The measure, the fourth farm bailout by Congress in as many years, "is necessary for our farmers and ranchers," Bush said.

"This is I guess the first bill signing in Crawford, Texas," Bush said as he spoke to an invited audience of several dozen farmers and friends at his ranch near here.

"Its a meaningful piece of legislation for this part of the country because a lot of people make their living on the farm and on the ranch," Bush said. "Farm families represent the best of America."

The Senate gave final congressional approval to the bill last week after Democrats failed to break a Republican filibuster over a larger, $7.5 billion aid bill. Bush threatened to veto the fatter bill.

U.S. Rep. Tom Osborne of Nebraska said he had voted for a larger, $6.5 billion package in the House that would have kept payments about the same as last year. He said he believes that Bush would have signed on to a $6.5 billion package, but the $7.5 billion was too high. The package signed by Bush makes the payments about 85 percent of last years.

"That all came mainly because of political wrangling, and thats really unfortunate," said Osborne, who was in Scottsbluff Monday. "This package wasnt what I voted for."

The measure Bush signed should boost net farm income to $47.9 billion, the highest level since 1997.

Grain and cotton farmers, who receive the bulk of the special assistance, will get smaller government checks than they saw under last years bailout. A farmer who got $40,000 in 2000 should receive less than $34,000 this year.

Witnesses to the signing sat outside on hay bales arranged in rows.

Some of the farmers invited werent sure what impact the aid bill would have. But they didnt seem discouraged that Bush had sought the smaller figure.

"This will most definitely help," said Tommy Garcia, who mostly grows citrus. "Its better than zero," said Joe Aguilar, who grows vegetables, cotton and grain.