Farm bill contains changes from previous versions

In July, the House of Representatives passed the 2007 version of the farm bill, legislation which is generally passed every five years outlining the country's agricultural policies. In the process, it retained many of the subsidy programs deemed a "safety net" by supporters that were found in the 2002 version.

However, several changes were made from previous versions of the bill.

One key change was the elimination of the "three-entity rule," which allows farms to be divided into multiple corporations so more payments can be collected. The bill also limits the adjusted gross income for those receiving payments to $1 million from the current $2.5 million level, and requires producers with adjusted gross incomes over $500,000 to get 67 percent of their income from farming.

Rep. Jo Ann Emerson, a Cape Girardeau Republican, voted yes on the bill, despite opposition from the Bush White House, which sought a $200,000 limit on annual adjusted gross income.

Emerson said administration proposals seemed based more on goals from the World Trade Organization than on realistic reform.

In Southeast Missouri, cotton and rice are heavily subsidized commodities grown on large tracts of land. The input cost of those crops is higher than for others, Emerson said.

Just because adjusted gross incomes are high doesn't mean profits are also high with these crops, say supporters of keeping the adjusted gross income above levels suggested by the administration.

Missouri's senators, Republican Kit Bond and Democrat Claire McCaskill, told the Southeast Missourian through their spokespeople that they both support subsidy reform.

McCaskill would like to reform the bill in such a way that corporate farms no longer receive large subsidies, but so there's still an "adequate safety net" for farmers, said spokeswoman Adrianne Marsh.

Bond supports an amendment that would require federal agencies to describe any effects on farmers before changing their regulations.

Bond also said a safety net is an important part of any farm bill and lauded the inclusion of more investment in agricultural research that's in the Senate version, which is still being debated.

When that version will be voted on is still unknown, but reports say the bill may be back on the Senate floor in the coming week.

msanders@semissourian.com

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