MAKING HAY -- March 2000
Thu, 16 Mar 2000
From:  "Sustainable Ag. Coalition" <[log in to unmask]>

Making Hay March 2000

A sustainable ag e-mail bulletin on federal agency news and activities.
This bulletin is
produced by the Sustainable Agriculture Coalition (SAC). It is not meant
to be a
polished newsletter but an alert system. We will not worry about our
prose and ask that our
work not be reproduced or quoted.

***********
CONTENTS

* Breaking News
   <> Draft National Organic Standards
   <> Pork Checkoff Vote
   <> USDA to Release Mandatory Price Reporting
   <> Initiative for Future Ag & Food Systems RFP
   <> CNMP Comment Extended
* US Army Corps of Engineers
   <> Corps Replaces NWP 26
* Food Safety
   <> FDA $$$ on Livestock Microbio Hazards
* Trade
   <> EU & Hormone-free Beef
* USDA News
   <> SAC Analysis of Administration Budget
   <> Website on Conservation Initiative
   <> Dairy Forward Contracting
   <> Glickman “Singing our Song” at Ag Forum
   <> RMA Organic Focus Groups
   <> GE Potato Comment Request
   <> First Meeting of Biotech Advisory group
   <> Virginia CREP Announced
* Resources and RFPs
   <> Catalog of Fed Funding Sources for Watershed
   <> Biotech Risk Assessment Grants RFP
   <> IPM Grants for FQPA Issues

***********

*** BREAKING NEWS ***

<> Draft National Organic Standards

On the off chance that this is actually news to someone
reading MAKING HAY, the USDA issued its revised draft rule
for the National Organic Standard on March 7 at a full-
dress press conference at which Secretary Glickman found
several different ways to say “we listened to you.”
Whether or not they actually heard is another question,
which is still up in the air as organic growers & advocates
plow through the hundreds of pages of the new rule.  If you
want to be one of them, you can download the whole proposed
rule or parts of it from the website of the National
Organic Program at <www.ams.usda.gov/nop> and read more of
the Department’s press statements at
<www.usda.gov/news/releases/2000/03/march.htm>.  Comment on
the new draft rule is due by June 13, 2000.

You can find out more about outside opinions on the new
rule at the website of the Rural Advancement Foundation
International <www.rafiusa.org/>.  Official comment by the
National Campaign for Sustainable Agriculture should be
available by mid-April; contact them at
<[log in to unmask]>.

<> Pork Checkoff Vote

Also probably not news to any of you is the Secretary’s
announcement of a vote on the Pork Checkoff that funds the
National Pork Board and, through the NPB, the National Pork
Producers’ Council (NPPC).  In making his announcement at
the National Farmers Union’s meeting in Salt Lake City,
Secretary Glickman noted that he was exercising his own
authority to call for a vote, and that the costs of the
vote would come out of the USDA, rather than from pork
checkoff funds.  There’s very little information available
on the AMS or broader USDA website about this announcement,
but the Secretary’s memo outlining his reasons for calling
the vote is illuminating.  He notes that: “Having reviewed
the AMS verification process, I have concluded that it is
vulnerable to criticism in a number of respects. Among
other things, USDA’s data entry process was flawed, valid
petitions were deleted, and duplicate entries not removed,
making it impossible to state precisely the final number of
petitioners.  AMS’ judgements about individual petitions
where producers did not fill out forms perfectly or legibly
are open to challenge.”  Due to the uncertainty, the
Secretary made the determination that “equity” and
“democratic process” demanded a vote.

The NPPC went into full panic mode, indicating that they
might sue to block the vote and other clumsy steps that
would only serve to further alienate the hog producers who
will vote on the checkoff.  One thing they have done
effectively is to spin the USDA announcement in such a way
that many news stories are reporting that the department
could not verify enough signatures, but is bowing to
political pressure to hold the vote anyway.  As is clear
from the Secretary’s memorandum, this is simply not the
case.  For a copy of the Secretary’s Memorandum, contact
the offices of the Campaign for Family Farms at 612-722-
6377, or the Sustainable Agriculture Coalition at
<[log in to unmask]> or 202-547-5754.

<> USDA to Issue Reg on Mandatory Price Reporting

On March 14, USDA Secretary Glickman announced that the
proposed rule for mandatory livestock price reporting will
be published in the Federal Register on March 17, 2000,
with a 30-day comment period.  The proposed rule imposes
price reporting requirements on livestock packers and
product processors who slaughter on average more than
125,000 cattle, 100,000 swine, and 75,000 lambs per year.
Importers who annually import more than 5,000 metric tons
of lamb meat are also required to report.  The proposed
rule requires that price reporting take place at specified
times and will require the reporting of certain details of
transactions.  Additional information on the rule is
available on the Agricultural Marketing Service website at
<www.ams.usda/gov/lsg/price.htm>.

