Omnibus Agriculture, Broadband, and Rural Development policy and supplemental appropriations

A bill for an act

relating to agriculture; modifying agriculture policy provisions; modifying farm

down payment assistance provisions; modifying seed potato provisions; modifying

fees; allowing eggs to be donated past their quality assurance date; requiring

reports; modifying prior appropriations; appropriating money; amending Minnesota

Statutes 2024, sections 17.458, subdivision 1; 18J.01; 18J.02; 18J.03; 18J.04,

subdivisions 1, 2, 3, 4; 18J.05, subdivisions 1, 2, 6; 18J.06; 18J.07, subdivisions

3, 4, 5; 18J.09; 18K.02, subdivisions 5, 6; 18K.04, subdivision 1; 21.111; 21.112,

by adding a subdivision; 21.113; 21.115; 21.117; 21.119; 21.1195; 21.891,

subdivision 2; 28A.0752; 29.21, by adding a subdivision; 29.26; 32D.30,

subdivision 5; 41A.19; 41B.048, subdivisions 2, 4, 5, by adding subdivisions;

583.215; Minnesota Statutes 2025 Supplement, sections 17.1017, subdivision 9;

17.133, subdivisions 1, 2; 28A.04, subdivision 1; 28A.08, subdivision 3; Laws

2023, chapter 43, article 1, section 2, subdivisions 4, as amended, 5, as amended;

Laws 2025, chapter 34, article 1, section 2, subdivisions 2, 3, as amended, 4, as

amended; proposing coding for new law in Minnesota Statutes, chapter 21;

repealing Minnesota Statutes 2024, sections 18K.02, subdivision 7; 18K.03,

subdivision 2; 28A.075.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

AGRICULTURE APPROPRIATIONS

Section 1.
new text begin
APPROPRIATION; AGRICULTURAL UTILIZATION RESEARCH

INSTITUTE.
new text end

new text begin

$80,000 in fiscal year 2026 is appropriated from the general fund to the Agricultural

Utilization Research Institute for legal costs. This is a onetime appropriation and is available

until June 30, 2029.

new text end

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective the day following final enactment.

new text end

Sec. 2.

Laws 2023, chapter 43, article 1, section 2, subdivision 4, as amended by Laws

2024, chapter 126, article 1, section 1, and Laws 2025, chapter 34, article 1, section 9, is

amended to read:

Subd. 4.

Agriculture, Bioenergy, and Bioproduct

Advancement

34,034,000

38,159,000

(a) $10,702,000 the first year and $10,702,000

the second year are for the agriculture

research, education, extension, and technology

transfer program under Minnesota Statutes,

section
41A.14
. Except as provided below,

the appropriation each year is for transfer to

the agriculture research, education, extension,

and technology transfer account under

Minnesota Statutes, section
41A.14,

subdivision 3
, and the commissioner shall

transfer funds each year to the Board of

Regents of the University of Minnesota for

purposes of Minnesota Statutes, section

41A.14
. To the extent practicable, money

expended under Minnesota Statutes, section

41A.14, subdivision 1
, clauses (1) and (2),

must supplement and not supplant existing

sources and levels of funding. The

commissioner may use up to one percent of

this appropriation for costs incurred to

administer the program.

Of the amount appropriated for the agriculture

research, education, extension, and technology

transfer grant program under Minnesota

Statutes, section
41A.14
:

(1) $600,000 the first year and $600,000 the

second year are for the Minnesota Agricultural

Experiment Station's agriculture rapid

response fund under Minnesota Statutes,

section
41A.14, subdivision 1
, clause (2);

(2) up to $1,000,000 the first year and up to

$1,000,000 the second year are for research

on avian influenza, salmonella, and other

turkey-related diseases and disease prevention

measures;

(3) $2,250,000 the first year and $2,250,000

the second year are for grants to the Minnesota

Agricultural Education Leadership Council to

enhance agricultural education with priority

given to Farm Business Management

challenge grants;

(4) $450,000 the first year is for the cultivated

wild rice breeding project at the North Central

Research and Outreach Center to include a

tenure track/research associate plant breeder;

(5) $350,000 the first year and $350,000 the

second year are for potato breeding;

(6) $802,000 the first year and $802,000 the

second year are to fund the Forever Green

Initiative and protect the state's natural

resources while increasing the efficiency,

profitability, and productivity of Minnesota

farmers by incorporating perennial and

winter-annual crops into existing agricultural

practices. The base for the allocation under

this clause is $802,000 in fiscal year 2026 and

each year thereafter. By February 1 each year,

the dean of the College of Food, Agricultural

and Natural Resource Sciences must submit

a report to the chairs and ranking minority

members of the legislative committees with

jurisdiction over agriculture finance and policy

and higher education detailing uses of the

funds in this paragraph, including

administrative costs, and the achievements

these funds contributed to;

(7) $350,000 each year is for farm-scale winter

greenhouse research and development

coordinated by University of Minnesota

Extension Regional Sustainable Development

Partnerships. The allocation in this clause is

onetime;

(8) $200,000 the second year is for research

on natural stands of wild rice; and

(9) $250,000 the second year is for the

cultivated wild rice forward selection project

at the North Central Research and Outreach

Center, including a tenure track or research

associate plant scientist.

(b) The base for the agriculture research,

education, extension, and technology transfer

program is $10,352,000 in fiscal year 2026

and $10,352,000 in fiscal year 2027.

(c) $23,332,000 the first year is for the

agricultural growth, research, and innovation

program under Minnesota Statutes, section

41A.12
. Except as provided below, the

commissioner may allocate this appropriation

among the following areas: facilitating the

start-up, modernization, improvement, or

expansion of livestock operations, including

beginning and transitioning livestock

operations with preference given to robotic

dairy-milking equipment; assisting

value-added agricultural businesses to begin

or expand, to access new markets, or to

diversify, including aquaponics systems, with

preference given to hemp fiber processing

equipment; facilitating the start-up,

modernization, or expansion of other

beginning and transitioning farms, including

by providing loans under Minnesota Statutes,

section
41B.056
; sustainable agriculture

on-farm research and demonstration; the

development or expansion of food hubs and

other alternative community-based food

distribution systems; enhancing renewable

energy infrastructure and use; crop research,

including basic and applied turf seed research;

Farm Business Management tuition assistance;

and good agricultural practices and good

handling practices certification assistance. The

commissioner may use up to 6.5 percent of

this appropriation for costs incurred to

administer the program.

Of the amount appropriated for the agricultural

growth, research, and innovation program

under Minnesota Statutes, section
41A.12
:

(1) $1,000,000 the first year is for distribution

in equal amounts to each of the state's county

fairs to preserve and promote Minnesota

agriculture;

(2) $5,750,000 the first year is for incentive

payments under Minnesota Statutes, sections

41A.16
,
41A.17
,
41A.18
, and
41A.20
.

Notwithstanding Minnesota Statutes, section

16A.28
, the first year appropriation is

available until June 30, 2025. If this

appropriation exceeds the total amount for

which all producers are eligible in a fiscal

year, the balance of the appropriation is

available for other purposes under this

paragraph;

(3) $3,375,000 the first year is for grants that

enable retail petroleum dispensers, fuel storage

tanks, and other equipment to dispense

biofuels to the public in accordance with the

biofuel replacement goals established under

Minnesota Statutes, section
239.7911
. A retail

petroleum dispenser selling petroleum for use

in spark ignition engines for vehicle model

years after 2000 is eligible for grant money

under this clause if the retail petroleum

dispenser has no more than 10 retail petroleum

dispensing sites and each site is located in

Minnesota. The grant money must be used to

replace or upgrade equipment that does not

have the ability to be certified for E25. A grant

award must not exceed 65 percent of the cost

of the appropriate technology. A grant award

must not exceed $200,000 per station. The

commissioner must cooperate with biofuel

stakeholders in the implementation of the grant

program. The commissioner, in cooperation

with any economic or community development

financial institution and any other entity with

which the commissioner contracts, must

submit a report on the biofuels infrastructure

financial assistance program by January 15 of

each year to the chairs and ranking minority

members of the legislative committees and

divisions with jurisdiction over agriculture

policy and finance. The annual report must

include but not be limited to a summary of the

following metrics: (i) the number and types

of projects financed; (ii) the amount of dollars

leveraged or matched per project; (iii) the

geographic distribution of financed projects;

(iv) any market expansion associated with

upgraded infrastructure; (v) the demographics

of the areas served; (vi) the costs of the

program; and (vii) the number of grants to

minority-owned or female-owned businesses;

(4) $1,250,000 the first year is for grants to

facilitate the start-up, modernization, or

expansion of meat, poultry, egg, and milk

processing facilities. A grant award under this

clause must not exceed $200,000. Any

unencumbered balance at the end of the second

year does not cancel until June 30, 2026, and

may be used for other purposes under this

paragraph;

(5) $1,150,000 the first year is for providing

more fruits, vegetables, meat, poultry, grain,

and dairy for children in school and early

childhood education settings, including, at the

commissioner's discretion, providing grants

to reimburse schools and early childhood

education and child care providers for

purchasing equipment and agricultural

products. Organizations must participate in

the National School Lunch Program or the

Child and Adult Care Food Program to be

eligible. Of the amount appropriated, $150,000

is for a statewide coordinator of

farm-to-institution strategy and programming.

The coordinator must consult with relevant

stakeholders and provide technical assistance

and training for participating farmers and

eligible grant recipients;

(6) $2,000,000 the first year is for urban youth

agricultural education or urban agriculture

community development;

(7) $1,000,000 the first year is for the good

food access program under Minnesota

Statutes, section
17.1017
; and

(8) $225,000 the first year is to provide grants

to secondary career and technical education

programs for the purpose of offering

instruction in meat cutting and butchery.

Notwithstanding Minnesota Statutes, section

16B.98, subdivision 14
, the commissioner may

use up to 6.5 percent of this appropriation for

administrative costs. This is a onetime

appropriation. Grants may be used for costs,

including but not limited to:

(i) equipment required for a meat cutting

program;

(ii) facility renovation to accommodate meat

cutting; and

(iii) training faculty to teach the fundamentals

of meat processing.

A grant recipient may be awarded a grant of

up to $75,000 and may use up to ten percent

of the grant for faculty training. Priority may

be given to applicants who are coordinating

with meat cutting and butchery programs at

Minnesota State Colleges and Universities

institutions or with local industry partners.

By January 15, 2025, the commissioner must

report to the chairs and ranking minority

members of the legislative committees with

jurisdiction over agriculture finance and

education finance by listing the grants made

under this paragraph by county and noting the

number and amount of grant requests not

fulfilled. The report may include additional

information as determined by the

commissioner, including but not limited to

information regarding the outcomes produced

by these grants. If additional grants are

awarded under this paragraph that were not

covered in the report due by January 15, 2025,

the commissioner must submit an additional

report to the chairs and ranking minority

members of the legislative committees with

jurisdiction over agriculture finance and

education finance regarding all grants issued

under this paragraph by November 1, 2025.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance does not

cancel at the end of the first year and is

available for the second year, and

appropriations encumbered under contract on

or before June 30, 2025, for agricultural

growth, research, and innovation grants are

available until June 30, 2028.

(d) $27,457,000 the second year is for the

agricultural growth, research, and innovation

program under Minnesota Statutes, section

41A.12
. Except as provided below, the

commissioner may allocate this appropriation

among the following areas: facilitating the

start-up, modernization, improvement, or

expansion of livestock operations, including

beginning and transitioning livestock

operations with preference given to robotic

dairy-milking equipment; assisting

value-added agricultural businesses to begin

or expand, to access new markets, or to

diversify, including aquaponics systems, with

preference given to hemp fiber processing

equipment; facilitating the start-up,

modernization, or expansion of other

beginning and transitioning farms, including

by providing loans under Minnesota Statutes,

section
41B.056
; sustainable agriculture

on-farm research and demonstration; the

development or expansion of food hubs and

other alternative community-based food

distribution systems; enhancing renewable

energy infrastructure and use; crop research,

including basic and applied turf seed research;

Farm Business Management tuition assistance;

and good agricultural practices and good

handling practices certification assistance. The

commissioner may use up to 6.5 percent of

this appropriation for costs incurred to

administer the program.

Of the amount appropriated for the agricultural

growth, research, and innovation program

under Minnesota Statutes, section
41A.12
:

(1) $1,000,000 the second year is for

distribution in equal amounts to each of the

state's county fairs to preserve and promote

Minnesota agriculture;

(2) $5,750,000 the second year is for incentive

payments under Minnesota Statutes, sections

41A.16
,
41A.17
,
41A.18
, and
41A.20
.

Notwithstanding Minnesota Statutes, section

16A.28
, this appropriation is available until

June 30, 2027. If this appropriation exceeds

the total amount for which all producers are

eligible in a fiscal year, the balance of the

appropriation is available for other purposes

under this paragraph. The base under this

clause is $3,000,000 in fiscal year 2026 and

each year thereafter;

(3) $3,375,000 the second year is for grants

that enable retail petroleum dispensers, fuel

storage tanks, and other equipment to dispense

biofuels to the public in accordance with the

biofuel replacement goals established under

Minnesota Statutes, section
239.7911
. A retail

petroleum dispenser selling petroleum for use

in spark ignition engines for vehicle model

years after 2000 is eligible for grant money

under this clause if the retail petroleum

dispenser has no more than ten retail

petroleum dispensing sites and each site is

located in Minnesota. The grant money must

be used to replace or upgrade equipment that

does not have the ability to be certified for

E25. A grant award must not exceed 65

percent of the cost of the appropriate

technology. A grant award must not exceed

$200,000 per station. The commissioner must

cooperate with biofuel stakeholders in the

implementation of the grant program. The

commissioner, in cooperation with any

economic or community development

financial institution and any other entity with

which the commissioner contracts, must

submit a report on the biofuels infrastructure

financial assistance program by January 15 of

each year to the chairs and ranking minority

members of the legislative committees and

divisions with jurisdiction over agriculture

policy and finance. The annual report must

include but not be limited to a summary of the

following metrics: (i) the number and types

of projects financed; (ii) the amount of money

leveraged or matched per project; (iii) the

geographic distribution of financed projects;

(iv) any market expansion associated with

upgraded infrastructure; (v) the demographics

of the areas served; (vi) the costs of the

program; and (vii) the number of grants to

minority-owned or female-owned businesses.

The base under this clause is $3,000,000 for

fiscal year 2026 and each year thereafter;

(4) $1,250,000 the second year is for grants

to facilitate the start-up, modernization, or

expansion of meat, poultry, egg, and milk

processing facilities. A grant award under this

clause must not exceed $200,000. Any

unencumbered balance at the end of the second

year does not cancel until June 30, 2027, and

may be used for other purposes under this

paragraph. The base under this clause is

$250,000 in fiscal year 2026 and each year

thereafter;

(5) $1,275,000 the second year is for providing

more fruits, vegetables, meat, poultry, grain,

and dairy for children in school and early

childhood education settings, including, at the

commissioner's discretion, providing grants

to reimburse schools and early childhood

education and child care providers for

purchasing equipment and agricultural

products. Organizations must participate in

the National School Lunch Program or the

Child and Adult Care Food Program to be

eligible. Of the amount appropriated, $150,000

is for a statewide coordinator of

farm-to-institution strategy and programming.

The coordinator must consult with relevant

stakeholders and provide technical assistance

and training for participating farmers and

eligible grant recipients. The base under this

clause is $1,294,000 in fiscal year 2026 and

each year thereafter;

(6) $4,000,000 the second year is for Dairy

Assistance, Investment, Relief Initiative

(DAIRI) grants and other forms of financial

assistance to Minnesota dairy farms that enroll

in coverage under a federal dairy risk

protection program and produced no more

than 16,000,000 pounds of milk in 2022.
new text begin
New

dairy farms that did not market milk during

2022 or for only a portion of 2022 are eligible.
new text end

The commissioner must make DAIRI

payments based on the amount of milk

produced in 2022, up to 5,000,000 pounds per

participating farm, at a rate determined by the

commissioner within the limits of available

funding.
new text begin
For new dairy farms that did not

market milk during 2022 or for only a portion

of 2022, the commissioner must make DAIRI

payments based on the farm's production

history as established in its dairy risk

protection program enrollment.
new text end
Any

unencumbered balance
deleted text begin
on
deleted text end
new text begin
after
new text end
June 30, 2026,

may be used for other purposes under this

paragraph. The allocation in this clause is

onetime;

(7) $2,000,000 the second year is for urban

youth agricultural education or urban

agriculture community development;

(8) $1,000,000 the second year is for the good

food access program under Minnesota

Statutes, section
17.1017
; and

(9) $225,000 the second year is for the

protecting livestock grant program for

producers to support the installation of

measures to prevent the transmission of avian

influenza. For the appropriation in this

paragraph, a grant applicant must document

a cost-share of 20 percent. An applicant's

cost-share amount may be reduced up to

$2,000 to cover time and labor costs.

Notwithstanding Minnesota Statutes, section

16B.98, subdivision 14
, the commissioner may

use up to 6.5 percent of this appropriation for

administrative costs. This appropriation is

available until June 30, 2027. This is a onetime

appropriation.

(e) Notwithstanding Minnesota Statutes,

section
16A.28
, the appropriation in paragraph

(d) does not cancel at the end of the second

year and is available until June 30, 2027.

Appropriations encumbered under contract on

or before June 30, 2027, for agricultural

growth, research, and innovation grants are

available until June 30, 2030.

(f) The base for the agricultural growth,

research, and innovation program is

$17,582,000 in fiscal year 2026 and each year

thereafter and includes $200,000 each year for

cooperative development grants.

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective the day following final enactment.

new text end

Sec. 3.

Laws 2023, chapter 43, article 1, section 2, subdivision 5, as amended by Laws

2024, chapter 126, article 1, section 1, subdivision 5, is amended to read:

Subd. 5.

Administration and Financial

Assistance

16,643,000

14,587,000

(a) $474,000 the first year and $474,000 the

second year are for payments to county and

district agricultural societies and associations

under Minnesota Statutes, section
38.02,

subdivision 1
. Aid payments to county and

district agricultural societies and associations

must be disbursed no later than July 15 of each

year. These payments are the amount of aid

from the state for an annual fair held in the

previous calendar year.

(b) $350,000 the first year and $350,000 the

second year are for grants to the Minnesota

Agricultural Education and Leadership

Council for programs of the council under

Minnesota Statutes, chapter 41D. The base for

this appropriation is $250,000 in fiscal year

2026 and each year thereafter.

(c) $2,000 the first year is for a grant to the

Minnesota State Poultry Association. This is

a onetime appropriation. Notwithstanding

Minnesota Statutes, section
16A.28
, any

unencumbered balance does not cancel at the

end of the first year and is available for the

second year.

