SENATE AMENDED
PRIOR PRINTER'S NOS. 3140, 3408 PRINTER'S NO. 3506
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2310
Session of
2024
INTRODUCED BY TAKAC, PROBST, HILL-EVANS, KHAN, CEPEDA-FREYTIZ,
SCHLOSSBERG, N. NELSON, SAPPEY, SANCHEZ, BELLMON, PASHINSKI,
CONKLIN, KINKEAD, DALEY, STEELE, CAUSER, FRIEL, KENYATTA,
VENKAT, HADDOCK, GIRAL, COOK, MADSEN, GREEN AND WEBSTER,
MAY 21, 2024
SENATOR MARTIN, APPROPRIATIONS, IN SENATE, RE-REPORTED AS
AMENDED, JULY 11, 2024
AN ACT
1 Amending Title 3 (Agriculture) of the Pennsylvania Consolidated <--
2 Statutes, providing for the Agriculture Innovation Grant
3 Program; and promulgating regulations.
4 AMENDING TITLE 3 (AGRICULTURE) OF THE PENNSYLVANIA CONSOLIDATED <--
5 STATUTES, ESTABLISHING THE AGRICULTURE INNOVATION GRANT
6 PROGRAM AND THE AGRICULTURE INNOVATION BOARD.
7 AMENDING THE ACT OF APRIL 9, 1929 (P.L.343, NO.176), ENTITLED <--
8 "AN ACT RELATING TO THE FINANCES OF THE STATE GOVERNMENT;
9 PROVIDING FOR CANCER CONTROL, PREVENTION AND RESEARCH, FOR
10 AMBULATORY SURGICAL CENTER DATA COLLECTION, FOR THE JOINT
11 UNDERWRITING ASSOCIATION, FOR ENTERTAINMENT BUSINESS
12 FINANCIAL MANAGEMENT FIRMS, FOR PRIVATE DAM FINANCIAL
13 ASSURANCE AND FOR REINSTATEMENT OF ITEM VETOES; PROVIDING FOR
14 THE SETTLEMENT, ASSESSMENT, COLLECTION, AND LIEN OF TAXES,
15 BONUS, AND ALL OTHER ACCOUNTS DUE THE COMMONWEALTH, THE
16 COLLECTION AND RECOVERY OF FEES AND OTHER MONEY OR PROPERTY
17 DUE OR BELONGING TO THE COMMONWEALTH, OR ANY AGENCY THEREOF,
18 INCLUDING ESCHEATED PROPERTY AND THE PROCEEDS OF ITS SALE,
19 THE CUSTODY AND DISBURSEMENT OR OTHER DISPOSITION OF FUNDS
20 AND SECURITIES BELONGING TO OR IN THE POSSESSION OF THE
21 COMMONWEALTH, AND THE SETTLEMENT OF CLAIMS AGAINST THE
22 COMMONWEALTH, THE RESETTLEMENT OF ACCOUNTS AND APPEALS TO THE
23 COURTS, REFUNDS OF MONEYS ERRONEOUSLY PAID TO THE
24 COMMONWEALTH, AUDITING THE ACCOUNTS OF THE COMMONWEALTH AND
25 ALL AGENCIES THEREOF, OF ALL PUBLIC OFFICERS COLLECTING
26 MONEYS PAYABLE TO THE COMMONWEALTH, OR ANY AGENCY THEREOF,
27 AND ALL RECEIPTS OF APPROPRIATIONS FROM THE COMMONWEALTH,
28 AUTHORIZING THE COMMONWEALTH TO ISSUE TAX ANTICIPATION NOTES
29 TO DEFRAY CURRENT EXPENSES, IMPLEMENTING THE PROVISIONS OF
 1 SECTION 7(A) OF ARTICLE VIII OF THE CONSTITUTION OF
2 PENNSYLVANIA AUTHORIZING AND RESTRICTING THE INCURRING OF
3 CERTAIN DEBT AND IMPOSING PENALTIES; AFFECTING EVERY
4 DEPARTMENT, BOARD, COMMISSION, AND OFFICER OF THE STATE
5 GOVERNMENT, EVERY POLITICAL SUBDIVISION OF THE STATE, AND
6 CERTAIN OFFICERS OF SUCH SUBDIVISIONS, EVERY PERSON,
7 ASSOCIATION, AND CORPORATION REQUIRED TO PAY, ASSESS, OR
8 COLLECT TAXES, OR TO MAKE RETURNS OR REPORTS UNDER THE LAWS
9 IMPOSING TAXES FOR STATE PURPOSES, OR TO PAY LICENSE FEES OR
10 OTHER MONEYS TO THE COMMONWEALTH, OR ANY AGENCY THEREOF,
11 EVERY STATE DEPOSITORY AND EVERY DEBTOR OR CREDITOR OF THE
