[Congressional Record Volume 158, Number 161 (Thursday, December 13, 2012)]
[Senate]
[Pages S7992-S7993]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           FARMING CHALLENGES

  Mr. BOOZMAN. Mr. President, every time I travel the great State of 
Arkansas, I meet farmers and ranchers who help feed America and the 
world. That is just how prevalent agriculture is in my home State. It 
is our No. 1 industry and accounts for $16 billion annually to the 
State's economy. That is the reason I asked for a seat on the 
Agriculture Committee. I wanted to help Arkansas's food producers, our 
farmers who are working to develop and implement policies to increase 
production, and provide them with the tools and resources they need to 
continue their important work.
  There are two immediate concerns I hear as I travel the State: No. 1, 
they want us to wrap up the work on a new farm bill. They want to know 
what the rules are going to be for the next 5 years as they go and 
visit with their bankers; and No. 2, they do not want us to go over the 
fiscal cliff.
  Arkansas farmers are concerned about what inaction on tax reform will 
mean to their livelihood. In particular, one of the areas they fear is 
a rise in the already high and unnecessary tax burden they face when 
inheriting a loved one's farm or ranch. The death tax makes planning 
and passing on farms and businesses to the next generation even more 
difficult. Oftentimes, the cost is too much to absorb, and families end 
up spending their hard-earned money on attorney's fees, selling their 
land or part of the business or assets or laying off workers just to 
pay Uncle Sam.
  If the President and the Senate majority refuse to compromise on the 
tax portion of the fiscal cliff agreement, the death tax will rise 
dramatically. Arkansas farmers will be forced to hand over to Uncle Sam 
up to 55 percent of the value of family farm estates that are worth 
more than $1 million beginning in 2013. This would have a truly 
devastating impact on nearly a quarter of Arkansas family farms and 
ranches.
  With 97 percent of Arkansas farms being family owned, there is great 
concern among these agricultural producers, among our farmers and 
timberland owners about the current inaction on the fiscal cliff or 
fiscal crisis. A good example is Allen Nipper. He operates a tree farm 
in Magnolia, AR. He wrote to me about what he rightfully calls 
``multiple taxation.'' He says:

       We know our lands provide clean water and wildlife habitat 
     that benefits society in general without us expecting a 
     handout or a

[[Page S7993]]

     payment for providing those services. But then at my death, 
     the Government wants to take up to 55 percent of the value 
     after I have invested my efforts into providing those 
     benefits. That is not right, nor is it fair.

  I agree with Allen. Part of the American dream is creating an 
inheritance we can pass on to our future generations. Our farmers and 
small businesses deserve to pass along their investment to their heirs 
without having to worry about a tax. That is why I introduced 
legislation to actually eliminate the death tax. While this idea will 
not be included in the final tax deal, these hard-working families 
cannot afford Congress to allow the death tax to return to 55 percent. 
It is simply unacceptable. At the very least, we need to maintain 
current policy for another year, until we are able to implement and 
provide a more permanent solution. We owe it to these hard-working 
families to work together to solve this issue.
  I yield the floor and suggest the absence of a quorum.
  The ACTING PRESIDENT pro tempore. The clerk will call the roll.
  The assistant legislative clerk proceeded to call the roll.
  Mr. THUNE. Mr. President, I ask unanimous consent that the order for 
the quorum call be rescinded.
  The ACTING PRESIDENT pro tempore. Without objection, it is so 
ordered.

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