Pick TN Products Update

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1 Tennessee Agricultural Enhancement Program Mark Powell Tennessee Department of Agriculture Agricultural Enhancement Program Administrator Pick Tennessee Products 30 th Anniversary Pick TN Products Update Making connections between consumers and farmers since 1986 Free Pick TN Products Mobile App. PTP Farm and Restaurant Alliance Restaurant Farmer Consumer GAP Cost Share Tennessee Department of Agriculture Marketing Division USDA Specialty Crop Block Grant Cost Share Assistance for producers who have successfully passed a GAP Audit 50% cost share up to $1,500 (audit expenses) January 1, 2016 through September 30, 2016 GAP Cost Share Tennessee Department of Agriculture Marketing Division What is covered? Application Fees Inspection Costs Inspector Travel What is not covered? Late Fees Materials and Supplies Equipment 1

2 GAP Cost Share Tennessee Department of Agriculture Marketing Division Reimbursement Procedures 1. Cost share application 2. Copy of GAP Certificate 3. Copy of your paid invoices from your certifier 4. Complete a W-9 5. Mail to: TDA Market Development Attn: Tammy Algood PO Box Nashville, TN Applications are approved on a first come first serve basis until funds are depleted Tammy.algood@tn.gov or Tennessee Agricultural Enhancement Program Began in 2005 Cost-Share Assistance Long-Term Investments Educational Component Current Funding Portion of the cigarette sales tax. Beginning of TAEP Genetics Cattle Handling Producer Diversification History of TAEP Livestock Feed Storage Dairy Programs Online Applications Online Accounts Heifers added to Genetics Program TAEP History Participation Hay Storage Grain Storage Livestock Working Facility Cover Online Producer Diversification Application

3 TAEP History Dollars Appropriated for TAEP Tennessee Code Annotated The revenue from the cigarette tax is to be distributed to [various departments of] education provided that Cigarette tax increased from 20 to $21 million is allocated to the Department of Agriculture's Tennessee Agriculture Enhancement Program. TAEP History Dollars Appropriated for TAEP $21M to TAEP Genetics Bulls, Semen, Bred Beef Heifers Livestock Equipment Livestock Working Facility Covering Hay Storage Livestock Feed Storage Grain Storage Poultry Grower TAEP Producer Cost Share Programs Producer Diversification Fruit /Vegetable, Horticulture, Agritourism, Value Added, Honey Bee, Organic

4 Producer Cost Share Dollars Paid Program # of Projects $ of Projects Genetics 11,361 $ 10.9 million Livestock Equipment 18,397 $39.0 million Hay Storage 7,376 $39.1 million Livestock Feed Storage 1,631 $15.0 million Grain Storage 977 $10.5 million Producer Diversification 1,524 $7.2 million Paid Totals 41,266 $121.7 million Rutherford County Producer Diversification Cost Share Dollars Paid Program # of Projects $ of Projects $2, $2, $6, $12, $30, $14, $17, $26, $28, $29,286 Paid Totals 36 $170, Applications 2015 Approvals Program # of Projects $ of Projects 2014 Online 2,076 (35%) Mail 2,971 (60%) Hand Delivered 224 (5%) Total 5, ,541 (42%) 3,268 (54%) 202 (3%) 6,011 Livestock Equipment 2,677 $ 6,692,500 Genetics 1,023 $ 2,046,000 Livestock Working Facility Cover 333 $ 832,500 Hay Storage 1,126 $ 6,757,500 Livestock Feed Storage 167 $ 1,336,000 Grain Storage 209 $ 2,508,000 Poultry Grower 38 $ 304,000 Producer Diversification 118 $ 911,126 12% Increase over 2014 Total 5691 $ 21,387,626 95% 4

5 2015 TAEP $21,000,000 Budget Same $ for the past 6 years 6,011 Applications 12% Increase in participation Supply Demand 2016/17 TAEP Demand is Up! Supply Remains Constant! Changes Schedule Changes Application Changes Reimbursement Changes TAEP Program Changes Schedule Changes TAEP Schedule Shift Distribute TAEP Applications September 1, 2016 TAEP Application Week November 1-7, 2016 June 1-7, 2016 Mail TAEP Approvals January 30, 2017 Reimbursement Deadlines: Livestock Equipment May 1, 2017 All Other Programs September 1,

6 Schedule Changes Benefits of TAEP Schedule Shift More Dry Days for Building Structures Better Time of Year for Building Application Changes Remove W-9 from Application Submit with reimbursement paperwork (Shortens the length of the application) Quicker Application Processing Reimbursement Changes Upload Your Reimbursement Documents Using TAEP Online Document A Document B Invoices/Receipts Pictures Master Certificates Go to TAEP website Select TAEP Online Log Into TAEP Account Reimbursement Changes 6

