1.1.................... moves to amend H.F. No. 2678 as follows:
1.2Delete everything after the enacting clause and insert:


1.5    Section 1. Minnesota Statutes 2009 Supplement, section 3.737, subdivision 1, is
1.6amended to read:
1.7    Subdivision 1. Compensation required. (a) Notwithstanding section 3.736,
1.8subdivision 3 , paragraph (e), or any other law, a livestock owner shall be compensated
1.9by the commissioner of agriculture for livestock that is destroyed by a gray wolf or is so
1.10crippled by a gray wolf that it must be destroyed. Except as provided in this section,
1.11the owner is entitled to the fair market value of the destroyed livestock as determined
1.12by the commissioner, upon recommendation of the fair market value by a university
1.13extension agent or a conservation officer. In any fiscal year, a livestock owner may not
1.14be compensated for a destroyed animal claim that is less than $100 in value and may be
1.15compensated up to $20,000, as determined under this section. In any fiscal year, the
1.16commissioner may provide compensation for claims filed under this section up to the
1.17amount expressly appropriated for this purpose.
1.18    (b) Either the agent or the A conservation officer, an official from the Animal and
1.19Plant Health Inspection Service of the United States Department of Agriculture, or a peace
1.20officer from the county sheriff's office must make a personal inspection of the site and
1.21submit a report to the commissioner detailing the results of the investigation. The agent or
1.22the conservation officer The investigator must take into account factors in addition to a
1.23visual identification of a carcass when making a recommendation to the commissioner.
1.24The commissioner, upon recommendation of the agent or conservation officer investigator,
1.25shall determine whether the livestock was destroyed by a gray wolf and any deficiencies in
1.26the owner's adoption of the best management practices developed in subdivision 5. The
2.1commissioner may authorize payment of claims only if the agent or the conservation
2.2officer has recommended payment. The owner shall file a claim on forms provided by the
2.3commissioner and available at the university extension agent's office.

2.4    Sec. 2. Minnesota Statutes 2008, section 3.737, subdivision 4, is amended to read:
2.5    Subd. 4. Payment; denial of compensation. (a) If the commissioner finds that the
2.6livestock owner has shown that the loss of the livestock was likely caused by a gray
2.7wolf, the commissioner shall pay compensation as provided in this section and in the
2.8rules of the department.
2.9(b) For a gray wolf depredation claim submitted by a livestock owner after
2.10September 1, 1999, the commissioner shall, based on the report from the university
2.11extension agent and conservation officer, evaluate the claim for conformance with
2.12the best management practices developed by the commissioner in subdivision 5. The
2.13commissioner must provide to the livestock owner an itemized list of any deficiencies
2.14in the livestock owner's adoption of best management practices that were noted in the
2.15university extension agent's or conservation officer's report.
2.16(c) (b) If the commissioner denies compensation claimed by an owner under
2.17this section, the commissioner shall issue a written decision based upon the available
2.18evidence. It shall include specification of the facts upon which the decision is based
2.19and the conclusions on the material issues of the claim. A copy of the decision shall
2.20be mailed to the owner.
2.21(d) (c) A decision to deny compensation claimed under this section is not subject to
2.22the contested case review procedures of chapter 14, but may be reviewed upon a trial de
2.23novo in a court in the county where the loss occurred. The decision of the court may be
2.24appealed as in other civil cases. Review in court may be obtained by filing a petition for
2.25review with the administrator of the court within 60 days following receipt of a decision
2.26under this section. Upon the filing of a petition, the administrator shall mail a copy to the
2.27commissioner and set a time for hearing within 90 days of the filing.

2.28    Sec. 3. Minnesota Statutes 2008, section 17.03, is amended by adding a subdivision to
2.29read:
2.30    Subd. 11a. Permitting efficiency goal and report. (a) It is the goal of the state that
2.31environmental and resource management permits be issued or denied within 150 days of
2.32the submission of a completed permit application. The commissioner of agriculture shall
2.33establish management systems designed to achieve the goal.
3.1(b) The commissioner shall prepare semiannual permitting efficiency reports that
3.2include statistics on meeting the goal in paragraph (a). The reports are due February 1 and
3.3August 1 each year. For permit applications that have not met the goal, the report must
3.4state the reasons for not meeting the goal, steps that will be taken to complete action on
3.5the application, and the expected timeline. In stating the reasons for not meeting the goal,
3.6the commissioner shall separately identify delays caused by the responsiveness of the
3.7proposer, lack of staff, or scientific or technical disagreements or caused by the level of
3.8public engagement. The report must specify the number of days from initial submission of
3.9the application to the day of determination that the application is complete. The report
3.10for the final quarter of the fiscal year must aggregate the data for the year and assess
3.11whether program or system changes are necessary to achieve the goal. The report must
3.12be posted on the department Web site and submitted to the governor and the chairs of
3.13the house of representatives and senate committees having jurisdiction over agriculture
3.14policy and finance.
3.15(c) The commissioner shall allow electronic submission of environmental review
3.16and permit documents to the department.

3.17    Sec. 4. Minnesota Statutes 2008, section 18B.31, subdivision 5, is amended to read:
3.18    Subd. 5. Application fee. (a) An application for a pesticide dealer license must be
3.19accompanied by a nonrefundable application fee of $150.
3.20(b) If an application for renewal of a pesticide dealer license is not filed before
3.21January 1 of the year for which the license is to be issued expires, an additional fee of $20
3.2250 percent of the application fee must be paid by the applicant before the commissioner
3.23may issue the license is issued.

3.24    Sec. 5. Minnesota Statutes 2009 Supplement, section 18B.316, subdivision 10, is
3.25amended to read:
3.26    Subd. 10. Application fee. (a) An application for an agricultural pesticide dealer
3.27license, or a renewal of an agricultural pesticide dealer license, must be accompanied
3.28by a nonrefundable fee of $150.
3.29(b) If an application for renewal of an agricultural pesticide dealer license is not filed
3.30before January of the year for which the license is to be issued expires, an additional fee of
3.3150 percent of the application fee must be paid by the applicant before the commissioner
3.32may issue the license.

3.33    Sec. 6. Minnesota Statutes 2008, section 18B.36, subdivision 1, is amended to read:
4.1    Subdivision 1. Requirement. (a) Except for a licensed commercial or
4.2noncommercial applicator, only a certified private applicator may use a restricted use
4.3pesticide to produce an agricultural commodity:
4.4(1) as a traditional exchange of services without financial compensation;
4.5(2) on a site owned, rented, or managed by the person or the person's employees; or
4.6(3) when the private applicator is one of two or fewer employees and the owner or
4.7operator is a certified private applicator or is licensed as a noncommercial applicator.
4.8(b) A private applicator person may not purchase a restricted use pesticide without
4.9presenting a license card, certified private applicator card, or the card number.

4.10    Sec. 7. Minnesota Statutes 2008, section 18B.37, subdivision 4, is amended to read:
4.11    Subd. 4. Storage, handling, incident response, and disposal plan. A commercial
4.12pesticide dealer, agricultural pesticide dealer, or a commercial, noncommercial, or
4.13structural pest control applicator or the business that the applicator is employed by must
4.14develop and maintain a plan that describes its pesticide storage, handling, incident
4.15response, and disposal practices. The plan must be kept at a principal business site
4.16or location within this state and must be submitted to the commissioner upon request
4.17on forms provided by the commissioner. The plan must be available for inspection by
4.18the commissioner.

4.19    Sec. 8. Minnesota Statutes 2008, section 28A.082, subdivision 1, is amended to read:
4.20    Subdivision 1. Fees; application. The fees for review of food handler facility floor
4.21plans under the Minnesota Food Code are based upon the square footage of the structure
4.22being newly constructed, remodeled, or converted. The fees for the review shall be:

4.23		square footage		review fee
4.24		0 - 4,999 .....	$	200.00
4.25		5,000 - 24,999 .....	$	275.00
4.26		25,000 plus .....	$	425.00

4.27    The applicant must submit the required fee, review application, plans, equipment
4.28specifications, materials lists, and other required information on forms supplied by the
4.29department at least 30 days prior to commencement of construction, remodeling, or
4.30conversion. The commissioner may waive this fee after determining that the facility's
4.31principal mode of business is not the sale of food and that the facility sells only
4.32prepackaged foods.

4.33    Sec. 9. Minnesota Statutes 2008, section 35.244, subdivision 1, is amended to read:
5.1    Subdivision 1. Designation of zones. The board has the authority to may establish
5.2zones for the control and eradication of tuberculosis and restrict the movement of cattle,
5.3bison, goats, and farmed cervidae within and between tuberculosis zones in the state.
5.4Zones within the state may be designated as accreditation preparatory, modified accredited,
5.5modified accredited advanced, or accredited free as those terms are defined in Code of
5.6Federal Regulations, title 9, part 77. The board may designate bovine tuberculosis control
5.7zones that contain not more than 325 herds.

5.8    Sec. 10. Minnesota Statutes 2008, section 35.244, subdivision 2, is amended to read:
5.9    Subd. 2. Requirements within a tuberculosis control within modified accredited
5.10zone. In a modified accredited tuberculosis control zone, the board has the authority to
5.11may:
5.12    (1) require owners of cattle, bison, goats, or farmed cervidae to report personal
5.13contact information and location of livestock to the board;
5.14    (2) require a permit or movement certificates for all cattle, bison, goats, and farmed
5.15cervidae moving between premises within the zone or leaving or entering the zone;
5.16    (3) require official identification of all cattle, bison, goats, and farmed cervidae
5.17within the zone or leaving or entering the zone;
5.18    (4) require a whole-herd tuberculosis test on each herd of cattle, bison, goats, or
5.19farmed cervidae when any of the animals in the herd is kept on a premises within the zone;
5.20    (5) require a negative tuberculosis test within 60 days prior to movement for any
5.21individual cattle, bison, goat, or farmed cervidae moved from a premises in the zone to
5.22another location in Minnesota, with the exception of cattle moving under permit directly
5.23to a slaughter facility under state or federal inspection;
5.24    (6) require a whole-herd tuberculosis test within 12 months prior to moving
5.25cattle, bison, goats, or farmed cervidae from premises in the zone to another location
5.26in Minnesota;
5.27    (7) require annual herd inventories on all cattle, bison, goat, or farmed cervidae
5.28herds; and
5.29    (8) require that a risk assessment be performed to evaluate the interaction of
5.30free-ranging deer and elk with cattle, bison, goat, and farmed cervidae herds and require
5.31the owner to implement the recommendations of the risk assessment.

5.32    Sec. 11. [38.345] APPROPRIATIONS BY MUNICIPALITIES.
5.33The council of any city and the board of supervisors of any town may incur expenses
5.34and spend money for county extension work, as provided in sections 38.33 to 38.38.

6.1    Sec. 12. Minnesota Statutes 2008, section 239.092, is amended to read:
6.2239.092 SALE FROM BULK.
6.3    (a) Bulk sales of commodities, when the buyer and seller are not both present to
6.4witness the measurement, must be accompanied by a delivery ticket containing the
6.5following information:
6.6    (1) the name and address of the person who weighed or measured the commodity;
6.7    (2) the date delivered;
6.8    (3) the quantity delivered;
6.9    (4) the count of individually wrapped packages delivered, if more than one is
6.10included in the quantity delivered;
6.11    (5) the quantity on which the price is based, if different than the quantity delivered;
6.12and
6.13    (6) the identity of the commodity in the most descriptive terms commercially
6.14practicable, including representations of quality made in connection with the sale.
6.15    (b) This section is not intended to conflict with the bulk sale requirements of the
6.16Department of Agriculture. If a conflict occurs, the law and rules of the Department of
6.17Agriculture govern.
6.18    (c) Firewood sold or distributed across state boundaries or more than 100 miles
6.19from its origin must include delivery ticket information regarding the harvest locations
6.20of the wood by county and state.
6.21(d) Paragraph (c) may be enforced using the authority granted in this chapter or
6.22section 18J.05 or 84D.13.

