CREATE DEPARTMENT OF AGRICULTURE

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HOUSE BILL NO. 140

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - FIRST SESSION

BY THE HOUSE LABOR AND COMMERCE COMMITTEE

Introduced: 3/17/25
Referred: Resources, Finance

A BILL

FOR AN ACT ENTITLED

"An Act establishing the Department of Agriculture; relating to the establishment of the 1
Department of Agriculture; transferring functions of the Depart ment of Natural 2
Resources related to agriculture to the Department of Agricultu re; and providing for an 3
effective date." 4
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 5
* Section 1. AS 03.05.010 is amended to read: 6
Sec. 03.05.010. Powers and duties of commissioner of agricultur e 7
[NATURAL RESOURCES]. (a) The commissioner of agriculture [NATURAL 8
RESOURCES] shall 9
(1) direct, administer, and supe rvise promotional and experime ntal 10
work, extension services, and ag ricultural projects for the pur pose of promoting and 11
developing commercial and nonco mmercial agricultural industry i n the state, 12
including horticulture, dairying, cattle raising, fur farming, grain production, vegetable 13
production, and agricultural products; 14
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(2) procure and preserve all information pertaining to develop ing the 1
agricultural industry in the state and disseminate that information to the public; 2
(3) assist prospective settlers and others to engage in the ag ricultural 3
industry in the state by providi ng information about activities and programs essential 4
to developing the agricultural industry and areas in the state that are suitable for 5
agriculture; 6
(4) review the marketing, finan cing, transportation, and devel opment 7
of agricultural products in the state, with special emphasis on local production, and 8
negotiate for the marketing of agricultural products of the sta te with federal and state 9
agencies operating in the state; 10
(5) regulate and control the entry in the state and the transp ortation, 11
sale, or use in the state of pla nts, seeds, vegetables, shell e ggs, fruits and berries, 12
nursery stock, animal feeds, rem edies and mineral supplements, fertilizers, and 13
agricultural chemicals to prevent the spread of pests, diseases , or toxic substances 14
injurious to the public interest and protect the agricultural i ndustry against fraud, 15
deception, and misrepresentation; f or purposes of this paragrap h, the commissioner 16
may require registration, inspec tion, and testing and may estab lish procedures and 17
fees; 18
(6) regulate the farming of elk in a manner similar to the man ner in 19
which the commissioner regulates domestic animals and livestock , to the extent that is 20
appropriate; 21
(7) adopt regulations relating to industrial hemp, including r egulations 22
that 23
(A) specify approved sources or varieties of hemp seed to be 24
grown, sold, or offered for sale by an individual registered to produce 25
industrial hemp; 26
( B ) r e q u i r e t e s t i n g , p a i d f o r b y t h e r e g i s t r a n t , f o r d e l t a - 9 -27
tetrahydrocannabinol concentration following harvest of the industrial hemp; 28
(C) provide for general pr oduction practices to avoid the 29
unintended distribution of industr ial hemp seeds by registrants i n t o 30
nonagricultural land; 31
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(D) establish isolation distances for the production of indust rial 1
hemp; in this subparagraph, "isolation distance" means the mini mum 2
separation required between two o r more varieties of the plant (genus) 3
Cannabis for the purpose of keeping the seed pure; 4
(E) permit manufacturing and retail sale of industrial hemp an d 5
products made from industrial hemp; 6
(F) establish a registration and renewal procedure for a 7
participant in the industrial hemp program developed under AS 03.05.076; 8
(8) submit a list of individuals registered to produce industr ial hemp 9
under AS 03.05.076 and the expiration dates of the registration s to the Marijuana 10
Control Board and the Department of Public Safety; 11
(9) regulate the labeling of seed that does not comply with th e 12
requirements of AS 03.20.130. 13
(b) To carry out the requirements of this title, the commissio ner of 14
agriculture [NATURAL RESOURCES] may issue orders, regulations, quarantines , 15
and embargoes relating to 16
(1) examination and inspection of premises containing products , 17
articles, and commodities carrying pests; 18
(2) establishment of quarantines for eradication of pests; 19
(3) establishment of standards and labeling requirements perta ining to 20
the sale of agricultural and vegetable seeds; 21
(4) tests and analyses that may be made and hearings that may be held 22
to determine whether the commissioner will issue a stop order or quarantine; 23
(5) cooperation with federal and other state agencies; and 24
(6) industrial hemp. 25
(c) The commissioner of agriculture [NATURAL RESOURCES] shall notify 26
the Marijuana Control Board and the Department of Public Safety when the 27
commissioner issues a stop order. The commissioner of agriculture [NATURAL 28
RESOURCES] 29
(1) shall issue a stop order to a person 30
(A) not registered under AS 03.05.076 who is found to be 31
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producing a plant with delta-9-tetrahydrocannabinol; or 1
(B) registered under AS 03.05.076 who is found to be 2
producing a plant with delta-9-tetrahydrocannabinol over one percent; and 3
(2) may issue a stop order to a person registered under AS 03. 05.076 4
who is found to be producing a plant with delta-9-tetrahydrocan nabinol between 0.3 5
percent and one percent. 6
(d) The commissioner of agriculture [ N A T U R A L R E S O U R C E S ] m a y s e l l 7
