[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 2435 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 2435 To amend the Federal Agriculture Improvement and Reform Act of 1996 to assist farmers relying on the noninsured crop disaster assistance program by lowering the cost of purchasing coverage, reducing paperwork burdens, and increasing payouts under that program, and to incentivize farmers to transition gradually to a comprehensive insurance policy under the whole farm risk management insurance plan by offering progressive premium discounts on a commitment to purchase a whole farm plan of insurance. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES March 27, 2025 Mrs. Hayes (for herself, Mr. Larson of Connecticut, Mr. Courtney, Ms. DeLauro, and Mr. Himes) introduced the following bill; which was referred to the Committee on Agriculture _______________________________________________________________________ A BILL To amend the Federal Agriculture Improvement and Reform Act of 1996 to assist farmers relying on the noninsured crop disaster assistance program by lowering the cost of purchasing coverage, reducing paperwork burdens, and increasing payouts under that program, and to incentivize farmers to transition gradually to a comprehensive insurance policy under the whole farm risk management insurance plan by offering progressive premium discounts on a commitment to purchase a whole farm plan of insurance. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Save Our Small Farms Act of 2025''. SEC. 2. ADMINISTRATION AND OPERATION OF NONINSURED CROP ASSISTANCE PROGRAM. Section 196 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333) is amended-- (1) in subsection (a)(1)(C)-- (A) in the matter preceding clause (i), by inserting ``best facilitates'' after ``assistance program that''; (B) in clause (i)-- (i) by striking ``best facilitates the use of that'' and inserting ``the use of those''; and (ii) by striking ``and'' at the end; (C) in clause (ii)-- (i) by striking ``ensures the availability of that'' and inserting ``the public availability of those''; and (ii) by striking the period at the end and inserting a semicolon; and (D) by adding at the end the following: ``(iii) the expansion of crops listed on the national crop table of the Agency with a local average market price; ``(iv) the voluntary graduation of program participants to the whole farm risk management insurance plan developed under section 522(c)(7) of the Federal Crop Insurance Act (7 U.S.C. 1522(c)(7)); and ``(v) the establishment of pilot projects for purposes of addressing emerging needs of producers and collecting data to support the development of policies or plans of insurance offered under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).''; (2) in subsection (b), by striking paragraph (4) and inserting the following: ``(4) Streamlined application process.-- ``(A) Definition of whole farm plan.--In this paragraph, the term `whole farm plan' means the whole farm risk management insurance plan developed under section 522(c)(7) of the Federal Crop Insurance Act (7 U.S.C. 1522(c)(7)). ``(B) Establishment.-- ``(i) In general.--The Secretary shall establish a streamlined process for the submission of records and acreage reports under paragraphs (2) and (3), respectively, for-- ``(I) diverse production systems, such as those typical of urban production systems; ``(II) other small-scale production systems; and ``(III) direct-to-consumer production systems. ``(ii) Inclusions.--The streamlined process established under clause (i) shall include-- ``(I) reduced acreage report requirements; and ``(II) allowing the submission to the Secretary of 2 reports per year so as to accommodate later acreage reporting. ``(C) Revenue-based option.-- ``(i) Establishment.--Notwithstanding paragraphs (2) and (3) or subsection (a)(1)(A), the Secretary shall establish a streamlined revenue-based coverage option that is available, on a voluntary basis, to any producer eligible for assistance under this section. ``(ii) Submission of historical revenue.-- The Secretary shall accept the Internal Revenue Service Tax Form Schedule F, or successor forms, as sufficient for the establishment of historical adjusted revenue, subject to the condition that approved insurance providers may request additional verifiable records in cases where there is documented evidence, made clear to the applicant, that farm tax records are incomplete. ``(D) On-ramp to whole farm plan.-- ``(i) In general.--In the case of a producer using diverse production systems described in subparagraph (B)(i) that may be eligible for the whole farm plan, the Secretary, acting through the Administrator of the Agency, shall establish a streamlined revenue-based option under the noninsured crop disaster assistance program under this section to assist the producer to transition, on a voluntary basis, from the noninsured crop disaster assistance program under this section to the whole farm plan. The Secretary may provide for such other options as may be necessary to assist producers with such a transition who are unable to purchase a whole farm plan. ``(ii) Requirements.--The streamlined revenue-based option established under clause (i) shall offer a premium discount of-- ``(I) 25 percent for the first crop year for which a producer-- ``(aa) certifies that the producer will transition from the noninsured crop disaster assistance program under this section to the whole farm plan not later than 3 years after the date of the certification; and ``(bb) provides revenue history with respect to that crop year; ``(II) 50 percent for the crop year following the crop year described in subclause (I) if the producer-- ``(aa) certifies that the producer will transition from the noninsured crop disaster assistance program under this section to the whole farm plan not later than 2 years after the date of the certification; and ``(bb) provides revenue history with respect to that crop year; and ``(III) 50 percent for the crop year following the crop year described in subclause (II) if the producer-- ``(aa) purchases insurance under the whole farm plan not later than 1 year after the date of the certification; and ``(bb) provides revenue history with respect to that crop year. ``(iii) Tax form schedule f.