Policy Impact Analysis - 117/S/5224

Bill Overview

Title: Family Farmer and Rancher Tax Fairness Act of 2022

Description: This bill excludes from the gross income of certain farmers, ranchers, and forest land owners who are at financial risk payments for debt relief and for remedying past discrimination against such individuals.

Sponsors: Sen. Booker, Cory A. [D-NJ]

Target Audience

Population: Family farmers, ranchers, and forest land owners

Estimated Size: 1000000

Reasoning

Simulated Interviews

Family Farmer (Iowa)

Age: 45 | Gender: male

Wellbeing Before Policy: 5

Duration of Impact: 10.0 years

Commonness: 12/20

Statement of Opinion:

  • This policy seems like a good move. It's a relief knowing that debt relief amounts aren't taxed.
  • It might allow us to reinvest more into the farm, but I'm skeptical about how long the benefits will last.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 5
Year 2 6 5
Year 3 7 5
Year 5 7 5
Year 10 8 6
Year 20 7 6

Rancher (Texas)

Age: 60 | Gender: female

Wellbeing Before Policy: 4

Duration of Impact: 20.0 years

Commonness: 10/20

Statement of Opinion:

  • I've been waiting for something like this for years. Every bit helps in sustaining operations.
  • I hope the policy also aims to prevent future discrimination, not just address past issues.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 4
Year 2 6 4
Year 3 6 5
Year 5 7 5
Year 10 8 5
Year 20 8 5

Forest Land Owner (Mississippi)

Age: 37 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 15.0 years

Commonness: 8/20

Statement of Opinion:

  • The policy should have come a lot sooner. I feel like we've been overlooked for too long.
  • This will ease the tax burden, which has been a huge weight on us.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 5
Year 2 6 5
Year 3 7 5
Year 5 7 6
Year 10 7 6
Year 20 6 6

Family Farmer (Nebraska)

Age: 50 | Gender: male

Wellbeing Before Policy: 7

Duration of Impact: 0.0 years

Commonness: 15/20

Statement of Opinion:

  • We're not directly impacted by this policy as we haven't been part of any relief programs.
  • I see it as necessary for those who have faced unfair practices, but it doesn't change anything for us.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 7 7
Year 3 7 7
Year 5 7 7
Year 10 7 7
Year 20 7 7

Sustainable Food Grower (California)

Age: 29 | Gender: other

Wellbeing Before Policy: 8

Duration of Impact: 0.0 years

Commonness: 13/20

Statement of Opinion:

  • Our operations don't really fall under this policy, mainly because we're not facing these tax issues.
  • Still, I support the idea of easing financial strains for those on similar paths.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 8 8
Year 2 8 8
Year 3 8 8
Year 5 8 8
Year 10 8 8
Year 20 8 8

Rancher (Kentucky)

Age: 42 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 10.0 years

Commonness: 11/20

Statement of Opinion:

  • I've been wanting tax relief on these payments for a long time.
  • It's a positive step, but I wonder about support for ongoing discrimination issues.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 6
Year 2 7 6
Year 3 7 6
Year 5 8 6
Year 10 8 6
Year 20 7 6

Forest Land Owner (New York)

Age: 54 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 20.0 years

Commonness: 9/20

Statement of Opinion:

  • It's about time these relief payments aren't taxed, we've been counting pennies.
  • This could lead to better conservation efforts without financial strain.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 5
Year 2 6 5
Year 3 7 5
Year 5 8 6
Year 10 9 6
Year 20 8 6

Family Farmer (Montana)

Age: 39 | Gender: male

Wellbeing Before Policy: 7

Duration of Impact: 0.0 years

Commonness: 14/20

Statement of Opinion:

  • The policy doesn't apply to us directly, but it could help other farmers stay afloat.
  • I think it adds resilience to the community overall.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 7 7
Year 3 7 7
Year 5 7 7
Year 10 7 7
Year 20 7 7

Rancher (Florida)

Age: 61 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 15.0 years

Commonness: 10/20

Statement of Opinion:

  • I'm continuously worried about taxes reducing the impact of our debt relief.
  • This change is the break we've been needing for better planning.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 5
Year 2 6 5
Year 3 7 5
Year 5 8 6
Year 10 8 6
Year 20 7 6

Family Farmer (Georgia)

Age: 47 | Gender: other

Wellbeing Before Policy: 5

Duration of Impact: 10.0 years

Commonness: 11/20

Statement of Opinion:

  • This policy helps, but it's not the whole solution—systemic changes are needed to prevent discrimination entirely.
  • The economic relief is welcome, though.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 5
Year 2 7 5
Year 3 7 5
Year 5 8 6
Year 10 8 6
Year 20 7 6

Cost Estimates

Year 1: $5000000000 (Low: $4000000000, High: $6000000000)

Year 2: $5000000000 (Low: $4000000000, High: $6000000000)

Year 3: $5000000000 (Low: $4000000000, High: $6000000000)

Year 5: $5000000000 (Low: $4000000000, High: $6000000000)

Year 10: $5000000000 (Low: $4000000000, High: $6000000000)

Year 100: $5000000000 (Low: $4000000000, High: $6000000000)

Key Considerations