promotional merchandise related to the "Alaska Grown" trademark and may charge or 8
collect a fee for the sale of promotional merchandise related t o the "Alaska Grown" 9
trademark. The commissioner may issue a license and charge a li cense fee for the sale 10
of promotional merchandise related to the "Alaska Grown" tradem ark. The 11
commissioner shall price merchandise sold by the commissioner u nder this subsection 12
in a manner that ensures a reasonable monetary return to the st ate. To the extent 13
practicable, the commissioner sh all sell only merchandise produ ced or manufactured 14
in the United States that, subject to AS 36.30, is procured from either an Alaska bidder 15
or a person that employs prisoners under AS 33.30.191(b). 16
* Sec. 2. AS 03.05.027(a) is amended to read: 17
(a) The commissioner of agriculture [NATURAL RESOURCES] shall 18
employ or appoint a state coordi nator for noxious weed, invasiv e plant, and 19
agricultural pest management and education. 20
* Sec. 3. AS 03.05.040(b) is amended to read: 21
(b) In this section, "commissioner" means commissioner of agriculture 22
[NATURAL RESOURCES] with respect to those products over which t he 23
commissioner of agriculture [NATURAL RESOURCES] has jurisdiction under this 24
title, and the commissioner of environmental conservation with respect to those 25
products over which the commissione r of environmental conservat ion has jurisdiction 26
under this title. 27
* Sec. 4. AS 03.05.050(b) is amended to read: 28
(b) In this section, "commissioner" means commissioner of agriculture 29
[NATURAL RESOURCES] with respect to those products over which t he 30
commissioner of agriculture [NATURAL RESOURCES] has jurisdiction under this 31
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title, and the commissioner of environmental conservation with respect to those 1
products over which the commissione r of environmental conservat ion has jurisdiction 2
under this title. 3
* Sec. 5. AS 03.05.075(a) is amended to read: 4
( a ) E lk may be r a is e d an d b r e d a s d o me s tic s to c k f o r c o mme rc ial purposes, 5
including the sale of meat, by a person who lawfully owns the e lk and who holds a 6
current valid elk farming license. The commissioner of agriculture [NATURAL 7
RESOURCES] may issue an elk farming license for the farming of e l k t o a p e r s o n 8
who applies on a form provided by the commissioner, pays the bi ennial elk farming 9
license fee, and proves to the satisfaction of the commissioner that the person lawfully 10
owns the elk, intends to raise and breed elk, and possesses fac ilities for maintaining 11
the elk under positive control. Before issuing or renewing an e lk farming license, the 12
commissioner shall conduct a physic al inspection of the elk far ming facilities and 13
determine that the facilities are in good repair and comply wit h the fencing standards 14
established under (d) of this section. In this subsection, "law fully owns" means 15
ownership that was obtained wit hout violating a state or federa l law or regulation or a 16
condition of a license or permit issued with respect to elk. 17
* Sec. 6. AS 03.05.075(b) is amended to read: 18
(b) The commissioner of agriculture [NATURAL RESOURCES] shall 19
provide to the Department of Fish and Game a copy of each appli cation for an elk 20
farming license received by the commissioner and each elk farmi ng license issued by 21
the commissioner. 22
* Sec. 7. AS 03.05.075(d) is amended to read: 23
(d) The commissioner of agriculture [NATURAL RESOURCES] shall 24
establish fencing standards for elk farming facilities to maint ain elk under positive 25
control. Proposed fencing standards shall be submitted to the commissioner of fish and 26
game for review before the standards are adopted or amended. 27
* Sec. 8. AS 03.05.075(e) is amended to read: 28
(e) Notwithstanding other provisions of law, a license or permit is not required 29
from the Department of Fish and Ga me in order to import, export , or possess elk for 30
the purpose of elk farming. Elk imported, exported, or possessed for the purpose of elk 31
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farming are subject to the provisions of this title and regulat ions adopted under this 1
title by the commissioner of agriculture [NATURAL RESOURCES] or the 2
commissioner of environmental c onservation for domestic animals and livestock, to 3
the extent they are made applicable to elk by the commissioners. 4
* Sec. 9. AS 03.05.090(a) is amended to read: 5
(a) A person who violates a provision of this chapter or a reg ulation, order, or 6
quarantine made under authority of this chapter, or violates a provision of a permit 7
issued under this chapter, or s ells seeds failing to meet the l abeling requirements, 8
standards, and tests provided f or by regulation of the commissi oner of agriculture 9
[NATURAL RESOURCES] or the commissioner of environmental conser vation is 10
guilty of a class A misdemeanor for each offense. 11
* Sec. 10. AS 03.09.020(a) is amended to read: 12
(a) The commissioner of [DIRECTOR OF THE DIVISION OF THE 13
DEPARTMENT WITH RESPONSIBILITY FOR] agriculture or the commissioner's 14
designee shall serve as the director of the Board of Agriculture and Conservation. The 15
director may employ staff and, as directed by the board, is res ponsible for the daily 16
operations of the agricultural revolving loan fund (AS 03.10.040). 17
* Sec. 11. AS 03.20.140 is amended to read: 18
Sec. 03.20.140. Online publication of noncommercial giving or e xchanging 19
of seed. A person involved in noncommercia l giving or exchanging of see d under 20
AS 03.20.110 and 03.20.120 may register online with the departm ent under 21
AS 44.38.020(b) [AS 44.37.030(b)] and submit to t he department information, 22
