Minnesota Session Laws - 1990, Regular Session

  

                         Laws of Minnesota 1990 

                        CHAPTER 561-S.F.No. 2527 
           An act relating to agriculture; establishing an 
          agricultural liming material law; allowing agreements 
          between the commissioner of agriculture and certain 
          persons required to file reports under the corporate 
          farming law; appropriating money; prescribing 
          penalties; amending Minnesota Statutes 1988, section 
          500.24, subdivision 4; Minnesota Statutes 1989 
          Supplement, section 18D.01, subdivision 3; proposing 
          coding for new law in Minnesota Statutes, chapter 18C. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:  
    Section 1. [18C.530] [CITATION.] 
    Sections 2 to 11 are known and may be cited as the 
"Minnesota agricultural liming materials law."  
    Sec. 2.  [18C.531] [DEFINITIONS.] 
    Subdivision 1.  [APPLICABILITY.] The definitions in this 
section apply to sections 2 to 11.  
    Subd. 2.  [AGRICULTURAL LIMING MATERIALS.] "Agricultural 
liming materials" means materials whose calcium or magnesium 
compounds, or both, account for an ENP of 30 percent or more and 
includes burnt lime, hydrated lime, industrial by-product, 
limestone, and marl.  
    Subd. 3.  [BRAND.] "Brand" means the term designating 
trademark, product name, or other specific designation under 
which individual agricultural liming material is offered for 
sale.  
    Subd. 4.  [BULK.] "Bulk" means in nonpackaged form.  
    Subd. 5.  [BURNT LIME.] "Burnt lime" means a material made 
from limestone that consists essentially of calcium oxide or a 
combination of calcium oxide with magnesium oxide.  
    Subd. 6.  [COMMISSIONER.] "Commissioner" means the 
commissioner of agriculture and the commissioner's authorized 
agents.  
    Subd. 7.  [DISTRIBUTOR.] "Distributor" means a person who 
imports, consigns, produces, or offers for sale, sells, barters, 
or otherwise supplies agricultural liming material in this state.
    Subd. 8.  [ENP.] "ENP" means effective neutralizing power 
and is an expression of the neutralizing value of liming 
material based on the TNP and fineness which is expressed as a 
dry weight percentage.  
    Subd. 9.  [FINENESS.] "Fineness" means the percentage by 
weight of material that will pass sieves of specified sizes.  
    Subd. 10.  [GUARANTEED ANALYSIS.] "Guaranteed analysis" 
means the plant food claim in addition to claims for ENP or the 
ability to neutralize soil acidity.  
    Subd. 11.  [GUARANTOR.] "Guarantor" means the person who is 
guaranteeing the agricultural liming material to be as stated in 
the guaranteed analysis statement.  
    Subd. 12.  [HYDRATED LIME.] "Hydrated lime" means a 
material made from burnt lime that consists of calcium hydroxide 
or a combination of calcium hydroxide with either magnesium 
oxide, magnesium hydroxide, or both.  
    Subd. 13.  [INDUSTRIAL BY-PRODUCT.] "Industrial by-product" 
means an industrial waste or by-product or the by-product of a 
municipal water treatment process containing calcium or 
magnesium or both in a form that may neutralize soil acidity.  
    Subd. 14.  [LABEL.] "Label" means the display of all 
written, printed, or graphic matter on the immediate container 
or the statement accompanying a bulk shipment of agricultural 
liming material.  
    Subd. 15.  [LABELING.] "Labeling" means written, printed, 
or graphic matter on or accompanying agricultural liming 
material and advertisements, brochures, posters, and television, 
radio, or other announcements used in promoting their sale.  
    Subd. 16.  [LIMESTONE.] "Limestone" means a material 
consisting of calcium carbonate or a combination of calcium 
carbonate with magnesium carbonate capable of neutralizing soil 
acidity.  
    Subd. 17.  [MARL.] "Marl" means a granular or loosely 
consolidated earthy material composed largely of sea shell 
fragments and calcium carbonate.  
    Subd. 18.  [OFFICIAL SAMPLE.] "Official sample" means a 
sample of agricultural liming material taken by the commissioner 
according to methods prescribed in section 8. 
    Subd. 19.  [PERCENT; PERCENTAGE.] "Percent" or "percentage" 
means the percentage by weight.  
    Subd. 20.  [PERSON.] "Person" means an individual, firm, 
corporation, partnership, association, trust, joint stock 
company, unincorporated organization, the state, a state agency, 
or a political subdivision.  
    Subd. 21.  [PLANT FOOD.] "Plant food" means one of the 
following plant nutrients or an additional plant nutrient that 
might be generally recognized as beneficial for plant growth:  
nitrogen, phosphorus, potassium, calcium, magnesium, sulfur, 
boron, chlorine, cobalt, copper, iron, manganese, molybdenum, 
sodium, and zinc.  
