Key: (1) language to be deleted (2) new language
Laws of Minnesota 1989 CHAPTER 197-H.F.No. 862 An act relating to statutes; revising the text of certain laws to remove redundant and obsolete language, to simplify grammar and syntax, and to improve the style of language without causing changes in the meaning of the laws; amending Minnesota Statutes 1988, chapters 226; 230; 233; 234; 235; 236; and 366, as amended. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: REVISOR'S BILL ARTICLE 1 Section 1. Minnesota Statutes 1988, chapter 226, is amended to read: 226.01 [CERTIFICATES ON PRODUCTS; SALE.]EveryA personengaged in the slaughter ofwho slaughters cattle, sheep, or hogsand dealing, deals inthetheir productsthereof,whoand owns or controls the buildingwherein suchin which that business is conducted orsuchthose commodities are stored, may issue warehouse certificates for any of the commodities actually in store,and may sell, assign, transfer, pledge, or encumber thesamecommodities to the amount describedthereinin the certificate.SuchA certificateshallmust contain the name and address of the person issuing it, the location of the warehouse, the date of issue, the quantity of each commodity, and its brand or mark of identification, if any, and must be signed by the person issuing thesamecertificate. 226.02 [INTEREST IN WAREHOUSE; CERTIFIED COPY.] Before issuingany sucha warehouse certificate under section 226.01, the person issuing it shall file with the county recorder of the county where the warehouse is located a written declaration,stating the person's name and residence, that the person intendscontrollingto control a warehouse for the storage and sale ofsuchcommodities covered by section 226.01, a correct description of the warehouse, its location, and the name of any other personin any wayinterestedthereinin the warehouse. Itshallmust be signed, acknowledged, and recorded in a book kept for that purpose, and. A certified copythereofshallof it must be filed with the clerk of the city or townwherein suchin which the business is conducted and kept in the same manner as chattel mortgages are required to be filed and kept, and. The party making the declarationshallmust be indexed as the vendor,and the public as the vendee. 226.03 [STATEMENT PRINTED ON BACK.]Every suchA certificate issuedshallunder section 226.01 must have printed ontheits backthereofa statement that the party issuing it has complied with the law, and must give the book, page, and place where the record ofsuchthe declaration under section 226.02 may be found,and the day of filing.SuchThe certificate, whensoissued and delivered,shallmust transfer to the holder the title to the commoditiesthereindescribed, shallin it and be assignable by endorsement, andthereupon shall beis then prima facie evidence of title tosuchthe commodities in the endorsee. Itshallmust be registered by the party issuingthe sameit in a book kept for that purpose, whichshallmust show the date, the numberand, the name of the party to whom it was issued, the kind and quantity of the commodities, and any brands or marksthereon and,on the commodities. It must be open to inspection byanya person holdinganyan outstanding certificate in force,or the person's agent or attorney; and. When the commodity specifiedthereinin the certificate has been delivered,oritthe certificate hasin any other mannerbecome inoperative, that fact, with the date ofsuchdelivery or other termination of liability,shallmust be entered in the register in connection with the entry of its issuance. 226.04 [PROPERTY IN WAREHOUSE.] No personshallmay issuesucha warehouse certificate under section 226.01 unless the propertythereindescribed in it is actually in the warehouse; and it shall. The property must remain there until otherwise ordered by the holder of the certificate, subject to the conditions of the contract between the warehouse operator and the person to whomsuchthe certificate was issued, or the person's assigns, as to the time ofitsthe property's remainingtherein; andin the warehouse. No second certificateshallmay be issued for the same property or any partthereofof it while the first is outstanding and in force, nor shall the property be sold, encumbered, shipped, transferred, or removed by the warehouse operator without the written consent of the certificate holder. 226.05 [PENALTIES.]EveryA person whoshall(1) willfullyalteralters ordestroy anydestroys a register ofsuchwarehouse certificates issued under section 226.01 orissue anyissues a receipt of certificates without entering and preserving insuchthe book the registered memorandumor shall; (2) knowinglyissue any suchcertificatesissues a certificate under section 226.01 when the commoditiesthereindescribed are not in the warehouse, or who,with intent to defraud, shall issue; (3) issues, with intent to defraud, a second or other certificate for which a former valid certificate is outstanding, or who shall under suchcircumstances sell, encumber, ship, transfer, or remove; (4) sells, encumbers, ships, transfers, or removes from the warehouseany suchcertified property or knowinglypermit thesamepermits it to be done without the written consent of the certificate holder,; orwho(5) knowingly receives or helps to removeany suchcertified propertyshall be, is guilty of a felony and must be punished by imprisonment in the Minnesota correctional facility-Stillwater for not more than five years or by a fine of not more than $20,000. 226.06 [VIOLATIONS; DAMAGES WHEN INJURED BY.]AnyA person injured byanya violation of sections 226.03 and 226.04 may recover the actual damages sustained; and,. If the violation was willful,an addition theretothe person injured may also recover exemplary damages not exceeding double the actual damages, which shall. Exemplary damages must be found by special verdict. ARTICLE 2 Section 1. Minnesota Statutes 1988, chapter 230, is amended to read: 230.09 [RAILROAD RIGHT-OF-WAY; USE FOR CERTAIN PURPOSES.]AnyOn paying reasonable compensation a person, firm, or corporation shall have the right to useas a site for a publicelevator, warehouse, coal shed, icehouse, buying station,selling station, or weighing scales or other instrumentalitiesfor weighing livestock, or use ground space for receiving,storing, or distributing any article of commerce, transported orto be transported, a proper portion ofthe right-of-way ofanya railroad within the outside switches atanya station or sidingupon the payment of reasonable compensation therefor,for any of the following purposes: (1) as a site for a public elevator, warehouse, coal shed, icehouse, buying station, or selling station; (2) as a location for weighing scales or other equipment for weighing livestock; or (3) for receiving, storing, or distributing an article of commerce that has been or is to be transported. 230.10 [PROCEDURE UPON DISAGREEMENT WITH RAILROAD.]Any suchIf a person, firm, or corporationdesiring(1) desires to construct, operate, or use a public elevator, warehouse, coal shed, icehouse, buying station, selling station, or weighing scales or otherinstrumentalitiesequipment for weighing livestock, or to use ground space for receiving, storing, or distributinganyan article of commercetransportedorthat has been or is to be transported,or to continue the useand operation of any such buildings, structures,instrumentalities, or ground space where the same are alreadyconstructed or used, upon suchon the right-of-way ofanya railroad,if unable toand (2) cannot agree with theperson,firm, or corporation operating suchrailroaduponoperator on the site forsuchthe buildings, structures,instrumentalitiesequipment, or ground space or the compensation to be paidtherefor, the person, firm, or corporation may file a verified complaint with the department of agriculturesettingforth. The complaint must state the facts andrequesting itask the department to establish thelocation of thesite forsuchthe buildings, structures,instrumentalitiesequipment, or ground space or the compensation to be paidtherefor, or both,as the case may be.SuchThe complaintshallmust be servedupon suchon the railroad company and 20 days, exclusive of the day ofsuchservice,shallmust be allowed for answer. After the time for answering has expired, the department shall fix the time and place for a hearing and give at least ten days noticethereofto both parties. 230.11 [HEARING; ORDER.] The hearingshallmust be held pursuant tosuchthe noticeand thereafter. If the department, if itfinds that the complainant is entitledthereto,to it, the department maymakeissue an order establishing the location of the site forsuchbuildings, structures,instrumentalitiesequipment, or ground space,at a suitable place within the outside switches at any station,or siding, and fixing the reasonable annual compensation to be paidthereforfor the space.Where suchIf buildings, structures,instrumentalitiesequipment, or ground space are already established or usedupon suchon the right-of-way and the compensationthereforis not fixed by order of the department or by contract, the department may fix the reasonable compensation to be paid for the occupationthereofof the space. ARTICLE 3 Section 1. Minnesota Statutes 1988, chapter 233, is amended to read: 233.01 [DEFINITIONS.] Subdivision 1. [SCOPE.] The definitions in this section apply to this chapter. Subd. 1a. [DEPARTMENT.]Wherever the term"Department"isused in this chapter it shall be construed to meanmeans the department of agricultureof the state of Minnesota. Subd. 2. [WAREHOUSE OPERATOR.]Wherever theterm"Warehouse operator"is used in this chapter it shall beconstrued to mean and includemeans the party,parties,copartnership, association, or corporation engaged in the operation of a"public terminal warehouse," as defined in thissection. Subd. 3. [PUBLIC TERMINAL WAREHOUSE.]The term"Public terminal warehouse"wherever used in this chapter shall beconstrued to mean and include all elevators or warehouseslocated within the switching limits of St. Paul, Minneapolis,and Duluth, or other points in the state, which are now, orhereafter may be,means an elevator or warehouse designated as a terminalpointspoint in which grain not belonging to the warehouse operator is received for storage, whether for hire or without charge, and shall include all. The term includes warehouses where grain stored for different owners is mixed with the grain of other owners and where the identity of the different lots or parcels is not preserved,andshall includeallwarehouses where grain other than that of the warehouse operator is stored in separate bins andtheits identitythereofpreserved. [233.015] [EXCLUSION.]Sections 233.03 and 233.04, and sections 233.06 and 233.09,insofar as relates to the requirements therein, in respect tograde and dockage, and wherever requirements in respect to thesame