FY 2024-25: AGRICULTURE AND RURAL DEVELOPMENT
Summary: As Passed by the Senate
Senate Bill 758 (S-3)
Analyst: William E. Hamilton
Difference: Senate
FY 2023-24 From FY 2023-24
Enacted FY 2024-25 FY 2024-25 FY 2024-25 FY 2024-25 Enacted
as of 2/7/24 Executive House Senate Conference Amount %
IDG/IDT $327,000 $332,400 $332,400 $332,400 $ $5,400 1.7
Federal 29,762,700 20,357,900 20,357,900 20,357,900 (9,404,800) (31.6)
Local 0 0 0 0 0 --
Private 21,300 21,300 21,300 21,300 0 0.0
Restricted 45,719,900 46,450,900 47,170,900 61,950,900 16,231,000 35.5
GF/GP 92,781,800 77,056,400 82,056,400 80,556,500 (12,225,300) (13.2)
Gross $168,612,700 $144,218,900 $149,938,900 $163,219,000 $ ($5,393,700) (3.2)
FTEs 550.0 579.0 555.0 552.0 2.0 0.4
Note: Appropriation figures for FY 2024-25 include all proposed appropriation amounts, including amounts designated as "one-
time."
Overview
Michigan Department of Agriculture and Rural Development (MDARD) key programs and priorities include ensuring food
safety and security, protecting animal health and welfare, managing invasive exotic species, regulating pesticide use,
certifying agricultural commodities, ensuring environmental stewardship, consumer protection, and promoting the state's
agricultural economy.
Note: The Governor's proposed budget reflects MDARD's internal reorganization effective January 1, 2024. However,
the analysis of major budget changes below compares like programs and line items in current year and FY 2024-25 and
does not show changes associated with MDARD's reorganization or related proposed changes in budget structure.
FY 2023-24 FY 2024-25
Enacted Senate
Major Budget Changes from FY 2023-24 Enacted Appropriations (as of 2/7/24) Change
1. Unclassified Salaries FTE 6.0 0.0
The department indicates that the current budget does not provide Gross $664,900 $335,100
sufficient funding to support all 6.0 authorized unclassified FTE Restricted 0 335,100
positions. Executive includes increase of $335,100 Gross ($0 GF/GP) GF/GP $664,900 $0
to support all 6.0 authorized unclassified FTE positions. House concurs
with Executive. Senate concurs with Executive.
2. Emerging Contaminates in Food and Agriculture FTE 6.0 0.0
Executive retains $2.1 million GF/GP in ongoing funding for program Gross $4,079,900 ($1,999,800)
intended to identify, respond to, and mitigate emerging contaminates, GF/GP $4,079,900 ($1,999,800)
including PFAS, affecting agriculture and related food industries, but
does not retain $2.0 million one-time. House concurs with Executive.
Senate concurs with Executive.
3. Federal USDA Emergency Management Grant FTE 8.0 0.0
Executive includes $600,000 federal funds increase in Emergency Gross $2,918,000 $600,000
Management to recognize United State Department of Agriculture Federal 432,300 600,000
(USDA) Animal and Plant and Health Inspection Service (APHIS) grant GF/GP $2,485,700 $0
awarded to the department for incident command training and other
services. House concurs with Executive. Senate concurs with
Executive.
House Fiscal Agency 1 5/15/2024
FY 2023-24 FY 2024-25
Enacted Senate
Major Budget Changes from FY 2023-24 Enacted Appropriations (as of 2/7/24) Change
4. Environmental Stewardship/MAEAP – Staffing FTE 26.0 0.0
Executive requests increase of 24.0 FTE positions for the Michigan Gross $11,744,500 $0
Agriculture Environmental Assurance Program (MAEAP). The increase Federal 1,982,600 0
would allow the department to shift program delivery from Local Restricted 8,328,900 0
Conservation District contract technicians to classified MDARD GF/GP $1,433,000 $0
employees. There is no funding impact associated with this change in
program delivery. House concurs with Executive with respect to funding
but does not include the 24.0 FTE position increase. Senate concurs
with Executive with respect to funding but does not include the 24.0 FTE
position increase.
5. Agricultural Climate Resiliency Gross $7,000,000 ($6,000,000)
Executive retains $1.0 million GF/GP in ongoing funding for grant GF/GP $7,000,000 ($6,000,000)
program to promote the principles of regenerative agriculture as defined
in boilerplate section 503, but does not retain $6.0 million in one-time
funding. House includes $6.0 million GF/GP in part 1 funding ($1.0
million ongoing and $5.0 million one-time) – $1.0 million less than current
year. House also provides additional $3.0 million GF/GP through
boilerplate appropriation (Section 901) repurposing a work project
balance. Senate concurs with Executive.
