USDA Gets Input On Proposed GIPSA Rule From Congress

Chuck Zimmerman

It looks like the Obama Administration via USDA is getting some pressure to look into the effect of the proposed GIPSA rule according to a release from the NCBA. You can download the letter here (pdf). You can learn more about this issue by reading our previous coverage of the issue, including interviews with this link.

U.S. Department of Agriculture (USDA) Secretary Tom Vilsack received a bipartisan letter today, Oct. 4, 2010, from 115 members of the U.S. House of Representatives calling for a comprehensive economic analysis of a propose rule on livestock and poultry marketing under the Packers and Stockyards Act. The proposed rule, released by USDA’s Grain Inspection, Packers and Stockyards Administration (GIPSA) in June, was in response to a request made by Congress. However, many elected leaders note that the rule goes above and beyond the intent of Congress.

“In the 2008 Farm Bill, Congress directed the Department (USDA) to promulgate a discrete set of regulations under the Packers and Stockyards Act. However, in doing so, GIPSA also included additional proposed regulations that greatly exceed the mandate of the Farm Bill,” the House members penned. “Such a broad rule that extends so far beyond Congress’ direction in the Farm Bill and that would precipitate major changes in livestock and poultry marketing requires a vigorous economic analysis. The analysis contained in the proposed rule fails to demonstrate the need for the rule, assess the impact of its implementation on the marketplace, or establish how the implementation of the rule would address the demonstrated need.”

The letter was led by House Agriculture Committee Chairman Collin Peterson (D-Minn.); Ranking Member Frank Lucas (R-Okla.), Livestock Subcommittee Chairman David Scott (D-Ga.) and Livestock Subcommittee Ranking Member Randy Neugebauer (R-Texas). National Cattlemen’s Beef Association President Steve Foglesong said the 115 Congressmen and women that signed the letter should be given credit for standing up for U.S. farmers and ranchers and all of rural America.

GIPSA, Livestock, NCBA