By Tom Hance
Very early on May 24th, the House Agriculture Committee passed a farm bill proposal put forth by Chair Glenn Thompson (R-PA). The mark-up started at 11:00 am on May 23rd and did not conclude until after midnight. Most of the discussion and amendments considered were related to the Supplemental Nutrition Assistance Program (SNAP). In the end, four Democrats joined all committee Republicans to pass the bill out of committee. The Democrats were Yadira Caraveo (CO), Don Davis (NC), Eric Sorenson (IL) and Sanford Bishop (GA). A couple of withdrawn amendments are of interest to #canola growers:
- Dusty Johnson (R-SD) proposed requiring a mandatory base acre update. After a brief discussion, he withdrew this amendment.
- Another amendment offered and withdrawn was from Rep. Sharice Davids (D-KS) to make winter wheat eligible and counted as a “cover crop” for Natural Resources Conservation Service programs. Currently, the cover crops definition and eligibility exclude harvested crops. Chair Thompson indicated a willingness to work with Rep. Davids on this issue and since this could also apply to winter canola, the U.S. Canola Association (USCA) will look into the implications and weigh-in with Rep. Davids and committee staff.
It is unclear when or if the farm bill will be considered on the House floor. Chair Thompson indicated it would be September at the earliest, citing the full floor schedule in July and Congressional recess in August. Attention will now shift to the Senate where Senate Agriculture Committee Ranking Member John Boozman (R-AR) is expected to release his proposal in early June. This will hopefully lead to negotiations with Chair Debbie Stabenow (D-MI) on a version that can achieve the bipartisan support needed to clear the Senate. Meanwhile, the proposed House farm bill includes:
Increased Reference Prices
- Other oilseeds (canola, sunflower, etc.) – $20.15/cwt to $23.75 (17.9%)
- Soy – $8.40 to $9/95 (18.5%)
- Corn – $3.70 to $4.10 (10.8%)
- Barley – $4.95 to $5.45 (10.1%)
- Wheat – $5.50 to $6.35 (15.5%)
- Dry peas – $11.00/cwt to $13.10 (19.1%)
- Lentils – $$19.97/cwt to $23.74 (18.9%)
- Small chickpeas – $19.04/cwt to $22.66 (19%)
- Large chickpeas – $21.54/cwt to $25.65 (19.1%)
Increased Base Acres
Available to all farmers whose average plantings exceeded their base acreage between 2019 and 2023, they can count up to 15 percent from non-covered commodities toward eligible acres: planted acres minus existing base = eligible acres. Eligible acres are assigned in proportion to covered commodities planted. A map shows the areas where the base acre increases are expected to occur and a lot of the highest increases would be in Montana, North Dakota, some parts of Idaho and Eastern Washington as well as West Texas, Kansas, Oklahoma and in the Delta along the Mississippi River.
Crop Insurance
The Supplemental Coverage Option would be expanded to cover 90 percent of the expected county yield, increasing the premium subsidy by 80 percent.
Marketing Assistance Loans: Increase loan rates for most commodities by 10 percent.
Other (Non-Farm Programs)
- Double funding for the Market Access Program (MAP) and Foreign Market Development (FMD).
- Provides $2.5 billion in mandatory funding for agricultural research facility upgrades.
Funding Offsets (used to pay for increases/expansions in the bill):
- Commodity Credit Corporation (CCC) – eliminate the Secretary of Agriculture’s discretion to use the CCC to pay for changes to the farm safety net (i.e., Reference Prices, base acre increase, crop insurance).
- SNAP/Thrifty Food Plan – prohibit the Secretary from increasing the cost of the Thrifty Food Plan based on a re-evaluation or update. This provision would prevent a future administration from increasing SNAP benefits and offset funding for several items in the bill, such as the doubling of the MAP and FMD.
The USCA and 31 other farm groups applauded the House’s draft farm bill in a letter to House Agriculture Committee Chair Thompson. “The Farm, Food, and National Security Act improves the farm safety net through [the above] adjustments,” they wrote. “We also appreciate the enhancements to existing disaster programs … provisions to capture one-time conservation funds [and] create a forest easement program … investments made in research and innovation … expanded resources to combat new and invasive pests and pathogens … increase[d] funding for the Market Access Program and Foreign Market Development Program … inclusion of long overdue life-saving reforms to international food aid programs [and] nutrition programs [as] a key component to the success of the coalition that comes together to support the farm bill.
“There are numerous other provisions of this bill that are responsive to the needs and requests that have been presented to you and your staff over the past 17 months. We are encouraged by the Committee’s actions and look forward to working with you and all members of the House of Representatives and the Senate to meet the needs of farmers, ranchers, and rural communities.”
Tom Hance is executive director of the U.S. Canola Association in Washington, D.C.