Minnesota Session Laws - 1993, Regular Session

  
    Laws of Minnesota 1993 

                        CHAPTER 367-H.F.No. 1225 
           An act relating to agriculture; providing for the 
          continued use of unregistered pesticides; modifying 
          procedures for the return of empty pesticide 
          containers and unused portions of pesticides; changing 
          the amounts of the ACCRA surcharges; authorizing use 
          of money in the agricultural chemical response and 
          reimbursement account for administrative costs; making 
          changes in the laws on pesticides and agricultural 
          chemicals; changing provisions regarding the pricing 
          of certain dairy products; repealing the hazardous 
          substance labeling act; requiring studies; maintaining 
          an agriculture education specialist; transferring 
          certain funds; appropriating money; amending Minnesota 
          Statutes 1992, sections 18B.01, by adding 
          subdivisions; 18B.065, by adding a subdivision; 
          18B.135, subdivision 1; 18B.14, subdivision 2; 18B.26, 
          subdivisions 1 and 3; 18B.31, subdivision 1; 18B.36, 
          subdivision 2; 18B.37, subdivision 2; 18C.005, 
          subdivisions 13 and 35; 18C.115, subdivision 2; 
          18C.211, subdivision 1; 18C.215, subdivision 2; 
          18C.305, subdivision 2; 18D.103, by adding a 
          subdivision; 18D.105, by adding a subdivision; 18E.03, 
          subdivisions 2, 3, 4, 6, and 7; 18E.04, by adding a 
          subdivision; 21.85, subdivision 10; 32.11; 32.25, 
          subdivision 1; and 325F.19, subdivision 7; Laws 1993, 
          chapter 65, sections 6, subdivision 2; 8, subdivision 
          1; and 9, subdivisions 4 and 7; repealing Minnesota 
          Statutes 1992, sections 18C.211, subdivision 3; 
          18C.215, subdivision 3; 18E.03, subdivision 5; 24.32; 
          24.33; 24.34; 24.35; 24.36; 24.37; 24.38; 24.39; 
          24.40; 24.41; and 24.42. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
     Section 1.  Minnesota Statutes 1992, section 18B.01, is 
amended by adding a subdivision to read: 
    Subd. 9a.  [FIXED LOCATION.] "Fixed location" means all 
stationary restricted and bulk pesticide facility operations 
owned or operated by a person located in the same plant location 
or locality. 
    Sec. 2.  Minnesota Statutes 1992, section 18B.01, is 
amended by adding a subdivision to read: 
    Subd. 30a.  [SUBSTANTIALLY ALTERING; SUBSTANTIALLY ALTER; 
SUBSTANTIAL ALTERATION.] "Substantially altering," 
"substantially alter," or "substantial alteration" means 
modifying a bulk agricultural chemical storage facility by:  
    (1) changing the capacity of a safeguard; 
    (2) adding storage containers in excess of the capacity of 
a safeguard as required by rule; or 
    (3) increasing the size of the single largest storage 
container in a safeguard as approved or permitted by the 
department of agriculture.  This does not include routine 
maintenance of safeguards, storage containers, appurtenances, 
piping, mixing, blending, weighing, or handling equipment. 
    Sec. 3.  Minnesota Statutes 1992, section 18B.065, is 
amended by adding a subdivision to read: 
    Subd. 2a.  [DISPOSAL SITE REQUIREMENT.] The commissioner 
must designate a place that is available at least every other 
year for the residents of each county in the state to dispose of 
unused portions of pesticides. 
    Sec. 4.  Minnesota Statutes 1992, section 18B.135, 
subdivision 1, is amended to read: 
    Subdivision 1.  [ACCEPTANCE OF RETURNABLE PESTICIDE 
CONTAINERS.] (a) A person distributing, offering for sale, or 
selling a pesticide must accept empty pesticide containers and 
the unused portion of pesticide that remains in the original 
container from a pesticide end user if: 
    (1) the pesticide was purchased after July 1, 1994; and 
    (2) the empty container is prepared for disposal in 
accordance with label instructions and is returned to the place 
of purchase within the state; and 
    (2) (3) a place is collection site that is seasonably 
accessible on multiple days has not been designated in either by 
the county board or by agreement with other counties for the 
public to return empty pesticide containers and the unused 
portion of pesticide for the purpose of reuse or recycling or 
following other approved management practices for pesticide 
containers in the order of preference established in section 
115A.02, paragraph (b), and the county or counties have notified 
the commissioner of their intentions annually by February 1, in 
writing, to manage the empty pesticide containers. 
    (b) This subdivision does not prohibit the use of 
refillable and reusable pesticide containers. 
    (c) The legislative water commission must prepare a report 
and make a recommendation to the legislature on the handling of 
waste pesticide containers and waste pesticides. If a county or 
counties designate a collection site as provided in paragraph 
(a), clause (3), a person who has been notified by the county or 
counties of the designated collection site and who sells 
pesticides to a pesticide end user must notify purchasers of 
pesticides at the time of sale of the date and location 
designated for disposal of empty containers. 
     (d) For purposes of this section, pesticide containers do 
not include containers that have held sanitizers and 
disinfectants, pesticides labeled primarily for use on humans or 
pets, or pesticides not requiring dilution or mixing. 
