Senators Propose "Hard Cap" on Farm Subsidies to Support Family Farmers

Senators Chuck Grassley and Sherrod Brown are championing a new bill proposing a "hard cap" of $250,000 on crop subsidies per farm, signaling a push towards supporting family farmers and eliminating disparities in the support system. 

The Grassley-Brown bill wants to set a limit on how much money each person and each farm can get as payment for their crops. They say that one person can get up to $125,000, and the whole farm can get up to $250,000 each year. This rule makes sure that spouses can still get help too. 

The legislation requires subsidy recipients to actively participate in agriculture by dedicating at least 1,000 hours of labor and management each year. This measure amounts to working full-time for 25 weeks and ensures that the subsidies benefit those genuinely engaged in farming. 

For many years, Congress tried to reduce the amount of money given as subsidies to farmers. However, some clever tricks allowed some people to get the money without doing what they were supposed to do. In 2018, a report by the Government Accountability Office highlighted instances where individuals claimed active management roles despite limited involvement, resulting in substantial subsidies of up to $651,000. 

During the previous administration, regulatory changes provided easier access to subsidies, including exemptions for family-run farms from certain management requirements. Also, the expanded eligibility criteria allowed first cousins, nieces, and nephews to qualify for subsidies, widening the scope for joint operations involving family members. 

The Grassley-Brown bill aims to address these issues and create a fairer and more transparent support system for family farmers. It also proposes ending the payment limit exemption for peanut farmers and eliminating the double payment limit provision. 

Senators Brown and Booker are also proposing a bill to restrict corporations, subsidiaries, and investment funds from acquiring or leasing agricultural land, aiming to ensure equitable land distribution. 

Senators Grassley, Brown, and Booker are working hard to make farm subsidies better. They want to help families who work on farms and make sure everything is fair in the farming industry. Their bill's "hard cap" rule makes sure that only those who really work on farms can get support. They want to give everyone an equal chance to get help from the government.