preparation made prior to 5:00 p.m. (PT) on July 8, 2008; and a declaration by the CRP participant that continuation of the operation relies on the availability of CFU. In these cases haying must end by Sept. 30, 2008 and grazing by Oct. 15, 2008.

National Wildlife Federation Challenges USDA’s CRP Crit ical Feed Use Program

View From the Hayloft - Dan Persons, President

Shepherd’s Bulletin

On May 27, 2008 USDA authorized certain acreage enrolled in the CRP to be available for Critical Feed Use (CFU) after the primary nesting season ends for grass-nesting birds. On July 8, 2008 a Federal judge granted a Temporary Restraining Order (TRO) regarding CFU halting access to hay and forage. On July 24, the Court issued a Final Injunction which allows: • CRP participants who

were approved before the July 8, 2008, TRO to immediately proceed with the approved activity provided the haying or grazing must

end by November 10, 2008.

• County offices may now process applications from CRP participants who applied but were not approved before the July 8, 2008, TRO. For these cases, haying must end by September 30, 2008, and grazing must end by October 15, 2008.

• For all other cases, no CFU applications are authorized unless the producer can provide: documentary proof of investment of $4,500 toward haying or grazing equipment or

conference in Hutchinson. The more of you that show up the more fun we can have and the more ideas that can be shared. Make this your social event of the year to visit with your fellow

From the loft these days there is not much to see but plenty of things to occupy the mind. Below me are two very nice rams that are in the newcomers quarantine and one ewe and her lamb that came home from the little

pasture at my mom and dad’s house. She had a nice set of twins in my river pasture and dad’s place was close and safe for her. Make your plans now to attend this years’

MLWP Officers & Directors

• President—Dan Persons 320-986-2336 rafterp@runestone.net

• 1st VP—Don Adelman 952-466-2451

• 2nd VP—Sherry Stirling 651-257-0827

• Secretary—Sheilina Nohner 320-237-3577

• Treasurer—Glenette Sperry 651-257-6735

• Past Presidents -

Jeremy Geske 952-758-7938 Bob Padula 320-269-7973

• NE Dir. - Warner Johnson 651-257-0827

• NW Dir - Karen Stormo 218-776-2223

• SE Dir. - Steve Scheffert 507-835-3951

• SW Dir. - Doug Mathias 507-376-9665

• WC Dir. - Mike Haubrich 320-826-2526

• Metro Dir. & Membership Chair - Patty Anderson 952-447-4184

• Satellite Reps are listed on the web site:

www.mlwp.org

M i n n e s o t a L a m b & W o o l P r o d u c e r s A s s o c i a t i o n

Summer 2008

(cont. on p.2)

(cont. on p.2)

2

producers, learn, relax and kick up your heels a bit. As some of you know the theme for this years’ conference is “Loss Prevention” and a good share of the sessions will revolve around predator control. I hope to have a trapping educator put on a basic session on setting snares and traps for coyote control as well as a healthy session on selection and use of guardian dogs, donkeys and llamas. The sheep producers of this state face losses caused by Coyotes, Wolves, Bear, Cougar and maybe other four legged and winged predators and we need to understand how to deal with them. On our operation we have suffered great losses due to coyotes. In 2007 we lost about 5% of our ewe flock to predators and an untold number of embryos due to the stress the survivors underwent. We also face the most damaging of all predators –

humans who decide to prey on our operations. We all face these predators. They are the people that want to dictate what you can and cannot do on your operation or in your community. They are the ones who will try to tell you that there is no future in this business and that what you are already doing will not work. Just last week we saw these people in action as they put a stop to the haying and grazing of CRP acres that was due to start August 1st. There are many producers that relied on these acres over the years to supply a portion of their forage needs. We need to take a hard look at the organizations that fought to end the haying and grazing and make sure we do not align ourselves with them. A few from the list that we might be familiar with are The Minnesota Project, Sustainable Agriculture Coalition, Environmental Working Group, National Wildlife Federation,

President’s Message - cont.

CRP Emergency Haying/Grazing halted —Cont.

program. The second brief addressed possible remedies that could be taken to consider the positions of the affected farmers and ranchers. The judge did not take into consideration arguments by the American Farm Bureau Federation, National

Cattlemen’s Beef Association and the National Pork Producers Council that acres should be dispersed across the country and many producers had not considered enrolling by the July 8 court orders because the primary nesting season ended later in their states.

In all cases, rent payments will not be reduced but acres hayed or grazed will apply towards future managed haying or grazing. With respect to managed haying and grazing this means that any CFU activity allowed by the Court order will “restart the clock” for future managed haying or grazing, meaning that the activity will restart the cycle for managed haying and grazing and the next such managed haying and grazing cannot occur until the full cycle has been completed from the time of the CFU. If the producer is allowed managed haying and grazing every three years, the next managed haying and grazing cannot occur until 2011.

Prior to the ruling, the American Farm Bureau Federation (AFBF) and other ag groups filed two friend-of-the court briefs on behalf of farmers and ranchers in the case. The first brief provided details from 29 farmers and ranchers on the management decisions and investments they made in preparation to take part in the

MN counties include: Dodge, Faribault, Fillmore, Freeborn,

Houston, Martin, Mower, Nobles, Olmsted, Rock, Steele,

Waseca, Winona

Page 2 Shepherd’s Bulletin

American Farmland Trust and ten other national organizations. I need to offer an apology as due to a two legged predator I will not have the time or energy to pursue work towards securing a better understanding of OPP at this time. I still believe this is the direction our organization should take and hope we will take up the challenge and continue to educate each other on this in the future. I regretfully will not be able to devote the energy at this time. Until next time – keep your pencils sharp and your minds open.

3

The BAA Booth Needs You!

Page 3 Summer 2008

The Kirk and Jill Roe family from Blue Earth, MN has again taken on the responsibilities of organizing the BAA Booth at the Minnesota State Fair.

The BAA Booth needs you to volunteer for working this MLWPA educational booth. All activities and information will be at the booth to make your time easy and fun.

The Baa Booth runs for the first eight days of the Fair only (August 21- August 28)

(please return the information below to the Roe family)

Your Name ____________________________________________________________

Your Mailing Address_______________________________________________________________

City, State, Zip __________________________________________________________

Please enter a current email address _______________________________________

Current Phone Number _________________________________________________

If we need to call you regarding volunteer times, would you prefer daytime or evening? _____________________

Industry Affiliation (farmer, veterinarian, student, 4-H member, FFA member etc.) ___________________

Do you have sheep you want to display or an educational display or demonstration you want to bring? If so, please let us know. Do you have by-products you can bring to the booth? Maybe you can bring wool samples or feed samples. Please let us know below!!!

