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Overview of federal farm policy and the federal Farm Bill.
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Brad Redlin, DirectorBrad Redlin, DirectorIWLA Agricultural ProgramsIWLA Agricultural Programs
Upper Mississippi River Upper Mississippi River InitiativeInitiative
Missouri River Missouri River InitiativeInitiative
AgriculturalAgriculturalConservationConservation
Introduction Introduction to the to the
Farm BillFarm Bill
IWLA Agricultural Programs
1. Background
2. Federal Farm Bill
3. Agricultural Conservation
52 percent of total U.S. land is in agricultural use.52 percent of total U.S. land is in agricultural use.
Urban land use is 2.6 percent.Urban land use is 2.6 percent.
Parks and wildlife areas are 13.1 percent.Parks and wildlife areas are 13.1 percent.
Farm policy directly impacts environment.Farm policy directly impacts environment.
5,200 square mile average Hypoxic zone 1985-2010.5,200 square mile average Hypoxic zone 1985-2010. 7,722 square miles in 2010.7,722 square miles in 2010.
US EPA Office of Water
IWLA Agricultural Programs
1. Background
2. Federal Farm Bill
3. Agricultural Conservation
Title ICommodity Programs Title II Conservation Title III Trade Title IV Nutrition Programs Title V Credit Title VI Rural Development Title VII Research Title VIII Forestry Title IX Energy Title X Horticulture and Organic Agriculture Title XI Livestock Title XII Crop Insurance and Disaster Assistance Title XIII Commodity Futures Title XIV Miscellaneous Title XV Tax Provisions
2008
2008 Farm Bill spends $35 billion Title I, $25 billion Title II.2008 Farm Bill spends $35 billion Title I, $25 billion Title II.
2008 Farm Bill increased conservation $4 billion 2008 Farm Bill increased conservation $4 billion
Highest payments per acre correspond to highest runoff risk.Highest payments per acre correspond to highest runoff risk.
2010 Gulf Hypoxic zone forecast 7,776 sq. miles (52010 Gulf Hypoxic zone forecast 7,776 sq. miles (5thth largest) largest)
May-June 2008 Mississippi basin nitrogen 7,761 metric tons/dayMay-June 2008 Mississippi basin nitrogen 7,761 metric tons/day
Nitrogen
“Simply put, commodity programs wed farming regions to an ongoing pattern of economic consolidation. It should not be surprising, therefore, that the very places that depend most on federal farm payments also happen to be places where economic consolidation is happening apace…. Traditional programs simply do not provide the economic lift that farming regions need going forward.” -Federal Reserve Bank, Center for the Study of Rural America, 2005
Five crops dominate commodity programs; regional participation.Five crops dominate commodity programs; regional participation.
Conservation Title contains a suite of programs.Conservation Title contains a suite of programs.
Programs meet different goals and utilize different methods.Programs meet different goals and utilize different methods.
Conservation ComplianceConservation ComplianceHighly Erodible Land Conservation / Sodbuster, Wetland Conservation (Swampbuster)
Reduce soil erosion on the Nation’s cropland; Protect the Nation’s long-term capability to produce food and fiber; Reduce sedimentation and improve water quality; and, Preserve and protect the Nation’s wetlands.
Penalties are reduction or loss of farm program payments.Penalties are reduction or loss of farm program payments.
Ducks Unlimited photo
NRCS photoNRCS photo
Farm participation in Farm Bill programs.Farm participation in Farm Bill programs.
Conservation cut $5 billion from ‘02 Farm Bill authorization.Conservation cut $5 billion from ‘02 Farm Bill authorization.White House, Senate, House all proposed FY11 conservation White House, Senate, House all proposed FY11 conservation cutscuts
2002
80% of compliance violations were waived on appeal.80% of compliance violations were waived on appeal.
• Sodbuster no deterrentSodbuster no deterrent
• Crop insurance is Crop insurance is incentive to convertincentive to convert
• Grassland conversion Grassland conversion counties netted double counties netted double insurance benefits of insurance benefits of other countiesother counties
““Sodsaver”Sodsaver”•Sodsaver provision: Any land without a prior cropping history will be ineligible for crop insurance and disaster payments.
•Applies only in Prairie Pothole Region of IA, MN, MT, ND and SD -- and only by enactment of the Governor.
Ducks Unlimited photo
Ducks Unlimited photo
Ethanol Dependency -- 2-2-09 A new South Dakota State University study highlights the ethanol industry and its importance for economic viability. In South Dakota, 60%of the corn produced went into ethanol production. In Iowa, that figure is 50%. Forty percent of Nebraska's corn goes to ethanol production; in Minnesota and Illinois, that figure is 30%. SDSU economists say this study implies a growing level of dependency on the ethanol industry for the health of the rural economy.
Energy Independence and Security Act of 2007Energy Independence and Security Act of 2007 (P.L. 110-140) (P.L. 110-140) signed Dec. 19, 2007
36 billion gal. total in 2022; max 15 billion from corn
21 billion in 2022 from “advanced biofuel” GHG < 50%
IWLA Agricultural Programs
1. Background
2. Federal Farm Bill
3. Agricultural Conservation
2008 Food, Conservation, and Act retained and revised2008 Food, Conservation, and Act retained and revised
Conservation programs.Conservation programs.
All Good Faith determinations must be reviewed at state level.All Good Faith determinations must be reviewed at state level.
Graduated Penalties established for HELC violations.Graduated Penalties established for HELC violations.
FAPRI
FAPRI
FAPRI
FAPRI
Participation pays off.Participation pays off.
Without USDA Conservation:Without USDA Conservation:
►450 million tons of topsoil lost every year.
►170,000 miles of unprotected streams.
►48 million more tons of carbon dioxide.
►40 million fewer acres of wildlife habitat.
►2.2 million fewer ducks.
►13.5 million fewer pheasants.
USDA NASS August 2008
“Natural Amenities”Economic Research Service/USDA:
Protecting and enhancing naturalProtecting and enhancing natural
amenities—pleasant landscapes, outdooramenities—pleasant landscapes, outdoor
recreation, community life—drawsrecreation, community life—draws
population and economic vitality.population and economic vitality.
Natural amenities are highly correlatedNatural amenities are highly correlated
with population and employment growthwith population and employment growth——
they even shape agriculture. The numberthey even shape agriculture. The number
of farms has increased in counties withof farms has increased in counties with
high levels of natural amenities.high levels of natural amenities.
USDA photo
USDA photo
USDA photo
www.iwla.orgwww.iwla.org
Stewardship, Prosperity, and Stewardship, Prosperity, and FairnessFairness
The Izaak Walton League of America’s values-based vision of agriculture for all
of America
Brad RedlinDirector, Agricultural Programs651.649.1446 ex [email protected]
CSP contracts 2010 #1