Cornyn, Kaine Introduce Bill to Reduce Regulatory Burdens on American Farms

Cornyn, Kaine Introduce Bill to Reduce Regulatory Burdens on American Farms News Cornyn, Kaine Introduce Bill to Reduce Regulatory Burdens on American Farms Legislation Would Extend FCA’s Audit Schedule for Low-Risk Institutions June 2, 2026 WASHINGTON – U.S. Senators John Cornyn (R-TX) and Tim Kaine (D-VA) today introduced the Farm Credit Adjustment Act, which would extend the Farm Credit Administration’s (FCA) audit schedule for low-risk institutions from every 18 months to every 24 months. This extension would reduce regulatory burdens and costs for farm credit institutions and ensure they have the bandwidth to deliver for the hundreds of thousands of farmers, agribusinesses, and rural operations they serve. “Farmers are the backbone of our country, and it’s imperative that their operations are not held up by burdensome or arbitrary federal regulations,” said Sen. Cornyn. “I’m proud to introduce the Farm Credit Adjustment Act, which would extend the Farm Credit Administration’s schedule for auditing low-risk institutions and ensure the agriculture community can continue producing the food, fuel, and fiber that Americans rely on.” “Agriculture is Virginia’s largest private industry—making farms and our farmers an indispensable pillar of our economy,” said Sen. Kaine. “I’m glad to be introducing this bipartisan legislation to cut red tape that can hold farm credit institutions back from providing the support farms across the country need to thrive. I encourage my colleagues to support this commonsense, bipartisan bill.” Background: The Farm Credit Act of 1971 currently requires the FCA to examine all Farm Credit System institutions on a mandatory 18 – month cycle. The regulatory burdens and costs associated with these audits negatively impact the ability of low-risk farm credit institutions to provide timely service. These audits often fall at the end of the calendar year when producers rely on their local farm credit institutions to help support their spring planting operations. This bill would amend that requirement by giving the FCA the discretionary authority to extend the examination cycle to up to 24 months for institutions it deems low risk. Rather than mandating this extended timeline, the change is entirely at the FCA’s discretion, meaning the agency retains full flexibility to examine any institution more frequently if circumstances warrant. Rep. Vindman (VA-07) and Rep. Fallon (TX-04) are leading the bill in the U.S. House of Representatives.