MinnesotaBill would limit nonprofit leases in farm-law definition to under 200 acres
If enacted, the bill would require nonprofit corporations to lease less than 200 acres to eligible farm entities to meet this part of the definition, starting August 1, 2026.
What it does
To fit this part of the nonprofit definition, a corporation must lease less than 200 acres to eligible farm entities. Other parts cover specific nonfarm uses or limited farming for education.
The text includes certain nonprofit leases in the exempt-land definition. Nonprofits already eligible to lease farmland before August 1, 2026, may continue under their earlier conditions and limits.
Argument forThe under-200-acre limit could keep this part of the farm-law exemption focused on nonprofits with smaller leases.
Argument againstNonprofits leasing 200 acres or more may not meet this part of the definition, which could limit their ability to rely on the exemption.
More detail
The text defines a nonprofit corporation partly by whether it leases less than 200 acres to eligible farm entities. The listed eligible lessees include family farms, farm corporations, partnerships, trusts, and limited liability companies. The definition also covers nonprofits using land for a specific nonfarming purpose or actively farming within separate acreage limits and using all profits for education. The section is set to take effect August 1, 2026.
The text includes certain nonprofit farmland leases in the definition of exempt land and allows some nonprofits to continue owning or leasing farmland under earlier limits. The specified exempt-land lease is agricultural land leased by a nonprofit to an eligible farm entity as of July 31, 2026. The continuation provision applies to nonprofits eligible to lease agricultural land before August 1, 2026, and keeps the conditions and limits previously allowed. The specified lease must exist as of July 31, 2026; the section is set to take effect August 1, 2026.
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Where it stands
- Introduced
- Passed 1st Chamber
- Passed 2nd Chamber
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- May 14Introduction and first reading, referred to Agriculture Finance and PolicyIntroduced
Agriculture