Agriculture Secretary Dan Glickman and House Minority Leader Richard Gephardt (D-MO) have called on Congress to approve the supplemental spending bill that includes $152 million for the guaranteed farm loan program.  Both warned that Farm Service Agency personnel may be furloughed if the bill doesn’t pass soon.

“It’s been two months since the president submitted a supplemental spending request to Congress which included $152 million for (USDA).  That money is sorely needed,” Glickman said.  “Many of our loan funds are running dry as the farm crisis has created four times the normal demand for USDA farm loan programs.”

The $152 million would allow increased loan capacity of more than $1 billion and help pay salaries at FSA offices.

Glickman said some 700 temporary employees have been hired to help meet the heavy workload in the FSA offices.  Without new funds, “we estimate that our FSA may have to furlough nearly 20,000 employees for 10 days.”

Gephardt was more partisan. “Once again the Republicans are about to cause another disastrous government shutdown,” he said.  “The only difference this time is Republicans have targeted this one to hurt farmers.”

In fact, the supplemental bill has been delayed, but there has not been controversy over the farm funds, which Republicans have said they support.  The bill’s delay has probably been more related to Congressional indecision over how to handle a separate request for money to pay military operation costs in the Balkans.

Without immediate relief, Gephardt said, FSA offices will close, FSA personnel will be furloughed and loan funds will “dry up.”  He said the scarcity of credit comes “just when farmers enter the spring planting season.”

House Agriculture Committee Chairman Larry Combest (R-TX) this week called on Glickman to use unobligated USDA funds as a stopgap to prevent furloughs and credit problems for farmers.