language to be deleted (2) new language
Laws of Minnesota 1989 CHAPTER 197-H.F.No. 862 An act relating to statutes; revising the text of certain laws to remove redundant and obsolete language, to simplify grammar and syntax, and to improve the style of language without causing changes in the meaning of the laws; amending Minnesota Statutes 1988, chapters 226; 230; 233; 234; 235; 236; and 366, as amended. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: REVISOR'S BILL ARTICLE 1 Section 1. Minnesota Statutes 1988, chapter 226, is amended to read: 226.01 [CERTIFICATES ON PRODUCTS; SALE.]
EveryA person engaged in the slaughter ofwho slaughters cattle, sheep, or hogs and dealing, deals in thetheir products thereof, whoand owns or controls the building wherein suchin which that business is conducted or suchthose commodities are stored, may issue warehouse certificates for any of the commodities actually in store ,and may sell, assign, transfer, pledge, or encumber the samecommodities to the amount described thereinin the certificate. SuchA certificate shallmust contain the name and address of the person issuing it, the location of the warehouse, the date of issue, the quantity of each commodity, and its brand or mark of identification, if any, and must be signed by the person issuing the samecertificate. 226.02 [INTEREST IN WAREHOUSE; CERTIFIED COPY.] Before issuing any sucha warehouse certificate under section 226.01, the person issuing it shall file with the county recorder of the county where the warehouse is located a written declaration ,stating the person's name and residence, that the person intends controllingto control a warehouse for the storage and sale of suchcommodities covered by section 226.01, a correct description of the warehouse, its location, and the name of any other person in any wayinterested thereinin the warehouse. It shallmust be signed, acknowledged, and recorded in a book kept for that purpose , and. A certified copy thereof shallof it must be filed with the clerk of the city or town wherein suchin which the business is conducted and kept in the same manner as chattel mortgages are required to be filed and kept , and. The party making the declaration shallmust be indexed as the vendor ,and the public as the vendee. 226.03 [STATEMENT PRINTED ON BACK.] Every suchA certificate issued shallunder section 226.01 must have printed on theits back thereofa statement that the party issuing it has complied with the law, and must give the book, page, and place where the record of suchthe declaration under section 226.02 may be found ,and the day of filing. SuchThe certificate, when soissued and delivered, shallmust transfer to the holder the title to the commodities thereindescribed , shallin it and be assignable by endorsement, and thereupon shall beis then prima facie evidence of title to suchthe commodities in the endorsee. It shallmust be registered by the party issuing the sameit in a book kept for that purpose, which shallmust show the date, the number and, the name of the party to whom it was issued, the kind and quantity of the commodities, and any brands or marks thereon and,on the commodities. It must be open to inspection by anya person holding anyan outstanding certificate in force ,or the person's agent or attorney ; and. When the commodity specified thereinin the certificate has been delivered ,or itthe certificate has in any other mannerbecome inoperative, that fact, with the date of suchdelivery or other termination of liability, shallmust be entered in the register in connection with the entry of its issuance. 226.04 [PROPERTY IN WAREHOUSE.] No person shallmay issue sucha warehouse certificate under section 226.01 unless the property thereindescribed in it is actually in the warehouse ; and it shall. The property must remain there until otherwise ordered by the holder of the certificate, subject to the conditions of the contract between the warehouse operator and the person to whom suchthe certificate was issued, or the person's assigns, as to the time of itsthe property's remaining therein; andin the warehouse. No second certificate shallmay be issued for the same property or any part thereofof it while the first is outstanding and in force, nor shall the property be sold, encumbered, shipped, transferred, or removed by the warehouse operator without the written consent of the certificate holder. 226.05 [PENALTIES.] EveryA person who shall(1) willfully alteralters or destroy anydestroys a register of suchwarehouse certificates issued under section 226.01 or issue anyissues a receipt of certificates without entering and preserving in suchthe book the registered memorandum or shall; (2) knowingly issue any such certificatesissues a certificate under section 226.01 when the commodities thereindescribed are not in the warehouse , or who, with intent to defraud, shall issue; (3) issues, with intent to defraud, a second or other certificate for which a former valid certificate is outstanding , or who shall under such circumstances sell, encumber, ship, transfer, or remove; (4) sells, encumbers, ships, transfers, or removes from the warehouse any suchcertified property or knowingly permit the samepermits it to be done without the written consent of the certificate holder ,; or who(5) knowingly receives or helps to remove any suchcertified property shall be, is guilty of a felony and must be punished by imprisonment in the Minnesota correctional facility-Stillwater for not more than five years or by a fine of not more than $20,000. 226.06 [VIOLATIONS; DAMAGES WHEN INJURED BY.] AnyA person injured by anya violation of sections 226.03 and 226.04 may recover the actual damages sustained ; and,. If the violation was willful, an addition theretothe person injured may also recover exemplary damages not exceeding double the actual damages , which shall. Exemplary damages must be found by special verdict. ARTICLE 2 Section 1. Minnesota Statutes 1988, chapter 230, is amended to read: 230.09 [RAILROAD RIGHT-OF-WAY; USE FOR CERTAIN PURPOSES.] AnyOn paying reasonable compensation a person, firm, or corporation shall have the right to use as a site for a public elevator, warehouse, coal shed, icehouse, buying station, selling station, or weighing scales or other instrumentalities for weighing livestock, or use ground space for receiving, storing, or distributing any article of commerce, transported or to be transported, a proper portion ofthe right-of-way of anya railroad within the outside switches at anya station or siding upon the payment of reasonable compensation therefor,for any of the following purposes: (1) as a site for a public elevator, warehouse, coal shed, icehouse, buying station, or selling station; (2) as a location for weighing scales or other equipment for weighing livestock; or (3) for receiving, storing, or distributing an article of commerce that has been or is to be transported. 230.10 [PROCEDURE UPON DISAGREEMENT WITH RAILROAD.] Any suchIf a person, firm, or corporation desiring(1) desires to construct, operate, or use a public elevator, warehouse, coal shed, icehouse, buying station, selling station, or weighing scales or other instrumentalitiesequipment for weighing livestock, or to use ground space for receiving, storing, or distributing anyan article of commerce transported orthat has been or is to be transported, or to continue the use and operation of any such buildings, structures, instrumentalities, or ground space where the same are already constructed or used, upon suchon the right-of-way of anya railroad, if unable toand (2) cannot agree with the person, firm, or corporation operating suchrailroad uponoperator on the site for suchthe buildings, structures, instrumentalitiesequipment, or ground space or the compensation to be paid therefor, the person, firm, or corporation may file a verified complaint with the department of agriculture setting forth. The complaint must state the facts and requesting itask the department to establish the location of thesite for suchthe buildings, structures, instrumentalitiesequipment, or ground space or the compensation to be paid therefor, or both , as the case may be. SuchThe complaint shallmust be served upon suchon the railroad company and 20 days, exclusive of the day of suchservice, shallmust be allowed for answer. After the time for answering has expired, the department shall fix the time and place for a hearing and give at least ten days notice thereofto both parties. 230.11 [HEARING; ORDER.] The hearing shallmust be held pursuant to suchthe notice and thereafter. If the department , if itfinds that the complainant is entitled thereto,to it, the department may makeissue an order establishing the location of the site for suchbuildings, structures, instrumentalitiesequipment, or ground space ,at a suitable place within the outside switches at any station ,or siding, and fixing the reasonable annual compensation to be paid thereforfor the space. Where suchIf buildings, structures, instrumentalitiesequipment, or ground space are already established or used upon suchon the right-of-way and the compensation thereforis not fixed by order of the department or by contract, the department may fix the reasonable compensation to be paid for the occupation thereofof the space. ARTICLE 3 Section 1. Minnesota Statutes 1988, chapter 233, is amended to read: 233.01 [DEFINITIONS.] Subdivision 1. [SCOPE.] The definitions in this section apply to this chapter. Subd. 1a. [DEPARTMENT.] Wherever the term"Department" is used in this chapter it shall be construed to meanmeans the department of agriculture of the state of Minnesota. Subd. 2. [WAREHOUSE OPERATOR.] Wherever the term"Warehouse operator" is used in this chapter it shall be construed to mean and includemeans the party, parties,copartnership, association, or corporation engaged in the operation of a "public terminal warehouse ," as defined in this section. Subd. 3. [PUBLIC TERMINAL WAREHOUSE.] The term"Public terminal warehouse" wherever used in this chapter shall be construed to mean and include all elevators or warehouses located within the switching limits of St. Paul, Minneapolis, and Duluth, or other points in the state, which are now, or hereafter may be,means an elevator or warehouse designated as a terminal pointspoint in which grain not belonging to the warehouse operator is received for storage, whether for hire or without charge , and shall include all. The term includes warehouses where grain stored for different owners is mixed with the grain of other owners and where the identity of the different lots or parcels is not preserved ,and shall include allwarehouses where grain other than that of the warehouse operator is stored in separate bins and theits identity thereofpreserved. [233.015] [EXCLUSION.] Sections 233.03 and 233.04, and sections 233.06 and 233.09, insofar as relates to the requirements therein, in respect to grade and dockage, and wherever requirements in respect to the same