Policy Updates and Issue News February 2024

The Senate and House returned this week from their two-week Presidents Day recess with a government shutdown staring them in the face. The first deadline is Friday, March 1 when funding runs out for USDA, FDA, Energy, Transportation, HUD and Military Construction. The remaining agencies’ deadline is March 8. There was a high-level pow wow at the White House Tuesday between President Biden, Vice President Harris, Senate Majority Leader Schumer, Minority Leader McConnell, House Speaker Johnson and Minority Leader Jefferies. The meeting, reportedly intense at times, apparently produced some negotiating options for Friday to prevent shutdown. The Congressional leaders announced an agreement on Wednesday to prevent a shutdown by giving themselves until March 8 to pass appropriations bills to cover the above agencies. After more presidential primaries this week, it continues to appear President Biden and former President Trump will each skate to their party nomination. Senate Minority Leader, Mitch McConnell (R-KY) announced he will step down from that position in November. A recent Gallup poll found the top issue facing the country according to respondents is immigration, saying that “large numbers of immigrants entering the United States illegally” is a critical threat to U.S. vital interests. Don’t look for farm bill negotiations to go anywhere soon. The Senate and House ag committees are still far apart on several major issues. As well, some political strategists from both parties recommend waiting until after elections this fall to seriously address the farm bill. Increasingly heard around Washington … “Sky-high cost of food is eating our paychecks.” The best news is that cherry blossoms are just a month away.

Fewer Farms, Older Producers

The agriculture census just released by USDA shows both the number of farms and the number of farm acres have fallen significantly from 2017 to 2022. The number of farms fell 7% over the five years, while the average age of farmers and ranchers rose slightly to 58.1 years. The amount of farmland fell from 900 million acres to 880 million, a loss of more than 20 million acres. The number of dairy operations fell 39%, beef cattle operations fell 21%, big hog operations declined slightly, while big chicken operations grew from 7,211 to 7,406.

Beef Chicken and Pork Producers Advocate for Clear “Fake” Meat” Labels

Legislation has been introduced to require the use of “imitation” or similar terminology on labels of plant-based meat and meat alternatives. A bipartisan, bicameral group of legislators on the Hill introduced the FAIR Labels Act in both the House and Senate. The Act is intended to clearly differentiate between real meat, plant-based meat and lab-grown products so consumers can clearly understand the difference at the retail counter.

USDA Equity Commission Reports

Over the past three years, members of the USDA Equity Commission met regularly to examine how changes to USDA programs, policies, systems and practices can help lift barriers to inclusion or access, and address systemic discrimination or racial, economic, health and social disparities. The Commission’s recommendations include commodity program reforms, more equitable delivery of all USDA programs, farm worker access to USDA food and nutrition programs, and increased funding for 1890’s institutions and Tribal extension programs.

Support for Wildlife Services

The National Grange joined over 250 national and state organizations in urging Congress fully fund the Wildlife Services division at USDA. Wildlife causes more than $12.8 billion in damage to natural resources, public infrastructure, private property, and agriculture. Wildlife Services works to prevent, minimize or manage this damage and to protect human health and safety from conflicts with wildlife.

Snake River Salmon Litigation Paused

A long-running court case over salmon declines in the Columbia and Snake rivers has been put on hold for at least five years. This will give the federal government, four Northwestern tribes, environmental groups and the states of Washinton and Oregon time to test a $1 billion agreement intended to resolve the dispute without having to breach four Snake River dams. In other action, National Grange president Christine Hamp submitted a letter to a House Energy and Commerce committee hearing pointing out that rural residents of the region have not been part of dam removal discussions. She stressed that removal would totally disrupt the infrastructure for clean electrical power, agricultural irrigation, cargo transportation, jobs and recreation.

