Gov. Arnold Schwarzenegger asked the federal government Tuesday for disaster aid because of an ongoing cold snap that has destroyed nearly $1 billion worth of California citrus, and industry officials said shoppers will feel the sting through higher prices for oranges, lemons and other produce.

 

Visiting a Fresno orange grove, Schwarzenegger said he was asking the U.S. government for disaster status, which would allow California to seek aid from the U.S. Department of Agriculture and Small Business Administration to offset losses to growers and other businesses.

 

“This is not just about the crop this year. It could also have a devastating effect next year,” Schwarzenegger said. “My administration will make sure that we do everything we can to help the farmers and workers get through this.”

San Francisco Chronicle

I can only long for the days of Calvin Coolidge, a true free market President, who once said “the business of America is business.”  After commercial farmers had lobbied in Congress for relief from depressed conditions, Coolidge vetoed the resulting McNary-Haugen bill.  Coolidge fully understood what the role of the Federal Government was and wasn’t, that there was no Constitutional provision allowing the Federal Government to use tax dollars to prop up an industry falling on hard times.  Such is the case today with the California citrus freeze.  It is wrong for Washington to drain the taxpayers of $1 billion in order to supply these companies with corporate welfare to cover their losses this year. 

Many industries experience highs and lows due to market demand and even disaster.  It is their responsibility to adapt to these new conditions and take measures to incur the least amount of loss possible.  Things will bounce back and they don’t need our money to do it.