Young and Beginning Farmers Act
This bill amends various agricultural laws to modify and establish programs to assist beginning farmers.
The bill makes land trusts eligible for certain assistance under the Department of Agriculture (USDA) Agricultural Conservation Easement Program. In administering the program, USDA must prioritize an application for purchasing an easement that maintains agricultural viability, requires subsequent purchases to be at agricultural value, or both.
The bill modifies several agricultural programs to:
The FSA must assign state coordinators to promote communication with beginning farmers or ranchers and increase their access to USDA programs.
The General Services Administration may sell surplus farm equipment or property to socially disadvantaged, veteran, or beginning farmers and ranchers.
[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4201 Introduced in House (IH)]
<DOC>
115th CONGRESS
1st Session
H. R. 4201
To improve the ability of beginning farmers in the United States to
acquire farms and participate in agricultural production, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 1, 2017
Mr. Sean Patrick Maloney of New York (for himself and Mr. Costello of
Pennsylvania) introduced the following bill; which was referred to the
Committee on Agriculture, and in addition to the Committee on Oversight
and Government Reform, for a period to be subsequently determined by
the Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To improve the ability of beginning farmers in the United States to
acquire farms and participate in agricultural production, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Young and
Beginning Farmers Act''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--IMPROVED ACCESS TO LAND
Sec. 101. Land trust eligibility for assistance for agricultural land
easements.
Sec. 102. Priority for option to purchase at agricultural value in
agricultural land easements.
Sec. 103. Prequalification of prospective applicants for credit from
Farm Service Agency programs.
Sec. 104. Increase in limitation on amount of direct farm ownership
loans; inflation indexation of limit.
Sec. 105. Report and action plan on agricultural conservation easement
program.
TITLE II--IMPROVED ACCESS TO DEPARTMENT OF AGRICULTURE TRAINING AND
PROGRAMS
Sec. 201. Beginning farmer coordination.
Sec. 202. Transfer of Advisory Committee on Beginning Farmers and
Ranchers to jurisdiction of Farm Service
Agency.
Sec. 203. Department of Agriculture on-line customer self-service
portal.
Sec. 204. Beginning farmer and rancher development program to provide
training, education, outreach, and
technical assistance initiatives.
Sec. 205. Reauthorization of beginning farmer and rancher individual
development accounts pilot program.
Sec. 206. Sale of surplus farm equipment or property to socially
disadvantaged farmers or ranchers, veteran
farmers or ranchers, and beginning farmers
or ranchers.
TITLE III--INVESTMENT IN LOCAL AND REGIONAL FOOD SYSTEMS
Sec. 301. Mandatory funding for farmers' market and local food
promotion program.
Sec. 302. Grants to support farm viability programs.
TITLE I--IMPROVED ACCESS TO LAND
SEC. 101. LAND TRUST ELIGIBILITY FOR ASSISTANCE FOR AGRICULTURAL LAND
EASEMENTS.
(a) Land Trusts.--Section 1265B of the Food Security Act of 1985
(16 U.S.C. 3865b) is amended by adding at the end the following:
``(e) Land Trusts.--
``(1) Eligibility for assistance.--Notwithstanding section
1001D(b), an eligible entity that is a qualified land trust, as
determined by the Secretary, may receive assistance under this
section.
``(2) Assistance for reservation of easement.--The
Secretary may provide assistance to an eligible entity that is
a qualified land trust to supplement the sale price of eligible
land to a farmer or rancher, who is not ineligible to receive
assistance under section 1001D, if the eligible entity that is
a qualified land trust reserves for itself an agricultural land
easement in the eligible land.''.
(b) Conforming Amendment.--Section 1001D(b)(1) of the Food Security
Act of 1985 (7 U.S.C. 1308-3a(b)(1)) is amended by striking
``Notwithstanding'' and inserting ``Except as provided in section
1265B(e), notwithstanding''.
SEC. 102. PRIORITY FOR OPTION TO PURCHASE AT AGRICULTURAL VALUE IN
AGRICULTURAL LAND EASEMENTS.
Section 1265B(b)(3) of the Food Security Act of 1985 (16 U.S.C.
