The House Transportation and Infrastructure Committee approved legislation authorizing $14 billion over four years for the Clean Water State Revolving Fund and $16.5 billion over five years for the Drinking Water State Revolving Fund, along with 133 new feasibility studies for locally proposed water infrastructure projects. The funding authorization was included in the Water Resources Development Act (WRDA) which authorizes funding for Corps of Engineers projects. Congress has enacted a bipartisan WRDA every two years since 2014.


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John Deere has agreed to a proposed settlement with the Federal Trade Commission (FTC) to make the same repair tools used by its dealers available to farmers and independent repair shops “on fair and reasonable terms." The proposed settlement would end an antitrust lawsuit brought by the FTC and state attorneys general in Illinois, Arizona, Michigan, Minnesota and Wisconsin. 


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The Senate Agriculture Committee is scheduled to take up the Senate version of the farm bill on Thursday, August 6. A draft bill has made available for review by committee members and outside groups. The two key issues that have slowed action in the Senate - the authorization of year-round, voluntary sales of E15, and a one-year delay before certain states must begin sharing the benefit costs of the Supplemental Nutrition Assistance Program (SNAP) with the federal government – have been addressed in the draft. While chairman John Boozman had initially intended to keep the contentious E15 issue out of the farm bill, corn state senators believe this is the best opportunity to resolve the issue and pushed for its inclusion. Of additional concern to LICA members in the committee’s draft is the diversion of nearly $2 billion in funding from the Environmental Quality Incentives Program (EQIP) below the levels Congress established just last year to cover other priorities.


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The House recessed last week for five weeks and the Senate is scheduled to follow suit by the end of this week. When both return in September there will be a short legislative session before members leave again to return home to campaign for the upcoming midterm elections. Prior to departure the House completed action on a short-term FY 2027 continuing resolution (CR) that will keep the government operating until December 4.


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LICA has joined in a coalition that is seeking to expand the existing cap on H-2B visas for seasonal workers which many LICA members utilize to meet workforce shortages. The current H-2B cap has consistently fallen short of documented workforce needs during periods of strong economic growth and low unemployment. For FY 2027, the 33,000 first half cap was met on September 12, 2025, and the 33,000 second half cap was met on March 10, 2026. While the H-2B program continues to have limitations and does not fully address the construction industry’s broader workforce shortages, expanding the cap would provide employers some relief.


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On June 25, 2026 the Environmental Protection Agency (EPA) proposed updates to its National Environmental Policy Act (NEPA) implementation procedures to expedite permitting and streamline environmental reviews. The proposal establishes time and page limits, expands categorical exclusions, and aligns EPA rules with recent legislation and Supreme Court rulings.


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Senate Agriculture Committee Chairman John Boozman(R-AR) last week unveiled a “farm bill 2.0” discussion draft with the intent of encouraging input from Senators both off and on the committee in the hope of producing a comprehensive bill with wide support that can be quickly passed before summer recess begins.


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Congress has begun the process of approving the 12 annual appropriations bills that will provide funding for federal agencies/programs in FY 2027. On June 4 the full House passed the USDA funding measure (H.R. 8646) in a tight 213–210 vote. The House bill approved a $26.27 billion discretionary allocation, which represents a 1.4% decrease from FY 2026 funding levels. However, included in the measure is language that prohibits the permanent relocation or consolidation of county-based personnel at local NRCS and FSA field offices if such a move would leave the office with fewer than two staff members. This is designed to preserve local access to technical assistance for farmers. While protecting physical local offices, the bill slashes NRCS Conservation Technical Assistance funding by roughly 35%.


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The House Appropriations Committee approved the FY 2027 transportation funding bill that would cut nearly $10.7 billion (10.4%) for highway construction below the FY 2026 levels. The measure advanced 34-27, with all Republicans supportive and all Democrats opposed. Because FY 2027 marks the first year after the expiration of the Infrastructure Investment and Jobs Act (IIJA) which authorized the highway funding for the past five years, much uncertainty surrounds where funding levels will be set for the next five years. The committee redirected $7.8 billion in unspent IIJA funds, including $5.1 billion from federal rail programs, to fund various transportation accounts.


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