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New Deal
The New Deal produces 3 agricultural programs making it the first Farm Bill. The Commodity Credit Corporation (CCC) was a loan that farmers could pay off by selling their product, but if the market price dropped their harvested crops were given to the CCC. The second program was the Agricultural Adjustment Administration (AAA) which paid farmers to cover crops as a conservation effort. The third program was a temporary installment (1934- 1935) that refinanced farm mortgages. -
Agricultural Adjustment Act of 1938
A reform to the original AAA (1933) that changed funding to federal money. It also required the farm bill to be updated every 5 years. -
Food and Agriculture Act of 1977
Target Price and Loan Program: target prices are set inversely to the market price of crops. Loans from the CCC are given out and crops are used as collateral. If your crops sell at market price, you do not receive subsidized payments.
Downward Adjustance in Loans: loan levels for certain crops fall if the market price is within 105% of the loan price. This maintains domestic and imported markets. -
1990 Farm Bill
Many new conservation laws are put into place: Conservation Reserve Program, the Wetlands Reserve Program, the Water Quality Incentive Program, and the Environmental Easement Program. This included 45 million acres of wetland conservation, and 10 million acres used to improve water quality.
Acreage Reduction Program (ARP): The 1990 Budget Act sets minimum ARP levels for wheat and feed grains. ARP levels are determined by the ratio of stocks to use. -
2008 Farm Bill
The Food, Conservation and Energy Act allows a reduction of payments in return for a state-based revenue of market crop prices. The payment rate for the Milk Income Loss Contract is increased from 34% to 45%.
Conservation Acts are improved upon including the Conservation Stewardship Program which rewards landowners for conservation practices, wetland conservation, Chesapeake Bay conservation, the Glassland Reserve Program, and wildlife protection acts.