[Congressional Record Volume 140, Number 35 (Thursday, March 24, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: March 24, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
   ECONOMIC WELL-BEING OF RURAL AMERICA DESERVES IMMEDIATE ATTENTION

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentlewoman from North Carolina [Mrs. Clayton], is recognized for 5 
minutes.
  Mrs. CLAYTON. Mr. Speaker, the Nation's attention has been focused on 
the economic plight of our inner cities, but I believe that the 
economic well-being of rural America has reached a critical point and 
deserves our immediate attention.
  Rural communities are rapidly losing population as jobs dry-up. From 
1980-1990, the census showed more than 50 percent of the country's 
rural counties lost population. Average rural unemployment for the 
decade was almost 9 percent. Furthermore, by the beginning of this 
decade, almost a quarter of all farm households had incomes below the 
poverty line, more than twice the national average. In my rural 1st 
District of North Carolina, the average poverty rate is 26 percent.
  Mr. Speaker, it is time for Congress to take action to unlock the 
potential economic power of rural America. In a time of limited Federal 
resources, we in Congress must seize upon the opportunities available 
to leverage private resources and ensure that existing programs are 
used to their utmost.
  We all know that agriculture and its related industries are the 
economic pillars upon which rural communities were built. But over the 
years, agriculture and rural businesses have changed dramatically. In 
this context, I believe that Congress must act now to adapt public 
policy to meet the challenges facing rural America.
  As rural communities have become less dependent on agriculture, 
farmers have become more dependent on the jobs provided by those 
communities. Off-farm income now accounts for more than 80 percent of 
the average income of farmers. Almost half now receive a majority of 
their income from non-farm sources. Today more than ever, agriculture 
depends on a healthy and growing rural economy.
  In this fight to revitalize rural America, local leaders tell us that 
specific plans, tailored to unique local resources and needs, are the 
most effective efforts. Communities are trying to attract start-up 
businesses, expand existing enterprises, and provide job opportunities 
for their residents--and they need our help!
  Mr. Speaker, the bill I introduce today will provide local leaders 
some of the resources they need to fight this battle--at no cost to the 
U.S. Treasury. The Rural Credit and Development Act of 1994 would 
leverage the $65 billion in assets of the cooperative Farm Credit 
System for the benefit of rural communities who are in desperate need 
of capital. This legislation will allow Farm Credit's far-flung network 
of lending offices to play a crucial role in providing the dollars 
needed to rebuild rural economies.
  The Farm Credit System offers 250 financial institutions and over 
1,400 lending offices nationwide, all controlled and owned by people 
who live and work in rural areas. These local Farm Credit leaders as 
committed to meeting the changing needs of agriculture and rural 
business. Consequently, the Rural Credit and Development Act of 1994 
would employ this established delivery network to bring the resources 
of Wall Street to rural businesses, rural infrastructure, rural housing 
stock, and much needed rural community facilities.
  Today, our Nation's rural communities have a tremendous potential 
opportunity to help expand the national economy and spur economic 
growth. Rural America possesses a record of substantial economic 
achievement and a workforce willing to meet the challenges of the next 
century. This legislation can help rural America realize its potential 
by providing it with the necessary capital for job creation and 
economic diversification.
  For over 75 years, the Farm Credit System has successfully put the 
financial resources of urban centers to work for American agriculture. 
I ask my colleagues to provide this same opportunity for the rest of 
rural America by signing on as cosponsors to this legislation and 
working for its swift passage. Thank you.

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