[Congressional Record Volume 147, Number 66 (Tuesday, May 15, 2001)]
[Extensions of Remarks]
[Page E806]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         INTRODUCTION OF THE BLACK FARMERS FAIRNESS ACT OF 2001

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                          HON. J.C. WATTS, JR.

                              of oklahoma

                    in the house of representatives

                         Tuesday, May 15, 2001

  Mr. WATTS of Oklahoma. Mr. Speaker, today I am introducing the Black 
Farmers Fairness Act. This legislation will bring to closure a series 
of injustices our government has committed to a large number of black 
farmers throughout the country. For many years, this group of dedicated 
farmers experienced various acts of discrimination by the United States 
Department of Agriculture.
  In 1997, three brave farmers entered into a lawsuit with USDA to 
correct injustices they had experienced. Two months later they were 
joined by 11 additional farmers. As more and more black farmers learned 
of and joined this lawsuit, the suit was changed to a class action 
suit. For months, government attorneys blocked settlement of their 
complaint due to a ``statute of limitation'' argument.
  In 1998, the House extended the ``statute of limitations'' for the 
black farmer lawsuit--allowing justice to run its full course. Without 
this provision, many of these farmers would have not been legally 
permitted to receive consideration for the civil rights complaints. 
Before this provision, government attorneys argued that they could not 
settle complaints beyond the two-year period of each complaint.
  Finally, it appeared that justice would prevail. On April 14, 1999, a 
court ruled in a class action suit that the black farmers would be 
awarded $50,000 each in a cash settlement as well as forgiveness for 
debts resulting from discrimination for the past injustices.
  I discovered, however, that a significant portion of this settlement 
could potentially end up right back here in Washington through various 
taxes. That's an outrage! These farmers were discriminated against; no 
part of their settlement should be taken by the government. That is why 
I am introducing this bill.
  This legislation does two things. First, it lifts the tax burden 
(income tax as well as estate tax) associated with both the cash 
payment and debt forgiveness aspects of the settlement. Second, it 
releases class members from having to include settlement benefits in 
determining eligibility for federal assistance programs.
  Mr. Speaker, this Congress has an obligation to finish what it 
started in 1998. We have the opportunity and responsibility to give 
back every cent to those who were denied the opportunity to pursue the 
American Dream. I encourage my colleagues to join me by supporting the 
Black Farmers Fairness Act.

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