    Subd. 22.  [PRODUCER.] "Producer" means a person who 
operates a source of production or who blends an agricultural 
liming material to form a stockpile.  
    Subd. 23.  [SELL.] "Sell" means: 
    (1) selling or transferring ownership; 
    (2) offering and exposing for sale, exchange, distribution, 
and transportation in and into this state; 
    (3) possession with intent to sell, exchange, distribute, 
or transport in and into this state; 
    (4) storing, carrying, and handling in aid of traffic, 
whether done in person or through an agent, employee, or others; 
or 
    (5) receiving, accepting, and holding a consignment for 
sale.  
    Subd. 24.  [SOURCE OF PRODUCTION.] "Source of production" 
means a plant or facility where agricultural liming materials 
are produced or stockpiled.  
    Subd. 25.  [STOCKPILE.] "Stockpile" means a supply of 
agricultural liming material stored for future use.  
    Subd. 26.  [TNP.] "TNP" means total neutralizing power and 
is the total acid neutralizing capacity of an agricultural 
liming material expressed as a weight percentage of calcium 
carbonate and is equivalent to the term "calcium carbonate 
equivalent."  
    Subd. 27.  [TON.] "Ton" means a net ton of 2,000 pounds 
avoirdupois.  
    Subd. 28.  [WEIGHT.] "Weight" means the weight of material 
as offered for sale.  
    Sec. 3.  [18C.535] [POWERS AND DUTIES OF COMMISSIONER.] 
    Subdivision 1.  [ADMINISTRATION.] The commissioner shall 
administer, implement, and enforce sections 2 to 11.  The 
department of agriculture is the lead state agency for the 
regulation of agricultural liming materials which includes the 
storage, handling, distribution, and use of agricultural liming 
materials.  
    Subd. 2.  [DELEGATION OF DUTIES.] The commissioner may 
delegate authorities and duties under sections 2 to 11 to 
designated employees or agents of the department of agriculture. 
    Subd. 3.  [DELEGATION TO APPROVED AGENCIES.] The 
commissioner may, by written agreement, delegate specific 
inspection, enforcement, and other regulatory duties of sections 
2 to 11 to officials of approved agencies as defined in section 
18B.01, subdivision 2.  
    Sec. 4.  [18C.541] [LICENSE.] 
    Subdivision 1.  [LICENSE TO SELL.] Before a person may 
sell, offer for sale, or dispose of in this state agricultural 
liming material to be used for the correction of soil acidity or 
soil fertility, the distributor and producer must obtain a 
license by filing with the commissioner an acceptable 
application for a license to sell, together with the license 
fee, on or before January 1 of each year.  The application must 
state the name of the producer or distributor, the location of 
the principal office of the producer or distributor, the number 
and location of each source of production covered by the 
license, and the name, brand, or trademark under which the 
agricultural liming material will be sold.  
    Subd. 2.  [EFFECTIVE DATES.] A license is effective until 
January 1 following the date of its issuance or approval.  A 
license may not be transferred from one person to another.  
    Subd. 3.  [LICENSE POSTING.] The license must be posted in 
a conspicuous place in each location where agricultural liming 
materials are sold.  
    Subd. 4.  [SUBSTANTIATION OF CLAIMS.] The commissioner may 
require a person applying for a license to sell or produce an 
agricultural liming material for use in this state to submit 
authentic experimental evidence or university research data to 
substantiate the claims made for the product.  As evidence to 
substantiate claims, the commissioner may rely on experimental 
data, evaluations, or advice furnished by experts at the 
University of Minnesota and may accept or reject additional 
sources of evidence in evaluating the agricultural liming 
material.  In all cases, the experimental evidence must relate 
to conditions in this state for which use of the product is 
intended.  The commissioner may also require evidence of value 
of the product when used as directed or recommended.  
    Subd. 5.  [INSUFFICIENT EVIDENCE.] If the commissioner 
determines that the evidence submitted under subdivision 4 does 
not substantiate the product's usefulness in this state, the 
commissioner may require the applicant to submit samples, 
conduct tests, or submit additional information, including 
conditions affecting performance, to evaluate its performance 
and usefulness.  
    Subd. 6.  [INDUSTRIAL BY-PRODUCT WITHOUT CHARGE EXEMPT.] 
Industrial by-product lime material that is transferred between 
parties without compensation, except for a fair and reasonable 
transportation charge, is exempt from fees for licensing and 
inspection.  
    Sec. 5.  [18C.545] [LABELING.] 
    Subdivision 1.  [PRODUCT LABEL.] An agricultural liming 
material offered for sale in this state must be labeled in 
accordance with rules adopted under this chapter.  
