Bill Text: MN SF1074 | 2011-2012 | 87th Legislature | Introduced
Bill Title: Dairy research, teaching, and consumer education authority establishment
Sponsorship: Bipartisan Bill
Status: (Introduced - Dead) 2011-03-31 - Referred to Agriculture and Rural Economies [SF1074 Detail]
Download: Minnesota-2011-SF1074-Introduced.html
1.2relating to agriculture; establishing the Dairy Research, Teaching, and Consumer
1.3Education Authority; specifying duties and procedures;proposing coding for
1.4new law as Minnesota Statutes, chapter 32C.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. [32C.01] PURPOSE.
1.7The legislature determines that it is in the public interest and an objective of the state
1.8that dairy production be enhanced by focusing on dairy systems that produce high quality,
1.9nutritious dairy products to promote human health and fitness; optimize animal welfare;
1.10sustain natural resources; and sustain profitability in all segments of the dairy industry
1.11for continued economic growth of the state's economy. The legislature also determines
1.12that the conduct of scientific research and the transfer of data and scientific findings about
1.13milk production, dairy product development, animal husbandry practices, and benefits
1.14to human nutrition to policymakers, the dairy industry, milk producers, and citizens of
1.15the state is of significant public interest.
1.16The legislature finds that the objectives of this chapter can best be accomplished by
1.17forming a public corporation to be known as the Dairy Research, Teaching, and Consumer
1.18Education Authority, referred to in this chapter as "the authority," and that the authority be
1.19given the powers, rights, privileges, and immunities provided in this chapter, including the
1.20power to cooperate and contract with a Minnesota nonprofit corporation to the extent and
1.21for the purposes provided for in this chapter.
1.22 Sec. 2. [32C.02] ORGANIZATION.
2.1 Subdivision 1. Establishment. The Dairy Research, Teaching, and Consumer
2.2Education Authority is established as a public corporation. The business of the authority
2.3must be conducted under the name "Dairy Research, Teaching, and Consumer Education
2.4Authority."
2.5 Subd. 2. Board of directors. The authority is governed by a board of nine directors.
2.6The term of a director, except as otherwise provided in this subdivision, is four years.
2.7The commissioner of agriculture is a member of the board. The governor shall appoint
2.8four members of the board. Two of the members appointed by the governor must be
2.9currently engaged in the business of operating a dairy. Two of the members appointed by
2.10the governor must be representatives of Minnesota-based corporations actively engaged
2.11in working with or serving Minnesota's dairy industry. The dean of the University of
2.12Minnesota College of Food, Agriculture and Natural Resource Sciences, or the dean's
2.13designee, is a member of the board. One member of the board must be a representative
2.14of a state trade association that represents the interests of milk producers. One member
2.15of the board must be a representative of the Minnesota Division of the Midwest Dairy
2.16Council. One member of the board must be a member of the agricultural education
2.17faculty of the Minnesota State Colleges and Universities System. The four members of
2.18the initial board of directors who are appointed by the governor must be appointed for
2.19terms of four years, and the other four members must be appointed for an initial term of
2.20two years. Vacancies for the governor's appointed positions on the board must be filled by
2.21appointment of the governor. Vacancies for other positions on the board must be filled
2.22by the named represented entities. Board members must not be compensated for their
2.23services other than to be reimbursed for reasonable expenses incurred in connection with
2.24their duties as board members. This reimbursement must be reviewed annually by the
2.25commissioner of management and budget.
2.26 Subd. 3. Bylaws. The board must adopt bylaws necessary for the conduct of the
2.27business of the authority, consistent with this chapter.
2.28 Subd. 4. Place of business. The board must locate and maintain the authority's
2.29place of business within the state.
2.30 Subd. 5. Chair. The board must annually elect from among its members a chair and
2.31other officers necessary for the performance of its duties.
2.32 Subd. 6. Meetings. The board must meet at least four times each year and may hold
2.33additional meetings upon giving notice in accordance with the bylaws of the authority.
2.34Board meetings are subject to chapter 13D.
3.1 Subd. 7. Conflict of interest. A director, employee, or officer of the authority may
3.2not participate in or vote on a decision of the board relating to an organization in which
3.3the director has either a direct or indirect financial interest.
3.4 Subd. 8. Economic interest statements. Directors and officers of the authority are
3.5public officials for the purpose of section 10A.09, and must file statements of economic
3.6interest with the Campaign Finance and Public Disclosure Board.
3.7 Sec. 3. [32C.03] POWERS.
3.8 Subdivision 1. General corporate powers. (a) The authority has the powers granted
3.9to a business corporation by section 302A.161, subdivisions 3; 4; 5; 7; 8; 9; 11; 12; 13,
3.10except that the authority may not act as a general partner in any partnership; 14; 15; 16; 17;
3.1118; and 22, and the powers necessary or convenient to exercise the enumerated powers.
3.12(b) Section 302A.041 applies to this chapter and the authority in the same manner
3.13that it applies to business corporations established under chapter 302A.
3.14 Subd. 2. Facility design; development and operation. The authority may enter into
3.15management contracts, lease agreements, or both, with a Minnesota nonprofit corporation
3.16to design, develop, and operate a facility to further the purposes of this chapter at the site
3.17determined by the board and on the terms that the board finds desirable. The board must
3.18identify and acquire a site that will accommodate the following facilities and activities:
3.19(1) housing for bred and lactating animals;
3.20(2) milking parlor;
3.21(3) automatic milking systems;
3.22(4) cross-ventilated and natural-ventilated housing;
3.23(5) transition cow housing;
3.24(6) special needs and hospital housing;
3.25(7) classrooms and a conference room;
3.26(8) dairy processing facility with retail;
3.27(9) visitors center;
3.28(10) student housing;
3.29(11) laboratory facilities;
3.30(12) space to accommodate installation of an anaerobic digester system to research
3.31energy production from feedstock produced on-site or from off-site sources; and
3.32(13) space for feed storage to allow for research capabilities at the facility.
3.33Notwithstanding the provisions of section 32C.02, subdivision 7, relating to conflict
3.34of interest, a director or officer of the authority who is also a director, officer, or member
3.35of a nonprofit corporation with which the authority enters into management contracts or
4.1lease agreements may participate in and vote on the decision of the board as to the terms
4.2and conditions of management contracts or lease agreements between the Minnesota
4.3nonprofit corporation and the authority.
4.4 Subd. 3. Funds. The authority may accept and use gifts, grants, or contributions
4.5from any source to support operation of the facility. Unless otherwise restricted by the
4.6terms of a gift or bequest, the board may sell, exchange, or otherwise dispose of, and
4.7invest or reinvest the money, securities, or other property given or bequeathed to it. The
4.8principal of these funds, the income from them, and all other revenues received by the
4.9authority from any nonstate source must be placed in depositories chosen by the board
4.10and are subject to expenditure for the board's purposes. Expenditures of $25,000 or more
4.11must be approved by the full board.
4.12 Subd. 4. Animals; regulation. The authority must comply with all applicable
4.13laws and rules relating to quarantine, transportation, examination, habitation, care, and
4.14treatment of animals.
4.15 Sec. 4. [32C.04] EMPLOYEES.
4.16(a) The board may hire an executive director of the authority and other employees
4.17the board considers necessary to carry out the program, conduct research, and operate and
4.18maintain facilities of the authority.
4.19(b) Persons employed by contractors or lessees are not state employees and may
4.20not participate in state retirement, deferred compensation, insurance, or other plans that
4.21apply to state employees generally and are not subject to regulation by the Campaign
4.22Finance and Public Disclosure Board, provided, however, that any employee of the state
4.23or any employee or faculty member of the University of Minnesota or Minnesota State
4.24Colleges and Universities System who teaches or conducts research at the authority does
4.25not have their status as employees of the state, University of Minnesota, or Minnesota
4.26State Colleges and Universities System interrupted by virtue of having their employment
4.27activity take place at facilities owned by the authority.
4.28 Sec. 5. [32C.05] ACCOUNTS; AUDITS.
4.29The authority may establish funds and accounts that it determines to be reasonable
4.30and necessary to conduct the business of the authority. The board shall provide for and
4.31pay the cost of an independent annual audit of its official books and records by the state
4.32auditor. A copy of this audit must be filed with the secretary of state.
4.33 Sec. 6. [32C.06] ANNUAL REPORT.
5.1The board shall submit a report to the chairs of the senate and house of
5.2representatives agriculture committees and the governor on the activities of the authority
5.3and its contractors and lessees by February 1 of each year. The report must include at
5.4least the following:
5.5(1) a description of each of the programs that the authority has provided or
5.6undertaken at some time during the previous year;
5.7(2) an identification of the sources of funding in the previous year for the authority's
5.8programs including federal, state, and local government, foundation, gifts, donations,
5.9fees, and all other sources;
5.10(3) a description of the administrative expenses of the authority during the previous
5.11year;
5.12(4) a listing of the assets and liabilities of the authority at the end of the previous
5.13fiscal year;
5.14(5) a description of any changes made to the operational plan during the previous
5.15year; and
5.16(6) a description of any newly adopted or significant changes to bylaws, policies,
5.17rules, or programs created or administered by the authority during the previous year.
