1.1    .................... moves to amend H. F. No. 2227 as follows:
1.2Delete everything after the enacting clause and insert:

1.6	Section 1. SUMMARY OF APPROPRIATIONS.

1.7    The amounts shown in this section summarize direct appropriations, by fund, made
1.8in this article.

1.9			2008		2009		Total
1.10	General	$	66,507,000	$	66,570,000	$	133,077,000
1.11 1.12	State Government Special Revenue		338,000		338,000		676,000
1.13	Remediation		388,000		388,000		776,000
1.14	Total	$	67,233,000	$	67,296,000	$	134,529,000

1.15	Sec. 2. AGRICULTURE AND VETERANS AFFAIRS APPROPRIATIONS.

1.16    The sums shown in the columns marked "Appropriations" are appropriated to the
1.17agencies and for the purposes specified in this article. The appropriations are from the
1.18general fund, or another named fund, and are available for the fiscal years indicated
1.19for each purpose. The figures "2008" and "2009" used in this article mean that the
1.20appropriations listed under them are available for the fiscal year ending June 30, 2008, or
1.21June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal
1.22year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal
1.23year ending June 30, 2007, are effective the day following final enactment.

1.24				APPROPRIATIONS
1.25				Available for the Year
1.26				Ending June 30
1.27					2008		2009

1.28

Sec. 3. DEPARTMENT OF AGRICULTURE

2.1

Subdivision 1.Total Appropriation

$

45,274,000

$

46,158,000

2.2	Appropriations by Fund
2.3		2008	2009
2.4	General	44,886,000	45,770,000
2.5	Remediation	388,000	388,000

2.6The amounts that may be spent for each
2.7purpose are specified in the following
2.8subdivisions.

2.9

Subd. 2.Protection Services

13,927,000

13,995,000

2.10	Appropriations by Fund
2.11	General	13,539,000	13,607,000
2.12	Remediation	388,000	388,000

2.13$388,000 the first year and $388,000 the
2.14second year are from the remediation fund
2.15for administrative funding for the voluntary
2.16cleanup program.
2.17$200,000 the first year and $200,000 the
2.18second year are for clean water legacy
2.19technical assistance in the development of
2.20total maximum daily load (TMDL) plans.
2.21$263,000 the first year and $267,000 the
2.22second year are for additional invasive
2.23species control activities.
2.24$90,000 the first year and $92,000 the second
2.25year are for additional meat inspection
2.26activities.
2.27$346,000 the first year and $205,000 the
2.28second year are for electronic inspection
2.29system costs for dairy and food inspections.
2.30$120,000 the first year and $123,000 the
2.31second year are for emergency planning
2.32activities.
2.33$141,000 the first year and $143,000 the
2.34second year are for livestock premise
3.1identification activities that increase the
3.2state's ability to respond to animal health
3.3emergencies.
3.4$50,000 the first year is for export grain
3.5inspections at the Port of Duluth. This is a
3.6onetime appropriation.

3.7 3.8

Subd. 3.Agricultural Marketing and Development

8,312,000

5,086,000

3.9$115,000 the first year and $115,000 5the
3.10second year are for transfer to the Minnesota
3.11grown account and may be used as grants
3.12for Minnesota grown promotion under
3.13Minnesota Statutes, section 17.102. Grants
3.14may be made for one year. Notwithstanding
3.15Minnesota Statutes, section 16A.28, the
3.16appropriations encumbered under contract on
3.17or before June 30, 2009, for Minnesota grown
3.18grants in this paragraph are available until
3.19June 30, 2011. $50,000 of the appropriation
3.20in each year is for efforts that identify
3.21and promote Minnesota grown products
3.22in retail food establishments including but
3.23not limited to restaurants, grocery stores,
3.24and convenience stores. The balance in the
3.25Minnesota grown matching account in the
3.26agricultural fund is canceled to the Minnesota
3.27grown account in the agricultural fund and
3.28the Minnesota grown matching account is
3.29abolished.
3.30$160,000 the first year and $160,000 the
3.31second year are for grants to farmers for
3.32demonstration projects involving sustainable
3.33agriculture as authorized in Minnesota
3.34Statutes, section 17.116. Of the amount
3.35for grants, up to $20,000 may be used for
3.36dissemination of information about the
4.1demonstration projects. Notwithstanding
4.2Minnesota Statutes, section 16A.28, the
4.3appropriations encumbered under contract
4.4on or before June 30, 2009, for sustainable
4.5agriculture grants in this paragraph are
4.6available until June 30, 2011.
4.7$100,000 the first year and $100,000
4.8the second year are to provide training
4.9and technical assistance to county and
4.10town officials relating to livestock siting
4.11issues and local zoning and land use
4.12planning, including a checklist template that
4.13would clarify the federal, state, and local
4.14government requirements for consideration
4.15of an animal agriculture modernization
4.16or expansion project. In developing the
4.17training and technical assistance program,
4.18the commissioner may seek assistance from
4.19the local planning assistance center of the
4.20Department of Administration and shall seek
4.21guidance, advice, and support of livestock
4.22producer organizations, general agricultural
4.23organizations, local government associations,
4.24academic institutions, other government
4.25agencies, and others with expertise in land
4.26use and agriculture.
4.27$103,000 the first year and $106,000 the
4.28second year are for additional integrated pest
4.29management activities.
4.30$3,300,000 the first year is from the clean
4.31water legacy account for the agricultural best
4.32management practices loan program. At least
4.33$2,640,000 is available for pass-thru to local
4.34governments and lenders for low-interest
4.35loans.
5.1$100,000 the first year and $100,000 the
5.2second year are for annual cost-share
5.3payments to resident farmers or persons
5.4who sell, process, or package agricultural
5.5products in this state for the costs of
5.6organic certification. Annual cost-share
5.7payments per farmer must be three-fourths
5.8of the cost of the certification or $500,
5.9whichever is less. In any year that a resident
5.10farmer or person who sells, processes, or
5.11packages agricultural products in this state
5.12receives a federal organic certification
5.13cost-share payment, that resident farmer or
5.14person is not eligible for state cost-share
5.15payments. This appropriation is available
5.16until expended. The commissioner may
5.17allocate any excess appropriation in either
5.18fiscal year for organic producer education
5.19efforts, assistance for persons transitioning
5.20from conventional to organic agriculture, or
5.21sustainable agriculture demonstration grants
5.22authorized under Minnesota Statutes, section
5.2317.116, and pertaining to organic research
5.24or demonstration.

5.25

Subd. 4.Bioenergy

16,468,000

19,668,000

5.26$15,168,000 the first year and $15,168,000
5.27the second year are for ethanol producer
5.28payments under Minnesota Statutes, section
5.2941A.09. If the total amount for which
5.30all producers are eligible in a quarter
5.31exceeds the amount available for payments,
5.32the commissioner shall make payments
5.33on a pro rata basis. If the appropriation
5.34exceeds the total amount for which all
5.35producers are eligible in a fiscal year for
5.36scheduled payments and for deficiencies
6.1in payments during previous fiscal years,
6.2the balance in the appropriation is available
6.3to the commissioner for value-added
6.4agricultural programs, including the product
6.5processing and marketing grant program
6.6under Minnesota Statutes, section 17.101,
6.7subdivision 5. The appropriation remains
6.8available until spent.
6.9$100,000 the first year and $100,000 the
6.10second year are for ethanol combustion
6.11efficiency grants under Minnesota Statutes,
6.12section 41A.09, subdivision 9. No later than
6.13February 1, 2009, the grant recipient must
6.14report to the house and senate committees
6.15with jurisdiction over agriculture finance.
6.16 $4,400,000 the second year is for grants to
6.17bioenergy projects chosen by a majority vote
6.18of the NextGen Energy Board. The Board
6.19shall award grants to owners of Minnesota
6.20facilities producing bioenergy or certain
6.21nongovernmental entities. For the purposes
6.22of this paragraph, "bioenergy" includes
6.23transportation fuels derived from cellulosic
6.24material as well as the generation of energy
6.25for commercial heat, industrial process heat,
6.26or electrical power from cellulosic material
6.27via gasification or other processes. The
6.28board must give priority to a bioenergy
6.29facility that is at least 60 percent owned
6.30and controlled by farmers, as defined in
6.31section 500.24, subdivision 2, paragraph (n),
6.32or natural persons residing in the county or
6.33counties contiguous to where the facility
6.34is located. Grants are limited to 50% of
6.35the cost of research, technical assistance or
6.36equipment related to bioenergy production
7.1or $500,000, whichever is less. Grants to
7.2nongovernmental entities must be for the
7.3development of business plans and structures
7.4related to community ownership of eligible
7.5bioenergy facilities and together may not
7.6exceed $150,000. The Board shall make a
7.7good faith effort to select projects that have
7.8merit and when taken together represent a
7.9variety of bioenergy technologies, biomass
7.10feedstocks, and geographic regions of the
7.11state. Projects must have a qualified engineer
7.12certification on the technology and fuel
7.13source. Grantees shall provide reports at
7.14the request of the commissioner and must
7.15actively participate in the Agricultural
7.16Utilization Research Institute's Bioenergy
7.17Roundtable. No later than February 1, 2009,
7.18the commissioner shall report on the projects
7.19funded under this appropriation to the house
7.20and senate committees with jurisdiction over
7.21agriculture finance. The commissioner's
7.22costs in administering the program may be
7.23paid from the appropriation.
7.24$200,000 the first year is for a grant to the
7.25Minnesota Turf Seed Council for basic
7.26and applied agronomic research on native
7.27plants, including plant breeding, nutrient
7.28management, pest management, disease
7.29management, yield, and viability. The grant
7.30recipient may subcontract with a qualified
7.31third party for some or all of the basic or
7.32applied research. No later than February
7.331, 2009, the grant recipient must report
7.34to the house and senate committees with
7.35jurisdiction over agriculture finance. This is
8.1a onetime appropriation and is available until
8.2spent.
8.3$200,000 the first year is for a grant to a joint
8.4venture combined heat and power energy
8.5facility located in Scott or LeSueur County
8.6for the creation of a centrally located biomass
8.7fuel supply depot with the capability of
8.8unloading, processing, testing, scaling, and
8.9storing renewable biomass fuels. The grant
8.10must be matched on at least a three-to-one
8.11basis with nonstate funds. No later than
8.12February 1, 2009, the grant recipient must
8.13report to the house and senate committees
8.14with jurisdiction over agriculture finance.
8.15This is a onetime appropriation and is
8.16available until spent.
8.17$200,000 the first year is for a grant to the
8.18Bois Forte Band of Chippewa for a feasibility
8.19study of a renewable energy biofuels
8.20demonstration facility on the Bois Forte
8.21Reservation in St. Louis and Koochiching
8.22counties. The grant shall be used by the Bois
8.23Forte Band to conduct a detailed feasibility
8.24study of the economic and technical viability
8.25of developing a multistream renewable
8.26energy biofuels demonstration facility
8.27on Bois Forte Reservation land to utilize
8.28existing forest resources, woody biomass,
8.29and cellulosic material to produce biofuels or
8.30bioenergy. No later than February 1, 2009,
8.31the grant recipient must report to the house
8.32and senate committees with jurisdiction
8.33over agriculture finance. This is a onetime
8.34appropriation and is available until spent.
9.1$200,000 the first year is for a grant to
9.2the White Earth Band of Chippewa for a
9.3feasibility study of a renewable energy
9.4biofuels production, research and production
9.5facility on the White Earth Reservation in
9.6Mahnomen County. The grant must be used
9.7by the White Earth Band and the University
9.8of Minnesota to conduct a detailed feasibility
9.9study of the economic and technical viability
9.10of (1) developing a multistream renewable
9.11energy biofuels demonstration facility on
9.12White Earth Reservation land to utilize
9.13existing forest resources, woody biomass,
9.14and cellulosic material to produce biofuels or
9.15bioenergy, and (2) developing, harvesting,
9.16and marketing native prairie plants and seeds
9.17for bioenergy production. No later than
9.18February 1, 2009, the grant recipient must
9.19report to the house and senate committees
9.20with jurisdiction over agriculture finance.
9.21This is a onetime appropriation and is
9.22available until spent.
9.23$200,000 the first year is for a grant to the Elk
9.24River Economic Development Authority for
9.25upfront engineering and a feasibility study
9.26of the Elk River renewable fuels facility.
9.27The facility must use a plasma gasification
9.28process to convert primarily cellulosic
9.29material, but may also use plastics and other
9.30components from municipal solid waste, as
9.31feedstock for the production of methanol
9.32for use in biodiesel production facilities.
9.33Any unencumbered balance in fiscal year
9.342008 does not cancel but is available for
9.35fiscal year 2009. Notwithstanding Minnesota
9.36Statutes, section 16A.285, the agency must
10.1not transfer this appropriation. No later than
10.2February 1, 2009, the grant recipient must
10.3report to the house and senate committees
10.4with jurisdiction over agriculture finance.
10.5This is a onetime appropriation and is
10.6available until spent.
10.7200,000 the first year is for a grant to Chisago
10.8County to conduct a detailed feasibility
10.9study of the economic and technical viability
10.10of developing a multistream renewable
10.11energy biofuels demonstration facility in
10.12Chisago, Isanti, or Pine County to utilize
10.13existing forest resources, woody biomass,
10.14and cellulosic material to produce biofuels
10.15or bioenergy. Chisago County may expend
10.16funds to Isanti and Pine Counties and the
10.17University of Minnesota for any costs
10.18incurred as part of the study. The feasibility
10.19study must consider the capacity of: (1) the
10.20seed bank at Wild River State Park to expand
10.21the existing prairie grass, woody biomass,
10.22and cellulosic material resources in Chisago,
10.23Isanti, and Pine Counties; (2) willing and
10.24interested landowners in Chisago, Isanti, and
10.25Pine Counties to grow cellulosic materials;
10.26and (3) the Minnesota Conservation Corps,
10.27the sentence to serve program, and other
10.28existing workforce programs in east central
10.29Minnesota to contribute labor to these efforts.
10.30No later than February 1, 2009, the grant
10.31recipient must report to the house and senate
10.32committees with jurisdiction over agriculture
10.33finance. This is a onetime appropriation and
10.34is available until spent.

