USDA Says Losses From Katrina Approach $900 Million ….

This article presents information on a report published by the U.S. Department of Agriculture (USDA), according to which Hurricane Katrina caused an estimated $900 million in farm losses. The report was released as the Senate debated a $100.7 billion FY06 Agriculture spending bill and as additional Hurricane Katrina spending requests pile up. The White House has said the Agriculture spending bill should be kept clean of Katrina-related aid, which will be submitted as part of an emergency spending request next month. The bill, with $17.3 billion in discretionary spending, already is $400 million over the president's discretionary farm spending request. But the timing of Agriculture Secretary Mike Johanns' report could leave the door open to farm disaster amendments, and senators today were considering offering a $5 billion aid amendment. Johanns said in a statement that Katrina had a smaller impact than expected. Midwestern lawmakers will gain momentum from the report in their bid to secure drought aid, as USDA estimated $1.3 billion in corn and soybean losses in political battleground states such as Ohio and Wisconsin, as well as in Illinois and Missouri, which are represented in congressional leadership positions.