Agenda - 08-19-2008- 4ii - Laserfiche WebLink

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2 The short-term goal of the project is to open a regional value-added shared use food and agricultural processing center in January of 2010 with a range of programs and equipment. The success of the short term goal will be measured by client use and revenues generated by the center, as well as training and assistance to farmers and other food entrepreneurs. The long term goal is to become financially independent by 2013 by building the capacity to process and market North Carolina agricultural products, thereby increasing the number and diversity of farm operations that help to sustain the Piedmont region. Staff from Economic Development and Cooperative Extension have been working on funding for implementation of the November 2007 feasibility report. A $132,000 Agricultural Development and Farmland Preservation Trust Fund grant was awarded to this project on June 20, 2008. Partnering counties (Alamance, Chatham, & Durham) have each provided $2,500 towards the feasibility report and have each passed resolutions to continue the partnership through implementation of the feasibility study. Chatham County has pledged the support of its grant writing specialist. Orange County has provided $5,500 and staff support to this project. Given the total $1,218,500 cost of establishment and first year of operation, the project needs an additional $1,046,000 to fully implement the feasibility study. All grant funds will be guided by a 501(c)3 non-profit group to be developed from the 40-member advisory group, and a 65- member producer group. Notice of these grant submissions and the application deadlines of August 1, 2008 was shared with the BOCC via a July 30, 2008 email message with attachments from the Manager. The $567,000 request to Golden Leaf Foundation would fund $268,000 for renovation costs of the facility and $299,000 for purchase and installation of equipment necessary for the center to function. The Tobacco Trust Fund request would fund $357,000 for purchase and installation of equipment and $122,000 of first year operating costs. Both grant programs will announce recipients in October or November of 2008. The Golden LEAF grant is to be used in 12 months and the Tobacco Trust Fund grant is for up to 24 months. The Piedmont Value-Added Shared-Use Food Processing Center is also part of the concept plan for the WC Breeze Family Farm Extension and Research Center. In concert with the farm enterprise incubator, PLANT @ Breeze, the processing center provides enhanced opportunities for existing and new farmers to add value to their products. In addition, the processing center will seek to provide incentives for food entrepreneurs who are not farmers to source their products from local farms.. FINANCIAL IMPACT: There is no financial impact associated with submitting these grant proposals. There is no financial match required with either grant opportunity. However, having the commitment of local funds and staff as noted above as well as having the $132,000 Agricultural Development and Farmland Preservation Trust Fund grant funds should benefit the grant proposals. Staff resources will continue to be dedicated to implementation of the feasibility study through December 2009. RECOMMENDATION(S): The Manager recommends that the Board ratify the grant submissions.