The Congressional Budget Office (CBO) has completed their analysis of the Agriculture Improvement Act of 2018, otherwise known as the “Senate Farm Bill.”
The CBO released the following summary:
“The Agriculture Improvement Act of 2018 would amend and extend some of the nation’s major programs for income support, food and nutrition, land conservation, trade promotion, rural development, research, energy, forestry, horticulture, and other miscellaneous programs administered by the Department of Agriculture (USDA) for five years through 2023.
CBO estimates that enacting S. 3042 would increase net direct spending by $1.4 billion over the 2019-2023 period and reduce net direct spending by $0.1 billion over the 2019- 2028 period, relative to CBO’s baseline projections. As specified in law, those baseline projections incorporate the assumption that many expiring programs continue to operate after their authorizations expire in the same manner as they did before such expiration. The cost of extending those authorizations through 2023 would total $387 billion, but because they are already included in the baseline, those costs are not included in this estimate.
In addition, S. 3042 would authorize the appropriation of specific amounts, for a wide variety of existing and new USDA programs. Assuming appropriation of the specified amounts, CBO estimates that implementing those provisions would cost $30.3 billion over the 2019-2028 period. CBO has not completed an estimate of the cost of implementing other provisions of the bill without specified authorization levels.
Because enacting S. 3042 would affect direct spending, pay-as-you-go procedures apply. Enacting the bill would not affect revenues.
CBO estimates that enacting S. 3042 would not increase net direct spending by more than $2.5 billion or on-budget deficits by more than $5 billion in any of the four consecutive 10-year periods beginning in 2029.”
The Senate hopes to get the Farm Bill on to the floor next week. The U.S. House of Representatives passed their version of the Farm bill on Thursday. The two houses then take their bills to a conference committee.