Community Wood Facilities Assistance Act of 2025
- Bill Number
- H.R. 2517
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Agriculture and Food
- Status
- Introduced
- Latest Action
- 2025-04-18: Referred to the Subcommittee on Forestry and Horticulture.
- Last Updated
- 2026-04-03T08:05:52Z
AI-Generated Summary
Purpose
The Community Wood Facilities Assistance Act of 2025 aims to strengthen federal support for community-based facilities that process forest biomass into wood products. It expands and enhances grant programs to promote sustainable forestry, rural economic development, and manufacturing of wood-based goods, building on existing laws to make assistance more accessible and effective.
Key Provisions
- Grant Program Enhancements (Amendments to Section 9013 of the Farm Security and Rural Investment Act of 2002):
- Renames the program from "Energy and Wood Innovation" to "Facilities Grant" and shifts focus to facilities using primarily forest biomass (organic material from forests, like wood residues) for processing or manufacturing.
- Increases the federal funding share for grants from 35% to 50% of project costs.
- Raises the maximum grant amount per project from $1.5 million to $5 million.
- Expands eligibility criteria to include market competitiveness (how well a project can succeed in the marketplace) alongside cost-effectiveness.
- Broadens allowable activities to cover construction, use, or retrofitting (upgrading) of facilities for forest products manufacturing, beyond just existing sawmills.
- Increases energy production thresholds for eligibility (e.g., from 5 megawatts to 15 megawatts of thermal energy) and raises the matching funds requirement from 25% to 50%.
- Authorizes $50 million annually for fiscal years 2026 through 2030 (up from $25 million for 2019–2023).
- Wood Innovations Program Updates (Amendments to Section 8643 of the Agriculture Improvement Act of 2018):
- Renames the subsection to "Expanding Forest Products Manufacturing" and pluralizes "innovation" to "innovations."
- Expands supported activities to include construction, use, or retrofitting for forest products manufacturing.
- Increases federal contribution to 50% of the amount for certain incentives.
Significant Changes to Existing Law
- Shifts emphasis from energy production and woody biomass innovation to broader support for community wood facilities and forest products manufacturing, removing limits on energy-specific uses and sawmill retrofitting.
- Removes outdated or restrictive paragraphs (e.g., certain eligibility details and funding caps) and redesignates others for clarity.
- Substantially boosts funding levels, grant caps, federal matching percentages, and project scales, making the programs more generous and flexible compared to prior authorizations.
Potential Impacts
- On Government Agencies: The U.S. Department of Agriculture (USDA), which administers these programs, will manage higher funding volumes and broader project types, potentially increasing administrative workload but enabling more rural investments.
- On Citizens: Rural communities, especially in forested areas, may see job creation and economic growth through new or upgraded wood processing facilities, supporting local employment in manufacturing and reducing reliance on imported wood products.
- On International Relations: Minimal direct impact, though promoting domestic wood utilization could indirectly strengthen U.S. forestry exports and reduce dependence on foreign timber markets.
- Overall, the act could enhance sustainable forest management by encouraging use of biomass residues, potentially reducing wildfire risks through better forest cleanup, while fostering environmental stewardship in rural economies.
Main Stakeholders Affected
- Community Wood Facilities and Businesses: Primary beneficiaries, gaining access to larger grants for building or improving operations in wood processing and manufacturing.
- Rural Residents and Workers: Likely to experience economic benefits, including jobs in forestry, manufacturing, and related sectors.
- Forestry and Environmental Groups: Involved in sustainable biomass sourcing; they may support or monitor implementation for ecological balance.
- USDA and Federal Agencies: Responsible for program oversight, funding allocation, and compliance.
- Taxpayers: Indirectly affected through increased federal spending on these grants.
Notable Legal, Constitutional, or Political Implications
- Legal: The amendments are straightforward updates to existing agricultural statutes, with no apparent conflicts; they enhance grant flexibility without altering core eligibility or oversight requirements, ensuring compliance with federal budgeting processes.
- Constitutional: No significant issues, as the bill operates within Congress's enumerated powers over agriculture, commerce, and spending (e.g., under Article I, Section 8), promoting interstate economic activity without infringing on states' rights.
- Political: Bipartisan sponsorship (from representatives across parties) signals broad support for rural development; it could influence future farm bills by prioritizing wood industries amid climate and energy policy debates, though funding levels may face scrutiny in budget negotiations.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Perez, Marie Gluesenkamp [D-WA-3]
Cosponsors (3)
Rep. Newhouse, Dan [R-WA-4], Rep. Pingree, Chellie [D-ME-1], Rep. Salinas, Andrea [D-OR-6]
Recent Actions
- 2025-04-18: Referred to the Subcommittee on Forestry and Horticulture.
- 2025-03-31: Referred to the Committee on Agriculture, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-03-31: Referred to the Committee on Agriculture, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-03-31: Introduced in House
- 2025-03-31: Introduced in House
Bill Versions
- Community Wood Facilities Assistance Act of 2025 — issued 2025-03-31 — PDF (4 pages)