A bill to amend the United States Grain Standards Act to reauthorize that Act.

Mr. Speaker, I move to suspend the rules and pass the Senate bill (S. 1752) to amend the United States Grain Standards Act to reauthorize that Act.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, I am pleased to support S. 1752, a bill to reauthorize the U.S. Grain Standards Act. The other body passed this bill by unanimous consent last week, and I look forward to its swift approval today as the act expires September 30, 2005.

This bill is identical to the language that the administration provided Congress earlier this year. The bill is a simple 10-year extension of current law. It will reauthorize the Secretary's authority to charge and collect fees to cover costs of inspection and weighing services and to receive appropriated dollars for standardization and compliance activities.

The House Subcommittee on General Farm Commodities and Risk Management of the Committee on Agriculture held a hearing on May 24, 2005, to review the U.S. Grain Standards Act. Testimony provided on behalf of the National Grain and Feed Association and the North American Export Grain Association highlighted the need for the U.S. grain industry to remain cost-competitive for bulk exports of U.S. grains and oilseeds in the future.

The American Farm Bureau Federation, the American Soybean Association, the National Association of Wheat Growers, the National Corn Growers Association, the National Grain Sorghum Producers, and the American Association of Grain Inspection and Weighing Agencies all voiced support for this legislation.

The U.S. Grain Standards Act first became law in 1916. In the intervening 89 years, Congress has reauthorized and amended the U.S. Grain Standards Act so that the law could adapt to changes in grain production, grain marketing, crop diversity, competitive pressure, and fiscal constraints.

The U.S. Grain Standards Act has served agriculture and our Nation well. For nearly a century, it has provided for standard marketing terms, grades and weights and facilitated domestic and international marketing of our farmers' production. Among its many responsibilities, the Federal Grain Inspection Service establishes and maintains official grades for our Nation's crop production, promotes the uniform application of official grades, provides for the official weighing and grading at export locations, provides Federal oversight of weighing and grading done by States, and investigates complaints or discrepancies reported by importers. Passage of this bill ensures the continuity of these standards and the opportunity for our farmers to remain competitive in the world marketplace.

I urge my colleagues to support this legislation.

I thank the gentleman from Minnesota (Mr. Peterson), the ranking member of the committee, for his cooperation in working with us to bring this legislation to the floor.

Mr. Speaker, S. 1752 is a bill to reauthorize the U.S. Grain Standards Act. The other body passed this bill by unanimous consent last week. Timely approval of this bill is important because the current law expires September 30, 2005.

This bill is identical to the language the Administration provided Congress earlier this year. This bill is a simple 10-year extension of current law.

The House Agriculture Subcommittee on General Farm Commodities and Risk Management held a hearing on May 24, 2005 to review the U.S. Grain Standards Act. Testimony provided on behalf of the National Grain and Feed Association and the North American Export Grain Association highlighted the need for

the U.S. grain industry to remain cost-competitive for bulk exports of U.S. grains and oilseeds in the future. Specifically, these organizations proposed that U.S. Department of Agriculture (USDA) utilize third party entities to provide inspection and weighing activities at export facilities with 100 percent USDA oversight using USDA-approved standards and procedures. The American Farm Bureau Federation, American Soybean Association, National Association of Wheat Growers, National Corn Growers Association, National Grain Sorghum Producers, and the American Association of Grain Inspection and Weighing Agencies all voice support for this proposal. USDA testified that the ``proposal of the industry establishes a framework for changing the delivery of services without compromising the integrity of the official system.''

During the hearing, the Committee also learned of workforce challenges currently facing the U.S. Department of Agriculture's Grain Inspection, Packers and Stockyards Administration (GIPSA). The majority of official grain inspectors will be eligible for retirement over the next several years. Testimony presented explained that transitioning the delivery of services through attrition would minimize the impact on Federal employees.

Since the hearing, I have reviewed legislative proposals and discussed the issue of improved competitiveness with my colleagues, farm and industry organizations, and USDA. Chairman Saxby Chambliss of the Senate Agriculture Committee and I asked USDA to determine if they had the authority under the existing law to use private entities at export port locations for grain inspection and weighing services, and if they did, how would they implement this authority.

