After brief opening remarks members will receive testimony from our witness today and the hearing will be open to questions. Good morning once again. Welcome to todays hearing receive testimony from the secretary of agriculture. I think my colleagues participating and secretary bill sec for his time we have a lengthy hearing ahead of us. I will be brief and might remarks nearly three years ive traveled across the country to different farmers, ranchers, foresters, Rural Communities and everyday consumers. Many of our colleagues on both sides of the aisle jointly for those travels. The message we have heard from those folks was very clear. They need a government to work for them, not against them. These men and women have struggled with a fractured supply chain, considerable input cost, relentless inflation, natural disasters, volatile markets and labor shortage each consistently worsened by illconceived halfbaked executive action. What seemingly is a daily occurrence taxpayer dollars been sent to every corner of the country yet nothing has changed. Theyre not producing more fertilizer were not reducing the cost of production. Were not making food more affordable. We are burdening the taxpayer. We are losing ground on the world stage we are a net agricultural importer. We are less independent, less resilient and less competitive. Farmville is the best opportunity that exists to course correct it. I have been clear in my intent, congress can and must craft a bipartisan farm bill that aligns farm safety net with needs and producers. It expends Market Access and trade promotional opportunities and strengthens Program Operations to demand for transparency and accountability to taxpayers and helping our neighbors in need. For doing so without indiscriminate expansion of our nutrition safety net. However there is significant headwinds to congress success. It is virtually impossible to create a robust and resilient farm safety net without significant investment. Considerable opportunities exist within our jurisdiction gently fund the safety net but fund a substantial number of shared bipartisan priorities. Continue to implore my democratic colleagues who think in earnest about these priorities. Routers that can be funded without cutting snap. A snap benefit or eliminating important Conservation Programs we have all come to appreciate. Washington d. C. Is filled with rhetoric and armchair pendants. People go out of their way to work against you. Folks think eight farmville is s impossible. Politics will prevail that politics will prevail over good policy. The dysfunction surrounding us has consumed us. However, it intensifies my commitment to the American Farmer. I am on your side. I am your champion i will never stop fighting for you. And with that yield to my good friend and distinguished Ranking Member mr. Scott. Thank you, mr. Chairman for halting this hearing today. I certainly welcome our distinguished secretary bill sec. The very last time secretary bill sec sat before this committee as a witness in march of last year, i spoke of beginning the farmville process in earnest. Now, nearly a year later were still working towards our shared goal of passing a strong, effective, and bipartisan farm bill. The testimony will provide the committee and getting us closer to that shared goal. Changes in Republican Leadership potential government shutdowns. And the inability agriculture appropriations bill each injected uncertainty and unfortunately slowed our work. I do not envy you mr. Chairman. You are doing what you can to navigate these turbulent waters. And i want to give you credit. You continue to meet and discuss the policy priorities with me. With our house agricultural democrat and our staff. And we appreciate that. Reinforce House Democrats want to get a farmville done. We publish our farmville priorities and our principles last week. Our principal should not surprise anyone who has been following the work of this committee. Our principles are this. We want to reduce hunger. There is a serious problem. We went to strengthen our American Farmers. We are losing farms, particularly family farms at a staggering rate. We want to invest in sustainable agriculture. Revitalize Rural America, lowercost for farmers and famil. And improve equity. I know we can do this by working together because i know chairman we have been together for quite a while on this committee. And i know you care just as much as i do. About our nations farmers. We worked together on that. We have been working together on that for many years. I know we can do this by working together. So, lets put aside first and foremost this proposal to cut snap benefits. Whether you call it a cut or a reduction of future benefits democrats oppose it. We will not cut staff. Now, i understand that my republican colleagues are concerned about spending. Let me make a few points here. At least you are concerned about spending when it comes to stamp. But because the economy has improved benefits and need for the program has decreased. The cbo is now expecting snap to cost 67 billion less over the next decade than originally expected. That is important as we go into this negotiation. Lets also put aside the proposal take ira conservation or Energy Funding away from its intended purpose. Robbing peter to pay paul is not going to result in an effective farmville. These ira programs are oversubscribed so we should not take funding from them to pay for other farmville priorities. We democrats feel strongly about this. So let me close by saying we do want a pipe bipartisan bill we want to see our bipartisan priorities funded. But we need to continue the funding process. We, and agriculture need more funding. But we need also to continue to Work Together to find the funding. Over the past 20 years bipartisan find farm bills have succeeded when republicans and democratic leadership made the farmville a