1.1                          A bill for an act
  1.2             relating to agriculture; providing emergency payments 
  1.3             for certain pork producers; appropriating money. 
  1.4   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.5      Section 1.  [PORK PRODUCER SUPPORT PAYMENTS.] 
  1.6      Subdivision 1.  [PURPOSE AND LEGISLATIVE FINDINGS.] The 
  1.7   legislature finds that pork producers are of vital importance to 
  1.8   the economic health and viability of rural Minnesota and that 
  1.9   these producers are experiencing a time of crisis because 
  1.10  current prices received for hogs are well below minimum costs of 
  1.11  production.  The legislature further finds that it is a valid 
  1.12  public purpose to make direct cash payments to pork producers 
  1.13  during this temporary period of historically low prices. 
  1.14     Subd. 2.  [DEFINITIONS.] (a) The definitions in this 
  1.15  subdivision apply to sections 1 and 2. 
  1.16     (b) "Commissioner" means the commissioner of agriculture. 
  1.17     (c) "Producer" means an operating entity that directly owns 
  1.18  and markets feeder pigs or market weight hogs for slaughter.  
  1.19  "Producer" includes a family farm, a family farm corporation, an 
  1.20  authorized farm corporation, and an authorized livestock farm 
  1.21  corporation as these terms are defined in Minnesota Statutes 
  1.22  1998, section 500.24, subdivision 2.  "Producer" does not 
  1.23  include individual stockholders or shareholders of a family farm 
  1.24  corporation, an authorized farm corporation, or an authorized 
  2.1   livestock farm corporation unless the person has another basis 
  2.2   for qualifying as a producer. 
  2.3      Subd. 3.  [APPLICATION FOR SUPPORT PAYMENT.] A producer may 
  2.4   apply to the commissioner for an emergency support payment.  
  2.5   Application must be made by June 30, 1999, on a form provided by 
  2.6   the commissioner.  Documentation required by the commissioner, 
  2.7   including copies of livestock sales slips, must accompany the 
  2.8   application. 
  2.9      Subd. 4.  [BASIS FOR PAYMENT; MAXIMUM PAYMENT AMOUNT.] (a) 
  2.10  The maximum support payment to a producer is $10,000. 
  2.11     (b) For a producer that operates a farrow-to-finish 
  2.12  operation, the payment amount is calculated by multiplying $20 
  2.13  by the number of market weight slaughter hogs sold, but not 
  2.14  exceeding 500, by the producer between July 1, 1998, and 
  2.15  December 31, 1998. 
  2.16     (c) For a producer that operates a feeder pig operation, 
  2.17  the payment amount is calculated by multiplying $6 by the number 
  2.18  of feeder pigs sold, but not exceeding 500, by the producer 
  2.19  between July 1, 1998, and December 31, 1998. 
  2.20     (d) For a producer that operates a hog-finishing operation, 
  2.21  the payment amount is calculated by multiplying $14 by the 
  2.22  number of market weight slaughter hogs sold, but not exceeding 
  2.23  500, by the producer between July 1, 1998, and December 31, 1998.
  2.24     Subd. 5.  [PAYMENTS TO PRODUCERS.] Not later than 60 days 
  2.25  after receipt of a properly completed application, the 
  2.26  commissioner shall make payments to producers from money 
  2.27  appropriated for that purpose. 
  2.28     Sec. 2.  [APPROPRIATION.] 
  2.29     $....... is appropriated from the general fund to the 
  2.30  commissioner of agriculture for fiscal year 2000 for purposes of 
  2.31  making emergency payments to pork producers under section 1.  Of 
  2.32  this amount, up to $40,000 is available to the commissioner for 
  2.33  administration of the emergency payment program. 
  2.34     Sec. 3.  [EFFECTIVE DATE.] 
  2.35     Sections 1 and 2 are effective the day following final 
  2.36  enactment.