2007 CCC Archive
Cattlemen's Capitol Concerns
May 31, 2007
The Cattlemen’s Capitol Concerns (CCC) is a weekly report from Washington, D.C., giving an up-to-date summary of top policy initiatives concerning the cattle industry; direct from the National Cattlemen’s Beef Association (NCBA). Please feel free to reprint in full or in part. If you’d like to include NCBA’s logo in your reprint, contact our office at 202-347-0228.
Cattlemen Heading to Capitol Hill: Dozens of young cattle producers will be making the rounds on Capitol Hill next week after Congress returns from its week-long Memorial Day Recess. Producers from across the nation will urge members of Congress to address major policy issues affecting the cattle industry right now – including market competition issues, conservation in the 2007 Farm Bill, and renewable energy issues. Right now, the group is in Denver for the beginning of the 10-day Young Cattlemen’s Conference (YCC) national tour, which then heads to Kansas, Nebraska, and Chicago before a final stop in Washington D.C. The educational YCC program develops leadership qualities in young beef industry leaders who were nominated by their respective state affiliates and breed associations.
While in D.C., participants will meet with their Congressional delegation, conduct meetings with top Washington officials from the USDA, the White House, and more. On Wednesday, June 6th, the annual YCC Beef Picnic in Taft Memorial Park on the Senate side of Capitol Hill will bring hundreds of hill staffers and members of Congress together to eat beef and meet with U.S. cattle producers.
U. S. Secretary of Agriculture, Mike Johanns is confirmed to speak to the YCC group on Thursday, June 7th, and that evening NCBA will throw a big auction and boat tour to raise money for NCBA’s proactive Political Action Committee (PAC). Congress is back in full swing next week, and the YCC folks will be here in the heart of the action!
More Cattlemen and Congress Visits: NCBA’s D.C. office is busy planning a variety of Capitol Hill visits with state affiliates, called "Cattlemen and Congress" days. There are two busy months ahead in Washington, and cattle producers from across the nation are encouraged to make the trip once or multiple times throughout June and July to help out the lobbying efforts. "We know it’s extremely busy at home, and we appreciate any time and effort producers can devote to making our voices heard," says NCBA Vice President of Government Affairs Jay Truitt, "the best and most proactive communication of our messages on Capitol Hill are personal, one-on-one visits with Senators and Representatives. Highlighting the impact of federal policy changes on folks at the local level is crucial." These "Cattlemen and Congress" visits will begin in June and are expected to run through the end of July.
Swift Bought by Brazilian Company: This week Swift & Company, the nation's third-largest processor of fresh beef and pork products, announced they will be acquired by J&F Participacoes S.A. J&F owns 77 percent of Brazil's JBS S.A., Latin America's largest beef processor. Cattle producers are glad to see the uncertainty over the future of Swift & Co. come to an end. JBS’s entry into the U.S. packing industry prevents further packer concentration by ensuring the number of major industry participants in the U.S. remains the same. Healthy competition in the marketplace is always of critical concern to cattle producers and we are pleased that this transaction does not result in increased consolidation in the U.S. beef packing industry.
It is important for cattle producers to understand that this transaction will have absolutely no impact regarding access for Brazilian beef and cattle. Beef imports from Brazil are extremely limited and live cattle imports are prohibited - due to the long-standing concern over foot and mouth disease in Brazil- and its neighboring countries. It’s a global marketplace, and many of the companies investing heavily in rural America right now are foreign-owned. This type of investment is critical to our economy, and should not be feared or discouraged. NCBA looks forward to working with these new participants and sees this as an opportunity for increasing U.S. beef’s competitive position around the world.
USDA to Appeal Private BSE Testing: This Wednesday, May 30, USDA confirmed they will appeal a federal district court ruling, which would have allowed Creekstone Farms to privately test its own cattle for bovine spongiform encephalopathy (BSE). The deadline to appeal is tomorrow, June 1. The USDA reportedly filed notice in the U.S. Court of Appeals for the Washington D.C. Circuit.
NCBA believes the judge’s opinion that "USDA does not have the authority to regulate the test" is profoundly flawed. Testing for BSE is the role of the federal government, and extremely proactive BSE surveillance measures have been in place for decades. NCBA is strongly opposed to private BSE testing and is disturbed by the misleading information that is now being hurled at consumers about testing and handling of BSE in the U.S. What started out as a marketing proposal continues to generate erroneous press claims about beef and BSE testing, hurting the credibility of the entire cattle industry.
Producing the safest beef in the world is the top priority of America’s beef producers. We have multiple firewalls in place that ensure this disease does not affect our food supply. These firewalls erected over the past 20 years to protect our food supply – including the feed ban, surveillance system and removal of specified risk material from the food supply – ensure we continue to produce safe beef for consumers here and abroad. All U.S. beef sold, either domestically or abroad, is BSE free, so private testing for BSE as a ‘marketing tool’ would be meaningless and misleading to those buying U.S. beef.
President Signs Ag Disaster Assistance: On Friday, May 25, the President signed into law H.R. 2206, the "U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007" which includes about $3 billion for agriculture disaster assistance. The funding will provide relief to farmers and ranchers nationwide who experienced serious losses in 2005-2007. These measures passed by a margin of 280-142 in the House and 80-14 in the Senate last Thursday evening, May 24th.
This new Emergency Supplemental Appropriations bill is approximately $4 billion smaller than an earlier version that was vetoed by the President on May 1st. Some of those cost savings came from cuts to agricultural disaster assistance programs, however livestock producers who have been dealt a blow due to natural disasters over the past three years can still benefit from funding that was included for the Livestock Compensation Program (LCP) and Livestock Indemnity Program (LIP).
Producers residing in a county that experienced a USDA designated natural disaster in 2005, 2006 or 2007 can apply for disaster payments for only one of those three years. Funding for LCP was trimmed back to 61 percent of the levels paid out in 2003, this was a decrease from the 70 percent payment that was included in the vetoed supplemental. Similarly, LIP payment amounts must be at least 26 percent of the market value for livestock lost as a result of natural disasters. These LIP payments were reduced from a minimum of 30 percent of the market value that was included in the vetoed supplemental.
Farm Bill Update: After House subcommittees approved proposals for the Farm Bill sections under their jurisdiction last week, including conservation, energy, competition, and livestock issues, these approvals will now go to full committee upon Congress’ return—but most likely this is not expected to happen until the week of June 25. Copies of the discussion drafts, a section-by-section analysis of the provisions, and amendments approved by the subcommittees are all available online at http://agriculture.house.gov/inside/2007FarmBill.html.
Ongoing Renewable Energy Issues: NCBA strongly opposes doubling the Renewable Fuels Standard (RFS) for corn-based ethanol from its current target of 7.5 billion gallons. NCBA believes ethanol and corn markets should operate without government interference. Producers should have the opportunity to compete on a level playing field with ethanol facilities for each bushel of corn. Legislation increasing the RFS simply distorts those supply and demand signals. NCBA opposes any government policies that favor one feedstock over another. NCBA is committed to engaging Congressional staffers and members of Congress in their home states to explain why this issue is so important to cattle producers.
Eight New Sponsors for Death Tax Repeal: The Death Tax Repeal Permanency Act of 2007 (H.R. 2380), which will fight for full, permanent repeal of the Death Tax, now has 80 co-sponsors, with eight new bipartisan sponsors signing on this past week!
