Deal set to help out dairy farmers
Wednesday, September 30, 2009 10:35 AM PDT
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.
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.
