Fraud in SNAP and Crop Insurance

EWG is not a particularly impartial source of commentary on modern agriculture and the USDA.  However, they're worth following.  They've a post comparing the fraud rates in food stamps and crop insurance:

The USDA Inspector General’s audit, released last year, estimated that the crop insurance program’s error rate for improper payments was at least 5.23 percent in 2013 and could be higher. The 2013 error rate was significantly higher than the 2012 error rate of 4.08 percent.

Earlier this month, USDA’s Risk Management Agency reported that the improper payment rate for crop insurance rose to 5.58 last year and was expected to stay above 5 percent through 2016...

By contrast, the error rate for the Supplemental Nutrition Assistance Program, or SNAP, the formal name of the food stamp program. fell to an all-time low of 3.2 percent in 2013, according to the Center on Budget and Policy Priorities.

The Rule-Making Process

The FCC just changed its rules on regulating the Internet--they're going to treat it as a public utility.  A post at Vox takes them to task for being slow and untransparent in their rule-making process.  While the process for regulatory commissions like the FCC is a bit different than for agencies like FSA, I have to agree that everyone could gain by revising their process to take account of the Internet.  It's a forlorn hope, however--things don't change fast, particularly when you've got lawyers involved.

The Rise of the Pods

A post here on America's coffee habits.

When I was a child, I could get a little tea in my glass of milk, but couldn't have coffee, as it was bad for kids.  Of course that made me more determined to drink coffee, which I've indulged ever since I grew of age (maybe 15 or so?). Back then instant coffee was new, and the family gradually switched from the percolator pot to instant.  During my working life I usually had a coffee cup on my desk, filled from the big coffee maker (12 cup maybe?).  Who would refill the coffee pot and buy the 3 lb cans of coffee were often big issues among the office staff.

Now I'm addicted to Starbucks, using it as my big incentive to get out of the house and take some exercise.  I've discovered to my surprise that the jars of instant coffee are no longer stocked at the local Safeway; they have the envelopes of instant instead, but mostly the "pods" for something called a Keurig.  Which brings me to the post I started with.  Apparently using a spoonful of instant coffee and boiling the water were too burdensome for modern Americans; instead we have the self-contained appliance.

How Many Insurance Companies Do We Need

From Farm Policy a quote from Vilsack testifying before Congress:

"“And I’m pleased with the fact that we’ve had a net increase in the number of companies writing crop insurance in the last 12 to 24 months. We’ve lost a couple, but we’ve gained four, so that the net is two, so I think it’s an indication that this is still an industry that can continue to expand [appropriately] and financially. We expect and anticipate roughly $8 billion plus to be invested by taxpayers in this system over the course of the next several years. And the payouts in the last time since I’ve been Secretary equal $55 billion, so it’s obviously an important program.”

 The administration thinks crop insurance costs can be cut; the crop insurance industry says not. What's the right answer?    Seems to me simple economics, the only kind I halfway understand, says that if an industry is profitable, and costs of entry are reasonable, you'll have more firms entering.  Conversely, if the industry is under stress, the weaker firms will fail or withdraw from the market.  So since the number of companies is increasing, that says to me the administration's position is more nearly right.  Maybe we ought to have a target for the number of companies: maybe five or six (in the good old days we had about six car companies and six computer (mainframe) companies, so six sounds like a good round figure. 

How about it?  :-)

When Less Is More

Fairlife is less than whole raw mil--the question is whether the manipulation of the "natural whole milk" into something which might better suit some people will pass the scrutiny of the food movement.

Signup and Registers

The idea of a "register" has long been established in FSA/ASCS--I suspect it goes back to AAA.

Still works, according to this (Vilsack in front of Senate Ag):

"But, according to one of the farmers the committee invited to testify about the farm bill, local Farm Service Agency administrators have concerns about a last-minute rush of landowners deciding on changes to base acres and yields by the deadline this Friday.
Roberts asked Vilsack if it’s still correct that USDA won’t extend the deadline and will rely instead on a registry at local offices. Using a registry allows anyone who shows up before the deadline to get on a list of appointments to return later to finish the paperwork.
“I think it’s incumbent on us to continue to monitor the situation,” said Vilsack, who is now getting daily reports on signup progress. He was monitoring signup progress weekly."

(The committee heard praise from farmers for their local FSA offices, BTW.)

Monarchs in Hawaii--Who Knew?

A reminder that it's all too easy for the media and its audience to become focused on certain undeniable truths, so narrowly focused that the larger truth is completely obscured.  Such is the case with monarch butterflies.  We know they're endangered, put at risk because farmers use herbicides and eliminate the field boundaries where milkweeds used to grow.  We know they're beautiful, and anything beautiful and endangered must be rescued.

But this column by an entomologist in today's Post reveals that monarchs are in Hawaii, Tahiti, Australia and New Zealand. It's the monarchs migrating to and from Mexico which are stressed,  but apparently millions winter in California. 

Sensationalist Headlines

The BBC website has a post on a "alien star" having "buzzed" the sun.  Apparently 70,000 years ago it may have come within 1 light year of the sun.  Now that's real close, after all Pluto is all of 13.5 light hours from the sun.  So it's exactly like this foreign star has buzzed an airfield (from WWII movies I recall buzzing as coming close enough to the control tower to aggravate the officer on duty).

Healthcare Behind the Scenes

Politico has a piece describing problems in the overall healthcare.gov system, mostly in the backend linking the signup process with the insurance companies, and extending into handling payments and change of life events.

Sounds a bit familiar from the good old days of the System/36.  One of the enduring lessons I learned was that for everything, whether it's a building or a software system, highways or ships, everything requires maintenance.  What that means for new systems, like healthcare.gov, is that you may implement and release a set of processes while planning to come along later with additional features.  But once you have the first release out, your time gets absorbed in the maintenance of those features, and the schedule for releasing version 2.0 slides.  And the sliding means that the jury-rigs to cover the gap grow and grow, and the problems of transitioning from the jury-rigged current system to the version 2.0 system, once available, also grow.

Improper Payments, FSA, and OIG

From today's Farm Policy, reporting an exchange in a hearing with House Appropriations and OIG:

"[OIG] In some of the other programs, say the RMA and NRCS programs, the improper payment rate is much higher, in the teens, maybe near 20%. There are probably a number of reasons for that. We are paying very close attention to that. And let me just offer the chance to comment to Gil and Ann.
Gil Harden, Assistant Inspector General for Audits: The thing that I would add to that, too, I mean, we are mindful of it, but the FSA percentages for their high risk programs for FSA are lower, some of the lower percentages. But we do keep them on the radar screen.
Ann Coffey, Acting Assistant Inspector General, Investigations: And I’d like to just address the question you had raised about what sorts of resources we’re allocating towards FSA investigative work. Historically, we have focused quite a bit of our resources on the SNAP program, but FSA is an area that we are definitely looking for an increase and expecting to increase our investigative work in those areas. We have had some very good cases within the last recent year with high dollar amounts, and so we do anticipate that within FY16 we will be increasing our work in FSA.