BEFORE THE DEPARTMENT OF AGRICULTURE

OF THE STATE OF MONTANA

TO: All Concerned Persons

1. On December 21, 2006, the Montana Department of Agriculture published MAR Notice No. 4-14-173 relating to the above-stated rule at page 2996 of the 2006 Montana Administrative Register, Issue Number 24.

2. The agency has amended ARM 4.12.3013 exactly as proposed.

3. The following four comments were received and appear with the Department of Agriculture’s responses:

COMMENT 1: One comment expressed concern that the proposed rule would prohibit producers from growing protected varieties and then saving seed to plant back on their own property.

RESPONSE: The proposed rule only affects sales of seed that are protected under the Plant Variety Protection Act. Montana producers would still be able to save seed of protected and nonprotected varieties for use in planting in their farming operation.

COMMENT 2: Three comments were received in support of the proposed increased civil penalties. They stated that the increased penalty, in conjunction with increased enforcement, would slow illegal sales of plant protected varieties. Two comments expressed that penalties would need to be higher to effectively deter violations.

RESPONSE: The Montana seed industry, comprised of both Montana producers and seed dealers, feels that increased penalties and enforcement will deter the widespread practice of producers saving seed to sell. The department is committed to enforcing federal and state seed laws. The department will respond to complaints of violations and, when they have sufficient information and evidence to substantiate a violation, will take regulatory action.

DEPARTMENT OF AGRICULTURE

/s/ Nancy K. Peterson                                                     /s/ Gregory H. Ames

Nancy K. Peterson, Director                                          Gregory H. Ames

                                                                                           Rule Reviewer

Certified to the Secretary of State, January 29, 2007.