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March 30, 2012   
Inside This Issue.....
CARB Chair Announces Cap and Trade Delay at Senate Hearing
Assembly Committee Approves Bill to Repeal Fire Fee
Bill to Increase Enforcement on Farm Labor Contractors Passes Committee
California2012 Seed Industry Conference
Farm Bill Action Update
Locks, Dam Bill Set for Introduction
Ag Research Funding Increase Goal of Foundation Bill, Push by 900 Food, Ag Group
Flower Seed Tour A Showy Success
Groups Worry about Retaliation as US to Appeal WTO Ruling on COOL
Vilsack Calls Illegal Immigrants 'Orphaned' Workers, Voter Survey Shows Support for Guest Worker
DOL "Child Labor" Restrictions Targeted by Appropriators
EPA Proposes Greenhouse Gas Standards on New Power Plants
Upcoming Meetings
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CARB Chair Announces Cap and Trade Delay at Senate Hearing

 

Starting next year, industries will have to track their greenhouse gas emissions and some will have to pay for carbon pollution rights. Mary Nichols, chairwoman of the California Air Resources Board (ARB) announced at a state senate hearing of the Select Committee on the Environment, the Economy and Climate Change that the first carbon permit auction will be pushed back to November 14th.

 

The surprise announcement came at a hearing called to discuss what to do with proceeds from the sale of permits to emit greenhouse gases, the first of which is expected to flow into state coffers late this year. Nichols' announcement stole the headlines, though she said that the new auction date will not affect the overall timeline for implementation and that August will now be a "practice auction."

 

The rest of the hearing returned to the business of how the expected revenue from trading carbon "allowances" - which could exceed $1 billion in the first year - may be spent. It's likely that the money will be considered a regulatory fee, which means that legally it can only be spent on programs that further the goals of AB 32 - namely greenhouse gas reduction. "That makes sense, right, you don't want the state collecting regulatory fees and then turning around and using them for unrelated revenue purposes," explained Cara Horowitz, a law professor at UCLA who gave testimony at the hearing.

 

For the first several years, only "major emitters of carbon" will be required to participate in the permit system. The first rounds will focus on heavy industries such as refineries, electricity generation and cement, but a few large food processors may be included.

Assembly Committee Approves Bill to Repeal Fire Fee

 

The $150 per year fire fee instituted as part of last year's budget solution may be coming to an end, after a surprising 7-2 vote by one Assembly Committee. The Assembly Natural Resources Committee heard testimony on AB 1506 which would repeal the $150 per structure fee. It's a fee that some have called unfair and others have described as unconstitutional. As it stands now, residents in areas that CalFire has responsibility for delivering fire services must pay a $150 per structure fee.

 

However, opponents of the plan say it is unfair to charge the fee. Many residents already pay local fees and taxes for fire services, and making them pay twice is wrong. Other opponents challenge the constitutionality of a fee they say is a tax. The tax was not approved by a two-thirds majority, and thereby violated the law. AB 1506 would repeal the fee but would exacerbate the deficit in the state budget.


Bill to Increase Enforcement on Farm Labor Contractors Passes Committee
 

 

A bill that would instate penalties on unlicensed farm labor contractors (FLC) passed the Assembly Committee this week. AB 1675 (Bonilla) is intended to address unlicensed FLC's. When the bill mandating FLC to become licensed passed, there were no penalties included because they wanted to work with the FLC's to educate them on the laws, labor code and safety requirements. The goal was to legitimize the FLS's, not penalize them. After several years of education campaigns, outreach and seminars, the bill sponsors are stating through this bill it is time to enforce the statute and penalize non compliance.

 

The agriculture community has embraced licensing FLC's and bringing them into compliance. The association has joined a coalition of ag entities supporting the legislation based on the principle a standardized legitimate labor contracting system helps the employee, the employer and competing FLC's who have followed the rules and requirements. The bill is now headed to Assembly Appropriations Committee.


 

2012 California Seed Industry Conference
 

    

May 2, 2012

 

 

Stanislaus County Agricultural Center

Harvest Hall-Modesto, California

 

"The Evolution Of Seed Testing"

    • Overview-Testing For Compliance & Labeling
    • Testing for ISTA Certification
    • Testing For Seed Health - Plant Pathogens  

"Navigating The Regulatory Maze"

    • Pesticides - Registration Primer -
    • California Department of Food and Agriculture, Seed Inspection Services - CA Seed Law
    • Licenses To Sell Seed, "PVP" Enforcement, Seed disputes

"California Seed Industry Issues"    

"Seed Certification"

 

"Phytosanitary - "411 to prevent 911"

  

A.Advanced Preparation Prior To Seed Shipments  

    • "A Seed Company Perspective" 
    • Management Of Phytosanitary Issues - Application Process

  

B. 411 and 911 -The Big Picture 

                    

"Opportunities for Involvement" 

 

"Seed Production 101 Overview "- Spinach, Alfalfa, Sunflower, Broccoli

 

 

Registration information coming soon!!

 

   

 

House Approves FY2013 GOP Budget Resolution
   

 

The full House this week took up and shot down half a dozen competing FY2013 budget proposals, ultimately approving the $1.0287-trillion House Budget Committee's resolution just before Congress' two-week spring recess. Prior to approving the committee resolution that would cut agriculture spending by about $180 billion over 10 years, the House rejected handily President Obama's FY2013 budget request - as included in a GOP amendment that "mirrored" the president's budget (0-414), a separate Democrat budget (163-262), a Progressive Caucus budget (78-346), a Black Caucus budget (107-314), an amendment based on the Simpson-Bowles deficit reduction commission plan (38-382) and a Tea Party/Republic Study Committee budget proposal (136-285). The Senate is not expected to consider a formal budget resolution.

 

 

Farm Bill Action Update
 

 

Stabenow Shoots for End-of-April Markup - Sen. Debbie Stabenow (D, MI), chair of the Senate Agriculture Committee, confirmed media reports this week that her committee is targeting the last week in April to start committee markup of its 2012 Farm Bill, with the committee's goal being a bill ready for the floor by May 1. She further confirmed Senate Majority Leader Harry Reid (D, NV) is willing to bring the bill to the floor as long as it comes out of the committee with "strong bipartisan support." The commodity title remains the biggest hurdle.

 

Lucas Says House Ag May Try to Cut $30 Billion - In an interview this week with AgriTalk radio, House Agriculture Committee Chair Frank Lucas (R, OK) said he expects his committee will shoot to pare ag spending over the next decade by about $30 billion, somewhat less than recommended in the recently passed House Budget Resolution, but $7 billion more than the $23 billion he and Sen. Debbie Stabenow (D, MI), chair of the Senate ag panel, agreed to last year during the deficit wars. Lucas said the ultimate number is yet to be determined, but he warned that House cuts may have to be deeper than previously thought because of the politics of spending that could block the bill on the House floor. Lucas also acknowledged what Farm Bill veterans lobbyists know: The House and Senate Farm Bills are where damage control is done on program rewrites; it's the conference committee between the two chambers where the ultimate Farm Bill is written.

 

Conrad, Baucus, Hoeven Introduce Commodity Title Bill - A bipartisan trio of Canadian border state Senators this week introduced their version of a 2012 Farm Bill commodity title, saying their version is friendlier to their farmers and ranchers than the shallow loss approach being examined by the full Senate Agriculture Committee. The bill also contains lower target prices and a disaster program proposal. The three call their bill the Revenue Loss Assistance & Crop Insurance Enhancement Act, and point at the Revenue Loss Assistance Program (RLAP) as its centerpiece, a move that combines the current SURE and ACRE programs. RLAP would kick in on losses of 12-25% on average historic revenue based on individual farm performance, and an eligible loss would be any combination of decreased yields, falling prices or quality discounts. Aid would also be available for farmers with losses on planted acreage at 65% rate, and acreage that couldn't be planted due to weather would get a 45% payment rate, limited to total base acres. The three Senators would continue but modify the commodity loan program and countercyclical programs, but end direct payments and ACRE payments beginning in 2013. Conrad said the bill is "a version of shallow loss and fits hand-in-glove with crop insurance."

 

Former Ag Secretaries Call for Strong Conservation Compliance Compact - Former Secretaries of Agriculture Dan Glickman and Ann Veneman this week sent House and Senate ag committee leadership a letter calling on them to "renew the conservation compact between taxpayers and farmers." The "compact," the two said, is a provision of the 1985 Farm Bill called conservation compliance that "sparked a decade of unprecedented progress in limiting soil erosion, cleaning up waterways and protecting wetlands." This compact, they said, has protected 140 million acres of highly erodible land and reduced soil wash into streams by 40%.

 

Tax Groups Attack Dairy Market Stabilization Program - A trio of tax activist groups this week sent a letter to House and Senate Agriculture Committees opposing inclusion in the 2012 Farm Bill of any version of the controversial new Dairy Market Stabilization Program (DMSP) being promoted by the National Milk Producers Federation (NMPF) as reinvention of its current federal support programs. Citizens Against Government Waste, Americans for Tax Reform and the National Taxpayers Union said DMSP is "contrary to the goals of limited government and economic growth" and that "a new federal program that will directly intervene in markets and increase milk prices for everyone is unnecessary." DMSP requires farmers who sign up for a new margin insurance program based on feed costs to also agree to periodic government-set limits on milk production. The three tax groups said DMSP is nothing more than supply control to artificially increase producer prices.

 

Locks, Dam Bill Set for Introduction
 

A bill designed to address "the critical needs of the inland waterways system" was set for introduction this week by a bipartisan group of House members. The bill - the Waterways Are Vital for the Economy, Energy, Efficiency and Environment (WAVE4) - is the brainchild of Reps. Ed Whitfield (R, KY), Jerry Costello (D, IL), John Duncan (R, TN), Tim Johnson (R, IL) and Russ Carnahan (D, MO). The bill would push forward the Capital Development Plan which includes funding to modernize and upgrade waterways and infrastructure, including locks and dams. The bill was referred to the House Transportation & Infrastructure Committee, and the goal is to roll it into a broader rewrite of the Water Resources Development Act.

 

Ag Research Funding Increase Goal of Foundation Bill, Push by 900 Food, Ag Groups
   

 

Drawing strong agriculture support this week, a bill by Sen. Debbie Stabenow (D, MI) and Sen. Pat Roberts (R, KS), chair and ranking member of the Senate Agriculture Committee, respectively, would create a new foundation to raise money from private sources to supplement federal agriculture research funding. In a related development, over 900 organizations representing production agriculture, feed, food and grocery manufacturers, technology providers, university administrators, science groups and individual scientists told the House and Senate appropriations committees this week that as they cobble together their FY2013 ag spending bills, there must be "strong investment" in USDA's Research, Education and Economics (REE) mission. The Stabenow-Roberts bill would set up the Foundation for Food & Agriculture Research (FFAR) as a federal 501(c)(3) charity to receive tax deductible contributions. The two Senators said of their proposal: "This model serves as a useful tool to foster new public-private partnerships among the agriculture research community, including USDA research agencies, academia, private corporations and non-profit organizations." FFAR would be similar to other federal foundations that serve medical research, public health and safety and natural resource conservation. Said the groups pushing for more FY2013 spending on ag research: "The success of agriculture and the food industry play a significant role in the overall health and security of the U.S. economy, and have been one of the few bright spots in recent years."

 

 

Flower Seed Tour A Showy Success
 

The 2012 CSA Flower Seed tour was an awesome success yesterday. During the daylong tour the students were treated to visits with Syngenta Flowers, Headstart Nursery, American Takii, Sakata and Mcshane's Nursery. The tour guide/hosts at each of the stops were informative, inspirational and the event provided a great networking opportunity for the students.

 

Thank you to our hosts for welcoming the students and taking time to share about this dynamic industry and tips for a future career in the seed industry.

  

 

 


 

Groups Worry about Retaliation as US to Appeal WTO Ruling on COOL; AFIA Part of Coalition Skeptical of U.S.-EU Working Group on Possible FTA
 

 

As the U.S. Special Trade Representative (USTR) prepares to formally appeal a World Trade Organization (WTO) decision that the U.S. country-of-origin labeling (COOL) law is illegal, some national livestock producer groups fear the action could spur retaliation by Canada and Mexico against U.S. meat exports. At the same time, a coalition of 40 national agriculture and food organizations sent an open letter to President Obama and members of Congress expressing concern over USTR's creation of a working group to explore a possible free trade agreement (FTA) with the European Union (EU). The groups are concerned the approach being taken - a "single undertaking" approach where the success of one section depends on success in all other sections - is unrealistic and dooms the effort before it begins.  

 

On COOL, the original WTO complaint was filed by Mexico and Canada contending the new U.S. labeling law for meat products would unfairly reduce those countries' meat exports to the U.S. Under COOL, for a meat label to list "U.S. origin" the animal must have been born, raised and slaughtered in the U.S. An animal born in Canada, for instance, but slaughtered in the U.S. carries a "mixed origin" label. The National Pork Producers Council (NPPC) and the National Cattlemen's Beef Assn. (NCBA) urged the Obama Administration and Congress to resolve the labeling issue to avoid damaging trade relations with Canada and Mexico. The National Farmers Union (NFU) supports the USTR plan. On the issue of a possible FTA with the EU, the ag/food groups wrote: "Negotiators should seek positive outcomes in each area at whatever negotiating pace is possible. Moreover, forward movement should not be stymied by attempting to resolve all those difficult issues that have proven intractable in the past." To approach the discussions with a "single undertaking" approach, the group said, is a "recipe for a small, rather than a bold transatlantic trade deal." The coalition said an end to "unjustifiable" EU sanitary/phytosanitary restrictions against U.S. products should be a high priority in the U.S.-EU discussions.

