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For Immediate Release, July 19, 2000 / Contact: Washington NFU Office, Clarence White, 202-314-3191, [email protected]

WASHINGTON, D.C. (July 19, 2000)-The National Farmers Union (NFU) today reacted to legislation introduced by Rep. John Boehner, R-Ohio, and Sen. Richard Lugar, R-Ind., that seeks to address shortcomings in federal farm policy.

"We appreciate Rep. Boehner and Sen. Lugar's recognition that Freedom to Farm is not working," said NFU President Leland Swenson. "We are disappointed this legislation does not address the biggest problem facing our nation's farmers and ranchers: low prices. It does not promote rural development. It does not promote fair competition. It leaves intact a Freedom to Farm law that is the true obstacle to providing prosperity to family farmers and ranchers."

The bill, called the Rural America Prosperity Act (RAPA), proposes to "fulfill the promises of Freedom to Farm" through a program of tax breaks, income investment risk management tools, regulatory exemptions and trade edicts. It maintains the basic policy of the 1996 farm legislation that has led to the current price crisis, escalating agriculture industry concentration, and the economic depletion of America's rural areas.

"We agree with the bill's sponsors that rural America has missed out on the prosperity enjoyed by other sectors of the economy," said Swenson. "We think that some provisions of this bill could provide needed assistance. However, without significant changes that influence price, competitive markets and a safety net, these proposals are false solutions to the real problems facing the family-sized operation."

Farmers Union advocates policy change that repeals Freedom to Farm, ensures open and competitive markets, strengthens and enforces antitrust laws, and establishes fair trade.: