CATTLE PRODUCERS REAP MULTIPLE POLICY WINS DURING FIRST SESSION OF 106TH CONGRESS

Washington, D.C. (Nov. 23 1999) -- Cattlemen and women gained many policy victories this year and built momentum toward getting other policy priorities addressed during the second session of the 106th Congress, the National Cattlemen's Beef Association (NCBA) said today.

Lawmakers passed early last Saturday remaining appropriations bills before leaving town, and President Clinton is expected to sign all of the legislation.  A number of measures that moved through Congress will benefit family farmers and ranchers, including mandatory price reporting.

“I’m proud of the hard work and team effort by all of NCBA, our affiliates, our industry partners, officers, staff and especially our grassroots,” said George Swan, NCBA president and a cattle producer from Rogerson, Idaho. “The cattle industry worked throughout the year to achieve important and significant policy victories.”

Below is a summary of cattle industry wins this year.

• Mandatory Price Reporting. This is a clear victory for NCBA.  Congress approved and the president signed mandatory price reporting as part of a broad agriculture appropriations package.

• Beef Labeling. Also included in the agriculture appropriations bill is a section that directs USDA to clarify through regulations the definition of U.S. meat.  NCBA expects this move to lead to beef labeling.

• Tax Relief. Congress approved an omnibus tax bill that included NCBA tax relief priorities such as repeal of the death tax, cuts in capital gains tax rates and enhanced income management tools.  The president vetoed the bill.  Although tax relief did not pass this session, the policy is now on record and NCBA expects to have an easier time urging Congress to address the issue next year.

• Disaster Relief.  NCBA supported emergency disaster relief included in the agriculture appropriations bill.  The relief totals $8.7 billion for farmers and ranchers.  It provides $200 million for livestock feed assistance to cover the added cost of feed and forage due to range and pasture losses.  Another $200 million goes exclusively to help livestock producers in counties that are declared disaster areas.

• Food Policy.  NCBA urged approval of funding for USDA programs, which include critical funding for food safety research that could be used for programs such as E.coli O157:H7 research. Other funds would cover programs for meat inspection, emerging disease research, conservation, cattle health, trade and market information.

• Federal Lands.  The FY 2000 Interior Appropriations bill contained a provision to renew Bureau of Land Management grazing permits for 10-year terms in lieu of the one-year extensions that Congress previously authorized.

• NCBA worked with western state affiliates to urge changes to HR 701, legislation that would create permanent funding for federal-lands acquisitions.  NCBA opposed the measure because it failed to ensure “no net loss” of private lands.  The measure didn’t move this year.

• International Trade.  NCBA supported a provision to a trade bill calling for carousel retaliation authority for the U.S. Trade Representative. It believes this would be an effective tool in pushing the European Union to comply with the WTO’s ruling against its U.S. beef ban.

NCBA also saw action in the regulatory arena. The following is an update:

• Animal Health.  NCBA continues to closely monitor other countries – such as Brazil, Argentina and Australia – as they seek to gain access to the U.S. beef market to protect against the introduction of foreign diseases.

• Food Policy.  The USDA will issue new dietary guidelines in April or May.  NCBA is providing to the committee scientific information, which demonstrates that meat should remain part of the recommendation for a healthy diet.

• NCBA opposes a proposed vegetable protein (soy) rule that would allow school lunch program directors to serve more vegetable protein while meeting nutrition requirements established under the 1995 USDA dietary guidelines.  Under the rule, schools could serve beef patties containing 50 percent vegetable protein and still call it beef.  NCBA will continue to follow the rule, which is expected early next year.

• NCBA opposes a recent FDA proposed rule that would require the amount of trans fatty acids present in a food be included in the amount and percent Daily Value declared for saturated fatty acids.  The rule considers all fatty acids to be saturated.  However, most fatty acids in beef are monounsaturated and do not raise the risk for CHD.  NCBA will be following and submitting comments on the proposed rule.

• Water Quality. NCBA continues to urge congressional oversight of the Environmental Protection Agency as it implements environmental regulations, such as guidelines for concentrated animal feeding operations, total maximum daily loads for impaired waters and effluent limitations guidelines.  NCBA will provide comments on all of these regulations and urge that the agency use site-specific, science-based standards.

Legislative and regulatory priorities that NCBA will work on during the second session of the 106th Congress include:

• Trade With China. Congress will have to approve Normal Trade Relations (NTR) with China next session for a trade agreement reached between it and the United States to be effective.  The agreement reached earlier this month paves the way for China’s entry into the World Trade Organization.  The arrangement will give U.S. beef producers greater access to the Chinese market, and it could mean that China would soon become a leading importer of U.S. beef.  Current tariffs of 45 percent on U.S. beef imports and 23 percent on beef variety meats would drop to 12 percent within the next five years under the agreement.

• Food Safety.  NCBA will work to ensure adequate funding for food safety regulation and research activities as well as urge legislation that would lift the ban on interstate shipment of state-inspected meat.

• Poultry Inequities.  NCBA continues to support a zero-added water standard for all types of meat.  The industry will continue to meet with USDA officials and expects a final rule next year.  Current inequities within meat processing rules allow water added to poultry products to be included in the price consumers pay per pound of poultry.

• Tax Relief.  Next year NCBA will continue its efforts to get tax relief for cattlemen and women, including repeal of the death tax and reduction in capital gains tax rates.

• Endangered Species.  Lawmakers laid the groundwork for rewriting the Endangered Species Act this year. The Common Sense for Endangered Species Act of 2000 contains many provisions favorable to the environment and beef industry. A vote on the measure is expected next year.

• Animal Health. NCBA will send delegations to Brazil and Britain to examine whether the beef industries in those countries are meeting the same health standards to which U.S. cattlemen adhere.

• Election. Next year is a presidential election year.  NCBA will closely watch the debates and outcomes as the next administration and Congress will clearly affect cattlemen’s and women’s destinies.

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Initiated in 1898, the National Cattlemen's Beef Association is the trade association of America’s cattle farmers and ranchers, and the marketing organization for the largest segment of the nation’s food and fiber industry. NCBA is producer-directed but consumer-focused, with offices in Denver, Chicago and Washington D.C.