Disaster payments limited by appropriations

Disaster payments limited by appropriations

American Farm Bureau economist John Newton says disaster and prevent plant compensation is limited by congressional appropriations. Speaking on a Missouri Farm Bureau conference call, Newton said disaster legislation allows for prevent plant payments up to 90 percent of a crop’s value. He says, however, that Trump Administration officials have indicated the USDA must operate within appropriation limits. “That $3 billion has remained the same, but at this point now they’ve added prevent plant as an eligible disaster so the money is going to be spread pretty thin there, and I think that is what USDA is trying to highlight,” said Newton during the call.

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