Nebraska Corn Board restructuring plan debated

A bill to restructure the Nebraska Corn Board came up for first round debate Tuesday in the Nebraska legislature.   But LB354, which would give the corn checkoff board more autonomy by making it a quasi-state agency, met with strong opposition from one state senator—Omaha’s Ernie Chambers.

Chambers voiced several objections and questioned why the board, if it desires to be independent, wants to continue using the state Department of Agriculture to collect and enforce the checkoff.

“There are people who want to have this dedicated money not under the control of the state–but they want the state to be the bag person, the collector, the hammer, the muscle,” Chambers said. “They want the government to be the ones who say, ‘Give me this money—and if you don’t, you’re committing a crime’.  And this money will wind up in the coffers of a private operation.”

Agriculture Committee chair Ken Schilz, a cattle feeder and farmer from Ogallala, defended the bill, saying it would simply give the Corn Board more flexibility in its operations.

“Through the privatization of the board itself, we’ve been able to give them flexibility in their hiring, firing, and benefits and wage practices—as well as giving them other flexibility when it comes to how they operate that,” said Schilz. “It doesn’t necessarily give them any more flexibility in how they spend their money.  They still have to spend it through the statutes.”

The bill also calls for Corn Board directors to be elected rather than appointed by the governor and includes a refund provision, which is not part of the current corn checkoff.

The legislature adjourned for the day without taking action on the bill.

Nebraska farmers rarin’ to go

The outlook for the 2013 corn crop in Nebraska is much brighter these days, thanks to good precipitation in recent weeks.   Now it’s a matter of getting that crop in the ground.

Speaking with Brownfield on Wednesday, Nebraska Corn Board executive director Don Hutchens says it just needs to warm up.

“I think the ground temperature today is running in the low 40’s—and so it’s going to have to warm up,” says Hutchens. “But once the farmers get in the fields, it can happen very quickly.”

In 2012, Hutchens says, Nebraska farmers planted 70 percent of the corn crop in a three-week period.

“So if you look at what we planted last year—70 percent of that crop in three weeks—we literally can plant the whole corn crop in four weeks, if need be.”

The March planting intentions report showed Nebraska farmers will plant 9.9 million acres of corn this year, down one percent from last year.

AUDIO: Don Hutchens (1:38 MP3)

Nebraska Farm Bureau supports corn checkoff bill

Legislation that would make changes to Nebraska’s corn checkoff program is working its way through the Nebraska legislature.

Nebraska Farm Bureau’s vice president of governmental affairs, Jay Rempe, says they support the bill, LB354.

“The bill would kind of create a quasi-public/state agency, if you will, for the Corn Board—give them a little more flexibility to do some things,” Rempe says.  “It would allow for the election of board members and it would be a mandatory checkoff with a right of refund—and we’re certainly supportive of all those things.

“We had some discussions about the lobbying activities on the part of the checkoff, but we’ve reached a compromise on that—and we’re fully supportive of the measure now.”

Under that compromise, the corn checkoff board would be prohibited from lobbying on state legislation and engaging in political activities.  Additionally, Rempe says, the Corn Board could not publicly take a position on federal legislation or regulations, but would be allowed to share information, research or other materials with federal officials concerning market development, product utilization or foreign trade issues.

Nebraska Farm Bureau policy opposes the use of checkoff funds for lobbying.

Helping Nebraska be more competitive in livestock development

The executive director of the Nebraska Corn Board, Don Hutchens, wants to see more growth in the state’s livestock industry.

Nebraska has a strong reputation in the cattle business, but Hutchens thinks the state should also be more aggressive in recruiting and developing other livestock enterprises, including poultry, dairy, swine and eggs.

In a recent interview with Brownfield, Hutchens talked about what he sees as current obstacles to livestock growth in the state.  He also comments on the state of the ethanol industry and the impact of high corn prices on livestock producers.

