State of Illinois
91st General Assembly
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Public Act 91-0560

HB1897 Enrolled                                LRB9104720DHmg

    AN ACT creating  the  Illinois  Value-Added  Agricultural
Enhancement Program.

    Be  it  enacted  by  the People of the State of Illinois,
represented in the General Assembly:

    Section 5.  The Civil Administrative Code of Illinois  is
amended by adding Section 40.43 as follows:

    (20 ILCS 205/40.43 new)
    Sec. 40.43.  Value Added Agricultural Products.
    (a)  To  expend  funds  appropriated to the Department of
Agriculture to develop and  implement  a  grant  program  for
value added agricultural products, to be called the "Illinois
Value-Added Agriculture Enhancement Program".  The grants are
to  provide  50%  of (i)  the cost of undertaking feasibility
studies,   competitive   assessments,   and   consulting   or
productivity services  that  the  Department  determines  may
result  in  enhancement  of value added agricultural products
and (ii)  seed money for new or expanding agribusiness.
    (b)  "Agribusiness"  means   any   sole   proprietorship,
limited    partnership,    copartnership,    joint   venture,
corporation, or cooperative that operates or will  operate  a
facility located within the State of Illinois that is related
to  the  processing  of  agricultural commodities (including,
without limitation, the products of aquaculture, hydroponics,
and  silviculture)  or  the  manufacturing,  production,   or
construction    of    agricultural   buildings,   structures,
equipment, implements, and  supplies, or any other facilities
or processes used in agricultural  production.   Agribusiness
includes but is not limited to the following:
         (1)  grain  handling and processing, including grain
    storage, drying, treatment,  conditioning,  milling,  and
    packaging;
         (2)  seed and feed grain development and processing;
         (3)  fruit   and   vegetable  processing,  including
    preparation, canning, and packaging;
         (4)  processing of livestock and livestock products,
    dairy products, poultry and poultry  products,  fish,  or
    apiarian   products,   including   slaughter,   shearing,
    collecting, preparation, canning, and packaging;
         (5)  fertilizer     and     agricultural    chemical
    manufacturing, processing, application, and supplying;
         (6)  farm  machinery,   equipment,   and   implement
    manufacturing and supplying;
         (7)  manufacturing  and  supplying  of  agricultural
    commodity  processing  machinery and equipment, including
    machinery and equipment  used  in  slaughter,  treatment,
    handling,  collecting, preparation, canning, or packaging
    of agricultural commodities;
         (8)  farm building and farm structure manufacturing,
    construction, and supplying;
         (9)  construction,  manufacturing,   implementation,
    supplying, or servicing of irrigation, drainage, and soil
    and water conservation devices or equipment;
         (10)  fuel  processing  and  development  facilities
    that   produce  fuel  from  agricultural  commodities  or
    by-products;
         (11)  facilities and equipment  for  processing  and
    packaging   agricultural   commodities  specifically  for
    export;
         (12)  facilities and equipment for forestry  product
    processing    and    supplying,    including   sawmilling
    operations,  wood  chip  operations,  timber   harvesting
    operations, and manufacturing of prefabricated buildings,
    paper,  furniture, or other goods from forestry products;
    and
         (13)  facilities  and  equipment  for  research  and
    development of products, processes, and equipment for the
    production,  processing,  preparation,  or  packaging  of
    agricultural commodities and by-products.
    (c)  The "Illinois  Value-Added  Agriculture  Enhancement
Program  Fund"  is  created  as  a  special fund in the State
Treasury to provide grants to Illinois' small agribusinesses,
subject to  appropriation  for  that  purpose.    Each  grant
awarded  under  this  program shall provide funding for up to
50% of the cost  of  (i)  the  development  of  valued  added
agricultural products or (ii) seed money for new or expanding
agribusiness,  not  to  exceed  50%  of  appropriated  funds.
Notwithstanding  the  other provisions of this paragraph, the
fund shall not be used to provide seed money to  an  Illinois
small  agribusiness  for  the  purpose of compliance with the
provisions of the Livestock Management Facilities Act.
    (d)  For the purposes of this  Section,  "Illinois  small
agribusiness"  means a "small business concern" as defined in
Title 15 United States  Code,  Section  632,  that  primarily
conducts its business in Illinois.
    (e)  The Department shall make such rules and regulations
as may be necessary to carry out its statutory duties.  Among
other duties, the Department, through the program, may do all
of the following:
         (1)  Make  and  enter  into contracts, including but
    not limited to making grants  specified  by  the  General
    Assembly   pursuant  to  appropriations  by  the  General
    Assembly  from  the  Illinois   Value-Added   Agriculture
    Enhancement  Program  Fund,  and generally to do all such
    things as, in its judgment, may be necessary, proper, and
    expedient in accomplishing its duties.
         (2)  Provide for, staff, and administer a program in
    which the Department  shall  plan  and  coordinate  State
    efforts  designed to aid and stimulate the development of
    value-added agribusiness.
         (3)  Make grants on the terms  and  conditions  that
    the Department shall determine, except that no grant made
    under the provisions of this item (3) shall exceed 50% of
    the direct costs.
         (4)  Act  as  the State Agriculture Planning Agency,
    and accept and use planning  grants  or  other  financial
    assistance  from the federal government (i) for statewide
    comprehensive  planning  work  including   research   and
    coordination  activity  directly  related  to agriculture
    needs; and (ii) for state and  inter-state  comprehensive
    planning  and  research and coordination activity related
    thereto.  All such grants shall be subject to  the  terms
    and conditions prescribed by the federal government.
    (f)  The  Illinois  Value-Added  Agricultural Enhancement
Fund is subject to the provisions of the Illinois Grant Funds
Recovery Act (GFRA).

    Section 10.  The State Finance Act is amended  by  adding
Section 5.490 as follows:

    (30 ILCS 105/5.490 new)
    Sec.   5.490.  The   Illinois   Value-Added   Agriculture
Enhancement Program Fund.

    Section  99.  Effective date.  This Act takes effect upon
becoming law.

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