Senators Inform Pelosi of Senate Legislation to Limit Farm Payments


           WASHINGTON – Senator Chuck Grassley, along with Senator Byron Dorgan, today sent a letter to Speaker of the House Nancy Pelosi asking her to consider legislation they have authored in the Senate that would place a hard cap on the amount of farm payments an individual can receive.

 

 

            The letter comes following recent news stories which have indicated that Pelosi and the Chairman of the House Agriculture Committee had not reached an agreement on payment limits language to include in the House Farm Bill. 

 

           

 

            “The bottom line is that under the current budget situation we cannot continue justifying to the American public, and the urban members of the House, the high amount of subsidies going to only the largest farms,” Grassley said.  “We’re leaving those who need the most help empty-handed.”

 

 

            Grassley and Dorgan introduced legislation in May.  The bill would set a limit of $250,000 for farm payments in an attempt to better target farm program payments to family farmers.  Specifically, the bill caps direct payments at $20,000; counter-cyclical payments at $30,000; and marketing loan gains (including forfeitures), loan deficiency payments, and commodity certificates at $75,000.

 

 

            Here’s a copy of the letter.

 

 

                                                            July 17, 2007

 

 

 

The Honorable Nancy Pelosi

 

Speaker

 

Unites States House of Representatives

 

H-232

 

Washington, DC20515

 

 

Dear Madam Speaker:

 

 

We are asking that you work to include farm payment limitation language in the House version of the 2007 farm bill.  You have been instrumental in your past votes and current stand that 10 percent of farmers should not receive 72 percent of benefits from the farm program.

 

 

This year we are faced with budget shortfalls and the need to find offsets.  The Dorgan-Grassley bill, S.1486 would save around $700 million over five years.  Our language would achieve the important goal of placing a hard cap on farm payments and allow these saving to be applied to other necessary programs. 

 

 

We admire your strong position on this important issue and look forward to working with you.

 

 

                                                            Sincerely,

 

 

 

Byron Dorgan                                                                           Chuck Grassley

 

United States Senator                                                   United States Senator