(d) $18,000 the first year and $18,000 the

second year are for grants to the Minnesota

Livestock Breeders Association. This is a

onetime appropriation.

(e) $60,000 the first year and $60,000 the

second year are for grants to the Northern

Crops Institute that may be used to purchase

equipment. This is a onetime appropriation.

(f) $34,000 the first year and $34,000 the

second year are for grants to the Minnesota

State Horticultural Society. This is a onetime

appropriation.

(g) $25,000 the first year and $25,000 the

second year are for grants to the Center for

Rural Policy and Development. This is a

onetime appropriation.

(h) $75,000 the first year and $75,000 the

second year are appropriated from the general

fund to the commissioner of agriculture for

grants to the Minnesota Turf Seed Council for

basic and applied research on: (1) the

improved production of forage and turf seed

related to new and improved varieties; and (2)

native plants, including plant breeding,

nutrient management, pest management,

disease management, yield, and viability. The

Minnesota Turf Seed Council may subcontract

with a qualified third party for some or all of

the basic or applied research. Any

unencumbered balance does not cancel at the

end of the first year and is available in the

second year. The Minnesota Turf Seed Council

must prepare a report outlining the use of the

grant money and related accomplishments. No

later than January 15, 2025, the council must

submit the report to the chairs and ranking

minority members of the legislative

committees and divisions with jurisdiction

over agriculture finance and policy. This is a

onetime appropriation.

(i) $100,000 the first year and $100,000 the

second year are for grants to GreenSeam for

assistance to agriculture-related businesses to

support business retention and development,

business attraction and creation, talent

development and attraction, and regional

branding and promotion. These are onetime

appropriations. No later than December 1,

2024, and December 1, 2025, GreenSeam

must report to the chairs and ranking minority

members of the legislative committees with

jurisdiction over agriculture and rural

development with information on new and

existing businesses supported, number of new

jobs created in the region, new educational

partnerships and programs supported, and

regional branding and promotional efforts.

(j) $1,950,000 the first year and $1,950,000

the second year are for grants to Second

Harvest Heartland on behalf of Minnesota's

six Feeding America food banks for the

following purposes:

(1) at least $850,000 each year must be

allocated to purchase milk for distribution to

Minnesota's food shelves and other charitable

organizations that are eligible to receive food

from the food banks. Milk purchased under

the grants must be acquired from Minnesota

milk processors and based on low-cost bids.

The milk must be allocated to each Feeding

America food bank serving Minnesota

according to the formula used in the

distribution of United States Department of

Agriculture commodities under The

Emergency Food Assistance Program. Second

Harvest Heartland may enter into contracts or

agreements with food banks for shared funding

or reimbursement of the direct purchase of

milk. Each food bank that receives funding

under this clause may use up to two percent

for administrative expenses. Notwithstanding

Minnesota Statutes, section
16A.28
, any

unencumbered balance the first year does not

cancel and is available the second year;

(2) to compensate agricultural producers and

processors for costs incurred to harvest and

package for transfer surplus fruits, vegetables,

and other agricultural commodities that would

otherwise go unharvested, be discarded, or be

sold in a secondary market. Surplus

commodities must be distributed statewide to

food shelves and other charitable organizations

that are eligible to receive food from the food

banks. Surplus food acquired under this clause

must be from Minnesota producers and

processors. Second Harvest Heartland may

use up to 15 percent of each grant awarded

under this clause for administrative and

transportation expenses; and

(3) to purchase and distribute protein products,

including but not limited to pork, poultry, beef,

dry legumes, cheese, and eggs to Minnesota's

food shelves and other charitable organizations

that are eligible to receive food from the food

banks. Second Harvest Heartland may use up

to two percent of each grant awarded under

this clause for administrative expenses. Protein

products purchased under the grants must be

acquired from Minnesota processors and

producers.

Second Harvest Heartland must submit

quarterly reports to the commissioner and the

chairs and ranking minority members of the

legislative committees with jurisdiction over

agriculture finance in the form prescribed by

the commissioner. The reports must include

but are not limited to information on the

expenditure of funds, the amount of milk or

other commodities purchased, and the

organizations to which this food was

distributed. The base for this appropriation is

$1,700,000 for fiscal year 2026 and each year

thereafter.

(k) $25,000 the first year and $25,000 the

second year are for grants to the Southern

Minnesota Initiative Foundation to promote

local foods through an annual event that raises

public awareness of local foods and connects

local food producers and processors with

potential buyers.

(l) $300,000 the first year and $300,000 the

second year are for grants to The Good Acre

for the Local Emergency Assistance Farmer

Fund (LEAFF) program to compensate

emerging farmers for crops donated to hunger

relief organizations in Minnesota. This is a

onetime appropriation.

(m) $750,000 the first year and $750,000 the

second year are to expand the Emerging

Farmers Office and provide services to

beginning and emerging farmers to increase

connections between farmers and market

opportunities throughout the state. This

appropriation may be used for grants,

translation services, training programs, or

other purposes in line with the

recommendations of the Emerging Farmer

Working Group established under Minnesota

Statutes, section
17.055, subdivision 1
. The

base for this appropriation is $1,000,000 in

fiscal year 2026 and each year thereafter.

(n) $50,000 the first year is to provide

technical assistance and leadership in the

development of a comprehensive and

well-documented state aquaculture plan. The

commissioner must provide the state

aquaculture plan to the legislative committees

with jurisdiction over agriculture finance and

policy by February 15, 2025.

(o) $337,000 the first year and $337,000 the

second year are for farm advocate services.

Of these amounts, $50,000 the first year and

$50,000 the second year are for the

continuation of the farmland transition

programs and may be used for grants to

farmland access teams to provide technical

assistance to potential beginning farmers.

Farmland access teams must assist existing

farmers and beginning farmers with

transitioning farm ownership and farm

operation. Services provided by teams may

include but are not limited to mediation

assistance, designing contracts, financial

planning, tax preparation, estate planning, and

housing assistance.

(p) $260,000 the first year and $260,000 the

second year are for a pass-through grant to

Region Five Development Commission to

provide, in collaboration with Farm Business

Management, statewide mental health

counseling support to Minnesota farm

operators, families, and employees, and

individuals who work with Minnesota farmers

in a professional capacity. Region Five

Development Commission may use up to 6.5

percent of the grant awarded under this

paragraph for administration.

(q) $1,000,000 the first year is for transfer to

the agricultural emergency account established

under Minnesota Statutes, section
17.041
.

(r) $1,084,000 the first year and $500,000 the

second year are to support IT modernization

efforts, including laying the technology

foundations needed for improving customer

interactions with the department for licensing

and payments. This is a onetime appropriation.

(s) $275,000 the first year is for technical

assistance grants to certified community

development financial institutions that

participate in United States Department of

Agriculture loan or grant programs for small

or emerging farmers, including but not limited

to the Increasing Land, Capital, and Market

Access Program. For purposes of this

paragraph, "emerging farmer" has the meaning

given in Minnesota Statutes, section
17.055,

subdivision 1
. The commissioner may use up

to 6.5 percent of this appropriation for costs

incurred to administer the program.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance does not

cancel at the end of the first year and is

available in the second year. This is a onetime

appropriation.

(t) $1,425,000 the first year and $1,425,000

the second year are for transfer to the

agricultural and environmental revolving loan

account established under Minnesota Statutes,

section
17.117, subdivision 5a
, for low-interest

loans under Minnesota Statutes, section

17.117
.

(u) $150,000 the first year and $150,000 the

second year are for administrative support for

the Rural Finance Authority.

(v) The base in fiscal years 2026 and 2027 is

$150,000 each year to coordinate

climate-related activities and services within

the Department of Agriculture and

counterparts in local, state, and federal

agencies and to hire a full-time climate

implementation coordinator. The climate

implementation coordinator must coordinate

efforts seeking federal funding for Minnesota's

agricultural climate adaptation and mitigation

efforts and develop strategic partnerships with

the private sector and nongovernment

organizations.

(w) $1,200,000 the first year and $930,000 the

second year are to maintain the current level

of service delivery. The base for this

appropriation is $1,065,000 in fiscal year 2026

and $1,065,000 in fiscal year 2027 and each

year thereafter.

(x) $250,000 the first year is for a grant to the

Board of Regents of the University of

Minnesota to purchase equipment for the

Veterinary Diagnostic Laboratory to test for

chronic wasting disease, African swine fever,

avian influenza, and other animal diseases.

The Veterinary Diagnostic Laboratory must

report expenditures under this paragraph to

the legislative committees with jurisdiction

over agriculture finance and higher education

with a report submitted by January 3, 2024,

and a final report submitted by December 31,

2024. The reports must include a list of

equipment purchased, including the cost of

each item.

(y) $1,000,000 the first year and $1,000,000

the second year are to award and administer

down payment assistance grants under

Minnesota Statutes, section
17.133
, with

priority given to eligible applicants with no

more than $100,000 in annual gross farm

product sales and eligible applicants who are

producers of industrial hemp, cannabis, or one

or more of the following specialty crops as

defined by the United States Department of

Agriculture for purposes of the specialty crop

block grant program: fruits and vegetables,

tree nuts, dried fruits, medicinal plants,

culinary herbs and spices, horticulture crops,

floriculture crops, and nursery crops.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance at the end

of the first year does not cancel and is

available in the second year and appropriations

encumbered under contract by June 30, 2025,

are available until June 30, 2027.

(z) $222,000 the first year and $322,000 the

second year are for meat processing training

and retention incentive grants under section

5.
new text begin
By December 1 each year in 2026, 2027,

and 2028, the commissioner must submit a

report to the chairs and ranking minority

members of the legislative committees with

jurisdiction over agriculture finance and policy

detailing uses of the funds in this paragraph,

including award amounts to each partner

organization, how much of each award was

used, the types of expenses paid for with the

funds, and the number of employees served.
new text end

The commissioner may use up to 6.5 percent

of this appropriation for costs incurred to

administer the program. Notwithstanding

Minnesota Statutes, section
16A.28
, any

unencumbered balance does not cancel at the

end of the first year and is available in the

second year. This is a onetime appropriation
new text begin

and is available until June 30, 2028
new text end
.

(aa) $300,000 the first year and $300,000 the

second year are for transfer to the Board of

Regents of the University of Minnesota to

evaluate, propagate, and maintain the genetic

diversity of oilseeds, grains, grasses, legumes,

and other plants including flax, timothy,

barley, rye, triticale, alfalfa, orchard grass,

clover, and other species and varieties that

were in commercial distribution and use in

Minnesota before 1970, excluding wild rice.

This effort must also protect traditional seeds

brought to Minnesota by immigrant

communities. This appropriation includes

funding for associated extension and outreach

to small and Black, Indigenous, and People of

Color (BIPOC) farmers. This is a onetime

appropriation.

(bb) $300,000 the second year is to award and

administer beginning farmer equipment and

infrastructure grants under Minnesota Statutes,

section
17.055
. This is a onetime

appropriation.

(cc) $25,000 the first year is for the credit

market report. Notwithstanding Minnesota

Statutes, section
16A.28
, any unencumbered

balance does not cancel at the end of the first

year and is available in the second year. This

is a onetime appropriation.

(dd) The commissioner shall continue to

increase connections with ethnic minority and

immigrant farmers to farming opportunities

and farming programs throughout the state.

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective the day following final enactment.

new text end

Sec. 4.

Laws 2025, chapter 34, article 1, section 2, subdivision 2, is amended to read:

Subd. 2.

Protection Services

Appropriations by Fund

General

20,828,000

deleted text begin

21,207,000

deleted text end

new text begin

21,457,000

new text end

Remediation

399,000

399,000

(a) $399,000 the first year and $399,000 the

second year are from the remediation fund for

administrative funding of the voluntary

cleanup program.

(b) $639,000 the first year and $639,000 the

second year are for the soil health financial

assistance program under Minnesota Statutes,

section
17.134
. The commissioner may award

no more than $50,000 of the appropriation

each year to a single recipient.

Notwithstanding Minnesota Statutes, section

16B.98, subdivision 14
, the commissioner may

use up to 6.5 percent of this appropriation for

costs incurred to administer the program. Any

unencumbered balance does not cancel at the

end of the first year and is available in the

second year. Appropriations encumbered

under contract on or before June 30, 2027, for

soil health financial assistance grants are

available until June 30, 2029.

(c) $275,000 the first year and $250,000 the

second year are for compensation for livestock

destroyed or crippled by a wolf under

Minnesota Statutes, section
3.737
. The first

year appropriation may be spent to compensate

for livestock that were destroyed or crippled

during fiscal year 2025. If the amount in the

first year is insufficient, the amount in the

second year is available in the first year. The

commissioner may use up to $5,000 each year

to reimburse expenses incurred by university

extension educators to provide fair market

values of destroyed or crippled livestock. If

the commissioner receives federal money to

pay claims for destroyed or crippled livestock,

an equivalent amount of this appropriation

may be used to reimburse nonlethal prevention

methods performed by federal wildlife services

staff. The base for this appropriation is

$175,000 in fiscal year 2028 and each year

thereafter.

(d) $255,000 the first year and $230,000 the

second year are for compensation for crop or

fence damage caused by elk under Minnesota

Statutes, section
3.7371
. If the amount in the

first year is insufficient, the amount in the

second year is available in the first year. The

commissioner may use up to $10,000 of the

appropriation each year to reimburse expenses

incurred by the commissioner or the

commissioner's approved agent to investigate

and resolve claims, as well as for costs

associated with training for approved agents.

The commissioner may use up to $40,000 of

the appropriation each year for grants to

producers for measures to protect stored crops

from elk damage. If the commissioner

determines that claims made under Minnesota

Statutes, section
3.737
or
3.7371
, are

unusually high, amounts appropriated for

either program may be transferred to the

appropriation for the other program. The base

for this appropriation is $155,000 in fiscal year

2028 and each year thereafter.

(e) $825,000 the first year and $825,000 the

second year are to replace capital equipment

in the Department of Agriculture's analytical

laboratory.

(f) $750,000 the first year and $750,000 the

second year are for additional meat and poultry

inspection services. The commissioner is

encouraged to seek inspection waivers, match

federal money, and offer more online

inspections for the purposes of this paragraph.

This is a onetime appropriation.

(g) $500,000 the first year and $500,000 the

second year are for grants to counties to

support county agricultural inspectors. The

commissioner may use up to three percent of

the appropriation each year for administration.

This is a onetime appropriation. County

agricultural inspectors and county-designated

employees must annually submit an

application, on a form approved by the

commissioner, to be eligible for funding

during a given year. The commissioner must

equally divide available grant money among

eligible counties. To be eligible for grants

under this section, a county must employ a

county agricultural inspector or a

county-designated employee who:

(1) has attended training for new county

agricultural inspectors offered by the

commissioner;

(2) coordinates with the commissioner to

review applicable laws and enforcement

procedures;

(3) compiles and submits to the commissioner

local weed inspector annual report data;

(4) conducts an annual meeting and training

for local weed inspectors; and

(5) assists the commissioner with control

programs and other agricultural programs

when requested under Minnesota Statutes,

section
18.81, subdivision 1b
, as directed by

the county board.

(h) $250,000 the first year and $250,000 the

second year are appropriated to establish and

administer the biofertilizer innovation and

efficiency program
deleted text begin
under Minnesota Statutes,

section
18C.113
deleted text end
. The commissioner may use

up to 6.5 percent of this appropriation for costs

incurred to administer the program.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance at the end

of fiscal year 2026 does not cancel and is

available until June 30, 2027. This is a onetime

appropriation.

deleted text begin

(j)
deleted text end
new text begin
(i)
new text end
$75,000 the first year is to conduct an

evaluation of the practice performance and

economic performance of the Olmsted County

groundwater protection and soil health

initiative, including the cover crop program,

alternative crops program, and haying,

grazing, and pasture enhancement program.

The evaluation must look at environmental

outcomes, include a cost-benefit analysis, and

be submitted to the chairs and ranking

minority members of the legislative

committees and divisions with jurisdiction

over agriculture policy and finance by June 1,

2027. The commissioner may contract with

an independent third party to conduct the

evaluation.

deleted text begin

(k)
deleted text end
new text begin
(j)
new text end
$420,000 the first year and $924,000

the second year are to support current services.

Sec. 5.

Laws 2025, chapter 34, article 1, section 2, subdivision 3, as amended by Laws

2025, First Special Session chapter 11, section 11, is amended to read:

Subd. 3.

Agricultural Marketing and

Development

23,551,000

deleted text begin

23,301,000

deleted text end

new text begin

24,301,000

new text end

(a) $634,000 the first year and $634,000 the

second year are for the continuation of the

dairy development and profitability

enhancement program, including dairy

profitability teams and dairy business planning

grants under Minnesota Statutes, section

32D.30
.

(b) The commissioner may use funds

appropriated in this subdivision for annual

cost-share payments to resident farmers or

entities that sell, process, or package

agricultural products in this state for the costs

of organic certification. The commissioner

may allocate these funds for assistance to

persons transitioning from conventional to

organic agriculture.

(c) $100,000 the first year and $100,000 the

second year are for mental health outreach and

support to farmers, ranchers, farm workers

and employees, and others in the agricultural

community and profession and for farm and

farm worker safety grant and outreach

programs under Minnesota Statutes, section

17.1195
. Mental health outreach and support

may include a 24-hour hotline, stigma

reduction, and education. Notwithstanding

Minnesota Statutes, section
16A.28
, any

unencumbered balance does not cancel at the

end of the first year and is available in the

second year. The base for this appropriation

is $50,000 in fiscal year 2028 and each year

thereafter.