occur in sections 233.06 and 233.09, shallProvisions of sections 233.03, 233.04, 233.06, and 233.09 that relate to grade and dockage do not apply toany sucha public terminal warehousewhichif: (1) the warehouse is used and operated exclusively for cleaning, drying, cooling, mixing, and conditioning for the market,of grain belonging to others and storingsuchthat grain until it is disposed of bytheits ownerthereof, in whichwarehouse; and (2) in that warehouse, the grain of each owner or depositor is stored in separate bins or tanks and is kept separate from the grain of every other owner or depositor, and no grain belonging tosuchthat warehouse operator is received, handled, or stored. [233.017] [RECEIPT ISSUANCE.]In all cases where such grain is delivered to a terminalelevator the receipt shall be issued in the name of the owner,or owner's agent, unless otherwise ordered in writing.If grain is delivered to a public terminal warehouse, the receipt must be issued in the name of the owner or owner's agent unless otherwise ordered in writing.Subd. 4. [WHAT INCLUDED IN DEFINITION OF "PUBLIC TERMINALWAREHOUSE".] All elevators or warehouses included within theforegoing definition of public terminal warehouses are herebydeclared to be "public terminal warehouses" and subject tolicense and regulation as provided in this chapter.233.02 [RULES.] The department shall makesuchnecessary rulesas may benecessaryin regard to the receipt, care, and delivery of grain, the issuance, cancellation, division, and consolidation of warehouse receipts, andsuchother matters relative to the management of the business of public terminal warehousesas itshall deemthe department considers propernot inconsistent, consistent withthe provisions ofthis chapter. 233.03 [DUTIES OF A WAREHOUSE OPERATOR.] Subdivision 1. [RECEIPT OF GRAIN; INSPECTION.]EveryA warehouse operator shall receive for storage and shipmentas faras, to the extent of warehouse capacitywill permit, all grain in suitable condition for storage,tendered in the usual course of business, without discrimination of any kind.AllGrainshallmust be inspected on receipt and stored with other grain of the same gradeexcept as herein otherwise providedsubject to other provisions of this chapter. Subd. 2. [WAREHOUSE RECEIPT; FORM.] At the time ofthereceipt of the grain, the warehouse operator shall issue and deliver to the owner or consignee a warehouse receipt, authorized by the department, in the following form: Warehouse Receipt No.............. ............................ Elevator Co. ......................., Minn., ......... 19....... The .................................... Elevator Company has received in store in its elevator known as ................................................. situated at ........................................ Minnesota, for storage from ........................ owner, ................................. bushels of .................................. which has been duly inspected by a duly authorized inspector of grain appointed by the department of agriculture of Minnesota, or licensed by the Secretary of Agriculture of the United States, and has been graded by the inspector as No. .................... and is that grade. This grain, or an equal amount of grain of the same kind and grade, is deliverable upon the return of this receipt properly endorsed by the owner above named and the payment of all lawful charges; in case of grain stored separately in a special bin, at the request of the owner or consignee, the identity of the grain will be preserved while in store and the grain will be delivered as a separate lot or parcel, in accordance with the law, upon surrender of the receipt. Loss by fire, heating or the elements is at the owner's risk. Countersigned by ...................................................... Secretary The ......................... Elevator Company conducts this elevator as a public terminal warehouse and receives and stores therein grain of others for hire. .......... bushels .......... grade. ...................... By ................. STUB RECORD Initial Car No. Bushels Receipt No........... 19.... Received in store from .............................. Bushels.... Lbs.... Grade.... Car No. Bushels Car No. Bushels Subd. 3. [OTHER DUTIES REGARDING RECEIPTS.] The receiptsshallmust be consecutively numbered and delivered to the owner immediately upon receipt of each lot or parcel of grain, giving thetrue andgrain's correct grade and weightthereof. The manner of receipt of the grainshallmust be stated in the receipt,andalong with the number and distinctive mark of each car, and the name of each barge or other vessel. The failure to issue a receipt as directed or the issuance ofanya warehouse receiptdiffering in form orlanguage from that prescribed shall bethat does not comply with this section is a misdemeanor; provided that. A warehouse receipt may, at the request of the owner or consignee,mayprovide for delivery of the grainrepresented therebyit represents to the depositor,orany otheranother specified person, and may have printed or stampedthereonon it the words "nonnegotiable." 233.04 [GRAIN REDELIVERED ON WAREHOUSE RECEIPT.] Upon return of the receipt for grain not stored in separate bins to the proper warehouse operator, properly endorsed, and upon payment or tender of all advances and legal charges, grain of the same grade and quantity namedtherein shallin the receipt must be delivered to the holder ofsuchthe receipt within 24 hours after facilities for receiving thesamegrain have been provided. The identical grain, if stored in separate bins,shallmust besodelivered. A warehouse operator who fails to deliver it is liable to the owner in damages at the rate of one cent a bushel for each day's delay, unless the property is delivered to the several owners in the order of demand as rapidly as it can be done by ordinary diligence. If the warehouse operatorshall fail sofails to deliversuchthe grain, the person entitledtheretoto it may recoverthe same,it if it is kept in separate bins,orthe same amount of grain oflikethe same grade,if it is stored with other grain, or the valuethereof,of the grain in a civil action; and such. A warehouse operatorshall also bewho fails to deliver grain to the person entitled to it is guilty of theft. 233.05 [WAREHOUSE OPERATOR NOT TO SELL WITHOUT AUTHORITY FROM OWNER.]NoA warehouse operatorshallmay not, in violation of this chapter, sell or otherwise dispose of or deliver out of store any grain stored in the warehouse without the express authority of its owner and the return of the storage receiptexcept asherein provided,normix together grain of different grades in store,norselect grain of different qualities,but of the same grade,for storage or delivery,nortamper with grain of others while in the operator's possession or custody with the purpose of securinganypersonal profit or a profit forany otheranother person, or attempt to deliver grain of one grade for that of another.AnyA personviolating any provision ofwho violates this sectionshallmust be punished by a fine of not more than $3,000 or imprisonment in the Minnesota correctional facility-Stillwater for not more than five years, or both. 233.06 [GRAIN STORED IN SEPARATE BINS.] At the request of the owner or consignee,sucha warehouse operator shall storeanygrain ofthe samean owner or consignee,in separate bins, which grain shall then bearbearing the name of the owner or consignee. The warehouse operator shall issue to the owner or consignee, distinguishing whether owner or consignee, a warehouse receipt or receipts for all or any part ofsuchthe grain. Everysuchwarehouse receiptshall givemust contain the name of the owner or consignee and state the amount, kind, and grade of grain for which the receipt is issued,and that the grain ofsuchthe owner or consignee is stored separately from the grain of any other owner or consignee. The warehouse operator shall, on presentation and surrender of the warehouse receipt bearing the proper endorsement of the person to whom it was issued, deliver to the person surrendering the receiptsuchthe amounts of the same grainas may bedemanded and of the same grade as called for by receipt. The warehouse operator, at the request of the owner or consignee, shall clean, dry, mix or otherwise improve the condition or value ofsuchthe grain, and itshallmust be delivered separately from the grain of any other owner or consignee upon the order of the owner or consignee, in accordance with the terms of the warehouse receipt issuedthereforfor it and endorsed bysuchthe owner or consignee; provided, that such. A special bin receipt, at the request of the owner or consignee, may have printed or stampedthereonon it the words "nonnegotiable" and the delivery of the identical grain describedtherein shallin it must be a sufficient delivery and satisfaction ofsuchthe receipt. 233.07 [INSPECTION AT PUBLIC TERMINAL WAREHOUSE.]All grainsGrain received at a public terminal warehouseshallmust be inspected and graded at the time of its receipt by an inspector licensed by the United States department of agriculture underthe provisions ofthe United States grain standards actat the time of its receipt, provided suchif the grain has not previously been inspected byana licensed inspectorso licensed, and further provided. No inspectionshall beis required of grain being moved between elevators owned or operated by the same person, firm, or corporation. Interested parties have the right of reinspection and appealishereby expressly preserved to all interested parties. 