SF 958

as introduced - 92nd Legislature (2021 - 2022) Posted on 04/09/2021 01:38pm

A bill for an act
relating to state government; establishing a budget for the Department of
Agriculture, the Board of Animal Health, and the Agricultural Utilization Research
Institute; transferring money to the border-to-border broadband fund account;
making policy and technical changes to various provisions related to agriculture;
modifying fees; creating accounts; creating a biofuels program and advisory
committee; appropriating money; amending Minnesota Statutes 2020, sections
18B.26, subdivision 3; 28A.08, by adding a subdivision; 28A.09, by adding a
subdivision; proposing coding for new law in Minnesota Statutes, chapter 41A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

AGRICULTURE APPROPRIATIONS

Section 1. new text begin AGRICULTURE APPROPRIATIONS. new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to agencies
for the purposes specified in this article. The appropriations are from the general fund, or
another named fund, and are available for the fiscal years indicated for each purpose. The
figures "2022" and "2023" used in this article mean that the appropriations listed under them
are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively. "The
first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The biennium" is
fiscal years 2022 and 2023.
new text end

			new text begin APPROPRIATIONS new text end
			new text begin Available for the Year new text end
			new text begin Ending June 30 new text end
				new text begin 2022 new text end		new text begin 2023 new text end

Sec. 2. new text begin DEPARTMENT OF AGRICULTURE new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 56,688,000 new text end

new text begin $ new text end

new text begin 55,897,000 new text end

new text begin Appropriations by Fund new text end
	new text begin 2022 new text end	new text begin 2023 new text end
new text begin General new text end	new text begin 56,289,000 new text end	new text begin 55,498,000 new text end
new text begin Remediation new text end	new text begin 399,000 new text end	new text begin 399,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Protection Services new text end

new text begin Appropriations by Fund new text end
	new text begin 2022 new text end	new text begin 2023 new text end
new text begin General new text end	new text begin 15,250,000 new text end	new text begin 15,476,000 new text end
new text begin Remediation new text end	new text begin 399,000 new text end	new text begin 399,000 new text end

new text begin (a) $399,000 the first year and $399,000 the
second year are from the remediation fund for
administrative funding for the voluntary
cleanup program.
new text end

new text begin (b) $175,000 the first year and $175,000 the
second year are for compensation for
destroyed or crippled livestock under
Minnesota Statutes, section 3.737. The first
year appropriation may be spent to compensate
for livestock that were destroyed or crippled
during fiscal year 2021. If the amount in the
first year is insufficient, the amount in the
second year is available in the first year. The
commissioner may use up to $5,000 each year
to reimburse expenses incurred by university
extension educators to provide fair market
values of destroyed or crippled livestock. If
the commissioner receives federal dollars to
pay claims for destroyed or crippled livestock,
an equivalent amount may be used to
reimburse nonlethal prevention methods
performed by federal wildlife services staff.
new text end

new text begin (c) $155,000 the first year and $155,000 the
second year are for compensation for crop
damage under Minnesota Statutes, section
3.7371. If the amount in the first year is
insufficient, the amount in the second year is
available in the first year. The commissioner
may use up to $30,000 of the appropriation
each year to reimburse expenses incurred by
the commissioner or the commissioner's
approved agent to investigate and resolve
claims.
new text end

new text begin If the commissioner determines that claims
made under Minnesota Statutes, section 3.737
or 3.7371, are unusually high, amounts
appropriated for either program may be
transferred to the appropriation for the other
program.
new text end

new text begin (d) $225,000 the first year and $225,000 the
second year are for additional funding for the
noxious weed and invasive plant program.
new text end

new text begin (e) $50,000 the first year is for additional
funding for the industrial hemp program for
IT development. This is a onetime
appropriation and is available until June 30,
2023.
new text end

new text begin (f) $110,000 the first year and $110,000 the
second year are for additional funding for the
meat and poultry inspection services.
new text end

new text begin (g) $66,000 the first year and $66,000 the
second year are for additional funding to
replace capital equipment in the Department
of Agriculture's analytical laboratory.
new text end

new text begin (h) $274,000 the first year and $550,000 the
second year are for additional funding to
maintain the current level of service delivery
for programs under this subdivision.
new text end

