Encouraging the donation of food to persons in need
The implications of HB 4373 extend to state laws governing food donation and liability. The legislation provides protection from civil damages for both the donating entities and the nonprofit organizations when it comes to the condition of the donated food. This is particularly significant as it addresses potential hesitation from food businesses worried about liability issues associated with food safety. The bill also establishes clarity around food safety regulations, allowing for the donation of food items even if their sell-by dates have passed, thus reducing food waste and increasing resources available to those in need.
House Bill 4373 aims to encourage the donation of food to individuals in need through the introduction of a tax credit for businesses contributing food to nonprofit organizations. This bill stipulates that food businesses, including farms, restaurants, and food stores, can claim a non-refundable credit equal to the fair market value of the donated food, up to a maximum of $25,000 annually. The food must be distributed by the receiving nonprofit organization either free of charge or for a minimal handling fee, ensuring that the food reaches those who need it while retaining its value for the donor.
There may be points of contention regarding the level of liability protection and the quality of food being donated, especially concerning items that are labeled as 'open-dated'. Critics may question whether donations of such food could pose health risks or whether insufficient oversight could lead to negligence. Borrowing from previous discussions on food safety regulations, proponents of the bill argue that it encourages philanthropy and resource sharing, while opponents may worry about the potential implications for food safety standards. As the bill progresses, these concerns may prompt additional scrutiny and debate among legislators and stakeholders.