Crop Insurance Today November 2012 - (Page 4)

TODAYcrop insurance Farm Bill 2012 Debate Crop Insurance Takes Center Stage Keith Collins and Harun Bulut, NCIS Agricultural and food policy has undergone intense scrutiny during 2012 as Congress has tried to pass a new Farm Bill to replace the now-expired 2008 Farm Bill. Under extreme pressure to reduce Federal spending to trim a Federal budget deficit exceeding $1 trillion per year, the new Farm Bill must pare future spending on farm and food programs. Pending legislation in the Senate and the House of Representatives achieve funding reductions by reducing spending on farm and conservation programs, food assistance and other programs, while increasing funding for crop insurance. These changes are consistent with choices expressed by major farm and commodity groups to cut less important farm programs and use the savings to meet required budget cuts and to maintain and strengthen risk management programs. This article discusses the current state of Farm Bill development, the influence of the Federal budget problems, and the major provisions affecting crop insurance in the pending Farm Bills passed by Senate and House Agriculture Committee. The article concludes with some results from recent research conducted at NCIS to assess how farmers may value the various new programs in the context of their crop insurance coverage choices. 2008 Farm Bill Expires Most agricultural policy is authorized by a Farm Bill, which is legislation that amends prior legislation and creates new programs. The amendments and new programs usually are authorized for a limited period of time, usually five years, and provide mandatory funding for mandatory programs and authorizations for appropriations for discretionary programs. Farm bills also suspend provisions of various permanent laws. For example, the Farm Security and Rural Investment Act of 2002 (the 2002 Farm Bill), like prior Farm Bills, suspended permanent law commodity program provisions of the Agricultural Adjustment Act of 1938 (1938 Act) and the Agricultural Act of 1949 (1949 Act), permanent laws which contain the major commodity program provisions. The 2002 Farm Bill also made changes to crop insurance, amending provisions of the Federal Crop Insurance Act, also permanent law. 4 november 2012

Table of Contents for the Digital Edition of Crop Insurance Today November 2012

The Song Remains the Same
2012 Farm Bill Debate -- Crop Insurance Takes Center Stage
Step 7: Developing and Testing Transitional Plans
Vermont Orchard Depends on Crop Insurance
Jim Deal Receives Orville L. Freeman Award
Charles "Chuck" Lee Joins NCIS
Drought & Adjuster Education is Video Shoot Focus
1890 Scholarship Recipients
In Memory of Brian J. Laird

Crop Insurance Today November 2012