Sam Diaz | 7-minute read
This post is continuously updated as the DLCD rulemaking process takes place.
Update: On July 25, DLCD, on behalf of Governor Kotek, announced it is pausing the rulemaking process on farm stands. Read their statement here.
Agriculture is one of Oregon’s backbone economies, and family farms are the pride of this state’s agricultural community. Farming and ranching is the No. 2 industry in the state, providing 7 percent of Oregon's jobs and bringing in $42 billion in total value. That’s why it’s important that we protect Oregon’s farm land for farming–so farmers and ranchers can continue to produce the food we love while also being an economic engine for Oregon. And Oregon's land use laws do just that.
Farm stands are an option for farmers to connect with the community through direct sales from the farm property. The state’s land use agency, the Department of Land Conservation and Development (DLCD), is undergoing a process to clarify what types of activities are allowed under a farm stand permit in Oregon. The process is policy-heavy and the current rules are vague.
DLCD appointed a diverse advisory committee, including farmers, local officials, farm stand operators, agricultural and land use organizations, and more to advise it. The meetings were open to the public. Much of the discussion was about the need to define existing terms and clarify processes to better protect surrounding farms while allowing certain activities. And some wanted to open up the farm stand regulations to allow many of the uses now allowed in the agritourism statute — but without the protections for surrounding farms and ranches.
Here is our breakdown of what the proposed rules were suggesting before the July 25 pause.
The bottom line
The proposed rule revisions aim to clearly state what permits farmers would need for certain activities, or if they need one at all.
The proposed rule revisions apply only to new farm stand permits.
DLCD is not proposing any new permits or fees, just clarifying what does and does not need a permit.
DLCD is not proposing to ban farm stands or any agritourism activities that are already allowed on farmland.
1000 Friends did not request changing any existing rules related to farm stands and agritourism. The current rulemaking process, now paused, was initiated by some members of the legislature and the governor’s office after a bill from the last session, HB 3133, failed. We are not drafting or writing any rules or proposals. We are part of the Rules Advisory Committee (RAC), alongside 22 others, to help make recommendations to DLCD.
What's currently allowed on farm land: farm use vs. farm stand vs. agritourism and why it matters
Oregon's land use laws allow a variety of uses on farm land. Smaller scale uses related to farming – like u-picks, community supported agriculture, pumpkin patches, educational tours – are generally allowed without a permit. But larger uses, including those not related to farming, do require a permit to make sure they do not interfere with surrounding farm and forest operations, and to ensure the health and safety of those participating in those activities.
Farm use: The following are just some of the activities allowed on farm land, no permit needed: growing crops, selling crops, U-picks, Christmas tree sales and U-cuts, CSAs, and free educational tours. These activities, and other activities listed under farm use statute, would be unaffected by the draft rule changes. (See page 1 of the DLCD draft proposal, in red text).
Farm stand: Farm stands are a way for farmers to sell their products directly to the public without the need for going through a third party like a grocery store or a restaurant. Farmers need a permit to build a structure to house their products and host certain events in or around it. Things like farm-to-table dinners, educational events that charge a fee, corn mazes, animal exhibits, hay rides, food prep demonstrations, and selling retail items unrelated to the farm or that farm's products require a farm stand permit.
Agritourism: Larger, tourism-focused activites are generally allowed on farm land but need a permit subject to conditions. These agritourism activities often have little or nothing to do with farming, other than that they are occurring on farm land, and that is why the Oregon legislature requires farms that want to host them conduct a Good Neighbor assessment to consider the impacts on surrounding farms and ranches. Activities like concerts, harvest festivals, and weddings need an agritourism permit.
The conditions for these activities usually limit the number of people and/or cars, the frequency of the events, and the duration and noise level so as not to interfere with moving farm equipment, harvesting operations, livestock, and other common farm practices in the area. The conditions also ensure health and safety practices are in place for event attendees, like outhouses, more than one way in and out of a site, emergency medical and fire response onsite, etc
Farm use, farm stand, and agritourism statutes exist to ensure activities on exclusive farm use land remain related to agriculture, and that the nonfarm uses allowed do not negatively impact surrounding farm operations. Agricultural land is also taxed at a lower rate than commercial or residential in order to make farming more accessible for farmers. Nonfarm commercial operations should not qualify for the tax breaks that farms do.
