SF882

Purpose

• To provide state funding for the soil health financial assistance program administered by the Minnesota Department of Agriculture.

Main Provisions

• Funding source and scope: The general fund provides appropriations in fiscal years 2026 and 2027 for the soil health financial assistance program, under Minnesota Statutes section 17.134.
• Recipient cap: The commissioner of agriculture may award no more than $50,000 in a given year to a single recipient.
• Administrative costs: Up to 6.5% of the appropriation may be used to cover program administration costs.
• Preservation of unspent funds: Any unencumbered balance at the end of fiscal year 2026 does not cancel and is available for use in fiscal year 2027.
• Grant deadlines and availability: Grants funded by these appropriations, if encumbered by contract on or before June 30, 2027, remain available for use through June 30, 2029.

Funding and Administration Details

• Relationship to existing law: The appropriation is for the soil health financial assistance program as defined by Minnesota Statutes.
• Administrative control: The commissioner of agriculture administers the funds and determines eligibility and award amounts within the stated caps.

Timeline and Availability

• Fiscal years covered: 2026 and 2027 for appropriation.
• Carryover and extension: Unspent funds carry to the next year (2027) and grants with contracts by June 30, 2027 can be used through June 30, 2029.

Summary of Intent

• The bill aims to support soil health initiatives by funding grants through the soil health financial assistance program, with size limits per recipient, a stated share for administration, and clear carryover and grant availability timelines.

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Relevant Terms - soil health financial assistance program - general fund - commissioner of agriculture - Minnesota Statutes section 17.134 - appropriation - fiscal year 2026 - fiscal year 2027 - $50,000 - per recipient - administrative costs - 6.5% - unencumbered balance - end of fiscal year 2026 - available in fiscal year 2027 - encumbered under contract on or before June 30, 2027 - June 30, 2029