Coalition releases statement on Farm Bill expiration

In August, we reported on the formation of the Farm Bill Now coalition, more than 35 agricultural organizations, including the American Farm Bureau Federation, that have united to urge congressional lawmakers to pass a five-year farm bill before the current programs expire in September. The current Farm Bill expired on Sept. 28. The coalition has released the following statemet:

The 2008 law governing many of our nation’s farm policies expired on Sunday, September 30th, and the 2012 Farm Bill needed to replace it is bottled up in Congress. While the Senate and the House Agriculture Committees were both able to pass their versions of the new farm bill, the full House was unable to do so. While expiration of farm bill program authorities has little or no effect on some important programs, it has terminated a number of important programs and will very adversely affect many farmers and ranchers, as well as ongoing market development and conservation efforts. Following is a summary of these impacts.

Programs Affected by Expiration of the 2008 Farm Bill

Dairy producers will face considerable challenges. The Milk Income Loss Contract (MILC) program expired on Sunday. That program compensated dairy producers when domestic milk prices fall below a specified level. Without a new farm bill, dairy farmers are left with uncertainty and inadequate assistance. While milk prices are high enough that the price support program doesn’t kick in; unfortunately, there is no other safety net to help battle the highest feed costs on record.

Many farmers, ranchers and agribusiness or agricultural processors benefit from the Foreign Market Development Program (FMD). FMD is a cost-sharing trade promotion partnership between USDA and U.S. agricultural producers and processors. The program pools technical and financial resources to conduct overseas market development. FMD helps maintain and increase market share by addressing long-term foreign market import constraints and by identifying new markets or new uses for the agricultural commodity or product in the foreign market. That funding, as well as specific funding for personnel to run the program at USDA, will run out at the end of October. Since 31 percent of our gross farm income comes from exports which also make a positive contribution to our Nation’s trade balance, trade promotion is an important part of our safety net. Other countries will most certainly take advantage of the fact that the program is rendered inoperable and will do what they can to steal our markets – and everyone knows, the hardest market to get is the one you lost.

About 6.5 million acres rotates out of the Conservation Reserve Program (CRP) this year. While current contracts are protected, no new signup will be allowed for CRP or the Conservation Reserve Enhancement Program (CREP). Both of these programs are voluntary land retirement programs that helps agricultural producers protect environmentally sensitive land, decrease erosion, restore wildlife habitat, and safeguard ground and surface water. In addition, there cannot be sign up for the Wetlands Reserve Program or the Grasslands Reserve Program.

Both versions of the new Farm Bill contain funding for the disasters facing the livestock industry due to the drought. However, programs are currently only available for lack of forage, as well as death of animals.

Most producers of fruits and vegetables do not have a safety net, but instead receive funding to augment the competitiveness of specialty crops through programs that enhance trade, promote cutting-edge research, and implement on-the-ground projects to protect crops from disease and invasive species. Funding for these programs ended when the Farm Bill expired.

Numerous other programs, including energy, agricultural research, rural development and funding for new and beginning farmers could be added to this list of affected programs. The bottom line is that while expiration of the Farm Bill causes little or no pain to some, others face significant challenges.

Programs Not Affected by Expiration of the 2008 Farm Bill

Almost 80 percent of the Farm Bill’s cost is for nutrition programs – primarily the Supplemental Nutrition Assistance Program (SNAP), formerly commonly known as food stamps. Most recipients of nutrition program benefits will not be affected because the SNAP program did not need to be extended. Funds for nutrition assistance programs will continue to be provided to those Americans without issue.

Farmers and ranchers who manage their risks using the farm bill’s crop insurance provisions will be unaffected because, like SNAP, those programs don’t expire. Nor do some of the conservation-related programs. In addition, most commodity-specific programs are largely covered by the 2008 Farm Bill since it applies to the 2012 crop year, rather than the 2012 fiscal year. The main challenge, however, will be in planning for 2013. This includes lining up the critical financial assistance needed from lending institutions which prefer, if not demand, to see business plans presented in black and white. That will be difficult when producers don’t know when to expect a new Farm Bill – or what type of financial safety net is likely to be included in that bill.

