Policy Updates and Issue News May 2018

Congress returns to Washington after their Memorial Day Recess the week of June 4 to wrestle with the calendar and a plethora of unresolved legislative and public policy issues.  The farm bill failed on the House floor under pressure from feeding program (SNAP) and immigration advocates who wanted leverage to address changes to these two specific issues.  On the other side of the Hill, the Senate Agriculture Committee stepped up efforts to pass a farm bill out of committee by mid-June.

House members have almost enough votes to force a discharge petition to allow immigration votes on a permanent fix to the high profile “Dreamers” situation.  A compromise on tougher work requirements for SNAP recipients will be necessary to get any Democrats to vote for the House farm bill.  The stalemate on negotiations revising the NAFTA trade agreement threatened farm prices for agriculture commodities.  New U.S. tariffs placed on imported steel and aluminum from Canada, Mexico, and the European Union brought threats of retaliatory tariffs on American goods and farm commodities sold abroad.

Finally, it seems everyone in Washington can spell and say rural broadband expansion.  After years of lip service, new broadband providers, additional money, higher priorities, increased commitments and public policy pronouncements are targeting rural broadband deployment.

 Access to affordable health care in rural and small town America is always on the agenda for the National Grange.   Rural hospitals continue to close faster than local telemedicine clinics can replace them.  Prescription drug pricing is a main street topic now in Washington.  Profit-taking along the chain from drug maker to patient user is under scrutiny.  Counterfeit imported drugs continue to pose a health risk to domestic patients.

Farm Bill

The House farm bill went down in flames May 18.  Democrats were outraged at the increased work requirements for able-bodied SNAP recipients without dependents.  Conservative Republicans used the farm bill vote attempt to leverage a vote on the ‘Dreamers” immigration dilemma.   It appears House leaders will have to reach a deal on immigration with conservatives before the House farm bill can be reconsidered.   It’s still uncertain whether the House will try to pass a farm bill with Republican-only votes or attempt a compromise on the SNAP provisions to draw Democrat votes.   The Senate bipartisan farm bill meantime is nearing completion according to Chairman Roberts, R-KS., and ranking Democrat Stabenow, D-MI.   Committee action on the Senate bill could come as early as the week of June 11.  Roberts says he has commitments from Senate Majority Leader McConnell, R-KY. and Minority Leader Schumer, D-N.Y. for a “clear pathway” to the Senate  floor if the bill receives a substantial majority committee vote.

Waters of the United States

The House Energy-Water Appropriations Bill is ready for floor debate.  It contains a provision to repeal the “Waters of the United States “rule that redefined the jurisdiction of the Clean Water Act to include practically all land and water in the country which the National Grange opposes. The appropriations provision is intended to expedite the process of replacing the rule.

Drug Prices

The President unveiled his plan to lower drug prices.  Among the biggest policy changes are the provisions to require drug companies to disclose their prices in television ads, shorten the time for cheaper generics to reach the market, and target pharmacy benefit manager “Middlemen” for increased transparency on how well (or not) they are passing drug discounts along to patients.  National Grange president Betsy Huber issued a statement commending the President and his Administration for their efforts to lower drug prices for rural and senior patients across the country.  However, the Grange is waiting for more clarity on several items including the price of sole-source branded drugs and possible changes to Medicare Part B which could raise specialty drugs prices and limit their availability to lifesaving treatments for seniors.

Beware of the Out-of-Pocket-Cliff

With recent Part D changes to cost-sharing incentives and a looming out-of-pocket cliff or “donut hole” coming by 2020 that could raise senior’s costs by $1500, Part D beneficiaries need decisive action from Congress to protect their access to life-saving drugs.  The National Grange encouraged all House Democrats to cosign a letter with Schneider (D-IL-10) and Kelly (D-IL-2) urging the House to legislatively fix this threat before it’s too late.  House Republicans were encouraged to cosign a similar request letter with Representative Hudson (R-NC-8).

Department of Health and Human Services Adds Rural Health Strategy

HHS’ Center for Medicare and Medicaid Services says it is set to begin focusing efforts on better prioritizing the unique health care needs of rural populations.  The agency says it will look at ways to improve reimbursements for rural providers, recruit and train health care workers, make health care options more affordable and advance the use of telemedicine.