5.18Reports must be made to the legislature as required by section 3.195.
5.19 Sec. 7. [32C.07] PROPERTY TAX EXEMPTION.
5.20Property of the authority is exempt from taxation on its value in the same manner as
5.21property listed in section 272.02.
1.3Education Authority; specifying duties and procedures;proposing coding for
1.4new law as Minnesota Statutes, chapter 32C.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. [32C.01] PURPOSE.
1.7The legislature determines that it is in the public interest and an objective of the state
1.8that dairy production be enhanced by focusing on dairy systems that produce high quality,
1.9nutritious dairy products to promote human health and fitness; optimize animal welfare;
1.10sustain natural resources; and sustain profitability in all segments of the dairy industry
1.11for continued economic growth of the state's economy. The legislature also determines
1.12that the conduct of scientific research and the transfer of data and scientific findings about
1.13milk production, dairy product development, animal husbandry practices, and benefits
1.14to human nutrition to policymakers, the dairy industry, milk producers, and citizens of
1.15the state is of significant public interest.
1.16The legislature finds that the objectives of this chapter can best be accomplished by
1.17forming a public corporation to be known as the Dairy Research, Teaching, and Consumer
1.18Education Authority, referred to in this chapter as "the authority," and that the authority be
1.19given the powers, rights, privileges, and immunities provided in this chapter, including the
1.20power to cooperate and contract with a Minnesota nonprofit corporation to the extent and
1.21for the purposes provided for in this chapter.
1.22 Sec. 2. [32C.02] ORGANIZATION.
2.1 Subdivision 1. Establishment. The Dairy Research, Teaching, and Consumer
2.2Education Authority is established as a public corporation. The business of the authority
2.3must be conducted under the name "Dairy Research, Teaching, and Consumer Education
2.4Authority."
2.5 Subd. 2. Board of directors. The authority is governed by a board of nine directors.
2.6The term of a director, except as otherwise provided in this subdivision, is four years.
2.7The commissioner of agriculture is a member of the board. The governor shall appoint
2.8four members of the board. Two of the members appointed by the governor must be
2.9currently engaged in the business of operating a dairy. Two of the members appointed by
2.10the governor must be representatives of Minnesota-based corporations actively engaged
2.11in working with or serving Minnesota's dairy industry. The dean of the University of
2.12Minnesota College of Food, Agriculture and Natural Resource Sciences, or the dean's
2.13designee, is a member of the board. One member of the board must be a representative
2.14of a state trade association that represents the interests of milk producers. One member
2.15of the board must be a representative of the Minnesota Division of the Midwest Dairy
2.16Council. One member of the board must be a member of the agricultural education
2.17faculty of the Minnesota State Colleges and Universities System. The four members of
2.18the initial board of directors who are appointed by the governor must be appointed for
2.19terms of four years, and the other four members must be appointed for an initial term of
2.20two years. Vacancies for the governor's appointed positions on the board must be filled by
2.21appointment of the governor. Vacancies for other positions on the board must be filled
2.22by the named represented entities. Board members must not be compensated for their
2.23services other than to be reimbursed for reasonable expenses incurred in connection with
2.24their duties as board members. This reimbursement must be reviewed annually by the
2.25commissioner of management and budget.
2.26 Subd. 3. Bylaws. The board must adopt bylaws necessary for the conduct of the
2.27business of the authority, consistent with this chapter.
2.28 Subd. 4. Place of business. The board must locate and maintain the authority's
2.29place of business within the state.
2.30 Subd. 5. Chair. The board must annually elect from among its members a chair and
2.31other officers necessary for the performance of its duties.
2.32 Subd. 6. Meetings. The board must meet at least four times each year and may hold
2.33additional meetings upon giving notice in accordance with the bylaws of the authority.
2.34Board meetings are subject to chapter 13D.
3.1 Subd. 7. Conflict of interest. A director, employee, or officer of the authority may
3.2not participate in or vote on a decision of the board relating to an organization in which
3.3the director has either a direct or indirect financial interest.
3.4 Subd. 8. Economic interest statements. Directors and officers of the authority are
3.5public officials for the purpose of section 10A.09, and must file statements of economic
3.6interest with the Campaign Finance and Public Disclosure Board.
3.7 Sec. 3. [32C.03] POWERS.
3.8 Subdivision 1. General corporate powers. (a) The authority has the powers granted
3.9to a business corporation by section 302A.161, subdivisions 3; 4; 5; 7; 8; 9; 11; 12; 13,
3.10except that the authority may not act as a general partner in any partnership; 14; 15; 16; 17;
3.1118; and 22, and the powers necessary or convenient to exercise the enumerated powers.
