Key considerations while awaiting the next Farm Bill from Noelle Hanson.

The 2018 Farm Bill was a landmark piece of legislation that provided critical support to American farmers and rural communities. After expiring without Congressional action on September 30, we must pause to await a new administration before seeing progress on this long-standing agriculture spending package.  The upcoming Bill presents an opportunity to build upon the pillars of the 2018 version:  crop insurance, improving financial certainty with Price Loss Coverage (PLC) and Agriculture Risk Coverage (ARC), and fostering the public food programs.

Crop insurance coverage: One of the most significant achievements of the 2018 Farm Bill was its enhancement of crop insurance coverage. This safety net proved invaluable to farmers facing unpredictable weather patterns and fluctuating market prices. As climate change intensifies and market volatility persists, it’s imperative to modernize crop insurance programs that account for extreme swings in both.

Financial stability programs: Beyond crop insurance, the 2018 Farm Bill also introduced vital PLC and ARC programs.  These initiatives provided a lifeline to farmers by helping them weather economic downturns and recover from crop losses. Continuing these programs is essential for financial resilience.

Rural development: In addition to supporting individual farmers, the 2018 Farm Bill played a crucial role in nurturing rural development and public assistance.  Farm Credit institutions were encouraged to collaborate with local lenders to invest in rural communities through infrastructure, education, and subsidized food programs like SNAP.  As we move forward, it’s important to ensure these communities have the resources needed to survive.

The fate of American agriculture rests in the hands of our lawmakers. It is imperative that they rise to the occasion and pass a Farm Bill that prioritizes the needs of our farmers and ensures a prosperous future for generations to come.  Until then, we’ll be waiting.

Hear additional insight from our friends at Compeer Financial and the Brownfield Ag News network here: https://www.compeer.com/ag-financing/agricultural-podcast

For more information, please contact info@ppfcredit.com.

---

Sources

1. U.S. House of Representatives Agriculture Committee (n.d.). High Level Title by Title Summary of the Farm Bill. Retrieved from [https://agriculture.house.gov/uploadedfiles/high_level_title_by_title_doc.pdf]

2. Compeer Financial. (2023, October). Farm Bill of Key Interest to Compeer Financial and Its Clients. Retrieved from [https://www.compeer.com/articles/2023/october-2023/farm-bill-of-key-interest-to-compeer-financial-and-its-clients]

3. Brownfield Ag News (n.d.). Farm Bill Episode. Retrieved from [Brownfield Ag News Episode]

4. U.S. Department of Agriculture, Farm Service Agency. (n.d.). Farm Bill 2018 Brochure. Retrieved from [https://www.fsa.usda.gov/Assets/USDA-FSA-Public/usdafiles/Farm-Bill/pdf/farmbill-2018-brochure.pdf]

5. Agriculture Dive. (2023, October 2). Farm bill expires again: What it means for farmers. https://www.agriculturedive.com/news/farm-bill-expires-again-what-it-means-for-farmers/728561/