Meat Processors Now Eligible for CARES ACT Grant

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  • Meat Processors Now Eligible for CARES ACT Grant
    Meat Processors Now Eligible for CARES ACT Grant
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The Oklahoma Department of Agriculture, Food and Forestry received $10 million in grants for the Food Supply Stability Plan for Oklahoma meat processors. The money is funneled through the state’s CARES Act Coronavirus Relief Fund and the announcement came just weeks after Oklahoma Congressman Frank Lucas introduced the federal RAMP UP Act to plan and accomplish facilities upgrades to existing processors. The two are separate programs but both work to shore up a food supply chain that was threatened by closures of meat packing plants nationwide during the earliest days of the Covid-19 pandemic in the United States.

“Agriculture processing never stopped during this pandemic,” said Oklahoma Secretary of Agriculture Blayne Arthur. “This grant money is an exceptional opportunity for our Oklahoma meat processing industry to add processing capacity. Changes within existing facilities, as well as adding more plants and expanding existing plants, would greatly help mitigate the effects we have seen on the food supply chain during this pandemic.”

This funding of $10,000,000 would allow Oklahoma meat processors to build or expand their businesses and create additional meat processing capacity in Oklahoma, mitigating risks of plant shutdowns and ensuring continued meat availability. The bill Lucas has sponsored could allow those same facilities to gain federal inspection status, allowing them to sell products across state lines.

“In order to reduce Oklahoma’s dependence on the current limited processors and lessen the risk of consequences of a facility shutting down, it is pertinent for our state to bolster development of this industry through capital for new construction, expansion, and equipment to protect against spread of illness in current plants,” said Arthur.

“Oklahoma has a large number of small hog producers and youth with 4-H and FFA swine projects. These farmers and youth need additional markets and processing opportunities for their hogs,” said Roy Lee Lindsey, Oklahoma Pork Council executive director. “We greatly appreciate the efforts of Gov. Stitt and Sec. Arthur to secure funding and create opportunities for processors across the state to expand access for these farmers and our youth.” Other than huge plants such as the one at Guymon, Lindsey previously noted there were no plants in the state capable of processing more than 40 head of hogs per day.

Eligible projects for grant dollars from the state program include new or existing meat processing facility construction or expansion to add capacity, whether they are custom/exempt, state or federal inspected businesses. The grants can be used for new plant space construction, new equipment, improved biosecurity or to add a supporting service such as rendering plants. Publicly traded companies are ineligible and funds cannot be used for salaries or to purchase property.

Grant applications are due to Oklahoma Department of Agriculture, Food and Forestry by Aug. 14 and will be evaluated by a process tailored to meat processing. Points are granted for added processing capacity, merit of business experience, timeline, potential for success based on business plan and need for services in the application location. Awards are limited to $1 million and supporting documentation for expected expenses are to be submitted with the grant application.

The board may award the full amount or less than the requested dollar amount. After the grant funds are disbursed, grantees will submit regular reports and receipts to show fund usage.

Facility improvements undertaken after March 1 are eligible for reimbursement and money awarded must be used by Dec. 30.

For more information on applying or to access the grant application, call Jason Harvey at 405-606- 1477 , email at Jason.harvey@ag.ok.gov or visit our website at http://www.ag.ok.gov/mktdev/meatgrant.htm

Connie Burcham can be reached at Editor@WatongaRepublican.com