Making Hay May 2000

A sustainable ag e-mail bulletin on federal
agency news and activities.  This bulletin is
produced by the Sustainable Agriculture
Coalition (SAC). It is not meant to be a
polished newsletter but an alert system. We
will not worry about our prose and ask that our
work not be reproduced or quoted.

***********
CONTENTS

* Top Story
   <> Initiative for Future Ag & Food  Still Breathing

* EPA Notes
   <> TMDL Joint Agreement
   <> GAO Report on Children Farmworkers

* Biotech
   <> NRC Report
   <> USDA Advisory Committee
   <> Administration Biotech Initiatives
   <> NAS Biotech Commission
   <> Comment on FDA Labeling
   <> EPA Denies Petition on Plant Pesticides

* USDA News
   <> Beginning Farmer Advisory Committee News
   <> CRP Update
   <> NRC on NRI
   <> USDA Rural Business Grants
   <> GIPSA on Family Farms
   <> NRCS Pesticide Policy Review  Comment Period
   <> Loans for On-Farm Commodity Storage

* Resources and RFPs
   <> SAN Website

***********

*** Top Story ***

<> Initiative for Future Ag & Food  Still Breathing

Starting with the bottom line - proposals for IFAFS funds
are due to CSREES by May 22. All persons and organizations
intending to submit proposals should do so. Could Congress
still rescind the funds? The answer is yes, though there is
increasing optimism they won't be. Will we know before the
22nd what will happen? Almost definitely not. Chances are
the final answer will not be apparent until June or July.
We will continue to advocate for congressional
appropriators to leave the IFAFS and the Fund for Rural
America (FRA) alone. The issue has unfortunately become
incredibly complex, as the quick rundown of the funding
facts to date below will indicate.

* In December, USDA determined a loophole in previous
appropriations bills allowed it to spend the $120 million a
year IFAFS and the $60 million FRA in fiscal year 2000.

* An IFAFS Request for Proposals was issued on March 6,
including one of the best USDA RFPs ever with respect to
funding for research to assist small and moderate farms,
with clear priority for proposals that successfully
integrate research, extension and education, and with
preference for large grants to multi-state, multi-
institutional, and multi-disciplinary projects.

* A supplemental appropriations passed the House in March
that revoked the IFAFS funds, using them as an offset for
emergency disaster relief related to 1999 hurricane damage.

* Majority Leader Trent Lott blocked Senate consideration
of the supplemental, forcing the appropriators instead to
include the emergency spending in its normal FY 2001
appropriations bills, including agriculture.

* Both House and Senate agriculture appropriations
subcommittees marked up their FY 01 bills on May 4. The
Senate left the FY 00 IFAFS funds intact, denied IFAFS
funds for FY 01, but left the loophole in place. Translated
from budget arcana into English, this means USDA would be
free to spend $120 million each year on IFAFS, with each
year's spending coming from the previous year's budget. The
Senate took the same action on the Fund for Rural America,
also potentially putting that $60 million back into play
annually. The House subcommittee, however, nixed both IFAFS
and FRA in all years, removing the loophole.

* On May 9, the full Senate Appropriations Committee
approved its version of the supplemental appropriations
along with its FY 01 agriculture appropriations bill and
did not include any offsets, thus keeping this year's IFAFS
intact. The full House committee is set to act on its bill
on May 10. Eventually, after both bills go through floor
action, the final decision on the fate of the IFAFS -- both
in 2000 and in future years -- will be decided in the
appropriations conference committee between the House and
Senate. This would happen in June at the earliest.

For more information about the Initiative for Future
Agriculture and Food Systems, contact Rodney Foil (202-401-
4921; [log in to unmask]), Director or Cindy Huebner
(202) 401-4114; [log in to unmask]), Assistant Director.

*** EPA Notes ***

<> TMDL Joint Agreement

On May 1, 2000, the EPA issued a joint statement with the
USDA on Agricultural and Silvicultural Issues Within EPA
Revisions to TMDL and NPDES Rules.  The statement is posted
on the web at  www.epa.gov/owow/tmdl/tmdlwhit.html. With
regard to the NDPES permits for Concentrated Animal Feeding
Operations (CAFOs), the statement provides that
"agricultural stormwater discharges" are exempt from NPDES
permits requirements.  This provision appears to contradict
recent court decisions on the scope of regulation of CAFO
waste under the Clean Water Act.  In addition, because EPA
has failed to provide the public with a clear definition of
what constitutes agricultural stormwater discharges, this
provision leaves a gaping hole in EPA guidance on CAFO
NPDES permits.

