WASHINGTON (AP) The shrinking surplus has
clouded prospects for passage of legislation this year that
would provide tens of billions of dollars annually for crop
subsidies and other farm programs.
Its in serious trouble, said Sen. Kent Conrad,
chairman of the Senate Budget Committee. The North Dakota
Democrat wanted Congress to pass a bill this year to replace
programs that expire in 2002.
Rep. Larry Combest, chairman of the House Agriculture
Committee, said he still hopes to begin House debate next week
on legislation approved by his panel in June. The Texas
Republican acknowledged that the revised budget projections
will make it more difficult to move the bill.
The House committees senior Democrat, Charles Stenholm
of Texas, said the farm bill is dead for the year.
The legislation would spend $168 billion over the next 10
years, including $73.5 billion of the surplus that was
expected in the congressional budget agreement reached in the
spring.
The nonpartisan Congressional Budget Office projected in
August that Social Security surpluses would be drained by $9
billion in the fiscal year ending Sept. 30 and that lawmakers
were within $2 billion of siphoning Social Security funds next
year.
Over the next 10 years, the CBO is forecasting a $3.4
trillion surplus, including Social Security, down from $5.6
trillion in its May forecast.
Farm-state lawmakers worry that the smaller forecast will
force agricultural programs to compete with other spending
priorities of Congress and the White House, including
education and defense, to avoid being seen as using Social
Security funds.
The chairman of the House Budget Committee, Iowa Republican
Jim Nussle, says there still should be plenty of money to go
around.
The Senate is unlikely to move a bill of its own before
next year, said Indiana Sen. Richard Lugar, senior Republican
on the Senate Agriculture Committee.
It doesnt seem to me to be there, Lugar said of
the $168 billion needed for the House bill. Im not sure
it was ever going to be there.
To Lugar, the tighter budget could be a good thing if it
lowers farm spending, which he believes has stimulated excess
production and distorted markets. It may bring more of a
sense of reason to what should be done, he said.
Agriculture Secretary Ann Veneman would not discuss whether
the House should delay or move forward with its bill.
Were still trying to get it done, said John
Feehery, a spokesman for House Speaker Dennis Hastert, R-Ill.
A lot of decisions havent been made yet. This is one of
them.
The legislation has been criticized by a major farm group,
the National Corn Growers Association, which thinks the
spending favors other crops. Environmentalists say it puts too
much money into subsidizing crop production and not enough
into conservation programs. |