The Kansas
Agribusiness
Update
Spring Issue
Coming Events
July 11- KSU Field Days Manhattan 12
SAVE THE
DATE
NOVEMBER 15-16, 2017 | WICHITA
1314
Manhattan
AUGUST 4
KANSAS AGRI BUSINESS EXPO
www.ksabe.org | Shari Bennett, Expo Manager - (785) 234-0464
KSU Field Days
910 2122
CCA Exam
Salina Register at certifiedcropadviser.org, May 1-June 23
Kansas Applicator Institute Hutchinson
Annual Meeting & Golf Hilton Garden Inn, Manhattan To make a hotel reservation call: (785) 532-9116. Be sure to ask for the KARA room block. The room rate is $108.00.
Board of Directors
Kevin Brady Chairman
Clark Pearson Vice Chairman
Dave Wilcox
O.J. Pearl
Kevin Dieckmann Jon Ingebretson Jim Grilliot
Kevin Tomka
Lance Nelson Second Vice Chairman
Dave Spears
Brian Bucl
Roger Long
Mark Wegner
Mike Shirley Immediate Past Chairman
Justin Foss
Tim Giesick
Dustin Kuntz
Troy Coon
Scott Morris
Johnny Schaben
Scott Boyd
Bill Garner
Tom Tunnell President & CEO
Staff
Samantha Tenpenny Director of Member Services
Ron Seeber Senior Vice President of Government Affairs
Devon Stewart Marketing and Communications Specialist
Staci Storey Vice President and Chief Financial Officer
Lisa Anschutz Senior Director of Internal Operations
Randy Stookey Vice President and General Counsel
Mitzi Dodds Executive Administrative Professional
Shari Bennett Vice President of Event Planning
816 SW Tyler, Topeka, KS 66612 | (785) 234 - 0461 | www.ksagretailers.org
Membership & Training Crop Production Update Brings Agronomists to Junction City Update Your Membership Profile Online
Did you move or take a new job? Have a new phone number or email address? KARA wants to know, and we’ve made it easier than ever to update your membership profile. Visit www.ksagretailers.org and click on Member Directory. Then, enter your login information and make your changes directly online. Forgot your username or password? Email lisa@kansasag.org, and we’ll get it to you.
Become a CCA
Do you work with producers on their crop production decisions? Are you actively involved in agronomic agriculture? Certification programs from the American Society of Agronomy and Soil Science Society of America are the benchmark of professionalism. Farmers and employers prefer to work with Certified Crop Advisers (CCA) because CCAs have demonstrated they have the commitment, education, expertise, and experience to make a difference. To learn more, please email samantha@kansasag.org. For those interested in taking the next exam to be held August 4 in Salina, registration will open May 1 at www.certifiedcropadvisor.org and close June 23. As in the past, KARA will offer study materials/ binders covering both local and international exam material. If you have questions about the exam or interest in ordering a copy of the study material, please contact Samantha Tenpenny at samantha@ kansasag.org today!
KARA Welcomes New Members
Thanks to the reputation of our membership and industry, KARA continues to grow and provide useful products and services for agribusinesses in Kansas. Please welcome BASYS Processing, Lenexa to KARA.
Nearly 100 agronomists and Certified Crop Advisers gathered in Junction City on January 5-6 to hear the latest research and technological advances in the crop production industry. Attendees of this comprehensive workshop gained more than just continuing education hours. Offered in cooperation with KSU Research and Extension, the 2017 CPU covered the latest in weed and insect control, fertilizer and chemical recommendations, soil fertility concerns and much more. A special thanks to Kansas State University and Romulo Lollato for coordinating the speakers and topics.
KARA Trains nearly 400 at NH3 Workshops
KARA trained 372 individuals this winter on the basics of NH3 properties and plant design, regulatory laws and safety essentials. A special thanks to Gary Cless of Fairbank Equipment, David Klahr and Lee Olsen of KFSA, the Kansas Department of Agriculture and the Kansas Corporation Commission for their contribution of time and expertise. KARA wishes all members a great application season with safety as the first priority.
KSU Field Days
KSU Field Days is a partnership between KARA and KSU Research and Extension. This partnership yields a successful, two day program that highlights the latest KSU research. Due to growing numbers, the historic success of this event, and KARA and KSU’s commitment to keeping this an interactive program, two KSU Field Day sessions will once again be offered. The same program, times and speakers will be featured twice - once on July 11-12 and again on July 13-14. It is essential that attendees pre-register for their preferred days as registration will be capped at 100 attendees per session. Please keep an eye on our website, www.ksagretailers.org/events, for program and registration information – COMING SOON!