Note also that NRCS State Conservationists are in the
process of revising state nutrient management policy and
that some states may be moving forward with Comprehensive
Nutrient Management Plan provisions in advance of the
finalization of guidance from NRCS National Headquarters.
Here at SAC, we are trying to track nutrient management
developments at the state level.  We would like to hear
from those of you working on these issues, especially those
of you on NRCS State Technical Committees.  Please contact
Martha Noble at the SAC office, by phone (202) 547-5754 or
by e-mail [log in to unmask]

<> GAO Report on Children Farmworkers

An April 13 Report by the General Accounting Office told
the EPA to take steps quickly to protect children who work
on farms from pesticides.

The report, "Pesticides: Improvements Needed to Ensure the
Safety of Farmworkers and Their Children," notes that there
is a lack of comprehensive information on the health
effects of pesticide exposure, especially for children.
The EPA's Worker Protection Standard is not designed for
children under 12.  The report is available for download at
http://www.gao.gov/new.items/newtitle.htm reports are
listed there in alphabetical order.

The report recommends warnings to farmworker parents about
the adverse effects pesticides might have on their
children, and including specific information on pesticide
labels about how long children should be restricted from
entering fields that have been treated with pesticides.

The GAO also called for better EPA oversight across the
board of states' implementation and enforcement of the
existing Worker Protection Standard.

*** Biotech ***

<> Biotech I - NRC report

On April 5, 2000, the National Research Council's Committee
on Genetically Modified Pest-Protected Plants released a
report entitled "Genetically Modified Pest Protected
Plants: Science and Regulation."  To order the report or
view a prepublication version of the report go to the
website <www.nap.edu/catalog/9795.html>.  The report was
prepared primarily in response to controversy over a
regulation proposed by the EPA in 1994, which gives the
agency jurisdiction over plants genetically engineered to
resist pests.   The report recommended that the rule be
adopted and that EPA extend the rule to cover plants
genetically engineered to resist viruses.

The Committee concluded in the report that no foods
containing genetically engineered plants currently on the
market are unsafe but recommended that tests be developed
for assessing any harms from long-term consumption of
genetically engineered foods.  The report also criticized
the USDA's process for approval of genetically engineered
plants with regard to ecological risks, noting for example
that the department did not have adequate scientific
support for the controversial approval of a biotech squash,
which some feared could produce a super weed.  The report
acknowledged that Bt corn plants do have the potential to
harm monarch butterflies, as indicated in a study by
Cornell University scientists published in May 1999.

<> Biotech II - USDA Advisory Committee

The USDA Advisory Committee on Agricultural Biotechnology
held its first meeting on March 29-30, 2000 in Washington,
D.C.  USDA Secretary Glickman has asked the Committee to
address a wide range of social, economic, and ecological
issues. The Committee will also assess the performance of
USDA's biotech policies and programs.  The USDA Advisory
Committee will identify scientific issues regarding food
safety, environmental harms, etc. for referral to a
National Academy of Sciences Committee on Biotechnology,
Food & Fiber Production & the Environment, which held its
first meeting on May 4-5, 2000.  During the period for oral
presentations at the Agricultural Biotechnology Committee
meeting, Martha Noble with the SAC office submitted for the
record the position paper on agricultural genetic
engineering prepared for the MSAWG and endorsed by numerous
MSAWG organizations and other organizations.  This position
paper is posted on the web at <www.cfra.org>.

USDA public comment period for written comments to be
included as part of the official record for the first
meeting closed on May 1, 2000. USDA, however, will continue
to accept public comments, which should be directed to
USDA/ACAB, Dr. Schectman, DFO, Office of the Deputy
Secretary, 202A Jamie Whitten Federal Building, 12th &
Independence Ave., Washington, D.C. 20250; Phone:  (202)
690-4265; FAX: (202) 720-
3817:  e-mail: [log in to unmask]

<> Biotech III  Clinton Administration Food & Agricultural
Biotechnology Initiatives

On May 3, 2000, the Clinton administration announced
numerous Food & Agricultural Biotechnology Initiatives.
Details of the initiatives are posted on the web at
www.usda.gov/special/biotech.htm.

Food and Drug Administration actions under the initiative
include publishing a proposed rule under which developers
of bioengineered foods and animal feeds must notify the
agency of the intent to market a food or animal feed from a
bioengineered plant at least 120 days before marketing.
The proposed rule will require that specific information be
submitted to allow the agency to determine whether the
foods or animal feeds pose any potential safety, labeling,
or adulteration issues.  The proposed rule will also
authorize the FDA to make public, consistent with
applicable disclosure laws, the submitted information and
the agency's conclusions, by posting them on the FDA
website.

