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HOBART AND WILLIAM SMITH COLLEGES "PITCH" BUSINESS PLAN PROPOSAL

VALUE PROPOSITION

Service:

Hobart and William Smith (HWS) Colleges prepares students to “Lead Lives of Consequence” through globally focused student-centered learning environments, grounded in values of equity and service. More specifically, HWS prepares students to “Lead Lives of Consequence” through Environmental Sustainability, a core value at HWS.

 

“With a unique program that allows students and faculty to use the physical campus as a laboratory to explore environmental impact mitigation strategies, the HWS Sustainability Program enables and encourages students to link classroom learning to real world application; that plays a direct role in the environmental performance of the Colleges. The applied sustainability opportunities, such as the Fribolin Farm, Solar Farm, and Richard S. Perkin Observatory, act as micro-examples of issues beyond the Colleges, City of Geneva and upstate region, providing a global element essential to addressing the complex environmental issues of the 21st century.”

 

To further the Colleges mission and highly interactive applied sustainability opportunities, the Colleges will apply to be one of ten New York State Higher Education Institutions to start a New York State Industrial Hemp Agriculture Research Pilot Program (NYS IHARPP), to grow, research, sell, distribute, transport, and produce Industrial Hemp as an agricultural commodity.

 

The New York State Industrial Hemp Agriculture Research Pilot Program is a three-year research program and license overseen by the New York State Agriculture and Markets Department Division of Plant Industry that allows higher education institutions to grow and research Industrial Hemp.

 

Industrial hemp, defined by state statutes, is a variety of cannabis with a THC concentration of not more than 0.3 percent. The whole plant can be used in production and is made up of three parts, the seeds, the stalk, and the hurd. This makes hemp a zero carbon footprint plant.

 

Value & Social Responsibility:

 

The New York State Industrial Hemp Agriculture Research Pilot Program aims to progress, Hobart and William Smith Colleges mission of students “Leading Lives of Consequence” through globally focused student-centered learning environments, grounded in values of equity and service, and to strengthen the foundation set by Governor Andrew Cuomo, Senator Thomas F. O’Mara, and Assemblywoman Donna A. Lupardo, to ensure the development and growth of New York States Agricultural industry and farmland.

 

The New York State Industrial Hemp Agriculture Research Pilot Program will bring value to the Colleges’ by having the pilot program integrated into the current curriculum, using the Hemp Farm in Environmental Studies, Biology, Sustainable Community Development, and Architecture courses, and to also expand the Colleges’ offerings in agriculture in coming years. Students will be able to observe, collect data, and gain hands on experience on a wide range of agricultural areas through paid and unpaid research opportunities during the semester and breaks. The Farm can host organized and facilitated community events and outreach, where the farm will be open to the public for programs to teach about agriculture. The NYS IHARPP can provide an educational service to Geneva that will foster an interest for agriculture in both adults and children in the community. The NYS IHARPP will allow students to participate and contribute to State research statistics and data about the economic and agricultural viability of Hemp. To distinguish HWS from other Colleges and Universities, HWS can become the first small liberal arts College in New York State to grow Industrial Hemp for research and be only one of ten institutions in all of New York State.

 

 

The Colleges New York State Industrial Hemp Agriculture Research Pilot Program will bring value to New York State by contributing to the development and growth of New York States agricultural industry. By growing and researching Hemp, we will understand the” true economic value of the industrial hemp industry by participating in the market place as credible growers, manufacturers, and distributors…” (Lupardo). Having the NYS IHARPP at the Colleges will allow us to pave the way for new laws and regulations to ease the access of growing Hemp for other NYS farmer and businesses. Because the global market for hemp consist of more than “25,000 products spanning nine markets, including agriculture, textiles, recycling, automotive, furniture, food/nutrition/beverages, paper, construction materials, and personal care,” (NCSL), there is a potential for numerous manufacturing and economic opportunities for farmers, agriculture business, and state agriculture overall. The production of Hemp will help farmers diversify their production and bring back more Farmland use in NYS.  

