FB: Groups Urge Appropriators to Protect Farm Bill

WASHINGTON, D.C., July 10, 2002 – The American Farm Bureau Federation and 21 other groups have asked the House Appropriations Committee to resist substantial policy changes as it prepares to provide funding for the new farm bill.

"We strongly encourage you to reject efforts to include provisions which would substantially change the policies in the Farm Security and Rural Investment Act of 2002," the groups wrote in a letter to members and leaders of the Appropriations Committee and Agriculture Appropriations Subcommittee.

"We are concerned that any proposals to modify the policies will undermine the effectiveness of the new law," the groups said. "Congress will be under significant pressure to identify new ways to fund the many provisions of the agriculture appropriations bill. Any change in the levels and schedule of financial assistance will be detrimental to farm income and would surely undermine the confidence of lenders and suppliers. Farmers and ranchers must be given the opportunity to regain their footing and must be provided with a reliable safety net."

Farmers and ranchers continue to be confronted with falling incomes and the new farm bill helps address many of their economic problems, the groups said. "Unfortunately, government payments have provided a substantial portion of farm income over the past four years," the groups said. The new farm bill provides an enhanced, predictable financial safety net in times of low prices, but the addition of a counter-cyclical provision ensures federal funds are only made available when low market prices trigger financial assistance.

The groups pointed out they "worked diligently" for two years with Congress and the administration to develop a new, more effective farm policy. Congress responded by providing an additional $73.5 billion for the next 10 years to facilitate development of a farm bill that would: (1) thwart the need for future economic emergency assistance programs; (2) provide an adequate safety net for producers; (3) more sufficiently fund conservation programs; and, (4) provide additional funding for rural development and research.

The groups said the 2002 farm bill "generally meets these objectives" and fully complies with the budget, and it is "equitable and balanced."

The groups that signed the letter were: the Alabama Farmers Federation, American Beekeeping Federation, American Sheep Industry Association, American Soybean Association, American Sugar Alliance, Farm Credit Council, Independent Community Bankers of America, National Association of Wheat Growers, National Barley Growers Association, National Corn Growers Association, National Cotton Council, National Grain Sorghum Producers, National Milk Producers Federation, National Sunflower Association, North Carolina Peanut Growers Association, South East Dairy Farmers Association, Southern Peanut Farmers Federation, US Canola Association, US Rice Producers Group, US Rice Producers Association, and Western Peanut Growers Association.

Contacts:

Don Lipton (202) 484-3624 donl@fb.org

Dave Lane (202) 484-3610 davel@fb.org

This page was last modified Thu Jul 11, 2002 at 02:38 am