted text end new text begin ofnew text end the cooperative is from farmers, family farm
partnerships, family farm limited liability companies, or family farm corporations as defined
in section 500.24, subdivision 2, who are actively engaged in agricultural commodity
production;
(3) be operated primarily to process agricultural commodities or market agricultural
products or services produced in Minnesota; deleted text begin and
deleted text end
(4) receive agricultural commodities produced primarily by shareholders or members
of the cooperativenew text begin ; and
new text end
new text begin (5) not allow nonpatron voting rightsnew text end .
(c) The commissioner may receive applications and make grants up to $50,000 to eligible
grantees for feasibility, marketing analysis, assistance with organizational development,
financing and managing new cooperatives, product development, development of business
and marketing plans, and predesign of facilities, including site analysis, the development
of bid specifications, preliminary blueprints and schematics, and the completion of purchase
agreements and other necessary legal documents.
(d) Grants must be matched dollar-for-dollar with other money or in-kind contributions.
Sec. 2. new text begin APPROPRIATION.
new text end
new text begin
$400,000 in fiscal year 2024 and $400,000 in fiscal year 2025 are appropriated from the
general fund to the commissioner of agriculture to award cooperative grants under Minnesota
Statutes, section 17.1016. The commissioner may use up to six percent of the appropriation
each year to administer the grant program.
new text end