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November 11, 2015     

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Inside This Issue.....
California Legislative Update
Member Profile November 2015: Mac Keely
CSA Job Board
House Agriculture Committee Leaders Support Agreement to Avoid Cuts to Crop Insurance
CDFA Drought Update
White House Should Focus on Exports for Biotech Approval Review
EPA Notes
Senate Bill to Kill WOTUS Fails; Resolution to Nullify Rule Approved
House Approves Six-Year Highway Bill; Rejects Heavier Trucks, Ex-Im Bank Reboot Survives
White House Releases Text of TransPacific Partnership; 60-day Public Review Begins
Ryan Joins McConnell - No Immigration Reform While Obama President
UCD Plant Breeding Center November Newsletter
Affordable Care Act Webinar - November 11, 2015
Save the Date: May 6, 2016 - International Processing Tomato Symposium & Retirement Dinner for Dr. Barrett
Upcoming Meetings
California Legislative Update
By Dennis Albiani, Legislative Advocate
Groundwater Management Takes Important Steps Forward
 
The Department of Water Resources (DWR) released several documents necessary for the implementation of the Sustainable Groundwater management Act (SGMA).  This article outlines three important steps to comply with SGMA including Agency formation, basin boundaries and how to petition to change them and what is required to be submitted to DWR to comply.  It is important that local groundwater users, farmers and districts engage immediately with a groundwater agency because the law requires they be established by 2016 or the State Water Resources Control Board can step in and mandate a state run governance structure. 
 
The 2014 Sustainable Groundwater Management Act established a framework of priorities and requirements to help local agencies sustainably manage groundwater within a basin or subbasin.  SGMA provides a basic minimum standard for outreach and notification regarding the formation of a groundwater sustainability agency (GSA). The information below highlights the requirements that must be followed in order to become or form a GSA.
 
Any local agency or combination of local agencies overlying a groundwater basin or subbasin may decide to become a GSA for that basin or subbasin. A GSA is formed by using either a joint powers agreement (JPA), a memorandum of agreement (MOA), or other legal agreement, and DWR must be notified after the GSA has been formed. The definitions for GSA and local agency are as follows:
  • "Groundwater sustainability agency" means one or more local agencies that implement the provisions of this act or take action to enforce a groundwater sustainability plan, "groundwater sustainability agency" also means each local agency comprising the groundwater sustainability agency.
  • "Local agency" means a local public agency that has water supply, water management, or land use responsibilities within a groundwater basin.
A local agency is required to submit the following information to DWR in order to complete the GSA formation notification requirements.
  • A map and narrative indicating (1) the local agency's service area boundaries, (2) the boundaries of the basin or portion of the basin the agency intends to manage, and (3) the other agencies managing or proposing to manage groundwater within the basin.
  • A copy of the resolution forming the new agency.
  • A copy of any new bylaws, ordinances, or new authorities developed by the local agency.
  • A list of the interested parties and a detailed explanation of how the GSA will consider the interests of all beneficial uses and users of groundwater, as well as those responsible for implementing GSPs. 
Groundwater Management Boundaries Established
 
Implementation of the Sustainable Groundwater Management Act (SGMA) took an
important step forward three weeks ago as the California Water Commission (CWC) adopted the new Department of Water Resources (DWR) groundwater basin boundary regulations. The regulations establish the process for local agencies to request DWR modify the boundaries of a groundwater basin or subbasin.
 
These regulations specify the information required to comply with Water Code 10722.2, which outlines the process that local agencies need to follow to modify the boundaries of a groundwater basin, including subbasins or the creation of new subbasins. They also identify the methodology and criteria that will be applied by DWR when reviewing and approving the boundary modification requests. SGMA used the existing groundwater basin and subbasin boundaries in California based on Bulletin 118, a comprehensive report on California groundwater resources that is periodically updated by DWR.
 
For more information on the new regulations or California's existing groundwater basins and subbasins click here
 
DWR Announces Guidelines for Groundwater Agencies
 
Senate Bill 13 (Pavley) amended and clarified numerous Water Code sections of the Sustainable Groundwater Management Act (SGMA). Among other things, SB 13 changed the Department of Water Resources' (DWR) role with respect to reviewing and posting groundwater sustainability agency (GSA) formation notices - these changes generally relate to: (1) notification completeness reviews; (2) overlapping GSA boundaries; and (3) exceeding service area jurisdictions as a GSA. SB 13 also amended the notice of intent provision related to GSA formation.
 
