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The database of farm subsidies maintained by the Environmental Working Group is one of the most powerful uses of public records ever, and it has changed the way people think about Washington’s enormous pipeline of money to rural America. This month, the EWG presented its analysis of 2006 farm subsidies from the U.S. Department of Agriculture. It’s just in time for the debate over the Farm Bill raging on Capitol Hill. House and Senate negotiators are trying to reach agreement, with subsidies to the richest farmers one of the main sticking points.
Minnesota, home to House Agriculture Chairman Collin Peterson, ranks fifth in the nation in its share of the $177 billion in cumulative farm subsidies from 1995 to 2006. That amounts to $10 billion for Minnesota alone during that time, although booming farm income meant Minnesota’s 2006 government harvest of $740 million is a sharp drop from the previous year’s $1.3 billion. Most of the subsidies are commodity payments to, in the Environmental Working Group’s words, “prop up” farmers’ incomes.
Here are the top 2006 recipients of farm subsidies in Minnesota:
1 Hader Farms Partnership, Zumbrota, $534,648
2 Flywheel Grain Partnership, Trail, $482,125
3 Hector Farms II Partnership, Hector, $456,111
4 Harvest States Cooperatives, Saint Paul, $425,731
5 Oberg Farms Prtshp, Moorhead, $371,705
6 University Of Minnesota, Lamberton, $365,348
7 Molitor Bros Farm, Cannon Falls, $324,211
8 Sanders Farms, Truman, $304,028
9 Far Gaze Farms, Northfield, $297,476
10 Roy Olson Partnership, Parkers Prairie, $281,176
11 Kramer Farms, Hector, $264,347
12 Marthaler Farms Partnership, Osakis, $264,100
13 Jetn Enterprises, Hawley, $261,361
14 The Nature Conservancy, Minneapolis, $256,051
15 Duncanson Growers, Mapleton, $239,122
16 Goeman Brothers, Jeffers, $234,606
17 L & B Theis Farms, Shakopee, $234,216
18 Sunset Farms Of Freeborn County, Albert Lea, $230,299
19 Armstrong Family Farms, West Concord, $222,658
20 Four K Farms Ptshp, Morris, $222,432
The most subsidized company in the nation from 1995 to 2006 was Riceland Inc of Stuttgart, Arkansas, which raked in $554 million from the government. Coming in at No. 4 was Harvest States Cooperatives in Inver Grove Heights, with $49 million in subsidies over those years. UPDATE: The Fortune 500 company, now known as CHS, doesn’t keep any of the money but has an arrangement with USDA in which it’s merely a pass-through for payments to farmers, a company official informed me today. The company has unsuccessfully complained to the Environmental Working Group in an effort to remove its name from the list.
Last year, my colleagues Matt McKinney and Glenn Howatt reported on the urban dwellers who were collecting the rural subsidies.
A separate database from the Environmental Working Group unveiled last summer really names names: identifying individuals and organizations who were the top recipients of federal crop subsidies from 2003 to 2005.
Here they are:
1 University Of Minnesota, Lamberton, MN 56152 $749,513
2 Members Of Big Stone Farmer Coop, Graceville, MN 56240 $580,273
3 Michael Scott Stamer, Willmar, MN 56201 $561,501
4 Members Of Lismore Colony, Clinton, MN 56225 $536,616
5 Cole Pestorious, Albert Lea, MN 56007 $516,384
6 Keith Tordsen, Round Lake, MN 56167 $494,966
7 Norman Giese, Appleton, MN 56208 $474,580
8 Phillip Ivan Kvam, Willmar, MN 56201 $461,684
9 John E Nelson, Hanska, MN 56041 $432,121
10 Paul J Beskau, Hastings, MN 55033 $424,443
Just so you know, the United States isn’t alone is subsidizing its farmers. Check out an ambitious project to track European farm subsidies, country by country.
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April 29th, 2008 at 12:14 pm
Listening to Bush excoriate farm subsidies this morning nauseated me when I compared it with his attitudes toward subsidies of big oil. Although I have no doubt farm subsidies should be revisited, it is clear that Bush is and always has been in the pocket of the oil companies!
April 29th, 2008 at 12:17 pm
These farmers aren’t “evil”, they’re just playing the game. But it’s clearly time to change the game. “Family farms” are disappearing, and corporate farms shouldn’t get subsidies in the long term. Don’t cut it off all at once, but it’s time to start weaning the farmer from the drug.
April 29th, 2008 at 12:36 pm
Come on Washington. With grain prices at record high levels this is outrageous. This subsidy costs close to $200 from each Minnesota resident per year. Imagine the progress that would be made if all of these funds were applied to Minnesota road improvments and our schools.
April 29th, 2008 at 12:39 pm
Hello James,
Could you publish our MN politicians per diem meal money, car allowance, mileage allowance, insurance allowances, air fare allowances, and salaries?
Thanks
April 29th, 2008 at 12:42 pm
This greatly decreases the ability of farmers in poor countries to sell their food at competitive prices. Without those sales, they do not have the income to invest in their farms to grow more food to cover low yield years. This adds to hunger crises, country destablization and can impact our national security. We donate food on the front end and take it away on the back end. I would like to see an analysis published of the impact of ending these subsidies on our nation’s food security, vs. investing those same funds in health care, education, and other things important to Americans.
April 29th, 2008 at 12:48 pm
I’ve seen this before, and it seems we’ve gone a little beyond “propping up” the family farmer. But I can’t blame the farmers. The politicians refuse to let the farm economy normalize because it’s easy to buy office by giving other people’s money to special interests. Now we’re building a phony ethenal business because it’s good for midwestern farmers/politicians.
I kind of agree with Robert Grant- let’s see who else is on the gravy train. Let’s see an honest audit of our school districts and government agencies. The name of game these days is get both hands in the trough and don’t relent.
Then people seem to wonder why there’s apparently no money for legitimate government functions such as road building.
April 29th, 2008 at 12:55 pm
You need to also do a story on how government policies have for many years kept the price of food down for the American consumer. These same policies have also kept the price that farmers receive for their corn artificially low - thus, making farm subsidies necessary.
No - I am not from a farm family. Just someone who does not like it when the media only chooses to report one side of the story.
April 29th, 2008 at 12:56 pm
Harvest States isn’t recieving the subsidy it’s LDP paid to the farmer from grain stored at the elevator. This is misleading and should be explained before it’s published.
April 29th, 2008 at 1:00 pm
How does the average middle class worker get in on these subsidies?
April 29th, 2008 at 1:19 pm
Lots of numbers with no context.