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CDFA Food and Agriculture Finance Update - November 9, 2021

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CDFA Food and Agriculture Finance Update
November 9, 2021
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CDFA Food & Agriculture Finance Update

Features

House Agriculture Committee Fact Sheet on Build Back Better Provisions
The agricultural provisions in the Build Back Better plan include billions of dollars for critical investments in agriculture and our rural communities. Included in this package are multiple bipartisan proposals that House Agriculture Committee Members have fought to include. These timely investments will provide resources to mitigate climate change, improve the quality of life in rural communities, and commit millions of dollars to agricultural education across the country.

New Proposal in Congress on Debt Relief for 'Limited-Resource' Farmers
Stymied by lawsuits that contend USDA debt relief for farmers of color is actually reverse discrimination, House Democrats proposed an alternative: full or partial forgiveness of USDA loans to limited-resource farmers. The multi-billion-dollar proposal, which does not mention race, is directed toward economically distressed farmers and ranchers in high-poverty areas. The proposal was part of a $1.75 trillion social welfare and climate change package.

New $76M Affordable Housing Development and Fresh Food Market in Buffalo, NY
Governor Kathy Hochul announced a new $76 million development with 201 mixed-income affordable homes and a 22,000-square-foot fresh food market will open soon in Buffalo's Central Business District. State financing includes $10.5 million in permanent tax-exempt bonds, $21.8 million in equity from Federal and State Low-Income Housing Tax Credits, a $19.1 million subsidy from New York State Homes and Community Renewal, and $12 million in equity from state Brownfield tax credits.

Michigan Governor Announces Agribusiness Expansion, Placemaking Projects Around the State
Governor Whitmer announces agribusiness expansion bringing nearly 200 jobs to Holland, placemaking projects around the state: food manufacturing company Request Foods expanding at multiple locations in Holland, creating up to 198 jobs, investing $205 million; three community revitalization projects will bring food incubator to Detroit; and changes to Michigan Build Ready Sites program will boost inventory of industrial sites in the state.

U.S. DOC Invests $2.6M in CARES Act Recovery Assistance to Support Local Food Manufacturing in Detroit, MI
U.S. Secretary of Commerce Gina M. Raimondo announced that the EDA is awarding a $2.6 million CARES Act grant to the Detroit Brownfield Redevelopment Authority to support Detroit's historic Eastern Market infrastructure development. This investment will allow the Greater Eastern Market Food Innovation Zone for additional processing, warehousing, and distribution facilities. This EDA grant, to be matched with local funds, is expected to create 300 jobs and generate $47.5 million in private investment.

Southside Community Land Trust's New Providence, RI Headquarters to Invest in Healthy Food
Southside Community Land Trust (SCLT) received the $2.158 million loan from the Healthy Retail and Commerce Fund, a fund operated by the Conservation Law Foundation and Massachusetts Housing Investment Corporation that combines investments from hospitals, health systems, and foundations. The money will help finance SCLT's new headquarters and Farm-to-Market Center.

USDA NIFA Invests Over $50M for Beginning Farmer and Rancher Development
The USDA's National Institute of Food and Agriculture (NIFA) announced an investment of over $50 million to 140 organizations and institutions that teach and train beginning farmers and ranchers. In fiscal year 2021, thanks to enhanced funding from the Coronavirus Response and Relief Supplemental Appropriations Act of 2021, the Beginning Farmer and Rancher Development Program (BFRDP) grants total award investment for this program was $50,026,684.

URA Closes on $500K Loan to Help Bring Music Back to East Allegheny, PA Neighborhood
The Urban Redevelopment Authority of Pittsburgh (URA) has closed on a $500,000 loan for the former James Street Gastropub and Speakeasy in the East Allegheny neighborhood. They purchased the property in 2018 and are investing over $5 million total to revitalize the property and the loan from the URA's Pittsburgh Business Fund will assist in funding gaps stemming from the pandemic.

SMBX Revolutionizes Small Business Financing and Retail Investing, Raises $11.5M to Fund its Growth
SMBX, the fintech marketplace helping small businesses raise capital from retail investors in their communities, announced the close of an $11.5 million seed funding round. The company has now raised $15 million in total to support its Small Business Bond financial marketplace that allows people to invest directly in the small businesses they want to see flourish in their local communities.

Upcoming Events
Intro Property Assessed Clean Energy (PACE) Finance WebCourse

CDFA // BNY Mellon Development Finance Webcast Series: When it Comes to Financing Smart Cities, What Counts as Smart?
Tuesday, November 16, 2021 - 2:00 PM - 3:00 PM Eastern
The concept of Smart Cities is no longer brand new, yet most communities are still working to understand what kinds of smart infrastructure they want and need at the local level - and how to pay for it. Join CDFA for this next installment of the CDFA // BNY Mellon Development Finance Webcast Series to learn about what types of smart infrastructure projects are happening around the country and how these efforts are being financed.

CDFA Federal Financing Webinar Series: Preserving Local Food Systems with Federal Financing
Tuesday, December 14, 2021 - 2:00 PM - 3:30 PM Eastern
During this installment of the CDFA Federal Financing Webinar Series, hear from experts at the USDA about their various programs available for rural food systems and agricultural producers to recover from the pandemic.

