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New Study Shows Lieberman-Warner Would Impose Massive Tax Increases on Oklahoma's Agricultural Community

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Location: Washington, DC


New Study Shows Lieberman-Warner Would Impose Massive Tax Increases on Oklahoma's Agricultural Community
Inhofe Standing Strong For Oklahoma Farmers and Ranchers

U.S. Sen. Jim Inhofe (R-Okla.), Ranking Member of the Environment and Public Works Committee, today commented on a new study by Doane Advisory Services that shows America's Climate Security Act - S.2191 (Lieberman-Warner), soon to be amended to S. 3036 (Boxer Substitute), would impose significant increases in production costs for eight major crops (Corn, Rice, Soybeans, Sorghum, Wheat, Barley, Cotton, and Oats) that comprise of approximately 95% of all agricultural goods other than hay. According to the new study, Lieberman-Warner would equate to an agriculture tax on the eight crops between $6 billion and $12 billion in 2020 alone.

"The Doane Advisory Services is the latest in a long line of studies to show that Lieberman-Warner would be economically devastating for Oklahoma and the nation," Senator Inhofe said. "The analysis illustrates, that if passed, the Lieberman-Warner bill would equate to an agriculture tax on the eight crops in upwards of $12 billion in 2020 alone. It is no secret that family farmers in Oklahoma and throughout the country are already dealing with exploding prices for inputs such as diesel and fertilizer. This Congress should seek opportunities to provide relief to the growing input costs, not adding to it.

"Just last month, I joined my colleagues to enact critical legislation for our nation's agricultural communities. Americans are fortunate to benefit from a safe and abundant food supply, critical for a strong and secure nation. It would be hypocritical and irresponsible for us now, just two weeks later, to vote in favor of legislation that would do significant damage to the agricultural families and rural economies.

"To protect Oklahoma farmers from the significant tax increase the Lieberman-Warner bill would impose, I will be leading the fight against the Lieberman-Warner cap-and-trade bill. Once again, I am proud to stand in support of Oklahoma's agriculture community. Whether it's reauthorizing critical agricultural programs or standing strong against Washington efforts to impose significant financial burdens onto farmers and ranchers, I will continue to stand firm on behalf of Oklahoma's farmers and ranchers and the nation's overall food security."

A letter from the American Farm Bureau written to Senator Inhofe shares similar concerns and states, "The Boxer substitute (S. 3036)Â…provides no assurances that agriculture will have any opportunity to mitigate the obvious increased costs of this legislation. We urge you to oppose it."


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