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Junior and Senior level Ag Bus. | |Colorado Agriscience Curriculum
|Section: |Advanced Agribusiness |
|Unit: |Ag Law |
|Lesson Title: |Government Farm Programs |
|Colorado Ag Education Standards| |
|and Competencies |AGB11/12.02 - The student will be able to communicate a knowledge of current agricultural issues. |
| | |
| |Understand legislative processes as they relate to agriculture. |
| | |
| |Understand farm legislation. |
| | |
| |Identify government legislation and regulations and their effects on agriculture. |
| | |
|Colorado Model Content |English Standard 1: Students read and understand a variety of materials. |
|Standard(s): | |
| |English Standard 4: Students apply thinking skills to their reading, writing, speaking, listening, and |
| |viewing |
| | |
| |English Standard 5: Students read to locate, select, and make use of relevant information from a variety of |
| |media, reference, and technological sources. |
|Student Learning Objectives: |Students will identify the mission and purpose of the US Farm Bill |
| |Students will know the conservation provisions in the US Farm Program |
| |Students will become familiar with the Trade provisions of US Farm Programs |
| |Students will become familiar with the Nutrition Assistance Portion of the US Farm Program |
| |Students will develop an understanding of the other provisions in the US Farm Program. |
|Time: |This lesson can be taught as a one period (50 minute) class or can be expanded easily to cover two class |
| |periods (100 minutes). You can go through what part of the farm bill you wish to cover all or just part. |
|Resource(s): |USDA. Gov Web site |
| |USDA Program information materials available at all County FSA or NRCS offices. |
|Instructions, Tools, Equipment,|Golf club |
|and Supplies: |Golf ball |
| |Some sort of cup |
| |Putting green |
| |Golf practice putter-helper. |
| |You will also need to have some lathe or cardboard strips that will act as a border to help with the cup. |
| |PowerPoint Projector or make an overhead of the slides |
| |Internet access or handouts from local FSA or NRCS office. |
| |Construction paper, butcher paper, markers, scissors, or crayons |
|Interest Approach: |Good day amazing Ag Business minds. I need a volunteer. Ask for a volunteer in the class to help with a |
| |demonstration. Bring the volunteer up to the front of the room and hand them the golf club and ball. Have |
| |the cup or putting green in the front of the room without any borders of any type of way to control the ball.|
| |Try to putt the ball into the cup. |
| |The cup should be a fair distance away from the student after the student has tried a few shots at the cup. |
| |Ask for a new volunteer from the class. Put up some sort of border or pieces of wood or cardboard that would|
| |act as a funnel to get the golf ball into the cup. Now you try to put the golf ball into the cup. The |
| |student should have no trouble getting the ball into the cup. |
| |This is what farming for most farmers in the US would be like without the safety net of the farm bill. As |
| |long as you stay within the farm bill you have a much better chance of being able to get through the tough |
| |times in agriculture. We will now look at the provisions of the 2007 farm bill and get an idea of the |
| |boundaries set forth in this bill. |
|Objective 1: |Students will identify the mission and purpose of the US Farm Bill |
| |Utilize slide 2. |
| |The farm bill authorizes USDA’s: |
| |Commodity program support |
| |Conservation and Forestry |
| |Renewable Energy |
| |Research |
| |Trade |
| |Food stamps and other nutrition assistance |
| |Rural Development |
| |Use slide 3 to show the divisions and the percentages of the programs covered by the US Farm Bill |
| |Now that you have all of the components of the farm bill write each component on one piece of construction |
| |paper in the shape of a puzzle. Cut out each piece. Set your puzzle aside. You have 3 minutes to get your |
| |puzzle pieces created. |
| |[Slide 4-8] Commodity Programs |
| |Revise Marketing Loan Rates: |
| |Set loan rates based upon average market price of last five years (excluding high and low years) |
| |Cap loan rates at levels established by House-approved 2002 farm bill |
| |Change from daily posted county price to monthly |
| |Increase direct payments by $5.5 billion |
| |More predictable payment creates a strong safety net |
| |Not tied to price or production |
| |Create revenue-based counter-cyclical program |
| |Provide greater support in significant loss situations |
| |Targets support to be a true safety net |
| |Tighten payment limits; eliminate the three-entity rule and lower the Adjusted Gross Income (AGI) cap from |
| |$2.5 million to $200,000 |
| |AGI = gross income minus farm expenses and other deductions |
| |Targets support to be a true safety net |
| |Only 2.3% of Americans have AGI above $200,000 |
| |Provide conservation enhanced payment option |
| |Option to replace commodity support payments with enhanced direct payments for conservation commitments |
| |Proposed increased direct payment plus 10 percent |
