NCGA Set to Defend Farm Programs When Congress Returns
(8-7-03)
Corn growers and
other producers will be challenged to make the case that the farm
bill is working and should not be altered when the annual spending
bill for agriculture is taken up by the Senate after the August recess,
according to the National Corn Growers Association (NCGA).
Although the House
of Representatives has already passed its appropriation bill for FY
‘04, the Senate leadership elected last week to debate the energy
bill and to defer action on next year's appropriations measure until
September.
“Once the
Senate takes up the agriculture spending bill, NCGA expects a series
of amendments that may alter some key provisions in the 2002 farm
bill,” said NCGA Director of Public Policy Sam Willett. “NCGA
leadership continues to voice its concerns that reopening the farm
bill risks unraveling a policy that carefully balances resources for
the agriculture safety net, conservation, nutrition and renewable
energy programs.”
It has been reported
that more stringent restrictions on farm payments may be offered that
adversely affect the level of benefits for several programs, including
the Environmental Quality Incentives Program (EQIP), marketing loan
gains, loan deficiency payments (LDPs), as well as payments tied to
the direct and counter-cyclical payment program.
“One recent
proposal for the EQIP cost share program would reduce the annual payment
limit from $450,000 to $300,000, creating a financial obstacle for
producers hoping to adopt better land management and conservation
practices,” continued Willett.
With this year's
federal budget deficit estimated to be in excess of $450 billion,
Congress is expected to reduce total discretionary funding for farm
programs by almost $900 million. Two key differences between the House
and Senate bills involve spending for value-added grants in the Rural
Development title and the new Conservation Security Program. In each
case, the Senate provides significantly higher levels of funding.
According to Willett,
NCGA leadership is optimistic negotiations between the House and Senate
conferees will reach an agreement to adequately support both programs.
“The reformed
farm safety net and other mandatory funded agriculture programs are
also being scrutinized due to the budget resolution's requirement
that the House and Senate agriculture committees find cost savings
to the tune of 1 percent of mandatory agriculture and nutrition program
spending by further reducing waste, fraud and abuse,” continued
Willett. “Although the pressure on Congress will continue to
build to hold the line on spending, NCGA and other major farm groups
have countered that the new farm bill's counter-cyclical payment program
ensures a more fiscally disciplined approach to protecting farm income.”