occur in sections 233.06 and 233.09, shallProvisions of sections 233.03, 233.04, 233.06, and 233.09 that relate to grade and dockage do not apply to any sucha public terminal warehouse whichif: (1) the warehouse is used and operated exclusively for cleaning, drying, cooling, mixing, and conditioning for the market ,of grain belonging to others and storing suchthat grain until it is disposed of by theits owner thereof, in which warehouse; and (2) in that warehouse, the grain of each owner or depositor is stored in separate bins or tanks and is kept separate from the grain of every other owner or depositor, and no grain belonging to suchthat warehouse operator is received, handled, or stored. [233.017] [RECEIPT ISSUANCE.] In all cases where such grain is delivered to a terminal elevator the receipt shall be issued in the name of the owner, or owner's agent, unless otherwise ordered in writing.If grain is delivered to a public terminal warehouse, the receipt must be issued in the name of the owner or owner's agent unless otherwise ordered in writing. Subd. 4. [WHAT INCLUDED IN DEFINITION OF "PUBLIC TERMINAL WAREHOUSE".] All elevators or warehouses included within the foregoing definition of public terminal warehouses are hereby declared to be "public terminal warehouses" and subject to license and regulation as provided in this chapter.233.02 [RULES.] The department shall make suchnecessary rules as may be necessaryin regard to the receipt, care, and delivery of grain, the issuance, cancellation, division, and consolidation of warehouse receipts, and suchother matters relative to the management of the business of public terminal warehouses as it shall deemthe department considers proper not inconsistent, consistent with the provisions ofthis chapter. 233.03 [DUTIES OF A WAREHOUSE OPERATOR.] Subdivision 1. [RECEIPT OF GRAIN; INSPECTION.] EveryA warehouse operator shall receive for storage and shipment as far as, to the extent of warehouse capacity will permit, all grain in suitable condition for storage ,tendered in the usual course of business, without discrimination of any kind. AllGrain shallmust be inspected on receipt and stored with other grain of the same grade except as herein otherwise providedsubject to other provisions of this chapter. Subd. 2. [WAREHOUSE RECEIPT; FORM.] At the time of thereceipt of the grain, the warehouse operator shall issue and deliver to the owner or consignee a warehouse receipt, authorized by the department, in the following form: Warehouse Receipt No.............. ............................ Elevator Co. ......................., Minn., ......... 19....... The .................................... Elevator Company has received in store in its elevator known as ................................................. situated at ........................................ Minnesota, for storage from ........................ owner, ................................. bushels of .................................. which has been duly inspected by a duly authorized inspector of grain appointed by the department of agriculture of Minnesota, or licensed by the Secretary of Agriculture of the United States, and has been graded by the inspector as No. .................... and is that grade. This grain, or an equal amount of grain of the same kind and grade, is deliverable upon the return of this receipt properly endorsed by the owner above named and the payment of all lawful charges; in case of grain stored separately in a special bin, at the request of the owner or consignee, the identity of the grain will be preserved while in store and the grain will be delivered as a separate lot or parcel, in accordance with the law, upon surrender of the receipt. Loss by fire, heating or the elements is at the owner's risk. Countersigned by ...................................................... Secretary The ......................... Elevator Company conducts this elevator as a public terminal warehouse and receives and stores therein grain of others for hire. .......... bushels .......... grade. ...................... By ................. STUB RECORD Initial Car No. Bushels Receipt No........... 19.... Received in store from .............................. Bushels.... Lbs.... Grade.... Car No. Bushels Car No. Bushels Subd. 3. [OTHER DUTIES REGARDING RECEIPTS.] The receipts shallmust be consecutively numbered and delivered to the owner immediately upon receipt of each lot or parcel of grain, giving the true andgrain's correct grade and weight thereof. The manner of receipt of the grain shallmust be stated in the receipt, andalong with the number and distinctive mark of each car, and the name of each barge or other vessel. The failure to issue a receipt as directed or the issuance of anya warehouse receipt differing in form or language from that prescribed shall bethat does not comply with this section is a misdemeanor ; provided that. A warehouse receipt may, at the request of the owner or consignee, mayprovide for delivery of the grain represented therebyit represents to the depositor ,or any otheranother specified person, and may have printed or stamped thereonon it the words "nonnegotiable." 233.04 [GRAIN REDELIVERED ON WAREHOUSE RECEIPT.] Upon return of the receipt for grain not stored in separate bins to the proper warehouse operator, properly endorsed, and upon payment or tender of all advances and legal charges, grain of the same grade and quantity named therein shallin the receipt must be delivered to the holder of suchthe receipt within 24 hours after facilities for receiving the samegrain have been provided. The identical grain, if stored in separate bins, shallmust be sodelivered. A warehouse operator who fails to deliver it is liable to the owner in damages at the rate of one cent a bushel for each day's delay, unless the property is delivered to the several owners in the order of demand as rapidly as it can be done by ordinary diligence. If the warehouse operator shall fail sofails to deliver suchthe grain, the person entitled theretoto it may recover the same,it if it is kept in separate bins, orthe same amount of grain of likethe same grade ,if it is stored with other grain, or the value thereof,of the grain in a civil action ; and such. A warehouse operator shall also bewho fails to deliver grain to the person entitled to it is guilty of theft. 233.05 [WAREHOUSE OPERATOR NOT TO SELL WITHOUT AUTHORITY FROM OWNER.] NoA warehouse operator shallmay not, in violation of this chapter, sell or otherwise dispose of or deliver out of store any grain stored in the warehouse without the express authority of its owner and the return of the storage receipt except as herein provided, normix together grain of different grades in store, norselect grain of different qualities ,but of the same grade ,for storage or delivery, nortamper with grain of others while in the operator's possession or custody with the purpose of securing anypersonal profit or a profit for any otheranother person, or attempt to deliver grain of one grade for that of another. AnyA person violating any provision ofwho violates this section shallmust be punished by a fine of not more than $3,000 or imprisonment in the Minnesota correctional facility-Stillwater for not more than five years, or both. 233.06 [GRAIN STORED IN SEPARATE BINS.] At the request of the owner or consignee, sucha warehouse operator shall store anygrain of the samean owner or consignee ,in separate bins , which grain shall then bearbearing the name of the owner or consignee. The warehouse operator shall issue to the owner or consignee, distinguishing whether owner or consignee, a warehouse receipt or receipts for all or any part of suchthe grain. Every suchwarehouse receipt shall givemust contain the name of the owner or consignee and state the amount, kind, and grade of grain for which the receipt is issued ,and that the grain of suchthe owner or consignee is stored separately from the grain of any other owner or consignee. The warehouse operator shall, on presentation and surrender of the warehouse receipt bearing the proper endorsement of the person to whom it was issued, deliver to the person surrendering the receipt suchthe amounts of the same grain as may bedemanded and of the same grade as called for by receipt. The warehouse operator, at the request of the owner or consignee, shall clean, dry, mix or otherwise improve the condition or value of suchthe grain, and it shallmust be delivered separately from the grain of any other owner or consignee upon the order of the owner or consignee, in accordance with the terms of the warehouse receipt issued thereforfor it and endorsed by suchthe owner or consignee ; provided, that such. A special bin receipt, at the request of the owner or consignee, may have printed or stamped thereonon it the words "nonnegotiable" and the delivery of the identical grain described therein shallin it must be a sufficient delivery and satisfaction of suchthe receipt. 233.07 [INSPECTION AT PUBLIC TERMINAL WAREHOUSE.] All grainsGrain received at a public terminal warehouse shallmust be inspected and graded at the time of its receipt by an inspector licensed by the United States department of agriculture under the provisions ofthe United States grain standards act at the time of its receipt, provided suchif the grain has not previously been inspected by ana licensed inspector so licensed, and further provided. No inspection shall beis required of grain being moved between elevators owned or operated by the same person, firm, or corporation. Interested parties have the right of reinspection and appeal is hereby expressly preserved to all interested parties. 