Biobased Market Expansion Act of 2025
- Bill Number
- S. 2693
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 1
- Policy Area
- Agriculture and Food
- Status
- Introduced
- Latest Action
- 2025-09-03: Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.
- Last Updated
- 2025-09-08T16:07:17Z
AI-Generated Summary
Purpose of the Legislation
The Biobased Market Expansion Act of 2025 aims to strengthen the federal government's promotion and purchase of biobased products—items made from renewable agricultural or forestry materials, like biofuels or bioplastics—by updating existing programs. It seeks to increase recognition of these products, expand their procurement by government agencies, and boost domestic (U.S.-based) production to support the agricultural economy and sustainability goals.
Key Provisions
- Procurement Requirements: Federal agencies must annually increase the number or volume of contracts dedicated exclusively to biobased products, building on existing goals.
- Price Preferences and Exemptions: Establishes price advantages for biobased products in bidding processes. Exemptions from buying biobased items apply only if they are unavailable, exceed price preferences, or fail to meet "Buy American" rules (which prioritize U.S.-made goods under federal procurement law).
- Promotion of U.S. Production: Guidelines must encourage biobased products made wholly or partially in the United States.
- Reporting and Transparency: Agencies must report to Congress on compliance, including barriers to meeting goals, reasons for failures, and unavailable product categories. Reports will be published online, and the Office of Federal Procurement Policy will verify compliance annually.
- Training and Implementation: Within two years, agencies must train contracting staff on biobased purchasing. The General Services Administration, with USDA input, must update federal procurement catalogs to highlight eligible biobased products.
- Labeling and Economic Reporting: Enhances USDA's biobased product labeling program by requiring reports on economic benefits to agriculture, geographic distribution of production facilities, and overall program value.
- Independent Review: Within two years, the Government Accountability Office (GAO) must report to Congress on program implementation, data adequacy, compliance, and recommendations for improvements, including ways to increase U.S.-made biobased procurement.
Significant Changes to Existing Law
This bill amends Section 9002 of the Farm Security and Rural Investment Act of 2002, which established the federal biobased markets program:
- Adds mandatory annual increases in biobased procurement targets, replacing static goals.
- Introduces new price preferences and explicit promotion of U.S.-produced biobased items, expanding beyond general sustainability guidelines.
- Enhances reporting by requiring details on barriers, failures, and unavailable products; previously, reports focused more on progress without such specifics.
- Mandates staff training and catalog updates, which were not previously required.
- Updates economic impact reporting to include facility locations and agricultural returns.
- Adds a GAO review subsection, introducing external oversight not present before.
- Aligns exemptions more closely with Buy American Act requirements for consistency in federal purchasing rules.
Potential Impacts
- On Government Agencies: Increases administrative workload for procurement training, reporting, and verification, potentially raising short-term costs but leading to more sustainable purchasing over time.
- On Citizens and Businesses: Boosts demand for biobased products, creating jobs in rural and agricultural areas through expanded domestic production. Farmers and manufacturers may see new market opportunities, while consumers could benefit from greener federal initiatives (e.g., in construction or vehicle fuels).
- On International Relations: Emphasizes U.S.-produced goods, which may reduce reliance on foreign imports for biobased materials, subtly supporting domestic trade policies without direct international mandates.
Main Stakeholders Affected
- Federal Procuring Agencies: Such as the Department of Defense, General Services Administration, and others responsible for government purchases; they face new compliance and training obligations.
- U.S. Department of Agriculture (USDA): Leads program administration, labeling, and guideline development; gains expanded role in promoting biobased markets.
- Agricultural Producers and Biobased Manufacturers: Farmers, biorefineries, and companies producing biobased items benefit from increased federal demand and labeling support.
- Contractors and Suppliers: Government vendors must adapt to biobased preferences, potentially gaining competitive edges if they produce qualifying U.S.-made products.
- Policymakers and Oversight Bodies: Congress and GAO will receive enhanced data for decision-making on sustainability and economic programs.
Notable Legal, Constitutional, or Political Implications
- Legal: Reinforces existing federal procurement laws like the Buy American Act by integrating biobased preferences, ensuring consistency without creating conflicts. The annual verification by the Office of Federal Procurement Policy adds enforceable accountability, potentially leading to more litigation if agencies fail to comply.
- Constitutional: No direct challenges; it operates within Congress's commerce clause authority to regulate federal spending and support agriculture, promoting environmental goals aligned with public welfare.
- Political: Supports bipartisan interests in rural economic development and green initiatives (introduced by Sens. Young and Padilla from different parties). It could influence future sustainability policies by providing data-driven recommendations, but implementation depends on agency funding and political will for enforcement.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (1)
Recent Actions
- 2025-09-03: Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.
- 2025-09-03: Introduced in Senate
Bill Versions
- Biobased Market Expansion Act of 2025 — issued 2025-09-03 — PDF (8 pages)