The farm bill lawmakers finished yesterday is on its way to the president’s desk to be signed.

In its present form the new farm bill will cut subsidy payments to producers. That's only half of the bad news peanut farmers received yesterday.

Lawmakers have been trying to come to an agreement on the 2007 farm bill for more than a year. It looks like they may have finally accomplished their goal, but Florida Farm Bureau’s Jeff Pittman the bill isn't sitting well with local farmers.

"We are looking at a two to four percent cut on direct payments and the adjusted gross income illegibility being reduced to $75,000 per producer."

That means the government won't be paying farmers as much for their losses. Pittman says the farm bill cuts are a direct result of the government passing increased crop prices on to farmers.

"It could have been worse with high commodity prices this time. It's hard to negotiate any better stance than what this would give us."

But as the government is set to cut subsidy payments, farmers say it couldn't be at a worse time. Pittman says four years ago it cost $4 an hour to irrigate this field. Now it costs $18 an hour.

"The month of May is when we plant our crops, and we have not had any significant rain in the last three few weeks."

It's a double whammy for peanut farmers. Thursday a federal appeals court rejected their bid for a 31 cent a pound payment for crops lost in the 2002 drought. The government is offering about 18 cents. The farmers are appealing the decision.

Pittman says the rise in gas and other expenses make it difficult to make a profit.

"It's costing more to grow these crops than it ever has before, even with commodity prices being a record high the commodity prices haven't been able to keep up with inputs."

The new farm bill has an estimated cost of $300 billion. That's a $20 billion increase.

President Bush may veto the bill, but House Speaker Nancy Pelosi is trying to rally enough votes from farm state Republicans to override the veto.