new text begin Subd. 3. new text end new text begin Agricultural Marketing and Development new text end

new text begin 4,250,000 new text end

new text begin 4,155,000 new text end

new text begin (a) $186,000 the first year and $186,000 the
second year are for transfer to the Minnesota
grown account and may be used as grants for
Minnesota grown promotion under Minnesota
Statutes, section 17.102. Grants may be made
for one year. Notwithstanding Minnesota
Statutes, section 16A.28, the appropriations
encumbered under contract on or before June
30, 2023, for Minnesota grown grants in this
paragraph are available until June 30, 2025.
new text end

new text begin (b) $100,000 the first year is to expand
international marketing opportunities for
farmers and value-added processors, including
in-market representation in Taiwan. This is a
onetime appropriation and is available until
June 30, 2023.
new text end

new text begin (c) $634,000 the first year and $634,000 the
second year are for continuation of the dairy
development and profitability enhancement
and dairy business planning grant programs
established under Laws 1997, chapter 216,
section 7, subdivision 2, and Laws 2001, First
Special Session chapter 2, section 9,
subdivision 2. The commissioner may allocate
the available sums among permissible
activities, including efforts to improve the
quality of milk produced in the state, in the
proportions that the commissioner deems most
beneficial to Minnesota's dairy farmers. The
commissioner must submit a detailed
accomplishment report and a work plan
detailing future plans for, and anticipated
accomplishments from, expenditures under
this program to the chairs and ranking minority
members of the legislative committees and
divisions with jurisdiction over agriculture
policy and finance on or before the start of
each fiscal year. If significant changes are
made to the plans in the course of the year,
the commissioner must notify the chairs and
ranking minority members.
new text end

new text begin (d) $50,000 the first year and $50,000 the
second year are for additional funding for
mental health outreach and support to farmers,
ranchers, and others in the agricultural
community, including a 24-hour hotline,
stigma reduction, and educational offerings.
new text end

new text begin (e) $100,000 the first year and $50,000 the
second year is for a pilot project creating
farmland access teams to provide technical
assistance to potential beginning farmers. The
farmland access teams must assist existing
farmers and beginning farmers on transitioning
farm ownership and operation. Teams may
include but are not limited to providing
mediation assistance, designing contracts,
financial planning, tax preparation, estate
planning, and housing assistance. Of this
amount, up to $50,000 the first year may be
used to upgrade the Minnesota FarmLink web
application that connects farmers looking for
land with farmers looking to transition their
land. These are onetime appropriations.
new text end

new text begin (f) $54,000 the first year and $109,000 the
second year are to maintain the current level
of service delivery.
new text end

new text begin (g) The commissioner may use funds
appropriated in this subdivision for annual
cost-share payments to resident farmers or
entities that sell, process, or package
agricultural products in this state for the costs
of organic certification. The commissioner
may allocate these funds for assistance to
persons transitioning from conventional to
organic agriculture.
new text end

new text begin Subd. 4. new text end new text begin Agriculture, Bioenergy, and Bioproduct Advancement new text end

new text begin 27,758,000 new text end

new text begin 26,772,000 new text end

new text begin (a) $9,300,000 the first year and $9,300,000
the second year are for transfer to the
agriculture research, education, extension, and
technology transfer account under Minnesota
Statutes, section 41A.14, subdivision 3. Of
these amounts: at least $600,000 the first year
and $600,000 the second year are for the
Minnesota Agricultural Experiment Station's
agriculture rapid response under Minnesota
Statutes, section 41A.14, subdivision 1, clause
(2); $2,000,000 the first year and $2,000,000
the second year are for grants to the Minnesota
Agriculture Education Leadership Council to
enhance agricultural education with priority
given to Farm Business Management
challenge grants; $350,000 the first year and
$350,000 the second year are for potato
breeding; and $450,000 the first year and
$450,000 the second year are for the cultivated
wild rice breeding project at the North Central
Research and Outreach Center to include a
tenure track/research associate plant breeder.
The commissioner shall transfer the remaining
funds in this appropriation each year to the
Board of Regents of the University of
Minnesota for purposes of Minnesota Statutes,
section 41A.14. Of the amount transferred to
the Board of Regents, up to $1,000,000 each
year is for research on avian influenza.
new text end

