MINNEAPOLIS (AP) — Farm subsidies that have guided agriculture through record profits in recent years are going away in the five-year farm bill that could become law in the coming week. But new subsidies in the legislation could be just as generous, and farmers aren’t complaining.
Gone are direct payments, a politically untenable system in which landowners got fixed amounts per acre, whether crop prices were high or low — or even if they didn’t plant at all. Those will be replaced by a choice of one of two different subsidy approaches that require producers to suffer losses before they can get payouts. The bill also contains a new insurance-based program for cotton farmers.
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