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A publication of the National Association of State Departments of Agriculture NASDA'S WAREHOUSE TASK FORCE GEARS UP TO RESOLVE CONCERNS OVER USDA'S WAREHOUSE REGULATIONS STATE AG COMMISSIONER ELECTION RESULTS RUDGERS SPEAKS AT USDA TECHNICAL SERVICE PROVIDERS SUMMIT GOP GAINS CONTROL OF SENATE, ADDS SEATS IN HOUSE SENATE AGRICULTURE COMMITTEE TO UNDERGO CHANGES AGENDA AND LENGTH OF LAME DUCK SESSION UNCERTAIN USDA PERSONNEL CHANGES IN AREAS ADMINISTERING TRADE, HOMELAND SECURITY AND ANIMAL AND PLANT HEALTH KOURLIS CHOSEN TO CHAIR LAMB PROMOTION, RESEARCH AND INFORMATION BOARD State News--OREGON'S CAFO AND AFO RULES TO CHANGE State News--CHATBURN PROMOTED TO DEPUTY ADMINISTRATOR State News--SPELL LEADS BIODIESEL TOUR Past Issues
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NASDA'S WAREHOUSE TASK FORCE GEARS UP TO RESOLVE CONCERNS OVER USDA'S WAREHOUSE REGULATIONS On November 13, Illinois Agriculture Director Joe Hampton and Montana Agriculture Director Ralph Peck will co-chair the first meeting of NASDA's Warehouse Task Force in Kansas City, Missouri. Including the co-chairs, thirteen commissioners, directors, and secretaries have signed up to serve on the task force. The purpose of the task force is to resolve issues that have developed due to USDA's final rule revising the regulations administering the U.S. Warehouse Act (USWA) to implement the provisions of the Grain Standards and Warehouse Improvement Act of 2000. Among issues the task force will consider are whether the federal rules can be modified to adequately protect grain producers from losses in warehouse bankruptcies and whether federal licensing would allow states to maintain functions such as assuring accurate scales and collecting fees for commodity research and promotion programs. The meeting is scheduled from 9:00 a.m. to 5:00 p.m. at the Westin Crown Center in the Washington Park 2 Room. USDA Deputy Under Secretary for Farm and Foreign Agricultural Services Hunt Shipman is expected to participate in the task force meeting along with other USDA officials from the Farm Service Agency which oversees federal commodity warehouses. The task force will also hear from the regulated industry and producer organizations. Those groups planning to attend the task force meeting are the National Grain and Feed Association, National Association of Wheat Growers, American Farm Bureau Federation, National Cotton Council, National Grain Trade Council, the Transportation, Elevator, & Grain Merchants Association, and the National Farmers Union. With input from the states, USDA, the regulated industry, and commodity organizations, the goal of the task force is to identify viable options to handle the issues that have arisen due to the USDA final rule. The final rule included a section that reads "Compliance with state laws relating to the warehousing, grading, weighing, storing, merchandising or other similar activities is not required with respect to activities engaged in by a warehouse operator in a warehouse subject to a license issued in accordance with this part." This provision and its interpretation have caused concern among several organizations. As Director Hampton stated, "This task force will do all in its power to ensure state and federal governments work cooperatively to safeguard the financial integrity of our grain marketing and grain warehousing systems." Early next week, background materials related to the task force and the U.S. Warehouse Act final rules will be posted to NASDA's website. Soon after the meeting, the website will have periodic updates on the progress of the task force and its efforts to find solutions that will continue to protect producers. (Contact: Jennifer Yezak Molen) STATE AG COMMISSIONER ELECTION RESULTS Commissioner of agriculture elections were held in six states. Four NASDA members were successful in their reelection bids: Charles Bronson, Florida; Tommy Irvin, Georgia; Patty Judge, Iowa; and Susan Combs in Texas. In Alabama, Ron Sparks was elected commissioner of agriculture and industries. Sparks was born and raised in Fort Payne, Ala. He is a veteran of the United States Coast Guard and served as a member of the U.S. Coast Guard Honor Guard. He graduated from North East State Community College and was elected to the DeKalb County Commission in 1978. He served as director of the DeKalb County 911 Emergency Response District and was elected the state president for Alabama's 911 National Emergency Number Association. Sparks accepted the position of assistant commissioner of the Alabama Department of Agriculture and Industries in 1999. In South Carolina, the contest between Charles Sharpe and John Long had not been decided as of press time. Les Tindal, South Carolina commissioner of agriculture since 1982, did not seek reelection. (Contact: Rick Kirchhoff) RUDGERS SPEAKS AT USDA TECHNICAL SERVICE PROVIDERS SUMMIT Nathan L. Rudgers, commissioner of the New York Department of Agriculture and Markets, participated on a panel of public conservation technical service providers at a National Technical Service Providers (TSP) Summit hosted by USDA yesterday in Washington, D.C. Rudgers noted the TSP concept was in concert with NASDA policy and suggested that the New York's Agriculture Environmental Management (AEM) program could serve as a model for USDA. The all-day summit, designed to obtain input from farmers, ranchers, potential conservation technical assistance providers, and the public was kicked off by Agriculture Secretary Ann M. Veneman and Deputy Secretary Jim Moseley in USDA's Jefferson Auditorium. Moseley said, "we felt we needed to get input from the ground level." Also participating in the listening session were Natural Resources Conservation Service (NRCS) Chief Bruce Knight and Farm Service Agency Director James Little as well as Deputy Undersecretary Mack Gray. Dozens of individuals and organizations offered comments and suggestions on the how the "Delivery of Technical Assistance" section (1242) of the 2002 farm bill should be implemented. Most of the conservation technical assistance on private land today is currently being provided by NRCS and its partners including the nearly 3000 soil and water conservation districts across the nation. The summit was billed, "expanding the capabilities of conservation service on private lands." The TSP interim final rule was released late in the day and participants were provided freshly printed copies as they exited the auditorium. It was noted that rule will be accessible on NRCS' website within a few days and will be published soon in the Federal Register. Comments will be received for ninety days following publication in the Federal Register. (Contact: Tom Sommer) GOP GAINS CONTROL OF SENATE, ADDS SEATS IN HOUSE The Republican party gained control of the Senate in the November 5 elections and increased their number of seats in the House. The impact of the elections is already being felt on Capitol Hill as lawmakers prepare for a lame duck session next week and organize for the 108th Congress in January. In the Senate, Republicans will have at least 51 seats in the 108th Congress while Democrats will hold at least 46 seats with one Independent. Two races remain uncertain--there may be a recount in the South Dakota race and the Louisiana race will be decided in a December 7 runoff. However, the party ratio is expected to shift during the lame duck session and it is unclear how Senate leaders will organize the transition. Republican Rep. Jim Talent's win over Democratic Sen. Jean Carnahan in the Missouri special election for the remaining four years of the term won in 2000. Talent could be sworn in as soon as the state certifies the election. In addition, Minnesota Independent Dean Barkley was appointed to temporarily fill the seat of the late Paul Wellstone (D-Minn.). It is possible that Republican Norm Coleman, who won the Senate election, could be seated during the lame duck session. Whenever the GOP takes control of the Senate, Sen. Trent Lott (R-Miss.) will become the new Majority Leader and Sen. Tom Daschle (D-S.D.) will be the Minority Leader. On the House side, Republicans picked up at least three seats for a total of 226 seats while Democrats won 203 seats with one Independent. At press time, five seats were still undecided. Two days after the election, House Minority Leader Richard Gephart (D-Mo.) announced that he would not seek the leadership post. The announcement set off a fight for the top-ranked position and Democratic Caucus Chairman Martin Frost (D-Texas) and House Minority Whip Nancy Pelosi (D-Calif.) immediately declared they would seek the position. House Speaker Dennis Hastert (R-Ill.) will continue to hold his position. (Contact: Charlie Ingram) SENATE AGRICULTURE COMMITTEE TO UNDERGO CHANGES With the Republicans in control of the Senate during the 108th Congress, there are some major changes ahead for the Senate Agriculture Committee. There will several vacancies to fill due to election losses and as some lawmakers change their committee assignments. The most dramatic change will occur in the chairmanship as Sen. Thad Cochran (R-Miss.) takes over the gavel from current Chairman Tom Harkin (D-Iowa). Sen. Richard Lugar (R-Ind.) was in line to assume the chairman's post, but he has chosen to lead the Senate Foreign Relations Committee instead. Lugar is expected to remain a member of the committee and Harkin will hold the ranking Democratic position. Retiring Sen. Jesse Helms (R-N.C.) was the second ranking Republican on the committee. Vacancies on the committee include spots held by Sen. Tim Hutchinson (R-Ark.), who lost his election bid, and the late