Earlier this month, federal lawmakers passed the Inflation Reduction Act (IRA) into law. This new law addresses many issues relating to inflation and climate actions – as well as many efforts to support the agriculture industry.
So, what are the critical elements of this law that you should understand?
What does the law include?
According to the White House briefing about the IRA, the law includes investments to:
- Fund conservation of rural lands
- Support farmers, ranchers and other landowners to reduce climate effects and disasters
- Work to reduce the effects of droughts on rural lands
- Provide financial relief for struggling agricultural operations
There is a significant amount of money going to these efforts. It is important to note that the primary goal of the law is to confront and reduce the effects of climate change. Most of the funds and support for the agriculture industry are in some way related to strategies to become more environmentally friendly.
However, the support for land conservation efforts and farm owners will likely go a long way in the industry, and provide farmers with the resources they will need to rebuild their businesses. After all, farmers will have to be in a good financial place before they can focus on adjusting their practices.
Early days still require understanding
There are already several environmental and conservation policies that farmers and agricultural landowners must follow. While this new law does not specifically create new policies, it provides significant incentives to adjust and improve conservation practices. Farmers should take time to learn the benefits and expectations included in this law – while still adhering to the existing policies.
This is a new law, and we have yet to see just how it will affect the agriculture industry. Even so, it is critical for Washington landowners and farmers to ensure they fully understand the details of this new law – and the potential effects it may have. That way, they can secure their rights and protect the future of their farms.