Farm bill quietly expands federal credit for propane storage.
S. 1826 — GRAIN DRY Act · Filed by Joni Ernst (R-IA) · 2 cosponsors · Introduced May 21, 2025 · Referred to committee
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What it does
This bill amends a 2008 farm law to allow propane storage facilities to qualify for federal agricultural storage loans. Currently, the loan program funds grain and other crop storage; the bill adds propane storage (used for farm heating, drying, and equipment) as an eligible use, provided the propane is primarily for agricultural production.
Why we flagged it
The bill's sole operative mechanism is to expand an existing federal loan program to include a new eligible asset class (propane storage). It is a straightforward sectoral credit policy with no hidden riders or misdirection.
What the text implies
- Propane storage eligibility may indirectly support propane suppliers and distributors by increasing farm-level demand for propane infrastructure, though the bill itself does not subsidize propane purchase or pricing.
- The definition of 'primarily used for agricultural production' is anchored to a specific CFR section (7 CFR 4279.2), which may exclude marginal or mixed-use propane storage; the bill's scope depends on how that regulation defines 'agricultural production'.
Who stands to gain
agricultural producers (farmers); rural lenders participating in USDA loan programs