Presidential FY2020 Budget Calls for Deep Ag Cuts
(WASHINGTON, DC) President Trump released his administration’s 2020 Fiscal Year Proposed Budget to Congress on Monday. For agriculture, the $20.8 billion Budget proposes a $3.6 billion or 15-percent decrease from the 2019 estimate. Specifically, there would be a reduction in the average premium subsidy for crop insurance from 62 percent to 48 percent and tighter payment limits for producers with Adjusted Gross Income (AGI) of more than $500,000. The proposal would also eliminate a separate payment limit for peanut producers while limiting eligibility for commodity subsidies to one manager per farm. The Administration suggests capping underwriting gains for crop insurance providers at 12 percent as well. Agriculture Secretary Sonny Perdue says that with the national debt soaring to over $22 trillion, we can no longer kick the can down the road and USDA will actively do its part in reducing federal spending.