ARA: Managing Plenty Of Issues

Capitol Building

The American public voiced their concern with the state of the economy in the Fall 2010 elections, which resulted in a significant swing in political power. Of note, Republicans will have the majority in the House of Representatives, which means that committee chairmanships will change in the 112th Congress, which begins in 2011.

This change and growing national concern with the economy will shape the 2011 federal agenda. The Agricultural Retailers Association (ARA) anticipates legislative and regulatory action on a number of major issue areas important to retailers and distributors of crop inputs, transportation, environment, chemical security and tax issues.

Transportation

Last year, the U.S. Department of Transportation (DOT) limited the agriculture hours of service (HOS) exemption from being applicable to all farm inputs from distribution to the farm to only anhydrous ammonia transportation. The HOS exemption allows agricultural truckers to avoid time limitations within a 100 air mile radius during planting and harvest seasons, as defined by each state. The House Transportation and Infrastructure Committee Chairman John Mica (R-FL) is a strong proponent of the exemption, unlike the previous committee chairman, Rep. Jim Oberstar (D-MN). ARA is working with Congress on the upcoming Highway Bill to ensure that the exemption’s statutory language is clarified so that movement of all farm inputs will fall under the exemption. ARA also plans to advocate for extending the limitation on distance from 100 to 150 air miles.

In 2011, Congress will also consider reauthorizing the Hazardous Materials Transportation Act (HMTA). ARA supports federal preemption of hazardous materials law so that the legal requirements for carriers do not vary between geographic regions. Within the HMTA reauthorization, ARA will also advocate for streamlined credentialing, the elimination of duplicative background checks and decreased overlap in federal regulation requirements between agencies.

This year, ARA expects the DOT to finalize a 2010 proposal to incorporate two special permits important to the industry into the regulations. The special permits, SP 13554 and SP 10950, allow for the authorization to transport nurse tanks securely mounted on field trucks and authorization for nurse tanks with missing or illegible dataplates to continue to be used in anhydrous ammonia service under specified conditions. ARA supports the incorporation of these special permits into the regulations because it will save agricultural retailers from filing applications and renewals with the DOT, allow for retailers to avoid a DOT fitness determination for access to the provisions, and provide certainty for regulatory compliance with regard to nurse tank capital investment.

ARA plans to continue working with the DOT to address problems in the Hazardous Materials Safety Permit and the implementation of the Comprehensive Safety Analysis.

Environment

In 2011, there will be no shortage of environmental legislative and regulatory issues. This month, EPA is expected to release the final general National Pollutant Discharge Elimination System (NPDES) permit for pesticide applications in, above or near water. The permit is the result of a 2009 appeals court case which struck down an EPA rule that exempted FIFRA-compliant pesticide applications from Clean Water Act Requirements (CWA). The permits will be enforced beginning in April. ARA has worked with EPA to support the development of a NPDES permitting system that will have limited impact on terrestrial pesticide applications. ARA is working with Congress to ensure FIFRA-compliant pesticide applications are not subject to the CWA requirements.

EPA expects to finalize its Pesticide Drift Labeling registration notice later in the year. ARA opposes ambiguous label language like, “could cause harm.” Further, EPA should recognize that some level of de minimus spray drift exists, even when best management practices are used. EPA also plans to move forward with evaluating the idea of Pesticide Web-Distributed Labeling, which would remove labels from pesticide containers and make pesticide labels available only on the Internet. ARA believes having access to labels on the Web may be useful to some users, but there are many technical issues to resolve, not the least of which is that high-speed Internet is not readily accessible for many farmers. ARA also has serious concerns regarding liability.

Activists groups have launched an attack on the agriculture industry, and nutrient issues are increasing in response to the attacks. ARA participates in the Agriculture Nutrient Policy Council (ANPC) to combat the attacks on fertilizer use. EPA plans to use its work in restricting nutrient runoff in Florida and the Chesapeake Bay to institute water quality standards across the U.S. ARA and ANPC are supportive of the adoption of conservation practices and technologies based on sound science and economic reasoning. The power to implement any pollution diet should remain within state control.

Clean Air Act (CAA) issues, like carbon dioxide emissions and dust regulation, will be a concern in 2011. ARA is fighting EPA’s draft proposals to increase dust regulation to unattainable levels in the West. While climate change legislation is unlikely in the 112th Congress, EPA is rolling out its CAA regulation of carbon dioxide in 2011. ARA continues to legislatively fight the EPA’s regulation of greenhouse gasses through the CAA.

