120 N. Washington Square, Suite 1000

Lansing, MI 48933

Questions? Call us!

120 N. Washington Square, Suite 1000

Lansing, MI 48933

Questions? Call us!

The 2018 Farm Bill provided for the study of crop insurance for greenhouse growers. Risk Management Agency (RMA) has contracted Watts & Associates to conduct the study.  Watts & Associates has been in contact with MGGC searching for interested experts to help with the feasibility study.  They plan to hold a general informational meeting for all greenhouse growers to attend in June (more information will be forthcoming).

Below is the 2018 Farm Bill language

Page 453 ‘‘(17) GREENHOUSE POLICY.— ‘‘(A) IN GENERAL.— ‘‘(i) RESEARCH AND DEVELOPMENT.—The Corporation shall carry out research and development, or offer to enter into 1 or more contracts with 1 or more qualified persons to carry out research and development, regarding a policy to insure in a controlled environment such as a greenhouse— ‘‘(I) the production of floriculture, nursery, and bedding plants; ‘‘(II) the establishment of cuttings or tissue culture in a growing medium; or ‘‘(III) other similar production, as determined by the Secretary. ‘‘(ii) AVAILABILITY OF POLICY.—Notwithstanding the last sentence of section 508(a)(1), and section 508(a)(2), the Corporation shall make a policy described in clause (i) available if the requirements of section 508(h) are met. ‘‘(B) RESEARCH AND DEVELOPMENT DESCRIBED.—Research and development described in subparagraph (A)(i)

Page 454 O:\ELT\ELT18A60.xml [file 12 of 13] S.L.C. shall evaluate the effectiveness of policies for the production of plants in a controlled environment, including policies that— ‘‘(i) are based on the risk of— ‘‘(I) plant diseases introduced from the environment; ‘‘(II) contaminated cuttings, seedlings, or tissue culture; or ‘‘(III) Federal or State quarantine or destruction orders associated with the contaminated items described in subclause (II); ‘‘(ii) consider other causes of loss applicable to a controlled environment, such as a loss of electricity due to weather; ‘‘(iii) consider appropriate best practices to minimize the risk of loss; ‘‘(iv) consider whether to provide coverage for various types of plants under 1 policy or to provide coverage for 1 species or type of plant per policy; ‘‘(v) have streamlined reporting and paperwork requirements that take into account short propagation schedules, variable crop years, and the variety of plants that may be produced in a single facility; and ‘‘(vi) provide protection for revenue losses. ‘‘(C) REPORT.—Not later than 2 years after the date of enactment of the Agriculture Improvement Act of 2018, the Corporation shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes— ‘‘(i) the results of the research and development carried out under subparagraphs (A)(i) and (B); and ‘‘(ii) any recommendations with respect to those results. ‘‘(18) LOCAL FOODS.— ‘‘(A) IN GENERAL.— ‘‘(i) FEASIBILITY STUDY.—The Corporation shall carry out a study to determine the feasibility of, or offer to enter into 1 or more contracts with 1 or more qualified persons to carry out a study to determine the feasibility of, a policy to insure production— ‘‘(I) of floriculture, fruits, vegetables, poultry, livestock, or the products of floriculture, fruits, vegetables, poultry, or livestock; and ‘‘(II) that is targeted toward local consumers and markets. ‘‘(ii) AVAILABILITY OF POLICY.—Notwithstanding the last sentence of section 508(a)(1), and section 508(a)(2), the Corporation shall make available a policy described in clause (i) if— ‘‘(I) the results of the feasibility study under clause (i) are viable; and ‘‘(II) the requirements of section 508(h) are met.

Page 455 O:\ELT\ELT18A60.xml [file 12 of 13] S.L.C. ‘‘(B) FEASIBILITY STUDY DESCRIBED.—The feasibility study described in subparagraph (A)(i) shall evaluate the effectiveness of policies for production targeted toward local consumers and markets, including policies that— ‘‘(i) consider small-scale production in various areas, including urban, suburban, and rural areas; ‘‘(ii) consider a variety of marketing strategies; ‘‘(iii) allow for production in soil and in alternative systems such as vertical systems, greenhouses, rooftops, or hydroponic systems; ‘‘(iv) consider the price premium when accounting for production or revenue losses; ‘‘(v) consider whether to provide coverage— ‘‘(I) for various types of production under 1 policy; and ‘‘(II) for 1 species or type of plant per policy; and ‘‘(vi) have streamlined reporting and paperwork requirements. ‘‘(C) REPORT.—Not later than 2 years after the date of enactment of the Agriculture Improvement Act of 2018, the Corporation shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that— ‘‘(i) examines whether a version of existing policies such as the whole-farm revenue protection insurance plan may be tailored to provide improved coverage for producers of local foods; ‘‘(ii) describes the results of the feasibility study carried out under subparagraph (A)(i); and ‘‘(iii) includes any recommendations with respect to those results.

Cindy Ray
Author: Cindy Ray