Dick Lugar: “Two elements of the amendment offered by the distinguished Senator from Iowa are costly provisions. I think Senators…”

“Two elements of the amendment offered by the distinguished Senator from Iowa are costly provisions. I think Senators need to understand that there are expenses attached which the taxpayers would have if the amendments were to be adopted. Specifically, the Harkin amendment as it deals with CCC credits and the 100-basis-point increase, which the pending legislation would provide in the CCC interest rates, if that were stricken, this would cost the taxpayers $260 million. So it is a significant item. The point made by the distinguished Senator is, why should interest rates for farmers be increased as represented by the CCC interest rates? And the fundamental answer is that these rates are well below commercial rates. In essence, as the Agriculture Committee dealt with this problem, we have tried to bring some equity among farmers, business people, and those who are involved in commerce generally in America. And the elimination of the 100-basis-point advantage likewise was a very important saving at the time that we were all considering the balanced budget amendment that was vetoed ultimately by President Clinton.”