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Change could result in job loss to 1,600 Indiana meat packers

INDIANAPOLIS, Ind. — State Sen. Richard D. Young, Jr. (D-Milltown) delivered a letter to Gov. Mitch Daniels last week to express his concern over the administration’s recent decision to reduce the funding for the Indiana state meat inspection programs.

The State Board of Animal Health announced a 50 percent funding reduction to the program. The $900,000 reduction in state funds will lead to a loss of matching federal funds, resulting in a total cut of $1.8 million for the program responsible for inspecting 134 meat processing facilities in Indiana.

The estimated increase in value to the state’s economy from direct marketing of freezer meet processed through the state inspected facilities is estimated to be more than $35.8 million.
Much of the meat that goes through these facilities is from local farms selling direct to local consumers, farmers markets and restaurants.

“I have been involved in economic development in rural Indiana for decades and have never been more excited than what I have seen recently with the growth in direct marketing of livestock products,” Young wrote in his letter. “I have constituents marketing to restaurants, farmers’ markets and through consumer supported agriculture programs. I even have constituents whose children feel they can come home to the family farm and make a living with these niche markets, something we need to happen to stop the rural brain drain of the last decade.”

According to Young, the USDA would be required to take over inspections if the state is unable to do so as a result of the funding cut.

However, the federal agency is not required to accept every plant, nor are they required to work with small processors to ensure their compliance. A takeover by the federal government could force many of Indiana’s facilities to make costly renovations to meet federal standards or close. An estimated 1,600 employees could lose their jobs at facilities that may be forced to close. The change will also impact producers who currently sell their product through farmers’ markets and to local restaurants.

When similar action was taken in Alaska, Kentucky, Michigan and Idaho, two thirds of the plants in those states closed within three years.

Kansas and Minnesota reinstated their state programs specifically because the state programs are very different than the federal program in terms of philosophy and approach. State programs are more accessible and flexible while remaining dedicated to food safety.

Bill to expand role for Indiana’s BOAH

INDIANAPOLIS, Ind. — House Bill 1099 passed the House by a vote of 94-0. This bill would allow the Board of Animal Health (BOAH) to adopt rules to establish standards governing the care of livestock.
“The BOAH is a very credible agency, and is well equipped to handle the task of accepting additional regulation,” said Rep. Bill Friend (R-Macy). “The board has assured us that they will take their time to research the issues before creating any rules. This is a great bill that would help avoid the problems with animal rights groups and public referendums that are occurring in other states.”
The standards created by the BOAH would be based on generally accepted farm management practices.

The agricultural community will see a positive economic impact from these standards and in turn this will benefit consumers.
The BOAH also assists law enforcement regarding allegations of abuse and neglect of animals. Last year, BOAH assisted in approximately 70 cases alleging abuse or neglect of animals.

2/4/2010