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DocuSign Envelope ID: F833C4C4-45E2-4BA1-AE7E-4660D9BCFE2A <br /> DURHAM & ORANGE COUNTY MOBILE PROCESSING UNIT PROGRAM — <br /> POULTRY PROCESSING FOR SMALL FARMS <br /> MEMORANDUM OF UNDERSTANDING <br /> This Memorandum of Understanding ("MOU") is dated, made, and entered into as of the 18th day of <br /> October, 2023, (the "MOU Date") by the County of Durham ("Durham"), and the County of Orange <br /> ("Orange"), each Party being a political subdivision of the State of North Carolina (collectively, the <br /> "Parties"). <br /> Sec. 1. Background and Purpose <br /> There currently are no small poultry processing operators in North Carolina to process poultry raised <br /> on-farm. The only facility in the state closed in 2017, and the USDA allowed for a special exemption to <br /> allow meat processors in North Carolina to process poultry. However, that special exemption ended <br /> in December 2022, leaving small farms with the burden of purchasing thousands of dollars of <br /> equipment to process their flock on farm, which is the only option available to them. A solution <br /> employed by other counties in NC is the rental of a mobile processing unit (MPU) for processing a <br /> small flock of poultry. These units allow for the processing of poultry to be much quicker, cleaner, and <br /> safer for the small farm owner and or operator. Additionally, it can help new and beginning farmers <br /> to enter a market that would otherwise require a high amount of capital expenditure. There are <br /> currently no MPUs within Durham or Orange Counties County for rent, and the nearest ones are not <br /> available to Durham and Orange producers due to location and/or high demand. Durham County <br /> Cooperative Extension purchased a MPU and a trailer to house the MPU in 2022 from funds earned <br /> from the implementation of NC Farm School with other County Extension partners, including Orange <br /> County Cooperative Extension. <br /> The MPU will allow current farmers of pasture raised birds, as well as new and beginning farmers <br /> interested in starting a small poultry farm, options for processing their birds on-farm. This also <br /> supports the resiliency of our food system by creating another avenue for locally grown food in <br /> Durham and Orange Counties. <br /> Durham County currently does not have the space to house this equipment safely at the Durham <br /> County Cooperative Extension Agriculture Building. The Durham County Center and the Orange <br /> County Center of NC Cooperative Extension have agreed to partner together to implement an MPU <br /> rental program, which will include mandatory education and user agreements. The revenue from the <br /> rentals will be used to support the upkeep and maintenance of the unit and training and education <br /> costs associated with the program. Additional revenue could be utilized for additional agriculture <br /> programming to support new and beginning farmer programming through a collaborative program <br /> between Durham and Orange Counties. <br /> Sec. 2. Scope of Proiect and Coordination <br /> Durham County, through Cooperative Extension, will manage rental fees received, saving those funds <br /> year-to-year, and then dispersing the funds as needed for expenses, repairs, and equipment for the <br /> MPU and will: <br /> 1 <br />