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CONTENTS

H. R. 294. A bill to amend the Agricultural Act of 1949 and the Agricul-

tural Act of 1954 with respect to the brucellosis eradication program for Page

the fiscal year ending June 30, 1958

1

H. R. 297. A bill to amend the Agricultural Act of 1949 and the Agricul-

tural Act of 1954 with respect to the special school milk program and

the brucellosis eradication program for the fiscal year ending June 30,

1958

1

H. R. 8152. A bill to authorize a special milk program, a veterans and

Armed Forces dairy products program, and an accelerated brucellosis

eradication program.

2

H. R. 9618. A bill to amend the Agricultural Act of 1949 to provide for

furnishing surplus dairy products to the Coast Guard, the Coast Guard

Academy, and the United States Merchant Marine Academy -

4

H. R. 10324. A bill to extend and expand the special milk for children pro-

gram for an additional 2-year period, to extend the program of expanded

milk in Veterans' Administration faci.ities and Armed Forces for an addi-

tional 2-year period, and to extend the brucellosis eradication program

for an additional 2-year period, and for other purposes--

4

H. R. 10390. A bill to extend and expand the special milk for children pro-

gram for an additional 2-year period, to extend the program of expanded

milk in Veterans' Administration facilities and Armed Forces for an addi-

tional 2-year period, and to extend the brucellosis eradication program

for an additional 2-year period, and for other purposes.

5

Statement of -

American Veterinary Medical Association.-

43

Davis, Howard P., Deputy Director, Food Distribution Division, AMS,

accompanied by Martin D. Garber, Director, Food Distribution

Division, AMS; Nathan Koenig, special assistant to the Administra-

tor, AMS; and Isabelle M. Kelley, Food Distribution Division,

AMS, United States Department of Agriculture.

5

Healy, Patrick, assistant secretary, National Milk Producers Federa-
tion; accompanied by Nelson Post.-

35, 131

Johnson, Hon. Lester R., a Representative in Congress from the Ninth

Congressional District of the State of Wisconsin

32

Kenfield, Leonard, member of executive committee, National Farmers

Union; president, Montana Farmers Union.

33

Laird, Hon. Melvin R., a Repre entative in Congress from the Seventh
Congressional District of the State of Wisconsin.

29
Palmby, Clarence, Deputy Administrator, Commodity Stabilization
Service, United States Department of Agriculture. -

20
Reed. Otie M., representing National Creimeries Association

133
Van Houweling, Dr. C. D., Assistant Administrator; accompanied by

Dr. R. J. Anderson, Director, Animal Disease Eradication Division;
and H. Rothenbuch, Assietant to the Administrator, Agricultural

Research Service, United States Department of Agriculture -- 50

Westland, Hon. Jack, a Representative in Congress from the Second

District of the State of Washington.---

44

EXTEND AND EXPAND MILK PROGRAMS

WEDNESDAY, FEBRUARY 26, 1958

HOUSE OF REPRESENTATIVES,
COMMODITY SUBCOMMITTEE ON DAIRY PRODUCTS,
OF THE COMMITTEE ON AGRICULTURE,

Washington, D.C. The subcommittee met pursuant to notice at 10:10 a. m., in room 1310, New House Office Building, Hon. Thomas G. Abernethy (chairman of the subcommittee) presiding.

Present: Representatives Abernethy (presiding), Polk, Johnson, and Tewes.

Also present: Representative Anfuso and Francis LeMay, staff consultant.

Mr. ABERNETHY (presiding). The committee will come to order.

The committee is meeting this morning for the purpose of taking testimony on several subjects, school milk, brucellosis program, and distribution of surpluses to the Veterans Administration hospitals, and so forth.

(H. R. 294, H. R. 297, H. R. 8152, H. R. 9618, H. R. 10324, H. R. 10390 are as follows:)

[H. R. 294, 85th Cong., 1st sess. ] A BILL To amend the Agricultural Act of 1949 and the Agricultural Act of 1954 with

respect to the brucellosis eradication program for the fiscal year ending June 30, 1958

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 204 (e) of the Agricultural Act of 1954 is amended to read as follows: "As a means of stabilizing the dairy industry and further suppressing and eradicating brucellosis in cattle, the Secretary is authorized to transfer not to exceed $17,000,000 for the fiscal year ending June 30, 1956, and $20,000,000 for each of the fiscal years 1957, 1958, and 1959, from funds available to the Commodity Credit Corporation to the appropriation item 'Plant and Animal Disease and Pest Control in the Department of Agriculture Appropriation Act for such fiscal year for the purpose of accelerating the brucellosis eradication program, for the purpose of increasing to not to exceed $50 per head of cattle the amount of the indemnities paid by the Federal Government for cattle destroyed because of brucellosis in connection with cooperative control and eradication programs for such disease in cattle entered into by the Secretary under the authority of the Act of May 29, 1884, as amended, for the purpose of increasing the number of such indemnities, and for the purpose of defraying any additional administrative expenses in connection therewith. There are hereby authorized to be appropriated such sums as may be necessary to reimburse the Commodity Credit Corporation for expenditures pursuant to this section."

(H. R. 297, 85th Cong., 1st sess.) A BILL To amend the Agricultural Act of 1949 and the Agricultural Act of 1954 with

respect to the special school milk program and the brucellosis eradication program for the fiscal year ending June 30, 1958

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the last sentence of section 201 (c) of

the Agricultural Act of 1949, as amended, is amended to read as follows: "For the period beginning September 1, 1954, and ending June 30, 1955, not to exceed $50,000,000, and for the fiscal year ending June 30, 1956, not to exceed $60,000,000, and for each of the four fiscal years in the period beginning July 1, 1956, and ending June 30, 1960, not to exceed $75,000,000, of the funds of the Commodity Credit Corporation shall be used to increase the consumption of fluid milk by children in (1) nonprofit schools of high-school grade and under; and in (2) nonprofit nursery schools, child-care centers, settlement houses, summer camps, and similar nonprofit institutions devoted to the care and training of children."

SEC. 2. Section 204 (e) of the Agricultural Act of 1954 is amended to read as follows: “As a means of stabilizing the dairy industry and further suppressing and eradicating brucellosis in cattle, the Secretary is authorized to transfer not to exceed $17,000,000 for the fiscal year ending June 30, 1956, and $20,000,000 for each of the fiscal years 1957, 1958, and 1959, from funds available to the Commodity Credit Corporation to the appropriation item "Plant and Animal Disease and Pest Control" in the Department of Agriculture Appropriation Act for such fiscal year for the purpose of accelerating the brucellosis eradication program, for the purpose of increasing to not to exceed $50 per head of cattle the amount of the indemnities paid by the Federal Government for cattle destroyed because of brucellosis in connection with cooperative control and eradication programs for such disease in cattle entered into by the Secretary under the authority of the Act of May 29, 1884, as amended, for the purpose of increasing the number of such indemnities, and for the purpose of defraying any additional administrative expenses in connection therewith. There are hereby authorized to be appropriated such sums as may be necessary to reimburse the Commodity Credit Corporation for expenditures pursuant to this section."

Sec. 3. The first sentence of subsection (a) and the first sentence of subsection (b) of section 202 of the Agricultural Act of 1949, as amended, are amended by striking out “1958" and inserting in lieu thereof “1960".

[H. R. 8152, 85th Cong., 1st sess.] A BILL To authorize a special milk program, a veterans and Armed Forces dairy products

program, and an accelerated brucellosis eradication program Be it enacted by the Senate and House of Represenatives of the United States of America in Congress assembled, That not to exceed $75,000,000 annually of the funds of the Commodity Credit Corporation shall be used to increase the consumption of fluid milk by children in (1) nonprofit schools of high-school grade and under; and in (2) nonprofit nursery schools, child-care centers, settlement houses, summer camps, and similar nonprofit institutions devoted to the care and training of children.

SEC. 2. As a means of stabilizing the dairy industry and further suppressing and eradicating brucellosis in cattle, the Secretary is authorized to transfer not to exceed $20,000,000 annually from funds available to he Commodity Credit Corporation to the appropriation item “Plant and animal disease and pest control" in the Department of Agriculture Appropriation Act for each fiscal year for the purpose of accelerating the brucellosis eradication program, for the purpose of increasing not to exceed $50 per head of cattle the amount of the indemnities paid by the Federal Government for cattle destroyed because of brucellosis in connection with cooperatve control and eradication programs for such disease in cattle entered into by the Secretary under the authority of the Act of May 29, 1884, as amended, for the purpose of increasing the number of such indemnities, and for the purpose of defraying any additional administrative expenses in connection therewith. There are hereby authorized to be appropriated such sums as may be necessary to reimburse the Commodity Credit Corporation for expenditures pursuant to this sec on.

Sec. 3. As a means of increasing the utilization of dairy products (including, for purposes of this section, milk), upon the certification by the Administrator of Veterans' Affairs or by the Secretary of the Army, acting for the military departments under the Department of Defense's single-service purchase assignment for subsistence, or their duly authorized representatives, that the visual quantities of dairy products have been purchased in the normal channels of trade

(a) The Commodity Credit Corporation annually shall make available to the Alministrator of Veterans' Affairs, at warehouses where dairy products

are stored, such dairy products acquired under price-support programs as the Administrator certifies that he requires in order to provide butter and cheese and other dairy products as a part of the ration in hospitals under his jurisdiction. The Administrator shall report monthly to the Committees on Agriculture of the Senate and House of Representatives and the Secretary of Agriculture the amount of dairy products used under this subsection.

(b) The Commodity Credit Corporation annually shall make available to the Secretary of the Army, at warehouses where dairy products are stored, such dairy products acquired under price-support programs as the Secretary of the Army or his duly authorized representative certifies can be utilized in order to provide additional butter and cheese and other dairy products as a part of the ration of the Army, Navy, or Air Force, and as a part of the ration in hospitals under the jurisdiction of the Department of Defense. The Secretary of the Army shall report every six months to the Committees on Agriculture of the Senate and the House of Representatives and the Secretary of Agriculture the amount of dairy products used under this subsection.

(c) Dairy products made available under this section shall be made available without charge, except that the Secretary of the Army or the Administrator of Veterans' Affairs shall pay the Commodity Credit Corporation the costs of packaging incurred in making such products so available.

(d) The obligation of the Commodity Credit Corporation to make dairy products available pursuant to the above shall be limited to dairy products acquired by the Corporation through price-support operations and not disposed of under provisions (1) and (2) of section 416 of the Agricultural Act of 1949, as amended.

DEPARTMENT OF AGRICULTURE,

Washington, D. C., September 23, 1957. Hon. HAROLD D. COOLEY, Chairman, Committee on Agriculture,

House of Representatives. DEAR CONGRESSMAN COOLEY: This is in reply to your request of June 24, 1957, for a report on H. R. 8152, a bill to authorize a special milk program, a veterans and Armed Forces dairy products program, and an accelerated brucellosis eradication program.

Section 1 of the bill would authorize the annual use of not to exceed $75 million of Commodity Credit Corporation funds to increase the consumption of fluid milk among children in schools, nonprofit summer camps, and other nonprofit child-care institutions. It thus provides for the permanent operation of the special milk program which is now authorized until June 30, 1958, under the provisions of section 201 (c) of the Agricultural Act of 1949, as amended. The use of CCC funds to increase the consumption of fluid milk by children was first authorized in the Agricultural Act of 1954 as one part of a broader program for dairy price support and surplus disposal. The original authorization was due to expire June 30, 1956; it was subsequently authorized for an additional 2-year period under Public Law 752, 84th Congress.

The Department is not in a position to make a recommendation at this time regarding further extension or termination of the authority for the special milk program. For consideration at the next session, the Department will be able to provide the Congress with a more timely evaluation of the marketing situation for milk and dairy products, the need for the special milk program as a dairy price support measure, and the relationship of that program to other phases of the dairy price support program.

Section 2 of the bill would make permanent the accelerated brucellosis eradication program through the use of Commodity Credit Corporation funds authorized by section 204 (e) of the Agricultural Act of 1954, as amended by Public Law 465, 84th Congress. We are in full accord with the objectives of section 2 of the bill, but we recommend against enactment of that section, since the use of Commodity Credit Corporation funds for the purpose of accelerating the Brucellosis eradication program was a temporary emergency measure, the Department has other adequate legislative authority to continue a brucellosis eradication program, and we believe that funds for this work should be provided by the regular budgetary process.

Section 3 of the bill is the same as section 202 of the Agricultural Act of 1949, as amended, which now provides that until December 31, 1958, the Commodity Credit Corporation shall make available for increased use by veterans'

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