<> Initiative for Future Ag & Food Systems RFP

The Cooperative State Research, Education & Extension
Service (CSREES) has issued a Request for Proposals for the
Initiative for Future Agriculture and Food Systems program.
The IFAFS Program will total approximately $113.4 million
in this fiscal year.  The Federal Register notice on this
RFP is in Vol. 65, No. 44, pp. 11838-11857, March 6, 2000.

The RFP includes a groundbreaking section on research on
farm efficiency and profitability, including the needs of
small and moderate-sized family farms.  This section of the
RFP implements a major win of the sustainable agriculture
movement in the 1998 agricultural research act.  The
request calls for new research partnerships, systems
approaches, extensive farmer involvement, low-capital and
input approaches, and both production and marketing/value-
adding processing research.  This section of the RFP is far
superior to the small farm section of the NRI RFP and most
other earlier USDA proposals.  For more information on this
area, contact Program Director Don West, at (202) 720-5633,
e-mail <[log in to unmask]>, or Denis Ebodaghe at (202) 401-
4385, e-mail <[log in to unmask]>.

Overall funding was divided as follows: Agricultural Genome
and Biotechnology - $32.8 million; Food Safety and
Nutrition - $23.6 million; New and Alternative Uses - $9.4
million; Natural Resource Management - $23.6 million; and
Farm Profitability/Small and Moderate-Size Farms - $18.9
million.  In addition, no less than 30 percent of total
funds are being set aside for “consortia” proposals for
large collaborations, with 4 year awards of between $1
million and $5 million. The balance will be smaller grants
with a top limit of $1 million.

As we have reported previously, the funding for the
Initiative became available late last year when USDA budget
and legal staff discovered a loophole in the congressional
prohibition in spending any funds on this program.
Needless to say, it continues to be controversial.  The
House Appropriations Committee, in a supplemental
appropriations bill reported out of Committee on March 9,
repeals the funding (again).  As we go to press, the Senate
Committee has scheduled a markup on its version of the
supplemental for March 21.  Early indications are they will
not repeal the Initiative’s funding.  The final outcome
remains very uncertain.  However, those considering
submitting proposals should forge ahead, at least until the
funding prospects become clearer.  It is likely, though not
yet confirmed, that USDA will extend the May 8 deadline for
submissions.  For e-mail updates on the situation,
subscribe at <[log in to unmask]> or call the SAC
office.

<> CNMP Comment Extended

NRCS has informed the SAC office that it will extend the
comment period on its draft Technical Guidance for
Comprehensive Nutrient Management Plans (CNMPs) for animal
feeding operations.  The comment period will be extended to
a date in April, 2000 which will be announced soon in the
Federal Register. Note that in addition to use by NRCS in
voluntary programs, the CNMPs have also been proposed by
EPA for inclusion in Clean Water Act National Pollutant
Discharge Elimination System permits under the regulatory
program for large- scale concentrated animal feeding
operaitons.  The SAC office has prepared suggested comments
on the draft Techincal Guidance and is finalizing a
detailed letter which may be endorsed by other
organizations.  For further information, contact Martha
Noble by phone at (202) 547-5754 or by e-mail at
<[log in to unmask]>.

*** US Army Corps of Engineers ***

<> Corps Replaces NWP 26

The US Army Corps of Engineers has issued new and modified
Clean Water Act Section 404 Nationwide Permits (NWPs) to
replace NWP 26.  See Federal Register, Vol. 65 at pp. 12817
(March 6, 2000); for additional information see the Army
Corps website at
<www.usace.army.mil/inet/functions/cw/cecwo/reg/>.

NWP 26 is scheduled to expire on June 5, 2000.  The new NWP
program applies to development activities of ½ acre or less
which do not occur in tidal wetlands and provides
additional protection for wetlands in 100-year floodplains.
The old NWP program allowed development on up to 3 acres
without an individual section 404 wetlands permit. The Army
Corps must also be notified if an activity will destroy
more than 1/10 of an acre, a reduction from the old
standard of 1/3 acre.

