June 17, 2025
Contents
- What We’re Watching
- Notable News
- This Week’s Legislation
- Upcoming Hearings
- Contact the Team
What We’re Watching
Congress
Reconciliation
Last week, the Senate Agriculture Committee released their text of the One Big Beautiful Bill Act, about a week after the House passed their version. The Senate bill will cut spending for SNAP by $211 billion, which is less than the House version, and will use $67 billion to pay for farm bill programs that were included in the bill. Notably, the Senate bill does include a cost-share provision for SNAP based on error rates. However, the most a state would have to pay is 15%, which is lower than the House proposal maximum at 25%. The House bill eliminates SNAP-Ed, while the Senate version removes all funding for the program. In the agriculture programs, the Senate bill largely reflected provisions within the House bill including significant investments in reference prices, although caps are set slightly lower in the Senate than in the House, investments in trade and research programs, and investments in the Federal Crop Insurance Program, including additional premium assistance for farmers. The section by section can be found here, and a one-page summary can be found here.
Senate Finance released text which included key tax provisions. For agriculture, tax provisions for biofuels, such as 45Z and 40B, and small business tax provisions, such as 199A and estate tax reforms, were included. For 45Z, the Clean Fuel Production Credit, similar to the House bill, there was text extending the credit through 2031 and removing indirect land use change (ILUC) as a factor in carbon intensity scores for feedstocks. Unlike the House bill, transferability is not terminated after 2027 and there is a cut of value to the credit for foreign feedstocks. In the House, feedstocks from certain countries were outright excluded. In addition, the credit value would be equal for all types of fuel. The Senate version of the bill also included language extending 40B, the Sustainable Aviation Fuel Tax Credit, for fuel sold between Dec. 31, 2024, and the end of September 2025. In addition, section 199A, the deduction for qualified business income, was made permanent. However, the House established permanency and bumped up the deduction to 23% while the Senate kept the level at 20%. For the Estate tax, similar to the House, the Senate grants permanency to the estate tax exemption and expands levels to $15M for single filers.
Once all reconciliation texts are released, the package will go through the Parliamentarian for review, otherwise known as the “Byrd bath”. It is also expected that certain provisions within the tax bill could be changed as there have been early indications of frustration around certain provisions. There will be no individual Committee markups, just a floor vote anticipated the week of June 23 to meet the July 4 deadline.
House FY26 Ag Appropriations
Also last week, the House Appropriations Committee held a markup on the Agriculture-FDA Appropriations Bill for FY2026. To recap, the bill allocates $25.5 billion in funding for USDA and FDA, which is a 4% cut from current levels. The bill includes $6.8 billion for Make America Healthy Again initiatives, but cuts most of the forest, nutrition, and agriculture programs included. Amendments were offered around tariffs, WIC funding, DOGE layoffs, and school lunches. After a lengthy debate that went late into the night, the Appropriations Committee adjourned the markup at 1:00 AM ET on June 12 with the goal of returning the week of June 23 since the House is in recess this week.
House Ag Holds Oversight Hearing
Last week, the House Agriculture Committee held an Oversight Hearing featuring USDA Secretary Rollins as the sole witness. Members asked questions around trade and market access, ag labor reforms, USDA reorganization plans, reconciliation and its inclusion of some farm bill provisions, foreign adversaries and their purchasing of American farmland, and food bank funding terminations. There were a few brief discussions on MAHA and nutrition, though most of the SNAP dialogue was around fraud rates and work requirements.
Senate Agriculture Dems Meet on Food Aid
Democrats on the Senate Agriculture Committee held a spotlight forum to discuss funding cuts to international food aid programs. Agriculture Ranking Member Amy Klobuchar (D-MN) and Foreign Relations Committee Ranking Member Jeanne Shaheen (D-NH) voiced concerns that without these programs, there could be increased risk of pests and animal disease, as well as allowing foreign adversarial nations to fill the void for aid.
Administration
USDA Approves More SNAP Waivers
USDA Secretary Rollins and HHS Secretary Kennedy held a press conference to announce the approval of 3 more SNAP waivers in Idaho, Utah, and Arkansas to change the definition of “eligible foods” to exclude candy and soda. These waivers follow similar ones approved in Nebraska, Indiana, and Iowa, all of which implement pilot programs for various lengths of time restricting items from being purchased on EBT. FNS has a tracker on their website, including the waiver requests and approvals, which can be found here.
