S. 4842

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4842 Introduced in Senate (IS)]

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119th CONGRESS
2d Session
S. 4842

To amend the Agricultural Marketing Act of 1946 to permanently 
authorize the Resilient Food Systems Infrastructure Program, to 
establish regional food systems hubs, and for other purposes.

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

June 18, 2026

Mr. Schiff (for himself, Mrs. Hyde-Smith, Ms. Klobuchar, and Mr. 
Justice) introduced the following bill; which was read twice and 
referred to the Committee on Agriculture, Nutrition, and Forestry

_______________________________________________________________________

A BILL

To amend the Agricultural Marketing Act of 1946 to permanently 
authorize the Resilient Food Systems Infrastructure Program, to 
establish regional food systems hubs, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``American Food Supply Chain 
Resiliency Act''.

SEC. 2. FINDINGS.

Congress finds that--
(1) a secure domestic food supply is a national security 
imperative for the United States;
(2) a resilient food supply chain in the United States is 
necessary for the production of an abundant, affordable supply 
of highly nutritious specialty crops, dairy, grains for human 
consumption, meat and poultry, aquaculture, and other food 
products, which are vital to the health and well-being of all 
people in the United States; and
(3) expanded capacity for the aggregation, processing, 
manufacturing, storing, transporting, wholesaling, and 
distribution of locally and regionally produced food products, 
including specialty crops, dairy, grains for human consumption, 
meat and poultry, aquaculture, and other food products, is 
needed to increase domestic supply chain resiliency and expand 
local, regional, and national market opportunities for 
producers.

SEC. 3. RESILIENT FOOD SYSTEMS INFRASTRUCTURE PROGRAM.

Subtitle A of the Agricultural Marketing Act of 1946 (7 U.S.C. 1621 
et seq.) is amended by adding at the end the following:

``SEC. 210B. RESILIENT FOOD SYSTEMS INFRASTRUCTURE PROGRAM.

``(a) Definitions.--In this section:
``(1) Eligible entity.--The term `eligible entity' means--
``(A) a local government entity that carries out 
middle-of-the-supply-chain activities;
``(B) a Tribal government that carries out middle-
of-the-supply-chain activities;
``(C) an agricultural producer or processor, or 
group of agricultural producers or processors;
``(D) a nonprofit organization that carries out 
middle-of-the-supply-chain activities;
``(E) a for-profit entity--
``(i) that carries out middle-of-the-
supply-chain activities;
``(ii) that is a small business concern (as 
defined in section 3 of the Small Business Act 
(15 U.S.C. 632)); and
``(iii) the activities of which primarily 
benefit local and regional producers; and
``(F) an institution, such as an institution of 
higher education or hospital, in a partnership with 
agricultural producers to establish cooperative or 
shared infrastructure, or to invest in equipment, that 
will benefit middle-of-the-supply-chain activities of 
multiple producers.
``(2) Infrastructure grant.--The term `infrastructure 
grant' means a grant made by a State under subsection (e).
``(3) Middle-of-the-supply-chain activity.--The term 
`middle-of-the-supply-chain activity' means aggregation, 
processing, manufacturing, storing, transporting, wholesaling, 
or distribution of a targeted agricultural product.
``(4) Program.--The term `program' means the resilient food 
systems infrastructure program established under subsection 
(b).
``(5) Secretary.--The term `Secretary' means the Secretary 
of Agriculture, acting through the Administrator of the 
Agricultural Marketing Service.
``(6) Specialty crop.--The term `specialty crop' has the 
meaning given the term in section 3 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
108-465).
``(7) State.--The term `State' includes--
``(A) American Samoa;
``(B) the Commonwealth of the Northern Mariana 
Islands; and
``(C) the Commonwealth of Puerto Rico.
``(8) Targeted agricultural product.--
``(A) In general.--The term `targeted agricultural 
product' means--
``(i) a specialty crop;
``(ii) dairy;
``(iii) grain;
``(iv) meat;
``(v) poultry; and
``(vi) an aquacultural product.
``(B) Exclusions.--The term `targeted agricultural 
product' does not include--
``(i) animal feed;
``(ii) fuel;
``(iii) cotton;
``(iv) fiber; or
``(v) any other product not intended for 
human consumption.
``(9) Underserved producer.--The term `underserved 
producer' means--
``(A) a beginning farmer or rancher (as defined in 
section 2501(a) of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 2279(a)));
``(B) a veteran farmer or rancher (as defined in 
that section); and
``(C) a socially disadvantaged farmer or rancher 
(as defined in that section).
``(b) Establishment.--The Secretary shall establish a program, to 
be known as the `resilient food systems infrastructure program', under 
which the Secretary shall seek to enter into cooperative agreements 
with States--
``(1) to build resilience in the middle of the supply 
chain; and
``(2) to strengthen local and regional food systems by 
creating new revenue streams for producers in those States.
``(c) Application.--
``(1) In general.--A State seeking to enter into a 
cooperative agreement under the program shall submit an 
application at such time, in such manner, and containing such 
information as the Secretary may require, including a State 
plan described in paragraph (2).
``(2) State plan.--A State plan submitted as part of an 
application under paragraph (1) shall include--
``(A) the anticipated priorities and needs of the 
State in carrying out the cooperative agreement;
``(B) a plan for awarding infrastructure grants, 
including--
``(i) how the State will ensure that the 
purpose and priorities of the program are 
fulfilled; and
``(ii) how the State will ensure the 
prioritization described in subsection (e)(2);
``(C) whether and in what manner the State will use 
funds for supply chain coordination under subsection 
(f)(1);
``(D) a plan for conducting outreach required under 
subsection (g); and
``(E) metrics that will be tracked by the State in 
carrying out the cooperative agreement.
``(d) Cooperative Agreement Amounts.--
``(1) Value basis.--Subject to paragraph (2), the amount 
that a State shall receive under a cooperative agreement under 
the program for a fiscal year shall bear the same ratio to the 
total amount made available under subsection (j)(1) for that 
fiscal year as the ratio that the average of the most recent 
available value of the combined targeted agricultural product 
production in the State bears to the average of the most recent 
available value of the combined targeted agricultural product 
production in all States.
``(2) Minimum amount.--A cooperative agreement under the 
program shall provide not less than $1,000,000 to a State in a 
fiscal year.
``(e) Infrastructure Grants.--
``(1) In general.--A State entering into a cooperative 
agreement under the program shall award, on a competitive 
basis, grants to eligible entities for the purposes of--
``(A) expanding middle-of-the-supply-chain capacity 
for locally or regionally produced targeted 
agricultural products;
``(B) offering more and better market opportunities 
and new streams of revenue to small and mid-sized 
producers of locally or regionally produced targeted 
agricultural products; and
``(C) expanding capacity and infrastructure for 
middle-of-the-supply-chain activities.
``(2) Priority.--In awarding infrastructure grants under 
the program, a State shall give priority to projects that will 
benefit--
``(A) underserved producers;
``(B) processors and other middle-of-the-supply-
chain businesses owned by socially disadvantaged 
individuals (as defined in section 8 of the Small 
Business Act (15 U.S.C. 637)); and
``(C) institutions described in subsection 
(a)(1)(F);
``(D) retail markets; and
``(E) intermediaries in the food supply chain, such 
as food hubs, aggregators, wholesalers, and 
distributors.
``(3) Grant amount.--The amount of an infrastructure grant 
shall be not less than $100,000 and not more than $3,000,000.
``(4) Eligible uses.--An eligible entity may use an 
infrastructure grant--
``(A) to expand capacity for processing, 
aggregation, and distribution of targeted agricultural 
products to create improved local and regional markets 
for targeted agricultural products;
``(B) to modernize manufacturing, tracking, 
storage, and information technology systems;
``(C) to enhance worker safety through adoption of 
new technologies or investment in equipment or facility 
improvements;
``(D) to improve the capacity of the eligible 
entity to comply with Federal, State, and local food 
safety requirements;
``(E) to improve operations through training 
opportunities;
``(F) to support construction of a new facility;
``(G) to modernize or expand an existing facility, 
including expansion and modifications to existing 
buildings and construction of new buildings at existing 
facilities;
``(H) to construct wastewater management 
structures;
``(I) to modernize processing and manufacturing 
equipment;
``(J) to develop, customize, or install equipment 
that improves energy efficiency, increases efficiency 
in water use, and improves air or water quality; and
``(K) for such other purposes as the Secretary 
determines to be appropriate.
``(5) Simplified equipment-only projects.--
``(A) In general.--A State may award small 
infrastructure grants--
``(i) in an amount that is not less than 
$10,000 and not more than $100,000; and
``(ii) that are to be used solely for 
purchasing equipment.
``(B) Simplified application.--The Secretary shall 
establish a simplified application for small 
infrastructure grants awarded under subparagraph (A).
``(6) Domestic requirement.--An eligible entity shall not 
use an infrastructure grant for any facility or equipment that 
is not located in or will not be used in any State.
``(f) Other Uses of Cooperative Agreement Funds.--
``(1) Supply chain coordination.--Of the amount that a 
State receives under a cooperative agreement under the program 
for a fiscal year, the State may use not more than the lesser 
of 20 percent and $1,000,000 for activities to develop or 
enhance supply chain coordination in a manner that focuses on 
business support and market development to benefit local and 
regional food systems and contributes to the success and impact 
of the infrastructure grants awarded by the State.
``(2) Coordination and technical assistance.--A State may 
coordinate with a regional food systems hub established under 
section 210C(b) to complement any technical assistance.
``(3) Administrative costs.--Of the amount that a State 
receives under a cooperative agreement under the program for a 
fiscal year, not more than 8 percent may be used for 
administrative costs.
``(g) Outreach.--A State that enters into a cooperative agreement 
under the program shall conduct outreach to interested parties, 
including underserved producers, farm and food businesses in supply 
chains for locally and regionally produced targeted agricultural 
products, and regional communities--
``(1) prior to opening submission for applications for 
infrastructure grants; and
``(2) through a transparent process of receiving and 
considering public comment to identify State funding 
priorities.
``(h) Audit.--Each State that enters into a cooperative agreement 
under the program shall--
``(1) conduct an audit of the expenditures under that 
cooperative agreement for each fiscal year; and
``(2) submit the audit to the Secretary not later than 30 
days after the completion of the audit.
``(i) Performance Measures and Evaluation.--
``(1) Development.--The Secretary, in consultation with 
State departments of agriculture and stakeholders, shall 
develop performance measures to be used as the sole measures 
for evaluating the program.
``(2) Evaluation.--The Secretary, in consultation with 
State departments of agriculture, shall periodically evaluate 
the performance of the program.
``(3) Cooperative agreements.--The Secretary may enter into 
cooperative agreements--
``(A) to develop the performance measures under 
paragraph (1); or
``(B) to conduct the evaluation under paragraph 
(2).
``(j) Funding.--
``(1) Authorization of appropriations.--In addition to any 
other funds made available to carry out this section, there is 
authorized to be appropriated to the Secretary to carry out 
this section $200,000,000 for each of fiscal years 2027 through 
2031, to remain available until expended.
``(2) Administrative costs.--Of the funds made available to 
carry out this section for a fiscal year, the Secretary shall 
use not more than 3 percent for administrative expenses.''.

SEC. 4. REGIONAL FOOD SYSTEMS HUBS.

Subtitle A of the Agricultural Marketing Act of 1946 (7 U.S.C. 1621 
et seq.) (as amended by section 3) is amended by adding at the end the 
following:

``SEC. 210C. REGIONAL FOOD SYSTEMS HUBS.

``(a) Definitions.--In this section:
``(1) Beneficiary.--The term `beneficiary' means--
``(A) a farm, including a small and medium-sized 
farm;
``(B) an agribusiness; and
``(C) a food business.
``(2) Eligible entity.--The term `eligible entity' means--
``(A) a nonprofit organization;
``(B) an institution of higher education; and
``(C) a Tribal organization.
``(3) Hub.--The term `Hub' means a food systems hub 
established under subsection (b).
``(4) Secretary.--The term `Secretary' means the Secretary 
of Agriculture, acting through the Administrator of the 
Agricultural Marketing Service.
``(b) Establishment.--The Secretary shall enter into cooperative 
agreements with eligible entities, on a competitive basis, to 
establish--
``(1) not fewer than 10 regional food systems hubs, which 
shall collectively geographically cover all States, 
territories, and possessions of the United States; and
``(2) 1 intertribal food systems hub to provide assistance 
exclusively to Tribal producers and businesses nationally.
``(c) Purpose.--The purpose of a Hub is to provide localized 
assistance and market creation to beneficiaries to improve--
``(1) local and regional food supply chains and markets, 
including aggregation, distribution, and processing needs; and
``(2) local and regional food system economic development.
``(d) Activities.--
``(1) In general.--A Hub shall--
``(A) integrate the assistance and resources of the 
Department of Agriculture and other Federal agencies 
available to support beneficiaries;
``(B) provide direct business technical assistance 
to beneficiaries, including financial coaching, 
business planning, market development, succession 
planning, and accessing land and capital;
``(C) provide financial assistance to 
beneficiaries;
``(D) provide technical assistance to beneficiaries 
to create new, and expand or support existing, 
procurement opportunities from--
``(i) public agencies, including schools, 
child and senior centers, emergency food 
agencies participating in Department of 
Agriculture food programs, hospitals, 
correctional facilities, Department of Veterans 
Affairs hospitals, United States Armed Forces 
bases, food is medicine programs, and rural 
healthcare initiatives; and
``(ii) grocery retailers, aggregators, 
distributors, and other private institutions, 
such as institutions of higher education, 
prisons, and hospitals; and
``(E) carry out any other activities that 
facilitate the development of a resilient domestic food 
system, as determined by the Secretary.
``(2) Priorities.--A Hub shall prioritize providing 
services to--
``(A) beneficiaries that are owned or operated by, 
or partner with, underserved producers (as defined in 
section 210B(a)); and
``(B) recipients of assistance under other 
Department of Agriculture programs, including--
``(i) infrastructure grants (as defined in 
section 210B(a)) under the resilient food 
systems infrastructure program established 
under section 210B; and
``(ii) grants awarded directly to producers 
for the purpose of expanding markets.
``(3) Subawards.--
``(A) In general.--An eligible entity entering into 
a cooperative agreement under subsection (b) may 
provide subawards, including to contractors, to carry 
out the activities of the Hub established pursuant to 
the cooperative agreement.
``(B) Administrative costs.--An entity receiving a 
subaward under subparagraph (A) may use not more than 
20 percent for administrative costs.
``(e) Limitation on Administrative Costs.--Of the amount that an 
eligible entity receives under a cooperative agreement under subsection 
(b) for a fiscal year, not more than 20 percent may be used for 
administrative costs.
``(f) Consultation.--In providing assistance, a Hub shall consult 
with--
``(1) the Small Business Administration;
``(2) the Department of Commerce;
``(3) the Economic Development Administration;
``(4) the Farm Credit Administration; and
``(5) relevant stakeholders in each State, territory, or 
other area in which the Hub provides assistance, including--
``(A) State departments of agriculture;
``(B) economic development commissions;
``(C) small business development centers;
``(D) private investment entities;
``(E) philanthropic entities; and
``(F) other relevant financial entities, such as 
independent bankers and community development financial 
institutions.
``(g) Reports.--Each Hub shall submit to the Secretary an annual 
report describing the activities of the Hub, including--
``(1) as a direct result of the activities of the Hub--
``(A) the amount of increased sales by 
beneficiaries;
``(B) the number of new markets accessed, including 
the number of new purchasing agreements with schools, 
food service companies, independent grocery 
wholesalers, hospital systems, and other entities;
``(C) the number of new on-farm activities 
initiated, such as value-added production, agritourism, 
new crops, or new practices of beneficiaries, as 
applicable;
``(D) the number of new customers of beneficiaries; 
and
``(E) the number of new jobs offered by 
beneficiaries;
``(2) the barriers to market participation faced by 
beneficiaries and potential remedies; and
``(3) such other matters as the Secretary determines to be 
appropriate.
``(h) Authorization of Appropriations.--In addition to any other 
funds made available to carry out this section, there is authorized to 
be appropriated to the Secretary to carry out this section $75,000,000 
for each of fiscal years 2027 through 2031, to remain available until 
expended.''.
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