With regard to agricultural wetlands, NWP 40 has been
increased from a permit limited to the construction of farm
buildings to a permit allowing wetlands destruction to
increase agricultural production, including ranching and
silviculture activities.  Revised NWP 40 allows conversion
of up to ½ acre of non-tidal wetland and up to 300 linear
feet of wetland for the purpose of relocating existing
drainage ditches constructed in non-tidal streams.  The
revised NWP 40 also uses farm tracts, rather than farms, as
the measure of single and complete projects.  This change
will allow more than one wetland conversion on a farm under
NWP 40.

The NRCS will oversee activities on agricultural land
enrolled in the federal farm programs and Army Corps
district engineers will oversee activities on other
agricultural land.  The revised NWP 40 does not provide any
additional protections for playas, prairie potholes, vernal
pools, or other highly sensitive wetland areas.  In
addition, the Army Corps has prohibited the imposition of
more restrictive regional conditions on these wetlands in
acreage enrolled in federal farm programs subject to NRCS
oversight.

The next step is state certification of the revised NWP
permit program. States have 90 days from the release of the
revised NWP permit program to certify, deny, or place
conditions on the revised permits.  The Clean Water Network
has started a state certification campaign to help ensure
the best nationwide permits possible. If you are working on
the state certification process, contact Ami Grace at CWN
(phone: 202-289-2421 or e-mail: <[log in to unmask]>so) to
link with activists within your state and to obtain fact
sheets, suggested regional conditions, and other tools
developed by the CWN and the National Audubon Society.

*** Food Safety ***

<> FDA $$$ on Livestock Microbio Hazards

The Food and Drug Administration (FDA) announced that it
would make available approximately $600,000 in fiscal 2000
for study of microbiological hazards associated with food
animal production.

The announcement by FDA’s Center for Veterinary Medicine
(CVM) indicates that this research will focus on pre-
harvest phases of food animal production, including
aquaculture, and the microbial hazards prior to harvest
that impact upon food safety.  The announcement
specifically notes the need for research into the effects
of therapeutic and subtherapeutic antibiotic usage in
livestock on bacterial pathogens.

The FDA plans to work through a small number of cooperative
agreements of $100,000 or $200,000 per year, for up to
three years.  Application deadlines are short; letters of
intent to apply should be received at FDA by April 3, and
completed applications by April 17.  For more information
on administrative and financial management aspects of the
project, contact Cynthia Polit, FDA Grants Management
Specialist at (301) 827-7180.  For information on the
program, contact David Batson at the CVM at (301) 827-8021.

*** Trade ***

<> EU Agrees to US Hormone-Free Beef Plan

On March 9, the European Union approved new US measures to
certify the reliability of US exports of hormone-free beef
to Europe. Without this action, the existing 11,500-ton
quota for US hormone-free product would have been cut off
on March 15. The EU is now hoping that, in exchange for
increasing the quota on hormone-free beef and possibly
reducing the 20% import tariff, the US will agree to remove
some of the US sanctions against European exports approved
earlier by the World Trade Organization as a result of the
EU’s refusal to accept hormone-treated beef.  Those
sanctions impose 100% import duties on $117 million worth
of European products. If a deal is struck, it could mean
increased export opportunities for organic and hormone-free
cattle producers.

*** USDA News ***

<> SAC Comment on Administration Farm Proposal

As a part of it’s budget request for fiscal 2001, the White
House outlined a number of farm proposals, most notably a
new system of “Supplemental Income Payments” (SIP) and a
Conservation Security Program (see story below).

SAC has prepared a brief critical analysis of the Clinton
Administration’s farm plan, crediting it with making very
significant advances on targeting income relief to small
and moderate-sized farms, but faulting the proposal for
abandoning planting flexibility and leaving diversified
producers out of the scheme. The paper also notes the major
missing piece in the proposal - its complete lack of any
short term conservation-oriented supply management features
to help stem continued low prices.

For a copy of the SAC analysis, contact Ferd Hoefner
<[log in to unmask]> or Brad DeVries <[log in to unmask]>
by e-mail or at (202) 547-5754.

<> Website on Conservation Initiative

The USDA announced that information for farmers and
ranchers on the Administration’s new Conservation Security
Initiative (outlined in the President’s budget request for
fiscal 2001) is available on the web at
<www.nrcs.usda.gov>.

Not included in the announcement were the White House’s
plans for getting this initiative, closely associated with
Vice President Gore and his presidential bid, through a
Republican-controlled Congress.

<> Dairy Forward Contract Rule and Contract Reform

As we go to press, a short 15-day comment period is ending
on a proposed rule for the “dairy forward contracting”
pilot program. The rule
<www.ams.usda.gov/dairy/dockets.htm> or Federal Register,
March 1, pp. 10891-10894) is the first testing ground for
AMS Administrator Kathleen Merrigan’s initiative to
establish new contract agriculture ground rules that
enhance producers’ rights with respect to handlers and
processors.

