By ANN HINCH
Assistant Editor BOWLING GREEN, Ky. — Several issues that make national headlines may not seem immediately related to farming, but Alice Baesler pointed out they have much to do with how well agricultural operators can do their work.
Baesler, a Lexington farmer and co-founder of Kentucky Women in Agricul-ture, gave an overview of im-portant upcoming issues for farmers at the organization’s recent annual conference in Bowling Green. Her chief message to women was to get out and vote and to know their elected representatives – and to make sure those elected know them.
“You know, you can sit back and complain, but I was always told if I didn’t get out and vote, I didn’t have the right to complain,” Baesler said. She added a good way to influence public opinion is to write letters to local newspapers about how issues affect farmers, so that non-ag readers may learn about them.
One big issue facing farmers is the estate tax, or “death tax,” exemption, set to expire next year unless Congress renews it.
This gives landowners the opportunity to exempt a certain percentage of their holdings so that when they die or pass along the property to heirs, those heirs won’t have to pay so much in inheritance taxes. Baesler also touched on the capital gains tax, which she said is at 15 percent now, but “there’s talk of (increasing it to) 40 percent.”
Another issue about which Kentucky farmers should be concerned are changes in animal agriculture practices. States such as California, Michigan and Ohio have enacted legislation in different ways to cope with pressure from animal-rights groups to amend husbandry practices.
Baesler said while she thinks this is aimed more at big farms, the results may affect small farms too. “You have to decide how you’re going to stand on this issue,” she said, admitting she likes to know livestock is well-cared-for.
She related a personal story of caring for an old cow last year that had outlived her usefulness, rather than selling her for rendering. “She gave me a lot of good calves, and I wasn’t going to send her off to be mistreated,” Baesler explained.
Cap-and-trade is another issue that should concern farmers. Kentucky, she said, produces one-third of the nation’s steel and aluminum and is its third-largest vehicle manufacturer. Businesses locate here because of low electric rates, and she said there is worry cap-and-trade emissions regulations could drive up those rates for everybody.
What will happen with immigrant labor is another obvious worry for farmers. Agriculture, Baesler pointed out, depends on having legal foreign laborers available during its busy seasons, because she said there aren’t many U.S. citizens willing to do the work for the pay offered. She said next year, ag employers will be required to pay H2A workers $9.20 per hour as well as the expense of transporting them from their home country to here, and back. She also said wages could be raised mid-season.
Grant opportunity To balance out the state and federal concerns farmers should heed, Jeff Jones with USDA Rural Development offered some good news about the Value Added Producer Grant. The program offers a $100,000 grant match for planning or $300,000 match for working capital to start a business – but it has to be related to the food one is already raising.
“You have to be producing what product you’re adding value to,” he explained.
The 50 percent matching funds can be in cash or in-kind. This is a national competition program and both grants require a feasibility study (usually from a university); the working capital grant also requires a business plan. The deadline this year is Nov. 30.
Jones advised Kentuckians eligible and interested to contact Dean Tandy at 859-224-7435 or by e-mail at dean.tandy @ky.usda.gov and to visit www.rurdev.usda.gov/rbs/coops/vadg.htm |
