M E M O R A N D U M
TO: Reporters and Editors
FR: Beth Levine, for Senator Grassley
202-224-6197
RE: Pigford II Funding Agreement Clears Senate
DA: Friday, November 19, 2010
Senator Chuck Grassley released the following statement after legislation to fund the Pigford II settlement cleared the United States Senate. The Claims Resolution Act of 2010 resolves claims against the government related to the Cobell class action lawsuit, the Pigford class action lawsuit, as well as tribal water rights claims for the White Mountain Apache, Crow, Taos Pueblo, and Aamodt Tribes. The legislation is fully paid for.
Grassley has led the effort to ensure fair treatment for African American farmers who were denied the opportunity have their case heard for the Pigford v. Glickman settlement, which ended a discrimination lawsuit between African American farmers and the U.S. Department of Agriculture.
Approximately 75,000 black farmers filed their claims of discrimination through the Pigford consent decree process past the deadline for their claims to be evaluated on the merits. As a result, thousands of victims of discrimination continue to be denied an opportunity even to have their claims heard.
Grassley worked to put in place a process where these African American farmers can have the opportunity to plead their case based on the merits. He introduced legislation in 2007 and pressed for it to be included in the 2008 farm bill.
The Pigford II settlement includes several substantial changes from Pigford I in order to better fight fraud. Changes have been made to the settlement agreement that will enhance the Department’s ability to fight fraud including requiring adjudicators to be a truly neutral party; allowing that neutral adjudicator to ask the claimant for additional documentation if he or she suspects any fraud; requiring the claimants’ attorneys to certify that there is evidentiary support for the claims; and requiring the Office of Inspector General and the Government Accountability Office to evaluate the Department’s internal controls and audit the process in adjudicating the claims.
“The Department of Agriculture has admitted that discrimination occurred. We are obligated to do our best in getting those who deserve it, some relief. This is a chance for people who believe they were wronged to show their case before a neutral party and have it judged on the merits. It’s time to give justice to these claimants who were previously left out, and move forward into a new era of civil rights at the Department of Agriculture.”
Senator Chuck Grassley
Statement for the Record
November 19, 2010
Thank you Mr. President.
I want to first start off by thanking my Senate colleagues and in particular the Senate Agriculture Committee for addressing a new cause of action in Federal court for those African American farmers who may have been discriminated against and who were denied entry in the Pigford v. Glickman Consent Decree. The Food, Conservation, and Energy Act of 2008 included a provision titled Determination on Merits of Pigford Claims. It gave these farmers a chance to have their claims heard.
For those that don’t know, in 1997 a lawsuit was filed in the United States District Court for the District of Columbia against the United States Department of Agriculture (USDA), Pigford v. Glickman, alleging that the USDA had violated the Equal Credit Opportunity Act and the Administrative Procedure Act by maintaining a pattern and practice of discrimination against African American farmers. Such pattern and practice delayed, denied, or otherwise frustrated the efforts of African American farmers to obtain loan assistance and to engage in the vocation of farming.
Because of the persistent practice of discrimination, Congress, in October, 1998, passed a law tolling the statute of limitations under the Equal Credit Opportunity Act for an additional two years for African American farmers who had been discriminated against between 1981 and 1996 and had filed complaints with USDA prior to July 1, 1997, so that they could file a civil action against USDA.
On April 14, 1999, the United States District Court for the District of Columbia approved a settlement and assigned four entities to facilitate implementation of the claims resolution process set out in the Consent Decree. To participate in this process, eligible farmers initially were required to submit completed claims packages to the Consent Decree Facilitator by October 12, 1999. This deadline was subsequently extended by the Court to September 15, 2000, upon a showing of “extraordinary circumstances beyond [the claimant’s] control.”
Approximately 61,000 petitions were filed after the original October 12, 1999, deadline, but on or before the September 15, 2000, “late-filing” deadline. Of these, only around 2,500 were permitted to proceed to a determination on the merits. Over 25,000 additional petitions were filed after the September 15, 2000 late-filing deadline and before the May 22, 2008 enactment of the 2008 Farm Bill.
On November 18, 2004, the Subcommittee on the Constitution of the Committee on the Judiciary of the House of Representatives received sworn testimony highlighting the inadequate notice provided to those who had viable claims of discrimination against the USDA of the claims resolution process set out in the Consent Decree. Because of this inadequate notice, many potential claimants were denied participation in the Pigford claims resolution process as “late-filers.”
Secretary Vilsack has reached a settlement agreement with the claimants who filed claims after the deadline set by the court who were denied a determination of the merits of their Pigford claims. The Government has an obligation to fund this settlement which is subject to court approval and Congress must act to provide relief for these claimants quickly.
Today we have the opportunity to make right these past wrongs by the Department and give each individual claimant the right to tell their side of the story.
This second Pigford round is not the same as the claims adjudicated in Pigford I. We’ve made changes to the settlement agreement that will enhance the Department’s ability to fight fraud. We require the adjudicators to be a truly neutral party. We allow that neutral adjudicator to ask the claimant for additional documentation if he or she suspects any fraud. We require the claimants’ attorneys to certify that there is evidentiary support for the claims. And we require the Office of Inspector General and the Government Accountability Office to evaluate the Department’s internal controls and audit the process in adjudicating the claims.
I also want to thank John Boyd, President of the National Black Farmers Association (NBFA), for his help in getting us where we are today. Without his dedication to this issue, I don’t think we’d be passing this legislation today. My hope is that the Department will work with groups like NBFA to conduct outreach to the black community and claimants. No one wants to see fraud in the administration of these claims and stakeholder groups such as John’s can be a valuable resource to getting that message out.
All these steps will help deter fraud and better protect taxpayer dollars.
Other provisions are included in this package including the Cobell settlement and four Native American tribal water agreements. In a fiscally responsible manner, we’ve fully offset the entire package.
The farm bill we passed two years ago does one thing right. It focuses a considerable amount of resources on new and beginning farmers and ranchers. Well, many of the Pigford claimants were in that same boat 20 years ago. It’s time to rectify that. We know USDA has admitted that the discrimination occurred, and now we are obligated to do our best in getting those that deserve it, some relief. It’s time to make these claimants right and move forward into a new era of civil rights at the Department of Agriculture.
Thank you Mr. President. I yield the floor.