Copyright 2002 The Omaha World-Herald Company  
Omaha World Herald (Nebraska)
May 8, 2002, Wednesday SUNRISE EDITION
SECTION: BUSINESS; Pg. 5d;

LENGTH: 484 words

HEADLINE: GOP says farm bill benefits wealthy

BYLINE: Jake Thompson

SOURCE: WORLD-HERALD BUREAU

DATELINE: WASHINGTON

BODY:
A band of Senate Republicans lambasted a major agriculture bill Tuesday as tilted toward the wealthy and weak on protecting family farmers and ranchers.

Sen. Charles Grassley, R-Iowa, complained on the Senate floor that Congress seems eager to pass an expensive bill that won't boost exports or crop prices or curb big subsidies to big farmers.

"We seem to be rushing to milk the federal cow before anyone checks the breed, much less the gender," said Grassley, an opponent of the legislation.

Grassley's comments came during two final days of debate on a bill setting federal agriculture policy for the next six years. The Senate is expected to vote today or Thursday on the bill. Senate Democrats predicted that it will pass.

Sen. Ben Nelson, D-Neb., said he will support it, in part because it will deliver millions of dollars more in government aid to Nebraska farmers.

The bill is close to the original bill passed by the Senate and includes a new target-price subsidy system that was not part of the Freedom to Farm law, he said. The new subsidies kick in when market prices drop below set levels.

Last week, the House voted 280-141 to pass the proposed farm bill, and President Bush said he would sign it. The election-year bill would increase crop subsidies by about 70 percent, spend more for conservation and rural development, and expand nutrition benefits to legal immigrants and their children.

The bill is seen as a boon for several farm-state Democratic senators in tight bids for re-election this year, including Senate Agriculture Committee Chairman Tom Harkin of Iowa and Sens. Paul Wellstone of Minnesota and Tim Johnson of South Dakota.

Senate Majority Leader Tom Daschle, D-S.D., dared Republicans to try to block the bill.

"If they were to stop it, it would probably be the single best thing for Senate Democratic candidates," Daschle said.

Still, Republicans such as Sen. Richard Lugar of Indiana weren't shy about criticizing the legislation. They said it would stimulate overproduction of crops and perpetually depress the market prices for such crops as corn, soybeans, wheat, sorghum, rice and cotton.

And the cost of the bill is rising, Lugar said. The Congressional Budget Office on Monday issued a new estimate saying that agriculture spending would rise an additional $ 9.3 billion to $ 82.8billion over the next 10 years, not the $ 73.5 billion that Congress has set aside to spend.

The final bill also watered down proposed limits on crop subsidies so that they're meaningless, Lugar said.

Grassley noted that the compromise bill knocked out a proposal of his that would have barred meatpacking companies from owning livestock 14 days before slaughter. Many livestock producers contend that those big companies can hold down market prices by manipulating the supply of hogs and cattle.



LOAD-DATE: May 8, 2002