By Jamie Martin
The U.S. House has passed a major budget bill, informally called the "megabill," aimed at supporting large-scale meat and dairy industries.
Although it passed narrowly without Democratic support, it still awaits approval from the Senate and could change before becoming law.
One major concern is a $300 million cut to the Supplemental Nutrition Assistance Program (SNAP), or food stamps, over the next decade.
For the first time, states would have to pay 5% to 25% of SNAP costs, depending on past error rates. The bill also cuts federal reimbursements for state SNAP administration from 50% to 25%, and increases work requirements up to age 64.
At the same time, the bill increases federal support for meat and dairy sectors. It expands the Dairy Margin Coverage Program and increases crop reference prices.
Livestock farmers will also receive more compensation when animals are lost due to predators or disease.
“That’s a direct transfer of wealth,” says Andrew deCoriolis of Farm Forward. “That’s a direct giveaway to dairy companies.”
The bill also extends the 45Z tax credit for biofuel production, which often benefits large animal farms that produce manure-based biofuels. This provision supports industrial farming but raises environmental concerns.
Although a controversial item, the EATS Act, which aimed to limit state-level animal welfare laws like California's Proposition 12, was not included. This omission is due to budget rules in the Senate, as the bill must focus on spending.
The bill also includes more crop insurance, tax breaks for farms, and lower estate taxes for farm inheritances. Still, Senate changes are likely, as even some Republican senators may oppose cuts to social programs.
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Categories: National