______________________________________________________________________ ______________________________________________________________________

Please (X) the days and times you can volunteer. Thurs. 8/21 9 a.m. to noon noon to 3 p.m.________ 3 p.m. to 6 p.m. ________ 6 to 8 p.m.

Fri. 8/22 9 a.m. to noon noon to 3 p.m.________ 3 p.m. to 6 p.m. ________ 6 to 8 p.m.

Sat. 8/23 8 to 10 a.m. _ 10 a.m. to noon ____ noon to 3 p.m.____ 3 p.m. to 6 p.m. ____ 6 to 8 p.m.

Sun. 8/24 8 to 10 a.m. 10 a.m. to noon noon to 3 p.m.________ (closes at 3)

Mon. 8/25 9 a.m. to noon noon to 3 p.m.________ 3 p.m. to 6 p.m. ________ 6 to 8 p.m.

Tue. 8/26 9 a.m. to noon noon to 3 p.m.________ 3 p.m. to 6 p.m. ________ 6 to 8 p.m.

Wed. 8/27 9 a.m. to noon noon to 3 p.m.________ 3 p.m. to 6 p.m. ________ 6 to 8 p.m.

Thurs. 8/28 9 a.m. to noon noon to 2 p.m. (closes at 2)

Kirk & Jill Roe - Baa Booth Co-Chairpersons 320 E. 11th Street

Blue Earth, MN 56013-2147 (507) 526 - 5845 Home (507) 526 – 7571 Fax (507) 525 – 0970 Cell kwroe@bevcomm.net

Please return the above completed information to Kirk & Jill Roe:

BY AUGUST 15

Due to the short notice, it may be best to call or e-mail if you can help. Thanks!!!

4

Presidential candidates John McCain and Barack Obama participated in a recent teleconference with agricultural leaders. Their comments on Ag issues are below:

ESTATE TAX

John McCain: “I believe that one of the most onerous or unfair taxes is the estate tax or the death tax. I agree with my friend Jon Kyl who’s worked so hard on this issue that we should have the first $10 million exempt, anything above that taxed at a 15 percent rate. It’s outrageous that you should not be able to pass on to your children and grandchildren the hard-earned fruits of your labor.”

Barack Obama: “I will keep the estate tax at the rate that it is going to be in 2009. It will affect those of individual estates of more than 3.5 million or 7 million for married couples. That’s going to eliminate the estate tax for 99.7 percent of all taxpayers. The truth though is a complete repeal of the estate tax would cost the government $1 trillion over the first 10 years at a time when our country has some huge priorities. To finance that repeal, we’d either have to borrow money or we’d have to raise

taxes on working families who never even benefit from the estate tax or slash a trillion dollars in public services and investment.”

IMMIGRATION

McCain: “We need a temporary worker program associated with tamper-proof biometric documents so that you as an employer will know that person is a temporary worker in the United States and you won’t have to worry about a bogus Social Security card or birth certificate.”

Obama: “My goal in the first year would be to have comprehensive immigration reform done. Without immigrant workers a lot of farms in America would shut down. My commitment to you is that at minimum we would have the AgJobs section of the immigration reform package done hopefully by the first year. We have strong bipartisan consensus on that front. If we are to have a vital agricultural industry, then this has to be resolved; and I intend to resolve it quickly.”

TRADE

McCain: “I believe the American agricultural worker is the most productive and most efficient and one of my jobs is to open every market in the world to your products. As you know, I came back recently from a trip to Colombia. Colombia is the largest importer of American agricultural products in South America and yet the Democrats will not agree to the Colombian Fair Trade Agreement, which actually harms our ability to get more products into those markets, so

I’m a free trader and I believe that we need to get our agricultural products into markets all over the world and it will be a great thing for America not to mention our trade deficit.”

Obama: “We got to have a trade strategy that allows us to do what we do best and allows farmers to do what they do best and that is to get products to market. In order to do that, it is important for us to be tougher negotiators than we have been. There are an awful lot of countries that are shipping products into the United States, but still have restrictive practices. Look at the fight that we had to get into to get beef into South Korea. It’s been dragged kicking and screaming just to get American beef into their markets. We’ve got to have tougher negotiators. I’m a strong believer in free trade.”

ENERGY

McCain: “We have to become independent of foreign oil. We can do that with ethanol. We can do it with nuclear. We can do it with wind. We can do it with tide. We can do it with solar. We can do it with biofuels. It [foreign oil] is the greatest transfer of

McCain, Obama - Remarks on Ag Issues

Continued on p. 16

5

Vote Yes Campaign Underway

Did you know?

By being a member of MLWPA, you can get the ASI Weekly News by email for free?

Just contact ASI for information on getting your email account set up.

info@sheepusa.org

The executive board of the American Sheep Industry Association (ASI) approved a "Vote Yes for American Lamb" campaign to be launched in August in preparation for a national lamb checkoff referendum that is expected in Feb. 2009.

A key part of the campaign is the involvement and collaboration from the state sheep producer organizations and industry affiliate groups as well as individual producers. ASI is asking state associations to formally lend their name to the campaign and to provide volunteers to serve on a committee to operate the activities. Participants are encouraged to contact Peter Orwick, porwick@sheepusa.org, or Mary

Jensen, mary@sheepusa.org, at the ASI office by Aug. 22 if you are interested in assisting with this effort.

A similar campaign and volunteer leader committee was successful in 2005 when the sheep industry approved the referendum with 80% of the votes favoring the program.

"We believe we can affect a successful referendum if we run a campaign similar to the one we ran three years ago," stated Burdell Johnson (N.D.), ASI president. "A key part of the campaign will be to ensure supporters vote in the referendum."

The rule under which the checkoff was approved requires a vote three years after the implementation of the

program and then again at the seven-year mark. 2009 will mark the seventh year since the industry implemented the checkoff program.

The American Lamb Board (ALB) and the U.S. Department of Agriculture's Agricultural Marketing Service are working on the referendum notice and provisions. ASI understands that the rules for this referendum will be the same as they were in 2005.

