Senate Holds FY14 USDA Hearing

The Senate Appropriations Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies held a hearing on the President’s USDA FY14 budget request to Congress on May 9. Witnesses included: USDA Secretary Thomas Vilsack; Michael Young, Budget Officer of USDA; and Phyllis Fong, Inspector General of USDA. Subcommittee Chair Mark Pryor (D-AR) began the hearing by highlighting the constraints of the current budget environment and how the FY14 budget request for USDA provides less funding than the budget a year ago. Chair Pryor praised requested increases for some programs, including a $100 million increase for Section 521 rural rental assistance, but expressed dismay at proposed cuts to other programs. In his opening statement, Ranking Member Roy Blunt (R-MO) commented on the size of government and how it has grown beyond its means. The written testimony of Secretary Vilsack emphasized that USDA has leveraged efficiencies to manage an increased workload due to greater program complexity and higher program participation levels, while staff resources have declined by greater than 12%. Secretary Vilsack’s testimony further stated that the reductions within the FY13 full-year continuing resolution will result in a reduction of some program services including rental assistance for 15,000 very low income rural residents who are elderly, people with disabilities, and single women who are heads of households. Secretary Vilsack’s testimony also states that the FY14 budget request includes greater than $1 billion to renew all outstanding contracts for rental assistance. Senator Tim Johnson (D-SD) questioned Secretary Vilsack on the impact of water programs as a result of the rural definition and usage of 2010 Census data. Under current law, rural areas are to be classified based on 1990 or 2000 census population data until 2010 census data are received. Many rural communities have grown since the 2000 Census and would no longer be defined as rural communities. The FY13 continuing resolution delays exclusion of these communities from the definition of rural until October 1. Secretary Vilsack responded to Senator Johnson’s question by stating there are currently eleven different definitions of rural community for USDA’s programs and usage of 2010 Census data would have negative impacts on many types of rural assistance, including more than 900 communities losing rental assistance. Secretary Vilsack further commented that a uniform definition is needed and a system should be developed to focus on areas where the need is greatest. In April, Senator Johnson introduced S. 766, which would change census population requirements used to determine rural areas (see Memo, 4/26). An archived webcast and witness testimony are available at: http://1.usa.gov/12jsO7y