January 15, 2025
www.gfb.org
Vol. 7 No. 1
CONGRESS EXTENDS FARM BILL THROUGH SEPTEMBER 2025 On Dec. 21, 2024, President Joe Biden signed into law the American Relief Act of 2025, providing fiscal year 2025 appropriations for the federal government though March 14, 2025, while funding disaster relief and economic assistance to farmers and extending the 2018 farm bill through September 2025. “Farm Bureau thanks the House and the Senate for finding common ground and passing legislation that will keep the government open and help farmers who are struggling with natural disasters, high supply costs and out-of-reach interest rates,” AFBF President Zippy Duvall said. “For many farmers, the disaster relief provided through the CR will be the difference between planting for another year or going out of business.” The bill passed the U.S. House by a 366-34 vote and the Senate by an 85-11 vote. Ten of Georgia’s 14 representatives and both of the state’s senators voted for passage. Following is analysis from AFBF’s Market Intel: The 2018 farm bill expired – for a second time – on Sept. 30, 2024. While the farm bill has been expired for nearly three months, the impacts of an expiration unfold slowly and unevenly across programs it supports. If an extension had not been passed, markets would have gone over the “Dairy Cliff” on Jan. 1, with USDA required to purchase dairy products at about twice current market prices, based on parity price formulas established in the 1930s using 1910-1914 commodity prices. Similarly high prices would have been offered for many crops in the 2025 crop year under so-called permanent law, which is suspended with every farm bill – and every farm bill extension. While the farm bill extension gives Congress until Sept. 30, 2025, to pass a new farm bill, it did not fund numerous programs without baseline funding – so-called “orphan programs.” The first extension of the 2018 farm bill included $177 million for 19 of its 21 orphan programs for the 2024 fiscal year. The current extension includes no such funding. Unfunded programs range from the Feral Swine Eradication and Control Pilot Program to Emergency Citrus Disease Research. Disaster Aid The second pillar of agriculture-related provisions in the American Relief Act of 2025 is $21 billion in disaster aid. Dozens of natural disasters occurred in 2023 and 2024 with over $1 billion in economic impact. For agriculture, significant events across these years include extreme drought -continued on next page