U.S. Bishops Engage in 2007 Farm Bill Debate

November 7, 2007, JEFFERSON CITY, MO –  The U.S. Catholic bishops are actively engaged in the debate over the 2007 Farm Bill, which is presently under consideration by Congress. The Farm Bill is not just about farmers. In addition to addressing commodity subsidies for farmers and conservation programs, it includes funding for the federal food stamp program as well as food assistance for developing nations.

The Missouri Catholic Conference has alerted Catholic citizens throughout the state of the  need for action to create a farm bill that is both fairer to family farmers and more compassionate to world’s poor.

In a letter sent to the U.S. Senate on November 6, 2007, Bishop Nicholas DiMarzio, Chairman of the bishops’ Domestic Policy Committee, urged senators “to take courageous steps to reform and strengthen agricultural policies that too often and for far too long have responded to special interests rather than special needs.”

U.S. farm subsidies target most of their benefits to mega-farms instead of family farms. In his letter to senators, Bishop DiMarzio observes that ten percent of commodity farmers obtain more than 70 percent of all commodity payments. The bishop told the senators “The status quo where the majority of payments go to large and wealthy agribusiness while leaving behind the majority of farm families is unacceptable.”

According to a recent report by the Heritage Foundation, farm subsides don’t help alleviate farmer poverty. Most of the assistance goes to operations with $200,000 in income and a net worth of almost $2 million. The Heritage Foundation reports that the top ten urban farmers raked in subsidies ranging from $743,500 to $1.2 million in 2003-2005.

The Catholic bishops would like to see the government subsidies target more traditional family farms that contribute both economically and socially to their local communities and churches.

The Congressional Research Service recently reported that federal subsidies represented 72 percent as a share of cash receipts for rice, 58 percent for upland cotton, 34 percent for wheat and 25 percent for corn. That level of subsidization may distort trade and disadvantage small farmers in developing nations, the bishops fear.
 
Other nations are also taking notice. Brazil successfully challenged U.S. upland cotton subsides before the World Trade Organization (WTO) recently. The WTO is charged with reducing trade barriers and has some authority to settle trade disputes between nations. Some observers believe other commodities besides cotton may be subject to WTO disciplining action if U.S. farm subsidies are not curbed.

One amendment to the Farm Bill the bishops support would cap commodity payments at $250,000 and prohibit multiple payments. At present, because of farm program loopholes, mega-farms can set up several legal entities and receive multiple payments. This allows some operations to receive million dollar checks from the federal government.

The Catholic bishops also strongly support increased funding for food stamps and a stronger commitment to food aid to poorer nations. In particular, the bishops would like to see more of U.S. assistance address the causes of hunger in third world countries by providing support for small-scale farming and other local food security initiatives in those countries.

But ensuring adequate funding for food stamps and related areas may require more budget discipline on farm subsidies, according to the Missouri Catholic Conference’s Assistant Director Mike Hoey. “The Farm Bill has a huge fiscal impact,” Hoey said. “Choices have to be made about what is most important. It our hope that Congress will put family farmers before agribusiness and provide adequate funds to feed the hungry and help poor nations develop,” Hoey said.