“Cotton Board and Cotton Incorporated Reviewing Contract”
At the annual joint meeting of the Cotton Board and Cotton Incorporated, Jay Hardwick – a Louisiana producer and Chairman of Cotton Inc. – told attendees that the contract between the two organizations has been under review. “We haven’t had a review of the contract in some 15 years, so it was due” he told a standing room only crowd in downtown New Orleans. In addition to a review of the contract, the two organizations have been fine-tuning a MOU (Memo of Understanding) because “we need to more about the how to react – the roles and responsibilties of all of us; that doesn’t need to be a part of the contract” Hardwick added. “We were not getting bogged-down in the syntax of anything but it was the semantics”.
After 18 months of work, according to Mark Watte – Tulare, CA cotton grower and Vice Chairman of Cotton Inc. – “the contract is still being reviewed by the Office of General Counsel” so there is a chance some revisions will be made. He said the contract is for five years because “having a established term will make sure we don’t go another 15 years before reviewing it”. Simply put, Watte says the main difference between the roles of the two boards: Cotton Incorporated provides strategic direction to and has direct oversight of Cotton Incorporated staff while the Cotton Board membership provides direct oversight of the Cotton Board staff and a broader oversight of the research and promotion activities. “That was the nut that we really got to” Watte added.
The meeting is one of four held throughout the year between the two organizations as is intended to provide a full review of Cotton Incorporated’s efforts throughout the previous 12 months. The next meeting will be held in Litchfield, AZ next March.
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“Army Corps Taking First Step to Maintain River Navigation”
The Army Corps of Engineers will reportedly take one of the steps requested by a large group of organizations and lawmakers to maintain navigation on the Mississippi River. Missouri Senator Roy Blunt and two river industry trade groups say the Army Corps has informed them that work to blast barge-impeding rock pinnacles in the middle of the river could start next week. This is one important step in keeping the river open to barge traffic. Even so – barge traffic is in jeopardy as the drought has left water levels as much as 20-feet below normal along a 180-mile stretch from St. Louis to Cairo, Illinois. Adding to the problem was an Army Corps decision last month to cut the outflow from an upper Missouri River dam by two-thirds. Officials with American Waterways Operators and Waterways Council Inc. say the corps needs to restore some of that flow along with the expedited rock removal. According to Waterways Council Inc. President and CEO Michael Toohey – the release of sufficient water from Missouri River reservoirs during the time this rock pinnacle work takes place is essential to preserving a nine-foot channel on the Mississippi River that will sustain commercial navigation and the movement of our nation’s critical commodities and exports.
On Tuesday – the river depth at St. Louis was about 12 feet. According to the U.S. Coast Guard – further restrictions on barges may be necessary at levels of around nine-feet. The National Weather Service predicts the river will reach that level late this month if there is no significant rainfall. While the Coast Guard doesn’t expect to close the river – American Waterways Operators President and CEO Tom Allegretti says any additional barge restrictions will leave the river as good as closed. A prolonged stoppage of barge traffic – according to the trade groups – could have an economic impact reaching into the billions of dollars. Agricultural groups have said seven-million tons of ag products worth 2.3-billion dollars would be at risk.
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“Governors Look for PTC Extension Now, Subsidy Repeal Later”
Western governors are among the latest to ask for an extension of the Production Tax Credit for wind energy. Without action – the credit will expire at the end of the month. Western governors wrote in a letter to the U.S. House and Senate leaders that extending the credit now is critical to achieving the country’s clean energy goals, building the nation’s manufacturing base, creating jobs, lowering energy costs and strengthening domestic energy security. Continued policy uncertainty – they said – would lead to the loss of American jobs. Utah Governor Gary Herbert – Chairman of the Western Governors’ Association – and Vice Chairman John Hickenlooper – Governor of Colorado – say the PTC is vital to the near-term future of renewable energy production across the nation. But they agree the credit should not exist in perpetuity. The Governors believe the short-term extension should be coupled with a broader conversation about revisiting all energy-related tax credits. They say no one energy company or energy source should receive preferential treatment from the government – and believe repealing all federal energy subsidies is the preferred approach.
