Legislative Update: Third Committee Deadline Set for Friday

It’s been a busy few weeks at the State Legislature, with various finance and policy bills receiving hearings before the third committee deadline on Friday. The following is an update on key bills the Minnesota Corn Growers Association has been following this session. Look for updates on these bills throughout the final weeks of the 2025 session.

Omnibus agriculture bill

Sponsored by Sen. Aric Putnam (DFL-St. Cloud), SF 2458 passed the Senate Agriculture Committee on a bipartisan voice vote this past Friday and was sent to the Senate Finance Committee. Its companion, HF 2446, was successfully negotiated by House Agriculture Committee Co-Chairs Paul Anderson (R-Starbuck) and Rick Hansen (DFL-South St. Paul) this past weekend, was given a walk through on Monday, and bill markup  will occur tomorrow.

The House bill would increase the Minnesota Department of Agriculture’s budget by $17 million for the 2026-27 biennium. It would maintain funding for the AGRI Biofuels Infrastructure Grant Program at $3 million annually but cut annual funding for the Soil Health Financial Assistance Program by half—from $639,000 to $319,000. The bill would also create a program to provide per-acre payments to farmers who reduce their application of commercial nitrogen fertilizers and apply an alternative qualifying product.

The Senate bill would maintain MDA’s 2026-27 budget at current levels. It would maintain annual funding for the soil health program at $639,000 and cut funding for the biofuel infrastructure grant program by $250,000 annually.

Permitting reform

SF 570  would provide state agencies with direction on timeframes to ensure the timely issuances and denials of permits. The bill does not make any changes to current environmental standards. The draft legislation focuses on timelines from permit application to issuance in a technology neutral way.

SF 570 is sponsored by Sen. Grant Hauschild (DFL-Hermantown).The bill was heard in the Senate Environment Committee on Friday and has been included in the Senate Omnibus Environment, Climate, and Legacy omnibus bill. The committee will mark-up the bill on Thursday.

SAF tax credit

Sponsored by Sen. Ann Rest (DFL-New Hope) and Rep. Greg Davids (R-Preston), SF 1312/HF 1669 would increase funding for the state’s sustainable aviation fuel (SAF) tax credit and extend the credit to 2035. The bill has received hearings in both the House and Senate taxes committees and is a top priority of Governor Walz and Taxes Committee Chair Rest.

Buffer property tax

Sponsored by Sen. Aric Putnam (DFL-St. Cloud) and Rep. Greg Davids (R-Preston), SF 960/HF 1680 aims to reduce or eliminate the property taxes paid on acres in compliance with the 2015 buffer law. The bill was heard in both bodies earlier this session and any action on the bill will wait until the legislative break.