Congress Modifies, Clears 10-Acre Farm Bill Provision

September 29, 2008 07:00 PM
 

via a special arrangement with Informa Economics, Inc.

Provision postponed for one year; different budget offset; Bush will sign


NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


A bill cleared by both chambers of Congress on Monday provides a one-year suspension of the "10-acre" rule which would have prevented farmers from receiving farm program benefits under the 2008 Farm Bill on farms with 10 or fewer base acres.

The Senate adopted a one-year suspension, for the 2009 crop, rather than the previous two-year suspension cleared by the House. The House later agreed to the Senate language by voice vote, sending the measure to the White House for President George Bush's signature. The Bush administration said it does not oppose the bill.

The final bill also used different budget offsets. The amended bill cost $9 million and will be paid for with $6 million in information technology cuts and $3 million in technical changes to 2008 Farm Bill language that created a permanent disaster aid trust.

The bill also clarifies language of the disaster relief program to require growers lose at least 10 percent of one crop to qualify for the disaster aid. The provision would give certain flexibility when insuring small acreages by allowing for a de minimis exemption. Additionally, the plan clarifies that tangible production loss must be shown before a producer can receive assistance.

NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


 

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