    Sec. 5.  Minnesota Statutes 1992, section 18B.14, 
subdivision 2, is amended to read: 
    Subd. 2.  [BULK PESTICIDE STORAGE.] (a) A person storing 
pesticides in containers of a rated capacity of 500 gallons or 
more for more than ten consecutive days at a bulk pesticide 
storage facility must obtain a pesticide storage permit from the 
commissioner as required by rule.  
    (b) Applications must be on forms provided by the 
commissioner containing information established by rule.  The 
initial application for a permit must be accompanied by a 
nonrefundable application fee of $100 for each location where 
the pesticides are stored.  An application for a facility that 
includes both fertilizers as regulated under chapter 18C and 
bulk pesticides as regulated under this chapter shall pay only 
one application fee of $100. 
    (c) The commissioner shall by rule develop and implement a 
program to regulate bulk pesticides.  The rules must include 
installation of secondary containment devices, storage site 
security, safeguards, notification of storage site locations, 
criteria for permit approval, a schedule for compliance, and 
other appropriate requirements necessary to minimize potential 
adverse effects on the environment.  The rules must conform with 
existing rules of the pollution control agency. 
    (d) A person must obtain a permit from the commissioner on 
forms provided by the commissioner before the person constructs 
or substantially alters a bulk pesticide storage facility.  If 
an application is incomplete, the commissioner must notify the 
applicant as soon as possible.  The permit must be acted upon 
within 30 days after receiving a completed application. 
    (e) An application to substantially alter a facility must 
be accompanied by a $50 fee.  An application for a facility that 
includes both fertilizers regulated under chapter 18C and bulk 
pesticides regulated under this chapter shall pay only one 
application fee of $50. 
    (f) An additional application fee of $250 must be paid by 
an applicant a person who begins construction of, or 
substantially alters, a bulk pesticide agricultural chemical 
storage facility before a permit is issued by the commissioner.  
The fee under this paragraph may not be charged if the permit is 
not acted upon within 30 days after receiving a completed 
application, except that the $250 additional fee may not be 
assessed if the person submits a permit application with the 
required fee to the commissioner before completing the 
construction or substantial alteration. 
    Sec. 6.  Minnesota Statutes 1992, section 18B.26, 
subdivision 1, is amended to read: 
    Subdivision 1.  [REQUIREMENT.] (a) A person may not use or 
distribute a pesticide in this state unless it is registered 
with the commissioner.  Aquaculture therapeutics shall be 
registered and labeled in the same manner as pesticides.  
Pesticide registrations expire on December 31 of each year and 
may be renewed on or before that date for the following calendar 
year.  
    (b) Registration is not required if a pesticide is shipped 
from one plant or warehouse to another plant or warehouse 
operated by the same person and used solely at the plant or 
warehouse as an ingredient in the formulation of a pesticide 
that is registered under this chapter. 
    (c) An unregistered pesticide that was previously 
registered with the commissioner may be used only for a period 
of two years following the cancellation of the registration of 
the pesticide, unless the commissioner determines that the 
continued use of the pesticide would cause unreasonable adverse 
effects on the environment, or with the written permission of 
the commissioner.  To use the unregistered pesticide at any time 
after the two-year period, the pesticide end user must 
demonstrate to the satisfaction of the commissioner, if 
requested, that the pesticide has been continuously registered 
under a different brand name or by a different manufacturer and 
has similar composition, or, the pesticide end user obtains the 
written permission of the commissioner.  
    (d) Each pesticide with a unique United States 
Environmental Protection Agency pesticide registration number or 
a unique brand name must be registered with the commissioner. 
     Sec. 7.  Minnesota Statutes 1992, section 18B.26, 
subdivision 3, is amended to read: 
    Subd. 3.  [APPLICATION FEE.] (a) A registrant shall pay an 
annual application fee for each pesticide to be registered, and 
this fee is set at one-tenth of one percent for calendar year 
1990, at one-fifth of one percent for calendar year 1991, and at 
two-fifths of one percent for calendar year 1992 and thereafter 
of annual gross sales within the state and annual gross sales of 
pesticides used in the state, with a minimum nonrefundable fee 
of $250 plus an additional one-tenth of one percent for each 
pesticide for which the United States Environmental Protection 
Agency, Office of Water, has published a Health Advisory Summary 
by December 1 of the previous year.  The registrant shall 
determine when and which pesticides are sold or used in this 
state.  The registrant shall secure sufficient sales information 
of pesticides distributed into this state from distributors and 
dealers, regardless of distributor location, to make a 
determination.  Sales of pesticides in this state and sales of 
pesticides for use in this state by out-of-state distributors 
are not exempt and must be included in the registrant's annual 
report, as required under paragraph (c), and fees shall be paid 
by the registrant based upon those reported sales.  Sales of 
pesticides in the state for use outside of the state are exempt 
from the application fee in this paragraph if the registrant 
properly documents the sale location and distributors.  A 
registrant paying more than the minimum fee shall pay the 
balance due by March 1 based on the gross sales of the pesticide 
by the registrant for the preceding calendar year.  The fee for 
disinfectants and sanitizers shall be the minimum.  The minimum 
fee is due by December 31 preceding the year for which the 
application for registration is made.  Of the amount collected 
after calendar year 1990, at least $600,000 per fiscal year must 
be credited to the waste pesticide account under section 
18B.065, subdivision 5, and the additional amount collected for 
pesticides with Health Advisory Summaries shall be credited to 
the agricultural project utilization account under section 
116O.13 to be used for pesticide use reduction grants by the 
agricultural utilization research institute. 