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“Talk of U.S. Trade Deal with EU Intensifying”
Is it even possible to create a U.S.-European Union free-trade bloc? A joint White House-EU committee is due to report on that in the coming weeks. Supporters of the idea have said the benefits could be substantial for the EU. A study from Sweden’s National Board of Trade suggests trade between both sides could jump 20-percent – 200-billion dollars-plus each year. With unemployment high in the EU and the US – both are looking to boost exports in an effort to improve their economies. In a speech late last month – Secretary of State Hillary Rodham Clinton said the right agreement that opens markets and liberalizes trade would shore up our global competitiveness for the next century, creating jobs and generating hundreds of billions of dollars for our economies. Unfortunately – with the strict limits some European nations have on genetically modified food – it’s seen as unlikely they would agree to increased market access for major U.S. food processors or agribusinesses.
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“Groups Opposed to Farm Bill Inclusion in Fiscal Cliff Deal Speak Out”
Some farm groups and lawmakers would like to see a farm bill included as part of any legislation written to avert the fiscal cliff. But the Environmental Working Group joined several groups this week to urge the opposite. The groups that called on lawmakers to stop a secret farm bill from being attached to legislation designed to straighten out the nation’s finances during a press conference claim the proposed farm bill would cost a trillion dollars over the next 10 years. EWG Vice President of Government Affairs Scott Faber said it would be unconscionable for our nation’s leaders to bypass the House and attach a one-trillion dollar farm bill to a fiscal cliff deal. Faber argued it would be simply shocking for Congress to ask ordinary Americans to contribute to deficit reduction while potentially giving more subsidies to farm millionaires and possibly further exposing taxpayers to liability for farm payments. According to Faber – the time to pass a farm bill has come and gone. He said Congress should pass a fiscally responsible one-year extension of farm and food programs and allow the House to debate the future of farm subsidies.
The Congressional Budget Office has estimated the House Ag Committee’s farm bill would save more than 35-billion dollars. The Senate bill is estimated to save more than 23-billion. But Vice President of Taxpayers for Common Sense Steve Ellis – who joined Faber and others for the press conference – said the bills don’t save enough, preserve ridiculous crop insurance subsidies and create new entitlement programs. Andrew Moylan of the R Street Institute would like to see a full farm bill process next year. He believes much more savings is needed – as well as more significant policy reforms.
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“Farm Bill Offer from Senate”
Senate and House Ag Committee members met yesterday (Wednesday) – and the Senate made the House Ag an offer on the commodity title to provide more than half of what the difference is between House and Senate baselines for rice, wheat and peanuts. That money would come from the Senate-proposed shallow loss program. However – it’s unclear whether Senate Republicans actually support the offer. Lucas and Stabenow sent proposals to the Congressional Budget Office last week – dividing up the money for the commodity title between the committees. While House Ag Chair Frank Lucas is pleased with the results – Senate Ag Chair Debbie Stabenow doesn’t think the division will work because of how the Ag Risk Coverage program would interact with crop insurance. Still – Lucas warns if no deal is reached – January 1st marks dangerous territory as the 1949 law would go into effect.
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“Farm Aid Provides More than Half-a-Million Dollars in Grants in 2012”
During 2012 – Farm Aid was able to provide 67 family farm and rural service organizations with more than 530-thousand dollars. Farm Aid President Willie Nelson says these grants empower grassroots organizations to put new farmers on the land and amplify the voices of family farmers. He adds that Farm Aid funds create opportunities for all of us who seek good, healthful food and stronger economies and communities across America. Among other things – Farm Aid funds were invested in programs that build new market opportunities for farmers and increase consumer access to good food, advocate for fair farm policies on behalf of all family farmers and inform and organize farmers and eaters around hot button issues (www.farmaid.org/grants).
Original Publication URL: http://www.allagnews.com/archives/6463
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