A valiant effort to secure $50 million for disaster relief for cotton infrastructure for the 2022 crop year was unfortunately not included in the final budget and supplemental adopted by the Texas Legislature, despite approving a $321.3 billion budget for the biennium as they adjourned Sine Die over the Memorial Day weekend.
Plains Cotton Growers, Inc. is extremely appreciative of Sen. Charles Perry (District 28) and Rep. Cecil Bell (District 3), as well as South Texas Cotton & Grain Association and the Texas Cotton Ginners Association for the countless hours everyone spent advocating for this muchneeded assistance to the cotton industry. Additionally, we would like to thank D. Williams & Co., Inc. as well as many other cotton industry affiliates for their assistance in this effort.
For context, Perry filed a proposed budget rider in the Senate on March 2, 2023 on behalf of the cotton industry that would have established a one-time agricultural disaster relief grant out of federal funds appropriated to the state from the American Rescue Plan Act (ARPA). The sole purpose of providing a block grant was to address necessary expenses related to losses of revenue by cotton infrastructure because of natural disasters — including drought during the 2022 crop year. At the behest of the industry, Bell filed an identical budget rider in the House.
Negotiations ensued and the budget rider was then elevated for consideration among Senate and House Conference Committees for HB1/SB1 and the Supplemental Budget SB30 respectively.
The rider ultimately was not included in the final legislative package, not for a lack of advocacy, but a lack of overall discretionary spending available in HB1/SB1 by the legislature and competition with repurposed funding available through ARPA within the Natural Resource category.
For reference, Texas was awarded federal funding through ARPA to be expended or obligated in seven general categories related to COVID-19 assistance. The Natural Resource category was the most applicable category in the supplemental budget for this issue. However, as the supplemental budget was completed, all unexpended and unobligated balances remaining in this category were repurposed for providing supplemental assistance to food banks in response to COVID-19.
While we are disheartened with the current outcome and still acutely aware of the severe financial strain on the overall cotton industry coming out of the 2022 crop year, I remind readers of this not to despair. If you recall, it took almost three years, multiple attempts and countless hours of strategy and strong leadership to ultimately enact the seed-cotton policy producers have today.
This effort relating to infrastructure support is no different in that perspective. While unsuccessful on this attempt, we simply have to regroup, restrategize and refocus on a long-term solution that will help ensure the survival of the cotton industry in times of peril due to forces outside our control.