DWR has developed guidelines for local agencies to use after they have decided to become or form a GSA. Click here for a document which outlines the information that must be submitted by a local agency after the decision to become or form a GSA has been made. DWR will be using this information to perform completeness reviews for all GSA formation notices.
 
During November and December 2015, DWR will be hosting a webinar with instructions and reviewing GSA formation notifications that have already been posted.  Many local agencies that have formed GSAs will need to seek agreement to resolve overlapping service area boundaries before they can proceed as a GSA.
 
No Split Roll Tax Coming Up on Ballot
 
In what many are calling a "significant win for landowners, businesses and commercial real estate," a progressive group support by public employee unions has dropped efforts to add a split roll property tax initiative on next year's ballot.  The California Business Properties Association (CBPA) says that it would have been a $9-billion tax increase imposed on California properties and businesses. However, the group pushing for the effort, called California Calls, said it would try to have the tax added to a ballot at a later date.  Such a measure would have dismantled Proposition 13, which was passed in 1978 and reduced property taxes for both homes and businesses.
Member Profile November 2015: Mac Keely

Mac Keely, General Manager at Blue River Technology and Chair of the Industry Communications & Youth Activities Committee, answers a few questions on his experience with Blue River Technology and the seed industry. 

Q: What is your role at Blue River Technology?
A: I am the General Manager of the Vegetables business. Currently, we have created machines that precisely and automatically thin lettuce fields using robotic technology.  We operate these in the Salinas Valley, the Imperial Valley, and Yuma areas, offering thinning as a service to growers while we focus on improving the effectiveness and reliability of the machines.  My role is to help our team build a strong foundation for our young business, improving our service and the technology, and to identify more opportunities to bring precision and robotic technology to the vegetable industry.
 
Q: What makes Blue River Technology unique in the seed industry?
A: I'd say our purpose makes us unique: we aim to utilize computer vision and robotics to build a future of plant-by-plant agriculture - where the needs of each plant are precisely measured and delivered, significantly reducing chemical use.  This could have huge implications for the seed industry.  Blue River is a young company that employs Silicon Valley engineers to solve problems in the agriculture industry.  This is a huge challenge for us because the agriculture industry has a lot of ideas for how robots could be useful, and we then have to translate those ideas into what is possible within the environmental and economic constraints of agriculture.  For instance, we are developing a plant and plot evaluation tool called Zea that will be offered to seed breeders.  Zea is poised to not only streamline field trial data analysis, but provide a way to capture and preserve data in a way that was never before possible.  And seed breeders will benefit, leading to benefits further down the value chain over time.
 
Q: What project(s) are you/your company working on? Any innovations?
A: I mentioned Zea, and there are a couple of other areas of the field crops industry that are getting some of our investment.  In vegetables, we continue to improve and learn from our thinning machines, leading to some advancement on a next generation of machines that might offer additional services beyond thinning and possibly to additional crops.  We are also actively pursuing data collection and interpretation, and thinking about how this can benefit growers, shippers, and seed companies.
 
Q: Have any new members recently joined your team? If so, whom?
A: We seem to have new employees coming on weekly right now.  This will probably continue to be the case for the foreseeable future, just because of the stage of our businesses. 
 
Q: How did you get started in the seed industry?
A: I worked in product development at organicgirl and learned more about the importance that seed development and technology plays in the industry.  Then I became Managing Director for INCOTEC North America before joining Blue River in May.
 
Q: What advice would you offer to someone getting started in the seed industry?
A: Go to work each day with your eyes and ears open, and soak up as much as you possibly can.  Seek out some of the leaders in your company, customers and vendors and let them know that you are hungry to learn.  And finally, join CSA and tell us how you want to get involved!
 
Q: Is your company active in community involvement? If so how?
A: At this point, Blue River has been focused creating good technology and an excellent work environment, setting the building blocks for a successful company.  We do feel that community involvement is good for our employees and especially the community, and are looking forward to the time in the near-future that we can spend more of our resources on and in our community.
 
Q: Is there anything else you'd like CSA members to know about you or your company?
A: Let's talk about opportunities to "Make Every Plant Count"!  www.bluerivert.com


CSA Job Board
House Agriculture Committee Leaders Support Agreement to Avoid Cuts to Crop Insurance

FOR IMMEDIATE RELEASE: October 28, 2015
Haley Graves: (202) 225-2171

House Agriculture Committee Chairman K. Michael Conaway and Ranking Member Collin Peterson issued the following statements after announcing an agreement to avoid the cuts to crop insurance which are included in the Bipartisan Budget Agreement of 2015 scheduled for a vote later today.

