far more than their share. however, this is not about one crop, one size simply doesn't fit all. and we have other crops in a similar situation. i'm very concerned this proposal is couched and the assumption we will continue to have these high-commodity prices. a revenue plan is attractive when prices are high. but i'm not sure there's anything in this plan that protects producers from a multiyear price decline, and an untested, one-size-fits-all program with no producer choice could leave many producers vulnerable in a very tough situation. throughout this process, i've said that anything that goes too far in any direction can violate the core principles of the effort. i'm afraid that this commodity title does that in its current form. as others have alluded to. it's my opinion that we could have done more to eliminate waste and abuse in the title to

ensure we're getting the most out of these investments that they are, in fact, going to the neediest among us. we should have fully closed the loophole which artificially inflates benefits for s.n.a.p. recipients, and there are other things to save money without reducing benefits, and reinvest in other critical nutrition areas, and deficit reduction. but just because there is a full agreement doesn't mean our farmers stop needing a safety net. in spite of our differences at this point in time, i'm -- i'm still very optimistic. and the thing that i think we all agree around the table is that we very definitely need to pass a farm bill as quickly as we can. i know that with your leadership and the chair and the ranking member, and with all the members of this committee working together to give up their fair share and give back what they need, we can build the consensus necessary to usher a farm bill

through the legislative process in seeing it signed into law this year. we can do this, i think, while preserving the safety nets, making reforms and achieving deficit reduction. i'm confident that we can craft a bill that we were all proud of and i look forward to continuing to work with the chair and ranking member and all of the members of the committee in seeing it through. >> well, thank you very much. and as i've indicated before, we're looking forward to working with you. this is step one in the process. and we will continue to do that. senator casey, let me first say thank you for your leadership on dairy, your work on nutrition, specialty crops. also in conservation and because of you, we -- the chesapeake bay regional partnership is a part of this. and we are grateful for all of your hard work. >> madam chair, thank you very much. and i am grateful for the opportunity to be a part of this effort to bring forth a farm bill. i'll submit a longer statement for the record, but i want to thank you for your hard work,

and working with me and with our office so closely, as you have with others, and your ranking member, as well, senator roberts. we're grateful. it's a significant example of bipartisanship at a time we don't see nearly enough of it. i'll just make three or four quick comments. number one, the deficit reduction that's set forth in this legislation is substantial, and i think that should be noted. and i know it's going to be somewhere between 23 and $24 billion. but that's significant. secondly, i think the job creation potential with this legislation is tremendous. and i think whenever we're talking about a farm bill or a farm families or rural economy, we've got to be focused on job creation. i think there are a lot of very sound and significant strategies on job creation. i'm very concerned, as you mentioned, about how we -- in the context of making cuts, we make cuts that are smart, but also are aware that we're aware

and cognizant there are a lot of people suffering. a lot of vulnerable people that suffer in this economy, especially those who don't have enough to eat. and i'm very concerned about how we do that. and making sure that we're protecting the most vulnerable. and then finally, the one sector of this legislation just happens to be the biggest sector of our pennsylvania agricultural economy, and that's dairy farming. and i'm still very concerned about, and we work very hard to try to do everything we can to protect dairy farm families who have suffered through what can only be described as worse than the great depression over the last five or so years. so we're grateful for the work on that. i know there is more work to be done on that. and in the interest of time, i'll stop there. but madam chair, thank you for your leadership on this. >> thank you very much. and now -- turning to senator grassley, i just want to thank you for your knowledge and advocacy on agriculture over the years. and your tenacity.

we have -- substantial reform in this bill, because of your tenacity, and commitment and we want to thank you for your leadership. >> yeah. and thank you, madam chairman for your cooperation on that issue. it's the most cooperation i've ever had in the 10 or 15 years that i've been working on the issue of trying to bring some reform to make sure that the 10% of the biggest farmers that get 70% of the benefits are the farm program are not being subsidized by the federal taxpayers to get even bigger. it's nothing wrong with getting bigger. but when the taxpayers subsidize it, i think that it's bad. and thank you for helping us improve that situation. and i also appreciate, madam chairman, the work that you and ranking member roberts have put into this farm bill. and while we still have a ways to go through this long process, we're surely getting started at the right time. and in the right direction.

