AFBF: Current Farm Bill Should Be Model for New Law
WASHINGTON, D.C., March 2, 2007 – The structure of the 2002 farm bill provides the kind of support farm and ranch families need to preserve their way of life, while providing a safe and secure food supply, according to the American Farm Bureau Federation.
“Going forward, American agriculture needs a solid farm program modeled after the current one,” said AFBF Chief Economist Bob Young, at an outlook forum organized by the Agriculture Department. “The agricultural budget and programs that provide a reliable safety net for America’s farmers must fully consider the growing challenges and needs of the agriculture sector, which is being asked to do more than ever for our nation.”
The current farm bill has helped U.S. farmers weather many economic uncertainties, according to Young.
“It also has provided important initiatives that help farmers and ranchers care for the environment while producing food, fiber and renewable fuel for all Americans. Farm Bureau members agree that the current farm program does not need a complete overhaul,” Young explained.
Regarding USDA’s recently announced proposals for new farm legislation, “They do address a number of Farm Bureau’s priority issues, including conservation, renewable energy and incentives for farmers just starting out,” Young said.
However, funding questions and troublesome issues including means testing and payment limits must be addressed, according to AFBF.
“We will work with our allies in Congress to hammer out the best possible budget profile and the best possible safety net provisions for our farmers,” Young pledged.
AFBF will continue to strenuously oppose a means test for farm program eligibility. USDA has proposed excluding farmers with adjusted gross incomes of more than $200,000 from receiving farm program payments.
“The administration’s proposal for changing the means test represents inequity in its most severe form,” Young said. “This is a major change in policy that may well impact many more operations than the 72,000 farmers USDA suggests.”
A proposal to eliminate a provision in current law covering how farmers organize their operations, known as the three-entity rule, was also met with disfavor by Farm Bureau.
“Dropping the three-entity rule largely does away with the safety net for a number of commercially viable, full-time producers, especially those growing Southern crops,” Young said. “It strips away their ability to play economic catch up, especially after a bad year. The type of financial hardship this will cause producers – even those on the upper end of the gross income scale – will be harsh.”
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| Contacts: | Tracy Taylor Grondine (202) 406-3642 tracyg@fb.org |
Cyndie Sirekis (202) 406-3649 cyndies@fb.org |