7 TAEP Producer Diversification Program Producer Diversification Expansion Improvement Diversity Long Term Investments Agritourism Fruits & Vegetables Agritourism offers on-the-farm experiences relating to production agriculture and aimed at increasing profitability of the operation. Farm activities (pick your own) Farm education (farm tours) Farm fun (corn maze, hayrides) Farm purchases (retail sales) Fruits and Vegetables Production and Viticulture. Priority: improving or increasing production. Marketing projects: Allowed, but not as competitive as production. 7

8 Minimum requirements: 5 years experience 20 existing colonies Honey Bees Must report in application Must be registered with the State mike.struder@tn.gov Honey Bees (Honey Processing Facility) Honey Processing Facility must have: 5 years experience 30 existing colonies. If packing or selling 150+ gallons of honey/year must be licensed & inspected ronald.murphy@tn.gov Horticulture Organics Tree/Plant Farms and Nurseries Produce majority of plants from seed/cutting to finished product. Organic: Fruits, Vegetables and/or Livestock Must be USDA Certified Organic. Certification current at the time of reimbursement. Purchasing finished product to resell. Annette Wszelaki, University of Tennessee Organics

9 Value-Added Changing raw food or fiber products that you produce into something new. Examples: Jams, Jellies, Relishes, Farm Fresh Meats, Ice Cream, Cheese, etc. The Producer Diversification Program Deadlines Planning Application Education Help TAEP Timeline Planning Application Period November November 2016 Project Reimbursement Deadline /Educational Requirements September 1, 2017 Project Amendment Deadline July 1, September 2017 Application Planning Prepare application & proposal materials in October Think about items you will need next year Application Review December-January Anticipated Approval Announcements February 2017 Decline Cost-Share August 1,

10 Planning The Application Financial Planning Affordability of the project. You will have to pay Out of Pocket up front Return on Investment. What does your project cost in relation to your annual farm income? All Producer Diversification Projects are reviewed and judged competitively by a committee of 3-4 specialists. Competitive = Review Committee What Picture are you Painting? 10

11 What Picture are you Painting? What Picture are you Painting? What Picture are you Painting? What Picture are you Painting? 11

12 TAEP Application Narrative Proposal Instructions 1. Applicant Information Form 2. Narrative Proposal 6 questions 3. Quotes/Estimates 4. Project dimensions, designs or photos (if needed) Answer Questions Completely The more information the better. Remember. you are painting a picture! Incomplete applications do not compete well! 6 Narrative Proposal Questions 1. Describe the agricultural operation you are requesting cost share. 2. Describe your other agricultural operations. 3. Describe your past TAEP participation 6 Narrative Proposal Questions 4. Describe your proposed TAEP Cost share request a) List and describe each proposed project b) Explain how the project will improve or expand your operation c) How will this impact your future income 1) Estimated cost quotes from vendor 2) Pictures, diagrams, and/or drawings 3) Proposed budget 12

13 6 Narrative Proposal Questions 5. Provide a detailed line-item budget for your project. 6. Describe your marketing plan. Request the Template Proposal Questionaire Template All the questions formatted in a fillable MS Word.Doc form. Request template via Producer.diversification@tn.gov Reminders Reminders Help the committee get a reasonable picture of your current operation and goals for the future. Project should enhance an existing agricultural operation You must be the owner or producer (not a market or a cooperative) Eligibility Only one application per premises per property per family owned land per household per business. Only one application Per Schedule F 13

14 Reminders Education = More Cost Share! Projects are competitive within their sectors Emphasis given to projects that focus on long term public use considerations that increase opportunities for profitability. Marketing projects that are long term in nature are also encouraged to enhance outreach of the farm to the public. Not all eligible and ineligible items are listed Cost quotes are needed Photos and diagrams help Items cannot be purchased before application period Equipment should be specialized for your sector Just because it is eligible does not mean it will be approved Standard Producer = 35% Cost Share No special requirements needed Up to $10,000 max Master Producer = 50% Cost Share Your approved sector dictates which classes you attend If project covers 2 sectors You must meet both education requirements Up to $15,000 max Requirements must be met by reimbursement deadline September 1 st (Not by application time) Education = More Cost Share! Need Help? TAEP Producer Diversification Course Calendar 14

15 Additional Resources Agricultural Marketing Specialists Center for Profitable Agriculture Educational workshops Animal Health Technicians Networking Tennessee Agricultural Enhancement Program TAEP Benefits Expanding Agricultural Operations Diversifying Farming Operations TAEP Benefits Building Farm Infrastructure Future Generations Now Improving Farm Safety 15

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