Ensuring Proper Farm Program Payments

Federal farm programs help ensure that the U.S. farm sector continues to provide the American people with ample quantities of food, feed, and fiber. To that end, the federal government will spend about $11 billion on subsidies and disaster and conservation payments for farmers in 2009. We have found that USDA needs to better oversee farm program funds to ensure they are spent as economically, efficiently, and effectively as possible. Without this assurance, the programs may not benefit the agricultural sector as intended. Our work has shown the following:

• USDA paid nearly $50 million from 2003 through 2006 to thousands of individuals whose incomes exceeded the eligibility cap of $2.5 million.

  Highlights of GAO-09-67 (PDF)

• USDA paid $1.1 billion in the names of 172,800 deceased individuals from 1999 through 2005 because it lacked enforcement controls to verify the status of these recipients.

  Highlights of GAO-07-818 (PDF), Highlights of GAO-07-1137T (PDF)

• Each year, USDA makes payments to thousands of individuals who have only limited involvement in farming because it lacks management controls to verify that payments go only to individuals who meet eligibility requirements.

  Highlights of GAO-04-407 (PDF)

^ Back to topWhat Needs to Be Done

To reasonably ensure that farm program payments are made only to qualified recipients, USDA needs to systematically verify the income of each individual and entity receiving farm program payments and develop measurable requirements to define a significant contribution of active personal farm management.

Highlights of GAO-09-67 (PDF), Highlights of GAO-04-407 (PDF)

^ Back to topKey Reports

Federal Farm Programs

Federal Farm Programs

Federal Farm Programs

Farm Program Payments

Farm Program Payments

More Reports