3865b(b)(3)) is amended by adding at the end the following:
``(D) Priority.--In evaluating applications under
the program, the Secretary shall give priority to an
application for the purchase of an agricultural land
easement that, as determined by the Secretary--
``(i) maintains agricultural viability;
``(ii) includes, as a condition of the
easement, a requirement that any subsequent
purchase of the land subject to the easement
shall be at agricultural value; or
``(iii) achieves the objectives of both
clauses (i) and (ii).''.
SEC. 103. PREQUALIFICATION OF PROSPECTIVE APPLICANTS FOR CREDIT FROM
FARM SERVICE AGENCY PROGRAMS.
Not later than October 1, 2018, the Secretary of Agriculture shall
develop and implement procedures to ensure that the Farm Service Agency
is prepared, in advance, to respond to a request by a prospective loan
applicant (other than a request for preapproval) for a preliminary
determination on--
(1) whether the prospective applicant would likely qualify
for credit under any program administered by the Farm Service
Agency; or
(2) the amount of credit for which the prospective
applicant would likely qualify under any such program.
SEC. 104. INCREASE IN LIMITATION ON AMOUNT OF DIRECT FARM OWNERSHIP
LOANS; INFLATION INDEXATION OF LIMIT.
Section 305 of the Consolidated Farm and Rural Development Act (7
U.S.C. 1925) is amended to read as follows:
``SEC. 305. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.
``(a) In General.--The Secretary shall make or insure no loan under
section 302, 303, 304, 310D, or 310E of this title that would cause the
unpaid indebtedness under such sections of any 1 borrower to exceed the
smaller of--
``(1) the value of the farm or other security; or
``(2)(A) in the case of a loan other than a loan guaranteed
by the Secretary, $500,000 (increased, beginning with the
fiscal year 2019, by the regional farm real estate inflation
percentage applicable to the region where the farm involved is
located for the fiscal year in which the loan is made, and
decreased by the amount of any unpaid indebtedness of the
borrower on direct loans under subtitle B); or
``(B) in the case of a loan guaranteed by the Secretary,
$700,000 (increased, beginning with fiscal year 2000, by the
cost inflation percentage applicable to the fiscal year in
which the loan is guaranteed and reduced by the amount of any
unpaid indebtedness of the borrower on loans under subtitle B
that are guaranteed by the Secretary).
``(b) Determination of Value.--In determining the value of the
farm, the Secretary shall consider appraisals made by competent
appraisers under rules established by the Secretary.
``(c) Cost Inflation Percentage.--For purposes of this section, the
cost inflation percentage applicable to a fiscal year is the percentage
(if any) by which--
``(1) the average of the Prices Paid By Farmers Index (as
compiled by the National Agricultural Statistics Service of the
Department of Agriculture) for the 12-month period ending on
August 31 of the immediately preceding fiscal year; exceeds
``(2) the average of such index (as so defined) for the 12-
month period ending on August 31, 1996.
``(d) Regional Farm Real Estate Inflation Percentage.--
``(1) In general.--For purposes of this section, the
regional farm real estate inflation percentage applicable to a
farm for a fiscal year is the percentage (if any) by which--
``(A) the regional farm real estate inflation index
developed under paragraph (2) for the region in which
the farm is located, for the 12-month period ending on
August 31 of the immediately preceding fiscal year;
exceeds
``(B) the average of the index (as so defined) for
the 12-month period ending on August 31, 2018.
``(2) Development.--The Secretary shall develop a regional
farm real estate inflation index for measuring periodic changes
in the price of farm real estate in each geographic region of
the United States, using data from the National Agricultural
Statistics Service.
``(e) Microloans.--
``(1) In general.--Subject to paragraph (2), the Secretary
may establish a program to make or guarantee microloans.
``(2) Limitations.--The Secretary shall not make or
guarantee a microloan under this subsection that would cause
the total principal indebtedness outstanding at any 1 time for
microloans made under this subtitle to any 1 borrower to exceed
$50,000.
``(3) Applications.--To the maximum extent practicable, the
Secretary shall limit the administrative burdens and streamline
the application and approval process for microloans under this
subsection.''.
SEC. 105. REPORT AND ACTION PLAN ON AGRICULTURAL CONSERVATION EASEMENT
PROGRAM.
