Page images
PDF
EPUB

DEPARTMENT OF AGRICULTURE
APPROPRIATIONS FOR 1963

HEARINGS

BEFORE & STIIMCI
SUBCOMMITTEE OF THE ;)...!
COMMITTEE ON APPROPRIATIONS
HOUSE OF REPRESENTATIVES

EIGHTY-SEVENTH CONGRESS

SECOND SESSION

SUBCOMMITTEE ON DEPARTMENT OF AGRICULTURE AND RELATED

AGENCIES APPROPRIATIONS

JAMIE L. WHITTEN, Mississippi, Chairman
WILLIAM H, NATCHER, Kentucky

H. CARL ANDERSEN, Minnesota
ALFRED E. SANTANGELO, New York

WALT HORAN, Washington
JOHN M. SLACK, JR., West Virginia

ROBERT H. MICHEL, Illinois
Ross P. POPE, Staj Assistant to the Subcommittee

PART 4

(Pages 1775–2107)
Agricultural Stabilization and Conservation Service
Amendments to 1963 Budget
Commodity Credit Corporation
Foreign Assistance Programs
Language Changes and General Provisions

Printed for the use of the Committee on Appropriations

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON : 1962

80035

COMMITTEE ON APPROPRIATIONS

CLARENCE CANNON, Missouri, Chairman GEORGE H. MAHON, Texas

JOHN TABER, New York HARRY R. SHEPPARD, California

BEN F. JENSEN, Iowa ALBERT THOMAS, Texas

H. CARL ANDERSEN, Minnesota MICHAEL J. KIRWAN, Ohio

WALT HORAN, Washington JAMIE L. WHITTEN, Mississippi

IVOR D, FENTON, Pennsylvania GEORGE W. ANDREWS, Alabama

GERALD R. FORD, JR., Michigan JOHN J. ROONEY, New York

HAROLD C. OSTERTAG, New York J. VAUGHAN GARY, Virginia

FRANK T. BOW, Ohio JOHN E. FOGARTY, Rhode Island

CHARLES RAPER JONAS, North Carolina ROBERT L. F. SIKES, Florida

MELVIN R. LAIRD, Wisconsin OTTO E, PASSMAN, Louisiana

ELFORD A. CEDERBERG, Michigan SIDNEY R. YATES, Illinois

GLENARD P. LIPSCOMB, California FRED MARSHALL, Minnesota

JOHN J. RHODES, Arizona JOE L. EVINS, Tennessee

JOHN R. PILLION, New York JOHN F. SHELLEY, California

PHIL WEAVER, Nebraska EDWARD P. BOLAND, Massachusetts

WILLIAM E. MINSHALL, Ohio DON MAGNUSON, Washington

ROBERT H. MICHEL, Illinois WILLIAM H. NATCHER, Kentucky

SILVIO O. CONTE, Massachusetts DANIEL J. FLOOD, Pennsylvania

WILLIAM H. MILLIKEN, JR., Pennsylvania WIN FIELD K. DENTON, Indiana

EARL WILSON, Indiana
TOM STEED, Oklahoma
HUGH Q. ALEXANDER, North Carolina
ALFRED E. SANTANGELO, New York
JOSEPH M. MONTOYA, New Mexico
GEORGE E. SHIPLEY, Illinois
JOHN M. SLACK, JR., West Virginia
DALE ALFORD, Arkansas
JOHN LESINSKI, Michigan
JOHN J. FLYNT, Georgia

KENNETH SPRANKLE, Clerk and Staff Director

(II)

DEPARTMENT OF AGRICULTURE APPROPRIATIONS

FOR 1963

AGRICULTURAL STABILIZATION AND CONSERVATION

SERVICE

MONDAY, JUNE 25, 1962.