233.08 [LICENSE.] No public terminal warehouseshallmay be operated or receive grain for storage, either to be mixed with the grain ofother parties of like grade, or in separate bins,until the owners or parties in charge and operating the warehouseshallfirstobtain a license from the department authorizing the warehouse operator to operate a warehouse underthe provisionsofthis chapter.AllLicenses issued or renewed annuallyshallexpire at midnight onthe 30th day ofJune 30nextfollowing the date of issuance or renewal. Beforeanya licenseshallmay be issued, written applicationshallmust be made to the department for a license specifying the kind of warehouse, the nature of its construction, its capacity and location, the name of the firm or corporation operatingthe same andit, each member of the firm or officer of the corporation, and other factsasthe departmentmay require shall be contained in theapplicationrequires. The department shall act on the applicationshall be acted uponwith reasonable dispatchby thedepartment; and,. If no reason exists for refusing thesameapplication, a licensemaymust be issued upon the payment of the fee set by the commissioner. The amount of the feeshallmust be set to cover the costs of administering and enforcing this chapter. A licenseshallmay begrantedissued only upon the warehouse operator furnishing to the department a bond to the stateof Minnesota, to be approved by the department, in a penal sum to be fixed by the department but not less than $50,000 for each warehouse, which shall be. The bond must be conditionedforon the faithful discharge of the duties of warehouse operator and full compliance withallthe laws of the state and rules of the department relative to the operation of public terminal warehouses andforthe delivery to parties storing grain insuchthe warehouses under the terms of this chapter of the grainor, an equal amount of the same kind and gradesoof grain stored, orthepaymentthereforof the value of the grain in case of failure to make the delivery.TheA license may be revoked by the department for violation of the law oranya ruleprescribed byof the department, butshallmay only be revoked upon a written notice or complaint specifying the charges and after a hearinghadbefore the department. A license may be refused toanya warehouse operator whose license has been revoked within the preceding year. If a warehouse operator applies for a license for more than one warehouse in the same county,butonly one bondneedneeds to be furnished but thesame shall in all casesbond must be in proportion to the capacity of all warehouses. Fees collected under this chaptershallmust be paid into the grain buyers and storage fund established in section 232.22. 233.09 [STATEMENT OF GRAIN IN WAREHOUSE; REPORTS.]Every terminalA warehouse operator shall post conspicuously in the operator's business office, on or beforeby Tuesday morning of each week,a statement of the amount of grain of each kind and grade in store in the warehouse at the close of business on the preceding Saturday andrendersend alikesimilar statement, verified by the operator or a bookkeeper having personal knowledge of the facts, to the warehouse registrar of the department. The operator shall also make a daily statement to the registrar of: (1) the amount of each kind and grade ofsuchgrain received in store in the warehouse the preceding day; (2) the amount shipped or delivered, and the warehouse receipt canceled onsuchthe delivery, stating the number of each receipt and the amount, kind, and grade of grain shipped or deliveredthereonon it; (3) the amount, kind, and grade of grain delivered for which no warehouse receipt was issued and how and when thesamegrain was received, the aggregate ofsuchreported cancellation and delivery of unreceipted grain corresponding in amount, grade, and kind with the shipments and deliveries reported; andat the same time report(4) the receipts canceled upon issue of new ones, with the number of eachsuchcanceled receiptcanceledandthatthe one issued in its place. The operator shallalsofurnish the registraranyfurther information regarding receipts issued or canceled necessary for a correct record ofall suchthe receipts and of grain received and deliveredand make a further. The operator shall send a verified statement to the department of the condition and management ofanyeach terminal warehouse under the operator's control,atsuchthe times and insuchthe formasthe departmentmay requirerequires. 233.10 [PUBLICATION OF RATES; CHARGES FOR HANDLING AND STORING GRAIN.]EveryA warehouse operator operating a"public terminal warehouse"located within the switching limits of St. Paul, Minneapolis, Duluth, or other terminalpoint pursuant topoints under section 233.01, subdivision 3, shall annually, during thefirst week in July,publishin some newspaper, daily if there beone, published in the place where the warehouse is situated,a schedule of storage rates for the ensuing year, which shall. The schedule must be published during the first week in July in a newspaper published in the place where the warehouse is situated. The newspaper in which the rates are published must be a daily, if there is one. The rates may not be increased duringsuchthe year,andno discrimination inthe warehouse operator may not discriminate in applying ratesshall be made byany such warehouse operator. The charges for receiving, handling, and delivering grain atsucha warehouse and the charges for storing grain insucha warehouseshallmust be fixed by the department, subject tothe provisions ofMinnesota Statutes 1969, chapter 15. 233.11 [INSPECTION.]EveryA personhavingwho has an interest inanygrain stored inany sucha public terminal warehouse,andeverya state grain inspector, shallhave the right to examine stored grain and all parts of the warehouse at all times during ordinary business hoursany grain so stored, and all parts ofsuch warehouse; and every such. The warehouse operator and the operator's agentsand servantsshall furnish proper facilities forsuchan examination under this section. 233.12 [RIGHTS OF OWNER AND SHIPPER;EXTENDED TO OTHERS.]EveryA rightandor privilege granted by this chapter to the owner or shipper of grain for storage in a public terminalelevatorswarehouse andthe rightsa right granted tosuchthat owner while thesamegrain remains in and is removed fromsuch elevatorthe warehouse,shall be and herebyis extended to,and may be exercised by,an individual or association of individuals, copartners, cooperative company or association, or corporation, and every. A rightandor privilege granted by this chaptergrantedto citizens, associations, or corporations in this state may be exercised byanya citizen, association, or corporation ofany otheranother stateand such citizen,association, or corporation of any other state shall haveandwho may exercise the same rights and privileges as citizens, associations, or corporations of this state and be subject to the same restrictions and liabilities. 233.22 [WITHHOLDING GRAIN.] The owner or consignee of grain consigned to a public terminal warehouse may have thesamegrain withheld from storage and delivered to or at the direction of the owner or consignee by giving notice to the carrierin possession thereof,who possesses the grain and to the warehouse operator to whomsuchthe grain was consigned, and paying all charges that may be a lienthereonon the grain.SuchThe grainshallmust be removed within 24 hours after the car or boat containingthesameit is placed in a proper and convenient place for unloading. If the grainbeis delivered contrary tosuchthe notice,suchthe warehouse operator,and the carriersodelivering thesame,shall begrain are jointly and severally liable to the owner for double its value. 233.23 [UNAUTHORIZED STORAGE.] No contract, agreement, understanding, or combinationshallmay be entered into betweenany publica warehouse operator andanya common carrier or other person for the delivery ofanygrain atanya public terminal warehouse contrary to the direction of the owner, nor shall any. No grain may besodelivered or received contrary to the direction of the owner. 233.24 [INSPECT SCALES.]AllScales in public terminal warehouses or scales used for weighing grain in railroad yards at terminal pointsshall beare under the control of the department of agriculture and subject to inspection by it,and are exempt from the jurisdiction of sealers of weights and measures. Theyshallmust be inspected at the request ofanya person interested inanygrain weighed or to be weighedthereonon them. If scales are found to be incorrect, the cost of inspectionshallmust be paid bythetheir ownerthereof; otherwiseor by the person requesting inspection. No scales found to be incorrectshallmay be used until they are reexamined and found correct. 233.33 [POLICE PROTECTION.] Subdivision 1. [PROTECTION TO GRAIN.]AllRailroad companies, warehouse operators, and millers operating at the terminal points of this state shall furnishample andsufficient police protection atall oftheirseveralterminal yards and on their terminal tracks to securely protect all cars containing grain,whilethe same arein their possession, shall prohibit and restrain all unauthorized persons, whether under the guiseof samplers, sweepers, or under any other pretext whatever,from entering or loitering in or about their respective railroad yards or tracks and from entering any cars of grain under their control,or removing graintherefromfrom the cars, and shall employ and detailsuch number ofsecurity guards asmay benecessaryfor the purpose of carrying out the provisions ofto carry out this section. Subd. 2. [VIOLATIONS AND PENALTIES.]AnyA railroad company, warehouse operator, or miller operating atanya terminal point of this state,whoshall failfails to comply withthe provisions ofthis section, and anyis guilty of a misdemeanor. An unauthorized person,whoshall removeremoves grain from a car beforesaidthe car is unloaded,or whoshallsweepsweeps orremove anyremoves grain from a car after it is unloaded atanya terminal point in this state,shall beis guilty of a misdemeanor. ARTICLE 4 Section 1. Minnesota Statutes 1988, chapter 234, is amended to read: 234.01 [PURPOSE.] The purpose of this chaptershall beis to provide the owner of grain in this state with means of warehousingsamethe grain on the farm, under proper restrictions and safeguards, as a basis for credit and to aid in the orderly marketingthereofof the grain. [234.015] [DEFINITION.] As used in this chapter, "department" means the department of agriculture. 234.03 [DUTIES OF DEPARTMENT.] The departmentis hereby authorized and it is herebydeclared to be its duty toshall carry outthe provisions ofthis chapter,andto this end it is hereby authorized tomay: (1) makeand promulgate suchrulesnot inconsistentherewith as shall bethat are necessary or desirableeffectuallyto carry outthe provisions hereofthis chapter and consistent with it; (2) makesuchreasonable and necessary ruleswith respecttoabout the construction and maintenance of granaries, cribs, bins, or other receptaclesas may be necessaryto protect the grain storedthereinin them underthe provisions ofthis chapter; and (3) prepare and have printed under the same conditions as other state printingthenecessary blanks, forms, and other printed matterand make such charges to persons desiring suchprinted matter as shall, charging a fee for the printed matter that will meet the cost of productionthereof. 234.04 [MAY APPOINTSUPERVISORY BOARDS.] The departmentis authorized tomay appointsuchlocal supervisory boards foranya county or countieswhich it maydeemwhen the department considers them necessaryfor thepurpose of supervising generally andto supervise, under the direction of the department, grain in storage,theissuance of certificates againstsuchthe grain, and carrying outof thepurposesand enforcingthe provisions ofthis chapter.SuchLocal supervisory boards shall consist of not less than three nor more than seven members, each of whomshall beis a producer of grain in the state and a Minnesota residentthereof. Each member, upon appointment, shall qualify by taking oath similar to that required of public officials andshallcontinue in office until a successor is appointed by the department, which shall also have authority to. The department may fillanyvacancies arising by reason of the resignation, death, or removal by it ofany sucha memberor members.Each suchThe members of a local supervisory board shall selectsuchofficers, keepsuchrecords, and performsuchdutiesasthe departmentmay prescriberequires. 