THIS WEEK IN
Federal Policy News
October 20, 2022
AFBF Finalizes 2023 Farm Bill Priorities
The American Farm Bureau has released its list of priorities for the 2023 Farm Bill. The priorities were identified by the American Farm Bureau Federation Farm Bill Working Group made up of members and staff from across the country. CAFB staff served as chairs for two of the working group subcommittees. The AFBF board of directors voted unanimously to approve the recommendations. Final approval of policy priorities will be accomplished by a vote of delegates at the AFBF Convention in Puerto Rico in January 2023. AFBF’s overarching priorities include:
  • Continuing current farm bill program funding;
  • Maintaining a unified farm bill that includes nutrition programs and farm programs together;
  • Prioritizing risk management tools that include federal crop insurance and commodity programs;
  • Ensuring adequate USDA staffing and resources to provide technical assistance.

The priorities include more than 60 recommendations over multiple titles of the farm bill including reference price increases for commodities, more transparency for milk checks, funding for conservation programs, rural development, and streamlining of nutrition programs to get food to those who need it most.

Chairwoman Debbie Stabenow has indicated that the Senate Agriculture Committee plans to hold a few farm bill hearings before the end of the year. To date, the Committee has only held two listening sessions on farm bill issues, one in Michigan and the other in Arkansas, home state of the committee’s senior Republican, John Boozman.
California Water Infrastructure Projects Receive Bipartisan Infrastructure Law Funding
The Department of Interior has announced $210 million in bipartisan infrastructure funding for western water projects, including funding to advance three projects in California:
  • B.F. Sisk Dam Raise and Reservoir Expansion Project: $25 million to the San Luis and Delta-Mendota Authority to pursue the B.F. Sisk Dam Raise and Reservoir Expansion Project. Once complete, the project will develop approximately 130,000 acre-feet of additional storage.
  • Sites Reservoir Project: $30 million to pursue off stream storage capable for up to 1.5 million acre-feet of water in the Sacramento River system.
  • Los Vaqueros Reservoir Expansion Phase II: $82 million to integrate approximately 115,000 acre-feet of additional storage through new conveyance facilities with existing facilities to allow Delta water supplies to be diverted, stored and delivered.

The $8.3 billion included in the Bipartisan Infrastructure Law for Bureau of Reclamation water infrastructure projects, which California Farm Bureau helped secure, will allocate funding over the next five years. This specific funding announcement is part of the $1.05 billion available for Water Storage, Groundwater Storage and Conveyance Projects. Read the full announcement here.
USDA Reveals $800 Million Already Distributed for Financially Distressed Borrowers
On Tuesday, the USDA announced nearly $800 million in assistance has already been distributed for distressed borrowers with qualifying USDA farm loans under a $3.1 billion effort passed under the Inflation Reduction Act (IRA). According to a press release, the already allotted funds have helped approximately 11,000 delinquent direct and guaranteed borrowers, and 2,100 borrowers who had their farms foreclosed but still had remaining debt post-closure. In addition, they will be going through several thousand case-by-case situations in order to review and assist existing delinquencies from “complex” cases.

With over $2 billion still budgeted towards the effort, any applicable farmers utilizing USDA farm loans are encouraged to take a closer look at the details provided on their Distressed Borrowers page. The IRA included billions towards a number of programs within USDA, many of which have begun the early stages of being rolled out. The administration has acknowledged not only the existing challenges pre-pandemic, but the added burdens the agricultural industry has had to endure over these last two years. CAFB will continue to update members as these funds are distributed.
Specialty Crop Research Initiative
Program Funding Announced
The USDA National Institute of Food and Agriculture is seeking proposals for the Specialty Crop Research Initiative (SCRI) program. The purpose of the SCRI program is to address the critical needs of the specialty crop industry by awarding grants to support research and extension that address key challenges of national, regional, and multi-state importance in sustaining all components of food and agriculture. This is inclusive of both conventional and organic food production systems.
Projects must address at least one of five focus areas:

  • Research in plant breeding, genetics, genomics, and other methods to improve crop characteristics;
  • Efforts to identify and address threats from pests and diseases, including threats to specialty crop pollinators;
  • Efforts to improve production efficiency, handling and processing, productivity, and profitability over the long term (including specialty crop policy and marketing);
  • New innovations and technology, including improved mechanization and technologies that delay or inhibit ripening; and
  • Methods to prevent, detect, monitor, control, and respond to potential food safety hazards in the production efficiency, handling, and processing of specialty crops.

Projects funded will receive rewards ranging between $50,000 and $10million. There is an estimated total of $80 million in program funding available. For additional information, view the grant description Request for Application here. The deadline to submit applications is January 12, 2023.
AFBF Brings Together Dairy Industry on
Federal Orders Forum
This past weekend, the American Farm Bureau Federation (AFBF) held a Federal Milk Marketing Order (FMMO) Forum in Kansas City, MO. The event brought together roughly two hundred dairy farmers, policy developers, federal and state farm bureau presidents and staff, producers, and manufactures—a first-of-its-kind event aimed at creating a unified consensus on recommended changes to the FMMO system. Faults in the system became more pointed during the outset of the pandemic, an issue that many farmers were unable to recover from.

In a press release on Monday, AFBF and the National Milk Producers Federation agreed on a joint statement (found in full here), acknowledging their support for the system but noting that modernization is needed to keep the industry sustainable. Key topics for review included tweaks to all four Class pricing structures, incentives to discourage de-pooling (in certain Order Areas), and improved clarity around the program more holistically. FMMO has often been criticized for its complicated structure and pricing formulas. USDA is expected to hold a major hearing next year that will take these items under consideration.
Bipartisan PFAS Legislation Introduced in the Senate
Last week, legislation was formally introduced by Senators Susan Collins (R-ME) and Gary Peters (D-MI) over per- and polyfluoroalkyl substances (PFAS). PFAS are known as “forever chemicals” that have historically been used in a wide range of industrial and consumer products such as non-stick cooking pans and firefighting foams. In recent years, regulators have begun to turn their attention to the potential hazardous effects of PFAS given it has turned up in groundwater, fields, and even farm animals. Due to its nature as more of an “emerging” issue, most local, state, and even federal agencies have few regulations and protective programs in place to adequately address when contaminations have been identified.

For farmers, this has resulted in many farms effectively being shut down or frozen when a potential PFAS contamination is detected. With no financial assistance programs in place to help paralyzed farming operations, a potential contamination could be disastrous for impacted producers. Given this lack of any direct support programs, the Senators are hoping the legislation will spur a public-private partnership aimed at finding the best solutions to address both the regulatory and assistance elements needed in this area. CAFB has been working with other state farm bureaus as well as AFBF on this issue in recent months and will look at ways to engage more in this process on the legislative side.
Federal Policy Team
Sara Arsenault
Director of Federal Policy
Matthew Viohl
Federal Policy, Associate Director
Erin Hutson
Federal Policy, Consultant