    (b) An additional fee of $100 must be paid by the applicant 
for each pesticide to be registered if the application is a 
renewal application that is submitted after December 31. 
    (c) A registrant must annually report to the commissioner 
the amount and type of each registered pesticide sold, offered 
for sale, or otherwise distributed in the state.  The report 
shall be filed by March 1 for the previous year's registration.  
The commissioner shall specify the form of the report and 
require additional information deemed necessary to determine the 
amount and type of pesticides annually distributed in the 
state.  The information required shall include the brand name, 
amount, and formulation of each pesticide sold, offered for 
sale, or otherwise distributed in the state, but the information 
collected, if made public, shall be reported in a manner which 
does not identify a specific brand name in the report. 
    Sec. 8.  Minnesota Statutes 1992, section 18B.31, 
subdivision 1, is amended to read: 
    Subdivision 1.  [REQUIREMENT.] (a) Except as provided in 
paragraph (b), a person no individual may not distribute at 
wholesale or retail or possess offer for sale or sell a 
restricted use pesticides or bulk pesticides with an intent to 
distribute them to an ultimate pesticide to a pesticide end user 
from any fixed location without a pesticide dealer license.  
    (b) The A pesticide dealer license requirement does not 
apply to is not required for:  
    (1) a licensed commercial applicator, noncommercial 
applicator, or structural pest control applicator who uses 
restricted use pesticides only as an integral part of a 
pesticide application service; 
    (2) a federal, state, county, or municipal agency using 
restricted use pesticides for its own programs; or 
    (3) a licensed pharmacist, physician, dentist, or 
veterinarian when administering or dispensing a restricted use 
pesticide for use in the pharmacist's, physician's, dentist's, 
or veterinarian's practice; or 
    (4) a person at a fixed location that is not used to offer 
for sale or sell restricted use or bulk pesticides including, 
but not limited to, warehouses or other storage sites. 
    (c) A licensed pesticide dealer may sell restricted use 
pesticides only to an applicator licensed or certified by the 
commissioner, unless a sale is allowed by rule. 
    (d) A pesticide dealer license is required for an 
individual not located in Minnesota who offers for sale or sells 
a restricted use or bulk pesticide to a pesticide end user 
located in Minnesota.  
    (e) Only one pesticide dealer license is required per fixed 
location from which an individual offers for sale or sells a 
restricted use or bulk pesticide to an end user.  
    Sec. 9.  Minnesota Statutes 1992, section 18B.36, 
subdivision 2, is amended to read: 
    Subd. 2.  [CERTIFICATION.] (a) The commissioner shall 
prescribe certification requirements and provide training that 
meets or exceeds United States Environmental Protection Agency 
standards to certify private applicators and provide information 
relating to changing technology to help ensure a continuing 
level of competency and ability to use pesticides properly and 
safely.  The training may be done through cooperation with other 
government agencies and must be a minimum of three hours in 
duration. 
    (b) A person must apply to the commissioner for 
certification as a private applicator.  After completing the 
certification requirements, which must include an examination as 
determined by the commissioner, an applicant must be certified 
as a private applicator to use restricted use pesticides.  The 
certification is for a period of three calendar years from the 
applicant's nearest birthday including the first year of 
certification, and expires December 31 of the third year. 
    (c) The commissioner shall issue a private applicator card 
to a private applicator. 
    Sec. 10.  Minnesota Statutes 1992, section 18B.37, 
subdivision 2, is amended to read: 
    Subd. 2.  [COMMERCIAL AND NONCOMMERCIAL APPLICATORS.] (a) A 
commercial or noncommercial applicator, or the applicator's 
authorized agent, must maintain a record of pesticides used on 
each site.  Noncommercial applicators must keep records of 
restricted use pesticides.  The record must include the: 
    (1) date of the pesticide use; 
    (2) time the pesticide application was completed; 
    (3) brand name of the pesticide, the United States 
Environmental Protection Agency registration number, and dosage 
used; 
    (4) number of units treated; 
    (5) temperature, wind speed, and wind direction; 
    (6) location of the site where the pesticide was applied; 
    (7) name and address of the customer; 
    (8) name and signature of applicator, name of company, 
license number of applicator, and address of applicator company; 
and 
    (9) any other information required by the commissioner. 
    (b) Portions of records not relevant to a specific type of 
application may be omitted upon approval from the commissioner.  
    (c) All information for this record requirement must be 
contained in a single page document for each pesticide 
application, except a map may be attached to identify treated 
areas.  For the rights-of-way and wood preservative categories, 
the required record may not exceed five pages.  An invoice 
containing the required information may constitute the required 
record.  The commissioner shall make sample forms available to 
meet the requirements of this paragraph. 
    (d) A commercial applicator must give a copy of the record 
to the customer when the application is completed.  
    (e) Records must be retained by the applicator, company, or 
authorized agent for five years after the date of treatment.  
