Purpose of the Bill

This bill is designed to manage the financial balances within Minnesota's grain indemnity account, ensuring excess funds are redirected to support agricultural emergencies.

Main Provisions

• Collection of Premiums: The bill outlines conditions for collecting grain indemnity premiums from producers. These premiums are collected to maintain a balance in the grain indemnity account.
• Suspension of Premium Collection: Premium collection will cease once the account balance exceeds $15,000,000, and it will resume only if the balance falls below $8,000,000.
• Public Notification: The Commissioner of Agriculture is required to publicly announce the intention to collect or cease the collection of these premiums.
• Fund Transfer: If the account balance exceeds $15,000,000 by June 30, and no claims have been paid in the last two years, the excess funds must be transferred to the agricultural emergency account.

Significant Changes

• The bill introduces a mechanism for transferring surplus funds from the grain indemnity account to the agricultural emergency account, which was not previously described in existing law.

Relevant Terms

• Grain indemnity account
• Premium collection
• Agricultural emergency account
• Surplus funds transfer
• Economic hardship suspension