234.05 [PRIVILEGES OPEN TO ALL.]The privileges ofThis chaptershall be open tocovers all ownersupon the same conditionsequally.AnyAn owner desiring to place grain in storage and havecertificate orcertificates issued againstsuchthe grain underthe provisions ofthis chapter shallmake application thereforapply to the department in the manner and upon the forms provided by it for that purpose. 234.06 [MAY APPOINT LOCAL SEALER.] The department may, upon the recommendation ofanya local supervisory boardappointed by it hereunder,or upon the request in writing of ten or more producers of grain, appoint a local sealeror sealersforanyall or part of a county or countiesorpart thereof, and every such. A sealersoappointedshall haveunder this section has the same authority as a peace officer with respect tothe provisions ofthis chapter,and therulespromulgated hereunderadopted under it, andtheits enforcementhereof as any officer of the peace. 234.07 [BOND OF SEALER.]EachA sealer shall furnish bond for the faithful performance of all duties insuchan amountas shall bedetermined by the department, but in no event shall such. The bond may not be in an amount less than $1,000.TheBonds and suretiesthereon shall, in every case, beon bonds are subject to approval of the department and must be deposited with it, andin case it. If a bond is not a personal bond, the premiumthereon shallon it must be paid by the department out of the funds collected under this chapter. The sealer shall alsoqualify by takingtake an oath similar to that required of public officials. 234.08 [DUTIES OF SEALER.]It shall be the duty of the sealerUnder the direction of the departmentto, a sealer shall: (1) supervise the storage of grain; (2) ascertain the amount stored by each owner whoshalldesirewants totake advantage of the privileges ofcome under this chapter; (3) determineso far as possible upon the basis prescribedin the rules issued hereunderthe exact grade and quantitythereofof stored grain, so far as possible under rules made under this chapter; (4) ascertain,prior to the issuance of anybefore issuing a certificate, that the bin, crib, granary, or other receptacle in whichthegrain is stored is satisfactory for the storage ofsuchthat grain and thatsuchthe receptacle conforms to the applicable rulesapplicable thereto promulgated byof the department.TheA sealer shall, before delivering a certificate tothean owner, ascertain that there are no other certificates outstanding upon the grain and seal thegranary, crib, bin, orotherreceptacle in which the grain is storedin the mannerhereinafteras provided, and thereafterin this chapter. The sealer shall then make periodic inspections of thegranaries,cribs, bins, or othersealed receptaclesso sealedatsuchtimes and insuchthe mannerasthe departmentmay determine;requires, butin no event less frequently than at 90-dayintervals, renderingat least once every 90 days. The sealer shall send to the departmentwith reference to subsequentinspection, and to the owner when requested, a report or affidavit concerning each periodic inspection insuchthe formas may berequiredin regard toby the department. The report must cover the amount and condition of the grain under seal and the condition of the structure within which it is stored. 234.09 [SEALER MAY INSPECT GRAIN.] The sealer shall have authority at all times to enteruponanypremisesfor the purpose of inspectingto inspect grain in storage or in the granary, crib, bin, or other receptacle in which itshall havehas been storedand the. Acceptance of a certificate byanyan ownershall be deemedis consentthereafterfor the sealer oranya persondulyauthorizedthereuntoby the department to enter and inspect the sealed grain and the receptaclewhereinin which it is stored. 234.10 [SEALS.] Sealsemployed hereunder shallunder this chapter must be furnished by the department andshallcontain the following language: "Sealed by authority state of Minnesota, department of agriculture. Any person tampering with this seal or removing any grain herein shall be subject to a fine and imprisonment as provided by law. Consecutive No............." 234.11 [CERTIFICATES.] Certificatesshallmust be upon formsto beprepared and furnished by the department andevery certificate must embodywithin its written or printed termscontain: (1) the date and consecutive numberthereofof the certificate; (2) a particular description of thegranary, crib, bin, orotherreceptacle in which the grain is stored and of the premises on which it is located; (3) a description of the grain asmay berequired bytherulesissued hereundermade under this chapter; (4) the name of the owner or owners, whether ownership is sole, joint, or in trust, and in case of tenants, the date of the expiration of the lease; (5) a statement that no other certificates are outstanding on the grain representedtherebyby the certificate; (6) a statement whether grain will be delivered to the bearer, to a specified person, or to a specified person or the person's order, and at what place it will be delivered; (7) a facsimile signature of each of the members of the department and the counter signature of the sealer; (8) a statement ofanyloans or other indebtednesswhichthat in any manner constitutes a lien, whether statutory or contractual, includingbotha mortgageandor landlord's lien upon the grain; and (9) the form of waivers of liens. 234.12 [OWNER TO EXERCISE REASONABLE CARE.] No term or conditionshallmay be inserted inanya certificate, whether negotiable or otherwise,which shall in anymanner purportthat purports to relieve the owner from exercising that degree of care in the safekeeping of the grain in storagewhicha reasonably prudent person would exercise with regard to similar property that person owns. 234.13 [MAY ISSUE MORE THAN ONE CERTIFICATE.] The sealer may issue to the owner one or more certificates,as herein provided,under this chapter but eachsuchcertificateshallmust cover a separate granary, crib, or bin. 234.14 [CERTIFICATE TO BE IN QUADRUPLICATE.]AllCertificates issuedhereunder shallunder this chapter must be issued in quadruplicate, with three copies marked "Duplicate -- No Value." The original and one duplicate copyshallmust be delivered to the owner and the other duplicate copiesshallmust be filed with the department,or the local supervisory warehouse board for the county in which the grain is stored ifany sucha board has been establishedhereunderin the county under section 234.04. 234.15 [OWNER TO DELIVER DUPLICATE.] An owner who negotiates the original certificate shall at the same time deliver to the assignee the duplicate or the receipt of the county recorder for thesamecertificate.SuchThe assignee may file the duplicate in the office of the county recorder of the county in which the grain is locatedwhich. The duplicateshallmust remain in the custody of the county recorder,except as hereinafter providedsubject to exceptions in this chapter. 234.16 [DUPLICATE FILED WITH COUNTY RECORDER.]WhenIf a duplicate is filed in the office of the county recorder, the recorder shall indexthe sameit in the chattel mortgage index or other suitable index book showing the date of the certificate,theits numberthereof, to whom it was issued, and the kind, quantity, and location of the grain. The recorder shall collect 35 cents for each certificate indexed. The filing and indexing ofsucha certificateshall impartgives the same notice as the filing and indexing of a chattel mortgage. 234.17 [ASSIGNMENTS MAY BE FILED.]WhenIf the owner or holder of a certificatemakes writtenassignment thereofassigns it in writing, the county recorder shall on request of the assignee enter a copy ofsuchthe assignmentuponon the duplicate in the recorder's office and enteruponin the index book the date of the assignment,and the names of the assignor and the assignee. The recorder shall collect 25 cents for each assignment entered. 234.18 [CANCELLATION OF CERTIFICATES.] The owner maysecure the cancellation ofhave a certificate canceled by delivering the original to the department or the board by which it was issued with the request that it be canceled. The department or board shall stamp the original "canceled" with the date ofsuchthe cancellation andretainsamekeep it. Upon notice in writing from the department or board issuingthea certificate that it has been canceled, the county recorder shall release the duplicate filed of record without charge. 234.19 [OWNER TO DELIVER GRAIN.]The owner shall,In the absence ofsomea lawful excuse provided by this chapter, the owner shall deliver the grain stored upon demand by the holder of the certificate of the grain, ifsuchthe demand is accompanied by an offer to surrender the certificate. 234.20 [EXCUSE FOR REFUSAL.]In caseIf the owner refuses or fails to deliver the goods in compliance with a demand by the holder of a certificatesoaccompaniedthat complies with section 234.19, the burdenshallbeis upon the owner to establish the existence of a lawful excuse forsuchthe refusal. 234.21 [EXPENSE OF SUPERVISION.]For the purposes of defrayingTo defray the expenses of supervision, the owner shall pay a fee at the time of sealing to the department or the local supervisory board of the county in which the grain is stored, if any, at the time of sealing an. The amount of the fee must be determined by the rulesissuedhereunder, but in no event tomade under this chapter, but may not exceed one cent per bushel for grain inspected and sealed by the sealer. Out of the funds thus created, the compensation of the sealer as fixed by the departmentshallmust be paid by it or by the board of the county in which the grain is stored, subject to its approval. 234.22 [FEES FOR SEALER.] In the exercise of the power and functions ofan officer ofthea peace officer in connection withthe provisions ofthis chapter, the sealer is entitled to the same feesas areprovided by law for the performance of similar duties. 234.23 [VIOLATION; PENALTY.]AnyA person unlawfully removing, breaking, orin anymannerinterfering or tampering withanya seal, lock, or other fastening placed uponanya granary, crib, bin, or other receptacle for grain underthe provisions ofthis chapter, except whensuchthe removalshall be renderedis imperative to prevent the damage, loss, or destruction of stored grainstoredtherein,shall beis guilty of a crimeand punishedpunishable by a fine of not less than $100 or more than $700 or by imprisonment in the county jail for not more than six months, orbybothsuch fine and imprisonment. 