Fair Access to Agriculture Disaster Programs Act
The Fair Access to Agriculture Disaster Programs Act would change how certain U.S. agricultural disaster payments are limited under the Food Security Act of 1985. It creates an income-based exception that removes the normal payment cap for specific disaster-related payments if the recipient derives at least 75% of their average adjusted gross income from farming, ranching, or silviculture and related activities (such as agri-tourism, direct-to-consumer marketing, and sale of equipment). The exception applies only to two listed types of payments: (a) disaster payments under subtitle E of title I of the Agricultural Act of 2014, and (b) disaster payments under section 196 of the Federal Agriculture Improvement and Reform Act of 1996. In effect, qualifying individuals or entities could receive these “excepted” payments without being subject to the usual payment limitations. In summary, the bill tailors disaster-program access to those who are principally engaged in agriculture, allowing them to obtain larger disaster payments from specific programs when they meet the 75% income-test, rather than being capped by the standard limits.
Key Points
- 1Creates an exception to the general payment limitations for disaster programs, usable by a person or legal entity that derives 75% or more of its average adjusted gross income from farming, ranching, or silviculture activities (including certain related activities).
- 2The 75% threshold can count activities such as agri-tourism, direct-to-consumer marketing of agricultural products, and sale of agricultural equipment owned by the entity, as determined by the Secretary.
- 3The exception applies only to two kinds of payments deemed “excepted payments or benefits”: (i) payments under subtitle E of title I of the Agricultural Act of 2014, and (ii) payments under section 196 of the FAIRA 1996.
- 4The bill amends the Food Security Act of 1985 by expanding the references to include the new exception in the payment-limit framework (modifying the relevant subsection to add the new paragraph 4).
- 5The bill is titled the “Fair Access to Agriculture Disaster Programs Act.”