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10.1 Introduction
Last updated: September 20, 2011
Labor management problems, transportation inadequacies, and the increasing concentration among suppliers can have adverse effects on the agriculture industry. NASDA believes in maintaining fairness and equity within the agriculture community through the development of a strong agriculture infrastructure.
The twentieth century was “America’s century,” and the success of our agricultural sector was critical to the nation’s preeminence. Infrastructure investments made in the nineteenth and twentieth century led our country into prosperity. Railroads, highways, electricity, communications and education — linking rural areas with urban, and the world, both physically and socially, were costly but necessary investments that enabled the people of the United States to become the best fed at the lowest price of any people in history. That infrastructure is crumbling however as we begin a new century. Nearly half of our agricultural production is exported and a large factor in our competitiveness in the world marketplace has been the efficiency of our transportation system. Without a substantial investment in our infrastructure, we cannot hold our preeminent position in food production.
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10.2 Agricultural Labor
Last updated: September 20, 2011
For decades, the most labor>âintensive sectors of American agriculture have been dependent on alien workers to meet basic workforce needs. In recent years, almost all sectors have dealt with labor shortages by employing alien workers. Regulatory efforts to protect this segment of the workforce from unfair treatment and exploitation while striving to avoid the displacement of U.S. workers by underpaid immigrant labor have exacerbated the ills they were designed to cure. By using their authority to make it extremely difficult for agricultural employers to utilize legal temporary worker programs, governments have enhanced the economic incentives that underpin a thriving traffic in illegal workers.
The present situation — characterized by a predominance of workers whose right to work in the United States is supported by documentation of dubious veracity or no documentation at all — is untenable in the long run. The short>âterm consequence of an immediate expulsion of this segment of the workforce would cause a production crisis in a wide range of field and orchard crops, and in the livestock industry. This would leave the United States no alternative but to import many food products from poorer countries that have surplus farm labor. Any workable solution to the current, unstable situation must deal with the rights of both foreign and U.S. workers, with the status of alien workers now employed in the U.S. agricultural sector, and with the conditions under which foreign workers may be employed in the future.
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Rights of Agricultural Workers
Last updated: September 20, 2011
Alien workers should receive the same wages, benefits, and protections as U.S. citizens working in the same jobs. The wage standard for agricultural labor should be tied to the federal minimum wage rate as determined in accordance with the Fair Labor Standards Act. Alien workers should not be permitted to fill positions vacant as the result of a strike, lockout, or work stoppage as a result of a labor dispute. Laws and regulations should be crafted in such a way as to discourage litigation .and facilitate rapid dispute resolution. Alien workers should have the right to return to their homes and families during vacations and gaps in legal employment without jeopardizing their right to return to that employment.
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Temporary Agricultural Workers
Last updated: September 20, 2011
Alien workers should receive the same wages, benefits, and protections as U.S. citizens working in the same jobs. The wage standard for agricultural labor should be tied to the federal minimum wage rate as determined in accordance with the Fair Labor Standards Act. Alien workers should not be permitted to fill positions vacant as the result of a strike, lockout, or work stoppage as a result of a labor dispute. Laws and regulations should be crafted in such a way as to discourage litigation .and facilitate rapid dispute resolution. Alien workers should have the right to return to their homes and families during vacations and gaps in legal employment without jeopardizing their right to return to that employment.
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Identification of Agricultural Workers
Last updated: September 20, 2011
NASDA encourages the federal government to develop an identification system that will provide the United States reassurance that its national security is not being compromised while facilitating the availability of migrant farm workers to our agricultural producers.
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Adjustment of Status
Last updated: September 20, 2011
A workable means of regularizing the status of current agricultural workers is a critical element of any long>âterm solution to the temporary worker problem, since it will take some time to get the kinks out of a reformed guest worker program. Policies should allow workers already employed in agriculture and willing to commit to future employment in the industry to have their de facto position in the labor force recognized, and should remove sanctions that preclude their ever participating in the workforce on a legal basis. This will help the agricultural industry meet its immediate labor requirements without knowingly or unknowing violating current immigration laws, while placing current alien workers under the protections that all participants in the U.S. agricultural workforce are guaranteed.
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Federal Agencies
Last updated: September 20, 2011
The vast majority of all agricultural producers are in full compliance with all state and federal laws and regulations regarding the treatment of farmworkers. NASDA urges the U.S. Department of Agriculture, U.S. Department of Labor, and the U.S. Department of State to enforce existing immigration, labor, worker safety and border patrol laws. In addition, NASDA further urges these agencies to increase education and outreach efforts with producers to ensure they have the information necessary to comply with these laws. These agencies should assist NASDA in disseminating information that accurately depicts the current treatment of farmworkers by agricultural producers.
