I 
115TH CONGRESS 
2D SESSION 
H. R. 5629 
To amend the Federal Crop Insurance Act and Food Security Act of 1985 
to enact reforms to farm subsidies and crop insurance called for in 
President Trump’s budget for fiscal year 2019. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 26, 2018 
Mr. NORMAN (for himself and Mr. GOSAR) introduced the following bill; which 
was referred to the Committee on Agriculture 
A BILL 
To amend the Federal Crop Insurance Act and Food Secu-
rity Act of 1985 to enact reforms to farm subsidies 
and crop insurance called for in President Trump’s budg-
et for fiscal year 2019. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘President Trump’s Farm Bill Reforms Act of 2018’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—REDUCING FARM SUBSIDY PAYMENTS 
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Sec. 101. Reduction of premium subsidies. 
Sec. 102. Reduction of stacked income protection plan for producers of upland 
cotton. 
Sec. 103. Elimination of separate payment limitation for peanuts. 
Sec. 104. Terminating use of commodity certificates to pay off marketing as-
sistance loans. 
TITLE II—ELIGIBILITY REQUIREMENTS FOR FARM SUBSIDY 
PAYMENTS 
Sec. 201. Adjusted gross income limits for crop insurance premium subsidies. 
Sec. 202. Adjusted gross income limits for commodity and conservation pro-
grams. 
Sec. 203. Payments limited to active farmers. 
TITLE III—TARGET RATE OF RETURN FOR INSURANCE 
COMPANIES 
Sec. 301. Reducing target rate of return for insurance companies. 
TITLE I—REDUCING FARM 
SUBSIDY PAYMENTS 
SEC. 101. REDUCTION OF PREMIUM SUBSIDIES. 
Section 508(e) of the Federal Crop Insurance Act (7 
U.S.C. 1508(e)) is amended— 
(1) in paragraph (2)— 
(A) in subparagraph (B)(i), by striking 
‘‘67 percent’’ and inserting ‘‘52 percent’’; 
(B) in subparagraph (C)(i), by striking 
‘‘64 percent’’ and inserting ‘‘49 percent’’; 
(C) in subparagraph (D)(i), by striking 
‘‘59 percent’’ and inserting ‘‘44 percent’’; 
(D) in subparagraph (E)(i), by striking 
‘‘55 percent’’ and inserting ‘‘40 percent’’; 
(E) in subparagraph (F)(i), by striking 
‘‘48 percent’’ and inserting ‘‘33 percent’’; 
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(F) in subparagraph (G)(i), by striking 
‘‘38 percent’’ and inserting ‘‘23 percent’’; and 
(G) in subparagraph (H)(i), by striking 
‘‘65 percent’’ and inserting ‘‘50 percent’’; 
(2) in paragraph (6)— 
(A) in subparagraph (A)(i), by striking 
‘‘59 percent’’ and inserting ‘‘44 percent’’; 
(B) in subparagraph (B)(i), by striking 
‘‘55 percent’’ and inserting ‘‘40 percent’’; 
(C) in subparagraph (C)(i), by striking 
‘‘49 percent’’ and inserting ‘‘34 percent’’; and 
(D) in subparagraph (D)(i), by striking 
‘‘44 percent’’ and inserting ‘‘29 percent’’; and 
(3) in paragraph (7)— 
(A) in subparagraph (A)(i), by striking 
‘‘59 percent’’ and inserting ‘‘44 percent’’; 
(B) in subparagraph (B)(i), by striking 
‘‘55 percent’’ and inserting ‘‘40 percent’’; and 
(C) in subparagraph (C)(i), by striking 
‘‘51 percent’’ and inserting ‘‘36 percent’’. 
SEC. 102. REDUCTION OF STACKED INCOME PROTECTION 
PLAN FOR PRODUCERS OF UPLAND COTTON. 
Section 508B(d)(1) of the Agricultural Adjustment 
Act of 1938 (7 U.S.C. 1508b(d)(1)) is amended by strik-
ing ‘‘80 percent’’ and inserting ‘‘65 percent’’. 
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(1) by striking section 166; and 
(2) by redesignating section 167 as section 166. 
(b) APPLICABILITY.—The amendments made by this 
section shall apply beginning with the 2019 crop year. 
TITLE II—ELIGIBILITY REQUIRE-
MENTS FOR FARM SUBSIDY 
PAYMENTS 
SEC. 201. ADJUSTED GROSS INCOME LIMITS FOR CROP IN-
SURANCE PREMIUM SUBSIDIES. 
Section 508(e) of the Federal Crop Insurance Act (7 
U.S.C. 1508(e)), as amended by section 101, is further 
amended by adding at the end the following new para-
graph: 
‘‘(10) ADJUSTED GROSS INCOME LIMITATION.— 
A producer shall not be eligible to obtain premium 
assistance for a crop year under this subsection if 
the average adjusted gross income (as defined in 
section 1001D of the Food Security Act of 1985 (7 
U.S.C. 
1308–3a)) 
of 
such 
producer 
exceeds 
$500,000 for the preceding crop year.’’. 
SEC. 202. ADJUSTED GROSS INCOME LIMITS FOR COM-
MODITY AND CONSERVATION PROGRAMS. 
Section 1001D(b)(1) of the Food Security Act of 
1985 (7 U.S.C. 1308–3a(b)(1)) is amended by striking 
‘‘$900,000’’ and inserting ‘‘$500,000’’. 
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SEC. 203. PAYMENTS LIMITED TO ACTIVE FARMERS. 
Section 1001A(b) of the Food Security Act of 1985 
(7 U.S.C. 1308–1) is amended by adding the following 
new paragraph: 
‘‘(3) LIMITATION.—With respect to a farming 
operation, no more than one person shall qualify as 
a farm manager actively engaged in farming for pur-
poses of receiving a payment described in subsection 
(b) or (c) of section 1001.’’. 
TITLE III—TARGET RATE OF RE-
TURN FOR INSURANCE COM-
PANIES 
SEC. 301. REDUCING TARGET RATE OF RETURN FOR INSUR-
ANCE COMPANIES. 
Section 508(k)(3) of the Federal Crop Insurance Act 
(7 U.S.C. 1508(k)(3)) is amended— 
(1) by striking ‘‘(3) SHARE OF RISK.—The’’ 
and inserting the following: 
‘‘(3) RISK.— 
‘‘(A) SHARE OF RISK.—The’’; and 
(2) by adding at the end the following: 
‘‘(B) LIMITATION ON AVERAGE RATE OF 
RETURN.—The target average rate of return for 
reinsured companies for the 2018 reinsurance 
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year and each subsequent reinsurance year shall 
be 12 percent of retained premiums.’’. 
Æ 
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