The new sponsors are: Reps. Jim Jordan (R-Ohio), Jo Ann Davis (R-Va.), Lamar Smith, (R- Texas), Dan Boren, (D-Okla.) Ken Calvert (R-Calif.), Jim Matheson (D-Utah), Gresham Barrett (R- S.C.), and Mike McIntyre, (D- N.C.). Reps. Kenny Hulshof (R-Mo.) and Robert Cramer (D-Ala.) introduced the legislation on May 17th. Currently, the Death Tax is on a 10-year phase-out to full repeal in 2010, yet will then be fully re-instated in 2011 (back to 2001 levels). H.R. 2380 makes the repeal permanent. Similar legislation (H.R. 1586) was introduced by Rep. Mac Thornberry (R-Texas) on March 20th.
By once again supporting legislation to repeal this onerous tax, these members of Congress have demonstrated an understanding and appreciation for the immense burden this tax places on American cattle producers who are hoping to pass their operation on to the next generation. The Death Tax is detrimental to farming and ranching families who live off the land and run asset-rich, cash poor family operations. These families want to pass successful operations onto future generations. Yet more often than not, the Death Tax prevents that from happening. Reducing the tax burden on ranchers has always been a top priority for NCBA and the cattle industry. For decades, NCBA has urged full and permanent repeal of this tax. NCBA will continue to fight for a permanent repeal, and urges House members to cosponsor both H.R. 2380 and H.R. 1586.
ESA Transparency: On May 24, Congresswoman Cathy McMorris Rodgers (R-Wash.) reintroduced the Endangered Species Transparency Act of 2007. The legislation, H.R. 2530, will better inform consumers regarding costs associated with compliance under the Endangered Species Act of 1973. The bill currently has 12 cosponsors and has been referred to the House Committee on Natural Resources. NCBA and the Public Lands Council appreciate these efforts to make practically-minded improvements to an important environmental law. In the 109th Congress, the bill received a legislative hearing, and was reported out of committee in 2006, however it did not see floor action.
New BLM Director: This week, President Bush announced his intention to nominate James L. Caswell, of Idaho, to be Director of the Bureau of Land Management (BLM) at the Department of the Interior. Caswell currently serves as Administrator of the Office of Species Conservation for the State of Idaho. Prior to this, he served as Forest Supervisor of Clearwater National Forest. He also served as Acting Deputy Regional Forester for the Northern Region of the United States Forest Service. Caswell received his bachelor’s degree from Michigan State University.
Immigration Issues: The Senate will resume consideration of S. 1348 upon their return next week. The bill was introduced May 9 by Senator Harry Reid (D-Nev.) and would reform U.S. immigration policy. NCBA is closely monitoring all amendments and actions taken regarding this legislation. NCBA policy supports immigration reform legislation that both strengthens border security and creates a temporary worker program that does not extend preferential treatment with regard to qualification for Legal Permanent Resident status. NCBA supports efforts to permanently eliminate the "catch and release" system that allows apprehended illegal immigrants from countries other than Mexico to go free with a notice to appear at a future deportation hearing.
Korean Trade This Fall: Korean government officials said this week that South Korea will consider allowing imports of U.S. bone-in beef, including ribs, before the traditional Korean Thanksgiving day which falls on September 25. Finance Minister Kwon Okyu told reporters that Washington has asked Seoul to negotiate a revision of its beef import rules, following the recent ruling by the World Organization for Animal Health (OIE). Reports say necessary procedures for the revision are expected to be complete by September. A Korean Agriculture Ministry official says that as soon as the revision of the rules is complete, U.S. bone-in beef will be allowed for import through deals between Korean importers and U.S. exporters.
Japan's Agricultural Minister Dies: Japanese Agriculture Minister Toshikatsu Matsuoka died May 28 in Tokyo. USDA Secretary Johanns said in a statement: "I was saddened to learn today of the death of Japanese agricultural minister Matsuoka. Since coming into office last fall, he had worked to resolve trade challenges, which brought us together on several occasions. He ably represented Japan's agricultural interests. My condolences to Minister Matsuoka's family and to the people of Japan."
