APH is used to determine available levels of crop insurance. The bill sets up a four-year pilot program allowing producers to buy up to 90 percent coverage for their costs of production. Even when yields are good, low prices can have a devastating impact on a producer's pocketbook. This cost of production coverage could provide some relief, helping producers pay for their bottom-line expenses. The bill would create a livestock insurance pilot program.
Current law prohibits livestock coverage.
The bill would change the make-up of the FCIC board, which regulates the federal crop insurance program, to ensure more producer involvement. Two active producers would be appointed to the board. The bill has bipartisan support from farm state members. Cosponsors include Reps. Pomeroy from North Dakota, Minge from Minnesota and Boswell from Iowa.