including the person's name, telephone number, and electronic m ail address, and the 23
location where the person gives or exchanges seed, for publication on the department's 24
Internet website. 25
* Sec. 12. AS 03.20.200(a) is amended to read: 26
( a ) T h e [ D I VI SI O N O F T H E ] d e p a r t m e n t [ WI T H R E S P O N SI BI L I T Y F O R 27
AGRICULTURE] shall establish a forgivable loan program in regulation, under which 28
a recipient's loan may be forgiven by the department if the rec ipient implements a 29
business plan approved by the de partment to develop or make imp rovements to the 30
recipient's farm as described in (d) of this section. A loan ma y be used by a recipient 31
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to fund investments in agriculture to build resiliency in the s tate's food supply. The 1
forgivable loan program must allo w a loan to be forgiven if the recipient implements 2
the approved business plan and demonstrates a subsequent increase in food production 3
and distribution. 4
* Sec. 13. AS 03.22.010 is amended to read: 5
Sec. 03.22.010. Establishment of plant materials center. The Department of 6
Agriculture [NATURAL RESOURCES], in cooperation with the college or 7
department of the University of Alaska responsible for the Agri cultural and Forestry 8
Experiment Station, shall establish and maintain a plant materials center. 9
* Sec. 14. AS 03.22.040 is amended to read: 10
Sec. 03.22.040. Personnel. The department shall ensure that competent 11
professional, secretarial, and subprofessional personnel necessary to carry on the work 12
of the center are employed. The administrator of the plant mate rials center is a joint 13
appointment between the Department of Agriculture [NATURAL RESOURCES] and 14
the college or department of the University of Alaska responsib le for the Agricultural 15
and Forestry Experiment Station. 16
* Sec. 15. AS 03.47.020 is amended to read: 17
Sec. 03.47.020. Importation of bees. All bees imported into the state shall be 18
accompanied by a health certificate that states that the bees c ome from an apiary 19
apparently free of bee diseases and that is signed by an apiary inspector determined to 20
be qualified by the department [DIVISION]. 21
* Sec. 16. AS 03.47.030(a) is amended to read: 22
(a) The department [DIVISION] shall investigate reported cases of diseased 23
bees and cases of diseased bees discovered by the department [DIVISION]. 24
* Sec. 17. AS 03.47.030(b) is amended to read: 25
(b) The department [DIVISION] shall take action necessary to prevent the 26
spread of bee diseases. Bees or used beekeeping equipment found to contain the 27
causative organisms of American foulbrood (Bacillus larvae) or European foulbrood 28
(Streptococcus pluton) shall be immediately quarantined and tre ated within five days 29
by 30
(1) chamber fumigation using et hylene oxide or other gases app roved 31
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by the department [DIVISION]; 1
(2) sterilization by boiling in lyewater for at least 15 minutes; or 2
(3) destruction of bees, bee combs, and frames by burning foll owed by 3
burying 18 inches deep. 4
* Sec. 18. AS 03.47.030(d) is amended to read: 5
(d) A quarantine imposed under this section may not be removed until infected 6
bees and used beekeeping equipment are destroyed or the department [DIVISION] 7
determines through testing that the used beekeeping equipment is free of the disease. 8
* Sec. 19. AS 03.47.030(e) is amended to read: 9
(e) The department [DIVISION] shall adopt regulations necessary to carry 10
out the purposes of this chapter. 11
* Sec. 20. AS 03.90.010 is amended to read: 12
Sec. 03.90.010. Definitions. In this title, unless otherwise indicated, 13
(1) "commissioner" means the commissioner of agriculture 14
[NATURAL RESOURCES]; 15
(2) "department" means the Department of Agriculture [NATURAL 16
RESOURCES]. 17
* Sec. 21. AS 09.45.235(a) is amended to read: 18
(a) An agricultural facility or an agricultural operation at a n agricultural 19
facility is not and does not become a private nuisance as a res u l t o f a c h a n g e d 20
condition that exists in the area of the agricultural facility if the agricultural facility 21
was not a nuisance at the time the agricultural facility began agricultural operations. 22
For purposes of this subsection, the time an agricultural facil ity began agricultural 23
operations refers to the date on which any type of agricultural operation began on that 24
site regardless of any subsequent expansion of the agricultural facility or adoption of 25
new technology. An agricultural facility or an agricultural ope ration at an agricultural 26
facility is not a private nuisance if the governing body of the local soil and water 27
conservation district advises the commissioner of agriculture in writing that the 28
facility or operation is consistent with a soil conservation pl an developed and 29
implemented in cooperation with the district. 30
* Sec. 22. AS 14.40.450 is amended to read: 31
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Sec. 14.40.450. Governor authorized to make certificates to obt ain federal 1
grants of money. The governor is authorized to ma ke all certificates required by law 2
or the regulations of the United States Department of Agriculture or of the United 3
States Department of the Interior necessary to be made to entitle the state to grants of 4
money for the benefits of state colleges of agriculture and mec hanic arts authorized 5
under any Act of Congress. 6
* Sec. 23. AS 16.20.310(c) is amended to read: 7
(c) The commissioner shall devel op and amend the game manageme nt plan to 8
coordinate, as closely as possible, the game management plan with the activities of the 9