The FDA also announced that it will not require mandatory
labeling of genetically engineered foods. Instead, the
agency will prepare for public comment a draft guidance to
assist manufacturers who wish to voluntarily label foods as
being made with or without the use of bioengineered
ingredients.

USDA announced that the Grain Inspection, Packers and
Stockyards Administration is initiating a procedure to
accredit laboratories that are testing grains for the
presence of genetically engineered grain. GIPSA will also
be evaluating test kits for evaluating the presence of
genetically engineered grain against the manufacturer's
performance specifications.  USDA also announced that it
will issue an advanced notice of proposed rulemaking this
summer to solicit public comment on other steps to
differentiate non-bioengineered commodities to better meet
the needs of the marketplace.

The administration also announced that the Council on
Environmental Quality and the Office of Science and
Technology Policy will conduct a 6-month interagency
assessment of federal environmental regulations concerning
agricultural biotechnology and make recommendations, if
appropriate, to improve them.  With regard to public
relations and international trade, USDA, EPA, FDA, and the
State Department will enhance domestic and foreign public
education and outreach activities to improve the
understanding of the nature and strength of U.S. regulatory
processes.

<> Biotech IV - National Academy of Sciences Biotechnology
Commission

On May 4-5, 2000, the Committee on Biotechnology, Food and
Fiber Production, and the Environment met in Washington,
D.C.  At the request of USDA Secretary Glickman, the
National Academy of Sciences established the Committee as a
5-year standing committee to advise USDA and other
potential sponsors on scientific issues in the areas of
plant, animal, and microorganism biotechnology used in food
and fiber production and in other emerging applications.
Further information on the Committee, its scope and
membership, and the agenda for the May meeting are posted
on the National Academy of Sciences website at
www.nationalacademies.org, under the heading current
projects

<> Biotech V - Comment on FDA Labeling

On March 21, 2000, the Center for Food Safety submitted a
petition to the Food and Drug Administration calling for
mandatory pre-market food safety testing and environmental
assessment of genetically engineered food, as well as
mandatory labeling of genetically engineered food.  The
filing of the petition has opened a public comment period
on the petition. Comments should be submitted Commissioner
Jane Henney, FDA Dockets Management Branch, 5630 Fishers
Lane, Room 1061 (HFA-305), Rockville MD 20852, RE: Docket
No. 00P-1211/CP1 & Docket No. 99N-4282 or by e-mail:
[log in to unmask] (include docket numbers on
e-mail subject line).

For a sample comment letter and more information on the
petition, see the Center for Food Safety's action alert
website at www.foodsafetynow.org.

<> Biotech VI - EPA Denies Petition on Plant Pesticides

On April 19, 2000, the EPA denied a petition requesting
that EPA cancel registrations of Bt crops, which the agency
regulates under the Federal Insecticide, Fungicide and
Rodenticide Act.  Greenpeace, the Center for Food Safety,
the International Federation of Organic Agricultural
Movements and over seventy U.S. organic farmers,
environmentalists and farming organizations, filed the
petition.  In its response to the petition, EPA said that
it is not aware of any adverse environmental effects on the
environment, including effects on non-target species such
as the Monarch butterfly.  The agency also concluded that
its current policy for managing Bt resistance in pest
populations is adequate and that unlikely that Bt genes
will move from crops to weedy relatives.  The agency also
rejected claims that Bt toxins exuded from plants or in
residues could have adverse effects on soil ecology.

The EPA was required to respond to the petition under court
order in a lawsuit filed by the petitioners.  The
petitioners have 30 days to assess EPA's response and
decide whether to amend the complaint in the lawsuit.

*** USDA News ***

<> Beginning Farmer Advisory Committee News

The USDA Advisory Committee on Beginning Farmers and
Ranchers held its second meeting April 11-12 in Kansas
City. The well-attended meeting resulted in a letter to be
sent to the Secretary of Agriculture with the following
recommendations:

* Increase FY 01 budget requests for FSA farm loan programs
to the FY 00 levels to reflect expected demand in light of
continuing economic downturn.

* Support HR 1810 and S 1038 to remove aggie bonds from
existing state volume caps on industrial revenue bonds.

* Allocate funds for a survey of users and administrators
of existing beginning farmer programs.

* Add questions to the annual NASS farmer survey regarding
beginning farmers and farm entry and transfer.

* Develop a legislative proposal to make the existing
federal-state beginning farmer partnership more flexible
and more attractive to states.

* Encourage cross-training of FSA employees and hire
additional qualified employees to address severe shortage
in farm loan officers.

