SENATE-PASSED FARM BILL’S IMPACT ON
OREGON FOOD BANK PRIORITIES
On June 21, 2012 the U.S. Senate passed the
Agriculture Reform, Food, and Jobs Act of 2012 (S.
3240), its version of the 2012 farm bill. The bill
reauthorizes a multitude of policies and programs that
impact agriculture and food in the United States over
the next five years, including the Supplemental
Nutrition Assistance Program (SNAP), The Emergency
Food Assistance Program (TEFAP), and programs that
benefit Oregon agriculture.
SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM
(SNAP)
SNAP, formally known as the food stamp
program, is the first line of defense against hunger and
food insecurity in the country. Currently the program
helps 46 million Americans, including 800,000
Oregonians, afford enough food to eat. Beyond
helping low-income families have adequate nutrition,
the program is also an important economic stimulus.
Over the last few years, SNAP benefits spent in
Oregon have provided about a $1 billion boost per year
to local economies. Clearly, SNAP helps both lowincome households and businesses.
S. 3240 makes several changes to SNAP that
would impact Oregon. Here’s a close look at how one
of those changes would look in our state if
implemented:
HEAT & EAT
S. 3240 would cut $4.5 billion over 10 years
from SNAP by restricting a state option known as Heat
& Eat.
The Heat & Eat option allows the Oregon
Department of Human Services (DHS) to recognize
that many families pay their heating costs as part of
their monthly rent rather than through a separate utility
bill. SNAP recipients are able to deduct a Standard
Utility Allowance (SUA) when determining their net
income for SNAP benefits if they pay heating bills;
when utilities are folded into rent, they don’t qualify
for the deduction even though they still pay for heat.
To remedy this discrepancy, the Heat & Eat
option gives qualifying SNAP households a minimal
amount ($1) of Low Income Energy Assistance
Program (LIHEAP) benefits which allows them to
deduct the SUA. This results in a SNAP benefit level
which more accurately reflects their monthly expenses.
Nationally, seniors and people with disabilities
who live in subsidized housing predominantly benefit
from this option.
The version of the farm bill recently passed by
the full Senate requires states to increase their
minimum LIHEAP payments by a factor of ten,
effectively eliminating the Heat & Eat option for
Oregon and other states due to tight state budgets.
DHS currently serves approximately 65,000
households using the Heat & Eat option. Oregonians
already facing tight finances could lose, on average,
$35, but up to almost $120 a month in SNAP benefits.
GILLIBRAND AMENDMENT FAILURE DEALS
LOSS TO SNAP PROGRAM
Senator Gillibrand’s (D-NY) amendment to
remove cuts to the SNAP program was defeated.
If passed, it would have removed the cut of $4.5
billion to the SNAP program. Both Senators
Wyden and Merkley co-sponsored the
amendment, demonstrating their commitment to
ending hunger in Oregon and nationally.
THE EMERGENCY FOOD ASSISTANCE PROGRAM
(TEFAP)
TEFAP is an income-based federal program
that provides food at no cost to low-income
Americans in need of short-term hunger relief
through food banks. While the Oregon Food Bank
Network relies on generous donations from
individual donors and community and business
partners, the healthy and nutritious foods provided
through TEFAP are the backbone of the charitable
food system, providing almost 25 percent of the
food that flowed through local hunger-relief
agencies last year.
The farm bill establishes TEFAP spending
levels for both mandatory annual food purchases
along with storage and transportation funds. The
2008 farm bill set $250 million a year for food
purchases (plus an adjustment for food price
inflation) and up to $100 million for storage and
transportation assistance. These storage and
transportation funds are discretionary, so are subject
to the annual congressional appropriations process.
Over the last several years, they have been funded at
roughly $50 million a year. Through a calculation
based on poverty and unemployment rates, Oregon
receives 1.3 percent of national funding.
S.3240 would make positive changes to
TEFAP funding levels. Thanks to effective
advocacy efforts by the OFB Network and other
food banks across the nationwide Feeding America
network, funding for TEFAP food purchases are
increased by $174 million over 10 years in the bill.
SUPPORTING OREGON AGRICULTURE
The recent Senate version of the farm bill
also contains a number of programs aimed at
benefiting farmers. While the largest programmatic
shifts nationally pertain to commodity crops, and
have less of an impact on Oregon agriculture,
smaller programs funded by the farm bill play a key
role in Oregon’s local farming communities. In
particular, the Senate farm bill contains funding for
farmers market promotion, specialty crops (fruits,
vegetables, tree nuts, dried fruit, horticulture, and
nursery crops), ownership and operating loans,
foreign market development, value-added ventures,
beginning and socially disadvantaged farmers,
community food projects, and rural development and
microenterprise programs – all programs utilized by
and benefiting Oregon farmers. The Senate
maintained or increased funding for all of these
programs, directly supporting Oregon agriculture
and our greater community.
OREGON SENATORS IMPACT FARM BILL
Amendments offered by Oregon senators are included in the farm bill.
Senator Merkley amendment helps organic farmers: Ensures organic farmers are compensated with the
organic price of their product through crop insurance programs instead of the lower, non-organic price.
Senator Wyden amendment gets local food into school lunch programs: Eases pathway for public
schools to spend federal dollars at local farms for lunch programs.
Senator Wyden amendment aids gleaners: Makes a pilot micro-loan program accessible for gleaners to
purchase equipment and supplies helpful to their gleaning efforts.
To learn more, contact Jeff Kleen at jkleen@oregonfoodbank.org or 971-223-3381