The Florida Senate BILL ANALYSIS AND FISCAL IMPACT STATEMENT (This document is based on the provisions contained in the legislation as of the latest date listed below.) Prepared By: The Professional Staff of the Appropriations Committee on Agriculture, Environment, and General Government BILL: SB 1398 INTRODUCER: Senator Collins SUBJECT: Florida Crop Diversification Commission DATE: February 12, 2024 ANALYST STAFF DIRECTOR REFERENCE ACTION 1. Burse Becker AG Favorable 2. Blizzard Betta AEG Pre-meeting 3. FP I. Summary: SB 1398 creates the Florida Crop Diversification Commission (commission), adjunct to the Department of Agricultural and Consumer Services (department), and establishes the commission’s powers and duties. The commission is directed to evaluate alternative agricultural crops, contract for the design and implementation of the Florida Crop Diversification Initiative, develop best management practices for crops or products recommended by the commission, and assist local economic development councils in encouraging the development of manufacturing and processing facilities for new crops or products recommended by the commission. The bill also requires the commission to publish their findings on an annual basis. By July 1, 2026, and each July 1 thereafter, the commission shall submit a report to the Governor, the President of the Senate, and the Speaker of the House of Representatives. The bill has an insignificant, negative fiscal impact to the department, for which the bill provides an appropriation of $500,000 from the General Revenue Fund. See Section V., Fiscal Impact Statement. The bill takes effect upon becoming a law. II. Present Situation: Florida Agriculture Florida’s 47,500 farms and ranches utilize 9.7 million acres and continue to produce a wide variety of safe and dependable food products. 1 Agricultural land (cropland and ranchland) and 1 FDACS, Florida Agriculture Overview and Statistics, available at https://www.fdacs.gov/Agriculture-Industry/Florida- Agriculture-Overview-and-Statistics (last visited January 17, 2024). REVISED: BILL: SB 1398 Page 2 forest land make up nearly two-thirds of the state’s land area. 2 There are over 200-300 commodities produced and some form of agriculture in all 67 counties. 3 Florida’s agriculture, natural resources, and food industries supported 2.4 million full-time and part-time jobs throughout Florida’s economy (14.2 percent of all jobs in the state), contributing $149.6 billion to gross state product in 2018. 4 In 2021, Florida ranked first in the United States in total floriculture sales and in the value of production for sweetcorn, foliage plants for indoor use, Valencia oranges, sugarcane, fresh market tomatoes and watermelons. Florida ranked second nationally in the value of production for bell peppers, grapefruit, all oranges, strawberries and non-Valencia oranges. The state ranked fourth in cabbage, cantaloupe and peanuts. 5 The state also ranked 1 st in ornamental fish, 2 nd in alligators and 3 rd in horses and ponies in the United States. 6 III. Effect of Proposed Changes: Section 1 creates s. 570.233, F.S., to establish the Florida Crop Diversification Commission (commission), adjunct to the department. It provides that the commission shall be composed of the following nine members: The Commissioner of Agriculture or his or her designee. The dean for research of the Institute of Food and Agricultural Sciences of the University of Florida or his or her designee. The following members, appointed by the commissioner based upon their knowledge and experience in agricultural production, processing, or manufacturing: o Four members who are currently involved in agricultural production or who have been involved in agricultural production within the last three years. o One member who has experience in agricultural processing or manufacturing. o One member who has experience in the packing or processing of fresh agricultural products. o One member who has experience in agricultural marketing analysis and the viability of agricultural products. The bill directs the commission to: Evaluate alternative agricultural crops and determine whether there exists one or more viable crops or products that would provide an economic benefit to growers using current agricultural infrastructure on land that has been taken out of production by diseases or adverse weather conditions. 2 IFAS, Florida’s Agriculture and Natural Resource Facts, available at https://ifas.ufl.edu/media/ifasufledu/ifas-dark- blue/docs/pdf/impact/FloridaAgFactsFactsheet.2020.Prt.pdf (last visited January 17, 2024). 3 IFAS, Florida’s Agriculture and Food System Fast Facts 2021, available at https://sfyl.ifas.ufl.edu/media/sfylifasufledu/orange/ag-nat-res/docs/pdf/Florida-Agriculture-and-Food-Systems-Fast-Facts- 2021.pdf (last visited January 17, 2024). 4 IFAS, Florida’s Agriculture and Natural Resource Facts, available at https://ifas.ufl.edu/media/ifasufledu/ifas-dark- blue/docs/pdf/impact/FloridaAgFactsFactsheet.2020.Prt.pdf (last visited January 17, 2024). 5 Id. 6 Id. BILL: SB 1398 Page 3 Contract for the design and implementation of the Florida Crop Diversification Initiative (initiative). The initiative must provide direct cash payments to nurseries and agricultural producers in this state in order to rapidly stimulate the adoption of alternative crops, moderate the required economic outlay, and speed the economic recovery of producers, packers, nurseries, processors, and communities. The entity with which the commission contracts for the initiative must be a nonprofit organization that has a history of focusing on alternative crops and has the organizational capacity to manage a statewide initiative and carry out the requirements. Develop best management practices for crops or products recommended by the commission. Assist local economic development councils in encouraging the development of manufacturing and processing facilities for new crops or products recommended by the commission. Publish the findings of the commission on an annual basis after review and approval of the commissioner. The bill also requires the commission to submit a report by July 1, 2026, and each July 1 thereafter, to the Governor, the President of the Senate, and the Speaker of the House of Representatives. The report must contain, at minimum, all of the following: Information about each crop or product recommended, detailing the environmental impact of each. An assessment of each recommended crop’s suitability to this state’s climate, and the expected economic benefit to growers and communities in this state. Recommendations for best practices to sustain and improve the agricultural industry in this state. Section 2 appropriates $500,000 from the General Revenue Fund to the department for Fiscal Year 2024-2025 for the purpose of implementing this bill. Section 3 provides that the bill shall take effect upon becoming a law. IV. Constitutional Issues: A. Municipality/County Mandates Restrictions: None. B. Public Records/Open Meetings Issues: None. C. Trust Funds Restrictions: None. D. State Tax or Fee Increases: None. BILL: SB 1398 Page 4 E. Other Constitutional Issues: None. V. Fiscal Impact Statement: A. Tax/Fee Issues: None. B. Private Sector Impact: None. C. Government Sector Impact: For the 2024-2025 fiscal year, the sum of $500,000 in nonrecurring funds from the General Revenue Fund is appropriated to the department for the purpose of creating the Florida Crop Diversification Commission. VI. Technical Deficiencies: None. VII. Related Issues: None. VIII. Statutes Affected: This bill creates section 570.233 of the Florida Statutes. IX. Additional Information: A. Committee Substitute – Statement of Changes: (Summarizing differences between the Committee Substitute and the prior version of the bill.) None. B. Amendments: None. This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.