(d) $700,000 the first year and $700,000 the

second year are for the local food purchasing

assistance grant program under article 3,

section 35. Notwithstanding Minnesota

Statutes, section
16A.28
, any unencumbered

balance does not cancel at the end of the first

year and is available in the second year.

new text begin

(e) $1,000,000 the second year is to expand

the Emerging Farmers Office and provide

services to beginning and emerging farmers

to increase connections between farmers and

market opportunities throughout the state. This

appropriation may be used for grants,

translation services, training programs, or

other purposes in line with the

recommendations of the emerging farmer

working group established under Minnesota

Statutes, section 17.055, subdivision 1.

new text end

deleted text begin

(e)
deleted text end
new text begin
(f)
new text end
$18,257,000 the first year and

$18,007,000 the second year are for the

agricultural growth, research, and innovation

program under Minnesota Statutes, section

41A.12
. The base for this appropriation is

$17,449,000 in fiscal year 2028 and each year

thereafter.

deleted text begin

(f)
deleted text end
new text begin
(g)
new text end
Except as provided in paragraph
deleted text begin
(g)
deleted text end
new text begin
(h)
new text end
,

the commissioner may allocate the

appropriation in paragraph
deleted text begin
(e)
deleted text end
new text begin
(f)
new text end
each year

among the following areas: facilitating the

startup, modernization, improvement, or

expansion of livestock operations, including

beginning and transitioning livestock

operations with preference given to robotic

dairy-milking equipment; assisting

value-added agricultural businesses to begin

or expand, to access new markets, or to

diversify, including aquaponics systems, with

preference given to hemp fiber processing

equipment; facilitating the startup,

modernization, or expansion of other

beginning and transitioning farms, including

by providing loans under Minnesota Statutes,

section
41B.056
; sustainable agriculture

on-farm research and demonstration; the

development or expansion of food hubs and

other alternative community-based food

distribution systems; enhancing renewable

energy infrastructure and use; crop research,

including basic and applied turf seed research;

Farm Business Management tuition assistance;

supporting the commercialization of an

innovative material additive utilizing

agricultural coproducts or waste streams to

produce fiber-based barrier packaging to

reduce perfluoroalkyl and polyfluoroalkyl

substances (PFAS) and plastics in packaging

products; and good agricultural practices and

good handling practices certification

assistance. Notwithstanding Minnesota

Statutes, section
16B.98, subdivision 14
, the

commissioner may use up to 7.5 percent of

the appropriation in paragraph
deleted text begin
(e)
deleted text end
new text begin
(f)
new text end
for costs

incurred to administer the program.

deleted text begin

(g)
deleted text end
new text begin
(h)
new text end
Of the amount appropriated for the

agricultural growth, research, and innovation

program under Minnesota Statutes, section

41A.12
:

(1) $1,000,000 the first year and $1,000,000

the second year are for distribution in equal

amounts to each of the state's county fairs to

preserve and promote Minnesota agriculture;

(2) $3,000,000 the first year and $3,000,000

the second year are for incentive payments

under Minnesota Statutes, sections
41A.16
,

41A.17
,
41A.18
, and
41A.20
. If this

appropriation exceeds the total amount for

which all producers are eligible in a fiscal

year, the balance of the appropriation is

available for other purposes under this

paragraph;

(3) $2,750,000 the first year and $2,750,000

the second year are for grants that enable retail

petroleum dispensers, fuel storage tanks, and

other equipment to dispense biofuels to the

public in accordance with the biofuel

replacement goals established under

Minnesota Statutes, section
239.7911
. A retail

petroleum dispenser selling petroleum for use

in spark ignition engines for vehicle model

years after 2000 is eligible for grant money

under this clause if the retail petroleum

dispenser has no more than 20 retail petroleum

dispensing sites and each site is located in

Minnesota. The grant money must be used to

replace or upgrade equipment that does not

have the ability to be certified for E25. A grant

award must not exceed 65 percent of the cost

of the appropriate technology. A grant award

must not exceed $200,000 per station. The

commissioner must cooperate with biofuel

stakeholders in the implementation of the grant

program. The commissioner, in cooperation

with any economic or community development

financial institution and any other entity with

which the commissioner contracts, must

submit
deleted text begin
a
deleted text end
new text begin
the
new text end
report
deleted text begin
on
deleted text end
new text begin
under Minnesota

Statutes, section 41A.12, subdivision 3, that

includes metrics of
new text end
the biofuels infrastructure

financial assistance program
deleted text begin
by January 15
deleted text end

each year to the chairs and ranking minority

members of the legislative committees and

divisions with jurisdiction over agriculture

policy and finance. The annual report must

include but not be limited to a summary of the

following metrics: (i) the number and types

of projects financed; (ii) the amount of dollars

leveraged or matched per project; (iii) the

geographic distribution of financed projects;

(iv) any market expansion associated with

upgraded infrastructure; (v) the demographics

of the areas served; (vi) the costs of the

program; and (vii) the number of grants to

minority-owned or female-owned businesses;

(4) $350,000 the first year and $250,000 the

second year are for grants to facilitate the

startup, modernization, or expansion of meat,

poultry, egg, and milk processing facilities. A

grant award under this clause must not exceed

$200,000;

(5) $1,594,000 the first year and $1,544,000

the second year are for providing more fruits,

vegetables, meat, poultry, grain, and dairy for

children in school and early childhood

education settings, including, at the

commissioner's discretion, providing grants

to reimburse schools and early childhood

education and child care providers for

purchasing equipment and agricultural

products. Of the amount appropriated,

$150,000 each year is for a statewide

coordinator of farm-to-institution strategy and

programming. The coordinator must consult

with relevant stakeholders and provide

technical assistance and training for

participating farmers and eligible grant

recipients. The base for this appropriation is

$1,636,000 in fiscal year 2028 and each year

thereafter. At the commissioner's discretion,

for state administration of federal cooperative

agreements for purchasing Minnesota grown

and raised foods for schools, child care

providers, food banks, and other institutions,

the commissioner may use an amount of state

funds equal to no more than 7.5 percent of the

total federal funds awarded to the state. The

commissioner shall expend any available

federal administrative funds awarded for this

purpose before using state funds;

(6) up to $1,750,000 the first year and up to

$1,750,000 the second year are for grants to

facilitate the development of urban agriculture,

including projects related to youth education,

community and economic development,

value-added processing, and vocational

training;

(7) $1,000,000 the first year and $1,000,000

the second year are for the food retail

improvement and development program under

Minnesota Statutes, section
17.1017
;

(8) up to $200,000 the first year and up to

$200,000 the second year are for cooperative

development grants under Minnesota Statutes,

section
17.1016
;

(9) $250,000 the first year and $150,000 the

second year are for the protecting livestock

grant program for producers to support the

installation of measures to prevent the

transmission of avian influenza. For the

appropriation in this clause, a grant applicant

must document a cost-share of 20 percent. An

applicant's cost-share amount may be reduced

up to $2,000 to cover time and labor costs.

This is a onetime appropriation; and

(10) up to $525,000 the first year and up to

$525,000 the second year are to award AGRI

Works grants to institutions and organizations

to provide regional and statewide services.

Preference shall be given to legislatively

created entities and organizations that enhance

agricultural, horticultural, or rural community

and economic development, marketing, and

promotion, and research and education. A

grant award under this clause must not exceed

$200,000. Grants made under this paragraph

are subject to the requirements in Minnesota

Statutes, sections
16B.98
and
16B.981
. This

is a onetime appropriation.

deleted text begin

(h)
deleted text end
new text begin
(i)
new text end
Notwithstanding Minnesota Statutes,

section
16A.28
, the appropriation in paragraph
deleted text begin

(e)
deleted text end
new text begin
(f)
new text end
does not cancel at the end of the second

year and is available until June 30, 2029.

Appropriations encumbered under contract on

or before June 30, 2029, for agricultural

growth, research, and innovation grants are

available until June 30, 2032. At the end of

fiscal year 2027, the commissioner must

prioritize any money resulting from canceled

contracts to be used for AGRI Works grants

under paragraph
deleted text begin
(g)
deleted text end
new text begin
(h)
new text end
, clause (10).

Sec. 6.

Laws 2025, chapter 34, article 1, section 2, subdivision 4, as amended by Laws

2025, First Special Session chapter 11, section 12, is amended to read:

Subd. 4.

Administration and Financial

Assistance

14,179,000

deleted text begin

11,145,000

deleted text end

new text begin

9,895,000

new text end

(a) $474,000 the first year and $474,000 the

second year are for payments to county and

district agricultural societies and associations

under Minnesota Statutes, section
38.02,

subdivision 1
. Aid payments to county and

district agricultural societies and associations

must be disbursed no later than July 15 each

year. These payments are the amount of aid

from the state for an annual fair held in the

previous calendar year.

(b) $300,000 the first year and $300,000 the

second year are for grants to the Minnesota

Agricultural Education and Leadership

Council for programs of the council under

Minnesota Statutes, chapter 41D. The base for

this appropriation is $250,000 in fiscal year

2028 and each year thereafter.

(c) $1,250,000 the first year
deleted text begin
and $1,250,000

the second year are
deleted text end
new text begin
is
new text end
to award and administer

farm down payment assistance grants under

Minnesota Statutes, section
17.133
, with

priority given to eligible applicants with no

more than $100,000 in annual gross farm

product sales and eligible applicants who are

producers of industrial hemp, cannabis, or one

or more of the following specialty crops as

defined by the United States Department of

Agriculture for purposes of the specialty crop

block grant program: fruits and vegetables,

tree nuts, dried fruits, medicinal plants,

culinary herbs and spices, horticulture crops,

floriculture crops, and nursery crops.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance at the end

of the first year does not cancel and is

available in the second year
deleted text begin
and appropriations

encumbered under contract by June 30, 2027,

are available
deleted text end
new text begin
and any unencumbered balance

at the end of the second year does not cancel

and is available
new text end
until June 30, 2029.
deleted text begin
The base

for this appropriation is $1,000,000 in fiscal

year 2028 and each year thereafter.
deleted text end

(d) $1,000,000 the first year and $1,000,000

the second year are for the purchase of milk

for distribution to Minnesota's food shelves

and other charitable organizations that are

eligible to receive food from the food banks.

Milk purchased with grant money must be

acquired from Minnesota milk processors and

based on low-cost bids. The milk must be

allocated to each Feeding America food bank

serving Minnesota according to the formula

used in the distribution of United States

Department of Agriculture commodities under

The Emergency Food Assistance Program.

The commissioner may enter into contracts or

agreements with food banks for shared funding

or reimbursement of the direct purchase of

milk. Each food bank that receives funding

under this paragraph may use up to two

percent for administrative expenses.

Notwithstanding Minnesota Statutes, section

16A.28
, any unencumbered balance the first

year does not cancel and is available the

second year.

(e) $260,000 the first year and $260,000 the

second year are for a pass-through grant to

Region Five Development Commission to

provide, in collaboration with Farm Business

Management, statewide mental health

counseling support to Minnesota farm

operators, families, and employees, and

individuals who work with Minnesota farmers

in a professional capacity. Region Five

Development Commission may use up to 7.5

percent of the grant awarded under this

paragraph for administration.

(f) $1,000,000 the first year
deleted text begin
and $1,000,000

the second year are
deleted text end
new text begin
is
new text end
to expand the Emerging

Farmers Office and provide services to

beginning and emerging farmers to increase

connections between farmers and market

opportunities throughout the state. This

appropriation may be used for grants,

translation services, training programs, or

other purposes in line with the

recommendations of the emerging farmer

working group established under Minnesota

Statutes, section
17.055, subdivision 1
.

(g) $137,000 the first year and $203,000 the

second year are to support current services.

(h) $337,000 the first year and $337,000 the

second year are for farm advocate services.

Of these amounts, $50,000 the first year and

$50,000 the second year are for the

continuation of the farmland transition

programs and may be used for grants to

farmland access teams to provide technical

assistance to potential beginning farmers.

Farmland access teams must assist existing

farmers and beginning farmers with

transitioning farm ownership and farm

operation. Services provided by teams may

include but are not limited to mediation

assistance, designing contracts, financial

planning, tax preparation, estate planning, and

housing assistance.

(i) $3,000,000 the first year is for transfer to

the Public Facilities Authority for a grant to

First District Association to acquire land for

and to design, engineer, construct, equip, and

furnish a wastewater treatment project. This

appropriation is in addition to the

appropriation in Laws 2023, chapter 71, article

1, section 15, subdivision 7. This appropriation

is available until the project is completed or

abandoned, subject to Minnesota Statutes,

section
16A.642
.

deleted text begin

(k)
deleted text end
new text begin
(j)
new text end
$50,000 the first year is to be awarded

as a grant in a competitive bid process to an

entity that is not a for-profit entity to conduct

a study of market and workforce factors that

may contribute to the incorrect marking for

the installation of underground

telecommunications infrastructure that is

located within ten feet of existing underground

utilities or that crosses the existing

underground utilities. The study must include

recommendations to the legislature and be

submitted to the chairs and ranking minority

members of the legislative committees and

divisions with jurisdiction over agriculture

policy and finance by June 1, 2027.

deleted text begin

(r)
deleted text end
new text begin
(k)
new text end
$50,000 the first year is to conduct a

study and develop recommendations for

establishing an incentive-based program to

support and encourage agricultural retailers

in promoting 4R nutrient management

practices. The 4R nutrient management

practices include: the right source of nutrients,

at the right rate and right time, in the right

place.

(1) As part of the study, the department must

evaluate strategies for leveraging cost-share

programs, including the feasibility of

coordinating with the Agricultural Water

Quality Certification Program and other efforts

related to the state's Nutrient Reduction

Strategy.

(2) The commissioner must submit a report

detailing its findings, including potential

funding sources and proposal outlines for

funding requests where appropriate. The

commissioner must submit the report to the

chairs and ranking minority members of the

legislative committees with jurisdiction over

agriculture and environment by March 15,

2026.

new text begin

(l) $1,250,000 the second year is to award and

administer farm down payment assistance

grants under Minnesota Statutes, section

17.133, with priority given to eligible

applicants with annual gross farm product

sales between $1,000 and $100,000. Of this

appropriation, up to 50 percent may be

awarded by lottery to priority applicants who

possess a purchase agreement as of June 30,

2026. Notwithstanding Minnesota Statutes,

section 16A.28, any unencumbered balance

at the end of the second year does not cancel

and is available until June 30, 2030. The base

for this appropriation is $1,000,000 in fiscal

year 2028 and each year thereafter.

new text end

deleted text begin

(s)
deleted text end
new text begin
(m)
new text end
The commissioner shall continue to

increase connections with ethnic minority and

immigrant farmers to farming opportunities

and farming programs throughout the state.

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective July 1, 2026.

new text end

ARTICLE 2

AGRICULTURE POLICY

Section 1.

Minnesota Statutes 2025 Supplement, section 17.1017, subdivision 9, is amended

to read:

Subd. 9.

Legislative report.

The commissioner, in cooperation with any economic or

community development financial institution and any other entity with which it contracts,

shall submit
deleted text begin
an annual
deleted text end

new text begin
the
new text end
report
deleted text begin
on
deleted text end

new text begin
under section 41A.12, subdivision 3, that includes

metrics of
new text end
the food retail improvement and development program
deleted text begin
by January 15 of
deleted text end
each

year to the chairs and ranking minority members of the house of representatives and senate

committees and divisions with jurisdiction over agriculture policy and finance. The
deleted text begin
annual
deleted text end

report shall include
deleted text begin
, but not be limited to,
deleted text end
a summary of the following metrics:

(1) the number and types of projects financed;

(2) the amount of dollars leveraged or matched per project;

(3) the geographic distribution of financed projects;

(4) the number and types of technical assistance recipients;

(5) the demographics of the areas served;

(6) the costs of the program;

(7) the number of SNAP dollars spent;

(8) any increase in retail square footage;

(9) the number of loans or grants to businesses owned by women and Black, Indigenous,

or Persons of Color; and

(10) measurable economic and health outcomes, including, but not limited to, increases

in sales and consumption of locally sourced and other fresh fruits and vegetables, the number

of construction and retail jobs retained or created, and any health initiatives associated with

the program.

Sec. 2.

Minnesota Statutes 2025 Supplement, section 17.133, subdivision 1, is amended

to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have

the meanings given.

(b) "Eligible farmer" means an individual who at the time that the grant is awarded:

(1) is a resident of Minnesota who intends to acquire farmland located within the state

and provide the majority of the day-to-day physical labor and management of the farm;

(2) grosses no more than $250,000 per year from the sale of farm products;

new text begin

(3) has earned at least $1,000 in farm income or has evidence of farming experience;

new text end

new text begin

(4) has a net worth that does not exceed the limit under section 41B.03, subdivision 3,

paragraph (a), clause (2);

new text end

deleted text begin

(3)
deleted text end
new text begin
(5)
new text end
has not, and whose spouse has not, at any time had a direct or indirect ownership

interest in farmland; and

deleted text begin

(4)
deleted text end
new text begin
(6)
new text end
is not, and whose spouse is not, a family member of the owner of the farmland

that the individual intends to acquire. "Family member" has the meaning given in section

267(c)(4) of the Internal Revenue Code.

new text begin

(c) "Evidence of farming experience" means that an individual has:

new text end

new text begin

(1) completed an approved farm business management program;

new text end

new text begin

(2) a four-year degree in an agriculture-related field; or

new text end

new text begin

(3) at least three years of experience managing a comparable farm.

new text end

deleted text begin

(c)
deleted text end
new text begin
(d)
new text end
"Farm down payment" means an initial, partial payment required by a lender or

seller to purchase farmland.

deleted text begin

(d)
deleted text end
new text begin
(e)
new text end
"Incubator farm" means a farm where:

(1) individuals are given temporary, exclusive, and affordable access to small parcels

of land, infrastructure, and often training, for the purpose of honing skills and launching a

farm business; and

(2) a majority of the individuals farming the small parcels of land grow industrial hemp,

cannabis, or one or more of the following specialty crops as defined by the United States

Department of Agriculture for purposes of the specialty crop block grant program: fruits

and vegetables, tree nuts, dried fruits, medicinal plants, culinary herbs and spices, horticulture

crops, floriculture crops, and nursery crops.

deleted text begin

(e)
deleted text end
new text begin
(f)
new text end
"Limited land access" means farming without ownership of land and:

(1) the individual or the individual's child rents or leases the land, with the term of each

rental or lease agreement not exceeding three years in duration, from a person who is not

related to the individual or the individual's spouse by blood or marriage; or

(2) the individual rents the land from an incubator farm.

deleted text begin

(f)
deleted text end
new text begin
(g)
new text end
"Limited market access" means the individual has gross sales of no more than

$100,000 per year from the sale of farm products.

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective July 1, 2026.

new text end

Sec. 3.

Minnesota Statutes 2025 Supplement, section 17.133, subdivision 2, is amended

to read:

Subd. 2.

Grants.

The commissioner may award farm down payment assistance grants

of up to
new text begin
30 percent of the purchase price of a farm, with a maximum grant of
new text end
$20,000 per

eligible farmer. Each award must be matched with at least $8,000 of other funding. Grants

under this subdivision may be awarded by a randomized selection process after applications

are collected over a period of no less than 30 calendar days. An eligible farmer must commit

to own and farm the land purchased with assistance provided under this section for at least

five years.
new text begin
For the first five years, each recipient must verify gross farm income of at least

$1,000 or demonstrate investment of at least $1,000 in farm business infrastructure,

equipment, perennial crops, or livestock.
new text end
For each year that a grant recipient does not own

and farm the land during the five-year period, the grant recipient must pay a penalty to the

commissioner equal to 20 percent of the grant amount.

new text begin

EFFECTIVE DATE.

new text end

new text begin

This section is effective July 1, 2026.

new text end

Sec. 4.