Why do the rules need to be clarified? Who is asking for this process?
Because it is currently unclear which type of permit is appropriate for what type of activity, county planners from around Oregon came to the Land Conservation and Development Commission (LCDC) in 2023 asking for clarification of these many provisions for agritourism. LCDC adopted some minor clarifications in December 2024 – but many questions remain.
In 2025, a bill was introduced in the Oregon legislature that would have vastly expanded the types of nonfarm activities that could occur at farm stands, as well as removing the current cap on the sale of nonfarm items. In response, the governor helped bring together a legislative working group to address the issue. That group referred the matter to the LCDC to address. While farm stands were not part of the agency’s five-year work plan, it agreed to take up the issue at the 2025 Legislature’s request.
What happened with the DLCD rulemaking before the July 25 pause?
DLCD is now working with a Rules Advisory Committee (RAC) composed of farmers, county planners, property rights activists, tourism representatives, state agencies and land use activists to review Oregon’s regulations around farm stands. The department’s proposed rules maintain the existing statutory definition of farm stands, i.e., structures designed for the sale of farm crops and livestock grown on the farm and other farms in the area. The proposed rules also make no changes to existing legal limits on the quantity of incidental retail sales and promotional activities allowed at farm stands. Instead, the proposed rules suggest clearer definitions to help distinguish between what’s allowed at a farm stand and what is considered an agritourism event. Specifically, the department’s draft rules propose:
- Incidental items must have a direct relationship to the farm’s goods. Selling a T-shirt with your farm’s logo on it, or a pumpkin-carving kit on your pumpkin patch? You’re good to go. Selling Italian pasta, imported pottery, or random trinkets? That’s not a farm stand. See page 3 of the DLCD draft proposal, in red text.
- Promotional activities at farm stands should encourage the sale of farm goods or livestock. Events like fundraisers, dinners, or concerts can be great ways to connect people to farmland, and they are allowed under existing agritourism or commercial event permits – but they aren’t considered farm stand activities. The rule changes simply clarify which permits are needed for these types of events. See pages 3-4 lf the DLCD draft proposal, under "The relationship between promotional activities and farm stand products."
- Local agricultural area: The farm stand statute authorizes farm stands to sell crops and livestock grown in the local agricultural area. DLCD’s existing and proposed rules expand the definition of local agricultural area to the entire state of Oregon plus counties in bordering states. See page 2 of the DLCD draft proposal.
If adopted, would these rules create new fees or endanger agritourism?
No. Farm use activities like U-pick berries, pumpkin patches, and educational tours have always been allowed in exclusive farm use zones and will not require additional permitting to keep operating under DLCD’s proposed rules. The rules also wouldn't change what’s required for commercial events or agritourism activities that already need a separate permit.
The proposed rule revisions apply only to new farm stand permits. That is, when a farm operator wants to build a structure in the EFU zone in order to sell farm crops and livestock that are produced on that farm and other area farms, the revised rules would apply. If a farm wants to expand their offerings to include activities they don't already provide, they may need a new permit.
Maintaining the balance
While 1000 Friends did not request any changes to the existing farm stand permit rules, we participated in the RAC to provide feedback that would ensure farmers can run their operations while maintaining the integrity of exclusive farm use land. The proposed rule revisions flesh out what is clearly allowed at farm stands and what requires an agritourism permit. They also aim to protect farmers from inappropriate commercial development under the guise of a farm stand permit. Farmers who want to make their living just farming should be able to operate their farms without the threat of sprawl and unlimited commercial activities next door. Farmers who want to operate farm stands or conduct agritourism activities would still be able to do so under the proper permits.
The rulemaking process aims to protect the integrity of Oregon’s farmland while ensuring farmers can keep doing what they do best: growing food, welcoming and educating visitors, and sustaining our rural communities for generations to come.