New Producer Economic Security Act
New Producer Economic Security Act
Plain Language Summary
# New Producer Economic Security Act – Summary **What it does:** This bill would create a new federal program called the New Producer Economic Security Program within the Farm Service Agency (FSA). The program would distribute grants and funding to organizations like state governments, nonprofits, and colleges to help new and disadvantaged farmers, ranchers, and forest owners get started. The assistance could help these individuals buy land, clear up property ownership issues (especially inherited land), and improve or fix up their property and water systems. **Who it affects:** The program targets "new" farmers and ranchers (those with 10 years or less of experience), economically disadvantaged agricultural workers, and forest owners.
It explicitly excludes foreign-owned businesses from receiving assistance. The grants would go through intermediary organizations rather than directly to individuals. **Current status:** The bill (S 1237) is sponsored by Senator Tina Smith (D-Minnesota) and is currently in committee, meaning it has not yet been voted on by the full Senate. It has not yet passed.
CRS Official Summary
New Producer Economic Security ActThis bill establishes the New Producer Economic Security Program within the Farm Service Agency (FSA) to provide funding and grants to help new farmers, ranchers, and forest owners.Specifically, the FSA must make competitive grants to, enter into cooperative agreements with, or provide other capital support to eligible entities (e.g., state or local governments, Indian tribes, nonprofit organizations, and institutions of higher education). These entities must provide direct assistance to qualified farmers, ranchers, and forest owners (e.g., those who have not operated a farm or ranch for more than 10 consecutive years or are economically disadvantaged). The bill specifically excludes from assistance any foreign-based or foreign-owned corporation.The direct assistance may include payments to qualified beneficiaries to acquire real property (including air rights and water rights), secure clear title on heirs' property, and improve or remediate land, water, and soil. Eligible entities may also use grants (1) to provide direct assistance to qualified beneficiaries in assessing, purchasing, acquiring, or retaining eligible land; (2) for activities designed to support farm establishment and long-term viability; and (3) to provide technical assistance.The FSA must establish a stakeholder committee, and in collaboration with the committee, develop a process for evaluating and selecting applications submitted by eligible entities. The stakeholder committee must include perspectives reflecting the complexity of the rural and urban U.S. agricultural landscapes and the wide variety of agricultural production models.
Latest Action
Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.