A version of the 2007 Farm Bill is on its way to both the U.S. House and Senate, where Sen. Norm Coleman, R-Minn., is confident it will pass.

If everything goes smoothly, he said, the $300 billion, five-year bill could be on President Bush’s desk by the end of next week. Whether Bush will sign the bill is the biggest unknown that remains.

Coleman, a member of the Senate Agriculture Committee, said the committee reached an agreement on the 2007 Farm Bill this week.

“This bill is a victory for Minnesota,” he said.

The bill, he said, has everything it should, including a commitment to nutrition totaling more than $10 billion. Nutrition programs include food stamps and school lunches, and the bill increases funding for The Emergency Food Assistance Program.

Coleman pointed out that the farm bill agreement takes money from direct payments and puts it toward nutrition.

Coleman also mentioned the bill’s focus on conservation and cellulosic ethanol, and he highlighted the agriculture disaster assistance program, something he fought for during negotiations.

One of the most closely watched issues in the farm bill, however, is farmer subsidies.

President Bush has threatened to veto any farm bill unless it limits subsidies to farmers earning $200,000 or less.

Such a limit might be reasonable for Minnesota farmers, Coleman said, but it is not as feasible for rice and cotton farmers who have higher costs and higher risks. The bill has to represent farmers across the country, he said, and such limits would cut out farmers’ ability to raise rice in this country.

“The needs of agriculture differ in different regions,” Coleman said. “This is a compromise.”

The bill, however, does include substantial reform, he explained. Subsidy limitations are based on adjusted gross income, and farmers with incomes of $500,000 or more will not receive direct payments, Coleman said. Those with adjusted gross incomes of $750,000 or more will not receive any payments.

Coleman believes the White House was met halfway with the current farm bill agreement.

“I’m very hopeful this bill will become law,” he said.

If the bill does pass both the House and Senate and Bush vetoes it, Coleman said he will still support the farm bill and will seek enough votes for an override.

A big question, he said, is whether Congress can get a new extension on the current bill if Bush does veto the new agreement. The end of the latest extension is fast approaching.

Even if Congress can get another extension on the current farm bill, it will not include the reform worked into the new bill, the disaster assistance for farmers, or the $10 billion for nutrition programs.