1997 Minnesota Statutes

     17.101 Promotional activities. 

    Subdivision 1.    Departmental duties.  For the purposes 
 of expanding, improving, and developing production and marketing 
 of products of Minnesota agriculture, the commissioner shall 
 encourage and promote the production and marketing of these 
 products by means of:  

    (a) advertising Minnesota agricultural products; 

    (b) assisting state agricultural commodity organizations; 

    (c) developing methods to increase processing and marketing 
 of agricultural commodities including commodities not being 
 produced in Minnesota on a commercial scale, but which may have 
 economic potential in national and international markets; 

    (d) investigating and identifying new marketing technology 
 and methods to enhance the competitive position of Minnesota 
 agricultural products; 

    (e) evaluating livestock marketing opportunities; 

    (f) assessing and developing national and international 
 markets for Minnesota agricultural products; 

    (g) studying the conversion of raw agricultural products to 
 manufactured products including ethanol; 

    (h) hosting the visits of foreign trade teams to Minnesota 
 and defraying the teams' expenses; 

    (i) assisting Minnesota agricultural businesses desiring to 
 sell their products; 

    (j) conducting research to eliminate or reduce specific 
 production or technological barriers to market development and 
 trade; and 

    (k) other activities the commissioner deems appropriate to 
 promote Minnesota agricultural products, provided that the 
 activities do not duplicate programs or services provided by the 
 Minnesota trade division or the Minnesota world trade center 
 corporation. 

    Subd. 2.    Agricultural development grants and contracts. 
  In order to carry out the duties in subdivision 1, the 
 commissioner, in addition to whatever other resources the 
 department may commit, shall make grants and enter into 
 contracts to fulfill the obligations of subdivision 1.  The 
 commissioner may enter into partnerships or seek gifts to carry 
 out subdivision 1.  The commissioner may contract with, among 
 others, agricultural commodity organizations, the University of 
 Minnesota, and agriculture related businesses to fulfill the 
 duties.  The commissioner shall make permanent rules for the 
 administration of these grants and contracts.  The rules shall 
 specify at a minimum:  

    (a) eligibility criteria; 

    (b) application procedures; 

    (c) provisions for application review and project approval; 

    (d) provisions for program monitoring and review for all 
 approved grants and contracts; and 

    (e) other provisions the commissioner finds necessary.  

    Contracts entered into by the commissioner pursuant to this 
 subdivision shall not exceed 75 percent of the cost of the 
 project supported by the commissioner's grant.  In any biennium, 
 no organization shall receive more than $70,000 in grants from 
 the commissioner.  

    Subd. 3.    Audits.  The books, records, documents, and 
 accounting procedures and practices of any organization 
 receiving a grant or contract from the commissioner under the 
 provisions of subdivision 2 shall be subject to examination by 
 the department.  The commissioner may prescribe uniform methods 
 of accounting to be used by grant or contract recipients.  

    Subd. 4.    Advisory group.  The commissioner may 
 establish an ad hoc advisory group to assist in evaluating grant 
 requests made under subdivision 2. 

    Subd. 5.    Value-added agricultural livestock processing 
 and marketing grant program.  (a) For purposes of this 
 section, "livestock or dairy processing facility" means land, 
 buildings, structures, fixtures, and improvements located or to 
 be located in Minnesota and used or operated primarily for the 
 processing or production of marketable products from 
 agricultural livestock or dairy commodities produced.  

    (b) The commissioner shall establish and implement a 
 value-added agricultural livestock and dairy processing and 
 marketing grant program to help farmers finance new cooperatives 
 that organize for the purposes of operating livestock and dairy 
 processing facilities and for marketing activities related to 
 the sale and distribution of processed livestock and dairy 
 products.  

    (c) To be eligible for this program a grantee must:  

    (1) be a cooperative organized under chapter 308A; 

    (2) certify that all of the control and equity in the 
 cooperative is from farmers as defined in section 500.24, 
 subdivision 2, who are actively engaged in livestock or dairy 
 production; 

    (3) be operated primarily for the processing of livestock 
 or dairy produced in Minnesota; 

    (4) receive livestock or dairy produced primarily by 
 shareholders or members of the cooperative; and 

    (5) have no direct or indirect involvement in the 
 production of livestock and dairy.  

    (d) The commissioner may receive applications from and make 
 grants up to $50,000 for feasibility, marketing analysis, and 
 predesign of facilities to eligible cooperatives.  The 
 commissioner shall give priority to applicants who use the 
 grants for planning costs related to an application for 
 financial assistance from the United States Department of 
 Agriculture, Rural Business - Cooperative Service. 

    HIST: 1963 c 486 s 1; 1983 c 293 s 29; 1984 c 640 s 32; 1986 c 
 444; 1987 c 312 art 1 s 12; 1987 c 396 art 10 s 2; 1995 c 233 
 art 2 s 56; 1997 c 216 s 19