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Public Policy Update June 6, 2008

June 6, 2008

 

NATIONAL AFFAIRS:

Farm Bill Nearly Complete - The House and Senate before a Memorial Day recess, voted to override President Bush's veto of an incomplete version of the farm bill. The bill doesn't include the trade title originally approved by Congress, due to a last-minute paperwork glitch. Also before Congress left for recess, the House voted to approve the complete conference report with a new bill number (H.R. 6124), on a voice vote of 306-110. Although the bill number is different, the legislation is identical to H.R. 2419. This "new" bill will now move to the Senate for a vote, which is likely to take place soon, now that Congress has returned from recess. After the Senate vote, it will take about three days to "enroll the bill" and have it sent to President Bush, who is expected to veto it shortly after he receives it. House and Senate members must then vote on overriding the veto of the complete bill. This is expected to happen. Because the House and Senate have determined that 14 of the 15 titles of the farm bill are already law, there was no short-term extension of the 2002 Farm Bill. Funding for soup kitchens will be one of the first provisions to take effect. Most of the changes to the commodity title won't really come into play until next year. USDA is now beginning to write rules for all the programs contained in the bill.

 

Biofuels Blamed for Rising Food Prices at International Summit - Biofuel production was widely fingered as the culprit behind rising global food prices at the food policy summit taking place in Rome last week. Too much food is ending up in fuel tanks and not on people's dinner tables, increasing the risk of starvation for the poor worldwide, aid agency representatives and biofuels critics assert. Agriculture Secretary Ed Schafer lead the U.S. delegation at the summit and contended biofuels account for just 3 percent of recent commodity price hikes; the International Monetary Fund, United Nations agencies and relief groups put the figure at closer to 30 percent. Schafer participated in a series of side meetings with leaders of other nations to attempt to arrive at consensus on language regarding biofuels that will appear in a declaration regarding the overall summit. A draft declaration circulated last Wednesday was not decisive, calling for "further studies" on the biofuels issue.

 

U.S. Losing Ground Without Columbia FTA - In an opinion editorial targeted to small- and mid-sized daily newspapers, American Farm Bureau Federation President Bob Stallman urged Congress to quickly pass the Colombia Free Trade Agreement. "Not only would the agreement open up market opportunities by correcting the inequity that exists between U.S. and Colombian agricultural exporters, but it would also keep the U.S. from falling behind other countries exporting agriculture products to this important market under more favorable terms," Stallman wrote. The editorial explains U.S. exports face significant tariffs in Colombia, including a disabling 80 percent tariff on high-quality beef. Meanwhile, 99 percent of Colombian agricultural products enjoy duty-free access to the United States due to existing U.S. trade preferences with Colombia. AFBF estimates growth in U.S. agricultural exports could exceed $900 million per year under the deal, which would have a broad-reaching effect beyond the farm gate. Expanded exports provide an opportunity for additional American workers to move, store, process and transport U.S. farm products.

 

U.S. Found Non-Compliant in Brazil Cotton Case - On June 2 the World Trade Organization (WTO) Appellate Body ruled in favor of Brazil's complaint that the U.S. has not fully complied with the decision in the Brazil cotton case. The ruling found that the U.S. has not taken enough action to ensure that farm program payments to cotton producers and export credit guarantees for cotton do not cause serious prejudice to the trade interests of Brazil by suppressing global prices for cotton. The United States argued that the changes already enacted as a result of the original decision, including the elimination of the Step-2 program for cotton and reform of export credit programs, had brought the U.S. into full compliance with WTO obligations. Brazil and the United States will now proceed to WTO arbitration to determine the amount of trade sanctions that Brazil may impose on United States imports in order to compensate for the non-compliance of the United States. Brazil has requested more than $4 billion in annual sanctions in the form of additional duties on all types of U.S. imports. The arbitration panel decision is expected within 60 days.

 

South Korea Delays Full U.S. Beef Imports - U.S. beef exports to South Korea have been delayed until the two countries can agree on age requirements. The ban on U.S. beef placed after the 2003 case of bovine spongiform encephalopathy was expected to be lifted this week in a deal that banned high-risk material including tonsils, brains and spinal cords but placed no age restrictions on cattle being slaughtered. However, tens of thousands of South Koreans protesting with slogans such as "We don't want crazy cows" has influenced their leaders to press U.S. officials for a change in the agreement. "Because the public is most concerned about meat from cattle over 30 months old, we have asked the United States not to export that kind," Chung Woon-chun, South Korea's agriculture minister, told reporters last Tuesday. The decision to delay full imports came after the Grand National Party said steps must be taken to restore public confidence. However, the party also is on record stating that American beef is safe to eat and adequate safety precautions have been met. In 2003, the United States exported $815 million in beef and variety meats to South Korea, and the closing of that market has cost the industry $4 billion, according to the U.S. Meat Export Federation.