--The Secretary shall accept the Internal Revenue Service Tax Form Schedule F (or a successor form) with respect to a producer for purposes of establishing revenue history under clause (ii). ``(iv) Revenue history sharing.--The Secretary shall submit to the Federal Crop Insurance Corporation the revenue history submitted to the Secretary pursuant to clause (ii). ``(E) Rulemaking.--Not later than 90 days after the date of the enactment of the Save Our Small Farms Act of 2025, the Secretary shall issue regulations to ensure that premium discounts under this paragraph are only available to producers who transition to a whole farm plan, as described in subparagraph (D)(i).''; (3) in subsection (c), by adding at the end the following: ``(5) Notice of certain losses.--Notwithstanding any other provision of law (including regulations), a producer of a hand- harvested or rapidly deteriorating crop may submit to the Secretary notification of a loss of that crop 120 hours or more after the loss in order to be eligible for assistance under this section. ``(6) Appraisal of loss.-- ``(A) In general.--In any case in which an appraisal of crop acreage is requested by a producer or determined to be necessary by the Secretary for a year in which a notice of loss is filed under this subsection, particularly in any case in which a loss adjuster is not available within 72 hours of the notice, the Secretary shall permit the following alternatives to an in-person appraisal by a loss adjuster: ``(i) Remote appraisal, including time- stamped photographs, drone footage, and other technology applications. ``(ii) Appraisal by field office staff of the Agency with requisite training, in conjunction with a remote appraisal under clause (i). ``(B) Training.--The Secretary shall require field office staff to attend noninsured crop disaster assistance appraisal training for purposes of subparagraph (A)(ii).''; (4) in subsection (e)(3), by striking ``65 percent'' and inserting ``100 percent''; (5) in subsection (i)(2)-- (A) in subparagraph (A), by striking ``and'' at the end; (B) in subparagraph (B), by striking the period at the end and inserting ``; and''; and (C) by adding at the end the following: ``(C) notwithstanding subparagraphs (A) and (B), in the case of a limited resource, beginning, or socially disadvantaged farmer, as determined by the Secretary, a veteran farmer or rancher (as defined in section 2501(a) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a))), or a producer participating in the streamlined revenue-based option pursuant to subsection (b)(4)(C), $600,000.''; (6) in subsection (k)(2)-- (A) by striking ``defined by the Secretary, or a veteran'' and inserting ``determined by the Secretary, a veteran''; and (B) by inserting ``, or a producer participating in the streamlined revenue-based option pursuant to subsection (b)(4)(C)'' before the period at the end; (7) in subsection (l), by striking paragraph (3) and inserting the following: ``(3) Premium discount.--The coverage made available under this subsection shall be available to limited resource, beginning, or socially disadvantaged farmers, as determined by the Secretary, veteran farmers or ranchers (as defined in section 2501(a) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a))), and producers participating in the streamlined revenue-based option pursuant to subsection (b)(4)(C), in exchange for a premium that is 25 percent of the premium determined under paragraph (2).''; and (8) by adding at the end the following: ``(m) Delivery.--The Secretary shall collaborate with outreach and technical assistance providers, extension offices, and State departments of agriculture to advertise the noninsured crop disaster assistance program under this section, particularly to limited resource, beginning, or socially disadvantaged farmers, as determined by the Secretary, veteran farmers or ranchers (as defined in section 2501(a) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a))), and producers eligible to participate in the streamlined revenue-based option pursuant to subsection (b)(4)(C).''. SEC. 3. WHOLE FARM REVENUE PROTECTION. Section 522(c) of the Federal Crop Insurance Act (7 U.S.C. 1522(c)) is amended-- (1) in paragraph (1)-- (A) in subparagraph (B), by striking ``and'' at the end; (B) in subparagraph (C), by striking the period at the end and inserting ``; and''; and (C) by adding at the end the following: ``(D) increase participation by producers-- ``(i) marketing direct-to-consumers; ``(ii) marketing through intermediated sales in local and regional markets; ``(iii) using farm identity-preserved marketing; or ``(iv) undertaking producer education on how to use direct market prices.''; (2) in paragraph (7)-- (A) in subparagraph (A), by striking ``, with a liability limitation of $1,500,000,''; (B) in subparagraph (B), by inserting ``or in combination with'' after ``in lieu of''; (C) in subparagraph (C)-- (i) in the matter preceding clause (i), by striking ``may'' and inserting ``shall''; (ii) in clause (i), by striking ``or'' at the end; (iii) by redesignating clause (ii) as clause (iii); and (iv) by inserting after clause (i) the following: ``(ii) utilize a resource-conserving crop rotation (as defined in section 1240L(d)(1) of the Food Security Act of 1985 (16 U.S.C. 3839aa-24(d)(1))); or''; (D) in subparagraph (D), by striking ``may'' and inserting ``shall''; (E) in subparagraph (E)-- (i) in clause (i), in the matter preceding subclause (I), by striking ``18 months after the date of enactment of the Agriculture Improvement Act of 2018'' and inserting ``1 year after the date of the enactment of the Save Our Small Farms Act of 2025''; (ii) in clause (ii), in the matter preceding subclause (I), by striking ``subclause'' and inserting ``clause''; and (iii) by adding at the end the following: ``(iii) Additional review.--Not later than 1 year after the date of the enactment of the Save Our Small Farms Act of 2025, and annually thereafter, the Corporation shall-- ``(I) review any limitations on insurable revenue (including the overall limitation and limitations specific to animals, animal products, greenhouse and nursery, and aquaculture) to ensure the limitations are adequate to cover the financial risks associated with the production of high-value agricultural products; and