Feingold Campaign: Johnson Has No Plan for Farmers and Rural Wisconsin

Press Release

Ron Johnson dodges on MILC, supports unfair trade agreements, and ignores the "dairy' in America's Dairyland

Today, the Feingold Campaign highlighted multimillionaire Republican challenger Ron Johnson's failure to understand the needs of Wisconsin's farmers. While Russ Feingold has fought for Wisconsin's hardworking farmers and rural communities and has been endorsed by the National Farmers Union, Ron Johnson has repeatedly shown he is out of touch with the farmers and rural communities that have helped shape Wisconsin's identity.

Johnson's Support for Unfair Trade Deals Would Hurt Wisconsin Dairy Farmers

Feingold has worked with members of both parties to warn against dangerous trade deals like the Trans-Pacific Partnership, which includes the world's largest dairy export nation, New Zealand. Johnson, who has been largely silent on agricultural issues, has repeatedly endorsed unfair trade agreements. If a U.S.-New Zealand trade deal follows the same path as other flawed trade deals, Wisconsin's dairy farmers are likely to see some of the same "creative destruction" that Wisconsin's manufacturing sector has experienced and that Johnson supports. This would be especially crippling after the past 19 months of low farm milk prices, which has resulted in the loss of a decade or more of equity for many Wisconsin farms.

Johnson Doesn't Understand MILC Program Critical to Wisconsin Dairy Farmers

Ron Johnson has shown he doesn't understand the Milk Income Loss Contract (MILC) program, which offers a vital safety net for Wisconsin dairy farmers during times of low dairy prices. After a speech at the World Dairy Expo in Madison, a reporter asked Johnson whether he supported MILC:

"Asked about the Milk Income Loss Contract program, Johnson said he is in favor of a new ag bill, but said he doesn't know a lot of the specifics..." -- Wispolitics, 10/1/10

Feingold has fought against the unfair Northeast Dairy Compact and has been a strong supporter of the Milk Income Loss Contract (MILC) safety net targeted toward small and medium dairy farms that are common in Wisconsin. When President George W. Bush was wavering on a campaign commitment to reauthorize MILC, Feingold worked to both reauthorize and improve the program in the Farm Bill. Since 2002, during periods of low farm milk prices, MILC has delivered over $700 million directly to Wisconsin farmers. That is more than $1 out of every $5 MILC has provided nationwide.

Johnson Doesn't Understand How Anti-competitive Practices are Hurting Wisconsin Farmers

During the October 22 debate between Feingold and Johnson, the issue of anti-competitive practices within the dairy industry came up, and showed Wisconsin yet another example of Ron Johnson having no grasp of the issues that matter to Wisconsin:

Debate moderator: And that is the point we keep hearing, Mike, that, Senator Feingold addressed right there is about the middle man. So how is that done? He mentioned the anti-trust. Does that come in the form of separate legislation or is that then enacted somehow into the farm bill. I'd like to hear from both candidates on that.

Ron Johnson: Well -- just in terms of pricing structure -- it is archaic. I mean, it amazed me. I was not aware of the fact that farmers do not know what price they're getting for milk for two to four weeks after the fact. I mean we, we absolutely have to reform that so farmers know what they're getting at the point of sale.

Feingold: That was not the question. The question is how you deal with these people in the middle. And my answer is that the current laws, the anti-trust laws, are largely adequate and are already helping if they're properly enforced. If somebody has an idea of how to make them tougher, I think some reforms have to be made for some commodities. But when it comes to dairy -- it's enforcing the current anti-trust laws in a way that the Bush Administration refused to do. That's the issue here. And anybody who's serious about representing the dairy farmers of this state would know that that is the crux of the matter.

Feingold has been deeply involved in enhancing competition in rural America, especially within the dairy industry. During the listening sessions he holds in all 72 Wisconsin counties every year, Feingold has heard from farmers about the problem, which led him to push the Department of Justice (DOJ) Antitrust division to look into the issue of anticompetitive practices. The DOJ followed through by holding a joint workshop with the USDA in Madison on June 25 to hear directly from farmers and other stakeholders about dairy competition.

Feingold also supported the DOJ's move to block Dean Foods' acquisition of two Foremost Farms bottling plants, which would have allowed Dean Foods to dominate the fluid milk market in Wisconsin, as well as Illinois and Michigan. Feingold had voiced concerns over the possible acquisition to the DOJ Antitrust division in May 2009.

Ron Johnson's Ag Website Fails to Even Mention Dairy

Ron Johnson's agriculture issue page on his campaign website does not even mention the words "dairy," "milk," "cow," or "cheese." Voters in America's Dairyland and especially the more than 12,000 dairy farmers and 1,200 dairy processors in our state have to wonder why Johnson is ignoring their issues.

Ron Johnson Wants to Have it Both Ways on Broadband

Ron Johnson has called for repealing the Recovery Act and claims that it has done nothing beneficial. But the Recovery Act provided over $161 million in grants and loans to Wisconsin companies and institutions to expand broadband access and create opportunities for rural communities that were on the wrong side of the digital divide. But in response to a question from the Country Today newspaper, Johnson changed his tune and supported broadband as a way to support rural economies:

"We should also work to develop markets so high-speed communications reach rural communities so they can prosper, just as we had electrification of rural America in the '30s and '40s."

While Johnson flip-flops, Feingold has been a consistent supporter of expanding broadband access and opportunities for rural areas. It was a key component of his Rural Opportunities Act in 2008 and he supported efforts in both the farm bill and the stimulus to actually make this happen.

Ron Johnson has No Plans for the Next Farm Bill

Compare and contrast the responses of Johnson and Feingold to Country Today's farm bill question:

What are your priorities in writing the 2012 Farm Bill?

Johnson: "The farm bill must start by being fair to Wisconsin farmers and be structured so farmers can get family-supporting prices for their products through the marketplace."

Feingold: "One of my top priorities with any farm bill is to ensure the safety net programs are protected and effective for Wisconsin's farmers. MILC is exactly the type of targeted countercyclical program that is critical for Wisconsin. To put MILC's importance in perspective, because of the prevalence of small and medium farms, Wisconsin farmers have received over 20 percent or over $700 million of MILC funds since 2002. While the current program should be the starting point, we should consider ways to improve MILC by better ensuring it accounts for the cost of production.

"There are clearly areas where we can make farm bill programs more effective and close loopholes that allow non-farmers and large agribusinesses to game the system. For example, I am leading a bipartisan effort with Sen. Grassley, R-Iowa, to reduce and close loopholes in the subsidy payment limits."

Feingold understands the regional and national battles that go on in farm bills and knows that Wisconsin needs a fierce advocate to fight for our state and our farmers against unfair proposals like the Northeast Dairy Compact or perks for special interests and multinational corporations.

Ron Johnson has No Solutions

During a visit to the Ozaukee County Dairy Breakfast, Ron Johnson's lack of knowledge of farming issues gave farmers from America's Dairyland plenty to be concerned about:

"I can't really talk to the specifics right now," Johnson stated. Johnson has also admitted that he is "trying to learn farm issues."

Ron Johnson: Again, I grew up around farm stuff, but I am trying to learn farm issues...

Farmer: What…what do you?

Ron Johnson: So what are the solutions?

Farmer: That's your job.

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