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Sugar, Conservation Top Items in Farm Law Debate

By Charles Abbott,   News Headlines from 1st Headlines
October 4, 2001
 
WASHINGTON (Reuters) - U.S. farm subsidies would get a new purpose -- land stewardship -- under a proposal expected to be the centerpiece of House of Representatives debate on Wednesday on a $73 billion overhaul of agriculture spending.

Backers said they expected a close vote on their amendment to take $19 billion now earmarked for traditional crop subsidies and use it for a vast expansion of land, water and wildlife conservation.

The degree to which spending on conservation should be expanded has become the major dispute as Congress considers the farm bill, overshadowing calls for a stronger farm safety net after four years of low grain prices.

A fight also was expected over an amendment to reduce sugar supports by 16 percent.

Written every few years, farm bills set federal policy on crop subsidies, public nutrition, exports, conservation, food safety and agricultural research programs. The Senate has yet to finish writing its version of a farm bill.

"We think this policy change is long overdue," said Wisconsin Democrat Rep. Ron Kind, co-sponsor of the conservation proposal. "We can provide economic assistance to producers ... but we also derive certain societal benefits."

House Agriculture Committee Chairman Larry Combest, Texas Republican, has said he would pull the bill from debate if the conservation amendment was adopted. It would use 40 percent of the $45 billion allocated for higher grain, cotton and soybean subsidies.

The bill also would send more money automatically to growers if returns from crop sales and government supports fell below the "target" prices selected by Congress. It would keep farm income at the near-record levels of the past few years, when Congress enacted $30.5 billion in farm bailouts.

Combest said the so-called counter-cyclical payments would "eliminate the need for ad-hoc economic assistance."

He also pointed to the $16 billion increase in conservation spending that was part of the committee bill, roughly an 80 percent increase from current funding.

Kind and co-sponsor Sherwood Boehlert, New York Republican, would boost conservation spending to an average $5.4 billion a year, roughly triple the current level.

Both approaches would expand the long-term Conservation Reserve to idle fragile land, the Wetlands Reserve to preserve wetlands, the Environmental Quality Incentives Program to share the cost of reducing manure and pesticide runoff, the Farmland Protection Program to buy easements to prevent sprawl and the Wildlife Habitat Incentive Program to share the cost of improving wildlife cover.

But in each case, Boehlert and Kind would spend more money.

Both proposals called for a Grasslands Reserve, the committee at two million acres and Boehlert-Kind at three million acres. Boehlert-Kind would create a Watershed Quality Incentives Program to protect wellheads and drinking-water supplies.

One innovative provision -- payments to farmers for practicing conservation on "working" lands -- was deleted as the Boehlert-Kind amendment was finalized. Michigan Democrat John Dingell, a supporter, said "we had a certain amount of money with which we could deal," so some items were cut.

"Green" payments on working lands are a pet idea of Senate Agriculture Committee Chairman Tom Harkin, Iowa Democrat. His committee was not expected to begin work on its farm bill before the end of October.