What's Wrong With the Senate Farm Bill?
Ivan Potter, Mary Potter, Brian Depew
Rural development funds have been decreasing from 1/3 to ½ since 2003. This bill accelerates the declines. The giant scissors are out and unless the bill is changed, rural America is about to get sheared. According to Brian Depew, Acting Executive Director of the Center for Rural Studies: That means that over 30,000 small towns and counties in rural America stand to lose millions of badly needed dollars. Depew says that “The Rural Microentrepreneur Assistance Program will likely die. It provides loans, training, and business planning assistance for businesses with up to 10 employees. There will be more cuts in Value Added Producer Grants for family farmers and ranchers adding new enterprises.” Ag trade will also take a hit. Funds have been reduced to 3.2 billion to be spent over ten years. Kentucky has a direct stake in the programs to be cut. Depew’s research shows that “three Kentucky groups received loan capital to finance rural small business start up and grant funds to support training, business plan assistance, etc. with rural small businesses. • Community Ventures Corporation, 2010 ($500,000 in loan capital, $105,000 in grant funds) The funding came from the Rural Microentrepeneur Assistance Program. In the last farm bill that program received ~ $4 million per year in mandatory funds. The current Senate bill includes no money for the program. All of these groups would lose future support for rural small business development, if it passes as is.” According to Depew, “As the bill currently stands, small towns will face longer waits and get less assistance in upgrading water and sewer systems. That is of particular concern to communities facing EPA requirements to upgrade their systems.” One of the few winners as the bill is currently written is crop insurance. 94.6 billion has been set aside for the program and for those with claims, their deductibles will be reimbursed 100%. There are moves to amend the bill. Senator Sherrod Brown (D- Ohio Senator Sherrod Brown (D-OH), along with other interested Senators, will offer an amendment when the Farm Bill is debated by the full Senate (as soon as this week possibly). The amendment will restore funding to crucial rural development and beginning and socially disadvantaged farmer programs, including: • Value-Added Producer Grants - Helps farmers start value added businesses and cooperatives. Senator Mitch McConnell serves on three of the five ag subcommittees: Natural Resources and Environment; McConnell, as GOP leader in the Senate, is in position to restore funding to the farm bill in areas that will benefit small farmers and rural communities. What’s wrong with the Farm Bill? The Senate forgot rural development, the poor, small farmers and innovative programming in agriculture. Or did it?
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