September 26, 2023

Contents

• What We’re Watching
• Notable News
• Upcoming Hearings
• Contact the Team

What We’re Watching

Congress 

Appropriations

This week will be the final opportunity for Congress to pass a legislative vehicle to avoid a government shutdown once the new fiscal year begins on October 1. Over the weekend, the House Rules Committee met to determine the terms for moving forward on four appropriations bills – Homeland Security, State, Defense, and Agriculture. Included in the Rule were dozens of amendments to each bill, including a manager’s amendment from Rep. Andy Harris that would cut funding for the Food for Peace program by $1.2 billion and cut spending by almost 15 percent for all other programs funded in the Agriculture bill, except for WIC.  Other food and agriculture amendments can be found on page 52 of this link.

Once House Members return on Tuesday, they will need to approve a procedural rule that, if adopted, would allow the House to move forward with consideration of the four appropriations bills. Debate on the Agriculture-FDA bill is slated to start on Tuesday evening, if the procedural vote on the rule passes.

On Saturday, Speaker Kevin McCarthy (R-CA) held a call to strategize on avoiding a shutdown, specifically focusing on how to pass a continuing resolution (CR) so both chambers have more time to discuss FY24 spending levels. However, the House Freedom Caucus has continued their vocal opposition to a CR and their willingness to bring a motion to vacate to the floor if Speaker McCarthy moves forward with a stopgap.

Meanwhile, the Senate is looking to introduce a legislative vehicle that includes disaster relief and aid for Ukraine. The Appropriations Committee is still working out the details, but both Majority Leader Chuck Schumer (D-NY) and Minority Leader Mitch McConnell (R-KY) are both working to get the bill introduced on the floor and passed through the Senate.

Budget Resolution

The House Budget Committee advanced Chairman Jodey Arrington’s (R-TX) budget resolution that spans over the next ten years. The plan overall would aim to reduce the deficit by $16 trillion, with discretionary spending to decrease by $4.6 trillion and mandatory spending by $8.7 trillion over the course of the next decade. The resolution requests that FY24 spending is capped at $1.47 trillion. The proposal did not include cuts to farm spending, but did propose $800 billion in cuts for the Supplemental Nutrition Assistance Program which is funded through mandatory appropriations spending authorized by the farm bill.

Farm Bill

While the main focus of Congress is to avoid a government shutdown, discussions continue within Agriculture Committee leadership and whether to include Inflation Reduction Act funding in the farm bill baseline. Senate Agriculture Committee Ranking Member John Boozman (R-AK) made a statement clarifying his stance on the issue, saying that he supports bringing IRA conservation funds into the farm bill without the climate-smart guardrails. He also says that “if the majority insists on maintaining these guardrails, the programs will remain out of the farm bill.” Senate Agriculture Committee Chairwoman Debbie Stabenow (D-MI) has made it clear that her position would only allow funds to move around in the farm bill with the continued climate guardrails, putting top negotiators in a public stalemate.

Administration

GAO Reaffirms Secretary Vilsack’s Use of CCC

In addition, the Government Accountability Office (GAO) has reaffirmed USDA Secretary Vilsack is allowed to use the Commodity Credit Corporation (CCC) to fund climate-smart programs. This comes after Senator Roger Marshall (R-KS) had questioned whether the Partnerships for Climate-Smart Commodities program should be subjected to restrictions of the Environmental Quality Incentives Program (EQIP). The House Appropriations Committee included restrictions for the ability of the Secretary to use the CCC, while the Senate version did not.

USDA Launches Labor Initiative

The USDA Agricultural Marketing Service announced the launch of the Farm Labor Stabilization and Protection Pilot Program. The program would allocate $65 million in American Rescue Plan funding for farmers that utilize the H2-A visa program with three main goals: to address current labor shortages in agriculture; reduce irregular migration from Northern Central America through expansion of regular pathways; and to improve working conditions for farmworkers. The grant period closes on November 28, 2023.

USDA Invests in Global Food Security Programs

Agriculture Secretary Tom Vilsack announced that the United States will be investing in $455 million to bolster food security and international capacity-building efforts through the Food for Progress Program and the McGovern-Dole International Food for Education and Child Nutrition Program. In total, this will commit to using 375,000 metric tons of US commodities.

FNS Opens Comments for SNAP Quality Control

USDA Food and Nutrition Service (FNS) issued a notice of proposed rulemaking to improve the SNAP quality control system, directed by the 2018 farm bill. These quality control measures and review processes are critical in identifying SNAP payment error rates. Comments are due by November 20, 2023. 

Notable News

• US Department of Agriculture Lapse in Funding Plans – USDA Website
• The Shortest and Longest Shutdowns in US History – Wall Street Journal
• USDA’s $1.4B Export Promotion Funding Addresses Key Farm Bill Issue – AgriPulse
• America’s Farmers are Bogged Down by Data – Wall Street Journal
• A Local Struggle Over Carbon Pipelines in Iowa is Becoming a 2024 Presidential Flashpoint – NBC
• Execs Say Agriculture has Shaken Supply Chain Issues – AgriPulse
• Uber Eats will Begin Accepting Food Stamps for Grocery Deliveries in 2024 – Engadget
• Food Inflation Is Still High Around the World – Bloomberg

Upcoming Hearings

Wednesday September 27

• 10:00 AM: The Senate Committee on Agriculture, Nutrition, and Forestry will hold a hearing on “Foreign Ownership in US Agriculture”

Thursday September 28

• 10:00 AM: The House Committee on Small Business Subcommittee on Rural Development, Energy, and Supply Chains will hold a hearing on “Energy Independence: How Burdensome Regulations are Crushing Small Offshore Energy Producers”
• 10:00 AM: The Senate Environment and Public Works Subcommittee on Superfund, Waste Management, and Regulatory Oversight will hold a hearing to “Examine Solutions to address Beverage Container Waste”
• 10:00 AM: The Senate Committee on Energy and Natural Resources will hold a hearing to “Examine Opportunities to Counter the People’s Republic of China’s Control of Critical Mineral Supply Chains”  

Contact the Team

Feel free to contact Michael Torrey, Tara Smith, Cassandra Kuball, Barbara Patterson, Katie Naessens, Caroline Snell, Danielle Nelson, Julie McClure, Ashley Smith, Olivia Lucanie, Heath Brandt, or Tracy Boyle with any questions or comments.

Food and agricultural organizations that need the right results in Washington, D.C. can trust Torrey Advisory Group to put its relationships, reputation, and expertise to work on your issue. Since 2005, the firm has successfully provided legislative and regulatory guidance, issues management, and association management services to a wide variety of clients. Learn more about us at torreydc.com.