6.23    Sec. 13. Minnesota Statutes 2008, section 239.093, is amended to read:
6.24239.093 INFORMATION REQUIRED WITH PACKAGE.
6.25    (a) A package offered, exposed, or held for sale must bear a clear and conspicuous
6.26declaration of:
6.27    (1) the identity of the commodity in the package, unless the commodity can be easily
6.28identified through the wrapper or container;
6.29    (2) the net quantity in terms of weight, measure, or count;
6.30    (3) the name and address of the manufacturer, packer, or distributor, if the packages
6.31were not produced on the premises where they are offered, exposed, or held for sale; and
6.32    (4) the unit price, if the packages are part of a lot containing random weight
6.33packages of the same commodity.
7.1    (b) This section is not intended to conflict with the packaging requirements of the
7.2Department of Agriculture. If a conflict occurs, the laws and rules of the Department of
7.3Agriculture govern.
7.4    (c) Firewood sold or distributed across state boundaries or more than 100 miles
7.5from its origin must include information regarding the harvest locations of the wood by
7.6county and state on each label or wrapper.
7.7(d) Paragraph (c) may be enforced using the authority granted in this chapter or
7.8section 18J.05 or 84D.13.

7.9    Sec. 14. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1, is
7.10amended to read:
7.11    Subdivision 1. Minimum ethanol content required. (a) Except as provided in
7.12subdivisions 10 to 14, a person responsible for the product shall ensure that all gasoline
7.13sold or offered for sale in Minnesota must contain at least the quantity of ethanol required
7.14by clause (1) or (2), whichever is greater:
7.15(1) 10.0 percent denatured ethanol by volume; or
7.16(2) the maximum percent of denatured ethanol by volume authorized in a waiver
7.17granted by the United States Environmental Protection Agency under section 211(f)(4) of
7.18the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).
7.19(b) For purposes of enforcing the minimum ethanol requirement of paragraph (a),
7.20clause (1), a gasoline/ethanol blend will be construed to be in compliance if the ethanol
7.21content, exclusive of denaturants and permitted contaminants, comprises not less than 9.2
7.22percent by volume and not more than 10.0 percent by volume of the blend as determined
7.23by an appropriate United States Environmental Protection Agency or American Society of
7.24Testing Materials standard method of analysis of alcohol/ether content in engine fuels.
7.25(c) The provisions of this subdivision are suspended during any period of time that
7.26subdivision 1a, paragraph (a), is in effect.
7.27EFFECTIVE DATE.This section is effective upon final enactment.

7.28    Sec. 15. Minnesota Statutes 2009 Supplement, section 239.791, subdivision 1a,
7.29is amended to read:
7.30    Subd. 1a. Minimum ethanol content required. (a) Except as provided in
7.31subdivisions 10 to 14, on August 30, 2013, and thereafter, a person responsible for the
7.32product shall ensure that all gasoline sold or offered for sale in Minnesota must contain at
7.33least the quantity of ethanol required by clause (1) or (2), whichever is greater:
7.34(1) 20 percent denatured ethanol by volume; or
8.1(2) the maximum percent of denatured ethanol by volume authorized in a waiver
8.2granted by the United States Environmental Protection Agency under section 211(f)(4) of
8.3the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).
8.4(b) For purposes of enforcing the minimum ethanol requirement of paragraph (a),
8.5clause (1), a gasoline/ethanol blend will be construed to be in compliance if the ethanol
8.6content, exclusive of denaturants and permitted contaminants, comprises not less than 18.4
8.7percent by volume and not more than 20 percent by volume of the blend as determined by
8.8an appropriate United States Environmental Protection Agency or American Society of
8.9Testing Materials standard method of analysis of alcohol content in motor fuels.
8.10(c) No motor fuel shall be deemed to be a defective product by virtue of the fact
8.11that the motor fuel is formulated or blended pursuant to the requirements of paragraph
8.12(a) under any theory of liability except for simple or willful negligence or fraud. This
8.13paragraph does not preclude an action for negligent, fraudulent, or willful acts. This
8.14paragraph does not affect a person whose liability arises under chapter 115, water pollution
8.15control; 115A, waste management; 115B, environmental response and liability; 115C,
8.16leaking underground storage tanks; or 299J, pipeline safety; under public nuisance law
8.17for damage to the environment or the public health; under any other environmental or
8.18public health law; or under any environmental or public health ordinance or program of a
8.19municipality as defined in section 466.01.
8.20(d) This subdivision expires on December 31, 2010 2012, if by that date:
8.21(1) the commissioner of agriculture certifies and publishes the certification in
8.22the State Register that at least 20 percent of the volume of gasoline sold in the state
8.23is denatured ethanol; or
8.24(2) federal approval has not been granted under paragraph (a), clause (1). The
8.25United States Environmental Protection Agency's failure to act on an application shall not
8.26be deemed approval under paragraph (a), clause (1), or a waiver under section 211(f)(4) of
8.27the Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4).
8.28EFFECTIVE DATE.This section is effective upon final enactment.

8.29    Sec. 16. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision
8.30to read:
8.31    Subd. 2a. Federal Clean Air Act waivers; conditions. (a) Before a waiver granted
8.32by the United States Environmental Protection Agency under section 211(f)(4) of the
8.33Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4),
8.34may alter the minimum content level required by subdivision 1, clause (2), or subdivision
8.351a, clause (2), the waiver must:
9.1(1) apply to all gasoline-powered motor vehicles irrespective of model year; and
9.2(2) allow for special regulatory treatment of Reid vapor pressure under Code of
9.3Federal Regulations, title 40, section 80.27(d), for blends of gasoline and ethanol up to the
9.4maximum percent of denatured ethanol by volume authorized under the waiver.
9.5(b) The minimum ethanol requirement in subdivision 1, clause (2), or subdivision
9.61a, clause (2), shall, upon the grant of the federal waiver, be effective on a date determined
9.7by the commissioner of commerce. In making this determination, the commissioner shall
9.8consider the amount of time required by refiners, retailers, and other fuel suppliers, acting
9.9expeditiously, to make the operational and logistical changes required to supply fuel in
9.10compliance with the minimum ethanol requirement.

9.11    Sec. 17. Minnesota Statutes 2008, section 239.791, is amended by adding a subdivision
9.12to read:
9.13    Subd. 2b. Limited liability waiver. No motor fuel shall be deemed to be a defective
9.14product by virtue of the fact that the motor fuel is formulated or blended pursuant to the
9.15requirements of subdivision 1, clause (2), or subdivision 1a, under any theory of liability
9.16except for simple or willful negligence or fraud. This subdivision does not preclude
9.17an action for negligent, fraudulent, or willful acts. This subdivision does not affect a
9.18person whose liability arises under chapter 115, water pollution control; 115A, waste
9.19management; 115B, environmental response and liability; 115C, leaking underground
9.20storage tanks; or 299J, pipeline safety; under public nuisance law for damage to the
9.21environment or the public health; under any other environmental or public health law;
9.22or under any environmental or public health ordinance or program of a municipality as
9.23defined in section 466.01.

9.24    Sec. 18. Minnesota Statutes 2008, section 336.9-531, is amended to read:
9.25336.9-531 ELECTRONIC ACCESS; LIABILITY; RETENTION.
9.26(a) Electronic access. The secretary of state may allow private parties to have
9.27electronic access to the central filing system and to other computerized records maintained
9.28by the secretary of state on a fee basis, except that: (1) visual access to electronic display
9.29terminals at the public counters at the Secretary of State's Office must be without charge
9.30and must be available during public counter hours; and (2) access by law enforcement
9.31personnel, acting in an official capacity, must be without charge. If the central filing system
9.32allows a form of electronic access to information regarding the obligations of debtors, the
9.33access must be available 24 hours a day, every day of the year. Notwithstanding section
10.113.355, private parties who have electronic access to computerized records may view the
10.2Social Security number information about a debtor that is of record.
10.3Notwithstanding section 13.355, a filing office may include Social Security number
10.4information in an information request response under section 336.9-523 or a search of
10.5other liens in the central filing system. A filing office may also include Social Security
10.6number information on a photocopy or electronic copy of a record whether provided in
10.7an information request response or in response to a request made under section 13.03.
10.8Any Social Security number information or tax identification number information in the
10.9possession of the secretary of state is private data on individuals.
10.10(b) Liability. The secretary of state, county recorders, and their employees and
10.11agents are not liable for any loss or damages arising from errors in or omissions from
10.12information entered into the central filing system as a result of the electronic transmission
10.13of tax lien notices under sections 268.058, subdivision 1, paragraph (c); 270C.63,
10.14subdivision 4 ; 272.483; and 272.488, subdivisions 1 and 3.
10.15The state, the secretary of state, counties, county recorders, and their employees and
10.16agents are immune from liability that occurs as a result of errors in or omissions from
10.17information provided from the central filing system.
10.18(c) Retention. Once the image of a paper record has been captured by the central
10.19filing system, the secretary of state may remove or direct the removal from the files and
10.20destroy the paper record.
10.21EFFECTIVE DATE.This section is effective 30 days after the secretary of state
10.22certifies that the information systems of the office of the secretary of state have been
10.23modified to implement this section.

10.24    Sec. 19. Minnesota Statutes 2008, section 336A.08, subdivision 1, is amended to read:
10.25    Subdivision 1. Compilation. (a) The secretary of state shall compile the information
10.26on effective financing statements in the computerized filing system into a master list:
10.27(1) organized according to farm product;
10.28(2) arranged within each product:
10.29(i) in alphabetical order according to the last name of the individual debtor or, in
10.30the case of debtors doing business other than as individuals, the first word in the name
10.31of the debtors;
10.32(ii) in numerical order according to the Social Security number of the individual
10.33debtor or, in the case of debtors doing business other than as individuals, the Internal
10.34Revenue Service taxpayer identification number of the debtors unique identifier assigned
10.35by the secretary of state to, and associated with, the Social Security number of the debtor;
11.1(iii) geographically by county; and
11.2(iv) by crop year;
11.3(3) containing the information provided on an effective financing statement; and
11.4(4) designating any applicable terminations of the effective financing statement.
11.5(b) The secretary of state shall compile information from lien notices recorded in the
11.6computerized filing system into a statutory lien master list in alphabetical order according
11.7to the last name of the individual debtor or, in the case of debtors doing business other
11.8than as individuals, the first word in the name of the debtors. The secretary of state may
11.9also organize the statutory lien master list according to one or more of the categories of
11.10information established in paragraph (a). Any terminations of lien notices must be noted.
11.11EFFECTIVE DATE.This section is effective 30 days after the secretary of state
11.12certifies that the information systems of the office of the secretary of state have been
11.13modified to implement this section.

