1.1                          A bill for an act
  1.2             relating to agriculture; enhancing markets for dairy 
  1.3             and other nutritional products; regulating the 
  1.4             availability and sale of certain beverages in public 
  1.5             schools; prohibiting certain provisions in contracts 
  1.6             between beverage vendors and schools or school 
  1.7             districts; amending Minnesota Statutes 2002, section 
  1.8             123B.02, by adding a subdivision. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 2002, section 123B.02, is 
  1.11  amended by adding a subdivision to read: 
  1.12     Subd. 21.  [NUTRITIONAL BEVERAGE SALES; RESTRICTIONS; 
  1.13  CONTRACTS WITH DISTRIBUTORS.] (a) The definitions in this 
  1.14  paragraph apply to this subdivision. 
  1.15     (1) "Nutritional beverage" means one of the following 
  1.16  noncarbonated packaged products: 
  1.17     (i) milk, skim milk, or lowfat milk as defined in section 
  1.18  32.391, subdivision 1a, 1b, or 1c, or a product that contains 
  1.19  100 percent fluid milk, including flavored milk; 
  1.20     (ii) a fluid product that contains milk and provides at 
  1.21  least 20 percent of the United States Food and Drug 
  1.22  Administration recommended daily value of calcium per serving; 
  1.23     (iii) fruit drinks that contain at least 50 percent fruit 
  1.24  juice and no added sweeteners; 
  1.25     (iv) electrolyte replacement beverages that contain no more 
  1.26  than 42 grams of added sweetener per 20 ounce serving; or 
  1.27     (v) noncarbonated drinking water. 
  2.1      (2) "School" means a public school building or the portion 
  2.2   of a building that includes classrooms and educational 
  2.3   facilities for students in kindergarten through grade 12.  
  2.4   "School" also means the management and administrative function 
  2.5   of a public school building. 
  2.6      (b) A school or school district that allows the sale of 
  2.7   packaged beverages to students in a school during the school day 
  2.8   must implement policies that encourage students to drink milk 
  2.9   and other nutritional beverages. 
  2.10     (c) Nutritional beverages may not be sold or offered for 
  2.11  sale in a school at a price per unit volume that is greater than 
  2.12  the unit volume price of packaged products that are not 
  2.13  nutritional beverages. 
  2.14     (d) A school or school district must not enter into a 
  2.15  contract with a beverage vending service or beverage distributor 
  2.16  that: 
  2.17     (1) provides for the exclusive sale of a beverage brand; 
  2.18     (2) prohibits the sale, service, or dispensing of 
  2.19  competitive beverage products; 
  2.20     (3) includes sale incentives based on the quantity of 
  2.21  nonnutritional beverages sold per student; or 
  2.22     (4) limits the ability of the school or the school district 
  2.23  to control the number and location of vending machines in the 
  2.24  school or on school property. 
  2.25     Sec. 2.  [EFFECTIVE DATE.] 
  2.26     (a) Section 1 is effective July 1, 2003, except as provided 
  2.27  in paragraphs (b) and (c). 
  2.28     (b) For a school or school district that is not under 
  2.29  contract with a beverage vending service or beverage distributor 
  2.30  on July 1, 2003, section 1, paragraph (d), is effective July 1, 
  2.31  2003. 
  2.32     (c) For a school or school district that is under contract 
  2.33  with a beverage vending service or beverage distributor on July 
  2.34  1, 2003, section 1, paragraph (d), is effective upon expiration 
  2.35  of that contract.