Senate Passes FY2012 Ag Appropriations Bill

Discretionary spending cuts for nutrition programs, conservation, FDA; controversial amendments await debate on Senate floor...
In a full committee meeting on Wednesday afternoon, the Senate Appropriations Committee, chaired by Daniel Inouye (D-Hawaii), approved a $19.78 billion fiscal year 2012 Agriculture appropriations bill, after brief debate. It provides less discretionary funding than either the 2010 or 2011 bills, and left potentially controversial amendments--such as those concerning the approval of genetically engineered salmon and keeping potatoes and starchy vegetables in the National School Lunch program--for future debate on the Senate floor. FDA received cuts, though an increase is provided to begin implementation of the Food Safety Modernization Act. Domestic nutrition programs also got cut, as did research funding, rural development funding, and conservation funding. Funding for USDA's Food Safety and Inspection Service was preserved at the FY2011 level. The bill passed by voice vote.

"My colleagues on this Committee recognize that these cuts are not easy. Valuable programs have been curtailed to live within these lower levels. Furthermore, we all understand that the debt ceiling bill also requires this Committee to cut an additional $1.2 trillion in funding over the next ten years when compared to the CBO baseline. So our work is just beginning," Inouye said in his opening statement at the hearing.

The $19.780 billion overall discretionary spending for the Agriculture Subcommittee for Fiscal Year 2012 represents a net security/non-security decrease of $138 million below the Fiscal Year 2011 continuing resolution. However, non-security spending alone is reduced by $192 million below the Fiscal Year 2011 continuing resolution. The bill also includes $266 million to respond to floods, storms, and other natural disasters.

The summary of funding decisions:

Food and Drug Administration. The FY 2012 bill provides $2.497 billion for the Food and Drug Administration, as compared to $2.447 billion in FY 2011, not including funding collected through user fees. The Food and Drug Administration is the only non-security Agency to receive increased funding in this bill. This funding level takes into consideration the federal government's responsibilities to protect public health and safety, especially in the areas of food, drugs, medical devices and biologics. An increase is provided the Food and Drug Administration to begin implementation of the recently passed Food Safety Modernization Act.

Food Safety and Inspection Service. The FY 2012 bill provides the Food Safety and Inspection Service $1.007 billion, the same level as FY 2011. This includes the full funding requested in the budget for Federal, State and international inspection activities, and will allow the FSIS to continue modernizing its workforce and improving food safety systems.

Domestic Nutrition. The FY 2012 provides $6.582 billion for the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), as compared to $6.734 billion in FY 2011. This level will fully fund participation in the program. The decrease from FY 2011 is due to lower program participation rates than originally estimated. This level also provides $60 million for breastfeeding peer counselors. For other domestic nutrition programs, the FY 2012 bill provides $382 million, as compared to $393 million in FY 2011. This includes funding for the Commodity Supplemental Food Program of $176 million, which fully funds participation.

Foreign Food Assistance. The FY 2012 bill provides $1.562 billion for PL 480 Title II, as compared to $1.5 billion in FY 2011. The Public Law 480 Title II program provides emergency food assistance to the most vulnerable areas in the world. The bill provides an increase for PL 480 Title II to reflect the increased demand for humanitarian food assistance especially with the unprecedented famine in the Horn of Africa. The McGovern-Dole Program, which provides school meals to the world's poorest children, is funded at $188 million, as compared to $199 million in FY 2011.

Research. The FY 2012 bill provides $2.309 billion for the National Institute on Food and Agriculture (NIFA) and the Agricultural Research Service, as compared to $2.348 billion in FY 2011. Specifically within NIFA, the Agriculture and Food Research Initiative is funded at $266 million, the Hatch Act is provided at $236 million, the McIntire-Stennis Cooperative Forestry program is funded at $33 million, and Smith-Lever Sections 3(b) and 3(c) is funded at $296 million.

Rural Development. The FY 2012 bill provides $654 million for Rural Development Salaries and Expenses, as compared to $688 million in FY 2011. Most programs were reduced from FY 2011 levels. For Housing and Community Programs, the bill provides $1.09 billion in budget authority while $1.224 billion was available in FY 2011. For Business Programs, the bill provides $119 million, as compared to $128 million in FY 2011. Under Rural Utilities Programs, the bill provides $557 million as compared to $597 million in FY 2011.

Farm Service Agency. The FY 2012 bill provides $404 million for farm loan programs, as compared to $461 million in FY 2011. The bill provides $1.182 billion for salaries and expenses, as compared to $1.208 billion in FY 2011.

Conservation. The FY 2012 bill provides $828 million for the Natural Resources Conservation Service, as compared to $871 million in FY 2011. The bill does not include funding for the Watershed Rehabilitation Program.
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