7 U.S. Code § 1632b - Agriculture Innovation Center Demonstration Program
The purpose of this section is to direct the Secretary of Agriculture to establish a demonstration program under which agricultural producers are provided—
(1) technical assistance, consisting of engineering services, applied research, scale production, and similar services, to enable the agricultural producers to establish businesses to produce value-added agricultural commodities or products;
In this section:
The term “Program” means the Agriculture Innovation Center Demonstration Program established under subsection (c).
(c) Establishment of Program
The Secretary shall establish a demonstration program, to be known as the “Agriculture Innovation Center Demonstration Program” under which the Secretary shall—
(1) make grants to assist eligible entities in establishing Agriculture Innovation Centers to enable agricultural producers to obtain the assistance described in subsection (a); and
(d) Eligibility requirements
(1) In general
An entity shall be eligible for a grant and assistance described in subsection (c) to establish an Agriculture Innovation Center if—
(A) the entity—
(B) the application of the entity for the grant and assistance includes a plan, in accordance with regulations promulgated by the Secretary, that outlines—
(C) the entity demonstrates that adequate resources (in cash or in kind) are available, or have been committed to be made available, to the entity, to increase and improve the ability of local agricultural producers to develop markets and processes for value-added agricultural commodities or products; and
(2) Board of directors
Each Agriculture Innovation Center of an eligible entity shall have a board of directors composed of representatives of each of the following groups:
(A) The 2 general agricultural organizations with the greatest number of members in the State in which the eligible entity is located.
(B) The department of agriculture, or similar State department or agency, of the State in which the eligible entity is located.
(e) Grants and assistance
(1) In general
Subject to subsection (i), under the Program, the Secretary shall make, on a competitive basis, annual grants to eligible entities.
(2) Maximum amount of grants
A grant under paragraph (1) shall be in an amount that does not exceed the lesser of—
(3) Maximum number of grants
(A) First fiscal year of Program
In the first fiscal year of the Program, the Secretary shall make grants to not more than 5 eligible entities.
(4) State limitation
(A) In general
Subject to subparagraph (B), in the first 3 fiscal years of the Program, the Secretary shall not make a grant under the Program to more than 1 entity in any 1 State.
(f) Use of funds
An eligible entity to which a grant is made under the Program may use the grant only for the following purposes (but only to the extent that the use is not described in section 1632a (d) of this title):
(3) Hiring of employees, at the discretion of the board of directors of the Agriculture Innovation Center of the eligible entity.
(4) The making of matching grants, each of which shall be in an amount not to exceed $5,000, to agricultural producers, except that the aggregate amount of all such matching grants made by the eligible entity shall be not more than $50,000.
(g) Research on effects on the agricultural sector
(1) In general
Of the amount made available under subsection (i) for each fiscal year, the Secretary shall use $300,000 to support research at a university concerning the effects of projects for value-added agricultural commodities or products on agricultural producers and the commodity markets.
(2) Research elements
Research under paragraph (1) shall systematically examine, using linked, long-term, global projections of the agricultural sector, the potential effects of projects described in subparagraph (A)  on—
(h) Report to Congress
(1) In general
Not later than 3 years after the date on which the last of the first 10 grants is made under the Program, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report on—
(A) the effectiveness of the Program in improving and expanding the production of value-added agricultural commodities or products; and
(2) Required elements
The report under paragraph (1) shall—
(A) include a description of the best practices and innovations found at each of the Agriculture Innovation Centers established under the Program; and
(i) Authorization of appropriations
There is authorized to be appropriated to the Secretary to carry out this section $1,000,000 for each of fiscal years 2014 through 2018.
 So in original. Probably should be “paragraph (1)”.
Source(Pub. L. 107–171, title VI, § 6402,May 13, 2002, 116 Stat. 426; Pub. L. 110–234, title VI, § 6203,May 22, 2008, 122 Stat. 1207; Pub. L. 110–246, § 4(a), title VI, § 6203,June 18, 2008, 122 Stat. 1664, 1969; Pub. L. 113–79, title VI, § 6204,Feb. 7, 2014, 128 Stat. 857.)
Pub. L. 110–234and Pub. L. 110–246made identical amendments to this section. The amendments by Pub. L. 110–234were repealed by section 4(a) ofPub. L. 110–246.
Section was enacted as part of the Farm Security and Rural Investment Act of 2002, and not as part of the Agricultural Marketing Act of 1946 which comprises this chapter.
Section was formerly set out as a note under section 1621 of this title.
2014—Subsec. (i). Pub. L. 113–79substituted “$1,000,000 for each of fiscal years 2014 through 2018” for “$6,000,000 for each of fiscal years 2008 through 2012”.
2008—Subsec. (i). Pub. L. 110–246, § 6203, added subsec. (i) and struck out former subsec. (i). Prior to amendment, text read as follows: “Of the amount made available under section 231(a)(1) of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 1621 note; Public Law 106–224) for each fiscal year, the Secretary shall use to carry out this section—
“(1) not less than $3,000,000 for fiscal year 2002; and
“(2) not less than $6,000,000 for each of fiscal years 2003 and 2004.”
Effective Date of 2008 Amendment