Senate Agriculture Committee Chairman John Boozman late Friday released a revised text of the upper chamber’s version of the farm bill, which includes language that would allow year-round sales of E15 and delays state cost-sharing requirements in the Supplemental Nutrition Assistance Program.
“This bill strengthens the future of agriculture, supports rural communities and provides farmers, ranchers and producers with indispensable resources and tools, all of which serve to ensure America’s food security for generations to come,” Boozman, an Arkansas Republican, said in a statement. “Members on both sides of the aisle will find their priorities reflected in this bill. It also responds to concerns that states need additional time to strengthen administration of SNAP benefits and reduce payment error rates with a commonsense solution.” Read the legislative text here.
The committee is scheduled to hold a markup of the bill on Thursday.
The House earlier this year passed stand-alone legislation to allow year-round sales of E15, but that measure was widely seen as unlikely to pass muster in the Senate amid opposition from refining-state lawmakers. The language in the proposed Senate farm bill would end and replace the existing process for granting small refinery exemptions (SRE) from Renewable Fuel Standard rules after 2027 and require EPA to resolve all outstanding SRE petitions by October 2028, Agri-Pulse reported, noting the SRE issue has been a major sticking point when it comes to moving E15 legislation forward. The bill sets up a new system for dealing with SRE exemptions.
Instead of small oil refineries having to apply every single year for an exemption, they would get a permanent discount based on how much oil they produced in the past. Refineries that produce an average of 75,000 barrels of oil per day or less can qualify for this break. If a refinery stops qualifying as a “small refinery” in 2028 or any year after, it loses this perk forever. There are no second chances to get the discount back in later years.
“We are extremely grateful that year-round E15 continues to be part of the conversation,” said National Corn Growers Association President Jed Bower. “This is a top priority for corn growers, who greatly need expanded sources of demand, like the kind year-round E15 would offer. We will continue to review the released text to evaluate its impact on corn growers and importance for agriculture.”
The bill requires states to contribute a percentage of the cost of SNAP benefits beginning in fiscal year 2029 if their payment error rate is 6% or greater. States with a payment error rate equal to or greater than 10% are required to pay 20% of the cost of SNAP benefits starting in fiscal year 2031. The bill pushes both requirements back by one year. Senate Democrats had been pushing for a two-year delay, arguing that states need more time.
Farm groups applauded progress toward a five-year farm bill.
“We’ve lost 200,000 farms in a decade, and a modernized farm bill will help stabilize the struggling farm economy,” said American Farm Bureau Federation President Zippy Duvall in a statement on Saturday. “We’re calling on the Senate Agriculture Committee to advance the bill out of markup and send it forward for full Senate passage and ultimately the president’s signature.”
Duvall said the bill includes important provisions beyond traditional farm bill program support, including authorizing the sale of E15 blended fuel year-round, expanded investments in specialty crops and measures to reduce input price volatility.
“America’s soybean farmers need the certainty that only a five-year farm bill can provide,” said American Soybean Association President Scott Metzger. “Chairman Boozman’s proposal includes important improvements that strengthen the farm safety net and invest in the long-term success of U.S. agriculture. We urge Congress to get a five-year farm bill across the finish line this year.”