RURAL ECONOMIC DEVELOPMENT RESPONSE TO THE DROUGHT.

SEC. 335. RURAL ECONOMIC DEVELOPMENT RESPONSE TO THE DROUGHT. (a) Findings.—Congress finds that— (1) the disastrous drought of 1988 is adversely affecting a large number of States, with serious economic consequences for family farmers; (2) the harm caused by the drought is not limited to farmers, but extends to each rural community whose economic viability is being devastated; (3) rural businesses and financial institutions are already experiencing the negative effects of decreased sales, and they anticipate severe problems over the next year, due to crop failures and the unavailability of credit; (4) local rural governments, whose fiscal bases depend on tax revenues from agriculture and agriculture-related businesses, will experience, as a result of the effects of the drought, difficulties in providing services that are important to the quality of life for rural residents; (5) as a result of the effects of the drought, significant savings will accrue to the Federal budget due to reduced deficiency payments and storage payments, substantially in excess of the funds allocated by this Act; and 102 STAT. 954 (6) assistance to farmers, while essential, represents only the first stage of a comprehensive response to the serious national problems created by the drought. (b) Sense of Congress.—It is the sense of Congress that— (1) budgetary savings that accrue from the effects of the drought and other economic circumstances should, to the maximum extent possible, be dedicated to relief for farmers and agricultural workers and to assist rural businesses and communities in promotion of rural economic development; (2) action should be taken to establish comprehensive Federal rural economic programs that address the needs of rural businesses and governments; and (3) rural development programs should stress efforts to cooperate with and support local decisionmaking; promote market-based capital formation; create a more equitable and dependable partnership between the Federal Government and other levels of government; provide Federal initiatives for improving the quality of rural health care, child care, and education; and foster better understanding of the effect of Federal spending, tax, trade, and regulatory decisions on rural communities.