233.08 [LICENSE.] No public terminal warehouse shallmay be operated or receive grain for storage , either to be mixed with the grain of other parties of like grade, or in separate bins,until the owners or parties in charge and operating the warehouse shall firstobtain a license from the department authorizing the warehouse operator to operate a warehouse under the provisions ofthis chapter. AllLicenses issued or renewed annually shallexpire at midnight on the 30th day ofJune 30 nextfollowing the date of issuance or renewal. Before anya license shallmay be issued, written application shallmust be made to the department for a license specifying the kind of warehouse, the nature of its construction, its capacity and location, the name of the firm or corporation operating the same andit, each member of the firm or officer of the corporation, and other facts asthe department may require shall be contained in the applicationrequires. The department shall act on the application shall be acted uponwith reasonable dispatch by the department; and,. If no reason exists for refusing the sameapplication, a license maymust be issued upon the payment of the fee set by the commissioner. The amount of the fee shallmust be set to cover the costs of administering and enforcing this chapter. A license shallmay be grantedissued only upon the warehouse operator furnishing to the department a bond to the state of Minnesota, to be approved by the department, in a penal sum to be fixed by the department but not less than $50,000 for each warehouse , which shall be. The bond must be conditioned foron the faithful discharge of the duties of warehouse operator and full compliance with allthe laws of the state and rules of the department relative to the operation of public terminal warehouses and forthe delivery to parties storing grain in suchthe warehouses under the terms of this chapter of the grain or, an equal amount of the same kind and grade soof grain stored, or thepayment thereforof the value of the grain in case of failure to make the delivery. TheA license may be revoked by the department for violation of the law or anya rule prescribed byof the department, but shallmay only be revoked upon a written notice or complaint specifying the charges and after a hearing hadbefore the department. A license may be refused to anya warehouse operator whose license has been revoked within the preceding year. If a warehouse operator applies for a license for more than one warehouse in the same county, butonly one bond needneeds to be furnished but the same shall in all casesbond must be in proportion to the capacity of all warehouses. Fees collected under this chapter shallmust be paid into the grain buyers and storage fund established in section 232.22. 233.09 [STATEMENT OF GRAIN IN WAREHOUSE; REPORTS.] Every terminalA warehouse operator shall post conspicuously in the operator's business office , on or beforeby Tuesday morning of each week ,a statement of the amount of grain of each kind and grade in store in the warehouse at the close of business on the preceding Saturday and rendersend a likesimilar statement, verified by the operator or a bookkeeper having personal knowledge of the facts, to the warehouse registrar of the department. The operator shall also make a daily statement to the registrar of: (1) the amount of each kind and grade of suchgrain received in store in the warehouse the preceding day; (2) the amount shipped or delivered, and the warehouse receipt canceled on suchthe delivery, stating the number of each receipt and the amount, kind, and grade of grain shipped or delivered thereonon it; (3) the amount, kind, and grade of grain delivered for which no warehouse receipt was issued and how and when the samegrain was received, the aggregate of suchreported cancellation and delivery of unreceipted grain corresponding in amount, grade, and kind with the shipments and deliveries reported; and at the same time report(4) the receipts canceled upon issue of new ones, with the number of each suchcanceled receipt canceledand thatthe one issued in its place. The operator shall alsofurnish the registrar anyfurther information regarding receipts issued or canceled necessary for a correct record of all suchthe receipts and of grain received and delivered and make a further. The operator shall send a verified statement to the department of the condition and management of anyeach terminal warehouse under the operator's control ,at suchthe times and in suchthe form asthe department may requirerequires. 233.10 [PUBLICATION OF RATES; CHARGES FOR HANDLING AND STORING GRAIN.] EveryA warehouse operator operating a "public terminal warehouse "located within the switching limits of St. Paul, Minneapolis, Duluth, or other terminal point pursuant topoints under section 233.01, subdivision 3, shall annually , during the first week in July,publish in some newspaper, daily if there be one, published in the place where the warehouse is situated,a schedule of storage rates for the ensuing year , which shall. The schedule must be published during the first week in July in a newspaper published in the place where the warehouse is situated. The newspaper in which the rates are published must be a daily, if there is one. The rates may not be increased during suchthe year ,and no discrimination inthe warehouse operator may not discriminate in applying rates shall be made by any such warehouse operator. The charges for receiving, handling, and delivering grain at sucha warehouse and the charges for storing grain in sucha warehouse shallmust be fixed by the department, subject to the provisions ofMinnesota Statutes 1969, chapter 15. 233.11 [INSPECTION.] EveryA person havingwho has an interest in anygrain stored in any sucha public terminal warehouse ,and everya state grain inspector , shallhave the right to examine stored grain and all parts of the warehouse at all times during ordinary business hours any grain so stored, and all parts of such warehouse; and every such. The warehouse operator and the operator's agents and servantsshall furnish proper facilities for suchan examination under this section. 233.12 [RIGHTS OF OWNER AND SHIPPER ;EXTENDED TO OTHERS.] EveryA right andor privilege granted by this chapter to the owner or shipper of grain for storage in a public terminal elevatorswarehouse and the rightsa right granted to suchthat owner while the samegrain remains in and is removed from such elevatorthe warehouse, shall be and herebyis extended to ,and may be exercised by ,an individual or association of individuals, copartners, cooperative company or association, or corporation , and every. A right andor privilege granted by this chapter grantedto citizens, associations, or corporations in this state may be exercised by anya citizen, association, or corporation of any otheranother state and such citizen, association, or corporation of any other state shall have andwho may exercise the same rights and privileges as citizens, associations, or corporations of this state and be subject to the same restrictions and liabilities. 233.22 [WITHHOLDING GRAIN.] The owner or consignee of grain consigned to a public terminal warehouse may have the samegrain withheld from storage and delivered to or at the direction of the owner or consignee by giving notice to the carrier in possession thereof,who possesses the grain and to the warehouse operator to whom suchthe grain was consigned, and paying all charges that may be a lien thereonon the grain. SuchThe grain shallmust be removed within 24 hours after the car or boat containing the sameit is placed in a proper and convenient place for unloading. If the grain beis delivered contrary to suchthe notice, suchthe warehouse operator ,and the carrier sodelivering the same, shall begrain are jointly and severally liable to the owner for double its value. 233.23 [UNAUTHORIZED STORAGE.] No contract, agreement, understanding, or combination shallmay be entered into between any publica warehouse operator and anya common carrier or other person for the delivery of anygrain at anya public terminal warehouse contrary to the direction of the owner , nor shall any. No grain may be sodelivered or received contrary to the direction of the owner. 233.24 [INSPECT SCALES.] AllScales in public terminal warehouses or scales used for weighing grain in railroad yards at terminal points shall beare under the control of the department of agriculture and subject to inspection by it ,and are exempt from the jurisdiction of sealers of weights and measures. They shallmust be inspected at the request of anya person interested in anygrain weighed or to be weighed thereonon them. If scales are found to be incorrect, the cost of inspection shallmust be paid by thetheir owner thereof; otherwiseor by the person requesting inspection. No scales found to be incorrect shallmay be used until they are reexamined and found correct. 233.33 [POLICE PROTECTION.] Subdivision 1. [PROTECTION TO GRAIN.] AllRailroad companies, warehouse operators, and millers operating at the terminal points of this state shall furnish ample andsufficient police protection at all oftheir severalterminal yards and on their terminal tracks to securely protect all cars containing grain ,while the same arein their possession, shall prohibit and restrain all unauthorized persons , whether under the guise of samplers, sweepers, or under any other pretext whatever,from entering or loitering in or about their respective railroad yards or tracks and from entering any cars of grain under their control ,or removing grain therefromfrom the cars, and shall employ and detail such number ofsecurity guards as may benecessary for the purpose of carrying out the provisions ofto carry out this section. Subd. 2. [VIOLATIONS AND PENALTIES.] AnyA railroad company, warehouse operator, or miller operating at anya terminal point of this state ,who shall failfails to comply with the provisions ofthis section , and anyis guilty of a misdemeanor. An unauthorized person ,who shall removeremoves grain from a car before saidthe car is unloaded ,or who shall sweepsweeps or remove anyremoves grain from a car after it is unloaded at anya terminal point in this state, shall beis guilty of a misdemeanor. ARTICLE 4 Section 1. Minnesota Statutes 1988, chapter 234, is amended to read: 234.01 [PURPOSE.] The purpose of this chapter shall beis to provide the owner of grain in this state with means of warehousing samethe grain on the farm, under proper restrictions and safeguards, as a basis for credit and to aid in the orderly marketing thereofof the grain. [234.015] [DEFINITION.] As used in this chapter, "department" means the department of agriculture. 234.03 [DUTIES OF DEPARTMENT.] The department is hereby authorized and it is hereby declared to be its duty toshall carry out the provisions ofthis chapter ,and to this end it is hereby authorized tomay: (1) make and promulgate suchrules not inconsistent herewith as shall bethat are necessary or desirable effectuallyto carry out the provisions hereofthis chapter and consistent with it; (2) make suchreasonable and necessary rules with respect toabout the construction and maintenance of granaries, cribs, bins, or other receptacles as may be necessaryto protect the grain stored thereinin them under the provisions ofthis chapter; and (3) prepare and have printed under the same conditions as other state printing thenecessary blanks, forms, and other printed matter and make such charges to persons desiring such printed matter as shall, charging a fee for the printed matter that will meet the cost of production thereof. 234.04 [ MAY APPOINTSUPERVISORY BOARDS.] The department is authorized tomay appoint suchlocal supervisory boards for anya county or counties which it may deemwhen the department considers them necessary for the purpose of supervising generally andto supervise, under the direction of the department, grain in storage, theissuance of certificates against suchthe grain, and carrying out of the purposesand enforcing the provisions ofthis chapter. SuchLocal supervisory boards shall consist of not less than three nor more than seven members, each of whom shall beis a producer of grain in the state and a Minnesota resident thereof. Each member, upon appointment, shall qualify by taking oath similar to that required of public officials and shallcontinue in office until a successor is appointed by the department , which shall also have authority to. The department may fill anyvacancies arising by reason of the resignation, death, or removal by it of any sucha member or members. Each suchThe members of a local supervisory board shall select suchofficers, keep suchrecords, and perform suchduties asthe department may prescriberequires. 