SF 2360 (LSB 5191XS (4) 83)

SENATE FILE 2360

BY  HECKROTH

A BILL FOR

An Act providing for a local food, farms, and jobs initiative, providing for the powers and duties of a board, providing for a fund, authorizing the establishment and collection of fees, providing for the purchase of local foods by state entities, and providing for appropriations.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

DIVISION I
LOCAL FOOD, FARMS, AND JOBS BOARD
    Section 1.  NEW SECTION.  159B.1  Short title.

   This Act may be cited as the “Local Food, Farms, and Jobs Act”.
    Sec. 2.  NEW SECTION.  159B.2  Definitions.
   1.  “Board” means the local food, farms, and jobs board created in section 159B.3.
   2.  “Department” means the department of agriculture and land stewardship.
   3.  “Local farm or food products” means raw food or processed products originating from raw food, if such raw food is grown by Iowa residents or businesses located wholly within the borders of this state.
   4.  “Fund” means the local food, farms, and jobs fund created in section 159B.9.
   5.  “Governmental subdivision” means the same as defined in section 8A.101.
   6.  “State agency” means the same as defined in section 8A.101.
    Sec. 3.  NEW SECTION.  159B.3  Local food, farms, and jobs board —— creation and membership.
   1.  A local food, farms, and jobs board is created.
   2.  The local food, farms, and jobs board is comprised of the following members:
   a.  The heads or the designees of the following departments:
   (1)  The department of agriculture and land stewardship.
   (2)  The department of economic development.
   (3)  The department of education.
   (4)  The department of human services.
   (5)  The Iowa department of public health.
   b.  The following individuals appointed by the governor:
   (1)  Four individuals actively engaged in producing milk, meat, vegetables, or grain in this state.
   (2)  Four individuals actively engaged in producing flowers, fruit, fish, trees, sod, seeds, fiber, vegetables, ornamental plants, or other specialty crops for sale at wholesale or retail.
   (3)  Two individuals engaged in processing raw food produced in this state.
   (4)  Two individuals engaged in distributing local farm or food products.
   (5)  Three individuals who are associated with not-for-profit educational organizations that specialize in supporting and expanding local farm or food product networks.
   (6)  An individual actively engaged in organic food production.
   (7)  An individual representing farm or food product consumers.
   (8)  Two individuals each of whom is a member of a general farm organization in this state.
   (9)  An individual actively engaged in selling local farm or food products on a retail basis.
   (10)  Two individuals who are members of a governmental subdivision that actively encourages the development of markets for local farm or food products.
   (11)  Four individuals who are associated with community-based organizations focusing on access to local farm or food products.
   (12)  One chef who specializes in the preparation of local farm or food products for human consumption. 
   3.  Members appointed by the governor are subject to confirmation by the senate and shall serve four-year staggered terms as designated by the governor. Members appointed by the governor are subject to the requirements of sections 69.16, 69.16A, 69.16C, and 69.19.
   4.  The governor may consider the appointment of individuals based on nominations submitted by interested organizations as designated by the governor.
   5.  A member is eligible for reappointment to the board.
   6.  Vacancies shall be filled in the same manner as original appointments. A vacancy shall be filled for the balance of the unexpired term.
    Sec. 4.  NEW SECTION.  159B.4  Local food, farms, and jobs board —— procedures and payment.
   1.  The local food, farms, and jobs board shall elect a chairperson from among its members each year on a rotating basis as provided by the board. The board shall meet on a regular basis and at the call of the chairperson or upon the written request to the chairperson of ten or more members.
   2.  A majority of the members of the local food, farms, and jobs board constitute a quorum and the affirmative vote of a majority of the members present is necessary for any substantive action to be taken by the board. The majority shall not include any member who has a conflict of interest, and a statement by a member that the member has a conflict of interest is conclusive for this purpose. A vacancy in the membership does not impair the duties of the board.
   3.  Members appointed by the governor shall be reimbursed for actual and necessary expenses incurred in performance of their duties. Such members are also eligible to receive compensation as provided in section 7E.6.
    Sec. 5.  NEW SECTION.  159B.5  Local food, farms, and jobs board —— mission.

   The local food, farms, and jobs board shall facilitate the growth of an Iowa-based local farm and food product economy that revitalizes rural and urban communities, promotes healthy eating with access to fresh foods, creates jobs, ensures a readily available supply of safe food in an emergency event, and supports economic growth through making local farm or food products available to all Iowa residents.
    Sec. 6.  NEW SECTION.  159B.6  Local food, farms, and jobs board —— goals.
   1.  In order to create, strengthen, and expand local farm and food economies throughout Iowa, it is the goal of this state that by 2020 at least twenty percent of all food and food products purchased by state agencies shall be local farm or food products. 
   2.  The local food, farms, and jobs board shall work to ensure that by 2020 at least ten percent of all food and food products purchased by entities funded in whole or in part by state moneys, and which spend more than twenty-five dollars per year on food or food products, shall be local farm or food products.
    Sec. 7.  NEW SECTION.  159B.7  Local food, farms, and jobs board —— general powers.

   The local food, farms, and jobs board has all the powers necessary to carry out its mission as provided in section 159B.5 and accomplish its goals as provided in section 159B.6, including all of the following:

   1.  To sue and be sued in its own name.
   2.  To make and execute agreements, contracts, and other instruments, with any public or private entity, including but not limited to any federal governmental agency or instrumentality. All governmental subdivisions and other state agencies may enter into contracts and otherwise cooperate with the board.
   3.  To establish and collect fees for its services.
   4.  a.  To accept appropriations, gifts, grants, loans, or other aid from public or private entities. A record of all gifts or grants, stating the type, amount, and donor, shall be clearly set out in the board’s annual report along with the record of other receipts.
   b.  The board shall not pledge the faith or credit of the state. No debt or obligation of board shall become the debt or obligation of the state.
   5.  To provide technical assistance and counseling to state agencies and governmental subdivisions.
   6.  To conduct studies and make recommendations including legislative proposals to the general assembly.
   7.  a.  Subject to the availability of moneys, to employ an executive director or other staff and to contract with persons as necessary.
   b.  The heads of departments who serve as members on the board or who appoint designees to serve as members on the board may redirect existing full-time equivalent positions to serve as staff to the board. The department shall provide office space, meeting space, and other research and communication services as appropriate.
   8.  To adopt rules consistent with the provisions of this chapter and subject to chapter 17A.
    Sec. 8.  NEW SECTION.  159B.8  Local food, farms, and jobs board —— duties.

   The local food, farms, and jobs board shall do all of the following:

   1.  Assist state agencies with the purchase of local farm or food products and with tracking and reporting such purchases in order to carry out its mission as provided in section 159B.5 and accomplish its goals as provided in section 159B.6.
   2.  Assist local farm and food entrepreneurs to identify and secure necessary resources and equipment to begin, maintain, and expand projects and networks necessary for the development of local farm or food products. However, the board may facilitate program start-ups and then relinquish rights, benefits, and control within a reasonably short period of time.
   3.  Facilitate the building of infrastructure, including aggregation, processing, storage, packaging, and distribution facilities necessary to move local farm or food products to local and other markets. 
   4.  Support and expand programs that recruit, train, and provide technical assistance to Iowa farmers and residents in order to encourage the production and consumption of local farm or food products.
   5.  Coordinate interagency policies, initiatives, and procedures to promote local farm and food products in Iowa communities, by cooperating with state agencies, governmental subdivisions, federal agencies, community-based organizations, educational institutions, and trade organizations.
   6.  Facilitate the elimination of legal barriers hindering the development of a local farm and food economy by cooperating with state agencies, including the attorney general, governmental subdivisions, and federal agencies. The board shall work to create consistent and compatible regulations for the production, storage, distribution, and marketing of local farm or food products. 
   7.  Facilitate the use of public lands for growing local farm or food products by cooperating with state agencies, governmental subdivisions, and federal agencies.
   8.  Provide technical assistance and counseling to state agencies and governmental subdivisions.
   9.  Conduct studies and make recommendations including legislative proposals to the general assembly.
   10.  Establish annual goals for all purchases of local farm or food products and monitor the development and expansion of a local farm and food economy through data collection, tracking, measurement, and analysis. The board shall prepare and submit a report to the general assembly on or before January 10 of each year. The report shall describe the board’s progress in carrying out its mission as provided in section 159B.5 and accomplishing its goals as provided in section 159B.6.
   11.  Develop, in collaboration with the department, a label and certification program for identifying local farm and food products.
   12.  Develop, in cooperation with state agencies, a system for doing all of the following:
   a.  Establishing a base year by identifying the percentage of local farm or food products purchased for the fiscal year beginning July 1, 2012, and ending June 30, 2013.
   b.  Tracking and reporting local farm or food products purchases on a fiscal year basis.
   13.  Initiate and facilitate public awareness campaigns about the economic benefits of a local farm and food economy. 
    Sec. 9.  NEW SECTION.  159B.9  Local food, farms, and jobs fund.

   A local food, farms, and jobs fund is created in the state treasury under the control of the local food, farms, and jobs board.

   1.  The fund is separate from the general fund of the state.
   2.  The fund is composed of all of the following:
   a.  Moneys appropriated by the general assembly.
   b.  Fees collected by the board pursuant to section 159B.7, subsection 3.
   c.  The recapture of awards or penalties, or other repayments of moneys originating from the fund.
   d.  Moneys available to and obtained or accepted by the board from the United States government or private sources for placement in the fund pursuant to section 159B.7, subsection 4.
   3.  Moneys in the fund are appropriated to the department exclusively to support the local food, farms, and jobs board in carrying out its mission as provided in section 159B.5 and accomplishing its goals as provided in section 159B.6.
   4.  a.  Notwithstanding section 12C.7, interest or earnings on moneys in the local food, farms, and jobs fund shall be credited to the fund.
   b.  Notwithstanding section 8.33, unencumbered and unobligated moneys remaining in the fund at the close of each fiscal year shall not revert but shall remain available in the fund for expenditure for the same purposes.