11.14    Sec. 20. Minnesota Statutes 2008, section 336A.08, subdivision 4, is amended to read:
11.15    Subd. 4. Distribution of master and partial lists. (a) The secretary of state shall
11.16maintain the information on the effective financing statement master list:
11.17(1) by farm product arranged alphabetically by debtor; and
11.18(2) by farm product arranged numerically by the debtor's Social Security number for
11.19an individual debtor or, in the case of debtors doing business other than as individuals, the
11.20Internal Revenue Service taxpayer identification number of the debtors unique identifier
11.21assigned by the secretary of state to, and associated with, the Social Security number
11.22of the debtor.
11.23(b) The secretary of state shall maintain the information in the farm products
11.24statutory lien master list by county arranged alphabetically by debtor.
11.25(c) The secretary of state shall distribute or make available the requested master and
11.26partial master lists on a monthly basis to farm product dealers registered under section
11.27336A.11 . Lists will be distributed or made available on or before the tenth day of each
11.28month or on the next business day thereafter if the tenth day is not a business day.
11.29(d) The secretary of state shall make the master and partial master lists available
11.30as written or printed paper documents and may make lists available in other forms or
11.31media, including:
11.32(1) any electronically transmitted medium; or
11.33(2) any form of digital media.
12.1(e) There shall be no fee for partial or master lists distributed via an electronically
12.2transmitted medium. The annual fee for any other form of digital media is $200. The
12.3annual fee for paper partial lists is $250 and $400 for paper master lists.
12.4(f) A farm products dealer shall register pursuant to section 336A.11 by the last
12.5business day of the month to receive the monthly lists requested by the farm products
12.6dealer for that month.
12.7(g) If a registered farm products dealer receives a monthly list that cannot be read or
12.8is incomplete, the farm products dealer must immediately inform the secretary of state by
12.9telephone or e-mail of the problem. The registered farm products dealer shall confirm the
12.10existence of the problem by writing to the secretary of state. The secretary of state shall
12.11provide the registered farm products dealer with new monthly lists in the medium chosen
12.12by the registered farm products dealer no later than five business days after receipt of the
12.13oral notice from the registered farm products dealer. A registered farm products dealer is
12.14not considered to have received notice of the information on the monthly lists until the
12.15duplicate list is received from the secretary of state or until five days have passed since the
12.16duplicate lists were deposited in the mail by the secretary of state, whichever comes first.
12.17(h) On receipt of a written notice pursuant to section 336A.13, the secretary of state
12.18shall duplicate the monthly lists requested by the registered farm products dealer. The
12.19duplicate monthly lists must be sent to the registered farm products dealer no later than five
12.20business days after receipt of the written notice from the registered farm products dealer.
12.21(i) A registered farm products dealer may request monthly lists in one medium
12.22per registration.
12.23(j) Registered farm products dealers must have renewed their registration before the
12.24first day of July each year. Failure to send in the registration before that date will result in
12.25the farm products dealer not receiving the requested monthly lists.
12.26(k) Registered farm products dealers choosing to obtain monthly lists via an
12.27electronically transmitted medium or in any form of digital media may choose to receive
12.28all of the information for the monthly lists requested the first month and then only
12.29additions and deletions to the database for the remaining 11 months of the year. Following
12.30the first year of registration, the registered farm products dealer may choose to continue to
12.31receive one copy of the full monthly list at the beginning of each year or may choose to
12.32receive only additions and deletions.
12.33EFFECTIVE DATE.This section is effective 30 days after the secretary of state
12.34certifies that the information systems of the office of the secretary of state have been
12.35modified to implement this section.

13.1    Sec. 21. Minnesota Statutes 2008, section 336A.14, is amended to read:
13.2336A.14 RESTRICTED USE OF INFORMATION.
13.3Any Social Security number information or tax identification number information
13.4in the possession of the secretary of state is private data on individuals. Information
13.5obtained from the seller of a farm product relative to the Social Security number or tax
13.6identification number of the true owner of the farm product and all information obtained
13.7from the master or limited list may not be used for purposes that are not related to: (1)
13.8purchase of a farm product; (2) taking a security interest against a farm product; or (3)
13.9perfecting a farm product statutory lien.
13.10EFFECTIVE DATE.This section is effective 30 days after the secretary of state
13.11certifies that the information systems of the office of the secretary of state have been
13.12modified to implement this section.

13.13    Sec. 22. Minnesota Statutes 2008, section 500.221, subdivision 2, is amended to read:
13.14    Subd. 2. Aliens and non-American corporations. Except as hereinafter provided,
13.15no natural person shall acquire directly or indirectly any interest in agricultural land unless
13.16the person is a citizen of the United States or a permanent resident alien of the United
13.17States. In addition to the restrictions in section 500.24, no corporation, partnership,
13.18limited partnership, trustee, or other business entity shall directly or indirectly, acquire
13.19or otherwise obtain any interest, whether legal, beneficial or otherwise, in any title to
13.20agricultural land unless at least 80 percent of each class of stock issued and outstanding or
13.2180 percent of the ultimate beneficial interest of the entity is held directly or indirectly by
13.22citizens of the United States or permanent resident aliens. This section shall not apply:
13.23(1) to agricultural land that may be acquired by devise, inheritance, as security for
13.24indebtedness, by process of law in the collection of debts, or by any procedure for the
13.25enforcement of a lien or claim thereon, whether created by mortgage or otherwise. All
13.26agricultural land acquired in the collection of debts or by the enforcement of a lien or
13.27claim shall be disposed of within three years after acquiring ownership;
13.28(2) to citizens or subjects of a foreign country whose rights to hold land are secured
13.29by treaty;
13.30(3) to lands used for transportation purposes by a common carrier, as defined in
13.31section 218.011, subdivision 10;
13.32(4) to lands or interests in lands acquired for use in connection with (i) the production
13.33of timber and forestry products by a corporation organized under the laws of Minnesota,
13.34or (ii) mining and mineral processing operations. Pending the development of agricultural
14.1land for the production of timber and forestry products or mining purposes the land may
14.2not be used for farming except under lease to a family farm, a family farm corporation or
14.3an authorized farm corporation;
14.4(5) to agricultural land operated for research or experimental purposes if the
14.5ownership of the agricultural land is incidental to the research or experimental objectives
14.6of the person or business entity and the total acreage owned by the person or business
14.7entity does not exceed the acreage owned on May 27, 1977;
14.8(6) to the purchase of any tract of 40 acres or less for facilities incidental to pipeline
14.9operation by a company operating a pipeline as defined in section 216G.01, subdivision 3;
14.10(7) to agricultural land and land capable of being used as farmland in vegetable
14.11processing operations that is reasonably necessary to meet the requirements of pollution
14.12control law or rules; or
14.13(8) to an interest in agricultural land held on the August 1, 2003, by a natural person
14.14with a nonimmigrant treaty investment visa, pursuant to United States Code, title 8,
14.15section 1101(a)15(E)(ii), if, within five years after August 1, 2003, the person:
14.16(i) disposes of all agricultural land held; or
14.17(ii) becomes a permanent resident alien of the United States or a United States
14.18citizen.; or
14.19(9) to an easement taken by an individual or entity for the installation and repair
14.20of transmission lines and for wind rights.

14.21    Sec. 23. Minnesota Statutes 2008, section 500.221, subdivision 4, is amended to read:
14.22    Subd. 4. Reports. (a) Any natural person, corporation, partnership, limited
14.23partnership, trustee, or other business entity prohibited from future acquisition of
14.24agricultural land may retain title to any agricultural land lawfully acquired within this state
14.25prior to June 1, 1981, but shall file a report with the commissioner of agriculture annually
14.26before January 31 containing a description of all agricultural land held within this state,
14.27the purchase price and market value of the land, the use to which it is put, the date of
14.28acquisition and any other reasonable information required by the commissioner.
14.29(b) An individual or entity that qualifies for an exemption under subdivision 2, clause
14.30(2) or (9), and owns an interest in agricultural land shall file a report with the commissioner
14.31of agriculture within 30 days of acquisition and annually thereafter by January 31,
14.32containing a description of all interests in agricultural land held within this state, the
14.33purchase price of the interest and market value of the land, the use to which it is put, the
14.34date of acquisition, and any other reasonable information required by the commissioner.
14.35(c) The commissioner shall make the information available to the public.
15.1(d) All required annual reports shall include a filing fee of $50 plus $10 for each
15.2additional quarter section of land.