234.05 [PRIVILEGES OPEN TO ALL.] The privileges ofThis chapter shall be open tocovers all owners upon the same conditionsequally. AnyAn owner desiring to place grain in storage and have certificate orcertificates issued against suchthe grain under the provisions ofthis chapter shall make application thereforapply to the department in the manner and upon the forms provided by it for that purpose. 234.06 [MAY APPOINT LOCAL SEALER.] The department may, upon the recommendation of anya local supervisory board appointed by it hereunder,or upon the request in writing of ten or more producers of grain, appoint a local sealer or sealersfor anyall or part of a county or counties or part thereof, and every such. A sealer soappointed shall haveunder this section has the same authority as a peace officer with respect to the provisions ofthis chapter, and therules promulgated hereunderadopted under it, and theits enforcement hereof as any officer of the peace. 234.07 [BOND OF SEALER.] EachA sealer shall furnish bond for the faithful performance of all duties in suchan amount as shall bedetermined by the department , but in no event shall such. The bond may not be in an amount less than $1,000. TheBonds and sureties thereon shall, in every case, beon bonds are subject to approval of the department and must be deposited with it , and in case it. If a bond is not a personal bond, the premium thereon shallon it must be paid by the department out of the funds collected under this chapter. The sealer shall also qualify by takingtake an oath similar to that required of public officials. 234.08 [DUTIES OF SEALER.] It shall be the duty of the sealerUnder the direction of the department to, a sealer shall: (1) supervise the storage of grain; (2) ascertain the amount stored by each owner who shall desirewants to take advantage of the privileges ofcome under this chapter; (3) determine so far as possible upon the basis prescribed in the rules issued hereunderthe exact grade and quantity thereofof stored grain, so far as possible under rules made under this chapter; (4) ascertain, prior to the issuance of anybefore issuing a certificate, that the bin, crib, granary, or other receptacle in which thegrain is stored is satisfactory for the storage of suchthat grain and that suchthe receptacle conforms to the applicable rules applicable thereto promulgated byof the department. TheA sealer shall, before delivering a certificate to thean owner, ascertain that there are no other certificates outstanding upon the grain and seal the granary, crib, bin, or otherreceptacle in which the grain is stored in the manner hereinafteras provided , and thereafterin this chapter. The sealer shall then make periodic inspections of the granaries, cribs, bins, or othersealed receptacles so sealedat suchtimes and in suchthe manner asthe department may determine;requires, but in no event less frequently than at 90-day intervals, renderingat least once every 90 days. The sealer shall send to the department with reference to subsequent inspection, and to the owner when requested, a report or affidavit concerning each periodic inspection in suchthe form as may berequired in regard toby the department. The report must cover the amount and condition of the grain under seal and the condition of the structure within which it is stored. 234.09 [SEALER MAY INSPECT GRAIN.] The sealer shall have authority at all times to enter upon anypremises for the purpose of inspectingto inspect grain in storage or in the granary, crib, bin, or other receptacle in which it shall havehas been stored and the. Acceptance of a certificate by anyan owner shall be deemedis consent thereafterfor the sealer or anya person dulyauthorized thereuntoby the department to enter and inspect the sealed grain and the receptacle whereinin which it is stored. 234.10 [SEALS.] Seals employed hereunder shallunder this chapter must be furnished by the department and shallcontain the following language: "Sealed by authority state of Minnesota, department of agriculture. Any person tampering with this seal or removing any grain herein shall be subject to a fine and imprisonment as provided by law. Consecutive No............." 234.11 [CERTIFICATES.] Certificates shallmust be upon forms to beprepared and furnished by the department and every certificate must embody within its written or printed termscontain: (1) the date and consecutive number thereofof the certificate; (2) a particular description of the granary, crib, bin, or otherreceptacle in which the grain is stored and of the premises on which it is located; (3) a description of the grain as may berequired by therules issued hereundermade under this chapter; (4) the name of the owner or owners, whether ownership is sole, joint, or in trust, and in case of tenants, the date of the expiration of the lease; (5) a statement that no other certificates are outstanding on the grain represented therebyby the certificate; (6) a statement whether grain will be delivered to the bearer, to a specified person, or to a specified person or the person's order, and at what place it will be delivered; (7) a facsimile signature of each of the members of the department and the counter signature of the sealer; (8) a statement of anyloans or other indebtedness whichthat in any manner constitutes a lien, whether statutory or contractual, including botha mortgage andor landlord's lien upon the grain; and (9) the form of waivers of liens. 234.12 [OWNER TO EXERCISE REASONABLE CARE.] No term or condition shallmay be inserted in anya certificate, whether negotiable or otherwise, which shall in any manner purportthat purports to relieve the owner from exercising that degree of care in the safekeeping of the grain in storage whicha reasonably prudent person would exercise with regard to similar property that person owns. 234.13 [MAY ISSUE MORE THAN ONE CERTIFICATE.] The sealer may issue to the owner one or more certificates , as herein provided,under this chapter but each suchcertificate shallmust cover a separate granary, crib, or bin. 234.14 [CERTIFICATE TO BE IN QUADRUPLICATE.] AllCertificates issued hereunder shallunder this chapter must be issued in quadruplicate, with three copies marked "Duplicate -- No Value." The original and one duplicate copy shallmust be delivered to the owner and the other duplicate copies shallmust be filed with the department ,or the local supervisory warehouse board for the county in which the grain is stored if any sucha board has been established hereunderin the county under section 234.04. 234.15 [OWNER TO DELIVER DUPLICATE.] An owner who negotiates the original certificate shall at the same time deliver to the assignee the duplicate or the receipt of the county recorder for the samecertificate. SuchThe assignee may file the duplicate in the office of the county recorder of the county in which the grain is located which. The duplicate shallmust remain in the custody of the county recorder, except as hereinafter providedsubject to exceptions in this chapter. 234.16 [DUPLICATE FILED WITH COUNTY RECORDER.] WhenIf a duplicate is filed in the office of the county recorder, the recorder shall index the sameit in the chattel mortgage index or other suitable index book showing the date of the certificate, theits number thereof, to whom it was issued, and the kind, quantity, and location of the grain. The recorder shall collect 35 cents for each certificate indexed. The filing and indexing of sucha certificate shall impartgives the same notice as the filing and indexing of a chattel mortgage. 234.17 [ASSIGNMENTS MAY BE FILED.] WhenIf the owner or holder of a certificate makes written assignment thereofassigns it in writing, the county recorder shall on request of the assignee enter a copy of suchthe assignment uponon the duplicate in the recorder's office and enter uponin the index book the date of the assignment ,and the names of the assignor and the assignee. The recorder shall collect 25 cents for each assignment entered. 234.18 [CANCELLATION OF CERTIFICATES.] The owner may secure the cancellation ofhave a certificate canceled by delivering the original to the department or the board by which it was issued with the request that it be canceled. The department or board shall stamp the original "canceled" with the date of suchthe cancellation and retain samekeep it. Upon notice in writing from the department or board issuing thea certificate that it has been canceled, the county recorder shall release the duplicate filed of record without charge. 234.19 [OWNER TO DELIVER GRAIN.] The owner shall,In the absence of somea lawful excuse provided by this chapter, the owner shall deliver the grain stored upon demand by the holder of the certificate of the grain, if suchthe demand is accompanied by an offer to surrender the certificate. 234.20 [EXCUSE FOR REFUSAL.] In caseIf the owner refuses or fails to deliver the goods in compliance with a demand by the holder of a certificate so accompaniedthat complies with section 234.19, the burden shall beis upon the owner to establish the existence of a lawful excuse for suchthe refusal. 234.21 [EXPENSE OF SUPERVISION.] For the purposes of defrayingTo defray the expenses of supervision, the owner shall pay a fee at the time of sealing to the department or the local supervisory board of the county in which the grain is stored , if any, at the time of sealing an. The amount of the fee must be determined by the rules issued hereunder, but in no event tomade under this chapter, but may not exceed one cent per bushel for grain inspected and sealed by the sealer. Out of the funds thus created, the compensation of the sealer as fixed by the department shallmust be paid by it or by the board of the county in which the grain is stored, subject to its approval. 234.22 [FEES FOR SEALER.] In the exercise of the power and functions of an officer of thea peace officer in connection with the provisions ofthis chapter, the sealer is entitled to the same fees as areprovided by law for the performance of similar duties. 234.23 [VIOLATION; PENALTY.] AnyA person unlawfully removing, breaking, or in any mannerinterfering or tampering with anya seal, lock, or other fastening placed upon anya granary, crib, bin, or other receptacle for grain under the provisions ofthis chapter, except when suchthe removal shall be renderedis imperative to prevent the damage, loss, or destruction of stored grain stored therein, shall beis guilty of a crime and punishedpunishable by a fine of not less than $100 or more than $700 or by imprisonment in the county jail for not more than six months, or byboth such fine and imprisonment. 