| |Less market distortion and more environmental benefits |
| |Eliminate commodity program payments on land acquired through a 1031 tax exchange |
| |Addresses artificially high land values |
| |Revise the Milk Income Loss Contract Program to make it consistent with other counter-cyclical programs |
| |Continue price support program for milk |
| |Continue sugar program at no net cost to taxpayers |
| |Balance supply and demand through domestic marketing allotments |
| |Allow planting flexibility of fruits, vegetables and wild rice on program crop base acres |
| |Complies with WTO ruling |
| |Require base acreage retirement when all or a portion of cropland is sold for non-agriculture use |
| |Expand conservation compliance |
| |Eliminate USDA program payment eligibility on grasslands converted into crop production |
| |Now that you have all of the parts of the of Commodity portion of the farm bill on the back of your Commodity|
| |puzzle piece summarize the Commodities of the farm bill. |
|Objective 2: |Students will know the conservation provisions in the US Farm Program |
| |Conservation [Slide 9 – 13] |
| |Increase conservation funding by $7.8 billion |
| |Consolidate existing cost-share programs into a newly designed Environmental Quality Incentives Program |
| |(EQIP) |
| |Increase total funding by $4.2 billion |
| |Includes $1.7 billion for a Regional Water Program |
| |Streamline working lands easement programs into one Private Lands Protection Program |
| |Increase funding by $900 million |
| |Eliminate redundancies |
| |Increase Wetlands Reserve Program funding by $2.1 billion |
| |Increase enrollment cap from 2.3 to 3.5 million acres |
| |Increase funding for the Conservation Security Program by $500 million |
| |Reauthorize the Conservation Reserve Program with added focus on the most environmentally sensitive lands |
| |Give priority within whole field enrollments to lands utilized for biomass production |
| |Authorize Federal agencies to accelerate the development of private markets for the trading of ecosystem |
| |benefits associated with conservation |
| |Provide incentives for increased conservation |
| |Consolidate two emergency response programs into a new Emergency Landscape Restoration Program |
| |Provide a one-stop source when emergency conservation assistance is needed |
| |Set aside 10 percent of all farm bill conservation program spending for beginning and socially disadvantaged |
| |farmers |
| |Now that you have all of the parts of the of Conservation portion of the farm bill on the back of your |
| |Conservation puzzle piece summarize the Conservation Programs of the farm bill. |
|Objective 3: |Students will become familiar with the Trade provisions of US Farm Programs |
| |Trade Programs [Slide 14 – 17] |
| |Increase funding by $68 million for specialty crop technical assistance grants |
| |Increase allowable project award to $500,000 |
| |Increase funding for the Market Access Program by $250 million |
| |Target non-program commodities |
| |Establish a new grant program to address emerging sanitary and phytosanitary issues |
| |Enhance U.S. presence within international standard setting bodies |
| |Increase analytical support and other technical assistance to assist limited resource U.S. agriculture groups|
| |in trade disputes |
| |Expand trade capacity, food safety and agriculture extension programs in fragile regions around the world |
| |Reform the Commodity Credit Corporation’s export credit guarantee programs to better withstand challenge |
| |Repeal the Global Marketing Strategy and Export Enhancement Program, which are redundant or inactive, |
| |allowing USDA to focus resources on priority issues |
| |Now that you have all of the parts of the of Trade portion of the farm bill on the back of your Trade puzzle |
| |piece summarize the Trade portion of the farm bill. |
|Objective 4: |Students will become familiar with the Nutrition Assistance Portion of the US Farm Program |
| |Nutriti9on Programs [Slide 18 – 20] |
| |Simplify and modernize the Food Stamp Program, while maintaining its integrity |
| |Improve access for the working poor and elderly |
| |Better reflect the needs of recipients and States |
| |Rename program “Food and Nutrition Program” |
| |Streamline other food assistance programs to improve administration and efficiency |
| |The Emergency Food Assistance Program |
| |Food Distribution on Indian Reservations |
| |Senior Farmers’ Market Nutrition Program |
| |Provide $2.75 billion in additional fruit and vegetable purchases for distribution in food assistance |
| |programs |
| |Increase funding by $500 million to purchase fruits and vegetables for school meals |
| |Provide $100 million for competitive grants to States to develop and test solutions to the rising problem of |
| |obesity in low-income areas |
| |Now that you have all of the parts of the of Nutrition portion of the farm bill on the back of your Nutrition|
| |puzzle piece summarize the Nutrition portion of the farm bill. |
|Objective 5: |Students will develop an understanding of the other provisions in the US Farm Program. |
| |Credit [Slide 21 – 23] |
