USDA will distribute COVID relief funds to biofuel producers soon

By Erin Voegele | April 07, 2022

USDA Rural Development Under Secretary Xochitl Torres Small on April 6 confirmed the agency expects to distribute $700 million in COVID-19 relief funds for biofuel soon and said a new funding round for the Higher Blends Infrastructure Incentive Program will open this spring. She discussed both issues during an April 6 hearing held by the House Agriculture Committee.

Small explained that the application period for $700 million in COVID relief funds the agency plans to distribute under the Biofuel Producer Program closed in February. She said the USDA is focused on distributing producer payments under the program in late spring or early summer.

Small also noted that the USDA plans to open a new $100 million funding round under the HBIIP program this spring. That program helps fund infrastructure improvements needed to supply higher blends of biofuels, including ethanol and biodiesel.

A fully replay of the hearing is available on the House Ag Committee website.