Under the program rules, the ALB is not allowed to promote a yes vote in the referendum; therefore, it is incumbent on organizations like ASI to promote a yes vote. The ALB will advertise the rules of the referendum and the time frame for the vote.

Eradicate Scrapie in Goats Goat producers and individuals involved in the goat industry-livestock market owners, extension personnel, show coordinators, processors, etc.-are urged to obtain a copy of "Goat Identification: Visual and Electronic," a newly released slide presentation available from the National Institute of Animal Agriculture (NIAA). USDA implemented an accelerated National Scrapie Eradication Program (NSEP) eight years ago, with the goal of helping to eradicate scrapie by the year

2010. To that regard, the USDA has provided funding for this project.

"The first step to eradicating scrapie among the nation's goat herd is to know which animals need an official ear tag or other official identification for interstate and intrastate movement and to tag or officially identify those animals prior to movement," stated Cindy Wolf, DVM, a scrapie expert with the University of Minnesota who leads the nation's Eradicate Scrapie!

charge. "This new slide set covers meat and fiber goats as well as dairy goats." "When you finish watching this slide presentation, you will know which specific goats must be identified with an individual eartag, tattoo or microchip. You'll also be informed about record-keeping requirements, factors that contribute to optimal eartag retention and minimal infection and tissue reaction and how to obtain free official USDA eartags for individual identification."

6

MN Legisla ture Changes Green Acres program The 2008 Minnesota Legislature made several changes to the property tax classification for agricultural land (Minnesota Statutes Section 273.13, Subd. 23) and the Green Acres Program (Minnesota Statute Section 273.111). The changes could result in some properties that are currently enrolled in the Green Acres Program to become ineligible. The Minnesota Department of Agriculture has prepared the summary below which highlights the changes to the property tax classification for agricultural land and the Green Acres Program. This summary was prepared by the Minnesota Department of Agriculture in cooperation with the Minnesota Department of Revenue. Please contact your county assessor if you have questions on how your property may be affected by these changes. Only county assessors can make a determination if parcels are eligible for the agricultural classification or Green Acres. This summary will highlight the changes to the property tax classification for agricultural land and the Green Acres Program in the following areas:

Agricultural Classification *New Look at Classification – Productive and Non-Productive Land *Eligibility Thresholds Created for Parcels Less Than 10 Acres to Receive the Agricultural Classification *Expands the Definition Of “Agricultural Purposes” and “Agricultural Products”

Green Acres *Payback Period on Deferred Taxes Increased from Three to Seven Years In Some Cases *Grandfather Clause Created For Ineligible Land *Methodology For Determining the Agricultural Value for Land in Green Acres *Income Qualifications Eliminated and

Eligible Property *Special Assessments Levied by Watershed District No Longer Deferrable *RIM and CRP No Longer Eligible Changes to the Agricultural Classification New Look at Classification – Productive and Non-Productive Land Under the new legislation, county assessors will now be required to categorize farmland into productive or non-productive acres. Productive acres include land that is tilled, grazed or mowed. Non-productive acres include land not tilled, grazed or mowed. Any rural vacant land that is not used for agricultural production and contiguous to productive land under same ownership would be considered non-productive acres. Non-productive may or may not be homesteaded. Eligibility Thresholds Created for Parcels Less Than 10 Acres to Receive Agricultural Classification The ten acre minimum for the agricultural classification has been retained, but qualifications for parcels less than ten acres have been changed. For parcels less than ten acres to receive the agricultural classification, the land must be used intensively OR exclusively for raising or cultivating agricultural products. Properties of less than ten acres that include a residence may only qualify if it’s used intensively for one of the four purposes: • Used for drying or storage of grain

or storage of machinery or equipment used to support agricultural activities on other parcels of property operated by the same farming operation;

• Used for a nursery and only the acres used to grow nursery stock;

• Used for livestock or poultry confinement (pasturing and grazing alone does not qualify); or

• Used for market farming. Expands the Definition of “Agricultural Purposes” and “Agricultural Products” The definition of “agricultural purposes” has been expanded to include drying or storage of agricultural products for sale, or the storage of machinery or equipment. Drying or storage of agricultural products has to be produced by the same farm operating the drying or storage facility. Also, the machinery or equipment must be used in support of agricultural production by the same farm operation. “Agricultural purposes” has also been expanded to include land enrolled in a similar or federal conservation program to Reinvest In Minnesota (RIM) or the Conservation Reserve Program (CRP), provided the land was classified as agricultural in 2002 or in the year prior to its enrollment. The definition of “agricultural products” now includes short woody crops such as hybrid poplars. Changes to the Green Acres Program Payback Period on Deferred Taxes Increased from Three to Seven years in Some Cases The payback period on back taxes has been increased to seven years for non-productive acres that are sold, transferred or subdivided, after January 2, 2009. For all other property the payback period remains at three years. The following lists the payback period for property enrolled in Green Acres for the 2008 assessment (taxes payable in 2009): • Productive acres that continue to

qualify for Green Acres under new Green Acres eligibility, the payback continues to be three years.

• For the non-productive acres if sold, withdrawn or transferred

7

before January 2, 2009, the payback is three years.

• For non-productive acres that are sold, transferred or subdivided, after January 2, 2009, the payback is seven years.

Grandfather Clause Created for Ineligible Land The new law created a “grandfather clause” which means property that is currently enrolled in Green Acres (enrolled for taxes payable 2009), but no longer qualifies because of the changes in eligibility, may continue to receive Green Acres treatment until a portion is sold, transferred or subdivided, as long as the property continues to meet the Green Acre requirements that are in effect for taxes payable in 2009. Methodology for Determining the Agricultural Value for Land in Green Acres The new legislation requires that the Minnesota Department of Revenue develop a methodology for determining the agricultural value for properties enrolled in the green acres program. The agricultural values will continue to be based on farm land sales in Lyon, Murray, Nobles, Pipestone and Rock County. These five counties have the least non-agricultural influences on their farm land sales. However, county assessors must now determine which lands are productive and non-productive, and then classify the land accordingly. Some non-productive land may no longer be eligible for Green Acres. Land that no longer qualifies as a result of the eligibility requirements may continue to receive Green Acres treatment under the grandfather clause. Income Qualifications Eliminated and Eligible Property The new law eliminates the income requirement as a qualification for Green Acres. It also clarifies the type of corporations and partnerships that are eligible, which are listed below. If you own property that is used

primarily for agricultural use, you may be eligible for Green Acres. The property must: • be at least 10 acres in size or a

nursery or greenhouse; and • be “devoted to the production for

sale of agricultural products”; • be the homestead of the owner; be

farmed in conjunction with the homestead property; or the property must have been in the applicant’s family for at least seven years or is the homestead of an individual that is part of a family farm* or authorized family farm* as defined in Minnesota corporate farm law under Minnesota Statutes Section 500.24, or poultry general partnerships. Type of corporations or partnerships that may be eligible include:

1. All corporations (S and C), limited partnerships, and limited liability companies that meet the “family farm” definition under Minnesota Statutes Section 500.24 and are not poultry.

2. All corporations (S and C), limited partnerships, and limited liability companies that meet the “authorized farm” definition in Minnesota Statutes Section 500.24 and are not poultry.

3. Poultry operations - only general partnerships are eligible, where the majority of partners are related and at least one partner either resides on the land or actively operates the land.

A note about eligibility for nurseries: Eligibility only applies to acres used to produce nursery stock. Fallow ground that is part of a nursery’s crop rotation may not be eligible. Also, nurseries operating under a corporation are still required to derive 80% of their gross receipts from the sale of horticulture or nursery stock. The county assessor may ask for income verification. Special Assessments Levied by Watershed District No Longer Deferrable

Generally, special local assessments are deferred while property is in the Green Acres program. However, special assessments levied by a county or district court under Minnesota Statutes Chapter 116D for public water and sewer projects are not deferred. The new law changes the deferral for special assessments levied by watershed districts under Minnesota Statutes Chapter 103D. For property in the Green Acres program for the 2008 assessment, special assessments levied by a watershed district after May 31, 2008, will not be deferred. For property entering the Green Acres program for the 2009 assessment or later, none of the existing or future watershed special assessments are deferred. RIM and CRP No Longer Eligible Land enrolled in RIM, CRP, and similar programs are no longer eligible for Green Acres. Land in CRP and RIM that was in Green Acres for 2008 will still qualify for Green Acres treatment under the grandfather clause. Questions Please contact your county assessor if you have questions on how your property may be affected by these changes. Only county assessors can make a determination if parcels are eligible for the agricultural classification or Green Acres. * “Family farm” entities are those that have a majority of related individuals and at least one of them resides or actively operates the land. An “authorized farm” is one where you can have no more than five non-related individuals and at least one of them must reside or actively operate the land.

8

EPA Denies RFS Waiver The Environmental Protection Agency (EPA) has denied a bid to relax the federal renewable fuels standard in the gasoline supply for 2008 & 2009, saying that the mandate for more ethanol in gasoline has not had a major effect on food prices. EPA Administrator Stephen Johnson said the agency has found that the renewable fuels standard (RFS), which requires 9 billion gallons of ethanol or other renewable fuels in the nation’s fuel supply in 2008 and 11.1 billion gallons in 2009, is “not causing severe economic harm,” which is one of the criteria for a waiver under the Clean Air Act. At the same time, Johnson said, the mandate is strengthening U.S. energy security. Texas Gov. Rick Perry had requested a waiver of the renewable fuels standard. Perry asked for a 50% waiver of the national volume requirement for the RFS. RFS Implementation will continue as legislated in the Energy Policy Act of 2007, according to EPA. Studies by Texas A&M and Purdue Universities show the requested waiver would have little impact on feed and food prices. The Purdue study tied most of the recent spike in corn prices to higher oil prices, which in turn had caused the demand for ethanol and corn to jump. Trucking Regulation Change A bill (S. 3271) introduced last week by Sen. James Inhofe (R-Okla.) would change trucking regulations affecting farmers. Farmers and ranchers hauling their own products in their own vehicles, many in close proximity to their property, should not be subject to the same regulations intended to

govern full-time commercial drivers. Inhofe’s bill is similar to H.R. 3098 introduced in the House by Reps. Boren (D-OK) and Falllin (R-OK). Advance Disaster Payments Senators Chuck Grassley (R-IA) and John Thune (R-S.D.) have introduced legislation that would authorize the U.S. Agriculture Department to make advance disaster payments to eligible farmers in the calendar year in which the disaster occurs. Under S. 3251, the Agriculture Department would be able to issue advance crop disaster payments of no less than 50 percent of projected final payments. The remainder of the disaster payments would be issued once final crop losses are determined. Ethanol Pipeline Bill Sens. Tom Harkin (D-IA) and Richard Lugar (R-IN) have introduced legislation that would give pipeline owners the same tax benefits for moving ethanol that they receive for transporting petroleum products across the country. The Harkin-Lugar measure would change the tax code to allow Master Limited Partnerships or Publicly Traded Partnerships to earn “qualified” income from the transport, storage or marketing of any renewable fuel liquid approved by EPA. No Lame Duck Session Both the U.S. House and Senate leadership have made statements that they do not intend to hold a lame duck session after the elections in Nov., which has been met with skepticism by many in Washington due to the large amount of work that remains.

Both Speaker of the House Nancy Pelosi (D-CA and Senate Majority Leader Harry Reid (D-N V) have made public statements of their intentions not to hold an end-of-year session before the new Congress and president take office in January. However, it is doubtful that all appropriations bills could be completed by the scheduled September adjournment date, which means a continuing resolution would need to be passed that would allow the government to operate through the first part of next year. Lawmakers will return for a brief period in September after the Republican and Democratic conventions. The House has set a targeted adjournment date of Sept. 26, while the Senate adjournment date has yet to be set. DOE Answers Questions on Ethanol The U.S. Energy Department (DOE) last month responded to questions posed by Sen. Jeff Bingaman (D–N.M.), chairman of the Senate Committee on Energy and Natural Resources, about the impact of biofuel on food and energy prices. That response took the form of a 16-page report in question-and-answer format. Important points from the report are: * During the first four months of 2008, the all food consumer price index (CPI) increased by 4.8 percent, with increased ethanol and biodiesel