| |Increase the limits for direct ownership loans and direct operating loans to a combined maximum of $500,000 |
| |Double the percentage of direct operating loans targeted to beginning and socially disadvantaged producers to|
| |70% |
| |Target 100% of direct farm ownership loans toward beginning and socially disadvantaged farmers and ranchers |
| |Provide greater down payment loan access and flexibility for beginning farmers and ranchers |
| |Cut the loan interest rate in half |
| |Defer the first payment for one year |
| |Decrease the minimum contribution toward the property purchase price from ten to five percent |
| |Eliminate the $250,000 cap on the value of property that may be purchased |
| |Now that you have all of the parts of the of Credit portion of the farm bill on the back of your Credit |
| |puzzle piece summarize the Credit portion of the farm bill. |
| |Rural Development [Slide 24 – 26] |
| |Consolidate rural development programs to increase flexibility and efficiency |
| |Provide $1.6 billion in loans to complete the rehabilitation of all 1,283 certified Rural Critical Access |
| |Hospitals |
| |Provide an additional $500 million to reduce the backlog of rural infrastructure projects |
| |Water and waste disposal loans and grants |
| |Emergency water assistance grants |
| |Community Facilities loan and grant programs |
| |Distance learning and telemedicine grants |
| |Now that you have all of the parts of the of Rural Development portion of the farm bill on the back of your |
| |Rural Development puzzle piece summarize the Rural Development Portion of the farm bill. |
| |Research [Slide 27 – 28] |
| |Provide $1 billion for specialty crops research |
| |Advance plant breeding genetics and genomics |
| |Provide $500 million to create the Agricultural Bio-energy and Bio-based Products Research Initiative |
| |Enhance the production and conversion of biomass to renewable fuels and related products |
| |Reorganize and revitalize USDA’s research, education and economics mission |
| |Better coordinate internal USDA research with external university research funded by USDA |
| |Now that you have all of the parts of the of Research portion of the farm bill on the back of your Research |
| |puzzle piece summarize the Research portion of the farm bill. |
| |Forestry [Slide 29 – 30] |
| |Initiate a new $150 million Wood to Energy Program |
| |Accelerate development of new technologies to use low-value woody biomass to produce energy |
| |Create a grant program to develop innovative solutions to local forest management issues |
| |Now that you have all of the parts of the of Forestry portion of the farm bill on the back of your Forestry |
| |puzzle piece summarize the Forestry portion of the farm bill. |
| |Energy Programs [Slide 31 – 33] |
| |Energy Provide $500 million to create a Bio-energy and Bio-products Research Program |
| |Increase cost-effectiveness through cooperation between university and Federal scientists |
| |Provide $500 million for rural alternative energy and energy efficiency grants |
| |Directly assists farmers, ranchers, and rural small businesses |
| |Provide $2.1 billion in loan guarantees to support cellulose ethanol projects in rural areas |
| |Provide $150 million for biomass research competitive grants, focusing on cellulose ethanol |
| |Now that you have all of the parts of the of Energy portion of the farm bill on the back of your Energy |
| |puzzle piece summarize the Energy portion of the farm bill. |
| |Miscellaneous programs [Slide 34 – 35] |
| |Improve risk management tools for farmers by creating a supplemental insurance program |
| |Increase the efficiency and effectiveness of the crop insurance program |
| |Revise dairy assessment requirements to create a more fair system |
| |Increase funding for research, data collection and certification for organic agriculture |
| |Disaster Relief [Slide 36 – 41] |
| |Revenue-based counter-cyclical program |
| |Gap coverage in crop insurance |
| |Link crop insurance participation to farm program participation |
| |New emergency landscape restoration program |
| |Provide $20 million to address international sanitary and phytosanitary (SPS) issues |
| |Increase Technical Assistance for Specialty Crops |
| |Make specialty crop waste eligible under energy programs |
| |Provide $250 million to increase direct payments by 20% for five years for beginning farmers and ranchers |
| |Revise the Beginning Farmer and Rancher Down payment Loan Program |
| |Provide more flexibility and access to loans at a lower interest rate |
| |Add socially disadvantaged producers as eligible applicants |
| |Reserve 10 percent of conservation financial assistance for beginning and socially disadvantaged producers |
| |Provide $2.75 billion in Section 32 funds to purchase fruits and vegetables for food assistance programs |
| |Provide $500 million to increase the purchase of fruits and vegetables in school meals |
| |Provide a $250 million increase for the Market Access Program – targeted for non-program commodities |
| |Provide $20 million to address international sanitary and phytosanitary (SPS) issues |
