0
Agricultural Commodities Price Enhancement Act
4/1/2025, 8:06 AM
Summary of Bill HR 2043
The purpose of increasing reference prices is to provide more stability and support for farmers who rely on these commodities for their livelihood. By raising the reference prices, farmers may receive higher payments for their crops, which can help offset fluctuations in market prices and ensure a more consistent income.
The bill does not specify how much the reference prices will be increased by, but it is likely to be a modest raise to provide some relief to farmers without significantly impacting consumers. The bill also includes provisions for other purposes, although these are not detailed in the summary. Overall, Bill 119 HR 2043 aims to support farmers by increasing reference prices for certain commodities, providing them with more stability and support in an uncertain market.
Congressional Summary of HR 2043
Agricultural Commodities Price Enhancement Act
This bill increases the reference prices for certain commodities under the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs. Specifically, the bill increases the reference prices for wheat, corn, soybeans, peanuts, and seed cotton.
The ARC and PLC programs, administered by the Farm Service Agency, offer financial assistance to eligible agricultural producers, and the reference prices are used to calculate benefits under the programs. The ARC Program is an income support program that provides payments to producers when actual crop revenue declines below a specified guarantee level. The PLC Program provides income support payments when the effective price for a covered commodity falls below its effective reference price.
