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July 29, 2005 Let the Farm Bill Debate Begin It seems too early to be discussing the next farm bill. The current farm bill is in affect through the end of 2007, more than two years from now. Nevertheless, the visit by Secretary of Agriculture Mike Johanns to Minot, on July 26, for the second of several planned listening sessions around the country was a signal to North Dakotans to let the ideas flow and the debate begin. It also was an indication that the administration will be much more active in farm policy formulation than during the last farm bill debate. North Dakotans responded. There was no shortage of commenters, ranging from young blue-coated FFA members to octogenarians. Each speaker was limited to two minutes. Other than brief opening and ending comments by Governor Hoeven and Johanns, plus a 10-minute intermission, there was one speaker after another for the full three hours. The following were items of general consensus of the people who made the effort to voice their opinion. One doesn’t know, of course, if this group is representative of the entire farm population. The speakers stated very strong support for most features of the existing farm bill, such as the planting flexibility, the marketing assistance loan program, and the counter-cyclical payment program. However, there was concern that benefits were being passed on to landowners in the form of higher land values and rents. Several speakers were critical of Congress and the USDA for not fully funding and implementing the Conservation Security Program (CSP) and Country of Origin Labeling (COOL) provisions of the last farm bill. No one spoke positively about the Conservation Reserve Program (CRP). They felt the government competed with producers for land and that small communities suffer when land is taken out of production. Some felt additional funding for CSP could come from downsizing CRP. Speakers felt that crop insurance needed to be enhanced because coverage levels were lagging behind ever-increasing production costs. Also, several expressed the desire for more effective payment limits, expansion of biofuel markets, and trade agreements that were fair and enforced. Central themes were concern about the decline in farm numbers and rural communities, the need for higher and more stable farm income and how difficult it is for young people to start farming. High land prices, blamed in part on demand for recreational use and outside investors, also were a concern. Some ideas to maintain farm numbers were effective payment limits, loans to beginning farmers, making more land available through the eduction of CRP acres and tax incentives for selling land to young farmers. Some topics were noticeable by their absence. No one commented, that I recall, on two items usually debated at farm bill time: supply management and grain reserve programs. Nor was there any mention of estate taxes, a major issue with the current Administration. Johanns’ ending comments gently made the point that not everyone will be satisfied with the new farm bill. He said that throughout the Midwest, there is strong support for payment limits, but producers from the South are adamantly against it. Both groups expect Johanns to protect their nterests. The entire transcript of the listening session will be on the Web site www.usda.gov in a week or two. Producers and their organizations were well-represented at the listening session. Of course, other groups such as environmentalists and taxpayers also will be heard. A huge factor that could drive the outcome of the debate, as in the 1996 farm bill, is the condition of the federal budget. There may be tough choices to make, such as whether to switch from subsidies calculated on the land base of program crops to those that are determined by production and conservation practices. In general, producers have been satisfied with the 2002 farm bill. However, after its passage, the national news media howled at what they perceived as government pork. Organizations representing special interests and ideologies will be taking aim at public and legislative opinion during the farm bill debate. It’s going to be a long two years. ### Source: Andrew
Swenson, (701) 231-7379, aswenson@ndsuext.nodak.edu
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North Dakota State University |