10.35 10.36

Subd. 5.Administration and Financial Assistance

6,567,000

7,409,000

11.1$1,005,000 the first year and $1,005,000
11.2the second year are for continuation of
11.3the dairy development and profitability
11.4enhancement and dairy business planning
11.5grant programs established under Laws
11.61997, chapter 216, section 7, subdivision
11.72, and Laws 2001, First Special Session
11.8chapter 2, section 9, subdivision 2, and to
11.9administer a dairy investment tax credit
11.10program. The commissioner may allocate
11.11the available sums among permissible
11.12activities, including efforts to improve the
11.13quality of milk produced in the state in the
11.14proportions that the commissioner deems
11.15most beneficial to Minnesota's dairy farmers.
11.16The commissioner must submit a work plan
11.17detailing plans for expenditures under this
11.18program to the chairs of the house and senate
11.19committees dealing with agricultural policy
11.20and budget on or before the start of each
11.21fiscal year. If significant changes are made
11.22to the plans in the course of the year, the
11.23commissioner must notify the chairs.
11.24$50,000 the first year and $50,000 the second
11.25year are for grants to the Northern Crops
11.26Institute. No later than February 1, 2009,
11.27the grant recipient must report to the house
11.28and senate committees with jurisdiction over
11.29agriculture finance. The appropriation may
11.30be spent to purchase equipment.
11.31$19,000 the first year and $19,000 the second
11.32year are for grants to the Minnesota Livestock
11.33Breeders Association. No later than February
11.341, 2009, the grant recipient must report
11.35to the house and senate committees with
11.36jurisdiction over agriculture finance.
12.1$250,000 the first year and $250,000 the
12.2second year are for grants to the Minnesota
12.3Agricultural Education Leadership Council
12.4for programs of the council under Minnesota
12.5Statutes, chapter 41D. No later than February
12.61, 2009, the grant recipient must report
12.7to the house and senate committees with
12.8jurisdiction over agriculture finance.
12.9$800,000 the second year is for grants
12.10for fertilizer research as awarded by the
12.11Minnesota Agricultural Fertilizer Research
12.12and Education Council under Minnesota
12.13Statutes, section 18C.71. No later than
12.14February 1, 2009, the commissioner shall
12.15report to the house and senate committees
12.16with jurisdiction over agriculture finance.
12.17The report must include the progress and
12.18outcome of funded projects as well as the
12.19sentiment of the Council concerning the need
12.20for additional research funded through an
12.21industry checkoff fee.
12.22$466,000 in the first year and $466,000 in
12.23the second year are for aid payments to
12.24county and district agricultural societies
12.25and associations under Minnesota Statutes,
12.26section 38.02, subdivision 1, and shall be
12.27disbursed not later than July 15. These
12.28payments are the amount of aid owed by the
12.29state for an annual fair held in the previous
12.30calendar year.
12.31$65,000 the first year and $65,000 the second
12.32year are for annual grants to the Northern
12.33Minnesota Forage-Turf Seed Advisory
12.34Committee for basic and applied research on
12.35the improved production of forage and turf
13.1seed related to new and improved varieties.
13.2The grant recipient may subcontract with a
13.3qualified third party for some or all of the
13.4basic and applied research. No later than
13.5February 1, 2009, the grant recipient must
13.6report to the house and senate committees
13.7with jurisdiction over agriculture finance.
13.8$400,000 the first year and $400,000 the
13.9second year are for grants to Second Harvest
13.10Heartland on behalf of Minnesota's six
13.11Second Harvest food banks for the purchase
13.12of milk for distribution to Minnesota's food
13.13shelves and other charitable organizations
13.14that are eligible to receive food from the food
13.15banks. Milk purchased under the grants must
13.16be acquired from Minnesota milk processors
13.17and based on low-cost bids. The milk must be
13.18allocated to each Second Harvest food bank
13.19serving Minnesota according to the formula
13.20used in the distribution of United States
13.21Department of Agriculture commodities
13.22under the Emergency Food Assistance
13.23Program (TEFAP). Second Harvest
13.24Heartland must submit quarterly reports to
13.25the commissioner on forms prescribed by
13.26the commissioner. The reports must include,
13.27but are not limited to, information on the
13.28expenditure of funds, the amount of milk
13.29purchased, and the organizations to which
13.30the milk was distributed. No later than
13.31February 1, 2009, the commissioner must
13.32report to the house and senate committees
13.33with jurisdiction over agriculture finance.
13.34Second Harvest Heartland may enter into
13.35contracts or agreements with food banks
13.36for shared funding or reimbursement of the
14.1direct purchase of milk. Each food bank
14.2receiving money from this appropriation
14.3may use up to two percent of the grant for
14.4administrative expenses.
14.5$100,000 the first year and $100,000 the
14.6second year are for transfer to the Board of
14.7Trustees of the Minnesota State Colleges and
14.8Universities for mental health counseling
14.9support to farm families and business
14.10operators through farm business management
14.11programs at Central Lakes College and
14.12Ridgewater College. No later than February
14.131, 2009, the Board of Trustees must report
14.14to the house and senate committees with
14.15jurisdiction over agriculture finance.
14.16$18,000 the first year and $18,000 the
14.17second year are for grants to the Minnesota
14.18Horticultural Society. No later than February
14.191, 2009, the grant recipient must report
14.20to the house and senate committees with
14.21jurisdiction over agriculture finance.

14.22

Sec. 4. BOARD OF ANIMAL HEALTH

$

3,512,000

$

3,456,000

14.23$408,000 in the first year and $408,000 in
14.24the second year are for bovine tuberculosis
14.25eradication and surveillance in cattle herds.
14.26$159,000 of this amount is permanent.
14.27$100,000 in the first year is for
14.28reimbursements under Minnesota Statutes,
14.29section 35.085. This appropriation is
14.30available until spent.

14.31 14.32

Sec. 5. AGRICULTURAL UTILIZATION RESEARCH INSTITUTE

$

4,000,000

$

4,000,000

14.33From the appropriation in both years, the
14.34Agricultural Utilization Research Institute
14.35must continue to monitor and coordinate
15.1renewable energy efforts and opportunities
15.2in the state via the Bioenergy Roundtable,
15.3the Center for Producer-Owned Energy, and
15.4related initiatives.

15.5

Sec. 6. VETERANS AFFAIRS

$

14,447,000

$

13,682,000

15.6	Appropriations by Fund
15.7		2008	2009
15.8	General	14,109,000	13,344,000
15.9	Special Revenue	338,000	338,000

15.10(a) $1,000,000 each year is added to the base
15.11for state soldier's assistance under Minnesota
15.12Statutes, section 197.05.
15.13(b) $1,900,000 the first year and $1,400,000
15.14the second year are added to the base for
15.15grants to counties under the terms of this
15.16section. The commissioner shall issue a
15.17request for proposals for grants to enhance
15.18the benefits, programs, and services provided
15.19to veterans. The request must specify that
15.20priority will be given to proposals that meet
15.21the programmatic goals established by the
15.22commissioner, including proposals that will:
15.23(1) provide the most effective outreach to
15.24veterans;
15.25(2) reintegrate combat veterans into society;
15.26(3) collaborate with other social service
15.27agencies, educational institutions, and other
15.28relevant community resources;
15.29(4) reduce homelessness among veterans;
15.30and
15.31(5) provide measurable outcomes.
15.32The commissioner may provide incentives
15.33to encourage, and may give priority to
15.34proposals that foster, regional collaboration
16.1for service delivery. The grants may be for a
16.2term of up to two years. The commissioner
16.3shall ensure that grants are made throughout
16.4all regions of the state and shall develop a
16.5description of best practices for the use of
16.6these grants. A county may not reduce its
16.7county veterans service officer budget by any
16.8amount received as a grant under this section.
16.9Grants made under this section are in addition
16.10to and not subject to the requirements for
16.11grants made under Minnesota Statutes,
16.12section 197.608. The Minnesota Association
16.13of County Veterans Service Officers may
16.14apply for grants under this section beginning
16.15July 1, 2007. Any balance remaining after
16.16the first year does not cancel and is available
16.17in the second year. This appropriation must
16.18be included in the appropriation base through
16.19fiscal year 2011.
16.20(c) $2,000,000 each year is for outreach to
16.21veterans. Of this amount, $750,000 each
16.22year is for tribal veterans service offices;
16.23$1,000,000 each year is for a grant to the
16.24Minnesota Assistance Council for Veterans;
16.25and $250,000 each year is for veterans
16.26outreach programs.
16.27(d) $250,000 each year is added to the base
16.28for grants to Disabled American Veterans,
16.29Military Order of the Purple Heart, Veterans
16.30of Foreign Wars, Vietnam Veterans of
16.31America, and other congressionally chartered
16.32veterans service organizations designated by
16.33the commissioner.
16.34(e) $100,000 each year is for information
16.35technology.
17.1(f) $75,000 each year is added to the base for
17.2operations at the Minnesota State Veterans
17.3Cemetery in Little Falls.
17.4(g) $500,000 each year is added to the base
17.5for administration of veterans programming.
17.6(h) $63,000 the first year and $128,000 the
17.7second year is for compensation adjustments
17.8for Department of Veterans Affairs agency
17.9personnel.
17.10(i) $100,000 each year is for compensation
17.11for honor guards at the funerals of veterans
17.12in accordance with the program established
17.13in section 197.231.
17.14(j) $26,000 each year is for spousal education
17.15benefits in accordance with section 197.75.
17.16(k) $500,000 each year is for providing
17.17health screening exams for depleted uranium
17.18in Minnesota veterans in accordance with
17.19section 197.08. This is a onetime only
17.20appropriation.
17.21(l) $250,000 the first year is for grants to
17.22assist WWII veterans attend the dedication
17.23of the Minnesota WWII Memorial on
17.24the Capitol Mall on June 9th, 2007. The
17.25commissioner may spend only that portion
17.26of this sum for which a matching amount,
17.27whether in cash or in kind, is donated by
17.28nongovernmental sources for this purpose.
17.29The commissioner may borrow from the
17.30general fund in advance of this appropriation
17.31in order to meet the deadline for this
17.32event.This is a onetime only appropriation.
17.33(m) $80,000 the first year is for suicide
17.34prevention and psychological support for
18.1veterans. Of this amount, $50,000 is for a
18.2study by the commissioner and the Adjutant
18.3General of the psychological status and
18.4needs of returning Minnesota veterans,
18.5and $30,000 is for a telephone hotline to
18.6refer veterans to available psychological
18.7counseling services. The commissioner
18.8may use this appropriation to supplement
18.9an existing informational hotline service
18.10within the department, or may collaborate
18.11with any other provider of compatible,
18.12existing hotline services for this purpose.
18.13The referral hotline must be available to
18.14veterans statewide at all practicable hours.
18.15The commissioner must broadly publicize
18.16the availability of the telephone hotline
18.17and any local, state and federal counseling
18.18services for Minnesota veterans using all
18.19practicable means available, including but
18.20not limited to: the agency website; local
18.21media announcements; announcements in
18.22service and trade publications; and any other
18.23practical means of communication.
18.24The commissioner may spend up to two
18.25percent of this appropriation for development
18.26of special informational materials, such
18.27as refrigerator magnets, wallet cards, and
18.28other devices on which hotline numbers
18.29may be kept for immediate use. The
18.30commissioner also may accept and spend
18.31other contributions from nongovernmental
18.32sources for this purpose.
18.33This is a onetime appropriation.
18.34(n) $338,000 each year is from the account
18.35in the special revenue fund established in
19.1Minnesota Statutes, section 190.19, for (1)
19.2grants to veterans service organizations; and
19.3(2) outreach to underserved veterans. Any
19.4balance in the first year does not cancel and
19.5is available in the second year.


19.8    Section 1. Minnesota Statutes 2006, section 3.737, subdivision 1, is amended to read:
19.9    Subdivision 1. Compensation required. (a) Notwithstanding section 3.736,
19.10subdivision 3 , paragraph (e), or any other law, a livestock owner shall be compensated
19.11by the commissioner of agriculture for livestock that is destroyed by a gray wolf or is so
19.12crippled by a gray wolf that it must be destroyed. The Except as provided in this section,
19.13the owner is entitled to the fair market value of the destroyed livestock as determined by
19.14the commissioner, upon recommendation of a university extension agent or a conservation
19.15officer. In any calendar year, a livestock owner may not be compensated for a destroyed
19.16animal claim that is less than $100 in value and may be compensated up to $20,000,
19.17as determined under this section. In any calendar year, the commissioner may provide
19.18compensation for claims filed under this section and section 3.7371 up to a total of
19.19$100,000 for both programs combined.
19.20    (b) Either the agent or the conservation officer must make a personal inspection of
19.21the site. The agent or the conservation officer must take into account factors in addition to
19.22a visual identification of a carcass when making a recommendation to the commissioner.
19.23The commissioner, upon recommendation of the agent or conservation officer, shall
19.24determine whether the livestock was destroyed by a gray wolf and any deficiencies in the
19.25owner's adoption of the best management practices developed in subdivision 5. The
19.26commissioner may authorize payment of claims only if the agent or the conservation
19.27officer has recommended payment. The owner shall file a claim on forms provided by the
19.28commissioner and available at the university extension agent's office.

19.29    Sec. 2. Minnesota Statutes 2006, section 3.7371, subdivision 3, is amended to read:
19.30    Subd. 3. Compensation. The crop owner is entitled to the target price or the
19.31market price, whichever is greater, of the damaged or destroyed crop plus adjustments
19.32for yield loss determined according to agricultural stabilization and conservation service
19.33programs for individual farms, adjusted annually, as determined by the commissioner,
19.34upon recommendation of the county extension agent for the owner's county. The
19.35commissioner, upon recommendation of the agent, shall determine whether the crop
19.36damage or destruction is caused by elk and, if so, the amount of the crop that is damaged
20.1or destroyed. In any calendar year, a crop owner may not be compensated for a damaged
20.2or destroyed crop that is less than $100 in value and may be compensated up to $20,000,
20.3as determined under this section, if normal harvest procedures for the area are followed.
20.4In any calendar year, the commissioner may provide compensation for claims filed under
20.5this section and section 3.737 up to a total of $100,000 for both programs combined.

20.6    Sec. 3. Minnesota Statutes 2006, section 17.03, subdivision 3, is amended to read:
20.7    Subd. 3. Cooperation with federal agencies. (a) The commissioner shall cooperate
20.8with the government of the United States, with financial agencies created to assist in the
20.9development of the agricultural resources of this state, and so far as practicable may use
20.10the facilities provided by the existing state departments and the various state and local
20.11organizations. This subdivision is intended to relate to every function and duty which
20.12devolves upon the commissioner.
20.13    (b) The commissioner may apply for, receive, and disburse federal funds made
20.14available to the state by federal law or regulation for any purpose related to the powers
20.15and duties of the commissioner. All money received by the commissioner under this
20.16paragraph shall be deposited in the state treasury and is appropriated to the commissioner
20.17for the purposes for which it was received. Money received under this paragraph does not
20.18cancel and is available for expenditure according to federal law. The commissioner may
20.19contract with and enter into grant agreements with persons, organizations, educational
20.20institutions, firms, corporations, other state agencies, and any agency or instrumentality of
20.21the federal government to carry out agreements made with the federal government relating
20.22to the expenditure of money under this paragraph. Bid requirements under chapter 16C do
20.23not apply to contracts under this paragraph.

20.24    Sec. 4. Minnesota Statutes 2006, section 17.101, subdivision 2, is amended to read:
20.25    Subd. 2. Agricultural development grants and contracts. In order to carry out
20.26the duties in subdivision 1, the commissioner, in addition to whatever other resources
20.27the department may commit, shall make grants and enter into contracts to fulfill the
20.28obligations of subdivision 1. The commissioner may enter into partnerships or seek gifts to
20.29carry out subdivision 1. The commissioner may contract with, among others, agricultural
20.30commodity organizations, the University of Minnesota, and agriculture related businesses
20.31to fulfill the duties. The commissioner shall make permanent rules for the administration
20.32of these grants and contracts. The rules shall specify at a minimum:
20.33    (a) eligibility criteria;
20.34    (b) application procedures;
20.35    (c) provisions for application review and project approval;
21.1    (d) provisions for program monitoring and review for all approved grants and
21.2contracts; and
21.3    (e) other provisions the commissioner finds necessary.
21.4    Contracts entered into by the commissioner pursuant to this subdivision shall not
21.5exceed 75 percent of the cost of the project supported by the commissioner's grant. In
21.6any biennium year, no organization shall receive more than $70,000 in grants from the
21.7commissioner.

