Disaster Assistance: How Best to Pay When Nature Has Her Way
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Abstract
Over the past several months, Congress, the administration, and various farm groups have debated the type and size of an agricultural disaster assistance package. Drought has affected a large part of the country and could continue to do so in future months (see Map 1). The Senate attached an agricultural disaster assistance package to the Department of the Interior’s appropriation bill. The House has not moved forward on any disaster package. The administration has stated that any disaster assistance must be paid for by budget offsets (that is, other programs must give up funding to pay for the disaster assistance package). The debate on a package for the current drought has centered on two questions: who will receive assistance, and how will it be paid for?