For Immediate Release
(202) 224-5653

KOHL SECURES BOOSTS FOR NUTRITION, RURAL AREA RESOURCES IN SENATE STIMULUS BILL

Senate Approves Major Funding for WIC, Housing and Rural Development

 

WASHINGTON, D.C. - Today, U.S. Senator Herb Kohl (D-WI), Chairman of the Agriculture Appropriations Subcommittee, applauded Senate passage of the stimulus package, which includes major boosts for federal nutrition programs and funds to encourage rural economic growth.  Senator Kohl worked to include these increases to spur rural and agricultural revitalization in the legislation. 

 

"Job losses reached a 16-year high last month, and our rural economy is under enormous strain.  We need solutions that are equal to our time.  In rural America we have to make some serious decisions about where and how we invest," Kohl said.

 

"This bill provides both a short term boost for struggling families across the nation and tools for a more sustained, longer term recovery.  We need to set the stage for recovery, knowing that it will be a multi-year process."

 

 

Detailed highlights are as follows.

 

For nutrition initiatives, the legislation includes:

·        $16.562 billion for a temporary increase in Food Stamps.  Most economists agree that a food stamp increase, because of the way food stamps are distributed and spent, is one of the quickest ways for government to put resources into economic circulation;

·        $500 million for WIC;

·        $100 million to help school districts pay for school breakfast and lunch equipment; and

·        $150 million to help food banks meet unprecedented demand (67,000 local food pantries utilize TEFAP to help 25 million households nationwide).

 

For agriculture and rural communities, the legislation includes:

·        $1.375 billion to support loans and grants of $3.8 billion for rural water and waste disposal;

·        $340 million for watershed rehabilitation and flood prevention operation to provide for construction of flood prevention and water supply facilities;

·        $17.530 million to support $400 million in direct and guaranteed farm ownership loans;

·         $24.9 million to support $250 million in direct and guaranteed farm operating loans;

·        $200 million to support $11.5 billion in single family housing loans that will assist about 105,000 low income rural households with home ownership or foreclosure avoidance;

·        $127 million  to support $1.5 billion in loans and grants for Rural Community Facilities including hospitals, health clinics and public buildings;

·        $150 million to support $3 billion in loans and grants to support rural business expansion;

·        $200 million for biorefinery funds to assist in development of advanced biofuels;

·        $50 million for Rural Energy for America Program to promote energy efficiency on farms and rural small businesses; and

·        $100 million to support loans and grants for distance learning, telemedicine and the broadband program.                                

 

To support the core missions of USDA and help create longer-term opportunities, the legislation includes:

  • $200   million for replacement, modernization and upgrades of USDA buildings and   facilities across the country; and
  • $50   million for competitive grants under the Agriculture and Food Research   Initiative (AFRI) to improve agricultural productivity, protect natural   resources and improve food safety.

 

The bill also included an addition of $22.5 million for the USDA's Office of the Inspector General to fight waste, fraud and abuse.

 

"There needs to be accountability to go along with these additional resources," Kohl added.

 

The measure must now be reconciled with the economic recovery bill passed previously by the House of Representatives.

 

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