Office of the Revisor of Statutes
Minnesota Session Laws - 2004, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 254-S.F.No. 2428
An act relating to agriculture; modifying provisions
relating to shared savings loan program; establishing
a livestock production policy; modifying provisions
relating to certain home-processed foods and county
and regional fairs; modifying ethanol plant ownership
disclosure requirements; modifying eligibility and
limits for certain Rural Finance Authority loans;
providing for dairy modernization; changing certain
requirements for veterinary practice; modifying
amounts for certain grain buyers' bonds; providing for
the validity of electronic documents and signatures
for grain buyers and grain warehouses; modifying
certain restrictions on farming by business
organizations and certain restrictions on acquisition
of title; modifying requirements on uses of certain
vaccines in beef cattle; amending Minnesota Statutes
2002, sections 17.115, subdivision 2; 18C.433; 28A.15,
by adding a subdivision; 38.04; 38.12; 38.14; 38.15;
38.16; 41B.03, subdivisions 2, 3; 41B.039, subdivision
2; 41B.04, subdivision 8; 41B.042, subdivision 4;
41B.043, subdivision 1b, by adding a subdivision;
41B.045, subdivision 2; 41B.046, subdivision 5;
41C.02, subdivision 12; 156.12, subdivision 2, by
adding a subdivision; 223.16, by adding subdivisions;
223.17, subdivision 6; 223.177, subdivision 3; 232.21,
by adding subdivisions; 232.23, subdivision 4;
308A.995, subdivision 5; 500.221, subdivisions 1, 1a,
5; 500.24, subdivisions 2, 3a; 561.19, subdivisions 1,
2; 609.605, by adding a subdivision; Minnesota
Statutes 2003 Supplement, sections 18B.07, subdivision
2; 38.02, subdivisions 1, 3; 41A.09, subdivision 3a;
223.17, subdivision 4; 308B.121, subdivision 5;
proposing coding for new law in Minnesota Statutes,
chapters 17; 116J; 609; repealing Minnesota Statutes
2002, sections 38.02, subdivision 2; 38.13.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 2002, section 17.115,
subdivision 2, is amended to read:
Subd. 2. [LOAN CRITERIA.] (a) The shared savings loan
program must provide loans for purchase of new or used machinery
and installation of equipment for projects that make
environmental improvements or enhance farm profitability.
Eligible loan uses do not include seed, fertilizer, or fuel.
(b) Loans may not exceed $25,000 per individual applying
for a loan and may not exceed $100,000 for loans to four or more
individuals on joint projects. The loan repayment period may be
up to seven years as determined by project cost and energy
savings. The interest rate on the loans is must not exceed six
percent. For loans made from May 1, 2004, to June 30, 2007, the
interest rate must not exceed three percent.
(c) Loans may only be made to residents of this state
engaged in farming.
Sec. 2. [17.844] [LIVESTOCK PRODUCTION POLICY.]
(a) The policy of the state is to promote livestock
production on family farms under a broad range of management
systems that are environmentally sound and meet all legal
requirements of all jurisdictions, including federal, state,
county, town, city, and watershed district requirements.
(b) In order to promote livestock production on family
farms, state agencies when appropriate shall, to the extent
allowed by law:
(1) promote the establishment of livestock enterprises on
family farms;
(2) promote environmental protection and water quality
improvement through increased livestock production that results
in controlling runoff through increased acreage of hay, pasture,
and small grains; and
(3) promote more farms to use agronomically applied manure
to increase the water holding capacity of the soil and control
erosion.
Sec. 3. Minnesota Statutes 2003 Supplement, section
18B.07, subdivision 2, is amended to read:
Subd. 2. [PROHIBITED PESTICIDE USE.] (a) A person may not
use, store, handle, distribute, or dispose of a pesticide,
rinsate, pesticide container, or pesticide application equipment
in a manner:
(1) that is inconsistent with a label or labeling as
defined by FIFRA;
(2) that endangers humans, damages agricultural products,
food, livestock, fish, or wildlife; or
(3) that will cause unreasonable adverse effects on the
environment.
(b) A person may not direct a pesticide onto property
beyond the boundaries of the target site. A person may not
apply a pesticide resulting in damage to adjacent property.
(c) A person may not directly apply a pesticide on a human
by overspray or target site spray, except when:
(1) the pesticide is intended for use on a human;
(2) the pesticide application is for mosquito control
operations;
(3) the pesticide application is for control of gypsy moth,
forest tent caterpillar, or other pest species, as determined by
the commissioner, and the pesticide used is a biological agent;
or
(4) the pesticide application is for a public health risk,
as determined by the commissioner of health, and the
commissioner of health, in consultation with the commissioner of
agriculture, determines that the application is warranted based
on the commissioner's balancing of the public health risk with
the risk that the pesticide application poses to the health of
the general population, with special attention to the health of
children.
(d) For pesticide applications under paragraph (c), clause
(2), the following conditions apply:
(1) no practicable and effective alternative method of
control exists;
(2) the pesticide is among the least toxic available for
control of the target pest; and
(3) notification to residents in the area to be treated is
provided at least 24 hours before application through direct
notification, posting daily on the treating organization's Web
site, if any, and by sending a broadcast e-mail to those persons
who request notification of such, of those areas to be treated
by adult mosquito control techniques during the next calendar
day. For control operations related to human disease, notice
under this paragraph may be given less than 24 hours in advance.
(e) For pesticide applications under paragraph (c), clauses
(3) and (4), the following conditions apply:
(1) no practicable and effective alternative method of
control exists;
(2) the pesticide is among the least toxic available for
control of the target pest; and
(3) notification of residents in the area to be treated is
provided by direct notification and through publication in a
newspaper of general circulation within the affected area.
(f) For purposes of this subdivision, "direct notification"
may include mailings, public meetings, posted placards,
neighborhood newsletters, or other means of contact designed to
reach as many residents as possible. Public meetings held to
meet this requirement for adult mosquito control, under
paragraph (d), must be held within each city or town where the
pesticide treatments are to be made, at a time and location that
is convenient for residents of the area where the treatments
will occur.
(g) A person may not apply a pesticide in a manner so as to
expose a worker in an immediately adjacent, open field.
Sec. 4. Minnesota Statutes 2002, section 18C.433, is
amended to read:
18C.433 [PRIVATE COMMERCIAL MANURE APPLICATOR CERTIFICATION
APPLICATION REQUIREMENT.]
Subdivision 1. [REQUIREMENT.] Beginning January 1,
2005 2006, except for only a commercial animal waste technician,
only a certified private manure applicator may apply animal
waste from a feedlot that:
(1) has a capacity of 300 animal units or more; and
(2) does not have an updated manure management plan that
meets the requirements of Pollution Control Agency rules.
Subd. 2. [CERTIFICATION.] (a) The commissioner shall
prescribe certification requirements and provide training. The
training may be done in cooperation with other government
agencies and must be at least three hours in duration.
(b) A person must apply to the commissioner for
certification as a private manure applicator. The certification
expires March 1 of the third calendar year after the initial
year of certification.
(c) The commissioner shall issue a private manure
applicator card to a certified private manure applicator.
Subd. 3. [FEES.] (a) A person applying to be certified as
a private manure applicator must pay a nonrefundable $10
application fee.
(b) A $5 fee must be paid for the issuance of a duplicate
private manure applicator card.
Sec. 5. Minnesota Statutes 2002, section 28A.15, is
amended by adding a subdivision to read:
Subd. 10. [CERTAIN HOME-PROCESSED AND HOME-CANNED
FOODS.] (a) A person who receives less than $5,000 in gross
receipts in a calendar year from the sale of home-processed and
home-canned food products and meets the requirements in clauses
(1) to (5):
(1) the products are pickles, vegetables, or fruits having
an equilibrium pH value of 4.6 or lower;
(2) the products are home-processed and home-canned in
Minnesota;
(3) the products are sold or offered for sale at a
community or social event or a farmers' market in Minnesota;
(4) the seller displays at the point of sale a clearly
legible sign or placard stating: "These canned goods are
homemade and not subject to state inspection" unless the
products were processed and canned in a kitchen that is licensed
or inspected; and
(5) each container of the product sold or offered for sale
under this exemption is accurately labeled to provide the name
and address of the person who processed and canned the goods and
the date on which the goods were processed and canned.
(b) A person that qualifies for an exemption under
paragraph (a) is also exempt from the provisions of sections
31.31 and 31.392.
(c) A person claiming an exemption under this subdivision
is urged to:
(1) attend and successfully complete a better process
school recognized by the commissioner; and
(2) have the recipe and manufacturing process reviewed by a
person knowledgeable in the food canning industry and recognized
by the commissioner as a process authority.
(d) The commissioner, in close cooperation with the
commissioner of health and the Minnesota Extension Service,
shall attempt to maximize the availability of information and
technical services and support for persons who wish to
home-process and home-can low acid and acidified food products.
Sec. 6. Minnesota Statutes 2003 Supplement, section 38.02,
subdivision 1, is amended to read:
Subdivision 1. [PRO RATA DISTRIBUTION; CONDITIONS.] (a)
Money appropriated to aid county and district agricultural
societies and associations shall be distributed among all county
and district agricultural societies or associations in the state
pro rata, upon condition that each of them has complied with the
conditions specified in paragraph (b).