Accompanying this statement is a copy of USDA's response to our questions. The letter states that the U.S. Grain Standards Act ``currently authorizes the Secretary of Agriculture to contract with private persons or entities for the performance of inspection and weighing services at export port locations.'' The letter further explains that GIPSA considers the use of this authority as an option to address future attrition within the Agency and to address expanded service demand. I fully expect USDA to use this authority in a manner that improves competitiveness of the U.S. grain industry, that maintains the integrity of the Federal grain inspection system, and that provides benefits to employees who may be impacted.

The Committee greatly appreciates the work that has gone into the reauthorization of this law and we are pleased to extend the authorization for 10 years.

The Secretary of Agriculture,

Washington, DC, September 21, 2005.

Hon. Bob Goodlatte,

Chairman, Committee on Agriculture, House of Representatives,

Washington, DC.

Dear Mr. Chairman: This is in response to your letter of

this date, also signed by Saxby Chambliss, Chairman of the

U.S. Senate Committee on Agriculture, Nutrition, and

Forestry, posing two questions regarding legislation which is

currently pending before the Congress. The legislation would

reauthorize, for an additional period of years, the United

States Grain Standards Act, 7 U.S.C. Sec. Sec. 71 et seq.

(Act), which is presently scheduled to expire on September

30, 2005. Your questions and our responses are as follows:

1. Would existing authority under the U.S. Grain Standards

Act allow USDA to use private entities at export port

locations for grain inspection and weighing services?

Response. The Act currently authorizes the Secretary of

Agriculture to contract with private persons or entities for

the perfonnance of inspection and weighing services at export

port locations. See 7 U.S.C. Sec. Sec. 79(e)(I), 84(a)(3).

2. If so, how would USDA implement this authority?

Response. The Act currently authorizes the Secretary to

contract with a person to provide export grain inspection and

weighing services at export port locations. The Grain

Inspection, Packers and Stockyards Administration (GIPSA) has

reserved this authority to supplement the current Federal

workforce if the workload demand exceeded the capability of

current staffing. GIPSA has also considered use of this

authority as one of several options to address future

attrition within the Agency and to address expanded service

demand as several delegated States have decided or are

considering to cancel their Delegation of Authority with

Mr. Speaker, I yield back the balance of my time.

Mr. President, I am pleased that the Senate passed S.1752, a bill to reauthorize the U.S. Grain Standards Act. I understand that the House of Representatives is scheduled to consider this legislation today and look forward to its swift approval, as the act expires September 30, 2005.

This reauthorization bill is identical to the administration's requested language provided to the committee earlier this year, a simple 10-year extension of current law.

The Agriculture, Nutrition, and Forestry Committee held a hearing to review the U.S. Grain Standards Act on May 25, 2005. Testimony provided on behalf of the National Grain and Feed Association and the North American Export Grain Association highlighted industry's desire to be cost-competitive and remain viable for bulk exports of U.S. grains and oilseeds in the future. Specifically, these organizations proposed the U.S. Department of Agriculture's, USDA, utilization of third-party entities to provide inspection and weighing activities at export facilities with 100-percent USDA oversight using USDA-approved standards and procedures. Support for this proposal in the hearing was provided by the American Farm Bureau Federation, American Soybean Association, National Association of Wheat Growers, National Corn Growers Association, National Grain Sorghum Producers, and the American Association of Grain Inspection and Weighing Agencies. Testimony provided by USDA stated that the ``proposal of the industry establishes a framework for changing the delivery of services without compromising the integrity of the official system.''

During the hearing, the Committee also learned of workforce challenges currently facing the U.S. Department of Agriculture's Grain Inspection, Packers and Stockyards Administration, GIPSA. The majority of official grain inspectors will be eligible for retirement over the next several years. Testimony presented explained that transitioning the delivery of services through attrition would minimize the impact on Federal employees.

Since the hearing, I have extensively reviewed legislative proposals and discussed the issue of improved competitiveness with various Senators, organizations, and USDA. Chairman Bob Goodlatte of the House Agriculture Committee and I wrote to USDA to determine if they had existing authority to use private entities at export port locations for grain inspection and weighing services, and if they did, how they would implement this authority.