    Sec. 11.  Minnesota Statutes 1992, section 18C.005, 
subdivision 13, is amended to read: 
    Subd. 13.  [GRADE.] "Grade" means the percentage of total 
nitrogen (N), available phosphorus (P) or phosphoric acid (P2O5) 
phosphate ( P2O5), and soluble potassium (K) or soluble 
potash (K2O) ( K2O) stated in whole numbers in the same terms, 
order, and percentages as in the guaranteed analysis except the 
grade of bone meals, manures, and similar raw materials may be 
stated in fractional units, and specialty fertilizers may be 
stated in fractional units of less than one percent of total 
nitrogen, available phosphorus or phosphoric acid phosphate, and 
soluble potassium or soluble potash.  
    Sec. 12.  Minnesota Statutes 1992, section 18C.005, 
subdivision 35, is amended to read: 
    Subd. 35.  [SUBSTANTIALLY ALTERING; SUBSTANTIALLY ALTER; 
SUBSTANTIAL ALTERATION.] "Substantially 
altering," "substantially alter," or "substantial alteration" 
means modifying a bulk agricultural chemical storage facility by:
    (1) changing the capacity of a safeguard; 
    (2) adding additional safeguards or storage containers, or 
changing existing storage containers, safeguards, appurtenances, 
or piping. in excess of the capacity of a safeguard as required 
by rule; 
    (3) increasing the size of the largest storage container in 
a safeguard as approved or permitted by the commissioner of 
agriculture; or 
    (4) adding or changing anhydrous ammonia storage containers 
or adding ammonia loading or unloading stations.  This does not 
include routine maintenance of existing safeguards, storage 
containers, appurtenances, and piping, or of existing mixing, 
blending, weighing, and or handling equipment.  For dry bulk 
fertilizer, a person may decrease storage capacity without a 
substantial alteration permit and may increase storage capacity 
up to 150 tons per location annually without a substantial 
alteration permit.  
    Sec. 13.  Minnesota Statutes 1992, section 18C.115, 
subdivision 2, is amended to read: 
    Subd. 2.  [ADOPTION OF NATIONAL STANDARDS.] Applicable 
national standards contained in the 1989 1993 official 
publication, number 42 46, of the association of American plant 
food control officials including the rules and regulations, 
statements of uniform interpretation and policy, and the 
official fertilizer terms and definitions, and not otherwise 
adopted by the commissioner, may be adopted as fertilizer rules 
of this state. 
    Sec. 14.  Minnesota Statutes 1992, section 18C.211, 
subdivision 1, is amended to read: 
    Subdivision 1.  [N, P, AND K NUTRIENT CONTENT STATED.] (a) 
Until the commissioner prescribes the alternative form of 
guaranteed analysis, it must be stated as provided in this 
subdivision.  
    (b) A guaranteed analysis must state the percentage of 
plant nutrient content, if claimed, in the following form: 
 "Total Nitrogen (N)                                ... percent
  Available Phosphoric Acid (P2O5)  
  Phosphate ( P2O5)                                  ... percent
  Soluble Potash (K20) ( K2O)                        ... percent"
    (c) For unacidulated mineral phosphatic materials and basic 
slag, bone, tankage, and other organic phosphate materials, the 
total phosphoric acid phosphate or degree of fineness may also 
be stated.  
    Sec. 15.  Minnesota Statutes 1992, section 18C.215, 
subdivision 2, is amended to read: 
    Subd. 2.  [BLENDED, BULK, AND MIXED FERTILIZER.] (a) A 
distributor who blends or mixes fertilizer to a customer's order 
without a guaranteed analysis of the final mixture or 
distributes fertilizer in bulk, must furnish each purchaser with 
an invoice or delivery ticket in written or printed form showing 
the net weight, name and address of the guarantor, and 
guaranteed analysis of each of the materials used in the mixture.
    (b) The invoice or delivery ticket must accompany the 
delivery.  
    (c) Records of invoices or delivery tickets must be kept 
for five years after the delivery or application.  
    Sec. 16.  Minnesota Statutes 1992, section 18C.305, 
subdivision 2, is amended to read: 
    Subd. 2.  [PERMIT FEES.] (a) An application for a new 
facility must be accompanied by a nonrefundable application fee 
of $100 for each location where fertilizer is stored.  
    (b) An application to substantially alter a facility must 
be accompanied by a nonrefundable $50 fee. 
    (c) In addition to the fees under paragraphs (a) and (b), a 
An additional fee of $250 must be paid by an applicant a person 
who begins construction of, or substantial alteration 
substantially alters a bulk agricultural chemical storage 
facility before a permit is issued by the commissioner, except 
that the $250 additional fee may not be assessed if the person 
submits a permit application with the required fee to the 
commissioner before completing the construction or substantial 
alteration.  
    (d) An application for a facility that includes both 
fertilizers, as regulated under this chapter, and pesticides as 
regulated under chapter 18B shall pay only one application fee 
of $100.  
    Sec. 17.  Minnesota Statutes 1992, section 18D.103, is 
amended by adding a subdivision to read: 
    Subd. 3.  [EXCEPTION.] A responsible party or an owner of 
real property who is a licensed or certified private or 
commercial pesticide applicator is not required to report an 
incident to the commissioner under this section if the amount of 
pesticide involved in the release plus any other releases which 
have occurred at the site during the preceding year is less than 
the maximum amount of the pesticide that, consistent with its 
label, can be applied to one acre of agricultural crop land 
unless the release occurred into or near public water or 
groundwater. 