    Subd. 2.  [BULK SHIPMENT LABEL.] If agricultural liming 
material is transported or sold in bulk, an invoice or delivery 
ticket in written or printed form as required by subdivision 1 
must accompany each delivery and be supplied to each purchaser 
at the time of delivery.  
    Sec. 6.  [18C.551] [LICENSE, SAMPLING, AND INSPECTION 
FEES.] 
    Subdivision 1.  [APPLICATION FEE.] An application for a 
license must be accompanied by a nonrefundable license fee of 
$150.  This fee shall not apply to occasional sales of 50 tons 
or less on an annual basis.  
    Subd. 2.  [ADDITIONAL FEE AFTER JANUARY 1.] If an 
application for license renewal is not filed before January 1, 
an additional nonrefundable application fee of 50 percent of the 
amount due may be assessed before the renewal license is issued. 
    Subd. 3.  [INSPECTION FEES.] An inspection fee, at the rate 
of five cents per ton, must be paid to the commissioner for all 
agricultural liming material offered for sale or sold in this 
state.  If more than one person is involved in the distribution 
of agricultural liming material the person who first sells or 
imports the agricultural liming material is responsible for the 
inspection fee.  A person licensed under section 5 must retain 
invoices showing proof of inspection fees paid.  
    Subd. 4.  [SAMPLE AND ANALYSIS FEE.] The commissioner may 
sample agricultural liming material from a source of production 
to the extent the commissioner considers necessary to implement 
sections 2 to 11.  A sampling fee of $40 must be assessed for 
each sample collected.  
   Subd. 5.  [DEPOSIT OF FEES] Fees and penalties collected 
under sections 2 to 11 must be deposited in the general fund.  
    Sec. 7.  [18C.555] [TONNAGE REPORT.] 
    Subdivision 1.  [SEMIANNUAL STATEMENT.] A licensed 
distributor or producer of agricultural liming material shall 
file with the commissioner on forms furnished by the 
commissioner a semiannual statement for the periods ending 
December 31 and June 30 setting forth the number of net tons of 
agricultural liming material sold in this state during the 
reporting period.  The report is due on or before the last day 
of the month following the close of each reporting period of 
each calendar year.  For a tonnage report that is not filed 
within 31 days after the end of the reporting period, a penalty 
of $50 must be paid by the licensee and may be recovered in a 
civil action against the licensee.  The assessment of this 
penalty does not prevent the department from taking other 
actions as provided in sections 2 to 11.  
    Subd. 2.  [RECORD VERIFICATION.] Submission of each tonnage 
report gives authority to the commissioner to verify the records 
upon which the statement of tonnage is based.  
    Sec. 8.  [18C.561] [SAMPLING METHODS.] 
    The methods of sampling and analysis of agricultural liming 
materials must be those adopted by the Association of Official 
Analytical Chemists.  In cases not covered by those methods, or 
in cases where methods are available in which improved 
applicability has been demonstrated, the commissioner may adopt 
appropriate methods from other sources.  
    Sec. 9.  [18C.565] [FALSE OR MISLEADING STATEMENTS.] 
    A person may not sell a misbranded agricultural liming 
material.  An agricultural liming material is misbranded if it 
carries a false or misleading statement on the container or on 
the label attached to the container, or if false or misleading 
statements concerning the agricultural liming material are 
disseminated in any manner or by any means.  
    Sec. 10.  [18C.571] [ADULTERATION.] 
    A person may not sell an adulterated agricultural liming 
material.  An agricultural liming material is adulterated if:  
    (1) it contains a deleterious or harmful ingredient in 
sufficient amount to render it injurious to plant life or the 
environment when applied in accordance with directions for use 
on the label; 
    (2) its composition falls below or differs from that it is 
purported to possess by its labeling; or 
    (3) it contains unwanted crop seed or weed seed.  
Adulterated products that cannot be reconditioned must be 
disposed of by methods approved by the commissioner.  
    Sec. 11.  [18C.575] [RULES.] 
    Subdivision 1.  [FOR ADMINISTRATION.] The commissioner may 
adopt emergency or permanent rules necessary to administer 
sections 2 to 11.  
    Subd. 2.  [LIMING MATERIALS.] The commissioner may adopt 
rules governing the distribution, labeling, sale, handling, 
certification, use, application, storage, sampling, and analysis 
of liming materials.  
    Sec. 12.  Minnesota Statutes 1989 Supplement, section 
18D.01, subdivision 3, is amended to read: 
    Subd. 3.  [AGRICULTURAL CHEMICAL.] "Agricultural chemical" 
means a pesticide as defined under chapter 18B or a 
fertilizer, agricultural liming material, plant amendment, or 
soil amendment as defined under chapter 18C. 
