Robert M. Kerr Food & Agricultural Products Center

PROJECT PURPOSE

The Robert M. Kerr Food & Agricultural Products Center (FAPC) has provided services to the Oklahoma food processing industry for almost 25 years, generating hundreds of millions of dollars in economic impact and helping create thousands of jobs in Oklahoma. With roughly 90,000 square feet of food processing area and laboratories, the FAPC is uniquely designed to assist virtually every facet of the value-added agriculture sector. However, over the past quarter century some of the primary operational systems in the FAPC have deteriorated to the point of needing extensive overhauls or replacement. The purpose of this project is to upgrade the pilot processing facilities - which include one of the state's few USDA-inspected meat slaughter plants - to continue making positive contributions to Oklahoma's economy for the next 25 years. This includes an overhaul of the refrigeration system for the facility, boiler and amenities required for culinary steam production and facilities cleaning, air compressor system which operates all air-pressure-controlled equipment, and a chad system that ensures FAPC can meet the regulatory requirements of a post-harvest pathogen "kill step" for livestock carcasses. Additional equipment will be used in the meat processing area to support the Center's ability to process Oklahoma livestock and to provide continued assistance to large Oklahoma meat processors such as Bar-S Foods, Lopez Foods, and AdvancePierre Foods in product research and development. Other "Made In Oklahoma" companies also depend on FAPC assistance for new product development, quality assurance, and food safety verification.

EVIDENCE

Evidence of the need for these facility upgrades, and validation of the potential impacts from completing this upgrade project/program, can be provided by the FAPC's state-mandated Industry Advisory Council. This council is comprised of representatives from leading Oklahoma food processing firms, such as Griffin Foods, Lopez Foods, Clements Foods, U.S. Roaster Corp., Ralph's Packing Co., and McLaughlin Group, LLC. These industry leaders, along with other MIO Coalition members, Oklahoma-Texas Meat Processors Association, and Oklahoma Farm Bureau, are willing to provide statements supporting the need for this program and the expected impacts. The FAPC conservatively estimates the potential for increased annual economic impacts of approximately $7 million (in addition to the 10-year average of $49.7 million per year). These impacts will result from both increased industry support to MIO Coalition companies and ramped-up processing of retail-ready meats through the USDA-inspected slaughter and further processing facility.

POPULATION DESCRIPTION

Food supply issues resulting from the COVID-19 pandemic continue to be a major concern. Particularly in Oklahoma, the pandemic raised issues about the potential of the state's existing meat processing industry to ensure timely and efficient processing of Oklahoma-raised livestock. This project contributes directly and indirectly to industry actions aimed at securing locally-sourced food availability in Oklahoma. Directly, the FAPC will contribute to the state's food availability by increased meat products processing via facility improvements. Indirectly, FAPC's continued co-packing, technical assistance, and business development assistance to both new and existing Oklahoma food processors will ensure increased food production in Oklahoma and job growth in the value-added agriculture sector.

PERFORMANCE MEASURING

The FAPC has worked with the equipment suppliers and service vendors to help other Oklahoma food processors complete construction of their facilities, and we are certain we ensure a 36-month timeframe for all project activities to be completed. Additionally, the FAPC has a 24-year history of collecting and reporting impact data from operations. This information will be readily available to the state as verification of impacts from programs. As an example of impact data collected by the FAPC, over the past 10 years the FAPC has had an average annual direct economic impact of $59.7 million. These impacts are the results of an annual average of 145 projects with Oklahoma food processors. If only considering small start-up food processors, over the past 10 years the FAPC has assisted 137 new food businesses (annual average of 13.7) located in 53 communities representing 38 counties, with an average annual economic impact of $7.5 million from these new businesses.

ONGOING INVESTMENT AMOUNT

$

ONGOING INVESTMENT DESCRIPTION

None

ONGOING INVESTMENT REQUIRED

One-time project will not need continued funding