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Growing Local Food Systems &

Sustaining the Land: The 2012 Farm Bill

Illinois Stewardship Alliance’s Local Food & Conservation Priorities

Illinois Stewardship Alliance promotes environmentally sustainable, economically viable, socially

just local food systems through policy development, advocacy and education.

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The “Farm Bill”

The single most important influence over food and

agricultural policy in the United States is commonly

called the “Farm Bill.” Comprehensive legislation is

written every five to seven years to govern food

production and all things regulated by the U.S.

Department of Agriculture. This includes food safety,

nutrition programs, row crops, fruit and vegetable

production, rural affairs, commodity programs, trade,

rural development, farm credit, conservation,

agricultural research, and marketing.

Farm-related legislation dates back to the 1800s when

land grant universities were created and subsequent

agricultural experiment stations were established in

conjunction with those universities. Since 1965, there

have been ten farm bills, each with a catchy title but all

basically doing the same thing; setting food and

agricultural policy for a period of time. Crop subsidies

which were set up to provide a safety net for farmers

have caused controversy within the farming community

since subsidies often end up in the pockets of wealthy

farmers, not the small family farmer.

The 2008 Farm Bill, officially called the Food,

Conservation and Energy Act of 2008, authorized the

USDA to spend more than $280 billion over five years

for various programs within its purview. There were 15

titles, or sections, covering topics ranging from

commodity crops, conservation, nutrition, horticulture,

organic agriculture, livestock, agricultural research,

energy, forestry, rural development, crop insurance and

other programs.

The majority of the authorized spending covers food

and nutrition (67%). Commodity programs (15%) are

the second largest spending category, with conservation

and crop insurance (9% and 8% respectively) coming in

at a close third. According to the Congressional

Research Service review of the 2008 farm bill issued in

December 2010, “another $10 billion was expected to

be spent on trade, horticulture and livestock

production, rural development, research, forestry, and

energy, among other programs.”

The 2012 Farm Bill

The 2008 Farm Bill is set to expire in 2012 so a new bill

must be enacted. Negotiations began in spring 2011

and listening sessions and committee hearings are

expected to begin in the fall of 2011. Members of

Congress are currently consulting farming interests and

their constituents on priorities for the Farm Bill.

Our federal fiscal situation is dire; the budget deficit is

huge—in the trillions of dollars, so the fight for precious

tax dollars will be intense as the 2012 Farm Bill is

negotiated. Conservation and sustainable agriculture

programs that are critical to the future of our family

farms and local food systems are at risk of losing

millions of dollars.

Illinois Stewardship Alliance priorities for the 2012 Farm

Bill are divided into two categories, both of which are

equally important. The priorities are Conservation on

Working Lands and Local & Regional Food Systems.

Conservation on Working Lands

Agriculture accounts for nearly half of the landmass in

the United States; therefore, it should be no surprise

that farmers and ranchers have a large impact on our

natural environment. Farm policies can encourage

overproduction and the farming of marginal lands which

can lead to negative impacts on the long term health of

our soil, streams, rivers, and lakes. Farm policies can

also reward agricultural producers that work to protect

and rebuild soil, protect watersheds, and provide

habitat for native wildlife. Agriculture and the

Figure 1 chart developed by Izaak Walton League of America; shows

annual expenditures by category

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“CSP is well suited as the model for national

policy to transition to rewarding farmers for

how they grow, instead of what they grow

(National Sustainable Agriculture Coalition—

Conservation Stewardship Program Guide).”

ISA position:

• CSP should be re-authorized, and

made permanent. Mandatory

funding should be $4 billion over

the course of the 2012 Farm Bill.

• Associated paper work should be

simplified and streamlined.

• Local and regional food

producers should be added to the

current list of specialty crop and

organic producers to enable

participation in the program.

environment don’t have to be competitors, agriculture

producers can successfully work to protect natural

resources and maintain profits over the long term.

