
Tri-State Area farmers, restaurants concerned about Congress renewing Farm Bill by September deadline
The Farm Bill would provide funding to help center soil health, provide crop insurance and protect the food supply chain. It's renewed every five years, and the deadline is September for Congress to approve it for the next cycle.
Changing weather has already impacted the "farm to table" process in the Tri-State Area, according to farmers and restaurants CBS News New York's Lisa Rozner spoke with.
"I just wanted to cry"
Fifth-generation farmer Ron Binaghi Jr., of Stokes Farm in Old Tappan, New Jersey, says it's been a bumpy year due to the changing weather.
Binaghi says last fall's drought and unusually warm temperatures caused him to lose part of his pepper and eggplant crops.
"It was in the 90s, the temperatures. Crops stop growing and they get stressed," Binaghi said. "Think of your own body when it's 90 everyday."
He says the need for water grew exponentially and so did his water bill.
"Add that onto all the other expenses that came our way, especially labor, that just, ugh. I just wanted to cry. It was tough," Binaghi said.
During April, Binaghi has new crops including garlic and strawberries.
The ones that are more sensitive, he keeps in greenhouses where he can control the temperature inside. He says he has about 65 different items grown inside one greenhouse with recycled water, and it takes half the time it would take outside. In less than a month, Binaghi says a seed can grow into lettuce, for example.
The 152-year-old farm needs to be innovative as it faces unpredictable weather like farmers across the country.
The Farm Bill would fund core programs addressing crop insurance, conservation and the Supplemental Nutrition Assistance Program, also known as SNAP, for food insecure families.
"[SNAP is] probably a good 50 percent of my sales," said Ken Milgiorelli, third-generation owner of Migliorelli Farms in Red Hook, New York, in Dutchess County.
He added, "Hopefully staffing doesn't get cut back before they pass the Farm Bill."
Chefs sound alarm about restaurant survival
Most items at Stokes and Migliorelli wind up at restaurants like Point Seven near Grand Central Station and Cathedrale on the Lower East Side.
Chef Jason Hall of Cathedrale buys asparagus from Migliorelli for a special side dish. Chef-owner Franklin Becker of Point Seven says he relies on Stokes for his popular bibb lettuce salad.
"It's very hard to make profits with prices going up and shortage of supplies caused by global warming," Becker said. "Because we don't understand global warming, we're getting a lot of recalls. At the end of the day, food is medicine."
Chef JJ Johnson says he has been sounding the alarm about the economic crisis on Capitol Hill for more than a year, as part of the James Beard Foundation's "Climate Solutions for Restaurant Survival" campaign.
"Water as a whole is becoming an issue here in the United States, and that impacts rice farming," said Johnson, who is chef and founder of the rice bowl shop "FIELDTRIP," which has locations in Harlem, Morningside Heights and Rockefeller Center.
He joined a coalition of culinary leaders through the James Beard Foundation in a letter to Congress asking that under the Farm Bill, lawmakers preserve $20 billion in climate and soil health funding.
The letter says agriculture and related industries account for more than 10% of total U.S. employment. It says they contribute significantly to the nation's GDP, adding up to $1.4 trillion.
"When you're thinking about rice, you're thinking about Arkansas, you're thinking about Mississippi," Johnson said. "Think about upstate New York, there's less rain, right? If you have 100 acres or less, you don't get crop insurance, so if you just planted, let's say, corn or the bird flu, right, ducks in Long Island, he has to figure out how to make that money back."
Back in Old Tappan, Binaghi admits every day is a challenge, but he does it for the passion not the monetary payoff.
The Farm Bill would provide long-term stability to help weather whatever storm comes in the next five years.
CBS News New York reached out multiple times to Rep. Glenn Thompson of Pennsylvania who sponsors the Farm Bill for comment. No one got back to us.
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Trump says the GOP mega bill will eliminate taxes on Social Security. It does not.
