Latest news with #FarmersProtectionAct
Yahoo
12-03-2025
- Business
- Yahoo
Bill targeting ESG for farmers advances to next NC House committee
A farmer harvests soybeans. USDA Natural Resources Conservation Service photo by Brandon O'Connor. The North Carolina House Agriculture and Environment Committee voted Wednesday to approve legislation targeting socially responsible lending in agriculture, moving the measure to the House Commerce and Economic Development Committee. Sponsors explain House Bill 62, the 'Farmers Protection Act,' as a measure to prevent banks and credit unions from using discriminatory practices against farmers in the state. It's sponsored by Reps. Neal Jackson (R-Moore, Randolph), Jimmy Dixon (R-Duplin, Wayne), Jennifer Balkcom (R-Henderson), and Karl Gillespie (R-Cherokee, Clay, Graham, Macon). Rather than race or gender, the bill targets 'ESG' — short for 'environmental, social, governance,' a method for evaluating sustainability performance. The proposal purports to ban banks and credit unions from denying service to agriculture producers based on their greenhouse gas emissions, use of fossil-fuel derived fertilizer, or use of fossil-fuel powered machinery, according to the bill text. 'It says you cannot deny cancel financial services based upon a farmer's ESG score or rating,' Jackson said. 'Figure it based upon if they have good credit or not, but not based upon their ESG score.' The House Judiciary 1 Committee approved the legislation at the end of February. Rep. Pricey Harrison (D-Guilford) reminded members of the earlier discussion, where Jackson offered the bill is a preventative measure. 'You indicated in that discussion that there wasn't any evidence of this happening right now among North Carolina banks and with North Carolina farmers, but it was part of a national effort anticipating what might happen,' she said. Mark Swallow spoke during the bill's public comment section as a representative of Democracy Out Loud. He said there's a reason ESG exists — as a protective measure, not a punitive one. 'It's meant to make sure, as the climate is changing, that we can survive in it, including farming,' he said. 'To try and de-incentivize bankers, you should be incentivizing farmers to do what they need to do to live up to those standards, because if they want to continue farming, they need to make those changes.' On Wednesday, the committee also voted to advance HB 164, 'Protect North Carolina Sawmills,' to the House Rules Committee.
Yahoo
25-02-2025
- Business
- Yahoo
NC House committee approves bill that targets socially responsible lending in agriculture
A farmer harvests soybeans. USDA Natural Resources Conservation Service photo by Brandon O'Connor. The North Carolina House Judiciary 1 Committee approved a bill Tuesday that its sponsors say is designed to prevent banks and credit unions from using discriminatory practices in transactions with the state's farmers. The bill, however, has nothing to do with race, gender or other societal groups traditionally victimized by discrimination in agriculture. Instead, House Bill 62, the 'Farmers Protection Act,' is the latest in a growing catalogue of legislative proposals across the country introduced by conservative lawmakers that target 'ESG' — short for 'environmental, social, governance' and the practice whereby corporate actors take such matters into account. North Carolina's former Treasurer Dale Folwell regularly championed the anti-ESG cause and in 2023 helped win enactment of a new state law — passed over then-Governor Roy Cooper's veto — that banned the use of ESG in multiple parts of state government, including investment decisions. The new bill would ban banks and credit unions from denying service to agriculture producers based on their greenhouse gas emissions, use of fossil-fuel derived fertilizer, or use of fossil-fuel powered machinery, according to the bill text. The bill would also establish a rebuttable presumption that if a bank or credit union has made an ESG commitment related to agriculture, it is in violation of the law if it restricts service to a farmer (e.g., turning down a loan application). The rebuttable presumption can only be overcome if the lender provides evidence that its denial or restriction of a service was based 'solely on documented financial considerations rather than an ESG commitment,' the text reads. Since the bill would exclude banks at the national level, Rep. Hugh Blackwell (R-Burke) asked if its sponsors have looked at ways North Carolina could motivate them to implement the policy. 'There are federal regulations coming,' Balkcom said. 'Once that happens, we'll be able to customize with this.' Mark Swallow from Democracy Out Loud testified against the legislation during the public comment portion of the meeting. He said this bill is about protecting the fossil fuel industry, not farmers. 'It uses legislation to bully banks and especially credit unions….' Swallow said. 'This legislation will hurt, if not kill agriculture in our state by preventing it from evolving to address the new reality of changing climate.' Swallow encouraged the committee to rewrite the bill to reduce the use of fossil fuels and protect the environment, saying the changing climate will hurt farmers much more than financial discrimination, but the committee was unmoved. The measure, which is sponsored by Reps. Neal Jackson (R-Moore, Randolph), Jimmy Dixon (R-Duplin, Wayne), Jennifer Balkcom (R-Henderson), and Karl Gillespie (R-Cherokee, Clay, Graham, Macon) was approved on a voice vote and referred to the House Agriculture and Environment Committee, which is chaired by Rep. Dixon.