(b) To be eligible to participate in the distribution of
aid, each agricultural society or association shall have:
(1) held an annual fair for each of the three years last
past, unless prevented from doing so because of a calamity or an
epidemic declared by the Board of Health as defined in section
145A.02, subdivision 2, or the state commissioner of health, or
the Board of Animal Health to exist;
(2) an annual membership of 25 15 or more;
(3) paid out to exhibitors for premiums awarded at the last
fair held a sum not less than the amount to be received from the
state;
(4) published and distributed, or made available on an
Internet Web site, not less than three weeks before the opening
day of the fair a premium list, listing all items or articles on
which premiums are offered and the amounts of such premiums and
shall have paid premiums pursuant to the amount shown for each
article or item to be exhibited; provided that premiums for
school exhibits may be advertised in the published premium list
by reference to a school premium list prepared and circulated
during the preceding school year; and shall have collected all
fees charged for entering an exhibit at the time the entry was
made and in accordance with schedule of entry fees to be charged
as published in the premium list;
(5) paid not more than one premium on each article or item
exhibited, excluding championship or sweepstake awards, and
excluding the payment of open class premium awards to 4H Club
exhibits which at this same fair had won a first prize award in
regular 4H Club competition; and
(6) submitted its records and annual report to the
commissioner of agriculture on a form provided by the
commissioner of agriculture, on or before the first day of
November of the year in which the fair was held its annual
report of premiums paid.
(c) All payments authorized under the provisions of this
chapter shall be made only upon the presentation by the
commissioner of agriculture with the commissioner of finance of
a statement of premium allocations. As used herein the term
premium shall mean the cash award paid to an exhibitor for the
merit of an exhibit of livestock, livestock products, grains,
fruits, flowers, vegetables, articles of domestic science,
handicrafts, hobbies, fine arts, other products of a creative
nature, and articles made by school pupils, or the cash award
paid to the merit winner of events such as 4H Club or Future
Farmer contest, youth group contests, school spelling contests
and school current events contests, the award corresponding to
the amount offered in the advertised premium list referred to in
schedule 2. Payments of awards for horse races, horse pulls,
tractor pulls, demolition derby, automobile or other racing,
jackpot premiums, ball games, musical contests, talent contests,
parades, and for amusement features for which admission is
charged, are specifically excluded from consideration as
premiums within the meaning of that term as used herein. Upon
receipt of the statement by the commissioner of agriculture, the
commissioner of finance shall draw a voucher in favor of the
agricultural society or association for the amount to which it
is entitled under the provisions of this chapter. The amount
shall be computed as follows: On the first $750 premiums paid
by each society or association at the last fair held, the
society or association shall receive 100 percent reimbursement;
on the second $750 premiums paid, 80 percent; on the third $750
premiums paid, 60 percent; and on any sum in excess of $2,250,
40 percent. The commissioner of finance shall make payments not
later than July 15 of the year following the calendar year in
which the annual fair was held to those agricultural societies
or associations entitled to payments under the provisions of
this chapter.
(d) If the total amount of state aid to which the
agricultural societies and associations are entitled under the
provisions of this chapter exceeds the amount of the
appropriation therefor, the amounts to which the societies or
associations are entitled shall be prorated so that the total
payments by the state will not exceed the appropriation.
Sec. 7. Minnesota Statutes 2003 Supplement, section 38.02,
subdivision 3, is amended to read:
Subd. 3. [CERTIFICATION, COMMISSIONER OF
AGRICULTURE ENTITLEMENT FOR PRO RATA DISTRIBUTION.] Any A county
or district agricultural society which has held its second
annual fair is entitled to share pro rata in the
distribution. The commissioner of agriculture shall certify to
the secretary of the State Agricultural Society, within 30 days
after payments have been made, a list of all county or district
agricultural societies that have complied with this chapter, and
which are entitled to share in the appropriation. All Payments
shall be based on reports submitted by agricultural societies
under subdivision 1, paragraph (b), clause (6).
Sec. 8. Minnesota Statutes 2002, section 38.04, is amended
to read:
38.04 [ANNUAL MEETINGS; REPORTS.]
Every county agricultural society shall hold an annual
meeting for the election of officers and the transaction of
other business on or before the third Tuesday in November.
Service on the county agricultural society board or as an
officer of the board is not a public office. Elected officials
of the state or its political subdivisions may serve on the
board or be elected as officers.
At the annual meeting, the society's secretary an officer
of the society shall make a report of its proceedings for the
preceding year; this report shall contain a statement of all
transactions at its fairs, the numbers of entries, the amount
and source of all money received, and and a financial statement
prepared in accordance with generally accepted accounting
principles. The report must also list the amount paid out for
premiums and for other purposes, and show in detail its entire
receipts and expenditures during the year. The report must
contain a separate accounting of any income received from the
operation of horse racing on which pari-mutuel betting is
conducted, and of the disposition of that income.
The treasurer shall make a comprehensive report of the
funds received, paid out, and on hand, and upon whose order
paid. Each secretary shall cause a certified copy of the annual
report to be filed with the county recorder of the county and
the commissioner of agriculture on or before the first day of
November each year.
Sec. 9. Minnesota Statutes 2002, section 38.12, is amended
to read:
38.12 [APPROPRIATIONS BY CERTAIN MUNICIPALITIES.]
The council of any city and the board of supervisors of any
town having fairs of county and district agricultural societies
or associations, who are members of the Minnesota state
agricultural society, held within or in close proximity to their
corporate limits or in close proximity thereto, are hereby
authorized and empowered to may appropriate for and pay money to
such the agricultural society or association annually a sum not
exceeding $1,000.
Sec. 10. Minnesota Statutes 2002, section 38.14, is
amended to read:
38.14 [IN COUNTIES OF 150,000: APPROPRIATIONS FOR COUNTY
FAIRS.]
Subdivision 1. [CONDITIONS, PROCEDURES, BOND.] In any
county in this state now or hereafter having a population of
150,000, the A county board may annually appropriate not to
exceed $3,000, except that counties having more than 300,000 and
less than 450,000 inhabitants may appropriate not to exceed
$5,000, money to assist in maintaining a county fair, which fair
shall be under the management and control of managed by a county
agricultural society. The appropriation shall be made either to
the treasurer of the society or to some other suitable person,.
but before the money is paid, the treasurer or other person
shall file with the county auditor a satisfactory bond in double
the sum of the appropriation, conditioned upon the faithful
disbursing and accounting for all of the funds so appropriated.
The funds so appropriated shall be used solely for the purpose
of obtaining, preparing, and arranging exhibits and paying
premiums to exhibitors. The treasurer or other person to whom
the appropriation is paid shall, within four months after the
holding of any such aided annual fair, file with the county
auditor a verified and detailed report showing the name and
address of every person to whom any of the money was paid,
together with the date of payment, and a full description of the
purposes for which the money was so paid, and shall attach
thereto receipts and subvouchers for each payment so made and
return to the county treasurer all of the unexpended portion
thereof. After the report, receipts, and subvouchers have been
audited by the county board and found to be correct, it may, by
resolution, release the treasurer or other person and the
sureties from all further liabilities under bond.
Subd. 2. [EXCEPT RAMSEY COUNTY.] This section and section
38.15 do not apply to Ramsey County.
Sec. 11. Minnesota Statutes 2002, section 38.15, is
amended to read:
38.15 [SITES AND BUILDINGS.]
The county board in any such county may also annually
appropriate such further sum as it may desire, not exceeding
$7,500, money for the purpose of procuring a suitable site and
the erection of erecting on it a suitable county building
thereon, for the building or repairing of a race track and for
grading and improving the grounds, to be used in connection with
such a county fair, but the site and the building and
improvements shall be and remain the property of the county, and
the annual appropriation shall be used only for the purpose
of so acquiring the site and building and grading and for the
necessary care, repair, maintenance, and upkeep thereof. In any
county in this state now or hereafter having a population in
excess of 150,000 and an area of more than 5,000 square miles,
the county agricultural society may expend funds appropriated to
it for the year 1957 for the payment of debts and liabilities
incurred during the year 1956 in the construction of county fair
buildings, notwithstanding the provisions of Laws 1941, chapter
118.
Sec. 12. Minnesota Statutes 2002, section 38.16, is
amended to read:
38.16 [EXEMPTION FROM ZONING ORDINANCES.]
When lands lying within the corporate limits of towns or
cities of the first or second class of the state are owned by a
county or agricultural society and used for agricultural fair
purposes, the lands and the buildings now or hereafter erected
thereon shall be are exempt from the zoning, building, and other
ordinances of the town or city; provided, that no license or
permit need be obtained from, nor fee paid to, the town or city
in connection with the use of the lands.
Sec. 13. Minnesota Statutes 2003 Supplement, section
41A.09, subdivision 3a, is amended to read:
Subd. 3a. [ETHANOL PRODUCER PAYMENTS.] (a) The
commissioner shall make cash payments to producers of ethanol
located in the state that have begun production by June 30, 2000.
For the purpose of this subdivision, an entity that holds a
controlling interest in more than one ethanol plant is
considered a single producer. The amount of the payment for
each producer's annual production, except as provided in
paragraph (c), is 20 cents per gallon for each gallon of ethanol
produced on or before June 30, 2000, or ten years after the
start of production, whichever is later. The first claim for
production after June 30, 2003, must be accompanied by Annually,
within 90 days of the end of its fiscal year, an ethanol
producer receiving payments under this subdivision must file a
disclosure statement on a form provided by the commissioner.