Minnesota Statutes 2024, section 17.458, subdivision 1, is amended to read:

Subdivision 1.

Definition.

"Agroforestry" means
new text begin
the intentional integration of trees and

shrubs into crop and animal farming systems to create a more sustainable, diverse, and

productive land-use system. Agroforestry includes
new text end
the cultivation of short-rotation woody

crops using agricultural practices to produce timber or forest products.

Sec. 5.

Minnesota Statutes 2024, section 18J.01, is amended to read:

18J.01 DEFINITIONS.

(a) The definitions in
new text begin
this section; chapters 18G, 18H, 18K, 27, 223, 231, and 232; and
new text end

sections
deleted text begin
18G.02
,
18H.02
,
18K.02
,
27.01
,
223.16
,
231.01
, and
232.21
deleted text end
new text begin
21.111 to 21.125 and

21.80 to 21.92
new text end
apply to this chapter.

(b) For purposes of this chapter, "associated rules" means rules adopted under this

chapter, chapter 18G, 18H, 18K, 27, 223, 231, or 232, or sections
new text begin
21.111 to 21.125 and
new text end

21.80
to
21.92
.

Sec. 6.

Minnesota Statutes 2024, section 18J.02, is amended to read:

18J.02 DUTIES OF COMMISSIONER.

The commissioner shall administer and enforce this chapter, chapters 18G, 18H, 18K,

27, 223, 231, and 232; sections
new text begin
21.111 to 21.125, and
new text end
21.80
to
21.92
; and associated rules.

Sec. 7.

Minnesota Statutes 2024, section 18J.03, is amended to read:

18J.03 CIVIL LIABILITY.

A person regulated by this chapter, chapter 18G, 18H, 18K, 27, 223, 231, or 232, or

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
, is civilly liable for any violation of one of those

statutes or associated rules by the person's employee or agent.

Sec. 8.

Minnesota Statutes 2024, section 18J.04, subdivision 1, is amended to read:

Subdivision 1.

Access and entry.

The commissioner, upon presentation of official

department credentials, must be granted immediate access at reasonable times to sites where

a person manufactures, distributes, uses, handles, disposes of, stores, or transports seeds,

plants, grain, household goods, general merchandise, produce, or other living or nonliving

products or other objects regulated under chapter 18G, 18H, 18K, 27, 223, 231, or 232;

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules.

Sec. 9.

Minnesota Statutes 2024, section 18J.04, subdivision 2, is amended to read:

Subd. 2.

Purpose of entry.

(a) The commissioner may enter sites for:

(1) inspection of inventory and equipment for the manufacture, storage, handling,

distribution, disposal, or any other process regulated under chapter 18G, 18H, 18K, 27, 223,

231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules;

(2) sampling of sites, seeds, plants, products, grain, household goods, general

merchandise, produce, or other living or nonliving objects that are manufactured, stored,

distributed, handled, or disposed of at those sites and regulated under chapter 18G, 18H,

18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules;

(3) inspection of records related to the manufacture, distribution, storage, handling, or

disposal of seeds, plants, products, grain, household goods, general merchandise, produce,

or other living or nonliving objects regulated under chapter 18G, 18H, 18K, 27, 223, 231,

or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules;

(4) investigating compliance with chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin

21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules; or

(5) other purposes necessary to implement chapter 18G, 18H, 18K, 27, 223, 231, or 232;

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules.

(b) The commissioner may enter any public or private premises during or after regular

business hours without notice of inspection when a suspected violation of chapter 18G,

18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated

rules may threaten public health or the environment.

Sec. 10.

Minnesota Statutes 2024, section 18J.04, subdivision 3, is amended to read:

Subd. 3.

Notice of inspection samples and analyses.

(a) The commissioner shall provide

the owner, operator, or agent in charge with a receipt describing any samples obtained. If

requested, the commissioner shall split any samples obtained and provide them to the owner,

operator, or agent in charge. If an analysis is made of the samples, a copy of the results of

the analysis must be furnished to the owner, operator, or agent in charge within 30 days

after an analysis has been performed. If an analysis is not performed, the commissioner

must notify the owner, operator, or agent in charge within 30 days of the decision not to

perform the analysis.

(b) The sampling and analysis must be done according to methods provided for under

applicable provisions of chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to

21.125 or
new text end
21.80
to
21.92
; or associated rules. In cases not covered by those sections and

methods or in cases where methods are available in which improved applicability has been

demonstrated the commissioner may adopt appropriate methods from other sources.

Sec. 11.

Minnesota Statutes 2024, section 18J.04, subdivision 4, is amended to read:

Subd. 4.

Inspection requests by others.

(a) A person who believes that a violation of

chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
;

or associated rules has occurred may request an inspection by giving notice to the

commissioner of the violation. The notice must be in writing, state with reasonable

particularity the grounds for the notice, and be signed by the person making the request.

(b) If after receiving a notice of violation the commissioner reasonably believes that a

violation has occurred, the commissioner shall make a special inspection in accordance with

the provisions of this section as soon as practicable, to determine if a violation has occurred.

(c) An inspection conducted pursuant to a notice under this subdivision may cover an

entire site and is not limited to the portion of the site specified in the notice. If the

commissioner determines that reasonable grounds to believe that a violation occurred do

not exist, the commissioner must notify the person making the request in writing of the

determination.

Sec. 12.

Minnesota Statutes 2024, section 18J.05, subdivision 1, is amended to read:

Subdivision 1.

Enforcement required.

(a) A violation of chapter 18G, 18H, 18K, 27,

223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or an associated rule is a

violation of this chapter.

(b) Upon the request of the commissioner, county attorneys, sheriffs, and other officers

having authority in the enforcement of the general criminal laws must take action to the

extent of their authority necessary or proper for the enforcement of chapter 18G, 18H, 18K,

27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules or

valid orders, standards, stipulations, and agreements of the commissioner.

Sec. 13.

Minnesota Statutes 2024, section 18J.05, subdivision 2, is amended to read:

Subd. 2.

Commissioner's discretion.

If minor violations of chapter 18G, 18H, 18K,

27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules occur

or the commissioner believes the public interest will be best served by a suitable notice of

warning in writing, this section does not require the commissioner to:

(1) report the violation for prosecution;

(2) institute seizure proceedings; or

(3) issue a withdrawal from distribution, stop-sale, or other order.

Sec. 14.

Minnesota Statutes 2024, section 18J.05, subdivision 6, is amended to read:

Subd. 6.

Agent for service of process.

All persons licensed, permitted, registered, or

certified under chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end

21.80
to
21.92
; or associated rules must appoint the commissioner as the agent upon whom

all legal process may be served and service upon the commissioner is deemed to be service

on the licensee, permittee, registrant, or certified person.

Sec. 15.

Minnesota Statutes 2024, section 18J.06, is amended to read:

18J.06 FALSE STATEMENT OR RECORD.

A person must not knowingly make or offer a false statement, record, or other information

as part of:

(1) an application for registration, license, certification, or permit under chapter 18G,

18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated

rules;

(2) records or reports required under chapter 18G, 18H, 18K, 27, 223, 231, or 232;

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules; or

(3) an investigation of a violation of chapter 18G, 18H, 18K, 27, 223, 231, or 232;

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules.

Sec. 16.

Minnesota Statutes 2024, section 18J.07, subdivision 3, is amended to read:

Subd. 3.

Cancellation of registration, permit, license, certification.

The commissioner

may cancel or revoke a registration, permit, license, or certification provided for under

chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
;

or associated rules or refuse to register, permit, license, or certify under provisions of chapter

18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or

associated rules if the registrant, permittee, licensee, or certified person has used fraudulent

or deceptive practices in the evasion or attempted evasion of a provision of chapter 18G,

18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated

rules.

Sec. 17.

Minnesota Statutes 2024, section 18J.07, subdivision 4, is amended to read:

Subd. 4.

Service of order or notice.

(a) If a person is not available for service of an

order, the commissioner may attach the order to the facility, site, seed or seed container,

plant or other living or nonliving object regulated under chapter 18G, 18H, 18K, 27, 223,

231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules and notify the

owner, custodian, other responsible party, or registrant.

(b) The seed, seed container, plant, or other living or nonliving object regulated under

chapter 18G, 18H, 18K, 27, 223, 231, or 232; sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
;

or associated rules may not be sold, used, tampered with, or removed until released under

conditions specified by the commissioner, by an administrative law judge, or by a court.

Sec. 18.

Minnesota Statutes 2024, section 18J.07, subdivision 5, is amended to read:

Subd. 5.

Unsatisfied judgments.

(a) An applicant for a license, permit, registration, or

certification under provisions of this chapter, chapter 18G, 18H, 18K, 27, 223, 231, or 232;

sections
new text begin
21.111 to 21.125 or
new text end
21.80
to
21.92
; or associated rules may not allow a final

judgment against the applicant for damages arising from a violation of those statutes or

rules to remain unsatisfied for a period of more than 30 days.

(b) Failure to satisfy, within 30 days, a final judgment resulting from a violation of this

chapter results in automatic suspension of the license, permit, registration, or certification.

Sec. 19.

Minnesota Statutes 2024, section 18J.09, is amended to read:

18J.09 CREDITING OF PENALTIES, FEES, AND COSTS.

Penalties, cost reimbursements, fees, and other money collected under this chapter must

be deposited into the state treasury and credited to the appropriate nursery and phytosanitary
new text begin

account under section 18H.17
new text end
, industrial hemp
new text begin
account under section 18K.07
new text end
,
deleted text begin
or
deleted text end
seed
new text begin
potato

inspection
new text end
account
new text begin
under section 21.115, seed inspection account under section 21.92, or

grain buyers and storage account under sections 223.17 and 232.22
new text end
.

Sec. 20.

Minnesota Statutes 2024, section 18K.02, subdivision 5, is amended to read:

Subd. 5.

Processing.

"Processing" means rendering by refinement hemp plants or hemp

plant parts from their natural or original state after harvest. Processing includes but is not

limited to decortication, devitalization, chopping, crushing, extraction
new text begin
of plant substances

other than cannabinoids
new text end
, and
deleted text begin
packaging
deleted text end
new text begin
pressing
new text end
. Processing does not include typical farm

operations such as sorting, grading, baling, and harvesting. Processing does not include
new text begin

extraction of cannabinoids or
new text end
the production of artificially derived cannabinoids as defined

in section
342.01, subdivision 6
.

Sec. 21.

Minnesota Statutes 2024, section 18K.02, subdivision 6, is amended to read:

Subd. 6.

Processing location.

"Processing location" means any area, building, plant, or

facility registered with and approved by the commissioner in which a licensee converts raw
new text begin

industrial
new text end
hemp into a marketable product.

Sec. 22.

Minnesota Statutes 2024, section 18K.04, subdivision 1, is amended to read:

Subdivision 1.

Requirement; issuance; presumption.

(a) A person must obtain a license

from the commissioner before (1) growing industrial hemp, (2) processing industrial hemp,

or (3) researching industrial hemp.

(b) To obtain a license under paragraph (a), a person must apply to the commissioner

in the form prescribed by the commissioner and must pay the annual registration and

inspection fee established by the commissioner in accordance with section
16A.1285,

subdivision 2
.

(c) For a license to grow
new text begin
or process
new text end
industrial hemp, the license application must include

the name and address of the applicant and the legal description of the land area or areas

where industrial hemp will be grown
new text begin
or processed
new text end
by the applicant and any other information

required under Code of Federal Regulations, title 7, part 990.

deleted text begin

(d) For a license to process industrial hemp, the license application must include the

name and address of the applicant, the legal description of the processing location, and any

other information required by the commissioner.

deleted text end

deleted text begin

(e)
deleted text end

new text begin
(d)
new text end
A licensee is responsible for compliance with the license requirements irrespective

of the acts or omissions of an authorized representative acting on behalf of the licensee.

deleted text begin

(f)
deleted text end

new text begin
(e)
new text end
When an applicant has paid the fee and completed the application process to the

satisfaction of the commissioner, the commissioner must issue a license which is valid until

December 31 of the year of application.

deleted text begin

(g)
deleted text end

new text begin
(f)
new text end
A person licensed under paragraph (a) to grow industrial hemp is presumed to be

growing industrial hemp for commercial or research purposes.

Sec. 23.

Minnesota Statutes 2024, section 21.111, is amended to read:

21.111 DEFINITIONS.

Subdivision 1.

Scope.

When used in sections
21.111
to
deleted text begin
21.122
deleted text end
new text begin
21.125
new text end
the terms defined

in this section shall have the meanings ascribed to them.

deleted text begin

Subd. 2.

deleted text end

deleted text begin

Inspected.

deleted text end

deleted text begin

"Inspected" means that the potato plants are examined in the field

and that the harvested potatoes produced by the potato plants are examined by or under the

authority of the commissioner. For seed potatoes produced in a lab, inspected means that

the lab's records, including records related to the lab's procedures and protocols, as well as

the seed potatoes, have been examined under the authority of the commissioner.

deleted text end

Subd. 3.

Certified.

"Certified" means that the potatoes
deleted text begin
were
deleted text end
new text begin
have been
new text end
inspected while

growing in the field and
new text begin
, when possible,
new text end
again after being harvested, and
deleted text begin
were thereafter

duly certified
deleted text end
deleted text begin
by or under the authority of the commissioner, as provided
deleted text end
new text begin
the potatoes meet

the requirements
new text end
in sections
21.111
to
deleted text begin
21.122
, and as provided by rules adopted and published

by the commissioner
deleted text end
new text begin
21.125
new text end
. For seed potatoes produced in a
deleted text begin
lab
deleted text end
new text begin
an indoor facility or

greenhouse
new text end
, certified means that:

deleted text begin

(1)
deleted text end
the seed potato
deleted text begin
lab
deleted text end
facilities
new text begin
,
new text end

deleted text begin
and the lab's
deleted text end
procedures
new text begin
,
new text end
and protocols have been

examined under the authority of the commissioner
deleted text begin
; and
deleted text end
new text begin
.
new text end

deleted text begin

(2) the seed potatoes have been inspected after they have been harvested, removed, or

released from the lab, and were duly certified by or under the authority of the commissioner,

as provided in sections
21.111
to
21.122
.

deleted text end

deleted text begin

Subd. 3a.

deleted text end

deleted text begin

Interstate cooperation.

deleted text end

deleted text begin

In order to best use state resources, the commissioner

may enter into agreements with other seed potato certification entities to carry out the

purposes of sections
21.111
to
21.122
. Any agreement may provide for field inspections,

shipping point inspections, winter tests, and other certification functions to be carried out

by personnel employed by either entity according to methods determined by the certification

entities of the respective areas. The commissioner may extend seed potato certification

services to states where growers wish to grow certified seed potatoes and the state does not

have a seed potato certification program. Any agreement must be reported to the chairs of

the legislative committees responsible for the budget or policy of the seed potato inspection

program and to the commissioner of management and budget.

deleted text end

new text begin

Subd. 3b.

new text end

new text begin

Certified seed potatoes.

new text end

new text begin

"Certified seed potatoes" means potatoes that have

been produced, graded, sacked or placed in bulk, inspected, and certified in accordance with

this chapter.

new text end

new text begin

Subd. 3c.

new text end

new text begin

Class.

new text end

new text begin

"Class" means the seed quality level related to compliance with

tolerances for diseases and varietal purity.

new text end

new text begin

Subd. 3d.

new text end

new text begin

Clone.

new text end

new text begin

"Clone" means a unit of seed potatoes that is the progeny of one plant,

which has been tested to become eligible to produce Generation 1 class seed potatoes.

new text end

new text begin

Subd. 3e.

new text end

new text begin

Commissioner.

new text end

new text begin

"Commissioner" means the commissioner of agriculture or

the commissioner's designee.

new text end

new text begin

Subd. 3f.

new text end

new text begin

Crop.

new text end

new text begin

"Crop" means all lots produced on a farm in one year.

new text end

new text begin

Subd. 3g.

new text end

new text begin

Department.

new text end

new text begin

"Department" means the Department of Agriculture.

new text end

new text begin

Subd. 3h.

new text end

new text begin

Explant.

new text end

new text begin

"Explant" means an in vitro potato plant or a plantlet that is produced

by rooting an excised tip of a tuber sprout or an axillary bud from a growing plant and that

serves as a parent for a whole clone or accession of micropropagated plants or plantlets.

new text end

new text begin

Subd. 3i.

new text end

new text begin

Farm.

new text end

new text begin

"Farm" means a potato-growing enterprise. Farm includes all land,

equipment, storage facilities, and laborers used to produce potatoes.

new text end

new text begin

Subd. 3j.

new text end

new text begin

Field.

new text end

new text begin

"Field" means a plot of land on a farm where potatoes are grown.

new text end

new text begin

Subd. 3k.

new text end

new text begin

Inspected.

new text end

new text begin

(a) For plants growing in a field, "inspected" means that the

commissioner has examined the plants in the field where the plants are grown and has

visually assessed the plants for disease and factors impacting quality.

new text end

new text begin

(b) For harvested potatoes, inspected means that the commissioner has observed the

tubers and, when requested, the commissioner has evaluated the tubers for quality and

conditions described in section 21.125.

new text end

new text begin

(c) For seed potatoes produced in a facility or greenhouse, inspected means that the

commissioner has examined the seed potatoes and the facility's records, including records

related to the facility's procedures and protocols.

new text end

new text begin

Subd. 3l.

new text end

new text begin

Lot.

new text end

new text begin

"Lot" means a group of seed potatoes of one variety, planted in one

continuous plot, grown on the same farm, and physically separated from other lots while

being grown and stored.

new text end

new text begin

Subd. 3m.

new text end

new text begin

Material in maintenance.

new text end

new text begin

"Material in maintenance" means propagative

material, plantlets, or tubers that are maintained, not multiplied, under controlled laboratory

conditions.

new text end

new text begin

Subd. 3n.

new text end

new text begin

Roguing.

new text end

new text begin

"Roguing" is the process of removing infected plants from a field

of certified seed potatoes.

new text end

new text begin

Subd. 3o.

new text end

new text begin

Stand.

new text end

new text begin

"Stand" is the live plant population in a certified seed potato lot.

new text end

Subd. 5.

Seed potatoes.

"Seed potatoes" means potatoes used, sold, offered or exposed

for sale, or held with intent to sell or as a sample representing any lot or stock of potatoes

offered or exposed for sale or held with intent to sell within this state, for the purpose of

planting.

Subd. 6.

Person.

