Nearly 20,000 farmers received taxpayer-funded federal farm subsidies or disaster relief payments for 37 consecutive years, according to a new EWG analysis.
Collectively, these farmers received more than $18 billion over 37 years, or an average of nearly $1 million per recipient.
By contrast, anti-hunger assistance programs are subject to much stricter income and asset tests, so poor people remain on Supplemental Nutrition Assistance Program benefits, better known as food stamps, for an average of just 12 months.
EWG’s analysis comes as Congress begins to renew the farm bill, which provides financial assistance to farmers from various subsidy programs.
Rather than reducing dependence on farm subsidies, the 2018 farm bill created new subsidy loopholes by allowing payments to cousins, nieces and nephews of farmers, no matter where they live or work.
Department of Agriculture data show that between 1985 and 2021, a total of 19,654 recipients received payments every year. The average recipient collected $942,458 over the 37-year period, for a total of $18.5 billion.
The chart below shows the 10 largest recipients of federal farm payments between 1985 and 2021.
Recipient | Location | Subsidies, 1985 - 2021 |
|---|---|---|
Gila River Farms | Sacaton, Ariz. | $34,389,306 |
Tohono O’Odham Farming Auth. | Eloy, Ariz | $25,431,424 |
Molitor Bros | Cannon Falls, Minn. | $18,577,448 |
Frische Bros | Dumas, Texas | $17,393,276 |
DL Robey Farms | Adairville, Ky. | $16,552,981 |
Parker Brothers Farm | Sikeston, Mo. | $12,682,843 |
Fann Farms | Salemburg, N.C. | $12,485,332 |
Connelly Farms | Ulmer, S.C. | $12,460,292 |
Four Oaks Farm | Morganza, La. | $12,009,122 |
Michael Brown & Sons | Lake Providence, La. | $11,686,722 |
Source: EWG, from U.S. Department of Agriculture
EWG also found that some subsidy recipients who received payment for 37 consecutiveyears neither work nor live on a farm. In fact, 150 of the 19,654 repeat recipients live in the nation’s 50 largest cities, despite a requirement that farm subsidy recipients be “actively engaged in farming.”
The Government Accountability Office recently reported that almost one-fourth of farm subsidy recipients did not provide personal labor on their farms.
Between 1985 and 2021, farm subsidy programs paid farmers when crop prices fell below price guarantees set in the federal farm bill or, more recently, when crop revenue fell below annual averages for their crops. Between 1996 and 2014, farmers also received “direct” subsidy payments linked to historic crop production. Disaster payments have been paid through annual spending bills, permanent disaster programs, and temporary disaster programs.
EWG did not obtain data on subsidies before 1985. Farmers are also eligible for crop insurance premium subsidies, but federal law prevents the USDA from disclosing information about individual crop insurance subsidy recipients.
Federal law does not prevent farmers from receiving farm subsidies or disaster payments – even if they have received a payment every year for nearly four decades. Farmers remain eligible for subsidies as long as their average annual adjusted gross income is less than $900,000, or less than $1.8 million for farm couples, and their farm sales top $1,000.
The information provided delves into several facets of federal farm subsidies and disaster relief payments. Let's break down the concepts and terminologies used in the article:
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Federal Farm Subsidies and Disaster Relief Payments: These are financial aids provided by the government to farmers to support their agricultural activities. Subsidies can be triggered by various conditions such as crop price falls or revenue deficits.
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Recipients: Individuals or entities who have received these payments. According to the Environmental Working Group (EWG) analysis, around 20,000 farmers received subsidies or relief payments consistently for 37 years. Some of the top recipients mentioned in the article include Gila River Farms, Tohono O’Odham Farming Auth., Molitor Bros, among others, receiving millions of dollars in subsidies over the years.
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Duration and Eligibility: The article highlights the astonishing duration of some recipients receiving aid for nearly four decades, despite regulations suggesting that recipients should be "actively engaged in farming." However, it's noted that some recipients, even residing in major cities, continued to receive payments without direct involvement in farming activities.
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Policy Changes: The 2018 farm bill is mentioned for creating new subsidy loopholes by allowing payments to extended family members of farmers, irrespective of their location or work engagement.
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Income and Asset Tests: A comparison is made between the leniency in farm subsidy eligibility criteria, allowing recipients with substantial incomes and assets to continue receiving payments, and the stricter conditions imposed on anti-hunger assistance programs like the Supplemental Nutrition Assistance Program (SNAP).
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Data and Disclosure: The EWG's analysis is based on data obtained from the U.S. Department of Agriculture (USDA). However, limitations exist, such as unavailability of data before 1985 and restrictions preventing disclosure of individual crop insurance subsidy recipients.
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Types of Payments: Subsidies can be categorized into direct payments linked to historic crop production, payments triggered by falling crop prices or revenues, and disaster payments provided through various funding mechanisms.
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Government Reports and Oversight: The Government Accountability Office (GAO) reported that a significant portion of subsidy recipients did not personally contribute labor to their farms, raising concerns about the effective use of these subsidies.
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Eligibility Criteria: To qualify for subsidies, farmers' average annual adjusted gross income should be below certain thresholds ($900,000 for individuals or $1.8 million for couples), with farm sales exceeding $1,000.
The article portrays a complex system of agricultural subsidies and relief payments, highlighting discrepancies in eligibility criteria, distribution, and oversight. The data provided by EWG sheds light on longstanding recipients, policy changes, and challenges in monitoring the allocation of federal funds to the agricultural sector.
