1.1                          A bill for an act 
  1.2             relating to county agricultural societies; providing 
  1.3             indexed funding levels for exhibitor awards; 
  1.4             appropriating money; amending Minnesota Statutes 2000, 
  1.5             section 38.02, subdivision 1. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2000, section 38.02, 
  1.8   subdivision 1, is amended to read: 
  1.9      Subdivision 1.  [PRO RATA DISTRIBUTION; CONDITIONS.] 
  1.10  (1) (a) An amount calculated under paragraph (b) is annually 
  1.11  appropriated from the general fund to the commissioner of 
  1.12  agriculture for purposes of this section. 
  1.13     (b) The amount appropriated in fiscal year 2002 is 
  1.14  $533,000.  The amount appropriated in each subsequent year must 
  1.15  be calculated by multiplying $533,000 by the cumulative 
  1.16  inflation rate as determined by the United States All-Items 
  1.17  Consumer Price Index. 
  1.18     (c) Money appropriated to aid county and district 
  1.19  agricultural societies and associations shall be distributed 
  1.20  among all county and district agricultural societies or 
  1.21  associations in the state pro rata, upon condition that each of 
  1.22  them has complied with the conditions specified in clause 
  1.23  (2) paragraph (d). 
  1.24     (2) (d) To be eligible to participate in such a 
  1.25  distribution under paragraph (c), each such an agricultural 
  2.1   society or association (a) shall must:  (1) have held an annual 
  2.2   fair for each of the three years last past, unless prevented 
  2.3   from doing so because of a calamity or an epidemic declared by 
  2.4   the board of health as defined in section 145A.02, subdivision 
  2.5   2, or the state commissioner of health to exist; (b) shall (2) 
  2.6   have an annual membership of 25 or more; (c) shall (3) have paid 
  2.7   out to exhibitors for premiums awarded at the last fair held a 
  2.8   sum not less than the amount to be received from the state; (d) 
  2.9   shall (4) have published and distributed not less than three 
  2.10  weeks before the opening day of the fair a premium list, listing 
  2.11  all items or articles on which premiums are offered and the 
  2.12  amounts of such premiums and shall have paid premiums pursuant 
  2.13  to the amount shown for each article or item to be exhibited; 
  2.14  provided that premiums for school exhibits may be advertised in 
  2.15  the published premium list by reference to a school premium list 
  2.16  prepared and circulated during the preceding school year; and 
  2.17  shall have collected all fees charged for entering an exhibit at 
  2.18  the time the entry was made and in accordance with schedule of 
  2.19  entry fees to be charged as published in the premium list; (e) 
  2.20  shall (5) have paid not more than one premium on each article or 
  2.21  item exhibited, excluding championship or sweepstake awards, and 
  2.22  excluding the payment of open class premium awards to 4H Club 
  2.23  exhibits which at this same fair had won a first prize award in 
  2.24  regular 4H Club competition; (f) shall and (6) have submitted 
  2.25  its records and annual report to the commissioner of agriculture 
  2.26  on a form provided by the commissioner of agriculture, on or 
  2.27  before the first day of November of the current year. 
  2.28     (3) (e) All payments authorized under the provisions of 
  2.29  this chapter shall be made only upon the presentation by the 
  2.30  commissioner of agriculture with the commissioner of finance of 
  2.31  a statement of premium allocations.  As used herein the term 
  2.32  premium shall mean the cash award paid to an exhibitor for the 
  2.33  merit of an exhibit of livestock, livestock products, grains, 
  2.34  fruits, flowers, vegetables, articles of domestic science, 
  2.35  handicrafts, hobbies, fine arts, and articles made by school 
  2.36  pupils, or the cash award paid to the merit winner of events 
  3.1   such as 4H Club or Future Farmer Contest, Youth Group Contests, 
  3.2   school spelling contests and school current events contests, the 
  3.3   award corresponding to the amount offered in the advertised 
  3.4   premium list referred to in schedule 2.  Payments of awards for 
  3.5   horse races, ball games, musical contests, talent contests, 
  3.6   parades, and for amusement features for which admission is 
  3.7   charged, are specifically excluded from consideration as 
  3.8   premiums within the meaning of that term as used herein.  Upon 
  3.9   receipt of the statement by the commissioner of agriculture, it 
  3.10  shall be the duty of the commissioner of finance to draw a 
  3.11  voucher in favor of the agricultural society or association for 
  3.12  the amount to which it is entitled under the provisions of this 
  3.13  chapter, which amount shall be computed as follows:  On the 
  3.14  first $750 premiums paid by each society or association, such 
  3.15  society or association shall receive 100 percent reimbursement; 
  3.16  on the second $750 premiums paid, 80 percent; on the third $750 
  3.17  premiums paid, 60 percent; and on any sum in excess of $2,250, 
  3.18  40 percent. 
  3.19     (4) (f) If the total amount of state aid to which the 
  3.20  agricultural societies and associations are entitled under the 
  3.21  provisions of this chapter exceeds the amount of the 
  3.22  appropriation therefor, the amounts to which the societies or 
  3.23  associations are entitled shall be prorated so that the total 
  3.24  payments by the state will not exceed the appropriation.