"Person" includes an individual,
new text begin
a
new text end
partnership,
new text begin
a
new text end
corporation,
new text begin
a
new text end
company,
new text begin

a
new text end
society,
new text begin
an
new text end
association, and
deleted text begin
firms
deleted text end
new text begin
a firm
new text end
.

new text begin

Subd. 7.

new text end

new text begin

Physically separated.

new text end

new text begin

"Physically separated" means separated by at least the

width of one row and markings such as flags at every corner of the lot.

new text end

new text begin

Subd. 8.

new text end

new text begin

Rejected.

new text end

new text begin

"Rejected" means that a field or lot fails to meet the certification

standards in this chapter.

new text end

new text begin

Subd. 9.

new text end

new text begin

Tuber units.

new text end

new text begin

"Tuber units" means the separate pieces of one tuber that are

planted consecutively in two or more hills in a row.

new text end

new text begin

Subd. 10.

new text end

new text begin

Winter testing.

new text end

new text begin

"Winter testing" means growing out and visually inspecting

a representative sample of tubers from each seed lot for stand, vigor, varietal purity, and

disease.

new text end

Sec. 24.

Minnesota Statutes 2024, section 21.112, is amended by adding a subdivision to

read:

new text begin

Subd. 1a.

new text end

new text begin

Interstate cooperation.

new text end

new text begin

In order to best use state resources, the commissioner

may enter into agreements with other seed potato certification entities to carry out the

purposes of sections 21.111 to 21.125. An agreement under this subdivision may provide

for field inspections, shipping point inspections, winter testing, and other certification

functions to be carried out by personnel employed by either the commissioner or other seed

potato certification entities according to methods determined by the seed potato certification

entities. The commissioner may extend seed potato certification services to a state where

growers wish to grow certified seed potatoes and where the state does not have a seed potato

certification program. Any agreement under this subdivision must be reported to the chairs

and ranking minority members of the legislative committees responsible for the budget or

policy of the seed potato inspection program and to the commissioner of management and

budget.

new text end

Sec. 25.

Minnesota Statutes 2024, section 21.113, is amended to read:

21.113
new text begin
SHIPPING POINT
new text end
CERTIFICATES
deleted text begin
OF INSPECTION
deleted text end
new text begin
; CERTIFICATES

OF ORIGIN; AND BULK CERTIFICATES
new text end
.

new text begin

Subdivision 1.

new text end

new text begin

Shipping point inspections.

new text end

(a) The commissioner shall issue
new text begin
shipping

point
new text end
certificates of inspection only when seed potatoes have been inspected while growing

in the field and again after being harvested.

deleted text begin

(b) For seed potatoes produced in a lab

deleted text end

deleted text begin

, the commissioner shall issue certificates of

inspection only after:

deleted text end

deleted text begin

(1) the seed potato lab

deleted text end

deleted text begin

facility and the lab's

deleted text end

deleted text begin

records have been inspected; and

deleted text end

deleted text begin

(2) the seed potatoes have been inspected after they have been harvested, removed, or

released from the lab

deleted text end

deleted text begin

.

deleted text end

deleted text begin

(c)
deleted text end
new text begin
(b)
new text end
Certificates of inspection under this section shall show the varietal purity and the

freedom from disease and physical injury of such potatoes and any other information as

may be prescribed by
deleted text begin
rules adopted and published under
deleted text end
sections
21.111
to
deleted text begin
21.122
deleted text end
new text begin
21.125
new text end
.

new text begin

Subd. 2.

new text end

new text begin

Other certificates.

new text end

new text begin

(a) The use of a certificate of origin requires the approval

of the seller and the purchaser and must only be used for intrastate shipments between

certified seed potato producers. The certificate of origin must contain information considered

necessary by the commissioner and must at a minimum identify the producer, receiver,

variety, classification, quantity, date of shipment, and lot of the seed potatoes. The limitation

of warranty as described in paragraph (c) must not include any representation of the condition

of the potatoes at the time of shipment. A certificate of origin must only be used for intrastate

shipment if a shipping point inspection is not available. Use of a certificate of origin must

be approved by the commissioner prior to shipment.

new text end

new text begin

(b) A bulk certificate must include the date of issuance, class, grade, lot number, and

approximate weight of the load.

new text end

new text begin

(c) A certification does not represent a warranty of any kind, express or implied, including

merchantability, as to the quality of the crop produced from the certified seed potatoes. A

certification must only represent that the seed potatoes were produced, graded, sacked or

placed in bulk, and inspected in accordance with this chapter. A certification under this

subdivision must not include any representation of the condition of the potatoes at the time

of shipment.

new text end

Sec. 26.

Minnesota Statutes 2024, section 21.115, is amended to read:

21.115 FEES; SEED POTATO INSPECTION ACCOUNT.

The commissioner shall fix the fees for all inspections and certifications in such amounts

as from time to time may be found necessary to pay the expenses of carrying out and

enforcing the purposes of sections
21.111
to
deleted text begin
21.122
deleted text end
new text begin
21.125
new text end
, with a reasonable reserve, and

shall require the same to be paid before such inspections or certifications are made. All

moneys collected as fees or as penalties for violations of any of the provisions of such

sections shall be paid into the agricultural fund and credited to the seed potato inspection

account of the commissioner, which account is hereby created and appropriated for carrying

out the purposes of sections
21.111
to
deleted text begin
21.122
deleted text end
new text begin
21.125
new text end
. Interest, if any, received on deposits

of these moneys shall be credited to the account, and there shall be paid into this fund any

sum provided by the legislature for the purpose of carrying out the provisions of such

sections.

Sec. 27.

Minnesota Statutes 2024, section 21.117, is amended to read:

21.117 APPLICATIONS FOR INSPECTIONS; WITHDRAWALS
new text begin
;

AMENDMENTS
new text end
.

(a) Any person may make application to the commissioner for inspection or certification

of seed potatoes growing or to be grown. Upon receiving such application and the required

fee and such other information as may be required, the commissioner shall cause such

potatoes to be inspected or certified in accordance with the provisions of sections
21.111

to
deleted text begin
21.122
and the rules adopted and published thereunder
deleted text end
new text begin
21.125
new text end
.

(b) If a grower wishes to withdraw
deleted text begin
a field or lab
deleted text end
new text begin
an application
new text end
after having made
new text begin
a

timely
new text end
application for inspection and such withdrawal is requested before the field or
deleted text begin
lab
deleted text end
new text begin

facility
new text end
inspection has been made, the fee paid shall be refunded to said grower.
new text begin
A grower

must submit a withdrawal request in writing and include a reason for withdrawal. A grower

must remove withdrawn acres from production before the first field inspection.
new text end

new text begin

(c) If a grower wishes to amend an application after submitting a timely application for

inspection, the grower must submit the request in writing, including a reason for the

amendment.

new text end

Sec. 28.

Minnesota Statutes 2024, section 21.119, is amended to read:

21.119 USE OF CERTAIN TERMS FORBIDDEN; EXCEPTIONS.

It shall be unlawful to use or employ the term "certified" or the term "inspected," or any

term or terms conveying a meaning substantially equivalent to the meaning of either of

these terms, either orally or in writing, printing, marking, or otherwise in reference to or in

connection with, or in advertising or characterizing or labeling seed potatoes or the containers

thereof, unless such potatoes shall have been duly inspected and certified pursuant to the

provisions of sections
21.111
to
deleted text begin
21.122
deleted text end
new text begin
21.125
new text end
.

Sec. 29.

Minnesota Statutes 2024, section 21.1195, is amended to read:

21.1195 MINIMUM STANDARDS FOR PLANTING.

new text begin

(a)
new text end
Seed potatoes may not be planted in the state in lots
deleted text begin
of
deleted text end
new text begin
totaling
new text end
ten or more acres

unless the seed meets the minimum disease standards prescribed by the commissioner. Seed

potatoes may meet the standards by being certified in accordance with this chapter and rules

adopted by the commissioner, or under the certification program of another state or province

which, in the judgment of the commissioner, provides equivalent assurances of seed potato

quality. Seed potatoes may be planted without certification if they have had at least field

inspection as required for certified seed potatoes, have passed the field inspection standards

of disease tolerance, and are free from ring rot.
deleted text begin
A person that plants seed potatoes in violation

of this section is subject to a civil penalty of $20 per acre for each acre or part of an acre

planted in violation of this section.
deleted text end
Failure to maintain complete and accurate records in

accordance with this section
deleted text begin
or rules adopted by the commissioner is an additional violation

resulting in a separate civil penalty of $200 for each failure
deleted text end
new text begin
is a violation and subject to

enforcement under chapter 18J
new text end
.

new text begin

(b)
new text end
If there is not available to be planted in this state, in any year, a sufficient volume

of potato seed meeting certified seed potato disease standards, in any or all varieties, the

commissioner may, upon application by one or more growers, permit seed that does not

comply with this section to be planted for that growing season if the seed does not pose a

serious disease threat.

new text begin

(c)
new text end
Each grower shall keep records of each lot of seed potatoes planted. For each growing

season, the records must include, by field, the variety
new text begin
, planting location, number of acres

planted,
new text end
and source of the seed potatoes. Each grower shall
new text begin
register fields and
new text end
file records

as prescribed by the commissioner. All records must be made available for inspection by

the commissioner or the commissioner's agents during normal business hours.

new text begin

(d)
new text end
In addition to the enforcement powers and penalties in this section, the commissioner

may issue a subpoena to a grower in order to compel delivery of records which are required

under this section. These subpoenas are enforceable by any court of competent jurisdiction.

Sec. 30.

new text begin

[21.123] SEED POTATO CERTIFICATION.

new text end

new text begin

Subdivision 1.

new text end

new text begin

Eligibility.

new text end

new text begin

In order to produce certified seed potatoes, a grower must

comply with the following requirements:

new text end

new text begin

(1) a grower must ensure that potatoes meet the tolerances prescribed by this chapter

and the potatoes have been inspected by the commissioner while growing in a field;

new text end

new text begin

(2) a grower must ensure that all potatoes planted on the grower's farm have been entered

for certification by the commissioner;

new text end

new text begin

(3) a grower must ensure that each lot is grown while physically separated from other

lots. Markers must be visible to a person from any position in the field;

new text end

new text begin

(4) a grower must submit an application for certification before June 16 each year on

forms provided by the commissioner. The commissioner must charge a ten percent late

registration fee to a grower who submitted an application postmarked after June 15 and

before July 1. The commissioner may extend the deadline due to special circumstances,

such as a natural disaster, that make it impractical or impossible for planting to be completed

by the deadline and that affect an area or large number of growers. A grower must make a

request for an extension in writing before June 16;

new text end

new text begin

(5) an application for certification must include a North American Health Certificate

and a shipping point certificate, bulk seed certificate, or certificate of origin. The

commissioner may accept an incomplete application for certification;

new text end

new text begin

(6) an application for certification must demonstrate that the seed potatoes being entered

for certification originated from a class system in Minnesota or another state or province

under the supervision of another certifying agency; and

new text end

new text begin

(7) a grower must comply with sections 21.111 to 21.125. A grower's violation of sections

21.111 to 21.125 is cause for the commissioner to reject the grower's field or lot. A grower

must not sell or label potatoes as certified seed potatoes when the potatoes were grown in

a rejected field or lot.

new text end

new text begin

Subd. 2.

new text end

new text begin

Certification process.

new text end

new text begin

(a) As part of the certification process, the commissioner

must visually inspect sample plants from each field and lot belonging to the grower, except

that the commissioner is not required to visually inspect sample plants and tubers when

certifying prenuclear class potatoes.

new text end

new text begin

(b) For seed potato varieties that do not exhibit visible symptoms of a specific pathogen,

the commissioner must subject the seed potatoes to laboratory tests to determine the level

of a pathogen in a seed lot. Testing under this paragraph may occur during the growing

season, the storage season, or winter testing.

new text end

new text begin

(c) The commissioner may not accept an application for certification from a grower in

a community or county without sufficient acreage for total inspection fee charges to cover

the cost of wages and expenses of the commissioner to complete an inspection. The

commissioner may make a determination of sufficient acreage under this paragraph before

conducting an inspection as part of the certification process.

new text end

new text begin

(d) The commissioner must not inspect a field for certification unless both the planted

seed potato variety and the particular planted lot have been authorized by the commissioner.

When considering the authorization of a particular seed potato variety for planting as certified

seed potatoes, the commissioner must consider scientific evidence and the expert opinions

of inspectors.

new text end

new text begin

(e) The following classes of seed potatoes are eligible for planting as certified seed

potatoes: Prenuclear (PN), Generation 1 (G1), Generation 2 (G2), Generation 3 (G3),

Generation 4 (G4), Generation 5 (G5), and experimental class seed potatoes. The

commissioner may authorize the planting of Certified (C) class or Generation 6 (G6) class

seed potatoes if the commissioner determines that the seeds do not pose a serious threat of

disease to the public.

new text end

new text begin

Subd. 3.

new text end

new text begin

Bacterial ring rot or potato spindle tuber viroid.

new text end

new text begin

If the commissioner finds

the presence of bacterial ring rot or potato spindle tuber viroid in a field or lot, the

commissioner must reject the entire field or lot. If the commissioner discovers a single plant

in a field or a tuber in storage that is infected with bacterial ring rot or potato spindle tuber

viroid, the commissioner must reject the entire field or lot where the plant was grown. If

the commissioner has not found bacterial ring rot or potato spindle tuber viroid in a field

or lot, the field or lot is not necessarily free from either disease.

new text end

new text begin

Subd. 4.

new text end

new text begin

Winter testing.

new text end

new text begin

(a) In order to detect certain virus diseases, the commissioner

must conduct winter testing of a sample from each class seeking eligibility for recertification,

except PN and experimental classes. The commissioner must grow out and visually inspect

a representative sample of tubers from each seed lot for stand, vigor, varietal purity, and

disease. If, during a visual inspection, a plant shows signs of potato virus Y or potato leafroll

virus, or if the plant is of a variety that does not express visual symptoms of infection, the

commissioner must ensure that a sample of the plant is lab tested for potato virus Y and

potato leafroll virus. The commissioner must determine whether a field or lot contains the

threshold amount of disease permitted under section 21.124, subdivision 9. The commissioner

must include any lot that passes winter testing in the approved list of certified seed lots

eligible for recertification.

new text end

new text begin

(b) If the commissioner determines that a winter test of a lot or field has a serious

malfunction, the commissioner must base classification of the lot or field on summer field

readings from the previous year or lab testing.

new text end

new text begin

(c) Instead of winter testing a sample, the commissioner may accept comprehensive lab

testing if the commissioner determines that special circumstances exist, such as a natural

disaster, that would make submission of samples for inclusion in winter testing impractical

or impossible.

new text end

new text begin

(d) The commissioner must reject a field or lot if the commissioner determines that a

large number of plants are missing from the field or lot due to disease.

new text end

new text begin

(e) The commissioner must reject a field or lot if the commissioner determines that the

field or lot contains a large number of weak plants.

new text end

new text begin

(f) The commissioner may reject a field or lot if the field or lot contains a large number

of plants that have a mixture of variety.

new text end

new text begin

Subd. 5.

new text end

new text begin

Seed potato certification classes.

new text end

new text begin

Seed potato certification classes must be

differentiated by the potatoes' compliance with disease tolerances, varietal purity, and seed

origin. Seed potato certification classes are: Prenuclear (PN), Generation 1 (G1), Generation

2 (G2), Generation 3 (G3), Generation 4 (G4), Generation 5 (G5), Generation 6 (G6), and

Certified (C).

new text end

new text begin

Subd. 6.

new text end

new text begin

Experimental status.

new text end

new text begin

(a) Lots from a breeder's seed that have not been tested

and have not been determined to be virus-free are considered experimental. The commissioner

must designate seedlings or numbered selections in experimental status as a class and

determine requirements of that class.

new text end

new text begin

(b) To obtain experimental status under this subdivision, an applicant must submit a

written statement from the seedlings' or numbered selections' breeder, originator, or

originator's designee verifying that the applicant has full and unrestricted rights to introduce

the seedlings or numbered selections into the commercial market and that the applicant may

apply to enter the seedlings or numbered selections into the certification system. The written

statement must accompany the certification application submitted by the applicant.

new text end

new text begin

(c) After reviewing the applicant's written statement and certification application, the

commissioner may designate seedlings or numbered selections described in the application

as having experimental status.

new text end

new text begin

(d) After an applicant is notified by the commissioner that the seedlings or numbered

selections have experimental status, the applicant must ensure that the seedlings or numbered

selections are tagged with the word "EXPERIMENTAL."

new text end

new text begin

Subd. 7.

new text end

new text begin

Protected varieties.

new text end

new text begin

If an applicant seeks to enter a seed potato variety protected

under the Plant Variety Protection Act Amendments of 1994 into the certification system,

the applicant must submit a written statement from the breeder, originator, or originator's

designee that the applicant has full and unrestricted rights to introduce the protected variety

into the certification system. The applicant must ensure that the written statement

accompanies the certification application for any protected seed potato variety.

new text end

new text begin

Subd. 8.

new text end

new text begin

Certification factors; field inspection.

new text end

new text begin

(a) The commissioner must consider

the following factors when conducting a field inspection pursuant to a certification

application:

new text end

new text begin

(1) the commissioner must reject a field or lot if a large number of plants are missing

due to disease;

new text end

new text begin

(2) the commissioner must reject a field or lot if the field or lot contains a large number

of weak plants;

new text end

new text begin

(3) the commissioner must inspect a field or lot for bacterial ring rot. The commissioner

must reject a field or lot if the commissioner finds the presence of bacterial ring rot. If

bacterial ring rot is present in a field or lot, the remaining crop is not eligible for certification

planting;

new text end

new text begin

(4) the commissioner must reject a field or lot if the field or lot contains potatoes with

a level of disease higher than the acceptable tolerance for the disease for the potatoes' seed

potato certification class according to section 21.124, subdivision 9;

new text end

new text begin

(5) the commissioner must reject a field or lot if the field or lot contains a percentage

of diseased plants that exceeds the acceptable percentage of disease listed in section 21.124

for the seed potato certification class;

new text end

new text begin

(6) the commissioner must reject a field or lot if any of the following are present in the

field or lot to such an extent that the commissioner is unable to complete a satisfactory

inspection for diseases: early or late blight, blackleg or wilt of any kind, weeds, plant injury

from insects, or chemical damage; and

new text end

new text begin

(7) the commissioner must reject a field or lot if any other conditions are present to such

an extent that the commissioner is unable to make a satisfactory inspection for diseases.

new text end

new text begin

(b) The commissioner must determine that a field is ineligible for certification if cull

piles are in such close vicinity to the field that it is likely that the field is contaminated.

new text end

new text begin

(c) The commissioner must make at least two field inspections of a field during the

growing season. The commissioner must conduct a final inspection of a field for bacterial

ring rot during the time of year that symptoms of bacterial ring rot are most likely to be

observed. If the commissioner is unable to conduct a final inspection under this paragraph

due to management practices of the grower or for a reason that is out of the grower's control,

such as a natural disaster, the grower must ensure that laboratory testing is conducted to

maintain eligibility for certification. An additional inspection or additional laboratory testing

may be necessary to meet phytosanitary requirements in established markets in another state

or in a Canadian province.

new text end

new text begin

Subd. 9.

new text end

new text begin

Roguing.

new text end

new text begin

If any of the diseases listed in section 21.124, subdivision 1, are

present in a field in amounts greater than the maximum disease tolerance level, the grower

must rogue the field and remove the infected plants before the final inspection by the

commissioner. If a grower has completed roguing a field after tubers have formed, the

grower must remove and destroy all tubers from rogued plants.

new text end

new text begin

Subd. 10.

new text end

new text begin

Storage.

new text end

new text begin

(a) A grower must ensure that a lot is stored under conditions that

prevent disease contamination. A grower must not store a lot in any warehouse where other

potatoes are stored, unless the grower labels the lot according to paragraph (b).

new text end

new text begin

(b) If more than one grower stores lots in the same warehouse, each grower must identify

the grower's lots by labeling the bin containing the lot with the grower's name, the grower's

address, the variety of potatoes in the bin, and the number of potatoes in the bin.

new text end

new text begin

(c) If a grower plans to store a lot in a public warehouse or storage unit that is not directly

under the grower's control, the grower must send a complete record of storage to the

commissioner prior to storing the lot. The record must include the address and location of

the public warehouse or storage unit, the variety of potatoes in each bin, and the number of

potatoes in each bin. If a warehouse receipt for the lot is available, the grower must submit

a copy of the warehouse receipt to the commissioner. If more than one grower stores lots

in the same public warehouse or storage unit, the grower must label each lot according to

paragraph (b).

new text end

new text begin

(d) A grower must not use the same equipment for grading and handling lots of certified

seed potatoes and other potatoes. If a grower has used the same equipment for grading and

handling certified seed potatoes and other potatoes, the commissioner must reject the grower's

lots.

new text end

new text begin

(e) A firm that handles lots under contract must label each bin containing a lot with the

name of the grower whose lots are being stored. A firm handling lots under contract must

properly label and handle bins containing lots. A certification tag or bulk certificate must

not be issued unless all bins are properly labeled according to this paragraph.

new text end

new text begin

(f) By November 1 of each crop year, a grower must submit to the commissioner a

completed storage and yield report for each lot on a form prescribed by the commissioner.