The first conservation title that was included in a Farm

Bill was in the 1985 Farm Bill (the Food Security Act of

1985) and a conservation title has been part of every

subsequent Farm Bill since that time. Public tax dollars

should be wisely invested and those receiving farm bill

payments should be held accountable for their

conservation actions. This accountability is addressed

through conservation compliance, which requires that a

basic level of soil, water, and wetland protection is

followed to receive additional farm bill payments.

Illinois Stewardship Alliance (ISA) supports incentives

and requirements in the 2012 Farm Bill that will

continue to encourage sustainable conservation

practices on our country’s working lands.

The reauthorization and adequate funding for the

innovative and comprehensive Conservation

Stewardship Program (CSP), and the re-prioritization of

the cost-saving conservation compliance provisions are

ISA’s conservation priorities for the next Farm Bill.

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The Conservation Stewardship Program

CSP is a comprehensive and voluntary working lands

program that promotes the sustainability of agricultural

production by rewarding farmers and ranchers who are

already implementing sustainable conservation

practices on their land. In addition to rewarding farmers

and ranchers for current conservation practices, CSP

requires that additional conservation programs be

implemented over the course of the five year CSP

contract.

Through CSP “An annual payment is available for

installing new conservation activities and maintaining

existing practices. A supplemental payment is available

to participants who also adopt a resource conserving

crop rotation (USDA/NRCS CSP fact sheet).” CSP is

designed to address specific resource concerns as

identified by the Natural Resource Conservation Service

(NRCS), with goals to improve water and soil quality,

increase biodiversity and wildlife habitat, sequester

carbon and reduce greenhouse gases, and conserve

water and energy use. The program is available

nationwide and is a continuous sign up program, so

operators can apply at any time of the year. Contracts

are renewable and are paid based upon the benefits

provided and the number of acres enrolled. For

operators who are not quite at the conservation level

needed to enroll in CSP, assistance is available through

the Environmental Quality Incentive Program to bring

them into compliance with CSP requirements.

The 2008 Farm Bill provided CSP with $4 billion in

mandatory funding for FY 2008-2012 which allows an

estimated 13 million acres over 5 years to be enrolled in

the program. More than 400,000 acres in Illinois are

currently enrolled in CSP. Interest in CSP nationally and

in Illinois has consistently outstripped the available

funds for the program.

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ISA position:

• Re-establish compliance

requirements for federal crop

insurance benefits.

• Conservation compliance should be

a key component in all requirements

for enrolling in any farm bill

programs, not just highly erodible or

other environmentally sensitive

lands.

Conservation Compliance

Conservation Compliance (CC) provisions protect

taxpayers’ interests by requiring basic levels of

protections for soil, water, and wetlands by farmers

who participate in farm bill programs. Currently, under

the “sodbuster” provision, before producers clear,

plow, or otherwise prepare highly erodible land (HEL)

areas not presently under crop production for planting,

they are required to develop and implement a

conservation plan on the affected acreage that will limit

erosion to not greater than the soil loss tolerance level,

before bringing land into production. Under the

“swampbuster” provision, farmers will lose program

benefits if they fill or drain wetlands or expand the

scope of existing drainage on farmed wetlands. 1

CC requires that farmers and ranchers meet a minimum

level of environmental protection on environmentally

sensitive land in order to be eligible for federal farm

program benefits (including commodity and

conservation program benefits or a Farm Service

Agency loan).

To further protect the public interest and taxpayer

investment, federal crop insurance requirements should

include conservation compliance.

1 National Sustainable Agriculture Coalition,

http://sustainableagriculture.net/our-work/conservation-

environment/conservation-compliance/

Local & Regional Food Systems

There is a growing interest and demand for food and

agricultural products from local and regional farmers.

Whether it is the rising demand for healthy food or rural

economic development, the “local food movement” is

one to the fastest growing and most vibrant sectors of

American agriculture. The 2008 Farm Bill included

historic new programs and incentives for overcoming

the obstacles to meeting the demand and interest in

local and regional food and farm products.

