Tennessee Agricultural Enhancement

APPLICATIONS DUE by OCTOBER 7, 2021

Akey priority for the Tennessee Department of Agriculture (TDA) is to increase profitability and viability of farms, forests, and agribusinesses which are vital to the state’s rural and overall economy. One of the most prominent programs that provides assistance to farms and horticultural businesses is the Tennessee Agricultural Enhancement Program (TAEP).

TAEP was established in 2005 to provide cost share dollars to agricultural producers for the purpose of making long-term investments in Tennessee farms and communities. Participation allows producers to maximize farm profits, adapt to changing market situations, improve operation safety, increase farm efficiency, and make a positive economic impact in their communities.

“Each TAEP dollar generates $6.09 in local economies, and we encourage our horticultural businesses to take advantage of this opportunity,” Commissioner Charlie Hatcher, D.V.M. said. “Any horticultural business interested in learning more about TAEP should reach out to our Business Development Division.”

Horticultural producers can receive TAEP assistance through the Producer Diversification program, which works to encourage agricultural producers to expand or improve their working farm or existing operation through the production of diversified agricultural products.

For tree farms, nurseries, or plant farms that produce the majority of their plants from seed or cutting to finished product, projects must encompass quality expansion or improvement of the applicant’s farm and business. Cold storage, container production areas, greenhouses, loading areas, packing facilities, propagation buildings, and specialty equipment are examples of eligible items.

Priority is given to projects that focus on long-term use and on improving or increasing current farm operation production. To ensure long-term investments, items requested must be able to meet the fiveyear verification period to be considered for cost share.

“We’ve seen the impact that TAEP has had on our agriculture industry since 2005, and we’re proud to continue offering this form of assistance,” Assistant Commissioner for Business Development Keith Harrison said. “We want the horticultural industry to remain strong in Tennessee for many years, and TAEP can help in accomplishing that goal.”

Previous applicants should be aware there are potential changes to the program this year. First, the department is considering an increase to the reimbursement maximum for Producer Diversification. Additionally, the Adjusted Gross Income (AGI) for producers must be less than (or equal to) $900,000 in the tax year 2019 or 2020 to be eligible.

We encourage anyone interested in long-term investments to apply during the 2021 application period Oct. 1, 2021. Application materials are available at www.tn.gov/taep. Program purchases can be made starting Oct. 1, 2021. Approval notifications are scheduled to be mailed mid-December.

Through TAEP, direct consulting, and more, the Business Development Division works with Tennessee producers and agribusinesses to build rural economies and increase farm income. Visit www.tn.gov/ agbusinessdevelopment to find additional resources and learn more.