new text begin To the extent practicable, money expended
under Minnesota Statutes, section 41A.14,
subdivision 1, clauses (1) and (2), must
supplement and not supplant existing sources
and levels of funding. The commissioner may
use up to one percent of this appropriation for
costs incurred to administer the program.
new text end

new text begin (b) $16,443,000 the first year and $15,443,000
the second year are for the agricultural growth,
research, and innovation program in
Minnesota Statutes, section 41A.12. Except
as provided below, the commissioner may
allocate the appropriation each year among
the following areas: facilitating the start-up,
modernization, improvement, or expansion of
livestock operations including beginning and
transitioning livestock operations with
preference given to robotic dairy-milking
equipment; providing funding not to exceed
$400,000 each year to develop and enhance
farm-to-school markets for Minnesota farmers
by providing more fruits, vegetables, meat,
grain, and dairy for Minnesota children in
school and child care settings including, at the
commissioner's discretion, reimbursing
schools for purchases from local farmers;
assisting value-added agricultural businesses
to begin or expand, to access new markets, or
to diversify, including aquaponics systems;
providing funding not to exceed $300,000
each year for urban youth agricultural
education or urban agriculture community
development; providing funding not to exceed
$300,000 each year for the good food access
program under Minnesota Statutes, section
17.1017; facilitating the start-up,
modernization, or expansion of other
beginning and transitioning farms including
by providing loans under Minnesota Statutes,
section 41B.056; sustainable agriculture
on-farm research and demonstration;
development or expansion of food hubs and
other alternative community-based food
distribution systems; enhancing renewable
energy infrastructure and use; crop research
including basic and applied turf seed research;
Farm Business Management tuition assistance;
and good agricultural practices and good
handling practices certification assistance. The
commissioner may use up to 6.5 percent of
this appropriation for costs incurred to
administer the program.
new text end

new text begin Of the amount appropriated for the agricultural
growth, research, and innovation program in
Minnesota Statutes, section 41A.12:
new text end

new text begin (1) $1,000,000 the first year and $1,000,000
the second year are for distribution in equal
amounts to each of the state's county fairs to
preserve and promote Minnesota agriculture;
new text end

new text begin (2) $3,750,000 the first year and $3,750,000
the second year are for incentive payments
under Minnesota Statutes, sections 41A.16,
41A.17, and 41A.18. Notwithstanding
Minnesota Statutes, section 16A.28, the first
year appropriation is available until June 30,
2023, and the second year appropriation is
available until June 30, 2024. If this
appropriation exceeds the total amount for
which all producers are eligible in a fiscal
year, the balance of the appropriation is
available for the agricultural growth, research,
and innovation program. The base amount for
the allocation under this clause is $3,750,000
in fiscal year 2024 and later;
new text end

new text begin (3) $1,000,000 the first year is for grants to
facilitate the start-up, modernization, or
expansion of meat, poultry, egg, and milk
processing facilities.
new text end

new text begin Notwithstanding Minnesota Statutes, section
16A.28, any unencumbered balance does not
cancel at the end of the first year and is
available for the second year, and
appropriations encumbered under contract on
or before June 30, 2023, for agricultural
growth, research, and innovation grants are
available until June 30, 2026.
new text end

new text begin The base amount for the agricultural growth,
research, and innovation program is
$15,443,000 in fiscal year 2024 and
$15,443,000 in fiscal year 2025, and includes
funding for incentive payments under
Minnesota Statutes, sections 41A.16, 41A.17,
and 41A.18.
new text end

new text begin (c) $2,000,000 the first year and $2,000,000
the second year are for a biofuels infrastructure
financial assistance program. Notwithstanding
Minnesota Statutes, section 16A.28, the
appropriations encumbered under contract for
grants on or before June 30, 2023, are
available until June 30, 2027. Of this amount,
$100,000 each year is for the administration
of the biofuels infrastructure financial
assistance program.
new text end

new text begin (d) $15,000 the first year and $29,000 the
second year are to maintain the current level
of service delivery.
new text end