Legisla tive Update

9

consumption accounting for only about 4-5 percent of the total increase, while other factors accounted for 95-96 percent of the increase. * From April 2007 to April 2008, in the absence of any growth in biofuel production in the United States, the Energy Department estimates that the International Monetary Fund [IMF] global food commodity price index would have risen by 40.6 percent to 42 percent, as opposed to 45 percent. * Biodiesel use has had a negligible effect on diesel fuel prices since biodiesel fuel production is so small compared to total diesel fuel use. The Energy Department estimates that, if the U.S. had not been blending ethanol into gasoline, gasoline prices would be between 20 cents per gallon to 35 cents per gallon higher. Oppose the Animal Cruelty Bill The Congressional Friends of Animals Caucus held a briefing Wednesday on the Farm Animal Anti-Cruelty Act, H.R. 6202. H.R. 6202 would essentially regulate livestock and poultry production practices in a method similar to the Animal Welfare Act, which exempts animals used for the production of food and fiber. This is another attempt by animal rights activists to tell you how you must care for your livestock. Their ultimate goal is that none of us will be able to raise livestock. Urge your Congressman to oppose this bill. Offshore Drilling Welcomed President Bush’s lifted the executive moratorium on offshore oil drilling that has been in effect since 1990. The move by Bush puts pressure on Congress to lift its ban on offshore

drilling, which would boost domestic oil and gas supplies down the road. Mandatory Price Reporting Returns The USDA re-established and revised Livestock Mandatory Reporting (LMR) program became effective July 15. The rule to once again implement mandatory price reporting of domestic and imported product has been anxiously awaited by the American Sheep Industry . "It is our understanding that implementation of mandatory reporting of lamb purchases and sales prices are at 100 percent," commented Peter Orwick, ASI executive director. "Prices will once again be available from importers who refused to voluntarily submit information during the three-year lapse of statutory authority." Additionally, some domestic companies refused to participate voluntarily so they also had to relearn the system and set up their staff and computers to resume reporting. The statutory authority for the program lapsed on Sept. 30, 2005, and it took the U.S. Congress more than two years to renew the program despite total support of the national sheep, pork and beef organizations. ASI led the development of the initial legislation and rules in 1999 . Gray Wolf Back on Endangered Species List Gray wolves regained endangered-species protections last Friday when a federal judge in Montana granted a preliminary injunction to environmentalists who had challenged the wolves delisting. U.S. District Court Judge Donald W. Molloy issued

a strongly worded 40-page critique of the U.S. Fish and Wildlife Service's decision to delist the gray wolves, calling it arbitrary and capricious. He said the action "demonstrated a possibility of irreparable harm" to the species. The injunction "ensures the species is not imperiled" while the case continues to be litigated. In 1995 and 1996, officials introduced 66 wolves to central Idaho and Yellowstone National Park, aiming to establish a stable population of at least 300 animals. When the wolf was delisted earlier this year, wolves in the northern Rockies numbered 1,513. Wildlife Services officials say the population is increasing by about 24 percent a year and estimate that the population now tops 2,000. The injunction comes just months before planned fall hunts in Montana, Wyoming and Idaho, which have since been canceled. Note: This does not affect Gray Wolves in MN which are still off the endangered species list. Disease Risk from Argentina U.S. Sen. Tim Johnson (S.D.) was successful in leading approval of language in the U.S. Senate Committee on Appropriations regarding a USDA proposal to allow livestock and meat from areas of Argentina. The amendment to the 2009 agriculture spending bill would prevent the USDA from spending any money to implement the plan in Fiscal Year 2009 to open U.S. borders to imports of fresh meat and livestock from Argentina. ASI President Burdell Johnson (N.D.) stated, "This is a good first step to addressing the extreme risk foot and mouth disease (FMD) presents to our livestock herds."

Legisla tive Update - cont.

10

Exception to the Wool LDP The Food, Conservation and Energy Act of 2008 was enacted into law on May 22, 2008. The act authorizes Marketing Assistance Loans (MAL) and Loan Deficiency Payments (LDP) for the 2008 through 2012 crop years on graded and non-graded wool, unshorn pelts and mohair. With the filing on June 5, state and county offices were authorized to accept MAL and LDP requests.

The two weeks between May 22 and June 5 resulted in the need for an exception to the MAL and LDP rules for producers of wool, mohair and unshorn pelts who lost beneficial interest in the 2008 crop before June 5, 2008.

The following three scenarios were identified for Farm Service Agencies (FSA):

• IF a producer filed a 2008 crop CCC-633 EZ, page 1, before the May 23 expiration of the 2002 Farm Bill AND lost beneficial interest between May 24 and June 5, THEN the FSA office will issue the 2008 LDP request based on the rate in effect on the date beneficial interest is considered lost.

• IF a producer did not file a 2008 crop CCC-633 EZ, page 1, before the May 23 expiration of the 2002 Farm Bill AND beneficial interest was lost before June 5, THEN the FSA office will allow the producer to file a CCC-633 EZ AND issue the 2008 crop LDP based on the rate in effect on the date beneficial interest is considered lost.

• IF a producer filed a 2008 crop CCC-633 EZ, page 1 and/or 4,

between May 24 and June 4 AND was denied the LDP request, THEN the FSA office will notify the producer that a new 2008 crop LDP request may be filed AND issue the 2008 LDP based on the rate in effect on the date beneficial interest is considered lost.

"Because wool is one of the few commodities that utilized the loan deficiency program in the spring of the year, it became necessary for FSA to bridge the gap between the expiration of the 2002 Farm Bill and the new Farm Bill in order to continue making these payments," commented Peter Orwick, executive director for the American Sheep Industry Association. "We are pleased that these exceptions offer a continuous program for sheep producers."

U of M Seeking Producers for Anthelmintic Resistance Study in Sheep and Goats The U of MN is doing a research study on anthelmintic (de-wormer) resistance in sheep and goats. They are looking for producers who would be interested in helping with this study.

They are looking for producers with at least 20 adult animals, who are grazing on pasture, and have not been

treated with anthelmintics in the last 50-60 days. The study consists of the fecal egg count reduction test (FECRT) using the standard anthelmintic protocol (drug, dose, route, etc) used on the farm. The ideal sample size is 15-25 adult animals. The first sample is taken at the time of the de-worming, and then the second is 10-14 days later. There are no additional costs associated with the study (just the use of anthelmintic) and the results of both sets of fecals are provided to the producer.

Locations within two hours of St Paul would be ideal, but longer distances could be considered if there

are several farms which could be visited in a single trip.