6. Soil Health and Regenerative Agriculture FTE 5.0 0.0
Executive retains $1.0 million GF/GP in ongoing funding but does not Gross $6,000,000 ($5,000,000)
retain $5.0 million shown as one-time, a net decrease of $5.0 million. GF/GP $6,000,000 ($5,000,000)
Program, defined in boilerplate section 504, is intended to promote the
principles of regenerative agriculture. House concurs with Executive
and retains $1.0 million GF/GP in ongoing funding only. Senate concurs
with Executive and retains only $1.0 million GF/GP ongoing. Note the
Senate also includes $249,900 GF/GP in one-time funding for Soil
Health Workshops and Education – shown Item #19 below.
7. Local Conservation Districts Gross $3,000,000 $3,000,000
Executive retains $2.0 million GF/GP in ongoing funding but does not GF/GP $3,000,000 $3,000,000
retain $1.0 million in one-time support, a net decrease of $1.0 million.
House retains current year funding of $3.0 million GF/GP, all shown as
ongoing. Senate includes $6.0 million GF/GP, all shown as ongoing, a
$3.0 million increase from current year.
8. Farm to Family Program – NEW FTE 0.0 3.0
Executive recommends $4.0 million GF/GP, and 6.0 FTE authorization, Gross $0 $2,000,000
for a new ongoing program to support regenerative farming, agriculture GF/GP $0 $2,000,000
supply chains, and the promotion of Michigan food products. House
includes $1.0 million GF/GP; shifts $1.0 million to Local conservation
districts and $2.0 million to Fair Food Network – Double up food bucks.
Senate includes $2.0 million GF/GP, with 3.0 FTE positions.
9. Fair Food Network – Double Up Food Bucks Gross $2,000,000 $0
Executive retains $2.0 million GF/GP in ongoing support for program that GF/GP $2,000,000 $0
provides a supplemental benefit for SNAP recipients to purchase fresh
fruits and vegetables. House includes an additional $2.0 million GF/GP
by shifting from Farm to Family Program. House also includes $1.0
million through a boilerplate appropriation (Section 901) repurposing a
work project balance. Senate concurs with Executive.
10. Food and Agriculture Supply Chain Investment FTE 1.0 0.0
Executive retains $800,000 GF/GP in ongoing funding for program Gross $1,800,000 ($1,000,000)
intended to address issues related to agriculture and food industry GF/GP $1,800,000 ($1,000,000)
supply chain, including accessibility of cold storage, distribution and
processing facilities, and implementation of advanced technologies.
Executive does not retain $1.0 million GF/GP in one-time funding.
House concurs with Executive. Senate concurs with Executive.
House Fiscal Agency 2 5/15/2024
FY 2023-24 FY 2024-25
Enacted Senate
Major Budget Changes from FY 2023-24 Enacted Appropriations (as of 2/7/24) Change
11. Office of Rural Development Transfer FTE 1.0 (1.0)
Executive reflects Executive Order 2023-6 transfer of the Office of Rural Gross $678,000 ($678,000)
Development to the Department of Labor and Economic Opportunity GF/GP $678,000 ($678,000)
(LEO). House concurs with Executive. Senate concurs with Executive.
12. County Fairs, Shows, and Expositions Gross $2,500,000 ($2,000,000)
Executive retains $500,000 GF/GP in ongoing support for grant program GF/GP $2,500,000 ($2,000,000)
but does not retain $2.0 million in one-time funding. House concurs with
Executive. Senate concurs with Executive.
13. Standardbred Racing Program Gross $3,794,200 $0
Executive retains current year funding of $3.8 million from the restricted Restricted 3,794,200 0
Agriculture Equine Industry Development Fund (AEIDF) for GF/GP $0 $0
standardbred horse racing programs. House includes additional
$720,000 (AEIDF) for a new line item, Michigan sired championship
stakes, defined in Sec. 803, to allow for a standardbred sire stakes race
at a county fair. This line item would only be used if there is no licensed
race meeting/track to host the event. Senate concurs with Executive.
14. Minority-Owned Food and Agriculture Ventures (One-Time) Gross $2,900,000 ($2,400,000)
Executive does not retain $2.9 million GF/GP for program, new in the GF/GP $2,900,000 ($2,400,000)
current year budget. House concurs with Executive. Senate retains
$500,000, a reduction of $2.4 million from current year.
15. Laboratory Animal Welfare (One-Time) Gross $500,000 $0
Executive does not retain $500,000 GF/GP for one-time line item GF/GP $500,000 $0
associated with Senate Bills 148 and 149 ("Teddy's Law") related to the
adoption of animals used in medical research. House concurs with
Executive. Senate retains current year funding.
16. Farmer's Market Upgrades (One-Time/ New in Senate Bill) Gross $0 $100
Senate incudes $100 placeholder. GF/GP $0 $100
17. Fruit and Vegetable Prescription Program (One-Time/ New in Gross $0 $100
Senate Bill) GF/GP $0 $100
Senate incudes $100 placeholder. [Note that because of a drafting error,
this item is shown in the Fairs and Racing unit in the bill.]
