Posted by: Phillip Fraas
September 14, 2006

On May 8, 2006, Agriculture Secretary Mike Johanns released a risk management theme paper for use in the preparing for the 2007 Farm Bill debate. The text of a risk management paper can be located at http://www.usda.gov/documents/FarmBil2007riskmgmtrev.pdf.

 While USDA characterizes the risk management paper as gleanings from public comments received at the 41 Farm Bill forums USDA held over the past year, it really reads like USDA's own take on where the 2007 Farm Bill debate should be headed. That is not a bad thing. It lets everyone know what USDA is thinking, and hints at what its farm bill proposals (should the agency submit a formal proposal to Congress) might look like. Also, it has good factual background on the Farm Bill's producer and price support mechanisms, who gets benefits under the Farm Bill now, and the intersection of Farm Bill policy and trade policy. Thus, it is definitely worth a look for serious students of the 2007 Farm Bill process.

 Just one comment on the substance of the paper: Its three Farm Bill alternatives range from (1) reducing some current programs, to (2) replacing some programs with a new farm revenue protection program, to (3) phasing out all current programs in favor of increased crop insurance, farm savings accounts, and expansion of conservation and rural development programs.

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