Comparing House, Senate Farm Bills

House Bill
HR 2646

Senate Bill
S 1628

Term of Bill

2002-11 crops (10 years)

2002-06 crops (5 years)

Payment Acres

Producer choice of: (A) either 4-year average (1998-01) planted or considered planted to commodity, or (B) current contract acreage. Note: Producer must choose 4-year average to be eligible to establish oilseed payment base.

Producer choice of: (A) 4-year average (1998-01) of acreage planted or considered planted to commodity or (B) the current contract acreage plus oilseeds. Base cannot exceed total cropland.

Payment Yield

2002 payment yield to be used for fixed and counter cyclical payments

If producer chooses Option A for payment acreage calculation, then he has option to choose: (1) average of  yield per harvested acre for 1998-01 crops, excluding any crop year for which crop not planted and 1 additional year, or (2) 2002 payment yield. If producer chooses Option B for payment acreage calculation, yield equals 2002 payment yield. Applicable for direct and income protection payments

Payment Factor

85% of base acreage

100% of base acreage

WTO Adjustment Authority

Secretary has authority to make adjustments in each year?s final counter-cyclical payment if determined to exceed "amber box" aggregate limit of $19.1 billion

Secretary has authority to make adjustments in each year?s final counter-cyclical payment if determined to exceed "amber box" aggregate limit of $19.1 billion

Decoupled Fixed Payment

Wheat - $0.53/bu
Corn - $0.30/bu
GS - $0.36/bu
Cotton - $0.067/lb
Rice - $2.35/cwt
Soybeans - $0.42/bu
Min. Oilseeds - $0.0074/lb

Wheat
Corn
GS

Cotton
Rice
Soybeans
Min. Oilseeds

$0.45/bu
$0.270/bu
$0.31-0.27/bu
0.13/lb
$2.45/cwt
$0.55/bu
$0.10/lb

$0.225/bu
$0.135/bu
$0.135/bu

$0.065/lb
$1.225/cwt
$0.275/bu
$0.005/lb

$0.113/bu
$0.068/bu
$0.068/bu

$0.0325/lb
$0.6125/cwt
$0.138/bu
$0.0025/lb

Decoupled Counter Cyclical Payment

Difference between target price and effective price. Effective price equal to fixed payment plus higher of 12-month season average price received or loan rate. Advance payments authorized.

Target Prices:
Wheat - $4.04/bu
Corn - $2.78/bu
GS - $2.64/bu
Cotton - $0.736/lb
Rice - $10.82/cwt
Soybeans - $5.86/bu
Minor Oilseeds - $0.1036/lb

Applicable to 2004-06 crops

Difference between income protection price and direct payment plus higher of first 5 month of marketing year average price received or loan rate. Advance payments authorized.

Income Protection Prices:
Wheat - $3.45/bu
Corn - $2.35/bu
GS - $2.35/bu
Cotton - $0.68/lb
Rice - $9.30/cwt
Soybeans - $5.75/bu
Minor Oilseeds - $0.105/lb

Loan

All production of applicable commodity is loan eligible, including production on non-contract farm.

Marketing Loan Maximum Rates:
Wheat - $2.58/bu
Corn - $1.89/bu
GS - $1.89/bu
Cotton - $0.5192/lb*
Rice - $6.50/cwt (fixed)
Soybeans - $4.92/bu
Minor Oilseeds - $0.087/lb
*min. rate = $0.50/lb

All production of applicable commodity is loan eligible for 9-month loan.

Marketing Loan Rates:
Wheat - $3.00/bu
Corn - $2.08/bu
GS - $2.08/bu
Cotton - $0.55/lb
Rice - $6.85/cwt
Soybeans - $5.20/bu
Minor Oilseeds - $0.095/lb

Cotton Competitiveness Provisions

Maintains 3-Step competitiveness provisions

Maintains 3-Step competitiveness provisions

Planting Flexibility

Unchanged from current law. Producer can plant any crop on base acres except fruits and vegetables unless history of double-cropping or established history in which case payments would be reduced.

Producer can plant any crop on base acres except fruits, vegetables and wild rice

ELS

Non-recourse loan based on formula;
.7965/lb. (maximum rate)
Competitiveness provisions renewed without funding cap

Non-recourse loan
.7965/lb. fixed rate
Competitiveness provision renewed without spending cap

Payment Limits

$50,000/person - Fixed Payment
$75,000/person - CC Payment
$150,000/person - Marketing Loan Gain/LDP
Maintains use of marketing certificates for loan redemptions.
Maintains 3-entity rule

$100,000/person combined limit for fixed and counter-cyclical payments
$150,000/person - Marketing Loan Gain/LDP
Maintains use of marketing certificates for loan redemptions
Maintains 3-entity rule

Peanuts

Separate program with fixed and cc payments. Fixed payment rate =$36/ton and cc target price =$480/ton. Establishes a marketing assistance loan of 350/ton. Terminates marketing quota program and compensates quota holders @ $.10/lb per year for 5 years.

Separate program with fixed and cc payments. Fixed payment rate =$36/ton and cc target price = $520/ton. Also establishes a marketing assistance loan with rate = $400/ton.
Terminates marketing quota program and compensates quota holders @ .10/ lb. per year for 5 years.

Conservation Compliance

Continues swampbuster and highly erodible land compliance requirements for program benefit eligibility.

Continues swampbuster and highly erodible land compliance requirements for program benefit eligibility.

Conservation Security Act

N/A

New program provides payments to producers who adopt or maintain conservation on lands in production. Payment rates based on average county rental rate limited to $20,000 - tier 1; $35,000 - tier 2 and $50,000 - tier 3. Tier 1- basic management practices; Tier 2 - practices to treat resource on operation; and, Tier 3 - whole farm plan.

CRP

Reauthorize; 39.5 million-acre enrollment cap.

Reauthorize; 40 million-acre enrollment cap.

WRP

Reauthorize; additional enrollment of 150,000 acres per year

Reauthorize; additional enrollment of 250,000 acres per year

EQIP

Reauthorize; funds at $1.2 billion per year; livestock and commodities allocated 50% each; $675 million set-a-side for groundwater conservation measures

Reauthorize; funds at $300 million FY02; $850 million FY03; $1 billion FY04; $1.1 billion FY05 and $1.25 billion FY06. Limits payments to $150,000 total; 50,000/year- direct attribution

WHIP

Reauthorize; fund cost share at $25 million per year

Reauthorize; fund at $50 million FY02 and 03; $175 million FY04 and 05; and, $200 million FY06

Farmland Protection

Reauthorize; fund at $50 million per year

Reauthorize; fund at $150 million FY02 and 03; $175 million FY04 and 05; and, $200 million FY06

Grassland Reserve

New program; 2 million acres to be enrolled in 10, 15 and 20 year contracts

New program; 1 million acres of grass and shrub lands enrolled in 30 year and permanent easements, and 30 year rental contracts