234.24 [FRAUDULENT CERTIFICATES.] An owner, the agent or servant of an owner, or anya member of anya board, or anya sealer, who fraudulently issues or aids in fraudulently issuing a certificate for grain ,knowing that it contains anya false statement, shall beis guilty of a crime ; and, upon conviction, punished for each offense. Each offense is punishable by imprisonment in the county jail not exceedingfor up to one year or by a fine not exceedingof up to $3,000, or byboth. 234.25 [VIOLATIONS; PENALTIES.] Subdivision 1. [UNLAWFUL DELIVERY.] An owner ,or anyan officer, agent, or servant of an owner, who delivers grain out of the possession of suchthe owner ,knowing that a negotiable certificate, the negotiating of which would transfer the right to the possession of suchthe grain, is outstanding and uncanceled without obtaining the possession of suchthe certificate at or before the time of suchthe delivery shall, except when ordered by the court as hereinbefore provided, be foundis guilty of a crime ; and on conviction punished for each offense. Each offense is punishable by imprisonment in the county jail not exceedingfor up to one year or by a fine not exceedingof up to $3,000, or byboth such imprisonment and fine. Subd. 2. [OTHER UNLAWFUL ACTS.] Any owner who shall,After the issuance and negotiation of a certificate for grain in storage, take, sell, mortgage, pledge, hypothecatean owner who takes, sells, mortgages, pledges, hypothecates, or otherwise encumberencumbers, or attemptattempts to take, sell, mortgage, pledge, or otherwise encumber ,the saidgrain, or who shall take or removeremoves it from theits receptacle where standing, shall beis guilty of a crime ; and upon conviction thereof subject to. Each offense is punishable by a fine of not less than $100 nor more than $3,000 or be imprisonedby imprisonment in the county jail for not more than one year, or be punished byboth such fine and imprisonment. 234.27 [UNIFORM COMMERCIAL CODE TO APPLY.] AllThe provisions of article 7 of the uniform commercial code ,relative to the negotiation, transfer, sale, or endorsement of warehouse receipts, shall, so far as possible,apply, to the extent possible, to the negotiation, transfer, sale, or endorsement of thecertificates provided for hereinunder this chapter. For the purpose of application of the uniform commercial code: (a) A certificate authorized by the department which evidences the storing of grain under the provisions ofthis chapter is a document of title as defined in section 336.1-201, clause (15) ; and. (b) A person who has title to and possession of anygrain stored under the provisions ofthis chapter is a warehouse operator as defined in section 336.7-102, clause (1)(h). ARTICLE 5 Section 1. Minnesota Statutes 1988, chapter 235, is amended to read: 235.01 [SUPERVISION OVER GRAIN.] The department of agriculture shall exercise general supervision oversupervise the grain interests of the state and of; buying, selling, handling, and storage of grain ,; and of themanagement of public warehouses and public grain markets, including chambers of commerce, boards of trade, and grain exchanges ;. The department shall investigate, on complaint or uponits own motion, all cases of fraud and injustice in the grain trade, unfair practices, or unfair discrimination in the buying or selling of grain ; have the power to. The department may compel the discontinuance of suchunfair practices or unfair discrimination ;in grain transactions and make all properrules for carrying out and enforcing the provisions of allstate laws of the staterelating to suchsubjects covered by this section. 235.02 [GRAIN INCLUDES FLAX SEED AND SOYBEANS.] The term "grain" wherever usedIn chapters 216 to 235, "grain" includes flax seed and soybeans. 235.04 [OVERLOADING GRAIN CARS.] EveryA railway company shall place painted lines inside ofeach of its cars used for the carriage of grain ,indicating the height to which the various kinds of grain may be loaded therein, andin that car. No car shallmay be loaded with anya kind of grain above its appropriate line. The person loading sucha car shall state in the bill of lading, prior to its beingbefore it is signed by the agent of the railway company, that the car is loaded to or below the line, and suchthe railway agent, before signing the bill, shall verify the statement. TheA signed bill of lading , so signed, shall beis prima facie evidence of the loading, and no charges for loading in excess of the quantity so limited shall liemay be made against suchthat car. NoA railway company that fails to equip anya car as aforesaid shallin accordance with this section may not collect anycharges for the transportation of grain in the car above the regular tariff rates for carload lots. EveryA person who shall load anyloads a car above the appropriate line and everyan agent of anya railway company who shall refuserefuses to sign any sucha bill of lading shall beis guilty of a misdemeanor and punished, punishable by a fine of not less than $10 nor more than $25. 235.05 [CARRIERS' RECEIPTS; PENALTY FOR FAILURE TO GIVE.] EveryA common carrier transporting grain shall give the shipper on request a receipt for the number of pounds of grain received from the shipper and deliver suchthat quantity to the consignee or proper connecting carrier, less loss from transportation , not to exceedof no more than 60 pounds to eachper car. SuchThe carrier shall forfeitforfeits to the state for each refusal to give sucha receipt not less than $10 nor more than $50 and for each failure to deliver the proper quantity of grain not less than $50 nor more than $200. 235.06 [ELEVATOR CHARGES, WHEN FORBIDDEN.] No railroad company shallmay charge or collect elevator or other charges for handling grain or for the use of anyan elevator when suchgrain is loaded by the shipper and not passed through an elevator, or make anya distinction in charges of any kindagainst a person shipping grain otherwise than through an elevator. 235.07 [DELIVERY FOR STORAGE A BAILMENT.] The delivery of grain to anya warehouse operator for storage, although it beis mingled with that of others ,or shipped or removed from the original place of storage, shall be deemedis a bailment ,and not a sale. 235.08 [WAREHOUSE RECEIPTS; NUMBERING.] AllWarehouse receipts for grain issued by the same warehouse shallmust be consecutively numbered , and. No two receipts bearing the same number shallmay be issued from the same warehouse during any onea year, except in case of a lost or destroyed receipt ,. In whichthat case, the new receipt shallmust bear the same date and number as the original ,and shallmust be plainly marked on its face "Duplicate." 235.09 [UNLICENSED WAREHOUSES.] AnyA person or corporation operating sucha warehouse without a license shall forfeitforfeits to the state for each day's operation $50 and suchthe operation may be enjoined upon complaint of the department. 235.10 [UNLAWFUL DISCRIMINATION IN SALE OR PURCHASE OF GRAIN.] AnyA person, firm, copartnership, or corporation engaged in the business of buying grain, either for itself or others, who shallmay not, with the intention of creating a monopoly or destroying the business of a competitor, discriminate between different sections,localities, communities, or citiesof this state ,by purchasing suchgrain of a particular grade and condition at a higher price or rate in one locality than is paid for grain of same grade and condition by the purchaserin another localityafter making due allowance for the difference, if any, in actual cost of transportation from the locality of purchase, to the locality of manufacture, use, or distribution , shall be deemed guilty of. Violation of this section is unfair discrimination ; and upon conviction thereof punished, punishable by a fine not exceedingup to $700 or by imprisonment in the county jail not to exceedup to six months. 235.13 [VIOLATIONS; PENALTIES.] Any person who shall violate any of the provisionsViolation of chapters 216 to 235, whereif no specific penalty is prescribed shall be guilty of, is a gross misdemeanor ; and upon conviction punished, punishable by a fine of not less than $50 nor more than $700. Any corporation which shall violate any such provision shall forfeit to the state for each violation not less than $50 nor more than $700.235.18 [ENFORCEMENT.] The department shall enforce the provisions ofsection 235.10 and, in so doing, shall have and exerciseusing all theits legal powers heretofore conferred upon it by law. ARTICLE 6 Section 1. Minnesota Statutes 1988, chapter 236, is amended to read: 236.01 [DEFINITIONS.] Subdivision 1. [SCOPE.] For the purposes ofThe definitions in this section apply to sections 236.01 to 236.09 , the following terms shall have the following meanings. Subd. 2. [PERSON.] "Person" includes anymeans an individual, partnership, association, corporation, or joint venture or combinations thereofa combination of these. Subd. 3. [GRAIN BANK.] "Grain bank" means a feed-processing plant whichthat receives and stores grain, the equivalent of which, except as is otherwise permitted by section 236.04, it processes and returns to the grain's owner thereof,in suchamounts, at suchintervals, and with suchadded ingredients , asthat are mutually agreeable to the grain's owner thereofand the person operating the plant. Subd. 4. [GRAIN BANK RECEIPT.] "Grain bank receipt" means a nonnegotiable receipt issued to the owner of thegrain or the owner's agent. Subd. 5. [DEPARTMENT.] "Department" means the Minnesotadepartment of agriculture. 236.02 [GRAIN BANK LICENSING; BONDING OF APPLICANTS.] AnySubdivision 1. [LICENSING REQUIREMENT.] A person who (1) operates an establishment whichthat processes grain into feed and (2) is licensed to buy grain as a public or private local grain warehouse operator under section 232.22 may obtain a license to operate a grain bank. No person may conduct a grain bank without a grain bank license. Subd. 2. [ISSUANCE.] A grain bank license shallmust be obtained from the department , which is hereby authorized to. The department may issue sucha grain bank license upon compliance bywhen the applicant has complied with the bond requirements of sections 236.01 to 236.09. SuchA grain bank license shall beis required in addition to thea license to buy grain as a public or private local grain warehouse operator and shall empowerpermits the licensee to conduct a grain bank in accordance with sections 236.01 to 236.09. EverySubd. 3. [EXPIRATION; POSTING; REVOCATION.] Grain bank license shalllicenses expire at midnight on the 30th day ofJune 30 each year. A license shall beis required for each location where a grain bank is operated. SuchLicenses shall beare revocable by the department for cause upon notice and hearing. AllLicenses and rules regulating the operation of the grain bank shallmust be posted in a prominent and easily accessible place in the grain bank. Subd. 4. [FEES.] The license fee shallmust be set by the commissioner in an amount sufficient to cover the costs of administering and enforcing this chapter. Fees collected under this chapter shallmust be paid into the grain buyers and storage fund established in section 232.22. NoSubd. 