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House passes farm bill with veto-proof majority
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By a strong, veto-proof majority, the U.S. House on Wednesday passed a $290 billion farm bill that increases subsidies for farmers, provides incentives for cellulosic ethanol, requires country-of-origin labeling for meat and contains other provisions seen as important to South Dakota.
The bill also provides more money for food stamps for the poor amid rising grocery prices while sprinkling in pet projects that lawmakers can take home to voters this election year.
The 318-106 vote for the five-year bill gave supporters 28 more votes than they need to override a promised veto from President Bush, who has complained that the measure is too expensive and generous to farmers who are enjoying record earnings.
The Senate plans to vote on the bill today. Rejecting a veto by Bush would be even easier in the Senate because farm states have greater representation than they do in the House. Congress has overridden only one veto, on a water projects bill, during Bush's two terms.
Rep. Stephanie Herseth Sandlin, D-S.D., praised the bill despite the long delay in passing it. "Although the final bill doesn't include everything that we would like, I believe that the result of this long process ultimately does right by our farm and ranch families and rural communities in South Dakota," she said.
Sen. John Thune, R-S.D., said veto overrides in the Senate and House would succeed unless the administration actively campaigns against it.
"This bill makes great strides in providing disaster relief, advancing biofuels production, making adequate conservation tools available -- and not just preserving but improving the farm safety net," Thune said. He said the farm bill would boost South Dakota's ethanol development, particularly cellulosic ethanol, expanding the potential to produce ethanol in South Dakota from "border to border."
Sen. Tim Johnson, D-S.D., said the new farm bill isn't perfect and lacks meaningful payment limits. "However, it does contain some very important provisions that are a solid step in the right direction for our rural communities," Johnson said.
Thune and Herseth Sandlin, members of their chambers' respective ag committees, helped craft the farm bill. Johnson is a member of the Senate Agriculture Appropriations Subcommittee.
About two-thirds of the bill would pay for nutrition programs such as food stamps and emergency food aid for the needy. An additional $40 billion is for farm subsidies, and almost $30 billion would go to farmers to idle their land and to other environmental programs.
This measure is not perfect, said the chairman of the House Agriculture Committee, who believes it is balanced. "We've put a bill together that I think addresses what people are concerned about in this country," Rep. Collin Peterson, D-Minn., said.
House Speaker Nancy Pelosi, D-Calif., said the measure "will drastically increase nutrition initiatives that will help 38 million American families put healthy food on their table."
Only 91 Republicans voted against the bill. Bush was abandoned by 100 GOP lawmakers one day after the party lost its third consecutive special election this year for filling House vacancies. All three districts -- one each in Illinois, Louisiana and Mississippi -- include rural farm areas and now have Democrats in seats long held by Republicans.
Some Republicans criticized the mostly bipartisan and popular bill because of a few home-state pet causes, including tax breaks for Kentucky racehorse owners and additional aid for salmon fishermen in the Pacific Northwest.
Agriculture Secretary Ed Schafer renewed Bush's veto threat after the vote. "I encourage members of Congress on both sides of the aisle to support his stand for fiscal discipline and the best interests of America's farmers and ranchers," Schafer said.
Congressional negotiators tried for weeks to come closer to the White House on the amount of money paid to wealthy farmers -- one of the chief sticking points with the administration.
The legislation would make small cuts to direct payments, which are distributed to some farmers no matter how much they grow. The farm bill also would eliminate some federal payments to individuals with more than $750,000 in annual farm income -- or married farmers who make more than $1.5 million.
Individuals who make more than $500,000 or couples who make more than $1 million jointly in nonfarm income also would not eligible for subsidies.
Under current law, there is no income limit for farmers, and married couples who make less than one-fourth of their income from farming will not receive subsidies if their joint income exceeds $5 million.
The administration originally proposed a cap for those who make more than $200,000 in annual gross income but later indicated it could accept a limit of $500,000. Previously, negotiators were considering a $950,000 income cap on farm income.
The Senate Agriculture Committee put the bill's final cost at $290 billion over five years, based on figures compiled this week by congressional budget experts. The bill had earlier been estimated at around $300 billion.
On the Net:
Information on the bill, HR2419, can be found at http://thomas.loc.gov
What's in the House farm bill?
The farm bill passed by the House on Wednesday contains several provisions important to South Dakota, according to South Dakota's congressional delegation.
They include:
-- A permanent $3.8 billion disaster program.
-- The Biofuels Innovation Program to provide incentives for farmers to grow feedstocks for cellulosic ethanol.
-- Subsidies to farmers when crop prices fall below certain levels, as well as direct payments, and a revenue guarantee program.
-- A delay in closing Farm Service Agency offices in South Dakota.
-- Mandatory country-of-origin labeling for beef, lamb, pork, chicken, goat, fruits, vegetables and nuts. The provision allows farmers and ranchers to use records maintained in their normal course of business to document origins of live animals.
-- An additional $4 billion and expanded acreage for conservation programs, including the Grassland Reserve Program and Wetlands Reserve Program, a Conservation Stewardship Program and the Environmental Quality Incentives Program.
However, conferees gutted a "sodsaver" provision aimed at eliminating federal incentives for plowing up virgin prairie. The South Dakota congressional delegation backed the stronger measure.
-- Reauthorization of the Sun Grant Initiative, a renewable fuels research project coordinated by South Dakota State University.
-- Authorization of $5 million per year to buy and distribute traditional, locally-grown food produced by Native American farmers and ranchers.
-- Funding of $10 million per year to expand the hunting walk-in program on privately owned land in South Dakota and other states.
-- Loans and other funding to encourage beginning farmers and ranchers.
-- A program to help ag producers and rural small businesses to buy renewable energy systems and to make energy efficiency improvements.
The final bill does not include a ban on packer ownership of livestock, which all of South Dakota's congressional delegation supported. Other livestock competition provisions remain in the bill.


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