By Rob Holley
The Nevada Department of Agriculture’s organic program’s volatility was revealed when a funding shortage was fully disclosed in recent months. It has already sent some producers and processors packing, and some who had been considering the state’s program are no longer interested.
Additionally, NDA has continued to engage in communications, both in the legislature and with their recent PR campaign, that further destabilizes the program. Without an infusion of funds and a suitable period of time (more than one-year), there is no reasonable expectation that the program can rebound from the impact of the recent changes.
Those who are committed to organics will continue, but most likely through another certifier. As I mentioned to the Reno City Council, this situation will not significantly alter the supply or availability of local or organic products.
There are three certifications:
- Organic Certificate or
- Producers Certificate (something already available through NDA) or
- If producers don’t have one of those two, they will need to have a Produce Vendor Certificate.
What NDA has not discussed, however, are the ramifications of the newly mandated Producers Certification as required in Assembly Bill 77.
Currently, the demand for the optional certificate has been driven by restaurants, farmers markets and retail stores who require the state-provided certificates of their suppliers. AB77 (section 133) changes NRS 576.128 to mandate that all producers of farm products (other than livestock, livestock products, or poultry) obtain a permit.
This will include, by statutory definition of a farm product (NRS 576.0155), the majority of farmers in Nevada (hay, cereal grains, tef, etc.). Currently there are about 175 certified producers of vegetables, honey, fruit, nuts, etc. If AB77 is enacted, then many, many more will be required by law to certify (how many producers of ag products are there?)
A troubling aspect of this development is the fee structure for the program. NRS 576.128 already states that “The Department may impose fees for the certification of a person as an actual producer of farm products specified in subsection 1 and any inspections necessary for that certification. The fees must be set in an amount which approximates the cost to the Department of performing those services and activities (subsection 2 of section 133, AB77).”
Currently the fee is $50 for the first year (includes an inspection) and $30 for subsequent years (w/o inspection). Former NDA staff have pointed out to NDA that if they are going to charge, that they are required by statute to charge a fee proportionate to their costs. They have chosen not to do so and have charged a minimal amount, instead.
Upon the passage and enactment of AB77, I am concerned that NDA will, at some point, raise the fees to a level that is sufficient to meet the statutory requirement; otherwise, they’ve created a largely unfunded mandate requiring certification of the vast majority of Nevada’s producers of farm products.
—
The Nevada Department of Agriculture’s Board of Agriculture is meeting tomorrow at 9 a.m. in Sparks to discuss the organic certification program.
