Washington Reportpresented toNational Cotton CouncilBoard of DirectorsMemphis, TNSeptember 12, 2002
Key Issues Farm Bill Defense Farm Bill Implementation Disaster Assistance Appropriations Trade
Key Issues-Continued Crop Insurance Environment Taxes Flammability Homeland Security Agency
Farm Bill Defense • Amendments • FY03 Appropriations bills • Disaster assistance off-set • NCC actions • Special Committee-June Board Meeting • Responses to press attacks • Action alerts • Commodity and Farm Organizations • Roundtable Meeting in Washington • Coordination of Communications Efforts • Web-page • Press Conference/joint hill contacts • Letters Signed by 14 and 24 Organizations respectively
Farm Bill Defense Political • Analyze Votes and Basis for Decisions (Also Applies to Communications Strategy) • Initial Focus on Appropriations Cmtes. • Effectively Utilize House Leaders • Establish Communication With Senate Leaders • Establish Communication With Administration • Identify Related Issues Equally Important to Others • Enhance and Utilize CAC Resources
Farm Bill Defense- House • 3 key votes • Smith amend. 187-238 Oct. 01 • Smith motion to instruct 265-158 April 02 • Motion to recommit conference report 172-251 May 02 • Solidly opposed to pay ltd amendments • AL, AR, LA, MS= 22 • Majority opposed to GD amendment • AZ (1), KS (1), MO (3), NC (3), OK (1), TN (2), TX (6) = 59 • Total votes in 17 cottonbelt states=203/117 • CA=52/12 TX=30/20 FL=23/3 • MO=9/1 VA=11/3
Farm Bill Defense- Senate • G-D Amendment (66-31-3) • Cottonbelt (7-34:pre-CA conversions) • KS--Brownback, Roberts • NM--Domenici? • OK--Nickles • TN--Thompson? • TX--Gramm • VA--Warner • Future ?’s • Graham (FL), Nelson (FL), Bingaman (NM), Allen (VA)
Farm Bill Implementation • Commodity Programs • FSA Briefings • FSA Funding-OMB Letter and Appropriations • Loan Rate Announcement • NCC Letter re Base Up-date • Key FSA notices • FSA training this week • Conservation Programs • NRCS reps attendance at ACP meeting • NCC leaders meet NRCS Sept. 19
Farm Bill Implementation • Base and yield update • Power of Attorney • Timing of payments • ‘03 adjusted gross income test • CCP advance • FSA workload • farm bill • disaster assistance
Disaster Assistance • Politically driven-SD, MT, MN Senate races • Senate amend to FY03 Interior Approps- 9/10 • 79-16 (48 Dems and 31 Reps) • $5.95 bil. “emergency spending” • Administration letter -9/9 • generous farm bill and crop insurance coverage • don’t add to deficit • Next • conference committee • House action • Compromise • lower $’s than Senate • partial off-sets
Appropriations • FY02 Supplemental • FY03 Agriculture • FY03 Interior • FY03 VA-HUD • Continuing Resolution • Omnibus Appropriations Bill
Trade • Trade Promotion Authority (TPA) • Textile negotiating objectives • Ag negotiating objectives • Andean Trade Promotion Act • Caribbean and African Trade Act • China TRQ’s and new standards • FTAs • Sound $ Coalition
Crop Insurance • Ross Davidson, new RMA Administrator • Frank Jones, FCIC Board member • House Agriculture subcommittee oversight hearing--September 18 • Issues • improved coverage at better rates • cost of production insurance • prevented planting coverage • double insurance • quality loss adjustment
Environment • FQPA Implementation-partnerships • Endangered Species Act • Crop protection products • EPA and Fish & Wildlife Service • Drift Regulation • TMDL Regulation and Legal Action • Biotech • registrations • international trade
Tax Issues • Extraterritorial Income Exclusion Act of 2000 (Replaced Foreign Sales Corp.) • WTO ruling (1/14/02) • EU retaliation--$4.0 bil/yr. • Repeal and Replace with- • 20 tax provisions to compensate for loss • Boeing, Microsoft, Disney vs. Agriculture • Investor Tax Credits- House/Administration • Small Business Tax cuts - Senate
Flammability • New CPSC Chairman Hal Stratton • Upholstered Furniture • cotton has 50% share of upholstery fabric market • Mattresses • cotton has 42% share of ticking market • Apparel • review products with raised surfaces • Children’s Sleepwear • repeal ‘96 rule modification
Homeland Security Agency • Dodson testimony • APHIS • Border Functions Shift to HSA • Plum Island Shifted to HSA • Other APHIS functions remain at USDA • Chemical facilities security (S.1602)
CONGRESSIONALSCHEDULE • Sept. 3 and 4-returned from Aug. recess • Sept. 6 special joint session NY • Sept. 11 no votes • Sept. 16 Yom Kippur • 11 legislative days to new fiscal year-13 appropriations bills • Oct. 1 FY03 begins • ???? adjourn/recess • Nov. 5 general elections day • ???? Lame Duck Session begins
House 223 Republicans 209 Democrats 1 Independent 2 Vacancies new districts NC, GA, TX, AZ, CA Senate 49 Republicans 50 Democrats 1 Independent cottonbelt races NC,SC, GA, TN, AR, TX, MO, LA “agriculture” SD, MT, IA, MN Elections
Golden Rule #1 “You can get more with a smile, a kind word and a gun, than with a smile and a kind word.” — Al Capone
China • TRQs • allocation • administration • Standards and testing
China • July 9-10 NCC-ACSA-AMCOT • USDA-Commerce-State-USTR-Hill • other organizations • Aug 14 Dunavant-Smith-Booker • USDA and USTR • Aug. 30 NCC staff • House Ag cmte staff re Geneva • Week of Sep. 2 • USTR Geneva consultations
China • Week of Sep. 16 NCC-ACSA-AMCOT • USTR • Week of Sep. 23 • USTR Ambs. Huntsman and Johnson to China • Sep. 25 • comments on standards and testing due • Oct. • Pres. Jiang Zemin to Crawford Ranch
China • Sep. 5 Hood-ACSA-AMCOT- NCC-CI • USDA- AMS and FAS • Sep. 9 NCC-ACSA • USDA Sec. Hawks and AMS Admin. • Sep. 10 NCC-ACSA • USTR • Sep. 25 • standards and testing comments due