WASHINGTON -- President Donald Trump keeps saying that Republicans' mega tax and spending cut legislation will eliminate taxes on federal Social Security benefits. It does not. At best, Trump's 'no tax on Social Security' claim exaggerates the benefits to seniors if either the House or Senate-passed proposals is signed into law. Here's a look at Trump's recent statements, and what the proposals would — or would not — do. Trump repeatedly told voters during his 2024 campaign that he would eliminate taxes on Social Security. As his massive legislative package has moved through Congress, the Republican president has claimed that's what the bill would do. Trump said on a recent appearance on Fox News' 'Sunday Morning Futures" that the bill includes 'no tax on tips, no tax on Social Security, no tax on overtime.' But instead of eliminating the tax, the Senate and House have each passed their own versions of a temporary tax deduction for seniors aged 65 and over, which applies to all income — not just Social Security. And it turns out not all Social Security beneficiaries will be able to claim the deduction. Those who won't be able to do so include the lowest-income seniors who already don't pay taxes on Social Security, those who choose to claim their benefits before they reach age 65 and those above a defined income threshold. The Senate proposal includes a temporary $6,000 deduction for seniors over the age of 65, contrasted with the House proposal, which includes a temporary deduction of $4,000. The Senate proposal approved Tuesday would eliminate Social Security tax liability for seniors with adjusted gross incomes of $75,000 or less or $150,000 if filing as a married couple. If passed into law, the tax deduction would last four years, from 2025 to 2029. The deductions phase out as income increases. Touting a new Council of Economic Advisers analysis, the White House said Tuesday that '88% of all seniors who receive Social Security — will pay NO TAX on their Social Security benefits," going on to say that the Senate proposal's $6,000 senior deduction 'is estimated to benefit 33.9 million seniors, including seniors not claiming Social Security. The deduction yields an average increase in after-tax income of $670 per senior who benefits from it.' Garrett Watson, director of policy analysis at the Tax Foundation think tank, said conflating the tax deduction with a claim that there will be no tax on Social Security could end up confusing and angering a lot of seniors who will expect to not pay taxes on their Social Security benefits. 'While the deduction does provide some relief for seniors, it's far from completely repealing the tax on their benefits,' Watson said. The cost of actually eliminating the tax on Social Security would have massive impacts on the economy. University of Pennsylvania's Penn Wharton Budget Model estimates that eliminating income taxes on Social Security benefits 'would reduce revenues by $1.5 trillion over 10 years and increase federal debt by 7 percent by 2054" and speed up the projected depletion date of the Social Security Trust Fund from 2034 to 2032. Discussions over taxes on Social Security are just part of the overall bill, which is estimated in its Senate version to increase federal deficits over the next 10 years by nearly $3.3 trillion from 2025 to 2034, according to the Congressional Budget Office. Administration officials have said the cost of the tax bill would be offset by tariff income. Recently, the CBO separately estimated that Trump's sweeping tariff plan would cut deficits by $2.8 trillion over a 10-year period while shrinking the economy, raising the inflation rate and reducing the purchasing power of households overall.
Yahoo
2 hours ago
- Yahoo
Trump keeps saying the GOP mega bill will eliminate taxes on Social Security. It does not
WASHINGTON (AP) — President Donald Trump keeps saying that Republicans' mega tax and spending cut legislation will eliminate taxes on federal Social Security benefits. It does not. At best, Trump's 'no tax on Social Security' claim exaggerates the benefits to seniors if either the House or Senate-passed proposals is signed into law. Here's a look at Trump's recent statements, and what the proposals would — or would not — do. What Trump has said Trump repeatedly told voters during his 2024 campaign that he would eliminate taxes on Social Security. As his massive legislative package has moved through Congress, the Republican president has claimed that's what the bill would do. Trump said on a recent appearance on Fox News' 'Sunday Morning Futures" that the bill includes 'no tax on tips, no tax on Social Security, no tax on overtime.' A temporary tax deduction But instead of eliminating the tax, the Senate and House have each passed their own versions of a temporary tax deduction for seniors aged 65 and over, which applies to all income — not just Social Security. And it turns out not all Social Security beneficiaries will be able to claim the deduction. Those who won't be able to do so include the lowest-income seniors who already don't pay taxes on Social Security, those who choose to claim their benefits before they reach age 65 and those above a defined income threshold. The Senate proposal includes a