ohio food policy summit tony logan, state director ohio rural development u.s. department of...
TRANSCRIPT
Ohio Food Policy Summit
Tony Logan, state directorOhio Rural Development
U.S. Department of Agriculture
May 27, 2014
What is a Local/Regional Food System?
All phases of the lifecycle of food…
Take place within a specific region (county, state, multi-state area)
The benefits (economic, social, nutritional, etc.)
accrue to the local community
And… Information about the product’s origin is conveyed to the consumer so they can “choose local”
What is Local Food?
A consumer-driven market Consumer demand drives new farm
products, new markets for businesses Businesses capture higher margins
when they produce with the customer in mind
Need to communicate about agriculture to the consumer
Unique business models and needs
Local WHAT?
Vegetables
Meat, Poultry and
Fish
Beans, Grains,
and Flour
Dairy
Fruits
Eggs
Local and Regional Food Systems
Why local and regional food? Economic development and jobs
Education and health in schools
Increased access to healthy food
Beginning farmer opportunities
Increasing the local food supply Supporting infrastructure Improved access to local foods
How is USDA involved?
USDA and Local/Regional Food Systems
USDA and Local/Regional Food Systems
Extending the Growing Season Seasonal High Tunnel initiative
(hoop houses)
NRCS State Conservationists: http://www.nrcs.usda.gov/wps/portal/nrcs/sitenav/national/states/
USDA and Local/Regional Food Systems
Infrastructure
Aggregating Processing Distributing Marketing
Rural Development State Offices: http://www.rurdev.usda.gov
• Business and Industry Loan Guarantee• Intermediary Relending Program• Rural Economic Development Loans and Grants• Rural Business Enterprise Grants• Value Added Agriculture Marketing Grants• Cooperative Development• Renewable Energy Programs
USDA Rural Business Programs
• Rural Cooperative Development Grants = Grants made to establish rural co-op centers
• OSU South Centers, Kent State University, and National Network of Forest Practitioners have been successful applicants in Ohio
Cooperative Development
Tending plants that will eventually produce food to be sold through Our Harvest Cooperative in Ohio, which is structured on the worker cooperative model used in the Mondragon region of Spain.
Photo courtesy: Our Harvest Cooperative
From food hubs to brewpubs, cooperatives are growing in Ohio, and are a useful tool in the local foods movement.
• Our Harvest, Cincinnati (regional food hub)• Farmers Market Management Network (Farm Market Training)• Fifth Street Brewpub Cooperative (Public House)
Ohio Cooperative Start-ups:
• The LTR Food Hub includes aggregation with online ordering, a planned retail outlet and kitchen processing capacity.
• Operated by a multi-stakeholder cooperative.
• The Food Hub is owned by Common Wealth, Inc., an Ohio 501c-3 nonprofit corporation located near Youngstown State University.
Lake-to-River Food Hub
• Food Hubs, Produce Auctions and Kitchen Incubators in– Athens, Nelsonville, Chesterhill, Somerset and Zanesville
• Funded through USDA Rural Business Enterprise Grants and Value Added Producer Grants
• Managed by Rural Action, the Appalachian Center for Economic Networks (ACEnet), and Muskingum County Business Incubator
• Guarantee up to 80% of a private lender’s loan for a business that will create/retain jobs
• Eligible Areas: 50,000 or less Population
• Typical Loan Guarantee is $2.5 million; but range from $500,000 to $10 million
Business and Industry Loan Guarantees
B&I loan guarantees
• Kettle Creations, Lima – pre-cooked potato products
• Hirzel Canning, Ottawa – Ohio vegetable products
• Gerber Poultry, Wooster – Ohio poultry products
Ohio businesses financed with
• Products that are aggregated & marketed as a locally- produced food
• Helps expand customer base for products; commodities
• Result in greater portion of revenues being available to producer
Value Added Producer Grants
Applicant Name RD Funding
Eggtech $300,000
Von Strohm Fiber Mill $60,500
Auburn Twin Oaks $125,000
The Ohio Soybean Council $71,551
Mercer Landmark $39,800
Tea Mills Gourmet Chicken Products $178,062
Total $649,913
Value Added Producer Grants
• Direct loans and limited grants for community facility projects in jurisdictions of 20,000 population or less
• Eligible projects include fire trucks and first responder equipment, libraries, day care facilities, Community Centers…
• Terms: up to 40 years
Community Facility Loans / Grants
(RCDI) Grants
Applicant Name RD Funding
WSOS Community Action (FY08) $261,475
Ohio Valley Regional Development Commission (FY08) $108,000
WSOS Community Action (FY07) $175,000
The Ohio State University Research Foundation (FY 05) $105,825
WSOS Community Action Commission (FY04) $300,000
Ohio Valley Regional Development Commission (FY02) $120,000
WSOS Community Action Commission (FY02) $700,000
Total $1,770,300
Rural Community Development Initiative
USDA and Local/Regional Food Systems
Credit Farm Loans, Microloans and Farm Storage Facility Loans (for
cold storage!)
Farm Service Agency State Offices: http://www.fsa.usda.gov/FSA/stateOffices
Farm Service Agency State Offices: http://www.fsa.usda.gov/FSA/stateOffices
• Applies to fruit, vegetable, and nut frozen or dry storage facilities
• Low interest financing for farmers to erect or upgrade farm storage and handling facilities.
• The loan is approved by the local FSA Committee.
Farm Storage Facility Loan
Terms
• $500,000 is the maximum per person• 15% down• 7-year, 10-year, and 12-year loans• Fixed interest based on month of disbursement• Equal amortized installments• Loan disbursed after bin is erected and inspected
Farm Storage Facility Loan
USDA and Local/Regional Food Systems
Increased access: Mobile markets
USDA’s Farmers Market and Local Food Promotion Program
www.ams.usda.gov/fmpp
USDA and Local/Regional Food Systems
Increased access: Farm to School
USDA’s Farm to School Programwww.fns.usda.gov/farmtoschool/farm-school
The Know Your Farmer, Know Your Food Initiative
www.usda.gov/knowyourfarmer
www.usda.gov/knowyourfarmer
Know Your Farmer, Know Your Food:
Resources for Navigating USDA
• Includes data on:USDA-funded local food
projectsFarmers markets and
other “context data” gathered by USDA agencies
• Projects and resources from
9 other federal departments
• Updated regularly
www.usda.gov/kyfcompass
The KYF Compass Map
www.usda.gov/knowyourfarmer
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