Congress will return in mid-November for a lame-duck session prior to final adjournment in December. We will work to have the first order of business for the House of Representatives be to consider a new Farm Bill. We are urging our members to seek out their House members between now and the elections and remind them of the consequences of not having a new bill in place prior to adjournment at the end of the year.

American Farm Bureau Federation
American Pulse Association
American Soybean Association
National Association of Conservation Districts
National Association of Wheat Growers
National Barley Growers Association
National Corn Growers Association
National Council of Farmer Cooperatives
National Farmers Union
National Milk Producers Federation
National Sunflower Association
United Fresh Produce Association
USA Dry Pea & Lentil Council
U.S. Canola Association
Western Growers Association

Nine members of Congress in Va. receive national award

Nine Virginia members of the 112th Congress received the American Farm Bureau Federation’s Friend of Farm Bureau Award.  

This year’s Virginia recipients are Sen. Mark Warner (D), Rep. Eric Cantor (R), Rep. Randy Forbes (R), Rep. Bob Goodlatte (R), Rep. Morgan Griffith (R), Rep. Robert Hurt (R), Rep. Scott Rigell (R), Rep. Robert Wittman (R) and Rep. Frank Wolf (R).

The recipients were nominated for the award by the Virginia Farm Bureau, and approved by the American Farm Bureau Federation Board of Directors. The award was given based on their leadership on issues of importance to the Farm Bureau, as well as their accessibility and responsiveness to all Virginia Farm Bureau members.

AFBF is the unified national voice of agriculture, working through its grassroots organization to enhance and strengthen the lives of rural Americans and to build strong, prosperous agricultural communities. The organization’s priority issues include the 2012 Farm Bill, the Clean Water Act, regulatory reform, rural redevelopment and the permamnent repeal of the estate tax.

“In their own unique way, each of these members of Congress has demonstrated leadership on issues affecting farmers and the commonwealth’s economic welfare,” said Virginia Farm Bureau Federation President Wayne F. Pryor.

“Their action on the budget, the environment, labor and trade issues helped maintain agriculture as Virginia’s largest economic sector. Attention to tedious amendments and the marathon pace of federal legislation are reflected in the designation as a friend of Farm Bureau,” Pryor said. “On behalf of the Virginia Farm Bureau Federation, we thank and commend each of them for their service.”

AFBF, Others Urge Senate to Refrain from Disaster Bill

The American Farm Bureau Federation has urged Senate leaders to “refrain from supporting” any legislation resembling the House-passed disaster bill if such a measure is presented in the Senate. Supporting such a measure would detract from the larger mission of passing a long-term farm bill.

In a letter to Majority Leader Harry Reid (D-Nev.) and Minority Leader Mitch McConnell (R-Ky.), AFBF and a dozen other national agriculture organizations said that passing the House disaster bill as a quick fix would do more harm than good to farmers and ranchers.

“This is something our groups do not support,” the letter stated. “We strongly urge you to refrain from this as we fear that passage of a bill similar to the House bill could result in further delays in completing a full five-year farm bill.”

According to the group, in comparison to a disaster bill, completing a five-year farm bill would deliver assistance to eligible livestock producers nearly as quickly and would put into place certainty for future years, and it is paid for in both the House and Senate versions. This highlights the House disaster bill’s $600 million price tag, which clearly would impact funding available for long-term agriculture needs.

The group urged the Senate leaders to reach agreement on a new farm bill before the current program expires on Sept. 30. The House Agriculture Committee’s bill, coupled with the Senate bill passed in June, would provide much needed disaster relief with long-term benefits.

“Both the Senate and the House Agriculture Committees have produced reform-minded, bipartisan bills that address many of the core principles we believe are important, such as strengthening crop insurance as a reliable risk management tool,” concluded the letter. “We remain committed to attempting to pass a five-year farm bill as soon as possible, including the long-term provisions it includes, which would help alleviate the emergency conditions we are seeing across the country.”

The letter was also signed by the following groups: American Soybean Association, National Association of Wheat Growers, National Barley Growers Association, National Corn Growers Association, National Farmers Union, National Milk Producers Federation, National Sunflower Association, Northarvest Bean Growers Association, United Fresh Produce Association, U.S. Canola Association, USA Dry Pea & Lentil Council and Western Growers.