    Sec. 18.  Minnesota Statutes 1992, section 18D.105, is 
amended by adding a subdivision to read: 
    Subd. 3a.  [PASSIVE BIOREMEDIATION.] Passive bioremediation 
must be considered for pesticide cleanups whenever an assessment 
of the site determines that there is a low potential risk to 
public health and the environment.  The assessment may include 
the soil types involved, leaching potential, underlying geology, 
proximity to ground and surface water, and the soil half-life of 
the pesticides. 
    Sec. 19.  Minnesota Statutes 1992, section 18E.03, 
subdivision 2, is amended to read: 
    Subd. 2.  [EXPENDITURES.] (a) Money in the agricultural 
chemical response and reimbursement account may only be used: 
    (1) to pay for the commissioner's responses to incidents 
under chapters 18B, 18C, and 18D that are not eligible for 
payment under section 115B.20, subdivision 2; 
    (2) to pay for emergency responses that are otherwise 
unable to be funded; and 
    (3) to reimburse and pay corrective action costs under 
section 18E.04; and 
    (4) by the board to reimburse the commissioner for board 
staff and other administrative costs up to $175,000 per fiscal 
year. 
    (b) Money in the agricultural chemical response and 
reimbursement account is appropriated to the commissioner to 
make payments as provided in this subdivision. 
    Sec. 20.  Minnesota Statutes 1992, section 18E.03, 
subdivision 3, is amended to read: 
    Subd. 3.  [DETERMINATION OF RESPONSE AND REIMBURSEMENT 
FEE.] (a) The commissioner shall determine the amount of the 
response and reimbursement fee under subdivision 5 4 after a 
public hearing, but notwithstanding section 16A.128, based on: 
    (1) the amount needed to maintain an unencumbered balance 
in the account of $1,000,000; 
    (2) the amount estimated to be needed for responses to 
incidents as provided in subdivision 2, clauses (1) and (2); and 
    (3) the amount needed for payment and reimbursement under 
section 18E.04. 
    (b) The commissioner shall determine the response and 
reimbursement fee so that the total balance in the account does 
not exceed $5,000,000.  
    (c) Money from the response and reimbursement fee shall be 
deposited in the treasury and credited to the agricultural 
chemical response and reimbursement account.  
    Sec. 21.  Minnesota Statutes 1992, section 18E.03, 
subdivision 4, is amended to read: 
    Subd. 4.  [FEE THROUGH 1990.] (a) The response and 
reimbursement fee consists of the surcharge fees surcharges and 
any adjustments made by the commissioner in this subdivision and 
shall be collected until March 1, 1991 by the commissioner.  The 
amount of the response and reimbursement fee shall be determined 
and imposed annually by the commissioner as required to satisfy 
the requirements in subdivision 3.  The commissioner shall 
adjust the amount of the surcharges imposed in proportion to the 
amount of the surcharges listed in this subdivision. 
    (b) The commissioner shall impose a surcharge on pesticides 
registered under chapter 18B to be collected as a surcharge on 
the registration application fee under section 18B.26, 
subdivision 3, that is equal to 0.1 percent of sales of the 
pesticide in the state and sales of pesticides for use in the 
state during the period April 1, 1990, through December 31, 1990 
previous calendar year, except the surcharge may not be imposed 
on pesticides that are sanitizers or disinfectants as determined 
by the commissioner.  The registrant shall determine when and 
which pesticides are sold or used in this state.  The registrant 
shall secure sufficient sales information of pesticides 
distributed into this state from distributors and dealers, 
regardless of distributor location, to make a determination.  
Sales of pesticides in this state and sales of pesticides for 
use in this state by out-of-state distributors are not exempt 
and must be included in the registrant's annual report, as 
required under section 18B.26, subdivision 3, paragraph (c), and 
fees shall be paid by the registrant based upon those reported 
sales.  Sales of pesticides in the state for use outside of the 
state are exempt from the surcharge in this paragraph if the 
registrant properly documents the sale location and the 
distributors. 
    (c) The commissioner shall impose a ten cents per ton 
surcharge on the inspection fee under section 18C.425, 
subdivision 6, for fertilizers, soil amendments, and plant 
amendments.  
    (d) The commissioner shall impose a surcharge on the 
license application of persons licensed under chapters 18B and 
18C consisting of: 
    (1) a $150 $75 surcharge for each site where pesticides are 
stored or distributed, to be imposed as a surcharge on pesticide 
dealer application fees under section 18B.31, subdivision 5; 
    (2) a $150 $75 surcharge for each site where a fertilizer, 
plant amendment, or soil amendment is distributed, to be imposed 
on persons licensed under sections 18C.415 and 18C.425; 
    (3) a $50 surcharge to be imposed on a structural pest 
control applicator license application under section 18B.32, 
subdivision 6, for business license applications only; 
    (4) a $20 surcharge to be imposed on commercial applicator 
license application fees under section 18B.33, subdivision 
7; and 
    (5) a $20 surcharge to be imposed on noncommercial 
applicator license application fees under section 18B.34, 
subdivision 5, except a surcharge may not be imposed on a 
noncommercial applicator that is a state agency, political 
subdivision of the state, the federal government, or an agency 
of the federal government; and 
    (6) a $25 surcharge for licensed lawn service applicators 
under chapter 18B or 18C, to be imposed on license application 
fees. 