234.24 [FRAUDULENT CERTIFICATES.] An owner, the agent or servant of an owner,or anya member ofanya board, oranya sealer, who fraudulently issues or aids in fraudulently issuing a certificate for grain,knowing that it containsanya false statement,shall beis guilty of a crime;and, upon conviction, punished for each offense. Each offense is punishable by imprisonment in the county jailnot exceedingfor up to one year or by a finenot exceedingof up to $3,000, orbyboth. 234.25 [VIOLATIONS; PENALTIES.] Subdivision 1. [UNLAWFUL DELIVERY.] An owner,oranyan officer, agent, or servant of an owner, who delivers grain out of the possession ofsuchthe owner,knowing that a negotiable certificate, the negotiating of which would transfer the right to the possession ofsuchthe grain, is outstanding and uncanceled without obtaining the possession ofsuchthe certificate at or before the time ofsuchthe deliveryshall,except when ordered by the court as hereinbefore provided, befoundis guilty of a crime; and on conviction punished for eachoffense. Each offense is punishable by imprisonment in the county jailnot exceedingfor up to one year or by a finenotexceedingof up to $3,000, orbybothsuch imprisonment andfine. Subd. 2. [OTHER UNLAWFUL ACTS.]Any owner who shall,After the issuance and negotiation of a certificate for grain in storage,take, sell, mortgage, pledge, hypothecatean owner who takes, sells, mortgages, pledges, hypothecates, or otherwiseencumberencumbers, orattemptattempts to take, sell, mortgage, pledge, or otherwise encumber,thesaidgrain, or whoshall take or removeremoves it fromtheits receptaclewherestanding, shall beis guilty of a crime; and upon convictionthereof subject to. Each offense is punishable by a fine of not less than $100 nor more than $3,000 orbe imprisonedby imprisonment in the county jail for not more than one year, orbe punished bybothsuch fine and imprisonment. 234.27 [UNIFORM COMMERCIAL CODE TO APPLY.]AllThe provisions of article 7 of the uniform commercial code,relative to the negotiation, transfer, sale, or endorsement of warehouse receipts,shall, so far as possible,apply, to the extent possible, to the negotiation, transfer, sale, or endorsement ofthecertificatesprovided for hereinunder this chapter. For the purpose of application of the uniform commercial code: (a) A certificate authorized by the department which evidences the storing of grain underthe provisions ofthis chapter is a document of title as defined in section 336.1-201, clause (15); and. (b) A person who has title to and possession ofanygrain stored underthe provisions ofthis chapter is a warehouse operator as defined in section 336.7-102, clause (1)(h). ARTICLE 5 Section 1. Minnesota Statutes 1988, chapter 235, is amended to read: 235.01 [SUPERVISION OVER GRAIN.] The department of agriculture shallexercise generalsupervision oversupervise the grain interests of the stateandof; buying, selling, handling, and storage of grain,; andofthemanagement of public warehouses and public grain markets, including chambers of commerce, boards of trade, and grain exchanges;. The department shall investigate, on complaint oruponits own motion, all cases of fraud and injustice in the grain trade, unfair practices, or unfair discrimination in the buying or selling of grain; have the power to. The department may compel the discontinuance ofsuchunfair practices or unfair discrimination;in grain transactions and makeall properrules for carrying out and enforcingthe provisions of allstate lawsof the staterelating tosuchsubjects covered by this section. 235.02 [GRAIN INCLUDES FLAX SEED AND SOYBEANS.]The term "grain" wherever usedIn chapters 216 to 235, "grain" includes flax seed and soybeans. 235.04 [OVERLOADING GRAIN CARS.]EveryA railway company shall place painted lines insideofeach of its cars used for the carriage of grain,indicating the height to which the various kinds of grain may be loadedtherein, andin that car. No carshallmay be loaded withanya kind of grain above its appropriate line. The person loadingsucha car shall state in the bill of lading,prior toits beingbefore it is signed by the agent of the railway company, that the car is loaded to or below the line, andsuchthe railway agent, before signing the bill, shall verify the statement.TheA signed bill of lading, so signed, shall beis prima facie evidence of the loading, and no charges for loading in excess of the quantity so limitedshall liemay be made againstsuchthat car.NoA railway company that fails to equipanya carasaforesaid shallin accordance with this section may not collectanycharges for the transportation of grain in the car above the regular tariff rates for carload lots.EveryA person whoshallload anyloads a car above the appropriate line andeveryan agent ofanya railway company whoshall refuserefuses to signany sucha bill of ladingshall beis guilty of a misdemeanorand punished, punishable by a fine of not less than $10 nor more than $25. 235.05 [CARRIERS' RECEIPTS; PENALTY FOR FAILURE TO GIVE.]EveryA common carrier transporting grain shall give the shipper on request a receipt for the number of pounds of grain received from the shipper and deliversuchthat quantity to the consignee or proper connecting carrier, less loss from transportation, not to exceedof no more than 60 poundstoeachper car.SuchThe carriershall forfeitforfeits to the state for each refusal to givesucha receipt not less than $10 nor more than $50 and for each failure to deliver the proper quantity of grain not less than $50 nor more than $200. 235.06 [ELEVATOR CHARGES, WHEN FORBIDDEN.] No railroad companyshallmay charge or collect elevator or other charges for handling grain or for the use ofanyan elevator whensuchgrain is loaded by the shipper and not passed through an elevator, or makeanya distinction in chargesof anykindagainst a person shipping grain otherwise than through an elevator. 235.07 [DELIVERY FOR STORAGE A BAILMENT.] The delivery of grain toanya warehouse operator for storage, although itbeis mingled with that of others,or shipped or removed from the original place of storage,shall bedeemedis a bailment,and not a sale. 235.08 [WAREHOUSE RECEIPTS; NUMBERING.]AllWarehouse receipts for grain issued by the same warehouseshallmust be consecutively numbered, and. No two receipts bearing the same numbershallmay be issued from the same warehouse duringany onea year, except in case of a lost or destroyed receipt,. Inwhichthat case, the new receiptshallmust bear the same date and number as the original,andshallmust be plainly marked on its face "Duplicate." 235.09 [UNLICENSED WAREHOUSES.]AnyA person or corporation operatingsucha warehouse without a licenseshall forfeitforfeits to the state for each day's operation $50 andsuchthe operation may be enjoined upon complaint of the department. 235.10 [UNLAWFUL DISCRIMINATION IN SALE OR PURCHASE OF GRAIN.]AnyA person, firm, copartnership, or corporation engaged in the business of buying grain, either for itself or others,who shallmay not, with the intention of creating a monopoly or destroying the business of a competitor, discriminate between differentsections,localities,communities, or citiesof this state,by purchasingsuchgrain of a particular grade and condition at a higher price or rate in one locality thanis paid for grain of same grade and conditionby the purchaserin anotherlocalityafter making due allowance for the difference, if any, in actual cost of transportation from the locality of purchase, to the locality of manufacture, use, or distribution, shall be deemed guilty of. Violation of this section is unfair discrimination; and upon convictionthereof punished, punishable by a finenot exceedingup to $700 or by imprisonment in the county jailnot to exceedup to six months. 235.13 [VIOLATIONS; PENALTIES.]Any person who shall violate any of the provisionsViolation of chapters 216 to 235,whereif no specific penalty is prescribedshall be guilty of, is a gross misdemeanor; andupon conviction punished, punishable by a fine of not less than $50 nor more than $700.Any corporation which shall violate anysuch provision shall forfeit to the state for each violation notless than $50 nor more than $700.235.18 [ENFORCEMENT.] The department shall enforcethe provisions ofsection 235.10and, in so doing, shall have and exerciseusing alltheits legal powersheretofore conferred upon it by law. ARTICLE 6 Section 1. Minnesota Statutes 1988, chapter 236, is amended to read: 236.01 [DEFINITIONS.] Subdivision 1. [SCOPE.]For the purposes ofThe definitions in this section apply to sections 236.01 to 236.09,the following terms shall have the following meanings. Subd. 2. [PERSON.] "Person"includes anymeans an individual, partnership, association, corporation, or joint venture orcombinations thereofa combination of these. Subd. 3. [GRAIN BANK.] "Grain bank" means a feed-processing plantwhichthat receives and stores grain, the equivalent of which, except as is otherwise permitted by section 236.04, it processes and returns to the grain's ownerthereof,insuchamounts, atsuchintervals, and withsuchadded ingredients, asthat are mutually agreeable to the grain's ownerthereofand the person operating the plant. Subd. 4. [GRAIN BANK RECEIPT.] "Grain bank receipt" means a nonnegotiable receipt issued to the owner ofthegrain or the owner's agent. Subd. 5. [DEPARTMENT.] "Department" means theMinnesotadepartment of agriculture. 236.02 [GRAIN BANK LICENSING; BONDING OF APPLICANTS.]AnySubdivision 1. [LICENSING REQUIREMENT.] A person who (1) operates an establishmentwhichthat processes grain into feed and (2) is licensed to buy grain as a public or private local grain warehouse operator under section 232.22 may obtain a license to operate a grain bank. No person may conduct a grain bank without a grain bank license. Subd. 2. [ISSUANCE.] A grain bank licenseshallmust be obtained from the department, which is hereby authorized to. The department may issuesucha grain bank licenseuponcompliance bywhen the applicant has complied with the bond requirements of sections 236.01 to 236.09.SuchA grain bank licenseshall beis required in addition tothea license to buy grain as a public or private local grain warehouse operator andshall empowerpermits the licensee to conduct a grain bank in accordance with sections 236.01 to 236.09.EverySubd. 3. [EXPIRATION; POSTING; REVOCATION.] Grain banklicense shalllicenses expire at midnight onthe 30th dayofJune 30 each year. A licenseshall beis required for each location where a grain bank is operated.SuchLicensesshall beare revocable by the department for cause upon notice and hearing.AllLicenses and rules regulating the operation of the grain bankshallmust be posted in a prominent and easily accessible place in the grain bank. Subd. 4. [FEES.] The license feeshallmust be set by the commissioner in an amount sufficient to cover the costs of administering and enforcing this chapter. Fees collected under this chaptershallmust be paid into the grain buyers and storage fund established in section 232.22.NoSubd. 