                                 CODE OF VIRGINIA

(FOR EXPIRATION DATE, SEE EDITOR&#8217;S NOTES) COVERED FARM; EXEMPTION (§
3.2-5147)

A. Except as provided in subsection B, a farm, as defined in 21 C.F.R &#xA7;
112.3(c), or farm mixed-type facility, as defined in 21 C.F.R &#xA7; 112.3(c),
with an average annual monetary value of produce, as defined in 21 C.F.R. &#xA7;
112.3(c), sold during the previous three-year period of more than $25,000 on a
rolling basis, adjusted for inflation using 2011 as the baseline year for
calculating the adjustment, is a &#8220;covered farm&#8221; as used in this
chapter, unless the context requires a different meaning. A covered farm shall
comply with all applicable requirements of 21 C.F.R Part 21, this chapter, or
any provision of a regulation of the Board adopted pursuant to &#xA7; 3.2-5148
when conducting a covered activity, as defined in 21 C.F.R &#xA7; 112.3(c), on
covered produce.

B. A farm is not subject to this chapter if it satisfies the requirements in 21
C.F.R. &#xA7; 112.5, and the U.S. Food and Drug Administration has not withdrawn
the farm&#8217;s exemption in accordance with the requirements of 21 C.F.R.
&#xA7; 112 Subpart R.

C. A farm is eligible for a qualified exemption and associated modified
requirements in a calendar year if:

   1. During the previous three-year period preceding the applicable calendar
   year, the average annual monetary value of the food, as defined in 21 C.F.R
   &#xA7; 112.3(c), the farm sold directly to qualified end-users, as defined in
   21 C.F.R. &#xA7; 112.3(c), during such period exceeded the average annual
   monetary value of the food the farm sold to all other buyers during that
   period; and

   2. The average annual monetary value of all food, as defined in 21 C.F.R.
   &#xA7; 112.3(c), the farm sold during the three-year period preceding the
   applicable calendar year was less than $500,000, adjusted for inflation, using
   2011 as the baseline year for calculating the adjustment for inflation.

D. If a farm is eligible for a qualified exemption in accordance with 21 C.F.R.
&#xA7; 112.5, the farm is subject to the requirements of 21 C.F.R. &#xA7; 112
Subparts A, O, Q, and R.

E. If a farm is eligible for a qualified exemption in accordance with 21 C.F.R.
&#xA7; 112.5, the farm is subject to the modified requirements established in 21
C.F.R. &#xA7; 112.6(b).

HISTORY: 2017, c. 574.