 

$108.5 Billion Forecast for Ag Exports - The Agriculture Department announced an updated quarterly forecast for U.S. agricultural exports, which are expected to reach a record $108.5 billion for fiscal year 2008. The upward revision is a $7.5 billion increase from February's previous record forecast and $26.5 billion above the final 2007 exports. Grains and animal products account for two-thirds of the export gains. Higher export volumes in bulk commodities including corn, other animal feeds and soybeans make agriculture "the bright spot in the overall balance of trade," according to Agriculture Secretary Ed Schafer. U.S. producers are on track to export a record 63 million tons of corn in 2008. New export volume and value records for pork also are expected. In addition, export volumes and values are up for many horticultural products, with sales growth to Canada and the European Union proving exceptionally strong. Asia continues to be an important growth market for U.S. agricultural commodities. U.S. exports to China are forecast to reach a record $10.5 billion, up almost $3.4 billion from 2007 levels. Canada and Mexico remain the United States' top markets worldwide with exports forecast to reach $30.5 billion in 2008 – some $5 billion above 2007.

 

STATE AFFAIRS:

Clean Ohio Fund to be on November Ballot - Ohio voters will vote in November whether to renew the Clean Ohio Fund, a program that has preserved green space and farmland, improved outdoor recreation and revitalized blighted neighborhoods by cleaning up and redeveloping polluted properties. While the OFBF board of trustees has not yet taken a position on this ballot issue, public policy staff have been meeting with the Clean Ohio campaign staff and preparing analysis for the board to consider.

 

A vote by the Ohio Senate affirmed an earlier decision by the Ohio House of Representatives to place an issue on the Nov. 4 ballot that, if approved, will provide a total of $400 million for the Clean Ohio Fund – $200 million to preserve wildlife habitat and farmland and provide recreational trails, and another $200 million to clean up polluted industrial sites. Because Clean Ohio is funded through the sale of general revenue bonds, voter approval of this ballot issue will not raise taxes.

 

"Nearly every county in Ohio has benefitted from the Clean Ohio Fund since it was first passed in 2000," said Denise Franz King, director of government relations for The Nature Conservancy in Ohio. "Ohioans have watched as abandoned industrial sites have been renewed, new park land has been set aside, farms have been preserved and trails have been built."

 

To date, the Clean Ohio fund has protected more than 26,000 acres of wildlife habitat, more than 20,000 acres of farmland, created 216 miles of recreational trails and cleaned up more than 140 abandoned industrial sites (known as brownfields).

 

OFBF Gears Up for Election 2008 - In addition to being a key swing state in the presidential race, Ohioans will also elect a new attorney general, all 99 members of the Ohio General Assembly, 1/2 the Ohio Senate (even numbered districts), all 18 members of Ohio's Congressional delegation, two Ohio Supreme Court justices, and vote on a series of statewide ballot issues. The process of getting to know candidates, identifying OFBF Friends of Agriculture for the November general election, and analyzing potential ballot issues is now in full swing. Field staff are working together with public policy staff, county leaders and candidates to schedule and conduct 40 open seat screenings (3 Congressional, 37 Statehouse) during the months of June and July. Each screening committee interviews the candidates and makes a formal recommendation to OFBF-AGGPAC to name one or no candidate as a Friend of Agriculture. County boards are also wrapping up informal incumbent reviews in which the boards evaluate the relationship locally between Farm Bureau and current legislators in their district. However, the major factor in determining if an incumbent will be a Friend of Agriculture is their voting record on OFBF KeyVotes. Additional information considered for both incumbents and open seats are the candidate's responses to the business community's (Ohio Farm Bureau, Ohio Manufacturers' Association, Ohio Chamber of Commerce, and NFIB) candidate questionnaire and Farm Bureau's agriculture-specific candidate questionnaire.

 

OFBF's voter education web site www.farmvotesmatter.org continues to develop. The most recent addition to the site is a news feed from trusted political news sources such as CNN, Stateline, and some of Ohio's major newspapers. The news feed updates automatically and provides fresh news stories several times a day. Numerous candidates have submitted photos and web site links to be included on the Farm Votes Matter Interactive Map. Materials promoting the web site are being compiled and will be distributed to OD's this summer for use at annual meetings and other events leading up to the election. The web site programmers are currently working on an interactive e-slate card where Farm Bureau members will be able to download a copy of their local precincts ballot with Friends of Agriculture identified. The slate card is expected to be available on the web site from Sept. 1 through Election Day.

 

Many Residents Expect To Leave Ohio, New Poll Shows - In a latest Ohio poll, 55 percent of Ohioans Support Gov. Ted Strickland's job performance. Nearly 30 percent of Ohioans surveyed said it was "very likely" or "somewhat likely" that they or another family member will move out of the state for better opportunities within the next year.

 

The Quinnipiac University Poll also found that respondents feel that the state's economy has worsened during Gov. Ted Strickland's tenure as governor, but just 4 percent blame Strickland. Fifty-eight percent of those surveyed said President Bush and Congress were to blame for economic stagnation, while 8 percent laid blame at the feet of the Ohio General Assembly. About 22 percent said the downturn should be attributed to economic forces beyond politicians' control.

