Overview
The Ag BIO Act would establish a cost-share grant program for the development of pilot and demonstration scale biorefineries in the U.S. and clarify loan guarantee provisions under USDA’s existing Biorefinery, Renewable Chemical, and Biobased Products Manufacturing Assistance Program. The U.S. has a shortage of pre-commercial scale biorefineries, which entrepreneurs need to research, develop, and bring new bioproducts to market. The lack of access to this critical infrastructure forces American entrepreneurs to look offshore when scaling their operations, weakening U.S. competitiveness in the growing biomanufacturing marketplace.
Help support American innovation. Send a letter to your lawmakers today and urge them to include the Ag BIO Act in the Farm Bill!
What They Are Saying
Sen. Amy Klobuchar (D-MN)
Developing America’s biomanufacturing capabilities is good for our farmers and good for our economy. This legislation will strengthen the Biorefinery, Renewable Chemical, and Biobased Products Assistance program and will continue to create jobs and solidify America as a leading manufacturer of these products.
Rep. Nikki Budzinski (D-IL)
This grant program would help incentivize the creation of important infrastructure that we need in order to help our country become a leader in the bioprocessing field. From ethanol to animal feed to even textiles, bioprocessing will help bring American farmers into the future.
Rep. Derrick Van Orden (R-WI)
It's imperative that we are able as a country to not only feed our citizens, but we must fuel our economy, including our military. And having the ability to develop these technologies to a greater extent will do nothing but increase our ability to protect our nation.
Lloyd Ritter, Ag Energy Coalition
Biorefineries are the lifeblood of rural America in terms of driving manufacturing innovations, building new agriculture markets, and creating jobs and economic opportunity. Revitalizing this program will help build and expand facilities to produce everything from SAF to biobased products and renewable chemicals. That is an essential investment in the nation's energy and bioeconomy transformation and in a rural economic renaissance.
Ag Bioeconomy Coalition Spokesperson Robin Bowen
Our abundant agricultural feedstocks and highly advanced supply chains make the U.S. the natural home of a strong, vibrant biomanufacturing sector. We can lead the world in advanced bioproducts if we leverage our strengths and invest in our rural communities. This legislation will improve the scalability of American bioproducts and speed up bringing new innovations to market.
What are key benefits of the Ag BIO Act?
- Strengthen USDA’s Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance (9003) Program by updating the loan guarantee provisions to better support infrastructure development for biofuels, renewable chemicals, and biobased products.
- Re-establish a cost-share grant program to address the critical shortage of pre-commercial scale biorefineries in the U.S. and address the offshoring American bioproduct innovation.
- Remove bureaucratic barriers that inhibit program performance.
- Improve the scalability of American bioproducts to secure U.S. competitiveness in the growing, global biomanufacturing sector.
What does the Ag BIO Act do?
- Clarify the types of projects available for loan guarantees and expand eligible outputs to include renewable chemicals and biobased products, in addition to biofuels.
- Remove burdensome eligibility requirements for loan guarantees and allow the flexibility to waive a feasibility study for already commercially available technologies.
- For the cost-sharing grant program, require a technical and economic feasibility study and establish a priority scoring system to ensure that federal funding provides optimal benefits to the bioproduct market, agricultural producers, rural economic development, and U.S. national security.
Bill Details
Introduced by U.S. Senators Amy Klobuchar (D-MN) and Jerry Moran (R-KS) Read the Press Release
Introduced by U.S. Representatives Nikki Budzinski (D-IL-13) and Zach Nunn (R-IA-03) Read the Press Release
Current Cosponsors
- Rep. Angie Craig (D-MN-2)
- Rep. Sharice Davids (D-KS-3)
- Rep. Darin LaHood (R-IL-16)
- •Rep. Derrick Van Orden (R-WI-3)