12 COMMONWEALTH," IN EMERGENCY COVID-19 RESPONSE, FURTHER
13 PROVIDING FOR EMERGENCY EDUCATION RELIEF TO NONPUBLIC
14 SCHOOLS; PROVIDING FOR STATE HEALTH INSURANCE EXCHANGE
15 AFFORDABILITY PROGRAM; IN TREASURY DEPARTMENT, FURTHER
16 PROVIDING FOR INVESTMENT OF MONEYS; IN OIL AND GAS WELLS,
17 FURTHER PROVIDING FOR OIL AND GAS LEASE FUND; IN
18 TRANSPORTATION NETWORK COMPANIES, MOTOR CARRIER COMPANIES AND
19 PARKING AUTHORITY OF A CITY OF THE FIRST CLASS; PROVIDING FOR
20 OPERATION OF TAXICABS; IN ASSESSMENTS, FURTHER PROVIDING FOR
21 INTERMEDIATE CARE FACILITIES FOR PERSONS WITH AN INTELLECTUAL
22 DISABILITY ASSESSMENTS AND FOR HOSPITAL ASSESSMENTS; IN
23 ATTORNEY GENERAL, PROVIDING FOR COSTS OF INVESTIGATION AND
24 LITIGATION UNDER UNFAIR TRADE PRACTICES AND CONSUMER
25 PROTECTION LAW; PROVIDING FOR PENNSYLVANIA MINORITY BUSINESS
26 DEVELOPMENT AUTHORITY AND FOR AGRICULTURE INNOVATION GRANT
27 PROGRAM; IN SPECIAL FUNDS, PROVIDING FOR PENNSYLVANIA
28 CONVENTION CENTER; IN TOBACCO SETTLEMENT FUND, FURTHER
29 PROVIDING FOR ESTABLISHMENT OF SPECIAL FUND AND ACCOUNT AND
30 FOR USE OF FUND; IN PENNSYLVANIA RACE HORSE DEVELOPMENT FUND,
31 FURTHER PROVIDING FOR DISTRIBUTIONS FROM PENNSYLVANIA RACE
32 HORSE DEVELOPMENT FUND; IN MISCELLANEOUS LIMITATIONS AND
33 TRANSFERS, PROVIDING FOR REFUND OF 2009 ASSESSMENT BY
34 INSURANCE DEPARTMENT; IN CLEAN STREAMS FUNDS, FURTHER
35 PROVIDING FOR CLEAN STREAMS FUND; IN SERVICE AND
36 INFRASTRUCTURE IMPROVEMENT FUND, FURTHER PROVIDING FOR
37 DEPOSITS; IN GENERAL BUDGET IMPLEMENTATION, FURTHER PROVIDING
38 FOR EXECUTIVE OFFICES, FOR DEPARTMENT OF AGRICULTURE, FOR
39 DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT, FOR
40 DEPARTMENT OF GENERAL SERVICES, FOR DEPARTMENT OF LABOR AND
41 INDUSTRY, FOR PENNSYLVANIA EMERGENCY MANAGEMENT AGENCY AND
42 FOR COMMONWEALTH FINANCING AUTHORITY, PROVIDING FOR MIXED-USE
43 REVITALIZATION PROGRAM, FURTHER PROVIDING FOR SUPREME COURT,
44 FOR FEDERAL AND COMMONWEALTH USE OF FOREST LAND AND FOR
45 MULTIMODAL TRANSPORTATION FUND AND PROVIDING FOR SCHOOL
46 SAFETY AND SECURITY FUND; IN 2023-2024 BUDGET IMPLEMENTATION,
47 FURTHER PROVIDING FOR DEPARTMENT OF HUMAN SERVICES AND FOR
48 DEPARTMENT OF TRANSPORTATION; PROVIDING FOR 2024-2025 BUDGET
49 IMPLEMENTATION, FOR 2024-2025 RESTRICTIONS ON APPROPRIATIONS
50 FOR FUNDS AND ACCOUNTS, FOR STREAMLINING PERMITS FOR ECONOMIC
51 EXPANSION AND DEVELOPMENT PROGRAM, FOR PENNSYLVANIA STRATEGIC
52 INVESTMENT TO ENHANCE SITES (PA SITES) PROGRAM AND FOR FISCAL
53 SUPPLEMENTS TO STATUTORY PROGRAMS; MAKING REPEALS; AND MAKING
54 AN EDITORIAL CHANGE.
55 The General Assembly of the Commonwealth of Pennsylvania
56 hereby enacts as follows:
57 Section 1. Title 3 of the Pennsylvania Consolidated Statutes <--
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 1 is amended by adding a chapter to read:
2 CHAPTER 110
3 AGRICULTURE INNOVATION GRANT PROGRAM
4 Sec.
5 11001. Scope of chapter.
6 11002. Purpose.
7 11003. Definitions.
8 11004. Agriculture Innovation Grant Program.
9 11005. Board membership.
10 11006. Grant funds and eligibility.
11 11007. Funding.
12 11008. Limitation of grants.
13 11009. Applications.
14 11010. Disposition of grants.
15 11011. Regulations.
16 § 11001. Scope of chapter.
17 This chapter shall be known and may be cited as the
18 Agriculture Innovation Grant Program.
19 § 11002. Purpose.
20 It is the intent of the General Assembly to offer
21 reimbursement grants to promote and support agricultural
22 innovation to ensure the competitiveness, resiliency,
23 environmental stewardship and vitality of farms and
24 agribusinesses in this Commonwealth. Grants will assist
25 producers of agricultural commodities, agriculture service
26 providers, cooperatives, packers and processors in the
27 implementation of innovation that increases efficiency,
28 encourages sustainable practices, utilizes renewable energy or
29 sequesters carbon.
30 § 11003. Definitions.
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 1 The following words and phrases when used in this chapter
2 shall have the meanings given to them in this section unless the
3 context clearly indicates otherwise:
4 "Agricultural commodity." As defined in the act of June 10,
5 1982 (P.L.454, No.133), referred to as the Right-to-Farm Law.
6 "Board." The Agriculture Innovation Board established under
7 section 11005 (relating to board membership).
8 "Commission." The State Conservation Commission.
9 "Cooperative association." Any cooperative marketing
10 association of producers which the Secretary of Agriculture
11 determines, after application by the cooperative association,
12 to:
13 (1) be qualified under the provisions of the Cooperative
14 Marketing Association Act (42 Stat. 388, 7 U.S.C. §§ 291 and
15 292) and organized as a cooperative agricultural association
16 under the laws of this Commonwealth and any other state; and
17 (2) have full authority in the sale of affected
18 agricultural commodity of its members and to be engaged in
19 making collective sales of or marketing the commodity or its
20 products for its members.
21 "Department." The Department of Agriculture of the
22 Commonwealth.
23 "Eligible applicant." An applicant that meets one of the
24 following criteria:
25 (1) A person who grows an agricultural commodity and who
26 has anticipated sales greater than $2,000 a year.
27 (2) A person who provides technical assistance or
28 services to farmers for conservation, engineering, plant
29 inspection, crop protection, soil amendments, nutrient
30 management and similar services.
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 1 (3) A person or cooperative association that utilizes
2 agricultural commodities to create products or energy.
3 "Innovation." The practical implementation of ideas that
4 result in new products, processes or services.
5 "Lending institution." As defined under section 603
6 (relating to definitions).
7 "Person." An individual, partnership, association, firm,
8 corporation or any other legal entity.
9 "Program." The Agriculture Innovation Grant Program
10 established under section 11004 (relating to Agriculture
11 Innovation Grant Program).
12 § 11004. Agriculture Innovation Grant Program.
13 The Agriculture Innovation Grant Program is established
14 within the department. The program shall be administered by the
15 department, in consultation with the commission and the board,
16 to provide reimbursement grants to eligible applications for
17 costs associated with one or more of the following:
18 (1) Utilization of innovation to improve energy
19 efficiency, improve water quality, reduce water consumption,
20 reduce odors or address solid waste concerns.
21 (2) Increased processing of agricultural commodities
22 that sequester carbon into durable goods.
23 (3) Technology that produces energy from agricultural
24 sources, including manure, food waste or biomass.
25 (4) Technology that reduces the amount of greenhouse
26 gases used or emitted by farms.
27 (5) Equipment that provides low-carbon or no-carbon
28 energy sources from agriculture commodities.
29 (6) Technology that assists eligible applicants with the
30 management of their farms, including diagnostic tools and
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 1 services.
2 (7) Technology that assists a packer, processor or
3 cooperative in the sorting, grading or production of
4 agricultural commodities more efficiently.
5 (8) Innovations that improve biosecurity or health of
6 plants and animals.
7 (9) Innovations that support cybersecurity or data
8 analytics.
9 § 11005. Board membership.
10 The Agriculture Innovation Board is established and shall
11 consist of the following members, with a majority of members
12 constituting a quorum:
13 (1) The Secretary of Agriculture or a designee, who
14 shall serve as chairperson.
15 (2) The Secretary of Community and Economic Development,
16 or a designee.
17 (3) The Executive Director of the State Conservation
18 Commission or a designee.
19 (4) A representative of a higher educational facility
20 located in this Commonwealth.
21 (5) A board member of a rural electric cooperative
22 located in this Commonwealth.
23 (6) A member of a cooperative association located in
24 this Commonwealth.
25 (7) An employee of a lending institution located in this
26 Commonwealth.
27 (8) A person or an employee of a person engaged in the
28 production or processing of an agricultural commodity in this
29 Commonwealth.
30 (9) An employee of a conservation organization doing
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 1 work in this Commonwealth.
2 § 11006. Grant funds and eligibility.
3 (a) Planning project grant.--An eligible applicant may apply
4 for a grant for a project focused on developing strategic plans
5 to improve agricultural practices, technologies, operations or
6 approaches within a specific business, geographic area or
7 network, to which the following shall apply:
8 (1) The amount of a grant shall be no less than $7,500
9 and no more than $50,000.
10 (2) A grantee must use non-State sourced matching funds
11 equal to at least 30% of the grant amount for the project.
12 (b) On-farm project grant.--An eligible applicant may apply
13 for a grant for a project that focuses on implementing
14 practices, technologies or approaches on an individual farm or
15 property producing an agricultural commodity, to which the
16 following shall apply:
17 (1) The amount of the grant shall be no less than $5,000
18 and no more than $200,000.
19 (2) A grantee must use non-State sourced matching funds
20 equal to at least 50% of the grant amount for the project.
21 (c) Regional impact project grant.--An eligible applicant
22 may apply for a grant for a project designed to address
23 challenges, promote efficiencies or achieve specific goals for
24 multiple eligible applicants, to which the following shall
25 apply:
26 (1) The amount of the grant shall be no less than
27 $100,000 and no more than $2,000,000.
28 (2) The grantee must use non-State sourced matching
29 funds equal to at least 50% of the grant amount for the
30 project.
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 1 (3) The project must impact two or more persons or
2 businesses or be a cooperative association that grows,
3 harvests, processes, packs or manages agricultural
4 commodities.
5 § 11007. Funding.
6 The department shall accept funds from the following sources:
7 (1) Money appropriated to the department for the
8 purposes of this chapter.
9 (2) Gifts or donations of money, securities or other
10 personal property except real estate, which, or the income of
11 which, shall be used to carry out the purposes of this
12 chapter.
13 § 11008. Limitation of grants.
14 (a) Limitation.--A grant under section 11006 (relating to
15 grant funds and eligibility) may only be awarded to the extent
16 money is appropriated by the General Assembly or provided by
17 other sources.
18 (b) Approval of grant.--The board may approve a grant that
19 is less than the requested amount.
20 (c) Conditions.--The department may impose restrictions or
21 special conditions upon issuance of a grant.
22 (d) Reimbursement grants.--
23 (1) A grant awarded under section 11006 shall be a
24 reimbursement grant. The amount of reimbursement shall be
25 based on actual eligible costs submitted by an approved
26 applicant for an approved project during any fiscal year in
27 which grants are offered.
28 (2) Grant money shall not be used to reimburse any
29 portion of an in-kind contribution to an eligible project.
30 (3) Grant money may not be used to pay or reimburse
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 1 wages or salaries of grant recipient staff.
2 (4) Grant money may not be used to reimburse any portion
3 of project costs that are paid or reimbursed under another
4 Federal or State grant program.
5 (e) Cap on grants.--A single eligible applicant may not be
6 awarded more than $2,000,000 in a one-year period, calculated
7 from the date on which the department awards the initial grant.
8 § 11009. Applications.
9 (a) Submission.--Applications for grants shall be submitted
10 in a manner and on a form as prescribed by the department.
11 (b) Evaluation.--The board shall meet at least twice each
12 year to evaluate and award grants to eligible applicants based
13 on the following application criteria:
14 (1) The ability of the applicant to complete the
15 project.
16 (2) The ability of the applicant to incorporate one or
17 more of the innovations under section 11004 (relating to
18 Agriculture Innovation Grant Program).
19 (3) How the project fulfills one or more of the
20 innovations under section 11004.
21 (4) The number of jobs created or retained due to the
22 project.
23 (5) The ability of the applicant to sustain the project.
24 (6) Any other criteria as determined by the department.
25 § 11010. Disposition of grants.
26 (a) Written agreement.--The department may require a written
27 agreement describing the terms and conditions of the grant.
28 (b) Verification.--The department may require verification
29