    (e) If a person has more than one license for a site, only 
one surcharge may be imposed to cover all the licenses for the 
site. 
    (f) (e) A $1,000 fee shall be imposed on each site where 
pesticides are stored and sold for use outside of the state 
unless:  
    (1) the distributor properly documents that it has less 
than $2,000,000 per year in wholesale value of pesticides stored 
and transferred through the site; or 
    (2) the registrant pays the surcharge under paragraph (b) 
and the registration fee under section 18B.26, subdivision 3, 
for all of the pesticides stored at the site and sold for use 
outside of the state. 
    (g) (f) Paragraphs (c) to (f) (e) apply to sales, licenses 
issued, applications received for licenses, and inspection fees 
imposed on or after July 1, 1990. 
    Sec. 22.  Minnesota Statutes 1992, section 18E.03, 
subdivision 6, is amended to read: 
    Subd. 6.  [REVENUE SOURCES.] Revenue from the following 
sources must be deposited in the state treasury and credited to 
the agricultural chemical response and reimbursement account:  
    (1) the proceeds of the fees imposed by subdivisions 3 and 
5 4; 
    (2) money recovered by the state for expenses paid with 
money from the account; 
    (3) interest attributable to investment of money in the 
account; and 
    (4) money received by the commissioner in the form of 
gifts, grants other than federal grants, reimbursements, and 
appropriations from any source intended to be used for the 
purposes of the account. 
    Sec. 23.  Minnesota Statutes 1992, section 18E.03, 
subdivision 7, is amended to read: 
    Subd. 7.  [APPROPRIATION AND REIMBURSEMENT.] The amount of 
the response and reimbursement fee imposed under subdivisions 
3 to 5 and 4 is appropriated from the general fund to the 
agricultural chemical response and reimbursement account to be 
reimbursed when the fee is collected.  
    Sec. 24.  Minnesota Statutes 1992, section 18E.04, is 
amended by adding a subdivision to read: 
    Subd. 2a.  [INELIGIBILITY FOR REIMBURSEMENT OR 
PAYMENT.] Pesticides that are sanitizers and disinfectants and 
are exempt from surcharges are ineligible for reimbursement or 
payment under this section. 
    Sec. 25.  Minnesota Statutes 1992, section 21.85, 
subdivision 10, is amended to read: 
    Subd. 10.  [COMMISSIONER MAY ALTER REQUIREMENTS IN 
EMERGENCIES.] In the event of acute shortages of any seed or 
seeds, or the occurrence of other conditions which in the 
opinion of the commissioner create an emergency which would make 
impractical the enforcement of any requirement of sections 21.80 
to 21.92 relating to the percentage of purity and, weed seed 
content, and the variety name of any seed or seeds, the 
commissioner may temporarily change and alter any requirement 
relating to percentage of purity and, weed seed content, and the 
variety name for the duration of the emergency. 
    Sec. 26.  Minnesota Statutes 1992, section 32.11, is 
amended to read: 
    32.11 [DISCRIMINATION IN BUYING AND SELLING; SCHEDULE OF 
PRICES.] 
    (a) Any person, firm, copartnership, or corporation engaged 
in the business of buying milk, cream or butterfat for 
manufacture or for sale of such milk, cream, or butterfat, who 
shall discriminate between different sections, localities, 
communities, or cities of this state, or who shall discriminate 
between persons in the same section, locality, community or city 
of this state, by purchasing such commodity at a higher price or 
rate from one person or in one locality than is paid for the 
same commodity by such person, firm, copartnership, or 
corporation in the same locality or in another locality, after 
making due allowance for the difference, if any, in the 
reasonable cost of transportation from the locality of purchase 
to the locality of manufacture or locality of sale of such milk, 
cream, or butterfat, shall be deemed guilty of unfair 
discrimination, which is a misdemeanor.  
    (b) A processor or wholesaler who sells selected class I or 
class II dairy products as defined in section 32.70 in Minnesota 
shall maintain a current schedule of prices showing rebates, 
discounts, refunds, and price differentials for the selected 
dairy products offered for sale at wholesale to retailers or to 
another wholesaler. 
    Sec. 27.  Minnesota Statutes 1992, section 32.25, 
subdivision 1, is amended to read: 
    Subdivision 1.  [MILK FAT, PROTEIN, AND SOLIDS NOT FAT 
BASES OF PAYMENT; TESTS.] All Milk and cream must be purchased 
from producers shall be purchased by weight and using a formula 
based on one or more of the following methods:  
    (1) payment of a standard rate with uniform differentials 
for milk testing above or below 3.5 percent milk fat; 
    (1) (2) payment of a standard rate with uniform 
differentials for milk testing above or below 3.5 percent milk 
fat for the pounds of milk fat contained in the milk; 
    (2) (3) payment of a standard rate with uniform 
differentials for milk testing above or below 3.5 percent milk 
fat and above or below a base percent for the pounds of protein 
contained in the milk; 
    (3) (4) payment of a standard rate with uniform 
differentials for milk testing above or below 3.5 percent milk 
fat and above or below a base percent for the pounds of solids 
not fat contained in the milk; or 
    (5) payment of standard rates based on other attributes of 
value in the milk.  
    In addition, an adjustment to the milk price may be made on 
the basis of milk quality, and the component price payment may 
be subject to the milk quality and other premiums.  