Ask members of Congress to act on Farm Bill through new Web site

More than 35 agricultural organizations, including the American Farm Bureau Federation, have united to urge congressional lawmakers to pass a five-year farm bill before the current programs expire in September.

“Calling the farm bill the ‘farm bill’ suggests its impact is limited only to farms and to the rural areas to which they are so closely tied. It’s really a jobs bill. A food bill. A conservation bill. A research bill. An energy bill. A trade bill. In other words, it’s a bill that affects every American,” the groups say in emphasizing the legislation’s reach beyond farming and ranching.

The full statement is available on the coalition’s website, FarmBillNow.com, where visitors to the site can also contact their members of Congress.

Along with a listing of the coalition members and key points about the farm bill and why immediate action is critical, the site makes it easy for farmers, ranchers and consumers to tell their lawmakers how important the farm and food bill is to them.

Click below for a list of organizations that make up the Farm Bill Now coalition.  


• 25×25 Alliance

• Agricultural Retailers Association

• American Beekeepers Federation

• American Farm Bureau Federation

• American Feed Industry Association

• American Pulse Association

• American Seed Trade Association

• American Sheep Industry Association

• American Soybean Association

• American Sugar Alliance

• Biobased Products Coalition

• Council of State Governments East

• Council of State Governments Midwest

• Farm Credit Council

• National Association of Wheat Growers

• National Barley Growers Association

• National Cattlemen’s Beef Association

• National Corn Growers Association

• National Cotton Council

• National Council of Farmer Cooperatives

• National Farmers Union

• National Milk Producers Federation

• National Potato Council

• National Sorghum Producers

• National Sunflower Association

• Northharvest Bean Growers Association

• Northeast State Association for Agricultural Stewardship

• Produce Marketing Association

• Southern Peanut Farmers Federation

• Specialty Crop Farm Bill Alliance

• State Agriculture and Rural Leaders

• United Dairymen of Arizona

• United Fresh Produce Association

• U.S. Canola Association

• U.S. Dry Bean Council

• USA Dry Pea and Lentil Council

• USA Rice Federation

• Western Growers Association

• Western Peanut Growers Association

Child Labor Update: Farm Groups Urge House to Preserve Family Farms

The American Farm Bureau Federation and a number of other farm groups have urged the House to vote yes for farm kids and farm families across America by supporting H.R. 4157, the Preserving America’s Family Farms Act. The House will debate and vote on the legislation later today. In a letter to House members, the organizations said that while the safety of all workers remains their number one priority, regulations introduced last year by the Labor Department “took caution beyond recognition.” According to the letter, “The proposed regulations were overly burdensome to agriculture producers and would have limited, if not eliminated, training opportunities for youth in rural America. Fortunately, the administration listened to the concerns of farmers and ranchers by withdrawing the regulation in April. However, the threat to family farms still exists. While we all respect the obligations and responsibilities of DOL to ensure the safety of youth working on farms, we believe that the approaches taken need to be well reasoned and not detrimental to the family farm or the youth participating in farm work,” continued the letter.  H.R. 4157 would protect against these threats by preserving the ability of youth to gain training and education by working on the farm. It also protects an agricultural way of life from future child labor regulations that could limit the ability of youth to learn valuable skills by working on the farm. AFBF continues to work with USDA and other agricultural organizations on agricultural safety programs.

Joining AFBF on the letter were the American Feed Industry Association; the American Horse Council; the American Seed Trade Association; the American Soybean Association; the Florida Fruit & Vegetable Association; the International Association of Fairs and Expositions; the National Association of State Departments of Agriculture; the National Cattlemen’s Beef Association; the National Council of Agricultural Employers; the National Cotton Council; the National FFA Organization; the National Milk Producers Federation; the National Pork Producers Council; the United Fresh Produce Association; and the U.S. Apple Association.

AFBF: Report Shows Real Harm of Estate Taxes

The American Farm Bureau Federation recently said it concurs with a Joint Economic Committee report that details the financial harm posed by estate taxes on family businesses. The JEC, a bipartisan committee composed of members from the House and Senate, issued its report, “Costs and Consequences of the Federal Estate Tax,” earlier today.