WITNESSES HORACE D. GODFREY, ADMINISTRATOR, AGRICULTURAL STABI

LIZATION AND CONSERVATION SERVICE RAPHAEL V. FITZGERALD, ACTING DEPUTY ADMINISTRATOR, STATE AND COUNTY OPERATIONS, AGRICULTURAL STABILIZA

TION AND CONSERVATION SERVICE ROBERT G. LEWIS, DEPUTY ADMINISTRATOR, PRICE AND PRO

DUCTION, ASCS CARL A. LARSON, DEPUTY ADMINISTRATOR, CONSERVATION,

ASCS ROBERT P. BEACH, DEPUTY ADMINISTRATOR, MANAGEMENT

ASCS ROLAND F. BALLOU, ASSISTANT DEPUTY ADMINISTRATOR, COM

MODITY OPERATIONS, ASCS CHARLES M. COX, ASSISTANT DEPUTY ADMINISTRATOR, STATE

AND COUNTY OPERATIONS, ASCS FRED G. RITCHIE, ASSISTANT DEPUTY ADMINISTRATOR, CON

SERVATION, ASCS THOMAS S. THORNBURG, DEPUTY DIRECTOR, BUDGET DIVISION,

ASCS ANDREW J. NEMSHICK, DEPUTY DIRECTOR, BUDGET DIVISION,

ASCS CHARLES L. GRANT, DIRECTOR OF FINANCE AND BUDGET OFFICER, DEPARTMENT OF AGRICULTURE

Mr. WHITTEN. Gentlemen, the committee will come to order, and we will continue with the hearings on the appropriations for Agriculture.

We turn now to the Agricultural Stabilization and Conservation Service and in that connection we would like pages 226 through 231 of volume 3 in the record at this point.

(The material requested follows:

AGRICUI TIWAL STABILIZATION AND C. ERVATION SERVICE

PURPOSE STATEMEN The Agricultural Stabilization and Conservation Service was established by the Secretary of Agriculture on June 5, 1961, under the authority of Reorganization Plan No. 2 of 1953, in accordance with the Reorganization Act of 1949, as

(1775)

17 37SU 901

XL [TJO 01/05 31150–35 MB

amended (5 U.S.C. 133Z). The Service carries on the following principal programs: 1. Acreage allotments and marketing quotas

The Agricultural Adjustment Act of 1938, as amended, authorizes production adjustment for designated basic commodities (tobacco, peanuts, wheat, cotton, and rice) through acreage allotments, and the adjustments of supplies through marketing quotas when supplies réach specified levels in relation to normal demand.

In addition to its regular programs, ASCS is responsible for part of the continuing activities of the Department in the area of defense preparedness measures relating to food and the domestic distribution of farm equipment and supplies. 2. Sugar Act program

The chief objective set forth in the Sugar Act of 1948, as amended, is “to protect the welfare of consumers of sugars and those engaged in the domestic sugarproducing industry.This involves (a) determination of U.S. consumption requirements; (b) administration of quotas to regulate imports of sugar produced in foreign areas, as well as marketing of sugar produced in domestic areas; and (c) payments to domestic producers of sugarbeets and sugarcane, provided producers comply with certain labor, wage, price, and marketing requirements prescribed by law.

The Service also carries out the U.S. responsibilities under the International Sugar Agreement which is designed to contribute to stabilization of the world sugar economy. 3. Agricultural conservation program

This program is authorized by the provisions of sections 7 to 16(a), inclusive, and section 17 of the Soil Conservation and Domestic Allotment Act, as amended. Its objectives include (1) restoring and improving soil fertility, (2) reducing erosion caused by wind and water, and (3) conserving water on land. Cost-sharing assistance is furnished to individual farmers and ranchers in the 50 States, Puerto Rico, and the Virgin Islands for carrying out approved soil-building and soil- and water-conserving practices on their farms. This assistance represents only a part of the cost of performing the practice. The farmer bears the balance of the cost and in addition supplies labor and management necessary to carry out the practice. Allocations are made to States based upon conservation needs. 4. Emergency conservation measures

The objective of this program, which is authorized by the Third Supplemental Appropriation Act of 1957 and the Supplemental Appropriation Acts of 1958 and 1959, is to restore to normal agricultural use farmlands which have been damaged by wind erosion, hurricanes, floods, or other natural disasters. To this end, farmers are offered cost-sharing assistance for carrying out approved practices. Assistance is given only when new conservation problems are created which

(a) If not treated will impair or endanger the land.
(6) Materially affect the productive capacity of the land.

(c) Represent damage which is unusual in character and except for wind erosion, is not the type which would recur frequently in the same area.