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Fair Labor Standards Act
Last updated: September 20, 2011
Although the Christmas tree industry has changed considerably over the years to its current agricultural state, it is sometimes still classified as non-agricultural. Most state departments of agriculture, the Internal Revenue Service, U.S. Department of Agriculture, and the U.S. Office of Management and Budget have defined agricultural commodities to include Christmas trees, however, the U.S. Department of Labor has interpreted the Fair Labor Standards Act of 1938 to exclude Christmas tree farming from its agricultural definition. This poses significant confusion and regulatory challenges for U.S. Christmas tree producers.
NASDA supports legislation that would amend § 203(f) of the Fair Labor Standards Act to include Christmas trees within the definition of agricultural or horticultural commodities.
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10.3 Agricultural Transportation
Last updated: September 20, 2011
The U.S. agriculture industry relies heavily on a consistent and dependable transportation system including rivers, rail, and roadways. A collapse of any part of the current transportation system will be a detriment to the survival of the agriculture industry. Farmers and ranchers must have the ability to move products and equipment to sustain their normal farm and ranch enterprises on highways
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River Transportation
Last updated: September 20, 2011
Farmers and ranchers have an enormous dependence on the U.S. waterway system. According to USDA, barges transport about 50 percent of all U.S. grain exports including around 68 percent of soybeans, 58 percent of wheat, and 65 percent of corn. The dependency between agriculture products and grain barges is reciprocal with waterborne transportation relying on field crops for 80 percent and agricultural inputs for 16 percent of its traffic.
Typical single unit tows on the Upper Mississippi River move about 22,500 tons, which is equivalent to about 225 rail cars or 870 tractor-trailer units. The topography of the Columbia-Snake system in the Pacific Northwest demands a greater need for dams and locks. Nonetheless, a single tow of three barges moves about 10,000 tons equivalent to 100 rail cars or nearly 400 trucks.
River transport of bulk and cargo containers of agricultural products is critical to many areas of the country. In addition to the crucial role that dams and locks play in the transportation of agricultural commodities, they are also critical in the nation’s energy mix as a source of clean energy. For example, in the Pacific Northwest, the Snake River and Columbia River dams generate 40 percent of the hydropower in the United States.
Many rural and urban communities rely on the river systems, ports, reservoirs, irrigation, and other structural components of dams. In recent years, significant investments have been made in these systems to accommodate fish passage and other wildlife issues. Indeed, most salmon recovery programs in the Northwest are financed by the Bonneville Power Administration, which spends $435 million a year on the effort. Ratepayers, including farmers and ranchers, are financing these efforts. On-going efforts will continue to address conservation and wildlife needs; but, the social fabric and economic reality of rural and urban areas rely on river way infrastructures
Much of the nation's imported and exported agricultural products are transported through port facilities linked to waterways and the nation's lakes and rivers. If we are unable to move agricultural products in an efficient manner, the U.S. will become less competitive in export markets and will lose domestic markets as well. Specifically, one of the United States’ biggest competitors, Argentina, recently invested more than $650 million in a dredging project. This project has lowered ocean freight rates paid by Argentine grain exporters. Furthermore, more dredging is planned. This, paired with government economic reforms encouraging grain production, will increase Argentina’s competitiveness in the world market and with U.S. product. China is also rapidly improving its waterway system.
Improvements in the U.S. waterway system are urgently needed. These aging structures can no longer accommodate the traffic volume or the physical size of today’s carriers. NASDA supports adequate funding and continued investment in these facilities for our nation's trade and food security interests. NASDA supports efforts to fund lock and dam maintenance and improvement programs necessary for the continued operation for safe and efficient commercial navigation on the U.S. rivers and lakes.
Under section 404(f) of the Clean Water Act, permits are not required for various activities, such as normal silviculture, as long as certain conditions are met. Section 404, which regulates the discharge of dredged and fill material into waters of the United States, is jointly administered by the Corps of Engineers and the Environmental Protection Agency. The Corps has additional authority to regulate obstructions, structures and activities under section 10 of the Rivers and Harbors Act of 1899 that impede the course, condition and navigational capacity of navigable waters. However, ongoing forestry operations in wetlands that qualify as "normal silviculture" under section 404(f) of the Clean Water Act have not been subject to the permit requirement of section 10 of the Rivers and Harbors Act. NASDA urges that the discharge of dredged or fill material into waters of the United States from normal farming, silviculture, and ranching activities such as plowing, seeding, cultivating, minor drainage, harvesting for the production of food, fiber, and forest products and including the placement and use of temporary structures for soil and erosion control protection, or upland soil and water conservation practices remain subject to section 404(f) of the Clean Water Act (33 U.S.C. 1344(f)), but not be prohibited by or otherwise subject to regulation under section 10 of the Rivers and Harbors Act (33 U.S.C. 403).