18. Craft Beverage Council – Wine/Agri-Tourism (One-Time/ New in Gross $0 $100
Senate Bill) GF/GP $0 $100
Senate incudes $100 placeholder.
19. Soil Health Workshops and Education (One-Time/ New in Gross $0 $249,900
Senate Bill) GF/GP $0 $249,900
Senate incudes $249,900 GF/GP; defined in Sec. 902.
20. Study on Funding and Role of Local Conservation Districts – Gross $0 $249,900
(One-Time/ New in Senate Bill) GF/GP $0 $249,900
Senate incudes $249,900 GF/GP for study of local conservation districts;
defined in Sec. 903.
21. Western Lake Erie Basin Soil Health Projects (One-Time/ New Gross $0 $15,500,000
in Senate Bill) Restricted 0 15,500,000
Senate incudes $15.5 million from the repurposing of a work project GF/GP $0 $0
lapse. This appropriation is shown in the Senate bill as from restricted
funds. Defined in sections 904, 905, 906, and 907.
House Fiscal Agency 3 5/15/2024
FY 2023-24 FY 2024-25
Enacted Senate
Major Budget Changes from FY 2023-24 Enacted Appropriations (as of 2/7/24) Change
22. Removal of FY 2023-24 One-Time Appropriations # Gross $10,200,200 ($10,200,200)
Executive removes the following one-time items, totaling $10.2 million Federal 10,100,000 (10,100,000)
Gross ($100,200 GF/GP), that had been included in the FY 2023-24 GF/GP $100,200 ($100,200)
budget:
• ARP - Resilient Food Systems Infrastructure, $10.1 million federal.
• Northern Michigan Herd Protection, $100 GF/GP.
• Rural Venture Capital Program, $100 GF/GP.
• Washtenaw conservation district - MiFarmLink pilot project,
$100,000 GF/GP.
House and Senate concur with Executive and remove the above FY
2023-24 items.
# Note that One-time items in the FY 2023-24 budget total $30.6 million
Gross ($20.5 million GF/GP). However, Item #13 does not address one-
time items, totaling $20.0 million, that are reviewed elsewhere in this
summary, specifically:
• Emerging Contaminates in Food and Agriculture, $2.0 million
GF/GP. (Item #2, above.)
• Agricultural Climate Resiliency, $6.0 million GF/GP. (Item #5,
above.)
• Soil Health and Regenerative Agriculture, $5.0 million GF/GP. (Item
#6, above).
• Local Conservation Districts, $1.0 million GF/GP. (Item #7, above).
• Food and Agriculture Supply Chain Investment, $1.0 million GF/GP.
(Item #10 above).
• County Fairs, Shows, and Expositions, $2.0 million GF/GP. (Item
#12, above).
• Laboratory Animal Welfare, $500,000 GF/GP. (Item #14, above).
• Minority-owned Food and Agriculture Ventures, $2.9 million GF/GP.
(Item #15, above).
23. Economic Adjustments Gross NA $1,968,500
Executive reflects increased costs of $2.0 million Gross ($1.5 million IDG/IDT NA 5,400
GF/GP) for negotiated salary and wage increases (5.0% on October 1, Federal NA 95,200
2024), actuarially required retirement contributions, worker's Restricted NA 395,900
compensation, building occupancy charges, rent, and other economic GF/GP NA $1,472,000
adjustments. House concurs with Executive.
Major Boilerplate Changes from FY 2023-24
Sec. 207. Communication with the Legislature – REVISED
Executive deletes section that prohibits department from taking disciplinary action against an employee for communicating
with the Legislature. House and Senate retain with technical changes to reflect new standard language; renumbered as
Sec. 206.
Sec. 212. Transparency Website – REVISED
Executive deletes section that requires the department to cooperate with the Department of Technology, Management
and Budget to maintain a searchable website, accessible by the public, that provides expenditure and staffing information.
House and Senate retain with technical changes to reflect new standard language; renumbered as Sec. 211.
Sec. 213. Restricted Fund Report – REVISED
Executive deletes section that requires the department to work with the State Budget Office to provide a report on
restricted fund revenues, expenditures, and fund balances; renumbered as Sec. 212. [This report is currently included in
the annual Budget Presentation.] House and Senate retain with technical changes to reflect new standard language.
House Fiscal Agency 4 5/15/2024
Major Boilerplate Changes from FY 2023-24
Sec. 214. Key Metrics – RETAINED
Executive deletes section that requires the department to maintain on a publicly accessible website information on key
metrics and performance measures. House concurs with Executive and does not include. Senate retains; renumbered
as Sec. 213.
Sec. 218. Remote Work Policy – REVIS