NCC Urges Passage of Farm Bill Agreement in House Vote
January 28, 2014 House and Senate agriculture leaders announced a bipartisan, bicameral agreement on a five-year farm bill designed to reduce the deficit, grow the economy and provide certainty to the 16 million Americans whose jobs depend on agriculture. The legislation appears headed for a House vote on January 29, and the National Cotton Council (NCC) is strongly supporting its passage.
NCC Chairman Jimmy Dodson said the U.S. cotton industry appreciates the Agriculture Committee for including the cotton industry’s proposal. He emphasized that the provisions, which authorize a new crop insurance product tailored to cotton, represent a significant concession and departure from previous programs, but are a necessary and important step in achieving a final resolution of the long-standing Brazil WTO case.
“We especially appreciate the inclusion of a transition program for the 2014 crop year, since enactment comes too late for USDA and the private sector to offer the new insurance product until 2015,” stated Dodson. “We believe the transition program is structured in a fiscally responsible way that complies with WTO obligations and can be efficiently delivered by USDA.”
Dodson also expressed the industry’s concern about the inclusion of instructions to the Secretary to propose changes in the criteria used to determine eligibility for commodity programs beginning in 2015 and the further reduction in the Adjusted Gross Income eligibility test. He noted that the re-imposition of limitations on Marketing Loan benefits could disrupt orderly marketing in times of low prices.
“These changes come on the heels of full implementation of the historical changes mandated by the 2008 farm law,” Dodson said. “Compliance with ever-changing rules is costly and undermines the benefits of effective and predictable farm policy.
“Yet,” he emphasized, “in spite of our serious concerns about the new eligibility rules and limitations, we strongly support the cotton provisions, recommend prompt approval of the conference report and commend the work of the conference leaders and committee members. A viable production agriculture sector is critical to our national security and our economy, and this legislation is essential to the stability of production agriculture.”
The Agricultural Act of 2014 contains major reforms, including elimination of the direct payments program, streamlining and consolidating numerous programs to improve their effectiveness and reduce duplication, and cutting down on program misuse. The bill also strengthens support to farmers and ranchers affected by natural disasters or significant economic losses and renews a national commitment to protect land, water and other natural resources.
In addition to production agriculture and conservation, the farm bill conference agreement also maintains critical assistance for families while stopping fraud and misuse to achieve savings in the Supplemental Nutrition Assistance Program (SNAP).
“I am proud of our efforts to finish a farm bill conference report with significant savings and reforms,” said Rep. Frank Lucas (R-OK), chairman of the House Agriculture Committee. “We are putting in place sound policy that is good for farmers, ranchers, consumers, and those who have hit difficult times.
“I appreciate the work of everyone who helped in this process. We never lost sight of the goal, we never wavered in our commitment to enacting a five-year, comprehensive farm bill. I ask my colleagues to join me in supporting its passage.”
“This bipartisan agreement puts us on the verge of enacting a five-year Farm Bill that saves taxpayers billions, eliminates unnecessary subsidies, creates a more effective farm safety net and helps farmers and businesses create jobs,” said Sen. Debbie Stabenow (D-MI), chairwoman of the Senate Agriculture Committee. “This bill proves that by working across party lines we can reform programs to save taxpayer money, while strengthening efforts to grow our economy.
“Agriculture is a bright spot in our economy and is helping to drive our recovery,” she added. “It’s time for Congress to finish this Farm Bill and give the 16 million Americans working in agriculture the certainty they need and deserve.”
Sources – House Committee on Agriculture, National Cotton Council
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