15.3    Sec. 24. Minnesota Statutes 2008, section 500.24, subdivision 2, is amended to read:
15.4    Subd. 2. Definitions. The definitions in this subdivision apply to this section.
15.5(a) "Farming" means the production of (1) agricultural products; (2) livestock or
15.6livestock products; (3) milk or milk products; or (4) fruit or other horticultural products. It
15.7does not include the processing, refining, or packaging of said products, nor the provision
15.8of spraying or harvesting services by a processor or distributor of farm products. It does
15.9not include the production of timber or forest products, the production of poultry or
15.10poultry products, or the feeding and caring for livestock that are delivered to a corporation
15.11for slaughter or processing for up to 20 days before slaughter or processing.
15.12(b) "Family farm" means an unincorporated farming unit owned by one or more
15.13persons residing on the farm or actively engaging in farming.
15.14(c) "Family farm corporation" means a corporation founded for the purpose of
15.15farming and the ownership of agricultural land in which the majority of the stock is held
15.16by and the majority of the stockholders are persons, the spouses of persons, or current
15.17beneficiaries of one or more family farm trusts in which the trustee holds stock in a family
15.18farm corporation, related to each other within the third degree of kindred according to
15.19the rules of the civil law, and at least one of the related persons is residing on or actively
15.20operating the farm, and none of whose stockholders are corporations; provided that a
15.21family farm corporation shall not cease to qualify as such hereunder by reason of any:
15.22(1) transfer of shares of stock to a person or the spouse of a person related within
15.23the third degree of kindred according to the rules of civil law to the person making the
15.24transfer, or to a family farm trust of which the shareholder, spouse, or related person is
15.25a current beneficiary; or
15.26(2) distribution from a family farm trust of shares of stock to a beneficiary related
15.27within the third degree of kindred according to the rules of civil law to a majority of the
15.28current beneficiaries of the trust, or to a family farm trust of which the shareholder, spouse,
15.29or related person is a current beneficiary.
15.30For the purposes of this section, a transfer may be made with or without
15.31consideration, either directly or indirectly, during life or at death, whether or not in trust,
15.32of the shares in the family farm corporation, and stock owned by a family farm trust are
15.33considered to be owned in equal shares by the current beneficiaries.
15.34(d) "Family farm trust" means:
15.35(1) a trust in which:
16.1(i) a majority of the current beneficiaries are persons or spouses of persons who are
16.2related to each other within the third degree of kindred according to the rules of civil law;
16.3(ii) all of the current beneficiaries are natural persons or nonprofit corporations
16.4or trusts described in the Internal Revenue Code, section 170(c), as amended, and the
16.5regulations under that section; and
16.6(iii) one of the family member current beneficiaries is residing on or actively
16.7operating the farm; or the trust leases the agricultural land to a family farm unit, a
16.8family farm corporation, an authorized farm corporation, an authorized livestock farm
16.9corporation, a family farm limited liability company, a family farm trust, an authorized
16.10farm limited liability company, a family farm partnership, or an authorized farm
16.11partnership; or
16.12(2) a charitable remainder trust as defined in the Internal Revenue Code, section 664,
16.13as amended, and the regulations under that section, and a charitable lead trust as set forth
16.14in the Internal Revenue Code, section 170(f), and the regulations under that section.
16.15(e) "Authorized farm corporation" means a corporation meeting the following
16.16standards:
16.17(1) it has no more than five shareholders, provided that for the purposes of this
16.18section, a husband and wife are considered one shareholder;
16.19(2) all its shareholders, other than any estate, are natural persons or a family farm
16.20trust;
16.21(3) it does not have more than one class of shares;
16.22(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed
16.2320 percent of its gross receipts;
16.24(5) shareholders holding 51 percent or more of the interest in the corporation reside
16.25on the farm or are actively engaging in farming;
16.26(6) it does not, directly or indirectly, own or otherwise have an interest in any title to
16.27more than 1,500 acres of agricultural land; and
16.28(7) none of its shareholders are shareholders in other authorized farm corporations
16.29that directly or indirectly in combination with the corporation own more than 1,500 acres
16.30of agricultural land.
16.31(f) "Authorized livestock farm corporation" means a corporation formed for the
16.32production of livestock and meeting the following standards:
16.33(1) it is engaged in the production of livestock other than dairy cattle;
16.34(2) all its shareholders, other than any estate, are natural persons, family farm trusts,
16.35or family farm corporations;
16.36(3) it does not have more than one class of shares;
17.1(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed
17.220 percent of its gross receipts;
17.3(5) shareholders holding 75 percent or more of the control, financial, and capital
17.4investment in the corporation are farmers, and at least 51 percent of the required
17.5percentage of farmers are actively engaged in livestock production;
17.6(6) it does not, directly or indirectly, own or otherwise have an interest in any title to
17.7more than 1,500 acres of agricultural land; and
17.8(7) none of its shareholders are shareholders in other authorized farm corporations
17.9that directly or indirectly in combination with the corporation own more than 1,500 acres
17.10of agricultural land.
17.11(g) "Agricultural land" means real estate used for farming or capable of being used
17.12for farming in this state.
17.13(h) "Pension or investment fund" means a pension or employee welfare benefit fund,
17.14however organized, a mutual fund, a life insurance company separate account, a common
17.15trust of a bank or other trustee established for the investment and reinvestment of money
17.16contributed to it, a real estate investment trust, or an investment company as defined in
17.17United States Code, title 15, section 80a-3.
17.18(i) "Farm homestead" means a house including adjoining buildings that has been
17.19used as part of a farming operation or is part of the agricultural land used for a farming
17.20operation.
17.21(j) "Family farm partnership" means a limited partnership formed for the purpose of
17.22farming and the ownership of agricultural land in which the majority of the interests in
17.23the partnership is held by and the majority of the partners are natural persons or current
17.24beneficiaries of one or more family farm trusts in which the trustee holds an interest in a
17.25family farm partnership related to each other within the third degree of kindred according
17.26to the rules of the civil law, and at least one of the related persons is residing on the farm,
17.27actively operating the farm, or the agricultural land was owned by one or more of the
17.28related persons for a period of five years before its transfer to the limited partnership, and
17.29none of the partners is a corporation. A family farm partnership does not cease to qualify
17.30as a family farm partnership because of a:
17.31(1) transfer of a partnership interest to a person or spouse of a person related within
17.32the third degree of kindred according to the rules of civil law to the person making the
17.33transfer or to a family farm trust of which the partner, spouse, or related person is a current
17.34beneficiary; or
17.35(2) distribution from a family farm trust of a partnership interest to a beneficiary
17.36related within the third degree of kindred according to the rules of civil law to a majority
18.1of the current beneficiaries of the trust, or to a family farm trust of which the partner,
18.2spouse, or related person is a current beneficiary.
18.3For the purposes of this section, a transfer may be made with or without
18.4consideration, either directly or indirectly, during life or at death, whether or not in trust,
18.5of a partnership interest in the family farm partnership, and interest owned by a family
18.6farm trust is considered to be owned in equal shares by the current beneficiaries.
18.7(k) "Authorized farm partnership" means a limited partnership meeting the following
18.8standards:
18.9(1) it has been issued a certificate from the secretary of state or is registered with the
18.10county recorder and farming and ownership of agricultural land is stated as a purpose or
18.11character of the business;
18.12(2) it has no more than five partners;
18.13(3) all its partners, other than any estate, are natural persons or family farm trusts;
18.14(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed
18.1520 percent of its gross receipts;
18.16(5) its general partners hold at least 51 percent of the interest in the land assets of the
18.17partnership and reside on the farm or are actively engaging in farming not more than 1,500
18.18acres as a general partner in an authorized limited partnership;
18.19(6) its limited partners do not participate in the business of the limited partnership
18.20including operating, managing, or directing management of farming operations;
18.21(7) it does not, directly or indirectly, own or otherwise have an interest in any title to
18.22more than 1,500 acres of agricultural land; and
18.23(8) none of its limited partners are limited partners in other authorized farm
18.24partnerships that directly or indirectly in combination with the partnership own more than
18.251,500 acres of agricultural land.
18.26(l) "Family farm limited liability company" means a limited liability company
18.27founded for the purpose of farming and the ownership of agricultural land in which the
18.28majority of the membership interests is held by and the majority of the members are
18.29natural persons, or current beneficiaries of one or more family farm trusts in which the
18.30trustee holds an interest in a family farm limited liability company related to each other
18.31within the third degree of kindred according to the rules of the civil law, and at least one of
18.32the related persons is residing on the farm, actively operating the farm, or the agricultural
18.33land was owned by one or more of the related persons for a period of five years before
18.34its transfer to the limited liability company, and none of the members is a corporation or
18.35a limited liability company. A family farm limited liability company does not cease to
18.36qualify as a family farm limited liability company because of:
19.1(1) a transfer of a membership interest to a person or spouse of a person related
19.2within the third degree of kindred according to the rules of civil law to the person making
19.3the transfer or to a family farm trust of which the member, spouse, or related person is
19.4a current beneficiary; or
19.5(2) distribution from a family farm trust of a membership interest to a beneficiary
19.6related within the third degree of kindred according to the rules of civil law to a majority
19.7of the current beneficiaries of the trust, or to a family farm trust of which the member,
19.8spouse, or related person is a current beneficiary.
19.9For the purposes of this section, a transfer may be made with or without
19.10consideration, either directly or indirectly, during life or at death, whether or not in trust, of
19.11a membership interest in the family farm limited liability company, and interest owned by
19.12a family farm trust is considered to be owned in equal shares by the current beneficiaries.
19.13Except for a state or federally chartered financial institution acquiring an encumbrance
19.14for the purpose of security or an interest under paragraph (x), a member of a family farm
19.15limited liability company may not transfer a membership interest, including a financial
19.16interest, to a person who is not otherwise eligible to be a member under this paragraph.
19.17(m) "Authorized farm limited liability company" means a limited liability company
19.18meeting the following standards:
19.19(1) it has no more than five members;
19.20(2) all its members, other than any estate, are natural persons or family farm trusts;
19.21(3) it does not have more than one class of membership interests;
19.22(4) its revenue from rent, royalties, dividends, interest, and annuities does not exceed
19.2320 percent of its gross receipts;
19.24(5) members holding 51 percent or more of both the governance rights and financial
19.25rights in the limited liability company reside on the farm or are actively engaged in
19.26farming;
19.27(6) it does not, directly or indirectly, own or otherwise have an interest in any title to
19.28more than 1,500 acres of agricultural land; and
19.29(7) none of its members are members in other authorized farm limited liability
19.30companies that directly or indirectly in combination with the authorized farm limited
19.31liability company own more than 1,500 acres of agricultural land.
19.32Except for a state or federally chartered financial institution acquiring an
19.33encumbrance for the purpose of security or an interest under paragraph (x), a member of
19.34an authorized farm limited liability company may not transfer a membership interest,
19.35including a financial interest, to a person who is not otherwise eligible to be a member
19.36under this paragraph.
20.1(n) "Farmer" means a natural person who regularly participates in physical labor or
20.2operations management in the person's farming operation and files "Schedule F" as part of
20.3the person's annual Form 1040 filing with the United States Internal Revenue Service.
20.4(o) "Actively engaged in livestock production" means performing day-to-day
20.5physical labor or day-to-day operations management that significantly contributes to
20.6livestock production and the functioning of a livestock operation.
20.7(p) "Research or experimental farm" means a corporation, limited partnership,
20.8pension, investment fund, or limited liability company that owns or operates agricultural
20.9land for research or experimental purposes, provided that any commercial sales from the
20.10operation are incidental to the research or experimental objectives of the corporation. A
20.11corporation, limited partnership, limited liability company, or pension or investment fund
20.12seeking initial approval by the commissioner to operate agricultural land for research or
20.13experimental purposes must first submit to the commissioner a prospectus or proposal of
20.14the intended method of operation containing information required by the commissioner
20.15including a copy of any operational contract with individual participants.
20.16(q) "Breeding stock farm" means a corporation, limited partnership, or limited
20.17liability company, that owns or operates agricultural land for the purpose of raising
20.18breeding stock, including embryos, for resale to farmers or for the purpose of growing
20.19seed, wild rice, nursery plants, or sod. An entity that is organized to raise livestock
20.20other than dairy cattle under this paragraph that does not qualify as an authorized farm
20.21corporation must:
20.22(1) sell all castrated animals to be fed out or finished to farming operations that are
20.23neither directly nor indirectly owned by the business entity operating the breeding stock
20.24operation; and
20.25(2) report its total production and sales annually to the commissioner.
20.26(r) "Aquatic farm" means a corporation, limited partnership, or limited liability
20.27company, that owns or leases agricultural land as a necessary part of an aquatic farm
20.28as defined in section 17.47, subdivision 3.
20.29(s) "Religious farm" means a corporation formed primarily for religious purposes
20.30whose sole income is derived from agriculture.
20.31(t) "Utility corporation" means a corporation regulated under Minnesota Statutes
20.321974, chapter 216B, that owns agricultural land for purposes described in that chapter, or
20.33an electric generation or transmission cooperative that owns agricultural land for use in
20.34its business if the land is not used for farming except under lease to a family farm unit,
20.35a family farm corporation, a family farm trust, a family farm partnership, or a family
20.36farm limited liability company.
21.1(u) "Development organization" means a corporation, limited partnership, limited
21.2liability company, or pension or investment fund that has an interest in agricultural land
21.3for which the corporation, limited partnership, limited liability company, or pension or
21.4investment fund has documented plans to use and subsequently uses the land within
21.5six years from the date of purchase for a specific nonfarming purpose, or if the land is
21.6zoned nonagricultural, or if the land is located within an incorporated area. A corporation,
21.7limited partnership, limited liability company, or pension or investment fund may hold
21.8agricultural land in the amount necessary for its nonfarm business operation; provided,
21.9however, that pending the development of agricultural land for nonfarm purposes, the land
21.10may not be used for farming except under lease to a family farm unit, a family farm
21.11corporation, a family farm trust, an authorized farm corporation, an authorized livestock
21.12farm corporation, a family farm partnership, an authorized farm partnership, a family farm
21.13limited liability company, or an authorized farm limited liability company, or except when
21.14controlled through ownership, options, leaseholds, or other agreements by a corporation
21.15that has entered into an agreement with the United States under the New Community Act
21.16of 1968 (Title IV of the Housing and Urban Development Act of 1968, United States Code,
21.17title 42, sections 3901 to 3914) as amended, or a subsidiary or assign of such a corporation.
21.18(v) "Exempt land" means agricultural land owned or leased by a corporation as of
21.19May 20, 1973, agricultural land owned or leased by a pension or investment fund as of
21.20May 12, 1981, agricultural land owned or leased by a limited partnership as of May 1,
21.211988, or agricultural land owned or leased by a trust as of the effective date of Laws 2000,
21.22chapter 477, including the normal expansion of that ownership at a rate not to exceed 20
21.23percent of the amount of land owned as of May 20, 1973, for a corporation; May 12, 1981,
21.24for a pension or investment fund; May 1, 1988, for a limited partnership, or the effective
21.25date of Laws 2000, chapter 477, for a trust, measured in acres, in any five-year period,
21.26and including additional ownership reasonably necessary to meet the requirements of
21.27pollution control rules. A corporation, limited partnership, or pension or investment fund
21.28that is eligible to own or lease agricultural land under this section prior to May 1997, or a
21.29corporation that is eligible to own or lease agricultural land as a benevolent trust under this
21.30section prior to the effective date of Laws 2000, chapter 477, may continue to own or lease
21.31agricultural land subject to the same conditions and limitations as previously allowed.
21.32(w) "Gifted land" means agricultural land acquired as a gift, either by grant or devise,
21.33by an educational, religious, or charitable nonprofit corporation, limited partnership,
21.34limited liability company, or pension or investment fund if all land so acquired is disposed
21.35of within ten years after acquiring the title.
22.1(x) "Repossessed land" means agricultural land acquired by a corporation, limited
22.2partnership, limited liability company, or pension or investment fund by process of law
22.3in the collection of debts, or by any procedure for the enforcement of a lien or claim on
22.4the land, whether created by mortgage or otherwise if all land so acquired is disposed of
22.5within five years after acquiring the title. The five-year limitation is a covenant running
22.6with the title to the land against any grantee, assignee, or successor of the pension or
22.7investment fund, corporation, limited partnership, or limited liability company. The land
22.8so acquired must not be used for farming during the five-year period, except under a
22.9lease to a family farm unit, a family farm corporation, a family farm trust, an authorized
22.10farm corporation, an authorized livestock farm corporation, a family farm partnership, an
22.11authorized farm partnership, a family farm limited liability company, or an authorized
22.12farm limited liability company. Notwithstanding the five-year divestiture requirement
22.13under this paragraph, a financial institution may continue to own the agricultural land if the
22.14agricultural land is leased to the immediately preceding former owner, but must dispose
22.15of the agricultural land within ten years of acquiring the title. Livestock acquired by a
22.16pension or investment fund, corporation, limited partnership, or limited liability company
22.17in the collection of debts, or by a procedure for the enforcement of lien or claim on the
22.18livestock whether created by security agreement or otherwise after August 1, 1994, must
22.19be sold or disposed of within one full production cycle for the type of livestock acquired
22.20or 18 months after the livestock is acquired, whichever is earlier.
22.21(y) "Commissioner" means the commissioner of agriculture.
22.22(z) "Nonprofit corporation" means a nonprofit corporation organized under state
22.23nonprofit corporation or trust law or qualified for tax-exempt status under federal tax
22.24law that uses the land for a specific nonfarming purpose or, leases the agricultural land
22.25to a family farm unit, a family farm corporation, an authorized farm corporation, an
22.26authorized livestock farm corporation, a family farm limited liability company, a family
22.27farm trust, an authorized farm limited liability company, a family farm partnership, or an
22.28authorized farm partnership, or actively farms less than 40 acres and uses all profits from
22.29the agricultural land for educational purposes.
22.30(aa) "Current beneficiary" means a person who at any time during a year is entitled
22.31to, or at the discretion of any person may, receive a distribution from the income or
22.32principal of the trust. It does not include a distributee trust, other than a trust described in
22.33section 170(c) of the Internal Revenue Code, as amended, but does include the current
22.34beneficiaries of the distributee trust. It does not include a person in whose favor a power
22.35of appointment could be exercised until the holder of the power of appointment actually
22.36exercises the power of appointment in that person's favor. It does not include a person who
23.1is entitled to receive a distribution only after a specified time or upon the occurrence of a
23.2specified event until the time or occurrence of the event. For the purposes of this section, a
23.3distributee trust is a current beneficiary of a family farm trust.
23.4(bb) "De minimis" means that any corporation, pension or investment fund, limited
23.5liability company, or limited partnership that directly or indirectly owns, acquires, or
23.6otherwise obtains any interest in 40 acres or less of agricultural land and annually receives
23.7less than $150 per acre in gross revenue from rental or agricultural production.

