Farm Bill Negotiations Enter Crunch Time

As Congress scrambles to finalize agricultural policy for the coming years, Senate Agriculture Chairwoman Debbie Stabenow’s (D-Mich.) has formally introduced her proposed version of the farm bill, entitled the Rural Prosperity and Food Security Act. The legislation, released on November 18^th, is very similar to the framework she offered earlier in the year and includes GCCA’s legislative proposal, the FRIDGE Act.

Stabenow’s $1.5 trillion draft farm bill is seen as a last-ditch effort to secure a comprehensive package before her retirement at year’s end. The bill seeks compromises on some contentious issues, including a proposal to accept the House GOP’s intention of using the Commodity Credit Corporation (CCC) to finance certain programs. However, deep divisions remain on nutrition policy. House Agriculture Chairman GT Thompson (R-Pa.) has criticized the timing, arguing the draft’s late release undermines the traditional conference process necessary for bipartisan negotiation.

There is currently no markup on the schedule, and Congress has limited legislative days left. With no clear path forward for bipartisan agreement on a comprehensive package, an “extension-plus” approach to the 2018 Farm Bill is gaining traction as a likely outcome. Thomspon has stated that he is actively preparing temporary extension language to prevent dairy programs and other critical measures from reverting to outdated law. The extension-plus strategy, would continue 2018 Farm Bill provisions for the 2024 crop year while incorporating select enhancements. Proposals under consideration include:

• Disaster Aid: A White House request for $24 billion, including $21 billion for producers impacted by hurricanes, droughts, and wildfires in 2023 and 2024.
• Commodity Program Adjustments: Options such as increasing reference prices under the Price Loss Coverage program or providing market-loss relief payments for farmers facing severe economic pressures.
• Crop Insurance Reimbursements:Enhancements to premium subsidies and coverage to offer immediate relief to farmers and financial reassurance to lenders.

Senate Republicans, led by John Boozman (R-Ark.), are pushing to incorporate these measures into a supplemental aid package to stabilize farm income and safeguard planting-season financing for 2025. However, Stabenow has voiced concerns about these discussions, arguing they favor select groups of farmers over a comprehensive approach to agricultural policy.

Amid the legislative wrangling, political maneuvering within the House Agriculture Committee adds another layer of complexity. Rep. Jim Costa (D-Calif.), a cosponsor of the FRIDGE Act, is challenging Rep. David Scott (D-Ga.) for the ranking member seat, signaling a potential leadership shift in the House. GCCA will continue to work in a bipartisan manner with the House and Senate committees as the farm bill moves forward.