NASDA News--June 16, 2009

LAWMAKERS APPROVE FY10 AGRICULTURE SPENDING BILL
Published: June 16, 2009

The House Appropriations Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies approved a FY 2010 $22.9 billion spending bill last week. The measure authorizes $20.4 billion in discretionary spending for USDA, which is a $2.3 billion increase over the FY09 appropriations bill, but $78 million less than the Administration's budget request.

One of the most significant actions came when the panel eliminated funding for USDA's National Animal Identification System (NAIS). Subcommittee Chairman Rose DeLauro (D-CT) said further investments in the current NAIS are unwarranted "until USDA finishes its multi-city NAIS listening tour and provides details on how it will implement an effective ID system."

The bill also proposes over $650 million in spending reductions. Nutrition programs, such as the Women, Infants and Children (WIC) nutrition program, FDA and international food aid got the highest percentage of budget increases. The Women, Infants and Children program is provided with $7.5 billion, ten percent higher than this year. The bill provides FDA with $2.3 billion for the next fiscal year, including user fees, and is almost a $7 million increase over FY09 spending. Of this increase, $134 million is designated for the foods center, $44 million for the drugs center and $35 million for the medical devices center. The international food aid program received $1.7 billion. Of that amount, $464 million would be provided to the P.L. 480 Title II Grants Program.

The USDA spending would fully fund the Food Safety and Inspection Service (FSIS). USDA conservation programs would be provided $980 million. The panel rejected the Administration's proposals for $73 million in spending cuts and more money will be provided for the Wetlands Reserve Program (WRP), the Farm and Ranch Lands Protection Program, and the Wildlife Habitat Incentives Program (WHIP). Rural Development programs are provided $2.8 billion. The Commodity Futures Trading Commission received the full amount requested at $160 million. The full Appropriations Committee will mark up the bill on June 18 and it is scheduled for debate by the full House in early July. (Contact: Kasey Miller or David Hickey)

HOUSE AGRICULTURE COMMITTEE REVIEWS CLIMATE CHANGE LEGISLATION
Published: June 16, 2009

The House Agriculture Committee held a hearing on June 11 to review the American Clean Energy and Security Act, major climate change legislation which was recently passed by the House Energy and Commerce Committee. Agriculture Secretary Tom Vilsack testified at the hearing, along with representatives from farm groups, commodity associations and cooperatives.

The hearing lasted almost seven hours which reflected the concerns many farm state lawmakers have about the legislation. Both democrats and republicans asked Vilsack to fully consider the potential impacts on agriculture as well as opportunities under a carbon offset program. A number of lawmakers urged Vilsack to postpone legislation until the impacts on production agriculture are better understood and said that any final bill should provide USDA–not the Environmental Protection Agency (EPA)–with the authority to address the needs and programs for farmers.

"Many Members of the House Agriculture Committee have serious concerns about how climate change legislation being considered in Congress will affect the people living in their districts," Chairman Collin Peterson remarked. "This hearing has helped us better understand what is being proposed and what can be done to improve the legislation."

For further information regarding the hearing, including testimony provided by the witnesses, please visit the House Agriculture Committee website: http://agriculture.house.gov/hearings/index.html. (Contact: David Hickey)

MAJOR FOOD SAFETY BILL MOVES FORWARD
Published: June 16, 2009

The Energy and Commerce Subcommittee on Health last week marked up a major food safety bill (H.R. 2749, the 2009 Food Safety Enhancement Act). The legislation will give new authority and resources to the Food and Drug Administration (FDA) to oversee and monitor the nation's food supply. NASDA and its affiliate organization, the Association of Food and Drug Officials (AFDO) are working with committee staff to address state needs and concerns.