5. [BOND.] A license shallmay not be issued for the operation of a grain bank until the applicant has filed with the department a bond in sucha sum asset by the department may prescribe, which sum shall. The bond may not be less than $1,500 for each license and shallmust at all times be in sufficient sumlarge enough to protect the holders of outstanding grain bank receipts. SuchBonds shallmust be filed annually and cover the period of the grain bank license. SuchBonds shallmust run to the state of Minnesota and shallbe for the benefit of all persons storing grain in sucha grain bank. They shallmust be conditioned upon the faithful performance by the grain bank operator of all the provisions ofthe law relating to the operation of grain banks by suchthe grain bank operator, and therelated rules of the department relative thereto. The department is authorized tomay require suchincreases in the amounts of suchbonds from time to timeas it deemsconsiders necessary for the protection of grain bank receipt holders. The surety of suchgrain bank bonds shallmust be a corporate surety company authorized to transact business in the state ofMinnesota. AnySubd. 6. [ACTION ON BOND.] A person for whose benefit the bond is given may commence an action thereof in their own namein district court. AnySubd. 7. [SINGLE BOND.] A person who is granted a grain bank license at more than one location may, with the department's approval, file one bond covering all locations in sucha total amount asthe department may requirerequires under sections 236.01 to 236.09 and therules made pursuant tounder sections 236.01 to 236.09. AnyA person, firm, or corporation licensed as a public local grain warehouse operator and bonded under the provisions ofsection 232.13 may include liability for outstanding nonnegotiable grain bank receipts under the coverage of suchthat bond in lieu of securing a separate grain bank bond as provided inunder this section. 236.03 [GRAIN BANK RECEIPT; CONTENTS.] A grain bank receipt, authorized by the department, shallmust be issued for each delivery of grain to the grain bank. Each receipt shallmust contain the name and address of the grain bank establishment, the name ornames of the person orpersons for whom the grain is delivered to the grain bank, the kind, quantity, and grade of grain which shallto be redelivered to the owner of the grain, and other relevant factors as may berequired by the rules of the department. 236.04 [CHARGES.] Grain for which a grain bank receipt is issued shallmust be received and stored for processing. Storage charges shallmust be paid by the owner at rates prescribed by section 232.23 , and acts amendatory thereof,from ten days after the date on which the grain is delivered to the grain bank until the date the grain or processed grain represented by a grain bank receipt is redelivered to the owner of the grain. Storage charges shallmust be computed and recorded at the time of the redelivery of grain or processed grain to the owner or at the time of sale by the owner. If grain evidenced by a grain bank receipt is not processed or is not sold to the operator of the grain bank, the grain's owner thereofor the owner's authorized agent may obtain redelivery of grain of the kind, quantity, and grade shown on the grain bank receipt which evidences suchcovering that grain, if the owner or the authorized agent pays tothe grain bank operator a delivery charge in an amount prescribed for delivery charges in public local warehouses by section 232.06, subdivision 1, and acts amendatory thereof. Nothing inSections 236.01 to 236.09 , however, shalldo not authorize the storage of grain or the issuance of a grain bank receipt for anygrain whichthat is not intended, when received at the grain bank, to be redelivered to the owner of the grain or an authorized agent as a part of mixed or as otherwise processed feeds within a reasonable time after suchreceipt. 236.05 [DUTIES OF GRAIN BANK OPERATOR.] Subdivision 1. [INSURANCE.] The operator of the grain bank shall keep all stored grain storageinsured against loss by fire, windstorm, and extended coverage risks for the account of the owner and shallfurnish the department with suchthe evidence asit shall requirerequires that suchthe insurance is in force. Subd. 2. [RECEIPT AND STORAGE OF GRAIN.] The grain bank operator shall determine the quantities, kinds, and grades of grain to be received from a depositor, and grain equal to the grade shown on the receipt to be due the owner of the grain on redelivery shallmust be used in the delivery back to the owner. However, nothing herein shall prohibitCommingling of like kinds of grain orand the addition to the grain of materials used in the lawful formulation of mixed feeds are permitted as may berequired by the depositor of the grain. WhereIf, through no fault of the grain bank operator, redelivery of grain equal to the grade shown on the receipt cannot be made, then redelivery to the owner of a lesser grade may be made ; providedif the operator pays to the owner in money the difference in market value between the two grades. Subd. 3. [DELIVERIES OF PROCESSED FEEDS.] Deliveries of mixed or otherwise processed feeds formulated from grain bank stocks shallmust be at suchintervals of time and in suchquantities asthat are mutually agreeable to the grain owner thereofand the grain bank operator. Subd. 4. [SEPARATE RECORDS.] The operator of thea grain bank shall keep separate records for each customer of the balances whichthat remain between the grain bank operator and the owner of grain who has deposited grain in the grain bank, including but not limited to the charges made under section 236.04 and the figures whichthat support all balances shown. Subd. 5. [GRAIN ON HAND.] The operator of the grain bank mustshall keep on hand at all times grain sufficient to cover all outstanding storage receipts and outstanding grain bank receipts balances. 236.06 [GRAIN BANK'S POSSESSORY LIEN.] The operator of a grain bank shall havehas a possessory lien against grain represented by a grain bank receipt for all charges and moneysmoney owed the operator by the owner of saidthe grain as a result of the receiving, storing, processing, and other activities performed by the operator for the owner as part of the grain bank operation. In the event of anyinconsistency between the provisions ofthis section and those ofthe uniform commercial code the provisions of, this section shall applyapplies. 236.07 [REPORTS.] EveryA person licensed to operate a grain bank under sections 236.01 to 236.09 shall render togive the department on blanks orforms prescribed by it suchthe reports asthe department reasonably may require,requires and suchother information as may be provided forrequired by the rules of the department. No license shallmay be issued to anya licensed grain bank operator who has failed to make the reports asrequired hereinin this section. The department may causehave each grain bank and the, its business thereof, and the mode of conducting the same to beits business inspected by one or more of its members or by its authorized agent when deemedinspection is considered proper , and. The property, books,records, accounts, papersand proceedings of each grain bank shallare subject to inspection at all times during business hours be subject to inspection. 236.08 [RULES BY DEPARTMENT.] The department is hereby authorized to promulgate in the manner provided by law suchmay make rules that are reasonably necessary relative to grain bank operations as are reasonably necessary. 236.09 [PENALTIES FOR VIOLATIONS.] AnyA person who shall violate the provisions ofviolates sections 236.01 to 236.09 or the validrules made by the department under sections 236.01 to 236.09 shall beis guilty of a misdemeanor. If the department may, whenever itfinds after a hearing that any of the provisions ofa person licensed to operate a grain bank in this state has violated sections 236.01 to 236.09 or its validrules made under sections 236.01 to 236.09 have been violated by any person holding a license to operate a grain bank in this state, the department may suspend or revoke suchthe license , and. In case of a revocation, no new license shallmay be granted to the person whose license is sorevoked nor to anyone directly or indirectly engaged in the saidthat business for a period ofone year. ARTICLE 7 Section 1. Minnesota Statutes 1988, chapter 366, as amended by Laws 1989, chapter 1, section 3, is amended to read: 366.01 [POWERS.] Subdivision 1. The supervisors of each town shallconstitute a board to be designated "The Town Board of ............. ,." and anyUnless provided otherwise, two supervisors shall constitutebe a quorum except. In towns operating under option A in which case any, three shall constitutebe a quorum and except when otherwise provided. The supervisors shall have charge of all thetown affairs of the townnot by lawcommitted to other officers by law. They shall draw orders on the treasurer for the disbursement ofto disburse money to pay the town expenses, and for allto disburse money raised by the town to be disbursedfor any other purpose. They may pay the premium upon the bond of a town officer whereif the surety is a corporation authorized by law to be a surety. In lieu of individual bonds, the town board may provide for a blanket position bonds furnishedbond by a surety company to cover officers required to furnish a bondif all the obligations required by law or ordinance to be assumed by the principals and the principals' sureties by anindividual bondbonds are included in the blanket position bond. Subd. 2. They may by ordinance prohibit or license and regulate the keeping of billiard, pool, and pigeonhole tables, games of amusement, games of skill, juke boxes, roller skating rinks, bowling alleys, circuses, shows, and theatrical performances ,. They may fix the price and time of continuanceduration of the license , and,. When in their opinion the public interest requires it, they may revoke the license. Within any platted residential area of the town, they may license and regulate the presence or keeping of dogs or domestic animal pets and mayregulate or prohibit the discharge of firearms, when deemed to be in the public interest. Subd. 3. They may appropriate out of the general fund of the town and draw orders on the treasurer for the disbursement ofto disburse money to pay the annual dues in the Minnesota association of townships or a county unit that belongs to the stateassociation and to pay the actual and necessary expenses of townshiptown officers for meetings relating to town business including meetings of townshiptown associations. Subd. 4. They