Volume XCVI, NO. 5
Huron, SD
May/June 2013
South Dakota
Union Farmer A PUBLICATION OF SOUTH DAKOTA FARMERS UNION Lentsch Attends ‘Planting with Producers’ Event
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SDFU State Office Taking Shape
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Quiz Bowl Semifinals Held
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Senate, House Ag committees pass farm bill Before taking a weeklong recess, Congress will be back to work the first week of June and the farm bill will be near the top of the list of its priorities. After letting the 2008 farm bill expire, then a last-minute extension put into place at the end of last year, the House and Senate look poised to actually pass the farm bill this time. And it could be soon. But that doesn’t mean there won’t be a lot of debate over the next several days and maybe weeks. The Senate Agriculture Committee passed its version of the farm bill by a 15-5 vote May 14. Sen. John Thune, R-S.D., voted against the farm bill in committee. The Senate’s version spends roughly $500 billion over the next decade, but saves about $23 billion over the previous farm bill. The bill eliminates direct payments and strengthens federal crop insurance. The House Agriculture Committee followed suit the next day by passing its version of the legislation by a 36-10 vote. Rep. Kristi Noem, RS.D., voted for the legislation.
“NFU is pleased that the 2013 Farm Bill has reached the Senate floor,” said National Farmers Union President Roger Johnson. “We are happy to see language being considered that will provide a safety net for family farmers and ranchers, as well as a robust crop insurance program, mandatory energy funding, streamlined conservation programs, additional protections for livestock producers and nutrition assistance for vulnerable people.” The House and Senate versions of the farm bill are fairly similar. But there are, of course, some differences that will have to be worked out in the conference committee once both chambers pass their versions.
The major provisions included in both bills include replacing direct, counter-cyclical and Average Crop Revenue Election (ACRE) programs with a revenue-based income protection program. Marketing loan programs for all program crops would continue under both versions, along with the continuation of the Conservation Reserve Program (CRP) with a reduced acreage enrollment limit. They both increase funding for the Supplemental Coverage Option crop insurance program. As far as the budget impacts, both versions decrease spending for commodity, conservation and nutrition programs while increasing funding for crop insurance programs. A major difference between the two is spending on the Supplemental Nutrition Assistance Program (SNAP). The House version would cut nutrition programs by $20.5 billion while the Senate verSee FARM BILL Page 10
U.S. Department of Ag issues final COOL rule
It was originally passed in the 2002 farm bill, an idea that would require retailers to provide a label that told consumers what country the food they were buying came from. After more than a decade after the law was originally passed, the U.S. Department of Agriculture in May of this year issued a final rule on country-oforigin labeling (COOL). USDA’s final rule
will require labels for certain foods, particularly muscle cuts of meat, to include the countries in which the animal was born, raised and slaughtered. Legal analysis has found that this will satisfy the World Trade Organization’s requirements and meets the compliance deadline of May 23, 2013. The WTO came into the debate over the law after Canada launched a challenge to COOL. The Canadian government argued before the WTO that the COOL requirements worked to the detriment of the meat industry in both countries by increasing costs, lowering processing efficiency and distorting trade between the U.S. and Canada. Canada won. But the final rule by the USDA is expected to hold up to any appeal.
U.S. Sen. Tim Johnson, D-S.D., who has worked for over a decade toward implementation of COOL since he authored the provision in the 2002 farm bill, applauded the USDA’s final rule to improve COOL. “USDA’s ruling is a victory for American consumers and ag producers,” Johnson said. “A recent survey has found that an overwhelming majority of consumers want to know where their food was produced. USDA has responded, and now consumers will have access to more accurate information about the origin of their food.” South Dakota Farmers Union President Doug Sombke said Sen. Johnson deserves a lot of credit
See KEEP COOL Page 11