AUSTIN — On April 1, the Texas House Committee on Agriculture & Livestock heard House Bill 43 by State Representative Stan Kitzman, which is designed to boost struggling state agriculture producers following years of record-setting agricultural losses across the state. House Bill 43 will expand existing financial support programs of the Texas Agricultural Finance Authority (TAFA) to better support the evolving needs of the state’s agriculture industry.
“In 2024, Texas led the nation in agricultural losses for the third consecutive time, due to a mix of causes such as drought, excessive heat, supply chain issues, and more. It is urgent that we cut some of the red tape that is keeping relief out of the hands of Texas farmers and producers,” Rep. Kitzman explained to the committee while presenting HB 43. “By removing needless restrictions on who can apply and for what amount, these TAFA grant program funds will be better utilized and thus have greater impact on the state agriculture industry.”
First authorized in 1987, TAFA was created to support the expansion and development of Texas agriculture through financial assistance programs. Over time, the eligibility rules, funding limits, and administrative requirements of TAFA’s programs—such as financial assistance grants and interest rate reduction loans—have become outdated and overly restrictive, limiting the program’s ability to meet the evolving needs of Texas producers.
In the last five years, more than 17,000 Texas agriculture producers have shut down as a result. HB 43 modernizes and streamlines these programs to ensure they are more accessible, flexible, and impactful for today’s agriculture community by: _ Raising the TAFA loan cap from $500,000 to $1 million. _ Increasing the TAFA grant maximum from $20,000 to $500,000 _ Lowering the matching fund requirement from dollar- for-dollar to 10%, making the funds more accessible to more producers.
_ Expanding eligibility to allow ag-supporting businesses like feed stores, equipment dealers, and processors to apply for financial assistance.
_ Removing the age restriction from TAFA’s “Young Farmer” programs so that more producers and businesses qualify.
_ Directing the Texas Department of Agriculture to partner with Texas A&M AgriLife Extension and the Texas Animal Health Commission to conduct an annual study on plant diseases and pest outbreaks impacting Texas agriculture and report on recommendations by 2028.
HB 43 has the support of over 30 agriculture associations, for its common-sense fixes to existing state programs. With strong bipartisan support, 45 coauthors, and a companion bill already filed in the Texas Senate by Sen. Kevin Sparks of Midland, Kitzman is confident in HB 43’s potential to become law and start providing meaningful assistance to Texas agriculture producers.
Kitzman is in his second term of serving as the state representative for Texas House District 85. The representative currently serves on the Agriculture and Livestock Committee, as well as the Subcommittee Chairman of Article III on the Appropriations Committee during this legislative session.
Kitzman is also a member of the Sunset Commission, which is a bicameral committee of Representatives, Senators, and public members that are appointed by the Lieutenant Governor and the Speaker of the House.