temporary $6,000 deduction for seniors over the age of 65, contrasted with the House proposal, which includes a temporary deduction of $4,000. The Senate proposal approved Tuesday would eliminate Social Security tax liability for seniors with adjusted gross incomes of $75,000 or less or $150,000 if filing as a married couple. If passed into law, the tax deduction would last four years, from 2025 to 2029. The deductions phase out as income increases. White House touts impact Touting a new Council of Economic Advisers analysis, the White House said Tuesday that '88% of all seniors who receive Social Security — will pay NO TAX on their Social Security benefits," going on to say that the Senate proposal's $6,000 senior deduction 'is estimated to benefit 33.9 million seniors, including seniors not claiming Social Security. The deduction yields an average increase in after-tax income of $670 per senior who benefits from it.' Garrett Watson, director of policy analysis at the Tax Foundation think tank, said conflating the tax deduction with a claim that there will be no tax on Social Security could end up confusing and angering a lot of seniors who will expect to not pay taxes on their Social Security benefits. 'While the deduction does provide some relief for seniors, it's far from completely repealing the tax on their benefits,' Watson said. Economic effect The cost of actually eliminating the tax on Social Security would have massive impacts on the economy. University of Pennsylvania's Penn Wharton Budget Model estimates that eliminating income taxes on Social Security benefits 'would reduce revenues by $1.5 trillion over 10 years and increase federal debt by 7 percent by 2054" and speed up the projected depletion date of the Social Security Trust Fund from 2034 to 2032. Discussions over taxes on Social Security are just part of the overall bill, which is estimated in its Senate version to increase federal deficits over the next 10 years by nearly $3.3 trillion from 2025 to 2034, according to the Congressional Budget Office. Administration officials have said the cost of the tax bill would be offset by tariff income. Recently, the CBO separately estimated that Trump's sweeping tariff plan would cut deficits by $2.8 trillion over a 10-year period while shrinking the economy, raising the inflation rate and reducing the purchasing power of households overall. Fatima Hussein, The Associated Press


CNBC
4 hours ago
- CNBC
What the Senate Republican tax-and-spending bill means for your money
Senate Republicans on Tuesday approved their version of President Donald Trump 's multitrillion-dollar tax-and-spending package, which could broadly impact millions of Americans' wallets. Similar to the House's One Big Beautiful Bill Act advanced in May, the Senate legislation aims to make permanent Trump's 2017 tax cuts, while adding new tax breaks for tip income, overtime pay and auto loans, among other provisions. If enacted, the bill could also slash spending on social safety net programs such as Medicaid and SNAP, end tax credits tied to clean energy and overhaul student loans. The spending package could still see changes as it returns to the lower chamber for approval. But a House floor vote could come this week to meet Trump's July 4 deadline. Here are some of the key provisions to watch — and how those measures could affect household finances. How to read this guide Follow along from start to finish, or use the table of contents to jump to the section(s) you want to learn more about. 'SALT' deduction Since 2018, the $10,000 cap on the state and local tax deduction, known as SALT, has been a critical issue for certain lawmakers in high-tax states such as New York, New Jersey and California. The SALT deduction — which lets taxpayers who itemize deduct all or some of their state and local income and property taxes — was unlimited for filers before 2018. But the alternative minimum tax reduced the benefit for some wealthier Americans. A sticking point for some House lawmakers, the lower chamber approved a permanent $40,000 SALT limit starting in 2025. That benefit begins to phaseout, or decrease, for consumers who have more than $500,000 of income. The Senate version of the bill would also lift the cap to $40,000 starting in 2025. It also begins to phaseout at $500,000. Both figures would increase by 1% yearly through 2029, and the $40,000 limit would revert to $10,000 in 2030. If you raise the cap, the people who benefit the most are going to be upper middle-income. "If you raise the cap, the people who benefit the most are going to be upper middle-income," since lower earners typically don't itemize tax deductions, Howard Gleckman, senior fellow at the Urban-Brookings Tax Policy Center, previously told CNBC. The Senate bill also preserves a SALT cap workaround for pass-through businesses, which allows owners to avoid the $10,000 SALT limit. By contrast, the House bill would eliminate the strategy for certain white-collar professionals. — Kate Dore The child tax credit gives families with qualifying dependent children a tax break. It's a credit, so it reduces their tax liability dollar-for-dollar. Trump's 2017 tax cuts temporarily boosted the maximum child tax credit to $2,000 from $1,000, an increase