Summer 2016

Page 1

THE KANSAS

AGRIBUSINESS

UPDATE

Upcoming Events August 9-11 - KAI

November 16-17 - KSABE Wichita, KS

DO YOU KEEP UP WITH KGFA ONLINE? Kansas Agribusiness Retailers Association @KSAgRetailers

www.ksagretailers.org

TANNER TEMPEL - KGFA INTERN

I am proudly from Garden City, Kansas which is located on the Western part of the state. I am a senior at Fort Hays State University, where I am majoring in Agriculture Economics with a minor in Political Science. I started working in the agriculture industry while in Garden City at WindRiverGrain LLC, where my duties included operations and maintenance tasks. In March, I was elected to be an Alternate Delegate for the Republican National Convention in Cleveland. From that point, I was offered a political internship at the Kansas Grain and Feed Association. My time with the association has consisted of candidate research and recommendations, and observing legislature and education committees. I am a determined individual with a passion for Western Kansas and our country and will continue to pursue careers in helping the agricultural industry and the people within our country.

SAMANTHA TENPENNY - DIRECTOR OF MEMBER SERVICES

Samantha Tenpenny oversees all membership recruitment, retention and educational programs as the Director of Member Services for KGFA, KARA and Renew Kansas. As of May 16, Tenpenny also serves as the staff contact for the Membership and Training Committees and Kansas CCA program. Prior to graduating with her B.S. in Agriculture: Animal Science from Fort Hays State University in May of 2014, Tenpenny interned with KGFA and KARA in 2013. After graduation, she went to work for ADM Fertilizer in Overland Park, Kansas before returning to the Association Office.

DEVON STEWART - MARKETING AND COMMUNICATIONS SPECIALIST

Devon Stewart has joined KGFA as the marketing and communications specialist, effective Feb. 1. Stewart oversees all communications products provided by the Association including print and electronic newsletters, websites, news releases, annual reports, online advertising and marketing brochures. Stewart will also serve as the Executive Director of the Kansas Ag Alliance as well as administer the scholarship program. Stewart graduated from Kansas State University in the spring of 2013 with her Bachelors of Science Degree in agriculture, majoring in agricultural communications and journalism. Stewart brings communications and marketing experience from her previous roles at both the American Maine-Anjou Association where she was the Director of Youth Activities and Show Events and most recently, Vance Publishing where Stewart was a National Accounts Manager


LEGISLATIVE OSHA 2017 Budget Request Targets Agribusiness This summer, OSHA asked Congress for a $42 million increase over its 2016 budget and seeks to add 100 full-

Atrazine Use Potentially Threatened Following EPA Report Public Comments Requested

On June 6th, the U.S. Environmental Protection Agency (EPA) released a draft ecological risk assessment for its registration review of Atrazine. Registration review is EPA’s periodic review of a pesticide to ensure the pesticide continues to satisfy statutory standards. The review

Minor Workers, Safety Rules and Your Facility -Kansas Agribusiness Retailers Association, Staff

As school is out for the summer, there are special safety rules to consider before hiring a minor to work at your commercial grain warehouse. While the Kansas State Dept. of Labor enforces Kansas labor laws, our state laws regarding hazardous working conditions are not more restrictive than federal labor laws. For that reason, Kansas adopts and enforces federal regulations and standards regarding hazardous working conditions. in speaking with the U.S. Dept. of Labor (USDOL), under federal labor law, a commercial grain warehouse is not

Roberts-Stabenow GMO Labeling Bill KGFA has joined others in the Kansas agriculture community in support of a bi-partisan biotechnology disclosure bill sponsored by Republican Senator Pat Roberts of Kansas and Democratic Senator Debbie Stabenow of Michigan. This bill, requiring a national labeling standard of genetically modified ingredients, represents a compromise in Congress and a national

Property Tax Reform Bill Veto Overridden The Kansas Legislature overrode governor’s veto of a

Property Tax Lid Sent to Governor The 2016 Kansas Legislature passed Conference Committee Report on Senate Sub for HB 2088, a bill that

time staff. The agency expects to conduct 35,352 inspections in 2017 and plans to continue its recent emphasis on process safety management (PSM) inspections. Also in the enforcement category, $2.7 million would be earmarked for enforcement activities surrounding Executive Order (EO) 13650, which directed OSHA and other agencies to take steps to improve chemical safety

following the West, Texas fertilizer facility explosion in 2013. As a part of this initiative, the budget request includes a proposed amendment to OSHA’s appropriation language to allow targeted inspections of small establishments with PSM-covered processes that may have potential for catastrophic incidents.

