1.1 	A bill for an act
1.2 	relating to agriculture; providing for a study and report on public and private 
1.3 	funding of a milk volume production loan program.
1.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5 	Section 1. MILK VOLUME PRODUCTION LOAN PROGRAM FUNDING 
1.6 	STUDY.
 1.7 		Subdivision 1.Study. The commissioners of agriculture and employment and 
1.8 	economic development must study the feasibility of a public and private partnership to 
1.9 	fund a milk volume production loan program that would make low-interest loans to dairy 
1.10 	producers of $500 per cow, up to 100 cows per producer, as part of the producers' dairy 
1.11 	capital improvement projects designed to increase milk production in Minnesota. The 
1.12 	study must determine whether there is sufficient interest among agricultural lenders, 
1.13 	private agribusiness, and the dairy industry to establish an adequate revolving loan 
1.14 	fund for the program consisting of private donations matched by public funding from 
1.15 	existing economic development funds, rural development funds, or additional legislative 
1.16 	appropriations.
1.17 		Subd. 2.Report.  By January 2, 2007, the commissioners of agriculture and 
1.18 	employment and economic development must report on the results of the study required in 
1.19 	subdivision 1 to the chairs of the committees of the house of representatives and the senate 
1.20 	with jurisdiction over agricultural policy.

1.21 	Sec. 2. EFFECTIVE DATE.
 1.22 	Section 1 is effective the day following final enactment.