March 11, 2005, Issue XIII, Number 9

A publication of the National Association of State Departments of Agriculture
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NASDA URGES USDA TO ISSUE REPORT ON INTERSTATE MEAT SHIPMENT

CONGRESS BEGINS DIFFICULT WORK ON FY06 BUDGET

SUBCOMMITTEE REVIEWS METHYL BROMIDE EXEMPTION PROCESS

PANEL REVIEWS COMMODITY FUTURES INDUSTRY

USDA DEPUTY SECRETARY RESIGNS

PRESIDENT NOMINATES STEPHEN JOHNSON TO HEAD EPA

USDA NEWS

State News--NEW LEADERSHIP PROGRAM IN FOOD SYSTEMS AVAILABLE

State News--MARYLAND DEPUTY SECRETARY BROOKS ELECTED TO NATIONAL VETERINARY ASSOCIATION LEADERSHIP

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Past Issues

March 2, 2005

February 25, 2005

February 11, 2005

February 4, 2005

January 28, 2005

January 24, 2005

January 14, 2005

January 7, 2005

December 28, 2004

December 17, 2004

December 9, 2004

December 3, 2004

November 22, 2004

November 12, 2004

What's New on the NASDA Website

NASDA 2005

NASDA's Midyear Meeting 2005

Committee Minutes, etc., from NASDA 2004

NASDA Comments on BSE proposed regulation

NASDA's Specialty Crop website with final report

American Food Fair

U.S. Food Export Showcase

Committee Reports and Policy Amendments from NASDA's 2004 Midyear Meeting

Trinational Accord

Letter Supporting CSP

State Environmental Guides

U.S. SUPPLIER LIST ONLINE
A "one-stop" information source for U.S. exporters and international buyers to research, plan, and evaluate potential trade opportunities. For information, go to NASDA's website at http://www.nasda.org/. FAS' "Exporter's Matrix: Handbook for U.S. Agribusiness" export guide is available. Please contact NASDA to request a copy.


NASDA URGES USDA TO ISSUE REPORT ON INTERSTATE MEAT SHIPMENT

        NASDA sent a letter to Agriculture Secretary Mike Johannes this week and urged the department to issue a report on state meat inspection programs and interstate meat shipment. The 2002 farm bill includes language directing USDA to conduct a comprehensive review of state meat and poultry inspection programs and to provide a report to Congress on these activities by the Food Safety Inspection Service (FSIS).
        FSIS recently conducted new reviews of state inspection programs and updated the state program review process. These reviews have been expected to form the basis for the USDA report to Congress. To date, the report has not been issued and NASDA's letter asks about its status. In addition, the language in the 2002 farm bill specifically requested USDA to offer guidance about "what changes the state systems might expect should the statutory prohibition against interstate shipment of state-inspected product be removed." This "transition" guidance would be valuable to states so they can prepare to meet any new program terms and requirements in the future if the current ban on the shipment of interstate meat products is lifted.
        Passage of legislation to allow interstate shipment of state-inspected meat and poultry products continues to be a priority for NASDA and efforts are ongoing to address any obstacles so this can be achieved. Currently, legislative activity remains stalled over the issue of USDA authority to set and enforce pathogen reduction standards. (Contact: Charlie Ingram)

CONGRESS BEGINS DIFFICULT WORK ON FY06 BUDGET

        Both the House and Senate Budget Committees passed significantly different FY06 budget resolutions this week as lawmakers struggle to set spending levels for federal departments and programs. The congressional budget process is expected to be contentious this year since the administration has proposed spending cuts in most domestic programs, including agriculture.
        The congressional budget resolution serves as the blueprint and guide for the House and Senate Appropriations Committees. The House Budget Committee approved its $2.57 trillion FY06 budget resolution on March 9 and proposed to reduce mandatory spending by $68.6 billion over five years. The budget plan calls on the Agriculture Committee to find $5.3 billion in savings from programs under its jurisdiction. The Senate Budget Committee approved a $2.6 trillion FY06 budget resolution on March 10 which seeks to curb mandatory spending by $32 billion over five years. The Senate measure calls for $2.8 billion in savings from the Agriculture Committee. Both the House and Senate resolutions set discretionary spending at about 843 billion, which is the same as the administration's budget proposal.
        Both the House and Senate are scheduled to begin floor debate on the budget resolutions next week and numerous agricultural amendments are expected. For example, Sen. Grassley (R-Iowa) may offer a proposal to limit farm payments to producers. Other lawmakers may seek to extend the Milk Income Loss Contract (MILC) program for two years. In addition, Senators Blanche Lincoln (D-Ark.) and Norm Coleman (R-Minn.) sent a letter signed by 50 lawmakers to the Budget Committee outlining the importance of maintaining funding levels for vital farm and food programs. (Contact: Charlie Ingram)

