This is a developing story. As of Friday, March 27, the House of Representatives passed the bill and President Donald Trump signed it later in the day.
The coronavirus (COVID-19) pandemic has taken the world by storm and shattered market certainty for cattle producers. With states going on lockdown and stores closing or with limited supplies, the livelihoods of many people have been called into question.
Congress has battled back and forth for consensus on a stimulus bill to help ease impacts on the American people hit hardest by the outbreak. Finally, on the evening of March 25, the Senate demonstrated bipartisan support for the Coronavirus Aid, Relief and Economic Security (CARES) Act, which will supply $2 trillion to address the pandemic fallout.
The Senate voted 96-0 to pass the bill, and it headed to the House of Representatives, where they were set to vote on the bill March 27, after WLJ press time. Upon the passage, President Donald Trump urged Congress to act quickly, and said he would sign the bill immediately after it passed through the House.
The 883-page document will provide $500 billion in loans and assistance to big companies, states and cities, and $350 billion to small businesses. The bill will also provide direct payments to Americans.
Bill contents for ag
The CARES Act authorizes $34.9 billion in aid to USDA agencies and $80 million to the Food and Drug Administration, according to a summary from the Senate Appropriations Committee. A total of $9.5 billion was allocated to support agricultural producers, including producers of specialty crops, producers that supply local food systems, and livestock producers.
An additional amount of $14 billion was authorized to increase borrowing for the Commodity Credit Corporation (CCC). This would allow USDA to provide more direct aid to producers, after the Market Facilitation Program depleted funds.
“The aid to farmers in this package, including funding for the CCC and the Office of the Secretary, will allow USDA to begin crafting an appropriate relief program for agriculture,” said American Farm Bureau President Zippy Duvall. “America’s farmers and ranchers face enormous volatility as markets and supply chains rapidly react to changes, but I’ll say again that farmers and ranchers will not let Americans down. All members of Congress must understand that farmers have almost no control over the prices of the goods we produce, so fulfilling our commitment to America requires a team effort.”
The National Cattlemen’s Association also applauded the legislation. “This bill marks an important step toward ensuring America’s cattlemen and women will be able to continue the critical work of feeding the nation during this time of crisis,” said NCBA Vice President of Government Affairs Ethan Lane. “The entire agriculture community requires the certainty this bill provides to ensure their livelihoods and the wellbeing of rural communities across the nation.”
Other contents
Individuals would be eligible for a one-time check up to $1,200 and married couples filing jointly would be eligible for $2,400. An extra $500 would be given for each child. The higher the income, the less money received, with the cutoff for individuals with an income more than $99,000 and couples with income above $198,000.
Small businesses would receive more than $350 billion in aid, on the condition that they retain workers. Any companies owned by members of Congress, heads of executive departments, Vice President Mike Pence, or Trump and family would not be eligible for loans from the Treasury.
Hospitals and other health-care providers would receive $150 billion for equipment and supplies, and $16 billion would go to replenishing the nation’s stockpile of medical supplies. An additional $3.5 billion would go to expand production and development of COVID-19 vaccines and tests.
Student loan payments could also be deferred for six months. Unemployment insurance would be enhanced by $600 weekly for four months and eligibility would expand. Scheduled cuts to Medicare and Medicaid would also be rolled back. — Anna Miller, WLJ editor
