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bstar.gif (921 bytes) South Dakota Politics bstar.gif (921 bytes)

lstar.gif (869 bytes)Texas Tornado Damages Republican Strongholdlstar.gif (869 bytes)

by: Alan Malavolti

Sioux Falls, SD - After the Texas Tornado blew through the Black Hills of South Dakota, people throughout the state were left wondering why, exactly, did President Bush come here.  Calling his Thursday morning visit an “official” trip, Bush made no significant announcement or gave any new statements.  Early speculators believed this would be a campaign stop to show support for Congressman John Thune, who is Bush’s choice to challenge incumbent Senator Tim Johnson and possibly gain Republican control of the Senate itself.  The President, however, barely acknowledged Thune and made no overt campaign speeches.  Taking time from his working vacation, President Bush appears to have traveled at taxpayer expense to tell the people of west river South Dakota, “Howdy.”  In doing this, the Texas Tornado cut a swath of destruction for the Republicans to repair and the Democrats to exploit. 

Towering majestically above the President, South Dakota’s four Great Faces could hardly maintain their stony composure as a most bizarre spectacle unfolded below the Mt. Rushmore National Monument.  Leaning on the podium and giving the crowd his familiar friendly smile, President Bush essentially told the drought stricken farmers and ranchers there would be no real relief from the federal government.  Oddly, the audience cheered this announcement, even though this policy had already been disclosed long before the trip, giving them ample time to understand its consequences. 

Much like a drowning man cares little about where the rope comes from or what it is tied to, so long as it gets him out of the water, these farmers and ranchers seem to have no concern for the long-term ramifications of the Bush drought relief proposal.  For a person who has an agricultural background and an education in business, the President’s plan is remarkably irresponsible and demonstrates a lack of understanding for the elementary principle of supply and demand.  It also shows a complete disregard for the historically proven realities of American agriculture.

During periods of difficulty, such as a widespread drought, the supply of agricultural commodities is less, but demand for them remains, causing prices to increase.  Because the crops of many farmers are scorched in the fields and yield small or no harvests, they are unable to reap the benefit of higher prices and commonly operate at a deficit.  When the difficulty subsides and more favorable conditions allow for abundant harvests, farmers have no other choice than to over produce in the hope of escaping their debts and becoming profitable.  Unfortunately, their productivity creates a surplus that drives down prices, giving them less money for their commodity and encouraging them to produce even more.  As a result of this vicious cycle countless legislative acts have been implemented to help maintain a market in which the producers of these commodities are able to survive.  

The Bush Administration, focusing only on today’s drought problem, believes it has found available money in the recently enacted Farm Bill.  A provision of this legislation has established funds to assist farmers when prices are low.  Because prices are currently high, the money in this portion of the bill appears to be a surplus.  From this “surplus” of money, Bush has discovered a means of aiding drought plagued farmers and ranchers.  Recently, he has freed some of this money to grant vouchers to ranchers so they may receive feed for their cattle.  South Dakota’s two Democrat Senators, Tim Johnson and Senate Majority Leader Tom Daschle, have aptly described the Bush plan as taking money from the farmers’ left pocket and putting it in their right pocket. 

The Bush plan is more problematic than merely giving farmers money that has already been given to them.  Droughts do not last forever.  At some point the drought will release its grip on agriculture and American farmers will again produce ample amounts, most likely to the point of large surpluses, which will ultimately result in lower prices.  Instead of drought relief, farmers and ranchers will need market relief.  The money set aside by the Farm Bill to provide this relief will have already been spent, leaving the government with no alternative than to do what he should have in the first place: find money for the struggling agricultural sector of our economy. 

The Bush policy of drought relief may also have political repercussions in the upcoming elections.  While South Dakota’s farmers and ranchers welcome any aid the government can give them, many recognize the irresponsibility and shortcomings of Bush’s plan.  They expect more assistance, which Bush has categorically denied in Thursday’s speech, and they expect a more sound agricultural policy, which the President seems unwilling to provide.  This places Congressman John Thune in an extremely uncomfortable position.  For several months, Thune has been telling South Dakotans he is their best choice for the Senate, because, as a Republican and Bush’s handpicked selection, he will have a direct line to the White House and will be able to obtain what South Dakota needs.  This issue has made it obvious to everyone that Thune has exaggerated his White House connections.  In order to minimize the damage caused by the Texas Tornado, John Thune, immediately following the President’s speech, announced his support of Bush’s plan.  Meanwhile, Senators Daschle and Johnson were free to point out its flaws and assure South Dakotans they will continue working for the much needed drought relief.

To make matters worse, Bush returned to the ever-popular subject of value-added agriculture by reiterating his support of mandating Ethanol in gasoline.  Unfortunately, one of the headlines in Thursday’s Sioux Falls Argus Leader was James Abbott’s plan to mandate Ethanol.  President Bush, leader of the Republican Party, effectively endorsed Abbott, the Democrat candidate for governor.  Mike Rounds, Republican candidate for governor and staunch opponent of Ethanol mandates, suddenly found himself picked up by the swirling vortex and deposited among the rest of the Republican debris.

As Air Force One gracefully lifted into the air, no doubt to the relief of many South Dakota Republicans, we could not help but recall Bush’s previous trip to Sioux Falls.  When he arrived for that visit, Bush was greeted by the relentless South Dakota wind.  It seems the President has returned the favor.

Alan Malavolti is a contributing writer for PurePolitics.com who lives in Sioux Falls, SD.

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