Senator Farley Says Federal "milk Tax" Would Harm New York Dairy Farmers

Hugh T. Farley

February 17, 2006

State Senator Hugh T. Farley (R, C - Schenectady) today said that hundreds of dairy farms in New York could be harmed, and possibly forced out of business, by a new tax on milk production hidden away in the proposed 2007 federal budget.

"New York’s hard-working dairy farmers simply cannot afford any new taxes," said Senator Farley. "Given the astronomical rise in energy prices, which have more than doubled in the past year, and the continued downward spiral in the price they receive for the milk they produce, many dairy farmers are already struggling just to get by."

Senator Farley is joining other members of the State Senate Majority in calling on Congress to scrap the proposal. Farley said he is sending a letter to New York's Congressional Delegation, urging them to consider the disastrous effect that the milk tax would have on New York dairy farmers.

"I share the concerns of local farmers and the New York Farm Bureau about this proposal. With more than 11 billion pounds of milk being produced in New York each year, the milk tax would cost farmers here more than $4 million per year. Money that would be better used to make the smart investments in their operations needed to secure their future as a viable part of the economy and keep new Yorkers working," Senator Farley added.

"Upstate New York would be especially hard hit by this tax. With more than 500 dairy farms right here in the Capital Region, our local economy stands to take a huge hit if this proposal is allowed to become law," Senator Farley said.

Senator Farley urged New Yorkers to help protect the thousands of jobs that depend on the dairy industry by contacting their congressional representatives and urging them to join the fight against the milk tax.