For more than two decades, and over the course of the last four farm bills, farm program payments have been based on a farm’s historical planted acreage, i.e., base acres, and not on actual plantings each year. Decoupling Agriculture Risk Coverage and Price Loss Coverage farm program payments prevents farmers from making planting decisions based on expected program payments. Instead, the current system ensures farmers evaluate only market supply and demand signals and expected returns per acre when determining which crops to plant each year.
