American Rescue Plan Act gives industry new resources, United Fresh says

More help is on the way.

Congress has passed a new COVD-19 relief package, with President Biden signing the American Rescue Plan Act of 2021 into law on March 11.

According to a member update from the United Fresh Produce Association, the legislation builds on previous COVID related bills including the CARES Act which passed in March 2020 and December’s COVID relief bill. 

Notably for the industry, United Fresh said the American Rescue Plan Act:

• Increases fruit and vegetable benefits in the Women Infants and Children program food package to $35 per month for four months. The increase, according to United Fresh, should be the first step in permanently raising the WIC produce benefit levels as recommended by the Academies of Science, Engineering and Medicine;
• Boosts Supplemental Nutrition Assistance Program payments by 15% and provides Pandemic Electronic Benefit Transfer payments (P-EBT) to school-age children to replace meals they would be getting at school and through the summer;
• Provides $4 billion for food and agriculture supply chain in the form of purchasing and distributing commodities – specifically fresh fruits and vegetables – along with providing grants and loans to the agriculture supply chain to respond to COVID-19 and make loans and grants to help improve the food and agriculture supply chain resiliency; and
• The bill also contains the Restaurant Recovery Act which includes $25 billion in grant funding for restaurants to use for past expenses including account receivable debts, along with re-opening cost.

Congress and the administration are stepping up to give the country critical resources to address COVID-19 challenges, Robert Guenther, senior vice president of public policy for United Fresh, said in a statement.  “Not only is it important that the fresh produce industry is recognized again in this legislation, but it underscores that additional resources are still needed to ensure that the produce industry comes out of this pandemic stronger and more vibrant,” Guenther said in the statement. “In addition, this bill includes important resources that will help our nation’s frontline workers, including those farmworkers who are critical in our industry with vaccine access. United Fresh applauds those Members of Congress who supported this legislation and look forward to President Biden signing this into law.”

Cathy Burns, CEO of the Produce Marketing Association, also applauded the legislation. “The Act provides essential funding that continues to support our growers, marketers and consumers through important nutrition assistance, USDA purchase programs, and tax provisions,” Burns said in a statement. “We are especially gratified to see the inclusion of $28.6 billion for grants to restaurants – a key sector for the produce industry and the overall economy.  We urge the prompt implementation by the Small Business Administration.”  

Rep. Jim Costa, D-Calif., said in a news release that the “transformational and lifesaving bill” is a turning point in the nation’s fight against COVID-19.

“From putting money in pockets, cutting child poverty, and providing financial relief to our cash-strapped communities, this bill sends a message that we will do everything we can to provide for struggling Americans, Costa said in the release. “The American Rescue Plan gives us the tools to overcome this crisis.”

Rep. Jimmy Panetta, D-Calif., said in a statement that he was able to secure critical provisions in the bill for farmers and farmworkers, including $3.6 billion for vaccines, testing, and PPE specifically for farmworkers.

“Those types of beneficial provisions in that type of meaningful legislation by Congress demonstrate our efforts to get things done for the American public during the pandemic and as we get on the road to recovery,” Panetta said in the statement.

A fact sheet on the legislation is available online.