June 28, 2001, Thursday
CAPITOL HILL HEARING TESTIMONY
COMMITTEE: SENATE AGRICULTURE, NUTRITION AND FORESTRY

TESTIMONY-BY: TOM HARKIN (D-IA), SENATOR/CHAIRMAN,
IOWA

JUNE 28, 2001
STATEMENT OF TOM HARKIN (D-IA), SENATOR/CHAIRMAN, IOWA
COMMITTEE ON AGRICULTURE, NUTRITION AND FORESTRY
HEARING ON THE NEXT FARM BILL

"I would like to welcome this morning my colleagues, as well as our witnesses and members of the audience. In particular, I want to thank Senator Lugar for his courtesy and consideration during the time he served as Chairman. I look forward to continuing the same type of cooperative working relationship we have thus far enjoyed.

"As we work to formulate and draft a new farm bill, we must keep in mind that it is one of the very most important pieces of legislation we deal with. The farm bill is, of course, critically important to farm and ranch families, but also to the well-being of all Americans, whether they are in rural or urban areas. The bill covers a wide range of topics, from the farm programs, to conservation, agricultural trade, research, nutrition and rural economic development, to name only some of them.

"Today's hearing is part of what will be a busy schedule of hearings over the next several weeks. In these hearings we will have an opportunity to cover in more depth the many issues in the various parts of a comprehensive farm bill. Because the farm bill is so important to all of our nation, we need a comprehensive measure.

"Some of us on the Committee have been through a number of farm bills; others have yet to endure their first. During my career in Congress, I have been involved in the writing of five farm bills, starting with the 1977 bill, on through 1981, 1985, 1990 and 1996. In may ways, the fundamental challenges and problems are similar from year to year, but our understanding and our approaches change over time.

"We must keep in mind that our responsibility is to write a farm bill that will look ahead, rather than try to fix the problems or settle the issues of the past. Without a doubt, the new farm bill must recognize 21st Century realities and the fact we live in an increasingly competitive global food and agricultural system. However, at the same time, I believe we are also seeing around the world a deepening appreciation of the value of farms, ranches and local communities - and the critical need to promote their survival and prosperity.

"Fundamentally, we must seek to help agricultural producers earn a better return and a better share of the consumer dollar in the market. That applies to corn, soybean, wheat, cotton and rice producers, just as it does to pork, beef, dairy, poultry or specialty crop producers. We also must help rural communities share in the economic growth, job creation and prosperity that our nation, in general, has enjoyed over the years.

"In short, we need to keep what has worked in Freedom to Farm and improve what has not worked. The planting flexibility and increased support for conservation were successes. The bill's income protection was not. So we need to improve the system of farm income protection in the next farm bill.

"To be sure, the large amounts of cash assistance to agriculture in recent years have been critical to the survival of thousands of farms and ranches across America. I worked hard to obtain that assistance. Yet we all know that this heavy reliance on government payments is not a healthy or sustainable agricultural policy on into the future. Again, we must look to creating opportunities and hope for the future, not just a continuation of the status quo.

"In my view, there is no greater contribution to our society by farmers and ranchers than their age-old stewardship of our natural resources. As we formulate new farm policies for the 21^st Century, conservation should be a crucial part of our work. We must start by adequately funding and strengthening our existing USDA conservation programs, but we can do more.

"I have authored bipartisan legislation, the Conservation Security Act, to support conservation on land in agricultural production. The bill will do so through a totally voluntary program of incentive payments for conservation practices. The more conservation applied to the land, the higher the payments. The program is very flexible and suited to individual farms and ranches and local priorities. It is not top-down or one-size-fits-all. And since it is not based on price or production, it falls within the WTO "Green Box" as not trade distorting. Finally, it helps all regions of the country and all types of producers, including growers of fruits, vegetables and specialty crops.

"On another topic, we have only scratched the surface of developing farm-based sources of renewable energy--ethanol, biodiesel, biomass, wind, methane, hydrogen. Agriculture is not just about food and fiber. Anything we can produce from a barrel of oil, we can also produce on our farms. We do not have to drill for oil in environmentally pristine areas, nor do we have to be at the mercy of foreign oil producers. The potential is huge all around the country: ethanol from grains or biomass of various kinds; biodiesel from soybeans or any kind of oilseeds or even from animal byproducts. I know that we hear the arguments that renewable fuels are too expensive, but I maintain they are not too expensive when we consider all the extra costs of our dependence on fossil fuels - including military costs of protecting foreign oil and the environmental costs of fossil fuels.

"A sound farm economy is essential to healthy rural communities, but it is not, in and of itself, sufficient. We also need to include in the next farm bill policies that will help to improve economic opportunities and the quality of life in rural communities. We must help communities obtain the basic amenities - water, waste water, transportation, health care, education, telecommunications. In addition, we should help them gain access to the capital, the know-how and the markets that will promote economic growth and new jobs. I see tremendous potential for local and farmer-owned value-added businesses - if they receive the help they need.

"Finally, our Committee cannot neglect its responsibility to fight hunger and malnutrition in our country and elsewhere in the world. We must ensure we have a solid system of food assistance in the U.S., and we should do more in developing countries. In particular, I hope we will soon pass the McGovern-Dole legislation to create an international school nutrition program.

"I look forward to the testimony of our witnesses and to working with my colleagues in a bipartisan and collaborative fashion to develop a sound new farm bill."

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