understanding the farm bill-m scott faber ewg
DESCRIPTION
Scott Faber with the Environmental Working Group goes over some key points in the 2012 Farm Bill legislation.TRANSCRIPT
Understanding the Farm Bill
Scott FaberEnvironmental Working Group
Understanding the Farm Bill
• Not really a “Farm Bill”• Helps Large Farmers, Not Family Farmers• Protects and Restores the Environment• Reduces Hunger• Support Healthy Diets
Understanding the Farm Bill
• Deep v Shallow Losses?• Revenue v Price-Based Safety Net?• Expands Crop Insurance
o Generous Subsidieso No Limitso No Transparencyo No Environmental Protections
Cumulative Cost of Subsidies
1995
1997
1999
2001
2003
2005
2007
2009
0
50,000,000,000
100,000,000,000
150,000,000,000
200,000,000,000
250,000,000,000
Insurance SubsidiesCommodity and Disaster Payments
Rising Cost of Insurance Subsidies
20012003
20052007
20092011
20132015
20172019
20210
1,0002,0003,0004,0005,0006,0007,0008,0009,000
10,000
A&O SubsidyPremium Subsidy
Insurance Subsidy v Direct Payments
Barley
Canola
Corn
Cotton
Grain So
rghum
Rice
Soyb
eans
Sunflowers
Wheat
0
20
40
60
80
100
Premium Subsidies Per Acre
Direct Payment Per Acre
Understanding the Farm Bill
http://farm.ewg.org/cropinsurance.php
The New York Times June 6, 2012
“When you can remove nearly all the risk involved and guarantee yourself a profit, it’s not a bad business decision,” said Darwyn Bach, a farmer in St. Leo, Minn.
“I can farm on low-quality land that I know is not going to produce and still turn a profit.”
Wetland Loss
1950s-1970s
1970s-1980s
1980s-1990s
1998-2004
2004-2009
-500000
-400000
-300000
-200000
-100000
0
100000Acres
Source: US Fish and Wildlife Service
Understanding the Farm Bill
• Senate Bill:o Ends Direct Payments, Counter Cyclical Paymentso Creates “Shallow Loss” Revenue Guaranteeo Expands Crop Insuranceo Cuts Conservation o Cuts Nutritiono New $ for Local/Healthy
Understanding the Farm Bill
• Senate Bill:o Reduces Insurance Premiums for Largest Farms o Requires Conservation Protections for Insurance
Recipientso Does Not Cap Insurance Subsidieso No Transparencyo Does Not Reduce Subsidies to Insurance
Companies
Understanding the Farm Bill
• House Bill:o Deeper Cuts to Nutritiono Deeper Cuts to Conservationo Price-Based Safety Neto Less Support for Local and Healthyo Looming Deadline
Understanding the Farm Bill
Contact Information:
Scott Faber(202) 939-9127(202) 384-4280