Farm Energy Discount Program

Contact: Linda Demirjian, Office Manager at linda.demirjian@state.ma.us, (6l7) 626-1733.

The Massachusetts Department of Agricultural Resources("DAR" or "Department") is the state agency responsible for determining and certifying eligibility for the Farm Energy Discount Program ("Farm Discount") described and contained in the legislation enacted to restructure the utility industry . As a result of the utility restructuring, all ratepayers will enjoy a mandated ten percent reduction on their energy bills for electricity and natural gas.

Subject to certification by the DAR, persons or corporations determined to be principally and substantially engaged in the business of production agriculture or farming for an ultimate commercial purpose will, upon written application, be eligible for a ten percent discount on rates.

Please refer to the links above left for the applicable Massachusetts legislation and regulations pertaining to the Farm Energy Discount Program. These regulations could be utilized in conjunction with your discussions and negotiations with all providers wishing to supply you electric and natural gas energy services in the Commonwealth of Massachusetts.

Instructions

Please complete the FARM ENERGY DISCOUNT ELIGIBILITY APPLICATION in as much detail as possible and return it to the DAR, Attention: Farm Energy Discount Program, as quickly as possible.

The discount will not be available until an application is filed and the DAR certifies eligibility to your energy supplier.

Each application will be considered on the basis of the information contained therein. Therefore, it is of utmost importance that you provide the Department with as much detail as possible.

Please attach copies of all documents showing your agricultural business or farm is conducted for an ultimate commercial purpose and that you are or your company is principally and substantially engaged in such business or farm. The application process is designed to process the majority of agricultural businesses and farms on a predetermined basis.

Those persons or corporations attesting, in the FARM ENERGY DISCOUNT ELIGIBILITY APPLICATION, to be principally and substantially engaged in the business of production agriculture or farming for an ultimate commercial purpose, and who provide valid supporting documentary material (suggestions described below) showing them to be engaged in production agriculture or farming will be certified to be eligible for the Farm Discount.

Persons or corporations with 75 or more full time employees in January of the application year will not be eligible for nor qualify for the Farm Discount. Full time employees shall not include any seasonal or part-time workers.

Please note that submission of one of the documentary items in GROUP ONE below and the executed attestation is ordinarily sufficient for a determination of eligibility. In all other instances, the applicant must submit as many items in GROUP TWO as pertain to your agricultural business or farm. For prompt action on your application, copies must be legible and clearly relate to the applicant and property location.

GROUP ONE

1. Valid farm registration certificate from the Registry of Motor Vehicles;
2. Tax certificate for classified forest land pursuant to M.G.L. chapter 61;
3. Farm Viability Plan created in conjunction with the Department;
4. Recorded Agricultural Preservation Restriction;
5. Federal income tax returns including Schedules C, D and F;
6. State income tax returns including Schedules C, D and F;
7. Special Assessment of real estate taxes pursuant to M.G.L. chapter 61A; or
8. Licenses issued by DAR for operation of production agriculture or farm business.

GROUP TWO

1. For corporate entities, Articles of Organization, Certificates of Organization, or Registrations filed with the Secretary of State of the Commonwealth;
2. Sales tax or gasoline tax exemptions obtained from the Commonwealth;
3. Municipal shellfish grant or other licensed aquaculture project showing active production farming;
4. Photographs depicting the business or farm, brochures or marketing information describing the business or farm, contracts entered into by the business or farm, feature articles published about the business or farm;
5. Business certificates issued by the municipality where you operate;
6. Permits or licenses required by any federal, state or local law or regulation for engaging in the business of agriculture or farming;
7. Conservation Plan approved by the Natural Resources Conservation Service of the U.S. Department of Agriculture; and
8. Any other documentation that would assist the DAR in determining that the applicant is principally and substantially engaged in the business of agriculture or farming production and that such business or farm is conducted for an ultimate commercial purpose.

The application must be filed with the Massachusetts Department of Agricultural Resources. Your completed application along with supporting documentation must be mailed or delivered to:

Massachusetts Department of Agricultural Resources
Attention: FARM ENERGY DISCOUNT PROGRAM
251 Causeway Street, Suite 500
Boston, MA 02114

New Applications will be accepted and processed by the DAR throughout the year.

Upon determination that the applicant qualifies for the Farm Discount, DAR will certify to the appropriate power supplier (either electricity or natural gas) that the applicant meets the requirements for the Farm Discount. The discount is not available for propane or fuel oil accounts.

To maintain the Farm Discount, the applicant will be required to submit a yearly renewal application to the department forwarded by us to you for confirmation of information and signature. Anyone receiving the Farm Discount who fails or neglects to submit a signed renewal application and obtain recertification will automatically be removed from the Farm Energy Discount Program.

If you have any questions concerning this program, please contact Linda Demirjian, Office Manager, DAR, at (6l7) 626-1733.