Interested producers should contact Brenda Postels at:

(763) 682-7381 or

post0060@umn.edu

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AFBF launches ‘Conversations on Animal Care’ init ia tive

To address consumer concerns about the care provided to farm animals in the production of meat, milk and eggs, the American Farm Bureau Federation (AFBF) has launched the Conversations on Animal Care initiative. Conversations on Animal Care is a comprehensive effort that supports farmers and ranchers who are eager to engage consumers in a positive dialogue about animal care. The initiative helps livestock producers share positive and personal insights on the care they provide farm animals.

“The initiative puts the faces of farmers and ranchers on our nation’s livestock care issues as they demonstrate that the animals they care

for produce safe, healthy food for Americans,” said AFBF Public Relations Director Don Lipton.

A major component of the Conversations on Animal Care initiative is a training program that teaches producers to share their stories effectively, help them find an audience and amplify their message of dedicated care of livestock. During two days of training, participants hone skills in sharing their personal stories with local audiences, the media and in one-on-one opportunities. They also learn of the important role on-line tools play in communicating to consumers. Research continues to show that farmers and ranchers, along with

veterinarians, are the most credible spokespeople on animal care issues.

Participating farmers and ranchers represent a wide variety of animal agriculture segments including equine, beef, dairy, poultry and pork. AFBF, working with professionals from Osborn & Barr Communications, has trained teams of farmers and ranchers from Alabama, California, Illinois, Indiana, Kansas, Michigan, Missouri, Nebraska, Oklahoma and Tennessee, to date.

Visit: www.ConversationsonCare.com - the Conversations on Animal Care web site, to find out more information and read spokesperson testimonials.

“Living on the Land - An EXPO for Rural Proper ty Owners”

“Living on the Land…. An EXPO for Rural Property Owners” will be held on Saturday, September 6th at the Scott County Fairgrounds in Jordan, MN. The EXPO will include exciting seminars on issues related to living on small acreages including livestock, crop production, season extension, zoning rules and many other topics. In addition, there will be vendors showcasing products, programs, and equipment designed for acreage

owners. A special feature will be the “Aisle of Breeds” featuring livestock suited to small farms and acreages. The EXPO is organized by The University of Minnesota Extension. The expo will be open from 8:30 a.m. to 4:30 p.m. with seminars starting at 9:30 a.m. and concluding at 4:00 p.m. Vendors will be available throughout the day. Concessions will be provided all day by the 4-H clubs.

Anyone interested in being a

vendor or sponsor should contact Tana Haugen-Brown at the Sherburne County Extension Office at 763-241-2720 or thbrown@umn.edu. Questions on attending can also be directed to Tana Haugen-Brown.

For more information, contact Laura T. Kieser at:

(952) 466-5306 or (952) 492-5386

New Livestock Auction to Open According to various recent newspaper articles, Central Livestock Association (former owner of the closed South St. Paul Stockyards) will open a livestock market near Pine City, MN, in July 2008. Plans are for sales to be held twice a month in the

summer and weekly sales by fall. Cattle, sheep, hogs and goats will be traded.

The stockyards will be located at Heidelberger Equipment Sales, three miles west of I35 and MN 70 in southern Pine County.

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What Is Af fecting Corn Prices - Terry Francl, AFBF Economist

There has been an ongoing campaign to undo the regulation and legislation currently providing support to the ethanol industry in the United States. A consortium of associations led by the Grocery Manufactures of America (GMA) has hired a well know advertising agency to accomplish four key objectives. reverse the renewable fuel standard, eliminate the ethanol blender tax credit, eliminate all state mandates for ethanol and lift the ethanol tariff and promote cheaper Brazilian ethanol imports.

The main strategy of these efforts is simple and straight forward – to convince the public and Congress that ethanol is primarily, if not entirely, responsible for increasing food prices.

Let’s look at the facts:

Over the past three years, weather-related factors have reduced U.S. corn production about 1.5 billion bushels. This development alone has increased corn prices by $1.00 per bushel and perhaps as much as $2.00 per bushel.

Another factor is the upsurge in world economic growth led by China and India. China and India together account for approximately 1/3 of the world’s population and their economies have been growing at near, or above, double digit rates for the past five years. This has in turn led to a huge upsurge in the demand for all commodities including energy, metals and food.

Demand for the major crops in the world – coarse grains (mainly corn in the U.S.), oilseeds, rice and wheat – has outstripped production for most of the past decade. This fall in stocks is a

combination of demand and production shortfalls around the world such as a devastating two-year drought that reduced Australian wheat production by 50%. These trends were well in place long before ethanol became a market factor. Changes in various countries’ farm programs reduced or eliminated government storage programs, increasing the reliance on the market place to hold grain and oilseed reserves. The move to just-in-time inventory management to reduce inventory cost is also a factor.

Another factor has been the declining value of the U.S. dollar. This makes U.S. commodities more price competitive and serves to spur exports (which increases demand).

Then there is the much discussed impact of the various commodity type funds on the markets. For example, it has been reported that the index funds has grown twenty fold in five years, from $12 billion to $260 billion. While only a portion of that amount has been allocated to the agricultural commodities, it is still a significant amount. How much impact these monies are actually having on the various commodities is the subject of ongoing discussions and debates.

Finally, there is the impact of the increased demand for corn from ethanol. Four of the five research papers cited in the ethanol impact study estimate that ethanol is responsible for about 10—20% of the increased price of corn.

All the above factors change simultaneously so it is literally impossible to isolate and precisely

measure the impact of any one factor compared to the other multiple factors at any one point in time. That begs the question of what is going on and which factors account for the increase in corn prices. Consequently, this author will attempt to make a subjective evaluation of the above research and develop a range of potential impacts for each of the factors that have been discussed.

Issue Potential impact ($/bu)

Weather reduces US yield $1-2.00

Higher world demand $.50-1.00

Declining world stock $.50-1.00

Weak US Dollar $.25-.75

Commodity funds $.25-.75

Ethanol production $.50-1.00

Total increase $3.00-6.50

Summary: The critics of ethanol have pursued a long, arduous and expensive campaign to convince the public and Congress that ethanol has caused corn prices to rise precipitously, implying that this is also the cause of higher food prices. Considering the half dozen factors that have lead to higher corn prices, ethanol probably only accounts for about 20% +/- of the increase.