The 2012 Farm Bill should continue and build upon the

historic investment in local and regional food systems

and rural development that were made in the last Farm

Bill.

ISA’s Local & Regional Food System priorities for the

next Farm Bill include re-authorization and adequate

funding for the Farmers Market Promotion Program

and the Beginning Farmer and Rancher Development

Program; increased funding for the Specialty Crop

Block Grant Program ; re-authorization and adequate

funding for the Value-Added Producer Grant program ;

reforms to support wireless SNAP/EBT technology for

all farmers markets; and new planting flexibility

provisions.

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ISA position:

• The FMPP should be re-authorized and

include mandatory funding at the level of

$20 million per year, an increase that

reflects the demand for, need and success

of the program.

• Criteria should be tiered in a system so

that proposals of varying sizes (local,

state, regional) can be reviewed with and

compared to similar proposals.

• Create a 10% set-aside for technical

assistance.

• Revise the eligibility definition to apply to

groups of individual producers, for

projects such as community supported

agriculture (CSAs) and roadside stands,

rather than having to be a legally formed

entity.

• Prioritize producer-only farmers markets.

• Shift the focus of the 10% set-aside for

SNAP/EBT from technology to outreach

efforts, in order to increase direct market

vendor participation in SNAP.

ISA position:

• Considering vigorous demand, positive

outcomes and continued need, BFRDP

should be re-authorized and mandatory

funding should be doubled to $150 million

over the next 5 years.

• Include an additional grant purpose on

agricultural rehabilitation and vocational

training programs for returning military

veterans.

On May 26, USDA Secretary Tom

Vilsack addressed members of the

Senate Agriculture Committee at

the Committee’s first hearing on

the 2012 Farm Bill, where he

asserted that while the BFRDP

program has been successful it

has not been enough to reverse

the trend of an aging and

shrinking base of farmers and

ranchers.

Farmers Market Promotion Program

The Farmers Market Promotion Program (FMPP) aims

to increase and strengthen direct producer-to-

consumer marketing channels. Through a competitive

grant application process, FMPP funds marketing

proposals for community supported agriculture

programs, farmers markets, roadside stands, and other

direct marketing strategies. The FMPP program has

been a widely popular program, during the last program

grant cycle 509 applications were received, however,

there were only enough resources to award funds for

81 of the applicants. In Illinois, FMPP grants have

supported infrastructure purchases and capacity

building and outreach activities for the use of SNAP/EBT

(formerly Food Stamps) at farmer markets. The 2008

Farm Bill included $5 million in mandatory funding for

2009 and 2010 and $10 million in mandatory funding

for 2011 and 2012.

The Beginning Farmer & Rancher

Development Program

The Beginning Farmer & Rancher Development Program

(BFRDP) – is a competitive grant program that funds

education, extension, outreach, and technical assistance

initiatives directed at helping beginning farmers and

ranchers. The BFRDP is targeted to collaborative local,

state, and regionally based networks and partnerships

to support financial and entrepreneurial training,

mentoring and apprenticeship programs, as well as

“land link” programs that connect retiring farmers with

new farmers. More than 220 groups have applied for

BFRDP funds in just the first two years of the program,

and to date, the

program has

enabled nearly 70

organizations and

institutions to

assist new farmers

and ranchers

across the

country. Through

regional

collaborative

partners the BFRDP has helped to fund Beginning

Farmer Programs throughout the state in central,

southern and northern Illinois. The 2008 Farm Bill

included $18 million per year in mandatory funding for

2009 and $19 million per year in mandatory funding for

2010, 2011, and 2012.

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ISA position:

• SCBGP should include an increase

in mandatory funding from $55

million to $80 million annually.

• Create a $20 million per year

allocation targeted specifically to

supporting local and regional food

systems activities.

