Thursday, October 02, 2008

Tester backs bill for beef promotion Tester hopes to force a change in beef marketing through a bill dubbed the Beef Checkoff Modernization Act. Beef Checkoff is a promotion and research program funded through a $1-per-head tax on cattle as well as a per-pound tax on imported beef. The program has had its critics in cattle country, in part because ranchers have wanted the option of periodically voting on whether or not to continue the Beef Checkoff. Also, contracts for promotions have been awarded to beef groups in existence when the Checkoff program was first created. Other groups have been created since then and some cattlemen argue that younger beef groups should be considered for Checkoff contracts. Specifically, Tester’s proposal would: • Require that at least 30 percent of Beef Checkoff money be used to promote U.S. beef. The program currently brings in more than $80 million a year for research and promotions. • Allow cattle producers to hold a referendum every seven years or sooner if petitioned, to change Beef Checkoff. The first vote would be in 2010. Future program changes, including fee increases, would have to be voted on by referendum and approved by a majority of producers. • Allow the creation of an importer’s qualified beef council to promote non-domestic beef. Importers currently pay a per-pound fee into the Beef Checkoff promotion to offset beef research and promotion. • Not increase Checkoff fees or tap the general public for taxpayer support....The bill is S.3404.

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