DIVISION II
PURCHASING OF LOCAL FARM OR FOOD PRODUCTS

BY STATE AGENCIES
    Sec. 10.  Section 8A.311, subsection 14, Code 2009, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  d.  The purchasing of local farm or food products in accordance with the requirements of section 8A.318.
    Sec. 11.  NEW SECTION.  8A.318  Procurement —— local farm or food products.
   1.  As used in this section, unless the context otherwise requires, “local farm or food products” means the same as defined in section 159B.2.
   2.  The department shall establish a program for the purchase of local farm or food products. The preference program shall include but is not limited to all of the following:
   a.  The inclusion of program information in publications used to solicit bids from suppliers.
   b.  A description of the preference program at bidders’ conferences.
   c.  Discussion of the preference program in requests for proposals or invitations to bid.
   d.  Efforts to inform industry trade associations about the preference program.
   3.  When purchasing farm or food products, the department shall not purchase a local farm or food product that is more than ten percent greater in price than a farm or food product that the department would purchase absent the preference program.
    Sec. 12.  Section 216B.3, Code Supplement 2009, is amended by adding the following new subsection:
   NEW SUBSECTION.  18A.  Give preference to purchasing local farm or food products in accordance with the requirements of section 8A.318.
    Sec. 13.  NEW SECTION.  260C.19D  Purchase of local farm or food products.

   The board of directors of a merged area shall give preference to purchasing local farm or food products in accordance with the requirements of section 8A.318.
    Sec. 14.  NEW SECTION.  262.25D  Purchase of local farm or food products.

   The state board of regents and institutions under the control of the board shall give preference to purchasing local farm or food products in accordance with the requirements of section 8A.318.
    Sec. 15.  Section 307.21, subsection 2, Code Supplement 2009, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  f.  Give preference to purchasing local farm or food products in accordance with the requirements of section 8A.318.
    Sec. 16.  NEW SECTION.  904.312D  Purchase of local farm or food products.

   The department shall give preference to purchasing local farm or food products in accordance with the requirements of section 8A.318. 
EXPLANATION
   DIVISION I. This bill provides for the promotion of local food, farms, and food products, which include raw food or processed products originating from raw food, if such raw food is grown by Iowa residents or businesses located wholly within the borders of this state.
   CREATION OF A BOARD. The bill creates a local food, farms, and jobs board composed of the heads or designees of a number of state agencies, and persons appointed by the governor who are interested or experienced in producing, distributing, selling, or consuming locally grown food or related products. The bill provides procedures for the management of the board and provides for the payment of expenses and compensation. Office and meeting space and research and communication services are to be provided by the department of agriculture and land stewardship.
   BOARD’S MISSION. The board’s mission is to facilitate the growth of an Iowa-based local farm and food product economy that revitalizes rural and urban communities, promotes healthy eating with access to fresh foods, creates jobs, ensures a readily available supply of safe food in an emergency event, and supports economic growth.
   STATE GOAL. The bill provides that the goal of the state is that by 2020, at least 20 percent of all food and food products purchased by state agencies and at least 10 percent of such purchases made by persons receiving substantial state financing, be local farm or food products.
   BOARD’S POWERS AND DUTIES. The bill provides for the board’s powers and duties, including being able to sue or be sued, make contracts, establish and collect fees, accept moneys, employ an executive director and provide for other staffing, and adopt rules. The board is required to assist state agencies with the purchase of local farm or food products, assist local farm and food entrepreneurs, facilitate the building of infrastructure, support technical assistance programs, coordinate interagency policies to promote local farm and food products, facilitate the elimination of legal barriers hindering the development of a local farm and food economy, facilitate the use of public lands for growing local farm or food products, establish annual goals for purchases of local farm or food products, submit an annual report to the general assembly, develop, in collaboration with the department, a label and certification program, and initiate public awareness campaigns.
   FUND. The bill creates a local food, farms, and jobs fund in the state treasury under the control of the board. The board may accept moneys for placement in the fund, including fees established in the bill. The moneys in the fund are appropriated to the board to carry out its mission and accomplish the state goals.
   DIVISION II —— PURCHASING LOCAL FARM OR FOOD PRODUCTS BY STATE AGENCIES. The bill requires state agencies to give preference to purchasing local farm or food products. The bill specifically affects governmental entities having procurement authority including the department of administrative services, the department for the blind, community colleges, state board of regents institutions, the department of transportation, and the department of corrections.