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Archive for Monday, April 18, 2011

Farm subsidies may wither under deficit-reduction plan

April 18, 2011

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— Agricultural interests in Kansas could be getting smaller portions of government subsidies under efforts to slash federal spending.

U.S. Rep. Paul Ryan, R-Wis. and chairman of the House Budget Committee, has proposed a deficit-reduction plan to cut spending by several trillion dollars.

While his proposals to cut Medicaid and privatize Medicare have grabbed most of the headlines, Ryan’s plan also includes cutting $30 billion over 10 years in federal farm subsidies. President Barack Obama’s deficit commission had called for a $10 billion cut in farm programs.

Ag enterprises in Kansas are a big beneficiary of these subsidies.

The state ranks sixth in the nation, having received $14.5 billion from 1995 to 2009 in U.S. Department of Agriculture subsidies, according to the Environmental Working Group, a nonprofit research group.

The 1st U.S. House District in Kansas ranks second among congressional districts with $8.7 billion in subsidies during the same time period, and is only slightly behind North Dakota, which is one congressional district and received $8.9 billion.

Even so, U.S. Rep. Tim Huelskamp, a Fowler Republican who represents the 1st District, said this when asked at a town hall meeting last week in Salina about farm subsidies: “Farmers are going to have make the argument, to Head Start folks and others, that their subsidies are worth borrowing 42 cents for every dollar spent.”

According to the report of the meeting in the Salina Journal, several farmers in attendance said they wouldn’t miss the subsidies.

And Gov. Sam Brownback, who has received nearly $49,000 in subsidy payments between 1995 and 2009, according to the Environmental Working Group, said agricultural subsidies must be on the table.

“All the programs, I think you have to look at,” Brownback said. He said the fact that Ryan has taken on changes to Medicare “just shows the serious nature of our budget deficit. I think you have to look at everything.”

Ryan’s plan for Medicare would require future retirees, who are now 54 and younger, to purchase private insurance with government vouchers. His plan on agricultural subsidies would reduce direct payments to farmers and the crop insurance program.

The Environmental Working Group called the proposal “a small but welcome step” but noted it will be up to the House Agriculture Committee to decide whether to implement these reforms.

“The House proposal is encouraging, but much more work needs to be done in the upcoming food and farm bill,” said Craig Cox, Environmental Working Group senior vice-president and director of EWG’s Iowa office.

“We need to create a fiscally responsible safety net that works for all farmers while ensuring that kids have access to healthy food, people hurt hardest by the recession can feed their families and critical protections for our water and soil are in place,” Cox said.

EWG’s farm subsidy database shows that 60 percent of American farmers receive no subsidies, while 10 percent of the largest and wealthiest subsidy recipients have received 74 percent of all subsidies paid since 1995.

Comments

Paul R Getto 3 years ago

nedcolt: I certainly hope so. Good luck. Farmers, at least the ones who still actually own their land and work it, are small businessmen and women who deserve our respect for all the hard work they do and the food they provide.

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nedcolt 3 years ago

The Big farmers(and we have a few here locally)will not be able to compete with us small farmers,the little guys like me have to actually get out and work both on the farm and off and use sound management to get crop and livestock to market and all along competing against the big boys that get farm welfare(subsidies)...things could get good for the little man....Ned Colt... hogs,cattle,the little man.

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Paul R Getto 3 years ago

Know how to starve a farmer? Weld his mailbox shut. The agricultural industrial complex has given us cheap food making payments to the already wealthy, large land owners. We should examine the agricultural program, cut it back as necessary and face the fact it was never intended to help the 'family farm.' Ask the former senator from Archer-Daniels-Midland, aka, Bob Dole. While you are at it, legislators, dump the phony balony ethanol subsidy to corn farmers.

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mloburgio 3 years ago

All four memebers of the United States House of Representatives from kansas Tim Huelskamp, Lynn Jenkins,Kevin Yoder and last but not least Mike [i love the koch brothers] Pompeo voted to cut medicare and medicaid as we know it. replacing it with subsidies for private insurance and it would simultaneously spend trillions of dollars to reduce tax rates on the wealthiest americans. The plan contains $1.4 trillion in Medicaid cuts over ten years (which includes repeal of the health reform law’s Medicaid expansion); large cuts in food stamps, low-income housing, Pell Grants, and other programs for people with limited incomes; and repeal of the health reform law’s subsidies to help low- and moderate-income people purchase health insurance....

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Mike1949 3 years ago

Well, Kansas has been a hot bed of Republicans for years. Now Kansas farmers are getting what they voted for!

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karencollins18 3 years ago

In fact, under new health care reform your health insurance company will no longer be allowed to cancel your policy if you get sick, we should be doing this already! search online "Penny Health Insurance" it is a good place to find insurance if you have illness like me.

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