that will sunset after 2025 without an extension from Congress. If enacted, the Senate bill would permanently bump the biggest credit to $2,200 starting in 2025 and index this figure for inflation starting in 2026. Momo Productions | Getty Meanwhile, the House version of the bill lifts the top child tax credit to $2,500 from 2025 through 2028. After 2028, the credit's highest value would revert to $2,000 and be indexed for inflation. However, the proposed bills wouldn't help 17 million children from low-income families who don't earn enough to claim the full credit, according to Elaine Maag, senior fellow in the Urban-Brookings Tax Policy Center. — Kate Dore Older Americans may receive an extra tax deduction under the legislation. Both the House and Senate called for a temporary enhanced deduction for Americans ages 65 and over, dubbed a "bonus," in their respective versions of the "big beautiful" bill. The Senate proposed raising the deduction to $6,000 per qualifying individual, up from $4,000 proposed by the House. The full deduction would be available to individuals with up to $75,000 in modified adjusted gross income, and $150,000 if married and filing jointly. Notably, the Senate version would phase out at a faster rate for taxpayers who are above those thresholds. Ultimately, middle-income taxpayers may benefit most from the enhanced deduction, Howard Gleckman, senior fellow at the Urban-Brookings Tax Policy Center, recently told CNBC. The senior bonus is in lieu of eliminating taxes on Social Security benefits, which had been touted by the Trump administration, since changes to Social Security are generally prohibited in reconciliation legislation. — Lorie Konish As Republicans seek to slash federal spending, Medicaid, which provides health coverage for more than 71 million people, has been a target for those cuts in both House and Senate versions of the bill. The Senate version would cut more than $1 trillion from Medicaid, compared with more than $800 billion in cuts in the House version, according to Congressional Budget Office estimates. New federal work rules would require beneficiaries ages 19 to 64 who apply for coverage or who are enrolled through an Affordable Care Act expansion group to work at least 80 hours per month. Adults may be exempt if they have dependent children or other qualifying circumstances such as a medical condition. Notably, the Senate version of the bill proposed stricter limits on exemptions for parents, limiting it to those with dependent children ages 14 and under. The proposed Medicaid changes would also require states to conduct eligibility redeterminations for coverage every six months, rather than every 12 months based on current policy. About 7.8 million people could become uninsured by 2034 due to Medicaid cuts, the CBO has projected, based on the House bill. — Lorie Konish Both Senate and House versions of the "big beautiful" bill propose cuts to food assistance through the Supplemental Nutrition Assistance Program, or SNAP, formerly known as food stamps. The cuts in the Senate bill may ultimately affect more than 40 million people, according to the Center on Budget and Policy Priorities. That includes about 16 million children, 8 million seniors and 4 million non-elderly adults with disabilities, among others, according to CBPP, a nonpartisan research and policy institute. Many states would be required to pay a percentage for food benefits to make up for the federal funding cuts. If they cannot make up for the funding losses, that could result in cuts to SNAP benefits or states opting out of the program altogether, according to CBPP. The Senate proposal also seeks to expand existing work requirements to include adults ages 55 to 64 and parents with children 14 and over. Based on current rules, most individuals cannot receive benefits for more than three months out of every three years unless they work at least 20 hours per week or qualify for an exemption. For about 600,000 low-income households, food benefits could be cut by an average of $100 per month, according to CBPP. — Lorie Konish The Senate's version of Trump's budget bill also included a new savings account for children with a one-time deposit of $1,000 from the federal government for those born in 2024 through 2028. Starting in 2026, so-called " Trump accounts," a type of tax-advantaged savings account, would be available to all children under the age of 8 who are U.S. citizens, largely in line with the House plan advanced in May. To be eligible to receive the initial seed money, both parents must have Social Security numbers. Parents would then be able to contribute up to $5,000 a year and the balance will be invested in a diversified fund that tracks a U.S. stock index. Earnings grow tax-deferred, and qualified withdrawals are taxed as long-term capital gains. Republican lawmakers have said these accounts will introduce more Americans to wealth-building opportunities and the benefits of compound growth. But some experts say a 529 college savings plan is a better alternative because of the higher contribution limits and tax advantages. — Jessica Dickler Lower student loan limits, fewer benefits Key changes may be in store for student loan borrowers. For starters, Republicans