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                                                                                       Updated September 28, 2018

Expiration of the 2014 Farm Bill: Some Potential Implications


The farm bill is an omnibus, multi-year law that governs an
array of agricultural and food programs. It provides an
opportunity for policymakers to periodically address a
broad range of agricultural and food issues. The farm bill
has typically undergone reauthorization about every five
years.

In the past, farm bills have focused primarily on farm
commodity program support for a handful of staple
commodities-corn, soybeans, wheat, cotton, rice, dairy,
and sugar. Farm bills have become increasingly expansive
in their topical scope since 1973, when a nutrition title was
included. Other prominent additions include conservation,
horticulture, and bioenergy programs.

The 115th Congress could establish the future direction of
farm and food policy, because many of the provisions in the
current farm bill (the Agricultural Act of 2014, P.L. 113-79)
expire in 2018.

Recent farm bills have been subject to various
developments, such as insufficient votes to pass the House
floor, presidential vetoes, or-as in the case of 2008 and
2014-short-term extensions. The 2002 farm bill was the
most recent to be enacted before the fiscal year expiration
date for some programs.


The timing and consequences of farm bill expiration vary
by program across the breadth of the farm bill. There are
two principal expiration dates: September 30 and December
31. The most recent farm bill-the 2014 farm bill (the
Agricultural Act of 2014, P.L. 113-79)-generally expires
either at the end of FY2018 (September 30, 2018), or with
the 2018 crop year that varies by crop. A crop year refers to
the year in which a commodity is harvested. A marketing
year follows the crop year and is the 12 months following
harvest during which the crop is typically sold, perhaps
under terms of the relevant government program.


The possible consequences of expiration range from
minimal disruption (if the program is able to be continued
via appropriations), ceasing new activity (if its
authorization to use mandatory funding expires), or
reverting to permanent laws enacted decades ago.

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Expiration of a farm bill on a September 30 fiscal year
matters for programs with fiscal year authorizations. These
programs include certain nutrition, conservation, and trade
programs, various agricultural programs excluding the Title
I commodity programs, along with many authorizations for
discretionary appropriations. Although the Supplemental


Nutrition Assistance Program (SNAP) has an authorization
of appropriations ending September 30, it (and other related
programs in the SNAP account) can continue to operate
with an appropriation.

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Expiration after October 1, at the end of a calendar year,
matters mostly for the farm commodity programs. In the
event that the current farm law would expire without
replacement legislation or an extension, the first commodity
to be affected would be dairy with a crop year that begins
on January 1, 2019.

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An appropriations act or a continuing resolution can
continue some farm bill programs even though a program's
authority has expired. Programs using discretionary
funding-and programs using appropriated mandatory
funding like those in the SNAP account-can continue to
operate via appropriations action.

Most farm bill programs with mandatory funding (with the
exception of the largest three: SNAP and programs in the
SNAP account, farm commodity programs, and crop
insurance) generally cease new operations when they expire
(e.g., the Conservation Reserve Program (CRP), and
Market Assistance Program (MAP)). However, existing
contracts under prior-year authority generally could
continue to be paid.

The mandatory farm commodity programs would begin
reverting to permanent law beginning with the 2019 crop
year, for which dairy is the first to be affected, beginning on
January 1, 2019. However, payments for the 2018 crop year
would continue to be authorized from the 2014 farm bill,
including final payments for corn and soybeans that would
be made as late as October 2019 after the 2018 crop's
marketing year.

Crop insurance is an example of a permanently authorized
and funded mandatory program that does not expire.

One mandatory conservation program-the Environmental
Quality Incentives Program-was extended through
FY2019 prior to expiration, so would not expire like other
programs.


Permanent law refers to non-expiring farm commodity
programs that are generally from the 1938 and 1949 farm
bills. The temporary suspension of permanent law has been
included as a section in all recent farm bills. If the
suspension of permanent law were to expire at the end of a
crop year, the permanent law provisions would take effect


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