may select anddesignate a bank as the depository of town money for a time not extending beyond their official term, onafter the execution by suchthe bank of a sufficient bond to the town to be approved by the board and filed in the office of the town clerk , and thereupon. They may then require the treasurer to deposit all or anypart of the town money in suchthat bank. SuchThe designation shall be in writing, and set forth all the terms and conditionsupon which the deposits are made ,. It shall be signed by the chair and clerk, and filed with the clerk. The town treasurer shall not be liable for the loss of money while sodeposited , andin the bank. All interest thereonon the money shall belong to the town. Subd. 5. They may acquire by gift or purchase, in the name of the town, a tract of land, either within or without the limits ofoutside the town for public dumping ground for the use of the inhabitants of the town but. No such lands shallland for public dumping ground may be acquired without the limits ofoutside the town without the approval of the governmental unit in which such lands arewhere the land is located. They may thereaftermaintain the dumping ground and, by resolution, adopt rules and regulationsfor its use. Subd. 6. They may make suchagreements with other counties, towns, statutory cities, governmental subdivisions, individuals or corporations as they shalldeem necessary for the location, constructionto locate, construct, or maintenance of any suchmaintain the dumping ground. Subd. 7. They may provide for the prosecution or defense of actions at law or other proceedings in which the townshiptown may be interested, and they mayemploy counsel for the purpose. Nothing containedin this subdivision shall limit anypowers conferred on town boards of supervisors by anyother provision oflaw. Subd. 8. They shall designate one or more places in the town as public places at whichwhere legal notices shall be posted, and provide facilities for posting notices at the places; provided, thatthere. In a town which islocated withinin the geographical limits of a city, one or more notices may be posted in the city. The town board may waive the posted notice requirements of any law but shall then insteadprovide for notice to be published once each week for two successive weeks in a newspaper of general circulation in the town. Subd. 9. They may sell and convey or lease real or personal property belonging to the town, not conveyed to andrequired to be held by the town for a special purpose. Subd. 10. They may declare that a violation of an ordinance shall beis a penal offense and mayprescribe thepenalties for violations, except as otherwise provided by law. No penalty shall exceed that which isprovided by law for a misdemeanor, but the costs of prosecution may be added. Subd. 11. [OPEN MEETING LAW; EXEMPTION.] Except for the notice requirements, section 471.705 does not apply to a gathering of town board members to perform on-site inspections, if the town has no employees or other staff able to perform the inspections and the town board is acting essentially in a staff capacity. 366.015 [VOTE REQUIRED ON WEED DESTRUCTION.] Subdivision 1. [BALLOT, CONTENTS.] The town board at the annual town meeting may submit to a vote by ballot the following question: "Shall persons owningwho own or occupyingoccupy real estate adjoiningthat adjoins a town road and is not a part of an incorporated municipality be required to remove rocks in excess oflarger than five inches in diameter from and to cut, destroy or remove all weeds, grass and other plants ofup to three inches in diameter growingthat grow upon the town road adjacent to their land? Yes ....... No ........" Subd. 2. [COST, LIEN ON LAND.] If a majority of the electors voting on the question vote "Yes," a person owningwho owns or occupyingoccupies real estate adjoiningthat adjoins a town road and is not a part of an incorporated municipality shall cut, destroy or remove the material described on the ballot located upon the town road adjacent to the owner's land. A person who erects or maintains a mailbox on land not owned by the person shall cut, destroy or remove the material within five feet of suchthe mailbox. If any sucha person fails to comply with this provision, the town board of the town in which the real estate is located may, after ten days notice in writing, order the local weed inspector or other person to cut, destroy or remove the weeds or grass and. The expense thusincurred shall be a lien on suchthe real estate. The town board shall certify to the county auditor an itemized statement of the amount of the expense paid by the town and. The county auditor shall enter suchthe amount on the tax books as a tax upon the land, which shall be collected in the same manner as other real estate taxes. 366.03 [REPAIR STATUTORY CITY STREETS.] If anya statutory city included in the limits of a town neglects to keep its streets in repair, the town board of suchthe town may causemake repairs and improvements to be madeon any sucha city street needed as a highway. 366.04 [TRANSFER FUNDS.] TheA town board of any town in this stateby unanimous vote thereofmay transfer anya surplus beyond the needs of the current year in anya town fund to any other town fund to supply a deficiency therein. 366.05 [PROSECUTE BONDS, PENALTIES, AND FORFEITURES.] The town board shall prosecute, in the name of the town and for its benefit, all actions upon bonds given to the town ,or to it,the board or its predecessors in office for its benefit , and. The board shall sue for and collect all penalties and forfeitures, in respect tofor which no other provision is made, incurred by any officer or inhabitant of the town , and in like manner. The board shall prosecute for any trespass on town property. All moneysThe money collected under this section shall be paid to the town treasurer. 366.07 [TREASURER MAY SELECT DEPOSITORY.] If the town board refuses orfails to act, as provided in section 366.01, subdivision 4, within 30 days after the annual town meeting, the treasurer shall select one or more depositoriesa depository for the deposit and the safekeeping oftown funds and deposit town fundsthem in the name of the town, obtaining security for the fundsas provided in section 366.01, subdivision 4. 366.08 [TREASURER NOT LIABLE, WHEN.] The town treasurer, in the absence of negligence, shall not be liable for the loss of moneys while somoney deposited within the limits above specified occasioned by the closing or insolvency of a designated depository. 366.09 [INTEREST ON FUNDS.] All interest receivedon funds deposited under the provisions ofsections 366.06 to 366.09 shall be credited to the respective town funds. 366.095 [AUTHORITY TO ISSUE CERTIFICATES OF INDEBTEDNESS.] Subdivision 1. [CERTIFICATES OF INDEBTEDNESS.] The town board may issue certificates of indebtedness within the existingdebt limits for a town purpose otherwise authorized by law. The certificates shall be payable in not more than five years and shallbe issued on the terms and in the manner as the board may determine. If the amount of the certificates to be issued exceeds 0.25 percent of the market value of the town, they shall not be issued for at least ten days after publication in a newspaper of general circulation in the town of the board's resolution determining to issue them ; and. If before the end ofwithin that time, a petition asking for an election on the proposition signed by voters equal to ten percent of the number of voters at the last regular town election is filed with the clerk, the certificates shall not be issued until the proposition oftheir issuance has been approved by a majority of the votes cast on the question at a regular or special election. A tax levy shall be made for the payment ofto pay the principal and interest on the certificates as in the case of bonds. Subd. 2. [BONDS; OTHER OBLIGATIONS.] AnyA town authorized to exercise powers under section 368.01 may issue bonds or other obligations for the acquisitionto acquire or betterment ofbetter warning systems. Bonds or other obligations authorized by this subdivision must be sold, issued, and secured in the manneras provided in chapter 475. 366.10 [ZONING REGULATIONS.] The board of supervisors of any townmay submit to the legal voters of the town for their approval or rejectionat anyan annual or special town meeting, the question as towhether or not suchthe board shall adopt building and zoning regulations and restrictions in the town. The board of supervisorsin anya town which has within its borders a hospital established in accordance with Laws 1955, chapter 227, may submit to the voters of the town for their approval or rejectionat anyan annual or special town meeting, the question as towhether or not suchthe board shall adopt building and zoning regulations and restrictions in the town regulating the type of buildings that may be built or occupations carried on within a radius of one-half mile of suchthe hospital. 366.11 [BALLOTS.] ThereThe following question shall be printed on the ballots for the election the following: "Shall the board of supervisors adopt zoning and related regulations and restrictions? Yes............ No............" The voters shall place a cross-mark inafter one of the above squaresalternatives to express their choice. The ballot shall be cast and counted during the same hours and in the same manner as ballots for the election of the town officers of the town and,. Except as herein expresslyprovided in sections 366.10 to 366.18, suchthe meeting and election shall be subject to allthe laws of this stateregulating town meetings and elections of town officers in the town. 366.12 [REGULATIONS.] If a majority of the voters voting on suchthe question vote "Yes," the town board shall be authorized and empowered tomay regulate: (1) the location, height, bulk, number of stories, size of buildings and other structures, (2) the location of roads and schools, (3) the percentage of lot which may be occupied, (4) the sizes of yards and other open spaces, (5) the density and distribution of population, (6) the uses of buildings and structures for trade, industry, residence, recreation, public activities or other purposes, and (7) the uses of lands for trade, industry, residence, recreation, agriculture, forestry, soil conservation, water supply conservation, or other purposes , and. To carry out the provisions ofthis grantsection it shall issue building permits , and. It shall be unlawful to erect, establish, alter, enlarge, use, occupy, or maintain anya building, structure, improvement, or premises without firsthaving obtained sucha building permit. Before adopting anya regulation under this section the board shall hold a public hearing on the matter with notice in the manneras provided in section 366.15. This section is subject to the provisions and limitations ofsection 366.13. 