AUDIO: Don Hutchens (6:19 MP3)

Nebraska Corn Board develops ag literacy program

The Nebraska Corn Board has developed an innovative new ag literacy project.

The board will provide free iPads to 20 schools across the state.  The iPads will be loaded with web sites and apps that will help teachers do a better job of educating students about agriculture.

But as Kim Clark of the Corn Board explains, it doesn’t end there.

“Twice a year, for any of the schools and classrooms that are the recipient of the iPad, we’ll go in and spend about a half-hour or 45 minutes, doing some teaching in the classroom with students,” Clark says, “and then we’ll use the iPad—the technology in the iPad, different web sites and apps—to do the teaching.”

Those schools or classrooms will also receive a monthly newsletter from the Corn Board updating them on agricultural education activities.

AUDIO: Kim Clark (3:47 MP3)

Funds to purchase the iPads come from a five-thousand dollar grant from DuPont Pioneer, which has been matched by the Corn Board.  Kerry Hoffschneider with DuPont Pioneer’s Western Business Unit says they’re proud to support ag literacy efforts like these.

“Students are on iPads, they’re on their phones, they’re on social networking—and so the iPad project is just one way that they can gain some information, not just about seed, but about all aspects of agriculture,” says Hoffschneider.

AUDIO: Kerry Hoffschneider (:46 MP3)

Nebraska schools will be able to apply to receive an iPad for their school or classroom starting January 1st.  More information on the project and the application process can be found on the Nebraska Corn Board web site.

Nebraska Corn Board warns of ag export ‘drought’

The vice-chairman of the Nebraska Corn Board warns that an ag export “drought” may be looming due to Congress’ failure to pass a new farm bill.

Farmer Curt Friesen of Henderson says the loss of Foreign Market Development (FMD) funding, which ended on October 1st, has already forced the U.S. Grain Council to indefinitely postpone three trade missions—one each focusing on corn, sorghum and barley.

And, Friesen says, unless Congress acts in the lame duck session, Market Access Program (MAP) funding will end on December 31st.

“Those two funds help in our export markets,” Friesen says. “We have offices overseas that are funded by these programs, along with matching dollars from the different commodity organizations.

“We work on any questions or problems that may arise—they help us with new products like distillers grains—and help us build those relationships that we need in order to export our products.”

Friesen says trade missions are critically important for reaching out to foreign customers.

“When we go overseas, customers like to meet the people that actually raise their commodities that they’re purchasing,” he says. “They want to ask you questions.  They want to talk to you about how you’ve raised it—what your farm is like—the quality issues they can talk to you about.

“They feel a lot more comfortable purchasing our products when they can meet the people that actually raised it.”

The Nebraska Corn Board has sent a letter to Nebraska’s Congressional delegation and House Ag Committee chair Frank Lucas urging quick passage of the farm bill and reinstatement of those market development programs.

Nebraska’s first E15 pump is open

A Lexington gas station is the first fuel outlet in Nebraska to offer E15 to its customers.

The blend of 15 percent ethanol and 85 percent regular gasoline is being sold at Uncle Neal’s Phillips 66 of Lexington. 

Owner Neal Hoff recently installed new blender pumps and worked with the Nebraska Corn Board and the Renewable Fuels Association to meet all of the requirements for selling E15. 

E15 is approved for use in 2001 and newer vehicles.

Nebraska Corn Board elects new officers

A St. Paul farmer is the new chairman of the Nebraska Corn Board.

Tim Scheer was elected chairman at the Corn Board’s recent meeting in Kearney.

Curt Friesen of Henderson was elected vice chairman and David Merrill of St. Edward is the new secretary/treasurer.

Hearings held on Nebraska checkoff bills

The Nebraska Unicameral’s Agriculture Committee held a public hearing Tuesday on bills that would raise Nebraska’s wheat and corn checkoffs.

LB 1057 would increase the corn checkoff from its current one-quarter of one cent per bushel rate to one-half of one cent per bushel—and it would allow for incremental increases of one-tenth of one cent in the future.

