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Governor's executive budget proposes $364 million for Agriculture; officials outline dairy, local-food and education investments

2157803 · January 27, 2025
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Summary

At a joint legislative budget hearing, Agriculture Commissioner Richard Ball detailed a $364 million executive budget recommendation for the Department of Agriculture and Markets that funds dairy modernization, local food programs, farmworker housing and agricultural education, while lawmakers pressed for fixes to tax and workforce programs.

The governor's executive budget includes $364,000,000 for the New York State Department of Agriculture and Markets, Commissioner Richard Ball said at a Jan. 27 joint hearing of the Senate Finance and Assembly Ways and Means committees.

"The executive budget recommends $364,000,000 for the department," Ball said, adding the money would maintain core functions and support initiatives in sustainability, workforce and capital improvements.

Why it matters: The funding would sustain programs that support the state's roughly 32,000 farms, with a special emphasis on dairy, local procurement and education programs that state officials and advocates say can boost both public health and farm markets.

What officials outlined

- Dairy: The budget proposes $10,000,000 for a second round of the dairy modernization grant program and an additional $1,000,000 for dairy-related research and climate-resilient practices. Ball said dairy makes up about half of the state's agricultural economy and framed the investments as part of making New York "the most sustainable dairy state in the country."

- Local food and school meals: The proposal would add nearly $4,000,000 to the FreshConnect program, increase Nourish New York by $5,000,000 and add $10,000,000 to a $50,000,000 regional school food infrastructure grant program. Ball said these items expand markets for New York producers and support use of local farm products in schools.

- Capital and marketing: The executive budget would fund about $73,000,000 in local assistance for commodity promotion and research, and proposes nearly $51,000,000 in capital improvements for the State Fair grounds.

- Workforce and housing: Ball highlighted an additional $5,000,000 for the farmworker housing program and said the budget would dedicate $13,500,000 overall for Agribusiness Child Development (ABCD) centers, with $3,200,000 of that for capacity and safety improvements.

- Education and youth: The budget would double support for New York Agriculture in the Classroom to $1,000,000 and add $1,800,000 for FFA, 4H and other agricultural education programs.

Open issues and questions

Lawmakers repeatedly pressed the commissioner about a state overtime tax credit intended to help farms comply with new labor rules. Ball said the administration is "still meeting with tax and finance" and with industry to refine language so the credit works across different farm business structures.

Advocates and committee members also asked about habitat and disease risks, hemp processing capacity, farmland preservation and the potential loss of some federal climate grant funding. Ball said the federal Climate Smart Commodities grant for New York had been paused and that the department was monitoring federal developments.

No formal vote was taken. The testimony will inform the committees' budget markup and any amendments during the legislative review process.