2 U.S. senators applying for farmer bailout funds
WASHINGTON — Two U.S. senators — Sens. Chuck Grassley, R-Iowa, and Jon Tester, D-Mont., — are applying for federal money under a $12 billion bailout program set up by the White House to help farmers hurt by trade hostilities, spokespeople from their offices said.
Grassley pressed the Trump administration this spring to relieve farmers who have been pummeled by Chinese tariffs on their exports amid the wider trade war. Tester has also criticized the impact of the tariffs on farmers and called on the administration to help Montana ranchers.
The Agriculture Department confirmed it has already sent more than 7,800 bailout checks totaling over $25 million to farmers across the country. The assistance is intended to help farmers survive the trade war with China, which has dramatically widened in scope this month after the U.S. announced it would target another $200 billion in Chinese goods.
Grassley, a farmer for most of his life, defended his plan to seek bailout money and said he has been a consistent advocate for farmers. Grassley said in April that he warned Trump at a White House meeting of the harm being felt by farmers and ranchers and said the administration “has a responsibility to help those Americans and mitigate the damage it caused,” according to a news release.
“Sen. Grassley participates in farm programs for which he is legally eligible, including this program, like every other farmer,” said the spokesman, Michael Zona. “Grassley receives no special treatment and is always transparent about his participation.”
There is no rule against a lawmaker receiving the aid. And 33 members of Congress — directly or through their immediate family — received federal farming subsidies over the past two decades, amounting to a collective $15 million from 1995 to 2016, according to the Environmental Working Group, a watchdog group that probes agricultural subsidies.
Grassley and Tester are the only lawmakers of about two dozen contacted from that list who told The Washington Post they would apply for the new bailout money. Twelve members said they would not be applying, and 13 have declined to comment or have not yet returned a request for comment.
Defenders of the bailout program say it will help farmers battered by Chinese tariffs weather the trade storm, while critics argue it is all but guaranteed to aid wealthier farmers who already receive substantial government assistance.
The USDA bailout program caps maximum payments at a combined $125,000 for dairy and hog production, as well as a combined $125,000 for corn, cotton, sorghum, soybeans and wheat, according to the USDA’s website.
The USDA’s eligibility requirements also bar those with over $900,000 in annual income from receiving bailout money. Couples filing jointly could seek bailout money if they have under $1.8 million in annual income.
Grassley’s net worth in 2015 was $3.3 million, and Tester’s in 2015 was $3.9 million, according to the Center for Responsive Politics. U.S. senators are also paid $174,000 annually.
Grassley grows both corn and soybean crops but like other farmers will not be applying until after they are harvested, his office said. Grassley’s farm consists of about 750 acres, which means his bailout check could range between a few hundred dollars to $34,000, depending on how much of his crops are soybeans, Faber said, in an analysis based on 2017 numbers.
Tester has already filled out the application for assistance under the program, said Marnee Banks, a spokeswoman. Tester was unable to sell half of his 2017 wheat crop because of a “lack of access to markets,” Banks said.