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NATIONAL COUNCIL OF FARMER COOPERATIVES
Washington Update
Chuck ConnerNovember 2017
NATIONAL COUNCIL OF FARMER COOPERATIVES
NATIONAL COUNCIL OF FARMER COOPERATIVES
NATIONAL COUNCIL OF FARMER COOPERATIVES
NATIONAL COUNCIL OF FARMER COOPERATIVES
Followers of Trump’s social media accounts
18.8
32.4
22.4
4.37
■ Twitter @POTUS ■ Twitter @realDonaldTrump ■ Facebook ■ YouTube ■ Instagram
In millions, as of June 17, 2017
• President Trump has made it clear that he sees Twitter as a way of circumventing the “fake media” when he feels his opinion isn’t getting across
• While many of the followers of his various accounts overlap, CNN estimates his total social media audience is approximately 60 million individuals
NATIONAL COUNCIL OF FARMER COOPERATIVES
What’s the most important factor in writing the new farm bill?
The President has also been non-traditional in selecting his
high-level Administration officials
NATIONAL COUNCIL OF FARMER COOPERATIVES
Trump’s cabinet has less government experience than previous administrations
Source: Brendan Coffey, Brandon Kochkodin and Yvette Romero, “Trump’s $6 billion cabinet: mostly men, mostly white, and not much government experience,” Bloomberg, December 15,2016.
President Male White Government experience Former generals Billionaires
George W. Bush
83% 74% 96% 4% 0%
Barack Obama
65% 52% 87% 4% 0%
Donald Trump*
76% 82% 41% 12% 12%
Comparison of recent presidents’ first cabinetsAs of Dec. 15th, 2016, subject to change pending confirmation
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Source: Drew Desilver, “Trump’s Cabinet will be one of the most business-heavy in U.S. history,” Pew Research, January 19, 2017.
Percentage of total cabinet members without public-sector experience
33%
20%
7%
0%
7%
31%
0%
18% 17% 17%
10%
30%
0%
20% 20% 20% 20%
10% 11% 11%
38%
13% 13% 13%
0% 0% 0%
14%
0%
5%
10%
15%
20%
25%
30%
35%
40%
■ Republicans ■ Democrats
President Trump’s Cabinet has significant business experience
NATIONAL COUNCIL OF FARMER COOPERATIVES
In Congress, Republicans do control both
chambers. However, GOP leaders in each
face unique challenges to moving their
agenda forward.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Freedom CaucusProgressive Caucus
Far left and far right hold considerable sway over their respective parties in the House
House makeup by caucus membershipHouse Republican Conference 239
Freedom Caucus 30*
Tuesday Group 50*
House Democratic Caucus 193
Blue Dog Coalition 17
Progressive Caucus 70
Vacancies 3
*Estimated caucus size; rosters have not been finalized and published for the 115th Congress. The House Freedom Caucus does not publish its member list.Sources: National Journal Research, 2017.
Mainstream RepublicansMainstream Democrats
Tuesday Group (Mod. Rep.)Blue Dog Coalition (Cons. Dem.)
Vacancies
70
1061750
30
159
Whip stats • Republicans hold a 46-seat lead• A majority requires 217 votes (if
all members cast a ballot)• If Republicans lose all Freedom
Caucus votes, they require 7 centrist Democratic votes to form a majority
In the Senate, GOP leaders have a narrow majority and are well short of the 60 votes needed to invoke cloture
■ Democrats ■ Republicans ■ Independents
Control of the 115th Senate (2016-2018)
Republican Senate Majority
46-2-52
10
NATIONAL COUNCIL OF FARMER COOPERATIVES
In a time of disruption and polarization, if progress on a range of issues is going to be made, we need to reinforce relationships with key allies and spur grassroots engagement to enlarge our coalition.
Implications for Agriculture and Farmer Co-ops
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Ag’s Team
NATIONAL COUNCIL OF FARMER COOPERATIVES
Top Issues for NCFC in 2017/2018
• Tax reform• Preparations for the 2018 Farm Bill
• Immigration reform• Trade policy
• GMO disclosure implementation• Pension
NATIONAL COUNCIL OF FARMER COOPERATIVES
Tax Reform
NATIONAL COUNCIL OF FARMER COOPERATIVES
Current Status
• House Ways & Means expected to release bill language later today; markup slated for next week.