new text begin Subd. 5. new text end new text begin Administration and Financial Assistance new text end

new text begin 9,031,000 new text end

new text begin 9,095,000 new text end

new text begin (a) $474,000 the first year and $474,000 the
second year are for payments to county and
district agricultural societies and associations
under Minnesota Statutes, section 38.02,
subdivision 1. Aid payments to county and
district agricultural societies and associations
shall be disbursed no later than July 15 of each
year. These payments are the amount of aid
from the state for an annual fair held in the
previous calendar year.
new text end

new text begin (b) $287,000 the first year and $287,000 the
second year are for farm advocate services.
new text end

new text begin (c) $238,000 the first year and $238,000 the
second year are for transfer to the Board of
Trustees of the Minnesota State Colleges and
Universities for statewide mental health
counseling support to farm families and
business operators through the Minnesota State
Agricultural Centers of Excellence. South
Central College and Central Lakes College
shall serve as the fiscal agents.
new text end

new text begin (d) $1,650,000 the first year and $1,650,000
the second year are for grants to Second
Harvest Heartland on behalf of Minnesota's
six Feeding America food banks for the
following:
new text end

new text begin (1) to purchase milk for distribution to
Minnesota's food shelves and other charitable
organizations that are eligible to receive food
from the food banks. Milk purchased under
the grants must be acquired from Minnesota
milk processors and based on low-cost bids.
The milk must be allocated to each Feeding
America food bank serving Minnesota
according to the formula used in the
distribution of United States Department of
Agriculture commodities under The
Emergency Food Assistance Program. Second
Harvest Heartland may enter into contracts or
agreements with food banks for shared funding
or reimbursement of the direct purchase of
milk. Each food bank that receives funding
under this clause may use up to two percent
for administrative expenses; and
new text end

new text begin (2) to compensate agricultural producers and
processors for costs incurred to harvest and
package for transfer surplus fruits, vegetables,
and other agricultural commodities that would
otherwise go unharvested, be discarded, or
sold in a secondary market. Surplus
commodities must be distributed statewide to
food shelves and other charitable organizations
that are eligible to receive food from the food
banks. Surplus food acquired under this clause
must be from Minnesota producers and
processors. Second Harvest Heartland may
use up to 15 percent of each grant awarded
under this clause for administrative and
transportation expenses.
new text end

new text begin Of the amount appropriated under this
paragraph, at least $600,000 each year must
be allocated under clause (1). Notwithstanding
Minnesota Statutes, section 16A.28, any
unencumbered balance the first year does not
cancel and is available in the second year.
Second Harvest Heartland must submit
quarterly reports to the commissioner in the
form prescribed by the commissioner. The
reports must include but are not limited to
information on the expenditure of funds, the
amount of milk or other commodities
purchased, and the organizations to which this
food was distributed.
new text end

new text begin (e) $250,000 the first year and $250,000 the
second year are for grants to the Minnesota
Agricultural Education and Leadership
Council for programs of the council under
Minnesota Statutes, chapter 41D.
new text end

new text begin (f) The commissioner shall continue to
increase connections with ethnic minority and
immigrant farmers to farming opportunities
and farming programs throughout the state.
new text end

new text begin (g) $1,000,000 the first year and $1,000,000
the second year are transferred to the
commissioner of agriculture for deposit in the
agricultural and environmental revolving loan
account established under Minnesota Statutes,
section 17.117, subdivision 5a, for low-interest
loans under Minnesota Statutes, section
17.117. These are onetime transfers.
new text end

new text begin (h) $222,000 the first year and $286,000 the
second year are to maintain the current level
of service delivery.
new text end

Sec. 3. new text begin BOARD OF ANIMAL HEALTH new text end

new text begin $ new text end

new text begin 5,780,000 new text end

new text begin $ new text end

new text begin 5,881,000 new text end

new text begin $200,000 the first year and $200,000 the
second year are for agricultural emergency
preparedness and response.
new text end

