CHAPTER 10D
AGRICULTURAL LAND INTERESTS OF QUALIFIED ENTERPRISES

Referred to in §16.79

Legislative purpose; 
2002 Acts, ch 1028, §1

  
     
10D.1  Definitions.
  As used in this chapter, unless the context otherwise requires:
  1.  “Agricultural land” means land suitable for use in farming as defined in section 9H.1.
  2.  “Baby chicks” means the same as defined in section 168.1.
  3.  “Qualified enterprise” or “enterprise” means a limited liability company as defined in section 489.102, a domestic or foreign corporation subject to chapter 490, a nonprofit corporation organized under chapter 504, a cooperative association as defined in section 10.1, or a foreign business as defined in section 9I.1.
2002 Acts, ch 1028, §3, 6; 2002 Acts, ch 1175, §74; 2004 Acts, ch 1049, §191; 2004 Acts, ch 1175, §393; 2008 Acts, ch 1162, §132, 154, 155

     
10D.2  Qualified enterprises — agricultural land interests.
  Notwithstanding any other provision of law, a qualified enterprise may acquire or hold an ownership or leasehold interest in agricultural land as long as the qualified enterprise complies with all of the following requirements:
  1.  The enterprise files a notice with the secretary of state not later than June 30, 2002. The notice shall be a simple statement providing the name of the enterprise and the address of the enterprise’s registered office or registered agent. The notice shall indicate that the enterprise intends to acquire or hold an interest in agricultural land under this chapter. The secretary of state shall file the notice together with reports required for the enterprise as required in chapter 10B.
  2.  The enterprise holds a total of not more than one thousand two hundred eighty acres of agricultural land. The enterprise must hold not more than eight hundred acres of agricultural land in any one county.
  3.  The enterprise only holds the agricultural land for a designated or incidental use.
  a.  A designated use must relate to producing baby chicks or fertile chicken eggs for any of the following purposes:
  (1)  Sale or resale as breeding stock or breeding stock progeny.
  (2)  Research, testing, or experimentation related to the genetic characteristics of chickens.
  (3)  The production and sale of products using biotechnological systems or techniques for purposes of manufacturing animal vaccine, pharmaceutical, or nutriceutical products.
  b.  An incidental use must be for a purpose related to the sale of a surplus commodity or cull animal that is produced or kept on the agricultural land, or to the sale of any by-product that is produced as part of a designated use.
2002 Acts, ch 1028, §4, 6

     
10D.3  Enforcement — penalties.
  1.  The office of attorney general or a county attorney shall enforce the provisions of this chapter.
  2.  A person who violates a provision of this chapter shall be subject to all of the following:
  a.  The person shall be assessed a civil penalty of not more than twenty-five thousand dollars. Each day that a violation exists constitutes a separate offense.
  b.  The person shall be divested of any land held in violation of this chapter within one year after judgment. The court may determine the method of divesting an interest held by a person found to be in violation of this chapter. A financial gain realized by the person that disposes of an interest held in violation of this chapter shall be forfeited.
  c.  The person shall pay all court costs and fees associated with any enforcement action which shall be taxed as court costs.
  3.  If the attorney general is the prevailing party, the moneys required to be paid or forfeited by a person who violates a provision of this chapter shall be deposited in the general fund of the state. If the county attorney is the prevailing party, the moneys shall be deposited in the general fund of the county.
  4.  The courts of this state may prevent and restrain violations of this chapter through the issuance of an injunction. The attorney general or a county attorney shall institute suits on behalf of the state to prevent and restrain violations of this chapter.
  5.  A person who is in violation of this chapter shall not be subject to an enforcement action other than as provided in this section.
2002 Acts, ch 1028, §5, 6