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Rail Transportation
Last updated: September 20, 2011
Farmers and ranchers face unique challenges in the global market, and require a dependable and affordable means of transportation for their product. Weather, market conditions, and mergers have impacted the rail transportation industry causing grain car shortages, especially in the upper Midwestern States. Farmers and ranchers already operate on exceedingly low profit margins–this paired with dramatic fluctuations in world economies places them in a financially precarious environment that Congress has taken a special interest in addressing. Many farmers and ranchers are captive rail customers without logical or affordable alternative modes of transportation. Agricultural shippers in some parts of the U.S. are paying the highest rail freight rates for, arguably, the most sporadic and unreliable service. Agricultural producers need a clearly defined means for securing reliable service at a reasonable rate.
A review of the past 20 years of regulatory precedent demonstrates that rail regulators, faced with policy conflicts between competition and railroad industry revenue, invariably gave the rail industry’s bottom line preference. If Congress truly intended for competition to be the regulator of choice among rail carriers as well as with other modes this policy needs to be clarified legislatively.
Dramatic increases in grain export demands, rail mergers, and Commodity Credit Corporation’s (CCC) loan requirements are a few causes of grain car shortages. Most CCC loans are due at or near harvest time when the volume of new crops already overtax the system. CCC loans are also due when grain prices are typically at their lowest point during the year.
To address rail transportation inadequacies, NASDA encourages USDA to consider moving CCC grain into the market at various intervals and over a longer period of time to balance the shipping needs throughout the year. The Secretary of Agriculture should also be provided discretionary authority to extend CCC loans for up to six months for economic or other emergency reasons. We believe this increased flexibility in loan maturity could facilitate more orderly shipments of grain.
We also believe monthly rail shipper survey information should be published and that the Surface Transportation Board’s National Grain Car Council should implement a mechanism that permits shippers to seek nonperformance arbitration.
Congress should require rail carriers, upon request, to quote a rate between any two points on the system where traffic originates, terminates or may reasonably be interchanged without regard to whether the rate is for only part of the total movement. Also, upon request, small, captive agricultural shippers should be provided with a simple benchmark test for rate and service cases.
NASDA urges all railroads to charge reasonable rates and offer fair, consistent and equitable rate spreads, service, and treatment to all shippers. NASDA also encourages railroads to offer co-loading of trains, and to have reasonable loading policies that hold both shippers and railroads responsible for moving equipment promptly. NASDA believes that Congress and the Federal government should substantially increase oversight of railroads, including rates and services, where competition is not present.
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Container Availability
Last updated: September 20, 2011
Container shipping has become a major part of international trade. In some instances, the lack of available containers limits the amount of commodities that can be traded. Often information regarding the location of containers is unavailable and opportunities are lost because of this infrastructure dilemma. The Agriculture Marketing Service’s Transportation Branch should periodically conduct surveys of the location and availability of containers to assist in expanding international trade opportunities. The results of these surveys should be readily available to assist the agricultural industry increase international market opportunities.
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10.4 Weights and Measure - National Measurement System
Last updated: September 20, 2011
NASDA recognizes the need for a nationally uniform and effective weights and measures system. A sound weights and measures system is critical to commerce in the national and international marketplace. Measurement standards are essential for fair competition, promoting good business practices and protecting consumers. The individual states, territories and local jurisdictions conduct weights and measures enforcement in the United States.
NASDA recognizes the value of the national measurement system and the various organizations involved in weights and measures. States, industry representatives and the National Institute of Standards and Technology (NIST) join together under the National Conference of Weights and Measures (NCWM) to promulgate regulations on a consensus basis in the form of national handbooks. The handbooks are commonly adopted by the individual states as regulations or are used as models to develop regulations with the intent of providing a nationally uniform measurement system. The National Institute of Standards and Technology (NIST), a branch of the Department of Commerce, provides expert guidance on technical matters, interpretations of the national handbooks, training on measurement topics and accreditation of state metrology laboratories.
Decreased funding by states, increased costs and the resulting variations in state program operations have led to a lack of uniformity in weights and measures laws, in regulations and methods of inspection and is causing an erosion of buyer and seller confidence in the market place. Lack of uniform enforcement exposes businesses and consumers to the potential of fraud. Non>âuniformity subjects marketers to a patchwork of state and local requirements, which becomes a serious impediment to efficient and effective commercial distribution systems. Lack of uniform inspection and enforcement capabilities can result in buyer and seller being cheated, government tax payments avoided and a general distrust in market place measurements.
A federal grant program to restore and strengthen the weights and measures system should be approved by Congress. The grant, administered by NIST, would provide assistance to the states in restoring and upgrading their capabilities and capacity. The grant program would provide a method by which the states, federal government, and NCWM could work in partnership to establish programs to improve uniformity and strengthen weights and measures programs thereby restoring confidence in our national measurement system.