Chemical Security

In 2010, Congress passed legislation that would temporarily reauthorize the Chemical Facility Anti-Terrorism Standards (CFATS). ARA supports a permanent authorization of the CFATS program, but opposes efforts to include an inherently safer technology (IST) mandate, third-party enforcement provisions and weakening of federal preemption in the legislation. In 2011, ARA is optimistic that it will be more desirable to the new Congress to pass a straight reauthorization of the CFATS program for an additional three to five years than to add more CFATS requirements. ARA continues to work closely with the Department of Homeland Security on the implementation of CFATS and the new ammonium nitrate registration regulations.

Taxes

The 2001 and 2003 tax cuts were set to expire at the end of 2010. Further, the estate tax was set to snap back to tax all estates valued over $1 million at a 55% rate in 2011. In December, Congress visited these tax issues, along with an unemployment benefits extension. ARA has advocated for a full repeal of the estate tax, while settling for a maximum rate of 35% on estates over $5 million per spouse, as well as supporting the permanent extension of the 2001 and 2003 tax cuts. If Congress fails to act by January 1, it is foreseeable that the new Congress will take favorable action early in 2011.

ARA led the effort to secure the Agricultural Chemical Security Tax Credit in the 2008 Farm Bill. Ag retailers, manufacturers, formulators, distributors and aerial applicators storing specified ag chemicals are eligible for a 30% tax credit of aggregate amount to $100,000 per facility, limited to $2 million a year per company. The tax credit will expire with the 2012 Farm Bill. ARA looks forward to extend the tax credit beyond 2012, but expects a tough fight due to budgetary concerns.

Topics:

Leave a Reply

Legislation Stories

Pipe rack
LegislationCourt Sides With Ag Retailers On PSM
September 23, 2016
The D.C. Court of Appeals has ruled the Occupational Safety and Health Administration violated the Occupational Safety and Health Act when Read More
Soybean Plant closeup
LegislationOhio Soybean Association Names Pat Tiberi Legislator Of The Year
August 3, 2016
The Ohio Soybean Association (OSA) has announced that Congressman Pat Tiberi (R-OH) has been named one of two Legislators of Read More
Soybean Field
LegislationOhio Soybean Association Names Brian Hill Legislator Of The Year
July 19, 2016
The Ohio Soybean Association (OSA) has announced that State Representative Brian Hill (R-Zanesville) has been named one of two Legislators of Read More
Grower Truck at retailer
CropLife 100ARA Seeks Comment on Ag Driver Sleep Apnea Issue
July 5, 2016
The U.S. Department of Transportation’s (DOT) Federal Motor Carrier Safety Administration (FMCSA) and Federal Railroad Administration (FRA) are seeking public Read More
Trending Articles
Precision AgTrimble Debuts End-to-End FMIS Platform
November 28, 2016
October’s inaugural PrecisionAg Vision Conference left this author with many thoughts and things to ponder in the coming months. Probably Read More
CHS Primeland
CropLife 100The 2016 CropLife 100 Report: Reviewing The Many Bulls And Bears Impacting This Year’s Marketplace
November 28, 2016
For virtually all of 2016, the nation was wholly focused on the big Presidential election. Some folks aligned themselves with Read More
Monsanto sign
Crop InputsMissouri Governor Meets With Bayer CEO To Discuss Monsanto Merger
November 21, 2016
Missouri Gov. Jay Nixon visited Bayer AG global headquarters in Leverkusen, Germany, on November 18 to discuss the proposed Bayer-Monsanto Read More
STS16 2017
SprayersHagie Manufacturing Releases 2017 STS16 Sprayer To Market
November 16, 2016
Hagie Manufacturing LLC’s largest full season applicator is now available with enhancements for the 2017 model year. Hagie is officially Read More
Wilco
CropLife 100Valley Agronomics, Wilco-Winfield To Form New Agronomy Joint Venture
November 11, 2016
Valley Agronomics LLC, headquartered in Rupert, ID, is a joint venture between Valley Wide Cooperative and Winfield Solutions, LLC. Wilco-Winfield, Read More
FertilizerThe Fertilizer Institute Issues Statement On The U.S. Elections
November 10, 2016
The Fertilizer Institute (TFI) President Chris Jahn has issued the following statement on the results of the 2016 elections: “TFI Read More
Latest News
ManagementCorn and soy planting update; Takeaways from Climate Co…
December 2, 2016
AgriBusiness Global Editor Dave Frabotta Joins Paul Schrimpf for a discussion of global corn and soybean planting trends, and a Read More
Radish cover crop taproot
Crop InputsSoil Health Institute, Datu Research Receive Grant To E…
December 1, 2016
The Soil Health Institute (SHI) and Datu Research has announced a $626,000 grant from the Walton Family Foundation to quantify Read More
Mike Stern
Precision AgClimate Corp. CEO Talks Retailer Support For Digital Ag
December 1, 2016
CropLife Magazine’s sister publication, AgriBusiness Global, recently sat down with Mike Stern, CEO of The Climate Corp., following the Monsanto subsidiary’s Read More
ManagementAg Industry Comes Together To Address Climate Change
December 1, 2016
Addressing climate change — and more specifically, decreasing greenhouse gas emissions from agriculture — can only be achieved through collective Read More
Young soybean field
HerbicidesLiquid Formulation Valor EZ Herbicide Available For 201…
December 1, 2016
Valent U.S.A. Corp. has released Valor EZ; a liquid formulation of the company’s leading herbicide, Valor. Named Valor EZ Herbicide Read More
Key Cooperative Marcus Construction Steel Building
ManagementThe Value Of Cooperatives In Modern Agriculture
December 1, 2016
Editor’s Note: Jaxon Mullinnix of  Lone Tree, IA, was recently named the Iowa state winner of the 2017 GROWMARK essay Read More
AGCO Operator of the Year Tony Kornder
SprayersAGCO Names Tony Kornder Operator Of The Year
December 1, 2016
AGCO Corp. names Tony Kornder with Genesis Growing Solutions in Le Sueur, MN, the 11th annual Operator of the Year. Read More
Chris Henney OABA
ManagementOABA Industry Conference To Provide Outlook For Future …
November 29, 2016
The upcoming Ohio AgriBusiness Association Industry Conference is packed with widely-respected speakers and industry professionals, sharing their expertise on a Read More
Corn
InsecticidesMajor Review Finds Neonic Poses Low Risk To Aquatic Inv…
November 28, 2016
A major new ecotoxicological review and risk assessment has been published in the peer-reviewed literature and concluded that registered crop Read More
EquipmentGSI Details New Grain Drying Efficiency System for Coop…
November 28, 2016
Grain elevators and ag co-ops are always looking for ways to increase their energy efficiency to help improve profitability. For Read More
Precision AgTrimble Debuts End-to-End FMIS Platform
November 28, 2016
October’s inaugural PrecisionAg Vision Conference left this author with many thoughts and things to ponder in the coming months. Probably Read More
AGCO AgControl system
Precision AgPrecision Ag Technology: Rate Control For The Times
November 28, 2016
It’s not surprising that the need for more economical, effective application is driving the demand for the latest rate controllers Read More
ARA
Eric SfiligojTaking The Industry’s Pulse At ARA
November 28, 2016
When most of you read this particular column, many of the industry’s key folks will probably be spending at least Read More
CHS Primeland
CropLife 100The 2016 CropLife 100 Report: Reviewing The Many Bulls …
November 28, 2016
For virtually all of 2016, the nation was wholly focused on the big Presidential election. Some folks aligned themselves with Read More
FertilizerNutrient Management, Conservation Among Topics Covered …
November 23, 2016
Certified crop advisers, consultants, farmers, agribusiness professionals and students will learn more about nutrient management, soil and water conservation, pest Read More
Monsanto sign
Crop InputsMissouri Governor Meets With Bayer CEO To Discuss Monsa…
November 21, 2016
Missouri Gov. Jay Nixon visited Bayer AG global headquarters in Leverkusen, Germany, on November 18 to discuss the proposed Bayer-Monsanto Read More
Arysta LifeScience
Crop InputsArysta LifeScience Forms Alliance With Beem Biologics
November 21, 2016
As part of its recently announced strategy to become a leader in high-value, high-growth specialty market segments in the crop Read More
DuPont sign
Crop InputsDuPont To End Pension Contribution For Active Employees
November 18, 2016
DuPont will no longer contribute to active employees’ pension plans, a move that will affect the retirement of 13,000 workers, Read More