Sen. Paul Wellstone (D-Minn.). In the House, no major changes are expected in the leadership of the House Agriculture Committee. Chairman Larry Combest (R-Texas) will begin his last two-year term as chairman and Rep. Charlie Stenholm (D-Texas) will remain as ranking member. The chairmanship of the Subcommittee on General Farm Commodities and Risk Management will be open since current Chairman Saxby Chambliss (R-Ga.) won election to the Senate. There will be at least ten committee vacancies to fill due to elections, not counting any changes in committee assignments that individual lawmakers may choose. Republican committee members who will not be returning include: Reps. Saxby Chambliss (Ga.), John Cooksey (La.), George Gekas (Pa.), Bob Riley (Ala.), and John Thune (S.D.). Democratic committee members who will not be serving on the committee include: Reps. John Balducci (Maine), Gary Condit (Calif.), Eva Clayton (N.C.), Earl Hillard (Ala.), and Ronnie Shows (Miss.). (Contact: Charlie Ingram) AGENDA AND LENGTH OF LAME DUCK SESSION UNCERTAIN Congress returns to work next week for a post-election lame duck session; but, the length and agenda for the session is unclear. There could be organizational complications in the Senate if Republicans officially take control of the chamber during this time. This prospect appears likely since two newly elected senators in special elections could be sworn in early. During a November 7 press conference, incoming Senate Majority Leader Trent Lott (R-Miss.) said he preferred a "short" lame duck session. Lawmakers must take action on appropriations bills which have been stalled for months. Only two of the thirteen annual spending bills have been approved by Congress and the continuing budget resolution expires on November 22. Lott indicated that he would like to pass a long-term continuing resolution lasting until February or March and put off action on the budget bills until the new 108th Congress. Legislation to create a new Department of Homeland Security will be a top priority during the lame duck session. It is unclear whether lawmakers will act on several key bills which are being negotiated in House-Senate conference committees. These bills include bankruptcy reform, seaport security, and a comprehensive energy package. Meanwhile, President George W. Bush said it was "imperative" that Congress pass the homeland security bill before lawmakers adjourn for the year. Bush also said that one of his priority issues in 2003 would be an economic stimulus package, including another tax cut proposal. (Contact: Charlie Ingram) USDA PERSONNEL CHANGES IN AREAS ADMINISTERING TRADE, HOMELAND SECURITY AND ANIMAL AND PLANT HEALTH This week, Agriculture Secretary Ann M. Veneman announced several personnel announcements at USDA in an effort to enhance trade, animal and plant regulations, homeland security, and strategic initiatives within the department. The announcements include naming Dr. James G. Butler as deputy undersecretary for farm and foreign agricultural services, Dr. Charles Lambert as deputy undersecretary for marketing and regulatory services, and Mike Neruda as senior advisor to the secretary for homeland security and strategic initiatives. Dr. Jim Butler has served as USDA's deputy under secretary for marketing and regulatory programs since September 2001 as part of Under Secretary Bill Hawks' team. In his new position, Dr. Butler will be a key advisor regarding sanitary and phytosanitary issues, as well as other trade, farm and food policies. He joins Hunt Shipman as the agency's other deputy undersecretary. Dr. Butler has been a key point person on Karnal bunt issues, animal health, and wildlife services while at marketing and regulatory programs. Prior to joining USDA, Butler was a partner in Butler and Son Charolais Ranch, a purebred Charolais cattle operation in Brazos County, Texas, where he worked for more than thirty years. Butler was a sheep and wool specialist for Colorado State University from 1985 to 1987. From 1990 to 2001, he worked for the Texas A&M System in various positions in administration, most recently as deputy vice chancellor of agriculture and life sciences. Marketing and regulatory programs (MRP) oversees the Animal and Plant Health Inspection Service, the Agricultural Marketing Service, and the Grain Inspection and Packers and Stockyards Administration. Dr. Charles "Chuck" Lambert will replace Dr. Butler at MRP on December 2. Dr. Lambert has served more than 15 years in various positions at the National Cattlemen's Beef Association, including his current position as chief economist. Lambert has extensive experience in legislative and regulatory issues, as well as a strong background in economics, trade and marketing. At NCBA he staffed the policy division of the NCBA International Markets Committee and the NCBA Live Cattle Marketing