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NCBA Wants to Double Beef Checkoff Tax

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Beef News
NCBA looks to double Beef Checkoff fee

By Lindsey Klingele on 2/11/2008 for Meatingplace.com




The National Cattlemen's Beef Association proposed to increase the Beef Checkoff fee from $1 per head to $2 at the association's annual convention in Reno, Nev.

Cattlemen at the meeting asked NCBA to propose to Congress a process that will allow them to vote on enhancements to the checkoff program. The motion has to be approved by Congress and voted on by the U.S. cattle industry in order to go into effect. These actions will delay the proposed checkoff increase until at least 2010.

The checkoff fee has remained at $1 per head since 1986, and currently raises more than $80 million a year to fund advertising initiatives such as the "Beef. It's What's For Dinner" campaign.

"Twenty-plus years of inflation have really eroded the Beef Checkoff's ability to fulfill all the expectations we have placed on it over the years," said NCBA President John Queen.

Although NCBA did not request a specific increase in the checkoff fee to put to Congress at the meeting, NCBA Policy Division Chairman Bill Donald said that the general consensus for an increase amount was $2 per head.
 
I think the better way to do this would be to tie the checkoff somehow to a percentage of cattle prices to actually give them an incentive to heighten demand. Maybe some kind of annual average.

We could be giving them $10 per head and still might not get our money's worth if the results aren't tied to raising beef demand and perceptions. :lol:
 
I will oppose it unless they guarantee to use 50% of the increase to promote "USA BEEF- born, raised, and slaughtered"....

Its about time we forget about stuffing the pocket book of the elitist importers, big packers, and foreign investors- and put some money back into promoting products/business's/producers of the USA....
 
Mike said:
I think the better way to do this would be to tie the checkoff somehow to a percentage of cattle prices to actually give them an incentive to heighten demand. Maybe some kind of annual average.

We could be giving them $10 per head and still might not get our money's worth if the results aren't tied to raising beef demand and perceptions. :lol:

Mike, that would be holding NCBA/CBB accountable...we can't have that...their good intentions should be enough to let them get their hands in our back pocket!!!!
 
If you're not spending $1 right, it's foolish to give them more. The CBB telling our customers to eat 3 oz. of lean beef does more harm than good. Why would we give them the resources to tell more people that?
 
Doesn't everyone feel better knowing that NCBA is getting together to solve all our problems. And the solution, like the Dems when they get elected, RAISE TAXES so they have more money to tell us what a good job they are doing for us!!!!!!!! Of course, facts to the contrary....
 
I had these sent to me... The actual policy proposals...I think with the way the checkoff is collected on imports at the ports- this money could easily be set into promoting only generic beef or for research on generic beef projects- and that way not violate any trade acts...Altho the importers and all the foreign countries will probably grumble and raise a stink...Time to tell them whar the bear sh*ts in the woods- and start promoting the USA first !!!

Wheras the beef checkoff is a self help program developed by producers and for their benefit and

Whereas producer investment in the checkoff has helped improve beef demand through the program's first 20 years by funding important promotion, research and education projects and

Whereas two decades of inflation have cut into the amount of funding the checkoff can provide for these essential programs and

Whereas a 2006 producer survey conducted by USDA confirmed 72% of producers approved the Check off Program.

Therefore be it resolved NCBA and affiliated states cattlemen's arganizations support the following modifications to the Beef Checkoff Program.

1. Revise the beef referendum process to provide producers the opportunity, at regular time intervals, to petition for a referendum on continuing the Beef Checkoff Program. Ten percent of producers nationwide signing the petition at USDA designated local sites will trigger the USDA to conduct a vote within a year.

2 Establish a similar process to provide beef producers the oppurtunity for a referendum on increasing the Beef Checkoff. Ten percent of the producers nationwide singing the petition at USDA disignated local sites will trigger the USDA to conduct a vote to increase the Checkoff Rate.

3. Any reference to the charter date of an established national non profit industry governed organization should be eliminated.

4. Increase the Beef Checkoff assessment rate to $2 for the purpose of adiquately funding an effective beef demand building program. Ensure a referendum is held so all producers have an opportunity to vote on the increase.


