Surcharge would pay for more farm aid

US - The Legislature took a controversial first step Wednesday to offer help to dairy farmers struggling to stay in business.
calendar icon 2 February 2007
clock icon 1 minute read

The House Agriculture Committee voted 8-1 to recommend the state distribute $3.7 million in aid to dairy farmers in a single payment in March. The money would be raised from a one-year surcharge on commercial property transfers.

The aid plan continues state-funded assistance initiated last summer after dairy farmers were hit with bad weather, low milk prices and high fuel costs at the same time. Since July, the state has distributed $8.6 million to dairy farmers.

"It seems like there is a real cash flow crisis," said House Agriculture Chairman David Zuckerman, P-Burlington. "We can't alleviate all of that, but as part of a long-term package, we need to get over the short-term hurdle."

Zuckerman noted that many farmers decide in March -- before they invest in seed and fertilizer -- whether to stay in dairy farming or quit. The aid payment is timed to influence that decision.

Source: Burlington Free Press

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