priority. And provided outside resources to the Agriculture Committee. I think i look forward to hearing from you mr. Secretary. And to working with my colleagues and my good friend chairman thompson a bipartisan bill and the hungry family. It is a tall task. We are up to accomplishing it and we can do it together and please pardon my cold i yield back. Thank you gentlemen. The chart request other members submit their Opening Statements so far witness can begin his testimony and ensure there is ample time for questions. I am very pleased to welcome back to the committee our witness for it today. Mr. Secretary, thank you for joining us. We want to perceive their test may have five minutes with a timer and friday will countdown to zero to which point your time has expired. Mr. Secretary please begin when youre ready. Thank you very much to you into the Ranking Member representative scott, thank you for the opportunity to be here today but thanks to all members of this committee for their service. Mr. Chairman, i read with interest the recent article you publish in and title its time to get serious about revitalizing Rural America. Her opening comments today to put in context of the information i have that suggests we are in fact serious about revitalizing Rural America. First of all let me begin by indicating this years income projected just below historical norms will make it the best four years in recent history. It is also allowed for our farmers has significant liquidity as they do in challenging times. Our rural Unemployment Rate is now at the lowest rate in 35 years. Rural employment has returned to prepandemic levels. I had a Clean Energy Jobs are helping to lead the way. Rural poverty is down. And in fact in 55 counties were persistently poor arent no longer in that category. First time in 10 years rural populations have grown. Or people coming into Rural America than leaving. Real wage growth in 2023 exceeds inflation by nearly 2 . In speaking of inflation in food inflation it is headed down. Grocery store price and placement yearoveryear is 1. 3 blows it is been since 2021. Will in fact decrease in 2024. I have several concerns that i want to share with the committee. They have to do with the loss of farmers and farms. The loss of farmland in the heavy concentration of vermin computer secretary raised concerns about the effort and focus on production. Its impact on farms in this country since he raised that wording we have lost 536,000five under 43 farms. We have lost over 165 million acres of farmland. To give you a sense lets every farmer today in south dakota, north dakota, minnesota, wisconsin, illinois, iowa, nebraska, colorado, and oklahoma, and missouri. The apartment represents all in florida, georgia, north dakota, south carolina, and almost all virginia. Farm income has been extraordinarily concentrated with the top 7 of farms, those who generate more than 5 30 thousand in sales on an annual basis. 93 of farms nearly 2 million farms had to share 15 . These are serious issues. And i think it is important for us to reset the notion the only option in american agriculture is to get big or get out. Its time for us to do better for our small and midsized farming operation. This 93 of income. I will survive for the most part by taking a second job. He think we need to create for our farm families ways in which the farm not the farmer create additional income. More new and better Market Opportunities as a strategy we are investing in an usda. Climate Smart Agriculture and forestry commodities provide valueadded opportunity as well as participation in ecosystem markets when new income stream for farms. Other manufacturing from agricultural waste credit and other commodity opportunity. Renewable Energy Production only to lower cost but you also assist rural cooperatives as a transition week thank you in your comments mr. Chairman i need to tell you we are in fact producing more fertilizer. In florida, missouri, alabama and montana their projects we have invested in construction under when the other 36 there will be more coming. Mr. Chairman i acknowledge the importance of the farmville but i we also need a budget. We did the ability to utilize Inflation Reduction Act. To continue the momentum that has been building for markets, jobs, better income for Rural Americans and for our farm families. Mr. Villes i think if you important testimony to that the site members will be recognized for questions and the order of seniority alternate between majority and minority members. And an order of rivals for those who joined us after the hearing convened as many as possible i will recognize myself for five minutes. Mr. Secretary want to talk on a specific issue to begin with. It fits the topic of regulation and the cost being imposed on farmers and consumers. Data from a pending study of the chief economist to show the prices of certain pork products has risen as much is 41 since implementation of 12. Twentythree study found costs associated our quote widespread and extensive. The same study expressed these costs have been more severe impact on smaller independent operations and that is placed on production and marketing chain the consolidation and concentration of the industry. We appreciate the by administration side with the industry during the Supreme Court case the Supreme Court has weighed in on this matter and asked congress to act. When thinking about the stated goals of this administration in your very own testimony to serve small producers can you speak to the economic harm some proposition 12 if pork prices are going up to going up for producers who is winning here . We dont take out the back in history but im going to response to the articles of confederation. With theory and structure states are basically governor and activity. We found after several years of that experiment was chaos. We are potentially headed the reality is this. When