Ag committee unveils $172 million funding bill for upcoming biennium

In his opening remarks Monday on the omnibus agriculture finance bill that he sponsors, Rep. Paul Anderson (R-Starbuck) gave thanks.

He thanked House staff who worked throughout the weekend with himself and Rep. Rick Hansen (DFL-South St. Paul), his co-chair on the House Agriculture Finance and Policy Committee, to craft a budget bill that came together through good faith and compromise by both parties.

“A real team effort by both teams, by both sides,” he said.

The bill that emerged calls for a $172.29 million appropriation from the General Fund to fund the Agriculture Department and several other associated state agencies under the purview of the committee. Of the total, $168.79 million is new funding and $3.5 million is revenue adjustments/carryforward funds.

[MORE: View the financial spreadsheet]

The amount represents a $17 million increase over the department’s current budget and matches the 2026-27 biennial budget target given to the committee by House leadership.

The committee walked through HF2446, as amended by a delete-all amendment. Hansen said the committee plans to hear public testimony Wednesday, consider amendments and vote on the bill.

The bottom line

The proposal calls for the $172.29 million appropriation from the General to be sent to the following agencies in the 2026-27 biennium:

• $147.93 million to the Department of Agriculture;
• $13.53 million to the Board of Animal Health;
• $8.82 million to the Agricultural Utilization Research Institute; and
• $2 million to the Office of Broadband Development to increase high-speed Internet access across the state.

There would also be two cancelations of previously appropriated amounts: A $3 million cancelation of a fiscal year 2024 appropriation to the green fertilizer program; and a $500,000 cancelation of a fiscal year 2025 appropriation to the Dairy Assistance, Investment, Relief Initiative.

The bill would also transfer $4 million from the General Fund in fiscal year 2026 to the agricultural emergency account to prevent the spread of avian influenza.

Some notable appropriations proposed in the bill include:

• $6 million for grants that would enable retailers to dispense biofuels;
• $3.1 million for a wastewater treatment plant in Litchfield;
• $2.7 million to establish AGRI support and AGRI works programs;
• $2 million to fund the good food access program;
• $1.5 million to counties to hire agriculture inspectors;
• $1.22 million to establish a new biofertilizer innovation and efficiency program;
• $450,000 to help poultry farmers purchase lasers or other devices to keep avian flu from infecting their flocks; and
• $200,000 for mental health outreach to farmers and other agricultural workers.

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The following are selected bills that have been incorporated in part or in whole into the omnibus agriculture and broadband finance bill:

• HF39 (Anderson, P.H.)
• HF43 (Anderson, P.H.)
• HF271 (Burkel)
• HF919 (Van Binsbergen)
• HF1101 (Anderson, P.H.)
• HF1503 (Burkel)
• HF1702 (Anderson, P.H.)
• HF2102 (Lee, F.)
• HF2579 (Hansen)
• HF2683 (Anderson, P.H.)
• HF2778 (Hansen)
• HF2916 (Smith)
• HF3124 (Vang)