Farm Bill Digest #8, Posted October 17th, 2007
The Farm Bill Digest tracks developments around the National Campaign's Farm Bill Priorities. You can read the full set of our priorities through this link.
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In this issue of the Digest:
The Senate Floor debate is an opportunity for everyone to have some influence over the final shape of the Senate Farm Bill. The Farm Bill could reach the Senate floor as soon as the last week in October or in early November.
Senate Agriculture Committee to Begin Markup ACTION NEEDED NOW!
Senator Harkin has indicated that the Senate Agriculture Committee will take up the Farm Bill the week of October 22nd. Funding for sustainable agriculture priorities including conservation and organic research may be at risk.
Several provisions in the Harkin Farm Bill draft and in prospective Senate floor amendments would restore contract fairness and competition to livestock markets.
FARM BILL DIGEST #8
October 17, 2007
Senate Floor Action Be Ready!
If you live in a Farm Bill state or congressional district chances are you've heard a lot from the National Campaign in the last 6 months. Constituents to members of the Agriculture Committees can have a proportionally greater impact on the Farm Bill - and that's why we've alerted, called and diligently courted folks in those states and districts throughout the 2008 Farm Bill debate. When the Farm Bill hits the Senate floor, however, calls from EVERY state can make a BIG difference. The Senate floor debate is a chance for everyone to have some say in the final shape of the Senate Farm Bill. The Farm Bill could reach the Senate floor as soon as the tail end of October or early in November. So stay tuned and be ready to call your Senators! Use the link above to sign up for Farm Bill Action alerts so we can notify you of floor amendments that support or threaten our Farm Bill priorities.
Senate Agriculture Committee to Begin Markup Action Needed Now.
Senator Harkin, Chair of the Senate Agriculture Committee has indicated that he expects his committee to take up the Farm Bill the week of October 22nd. Most all of the National Campaign's Farm Bill priorities are included in Senator Harkin's draft Farm Bill. Whether these priorities will be adequately funded, however, is in serious doubt. Informal funding discussions among Senate Agriculture Committee members are not going well for conservation, rural development, beginning farmers, and organic research. Time is running out to weigh in with Senate Agriculture Committee members before they go to mark up. Two alerts, one regarding conservation funding and another, organic funding, have been issued by the National Campaign:
Conservation Funding
National conservation, environmental and sustainable agriculture groups have organized a National conservation call in day for October 17th. A media and action alert campaign will generate thousands of calls to Senators urging an additional $5 billion for conservation, including $2 billion for the Comprehensive Stewardship Incentives Program. There's still time to call. The full alert is posted at this link.
Organic Funding
Also at risk for inadequate funding are several of our organic priorities including our goal of $25 million a year in mandatory funding for the Organic Agriculture Research and Extension Initiative (OREI); $25 million for the Organic Certification Cost Share Program; and an Organic Conversion Program to help farmers switch to organic practices with at least 50% of funding for technical assistance. The National Campaign Organic Committee has issued an alert urging calls to the Senate, available here: http://www.agmatters.net/attachments/Organic_alert_Senate.doc
Competing Proposals
In addition to funding woes, there are also a number of Senators on the Agriculture Committee who are not supportive of the Harkin draft, including Senator Kent Conrad (D-ND). Conrad is drafting an alternative version of the Farm Bill which is attracting other Agriculture Committee members. Senator Conrad has voiced opposition to mandatory funding for organic agricultural research. He has expressed support for the kind of weak and ineffective payment limitations passed in the House Farm Bill. His proposal provides inadequate funding for conservation and nothing at all for rural development. Senator Harkin has been a true champion of the sustainable agriculture agenda. He needs stronger backing, however, from other Committee members to win both inclusion and adequate funding for sustainable agriculture priorities in the 2008 Farm Bill.
Chairman Harkin has included a Livestock Title in his draft Farm Bill that includes contract fairness provision to ensure a producer's collective bargaining rights; a prohibition on mandatory arbitration provisions; and a good cause requirement for premature cancellation of a contract. Also included are reforms to the Packers and Stockyards Act to clarify the law on undue preferences in pricing, coverage of poultry and standards of proof for anti-competitive injury.
Floor amendments to prohibit packers from using captive supplies to manipulate cash market prices paid to producers are also likely. Captive supplies include livestock which is owned and fed by the packer as well as livestock purchased or controlled through forward contracts. A recent analysis by the Organization for Competitive Markets using USDA data found that captive supplies cost independent livestock producers $5.7 billion in 2006.
Senator Tim Johnson (D-SD) is expected to introduce an amendment on the Senate floor that would ban Packer ownership and feeding of livestock. Senator Enzi (R-WY) is likely to introduce the Captive Supply Reform Act that would require that packers offer contracts with a firm base price established as of the day the contract is entered into. The Farm Bill could reach the Senate floor as soon as the last week in October or early November.
"A recent analysis by the Organization for Competitive Markets using USDA data found that captive supplies cost independent livestock producers $5.7 billion in 2006. "
Senators Grassley (R-IA), Kohl (D-WI), and Thune (D-SD) may also introduce the Agriculture Competition Enhancement Act of 2007 as a floor amendment. It would establish an Assistant Attorney General for agricultural antitrust matters; create an agriculture competition task force; and provide additional staff and funding for the Grain Inspection, Packers and Stockyards Administration, the agency which oversees enforcement of the Packers and Stockyards Act.
While not necessarily Farm Bill related, the Grain Inspection and Packers and Stockyards Agency (GIPSA) issued a proposed rule at 72 Fed. Reg. 41952-5 (August 1, 2007) regulating contract poultry practices. The proposed rules address contract fairness, adequate notice and confidentiality clauses. Comments are due by September 30th. For a sample comment letter follow this link.
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