The National Grange of the Order of Patrons of Husbandry

National Grange Legislative Fly In 2002 Is Set for June 9-11, 2002
The National Grange is preparing for the 5th Annual National Grange Legislative Fly-In. This year, Fly-In 2001will take place from June 9 through June 11, 2002 at the National Grange headquarters in Washington DC. The goal of the Legislative Fly-In is to bring Grange members from all parts of the country to Washington D.C. to learn more about the legislative activities of the National Grange through an informative series of workshops and guest speakers. The Fly-In also provides Grange members with the opportunity to discuss Grange policy and individual state issues with their Members of Congress. Grange members are invited, and are encouraged, to participate in the three-day legislative program.

Over the course of Fly-In 2002, Grange members will participate in several workshops dealing with legislative issues that are important to all Grange members across the nation. Special attention will focus on issues that are part of the National Grange's priority issues document "Blueprint for Rural America 2002". Other workshops will include various grass roots lobbying techniques and examples of successful State Grange legislative projects. Several events are being planned involving key Members of Congress and their staffs from participating Grange states who will be invited to join the Fly In 2002 participants for individual and small group meetings to discuss issues of concern in informal settings.

Grange members interested in attending Fly In 2002 must have their registrations in to the National Grange Legislative Department no later than Friday May 3, 2002 to guarantee their hotel room. Some additional hotel nights are being reserved for those who need to stay over a Saturday night or for those who want to conduct some private sight seeing in the Washington DC area either before or after the conference. Information about the costs, hotel arrangements and logistics for Fly In 2002 will be mailed shortly to State Grange Masters and Legislative Directors, e-mailed to recipients of E-View from the Hill, and will be posted on the National Grange's Website www.nationalgrange.org. Grange members interested in attending this year's National Grange Fly In 2002 can contact their State Grange Master or Legislative Director for more details or contact the National Grange Legislative Department by phone (202) 628-3507 ext 101, fax (202) 347-1091, or by e-mail swilkins@nationalgrange.org, or lwatson@nationalgrange.org.

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National Grange Opposes Proposed Satellite TV and Internet Monopoly
In separate letters to the Federal Communications Commission and the U.S. Department of Justice the National Grange expressed its strong opposition to the proposed merger of EchoStar Communications Inc and Hughes Electronics Corporation. EchoStar and Hughes are the nation's leading providers of satellite TV and satellite based high speed Internet services. The Grange letters explained that in large parts of rural America that lack access to cable television or other terrestrial multichannel video programming distribution (MVPD) services, direct broadcast satellite services are currently the only means for receiving a full range of MVPD services at an affordable cost. At present there are only two major direct broadcast services-EchoStar's Dish Network and Hughes' DirecTV. Each company offers a competitive, alternative satellite TV and high speed satellite Internet service for rural consumers. The EchoStar/Hughes merger would therefore, create a monopoly in these two vital advanced communications technology services. "We believe that such a monopoly will lead to higher prices and less innovative services for consumers in rural areas," the Grange letters stated.

In response to complaints that rural America would be held hostage to anti-competitive pricing, the merged company has proposed to establish nationwide pricing for its satellite TV services. "While this proposal has facial appeal, it is not sufficient to address the problems inherent in any monopoly, " the Grange letters explained. First, the Grange argued that the combined company would be expected to set a single nationwide price that would maximize its profits, with full knowledge that extra profits from captive rural consumers would compensate for any lost customers in urban areas with cable television.

Second, the Grange letter noted that "nationwide pricing" is a form of price controls that would require some form of new, expansive federal regulatory oversight in order to assure that the nationwide pricing policies proposed by the new company are equitably applied across the nation. Third, company spokespersons have already stated that special promotions on equipment or other aspect of service would have to be exempt from the nationwide pricing pledge, depending on the local market. This means that captive rural consumers would be unlikely to benefit from these special promotions.

