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A 4229

Directs the assignment of a personal identification number to each application for acceptance to the state university and the city university

2025 Regular Session Introduced by Chantel Jackson

Establishes the Beginning Farmer Loan Program (NJEDA) to help eligible New Jersey farmers finance land, equipment, or improvements for farming.

REFERRED TO HIGHER EDUCATION
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Bill Summary · A 4229

Summary — Assembly Bill A4229 (1R)

Status: Introduced May 2, 2024; Passed Assembly 12/19/2024 (73-0-0); Received in Senate 1/14/2025 (referred to Senate Economic Growth); later referred to Higher Education (1/31/2025). Primary sponsor listed in bill file: Chantel Jackson (bill materials also show earlier sponsors and multiple cosponsors).

Purpose / Intent

To create a beginning farmer loan program administered by the New Jersey Economic Development Authority (NJEDA), in consultation with the Department of Agriculture, to help new farmers finance capital purchases — specifically acquisition of agricultural land, agricultural improvements, and depreciable agricultural property (e.g., farm machinery).

Key provisions

  • Establishes a “Beginning Farmer Loan Program” to be developed and administered by NJEDA in consultation with the Department of Agriculture.
  • Defines covered terms:
    • “Agricultural land,” “agricultural improvement,” and “depreciable agricultural property.”
    • “Beginning farmer” (as amended): a person who (a) has low or moderate net worth as determined by NJEDA, and wishes to farm and has never farmed before; (b) has farmed in NJ for 10 years or less as of the act’s effective date; or (c) qualifies as a first‑time farmer under 26 U.S.C. §147(c)(2).
  • Eligibility requirements for loans (applicant must):
    1. Establish beginning‑farmer status and materially/substantially participate in farming.
    2. Be a New Jersey resident.
    3. Use loan proceeds to acquire qualifying property located in NJ.
    4. Have sufficient education/training/experience for the intended farming activity.
    5. For land purchases: have access to working capital, equipment, machinery, or livestock.
    6. For equipment purchases: have access to working capital or agricultural land.
    7. Use acquired property only for farming by or under the borrower’s direction.
    8. Satisfy any additional NJEDA criteria.
  • Loans issued under a written loan agreement: terms, interest rates, and default provisions determined by NJEDA (by rule or in loan terms).
  • NJEDA may require audited financial statements from borrowers to monitor viability.
  • NJEDA authorized to participate/cooperate with USDA Consolidated Farm Service Agency, Federal Land Bank, or other federal/state programs.
  • NJEDA must adopt implementing rules and regulations under the Administrative Procedure Act.
  • Effective immediately upon enactment.

Committee amendments

  • Clarified that applicants must first establish their beginning‑farmer status.
  • Revised the “beginning farmer” definition; removed the Department of Agriculture setting the maximum net‑worth figure and instead requires NJEDA to establish, by rule, the maximum net worth used to determine “low or moderate” net worth.
  • Added an explicit definition of the loan program and made technical clarifications.

Who is affected

  • Primary: beginning farmers (NJ residents meeting the definition).
  • Administrative: NJEDA (program design, lending, oversight) and Department of Agriculture (consultation).
  • Potential partners: federal agencies (USDA/Farm Service Agency, Federal Land Bank) and other state agencies.
  • Fiscal/market impacts could affect state finances, farm capital markets, and small‑farm operations.

Fiscal impact (Office of Legislative Services)

  • Multi‑year, indeterminate increase in State expenditures to administer and operate the program.
  • Indeterminate increase in NJEDA revenues from application/issuance fees and loan repayments; repayments may partially or fully offset program costs depending on program size, interest rates, default rates, and fee structure.
  • OLS cannot quantify net impact because NJEDA retains discretion over program size, loan amounts, interest rates, default terms, fees, and other implementation details.

Related legislation

  • Companion/related: S1881, S1017; prior‑session A9271.

Compiled from official sources — confirm details with the bill’s official record.

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