21.8    Sec. 5. Minnesota Statutes 2006, section 17.102, subdivision 1, is amended to read:
21.9    Subdivision 1. Establishment and use of label. (a) The commissioner shall
21.10establish a "Minnesota grown" logo or labeling statement for use in identifying
21.11agricultural products that are grown, raised, processed, or manufactured in this state.
21.12The commissioner may develop labeling statements that apply to specific marketing or
21.13promotional needs. One version of a labeling statement must identify food products
21.14certified as organically grown in this state. The Minnesota grown logo or labeling
21.15statement may be used on raw agricultural products only if 80 percent or more of the
21.16agricultural product is produced in this state.
21.17    (b) The Minnesota grown logo or labeling statement may not be used without
21.18a license from the commissioner except that wholesalers and retailers may use the
21.19Minnesota grown logo and labeling statement for displaying and advertising products that
21.20qualify for use of the Minnesota grown logo or labeling statement.

21.21    Sec. 6. Minnesota Statutes 2006, section 17.102, subdivision 3, is amended to read:
21.22    Subd. 3. License. A person may not use the Minnesota grown logo or labeling
21.23without an annual license from the commissioner. The commissioner shall issue licenses
21.24for a fee of $5 $20.

21.25    Sec. 7. Minnesota Statutes 2006, section 17.102, subdivision 4, is amended to read:
21.26    Subd. 4. Minnesota grown account. The Minnesota grown account is established
21.27as an account in the agricultural fund. License fee receipts and penalties collected under
21.28this section must be deposited in the agricultural fund and credited to the Minnesota grown
21.29account. The money in the account is continuously appropriated to the commissioner to
21.30implement and enforce this section and to promote the Minnesota grown logo and labeling
21.31for the direct costs of implementing the Minnesota grown program.

21.32    Sec. 8. Minnesota Statutes 2006, section 17.102, is amended by adding a subdivision
21.33to read:
22.1    Subd. 4a. Funding sources. The Minnesota grown account shall consist of
22.2license fees, penalties, advertising revenue, revenue from the development and sale of
22.3promotional materials, gifts, and appropriations.

22.4    Sec. 9. Minnesota Statutes 2006, section 17.102, is amended by adding a subdivision
22.5to read:
22.6    Subd. 4b. Appropriations must be matched by private funds. Appropriations
22.7from the Minnesota grown account may be expended only to the extent that they are
22.8matched with contributions to the account from private sources on a basis of at least $1
22.9of private contributions to each $4 of state money. For the purposes of this subdivision,
22.10"private contributions" includes, but is not limited to, license fees, penalties, advertising
22.11revenue, revenue from the development and sale of promotional materials, and gifts.

22.12    Sec. 10. Minnesota Statutes 2006, section 17.117, subdivision 1, is amended to read:
22.13    Subdivision 1. Purpose. The purpose of the agriculture best management practices
22.14loan program is to provide low or no interest financing to farmers, agriculture supply
22.15businesses, and rural landowners, and water-quality cooperatives for the implementation
22.16of agriculture and other best management practices that reduce environmental pollution.

22.17    Sec. 11. Minnesota Statutes 2006, section 17.117, subdivision 4, is amended to read:
22.18    Subd. 4. Definitions. (a) For the purposes of this section, the terms defined in this
22.19subdivision have the meanings given them.
22.20    (b) "Agricultural and environmental revolving accounts" means accounts in the
22.21agricultural fund, controlled by the commissioner, which hold funds available to the
22.22program.
22.23    (c) "Agriculture supply business" means a person, partnership, joint venture,
22.24corporation, limited liability company, association, firm, public service company,
22.25or cooperative that provides materials, equipment, or services to farmers or
22.26agriculture-related enterprises.
22.27    (d) "Allocation" means the funds awarded to an applicant for implementation of best
22.28management practices through a competitive or noncompetitive application process.
22.29    (e) "Applicant" means a local unit of government eligible to participate in this
22.30program that requests an allocation of funds as provided in subdivision 6b.
22.31    (f) "Best management practices" has the meaning given in sections 103F.711,
22.32subdivision 3 , and 103H.151, subdivision 2, or other practices, techniques, and measures
22.33that have been demonstrated to the satisfaction of the commissioner to prevent or reduce
22.34adverse environmental impacts by using the most effective and practicable means of
22.35achieving environmental goals.
23.1    (g) "Borrower" means a farmer, an agriculture supply business, or a rural landowner
23.2applying for a low-interest loan.
23.3    (h) "Commissioner" means the commissioner of agriculture, including when the
23.4commissioner is acting in the capacity of chair of the Rural Finance Authority, or the
23.5designee of the commissioner.
23.6    (i) "Committed project" means an eligible project scheduled to be implemented at
23.7a future date:
23.8    (1) that has been approved and certified by the local government unit; and
23.9    (2) for which a local lender has obligated itself to offer a loan.
23.10    (j) "Comprehensive water management plan" means a state approved and locally
23.11adopted plan authorized under section 103B.231, 103B.255, 103B.311, 103C.331,
23.12103D.401 , or 103D.405.
23.13    (k) "Cost incurred" means expenses for implementation of a project accrued because
23.14the borrower has agreed to purchase equipment or is obligated to pay for services or
23.15materials already provided as a result of implementing a prior an approved eligible project.
23.16    (l) "Farmer" means a person, partnership, joint venture, corporation, limited liability
23.17company, association, firm, public service company, or cooperative that regularly
23.18participates in physical labor or operations management of farming and files a Schedule F
23.19as part of filing United States Internal Revenue Service Form 1040 or indicates farming as
23.20the primary business activity under Schedule C, K, or S, or any other applicable report to
23.21the United States Internal Revenue Service.
23.22    (m) "Lender agreement" means an agreement entered into between the commissioner
23.23and a local lender which contains terms and conditions of participation in the program.
23.24    (n) "Local government unit" means a county, soil and water conservation district,
23.25or an organization formed for the joint exercise of powers under section 471.59 with
23.26the authority to participate in the program.
23.27    (o) "Local lender" means a local government unit as defined in paragraph (n), a state
23.28or federally chartered bank, a savings association, a state or federal credit union, Agribank
23.29and its affiliated organizations, or a nonprofit economic development organization or other
23.30financial lending institution approved by the commissioner.
23.31    (p) "Local revolving loan account" means the account held by a local government
23.32unit and a local lender into which principal repayments from borrowers are deposited and
23.33new loans are issued in accordance with the requirements of the program and lender
23.34agreements.
23.35    (q) "Nonpoint source" has the meaning given in section 103F.711, subdivision 6.
24.1    (r) "Program" means the agriculture best management practices loan program
24.2in this section.
24.3    (s) "Project" means one or more components or activities located within Minnesota
24.4that are required by the local government unit to be implemented for satisfactory
24.5completion of an eligible best management practice.
24.6    (t) "Rural landowner" means the owner of record of Minnesota real estate located
24.7in an area determined by the local government unit to be rural after consideration of
24.8local land use patterns, zoning regulations, jurisdictional boundaries, local community
24.9definitions, historical uses, and other pertinent local factors.
24.10    (u) "Water-quality cooperative" has the meaning given in section 115.58, paragraph
24.11(d), except as expressly limited in this section.

24.12    Sec. 12. Minnesota Statutes 2006, section 17.117, subdivision 5a, is amended to read:
24.13    Subd. 5a. Agricultural and environmental revolving accounts. (a) There
24.14shall be established in the agricultural special revenue fund revolving accounts to
24.15receive appropriations, transfers of the balances from previous appropriations for the
24.16activities under this section, and money from other sources. All balances from previous
24.17appropriations for activities under this section and repayments of loans granted under this
24.18section, including principal and interest, must be deposited into the appropriate revolving
24.19account created in this subdivision or the account created in subdivision 13. Interest
24.20earned in an account accrues to that account.
24.21    (b) The money in the revolving accounts and the account created in subdivision 13 is
24.22appropriated to the commissioner for the purposes of this section.

24.23    Sec. 13. Minnesota Statutes 2006, section 17.117, subdivision 5b, is amended to read:
24.24    Subd. 5b. Application fee. The commissioner may impose a nonrefundable
24.25application fee of $50 for each loan issued under the program. The fees must be credited
24.26to the agricultural best management practices administration account, which is hereby
24.27established in the agricultural special revenue fund. Interest earned in the account accrues
24.28to the account. Money in the account and interest earned in the accounts established
24.29in the agricultural fund under subdivision 5a are appropriated to the commissioner for
24.30administrative expenses of the program.

24.31    Sec. 14. Minnesota Statutes 2006, section 17.117, subdivision 11, is amended to read:
24.32    Subd. 11. Loans issued to borrower. (a) Local lenders may issue loans only for
24.33projects that are approved and certified by the local government unit as meeting priority
24.34needs identified in a comprehensive water management plan or other local planning
24.35documents, are in compliance with accepted practices, standards, specifications, or
25.1criteria, and are eligible for financing under Environmental Protection Agency or other
25.2applicable guidelines.
25.3    (b) The local lender may use any additional criteria considered necessary to
25.4determine the eligibility of borrowers for loans.
25.5    (c) Local lenders shall set the terms and conditions of loans to borrowers, except that:
25.6    (1) no loan to a borrower may exceed $50,000 $100,000;
25.7    (2) no loan for a project may exceed $50,000 $100,000; and
25.8    (3) no borrower shall, at any time, have multiple loans from this program with a total
25.9outstanding loan balance of more than $50,000 $100,000.
25.10    (d) The maximum term length for conservation tillage projects is five years. The
25.11maximum term length for other projects in this paragraph is ten years.
25.12    (e) Notwithstanding paragraph (c), a local lender may issue a loan of up to $100,000
25.13for a community sewage treatment system serving two or more households.
25.14    (f) (e) Fees charged at the time of closing must:
25.15    (1) be in compliance with normal and customary practices of the local lender;
25.16    (2) be in accordance with published fee schedules issued by the local lender;
25.17    (3) not be based on participation program; and
25.18    (4) be consistent with fees charged other similar types of loans offered by the local
25.19lender.
25.20    (g) (f) The interest rate assessed to an outstanding loan balance by the local lender
25.21must not exceed three percent per year.

25.22    Sec. 15. Minnesota Statutes 2006, section 17.982, subdivision 1, is amended to read:
25.23    Subdivision 1. Criminal penalties. A person who violates a provision of chapter
25.2425, 28A, 29, 31, 31A, 31B, or 34 for which a penalty has not been prescribed is guilty
25.25of a misdemeanor.

25.26    Sec. 16. Minnesota Statutes 2006, section 17.983, subdivision 1, is amended to read:
25.27    Subdivision 1. Administrative penalties; citation. If a person has violated a
25.28provision of chapter 25, 28A, 29, 31, 31A, 31B, 32, or 34, the commissioner may issue a
25.29written citation to the person by personal service or by certified mail. The citation must
25.30describe the nature of the violation and the statute or rule alleged to have been violated;
25.31state the time for correction, if applicable; and the amount of any proposed fine. The
25.32citation must advise the person to notify the commissioner in writing within 30 days if the
25.33person wishes to appeal the citation. If the person fails to appeal the citation, the citation
25.34is the final order and not subject to further review.

26.1    Sec. 17. Minnesota Statutes 2006, section 17B.03, is amended by adding a subdivision
26.2to read:
26.3    Subd. 4. Port of Duluth. The commissioner shall provide official services for
26.4grain for export from the Port of Duluth, including inspection, weighing, supervision of
26.5weights, and related services. The commissioner shall maintain and, when required, renew
26.6delegated authority from the United States Department of Agriculture as required by
26.7federal law to provide official export grain inspection services.

26.8    Sec. 18. Minnesota Statutes 2006, section 18B.065, is amended to read:
26.918B.065 WASTE PESTICIDE COLLECTION PROGRAM.
26.10    Subdivision 1. Collection and disposal. The commissioner of agriculture shall
26.11establish and operate a program to collect waste pesticides. The program shall must be
26.12made available to agricultural and residential pesticide end users whose waste generating
26.13activity occurs in this state.
26.14    Subd. 2. Implementation. (a) The commissioner may obtain a United States
26.15Environmental Protection Agency hazardous waste identification number to manage the
26.16waste pesticides collected.
26.17    (b) The commissioner may limit the type and quantity of waste pesticides accepted
26.18for collection and may assess pesticide end users for portions of the costs incurred.
26.19    Subd. 2a. Disposal site requirement. The commissioner must designate a place
26.20in each county of the state that is available at least every other year for the residents of
26.21each county in the state persons to dispose of unused portions of pesticides in accordance
26.22with subdivision 1. The commissioner shall consult with the person responsible for solid
26.23waste management and disposal in each county to determine an appropriate location.
26.24    Subd. 3. Information and education. The commissioner shall provide
26.25informational and educational materials regarding waste pesticides and the proper
26.26management of waste pesticides to the public.
26.27    Subd. 4. Consultation with Pollution Control Agency. The commissioner shall
26.28develop the program in this section in consultation and cooperation with the Pollution
26.29Control Agency.
26.30    Subd. 7. Cooperative agreements. The commissioner may enter into cooperative
26.31agreements with state agencies and local units of government for administration of the
26.32waste pesticide collection program.
27.1EFFECTIVE DATE.This section is effective August 1, 2007, and applies to all
27.2cooperative agreements entered into by the commissioner of agriculture and local units of
27.3government for waste pesticide collection and disposal after that date.

27.4    Sec. 19. Minnesota Statutes 2006, section 18B.26, subdivision 3, is amended to read:
27.5    Subd. 3. Application fee. (a) A registrant shall pay an annual application fee for
27.6each pesticide to be registered, and this fee is set at 0.4 percent of annual gross sales
27.7within the state and annual gross sales of pesticides used in the state, with a minimum
27.8nonrefundable fee of $250. The registrant shall determine when and which pesticides
27.9are sold or used in this state. The registrant shall secure sufficient sales information of
27.10pesticides distributed into this state from distributors and dealers, regardless of distributor
27.11location, to make a determination. Sales of pesticides in this state and sales of pesticides
27.12for use in this state by out-of-state distributors are not exempt and must be included in the
27.13registrant's annual report, as required under paragraph (c), and fees shall be paid by the
27.14registrant based upon those reported sales. Sales of pesticides in the state for use outside
27.15of the state are exempt from the application fee in this paragraph if the registrant properly
27.16documents the sale location and distributors. A registrant paying more than the minimum
27.17fee shall pay the balance due by March 1 based on the gross sales of the pesticide by the
27.18registrant for the preceding calendar year. The fee for disinfectants and sanitizers shall be
27.19the minimum. The minimum fee is due by December 31 preceding the year for which
27.20the application for registration is made. The commissioner shall spend at least $300,000
27.21$400,000, not including the commissioner's administrative costs, per fiscal year from the
27.22pesticide regulatory account for the purposes of the waste pesticide collection program.
27.23    (b) An additional fee of $100 must be paid by the applicant for each pesticide to be
27.24registered if the application is a renewal application that is submitted after December 31.
27.25    (c) A registrant must annually report to the commissioner the amount and type of
27.26each registered pesticide sold, offered for sale, or otherwise distributed in the state. The
27.27report shall be filed by March 1 for the previous year's registration. The commissioner
27.28shall specify the form of the report and require additional information deemed necessary
27.29to determine the amount and type of pesticides annually distributed in the state. The
27.30information required shall include the brand name, amount, and formulation of each
27.31pesticide sold, offered for sale, or otherwise distributed in the state, but the information
27.32collected, if made public, shall be reported in a manner which does not identify a specific
27.33brand name in the report.
27.34    (d) A registrant who is required to pay more than the minimum fee for any pesticide
27.35under paragraph (a) must pay a late fee penalty of $100 for each pesticide application fee
27.36paid after March 1 in the year for which the license is to be issued.
28.1EFFECTIVE DATE.This section is effective August 1, 2007, and applies to all
28.2cooperative agreements entered into by the commissioner of agriculture and local units of
28.3government for waste pesticide collection and disposal after that date.

