1.1 A bill for an act 1.2 relating to agriculture; amending cottage foods exemption; requiring reports; 1.3 amending Minnesota Statutes 2024, section 28A.152, subdivisions 1, 2, 3, 4, by 1.4 adding a subdivision. 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. Minnesota Statutes 2024, section 28A.152, subdivision 1, is amended to read: 1.7 Subdivision 1.Licensing provisions applicability.(a) The licensing provisions of 1.8sections 28A.01 to 28A.16 do not apply to the following: 1.9 (1) an individual a person who prepares and sells food that is not potentially hazardous 1.10food, as defined in Minnesota Rules, part 4626.0020, subpart 62, if the following 1.11requirements are met: 1.12 (i) the prepared food offered for sale under this clause is labeled to accurately reflect 1.13the name and the registration number or address of the individual person preparing and 1.14selling the food, the date on which the food was prepared, the ingredients and any possible 1.15allergens, and the statement "These products are homemade and not subject to state 1.16inspection."; and 1.17 (ii) the individual person displays at the point of sale a clearly legible sign or placard 1.18stating: "These products are homemade and not subject to state inspection."; and 1.19 (2) an individual a person who prepares and sells home-processed and home-canned 1.20food products if the following requirements are met: 1.21 (i) the products are pickles, vegetables, or fruits having an equilibrium pH value of 4.6 1.22or lower or a water activity value of .85 or less; 1Section 1. REVISOR BD/VJ 25-0353202/07/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 1954 NINETY-FOURTH SESSION Authored by Roach03/06/2025 The bill was read for the first time and referred to the Committee on Agriculture Finance and Policy 2.1 (ii) the products are home-processed and home-canned in Minnesota; 2.2 (iii) the individual person displays at the point of sale a clearly legible sign or placard 2.3stating: "These products are homemade and not subject to state inspection."; and 2.4 (iv) each container of the product sold or offered for sale under this clause is accurately 2.5labeled to provide the name and the registration number or address of the individual person 2.6who processed and canned the goods, the date on which the goods were processed and 2.7canned, ingredients and any possible allergens, and the statement "These products are 2.8homemade and not subject to state inspection." 2.9 (b) An individual A person who qualifies for an exemption under paragraph (a), clause 2.10(2), is also exempt from the provisions of sections 31.31 and 31.392. 2.11 (c) An individual A person who qualifies for an exemption under paragraph (a) may 2.12organize the individual's cottage food business as a business entity recognized by state law. 2.13 Sec. 2. Minnesota Statutes 2024, section 28A.152, subdivision 2, is amended to read: 2.14 Subd. 2.Direct sales to consumers.(a) An individual A person qualifying for an 2.15exemption under subdivision 1 may sell the exempt food: 2.16 (1) directly to the ultimate consumer, including but not limited to at a community event 2.17or farmers' market; 2.18 (2) directly from the individual's person's home to the ultimate consumer, to the extent 2.19allowed by local ordinance; or 2.20 (3) through donation to a community event with the purpose of fundraising for an 2.21individual, or fundraising for an educational, charitable, or religious organization. 2.22 (b) If an exempt food product will be delivered to the ultimate consumer upon sale of 2.23the food product, the individual person who prepared the food product must be the person 2.24who delivers the food product to the ultimate consumer may deliver the food or the food 2.25product may be delivered by mail or commercial delivery. 2.26 (c) Food products exempt under subdivision 1, paragraph (a), clause (2), may not be 2.27sold outside of Minnesota. 2.28 (d) Food products exempt under subdivision 1 may be sold over the Internet but must 2.29be delivered directly to the ultimate consumer by the individual who prepared the food 2.30product. The statement "These products are homemade and not subject to state inspection." 2.31must be displayed on the website that offers the exempt foods for purchase. 2Sec. 2. REVISOR BD/VJ 25-0353202/07/25 3.1 Sec. 3. Minnesota Statutes 2024, section 28A.152, subdivision 3, is amended to read: 3.2 Subd. 3.Limitation on sales.An individual A person selling exempt foods under this 3.3section is limited to total sales with gross receipts of $78,000 $85,000 or less in a calendar 3.4year. 3.5 Sec. 4. Minnesota Statutes 2024, section 28A.152, subdivision 4, is amended to read: 3.6 Subd. 4.Registration.An individual A person who prepares and sells exempt food 3.7under subdivision 1 must register annually with the commissioner. The commissioner shall 3.8register an individual a person within 30 days of submitting a complete registration to the 3.9commissioner. A registration shall be deemed accepted after 30 days following an individual's 3.10a person's complete registration to the commissioner. The annual registration fee is $50. An 3.11individual A person with $5,000 $8,500 or less in annual gross receipts from the sale of 3.12exempt food under this section is not required to pay the registration fee. By January 1, 3.132022, the commissioner shall adjust the gross receipts amount of this fee exemption based 3.14on the consumer price index using 2002 as the index year for the $5,000 gross receipts 3.15exemption. 3.16 Sec. 5. Minnesota Statutes 2024, section 28A.152, is amended by adding a subdivision to 3.17read: 3.18 Subd. 8.Report to legislature.No later than January 10, 2026, and every two years 3.19thereafter, the commissioner must provide a report to the chairs and ranking minority 3.20members of the legislative committees having jurisdiction over agriculture. The report must 3.21include the amounts in subdivisions 3 and 4, a history of when those amounts changed, and 3.22a calculation of what those amounts would be if adjusted for inflation by the Consumer 3.23Price Index. 3Sec. 5. REVISOR BD/VJ 25-0353202/07/25