News Item

WASHINGTON – President Bush signed into law H.R. 6849, a bill introduced by U.S. Rep. Bob Etheridge (D-Lillington) to suspend a provision in the 2008 Farm Bill that would have put thousands of small farms at risk.  Etheridge is the Chair of the Subcommittee on General Farm Commodities and Risk Management of the House Agriculture Committee.     

"This is good news for thousands of farmers who rent or lease smaller tracks of land for their farms this year," said Etheridge.  "I will begin working immediately to provide a permanent solution so small farmers will know what to plan for in the years to come."

The "10-base-acre provision" in the Farm Bill was intended to prevent farmers who own less than 10 base acres from receiving direct, counter-cyclical, or Average Crop Revenue Election (ACRE) program payments.  Congress intended for the "10-base-acre provision" to allow for producers with multiple small farms that each have less than 10-base acres, but that have a combined base acreage of more than 10, to be able to aggregate their farms to be able to continue receiving payments.  However, the U.S. Department of Agriculture (USDA) determined that the language in this section does not permit aggregation of base acres for producers with 10 base acres or less. 

Etheridge's bill, as amended, would suspend the provision for the 2008 program year.  Approximately 16,000 farms in North Carolina will be affected, according to the U.S. Department of Agriculture.

The current Farm Bill runs through the end of 2012, meaning Congress would have to provide a fix by the end of next year for the last four years of the Farm Bill.  Etheridge will begin working on a permanent legislative fix as Chairman of the Subcommittee with jurisdiction over this issue.

The bill extends the registration deadline for farmers to sign up for 2008 crop benefits to 45 days after enactment of the bill.

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