Council. He also has staffed the NCBA live cattle marketing committee and has extensive familiarity and issue management experience in industry structure and market conduct/performance issues including futures, packer concentration, "captive supplies," country of origin labeling, and price reporting. The structure and administration of the future Department of Homeland Security is a major concern for NASDA to ensure that states are full partners in providing homeland security and protection for agricultural products and livestock. Mike Neruda has served as a deputy undersecretary for Rural Development since June 2001. NASDA members were able to meet with Neruda during the recent NASDA annual meeting in Kentucky. Based on those contacts, NASDA can continue to build a working relationship with Neruda in his new position. He will serve as a senior advisor on homeland security issues, as well as managing various strategic initiatives. Prior to joining USDA, Neruda was staff director of the Subcommittee on General Farm Commodities, Resource Conservation and Credit, Committee on Agriculture, U.S. House of Representatives. Neruda has served on the staff of several members of Congress, including Rep. Fred Grandy and Sen. Roger Jepsen, both of Iowa, and Sen. Ed Zorinsky of Nebraska. He also served as a consultant for Representative Ron Marlenee of Montana on the House Agriculture Committee's Wheat, Soybeans, and Feedgrains Subcommittee. (Contact: Jennifer Yezak Molen) KOURLIS CHOSEN TO CHAIR LAMB PROMOTION, RESEARCH AND INFORMATION BOARD This week, the Lamb Promotion, Research and Information Board met in Washington, D.C., to develop a board structure and to determine priorities. During the course of the two-day meeting, officers were elected. Tom Kourlis was chosen to chair the board and guide its efforts during this first year of operation. Kourlis was Colorado's commissioner of agriculture from 1994 to 1998 and is from a family that's been raising sheep for more than 70 years. Other officers are: William Brennan, South Dakota, vice-chair; Margaret Magruder, Oregon, secretary; and David Winters, Texas, treasurer. The board set up program committees and approved a budget of $2.6 million for fiscal year 2003. The meeting also included an overview of research and program programs, USDA's oversight role, each board member's responsibilities, and the investment policy of the Agricultural Marketing Service (AMS). The 13-member board is composed of six producers and three feeders representing regions east and west of the Mississippi River, one seedstock producer, and three first-handlers. The appointees will serve one-, two- or three-year terms. During each subsequent year, the secretary of agriculture will appoint one-third of all board members for three-year terms. Appointed members representing producers are: Nicholas L. Forrest, Ohio, three-year term; Mary E. Clarke, Colo., two-year term; Margaret C. Magruder, Ore., one-year term; John L. Oswalt, Mich., three-year term; Michael A. Guerry, Idaho, two-year term; and Thomas A. Kourlis, Colo., one-year term. Appointed members representing feeders are: Joseph O. Harper, W.V., three-year term; Larry S. (Spencer) Rule, Colo., two-year term; and William D. (David) Winters, Texas, one-year term. Appointed members representing first handlers are: William R. Brennan, S.D., three-year term; Teddie R. Crippen, Ore., two-year term; and Kevin R. Quam, Colo., one-year term. The seedstock producer appointed is Joanne G. Evans, Pa., three-year term. Established under the Commodity Promotion, Research and Information Act of 1996 and the Lamb Promotion, Research and Information Order, the board will be financed by a mandatory assessment of one-half cent ($.005) per pound on ovine animals of any age, including ewes and rams, sold by producers, seedstock producers, feeders and exporters. Also, an assessment of $.30 per head must be paid by first-handlers. Assessments began on July 1, 2002, and are being collected by the USDA. (Contact: Jennifer Yezak Molen) FOOD SAFETY BRIEFS ~~Groups Release Agribusiness Security Guidelines~~Three agricultural retail and chemical associations have released a set of guidelines to address potential security vulnerabilities in the pesticide and fertilizer industries. The guidelines are designed to help retailers, wholesalers, distributors and users improve agricultural chemical safety at businesses and sites. The Agricultural Retailers Association, CropLife America, and The Fertilizer Institute developed the guidelines using a team of security professionals and industry leaders from manufacturing to retail in coordination with government agencies charged with chemical industry safety and security. The guidelines are available upon request, at no charge, from any of the sponsoring organizations and in PDF format at