SF 306 exempts “nonprofit food banks” from the state sales tax, freeing up funds for these organizations to provide more food to people facing food insecurity. The bill defines a “nonprofit food bank” as:
an organization organized under chapter 50 and qualifying under section 501(c)(3) of the Internal Revenue Code as an organization exempt from federal income tax under section 501(a) of the Internal Revenue Code that maintains an established operation involving the provision of food or edible commodities or the products thereof on a regular basis to persons in need or to food pantries, soup kitchens, hunger relief centers, or other food or feeding centers that, as an integral part of their normal activities, provide meals or food on a regular basis to persons in need.
The fiscal note for an identical proposal that passed the House last session found that this exemption would lead to $206,000 saved by qualifying organizations in FY22 that could be directed back to purchasing more food.
This is not a large ask of the state, but would have a meaningful impact for qualifying nonprofit food banks, food pantries, anti-hunger organizations, and the people they assist every day.
A subcommittee has been assigned for SF 306, but a meeting has not yet been scheduled. Please reach out to the members of this subcommittee today and ask them to schedule a subcommittee meeting for SF 306.
Sen. Dan Dawson
Sen. Janet Petersen
Sen. Tim Goodwin
You can also call the Senate switchboard at (515) 281-3371 to leave a message.
Thank you for your continued advocacy!