# The Strengthening Local Processing Act of 2021

This bill is designed to help small meat and poultry processing businesses get established and stay competitive. Think of it as a support package for local butchers, small slaughterhouses, and processing facilities that want to serve their communities but face big obstacles in getting started and staying compliant with federal regulations.

The bill tackles several practical problems these small businesses face. First, it requires the federal government to create free online resources that small processors can actually use—things like a searchable database of scientific studies they can reference when developing their safety plans, and ready-made templates for safety procedures tailored to their size and type of operation. Right now, small processors often have to hire expensive consultants to figure out complex federal requirements. This bill gives them free tools to do it themselves. The government also has to publish clear guidance documents explaining exactly what small processors need to do to meet federal standards, which currently isn't spelled out in an accessible way.

The bill also opens the door for small processors to sell across state lines more easily through something called the Cooperative Interstate Shipment program. It raises the employee threshold from 25 to 50 workers for certain operations, meaning more small businesses qualify for this program. It also increases the federal government's share of funding for state inspection programs from 50 percent to 65 percent, which helps states afford to inspect more small facilities. Additionally, the bill requires the federal government to actively recruit states that don't currently participate in the interstate shipment program, expanding access for small producers who want to reach customers beyond their home state.

The bill creates a major grant program—$10 million per year guaranteed funding plus up to $15 million more if Congress appropriates it—to help small processors with real costs. Businesses can get up to $500,000 to buy equipment, build facilities, develop safety plans, purchase COVID-related supplies like protective equipment and sanitation systems, or even conduct feasibility studies for new processing facilities. Importantly, for grants up to $100,000, the government covers 90 percent of costs with no local match required in 2021 and 2022, making it genuinely accessible to small operators. The bill also prioritizes grants for minority-owned businesses and facilities that would bring processing options within 200 miles of farmers and ranchers who currently have to travel far to process their animals.

Finally, the bill funds training programs—$10 million per year—to help colleges and technical schools teach meat and poultry processing skills, and it helps small processors offset the cost of training new workers. This addresses a real shortage of skilled workers in the processing industry.

Overall, this bill aims to decentralize meat and poultry processing away from a handful of massive facilities and support a network of smaller, local operations. For farmers and ranchers, it means more options for processing their animals locally. For consumers, it could mean more access to locally-processed meat products. For small business owners, it removes some of the regulatory and financial barriers that have made it nearly impossible to compete with industrial-scale processors.

Strengthening Local Processing Act of 2021

Pingree, Chellie

Strengthening Local Processing Act of 2021 This bill revises provisions related to meat and poultry processing establishments, including smaller establishments (i.e., those with between 10 and 500 employees) and very small establishments (i.e., those with fewer than 10 employees or annual sales of less than $2.5 million). For example, the Department of Agriculture (USDA) must establish a searchable database of peer-reviewed validation studies for use in developing Hazard Analysis and Critical Control Points plans for smaller and very small establishments. The bill increases the maximum federal cost share from 50% to 65% that USDA may provide to assist states in creating meat and poultry inspection programs. Additionally, USDA must conduct outreach with states that have meat and poultry inspection programs, but that do not have Cooperative Interstate Shipment programs. The Cooperative Interstate Shipment program allows state-inspected facilities to operate as federally-inspected facilities and ship their products in interstate commerce and internationally. USDA must also award competitive grants for activities to adapt production, processing, distribution, and sales systems to respond to and recover from the effects of the COVID-19 pandemic, including activities that support (1) the health and safety of meat and poultry plant employees, suppliers, and customers; (2) increased processing capacity; and (3) the resilience of the small meat and poultry processing sector. Further, the bill establishes grant programs to (1) establish or expand career training programs at community colleges, vocational schools, and universities related to meat and poultry processing; and (2) support smaller and very small establishments by offsetting the cost of training new meat and poultry processors.