Top: Created by BioCycle via Canva

The Farm, Food, and National Security Act of 2026 (the 2026 Farm Bill) was passed by the House Agriculture Committee in early March, moving to the full House of Representatives for consideration. The legislation provides a significant shift in federal policy for the organics recycling industry. This bill, designated H.R. 7567, moves several critical waste and energy initiatives from experimental status into long-term frameworks. By extending authorizations through fiscal year 2031, the legislation offers the multi-year stability that large-scale infrastructure projects require.

Summary of Farm Bill Provisions

Legislative Permanence and Infrastructure

A central development in the 2026 draft is the formalization of the Composting and Food Waste Reduction program (CFWR). Section 10003 amends the Department of Agriculture Reorganization Act of 1994 by striking the term pilot from several headers. This signifies that the Secretary is now instructed to continue to implement a program that was previously considered a trial. CFWR grants awarded since 2020 have facilitated creation or expansion of food waste collection and composting infrastructure.

The scope of this permanent program now explicitly includes the construction of at-scale composting, food-to-feed, or anaerobic digestion food waste-to-energy projects. The inclusion of anaerobic digestion (AD) as a core activity is reinforced by the instruction to develop food waste-to-energy operations. This expansion acknowledges that food waste-to-energy recovery is a necessary component of the national waste management strategy. 

Research Priorities for Soil Health

The 2026 Farm Bill places a heavy emphasis on the scientific challenges currently facing the land application of biosolids, including biosolids compost. Section 7204 establishes a dedicated research initiative for microplastics and per- and polyfluoroalkyl substances, commonly known as PFAS, on farmland. This directive requires the USDA to conduct surveys and collect data on the concentration and chemical composition of these substances in land-applied biosolids.

The legislative language specifically mentions the need to investigate structural firefighting foam as a contaminant source. For those managing biosolids and compost, the most impactful part of this section is the call to develop or analyze techniques to filter out or biodegrade such substances from biosolids intended for agricultural use. This includes exploring the effectiveness of wastewater treatment and composting as remediation tools. The agency is also tasked with studying the uptake of these contaminants by various crops and livestock to better understand the fate and transport of PFAS in the soil.

Energy Title and Funding Limits

The Energy Title continues to be a primary source of capital for the AD sector through the Rural Energy for America Program, or REAP. Under Section 9007, the bill doubles the maximum amount for a loan guarantee from $25 million to $50 million. This increase is intended to facilitate the development of larger facilities needed to process municipal food waste and livestock manure.

The bill also introduces a requirement for project diversity in the selection of grant and loan guarantee applications. The Secretary must ensure that a wide range of technologies and approaches are assisted to the extent practicable. This provision ensures that federal support is not concentrated in a single technological category but instead encourages a variety of solutions across the energy and waste landscapes.

Biochar Research and Application

Biochar receives dedicated attention in two separate titles of the 2026 Farm Bill. Section 7204 establishes the Biochar Research initiative to test a full range of biochar types across various soil health and management conditions. The goal is to assess the carbon sequestration potential of different materials and understand how they can contribute to crop production and farm profitability. This initiative aims to deliver region-specific and cost-effective information to land managers and businesses on sustainable production.

In addition to research, Section 8434 authorizes the Biochar Application Demonstration Project. This program seeks to support the commercialization of biochar through partnerships between the USDA, the Department of the Interior, and the Department of Energy. To ensure these projects have a real-world impact, the bill requires that at least 50% of the feedstock used must come from forest thinning and management activities. These demonstration projects will be established in each region of the Forest Service and the Bureau of Land Management.

Supply Chain Resilience and Byproduct Utilization

Waste reduction strategies in H.R. 7567 are not limited to the end of the food cycle. The bill provides technical assistance to improve infrastructure in foreign and developing markets, with a specific focus on cold chain capacity. This is designed to prevent agricultural commodities from being damaged or lost due to deficiencies in refrigerated storage or transportation. The legislation also supports the growing movement for byproduct upcycling. Section 7204 establishes an Agricultural Byproducts Research initiative that funds the conversion of agricultural byproducts or forest residuals into valuable materials. This includes energy production through recycling animal byproducts, wet waste, and plant-based waste. The research priorities extend to creating production processes for easily deployable refining facilities and identifying alternatives to agricultural burning.

Administrative Accountability

The administrative role of the Food Loss and Waste Reduction Liaison is notably strengthened in this draft. Section 4304 amends the Department of Agriculture Reorganization Act of 1994 to require a detailed annual report to Congress. This report must include a general description of each project implemented and a detailed account of how the Secretary managed or will manage market disruption. The liaison is also required to summarize coordinated activities with the Administrator of the Environmental Protection Agency and the Commissioner of the Food and Drug Administration. This includes reporting on interagency communication regarding the promotion or exclusion of practices and technologies intended to limit food waste. Such coordination aims to align federal safety and labeling regulations with broader waste reduction objectives.

The 2026 Farm Bill (H.R. 7567) provides a clear path for the organics recycling sector to move from the periphery of federal policy into a more integrated role. By addressing the specific financial and scientific barriers facing AD and composting, the legislation recognizes these systems as essential infrastructure for the next decade. BioCycle will be tracking the legislative progression of the 2026 Farm Bill as it wends its way through Congress.