Crazy Times

October 3, 2007

Hello everybody outthere in farm country. There are a lot of balls in the air right now.Confusion and uncertainty reign. Will we get a farm bill? Won't weget a farm bill? Secretary Mike Johanns has resigned to run for theSenate in Nebraska. Will Deputy Secretary Chuck Conner, novv ActingSecretary, be the President's choice to fill Johanns's shoes?

A word about SecretaryJohanns -- Mike Johanns did a very good job as Secretary. he traveledthe country talking to and listening to farmers. He fought to keepour export markets open, battling with Japan, Korea, and othercountrics. The farm economy is riding a crest of profitability notimagined even 2 or 3 years ago. All the best to Mike Johanns.

Chuck Conner is alogical choice to be named as our next Secretary. Serving as DeputySecretary, he was involved in everything at USDA. He can hit theground running and with the farm bill up in the air, we don't havetime for "on the job training."

Now that I've broughtup the farm bill, let me compliment the House and Chairman Petersonfor finding enough common ground to pass a bill. It doesn' t satisfyeveryone -- maybe not anyone. And President Bush has threatened toveto it. Still, the House has offered something to work on inconference.

The Senate is anotherstory. I was talking with Senate Ag Committee Chairman Tom Harkinrecently. He sounded optimistic, but I' m not so sure. Senator Harkinhas a number of areas where he wants to spend more money than isavailable. Conservation, nutrition, a permanent disaster fund -- Idon't think they can find the money. Perhaps in the end they willsteal some from the direct payment pocket. That money is moredifficult than ever to justify in face of withering criticism of farmbill spending.

1n talking withCongressman Bob Goodlatte (he chaired the House Ag Committee asrecently as a year ago), he said he didn't think we would get a billat all. That means we would scttle for a 1- or 2-year extension ofthe current legislation. The buzz out here is that we won't get abill. I still say 60% chance that we will.

If we weren't enjoyingunbelievable prosperity in our farming business, we would be a wholelot more concerned about the farm bill. The market is talking to us-not the farm bill. These are crazy times, and we love it.

Until next week, I amJohn Block from Washington.