Millionaire Farmers Could Get Subsidies

Published: May 9, 2008

WASHINGTON - Married farmers with joint incomes of up to $1.5 million a year could still qualify for crop subsidies under a five-year, $300 billion farm bill compromise that would boost the Agriculture Department's food and farm programs.

As details of the House-Senate compromise emerged Thursday, Agriculture Secretary Ed Schafer reiterated a Bush administration threat to veto the bill.

The legislation would:

•Increase the nutrition programs, including food stamps and emergency domestic food assistance, by more than $10 billion.

•Expand subsidies for certain crops, extend dairy programs and increase loan rates for sugar producers.

•Make small cuts to direct payments, which are distributed to some producers no matter how much they grow.

•Cut a per-gallon ethanol tax credit that supports blending fuel with the corn-based additive from 51 cents to 45 cents in favor of more money for cellulosic ethanol, which is made from plant matter.

•Add dollars for conservation programs designed to protect farmland.

•Eliminate loopholes that now allow farmers to collect subsidies for multiple farm businesses.

•Pay farmers for weather-related farm losses out of a $3.8 billion disaster fund.