As this went to press, the conference committee to resolve differences between the U.S. House and Senate versions of the Farm Bill hadn't begun work.  A final agreement on the Farm Bill should be reached by March 15 when the extension for the 2002 bill runs out. During this time NCBA will be working to ensure the final bill protects a cattleman's rights to a free market and expands opportunities, not diminishes them.  NCBA's top focus will be to remove language in the Senate bill which bans the packer ownership of cattle. 

"The title may sound appealing but it's misleading. This actually harms producers and reduces competition by restricting, if not outlawing, the producer-led initiatives to create branded beef programs consumers want,” says NCBA Vice President of Government Affairs Jay Truitt.  "NCBA policy supports a competitive, free-enterprise market.  The Senate bill reduces your marketing choices and puts the government -- not the cattleman -- in charge.  This provision must be removed so the government doesn't interfere with a cattle producer’s ability to provide the beef products that consumers want." 

Both the House and Senate bills made modest improvements to the country of origin labeling (COOL) law, allow for interstate shipment of state-inspected meat and establish a permanent disaster assistance program.

•  Country-of-Origin Labeling:  The law will be implemented in September.  The Senate bill helps alleviate the paperwork burden on producers and adds chicken, macadamia nuts and goat meat to the list of covered commodities.  In comments to USDA's Agricultural Marketing Service, NCBA said COOL exempts too many products.  "The current law has many flaws, but the compromise language in the Farm Bill is an improvement for cattle producers," says Truitt.  "That's why we worked to change it." 

•  State-Inspected Facilities:  The Senate bill allows for interstate shipment of meat from state-inspected facilities.  NCBA policy supports this as a way for state-regulated businesses to compete in interstate commerce. 

•  Disaster Assistance:  A permanent disaster assistance program was created and funded in the Senate Farm Bill.  This program would take the Livestock Indemnity Program and Livestock Compensation Program and create a similar program that will operate on a permanent basis, as opposed to the current ad-hoc system.

NCBA supports permanent programs as opposed to providing assistance on an ad-hoc basis well after a catastrophic event. 

•  Conservation Programs:  NCBA will be urging conferees to consider a final conservation title that more closely resembles the House-passed version.  The House budget for the Environmental Quality Incentives Program (EQIP) increased to $2 billion per year over the life of the bill. The House bill broadens EQIP eligibility to include custom feeders and livestock markets. 

Most of the conservation program funding in the Senate Farm Bill is allocated to the Conservation Stewardship Program (formerly the Conservation Security Program) and the Wetlands Reserve Program. 

•  Fix the Caps:  NCBA will urge conferees to fix the Adjusted Gross Income (AGI) cap and payment limitations for conservation programs in the House Farm Bill.  This language would make many ranchers ineligible for Farm Bill conservation programs.  NCBA will advocate exempting cost-share programs such as EQIP from the AGI caps and payment limitations.

•  Tax Incentives for Conservation Easements:  The Senate Farm Bill would permanently establish tax credits for landowners who voluntarily put conservation easements on their property.