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MILC Excluded From House Budget Committee's Reconciliation Bill

On November 3, the House Budget Committee passed its budget reconciliation package without including any renewal of the controversial Milk Income Loss Contract (MILC) program, which expired September 30. The deficit reduction package cuts $53.9 billion in mandatory spending over the next five years and exceeds the congressional goal by $19.2 billion. The bill includes $3.7 billion in cuts to agricultural spending.

The full House of Representatives is expected to vote on the reconciliation package this week. Supporters of MILC may offer an amendment to resurrect the program during the floor debate.

"The House budget process has shown the appropriate fiscal discipline so far," said IDFA Senior Vice President Chip Kunde. "A budget-cutting legislative package is no place to include billions of dollars in new spending to revive a flawed subsidy program."

The full Senate passed its version of the budget reconciliation bill, including nearly $1 billion to create a new MILC program, on November 3. Overall, the Senate bill trims close to $35 billion in mandatory spending over the next five years.

Once the full House approves its reconciliation bill, the differences between the House and Senate versions — including whether to create a new MILC program — will have to be resolved before Congress adjourns. For more information on MILC, a sample advocacy letter or to use IDFA's online e-advocacy tool to contact your congressional delegation, click here.

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Posted November 7, 2005