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Lawmakers Voice Serious Doubts
About USDA’s COOL Cost Claims
WASHINGTON —(AP)— Some farm-state senators are asking the Bush
administration to explain how it developed its latest cost estimate
for labeling the origin of meat and other foods.
``Right now we've got the worst of both worlds: We're not being
allowed to know the origins of meat that our families are served, and
we are placing our meat exports in jeopardy by not having a country of
origin labeling requirements as other countries do,'' Sen. Tim
Johnson, D-S.D., said last week.
Last Monday, USDA released figures doubling to $4 billion its
estimate of what the labeling program, commonly called ``COOL,'' will
cost. The 2002 farm bill President Bush signed requires that the
labels start appearing on meat, fish, vegetables, fruit and peanuts by
next September.
Packers and retailers have pushed to get the labeling program
rolled back, arguing it costs too much for too little benefit.
Supporters say the program will allow U.S. producers to sell more meat
at a premium price and will help consumers know what they are buying.
The new estimate predicts that producers and packers could spend
$3.3 billion to keep separate pigs, cattle and sheep before they're
slaughtered. USDA said it would cost at least another $500 million to
establish and maintain records.
In an initial estimate last year, the department put the
record-keeping cost at almost $2 billion for the first year. Last
month, congressional auditors said in a report that the department
could not show how it supported that estimate and questioned its
assumptions about how many of the records are already kept.
Johnson and Senate Minority Leader Tom Daschle, D-S.D., requested
that review and, in a letter sent last Wednesday, questioned whether
the latest estimate was inflated.
Sen. Max Baucus, D-Mont., agreed. ``I think they're playing
games,'' he said of the USDA.
``They say they'll implement what the Congress passes, but I think
indirectly they're trying to undermine the legislation,'' Baucus
added.
USDA officials said they would not debate the merits of the
legislation, but did contend that the cost estimate was studied for a
year and included visits to retailers, a dozen ``listening sessions''
across the country, and 3000 written comments, among other analysis.
Sen. Byron Dorgan, D-N.D., also has called on the administration to
justify the recent estimates.
And Republican Sen. Mike Enzi of Wyoming said he thought the
estimate was too high, though he did not go as far as the Democrats in
his criticism.
``The USDA continues to focus only on the costs of implementing
COOL, but it fails to recognize the benefits of this law ... If COOL
is implemented in the most effective manner, I believe the cost would
be on the lower end of that estimate,'' Enzi said.
The House passed a measure this year to block the requirement from
taking effect next year by cutting off money for it in a spending bill
for farm programs.
The Senate version of the bill includes the funds, however, and
Johnson and Daschle plan to offer an amendment to that bill directing
Senate negotiators to keep the money in the compromise legislation
worked out between the two versions.
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