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Heat Stress - Dr. Larry Goelz, Pipestone Vet Clinic High temperatures in combination with high humidity will cause heat stress in animals just like in people. In addition to causing sheep to be uncomfortable, high temperature causes an increase in the amount of maintenance energy required to keep the animal cool. This added to the

decrease in appetite that sheep experience in warm weather causes significant decreases in average daily gain and feed efficiency. During warm weather pastured ewes will decrease their grass intake and alter their grazing patterns. When temperatures increase above 70 degrees sheep will begin to graze more in late evening, night and early morning. During the warm times of the day sheep will spend their time in the shade. Sheep have little in the way of natural defenses against heat stress or exhaustion. The most effective area for heat transfer is the belly and inguinal (beween the rear legs) area. This area contains less dense wool and is rich in blood vessels. When sheep are experiencing heat stress they will often lie on an area of shaded ground which is cool to the touch. Evaporative cooling will occur by rapid breathing,

however, as the humidity increases cooling by this method becomes less effective.

Heat stroke and heat exhaustion do not occur frequently in sheep if they are allowed to naturally find shade and lie quietly during the warm part of the day. Moving, showing and transporting sheep may cause an episode of heat stroke or heat exhaustion. Clinical signs include rapid breathing, unable to stand and an elevated rectal temperature. If their temperature is over 105 degrees it is critical to get the sheep in a shaded area and cool the animal with rubbing alcohol applied to the area between the rear legs. If the rectal temperature rises above 107 degrees cellular degeneration occurs with death of the sheep following. Temperatures above 90 degrees

Fahrenheit have been shown to have a detrimental affect on ram fertility. High temperatures cause sperm cell degeneration and death. It is important to shear the scrotum and belly of rams at this time of year to allow them to better cope with the warm temperatures. Furthermore, a breeding soundness exam prior to ram turnout will allow the shepherd to know his rams have live sperm and is good

insurance against a breeding disaster. Heat stress has been implicated as a cause of early embryonic death in ruminants. During hot summer months shepherds need to be conscious of the heat index and plan all activities such as transporting, deworming, vaccinating, etc. during the cool part of the day. This will be less stressful on the sheep and the shepherd a well. Shaded pastures are a definite benefit. If no shade is available inexpensive shade can be constructed from plans available at your county extension office. Availability of clean fresh drinking water is critical since the amount of water lost at high temperatures is much higher than when it is cool. Fans are beneficial if sheep are confined to a barn with little air movement. If sheep are transported, such as to shows, open the trailer vents as much as possible and park the trailer in the shade whenever possible. Generally summer sheep shows should be scheduled during morning or evening. Never spray a sheep with cold water to attempt to cool them. While this practice is beneficial for most animals, if the wool gets wet, air will not pass over the skin and virtually no cooling will occur.

Have a sheep health question you want

answered? Submit it to jgeske@fbmn.org

Don’t miss the 2008 MLWP Conference in Hutchinson!

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FSA ANNOUNCES 2008 DCP SIGN-UP

Grant program will boost sta te’s l ivestock industry

The Minnesota Department of Agriculture (MDA) is now accepting applications for the Livestock Investment Grant Program, a new program to help support the state’s livestock industry. Livestock producers can apply for the funding to help offset the costs of improving or expanding their operations.

Qualifying producers would be reimbursed ten percent of the first $500,000 of investment, with a minimum investment of $4,000. Qualifying expenditures include the purchase, construction, or improvement of buildings or facilities for the production of livestock, and the purchase of fencing as well as feeding

and waste management equipment. Improvements made since January 1, 2008 are eligible for consideration.

MDA Commissioner Gene Hugoson says the livestock investment grants will give the state’s livestock producers a boost to help them compete in the global marketplace.

“Many of our livestock producers have considered making investments in their operations and this grant program will provide some incentive for them to proceed,” said Hugoson. “Minnesota is in the top ten states in livestock production and to remain competitive we need to ensure farmers are able to make investments that will

help them not only maintain and but also enhance their operations.”

Qualified grant applications will be awarded competitively through an evaluation committee. The grant will not pay for the cost of purchasing livestock or the cost of debt refinancing. Applications must be postmarked by September 15, 2008.

More information about the Livestock Investment Grant Program can be found on the MDA website at www.mda.state.mn.us/livestockinvestmentgrant.com.

Editor’s note: Funds are limited, so get your applications in soon. Be thorough on your application!

Minnesota Farm Service Agency State Executive Director Perry Aasness announced that enrollment for the 2008 Direct and Counter-cyclical Program (DCP) runs from June 25, 2008 to September 30, 2008.

The 2008 DCP direct payment rates are: corn, $0.28 per bushel; soybeans, $0.44 per bushel; wheat, $0.52 per bushel; barley, $0.24 per bushel. Producers may request a 22 percent advance payment to be paid by September 30, 2008, with the remainder to be paid after October 1st.

DCP 2008 will be administered exactly like the 2007 DCP with the following exception, farms that have 10 base acres or less shall not receive direct or counter-cyclical payments unless that farm is wholly owned by socially disadvantaged or limited resource farmers or ranchers.

For FSA, a socially disadvantaged farmer or rancher is a farmer or rancher who is a member of a group whose members have been subjected to racial, ethnic, or gender prejudice because of their identity as members of a group without regard to their individual qualities.

A limited resource farmer or rancher is a farmer or rancher who meets both of the following: directly or indirectly has gross farm sales not more than $100,000 in both of the previous 2 years (the limit is increased annually beginning in 2004 to adjust for inflation using the Prices Paid by Farmer Index compiled by NASS); has a total household income at or below the national poverty level for a family of 4, or less than 50 percent of county median household income in both of the previous 2 years (to be determined

annually using Commerce Department Data).

DCP provides payments to eligible producers on farms enrolled for the 2008 crop year. There are two types of DCP payments - direct payments and counter-cyclical payments. Counter-cyclical payments under this program are only made when market prices fall below established target prices for each commodity. Both payments are computed using the base acres and payment yields established for the farm. DCP was re-authorized by the 2008 Farm Bill.

