HR 4322119th CongressIn Committee

Livestock Indemnity Program Improvement Act of 2025

Introduced: Jul 10, 2025

Sponsor: Rep. Feenstra, Randy [R-IA-4] (R-Iowa)

Agriculture & Food

Standard Summary

Comprehensive overview in 1-2 paragraphs

Livestock Indemnity Program Improvement Act of 2025 would revise how the Livestock Indemnity Program (LIP) pays producers for livestock losses. The bill requires the Secretary of Agriculture to determine the “market value” used for LIP payments every quarter, and to do so in coordination with the Agricultural Marketing Service (AMS) and using other resources the Secretary selects. In short, payment rates under LIP would be updated more regularly to reflect current market prices, rather than being tied to a less frequent or opaque standard. This change is accomplished by adjusting the way market value is defined and determined in the law that governs LIP.

Key Points

1The Secretary must determine LIP market value on a quarterly basis.
2Determinations must be made in coordination with the Administrator of the Agricultural Marketing Service (AMS).
3The Secretary may use other appropriate resources beyond AMS to determine market value.
4The change is implemented by redesignating and adding a new subparagraph (B) under Section 1501(b)(2) of the Agricultural Act of 2014.
5The bill is titled the Livestock Indemnity Program Improvement Act of 2025 and targets improvements to how LIP payments reflect current market prices.

Impact Areas

Primary group/area affected: U.S. livestock producers who participate in or are eligible for the Livestock Indemnity Program, as payment rates would reflect market prices more frequently.Secondary group/area affected: USDA agencies, particularly the Agricultural Marketing Service, which would play a key role in providing market data and collaborating on determinations.Additional impacts: Could affect the administration and budgeting for LIP (potentially more frequent updates and data requirements), and may influence how quickly payments align with market-value fluctuations.LIP is a federal program that provides payments to livestock producers for livestock losses due to disasters or adverse conditions.AMS is an USDA agency that collects and disseminates market data; using it in determining market value aims to improve price accuracy and transparency.

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