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Farm Garnishment Bill Public Hearing

On Thursday, April 1, the Senate Committee on Judiciary, Corrections, Insurance, Campaign Finance Reform, and Housing will hold a public hearing on Senate Bill 574, which I authored. Senate Bill 574 would create a garnishment exemption for family farms that are organized as a limited liability company or other legal entity.

Current state law provides a 75% exemption from garnishment of an individual’s net income. In addition, 75% of the income from the sale of agricultural products is also exempt from garnishment. However, this exemption is not extended to farms structured as a legal entity. SB 574 would provide the same protections to family farms organized as a legal entity as current law provides to farms operated as sole proprietors. This issue was brought to my attention by area residents.