1 Short Title. This subdivision shall be known as the "Eat Local Act."

2 New Subdivision; Local Farm Registry. Amend RSA 12-O by inserting after section 76 the following new subdivision:

Local Farm Registry

12-O:77 Definitions. In this subdivision:

I. "Department" means the department of business and economic affairs.

II. "Registered farm" means a farm located in New Hampshire that has voluntarily enrolled in the registry established under this subdivision.

III. "Grocery store" means any establishment or section of an establishment where food and food products are offered to the consumer and intended for off-premise consumption. The term includes delicatessens that offer prepared food in bulk quantities only. The term does not include establishments which handle only prepackaged, non-potentially hazardous foods; roadside markets that offer only fresh fruits and fresh vegetables for sale; food service establishments; or food beverage vending machines.

IV. "Eligible purchase" means a transaction in which a grocery store purchases agricultural products directly from a registered farm.

12-O:78 Voluntary Farm Registry. The department shall create and maintain a publicly accessible, voluntary self-registry of New Hampshire farms. The registry shall include, at minimum, the name, location, contact information, and types of agricultural products offered by each participating farm. Farms may enroll in the registry by submitting an application to the department, which shall be made available online.

12-O:79 Rulemaking. The department of business and economic affairs shall make rules under RSA 541-A relative to the creation and maintenance of the voluntary farm registry.

3 New Section; Registered Farm Product Credit. Amend RSA 77-A by inserting after section 5-c the following new section:

77-A:5-d Registered Farm Product Tax Credit.

I. A business organization subject to taxation under this chapter that operates a grocery store within the state may claim a credit against the tax due under RSA 77-A for each taxable period in which the business organization:

(a) Purchases at least 10 percent of its total annual product inventory, by cost, from registered farms; and

(b) Reduces the sale price of such items by 10 percent.

II. For purposes of this section:

(a) "Grocery store" means any establishment or section of an establishment where food and food products are offered to the consumer and intended for off-premise consumption. The term includes delicatessens that offer prepared food in bulk quantities only. The term does not include establishments which handle only prepackaged, non-potentially hazardous foods; roadside markets that offer only fresh fruits and fresh vegetables for sale; food service establishments; or food beverage vending machines.

(b) "Registered farm" means a farm located within the state of New Hampshire that is registered with the department of business and economic affairs under RSA 12-O:78.

III. The amount of the credit shall be equal to 10 percent of the total amount paid by the grocery store to local farms for qualifying products during the taxable period.

IV. The credit allowed under this section shall not exceed the business organization's tax liability under this chapter for the taxable period. Any unused portion of the credit may be carried forward for up to 5 consecutive taxable periods.

V. A business organization claiming the credit shall submit, with its return under RSA 77-A:6, documentation as prescribed by the commissioner, including but not limited to:

(a) A list of registered farms from which produce was purchased;

(b) The total amount of qualifying purchases;

(c) Certification from each farm that it meets the definition of "registered farm" under this section; and

(d) Evidence that the products were sold at a 10 percent discount.

VI. The commissioner shall adopt rules, pursuant to RSA 541-A, relative to the administration of this section, including procedures for claiming the credit and verifying eligibility.

4 Effective Date. This act shall take effect July 1, 2026.

1 Short Title. This subdivision shall be known as the "Eat Local Act."

2 New Subdivision; Local Farm Registry. Amend RSA 12-O by inserting after section 76 the following new subdivision:

Local Farm Registry

12-O:77 Definitions. In this subdivision:

I. "Department" means the department of business and economic affairs.

II. "Registered farm" means a farm located in New Hampshire that has voluntarily enrolled in the registry established under this subdivision.

III. "Grocery store" means any establishment or section of an establishment where food and food products are offered to the consumer and intended for off-premise consumption. The term includes delicatessens that offer prepared food in bulk quantities only. The term does not include establishments which handle only prepackaged, non-potentially hazardous foods; roadside markets that offer only fresh fruits and fresh vegetables for sale; food service establishments; or food beverage vending machines.

IV. "Eligible purchase" means a transaction in which a grocery store purchases agricultural products directly from a registered farm.

12-O:78 Voluntary Farm Registry. The department shall create and maintain a publicly accessible, voluntary self-registry of New Hampshire farms. The registry shall include, at minimum, the name, location, contact information, and types of agricultural products offered by each participating farm. Farms may enroll in the registry by submitting an application to the department, which shall be made available online.

12-O:79 Rulemaking. The department of business and economic affairs shall make rules under RSA 541-A relative to the creation and maintenance of the voluntary farm registry.

3 New Section; Registered Farm Product Credit. Amend RSA 77-A by inserting after section 5-c the following new section:

77-A:5-d Registered Farm Product Tax Credit.

I. A business organization subject to taxation under this chapter that operates a grocery store within the state may claim a credit against the tax due under RSA 77-A for each taxable period in which the business organization:

(a) Purchases at least 10 percent of its total annual product inventory, by cost, from registered farms; and

(b) Reduces the sale price of such items by 10 percent.

II. For purposes of this section:

(a) "Grocery store" means any establishment or section of an establishment where food and food products are offered to the consumer and intended for off-premise consumption. The term includes delicatessens that offer prepared food in bulk quantities only. The term does not include establishments which handle only prepackaged, non-potentially hazardous foods; roadside markets that offer only fresh fruits and fresh vegetables for sale; food service establishments; or food beverage vending machines.

(b) "Registered farm" means a farm located within the state of New Hampshire that is registered with the department of business and economic affairs under RSA 12-O:78.

III. The amount of the credit shall be equal to 10 percent of the total amount paid by the grocery store to local farms for qualifying products during the taxable period.

IV. The credit allowed under this section shall not exceed the business organization's tax liability under this chapter for the taxable period. Any unused portion of the credit may be carried forward for up to 5 consecutive taxable periods.

V. A business organization claiming the credit shall submit, with its return under RSA 77-A:6, documentation as prescribed by the commissioner, including but not limited to:

(a) A list of registered farms from which produce was purchased;

(b) The total amount of qualifying purchases;

(c) Certification from each farm that it meets the definition of "registered farm" under this section; and

(d) Evidence that the products were sold at a 10 percent discount.

VI. The commissioner shall adopt rules, pursuant to RSA 541-A, relative to the administration of this section, including procedures for claiming the credit and verifying eligibility.

4 Effective Date. This act shall take effect July 1, 2026.