According to the report, there are extensive costs associated with the estate tax in terms of the dissolution of family businesses, slower growth of capital stock and a loss of output and income over time. This can be particularly hard on farm families, who own 98 percent of the nation’s 2.2 million farms.
“With the average age of a farmer being 58 years old, the estate tax creates even a steeper barrier for young farmers and ranchers to take up the profession at a time when farming is already difficult to enter,” said AFBF President Bob Stallman.
The report also found that the estate tax impedes economic growth because it discourages savings and capital accumulation. Gaining access to capital is vital to farms and rural economies. In 2010, land accounted for approximately 85 percent of total farm assets. Currently, in some parts of the country, land values have increased well over $10,000 per acre. Further, land values from 2010 to 2011 increased on average 25 percent and have greatly expanded the number of farms and ranches that now top the estate tax $5 million exemption.
Especially holding true for farmers and ranchers, the report also found that the estate tax is a significant hindrance to entrepreneurial activity since many family businesses lack sufficient liquid assets to pay estate tax liabilities. In 2010, liquid assets in agriculture comprised only 12 percent of total assets whereas hard assets (including land and buildings) comprised 88 percent of total assets. Alone, real estate accounted for approximately 85 percent of farm assets in 2010.
“When estate taxes on an agricultural business exceed cash and other liquid assets, surviving family partners are forced to sell illiquid assets, such as land, buildings or equipment to keep their businesses operating,” said Stallman. “With 88 percent of farm and ranch assets illiquid, producers have few options when it comes to generating cash to pay the estate tax.”

AFBF supports permanent elimination of the estate tax. Until this can be accomplished, Farm Bureau supports extending the current $5 million exemption. Without congressional action, in 2013, the estate tax exemption will shrink to $1 million per person with no spousal transfer, and the top rate will increase to 55 percent, striking a blow to farmers and ranchers trying to transition from one generation to the next.

New AFBF Campaign: Stop the Flood of Regulation

Farmers are working to stop an effort by the U.S. Environmental Protection Agency to regulate waterways Congress never intended the agency to regulate.

The American Farm Bureau Federation has launched its “Stop the Flood of Regulation” campaign because it believes the EPA is trying to improperly alter the Clean Water Act. That law gives the EPA the power to write rules to protect navigable waters.

Using what is called a guidance document, the EPA is seeking to take the word “navigable” out of the law, which would allow it to regulate even a roadside ditch that holds water after a heavy rain.

“A guidance document is supposed to be a non-binding policy document for field offices on how to implement current law and current policies,” said Cody Lyon, AFBF grassroots and advocacy director.

Of concern to Farm Bureau, Lyon said, is that “there’s uncertainty with how this guidance document can be implemented. This could be interpreted many different ways around the country or even many different ways within a state. For 40 years the Clean Water Act has done a great job. The problem is the guidance document goes beyond Congressional intent, and they’re also ignoring the Supreme Court precedents that have determined the definition of ‘navigable.’”

That could be problematic for farmers and ranchers, who fear that even a farm pond or ditch could now fall under EPA permitting regulations.
“We’re talking thousands, tens of thousands of dollars,” he said, because the guidance could affect “anything dealing with livestock operations, anything dealing with applications of pest management tools, anything dealing with wetlands, groundwater, runoff, storm water. You could start having a flood of regulations that start coming in just from this one guidance document.

“We’re trying to make sure we stop this flood of regulations at the very beginning, before it starts getting out of control.”

Farm Bureau is asking its members who farm to tell their Congressional representatives how hard the new rule could hit them, and to ask for support of H.R. 4965, a bill that would preserve existing U.S. water rights and responsibilities in the Clean Water Act.

AFBF President Bob Stallman said the EPA guidance document “improperly changes the law of the land,” and he asserted that, in issuing it, the EPA is bypassing the necessary public outreach required under the Administrative Procedures Act.

Please stay turned for more information and action alerts related to this campaign in the next few weeks. To sign up action alerts, please contact Kelly Pruitt at kprui@vafb.com or 804-290-1293 with your producer membership number.

Breaking News: Senate Passes Farm Bill

Wilmer Stoneman
Associate Director
Governmental Relations

Many thought the odds were against it, but the farm bill has made it over a major hurdle. Senators approved their version of the bill (S. 3240) in a strong bipartisan vote of 64 to 35.