5. [BOND.] A licenseshallmay not be issued for the operation of a grain bank until the applicant has filed with the department a bond insucha sumasset by the departmentmay prescribe, which sum shall. The bond may not be less than $1,500 for each license andshallmust at all times bein sufficient sumlarge enough to protect the holders of outstanding grain bank receipts.SuchBondsshallmust be filed annually and cover the period of the grain bank license.SuchBondsshallmust run to the state of Minnesota andshallbe for the benefit of all persons storing grain insucha grain bank. Theyshallmust be conditioned upon the faithful performance by the grain bank operator ofall the provisions ofthe law relating to the operation of grain banks bysuchthe grain bank operator, andtherelated rules of the departmentrelativethereto. The departmentis authorized tomay requiresuchincreases in the amounts ofsuchbondsfrom time to timeas itdeemsconsiders necessary for the protection of grain bank receipt holders. The surety ofsuchgrain bank bondsshallmust be a corporate surety company authorized to transact business inthe state ofMinnesota.AnySubd. 6. [ACTION ON BOND.] A person for whose benefit the bond is given may commence an actionthereof in their ownnamein district court.AnySubd. 7. [SINGLE BOND.] A person who is granted a grain bank license at more than one location may, with the department's approval, file one bond covering all locations insucha total amountasthe departmentmay requirerequires under sections 236.01 to 236.09 andtherules madepursuanttounder sections 236.01 to 236.09.AnyA person, firm, or corporation licensed as a public local grain warehouse operator and bonded underthe provisions ofsection 232.13 may include liability for outstanding nonnegotiable grain bank receipts under the coverage ofsuchthat bond in lieu of securing a separate grain bank bondas provided inunder this section. 236.03 [GRAIN BANK RECEIPT; CONTENTS.] A grain bank receipt, authorized by the department,shallmust be issued for each delivery of grain to the grain bank. Each receiptshallmust contain the name and address of the grain bank establishment, thename ornames of theperson orpersons for whom the grain is delivered to the grain bank, the kind, quantity, and grade of grainwhich shallto be redelivered to the owner of the grain, and other relevant factorsas may berequired by the rules of the department. 236.04 [CHARGES.] Grain for which a grain bank receipt is issuedshallmust be received and stored for processing. Storage chargesshallmust be paid by the owner at rates prescribed by section 232.23,and acts amendatory thereof,from ten days after the date on which the grain is delivered to the grain bank until the date the grain or processed grain represented by a grain bank receipt is redelivered to the owner of the grain. Storage chargesshallmust be computed and recorded at the time of the redelivery of grain or processed grain to the owner or at the time of sale by the owner. If grain evidenced by a grain bank receipt is not processed or is not sold to the operator of the grain bank, the grain's ownerthereofor the owner's authorized agent may obtain redelivery of grain of the kind, quantity, and grade shown on the grain bank receiptwhich evidences suchcovering that grain, if the owner or the authorized agent paystothe grain bank operator a delivery chargein an amount prescribedfor delivery charges in public local warehouses by section232.06, subdivision 1, and acts amendatory thereof.Nothing inSections 236.01 to 236.09, however, shalldo not authorize the storage of grain or the issuance of a grain bank receipt foranygrainwhichthat is not intended, when received at the grain bank, to be redelivered to the owner of the grain or an authorized agent as a part of mixed or as otherwise processed feeds within a reasonable time aftersuchreceipt. 236.05 [DUTIES OF GRAIN BANK OPERATOR.] Subdivision 1. [INSURANCE.] The operator of the grain bank shall keep all stored grainstorageinsured against loss by fire, windstorm, and extended coverage risks for the account of the owner andshallfurnish the department withsuchthe evidenceasitshall requirerequires thatsuchthe insurance is in force. Subd. 2. [RECEIPT AND STORAGE OF GRAIN.] The grain bank operator shall determine the quantities, kinds, and grades of grain to be received from a depositor, and grain equal to the grade shown on the receipt to be due the owner of the grain on redeliveryshallmust be used in the delivery back to the owner.However, nothing herein shall prohibitCommingling of like kinds of grainorand the addition to the grain of materials used in the lawful formulation of mixed feeds are permitted asmay berequired by the depositor of the grain.WhereIf, through no fault of the grain bank operator, redelivery of grain equal to the grade shown on the receipt cannot be made, then redelivery to the owner of a lesser grade may be made; providedif the operator pays to the owner in money the difference in market value between the two grades. Subd. 3. [DELIVERIES OF PROCESSED FEEDS.] Deliveries of mixed or otherwise processed feeds formulated from grain bank stocksshallmust be atsuchintervals of time and insuchquantitiesasthat are mutually agreeable to the grain ownerthereofand the grain bank operator. Subd. 4. [SEPARATE RECORDS.] The operator ofthea grain bank shall keep separate records for each customer of the balanceswhichthat remain between the grain bank operator and the owner of grain who has deposited grain in the grain bank, including but not limited to the charges made under section 236.04 and the figureswhichthat support all balances shown. Subd. 5. [GRAIN ON HAND.] The operator of the grain bankmustshall keep on hand at all times grain sufficient to cover all outstanding storage receipts and outstanding grain bank receipts balances. 236.06 [GRAIN BANK'S POSSESSORY LIEN.] The operator of a grain bankshall havehas a possessory lien against grain represented by a grain bank receipt for all charges andmoneysmoney owed the operator by the owner ofsaidthe grain as a result of the receiving, storing, processing, and other activities performed by the operator for the owner as part of the grain bank operation. In the event ofanyinconsistency betweenthe provisions ofthis section andthose ofthe uniform commercial codethe provisions of, this sectionshall applyapplies. 236.07 [REPORTS.]EveryA person licensed to operate a grain bank under sections 236.01 to 236.09 shallrender togive the department onblanks orforms prescribed by itsuchthe reportsasthe department reasonablymay require,requires andsuchother informationas may be provided forrequired by the rules of the department. No licenseshallmay be issued toanya licensed grain bank operator who has failed to make the reportsasrequiredhereinin this section. The department maycausehave each grain bankand the, its businessthereof, and the mode of conductingthe same to beits business inspected by one or more of its members or by its authorized agent whendeemedinspection is considered proper,and. The property,books,records,accounts, papersand proceedings of each grain bankshallare subject to inspection at all times during business hoursbe subject to inspection. 236.08 [RULES BY DEPARTMENT.] The departmentis hereby authorized to promulgate in themanner provided by law suchmay make rules that are reasonably necessary relative to grain bank operationsas are reasonablynecessary. 236.09 [PENALTIES FOR VIOLATIONS.]AnyA person whoshall violate the provisions ofviolates sections 236.01 to 236.09 orthe validrules made by the department under sections 236.01 to 236.09shall beis guilty of a misdemeanor. If the departmentmay, whenever itfinds after a hearing thatany of the provisions ofa person licensed to operate a grain bank in this state has violated sections 236.01 to 236.09 orits validrules made under sections 236.01 to 236.09have been violated by any person holding a license tooperate a grain bank in this state, the department may suspend or revokesuchthe license, and. In case of a revocation, no new licenseshallmay be granted to the person whose license issorevoked nor to anyone directly or indirectly engaged inthe saidthat business fora period ofone year. ARTICLE 7 Section 1. Minnesota Statutes 1988, chapter 366, as amended by Laws 1989, chapter 1, section 3, is amended to read: 366.01 [POWERS.] Subdivision 1. The supervisors of each townshallconstitute a board to be designated "The Town Board of .............,."and anyUnless provided otherwise, two supervisors shallconstitutebe a quorumexcept. In towns operating under option Ain which case any, three shallconstitutebe a quorumand except when otherwise provided. The supervisors shall have charge of allthetown affairsof thetownnotby lawcommitted to other officers by law. They shall draw orders on the treasurerfor the disbursement ofto disburse money to pay the town expenses, andfor allto disburse money raised by the townto be disbursedfor any other purpose. They may pay the premium upon the bond of a town officerwhereif the surety is a corporation authorized by law to be a surety. In lieu of individual bonds, the town board may provide for a blanket positionbonds furnishedbond by a surety companytocover officers required to furnish a bondif all the obligations required by law or ordinance to be assumed by the principals and the principals' sureties byanindividualbondbonds are included in the blanket position bond. Subd. 2. They may by ordinance prohibit or license and regulate the keeping of billiard, pool, and pigeonhole tables, games of amusement, games of skill, juke boxes, roller skating rinks, bowling alleys, circuses, shows, and theatrical performances,. They may fix the price andtime of continuanceduration of the license, and,. When in their opinion the public interest requires it, they may revoke the license. Within any platted residential area of the town, they may license and regulate the presence or keeping of dogs or domestic animal pets andmayregulate or prohibit the discharge of firearms, when deemed to be in the public interest. Subd. 3. They may appropriate out of the general fund of the town and draw orders on the treasurerfor the disbursementofto disburse money to pay the annual dues in the Minnesota association of townships or a county unit that belongs to thestateassociation and to pay the actual and necessary expenses oftownshiptown officers for meetings relating to town business including meetings oftownshiptown associations. Subd. 4. They mayselect anddesignate a