USDA tightens eligibility for farm subsidies; critics say rules fall short of Obama campaign promises

Last week the U.S. Department of Agriculture unveiled tighter eligibility rules for farm subsidies. The new rules prevent subsidies from going to the wealthiest Americans, as required by the 2008 Farm Bill, Reuters reports. "After nearly a year of review, USDA settled on a modestly stricter definition of who is a farmer," Reuters writes. "Producers must be able to document a regular, separate and identifiable contribution of labor, management or both to qualify for subsidies if they do not provide capital, land or equipment." (Read more, subscription required)

President Obama said during the 2008 campaign that payments should only go to active farmers and landlords who rent to them, and the White House Web site says the administration favors a cap on crop subsidies. Those promises were not fulfilled by the USDA announcement, leaving some frustrated with the news. "Advocates for small-scale farmers are accusing President Barack Obama of reneging on a pledge to tighten restrictions on who gets federal farm subsidies," Phillip Brasher of The Des Moines Register reports.

"Like other administrations before, when push comes to shove, something is always more important to the White House politically than the fate of family farming, and they trade away subsidy reform in a heart beat," Ferd Hoefner, policy director for the National Sustainable Agriculture Coalition, told Brasher. "Once again, principle and sound public policy have been sacrificed on the altar of political expediency." USDA press secretary Caleb Weaver said in a statement that USDA is "continuing to explore additional opportunities through legislation and/or regulation" to better target program payments. (Read more)