News Update

News Update
Aug. 8, 2006

FDA Issues Feed Recall

The Food and Drug Administration (FDA) has announced two recalls on certain feeds produced in Michigan and Kentucky, meatingplace.com reported.

According to the article, Vita Plus Corp., Gagetown, Mich., has recalled more than 27 million pounds (lb.) of dairy feed because it is believed to contain mammalian protein. The feed was distributed in Michigan.

Also, Burkmann Feeds LLC, Glasgow, Ky., has recalled an unknown amount of custom feed due to ingredients that may contain ruminant-derived meat and bone meal. The feed was distributed in Kentucky, meatingplace.com reported.

Conservation Tax Provisions Included in Pension Bill

Ranchers who donate land for conservation can receive an increased tax deduction and ensure those lands remain in ag production according to provisions contained in a pensions package passed by Congress, the National Cattlemen’s Beef Association (NCBA) reported. The adjusted deduction for conservation easement donations within the bill provides tax incentives for protection of open space and for farm and ranch stewardship.

The Senate approved The Pension Protection Act of 2006, Aug. 3 by 93-5. The package passed the House July 28.

“This bill will provide a major increase in the deductions landowners can take for donating a conservation easement in 2006 and 2007,” says Jeff Eisenberg, NCBA’s director of federal lands.

The provision includes these items of interest to ranchers:

Raising the maximum deduction a donor can take for donation of a conservation easement from 30% of their adjusted gross income in any year to 50% (provided the contribution does not prevent use of the donated land for farming or ranching);
Allowing qualified farmers and ranchers to deduct up to 100% of their adjusted gross income; and
Increasing the number of years during which a donor can use conservation tax deductions from 6 years to 16 years.

According to NCBA, the provision will be effective for donations made through Dec. 31, 2007. After that, the law will revert back to previous provisions, unless Congress extends the provision prior to the deadline.

USDA Releases Renewable Energy Analysis Paper

Agriculture Secretary Mike Johanns released an analysis paper today prepared by U.S. Department of Agriculture (USDA) economists that details the agency’s renewable energy programs. The paper, available at www.usda.gov/farmbill, is the fourth in a series of subject areas that warranted a comprehensive examination based on comments during last year’s Farm Bill Forum listening tour.

The paper released today looks at all the potential sources of energy under agriculture’s umbrella, from farm fields to pasture and forest lands. It also tracks the results of USDA’s renewable energy and energy efficiency programs and contemplates enhancements and alternatives to those programs. According to USDA, the alternatives do not represent specific farm bill proposals but are instead meant to foster further public discussion.

In March 2006 Johanns announced the release of 41 papers summarizing the 4,000 comments received during 52 Farm Bill Forums, as well as those sent via mail and the Internet. Within those 41 papers emerged key themes USDA economists are studying in preparation for 2007 farm bill discussions. The first three theme papers covered risk management, conservation and the environment, and rural development. The fifth and final farm bill theme paper will examine opportunities to strengthen the foundation of U.S. agriculture.

— compiled by Crystal Albers, associate editor, Angus Productions Inc.