BILL ANALYSIS Ó
SENATE COMMITTEE ON AGRICULTURE
Senator Cathleen Galgiani, Chair
2015 - 2016 Regular
Bill No: AB 2574 Hearing Date: 6/21/16
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|Author: |Chávez |
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|Version: |6/15/16 |
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|Urgency: |No |Fiscal: |Yes |
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|Consultant:|Anne Megaro |
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Subject: Veteran farmers and ranchers
SUMMARY :
This bill would define "veteran farmer or rancher" and require,
by July 1, 2017, state departments to develop the New Veteran
Farmer and Rancher Outreach and Assistance Plan to inform
veterans in California about agricultural education, training,
and assistance programs available through government agencies or
other public or private resources.
BACKGROUND AND EXISTING
LAW :
The federal Agricultural Act of 2014, known as the 2014 Farm
Bill, directs the United States Department of Agriculture (USDA)
to assist beginning farmers and ranchers with overcoming hurdles
to entering the agriculture industry (H.R. 2642; Public Law
113-79). USDA achieves this by providing loans, education,
apprenticeships, and training and also partners with other
organizations and nonprofits to provide additional resources and
support.
Specific to veterans, the USDA Military Veterans Agricultural
Liaison provides information, resources, and support for active
duty military and veterans interested in agriculture. The
AB 2574 (Chávez) Page 2 of ?
Liaison focuses on fully leveraging USDA programs to support
veterans and their families. A short list of these programs and
resources include:
USDA loans: Provide funds for land, capital, equipment,
supplies, or land improvements.
Transition Incentive Program: Provides for the transfer
of expiring Conservation Reserve Program land from a
retiring owner to veterans or other new farmers or
ranchers.
Value-Added Producer Grant: Supports the development of
business plans, new products, and marketing activities.
Environmental Quality Incentives Program (EQIP):
Provides financial and technical assistance to help
implement conservation practices.
Beginning Farmer and Rancher Development Grant: Provides
grants to organizations providing training, education,
outreach, and technical assistance to beginning farmers and
ranchers with a priority for veterans.
Hiring our Heroes: USDA partnered with this nationwide
initiative to help veterans access farming and ranching
opportunities.
On the state level, the California Department of Veterans
Affairs Home Loans Program assists veterans in purchasing farm
properties that will provide a livelihood for veterans and their
families. However, programs that assist veterans entering the
agricultural sector by providing education, technical support,
and agricultural expertise exist mainly through non-profit
organizations and other private entities.
PROPOSED
LAW :
This bill:
1) States findings and declarations in regards to the need
for an adequate food supply, farmer demographics, value of
the agriculture industry, and the need to identify new
populations of future farmers, such as veterans.
2) Defines "veteran farmer or rancher" to mean a farmer or
rancher who has not operated a farm or ranch for more than
10 years and has served in the Armed Forces of the United
States.
AB 2574 (Chávez) Page 3 of ?
3) Requires, by July 1, 2017, that state departments,
including CDFA, Labor and Workforce Development Agency, and
the Department of Veterans Affairs, develop the New Veteran
Farmer and Rancher Outreach and Assistance Plan to inform
veterans about agricultural education, training, and
assistance programs available through government agencies
or other public or private resources.
ARGUMENTS IN SUPPORT:
According to the author, "There is a big lack of knowledge about
federal funding through the Federal Farm bill of 2014 to help
veterans become farmers and ranchers. While the state has a
program, the home and farm loan program (act of 1974), this
federal money is going greatly under-utilized and not being
drawn down to help California veterans and California as a
whole. With 33% of farmers and ranchers, nationwide, reaching 65
years of age we need to start finding and encouraging creative
ways to incentivize (with the readily available federal money)
and support a new generation of farmers and ranchers. Farming
and ranching can also be a very good future career for former
military, being helpful for some suffers of PTSD and other
service related issues."
COMMENTS :
Farmer and veteran demographics. According to USDA, rural
Americans comprise only 16% of the population but about 40% of
our military. According to the 2012 USDA Census of Agriculture,
over 33% of farmers are 65 years or older, and the average age
of the American farmer is 58. These demographics demonstrate
the presence of veterans in rural areas as well as the
opportunity and the need for the agricultural sector to attract
and train new farmers and ranchers.
USDA loans. According to USDA, they are referred to as the
"Lender of First Opportunity" because they make and guarantee
loans to beginning farmers and ranchers, including veterans, who
might otherwise not be able to secure a loan through traditional
means. USDA offers four different types of loans: 1) farm
ownership loans; 2) operating loans (to purchase livestock,
equipment, supplies); 3) microloans; and 4) farm storage
facility loans to build or improve on-farm storage (silos,
barns).
AB 2574 (Chávez) Page 4 of ?
PRIOR
ACTIONS :
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|Senate Veterans Affairs Committee: | 5 - 0 |
|Assembly Floor: |76 - 0 |
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|Assembly Appropriations Committee: |16 - 0 |
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|Assembly Labor and Employment | 7 - |
|Committee: |0 |
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SUPPORT :
California Guild (Sponsor)
American Legion, Department of California
AMVETS, Department of California
California Workforce Association
Center for Land-Based Learning
Military Officers Association of America, California Council of
Chapters
Organic Sacramento
Rudolph Steiner College
Rural County Representatives of California
VFW, Department of California
Vietnam Veterans of America, California State Council
OPPOSITION :
None received
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