Department of Agriculture [ N A T U R A L R E S O U R C E S ] r e l a t i n g t o t h e B i g D e l t a 10
agricultural development project. 11
* Sec. 24. AS 27.19.030(b) is amended to read: 12
(b) In reviewing a reclamation plan for state, federal, or mun icipal land under 13
(a) of this section, the commissioner may consider, after consu ltation with the 14
commissioners of environmental conservation , agriculture, and fish and game and 15
with the concurrence of the min er and landowner, uses to which the land may be put 16
after mining has been completed, including trails, lakes, recre ation sites, fish and 17
wildlife enhancement, commercial, and agriculture uses. 18
* Sec. 25. AS 37.05.146(c)(78) is amended to read: 19
(78) fees collected by the Department of Agriculture [NATURAL 20
RESOURCES] under AS 03.05.010(d); 21
* Sec. 26. AS 38.04.020(g) is amended to read: 22
(g) After July 1 of each year, the commissioner shall direct t he expenditure of 23
money appropriated for the disposal of land in response to requ ests made under (e) 24
and (f) of this section for the following: 25
(1) land designated as suitable for homestead disposal shall b e 26
classified and surveyed under this chapter and AS 38.05 and mad e available for 27
staking and lease under AS 38.09; 28
(2) land designated as suitabl e for subdivision and homesite d isposal 29
shall be surveyed, subdivided, classified, and disposed of unde r this chapter, 30
AS 38.05, and AS 38.08; 31
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(3) land designated commercia l, industrial, or suitable for ot her 1
disposal shall be sold under AS 38.05.055 or 38.05.057; 2
(4) land designated agricultural shall be disposed of under 3
AS 38.05.055 - 38.05.065, except the commissioner of agriculture [BOARD OF 4
AGRICULTURE AND CONSERVATION (AS 03.09.010)] shall receive noti ce of 5
each proposed disposal and be given an opportunity to comment b efore the final 6
disposal decision is made. 7
* Sec. 27. AS 38.04.030 is amended to read: 8
Sec. 38.04.030. Land availability programs. Programs that may be used by 9
the director to make the state's land surface available for pri vate use under 10
AS 38.04.020 - 38.04.055 include sale of whole or partial right s to the fee simple 11
estate, including conveyance of agricultural use rights; leasin g; open-to-entry; 12
homesiting; homesteading; permitting for construction and occup ation of cabins in 13
isolated locations on land retain ed in state ownership; and oth er methods as provided 14
by law. However, agricultural use rights may be conveyed only a fter consulting with 15
the commissioner of agriculture [BOARD OF AGRICULTURE AND 16
CONSERVATION]. 17
* Sec. 28. AS 38.05.020(b) is amended to read: 18
(b) The commissioner may 19
(1) establish reasonable proce dures and adopt reasonable regul ations 20
necessary to carry out this chapter and, whenever necessary, is sue directives or orders 21
to the director to carry out sp ecific functions and duties; reg ulations adopted by the 22
commissioner shall be adopted unde r AS 44.62 (Administrative Pr ocedure Act); 23
orders by the commissioner classifying land, issued after Janua ry 3, 1959, are not 24
required to be adopted under AS 44.62 (Administrative Procedure Act); 25
(2) enter into agreements consid ered necessary to carry out th e 26
purposes of this chapter, including agreements with federal and state agencies; 27
(3) review any order or action of the director; 28
(4) exercise the powers and do the acts necessary to carry out the 29
provisions and objectives of this chapter; 30
(5) notwithstanding the provisi ons of any other section of thi s chapter, 31
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grant an extension of the time within which payments due on any exploration license, 1
lease, or sale of state land, minerals, or materials may be mad e, including payment of 2
rental and royalties, on a finding that compliance with the req uirements is or was 3
prevented by reason of war, riots, or acts of God; 4
(6) classify tracts for agricultural uses; 5
(7) after consulting with the commissioner of agriculture [BOARD 6
OF AGRICULTURE AND CONSERVAT ION (AS 03.09.010)], waive, postpon e, or 7
otherwise modify the developmen t requirements of a contract for the sale of 8
agricultural land if 9
(A) the land is inaccessible by road; or 10
(B) transportation, marketing, and development costs render 11
the required development uneconomic; 12
(8) reconvey or relinquish land or an interest in land to the federal 13
government if 14
(A) the land is described in an amended application for an 15
allotment under 43 U.S.C. 1617; and 16
(B) the reconveyance or relinquishment is 17
(i) for the purposes provided in 43 U.S.C. 1617; and 18
(ii) in the best interests of the state; 19
(9) lead and coordinate all matters relating to the state's re view and 20
authorization of resource development projects; 21
(10) enter into commercial agre ements with a duration of not m ore 22
than two years for project services related to a North Slope natural gas project; 23
(11) in consultation with the c ommissioner of revenue, partici pate in 24
the negotiation of agreements that include balancing, marketing , disposition of natural 25
gas, and offtake and contracts and development of terms for inc lusion in those 26
proposed agreements and contracts associated with a North Slope natural gas project; 27
an agreement or contract negotiated under this paragraph to whi ch the state is a party 28
is not effective unless the legislature authorizes the governor to execute the agreement 29
or contract; 30
(12) enter into confidentiality agreements to maintain the 31
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confidentiality of information related to contract negotiations and contract 1
