The following is summarized from an article originally published Feb. 27, 2024.
Funding for the US Department of Agriculture (USDA), and three other federal departments, is set to expire at midnight this Friday, March 1, absent congressional approval of a Fiscal Year 2024 (FY24) appropriations bill, or an extension of current funding. Amidst final-hour congressional negotiations to fend off a government shutdown, several policy riders have emerged as sticking points in reaching a deal on agriculture spending in particular. A “rider” refers to a non-germane legislative provision tacked onto a must-pass appropriations bill.
The House of Representatives’ FY24 Agriculture Appropriations bill – initially unveiled almost a year ago, in early spring 2023 – includes a number of harmful policy riders on top of deep funding cuts. This post briefly examines several proposed policy riders as Congress seeks to conclude FY24 appropriations negotiations.
Limiting Fair Competition
One such policy rider, related to the implementation of rules associated with the Packers and Stockyards Act (P&SA), would effectively prevent the USDA from promoting fair market competition for livestock and poultry growers, both now and in the future. The P&SA was passed in 1921 to combat anticompetitive practices in the livestock and poultry industries as corporate meatpackers and processors (also known as integrators) consolidated and amassed substantial power over producers. Enforcement waned over time and in 2019, almost a century later, just four companies processed 85 percent of beef, 67 percent of pork, 53 percent of chicken, and 55 percent of turkey.
Hampered Response to Emergent Agricultural Needs
Another proposed rider seeks to restrict USDA’s ability to direct Commodity Credit Corporation (CCC) resources toward emergent agricultural needs. This in turn could deal significant blows, both now or in the future, to initiatives such as the Regional Agricultural Promotion Program, the Organic Market Development Grants, the Fertilizer Production Expansion Program, the Local Food Purchase Assistance Program, and the Partnerships for Climate-Smart Commodities.
The CCC is the mandatory funding mechanism for many federal agricultural programs. A wholly owned corporation of the United States government, the CCC was created during the New Deal and put into its current statutory framework in 1948. The CCC is used to fund commodity, conservation, bioenergy, and trade programs included in the periodically re-authorized federal farm bill.
Other Threats
Beyond these threats, the House bill also includes several riders that would block USDA from carrying out a variety of its racial equity-focused initiatives, including anything related to Executive Orders 13985, 14035, and 14091, or the creation and establishment of an Office of the Chief Diversity and Inclusion Officer. This rider, like the others, is counter to NSAC’s mission and vision.
As Congress seeks to resolve FY24 Appropriations negotiations in the coming days, numerous riders – each of which carries their unique negative impacts – continue to be debated. NSAC believes including any of the aforementioned riders would lead to a less just and resilient food and farm system. Consequently, Congress should pass a clean FY2024 agriculture appropriations bill by keeping these and other riders out of any final deal.
