Milk prices could be going up in the New Year

The New Year may also ring in some much higher milk prices for all of us.

The spike in price for a gallon of milk could hit the $7 mark in January.

That's if the U.S. Congress fails to pass a new Farm Bill. Without a new bill in place, subsidies for dairy and other commodities will expire.

"That would be crazy. I use milk everyday," Sharon Craig said. "I eat cereal, we drink milk, I don't think we'd be able to afford milk if that happens. We'd probably have to switch to something else."

Congress headed off for their Thanksgiving break without taking any action on a new farm bill. The current subsidies for dairy and other commodities have been in place since the 1940's, without them prices could soar on soybeans, wheat and corn.

"Well that would be really tough," Judy Norbut said. "It would be really hard for people that have to support their families, that have lots of little kids."

A key sticking point in the bill is the cuts to the food stamp program. Republicans in the House want to drop more than 3.8 million people from the program next year. Senate Democrats aren't in favor of making the cuts.

"It's a big impact on your budget for any groceries. I mean prices are going up a lot," Jessica Humphreys said. "It's hard for families to budget as it is, so it would make a big impact."

The current national average price for a gallon of milk is $3.47, that could double in January. And other dairy products prices could go up with the rise in milk prices.