implementation associated with a North Slope natural gas projec t; information under 2
those confidentiality agreements is not subject to AS 40.25.100 - 40.25.295 (Alaska 3
Public Records Act), except that 4
(A) the terms of a proposed contract that the commissioner 5
presents to the legislature for the purpose of obtaining author ization for the 6
governor to execute are not confidential and must be made avail able to the 7
public at least 90 days before the proposed effective date for the terms; and 8
(B) the commissioner may share confidential information 9
obtained under this paragraph with members of the legislature, their agents, 10
and contractors on request under confidentiality agreements, ei ther in 11
committees held in executive session or individually; 12
(13) consult with the Alaska Gas line Development Corporation i n the 13
development of agreements or contracts under (10) or (11) of th is subsection for 14
project services related to a gas treatment plant, pipeline, li quefaction facility, marine 15
terminal, or marine transportation services necessary to transp ort natural gas to 16
market; 17
(14) in consultation with the commissioner of revenue, take custody of 18
gas delivered to the state under AS 43.55.014(b) and manage the project services and 19
disposition and sale of that gas; 20
(15) exercise the powers and do the acts necessary to carry ou t the 21
provisions and objectives of AS 43.90 that relate to this chapter. 22
* Sec. 29. AS 38.05.035(b) is amended to read: 23
(b) The director may 24
(1) delegate the administrative duties, functions, or powers i mposed 25
upon the director to a responsible employee in the division; 26
( 2 ) g r a n t p r e f e r e n c e r i g h t s f o r t h e l e a s e o r p u r c h a s e o f s t a t e land 27
without competitive bid in order to correct errors or omissions of a state or federal 28
administrative agency when inequitable detriment would otherwis e result to a diligent 29
claimant or applicant due to situations over which the claimant or applicant had no 30
control; the exercise of this dis cretionary power operates only to divest the state of its 31
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title to or interests in land and may be exercised only 1
(A) with the express approval of the commissioner; and 2
(B) if the application for the preference right is filed with the 3
director within three years from 4
(i) the occurrence of the error or omission; 5
(ii) the date of acquisition by the state of the land; or 6
(iii) the date of a court decision or settlement nullifying 7
a disposal of state land; 8
(3) grant a preference right to a claimant who shows bona fide 9
improvement of state land or of federal land subs equently acquired by the state and 10
who has in good faith sought to obtain title to the land but wh o, through error or 11
omission of others occurring with in the three years before (A) the application for the 12
preference right, (B) the date of acquisition by the state of the land, or (C) the date of a 13
court decision or settlement nullifying a disposal of state lan d, has been denied title to 14
it; upon a showing satisfactory to the commissioner, the claima nt may lease or 15
purchase the land at the price set on the date of original entr y on the land or, if a price 16
was not set at that time at a price determined by the director to fairly represent the 17
value of unimproved land at the time the claim was established, but in no event less 18
than the cost of administration including survey; the error or omission of a predecessor 19
in interest or an agent, administrator, or executor that has cl early prejudiced the 20
claimant may be the basis for granting a preference right; 21
(4) sell land by lottery for le ss than the appraised value whe n, in the 22
judgment of the director, past scarcity of land suitable for pr ivate ownership in any 23
particular area has resulted in unrealistic land values; 24
(5) when the director determines it is in the best interest of the state 25
and will avoid injustice to a person or the heirs or devisees o f a person, dispose of 26
land, by direct negotiation to that person who presently uses a nd who used and made 27
improvements to that land before January 3, 1959, or to the hei rs or devisees of the 28
person; the amount paid for the land shall be its fair market v alue on the date that the 29
person first entered the land, as determined by the director; a parcel of land disposed 30
of under this paragraph shall be of a size consistent with the person's prior use, but 31
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may not exceed five acres; 1
(6) after consulting with the commissioner of agriculture [BOARD 2
OF AGRICULTURE AND CONSERVATION (AS 03.09.010)], dispose of an interest 3
in land limited to use for agricultural purposes by lottery; 4
(7) convey to an adjoining landowner for its fair market value a 5
remnant of land that the director considers unmanageable or a p arcel of land created 6
by a highway right-of-way alignment or realignment, or a parcel created by the 7
vacation of a state-owned right-of-way if 8
(A) the director determines that it is in the best interests o f the 9
state; 10
(B) the parcel 11
(i) does not exceed the minimum lot size under an 12
applicable zoning code; or 13
(ii) is smaller than 20 acres and is completely enclosed 14
by property owned by the adjacent landowner; and 15
(C) the director and the platting authority having land use 16
planning jurisdiction agree that conveyance of the parcel to th e adjoining 17
landowner will result in boundaries that are convenient for the use of the land 18
by the landowner and compatible with municipal land use plans; 19
(8) for good cause extend for up to 90 days the time for renta l or 20
installment payments by a lessee or purchaser of state land und er this chapter if 21