Sec. 4. new text begin AGRICULTURAL UTILIZATION RESEARCH INSTITUTE new text end

new text begin $ new text end

new text begin 3,893,000 new text end

new text begin $ new text end

new text begin 3,893,000 new text end

Sec. 5. new text begin CANCELLATIONS.
new text end

new text begin (a) The day following final enactment of this section, $916,553 of the 2021 fiscal year
appropriation for protection services under Laws 2019, First Special Session chapter 1,
article 1, section 2, subdivision 2, is canceled to the general fund.
new text end

new text begin (b) The day following final enactment of this section, $136,000 of the 2021 fiscal year
appropriation for agricultural marketing and development under Laws 2019, First Special
Session chapter 1, article 1, section 2, subdivision 3, is canceled to the general fund.
new text end

new text begin (c) The day following final enactment of this section, $120,000 of the 2021 fiscal year
appropriation for agriculture, bioenergy, and bioproduct advancement under Laws 2019,
First Special Session chapter 1, article 1, section 2, subdivision 4, is canceled to the general
fund.
new text end

new text begin (d) The day following final enactment of this section, $157,500 of the 2021 fiscal year
appropriation for administration and financial assistance under Laws 2019, First Special
Session chapter 1, article 1, section 2, subdivision 5, is canceled to the general fund.
new text end

ARTICLE 2

AGRICULTURE STATUTORY CHANGES

Section 1.

Minnesota Statutes 2020, section 18B.26, subdivision 3, is amended to read:

Subd. 3.

Registration application and gross sales fee.

(a) For an agricultural pesticide,
a registrant shall pay an annual registration application fee for each agricultural pesticide
of $350. The fee is due by December 31 preceding the year for which the application for
registration is made. The fee is nonrefundable.

(b) For a nonagricultural pesticide, a registrant shall pay a minimum annual registration
application fee for each nonagricultural pesticide of $350. The fee is due by December 31
preceding the year for which the application for registration is made. The fee is
nonrefundable. If the registrant's annual gross sales of the nonagricultural pesticide exceeded
$70,000 in the previous calendar year, the registrant shall pay, in addition to the $350
minimum fee, a fee equal to deleted text begin 0.5 deleted text end new text begin 0.9 new text end percent of that portion of the annual gross sales over
$70,000. For purposes of this subdivision, gross sales includes both nonagricultural pesticide
sold in the state and nonagricultural pesticide sold into the state for use in this state. No
additional fee is required if the fee due amount based on percent of annual gross sales of a
nonagricultural pesticide is less than $10. The registrant shall secure sufficient sales
information of nonagricultural pesticides distributed into this state from distributors and
dealers, regardless of distributor location, to make a determination. Sales of nonagricultural
pesticides in this state and sales of nonagricultural pesticides for use in this state by
out-of-state distributors are not exempt and must be included in the registrant's annual report,
as required under paragraph (g), and fees shall be paid by the registrant based upon those
reported sales. Sales of nonagricultural pesticides in the state for use outside of the state are
exempt from the gross sales fee in this paragraph if the registrant properly documents the
sale location and distributors. A registrant paying more than the minimum fee shall pay the
balance due by March 1 based on the gross sales of the nonagricultural pesticide by the
registrant for the preceding calendar year. A pesticide determined by the commissioner to
be a sanitizer or disinfectant is exempt from the gross sales fee.

(c) For agricultural pesticides, a licensed agricultural pesticide dealer or licensed pesticide
dealer shall pay a gross sales fee of deleted text begin 0.55 deleted text end new text begin 0.9 new text end percent of annual gross sales of the agricultural
pesticide in the state and the annual gross sales of the agricultural pesticide sold into the
state for use in this state.

(d) In those cases where a registrant first sells an agricultural pesticide in or into the
state to a pesticide end user, the registrant must first obtain an agricultural pesticide dealer
license and is responsible for payment of the annual gross sales fee under paragraph (c),
record keeping under paragraph (i), and all other requirements of section 18B.316.

(e) If the total annual revenue from fees collected in fiscal year 2011, 2012, or 2013, by
the commissioner on the registration and sale of pesticides is less than $6,600,000, the
commissioner, after a public hearing, may increase proportionally the pesticide sales and
product registration fees under this chapter by the amount necessary to ensure this level of
revenue is achieved. The authority under this section expires on June 30, 2014. The
commissioner shall report any fee increases under this paragraph 60 days before the fee
change is effective to the senate and house of representatives agriculture budget divisions.