28.4    Sec. 20. Minnesota Statutes 2006, section 18B.33, subdivision 1, is amended to read:
28.5    Subdivision 1. Requirement. (a) A person may not apply a pesticide for hire
28.6without a commercial applicator license for the appropriate use categories or a structural
28.7pest control license or aquatic pest control license.
28.8    (b) A person with a commercial applicator license may not apply pesticides on
28.9or into surface waters without an aquatic pest control license under section 18B.315,
28.10except an aquatic pest control license is not required for licensed commercial applicators
28.11applying pesticides for the purposes of:
28.12    (1) pest control on cultivated wild rice;
28.13    (2) mosquito and black fly control operations;
28.14    (3) pest control on rights-of-way;
28.15    (4) aerial pest control operations for emergent vegetation control;
28.16    (5) aerial application of piscicides; and
28.17    (6) pest control for silvicultural operations.
28.18    (c) (b) A commercial applicator licensee must have a valid license identification card
28.19when applying pesticides for hire and must display it upon demand by an authorized
28.20representative of the commissioner or a law enforcement officer. The commissioner shall
28.21prescribe the information required on the license identification card.

28.22    Sec. 21. Minnesota Statutes 2006, section 18B.34, subdivision 1, is amended to read:
28.23    Subdivision 1. Requirement. (a) Except for a licensed commercial applicator,
28.24certified private applicator, a licensed aquatic pest control applicator, or licensed structural
28.25pest control applicator, a person, including a government employee, may not use a
28.26restricted use pesticide in performance of official duties without having a noncommercial
28.27applicator license for an appropriate use category.
28.28    (b) A licensed noncommercial applicator may not apply pesticides into or on surface
28.29waters without an aquatic pest control license, except an aquatic pest control license is not
28.30required for licensed noncommercial applicators applying pesticides for the purposes of:
28.31    (1) mosquito and black fly control operations;
28.32    (2) pest control on rights-of-way;
28.33    (3) pest control operations for purple loosestrife control;
28.34    (4) application of piscicides; and
28.35    (5) pest control for silvicultural operations.
29.1    (c) (b) A licensee must have a valid license identification card when applying
29.2pesticides and must display it upon demand by an authorized representative of the
29.3commissioner or a law enforcement officer. The license identification card must contain
29.4information required by the commissioner.

29.5    Sec. 22. Minnesota Statutes 2006, section 18B.345, is amended to read:
29.618B.345 PESTICIDE APPLICATION ON GOLF COURSES.
29.7    (a) Application of a pesticide to the property of a golf course must be performed by:
29.8    (1) a structural pest control applicator; or
29.9    (2) a commercial or noncommercial pesticide applicator with appropriate use
29.10certification; or.
29.11    (3) an aquatic pest control applicator.
29.12    (b) Pesticides determined by the commissioner to be sanitizers and disinfectants are
29.13exempt from the requirements in paragraph (a).

29.14    Sec. 23. Minnesota Statutes 2006, section 18C.305, is amended by adding a
29.15subdivision to read:
29.16    Subd. 3. Exemption. A permit and safeguard is not required for agricultural
29.17commodity producers who store, on their own property, for their own use, no more than
29.186,000 gallons of liquid commercial fertilizer.

29.19    Sec. 24. [18C.70] MINNESOTA AGRICULTURAL FERTILIZER RESEARCH
29.20AND EDUCATION COUNCIL.
29.21    Subdivision 1. Establishment; membership. (a) The Minnesota Agricultural
29.22Fertilizer Research and Education Council is established. The council is composed of
29.2312 voting members as follows:
29.24    (1) two members of the Minnesota Crop Production Retailers;
29.25    (2) one member of the Minnesota Corn Growers Association;
29.26    (3) one member of the Minnesota Soybean Growers Association;
29.27    (4) one member of the sugar beet growers industry;
29.28    (5) one member of the Minnesota Association of Wheat Growers;
29.29    (6) one member of the potato growers industry;
29.30    (7) one member of the Minnesota Farm Bureau;
29.31    (8) one member of the Minnesota Farmers Union;
29.32    (9) one member from the Minnesota Irrigators Association;
29.33    (10) one member of the Minnesota Grain and Feed Association; and
29.34    (11) one member of the Minnesota Independent Crop Consultant Association or the
29.35Minnesota certified crop advisor program.
30.1    (b) Council members shall serve three-year terms. After the initial council is
30.2appointed, subsequent appointments must be staggered so that one-third of council
30.3membership is replaced each year. Council members must be nominated by their
30.4organizations and appointed by the commissioner. The council may add ex-officio
30.5members at its discretion. The council must meet at least once per year, with all
30.6related expenses reimbursed by members' sponsoring organizations or by the members
30.7themselves.
30.8    Subd. 2. Powers and duties. The council must review applications and select
30.9projects to receive agricultural fertilizer research and education program grants, as
30.10authorized in section 18C.71. The council must establish a program to provide grants to
30.11research, education, and technology transfer projects related to agricultural fertilizer,
30.12soil amendments, and plant amendments. For the purpose of this section, "fertilizer"
30.13includes soil amendments and plant amendments, but does not include vegetable or animal
30.14manures that are not manipulated. The commissioner has authority over all deposits to
30.15and withdrawals from the program account authorized in subdivision 4, but after January
30.161, 2008, the council may select the commissioner or any other person it considers fit
30.17to perform all other administrative duties related to the program. The commissioner
30.18is responsible for all fiscal and administrative duties in the first year and may use up
30.19to eight percent of program revenue to offset costs incurred. No later than October 1,
30.202007, the commissioner must provide the council with an estimate of the annual costs the
30.21commissioner would incur in administering the program.
30.22    Subd. 3. Checkoff fees. The commissioner, if requested by a formal order from
30.23the council, shall implement, administer or discontinue a checkoff fee to provide funding
30.24for grants under section 18C.71. During any period that a checkoff fee is in effect, any
30.25person, whether in Minnesota or elsewhere, that sells fertilizer to producers must collect
30.26a checkoff of 40 cents per ton of fertilizer sold and forward the checkoff funds at least
30.27semiannually to the commissioner along with forms provided by the commissioner.
30.28For the purposes of this section, "producer" means a person who owns or operates an
30.29agricultural producing or growing facility for an agricultural commodity, shares in the
30.30profits and risk of loss from the operation, and grows, raises, feeds, or produces the
30.31agricultural commodity in Minnesota during the current or preceding calendar year.
30.32    Subd. 4. Program account. There is established in the state treasury an agricultural
30.33fertilizer research and education program account in the agricultural fund. The checkoff
30.34funds raised under this section must be deposited in the account. Money in the account,
31.1including interest earned, is appropriated to the commissioner to carry out the program
31.2and to provide refunds under subdivision 5.
31.3    Subd. 5. Refunds. A producer may, by use of forms provided by the commissioner
31.4and upon presentation of proof the commissioner requires, have the checkoff fee refunded
31.5if the checkoff fee was remitted on a timely basis. The producer must submit refund
31.6requests to the commissioner by February 28 each year for checkoff fees paid in the
31.7previous calendar year. For checkoff fees paid between January 1, 2008, and January 1,
31.82009, refunds must not be issued until January 15, 2009.
31.9    Subd. 6. Rules. The commissioner's duties under this section and section 18C.71
31.10are not subject to the provisions of chapter 14.
31.11    Subd. 7. Expiration. This section expires on January 8, 2017.
31.12EFFECTIVE DATE.This section is effective January 1, 2008.

31.13    Sec. 25. [18C.71] MINNESOTA AGRICULTURAL FERTILIZER RESEARCH
31.14AND EDUCATION PROGRAM.
31.15    Subdivision 1. Eligible projects. Eligible project activities include research,
31.16education, and technology transfer related to the production and application of fertilizer,
31.17soil amendments, and other plant amendments. Chosen projects must contain a component
31.18of outreach that achieves a timely dissemination of findings and their applicability to the
31.19production agricultural community.
31.20    Subd. 2. Awarding grants. Applications for program grants must be submitted in
31.21the form prescribed by the Minnesota Agricultural Fertilizer Research and Education
31.22Council. Applications must be submitted on or before the deadline prescribed by the
31.23council. All applications are subject to a thorough in-state review by a peer committee
31.24established and approved by the council. Each project meeting the basic qualifications is
31.25subject to a yes or no vote by each council member. Projects chosen to receive funding
31.26must achieve an affirmative vote from at least eight of the 12 council members or
31.27two-thirds of voting members present. Projects awarded program funds must submit an
31.28annual progress report in the form prescribed by the council.
31.29    Subd. 3. Annual audit. The program must have an annual audit of financial
31.30activities, which the council must file with the commissioner on or before June 1 for the
31.31immediately preceding year ending December 31.
31.32    Subd. 4. Expiration. This section expires January 8, 2017.
31.33EFFECTIVE DATE.This section is effective January 1, 2008.

32.1    Sec. 26. Minnesota Statutes 2006, section 18E.02, subdivision 5, is amended to read:
32.2    Subd. 5. Eligible person. "Eligible person" means:
32.3    (1) a responsible party or an owner of real property, but does not include the state,
32.4a state agency, or a political subdivision of the state, except as provided in clause (2),;
32.5common carriers, as defined by section 218.011, subdivision 10; motor carriers as defined
32.6by section 221.011, subdivision 15, while transporting agricultural chemicals except as
32.7provided in clause (3); or the federal government, or an agency of the federal government;
32.8    (2) the owners of municipal airports in Minnesota where a licensed aerial pesticide
32.9applicator has caused an incident through storage, handling, or distribution operations for
32.10agricultural chemicals if (i) the commissioner has determined that corrective action is
32.11necessary and (ii) the commissioner determines, and the Agricultural Chemical Response
32.12Compensation Board concurs, that based on an affirmative showing made by the owner, a
32.13responsible party cannot be identified or the identified responsible party is unable to
32.14comply with an order for corrective action; or
32.15    (3) a person involved in a transaction relating to real property who is not a responsible
32.16party or owner of the real property and who voluntarily takes corrective action on the
32.17property in response to a request or order for corrective action from the commissioner.

32.18    Sec. 27. Minnesota Statutes 2006, section 18E.02, is amended by adding a subdivision
32.19to read:
32.20    Subd. 7. Incident. "Incident" means a flood, fire, tornado, transportation accident,
32.21storage container rupture, leak, spill, emission discharge, escape, disposal, or other event
32.22that releases an agricultural chemical accidentally or otherwise into the environment and
32.23may cause unreasonable adverse effects on the environment. "Incident" does not include a
32.24release from the normal use of a product or practice in accordance with law.

32.25    Sec. 28. Minnesota Statutes 2006, section 18E.03, subdivision 4, is amended to read:
32.26    Subd. 4. Fee. (a) The response and reimbursement fee consists of the surcharges and
32.27any adjustments made by the commissioner in this subdivision and shall be collected by
32.28the commissioner. The amount of the response and reimbursement fee shall be determined
32.29and imposed annually by the commissioner as required to satisfy the requirements in
32.30subdivision 3. The commissioner shall adjust the amount of the surcharges imposed in
32.31proportion to the amount of the surcharges listed in this subdivision. License application
32.32categories under paragraph (d) must be charged in proportion to the amount of surcharges
32.33imposed up to a maximum of 50 percent of the license fees set under chapters 18B and
32.3418C.
32.35    (b) The commissioner shall impose a surcharge on pesticides registered under
32.36chapter 18B to be collected as a surcharge on the registration application fee under
33.1section 18B.26, subdivision 3, that is equal to 0.1 percent of sales of the pesticide in the
33.2state and sales of pesticides for use in the state during the previous calendar year, except
33.3the surcharge may not be imposed on pesticides that are sanitizers or disinfectants as
33.4determined by the commissioner. No surcharge is required if the surcharge amount based
33.5on percent of annual gross sales is less than $10. The registrant shall determine when and
33.6which pesticides are sold or used in this state. The registrant shall secure sufficient sales
33.7information of pesticides distributed into this state from distributors and dealers, regardless
33.8of distributor location, to make a determination. Sales of pesticides in this state and sales
33.9of pesticides for use in this state by out-of-state distributors are not exempt and must be
33.10included in the registrant's annual report, as required under section 18B.26, subdivision 3,
33.11paragraph (c), and fees shall be paid by the registrant based upon those reported sales.
33.12Sales of pesticides in the state for use outside of the state are exempt from the surcharge in
33.13this paragraph if the registrant properly documents the sale location and the distributors.
33.14    (c) The commissioner shall impose a ten cents per ton surcharge on the inspection
33.15fee under section 18C.425, subdivision 6, for fertilizers, soil amendments, and plant
33.16amendments.
33.17    (d) The commissioner shall impose a surcharge on the license application of persons
33.18licensed under chapters 18B and 18C consisting of:
33.19    (1) a $75 surcharge for each site where pesticides are stored or distributed, to
33.20be imposed as a surcharge on pesticide dealer application fees under section 18B.31,
33.21subdivision 5 ;
33.22    (2) a $75 surcharge for each site where a fertilizer, plant amendment, or soil
33.23amendment is distributed, to be imposed on persons licensed under sections 18C.415
33.24and 18C.425;
33.25    (3) a $50 surcharge to be imposed on a structural pest control applicator license
33.26application under section 18B.32, subdivision 6, for business license applications only;
33.27    (4) a $20 surcharge to be imposed on commercial applicator license application fees
33.28under section 18B.33, subdivision 7; and
33.29    (5) a $20 surcharge to be imposed on noncommercial applicator license application
33.30fees under section 18B.34, subdivision 5, except a surcharge may not be imposed on a
33.31noncommercial applicator that is a state agency, political subdivision of the state, the
33.32federal government, or an agency of the federal government; and.
33.33    (6) a $20 surcharge to be imposed on aquatic pest control licenses under section
33.3418B.315.
33.35    (e) A $1,000 fee shall be imposed on each site where pesticides are stored and sold
33.36for use outside of the state unless:
34.1    (1) the distributor properly documents that it has less than $2,000,000 per year in
34.2wholesale value of pesticides stored and transferred through the site; or
34.3    (2) the registrant pays the surcharge under paragraph (b) and the registration fee
34.4under section 18B.26, subdivision 3, for all of the pesticides stored at the site and sold for
34.5use outside of the state.
34.6    (f) Paragraphs (c) to (e) apply to sales, licenses issued, applications received for
34.7licenses, and inspection fees imposed on or after July 1, 1990.

34.8    Sec. 29. Minnesota Statutes 2006, section 25.33, subdivision 3, is amended to read:
34.9    Subd. 3. Distribute. "Distribute" means to offer for sale, sell, exchange, or barter,
34.10commercial feed; or to supply, furnish, or otherwise provide commercial feed to a contract
34.11feeder.

34.12    Sec. 30. Minnesota Statutes 2006, section 25.33, subdivision 4, is amended to read:
34.13    Subd. 4. Distributor. "Distributor" means any person who distributes commercial
34.14feed in this state.

34.15    Sec. 31. Minnesota Statutes 2006, section 25.33, subdivision 5, is amended to read:
34.16    Subd. 5. Commercial feed. "Commercial feed" means materials or combinations of
34.17materials that are distributed or intended to be distributed for use as feed or for mixing in
34.18feed, including feed for aquatic animals, unless the materials are specifically exempted.
34.19Unmixed whole seeds and physically altered entire unmixed seeds, if the whole or
34.20physically altered seeds are not chemically changed, not labeled as feed or for use as feed,
34.21or are not adulterated within the meaning of section 25.37, paragraph (a), are exempt. The
34.22commissioner by rule may exempt from this definition, or from specific provisions of
34.23sections 25.31 to 25.43, commodities such as hay, straw, stover, silage, cobs, husks, hulls,
34.24and individual chemical compounds or substances if those commodities, compounds, or
34.25substances are not intermixed with other materials, not labeled as feed or for use as feed,
34.26and are not adulterated within the meaning of section 25.37, paragraph (a).

