By Daniel Munch, American Farm Bureau economist
The Congressional Budget Office’s (CBO) most recent Baseline for Farm Programs, released in May, identifies expected outlays for farm program spending, assuming existing programs continue without changes, and indicates program spending available to Congress as crafting of the 2023 farm bill kicks into high gear. CBO releases these projections on expected spending for farm programs for the 10-year baseline — the current budget year plus 10 years — up to three times a year.
Farm bill math creates a few possible scenarios. Depending on negotiations between the Budget and Agriculture committees, lawmakers crafting the next farm bill could be required to be budget neutral, meaning any increase in spending in one part of the bill would require a decrease in spending elsewhere in the bill; they could be required to have an overall net reduction; or they may be able to increase spending. Given such budget directives, scoring (estimating the additional outlays and potential savings relative to the baseline) is one of the most critical components of farm bill development.… Continue readingRead More »