Accompanying this statement is a copy of the letter we received from USDA responding to our questions. The letter clearly states that the U.S. Grain Standards Act ``currently authorizes the Secretary of Agriculture to contract with private persons or entities for the performance of inspection and weighing services at export port locations.'' The letter further explains that GIPSA considers the use of this authority as an option to address future attrition within the Agency and to address expanded service demand. I fully expect USDA to use this authority in a manner that improves competitiveness of the U.S. grain industry, that maintains the integrity of the Federal grain inspection system, and that provides benefits to employees who may be impacted.

The committee greatly appreciates the work provided by GIPSA, and we are pleased to extend the authorization of current law for 10 years.

I ask unanimous consent that the letter to which I referred be printed in the Record.

Mr. Speaker, I want to thank the gentleman from Minnesota (Mr. Peterson) for the work he has done on this bill. I rise in support of S. 1752, the Reauthorization of the Grain Standards Act.

Two weeks ago, I was opposed to the bill because it needlessly privatized grain inspectors, which could harm our agricultural export market. In the mid-1970s, the inspection service was federalized following several scandals involving some growers who tried to cheat foreign buyers by, for example, substituting saw dust for grain. Overall, there were indictments of 52 individuals and four corporations.

Today, with Federal inspectors on the job, our foreign customers are confident in the quality of U.S. grain. But many of these buyers, international buyers, have spoken publicly about their reservations of a private inspection system. Such a scheme may harm U.S. exports of grains, something our farmers cannot afford.

Worse yet, the benefits from privatization are almost nil. According to testimony from the National Grain and Feed Association, privatizing the inspector force will save 8 cents per ton of grain per export in the unlikely scenarios that the entire cost savings were passed along to farmers by way of better commodity prices. The average 500-acre soybean farm would gain a measly $46 a year in extra income. For nothing more than pocket change, that kind of privatization could undermine the 30 years of confidence in the quality of U.S. grain. That was an enormous risk for pocket change.

Thankfully, because of the gentleman from Minnesota (Mr. Peterson) and others, this bill before us today does not include the risky privatization scheme that was contemplated.

I once again want to thank the gentleman from Minnesota and his staff for the opportunity to work with them on this legislation.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, I am glad that we are moving this reauthorization before various authorities in the Grain Standards Act expire on September 30. I want to thank Subcommittee Chairman Moran, Ranking Member Etheridge, as well as Chairman Goodlatte for their work on moving this reauthorization.

The legislation we are considering today would simply reauthorize the existing Grain Standards Act for 10 years. While I would prefer that the reauthorization be for 5 years to allow for reexamination of the state of the inspection service and industry at that time, I support the bill before us today.

As we saw with the recent experiences in the aftermath of Hurricane Katrina, the Federal Grain Inspection Service's Federal workforce is a dedicated group of individuals with many years of experience and a great deal of pride in the work that they do. The folks that work in the Port of New Orleans, for example, have continued to provide valuable public services even as the disaster affects their own families, homes, and neighborhoods.

The quality of the grain produced on American farms is among the best in the world, and our export inspection system helps ensure that the integrity of those crops is maintained as it is exported to our foreign customers.

I support the passage of this reauthorization, and I again want to thank my colleagues for their work on this issue.

Mr. Speaker, I yield 2 minutes to the gentleman from Ohio (Mr. Kucinich), who has worked on this issue.

Mr. Speaker, I yield back the balance of my time.

Mr. Speaker, today the House is considering S. 1752, Senate-passed legislation to reauthorize the U.S. Grain Standards Act.

The Grain Standards Act helps farmers maintain a high standard of quality in crop production through a national system for inspecting, weighing and grading grain, both for domestic and foreign shipments.

S. 1752 reauthorizes the U.S. Grain Standards Act for 10 years. This bill will reauthorize the Secretary's authority to charge and collect fees to cover costs of inspection and weighing services and to receive appropriated dollars for standardization and compliance activities.

I support reauthorization of these important components of the Grains Standards Act in order to ensure the United States remains a large producer of quality agricultural products.

I urge my colleagues to support S. 1752 so we can send it to the President for signature.