Kansas Applicator Institute
KARA encourages you to mark your calendar for the 6th Annual Kansas Applicator Institute to be held in Hutchinson at the Kansas State Fairgrounds on August 9-10. Interested in exhibiting? Email samantha@kansasag.org for more information.
Legislative Action Day A Great Success On January 18th, the Kansas Agribusiness Retailers Association, in conjunction with the Kansas Grain and Feed Association, and the Kansas Cooperative Council, held its Legislative Action Day at the Statehouse. The day started out with a lunch for members at the Topeka Country Club where, Senate Ways and Means Chair Carolyn McGinn and House Appropriations Chair Troy Waymaster spoke to the audience regarding challenges facing the legislature this session. They reviewed the hot button issues facing the legislature including the budget deficit and school finance court challenges. After the presentations, KGFA staff Ron Seeber and Randy Stookey and KCC President Leslie Kaufman and KCC member services Director Mandy Roe gave a briefing to members of key points they need to update their legislators on
regarding the industry. Those items include taxation policy, funding for the Kansas Agribusiness Retailers Association, opposing a bill to regulate elevators, and supporting a bill increasing the weight limits on motor carriers by adding an axel. After the briefing, members headed to the statehouse and met with their elected representatives and senators. After meeting, members returned to the Country Club where our members enjoyed dinner with numerous legislators and other elected officials. The association staff is very appreciative of our members who set aside work and traveled to our state capitol. Their actions speak volumes to our legislator and will help the industry promote good policy and avoided proliferation of impractical agendas.
TAL Class Completes Session I
The 2017 Tomorrow’s Agribusiness Leaders Class traveled to Topeka for two days and completed session I. During these meetings participants learned of many challenges facing the state, our top leaderss’ plans to move Kansas forward, and what they hoped to accomplish this legislative session. They received staff briefings on the legislative process, the roles and history of KARA and KGFA. During the session, the TAL class enjoyed a detailed policy briefing and a private breakfast with Attorney General Derek Schmidt. The class then met with John Hanna, Associated Press Bureau, on how to accurately communicate a message to the press. They also had a working lunch with Deputy Secretary of Agriculture Chad Bontrager and were updated on the many functions the agency plays. Finally, they received training on effective lobbying methods and put those practices to good use during Legislative Action Day on the 18th. The 2017 class showed astute talent in communicating the Association’s message to the Legislature and we anticipate that they will continue to excel during future TAL sessions.
KARA Members Participating in 2017 TAL Class: Bradly Brensing, Winfield/Land O Lakes Matthew Burdiek, Koch Agronomic Service David Klahr, Kansas Farmer Service Assn. Nathan Miller, Mid Kansas Coop Shane Williams, Canton Cooperative Grain & Supply The next TAL session is in July and entails traveling to Washington DC and meeting with our Congressmen, industry leaders and other officials. The TAL class will sneak in a little sightseeing as well. If you or one of your Association colleagues are interested in applying for this premier agribusiness leadership program, applications are being taken for the 2018 class at www.ksagretailers.org or www.ksgrainandfeed.org
Legislative Update Governor Signs Truck Bill into Law
Governor Brownback has signed HB 2095 into law, increasing the maximum gross weight for certain motor carriers. This new law will allow motor carriers of “agricultural products” to transport up to 90,000 lbs. on 6 axle truck configurations, under a special annual permit. As defined in the law “agricultural products” includes “agricultural inputs, farm supplies, biofuels, feed, raw or processed agricultural commodities, livestock, raw meat products, or farm products.” The bill specifically states that the language is to be construed liberally.
Executive Order Pushes for Regulatory Reform On February 24, President Trump signed an executive order designed to cut red tape and reduce the regulatory on businesses nationwide. The Executive Order directs each fed-
The bill will go into effect July 1, 2017. Your association will work with the Kansas Department of Transportation with regard to the details of implementation. Stay tuned for updates. Thank you to our members who took the time to reach out to their elected official and urge passage of this bill. Without your support, this new Kansas law would not have been possible.
eral agency to designate a Regulatory Reform Officer and establish a Regulatory Reform Task Force. The agencies are to seek input from impacted stakeholders. Read the Order here...
Senate Ag Committee Votes on Perdue Nomination
be Secretary of the U.S. Department of Agriculture, former Georgia Governor Sonny Perdue. Governor Perdue’s nomination now heads to the Senate floor for a vote.