    Testing procedures for determining the percentages of milk 
fat, protein, and milk solids not fat shall be must comply with 
the Association of Analytical Chemists approved methods or be as 
adopted by rule. 
    Sec. 28.  Minnesota Statutes 1992, section 325F.19, 
subdivision 7, is amended to read: 
    Subd. 7.  "Presenting a clear and present danger" means 
known to cause physical damage to structure or health hazards to 
occupants through continuing direct contact or release of a 
hazardous substances substance as defined in section 24.33 
115B.02. 
    Sec. 29.  Laws 1993, chapter 65, section 6, subdivision 2, 
is amended to read: 
    Subd. 2.  [BASIC COST.] (a) "Basic cost" for a processor 
means the actual cost of the raw milk plus 75 percent of the 
actual processing and handling costs for a selected class I or 
class II dairy product. 
    (b) "Basic cost" for a wholesaler means the actual cost of 
the selected class I or class II dairy product purchased from 
the processor or another wholesaler.  Basic cost for a 
wholesaler does not include any part of an over-order premium 
assessment under section 32.73. 
    (c) "Basic cost" for a retailer means the actual cost of 
the selected class I or class II dairy product purchased from a 
processor or wholesaler.  Basic cost for a retailer does not 
include any part of an over-order premium assessment under 
section 32.73. 
    Sec. 30.  Laws 1993, chapter 65, section 8, subdivision 1, 
is amended to read: 
    Subdivision 1.  [POLICY; PROCESSORS; WHOLESALERS; 
RETAILERS.] (a) It is the intent of the legislature to 
accomplish partial deregulation of milk marketing with a minimum 
negative impact upon small volume retailers. 
    (b) A processor or wholesaler may not sell or offer for 
sale selected class I or class II dairy products at a price 
lower than the processor's or wholesaler's basic cost. 
    (c) A retailer may not sell or offer for sale selected 
class I or class II dairy products at a retail price lower than 
107.5 (1) 105 percent of the retailer's basic cost until June 
30, 1994; and (2) the retailer's basic cost beginning July 1, 
1994, and thereafter.  A retailer may not use any method or 
device in the sale or offer for sale of a selected dairy product 
that results in a violation of this section. 
    Sec. 31.  Laws 1993, chapter 65, section 9, subdivision 4, 
is amended to read: 
    Subd. 4.  [EXEMPTIONS.] Selected class I dairy products 
sold as home delivery retail sales, sales involving the women, 
infants, and children nutrition program (WIC), and sales to 
public or nonpublic schools are exempt from assessment under 
this section. 
    Sec. 32.  Laws 1993, chapter 65, section 9, subdivision 7, 
is amended to read: 
    Subd. 7.  [ANNUAL REPORT.] Not later than February 1 of 
1994 1995 and each year thereafter, the commissioner, after 
consultation with representatives of the dairy production, 
processing, and marketing industries, shall report to the chairs 
of the agriculture committees of the senate and the house of 
representatives on the impacts and benefits to dairy farmers of 
the over-order premium and dairy marketing partial deregulation 
provisions of this act and the level of over-order premiums 
provided by common marketing agencies in the upper midwest 
during the previous calendar year.  In addition, the February 1, 
1994 1995 report must provide recommendations concerning the 
desirability of exempting from the over-market premium 
assessment selected class I dairy products sold to certain 
not-for-profit customers, including hospitals, nursing homes, 
licensed day care providers, and residential care facilities and 
institutions.  The report provided by the commissioner on 
February 1, 1995, must include an assessment of the impact of 
the removal of retail price controls during the month of June, 
1994. 
    Sec. 33.  [COMMISSIONER'S NOTICE TO RETAILERS.] 
    The commissioner of agriculture shall provide written 
notice to persons who sell selected class I or class II dairy 
products at retail, as those terms are defined in Laws 1993, 
chapter 65, of the provisions of Laws 1993, chapter 65, and this 
act relating to the requirements for pricing at the retail 
level.  The commissioner shall make every effort to provide such 
notice as soon as is reasonably possible. 
    Sec. 34.  [TASK FORCE; DAIRY PRICE DEREGULATION.] 
    Subdivision 1.  [ESTABLISHMENT; MEMBERSHIP.] There is 
established a task force on dairy price deregulation consisting 
of: 
    (1) the chairs of the commerce and consumer protection and 
agriculture and rural development committees of the senate or 
members designated by the chairs; 
    (2) the chairs of the agriculture and commerce and economic 
development committees of the house of representatives or 
members designated by the chairs; 
    (3) one minority party member of the senate appointed by 
the minority leader of the senate; 
    (4) one minority party member of the house of 
representatives appointed by the minority leader of the house; 
and 
    (5) six members appointed by the governor. 
    Members appointed by the governor must represent consumers 
and processors, wholesalers, and the retail segment of the dairy 
industry.  The governor shall make all appointments to the task 
force not later than July 1, 1993. 
    Members appointed by the governor shall be compensated as 
provided under Minnesota Statutes, section 15.059, subdivision 6.
    The governor shall select a chair from among the members of 
the task force. 
