1. What Is a Farm Bill? Joe’s Long Definition – Shorter Definition – Tells USDA what to do, how to do it, who to do it for, and for how long Ex. Provide food assistance with food stamps to poor for the period 2002 to 2007. Each farm bill has a varying length with an expiration date. –Recent farm bills 1985, 1990, 19951996, 2002

2. What Is the CCC? Commodity Credit Corporation –

3. Major Commodities We Typically Have Had Programs For Wheat Feed Grains (corn, grain sorghum, barley, and oats) Upland cotton Rice Oilseeds (soybeans, sunflower seed, rapeseed, canola, safflower, flaxseed, and mustard seed) Sugar Tobacco Peanuts Dairy Products (milk, butter, cheese, and NFDM) Wool and Mohair Honey Fruits and Vegetables

4. 1990 Farm Bill Titles IDairy IIWool and Mohair IIIWheat IVFeed Grains VCotton VIRice VIIOilseeds VIIIPeanuts IXSugar XHoney XIGeneral Commodity Provisions XIIState and Private Forestry XIIIFruits, Vegetables, and Marketing XIVConservation XVAgricultural Trade XVIResearch XVIIFood Stamp and Related Provisions XVIIICredit XIXAgricultural Promotion XXGrain Quality XXIOrganic Certification XXIICrop Insurance and Disaster Assistance XXIIIRural Development XXIVGlobal Climate Change XXVOther Related Provisions Last farm bill to contain supply mgmt provisions for crops

5. Major Commodity Tools in the 1990 Farm Bill Program Crops (wheat, feedgrains, cotton, rice, and minor oilseeds) – Soybeans – Wool and Mohair – Dairy – Peanuts – Fruits and vegetables –

6. Crop Policy Tools Target Prices Nonrecourse loan and marketing loan rates Set-aside/Acreage Reduction Programs Deficiency Payments (By program crop) –DP = TP - higher of {LR or MP} x [crop base acreage x (1-ARP%)] x farm program yield –Had to plant the program crop to receive payment for that crop