"Meals and Money"

"Email conversations about changing conditions causing hunger in Ohio and around the world"

Pulses are beating stronger in both Washington and Columbus for moving forward simultaneous considerations of legislation that impact precarious Ohioans. Although progress has been made on two significant bills protecting people "on the edge" economically, more work is necessary to sign them into law and prevent many from falling further into the chasm of poverty.

On a national level, the conference committee responsible for resolving differences their respective Senate and House versions of the Farm Bill came to some major conclusions about food stamps and emergency food assistance in the wee hours on May 1st. They agreed upon $10.365 billion in new ten-year funding for what is known as the "nutrition title" (H.R. 2419). This is a drop of over a billion dollars that had been approved earlier this year by the House but a billion dollar increase over what seemed likely just a few weeks ago. Another short-term extension of current farm program law (H.R. 2954) gives lawmakers until May 16th to get a reauthorization passed and signed. While behind-the-scenes negotiations will continue, conferees are expected to reconvene for a public meeting as early as tomorrow, May 6th.

In the Ohio House, Representatives rallied behind the Coalition for Responsible Lending's efforts to restrict predatory practices of payday lending businesses. After months of debate over bills that were backed by either the payday industry or consumer advocates, a bi-partisan proposal was overwhelmingly passed to drastically lower the current 391 percent annual interest rate on two week payday loans. The payday lending bill (HB 454) goes on the Ohio Senate for debate scheduled for Wednesday afternoon.

SHORT CUT:
For those who insist, "JUST TELL ME WHAT TO DO!"

FOOD ASSISTANCE

CALL MEMBERS OF CONGRESS (ESPECIALLY OF THE FARM BILL CONFERENCE COMMITTEE *) VIA TOLL-FREE LINE 1-800-826-9624 (*). THANK MEMBERS FOR THE PROGRESS ON THE FARM BILL NUTRITION TITLE (H.R. 2419) AND URGE THEM TO FINISH PASSING A FARM BILL (H.R. 2954) WITH THE STRONGEST POSSIBLE NUTRITION TITLE. IT SHOULD INCLUDE BOOSTS IN FOOD STAMP BENEFIT LEVELS, IN FOOD STAMP ACCESS, AND IN PURCHASES IN THE EMERGENCY FOOD ASSISTANCE PROGRAM (TEFAP).

PAYDAY LENDING

URGE MEMBERS OF THE OHIO SENATE FINANCE AND FINANCIAL INSTITUTIONS COMMITTEE (*) TO STAND FAST ON THE PAYDAY LENDING LEGISLATION (HB 545) FROM THEIR HOUSE COLLEAGUES HEADED THEIR WAY. ENCOURAGE THEM TO RESIST MANEUVERS OF A HIGH-POWERED LENDERS' LOBBY TO DISSUADE THEM WITH THREATS OF JOB LOSSES OF THOSE WORKING FOR "CASH ADVANCE" STORES. REMIND THEM OF MUCH GREATER FINANCIAL LOSSES SUFFERED BY UNSUSPECTING AND OFTEN VULNERABLE CLIENTS DUE TO MANIPULATIVE BORROWING PRACTICES.

LONG SUIT:
For those who plead, "GIVE ME MORE DETAILS"

FOOD ASSISTANCE PROGRAMS IN FARM BILL

More than 35.5 million people in the U.S. live in households that face a constant struggle against hunger. Food stamp benefits average a mere $1 a person a meal; the minimum monthly food stamp benefit has been stuck at $10 for three decades. Food stamp household asset limits have been frozen for decades. Many food bank shelves are empty.

Food Stamp Benefits and Assets

 The $10.365 billion in new ten-year funding for the nutrition title provides $7.845 billion for Food Stamp Program improvements, including funds for the first increase in the minimum benefit in 30 years (to $14 and then indexed); to increase to $144 and than index the standard deduction for households of three or fewer; to uncap the dependent care deduction; and to index asset limits and exclude retirement and education savings accounts from them.