 

Hobart and William Smith Colleges needs to establish itself as one of ten New York State Industrial Hemp Agriculture Research Pilot Program because the Colleges’ will be at the forefront of Leading Lives of Consequence by delivering a new education, economic, and agricultural opportunity for New York students, farmers, businesses, families, and community members.

 

VIABILITY:

 

Two New York State Industrial Hemp Agriculture Research Pilot Programs exist at the moment at Morrisville State College and Cornell University. In an interview with Assemblywoman Lupardo and the New York Times, Lupardo stated that they have already gained multiple interest from State Universities and Research Institutions.

 

Morrisville State College and their Partner JD Farms are the first farm to plant Hemp in NYS, in 80 years, this past July 3rd, 2016 and has already harvested and sold their yield this past month in October. In September, JD Farms had gained a lot of interested buyers. In October, JD Farms sold their hemp seeds to a major protein-bar company in Pennsylvania, for hemp oil and protein, and sold their stalk and stems to a biomaterial company in Albany, NY. Two friends of JD Farms are already interested in growing Industrial Hemp but do not want to get involved until laws and regulations are eased.

 

Since President Obama signed the Agricultural Act of 2014, The 2014 U.S. Farm Bill. Section 7606, “allowing for universities and state departments of agriculture to begin cultivating industrial hemp for limited purposes,” 30 states have established either, industrial hemp research and or pilot programs, authorized studies of the Industrial Hemp industry, or established commercial hemp programs. In less than two years, since the 2014 US Farm Bill was signed, 30 states, including NY, have established Hemp Programs. 

 

In a 2015 Congressional Research Service Report, Hemp as an Agricultural Commodity, stated

  • Industrial hemp production statistics for Canada indicate that one acre of hemp yields an average of about 700 pounds of grain, which can be pressed into about 50 gallons of oil and 530 pounds of meal.That same acre will also produce an average of 5,300 pounds of straw, which can be transformed into about 1,300 pounds of fiber. “The estimated value of hemp per acre is $21,000 from seeds and $12,500 from stalks.” (Industrial Hemp, AGMC.org)

  • If HWS utilized 18 Acres of the Fribolin Farm to grow hemp, the Colleges estimated yield from seeds would be $378,000 and the colleges yield from stalk would be $225,000. Total yield, $603,000.

  • The Hemp Industries Association (HIA) estimates that the total U.S. retail value of hemp products in 2013 was $581 million, which includes food and body products, clothing, auto parts, building materials and other products.

  • Approximately 30 countries in Europe, Asia, and North and South America currently permit farmers to grow hemp.

  • Again, as stated above, Hemp can be used for over 25,000 products spanning nine markets, including agriculture, textiles, recycling, automotive, furniture, food/nutrition/beverages, paper, construction materials, and personal care,” (NCSL).

 

COMPETITORS:

 

Institution Competitors:

Hobart and William Smith Colleges will be directly competing against other New York State Institutions of Higher Education for one of ten New York State Industrial Hemp Agriculture Research Pilot Program Permits. Hobart and William Smith Colleges will distinguish itself as a premier institution for Hemp research by leveraging the Colleges core value of Environmental Sustainability.

HWS will grow and research Hemp to explore environmental impact mitigation strategies to gain data on the benefits and impact of the environmental performance of the Colleges.

 

The NYS IHARPP will be used to study Hemps carbon dioxide uptake. Hemp Global Initiatives calculates, “each ton of hemp grown represents 1.63 tons of Co2 absorption” (Hemp Global Initiative).  By growing and researching industrial Hemp, The NYS IHARPP will directly contribute to The American College and University President’s Climate Commitment, committing the Colleges to climate neutrality by 2025. Growing hemp will directly enhance the core value of Environmental Sustainability by decreasing the Colleges’ Greenhouse gas emissions, which might push forward the Colleges carbon neutrality expected date.

