Little talk of Farm Bill extension

THIESSE, from pg. 15 total or $1.95 billion per year (1 percent of total in 2018). It should be noted an additional $34.7 billion (2 percent) was allocated to conservation programs as part of the 2022 Inflation Reduction Act.

What if a new Farm Bill is not passed this year?

If no agreement can be reached on a new Farm Bill by the end of 2023, an alternative may be a oneyear extension of the current Farm Bill for 2024 to allow continuation of the programs under the current Farm Bill. This would maintain programs which may be discontinued without a new Farm Bill, or an extension of the current Farm Bill. This would also allow time for Congress to work out differences between various versions of a new Farm Bill. There have been one-year extensions in the past prior to the final passage of recent Farm Bills.

What is the likelihood of passing a new Farm Bill in 2023?

The Congressional Agriculture Committee leadership in both the U.S. Senate and U.S. House has been very committed to having a new Farm Bill completed by the end of 2023, with very little talk of an extension to the current Farm Bill. There are still a lot of hurdles to clear before a new Farm Bill is finalized and approved by both houses of Congress, and ultimately is sent to President Biden for final approval. This will likely need to happen by the end of 2023 or very early in 2024 to make it possible for the new legislation to be implemented for the 2024 crop year. Ultimately, there will likely be a compromise reached, and a new five-year Farm Bill will be passed. However, given the political division that currently exists in Congress, a one-year extension of the current Farm Bill is certainly a possibility by the end of 2023.

Kent Thiesse is a government farm programs analyst and a vice president at MinnStar Bank in Lake Crystal, Minn. He may be reached at (507) 726-2137 or kent.thiesse@minnstarbank.com.