AFBF and NCGA Comment on Year End Legislation

John Davis

uscapitolFarm groups are reacting to the omnibus spending bill that avoided a government shutdown. Just as it’s being touted as giving some to both Republicans and Democrats, the compromise deal has its ups and downs for agriculture, and Farm Bureau and the National Corn Growers Association have both weighed in on those ag ups and downs.

Farm Bureau officials are pleased the spending and tax extender bills will bring relief to America’s farmers and ranchers, but they are disappointed the Waters of the U.S. rule was not stopped.

“This tax extender package gives farmers and ranchers critical tools to help them reinvest in their businesses,” AFBF President Bob Stallman said. “Tax provisions like Section 179 small business expensing and bonus deprecation free up cash flow for farmers and ranchers to put their money to work. New provisions will let our members make important upgrades that reduce costs, increase efficiency and help make their businesses sustainable for generations to come.”

A provision to stop the EPA’s unlawful Waters of the U.S. rule was surprisingly missing from the package, as was language that would have set a nationwide standard for labeling of food containing genetically modified ingredients. Congress’s failure to act will bring the heavy cost of a patchwork of state labeling mandates to farmers and consumers as early as next month.

“We are truly disappointed that Congress did not include legislation to stop implementation of WOTUS,” Stallman said. “The courts have already expressed serious legal concerns about the rule, and the U.S. Government Accountability Office has concluded that EPA broke the law with its covert propaganda campaign to drum up ill-informed support for it.”

AFBF also supports omnibus provisions to repeal of country-of-origin labeling requirements, which would effectively prevent Canada and Mexico from initiating retaliatory actions.

NCGA also expressed its approval of the COOL provisions, but it was also disappointed in some of the overall bill’s holes, including the GMO and WOTUS provisions.

NCGA President Chip Bowling, a farmer from Maryland, issued the following statement:

“The FY16 Omnibus Appropriations Bill certainly serves Americans by providing stable funding for the government but, in some respects, it falls short for America’s farmers.

“Notably, corn farmers are pleased the Congress included language bringing the United States back into compliance with our WTO obligation by repealing COOL for beef and pork. U.S. livestock accounted for more than 38 percent of demand for our corn in 2015, and it is important that we will avoid the negative impacts on that and other corn markets which retaliation by Mexico and Canada would have brought about.

“Yet, overall, Congress placed great importance on further bolstering Big Oil at the expense of taking up issues of great importance for America’s farm families. From failing to preempt the pending patchwork of state-level GMO labeling laws to refusing to prohibit funding of Water of the U.S. implementation, rural America will face a darker new year as the future grows even brighter for oil industry interests.”

Read Cindy’s breakdown of what’s in and out of the spending bill for ag here.

AFBF, Ag Groups, NCGA, politics, Water

Farm Bureau’s “On the Farm Authors” Selected

John Davis

agfound-logoA dozen authors have been selected to learn more about life on the farm with the hope to turn those experiences into ways to help children learn more about agriculture. The American Farm Bureau Foundation for Agriculture says the 12 will receive a $1,500 stipend plus room, meals, tour transportation, event registration and all materials to attend the Jan. 7-10 event in Orlando, Florida.

The authors are Shennen Bersani, Massachusetts; Lisl Detlefsen, Wisconsin; Susan Grigsby, Missouri; Katie Irk, Indiana; Loreen Leedy, Florida; Lela Nargi, New York; Eric Ode, Washington state; Albert Monreal Quihuis, Arizona; Lizzy Rockwell, Connecticut; Michael Spradlin, Michigan; Peggy Thomas, New York; and Sandra Neil Wallace, New Hampshire.

The focus of the training will be life on cattle ranches. Exploring ways to effectively reach children with valuable information about food and nutrition will be a highlight.

The event will provide an open dialogue, with the opportunity for exploration and enriching creative time. Authors will tour farms and ranches, engaging in conversation and discussion panels with real farmers and ranchers. The experience will also provide an excellent opportunity to connect with the men and women involved in food production from across the nation at the American Farm Bureau’s Annual Convention. Authors will learn how to enrich their storytelling with the history and heritage of food production.

Attendees will also have the opportunity to attend the Foundation’s live announcement of its 2016 Book of the Year on Sunday, Jan. 10. Participating authors will be recognized at this event, with expected attendance of more than 2,000 families, educators and state literacy coordinators from across the country. Agricultural experience is not a requirement to participate in the training.

The program is funded by the Beef Checkoff Program.

AFBF, Ag Groups

What’s In and Out for Ag in Omnibus

Cindy Zimmerman

capitol-nightThe broad spending and tax legislation compromise unveiled by House Republicans Tuesday night includes some riders important to agriculture.

