S. 1825: Augmenting Research and Educational Sites to Ensure Agriculture Remains Cutting-Edge and Helpful Act

This bill, known as the "Augmenting Research and Educational Sites to Ensure Agriculture Remains Cutting-Edge and Helpful Act" (or "AG RESEARCH Act"), aims to address the maintenance and modernization needs of agricultural research facilities in the United States. Here are the key points:

Background

The bill acknowledges the significant contributions of agriculture to the U.S. economy, stating that:

• Agriculture contributed approximately $1.53 trillion to the Gross Domestic Product (GDP) in 2023, representing 5.6% of the total GDP.
• Agriculture and related industries accounted for 22 million jobs, making up 10.4% of total employment in 2022.
• Currently, the National Institute of Food and Agriculture provides over $1.7 billion in research funding annually to agricultural schools.
• There have been significant increases in the deferred maintenance needs of agricultural research facilities, which rose from $8.4 billion in 2015 to $11.5 billion by 2021.

Aims of the Bill

The legislation seeks to ensure that U.S. agricultural research remains competitive globally by addressing these maintenance and infrastructure issues.

Grant Program for Agricultural Research Facilities

The bill establishes a competitive grant program under the National Institute of Food and Agriculture. This program will:

• Provide funds for the construction, alteration, acquisition, modernization, renovation, or remodeling of agricultural research facilities and necessary equipment.
• Allow the federal government to cover up to 100% of costs for specific projects when deemed appropriate by the Secretary of Agriculture.
• Promote equitable distribution of funds geographically and among various educational institutions, ensuring funds reach diverse areas and facilities of different sizes.
• Limit funding to no more than 20% of the available amounts for projects in any single state.

Evaluation of Proposals

The bill requires that proposals for grants be evaluated in consultation with representatives from peer review panels associated with the National Institute of Food and Agriculture. This amendment aims to ensure a thorough review process that considers expert opinions.

Funding Provisions

The bill specifies funding arrangements, including:

• A mandated allocation of $1 billion per year for five years, starting in 2025, specifically for the grant program. These funds will be drawn from the U.S. Treasury.
• Authorization for additional amounts needed beyond the mandated funding for the ongoing support of agricultural research facilities.

Implications

The bill is intended to foster improvements in agricultural research infrastructure, helping ensure that the U.S. remains at the forefront of agricultural innovation and productivity.

Relevant Companies

• DE (Deere & Company) - A leading manufacturer of agricultural machinery, which could see increased demand for tech improvements driven by these research investments.
• BAYRY (Bayer AG) - Involved in agricultural chemicals and biotechnology, likely to benefit from advancements in agricultural research driven by this bill's funding.
• SYX (Syngenta AG) - This company focuses on agricultural solutions that could be enhanced through increased governmental agricultural research funding.