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HomeMy WebLinkAboutAgenda - 12-11-2007-4tORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 11, 2007 Action Agenda Item No. ~- -'~"' SUBJECT: Authorization to Submit Grant Request to N.C. Agricultural Development and Farmland Preservation Trust Fund DEPARTMENT: ERCD, EDC, NRCS, PUBLIC HEARING: (Y/N) No Cooperative Extension ATTACHMENT(S): Trust Fund Overview INFORMATION CONTACT: David Stancil, 245-2598 Noah Ranells, 245-2330 PURPOSE: To consider authorizing staff to make grant applications to the North Carolina Agricultural Development and Farmland Preservation Trust Fund. BACKGROUND: The new North Carolina Agricultural Development and Farmland Preservation Trust Fund has been awarded $8 million for agricultural conservation easements and agricultural enterprises. The Trust Fund is accepting applications through December 14 for these funds. Approximatelytwo-thirds of the funds are tentatively assigned to agricultural conservation easements, and one-third to agricultural enterprises. This is the first year the Trust Fund has had matching grants to award for easements since 2001, and the grant program for enterprise projects was revised. This program offers an opportunity to decrease County matching funds, in that this program requires only a 30% match from the County. Compounding this benefit, the State funds are allowed to count toward the match for federal USDA Farm and Ranchland Protection funds. This could lower the County's final cost on a future easement for 2008 to 15% of the total cost (as compared to 50% with the USDA). ERCD and NRCS staff have met to discuss this and have identified two potential projects that could be submitted. Staff from EDC, Cooperative Extension and ERCD have also been working on a possible enterprise funds grant project for the proposed Value-Added Shared Use Food Processing Center proposed for the Orange Enterprises building on Valley Forge Road, and/or the Farm Enterprise Incubator at the WC Breeze Family Farm Agricultural Extension & Research Center. As a new grant program, the State is actively soliciting applications -but with a short window for submittals. The easement and enterprise applications would not compete against each other, as they are in different categories. Staff proposes to apply for up to $600,000 toward an agricultural conservation easement, and up to $300,000 for enterprise funds for the proposed Value-Added Shared Use Food Processing Center at the Orange Enterprises building on Valley Forge Road and/or the Farm Enterprise Incubator at the WC Breeze Family Farm Agricultural Extension & Research Center. The grant awards would be announced in June 2008. FINANCIAL IMPACT: The grants, if awarded, would require a match of 30% from the granting agency. For the conservation easement, this would be $200,000. The Lands Legacy Program currently has approximately $560,000 in remaining funds for conservation easements. The proposed conservation easement would also be submitted for USDA matching funds, making the County's portion of the total cost potentially as low as 15%. Matching funds for the Value-Added Shared Use Food Processing Center and / or the Farm Enterprise Incubator at the WC Breeze Family Farm Agricultural Extension & Research Center would come from other potential funding sources to be identified for that project. RECOMMENDATION(S): The Manager recommends that the Board authorize staff to submit the applications for grant funding by the December 14 deadline. 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