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Type:
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Ordinance-S
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Status:
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Adopted
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On agenda:
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6/15/2022
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Final action:
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6/15/2022
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Title:
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ARPA Phoenix Resilient Food System Programs - Enter into Agreements for Agri-Food Technology Innovation Grants (Ordinance S-48802)
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Title
ARPA Phoenix Resilient Food System Programs - Enter into Agreements for Agri-Food Technology Innovation Grants (Ordinance S-48802)
Description
Request to authorize the City Manager, or his designee, to enter into individual agreements with the Arizona Worm Farm LLC, FreshKube Inc., Arizona State University Indoor Farming Lab, Lehr Innovations LLC, NxT Horizon LLC, YoBro Farms, Phoenix Food Cooperative, and Homer Farms Inc. to disburse funds for the Agri-Food Technology Innovation Grant program. Further request to authorize the City Controller to disburse all funds related to this item. Funding is available through the City’s allocation of the American Rescue Plan Act (ARPA) federal funding and is in the Phoenix Resilient Food System category of the strategic plan. There is no impact to the General Fund. The additional aggregate expenditures included will not exceed $500,000.
Report
Summary
In response to the COVID-19 pandemic, the Office of Environmental Programs (OEP) developed a food assistance plan to address the food needs of vulnerable populations and communities impacted by COVID-19. The plan provides: 1) access to healthy foods for impacted populations; 2) infrastructure assistance regarding transportation and delivery with a focus on home delivery; 3) support for food banks, food pantries and community agencies; 4) support for increased local food production; and 5) business and employment opportunities throughout the food system spectrum.
Economic Development and Innovation
Agri-Food Technology Innovation Grant Program
The Agri-Food Technology Innovation Grant program is designed to encourage existing entrepreneurs, businesses, non-profits, educational institutions, and sustainable food cooperatives across the entire food system to address challenges associated with climate change by adopting or expanding the use of agri-food technology. Agri-food technology is innovative tools and solutions created within the food supply chain to improve the food and agriculture industry. Agri-food technology is not limited to high-tech tools; it is about food system entities using existing resources innovatively or creating novel ways to produce, process, distribute, and recycle food effectively. Implementing agri-food technology maximizes efficiency, increases resilience, enhances sustainability and reduces greenhouse gas emissions.
The OEP is recommending award of Agri-Food Technology Innovation grant funds to eight food system entities to address challenges associated with climate change and the COVID-19 pandemic by adopting or expanding the use of agri-food technology. The grant awards were selected following criteria identified in the grant application and were evaluated by a panel consisting of city staff and external stakeholders. The following are recommended for funding:
- Arizona Worm Farm LLC located in South Phoenix, will use the grant funds to expand its Black Soldier Fly Larvae (BSFL) operation to convert up to 208 tons of food waste per year into chicken feed to expand its food waste process and larvae and fly populations. The grant funds will be used for a grinder, greenhouse, HVAC system, nets, trays, racks, fans, shipping container, cement, canopy, and electrical and water lines.
- FreshKube Inc. will use the grant funds to construct six mini containers and a portable micro-solar farm to provide small growers and distributors with cost-effective and transportable temperature-controlled containers that can be powered by renewable energy. The grant funds will be used for materials such as sensors, refrigeration, and solar panels.
- Arizona State University (ASU) Indoor Farming Lab, a research lab, will use the grant funds to develop and conduct two three-day workshops for stakeholders across the food system on the benefits of Indoor Vertical Farming (IVF). Additionally, funds will be used to develop and share IVF cost and energy reduction strategies for various farms. The funds will be used for personnel, workshop and training expenses, publications, and administrative costs. ASU is also providing a 100 percent cost share match per grant requirements for entities of this size.
- Lehr Innovations LLC located in South Phoenix, will use funds to build a small-scale urban farm and testing site to measure differences in water usage, soil carbon sequestration, costs, productivity between its existing Linking Ecosystem and Hardware for Regeneration (LEHR) Gardens and traditional in-ground farming methods. The grant funds will be used to support setup of a demonstration and testing site and develop a new manufactured LEHR Garden system with supplies and equipment, labor and administrative costs.
- NxT Horizon LLC located in South Phoenix, will develop a pilot program to develop and demonstrate methods for culture of the giant freshwater prawn within the Phoenix Backyard Garden Program’s aquaponics garden system. The grant funds will be used for facilities and supplies, data acquisition and analysis, intern assistance, and administrative costs.
- YoBro Farms, a small farm in West Phoenix, will expand its vertical microgreen growing business by implementing an outdoor, solar-powered farming system that will enhance resiliency and expand sustainable food production practices by purchasing photovoltaic supplies, a shed, air conditioning units, supplies, equipment, and materials.
The Mayor's Office is awarding funds to the following:
- Phoenix Food Cooperative will create the “Phoenix Cooperative Food Hub,” a tech-enabled online directory and marketplace for producers, consumers, and distributors in the Phoenix food system. Additionally, a buy local campaign and food hub event will be held funded by the Phoenix Food Cooperative to introduce the Hub. Phoenix Food Cooperative is establishing Phoenix’s first cooperative grocery store that aggregates local food sources from Phoenix growers and producers and connects residents, retailers, and other consumers. Grant funds will be used primarily for labor costs.
- Homer Farms Inc., a vertical farm startup, will locate to the Eastlake neighborhood in central Phoenix to build the first vertical farm in the City of Phoenix. The facility will use LED lights and deep-water hydroponic cultivation technologies, which will produce a minimum of 500,000 pounds of produce per year while using 95 percent less water than traditional agriculture. Grant funds will be used for equipment such as growing racks and lighting.
This strategy is consistent with previous allocations that were awarded by Council District Offices in April 2022 as a part of the Council District Food Action Plans and Initiatives.
Procurement Information
Services may be procured, as needed, in accordance with Administrative Regulation 3.10 to implement and administer programs intended to prevent, prepare for, and respond to the COVID-19 pandemic.
Contract Term
The term of the agreements will begin on or about June 15, 2022 to June 30, 2023. Agreements may be extended based on continuous need and available funding, which may be exercised by the City Manager, or his designee.
Financial Impact
There is no impact to the General Fund. Funding is available through the City’s allocation of federal ARPA funding and is in the Phoenix Resilient Food System category of the ARPA Strategic Plan approved by Mayor and Council.
The funding breakdown is as follows:
- Arizona Worm Farm LLC - $86,870
- FreshKube Inc. - $95,000
- ASU Indoor Farming Lab - $52,432
- Lehr Innovations LLC - $99,000
- NxT Horizon LLC - $34,600
- YoBro Farms - $32,098
- Phoenix Food Cooperative - $65,000
- Homer Farms Inc. - $35,000
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Office of Environmental Programs.
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