Smaller farm aid, no benefits boost in bipartisan stimulus plan
Story Date: 3/27/2020

 

Source: POLITICO'S MORNING AGRICULTURE, 3/26/20

As details of the massive economic relief plan, H.R. 748 (116) , trickled out throughout Wednesday, lawmakers on both sides quickly started poking holes in the proposal, setting up another late night of last-minute negotiations in the Senate. We've covered the major food and ag issues in the mix this week — so what made the final cut? Here's a quick rundown:

More than $25 billion in food aid, but with a caveat. The bill provides $15.8 billion for the Supplemental Nutrition Assistance Program to cover an expected jump in applications as more workers are laid off. But Democrats were unable to secure the 15 percent boost to households' SNAP benefits they were seeking as a tradeoff for additional farm aid, writes Pro Ag's Catherine Boudreau.

— The progressive Center for Budget and Policy Priorities, which advocated for including the SNAP benefits expansion, estimated it would have cost an extra $5 billion and delivered an additional $100 per month in benefits for a family of four. CBPP said the SNAP funding included in the bill was essentially a "technical fix."

A nearly $24 billion boost for farmers and ranchers: The Depression-era financial institution known as the Commodity Credit Corporation would see its spending authority replenished to the tune of $14 billion. The package also sets up a $9.5 billion emergency fund for producers, including fresh fruit and vegetable growers, dairy farmers and cattle ranchers, along with local food systems like farmers markets.
— Republicans from major cattle-producing states, like Sen. John Hoeven (N.D.), initially wanted to restore an additional $20 billion to the CCC and hike USDA's borrowing authority for the program to $50 billion — a provision that was left out.

More than $285 million for USDA agencies: The Animal and Plant Health Inspection Service, Food Safety Inspection Service, Agricultural Marketing Service and USDA's rural development branch would each receive extra funding for emergency operations amid the pandemic.

The legislation also fixes the "retail glitch" in the 2017 tax law: Restaurants, retailers and other businesses will now be able to immediately write off renovations to their stores, after they were accidentally left out of the so-called qualified improvement property provision in the Republican tax code rewrite, per Pro Tax's Aaron Lorenzo. The change could mean $15 billion tax savings per year for those businesses, The New York Times writes.

























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