Pigs and Cows Allergy Partners?

Living close to a livestock farm may lower one’s risk of common allergies among adults who aren’t famers or ag workers according to research published in Occupational & Environmental Medicine.  In fact, the closer the proximity to pigs and cattle the better the chance to lower the risk of allergenic sensitization.  In addition, those who lived in an area of high farm density as a child had significantly lower allergy risks, suggesting that long term exposure may be particularly effective.

Broadband

Grange president Betsy Huber wrote Representative Curtis (R-UT-3) to support his Rural Broadband Permitting Efficiency Act, H.R. 4824.  Breaking down jurisdictional and bureaucratic barriers will go a long way to expedite broadband deployment.  Curtis’ bill would:

• Delegate federal environmental compliance to a state on behalf of the relevant federal agency
• Provides a categorical exclusion for any broadband project within an existing operational right –of-way
• Consolidate efforts in the executive branch to create a single federal point of contact for the broadband deployment project.

What does broadband have to do with the opioid epidemic in rural America?  More than one might think according to Anne Hazlett, Assistant to the Secretary for Rural Development at USDA.  Some roots of the opioid crisis appear to stem from deep and challenging issues such as generational poverty, over prescribing medication, lack of economic opportunity, lack of access to quality medical care, and a sense of isolation.   Eighty percent of American households that do not have access to reliable, affordable high-speed internet are in rural communities.  Seventy five percent of the country’s schools that lack high-speed internet service are in rural areas.  Available, accessible broadband can help in the fight against opioid addiction and aid in the recovery process.

Lifeline

The National Grange continues to support the Lifeline affordability program that enables the elderly, disabled, isolated, low income, unemployed and other eligible rural citizens to access telephone connectivity to the outside world.  The National Grange sometimes looks to its state Granges for help.  New York State Grange president Stephen Coye recently filed formal comments with the New York Public Service Commission on behalf of the National Grange supporting a petition for TracFone Wireless to participate in the New York Lifeline Program.

Immigration is suddenly on the front burner in Washington.  Proponents of leveraging floor debate on immigration policy in the House of Representatives have 213 of the 218 signatures needed.  Also, conservative Republicans joined Democrats in voting against the farm bill as a means to leverage immigration consideration; this means the farm bill stands no chance of passing until immigration is addressed in some form or fashion.  The problem is that the GOP appears divided within its own ranks on an immigration strategy.  Moderates want to limit debate to a pared-down bipartisan bill that would create a path forward to citizenship for those brought to the U.S. as children, referred to as “Dreamers”.   Another issue certain to be added is the policy of separating immigrant parents and children at the Southern border.  Conservatives are demanding a more comprehensive approach to curb illegal immigration, create legal pathways to citizenship for qualified persons, close the border to illegal crossings and create a workable farm worker program.  National Grange policy is to support a legal immigration process for all immigrants and create a workable, efficient, practical and relevant ag worker program.

Trade Economy

 Agriculture depends on trade.  No matter where one stands on the many aspects of trade, it’s a fact that our agricultural economy relies heavily on the foreign consumer buying the food we produce.  Threats of trade wars send shock waves through farm country, financial markets, manufacturing, the supply industry and the rest of America’s production economy.

NAFTA

Most Americans appear to support free and fair trade between countries.  The difficulty comes with one’s definition of fair trade.  Is trade fair if a country wants to carve out a special benefit, product or commodity for special treatment similar to today’s dairy issue with Canada?  Issues like the Canadian dairy restrictions abound as nations attempt to negotiate or renegotiate trade agreements.  The brick wall on renegotiation of the Canada-Mexico-United States NAFTA trade pact is a case in point.  Until all countries involved are able to reach a compromise on these “sacred cows”, a new NAFTA agreement will remain elusive. 

Tariffs

Then there are tariffs.  Tariffs are like extra high taxes placed on the things we want to buy.  These new taxes will probably cause us to buy less of that product or not buy any at all.  So when America places a 25 percent tariff on steel and a 10 percent tariff on aluminum imported from the European Union, Canada and Mexico, these countries lose the American market.  These countries in turn place tariffs on American products and we lose market share there.  This circular boxing match on trade continues until one side gives up or until an agreement is reached.