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HB 354: "An Act relating to a program of state inspection for certain meat processing facilities; establishing temporary grant programs for certain meat processing facilities and for farm development and improvement; and providing for an effective date."

00 HOUSE BILL NO. 354 01 "An Act relating to a program of state inspection for certain meat processing facilities; 02 establishing temporary grant programs for certain meat processing facilities and for 03 farm development and improvement; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 17.20.005 is amended to read: 06 Sec. 17.20.005. Powers and duties of commissioner. To carry out the 07 requirements of this chapter, the commissioner may issue orders, regulations, permits, 08 quarantines, and embargoes relating to 09 (1) food offered to the public or sold, subject to AS 17.20.017, 10 including 11 (A) inspection of meat, fish, poultry, and other food products; 12 (B) standards of sanitation and handling methods for all phases 13 of slaughtering, processing, storing, transporting, displaying, and selling; 14 (C) labeling; and

01 (D) the training, testing, and certification requirements for 02 individuals who handle or prepare food, their supervisors, and their employers 03 to ensure their knowledge of food safety and sanitation principles and 04 requirements; 05 (2) control and eradication of pests; 06 (3) enforcement of hazard analysis critical control point programs for 07 seafood processing that are developed in cooperation with appropriate industry 08 representatives or, to the extent not inconsistent with this chapter or regulations 09 adopted under the authority of this chapter, that are established by regulations of the 10 United States Food and Drug Administration as they may periodically be revised; 11 (4) labeling, subject to AS 17.20.013, and grading of milk and milk 12 products and standards of sanitation for dairies offering to the public or selling milk or 13 milk products to at least the minimum of current recommendations of the United 14 States Public Health Service pasteurized milk ordinance as it may periodically be 15 revised; 16 (5) standards and conditions for the operation and siting of aquatic 17 farms and related hatcheries, including 18 (A) restrictions on the use of chemicals; and 19 (B) requirements to protect the public from contaminated 20 aquatic farm products that pose a risk to health; 21 (6) monitoring aquatic farms and aquatic farm products to ensure 22 compliance with this chapter and, to the extent not inconsistent with this chapter or 23 regulations adopted under the authority of this chapter, with the requirements of the 24 national shellfish sanitation program manual of operations published by the United 25 States Food and Drug Administration as it may periodically be revised; 26 (7) tests and analyses that may be made and hearings that may be held 27 to determine whether the commissioner will issue a stop order or quarantine; 28 (8) transportation of, use of, disposal of, recalls of, or warnings 29 concerning quarantined or embargoed items; 30 (9) cooperation with federal and other state agencies. 31 * Sec. 2. AS 17.20 is amended by adding a new section to read:

01 Sec. 17.20.017. Inspection of processed meat products. (a) The department 02 may adopt regulations to establish a program of state inspection for the processing and 03 sale of meat products, including meat products from amenable species. 04 (b) The department may administer and enforce regulations adopted under (a) 05 of this section for a program of state inspection for the processing and sale of meat 06 products from amenable species only if the program is approved by the federal 07 government. 08 (c) Regulations adopted by the department under this section must impose 09 requirements that are not less stringent than the requirements imposed under 21 U.S.C. 10 601 - 695 (Federal Meat Inspection Act) and 7 U.S.C. 1901 - 1907 (Humane Methods 11 of Slaughter Act). 12 (d) Subject to (b) of this section, and except as provided in (e) of this section, 13 if the department adopts regulations to establish a program of state inspection for the 14 processing and sale of meat products, the department shall 15 (1) license facilities that process meat products for sale to the public; 16 (2) adopt license requirements and fees for facilities that process meat 17 products for sale to the public; and 18 (3) use officers and employees of the department to inspect facilities 19 that are licensed under this subsection. 20 (e) The department may not establish, administer, or enforce a program of 21 inspection under this section for facilities that process meat products from equines. 22 (f) In this section, 23 (1) "amenable species" has the meaning given in 21 U.S.C. 601(w); 24 (2) "equine" means a member of the family Equidae. 25 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 26 read: 27 TEMPORARY GRANT PROGRAM FOR MEAT PROCESSING FACILITIES. (a) 28 The Department of Environmental Conservation shall establish a grant program by regulation 29 for the purpose of funding 30 (1) upgrades to a facility that is expected to operate under a program of state 31 inspection authorized under AS 17.20.017, added by sec. 2 of this Act;

01 (2) construction of a new facility that is expected to operate under a program 02 of state inspection authorized under AS 17.20.017, added by sec. 2 of this Act; and 03 (3) expansion of a facility that operates under a program of federal inspection 04 that plans to increase processing of meat from animals raised in the state. 05 (b) In administering the grant program established under (a) of this section, the 06 Department of Environmental Conservation 07 (1) shall develop criteria for awarding a grant and a process for applying for a 08 grant that includes requiring 09 (A) a grant applicant to submit a business plan; and 10 (B) the department to approve an applicant's business plan before 11 awarding a grant; 12 (2) shall award grants preferentially to support facilities that prioritize 13 seasonally feasible processing of meat from animals raised in the state; and 14 (3) may require a recipient of a grant to report to the department on the use of 15 grant funds. 16 (c) A recipient of a grant made under this section may use grant funds for costs 17 related to activities described in (a) of this section, including costs of technical assistance and 18 the purchase of equipment. 19 * Sec. 4. The uncodified law of the State of Alaska is amended by adding a new section to 20 read: 21 TEMPORARY GRANT PROGRAM FOR FARM DEVELOPMENT AND 22 IMPROVEMENT. (a) The division of the Department of Natural Resources with 23 responsibility for agriculture shall establish a grant program by regulation for the purpose of 24 funding investments in agriculture to build resiliency in the state's food supply. 25 (b) In administering the grant program established under (a) of this section, the 26 Department of Natural Resources 27 (1) shall develop criteria for awarding a grant and a process for applying for a 28 grant that includes requiring 29 (A) a grant applicant to submit a business plan; and 30 (B) the department to approve an applicant's business plan before 31 awarding a grant;

01 (2) may 02 (A) make grants of up to $15,000 each year to an applicant for a 03 maximum period of three years for eligible farm development and improvement 04 expenses approved by the department; 05 (B) require a recipient of a grant to report to the department on the use 06 of grant funds. 07 (c) Eligible expenses under (b)(2)(A) of this section include expenses relating to 08 (1) clearing of land for agricultural purposes; and 09 (2) the purchase, building, installation, maintenance, or improvement of 10 (A) irrigation, drainage, and other water management systems; 11 (B) fencing, trellising, barns, greenhouses, or other farm buildings or 12 structures; 13 (C) agricultural processing and farm equipment, including milking and 14 pasteurization equipment; 15 (D) livestock, feed, seeds, fertilizer, and seasonal extension equipment; 16 and 17 (E) bees and beekeeping equipment. 18 * Sec. 5. The uncodified law of the State of Alaska is amended by adding a new section to 19 read: 20 TRANSITION: REGULATIONS. The Department of Environmental Conservation 21 and the Department of Natural Resources shall adopt regulations necessary to implement this 22 Act. The regulations take effect under AS 44.62 (Administrative Procedure Act), but not 23 before the effective date of the law implemented by the regulation. 24 * Sec. 6. Sections 3 and 4 of this Act are repealed June 30, 2025. 25 * Sec. 7. Section 5 of this Act takes effect immediately under AS 01.10.070(c). 26 * Sec. 8. Except as provided in sec. 7 of this Act, this Act takes effect January 1, 2023.