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Agricultural News


Ad Hoc Disaster Program Pushed by Blanche Lincoln Included in Jobs Bill

Fri, 12 Feb 2010 4:14:21 CST

A 52-billion dollar bipartisan jobs bill that includes disaster assistance to farmers has been introduced in the U.S. Senate. Senate Ag Committee Chairman Blanche Lincoln says the disaster assistance included in the HIRE jobs bill is based on legislation she and Senator Thad Cochran introduced in November. Direct payments would bridge the gap until 2009 Supplemental Revenue Assistance Program, payments are issued next fall.

Growers of "program" crops - grain, soybeans and cotton - in counties nationwide declared a primary disaster area by USDA in 2009 would be eligible for a disaster payment equal to 90 percent of their yearly Farm Bill Direct Payment provided they suffered at least a 5 percent crop quantity or quality loss. Producers enrolled in the Average Crop Revenue Election or ACRE program would also be eligible to receive the supplemental payments in an amount equal to the reduce Direct Payment they received for the '09 crop year.


In exchange for the assistance, growers would be required to purchase crop insurance coverage for their 2010 crops.


The latest version of Lincoln's disaster aid language, co-sponsored by Mississippi Republican Sens. Thad Cochran and Roger Wicker, also includes $150 million to assist producers of specialty crops, $50 million for livestock, $42 million for first-handlers of cottonseed and $25 million for aquaculture.


In addition, $21 million is set-aside to fund a sugar cane cooperative transportation project in Hawaii, home state of Senate Appropriations Committee Chairman Daniel Inouye, and $75 million would be used to make no-interest loans to poultry producers whose contracts with Pilgrim's Pride were terminated when the chicken processor declared bankruptcy in Dec. 2008.

The bill originally included a one-year extension of the one dollar-a-gallon subsidy for biodiesel. However, this provision has been stripped from the Senate measure by Senate Majority Leader Harry Reid. Reid claims he wants a smaller "jobs" bill that can move quicckly. The stripping of the bioenergy tax credits undermines the work of the Finance Committee on this subject- as Chairman Max Baucus of Montana and his Ranking Member Charles Grassley had agreed to include the biodiesel extension.

The "Jobs" bill is expected to come to the Senate Floor for a vote once Congress resumes work the week of February 22.

Click on the Listen Bar below for more on this proposed set of disaster helps with comments from American Farm Bureau's Tara Smith.


   

Ron Hays offers an overview of the Ag Disaster Provisions with Tara Smith of American Farm Bureau.
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