23.8    Sec. 25. Minnesota Statutes 2008, section 514.965, subdivision 2, is amended to read:
23.9    Subd. 2. Agricultural lien. "Agricultural lien" means an agricultural lien as defined
23.10in section 336.9-102(a)(5) and includes a veterinarian's lien, breeder's lien, livestock
23.11production input lien, temporary livestock production input lien, and feeder's lien under
23.12this section and section 514.966.

23.13    Sec. 26. Minnesota Statutes 2008, section 514.966, is amended by adding a subdivision
23.14to read:
23.15    Subd. 3a. Temporary livestock production input lien; debtor in mediation. (a)
23.16A supplier furnishing livestock production inputs in the ordinary course of business to a
23.17debtor who has filed a mediation request under chapter 583 has a livestock production
23.18input lien for the unpaid retail cost of the livestock production input. A perfected livestock
23.19production input lien that attaches to livestock may not exceed the amount, if any, that the
23.20sales price of the livestock for which the inputs were received exceeds the greater of the
23.21fair market value of the livestock at the time the lien attaches or the acquisition price of
23.22the livestock. A livestock production input lien becomes effective when the agricultural
23.23production inputs are furnished by the supplier to the purchaser.
23.24(b) A livestock production input lien under this subdivision applies to livestock
23.25production inputs provided to the debtor during the 45 days following a mediation request
23.26under chapter 583.
23.27(c) A person who supplies livestock production inputs under this subdivision shall
23.28provide a lien-notification statement as required under subdivision 3, paragraphs (b)
23.29and (c), but is not subject to subdivision 3, paragraphs (d) to (f). A perfected temporary
23.30livestock production input lien corresponding to the lien-notification statement has priority
23.31over any security interest of the lender in the same livestock or their proceeds for the
23.32lesser of:
23.33(1) the amount stated in the lien-notification statement; or
24.1(2) the unpaid retail cost of the livestock production input identified in the
24.2lien-notification statement, subject to any limitation in paragraph (a).

24.3    Sec. 27. Minnesota Statutes 2008, section 514.966, subdivision 5, is amended to read:
24.4    Subd. 5. Scope. A veterinarian's lien, breeder's lien, livestock production input lien,
24.5temporary livestock production lien, or feeder's lien attaches to the livestock serviced by
24.6the agricultural lienholder, and products and proceeds thereof to the extent of the price
24.7or value of the service provided.

24.8    Sec. 28. Minnesota Statutes 2008, section 514.966, subdivision 6, is amended to read:
24.9    Subd. 6. Perfection. (a) An agricultural lien under this section is perfected if a
24.10financing statement is filed pursuant to sections 336.9-501 to 336.9-530 and within the
24.11time periods set forth in paragraphs (b) to (e) (f).
24.12(b) A veterinarian's lien must be perfected on or before 180 days after the last item
24.13of the veterinary service is performed.
24.14(c) A breeder's lien must be perfected by six months after the last date that breeding
24.15services are provided the obligor.
24.16(d) Except as provided in paragraph (f), a livestock production input lien must be
24.17perfected by six months after the last date that livestock production inputs are furnished
24.18the obligor.
24.19(e) A feeder's lien must be perfected on or before 60 days after the last date that
24.20feeding services are furnished the obligor.
24.21(f) A temporary livestock production input lien, under subdivision 3a, must be
24.22perfected on or before 60 days after the last date that livestock production inputs are
24.23furnished the obligor.

24.24    Sec. 29. Laws 2007, chapter 45, article 1, section 3, subdivision 4, as amended by
24.25Laws 2008, chapter 297, article 1, section 64; and Laws 2008, chapter 363, article 7,
24.26section 6, is amended to read:

