Stimulus Package May Benefit the Ag Industry

apples-on-trees-real-redHouse 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.

  • Principal
  • CliftonLarsonAllen
  • Yakima, Washington
  • 509-823-2920

Paul Neiffer is a certified public accountant and business advisor specializing in income taxation, accounting services, and succession planning for farmers and agribusiness processors. Paul is a principal with CliftonLarsonAllen in Yakima, Washington, as well as a regular speaker at national conferences and contributor at Raised on a farm in central Washington, he has been immersed in the ag industry his entire life, including the last 30 years professionally. In fact, Paul drives a combine each summer for his cousins and that is what he considers a vacation.

Comments are closed.

Subscribe to Our Email List

* indicates required