The Lacuna Project

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Exhibit 654

Farm Program Payments: USDA Needs to Strengthen Regulations and Oversight to Better Ensure Recipients Do Not Circumvent Payment Limitations (GAO-04-407)

Exhibit 654 · GAO report

Farm Program Payments: USDA Needs to Strengthen Regulations and Oversight to Better Ensure Recipients Do Not Circumvent Payment Limitations (GAO-04-407)

about 99 percent of payment recipients asserted they met eligibility requirements through active personal management

USDA's rules set no measurable standard for a significant contribution of active personal management. Of $17 billion in 2001 payments, $5.9 billion went to about 140,000 entities, and general partnerships received 45 percent of entity payments. For about one-half of operations reviewed, field offices did not use available tools to check active engagement. USDA agreed to act on most recommendations and said its regulations were sufficient for determining active engagement.

Source
U.S. Government Accountability Office
Date
April 2004
Quoted from
Highlights, p. 2 of PDF
Grade
Primary record
Document
https://www.gao.gov/assets/gao-04-407.pdf
Accessed
2026-11-09
Cited by
Findings citing this exhibit

Cited by

Finding AGR-3.7
Primary record Crop insurance premium subsidies and indemnities have no payment limit and sit outside the actively engaged in farming test. For the programs that apply the test, GAO reported in 2004, 2013 and 2020 that the management standard is broad and that FSA’s compliance reviews were late or not monitored.