SUBCOMMITTEE REVIEWS METHYL BROMIDE EXEMPTION PROCESS

        Rep. Frank Lucas (R-Okla.), chairman of the House Agriculture Subcommittee on Conservation, Credit, Rural Development and Research, held a hearing this week to review the methyl bromide (MeBr) Critical Use Exemption (CUE) process under the Montreal Protocol. Methyl bromide is an important fumigant used for many crops, but it is being phased out under the Montreal Protocol treaty. An exemption process is allowed under the treaty to allow for the continued use of methyl bromide for critical uses.
        Lucas was critical of the Environmental Protection Agency (EPA) and the Department of State for some of their decisions as well as the international and scientific review process. Farm organizations testifying at the hearing also expressed concern about the international review process and outlined the importance of methyl bromide use to producers.
        On the same day, Rep. George Radanovich (R-Calif.) introduced legislation that would codify the production and use levels of methyl bromide CUEs being requested by the State Department for agricultural purposes for the years 2006 and 2007. The bill also includes findings to recognize the effectiveness of methyl bromide in the growing of more than 100 crops in the U.S. (Contact: Charlie Ingram)

PANEL REVIEWS COMMODITY FUTURES INDUSTRY

        The House Agriculture Subcommittee on General Farm Commodities and Risk Management held a hearing this week to examine the reauthorization of the Commodity Futures Trading Commission (CFTC). The subcommittee, chaired by Rep. Jerry Moran (R-Kan.), heard from fourteen witnesses representing the commodity futures trading industry.
        The CFTC was established in 1974 and the authorization will expire in September 2005. The CFTC was last reauthorized four years ago resulting in the enactment of the Commodity Futures Modernization Act of 2000 (CFMA). The provisions created in CMFA included major changes in the Commodity Exchange Act (CEA) regarding the regulation of exchange-traded futures contracts, over-the-counter (OTC) derivatives, and "security futures," contracts based on individual stocks, which were previously prohibited. (Contact: Charlie Ingram)

USDA DEPUTY SECRETARY RESIGNS

        Agriculture Secretary Mike Johannes announced on March 4 that Deputy Secretary James Moseley has submitted his resignation. Johanns said in a statement that Moseley had accomplished many things for agriculture both domestically and around the world. He pointed out one of those accomplishments have been to foster a working relationship with the Afghan government and its people along with helping them rebuild the agricultural infrastructure in Afghanistan. Moseley will remain at USDA as a special advisor to the secretary until June 1. (Contact: Charlie Ingram)

PRESIDENT NOMINATES STEPHEN JOHNSON TO HEAD EPA

        President Bush announced the nomination of Stephen Johnson to head the Environmental Protection Agency (EPA). Johnson has been acting administrator since late January and would replace Mike Leavitt, who moved over to head the Department of Health and Human Services (HHS).
        The nomination received praise from a broad range of environmental groups, industry, and congressional lawmakers. Johnson is expected to be easily confirmed by the Senate. He has 24 years of experience with EPA and is the first scientist to be nominated to head the agency. Johnson served as deputy administrator beginning in July 2003. Before that, he served as assistant administrator for the office of prevention, pesticides and toxic substances, a position he assumed in January 2001. (Contact: Charlie Ingram)

USDA NEWS

~~USDA Provides Value-Added Development Grants~~Agriculture Secretary Mike Johanns has announced the availability of $14.3 million in grants that will support the development of value-added agriculture business ventures and support development of alternative sources of renewable energy. Johanns said priority consideration will be given to those grant applications that have at least 51% of project costs dedicated to activities for a bio-energy project. To date, the Bush administration has funded nearly $20 million in value-added development centers and over $100 million in value-added grants including over 80 energy projects. The renewable energy projects involve bio-diesel, ethanol or wind energy production or the use of biomass to generate energy. Additional information is available at a local USDA Rural Development office or by visiting USDA's website at http://www.rurdev.usda.gov.

