National Campaign for Sustainable Agriculture
Wins and Losses in the 2002 Farm Bill
May 6, 2002
In late February, partners within the National Campaign for Sustainable
Agriculture developed a summary of what the
National Campaign would actively fight for in the farm bill conference
committee. The following summary of our wins and
losses in this farm bill is built upon this summary. We had many major
wins, and a few stinging losses.
The National Campaign does not support the farm bill that has passed the
House and that will soon be voted upon by the
Senate because we feel the huge subsidies for the biggest farming and
factory livestock operations are glaring examples of
corporate welfare policy that will hurt farm and ranch communities and
that is not in our true national interest.
However, the sustainable agriculture movement achieved some major
victories and had a profound impact on the quality of the
farm bill debate. The issues that were the biggest sources of debate --
real payment limitations, contract agriculture reforms,
prohibition against large meatpacker ownership of livestock, the
important new Conservation Security Program -- were our
issues. We won the Conservation Security Program and many other
important provisions, and we will continue to fight for
those issues we lost. The farm bill fight is not over yet.
Thanks to all of the groups that have graciously shared their farm bill
summaries among one another including the Campaign
for Contract Agriculture Reform, the Campaign for Family Farms, the
Community Food Security Coalition, Midwest
Sustainable Agriculture Working Group/Sustainable Agriculture Coalition,
National Family Farm Coalition, and Rural
Coalition/Coalicion Rural.
Farm Bill Victories
Conservation Security Program Support the higher funding for
conservation in the Senate farm bill, especially the
Conservation Security Program. The Conservation Security Program is a
visionary new farm program that bridges a gap
between commodity programs and land retirement programs, providing
financial incentives for conservation on working lands,
needed support for family farms and ranches, and environmental benefits
such as clean water and air for all Americans, both
rural and urban alike.
WIN: Full Conservation Security Program will be established as an
entitlement program, making it the first conservation
program to be on par with commodity programs (i.e. if a farmer or
rancher qualifies, she or he can participate in the program).
Beginning Farmer and Rancher Provisions To secure a new generation of
farmers and ranchers, support the beginning
farmer and rancher development program, credit program reforms and
targeted incentives in the Senate bill. There are twice
as many farmers over age 65 than under age 35, and in the 140 years of
USDA’s existence there has not been a USDA
program for new farmers or ranchers (except FSA loan programs). $15
million per year mandatory spending on this program
is a small but vital investment in the future of U.S. agriculture.
WIN: The farm bill establishes the Beginning Farmer and Rancher
Development Program but funding will be discretionary
(we’ll have to fight for it in annual appropriations process). The farm
bill also reforms the credit title to improve programs for
beginning farmers and ranchers, and the bill includes cost-share
assistance to help beginning farmers and ranchers participate
in conservation programs.
Value-Added Market Development Program Support Senate provisions that
make the Value-Added Market
Development Program work for small and mid-size farms that are trying
new and alternative ways to increase farm income.
Support $75 Million per year in mandatory funding for this program and
support the Senate policy language.
WIN: Hard-won language was adopted to allow the Value-Added Market
Development Program to include how an item is
produced (e.g. grass-fed, free range, organic, etc.) to qualify as
value-added.
Mandatory Country of Origin Labeling Adopt Senate provisions requiring
mandatory labeling of meat, produce, peanuts
and farm raised fish by its country of origin to allow U.S. consumers to
know and choose the origin of their food.
WIN: Country of origin labeling will be voluntary this year and next,
but will become mandatory for all beef, lamb, pork, wild
and farm-raised fish, peanuts, and produce (fruits and vegetables).
Food Stamps for Legal Immigrants Support restoration of food stamp
benefits to legal immigrants in the Senate farm bill.
WIN: This provision is in the farm bill.
USDA Equity and Justice Reforms Support provisions that increase
accountability and transparency in all USDA
programs and services, including support for the USDA Assistant
Secretary for Civil Rights.
WIN: The farm bill authorizes the creation of a USDA Assistant
Secretary for Civil Rights and puts in place important
reforms for County Committee election procedures. The USDA will also be
required to better track and evaluate
participation by limited resource and socially disadvantaged farmers in
USDA programs.
Outreach and Assistance for Socially Disadvantaged Farmers and Ranchers
Support Senate provisions to strengthen
and expand support for Outreach and Assistance for Socially
Disadvantaged Farmers and Ranchers (often referred to as
Section 2501) and the Indian Extension Program.
WIN: Funding increased (but still discretionary) for Outreach and
Assistance for Socially Disadvantaged Farmers and
Ranchers and historically black land-grant colleges and other
minority-serving land-grant institutions, including the Indian
Extension Program.
National Organic Certification Cost Share Program Adopt the National
Organic Certification Cost Share Program in the
Senate bill that would provide assistance to small farmers who choose to
implement environmentally sound practices in
compliance with the USDA’s National Organic Program. $3.5 million per
year.
WIN: National Organic Certification Cost Share Program funded at $3.5
million per year 2002-2004 and $3 million in
2005.
Community Food Projects Support House increased funding for assistance
to Community Food Projects beginning at $4
million and moving to $7.5 million.
WIN: Community Food Projects will receive $5 million in mandatory
funding per year for the six years of the Farm Bill. The
farm bill also improves the program by allowing for planning grants for
comprehensive, multi-stakeholder solutions including
policy councils, mini-grants and support for a national clearinghouse on
"Innovative Programs to Address Common
Community Problems.”
