Date: 04/06/2015
Final
BILL SUMMARY for HB15-1320
HOUSE COMMITTEE ON AGRICULTURE, LIVESTOCK, & NATURAL RESOURCES
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01:34 PM -- HB 15-1320
Representative Young and Representative Arndt, sponsors, presented House Bill 15-1320, concerning a program for funding the development of agricultural businesses. The bill creates the Agricultural Development and Investment Partnership Program (program) to be administered by the existing Colorado Agricultural Value-Added Development Board (board) in the Colorado Department of Agriculture (CDA). The program includes proof-of-concept and feasibility study grants, early-stage capital and business expansion grants, reimbursement of market development and promotion expenses, and funding for broad-based market promotion activities of the CDA. The bill includes the eligibility requirements and funding limits for each type of grant and expense reimbursement. The board is required to establish procedures and timelines for the application process, criteria used in determining award amounts and project time periods, grantee reporting requirements, and any other program policies. The General Assembly is required to provide an annual General Fund appropriation of $500,000 for each fiscal year from FY2015-16 to FY 2019-20. For FY 2015-16, the bill includes a $500,000 appropriation that may be used for grants, reimbursements, market promotion, and administrative costs. The board is also authorized to disburse up to $125,000 in a fiscal year to the CDA for market promotion activities from the existing, continuously appropriated Agriculture Value-Added Cash Fund.
Representative Arndt and Representative Young responded to questions from the committee concerning the board and the appropriation outlined in the fiscal note.
01:51 PM
Tom Lipetzky, Colorado Department of Agriculture, responded to questions from the committee concerning the appropriation from the General Fund to the Department of Agriculture for the transfer to the Agricultural Value-Added Cash Fund.
02:03 PM
Clare Pramuk, Legislative Council Fiscal Analyst, responded to questions from the committee concerning the Investment Partnership Program and how the moneys from the Value-Added Cash Fund are distributed. Mr. Lipetzky continued to respond to questions concerning the Value-Added cash fund and CDA's involvement in creating the legislation.
02:12 PM
Jery Payne, Office of Legislative Legal Services (OLLS), responded to questions from the committee regarding the authorization of CDA to spend up to $125,000 in order to promote agriculture in Colorado.
The following persons testified on the bill:
02:16 PM -- Leah Lindahl, Vice President, Colorado Bioscience Association (CBSA), testified in support of the bill. Ms. Lindahl explained CBSA and how CBSA would benefit from the bill, including how CBSA would utilize funding received from the Investment Partmership Program. Ms. Lindahl distributed written testimony from Mark Luecke, who was not in attendance (Attachment A).
150406 AttachA.pdf
02:20 PM -- Lisa Herickhoff, Membrane Protective Technologies, Inc. (MPTI), spoke in support of the bill and explained how the Investment Partnership Program would benefit the dairy industry in Colorado. Ms. Herickoff and Representative Arndt responded to questions from the committee regarding the types of grants that can be provided.
02:27 PM -- Chris Votoupal, Colorado Cleantech Industries Association (CCIA), spoke in support of the bill.
02:30 PM -- Shayne Madsen, Rocky Mountain Agribusiness Association (RMAA), spoke in support of the bill and distributed information regarding RMAA to the committee (Attachment B).
150406 AttachB.pdf
02:32 PM -- Jessy Nicholson, RMAA, spoke in support of the bill.
02:34 PM
Committee discussion ensued regarding the bill. Jery Payne, OLLS, responded to further questions from the committee.
02:40 PM
Representative Arndt distributed Amendment L.001 (Attachment C).
150406 AttachC.pdf
02:40 PM
The committee took a brief recess.
02:43 PM
The committee came to order, and Representative Vigil closed the testimony phase. The bill was laid over until Monday, April 13, 2015.