Washington — Milk producers' $1 million a day in price supports is now just a Senate vote and a presidential signature away from being abruptly wiped out. The Senate Agriculture Committee approved a House-passed bill to roll back increased supports that took effect last week when the old farm bill expired. Failure to pass the bill would cost $1 million a day in higher payments to dairy producers.
On Oct. 1, a higher price support for milk automatically went into effect under 1949 legislation. The new bill would roll back the support level from $13 .49 per hundredweight to $13.10. The administration supports the lower level to signal dairy producers to cut back production of surpluses the government has been forced to buy.