In a press conference held this morning, Jerry Kozak, National Milk Producers Federation President and CEO, clarified that the dairy reform package introduced last week will save a projected $167 million over the first five years and $131 million over 10 years.
The Congressional Budget Office (CBO) assumed more than 60% of U.S. milk volume would participate in the program. The CBO baseline spending estimate for dairy programs over 10 years is $672 million, so the $131 million savings represents nearly a 20% savings. Kozak says savings estimates decline during the last five years of the estimate simply because of increased uncertainty the further out CBO economic models reach.
In addition to co-sponsors Rep. Collin Peterson (Dem., Minn.) and Cong. Mike Simpson ( Rep., Idaho), Kozak also announced six additional House Sponsors for the “Dairy Security Act of 2011.
Cong. Jim Costa (Dem., Calif.)
Cong. Joe Courtney (Dem., Conn.)
Cong. Rick Larsen (Dem., Wash.)
Cong. Billy Long (Rep., Mo.)
Cong. Kurt Schader (Dem., Ore.)
Cong. Peter Welch (Dem., Vt.)
The entire text of the H.R. 3062 can be read here.