the farm bill is never an easy process. and certainly, it isn't any easier on our current budget conditions. we're dealing with a broad range of issues that are important to americans from conservation to nutrition. it's important that we get the bill done this year. many of the members of this committee have come together in supporting what many farmers say is the most important piece of the farmer safety net. crop insurance. we have worked for 30 years to make it an effective risk management tool. and, of course, it's very advantageous, and farmers have skin in the game with crop insurance, because it seems to me that that's not only good farm policy, but that's good public policy. there's been a lot of debate about the programs this committee is going to create to replace direct payments. i still have some reservations about title 1 revenue program, and its potential interaction

with crop insurance. but i understand the reality that there's a fairly broad support for a revenue program. i commend the chair and ranking member on providing a high level of defensibility to the chairman's mark. i think accepting my proposal for the $50,000 payment cap on commodity programs is crucial to ensure that we all can go to the senate floor and defend this bill, particularly in these tight budget situations. and i am pleased we have finally closed the loophole in actively engaged my amendment, which was accepted in the modified mark will help ensure farm payments go to farmers and not to doctors, lawyers and celebrities. there is no justification for allowing nonfarmers to receive farm payments. and that is particularly true in this current budget climate. the payment limit reform and the chairman's mark is something this committee should be very,

very proud. i'm not going to ask for a vote or even offer an amendment today on another crusade of mine, the packer band issue. but i still say a few words. for too long, large meat packers have had an unfair advantage in the marketplace. at some point, congress has to address the fact that independent livestock producers are entitled to a level playing field. one big step congress could take to solve competition problems is banning packer ownership of livestock. you can imagine, can't you, how howdy demoralizing it is to the average beef producer or maybe any livestock producer, for that matter, when there is a ceo of a major meat packing plant a few years ago to says, do you want to know really why we own livesto

livestock? we own livestock because when prices are high, we kill our own. when prices are low, we buy from the farmer. that seems to me not only morally and ethically wrong, but it seems to get pretty much bordering on violation of fair competition. banning packer ownership of livestock will help us ensure our livestock producers are able to compete in the marketplace. so thank you, madam chairman, and i look forward to moving an tech effective and defensible farm bill out of this committee and do it very, very soon. thank you. >> thank you very, very much of again. and we have, as i indicated, significant reform in here because of your leadership. and we thank you very, very much. senator bennett, we welcome your comments. let me first say, as a subcommittee chair on conservation, as i've said earlier, very, very proud of what's been done in conservation. you've been a strong advocate, tremendous leadership there and so many other areas. and also in helping us as we work through some balance around

dairy. we know this is a very big growth industry for you. you've made it clear in your advocacy for what used to happen for colorado. and we're going to continue to work with you and appreciate all of your advocacy on that regard, as well. >> well, thanks to that, madam chair. and i -- i want to say thank you to you and the ranking member in a different way. over the last 18 months, i've done over 20 farm bill listening sessions across colorado, from cortez to lamar and meeker. and when people ask me in these places, what is wrong with you people, why can't you work together, i have the opportunity to point to the bipartisan work of this committee, as an example of how we should be approaching our work all across the united states senate. and particularly with respect to the deficit reduction that's been in this bill. this committee has shown extraordinary leadership and it would not have happened without, madam chair or the ranking members. so thank you for setting an example for the rest of the congress.

i also want to thank your staff very much. both the chairwoman and the ranking committee. they worked with me in my office on several important provisions, included in the bill that we're about to take up. among these are important colorado priorities, and as you mentioned in the revamped conservation title. including a new emphasis on restoring water quantity, something very important to the west. also important is the inclusion of important provisions that strengthen conservation easements. and i hope to work with the chair and the ranking member today. and as we move toward the floor on additional provisions, it will help us conserve private lands across the country and in my statement. i would also like to thank the committee for reauthorizing the forest services stewardship contracting authority. stewardship contracting allows our federal land management agencies to implement high-priority forest management and restoration projects that are critical to colorado. this is an important tool for initiatives that restore and

maintain healthy forests, ecosystems and provide local employment. in fact, colorado currently has more stewardship contracts under way than any other state with 34 projects totalling almost 12,000 acres. finally, i want to give special thanks to chair woman stab now for working with me on dairy policy. the dairy industry has been a tremendous success story. over the next two years, colorado is bringing in tens of thousands of more cows and is positioned to double its dairy effort. this growth in colorado's dairy industry comes from our producers and manufacturers responding to market opportunities overseas. in fact, madam chair, this is happening all over the country. i'm holding a recent article from the "wall street journal" that highlights how dairy cooperative in california in response to a slow u.s. market invested in processing infrastructure to supply china's growing middle class with milk. i'd like to submit the article. for the record. >> without objection.