http://www.aradc.org, http://www.croplifeamerica.org, or http://www.tfi.org. ~~FSIS Plans Summit on Listeria~~USDA's Food Safety and Inspection Service (FSIS) will hold a Listeria meeting on November 18 to discuss issues and ideas related to the science of improving the safety of ready-to-eat meat and poultry products. The meeting is one of a series of meetings FSIS is conducting to gather public input on food safety and public health issues. The November meeting will be held in Washington, D.C., and will focus on the assessment, management, and communication of risks associated with Listeria. In early 2001, USDA published a proposed regulation that would require meat and poultry establishments to conduct food contact surface testing for generic Listeria or to address post-lethality contamination in their Hazard Analysis and Critical Control Points (HACCP) plans. The proposed regulation identified the need for additional scientific information and data to support the rule. FSIS is currently reviewing the public comments on the proposed rule and expects to gain more input at the upcoming public meeting. ~~Food Safety Alliance Completes Review of HIMP Project~~A technical review of data on the effectiveness of the HACCP-based Inspection Models Project (HIMP) was presented this week at a meeting of the National Advisory Committee on Meat and Poultry Inspection. The HIMP program was designed to reallocate in-plant responsibilities to provide FSIS inspectors the flexibility to best focus on public health concerns from the farm to table. Under the program, industry carries out certain process control activities, under FSIS oversight, while FSIS inspectors focus their attention on inspection and verification activities. FSIS Administrator Dr. Garry L. McKee said the review "is very important as USDA determines further action on the HIMP project." USDA's Food Safety and Inspection Service (FSIS) contracted with National Alliance for Food Safety (NAFS), a consortium of 20 universities, to determine the soundness of the design and methodology for the HIMP pilot project and the utility of data collected. The review concludes that "overall, the HIMP system compared favorably to the traditional system of inspection with regard to meaningful parameters to consumers of poultry and poultry products." (Contact: Charlie Ingram) STATE NEWS OREGON'S CAFO AND AFO RULES TO CHANGE For years now the state of Oregon and Oregon agriculture have worked diligently to comply with the 1972 federal Clean Water Act. Oregon farmers and ranchers have long understood their role in reducing pollution, and now new confined animal feeding operation (CAFO) and animal feeding operation (AFO) rules will help improve the state's water quality even more. In 2001, the Oregon Legislature passed House Bill 2156, directing the Oregon Department of Agriculture (ODA) to regulate all livestock operations to satisfy both state water quality laws and the Clean Water Act. "We are working on ways that enable livestock producers and dairy operators to comply with the new CAFO rules," says Debbie Gorham, administrator of ODA's Natural Resources Division, who oversees the state CAFO/AFO program. "Our goal is to make the implementation of the new rules as easy as we possibly can." Once the new rules are adopted, ODA will issue the new Oregon CAFO General Permit. The new permit will be available in 2003 and producers will be transitioned from the current permit to the new one over a three-year period. Some feedlots and cattle ranches may require the new permit. To help producers understand how the new rules may affect them, ODA has published a "Quick Guide" that provides a general overview. However, the Quick Guide is simply an overview of the new program. Specific questions should be directed to the state's four CAFO livestock water quality specialists, who are responsible for inspecting permitted CAFOs and AFOs. Many operators are now wondering whether or not their operations are CAFOs or AFOs. "This is the most common question under the new rules," says Gorham. "Unfortunately, a simple answer will not address each operation. Operators who were issued permits in the past will still need a permit." The new rules will mostly likely not affect the small operator with just a few animals. "Generally, if you have only a few animals you won't need a permit," says Gorham. "However, everyone is responsible for maintaining water quality. Even though you may not be required to have a permit, you still don't want to pollute." The new permitting system and rules were developed with the help of those who may be affected. "It was a cooperative effort involving farmers, ranchers, industry representatives, environmentalists, and concerned citizens," says Gorham. The CAFO Rules Advisory Committee has been meeting since the fall of 2001. Now that the rules have been developed, public