Meat Industry INSIGHTS Newsletter

970725 House Subcommittee Increases Ag Funds -- Denies User Fees

NMA June 24, 1997 -- The House Agriculture Appropriations Subcommittee met to mark up and report on agriculture appropriations for fiscal year 1998. For the Food Safety and Inspection Service, the bill approved by the Subcommittee would appropriate $589.7 million and does not include the $400 million requested in the President's FY98 budget request for the Federal Food Tax (user fees) for meat and poultry inspection. This is $15.7 million above the FY97 budget request, but $1.5 million less than the administration's request.

The Subcommittee also approved report language that if the Administration is serious about "user fees" it should develop and implement plans to explain to Congress, industry, and consumers the reasons for such a major policy change. Chairman Skeen (R-NM) also addressed this issue in his opening remarks at the markup. Skeen highlighted the fact that the Administration had requested these fees and that despite promises to send authorizing legislation to Congress by the first of March, the Department had failed to do so.

Additional report language directs FSIS to work with CDC and provide an annual report on the incidence of foodborne illness in the U.S. as well as to develop a cost-benefit analysis by February 1, 1998, on the impact of including ratite (ostriches and emus) in the mandatory inspection program. Regarding the President's Food Safety Initiative, the Subcommittee bill would appropriate over $17 million to fund aspects of the initiative that fall under its jurisdiction. This is approximately $16 million less than requested. The full committee is scheduled to take up the bill on July 9 and action on the House floor will closely follow.

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