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Updated May 8, 2020
Supplemental Appropriations for Agriculture and
Related Agencies Due to COVID-19
In March and April 2020, Congress passed and the
Commodity Credit Corporation (CCC) using the
President signed four supplemental appropriations acts in
Secretary’s general discretion to support agriculture. As of
response to the COVID-19 pandemic (P.L. 116-123, P.L.
the date of this report, USDA has not announced how it will
116-127, P.L. 116-136, and P.L. 116-139; Table 1). This In
distribute the direct payments regarding commodities,
Focus summarizes over $36 billion of appropriations and
payment rates, payment limits, and other terms.
policy changes in the jurisdiction of the Agriculture
The $3 billion commodity purchase program uses indefinite
appropriations subcommittees. These supplemental
authority in the Families First Coronavirus Relief Act (the
appropriations acts are referred to here by order of passage.
second supplemental) to make purchases for emergency
For comparison, the regular annual Agriculture
distribution. On April 21, USDA announced plans to
appropriations are discussed in CRS Report R45974,
implement a Farmers to Families Food Box Program by
Agriculture and Related Agencies: FY2020 Appropriations.
purchasing about $100 million per month of fresh produce,
Food and Drug Administration (FDA)
$100 million per month of dairy products, and $100 million
For FDA to respond to the public health emergency of the
per month of meat products (chicken and pork). Products
COVID-19 pandemic, the first, third, and fourth
purchased from farmers and processors are to be assembled
supplemental appropriations acts provide a total of $163
into household-ready boxes for expedited distribution.
million. The funds are to develop medical countermeasures
On May 4, 2020, USDA announced $470 million of
and tests (e.g., drugs, vaccines), and monitoring of medical
additional purchases with Section 32 authority. USDA
product supply chains. See CRS Report R46285,
intends to buy $170 million of produce, $120 million of
Coronavirus Preparedness and Response Supplemental
dairy products, $80 million of poultry, $70 million of fish,
Appropriations Act, 2020 (P.L. 116-123): First
and $30 million of pork for distribution through food banks.
Coronavirus Supplemental; and CRS Report R44576, The
See CRS Report RL34081, Farm and Food Support Under
Food and Drug Administration (FDA) Budget: Fact Sheet.
USDA’s Section 32 Program.
Nutrition Assistance
The third supplemental appropriation also replenishes by
Access to food has been a concern, particularly in light of
July up to $14 billion of funding availability for the CCC,
school closures. Rising unemployment may also increase
which operates with a $30 billion line of credit with the
participation in the Supplemental Nutrition Assistance
U.S. Treasury. The $14 billion is not new spending, and
Program (SNAP) and other food assistance programs.
will reimburse CCC for past spending. This reimbursement
could increase opportunities for USDA to use its executive
The second and third supplemental appropriations acts
authority to provide future support. See CRS Insight
provide a total of $26 billion for nutrition assistance and
IN10941, Commodity Credit Corporation: Q&A.
give the U.S. Department of Agriculture (USDA) certain
flexibilities to increase program access and accommodate
Disaster Designation
social distancing. The Congressional Budget Office (CBO)
For producers, the majority of USDA’s existing disaster
estimated that SNAP policies in the second law will
response programs cover natural disasters (physical and
increase mandatory spending by more than $21 billion over
production). The losses from the pandemic are economic
FY2020-FY2021, some of which the third act provides. See
and do not trigger agricultural disaster assistance programs
CRS Insight IN11250, USDA Domestic Food Assistance
Programs’ Response to COVID
such as emergency loans, despite the President’s declaration
-19: P.L. 116-127, P.L. 116-
of a public health emergency under the Stafford Act (CRS
136, and Related Efforts.
Insight IN11251, The Stafford Act Emergency Declaration
Agricultural Producers
for COVID-19). However, USDA has announced some loan
On April 17, 2020, USDA announced a $19 billion
flexibilities, including payment deferrals and moratoriums
Coronavirus Food Assistance Program (CFAP), composed
on foreclosures.
of $16 billion of direct payments to farmers and $3 billion
Rural Development
of commodity purchases. See CRS Report R46347,
The third supplemental appropriation provides $146 million
COVID-19, U.S. Agriculture, and USDA’s Coronavirus
for USDA rural development programs, including $100
Food Assistance Program (CFAP).
million for broadband grants, $25 million for rural
The CFAP has three funding sources. The $16 billion of
telemedicine and distance learning, and $20.5 million to
direct payments is derived from $9.5 billion in the CARES
support rural business loans. See CRS In Focus IF11262,
Act (the third supplemental) and $6.5 billion from the
The ReConnect Broadband Pilot Program.
https://crsreports.congress.gov