Beef Check off Promotion U.S. Beef Directive

Whereas, Survey results have shown 81% of producers surveyed believe Beef Checkoff Dollars should be used to promote U.S. born and raised beef, and

Whereas knowing such promotions would no longer require importers to pay an assesment equivalent to $1 per head, 42% of the 81% still prefer using Beef Checkoff dollars to promote U.S. born and raised beef and

Whereas support for modifying the Act and Order to allow Beef Checkoff dollars to promote U.S. born and raised beef rest in state affiliated organization's policies,

Therefore be it Directed NCBA investigate and report back to the Ag policy committee no later than June 1 2008 any and all import-trade agreement deciciencies that could occur by modifying the Act and Order to allow Beef Checkoff dollars to be used for U.S. born and raised beef promotion

Be it further directed Ncba report back to the Ag policy Committee no later than June 1 2008 a vaiety of Beef Checkoff Act and Order amendment options, allowing for the Checkoff funded US beef promotion programs which would alleviate all discovered import trade agreement deficiencies

Be it further directed that Ncba strongly consider options that wuld ensure continuation of importer payment of the Beef Checkoff.
 
"Wheras the beef checkoff is a self help program developed by producers and for their benefit and "


They need to write that on the wall to guide them in their decision making. That statement alone calls for exclusively promoting US product.
 
Whereas producer investment in the checkoff has helped improve beef demand through the program's first 20 years by funding important promotion, research and education projects and...

When you look at the beef industry ALONE, yes it has grown slightly...we do have record production with respect to the history of the beef industry ALONE...
But when put into the context of the entire protein complex, the beef industry has not kept pace with population growth and has lost market share in the growing protein complex to poultry...which has doubled its share in the first 20 years of the check-off!!!!!
I DON'T LIKE BEING LIED TO!!!!!!!!!!!!!!!!!!!!!!!!!!
 
A couple of other things that might need to be looked at....

1. There is no authority and the act and order specifically prohibits funds from being expended on programs which include deceptive acts or practices with respect to the quality, value or use of competing products.

2. There is no authority and the act and order which authorizes the expenditure of funds to be used to promote or research programs, methods or technologies which primarily relate to live cattle production or marketing.

Ben, I did my homework assignment.
 
How come the NCBA gets to vote on raising the check-off? I thought the check-off was not run by the NCBA. :mad:
 
ranch hand said:
How come the NCBA gets to vote on raising the check-off? I thought the check-off was not run by the NCBA. :mad:

Actually all their vote does is allow/have the NCBA leadership support and promote getting Congress to change the checkoff....Its my understanding that it will still take a vote of all the Checkoff payers to make any change to the law or the amount...
 
ranch hand said:
So anyone can ask to lower the check-off to 10 cents then? :lol: hmmmm

If you got the right number of bought off Congressmen in your pocket- probably could :wink: :(
 
Oldtimer said:
I will oppose it unless they guarantee to use 50% of the increase to promote "USA BEEF- born, raised, and slaughtered"....

Its about time we forget about stuffing the pocket book of the elitist importers, big packers, and foreign investors- and put some money back into promoting products/business's/producers of the USA....

Let's see some proof this is happening, OT. You R-Laffers love to jab fingers and make accusations that aren't true. Wanna know how I know? Our local CattleWomen group donates our fuel, mileage, and time to work at the Beef Council booth during MATE...in fact we did it on Thursday,
Valentine's Day. A few years ago, someone (I won't mention names) came up to the booth right after MATE opened up - 10:00 AM and waggled his finger in my face and told me he just knew his checkoff dollars were paying for us to be there at the booth. Knowing R-laffers cannot be swayed I just looked at him and said we donate our mileage to get here and our time to stay here.
 
When you're advertising the multi-national's product (commodity mystery meat), how can it not help them, Hanta? Isn't the purpose behind advertising to increase sales and thus profits?
 
Sandhusker Quote;When you're advertising the multi-national's product (commodity mystery meat), how can it not help them.

It's all about profits, The cheaper it is the greater the margin in the importer's pocket.

Ditto Oldtimer;Its about time we forget about stuffing the pocket book of the elitist importers, big packers, and foreign investors !!!!!

All US rancher's are at risk of cheap imported meats because of monetary exchanges $$$$$.
 
Hanta will still be backslapping the "good old boys" down at the NCBA waterhole- when the boatloads of cattle/beef from FMD countries like Argentina and Brazil start flooding the market- and repeating the chant "NCBA said this will be good for us"....... :roll: :wink: :(

And Hanta- I can tell you personally witnessed horror stories of NCBA folks following the Beefmobile around- telling people- look what "our" (NCBA) checkoff is doing for you- while they are trying to recruit NCBA membership...About make a guy want to puke...
 
The USDA also forecasts a 4.9 pound (retail weight) per capita decline in U.S. beef consumption from 2007 to 2017, with a 1.3 pound per capita decline during 2008. These estimates reflect tight beef supplies going forward, and also indicate that a supply constraint was used in USDA's export forecast.

These foregin exporters got cheap beef to send to high value country's (US)at the local rancher's diemise.
 

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