Seven amendments were offered during the session, but none were accepted. Rep. Matheson (D-UT) expressed support for including provisions on the use of antibiotics in livestock and the possible effects on disease resistance in humans. Two similar amendments were offered and subsequently withdrawn to address FDA's role in the oversight of livestock operations. Since growers are already monitored by USDA and at the state level, several lawmakers believed there would be an overlap of responsibilities. The subcommittee will continue to work on this language at the full committee level. No agreement was reached on the bill's proposed civil monetary penalties and will be addressed during full committee consideration. The full Energy and Commerce Committee is expected to mark-up the legislation on June 17. (Contact: Bob Ehart or Sean McCarver)

LAWMAKERS REVIEW RURAL DEVELOPMENT PROGRAMS
Published: June 16, 2009

The House Agriculture Subcommittee on Rural Development, Biotechnology, Specialty Crops, and Foreign Agriculture, chaired by Rep. Mike McIntyre (D-NC), last week reviewed USDA rural development programs and the status of American Recovery and Reinvestment Act (economic stimulus) funds.

The subcommittee heard testimony from two panels of witnesses, including USDA Under Secretary for Rural Development Dallas Tonsager, and Phyllis Fong, Office of the Inspector General. The time-conscious American Recovery and Reinvestment Act authorized $4.36 billion for rural development loan and grant programs. Tonsager said USDA's plans for the funds include high speed broadband infrastructure, construction or improvement of rural water and waste disposal systems, financing rural family homes, building critical community facilities, and funding new rural business ventures. Other panelists representing rural communities recommended ways for the Recovery Act funds to reach rural communities quicker, more efficiently, and through a simpler process. (Contact: Kasey Miller or David Hickey)

STATE OF FARM CREDIT ADDRESSED IN HOUSE HEARING
Published: June 16, 2009

The House Agriculture Subcommittee on Conservation, Credit, Energy, and Research, chaired by Congressman Tim Holden (D-PA), reviewed and discussed the condition of the Farm Credit System in a hearing last week. The panel reviewed current conditions, along with challenges in the foreseeable future.

Members of the Subcommittee heard testimony from two panels. Lawmakers raised questions ranging from current farm credit conditions to how upcoming legislation, notably the Waxman-Markey climate change bill, will affect the Farm Credit System. "Reports from the Federal Reserve and other sources indicate there is a tightening of credit for farmers and ranchers around the country," one of the witnesses testified. "Even with credit becoming more difficult to acquire, demand for direct operating, direct ownership, and guaranteed operating loans continues to increase, especially from beginning and young farmers and ranchers." Witness' opening statements and hearing documents can be found on the House Agriculture Committee website at: http://agriculture.house.gov/hearings/statements.html. (Contact: David Hickey or Austin Miles)

ENVIRONMENT BRIEFS
Published: June 16, 2009

NPDES CASE. The Sixth Circuit Court of Appeals granted NASDA's motion to file a letter as amicus curiae in The National Cotton Council v. U.S. Environmental Protection Agency. NASDA has joined with a broad coalition of agricultural organizations in requesting a rehearing of the case that, if allowed to stand, would require National Pollution Discharge Elimination System (NPDES) permits for any pesticide applications to or near waterbodies. A copy of NASDA's letter to the court is available at http://www.nasda.org/cms/7196/20728/20741/21726.aspx. (Contact: Nathan Bowen)

CLEAN WATER ACT EXPANSION. On June 18 the Senate Environment and Public Works Committee will mark up the Clean Water Restoration Act (S. 787). The legislation would expand federal jurisdiction of water under the Clean Water Act to include intrastate waters, isolated ponds, and ephemeral streams, among others. A broad group of agricultural producer groups continues to express serious concerns over the legislation. (Contact: Nathan Bowen)

HEARING EXPLORES WATER SUPPLY & WILDLIFE. The House Natural Resources Subcommittee on Insular Affairs, Oceans and Wildlife, chaired by Del. Madeleine Z. Bordallo (D-GU), last week heard recommendations for the growing problem of chemical and drug runoff in water supplies. These runoffs from medications negatively affect fish and wildlife in the U.S. food supply. Unused pharmaceuticals that are flushed down the drain pose a threat to oceanic and freshwater wildlife because the Endocrine Disrupting Compounds (EDCs) affect fish and wildlife in the embryonic stage and carry into adult life."We should care about this issue," Bordallo said, "because it enters our food supply through the food chain." Two panels of witnesses discussed the implications of improper disposal of medications, the nationally unaware status of the problem, and possible solutions to reduce medicine waste. (Contact: Kasey Miller or Nathan Bowen)