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National Family Farm Coalition 



110 Maryland Avenue, NE, Suite 307 • Washington, DC 20002 • (202) 543-5675 • Fax: (202) 543-0978 

 NATIONAL FAMILY FARM COALITION TRANSITION ISSUES AT USDA: December 20, 1992 



True economic development in rural areas is achieved through a new farm and food policy that enables 

 farmers to receive a fair price in the marketplace that restores profitability and sustainability to our rural 

 communities. The quality of our food supply and environment is best secured when food and fiber are 

 produced on diversified family operated farms. Domestic farm policy needs to be determined by Congress 

 to meet the needs of farmers and consumers, not limited by international trade agreements that will eliminate 

 effective farm programs both in this country as well as around the world. 



Short-term Farm Income and Farm Program improvements using Secretarial discretion: 



-increase loan rates to a level that increases net farm income and reduces government expenditures by 

 reducing deficiency payment levels; urge a fair analysis of the budget savings from higher loan rates 

 -Activate the Farmer Owned Reserve (FOR) for immediate entry with farmers earning the commercial rate, 

 -useexisting authority to increase dairy support price and avert any discretionary dairy assessments, re-open 

 the input process for 1990 Farm Bill inventory management options that were ignored in 1991; and implement 

 Section 102 of the Farm Bill to provide equity for California dairy farmers 



-Implement 1990 Farm Bill programs for the 1993 crop year including demonstration programs for bushel- 

 based supply management and the Targeted Options Program; change sign- up process for IFMPO program. 

 -Evaluate the Integrated Farm Management Program Option (IFMPO) that has less than 100,000 acres enrolled 

 out of a possible 5 million by convening a farmer meeting on the program in Spring 1993. 

 Minority Farmer Concerns: Commitment to civil rights compliance and delivery of programs to minorities. 

 -Immediate response to the September 1992 petition for rulemaking presented to USDA on discriminatory 

 practices; develop an overall restructuring of USDA programs serving minority farmers. 

 -Urge funding and implementation of the 1990 Farm Bill programs including $10 million for minority outreach 

 and education program, improve targeting of FmHA direct loan programs, and conduct 1990 farm bill studies. 

 Access to Credit: Reassert FmHA's mission to assist family farmers. 



-Family farmers need access to timely and affordable financing to maintain their farming operations. With 

 commercial credit evaporating, access to FmHA direct loans becomes even more critical. 

 -Take immediate action to ensure that 30,000 FmHA delinquent borrowers receive their rights. This includes 

 a moratorium on pending foreclosure actions to allow time for review of pending interim final regulations 

 and determination of how to better comply with the existing law -including the basic premise of the 1987 

 Agricultural Credit Act which ensures debt restructuring when it minimizes losses to the government. 

 -Overhaul of training and education efforts; training of FmHA employees and County Commitee members, 

 and printed materials, handbooks, and accessible outreach to farmers. 



-Fix illegal inaccuracies in FmHA's DALRS computer program that determines whether a farmer receives 

 debt restructuring options under existing law. Farmers are currently being denied due to computer errors. 

 -Halt USDA office closing proposal until important policy issues and program delivery issues are resolved 

 including impact on farmers and workers. Restore authority of county supervisors and review of current 

 contracting out practices despite the availability of qualified employees to conduct the job. 

 USDA Appeals: Restore integrity to the system. 



-Appoint new FmHA Appeals Director who is truly independent of FmHA to carryout the intent of the 1987 

 Agricultural Credit Act including enforcement of decisions 



-Support congressional efforts to enact new USDA-wide independent appeals system to ensure farmers their 

 rights under all USDA agencies and improve delivery of the appeals program. 



Trade: Ensure that trade agreements do not dismantle US farm programs forcing farmers out of b usiness. 

 -Reassess the impacts of the NAFTA and GATT agreement on family farmers using realistic projections. The 

 jobs lost in farming and related small businesses needs to be analyzed with the ripple impacts on the health 

 of rural communities. Examine the budget costs of the Export Enhancement Program (EEP) and the Dairy 

 Export Incentive Program (DEIP) and the farm income impacts and profits by grain companies or processors. 

 Packers and Stockyards Administration: Strengthening its effectiveness. 



-With corporate concentration in the meatpacking industry and contract labor problems in the poultry and 

 hog industry --there is a vital role for a strengthened Packers and Stockyard Administration and Justice 

 Department action to enforce antitrust laws to protect packers, feeders, poultry and livestock producers. 