Additional Improvements

 The nutrition title also provides $1.256 billion to increase and index commodity purchases for TEFAP; $1.020 billion for the fruit and vegetable snack program; $50 million for Community Food Projects; $50 million for Senior Farmers Markets; $60 million for the McGovern-Dole Program; and, $4 million for a six-state pilot for whole grain cereal foods for school breakfast and lunch. The nutrition title agreement would rename the Food Stamp Program the "Supplemental Nutrition Assistance Program" (SNAP); and authorize the Congressional Hunger Center's fellows programs. The agreement's horticulture title invests in bringing Electronic Benefit Transfer (EBT) capacity to more farmers' markets.

What to do:

The $11.5 billion in new ten-year spending level that the House approved for the nutrition title is critical to fund improvements in food stamp benefits, food stamp access, and increased TEFAP commodity purchases. Therefore,

House/Senate Farm Bill Conferees

Senate Conferee Democrats: Finance Committee Chairman Senator Max Baucus (MT); Budget Committee Chairman Senator Kent Conrad (ND); Judiciary Committee Chairman Senator Patrick Leahy (VT); Agriculture Committee Member Senator Blanche Lincoln (AR); Agriculture Committee Member Senator Debbie Stabenow (MI).

Senate Conferee Republicans: Agriculture Committee Ranking Member Senator Saxby Chambliss (GA); Former Agriculture Committee Chairman Senator Richard Lugar (IN); Finance Committee Ranking Member Senator Charles Grassley (IA); Appropriations Committee Ranking Member Senator Thad Cochran (MS); Agriculture Committee Member Senator Pat Roberts (KS).

House Conferee Democrats from Agriculture Committee: Chairman Collin C. Peterson (MN) and Representatives Tim Holden (PA); Mike McIntyre (NC); Bob Etheridge (NC); Leonard Boswell (IA); Joe Baca (CA); Dennis Cardoza (CA); David Scott (GA);

Democratic Conferees from Other House Committees: Representatives George Miller (CA) (Education and Labor); Carolyn McCarthy (NY) (Education and Labor); John Dingell (MI) (Energy and Commerce); Frank Pallone (NJ) (Energy and Commerce); Paul Kanjorski (PA) (Financial Services); Maxine Waters (CA) (Financial Services); Howard Berman (CA) (Foreign Affairs); Brad Sherman (CA) (Foreign Affairs); John Conyers (MI) (Judiciary); Bobby Scott (VA) (Judiciary); Nick Rahall (WV) (Natural Resources); Madeline Bordallo (GU) (Natural Resources); Henry Waxman (CA) (Oversight and Government Reform); Edolphus Towns (NY) (Oversight and Government Reform); Bart Gordon (TN) (Science and Technology); Nick Lampson (TX) (Science and Technology); Nydia Velasquez (NY) (Small Business); Heath Shuler (NC) (Small Business); Jim Oberstar (MN) (Transportation and Infrastructure); Eleanor Holmes Norton (DC) (Transportation and Infrastructure); Charles Rangel (NY) (Ways and Means); Earl Pomeroy (ND) (Ways and Means); Rosa DeLauro (CT) (House Democratic Leadership).

House Conferee Republicans from Agriculture Committee: Ranking Member Bob Goodlatte (VA) and Representatives Frank Lucas (OK); Jerry Moran (KS), Robin Hayes (NC); Marilyn Musgrave (CO); Randy Neugebauer (TX);

Republican Conferees from Other House Committees: Representatives Todd Platts (PA) (Education and Labor); Joe Barton (TX) (Energy and Commerce); Spencer Bachus (AL) (Financial Services); Ileana Ros-Lehtinen (FL) (Foreign Affairs); Lamar Smith (TX) (Judiciary); Cathy McMorris-Rodgers (WA) (Natural Resources); Jim Jordan (OH) (Oversight and Government Reform); Michael McCaul (TX) (Science and Technology); Steve Chabot (OH) (Small Business); Sam Graves (MO) (Transportation and Infrastructure); Jim McCrery (LA) (Ways and Means); Adam Putnam (FL) (House Republican Leadership).