34.27    Sec. 32. Minnesota Statutes 2006, section 25.33, is amended by adding a subdivision
34.28to read:
34.29    Subd. 5a. Feed. "Feed" means edible materials that are consumed by animals, other
34.30than humans, and contribute energy or nutrients to the animal's diet.

34.31    Sec. 33. Minnesota Statutes 2006, section 25.33, subdivision 6, is amended to read:
34.32    Subd. 6. Feed ingredient. "Feed ingredient" means each of the constituent materials
34.33making up a commercial feed.

34.34    Sec. 34. Minnesota Statutes 2006, section 25.33, subdivision 10, is amended to read:
35.1    Subd. 10. Manufacture. "Manufacture" means to grind, mix or, blend, or further
35.2process, package, or label a commercial feed for distribution.

35.3    Sec. 35. Minnesota Statutes 2006, section 25.33, subdivision 18, is amended to read:
35.4    Subd. 18. Contract feeder. "Contract feeder" means a person who as an
35.5independent contractor, feeds commercial feed to animals, pursuant to a contract whereby
35.6such commercial the feed is supplied, furnished, or otherwise provided to such person
35.7and whereby such person's remuneration is determined all or in part by feed consumption,
35.8mortality, profits, or amount or quality of product.

35.9    Sec. 36. Minnesota Statutes 2006, section 25.341, subdivision 1, is amended to read:
35.10    Subdivision 1. Requirement. Before a person may: (1) manufacture a commercial
35.11feed in the state; (2) distribute a commercial feed in or into the state; or (3) have the
35.12person's name appear on the label of a commercial feed as guarantor, the person must have
35.13a commercial feed license for each manufacturing or distributing facility. A person who
35.14makes only retail sales of commercial feed bearing labeling or another approved indication
35.15that the commercial feed is from a licensed manufacturer, guarantor, or distributor who
35.16has assumed full responsibility for the tonnage inspection fee due under sections 25.31 to
35.1725.43, guaranteed by another, is not required to obtain a license.

35.18    Sec. 37. Minnesota Statutes 2006, section 25.35, is amended to read:
35.1925.35 LABELING.
35.20    (a) A commercial feed, except a customer formula feed, must be accompanied by a
35.21label bearing the following information:
35.22    (1) the product name and the brand name, if any, under which the commercial feed
35.23is distributed;
35.24    (2) the guaranteed analysis, stated in terms the commissioner requires by rule, to
35.25advise the user of the composition of the feed or to support claims made in the labeling.
35.26The substances or elements must be determinable by laboratory methods such as the
35.27methods published by the AOAC International or other generally recognized methods;
35.28    (3) the common or usual name of each ingredient used in the manufacture of the
35.29commercial feed. The commissioner may by rule permit the use of a collective term for a
35.30group of ingredients which perform a similar function, or may exempt commercial feeds
35.31or any group of commercial feeds from this requirement on finding that an ingredient
35.32statement is not required in the interest of consumers;
35.33    (4) the name and principal mailing address of the manufacturer or the person
35.34responsible for distributing the commercial feed;
36.1    (5) adequate directions for use for all commercial feeds containing drugs and for
36.2such other feeds as the commissioner may require by rule as necessary for their safe
36.3and effective use;
36.4    (6) precautionary statements which the commissioner determines by rule are
36.5necessary for the safe and effective use of the commercial feed; and
36.6    (7) a quantity statement.
36.7    (b) A customer formula feed must be accompanied by a label, invoice, delivery slip,
36.8or other shipping document bearing the following information:
36.9    (1) name and address of the manufacturer;
36.10    (2) name and address of the purchaser;
36.11    (3) date of delivery;
36.12    (4) the product name and either (i) the quantity of each commercial feed and each
36.13other ingredient used in the mixture, or (ii) a guaranteed analysis and list of ingredients in
36.14paragraph (a), clauses (2) and (3);
36.15    (5) adequate directions for use for all customer formula feeds containing drugs
36.16and for other feeds the commissioner requires by rule as necessary for their safe and
36.17effective use;
36.18    (6) precautionary statements the commissioner determines by rule are necessary for
36.19the safe and effective use of the customer formula feed;
36.20    (7) if a product containing a drug is used:
36.21    (i) the purpose of the medication (claim statement); and
36.22    (ii) the established name of each active drug ingredient and the level of each drug
36.23used in the final mixture expressed in a manner required by the commissioner by rule; and
36.24    (8) for a customer formula feed for which the formula is developed by someone
36.25other than the manufacturer, a disclaimer may be included on the label stating "THIS
36.26FEED IS A CUSTOMER FORMULA FEED DEVELOPED BY SOMEONE OTHER
36.27THAN THE MANUFACTURER. THE MANUFACTURER DOES NOT CLAIM,
36.28REPRESENT, WARRANT, OR GUARANTEE, AND IS NOT RESPONSIBLE FOR
36.29THE NUTRITIONAL ADEQUACY OF THIS FEED OR THE NUTRITIONAL
36.30SUITABILITY OF THIS FEED FOR ITS INTENDED PURPOSE."; and
36.31    (9) a quantity statement.
36.32    (c) The manufacturer of a customer formula feed the formula of which is developed
36.33by someone other than the manufacturer is not responsible or liable for the nutritional
36.34adequacy or the nutritional suitability of the feed for its intended purpose if: (1) the
36.35manufacturer does not make a claim of nutritional adequacy for the customer formula
36.36feed and does not make a claim for nutritional suitability of the feed for its intended
37.1purpose; and (2) the manufacturer includes the disclaimer in paragraph (b), clause (8).
37.2A person other than the manufacturer who develops or recommends a formula for a
37.3customer formula feed is responsible for providing to the manufacturer of the feed the
37.4appropriate labeling information and for providing the appropriate use information to the
37.5feed manufacturer.

37.6    Sec. 38. Minnesota Statutes 2006, section 25.39, subdivision 1, is amended to read:
37.7    Subdivision 1. Amount of fee. (a) An inspection fee at the rate of 16 cents per ton
37.8must be paid to the commissioner on commercial feeds distributed in this state by the
37.9person who first distributes the commercial feed, except that:
37.10    (1) no fee need be paid on:
37.11    (i) a commercial feed if the payment has been made by a previous distributor; or
37.12    (ii) any feed ingredient in a customer formula feeds if the inspection fee is paid on
37.13the commercial feeds which are used as ingredients feed that has been directly furnished
37.14by the final purchaser; or
37.15    (2) a Minnesota feed distributor who can substantiate that greater than 50 percent
37.16of the distribution of commercial feed is to purchasers outside the state may purchase
37.17commercial feeds without payment of the inspection fee under a tonnage fee exemption
37.18permit issued by the commissioner. Such location specific permits shall be issued on a
37.19calendar year basis to commercial feed distributors who submit a $100 nonrefundable
37.20application fee and comply with rules adopted by the commissioner relative to record
37.21keeping, tonnage of commercial feed distributed in Minnesota, total of all commercial
37.22feed tonnage distributed, and all other information which the commissioner may require
37.23so as to ensure that proper inspection fee payment has been made.
37.24    (b) In the case of pet food distributed in the state only in packages of ten pounds
37.25or less, a listing of each product and a current label for each product must be submitted
37.26annually on forms provided by the commissioner and accompanied by an annual fee
37.27of $50 for each product in lieu of the inspection fee. This annual fee is due by July 1.
37.28The inspection fee required by paragraph (a) applies to pet food distributed in packages
37.29exceeding ten pounds.
37.30    (c) In the case of specialty pet food distributed in the state only in packages of
37.31ten pounds or less, a listing of each product and a current label for each product must
37.32be submitted annually on forms provided by the commissioner and accompanied by an
37.33annual fee of $25 for each product in lieu of the inspection fee. This annual fee is due
37.34by July 1. The inspection fee required by paragraph (a) applies to specialty pet food
37.35distributed in packages exceeding ten pounds.
37.36    (d) The minimum inspection fee is $10 per annual reporting period.

38.1    Sec. 39. Minnesota Statutes 2006, section 28A.04, subdivision 1, is amended to read:
38.2    Subdivision 1. Application; date of issuance. (a) No person shall engage in the
38.3business of manufacturing, processing, selling, handling, or storing food without having
38.4first obtained from the commissioner a license for doing such business. Applications for
38.5such license shall be made to the commissioner in such manner and time as required
38.6and upon such forms as provided by the commissioner and shall contain the name and
38.7address of the applicant, address or description of each place of business, and the nature
38.8of the business to be conducted at each place, and such other pertinent information as
38.9the commissioner may require.
38.10    (b) A retail or wholesale food handler license shall be issued for the period July 1
38.11to June 30 following and shall be renewed thereafter by the licensee on or before July
38.121 each year, except that:
38.13    (1) licenses for all mobile food concession units and retail mobile units shall must be
38.14issued for the period April 1 to March 31, and shall must be renewed thereafter by the
38.15licensee on or before April 1 each year; and
38.16    (2) a license issued for a temporary food concession stand must have a license
38.17issuance and renewal date consistent with appropriate statutory provisions.
38.18 A license for a food broker or for a food processor or manufacturer shall be issued for the
38.19period January 1 to December 31 following and shall be renewed thereafter by the licensee
38.20on or before January 1 of each year, except that a license for a wholesale food processor or
38.21manufacturer operating only at the state fair shall be issued for the period July 1 to June 30
38.22following and shall be renewed thereafter by the licensee on or before July 1 of each year.
38.23A penalty for a late renewal shall be assessed in accordance with section 28A.08.
38.24    (c) A person applying for a new license up to 14 calendar days before the effective
38.25date of the new license period under paragraph (b) must be issued a license for the 14 days
38.26and the next license year as a single license and pay a single license fee as if the 14 days
38.27were part of the upcoming license period.

38.28    Sec. 40. Minnesota Statutes 2006, section 28A.06, is amended to read:
38.2928A.06 EXTENT OF LICENSE.
38.30    No person, except as described in sections 27.03 and 27.04, shall be required to
38.31hold more than one license in order to engage in any aspect of food handling described
38.32in section 28A.05 provided, that each issued license shall be valid for no more than one
38.33place of business, except that a license for a mobile unit or a retail food vehicle, portable
38.34structure, or cart is valid statewide and is required to be issued only once each year unless
38.35the licensee fails to display the license as required by section 28A.07 or it is a seasonal
38.36permanent food stand, seasonal temporary food stand, food cart, or special event food
39.1stand as defined in section 157.15, in which case the duration of the license is restricted by
39.2the limitations found in the definitions in section 157.15.

39.3    Sec. 41. Minnesota Statutes 2006, section 28A.082, subdivision 1, is amended to read:
39.4    Subdivision 1. Fees; application. The fees for review of food handler facility floor
39.5plans under the Minnesota Food Code are based upon the square footage of the structure
39.6being newly constructed, remodeled, or converted. The fees for the review shall be:

39.7		square footage		review fee
39.8		0 - 4,999	$	156.25 200.00
39.9		5,000 - 24,999	$	218.75 275.00
39.10		25,000 plus	$	343.75 425.00

39.11    The applicant must submit the required fee, review application, plans, equipment
39.12specifications, materials lists, and other required information on forms supplied by the
39.13department at least 30 days prior to commencement of construction, remodeling, or
39.14conversion.

39.15    Sec. 42. [28A.21] FOOD SAFETY AND DEFENSE TASK FORCE.
39.16    Subdivision 1. Establishment. The Food Safety and Defense Task Force is
39.17established to advise the commissioner and the legislature on food issues and food safety.
39.18    Subd. 2. Membership. (a) The Food Safety and Defense Task Force consists of:
39.19    (1) the commissioner of agriculture or the commissioner's designee;
39.20    (2) the commissioner of health or the commissioner's designee;
39.21    (3) a representative of the United States Food and Drug Administration;
39.22    (4) a representative of the United States Department of Agriculture;
39.23    (5) a representative of the Agricultural Utilization Research Institute;
39.24    (6) one member from the University of Minnesota knowledgeable in food and food
39.25safety issues; and
39.26    (7) nine members appointed by the governor who are interested in food and food
39.27safety, of whom:
39.28    (i) two persons are health or food professionals;
39.29    (ii) one person represents a statewide general farm organization;
39.30    (iii) one person represents a local food inspection agency; and
39.31    (iv) one person represents a food-oriented consumer group.
39.32    (b) Members shall serve without compensation. Members appointed by the governor
39.33shall serve four-year terms.
39.34    Subd. 3. Organization. (a) The task force shall meet monthly or as determined by
39.35the chair.
40.1    (b) The members of the task force shall annually elect a chair and other officers
40.2as the members deem necessary.
40.3    Subd. 4. Staff. The commissioner shall provide support staff, office space, and
40.4administrative services for the task force.
40.5    Subd. 5. Duties. The task force shall:
40.6    (1) coordinate educational efforts regarding food safety;
40.7    (2) provide advice and coordination to state agencies as requested by the agencies;
40.8    (3) serve as a source of information and referral for the public, news media, and
40.9others concerned with food safety; and
40.10    (4) make recommendations to Congress, the legislature, and others about appropriate
40.11action to improve food safety in the state.

