Legislative Update: House votes to support DAIRI fix
Three full weeks remain in the state legislative session and bills are starting to clear the legislative process and make their way to the governor. As always, MFU is working hard to make sure our grassroots priorities are acted on this year.
On April 20, the Minnesota House took a final, broadly bipartisan vote (129-4) on a bill to provide a modest fix for the Minnesota’s Dairy Assistance, Investment, Relief Initiative (DAIRI) (SF3832). The bill, authored by Sen. Rob Kupec, DFL-SD4, and Rep. Nathan Nelson, R-HD11B, would ensure that farmers who started dairying after 2022 would be eligible for the program. This comes after the Senate passed the bill unanimously on March 17. The bill is now among the few bills on their way to be signed by the governor.
“We appreciate that this program is targeted at family-sized dairy farms,” MFU President Gary Wertish shared with House members in a letter. “That will ensure that the money goes further to keeping more farms in business.”
Also among those bills cleared for a signature from the governor are technical fixes for the bill to expand the scope of practice for veterinary technicians, helping address the shortage of large animal veterinarians in rural Minnesota. House Ag Committee Co-Chair Paul Anderson, R-HD12A, and Kupec championed the fixes and MFU’s Brittney Johnson of Otter Tail County gave supportive testimony in the House and Senate.
Senate ag bill moves forward
The House has not yet advanced an agriculture finance omnibus, but Senate Agriculture Committee Chair Aric Putnam’s, DFL-SD14, supplemental Agriculture Finance Omnibus (SF5073) continues to move forward. On April 24, Finance Committee Chair John Marty, DFL-SD40, will hold a final hearing on the proposal before it heads to the floor for a vote by the full Senate.
The package includes three significant priorities for MFU including an extension to Farmer-Lender Mediation, a fix for the Down Payment Assistance program, and an extension for MDA’s Meat Processing Train and Retain Grants. You can read about the package in last week’s e-news.
“At our State Convention in November, we heard loud and clear that our members are under financial stress due to the ongoing trade war, depressed commodity prices, cancelled federal contracts, and increased prices for everything from inputs to healthcare,” Wertish wrote in a letter to committee members. “While the federal government plays an outsized role in shaping agriculture markets and creating stability, there are actions we can take on the state level to help family farmers.”
The Senate also acted on non-budget priorities as part of Putnam’s Agriculture Policy Bill (SF4561). This included a provision to define agrivoltaics.
“As demand for energy grows, we support policies that help farmers and other rural Minnesotans share the wealth created through clean energy generation, contributing to a more sustainable and distributed grid and economy,” Wertish said in written testimony in support of the provision.
He also shared support for a provision we’ve long advocated for, requiring accurate labeling of cell-cultured meat.
“Our members take great pride in their work to raise livestock and take great effort in being transparent and accountable to the consumers they serve,” he said. “We believe that clear, informative labeling will help consumers make informed decisions and ensure a level playing field.”
Thank you to Hannah Bernhardt of Pine County and Tessa Parks of Rice County for testifying in support of this provision in committee.
Bill on farm wineries heard
MFU members also came to the Capitol this week to testify on a fix that would allow farm wineries to maintain their agriculture tax classification. As Debbie Morrison of Sapsucker Farms and Yellow Belly Cidery explained to the Senate Tax Committee in making the case for Sen. Jason Rarick’s, R-SD11, bill (SF5139).
“[This bill] would affirm that farm wineries and their production facilities are an agriculture use of farmland and allow our property tax classification to remain agricultural for the winery production facility just as our specific licensing requirements is in statute,” Morrison said.
The tax committees are unique in not adhering to legislative deadlines and proposals could continue to be heard up until committees release a potential supplemental tax package. For Senate Tax Chair Anne Rest’s part, she’s committed that her bill will include a fix to the lift the cap on the Beginning Farmer Tax Credit, MFU’s top priority for the committee.
As always, this is just a snapshot of our legislative work. If you have questions, thoughts or concerns, please reach out at stu@mfu.org or (320) 232-3047.