(f) An additional fee of 50 percent of the registration application fee must be paid by
the applicant for each pesticide to be registered if the application is a renewal application
that is submitted after December 31.

(g) A registrant must annually report to the commissioner the amount, type and annual
gross sales of each registered nonagricultural pesticide sold, offered for sale, or otherwise
distributed in the state. The report shall be filed by March 1 for the previous year's
registration. The commissioner shall specify the form of the report or approve the method
for submittal of the report and may require additional information deemed necessary to
determine the amount and type of nonagricultural pesticide annually distributed in the state.
The information required shall include the brand name, United States Environmental
Protection Agency registration number, and amount of each nonagricultural pesticide sold,
offered for sale, or otherwise distributed in the state, but the information collected, if made
public, shall be reported in a manner which does not identify a specific brand name in the
report.

(h) A licensed agricultural pesticide dealer or licensed pesticide dealer must annually
report to the commissioner the amount, type, and annual gross sales of each registered
agricultural pesticide sold, offered for sale, or otherwise distributed in the state or into the
state for use in the state. The report must be filed by January 31 for the previous year's sales.
The commissioner shall specify the form, contents, and approved electronic method for
submittal of the report and may require additional information deemed necessary to determine
the amount and type of agricultural pesticide annually distributed within the state or into
the state. The information required must include the brand name, United States Environmental
Protection Agency registration number, and amount of each agricultural pesticide sold,
offered for sale, or otherwise distributed in the state or into the state.

(i) A person who registers a pesticide with the commissioner under paragraph (b), or a
registrant under paragraph (d), shall keep accurate records for five years detailing all
distribution or sales transactions into the state or in the state and subject to a fee and surcharge
under this section.

(j) The records are subject to inspection, copying, and audit by the commissioner and
must clearly demonstrate proof of payment of all applicable fees and surcharges for each
registered pesticide product sold for use in this state. A person who is located outside of
this state must maintain and make available records required by this subdivision in this state
or pay all costs incurred by the commissioner in the inspecting, copying, or auditing of the
records.

(k) The commissioner may adopt by rule regulations that require persons subject to audit
under this section to provide information determined by the commissioner to be necessary
to enable the commissioner to perform the audit.

(l) A registrant who is required to pay more than the minimum fee for any pesticide
under paragraph (b) must pay a late fee penalty of $100 for each pesticide application fee
paid after March 1 in the year for which the license is to be issued.

Sec. 2.

Minnesota Statutes 2020, section 28A.08, is amended by adding a subdivision to
read:

new text begin Subd. 4. new text end

new text begin Food handler license account; appropriation. new text end

new text begin A food handler license account
is established in the agricultural fund. Fees paid under subdivision 3 must be deposited in
this account. Money in the account, including interest, is appropriated to the commissioner
for expenses relating to licensing and inspecting food handlers under chapters 28 to 34A or
rules adopted under one of those chapters.
new text end

Sec. 3.

Minnesota Statutes 2020, section 28A.09, is amended by adding a subdivision to
read:

new text begin Subd. 3. new text end

new text begin Vending machine inspection account; appropriation. new text end

new text begin A vending machine
inspection account is established in the agricultural fund. Fees paid under subdivision 1
must be deposited in this account. Money in the account, including interest, is appropriated
to the commissioner for expenses relating to identifying and inspecting food vending
machines under chapters 28 to 34A or rules adopted under one of those chapters.
new text end

Sec. 4.