Missouri Passes Dicamba Legislation
each violation and a penalty of $25,000 per violation for chronic violators. The penalty for refusal to submit information to complaint investigators is $5,000. The bill includes language stating that the penalty only applies to persons who “knowingly applied a herbicide to a crop for which the herbicide was not labeled for use.”
On March 30, the Senate Agriculture, Nutrition, and Forestry Committee voted to approve President Trump’s nominee to
Recently, the Governor of Missouri signed SCS HCS HB 662 into law, amending Missouri pesticide law. This legislation addresses the illegal, off-label application of dicamba. The law now allows for a penalty of not more than $10,000 for
Des Moines Water Works Lawsuit Against Drainage Districts Dismissed
A federal judge has dismissed a lawsuit by the Des Moines Water Works (DMWW) against three drainage districts in Northwest Iowa. The lawsuit was dismissed for lack of standing. Judge Leonard Strand held that the state legislature was the proper venue to address the issue. This follows a ruling in January by the Iowa Supreme Court which ruled Water Works could not win damages in the case against the drainage districts. Iowa’s Agriculture Secretary Bill Northey and the agriculture community welcomed the news with Governor Terry Branstad, stating, “we can finally put this distrac-
House Advances Bill to Stop OSHA’s Record Keeping Requirements
U.S. House of Representatives passed legislation last week under the Congressional Review Act to block a regulation put forward by the Occupational Safety and Health Administration in the waning days of the Obama Administration. The OSHA rule would require employers to record and maintain a log of workplace injuries and illnesses that occur during
tion behind us and focus on the full implementation of the nutrient reduction strategy.” DMWW CEO Bill Stowe stated he is upset with the decision but congratulates agriculture groups who opposed the lawsuit. In addition to dealing with a total defeat of its lawsuit, DMWW is now fighting for its very survival. Legislation has been filed in the Iowa state legislature to dissolve the DMWW. The new legislation would transfer the assets to their respective cities. The bill’s sponsor stated that DMWW should have been more willing to listen. Source: Steve Taylor, MO-AG.
a five-year span. This five-year window is contrary to current statutory law that explicitly says employers can only be cited for record-keeping violations within a six-month time period. Two federal courts of appeals have already declared that the statute of limitations is the six-month window as opposed to five years. The bill now moves to the Senate for consideration. The White House has already issued a statement announcing the Administration “strongly supports” the passage of this bill.
EPA’s Risk Management Program (RMP) Proposed Rule Change: Update
The Trump Administration is beginning the rollback of many regulations implemented in the past several years. Last year, at the tail end of the Obama Administration, the Environmental Protection Agency (EPA) finalized changes to its risk management program (RMP) rule. The fertilizer industry has sent a joint letter to the EPA in support of a petition asking for reconsideration of the recent changes made to the rule, including the proposed require-
Agricultural Chemical Remediation Reimbursement Program: Update
In 2000, the Kansas Legislature passed the Agricultural and Specialty Chemical Remediation Act which created the Remediation Reimbursement Program and the Kansas Agricultural Chemical Remediation Reimbursement Fund (Reimbursement Fund). The Remediation Reimbursement Program provides financial reimbursement of expenses incurred while performing remediation activities for agricultural chemical and fertilizer contamination, as ordered by the Kansas Department of Health and Environment (KDHE) for properties enrolled in the Voluntary Cleanup and Property Redevelopment Program or State Cooperative Program. Under the Remediation Reimbursement Program, the commercial grain industry and ag-chemical and fertilizer industry pay fees into the Reimbursement Fund. The Board approves reimbursement of qualifying expenses submitted by applicants up to $200,000 per site. The Reimbursement Program is administered by the Kansas Agricultural Remediation Board (KARB). During the March 10, 2017 KARB meet-
Waters of the United States (WOTUS) Rule: Update
On February 28, 2017, President Trump signed an Executive Order rolling back the Waters of the United States (WOTUS) rule, which had negative implications for agriculture and other industries across the nation. The Executive Order directed the U.S. EPA and the U.S. Army Corps of Engineers (Corps) to rescind and replace the Clean Water Rule (CWR). President Trump’s Executive Order is the latest development in the attempt to resolve the long-standing question of which surface waters and wetlands may be federally regulated and subjected to permitting under the Clean Water Act (CWA).
