A Trip to the Douglas Port
referred to as a capital gain or loss, which is then federally taxed. A step up in basis reduces the capital gains realized by the inheriting generation because the calculation is based on the appreciation of the land during their ownership rather than since by Suzette dePersio, Assistant State Veterinarian, the original family purchase. Since land Arizona Department of Agriculture typically appreciates over time, an elimination of or tax on step up in basis would ouglas, Arizona, is a city in Cochise disproportionately impact generational County nestled against the Mexico transfers in agriculture. border and home to a port where, Despite the proposed legislation not since 1989, over 8 million cattle have moved including this change, it is not completely through from Mexico to the United States. off the table. The proposed legislation is not These cattle are fed out at U.S. based feedset in stone yet and such a change may lots and contribute millions of dollars easily be added back through the extensive towards industry and commerce, as well as revision process prior to congressional to help ensure a secure food supply. On approval. Additionally, Biden’s “American October 19th, representatives from the Families Plan” released on April 28, 2021, Arizona Department of Agriculture (AZDA) supports limitations on the existing step - Animal Services Division (ASD) – State Vetup in basis. erinarian’s Office (SVO), Livestock Inspection Although the current elimination of Services, and the United States Department changes to step up in basis are a move in of Agriculture (USDA) – Animal and Plant the right direction, changes negatively Health Inspection Service (APHIS), met in impacting the generational transfer of Douglas to have meetings with representafarms and ranches are inevitable under the tives of ranchers in the community, as well current administration. Estate taxes can as Mr. Suarez of Suarez Cattle Brokerage Co. bankrupt an operation, so farmers and The goal of this visit was to discuss the chalranchers need to reassess their estate plans lenges that producers in the area face, as to protect their operations for future gen- well as to view the crossing of cattle from erations. Hopefully, our country will realize Mexico into the United States. Those in the disastrous implications of taxing agri- attendance from AZDA included Inspector culture out of business before it is too late. Luis “Beto” Romero, Jerome Rosa, Dr. Ryan In the meantime, estate planning is one of Wolker, Dr. Suzette dePersio, Dr. David the most powerful tools we can use to keep Byerly, Dwayne Uhlig, and Captain Terry the industry alive for the next generation. Lincoln. USDA participants included Dr. Cody Egnor, Dr. Toria Davis-Foster, and Animal Health Technician Oscar Maldonado. Katherine E. Merck is an Associate Attorney with During the first meeting with ranchers Budd-Falen Law Offices, LLC with a primary focus on property rights, environmental, and natural in the area, our group held a productive resources law. Budd-Falen Law Offices, LLC, has conversation and identified the need for attorneys licensed to practice law in Colorado, Idaho, continued and improved coordination and Illinois, Montana, Nebraska, New Mexico, North Dakota, South Dakota, Texas, and Wyoming. This communication among all parties present. article should not be understood to state or imply that Topics of discussion included finding ways
D
any lawyers of this law firm are certified as specialists in a particular field of law. Colorado does not certify lawyers as specialists in any field. The Wyoming State Bar does not certify any lawyer as a specialist or expert. Anyone considering a lawyer should independently investigate the lawyer’s credentials and ability, and not rely upon advertisements or selfproclaimed expertise. This article is informational and is not legal advice. Use of this article or contact with this law firm does not create an attorney-client relationship.
▫
in which the ASD can better serve Arizona producers, how producers can have their voices heard, and how both groups can work together to support and improve cattle production in the state of Arizona. Afterwards, an introductory meeting was held at Suarez Cattle Brokerage Co., before AZDA and USDA representatives headed to the border wall port of entry. Cattle crossing was to occur on the day of this visit but was unexpectedly canceled. Nevertheless, our group was able to glean valuable insights into the process of cattle movement at the port. Inspector Romero was a fantastic guide, and walked the AZDA/ USDA team through the process that takes place during cattle movement. This guided tour and site visit was eye opening and provided opportunities to view ways in which operations at the port can be improved. Suggestions for improvement at Arizona ports of entry were generated after this visit and included employing inspectors to be present at border ports during cattle movement, as well as instituting consistency in tagging and tracking of cattle once they reach the U.S. This can be done by having all cattle tagged with high frequency RFID tags. These tags would provide an efficient means of tracking cattle to their final destinations within the U.S., thereby improving the effectiveness of animal disease traceability (ADT). These improvements will help increase the speed of commerce for all parties involved. While there is still more work to be done, such as an upcoming visit to the New Mexico border port of Santa Theresa, the AZDA team is hard at work to facilitate improved border operations.
▫
... a cutting-edge supplementation program designed to help animals achieve their full genetic potential. Supporting early conception & tighter calving groups, colostrum quality, reproductive performance and overall health. For more information or for help finding your closest dealer contact:
Steve Smith - 970-222-6259 or Hubbard Feeds at 1-800-333-7929 NOVEMBER 2021
111
