Fresh Food Act

S 5120, the Fresh Food Act, creates tax incentives for new grocery stores opening in underserved areas to improve access to fresh food. It provides two main benefits: a $1,000 annual tax credit per employee for stores in qualifying areas, and a sales credit equal to 30% of revenue from fresh fruits, vegetables, meat, and dairy (reducing to 28%, then 26% over time). Stores must dedicate at least 25% of space/sales to fresh foods, be under 80,000 sq ft, and operate in areas with high poverty rates or limited grocery access (defined by distance from existing stores, poverty, and income thresholds). The incentives apply to tax years 2025-2030, with an additional 5% credit for locally sourced products within 100 miles.