5/4/04
Land Stewardship Project members have been leaders in promoting sustainable agriculture systems. Such systems include management intensive rotational grazing, which allows livestock to be raised outside on grass, and on-farm processing, such as bottling milk or making cheese and selling it direct to consumers or retailers. These innovative methods have proven to be ways to farm profitably and in harmony with the environment. Legislation that promotes this type of farming needs your support. Please, take time to read this and take immediate action.

ISSUES: The following issues are included in the Senate Supplemental Budget Bill (House File 2028, second unofficial engrossment) and the House Omnibus Agriculture Policy Bill (House File 2755):

1. Protect dollars dedicated for sustainable agriculture and family farms. Currently the state has a loan program with dedicated funds that have been targeted to family farmers wanting to make environmental improvements on their farm. However, the House proposes to lump these dollars in with other loan programs where they could then be used for other purposes. This should be opposed. These dollars should remain in a separate, dedicated account. The Senate has a separate bill (Senate File 2645) that lowers the interest rate on these loans to 3 percent. This should be supported.

2. Support money for grazing and on-farm processing. The House has created a “Dairy Modernization Grants” program that includes money for converting to grazing, improving pastures, and on-farm processing (for example, bottling milk on-farm or cheese making.) This House proposal should be strongly supported. The Senate version is similar but does not include on-farm processing and provides loans, not grants.

3. Support adding on-farm processing into the methane digester loan program. The state has a revolving no-interest loan program to help large dairy farms finance methane digesters. Methane digesters are used on large dairy farms to generate electricity from the methane gas produced by liquid manure. This technology is being used to justify subsidies to large, factory-style dairy operations. The Senate includes on-farm processing, which is typically used by family farms, in this no-interest loan program. This makes it a program that family dairy farms can use and should be supported. The House does not have this language.

MESSAGE TO USE WHEN TALKING WITH YOUR LEGISLATORS:
1. Oppose the language in House File 2755 (lines 22.24 to 23.1) that lumps loans for family farmers in with other programs. These dedicated funds should stay separate. The Senate should not accept this language and should also push for Senate File 2645 that lowers the interest rate to 3 percent.

2. Support the language in House File 2275 (lines 23.27 to 24.25) that creates “Dairy Modernization Grants” that include money for grazing and on-farm processing. The Senate should accept this language.

3. Support the language in the Senate Supplemental Budget Bill (lines 138.33 to 139.27) that would include on-farm processing in the methane digester no-interest loan program. The House should accept this language.

WHO TO CALL:
• Senate Majority Leader Dean Johnson at 651-296-3826.
• Speaker of the House Steve Sviggum at 651-296-2273.
• Call your state senator and representative. For the name and number of your state senator call 888-234-1112 (651-296-0504 in the metro area). For your state representative, call 800-657-3550 (651-296-2146 in the metro area).

For more information, call LSP staff members Bobby King (507-523-3366) or Paul Sobocinski (507-342-2323).