Some New York dairy farmers are calling for reform to federal programs as part of the 2023 Farm Bill to offset rising costs in milk production.  

Jon and Julie Patterson, sixth generation dairy farmers in Cayuga County, say a program that makes up for the difference between milk prices and feed prices at the very least should be renewed this year, if not increased.  

“Farms need items in their toolbox to stay viable during volatile times in the dairy industry and this is one tool that we need to keep going for farmers to utilize,” Julie Patterson said.

The Dairy Margin Coverage program, enacted as part of the 2018 Farm Bill, protects dairy farmers when the difference between milk prices and average feed prices dips below a certain dollar amount, according to the USDA. The program is set to expire Sept. 30 as the five-year bill comes up for renewal in Congress.

In addition to continuing the program, Jon Patterson said he also wants to see an increase to the maximum the U.S. government pays to farmers for milk as costs have risen since the last time the max was set.  

As milk prices are set by the federal government, the current structure for prices needs reform, Patterson said.  

“Right now, the current structure is based on production history from 2011, 2012 and 2013, and production per cow and per farm has gone up exponentially since then, so we’d like to see it changed to a more relevant and updated version of where production is,” Patterson said.

During a stop at Cayuga Milk Ingredients in Auburn on Wednesday, Sen. Chuck Schumer said if the DMC program is not renewed then the prices of dairy products will increase for consumers.  

“We have great production of milk, and the DMC keeps the prices lower. If this were to go away, the price of milk and other dairy products would go up a whole lot,” Schumer said.  

Without these payments, dairy farmers wouldn’t be able to invest as much into local suppliers, impacting the local economy, Patterson said.

“We do business with over 50 local suppliers in the area, and they all depend on what we do,” Jon Patterson said.

Without the DMC program, the government would be required to purchase milk at a price that is more than double the current price, Schumer said in a press release.

The 2018 Farm Bill was passed in the Senate 86-11, and Schumer said they have bipartisan support again as Congress negotiates the 2023 bill but said he still will push for more support. 

“These days in Congress, you never know what’s going to happen, so we need to make a major push and have all of the farm bureaus throughout the country, particularly in our dairy states, push to get this done,” he said.