    Sec. 13.  Minnesota Statutes 1988, section 500.24, 
subdivision 4, is amended to read: 
    Subd. 4.  [REPORTS.] (a) The chief executive officer of 
every pension or investment fund, corporation, or limited 
partnership, except a family farm corporation or a family farm 
limited partnership, that holds any interest in agricultural 
land or land used for the breeding, feeding, pasturing, growing, 
or raising of livestock, dairy or poultry, or products thereof, 
or land used for the production of agricultural crops or fruit 
or other horticultural products, other than a bona fide 
encumbrance taken for purposes of security, or which is engaged 
in farming or proposing to commence farming in this state after 
May 20, 1973, shall file with the commissioner of agriculture a 
report containing the following information and documents: 
    (1) The name of the pension or investment fund, 
corporation, or limited partnership and its place of 
incorporation, certification, or registration; 
    (2) The address of the pension or investment plan 
headquarters or of the registered office of the corporation in 
this state, the name and address of its registered agent in this 
state and, in the case of a foreign corporation or limited 
partnership, the address of its principal office in its place of 
incorporation, certification, or registration; 
     (3) The acreage and location listed by quarter-quarter 
section, township and county of each lot or parcel of land in 
this state owned or leased by the pension or investment fund, 
limited partnership, or corporation and used for the growing of 
crops or the keeping or feeding of poultry or livestock; 
     (4) The names and addresses of the officers, 
administrators, directors or trustees of the pension or 
investment fund, or of the officers, shareholders owning more 
than ten percent of the stock, including the percent of stock 
owned by each such shareholder, and the members of the board of 
directors of the corporation, and the general and limited 
partners and the percentage of interest in the partnership by 
each partner; 
     (5) The farm products which the pension or investment fund, 
limited partnership, or corporation produces or intends to 
produce on its agricultural land; 
     (6) With the first report, a copy of the title to the 
property where the farming operations are or will occur 
indicating the particular exception claimed under subdivision 3, 
clauses (a) to (r); and 
     (7) With the first or second report, a copy of the 
conservation plan proposed by the soil and water conservation 
district, and with subsequent reports a statement of whether the 
conservation plan was implemented. 
     The report of a corporation seeking to qualify hereunder as 
a family farm corporation, an authorized farm corporation, a 
family farm partnership, or authorized farm partnership shall 
contain the following additional information:  The number of 
shares or the partnership interests owned by persons residing on 
the farm or actively engaged in farming, or their relatives 
within the third degree of kindred according to the rules of the 
civil law or their spouses; the name, address and number of 
shares owned by each shareholder or partnership interests owned 
by each partner; and a statement as to percentage of gross 
receipts of the corporation derived from rent, royalties, 
dividends, interest and annuities.  No pension or investment 
fund, limited partnership, or corporation shall commence farming 
in this state until the commissioner of agriculture has 
inspected the report and certified that its proposed operations 
comply with the provisions of this section. 
    (b) Every pension or investment fund, limited partnership, 
or corporation as described in clause (a) shall, prior to April 
15 of each year, file with the commissioner of agriculture a 
report containing the information required in clause (a), based 
on its operations in the preceding calendar year and its status 
at the end of the year.  A pension or investment fund, limited 
partnership, or corporation that does not file the report by 
April 15 must pay a $500 civil penalty.  The penalty is a lien 
on the land being farmed under subdivision 3 until the penalty 
is paid.  
    (c) The commissioner or the commissioner's authorized 
representative may enter into a written agreement with a person 
required to file a report under this subdivision who, for good 
cause shown, has failed to make a timely filing.  An agreement 
must be construed as a "no contest" pleading and may encompass a 
reduction or waiver of the civil penalty for late filing.  The 
agreement is final and conclusive with respect to the civil 
penalty, except upon a showing of fraud or malfeasance or 
misrepresentation of a material fact.  The matter agreed upon in 
the agreement may not be reopened or modified by an officer, 
employee, or agent of the state.  The report required under 
paragraph (b) must be completed prior to a reduction or waiver 
under this paragraph.  The commissioner may enter into an 
agreement under this paragraph only once for each person 
required to file under this subdivision. 
    (d) Failure to file a required report, or the willful 
filing of false information, shall constitute a gross 
misdemeanor. 
    Sec. 14.  [REVISOR'S INSTRUCTION.] 
    In the next and subsequent editions of Minnesota Statutes, 
the revisor shall entitle chapter 18C as "Fertilizers, Soil 
Amendments, Agricultural Liming, and Plant Amendments."  
    Sec. 15.  [APPROPRIATION.] 
   $60,000 is appropriated to the commissioner of agriculture 
from the general fund to be available until June 30, 1991, for 
administration and enforcement of sections 2 to 11.  The 
approved complement of the department of agriculture is 
increased by one. 
    Sec. 16.  [EFFECTIVE DATE.] 
    This act is effective January 1, 1991. 
    Presented to the governor April 26, 1990 
    Signed by the governor May 4, 1990, 11:23 p.m.