By Jamie Martin
Signed on July 4, the One Big Beautiful Bill Act (H.R.1) is now law, delivering $65.6 billion in new agriculture-focused investments through 2034. Of this, $59 billion strengthens safety nets like Agriculture Risk Coverage (ARC), Price Loss Coverage (PLC), Dairy Margin Coverage (DMC), and crop insurance.
Farmers will see raised reference prices for major crops, higher ARC revenue guarantees, and automatic access to the higher of ARC-CO or PLC for 2025. The USDA will allocate 30 million new base acres to farms without sacrificing existing ones, beginning in 2026.
For dairy farmers, Tier I DMC coverage increases to 6 million pounds, and multiyear participants will enjoy a 25% discount. Marketing assistance loans are extended through 2031, with stronger price floors and renewed cotton storage payments.
Crop insurance sees major enhancements. Premium support expands for beginning farmers, now defined as up to 10 years of experience. A new pilot program helps poultry growers with utility cost risks. All producers benefit from increased government subsidies, and coverage levels rise to 95% for area-based plans.
On conservation, funding continues for EQIP, CSP, and ACEP through 2031, although some funds are reallocated from the Inflation Reduction Act. Programs like Feral Swine Eradication, Grassroots Water Protection, and Public Access Incentives are renewed.
Trade support includes a new Agricultural Trade Promotion Program, offering $285 million annually from 2027. Specialty crops and organics receive boosts in research and pest control funding. USDA scholarship and research facility programs are also expanded.
Disaster assistance improves with full compensation for predator losses and partial payments for weather- and disease-related deaths. Tree replacement aid rises from 50% to 65%.
Tax benefits include permanent income tax relief, a $15 million estate tax exemption, 20% income deduction for pass-through farms, expanded business expensing, and extended Clean Fuel Production Credit to 2029.
“This bill offers measurable wins for producers navigating an increasingly complex farm economy,” the Farm Bureau stated.
Photo Credit: usda
Categories: National