Ohio Food Policy Summit Tony Logan, state director Ohio Rural Development U.S. Department of Agriculture May 27, 2014

What is a Local/Regional Food System? All phases of the lifecycle of food… Take place within a specific region (county, state, multi-state area) The benefits (economic, social, nutritional, etc.) accrue to the local community And… Information about the product’s origin is conveyed to the consumer so they can “choose local”

What is Local Food? A consumer-driven market  Consumer demand drives new farm products, new markets for businesses  Businesses capture higher margins when they produce with the customer in mind  Need to communicate about agriculture to the consumer  Unique business models and needs

Local WHAT? Vegetables Meat, Poultry and Fish Beans, Grains, and Flour Dairy Fruits Eggs

Local and Regional Food Systems Why local and regional food?  Economic development and jobs  Education and health in schools  Increased access to healthy food  Beginning farmer opportunities

 Increasing the local food supply  Supporting infrastructure  Improved access to local foods How is USDA involved ? USDA and Local/Regional Food Systems

Extending the Growing Season  Seasonal High Tunnel initiative (hoop houses) NRCS State Conservationists:

USDA and Local/Regional Food Systems Infrastructure Aggregating Processing Distributing Marketing Rural Development State Offices:

Business and Industry Loan Guarantee Intermediary Relending Program Rural Economic Development Loans and Grants Rural Business Enterprise Grants Value Added Agriculture Marketing Grants Cooperative Development Renewable Energy Programs USDA Rural Business Programs

Rural Cooperative Development Grants = Grants made to establish rural co-op centers OSU South Centers, Kent State University, and National Network of Forest Practitioners have been successful applicants in Ohio Cooperative Development

Tending plants that will eventually produce food to be sold through Our Harvest Cooperative in Ohio, which is structured on the worker cooperative model used in the Mondragon region of Spain. Photo courtesy: Our Harvest Cooperative From food hubs to brewpubs, cooperatives are growing in Ohio, and are a useful tool in the local foods movement. Our Harvest, Cincinnati (regional food hub) Farmers Market Management Network (Farm Market Training) Fifth Street Brewpub Cooperative (Public House) Ohio Cooperative Start-ups:

The LTR Food Hub includes aggregation with online ordering, a planned retail outlet and kitchen processing capacity. Operated by a multi-stakeholder cooperative. The Food Hub is owned by Common Wealth, Inc., an Ohio 501c-3 nonprofit corporation located near Youngstown State University. Lake-to-River Food Hub

Food Hubs, Produce Auctions and Kitchen Incubators in – Athens, Nelsonville, Chesterhill, Somerset and Zanesville Funded through USDA Rural Business Enterprise Grants and Value Added Producer Grants Managed by Rural Action, the Appalachian Center for Economic Networks (ACEnet), and Muskingum County Business Incubator

Guarantee up to 80% of a private lender’s loan for a business that will create/retain jobs Eligible Areas: 50,000 or less Population Typical Loan Guarantee is $2.5 million; but range from $500,000 to $10 million Business and Industry Loan Guarantees

B&I loan guarantees Kettle Creations, Lima – pre-cooked potato products Hirzel Canning, Ottawa – Ohio vegetable products Gerber Poultry, Wooster – Ohio poultry products Ohio businesses financed with

Products that are aggregated & marketed as a locally- produced food Helps expand customer base for products; commodities Result in greater portion of revenues being available to producer Value Added Producer Grants

Applicant NameRD Funding Eggtech $300,000 Von Strohm Fiber Mill$60,500 Auburn Twin Oaks$125,000 The Ohio Soybean Council$71,551 Mercer Landmark$39,800 Tea Mills Gourmet Chicken Products$178,062 Total $649,913 Value Added Producer Grants

Direct loans and limited grants for community facility projects in jurisdictions of 20,000 population or less Eligible projects include fire trucks and first responder equipment, libraries, day care facilities, Community Centers… Terms: up to 40 years Community Facility Loans / Grants

(RCDI) Grants Applicant NameRD Funding WSOS Community Action (FY08) $261,475 Ohio Valley Regional Development Commission (FY08) $108,000 WSOS Community Action (FY07) $175,000 The Ohio State University Research Foundation (FY 05) $105,825 WSOS Community Action Commission (FY04)$300,000 Ohio Valley Regional Development Commission (FY02)$120,000 WSOS Community Action Commission (FY02)$700,000 Total $1,770,300 Rural Community Development Initiative

USDA and Local/Regional Food Systems Credit  Farm Loans, Microloans and Farm Storage Facility Loans (for cold storage!) Farm Service Agency State Offices: Farm Service Agency State Offices:

Applies to fruit, vegetable, and nut frozen or dry storage facilities Low interest financing for farmers to erect or upgrade farm storage and handling facilities. The loan is approved by the local FSA Committee. Farm Storage Facility Loan

Terms $500,000 is the maximum per person 15% down 7-year, 10-year, and 12-year loans Fixed interest based on month of disbursement Equal amortized installments Loan disbursed after bin is erected and inspected Farm Storage Facility Loan

USDA and Local/Regional Food Systems Increased access: Mobile markets USDA’s Farmers Market and Local Food Promotion Program

USDA and Local/Regional Food Systems  Increased access: Farm to School USDA’s Farm to School Program

The Know Your Farmer, Know Your Food Initiative

Know Your Farmer, Know Your Food: Resources for Navigating USDA

Includes data on:  USDA-funded local food projects  Farmers markets and other “context data” gathered by USDA agencies Projects and resources from 9 other federal departments Updated regularly The KYF Compass Map

Find Resources to Fit the Need

Tony Logan Thank You!