115 



Because reduced crop quality also cut farm income, we 

 support the decision to provide disaster assistance for 

 quality losses. Quality adjustments should encourage 

 producers to obtain the best possible price for their crop 

 while providing additional income protection. 



Many farmers lost farm-stored grain and their storage 

 facilities from flood damage. By the time the danger became 

 apparent, farmers were unable to move the grain because of 

 lack of time and transportation capacity and because some 

 commercial elevators were unable to accept delivery. This 

 subcommittee should recognize the extreme weather conditions 

 that led to these losses and recommend that the Commodity 

 Credit Corporation forgive loans when the collateral was 

 lost to flooding or excessive rainfall. 



Flood waters caused tremendous damage to farmland and 

 to the existing water retention structures that enabled the 

 land to be cultivated. Farmers want the opportunity to 

 return to their land, but they need the assurance that 

 federal, state and local governments will work with farmers 

 to repair levees and damaged fields and amend, if necessary, 

 their soil conservation compliance plans. 



Whenever crops are stressed by extreme weather, the 

 crops are more vulnerable to insect damage and molds and 

 other fungi. This year the northwest Corn Belt had too much 

 moisture and below normal temperatures while the Southeast 

 was hot and dry. 



Aflatoxin is a toxic waste product of at least two of 

 the molds that can infect stressed corn. This year 

 aflatoxin has been reported in southeastern Missouri. 

 Because aflatoxin is unusual in this region, farmers and 

 grain dealers were initially uncertain about proper handling 

 procedures. Much of the confusion could be eliminated if 

 the federal government would approve the practices and 

 procedures that are available in the states where aflatoxin 

 is a more common problem. 



Corn farmers recognize the dangers posed by aflatoxin 

 and want to handle affected corn in the most responsible 

 manner. As farmers, we have the most direct stake in 

 assuring our customers, both domestic and foreign, that the 

 corn they buy is of the highest quality and is safe for the 

 use intended. At the same time, farmers have to be able to 

 market grain for the best available use. Sometimes federal 

 rules and regulations make this difficult, if not 

 impossible. 



Federal law imposes a number of restrictions on the use 

 of aflatoxin-contaminated corn. Basically, the Federal 

 Food, Drug and Cosmetic Act prohibits blending corn that has 

 more than 20 parts per billion of aflatoxin with 