Food & Agriculture Finance News

Creating Financial Strength in Tribal Nations
Native News Online | Nov. 8 | Access to Capital | Community Development | Economic Development | Food Systems Finance | Revolving Loan Funds (RLFs) | Rural Development | Tax Credits

Windsor Heights, IA Approves TIF Agreement With Developer for Aldi Project
Des Moines Register | Nov. 8 | Food Systems Finance | Tax Increment Finance (TIF)

House Passes a Trillion Dollar Infrastructure Bill
Successful Farming | Nov. 6 | Agriculture Finance | Infrastructure Finance | Legislative | Rural Development

Governments Must Drastically Improve Efforts to Reduce Emissions
Successful Farming | Nov. 5 | Agriculture Finance | Federal | Food Systems Finance | Incentives | Resiliency

Winchendon, MA Sustainable Agriculture Market Receives $68K Microloan
Worcester Business Journal | Nov. 3 | Access to Capital | Economic Development | Food Systems Finance | Revolving Loan Funds (RLFs) | Rural Development

USDA Announces Over $243M in Grants Awarded to Strengthen the Specialty Crop Industry
USDA | Oct. 28 | Federal | Food Systems Finance | U.S. Dept. of Agriculture (USDA)

To Fight Poverty, Invest in Local Food
Next City | Oct. 28 | Access to Capital | Agriculture Finance | Food Systems Finance | Revolving Loan Funds (RLFs) | Social Finance

Growers Edge Launches Digital Ag Lending Platform
Successful Farming | Oct. 25 | Access to Capital | Agriculture Finance | Food Systems Finance | Innovation Finance

Funding for Site Study Connected to Possible Goshen Brewing Co. Expansion Approved
The Goshen News | Oct. 25 | Access to Capital | Brownfield Financing | Economic Development | Food Systems Finance | Revolving Loan Funds (RLFs)

San Diego, CA Food System Alliance Aims to Grow County's Culinary Culture
The San Diego Union-Tribune | Oct. 24 | Access to Capital | Agriculture Finance | Community Development | Food Systems Finance

Massachusetts ARPA Funds Used in Addressing Systemic Issues of Equity
Telegram & Gazette | Oct. 22 | Access to Capital | Disaster Recovery & Relief | Federal | Food Systems Finance | Housing Finance | Tax Credits | COVID-19

$6M 'Front Porch' for East Waco, TX Debuts
Waco Tribune-Herald | Oct. 21 | Community Development | Economic Development | Food Systems Finance | Tax Increment Finance (TIF)

Nebraska Has Plenty of Work, but Not Enough Workers
Star Herald | Oct. 21 | Food Systems Finance | Tax Credits

Building an Equitable Food System: America's Healthy Food Financing Initiative & Other Tools
Saporta Report | Oct. 20 | Access to Capital | Community Development | Food Systems Finance | Revolving Loan Funds (RLFs) | U.S. Dept. of Agriculture (USDA)

Rethinking Food With Solidarity in Mind: Lessons from COVID-19
Nonprofit Quarterly | Oct. 20 | Access to Capital | Agriculture Finance | Food Systems Finance | Resiliency | Rural Development

80% of Food Businesses Fail. This Partnership at MIT is Changing the Game
Next City | Oct. 19 | Access to Capital | Community Development | Food Systems Finance | Revolving Loan Funds (RLFs)

Unhappy with Prices, Ranchers Look to Build Own Meat Plants
Associated Press | Oct. 16 | Access to Capital | Agriculture Finance | Federal | Food Systems Finance

Port Milwaukee and DeLong Company Break Ground on New Agricultural Export Facility in Wisconsin
Wisconsin Public Radio | Oct. 14 | Access to Capital | Agriculture Finance | Economic Development | Food Systems Finance | Infrastructure Finance

A Native-led Land Trust is Working to Empower Indigenous Youth Through Kelp Farming
Civil Eats | Oct. 13 | Access to Capital | Agriculture Finance | Food Systems Finance | Tribal Finance


CDFA Resources

CDFA Food Systems Finance Webinar Series: Debunking Risk in Food System Finance
Access to Capital | Food Systems Finance | Innovation Finance | Webcasts
In this installment of the CDFA Food Systems Finance Webinar Series, we broke down the real and perceived risks of lending and discussed a variety of affordable financing solutions that are being employed by development finance agencies to invest in local food-related businesses and projects.


The Council of Development Finance Agencies (CDFA) is a national association dedicated to the advancement of development finance concerns and interests. CDFA is comprised of the nation's leading and most knowledgeable members of the development finance community representing public, private and non-profit entities alike. For more information, visit www.CDFA.net or email info@cdfa.net.


Council of Development Finance Agencies
100 E. Broad Street, Suite 1200
Columbus, OH 43215
(614) 705-1300
info@cdfa.net

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CDFA National Sponsors

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  • BNY Mellon
  • Bricker Graydon LLP
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  • Stifel Nicolaus
  • U.S. Bank
  • Wells Fargo Securities
  • Z. The Bond Buyer
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