The commissioner may extend the deadline after November 1 due to special circumstances,

such as a natural disaster, that would make it impractical or impossible for a grower to

complete harvesting and storage by November 1 and that affect an area or a large number

of growers. A grower must submit a written request for an extension to the commissioner

before November 1 of the crop year for which the extension is sought.

new text end

new text begin

Subd. 11.

new text end

new text begin

Tags; bulk certificates.

new text end

new text begin

(a) Once the commissioner has informed a grower

that the grower's potatoes meet the certification requirements in sections 21.111 to 21.125,

a grower may tag the potatoes using an approved tag indicating the grade of potatoes as

blue-tag-certified seed potato grade, yellow-tag-certified seed potato grade, or

white-tag-certified seed potato grade. A grower's name, the city where the farm is located,

the potato variety, and the crop year must be printed on a tag under this subdivision.

new text end

new text begin

(b) When fastening a tag to a potato sack, a grower must fasten the tag to the sack to

form a seal at the time that the lot or shipment is prepared.

new text end

new text begin

(c) A bulk certificate must include the date that the certificate was issued, class, grade,

lot number, shipping point certificate number, and approximate weight of the lot.

new text end

new text begin

(d) Only the person who grew the potatoes may order or print tags for the potatoes once

the commissioner has informed the person that the potatoes meet certification requirements

under sections 21.111 to 21.125.

new text end

new text begin

(e) A grower may print a tag for potatoes if the grower has provided proof of each lot

to the commissioner for review before using the tag. A tag printed by a grower must contain

the following statement: "The quality and condition of each lot is only confirmed through

a shipping point inspection certificate. This tag, without an accompanying shipping point

inspection certificate, is not proof that the potatoes contained within have been duly

inspected."

new text end

new text begin

Subd. 12.

new text end

new text begin

Certified seed potato grades.

new text end

new text begin

Certified seed potatoes must be classified by

certified seed potato grades based on the number of physical defects of tubers. A grower

must only use a certified seed potato grade for potatoes after a shipping point inspection of

the potatoes has been completed. The following three grades of certified seed potatoes must

be used for Minnesota-certified seed potatoes:

new text end

new text begin

(1) the blue-tag-certified seed potato grade is the first grade of certified seed potatoes.

The blue-tag-certified seed potato grade is stricter than other grades. The blue-tag-certified

seed potato grade does not allow as many physical defects of tubers as other grades. A

grower may use the blue-tag-certified seed potato grade for intrastate and interstate shipments

of certified seed potatoes;

new text end

new text begin

(2) the yellow-tag-certified seed potato grade is the second grade of certified seed

potatoes. The yellow-tag-certified seed potato grade allows more physical defects of tubers

than the blue-tag-certified seed potato grade. A grower may use the yellow-tag-certified

seed potato grade for intrastate and interstate shipments of certified seed potatoes; and

new text end

new text begin

(3) the white-tag-certified seed potato grade is the third grade of certified seed potatoes.

The number of physical defects that the white-tag-certified seed potato grade allows is

determined by an agreement between the purchaser and seller of the certified seed potatoes.

A grower may use the white-tag-certified seed potato grade for intrastate and interstate

shipments of certified seed potatoes.

new text end

new text begin

Subd. 13.

new text end

new text begin

Grading.

new text end

new text begin

(a) A grower must ensure that a lot is inspected at the shipping point

if the lot requires a grade statement.

new text end

new text begin

(b) If an inspection at the shipping point is impossible, a grower must request a grading

inspection in transit.

new text end

new text begin

(c) A grower must ensure that a bagged lot or shipment offered for sale and tagged with

approved certification tags is contained in new even-weight sacks.

new text end

new text begin

(d) A grower must ensure that a bulk shipment is identified with a bulk certificate.

new text end

new text begin

(e) A grower must ensure that a bagged lot and bulk lot or shipment meets grade standards

in section 21.125.

new text end

new text begin

(f) A grower must recondition a lot or shipment that fails to meet the grade standards in

section 21.125.

new text end

new text begin

(g) If a lot or shipment fails to meet grade standards and is contained in sacks, a grower

must remove approved certification tags from the lot or shipment before the lot or shipment

may proceed to its destination.

new text end

new text begin

(h) If a shipment is in bulk and fails to meet grade standards in section 21.125, a bulk

certificate must not be issued.

new text end

new text begin

(i) If a lot or shipment fails to meet grade standards, the shipper must bear the costs of

reconditioning potatoes to meet the grade standards in section 21.125.

new text end

Sec. 31.

new text begin

[21.124] REQUIREMENTS FOR PRODUCTION OF DIFFERENT

CLASSES OF CERTIFIED SEED POTATOES.

new text end

new text begin

Subdivision 1.

new text end

new text begin

Prenuclear class certified seed potatoes.

new text end

new text begin

(a) A lot grown as and intended

to be prenuclear class certified seed potatoes must be grown from plants tested and shown

to be free from the following pathogens:

new text end

new text begin

(1)
Clavibacter michiganensis
ssp.
sepedonicus
(ring rot);

new text end

new text begin

(2)
Pectobacterium atrosepticum
ssp.
Atrosepticum, carotovora
(blackleg);

new text end

new text begin

(3) potato virus X;

new text end

new text begin

(4) potato virus S;

new text end

new text begin

(5) potato virus A;

new text end

new text begin

(6) potato virus M;

new text end

new text begin

(7) potato virus Y;

new text end

new text begin

(8) potato spindle tuber viroid; and

new text end

new text begin

(9) potato leafroll virus.

new text end

new text begin

(b) When growing prenuclear class seed potatoes, a grower must ensure that each explant

or tuber is tested for organisms for which testing is required by the state or province of

destination. A grower must ensure that material in maintenance is tested during the year of

producing prenuclear class seed potatoes.

new text end

new text begin

(c) A grower must produce prenuclear class seed potatoes in a greenhouse, facility, or

screenhouse under sanitary conditions, free from insects and weeds that can harbor or

transmit potato diseases or other conditions that would allow possible disease contamination.

A grower must ensure that a facility used for growing prenuclear seed potatoes is sufficiently

insulated from insects by screens and double doors. The commissioner may inspect any

facility or equipment used for growing, handling, and storing prenuclear class seed potatoes

to verify that the facility or equipment complies with this paragraph.

new text end

new text begin

(d) A grower must ensure that one percent of each lot or ten plants or tubers from each

lot, whichever is greater, is tested during the growing season to verify that the crop is free

from potato virus X, potato virus Y, potato leafroll virus,
C. michiganensis
, and
P.

atrosepticum
.

new text end

new text begin

(e) Prenuclear tubers may originate from greenhouse tubers for one year only if the

greenhouse tubers have remained at the same growing operation and have remained isolated

from field-grown tubers.

new text end

new text begin

(f) Prenuclear class certified seed potatoes must not contain more than the allowable

tolerances for disease and varietal mixture in subdivision 9.

new text end

new text begin

Subd. 2.

new text end

new text begin

Generation 1 class certified seed potatoes.

new text end

new text begin

(a) Generation 1 class seed potatoes

must meet the following requirements:

new text end

new text begin

(1) the seed source must be either prenuclear tubers, clones, or plantlets; and

new text end

new text begin

(2) tuber units or plantlets must be planted in identifiable family units.

new text end

new text begin

(b) Subject to the commissioner's approval, lots in Generation 1 class may be exempt

from winter testing requirements if leaves collected during the growing season are laboratory

tested and shown to be within the allowable tolerance of potato virus X, potato virus Y, and

other pathogens identified by the commissioner.

new text end

new text begin

(c) Each lot must be stored in an individual identifiable unit.

new text end

new text begin

(d) Generation 1 seed potatoes must not contain more than the allowable tolerances for

disease and varietal mixture for seed potatoes in subdivision 9.

new text end

new text begin

Subd. 3.

new text end

new text begin

Generation 2 class certified seed potatoes.

new text end

new text begin

Generation 2 class seed potatoes

must originate from Generation 1 class seed potatoes. Generation 2 class seed potatoes must

not contain more than the allowable tolerances of disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 4.

new text end

new text begin

Generation 3 class certified seed potatoes.

new text end

new text begin

Generation 3 class seed potatoes

must originate from Generation 2 class seed potatoes. Generation 3 class seed potatoes must

not contain more than the allowable tolerances of disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 5.

new text end

new text begin

Generation 4 class certified seed potatoes.

new text end

new text begin

Generation 4 class seed potatoes

must originate from Generation 3 class seed potatoes. Generation 4 class seed potatoes must

not contain more than the allowable tolerances for disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 6.

new text end

new text begin

Generation 5 class certified seed potatoes.

new text end

new text begin

Generation 5 class seed potatoes

must originate from Generation 4 class seed potatoes. Generation 5 class seed potatoes must

not contain more than the allowable tolerances for disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 7.

new text end

new text begin

Generation 6 class certified seed potatoes.

new text end

new text begin

Generation 6 class seed potatoes

must originate from Generation 5 class seed potatoes. Generation 6 class seed potatoes must

not contain more than the allowable tolerances for disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 8.

new text end

new text begin

Certified class certified seed potatoes.

new text end

new text begin

Certified class seed potatoes must

originate from generation classes of seed potatoes. Certified class seed potatoes must not

contain more than the allowable tolerances for disease and varietal mixture in subdivision

9.

new text end

new text begin

Subd. 9.

new text end

new text begin

Allowable tolerances for diseases and varietal mixture by generation

class.

new text end

new text begin

The numbers represent the percentage of potatoes that may be affected out of an

individual lot.

new text end

new text begin

PN

new text end

new text begin

G1

new text end

new text begin

G2

new text end

new text begin

G3

new text end

new text begin

G4

new text end

new text begin

G5

new text end

new text begin

G6

new text end

new text begin

C

new text end

new text begin

Tolerances:

new text end

new text begin

Severe Mosaic from

potato virus Y, A, M,

X, and/or S

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

1

new text end

new text begin

Leafroll

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

1

new text end

new text begin

Total

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

1

new text end

new text begin

Other viruses

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

Mycoplasms (haywire,

witches broom, yellow

dwarf)

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

Total

new text end

new text begin

0

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

Blackleg

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0.2

new text end

new text begin

0.5

new text end

new text begin

1

new text end

new text begin

exc.

new text end

new text begin

exc.

new text end

new text begin

exc.

new text end

new text begin

Varietal mixture

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0.1

new text end

new text begin

0.1

new text end

new text begin

0.1

new text end

new text begin

0.2

new text end

new text begin

0.2

new text end

new text begin

Ring Rot and Spindle

Tuber

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

0

new text end

new text begin

Winter Test:

new text end

new text begin

Virus or expressing

symptoms of chemical

damage

new text end

new text begin

-

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

new text begin

0.5

new text end

Sec. 32.

new text begin

[21.125] MINNESOTA CERTIFIED SEED POTATO GRADES AND

TOLERANCES.

new text end

new text begin

Subdivision 1.

new text end

new text begin

Certified seed potato grading.

new text end

new text begin

Potatoes must meet the requirements of

sections 21.111 to 21.125 to be graded as certified seed potatoes.

new text end

new text begin

Subd. 2.

new text end

new text begin

Definitions.

new text end

new text begin

(a) For the purposes of this section, the following terms have the

meanings given.

new text end

new text begin

(b) "Damage" means any defect or combination of defects that materially affects the

appearance of the individual potato, or that cannot be removed without a loss of more than

five percent of the total weight of the potato, including the peel covering the defective area.

new text end

new text begin

(c) "Diameter" means the greatest dimension at right angles to the longitudinal axis.

Diameter means the long axis.

new text end

new text begin

(d) "Dry rot" means decaying tissue that is dry.

new text end

new text begin

(e) "Fairly clean" means that the individual potato is reasonably free from dirt, staining,

or other foreign matter.

new text end

new text begin

(f) "Fairly well-shaped" means that the individual potato is not materially pointed,

dumbbell-shaped, or otherwise ill-formed.

new text end

new text begin

(g) "Mature" means that the outer skin does not loosen or feather readily during the

ordinary methods of handling.

new text end

new text begin

(h) "Serious damage" means any defect or combination of defects that seriously affects

the appearance of the individual potato or that cannot be removed without a loss of more

than ten percent of the total weight of the potato, including the peel covering the defective

area.

new text end

new text begin

(i) "Slightly dirty" means the appearance is not materially affected by dirt, staining, or

other foreign matter.

new text end

new text begin

(j) "Soft rot" or "wet breakdown" means any soft, mushy, or leaky condition of potato

tissues.

new text end

new text begin

(k) "Well-shaped" means the normal shape for a variety.

new text end

new text begin

Subd. 3.

new text end

new text begin

Damage.

new text end

new text begin

The commissioner must find that one or more of the following defects

constitutes damage:

new text end

new text begin

(1) a russet scab that materially detracts from the appearance of a potato;

new text end

new text begin

(2) second growth or growth cracks that materially affect the appearance of an individual

potato;

new text end

new text begin

(3) air cracks when removal of the air cracks causes a loss of more than five percent of

the total weight of a potato;

new text end

new text begin

(4) a potato that is more than moderately shriveled, spongy, or flabby;

new text end

new text begin

(5) an individual potato that has sprouts over one inch in length;

new text end

new text begin

(6) a surface scab, powdery scab, or pitted scab that covers more than five percent of

the surface of a potato or a surface scab, powdery scab, or pitted scab that, when removed,

causes a potato to lose more than five percent of the potato's total weight, including peel

covering a defective area of the potato; or

new text end

new text begin

(7) more than 50 percent of a potato's surface contains scattered, lightly caked soil or

more than 15 percent of a potato's surface is badly caked with soil.

new text end

new text begin

Subd. 4.

new text end

new text begin

Serious damage.

new text end

new text begin

The commissioner must find that one or more of the following

defects constitutes serious damage:

new text end

new text begin

(1) a russet scab that seriously detracts from the appearance of a potato;

new text end

new text begin

(2) the appearance of a potato is seriously affected by caked or smeared dirt or other

foreign matter;

new text end

new text begin

(3) both ends of a potato are cut or clipped, more than an estimated one-fourth of a potato

is cut away from one end, or a remaining portion of a clipped potato weighs less than six

ounces;

new text end

new text begin

(4) one or more cuts that seriously affect the appearance of a potato or that cannot be

removed without the loss of more than ten percent of a potato's total weight, including peel

covering the defective area;

new text end

new text begin

(5) a potato that is excessively shriveled, spongy, or flabby;

new text end

new text begin

(6) a surface scab, powdery scab, or pitted scab that covers more than 25 percent of the

surface of a potato or a surface scab, powdery scab, or pitted scab that, when removed,

causes a loss of more than ten percent of a potato's total weight, including peel covering the

defective area; or

new text end

new text begin

(7) wireworm or air cracks that, when removed, cause a loss of more than ten percent

of a potato's total weight.

new text end

new text begin

Subd. 5.

new text end

new text begin

Application of tolerance.

new text end

new text begin

If the average of an entire lot is within the disease

tolerances specified for the grade in section 21.124, subdivision 9, an individual container

in the lot may contain no more than double the disease tolerance specified in section 21.124,

subdivision 9, except that sprouts, at least one defective specimen with a defect other than

bacterial ring rot, and one off size specimen is permitted. This subdivision does not apply

to bulk conveyances.

new text end

new text begin

Subd. 6.

new text end

new text begin

Condition after transit.

new text end

new text begin

Deterioration that developed in transit must affect the

condition of potatoes. Deterioration that developed in transit must not affect the grade of

potatoes.

new text end

new text begin

Subd. 7.

new text end

new text begin

Minnesota blue-tag-certified seed potato grade.

new text end

new text begin

(a) To be graded as Minnesota

blue-tag-certified seed potatoes, potatoes must meet the following requirements:

new text end

new text begin

(1) at the time of the shipping point inspection, potatoes must be of one variety;

unwashed; fairly well-shaped; free from bacterial ring rot, late blight, freezing, black heart,

and soft rot or wet breakdown; free from damage caused by soil or other foreign matter,

second growth, air cracks, cuts, shriveling, sprouts, pitted scabs, surface scabs, powdery

scabs, russet scabs, dry rot, other diseases, insects or worms, mechanical or other means,

or flattened or depressed areas with underlying flesh discoloration; and free from serious

damage caused by hollow heart, wireworm, growth cracks, or internal discoloration other

than hollow heart. Sunburn and silver scurf must not be considered factors that affect the

grading of potatoes. This clause does not apply to hollow heart if the potatoes are labeled

