Proposed Farm Bill Changes Target Farm Finances and Risk

Farm Bureau Economist Faith Parum discusses the latest Farm Bill proposal and the path ahead for Congress and U.S. agriculture.

Gail_Starkweather_10_22_15_USA_IA_Starkweather_Farm_033.jpg

Starkweather Farm in Iowa (2015)

FarmHER, Inc.

NASHVILLE, TENN. (RFD NEWS) — The House Agriculture Committee released its 800-page draft proposal as lawmakers continue work on the next Farm Bill, which includes several updated provisions now under review across the agricultural sector. Many producers are closely examining the draft as they consider how potential changes could impact their individual operations.

House lawmakers are preparing to rewrite the farm safety net, with markups of the “Farm Bill 2.0" draft scheduled for next week, and the biggest impact for producers may be on cash flow, borrowing ability, and risk protection starting this season.

The proposal updates ARC and PLC support programs with higher reference prices and additional base acres while strengthening standing disaster programs. It also allows faster payments and broader eligibility, especially for specialty crop operations. Lawmakers also want standing authority to deliver emergency aid through state block grants rather than waiting for Congress to pass relief each time markets collapse or weather disasters strike.

Credit provisions raise USDA loan limits, allow refinancing of distressed guaranteed loans into direct loans, and expand access for beginning farmers and transitioning operations. At the same time, crop insurance would broaden coverage options and create new policies for crops that historically struggled to obtain actuarially sound protection.

Taken together, the changes aim to stabilize farm balance sheets after several years of margin compression and working capital drawdowns.

If approved, the proposal would shift federal support toward predictable, pre-authorized risk management rather than ad hoc relief payments—a major structural change in how farm downturns are handled. Markup begins Monday in the House Agriculture Committee.

Farm-Level Takeaway: The new Farm Bill focuses on keeping producers financeable — protecting collateral, improving loan access, and making risk protection more predictable.
Tony St. James, RFD NEWS Markets Specialist

American Farm Bureau Federation (AFBF) economist Faith Parum joined us on Thursday’s Market Day Report to help break down what the proposal could mean for farmers and ranchers. She joined the program while attending the USDA Agricultural Outlook Forum, where she shared an update on how the event has been unfolding.

In her interview with RFD NEWS, Parum discussed how the draft may affect producers and outlined the next steps in the legislative process. \

Parum also explained why Congress is pursuing a full reauthorization of the Farm Bill, despite extensions of the 2018 legislation and updates to farm programs included in the “One Big Beautiful Bill” Act (OBBBA).

USDA Rolls Out $1B in Early Aid for Specialty Crops Ahead of Potential Farm Bill Provisions

Specialty crop growers may not have to wait for a new Farm Bill to see financial relief. The U.S. Department of Agriculture (USDA) is rolling out new assistance aimed specifically at specialty crop producers not included in the Farmer Bridge Assistance Program, providing early support as growers continue to face volatile markets and high input costs.

AFBF Director of Government Affairs John Walt Boatright says it is still too early to assess the program’s full impact until USDA releases additional details on how the assistance will be distributed.

“This will be the program that is used to disseminate up to $1 billion of a $12 billion package on bridge payments for growers dealing with volatile markets,” Boatright said. “We also know that they will base these payments on reported 2025 planted acres, and that has a deadline associated with it of March 13.”

While some specifics are still forthcoming, Boatright emphasized that now is the time for producers to take action to ensure eligibility. He encouraged growers to work through the Farm Service Agency to confirm their information is up to date.

“Where there will be details associated with that, and they have a list of eligible specialty crops,” Boatright added. “The first action is to make sure that you grow an eligible crop. Make sure to go on there and see if you have reported 2025 planted acres. Work with your local FSA office to report that by the deadline of March 13.”

According to Boatright, the aid is intended to help offset market disruptions, high input costs, and inflation. However, some farm groups argue that the $1 billion allocated for specialty crops may not be enough to fully address producers’ needs.

Related Stories
Justin Wheeler with the American Society of Farm Managers & Rural Appraisers joined us with insight into current farmland values and what to watch in the year ahead.
Tennessee 4-H members Jayden Hesson and Matthew Rochford joined us to discuss how 4-H is helping young leaders plan for the future of agriculture.
USDA Undersecretary for Trade and Foreign Agricultural Affairs Luke Lindberg joined us with a recap of the Malaysia trade mission and a look at USDA’s broader trade strategy moving forward.
Mike Steenhoek of the Soy Transportation Coalition shares how extreme winter weather is affecting the ag transportation network and what producers should keep in mind as conditions slowly improve.
Matt Brockman, Communications Director for the Fort Worth Stock Show and Rodeo, joined us with a look at how the legendary event is moving forward—weather and all.
Strong White House backing supports ethanol demand, but timing now hinges on Congress resolving procedural — at the same time as they push toward a spending bill to avert another federal government shutdown.
Greater transparency into USDA-backed lending can help rural lenders and producers better assess credit availability and investment trends.
Mixed product pricing and rising milk supplies suggest margin management will remain critical as 2026 unfolds.
Roger McEowen, with the Washburn School of Law, offers an in-depth look at two of the top legal issues of 202. Today, he walks through last year’s Waters of the United States (WOTUS) ruling and “lawfare.”

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Corey Owens of the San Angelo Stock Show and Rodeo Association shares updates about this year’s event and its continued impact on youth, agriculture, and the San Angelo community.
Success requires more than talent — on this week’s FFA Today, agriculture students show us the hard work, dedication, and teamwork required to gain important skills outside of the classroom through the National FFA Organization.
Federal assistance has helped, but the most recent row-crop losses remain on producers’ balance sheets.
OODIA’s Lewie Pugh discusses the EPA’s new Right to Repair guidance and other regulatory developments impacting the trucking and agriculture industries.
Tyler Schuster is an ag industry advocate who mentors and supports the next generation, especially women finding their place in the cattle industry.