Chairman Conaway said, "I want to thank my colleagues who have made it very clear over the last 24 hours that the attempt to gut crop insurance in the budget agreement was not acceptable. Our nation's farmers and ranchers did their part in reigning in our nation's debt in the 2014 farm bill, saving an estimated $23 billion. It is imperative that we do not undermine their trust by attacking the primary tool they use to manage the tremendous risks involved in producing food and fiber.

"Leadership has heeded our concerns by agreeing to completely reverse this disastrous provision in the upcoming omnibus. Crop insurance is working as intended, and private industry deserves to be lauded, not thrown under the bus. I take our leadership at their word when they committed to me and many of my colleagues that we will eliminate these harmful provisions in the not-so-distant future, which is why I will vote in support of the budget agreement today. I encourage my rural-minded colleagues to follow suit and put their support behind this agreement by passing the budget deal on the floor today. While not the easiest path forward, this is a win for rural America and should be viewed as such.

"I will continue fighting against policies that hurt our farmers and ranchers, and I am thankful to leadership for working with us to avoid these harmful cuts."

Ranking Member Collin Peterson said, "I'm pleased that we have an agreement to fix the crop insurance cuts and not open the farm bill. We have assurances that the cuts will be removed and the farm bill will not be raided. We produced a fiscally responsible and bipartisan farm bill in 2014 that saved $23 billion. We've done our part. I can now support the Budget Agreement with these assurances." 
CDFA Drought Update

Please see attached the bi-weekly drought update from the Governor's Drought Task Force as well as the items below:
 
Potential Winter Storm Preparation and Coordination: 
On November 2, the Governor's Office, the Governor's Office of Emergency Services and the Natural Resources Agency conducted high level briefings with federal, state and local representatives on impacts and threats to the state from potential winter storms.  California should always prepare for floods during the winter.  However, this winter due to El Ni�o and attendant sea level rise, the state is taking extra care to prepare for these potential impacts.  Please consult our state government's central web portal for more information about how to prepare for potential winter storms and learn what the state is doing to prepare. www.storms.ca.gov 
 
Drought Map Journal: 
The Governor's Office of Emergency Services (CalOES) map journal provides an interactive experience to monitor statewide drought conditions such as reservoir and dry well conditions, drought-related funding, emergency food assistance, fire summary, and land subsidence. Drought Map Journal
 
Well Managed Soils Ready to Weather El Nino:
Farmers who have managed their soil with cover crops and conservation tillage are in better shape to weather El Ni�o this winter than those who have used traditional soil management methods, says Jeffrey Mitchell of UC Agriculture and Natural Resources (UC ANR). Article
 
Viewpoints - the PPIC Blog: Coming Together Over Groundwater:
California's groundwater management took a forward-looking turn with last year's passage of the Sustainable Groundwater Management Act (SGMA), which requires local planning efforts to protect the long-term viability of this critical resource. Sarge Green-a water management specialist at California State University, Fresno, and a member of the PPIC Water Policy Center's research network-is working to put the groundwater law into practice at the local level. We talked to him about creative approaches being tried in the San Joaquin Valley. Blog Post
 
State Water Resources Control Board Curtailment Announcements:
 
NOTICE OF DIVERSION OPPORTUNITY FOR ALL POST-1914 WATER RIGHTS FOR THE SACRAMENTO AND SAN JOAQUIN RIVER WATERSHEDS AND THE SACRAMENTO-SAN JOAQUIN DELTA (November 6, 2015):
State Water Resources Control Board (State Water Board) staff has determined that due to forecasted precipitation, diversion opportunities originally announced on Monday November 2nd will remain in effect for all water right holders in the Sacramento and San Joaquin River watersheds and the Sacramento-San Joaquin Delta until further notice with two exceptions. The exceptions include water rights for which Term 91 is currently in effect as well as water rights subject to curtailment orders for fishery protection. This notice is applicable beginning Friday November 6th and will remain in effect until further notice.
 
NOTICE OF TEMPORARY OPPORTUNITY TO DIVERT WATER UNDER ALL POST-1914 WATER RIGHTS FOR THE SACRAMENTO AND SAN JOAQUIN RIVER WATERSHEDS AND THE SACRAMENTO-SAN JOAQUIN DELTA (November 2, 2015):
State Water Resources Control Board (State Water Board) staff have determined that, due to increased precipitation forecasts updated over the weekend by the California Nevada River Forecast Center for the current storm system, and the expected delayed runoff, a temporary diversion opportunity for all post-1914 water right holders in the Sacramento and San Joaquin River watersheds and Sacramento-San Joaquin Delta is now available. The notice is applicable beginning Monday November 2nd and will tentatively remain in effect until Friday November 6th. Should weather conditions change or a complaint of injury be received, the ending date for the temporary release may be adjusted accordingly.
 
NOTICE OF AVAILABLE WATER TO DIVERT UNDER PRE-1927 WATER RIGHTS FOR THE SACRAMENTO RIVER WATERSHED AND SACRAMENTO-SAN JOAQUIN DELTA (November 2, 2015):
State Water Resources Control Board (State Water Board) staff has determined that sufficient water is now available to support diversions by all pre-1927 water right holders in the Sacramento River watershed and Sacramento-San Joaquin Delta.  This includes those post-1914 water rights with a priority date between 1914 and December 31, 1926 that were subject to the May 1, 2015 and later notices of water unavailability.   The notice is applicable beginning Friday October 30th and will remain in effect until further notice.  Staff's determination of water availability is based on unimpaired water supply calculations and historical runoff data by the Department of Water Resources and reduced water right demands.  A list of affected parties will be posted to the Division's Water Availability webpage.
 
Also, a new online tool available from the California Soil Resource Lab at UC Davis and UC ANR offers access to an extended version of the Soil Agricultural Groundwater Banking System (SAGBI). The tool can be found here.

Karen Ross, Secretary 
California Department of Food and Agriculture
1220 N Street, Suite 400
Sacramento, CA 95814
White House Should Focus on Exports for Biotech Approval Review
   

As the White House continues its review of existing programs for federal biotechnology product approvals, the National Grain & Feed Assn. (NGFA) last week urged the administration to keep the needs of export markets in mind.

Meanwhile, consumer groups told the White House the regulatory review should focus on setting new, stricter rules for biotech approvals, while biotechnology supporters urged the administration to make biotech oversight "truly risk-based," and "restore the balance between oversight and product safety."

Said one lawyer, "While too much regulatory oversight will stifle innovation, too little with result in public rejection of the technology due to a lack of trust."

"This review must address the challenge of achieving regulatory coherence and compliance in the global market," said NGFA President Randy Gordon at a public meeting last week before USDA, EPA, FDA and White House biotech overseers. Gordon reminded regulators of the hurdles faced by grain exporters trying to move into major new markets, including China, and these hurdles have cost exporters millions in lost sales.

Consumers Union (CU) said the federal biotechnology review and approval systems is broken, using laws "that were never designed to address biotechnology, trying to put square plugs into round holes."  The Center for Food Safety (CFS) said new rules need to take into account novel forms of genetic engineering, such as gene editing and RNA interference technologies, as products using these techniques are not routinely regulated.

The review takes a look at what's called the "Coordinated Framework" for approving products of biotechnology. The Obama White House contends the system is in need of review and modernization as it sets the system for agency responsibility and review criteria for biotechnology approvals.
EPA Notes 

House Subcommittee OKs Resolutions to Stop Carbon Rule - EPA's controversial carbon recapture/CO2 mitigation rule for existing and new power plants would be nullified under two measures approved last week by the energy and power subcommittee of the Energy & Commerce Committee.  The resolutions of disapproval - one aimed at older power plants, the other at new facilities - are an option provided Congress under the Congressional Review Act (CRA) that would nullify the rulemaking and prevent EPA from revisiting the issue.  The action was approved on straight party line votes.  Similar resolutions are pending in the Senate, and the subcommittee action last week now moves to the full committee where the schedule is uncertain.

House Member Takes on Ozone Rule - House Energy & Commerce Committee member Rep. Bob Latta (R, OH), last week said in an Akron Beacon Journal editorial that EPA's pending ozone rulemaking is unnecessary because "ozone levels are down one third since 1980 and continue to trend downward because of already stringent standards on the books."  The new proposal - to take allowable ozone levels from 75 ppb to 70 ppb - will cost jobs and threaten economic growth.  "It stands to be the costliest regulation in history, imposing new standards that are overly burdensome, technically unattainable and deficiently demonstrative of providing any environmental or public health benefits," Latta wrote. 