Perhaps the most important, the bill repeals mandatory country-of-origin labeling (COOL) for meat to prevent more than $1 billion in trade sanctions from Mexico and Canada approved last week by the WTO. “I’m pleased American agriculture and businesses will escape these tariffs,” said Senate Agriculture Committee chair Pat Roberts (R-KS). “House Agriculture Committee Chairman Conaway swiftly led the House to approve repeal, and now I hope the Senate can pass this legislation in time to avoid devastating tariffs. With passage, American farmers, ranchers and small businesses will finally get the certainty they deserve from unnecessary trade retaliation.”

According to House Speaker Paul Ryan (R-WI), the bill also blocks EPA overreach. “The bill contains no funding for new or expanded EPA programs, holding the agency to its lowest funding levels since 2008 and its lowest staffing levels since 1989.”

One provision that did not make it into the omnibus bill was anything pertaining to a federal labeling law to prevent states from requiring special labels for foods containing genetically modified crops. “The failure of Congress to act will result in enormous costs to the agriculture and food industry who work tirelessly to feed a growing world population,” said the Coalition for Safe Affordable Food in a statement. “A patchwork of state labeling laws will prove costly and confusing for consumers.”

The tax incentive extenders package, called the Protecting Americans from Tax Hikes (PATH) Act of 2015, also has provisions in it favorable for agriculture, including a permanent extension of the Section 179 provision and a five year extension of the bonus depreciation through 2019. “The Section 179 and bonus depreciation provisions are a big deal for soybean farmers because they encourage investment in our operations in the form of new equipment, infrastructure and other capital improvements,” said American Soybean Association president Richard Wilkins.

The PATH act also includes federal tax incentive extensions for advanced biofuels, biodiesel, wind and solar. Congress is expected to vote on the legislation by Friday.

ASA, Biofuels, Energy, Farming, GMO

AgChat Expands in the Western US

Kelly Marshall

AgChatThe third Wester Regional Agvacacy Conference will by hosted by the AgChat Foundation on February 19-20 in Reno, Nevada.  This event is expanding upon the efforts of the first two, held in Portland, Oregon and Spokane, Washington.  The AgChat Foundation provides high-quality training on advocacy to farmers and ranchers.  This upcoming session will continue to focus on delivering a broad array of sessions, creating stronger online relationships and improving consumer communication.

Attendees can expect the opportunity to learn from top agvocacy experts on topics such as planning farm-to-fork events, utilizing social media channels such as Instagram, Pinterest, and Periscope. Additionally, Emmy award winning director Conrad Weaver will provide instruction on the use of video in AgVocating. Conference participants will be able to view exciting clips from the new Thirsty Land film, which addresses drought conditions in the western U.S.

Register now, the early bird discount runs until January 20th, 2016. This will be the only sale offered.

“More than ever, farmers and ranchers in the west are facing water shortages and allocation, based on public perception. Sharing their stories accurately and authentically will assist in connecting consumers to the farm and a better understanding of the challenges they face,” says Jenny Schweigert, AgChat Foundation’s Executive Director.

This is a great opportunity for those wanting to learn to use social media platforms to tell their story and interact with consumers.  The conference will also provide new ideas and networking opportunities for those already involved in the efforts.

Ag Groups, Events

Merger Leads to Executive Changes at DuPont

Cindy Zimmerman

DuPont logoDuPont has announced several executive leadership changes as a result of last week’s confirmed merger with Dow.

James C. Collins, executive vice president, will lead the DuPont Agriculture business segment. Marc Doyle has been named executive vice president and will lead the Electronics & Communications, Industrial Biosciences, Nutrition & Health, Performance Materials and Safety & Protection business segments.

Richard C. Olson has been named senior vice president – Corporate Services and will assume responsibility for the Safety, Health & Environment, Operational Excellence, Facility Services & Real Estate, Sourcing & Logistics and Information Technology functions. Douglas Muzyka, senior vice president and chief science and technology officer, adds responsibility for Engineering Technologies and the company’s regional leadership.

In addition to the leadership changes, James C. Borel, executive vice president and Gary W. Spitzer, senior vice president, Integrated Operations and Engineering have elected to retire following 36 years of service with DuPont, respectively, effective in early 2016.

Agribusiness

USDA Stops Payments to Managers Not Engaged in Farming

John Davis

USDAThe U.S. Department of Agriculture (USDA) is making sure farm safety-net payments are issued only to active managers of farms that operate as joint ventures or general partnerships. The move, exempting family farm operations, closes a loophole where individuals who were not actively part of farm management still received payments.