NCBA in Antibiotics Meetings: NCBA’s Chief Veterinarian Dr. Elizabeth Parker is in Atlanta this week for meetings with the Center for Disease Control on antibiotics. She will be conducting one-on-one meetings regarding cattle issues and will also be attending the conference: "Get Smart: Know When Antibiotics Work on the Farm" on May 31st.
Codex Coalition Meetings: NCBA’s Director of Food Policy, Phyllis Marquitz, is attending food industry Codex coalition meetings this week. The group will discuss contaminants in foods, food additives, pesticide residues, food labeling, biotech issues, food hygiene, import/export inspection, certification and more.
Manure is NOT Superfund: NCBA continues to advocate to Congress that Superfund laws do not apply to livestock manure. Both the House and Senate have re-introduced bills that would exempt manure from regulation as a Superfund material. In the Senate, S. 807 was introduced by Senators Blanche Lincoln (D-Ark.) and Pete Domenici (R-N.M.). H.R. 1398 was introduced by Representatives Collin Peterson (D-Minn.) and Ralph Hall (R-Texas) in the House. This issue could have a tremendous impact on cattle producers. If opponents of animal agriculture are successful in their efforts to bring manure under Superfund regulations, any cattle producer who spreads manure on a pasture or provides it for use as a fertilizer could be subject to EPA's Superfund laws, originally intended to address hazardous and toxic industrial chemical spills.
Currently, there are 23 co-sponsors in the Senate with Senator Gordon Smith (R-Ore.) signing on since last week! There are 113 co-sponsors in the House. NCBA urges producers to contact Senators and Representatives at their offices by phone, fax or email, and urge them to sign-on! Download our full-color fact sheet on this issue at www.beefusa.org.
Must Renew TPA This Month: Cattle producers are urging Congress for renewal of Trade Promotion Authority (TPA). Unless reauthorized, TPA is set to expire on June 30. This "fast-track" authority is extremely important when, after years of negotiations, final trade agreements are ready for passage. TPA assures that after trade agreements are finalized, Congress cannot make last-minute, special interest concessions or amendments. Such activities destroy long-negotiated, collective and intricate agreements between nations, and they also inhibit our representatives’ ability to negotiate in good faith. This month, we will continue to urge Congress for renewal of this important international trade legislation. Call your Senators and Representatives TODAY and urge them to RENEW TPA!
Don't Miss NCBA’s Cattlemen to Cattlemen: Tune into NCBA’s Cattlemen to Cattlemen on RFD-TV at 10:00 a.m. (Eastern time) this Saturday for a look at how growth enhancement technologies can help improve your operation’s bottom line. Also, with the Memorial Day holiday weekend kicking off the grilling season, we’ll look at tips on grilling safely this summer. Finally, we’ll discuss the controversial issue of eminent domain.
On next week’s Cattlemen to Cattlemen episode, beginning Tuesday, June 5th, we’ll have a special, in-depth look at how Colorado ranchers are opposing the U.S. Military's plan to take over 2.5 million acres of ranch land in the Pinon Canyon region of southeastern Colorado.
NCBA’s Cattlemen to Cattlemen on RFD-TV provides weekly news and features for cattle producers across the country. The show airs Tuesdays at 8:30 p.m. and is rebroadcast Wednesdays at 4:30 a.m. and 12:30 p.m., and Saturdays at 10 a.m. All times are Eastern. Make sure YOU tune into NCBA’s Cattlemen to Cattlemen on channel RFD-TV. For more information or to check out past episodes, visit www.cattlementocattlemen.org.
Media Contact:
Tanya A. Camarra or Karen Batra at 202-347-0228, tacamarra@beef.org or kbatra@beef.org.
This publication is funded by cattle producers and other industry supporters through their voluntary membership contributions to NCBA. To join the tens of thousands of cattle producers from across the U.S. in working to preserve our legacy, contact NCBA Member Services at 1-866-BEEF-USA or Membership@beef.org.