(a) Sense of Congress.--It is the sense of Congress that the
agricultural conservation easement program established under section
1265(a) of the Food Security Act of 1985 (16 U.S.C. 3865(a)) remains a
valuable program in assisting beginning farmers and ranchers in
acquiring farmland for productive use.
(b) Report and Plan Required.--Not later than one year after the
date of the enactment of this Act, the Chief of the Natural Resources
Conservation Service shall submit to the Committee on Agriculture of
the House of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report that includes--
(1) an evaluation of the extent in which the agricultural
conservation easement program supports beginning farmers or
ranchers in acquiring farmland; and
(2) a plan to address any shortcomings identified through
the evaluation for the purpose of furthering the goals of the
agricultural conservation easement program to protect farmland
and help farmers access farmland for productive use.
TITLE II--IMPROVED ACCESS TO DEPARTMENT OF AGRICULTURE TRAINING AND
PROGRAMS
SEC. 201. BEGINNING FARMER COORDINATION.
(a) Program Established.--Not later than 1 year after the date of
the enactment of this Act, the Secretary, acting through the
Administrator of the Farm Service Agency, shall implement a program to
assign to each State at least one coordinator to--
(1) promote communication between the Department of
Agriculture and beginning farmers or ranchers (as defined in
section 206(b)) located in such State; and
(2) increase the access of such beginning farmers or
ranchers to apprenticeship programs, farm loan programs, and
land available for purchase.
(b) Use of Current Employees.--The assignment of beginning farmer
coordinators in compliance with subsection (a) may be accomplished
through the designation of current employees of the Department of
Agriculture and does not require the hiring of additional employees.
(c) State Defined.--In this section, the term ``State'' means each
of the several States, the District of Columbia, and any commonwealth,
territory, or possession of the United States.
SEC. 202. TRANSFER OF ADVISORY COMMITTEE ON BEGINNING FARMERS AND
RANCHERS TO JURISDICTION OF FARM SERVICE AGENCY.
The Department of Agriculture Reorganization Act of 1994 (7 U.S.C.
6901 et seq.) is amended--
(1) in section 226B(e)(2) (7 U.S.C. 6934)--
(A) by striking subparagraph (C); and
(B) by redesignating subparagraph (D) as
subparagraph (C); and
(2) in section 226 (7 U.S.C. 6932), by adding at the end
the following new subsection:
``(i) Advisory Committee on Beginning Farmers and Ranchers.--The
Secretary of Agriculture shall coordinate the activities of the Farm
Service Agency with the Advisory Committee on Beginning Farmers and
Ranchers established under section 5(b) of the Agricultural Credit
Improvement Act of 1992 (7 U.S.C. 1929 note; Public Law 102-554).''.
SEC. 203. DEPARTMENT OF AGRICULTURE ON-LINE CUSTOMER SELF-SERVICE
PORTAL.
(a) Customer Self-Service Portal.--The Secretary of Agriculture
shall develop an on-line customer self-service portal through which
farmers and ranchers will be able to securely access their customer and
program information and complete program applications in a wide range
of agricultural programs offered by the Department of Agriculture.
(b) Sense of Congress.--It is the sense of Congress that the
development of an on-line customer self-service portal, as required by
subsection (a), should not negatively impact the many farmers and
ranchers who do not yet have access to high-speed internet or who would
prefer not to utilize the online self-service portal.
(c) Authorization of Appropriations.--For the three-fiscal year
period beginning on October 1, 2018, there are authorized to be
appropriated to the Secretary of Agriculture to carry out subsection
(a)--
(1) not less than $6,000,000; and
(2) such additional amounts as are considered appropriate.
SEC. 204. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM TO PROVIDE
TRAINING, EDUCATION, OUTREACH, AND TECHNICAL ASSISTANCE
INITIATIVES.
Section 7405 of the Farm Security and Rural Investment Act of 2002
(7 U.S.C. 3319f) is amended by striking subsection (h) and inserting
the following new subsections:
``(h) Individual Development Accounts.--
``(1) Transfer of funds authorized.--Of the funds made
available under subsection (i), the Secretary may transfer up
to $10,000,000 per year, plus allocable administrative costs,
for individual development accounts as authorized under section
333B of the Consolidated Farm and Rural Development Act (7
U.S.C. 1983b).
