990340 U.S. Farm Boards Urge USDA to Keep Its Distance

Washington - U.S. farm boards representing industries from watermelon to beef on Monday denied misspending farmers' dues and told a government committee investigating complaints of lavish parties and golf outings to stay out of their business.

Twelve U.S. farm boards, known for ad campaigns from “Got Milk?” to “Pork: The Other White Meat,” receive $690 million each year for research and promotion from farmers who pay for the programs.

After a dramatic drop in prices for most commodities over the past year, and reports that some of the boards were misusing funds, farmers questioned if they were getting the biggest bang for their buck for their contributions.

Representatives of the boards were asked to testify before a U.S. Agriculture Department committee created after the reports of misspending surfaced. Among other allegations, the Washington Post reported in 1998 the Cotton Board used farmers' money to fund trips to topless bars, lavish parties and golf outings. A Cotton Board representative was scheduled to testify on Tuesday.

Although the Agriculture Department, which oversees the boards, has been criticized for not being more involved in the groups' activities, farm board representatives said the department is already too involved and they do not want more meddling in their businesses.

“It seems like I'm rule-regulated to death,” said Brent Funk, acting chairman of the Potato Board and an Idaho potato farmer. “We spend the growers' money wisely and correctly. We don't need a lot more oversight.”

The farm board heads said the programs have been effective in boosting demand and producers reap the rewards.

The Potato Board, for example, said it found more potatoes are sold in grocery stores where potato advertisements appear on shopping carts than in stores without the promotions.

“This isn't playtime, this is a business,” Herman Brubaker, chairman of Dairy Management, Inc., told the committee. “If the program is ineffective, it will end.”

Under law, creation of the boards is voted on by producers. Another referendum can be called if a significant portion of the producers sign a petition to ask for a vote.

Beef producers are collecting signatures to force a referendum to try to dissolve the Beef Board.

But the heads of the beef group said the money collected from its members is well-spent on food safety research, advertising and the creation of new products, including the recent development of microwaveable pot roasts.

This Article Compliments of...