Purchase of Locally Produced Foods Adopt Section 458 of the Nutrition
Title in the Senate bill providing for Purchase of
Locally Produced Foods.
WIN: Institutions participating in the National School Lunch and
Breakfast programs are encouraged to purchase local foods
where practicable, and a seed grant fund was authorized at $400,000 for
200 institutions. This funding will need to be
appropriated by a separate appropriations bill.
Farmers’ Market Nutrition Programs Support provisions in the Senate
bill that provide $15 million for the WIC Farmers
Market Nutrition Program this year and raise funding for the Senior
Farmers Market Nutrition Program to at least $25 million.
WIN: The WIC FMNP will receive an additional $15 million in the current
fiscal year 2002 to substitute for funds that were
withheld to support caseload in the regular WIC Program. Along with the
$10 million released in January, this infusion of
funding will take the program to a $25 million funding level, thus
allowing current states and tribes to expand their programs
and potentially allowing five new jurisdictions (Arizona, Five Sandoval
Indian Pueblos in New Mexico, Hawaii, Montana, and
Puerto Rico) that applied for federal funds this year to join the FMNP.
The Senior FMNP is authorized for the full six years
of the bill, with mandatory funding of $15 million per year. For fiscal
year 2002, an additional $5 million will be provided
which, on top of the $10 million distributed in early March, will bring
total funding for this year to $15 million.
Farmworker Assistance Adopt Senate provisions to increase funding for
emergency grants to assist low-income migrant
and seasonal farmworkers.
WIN: Removes restrictions on the amount of money that can be put into
emergency grants to assist low-income migrant and
seasonal farmworkers in the case of disasters and authorizes up to $10
million dollars for grants to nonprofit organizations,
coalitions and institutions to train farmworkers in new technologies and
specialty skills necessary for high value crops.
Farmers Market Promotion Program Support the $25 million mandatory
funding in the Senate bill for the Farmers Market
Promotion Program.
WIN: The Farmers Market Promotion Program is established in the farm
bill to make grants to eligible entities to establish,
expand and promote farmers’ markets but the funding is discretionary
(we’ll have to fight for it in the annual appropriations
process).
Farm Bill Losses
Real Payment Limitations Support payment limitations in the Senate bill
because they set real limits, close loopholes
and restore a measure of fairness, integrity and equity to farm
programs. We are concerned about the amount of farm income
that is dependent upon government payments. We need to close loopholes,
and enforce real limits (as the Senate bill does),
and go in the direction of farmers getting a fair price from the
marketplace.
LOSS: Despite that fact that these payment limitation provisions were
passed by a large majority on the Senate floor and the
House voted by a large margin to urge the House conferees to support the
Senate provisions, these real payment limitations
were dropped from the farm bill.
Ban Against Meatpacker Ownership of Livestock Adopt Senate provisions
banning ownership of livestock by large
meatpackers to limit their market power and price manipulation, and
improve market competition for cattle, hogs and lamb.
LOSS: Despite being passed as an amendment twice on the Senate floor
and growing bi-partisan support in the House, the
farm bill conferees dropped this provision.
Contract Agriculture Reforms Contract farmers need basic standards in
fairness: adopt the Senate contract reform
provisions to permit farmers to share terms of contracts with family and
trusted advisors, and prohibit forced arbitration
clauses.
LOSS and WIN: The most significant contract ag reform prohibition
against the use of forced arbitration clauses in
contracts (or giving farmers a choice in resolution of disputes with
industry arbitration or lawsuit) was dropped. However, in
a partial win new reforms that will allow producers to share contract
information with family and key advisors, and that will
give the Grain Inspectors, Packers and Stockyards Administration
oversight over pork production contracts, are in the farm
bill.
Rural Entrepreneurs and Microenterprise Assistance Program Adopt the
Rural Entrepreneurs and Microenterprise
Assistance Program in the Senate bill because it helps low and moderate
income individuals acquire the skills and financing
necessary to establish new, small businesses in rural areas and receive
continuing technical assistance as the individuals begin
operating their new businesses. Support $10 million per year mandatory
funding of this essential program.
LOSS: Included in the Senate farm bill, this provision was dropped by
the conferees.
Organic Research Program Adopt the Organic Research Program in the
Senate bill that would provide federal funds for
research on production practices that protect land and water resources
and help producers access growing markets. - $45
million total
LOSS and WIN: The farm bill will not establish the Organic Research
Program but we did win funding for the Organic
Research Initiative which will include organic breeding, marketing, and
policy research as priority areas within USDA
Research, Education and Economics programs make available $3 million
(mandatory) annually for grants.
EQIP (Environmental Quality Incentives Program) Issues surrounding this
program were not included on our list of
issues created back in February because the battle to maintain its
integrity and keep it from becoming a major subsidy for the
biggest factory livestock production operations was lost in the House
and Senate. In the end, hard work throughout the
movement kept the program from becoming a complete giveaway with no
effective limitation on payments. EQIP now has a
$450,000 per producer payment limit over life of the bill (6 years).
This is obscenely high, but the movement fought an
attempt by the conferees to effectively remove limits whereby some large
operations would be able to capture more than $1
million in EQIP dollars to subsidize their waste management costs. Our
position is that if big industry insists on further
concentrating livestock production and producing animals in massive
confinement operations, they should pick up the tab for
meeting environmental standards not the taxpayer.