``(2) Administrative costs.--The Secretary may not use more
than 4 percent of the funds transferred under this subsection
for administrative costs incurred in implementing the
individual development accounts authorized under section 333B
of the Consolidated Farm and Rural Development Act (7 U.S.C.
1983b).
``(i) Funding.--
``(1) Mandatory funding.--Of the funds of the Commodity
Credit Corporation, the Secretary shall make available to carry
out this section--
``(A) $20,000,000 for fiscal year 2018;
``(B) $30,000,000 for each of fiscal years 2019 and
2020;
``(C) $40,000,000 for each of fiscal years 2021 and
2022; and
``(D) $50,000,000 for fiscal year 2023 and each
fiscal year thereafter.
``(2) Authorization of appropriations.--In addition to
funds provided under paragraph (1), there is authorized to be
appropriated to carry out this section $30,000,000 for fiscal
year 2018 and each fiscal year thereafter.
``(3) Availability.--Amounts made available under this
subsection shall remain available until expended.''.
SEC. 205. REAUTHORIZATION OF BEGINNING FARMER AND RANCHER INDIVIDUAL
DEVELOPMENT ACCOUNTS PILOT PROGRAM.
Subsection (h) of section 333B of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1983b) is amended to read as follows:
``(h) Authorization of Appropriations.--In addition to any amounts
provided under section 7405 of the Farm Security and Rural Investment
Act of 2002 (7 U.S.C. 3319f), there is authorized to be appropriated to
carry out this section $5,000,000 for each of fiscal years 2018 through
2023.''.
SEC. 206. SALE OF SURPLUS FARM EQUIPMENT OR PROPERTY TO SOCIALLY
DISADVANTAGED FARMERS OR RANCHERS, VETERAN FARMERS OR
RANCHERS, AND BEGINNING FARMERS OR RANCHERS.
(a) Sale Authorized.--The Administrator of General Services, under
regulations prescribed by the Administrator, may sell to a socially
disadvantaged farmer or rancher, veteran farmer or rancher, or
beginning farmer or rancher any farm equipment acquired by the General
Services Administration that--
(1) is suitable for use in farming operations; and
(2) has been determined to be surplus property under
chapter 5 of title 40, United States Code.
(b) Definitions.--In this section:
(1) Beginning farmer or rancher.--The term ``beginning
farmer or rancher'' means an individual or entity that has not
operated a farm or ranch or that has operated a farm or ranch
for not more than 10 consecutive years and that will materially
and substantially participate in the operation of the farm or
ranch. In the case of an entity, these requirements apply to
all members of the entity.
(2) Food, agriculture, conservation, and trade act of 1990
terms.--The terms ``socially disadvantaged farmer or rancher''
and ``veteran farmer or rancher'' have the meanings given those
terms in section 2501(e) of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)).
TITLE III--INVESTMENT IN LOCAL AND REGIONAL FOOD SYSTEMS
SEC. 301. MANDATORY FUNDING FOR FARMERS' MARKET AND LOCAL FOOD
PROMOTION PROGRAM.
Section 6(g)(1) of the Farmer-to-Consumer Direct Marketing Act of
1976 (7 U.S.C. 3005(g)(1)) is amended--
(1) by striking ``and'' at the end of subparagraph (C);
(2) in subparagraph (D), by striking ``2018.'' and
inserting ``2017; and''; and
(3) by adding at the end the following new subparagraph:
``(E) $50,000,000 for each of fiscal years 2018
through 2023.''.
SEC. 302. GRANTS TO SUPPORT FARM VIABILITY PROGRAMS.
(a) Grants Authorized.--The Secretary of Agriculture may make
competitive grants to support a farm viability program developed by a
public or private entity that is designed--
(1) to improve the economic viability and integrity of
farms participating in the program through the development and
implementation of a farm viability plans; and
(2) to provide participating farmers with technical, legal,
marketing, and business planning assistance to expand, upgrade,
and modernize their agricultural operations and assist in land
access and transfer.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Agriculture to make grants under this
section $5,000,000 for each of fiscal years 2018 through 2023.
<all>
Introduced in House
Introduced in House
Referred to the Committee on Agriculture, and in addition to the Committee on Oversight and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Agriculture, and in addition to the Committee on Oversight and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
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