Federal Farm-Based Energy Policy
The Federal Farm Bill
The U.S. Congress sets federal policy for farm-based clean energy development primarily through the Farm Bill, which Congress typically reauthorizes every five years. Congress passed the last major Farm Bill in 2002. Although Congress is scheduled to reauthorize the legislation again in 2007, the recent (July 2006) collapse of the World Trade Organization talks on trade, especially agriculture trade, may cause Congress to change its plans and delay a full-scale reauthorization of the Farm Bill. The Senate and House Agriculture Committees are primarily responsible for drafting the Farm Bill.
Visit our Federal Farm Bill page for updated information on the current Farm Bill and on the planned 2007 reauthorization of the bill, including field hearings, proposed legislation, policy ideas, and other resources.
The Annual Farm Bill Appropriations Process
Federal farm policy also is inextricably tied to budget politics and the annual appropriations process. Some Farm Bill programs, for example the Title I commodity subsidy programs and the Title IV Women, Infant and Children food stamp program, are funded primarily through mandatory appropriations established in the five-year Farm Bill. Other programs, many energy and conservation programs, funded each year through discretionary appropriations.
Other Important Federal Legislation
Other legislation also promotes farm-based clean energy development programs, especially since most wind energy and many bioenergy projects are developed in rural areas. For example, last year Congress passed the Energy Policy Act of 2005, which included a renewable fuels standard, new bonding authority for rural electric cooperatives to finance clean energy projects, and several incentive programs for biofuels and other energy sources.