2025 Session Last amended: 1987 session

§ 41A.01 — Purpose

Plain-Language Summary

This section states the purpose of Minnesota's agricultural and economic development laws. The state provides loan guarantees for agricultural projects, with a board reviewing each project for feasibility, environmental compliance, and security before committing state funds.

41A.01 PURPOSE.

Sections 41A.01 to 41A.08 provide for agricultural and economic development in the state. All credit advanced pursuant to loan guaranty commitments is to be secured by subrogation of the state to mortgage security and other security interests granted to the private lender, in proportion to the amount advanced by the state. A board is established to investigate the feasibility of each project, its conformity to public policy and to environmental standards, the qualifications of the owners, operators, and lenders, and the nature and extent of the security, prior to commitment. The board shall also seek to secure financial participation by private persons not supported by the guaranty, to assure that in these respects each project satisfies and will continue to satisfy criteria which are adequate in the judgment of the board.

History:

1984 c 502 art 10 s 1; 1Sp1985 c 13 s 145; 1987 c 386 art 9 s 1

History: History: 1984 c 502 art 10 s 1; 1Sp1985 c 13 s 145; 1987 c 386 art 9 s 1

Practical Notes

The Agricultural and Economic Development Board evaluates projects before the state guarantees any loans. Private lenders must also participate in funding, and the state takes a security interest in project assets to protect taxpayer money.

Source: Minnesota Office of the Revisor of Statutes