* Seek $20 million in FY 02 budget request for the outreach
and technical assistance program for minority farmers
(Section 2501).

* Develop a legislative proposal to increase term limit on
direct operating loans from 7 years to 10 years, and to
exclude disaster years from the 10 year limit and the
current 15 year limit on direct and guaranteed loans
combined.

* Undertake a comprehensive review of the borrower training
program, including the issue of waivers, cost, and
number/location of vendors.

* Consider development of a legislative proposal to
lengthen the repayment period for the FSA portion of
beginning farmer down payment loans.

* Support legislation to increase the actual production
history of beginning farmers from crop insurance purposes
to 110% of county average.

* Design and encourage model programs to train high school
students in farm operation and management.

<> CRP UPDATE

Note that further information on all the CRP Update
announcements can be found at the FSA website
www.fsa.usda.gov/dafp/cepd/crpinfo.htm.

I  Continuous Sign-up Incentives

On April 6, 2000, the USDA announced a program of
incentives for the CRP continuous sign-up program. The
enhancements (estimated to cost $350 million) were
announced at the beginning of the year, but details were
not resolved and the program did not become effective until
April 6th. The major incentive is a $100 per acre one time
payment for each acre enrolled, rather than the 50-100%
bonus rental rate we proposed. Note that, for no logical or
convincing reason, the incentive is not available for
contour grass strips and cross wind trap strips.

The one-time payment bonuses are being called "stewardship
incentive payments" or SIP.  They apply to field
windbreaks, grass waterways, field shelterbelts, living
snowfences, filter strips, and riparian buffers. The bonus
is calculated as $10 per acre per year, or $100 per acre
for a 10-year contract, $150 for a 15-year contract. An
additional incentive - being called a "practice incentive
payments" or PIP -- will set at 40% of the cost of
installing a practice, effectively bringing the cost share
rate for the continuous sign-up up to 90%. PIP is available
on all practices, including contour grass strips, cross
wind trap strips, and shallow water areas for wildlife. Per
acre maintenance rates were also increased for windbreaks,
shelterbelts, living snow fences, filter strips, and
riparian buffers. Rental rates were raised for marginal
pasture land being enrolled as riparian buffers, with a per
acre rate established for each county that go as high as
$66 per acre in the eastern corn belt.

CRP II  PA and OH CREPS

In related CRP news, on April 13 Secretary Glickman
announced a Conservation Reserve Enhancement Program
agreement with the State of Pennsylvania, focused on the
watersheds of the Chesapeake Bay.  Up to 100,000 acres may
be enrolled.  This agreement makes Pennsylvania the fourth
Chesapeake Bay state with a CREP.  The terms call for
double payments (two times the normal rental rate) for
filter strips, riparian buffers, contour grass strips,
grass waterways, and wetland restoration, plus an extra $5
per acre per year to reflect maintenance burdens.  These
terms make it one of the more lucrative CREPs to date.

On April 18, 2000, Vice-President Gore announced an Ohio
Lake Erie CREP intended to improve the water quality of
Lake Erie, and streams and rivers in the Western Lake Erie
watershed, by reducing the load of sediment, pesticides,
and nutrients flowing into the Lake. The program goal is to
establish 10 to 15 year contracts for 5,000 linear miles of
filter strips and riparian buffers, including forested
buffers to lower stream temperature. For filter strips,
special incentive payments for the program include the
normal cropland rental rate plus an additional amount of 55
percent of the normal cropland rental rate from the USDA,
as well as a lump sum payment of $200 per acre from the
state.  For land devoted to wetland restoration, riparian
buffer, field windbreak, wildlife habitat improvement, or
hardwood trees, the special incentive payment from USDA is
the normal cropland rental rate plus 75 percent of this
rate, as well as a lump sum payment of $500 per acre from
the state.  Maintenance and cost-share payments are also
available. The sign-up for the Ohio Lake Erie CREP began
May 1, 2000.

CRP III  20th CRP SIGN-UP

Also, on April 10, USDA announced that 3.5 million acres
were offered during the recently completed 20th CRP sign-up.
The average requested rental rate was $51. More than one-
third of the total was from Minnesota, Montana, and the
Dakotas. Depending on how many of these acres USDA accepts,
the resulting total CRP acreage will be getting close to
the 36.4 million acre limit.  On March 9, the Sustainable
Agriculture Coalition joined with 14 other groups including
the National Conservation Buffer Council, Agricultural
Retailers Association, National Association of Wheat
Growers, and the Soil and Water Conservation Society to
plead with Secretary Glickman to accommodate the full,
promised 4 million acre CRP buffer initiative within the
existing 36.4 million acre cap.