• Senate bill could be released as early as late next week.
• As with any major overhaul of the tax code, the bills stand to impact different sectors and different states in dramatically different ways.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Concerns for Farmer Co-ops
• Section 199 deduction.
• Section 199 deduction.
• Section 199 deduction.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Key NCFC Messages on Section 199
• Tax reform should recognize the unique structure of farmer cooperatives and their unique relationship with
• Tax reform should not raises taxes on farmers across the country—which repeal of Section 199 would do.
• Farmers have been told that tax reform will give them more money in their pockets to invest in rural America. A tax bill that does the opposite is unacceptable.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Some State Impacts of Section 199
State Total DPAD Value
Illinois $41,241,056
Iowa $67,121,336
Kansas $26,416,837
Minnesota $131,145,613
Nebraska $60,290,156
North Dakota $72,459,816
South Dakota $79,904,534
Wisconsin $65,274,664
NATIONAL COUNCIL OF FARMER COOPERATIVES
What YOU Can Do
• Call your members of Congress—both the House and Senate—to deliver this simple message:
• “Ending Section 199 for agriculture will raise taxes for farmers and ranchers in our state. This provision has worked as intended and has helped boost the rural economy. We need tax reform that puts more money into rural communities, not less.”
• US Capitol Switchboard: 202-224-3121
NATIONAL COUNCIL OF FARMER COOPERATIVES
Some Good News – On The Pension Front
• New bill would ease funding requirements for rural cooperative “multiple-employer” pension plans.
• H.R. 3596, Rightsizing Pension Premiums Act of 2017, led by Representatives Mike Kelly (R-PA) and Ron Kind (D-WI) will adjust PBGC premiums to better reflect the low risk of these plans.
• More than 400 farmer cooperatives across the country today participate, as well as for other small employers that sponsor their own defined-benefit pension plans.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Immigration Reform
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Current Status – Addressing Agriculture’s Issues
• House Judiciary Committee last week marked up and approved a bill providing a guest worker program for agriculture—a major accomplishment!
• While the bill does have many provisions of concern to producers, getting a bill out of committee is an important step in this process.
• Senate will wait for House to move first.
• Despite rhetoric on enforcement, administration sympathetic to ag’sneeds.
• Sec. Perdue publicly stated resolving our workforce issues is a top priority for him.
NATIONAL COUNCIL OF FARMER COOPERATIVES
Key Messages to Congress
• Farmers, ranchers and growers across the country and across the country are facing a critical shortage of the skilled workers needed to harvest their crops or care for their animals.
• The Agricultural Workforce Coalition continues to push for a legislative solution to this problem that addresses both the current and future labor needs of agriculture.
• We oppose making the E-verify program mandatory for agricultural employers unless it is coupled with a solution that addresses agriculture’s labor needs.
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88.8%Farm Bill
NATIONAL COUNCIL OF FARMER COOPERATIVES
The amount of money the ag committees will have to work with, and what programs that money is
currently in.
What’s the most important factor in writing the next farm bill?
NATIONAL COUNCIL OF FARMER COOPERATIVES
Several Current Commodity Programs Need Fixes (some
minor, some significant) to Ensure a Broad Safety Net
• Dairy
• Cotton
• ARC County
NATIONAL COUNCIL OF FARMER COOPERATIVES
• Fewer than 50 House districts are majority ag.
• An urban-rural coalition—of agriculture, nutrition advocates and conservation groups—has been instrumental in passing the farm bill.
• Do not see a way to passage without a coalition this time.
The Farm Bill Coalition
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NCFC Priorities
• Crop Insurance
• Trade
• Timing
• Fixing what needs to be fixed in Title 1
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Trade
NATIONAL COUNCIL OF FARMER COOPERATIVES
“A Trump/Pence presidency will negotiate better trade deals for our manufacturing
sector while continuing to protect and defend our vital agricultural export
markets.”
What do NAFTA (and possibly KORUS) renegotiations hold for ag?
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NATIONAL COUNCIL OF FARMER COOPERATIVES
Agriculture has an ally in Secretary Perdue
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GMO Labeling
NATIONAL COUNCIL OF FARMER COOPERATIVES
Any Questions?
Than
k You
!