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Although the major farm cuts in Bush’s budget affect Midwestern states with program crops that receive subsidies, such as corn and soybeans, it is the proposed research, water quality and soil conservation program cuts that will hurt Maine.
Beyond the cuts to the land -grant research stations, others are:
. The Environmental Quality Incentives Program, which provides farmers funding to protect water sources by fencing off streams and lakes, creating manure pits and developing anti-erosion plans. The proposed cut is $17 million nationwide. The program also helps blueberry producers with obstruction removal.
. Agricultural Management Assistance, which provides cost share assistance to Maine’s potato growers to address issues such as water management and quality and crop insurance. The proposed cut is $14 million nationwide.
. Natural Research, Conservation and Development, which helps farmers, particularly blueberry producers, with irrigation. The proposed cut is $26 million nationwide.
. The Forest Land and Enhancement Program, which provided forestry management funds. It was funded at $20 million and has been eliminated.
. The proposed movement of about $300 million from the USDA foreign aid program to the U.S. Agency for International Development, allowing foreign aid food purchases from overseas, rather than U.S. farmers.
. The Renewable and Energy Efficiency Grant Program is proposed to be cut to $10 million from $23 million. The program provides grants to farmers who make energy-efficient changes to their operations.
. The Value Added Producer Grant Program would be dropped from $40 million to $15 million. The program provides grants to agricultural producers who expand into value-added products, such as a dairy farmer selling cheese.
. The Rural Business Enterprise Grant Program, the Enterprise Zone programs and the Community Food and Nutrition Program are all slated for termination.
All of the amounts reflect nationwide cuts. As figures still are coming in, no federal or state official could provide the actual dollars Maine would lose in the proposed cuts.
A change that will benefit Maine is the extension of the Milk Income Loss Contract for two years, subject to the 5 percent cut for all commodity programs.
MILC kicks in when the price being paid for milk drops below the cost of production, providing a subsidy for dairy farmers to keep the market on an even keel.
Julie Marie Bickford, executive director of the Maine Dairy Industry Association, said the extension “is a win-win for us because there is the possibility the cap on benefits may be doubled. That would allow more of our farmers to participate.”
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