24.27 24.28

Subd. 4. Bioenergy and Value-Added Agricultural Products

19,918,000

15,168,000

24.29$15,168,000 the first year and $15,168,000
24.30the second year are for ethanol producer
24.31payments under Minnesota Statutes, section
24.3241A.09 . If the total amount for which all
24.33producers are eligible in a quarter exceeds
25.1the amount available for payments, the
25.2commissioner shall make payments on a
25.3pro rata basis. If the appropriation exceeds
25.4the total amount for which all producers
25.5are eligible in a fiscal year for scheduled
25.6payments and for deficiencies in payments
25.7during previous fiscal years, the balance
25.8in the appropriation is available to the
25.9commissioner for value-added agricultural
25.10programs including the value-added
25.11agricultural product processing and
25.12marketing grant program under Minnesota
25.13Statutes, section 17.101, subdivision 5. The
25.14appropriation remains available until spent.
25.15$3,000,000 the first year is for grants to
25.16bioenergy projects. The NextGen Energy
25.17Board shall make recommendations to
25.18the commissioner on grants for owners of
25.19Minnesota facilities producing bioenergy,
25.20organizations that provide for on-station,
25.21on-farm field scale research and outreach to
25.22develop and test the agronomic and economic
25.23requirements of diverse stands of prairie
25.24plants and other perennials for bioenergy
25.25systems, or certain nongovernmental
25.26entities. For the purposes of this paragraph,
25.27"bioenergy" includes transportation fuels
25.28derived from cellulosic material as well as
25.29the generation of energy for commercial heat,
25.30industrial process heat, or electrical power
25.31from cellulosic material via gasification
25.32or other processes. The board must give
25.33priority to a bioenergy facility that is at
25.34least 60 percent owned and controlled by
25.35farmers, as defined in Minnesota Statutes,
25.36section 500.24, subdivision 2, paragraph
26.1(n), or natural persons residing in the
26.2county or counties contiguous to where the
26.3facility is located. Grants are limited to 50
26.4percent of the cost of research, technical
26.5assistance, or equipment related to bioenergy
26.6production or $1,000,000, whichever is
26.7less. Grants to nongovernmental entities
26.8for the development of business plans and
26.9structures related to community ownership
26.10of eligible bioenergy facilities together may
26.11not exceed $150,000. The board shall make
26.12a good faith effort to select projects that have
26.13merit and when taken together represent a
26.14variety of bioenergy technologies, biomass
26.15feedstocks, and geographic regions of the
26.16state. Projects must have a qualified engineer
26.17certification on the technology and fuel
26.18source. Grantees shall provide reports at
26.19the request of the commissioner and must
26.20actively participate in the Agricultural
26.21Utilization Research Institute's Renewable
26.22Energy Roundtable. No later than February
26.231, 2009, the commissioner shall report on
26.24the projects funded under this appropriation
26.25to the house and senate committees with
26.26jurisdiction over agriculture finance. The
26.27commissioner's costs in administering the
26.28program may be paid from the appropriation.
26.29Any unencumbered balance does not cancel
26.30at the end of the first year and is available
26.31in the second year This appropriation is
26.32available until June 30, 2011.
26.33$200,000 the first year is for a grant to the
26.34Minnesota Turf Seed Council for basic
26.35and applied agronomic research on native
26.36plants, including plant breeding, nutrient
27.1management, pest management, disease
27.2management, yield, and viability. The grant
27.3recipient may subcontract with a qualified
27.4third party for some or all of the basic
27.5or applied research. The grant recipient
27.6must actively participate in the Agricultural
27.7Utilization Research Institute's Renewable
27.8Energy Roundtable and no later than
27.9February 1, 2009, must report to the house
27.10and senate committees with jurisdiction
27.11over agriculture finance. This is a onetime
27.12appropriation and is available until spent.
27.13$200,000 the first year is for a grant to a joint
27.14venture combined heat and power energy
27.15facility located in Scott or LeSueur County
27.16for the creation of a centrally located biomass
27.17fuel supply depot with the capability of
27.18unloading, processing, testing, scaling, and
27.19storing renewable biomass fuels. The grant
27.20must be matched by at least $3 of nonstate
27.21funds for every $1 of state funds. The grant
27.22recipient must actively participate in the
27.23Agricultural Utilization Research Institute's
27.24Renewable Energy Roundtable and no
27.25later than February 1, 2009, must report
27.26to the house and senate committees with
27.27jurisdiction over agriculture finance. This is
27.28a onetime appropriation and is available until
27.29spent.
27.30$300,000 the first year is for a grant to the
27.31Bois Forte Band of Chippewa for a feasibility
27.32study of a renewable energy biofuels
27.33demonstration facility on the Bois Forte
27.34Reservation in St. Louis and Koochiching
27.35Counties. The grant shall be used by the Bois
27.36Forte Band to conduct a detailed feasibility
28.1study of the economic and technical viability
28.2of developing a multistream renewable
28.3energy biofuels demonstration facility
28.4on Bois Forte Reservation land to utilize
28.5existing forest resources, woody biomass,
28.6and cellulosic material to produce biofuels or
28.7bioenergy. The grant recipient must actively
28.8participate in the Agricultural Utilization
28.9Research Institute's Renewable Energy
28.10Roundtable and no later than February 1,
28.112009, must report to the house and senate
28.12committees with jurisdiction over agriculture
28.13finance. This is a onetime appropriation and
28.14is available until spent.
28.15$300,000 the first year is for a grant to
28.16the White Earth Band of Chippewa for a
28.17feasibility study of a renewable energy
28.18biofuels production, research, and production
28.19facility on the White Earth Reservation in
28.20Mahnomen County. The grant must be used
28.21by the White Earth Band and the University
28.22of Minnesota to conduct a detailed feasibility
28.23study of the economic and technical viability
28.24of (1) developing a multistream renewable
28.25energy biofuels demonstration facility on
28.26White Earth Reservation land to utilize
28.27existing forest resources, woody biomass,
28.28and cellulosic material to produce biofuels or
28.29bioenergy, and (2) developing, harvesting,
28.30and marketing native prairie plants and seeds
28.31for bioenergy production. The grant recipient
28.32must actively participate in the Agricultural
28.33Utilization Research Institute's Renewable
28.34Energy Roundtable and no later than
28.35February 1, 2009, must report to the house
28.36and senate committees with jurisdiction
29.1over agriculture finance. This is a onetime
29.2appropriation and is available until spent.
29.3$200,000 the first year is for a grant to the Elk
29.4River Economic Development Authority for
29.5upfront engineering and a feasibility study
29.6of the Elk River renewable fuels facility.
29.7The facility must use a plasma gasification
29.8process to convert primarily cellulosic
29.9material, but may also use plastics and other
29.10components from municipal solid waste, as
29.11feedstock for the production of methanol
29.12for use in biodiesel production facilities.
29.13Any unencumbered balance in fiscal year
29.142008 does not cancel but is available for
29.15fiscal year 2009. Notwithstanding Minnesota
29.16Statutes, section 16A.285, the agency must
29.17not transfer this appropriation. The grant
29.18recipient must actively participate in the
29.19Agricultural Utilization Research Institute's
29.20Renewable Energy Roundtable and no
29.21later than February 1, 2009, must report
29.22to the house and senate committees with
29.23jurisdiction over agriculture finance. This is
29.24a onetime appropriation and is available until
29.25spent.
29.26$200,000 the first year is for a grant to
29.27Chisago County to conduct a detailed
29.28feasibility study of the economic and
29.29technical viability of developing a
29.30multistream renewable energy biofuels
29.31demonstration facility in Chisago, Isanti,
29.32or Pine County to utilize existing forest
29.33resources, woody biomass, and cellulosic
29.34material to produce biofuels or bioenergy.
29.35Chisago County may expend funds to Isanti
29.36and Pine Counties and the University of
30.1Minnesota for any costs incurred as part
30.2of the study. The feasibility study must
30.3consider the capacity of: (1) the seed bank
30.4at Wild River State Park to expand the
30.5existing prairie grass, woody biomass, and
30.6cellulosic material resources in Chisago,
30.7Isanti, and Pine Counties; (2) willing and
30.8interested landowners in Chisago, Isanti, and
30.9Pine Counties to grow cellulosic materials;
30.10and (3) the Minnesota Conservation Corps,
30.11the sentence to serve program, and other
30.12existing workforce programs in east central
30.13Minnesota to contribute labor to these efforts.
30.14The grant recipient must actively participate
30.15in the Agricultural Utilization Research
30.16Institute's Renewable Energy Roundtable and
30.17no later than February 1, 2009, must report
30.18to the house and senate committees with
30.19jurisdiction over agriculture finance. This is
30.20a onetime appropriation and is available until
30.21spent.
30.22EFFECTIVE DATE.This section is effective upon final enactment.

30.23    Sec. 30. Laws 2007, chapter 45, article 1, section 3, subdivision 5, as amended by
30.24Laws 2008, chapter 297, article 1, section 65, is amended to read:

30.25 30.26

Subd. 5. Administration and Financial Assistance

7,338,000

6,751,000

30.27$1,005,000 the first year and $1,005,000
30.28the second year are for continuation of
30.29the dairy development and profitability
30.30enhancement and dairy business planning
30.31grant programs established under Laws 1997,
30.32chapter 216, section 7, subdivision 2, and
30.33Laws 2001, First Special Session chapter 2,
30.34section 9, subdivision 2 . The commissioner
31.1may allocate the available sums among
31.2permissible activities, including efforts to
31.3improve the quality of milk produced in the
31.4state in the proportions that the commissioner
31.5deems most beneficial to Minnesota's dairy
31.6farmers. The commissioner must submit a
31.7work plan detailing plans for expenditures
31.8under this program to the chairs of the
31.9house and senate committees dealing with
31.10agricultural policy and budget on or before
31.11the start of each fiscal year. If significant
31.12changes are made to the plans in the course
31.13of the year, the commissioner must notify the
31.14chairs.
31.15$50,000 the first year and $50,000 the
31.16second year are for the Northern Crops
31.17Institute. These appropriations may be spent
31.18to purchase equipment.
31.19$19,000 the first year and $19,000 the
31.20second year are for a grant to the Minnesota
31.21Livestock Breeders Association.
31.22$250,000 the first year and $250,000 the
31.23second year are for grants to the Minnesota
31.24Agricultural Education Leadership Council
31.25for programs of the council under Minnesota
31.26Statutes, chapter 41D.
31.27$600,000 the first year is for grants for
31.28fertilizer research as awarded by the
31.29Minnesota Agricultural Fertilizer Research
31.30and Education Council under Minnesota
31.31Statutes, section 18C.71. The amount
31.32available to the commissioner pursuant
31.33to Minnesota Statutes, section 18C.70,
31.34subdivision 2 , for administration of this
31.35activity is available until February 1, 2009,
32.1by which time the commissioner shall
32.2report to the house and senate committees
32.3with jurisdiction over agriculture finance.
32.4The report must include the progress and
32.5outcome of funded projects as well as the
32.6sentiment of the council concerning the need
32.7for additional research funded through an
32.8industry checkoff fee. The amount available
32.9for grants is available until June 30, 2011.
32.10$465,000 the first year and $465,000 the
32.11second year are for payments to county and
32.12district agricultural societies and associations
32.13under Minnesota Statutes, section 38.02,
32.14subdivision 1 . Aid payments to county and
32.15district agricultural societies and associations
32.16shall be disbursed not later than July 15 of
32.17each year. These payments are the amount of
32.18aid owed by the state for an annual fair held
32.19in the previous calendar year.
32.20$65,000 the first year and $65,000 the second
32.21year are for annual grants to the Minnesota
32.22Turf Seed Council for basic and applied
32.23research on the improved production of
32.24forage and turf seed related to new and
32.25improved varieties. The grant recipient may
32.26subcontract with a qualified third party for
32.27some or all of the basic and applied research.
32.28$500,000 the first year and $500,000 the
32.29second year are for grants to Second Harvest
32.30Heartland on behalf of Minnesota's six
32.31Second Harvest food banks for the purchase
32.32of milk for distribution to Minnesota's food
32.33shelves and other charitable organizations
32.34that are eligible to receive food from the food
32.35banks. Milk purchased under the grants must
33.1be acquired from Minnesota milk processors
33.2and based on low-cost bids. The milk must be
33.3allocated to each Second Harvest food bank
33.4serving Minnesota according to the formula
33.5used in the distribution of United States
33.6Department of Agriculture commodities
33.7under The Emergency Food Assistance
33.8Program (TEFAP). Second Harvest
33.9Heartland must submit quarterly reports
33.10to the commissioner on forms prescribed
33.11by the commissioner. The reports must
33.12include, but are not limited to, information
33.13on the expenditure of funds, the amount
33.14of milk purchased, and the organizations
33.15to which the milk was distributed. Second
33.16Harvest Heartland may enter into contracts
33.17or agreements with food banks for shared
33.18funding or reimbursement of the direct
33.19purchase of milk. Each food bank receiving
33.20money from this appropriation may use up to
33.21two percent of the grant for administrative
33.22expenses.
33.23$100,000 the first year and $100,000 the
33.24second year are for transfer to the Board of
33.25Trustees of the Minnesota State Colleges and
33.26Universities for mental health counseling
33.27support to farm families and business
33.28operators through farm business management
33.29programs at Central Lakes College and
33.30Ridgewater College.
33.31$18,000 the first year and $18,000 the
33.32second year are for grants to the Minnesota
33.33Horticultural Society.
33.34$50,000 is for a grant to the University of
33.35Minnesota, Department of Horticultural
34.1Science, Enology Laboratory, to upgrade
34.2and purchase instrumentation to allow
34.3rapid and accurate measurement of enology
34.4components. This is a onetime appropriation
34.5and is available until expended.
34.6EFFECTIVE DATE.This section is effective upon final enactment.

