Revision: Feb. 17, 2017, 4:48 p.m.
SB 10-FN - AS AMENDED BY THE SENATE
02/09/2017 0136s
2017 SESSION
17-0247
08/10
SENATE BILL 10-FN
AN ACT relative to dairy farmer relief.
SPONSORS: Sen. Bradley, Dist 3; Sen. D'Allesandro, Dist 20; Sen. Fuller Clark, Dist 21; Sen. Morse, Dist 22; Rep. Hinch, Hills. 21; Rep. Umberger, Carr. 2
COMMITTEE: Energy and Natural Resources
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This bill creates a program to repay licensed milk producers from losses they may have incurred during the 2016 drought.
This bill also allows the commissioner of the department of agriculture, markets, and food to appoint a designee to serve on the Milk Producers Emergency Fund Board.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
02/09/2017 0136s 17-0247
08/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seventeen
AN ACT relative to dairy farmer relief.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Appropriation. There is hereby appropriated to the milk producers emergency relief fund established in RSA 184:107 the sum of $2 million for the fiscal year ending June 30, 2017, which shall be expended not later than April 15, 2017, to bovine milk producers licensed by the state of New Hampshire for relief from the 2016 drought under RSA 184:110-a.
2 New Section; Milk Producers Emergency Relief Fund; 2016 Drought Relief. Amend RSA 184 by inserting after section 110 the following new section:
184:110-a 2016 Drought Relief.
I. The milk producers emergency relief fund shall be used to pay bovine milk producers licensed by the state of New Hampshire for relief from the 2016 drought.
II. Each bovine milk producer shall receive a share of $2 million dollars appropriated for such purpose in proportion to the drought-caused decline in his or her home grown production of feed and/or increase in cost of his or her purchased forage feed, less in each case any drought-related payments received from the federal government.
III. The distribution of the funds appropriated in paragraph I shall be administered by the milk producers emergency relief fund board established in RSA 184:109 who in so doing shall be exempt from the provisions of RSA 541-A.
IV. A bovine milk producer who receives drought-relief payments under this section shall repay such amounts to be deposited in the general fund of the state of New Hampshire if the farmer ceases to be a bovine milk producer before December 31, 2022.
3 New Paragraph; Milk Producers Emergency Fund Board; Duties. Amend RSA 184:110 by inserting after paragraph V the following new paragraph:
VI. Administering money for relief from the 2016 drought in accordance with RSA 184:110-a.
4 Milk Producers Emergency Fund Board; Membership. Amend RSA 184:109, I(a) to read as follows:
(a) The commissioner, or designee.
5 Effective Date. This act shall take effect upon its passage.
17-0247
Amended 2/17/17
SB 10-FN- FISCAL NOTE
AS AMENDED BY THE SENATE (AMENDMENT #2017-0136s)
AN ACT relative to dairy farmer relief.
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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| Estimated Increase / (Decrease) | |||
STATE: | FY 2017 | FY 2018 | FY 2019 | FY 2020 |
Appropriation | $2,000,000 | $0 | $0 | $0 |
Revenue | $0 | $0 | $0 | $0 |
Expenditures | Indeterminable Increase | $0 | $0 | $0 |
Funding Source: | [ X ] General [ ] Education [ ] Highway [ ] Other | |||
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METHODOLOGY:
This bill appropriates $2 million of general funds to the Milk Producers Emergency Relief Fund effective upon passage of this bill to provide monetary relief to licensed New Hampshire bovine milk producers for losses experienced during the 2016 drought. The entire $2 million must be expended no later than April 15, 2018. The Milk Producers Emergency Relief Fund Board shall be responsible to provide a proportional share of the funds to each bovine milk producer based on home grown feed production loss and increased costs of purchased feed, less any federal drought relief payments. If any applicant that is provided a payment under this program ceases to be a milk producer on or before December 31, 2022, they shall reimburse the State the entire amount paid to them.
The Department of Agriculture, Markets and Feed assumes it will administer the disbursements of funds provided for in this bill. The Department estimates approximately 80 percent or 92 of the State's 115 dairies would qualify and apply for the funds. The Department assumes it will need to reassign an existing staff person to implement the provisions of this bill and that it will take approximately one staff member two days to develop application forms and 3.75 hours to process each of the 92 applications it anticipates receiving (a full work day is considered 7.5 hours). Additionally, the Department anticipates at least 120 inquires from dairies lasting in duration of 15 minutes each. Consequently, the Department estimates this bill will require 52 days of staff time (((2 days to develop applications * 7.5 hours) + (92 applications * 3.75 hours) + (120 phone inquires * .25 hours)) / 7.5 hours = 52 days).
If a bovine milk producer receives payment under this bill and subsequently ceases operations prior to December 31, 2020, then the Department of Justice may incur increased costs resulting from the recoupment of any amounts paid.
AGENCIES CONTACTED:
Department of Agriculture, Markets and Food and Department of Justice