EPA Wants to Ban Chlorpyrifos - EPA on October 30 proposed a total ban on chlorpyrifos, an insecticide approved for agricultural uses because it can't make a safety determination in time to meet a court-ordered deadline under Federal Food Drug & Cosmetic Act (FFDCA) requirements.  The agency is taking comments for 60 days on the proposal, and said the final decision will be based on stakeholder comments.  The current analysis, the agency said, "does not appear to show risks from exposure to chlorpyrifos from food, but when that exposure is combined with drinking water in certain watersheds, the EPA cannot conclude that the risk from the potential aggregate exposure meets the FFDCA safety standard."  The chemical was banned for residential use 15 years ago, and critics contend continued use risks brain damage in children and negatively impacts field workers.  DowAgroSciences says it's confident that "a more refined analysis of data" will show the existing tolerances to be sufficient.

Obama and Offsetting Environmental Harm - The White House last week ordered five agencies and departments to streamline regulations designed to offset environmental harm and expedite "independent mitigation efforts."  A memo was sent to the secretaries of agriculture, defense, and interior, as well as to the administrators of EPA and the National Oceanic & Atmospheric Administration (NOAA) ordering the regulators to create a "net benefit goal" for natural resource use, or "no net loss of land, water, wildlife and other ecological resources" from federal actions and/or permitting. 

Critics Go After Major Cuts in Crop InsuranceThe two-year budget deal approved by the House and Senate and signed by President Obama last weekend was almost derailed by a proposed $3-billion cut in federal crop insurance programs over 10 years.  Farm state lawmakers got out of the way of the budget deal approval when leadership in both chambers promised to fix the cut in the expected omnibus spending package being cobbled together for a December vote.  That may be tougher than it sounds.

Instead, bills are being introduced in the House and Senate to cut the federal crop insurance program far more than the $3 billion, with one bill proposing to slash the program by $24 billion over 10 years.  $19 billion would be cut over a decade by killing Harvest Price Option (HPO) revenue policies, the remainder would come from cutting reimbursement to crop insurance companies and agents and reducing producer premium subsidies. 
The House bill will be introduced by Rep. Jim Sensenbrenner (R, WI) and Rep. Ron Kind (D, WI).  The Senate bill is expected to be introduced by Sen. Jeff Flake (R, AZ).

Called the Assisting Family Farmers through Insurance Reform (AFFIRM) Act, the original budget deal with $3-billion cut in insurers rate of return is included, cut to 8.9%. Insurers' administrative and operating cost reimbursement would be capped at $900 million a year.  The rest of the bill is a collection of cuts to crop insurance proposed unsuccessfully for years. Part of the bill would cap premium subsidies at $40,000 a year, and means test for premium subsidies.  Farmers with adjusted gross incomes over $250,000 a year would be ineligible for subsidies. This, supporters say, would save $2.3 billion over 10 years.
Senate Bill to Kill WOTUS Fails; Resolution to Nullify Rule Approved

A Senate bill to force EPA to withdraw its "waters of the U.S. (WOTUS)" rule and start anew failed last week to clear procedural hurdles to cut off debate.  However, the Senate turned around and approved 53-44 a resolution of disapproval by Sen. Joni Ernst (R, IA) of the WOTUS rule. 

The resolution is authorized by the Congressional Review Act (CRA) and now goes to the House for expected concurrence. CRA allows Congress to override an agency rulemaking and block the agency from revisiting the issue, and has only been used successfully once when Congress overrode a Clinton Administration OSHA rulemaking on a national workplace ergonomics rule.  While President Obama has said he'll veto the Ernst resolution, supporters say it will put members on record either favoring regulatory "overreach" or not going, into the 2016 general election. 

The bill, authored by Sen. John Barrasso (R, WY) with bipartisan ag lawmaker support, failed 57-41 - it needed 60 votes to cut off debate - even after Senate Agriculture Committee Chair Pat Roberts (R, KS) took to the floor and urged colleagues to vote for the measure, a companion to a House approved bill that tells EPA to kill the current rule, start the process again, but this time increase stakeholder input, including direct discussions with farmers and ranchers.

Roberts told his colleagues over 90 national organizations oppose the rule, and that EPA is facing not only a nationwide federal court stay on implementation, but 31 states have filed suits challenging the rule.  The Barrasso bill's demise was hailed by environmental groups, and President Obama has said he'd likely veto the measure if it passed.

