DELEGATE DEBATE, speakers, and numerous mini-seminars await those who attend the Illinois Farm Bureau annual meeting Dec. 4-7. ..................................2
THIS E15 LABEL has been offered by Illinois Farm Bureau as an alternative to the Federal Trade Commission’s much more inflammatory “CAUTION” label. ...........3
DAIRY CONSUMPTION is increasing, in part because of promotional efforts funded by the dairy checkoff established about 25 years ago. .........................................4
Monday, November 22, 2010
Two sections Volume 38, No. 47
Shimkus: Lame duck tax relief is crucial BY MARTIN ROSS FarmWeek
Periodicals: Time Valued
It’s a “weird time” in Congress, U.S. Rep. John Shimkus notes, as lawmakers move into lame duck debate, a flock of freshmen move onto the Hill, and Shimkus and others race to move “death tax” and related reforms. With Bush-era tax relief measures nearing Dec. 31 expiration, Farm Bureau is urging Congress to consider a $5 million per-person estate tax exemption and a 35 percent tax rate. On Jan. 1, the tax will return at a pre-2002 $1 million exemption and a 55 percent rate, unless lawmakers intervene. In a letter to Congress last week, 39 groups led by the American Family Business Institute and Americans for Tax Reform recommended extending the current one-year repeal of the estate tax as part of efforts to head off January tax increases. President Obama has indicated he would be open to tax break extensions even for those in the $250,000-plus income class he previously targeted. But although Senate Majority Whip Dick Durbin said he “preferred it be resolved this year,” the Springfield Democrat questions whether bipartisan compromise
can be reached during the lame duck session. Shimkus, a Collinsville Republican, supports a one- to
FarmWeekNow.com Listen to comments from U.S. Rep. John Shimkus on estate taxes at FarmWeekNow.com.
two-year extension of the Bush-era tax measures, with the estate tax left dormant in the interim. In an RFD Radio/FarmWeek interview, he stressed a timely tax compromise is key to rural farm families and businesses. “Extension of the Bush tax cuts is more than just an income tax rate reduction,” Shimkus said. “It’s the ‘death tax,’ it’s capital gains, it’s dividends, it’s the child tax credit, it’s the marriage penalty (reduction). “The only thing that’s newsworthy, unfortunately, is the $250,000-and-above rate. That
‘higher-income’ rate is the business rate for a lot of these small businesses.” He argued farmers and businesses across his district are “angry as heck” at the prospect of a returning estate tax, particularly at a $1 million threshold. In Shimkus’ view, estate tax liability amounts to “triple taxation,” along with income and capital gains tax exposure: “How many times are you going to tax the same revenue stream?” Shimkus also opposes capital gains taxation “period,” but is uncertain whether colleagues have the will to adjust capital gains rates. He does anticipate hearty 2011 debate over strategies for “getting our fiscal house in order” and dealing with an estimated $13.5 trillion debt. “Maybe this is the time to talk about a fairer, flatter, simpler (federal) tax code,” Shimkus suggested.
U of I Extension moving forward with reorganization Ag programs in transition BY KAY SHIPMAN FarmWeek
Farmers still may call University of Illinois Extension educators with questions, but they’ll find the reorganized Extension operates differently, Bob Hoeft, the U of I’s interim associate dean for Extension and outreach, told the Illinois Farm Bureau board Friday. “This is a change — no doubt about it Bob Hoeft — but I’m convinced from a commercial ag (standpoint) this system will work better,” Hoeft said. He gave board members an update on the reorganization and
answered questions about the changes. Several questions were raised about the relocation of Extension crop and livestock educators to six U of I research stations and how the information network will work. Hoeft used an example of a farmer with an unidentified crop problem as an illustration. “If something is out there you can’t identify, we will ask you to call in, describe the symptoms and what is happening out there, and to get a digital photo (of the problem). If we can’t identify it that way, then we will make sure we get someone (to the field) to identify it,” Hoeft explained to the board. However, more Extension information will be dispensed on a regional or statewide basis, Hoeft said in a prepared statement. Technology is pro-
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viding Extension more options to distribute information through blogs, online courses, and the U of I’s distance-diagnostics system, he added. Hoeft in his prepared remarks said reasons for the changes were today’s farmers are better educated and seek information online and from other universities, and more certified crop advisers and consultants are making farm visits. Given the budget cuts in Illinois and other states, “it no longer makes sense for every university (in the land-grant system) to hire full-time faculty or educators in every subspecialty,” Hoeft said. Extension crop and livestock educators also will conduct their own applied research projects at the research centers, Hoeft told board members. “One quarter to half of their time will be (spent) on
applied research,” he said. As of last week, Extension had not determined the main office location within four of 26 multi-county groups, Hoeft said. The U of I will not release the locations until decisions statewide are finalized, he added. The IFB board raised concerns about the filling of open positions in multi-county groups and local funding for the Extension groups. Hoeft reported 24 county See Extension, page 2
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