Food Licensing Modernization – Background
The Minnesota Department of Agriculture (MDA) Food and Feed Safety Division initiated a Food Licensing Modernization Project in early 2024 to identify and plan actions to address challenges with current food licensing. The Minnesota Legislature had last made major modifications to the MDA food licensing in 2003, though the state’s food business landscape has evolved significantly since that time. MDA’s desired outcomes for license modernization included:
- Simplification of licensing structure
- Improved business access
- Capability for business innovation
- Flexibility for business adaptability and evolution
- Correlation to food safety risk
- Sustainability for program funding
The MDA used a two-phase approach to solicit input for the licensing model. A summary of the stakeholder engagement process can be found here: Summary of Input and Feedback on Potential Changes to the MDA Food Licensing Model (PDF).
Phase 1: An independent consultant, The Improve Group, interviewed people affected by food licensing in Minnesota. Interviewees brough experience from grocery, retail, chain stores, small entrepreneurs, cottage food, farms, food trucks, farmers' markets, breweries, vineyards, commercial kitchens, culturally specific enterprises, Native Nation food systems, and researchers. A detailed report of this input was prepared and can be found here: Partner Feedback on the Potential Food Licensing Model Summary Report (PDF).
Phase 2: In response to input from Phase 1, the MDA developed a new potential licensing model with the aims of simplifying and better facilitating business access, innovation, and adaptation/evolution. Phase 2 focused on soliciting feedback on the drafted licensing model from potential licensees and their supporting partners. The MDA and The Improve Group used a survey, listening sessions, and a virtual bulletin board to collect feedback from people affected by license structures. A detailed report of the feedback can be found here: Partner Input to Develop Home Food Processor License Report (PDF).
Food Licensing Modernization – New Model
Revisions to the MDA food licensing law were signed into law on May 23, 2025, and went into effect on August 1, 2025. Changes are now in place for all new food businesses, and existing food businesses will be updated as they renew their licenses. For more detail, please see House File 2446, lines 78.13 through 89.5.
Key licensing changes:
- Multiple existing license classifications have been simplified into one “Food Handler” license.
- Most licenses will be moved to a January 1 through December 31 license period. Mobile food businesses will remain on an April 1 through March 31 license period. Food businesses operating only at the state fairgrounds will remain on a July 1 through June 30 license period.
- A business’s initial license fees will now be pro-rated when applicable.
- License fee schedules are based on food safety risk in addition to business size. Additionally:
There is one main fee schedule for all food handlers.
All new businesses applying for a license will pay an initial $50 application fee.
The MDA has the authority to modify license fees based on inflation once every 5 years.
- Small businesses (<$50,000 annual sales) may operate up to three business locations under a single license.
- While not a license, revisions to the Minnesota Cottage Food Law were also signed into law on May 23, 2025. These changes will go into effect on August 1, 2027. More information on changes to Minnesota’s Cottage Food law can be found here.
What does not change:
- Licensing modernization does not change who needs a license or when a license is needed.
- Food safety regulations have not changed. Food businesses selling food products at retail will still be required to follow the Minnesota Food Code, and food businesses primarily manufacturing or wholesaling food products will still be required to follow applicable sections of the Code of Federal Regulations, such as Good Manufacturing Practices (GMPs).
- The license and permit technology surcharge (MINN. STAT. 17.033) remains in effect.
- The Home Food Processor license category was NOT included in the law change. Currently, only registered Minnesota Cottage Food Producers may make and sell food from out of a private home kitchen.
Timeline for Licensing Modernization Implementation:
- August 1, 2025: All new food businesses will now apply for a Food Handler license, which includes a new $50 application fee.
- January 1, 2026: All renewing Manufacturer/Processor licenses will be converted to Food Handler licenses.
- April 1, 2026: All renewing Mobile Food licenses will be converted to Food Handler licenses.
- July 1, 2026: All renewing Retail and Wholesale licenses will be converted to Food Handler licenses at a 6-month prorated fee.
- January 1, 2027: Converted Retail and Wholesale licenses will renew starting January 1 for the full calendar year.
For food licensing questions please contact MDA Licensing at mda.licensing@state.mn.us or 651-201-6062.
