{ "id": "R40422", "type": "CRS Report", "typeId": "REPORTS", "number": "R40422", "active": false, "source": "EveryCRSReport.com, University of North Texas Libraries Government Documents Department", "versions": [ { "source": "EveryCRSReport.com", "id": 395289, "date": "2011-12-16", "retrieved": "2016-04-07T00:24:35.651159", "title": "A 2008 Farm Bill Program Option: Average Crop Revenue Election (ACRE)", "summary": "Farm commodity programs over the decades have focused on protecting farmers against declines in farm prices and not declines in revenue (price times production). Traditional programs for field crops provide benefits to producers when farm prices drop below specified levels. To help farmers manage their revenue risks, Congress included the Average Crop Revenue Election (ACRE) program in the Food, Conservation, and Energy Act of 2008 (P.L. 110-246 or 2008 farm bill) as a revenue-based program option for farmers who enroll in traditional farm commodity programs for crop years 2009-2012. Unlike revenue protection provided by some crop insurance products, ACRE is designed to protect against losses from multi-year price declines. \nProgram authorization ends with the 2012 crops. As part of the farm bill debate expected in 2012, Congress will likely be interested in how ACRE reduces revenue risk for producers of program crops and how variations of the program might be incorporated as part of the farm safety net, which includes commodity programs, crop insurance, and disaster assistance.\nThe ACRE program pays a farmer when two conditions are met: (1) state-level revenue for a crop falls below a guaranteed level, and (2) the farmer experiences an individual crop revenue loss. (Payments for each crop are calculated separately.) If farmers select ACRE, they forgo 20% of their direct payments under the Direct and Counter-cyclical Payment Program (DCP), and commodity loan rates under the Marketing Assistance Loan Program are reduced by 30%. Also, ACRE participants are not eligible for counter-cyclical program payments under DCP. When deciding to participate in ACRE, producers must consider the trade-off between reduced benefits under traditional programs and the expected increase in revenue risk protection and potential payments provided by ACRE. \nOnce a farm is enrolled in ACRE, the program applies to all eligible crops on that farm. A farmer who operates more than one farm may elect to enroll one or all of the farms in ACRE. Importantly, once a farm is enrolled in ACRE, it must remain in the program for subsequent crop years. For the 2009 crop year, approximately 8% of the total number of farms elected to participate in ACRE, representing nearly 13% of base acres (total program acreage). Both measures increased less than one percentage point in 2010. In November 2010, USDA began issuing approximately $420 million in 2009 ACRE payments for wheat, corn, barley, dry peas, grain sorghum, lentils, oats, peanuts, soybeans, and upland cotton, with about 70% of the total expected to be issued to wheat producers and 23% to corn producers.", "type": "CRS Report", "typeId": "REPORTS", "active": false, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "http://www.crs.gov/Reports/R40422", "sha1": "0aa9e4cd7231fe9280c70e6439cdc7ac4232dd50", "filename": "files/20111216_R40422_0aa9e4cd7231fe9280c70e6439cdc7ac4232dd50.html", "images": null }, { "format": "PDF", "encoding": null, "url": "http://www.crs.gov/Reports/pdf/R40422", "sha1": "70c88c623b087990a10f1b022d0ca85a88609af3", "filename": "files/20111216_R40422_70c88c623b087990a10f1b022d0ca85a88609af3.pdf", "images": null } ], "topics": [] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc821473/", "id": "R40422_2010Dec10", "date": "2010-12-10", "retrieved": "2016-03-19T13:57:26", "title": "A New Farm Program Option: Average Crop Revenue Election (ACRE)", "summary": "Farm commodity programs over the decades have focused on protecting farmers against declines in farm prices and not declines in revenue (price times production). Traditional programs for field crops provide benefits to producers when farm prices drop below specified levels. This report discusses the Average Crop Revenue Election (ACRE) program which Congress included in the Food, Conservation, and Energy Act of 2008 (P.L. 110-246) as a revenue based program option for farmers who enroll in traditional farm commodity programs. Unlike revenue protection provided by some crop insurance products, ACRE is designed to protect against losses from multi-year price declines.", "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20101210_R40422_d21c4f3db458d40fe9c2c8fd1af64d0bf849f70b.pdf" }, { "format": "HTML", "filename": "files/20101210_R40422_d21c4f3db458d40fe9c2c8fd1af64d0bf849f70b.html" } ], "topics": [ { "source": "LIV", "id": "Agriculture", "name": "Agriculture" }, { "source": "LIV", "id": "Agricultural prices", "name": "Agricultural prices" }, { "source": "LIV", "id": "Agricultural policies", "name": "Agricultural policies" }, { "source": "LIV", "id": "Agricultural price supports", "name": "Agricultural price supports" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc822019/", "id": "R40422_2009Mar04", "date": "2009-03-04", "retrieved": "2016-03-19T13:57:26", "title": "A New Farm Program Option: Average Crop Revenue Election (ACRE)", "summary": null, "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20090304_R40422_de56074cb8b6c2289fc37814b40b27a668c51dc7.pdf" }, { "format": "HTML", "filename": "files/20090304_R40422_de56074cb8b6c2289fc37814b40b27a668c51dc7.html" } ], "topics": [] } ], "topics": [ "Agricultural Policy", "Economic Policy" ] }