Congress mandated the dairy forward contract pilot program
last year, in part as an experiment to test granting
private proprietary dairy plants the same forward
contracting opportunities currently allowed for dairy
cooperatives. Under forward contracts, the contract sets
the price the farmer or coop will receive rather than the
Federal milk marketing order. Participation in the pilot is
voluntary for both the farmer and the handler. Handlers
will still be subject to all other provisions of the
federal order.

As part of an evolving farmer “right to know” initiative,
AMS is developing educational and regulatory proposals to
aid farmers who, for whatever reason, are entering
production or marketing contracts. With regard to this
specific pilot project, several safeguards are proposed:

* a clear, plain language disclosure statement must be
signed by the producer before signing a forward pricing
contract;

* the disclosure form verifies that the producer has
received and read a USDA Fact Sheet describing the pilot
program, the risks involved, and useful tips for the
producer to use in deciding to enter into a contract;

* a 3-day period in which the producer can change his or
her mind and rescind the contract;

* a 6 month limit on first-time contracts (which may then
be renewed) to help producers become familiar with the pros
and cons of forward contracting as a means of managing
risk.

SAC has written to support for the mandatory disclosure
statement, the 6-month limit on first time contracts, and a
revised version of the 3-day waiting period mechanism. We
also urged AMS to immediately suspend or terminate the
program if they obtain any evidence that handlers are
coercing farmers into signing forward contracts, and to
move quickly on development of disclosure statements for
production contracts, in addition to marketing contracts.

The proposed rule, fact sheet, disclosure statement, and
other information are available at
www.ams.usda.gov/dairy/dockets/htm.

<> Glickman “Singing our Song” at Ag Forum

In several recent policy speeches, USDA Secretary Dan
Glickman has articulated five new policy principles to
“break out of the farm policy paradigms...that have hemmed
in our thinking for several years.” Several of these
principles are right in line with things the sustainable
agriculture movement has said about federal policy for a
long time.

In Glickman’s view, federal farm policy for the next
generation should:

* support farmers, not commodities, with federal assistance
supporting farm income rather than crop prices and getting
away from subsidizing “massive consolidation”

* be more comprehensive and national in scope, including
all types of farms, not just the 8 major commodities

* make risk management programs “more inclusive,” including
coverage for livestock

* make conservation a centerpiece, not an afterthought,
with broad incentives for environmental stewardship

* integrate rural development and agriculture, with support
for diversified rural economies and entrepreneurship.

While we can and should press on substance and raise
questions on details,
these are certainly themes that work very well with
previous and new
emerging sustainable agriculture proposals for the farm
bill,
appropriations, and USDA administrative reform. Stay tuned!

<> RMA Organic Focus Groups

The Risk Management Agency is in the process of holding
farmer focus groups in different areas of the country to
better understand the possible crop insurance needs of
farmers during the transition phase to organic production.
The issue of transition insurance has been around for a
number of years, and was proposed to RMA in a letter from
SAC and the National Campaign for Sustainable Agriculture
two years ago. This is the first detailed attempt by the
agency to try to figure out what is needed and how it might
work.

<> GE Potato Comment Request

The USDA Animal and Plant Health Inspection Service (APHIS)
has issued an environmental assessment and a request for
comments on a proposed decision to give nonregulated status
to a genetically engineered strain of potato.  See Federal
Register, Vol. 65 at pp. 11758-59 (March 6, 2000).
Comments are due by April 5, 2000 and should be sent to
Docket No. 99-036-1, Regulatory Analysis and Development,
PPD, APHIS, Suite 3C03, 4700 River Road, Unit 118,
Riverdale, MD 20737-1238. Monsanto Company has made the
request for nonregulation with regard to a Russet Burbank
potato line engineered for resistance to the Colorado
potato beetle and the potato leaf roll virus by the
inclusion of Bt genes, genes from the potato leaf roll
virus, and marker and controller genes from plant viruses.
A copy of the Monsanto request and the environmental
assessment may be requested from Ms. Kay Peterson by phone
at (301) 734-4885 or by e-mail at <[log in to unmask]>.

