The only obvious solution I can think of is every human having a piece of land big enough to support a small farm enough to feed the whole family.
A cow, a goat, chickens, sheep, whatever you want, managed by the family, free range, decent life before being slaughtered.
That seems like it would fit those benchmarks quite well.
It's how it was done in the past, people were self-sufficient when it came to food. Big agriculture companies could provide food for the people and these animals, so they would still exist and be profitable.
The problem is that land is limited, and spreading out would just result in extremely inefficient fuel usage, with all the pollution that entails.
Plus, some would say it would be a pretty inefficient use of man hours, although I think it would be a better, more "natural" life for humans, as well.