Sen. John Cornyn (R, TX) accused Democrats of "doing everything they can to protect the Administration" on the controversial rulemaking which extends EPA and U.S. Army Corps of Engineers legal authority under the Clean Water Act (CWA) to regulate non-navigable waters across the country.

Meanwhile, House GOP lawmakers are eyeing two appropriations bills - energy-water and interior-environment - to carry language killing the WOTUS rule, ignoring Democrats warnings they'll reject spending bills - or an omnibus spending package - that carry major policy riders.  December 11 is the deadline for approving the spending package.  The American Farm Bureau Federation (AFBF) supports the spending rider move, saying it will be tougher for President Obama to veto an omnibus spending package and risk shutting down the federal government just before Christmas.
House Approves Six-Year Highway Bill; Rejects Heavier Trucks, Ex-Im Bank Reboot Survives

After more than 34 short-term extensions, the House took three days of floor time, handled 126 amendments, and ultimately approved 363-64 a six-year federal highway program reauthorization bill last week. Technically the bill is a package of amendments to the already-approved $342-billion Senate highway bill, but not among them is language pushed by shippers to allow states to permit 91,000-pound trucks with six axles on interstate highways within their borders.

The House moved quickly to prepare the bill for conference with the Senate, with Speaker Paul Ryan (R, WI) naming 28 conferees - with more to be named later - and House Minority Leader Nancy Pelosi (D, CA) naming 12 conferees, all members of the Transportation & Infrastructure Committee.  The current extension of existing authority runs out November 20, giving conferees just about two weeks to cut a final deal. 

The heavy truck amendment, proposed by Rep. Reid Ribble (R, WI), would have allowed the heavier trucks on federal interstate highways if individual states decided to permit the vehicles.  Twenty-five states already allow on state roads trucks heavier than the current 80,000-pound federal weight limit, which has not been modified since 1982. 

Ribble's amendment was supported by the Coalition for Transportation Productivity (CTP), a group of more than 250 national and state associations, as well as major corporations.  The shippers want the heavier trucks because the current federal weight limit forces them to put partially loaded vehicles on the road, meaning more trucks, more fuel burned and a bigger carbon footprint.  Opponents, led by the railroads who fear loss of cargo, played the safety card, demonizing the Ribble language as permitting dangerous "bigger trucks" on the highways.  Also opposed were several state and local law enforcement groups, and topping off the opposition was a statement by the Department of Transportation (DOT) that a recent study it conducted did not provide enough safety data on the heavier trucks to justify changing the federal weight limit at this time. 

A related amendment that would have allowed livestock haulers' trucks to weight up to 95,000 pounds also failed.  The National Cattlemen's Beef Assn. (NCBA) said the loss of the Ribble and livestock trucking amendments forced it to "strongly oppose" the final highway package.  However, Included by the transportation panel during markup of the underlying bill is language allowing states to permit milk haulers at weights exceeding the federal weight limit due to the "unique situation" in hauling milk, and language allowing emergency vehicles weighing more than 80,000 pounds to roll on interstate highways.

Proving to be more popular and resilient than previously thought, language in the House package to reauthorize the Export-Import Bank, on which several sectors of agriculture rely for trade financing, survived 10 separate amendments designed to derail or constrain the reboot of the federal lending agency.  The Senate bill contains Ex-Im Bank reauthorization language, so the issue is technically not debatable in conference and the bank is set to begin normal operations when the President signs the bill.  Conferees can ignore the rules, but a change in the Senate-approved language means reconsideration by the Senate with all the procedural hurdles that includes.  The bank ceased new lending in July, but has been managing its loan portfolio in the meantime.

The recently approved two-year budget agreement signed last weekend by President Obama is a boon to the conference committee because the $80 billion in additional discretionary spending will allow House Democrat conferees to support the more expensive Senate bill, eliminating Senate grumbling over the flat spending contemplated in the House.  At the same time, conferees will be challenged to find federal dollars to cover the full cost of the measure.

