AN ACT to amend Tennessee Code Annotated, Title 9 and Title 43, relative to assistance for farmers.
Summary
SB2687 creates the Tennessee Agriculture Recovery and Investment in Family Farm (TARIFF) Relief Act and establishes a new state fund in the treasury to provide direct grants to eligible family farmers. The bill defines a “family farmer” as a Tennessee resident who owns or leases qualifying farmland, and defines a “farm” by acreage and agricultural income thresholds. Subject to appropriations and available money, the Department of Agriculture would be authorized to award grants of up to $10,000 to farmers who have experienced high input costs and market losses tied to tariffs on agricultural products, equipment, and machinery, including retaliatory and reciprocal tariffs imposed by the federal government or foreign countries.
Impact
The bill would add a new section to Tennessee Code Annotated Title 9 governing state grant assistance for farmers and would create a dedicated TARIFF relief fund within the state treasury. It contemplates funding from grants, appropriations, other available moneys, and an intended transfer of $130 million from the revenue fluctuation reserve in fiscal year 2026-2027, with any unspent funds returned to that reserve by June 30, 2027. The Department of Agriculture would be responsible for administering applications, setting eligibility and award procedures, and promulgating rules, while the fund would be subject to audit and false claims enforcement.
Sentiment
The bill appears generally supportive of Tennessee farmers and is framed as economic relief for agricultural producers facing tariff-related cost pressures and market disruptions. Because no committee transcript or vote history is provided, there is no recorded public debate in the supplied materials, but the structure of the bill suggests a policy emphasis on targeted aid rather than broad agricultural subsidy. The overall tone of the legislation is remedial and pro-farmer.
Contention
The main potential points of contention are the size and source of the funding, especially the proposed $130 million transfer from the revenue fluctuation reserve, and whether state funds should be used to offset losses attributed to tariffs. Another likely issue is eligibility and administration, including how the Department of Agriculture would verify need, determine which losses are tariff-related, and ensure grants are limited to qualifying family farmers. Questions could also arise about whether the bill’s relief is sufficiently targeted and whether it duplicates or overlaps with other agricultural assistance programs.