The initial disclosure statement must include a detailed summary
description of the organization of the business structure of the
claimant, a listing of the percentages of ownership by any
person or other entity with an ownership interest of five
percent or greater, the distribution of income received by the
claimant, including operating income and payments under this
subdivision and a copy of its annual audited financial
statements, including the auditor's report and footnotes. The
disclosure statement must include information sufficient to
demonstrate that a majority of the ultimate beneficial interest
in the demonstrating what percentage of the entity receiving
payments under this section is owned by farmers or spouses of
farmers, as defined in or other entities eligible to farm or own
agricultural land in Minnesota under the provisions of section
500.24, residing in Minnesota. Subsequent quarterly claims
annual reports must report reflect noncumulative changes in
ownership of ten percent or more of the entity. Payments must
not be made to a claimant that has less than a majority of
Minnesota farmer control except that the commissioner may grant
an exemption from the farmer majority ownership requirement to a
claimant that, on May 29, 2003, has demonstrated greater than 40
percent farmer ownership which, when combined with ownership
interests of persons residing within 30 miles of the plant,
exceeds 50 percent. In addition, a claimant located in a city
of the first class which qualifies for payments in all other
respects is not subject to this condition. Information provided
under this paragraph is The report need not disclose the
identity of the persons or entities eligible to farm or own
agricultural land with ownership interests, individuals residing
within 30 miles of the plant, or of any other entity with less
than ten percent ownership interest, but the claimant must
retain information within its files confirming the accuracy of
the data provided. This data must be made available to the
commissioner upon request. Not later than the 15th day of
February in each year the commissioner shall deliver to the
chairs of the standing committees of the senate and the house of
representatives that deal with agricultural policy and
agricultural finance issues an annual report summarizing
aggregated data from plants receiving payments under this
section during the preceding calendar year. Audited financial
statements and notes and disclosure statements submitted to the
commissioner are nonpublic data under section 13.02, subdivision
9. Notwithstanding the provisions of chapter 13 relating to
nonpublic data, summaries of the submitted audited financial
reports and notes and disclosure statements will be contained in
the report to the committee chairs and will be public data.
(b) No payments shall be made for ethanol production that
occurs after June 30, 2010.
(c) If the level of production at an ethanol plant
increases due to an increase in the production capacity of the
plant, the payment under paragraph (a) applies to the additional
increment of production until ten years after the increased
production began. Once a plant's production capacity reaches
15,000,000 gallons per year, no additional increment will
qualify for the payment.
(d) Total payments under paragraphs (a) and (c) to a
producer in a fiscal year may not exceed $3,000,000.
(e) By the last day of October, January, April, and July,
each producer shall file a claim for payment for ethanol
production during the preceding three calendar months. A
producer that files a claim under this subdivision shall include
a statement of the producer's total ethanol production in
Minnesota during the quarter covered by the claim. For each
claim and statement of total ethanol production filed under this
subdivision, the volume of ethanol production must be examined
by an independent certified public accountant in accordance with
standards established by the American Institute of Certified
Public Accountants.
(f) Payments shall be made November 15, February 15, May
15, and August 15. A separate payment shall be made for each
claim filed. Except as provided in paragraph (g), the total
quarterly payment to a producer under this paragraph may not
exceed $750,000.
(g) Notwithstanding the quarterly payment limits of
paragraph (f), the commissioner shall make an additional payment
in the fourth quarter of each fiscal year to ethanol producers
for the lesser of: (1) 20 cents per gallon of production in the
fourth quarter of the year that is greater than 3,750,000
gallons; or (2) the total amount of payments lost during the
first three quarters of the fiscal year due to plant outages,
repair, or major maintenance. Total payments to an ethanol
producer in a fiscal year, including any payment under this
paragraph, must not exceed the total amount the producer is
eligible to receive based on the producer's approved production
capacity. The provisions of this paragraph apply only to
production losses that occur in quarters beginning after
December 31, 1999.
(h) The commissioner shall reimburse ethanol producers for
any deficiency in payments during earlier quarters if the
deficiency occurred because appropriated money was insufficient
to make timely payments in the full amount provided in paragraph
(a). Notwithstanding the quarterly or annual payment
limitations in this subdivision, the commissioner shall begin
making payments for earlier deficiencies in each fiscal year
that appropriations for ethanol payments exceed the amount
required to make eligible scheduled payments. Payments for
earlier deficiencies must continue until the deficiencies for
each producer are paid in full.
Sec. 14. Minnesota Statutes 2002, section 41B.03,
subdivision 2, is amended to read:
Subd. 2. [ELIGIBILITY FOR RESTRUCTURED LOAN.] In addition
to the eligibility requirements of subdivision 1, a prospective
borrower for a restructured loan must:
(1) have received at least 50 percent of average annual
gross income from farming for the past three years or, for
homesteaded property, received at least 40 percent of average
gross income from farming in the past three years, and farming
must be the principal occupation of the borrower;
(2) have projected annual expenses, including operating
expenses, family living, and interest expenses after the
restructuring, that do not exceed 95 percent of the borrower's
projected annual income considering prior production history and
projected prices for farm production, except that the authority
may reduce the 95 percent requirement if it finds that other
significant factors in the loan application support the making
of the loan;
(3) demonstrate substantial difficulty in meeting projected
annual expenses without restructuring the loan; and
(4) have a total net worth, including assets and
liabilities of the borrower's spouse and dependents, of less
than $400,000 $660,000 in 1999 2004 and an amount in subsequent
years which is adjusted for inflation by
multiplying $400,000 that amount by the cumulative inflation
rate as determined by the United States All-Items Consumer Price
Index.
Sec. 15. Minnesota Statutes 2002, section 41B.03,
subdivision 3, is amended to read:
Subd. 3. [ELIGIBILITY FOR BEGINNING FARMER LOANS.] (a) In
addition to the requirements under subdivision 1, a prospective
borrower for a beginning farm loan in which the authority holds
an interest, must:
(1) have sufficient education, training, or experience in
the type of farming for which the loan is desired;
(2) have a total net worth, including assets and
liabilities of the borrower's spouse and dependents, of less
than $200,000 in 1991 $350,000 in 2004 and an amount in
subsequent years which is adjusted for inflation by
multiplying $200,000 that amount by the cumulative inflation
rate as determined by the United States All-Items Consumer Price
Index;
(3) demonstrate a need for the loan;
(4) demonstrate an ability to repay the loan;
(5) certify that the agricultural land to be purchased will
be used by the borrower for agricultural purposes;
(6) certify that farming will be the principal occupation
of the borrower;
(7) agree to participate in a farm management program
approved by the commissioner of agriculture for at least the
first three years of the loan, if an approved program is
available within 45 miles from the borrower's residence. The
commissioner may waive this requirement for any of the programs
administered by the authority if the participant requests a
waiver and has either a four-year degree in an agricultural
program or certification as an adult farm management instructor;
and
(8) agree to file an approved soil and water conservation
plan with the Soil Conservation Service office in the county
where the land is located.
(b) If a borrower fails to participate under paragraph (a),
clause (7), the borrower is subject to penalty as determined by
the authority.
Sec. 16. Minnesota Statutes 2002, section 41B.039,
subdivision 2, is amended to read:
Subd. 2. [STATE PARTICIPATION.] The state may participate
in a new real estate loan with an eligible lender to a beginning
farmer to the extent of 45 percent of the principal amount of
the loan or $125,000 $200,000, whichever is less. The interest
rates and repayment terms of the authority's participation
interest may be different than the interest rates and repayment
terms of the lender's retained portion of the loan.
Sec. 17. Minnesota Statutes 2002, section 41B.04,
subdivision 8, is amended to read:
Subd. 8. [STATE'S PARTICIPATION.] With respect to loans
that are eligible for restructuring under sections 41B.01 to
41B.23 and upon acceptance by the authority, the authority shall
enter into a participation agreement or other financial
arrangement whereby it shall participate in a restructured loan
to the extent of 45 percent of the primary principal or
$150,000 $225,000, whichever is less. The authority's portion
of the loan must be protected during the authority's
participation by the first mortgage held by the eligible lender
to the extent of its participation in the loan.
Sec. 18. Minnesota Statutes 2002, section 41B.042,
subdivision 4, is amended to read:
Subd. 4. [PARTICIPATION LIMIT; INTEREST.] The authority
may participate in new seller-sponsored loans to the extent of
45 percent of the principal amount of the loan or
$125,000 $200,000, whichever is less. The interest rates and
repayment terms of the authority's participation interest may be
different than the interest rates and repayment terms of the
seller's retained portion of the loan.
Sec. 19. Minnesota Statutes 2002, section 41B.043,
subdivision 1b, is amended to read:
Subd. 1b. [LOAN PARTICIPATION.] The authority may
participate in an agricultural improvement loan with an eligible
lender to a farmer who meets the requirements of section 41B.03,
subdivision 1, clauses (1) and (2), and who is actively engaged
in farming. Participation is limited to 45 percent of the
principal amount of the loan or $125,000 $200,000, whichever is
less. The interest rates and repayment terms of the authority's
participation interest may be different than the interest rates
and repayment terms of the lender's retained portion of the loan.
Sec. 20. Minnesota Statutes 2002, section 41B.043, is
amended by adding a subdivision to read:
Subd. 5. [TOTAL NET WORTH LIMIT.] A prospective borrower
for an agricultural improvement loan in which the authority
holds an interest must have a total net worth, including assets
and liabilities of the borrower's spouse and dependents, of less
than $350,000 in 2004 and an amount in subsequent years which is
adjusted for inflation by multiplying that amount by the
cumulative inflation rate as determined by the United States
All-Items Consumer Price Index.
Sec. 21. Minnesota Statutes 2002, section 41B.045,
subdivision 2, is amended to read:
Subd. 2. [LOAN PARTICIPATION.] The authority may
participate in a livestock expansion loan with an eligible
lender to a livestock farmer who meets the requirements of
section 41B.03, subdivision 1, clauses (1) and (2), and who are
actively engaged in a livestock operation. A prospective
borrower must have a total net worth, including assets and
liabilities of the borrower's spouse and dependents, of less
than $400,000 $660,000 in 1999 2004 and an amount in subsequent
years which is adjusted for inflation by
multiplying $400,000 that amount by the cumulative inflation
rate as determined by the United States All-Items Consumer Price
Index.
