Source: PRESS RELEASE, 10/6/11

Representative Randy Neugebauer (R-TX) issued the following statement today regarding the Crop Risk Options Plan (CROP) Act, which he introduced in the House of Representatives on October 5, 2011. This bill would give producers new options for federal crop insurance:

“This bill builds on a concept I introduced as part of the last farm bill that would enable producers to insure crops against shallow losses, which can be 25-30% of a farmer’s expected production. These shallow losses do not always trigger an indemnity with the existing multi-peril insurance plans, which can quickly add up across several thousand acres on the modern family farm. This bill’s county-level trigger for area plans would closely mirror a farmer’s production. This bill would also change the way the Risk Management Agency (RMA) determines yield histories, moving from a 10-year average to a seven-year Olympic average. This modification would result in yield histories that more closely follow the actual yield levels of modern crop production practices.

“I believe this bill would enhance the current crop insurance program for farmers as they face weather risks. I am committed to ensuring farmers and ranchers have cost-effective crop insurance options that work.”