Washington, D.C. – At the last minute, a provision was added to the Farm Bill Conference Report authorizing a study of expanding new ways to increase subsidies to irrigators, according to Taxpayers for Common Sense, a budget watchdog group.

“This study is an attempt to give more federal subsidies to irrigators who already received billions in federal subsidies,” said Roder. “Water contractors in the Central Valley Project have received water at incredibly subsidized rates for decades. They do not need another dime of federal support.”

“We are stuck with a system where farmers are promised far more water than can be delivered,” said Roder. “This provision sets the stage for farmers who are already receiving sweetheart deals to come back and claim disaster relief when unrealistic water promises are not met.”

This study will examine the potential for crop insurance under the Federal Crop Insurance Act to be expanded to irrigators losing water through Federal action. The study will specifically look at irrigators in California's Central Valley Project (CVP) who lack access to water due to the implementation of the Central Valley Project Improvement Act (CVPIA). This landmark legislation, passed in 1992, sought to include pricing reforms in CVP water service contracts as the contracts come up for renewal.

The CVP has been the source of significant controversy over the course of its 60 year operation, in large part due to its massive cost and lenient repayment terms. Of the approximately $3.6 billion the project has cost federal taxpayers since the late 1930's, water users have repaid less than ten percent.

“This is an attempt to turn back the clock on pricing reforms made by the Central Valley Project Improvement Act in 1992,” asserted Roder. “This provision was added just as the Bureau of Reclamation is renegotiating the first set of water service contracts with CVP irrigators since CVPIA passed Congress.”