House Agriculture Committee Chairman Larry Combest (R-TX) has told Agriculture Secretary Dan Glickman to release $150 million in unobligated funds to further help bridge the gap for farm loan guarantees.  Congress has yet to pass a supplemental appropriations bill that provides more spending on the loan program.

"At a time when credit availability can mean the difference between putting a crop in the field or selling the farm, the immediate release of these loan funds could prove to be crucial to thousands of our nation's farmers faced with this very decision," Combest said in a letter to Glickman.

Congress approved and President Clinton signed a bill to release unobligated funds reserved for the beginning farmers program and provided $472 million for USDA to guarantee agricultural loans.

Now, however, the supplemental appropriations bill is stalled because the President has asked for more money to carry out NATO military operations in the Balkans, Combest said.  Others have said the delay is due to the need to offset the spending with savings or revenue increases in other areas of the federal budget.

"In view of this delay and with planting dates drawing closer for more and more farmers, I believe it is vitally important that you exercise your authority and immediately make available additional monies for both emergency and operating loans," said Combest.