<> First Meeting for Biotech Advisors

The USDA has announced that the first meeting of the
Advisory Committee on Agricultural Biotechnology will be
held on March 29-30, 2000 from 8:30 am to 5 pm in the
Atrium Ballroom of the Ronald Reagan Building and
International Trade Center, 1300 Pennsylvania Avenue, NW,
Washington, D.C.  See Federal Register, Vol. 65 at p. 13710
(March 14, 2000).  The meeting will be open to the public
and, if time permits, the public may make oral
presentations of no more than 5 minutes each on March 30,
2000.  To attend the meeting you must contact Ms. Diane
Harmon by phone at (202) 720-4074, by fax at (202) 720-
3191, or by e-mail at <[log in to unmask]> at least 7
days before the meeting.  If you wish to speak at the
meeting, you must contact Dr. Michael Schechtman in writing
at least 3 business days before the meeting at Office of
the Deputy Secretary, USDA, 202B Jamie L. Whitten Federal
Building, 12th and Independence Ave. SW, Washington, D.C.
20250; telephone (202) 720-3817; fax (202) 690- 4265; e-
mail: <[log in to unmask]>.  You may also file
written comments with Dr. Schechtman until May 1, 2000.

<> Virginia CREP Announced

On March 8, 2000, the USDA announced that it has finalized
an agreement with the state of Virginia which established a
Conservation Reserve Enhancement Program (CREP) for the
state.  The $91 million dollar program targets 25,000 acres
in the Chesapeake Bay watershed and 10,000 acres in non-Bay
drainage areas in southern Virginia.  The federal govenment
will spend $68 million on the CREP and Virginia will
contribute $23 million.  The CREP will focus on reduing
nitrogen and phosphorus pollution from agricultural lands
and will also provide for restoration of wetlands and
wildlife habitat and the establishment of permanent
conservation easements on some acreage.  For more details
on the CREP, see the USDA news release, which includes an
question and answer fact sheets, posted on the web at
<www.usda.gov/news/releases/2000/03/0075>.

*** Resources and RFPs ***

<> Catalog of Fed Funding Sources for Watershed

The EPA recently published the Catalog of Federal Funding
Sources for Watershed Protection (2nd Edition) EPA 841-B-99-
003.

The Catalog provides information on Federal funding
programs that might be available to fund different aspects
of watershed protection and local-level watershed projects.
It contains one-page fact sheets for each of the 69 funding
sources (grants and loans) that provide information on the
type of projects funded and eligibility requirements.

Copies of the new funding catalog are available at no
charge from the >National Service Center for Environmental
Publications (NSCEP) at: Phone: (513) 489-8190 or (800)
490-9198, Fax: (513) 489-8695).  (Please include the
document number EPA 841-B-99-003 when ordering the
document.)

<> Biotech Risk Assessment Grants RFP

The Agricultural Research Service (ARS) and Cooperative
State Research, Education and Extension Service (CSREES)
have issued a Request for Proposals (and for comment on the
RFP) for a new $1.5 million “Biotechnology Risk Assessment”
research grants program for the coming year. See Federal
Register, Vol. 65, No. 43 at pp. 11706-11709 (March 3,
2000)

The grants will be competitively awarded and support
“science-based biotechnology regulation, thereby helping to
address concerns about the effects of introducing
genetically modified organisms into the environment and
helping regulators develop policies regarding such
introduction.”  The RFP specifically notes that proposals
for risk management, as opposed to risk assessment, are not
acceptable.  There is a particular emphasis in the RFP on
encouraging research on genetic outcrossing, pest
resistance, and other key issues raised regarding GE crops.
Proposals must be received by April 10, 2000.  For more
information on this program, contact Dr. Deborah Sheely,
CSREES; telephone (202) 401-1924, or by e-mail at
<[log in to unmask]>.

<> IPM Grants for FQPA Issues

Also in the mix is a CSREES RFP for both research and
stakeholder input for a program entitled “Pest Management
Alternatives Program: Addressing Food Quality Protection
Act Issues for Fiscal Year 2000.”  The RFP is available in
the Federal Register, Vol. 65, No. 43 at pp. 11712-11717
(March 3, 2000).

The RFP calls for proposals that “develop, test, and
implement pest management alternatives and possible
mitigation strategies to ensure that crop producers have
reliable methods of managing pests considered a high
priority under the Food Quality Protection Act and related
regulatory actions.”

Proposals are due by April 17, 2000; comments on the RFP
are requested within six months of this Federal Register
notice.  Application materials may be requested via e-mail
at <[log in to unmask]> by sending your name, mailing address
(not e-mail) and telephone number.  Be sure to note that
you are requesting a copy of the application materials for
“FY 2000 Special Research Grants Program  Pest management
alternatives research: Special Program Addressing Food
Quality Protection Act Issues.”

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