(d) Will be so costly to rehabilitate that Federal assistance is or will be

required to return the land to productive agricultural use. 5. Conservation reserve program

The conservation reserve program authorized by the Soil Bank Act is a longrange program under which farmers have voluntarily contracted to take cropland out of production for a specified number of years and devote it to conservation uses. In return the farmer receives (a) an annual rental payment for the contract period, and (6) assistance in either cash or conservation materials and services for carrying out approved conservation practices on the reserved acreage. Farmers are required to apply approved conservation practices to the reserve acreage which include establishing grasses, legumes, or trees, or to devote it to soil-waterforest or wildlife conservation practices. They may not harvest a crop from the reserved acres or graze them, except when authorized in emergencies. No new contracts have been authorized under this program since 1960, and the program is in liquidation.

Special agricultural conservation and adjustment programs blic Law 87-5 authorized a special agricultural conservation program for 61 crop of corn and grain sorghums. The Agricultural Act of 1961 continues the program for 1962 and broadens it to include barley. In addition, the act provides a special program for the 1962 crop of wheat. The chief objectives of these programs are to (1) increase farm income, (2) prevent further buildup of surplus stocks and, if possible, to reduce such stocks, and (3) reduce program costs of price support activities. 7. Marketing agreements and orders

[graphic]

Funds appropriated under the act of August 24, 1935 (sec, 32), are allotted by the Secretary to ASCS for marketing agreements and orders assigned to the agency, and for development of new orders under title I of the Agricultural Act of 1961. 8. Commodity Credit Corporation program activities

Various price support and related programs have been authorized in numerous legislative enactments since the early 1930's. Operations under these programs are financed through the Commodity Credit Corporation. Personnel and facilities of the Agricultural Stabilization and Conservation Service are utilized in the administration of programs of the Commodity Credit Corporation, and the Administrator of the Service is also Exécutive Vice President of the Corporation.

Additional information on the price support and related activities of the Commodity Credit Corporation will be found in another section of these explanatory notes. 9. Special export programs (foreign assistance) and other special activities

Various surplus disposal programs and other special activities are conducted pursuant to specific statutory authorizations and directives. These laws authorize the use of CCC funds and facilities to implement the programs. Appropriations for these programs are transferred or paid to the Corporation for its costs incurred in connection with the following major activities:

(a) Special export programs (foreign assistance) (1) Public Law 480:

(a) Sales of surplus agricultural commodities for foreign currencies (title I);

(b) Commodities disposed of for emergency famine relief to friendly peoples (title II);

(c) Long-term supply contracts (title IV). (2) International Wheat Agreement. (3) Bartered materials for supplemental stockpile. (6) Other special activities (1) Reimbursement for costs of National Wool Act (permanent appropriation). (2) Grain for migratory waterfowl. (3) Surplus grain for game birds. (4) Transfer of long-staple cotton from national stockpile for sale by CCC.

(5) Loans to Secretary of Agriculture for conservation purposes. 10. Work performed for others

The Agricultural Stabilization and Conservation Service performs certain services for other Federal agencies on an advance or reimbursable payment basis. These consist primarily of the following:

(a) Great plains conservation program.-The Service assists the Soil Conservation Service in the development and application of policies relating to conservation measures and cost-share rates, including practices or changes in practices for use in the various States, and works with the Soil Conservation Service in correlating the agricultural conservation program and the Great Plains conservation program practices and procedures.

(6) Removal of surplus agricultural commodities, and school lunch program.Pursuant to an annual agreement with the Agricultural Marketing Service, funds are received for carrying out purchase and diversion programs authorized under section 32 of the act of August 24, 1935, and for the procurement of commodities for distribution to schools for utilization in the school lunch program.

(c) Aerial photographs.-The Service enters into cooperative agreements with State and local public agencies for the procurement cf aerial photographs. Copies of all photographs, made primarily for use in conservation and production adjustment programs, are available for sale to the public.

(d) Agency for International Development.—The Service procures or provides commodities for distribution abroad, at the request of the Agency for International Development.

The Agricultural Stabilization and Conservation Service carries on its programs in the field through (a) seven commodity offices and a data processing center

« PreviousContinue »