PolicyBrief
S. 5309
119th CongressAug 6th 2026
Converting Our Waste Sustainably Act of 2026
IN COMMITTEE

The COWS Act of 2026 incentivizes and supports farmers in adopting sustainable manure management and on-farm composting practices to reduce greenhouse gas emissions, improve soil health, and enhance environmental quality.

Alejandro "Alex" Padilla
D

Alejandro "Alex" Padilla

Senator

CA

LEGISLATION

COWS Act Targets Methane with 100% Cost Coverage for Greener Farm Infrastructure

The Converting Our Waste Sustainably (COWS) Act of 2026 is a significant push to change how American farms handle manure and organic waste. At its core, the bill creates a financial and technical roadmap for farmers to move away from traditional liquid manure lagoons—which are major sources of methane—and toward 'alternative manure management.' We are talking about concrete changes like switching to rotational grazing, installing scrape-and-vacuum technologies, or building compost-bedded pack barns. The bill is particularly aggressive on the financial side, authorizing the USDA to cover up to 100% of the costs for planning, equipment, and labor, with a requirement that at least half of that money is paid upfront to help farmers manage the initial bill for new machinery or construction.

Turning Waste into Wealth

For a mid-sized dairy farmer in the Midwest or a livestock owner in the South, this bill treats manure as a resource rather than just a disposal problem. By officially adding 'composting practices' to the list of approved conservation activities, the legislation allows farmers to bring in organic waste from the 'nearby community' to create compost. This isn't just about being green; it’s about soil health and water retention. If you’re a farmer struggling with rising fertilizer costs or drought, the bill aims to make on-farm composting a viable business strategy by providing the technical training and infrastructure needed to get these systems running without breaking the bank.

Prioritizing the Little Guy

One of the most specific parts of this bill is who gets to the front of the line. Section 4 explicitly instructs the Secretary of Agriculture to ensure 'scale diversity,' meaning the government can't just dump all the funding into massive industrial operations. Instead, the bill mandates that the majority of these manure-management contracts go to small and medium-sized operations, as well as beginning or socially disadvantaged farmers. It also introduces a 'joint application' feature. Think of this as a co-op model: a group of smaller neighbors can apply together for a shared composting facility, splitting the benefits and the payments rather than each person trying to fund a massive project solo.

The Fine Print on Funding and Flexibility

While the bill is largely a win for rural infrastructure, there are some areas where the USDA gets a lot of leeway. The Secretary has the power to waive the usual payment limits if they decide it's 'necessary' for a project’s success (Section 6). For a large-scale innovative project, this is great news, but it does mean the total cost of the program could fluctuate based on administrative discretion. Additionally, the bill gives the government one year to rewrite the standards for what counts as a 'composting facility.' For the average person, this means the 'how' and 'where' of these projects will depend on new regulations currently being drafted, which will ultimately determine how close these facilities can be to residential areas and what kind of 'organic waste' they are allowed to process.