>> thank you. thank you, madam chair. the products may be going overseas, but the jobs are created in our rural communities. and while i don't plan to offer my amendment for a stand-alone dairy margin insurance program, i strongly support this growth approach to risk management for dairy. i know we have regional differences here, and i respect that. but i hope to continue to work with you and others on the committee throughout this farm bill process to advance the dairy policy that reflects the industry's growing commitment to export opportunities. thank you again to the chair and the ranking member for all of your work getting us to this point, and i look forward to working with you as we head toward the floor. >> well, thank you very much. and we doin' tend to continue to work with you as we work to strike the right balance. that really is what the farm bill is about, and we'll continue to work with you. let me turn now to senator thune. i want to thank you in so many different ways. the foundation for what we're call our agriculture risk

coverage program. you have been a tremendous leader on. and as well as advocate around energy and conservation, number of different areas. but we are here -- your effort with senator brown in putting forward what was a very thoughtful concept for us has really led us to the program that we have. and we thank you very much for that. >> well, thank you madam chairwoman. i'll thank ranking member roberts, first of all, to both of you for your hard work and the members of your staff who really have worked tirelessly for the past few weeks and months to bring to us where we are today. and i do appreciate your persists in trying to get this thing moving. and in listening, as has been pointed out and trying to accommodate the concerns that members from all over different parts of the country have, and different -- representing different types of different commodities, this is no easy feat. and so congratulations to you and senator roberts for -- to

getting us to this point and hopefully getting a bill to the floor where we can act on it, and get something -- eventually on the president's steps, which i think is the goal everybody has in mind. this farm bill does dramatically reform existing farm policy by eliminating and consolidating commodity and conservation title programs and replacing some with new programs. and although most sectors of production agriculture are currently prosperous, we all know that risks are always going to be there. that crop and livestock prices and production can dramatically drop, sometimes overnight. our farmers have told every one of us that crop insurance is their primary concern and i sincerely thank the chairwoman and ranking member for not only conserving, but improving the crop insurance provisions in this bill. change is never easy, especially when it comes to changing commodity title programs. if we could see the future and look a couple years into it, we would see how the programs that we're voting on today will work. i think that would be more comfortable, but that's a luxury that we don't have. shifting away from direct and

counter cyclical payments and eliminating are bold changes to farm policy and i think the savings we have accomplished in this bill show that farmers and ranchers are more than willing to do more than their fair share when it comes to the issue of deficit reduction. and as the chairwoman mentioned late last year, two of my colleagues on this committee, senators brown and luger, along with senator durbin and i, introduced the aggregate revenue and risk management or a.r.m. program, which the congressional office saved more than $20 billion over ten years. and i appreciate that many of the components of this bill's commodity title have been billed from the ground work, laid out by the a.r.m. program, including the elimination of sure acre direct and counter cyclical payments. although my preference was to have a commodity title coupled with a farm level trigger to determine eligibility, i do accept the producer one-time choice option between a single county level trigger and a farm level trigger, with differing payment levels. i believe this is a reasonable

compromise, provides much more simplicity and is easier to understand and the acre programs we authorized in the 2008 farm bill. additionally, with usda's limited resources, i believe the programs in the commodity title will be easier and less costly to administer. i also believe the conservation title streamlining and consolidation of programs will still provide effective tools for farmers and ranchers to apply needed, sound stewardship practices to preserve their farm and ranch land. and i'm especially pleased with the grass land conversion language in this bill that was added to the chairwoman's mark from an amendment i offered. the language does not prohibit a farmer from converting grassland. it reduces the crop insurance premium subsidy and applies rules that prohibit yield substitution for four years, which means that farmers who do convert native sod or grassland must depend on the production capability of the land to earn a profit, not rely completely on crop insurance to return a profit at taxpayer expense. i also offered an amendment that would cover acres enrolled in