Participation is limited to 45 percent of the principal
amount of the loan or $250,000 $275,000, whichever is less. The
interest rates and repayment terms of the authority's
participation interest may be different from the interest rates
and repayment terms of the lender's retained portion of the loan.
Sec. 22. Minnesota Statutes 2002, section 41B.046,
subdivision 5, is amended to read:
Subd. 5. [LOANS.] (a) The authority may participate in a
stock loan with an eligible lender to a farmer who is eligible
under subdivision 4. Participation is limited to 45 percent of
the principal amount of the loan or $24,000 $40,000, whichever
is less. The interest rates and repayment terms of the
authority's participation interest may differ from the interest
rates and repayment terms of the lender's retained portion of
the loan, but the authority's interest rate must not exceed 50
percent of the lender's interest rate.
(b) No more than 95 percent of the purchase price of the
stock may be financed under this program.
(c) Security for stock loans must be the stock purchased, a
personal note executed by the borrower, and whatever other
security is required by the eligible lender or the authority.
(d) The authority may impose a reasonable nonrefundable
application fee for each application for a stock loan. The
authority may review the fee annually and make adjustments as
necessary. The application fee is initially $50. Application
fees received by the authority must be deposited in the
value-added agricultural product revolving fund.
(e) Stock loans under this program will be made using money
in the value-added agricultural product revolving fund
established under subdivision 3.
(f) The authority may not grant stock loans in a cumulative
amount exceeding $2,000,000 for the financing of stock purchases
in any one cooperative.
Sec. 23. Minnesota Statutes 2002, section 41C.02,
subdivision 12, is amended to read:
Subd. 12. [LOW OR MODERATE NET WORTH.] "Low or moderate
net worth" means:
(1) for an individual, an aggregate net worth of the
individual and the individual's spouse and minor children of
less than $200,000 in 1991 $350,000 in 2004 and an amount in
subsequent years which is adjusted for inflation by
multiplying $200,000 that amount by the cumulative inflation
rate as determined by the United States All-Items Consumer Price
Index; or
(2) for a partnership, an aggregate net worth of all
partners, including each partner's net capital in the
partnership, and each partner's spouse and minor children of
less than $400,000 in 1991 and an amount in subsequent years
which is adjusted for inflation by multiplying $400,000 by the
cumulative inflation rate as determined by the United States
All-Items Consumer Price Index twice the amount set for an
individual in clause (1). However, the aggregate net worth of
each partner and that partner's spouse and minor children may
not exceed $200,000 in 1991 and an amount in subsequent years
which is adjusted for inflation by multiplying $200,000 by the
cumulative inflation rate as determined by the United States
All-Items Consumer Price Index the amount set for an individual
in clause (1).
Sec. 24. [116J.407] [DAIRY MODERNIZATION.]
Subdivision 1. [GENERALLY.] The commissioner shall make
funds available to eligible regional or statewide development
organizations defined under section 116J.8731 to be used for the
purposes of this section.
Subd. 2. [ELIGIBLE EXPENDITURES.] Money may be used for
loans for the acquisition, construction, or improvement of
buildings or facilities, or the acquisition of equipment, for
dairy animal housing, confinement, animal feeding, milk
production, and waste management, including the following, if
related to dairy animals:
(1) freestall barns;
(2) fences;
(3) watering facilities;
(4) feed storage and handling equipment;
(5) milking parlors;
(6) robotic equipment;
(7) scales;
(8) milk storage and cooling facilities;
(9) bulk tanks;
(10) manure pumping and storage facilities;
(11) digesters;
(12) equipment used to produce energy;
(13) capital investment in pasture; and
(14) on-farm processing facilities.
Subd. 3. [APPLICATION PROCESS.] The commissioner of
agriculture and the commissioner of employment and economic
development shall establish a process by which an eligible dairy
producer may make application for assistance under this section
to the county in which the producer is located. The application
must require the producer and county to provide information
regarding the producer's existing business, the intended use of
the requested funds, and other information the commissioners
find necessary to evaluate the feasibility, likely success, and
economic return of the project, and to ensure that money can be
provided consistent with other state and federal laws.
Sec. 25. Minnesota Statutes 2002, section 156.12,
subdivision 2, is amended to read:
Subd. 2. [AUTHORIZED ACTIVITIES.] No provision of this
chapter shall be construed to prohibit:
(a) a person from rendering necessary gratuitous assistance
in the treatment of any animal when the assistance does not
amount to prescribing, testing for, or diagnosing, operating, or
vaccinating and when the attendance of a licensed veterinarian
cannot be procured;
(b) a person who is a regular student in an accredited or
approved college of veterinary medicine from performing duties
or actions assigned by instructors or preceptors or working
under the direct supervision of a licensed veterinarian;
(c) a veterinarian regularly licensed in another
jurisdiction from consulting with a licensed veterinarian in
this state;
(d) the owner of an animal and the owner's regular employee
from caring for and administering to the animal belonging to the
owner, except where the ownership of the animal was transferred
for purposes of circumventing this chapter;
(e) veterinarians who are in compliance with subdivision 6
and who are employed by the University of Minnesota from
performing their duties with the College of Veterinary Medicine,
College of Agriculture, Agricultural Experiment Station,
Agricultural Extension Service, Medical School, School of Public
Health, or other unit within the university; or a person from
lecturing or giving instructions or demonstrations at the
university or in connection with a continuing education course
or seminar to veterinarians or pathologists at the University of
Minnesota Veterinary Diagnostic Laboratory;
(f) any person from selling or applying any pesticide,
insecticide or herbicide;
(g) any person from engaging in bona fide scientific
research or investigations which reasonably requires
experimentation involving animals;
(h) any employee of a licensed veterinarian from performing
duties other than diagnosis, prescription or surgical correction
under the direction and supervision of the veterinarian, who
shall be responsible for the performance of the employee;
(i) a graduate of a foreign college of veterinary medicine
from working under the direct personal instruction, control, or
supervision of a veterinarian faculty member of the College of
Veterinary Medicine, University of Minnesota in order to
complete the requirements necessary to obtain an ECFVG
certificate.
Sec. 26. Minnesota Statutes 2002, section 156.12, is
amended by adding a subdivision to read:
Subd. 6. [FACULTY LICENSURE.] (a) Veterinary Medical
Center clinicians at the College of Veterinary Medicine,
University of Minnesota who are engaged in the practice of
veterinary medicine as defined in subdivision 1 and who treat
animals owned by clients of the Veterinary Medical Center must
possess the same license required by other veterinary
practitioners in the state of Minnesota except for persons
covered by paragraphs (b) and (c).
(b) A specialty practitioner in a hard-to-fill faculty
position who has been employed at the College of Veterinary
Medicine, University of Minnesota for five years or more prior
to 2003 or is specialty board certified by the American
Veterinary Medical Association may be granted a specialty
faculty Veterinary Medical Center clinician license which will
allow the licensee to practice veterinary medicine in the state
of Minnesota in the specialty area of the licensee's training
and only within the scope of employment at the Veterinary
Medical Center.
(c) A specialty practitioner in a hard-to-fill faculty
position at the College of Veterinary Medicine, University of
Minnesota who has graduated from a board-approved foreign
veterinary school may be granted a temporary faculty Veterinary
Medical Center clinician license. The temporary faculty
Veterinary Medical Center clinician license expires in two years
and allows the licensee to practice veterinary medicine as
defined in subdivision 1 and treat animals owned by clients of
the Veterinary Medical Center. The temporary faculty Veterinary
Medical Center clinician license allows the licensee to practice
veterinary medicine in the state of Minnesota in the specialty
area of the licensee's training and only within the scope of
employment at the Veterinary Medical Center. The holder of a
temporary faculty Veterinary Medical Center clinician license
who is enrolled in a PhD program may apply for two two-year
extensions of an expiring temporary faculty Veterinary Medical
Center clinician license. Any other holder of a temporary
faculty Veterinary Medical Center clinician license may apply
for one two-year extension of the expiring temporary faculty
Veterinary Medical Center clinician license. Temporary faculty
Veterinary Medical Center clinician licenses that are allowed to
expire may not be renewed. The board shall grant an extension
to a licensee who demonstrates suitable progress toward
completing the requirements of their academic program, specialty
board certification, or full licensure in Minnesota by a
graduate of a foreign veterinary college.
(d) Temporary and specialty faculty Veterinary Medical
Center clinician licensees must abide by all the laws governing
the practice of veterinary medicine in the state of Minnesota
and are subject to the same disciplinary action as any other
veterinarian licensed in the state of Minnesota.
(e) The fee for a license issued under this subdivision is
the same as for a regular license to practice veterinary
medicine in Minnesota. License payment deadlines, late payment
fees, and other license requirements are also the same as for
regular licenses.
Sec. 27. Minnesota Statutes 2002, section 223.16, is
amended by adding a subdivision to read:
Subd. 3a. [ELECTRONIC DOCUMENT.] "Electronic document"
means a document that is generated, sent, received, or stored by
electronic, optical, or similar means, including electronic data
interchange, electronic mail, telegram, telex, or telecopy.
"Electronic document" includes, but is not limited to, grain
purchase contracts and voluntary extension of credit contracts.
Sec. 28. Minnesota Statutes 2002, section 223.16, is
amended by adding a subdivision to read:
Subd. 3b. [ELECTRONIC SIGNATURE.] "Electronic signature"
means an electronic sound, symbol, or process attached to or
logically associated with a record and executed or adopted by a
person with the intent to sign the record.
