UPDATE - Bush administration backs 'green' farm payments
Date: 20-Sep-01
Country: USA
Author: Charles Abbott
In a 120-page paper laying out its long-term agriculture policy, the administration said larger exports were crucial to farm prosperity and warned against over-dependence on farm subsidies.
While offering no specific legislative suggestions on spending levels, the document said stewardship incentives should be part of the federal conservation portfolio now dominated by programs that pay farmers to idle fragile land.
The major issue for Congress in overhauling the farm program this year is whether to rely on the traditional crop supports or create new green payments to farmers. The debate could become more rancorous because of hints that agricultural funding - promised a hefty increase last spring - may be trimmed due to a jump in U.S. spending for defense.
Farm spending, like many other domestic programs, could be curtailed to offset the cost of disaster relief and larger military spending in response to last week's attacks that destroyed the World Trade Center and damaged the Pentagon.
IOWA DEMOCRAT PRAISES REPORT
The administration's farm policy language was similar to proposals by Senate Agriculture Committee chairman Tom Harkin for up to $50,000 a year in conservation payments to farmers.
The Iowa Democrat said he was pleased the administration "is focused on promoting conservation."
Environmentalists wanted the administration to put its views into action since Congress was part-way through an overhaul of U.S. farm supports. A $73.5 billion "farm bill" was ready for debate in the House and the Senate might begin drafting its bill in the next few weeks.
"The sheet music is great. We just need them to play," said Ken Cook of the Environmental Working Group. "If there's really going to be a serious debate, they need to play."
The major issue for Congress was whether to rely on the traditional crop subsidies to support farmers, the route taken by the House Agriculture Committee, or create green payments that reward farmers who make conservation part of their day to day operations.
Since the Depression, crop supports have been based on a farm's output of grains or cotton. Big farmers get the lion's share because of they account for most of production.
A shift toward larger conservation spending, particularly green payments, could give small and mid-size producers a larger share of farm subsidies. It also could make payments available to ranchers and so-called specialty crop growers not eligible for direct support now.
"I think you could look at conservation programs as being more broadly applicable to more sectors," Agriculture Secretary Ann Veneman said during a news conference.
GREEN PAYMENTS SEEN COST-EFFECTIVE
As Senate Agriculture Committee chairman, Harkin has given conservation groups their best chance in a decade to direct more money into environmental programs.
The House bill would put an additional $43 billion into grain, cotton and soybean subsidies over 10 years while giving conservation an additional $16.5 billion.
In its policy paper, the administration said the "sheer vastness" of land in production "suggests an untapped potential for achieving cost-effective environmental benefits from conservation spending on working lands." There are more than 900 million acres in farms, ranches and forests.
One possibility, it said, "is a broader, market-based incentive program for providing payments to farmers who use or adopt practices that enhance the environment."
Private consultant John Schnittker said the paper "gives few clues to eventual policy proposals" although hinting at possible changes in conservation programs or a budget cut.
The National Corn Growers Association viewed the language on conservation incentives as a "watershed" moment.
"Working productive capacity is what is going to feed America," said NCGA's Bruce Knight. "When you idle land, you idle Main Street (businesses)."
TRADE EXPANSION ALSO KEY
Many of the recommendations in the administr
