NASHVILLE, TENN. (RFD NEWS) — Federal spending on the U.S. farm safety net remains a very small share of the overall budget, despite growing dollar totals, according to research from Dr. Carl Zulauf at Ohio State University and farmdoc economists at the University of Illinois.
The Congressional Budget Office projects farm safety net spending at $37.3 billion for fiscal year 2027, including commodity programs, disaster assistance, and crop insurance. WCenterhile that may appear large, it represents just over one-half of one percent of total federal spending.
To put that into perspective, researchers compared it to the median U.S. household income. The equivalent share would amount to about $429 annually — less than what the average household spends on personal insurance.
Historically, federal budget constraints have shaped farm policy decisions, but the relatively small share of spending tied to agriculture may reduce political resistance to expanding programs. That dynamic may explain why recent farm safety net changes were included outside the traditional farm bill process.
The study suggests this shift could signal a new approach to farm policy, in which funding decisions are made within broader budget legislation rather than in standalone farm bills.
READ MORE: https://farmdocdaily.illinois.edu/2026/04/trillionitus-and-the-us-farm-safety-net.html
Farm-Level Takeaway: Farm programs remain small but politically easier to expand.
Tony St. James, RFD News Markets Specialist
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