Sec. 29. Minnesota Statutes 2003 Supplement, section
223.17, subdivision 4, is amended to read:
Subd. 4. [BOND.] Before a grain buyer's license is issued,
the applicant for the license must file with the commissioner a
bond in a penal sum prescribed by the commissioner but not less
than the following amounts:
(a) $10,000 for grain buyers whose gross annual purchases
are $100,000 or less;
(b) $20,000 for grain buyers whose gross annual purchases
are more than $100,000 but not more than $750,000;
(c) $30,000 for grain buyers whose gross annual purchases
are more than $750,000 but not more than $1,500,000;
(d) $40,000 for grain buyers whose gross annual purchases
are more than $1,500,000 but not more than $3,000,000; and
(e) $50,000 for grain buyers whose gross annual purchases
exceed are more than $3,000,000 but not more than $6,000,000;
(f) $70,000 for grain buyers whose gross annual purchases
are more than $6,000,000 but not more than $12,000,000;
(g) $125,000 for grain buyers whose gross annual purchases
are more than $12,000,000 but not more than $24,000,000; and
(h) $150,000 for grain buyers whose gross annual purchases
exceed $24,000,000.
A grain buyer who has filed a bond with the commissioner
prior to July 1, 1983 2004, is not required to increase the
amount of the bond to comply with this section until July 1,
1984 2005. The commissioner may postpone an increase in the
amount of the bond until July 1, 1985 2006, if a licensee
demonstrates that the increase will impose undue financial
hardship on the licensee, and that producers will not be harmed
as a result of the postponement. The commissioner may impose
other restrictions on a licensee whose bond increase has been
postponed. The amount of the bond shall be based on the most
recent financial statement of the grain buyer filed under
subdivision 6.
A first-time applicant for a grain buyer's license after
July 1, 1983 shall file a $20,000 $50,000 bond with the
commissioner. This bond shall remain in effect for the first
year of the license. Thereafter, the licensee shall comply with
the applicable bonding requirements contained in clauses (a)
to (e) (h).
In lieu of the bond required by this subdivision the
applicant may deposit with the commissioner of finance cash, a
certified check, a cashier's check, a postal, bank, or express
money order, assignable bonds or notes of the United States, or
an assignment of a bank savings account or investment
certificate or an irrevocable bank letter of credit as defined
in section 336.5-102, in the same amount as would be required
for a bond.
Sec. 30. Minnesota Statutes 2002, section 223.17,
subdivision 6, is amended to read:
Subd. 6. [FINANCIAL STATEMENTS.] For the purpose of fixing
or changing the amount of a required bond or for any other
proper reason, the commissioner shall require an annual
financial statement from a licensee which has been prepared in
accordance with generally accepted accounting principles and
which meets the following requirements:
(a) The financial statement shall include, but not be
limited to the following: (1) a balance sheet; (2) a statement
of income (profit and loss); (3) a statement of retained
earnings; (4) a statement of changes in financial position; and
(5) a statement of the dollar amount of grain purchased in the
previous fiscal year of the grain buyer.
(b) The financial statement shall be accompanied by a
compilation report of the financial statement which is reviewed
financial statement or audit prepared by a grain commission firm
or a management firm approved by the commissioner or by an
independent public accountant or a compilation report prepared
by a grain commission firm approved by the commissioner, in
accordance with standards established by the American Institute
of Certified Public Accountants.
(c) The financial statement shall be accompanied by a
certification by the chief executive officer or the chief
executive officer's designee of the licensee, under penalty of
perjury, that the financial statement accurately reflects the
financial condition of the licensee for the period specified in
the statement.
Only one financial statement must be filed for a chain of
warehouses owned or operated as a single business entity, unless
otherwise required by the commissioner. Any grain buyer having
a net worth in excess of $500,000,000 need not file the
financial statement required by this subdivision but must
provide the commissioner with a certified net worth statement.
All financial statements filed with the commissioner are private
or nonpublic data as provided in section 13.02.
Sec. 31. Minnesota Statutes 2002, section 223.177,
subdivision 3, is amended to read:
Subd. 3. [CONTRACTS REDUCED TO WRITING.] A voluntary
extension of credit contract must be reduced to writing by the
grain buyer and mailed or given to the seller before the close
of the next business day after the contract is entered into or,
in the case of an oral or phone contract, after the written
confirmation is received by the seller. Provided, however, that
if a scale ticket has been received by the seller prior to the
completion of the grain shipment, the contract must be reduced
to writing within ten days after the sale, but not later than
the close of the next business day after the completion of the
entire sale. The form of the contract shall comply with the
requirements of section 223.175. A grain buyer may use an
electronic version of a voluntary extension of credit contract
that contains the same information as a written document and
that conforms to the requirements of this chapter to which a
seller has applied an electronic signature in place of a written
document. There must not at any time be an electronic and paper
voluntary extension of credit contract representing the same lot
of grain.
Sec. 32. Minnesota Statutes 2002, section 232.21, is
amended by adding a subdivision to read:
Subd. 6a. [ELECTRONIC DOCUMENT.] "Electronic document"
means a document that is generated, sent, received or stored by
electronic, optical, or similar means, including electronic data
interchange, electronic mail, telegram, telex, or telecopy.
"Electronic document" includes, but is not limited to, warehouse
receipts, grain purchase contracts, and voluntary extension of
credit contracts.
Sec. 33. Minnesota Statutes 2002, section 232.21, is
amended by adding a subdivision to read:
Subd. 6b. [ELECTRONIC GRAIN WAREHOUSE
RECEIPT.] "Electronic grain warehouse receipt" means an
electronic version of a grain warehouse receipt issued or
transmitted to a depositor by a grain warehouse operator under
the provisions of section 232.23 in the form of an electronic
document. An electronic grain warehouse receipt is a negotiable
instrument except as provided in section 232.23, subdivision 11.
Sec. 34. Minnesota Statutes 2002, section 232.21, is
amended by adding a subdivision to read:
Subd. 6c. [ELECTRONIC SIGNATURE.] "Electronic signature"
means an electronic sound, symbol, or process attached to or
logically associated with a record and executed or adopted by a
person with the intent to sign the record.
Sec. 35. Minnesota Statutes 2002, section 232.23,
subdivision 4, is amended to read:
Subd. 4. [FORM OF GRAIN WAREHOUSE RECEIPT.] (a) A grain
warehouse receipt must be in duplicate, contain the name and
location of the grain warehouse, and be delivered to the
depositor or the depositor's agent. Grain warehouse receipts
shall be consecutively numbered as prescribed by the
commissioner and state the date of deposit, except where the
deposit of a certain lot for storage is not completed in one
day. In that case, the grain warehouse receipt, when issued,
shall be dated not later than Saturday of the week of delivery.
(b) A grain warehouse receipt shall contain either on its
face or reverse side the following specific grain warehouse and
storage contract: "This grain is received, insured and stored
through the date of expiration of the annual licenses of this
grain warehouse and terms expressed in the body of this grain
warehouse receipt shall constitute due notice to its holder of
the expiration of the storage period. It is unlawful for a
public grain warehouse operator to charge or collect a greater
or lesser amount than the amount filed with the commissioner.
All charges shall be collected by the grain warehouse operator
upon the owner's presentation of the grain warehouse receipt for
the sale or delivery of the grain represented by the receipt, or
the termination of the storage period. Upon the presentation of
this grain warehouse receipt and payment of all charges accrued
up to the time of presentation, the above amount, kind and grade
of grain will be delivered within the time prescribed by law to
the depositor or the depositor's order."
(c) A grain warehouse receipt shall also have printed on it
the following:
"Redemption of Receipt
Received from .............., the sum of $........ or
........ bushels in full satisfaction of the obligation
represented by this grain warehouse receipt.
Gross price per bushel $.......
Storage per bushel $.......
Net price per bushel $.......
All blank spaces in this grain warehouse receipt were
filled in before I signed it and I certify that I am the owner
of the commodity for which this grain warehouse receipt was
issued and that there are no liens, chattel mortgages or other
claims against the commodity represented by this grain warehouse
receipt.
Signed ............
Accepted .................. Dated ............
Warehouse operator
This redemption shall be signed by the depositor or the
depositor's agent in the event that the grain represented is
redelivered or purchased by the public grain warehouse
operator. Signature of this redemption by the depositor
constitutes a valid cancellation of the obligation embraced in
the storage contract."
(d) A warehouse receipt for dry edible beans must state the
grade of the dry edible beans delivered to the grain warehouse
and the redelivery charge required under subdivision 10a,
paragraph (a).
(e) An electronic version of a grain warehouse receipt
generated by a vendor licensed and approved by the United States
Department of Agriculture that contains the same information as
the paper version of a grain warehouse receipt may be issued
instead of a paper document. The electronic version of a grain
warehouse receipt carries the same rights and obligations as the
paper version. At no time may a paper receipt and an electronic
receipt represent the same lot of grain. Redemption of an
electronic version of a warehouse receipt may be accomplished by
the warehouse receipt holder applying an electronic signature
registered and authenticated by a vendor credited by the United
States Department of Agriculture.
Sec. 36. Minnesota Statutes 2002, section 308A.995,
subdivision 5, is amended to read:
Subd. 5. [REINSTATEMENT.] A cooperative may, within one
year of the date of dissolution under this section,
retroactively reinstate its existence by filing a single annual
registration and paying a $25 fee. Filing the annual
registration with the secretary of state:
(1) returns the cooperative to active status as of the date
of the dissolution;
(2) validates contracts or other acts within the authority
of the articles, and the cooperative is liable for those
contracts or acts; and
(3) restores to the cooperative all assets and rights of
the cooperative and its shareholders or members to the extent
they were held by the cooperative and its shareholders or
members before the dissolution occurred, except to the extent
that assets or rights were affected by acts occurring after the
dissolution or sold or otherwise distributed after that time.
