Stimulus Package May Benefit the Ag Industry
House Democrats proposed last week an $825 billion stimulus measure including $275 billion in tax breaks and $550 billion in spending that touches almost every area of the economy including agriculture.
- The bill included $245 million for the Farm Credit Service Agency to purchase a computer system to considered necessary to implement the 2008 Farm Act.
- $100 million to guarantee $2 billion in loans for farming, ethanol production and other rural business activities. This equates to an estimated 5% write off of these loans.
- $8 billion to guarantee up to $80 billion in loans for proven renewable and transmission technologies. This equates to an estimated 10% write off of these types of loans.
- $2 billion for energy efficiency and renewable energy research, development and deployment.
- $1.5 billion to support $3.8 billion in grants and loans to help rural communities fund drinking water and wastewater treatment systems.
- $400 million for Natural Resources Conservation Service watershed improvement programs.
- $2.825 billion for rural broadband infrastructure.
- $20 billion for food stamps.
- $30 billion in highway infrastructure.
This is a lot money and I hope Congress and the government does a better job of investing it than they have in the past.