34.7    Sec. 31. Laws 2009, chapter 94, article 1, section 3, subdivision 5, is amended to read:

34.8 34.9

Subd. 5.Administration and Financial Assistance

8,177,000

7,037,000

34.10	Appropriations by Fund
34.11		2010	2011
34.12	General	7,377,000	6,237,000
34.13	Agricultural	800,000	800,000

34.14$780,000 the first year and $755,000 the
34.15second year are for continuation of the dairy
34.16development and profitability enhancement
34.17and dairy business planning grant programs
34.18established under Laws 1997, chapter
34.19216, section 7, subdivision 2, and Laws
34.202001, First Special Session chapter 2,
34.21section 9, subdivision 2. The commissioner
34.22may allocate the available sums among
34.23permissible activities, including efforts to
34.24improve the quality of milk produced in the
34.25state in the proportions that the commissioner
34.26deems most beneficial to Minnesota's dairy
34.27farmers. The commissioner must submit a
34.28work plan detailing plans for expenditures
34.29under this program to the chairs of the house
34.30of representatives and senate committees
34.31dealing with agricultural policy and budget
34.32on or before the start of each fiscal year. If
34.33significant changes are made to the plans
34.34in the course of the year, the commissioner
34.35must notify the chairs.
35.1$50,000 the first year and $50,000 the
35.2second year are for the Northern Crops
35.3Institute. These appropriations may be spent
35.4to purchase equipment.
35.5$19,000 the first year and $19,000 the
35.6second year are for a grant to the Minnesota
35.7Livestock Breeders Association.
35.8$250,000 the first year and $250,000 the
35.9second year are for grants to the Minnesota
35.10Agricultural Education and Leadership
35.11Council for programs of the council under
35.12Minnesota Statutes, chapter 41D.
35.13$474,000 the first year and $474,000 the
35.14second year are for payments to county and
35.15district agricultural societies and associations
35.16under Minnesota Statutes, section 38.02,
35.17subdivision 1 . Aid payments to county and
35.18district agricultural societies and associations
35.19shall be disbursed no later than July 15 of
35.20each year. These payments are the amount of
35.21aid from the state for an annual fair held in
35.22the previous calendar year.
35.23$1,000 the first year and $1,000 the second
35.24year are for grants to the Minnesota State
35.25Poultry Association.
35.26$65,000 the first year and $65,000 the second
35.27year are for annual grants to the Minnesota
35.28Turf Seed Council for basic and applied
35.29research on the improved production of
35.30forage and turf seed related to new and
35.31improved varieties. The grant recipient may
35.32subcontract with a qualified third party for
35.33some or all of the basic and applied research.
36.1$50,000 the first year and $50,000 the
36.2second year are for annual grants to the
36.3Minnesota Turf Seed Council for basic
36.4and applied agronomic research on native
36.5plants, including plant breeding, nutrient
36.6management, pest management, disease
36.7management, yield, and viability. The grant
36.8recipient may subcontract with a qualified
36.9third party for some or all of the basic
36.10or applied research. The grant recipient
36.11must actively participate in the Agricultural
36.12Utilization Research Institute's Renewable
36.13Energy Roundtable and no later than
36.14February 1, 2011, must report to the house of
36.15representatives and senate committees with
36.16jurisdiction over agriculture finance.
36.17$500,000 the first year and $500,000 the
36.18second year are for grants to Second Harvest
36.19Heartland on behalf of Minnesota's six
36.20Second Harvest food banks for the purchase
36.21of milk for distribution to Minnesota's food
36.22shelves and other charitable organizations
36.23that are eligible to receive food from the food
36.24banks. Milk purchased under the grants must
36.25be acquired from Minnesota milk processors
36.26and based on low-cost bids. The milk must be
36.27allocated to each Second Harvest food bank
36.28serving Minnesota according to the formula
36.29used in the distribution of United States
36.30Department of Agriculture commodities
36.31under The Emergency Food Assistance
36.32Program (TEFAP). Second Harvest
36.33Heartland must submit quarterly reports
36.34to the commissioner on forms prescribed
36.35by the commissioner. The reports must
36.36include, but are not limited to, information
37.1on the expenditure of funds, the amount
37.2of milk purchased, and the organizations
37.3to which the milk was distributed. Second
37.4Harvest Heartland may enter into contracts
37.5or agreements with food banks for shared
37.6funding or reimbursement of the direct
37.7purchase of milk. Each food bank receiving
37.8money from this appropriation may use up to
37.9two percent of the grant for administrative
37.10expenses.
37.11$1,000,000 the first year is for the agricultural
37.12growth, research, and innovation program
37.13in Minnesota Statutes, section 41A.12.
37.14Priority must be given to livestock programs
37.15under Minnesota Statutes, section 17.118.
37.16Priority for livestock grants shall be given
37.17to persons who are beginning livestock
37.18producers and livestock producers who are
37.19rebuilding after a disaster that was due to
37.20natural or other unintended conditions. The
37.21commissioner may use up to 4.5 percent
37.22of this appropriation for costs incurred to
37.23administer the program. Any unencumbered
37.24balance does not cancel at the end of the first
37.25year and is available in the second year.
37.26$100,000 the first year and $100,000 the
37.27second year are for transfer to the Board of
37.28Trustees of the Minnesota State Colleges and
37.29Universities for mental health counseling
37.30support to farm families and business
37.31operators through farm business management
37.32programs at Central Lakes College and
37.33Ridgewater College.
38.1$18,000 the first year and $18,000 the
38.2second year are for grants to the Minnesota
38.3Horticultural Society.
38.4Notwithstanding Minnesota Statutes,
38.5section 18C.131, $800,000 the first year
38.6and $800,000 the second year are from the
38.7fertilizer account in the agricultural fund
38.8for grants for fertilizer research as awarded
38.9by the Minnesota Agricultural Fertilizer
38.10Research and Education Council under
38.11Minnesota Statutes, section 18C.71. The
38.12amount appropriated in either fiscal year must
38.13not exceed 57 percent of the inspection fee
38.14revenue collected under Minnesota Statutes,
38.15section 18C.425, subdivision 6, during the
38.16previous fiscal year. No later than February
38.171, 2011, the commissioner shall report to
38.18the legislative committees with jurisdiction
38.19over agriculture finance. The report must
38.20include the progress and outcome of funded
38.21projects as well as the sentiment of the
38.22council concerning the need for additional
38.23research funds. The appropriation for the
38.24first year is available until June 30, 2013,
38.25and the appropriation for the second year is
38.26available until June 30, 2014.
38.27$60,000 the first year is for a transfer to the
38.28University of Minnesota Extension Service
38.29for farm-to-school grants to school districts
38.30in Minneapolis, Moorhead, White Earth, and
38.31Willmar.
38.32$30,000 is for star farms program
38.33development. The commissioner, in
38.34consultation with other state and local
38.35agencies, farm groups, conservation
39.1groups, legislators, and other interested
39.2persons, shall develop a proposal for a star
39.3farms program. By January 15, 2010, the
39.4commissioner shall submit the proposal to
39.5the legislative committees and divisions
39.6with jurisdiction over agriculture and
39.7environmental policy and finance. This is a
39.8onetime appropriation. * (The preceding
39.9paragraph beginning "$30,000 is for star
39.10farms program" was indicated as vetoed
39.11by the governor.)
39.12$25,000 the first year is for the administration
39.13of the Feeding Minnesota Task Force, under
39.14new Minnesota Statutes, section 31.97. This
39.15is a onetime appropriation.
39.16EFFECTIVE DATE.This section is effective upon final enactment.

39.17    Sec. 32. TERMINAL CAPACITY; REPORT.
39.18The commissioner of agriculture, with assistance from the Office of Energy Security,
39.19shall determine the total propane and anhydrous ammonia terminal capacity located in
39.20the state and within 100 miles of the state's borders. The commissioner shall also use
39.21projected grain yields and other relevant factors to estimate total agricultural demand
39.22for propane and anhydrous ammonia in this state in the year 2020 and shall develop a
39.23detailed plan for fully and economically satisfying this anticipated demand. No later than
39.24January 15, 2011, the commissioner shall present the report to the legislative committees
39.25with jurisdiction over agriculture finance.

39.26    Sec. 33. DAIRY RESEARCH AND EDUCATION FACILITY;
39.27COLLABORATION.
39.28The commissioner of agriculture shall convene one or more meetings with milk
39.29producers, other industry stakeholders, and representatives of the University of Minnesota
39.30and Minnesota State Colleges and Universities System whose work relates to the dairy
39.31industry to consider the elements of a dairy research and education facility which would
39.32represent a partnership between higher education institutions and the dairy industry. No
40.1later than February 1, 2011, the commissioner shall provide a report on facility and
40.2financing options to the legislative committees with jurisdiction over agriculture finance.

40.3    Sec. 34. BIOENERGY DEVELOPMENT; REPORT.
40.4The commissioner of agriculture shall actively pursue federal and other resources
40.5available to promote and achieve greater production and use of biofuels in this state,
40.6including but not limited to increasing the availability of retail fuel dispensers for E85 and
40.7intermediate ethanol-gasoline blends. No later than February 15, 2011, the commissioner
40.8shall report on activities and accomplishments under this section to the legislative
40.9committees with jurisdiction over agriculture finance.

40.10    Sec. 35. REPEALER.
40.11Minnesota Statutes 2008, section 17.231, is repealed.


40.14    Section 1. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision
40.15to read:
40.16    Subd. 6. Folding of the state flag for presentation or display. The following
40.17procedures constitute the proper way to fold the Minnesota State Flag for presentation or
40.18display. Fold the flag four times lengthwise so that one section displays the three stars
40.19of the state crest and the text "L'Etoile du Nord." Fold each side behind the displayed
40.20section at a 90-degree angle so that the display section forms a triangle. Take the section
40.21ending with the hoist and fold it at a 90-degree angle across the bottom of the display
40.22section and then fold the hoist back over so it is aligned with the middle of the display
40.23section. Fold the other protruding section directly upwards so that its edge is flush with
40.24the display section and then fold it upwards along a 45-degree angle so that a mirror
40.25of the display section triangle is formed. Fold the mirror section in half from the point
40.26upwards, then fold the remaining portion upwards, tucking it between the display section
40.27and the remainder of the flag.

40.28    Sec. 2. Minnesota Statutes 2008, section 1.141, is amended by adding a subdivision to
40.29read:
40.30    Subd. 7. Folding of the state flag for storage. When folding the Minnesota State
40.31Flag for storage, the proper procedure is to fold and store the flag in the same manner as
40.32the national colors.

41.1    Sec. 3. Minnesota Statutes 2009 Supplement, section 197.46, is amended to read:
41.2197.46 VETERANS PREFERENCE ACT; REMOVAL FORBIDDEN; RIGHT
41.3OF MANDAMUS.
41.4Any person whose rights may be in any way prejudiced contrary to any of the
41.5provisions of this section, shall be entitled to a writ of mandamus to remedy the wrong.
41.6No person holding a position by appointment or employment in the several counties,
41.7cities, towns, school districts and all other political subdivisions in the state, who is a
41.8veteran separated from the military service under honorable conditions, shall be removed
41.9from such position or employment except for incompetency or misconduct shown after a
41.10hearing, upon due notice, upon stated charges, in writing.
41.11Any veteran who has been notified of the intent to discharge the veteran from an
41.12appointed position or employment pursuant to this section shall be notified in writing of
41.13such intent to discharge and of the veteran's right to request a hearing within 60 days of
41.14receipt of the notice of intent to discharge. The failure of a veteran to request a hearing
41.15within the provided 60-day period shall constitute a waiver of the right to a hearing. Such
41.16failure shall also waive all other available legal remedies for reinstatement.
41.17Request for a hearing concerning such a discharge shall be made in writing and
41.18submitted by mail or personal service to the employment office of the concerned employer
41.19or other appropriate office or person.
41.20In all governmental subdivisions having an established civil service board or
41.21commission, or merit system authority, such hearing for removal or discharge shall be
41.22held before such civil service board or commission or merit system authority. Where no
41.23such civil service board or commission or merit system authority exists, such hearing
41.24shall be held by a board of three persons appointed as follows: one by the governmental
41.25subdivision, one by the veteran, and the third by the two so selected. In the event the two
41.26persons so selected do not appoint the third person within ten days after the appointment
41.27of the last of the two, then the judge of the district court of the county wherein the
41.28proceeding is pending, or if there be more than one judge in said county then any judge in
41.29chambers, shall have jurisdiction to appoint, and upon application of either or both of the
41.30two so selected shall appoint, the third person to the board and the person so appointed
41.31by the judge with the two first selected shall constitute the board. The veteran may
41.32appeal from the decision of the board upon the charges to the district court by causing
41.33written notice of appeal, stating the grounds thereof, to be served upon the governmental
41.34subdivision or officer making the charges within 15 days after notice of the decision and
41.35by filing the original notice of appeal with proof of service thereof in the office of the court
41.36administrator of the district court within ten days after service thereof. Nothing in section
42.1197.455 or this section shall be construed to apply to the position of private secretary,
42.2teacher, superintendent of schools, or one chief deputy of any elected official or head of
42.3a department, or to any person holding a strictly confidential relation to the appointing
42.4officer. The burden of establishing such relationship shall be upon the appointing officer
42.5in all proceedings and actions relating thereto.
42.6All officers, boards, commissions, and employees shall conform to, comply with,
42.7and aid in all proper ways in carrying into effect the provisions of section 197.455 and this
42.8section notwithstanding any laws, charter provisions, ordinances or rules to the contrary.
42.9Any willful violation of such sections by officers, officials, or employees is a misdemeanor.

