Wednesday, October 17, 2007
2007 Senate Farm Bill: Investments for the Future
I'm pleased to announce that I've been able to reach a basic agreement with key members of the Senate Agriculture Committee on the elements of the new farm bill, which we hope to mark up in this month.
We are still finalizing the legislative language, which will be provided to every member of the committee for review. However, Saxby Chambliss, the Committee's Ranking Member, Kent Conrad, who is a senior Democrat on the Committee, and I believe that the budget framework and the core policy decisions that we've been able to work out for this farm bill will get the support of a solid bipartisan majority of the Committee. Between us, we've had many, many conversations with our colleagues on the Committee. We have forged compromises and we have worked within a tight budget toward agreement on what will be in my Chairman's mark next week. We believe the range of geographical and philosophical views and interests on our Committee are addressed in a balanced way by the understanding that we've come to.
I am particularly excited to be able to share what I consider to be some real achievements. The proposal is a forward-looking bill with critical investments for the future in energy, conservation, nutrition, rural development and promoting better diets and health for all Americans. America's farmers will have important new opportunities and reforms to create a better safety net as well as support for programs that will help beginning farmers and those who wish to transition into organic farming. And we will manage all this under very tight budget circumstances, under pay-as-you-go rules.
In nutrition, we, like the House, provide $4.2 billion in new funding over 5 years. The title strengthens our commitment to fighting hunger and promoting sound health and nutrition. We update archaic nutrition program rules, increase benefit levels and stop the erosion of benefits that has compounded since 1996. It provides $1 billion to expand the Fresh Fruit and Vegetable Program nationwide to reach nearly 4.5 million low-income children across the country.
The conservation title has an estimated $4 billion in new budget authority, not including funding moved back from the out years. This will allow CSP — now renamed the Conservation Stewardship Program — to grow vigorously at over 13 million acres a year. This funding will also continue to allow enrollment in the Wetland reserve program and the Grassland Reserve Program. We devote $165 million to fund cleanup of the Chesapeake Bay. This is a strong conservation title, under severe budget limits.
This farm bill proposal will provide 1.3 billion dollars in investments into farm-based energy by supporting programs to help farmers begin to establish biomass crops and offering resources for grants and loan guarantees for cellulosic biorefineries. The proposal expands markets for biobased products and looks to the future of energy production by offering investments in research and development of farm-based energy and funding to help farmers, ranchers and rural small businesses make energy efficiency and renewable energy investments.
In rural development, we have provided nearly half a billion dollars that will go toward a variety of initiatives that will promote economic growth and jobs in rural areas. The rural development title will bring quality, affordable day care and access to broadband to these areas as well as provide loans to rural hospitals so that they can have the best equipment possible. The title continues the Value-Added Producer Grant Programs.
The Commodities title of the proposal will give producers an option, beginning in the 2010 crop year, to choose between a state level revenue protection program or remain in the traditional farm program. This new approach, called Average Crop Revenue, is similar to the Durbin-Brown proposal and that of the Iowa and National Corn Growers. Since the program is optional, it better allows producers to manage their farm's risk in today's uncertain and evolving farm environment. This program makes good fiscal sense too as it can save $3 to $3.5 billion over 5 years.
All in all, this farm bill will be good for farmers, good for rural communities and good for the environment. It will promote America's health and energy security, all while being fiscally responsible.