Sec. 37. Minnesota Statutes 2003 Supplement, section
308B.121, subdivision 5, is amended to read:
Subd. 5. [REINSTATEMENT.] A cooperative may, within one
year of the date of dissolution under this section,
retroactively reinstate its existence by filing a single annual
registration and paying a $25 fee. Filing the annual
registration with the secretary of state:
(1) returns the cooperative to active status as of the date
of the dissolution;
(2) validates contracts or other acts within the authority
of the articles and the cooperative is liable for those
contracts or acts; and
(3) restores to the cooperative all assets and rights of
the cooperative and its shareholders or members to the extent
they were held by the cooperative and its shareholders or
members before the dissolution occurred, except to the extent
that assets or rights were affected by acts occurring after the
dissolution or sold or otherwise distributed after that time.
Sec. 38. Minnesota Statutes 2002, section 500.221,
subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] For purposes of this
section, "agricultural land" means land capable of use in the
production of agricultural crops, livestock or livestock
products, poultry or poultry products, milk or dairy products,
or fruit and other horticultural products but does not include
any land zoned by a local governmental unit for a use other than
and nonconforming with agricultural use. For the purposes of
this section, "interest in agricultural land" includes any
leasehold interest. For the purposes of this section, a
"permanent resident alien of the United States" is a natural
person who:
(1) has been lawfully admitted to the United States for
permanent residence and in fact maintains; or
(2) is a holder of a nonimmigrant treaty investment visa
pursuant to United States Code, title 8, section
1101(a)15(E)(ii).
A person who qualifies as a permanent resident alien of the
United States under clause (1) must also maintain that person's
principal, actual dwelling place within the United States for at
least six months out of every consecutive 12-month period
without regard to intent. A person who qualifies as a permanent
resident alien of the United States under clause (2) must also
maintain that person's principal actual dwelling place in
Minnesota for at least ten months out of every 12-month period,
and is limited to dairy farming and up to 1,500 acres of
agricultural land. The eligibility of a person under clause (2)
is limited to three years, unless the commissioner waives the
three-year limitation upon finding that the person is actively
pursuing the status under clause (1) or United States
citizenship. For the purposes of this section, "commissioner"
means the commissioner of agriculture.
Sec. 39. Minnesota Statutes 2002, section 500.221,
subdivision 1a, is amended to read:
Subd. 1a. [DETERMINATION OF ALIEN STATUS.] An alien who
qualifies under subdivision 1, clause (1), and has been
physically absent from the United States for more than six
months out of any 12-month period shall be presumed not to be a
permanent resident alien. An alien who qualifies under
subdivision 1, clause (2), and has been physically absent from
Minnesota for more than two months out of any 12-month period
shall be presumed not to be a permanent resident alien. Every
permanent resident alien of the United States who owns purchases
property subject to this section shall must:
(1) file a report with the commissioner within 30 days of
the date of purchase; and
(2) annually, at some time during the month of January,
file with the commissioner a statement setting forth the dates
and places of that person's residence in the United States
during the prior calendar year.
The statement shall required under clause (2) must include
an explanation of absences totaling more than six two months
during the prior calendar year and any facts which support the
continuation of permanent resident alien status. Upon receipt
of the statement, the commissioner shall have 30 days to review
the statement and notify the resident alien whether the facts
support continuation of the permanent resident alien status.
Sec. 40. Minnesota Statutes 2002, section 500.221,
subdivision 5, is amended to read:
Subd. 5. [PENALTY.] Willful failure to properly file a
report required under subdivision 1a or to properly register any
parcel of land as required by subdivision 4 is a gross
misdemeanor. Each full month of failure to register is a
separate offense.
Sec. 41. Minnesota Statutes 2002, section 500.24,
subdivision 2, is amended to read:
Subd. 2. [DEFINITIONS.] The definitions in this
subdivision apply to this section.
(a) "Farming" means the production of (1) agricultural
products; (2) livestock or livestock products; (3) milk or milk
products; or (4) fruit or other horticultural products. It does
not include the processing, refining, or packaging of said
products, nor the provision of spraying or harvesting services
by a processor or distributor of farm products. It does not
include the production of timber or forest products, the
production of poultry or poultry products, or the feeding and
caring for livestock that are delivered to a corporation for
slaughter or processing for up to 20 days before slaughter or
processing.
(b) "Family farm" means an unincorporated farming unit
owned by one or more persons residing on the farm or actively
engaging in farming.
(c) "Family farm corporation" means a corporation founded
for the purpose of farming and the ownership of agricultural
land in which the majority of the stock is held by and the
majority of the stockholders are persons, the spouses of
persons, or current beneficiaries of one or more family farm
trusts in which the trustee holds stock in a family farm
corporation, related to each other within the third degree of
kindred according to the rules of the civil law, and at least
one of the related persons is residing on or actively operating
the farm, and none of whose stockholders are corporations;
provided that a family farm corporation shall not cease to
qualify as such hereunder by reason of any:
(1) transfer of shares of stock to a person or the spouse
of a person related within the third degree of kindred according
to the rules of civil law to the person making the transfer, or
to a family farm trust of which the shareholder, spouse, or
related person is a current beneficiary; or
(2) distribution from a family farm trust of shares of
stock to a beneficiary related within the third degree of
kindred according to the rules of civil law to a majority of the
current beneficiaries of the trust, or to a family farm trust of
which the shareholder, spouse, or related person is a current
beneficiary.
For the purposes of this section, a transfer may be made
with or without consideration, either directly or indirectly,
during life or at death, whether or not in trust, of the shares
in the family farm corporation, and stock owned by a family farm
trust are considered to be owned in equal shares by the current
beneficiaries.
(d) "Family farm trust" means:
(1) a trust in which:
(i) a majority of the current beneficiaries are persons or
spouses of persons who are related to each other within the
third degree of kindred according to the rules of civil law;
(ii) all of the current beneficiaries are natural persons
or nonprofit corporations or trusts described in the Internal
Revenue Code, section 170(c), as amended, and the regulations
under that section; and
(iii) one of the family member current beneficiaries is
residing on or actively operating the farm; or the trust leases
the agricultural land to a family farm unit, a family farm
corporation, an authorized farm corporation, an authorized
livestock farm corporation, a family farm limited liability
company, a family farm trust, an authorized farm limited
liability company, a family farm partnership, or an authorized
farm partnership; or
(2) a charitable remainder trust as defined in the Internal
Revenue Code, section 664, as amended, and the regulations under
that section, and a charitable lead trust as set forth in the
Internal Revenue Code, section 170(f), and the regulations under
that section, if the lead period does not exceed ten years and
the majority of remainder beneficiaries are related to the
grantor within the third degree of kindred according to the
rules of civil law.
For the purposes of this section, if a distributee trust
becomes entitled to, or at the discretion of any person may
receive, a distribution from income or principal of a family
farm trust, then the distributee trust must independently
qualify as a family farm trust.
(e) "Authorized farm corporation" means a corporation
meeting the following standards:
(1) it has no more than five shareholders, provided that
for the purposes of this section, a husband and wife are
considered one shareholder;
(2) all its shareholders, other than any estate, are
natural persons or a family farm trust;
(3) it does not have more than one class of shares;
(4) its revenue from rent, royalties, dividends, interest,
and annuities does not exceed 20 percent of its gross receipts;
(5) shareholders holding 51 percent or more of the interest
in the corporation reside on the farm or are actively engaging
in farming;
(6) it does not, directly or indirectly, own or otherwise
have an interest in any title to more than 1,500 acres of
agricultural land; and
(7) none of its shareholders are shareholders in other
authorized farm corporations that directly or indirectly in
combination with the corporation own more than 1,500 acres of
agricultural land.
(f) "Authorized livestock farm corporation" means a
corporation formed for the production of livestock and meeting
the following standards:
(1) it is engaged in the production of livestock other than
dairy cattle;
(2) all its shareholders, other than any estate, are
natural persons, family farm trusts, or family farm
corporations;
(3) it does not have more than one class of shares;
(4) its revenue from rent, royalties, dividends, interest,
and annuities does not exceed 20 percent of its gross receipts;
(5) shareholders holding 75 percent or more of the control,
financial, and capital investment in the corporation are farmers
residing in Minnesota, and at least 51 percent of the required
percentage of farmers are actively engaged in livestock
production;
(6) it does not, directly or indirectly, own or otherwise
have an interest in any title to more than 1,500 acres of
agricultural land; and
(7) none of its shareholders are shareholders in other
authorized farm corporations that directly or indirectly in
combination with the corporation own more than 1,500 acres of
agricultural land.
(g) "Agricultural land" means real estate used for farming
or capable of being used for farming in this state.
(h) "Pension or investment fund" means a pension or
employee welfare benefit fund, however organized, a mutual fund,
a life insurance company separate account, a common trust of a
bank or other trustee established for the investment and
reinvestment of money contributed to it, a real estate
investment trust, or an investment company as defined in United
States Code, title 15, section 80a-3.
(i) "Farm homestead" means a house including adjoining
buildings that has been used as part of a farming operation or
is part of the agricultural land used for a farming operation.
(j) "Family farm partnership" means a limited partnership
formed for the purpose of farming and the ownership of
agricultural land in which the majority of the interests in the
partnership is held by and the majority of the partners are
natural persons, the spouses of persons, or current
beneficiaries of one or more family farm trusts in which the
trustee holds an interest in a family farm partnership related
to each other within the third degree of kindred according to
the rules of the civil law, and at least one of the related
persons is residing on the farm, actively operating the farm, or
the agricultural land was owned by one or more of the related
persons for a period of five years before its transfer to the
limited partnership, and none of the partners are corporations
is a corporation. A family farm partnership does not cease to
qualify as a family farm partnership because of a:
(1) transfer of a partnership interest to a person or
spouse of a person related within the third degree of kindred
according to the rules of civil law to the person making the
transfer or to a family farm trust of which the partner, spouse,
or related person is a current beneficiary; or
(2) distribution from a family farm trust of a partnership
interest to a beneficiary related within the third degree of
kindred according to the rules of civil law to a majority of the
current beneficiaries of the trust, or to a family farm trust of
which the partner, spouse, or related person is a current
beneficiary.
