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00:00:235 min.
Moran, Jerry - U.S. Representative, [R] Kansas

Good morning, everyone. We expect a number of our

members to join us. My guess is the Republican conference is on

going. But this hearing...

00:05:231 min.
Etheridge, Bob - U.S. Representative, [D] North Carolina

Thank you, Mr. Chairman.

Let me thank each of you for being here today. The chairman has

already said this is a historic today, but more...

00:06:3638 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Mr. Etheridge, thank you very much.

We will turn our attention first to Secretary Block. Mr. Block

was Secretary of Agriculture from 1981...

00:07:149 min.
Block, John R. - Secretary

Thank you very much, Chairman Moran, Ranking

Member Etheridge and members of the subcommittee. Thank you

for the invitation to testify here...

00:16:2030 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Mr. Secretary, thank you very much.

Our next witness is Ambassador Clayton Yeutter. He was Secretary

of Agriculture from 1989 to 1991, serving...

00:16:507 min.
Yeutter, Clayton K. - Secretary

Thank you, Mr. Chairman.

It is great to be here. It is especially nice to see my fellow Nebraskan,

Congressman Osborne, here as well.

It...

00:24:1848 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Ambassador.

Finally, Secretary Dan Glickman. Secretary Glickman served

from 1995 to 2001, serving in the administration of...

00:25:0629 sec.
Glickman, Dan - Secretary

I am honored to be here. I am looking up at the

panel, and I see a lot of my old friends: Earl Pomeroy, whom I

served with; I think Frank...

00:25:353 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Believe me, I have the same feeling.

00:25:3810 min.
Glickman, Dan - Secretary

I would also just say, being on the panel with my

two colleagues, I remember during the years of President Reagan

and the first President...

00:36:171 min.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Secretary Glickman. I have been making

notes for questions and the list keeps getting longer and longer. Let

me start with, first,...

00:37:212 min.
Block, John R. - Secretary

Thank you very much, Mr. Chairman. I don’t have

all the answers to this, but I am firmly convinced that a vibrant,

successful agricultural...

00:39:582 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you.

Ambassador Yeutter.

00:40:002 min.
Yeutter, Clayton K. - Secretary

First of all, on research, I assume that what Secretary

Block was talking about in all those research programs is

he would like them all...

00:42:161 min.
Glickman, Dan - Secretary

I just say I agree totally with what Clayton

talked about in terms of telecommunications and infrastructure,

and those resources need to...

00:43:513 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you all very much.

The gentleman from North Carolina, Mr. Etheridge.

00:43:5434 sec.
Etheridge, Bob - U.S. Representative, [D] North Carolina

Thank you, Mr. Chairman.

Ambassador Yeutter, in your testimony, you say that the energy

driver will need an array of substances, and currently...

00:44:281 min.
Yeutter, Clayton K. - Secretary

Certainly. I think you need to really look at the

whole energy generation picture, not just ethanol and biodiesel but

everything in rural...

00:45:5030 sec.
Etheridge, Bob - U.S. Representative, [D] North Carolina

Thank you.

Secretary Glickman, in that process we have seen our agriculture

resource dollars stagnate over the past several years and really...

00:46:2044 sec.
Glickman, Dan - Secretary

Again, I mentioned the Gates-Rockefeller effort

recently. There is a huge wealth in society, I don’t have to tell you,

you read about it...

00:47:0460 sec.
Etheridge, Bob - U.S. Representative, [D] North Carolina

I couldn’t agree more. Let me ask you all three

to briefly talk about this. There are several proposals, one of which

Congressman Peterson...

00:48:042 min.
Yeutter, Clayton K. - Secretary

If I may, I will make one additional comment on

your last question, and that is, on the public-private partnership

issue, one of the problems...

00:50:471 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Mr. Block.

00:50:481 min.
Block, John R. - Secretary

Just a word on that whole question because I had

said when I spoke earlier that I have got some real doubts about

always going back for...

00:52:1260 sec.
Glickman, Dan - Secretary

I generally agree with Clayton. I think there are

great opportunities here. I will tell you, even with examples of

waste and fraud and abuse...

00:53:121 sec.
Etheridge, Bob - U.S. Representative, [D] North Carolina

I yield back.

00:53:1311 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

I would ask unanimous consent the gentleman from

Nebraska, Mr. Osborne, be allowed to join us on the dais and he

be allowed to ask questions....

00:53:244 sec.
Osborne, Thomas - U.S. Representative, [R] Nebraska

Thank you. You didn’t give the objectors much

time to speak, and I appreciate that.