P.S.: Continued Debate over Subsidies

As for commodity reform, details are still sketchy. There is expected to be a lower income limit on commodity payments (the highest amount you can earn and still get payments, which is currently $2.5 million), but probably not to the $200,000 level President Bush wants. However, negotiators have decided to scale back ethanol subsidies, in part to help pay for new spending in the bill. These subsidies are seen as a contributing factor to the food shortages and resulting riots around the world the last few weeks. Commodity reform is not going to be nearly as extensive as advocates prefer but the pushback have made on this issue makes it ripe for big reform when the Farm Bill comes up for renewal again.

As for President Bush, he continues to criticize Congress' failure to prevent wealthy farms from getting commodity payments and has indicated he might veto the tentative deal.

PAYDAY LENDING

A bill that consumer advocates say would become a national model for payday-lending regulation passed a divided Ohio House last week, despite industry warnings that it would drive their 1,600 stores out of business.
After months of debate over bills that were backed by either the payday industry or consumer advocates, the proposal that passed the House 69-26 is a victory for the Ohio Coalition for Responsible Lending, which pushed to lower the current 391 percent annual interest rate on two week payday loans.
The group got a bill even more restrictive than it requested. It sought a maximum 36 percent interest rate and got 28 percent. The coalition wanted to limit borrowers to six loans per year, but the bill imposes a four loan limit.
"It sends a really strong bipartisan message that we want to first be about protecting consumers in Ohio," said Bill Faith, a leader of the coalition.
Meanwhile, the payday industry, which was talking optimistically a few weeks ago that lawmakers were not supportive of an interest rate cap, got steamrolled. Lender spokespersons contend that the bill, which moves to the Senate, would quickly close Ohio's payday stores and put 6,000 people out of work, because no one could make money under the proposed cap.
Support increased for an interest-rate cap as more lawmakers, including Speaker Jon Husted and Financial Institutions Committee Chairman Christopher R. Widener, became convinced that the two week loan model trapped borrowers in a debt spiral. Widener said that with the average payday customer taking out roughly 12 loans per year, the current system isn't working.
"I've heard a lot of you say you don't want to deal with this, don't want to vote on this, think it's OK what we're doing right now," he told his colleagues. "As legislators, sometimes we got to step up and we've got to do something."

Ohio Senate Finance and Financial Institutions Committee:
Carey (Chair); Stivers (Vice Chair); Amstutz; Austria; Cates; Faber; Niehaus; Padgett; Carfaro; Kearney; Sawyer; J. Wilson.

Call your own Senator as well (*).

PRIMARY REFERENCES AND LINKS (*)

The toll-free line is made available by AARP

FOOD ASSISTANCE: To reach member of the Farm Bill Conference Committee--
http://www.senate.gov/ 
http://www.house.gov/  

PAY DAY LENDING: To reach Ohio Senator on Finance and Financial Institutions Committee-
http://www.senate.state.oh.us/senators/ 

"Farm Bill: The End is Nigh! (maybe)" 5.2.08; 
Ginnie Vogts; 
vmvogts@yahoo.com
Meredith Dodson, RESULTS" 
dodson@results.org 

"As Farm Bill Nears Vote, Bush Presses for Fewer Subsidies"
by Dan Morgan; May 4, 2008; 
The Washington Post; www.washingtonpost.com

"Payday-lending bill advances by Jim Siegel; May 1, 2008; THE COLUMBUS DISPATCH; www.dispatch.com 

"House Republicans introduce stricter limits than measure endorsed by Gov. Strickland" by Dennis J. Willard; Apr 30, 2008; Beacon Journal Columbus Bureau; 
www.ohio.com 

"Farm Bill Update: Conferees Approve Nutrition Title Funding Level," 5.2.08; 
Food Research Action Center
www.frac.org 

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