Further, Reps. Randy Neugebauer (R, TX) and Bill Huizenga (R, MI) successfully offered  an amendment replacing a funding gimmick in the Senate bill that would cut the Federal Reserve dividend to banks and increase fees charged by Freddie Mac and Fannie Mae to pay for part of the $45-billion needed to offset the cost of the bill.  Instead, the amendment would liquidate the Federal Reserve's surplus account designed to protect it against "losses" - valued at about $29 billion, with $11 billion more expected to be deposited over 10 years - and shift that money to the General Fund to help pay for the highway bill.
White House Releases Text of TransPacific Partnership; 60-day Public Review Begins 

The full, formal text of the TransPacific Partnership (TPP) trade pact signed by 12 Pacific Rim nations, including the U.S., was released by the White House last week, starting the 60-day public review period - including congressional oversight - as required under President Obama's trade promotion authority (TPA).  At the end of that time - which includes congressional hearings - Congress will vote up or down on whether to ratify the trade treaty.

Review will be tough.  In addition to the 30-chapter trade agreement, there are several "side letters" to the pact which contain exemptions, clarifications and details.  All of these need to be reviewed in the context of the underlying treaty language so an informed decision can be made on the impact of the pact on U.S. industry.  At the same time, the treaty is not just about tariff elimination - there are thousands of individual tariff changes - but also includes new rules, new chapters on sanitary-phytosanitary requirements, along with new language on protecting "common food names."

Democrats were the first out of the box last week as House Ways & Means Committee minority membership announced it will hold a series of TPP-related "public events" beginning the week of November 16.  Committee ranking member Rep. Sandy Levin (D, MI) called the events hearings, but no hearings have been announced by the GOP leadership. Levin said the events will cover environment, worker rights, investment (including tobacco), automotive and agricultural market access, rules of origin, state-owned enterprises, access to medicines, currency manipulation and the impact of TPP on U.S. jobs and the economy.

Sen. Orrin Hatch (R, UT), chair of the Finance Committee, said the Administration's obligation to convince Congress this is the best deal possible for U.S. interests still remains.  "Only Congress can enact the trade agreement and for that to happen, the agreement must meet the requirements laid out in the bipartisan TPA.  "Transparency and accountability are key objectives of TPA," Hatch said.

TPP represents an agreement among nation's representing about 40% of global gross domestic product, and has been a major trade and Asia policy priority of the Obama Administration.  U.S. Special Trade Representative Michael Froman said in a statement last week, "This release complements a number of additional resources we have made available...including state-by-state fact sheets, issue briefs and chapter summaries.  All of the information available on TPP can be found by going to www.ustr.gov and clicking on the TPP website.

With the exception of the National Farmers Union (NFU) and R-CALF, national agriculture groups were nearly unanimous in their initial praise of TPP.   The American Feed Industry Assn. (AFIA) said after its initial review, the final text is "extremely positive."  "If ratified and put into force, TPP will allow the U.S. feed industry to operate on a more level playing field in the Pacific Rim region...where the U.S. has been put at a disadvantage," said Gina Tumbarello, AFIA director of international policy and trade.  AFIA urged Congress to swiftly approve TPP after the 60-day review.

NFU said, "This agreement has been peddled to farmers and ranchers as a potential gold mine for farm exports. But as with other trade deals, these benefits are likely to be overshadowed by increased competition from abroad, paired with an uneven playing field that will not only reduce revenues for farmers and ranchers, but will speed the loss of U.S jobs."
Ryan Joins McConnell - No Immigration Reform While Obama President

House Speaker Paul Ryan (R, WI) last week joined Senate Majority Leader Mitch McConnell (R, KY) in telling reporters there will be no action on comprehensive immigration reform as long as President Obama is in the White House.

"We won't bring immigration legislation with a president we can't trust on this issue.  If we have consensus on things like border enforcement and interior security, that's one thing.  But I do not believe we should advance comprehensive immigration legislation with a president whose proven himself untrustworthy on this issue," Ryan told "This Week" on ABC, and "Meet the Press" on NBC. 

Ryan's declaration echoes that of McConnell made last summer when pushed on the prospect of another immigration bill moving in the Senate. Both lawmakers are reacting to President Obama's executive orders issued last year seeking to exempt from deportation certain classes of illegal immigrants, action GOP lawmakers contend is illegal, and which is now pending in federal court. 
UCD Plant Breeding Center November Newsletter

This month Dr. Liz Carlisle will be available for a Third Thursday book signing on November 19th, and the PBC and Student Farm announce a USDA-NIFA OREI grant. 

Click here for the PBC November Newsletter.



Affordable Care Act Webinar - November 11, 2015



Association members can register as an invited guest of Mike Taylor. Space is limited.

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
Save the Date: May 6, 2016 - International Processing Tomato Symposium & Retirement Dinner for Dr. Barrett


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2016

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