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S 1650

Requires Secretary of Agriculture to establish Farm to School Local Food Procurement Reimbursement Grant Program to reimburse school districts for costs expended in sourcing and procuring local foods for students; appropriates $4,500,000.

2026-2027 Regular Session Introduced by Nilsa Cruz-Perez and 6 co-sponsors

The bill creates a Farm to School Local Food Procurement Reimbursement Program in NJ that funds districts’ costs to expand local food sourcing for subsidized school meals.

Referred to Senate Budget and Appropriations Committee
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Bill Summary · S 1650

Overview

Bill S 1650 would require the New Jersey Secretary of Agriculture to create and operate the Farm to School Local Food Procurement Reimbursement Grant Program. The program would reimburse school districts for eligible costs incurred in expanding local food sourcing for school meals, with an initial appropriation of $4.5 million and a dedicated Fund to manage grant awards and related costs.

Purpose and Intent

  • Encourage and enable K-12 districts to increase the sourcing and serving of local foods (within New Jersey or State waters) to students.
  • Allow districts to implement or expand local procurement policies, practices, standards, and activities at a district’s own pace.
  • Support meals programs across the school year and summer, aligning with National School Lunch Program, School Breakfast Program, and related federal efforts.

Key Provisions

  • What qualifies as “local food”: raw, whole, or minimally processed fruits, vegetables, herbs, meat, seafood, legumes, or grains that are 100% grown/raised/caught in New Jersey or State waters; excludes fluid dairy milk.
  • Eligible participants and costs:
    • Eligible school districts are those where all participating partner schools provide subsidized meals.
    • Eligible costs are actual, documented expenses related to implementing or expanding local procurement policies (as described in each district’s local procurement plan).
    • Ineligible costs include expenses for sourcing fluid dairy milk and any costs already covered by other funds or below baseline levels.
  • Funding and distribution:
    • Annual program grants are awarded to eligible districts in fixed ranges based on district size (small, medium, large) with defined minimums and maximums.
    • Grants are allocated pro rata across eligible districts using a Department-approved funding formula, considering district size, subsidized student share, food desert status, and prior grant activity.
    • 100% of grant funds normally reimburse eligible costs; discretionary allowances may permit up to 20% of funds for technical assistance if requested in the attestation and approved by the Department.
  • Attestation and planning requirements:
    • Districts must submit an attestation form detailing partner schools, district size category, proposed use of funds, need for discretionary technical assistance, and a copy of the proposed local procurement plan.
  • Administration and accountability:
    • Funds are deposited into a dedicated Farm to School Local Food Procurement Reimbursement Fund, with interest and carryover provisions.
    • The Department may reclaim unspent funds at year-end and roll over only in hardship cases (with approval).
    • Monthly/quarterly invoicing and documentation are required to verify eligible costs, including vendor information and receipts.
    • Payments are distributed on a rolling basis (not in a single lump sum) with payments issued within 120 days of proper invoicing.
  • Federal alignment:
    • The Department is encouraged to maximize use of federal funds (e.g., Local Food for Schools Cooperative Agreement) before drawing on state funds, and to fully expend federal allocations prior to using state appropriations.

Financial and Timeline Details

  • Initial appropriation: $4,500,000 total; $4,000,000 to the dedicated Fund for grants, $500,000 for administrative costs.
  • Ongoing annual appropriation guidance: the Department must request up to $4.5 million each year to sustain the program, with legislative approval.
  • Effective dates: Sections 1-6 become effective on the first day of the 13th month after enactment or Jan 1 of the second calendar year, whichever is later; Section 7 (administrative funding) takes effect immediately.

Who is Affected

  • Eligible school districts (and their partnering schools) participating in or expanding local food procurement for subsidized meals.
  • Local farm and food producers supplying participating schools.
  • School food authorities and districts’ food service operations implementing the local procurement plans.

Potential Impact

  • Increases access to and variety of local NJ foods in school meals.
  • Supports local agriculture and small/mid-sized farms and socially disadvantaged farmers.
  • Creates a structured funding mechanism with accountability and reporting to measure program effectiveness and future funding needs.

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

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