H.R. 6436: To amend the Agricultural Act of 2014 to allow for the advance payment of assistance under Tree Assistance Program, and for other purposes.

This bill proposes an amendment to the Agricultural Act of 2014 by allowing for an advance payment of assistance under the Tree Assistance Program (TAP). The main points are as follows:

Key Provisions

• Advance Payments: The bill allows eligible orchardists and nursery tree growers to receive up to 25% of the financial assistance they are entitled to before they begin replanting the trees that have been lost. This is applicable to losses that are described in the existing programs.
• Eligibility: The advance payments will be available to those producers who meet the qualifications set forth in the existing structure of the Tree Assistance Program.
• Purpose: The advance payments aim to provide immediate financial support to growers, helping them to manage expenses related to tree loss and replanting, which can be critical after events such as natural disasters or disease outbreaks affecting their crops.

Financial Support Through TAP

The Tree Assistance Program is designed to help eligible farmers and orchardists who suffer losses due to natural disasters, allowing them to recover and continue operations. The inclusion of advance payments is intended to expedite recovery efforts and provide necessary funds to growers who are proactively working to overcome the loss of their trees.

Implementation

The Secretary of Agriculture will oversee the disbursement of these advance payments as part of the modified assistance program, ensuring that eligible parties receive timely support.

Impact on Growers

This bill is expected to help streamline financial recovery for those in the agricultural sector, particularly for those involved in tree farming and nursery tree cultivation, by providing immediate capital for replanting efforts. By facilitating quicker access to funds, it could reduce the economic strain on producers who might otherwise face delays due to bureaucratic processes.

Relevant Companies

• SYY (Sysco Corporation) - As a distributor of food products and related supplies that may source from tree-grown products, Sysco could see changes in their supply chain operations due to the impacts on orchardists.
• DFRG (Del Frisco's Restaurant Group) - May benefit from improved supply stability for their menu offerings that use tree-based products like fruits and nuts, if growers are supported effectively.