    Subd. 2.  [DUTIES; STAFF SUPPORT.] The task force shall 
conduct a study of the dairy processing and marketing industry, 
including: 
    (1) the impacts and benefits to processors, wholesalers, 
retailers, and consumers of dairy marketing partial 
deregulation; 
    (2) the impacts that would occur under various levels of 
deregulation at the processor, wholesale, and retail segments of 
the dairy industry; and 
    (3) the feasibility of requiring uniform wholesale prices 
to all retailers of class I and class II dairy products. 
    Upon request of the task force, the commissioner of 
agriculture shall provide technical and staff assistance to the 
task force. 
    Subd. 3.  [REPORT.] Not later than February 1, 1994, the 
task force shall report to the legislature on its findings and 
recommendations. 
    Subd. 4.  [EXPIRATION.] The task force expires May 1, 1994. 
    Subd. 5.  [APPROPRIATION.] There is appropriated to the 
commissioner of agriculture in fiscal year 1994, from the dairy 
services account, amounts necessary for the costs incurred for 
expenses of task force members under Minnesota Statutes, section 
15.059, subdivision 6, and costs for preparation and production 
of the report. 
    Sec. 35.  [EDUCATION SPECIALIST; AGRICULTURE.] 
    The department of education shall maintain the current 
functions and responsibilities related to agriculture, secondary 
agriculture education, and the Future Farmers of America (FFA) 
that were performed by an education specialist II on June 1, 
1992.  A person qualified with a background in agriculture 
education must be assigned to fulfill these responsibilities. 
    Sec. 36.  [APPROPRIATION; EDUCATION SPECIALIST 
AGRICULTURE.] 
    $35,000 in fiscal year 1994 and $35,000 in fiscal year 1995 
are appropriated from the general fund to the commissioner of 
education to maintain the current functions and responsibilities 
as described in section 35. 
    Sec. 37.  [OILSEED PROCESSING; FEASIBILITY.] 
    The commissioner of agriculture shall conduct a study of 
the feasibility of developing a producer-controlled oilseed 
production facility to process canola, crambe, and other 
grains.  Consideration shall be given to grants, loans, tax 
incentives, and bonding.  The commissioner shall work with 
agricultural utilization research institute, the University of 
Minnesota, and other interested parties.  The commissioner shall 
report the findings of the study to the house committee on 
agriculture and the senate committee on agriculture and rural 
development by January 15, 1994. 
    Sec. 38.  [REPORTS ON PESTICIDE CONTAINERS AND WASTE 
PESTICIDES.] 
    Subdivision 1.  [AGRICULTURAL PESTICIDE CONTAINERS.] The 
commissioner shall prepare a report with recommendations to the 
legislature by January 1, 1995, on the handling of empty 
agricultural pesticide containers and unused portions of 
agricultural pesticides used for the production of food, feed, 
or fiber crop use using the following criteria: 
    (1) the minimization of the disposal of agricultural 
pesticide containers and waste agricultural pesticides; 
    (2) the collection and recycling of agricultural pesticide 
containers; and 
    (3) the collection and disposal of waste agricultural 
pesticides. 
    Subd. 2.  [PESTICIDE CONTAINERS.] The commissioner shall 
prepare a report with recommendations to the legislature by 
January 1, 1997, on the handling of empty pesticide containers 
and waste pesticides and shall report on the progress made in 
achieving the following goals: 
    (1) the minimization of the disposal of pesticide 
containers and waste pesticides; 
    (2) the collection and recycling of pesticide containers; 
and 
    (3) the collection and proper disposal of waste pesticides. 
    Subd. 3.  [RECOMMENDATIONS.] Each report required under 
this section shall also include recommendations for the 
internalization of the management costs for waste pesticides and 
pesticide containers amongst pesticide manufacturers, 
distributors, and retailers. 
    Sec. 39.  [APPROPRIATIONS.] 
    $200,000 in fiscal year 1994 and $200,000 in fiscal year 
1995 are appropriated from the pesticide regulatory account to 
the agricultural project utilization account to be used for 
cooperative research including pesticide use reduction, 
technology transfer of pesticide reduction practices, and the 
evaluation and demonstration of best management practices as 
developed by the department of agriculture, with the goals of 
achieving a reduction in input costs of producers and improving 
utilization of integrated pest management, biological pest 
controls, and other pesticide reduction practices.  Research may 
also be conducted regarding agricultural chemical spill site 
remediation. 
    Sec. 40.  [TRANSFER OF FUNDS.] 
    The commissioner of finance shall transfer any remaining 
balance in the dairy industry unfair trade practices account to 
the dairy services account. 
    Sec. 41.  [REPEALER.] 
    Minnesota Statutes 1992, sections 18C.211, subdivision 3; 
18C.215, subdivision 3; 18E.03, subdivision 5; 24.32; 24.33; 
24.34; 24.35; 24.36; 24.37; 24.38; 24.39; 24.40; 24.41; and 
24.42, are repealed. 
    Sec. 42.  [EFFECTIVE DATE.] 
    Section 26 is effective June 1, 1993.  Sections 29, 33, 34, 
and 40 are effective the day following final enactment.  Section 
27, is effective August 1, 1993, and is not subject to the 
contingency contained in Laws 1984, chapter 509, section 2.  
Sections 30 and 31 are effective August 1, 1993.  Sections 35 
and 36 are effective July 1, 1993. 
    Presented to the governor May 20, 1993 
    Signed by the governor May 24, 1993, 5:52 p.m.