But this is just the first step. We still have a lot of concerns that need to be addressed as the farm bill moves forward. The House Agriculture Committee announced earlier this week that it was postponing its consideration of a farm bill draft until July 11. The committee was originally slated to take the legislation up next week.

American Farm Bureau Federation President Bob Stallman said this yesterday: “There is still a lot of hard work ahead to fully secure the kind of policy we believe our farm and ranch families need, but we applaud the Senate for approving a workable bill and moving this process forward. The Senate has provided us solid footing by approving a bill that stands firm on $23 billion in savings, yet protects and strengthens the federal crop insurance program and provides a commodity title that attempts to encourage producers to follow market signals rather than make planting decisions in anticipation of government payments.”

 In votes taken Wednesday, Farm Bureau was successful in: opposing an amendment that would have prohibited any program to promote and provide research and information for a particular agricultural commodity without reference to specific producers or brands (a check-off program) from being mandatory or compulsory; opposing an amendment that would have eliminated the $4 billion cut to the Supplemental Nutrition Assistance Program (SNAP) program and added $50 million annually to the Fresh Fruit and Vegetable Program from the current $150 million authorization; opposing an amendment that would have imposed a $250,000 Adjusted Gross Income (AGI) means test for all programs in the farm bill, including conservation; and opposing an amendment that would have reduced loan rates and eliminated other changes to the sugar program made in the 2008 farm bill.

Farm Bureau was not successful in efforts: to oppose an amendment requiring conservation compliance as a requisite for crop insurance; and to oppose an amendment establishing payment limits for marketing loans and loan deficiency payments at $75,000 a year for individual farmers and $100,000 a year for couples. 

Farm Bureau’s position was also unsuccessful when an alternative amendment passed that would limit crop insurance premium subsidies to any person with an adjusted gross income exceeding $750,000. AFBF had supported a related unsuccessful amendment that called for a study of such an eligibility requirement and to disallow the action if it carried negative ramifications for the cost, availability or administration of the crop insurance program.

Advocacy Must Engage the Congregation

Bob Stallman
AFBF President

Throughout the years, we’ve counted on your voice to help us educate our state and national legislators on issues that greatly affect the agricultural community. Thanks to your letters, phone calls and visits, we’ve greatly influenced the way our legislators view agriculture. You are the most powerful resource we have in educating legislators about Virginia farmers.

But for Virginia Farm Bureau members,educating our leaders abou important ag issues takes a back seat in the spring and summer months–and for very good reason. Here’s a nice reminder from Bob Stallman, American Farm Bureau Federation president, and the importance of advocacy and reaching out to those outside of our industry.

Advocacy Must Engage the Congregation

by Bob Stallman, American Farm Bureau Federation President

Farm Bureau’s brand of advocacy has been a key part of my entire adult life. I first got involved with the organization when I was relatively young and was having problems with the state of Texas over water rights on my farm. I traveled to a committee hearing in Austin—the first time I’d been to a hearing and the first time I’d been to the state capitol—and met Farm Bureau representatives testifying on behalf of landowners’ water rights. I realized then and there that they were advocating for me and my rights.

When I got home, I took a deliberate step to become involved in my home county Farm Bureau in Colorado County, Texas. I saw first-hand that farmers and ranchers have to be the ones to stand up for agriculture to influence decisions that affect us, otherwise plenty of other people would be more than happy to make those decisions for us. Now, I can’t imagine my life if that hearing in Austin had never happened.

Since those early days at the Colorado County Farm Bureau, I’ve been blessed to travel our great nation, and the world on behalf of Farm Bureau members. From the formality of congressional hearings on Capitol Hill, to the international flavor of world trade negotiations, I still feel most comfortable and at home when I’m headed down a country highway to a friendly, local school cafeteria for a county Farm Bureau meeting. The grassroots level is where all true agricultural advocacy begins.

As I hear the voices and soak in the energy from these grassroots Farm Bureau meetings, it gives me a personal connection to the issues I deal with. Most of the time what they have to say is good, some of the time it’s not. That’s the beauty of Farm Bureau, there’s always room for healthy debate. But in all of my travels, I have never met a farmer without something to say, or more importantly, not willing to get involved to help further our grassroots process. It’s this commitment of our grassroots members who play an active role in U.S. agriculture policymaking that makes Farm Bureau one of the most successful advocacy organizations in this nation.