"hollow heart exempt" on the affixed tag or accompanying certificate; and

new text end

new text begin

(2) for round or intermediate shaped varieties, the maximum potato size is 12 ounces

(340.2 grams) and, unless otherwise specified, the minimum size must not be less than 1-1/2

inches (38.1 millimeters) in diameter. For long varieties, the maximum size is 14 ounces

(396.9 grams) and, unless otherwise specified, the minimum size must not be less than 1-1/2

inches (38.1 millimeters) in diameter. For all varieties, the minimum diameter for size "B"

must not be less than 1-1/2 inches (38.1 millimeters) and the maximum size must not be

more than 2-1/4 inches (57.1 millimeters) in diameter. The department may grade potatoes

that do not meet the maximum and minimum size specifications as Minnesota

blue-tag-certified seed potatoes if the buyer agrees to accept potatoes of alternate size

specifications from the grower and the specifications are listed on the affixed tag or

accompanying bulk certificate issued by the department.

new text end

new text begin

(b) To allow for variations incident to proper grading and handling, the following lot

tolerances are permitted:

new text end

new text begin

(1) for defects:

new text end

new text begin

(i) up to ten percent of a lot may be seriously damaged by hollow heart, unless labeled

"hollow heart exempt" on the affixed tag or accompanying certificate;

new text end

new text begin

(ii) up to five percent of a lot may be seriously damaged by internal discoloration due

to causes other than hollow heart;

new text end

new text begin

(iii) up to ten percent of a lot may be damaged by soil or other foreign matter;

new text end

new text begin

(iv) up to 20 percent of a lot may be damaged by sprouts;

new text end

new text begin

(v) up to ten percent of a lot may be seriously damaged by wireworm;

new text end

new text begin

(vi) for potatoes that fail to meet the remaining requirements of the potatoes' grade, a

lot may contain up to a total of six percent of the following defects combined and must not

contain more than the following percentage of defects:

new text end

new text begin

(A) soft rot, frozen, or wet breakdown, 0.5 percent;

new text end

new text begin

(B) damage by surface scab, powdery scab, or pitted scab, 2.0 percent;

new text end

new text begin

(C) damage by dry rot, 2.0 percent, of which not more than 1.0 percent is late blight

tuber rot;

new text end

new text begin

(D) bacterial ring rot, 0.0 percent; and

new text end

new text begin

(E) late blight tuber rot, 1.0 percent; and

new text end

new text begin

(vii) the presence of the following does not affect seed quality and must not be scored

against the potatoes' grade:

new text end

new text begin

(A) brown discoloration following skinning;

new text end

new text begin

(B) dried stems;

new text end

new text begin

(C) flattened or depressed areas showing no underlying flesh discoloration;

new text end

new text begin

(D) greening;

new text end

new text begin

(E) sunburn;

new text end

new text begin

(F) skin checks; and

new text end

new text begin

(G) silver scurf; and

new text end

new text begin

(2) for off size:

new text end

new text begin

(i) up to five percent of potatoes may fail to meet the required or specified minimum

size; and

new text end

new text begin

(ii) up to ten percent of potatoes may fail to meet the required maximum size.

new text end

new text begin

Subd. 8.

new text end

new text begin

Minnesota yellow-tag-certified seed potato grade.

new text end

new text begin

(a) To be graded as

Minnesota yellow-tag-certified seed potatoes, potatoes must meet the following requirements:

new text end

new text begin

(1) at the time of the shipping point inspection, the potatoes must be of one variety;

unwashed; fairly well-shaped; free from bacterial ring rot, late blight, freezing, black heart,

and soft rot or wet breakdown; free from damage caused by second growth, air cracks, cuts,

shriveling, pitted scabs, surface scabs, powdery scabs, dry rot, other diseases, insects or

worms, or mechanical means or other means; and free from serious damage caused by soil

or other foreign matter, hollow heart, wireworm, growth cracks, russet scabs, or internal

discoloration other than hollow heart. Sunburn and silver scurf must not be considered

factors that affect the grading of potatoes. This clause does not apply to hollow heart if

labeled "hollow heart exempt" on the affixed tag or accompanying certificate; and

new text end

new text begin

(2) for all varieties, the maximum potato size is 14 ounces (396.9 grams) and the

minimum size is 1-1/2 inch (38.1 millimeter) in diameter. For all varieties, the minimum

diameter for size "B" must not be less than 1-1/2 inches (38.1 millimeters) and the maximum

diameter must not be more than 2-1/4 inches (57.1 millimeters). The department may grade

potatoes that do not meet the maximum and minimum size specifications as Minnesota

yellow-tag-certified seed potatoes if the buyer agrees to accept potatoes with alternate size

specifications from the grower and the size specifications are listed on the affixed tag or

accompanying bulk certificate issued by the department.

new text end

new text begin

(b) To allow for variations incident to proper grading and handling, the following lot

tolerances are permitted:

new text end

new text begin

(1) for defects:

new text end

new text begin

(i) up to 20 percent of potatoes may be seriously damaged by hollow heart, unless labeled

"hollow heart exempt" on the affixed tag or accompanying certificate;

new text end

new text begin

(ii) up to five percent of potatoes may be seriously damaged by internal discoloration

due to a cause other than hollow heart;

new text end

new text begin

(iii) up to ten percent of potatoes may be seriously damaged by soil or other foreign

matter;

new text end

new text begin

(iv) up to ten percent of potatoes may be seriously damaged by wireworm;

new text end

new text begin

(v) up to 20 percent of a lot may have defects if the potatoes fail to meet the remaining

requirements of the grade. Of the 20 percent of defects allowed, a lot may contain a total

of six percent of the following defects combined and must not contain more than the

following percentage of defects:

new text end

new text begin

(A) soft rot, frozen, or wet breakdown, 0.5 percent;

new text end

new text begin

(B) damage by surface scab, powdery scab, or pitted scab, 5.0 percent;

new text end

new text begin

(C) damage by dry rot, 2.0 percent, of which not more than 1.0 percent is late blight

tuber rot;

new text end

new text begin

(D) bacterial ring rot, 0.0 percent; and

new text end

new text begin

(E) late blight tuber rot, 1.0 percent; and

new text end

new text begin

(vi) the presence of the following does not affect seed quality and must not be scored

against the grade:

new text end

new text begin

(A) brown discoloration following skinning;

new text end

new text begin

(B) dried stems;

new text end

new text begin

(C) flattened or depressed areas showing no underlying flesh discoloration;

new text end

new text begin

(D) greening;

new text end

new text begin

(E) sunburn;

new text end

new text begin

(F) skin checks;

new text end

new text begin

(G) silver scurf; and

new text end

new text begin

(H) sprouts; and

new text end

new text begin

(2) for off size:

new text end

new text begin

(i) five percent for potatoes that fail to meet the required or specified minimum size;

and

new text end

new text begin

(ii) ten percent for potatoes that fail to meet the required maximum size.

new text end

new text begin

(c) The potatoes must be fairly well-shaped, with an exception for long varieties when

specified as "except for shape." When specified as "except for shape," the tubers may be

misshapen.

new text end

new text begin

Subd. 9.

new text end

new text begin

Minnesota white-tag-certified seed potato grade.

new text end

new text begin

Minnesota white-tag-certified

seed potato grade consists of certified seed potatoes that are graded according to agreement

between the seller and the purchaser as to size and defects, except that not more than one-half

percent of soft rot, frozen, or wet breakdown and two percent dry rot, of which not more

than one percent late blight tuber rot is allowed.

new text end

Sec. 33.

Minnesota Statutes 2024, section 21.891, subdivision 2, is amended to read:

Subd. 2.

Seed fee permits.

(a) A labeler who wishes to sell seed in Minnesota must

comply with section
21.89
, subdivisions 1 and 2, and the procedures in this subdivision.

Each labeler who wishes to sell seed in Minnesota must apply to the commissioner to obtain

a permit. The application must contain the name and address of the applicant, the application

date, and the name and title of the applicant's contact person. Permit fees are based on the

initial sale of seed in Minnesota.

(b) The application for a seed permit covered by section
21.89, subdivision 2
, clause

(1), must be accompanied by an application fee of $75.

(c) The application for a seed permit covered by section
21.89, subdivision 2
, clause

(2), must be accompanied by an application fee based on the level of annual gross sales as

follows:

(1) for gross sales of $0 to $25,000, the annual permit fee is $75;

(2) for gross sales of $25,001 to $50,000, the annual permit fee is $150;

(3) for gross sales of $50,001 to $100,000, the annual permit fee is $300;

(4) for gross sales of $100,001 to $250,000, the annual permit fee is $750;

(5) for gross sales of $250,001 to $500,000, the annual permit fee is $1,500;

(6) for gross sales of $500,001 to $1,000,000, the annual permit fee is $3,000; and

(7) for gross sales of $1,000,001 and above, the annual permit fee is $4,500.

(d) The application for a seed permit covered by section
21.89, subdivision 2
, clause

(3), must be accompanied by an application fee of $75. Labelers holding seed fee permits

covered under this paragraph need not apply for a new permit or pay the application fee.

Under this permit category, the fees for the following kinds of agricultural seed sold either

in bulk or containers are:

(1) oats, wheat, and barley, 9 cents per hundredweight;

(2) rye, field beans, buckwheat, and flax, 12 cents per hundredweight;

(3) field corn, 17 cents per 80,000 seed unit;

(4) forage, hemp, lawn and turf grasses, and legumes, 69 cents per hundredweight;

(5) sunflower, $1.96 per hundredweight;

(6) sugar beet, 12 cents per 100,000 seed unit;

(7) soybeans, 7.5 cents per 140,000 seed unit;

(8) for any agricultural seed not listed in clauses (1) to (7), the fee for the crop most

closely resembling it in normal planting rate applies; and

(9) for native grasses and wildflower seed, $1 per hundredweight.

(e) If, for reasons beyond the control and knowledge of the labeler, seed is shipped into

Minnesota by a person other than the labeler, the responsibility for the seed fees are

transferred to the shipper. An application for a transfer of this responsibility must be made

to the commissioner. Upon approval by the commissioner of the transfer, the shipper is

responsible for payment of the seed permit fees.

(f) Seed permit fees may be included in the cost of the seed either as a hidden cost or as

a line item cost on each invoice for seed sold. To identify the fee on an invoice, the words

"Minnesota seed permit fees" must be used.

(g) All seed fee permit holders must file semiannual reports with the commissioner,

even if no seed was sold during the reporting period. Each semiannual report must be

submitted within 30 days of the end of each reporting period. The reporting periods
deleted text begin
are

October 1 to March 31 and April 1 to September 30 of each year or July 1 to December 31

and January 1 to June 30 of each year
deleted text end
new text begin
must be determined by the commissioner and

communicated annually to permit holders
new text end
. Permit holders may change their reporting periods

with the approval of the commissioner.

(h) The holder of a seed fee permit must pay fees on all seed for which the permit holder

is the labeler and which are covered by sections
21.80
to
21.92
and sold during the reporting

period.

(i) If a seed fee permit holder fails to submit a semiannual report and pay the seed fee

within 30 days after the end of each reporting period, the commissioner shall assess a penalty

of $100 or eight percent, calculated on an annual basis, of the fee due, whichever is greater,

but no more than $500 for each late semiannual report. A $15 penalty must be charged when

the semiannual report is late, even if no fee is due for the reporting period. Seed fee permits

may be revoked for failure to comply with the applicable provisions of this paragraph or

the Minnesota seed law.

Sec. 34.

Minnesota Statutes 2025 Supplement, section 28A.04, subdivision 1, is amended

to read:

Subdivision 1.

Application; date of issuance.

(a) Except as provided under section

28A.152
, no person
deleted text begin
shall
deleted text end
new text begin
may
new text end
engage in the business of manufacturing, processing, selling,

handling, or storing food without having first obtained from the commissioner a license for

doing such business. Applications for such license
deleted text begin
shall
deleted text end
new text begin
must
new text end
be made to the commissioner

in such manner and time as required and upon such forms as provided by the commissioner

and
deleted text begin
shall
deleted text end
new text begin
must
new text end
contain the name and address of the applicant, address or description of each

place of business, and the nature of the business to be conducted at each place, and such

other pertinent information as the commissioner may require.

(b) An applicant for a license must submit a nonrefundable application fee of $50 with

each license application. The fee under this paragraph does not apply to annual license

renewals. The fee under this paragraph is not required for applications to operate solely as

a special event food stand or custom exempt food handler.

(c) A food handler license
deleted text begin
shall
deleted text end
new text begin
must
new text end
be issued for the period January 1 to December

31 and
deleted text begin
shall
deleted text end
new text begin
must
new text end
be renewed thereafter by the licensee on or before January 1 of each year,

except that:

(1) retail and wholesale food handler licenses issued for the period of July 1, 2025, to

June 30, 2026, must be renewed on or before July 1, 2026, for the period of July 1, 2026,

to December 31, 2026. The renewal fee for the period of July 1, 2026, to December 31,

2026, is one-half of the fee for a food handler specified in section
28A.08, subdivision 3
;

(2) licenses for all mobile food concession units and retail mobile units must be issued

for the period April 1 to March 31, and must be renewed thereafter by the licensee on or

before April 1 of each year. A license issued for a temporary food concession stand must

have a license issuance and renewal date consistent with appropriate statutory provisions;

and

(3) a license for a food handler operating only at the State Fair must be issued for the

period of July 1 to June 30 and must be renewed thereafter by the licensee on or before July

1 of each year.

(d) A penalty for late renewal under paragraph
deleted text begin
(b)
deleted text end
new text begin
(c)
new text end
must be assessed in accordance

with section
28A.08
.

(e) A custom exempt food handler license
deleted text begin
shall
deleted text end
new text begin
must
new text end
be issued for the period July 1 to

June 30 and must be renewed thereafter by the licensee on or before July 1 each year. The

custom exempt food handler license is for businesses that only conduct custom exempt

operations and mark all products as "Not For Sale." Food handlers that conduct retail exempt

operations or other operations other than custom exempt processing or slaughter are not

eligible for this license.

(f) On a quarterly basis during the licensing period, the commissioner must prorate the

fee for an initial license issued under this chapter, except that
new text begin
:
new text end

new text begin

(1)
new text end
a person applying for a new license up to 14 calendar days before the effective date

of the new license period under paragraph (c) must be issued a license for the 14 days and

the next license year as a single license and pay a single license fee as if the 14 days were

part of the upcoming license period
deleted text begin
.
deleted text end
new text begin
; and
new text end

new text begin

(2) a person applying for a license to operate as a special event food stand must pay the

entire fee specified in section 28A.08, subdivision 3, regardless of when the application is

filed.

new text end

Sec. 35.

Minnesota Statutes 2024, section 28A.0752, is amended to read:

28A.0752 DELEGATION OF POWERS AND DUTIES.

Subdivision 1.

Agreements to perform duties of commissioner.

(a)
new text begin
The commissioner

may enter into
new text end
agreements to delegate
deleted text begin
licensing and inspection
deleted text end
duties
new text begin
of the commissioner

to community health boards
new text end
pertaining to
deleted text begin
retail
deleted text end
food handlers
deleted text begin
shall
deleted text end
new text begin
whose primary mode

of business is to sell or to process and sell food directly to the ultimate consumer. An

agreement under this section may
new text end
include
new text begin
duties of
new text end
licensing, inspection, reporting, and

enforcement
deleted text begin
duties
deleted text end
authorized under
deleted text begin
sections
deleted text end
new text begin
this chapter and chapters 29 and 30; section
new text end

17.04
deleted text begin
,
29.21
,
29.23
,
29.235
,
29.236
,
29.237
,
29.24
,
29.25
,
29.26
,
29.27
, and
30.49
,
deleted text end
new text begin
;
new text end

appropriate sections of the Minnesota Food Law, chapters 31 and 34A
deleted text begin
,
deleted text end
new text begin
;
new text end
and applicable

Minnesota food rules.

(b) Agreements
new text begin
under this section
new text end
are subject to subdivision 3.

(c)
deleted text begin
This subdivision does not affect agreements entered into under section
28A.075
or

current cooperative agreements which base inspections and licensing responsibility on the

firm's most predominant mode of business.
deleted text end
new text begin
The commissioner must not delegate duties

under this section pertaining to custom exempt food handlers and food handlers inspected

under the state meat inspection program under chapter 31A.
new text end

new text begin

(d) The commissioner must not delegate duties under this section pertaining to food

handlers whose principal mode of business is to sell food to other business entities or

establishments for resale.

new text end

new text begin

(e) The commissioner must not delegate duties under this section pertaining to food

handlers who conduct activities regulated under Code of Federal Regulations, title 21, part

111; 112; 113; 114; 117, subpart C; 120; or 123.

new text end

Subd. 2.

Approval of agreements.

new text begin
(a)
new text end
An agreement
new text begin
under this section
new text end
to delegate
deleted text begin

licensing and inspection of retail food handlers
deleted text end
new text begin
duties
new text end
to a community health board must

be approved by the commissioner
deleted text begin
and is subject to subdivision 3
deleted text end
.

new text begin

(b) An agreement to delegate the commissioner's duties to a designated agent established

before January 1, 2025, remains in effect if the designated agent's performance continues

to meet the standards necessary to substitute for the commissioner's duties and complies

with the requirements of subdivisions 1 and 3.

new text end

Subd. 3.

Terms of agreements.

(a) Agreements authorized under this section must be

in writing and signed by the
deleted text begin
delegating authority
deleted text end
new text begin
commissioner
new text end
and the designated agent.

(b)
deleted text begin
The
deleted text end
new text begin
An
new text end
agreement
new text begin
under this section
new text end
must list criteria
new text begin
that
new text end
the
deleted text begin
delegating authority
deleted text end
new text begin

commissioner
new text end
will use to determine if the designated agent's performance meets appropriate

standards and is sufficient to replace performance by the
deleted text begin
delegating authority
deleted text end
new text begin
commissioner
new text end
.