each state has the ability to define for itself and for its consumers exactly what farming techniques or practices are appropriate for that does create the possibility of different rules and regulations. Which obviously creates serious concerns for producers. They have no civility they have no certainty. I am not sure this congress is going to be able to pass legislation but i would suggest if we dont take this issue seriously will have chaos in the marketplace. Theres nothing preventing any state why did they decided they were decided . They believed each and every producer had their own choice to participate in this markets. They basically said it did not violate the Commerce Clause it did not discriminate against a particular producer for the problem is did not anticipate the impacts of 12 of the market changing the rules on the entire market. There is risk of that occurring all across the country. It is a little bit difficult however to create consistency within this congress in this country on the issue of states rights. If you apply this standard you are going to have to discuss some of the more difficult issues the social issues, guns, abortion, et cetera. I will tell you if it doesnt get figured out theres going to be chaos. For smaller producers larger producers were prepared to go into that market found the volume they prepared for it is is notthere in california. So they are dumping product into other states crowding out small producers. Mr. Secretary your testimony and comments from the country you often lament about farms getting large how many are forced to get big or get out. I will be frank, i to share this concern not because the concentration of farm income among ceased operations from the concentration of risks theyve been forced into achieving to survive or to grow large enough for the next generation to return to the family farm. The use of farms might have more to gain when times are good. They also have more to lose when times are bad. Which is why we need to make sure the safety net works for them too. Unfortunately you taken upon yourself to utilize to transform american agriculture with the ccc while rewriting the rules on disaster aid programs to reorient assistance to small and parttime farmers at the expense of fulltime family farms. The truth is much of the consolidation is a direct result of costs that are cost raising in the crisis bring the squeeze on margins. Talk to producers and many additional cost are a direct result of the actions taken by this administration. Between department of labor rules almost unworkable driven up the cost of labor the ep eight war on Crop Protection tools or the threat of Financial Regulation that craves a cost of banking by demonstration as andexpense of the farming operations. Many decisions with the aim of transforming any sector of the American Economy doctoral of unelected bureaucrats but those ideas should be debated in congress with no amount of tinkering around the edges the usa will stop that. Seeing that my time has expired why not recognize prechristmas or term could have a minute to respond . Works yes, sir. First of all he mentions ccci want you to know we basically felled the charter those established by congress we have not as was a case of the previous demonstration jeopardize the capacity that fund to its farmville based. Secondly they mention the Disaster Assistance program i would simply say when we advise congress to attend a 12 billiondollar bill do to assist producers across the board for disasters in 2022 congress appropriate 3 billion. Who gave us 30 of what we needed. So we had a choice basing it during at the way we did before we had the money and resources able to cover a provided opportunity for 80 of the producers receive something more. This included this family farm farmers you just talked about. So if i had to do it over again i would do the same way. I think it is helpful to help the smaller producers, why . They did not receive the lions share of the 19 billion is paid through Crop Insurance and other mechanisms. So with all due respect if you want the disaster programs to work that we have to have the resources to be able to do what you want us to do. Mr. Secretary appreciate that. In the great times we have spent a meeting together i just reinforce what ive said before. Work with us on those issues. I cannot control what happened in the past and cannot control what happened in 2022 height did have more opportunity today as chairman for that i recognize the Ranking Member for his questions. Think you chairman thompson. I really appreciate that. Secretary bill sack, both my democratic and republican colleagues certainly went to pass a bipartisan farmville. In the years extension is giving us more time we are negotiating through those now. But i know chairman thompson and i feel the same about this. We definitely want a bipartisan farmville. I hear from my nations farmers quite regularly. Once a need to certainty. They want and need new markets. And in that regard i want to thank you for creating wrap and wrap it means regional, agriculture, promotion programs. It helps the commodities farmers and certainly it helps groups like our soybean farmers and others to be able to navigate the challenges we are facing today. And for those of you who may be listening to this hearing across the nation secretary bill sack, could you share with us and the nation why a bipartisan bill this year is a very vital and very important and why it has got to be done. Representatives scott, it is fair to say that every farmer, every rancher in everyone who lives in Rural America depends in large part on the farmville program. Farmville is more than that it is a conservation bill it is that nutrition bill thats a Risk Management bill it is a broad opportunity to save a savl america and american agriculture that we care. We are investing in their future in provid