40.12    Sec. 43. Minnesota Statutes 2006, section 32.21, subdivision 4, is amended to read:
40.13    Subd. 4. Penalties. (a) A person, other than a milk producer, who violates this
40.14section is guilty of a misdemeanor or subject to a civil penalty up to $1,000.
40.15    (b) A milk producer may not change milk plants within 30 days, without permission
40.16of the commissioner, after receiving notification from the commissioner under paragraph
40.17(c) or (d) that the milk producer has violated this section.
40.18    (c) A milk producer who violates subdivision 3, clause (1), (2), (3), (4), or (5), is
40.19subject to clauses (1) to (3) of this paragraph.
40.20    (1) Upon notification of the first violation in a 12-month period, the producer must
40.21meet with the qualified dairy sanitarian to initiate corrective action within 30 days.
40.22    (2) Upon the second violation within a 12-month period, the producer is subject to
40.23a civil penalty of $300. The commissioner shall notify the producer by certified mail
40.24stating the penalty is payable in 30 days, the consequences of failure to pay the penalty,
40.25and the consequences of future violations.
40.26    (3) Upon the third violation within a 12-month period, the producer is subject to
40.27an additional civil penalty of $300 and possible revocation of the producer's permit or
40.28certification. The commissioner shall notify the producer by certified mail that all civil
40.29penalties owed must be paid within 30 days and that the commissioner is initiating
40.30administrative procedures to revoke the producer's permit or certification to sell milk
40.31for at least 30 days.
40.32    (d) The producer's shipment of milk must be immediately suspended if the producer
40.33is identified as an individual source of milk containing residues causing a bulk load of
40.34milk to test positive in violation of subdivision 3, clause (6) or (7). The Grade A or
40.35manufacturing grade permit must be converted to temporary status for not more than
41.130 days and shipment may resume only after subsequent milk has been sampled by
41.2the commissioner or the commissioner's agent and found to contain no residues above
41.3established tolerances or safe levels.
41.4    The Grade A or manufacturing grade permit may be restored if the producer
41.5completes the "Milk and Dairy Beef Residue Prevention Protocol" with a licensed
41.6veterinarian, displays the signed certificate in the milkhouse, and sends verification to the
41.7commissioner within the 30-day temporary permit status period. If the producer does
41.8not comply within the temporary permit status period, the Grade A or manufacturing
41.9grade permit must be suspended. A milk producer whose milk supply is in violation of
41.10subdivision 3, clause (6) or (7), and has caused a bulk load to test positive is subject to
41.11clauses (1) to (3) of this paragraph.
41.12    (1) For the first violation in a 12-month period, the penalty is the value of all milk on
41.13the contaminated load plus any costs associated with the disposition of the contaminated
41.14load. Future pickups are prohibited until subsequent testing reveals the milk is free of
41.15drug residue. A farm inspection must be completed by a qualified dairy sanitarian and
41.16the producer to determine the cause of the residue and actions required to prevent future
41.17violations.
41.18    (2) For the second violation in a 12-month period, the penalty is the value of all
41.19milk on the contaminated load plus any costs associated with the disposition of the
41.20contaminated load. Future pickups are prohibited until subsequent testing reveals the milk
41.21is free of drug residue. A farm inspection must be completed by the regulatory agency
41.22or its agent a qualified dairy sanitarian to determine the cause of the residue and actions
41.23required to prevent future violations.
41.24    (3) For the third or subsequent violation in a 12-month period, the penalty is the value
41.25of all milk on the contaminated load plus any costs associated with the disposition of the
41.26contaminated load. Future pickups are prohibited until subsequent testing reveals the milk
41.27is free of drug residue. The commissioner or the commissioner's agent shall also notify the
41.28producer by certified mail that the commissioner is initiating administrative procedures to
41.29revoke the producer's right permit or certification to sell milk for a minimum of 30 days.
41.30    (4) If a bulk load of milk tests negative for residues and there is a positive producer
41.31sample on the load, no civil penalties may be assessed to the producer. The plant must
41.32report the positive result within 24 hours and reject further milk shipments from that
41.33producer until the producer's milk tests negative. A farm inspection must be completed
41.34by the plant representative and the producer a qualified dairy sanitarian to determine the
41.35cause of the residue and actions required to prevent future violations. The department
41.36shall suspend the producer's permit and count the violation on the producer's record. The
42.1Grade A or manufacturing grade permit must be converted to temporary status for not
42.2more than 30 days during which time the producer must review the "Milk and Dairy Beef
42.3Residue Prevention Protocol" with a licensed veterinarian, display the signed certificate
42.4in the milkhouse, and send verification to the commissioner. If these conditions are met,
42.5the Grade A or manufacturing grade permit must be reinstated. If the producer does not
42.6comply within the temporary permit status period, the Grade A or manufacturing grade
42.7permit must be suspended.
42.8    (e) A milk producer that has been certified as completing the "Milk and Dairy Beef
42.9Residue Prevention Protocol" within 12 months of the first violation of subdivision 3,
42.10clause (7), need only review the cause of the violation with a field service representative
42.11within three days to maintain Grade A or manufacturing grade permit and shipping status
42.12if all other requirements of this section are met.
42.13    (f) Civil penalties collected under this section must be deposited in the milk
42.14inspection services account established in this chapter.

42.15    Sec. 44. Minnesota Statutes 2006, section 32.212, is amended to read:
42.1632.212 MILK HOUSES FOR BULK TANKS.
42.17    Any producer using a bulk tank for cooling and storage of milk to be used for
42.18manufacturing purposes shall have an enclosed milk room which shall conform to the
42.19standards provided by this section and section 32.213. The floor shall be constructed of
42.20concrete or other impervious material, maintained in good repair, and graded to provide
42.21proper drainage. The walls and ceilings of the room shall be sealed and constructed
42.22of smooth easily cleaned material. All windows shall be screened and doors shall be
42.23self-closing. It shall be well ventilated and must meet the following requirements:
42.24    (1) The bulk tank shall not be located over a drain or under a ventilator.
42.25    (2) The hose port shall be located in an exterior wall and fitted with a tight
42.26self-closing door.
42.27    (3) Each milk room shall have an adequate supply of water readily accessible with
42.28facilities for heating the water, to insure the cleaning and sanitizing of the bulk tank,
42.29utensils and equipment and the keeping of the milk room clean.
42.30    (4) No lights shall be placed directly over the bulk tank.
42.31    (5) The bulk tank shall be properly located in the milk room for easy access to all
42.32areas for cleaning and servicing.
42.33    (6) The milkhouse shall be used only for storage of milk, milk utensils, and supplies
42.34incidental to the production of milk.
42.35    (7) This section and section 32.213 are is effective for all bulk tanks for milk
42.36produced for manufacturing purposes.
43.1    (8) No milk processor shall buy milk from any producer of milk using a bulk
43.2tank to be used for manufacturing purposes unless such producer has complied with the
43.3provisions of this section.
43.4    (9) After July 1, 1965, no person shall install a bulk tank except in a milk room or
43.5milkhouse which complies with the provisions of this section and section 32.213.
43.6    (10) The enforcement of this section and section 32.213 shall be administered by
43.7the Minnesota Department of Agriculture.
43.8    (11) Any person violating any provisions of this section and section 32.213 shall be
43.9punished by a fine of not more than $50.

43.10    Sec. 45. Minnesota Statutes 2006, section 32.394, subdivision 4, is amended to read:
43.11    Subd. 4. Rules. The commissioner shall by rule promulgate adopt identity,
43.12production, and processing standards for milk, milk products, and goat milk which are
43.13intended to bear the Grade A label.
43.14    In the exercise of the authority to establish requirements for Grade A milk, milk
43.15products, and goat milk, the commissioner adopts definitions, standards of identity, and
43.16requirements for production and processing contained in the "2001 Grade A Pasteurized
43.17Milk Ordinance" and the "1995 Grade A Condensed and Dry Milk Ordinance" of the
43.18United States Department of Health and Human Services, in a manner provided for and
43.19not in conflict with law.

43.20    Sec. 46. Minnesota Statutes 2006, section 32.415, is amended to read:
43.2132.415 MILK FOR MANUFACTURING; QUALITY STANDARDS.
43.22    (a) The commissioner may adopt rules to provide uniform quality standards,
43.23and producers of milk used for manufacturing purposes shall conform to the
43.24standards contained in Subparts B, C, D, E, and F of the United States Department of
43.25Agriculture Consumer and Marketing Service Recommended Requirements for Milk
43.26for Manufacturing Purposes and its Production and Processing, as revised through June
43.2717, 2002, except that the commissioner shall develop methods by which producers can
43.28comply with the standards without violation of religious beliefs.
43.29    (b) The commissioner shall perform or contract for the performance of the
43.30inspections necessary to implement this section or shall certify dairy industry personnel to
43.31perform the inspections.
43.32    (c) The commissioner and other employees of the department shall make every
43.33reasonable effort to assist producers in achieving the milk quality standards at minimum
43.34cost and to use the experience and expertise of the University of Minnesota and the
43.35Agricultural Extension Service to assist producers in achieving the milk quality standards
43.36in the most cost-effective manner.
44.1    (d) The commissioner shall consult with producers, processors, and others involved
44.2in the dairy industry in order to prepare for the implementation of this section including
44.3development of informational and educational materials, meetings, and other methods of
44.4informing producers about the implementation of standards under this section.

44.5    Sec. 47. [35.085] INDEMNITY FOR DESTROYED CATTLE.
44.6    (a) The board may pay indemnity to cattle owners who choose to euthanize cattle
44.7that test suspect for bovine tuberculosis, if funds are available from appropriations for
44.8the purpose and if the United States Department of Agriculture refuses to pay indemnity
44.9for the animal. The board shall pay fair market value less salvage value as appraised by
44.10a disinterested appraiser appointed by the board. The board's decision as to the amount
44.11of indemnity is final. If the owner refuses the board's offer, the owner need not dispose
44.12of the animal unless and until it later shows positive to any recognized test for bovine
44.13tuberculosis.
44.14    (b) Indemnity payments made by the board are subject to the requirements of
44.15chapter 336A.

44.16    Sec. 48. [35.244] RULES FOR CONTROL OF BOVINE TUBERCULOSIS.
44.17    The board may adopt rules to provide for the control of tuberculosis in cattle. The
44.18rules may include provisions for quarantine, tests, and such other measures as the board
44.19deems appropriate. Federal regulations, as provided by Code of Federal Regulations, title
44.209, part 77, and the Bovine Tuberculosis Eradication Uniform Methods and Rules, are
44.21incorporated as part of the rules in this state.

44.22    Sec. 49. [38.171] CAMPGROUND DURING FAIRS.
44.23    Notwithstanding sections 327.14 to 327.28 or any rule adopted by the commissioner
44.24of health, during a county fair or other fair requiring camping accommodations a camping
44.25area maintained by a county agricultural society must have a minimum area of 300 square
44.26feet per site and the total number of sites must not exceed one site for every 300 square
44.27feet of usable land area.

44.28    Sec. 50. Minnesota Statutes 2006, section 41B.03, subdivision 1, is amended to read:
44.29    Subdivision 1. Eligibility generally. To be eligible for a program in sections
44.3041B.01 to 41B.23:
44.31    (1) a borrower must be a resident of Minnesota or a domestic family farm
44.32corporation or family farm partnership, as defined in an entity eligible to own farm land
44.33under section 500.24, subdivision 2; and
45.1    (2) the borrower or one of the borrowers must be the principal operator of the
45.2farm or, for a prospective homestead redemption borrower, must have at one time been
45.3the principal operator of a farm.

45.4    Sec. 51. Minnesota Statutes 2006, section 41B.043, subdivision 2, is amended to read:
45.5    Subd. 2. Specifications. No direct loan may exceed $35,000 or $125,000 for a loan
45.6participation. Each direct loan and participation must be secured by a mortgage on real
45.7property and such other security as the authority may require.

45.8    Sec. 52. Minnesota Statutes 2006, section 41B.043, subdivision 3, is amended to read:
45.9    Subd. 3. Application and origination fee. The authority may impose a reasonable
45.10nonrefundable application fee for each application submitted for a direct loan or
45.11participation and an origination fee for each direct loan issued under the agricultural
45.12improvement loan program. The origination fee initially shall be set at 1.5 percent and The
45.13application fee at is initially $50. The authority may review the fees annually and make
45.14adjustments as necessary. The fees must be deposited in the state treasury and credited
45.15to an account in the special revenue fund. Money in this account is appropriated to the
45.16commissioner for administrative expenses of the agricultural improvement loan program.

45.17    Sec. 53. Minnesota Statutes 2006, section 41B.043, subdivision 4, is amended to read:
45.18    Subd. 4. Interest rate. The interest rate per annum on the agricultural improvement
45.19direct loan or participation must be the rate of interest determined by the authority to be
45.20necessary to provide for the timely payment of principal and interest when due on bonds
45.21or other obligations of the authority issued under chapter 41B to provide financing for
45.22direct loans and participations made under the agricultural improvement loan program,
45.23and to provide for reasonable and necessary costs of issuing, carrying, administering,
45.24and securing the bonds or notes and to pay the costs incurred and to be incurred by the
45.25authority in the implementation of the agricultural improvement loan program.

45.26    Sec. 54. Minnesota Statutes 2006, section 41B.046, subdivision 4, is amended to read:
45.27    Subd. 4. Eligibility. To be eligible for this program a borrower must:
45.28    (1) be a resident of Minnesota or a domestic family farm corporation as defined in
45.29section 500.24, subdivision 2 meet the requirements of section 41B.03, subdivision 1;
45.30    (2) be a grower of the agricultural product which is to be processed by an agricultural
45.31product processing facility;
45.32    (3) demonstrate an ability to repay the loan; and
45.33    (4) meet any other requirements which the authority may impose by rule.

45.34    Sec. 55. Minnesota Statutes 2006, section 41B.047, is amended to read:
45.3541B.047 DISASTER RECOVERY LOAN PROGRAM.
46.1    Subdivision 1. Establishment. The authority shall establish and implement a
46.2disaster recovery loan program to help farmers:
46.3    (1) clean up, repair, or replace farm structures and septic and water systems, as well
46.4as replacement of replace seed, other crop inputs, feed, and livestock, when damaged
46.5by high winds, hail, tornado, or flood; or
46.6    (2) purchase watering systems, irrigation systems, and other drought mitigation
46.7systems and practices when drought is the cause of the purchase.
46.8    Subd. 3. Eligibility. To be eligible for this program, a borrower must:
46.9    (1) be a resident of this state or a domestic family farm corporation or family farm
46.10partnership as defined in section 500.24, subdivision 2 meet the requirements of section
46.1141B.03, subdivision 1;
46.12    (2) certify that the damage or loss was sustained within a county that was the subject
46.13of a state or federal disaster declaration;
46.14    (3) demonstrate an ability to repay the loan;
46.15    (4) have a total net worth, including assets and liabilities of the borrower's spouse
46.16and dependents, of less than $400,000 $660,000 in 2004 and an amount in subsequent
46.17years which is adjusted for inflation by multiplying that amount by the cumulative inflation
46.18rate as determined by the United States All-Items Consumer Price Index; and
46.19    (5) have received at least 50 percent of average annual gross income from farming
46.20for the past three years.
46.21    Subd. 4. Loans. (a) The authority may participate in a disaster recovery loan with
46.22an eligible lender to a farmer who is eligible under subdivision 3. Participation is limited
46.23to 45 percent of the principal amount of the loan or $50,000, whichever is less. The
46.24interest rates and repayment terms of the authority's participation interest may differ from
46.25the interest rates and repayment terms of the lender's retained portion of the loan, but the
46.26authority's interest rate must not exceed four percent.
46.27    (b) Standards for loan amortization shall be set by the Rural Finance Authority
46.28not to exceed ten years.
46.29    (c) Security for the disaster recovery loans must be a personal note executed by the
46.30borrower and whatever other security is required by the eligible lender or the authority.
46.31    (d) The authority may impose a reasonable nonrefundable application fee for a
46.32disaster recovery loan. The authority may review the fee annually and make adjustments
46.33as necessary. The application fee is initially $50. Application fees received by the
46.34authority must be deposited in the disaster recovery revolving fund revolving loan account
46.35established under section 41B.06.
47.1    (e) Disaster recovery loans under this program will be made using money in the
47.2disaster recovery revolving fund established under subdivision 2 revolving loan account
47.3established under section 41B.06.
47.4    (f) Repayments of financial assistance under this section, including principal and
47.5interest, must be deposited into the revolving loan account established under section
47.641B.06.

