Homegrown Fertilizer Act

#4148 | S Congress #119

Subjects:

Last Action: Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry. (3/19/2026)

Bill Text Source: Congress.gov

Summary and Impacts
Original Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4148 Introduced in Senate (IS)]

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119th CONGRESS
  2d Session
                                S. 4148

To direct the Secretary of Agriculture to provide grants and direct or 
guaranteed loans to increase domestic fertilizer production for United 
                            States farmers.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 19, 2026

 Ms. Klobuchar (for herself and Mr. Marshall) introduced the following 
      bill; which was read twice and referred to the Committee on 
                  Agriculture, Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL


 
To direct the Secretary of Agriculture to provide grants and direct or 
guaranteed loans to increase domestic fertilizer production for United 
                            States farmers.

    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 ``Homegrown Fertilizer Act''.

SEC. 2. FERTILIZER FOR AMERICAN FARMERS.

    (a) Definitions.--In this section:
            (1) Eligible entity.--The term ``eligible entity'' means an 
        entity eligible for a grant or loan under this section in 
        accordance with subsection (c).
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture, acting through the Under Secretary for Rural 
        Development.
            (3) State.--The term ``State'' means--
                    (A) the 50 States; and
                    (B) the District of Columbia.
            (4) United states.--The term ``United States'' means--
                    (A) the States;
                    (B) the territories of the United States; and
                    (C) the territory of Indian Tribes.
    (b) Grants and Loans.--The Secretary shall provide grants and 
direct or guaranteed loans to assist eligible entities in increasing or 
expanding the manufacturing, processing, and storage of fertilizer and 
nutrient alternatives in the United States.
    (c) Eligible Entities.--
            (1) In general.--To be eligible for a grant or loan under 
        this section, an entity shall be--
                    (A) an independently owned and operated--
                            (i) for-profit business or corporation;
                            (ii) nonprofit organization;
                            (iii) producer-owned cooperative or 
                        corporation; or
                            (iv) certified benefit corporation;
                    (B) an Indian Tribe or Tribal organization; or
                    (C) a State or local government.
            (2) Requirements.--To be eligible for a grant or loan under 
        this section, an entity described in paragraph (1) shall--
                    (A) be physically located within the United States;
                    (B) comply with all Federal, State, Tribal, and 
                local regulations governing fertilizer and nutrient 
                manufacturing, processing, storage, distribution, and 
                waste management; and
                    (C) certify to the Secretary that the entity does 
                not hold a market share (in manufacturing, processing, 
                or distribution) greater than or equal to the entity 
                that holds the fourth-largest share of that market for 
                nitrogen, phosphate, potash, or any combination of 
                thereof.
    (d) Priorities.--In awarding grants and loans under this section, 
the Secretary shall give priority to eligible entities that will use 
the grant or loan for a proposal for a project--
            (1) that will improve on fertilizer production methods and 
        efficient use technologies to promote innovation in 
        fertilizers, nutrient alternatives, and biostimulants;
            (2) the additional fertilizer or nutrient alternative 
        manufacturing, processing, or storage capacity created by which 
        will be dedicated to United States agricultural commodity 
        production; or
            (3) that demonstrates the project will improve competition, 
        increase options, and reduce prices or volatility of fertilizer 
        products or nutrient alternatives important for farmers.
    (e) Eligible Activities.--An eligible entity that receives a grant 
or loan under this section may use the grant or loan for--
            (1) building a new facility, buying an existing facility, 
        or purchasing land for a facility;
            (2) covering predevelopment costs, such as engineering and 
        other professional fees;
            (3) providing working capital to expand capacity or 
        increase outputs;
            (4) modernizing or expanding an existing facility, 
        including making updates to existing buildings or constructing 
        new buildings on site;
            (5) purchasing or modernizing processing and manufacturing 
        equipment;
            (6) developing, customizing, and installing equipment, 
        devices, and technology to improve processing functions, worker 
        conditions, or safety;
            (7) installing or updating equipment that reduces 
        emissions, increases fertilizer use efficiency, or improves air 
        and water quality;
            (8) ensuring legal compliance with packaging and labeling 
        requirements, such as sealing, boxing, labeling, and conveying;
            (9) confirming legal compliance with occupational and 
        safety regulations;
            (10) engaging in workforce recruitment, training, 
        apprenticeships, and retention to ensure expansion projects are 
        adequately staffed;
            (11) increasing domestic storage of fertilizer or nutrient 
        alternatives; and
            (12) such other activities as the Secretary determines to 
        be appropriate.
    (f) Grant Amount.--
            (1) In general.--The amount of a grant under this section 
        shall not exceed $100,000,000.
            (2) Matching funds.--An eligible entity that receives a 
        grant under this section shall provide non-Federal matching 
        funds in an amount that is equal to the amount of the grant.
    (g) Loan Terms and Conditions.--Except as otherwise provided in 
this section, the terms and conditions of a loan under this section 
shall be the same as the terms and conditions of a business and 
industry direct or guaranteed loan under section 310B(g) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1932(g)).
    (h) Duration.--
            (1) In general.--The Secretary may provide a grant or loan 
        under this section for a project that is not longer than 5 
        years.
            (2) Extension.--The Secretary may extend the period 
        described in paragraph (1) if the Secretary determines an 
        extension is appropriate.
    (i) Combination and Nonsupplantation of Other Funds.--
            (1) In general.--The Secretary shall use the amounts made 
        available to carry out this section to supplement, and not 
        supplant, funds provided under other Federal, State, or local 
        laws.
            (2) Coordination.--The Secretary shall coordinate with 
        other Federal agencies, such as the Department of Energy, and 
        State, regional, or local agencies to allow applicants under 
        this section to package proposals to be considered under 
        relevant authorities jointly.
    (j) Condition.--As a condition on receipt of a grant or loan under 
this section, the grant or loan recipient shall repay the grant or loan 
in full if any company or facility developed through the project using 
the grant or loan, or most or all of the assets of such company or 
facility, is sold, is transferred, or otherwise changes ownership, 
during the 10-year period beginning on the completion of the project, 
to an entity that holds a market share (in manufacturing, processing, 
or distribution) greater than or equal to the entity that holds the 
fourth-largest share of that market for nitrogen, phosphate, potash, or 
any combination of thereof.
    (k) Funding.--In addition to other available funds, the Secretary 
may use the authority under section 5 of the Commodity Credit 
Corporation Charter Act (15 U.S.C. 714c) to transfer such sums of the 
funds of the Commodity Credit Corporation from available borrowing 
authority as the Secretary determines to be appropriate to carry out 
this section.
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