LRB-5424/1
KP:amn/wlj/ahe
January 2020 Special Session
2019 - 2020 LEGISLATURE
February 7, 2020 - Introduced by Committee on Assembly Organization, by
request of Governor Tony Evers. Referred to Committee on Agriculture.
AB8,1,4 1An Act to create 20.115 (4) (ap) and 93.485 of the statutes; relating to: creating
2a Small Farm Diversity grant program, providing an exemption from
3emergency rule procedures, granting rule-making authority, and making an
4appropriation.
Analysis by the Legislative Reference Bureau
This bill requires the Department of Agriculture, Trade and Consumer
Protection to create a Small Farm Diversity grant program, under which DATCP
may award grants of up to $50,000 to 1) an existing agricultural producer to fund
costs for adding a new agricultural product or increasing production of an
agricultural product where market opportunities exist; 2) an existing agricultural
producer, for the purpose of reducing existing equipment debt, if the producer has
added a new agricultural product or increased production of an agricultural product
where market opportunities exist; or 3) a new agricultural producer to fund start-up
costs for a new agricultural operation. A person may receive a grant only if in the
most recent year before first receiving the grant, the person meets certain annual
gross cash farm income requirements specified in the bill. The bill appropriates
$1,000,000 in general purpose revenue biennially for this purpose. The bill also
outlines certain reporting requirements grant recipients must follow during the
three years after receiving a grant. Under the bill, if a grant recipient does not use
the grant funds for the purpose for which the grant is made, fails to submit required
information, or falsifies information submitted, the recipient must repay the grant
funds to the extent directed by DATCP.

For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB8,1 1Section 1 . 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
2the following amounts for the purposes indicated: - See PDF for table PDF
AB8,2 3Section 2. 20.115 (4) (ap) of the statutes is created to read:
AB8,2,54 20.115 (4) (ap) Small farm diversity grants. Biennially, the amounts in the
5schedule for small farm diversity grants under s. 93.485.
AB8,3 6Section 3. 93.485 of the statutes is created to read:
AB8,2,10 793.485 Small farm diversity grant program. (1) In this section, “new
8agricultural producer” means an individual who manages a farm or a component of
9a farm in this state as his or her primary occupation and who has produced farm
10products for no more than 10 consecutive years.
AB8,3,6 11(2) For the purposes of increasing the diversity of agricultural production in
12this state and supporting new agricultural producers, the department may award
13grants from the appropriation under s. 20.115 (4) (ap) to existing agricultural
14producers to fund costs for adding a new agricultural product, as defined in s. 348.27
15(18) (a), or increasing production of an agricultural product where market

1opportunities exist; to existing agricultural producers that have added a new
2agricultural product or increased production of an agricultural product where
3market opportunities exist, for the purpose of reducing existing equipment debt; or
4to new agricultural producers to fund start-up costs for new agricultural production
5operations. The department shall promulgate rules for the program under this
6section.
AB8,3,12 7(3) The department may not award a grant under this section unless in the
8most recent year before first receiving the grant, the recipient earned from activities
9conducted on a farm premises, as defined in s. 102.04 (3), annual gross cash farm
10income that is not less than $35,000 and not more than 150 percent of the maximum
11annual gross cash farm income for a small family farm under the farm typology of
12the economic research service of the U.S. department of agriculture.
AB8,3,14 13(4) The department may not award a grant under this section of more than
14$50,000.
AB8,3,16 15(5) A recipient of a grant under this section is not required to contribute
16matching funds equal to the proposed grant to receive a grant under this section.
AB8,3,18 17(6) An individual or organization that receives a grant under this section shall
18submit all of the following to the department:
AB8,3,2319 (a) One year after receiving the grant, a report that includes an itemized list
20of expenditures for which the grant was used and the amount of each expenditure;
21the amount of income earned from the agricultural operation; the number of
22employees of the agricultural operation; and any other information required by the
23department by rule.
AB8,4,224 (b) Two years and 3 years after receiving the grant, reports that include the
25amount of income earned from the agricultural operation; the number of employees

1of the agricultural operation; and any other information required by the department
2by rule.
AB8,4,8 3(7) If the recipient of a grant under this section fails to use the grant funds for
4the purposes specified in sub. (2), fails to submit the reports under sub. (6), or
5knowingly provides false information in a report submitted under sub. (6), the grant
6recipient shall repay the grant funds to the department to the extent and in the
7manner directed by the department, and the department shall include this
8requirement in any grant agreement with the grant recipient.
AB8,4 9Section 4 . Nonstatutory provisions.
AB8,4,1910 (1) Emergency rules. The department of agriculture, trade and consumer
11protection may promulgate emergency rules under s. 227.24 implementing s. 93.485.
12Notwithstanding s. 227.24 (1) (c) and (2), emergency rules promulgated under this
13subsection remain in effect until the first day of the 19th month beginning after the
14effective date of this subsection or the date on which permanent rules take effect,
15whichever is sooner. Notwithstanding s. 227.24 (1) (a) and (3), the department of
16agriculture, trade and consumer protection is not required to provide evidence that
17promulgating a rule under this subsection as an emergency rule is necessary for the
18preservation of public peace, health, safety, or welfare and is not required to provide
19a finding of emergency for a rule promulgated under this subsection.
AB8,4,2020 (End)
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