Tuesday, April 2, 2013

Ag Today Monday, March 25, 2013




Feds cut Valley water allocation to 20% [Fresno Bee]
Already reeling from a paltry allocation of federal water from the Central Valley Project, farmers on the west side of the Valley were stung Friday when their anticipated supplies were cut even further. The U.S. Bureau of Reclamation announced that the past couple of months of dry weather prompted a decrease in water allocations to contractors south of the Sacramento-San Joaquin river delta to 20% of the contracted supply. In February, the bureau had estimated the allocation at 25%. The earlier allocation was based on pumping restrictions in the delta to protect threatened fish species under the federal Endangered Species Act. But dry weather from January through March prompted federal officials to classify the Sacramento and San Joaquin river supplies as critical based on reduced river flows into the delta.

California voters, lawmakers have no say in OK of major river diversion plan [Sacramento Bee]
…Despite these high stakes, as the process now stands California voters will have no formal say in approving the plan. Nor will the state Legislature.…As the plan is finalized in the year ahead, the public will have opportunities to comment and criticize, as residents would with a new housing subdivision or highway widening or any other project subject to the Endangered Species Act and the California Environmental Quality Act. But in the end, the transformation of the largest estuary on the West Coast of the Americas is slated to be shaped and approved by a handful of appointed government officials.

Fight over immigrant wages stalls talks on bill [Wall Street Journal]
Negotiations between business and labor appeared to reach a breaking point Friday evening, jeopardizing the Senate's effort to finish its plan to overhaul the nation's immigration system. A disagreement over how to set the minimum wages for future low-skilled workers effectively stalled immigration negotiations Friday evening. A bipartisan group of senators working on immigration legislation are expected to continue discussing the issue over the two-week recess but it appears they will fall short of their goal to reach a consensus on how to rewrite immigration laws before they leave town….Negotiations also have soured between farm worker unions and employers over how many farm workers should be allowed in under a future visa program. Employers also are pushing to change the way those workers are paid, likely yielding a lower wage, while a farm workers union wants the current wage formulas to continue. Despite the disagreement, the Senate group has been closing in on a deal to give farm workers here illegally a faster path to permanent legal status than other illegal immigrants.…The compromise would provide employers with a stable work force and give workers an incentive to stay in often-difficult jobs.
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Valadao, 5 others seek to put California dairies into federal pricing program [Fresno Bee]
California's huge dairy industry, which has played by its own set of rules since the 1930s, could partially end its unique way of doing business under new legislation pushed this week by Rep. David Valadao and five other Central Valley lawmakers. Valadao, R-Hanford, cited lost revenues and hard times while introducing a bill late Thursday that would open the door for California dairy producers to eventually enter a federal milk-marketing system….Valadao's bill would allow California dairy producers to petition the Agriculture Department for entrance into the federal milk-marketing order system. If the producers go ahead and file that petition, the Agriculture Department would hold an industry vote. Approval by two-thirds of the producers would be required for the move to succeed….The bill, though, could also face "some pushback" from the dairy processors who buy milk, Valadao acknowledged.

New US-EU talks threatened by agriculture spats [Associated Press]
President Barack Obama used Washington's grandest stage - the State of the Union speech - to announce negotiations with Europe aimed at creating the world's largest free trade agreement. Just weeks later, there are signs that old agriculture disputes could be deal-killers. European Union leaders don't want the negotiations to include discussions on their restrictions on genetically modified crops and other regulations that keep U.S. farm products out of Europe. But Obama says it's hard to imagine an agreement that doesn't address those issues. Powerful U.S. agricultural lobbies will do their best to make sure Congress rejects any pact that fails to address the restrictions.…Agricultural issues have long bedeviled attempts to expand free trade across the Atlantic and have led each side to file complaints against the other before the World Trade Organization, an arbitrator in trade disputes. While the U.S. protests EU restrictions, Europeans want the U.S. to reduce agricultural subsidies.

Record crop insurance payout stirs subsidy debate [Associated Press]
Farmers will be paid a record $16 billion in crop insurance claims for 2012 because of the widespread drought, a staggering amount that has critics calling for changes to what they say is an inefficient taxpayer subsidy the government cannot afford. While farmers buy crop insurance from private companies, the federal government subsidizes their premiums and picks up the tab for losses over a certain amount. One analyst estimates the federal tab for 2012 will come to about $11 billion. It is the second year in a row that U.S. farmers have received record crop insurance payments as flooding and drought in 2011 was followed by an even worse drought last year. The $16 billion in payments also comes as lawmakers working on a new farm bill have been considering a shift from disaster relief to crop insurance as a more predicable way of protecting farmers from natural disasters.

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