New York Senate Bill S08878

New York 2025-2026 Regular Session

• Introduced: 1/13/26
• Refer: 1/13/26

Caption

Enacts the "New York state food rescue tax credit act" in relation to providing a tax credit for certain businesses that donate food to eligible nonprofit food assistance organizations.

Impact

The act proposes a tax credit equal to 65% of the fair market value of the donated food, as well as covering 100% of documented costs associated with transportation and storage related to these donations. This initiative not only supports charitable giving but is also expected to alleviate the financial burdens faced by businesses in managing surplus food, thus fostering a more sustainable approach to food distribution and consumption within the state. The bill aims to bolster current food assistance programs, like Nourish New York and HPNAP, by increasing the overall food supply available to those struggling with food insecurity.

Summary

S08878, known as the 'New York State Food Rescue Tax Credit Act', seeks to address the significant issue of food waste in New York, which generates over four million tons of food waste every year. This bill introduces a refundable and transferable tax credit aimed at encouraging businesses to donate surplus food to eligible nonprofit organizations involved in food assistance. By providing financial incentives, the legislation aims to reduce the amount of food waste that ends up in landfills and improve food security for families in need across New York State.

Contention

A notable aspect of the bill is the implementation of stringent standards for eligible food donations, which ensures that the food is safe for consumption and aligns with nutritional standards recognized by various health departments. However, there may be some concerns regarding the regulatory overhead placed on businesses that wish to claim these credits. Critics might argue that the new tax credit could create more complexity in terms of compliance and documentation, which may deter some businesses from participating despite the benefits.

Operational framework

To ensure the smooth functioning of the tax credit program, the bill outlines the establishment of a standardized electronic reporting platform and a statewide food rescue training program to aid both organizations and businesses in effectively navigating the food donation process. This dual approach not only fosters compliance but also increases the potential for measurable impacts on food waste reduction and food distribution in the state, ultimately aiming for a more integrated food assistance system.