47.7    Sec. 56. Minnesota Statutes 2006, section 41B.055, is amended to read:
47.841B.055 LIVESTOCK EQUIPMENT PILOT LOAN PROGRAM.
47.9    Subdivision 1. Establishment. The authority must establish and implement
47.10a livestock equipment pilot loan program to help finance the first purchase of
47.11livestock-related equipment and make livestock facilities improvements.
47.12    Subd. 2. Eligibility. Notwithstanding section 41B.03, to be eligible for this program
47.13a borrower must:
47.14    (1) be a resident of Minnesota or general partnership or a family farm corporation,
47.15authorized farm corporation, family farm partnership, or authorized farm partnership as
47.16defined in section 500.24, subdivision 2;
47.17    (2) be the principal operator of a livestock farm;
47.18    (3) have a total net worth, including assets and liabilities of the borrower's spouse
47.19and dependents, no greater than the amount stipulated in section 41B.03, subdivision 3;
47.20    (4) demonstrate an ability to repay the loan; and
47.21    (5) hold an appropriate feedlot registration or be using the loan under this program
47.22to meet registration requirements. In addition to the requirements in clauses (1) to (5),
47.23preference must be given to applicants who have farmed less than ten years as evidenced
47.24by their filing of schedule F in their federal tax returns.
47.25    Subd. 3. Loans. (a) The authority may participate in a livestock equipment loan
47.26equal to 90 percent of the purchased equipment value with an eligible lender to a farmer
47.27who is eligible under subdivision 2. Participation is limited to 45 percent of the principal
47.28amount of the loan or $40,000, whichever is less. The interest rates and repayment terms
47.29of the authority's participation interest may differ from the interest rates and repayment
47.30terms of the lender's retained portion of the loan, but the authority's interest rate must
47.31not exceed three percent. The authority may review the interest annually and make
47.32adjustments as necessary.
47.33    (b) Standards for loan amortization must be set by the Rural Finance Authority and
47.34must not exceed seven ten years.
48.1    (c) Security for a livestock equipment loan must be a personal note executed by the
48.2borrower and whatever other security is required by the eligible lender or the authority.
48.3    (d) Refinancing of existing debt is not an eligible purpose.
48.4    (e) The authority may impose a reasonable, nonrefundable application fee for
48.5a livestock equipment loan. The authority may review the fee annually and make
48.6adjustments as necessary. The initial application fee is $50. Application fees received by
48.7the authority must be deposited in the revolving loan account established in section 41B.06.
48.8    (f) Loans under this program must be made using money in the revolving loan
48.9account established in section 41B.06.
48.10    Subd. 4. Eligible expenditures. Money may be used for loans for the acquisition of
48.11equipment for animal housing, confinement, animal feeding, milk production, and waste
48.12management, including the following, if related to animal husbandry:
48.13    (1) fences;
48.14    (2) watering facilities;
48.15    (3) feed storage and handling equipment;
48.16    (4) milking parlors;
48.17    (5) milking equipment;
48.18    (6) scales;
48.19    (7) milk storage and cooling facilities;
48.20    (8) manure pumping and storage facilities; and
48.21    (9) capital investment in pasture.;
48.22    (10) hoop barns;
48.23    (11) portable structures;
48.24    (12) hay and forage equipment; and
48.25    (13) related structural work for the installation of equipment.

48.26    Sec. 57. Minnesota Statutes 2006, section 41B.06, is amended to read:
48.2741B.06 RURAL FINANCE AUTHORITY REVOLVING LOAN ACCOUNT.
48.28    There is established in the rural finance administration fund a Rural Finance
48.29Authority revolving loan account that is eligible to receive appropriations and the transfer
48.30of loan funds from other programs. All repayments of financial assistance granted from
48.31this account, including principal and interest, must be deposited into this account. Interest
48.32earned on money in the account accrues to the account, and the money in the account
48.33is appropriated to the commissioner of agriculture for purposes of the Rural Finance
48.34Authority livestock equipment, methane digester, disaster recovery, and value-added
48.35agricultural product loan programs, including costs incurred by the authority to establish
48.36and administer the programs.

49.1    Sec. 58. Minnesota Statutes 2006, section 41C.05, subdivision 2, is amended to read:
49.2    Subd. 2. Eligibility; beginning farmers. The authority shall provide in the
49.3agricultural development bond beginning farmer and agricultural business enterprise loan
49.4program that a mortgage or a contract on behalf of a beginning farmer may be provided if
49.5the borrower qualifies under authority rules and under federal tax law governing qualified
49.6small issue bonds and must:
49.7    (1) be a resident of Minnesota;
49.8    (2) have sufficient education, training, or experience in the type of farming for
49.9which the loan is desired;
49.10    (3) have a low or moderate net worth, as defined in section 41C.02, subdivision 12;
49.11    (4) certify that the agricultural land to be purchased will be used by the borrower
49.12for agricultural purposes;
49.13    (5) certify that farming will be the principal occupation of an individual borrower;
49.14    (6) agree to participate in a farm management program approved by the
49.15commissioner of agriculture for at least the first five three years of the loan, if an approved
49.16program is available within 45 miles from the borrower's residence. The commissioner
49.17may waive this requirement for any of the programs administered by the authority if the
49.18participant requests a waiver and provides justification; and
49.19    (7) agree to file an approved soil and water conservation plan with the Soil
49.20Conservation Service office in the county where the land is located.

49.21    Sec. 59. Minnesota Statutes 2006, section 116.0714, is amended to read:
49.22116.0714 NEW OPEN AIR SWINE BASINS.
49.23    After May 18, 2002, The commissioner of the Pollution Control Agency or a county
49.24board shall not approve any permits for the construction of new open air swine basins,
49.25except that existing facilities may use one basin of less than 1,000,000 gallons as part
49.26of a permitted waste treatment program for resolving pollution problems or to allow
49.27conversion of an existing basin of less than 1,000,000 gallons to a different animal type,
49.28provided all standards are met. This section expires June 30, 2007 2012.

49.29    Sec. 60. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision
49.30to read:
49.31    Subd. 3a. Animal chiropractic. "Animal chiropractic" means a system of treating
49.32diseases by manipulation of the vertebral column.

49.33    Sec. 61. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision
49.34to read:
50.1    Subd. 3b. Artificial insemination. "Artificial insemination" means the implanting
50.2of live spermatozoa into a female animal.

50.3    Sec. 62. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision
50.4to read:
50.5    Subd. 6b. Farriery. "Farriery" means techniques used by a farrier or blacksmith
50.6including trimming hooves and making, fitting, and remodeling horseshoes.

50.7    Sec. 63. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision
50.8to read:
50.9    Subd. 8a. Massage. "Massage" means systematic therapeutic stroking or kneading
50.10of the body or a specific body part of an animal to improve circulation and muscle
50.11function, release scar tissue, or produce relaxation.

50.12    Sec. 64. Minnesota Statutes 2006, section 156.001, is amended by adding a subdivision
50.13to read:
50.14    Subd. 10a. Teeth floating. "Teeth floating" for horses and other equine animals
50.15means:
50.16    (1) removal of enamel points from teeth with hand-held, nonmotorized,
50.17non-air-powered files or rasps;
50.18    (2) reestablishing normal molar table angles and freeing up lateral excursion and
50.19other normal movements of the mandible;
50.20    (3) shaping the lingual aspect of the lower arcades and the buccal aspect of the upper
50.21arcades to a rounded smooth surface; and
50.22    (4) removing points from the buccal aspect of the upper arcade and the lingual
50.23aspect of the lower arcade.

50.24    Sec. 65. Minnesota Statutes 2006, section 156.12, subdivision 1, is amended to read:
50.25    Subdivision 1. Practice. (a) The practice of veterinary medicine, as used in this
50.26chapter, shall mean the diagnosis, treatment, correction, relief, or prevention of animal
50.27disease, deformity, defect, injury, or other physical or mental conditions; the performance
50.28of obstetrical procedures for animals, including determination of pregnancy and correction
50.29of sterility or infertility; and the rendering of advice or recommendations with regard to
50.30any of the above. The practice of veterinary medicine shall include but not be limited to
50.31the prescription or administration of any drug, medicine, biologic, apparatus, application,
50.32anesthetic, or other therapeutic or diagnostic substance or technique.
50.33    (b) The practice of veterinary medicine shall not be construed to include the
50.34dehorning of cattle and goats or, the castration of cattle, swine, goats, and sheep, or the
50.35docking of sheep, artificial insemination, teeth floating, farriery, animal chiropractic,
51.1massage, or other treatments of similar or less risk or requiring similar or less formal
51.2veterinary education employed to maintain domestic animals in good health.

51.3    Sec. 66. Minnesota Statutes 2006, section 469.310, is amended by adding a subdivision
51.4to read:
51.5    Subd. 11a. Qualified farm. "Qualified farm" means a person actively engaged in
51.6farming, that invests in an agricultural processing facility on the farm, and that:
51.7    (1) increases employment on the farm by a minimum of 25 percent of full-time
51.8employment in the first full year of operation. The employment may include family
51.9members;
51.10    (2) makes an investment equal to at least ten percent of the previous years' gross
51.11revenue in the agricultural processing facility; and
51.12    (3) enters into a binding written agreement with the commissioner that:
51.13    (i) pledges the agricultural processing facility will meet the requirements of clauses
51.14(1) and (2); and
51.15    (ii) provides the repayment of all tax benefits enumerated under section 469.315
51.16to the business under the procedures in section 469.319, if the requirements of clauses
51.17(1) and (2) are not met for the taxable year or for taxes payable during the year in which
51.18the requirements are not met; and
51.19    (iii) contains any other terms the commissioner deems appropriate.
51.20EFFECTIVE DATE.This section is effective the day following final enactment.

51.21    Sec. 67. [469.3141] DESIGNATION OF FAMILY AGRICULTURAL
51.22REVITALIZATION ZONES.
51.23    Subdivision 1. Authority to designate. In addition to the designations authorized
51.24under section 469.314, the commissioner, in consultation with the commissioner of
51.25revenue, may designate one or more family agricultural revitalization zones for on-farm
51.26agricultural processing facility projects. In designating a zone, the commissioner shall
51.27consider the need for tax incentives to make the project feasible and the likelihood
51.28of success of the project. The commissioner may designate a zone at any time upon
51.29application for a qualifying project.
51.30    Subd. 2. Qualifying projects. A qualifying project is limited to the portion of a
51.31qualified farm that consists of the agricultural processing facility. The tax incentives under
51.32section 469.315 do not extend to the rest of the farm.
51.33    Subd. 3. Application of JOBZ rules. Except as otherwise specifically provided
51.34in this section, sections 469.310 to 469.320 apply to family agricultural revitalization
51.35zones designated under this section.
52.1EFFECTIVE DATE.This section is effective the day following final enactment.

52.2    Sec. 68. COMMISSIONER TO EVALUATE AND REPORT.
52.3    By March 1, 2008, the commissioner of agriculture in consultation with the
52.4commissioner of health and the University of Minnesota shall evaluate the potential
52.5hazards posed by plants to retail consumers and livestock, and report the findings to
52.6the standing committees of the senate and the house of representatives with jurisdiction
52.7over agriculture policy.

52.8    Sec. 69. WASTE PESTICIDE TASK FORCE, REPORT.
52.9    The commissioner of agriculture shall convene a waste pesticide task force to review
52.10all aspects of the waste pesticide collection issue and develop a comprehensive approach
52.11to equitably and efficiently collect waste pesticides statewide. The task force shall include
52.12a representative of each of the following organizations: the house of representatives,
52.13as appointed by the chair of the house committee with jurisdiction over agriculture
52.14finance; the senate, as appointed by the chair of the senate committee with jurisdiction
52.15over agriculture finance; the departments of agriculture; the department of pollution
52.16control; the Minnesota Solid Waste Administrators Association; the metropolitan Solid
52.17Waste Management Coordinating Board; the Association of Minnesota Counties; the
52.18Minnesota Farm Bureau; and the Minnesota Farmers Union. The task force must have
52.19three additional members representing Minnesota pesticide registrants, distributors, and
52.20retailers, respectively, as appointed by the commissioner. Public members of the task force
52.21must serve without compensation or reimbursement of personal expenses. No later than
52.22January 5, 2009, the commissioner of agriculture shall present the task force's findings
52.23and specific recommendations to the house and senate committees with jurisdiction over
52.24agriculture finance.

52.25    Sec. 70. WASTE PESTICIDE COLLECTION, DISPOSAL.
52.26    Notwithstanding section 18B.26, subdivision 2, the commissioner of agriculture
52.27shall spend at least $600,000 in fiscal year 2008 from the pesticide regulatory account
52.28for the purposes of the waste pesticide collection program. During fiscal year 2008, the
52.29commissioner shall provide an opportunity for residents to dispose of waste residential
52.30and agricultural pesticides in each county where the commissioner has not provided an
52.31opportunity for persons to dispose of waste pesticides within county boundaries during the
52.32previous two fiscal years.

52.33    Sec. 71. REPEALER.
52.34Minnesota Statutes 2006, sections 17.109; 18B.315; 18C.425, subdivision 5; 32.213;
52.3535.08; 35.09; 35.10; 35.11; 35.12; 41B.043, subdivision 1a; and 156.075, are repealed.
53.1(b) Minnesota Rules, parts 1705.0840; 1705.0850; 1705.0860; 1705.0870;
53.21705.0880; 1705.0890; 1705.0900; 1705.0910; 1705.0920; 1705.0930; 1705.0940;
53.31705.0950; 1705.0960; 1705.0970; 1705.0980; 1705.0990; 1705.1000; 1705.1010;
53.41705.1020; 1705.1030; 1705.1040; 1705.1050; 1705.1060; 1705.1070; 1705.1080;
53.51705.1086; 1705.1087; and 1705.1088, are repealed.


53.8    Section 1. [41A.10] NEXTGEN ENERGY.
53.9    Subdivision 1. Purpose. It is the goal of the state through the Department of
53.10Agriculture to research and develop energy sources to displace fossil fuels with renewable
53.11technology.
53.12    Subd. 2. NextGen Energy Board. There is created a NextGen Energy Board
53.13consisting of the commissioners of agriculture, commerce, natural resources, the Pollution
53.14Control Agency, and employment and economic development; one member from each
53.15of the two largest political parties in the senate, as appointed by the chair of the senate
53.16committee with jurisdiction over agriculture finance; one member from each of the two
53.17largest political parties in the house, as appointed by the chair of the house committee
53.18with jurisdiction over agriculture finance; the executive director of the Agricultural
53.19Utilization Research Institute; a representative of the Board of Trustees of the Minnesota
53.20State Colleges and Universities system; and a representative of the Board of Regents
53.21of the University of Minnesota.
53.22    Subd. 3. Duties. The board shall research and report to the commissioner of
53.23agriculture and to the legislature recommendations as to how the state can invest its
53.24resources to most efficiently achieve energy independence. The board shall:
53.25    (1) examine the future of fuels, such as synthetic gases, biobutanol, hydrogen,
53.26methanol, diesel, and ethanol within Minnesota;
53.27    (2) develop equity grant programs to assist locally owned facilities;
53.28    (3) study the proper role of the state in creating financing and investing and
53.29providing incentives;
53.30    (4) evaluate how state and federal programs, including the Farm Bill, can best work
53.31together and leverage resources; and
53.32    (5) report to the legislature before February 1 each year with recommendations as
53.33to appropriations and results of past actions and projects.
53.34    Subd. 4. Commissioner's duties. The commissioner of agriculture shall administer
53.35this section.

54.1    Sec. 2. [41A.11] TWENTY-FIVE BY TWENTY-FIVE GOAL.
54.2    It is the goal of the state that no later than January 1, 2025, the state's agricultural,
54.3forestry, and working land should provide from renewable resources not less than 25
54.4percent of the total energy consumed in this state while continuing to produce safe,
54.5abundant, and affordable food, feed, and fiber.

54.6    Sec. 3. Minnesota Statutes 2006, section 239.7911, subdivision 1, is amended to read:
54.7    Subdivision 1. Petroleum replacement goal. The tiered petroleum replacement
54.8goal of the state of Minnesota is that:
54.9     (1) at least 20 percent of the liquid fuel sold in the state is derived from renewable
54.10sources by December 31, 2015, and
54.11    (2) at least 25 percent of the liquid fuel sold in the state is derived from renewable
54.12sources by December 31, 2025.


54.15    Section 1. [192.382] HONOR GUARDS.
54.16    Upon the death of any person who has honorably served six or more years or is
54.17in active service in the Minnesota National Guard, the adjutant general may activate
54.18members to serve as an honor guard at the funeral. Members activated for service as honor
54.19guards must be paid at the rate provided in section 192.49, subdivision 1 or 2.