establishes whether, under current scientific standards, the pesticide can be used without causing unreasonable adverse effects on human health or the environment. As part of the review process, EPA conducts an ecological risk assessment. During the ecological risk assessment of Atrazine, EPA relied on studies which its own Scientific Advisory Panel had previously deemed flawed. EPA’s reliance on this faulty science has resulted in new determinations which could, if left unchanged, severely limit producers’ ability to effectively use Atrazine. EPA

is accepting public comments on its draft ecological risk assessment for Atrazine until August 5, 2016. You can file your comment to call on EPA to abide by their own science standards by going to the Regulations.gov website and clicking on the “Comment Now” box at the top of the page.

considered as “agriculture,” an “agricultural operation,” or a “farm-related business,” as those categories are strictly limited to production (on-farm) agriculture. Rather, a commercial grain warehouse is classified as a non-agricultural commercial warehouse or industrial facility.

probing, etc.) at a commercial grain elevator. Workers aged 16/17 cannot do any task federal law defines as “hazardous.” This includes the operation of man lifts, hoists, forklifts, skid-steers, or operating legs. Additionally, while a 16/17 year old can push a broom/shovel in the elevator, they should not be in an elevator alone, should not be entering grain bins, and should not be directing trucks to dump grain, etc. In addition, a 16-17 year-old should not be driving as a regular part of their job duties. The bottom line for 14-17 year old workers, activities outside of the main office are extremely limited and require a heightened degree of supervision.

The USDOL provides the following information about safety rules and work restrictions that exist for youth workers (14-17 year olds) at commercial grain warehouse facilities: Federal Child Labor Rules for Nonagricultural Occupations under the Fair Labor Standards Act are set forth in USDOL Child Labor Bulletin No. 101. In summary, 14/15 year olds should not be working outside of the main office (no elevator work, no hand

See the full article for more information.

See the full article for more information.

solution to the biotech product labeling issue which has fostered several separate state laws. This proposal gives consumers the information they want and need while not disparaging a proven-safe technology with what could be perceived as a warning label. The bill would require a national labeling standard of genetically modified organisms in packaged foods. The bill allows food companies to use a text label, symbol, or electronic label accessed by a smartphone. This is the most workable solution to the alternative prospect of a patch-work

of confusing state standards. It is critically important that Congress pass the proposed Roberts-Stabenow legislation. Kansas farms, ranches and agribusinesses will gain from passage of this comprehensive bill. It is vital that Congress act immediately to pass the RobertsStabenow agreement and send it to the President for his signature.

bill containing myriad taxpayer-friendly changes to the property tax valuation and appeals process. KGFA testified in support of this legislation and applauds the

legislature for its override vote.

accelerates by one year the effective date of a property tax lid / public vote requirement for cities and counties. Under the bill, proposed increases in property tax revenues levied beyond the rate of inflation will require

voter approval, except that certain types of property tax increases are exempt from this requirement. The rate of inflation will be determined by a five-year rolling average.

See the full article for more information.

** To read full articles, please visit our website at www.ksagretailers.org.

UPDATE Asmark Institute Sponsors 25 ResponsibleAg Auditor Training Scholarships

of the ResponsibleAg initiative is providing accurate and credible audits. While the numbers of “internal” auditors, those trained to perform audits for their own company, has grown rapidly, there is a need for qualified “contract” auditors who will provide the service of performing audits for small and medium-size independent or cooperative businesses. Each scholarship will offset the $2,150 registration for training and includes the credentialing application process. The scholarship

program is designed to help offset some of the start-up costs for new auditors. Recipients of the scholarships are expected to provide auditing services. Members interested in learning more about this scholarship program or about ResponsibleAg should contact KARA, or visit the website at www.responsibleag.org

but instead relies on the Governor to make budget cuts. The budget package assumes the governor will make $88 million in budget cuts and a $115 million sweep from the state highway fund next year. The budget deal also delays a nearly $100 million payment into the state employees’ pension system. The legislature did return

on June 1st for Sine Die, usually the ceremonial end of the session. This year, however, they did preform a bit of business that day by overriding a veto of a property tax reform bill overwhelmingly approved by both chambers.

ing equitable to both large and small school districts. Coming into the special session, some lawmakers had worked with stakeholders in the education community to develop a proposal to address the problem. While that proposal included the $38 million in funds needed to comply with the court order, it took $13 million of it from schools. When it became clear that proposal

did not have the support necessary to pass, other lawmakers came forward with a plan to fund the $38 million without a cut to school districts. That proposal overwhelmingly was approved by the legislature. Governor Brownback, shortly thereafter, signed the legislation into law.

or enforcing policies pertaining to price control of real estate, labor work schedules, and nutrition labeling. The bill also would restrict cities and counties from administering residential rental property inspections if certain conditions are not met. This bill stems from trends

in other states where local ordinances are imposing unreasonable standards on businesses and individuals more stringent than state law. KARA strongly supported this bill.

