Government News -
Monday, 11 May 2009 07:26
The Obama Administration released long-awaited budget details Thursday reflecting little change to agriculture proposals despite significant criticism from industry and Members of Congress.
The Administration’s proposals called for:
• imposing a hard payment limit cap of $250,000.
• phasing out direct payments to farmers with annual sales revenue above $500,000.
• reducing Market Access Program funding by 20 percent.
• reducing crop insurance premium subsidies by five percentage points on all coverage levels.
• increasing the government’s share of crop insurance underwriting gains to 20 percent from 5 percent.
• changing the way premiums for CAT coverage are calculated.
• eliminating any new funding for Agricultural Research Service buildings in 2010 and canceling balances for previously approved facility construction.
• terminating the Resource Conservation and Development program.
• terminating the Watershed and Flood Prevention Operations program.
These proposals largely mirrored proposals released in late February, which garnered extremely negative reactions from key Members of Congress and agricultural associations.