| |Increase Technical Assistance for Specialty Crops |
| |Make specialty crop waste eligible under energy programs |
|Review/Summary: |Go around the room and ask students what part of the farm bill they know something about our have had some |
| |experience with either with their parents or someone else they know. Allow them to explain anything they |
| |know about it. |
|Application--Extended Classroom|Take a field trip to the local FSA or NRCS office. |
|Activity: |Use the DVD “Growing a Nation” available from the USDA to stimulate some discussions on the need for a good |
| |farm program. |
|Application--FFA Activity: |Have a person from the FSA or NRCS come to a meeting and present a part of the farm program to the chapter. |
| |Have the chapter sponsor or co-sponsor an informational meeting on the farm program. |
|Application--SAE Activity: |Have Students interview a farmer and other citizens about the farm bill provisions. Have the students |
| |develop questions to ask and write down the responses. Compare the responses from farmer and then other |
| |people and see what the perceptions are. |
|Evaluation: |Farm Program Review |
| |What portion of the farm bill receives the highest percentage of funding in the farm program? What is |
| |second? What are the percentages? |
| |How is conservation addressed in the farm bill? Why is it tied to many of the programs in the farm bill? |
| |What is the conservation reserve program? How is this portion of the farm bill accounted for in the farm |
| |bill? |
| |Why is the nutrition section of the farm bill important? What are some of the problems it addresses for our |
| |country? |
| |How has the new farm bill changed to help new and beginning farmers to get started in operations of their |
| |own? |
| |What are some provisions of the rural development portion of the farm bill? |
|Evaluation Answer Key: |1. Food assistance 56% Farm and Commodity Programs -26% The two account for 78% of the entire farm |
| |bill. |
| |2. Option to replace commodity support payments with enhanced direct payments for conservation commitments |
| |Proposed increased direct payment plus 10 percent |
| |Less market distortion and more environmental benefits |
| |Increase conservation funding by $7.8 billion |
| |Consolidate existing cost-share programs into a newly designed Environmental Quality Incentives Program |
| |(EQIP) |
| |Streamline working lands easement programs into one Private Lands Protection Program |
| |Increase Wetlands Reserve Program funding by $2.1 billion |
| |Increase funding for the Conservation Security Program by $500 million |
| |By making conservation planning and implementation a part of each part of the farm bill it will assure |
| |compliance before any assistance will be given. |
| |3. Setting aside highly erodrable land for a yearly payment to keep that land from becoming eroded and |
| |unproductive. |
| |Reauthorize the Conservation Reserve Program with added focus on the most environmentally sensitive lands |
| |4. It allows for the US to feed its people and deal with the poverty in this country. Every country needs to|
| |be accountable for the basic needs of its citizens. The farm bill allows the USDA to be responsive to the |
| |need to keep a safe and affordable food supply for its citizens. |
| |Simplify and modernize the Food Stamp Program, while maintaining its integrity |
| |Streamline other food assistance programs to improve administration and efficiency |
| |Provide $2.75 billion in additional fruit and vegetable purchases for distribution in food assistance |
| |programs |
| |Increase funding by $500 million to purchase fruits and vegetables for school meals |
| |Provide $100 million for competitive grants to States to develop and test solutions to the rising problem of |
| |obesity in low-income area |
| |By making loans available to beginning and new farmers at interest rates ½ the current level. |
| |By making 100% of the land ownership funds available for new and beginning farmers. |
| |By making it easier for new and beginning farmers to qualify and receive loans from the US farm bill. |
| |6. Consolidate rural development programs to increase flexibility and efficiency |
| |Provide $1.6 billion in loans to complete the rehabilitation of all 1,283 certified Rural Critical Access |
| |Hospitals |
| |Provide an additional $500 million to reduce the backlog of rural infrastructure projects |
| |Water and waste disposal loans and grants |
| |Emergency water assistance grants |
| |Community Facilities loan and grant programs |
| |Distance learning and telemedicine grants |
| |Research |
| |Provide $1 billion for specialty crops research |
| |Advance plant breeding genetics and genomics |
| |Provide $500 million to create the Agricultural Bio-energy and Bio-based Products Research Initiative |
| |Enhance the production and conversion of biomass to renewable fuels and related products |
| |Reorganize and revitalize USDA’s research, education and economics mission |
| |Better coordinate internal USDA research with external university research funded by USDA |
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