ments to share sensitive facility-specific security information with local emergency planners, the need for independent third-party audits following a facility incident, the obligation for facilities to conduct safer technology analysis, and other features. Newly sworn in EPA Administrator Scott Pruitt has stated that the final rule will likely be modified. In responding favorably to the industry petition, the agency also agreed to administratively stay the rule, extending the compliance deadline to June 19, 2017. In addition, a resolution of disapproval regarding the RMP rule was recently introduced in the U.S. Senate, and a similar one was introduced in the House of Representatives in February. ing, the Board reimbursed twenty-two (22) applicants a total of $396,000. During 2016, the Board reimbursed sixty-four (64) applicants a total of $1,205,051. The next KARB Meeting will be held on June 16, 2017, and the deadline to submit new applications prior to that meeting is May 19, 2017. In the summer of 2016, the Board amended a regulation concerning which expenses are eligible for reimbursement. Beginning June 1, 2016, for all new applications to the fund, expenses submitted for meals, lodging, mileage, or other travel expenses will no longer be eligible for reimbursement from the fund. Since 2009, applications to the fund have exceeded the amount of money in the fund. Therefore, a priority based ranking system is utilized for all applications received by which each application is reviewed by the KDHE and given a priority score. Applications involving potential risk to human health and safety are scored higher. Applications are reimbursed in priority order based on their priority score. The current amount of outstanding reimbursement requests to the fund is approximately $3.57 million. In the decade since the U.S. Supreme Court issued its fractured opinion in Rapanos v. United States, 547 U.S. 715 (2006), EPA and the Corps have made three attempts to formally interpret Rapanos and add clarity to the WOTUS definition. Trump’s E.O. includes specific instruction to the EPA and the Corps to consider interpreting “navigable waters” in a manner consistent with the late Justice Antonin Scalia’s opinion authored on behalf of the plurality in Rapanos. The Clean Water Rule applied more weight to Justice Anthony Kennedy’s concurrence than Scalia’s opinion, and Kennedy’s case-bycase “significant nexus” analysis, based on ecological and hydrological functions, is incorporated in several provisions of the final rule.
Kansas Ag Retail Leaders Discuss Concerns with Congress on Capitol Hill In February, Kansas Agribusiness Retailers Association (KARA) Chairman Kevin Brady; Vice Chairman Clark Pearson and President Tom Tunnell, along with other state associations and the Agribusiness Retailers Association (ARA) Board of Directors and staff, visited Capitol Hill where they were able to meet with members of the congressional delegation to support regulatory improvement and reform, the Enviromental Protection Agency’s (EPA) risk management program, EPA National Pollutant Discharge Elimination System (NPDES) pesticide general permit and economic policy issues. All issues of deep concern to members of KARA. Today’s regulatory landscape is vastly different from what it was seven decades ago. We have seen the majority of laws governing the United States issued as regulations rather than passed by Congress. Over the past eight years, federal regulators completed over 600 major rules - each imposing costs of over $100 million - causing an unprecedented increase in multi-billion dollar, highly complex rules. Members of the KARA team urged Congress to support the Regulatory Accountability Act (RAA), a bipartisan bill designed to update the outdated APA by allowing earlier public participation in shaping the most costly regulations, requiring agencies to choose the lowest cost option that achieves the goal or demonstrates that a more costly option is necessary to protect public health, safety and welfare, allows for on-the-record administrative hearings for high-impact regulations so that interested parties can challenge agency and places restrictions on agencies’ use of interim final regulations. Included in the conversations, KARA addressed the EPA’s Risk Management Program (RMP) Final Rule. In 2016, the U.S. EPA proposed significant new regulatory requirements to its RMP rule including expanded public access to chemical facility information, a prescriptive third-party
auditing regime and consideration and documentation of any potential inherently safety technology and design (IST/ISD) changes to every RMP process for selected facilities. All agricultural retail facilities that store and handle NH3 are subject to the RMP regulations which require a facility to submit an updated RMP to the EPA every five years. KARA has asked members of congress to support the Congressional Review Act (CRA) Joint Resolution of Disapproval of the EPA RMP Final Rule (H.J.Res.59) Additionally, KARA discussed the importance of commercial applicators in U.S. agriculture and how they would be effected by the EPA NPDES Pesticide General Permit. Numerous aerial applicators nationwide have shut down their mosquito and invasive species control efforts due to the paperwork cost and threat of lawsuits associated with the NPDES Pesticide General Permit (PGP) requirements. KARA has asked that Congress support bitpartisan legislation to exempt pesticide applications from requiring NPDES pesticide general permits for the use of EPA Federal Insecticide, Fungicide and Rodenticide Act (FIFRA) approved pesticide products. Lastly, KARA asked that Congress support comprehensive tax reform, domestic energy production and fair trade agreements. They asked that Congress fix the Affordable Care Act (ACA) provisions adversely impacting agriculture and other industries and to support creative solutions that pairs federal investment with state/local government and private sources of capital to raise the necessary funds to get the job done.
