Farm, Nutrition, and Bioenergy Act of 2007

Floor Speech

FARM, NUTRITION, AND BIOENERGY ACT OF 2007 -- (Extensions of Remarks - July 31, 2007)

* Mr. CLEAVER. Madam Chairman, I would like to express my support for the amendment to the Farm Bill Extension Act of 2007, H.R. 2419, offered by my friend Mr. Frank from Massachusetts. The amendment aims to remove the expansions in the underlying legislation that would expand the Farm Credit System. The Farm Credit System is a $163 billion direct lending Government sponsored enterprise that has its own regulatory system and preferential borrowing authority.

* The proposed expansions of the Farm Credit System in the original measure would have diluted farmer ownership of farm cooperatives and would have undermined farm cooperative principles. Fortunately, the Frank amendment passed last night by a voice vote, as these extensions of the Farm Credit System clearly did not have the support of the majority of my House colleagues. Because the amendment was approved, the Farm Credit System is better able to serve its intended constituency by providing credit directly to family farmers, ranchers, and farmer-owned cooperatives.

* The protections afforded by the Frank amendment to the farming sector are also reflected in protecting our financial institutions by preventing an unwarranted expansion into mainstream banking activities. Our Nation's financial institutions have continued to evolve and meet the needs of consumers over the years. These innovations should continue to be fostered while maintaining the security and independence of our financial institutions.

* I applaud the passage of the Farm Bill, which will provide our Nation's farmers with meaningful and necessary assistance for the next 5 years. I look forward to continuing to work with my House colleagues to enact effective reform in the financial sector as well.

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