Relates to creating a farm investment fund

5 Co-sponsors

• William J. Larkin Jr.
• Kathleen A. Marchione
• Marc Panepinto
• Patty Ritchie
• David J. Valesky

Title of bill

An act to amend the agriculture and markets law and the New York state urban development corporation act, in relation to creating a farm investment fund

Summary of specific provisions

Section 1 Would amend the Agriculture and Markets Law by adding a new subdivision 49, authorizing the Department to cooperate with the Empire State Development Corporation to develop the "Farm Investment Fund" program to provide grants to farmers for the purposes of updating and improving their farm and farm practices.

Section 2 would amend the Urban Development Corporation Act to add a new section 16-x to create the Farm Investment Fund to make grants to eligible applicants for investments in their farm and farm practices, including, but not limited to, infrastructure, equipment and marketing of farm products. Such investment may also include updating and improving agricultural environmental management, as defined in Article 11-A, practices, equipment and infrastructure. The corporation would consult with the Department of Agriculture and Markets in order to establish criteria governing the award of grants including, but not limited to, 'farmers who produce a product in the State, demonstrate innovative plans for investing in their farms and farmers who have developed a formal business plan. The Corporation would not invest an amount in any single beneficiary that exceeds fifty thousand dollars, subject to any exceptions to be established by guidelines of the corporation.

Section 3 provides that funding for such program shall consist of all revenue received pursuant to an appropriation thereto, and all other monies appropriated, credited or transferred from any other source pursuant to law. Nothing in this section shall be deemed to prevent the state from receiving grants, gifts or bequests for the purpose of the program. Grants shall only be awarded based upon the availability of funds.

Section 4 sets forth the effective date.

Justification

For decades, the number of farmers has been shrinking as a share of the population, but the last Agricultural Census in 2007 showed a 4 percent increase in the number of farms. It is the first increase since 1920, and in many cases, young people and college graduates are joining in the return to the land.

While there has been an increase in promoting locally grown food, New York's farmers still struggle to get a foothold in this promising new market. While start-up costs for the smallest operations can still be daunting, the difference between success and failure can be a matter of investment that leads to greater productivity. The Farm Investment Fund would feature grants of up to $50,000 to help farmers with the cost of infrastructure, equipment, and practices.

Prior legislative history

New Bill

Fiscal implications

Subject to appropriation.

Effective date

This act shall take effect on the first of April next succeeding the date on which it shall have become a law.