Fire Relief Donations FACT:
More than 461,000 acres in Clark County and 23,000 acres in Comanche County have been decimated in the historic Starbuck Wildfire.
FACT:
Recovery efforts will take years and cost tens of millions of dollars.
If you would like to contribute in the rebuilding efforts, the following are recommended: Ashland Community Foundation
HOW: Go to Ashlandcf.com Bring checks to Stockgrowers State Bank or Mail to: Ashland Community Foundation/Wildfire Relief Fund P.O. Box 276, Ashland, KS 67831 Please note: Wildfire Relief Fund in the memo line
Kansas Livestock Association
“Most importantly, the visit of the KARA team serves as a reminder that Kansas agriculture is at the forefront on important issues that affect our members,” said KARA President Tom Tunnell.
Specific Individuals or Families
KARA meets with 1st District Congressman Roger Marshall
WHY: KLA has a proven process for application and disbursement Donations are tax deductible 100% of donated funds are distributed HOW: Go to KLA.org Bring checks to Stockgrowers State Bank or Mail to: Kansas Livestock Foundation/Wildfire Relief Fund 6031 SW 37th St., Topeka, KS 66614
Ashland Feed & Seed (Hay Donations)
The Kansas group meets with Senator Moran
WHY: Ashland Community Foundation is a 501(c)3 organization Donations are tax deductible 100% of donated funds are distributed
WHY: More than 500,000 acres of grasslands and hay resources have been burned HOW: Call Ashland Feed & Seed (620) 635-2856 If you wish to donate directly to an individual or specific family, please make checks payable directly to the individual or family and mail to: Stockgrowers State Bank Bank of Ashland Wildfire Relief Wildfire Relief PO Box 458 PO Box 157 Ashland, KS 67831 Ashland, KS 67831
Kansas Agribusiness Retailers Association 816 SW Tyler, Suite 100 Topeka, Kansas 66612
THANK YOU KARA SPONSORS
Underwriters $15,000+ KFSA Founders $7,500 Koch Fertilizer, LLC Benefactors $5,000 Dow AgroSciences Syngenta Winfield United
DuPont Crop Protection EGE Products FMC Frontier Ag, Inc. J.B. Pearl Sales & Service, Inc. MKC Morrill Elevator, Inc. Offerle Coop Grain & Supply Co.
Tomorrow’s Agribusiness Leaders: Founder $1,000 ADM AgMark LLC Beachner Grain, Inc. Cargill Incorporated CHS Inc. Frisbie Construction Co. Inc. Kansas Corn Kansas Grain Inspection Services WindRiver Grain, LLC
Donor $750 MFA/AGChoice Alliance Ag & Grain LLC Patrons $3,500 American Implement, Inc. ADM Fertilizer Brothers Equipment, Inc. Patron $700 BASF Crop Protection Central Valley Ag KC Supply Co., Inc. CoBank ACB Fairbank Equipment, Inc. Coffeyville Resources Farmers Coop Equity Co., Isabel Builder $500 Crop Production Services Farmway Coop Inc. D.E. Bondurant Grain Co., Inc. Heartland Ag Gavilon Fertilizer LLC Frontier Ag, Inc. Helena Chemical Company Harveyville Seed Co. Inc. INTL FCStone John Deere CAD Dealers Simplot One KFSA Lang Diesel Inc. Kansas Cooperative Council Nemaha Country Coop Monsanto Kiser Ag Service LLC Pride Ag Resources Monsanto Midwest Laboratories, Inc. Team Marketing Alliance Rosen’s Inc. Miller Elevator Inc. Wildcat Feeds, LLC Wilbur-Ellis Co. Nemaha County Coop The Ottawa Cooperative Assn. Other Builders $2,000 Performance Ag Co-Mark Grain Marketing, LLC Allied Environmental Consultants Inc. Pride Ag Resources Kansas Cooperative Council Beachner Grain Inc. Purple Wave Auction CGB Fertilizer Riggins Ag CHS Inc. The Kansas Agribusiness Update is published quarterly for the members, friends and affiliates of the Kansas Agribusiness Retailers Association. Mail contributions to: KARA: Attn: Devon Stewart, 816 SW Tyler, Topeka, KS 66612 The KARA team welcomes your comments, contributions and suggestions. Annual subscriptions for members can be purchased for $25. © 2017 KARA