crp as a result of midterm management requirements. currently, policy requires that a farmer must be paid to remove the cover from certain crp practices and no commercial reduces are allowed, meaning that a producer cannot donate or use that hay. in most cases, it must be burned, which really makes no sense when areas of the country are suffering from droughts, shortages of feed. it makes much more sense to allow commercial use of that hay. and i have -- and to have the producers' rental payment reduced. i've been assured by committee staff the current language or report language adequately address this issue, so i'm going to withdraw that amendment, but we'll be watching carefully to make certain we no longer have unnecessary at taxpayer expense. the forestry title addresses the pine beetle epidemic in national forest lands across the southern and western united states. not later than 60 days after the enactment of this bill, the secretary must designate at least one national forest, if

requested by the governor of the state and based on declining forest health to carry out additional pine beetle treatment. this authorization carries an appropriation authorization of $100 million for each of the fiscal years 2013-2017. the pine beetle epidemic is critical and i believe the additional action is an excellent start to ramping up efforts to meet this critical issue head-on. this is an issue i will continue working hard to address the issue outside, as well. ranking member roberts, i want to thank you and members of your staff to bring us to where we are today. as was noted earlier, there are lots of farmer chair and ranking members on this committee. and as you can see, when you're down at the end of the table, the children's table, it will be a long time before i will be a ranking member or chairman. but i will be there just ahead of the senator from north dakota. i think that's what -- just barely. but i look forward to continuing as we work this through the process across the floor of the senate and hopefully on to the president's desk before that important september 30th deadline. thank you. >> thank you very, very much.

let me just note that a vote just -- we do -- will have two votes just in terms of process. we are going to come immediately back and back and move forward and get the bill done, out of committee. i'm anxious to have everyone come back as soon as possible. but we want to proceed now with senator hildebrand. i want to say to you the advocacy in this bis is very important for our special crop growers. we wouldn't have the help for our small dairies if it was not for your advocacy within the dairy title. we very much appreciate that as well as your ongoing strong, strong voice for nutrition. thank you very much. >> thank you for your leadership. and ranking member roberts for your leadership. both of your dedication and extraordinary hard work has led us up to today. i do appreciate the great work you did in terms of including

some of my amendments in the manager's package. i'm particularly grateful for the investment in broad band that will make a huge economic engine available for all of rural america. including the healthy food initiative will make sure that less food deserts in our country. kids can have access to fresh fruits and vegetables and very grateful for the problem insurance for fruits and reed needed to reform that so farmers don't lose everything if they have a catastrophic storm and i appreciate the investments you've made in terms of trying to help long-term dairy reform. i think the transparency you added for both cold storage and for voting rights in really important and will help to reform that industry. i also think that the transition that you've provided to allow a better and safer and more reasonable transition between now and the implementation of the current draft of the dairy title is not only wise but helpful. i appreciate those areas.

i've been traveling across north state since i've been in the senate over the last three years, and i've lived intently to my farmers. i've listened intently to all those in ag industries and all those who are so committed to making sure our children get the food they need to be healthy, and i know that this farm bill is much more than a set of esoteric numbers. it's very much about the decisions we are making towards economic growth, towards our agriculture industries and the moral obligation we have to our families that are at risk. so as we move forward in this debate, two issues i want to highlight because i feel strongly about them and have significant concerns. first of all, under this current draft, families in new york will lose about $45 a month in their food stamps, which means the third week of the month, many families' children will go to school hungry. that's a high concern for me as a mother. not every state has the population that new york state has.

we have 20 million people in our state. that means under this draft bill, 300,000 families are going to be affected. that's 300,000 families that may be more food insecure than before and that means less food on a kitchen table for children. so i have very grave concerns about what that tells about us, and what we're going to do for it. i want to bring three issues up about food stamps. first it is such an extraordinary investment for every dollar that you put into the s.n.a.p. program you get out $1.79. that is a statistic from the usda. second, there is so little fraud in food stamps. it's less than 1%. 1 cent for every dollar. this is not a place where people are taking advantage. this is a place family needs the resources. third, as a mother, our children need food to grow. is the most simple elemental thing a family must provide for their children. they need food to grow. they need food to learn.

