2011 Bugdet Information from ASFMRA Legislative Action News
The following information comes from the American Society of Farm Managers and Rural Appraisers (ASFMRA) Legislative Action News e-newsletter that is provided to members of the American Society. The Halderman Companies have several members of the ASFMRA, including all the company ownership and management team. For more information on ASFMRA, please visit their web site at www.asfmra.org.
President Obama released his Fiscal Year (FY) 2011 budget today [Feb 2, 2010]. It proposes $3.8 Trillion in spending and a projected deficit of $1.27 trillion, or 8.3 percent of the gross domestic product (GDP). That comes after the deficit is expected to be $1.56 trillion, or 10.6 percent of GDP, in FY 2010.
The budget includes:
· Cuts to crop insurance of roughly $8 billion over 10 years via the Standard Reinsurance Agreement negotiation.
· Reduce the direct farm payment cap from $40,000 to $30,000 per person.
· Reduce the Adjusted Gross Income (AGI) test from $750,000 for farm income to $500,000 and the non-farm AGI from $500,000 to $250,000.
· Terminate cotton and peanut storage payment program.
· Cuts to the Environmental Quality Incentives Program (EQIP) of $380 million from 2008 farm bill authorized level of $1.588 billion.
Clearly, many of these proposals would require Congress to reopen the 2008 farm bill. Something it will be very reluctant to do.