Subd. 5. Administration and Financial Assistance

16,618,000

14,287,000

(a) $474,000 the first year and $474,000 the
second year are for payments to county and
district agricultural societies and associations
under Minnesota Statutes, section 38.02,
subdivision 1. Aid payments to county and
district agricultural societies and associations
must be disbursed no later than July 15 of each
year. These payments are the amount of aid
from the state for an annual fair held in the
previous calendar year.

(b) $350,000 the first year and $350,000 the
second year are for grants to the Minnesota
Agricultural Education and Leadership
Council for programs of the council under
Minnesota Statutes, chapter 41D. The base for
this appropriation is $250,000 in fiscal year
2026 and each year thereafter.

(c) $2,000 the first year is for a grant to the
Minnesota State Poultry Association. This is
a onetime appropriation. Notwithstanding
Minnesota Statutes, section 16A.28, any
unencumbered balance does not cancel at the
end of the first year and is available for the
second year.

(d) $18,000 the first year and $18,000 the
second year are for grants to the Minnesota
Livestock Breeders Association. This is a
onetime appropriation.

(e) $60,000 the first year and $60,000 the
second year are for grants to the Northern
Crops Institute that may be used to purchase
equipment. This is a onetime appropriation.

(f) $34,000 the first year and $34,000 the
second year are for grants to the Minnesota
State Horticultural Society. This is a onetime
appropriation.

(g) $25,000 the first year and $25,000 the
second year are for grants to the Center for
Rural Policy and Development. This is a
onetime appropriation.

(h) $75,000 the first year and $75,000 the
second year are appropriated from the general
fund to the commissioner of agriculture for
grants to the Minnesota Turf Seed Council for
basic and applied research on: (1) the
improved production of forage and turf seed
related to new and improved varieties; and (2)
native plants, including plant breeding,
nutrient management, pest management,
disease management, yield, and viability. The
Minnesota Turf Seed Council may subcontract
with a qualified third party for some or all of
the basic or applied research. Any
unencumbered balance does not cancel at the
end of the first year and is available in the
second year. The Minnesota Turf Seed Council
must prepare a report outlining the use of the
grant money and related accomplishments. No
later than January 15, 2025, the council must
submit the report to the chairs and ranking
minority members of the legislative
committees and divisions with jurisdiction
over agriculture finance and policy. This is a
onetime appropriation.

(i) $100,000 the first year and $100,000 the
second year are for grants to GreenSeam for
assistance to agriculture-related businesses to
support business retention and development,
business attraction and creation, talent
development and attraction, and regional
branding and promotion. These are onetime
appropriations. No later than December 1,
2024, and December 1, 2025, GreenSeam
must report to the chairs and ranking minority
members of the legislative committees with
jurisdiction over agriculture and rural
development with information on new and
existing businesses supported, number of new
jobs created in the region, new educational
partnerships and programs supported, and
regional branding and promotional efforts.

(j) $1,950,000 the first year and $1,950,000
the second year are for grants to Second
Harvest Heartland on behalf of Minnesota's
six Feeding America food banks for the
following purposes:

(1) at least $850,000 each year must be
allocated to purchase milk for distribution to
Minnesota's food shelves and other charitable
organizations that are eligible to receive food
from the food banks. Milk purchased under
the grants must be acquired from Minnesota
milk processors and based on low-cost bids.
The milk must be allocated to each Feeding
America food bank serving Minnesota
according to the formula used in the
distribution of United States Department of
Agriculture commodities under The
Emergency Food Assistance Program. Second
Harvest Heartland may enter into contracts or
agreements with food banks for shared funding
or reimbursement of the direct purchase of
milk. Each food bank that receives funding
under this clause may use up to two percent
for administrative expenses. Notwithstanding
Minnesota Statutes, section 16A.28, any
unencumbered balance the first year does not
cancel and is available the second year;

(2) to compensate agricultural producers and
processors for costs incurred to harvest and
package for transfer surplus fruits, vegetables,
and other agricultural commodities that would
otherwise go unharvested, be discarded, or be
sold in a secondary market. Surplus
commodities must be distributed statewide to
food shelves and other charitable organizations
that are eligible to receive food from the food
banks. Surplus food acquired under this clause
must be from Minnesota producers and
processors. Second Harvest Heartland may
use up to 15 percent of each grant awarded
under this clause for administrative and
transportation expenses; and

(3) to purchase and distribute protein products,
including but not limited to pork, poultry, beef,
dry legumes, cheese, and eggs to Minnesota's
food shelves and other charitable organizations
that are eligible to receive food from the food
banks. Second Harvest Heartland may use up
to two percent of each grant awarded under
this clause for administrative expenses. Protein
products purchased under the grants must be
acquired from Minnesota processors and
producers.

Second Harvest Heartland must submit
quarterly reports to the commissioner and the
chairs and ranking minority members of the
legislative committees with jurisdiction over
agriculture finance in the form prescribed by
the commissioner. The reports must include
but are not limited to information on the
expenditure of funds, the amount of milk or
other commodities purchased, and the
organizations to which this food was
distributed. The base for this appropriation is
$1,700,000 for fiscal year 2026 and each year
thereafter.

(k) $25,000 the first year and $25,000 the
second year are for grants to the Southern
Minnesota Initiative Foundation to promote
local foods through an annual event that raises