 

Strickland recorded a 55-23 percent job approval rating in the survey that was conducted between May 29 and June 2. The survey also found:

·         71 percent said they support a requirement that certain companies offer 7 paid sick days per year.

·         58 percent said the state's economy has struggled because of state requirements making it too expensive for business.

·         85 percent said they support making English the state's official language.

·         84 percent back a proposal allowing people to use any means necessary to defend themselves against intruders in their homes.

Immigration Deportation Bill is Heard in House- Sen. Gary Cates of West Chester introduced legislation that would allow a board of county commissioners to direct a sheriff to take custody of persons who are being detained for deportation or who are charged with civil violations of immigration law. The legislation, SB 260, will also allow state and local employees and county sheriffs to render assistance to federal immigration officials in the investigation and enforcement of federal immigration law. Gov. Ted Strickland has publicly announced concerns regarding the legislation feeling that immigration is a federal issue. SB 260 has passed the Senate unanimously and is being heard in the House State Government & Elections committee.

 

Legislature Works to Regulate Puppy Mills and Rabies Vaccines - Over the past few months the Ohio 127th General Assembly has busied itself hearing bills that work to add additional regulations on companion animals. Rep. Shawn Webster of Hamilton sponsored legislation, HB 404, to requiring every companion animal in Ohio to be vaccinated for rabies. The legislation includes an exemption for feral cats which is meant to include barn cats. Those in opposition of the legislation have expressed concern about additional costs this bill would place on Ohioans. HB 404 has been passed by the House and referred to the Senate State & Local Government & Veteran Affairs committee.

 

Due to the increased public attention to the issue, Rep. Robert Hagan and Rep. Jim Hughes introduced legislation, HB 223, that would establish more strict regulations for dog breeders. Although the bill sponsors have stated the intent of the legislation is not to punish responsible breeders, the bill requires a board to permit and inspect certain breeder's establishments. The governing authority of this board has been the subject of much debate. Originally the board was placed under ODA's jurisdiction; however outcry from the department forced the board into becoming its own entity. HB 223 is currently receiving hearings in the House State Government & Elections committee. However, the bill is not likely to move until an agreement can be reached on the housing body of the permitting board.

 

Legislators Consider Harsher Punishments for Animal Fighting - After the Michael Vick dogfighting scandal became public, it was only a matter of time before members of the 127th General Assembly were offering up legislation creating increased penalties for dogfighting and cockfighting. Rep. John White sponsored HB 71 which changes the laws regarding impounding of companion animals thought to be abused or used for dogfighting. In addition, the bill states the offense of dogfighting also includes paying money or giving anything else of value in exchange for admission to or being present at a dogfight. Rep. Louis Blessing and Rep. John Domenick introduced HB 415 which increases the penalty for animal fighting to a felony. HB 415 has the passed House and is awaiting assignment to a committee in the Senate. HB 71 passed both the House and Senate and is awaiting the governor's signature.

 

UPCOMING EVENTS

ODOT invites all Ohioans to Join the "Transportation Conversation"

All Ohioans are invited to join in a first-of-its-kind "Transportation Conversation" to determine the type of transportation system the state needs for the future.  The Ohio Department of Transportation officially launched the Ohio 21st Century Transportation Priorities Task Force by naming a diverse mix of industry experts and state leaders who will lead the historic endeavor.

Leading the task force will be Chairman Ty Marsh, president of the Columbus Chamber; Vice-Chair Frank Jackson, mayor of Cleveland; and Vice-Chair Deborah Lieberman, commissioner for Montgomery County. The statewide conversations will be led by individual steering committees centered on three key issues: promoting a multi-modal system, maximizing public investment, and generating economic development.

Supporting the effort will be a host of individuals and experts serving on working committees, with backgrounds ranging from business and industry, shipping and logistics, finance and development, urban planning and agriculture, education and health care, transportation, and state and local government.

In addition to gathering public input and information at a series of open meetings across the state, the task force is encouraging all Ohioans to join the conversation by submitting their ideas and opinions here.

Also, please take a moment to complete a public opinion survey regarding transportation in Ohio.

The Ohio 21st Century Transportation Priorities Task Force convened its inaugural meeting May 7 at ODOT's Central Office in Columbus.

A final report from the Task Force is expected this fall. Through a consensus around these important issues, Ohio can have one voice on it transportation needs as we enter debate on the state's next biennium budget and the authorization of a new federal transportation bill.

Regional Task Force Meeting Dates and Times:

      Toledo - University of Toledo, Nitschike Hall, June 10

      St Clairsville - Shannon Hall 45425, National Rd, June 11

      Columbus - Rhodes Center ar the Ohio Expo Center and State Fairgrounds, 717 E. 17th Ave, June 12

      Cleveland - Cleveland State University, Joseph E. Cole Center, June 17

      Akron - John S. Knight Center, 77 East Mill Street, June 23

 
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