2001 News Archive
U.S. SUPREME COURT DENIES GOETZ REQUEST FOR RECONSIDERATION OF CHALLENGE ON BEEF CHECKOFF
DENVER, Colo. (Nov. 28, 2001) – The U.S. Supreme Court this week denied Kansas cattleman Jerry Goetz’s request for review of a claim that he should not have to pay the $1-per-head beef checkoff. By its action, the high court refused to even consider Goetz’s charge that the checkoff program is unconstitutional. The ruling marks yet another failure in a handful of challenges to end the “Beef. It’s What’s for Dinner” campaign and other checkoff-funded programs aimed at improving the marketing climate for beef.
Goetz filed his latest petition with the Supreme Court on Aug. 9, 2001, after his claims were rejected by the U.S. District Court for the District of Kansas, the U.S. Court of Appeals for the 10th Circuit, and the U.S. Supreme Court. In the petition, Goetz argued that the April 2001 ruling against him by the 10th Circuit should be vacated and reconsidered in light of that court’s June 2001 ruling in the United States vs. United Foods, Inc. That case focused on the mushroom industry’s checkoff.
“The high court’s refusal to hear Goetz’s challenge again certainly bodes well for the Beef Checkoff Program,” said Cattlemen’s Beef Board Chairman Dan Hammond, acknowledging that the beef checkoff faces a separate challenge of its constitutionality by the Livestock Marketing Association in a suit that goes before a South Dakota U.S. District Court on Dec. 20, 2001. The Supreme Court’s latest ruling lets stand the U.S. Court of Appeals ruling that Goetz pay more than $136,000 in beef checkoff assessments, late fees and civil penalties.
The beef checkoff program was established as part of the 1985 Farm Bill and assesses beef and dairy producers $1 per head at the time of sale. The checkoff is collected by qualified state beef councils, which retain up to 50 cents on the dollar. The state councils forward the other 50 cents per head to the Cattlemen’s Beef Promotion and Research Board, which oversees the national checkoff program, including planning, budgeting, evaluation programs, collecting assessments, assuring compliance with the Beef Promotion and Research Act and Order and certifying state beef councils, and is subject to oversight by the U.S. Department of Agriculture.
The beef checkoff assessment became mandatory when the program was approved by 79 percent of producers in a 1988 national referendum vote. The 110 members of the Cattlemen’s Beef Board represent all segments of the beef industry, including beef, veal and dairy producers and importers, and are appointed by and held accountable to the U.S. Secretary of Agriculture. Checkoff revenues may be used for promotion, education and research programs to improve the marketing climate for beef.