PolicyBrief
H.R. 5097
119th CongressSep 2nd 2025
To amend the Agricultural Marketing Act of 1946 to direct the Secretary of Agriculture to establish a program under which the Secretary will award grants to specialty crop producers to acquire certain equipment and provide training with respect to the use of such equipment.
IN COMMITTEE

This bill establishes a USDA grant program to help specialty crop producers purchase and receive training for new automation and mechanization equipment.

David Valadao
R

David Valadao

Representative

CA-22

LEGISLATION

New Grant Program Offers Specialty Crop Farmers 50% Match for Automated Tech and Robotics

This new legislation sets up a federal grant program run by the Department of Agriculture’s Agricultural Marketing Service (AMS) specifically for U.S. specialty crop producers. The goal is straightforward: help these farms modernize by buying advanced mechanized and automated equipment. Think of it as a tech upgrade fund for the people growing your fruits, vegetables, and nuts.

The grants aren't just for hardware; they cover two main areas. First, they fund the purchase of equipment—everything from specialized harvesting robots and precision irrigation systems to drones and connectivity gear needed to run Internet of Things (IoT) devices on the farm. Second, a portion of the money must be used for training workers and staff on how to actually use this new technology effectively. The bill defines eligible technology broadly, covering everything that increases efficiency, from sorting machines to advanced climate monitoring tools.

The Catch: Matching Funds Required

While the grants are designed to be substantial enough to make a difference, they aren't a giveaway. Here’s the key detail for any farmer considering applying: the recipient must provide matching funds equal to no less than 50% of the total project cost. For example, if a farm needs a $200,000 automated harvester, they might get a $100,000 grant, but they must secure the remaining $100,000 themselves from non-federal sources. This requirement is a big deal.

Who Gets to Play and Who Might Sit Out

On one hand, this program is a massive win for specialty crop producers who are already financially stable and looking to scale up or reduce labor costs. For a mid-sized operation that needs to invest in a $50,000 automated weeding system, the grant effectively cuts the price tag in half, making the technology much more accessible and speeding up their return on investment. The required training component also benefits farmworkers, giving them valuable, modern skills.

On the other hand, the 50% matching requirement creates a significant barrier for entry. Small or struggling specialty crop farms that might benefit the most from efficiency gains—but lack the capital or credit to secure that 50% match—are likely to be excluded. This provision could mean the grants primarily benefit larger, more established operations, potentially widening the gap between small and large producers in terms of technological adoption and long-term competitiveness. It’s a good deal, but only if you can afford the down payment.

The Tech Wish List is Wide Open

The bill keeps the definition of eligible technology incredibly flexible. It lists specific items like grinding and chipping gear, infrared treatment tools, and traceability systems. Crucially, it also includes a catch-all provision allowing the Secretary of Agriculture to approve funding for any other system that "increases efficiency." This broad scope gives the AMS a lot of discretion. While this flexibility means the program can adapt to new innovations quickly, it also means the Secretary holds significant power in deciding which specific tech purchases get the green light, potentially leading to varied interpretations of what truly qualifies as an efficiency gain across different regions and crop types.