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·        Historically, the MDA has offered two types of nursery certificates, one for nursery growers and one for nursery dealers.

·        Beginning January 1, 2025, the two certificate types will be combined into one and all nursery certificate holders will be considered Live Plant Dealers:

"Live Plant Dealer" means an entity who:

(1)   raises, grows, or propagates nursery stock for sale, outdoors or indoors;

(2)   acquires and further distributes nursery stock, including through landscaping or distribution with a tree spade; or

(3)   operates a business in Minnesota selling nursery stock with or without taking ownership or handling the nursery stock

2023 Minnesota Statutes 18H.02 Subd. 15b.

·        All 2024 nursery certificates will be renewed as Live Plant Dealer nursery certificates for 2025.

• Many certificate holders grow stock and sell finished stock purchased from others and a single certificate type simplifies participation in the program.
• A single certificate type also allows for one fee schedule for all program participants.

• The MDA first worked with our Nursery Advisory Group, comprised of Minnesota nursey industry stakeholders, to vet this change to the program. 
• The MDA then proposed the changes to Minnesota Statute 18H during the 2023 legislative session and the language was passed without opposition.

• The MDA worked with our nursery advisory group to create the single fee schedule.
• Our goal was to keep overall program revenue about the same before and after the change.
• We expect that small-sized nursery businesses will see some reduction in the fee paid, medium-sized businesses will see little change, and large nursery businesses may see some increase.

• Individuals do not need a nursery certificate if they sell less than $1,000 of nursery stock per year, all stock sold is intended for planting in Minnesota, all of the stock was grown in Minnesota by the seller, and stock is sold on 10 or fewer days per year. 
• Starting in 2025 non-profits and municipalities producing stock for planting on public property will be required to have a certificate but there will be no fee associated. 

A combination of three factors will be used to calculate the renewal fee: 

1. $50 base certificate fee per sales location (one certificate per sales site) 

2. If you grow nursery stock (see definition below), it must be inspected, and the fee is $100 plus $10 per growing acre up to 200 acres.

3. If you purchase and resell finished nursery stock (see definition below) there is a fee based on Gross Annual Purchase of that stock during 2024 (see table below). We are no longer collecting information on Gross Annual Sales.

• A 5% processing surcharge (minimum $5.00) on the base certificate fee will be included in accordance with Minnesota Statute 17.033. 
• A credit card payment includes a 3% transaction fee. 
• If you renew your certificate after December 31, 2024, a late fee penalty of 25% will be added to the cost.

Definitions:

• Nursery Stock: Any plant or plant part that can be propagated, grown, and overwintered outdoors in Minnesota, including but not limited to trees, shrubs, vines, woody and herbaceous perennials, cold hardy bulbs, biennials, grafts, cuttings, and buds. 
• Nursery Stock Grown: Seeds, bare roots, or small plants purchased and actively grown in pots or in the ground to increase their size or quantity. 
• Finished Nursery Stock: Finished product purchased with the intent to resell as-is that same year. 

You can track your gross nursery stock purchases by tallying your annual nursery stock purchase receipts. You can also ask your suppliers for an invoice of all your nursery stock purchases each fall. 

Do not include tax, shipping, or handling in your total. 

Each of your retail locations will be assigned a unique certificate number and each store will have its own renewal form. 

If you only sold finished nursery stock, you would owe a base certificate fee per sales location and an additional fee based on how much you spent purchasing finished stock for 2024. Finished nursery stock includes stock that was purchased with intent to sell as is. For example, if you are a landscaper or garden center with one sales location and you spent $15,000 buying nursery stock to sell in 2024, your 2025 renewal fee would include the $50 base certificate fee and $100 nursery stock purchases fee. Your total fee would equal $150. 

If your business grew all the nursery stock it sold, you would owe a base certificate fee, a nursery stock grower inspection fee, and a fee per acre you grew on up to 200 acres. Growing nursery stock involves purchasing seed or small plants and producing nursery stock in pots or in the ground by actively increasing their size or quantity. For example, if you were a 20-acre tree farm that grew what you sold, your renewal fee would include the $50 base fee, the $100 nursery stock inspection fee, and the $10 per acre growing fee. In this case you would pay $10 for each of your acres, adding up to $200. Your total fee would equal $350. 

If you grew nursery stock and resold finished nursery stock purchased from others, you would owe a base certificate fee, a nursery stock purchase fee, a nursery stock grower inspection fee, and a fee per acre you grew on up to 200 acres. For example, if you bought $5,000 of finished nursery stock from others to resell, and owned two acres of greenhouse space where you also grew nursery stock you sold, your renewal fee would include the $50 base certificate fee, the $50 nursery stock purchases fee (based on the table above), the $100 nursery stock grower inspection fee, and the $10 per acre growing fee. In this case you would pay $10 for each of your two acres, adding up to $20. Your total renewal fee would equal $220. 

Gross annual sales equal the total revenue generated from product sold in a calendar year. Gross annual purchases equal the total dollar amount spent in a calendar year buying finished nursery stock for re-sale. 

There are 43,560 square feet in an acre. Divide your total growing square footage by 43,560 to calculate your growing acres. For example, if your total growing square footage was 21,780 you would have .5 total growing acres. 

Total reported acres will be rounded to the nearest acre. If you grow on less than half an acre, it will be rounded down to zero acres and your fee will include the $50 base certificate fee and the $100 nursery stock grower inspection fee with no additional acreage fee. 

If you only purchase finished nursery stock, you would owe a base certificate fee per sales location and an additional fee based on how much you spent purchasing finished stock for 2024. Finished nursery stock is plant material you order or pick up from a greenhouse, nursery, or garden center that is typically containerized (or ball and burlap) at a sellable size and you sell it or install it as is.

For example, if you are a landscaper with one sales location and you spent $15,000 buying nursery stock to sell in 2024, your 2025 renewal fee would include the $50 base certificate fee and $100 nursery stock purchases fee. Your total fee would equal $150.

Soil and Water Conservation Districts (SWCD) are not considered municipalities, please select "Broker" on your nursery certificate application. 

If you only purchase finished nursery stock, you would owe a base certificate fee per sales location and an additional fee based on how much you spent purchasing finished stock for 2024. Finished nursery stock is plant material you order or pick up from a greenhouse, nursery, or garden center that is typically containerized (or ball and burlap) at a sellable size and you sell it as is. If you purchase bare root stock and sell it as bare root stock it is considered finished nursery stock. 

For example, if you have one sales location and you spent $15,000 buying nursery stock to sell in 2024, your 2025 renewal fee would include the $50 base certificate fee and $100 nursery stock purchases fee. Your total fee would equal $150.