Statement of Wayne Dillman

Indiana Farmers Union

before the

Senate Committee on Agriculture, Nutrition and Forestry

July 21, 1999

Washington, DC

Good afternoon ladies and gentleman. My name is Wayne Dillman, I farmed corn, beans and wheat for 35 years, served for 6 years as President of the Indiana Farmers Union, and I currently serve as the legislative director for the Indiana Farmers Union. I also serve on the Indiana Commission for Agriculture and Rural Development.

Mr. Chairman, first, I want to thank you for your invitation to appear before you today. It meant a great deal to me to have the opportunity, and it is a pleasure for me to be here today before the Committee. I am especially pleased to see Bob White of your staff, an Indiana native, and a founding member of the Indiana Agriculture and Natural Resources Land Use Working Group, the informal organization which began the dialogue concerning farmland preservation in 1995.

Just recently, I had the distinct honor to serve the citizens of the State of Indiana on the Hoosier Farmland Preservation Task Force, which Governor Frank O'Bannon appointed in 1997. The Task Force consisted of 19 individuals representing agriculture, government, academia and business. We complied a final report, of which I have copies with me today, in which we made nine recommendations to the legislature and Governor O'Bannon.

The Hoosier Farmland Preservation Task Force recognized that farmland is one of our state's most important resources. Land use influences every aspect of life; therefore, farmland preservation efforts are destined to fail if they are anti-development or anti- growth. To be successful, the efforts must preserve prime farmland, such as pastureland, and direct industrial, residential and commercial growth to areas less suitable for farming.

When we look at the State of Indiana and its productive farmland, we rank only second at 58% to the State of Illinois at 59% in the percentage of prime farmland. Ranking third is Iowa at 52% and tied for fourth and fifth is Ohio ad Kansas at 45%. It is evident by these percentages that Indiana's agricultural land base is a very valuable natural resource that is "endangered" due to the increased pressure on farmland. Indiana's national ranking as a leading producer in many agricultural products showcases the state's agricultural importance and the value that the state's most important industry has on the Hoosier economy.

Between 1978 and 1992, the State of Indiana lost a total of 1.2 million acres of farmland, or 89,000 acres annually to uses other than agriculture. -- this is the equivalent to the size of Blackford County, which is, as you know, a county typical of rural life in Indiana. On a daily basis, one can calculate that 10 acres of farmland are converted hourly to other uses. The average size of an Indiana farm is 256 acres; thus, a family farm is converted each day to development. Nationally, over one million acres of U.S. farmland are converted to other uses each year. This is equivalent to the State of Delaware.

As the line blurs between city and countryside, farmers must find new allies and solutions to old issues and concerns. The end of the year in Indiana's farm community generally prompts observations from outsiders about the time-honored cycles of sowing, tilling and harvest. Lately, though, the harvest has meant something much different to farmers. The reward for increases in efficiency and productivity is that farmers received less for what they raise in real dollars today than they did 20 years ago. The consequences of this narrowing struggle between profit and ruin are cutting a wide path through rural communities in Indiana, and other states. Cities are sprawling farther into the countryside, dramatically raising the value of land and often forcing farmers to subdivide and sell.

Because Indiana citizens prefer to make land use decisions at the local level, the Task Force focused its recommendations on measures that can be developed and adopted by local communities. The role of the state will be to assist local leaders to do what they think is best for their communities. In fact, the first recommendation was the creation of the Indiana Land Resources Council. The Council's purpose is to continue the important dialogue the Task Force had, while at the same time serving as a resource and clearinghouse for local communities and citizens. The Land Resources Council was approved and funded by the Indiana General Assembly in the 1999 legislative session, and will be operational by early fall of 1999.

The preservation of farmland ensures a dynamic, productive agriculture for generations to come. By preserving land that is uniquely suited to farming, and redeveloping land where infrastructure is already in place, we can acknowledge the economic and cultural importance of America's agricultural heritage and more importantly, it's future.

Mr. Chairman, I have six recommendations regarding action that the Committee may want to consider. These recommendations were formed from my work on the Hoosier Farmland Preservation Task Force, and are as follows:

· We call for the establishment of an U.S. Farmland Resources Council that would coordinate farmland preservation efforts among State and Federal agencies.

· We call for the development of Federal incentives that will encourage local and state entities to adopt Agricultural Protection Zoning; Agricultural District Programs; and the Purchase of Development Rights and Transfer of Development Rights.

· We call for the development of Federal incentives to help States insure and protect the "Right to Farm."

· We call for USDA to update farmland classification using Geographical Information Systems (GIS).

· We call for the improvement of federal incentives to encourage urban and suburban development where infrastructure is already in place.

· We think it important that Urban Revitalization Programs be fostered and enhanced to reduce pressure on existing farmland and for the prevention of urban sprawl.

Mr. Chairman, thank you for the opportunity to testify before you today and I will attempt to answer any questions that you may have.