S. 1237 — New Producer Economic Security Act

This section establishes within the Farm Service Agency the New Producer Economic Security Program, a competitive grant program to provide grants, cooperative agreements, or other capital support to eligible entities—including state/local/territorial governments, Indian Tribes, community development financial institutions, nonprofits, cooperatives, institutions of higher education, and Farm Credit Act financial institutions (12 U.S.C. 2015(b)(1)(B))—for covered projects. Eligible entities must have experience serving qualified beneficiaries, defined as natural persons who are beginning farmers, ranchers, or forest owners (with less than 10 years of operation) actively involved in farm/forest management or production, operate on rented land, have income at or below 200% of the national poverty level or half the county median household income, or are economically disadvantaged as determined by the Secretary of Agriculture. The program's purposes include strengthening U.S. food system security through community-led solutions to improve qualified beneficiaries' access to land, capital, and markets; supporting farm establishment and long-term viability; enhancing financial, physical, and mental health; increasing land access and preventing loss; facilitating farmland transitions; and providing related technical assistance. Eligible land encompasses agricultural, private, urban, public, common, trust, noncontiguous, and shoreline/intertidal areas (excluding natural areas). Authorized legal entities receiving support are limited to those with no more than 25 natural person owners actively engaged in farm/forest operations and not owned by multilayered subsidiaries.