1995 Farm Bill Watch: Waiting for the Budget

ISSUE 11
Spring 1995
1995 Farm Bill Watch:
Waiting for the Budget

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Prairie Grains is the
official publication of
the Minnesota
Association of
Wheat Growers,
North Dakota Grain
Growers Association,
South Dakota Wheat,
Inc., and the
Minnesota Barley
Growers Association.

"Everyone is waiting for the budget to be brought down from Mount Gingrich" is how one observer termed the mood in Washington, D.C. recently, as wheat producers from across the nation, including Minnesota Wheat leaders, gathered to lobby lawmakers and federal officials on wheat issues.
"The budget is everything," said Carl Schwensen, National Association of Wheat Growers executive vice president, as far as the 1995 Farm Bill is concerned. Schwensen says what we get in the budget, expected for release in May, will impact the shape of the 1995 Farm bill.

Working with other national commodity organizations, the NAWG, has begun a public relations effort geared toward members of Congress about the importance of agriculture and ag spending. Concise, easy-to-understand fact sheets about agriculture and the farm bill will be delivered to Congressional offices.

While in Washington, members of the MAWG made over 30 visits on Capitol Hill. The four major issues MAWG discussed during the visits were: Importance of farm spending; the need for a wheat marketing loan; federal research funding for wheat diseases; and restored funding for the Foreign Market Development Program.

D.C. NOTES

Following are bits of information MAWG leaders picked up on while in Washington:

Tax changes or tax benefits in exchange for farm bill budget cuts are a "Trojan Horse," according to NAWG's Schwensen. "Congress believes ag will be cut so they're lining up "relief" options now."
Only 1% of the total federal $68 billion research budget is spent on ag research.
60% of USDA's budget goes for food & nutrition programs, the majority of which is food stamps.
ERS has done an economic impact study of the school lunch program. For wheat, it has increased use by 15 million bushels a year and resulted in a 2 cent a bushel price increase.
The school lunch program ranks up there with McDonald's, serving 25 million meals a day.
On conservation issues, Gary Margheim, special assistant to the chief of the NRCS believes three things will happen in the 1995 farm bill:

The Conservation Compliance Program won't change (it has been very successful with 95% of grower plans implemented).
The CRP program will likely be reauthorized for another 10 years, but funding will be reduced and it will need to be targeted better.
Something will be done with wetlands, probably providing more flexibility and more local control.

"The wetlands debate is driven by emotional friction rather than scientific fact." (Gary Margheim, NRCS)
A $2.60 marketing loan would have a 5% chance of resulting in budget outlays, according to the number crunchers at ERS (Economic Research Service).
The balanced budget amendment doesn't require a balanced budget, just a 65% vote to spend more than you take in.

(Rep. Collin Peterson)

COPIES OF BRIEFING PAPERS AVAILABLE -- If you'd like copies of the MAWG's policy summaries that were delivered to members of Congress on wheat issues, call Kris at the MAWG office, 1-800-242-6118. They may be useful in your own visits and letters to lawmakers.

Copyright Prairie
Grains Magazine
Spring 1995

ISSUE 11 Spring 1995	1995 Farm Bill Watch: Waiting for the Budget

Library Home E-Mail Back Prairie Grains is the official publication of the Minnesota Association of Wheat Growers, North Dakota Grain Growers Association, South Dakota Wheat, Inc., and the Minnesota Barley Growers Association.	"Everyone is waiting for the budget to be brought down from Mount Gingrich" is how one observer termed the mood in Washington, D.C. recently, as wheat producers from across the nation, including Minnesota Wheat leaders, gathered to lobby lawmakers and federal officials on wheat issues. "The budget is everything," said Carl Schwensen, National Association of Wheat Growers executive vice president, as far as the 1995 Farm Bill is concerned. Schwensen says what we get in the budget, expected for release in May, will impact the shape of the 1995 Farm bill. Working with other national commodity organizations, the NAWG, has begun a public relations effort geared toward members of Congress about the importance of agriculture and ag spending. Concise, easy-to-understand fact sheets about agriculture and the farm bill will be delivered to Congressional offices. While in Washington, members of the MAWG made over 30 visits on Capitol Hill. The four major issues MAWG discussed during the visits were: Importance of farm spending; the need for a wheat marketing loan; federal research funding for wheat diseases; and restored funding for the Foreign Market Development Program. D.C. NOTES Following are bits of information MAWG leaders picked up on while in Washington: Tax changes or tax benefits in exchange for farm bill budget cuts are a "Trojan Horse," according to NAWG's Schwensen. "Congress believes ag will be cut so they're lining up "relief" options now." Only 1% of the total federal $68 billion research budget is spent on ag research. 60% of USDA's budget goes for food & nutrition programs, the majority of which is food stamps. ERS has done an economic impact study of the school lunch program. For wheat, it has increased use by 15 million bushels a year and resulted in a 2 cent a bushel price increase. The school lunch program ranks up there with McDonald's, serving 25 million meals a day. On conservation issues, Gary Margheim, special assistant to the chief of the NRCS believes three things will happen in the 1995 farm bill: The Conservation Compliance Program won't change (it has been very successful with 95% of grower plans implemented). The CRP program will likely be reauthorized for another 10 years, but funding will be reduced and it will need to be targeted better. Something will be done with wetlands, probably providing more flexibility and more local control. "The wetlands debate is driven by emotional friction rather than scientific fact." (Gary Margheim, NRCS) A $2.60 marketing loan would have a 5% chance of resulting in budget outlays, according to the number crunchers at ERS (Economic Research Service). The balanced budget amendment doesn't require a balanced budget, just a 65% vote to spend more than you take in. (Rep. Collin Peterson) COPIES OF BRIEFING PAPERS AVAILABLE -- If you'd like copies of the MAWG's policy summaries that were delivered to members of Congress on wheat issues, call Kris at the MAWG office, 1-800-242-6118. They may be useful in your own visits and letters to lawmakers.
Copyright Prairie Grains Magazine Spring 1995

1995 Farm Bill Watch: Waiting for the Budget

Copyright Prairie Grains Magazine Spring 1995

1995 Farm Bill Watch:
Waiting for the Budget

Copyright Prairie
Grains Magazine
Spring 1995