Overview

Title

To amend the Internal Revenue Code of 1986 to establish a new tax credit and grant program to stimulate investment and healthy nutrition options in food deserts, and for other purposes.

ELI5 AI

H.R. 7762 is a plan to help people get fresh and healthy food in places where it's hard to find by giving money and support to stores and food helpers. They want to make sure these places have better access to good food.

Summary AI

H.R. 7762, titled the “Healthy Food Access for All Americans Act,” aims to amend the Internal Revenue Code to encourage investment in food deserts by offering tax credits and grants. These incentives are for grocery stores and special access food providers such as food banks and temporary access merchants operating in areas without easy access to nutritious food. The bill outlines eligibility criteria and ensures these areas receive appropriate support and resources. It also mandates annual updates to the Food Access Research Atlas to reflect changes in food retailer presence in these regions.

Published

2024-03-20
Congress: 118
Session: 2
Chamber: HOUSE
Status: Introduced in House
Date: 2024-03-20
Package ID: BILLS-118hr7762ih

Bill Statistics

Size

Sections:
4
Words:
3,215
Pages:
16
Sentences:
56

Language

Nouns: 968
Verbs: 188
Adjectives: 221
Adverbs: 7
Numbers: 92
Entities: 100

Complexity

Average Token Length:
4.15
Average Sentence Length:
57.41
Token Entropy:
5.12
Readability (ARI):
30.27

AnalysisAI

The proposed legislation, titled the "Healthy Food Access for All Americans Act" (H.R. 7762), aims to enhance access to nutritious food options in areas identified as "food deserts" across the United States. The bill seeks to amend the Internal Revenue Code by establishing a tax credit and grant program for entities that facilitate food access in these regions.

General Summary of the Bill

The core objective of the bill is to incentivize investment in grocery stores, food banks, and mobile food markets within food deserts. It introduces a tax credit for grocery stores that set up operations in these areas and offers grants to food banks and temporary food providers. These financial incentives are contingent upon certification as a "special access food provider," which involves meeting specific criteria designed to ensure that these initiatives genuinely improve access to nutritious foods.

Significant Issues

One of the substantial issues with the bill's implementation lies in the definition and identification of "food deserts." The reliance on census tract data for determining these areas may not capture all regions that lack food access. This could result in misallocation of resources to areas that do not accurately represent the current needs of the community.

Another concern is the "open-ended" nature of the funding. The bill authorizes as much money as necessary to achieve its aims, which, without distinct budget constraints, poses a risk of unchecked federal spending.

The certification process for becoming a special access food provider might benefit larger entities with more resources, thereby disadvantaging smaller organizations that may need more support to participate effectively. Additionally, the overlap of tax credits and grants might lead to excessive benefits for certain entities if not properly monitored.

The recapture provisions, intended to enforce compliance with the program's requirements, lack clarity and specificity, potentially deterring eligible organizations from participation due to concerns about future liabilities.

Impact on the Public and Stakeholders

Broadly, if implemented effectively, the bill could significantly improve access to healthy food options in underserved communities, helping to combat food insecurity and improve public health outcomes. By providing financial incentives, the bill encourages the development of grocery stores and the establishment of food banks in critical areas, directly targeting the issue of food deserts.

For specific stakeholders, such as small grocery store owners or non-profit food banks, the bill presents both opportunities and challenges. The availability of credits and grants could lower the barriers to entering food desert markets. However, the potentially complex certification process and stringent criteria might present a significant hurdle to participation. Larger organizations with more administrative capacity might find it easier to navigate these processes and consequently could end up being the primary beneficiaries of the bill's provisions.

In summary, while the bill sets out with commendable objectives to address food insecurity, several implementation issues require careful consideration to ensure equitable distribution of resources and opportunities. Addressing the concerns related to the definition of food deserts, budget constraints, and the certification process will be critical to the successful realization of the bill's goals.

Issues

  • The section defining 'food desert' relies heavily on census tract data, which may not accurately represent current conditions or areas not covered by census tracts, potentially leading to misallocation of resources. (Section 2 and 45BB)

  • The bill authorizes such sums as may be necessary without clear budget constraints, which could lead to unchecked federal spending. (Section 2)

  • The complexity of the certification process for 'special access food providers' may favor larger, more established organizations, disadvantaging smaller or newer entities seeking to alleviate food deserts. (Section 2 and 45BB)

  • The provision allowing both a credit and a grant program could lead to overlapping benefits and excessive spending if not properly monitored. (Section 45BB)

  • The recapture provisions create potential enforcement issues as they lack specificity in terms of what constitutes an 'appropriate percentage' for recaptured benefits, which could deter participation. (Section 2 and 45BB)

  • Lack of specific guidelines or limits for the annual allocations and duration of grants to temporary access merchants might result in uneven distribution of funds or disproportionate advantages to certain entities. (Section 2 and 45BB)

  • The bill does not outline funding or resources allocated to support updates required for the Food Access Research Atlas, potentially leading to inadequate implementation or strain on existing resources. (Section 3)

  • The term 'temporary access merchant' is broadly defined, potentially including operations with minimal impact on food access in food deserts. (Section 2 and 45BB)

  • The provision not to consider a grant as gross income for tax purposes could be seen as preferential treatment without justification, raising fairness concerns. (Section 2 and 45BB)

Sections

Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.

1. Short title Read Opens in new tab

Summary AI

The first section of the act states that it will be known as the “Healthy Food Access for All Americans Act.”

2. Tax credit and grant program for Special Access Food Providers Read Opens in new tab

Summary AI

The section introduces a special tax credit and grant program for grocery stores, food banks, and mobile markets that operate in areas without enough access to food, known as "food deserts." It describes how qualified stores and food banks can receive financial support such as a tax credit or grant, provided they meet specific criteria, like being located in a food desert and offering healthy food options.

45BB. Special access food provider credit and grant program Read Opens in new tab

Summary AI

The section outlines a special program that offers tax credits and grants to grocery stores and food providers operating in areas known as "food deserts." The aim is to encourage grocery store development and food distribution in these regions, with specific requirements for eligibility and maintenance of benefits, including certification as a special access food provider and adherence to guidelines established by the Secretary of Agriculture.

3. Updates to Food Access Research Atlas Read Opens in new tab

Summary AI

The amendment to the Department of Agriculture Reorganization Act requires the Secretary of Agriculture to update the Food Access Research Atlas at least once each year. This update should include new food retailers that started operating during that year.