reasonable penalties and interest set by the director are paid; 22
(9) quitclaim land or an intere st in land to the federal gover nment on a 23
determination that the land or the interest in land was wrongfu lly or erroneously 24
conveyed by the federal government to the state; 25
(10) negotiate the sale or lease of state land at fair market value to a 26
person who acquired by contract, purchase, or lease rights to i mprovements on the 27
land from another state agency or who leased the land from another state agency. 28
* Sec. 30. AS 38.05.057(c) is amended to read: 29
(c) The commissioner, after consulting with the commissioner of agriculture 30
[BOARD OF AGRICULTURE AND CONSERVATION (AS 03.09.010)], may adopt 31
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regulations under AS 44.62 (Administrative Procedure Act) [THE 1
ADMINISTRATIVE PROCEDURE ACT (A S 44.62)] that specify qualifica tions for 2
lottery participants different from those specified in (b) of this section if 3
(1) an interest in land limited to agricultural purposes is to b e s o l d 4
under (a) of this section; 5
(2) the sale is a part of a program to develop agricultural la nd as a 6
renewable resource of the state; and 7
(3) the regulations include residency, skill, experience, and financial 8
requirements necessary to qualify persons who are competent and financially able to 9
develop the land as a successful agricultural enterprise. 10
* Sec. 31. AS 38.05.059 is amended to read: 11
Sec. 38.05.059. Sale of agricultural land. The commissioner, after consulting 12
with the commissioner of agriculture [BOARD OF AGRICULTURE AND 13
CONSERVATION (AS 03.09.010)], may provide for the sale of land classified under 14
AS 38.05.020(b)(6) for agricultural uses in parcels or tracts d escribed by aliquot parts. 15
The parcels or tracts are subj ect to state subdi vision requirem ents and municipal 16
ordinances. Money from a sale of agricultural land shall be sep arately accounted for 17
and may be appropriated to the agricultural revolving loan fund (AS 03.10.040). 18
* Sec. 32. AS 38.05.065(h) is amended to read: 19
(h) The commissioner, after consulting with the commissioner of agriculture 20
[BOARD OF AGRICULTURE AND CONSERVATION (AS 03.09.010)], 21
(1) shall provide that, notwithst anding (a) and (b) of this se ction, in a 22
contract for the sale of la nd classified under AS 38.05.020(b)( 6) for agricultural uses, 23
the interest rate to be charged on installment payments may not exceed 9.5 percent; 24
and 25
(2) may declare a moratorium of up to five years on payments o n land 26
sold under this section for land classified under AS 38.05.020( b)(6) for agricultural 27
uses if 28
(A) the commissioner determines that the moratorium is in the 29
best interest of the state; 30
(B) the commissioner certifies and the contract purchaser 31
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agrees to perform farm development, crop production, and harves ting, not 1
including land clearing or related activity, requiring the expe nditure of 2
amounts equivalent to the payments that would otherwise be made during the 3
moratorium; 4
( C ) t h e s a l e o f t h e a g r i c u l t u r al land takes place after July 1 , 5
1979; and 6
(D) the contract purchaser is in compliance with the 7
development plan specified in the purchase contract at the time the purchaser 8
applies for a moratorium under this paragraph and remains in co mpliance with 9
the development plan during the moratorium; for the payments su bject to the 10
moratorium declared under this pa ragraph, interest payments are subject to the 11
moratorium but interest continues to accrue during the moratorium. 12
* Sec. 33. AS 38.05.069(a) is amended to read: 13
(a) After consulting with the commissioner of agriculture [BOARD OF 14
AGRICULTURE AND CONSERVATION (AS 03.09.010)], on a determinatio n that 15
the highest and best use of unoccupied land is for agricultural purposes and that it is in 16
the best interests of the state to sell or lease the land, the commissioner shall grant to 17
an Alaska resident owning and using or leasing and using land f or agricultural 18
purposes a first option to purchase or lease the unoccupied lan d situated adjacent to 19
land presently held by the Alaska resident for the amount of th e high bid received at 20
public auction or by sealed bid. If more than one Alaska reside nt qualifies for a first 21
option under this section, eligibility for the first option sha ll be determined by lot, and 22
the option must be exercised on the conclusion of the public au ction or opening of 23
sealed bids. A parcel of agricultural land sold under this sect ion may not be less than 24
20 acres, and a parcel of agricultural land that is acquired by exercise of the option 25
granted in this subsection may not exceed 320 acres. Agricultur al land that is acquired 26
under this section must be used for agricultural purposes as required by law. 27
* Sec. 34. AS 38.07.030(a) is amended to read: 28
(a) An owner of agricultural la nd, or a lessee from the state of agricultural 29
land, in the general vicinity of the land to be cleared or drai ned under AS 38.07.010(a) 30
may apply to the commissioner to have the land cleared or drain ed or both along with 31
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the state land. The applicant's land shall be included in the c ontract of land to be 1
cleared or drained if, in the discretion of the commissioner, t he inclusion is feasible 2
and furthers the agricu ltural policies of the state [ D I V I S I O N O F T H E 3
DEPARTMENT OF NATURAL RESOURCES WITH RESPONSIBILITY FOR 4
AGRICULTURE]. 5
* Sec. 35. AS 38.09.010(a) is amended to read: 6
(a) The commissioner shall desi gnate and make available for ho mestead entry 7
