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Conveyor Currents                              October 11, 2013
Upcoming Dates

2014

January 15-16, 2014   Grain & Feed Industry Conference, Embassy Suites, Monterey, CA

April 23-26, 2014  CGFA Annual Convention ~ The Sheraton Resort, Maui, HI 
*** Information Click Here ***

May 14-15, 2014 California Animal Nutrition Conference,  Radisson Hotel in Fresno, CA

 
2015
 
April 22-25, 2015   CGFA Annual Convention - The Monterey Plaza Hotel on Cannery Row.

Quick Links
 
California
 Grain & Feed Assn.
      www.cgfa.org
 
California Dept. of Food & Ag 
   www.cdfa.ca.gov
 
U.S. Dept. of Food & Ag
    www.usda.gov
   

 
In This Issue
2014 Pacific Southwest Directory Advertising is Available
Reminder: Requirements for Revised Hazard Communication Standard Due
Negotiations on Fiscal Mess Continue
Farm Bill Conference
Members, Groups Begin Jockeying for Position on Farm Bill Issues
2014 Annual Convention
Safety Corner
EPA Floats Mandate Cuts
4 Takeaways from Week 1 of Health Care Reform
2014 Pacific Southwest Directory Advertising is Available

 

Each year the California Grain & Feed Association publishes a copy of the Pacific Southwest Directory ~ our membership tool. The Pacific Southwest Directory contains listings of major firms involved in feed, seed, grain and feeding industries of California, Arizona, Nevada, Utah and Hawaii and is disseminated to members and interested individuals throughout the United States.

 

We will begin work on the 2014 edition of the Pacific Southwest Directory in January and would like to invite your company to advertise.    As you will see the rates are reasonable  -- 50-60% lower than rates you would pay elsewhere.  All that is required of you is to complete the enclosed insertion form and send it back to the CGFA office before the deadline, January 15, 2014.

 

I encourage you to look over the enclosed informational brochure.  We feel confident that your company will benefit by advertising in the Pacific Southwest Directory.   We sincerely appreciate the support of the Association and its activities and feel that the Pacific Southwest Directory is a valuable tool for your company to utilize.  If you know of company that would benefit from advertising please forward this information to them.   

 

You will also be receiving in the mail a copy of your current company listing.  Please look this over and send in any changes to the CGFA office by December 15th.

 

 
Reminder: Requirements for Revised Hazard Communication Standard Due December 1st

OSHA revised its Hazard Communication Standard (HCS) to align with the United Nations' Globally Harmonized System of Classification and Labeling of Chemicals (GHS) and published it in the Federal Register in March 2012 (77 FR 17574). Two significant changes contained in the revised standard require the use of new labeling elements and a standardized format for Safety Data Sheets (SDSs), formerly known as, Material Safety Data Sheets (MSDSs). The new label elements and SDS
requirements will improve worker understanding of the hazards associated with the chemicals in their workplace. To help companies comply with the revised standard, OSHA is phasing in the specific requirements over several years (December 1, 2013 to June 1, 2016).

 

Negotiations on Fiscal Mess Continue, Money Found for Waterways, Not for EPA, OSHA

 

According to the New York Times, "No Quick Deal, but Offer by G.O.P. on Debt Shifts the Tone", the Republican leadership has offered an extension of the debt ceiling to November 22.  In exchange the Republicans, "...sought a commitment by the president to negotiate a deal for long term deficit reduction and a tax overhaul."   No deal is done, but leaders and key committee chairs are talking.  Progress is expected on details and it's possible an agreement on "framework" or "direction" will be announced late today or sometime this weekend.

 

The good news is that when pushed to the wall, federal agencies can master their budgets.  Drawing from surplus money in its FY2013 appropriation, the Army Corps of Engineers said this week it will continue normal operations of locks and dams in the inland waterways system, delivering some consolation to shippers and barge operators.  The apparent priorities are moving newly harvested grain, coal for power plants, along with fertilizers and rock salt for the coming winter.  Businesses feared the Corps would scale back operations to skeleton crews, dramatically slowing barge movement and creating safety issues for lock workers.  