ISA position:

• The next Farm Bill should restore a

mandatory funding baseline of $30 million

annually for VAPG and continue to

support its priority for small and medium

sized family farm operations.

Specialty Crop Block Grant Program

The Specialty Crop Block Grant program (SCBGP)

provides grants annually to assist State Departments of

Agriculture in enhancing the competitiveness of

specialty crops (fruits, vegetables, tree nuts, and

nursery crops). States that receive funds use them to

supplement state programs and/or make grants

available to enhance the competitiveness of specialty

crops. In Illinois the SCBGP has helped to build and

support local food systems development by providing

grants to farmers markets for advertising and outreach,

grants to local specialty producers and organizations for

research, and to fund the annual specialty crop

conference. In 2010 and 2011, the program received

$55 million each year in mandatory funding, the SCBGP

has been widely popular and in Illinois very effective in

helping to promote, support, and grow local food and

farm systems.

Value Added Producer Grant

The Value Added Producer Grant (VAPG) program

provides competitive grants to individual independent

agricultural producers, and groups of individual

independent producers, producer controlled entities,

organizations representing producers, and farmer or

rancher cooperatives to create or develop value-added

producer-owned businesses. Grants may be used for

developing business plans and feasibility studies needed

to establish viable market opportunities for value-added

products or to acquire working capital to operate a

value-added business venture or alliance, and must

include matching cash and/or in-kind funds. In 2009,

five Illinois producers and groups of producers received

approximately $500,000 in total to help fund feasibility

studies and acquire working capital. The 2008 Farm Bill

authorized $15 million per year in mandatory funding

and $40 million a year in discretionary funding for the

VAPG program.

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ISA position:

• Farmers Market Technology

Improvement is an important new

policy reform that will increase access

to fresh local food for underserved

populations while expanding and

opening new markets and

opportunities for direct market

farmers.

• The Farmers Market Technology

Improvement initiative should be

authorized and provide d adequate

mandatory funding.

ISA position:

• Adding a limited planting flexibility option

for local fruits and vegetables to the

commodity program would help to meet

the growing demand for local and

regional fresh fruits and vegetables while

creating new opportunities for family

farms.

• A planting flexibility option would

increase opportunities for beginning

farmers interested in producing for local

markets to gain access to land.

The Farmers Market Technology

Improvement

The Farmers Market Technology Improvement reform

would level the playing field for farmers markets, CSAs

and roadside stands by requiring State electronic

benefit transfer (EBT) contracts to treat wireless

program retail food vendors in the same manner as

wired program retail food vendors. USDA’s Food and

Nutrition Service and States should be required to cover

a 50-50 cost share of the wireless EBT terminal costs as

well as fixed and variable fees associated with operating

SNAP at direct marketing outlets, as they do with other

retailers. States should be allowed to choose the most

appropriated technology (i.e. point-of-sale device,

smart phone), with the funds covering up to the cost of

the wireless terminal. In addition, authorize contracts or

memorandum of understanding between States and

non-profits to provide training and technical assistance

on implementation.

Planting Flexibility

Planting flexibility provisions allows commodity

program participants to plant a portion of their acreage

to alternative crops or pasture for livestock without

sacrificing payments. A limited (capped) local fresh fruit

and vegetable planting flexibility provision, allowing

commodity program participants to plant up to 30 base

acres in fruits and vegetable for local and regional

markets, should be included in the next Farm Bill. Base

acres and commodity payments would be reduced on

an acre for acre basis each year the producer uses the

flex option.

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Illinois Stewardship Alliance, www.ilstewards.org, (217) 528-1563

Wes King, Policy Coordinator (local & regional food systems), [email protected], (271) 528-1563

Claudia Emken, Conservation Policy Advocate, [email protected], (309) 358-1504

Illinois Stewardship Alliance promotes environmentally sustainable, economically viable, socially

just local food systems through policy development, advocacy and education.