 

 

Vilsack Calls Illegal Immigrants 'Orphaned' Workers, Voter Survey Shows Support for Guest Worker Program

 

Secretary of Agriculture Tom Vilsack this week told a gathering at the Department of Labor honoring United Farm Workers founder/leader Cesar Chavez, that Congress must fix broken immigration laws, and that all farm workers in the U.S. illegally should have a way to gain legal status. Vilsack called the undocumented workers "orphans," workers who deserve concern, and said Congress must reform immigration laws to make it easier to recruit foreign workers. Labor Secretary Hilda Solis said the Obama Administration is committed to enforcement of immigration laws, and said new regulations for H-2A temporary ag visas were part of the President's commitment. She also said her department is hiring 300 new investigators as part of its enforcement action.  

 

Meanwhile, a new national survey by fruit and vegetable producer group Western Growers revealed this week 70% of "likely voters" in this fall's election support a guest worker program with strong rules. Western Growers President Tom Nassif said the survey results belies GOP assumptions its base won't support a guest worker program. Western Growers', which conducted the poll in January, described to voters a program that would make jobs available to U.S. workers first; restrict points of entry and length of stay; market-based limitations on the number of visas issued would be in place; both Social Security and Medicare taxes would be withheld from the pay of foreign workers; foreign workers could stay up to 12 months, with an option to renew for another 12 months; employers would be subject to federal oversight, and the program would allow workers currently in the U.S. to participate, but would not grant amnesty to illegals. A majority of poll respondents said, however, they object to workers being able to bring spouses and children with them, and that illegal workers in the U.S. should not be allowed to stay.

 

DOL "Child Labor" Restrictions Targeted by Appropriators; Lucas calls Rulemaking 'Misguided Regulatory Attack on Family Farms'
   

 

The increasingly controversial proposed rule from the Department of Labor (DOL) to restrict teenagers from participating in several on-farm jobs and related ag activities has been targeted by Rep. Denny Rehberg (R, MT), chair of the labor/HHS/education subcommittee in House appropriations, who said this week he will act to mitigate the DOL rulemaking through restricting funding, and can "assure the committee this will be addressed in the budget." Said Rep. Cynthia Lummis (R, WY), a member of the subcommittee: "I grew up on a ranch. I was driving tractors when I was 8, 9, 10 years old. I don't know how to thread a sewing machine, but I know how to thread a baler and that gave me a great deal of self-esteem as a young, paid farm worker." Both Rehberg and Lummis' remarks were directed at Secretary of Labor Hilda Solis who testified before the subcommittee this week on FY2013 appropriations for her department.  

 

Meanwhile, House Agriculture Committee Chair Frank Lucas (R, OK) issued a statement this week calling the DOL rulemaking a "misguided attack on family farms." Lucas said during Farm Bill field hearings, he has heard repeatedly from farmers and ranchers of their concern about the DOL rulemaking, and said it's just another example of "top-down, stifling regulations coming out of the Obama Administration." The Rehberg action backstops legislation introduced last week by Sen. Jerry Moran (R, KS), along with 38 cosponsors. Moran's bill would block the DOL from finalizing any part of the workplace safety rules it proposed last September, and Sen. Pat Roberts (R, KS), a cosponsor and ranking member of the Senate Agriculture Committee said the department has gone way too far. "We need the Department of Labor to take a big pill of common sense and back off," Roberts said.

 

 

EPA Proposes Greenhouse Gas Standards on New Power Plants
 

 

This week EPA proposed carbon pollution standards for new power plants, a move some said is a retreat from previous efforts to regulate power plant greenhouse gas emissions, while others contend this is EPA's backdoor move to get greater control over greenhouse gas pollution. The agency says the new rule simply reflects the nature of the power industry. The proposed final rulemaking applies only to plants to be built in the future, and does not apply to existing plants or those that will begin construction in the next 12 months, EPA said. The agency said the rule is designed, in part, to provide an incentive to utility companies to accelerate an industry trend to "take advantage of American-made technologies, including new, clean-burning efficient natural gas generation, which is already the technology of choice for new and planned power plants." The agency said the rule will also allow plants to burn coal, but to take advantage of a "wide array of available technologies" that reduce carbon emissions.

 

Upcoming Meetings

     

  • May 2, 2012 ~ CSA Seed Industry Conference - Modesto, CA
     
  • September  25-26, 2012 ~ CSA Mid Year Meeting at the InterContinental Hotel in Monterey on Cannery Row  
     
  • March 3-7, 2013 ~ CSA Annual Convention at The Sheraton Maui Resort & Spa, Lahaina, Hawaii