366.13 [ZONING DISTRICTS.] For any or all of thesethe purposes the board of supervisors of any such town whereof sections 366.10 to 366.18, if a majority of the legalvoters voting thereonon the question have voted "Yes" at suchan election under section 366.12, the town board may divide the portions of thetown into districts or zones of suchthe number, shape, and area as may be deemedit deems best suited to carry out the purposes ofsections 366.10 to 366.18 , and. Within suchthe districts or zones it may regulate and restrict: (1) the location, height, bulk, number of stories, size of buildings and other structures, (2) the location of roads and schools, (3) the percentage of lot which may be occupied, (4) the sizes of yards and other open spaces, (5) the density and distribution of population, (6) the uses of buildings and structures for trade, industry, residence, recreation, public activities, or other purposes, and (7) the uses of land for trade, industry, residence, recreation, agriculture, forestry, soil conservation, water supply conservation, or other purposes. All suchThe regulations shall be uniform for each class and kind of buildings and for the use of land throughout each district, but theregulations in one district may differ from those in other districts. No suchThe board of supervisorsmay not make anya regulation prohibiting the erection, establishment, alteration, enlargement, use, occupancy or maintenance of anya landing area or airport as defined by the act of Congress known as thefederal Civil Aeronautics Act of 1938, owned by anya municipality, political subdivision, or public corporation created in and for any two or more municipalities, the operation and use of which has been approved by the department of transportation or by the Civil Aeronautics Board of the United States, nor shall anyand no permit under the provisions ofsections 366.10 to 366.18 shall be required for any suchits erection, establishment, alteration, enlargement, use, occupancy or maintenance. AnyRegulations heretoforemade by anya board of supervisorsbefore April 20, 1943 prohibiting such erection, establishment, alteration, enlargement, use, occupancy or maintenance of airports are hereby abrogated andannulled. Before adopting anya division or regulation under this section the board shall hold a public hearing on the matter with notice in the manneras provided in section 366.15. 366.14 [PURPOSE OF REGULATIONS.] TheseRegulations shall be made in accordance with the comprehensive plan , designed and enacted for the purpose of promotingto promote the health, morals, convenience, order, prosperity, or welfare of the present and future inhabitants of any suchthe town, including, among other things ,: (1) lessening congestion in streets or roads or; (2) reducing the wastes of excessive amounts of roads; (3) securing safety from fire and other dangers; (4) providing adequate light and air; (5) preventing , on the one hand,excessive concentration of population and , on the other hand,excessive and wasteful scattering of population or settlement; and (6) promoting sucha distribution of population and suchclassification of land uses and distribution of land development and utilization asthat will tend tofacilitate and conserve provisions for transportation, water flowage, water supply, drainage, sanitation, educational opportunities, recreation, soil fertility, food supplies, and protection of bothurban and nonurban development. 366.15 [DISTRICTS OR ZONES, AMENDMENT.] The board of supervisors of any such town where a majority of the legal voters voting thereon have voted "Yes" at such electionmay , from time to time,amend the number, shape, boundary, or area of anya district or zone, or anya regulation of area within sucha zone, or anya provision of the zoning resolution. Before finally adopting any suchan amendment the board of supervisorsshall hold a public hearing thereonon it, after giving at least ten days notice of the time and place of the hearing, which notice shall be givenby at least one publication in a newspaper of general circulation in the county in which suchwhere the town is located ; provided, that. No suchchange shallmay be made in the boundary line of zones or districts unless at least 50 percent of the owners of the lands proposed to be changed shallfile a petition for suchthe change. 366.16 [TOWN BUILDING COMMISSIONER.] The town board of supervisors of any such town where the majority of legal voters voting thereon have voted "Yes" at such an electionmay enforce thesethe regulations by withholding building permits , and. For suchthe purposes of sections 366.10 to 366.18 it may establish and fillthe position of town building commissioner and fix theits compensation attached to such position. In case anyIf a building or structure is or is proposed to be erected, constructed, reconstructed, altered, or used or any land is or is proposed to be used in violation of sections 366.10 to 366.18 or of anya regulation or provision enacted or adopted by the board of supervisors of any townunder the authority granted bysections 366.10 to 366.18, and such election, suchthe board, the attorney of the county wherein suchwhere the town is situated, the town attorney, the town building commissioner, or any adjacent or neighboring property owner may institute an injunction, mandamus, abatement, orany appropriate action to prevent or, enjoin, abate, or remove suchthe unlawful erection, construction, reconstruction, alteration, maintenance, or use. 366.17 [PLANNING AND ZONING COMMISSION.] For the purpose of carryingTo carry out the provisions ofsections 366.10 to 366.18, the town board of supervisors of any such town where the majority of legal voters voting thereon have voted "Yes" at such electionmay appoint a planning and zoning commission, all of whom shall be freeholders ;. The number of suchcommissioners toshall be determined by the board. The planning and zoning commission shall act as an adviser to suchthe town board , and. The commission may be empowered to employ a civil engineer or city planner as may berequired for establishingto establish the districts or zones of any parts of such townsthe town. 366.18 [EXISTING BUILDINGS NOT CHANGED.] The zoning resolution , as adopted by the board of supervisors of any such town or as subsequently amended,shall not prohibit the continuance of the use of a building for any trade or industry for which such buildingit was used at the timewhen the resolution took effect or the alteration of or addition to anyan existing building or structure for the purpose of carryingto carry on anya prohibited trade or industry withinin the zone where such structures areit is located. 366.181 [VIOLATIONS; PENALTIES.] AnyA person who shallknowingly violate, infract, or disobey any of the provisionsviolates a provision or the rulesrule of zoning regulations adopted by any town board pursuant to Minnesota Statutes 1945,sections 366.10 to 366.18, shall beis guilty of a misdemeanor. 366.19 [LICENSES.] AnyA person who shall exhibit anyexhibits a circus, theatrical performance, or show of any kind, or who shall keepkeeps a billiard, pool, or pigeonhole table, or a bowling alley in anya town, without first obtaining a license thereforfor it, as provided in section 366.01, shall beis guilty of a misdemeanor. 366.20 [MEETINGS.] The town board shall constitutebe a board of audit and shallmeet each year, on a date fixed by the town board, for the purpose of auditingto audit and settlingsettle all charges against the town. All unpaid accounts of town officers for services rendered since the last annual meeting of the board shall be presented at the meeting. It may also meet at anyother times for the purpose of auditingto audit and settlingsettle charges against the town. No allowance of anyan account shall be made which does not specifically itemize the account. A quorum for transacting business bythe board of audit shall be the same as for the board of supervisors. 366.21 [DUTIES.] It shall be the duty of the board of audit: (1) To examine and audit the accounts separately of each town officer authorized by law to receive or disburse money; (2) To examine and audit every account presented against the town, and to endorse thereonand state on it the amount allowed and disallowed , stating the items; and. No allowance shall be made on any account which does not specifically give each item, with theits date, amount, and nature thereof, separately. (SuchThe statement shall be verified by the claimant, the claimant's agent or attorney, and filed with the town clerk , and. No suchclaim against any townshall be considered or acted upon unless suchthe statement shall beis made and filed ); (3) To examine intothe character and circumstances of every other demand presented against the town which it is not authorized to audit, and in its report togive a summary thereofof it, with its recommendations in regard theretoto it; (4) To report in detail the items of accounts audited and allowed or disallowed, the nature of each, and the person to whom allowed , and the same in respect to accountsor disallowed. SuchThe report shall alsocontain a statement of the fiscal affairs of the town, with an estimate of the sum necessary to be raised for the current expenses or other authorized purpose for the ensuing year, and suchother recommendations as it may deem advisable. 366.22 [POSTING AND READING REPORT; FEE.] The clerk shall post a copy of the report at the place of holdingthe annual meeting at least half an hour before the time for the annual meeting to convene. The report shall also be publicly read by the clerk to the meeting , and. The whole report or any portion thereofpart of it may be referred by the meeting to a committee, which shall examine the sameand report to the meeting thereonon it. For making the report the clerk shall receive one-half of the fees allowed by law for making the original report. 366.27 [FIREFIGHTERS' RELIEF; TAX LEVY.] The town board of anya town in this state having thereinwith a platted portion on which there residewhere 1,200 or more people ,reside and wherein a dulyan incorporated firefighters' relief association is locatedmay each year at the timewhen the town tax levies for the support of the townare made and in addition theretoalso levy a tax not to exceed one-third of one mill on all taxable property within the town for the benefit of such reliefthe association. ARTICLE 8 Section 1. [EFFECT OF CHANGES.] The legislature intends the changes in the language of the laws amended by this act to be exclusively changes in style. No change is intended to alter or shall be construed by a court or other authority to alter the meaning of a law. If a section is amended by this act and also by another act adopted in 1989 and the amendments cannot be edited together in the next publication of Minnesota Statutes, the amendment by this act shall be without effect. Presented to the governor May 18, 1989 Signed by the governor May 19, 1989, 11:00 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes