Subchapter A. GENERAL PROVISIONS
Sec.
130c.1. Objectives.
130c.2. Definitions.
130c.3. Records.
130c.4. Conflict of interest.
130c.5. Duties of the Executive Director.
130c.6. Notice of disposition of application.
130c.7. Loan or grant cancellation.
130c.8. Right of recovery.
130c.9. Deficits.§ 130c.1. Objectives.
The purpose of the act is to:
(1) Establish a program for sustainable agriculture practices and to create the Board.
(2) Define the powers and duties of the Department and the Board.
(3) Provide for sustainable agriculture loan and grant programs and an alternative crop grant program.
§ 130c.2. Definitions.
The following words and terms, when used in this chapter, have the following meanings, unless the context clearly indicates otherwise:
Act—The Sustainable Agriculture Act (3 P. S. § § 2101—2117).
Agricultural activity or farming—The commercial production of agricultural crops, livestock or livestock products, poultry products, milk or dairy products or fruits and other horticultural products.
Alternative crop—Crops not normally grown on an annual or rotational basis in this Commonwealth. The term may include crops used to replenish soil nutrients, crops used for animal or human consumption or crops used to reduce reliance on fuel, agricultural chemicals or synthetic fertilizer.
Applicant—A farm enterprise applying for a loan or grant.
Beneficial insects—Insects which, during their life cycle, are effective pollinators of plants, are parasites or predators of pests, or are otherwise beneficial to farming.
Board—The Board of Sustainable Agriculture.
Corporate farm—A corporation formed for the purpose of engaging in agricultural activity or farming which is not a family farm corporation.
Creditworthy—The ability to pay debts as they become due, to offer sufficient security and collateral and having no history of any previous default on loans specified in § 130c.14(g) (relating to general conditions).
Defoliant—A substance or mixture of substances intended for causing the leaves or foliage to drop from a plant, with or without causing abscission.
Department—The Department of Agriculture of the Commonwealth.
Desiccant—Any substance or mixture of substances intended for artificially accelerating the drying of plant tissue.
Executive Director—The person appointed by the Secretary to advise the Board.
Family farm corporation—A corporation formed for the purpose of farming in which the majority of the voting stock is held by and the majority of the stockholders are natural persons or their spouses or other persons related to the natural persons or their spouses and at least one of the majority stockholders is residing on or actively operating or managing the farm and none of the stockholders of which are corporations.
Family farm partnership—A general partnership entered into for the purpose of farming, having no more than three unrelated members and having at least one member residing on or actively operating or managing the farm.
Farm enterprise—A natural person, family farm corporation, family farm partnership engaged in farming or a corporate farm or nonprofit educational institution.
Farmland—Land in this Commonwealth that is capable of supporting the commercial production of agricultural crops, livestock or livestock products, poultry products, milk or dairy products, fruit or other horticultural products.
Fund—A fund created by section 7 of the act (3 P. S. § 2107) and established by the Department which shall receive all revenues and appropriations, allowed under the act. The Fund shall pay all costs, except administrative expenses, related to the Program. The Funds shall also contain the revolving loan account created by section 9 of the act (3 P. S. § 2109).
Individual—A natural person, meaning a single person as distinguished from a group or class, and as distinguished from a partnership, corporation or association.
Nonprofit educational institution—A State-owned or State-related college or university in this Commonwealth or a nonprofit organization, association or group in this Commonwealth which:(i) Has demonstrated a capacity to conduct agricultural research or education programs.
(ii) Has experience in research or education in sustainable agricultural practices.
(iii) Qualifies as a nonprofit organization under section 501(c) of the Internal Revenue Code of 1986 (26 U.S.C.A. § 501(c)).
Pest—An insect, rodent, nematode, fungus, weed or any other form of terrestrial or aquatic plant or animal life or virus, bacteria or other microorganism (except viruses, bacteria, or other microorganisms on or in living man or other living animals) which the Administrator of the Environmental Protection Agency declares to be a pest under section 25(c)(1) of the Federal, Fungicide and Rodenticide Act of 1947 (7 U.S.C.A. § 136w(1)).
Pesticide—An insecticide or herbicide having the following characteristics:(i) A substance or mixture of substances intended for preventing, destroying, repelling or mitigating a pest.
(ii) A substance or mixture of substances intended for use as a plant regulator, defoliant or desiccant.
Plant regulator—A substance or mixture of substances intended, through physiological action, for accelerating or altering the behavior of plants or the produce thereof. The term does not include substances to the extent that they are intended as plant soil amendments. The term does not include nutrient mixtures or soil amendments that are commonly known as vitamin-hormone horticultural products, intended for improvement, maintenance, survival, health, and propagation of plants, and as are not for pest destruction and are nontoxic, nonpoisonous in the undiluted packaged concentration.
Program—The Sustainable Agriculture Loan or Grant Program or the Alternative Crop Grant Program.
Project—A specific plan set forth on a loan or grant application submitted under the act and this chapter, describing sustainable agriculture or alternative crop practices to be implemented using loan or grant funds received under that application.
Secretary—The Secretary of Agriculture of the Commonwealth or a designee.
Sustainable agriculture—An integrated system of plant and animal production practices having a site-specific application that will over the long term:(i) Satisfy human food and fiber needs.
(ii) Enhance environmental quality and the natural resource base upon which the agricultural economy depends.
(iii) Make the most efficient use of nonrenewable resources and on-farm resources and integrate, where appropriate, natural biological cycles and controls.
(iv) Sustain the economic viability of farm operations.
(v) Enhance the quality of life for farmers and society as a whole.
§ 130c.3. Records.
(a) A recipient of grant or loan funds under the act and this chapter shall maintain books, records and other evidence pertinent to expenditures and costs incurred in connection with the sustainable agriculture project to which those funds are applied. The books and records shall be maintained according to generally accepted accounting principles.
(b) Financial records, supporting documents, statistical records and other records pertaining to any loan or grant made under the act shall be retained by the recipient for 3 years following the year in which the loan or grant expires.
(c) The records and documents shall be available for inspection or audit at reasonable times by the Department or its authorized agents.
§ 130c.4. Conflict of interest.
A member of the Board may apply for a sustainable agriculture loan or grant or an alternative crop grant provided all decisions regarding the loan or grant application are subject to section 3(j) of the Public Official and Employee Ethics Act, 65 Pa.C.S. § 1103(j) and if the action does not violate the State Adverse Interest Act (71 P. S. § § 776.1—776.9) or 4 Pa. Code Chapter 7, Subchapter K (relating to code of conduct for appointed officials and State employees).
§ 130c.5. Duties of the Executive Director.
The Executive Director’s duties shall include:
(1) Review and evaluation. The Executive Director will review and evaluate loan and grant applications submitted to the Board.
(2) Research. The Executive Director will identify sustainable agriculture practices.
(3) Integration and coordination. The Executive Director will integrate and coordinate sustainable agriculture activities and education.
(4) Development. The Executive Secretary will develop information systems which integrate and utilize the experience and expertise farmers, agribusiness and specialists.
(5) Promotion. The Executive Secretary will promote sustainable agriculture practices.
§ 130c.6. Notice of disposition of application.
The Board will provide an applicant written notice of the acceptance or rejection of the application by mailing a notice within 90 days of receipt of the application. If the application is incomplete, the Board will follow the action prescribed by § 130c.16 or § 130c.36 (relating to processing of loan application).
Cross References This section cited in 7 Pa. Code § 130c.16 (relating to processing of applications); and 7 Pa. Code § 130c.36 (relating to processing of application).
§ 130c.7. Loan or grant cancellation.
A sustainable agriculture loan or grant or an alternative crop grant may be canceled by the Secretary upon a determination that the funds are not being spent or utilized in accordance with the act, the loan or grant agreement or this chapter.
§ 130c.8. Right of recovery.
The Department has the right to make a claim for and receive from the loan or grant recipient monies not expended in accordance with the act, the loan or grant agreement or this chapter. When a loan or grant recipient defaults, the Department has the right to make a claim for and receive from the loan or grant recipient the principal balance of the loan and interest incurred to date. Payment shall be due within 60 days of the written demand.
Cross References This section cited in 7 Pa. Code § 130c.14 (relating to general conditions); and 7 Pa. Code § 130c.34 (relating to general conditions).
§ 130c.9. Deficits.
The Department’s financial obligation is limited to the amount of the sustainable agriculture loan or grant or the alternative crop grant. The Department is not responsible for funding cost overruns incurred by loan or grant recipients.
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