 

As of October 1, OSHA furloughed more than 90% of its workplace inspectors, saying it would respond only to workplace emergencies.  Each of OSHA's 92 regional offices will retain two inspectors, the agency said.  Overall, the agency will retain just 232 of its more than 2,300 employees.  The federal shutdown, however, does not affect states with their own workplace safety and health operations. OSHA has approved plans in 25 states, four of which protect only public employees.

 

On the EPA front, because the agency has furloughed about 96% of its personnel, overseas shipments to the U.S. of ag chemicals are stuck at ports because EPA does not have the manpower to inspect and clear the shipments for entry.  Chemicals stuck at ports and borders include fertilizers, pesticides, and "active ingredients" for formulating on-farm products.  Compounding this delay are the fees ports will charge shippers for containers sitting on docks and in warehouses awaiting the federal green light. 

 

House Conferees Expected to be Named Soon


The spending/deficit/budget uproar yielded at least some benefit for those pushing for a 2013 Farm Bill, as it has been rumored that the farm package in any budget/spending reform effort could yield nearly $30 billion in budget savings.  Meanwhile, speculation continues on when House Speaker John Boehner (R, OH) will name House conferees to a conference committee with the Senate.

 

Rep. Kristi Noem (R, SD), a House Agriculture Committee member, told one radio outlet she expects conferees to be named as early as today (10/11).  Sen. John Thune (R, SD) sent a letter to Boehner this week urging him to name conferees as soon as possible, saying the Livestock Indemnity Program (LIP) is crucial to his cattlemen in the wake of the historic blizzard that devastated western South Dakota, killing an estimated 45,000 cattle. However, Boehner is expected to name conferees when the debt ceiling/spending wrangle is over with.  Rep. Collin Peterson (D, MN), House ag committee ranking member, said he expects twelve GOP and nine Democrat conferees will be named either late today, this weekend or early next week.

 

It's expected House leadership will name one Republican who is not an ag committee member.  Rep. Steve Southerland (R, FL) will reportedly be named a "leadership" conferee.  It was Southerland's Farm Bill floor amendment - with Majority Leader Eric Cantor's (R, VA) blessing - to require food stamp recipients to be working or training for work that took down the entire bill, with both GOP and Democrat critics calling it a "step too far" in trying to "reform" food stamps.

 

GOP conferees will be led by House Agriculture Committee Chair Frank Lucas (R., OK), and will likely include the five subcommittee chairs: Reps. Michael Conaway (R., TX), Rick Crawford (R, AR), Steve King (R, IA), Austin Scott (R, GA) and Glenn Thompson (R, PA).  The list is complete with the addition of Reps. Mike Rogers (R, AL) Martha Roby (R, AL), Kristi Noem (R, SD), Rodney Davis (R, IL), Jeff Denham (R, CA) and Southerland.

 

Peterson said the naming of Southerland was a mistake because non-ag members blew up the bill in the first place.  Democrat conferees will all be committee members, he said; however, in 2008, non-ag committee member Rep. Rosa DeLauro (D, CT) sat as then Speaker Nancy Pelosi's (D, CA) conferee on nutrition programs.

 
Members, Groups Begin Jockeying for Position on Farm Bill Issues

 

As there now appears to be light at the end of the 2013 Farm Bill conference committee tunnel, both members of Congress and various special interests have ramped up the volume of press releases and begun staking out issue turf.   

 

Concerns over whether the House and Senate can come to a conference agreement that will pass muster in both chambers and get the President's signature continue.  However, a solution to that dilemma was delivered late last week when Sen. Harry Reid (D, NV), Senate Majority Leader, told House Speaker John Boehner (R, OH) the farm bill is a candidate for inclusion in a broader budget package needed by the end of the year.

 

The South Dakota congressional delegation is pushing for immediate reauthorization of the Livestock Indemnity Program (LIP) after 45,000 cattle were killed in a freak blizzard that hit the western third of the state.  The House bill would reimburse owners for 75% of the market value of their animals, while the Senate bill holds reimbursement to 65% of fair market value.