42.10    Sec. 4. Minnesota Statutes 2008, section 197.481, subdivision 1, is amended to read:
42.11    Subdivision 1. Petition. A veteran, as defined by section 197.447, who has been
42.12denied rights by the state or any political subdivision, municipality, or other public agency
42.13of the state as authorized by the Veterans Preference Act under section 43A.11, 197.46,
42.14197.48, or 197.455 may petition the commissioner of veterans affairs for an order directing
42.15the agency to grant the veteran such relief the commissioner finds justified by said statutes.
42.16The petition shall be submitted via United States mail and contain:
42.17(1) the name, address, telephone number, and acknowledged notarized original
42.18signature of the veteran;
42.19(2) the names, telephone numbers, and addresses of all agencies and persons that
42.20will be directly affected if the petition is granted;
42.21(3) a concise statement of the facts giving rise to the veteran's rights and a concise
42.22statement showing the manner in which rights were denied;
42.23(4) a statement of the relief requested.; and
42.24(5) a copy of the veteran's Form DD214 (Separation or Discharge from Active Duty).

42.25    Sec. 5. Minnesota Statutes 2008, section 197.481, subdivision 2, is amended to read:
42.26    Subd. 2. Service. Upon receipt and authorization verification of a complete petition
42.27herein, the commissioner shall serve a copy of same, by certified mail, on all agencies and
42.28persons named therein and on such other agencies or persons as in the judgment of the
42.29commissioner should in justice be parties to the proceeding. The veteran and all agencies
42.30and persons served shall be parties to the proceeding.

42.31    Sec. 6. Minnesota Statutes 2008, section 197.481, subdivision 4, is amended to read:
42.32    Subd. 4. Hearing. The commissioner shall hold schedule a hearing on the petition
42.33of any party to be held or conducted within 20 120 days of serving, or being served with
43.1the authorized and complete petition. The veteran may demand an opportunity to be heard
43.2at a time set by the commissioner. A party who fails to demand such hearing within 20
43.3days shall be heard only by permission of the commissioner, except that if any party
43.4demands to be heard At the hearing, all parties shall have the right to be heard. A hearing
43.5hereunder shall be conducted and orders issued in accord with sections 14.57 to 14.60
43.6and 14.62, at the office of the commissioner or at a place the commissioner designates.
43.7The commissioner shall notify all parties, by certified mail, of the date, time, and place
43.8of the hearing.

43.9    Sec. 7. Minnesota Statutes 2008, section 197.60, subdivision 1, is amended to read:
43.10    Subdivision 1. Appointment; administrative support. The county board of any
43.11county except Clay County, or the county boards of any two or more counties acting
43.12pursuant to the provisions of section 197.602, shall appoint a veterans service officer
43.13and shall provide necessary clerical help, office space, equipment, and supplies for the
43.14officer, together with reimbursement for mileage and other traveling expenses necessarily
43.15incurred in the performance of duties; and may appoint one or more assistant veterans
43.16service officers who shall have the qualifications prescribed in are qualified under section
43.17197.601 . The county board of Clay County may appoint a veterans service officer and
43.18assistant veterans service officers as provided in this subdivision. The county board or
43.19boards shall provide necessary clerical help, office space, equipment, and supplies for the
43.20officer, and reimbursement for mileage and other traveling expenses necessarily incurred
43.21in the performance of duties. Subject to the direction and control of the veterans service
43.22officer, the assistant veterans service officer may exercise all the powers, and shall perform
43.23the duties, of the veterans service officer, and shall be is subject to all the provisions of
43.24sections 197.60 to 197.606 relating to a veterans service officer. Every county officer and
43.25agency shall cooperate with the veterans service officer and shall provide the officer with
43.26information necessary in connection with the performance of duties.
43.27EFFECTIVE DATE.This section is effective July 1, 2010.

43.28    Sec. 8. Minnesota Statutes 2008, section 197.601, is amended to read:
43.29197.601 QUALIFICATIONS OF VETERANS SERVICE OFFICERS.
43.30No person shall be appointed a veterans service officer or an assistant county
43.31veterans service officer or the equivalent under sections 197.60 to 197.606 without the
43.32following qualifications unless the person is:
43.33(1) residence in a resident of the state of Minnesota;
44.1(2) citizenship in a citizen of the United States; and
44.2(3) a veteran, as defined in section 197.447;.
44.3(4) education and training for the duties of veterans service officer;
44.4(5) knowledge of the law and the regulations and rulings of the United States
44.5Veterans Administration applicable to cases before it and the administration thereof.
44.6In addition, a person accepting appointment to the position of county veterans
44.7service officer or assistant county veterans service officer or other equivalent assistant
44.8position must agree to receive, within six months of the appointment, training and
44.9education for the duties of the position, including development of an effective working
44.10knowledge of relevant laws, rules, and regulations pertaining to the United States
44.11Department of Veterans Affairs, as applicable to veterans cases before the department and
44.12the administration of those cases.

44.13    Sec. 9. Minnesota Statutes 2008, section 197.605, is amended to read:
44.14197.605 SUPERVISION DEPARTMENT AS A RESOURCE TO COUNTIES.
44.15    Subdivision 1. Methods of operation Resources available. Every veterans service
44.16officer appointed under sections 197.60 to 197.606 shall be under the general supervision
44.17of the commissioner of veterans affairs as to methods of operation. The commissioner of
44.18veterans affairs shall make resources available within the Department of Veterans Affairs
44.19to every county that operates a county veterans service office, to assist the county with
44.20maintaining efficient and effective services to veterans. To receive available resources
44.21from the department, a county must formally request them from the commissioner and
44.22invite the commissioner or the commissioner's designee or designees into the county
44.23as necessary to provide those resources. The commissioner shall consult with the
44.24Association of Minnesota Counties and the Minnesota Association of County Veterans
44.25Service Officers in developing a list of resources available to counties in support of their
44.26county veterans service offices.
44.27    Subd. 2. Use of agencies to present claims. Every veterans service officer and
44.28assistant veterans service officer or the equivalent appointed under sections 197.60 to
44.29197.606 shall use the Minnesota Department of Veterans Affairs or any organization
44.30recognized by the United States Department of Veterans Administration Affairs, as may
44.31be designated by the veteran by power of attorney, in the presentation of claims to the
44.32United States Department of Veterans Administration Affairs for the benefits referred to
44.33in section 197.603.
44.34    Subd. 3. Rules. The commissioner of veterans affairs shall have authority to
44.35prescribe such rules as are necessary for compliance with this section and the efficient
45.1uniform administration of sections 197.60 to 197.606. Such rules shall not apply to the
45.2appointment, tenure, compensation, or working conditions of a veterans service officer
45.3appointed under sections 197.60 to 197.606.
45.4    Subd. 4. Certification. The commissioner of veterans affairs shall establish a
45.5certification process for veterans service officers. In doing so, the commissioner shall
45.6consult with the Minnesota Association of County Veterans Service Officers.

45.7    Sec. 10. Minnesota Statutes 2008, section 197.606, is amended to read:
45.8197.606 CLASSED AS COUNTY EMPLOYEES.
45.9Veterans service officers and assistant veterans service officers appointed under
45.10sections 197.60 to 197.606 are employees of the counties by which they are employed, and
45.11are under the exclusive jurisdiction and control of such those counties and the Department
45.12of Veterans Affairs as herein provided.

45.13    Sec. 11. Minnesota Statutes 2008, section 197.609, subdivision 1, is amended to read:
45.14    Subdivision 1. Establishment and administration. An education program for
45.15county veterans service officers is established to be administered by the commissioner of
45.16veterans affairs, with assistance and advice from the Minnesota Association of County
45.17Veterans Service Officers.

45.18    Sec. 12. Minnesota Statutes 2008, section 197.609, subdivision 2, is amended to read:
45.19    Subd. 2. Eligibility. To be eligible for the program in this section, a person must
45.20currently be employed as a county veterans service officer or assistant county veterans
45.21service officer, as authorized by sections 197.60 to 197.606, and be certified to serve in
45.22that position by the commissioner of veterans affairs or be serving a probationary period
45.23as authorized by section 197.60, subdivision 2.

45.24    Sec. 13. Laws 2009, chapter 93, article 1, section 14, subdivision 3, is amended to read:

45.25

Subd. 3.Veterans Cemeteries

1,500,000

45.26Of this amount, up to $500,000 is to
45.27acquire land located in Redwood County
45.28and determine a suitable site and plan
45.29for a state veteran cemetery in each of
45.30the following locations: northeastern
45.31Minnesota, southeastern Minnesota, and
46.1southwestern Minnesota for publicly owned
46.2veterans cemeteries, to be operated by
46.3the commissioner of veterans affairs. The
46.4commissioner also must seek donations of
46.5land for the cemeteries. In determining the
46.6site for each cemetery, the commissioner
46.7shall consider available public land options
46.8and shall seek proposals for donated land
46.9from interested counties, local communities,
46.10and individuals. For the veterans cemetery in
46.11southwestern Minnesota, the commissioner
46.12of veterans affairs must work with the
46.13commissioner of natural resources to secure
46.14a site for the cemetery at Fort Ridgely, if
46.15feasible, or on other public land in that
46.16immediate vicinity. The commissioner's
46.17planning process for a state veterans
46.18cemetery must include, at a minimum,
46.19the following actions: determining the
46.20need for the cemetery, investigating the
46.21availability of suitable land for the cemetery,
46.22assessment of impacts of the cemetery,
46.23encouragement of support from veteran
46.24service organizations and local governments,
46.25and preparation of a pre-application for a
46.26grant to the United States Department of
46.27Veterans Affairs for commitment of funding
46.28for establishing the cemetery. The balance of
46.29the appropriation is to predesign and design
46.30the cemeteries. Federal reimbursement of
46.31predesign and design costs is appropriated
46.32to the commissioner for asset preservation
46.33of veterans homes statewide, to be spent in
46.34accordance with Minnesota Statutes, section
46.3516B.307 .

47.1    Sec. 14. VETERANS CEMETERY; REPORT.
47.2By January 15, 2011, the commissioner shall report to the chair and ranking minority
47.3member of the house and senate committees having responsibility for veterans affairs with
47.4a progress report regarding the implementation of section 1.

47.5    Sec. 15. NONCOMPLIANCE.
47.6A county that on July 1, 2010, is noncompliant with regard to the qualifications of
47.7an assistant county veterans service officer or the equivalent, under Minnesota Statutes,
47.8section 197.601, must comply with the requirements of that section no later than June 30,
47.92013, and must remain in compliance after that date.

47.10    Sec. 16. EFFECTIVE DATE.
47.11Sections 3 to 11 and 14 are effective July 1, 2010. Sections 1, 2, 12, and 13 are
47.12effective the day following final enactment."
47.13Amend the title accordingly