For the purposes of this section, a transfer may be made
with or without consideration, either directly or indirectly,
during life or at death, whether or not in trust, of a
partnership interest in the family farm partnership, and
interest owned by a family farm trust is considered to be owned
in equal shares by the current beneficiaries.
(k) "Authorized farm partnership" means a limited
partnership meeting the following standards:
(1) it has been issued a certificate from the secretary of
state or is registered with the county recorder and farming and
ownership of agricultural land is stated as a purpose or
character of the business;
(2) it has no more than five partners;
(3) all its partners, other than any estate, are natural
persons or family farm trusts;
(4) its revenue from rent, royalties, dividends, interest,
and annuities does not exceed 20 percent of its gross receipts;
(5) its general partners hold at least 51 percent of the
interest in the land assets of the partnership and reside on the
farm or are actively engaging in farming not more than 1,500
acres as a general partner in an authorized limited partnership;
(6) its limited partners do not participate in the business
of the limited partnership including operating, managing, or
directing management of farming operations;
(7) it does not, directly or indirectly, own or otherwise
have an interest in any title to more than 1,500 acres of
agricultural land; and
(8) none of its limited partners are limited partners in
other authorized farm partnerships that directly or indirectly
in combination with the partnership own more than 1,500 acres of
agricultural land.
(l) "Family farm limited liability company" means a limited
liability company founded for the purpose of farming and the
ownership of agricultural land in which the majority of the
membership interests are is held by and the majority of the
members are natural persons or the spouses of persons, or
current beneficiaries of one or more family farm trusts in which
the trustee holds stock an interest in a family farm limited
liability company related to each other within the third degree
of kindred according to the rules of the civil law, and at least
one of the related persons is residing on the farm, actively
operating the farm, or the agricultural land was owned by one or
more of the related persons for a period of five years before
its transfer to the limited liability company, and none of the
members are corporations is a corporation or a limited liability
companies company. A family farm limited liability company does
not cease to qualify as a family farm limited liability company
because of:
(1) a transfer of a membership interest to a person or
spouse of a person related within the third degree of kindred
according to the rules of civil law to the person making the
transfer or to a family farm trust of which the member, spouse,
or related person is a current beneficiary; or
(2) distribution from a family farm trust of a membership
interest to a beneficiary related within the third degree of
kindred according to the rules of civil law to a majority of the
current beneficiaries of the trust, or to a family farm trust of
which the member, spouse, or related person is a current
beneficiary.
For the purposes of this section, a transfer may be made
with or without consideration, either directly or indirectly,
during life or at death, whether or not in trust, of a
membership interest in the family farm limited liability
company, and interest owned by a family farm trust is considered
to be owned in equal shares by the current beneficiaries.
Except for a state or federally chartered financial institution
acquiring an encumbrance for the purpose of security or an
interest under paragraph (x), a member of a family farm limited
liability company may not transfer a membership interest,
including a financial interest, to a person who is not otherwise
eligible to be a member under this paragraph.
(m) "Authorized farm limited liability company" means a
limited liability company meeting the following standards:
(1) it has no more than five members;
(2) all its members, other than any estate, are natural
persons or family farm trusts;
(3) it does not have more than one class of membership
interests;
(4) its revenue from rent, royalties, dividends, interest,
and annuities does not exceed 20 percent of its gross receipts;
(5) members holding 51 percent or more of both the
governance rights and financial rights in the limited liability
company reside on the farm or are actively engaged in farming;
(6) it does not, directly or indirectly, own or otherwise
have an interest in any title to more than 1,500 acres of
agricultural land; and
(7) none of its members are members in other authorized
farm limited liability companies that directly or indirectly in
combination with the authorized farm limited liability company
own more than 1,500 acres of agricultural land.
Except for a state or federally chartered financial
institution acquiring an encumbrance for the purpose of security
or an interest under paragraph (x), a member of an authorized
farm limited liability company may not transfer a membership
interest, including a financial interest, to a person who is not
otherwise eligible to be a member under this paragraph.
(n) "Farmer" means a natural person who regularly
participates in physical labor or operations management in the
person's farming operation and files "Schedule F" as part of the
person's annual Form 1040 filing with the United States Internal
Revenue Service.
(o) "Actively engaged in livestock production" means
performing day-to-day physical labor or day-to-day operations
management that significantly contributes to livestock
production and the functioning of a livestock operation.
(p) "Research or experimental farm" means a corporation,
limited partnership, pension, investment fund, or limited
liability company that owns or operates agricultural land for
research or experimental purposes, provided that any commercial
sales from the operation are incidental to the research or
experimental objectives of the corporation. A corporation,
limited partnership, limited liability company, or pension or
investment fund seeking initial approval by the commissioner to
operate agricultural land for research or experimental purposes
must first submit to the commissioner a prospectus or proposal
of the intended method of operation containing information
required by the commissioner including a copy of any operational
contract with individual participants.
(q) "Breeding stock farm" means a corporation, limited
partnership, or limited liability company, that owns or operates
agricultural land for the purpose of raising breeding stock,
including embryos, for resale to farmers or for the purpose of
growing seed, wild rice, nursery plants, or sod. An entity that
is organized to raise livestock other than dairy cattle under
this paragraph that does not qualify as an authorized farm
corporation must:
(1) sell all castrated animals to be fed out or finished to
farming operations that are neither directly nor indirectly
owned by the business entity operating the breeding stock
operation; and
(2) report its total production and sales annually to the
commissioner.
(r) "Aquatic farm" means a corporation, limited
partnership, or limited liability company, that owns or leases
agricultural land as a necessary part of an aquatic farm as
defined in section 17.47, subdivision 3.
(s) "Religious farm" means a corporation formed primarily
for religious purposes whose sole income is derived from
agriculture.
(t) "Utility corporation" means a corporation regulated
under Minnesota Statutes 1974, chapter 216B, that owns
agricultural land for purposes described in that chapter, or an
electric generation or transmission cooperative that owns
agricultural land for use in its business if the land is not
used for farming except under lease to a family farm unit, a
family farm corporation, a family farm trust, a family farm
partnership, or a family farm limited liability company.
(u) "Development organization" means a corporation, limited
partnership, limited liability company, or pension or investment
fund that has an interest in agricultural land for which the
corporation, limited partnership, limited liability company, or
pension or investment fund has documented plans to use and
subsequently uses the land within six years from the date of
purchase for a specific nonfarming purpose, or if the land is
zoned nonagricultural, or if the land is located within an
incorporated area. A corporation, limited partnership, limited
liability company, or pension or investment fund may hold
agricultural land in the amount necessary for its nonfarm
business operation; provided, however, that pending the
development of agricultural land for nonfarm purposes, the land
may not be used for farming except under lease to a family farm
unit, a family farm corporation, a family farm trust, an
authorized farm corporation, an authorized livestock farm
corporation, a family farm partnership, an authorized farm
partnership, a family farm limited liability company, or an
authorized farm limited liability company, or except when
controlled through ownership, options, leaseholds, or other
agreements by a corporation that has entered into an agreement
with the United States under the New Community Act of 1968
(Title IV of the Housing and Urban Development Act of 1968,
United States Code, title 42, sections 3901 to 3914) as amended,
or a subsidiary or assign of such a corporation.
(v) "Exempt land" means agricultural land owned or leased
by a corporation as of May 20, 1973, agricultural land owned or
leased by a pension or investment fund as of May 12, 1981,
agricultural land owned or leased by a limited partnership as of
May 1, 1988, or agricultural land owned or leased by a trust as
of the effective date of Laws 2000, chapter 477, including the
normal expansion of that ownership at a rate not to exceed 20
percent of the amount of land owned as of May 20, 1973, for a
corporation; May 12, 1981, for a pension or investment fund; May
1, 1988, for a limited partnership, or the effective date of
Laws 2000, chapter 477, for a trust, measured in acres, in any
five-year period, and including additional ownership reasonably
necessary to meet the requirements of pollution control rules.
A corporation, limited partnership, or pension or investment
fund that is eligible to own or lease agricultural land under
this section prior to May 1997, or a corporation that is
eligible to own or lease agricultural land as a benevolent trust
under this section prior to the effective date of Laws 2000,
chapter 477, may continue to own or lease agricultural land
subject to the same conditions and limitations as previously
allowed.
(w) "Gifted land" means agricultural land acquired as a
gift, either by grant or devise, by an educational, religious,
or charitable nonprofit corporation, limited partnership,
limited liability company, or pension or investment fund if all
land so acquired is disposed of within ten years after acquiring
the title.
(x) "Repossessed land" means agricultural land acquired by
a corporation, limited partnership, limited liability company,
or pension or investment fund by process of law in the
collection of debts, or by any procedure for the enforcement of
a lien or claim on the land, whether created by mortgage or
otherwise if all land so acquired is disposed of within five
years after acquiring the title. The five-year limitation is a
covenant running with the title to the land against any grantee,
assignee, or successor of the pension or investment fund,
corporation, limited partnership, or limited liability company.