Big Banks Slammed Over “Net-Zero” Emission Pledge

Agriculture officials from a dozen states are concerned about the role of some of America’s largest banks in a United Nations coalition that aims to reduce the carbon footprint of loan portfolios around the world. In a letter to six U.S.-based banks, the ag officials asked how they plan to meet the commitments. Ag officials warned these commitments could cut America’s livestock consumption in half, force a switch to inefficient electric farm equipment, and demand a move away from nitrogen fertilizer necessary for American agriculture to survive. Recipient banks were Bank of America, Citigroup, Goldman Sachs, Morgan Stanley and Wells Fargo.

Push for Early Cancer Detection

The National Grange sent letters of appreciation to the Senate and House sponsors of the Nancy Gardner Sewell Medicare Multi-Cancer Early Detection Screening Coverage Act (S. 2085 and H.R. 2407). The Grange stressed a recent study it conducted that pointed out the cancer disparities in rural America and the need for Medicare to cover new screening tests that can detect dozens of cancers in their early stages with a simple blood draw. The Grange then sent the study and its findings to 126 congressional leaders and staff with jurisdiction over the two bills and urged passage of the Act.

Grange Meets with House Ways and Means Committee

National Grange’s Burton Eller joined a group of patient advocates that met with committee staff to discuss the merits of Medicare coverage for the multi-cancer early detection cancer screening test. Eller addressed the critical need for rural residents to have access to such a test. Ways and Means is one of the committees of jurisdiction for this legislation.

Grange at the Southern Farm Show

The National Grange and the North Carolina State Grange joined forces in a booth at the show in Raleigh, N.C. to sponsor a vaccination clinic and distribute immunization information about flu, COVID and RSV. The effort also collected surveys from attendees about their own vaccination status and that of their families. Advice and counsel with tips for rural seniors facing surgery was also on display.  Approximately 30,000 visitors passed the booth.

Factors Shaping the 2024 Rural Economy

CoBank’s 2024 outlook report looks at key factors the bank expects to shape agriculture and the rural economy in the coming year. While the U.S. economy is still in good shape overall, high prices are expected to continue to take a toll. Here are the top six factors to watch in 2024:

• Global slowdown – Global growth in 2023 is estimated at 2.5% which is less than half of the average growth between 2000 and 2018. This trend is expected to continue into 2024.
• Priced to remain elevated – While inflation and the unemployment rate are down, higher prices appear to be sticking.
• Slowed government progress continues – With slim majorities in both the Senate and House, shutdown deadlines continue to loom, and little progress has been made on the farm bill.
• Livestock growth plans put on hold – Lower feed costs and domestic demand should help profitability, but costs are still high.
• Uncertainty in the dairy industry – Increased prices for consumers could keep sales growth at a slow rate. International demand will play a large role in profitability.
• Power, energy and broadband sectors face obstacles – Global conflicts create uncertainty for commodity markets. Broadband investment continues to flow into the industry, but it will not be without challenges due to a tight labor market, tight credit conditions and a difficult permitting process.

U.S. Debt to Exceed Record in Four Years

The Congressional Budget Office projects that the national debt will eclipse its record as a share of the economy by 2028 and exceed 116 % of the economy by 2034. CBO projects the budget deficit will total $1.5 trillion in 2024 and grow to $2.6 trillion by 2034. Trust funds for highways and Social Security will be exhausted by the end of this decade.

“Wisdom is not a product of schooling but of the lifelong attempt to acquire it.”  ~  Albert Einstein

“Authority without wisdom is like a heavy ax without an edge, fitter to bruise than polish.”  ~  Jimi Hendrix

“The art of being wise is the art of knowing what to overlook.”  ~  William James

“Turn your wounds into wisdom.”  ~  Oprah Winfrey

“The man who asks a question is a fool for a minute, the man who does not ask is a fool for life.”  ~  Confucius

“The wise person doesn’t give the right answers, but poses the right questions.”  ~  Claude Levi-Strauss

“Knowledge speaks but wisdom listens.”  ~  Jimi Hendrix