00:53:284 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

I was worried, Mr. Osborne.

00:53:323 min.
Osborne, Thomas - U.S. Representative, [R] Nebraska

Thank you for your invitation, Mr. Chairman.

Thank you for being here today. Nice to see Ambassador Yeutter

here. I appreciate your comments,...

00:57:0650 sec.
Glickman, Dan - Secretary

I think Clayton referred to this, I think cellulosic

conversion, non-food product conversion is one of the things that

our research folks...

00:57:562 min.
Yeutter, Clayton K. - Secretary

Thanks, Congressman Osborne. As many Members

know, my farm operations in Nebraska are in Congressman

Osborne’s district so that is home...

01:00:314 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Osborne.

The gentleman from Colorado, Mr. Salazar.

01:00:351 min.
Salazar, John - U.S. Representative, [D] Colorado

Thank you, Mr. Chairman.

I think most of you know that I have been a farmer and rancher

all my life, and I still live on the original family...

01:01:582 min.
Block, John R. - Secretary

Thank you very much for your question.

I don’t think the Federal Government needs to build ethanol

plants. If you look out there right now,...

01:04:391 min.
Glickman, Dan - Secretary

You asked several great questions there. In 1996,

this committee wrote the Freedom to Farm bill, which was supposed

to be the end of Government...

01:06:221 min.
Yeutter, Clayton K. - Secretary

I will just add a couple of comments to that. One,

I agree with what Secretary Block said on the ethanol plants. We

don’t really need the...

01:08:084 sec.
Salazar, John - U.S. Representative, [D] Colorado

Thank you all. Thank you all for your service. We

do appreciate it. Thank you, Mr. Chairman.

01:08:126 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Salazar.

The gentleman from Indiana Mr. Sodrel, whose district I visited

and is a paradise.

01:08:182 min.
Sodrel, Michael E - U.S. Representative, [R] Indiana

Thank you, Mr. Chairman.

I understand that a good attorney never asks a question unless

he knows the answer in advance. I have the advantage...

01:10:2050 sec.
Block, John R. - Secretary

OK. You didn’t know the answer to the question, I

am not sure I know the answer either. Conceivably it could be

done. I mean, there is a...

01:11:1027 sec.
Yeutter, Clayton K. - Secretary

Well, what I would add to that is that we have an

international Government Procurement Code which is a U.S. signatory,

and I suspect that...

01:11:372 sec.
Sodrel, Michael E - U.S. Representative, [R] Indiana

Government would be the purchaser.

01:11:3932 sec.
Yeutter, Clayton K. - Secretary

If the Government was a purchaser, then it is

probably a violation of the International Government Procurement

Code. That is a code, by...

01:12:1148 sec.
Glickman, Dan - Secretary

I guess two thoughts. One is I am old enough to

have been in Congress in the 1970’s when we voted for some of

these ideas, when we talk...

01:12:594 sec.
Sodrel, Michael E - U.S. Representative, [R] Indiana

Thank you.

Mr. Chairman, I have no further questions. Yield back the balance

of my time.

01:13:035 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you very much.

And the Chair reluctantly recognizes the gentleman from North

Dakota.

01:13:084 sec.
Pomeroy, Earl - U.S. Representative, [D] North Dakota

Oh, I am going to be on good behavior today, Mr.

Chairman.

01:13:124 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

I assume that is all day long.

01:13:164 min.
Pomeroy, Earl - U.S. Representative, [D] North Dakota

Come on. Hearing Glickman’s remorse about the

treatment he made of people back when he sat back on the dais

makes me chagrined, and I will...

01:17:404 sec.
Yeutter, Clayton K. - Secretary

Either one is fine.

01:17:441 min.
Pomeroy, Earl - U.S. Representative, [D] North Dakota

You have an interesting, important career. Energy

and conservation. If indeed price support, especially at upper levels

of price support,...

01:19:102 min.
Yeutter, Clayton K. - Secretary

That was an excellent exhibition, Congressman

Pomeroy. You have really focused on a lot of the key issues here.

And you are correct in asserting...

01:21:1557 sec.
Glickman, Dan - Secretary

Can I just make one quick comment, Congressman?

I agree totally with you about the importance and significance

of the land grant institutions,...

01:22:124 sec.
Pomeroy, Earl - U.S. Representative, [D] North Dakota

You use the unfortunate Spring wheat example.

I am sure there has never been a research dollar wasted in Spring

wheat.

01:22:166 sec.
Glickman, Dan - Secretary

I am sure not. Certainly not.

01:22:2214 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

I thank the gentleman from North Dakota. I would

point out that despite my reluctance to save a Secretary of Agriculture’s

life because...

