December 15, 2019

Budget and Policy Issues (Farm Bill); Ag Economy; and China

Budget and the Farm Bill -Pay Roll Tax –Transportation

Daniel Looker reported yesterday at that, “Farmers would take a big hit in cuts to crop insurance premiums proposed in the Obama Administration’s 2013 USDA budget released Monday. That idea isn’t going over well, either in Congress or among farm groups.

“‘There’s pretty much unanimous agreement among farmers and here in Congress that we need a strong crop insurance program,’ Senator Chuck Grassley (R-IA), a member of the Senate Agriculture Committee told Tuesday.

“According to this detailed breakdown of the USDA budget, the federal government would save $3.3 billion over 10 years by cutting subsidies on farmers’ premiums. ‘The proposal would reduce the premium subsidy levels by 2 percentage points for those policies that are currently subsidized by more than 50 percent,’ says page 101 of that appendix to the budget. Currently, USDA subsidizes about 60% of farmers’ premium costs.”