would limit how much money people can borrow from the federal government to pay for their education. Among other measures, the Senate plan would: Cap unsubsidized student loans at $20,500 per year and $100,000 lifetime, for graduate students; Cap borrowing for professional degrees, such as those for doctors and lawyers, at $50,000 per year and $200,000 lifetime; Add a lifetime borrowing limit for all federal student loans of $257,500; Cap parent borrowing through the federal Parent PLUS loan program at $20,000 per year per student and $65,000 lifetime; Eliminate grad PLUS loans. These allow grad students to borrow up to their entire cost of attendance minus any federal aid. Going forward, there would be just two repayment plan choices for new borrowers: Student loan borrowers could enroll in either a standard repayment plan with fixed payments or an income-based repayment plan known as the Repayment Assistance Plan, or RAP. The bill would also nix the unemployment deferment and economic hardship deferment, both of which student loan borrowers use to pause their payments during periods of financial difficulty. — Jessica Dickler and Annie Nova The Senate bill creates a tax deduction for car loan interest, similar to a provision in the House bill. Certain households would be able to deduct up to $10,000 of annual interest on new auto loans from their taxable income. The tax break would be temporary, lasting from 2025 through 2028. There are some eligibility restrictions. For example, the deduction's value would start to fall for individuals whose annual income exceeds $100,000; the threshold is $200,000 for married couples filing a joint tax return. Cars must also be assembled in the U.S. In practice, the tax benefit is likely to be relatively small, experts said. "The math basically says you're talking about [financial] benefit of $500 or less in year one," based on the average new loan, Jonathan Smoke, chief economist at Cox Automotive, an auto market research firm, recently told CNBC. — Greg Iacurci The Senate passed the No Tax on Tips Act in late May, a standalone legislation that would create a federal income tax deduction of up to $25,000 per year on tip income, with some limitations. The tax break would apply to workers who typically receive cash tips reported to their employer for payroll tax withholdings, according to the summary of the bill. The Senate version of the One Big Beautiful Bill Act includes a similar provision: qualifying individuals would be able to claim a deduction of up to $25,000 for qualified tips. However, the Senate version would not apply to taxpayers whose income exceeds $150,000, or $300,000 for joint filers. Should the bill go into effect as drafted, the Secretary of the Treasury will publish a list of occupations that typically received tips on or before Dec. 31, 2024. The provision would apply to taxable years between Dec. 31, 2024, and Dec. 31, 2028. — Ana Teresa Solá The House and Senate bills would provide a temporary tax break for overtime pay, a campaign promise from Trump. The House-approved bill would create a deduction for "qualified overtime compensation" of $160,000 or less from 2025 to 2028. The deduction is "above the line," meaning the tax break is available regardless of whether you itemize deductions. By contrast, the Senate bill offers a maximum $12,500 above-the-line deduction for overtime pay, and $25,000 for married couples filing jointly, from 2025 to 2028. The tax break begins to phase out once earnings exceed $150,000, and $300,000 for joint filers. — Kate Dore EV, clean energy tax credits The Senate bill, like its House counterpart, would end consumer tax credits tied to clean energy. It would end a $7,500 tax credit for households that buy or lease a new electric vehicle, and a $4,000 tax credit for buyers of used EVs. These tax credits would disappear after Sept. 30, 2025. Additionally, it would scrap tax breaks for consumers who make their homes more energy-efficient, perhaps by installing rooftop solar, electric heat pumps, or efficient windows and doors. These credits would end after Dec. 31, 2025. An aerial view shows solar panels atop the roofs of homes on February 25, 2025 in Pasadena, California. Mario Tama | Getty Images Many tax breaks on the chopping block were created, extended or enhanced by the Inflation Reduction Act, a 2022 law signed by former President Joe Biden that provided a historic U.S. investment to fight climate change. The tax breaks are currently slated to be in effect for another seven or so years, through at least 2032. — Greg Iacurci Section 199A pass-through business deduction Another key provision in the House and Senate bills could offer a bigger deduction for so-called pass-through businesses, which includes contractors, freelancers and gig economy workers. Enacted via Trump's 2017 tax cuts, the Section 199A deduction for qualified business income is currently worth up to 20% of eligible revenue, with some limits. This will expire after 2025 without action from Congress. The House-approved bill would make the provision permanent and expand the maximum tax break to 23% starting in 2026. Meanwhile, the Senate measure would make the deduction permanent but keep it at 20%. — Kate Dore