bank as the depository of town money for a time not extending beyond their official term,onafter the execution bysuchthe bank of a sufficient bond to the town to be approved by the board and filed in the office of the town clerk, and thereupon. They may then require the treasurer to deposit all oranypart of the town money insuchthat bank.SuchThe designation shall be in writing, and set forth all the termsand conditionsupon which the deposits are made,. It shall be signed by the chair and clerk, and filed with the clerk. The town treasurer shall not be liable for the loss of money whilesodeposited, andin the bank. All interestthereonon the money shall belong to the town. Subd. 5. They may acquire by gift or purchase, in the name of the town, a tract of land, either within orwithout thelimits ofoutside the town for public dumping ground for the use of the inhabitants of the townbut. Nosuch lands shallland for public dumping ground may be acquiredwithout the limitsofoutside the town without the approval of the governmental unitin which such lands arewhere the land is located. They maythereaftermaintain the dumping ground and, by resolution, adopt rulesand regulationsfor its use. Subd. 6. They may makesuchagreements with other counties, towns, statutory cities, governmental subdivisions, individuals or corporations as theyshalldeem necessaryfor thelocation, constructionto locate, construct, ormaintenance ofany suchmaintain the dumping ground. Subd. 7. They may provide for the prosecution or defense of actions at law or other proceedings in which thetownshiptown may be interested, andthey mayemploy counsel for the purpose. Nothingcontainedin this subdivision shall limitanypowers conferred on town boards of supervisors byanyotherprovision oflaw. Subd. 8. They shall designate one or more places in the town as public placesat whichwhere legal notices shall be posted, and provide facilities for posting noticesat theplaces; provided, thatthere. In a townwhich islocatedwithinin the geographical limits of a city, one or more notices may be posted in the city. The town board may waive the posted notice requirements of any law but shall theninsteadprovide for notice to be published once each week for two successive weeks in a newspaper of general circulation in the town. Subd. 9. They may sell and convey or lease real or personal property belonging to the town, notconveyed to andrequired to be held by the town for a special purpose. Subd. 10. They may declare that a violation of an ordinanceshall beis a penal offense andmayprescribethepenalties for violations, except as otherwise provided by law. No penalty shall exceed thatwhich isprovided by law for a misdemeanor, but the costs of prosecution may be added. Subd. 11. [OPEN MEETING LAW; EXEMPTION.] Except for the notice requirements, section 471.705 does not apply to a gathering of town board members to perform on-site inspections, if the town has no employees or other staff able to perform the inspections and the town board is acting essentially in a staff capacity. 366.015 [VOTE REQUIRED ON WEED DESTRUCTION.] Subdivision 1. [BALLOT, CONTENTS.] The town board at the annual town meeting may submit to a vote by ballot the following question: "Shall personsowningwho own oroccupyingoccupy real estateadjoiningthat adjoins a town road and is not a part of an incorporated municipality be required to remove rocksinexcess oflarger than five inches in diameter from and to cut, destroy or remove all weeds, grass and other plantsofup to three inches in diametergrowingthat grow upon the town road adjacent to their land? Yes ....... No ........" Subd. 2. [COST, LIEN ON LAND.] If a majority of the electors voting on the question vote "Yes," a personowningwho owns oroccupyingoccupies real estateadjoiningthat adjoins a town road and is not a part of an incorporated municipality shall cut, destroy or remove the material described on the ballot located upon the town road adjacent to the owner's land. A person who erects or maintains a mailbox on land not owned by the person shall cut, destroy or remove the material within five feet ofsuchthe mailbox. Ifany sucha person fails to comply with this provision, the town board of the town in which the real estate is located may, after ten days notice in writing, order the local weed inspector or other person to cut, destroy or remove the weeds or grassand. The expensethusincurred shall be a lien onsuchthe real estate. The town board shall certify to the county auditor an itemized statement of the amount of the expense paid by the townand. The county auditor shall entersuchthe amount on the tax books as a tax upon the land, which shall be collected in the same manner as other real estate taxes. 366.03 [REPAIR STATUTORY CITY STREETS.] Ifanya statutory city included in the limits of a town neglects to keep its streets in repair, the town board ofsuchthe town maycausemake repairs and improvementsto be madeonany sucha city street needed as a highway. 366.04 [TRANSFER FUNDS.]TheA town boardof any town in this stateby unanimous votethereofmay transferanya surplus beyond the needs of the current year inanya town fund to any other town fund to supply a deficiencytherein. 366.05 [PROSECUTE BONDS, PENALTIES, AND FORFEITURES.] The town board shall prosecute, in the name of the town and for its benefit, all actions upon bonds given to the town,ortoit,the board or its predecessors in office for its benefit,and. The board shall sue for and collect all penalties and forfeitures,in respect tofor which no other provision is made, incurred by any officer or inhabitant of the town, and in likemanner. The board shall prosecute for any trespass on town property.All moneysThe money collected under this section shall be paid to the town treasurer. 366.07 [TREASURER MAY SELECT DEPOSITORY.] If the town boardrefuses orfails to act, as provided in section 366.01, subdivision 4, within 30 days after the annual town meeting, the treasurer shall selectone or moredepositoriesa depository forthe deposit and the safekeeping oftown funds and deposittown fundsthem in the name of the town, obtaining securityfor the fundsas provided in section 366.01, subdivision 4. 366.08 [TREASURER NOT LIABLE, WHEN.] The town treasurer, in the absence of negligence, shall not be liable for the loss ofmoneys while somoney deposited within the limits above specified occasioned by the closing or insolvency of a designated depository. 366.09 [INTEREST ON FUNDS.] All interestreceivedon funds deposited undertheprovisions ofsections 366.06 to 366.09 shall be credited to the respective town funds. 366.095 [AUTHORITY TO ISSUE CERTIFICATES OF INDEBTEDNESS.] Subdivision 1. [CERTIFICATES OF INDEBTEDNESS.] The town board may issue certificates of indebtedness within theexistingdebt limits for a town purpose otherwise authorized by law. The certificates shall be payable in not more than five years andshallbe issued on the terms and in the manner as the board may determine. If the amount of the certificates to be issued exceeds 0.25 percent of the market value of the town, they shall not be issued for at least ten days after publication in a newspaper of general circulation in the town of the board's resolution determining to issue them; and. Ifbefore the end ofwithin that time, a petition asking for an election on the proposition signed by voters equal to ten percent of the number of voters at the last regular town election is filed with the clerk, the certificates shall not be issued untiltheproposition oftheir issuance has been approved by a majority of the votes cast on the question at a regular or special election. A tax levy shall be madefor the payment ofto pay the principal and interest on the certificates as in the case of bonds. Subd. 2. [BONDS; OTHER OBLIGATIONS.]AnyA town authorized to exercise powers under section 368.01 may issue bonds or other obligationsfor the acquisitionto acquire orbettermentofbetter warning systems. Bonds or other obligations authorized by this subdivision must be sold, issued, and securedin the manneras provided in chapter 475. 366.10 [ZONING REGULATIONS.] The board of supervisorsof any townmay submit to the legal voters of the townfor their approval or rejectionatanyan annual or special town meeting, the questionas towhetherornot suchthe board shall adopt building and zoning regulations and restrictions in the town. The boardof supervisorsinanya town which has within its borders a hospital established in accordance with Laws 1955, chapter 227, may submit to the votersof the town for their approval or rejectionatanyan annual or special town meeting, the questionas towhetheror not suchthe board shall adopt building and zoning regulations and restrictions in the town regulating the type of buildings that may be built or occupations carried on within a radius of one-half mile ofsuchthe hospital. 366.11 [BALLOTS.]ThereThe following question shall be printed on the ballots for the electionthe following: "Shall the board of supervisors adopt zoning and related regulations and restrictions? Yes............ No............" The voters shall place a cross-markinafter one of theabove squaresalternatives to express their choice. The ballot shall be cast and counted during the same hours and in the same manner as ballots for the election of the town officersof thetown and,. Except asherein expresslyprovided in sections 366.10 to 366.18,suchthe meeting and election shall be subject toallthe lawsof this stateregulating town meetings and elections of town officersin the town. 366.12 [REGULATIONS.] If a majority of the voters voting onsuchthe question vote "Yes," the town boardshall be authorized and empowered tomay regulate: (1) the location, height, bulk, number of stories, size of buildings and other structures, (2) the location of roads and schools, (3) the percentage of lot which may be occupied, (4) the sizes of yards and other open spaces, (5) the density and distribution of population, (6) the uses of buildings and structures for trade, industry, residence, recreation, public activities or other purposes, and (7) the uses of lands for trade, industry, residence, recreation, agriculture, forestry, soil conservation, water supply conservation, or other purposes, and. To carry outthe provisions ofthisgrantsection it shall issue building permits, and. It shall be unlawful to erect, establish, alter, enlarge, use, occupy, or maintainanya building, structure, improvement, or premises withoutfirsthavingobtained sucha building permit. Before adoptinganya regulation under this section the board shall hold a public hearing on the matter with noticeinthe manneras provided in section 366.15. This section is subject tothe provisions and limitationsofsection 366.13. 