“The federal farm safety-net programs are designed to protect against unanticipated changes in the marketplace for those who actively share in the risk of that farming operation,” said Agriculture Secretary Tom Vilsack. “To ensure that help goes to those who genuinely need it, such as America’s farm families, the Farm Bill authorized USDA to close a loophole and limit payments from those not involved on a daily basis in nonfamily farm management.”

Since 1987, the broad definition of “actively engaged” resulted in some general partnerships and joint ventures adding managers to the farming operation, qualifying for more payments, that did not substantially contribute to management. The rule applies to operations seeking more than one farm manager, and requires measureable, documented hours and key management activities each year. Some operations of certain sizes and complexity may be allowed up to three qualifying managers under limited conditions. The changes apply to payments for 2016 and subsequent crop years for Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) Programs, Loan Deficiency Payments (LDP) and Marketing Loan Gains (MLG) realized via the Marketing Assistance Loan program.

The changes go into effect for the 2016 crop year for most farms.

USDA

Cotton Growers Appreciate Cottonseed Designation Push

John Davis

NCCThe National Cotton Council is expressing its gratitude for the effort to get cottonseed to be designated as an “other oilseed.” The group thanked House Agriculture Committee Chairman Mike Conaway (R-TX) and Ranking Member Collin Peterson (D-MN) for their help in getting 100 House Members signed onto a letter urging Agriculture Secretary Vilsack to use the authority granted in the 2014 farm law to make the designation.

“We are extremely grateful to Representatives Conaway and Peterson for leading the charge on this effort,” said NCC Chairman Sledge Taylor, a Mississippi cotton producer and ginner. “This designation is much needed as our industry is facing very difficult economic conditions to say the least. We want to thank all those Members that signed the letter for standing up for U.S. cotton producers who continue to be unfairly disadvantaged by foreign governments highly subsidizing their industries.”

Taylor said the designation for cottonseed to be covered either under the law’s Price Loss Coverage or Agriculture Risk Coverage programs for the purpose of farm safety net participation would provide much-needed stability in the U.S. cotton industry.

The Representatives’ letter, a bipartisan request from both rural and urban Members inside and outside the Cotton Belt sent to Secretary today, noted that, “Lower prices for cotton lint and cottonseed contributed to a decline in average market revenue of more than $150 per harvested acre in 2014 compared to 2013. And current expectations for prices and yields indicate that market revenue will decline by another $24 per acre in 2015, resulting in cotton revenues 25% lower than the average market returns for 2010 through 2013.”

Earlier, state, regional and national letters were sent to Secretary Vilsack from agricultural lenders that included more than 375 signatures of individual banks, the Farm Credit Council, the American Bankers Association and the Independent Community Bankers Association, and all noted that “it is imperative that actions be taken that can have a stabilizing effect on the U.S. cotton industry.”

NCC and other U.S. cotton industry organizations hope Vilsack will use this authority to help stabilize the industry.

Cotton

Zimfo Bytes

Talia Goes

Zimfo Bytes

  • The National Pork Board announced the promotion of Chuck Cozad to Chief Information Officer, effective immediately.
  • The California State Fair is seeking nominations for the 2016 Agriculturalist of the Year.
  • Salford Group, a global leader in the manufacturing of tillage, seeding, and fertilizer application equipment, is expanding its tillage product line through the acquisition of AerWay advanced aeration products, manufactured by SAF-HOLLAND Canada Ltd.
  • The U.S. Department of Agriculture’s National Agricultural Statistics Service (NASS) is contacting farmers and ranchers now through February 2016 as part of the second National Resources Inventory – Conservation Effects Assessment Project (NRI-CEAP-2) survey of agricultural producers’ conservation practices.
Zimfo Bytes

Climate Accord – What’s it Mean for Ag?

Jamie Johansen

New Holland ZimmPollOur latest ZimmPoll asked the question, “Do we need any more gun control laws?”

The latest Islamic terrorist tragedy which occurred here in the United States is being used by many politicians to call for more gun control. But do we need it? Well over half of our pollers believe more gun control isn’t the answer. Some commented stronger background checks are needed.

Here are the poll results:

  • No, too many now – 40%
  • No, current ones not enforced – 37%
  • Yes, but only via Congress – 5%
  • Yes, no matter what – 14%
  • Other – 4%

Our new ZimmPoll is now live and asks the question, What do you think climate accord will mean for ag?

We have spent the last couple of weeks anticipating the announcement from negotiators from nearly 200 countries about the landmark climate accord being discussed at the Climate Change Conference in Paris. But what does this announcement mean for agriculture? Ag Secretary Tom Vilsack said the COP21 deal will support a “better-nourished, stable, secure future” and the benchmarks “build on the ambitious climate smart strategy being implemented by U.S. farmers, ranchers and foresters.” Do you believe the climate accord is meaningless, adds to more regulations or simply good/bad for everyone?

ZimmPoll