54.20    Sec. 2. [197.08] HEALTH SCREENING TEST FOR EXPOSURE TO
54.21DEPLETED URANIUM.
54.22    Subdivision 1. Definitions. (a) For purposes of this section, the following definitions
54.23apply.
54.24    (b) "Commissioner" means the commissioner of veterans affairs.
54.25    (c) "Depleted uranium" means uranium containing less Uranium 235 than the
54.26naturally occurring distribution of uranium isotopes.
54.27    (d) "Eligible person" means a veteran or current member of the United States armed
54.28forces, including the Minnesota National Guard and other reserves, who has served
54.29in active military service as defined in section 190.05, subdivision 5, at any time since
54.30August 2, 1990, and who is a Minnesota resident.
54.31    (e) "Veteran" has the meaning assigned in section 197.447.
54.32    Subd. 2. Health screening test. (a) The following eligible persons have a right to a
54.33best practice health screening test for exposure to depleted uranium:
54.34    (1) those who have been assigned a risk level I or II for depleted uranium exposure
54.35by the person's branch of service;
55.1    (2) those who can provide to the satisfaction of the commissioner evidence of
55.2exposure equivalent to an assigned risk of level I or II; and
55.3    (3) those who provide evidence to the satisfaction of the commissioner of a medical
55.4diagnosis of serious debilitating symptoms of nonspecific origin following service in an
55.5area where depleted uranium ammunition was expended.
55.6    (b) The commissioner, in consultation with the commissioner of health, must
55.7select a test that utilizes a bioassay procedure involving sensitive methods capable of
55.8detecting depleted uranium at low levels and the use of equipment with the capacity to
55.9discriminate between different radioisotopes in naturally occurring levels of uranium and
55.10the characteristic ratio and marker for depleted uranium.
55.11    Subd. 3. Commissioner to provide for test. The commissioner shall establish a
55.12method for administering the health screening test described in subdivision 2.
55.13    Subd. 4. Notification of availability to those eligible. The commissioner must
55.14make reasonable efforts to inform all eligible persons of their potential right to the health
55.15screening test described in subdivision 2.
55.16    Subd. 5. Random sample study. (a) In addition to the testing required under
55.17subdivision 2, the commissioner shall select a random sample containing ten percent of
55.18the eligible members who as Minnesota residents have served for a period of 30 days
55.19or more within Iraq or Afghanistan in support of contingency operations for Operation
55.20Iraqi Freedom or Operation Enduring Freedom. Each eligible member who is selected
55.21into the sample by the commissioner has the right to the same health screening test
55.22as provided under subdivision 2. The commissioner must make a reasonable effort to
55.23inform each selected person of that right, and must provide the person with a reasonable
55.24opportunity to take the health screening test. The commissioner, acting in accordance with
55.25the requirements of chapter 13, the Government Data Practices Act, must statistically
55.26tabulate the results of the screening tests for the selected sample and upon request must
55.27report those results to the chairs and ranking minority members of the senate and house of
55.28representatives committees responsible for military and veterans affairs.
55.29    (b) The adjutant general of the Minnesota National Guard, and the senior officer of
55.30each military reserve organization located within Minnesota shall assist the commissioner
55.31with the sampling task by providing to the commissioner in a timely manner a complete
55.32listing of the names, unit designations, and most recent mailing addresses of their current
55.33and previous members who as Minnesota residents have served for a period of 30 days
55.34or more in active military service within Iraq or Afghanistan in support of contingency
55.35operations for Operation Iraqi Freedom or Operation Enduring Freedom.
56.1EFFECTIVE DATE.This section is effective July 1, 2007.

56.2    Sec. 3. [197.231] HONOR GUARDS.
56.3    The commissioner of veterans affairs shall pay, within available funds and upon
56.4request by a local unit of a congressionally chartered veterans organization or its auxiliary,
56.5up to $50 to the local unit for each time that local unit provides an honor guard detail at
56.6the funeral of a deceased veteran. The commissioner may give priority to local units that
56.7do not have charitable gambling operations.

56.8    Sec. 4. Minnesota Statutes 2006, section 197.75, is amended to read:
56.9197.75 EDUCATIONAL ASSISTANCE, WAR ORPHANS SURVIVORS AND
56.10VETERANS.
56.11    Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this
56.12section.
56.13    (b) "Commissioner" means the commissioner of veterans affairs.
56.14    (c) "Deceased veteran" means a veteran who was a Minnesota resident within six
56.15months of the time of the person's entry into the United States armed forces and who has
56.16died as a result of that service, as determined by the United States Veterans Administration.
56.17The death of a veteran by suicide within two years of having served in active military
56.18service, as defined in section 190.05, subdivision 5c, is presumed to be service connected.
56.19    (d) "Eligible child" means a person who:
56.20    (1) is the natural or adopted son or daughter of a deceased veteran; and
56.21    (2) is a student making satisfactory academic progress at an eligible institution
56.22of higher education.
56.23    (e) "Eligible institution" means a postsecondary educational institution located in
56.24this state that either (1) is operated by this state, or (2) is operated publicly or privately
56.25and, as determined by the office, maintains academic standards substantially equivalent
56.26to those of comparable institutions operated in this state.
56.27    (f) "Eligible spouse" means the surviving spouse of a deceased veteran.
56.28    (g) "Eligible veteran" means a veteran who:
56.29    (1) is a student making satisfactory academic progress at an eligible institution
56.30of higher education;
56.31    (2) had Minnesota as the person's state of residence at the time of the person's
56.32enlistment or any reenlistment into the United States armed forces, as shown by the
56.33person's federal form DD-214 or other official documentation to the satisfaction of the
56.34commissioner;
56.35    (3) except for benefits under this section, has no remaining military or veteran-related
56.36educational assistance benefits for which the person may have been entitled; and
57.1    (4) while using the educational assistance authorized in this section, remains a
57.2resident student as defined in section 136A.101, subdivision 8.
57.3    (h) "Satisfactory academic progress" has the meaning given in section 136A.101,
57.4subdivision 10.
57.5    (i) "Student" has the meaning given in section 136A.101, subdivision 7.
57.6    (j) "Veteran" has the meaning given in section 197.447.
57.7    Subd. 2. Benefits; eligibility. (a) The commissioner of veterans affairs shall spend a
57.8biennial appropriation for tuition of veterans, and for tuition, fees, board, room, books, and
57.9supplies of the children of veterans who have died as a result of their service in the armed
57.10forces of the United States as determined by the United States Veterans Administration
57.11or other instrumentality of the United States, in the University of Minnesota, a state
57.12university, a community college, a technical college, or any other university of higher
57.13learning within the state accredited by the North Central Association of Colleges and
57.14Secondary Schools, a law college approved by the Supreme Court, a nursing school
57.15approved by the state Board of Nursing, or in a trade, business, or vocational school in
57.16the state approved by the state Department of Education, or in a theological seminary, for
57.17any course which such veteran or child may elect. Not more than $750 shall be expended
57.18for the benefit of any individual veteran, and not more than $750 in any fiscal year shall
57.19be expended for the benefit of any child under this section. No child of any veteran
57.20shall make application for the benefits provided in this section unless the child resided
57.21in Minnesota for at least two years immediately prior to the date of the application. to
57.22provide an educational assistance stipend of $750 each year for each eligible child and
57.23each eligible spouse, and a single payment of $750 for each eligible veteran. This stipend
57.24is not available for any person who has attained a bachelor's or equivalent degree.
57.25    Children of veterans eligible for benefits according to this section (b) Each eligible
57.26child and each eligible spouse shall be admitted to state institutions of university grade
57.27any Minnesota public eligible institution free of tuition until they receive the person has
57.28attained a bachelors bachelor's or equivalent degree.
57.29    (c) Payments of benefits authorized under this section shall be made directly to the
57.30institution in which the course of instruction is given participating eligible institutions or to
57.31the individual on forms prescribed eligible individuals, as determined by the commissioner.
57.32    Subd. 2. Limitations. The benefits in subdivision 1 are not available to a veteran
57.33who is entitled to the same or similar benefits under a law or regulation of the United
57.34States, except that a veteran who has been eligible for and has used up the benefits the
57.35veteran is entitled to under the laws of the United States is entitled to the benefits provided
57.36for by subdivision 1.
58.1    Subd. 3. Proof of eligibility. Approval for benefits under this section shall require
58.2submission of the following evidence: application, proof of military service, and where
58.3applicable, proof of residency and where applicable, a statement from the United States
58.4Veterans Administration that the veteran has exhausted entitlement to federal educational
58.5benefits through use thereof or that the veteran died of service connected disabilities.
58.6Upon submission of satisfactory proof of eligibility, benefits shall be provided from the
58.7date of application and notification of approval shall be sent to the educational institution
58.8and applicant.
58.9    Subd. 4. Reimbursement form. Reimbursement to such institution or eligible
58.10individual authorized under subdivision 1 shall be on forms prescribed by The
58.11commissioner shall establish policies and procedures for determining eligibility and
58.12payment under this section.
58.13    Subd. 5. Definition of veteran Participation by eligible institutions. The word
58.14"veteran" as used in this section shall have the same meaning as defined in section 197.447
58.15except that it shall include service persons that died while on active duty. (a) Each
58.16Minnesota public postsecondary institution must continue to participate in the educational
58.17assistance program authorized in this section during both peacetime and times of war.
58.18    (b) Any participating eligible institution not described in paragraph (a) may suspend
58.19or terminate its participation in the program at the end of any academic semester or other
58.20academic term.
58.21    Subd. 6. Residence required. Veterans under this section shall have been a resident
58.22of the state of Minnesota at the time of induction into the armed forces and six months
58.23immediately preceding the induction.
58.24EFFECTIVE DATE.This section is effective July 1, 2007, and applies to
58.25applications for coursework taken on or after that date.

58.26    Sec. 5. Minnesota Statutes 2006, section 198.002, subdivision 2, is amended to read:
58.27    Subd. 2. Membership. The board consists of nine voting members appointed by the
58.28governor with the advice and consent of the senate. The members of the board shall fairly
58.29represent the geographic areas of the state. The members are:
58.30    (1) a chair, designated by the governor;
58.31    (2) three public members experienced in policy formulation with professional
58.32experience in health care delivery; and
58.33    (3) at least five members experienced in policy formulation with professional
58.34experience in health care delivery who are members of congressionally chartered veterans
59.1organizations or their auxiliaries that have a statewide organizational structure and state
59.2level officers in Minnesota.
59.3    The commissioner of veterans affairs shall serve as an ex officio, nonvoting member
59.4of the board. From each house of the legislature, the chair of the committee that deals
59.5with veterans affairs or the chair's designee shall serve as an ex officio, nonvoting member
59.6if that person is a veteran of the board.

59.7    Sec. 6. Minnesota Statutes 2006, section 198.004, subdivision 1, is amended to read:
59.8    Subdivision 1. Appointment. (a) The board shall appoint an executive director. The
59.9executive director shall serve in the unclassified service at the pleasure of the board. The
59.10executive director must be a resident of the state of Minnesota, a citizen of the United
59.11States, and, except as provided in paragraph (b), a veteran as that term is defined in section
59.12197.447 . The executive director shall serve as secretary of the board.
59.13    (b) When selecting an executive director, the board shall give preference to qualified
59.14applicants who are veterans by initially placing only the names of qualified applicants who
59.15are veterans on the selection list for final consideration, and only if the list contains fewer
59.16than three qualified applicants who are veterans shall the names of qualified applicants
59.17who are not veterans be added to the list. The board shall then select the most qualified
59.18applicant from the list. If at any point in the selection process, the board concludes that
59.19no applicant is sufficiently qualified for the director position, the board may reopen the
59.20application process.

59.21    Sec. 7. PSYCHOLOGICAL COUNSELING SERVICES REPORT.
59.22    By November 1, 2007, the commissioner of veterans affairs and the adjutant general
59.23of the National Guard, in consultation with relevant policy personnel and professional
59.24staff of the Minnesota Veterans Home Board and the United States Department of Veterans
59.25Affairs, shall jointly report to the chair and ranking minority member of each committee
59.26in the senate and house of representatives with jurisdiction over the policy or finance
59.27of veterans affairs and military affairs regarding the psychological status and needs of
59.28soldiers and veterans returning to Minnesota after having served in support of contingency
59.29operations for Operation Enduring Freedom and Operation Iraqi Freedom.
59.30    The report must provide the best relevant insights into and advice concerning how
59.31to most effectively provide the psychological support services determined to be needed
59.32by those soldiers and veterans. The report shall also provide an overview and discussion
59.33of the types of federal, state and local mental health resources available to soldiers and
59.34veterans throughout the state, with particular emphasis on the role and capabilities of
59.35the mental health facility under planning by the Minnesota Veterans Home Board in
59.36Kandiyohi County."
60.1Delete the title and insert:
60.3relating to appropriations; appropriating money for agriculture and veterans
60.4affairs; modifying disposition of certain revenue and funds; modifying
60.5certain grant and loan requirements; modifying use of Minnesota grown
60.6label; modifying and creating certain funds and accounts; eliminating the
60.7aquatic pest control license; modifying permit and safeguard requirements;
60.8modifying and establishing certain fees and surcharges; creating a food safety
60.9and defense task force; providing for NextGen energy;amending Minnesota
60.10Statutes 2006, sections 3.737, subdivision 1; 3.7371, subdivision 3; 17.03,
60.11subdivision 3; 17.101, subdivision 2; 17.102, subdivisions 1, 3, 4, by adding
60.12subdivisions; 17.117, subdivisions 1, 4, 5a, 5b, 11; 17.982, subdivision 1;
60.1317.983, subdivision 1; 17B.03, by adding a subdivision; 18B.065; 18B.26,
60.14subdivision 3; 18B.33, subdivision 1; 18B.34, subdivision 1; 18B.345; 18C.305,
60.15by adding a subdivision; 18E.02, subdivision 5, by adding a subdivision;
60.1618E.03, subdivision 4; 25.33, subdivisions 3, 4, 5, 6, 10, 18, by adding a
60.17subdivision; 25.341, subdivision 1; 25.35; 25.39, subdivision 1; 28A.04,
60.18subdivision 1; 28A.06; 28A.082, subdivision 1; 32.21, subdivision 4; 32.212;
60.1932.394, subdivision 4; 32.415; 41B.03, subdivision 1; 41B.043, subdivisions 2,
60.203, 4; 41B.046, subdivision 4; 41B.047; 41B.055; 41B.06; 41C.05, subdivision
60.212; 116.0714; 156.001, by adding subdivisions; 156.12, subdivision 1; 197.75;
60.22198.002, subdivision 2; 198.004, subdivision 1; 239.7911, subdivision 1;
60.23469.310, by adding a subdivision; proposing coding for new law in Minnesota
60.24Statutes, chapters 18C; 28A; 35; 38; 41A; 192; 197; 469; repealing Minnesota
60.25Statutes 2006, sections 17.109; 18B.315; 18C.425, subdivision 5; 32.213; 35.08;
60.2635.09; 35.10; 35.11; 35.12; 41B.043, subdivision 1a; 156.075; Minnesota Rules,
60.27parts 1705.0840; 1705.0850; 1705.0860; 1705.0870; 1705.0880; 1705.0890;
60.281705.0900; 1705.0910; 1705.0920; 1705.0930; 1705.0940; 1705.0950;
60.291705.0960; 1705.0970; 1705.0980; 1705.0990; 1705.1000; 1705.1010;
60.301705.1020; 1705.1030; 1705.1040; 1705.1050; 1705.1060; 1705.1070;
60.311705.1080; 1705.1086; 1705.1087; 1705.1088."