state land, including, after consulting with the commissioner of agriculture [BOARD 8
OF AGRICULTURE AND CONSERVATI ON (AS 03.09.010)], land classifie d for 9
agricultural use. State land made available for homestead entry under this chapter shall 10
be distributed throughout the state. 11
* Sec. 36. AS 41.10.040 is amended to read: 12
Sec. 41.10.040. Soil and Water [NAT URAL RESOURCE] Conservation 13
and Development Board. T h e A l a s k a Soil and Water [NATURAL RESOURCE] 14
Conservation and Development Boar d is composed of five members. The 15
commissioner [OR, IN THE ABSENCE OF THE COMMISSIONER, THE 16
DIRECTOR] of agriculture [,] serves ex officio but without a vote on the board. 17
* Sec. 37. AS 41.10.045 is amended to read: 18
Sec. 41.10.045. Executive director. T h e c o m m i s s i o n e r of agriculture shall 19
appoint an executive director and clerical staff to assist the board. 20
* Sec. 38. AS 41.10.100 is amended to read: 21
Sec. 41.10.100. Duties of board. (a) At the request of the commissioner of 22
agriculture, the board shall meet and advise the commissioner of agriculture in the 23
exercise of the powers, duties, and functions of the commissioner of agriculture. 24
(b) The board shall also 25
(1) receive and review reports concerning the use of soil reso urces of 26
the state; 27
(2) hold public hearings and meetings to determine whether land in the 28
state is being used in a manner consistent with sound soil and water conservation 29
practices; 30
(3) make recommendations to the commissioner of agriculture and 31
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the commissioner of natural resources, as appropriate, for specific action 1
necessary to provide for the effe ctive and orderly development of agricultural, forest, 2
and grazing land in the state; 3
(4) review an appeal by an applicant or lessee from a decision of the 4
director of the division of la nds concerning a sale or lease of state agricultural or 5
grazing land and submit its recommendations to the commissioner of natural 6
resources or hearing officer; 7
(5) act in an advisory capacity to the soil and water conserva tion 8
districts in the state; 9
(6) act in an advisory capacity to the commissioner [AND DIRECTOR 10
OF THE DIVISION] of [THE DEPARTMENT WITH RESPONSIBILITY FOR] 11
agriculture in the review of farm conservation plans for all st ate agricultural land sales 12
in the state. 13
* Sec. 39. AS 41.10.110 is amended to read: 14
Sec. 41.10.110. Powers of commissioner. The commissioner of agriculture 15
has the power to 16
(1) conduct land capability surveys and investigations of pote ntial 17
agricultural areas and of soil c onservation and erosion control , including necessary 18
preventative and control measures, in the state; to publish the results of these surveys 19
and investigations and to disseminate information concerning the results of the surveys 20
and investigations to prospective settlers and the general public; 21
(2) make technical guidance and other assistance available to settlers 22
of new land to ensure [ASSURE] the development of the land in a manner that will 23
permit it to be used in accordance with its capabilities and tr eated in accordance with 24
its needs; 25
(3) carry out measures for soil conservation and erosion control within 26
the state, including engineerin g operations, methods of cultiva tion, the growing of 27
vegetation, and changes in use of land, with the consent and co operation of the land 28
user or agency having jurisdiction of the land; 29
(4) cooperate with, furnish assistance to, and enter into agre ements 30
with [,] a user of land or agency within the state; 31
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(5) construct, improve , and maintain soil erosion control and 1
conservation structures as are necessary and practical for carr ying out the purposes of 2
this chapter; 3
(6) develop comprehensive plans for the conservation of soil a nd 4
control of soil erosion within t he state, cropping programs, ti llage practices and 5
changes in land use, and publish plans and information and brin g them to the attention 6
of users of land within the state; 7
(7) accept contributions in money, services, materials, or equ ipment 8
from the United States or its agencies, from an agency of the s tate, and from any other 9
source [,] for use in carrying out the purposes of this chapter. 10
* Sec. 40. AS 41.10.120 is amended to read: 11
Sec. 41.10.120. Approval of land user. A s u r v e y , i n v e s t i g a t i o n, or plan for 12
land may not be undertaken by the commissioner of agriculture and measures for soil 13
conservation and erosion control may not be carried out without the prior approval of 14
the user of the land. 15
* Sec. 41. AS 41.10.130(a) is amended to read: 16
(a) The commissioner of agriculture may, on the recommendation of the 17
board, create soil and water cons ervation districts in the stat e upon petition signed by 18
25 or more land users setting out the proposed boundaries of the proposed district. The 19
commissioner of agriculture shall fix a time for and give notice of a public hearing 20
based on the petition at a convenient location or locations within the boundaries of the 21
proposed district. The commissioner of agriculture may fix the boundaries of the 22
district created, supervise the election of, prescribe the duti es of, and install a 23
governing body of five land users to be known as district super visors for each district 24
created, and delegate to the district supervisors powers as the commissioner of 25
agriculture considers necessary to accomplish the purposes of this chapter within the 26
district boundaries. 27
* Sec. 42. AS 41.10.140(1) is amended to read: 28
(1) "board" means the Alaska Soil and Water [NATURAL 29