EPA Unveils RVO Proposal
Last week, the Environmental Protection Agency (EPA) proposed Renewable Volume Obligations for renewable fuels. The total RVO under the proposal would be 24.02 billion gallons for 2026, and then would increase to 24.46 billion gallons in 2027. EPA also proposed cutting RINs generated from imported fuels and fuels produced from foreign feedstocks by half. There will be a public hearing held on July 8, and public comments will be accepted until August 8. USDA Secretary Rollins released a statement of support, which can be found here.
Immigration Policy Shifting
Last week, the Trump Administration provided indications that there would be a potential reprieve for migrant workers in the agriculture industry that are in the U.S. illegally. Shortly after positive remarks to the press and Truth Social posts by the President, it was reported that the Administration directed Immigration and Customs Enforcement (ICE) officials in an email to pause raids on farms, hotels, restaurants and meatpacking plants. Though the position appears to have shifted over the weekend with reports relaying that ICE officials shared with agency staff during a Monday (6/16) morning call that agents must continue conducting immigration raids at agricultural businesses, hotels and restaurants.
USDA Publishes WASDE Report
The USDA Agriculture Marketing Service, Farm Service Agency, Economic Research Service, and Foreign Agricultural Service released the World Agricultural Supply and Demand Estimates (WASDE). As of June 2025, corn area and yield forecasts did not change.
MAHA Commission Hosts Stakeholder Meetings Amidst Report Criticisms
Following criticism of the first MAHA Commission report, which included false citations and painted some food and agriculture industries in a poor light, the Administration is hosting meetings with 46 industry groups before the next report is released in August. There will be representation from the specialty crop industry, agricultural inputs, livestock and dairy, fast food representatives, restaurant groups and companies, small commodity groups, grocers, and beverage companies. On Tuesday, more than 250 agriculture groups sent a letter to the Administration asking for greater transparency and stakeholder input after the report criticized the use of common herbicides and food ingredients.
Notable News
ICYMI: Vice President Katie Naessens was featured on Agri-Pulse Newsmakers to discuss reconciliation and farm bill proposals. Watch it here.
- Crop Production Report | USDA Economics, Statistics and Market Information System – USDA
- What’s inside Trump’s ‘beautiful’ bill that spans over 1,000 pages – AP News
- Trump says order on migrant farm workers coming ‘soon’ amid immigration crackdown – The Washington Examiner
- U.S.-China agree on framework to implement Geneva trade consensus – CNBC
- Top nutritionists send NIH Director letter urging more funding for nutrition science – (Letter)
This Week’s Legislation
- Representatives Marie Gluesenkamp Perez (D-WA) and Young Kim (R-CA) have introduced the bipartisan Research for Healthy Soils Act, which would authorize the USDA to fund research into the presence and effects of microplastics and PFAS chemicals in biosolids used on farmland.
- Congressman Ronny Jackson (R-TX) reintroduced the Foreign Animal Disease Prevention, Surveillance, and Rapid Response Act, which would bolster the USDA’s ability to prevent and respond to livestock diseases such as African Swine Fever and avian influenza.
- Congressmen Mike Lawler (R-NY) and Josh Riley (D-NY) introduced the Leveraging Efficiency Awareness for Pumping Systems (LEAPS) Act, which directs USDA to provide clear, accessible information and tools to farmers on the benefits of upgrading to energy-efficient pumping systems.
Upcoming Hearings
Wednesday, June 18
- 10:00 AM ET: The Senate Energy and Natural Resources will hold a Hearing to examine the President’s proposed budget request for fiscal year 2026 for the Department of Energy
- 10:00 AM ET: The Senate Health, Education, Labor, and Pensions will hold a Hearing to examine the nominations of Jonathan Berry, of Maryland, to be Solicitor, Andrew Rogers, of Virginia, to be Administrator of the Wage and Hour Division, and Anthony D’Esposito, of New York, to be Inspector General, all of the Department of Labor, and Andrea Lucas, of Virginia, to be a Member of the Equal Employment Opportunity Commission
Contact the Team
Feel free to contact Michael Torrey, Tara Smith, Cassandra Kuball, Barbara Patterson, Katie Naessens, Julie McClure, Nona McCoy, Danielle Nelson, Ashley Smith, Olivia Lucanie, Caroline Sowinski, Eden Lambert, Tracy Boyle, or Grace Walker 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.