Deal would offer $350 million for struggling milk farmers
WASHINGTON (AP) — Lawmakers from dairy-producing states announced agreement Wednesday on $350 million in aid for struggling milk farmers.
Some $290 million would go for direct support of dairy farmers under a program to be devised by the Agriculture Department, according to Rep. David Obey and Sen. Herb Kohl, both Wisconsin Democrats. An additional $60 million would cover purchases of surplus cheese and other dairy products in hopes of raising prices. Food banks and other nutrition programs would get the goods.
The Senate had approved the $350 million in August, but without binding direction on how the money would help farmers.
"These are desperate times in farming," Kohl said.
The contentious issue of dairy subsidies clouded talks between House and Senate negotiators trying to reach a compromise. Supporters of smaller dairy operations in Wisconsin, Vermont and other states faced off against lawmakers such as Sen. Dianne Feinstein, D-Calif., whose state is home to huge dairy operations.
Lawmakers disclosed the agreement before an afternoon negotiation on a $23.3 billion agriculture spending bill for the budget year that starts Thursday.
The House’s version didn’t include any emergency dairy aid. But Obey, chairman of the House Appropriations Committee, embraced the $350 million proposal and wanted most of it for a program that pays farmers when prices fall. Benefits are capped after the first 3 million pounds of milk produced, equivalent to the annual output of perhaps 200 cows.

Oct 2, 2009 at 6:49 a.m.
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gatr; apparently you were not informed that California outranks WI in both herd size & milk production - for along time, the best date I can get is since 1993.
http://brownfieldagnews.com/2009/06/18/c...
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yes, Pelosi will benefit from it - "look what I did for CA dairy" - doesn't matter what party she or they (farmers) belong to. Using your logic, we'd have a 1 party system because apparently (per you)neither party ever "wins" votes over the other. - Lets see Reagan won 1980 election with 489 electoral votes YET Obama won with 365 - How is that possible, where did all the republicans go!!!
Oct 1, 2009 at 8:28 p.m.
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The ongoing dairy subsidy system costs taxpayers more than $4 billion per year in subsidies and adds millions of dollars to the grocery bills of American consumers and to the costs of food product manufacturers.
http://www.freetrade.org/node/538 also see
http://www.cato.org/pubs/tbb/tbb_0707_47...
Oct 1, 2009 at 6:51 p.m.
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This is a tough issue, and having a history of dairy farmers in my family, it is hard to look at this issue objectively. I would like to help all people who work hard and sacrifice their bodies, but earn less than they deserve. I am not opposed to this, but I have always wondered, how do you determine who gets help and who doesn't? I think milk should be $20 per hundredweight, but I also think gas should be $1.50 per gallon. With corn prices in the gutter, do we give crop farmers some help also? Residential construction is slow, do we pitch in for rough and finish carpenters?
Without using certain terms, what right does the government have to influence markets to artificially inflate prices. I know we need farmers for our food, but time and time again, the rules of supply and demand will always prevail. The current and future forecast for milk looks much better than it was a few months ago. Dairy farmers are smart people, they already figured out the solution. That being said, I feel this legislation is a day late and $350 million too short.
Oct 1, 2009 at 3:34 p.m.
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Let me see if I have this correct. This is a give away of taxpayer money to a few select individuals (dairy farmers) who are, for the most part, republicans, yet Nancy Pelosi ( a Democrat) who does not own dairy cows (at least to my knowledge) is going to benefit from it. Do I have that right tired of hearing it?
Oct 1, 2009 at 3:18 p.m.
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What this comes down to is yet another stimulus bailout for Pelosi & California. I'll bet she secures the majority of this money - she's never afraid to take pork & dish it out them in an attempt to retain control.
Oct 1, 2009 at 2:15 p.m.
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Make that $50 per cow, per month.
Oct 1, 2009 at 11:35 a.m.
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This will come out to about $30 per cow. Considering Wisconsin farmers have lost at least $50 per cow this year, nobody's getting rich off this.
Oct 1, 2009 at 11:06 a.m.
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It's very normal for Congress to budget monies and delegate the actual program rules to an executive agency. See the entire Code of Federal Regulations if you like.
Oct 1, 2009 at 10:54 a.m.
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They approved spending $350 million dollars without any clear plan on how spend it? Are we mad yet? Vote Libertarian if you are.
Oct 1, 2009 at 8:52 a.m.
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Ron Paul received more military donations that all other presidential candidates combined. http://www.lewrockwell.com/blog/lewrw/ar...
Oct 1, 2009 at 8:36 a.m.
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here is ron paul
http://www.hulu.com/watch/99183/the-dail...
he also wants to end prohibition!!
Oct 1, 2009 at 7:30 a.m.
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Ron Paul's book, "End the Fed" addresses the printing of money to 'stimulate' a false economy. Good book. Good real life example.
Oct 1, 2009 at 6:58 a.m.
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Like I said in another post the federal, state, & local goverment are jokes. Who going to bail me out when I can't pay my taxes.
Oct 1, 2009 at 6:49 a.m.
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I know it's unfair... but where are the fiscal conservatives decrying this stimulus package? This wanton spending of tax dollars? This -- dare I say it? -- redistribution of wealth???
Oct 1, 2009 at 1:36 a.m.
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I know it's probably just me but I have a problem with the wording of some phrases. Example: "...under a program to be devised by..."
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