LB905 would change the structure of the wheat checkoff, from a per bushel rate to a percentage of market value.  Currently one-and-one-quarter cents per bushel, the rate would become one-half of one percent of market value under that legislation.

Several farmers testified in favor of the checkoff changes. They pointed out that the checkoff rates have not changed in more than 20 years and that Nebraska’s checkoff rates are among the lowest in the nation.

Nebraska Farm Bureau president Steve Nelson said his organization also supports the bills, but reiterated Farm Bureau’s desire to see a refund provision added to the checkoffs in the future.

Testifying against the legislation was Nebraska Farmers Union president John Hansen.  He said Farmers Union feels the checkoff increases are, in his words, “too much, too fast.”

The Nebraska Department of Agriculture, in a letter to the committee, expressed its concerns with provisions of the bill related to future checkoff increases.  The department wants to ensure that future requests for increase continue to be subject to approval by the governor.  The sponsor the bills, Ag Committee chair Tom Carlson, indicated that he would modify the legislation to address the Ag Department’s concerns.

Prior to the hearing, Brownfield asked Nebraska Corn Board chair Alan Tiemann of Seward what additional checkoff funds would be used for.

“Obviously, we’d like to spend a lot of those dollars right here in the state, defending animal agriculture, doing research at the University of Nebraska, working on Innovation Campus.  We’re really excited about the possibilities there,” Tiemann says.

“Also, working with our national cooperators—the U.S. Grains Council, U.S. Meat Export Federation and National Corn Growers Association—and all the value that they bring back to the state is just phenomenal.”

AUDIO: Alan Tiemann (2:06 MP3)

Wheat acres have declined dramatically in Nebraska in recent years.  Wheat Board chair Larry Flohr of Chappell says they would like to reverse—or at least halt—that slide.

“The need for supplying the protein for all the people that are supposed to be here by 2050—nine billion people in the world—wheat’s going to be an important part of that and research is going to be vitally necessary to meet the growing demand,” Flohr says. 

“So we’re hopeful that, through this process and over a period of time, we’re going to stabilize our wheat production in the state and perhaps turn it around and be more competitive with the higher yielding crops, such as corn and soybeans.”

AUDIO: Larry Flohr (5:00 MP3)

The Agriculture Committee did not take any action on the bills on Tuesday.

Nebraska wraps up distillers research initiative

A three-year distillers grains research initiative conducted by the University of Nebraska—and funded by the Nebraska Corn Board—has officially wrapped up.

According to Kelly Brunkhorst of the Corn Board, the initiative resulted in a number of important breakthroughs when it comes to feeding distillers grains—a co-product of the ethanol process—to cattle.

“We now have a much better understanding of higher inclusion rates of distillers grains, sometimes up above 60 to 70 percent—and with that came some concerns,” Brunkhorst says, “and the university did a great job of addressing those concerns—specifically sulfur—and was able to understand that we could possibly increase the sulfur rate compared to some earlier research that was conducted.”

Even though this initiative has ended, the Nebraska Corn Board continues to fund distillers grains research.  Brunkhorst says one area being explored is how the feed value of distillers is impacted by the extraction of corn oil—a practice being adopted by more and more ethanol producers.

“That creates an unknown as to what that feeding value really is for distillers grains in the future,” he says. “So we continue to work with the university on that issue—and we’ll hopefully have some results over the next year or two on having a better understanding of how ‘de-oiled’ or ‘lesser-oiled’ distillers grains will work in feedlot and range diets.”

Brunkhorst says the ability of the Nebraska Corn Board to fund additional research is limited by what is available via the state’s corn checkoff–which he points out is the lowest of all leading corn states in the U.S. 

Nebraska’s current corn checkoff rate of one-quarter of a cent per bushel was set in 1988.

AUDIO: Kelly Brunkhorst (3:29 MP3)