informational meetings are being conducted statewide with formal public hearings to follow. "Farmers, ranchers, and small acreage owners will have many questions," says Gorham. "We are ready to answer those questions and urge everyone to attend a public informational session or a formal hearing near them." Meeting and hearing dates will be posted on the CAFO section of the ODA website, http://oda.state.or.us, and will be mailed to individuals who are on the "interested parties" list. Residents can be placed on the interested parties list by calling ODA in Salem at 503/986-4700. (Contact: Bruce Pokarney, 503/986-4559) CHATBURN PROMOTED TO DEPUTY ADMINISTRATOR FOR ANIMAL INDUSTRIES In an effort to ensure the Idaho State Department of Agriculture's Division of Animal Industries can manage its continually expanding responsibilities, Idaho Agriculture Director/Secretary Pat Takasugi announced that John Chatburn has been named as the division's deputy administrator. "This department is being asked to do more and more in the areas of animal health; infectious diseases that affect both animals and people; environmental protection; and homeland security," said Takasugi. "State Veterinarian Dr. Bob Hillman, who also serves as the administrator for the division, needed aid in addressing all of the new issues as well as maintaining current responsibilities." Chatburn was serving as a bureau chief for the Bureau of Animal Health and Livestock. The department is actively recruiting for that position. (Contact: Julie Pipal, 208/332-8671) SPELL LEADS BIODIESEL TOUR Mississippi Agriculture Commissioner Lester Spell recently completed, with a 50-person delegation, a successful tour of the Midwest with visits to a state-of-the-art biodiesel facility in Ralston, Iowa, as well as the nation's newest ethanol facility in Coon Rapids. Both facilities are in their first year of operation. The delegation included farmers from across the state--agri-businesses, state legislators, representatives of Alcorn State University, Mississippi State University, Mississippi Development Authority, Mississippi Alternative Energy, two mayors, and staff of the Mississippi Department of Agriculture and Commerce. The group explored what technology works in different areas of agriculture and why, and how it could be beneficial for the Mississippi growers and producers. It is estimated that a fully operationally ethanol facility could consume nearly 15 million bushels of corn grown on 120,000 of farmland. This production would likely result from additional acreage of land coming on line. The tour began with a visit to the biodiesel facility in Ralston, Iowa. Explanations were given as to how farmers formed and retained the majority of ownership in both of these facilities. Co-ops of these types are not as common in the South. The West Central Cooperative, $40 million manufacturing complex, in Ralston includes about 3,500 farmers and extends over ten counties. The company markets over 50 million bushels of corn and soybeans annually. In the first six weeks, the company reported handling 28,000 bushels of corn, 5,600 bushels of oats and 180 tons of corn. The members visited an Ethanol Manufacturing facility in Coon Rapids, Iowa. Financing structure, risk management and cash flow were discussed by the president of the organization, as well as staff. Pointing out that the facility did not happen overnight, the presentation focused on how to avoid traditional pitfalls associated with "old-style" cooperatives. The leadership suggested that their newer model was in a better position to benefit from opportunities regarding the rapidly changing laws. The Tall Corn LLC 40 million gallon capacity facility draws its corn from an area with a 40-mile radius. Costing nearly $56 million, the operation is able to successfully market 100% of its production of ethanol and other co-products such as distillers' dried grain by its close working relationships with other distribution organizations throughout the Midwest. Such cooperatives give farmers the advantage of stronger buying and selling power and also opportunities to add value to their crop. Spell stated, "By adding value to their products, farmers increase their share of marketing opportunities and move ahead from the "price taker" image of many of today's farmers to "price makers." Some of the byproducts of ethanol and biodiesel production are used as livestock feeds. Considerable potential exists for use by catfish operations in Mississippi, and is presently being studied by Mississippi State Extension and the Thad Cochran Aquaculture Center in Stoneville. In addition, there are many other uses such as industrial lubricants, detergents, body lotions, and many other products with strong market potentials. (Contact: Rickey Gray, 601/613-6492) |
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