Issues - Crafting the 2008 Farm Bill

The Farm Bill determines federal policy in agriculture for the next five to ten years. RAFI worked hard to make sure the voices of farmers get heard.

We had three main areas of focus:

ensuring fair contracts for farmers by doing away with binding mandatory arbitration clauses and other practices that put farmers at a disadvantage,
giving organic agriculture recognition and funding that accurately reflect its growing importance,
creating a strong economic infrastructure for farmers transitioning to organic, natural or other nontraditional mark ets.

RESOURCES

OVERVIEW

The Farm Bill Tree: Understanding the Logic of the Farm Bill (PDF) - What 's included in the farm bill? Why? Where do commodity payments fit in? The answers are here, in Scott Marlow's article.

FAIRNESS IN CONTRACT AGRICULTURE

Competition Title Sign On Letter (PDF)– Over 200 organizations signed onto this letter calling for a comprehensive Competition Title that would include contract reform provisions in the next farm bill.

Overview of 2008 Farm Bill Contract Agriculture Reform Pieces
Summary – CCAR Farm Bill (PDF)

Binding Mandatory Arbitration Fact Sheet (PDF) - Find out how binding mandatory arbitration affects contract farmers.

Arbitration vs. Court Costs for Poultry Farmers (PDF)

Kay Doby's Testimony Before the House Subcommittee on Livestock, Dairy and Poultry (PDF) - Doby, a farmer and president of the N.C. Poultry Grower's Association, shares her experiences as a contract farmer.

Scott Hamilton's Testimony Before the Senate Committee on Agriculture, Nutrition and Forestry (PDF) - Hamilton, a farmer from Alabama, shares his insights in to the contract system.

ORGANIC AGRICULTURE

RAFI/NCSA Platform for Organic in the 2007 Farm Bill - (PDF) What parts of the 2007 Farm Bill will affect organic farmers? How can the Farm Bill encourage organic farming?

National Organic Coalition Farm Bill Recommendations - (PDF) How can the farm bill support organic agriculture and business and maintain meaningful organic standards? Recommendations from NOC, of which RAFI is a founding member.

SUPPORT FOR TRANSITIONING FARMERS

Scott Marlow's Testimony Before the House Subcommittee on Commodities and Risk Mamagement (PDF) - Marlow offers analysis of and recommendations for crop insurance programs and the ways they serve organic, contract and value-added agricultural enterprises.

Disaster Programs Discourage Organic and Natural Food Production (PDF) - Current disaster relief and crop insurance programs put organic and natural farmers at a serious diadvantage. Learn why, and what can be changed.

View our monthly e-Bulletins for more information.

NEWS

New Farm Bill Will Benefit Contract and Organic Farmers
May 26, 2007

Thursday evening, most of the Food, Conservation and Energy Act of 2008 passed into law. This Farm Bill makes important strides in support of thriving, socially just and environmentally sound family farms. The Farm Bill puts new protections in place for contract farmers and creates exciting opportunities for the growth of organic and sustainable agriculture.

RAFI and our partners worked with farmers, consumers, industry
leaders, and legislators to encourage a farm bill that rewards and encourages justice and environmental sustainability. We applaud the successes that this bill represents and looks forward to future progress.

The Farm Bill that passed last week by veto override votes of 316-108 in the House and 82-13 in the Senate includes the following positive changes:

Justice in Agricultural Markets

Companies can no longer require farmers to sign away their right to challenge unfair practices in court. Farmers will be able to opt out of binding mandatory arbitration clauses at the time they sign a contract with a processing company.
Companies must disclose in any new or renewed contract if significant equipment and building upgrades will be required over the life of the contract.
USDA is required to promulgate new regulations that protect contract farmers from unfair practices such as arbitrary termination or unreasonable requirements for expensive upgrades.

Research

Organic research and data collection will receive meaningful funding for the first time.
Conventional plant and animal breeding, which utilizes classical techniques, will become a priority for federal research grants, and research timelines will be lengthened to recognize longer natural processes.

Conservation

Conservation programs will remain strong, and new procedures will be established to lessen paperwork and red tape for farmers who apply for both conservation and organic certification.
A new program will give transitioning and established organic farmers access to federal funds to help implement conservation practices as part of their organic farm plan.
A cost-share program will reimburse farmers for 75% of the cost of organic certification.

Risk Management

The bill requires collection of data on the actual risks and benefits of organic production and requires that crop insurance polices be changed appropriately wthin five years. Currently, organic farmers pay a five percent surcharge for insurance but receive compensation based on much lower, conventional prices.

The bill leaves room for improvement. We would like to see even stronger protections for contract farmers, protection for farmers and municipalities concerned about GMO contamination of their crops, and better disaster protection for organic and specialty farmers. However, Congress has taken steps in the right direction. We thank our friends and partners for their contributions to this historic piece of legislation.