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Administration Requests $30 Billion Replenishment of Commodity Credit Corp. Piggybank

09/23/2020

The Administration has requested an allotment of $30 billion for the Commodity Credit Corp to be dispensed at the discretion of the USDA. Since 2018, $33 billion has been distributed in payments to farmers and entities impacted by trade wars and COVID-19.

 

In commenting on the request, Senator Debbie Stabenow (D-MI) stated, "the replenishment really amounts in many ways to a slush fund because there's no accountability around where this is going". Senator Pat Roberts (R-KS), Chairman of the Senate Agriculture Committee minimized the criticism describing it as "a fuss with a Secretary of Agriculture over things that happened in the past". 

 

Dr. Chris Barrett, an agricultural economist at Cornell University has calculated that Federal support funding will approximate one third of net farm income in 2020 boosting median farm household income by $20,000.


Ag. Sec Dr. Sonny Perdue

 

At issue is the continuing resolution to maintain Federal operations.  The Administration is requesting the replenishment of the CCC and Democrats are demanding increased support of programs to support the disadvantaged including extending the Supplemental Nutritional Assistance Program.  It can be anticipated that rhetoric will intensify with the approach of the November election.