READ the NAFB's National Ag News as heard inside the BARN for August 3rd

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“Disaster Aid Bill Gets the Votes for Passage”

The House passed the disaster aid bill 223 to 197 Thursday afternoon. The bill would reauthorize Livestock Indemnity Payments, Livestock Forage Disaster Programs, Emergency Assistance for Livestock, Honey Bees and Farm-raised Fish and the Tree Assistance Program. The disaster assistance is only authorized for 2012 and provides for payments totaling 383-million dollars. The bill is not likely to become law however – because it provides less disaster assistance than the five-year farm bill the Senate passed. On top of that – Congress leaves for the August recess Friday.

The cost of the disaster aid measure is offset by cuts to the Environmental Quality Incentives Program and the Conservation Stewardship Program. The two would be cut by a total of 639-million dollars over 10 years – with 256-million going to deficit reduction.

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“Farm Bill Gets Attention During Floor Statements on Disaster Aid Legislation”

When House Agriculture Committee Chairman Frank Lucas took to the floor in support of the Supplemental Agricultural Disaster Assistance bill Thursday – he admitted he didn’t like the way the bill was paid for. Still – he said a drought of epic proportions is gripping a large majority of the nation and endangering vast areas of productive agriculture land. Given that the 2008 Farm Bill did not provide a final year of disaster assistance – Lucas told House members they were there to fix a problem – and had a chance to do so with a bill that paid for itself and gave more than 250-million dollars to deficit reduction.

Along with rumblings about the bill’s offsets – Lucas addressed complaints that the farm bill wasn’t coming before the full House. Lucas reiterated that his priority is to get a five-year farm bill on the books. But he argued the most pressing business before Congress is to provide disaster assistance to the producers impacted by the drought conditions who are currently exposed. When Congress returns in September – Lucas said he will work toward the goal of giving certainty to our farmers.

House Ag Committee Ranking Member Collin Peterson had decided to vote in favor of H.R. 6233 – but when speaking on the floor focused heavily on the fact the House leadership decided not to bring the farm bill to a vote before the August recess. He said the disaster bill would provide some assistance to a few livestock producers affected by drought conditions across much of the country – but explained it was not comprehensive. Pointing out that the farm bill approved by the Agriculture Committee includes the livestock provisions considered as part of the disaster aid package – Peterson argued a five-year farm bill would do a better job of providing certainty for American agriculture and assistance during this period of drought. He said weathering a natural disaster without the certainty of a five-year farm bill could jeopardize one of the nation’s economic bright spots.

Representatives Kristi Noem of South Dakota, Leonard Boswell of Iowa and Randy Neugebauer of Texas urged votes for the disaster bill – but also said the House should take up the five-year farm bill. California’s Jim Costa said he opposed the disaster aid bill because another vehicle exists – the farm bill – to accomplish the same goal.

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“Senate Finance Tax Package Includes Biofuel Incentives”

The Senate Finance Committee has approved a bipartisan tax package that includes an extension of the now-expired biodiesel tax incentive. Anne Steckel – Vice President of Federal Affairs for the National Biodiesel Board – says the biodiesel tax incentive is a proven job creator. She notes growth in the biodiesel industry has been stagnant since the incentive expired on December 31st. Reinstating it – she says – will get biodiesel producers across the country back to expanding their businesses and hiring new employees. The measure also includes the Producer Tax Credit for cellulosic biofuels and accelerated depreciation for cellulosic biorefineries – incentives due to expire at the end of the year. Advanced Ethanol Council Executive Director Brooke Coleman says the strong, bipartisan vote sends a strong signal to the marketplace that Congress understands the urgent need to address these expiring credits and maintain stability in the marketplace for emerging industries.

The AEC would like to see the incentives extended as soon as possible. NBB would as well. They are calling on the full Senate to quickly pass the package – and for the House to follow suit so biodiesel producers can get the certainty they need to begin hiring again.

The biodiesel tax incentive was allowed to expire at the end of 2010 as well. Once it was reinstated in 2011 – NBB says the biodiesel industry grew rapidly and set a new production record of nearly 1.1-billion gallons – supporting more than 39-thosand jobs across the country.

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“Lawmakers Request RFS Waiver”

More than 150 members of the U.S. House have asked Environmental Protection Agency Administrator Lisa Jackson to waive the Renewable Fuel Standard for the rest of the year in order to help ease corn supply concerns and protect American consumers, livestock producers and the economy. The request follows on the heels of a petition asking the agency to grant a waiver of the RFS in whole or in part for the remainder of 2012 and part of 2013. That petition was filed by a coalition of livestock and poultry organizations including the National Pork Producers Council. NPPC praised the group of lawmakers – led by Virginia’s Bob Goodlatte, Steve Womack of Arkansas and North Carolina’s Mike McIntyre – for requesting the waiver to help livestock and poultry producers weather the worst drought in more than 50 years. But Renewable Fuels Association President and CEO Bob Dinneen says calls to waive the RFS are premature and void of justification.