they need food to be able to reach their god-given potential. so i urge my colleagues who are looking at places where we have to tighten our belts, please, do not ask that of hungry chin. children. it is not one place we should be tightening the belt. these are children who need this food. i've been if food pantry, soup kitchens and i can tell you they say the increase is with families with children. so when we are looking at these balancing issues we should make the choice to increase our investment in food stamps. with every bit of belt tightening we do and we're proud of the fact this bill is doing deficit reduction. i urge you, this is the one place we should not increase our cuts for every senator who has an amendment to increase cuts, this is the wrong priority for america. it's the wrong priority for our future. the second issue i care a lot about is, what is the future of dairy in this country? and new york is the number three producer of dairy in the nation. but we have had historic losses over the last decade. hundreds of dairy farms are

going out of business every year. over 25% in the last several years have been lost in new york state, because of our policies, and because of the volatility in the market. agricultural inputs, like feed and fuel, keep rising. but safety nets have not been preserved. so the concern i have with this current dairy title is very simple. right now we are asking if you want to have a safety net, you have to cap your production. now, many of us share this concern about capping production, because we want to export our dairy. we don't love capping production. and so if you're going to have a safety net you have to cap your production. that's a concern number one. concern number two, if you are a small dairy these payments are expensive. thousands of dollars a year to have this safety net. and the return under this new revised program will be less than it's been before. milc has been inadequate because they have never been indexed to inflation. it has never kept up with the cost of protection.

the cost of the feed, the cost of fuel. so now we're taking a new program that will reduce the amount of money that will go to small dairies, even if they agree to cap their production and buy this new insurance program. so i am very worried about more small farms going out of business. i am very worried about what happens to america if we consolidate milk production. once you consolidate an industry, the next step is outsourcing. i don't of want to have to buy my milk from china. i want milk produced in america. so i think from a national security perspective we should be making sure we have good, wholesome food production in all parts of the country. so madam chairwoman, i look forward to working with you on these issues. we'll continue to work through them with other amendments perhaps on the floor. but i wanted you to know where my concerns lie. >> thank you very much. let me make a note to members. we do need everyone to come back for a quorum. senator, certainly last not but not least, we thank you for your advocacy on energy. a big difference working with

senator conrad on behalf of north dakota to get a farm level program that makes sense subpoena we appreciate all of your hard work and look forward to continuing to work with you. >> thank you, madam chairman, and truly appreciate your work and your willingness to work with us, and also to ranking member roberts. thank you, senator, for your patience and your perseverance, not only knowledge of agriculture but your love for agriculture certainly showed in this process, and i -- i know everybody said it, but i do have to commend the two of you for diligently working through this process. i think senator bennett said it very well. as i've observed different aspects of what we do here, the challenge is always to find ways to bring people together. you know, you've done that. you're doing that. i think we have a product here that i believe we're going to be able to move forward. and that means that you've listened to everybody, worked with everybody, and you've

really got the fundamentals in place here that's going to give us, i think, the base to get to a good farm bill. and i know everybody at the table. of course, there aren't too many right now, but when they get back, committed to getting this done, because we recognize that's what serves the greater good here. i want to emphasize right up front that the number one focus in the true farm program portion of this bill which we know is about 18% of the total cost of the bill. you've got nutrition and then the parts that truly go to farmers and ranchers in terms of food production for this country and for a lot of the world. and the number one focus in those farm programs and the commodity title has been crop insurance and rightly so. it is the most cost effective. it's what's enabling us to work with farmers and ranchers and help them do what they do so well for this country. highest quality, lowest cost

food supply in the history of the world, which benefits every single american. good farm policy benefits every single american, and when we go down to the senate floor, we need to continue to remind everybody of that fact. every single american benefits from good farm policy. so we've emphasized crop insurance which is the most effective, which our producers are telling us that's the heart of the safety net. that's what we need. that's what we have to do a good job on to be successful. but at the same time, saving more than $23 billion. now, show me somewhere else in the federal government where they're accomplishing that. they're bringing the program forward, making sure it serves our constituents, the american people, serves all of them and at the same time is stepping up and providing real deficit reduction. and that's what we're doing.