Capitol Connection
April 3, 2015

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IN THIS ISSUE
House Passes F4 Farm Tag Bill
Federation Working to Clarify Exemption Bill
General Fund Bugdet Chairs Release Draft Budget
Country of Origin Labeling Bill Passes House Committee
Tallapoosa County Federation Members Visit Legislators
Bills at a Glance

House Passes F4 Farm Tag Bill       
Alabama Farmers Federation House of Representatives State Legislative Programs Director David Cole, left, speaks with Rep. Alan Boothe, R-Troy, about HB217.

 
 

The House of Representatives passed HB217, a bill that would lift F4 farm tag purchase limits, by a vote of 100-0 Tuesday.

Rep. Alan Boothe, R-Troy, sponsored  HB217. This is the second year Boothe has sponsored F4 farm tag legislation. 

An amendment to restrict F4 farm tag purchase limits to three per person was tabled.

F4 farm tags for trucks over 42,001 pounds cost $250, while X9 truck tags for trucks over 80,000 pounds cost as much as $890. F4 farm tags are generally used on vehicles only operated for four or five months out of the year. It is the only tag limited for purchase in the state of Alabama.

HB217 has been referred to the Senate Finance and Taxation General Fund Committee. 

Federation Working to Clarify Exemption Bill     

Sen. Arthur Orr, R-Decatur, has met with the Alabama Farmers Federation staff after introducing SB245.

Federation Executive Director Paul Pinyan thanked Sen. Orr for his open door while communicating and clarifying the bill.

"After speaking with Sen. Orr, I am confident SB245 was never meant to affect farmers," Pinyan said. "The legislation would require organizations and entities to file a special return annually with the Department of Revenue to obtain a refund of the sales taxes paid by them throughout the year as a non-profit. The bill would not include feed, seed and fertilizer transactions."

Pinyan said Orr is working with Federation leaders to ensure the bill specifically excludes sales tax exemptions on agricultural input items and cannot be interpreted in the future to include exempt transactions of state sales tax. 

"After communicating with Sen. Orr I am confident he is only trying to collect information on sales tax exemptions currently being used by non-profit entities and charities," Pinyan said. "It is not an attempt to remove any sales tax exemptions but would prevent fraud or abuse."

SB245 has been referred to the Senate Finance and Taxation General Fund Committee.

General Fund Budget Chairs Release Draft Budget

Chairmen of the House and Senate General Fund committees released a draft budget Wednesday showing average cuts of 11.5 percent for state agencies, if revenue is not increased.

The draft, which included no tax increases, follows Gov. Robert Bentley's highly publicized request for $541 million in tax increases to shore up the General Fund. Legislative leaders said the bare-bones budget presented this week provides a starting point for lawmakers to begin discussing General Fund spending and revenue proposals.

The General Fund supports non-education agencies and programs like Medicaid, corrections, transportation and the court system. General Fund appropriations of interest to Alabama Farmers Federation members include the Alabama Department of Agriculture and Industries, Alabama Forestry Commission, the Agriculture Water Enhancement Program, State Water Assessment for the Geological Survey of Alabama (GSA) and funding for the Alabama Department of Environmental Management to offset Concentrated Animal Feeding Operation (CAFO) registration fees. 

Overall, the draft budget would cut spending by about $240 million, but it also depends on passage of a plan to shift use taxes from the Education Trust Fund budget. The governor's tax plan would provide level funding for most state agencies, but would increase spending for the troubled Medicaid program and Department of Corrections.

Budget hearings are expected to start next Wednesday, April 8, and continue for the next two weeks. 

Country of Origin Labeling Bill Passes House Committee 
Rep. A.J. McCampbell, D-Demopolis, center, addresses House Agriculture and Forestry Committee members about HB186.
 
    

Rep. A.J. McCampbell, D-Demopolis, sponsored a bill that would require restaurants to properly label the country of origin of foods containing catfish-like species. 

HB186 passed the House Agriculture and Forestry Committee by a vote of 13-0.

McCampbell said proper food labeling protects citizens and is important to consumer health and safety.

U.S. Farm Raised versus overseas catfish
2015 Alabama Catfish Farmer of the Year Sage Spree on why food safety is important for consumers.

Sage Spree, Alabama's 2015 Catfish Farmer of the Year, said U.S. farm-raised catfish is the healthiest option a consumer can find.

"The foreign competition doesn't have to meet the same standards we have to meet here," he said. "They raise fish in some of the most polluted rivers in the world. I know where the water is coming from here. It's good, clean water that produces good, clean fish. I have a wife and daughter, and I don't want to raise anything that's not safe for us to eat."

The catfish industry pumps $158.2 million annually into Alabama's economy and employs 5,829 people.

Tallapoosa County Federation Members Visit Legislators   

Tallapoosa County Farmers Federation members visited with their legislators March 31. They visited Sens. Tom Whatley, R-Auburn, and Clyde Chambliss, R-Prattville, and Reps. Mark Tuggle, R-Alexander City, and Pebblin Warren, D-Tuskegee.

 

Tallapoosa County Farmers Federation members visited several elected officials March 31 including Sen. Clyde Chambliss, R-Prattville. From left, Tallapoosa County Federation Secretary Vickie Watkins, Tallapoosa County Vice President Rod Havens, Chambliss and Tallapoosa County President Neal Kelly.
Bills at a Glance   
 

The Senate reconvenes at 2 p.m. Tuesday, April 7.   
The House reconvenes at 1 p.m. the same day. 

 For questions or comments on newsletter content, email:

 Matthew Durdin - State Legislative Programs Director for the Senate

or

 David Cole - State Legislative Programs Director for the House 

 

For distribution questions or media inquiries, email:

A.J. Watson  - Ag Communications Specialist

 
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