For more information about DCP and other FSA programs, visit:

www.fsa.usda.gov/mn or www.fsa.usda.gov

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The following members have recently paid MLWP dues—Thanks! Roger/Rose Bauer, 20500 Harlow Ave. Jordan, MN 55352, 952-492-3163 Richard Benda, 85162 - 580th Ave Jackson, MN 56143, 507-847-4037, Dorset, Il De France Jill Berg, 72599-220th ST, Albert Lea, MN.56007—507-373-278, jberg@doskmedia.com, Black Corridale Roger Coomes, 23592 Lime Valley Road, Mankato, MN 56001, 507-625-9279, rcoom@hickorytech.net, DorperX Jim/Mary Degiovanni, 12822 Co Rd 51, St. Joseph, MN 56374, 320-363-7723, jm@dancingbearscompany.com, Icelandic Duane/Kim Douvier, 44207 - 95th Ave. Rice, MN 56357, 320-393-4991, Douviers@Aol.com., Dorset, Finn John/Bernie Dvorak, 4325 Farwell Ave, Webster, MN 55088, 952-652-2402, bjdvorak81@hotmail.com, Dorset, Hamp, Montadale John/Julie Essame, 6352 - 208th Ave., Belview, MN 56214,507-925-4415,Essame@rconnect.com, Siremax Composite Thomas/Michelle Hogg, 2374 70th St. SW. Montrose, MN 55363, 763-658-3105, wanabea@msn.com, Merino, Pygora Goats Mary Kretzachmar, 9790 ST 76, Caledonia, MN 55921, 507-896-0427, mklambs@acegroup.com, BF & Eng. Leicester, ColumbiaX Floyd Lee, 1838 - 371 Ave. Montevideo, MN 56265, 320-769-2057, Commercial Nick/Marilyn Luhman, 35730 Co 4 Blvd, Goodhue, MN 55027, 651-923-4284, nmluhman@yahoo.com, Columbia, commercial Robert McColloh, 1104-55th Ave SE, St. Cloud, MN 56304, 320-253-4009, ROBERTMCCOLLOH@msn.com, Icelandic, Shetland Ralph Molnau DVM, 13950 Hwy 5, Norwood-Young America, MN 55387, 952-442-4200, Rmolnau@aol.com Rebecca Pelfrey, 10503 N.- 117th Street, Stillwater, MN 55082, 651-275-1703, rebpdfrey@msn.com, Montadale, Suffolk Bets (Elizabeth) Reedy, 21727 Randall Dr., Houston, MN 55943, Bramble Hill, 507-864-7585, bramble@acegroup.cc, Clun Forest Wayne/Debbie Rupp, 37551 290th Street, Westbrook, MN 56183, 507-445-3317, ruppw@rrcnet.org, Suffolk, Polypay Greg/Marilyn Ulthoven, 1885 CO Hwy R, Magnolia, MN 56158, 507-283-9610, gregu@luvernefarmstore.com, Dorset, Polypay Philip/Lorraine Vold, 2281 - 450TH Street, Clarkfield, MN 56223, 320-383-2307, Suffolk Richard/Rosie Warzecha, 13291 Galaxy Rd. Royalton, MN 56373, 320-584-8383, rwarzech@hotmail.com, Columbia, Dorset Rod/Vonda Williams, 10745 Ulrich Ave, Dundee, MN 56131, 507-468-2700, rvwilliams@centurytel.net, Polypay St. Peter Woolen Mill (Associate) c/o Pat Johnson Was incorrectly listed as “Friend” in the last issue.

MLWP Youth Program Grows - Sheil ina Nohner, Youth Coordinator

Correction: The MLWP Directory only lists our youth membership at 3; however, that reflects only those youth who paid separate memberships because their family was not a member. In fact MLWP has over 50 youth members (21 and under) who have expressed an interest in being more involved in association activities.

The Minnesota Lamb and Wool Producers Junior Association is gearing up for the start of their first executive board. We have currently 15 members on the executive board with the first meeting being held within the

next 6 weeks.

The MLWPJA would also like to recognize Kirby Schmidt as a new Lambassador. Kirby helps his family run a 150 head Polypay flock by Marshall, MN. He is active in FFA and is serving as a region officer. He is excited to serve as a Lambassador and can’t wait to get involved more.

If you are interested in getting youth under the age of 21 involved with MLWPJA, please contact Sheilina Nohner, youth coordinator at 320-237-3577 or sheilinanohner@yahoo.com.

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We’re on the web!

www.mlwp.org

Calendar of Events 2008

Aug. 15-17 MN State Hampshire Show Fairmont, MN Aug. 15-17 MN State Dorset Show Fairmont, MN Aug. 16 Garlic Fest Bus Tour—Holly Neaton Farm Howard Lake, MN Aug. 21 Pasture Walk Proctor, MN Aug 21-Sep 1 MN State Fair St. Paul, MN Aug. 22 MN State Fair 4-H Sheep Show St. Paul, MN Aug. 22 MN 4-H Meat Goat show St. Paul, MN Aug. 30-31 MN FFA Sheep Show St. Paul, MN Aug. 30 MN FFA Meat Goat Show St. Paul, MN Sep. 5-7 Wisconsin Sheep & Wool Festival Jefferson, WI Sep. 6 Living on the Land EXPO Jordan, MN Sep. 19 Newell Ram Sale Newell, SD Sep. 27 SD Wool Growers state meeting Lead, SD Oct. 12-13 ND Lamb & Wool Producers state meeting Mandan, ND Oct. 25 Northstar Bred Ewe Sale Pipestone, MN Nov. 29 MN Bred Ewe & Doe Sale Rochester, MN Dec. 5-6 MN Lamb & Wool annual conference Hutchinson, MN 2009 Jan. 21-24 ASI Annual Convention San Diego, CA Feb. 6-7 Lambing Time Short Course Pipestone, MN If you have a calendar item or news releases that you would like included, please send information to: Jeremy Geske 407 Horizon Dr. SE New Prague, MN 56071 jgeske@fbmn.org

wealth in the history of this country; $700 billion every year is going overseas. I know how to fix our energy problems and that’s through the thing I call the Lexington Project which will be a mission that the United States must embark on in order to become energy independent.”

Obama: “I am going to be moving forward as one of my top three priorities an aggressive approach to energy that includes addressing the problem of climate change. In order to do that we’re going to have to cap the emission of greenhouse gases, and we are going to have to then make sure then that the marketplace is coming up with innovations and strategies in partnership with the federal government. Part of the $15 billion I am [proposing] investing is designed to make sure that we are reducing our carbon footprint. I’m going to need the help of the agricultural community in figuring out how we can do that most effectively. That’s part of the reason for example for the need to really energetically develop a cellulosic ethanol industry that has a smaller carbon footprint.

McCain/Obama - cont.