The Governor signed into law HB 2490, a bill changing the plant pest laws. The bill would add the definition of the term “toxicant” to the definitions of the Plant Pest Act. Under the bill, the term “toxicant” would mean

any chemical, including agricultural chemicals which, if present in unsafe levels, can render a plant or plant product unsafe for human or animal consumption. The definition of the term “plant pest” would be amended to include “toxicant” and to include anything “which can cause a threat to public health.” The bill would grant additional authority to the Secretary of Agriculture

(Secretary) to quarantine the state or parts of the state when it is necessary to contain a plant pest for the protection of public health. New authority also would be given to the Secretary to prevent the spread of a plant pest through quarantine into the state through its movement or transportation. KGFA strongly supported the bill.

Process Safety Management (PSM) Regulations of NH3 – an Update

has initiated a small business advocacy review panel which is a ‘first step’ in the official rulemaking process.

izer Access and Responsible Management Ac, (HR 5213), a bill introduced to repeal the 2015 OSHA memo and prevent OSHA from enforcing PSM on ag retail facilities.

Last month, KARA contacted members of the Kansas Congressional delegation and requested that they sign a letter to OSHA regarding the OSHA memo released last summer removing the retail exemption from PSM for NH3 storage. The Congressional letter states that “the continued attempts by OSHA to tie anhydrous ammonia to the West incident are in contradiction to the facts.” In response, OSHA indicated that it intends to pursue formal rule-making to amend its PSM regulations. OSHA

On June 9th, the Senate Appropriations Committee approved a FY17 appropriations bill, and the committee report included language stating OSHA is to submit PSM to rulemaking, conduct a cost analysis, and establish a NAICS code for farm supply retailers. Hopefully this appropriations bill passes the House intact and is signed by the President. However, OSHA has stated that it intends to enforce PSM against ag retailers of NH3 beginning October 1, 2016. Additionally, on June 14th, Kansas Congressman Tim Huelskamp co-sponsored the Fertil-

The Asmark Institute has announced plans to provide 25 scholarships through their affiliated State fertilizer and agrichemical associations to help encourage qualified individuals to become credentialed auditors under the ResponsibleAg Certification Program. The goal

Kansas House Session Concludes The Kansas legislature completed the bulk of its work for the 2016 session early Monday morning, May 1st. The legislature approved a budget deal that doesn’t balance the budget as required by the Kansas Constitution,

Brief Special Session Lawmakers returned to Topeka on Thursday, June 23rd to address the school finance lawsuit. The Kansas Supreme Court ruled the current block grant funding unconstitutional and gave lawmakers until June 30th (the last day of the current fiscal year) to make the fund-

Local Mandate Prohibition Bill Approved The Governor signed into law a bill that prohibits cities, counties, and other political subdivisions from enacting

Contaminated Property Redevelopment Act Approved

See the full article for more information.

Alternatively, TFI and ARA continue pursuing legal action against OSHA on the 2015 PSM memo in the US Court of Appeals. The eventual outcome of PSM on ag retail facilities handling anhydrous ammonia may very well depend on the result of the 2016 Presidential election. See the full article for more information.

** To read full articles, please visit our website at www.ksagretailers.org.


Kansas Agribusiness Retailers Association 816 SW Tyler, Suite 100 Topeka, Kansas 66612

Underwriter $15,000+ KFSA Founder $7,500 BASF Koch Ag & Energy Solutions Benefactor $5,000 Dow AgroSciences Syngenta Patron $3,500 ADM Wholesale Fertilizer Bayer CropScience CHS Inc. CoBank ACB Coffeyville Resources Crop Production Services Heartland Ag, Inc. Helena Chemical Co. John Deere CAD Dealers Lang Diesel Inc.

Patron $3,500 (cont’d) Monsanto Rosen’s Inc. Simplot Growers Solutions United Suppliers Verdesian Life Sciences Wilbur-Ellis Co. Builder $2,000 Allied Environmental Consultants Beachner Grain CGB Fertilizer DuPont Crop Protection EGE Products FMC Frontier Ag Inc. J.B. Pearl Sales & Service Kiser Ag Service LLC MKC Morrill Elevator Inc. WinField

Donor $750 AGChoice American Implement, Inc. Brothers Equipment Central Valley Ag Fairbank Equipment, Inc. Farmway Coop Inc. Garden City Coop Gavilon Fertilizer LLC Harveyville Seed Co. Inc. Heartland Tank Services Inc. Kansas Cooperative Council Midwest Laboratories Nemaha County Cooperative Offerle Coop Grain & Supply Co. Performance Ag Pride Ag Resources Purple Wave Auction Riggins Ag The Ottawa Cooperative Assn.

The Kansas Agribusiness Update is published quarterly for the members, friends and affiliates of the Kansas Agribusiness Retailers Association. Mail contributions to KARA, Attention: 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. © 2016 KARA


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