Assembly Bill A6427

                                 BILL NUMBER:  A6427

 TITLE OF BILL :  An act to amend the New York state urban development
corporation act, in relation to developing local and regional
wholesale farmers' markets to promote foods grown in New York state

 PURPOSE OR GENERAL IDEA OR BILL : To provide Economic Development
financing for construction and improvements to wholesale regional
farmers' markets.

 SUMMARY OF SPECIFIC PROVISIONS :  Adds a new paragraph j to
subdivision 1 of section 16-m of Chapter 174 of the laws of 1968
creating the Urban Development Corporation. Paragraph j would provide
loans and grants to businesses, municipalities, IDAs, economic
development corporations, not-for-profits, business improvement
districts, regional marketing authorities, agricultural cooperatives
and other entities to finance construction, reconstruction,
improvement, expansion, or rehabilitation of wholesale regional
farmers' markets.

 JUSTIFICATION : New York farmers produce some of the finest fruits,
vegetables, meats and dairy products anywhere and there is an
increasing recognition of the taste, quality and freshness of these
local farm products by chefs and consumers. Unfortunately, most food
stores and restaurants in our larger cities find it difficult to buy
wholesale direct from New York farmers because of the lack of adequate
              

wholesale farmers' markets even though there is huge potential for
sales. Food purchases from restaurants and other food services in NYC
are expected to grow by $500 million in the next five years.

Providing financing for wholesale regional markets for new
construction and renovations to meet the needs of these wholesale
customers would help the farm economy by opening up valuable food
service markets. A recent NYC Wholesale Farmers' Market study found
that "...a New York City wholesale farmers' market would expand
opportunities for mid-size and small producers of food and
agricultural products from New York and adjacent states to sell their
products directly to wholesale buyers in the city and that such a
market facility - similar to those that have operated in NYC in the
past - would also help meet the growing demand by thousands of NYC
restaurants, retail stores, institutions and other wholesale buyers
for locally-grown fresh farm products."

The economic benefits to farm regions from increased sales could lead
to increased business activity and jobs in those communities and new
jobs at the wholesale markets themselves. In addition, businesses and
consumers in urban and suburban communities would benefit from the
fresh, nutritious, quality food and meals available because of these
projects.

 PRIOR LEGISLATIVE HISTORY : 2005/06 - A8001 Ref to Agriculture
2007/00 - A5025 - ref to Agriculture

 FISCAL IMPLICATIONS : Subject to budget appropriations.

 EFFECTIVE DATE : Immediately upon passage Contact:  Task Force on
Food, Farm & Nutrition Policy 455-5203