new text begin [41A.25] BIOFUELS INFRASTRUCTURE FINANCIAL ASSISTANCE
PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
new text end

new text begin (b) "Account" means the biofuels infrastructure financial assistance account established
in subdivision 3.
new text end

new text begin (c) "Biofuel" has the meaning given in section 239.051.
new text end

new text begin (d) "Biodiesel blend" has the meaning given in section 239.77.
new text end

new text begin (e) "Biodiesel fuel" has the meaning given in section 239.77.
new text end

new text begin (f) "Biofuels Infrastructure Financial Assistance Program Advisory Committee" or
"advisory committee" means the Biofuels Infrastructure Financial Assistance Program
Advisory Committee under section 41A.26.
new text end

new text begin (g) "Commissioner" means the commissioner of agriculture.
new text end

new text begin (h) "Financing" means loans, including low-interest loans, zero-interest loans, forgivable
loans, and other types of financial assistance other than grants.
new text end

new text begin (i) "Program" means the biofuels infrastructure financial assistance program established
in this section.
new text end

new text begin (j) "Technical assistance" means individualized guidance, presentations, workshops,
trainings, printed materials, or other guidance and resources on relevant topics.
new text end

new text begin (k) "Transportation fuel storage and dispensing infrastructure" means an underground
storage tank or above-ground storage tank, as those terms are defined in section 116.46 and
any rules adopted under that section. Transportation fuel storage and dispensing infrastructure
includes any structures or appurtenances to an underground storage tank or above-ground
storage tank.
new text end

new text begin Subd. 2. new text end

new text begin Program established. new text end

new text begin (a) A biofuels infrastructure financial assistance program
is established within the Department of Agriculture to provide financing and financial
assistance to owners of transportation fuel storage and dispensing infrastructure for the
purpose of upgrading infrastructure to become compatible with blends of gasoline containing
greater than ten percent biofuel by volume or biodiesel blends containing greater than 20
percent of biodiesel fuel by volume. The commissioner, in cooperation with public and
private partners, must establish and implement the program as provided in this section.
new text end

new text begin (b) The biofuels infrastructure financial assistance program must be comprised of state
or private grants, loans, or other types of financial and technical assistance for the purpose
as provided in this subdivision.
new text end

new text begin (c) The commissioner's actions under this subdivision are not subject to chapter 14.
new text end

new text begin Subd. 3. new text end

new text begin Biofuels infrastructure financial assistance account. new text end

new text begin A biofuels infrastructure
financial assistance account is established in the agricultural fund. The account consists of
money appropriated to the commissioner and any other money donated, allotted, transferred,
or otherwise provided to the account. Money in the account, including interest, is appropriated
to the commissioner for the purposes of this section, and must be used, to the extent
practicable, to leverage other forms of public and private financing or financial assistance
for the projects.
new text end

new text begin Subd. 4. new text end

new text begin Program administration. new text end

new text begin (a) The commissioner is the administrator of the
account for auditing purposes and must establish program requirements and a competitive
process for projects applying for financial and technical assistance.
new text end

new text begin (b) The commissioner may receive money or other assets from any source, including
but not limited to philanthropic foundations and financial investors, for deposit into the
account.
new text end

new text begin (c) Through issuance of requests for proposals, the commissioner may contract with one
or more qualified economic or community development financial institutions to manage
the financing component of the program and with one or more qualified organizations or
public agencies with financial or other program-related expertise to manage the provision
of technical assistance to project grantees.
new text end

new text begin (d) Money in the account at the close of each fiscal year does not cancel. In each
biennium, the commissioner must determine the appropriate proportion of money to be
allocated to loans, grants, technical assistance, and any other types of financial assistance.
new text end

new text begin (e) To encourage public-private, cross-sector collaboration and investment in the account
and program and to ensure that the program intent is maintained throughout implementation,
the commissioner must convene and maintain the Biofuels Infrastructure Financial Assistance
Program Advisory Committee.
new text end

new text begin (f) The commissioner, in cooperation with the Biofuels Infrastructure Financial Assistance
Program Advisory Committee, must manage the program, establish program criteria, facilitate
leveraging of additional public and private investment, and promote the program statewide.
new text end

new text begin (g) The commissioner, in cooperation with the Biofuels Infrastructure Financial
Assistance Program Advisory Committee must establish annual monitoring and accountability
mechanisms for all projects receiving financing or other financial or technical assistance
through this program.
new text end

new text begin Subd. 5. new text end

new text begin Eligible projects. new text end

new text begin (a) The commissioner, in cooperation with the Biofuels
Infrastructure Financial Assistance Program Advisory Committee, must establish project
eligibility guidelines and application processes to be used to review and select project
applicants for financing or other financial or technical assistance.
new text end