 

A conservative GOP Senator and two liberal House Democrats told their colleagues this week direct farm program payments must end, whether a Farm Bill is concluded or not.  Sen. Jeff Flake (R, AZ), along with Reps. Ron Kind (D, WI) and Earl Blumenauer (D, OR).  They served notice to leadership they would work against any extension of current authority that includes direct payments.  Both bills end direct payments per se; however, the House and Senate bills include differing marketing loans and deficiency payments for rice, peanuts and barley.  

 

Sen. Charles Grassley (R, IA) said the Farm Bill must better define what it means to be "actively involved" in a farming operation, citing a Government Accountability Office (GAO) report that says the current definition for payment purposes is too vague and is "often misused."  GAO talked with USDA about the definition which some contend allows investors and absentee landlords to receive farm program payments. USDA has authority to change the definition, but the department said it would not alter it without instructions from Congress.  Both versions of the Farm Bill would also set a $250,000 per year limit on couples who farm and ban payments to the nation's wealthiest farmers.

 

On the crop insurance front, 47 groups sent House leaders a letter this week opposing any move to include an adjusted gross income (AGI) means test as part of insurance participation or premium subsidy.  The Senate bill includes the means test; the House bill does not. However, a sense of the House resolution expected from Budget Committee Chair Paul Ryan (R, WI) next week may carry language very similar if not identical to the Senate Farm Bill means test requirement. The groups opposed said a means test will reduce participation, creating a higher risk pool of insured producers, higher loss ratios over time and increased premium rates for those who stay in the program. It also increases the likelihood of emergency congressional disaster funding.  Senate Farm Bill language adopted on the floor that would reduce premium subsidies for farmers with adjusted gross incomes over $750,000 ($1.5 million per couple). The National Sustainable Agriculture Coalition (NSAC) sent a letter to the House this week urging conference on the Farm Bill as soon as possible, but also calling for a reduction for federal subsidies of crop insurance premiums paid by farmers and implementation of means testing.  

 

The American Farm Bureau Federation (AFBF) this week reversed itself and no longer supports linking federal crop insurance to conservation program compliance.  House Agriculture Committee Chair Frank Lucas (R, OK) praised the move, while the Environmental Working Group (EWG) says AFBF's defection will have no effect on the broader push to connect the two programs.  AFBF was the organizer of a large coalition of ag and conservation groups earlier this year in support of cross compliance between the two programs; the agreement was included in the Senate Farm Bill.  Lucas announced the AFBF decision - the group put out no public statement - saying the cross compliance approach is "misguided and redundant."  He said both programs are "the law of the land" and both programs carry very specific requirements for participation. Tying them together creates just "another layer of bureaucratic red tape."

 
2014 Annual Convention

Aloha CGFA Members!

 

I know some of you would like to get a jump start on booking your room for the 2014 CGFA Annual Convention at the Sheraton in Maui.  The dates will be April 23-26, 2014.  Rooms can be booked directly with the reservations department at The Sheraton Maui.   Call the Resort Desk (808) 921-4645

 

Cut-off Date:  The "cut-off date" for reserving rooms in the Room Block is 5:00 p.m. local time at Hotel on March 21, 2014.  After the cut-off date, it is at Hotel's discretion whether to accept additional reservations, which will be subject to group rates, based upon availability.  

 

Rates:  We are pleased to confirm the following group rates:

 

Room

Single Rate

Double Rate

 

 

 

Run of House

$235.00

$235.00

Run of Ocean**

$255.00

$255.00

 

 

 

 

Therefore, your guests can follow the following process to book their rooms:

 

Group Code:  VMCGFA

Reservations:

Individual attendees may make reservations by calling our resorts desk at (808) 921-4645 and making reservation on their own. (The hours of operation are Mondays through Fridays from 7:00 am to 6:00 pm and Saturday & Sunday from 8:00 am to 4:00 pm, Hawaii Standard Time). 

 

Rates are not confidential and a deposit equal to two night's stay is required to hold each individual's reservation.  Such deposit shall serve to confirm the reservation for the date(s) indicated, and, upon check-in, shall be applied to the first and/or final night of the reserved stay.  This deposit is refundable if notice is received at least seventy-two hours (72 hours) prior to arrival and a cancellation number is obtained.  If cancellation is made within seventy-two hours (72 hours) prior to arrival, the two days deposit will be retained as a cancellation.  All deposits shall be charged at the time the reservation is made.

 

Rates listed are based on single or double occupancy.  There will be an additional charge of eighty dollars ($80.00), plus tax for any adult (eighteen years or older) in a room (for a third person).  Children under eighteen (18) may stay for free in their parent's room when using existing bedding.  The maximum number of persons per room is four (4) adults or two (2) adults and two (2) children. All room rates are quoted exclusive of applicable state and local taxes, currently 13.41%.  Taxes are subject to change.

 

The rates established for your meeting will be offered 3 days prior and 3 days after the meeting dates as indicated on the first page of this contract, subject to availability of rate and Run of House rooms at the time of reservation.

 

PLAYMORE Room Discounts: 

In the days prior to or following your Hawaii event, the exclusive PLAYMORE program offers discounted rates at each of our Hawaii resorts. So, whether your guests want to explore Kauai, Oahu or Hawaii's "Big Island", Starwood delivers the very best Hawaii has to offer.
To take advantage of our discounted PLAYMORE rates, your guests can call 1-800-782-9488 and ask for PLAYMOR4 by name or visit
www.playmoreinhawaii.com/LEARNMORENOW to reserve their rooms online.

 

 

Mahalo and see you there.....

 

Safety Corner:

Combustible Dust  

 

Combustible dust is defined as a solid material composed of distinct particles which present a fire hazard when suspended in air. A dust explosion can cause catastrophic loss of life, injuries and destruction of property. 

 

Characteristics of a dust explosion:

  • Definition: A dust explosion can be defined as a rapid release of high pressure gas into the environment.
  • Process:
    •  It commonly begins with the ignition of a fuel, such as a combustible dust, that burns  very rapidly.

    •  It produces a large and sudden release of gas and does not necessarily involve a fire.

    • There are often more serious secondary explosions that result from an initiating explosion which dislodges loose particulates.

  • Five criteria that must be present for dust explosion conditions:
    •  Heat or an ignition source

    •  Oxygen, which may be in the form of oxidizer chemical

    •  Dispersion of dust particles of a certain concentration and quantity

    •  A confined dust cloud
  • Examples of industries where combustible dusts are common:
      • Grain handling
      • Flour production
      • Industries using wood
      • Sugar manufacturing
      • Certain types of plastic
      • Coal handling
      • Textile industries using cotton, nylon, etc.
      • Metal production such as aluminum, sodium and potassium

Fighting dust accumulation:

Ensure that dust-containing systems, ducts and dust collectors are designed in a manner (i.e., with proper velocity and volumes) that prevents fugitive dusts from accumulating in the work area.

  • Ensure that the working surfaces are designed in a manner to minimize dust accumulation and to facilitate cleaning.
  •  Accumulations on overhead beams, joists, ducts, the tops of equipment and other surfaces should be included when assessing dust concentrations.
  • Your facility must have a housekeeping program with regular cleaning frequencies established for floors and horizontal surfaces, including ducts, pipes, hoods, ledges and beams, to minimize dust accumulation within operating areas of the facility.
  • Housekeeping practices must include immediate cleaning whenever a dust layer of 1/32-inch thickness accumulates over a surface area of 5% or more of the floor area of the facility or any given room.
  • If the floor area exceeds 20,000 ft2, a dust layer must not exceed a 1,000 ft2 floor area.

 

Controlling heat and ignition sources:

  • Electrical equipment must meet Class II requirements for explosion proof control.  This includes electrically-powered cleaning devices such as vacuum cleaners.
  • An effective ignition control program must be in place.
    • It should include such elements as grounding and bonding, metal detection, preventive maintenance programs and other methods.
    • This will dissipate any sparks or electrostatic charge that could be generated where a combustible atmosphere may exist (e.g., in ductwork).
  • Implement a Hot Work Permit Program.
  • Post and enforce No Smoking areas.
  • Ensure that duct systems, dust collectors and dust-producing machinery are bonded and grounded to minimize accumulation of static electrical charge and equipped with spark detection and arrest systems.
  • Use industrial trucks, machinery and electrical equipment that are approved for Class II combustible dust locations.

 

Follow these control measures to avoid dust build-up and prevent dust explosions

Combustible Dust - English

Describes characteristics of dust explosions, and provides pointers on how to reduce the potential for dust explosions.
Combustible Dust - Spanish

Describes characteristics of dust explosions, and provides pointers on how to reduce the potential for dust explosions.

Mike Taylor, CPCU

Vice President 

InterWest Insurance Services, Inc.

100 Pringle Avenue, North Tower, Suite 550

Walnut Creek, CA 94596

(925) 977-4104 Office

(800) 464-0077 Toll Free

(925) 977-4150 Fax

(510) 206-5505 Mobile

CA Lic #0B01094

www.iwins.com

mtaylor@iwins.com

 

Let our experience guide you.

 

EPA Floats Mandate Cuts, API Sues over RFS Programs, Groups Urge Leg Action

 

EPA this week floated a draft plan to scale back its 2014 mandate on how much renewable biofuels must be blended with gasoline under the federal Renewable Fuels Standard (RFS).  The announcement and draft plan come two weeks after the petroleum industry met with White House aides to urge the Administration to ratchet back its plans for biofuel blending next year.  

 

The industry called the RFS unworkable and asked for a waiver, action necessary so the industry does not hit the so-called "blend wall," the point at which the petroleum industry cannot blend enough biofuel to meet the mandate based on gasoline demand and other factors.

 

Reports indicate the agency is considering an overall mandate of 15.2 billion gallons, less than half of the current overall blending mandate.  The total would be achieved by requiring 13 billion gallons of corn-based ethanol, 2.2 billion of advanced biofuels (biodiesel) and 23 million gallons of cellulosic ethanol.

 

Meanwhile, the American Petroleum Institute (API) sued EPA in federal court over its RFS actions, citing the mandate's "bad public policy," the agency's tardiness in issuing this year's requirements and mandates for more cellulosic ethanol than exists in the market.  Bob Dineen, president of the Renewable Fuels Assn. (RFA) called the lawsuit "frivolous" and the API effort to kill off the RFS mandate "slavish."  "This is a lawsuit in search of a problem," Dineen said.

 

Lastly, 45 national and state ag, food, boating, equipment, environmental, taxpayer and hunger groups wrote to members of the House Energy & Commerce Committee, urging the panel to "recognize and address the havoc that the corn ethanol mandate has placed on the multitude of stakeholder interests represented on this letter." 

 
4 Takeaways from Week 1 of Health Care Reform

Posted by by Cory Harris & filed under Health Care Reform |

 

We're one week into the Initial Enrollment Period of health care reform, and things are moving a bit slower than expected on our end. Here are my key takeaways from the past week:

  1. Everybody's curious.
    • News broke across the nation that the State Health Exchange servers were delayed and even crashing due to the number of hits to the site. And why not? It's like telling people for 43+ months that the best and greatest device known to man will be available online on October 1, 2013.
  2. Nobody is ready to jump in.
    • Many people wait for the second version of that new phone to come out so they know the bugs have been worked out before they spend their money. Similarly, people seem to want to wait for others to commit themselves to government health plans to see if they might backfire.
  3. The state wasn't quite ready to launch electronic enrollment.
    • Covered California opened on October 1st but didn't have the capability to complete transactions online. Perhaps this issue was the cause of takeaway #2? The online application should be ready to roll on November 1st, and until then we'll do it the old-fashioned way: with pen and paper.
    • Some plan information has yet to be released. There have been talks of a plan for those under age 30 and also for those who meet certain income guidelines. This plan would be more of a Catastrophic-style plan that would have high deductibles and similar maximum out-of-pocket amounts. The plan would be more affordable than the Bronze option and designed with the intention of attracting young adults who are healthy and have the mindset of "just in case" insurance or "because I have to."
  4. Covered California: as simple as buying your insurance on Amazon.com...almost.
    • Purchasing insurance isn't quite as simple as purchasing a book or the latest season of Breaking Bad. Those purchases don't have a lasting financial impact on you and your family. However, this comparison has been made.