3.12(b) Section 302A.041 applies to this chapter and the authority in the same manner
3.13that it applies to business corporations established under chapter 302A.
3.14 Subd. 2. Facility design; development and operation. The authority may enter into
3.15management contracts, lease agreements, or both, with a Minnesota nonprofit corporation
3.16to design, develop, and operate a facility to further the purposes of this chapter at the site
3.17determined by the board and on the terms that the board finds desirable. The board must
3.18identify and acquire a site that will accommodate the following facilities and activities:
3.19(1) housing for bred and lactating animals;
3.20(2) milking parlor;
3.21(3) automatic milking systems;
3.22(4) cross-ventilated and natural-ventilated housing;
3.23(5) transition cow housing;
3.24(6) special needs and hospital housing;
3.25(7) classrooms and a conference room;
3.26(8) dairy processing facility with retail;
3.27(9) visitors center;
3.28(10) student housing;
3.29(11) laboratory facilities;
3.30(12) space to accommodate installation of an anaerobic digester system to research
3.31energy production from feedstock produced on-site or from off-site sources; and
3.32(13) space for feed storage to allow for research capabilities at the facility.
3.33Notwithstanding the provisions of section 32C.02, subdivision 7, relating to conflict
3.34of interest, a director or officer of the authority who is also a director, officer, or member
3.35of a nonprofit corporation with which the authority enters into management contracts or
4.1lease agreements may participate in and vote on the decision of the board as to the terms
4.2and conditions of management contracts or lease agreements between the Minnesota
4.3nonprofit corporation and the authority.
4.4 Subd. 3. Funds. The authority may accept and use gifts, grants, or contributions
4.5from any source to support operation of the facility. Unless otherwise restricted by the
4.6terms of a gift or bequest, the board may sell, exchange, or otherwise dispose of, and
4.7invest or reinvest the money, securities, or other property given or bequeathed to it. The
4.8principal of these funds, the income from them, and all other revenues received by the
4.9authority from any nonstate source must be placed in depositories chosen by the board
4.10and are subject to expenditure for the board's purposes. Expenditures of $25,000 or more
4.11must be approved by the full board.
4.12 Subd. 4. Animals; regulation. The authority must comply with all applicable
4.13laws and rules relating to quarantine, transportation, examination, habitation, care, and
4.14treatment of animals.
4.15 Sec. 4. [32C.04] EMPLOYEES.
4.16(a) The board may hire an executive director of the authority and other employees
4.17the board considers necessary to carry out the program, conduct research, and operate and
4.18maintain facilities of the authority.
4.19(b) Persons employed by contractors or lessees are not state employees and may
4.20not participate in state retirement, deferred compensation, insurance, or other plans that
4.21apply to state employees generally and are not subject to regulation by the Campaign
4.22Finance and Public Disclosure Board, provided, however, that any employee of the state
4.23or any employee or faculty member of the University of Minnesota or Minnesota State
4.24Colleges and Universities System who teaches or conducts research at the authority does
4.25not have their status as employees of the state, University of Minnesota, or Minnesota
4.26State Colleges and Universities System interrupted by virtue of having their employment
4.27activity take place at facilities owned by the authority.
4.28 Sec. 5. [32C.05] ACCOUNTS; AUDITS.
4.29The authority may establish funds and accounts that it determines to be reasonable
4.30and necessary to conduct the business of the authority. The board shall provide for and
4.31pay the cost of an independent annual audit of its official books and records by the state
4.32auditor. A copy of this audit must be filed with the secretary of state.
4.33 Sec. 6. [32C.06] ANNUAL REPORT.
5.1The board shall submit a report to the chairs of the senate and house of
5.2representatives agriculture committees and the governor on the activities of the authority
5.3and its contractors and lessees by February 1 of each year. The report must include at
5.4least the following:
5.5(1) a description of each of the programs that the authority has provided or
5.6undertaken at some time during the previous year;
5.7(2) an identification of the sources of funding in the previous year for the authority's
5.8programs including federal, state, and local government, foundation, gifts, donations,
5.9fees, and all other sources;
5.10(3) a description of the administrative expenses of the authority during the previous
5.11year;
5.12(4) a listing of the assets and liabilities of the authority at the end of the previous
5.13fiscal year;
5.14(5) a description of any changes made to the operational plan during the previous
5.15year; and
5.16(6) a description of any newly adopted or significant changes to bylaws, policies,
5.17rules, or programs created or administered by the authority during the previous year.
5.18Reports must be made to the legislature as required by section 3.195.
5.19 Sec. 7. [32C.07] PROPERTY TAX EXEMPTION.
5.20Property of the authority is exempt from taxation on its value in the same manner as
5.21property listed in section 272.02.
