Text: HF00162 Text: HF00164 Text: HF00100 - HF00199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 9H.1, Code 1995, is amended by adding 1 2 the following new subsection: 1 3 NEW SUBSECTION. 2A. "Authorized entity" means an 1 4 authorized farm corporation; authorized trust; authorized 1 5 limited liability company; or limited partnership, other than 1 6 a family farm limited partnership, which owns or leases 1 7 agricultural land. 1 8 Sec. 2. Section 9H.5, subsection 2, Code 1995, is amended 1 9 by striking the subsection and inserting in lieu thereof the 1 10 following: 1 11 2. a. A person who holds an interest in an authorized 1 12 entity shall not hold an interest in another authorized 1 13 entity, if all authorized entities in which the person would 1 14 hold an interest own or lease a combined total of more than 1 15 one thousand five hundred acres of agricultural land. If a 1 16 person holds an interest in more than one authorized entity, 1 17 all authorized entities in which the person holds an interest 1 18 shall not own or lease a combined total of more than one 1 19 thousand five hundred acres of agricultural land. 1 20 b. As used in this section, an interest in an authorized 1 21 entity means holding an interest as any of the following: 1 22 (1) A stockholder of an authorized farm corporation. 1 23 (2) A beneficiary of an authorized trust. 1 24 (3) A limited partner in a limited partnership which owns 1 25 or leases agricultural land, other than a family farm limited 1 26 partnership. 1 27 (4) A member of an authorized limited liability company. 1 28 c. This subsection shall not apply to the extent that an 1 29 interest in an authorized entity was held on or before July 1, 1 30 1988. 1 31 Sec. 3. Section 9H.5, subsection 3, paragraph a, Code 1 32 1995, is amended to read as follows: 1 33 a. An authorized farm corporation, authorized trust, 1 34 authorized limited liability company, or limited partnership 1 35 violating this section shall be assessed a civil penalty of 2 1 not more than twenty-five thousand dollars and shall divest 2 2 itself of any land held in violation of this section within 2 3 one year after judgment. A civil penalty of not more than one 2 4 thousand dollars may be imposed on a person whobecomesholds 2 5 an interest in an authorized entity by being a stockholder of 2 6 an authorized farm corporation, beneficiary of an authorized 2 7 trust, member of an authorized limited liability company, or 2 8 limited partner in a limited partnership in violation of this 2 9 section. The person shall divest the interest held by the 2 10 person in the corporation, trust, limited liability company, 2 11 or limited partnership to comply with this section. The court 2 12 may determine the method of divesting an interest held by a 2 13 person found to be in violation of this chapter. A financial 2 14 gain realized by a person who disposes of an interest held in 2 15 violation of this chapter shall be forfeited to the state's 2 16 general fund. All court costs and fees shall be paid by the 2 17 person holding the interest in violation of this chapter. 2 18 EXPLANATION 2 19 This bill amends chapter 9H, which in part prohibits a 2 20 person from acquiring an interest in more than one authorized 2 21 farm corporation, authorized trust, authorized limited 2 22 liability company, or limited partnership which owns or leases 2 23 agricultural land. 2 24 This bill provides that a person who holds an interest in 2 25 one of these entities, defined in the bill as an "authorized 2 26 entity", is prohibited from holding an interest in another 2 27 authorized entity, if all authorized entities in which the 2 28 person would hold an interest own or lease a combined total of 2 29 more than 1,500 acres of agricultural land. The bill also 2 30 provides that if a person holds an interest in more than one 2 31 authorized entity, all authorized entities in which the person 2 32 holds an interest are prohibited from owning or leasing a 2 33 combined total of more than 1,500 acres of agricultural land. 2 34 A person holding multiple interests in authorized entities 2 35 in violation of the bill is subject to a civil penalty of up 3 1 to $1,000. An authorized entity which holds more land than 3 2 permitted under this bill is subject to a civil penalty of up 3 3 to $25,000. 3 4 LSB 1625YH 76 3 5 da/jw/5.2
Text: HF00162 Text: HF00164 Text: HF00100 - HF00199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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