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SB 1068

Supporting Small Farmers for NC's Future Act.

2025-2026 Session Introduced by Sydney Batch and 2 co-sponsors

Creates a Small Farmers Support Grant Program to fund eligible NC small farmers for inputs, equipment, and improvements with $15M recurring funding.

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Bill Summary · SB 1068

Summary: SB 1068 — Supporting Small Farmers for NC's Future Act (North Carolina, 2025 Session)

Purpose and Intent

  • Purpose: Create a dedicated grant program to support the viability and sustainability of small farms in North Carolina.
  • Rationale: Addresses long-standing barriers to entry, rising land prices, and economic consolidation that have reduced the footprint of small-farm operations.
  • Overall aim: Provide financial assistance to small farmers to help cover essential inputs, equipment, and operational improvements.

Key Provisions

Establishment and Governance

  • Creates a new Article 61B within Chapter 106 of the General Statutes: the Small Farmers Support Grant Program.
  • Administering Agency: North Carolina Department of Agriculture and Consumer Services (the Department).
  • Governing body for program oversight: An advisory committee established by the Department to monitor effectiveness and recommend improvements.
  • Funding source: Small Farmer Grant Fund (a special revenue fund) established to receive gifts, grants, donations from non-State sources, and General Fund appropriations.

Definitions

  • Eligible individual: A North Carolina resident, at least 21 years old, a small farmer, with farming operation income of at least $1,000 in the previous tax year.
  • Small farmer: A farmer with gross cash farm income of $1,000,000 or less.

Grants

  • Eligible use of funds: Grants to eligible individuals for essential inputs, equipment, and operational improvements to farming operations.
  • Application and prioritization: Eligible individuals must apply using an approved form; the Commissioner may set grant priorities based on farm size, income, and economic hardship (including lack of access to capital and operational support).
  • Grant sizing: The Commissioner may establish tiered maximum grant amounts based on demonstrated need and other criteria intended to maximize long-term viability and sustainability.
  • Administrative costs: The Department may retain up to 1% of Fund appropriations for administrative costs.

Implementation and Rules

  • The Department is required to adopt rules to administer the provisions of the Article.
  • The Department may determine priority criteria and grant distribution methodology in alignment with program goals.

Funding and Fiscal Note

  • Appropriation: $15,000,000 in recurring General Fund support for the 2026–2027 fiscal year to the Department of Agriculture and Consumer Services.
  • Purpose of funds: To be placed in the Small Farmer Grant Fund for the Small Farmers Support Grant Program.

Effective Date

  • The act becomes effective July 1, 2026.

Potential Impact

  • Beneficiaries: North Carolina residents who qualify as small farmers (gross cash income ≤ $1,000,000 and meeting age and income criteria) and who need capital for inputs, equipment, and operational improvements.
  • Economic effects: Aims to improve viability and longevity of small farming operations, potentially helping maintain agricultural land use, support rural economies, and reduce barriers to entry.
  • Administrative: Establishes a new grant program with an advisory committee, explicit prioritization criteria, and a modest administrative cap (1%).

Who Should Pay Attention

  • Small farmers and farming associations seeking financial assistance.
  • Local governments and rural development advocates monitoring farm viability and land use trends.
  • Stakeholders interested in state-level agricultural policy, rural economic development, and grant governance.

Note: The bill articulates a strong focus on targeted grants and administrative mechanisms to ensure funds reach small-scale farmers most in need, with a defined funding stream starting in the 2026–2027 fiscal year.

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

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