The Senate Agriculture Appropriations Subcommittee on May 4
approved language urging the USDA to ensure the 4 million
acres are reserved.  The Subcommittee also urged USDA to
offer stewardship incentive payments on contour grass
strips and cross wind trap strips.

<> NRC on NRI

On April 27, 2000, the National Research Council's Board on
Agriculture and Natural Resources released a report on the
USDA's National Research Initiative entitled "National
Research Initiative: A Vital Competitive Grants Program in
Food, Fiber, and Natural Resources Research (2000)."   The
report is not yet published but it may be ordered and a
prepublication copy may be previewed at the National
Academy of Sciences website
http://books.nap.edu/catalog/9844.html. The report was
authored by the Committee on an Evaluation of the US
Department of Agriculture National Research Initiative
Competitive Grants Program.  Industry interests were well
represented, with four committee members directly employed
by corporations.  Aside from industry representatives, the
remaining members of the fourteen-member Committee were all
part of the government-university research establishment.
The Committee made numerous recommendations, including the
removal of the NRI from the CSREES and the establishment of
an Extramural Competitive Research Service reporting
directly to the USDA Under Secretary for Research,
Education and Economics and the establishment of a new NRI
Advisory Board.  The Committee also recommended that NRI
grant awards be increased to an average of $100,000 per
year over 3 years and that the NRI overhead limit be
increased.

<> USDA Rural Business Grants

The USDA announced the award of more than $900,000 in
grants through the Rural Business Cooperative Service to
projects in Georgia, Maine, South Dakota, Utah, Vermont and
Wisconsin.

Three grants of note included the $500,000 award to the
George D. Aiken Resource Conservation and Development
Council of Vermont for a statewide agri-tourism project, a
$97,712 grant to the Tatnall County Development Authority
in Georgia to purchase processing and storage equipment for
a minority vegetable growers cooperative, and $75,000 that
went to the Wisconsin Farmers Union to establish the
Wisconsin Farmers Union Specialty Cheese Co. as a farmers'
cooperative enterprise.

<> GIPSA on Family Farms

The USDA Grain Inspection, Packers and Stockyards
Administration will be holding a Conference on Family Farms
entitled Visions for the Millennium: Structural Changes
Facing Livestock & Grain Markets in the 21st Century in
Kansas City, Missouri on May 9-10, 2000.   According to
GIPSA, the purpose of the Conference is to bring together
family farmers, senior officials of processing companies,
representatives of trade associations, academia, and state
and federal officials to debate the future structure of
agriculture.   The Conference will be held at the Kansas
City Airport Marriott Hotel.  The registration fee is $55.
You can register for the Conference online through the
website www.usda.gov/gipsa/millennium/millindex.htm. For
further information, contact GIPSA at (202) 720-7051.

<> NRCS Pest Management Policy Review  Comment Period

NRCS announced availability in the May 1, 2000 Federal
Register of its draft Revised Pest Management Policy.  The
comment period on this notice is quite short, ending May
31, 2000.

You can access the full text of the draft policy at
www.nhq.nrcs.usda.gov/BCS/pest/pest.html .  Unfortunately,
the NRCS has published this draft complete, without noting
what it intends to change from the current policy, so it
will take a bit of sleuthing to figure out what's new
policy and what's not.

<> Loans for On-Farm Commodity Storage

USDA Secretary Glickman announced on May 9, 2000, that the
USDA is establishing a program to make seven-year, low
interest loans to farmers to build or upgrade storage and
handling facilities for commodities including wheat, rice,
soybeans, sunflower seeds, canola, rapeseed, safflower,
flaxseed, mustard seed, crambe, other oilseeds to be
announced, corn, grain, sorghum, oats, and barley.  Loans
may cover up to 75 percent of the net cost of the needed
storage or handling equipment, up to an amount of $100,000.
Borrowers are limited to one loan per fiscal year.  Farmers
may begin filing applications on May 30, 2000.  USDA will
publish regulations for the program in the Federal Register
during the week of May 8 and take comments for 30 days.
The Farm Service Agency has posted a fact sheet for the
Farm Storage Facility Loan Program on its website at
www.fsa.usda.gov/pas/news/releases/2000/05/1499.htm.

*** Resources and RFPs ***

<> SAN Website

The latest marketing guide from the USDA's Sustainable
Agriculture Network (SAN) is available on the web at
www.sare.org/san/market99/index.htm and includes real-life
stories and practical tips on marketing agricultural
products through alternative channels, such as farmers
markets, Community Supported Agriculture (CSA)
arrangements, restaurant sales, and other methods.

END TEXT

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