RESOURCE] Conservation and Development Board; 30
* Sec. 43. AS 44.17.005 is amended to read: 31
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Sec. 44.17.005. Offices and departments. There are in the state government 1
the following principal offices and departments: 2
(1) Office of the Governor; 3
(2) Department of Administration; 4
(3) Department of Law; 5
(4) Department of Revenue; 6
(5) Department of Education and Early Development; 7
(6) Department of Health; 8
(7) Department of Labor and Workforce Development; 9
(8) Department of Commerce, Community, and Economic 10
Development; 11
(9) Department of Military and Veterans' Affairs; 12
(10) Department of Natural Resources; 13
(11) Department of Fish and Game; 14
(12) Department of Public Safety; 15
(13) Department of Transportation and Public Facilities; 16
(14) Department of Environmental Conservation; 17
(15) Department of Corrections; 18
(16) Department of Family and Community Services; 19
(17) Department of Agriculture. 20
* Sec. 44. AS 44.37.020(a) is amended to read: 21
(a) The Department of Natural Resources shall administer the s tate program 22
for the conservation and devel opment of natural resources, incl uding forests, parks, 23
and recreational areas, land, water, [AGRICULTURE, SOIL CONSERVATION,] and 24
minerals including petroleum and natural gas, but excluding com mercial fisheries, 25
sport fish, game, and fur-bearing animals in their natural state. 26
* Sec. 45. AS 44 is amended by adding a new chapter to read: 27
Chapter 38. Department of Agriculture. 28
Sec. 44.38.010. Commissioner of agriculture. The principal executive officer 29
of the Department of Agriculture is the commissioner of agriculture. 30
Sec. 44.38.020. Duties of the department. (a) The Department of Agriculture 31
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shall administer state programs for agriculture, soil conservat ion, and the conservation 1
and development of state agricultural land. The department shall 2
(1) obtain and publish informa tion electronically and in print o n 3
subjects connected with agriculture, including community seed l ibraries established 4
under AS 03.20.120; 5
(2) control and regulate the e ntry and transportation of seeds , plants, 6
and other horticultural products; 7
(3) control and eradicate the spread of pests injurious to pla nts, trees, 8
vegetables, livestock, and poultry; 9
(4) aid in developing used and unused agricultural resources; and 10
(5) experiment and determine practical methods of growing, 11
processing, soil analysis, eradication of obnoxious weeds, cont rol of insects, and 12
cheaper and more satisfactory methods of land clearing. 13
(b) The Department of Agriculture may 14
(1) advise persons who establis h or operate a community seed l ibrary 15
under AS 03.20.120; and 16
(2) post on the department's I nternet website and annually upd ate the 17
following: 18
(A) information about noncommerc ial giving or exchanging of 19
seed, including information about community seed libraries esta blished under 20
AS 03.20.120, community seed library locations, community seed library 21
facilitators, and best practices for noncommercial giving or ex changing of 22
seed; 23
(B) an online registration form for a person involved in 24
noncommercial giving or exchanging of seed to submit to the dep artment for 25
publication, without a fee, information under AS 03.20.140; 26
(C) information provided for publication under (B) of this 27
paragraph. 28
Sec. 44.38.030. Regulations. The commissioner of agriculture may adopt 29
regulations to carry out or assist in carrying out the powers a nd duties of the 30
Department of Agriculture. 31
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* Sec. 46. AS 44.62.330(a)(31) is amended to read: 1
(31) Department of Agriculture [NATURAL RESOURCES] 2
concerning the Alaska grain reserve program under former AS 03.12; 3
* Sec. 47. AS 03.09.020(b); AS 03.47.040(2); and AS 44.37.030 are repealed. 4
* Sec. 48. The uncodified law of the State of Alaska is amended by adding a new section to 5
read: 6
TRANSITION. (a) Employees of the Department of Natural Resource s whose duties 7
have been transferred by this Act to the Department of Agricult ure shall be transferred to the 8
Department of Agriculture on the effective date of this Act. 9
(b) Members of any board or commission transferred by this Act whose terms have 10
not expired by the effective date of this Act may continue to s erve the remainder of their 11
terms. 12
(c) Litigation, hearings, inves tigations, and other proceeding s pending under a law 13
repealed or amended by this Act, or in connection with a functi on transferred by this Act, 14
continue in effect and may be com pleted notwithstanding a trans fer, repeal, or amendment 15
provided for in this Act. 16
(d) Contracts, rights, liabilities, and obligations created by or under a law repealed or 17
affected by this Act, and in effect on the effective date of th is Act, remain in effect 18
notwithstanding this Act's taking effect. 19
(e) Certificates, licenses, orders, and regulations in effect on the effective date of this 20
Act that were issued or adopted under the authority of a law am ended or repealed by this Act, 21
or in connection with a function transferred by this Act, remai n in effect for the term issued 22
and shall be enforced by the agen cy to which the function is tr ansferred under this Act until 23
revoked, vacated, or amended by the agency to which the function is transferred. 24
(f) Records, equipment, appropria tions, and other property of an agency of the state 25
whose functions are transferred under this Act shall be transfe rred to implement the 26
provisions of this Act. 27
* Sec. 49. This Act takes effect July 1, 2025. 28