 

Business Competitors:

Hobart and William Smith Colleges’ competitors for the growth, sale, distribution, and production of Hemp will be all 29 states that have established an Industrial Hemp Research Pilot Program. That includes Morrisville State College and Cornell University.

HWS will distinguish itself from other Hemp Farmers and Pilot Programs by focusing on cultivars that produce high seed and fiber yields. High seed yields will give HWS access to the Food Market. High fiber yields will allow the Colleges’ to enter the market for building materials. A high yielding cultivar for fiber and seeds will put us at an advantage in reaching more than two markets.

CONSTUMER SEGMENTS:

The Colleges costumers for Hemp will be US Companies that have imported Hemp from Canada and Europe into the United States. Hobart and William Smith Colleges will gain business from the companies who have imported Hemp because transporting Hemp from NYS will save Companies Thousands of dollars of import fees annually. JD Farm’s biomass customer from Albany imported Hemp from Europe. Now that NYS has legalized the production and sale of Hemp, the Biomass company has bought JD Farms Hemp instead.

HWS Alum, Mathew Mead who competed in the 2014 Pitch, trademarked Hempitecture, and built the first non-residential home out of Hempcrete in America, also imported Hemp but from Canada. Now there is a potential market for Hempitecture to buy Hemp from HWS.

COST STRUCTURE:

 

  1. NYS IHARPP Application fee: $500.00

  2. NYS IHARPP Seed Import: $61.80--$78.75 per acre

    • 18 Acres on Fribolin Farm: $1,112.40 -- $1,417.50

  3. NYS IHARPP Grain Drill and Materials for Planting: $0.00 (Borrowed from Rob Poole- Farmer)

  4. NYS IHARPP Combine Machinery for Harvesting: $130.00 per acre (Rent from-Farmer)

    • 18 Acres on Fribolin Farm: $2,340.00

  5. NYS IHARPP Labor: Student and Faculty Volunteer

 

IMPLEMENTATION TIMELINE:

  1. Institutional Support Phase: Monday, October 1st – Monday, January 2nd

    • Pitch NYS IHARPP business proposal to President Gearan to gain Institutional Support

    • Pitch NYS IHARPP business proposal to academic and research departments to gain Institutional Support.

    • Pitch NYS IHARPP business proposal to Sarah Meyer and Fribolin Farm Committee to have Hemp pilot program at the Fribolin farm.

    • Consult NYS IHARPP business proposal with Rob Poole, alum and farmland owner.

  2. Research Phase – Monday, October 1st – Monday, January 2nd

    • Speak with Sarah Meyer, Beth Newel, Peter Spacher, and Rob Poole to write research question and methods paper for NYS IHARPP application.

    • Speak with Rob Flowers and Christopher Button for Site plan, Transportation plan, and Security plan.

  3. NYS IHARPP Application – Friday, January 6th

    • Submit NYS IHARPP Application to New York State Agriculture and Markets, Division of Plant Industry, Director Christopher Logue.

  4. NYS IHARPP Permit Approved – February 1st – March 1st

    • Apply for DEA Permit

  5. NYS IHARPP Planting begins – June 1st – September 15th

 

LEADERSHIP ROLE:

The New York State Industrial Hemp Agriculture Research Pilot Program License is only given to Institutions for research. Therefore, my leadership roll currently is a self-driven, eager, entrepreneur and consultant for the NYS IHARPP at HWS.  

When the NYS IHARP program begins at HWS, my position will be an attendant of the farm, community outreach coordinator for HWS students and the Geneva Community, consultant, between the farmers, institution, and businesses, and marketing expert.

My role leadership role is to lead a life of consequence by creating a globally focused student-centered learning environments, grounded in values of equity and service, the New York State Industrial Hemp Agriculture Research Pilot Program.

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