~~Chicken Feet Recall~~On February 28, the Animal and Plant Health Inspection Service's Plant Protection and Quarantine program initiated a recall of prohibited chicken feet imported from Thailand and distributed to markets in several states by a company in West Haven, Connecticut. At this time, more than 1,500 pounds of chicken feet have been seized from the field and a majority of the product has been destroyed.

~~APHIS Will Suspend the Importation of Wood Craft Imports from China~~On April 1, 2005, an import suspension for all craft items from the People's Republic of China made from wooden logs, limbs, branches, or twigs greater than 1 centimeter in diameter and with intact bark will go into effect. This suspension will also affect artificial Christmas trees with wooden trunks and garden trellises. The Animal and Plant Health Inspection Service (APHIS) notified China of this action via letter in mid-February because the agency is very concerned about the potential introduction of wood-boring quarantine pests into the United States from China. (Contact: Bob Ehart)


STATE NEWS


NEW LEADERSHIP PROGRAM IN FOOD SYSTEMS AVAILABLE

        Applications are now being accepted for the Fall 2005 Food Systems Leadership Institute (FSLI), a new national leadership development program (http://www.fsli.org) oriented to a 21st Century food system. Designed for experienced leaders in the private nonprofit and for-profit sector, state and federal agencies, and universities, the FSLI's staff and partners have developed a powerful curriculum that emphasizes each participant's leadership skills, ability to lead change within an organization, and role in inventing and reinventing the large, complex food systems of the future.
        Participants will experience intensive, executive-style residential learning at three partner sites, including the University of North Carolina, the Ohio State University, and the University of Vermont. The program also includes distance education featuring individual and team projects, one-on-one interaction with leadership coaches, preparation of a professional development plan, mentoring, and opportunities for professional networking and interaction with established leaders.
        Recognizing the rising importance of globalization and global security, health and nutrition, and environmental and rural community sustainability, FSLI will develop leaders for a dramatic expansion of perspectives on food systems. Advances in science and biotechnology, along with accompanying ethical and policy issues, certainly will have impacts that go well beyond traditional views of food and agriculture. Information about applications and nominations available on the website, http://www.fsli.org. (Contact: Mike Louisell, Washington State Department of Agriculture, 360/902-1813)

MARYLAND DEPUTY SECRETARY BROOKS ELECTED TO NATIONAL VETERINARY ASSOCIATION LEADERSHIP

        John R. Brooks, D.V.M., Maryland's deputy secretary of agriculture, was elected last month to the American Veterinary Medical Association (AVMA) Executive Board representing District 2. In this role, Brooks represents more than 8,500 AVMA members from the states of Maryland, Delaware, Pennsylvania, Virginia, and New Jersey as well as the District of Columbia. The Executive Board is the governing and policymaking body of the 72,000 member professional veterinary organization. It is made up of 11 district representatives and four officers.
        "We congratulate Dr. Brooks on his election to the leadership of this prestigious national veterinary organization," said Maryland Agriculture Secretary Lewis R. Riley. "His election brings great honor to us and recognizes nationally the high caliber of professionals we have working in Maryland government on behalf of the farming and animal health communities."
        "Dr. Brooks' experience in both veterinary practice and as Maryland's Deputy Secretary of Agriculture will be valuable as the AVMA Executive Board advances all aspects of veterinary medicine and its role in protecting human and animal health," said Dr.Roger K. Mahr, chairman of the AVMA Executive Board.
        Before his appointment as deputy secretary of the Maryland Department of Agriculture, Dr. Brooks was a private veterinary practitioner for 30 years primarily at the Fork Veterinary Hospital, which he established in 1978. He holds a bachelor of science degree from the University of Maryland and a doctor of veterinary medicine from the University of the Philippines.
        Brooks joined the Maryland Veterinary Medical Association (MVMA) in 1974, and has served in many roles including as a member of the Board of Directors for six years and as president in 1991 to 1992. At the national level, Brooks currently serves the MVMA as its delegate to the AVMA and as chairman of the association's House Advisory Committee.
        The American Veterinary Medical Association (AVMA), established in 1863, is a not-for-profit association representing more than 72,000 veterinarians working in private and corporate practice, government, industry, academia, and uniformed services. Structured to work for its members, the AVMA acts as a collective voice for its membership and for the profession. (Contact: Sue duPont, 410/841-5889)