01:22:362 sec.
Pomeroy, Earl - U.S. Representative, [D] North Dakota

I may have occasion to regret that.

01:22:387 sec.
Glickman, Dan - Secretary

Actually saving Charlene Barshefsky’s life, I

think is what you did.

01:22:459 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

The Chair is pleased that both the Chairman of the

full committee and the ranking member are with us today, and I

am honored to recognize...

01:22:5429 sec.
Goodlatte, Robert "Bob" - U.S. Representative, [R] Virginia

Thank you, Mr. Chairman. Thank you for holding

this hearing. It is a very distinguished panel. To paraphrase,

I don’t think we have had...

01:23:233 sec.
Glickman, Dan - Secretary

You and I can do this afterwards.

01:23:2637 sec.
Goodlatte, Robert "Bob" - U.S. Representative, [R] Virginia

We will do that afterwards as well as discussing

your organization’s request that I do a video talking about a movie

moment. You will have...

01:24:032 min.
Block, John R. - Secretary

Thank you very much, Mr. Chairman.

Well, in 1981, we had a lot of relatively high price supports, loan

rates. When we moved into 1985, we...

01:26:312 sec.
Goodlatte, Robert "Bob" - U.S. Representative, [R] Virginia

Thank you.

Mr. Yeutter.

01:26:332 min.
Yeutter, Clayton K. - Secretary

Well, we have had a bit of a roller coaster since

we enacted the 1990 farm bill, in my tenure. As you know, that led

to the Freedom to Farm...

01:29:152 min.
Glickman, Dan - Secretary

Congressman Goodlatte, I was here in 1996.

When we passed Freedom to Farm, I was at the Department, and

there was an awful lot of pressure...

01:31:193 sec.
Goodlatte, Robert "Bob" - U.S. Representative, [R] Virginia

Thank you.

Thank you, Mr. Chairman.

01:31:224 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Chairman.

We now recognize the gentleman from Minnesota, Mr. Peterson.

Thank you very much for being with us.

01:31:263 min.
Peterson, Collin - U.S. Representative, [D] Minnesota

Thank you very much, Mr. Chairman. I want to

thank our distinguished guests for being with us, and I want to associate

myself with, I think,...

01:35:002 min.
Block, John R. - Secretary

Yes. Thank you very much. And it is good to see you

again.

Well, your concern is, if we had no corn to export because we

were burning...

01:37:312 min.
Yeutter, Clayton K. - Secretary

Congressman Peterson, I fundamentally agree

with that. You are too young to remember some of the past history

of these same issues in a...

01:40:1438 sec.
Glickman, Dan - Secretary

Pleasure to see you, Collin. I often tell people the

only person who has better musical instincts is you, rather than

me. I am glad you...

01:40:523 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Peterson.

The gentleman from Oklahoma, Mr. Lucas.

01:40:551 min.
Lucas, Frank D. - U.S. Representative, [R] Oklahoma

Thank you, Mr. Chairman. And I appreciate your

calling this hearing with such a distinguished panel.

In 1982, in the spring of, I was a...

01:42:2958 sec.
Block, John R. - Secretary

Thank you very much, sir. I think it has worked,

very definitely, it has worked. Because as I said earlier, in the

early days, when I first...

01:43:271 min.
Yeutter, Clayton K. - Secretary

That is an extremely important part of farm policy.

One can see examples of that all over the place. It happened

on my own farm in Nebraska,...

01:44:4254 sec.
Glickman, Dan - Secretary

Like I said, I think, by and large, the 1996 farm

policy bill was positive. I am glad President Clinton signed it.

I would go back to growing...

01:45:361 min.
Lucas, Frank D. - U.S. Representative, [R] Oklahoma

Gentlemen, let’s touch for a moment on CRP. In

1985, a number of my neighbors went down to sign up for what

they referred to as soil bank—of...

01:46:5310 sec.
Block, John R. - Secretary

That is fair enough, I agree. I mean, if the markets

are calling for it, OK, fine.

01:47:0359 sec.
Yeutter, Clayton K. - Secretary

Absolutely. This is just another example of flexibility.

This is a very fast-changing world, whether we are talking about

agriculture or...

01:48:0228 sec.
Glickman, Dan - Secretary

In principle, I agree, but I have to tell you that

I would not be too anxious to give up this great—these great conservation

initiatives...

01:48:3047 sec.
Lucas, Frank D. - U.S. Representative, [R] Oklahoma

You are entirely right, Secretary, and that brings me

to the next point I want to bring to my colleagues here.

If grain prices dictate that...

01:49:173 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Mr. Chairman.

The Chair recognizes the gentlewoman from South Dakota.

01:49:201 min.
Herseth, Stephanie - U.S. Representative, [D] South Dakota

Thank you, Mr. Chairman. I certainly appreciate,

as I think all members of the subcommittee do, having this opportunity

to pose some questions...

01:50:471 min.
Block, John R. - Secretary

Let me just say that I am all for looking for ways

to get young farmers into agriculture, but this issue has been with

us forever. I mean,...

01:52:041 min.
Yeutter, Clayton K. - Secretary

Secretary Block is right. We all wrestled with that

during our tenures as Secretary of Agriculture. It is even more difficult

today than...

01:53:261 min.
Glickman, Dan - Secretary

I think it was John Maynard Keynes who said,

for every complicated problem there is a simple or wrong solution.

This is one that, God, I...

01:55:1155 sec.
Herseth, Stephanie - U.S. Representative, [D] South Dakota

I appreciate it and I see my time is up.

I would like to throw out a few areas that are very similar to

what each of you identified, whether...

01:56:0650 sec.
Yeutter, Clayton K. - Secretary

In that respect, can I just add one quick comment?

One of the groups that I have been working with in this whole

farm policy arena is the...

01:56:562 sec.
Herseth, Stephanie - U.S. Representative, [D] South Dakota

Thank you.

01:56:582 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Thank you, Ms. Herseth.

The gentleman from California, Mr. Costa, is recognized.

01:57:002 min.
Costa, Jim - U.S. Representative, [D] California

Thank you very much, Mr. Chairman. I, too, want to

commend you for having this distinguished panel before us—a lot

of expertise here over...

01:59:5817 sec.
Yeutter, Clayton K. - Secretary

Well, having spent most of my life in that arena,

let me say, first of all, that the answer clearly is not protectionism.

I am a strong,...

02:00:153 sec.
Costa, Jim - U.S. Representative, [D] California

But some of our competitors are protectionists.

02:00:183 min.
Yeutter, Clayton K. - Secretary

Certainly they are, and so are we in a number of

areas—more protectionist than we should be, more protectionist

than they should be. That...

02:03:541 min.
Glickman, Dan - Secretary

If I can make a comment, the business I am in

now is obviously very export—the film business is the only business

that has a positive balance...

02:05:3738 sec.
Costa, Jim - U.S. Representative, [D] California

Thank you. I know my time has run out, Mr. Chairman,

but I would respond back to Mr. Yeutter and the rest. The

constant complaint that I...

02:06:1553 sec.
Yeutter, Clayton K. - Secretary

Just a quick response. I think the tools are adequate;

we just have to use them. Sometimes we simply do not use

them for a variety of reasons,...

02:07:0813 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

Ms. Herseth has a follow-up question. I also have a

follow-up question. As you can tell by the bells, we have got to conclude

this hearing...

02:07:2131 sec.
Herseth, Stephanie - U.S. Representative, [D] South Dakota

Very short question. Ambassador Yeutter, you

state, every farm in America should have a comprehensive plan for

environmental management,...

02:07:523 sec.
Yeutter, Clayton K. - Secretary

Both, both.

02:07:553 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

That is a short answer, and I am grateful.

02:07:582 sec.
Block, John R. - Secretary

I agree.

02:08:0044 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

That is a short answer, and I appreciate it.

I don’t know that you have time to comment on this, but one of

the continual things that plague...

02:08:4438 sec.
Glickman, Dan - Secretary

Nothing has changed if it is still going on, I

would say that. I would say a couple of things. Number one, I think

every one of us have...

02:09:2226 sec.
Yeutter, Clayton K. - Secretary

We have very complicated programs in all of

USDA, and that leads to complicated regulations and bureaucratic

administration. That is an...

02:09:4820 sec.
Block, John R. - Secretary

I would only say that it is not going to get better;

probably get worse, unfortunately. But everything does. It is not

just bureaucratic...

02:10:0831 sec.
Moran, Jerry - U.S. Representative, [R] Kansas

My staff reminds me it is a thousand-page Senate

farm bill, not House.

My final thought or question is, should—we talk about a national

policy...

02:10:3929 sec.
Yeutter, Clayton K. - Secretary

We have been doing that for a long time, and we

will do it as far into the future as I can see. As you know, we

produce way more than we...

02:11:081 min.
Moran, Jerry - U.S. Representative, [R] Kansas

Gentlemen, thank you very much. We appreciate

your testimony, your candid expertise that you provided us, and I

am very grateful that you...

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