new text begin (b) Projects eligible for financing, financial assistance such as grants, or technical
assistance, must fulfill the purpose as provided in subdivision 2.
new text end

new text begin Subd. 6. new text end

new text begin Legislative report. new text end

new text begin The commissioner, in cooperation with any economic or
community development financial institution and any other entity with which it contracts,
must submit a report on the biofuels infrastructure financial assistance program by January
15 of each year to the chairs and ranking minority members of the legislative committees
and divisions with jurisdiction over agriculture policy and finance. The annual report must
include but not be limited to a summary of the following metrics:
new text end

new text begin (1) the number and types of projects financed;
new text end

new text begin (2) the amount of dollars leveraged or matched per project;
new text end

new text begin (3) the geographic distribution of financed projects;
new text end

new text begin (4) the number and types of technical assistance recipients;
new text end

new text begin (5) any market expansion associated with upgraded infrastructure;
new text end

new text begin (6) the demographics of the areas served;
new text end

new text begin (7) the costs of the program; and
new text end

new text begin (8) the number of loans or grants to minority-owned or female-owned businesses.
new text end

Sec. 5.

new text begin [41A.26] BIOFUELS INFRASTRUCTURE FINANCIAL ASSISTANCE
PROGRAM ADVISORY COMMITTEE.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin As used in this section, the following terms have the meanings
given:
new text end

new text begin (1) "commissioner" means the commissioner of agriculture; and
new text end

new text begin (2) "program" means the biofuels infrastructure financial assistance program under
section 41A.25.
new text end

new text begin Subd. 2. new text end

new text begin Creation. new text end

new text begin The Biofuels Infrastructure Financial Assistance Program Advisory
Committee consists of no more than 15 members appointed by the commissioner of
agriculture, including but not limited to representatives of agriculture, the biofuels industry,
and motor fuel retailers.
new text end

new text begin Subd. 3. new text end

new text begin Duties. new text end

new text begin The advisory committee must advise the commissioner of agriculture
on managing the program, establishing program criteria, establishing project eligibility
guidelines, establishing application processes and additional selection criteria, establishing
annual monitoring and accountability mechanisms, facilitating leveraging of additional
public and private investments, and promoting the program statewide.
new text end

new text begin Subd. 4. new text end

new text begin Meetings. new text end

new text begin The commissioner must convene the advisory committee at least
two times per year to achieve the committee's duties.
new text end

new text begin Subd. 5. new text end

new text begin Administrative support. new text end

new text begin The commissioner of agriculture must provide staffing,
meeting space, and administrative services for the advisory committee.
new text end

new text begin Subd. 6. new text end

new text begin Chair. new text end

new text begin The commissioner of agriculture or the commissioner's designee must
serve as chair of the committee.
new text end

new text begin Subd. 7. new text end

new text begin Compensation. new text end

new text begin The public members of the advisory committee serve without
compensation or payment of expenses.
new text end

ARTICLE 3

BROADBAND DEVELOPMENT

Section 1. new text begin BROADBAND DEVELOPMENT APPROPRIATIONS. new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to the agency
and for the purposes specified in this article. The appropriations are from the general fund,
or another named fund, and are available for the fiscal years indicated for each purpose.
The figures "2022" and "2023" used in this article mean that the appropriations listed under
them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively.
"The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The biennium"
is fiscal years 2022 and 2023.
new text end

			new text begin APPROPRIATIONS new text end
			new text begin Available for the Year new text end
			new text begin Ending June 30 new text end
				new text begin 2022 new text end		new text begin 2023 new text end

Sec. 2. new text begin DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT new text end

new text begin $ new text end

new text begin 50,350,000 new text end

new text begin $ new text end

new text begin 350,000 new text end

new text begin (a) $350,000 each year is for the Broadband
Development Office.
new text end

new text begin (b) $50,000,000 in fiscal year 2022 is for
transfer to the border-to-border broadband
fund account under Minnesota Statutes,
section 116J.396. This transfer is onetime.
new text end

new text begin (c) Of the amount transferred under paragraph
(b), up to three percent is for costs incurred
by the commissioner of employment and
economic development in administering the
grant program under Minnesota Statutes,
section 116J.395.
new text end