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Ag. policy bill passes House

Wednesday, May 18, 2016

 

ST. PAUL – An omnibus agriculture policy bill authored by Rep. Paul Anderson, Starbuck, featuring provisions related to the state's Farmer-Lender Mediation Act passed the House 127-0 on Monday.

The omnibus package provides a two-year extension for the Farmer-Lender Mediation program, through June 30, 2018. The program was created in 1986 in order to help farmers renegotiate, restructure, or resolve farm debt. The act requires lenders to offer mediation before foreclosing on an agriculture property through an impartial party. Anderson said this program could be increasingly popular in upcoming years as the impacts of low commodity prices accumulate.

The bill (H.F. 3231 ) also establishes a 15-person commission, including the Commissioner of Agriculture or its appointee, to examine the program and report recommendations for improvements. The Farmer-Lender Mediation program has been extended 19 times by the Legislature, but Anderson said changes have not occurred to help the program keep up with the times. The commission would be comprised of farmers and bankers, along with representation from the University of Minnesota Extension, Farm Business Management and other major farm organizations.

A joint House-Senate conference committee is forming to reconcile differences between the bodies' respective proposals.

"The main item we need to work out in conference committee is the task force that will study the program," Anderson said. "Because of issues with funding, the Senate didn't include the task force in its bill. However, the Department of Agriculture has agreed to convene the group at no additional cost, so we should be able to reach agreement quickly on that key provision."

Another provision establishes the Farm Safety Initiative to analyze farm safety issues. The Department of Agriculture would compile information, including common causes of farm accidents, and form a list of farm safety programs by Oct. 1.

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