(c)
deleted text begin
The
deleted text end
new text begin
An
new text end
agreement
new text begin
under this section
new text end
may specify minimum staff requirements and

qualifications, set procedures for the assessment of costs, and provide for termination

procedures if the
deleted text begin
delegating authority
deleted text end
new text begin
commissioner
new text end
determines that the designated agent

has failed to comply with the agreement.

new text begin

(d) A designated agent must operate according to the requirements of section 28A.06.

new text end

new text begin

(e) By December 31, 2028, a designated agent that entered into an agreement to delegate

the commissioner's duties to the designated agent before January 1, 2025, must comply with

section 28A.06.

new text end

deleted text begin

(d)
deleted text end
new text begin
(f)
new text end
The
deleted text begin
delegating authority
deleted text end
new text begin
commissioner
new text end
and the designated agent are required to

perform inspections utilizing the Minnesota Food Code's minimum and maximum standards.

deleted text begin

(e)
deleted text end
new text begin
(g)
new text end
A designated agent must not perform licensing, inspection,
new text begin
reporting,
new text end
or

enforcement duties under
deleted text begin
the
deleted text end
new text begin
an
new text end
agreement
new text begin
under this section
new text end
in
new text begin
a
new text end
territory outside its

jurisdiction unless approved by the commissioner and governing body for that territory

through a separate agreement.

new text begin

(h) A designated agent may charge a fee to recover the estimated costs of performing

duties according to terms of an agreement under this section if the duties involve enforcing

the Minnesota Food Law and applicable Minnesota food rules. The fee charged by the

designated agent must be fair, reasonable, and proportionate to the actual cost of the duties

performed by the designated agent. A designated agent must only use a fee under this

paragraph to cover the costs of performing duties according to terms of the agreement under

this section.

new text end

deleted text begin

(f)
deleted text end
new text begin
(i)
new text end
The scope of agreements established under this section is limited to duties and

responsibilities agreed upon by the parties. The agreement may provide for automatic

renewal and for notice of intent to terminate by either party.

deleted text begin

(g)
deleted text end
new text begin
(j)
new text end
During the life of
deleted text begin
the
deleted text end
new text begin
an
new text end
agreement
new text begin
under this section
new text end
, the
deleted text begin
delegating authority

shall
deleted text end
new text begin
commissioner must
new text end
not perform duties that the designated agent is required to perform

under the agreement, except inspections necessary to determine compliance with the

agreement and this section or as agreed to by the parties.

deleted text begin

(h)
deleted text end
new text begin
(k)
new text end
The
deleted text begin
delegating authority shall
deleted text end
new text begin
commissioner must
new text end
consult with, advise, and assist

a designated agent in the performance of its duties under the agreement.

deleted text begin

(i)
deleted text end
new text begin
(l)
new text end
This section does not alter the responsibility of the
deleted text begin
delegating authority
deleted text end
new text begin

commissioner
new text end
for the performance of duties specified by law and rule.

Sec. 36.

Minnesota Statutes 2025 Supplement, section 28A.08, subdivision 3, is amended

to read:

Subd. 3.

Fees effective August 1, 2025.

Penalties

Type of food handler

Risk

Category

License
Fee

Late
Renewal

No
License

1.

Custom exempt food handler

(a) Having $50,000 or less gross sales or

service for the immediately previous

license or fiscal year

$135

$45

$90

(b) Having $50,001 to $125,000 gross sales

or service for the immediately previous

license or fiscal year

$200

$67

$133

(c) Having $125,001 to $500,000 gross

sales or service for the immediately

previous license or fiscal year

$370

$123

$247

(d) Having $500,001 to $1,000,000 gross

sales or service for the immediately

previous license or fiscal year

$475

$158

$317

(e) Having $1,000,001 to $5,000,000 gross

sales or service for the immediately

previous license or fiscal year

$1,350

$450

$900

(f) Having $5,000,001 to $10,000,000 gross

sales or service for the immediately

previous license or fiscal year

$1,750

$583

$1,167

(g) Having $10,000,001 to $15,000,000

gross sales or service for the immediately

previous license or fiscal year

$2,150

$717

$1,433

(h) Having $15,000,001 to $20,000,000

gross sales or service for the immediately

previous license or fiscal year

$2,550

$849

$1,700

(i) Having $20,000,001 to $25,000,000

gross sales or service for the immediately

previous license or fiscal year

$2,950

$984

$1,967

(j) Having over $25,000,001 gross sales or

service for the immediately previous

license or fiscal year

$3,350

$1,117

$2,233

2.

Food handler

(a) Having gross sales of only prepackaged

nonperishable food of less than $30,000

for the immediately previous license or

fiscal year and filing a statement with the

commissioner

$90

$30

$60

(b) Having gross sales or service of less

than $50,000 for the immediately previous

license or fiscal year

High
Medium
Low

$285
$195
$135

$95
$65
$45

$190
$130
$90

(c) Having $50,001 to $125,000 gross sales

or service for the immediately previous

license or fiscal year

High
Medium
Low

$350
$260
$200

$117
$87
$67

$233
$173
$133

(d) Having $125,001 to $250,000 gross

sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$415
$350
$265

$138
$117
$88

$277
$233
$177

(e) Having $250,001 to $500,000 gross

sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$520
$430
$370

$173
$143
$123

$347
$287
$247

(f) Having $500,001 to $1,000,000 gross

sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$625
$535
$475

$208
$178
$158

$417
$357
$317

(g) Having $1,000,001 to $5,000,000 gross

sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$1,500
$1,425
$1,350

$500
$475
$450

$1,000
$950
$900

(h) Having $5,000,001 to $10,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$1,900
$1,825
$1,750

$633
$608
$583

$1,267
$1,217
$1,167

(i) Having $10,000,001 to $15,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$2,300
$2,225
$2,150

$767
$742
$717

$1,533
$1,483
$1,433

(j) Having $15,000,001 to $20,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$2,700
$2,625
$2,550

$900
$875
$849

$1,800
$1,750
$1,700

(k) Having $20,000,001 to $25,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$3,100
$3,025
$2,950

$1,033
$1,008
$984

$2,067
$2,017
$1,967

(l) Having $25,000,001 to $50,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$3,500
$3,425
$3,350

$1,167
$1,142
$1,117

$2,333
$2,283
$2,233

(m) Having $50,000,001 to $100,000,000

gross sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$4,000
$3,925
$3,850

$1,334
$1,309
$1,284

$2,667
$2,617
$2,567

(n) Having $100,000,001 or more gross

sales or service for the immediately

previous license or fiscal year

High
Medium
Low

$4,500
$4,425
$4,350

$1,500
$1,475
$1,450

$3,000
$2,950
$2,900

3.

Food handler operating under authority of

this chapter solely as a special event food

stand as defined in Minnesota Statutes,

section
157.15

$75

deleted text begin

$25

deleted text end

$50

4.

Meat or poultry processing solely under

supervision of the U.S. Department of

Agriculture

(a) Having gross sales or service of less

than $125,000 for the immediately previous

license or fiscal year

$190

$63

$127

(b) Having $125,001 to $250,000 gross

sales or service for the immediately

previous license or fiscal year

$365

$122

$243

(c) Having $250,001 to $500,000 gross

sales or service for the immediately

previous license or fiscal year

$450

$150

$300

(d) Having $500,001 to $1,000,000 gross

sales or service for the immediately

previous license or fiscal year

$565

$188

$377

(e) Having $1,000,001 to $5,000,000 gross

sales or service for the immediately

previous license or fiscal year

$725

$241

$483

(f) Having $5,000,001 to $10,000,000 gross

sales or service for the immediately

previous license or fiscal year

$885

$295

$590

(g) Having $10,000,001 to $15,000,000

gross sales or service for the immediately

previous license or fiscal year

$1,305

$435

$807

(h) Having $15,000,001 to $20,000,000

gross sales or service for the immediately

previous license or fiscal year

$1,515

$505

$1,010

(i) Having $20,000,001 to $25,000,000

gross sales or service for the immediately

previous license or fiscal year

$1,745

$582

$1,163

(j) Having $25,000,001 to $50,000,000

gross sales or service for the immediately

previous license or fiscal year

$1,975

$658

$1,317

(k) Having $50,000,001 to $100,000,000

gross sales or service for the immediately

previous license or fiscal year

$2,215

$738

$1,477

(l) Having $100,000,001 or more gross

sales or service for the immediately

previous license or fiscal year

$2,465

$822

$1,643

Sec. 37.

Minnesota Statutes 2024, section 29.21, is amended by adding a subdivision to

read:

new text begin

Subd. 12.

new text end

new text begin

Quality assurance date.

new text end

new text begin

"Quality assurance date" means any date after which

the manufacturer or processor reasonably determines that the product may, by spoilage,

wiltage, drying, or any other foreseeable and natural phenomenon, lose palatability or desired

or nutritive properties.

new text end

Sec. 38.

Minnesota Statutes 2024, section 29.26, is amended to read:

29.26 EGGS IN POSSESSION OF RETAILER.

new text begin

(a)
new text end
All eggs sold or offered for sale at retail must have been candled and graded and

must be clearly labeled according to Minnesota consumer grades as established by rule

under section
29.23
. No eggs shall be sold or offered for sale as "ungraded," "unclassified,"

or by any other name that does not clearly designate the grade. All eggs in possession of

the retailer, either in temporary storage or on display, must be held at a temperature not to

exceed 45 degrees Fahrenheit (7 degrees Celsius).

new text begin

(b)
new text end
Grade AA eggs held 31 days past the coded pack date for Grade AA eggs, or Grade

A eggs held 46 days past the coded pack date for Grade A eggs, lose their grades and must

be removed from sale
deleted text begin
.
deleted text end
new text begin
, except eggs that are past their quality assurance date may be donated

to and distributed by charitable food assistance programs if the eggs:
new text end

new text begin

(1) are contained in their original packaging;

new text end

new text begin

(2) have previously been candled and graded;

new text end

new text begin

(3) are continuously refrigerated;

new text end

new text begin

(4) are distributed to the end consumer prior to 30 days past the original quality assurance

date; and

new text end

new text begin

(5) are contained in packaging affixed with a label that includes the following information:

new text end

new text begin

(i) the name of the charitable food assistance program distributing the eggs;

new text end

new text begin

(ii) a "distribute by" date of no more than 30 days past the original quality assurance

date; and

new text end

new text begin

(iii) the following statement: "Donated Eggs - Not for Resale."

new text end

Sec. 39.

Minnesota Statutes 2024, section 32D.30, subdivision 5, is amended to read:

Subd. 5.

Reporting.

No later than
deleted text begin
July 1
deleted text end
new text begin
September 15 of
new text end
each
new text begin
even-numbered
new text end
year,

the commissioner must submit a detailed accomplishment report and work plan detailing

future plans for, and the actual and anticipated accomplishments from, expenditures under

this section to the chairs and ranking minority members of the legislative committees and

divisions with jurisdiction over agriculture policy and finance. If the commissioner

significantly modifies a submitted work plan
deleted text begin
during the fiscal year
deleted text end
, the commissioner must

notify the chairs and ranking minority members.

Sec. 40.

Minnesota Statutes 2024, section 41A.19, is amended to read:

41A.19 REPORT; INCENTIVE PROGRAMS.

deleted text begin

By January 15
deleted text end
Each year, the commissioner shall report on the incentive programs under

sections
41A.16
,
41A.17
,
41A.18
, and
41A.20
to the legislative committees with jurisdiction

over environment and agriculture policy and finance
new text begin
in the report under section 41A.12,

subdivision 3
new text end
. The report shall include information on production and incentive expenditures

under the programs.

Sec. 41.

Minnesota Statutes 2024, section 41B.048, subdivision 2, is amended to read:

Subd. 2.

Establishment.

The authority shall establish and implement an agroforestry

loan program to help finance the production of short rotation woody crops
new text begin
, agroforestry

crops, agroforestry systems, such as silvopasture and alley systems, and other systems
new text end
.

Sec. 42.

Minnesota Statutes 2024, section 41B.048, subdivision 4, is amended to read:

Subd. 4.

Definitions.

(a) The definitions in this subdivision apply to this section.

new text begin

(b) "Agroforestry" has the meaning given in section 17.458, subdivision 1.

new text end

new text begin

(c) "Agroforestry system" means an agricultural production system that integrates trees,

shrubs, or other woody perennial species or animals into the system, with the intention to

harvest wood, food, feed, medicinal products, or other products from the system.

new text end

deleted text begin

(b)
deleted text end

new text begin
(d)
new text end
"Growing cycle" means the number of years from planting to harvest.

deleted text begin

(c)
deleted text end

new text begin
(e)
new text end
"Harvest" means the day that the crop arrives at the scale of the buyer of the crop.

deleted text begin

(d)
deleted text end

new text begin
(f)
new text end
"Short rotation woody crops" or "crop" means hybrid poplar and other woody

plants that are harvested for their fiber within 15 years of planting.

Sec. 43.

Minnesota Statutes 2024, section 41B.048, subdivision 5, is amended to read:

Subd. 5.

Eligibility
new text begin
for growers of short rotation woody crops
new text end
.

To be eligible for this

program
new text begin
,
new text end
a borrower must:

(1) be a resident of Minnesota or any entity eligible to own farm land under section

500.24
;

(2) be or plan to become a grower of short rotation woody crops on agricultural land

that is suitable for the profitable production of short rotation woody crops;

(3) be a member of a producer-owned cooperative that will contract to market the short

rotation woody crop to be planted by the borrower;

(4) demonstrate an ability to repay the loan;

(5) not receive assistance under this program for more than $150,000 in the producer's

lifetime;

(6) agree to work with appropriate local, state, and federal agencies, and the marketing

cooperative, to develop an acceptable establishment and maintenance plan;

(7) agree not to plant short-rotation woody crops within one-quarter of a mile of state

or federally protected prairie; and

(8) meet any other requirements the authority may impose by administrative procedure

or by rule.

Sec. 44.

Minnesota Statutes 2024, section 41B.048, is amended by adding a subdivision

to read:

new text begin

Subd. 5a.

new text end

new text begin

Eligibility for agroforestry systems and practices.

new text end

new text begin

To be eligible for this

program, a borrower must:

new text end

new text begin

(1) be a resident of Minnesota or any entity eligible to own farm land under section

500.24;

new text end

new text begin

(2) be a farmer or agricultural landowner implementing: (i) the use of an agroforestry

system, such as a silvopasture or an alley system, on agricultural land; or (ii) the use of

agroforestry practices, such as biochar processing, on agricultural land;

new text end

new text begin

(3) demonstrate an ability to repay the loan;

new text end

new text begin

(4) not receive assistance under this program for more than $150,000 in the producer's

lifetime; and

new text end

new text begin

(5) meet any other requirements the authority may impose by administrative procedure

or by rule.

new text end

Sec. 45.

Minnesota Statutes 2024, section 41B.048, is amended by adding a subdivision

to read:

new text begin

Subd. 6a.

new text end

new text begin

Loans for agroforestry systems and practices.

new text end

new text begin

(a) The authority may

participate with eligible lenders in agroforestry loans to farmers and agricultural landowners

who are eligible under subdivision 5a. The authority's participation is limited to 45 percent

or $75,000 of total accumulative principal per loan.

new text end

new text begin

(b) The interest rates and repayment terms of the authority's participation interest may

differ from those of the lender's retained portion of the loan.

new text end

new text begin

(c) Standards for loan amortization must be set by the Rural Finance Authority and must

not exceed ten years.

new text end

new text begin

(d) Security for the loan must be a personal note executed by the borrower and whatever

other security is required by the eligible lender or the authority.

new text end

new text begin

(e) The authority may prescribe forms and establish an application process for applicants

to apply for a loan.

new text end

new text begin

(f) The authority may impose a reasonable, nonrefundable application fee for each

application for an agroforestry loan under this program. The authority may review the fee

annually and make adjustments as necessary. The initial application fee is $50. Application

fees received by the authority must be deposited in the Rural Finance Authority administrative

account established in section 41B.03.

new text end

new text begin

(g) Loans under this program must be made using money in the revolving loan account

established in section 41B.06.

new text end

new text begin

(h) All repayments of financial assistance granted under this section, including principal

and interest, must be deposited into the revolving loan account established under section

41B.06.

new text end

new text begin

(i) The interest payable on loans for the agroforestry loan program must be at a rate

determined by the authority.

new text end

Sec. 46.

Minnesota Statutes 2024, section 583.215, is amended to read:

583.215 EXPIRATION.

Sections
336.9-601
, subsections (h) and (i);
550.365
;
559.209
;
582.039
; and
583.20
to

583.32
, expire June 30,
deleted text begin
2027
deleted text end
new text begin
2032
new text end
.

Sec. 47.
new text begin
REPORT; PARAQUAT DICHLORIDE.
new text end

new text begin

By February 1, 2029, the commissioner of agriculture must report to the chairs and

ranking minority members of the legislative committees with jurisdiction over agriculture

finance and policy on the use of paraquat dichloride in the state over time and the status of

paraquat dichloride in the pesticide supply chain.

new text end

Sec. 48.
new text begin
REPEALER.
new text end

new text begin

Minnesota Statutes 2024, sections 18K.02, subdivision 7; 18K.03, subdivision 2; and

28A.075,

new text end

new text begin

are repealed.

new text end

APPENDIX

Repealed Minnesota Statutes: S5073-1

18K.02 DEFINITIONS.

Subd. 7.

Processor.

"Processor" means a person or business that converts raw hemp into a product.

18K.03 AGRICULTURAL CROP; POSSESSION AUTHORIZED.

Subd. 2.

Sale to medical cannabis manufacturers.

A licensee under this chapter may sell hemp products derived from industrial hemp grown in this state to medical cannabis manufacturers as authorized under sections
152.22
to
152.37
.

28A.075 DELEGATION TO LOCAL COMMUNITY HEALTH BOARD.

(a) At the request of a local community health board that licensed and inspected grocery and convenience stores on January 1, 1999, the commissioner must enter into agreements before January 1, 2001, with local community health boards to delegate to the appropriate local community health board the licensing and inspection duties of the commissioner pertaining to retail food handlers that are grocery or convenience stores. At the request of a local community health board that licensed and inspected part of any grocery or convenience store on January 1, 1999, the commissioner must enter into agreements before July 1, 2001, with local community health boards to delegate to the appropriate local community health board the licensing and inspection duties of the commissioner pertaining to retail food handlers that are grocery or convenience stores. At any time thereafter, the commissioner may enter into an agreement with a local community health board that licensed and inspected all or part of any grocery or convenience store on January 1, 1999, to delegate to the appropriate local community health board the licensing and inspection duties of the commissioner pertaining to retail food handlers such as grocery or convenience stores. Retail food handlers inspected under the state meat inspection program of chapter 31A are exempt from delegation.

(b) A local community health board must adopt an ordinance consistent with the Minnesota Food Code, Minnesota Rules, chapter 4626, for all of its jurisdiction to regulate retail food handlers and the ordinance (Food Code) must not be in conflict with standards set in law or rule.

(c) A fee to recover the estimated costs of enforcement of this chapter must be established by ordinance and must be fair, reasonable, and proportionate to the actual cost of the licensing and inspection services. The fee must only be maintained and used for the estimated costs of enforcing this chapter.