As Farm Bureau members, it is ingrained in us to be actively involved and to fight for what we believe in and for what we think will better our profession and our country. We are not ones to rest on our laurels while others do the work. We are also not the types to make a lot of noise about an issue and stop there. Farm Bureau members roll up their sleeves and get their hands dirty when it comes to matters that are close to our hearts.

They talk to their neighbors and other members of their community. And they share their personal stories through many platforms, traditional and new.

This, to me, is what advocacy is all about.

But, it doesn’t stop there. The future of upholding agriculture lies in farmers and ranchers being able to communicate in an even deeper and more meaningful way with consumers. We are being asked to fully take in the consumer point of view. We are being asked to answer questions in a meaningful and responsive way. Times are changing. Consumers have not only grown more interested—but have greater influence—in the type of food they consume and how it is produced.

Unfortunately, without the cultivation of deeper connections with consumers, many are apt to view farmers as the unfortunate puppets of Big Ag, because that is pretty much the scope of the emotionally charged messages they read and hear from those planting seeds of doubt about today’s agriculture. It truly is time for a consumer intervention, but one that makes significant and meaningful connections through the qualities of shared values, mutual respect and common ground. The two-way conversation needs to become a connection built on a foundation of understanding and ideals.

I’ve learned many things in my agriculture career. For instance, it never rains when you need it to and there will always be more taxes. More importantly, I’ve learned that farmers and ranchers are the best advocates for their land, their animals and the food they produce. But to be our best advocates, we have to stop preaching to the choir and engage the congregation. It may not be easy and it may not always be comfortable, but it is the best way to ensure the future of those who follow in our chosen profession of agriculture.

Federal Issues Update: EPA Updates to Air Quality Standards and Regulations of Greenhouse Gases Concern Farmers

The Environmental Protection Agency recently proposed updates to its national air quality standards for both coarse and fine particulate matter. EPA proposed no changes to its standards for coarse particles, which include dust commonly generated by typical farming practices and driving on unpaved rural roads.

“Although we’re pleased with EPA’s decision not to propose changes to its standards for coarse dust particles at this time, there’s much more to this story,” said AFBF President Bob Stallman. “We remain concerned that the final rule EPA will publish later this year could look very different from the initial proposal.”

EPA is expected to publish a final rule on its National Ambient Air Quality Standards in December. The Clean Air Act requires EPA to review ambient air quality standards every five years.

“America’s food producers – farmers and ranchers – need stability and certainty regarding government regulations, which is why Farm Bureau supports the Farm Dust Regulation Prevention Act,” said Stallman.

The Farm Dust Regulation Prevention Act, which would exempt agriculture from EPA regulations, was passed by the House but has not been brought up for consideration in the Senate.


In other air quality news, AFBF told a House subcommittee today that many of America’s farmers and ranchers will face economic challenges due to the EPA’s plan to regulate greenhouse gases.

Carl Shaffer, president of the Pennsylvania Farm Bureau, testified on behalf of AFBF before the House Energy and Commerce Subcommittee on Energy and Power.

“Costs incurred by utilities, refiners, manufacturers and other large emitters to comply with GHG regulatory requirements will be passed on to the consumers of those products, including farmers and ranchers,” Shaffer said. “The end result is that our nation’s farmers and ranchers will be forced to contend with higher input costs to grow food, fiber and renewable fuels.”

Shaffer said farmers will face another economic hit when regulations are fully phased in under EPA’s “tailoring” approach which will apply to farms and ranches that emit, or have the potential to emit, more than 100 tons of greenhouse gases per year. Those farms and ranches will be required to apply for and obtain a Title V operating permit. Based on EPA’s numbers, Shaffer said just the expense of obtaining permits would cost agriculture more than $866 million.

In his testimony, Shaffer expressed Farm Bureau’s support for the House-passed Energy Tax Prevention Act of 2011, which prevents EPA from regulating greenhouse gases. Farm Bureau opposes the regulation of greenhouse gases by EPA under the Clean Air Act.