Finally, the Grange argued, "Antitrust policy is about more than just price." Even if a nationwide pricing policy could be effectively put in place, such a policy would do nothing to address non-price benefits of the current competitive market for satellite TV service-such as technological innovation, choice in programming, quality of service and customer care. "These non-price benefits would be lost in the non-competitive MVPD marketplace that the merger would establish for rural America. In an industry where future technological advancements seem likely, there is enormous dynamic efficiency in keeping the satellite TV companies pitted against each other and against the cable industry, instead of giving a single national satellite TV monopoly a free ride on prices and levels of service," the Grange letters argued.

Finally the proposed merger would also combine the only two high-speed Internet services available in much of rural America. More than 25% of the nation's households cannot receive advanced Internet services through cable modems or digital subscriber (telephone) lines. For these millions of Americans, satellite broadband Internet service is their only option. Thus the EchoStar/Hughes merger would enable is company to create a monopoly in current high speed Internet services in rural America. "And EchoStar/Hughes has so far refused to propose any nationwide pricing policy or other regulatory safeguard to protect consumers against the effects of monopoly in the broadband internet market," the Grange wrote. This means that in the age-old tradition of monopolies, what the new company would propose to give with one hand (price controls for the satellite TV service) they would take away with the other hand (monopoly pricing for high speed internet service). "For all of these reasons, the merger application should be denied.so that these two companies can get back to the business of competing with each other to the benefit of rural subscribers," the Grange letters concluded.

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Farm Bill Conference Committee Set to Work Out New Farm Program
The US House of Representatives and US Senate are hard at work with the Bush Administration in forging a compromise piece of legislation that will direct federal farm program for at least the next five years. The House passed H.R. 2646 and the Senate passed S. 1731. These two bills must be reconciled into a single piece of legislation before it can be sent to President Bush for his signature. As negotiations have proceeded, the National Grange has been active in notifying both Members of Congress and its grassroots membership regarding Grange supported provisions in both bills that should be part of the final legislation. Grange positions on various provisions of the Farm bill that have been communicated so far include:

Support including dairy compact legislation in the final version of the 2002 Farm Bill including: permanent authorization and expansion of the Northeast Regional Dairy Compact; creation of a Southern Regional Dairy Compact; and authorizing the formation of dairy compacts among states in other regions.

Support provisions in both the House and Senate versions of the Farm Bill that would make the Federal dairy support price of at least $9.90 per cwt. a permanent program as part of the 2002 Farm Bill.

Support the US Senate proposal for direct, federal financial assistance targeted to moderate sized dairy farms that are not covered by Regional Dairy Compact Programs when the national average all-milk price falls below the historic five-year average all milk price.

Support consensus proposals in both versions of the legislation that: authorize a national Johne's Disease control program; include importers of dairy products in promotion and research check-off programs; extend the Dairy Export Incentive Program; and reform mandatory USDA dairy inventory and price reporting requirements for cheese, butter and non-fat dry milk. Support the payment limitation provisions from the U.S. Senate Farm Bill that effectively sets an annual payment limitation of $275,000 for all 'Counter Cyclical', 'Marketing Loan' and 'Loan Deficiency' payments under the Commodity Title of the 2002 Farm Bill and oppose the U.S. House of Representative Farm Bill payment limitation provisions that would set a nominal payment limitation of $550,000 annually per farm, but with loopholes that effectively eliminate most payment limitations.

Support allowing the interstate shipment of meat that has been inspected by state government meat inspection programs to be included in the final version of the Farm Bill as one means of breaking the economic concentration of large meatpacking companies and encouraging rural small businesses.

Oppose the inclusion of Section 215, Water Conservation, from the Senate version of the Farm Bill, which creates a pilot program covering the states of California, Oregon, Washington, Nevada, New Mexico, New Hampshire and Maine that would transform the Conservation Reserve Program (CRP) into an unprecedented new water and habitat management program under the Endangered Species Act.

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National Grange Applauds House Passage of the Internet Freedom and Development Act
The National Grange recently celebrated the broad, bipartisan passage of H.R. 1542, the Internet Freedom and Development Act of 2001, out of the House of Representatives on February 27 by a vote of 273 to 157. H.R. 1542 includes a high-speed Internet build-out provision that will require the large "Baby Bell" phone companies to install equipment and facilities capable of handling high-speed Internet digital subscriber lines (DSL) in every one of their local phone company offices (including rural phone service switching offices) within five years. It also breaks down other regulatory barriers that have discouraged investment in deployment of broadband services to rural communities.

One hundred years ago, the Grange was instrumental in winning Rural Free Delivery Mail Service, which opened up vast new commerce and communications opportunities for millions of Americans living in our nation's farms and in rural communities. The Grange still believes that rural America deserves access to the same basic public and commercial services that urban Americans enjoy. Advanced telecommunications services, such as high speed Internet access, is one of those basic services. Support for the Internet Freedom and Broadband Development Act was a natural extension of that philosophy. The House of Representatives has affirmed their commitment to rural America and to the vitality of our economy with passage of this landmark legislation. Access to broadband Internet will be as important to rural America in the 21st century as universal mail and telephone services has been in the century just completed.

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Rick Ottinger is New National Grange Communication/Publications Director
The National Grange is pleased to announce that Richard Ottinger of Washington DC has been appointed to the position of Communications/Publications Director. As Communications/Publications Director, Ottinger will be responsible for National Grange newsletters, press releases, media relations, website content, and compilation of major documents, including the National Grange Journal of Proceedings.

Mr. Ottinger is a progressive project manager who brings to his new position a list of broad-based achievements in developing new publications, managing the editorial and production process, generating non-dues income through publications, and implementing successful cost control strategies. He is an experienced team player with effective planning and organizational skills and a proven capacity to approach problems effectively and creatively. Prior to joining the National Grange, Mr. Ottinger contributed to media and marketing successes with the Automotive Parts and Accessories Association, the American Speech-Language Hearing Association, the American Psychiatric Association, the Society for Human Resource Management, the American Society of Facial and Plastic Reconstructive Surgery, the American Society of Naval Engineers and the Texas Society of Professional Engineers. National Grange Chief Operating Officer Dick Weiss called Mr. Ottinger's selection "A great choice!" "We are fortunate, " Weiss said," to have someone with Rick Ottinger's skills and diverse experiences in the fields of media relations and publications management to be joining us at the National Grange to continue our 135 year tradition of service to family farmers and rural Americans."

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National Grange Legislative Policy Book 2002!
The 2002 National Grange Legislative Policies Book is the comprehensive source for information about the National Grange Legislative Program. In this single, easy to use reference guide are: Excerpts from Worthy National Master Kermit W. Richardson's Annual Address to the 2001 National Grange Convention; a complete listing of all 1200 National Grange policy positions adopted by the National Grange Delegates at the November 2001 convention; Action 2002! -The National Grange Legislative Program Handbook for Subordinate, Pomona and State Grange Legislative Directors; Blueprint for Rural America 2002, the National Grange's priority issues document and 10-point program to revitalize rural America and return U.S. agriculture to prosperity; contact information for State Grange Masters and State Grange Legislative Directors and much, much more.

Due to the retirement of our long time outside printing contractor, the production of the 2002 Legislative Policies Book was unavoidably delayed. However, production of the 2002 Legislative Policies Book is now set and ready to begin. As a cost saving measure instituted last year, printed copies of the Legislative Policies Book are no longer automatically mailed to each Subordinate and Pomona Grange. One complementary copy of the 2002 Legislative Policy Book will me mailed to any Subordinate or Pomona Grange Legislative Chairman who requests one. In order to request a free copy of the 2002 National Grange Legislative Policies Book for your Subordinate or Pomona Grange, simply write to the National Grange Legislative Department at the National Grange Headquarters, 1616 H St. NW, Washington DC 20006, fax your request to 202/347-1091 or e-mail your request to lwatson@nationalgrange.org. Be sure to include your name, mailing address, phone number, fax number (if any) e-mail address (if any) and the name and number of the Subordinate or Pomona Grange you are requesting this book for. When the books return from the printer, we'll get your copy out to you via first class mail!

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View from the Hill Editors: Leroy Watson & Chilsook Hwang |


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