The Nebraska Department of Agriculture is accepting applications for grants through the Independent Processor Assistance Program.

Johnathan Hladik, policy director at the Center for Rural Affairs, said the agency is expected to distribute nearly $10 million from the American Rescue Plan Act to Nebraskans, in an effort to improve and expand the state's meat-processing capabilities.

"The program is designed to help our small and mid-sized meat lockers expand in the state," Hladik explained. "These are lockers that are typically located in the small towns, serving farmers in the area, and providing a product that consumers otherwise wouldn't be able to access."

Hladik pointed out the program will help family-scale meat processors play a significant role in increasing supply, severely limited during the pandemic, and should bring down prices for consumers.

Grants are available to hire and train staff, modify or expand facilities, purchase equipment and upgrade technology to improve logistics and e-commerce. More information about how to apply can be found online at CFRA.org. The deadline is August 12.

Ryan Drevo, owner of Blue River Meats in Crete, has already filed his application. With consumers increasingly curious about where the meat they serve to their families comes from, Drevo said smaller lockers are uniquely positioned to help local farmers get a better price for livestock, and boost rural economies.

"Right now we have five employees," Drevo stated. "With this grant money, we will be able to produce another five to 10 more full-time positions. And these are good, high-paying, quality jobs, which is going to directly stimulate the economy."

Some industry groups have criticized the program as big government picking winners and losers, but Hladik noted grant money can only be spent in response to the COVID public health emergency. He added to qualify, processors must operate as either a USDA-Food Safety and Inspection Service facility or a federally regulated custom-exempt slaughter and processing facility, while also complying with federal regulations.

"And we know our big processors got millions and millions and millions of federal dollars designed to help respond to that same emergency," Hladik recounted. "This is an opportunity for the small processors that have been overlooked, that play an essential role in our food chain, and could play an even bigger role in our food chain."

For the second time in nearly a decade, North Dakota is considering changes to a longstanding law that blocks corporate ownership of farms. With lawmakers now hearing debate, both sides of the issue are laying out arguments. Governor Doug Burgum's administration is behind the proposed changes, arguing the state isn't competitive in livestock production. The bill would add ownership exemptions for certain feedlot operations.

Mark Watne, president of the North Dakota Farmers Union, said not only would it deplete the number of independent producers around the state, but also push profits to out-of-state companies. He added there should instead be focus on solutions within North Dakota's state lines.

"What we need to do is build processing plants, we need to find markets, we need to shore up the supply chain where our farmers and ranchers can make a little bit more money - and then we will grow animals in the state," Watne said. It really comes down to economics."

Opponents also contend farmers can build up ownership by forming cooperatives. A key change in the proposal involves removing swine, dairy, poultry and cattle feeding from the definition of a farm or ranch. Opening a window for corporations to partner with farmers can reverse North Dakota's decline in livestock production and complement its other agricultural output, Burgum's staff has contended.

Watne said the approach sought by the governor and other state leaders has had devastating effects in other states, pointing to a major loss of independent farmers in Oklahoma. He said corporate ownership of agricultural land is bad business for smaller producers.

"So, if you've got somebody rooting chickens or hogs today," Watne said, "they're not going to have a really good place to market unless they sign in with these folks and then they're at the mercy of whatever they come up with for contracts."

He and other opponents noted North Dakota voters overwhelmingly overturned similar changes approved in 2015. Other supporters of the bill include the North Dakota Corn Growers Association, which has said the changes would provide more market opportunities for its members for livestock feed. The plan would still maintain strong restrictions on corporate ownership, the group has also argued. The bill's language sets a limit of 160 acres.

The upcoming reauthorization of the Farm Bill should be developed from community needs, not corporate interests, Advocacy groups in North Carolina said. The final Farm Bill will shape what happens in agriculture for the next five years.

Margaret Krome-Lukens, Rural Advancement Foundation International-USA Policy Director, explained the legislation impacts student farming, farmers' access to credit, crop insurance, commodity programs and more. She said decades of food consolidation have placed resources in the hands of a few major corporations, and believes lawmakers should consider community and small farmer voices as they work on the next farm bill.

"Farmers and local communities should be the ones making the decisions about what kind of a food system they want, and not corporations that are coming in and dictating what kind of terms a farmer can get on a contract, or how they're allowed to use the seeds," Krome-Lukens said.

Fewer farmers are using contracts compared with 25 years ago, according to data from the USDA. In 2020, 5% of U.S. farms used marketing contracts, compared with 11% in 1996.

Krome-Lukens pointed out that regardless of operation size, farming is not an easy profession, and added many pieces of the infrastructure of our local and regional food systems have been hollowed out, shrinking options for meat processing or wholesale markets. She said that the upcoming Farm Bill is a chance to rebuild and strengthen local and regional food infrastructure.

"Small-scale farmers and beginning farmers can be at a real disadvantage when it comes to accessing federal resources or farmers who are doing something a little bit different in terms of production or niche marketing or innovative practices," she said.

The nation's small family farm operations held an average of $90,000 dollars in debt, according to 2019 federal data.

Next week, Ohio farmers and their advocates head to Washington, D.C., to push for shifting federal programs toward growing nutritious food, as lawmakers gear up to reauthorize the Farm Bill.

The cost of groceries has increased by 13% over the past year, driven largely by global supply-chain issues and the war in Ukraine.

Angela Huffman, co-founder and vice president of Farm Action, said she believes a strong system of local food suppliers would stabilize Ohio's food economy, and help ensure more families have access to fruits, vegetables, and sustainably raised meat.

"The Farm Bill matters to everybody, because everybody eats," Huffman asserted. "A large part of the reason that we're seeing this skyrocketing inflation -- and frankly, price gouging -- is because a small number of really large corporations are controlling our food system and our government policies."

According to an Urban Institute report, around one in five adults nationwide reported food insecurity in their households in 2020 and again last summer, when historic inflation levels sent food prices soaring.

Huffman added the federal government currently purchases food from major industrial producers. She is hoping the new Farm Bill shifts some buying power to local farmers for schools, hospitals and other community institutions.

"We want to be focused on empowering farmers to do what they do and feed their neighbors, and not just feeding corporate-controlled livestock around the world," Huffman emphasized.

Huffman added farmers are struggling to stay afloat in an era of falling commodity prices and the globalization of agriculture.

"The bulk of the money is going towards feed grains for livestock, which is corn, soybeans, other grains," Huffman outlined. "Farmers are really locked in this system, because that's where the lifeline subsidies are directed towards, and their margins are so slim."

Federal data show in 2019, the nation's small family farm operations held an average of $90,000 in debt.