Washington (Platts)--1May2008

The US House and Senate is expected to vote Thursday on another
short-term extension to the 2002 farm law to give negotiators more time to
tinker with a new measure in an effort to address White House objections.

The newest measure would extend existing law for two weeks. In that time,
House and Senate conferees must finish work on a final bill and hope the
White House will sign it. Negotiators have made changes and reduced funding
for most titles of the bill this week, but the Bush administration said it is
still not satisfied. Congress has passed several short-term extensions
already.

The farm bill includes tax incentives and programs aimed at promoting
commercial and cellulosic ethanol, among other things.

In addition to other energy-related provisions, the farm bill contains a
provision that would close the so-called Enron loophole in the Commodity
Exchange Act. This loophole has effectively prevented the Commodities Futures
Trading Commission from fully regulating electronic exchanges, such as
Atlanta-based IntercontinentalExchange.

The provision would reauthorize the CEA and amend its language to give
the CFTC greater oversight of electronically traded futures and financial
contracts that serve a significant price discovery function.

--Jean Chemnick, jean_chemnick@platts.com