Kelly, Schneider introduce bipartisan 'Brews to Barns Act' to support small breweries & local farmers, strengthen local supply chains

WASHINGTON, D.C. -- Today, U.S. Representatives Mike Kelly (R-PA), Chairman of the Ways and Means Subcommittee on Tax, and Brad Schneider (D-IL), a member of the Ways & Means Committee, introduced the bipartisan "Brews to Barns Act," legislation that would establish a credit against the excise tax on beer for small brewers that donate spent grain for local agricultural use.

Additional co-sponsors of the Brews to Barns Act include House Agriculture Committee Chairman Glenn "GT" Thompson (R-PA), House Small Brewers Caucus Co-Chair Marilyn Strickland (D-WA), and Representatives Jeff Hurd (R-CO), John Larson (D-CT), and Josh Riley (D-NY).

"At their cores, local breweries and farms are small businesses who play integral roles in our communities. The Brews to Barns Act incentivizes a collaborative effort between small breweries and local farmers to strengthen local supply chains. It's a win-win for everyone," said Rep. Mike Kelly (PA-16), a Co-Chair of the House Small Brewers Caucus.

"Everyone in America-from working families to Main Street businesses-is feeling the bite of rising costs. Among those hit hardest are craft beer brewers and local farmers, which is why I am glad to join my colleagues in this bipartisan effort to help lower costs and prevent waste," said Rep. Brad Schneider.

"Pennsylvania's farmers, ranchers, and brewers already know that good ingredients shouldn't go to waste," said Rep. Glenn Thompson (PA-15). "Across the Commonwealth, brewers continue to create partnerships with local farmers and ranchers to put their spent grain to use in agricultural production. The Brews to Barns Act will provide key incentives to build upon that relationship, helping lower input costs for producers while supporting local small businesses."

"This tax credit for donating spent grain will lower costs for small brewers, benefit our local farmers and ranchers, and keep spent grain out of our landfills" said Congresswoman Marilyn Strickland (WA-10), a Co-Chair of the House Small Brewers Caucus. "This bill is a common-sense way to lower the cost of doing business, while supporting small brewers that boost our local economies."

WHAT THEY'RE SAYING

"When we finish brewing a batch of beer, there's still plenty of nutrients in the grain that farmers can use to feed their livestock. Donating that grain to farmers is something we're proud to do, but it also takes time and resources. Craft brewers, like family farms, are constantly balancing rising costs, so this arrangement benefits both sides," said Jason Lavery, Co-Founder, Lavery Brewing Company in Erie, Pa. "The Brews to Barns Act would provide meaningful tax relief that we could reinvest directly into our brewery, helping us support our employees, upgrade equipment, and build a stronger business while continuing to support our local farmers."

"Small breweries have a long history of supporting their communities, and their relationships with local farmers are an important part of that. By donating spent grain for agricultural use, brewers help turn a byproduct of the brewing process into a valuable resource for farmers," said Bart Watson, President & CEO, Brewers Association. "The Brews to Barns Act recognizes the value of these longstanding partnerships and helps ensure they can continue to thrive. We appreciate Reps. Kelly and Schneider's leadership in supporting the connections between America's brewers and farmers."

You can find full bill text here.