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Farm Bureau's plan to improve farm profits

An American Farm Bureau Federation "Committee on the Farm Economy" recently gave these recommendations to each member of Congress, according to Al Almy, Michigan Farm Bureau public policy division director. The committee urged Congress to act quickly, taking steps to improve profitability before their scheduled adjournment of Oct. 9. Farm Bureau is sending these messages to members of Congress. The goal is to put money back in farmers' pockets right away.

• Because farm prices are so poor and weather disasters have hit, emergency supplemental funding of several billion dollars is justifiedi.
• Supplemental crop insurance payments must be made for farmers suffering from disasters, and payments should not be limited to multi-year disasters.
• Sanctions indemnity payments for the loss of money and markets under no fault of our own. Because the United States has trade sanctions against 35 countries, farmers are losing important markets for our commodities -- equal to 40 percent of the world's consumers.
• Stick to the FAIR Act and not raise commodity loan rates or extend loan periods. Congress should not go for the quick fix by getting rid of all we accomplished with the last farm bill.
• Our lawmakers should fund a disaster feed- assistance program to reimburse livestock producers who have to buy feed because of disaster.
• Increase funding for PL 480 Food Aid Program. Several foreign countries are near collapse. Now is an excellent time to donate surplus products to those countries.
• Credit relief for farmers. A change to allow farmers more flexibility in obtaining Farm Service Agency-guaranteed farm ownership and operating loans is necessary. Loan caps should be combined to allow producers to borrow up to $700,000 from one or both programs.
• Fully fund the Conservation Reserve Program (CRP) to let in the allowed 6.4 million more acres immediately.
• Crop prices aren't expected to get better anytime soon. Congress should consider two-year, extended assistance.

To make farming profitable in the long run, Farm Bureau members are calling for these actions.

Trade issues

• Pass fast-track authority to put American agriculture back at the negotiating table on trade issues.
• Fully fund International Monetary Fund (IMF) at $17.9 billion to help stabilize the world economy and, as a result, our world markets.
• Sanctions reform legislation would prevent useless embargoes or sanctions. Our agricultural products must not be used as pawns of foreign policy.
• Fully fund market access and development programs. If we don't have markets, we obviously can't sell our commodities. Tax issues
• The next tax law should include Farm and Ranch Risk Management (FARRM) accounts to encourage farmers to save for rainy days by letting them deposit pre-tax income in interest-bearing accounts.
• Congress should lengthen net operating loss rules so losses could be carried back more than two years, allow income averaging and speed up health-insurance deductions for the self-employed.
• Increase crop insurance program funding. Our leaders need to take a hard look at the program and make it a more viable risk-management tool.

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