Michigan House Bill 5166 would establish a Charitable Food Tax Credit Program, incentivizing food businesses and farmers to donate unused food to qualified emergency food providers and food banks. It would offer 65% of the fair market value of the donated food up to $10,000.
“There are only about 10 or 11 states that actually have a tax incentive, and I think that it’s so significant that the state of Michigan is progressing toward having one.”
April Love is Clinical Instructor for the Food Law and Policy Clinic at Harvard. She says states like California have benefited from similar programs, with $1 in tax credits equaling $7-$8 in donated food.
“They had 1,356 total donations claimed over 2022 to 2024.”
According to the Michigan Sustainable Business Forum, over 1.7 billion pounds of edible food are sent to landfills by commercial businesses or remain unharvested from Michigan farms. Combined, it could feed 1.3 million residents each year.
Sarah DiPasquale is Chief Program Officer at Sharing Excess, a food provider in Philadelphia.
“It’s a very complex program here in Pennsylvania but simplifying it and making it really tangible for folks in Michigan, I think, is just a great first step and I’m really excited to see what comes of it.”
The bill is currently being considered by the House Economic Competitiveness Committee.
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