The National Corn Growers Association has learned that Congressional Budget Office projections threaten to lower commodity program spending for the new farm bill.

This is important to producers because the CBO is charged with preparing a cost analysis, or score, of the projected spending for the legislation now under consideration by the House and Senate agriculture committees. With the CBO’s release of the March 2008 baseline and the lack of an agreement on budget offsets, NCGA expects the current farm bill to be extended into April.

NCGA President Ron Litterer says producers have waited long enough for completion of the farm bill. “Congress needs to come to a consensus on the farm bill so that growers can make decisions for this year and the next for their farming operations,” says Litterer. “NCGA is adamant that a viable optional revenue component—one that adapts to the greater risk and volatility in the market—be included in the farm bill.”

Additionally, the House Ways and Means and Senate Finance Committees will have to come to an agreement on the budget offsets and revenue raisers before the farm bill conference can proceed to a final farm bill conference.

Source: National Corn Growers Association