In 2012 – the RFS requires the production of 13.2-billion gallons of corn-based ethanol. That amount rises to 13.8-billion in 2013. To reach those levels – NPPC says the ethanol industry will use about 4.7-billion and 4.9-billion bushels respectively of the nation’s corn. The drought is expected to reduce corn yields – with some forecasters estimating a harvest of 11.8-billion bushels of corn. NPPC President-elect Randy Spronk says the lawmakers behind the waiver request recognize that the expected low crop yields – coupled with pressures on corn usage from federal energy policy – will devastate livestock and poultry producers.

RFA’s Dinneen says the RFS is working – and knee-jerk reactions to acts of God will not provide the kind of relief some are seeking. He says the RFS contains a great deal of flexibility – allowing obligated parties to meet RFS requirements in a variety of ways other than blending physical gallons of ethanol. Dinneen says the market is taking advantage of that flexibility – pointing out that domestic ethanol demand for corn has fallen nearly 15-percent and production has dropped in the last six weeks. Dinneen says waiving the RFS will not make it rain, bring pastures to life or meaningfully lower corn prices. He says grain will be produced her at home and abroad – and ultimately the market will ration demand.

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“Major Farm Groups Part of Letter Calling for Drop-In Biofuels Funding for Military”

National Farmers Union and the American Farm Bureau Federation are part of a coalition of agriculture, renewable energy and national security organizations urging the U.S. Senate Subcommittee for Defense Appropriations to support Department of Defense funding for accelerated production of domestically produced, advanced, drop-in biofuels for military use. A letter to Subcommittee Chair Daniel Inouye (in-oh-way) of Hawaii and Ranking Member Thad Cochran of Mississippi points to the Memorandum of Understanding entered by the Department of Defense with USDA and the Department of Energy last year. The MOU pledged a federal investment of more than 500-million dollars in partnership with the private sector – 170-million dollars from each participating agency. According to the coalition’s letter – the purpose of the MOU is consistent with history. They state the U.S. military has worked with Congress to develop and deploy innovative technologies that have improved national security and strengthened American military superiority at sea, in the skies and on the battlefield.

The letter goes on to note that adopting advanced, drop-in biofuels will help the Defense Department and the nation achieve broader national security objectives – as continued reliance on foreign oil puts U.S. troops at risk of supply disruptions during military or humanitarian missions.

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“First Class for Sorghum Leadership Program Announced”

The Sorghum Checkoff has announced the first class of its new program that seeks to develop the next generation of leaders for the sorghum industry. Fifteen sorghum farmers from eight different states have been selected for Leadership Sorghum. Sorghum Checkoff Chairman Bill Kubecka says the first class of the program is made up of a diverse group of farmers representing a wide variety of sorghum producing environments. He notes leadership is vital to the success of any industry – and has confidence the individuals chosen for Leadership Sorghum will gain the necessary resources to help lead the industry in the future.

The 15-month Leadership Sorghum Class I (one) will begin with sessions focused on the sorghum seed industry and research in the Texas Panhandle. Participants will be exposed to various aspects of the sorghum industry from basic research to international marketing throughout the program. Through hands-on and classroom style education – the participants will gain an understanding of how sorghum moves through the value chain, how checkoffs and interest organizations interact on behalf of the industry and what the future holds for the crop. Professional development training and networking opportunities will also be provided.

For more information – visit www dot sorghumcheckoff dot com slash leadership (www.sorghumcheckoff.com/leadership).

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“USDA Funds Announced to Create Jobs, Strengthen Rural Economic Development”

Projects in 12 states that will support job creation efforts, business development and strengthen economic growth in rural communities have been selected to receive funding through USDA’s Rural Economic Development Loan and Grant program. With this announcement – USDA is investing nearly 13-million dollars to spur economic growth. U.S. Agriculture Secretary Tom Vilsack says these investments will give businesses access to capital and new markets – allowing them to expand and increase hiring.

The Rural Economic Development Loan and Grant program provides zero-interest loans to local utilities which – in turn – provide funds to local businesses for projects that will create and retain employment in rural areas.

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“USDA to Host Briefing on Proposed Rule Animal Ag Alliance Worries Could Impact Farmers”

The Animal Agriculture Alliance recently issued an action alert due to concerns about the potential impact of the Animal Welfare Act to redefine retail pet store on farmers and ranchers. Now USDA’s Animal and Plant Health Inspection Service has reached out to the Alliance with an invitation to hold a conference call to discuss the proposed revision of regulations implementing the proposed rule – which would expand the number and type of animal breeding and husbandry facilities subject to licensure, inspection and recordkeeping under the Animal Welfare Act. USDA extended the comment period for this proposed rule until August 15th.

The concern for the Animal Ag Alliance is the way the proposed rule is written. They say it appears that if a farmer or breeder sells even one animal as a pet in a situation where the buyer does not come to their home, farm or place of business – they will be required to become USDA licensed. The Alliance believes a farmer selling an animal for purposes such as 4-H projects could potentially come under the impact of the rule.

The call will be held Monday (August 6) at nine o’clock Central time. APHIS representatives will give an overview of the proposed rule, discuss key points they believe are important to the Alliance and participate in a question and answer session.

SOURCE: NAFB News Service