366.13 [ZONING DISTRICTS.] Forany or all of thesethe purposesthe board ofsupervisors of any such town whereof sections 366.10 to 366.18, if a majority of thelegalvoters votingthereonon the question have voted "Yes" atsuchan election under section 366.12, the town board may divide theportions of thetown into districts or zones ofsuchthe number, shape, and area asmay be deemedit deems best suited to carry outthe purposes ofsections 366.10 to 366.18, and. Withinsuchthe districts or zones it may regulate and restrict: (1) the location, height, bulk, number of stories, size of buildings and other structures, (2) the location of roads and schools, (3) the percentage of lot which may be occupied, (4) the sizes of yards and other open spaces, (5) the density and distribution of population, (6) the uses of buildings and structures for trade, industry, residence, recreation, public activities, or other purposes, and (7) the uses of land for trade, industry, residence, recreation, agriculture, forestry, soil conservation, water supply conservation, or other purposes.All suchThe regulations shall be uniform for each class and kind of buildings and for the use of land throughout each district, buttheregulations in one district may differ from those in other districts.No suchThe boardof supervisorsmay not makeanya regulation prohibiting the erection, establishment, alteration, enlargement, use, occupancy or maintenance ofanya landing area or airport as defined by theact of Congress known as thefederal Civil Aeronautics Act of 1938, owned byanya municipality, political subdivision, or public corporation created in and for any two or more municipalities, the operation and use of which has been approved by the department of transportation or by the Civil Aeronautics Boardof the UnitedStates, nor shall anyand no permit underthe provisions ofsections 366.10 to 366.18 shall be required forany suchits erection, establishment, alteration, enlargement, use, occupancy or maintenance.AnyRegulationsheretoforemade byanya boardof supervisorsbefore April 20, 1943 prohibiting such erection, establishment, alteration, enlargement, use, occupancy or maintenance of airports arehereby abrogated andannulled. Before adoptinganya division or regulation under this section the board shall hold a public hearing on the matter with noticein the manneras provided in section 366.15. 366.14 [PURPOSE OF REGULATIONS.]TheseRegulations shall be made in accordance with the comprehensive plan, designed and enacted for the purpose ofpromotingto promote the health, morals, convenience, order, prosperity, or welfare of the present and future inhabitants ofany suchthe town, including, among other things,: (1) lessening congestion in streets or roadsor; (2) reducing the wastes of excessive amounts of roads; (3) securing safety from fire and other dangers; (4) providing adequate light and air; (5) preventing, on the one hand,excessive concentration of population and, on the other hand,excessive and wasteful scattering of population or settlement; and (6) promotingsucha distribution of population andsuchclassification of land uses and distribution of land development and utilizationasthat willtend tofacilitate and conserve provisions for transportation, water flowage, water supply, drainage, sanitation, educational opportunities, recreation, soil fertility, food supplies, and protection ofbothurban and nonurban development. 366.15 [DISTRICTS OR ZONES, AMENDMENT.] The boardof supervisors of any such town where a majorityof the legal voters voting thereon have voted "Yes" at suchelectionmay, from time to time,amend the number, shape, boundary, or area ofanya district or zone, oranya regulation of area withinsucha zone, oranya provision of the zoning resolution. Before finally adoptingany suchan amendment the boardof supervisorsshall hold a public hearingthereonon it, after giving at least ten days notice of the time and place of the hearing,which notice shall be givenby at least one publication in a newspaper of general circulation in the countyin which suchwhere the town is located; provided, that. Nosuchchangeshallmay be made in the boundary line of zones or districts unless at least 50 percent of the owners of the lands proposed to be changedshallfile a petition forsuchthe change. 366.16 [TOWN BUILDING COMMISSIONER.] The town boardof supervisors of any such town where themajority of legal voters voting thereon have voted "Yes" at suchan electionmay enforcethesethe regulations by withholding building permits, and. Forsuchthe purposes of sections 366.10 to 366.18 it may establishand fillthe position of town building commissioner and fixtheits compensationattached tosuch position.In case anyIf a building or structure is or is proposed to be erected, constructed, reconstructed, altered, or used or any land is or is proposed to be used in violation of sections 366.10 to 366.18 orof anya regulation or provision enacted or adopted by the boardof supervisors of any townunderthe authority granted bysections 366.10 to 366.18,and suchelection, suchthe board, the attorney of the countywhereinsuchwhere the town is situated, the town attorney, the town building commissioner, or any adjacent or neighboring property owner may institutean injunction, mandamus, abatement, orany appropriate action to preventor, enjoin, abate, or removesuchthe unlawful erection, construction, reconstruction, alteration, maintenance, or use. 366.17 [PLANNING AND ZONING COMMISSION.]For the purpose of carryingTo carry outthe provisions ofsections 366.10 to 366.18, the town boardof supervisors of anysuch town where the majority of legal voters voting thereon havevoted "Yes" at such electionmay appoint a planning and zoning commission, all of whom shall be freeholders;. The number ofsuchcommissionerstoshall be determined by the board. The planning and zoning commission shall act as an adviser tosuchthe town board, and. The commission may be empowered to employ a civil engineer or city planner asmay berequiredforestablishingto establish the districts or zones of any parts ofsuch townsthe town. 366.18 [EXISTING BUILDINGS NOT CHANGED.] The zoning resolution, as adopted by the board ofsupervisors of any such town or as subsequently amended,shall not prohibit the continuance of the use of a building for any trade or industry for whichsuch buildingit was usedat thetimewhen the resolution took effect or the alteration of or addition toanyan existing building or structurefor thepurpose of carryingto carry onanya prohibited trade or industrywithinin the zone wheresuch structures areit is located. 366.181 [VIOLATIONS; PENALTIES.]AnyA person whoshallknowinglyviolate, infract, ordisobey any of the provisionsviolates a provision orthe rulesrule of zoning regulations adopted by any town board pursuant toMinnesota Statutes 1945,sections 366.10 to 366.18,shall beis guilty of a misdemeanor. 366.19 [LICENSES.]AnyA person whoshall exhibit anyexhibits a circus, theatrical performance, or show of any kind, or whoshall keepkeeps a billiard, pool, or pigeonhole table, or a bowling alley inanya town, without first obtaining a licensethereforfor it, as provided in section 366.01,shall beis guilty of a misdemeanor. 366.20 [MEETINGS.] The town board shallconstitutebe a board of audit andshallmeet each year, on a date fixed by the town board,for thepurpose of auditingto audit andsettlingsettle all charges against the town. All unpaid accounts of town officers for services rendered since the last annual meeting of the board shall be presented at the meeting. It may also meet atanyother timesfor the purpose of auditingto audit andsettlingsettle charges against the town. No allowance ofanyan account shall be made which does not specifically itemize the account. A quorum fortransacting business bythe board of audit shall be the same as for the board of supervisors. 366.21 [DUTIES.] It shall be the duty of the board of audit: (1) To examine and audit the accounts separately of each town officer authorized by law to receive or disburse money; (2) To examine and audit every account presented against the town, and to endorsethereonand state on it the amount allowed and disallowed, stating the items; and. No allowance shall be made on any account which does not specifically give each item, withtheits date, amount, and naturethereof,separately.(SuchThe statement shall be verified by the claimant, the claimant's agent or attorney, and filed with the town clerk, and. Nosuchclaimagainst any townshall be considered or acted upon unlesssuchthe statementshall beis made and filed); (3) To examineintothe character and circumstances of every other demand presented against the town which it is not authorized to audit, and in its reporttogive a summarythereofof it, with its recommendations in regardtheretoto it; (4) To report in detail the items of accounts audited and allowed or disallowed, the nature of each, and the person to whom allowed, and the same in respect to accountsor disallowed.SuchThe report shallalsocontain a statement of the fiscal affairs of the town, with an estimate of the sum necessary to be raised for the current expenses or other authorized purpose for the ensuing year, andsuchother recommendations as it may deem advisable. 366.22 [POSTING AND READING REPORT; FEE.] The clerk shall post a copy of the report at the place ofholdingthe annual meeting at least half an hour before the time for the annual meeting to convene. The report shall also be publicly read by the clerk to the meeting, and. The whole report or anyportion thereofpart of it may be referred by the meeting to a committee, which shall examinethe sameand report to the meetingthereonon it. For making the report the clerk shall receive one-half of the fees allowed by law for making the original report. 366.27 [FIREFIGHTERS' RELIEF; TAX LEVY.] The town board ofanya townin this state having thereinwith a platted portionon which there residewhere 1,200 or more people,reside andwherein a dulyan incorporated firefighters' relief associationis locatedmay each yearat the timewhen the town tax leviesfor the support of the townare madeand inaddition theretoalso levy a tax not to exceed one-third of one mill on all taxable property within the town for the benefit ofsuch reliefthe association. ARTICLE 8 Section 1. [EFFECT OF CHANGES.] The legislature intends the changes in the language of the laws amended by this act to be exclusively changes in style. No change is intended to alter or shall be construed by a court or other authority to alter the meaning of a law. If a section is amended by this act and also by another act adopted in 1989 and the amendments cannot be edited together in the next publication of Minnesota Statutes, the amendment by this act shall be without effect. Presented to the governor May 18, 1989 Signed by the governor May 19, 1989, 11:00 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes