,,ii #aaith ,,congress #b;d ,session ,s4 #dhdb ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,june #ah1 #bjbf,mr4 ,schiff 7for himself1 ,mrs4 ,hyde-,smith1 ,ms4 ,klobuchar1 and ,mr4 ,justice7 introduced the following bill2 which was read twice and referred to the ,committee on ,agriculture1 ,nutrition1 and ,forestry ,a ,,bill ,to amend the ,agricultural ,marketing ,act of #aidf to permanently authorize the ,resilient ,food ,systems ,infrastructure ,program1 to establish regional food systems hubs1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,american ,food ,supply ,chain ,resiliency ,act4 #b4 ,findings ,congress finds that-- 7#a7 a secure domestic food supply is a national security imperative for the ,united ,states2 7#b7 a resilient food supply chain in the ,united ,states is necessary for the production of an abundant1 affordable supply of highly nutritious specialty crops1 dairy1 grains for human consumption1 meat and poultry1 aquaculture1 and other food products1 which are vital to the health and well-being of all people in the ,united ,states2 and 7#c7 expanded capacity for the aggregation1 processing1 manufacturing1 storing1 transporting1 wholesaling1 and distribution of locally and regionally produced food products1 including specialty crops1 dairy1 grains for human consumption1 meat and poultry1 aquaculture1 and other food products1 is needed to increase domestic supply chain resiliency and expand local1 regional1 and national market opportunities for producers4 #c4 ,resilient food systems infrastructure program ,subtitle ,a of the ,agricultural ,marketing ,act of #aidf 7#g ,u4,s4,c4 #afba et seq47 is amended by adding at the end the following3 #baj;,b4 ,resilient food systems infrastructure program 7a7 ,definitions ,in this section3 7#a7 ,eligible entity ,the term eligible entity means-- 7,a7 a local government entity that carries out middle-of-the-supply-chain activities2 7,b7 a ,tribal government that carries out middle-of-the-supply-chain activities2 7,c7 an agricultural producer or processor1 or group of agricultural producers or processors2 7,d7 a nonprofit organization that carries out middle-of-the-supply-chain activities2 7,e7 a for-profit entity-- 7i7 that carries out middle-of-the-supply-chain activities2 7ii7 that is a small business concern 7as defined in section #c of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb772 and 7iii7 the activities of which primarily benefit local and regional producers2 and 7,f7 an institution1 such as an institution of higher education or hospital1 in a partnership with agricultural producers to establish cooperative or shared infrastructure1 or to invest in equipment1 that will benefit middle-of-the-supply-chain activities of multiple producers4 7#b7 ,infrastructure grant ,the term infrastructure grant means a grant made by a ,state under subsection 7e74 7#c7 ,middle-of-the-supply-chain activity ,the term middle-of-the-supply-chain activity means aggregation1 processing1 manufacturing1 storing1 transporting1 wholesaling1 or distribution of a targeted agricultural product4 7#d7 ,program ,the term program means the resilient food systems infrastructure program established under subsection 7b74 7#e7 ,secretary ,the term ,secretary means the ,secretary of ,agriculture1 acting through the ,administrator of the ,agricultural ,marketing ,service4 7#f7 ,specialty crop ,the term specialty crop has the meaning given the term in section #c of the ,specialty ,crops ,competitiveness ,act of #bjjd 7#g ,u4,s4,c4 #afba note2 ,public ,law #ajh-dfe74 7#g7 ,state ,the term ,state includes-- 7,a7 ,american ,samoa2 7,b7 the ,commonwealth of the ,northern ,mariana ,islands2 and 7,c7 the ,commonwealth of ,puerto ,rico4 7#h7 ,targeted agricultural product 7,a7 ,in general ,the term targeted agricultural product means-- 7i7 a specialty crop2 7ii7 dairy2 7iii7 grain2 7iv7 meat2 7v7 poultry2 and 7vi7 an aquacultural product4 7,b7 ,exclusions ,the term targeted agricultural product does not include-- 7i7 animal feed2 7ii7 fuel2 7iii7 cotton2 7iv7 fiber2 or 7v7 any other product not intended for human consumption4 7#i7 ,underserved producer ,the term underserved producer means-- 7,a7 a beginning farmer or rancher 7as defined in section #beja7;a7 of the ,food1 ,agriculture1 ,conservation1 and ,trade ,act of #aiij 7#g ,u4,s4,c4 #bbgi7;a7772 7,b7 a veteran farmer or rancher 7as defined in that section72 and 7,c7 a socially disadvantaged farmer or rancher 7as defined in that section74 7b7 ,establishment ,the ,secretary shall establish a program1 to be known as the resilient food systems infrastructure program1 under which the ,secretary shall seek to enter into cooperative agreements with ,states-- 7#a7 to build resilience in the middle of the supply chain2 and 7#b7 to strengthen local and regional food systems by creating new revenue streams for producers in those ,states4 7c7 ,application 7#a7 ,in general ,a ,state seeking to enter into a cooperative agreement under the program shall submit an application at such time1 in such manner1 and containing such information as the ,secretary may require1 including a ,state plan described in paragraph 7#b74 7#b7 ,state plan ,a ,state plan submitted as part of an application under paragraph 7#a7 shall include-- 7,a7 the anticipated priorities and needs of the ,state in carrying out the cooperative agreement2 7,b7 a plan for awarding infrastructure grants1 including-- 7i7 how the ,state will ensure that the purpose and priorities of the program are fulfilled2 and 7ii7 how the ,state will ensure the prioritization described in subsection 7e77#b72 7,c7 whether and in what manner the ,state will use funds for supply chain coordination under subsection 7f77#a72 7,d7 a plan for conducting outreach required under subsection 7g72 and 7,e7 metrics that will be tracked by the ,state in carrying out the cooperative agreement4 7d7 ,cooperative agreement amounts 7#a7 ,value basis ,subject to paragraph 7#b71 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 7j77#a7 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 ,states4 7#b7 ,minimum amount ,a cooperative agreement under the program shall provide not less than #a1jjj1jjj to a ,state in a fiscal year4 7e7 ,infrastructure grants 7#a7 ,in general ,a ,state entering into a cooperative agreement under the program shall award1 on a competitive basis1 grants to eligible entities for the purposes of-- 7,a7 expanding middle-of-the-supply-chain capacity for locally or regionally produced targeted agricultural products2 7,b7 offering more and better market opportunities and new streams of revenue to small and mid-sized producers of locally or regionally produced targeted agricultural products2 and 7,c7 expanding capacity and infrastructure for middle-of-the-supply-chain activities4 7#b7 ,priority ,in awarding infrastructure grants under the program1 a ,state shall give priority to projects that will benefit-- 7,a7 underserved producers2 7,b7 processors and other middle-of-the-supply-chain businesses owned by socially disadvantaged individuals 7as defined in section #h of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcg772 and 7,c7 institutions described in subsection 7a77#a77;,f72 7,d7 retail markets2 and 7,e7 intermediaries in the food supply chain1 such as food hubs1 aggregators1 wholesalers1 and distributors4 7#c7 ,grant amount ,the amount of an infrastructure grant shall be not less than #ajj1jjj and not more than #c1jjj1jjj4 7#d7 ,eligible uses ,an eligible entity may use an infrastructure grant-- 7,a7 to expand capacity for processing1 aggregation1 and distribution of targeted agricultural products to create improved local and regional markets for targeted agricultural products2 7,b7 to modernize manufacturing1 tracking1 storage1 and information technology systems2 7,c7 to enhance worker safety through adoption of new technologies or investment in equipment or facility improvements2 7,d7 to improve the capacity of the eligible entity to comply with ,federal1 ,state1 and local food safety requirements2 7,e7 to improve operations through training opportunities2 7,f7 to support construction of a new facility2 7,g7 to modernize or expand an existing facility1 including expansion and modifications to existing buildings and construction of new buildings at existing facilities2 7,h7 to construct wastewater management structures2 7,i7 to modernize processing and manufacturing equipment2 7,j7 to develop1 customize1 or install equipment that improves energy efficiency1 increases efficiency in water use1 and improves air or water quality2 and 7,k7 for such other purposes as the ,secretary determines to be appropriate4 7#e7 ,simplified equipment-only projects 7,a7 ,in general ,a ,state may award small infrastructure grants-- 7i7 in an amount that is not less than #aj1jjj and not more than #ajj1jjj2 and 7ii7 that are to be used solely for purchasing equipment4 7,b7 ,simplified application ,the ,secretary shall establish a simplified application for small infrastructure grants awarded under subparagraph 7,a74 7#f7 ,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 ,state4 7f7 ,other uses of cooperative agreement funds 7#a7 ,supply chain coordination ,of the amount that a ,state receives under a cooperative agreement under the program for a fiscal year1 the ,state may use not more than the lesser of #bj percent and #a1jjj1jjj 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 ,state4 7#b7 ,coordination and technical assistance ,a ,state may coordinate with a regional food systems hub established under section #baj;,c7b7 to complement any technical assistance4 7#c7 ,administrative costs ,of the amount that a ,state receives under a cooperative agreement under the program for a fiscal year1 not more than #h percent may be used for administrative costs4 7g7 ,outreach ,a ,state that enters into a cooperative agreement under the program shall conduct outreach to interested parties1 including underserved producers1 farm and food businesses in supply chains for locally and regionally produced targeted agricultural products1 and regional communities-- 7#a7 prior to opening submission for applications for infrastructure grants2 and 7#b7 through a transparent process of receiving and considering public comment to identify ,state funding priorities4 7h7 ,audit ,each ,state that enters into a cooperative agreement under the program shall-- 7#a7 conduct an audit of the expenditures under that cooperative agreement for each fiscal year2 and 7#b7 submit the audit to the ,secretary not later than #cj days after the completion of the audit4 7i7 ,performance measures and evaluation 7#a7 ,development ,the ,secretary1 in consultation with ,state departments of agriculture and stakeholders1 shall develop performance measures to be used as the sole measures for evaluating the program4 7#b7 ,evaluation ,the ,secretary1 in consultation with ,state departments of agriculture1 shall periodically evaluate the performance of the program4 7#c7 ,cooperative agreements ,the ,secretary may enter into cooperative agreements-- 7,a7 to develop the performance measures under paragraph 7#a72 or 7,b7 to conduct the evaluation under paragraph 7#b74 7j7 ,funding 7#a7 ,authorization of appropriations ,in addition to any other funds made available to carry out this section1 there is authorized to be appropriated to the ,secretary to carry out this section #bjj1jjj1jjj for each of fiscal years #bjbg through #bjca1 to remain available until expended4 7#b7 ,administrative costs ,of the funds made available to carry out this section for a fiscal year1 the ,secretary shall use not more than #c percent for administrative expenses4 4 #d4 ,regional food systems hubs ,subtitle ,a of the ,agricultural ,marketing ,act of #aidf 7#g ,u4,s4,c4 #afba et seq47 7as amended by section #c7 is amended by adding at the end the following3 #baj;,c4 ,regional food systems hubs 7a7 ,definitions ,in this section3 7#a7 ,beneficiary ,the term beneficiary means-- 7,a7 a farm1 including a small and medium-sized farm2 7,b7 an agribusiness2 and 7,c7 a food business4 7#b7 ,eligible entity ,the term eligible entity means-- 7,a7 a nonprofit organization2 7,b7 an institution of higher education2 and 7,c7 a ,tribal organization4 7#c7 ,hub ,the term ,hub means a food systems hub established under subsection 7b74 7#d7 ,secretary ,the term ,secretary means the ,secretary of ,agriculture1 acting through the ,administrator of the ,agricultural ,marketing ,service4 7b7 ,establishment ,the ,secretary shall enter into cooperative agreements with eligible entities1 on a competitive basis1 to establish-- 7#a7 not fewer than #aj regional food systems hubs1 which shall collectively geographically cover all ,states1 territories1 and possessions of the ,united ,states2 and 7#b7 #a intertribal food systems hub to provide assistance exclusively to ,tribal producers and businesses nationally4 7c7 ,purpose ,the purpose of a ,hub is to provide localized assistance and market creation to beneficiaries to improve-- 7#a7 local and regional food supply chains and markets1 including aggregation1 distribution1 and processing needs2 and 7#b7 local and regional food system economic development4 7d7 ,activities 7#a7 ,in general ,a ,hub shall-- 7,a7 integrate the assistance and resources of the ,department of ,agriculture and other ,federal agencies available to support beneficiaries2 7,b7 provide direct business technical assistance to beneficiaries1 including financial coaching1 business planning1 market development1 succession planning1 and accessing land and capital2 7,c7 provide financial assistance to beneficiaries2 7,d7 provide technical assistance to beneficiaries to create new1 and expand or support existing1 procurement opportunities from-- 7i7 public agencies1 including schools1 child and senior centers1 emergency food agencies participating in ,department of ,agriculture food programs1 hospitals1 correctional facilities1 ,department of ,veterans ,affairs hospitals1 ,united ,states ,armed ,forces bases1 food is medicine programs1 and rural healthcare initiatives2 and 7ii7 grocery retailers1 aggregators1 distributors1 and other private institutions1 such as institutions of higher education1 prisons1 and hospitals2 and 7,e7 carry out any other activities that facilitate the development of a resilient domestic food system1 as determined by the ,secretary4 7#b7 ,priorities ,a ,hub shall prioritize providing services to-- 7,a7 beneficiaries that are owned or operated by1 or partner with1 underserved producers 7as defined in section #baj;,b7a772 and 7,b7 recipients of assistance under other ,department of ,agriculture programs1 including-- 7i7 infrastructure grants 7as defined in section #baj;,b7a77 under the resilient food systems infrastructure program established under section #baj;,b2 and 7ii7 grants awarded directly to producers for the purpose of expanding markets4 7#c7 ,subawards 7,a7 ,in general ,an eligible entity entering into a cooperative agreement under subsection 7b7 may provide subawards1 including to contractors1 to carry out the activities of the ,hub established pursuant to the cooperative agreement4 7,b7 ,administrative costs ,an entity receiving a subaward under subparagraph 7,a7 may use not more than #bj percent for administrative costs4 7e7 ,limitation on administrative costs ,of the amount that an eligible entity receives under a cooperative agreement under subsection 7b7 for a fiscal year1 not more than #bj percent may be used for administrative costs4 7f7 ,consultation ,in providing assistance1 a ,hub shall consult with-- 7#a7 the ,small ,business ,administration2 7#b7 the ,department of ,commerce2 7#c7 the ,economic ,development ,administration2 7#d7 the ,farm ,credit ,administration2 and 7#e7 relevant stakeholders in each ,state1 territory1 or other area in which the ,hub provides assistance1 including-- 7,a7 ,state departments of agriculture2 7,b7 economic development commissions2 7,c7 small business development centers2 7,d7 private investment entities2 7,e7 philanthropic entities2 and 7,f7 other relevant financial entities1 such as independent bankers and community development financial institutions4 7g7 ,reports ,each ,hub shall submit to the ,secretary an annual report describing the activities of the ,hub1 including-- 7#a7 as a direct result of the activities of the ,hub-- 7,a7 the amount of increased sales by beneficiaries2 7,b7 the number of new markets accessed1 including the number of new purchasing agreements with schools1 food service companies1 independent grocery wholesalers1 hospital systems1 and other entities2 7,c7 the number of new on-farm activities initiated1 such as value-added production1 agritourism1 new crops1 or new practices of beneficiaries1 as applicable2 7,d7 the number of new customers of beneficiaries2 and 7,e7 the number of new jobs offered by beneficiaries2 7#b7 the barriers to market participation faced by beneficiaries and potential remedies2 and 7#c7 such other matters as the ,secretary determines to be appropriate4 7h7 ,authorization of appropriations ,in addition to any other funds made available to carry out this section1 there is authorized to be appropriated to the ,secretary to carry out this section #ge1jjj1jjj for each of fiscal years #bjbg through #bjca1 to remain available until expended4 4