Revision: Feb. 10, 2021, 10:51 a.m.
HB 627-FN-A - AS INTRODUCED
2021 SESSION
21-0390
08/11
HOUSE BILL 627-FN-A
AN ACT establishing a value added grant matching fund for New Hampshire agricultural producers.
SPONSORS: Rep. Bixby, Straf. 17
COMMITTEE: Environment and Agriculture
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ANALYSIS
This bill establishes a value added grant matching fund and program for New Hampshire agricultural producers.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
21-0390
08/11
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty One
AN ACT establishing a value added grant matching fund for New Hampshire agricultural producers.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Subdivision; Value Added Producer Grant Program. Amend RSA 425 by inserting after section 26 the following new subdivision:
Value Added Producer Grant Program
425:27 Value Added Producer Grant Program.
I. There is established in the state treasury a fund, to be known as the value added producer grant fund, for the purpose of providing matching grants to recipients of federal value added producer grants from the United States Department of Agriculture. Moneys in this account shall be nonlapsing and continually appropriated to the department of agriculture, markets, and foods.
II. There is established in the department of agriculture, markets, and food the value-added producer grant program to assist New Hampshire agricultural producers in generating new products, creating and expanding marketing opportunities, and increasing agricultural producer income. The commissioner of the department of agricultural, markets, and food may accept gifts and donations of any kind for the purpose of funding the value-added producer grant program.
III. Any agricultural producer who receives a Value Added Producer Grant from the United States Department of Agriculture may apply to the commissioner to receive a grant from the department of agriculture, markets, and food for an amount equal to up to half of the grant received from the USDA. Such grant shall be issued within 60 days of receipt of the Value Added Producer Grant from the USDA.
IV. The commissioner shall award such grants in the same proportion for all recipients in a given application year.
V. The commissioner shall adopt rules under RSA 541-A relative to the administration of the program.
2 New Subparagraph; Value Added Producer Grant Fund. Amend RSA 6:12, I(b) by inserting after subparagraph (364) the following new subparagraph:
(365) Money received by the department of agriculture, markets, and food for administration for the value added producer grant fund established in RSA 425:27.
3 Appropriation. The sum of $100,000 for the fiscal year ending June 30, 2021 is hereby appropriated to the commissioner of the department of agriculture, markets, and food for the purpose of awarding value added producer grants to agricultural producers pursuant to RSA 425:27. Such funds shall be nonlapsing. The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.
4 Effective Date. This act shall take effect 60 days after its passage.
21-0390
Revised 2/10/21
HB 627-FN-A- FISCAL NOTE
AS INTRODUCED
AN ACT establishing a value added grant matching fund for New Hampshire agricultural producers.
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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| Estimated Increase / (Decrease) | |||
STATE: | FY 2021 | FY 2022 | FY 2023 | FY 2024 |
Appropriation | $100,000 | $0 | $0 | $0 |
Revenue | $0 | $0 | $0 | $0 |
Expenditures | $0 | $100,000 | $0 | $0 |
Funding Source: | [ X ] General [ ] Education [ ] Highway [ ] Other | |||
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METHODOLOGY:
This bill establishes a value added grant matching fund and program for agricultural producers. The Department of Agriculture, Markets and Food indicates the appropriation would be available to NH farm producers who have applied for and been approved to receive federal funding through the USDA Rural Development Value-added Producers Grant program. The state funds would be used as a required match to the federal funding by the grant recipient. The Department has no oversight or funding input for the federal program, control over the time line of the implementation of the federal program, or control over the number of applicants or recipients. The Department states the bill should not have a negative impact on the Department's budget as minimal state staff time would be required to create an application program, review any applications, and process payments.
TheDepartment provides that the maximum individual grant through this federal program is $75,000. The program requires a 50% match from the recipient. Because the amount of the grants vary, as will the state match provided, it is difficult to estimate the number of grants that would be funded. The federal program is currently closed to applications so it is not known if the federal program will coincide with state funding availability. It is assumed the appropriation provided would be spent by June 30, 2022 and, with an effective date of 60 days after passage, it is also assumed that any state expenditures would occur after July 1, 2021.
AGENCIES CONTACTED:
Department of Agriculture, Markets and Food