Copyright 2002 The New York Times Company  
The New York Times
April 26, 2002, Friday, Late Edition - Final
SECTION: Section A; Page 15; Column 1; National Desk 

LENGTH: 367 words

HEADLINE: Congress Is Close to Final Accord on Farm Bill

BYLINE:  By ELIZABETH BECKER 

DATELINE: WASHINGTON, April 25

BODY:
Senate and House members said tonight that they were close to a final agreement on a six-year farm bill that would increase subsidy payments to the country's biggest grain and cotton farmers.

After nearly a month of trying to reach compromises between the House and Senate versions of the $171 billion bill, which would extend to 2008, the negotiators said they believed they had resolved most of their differences and would complete the legislation on Friday.

"We think we have an agreement," said Representative Larry Combest, Republican of Texas, the chairman of the House Agriculture Committee.

While the lawmakers refused to divulge most details of the compromises, senior Congressional aides said the Senate had dropped demands that annual subsidies be limited to $275,000 per farmer.

That provision had been a major source of contention. Urban and rural lawmakers supported a cap on large payments as a way to spread federal money to more small family farmers and to discourage huge farms from buying out their smaller neighbors. Instead, the farm bill will increase commodity subsidies by 70 percent without altering requirements that allow 10 percent of American farmers to receive the big part of the subsidies.

The senators also lowered their demand for higher spending on conservation programs, agreeing early in the closed sessions to $17.1 billion rather than the $21 billion that was part of their bill.

The compromise farm bill will also include an increase in food stamps and expand nutrition programs, said Congressional aides, who added that legal immigrants could receive food stamps as well.

Senators convinced the House to accept a new dairy subsidy that would cost more than $1 billion.

President Bush traveled to South Dakota on Wednesday and exhorted lawmakers to complete the farm legislation this week. Several close elections this year could be influenced by farm programs and, in turn, determine control of Congress.

The new farm bill will replace the law that will expire on Oct. 1.

Senator Tom Harkin, Democrat of Iowa, chairman of the Senate Agriculture Committee, said, "Tomorrow we will finish our fine tuning."  

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LOAD-DATE: April 26, 2002