The land so acquired must not be used for farming during the
five-year period, except under a lease to a family farm unit, a
family farm corporation, a family farm trust, an authorized farm
corporation, an authorized livestock farm corporation, a family
farm partnership, an authorized farm partnership, a family farm
limited liability company, or an authorized farm limited
liability company. Notwithstanding the five-year divestiture
requirement under this paragraph, a financial institution may
continue to own the agricultural land if the agricultural land
is leased to the immediately preceding former owner, but must
dispose of the agricultural land within ten years of acquiring
the title. Livestock acquired by a pension or investment fund,
corporation, limited partnership, or limited liability company
in the collection of debts, or by a procedure for the
enforcement of lien or claim on the livestock whether created by
security agreement or otherwise after August 1, 1994, must be
sold or disposed of within one full production cycle for the
type of livestock acquired or 18 months after the livestock is
acquired, whichever is earlier.
(y) "Commissioner" means the commissioner of agriculture.
(z) "Nonprofit corporation" means a nonprofit corporation
organized under state nonprofit corporation or trust law or
qualified for tax-exempt status under federal tax law that uses
the land for a specific nonfarming purpose or leases the
agricultural land to a family farm unit, a family farm
corporation, an authorized farm corporation, an authorized
livestock farm corporation, a family farm limited liability
company, a family farm trust, an authorized farm limited
liability company, a family farm partnership, or an authorized
farm partnership.
(aa) "Current beneficiary" means a person who at any time
during a year is entitled to, or at the discretion of any person
may, receive a distribution from the income or principal of the
trust. It does not include a distributee trust, other than a
trust described in section 170(c) of the Internal Revenue Code,
as amended, but does include the current beneficiaries of the
distributee trust. It does not include a person in whose favor
a power of appointment could be exercised until the holder of
the power of appointment actually exercises the power of
appointment in that person's favor. It does not include a
person who is entitled to receive a distribution only after a
specified time or upon the occurrence of a specified event until
the time or occurrence of the event. For the purposes of this
section, a distributee trust is a current beneficiary of a
family farm trust.
(bb) "De minimis" means that any corporation, pension or
investment fund, limited liability company, or limited
partnership that directly or indirectly owns, acquires, or
otherwise obtains any interest in 40 acres or less of
agricultural land and annually receives less than $150 per acre
in gross revenue from rental or agricultural production.
Sec. 42. Minnesota Statutes 2002, section 500.24,
subdivision 3a, is amended to read:
Subd. 3a. [LEASE AGREEMENT; CONSERVATION PRACTICE
PROTECTION CLAUSE.] A corporation, pension or investment fund,
limited partnership, or limited liability company other than
those meeting any of the definitions in subdivision 2,
paragraphs (c) to (f) or (j) to (m), when leasing farm land to a
family farm unit, a family farm corporation, a family farm
trust, an authorized farm corporation, an authorized livestock
farm corporation, a family farm partnership, an authorized farm
partnership, a family farm limited liability company, or an
authorized farm limited liability company, under provisions of
subdivision 2, paragraph (x), must include within the lease
agreement a provision prohibiting intentional damage or
destruction to a conservation practice on the agricultural land.
Sec. 43. Minnesota Statutes 2002, section 561.19,
subdivision 1, is amended to read:
Subdivision 1. [DEFINITIONS.] For the purposes of this
section, the following terms have the meanings given them:
(a) "Agricultural operation" means a facility and its
appurtenances for the production of crops, livestock, poultry,
dairy products or poultry products, but not a facility primarily
engaged in processing agricultural products.
(b) "Established date of operation" means the date on which
the agricultural operation commenced. If the agricultural
operation is subsequently expanded or significantly altered, the
established date of operation for each expansion or alteration
is deemed to be the date of commencement of the expanded or
altered operation. As used in this paragraph, "expanded" means
an expansion by at least 25 percent in the number of a
particular kind of animal or livestock located on an
agricultural operation.
"Significantly altered" does not mean:
(1) a transfer of an ownership interest to and held by
persons or the spouses of persons related to each other within
the third degree of kindred according to the rules of civil law
to the person making the transfer so long as at least one of the
related persons is actively operating the farm, or to a family
farm trust under section 500.24;
(2) temporary cessation or interruption of cropping
activities;
(3) adoption of new technologies; or
(4) a change in the crop product produced.
(c) "Generally accepted agricultural practices" means those
practices commonly used by other farmers in the county or a
contiguous county in which a nuisance claim is asserted.
[EFFECTIVE DATE.] This section is effective for actions
commenced on or after August 1, 2004.
Sec. 44. Minnesota Statutes 2002, section 561.19,
subdivision 2, is amended to read:
Subd. 2. [AGRICULTURAL OPERATION NOT A NUISANCE.] (a) An
agricultural operation is not and shall not become a private or
public nuisance after two years from its established date of
operation if the operation was not a nuisance at its established
date of as a matter of law if the operation:
(1) is located in an agriculturally zoned area;
(2) complies with the provisions of all applicable federal,
state, or county laws, regulations, rules, and ordinances and
any permits issued for the agricultural operation; and
(3) operates according to generally accepted agricultural
practices.
(b) An agricultural operation is operating according to
generally accepted agricultural practices if it is located in an
agriculturally zoned area and complies with the provisions of
all applicable federal and state statutes and rules or any
issued permits for the operation.
(c) For a period of two years from its established date of
operation, there is a rebuttable presumption that an
agricultural operation in compliance with the requirements of
paragraph (a), clauses (1) to (3), is not a public or private
nuisance.
(c) The provisions of this subdivision do not apply:
(1) to a condition or injury which results from the
negligent or improper operation of an agricultural operation or
from operations contrary to commonly accepted agricultural
practices or to applicable state or local laws, ordinances,
rules, or permits;
(2) when an agricultural operation causes injury or direct
threat of injury to the health or safety of any person;
(3) to the pollution of, or change in the condition of, the
waters of the state or the overflow of waters on the lands of
any person;
(4) to an animal feedlot facility with a swine capacity of
1,000 or more animal units as defined in the rules of the
Pollution Control Agency for control of pollution from animal
feedlots, or a cattle capacity of 2,500 animals or more; or
(5) (2) to any prosecution for the crime of public nuisance
as provided in section 609.74 or to an action by a public
authority to abate a particular condition which is a public
nuisance; or
(3) to any enforcement action brought by a local unit of
government related to zoning under chapter 394 or 462.
[EFFECTIVE DATE.] This section is effective for actions
commenced on or after August 1, 2004.
Sec. 45. [609.599] [EXPOSING DOMESTIC ANIMALS TO DISEASE.]
Subdivision 1. [GROSS MISDEMEANOR.] (a) A person who
intentionally exposes a domestic animal to an animal disease
contrary to reasonable veterinary practice, or intentionally
puts a domestic animal at risk of quarantine or destruction by
actions contrary to reasonable veterinary practice, is guilty of
a gross misdemeanor.
(b) The provisions of paragraph (a) do not apply to a
person performing academic or industry research on domestic
animals under protocols approved by an institutional animal care
and use committee.
Subd. 2. [CIVIL LIABILITY.] A person who violates
subdivision 1 is liable in a civil action for damages in an
amount three times the value of any domestic animal destroyed
because it has the disease, has been exposed to the disease
agent, or is at high risk of being exposed to the disease agent
because of proximity to diseased animals.
Subd. 3. [DEFINITION.] For purposes of this section,
"domestic animal" means:
(1) those species of animals that live under the husbandry
of humans;
(2) livestock within the meaning of section 35.01,
subdivision 3;
(3) a farm-raised deer, farm-raised game bird, or
farm-raised fish; or
(4) an animal listed as a domestic animal by a rule adopted
by the Department of Agriculture.
Sec. 46. Minnesota Statutes 2002, section 609.605, is
amended by adding a subdivision to read:
Subd. 5. [CERTAIN TRESPASS ON AGRICULTURAL LAND.] (a) A
person is guilty of a gross misdemeanor if the person enters the
posted premises of another on which cattle, bison, sheep, goats,
swine, horses, poultry, farmed cervidae, farmed ratitae,
aquaculture stock, or other species of domestic animals for
commercial production are kept, without the consent of the owner
or lawful occupant of the land.
(b) "Domestic animal," for purposes of this section, has
the meaning given in section 609.599.
(c) "Posted," as used in paragraph (a), means the placement
of a sign at least 11 inches square in a conspicuous place at
each roadway entry to the premises. The sign must provide
notice of a bio-security area and wording such as:
"Bio-security measures are in force. No entrance beyond this
point without authorization." The sign may also contain a
telephone number or a location for obtaining such authorization.
(d) The provisions of this subdivision do not apply to
employees or agents of the state or county when serving in a
regulatory capacity and conducting an inspection on posted
premises where domestic animals are kept.
Sec. 47. [DAIRY PRODUCER PAYMENT REPORT.]
By January 15, 2005, the commissioner shall report to the
senate and house policy and finance committees with jurisdiction
over agriculture on a value-added agriculture program to pay
beginning dairy farmers based on the amount of milk production.
The report shall include suggested language to create the
program.
Sec. 48. [DELAYED PAYMENTS IN 2003.]
Not later than 60 days after the effective date of section
11, the commissioner of agriculture shall pay any producer
denied payment for failure to meet the ownership and reporting
requirements imposed by Laws 2003, chapter 128, article 3,
section 38, the amount to which the producer would have been
otherwise entitled.
Sec. 49. [REPEALER.]
Minnesota Statutes 2002, sections 38.02, subdivision 2; and
38.13, are repealed.
Sec. 50. [EFFECTIVE DATE.]
Sections 1, 13, 36, 37, 38, 39, 40, and 48 are effective
the day following final enactment. Section 28 is effective July
1, 2004.
Presented to the governor May 18, 2004
Signed by the governor May 21, 2004, 10:15 a.m.
Official Publication of the State of Minnesota
Revisor of Statutes