I think this is smoke and mirrors for PR and I doubt it will reduce any fraud or waste. There are members in congress who collect these checks so I doubt they would ever pass anything that didn't have enough loopholes for them to get around. And to be realistic, most of todays farms handle a pile of money and $250,000 is not that much in the scope of things. I know some whose technology payment to Monsanto would be probably half this amount. Fair or not, looks like Monsanto keeps winning this "right to charge" this fee. Think it has even made it to the Supreme Court where Clarence Thomas - an ex-Monsanto attorney - now sits. Business as usual I'd say.
Personally, I think a better way to approach this in agriculture and any other business would be a cap on subsidies based on the taxes you pay into the system. I would think it would be better that you cannot draw any more money from the government than you pay in. Basically allowing you a tax free enterprise. If you can't make it on this then you need to find another vocation.