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AGRICULTURAL POLICY

Congress has been debating reauthorization of the Farm Bill which is intended to set agricultural policy for the next five years.  Competing versions passed by the House of Representatives and the Senate continue to be ironed out in a process which has led to several emergency extensions of the existing law.  The current legislative wrangling is reminiscent of past debates which points to systemic flaws in the legislative process when it comes to determining the agricultural policy for the United States.  While I favor the House version of the new Farm Bill, primarily because the Senate has sought to include numerous extraneous provisions without addressing how to pay for them, I believe the following proposals should guide future debates.

Congress should establish clear objectives for what the country seeks to accomplish with its agricultural policies.  This should lead to fewer delays when the next Agricultural Bill comes up for renewal.

Congress should also consider extending the five year renewal provision of the Farm Bill.  Farmers and food producers require regulatory certainty so they may more effectively determine how many acres of each crop to plant.

As a fiscal conservative, one of my long term goals would be to ensure that actual market forces are allowed to operate to create stable demand and supply.    Currently, there is significant volatility in commodity prices and we need to be sure that proper oversight of commodity futures trading is taking place so we don’t end up with food shortages or excess supply which would cause a drastic drop in farm income.

Commodity subsidies should be targeted to family owned farms.  Furthermore, we must work to structure the farm payments system to moderate against volatility in the marketplace while ensuring that farming remains a productive livelihood.

The United States must ensure that when we negotiate future free trade agreements our farmers and agribusinesses are competing on a level playing field, especially, when it comes to labor and environmental regulations.

Legislators at the federal level also have an obligation to educate Americans who are concerned about why food prices are rising faster than inflation.   As your Congressman in the First District of Kansas, I believe one of my responsibilities will be to make sure people know that higher prices for wheat, corn and other staples are due mainly to the higher fuel costs (diesel in particular) associated with bringing food to the grocery shelves.

Congress should continue to fund research into bio-fuels such as corn-based ethanol.  While ethanol lacks the energy content (BTUs) of traditional fossil fuels, it is a renewable resource and a way to wean ourselves off foreign oil.  Congress should also encourage research into cellulosic ethanol sources such as switch grass which requires less water and fertilizer and addresses concerns that ethanol production is leading to higher food prices.

Other concerns include:   making sure that agricultural lending institutions continue to flourish and that farmers are able to access affordable credit; creating an exception to the Estate Tax for family farmers who have significant assets associated with acreage and machinery and desire to pass on their farms to their children.  

 

Copyright © 2008 Bordonaro for Congress.
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