Assessing the House farm bill

Last month, the House of Representatives passed its version of the Farm Bill. This chart highlights how the House bill responds to priorities for the Northeast. It identifies some gaps between what’s proposed and what advocates are seeking for our region. The Northeast priorities are detailed in The Northeast Farm Bill Agenda. The chart is organized according to the three main priority areas in the Agenda. It is not an exhaustive list of all the bill’s provisions. Nor does it address some major reforms and other issues that many of us care about and have been working on such as commodity subsidies, payment limitations, competition, socially disadvantaged farmers and ranchers, research and education.

 

I. Economic Development and Farm Viability

Program

The good

The gaps

Value-Added Producer Grants

Proposes $30 million annual mandatory spending for Value-Added Producer Grants; includes a focus on small and medium size farms. 

Still insufficient funding level (half the current level) to meet need.

New Economic Development Programs

a) Creates a preference within the Business and Industry Loan Program for guaranteed loans for local and regional food processing and distribution infrastructure; b) provides $20 million discretionary funding for a new Rural Entrepreneurs and Micro-Enterprise Loan Program that offers grants, loans, education and assistance to rural entrepreneurs; c) authorizes Healthy Food Urban Enterprise Development Program provides grants for feasibility studies for the establishment of processing and distribution facilities; d) establishes a new board to make planning and innovation grants to certified Regional Investment Boards.

Does not include new proposed programs: a) Farm and Ranch Profitability Program; b) Community-based Entrepreneurial Development Program; or c) Rural Entrepreneurship, Education and Enterprise Facilitation Program

Inter-state Shipment of Meat

Permits states with meat inspections programs identical to Federal regulations to ship meat and poultry products to other states.

 

 

The new legislation would require state inspection programs to adopt the exact standards (rather than “at least equal to) for inspection, re-inspection, and sanitation currently found in federal law.  This raises concern for its impact on smaller-scale processors.

 

 

Dairy

Extends the MILC dairy payment program at current level.

No proposed increases in the production cap or target price.

Specialty Crops

Creates new Title: Horticulture and Organic Agriculture; allocates total of $1.6 billion for specialty crops, including $215 million for research, $365 million over 5 years (mandatory) for block grants to states, and $25 million for fresh produce safety grants.

 

Organic

Provides mandatory $22 million/5 years for National Organic Cost Share Program; minimum $15 million a year in mandatory funding for Organic Agriculture Research and Extension Initiative; authorizes Organic Conversion Assistance Program at $50 million; $3 million mandatory over 5 years for the Organic Production and Marketing Data Collection program.

 

Rural Energy for America Program

 

 

 

 

 

 

 

 

 

Previously named Renewable Energy and Energy Efficiency Program (Section 9006) authorizes loans, loan guarantees, and grants to purchase and install renewable energy systems and improve energy efficiency. Increases mandatory funding to $500 million over 5 years. Includes Forest Biomass for Energy to address feedstock and other issues in use of woody biomass. .

 

 

 

 

 

 

 

 

 

 

 

 

Crop Insurance

Creates process to improve coverage for organic producers.

 

No provision to strengthen/reform Adjusted Gross Revenue (AGR and AGR/Lite) insurance programs that provide insurance for diversified farms; organic coverage issues not sufficiently clarified. 

Other

a) Provides beginning farmer loan program reforms; mandatory  $15 milllion/year for Beginning Farmer and Rancher Development Program); provides mandatory $15 million/ year for socially disadvantaged farmers and ranchers (Section 2501); requires assessing varying definitions of “rural” to better target rural development funds.

 

 

 

 

 

II. Conservation

Program

The good

The gaps

Environmental

Quality Incentives Program

Funding is increased by $5.4 billion (42 percent) over the next 10 years, and $1.9 billion (31 percent) over the next 5 years.

 

Cooperative Conservation Partnership Initiative

Creates new program; proposes 90% of funding be awarded at the state level (which fosters states’ ability to decide conservation priorities).

 

Conservation Security Program

 

Funding reduced by $4.8 billion over 10 years; no new sign-ups until 2012; significant program modifications (e.g., eliminates three tiers and eliminates payments except for enhancement payments).

Farm and Ranchland Protection Program (FRPP)

Increased to $300 million/year in mandatory funding; makes several key reforms to program, including elimination of federal property interest.

Lack of agreement on Federal-state process to determine impervious cover limitations.

Agricultural Management Assistance

 

Continues AMA at $20 million/year in baseline mandatory funding targeted to Northeast states; 50% distributed through NRCS, 40% through RMA and 10% for organic cost-share.

Funding for organic cost-share still does not meet demand; additional $20 million/year included in "contingency funding".

 

 

Regional Equity

Increased from $12 million to $15 million/state/year.

 

Conservation Innovation Grants

(CIG)

Within EQIP, provides increased funding for CIG, including  $5 million/year Comprehensive Conservation Planning pilot program for the Chesapeake Bay, and $5 million/year for outreach to specialty crop and organic producers.

 

Forestry

 

Includes $17 million in annual mandatory funding for Healthy Forests Reserve Program (HFRP).

Eliminates Forest Land Enhancement Program which was funded at $100 million mandatory in current farm bill.  Does not include option for permanent easements in HFRP.  Does not include Community Forest and Open Space Conservation Program.

 

Other

Establishes Regional Water Enhancement Program at $60 million annually to address water quality and quantity problems in targeted areas, including the Chesapeake Bay. Provides for new Chesapeake Bay Program for Nutrient Reduction and Sediment Control at $150 million over five years.

Proposes $5 million/year for new Outreach Grants to Specialty Crop and Organic Producers.

 

 

 

 

III. Food and Nutrition

Program

The good

The gaps

Food Stamps

Increases allocation to $4 billion over five years for food stamps and other nutrition spending. Increases mandatory funding for The Emergency Food Assistance Program (TEFAP) to $250 million per year.

Needs additional $1.6 billion to fully fund nutrition safety net improvements.

Farmers Market Promotion Program

Increases to $35 million in mandatory spending over 5 years; expands renamed Farmers Marketing Assistance Program activities to include use of EBT systems at markets.

Proposed funding level does not meet high demand for the program.

Senior Farmers Market Nutrition Program

 

Increases to $15 million/year mandatory funding, with $20-$75million discretionary over the life of Farm Bill.

Amendment to allow flexibility in state implementation (e.g., to allow CSA-structured programs) withdrawn.

Fresh Fruit and Vegetable Programs

 

Increases to $70 million per year and expands to all states for school purchase of fruits and vegetables; increases to $75 million/year for DOD Fresh Program; increases required expenditure for fruits, vegetables and nuts through Section 32 purchasing.

 

Community Food Projects

 

Provides $30 million/year discretionary, with expanded purposes.

Eliminates mandatory funding ( at $5 million per year), which the Program has had for the past ten years 2002-2007). 

Procurement and Geographic Preferences

 

Allows geographic/local preference and increased flexibility for USDA food program purchasing as no-cost provision.

 

Nutrition Education

Authorizes new Nutrition Education and Promotion Initiative to Address Obesity, a grants program at $10 million/year for five years.

 

Other

Recommends that various federal agencies work together to assess "food deserts" and develop recommendations to eliminate them.

 

 

 

 

The Northeast Sustainable Agriculture Working Group's mission is to build a sustainable regional food and agriculture system... one that is environmentally sound, economically viable, socially just and produces safe, nutritious food.

 

NESAWG P.O. Box 11, Belchertown, MA 01007 phone and fax: (413) 323-9878 e-mail: [email protected]