To meet the challenge of climate change, it is crucial to lead with science and U.S. innovation. We must incentivize the adoption of innovative, sustainable technologies and practices; and streamline and expedite regulatory pathways for breakthrough technology solutions. Investment in and deployment of cutting-edge technologies will be crucial to ensure farmers, ranchers, sustainable fuel producers, and manufacturers are able to be part of the solution to climate change and maintain the U.S.’s global leadership in agriculture. This includes removing barriers and assisting beginning and socially disadvantaged farmers and ranchers to access and utilize these technologies, so all producers can adapt to the challenges ahead. By accelerating and deploying innovation, American agriculture can be resilient, self-sustaining, and drive our economic recovery. BIO applauds the U.S. Department of Agriculture (USDA) for examining how the possible development of a Climate-Smart Agriculture and Forestry Partnership (CSAF) Program could encourage adoption of climate-smart agriculture and forestry practices and promote markets for climate-smart commodities. This will enable U.S. agriculture to combat climate change while producing enough food, feed, fuel, and fiber for a growing world.

The undersigned organizations write to encourage policymakers to remove provisions in the Build Back Better Act that would curtail the effectiveness of Qualified Small Business Stock (QSBS) in incentivizing investment in innovative small businesses and startups. Small businesses and startups are at the heart of the American economy, driving the majority of all new job creation, innovation, and opportunity for their employees.1 As the United States seeks to build a broad-based economic recovery that expands opportunity to more people, our country’s tax regime should advance that ambition. The Qualified Small Business Stock rule has proven effective in promoting investment in startups and early-stage growth companies in regions and communities across the country. QSBS limits capital gains taxes for founders, employees, and investors in qualified small businesses. To qualify, the enterprise must, among other things, have less than $50 million in assets, 80% of which are used in the active conduct of a qualified business. And the stock owners must hold the stock for at least five years.