Phase 4 Stimulus for Farmers

Posted on May 21, 2020 by Taylor in Farming Resources, Funding, Policy, Politics, Subsidies // 0 Comments

Phase 4 Stimulus for Farmers – The House Has Passed the Phase 4 Stimulus Bill. What could this mean for farmers?

From the National Farmers Union

As part of ongoing efforts to provide pandemic relief, the U.S. House of Representatives passed a $3 trillion stimulus package, known as the Health and Economic Recovery Omnibus Emergency Solutions (HEROES) Act. While questions about phase 4 stimulus for farmers remain, here is what we know…

The legislation would fund another $16.5 billion in direct assistance for farmers and ranchers, augmenting the $16 billion in payments that will be made through the Coronavirus Food Assistance Program (CFAP). National Farmers Union (NFU) President Rob Larew welcomed the news, saying that the provision “should help prevent the closure of thousands of family-owned operations” as they weather the “immense pressure” inflicted by the pandemic.

Additionally, the bill would temporarily increase the maximum monthly benefit for the Supplemental Nutrition Assistance Program (SNAP) by 15 percent, provide $20 million to strengthen farmer mental health resources through the Farm and Ranch Stress Assistance Network (FRSAN), offset biofuels producers’ losses by offering 45 cents per gallon of ethanol produced January through April, and extend employer-sponsored health care coverage to those who are recently furloughed or unemployed. “As rural communities cope with widespread unemployment, a growing rate of coronavirus cases, and underfunded medical facilities, all of these changes are urgently important and greatly appreciated,” Larew said.

The NFU was similarly pleased with a provision that would require the Occupational Safety and Health Administration (OSHA) to issue an emergency temporary standard (ETS) to protect workers at risk of occupational exposure to COVID-19, including meat packing workers. “Far too many of these workers have gotten sick or died in the past several months, which has wreaked havoc on the entire food system,” Larew noted. “We must do more to keep the people who feed us safe - both for their sake and for the sake of our food security.”

Furthermore, NFU applauded $25 billion in support for the U.S. Postal Service (USPS) which is currently expected to run out of funding by September. Because USPS is “particularly important to rural Americans who live in areas that lack reliable broadband access and are too remote to be served by private mail services,” a loss of service or increased rates would “cut these areas off from the outside world, limiting access to critical resources and potentially preventing participation in the upcoming election.”

Though the HEROES Act includes important and meaningful support for farmers and rural communities, it does not address some of the underlying flaws in the food system that has made it particularly vulnerable to the pandemic. “While working on this legislation and future legislation, we urge Congress to make meaningful and lasting changes with policies that balance supply with demand, ensure greater competition in the meat industry, and bolster local and regional food systems,” Larew concluded.

Senate Republicans have already indicated that they will not take up the bill. It’s unclear if or when they would draft an alternative piece of legislation, and what this means in terms of Phase 4 stimulus for farmers.

Learn about the Coronavirus Food Assistance Program which provides direct payments for farmers at https://www.beginningfarmers.org/cfap-direct-farmer-aid-program/