December 17, 2012

Duke Energy, one of the largest electric power companies in the United States, supplies and delivers energy to approximately 4 million U.S. customers. The company has approximately 36,000 megawatts of electric generating capacity in the Midwest and the Carolinas, and natural gas distribution services in Ohio and Kentucky. In addition, Duke Energy has more than 4,000 megawatts of electric generation in Latin America, and is a joint-venture partner in a U.S. real estate company. Headquartered in Charlotte, N.C., Duke Energy is a Fortune 500 company traded on the New York Stock Exchange under the symbol DUK. More information about the company is available on the Internet at:

N.C. Legislative NEWS

McCrory Appoints Top Cabinet Spots: Gov-elect Pat McCrory named three people to top spots in his cabinet. John Skvarla, will serve as secretary of environment and natural resources. Skvarla heads Raleigh-based Restorations Systems, specializing in environmental restoration and mitigation banking. Aldona Wos, former U.S. ambassador to Estonia and a Greensboro physician, will serve as the head of the Department of Health and Human Services. McCrory appointed Thomas Stith as his chief of staff. Stith, a former Durham city councilman, has been leading McCrory’s transition team.

Gov. Perdue Appoints Beasley to Supreme Court: Gov. Bev Perdue appointed Cheri Beasley to the Supreme Court of North Carolina.Beasley, currently a judge on the North Carolina Court of Appeals, will fill the vacancy created by the retirement of Justice Patricia Timmons-Goodson. Beasley was elected to the Court of Appeals in 2008. Prior to that, she served as a District Court judge in the Twelfth Judicial District from 1999 until 2008.

Senate Appropriations Chairs: N.C. Senate President Pro Tem Phil Berger announced three Republicans to serve on the Senate Committee on Appropriations/Base Budget. Sen. Neal Hunt, from Raleigh, Sen. Pete Brunstetter, from Winston-Salem, and Sen. Harry Brown, from Jacksonville, will serve as co-chairman of the committee charged with writing the state budget.

Senate Agriculture & Environment Chairs:Senate President Pro Tempore Phil Berger (R-Rockingham) announced Friday he plans to appoint Sen. Andrew Brock (R-Davie) and Sen. Brent Jackson (R-Sampson) as co-chairmen of the Senate Committee on Agriculture, Environment, and Natural Resources and the Appropriations Subcommittee on Natural and Economic Resources when the legislature convenes early next year.

Fuel& Energy NEWS

N.C. Closer to Offshore Energy: The U.S. Department of the Interior is moving ahead to designate sites off of North Carolina’s coast for development of offshore wind energy. The federal Bureau of Ocean Energy Management has identified three potential areas for commercial offshore wind energy off N.C.’s coast.A formal announcement is being published in the Federal Register, titled: “Commercial Leasing for Wind Power on the Outer Continental Shelf Offshore North Carolina – Call for Information and Nominations.”The purpose of the “Call” in the Federal Register is to gauge interest in acquiring commercial wind leases in some or all of the designated areas on the Outer Continental Shelf and to seek public comments regarding site conditions, resources, and other uses of these areas. This is the first step in the Federal Bureau of Ocean Energy Management’s offshore wind planning process before deciding whether to issue commercial wind leases. Comments can be madehere.Click on the “Open Comment Documents” link and follow the instructions to view relevant materials and submit comments.

People NEWS

N.C. Agribusiness Leader Dale Bone Dies:Dale Cary Bone, 69, of Wilson passed away Tuesday, December 11. Dale graduated from NCSU with a degree in agronomy and agricultural economics. He began farming in NashCounty in the mid 1960sand by the mid1980s was the nation’s largest cucumber producer. He served as president, vice president, and treasurer for the National Council of Agricultural Employers. His involvement with agricultural-based organizations was diverse, including The Pickle Packers International, NC Rural Center Agribusiness Consortium, United Fresh Fruit and Vegetable Association, Produce Marketing Association, and NC Sweet Potato Commission. He was also a board member of the Golden LEAF Foundation.

Former Senator Hector MacLean Dies: Hector MacLean, 92, of Lumberton, died on December 7, 2012. He was the former mayor of Lumberton and served as a state senator for 10 years.As a state senator, he sponsored bills that led to Pembroke State College becoming a part of the UNC System and the establishment of the NC Zoo.He was integral in getting I-95 built through Lumberton.

Parker Stepping Down: David Parker, the state Democratic Party chairman, said he would not seek another term. Parker has been under scrutiny after his handling of the alleged sexual harassment case brought by Adriadn Ortega against the N.C. Democratic Party executive director, Jay Parmley. There is talk of party support for state Sen. Eric Mansfield of Fayetteville, who recently lost the Democratic nomination for lieutenant governor. The party’s executive committee will meet in February to elect a new chairman.

Environmental NEWS

EPA Approves Grain Sorghum Pathway: The Environmental Protection Agency announced it has approved grain sorghum as an eligible feedstock under the Renewable Fuels Standard (RFS). According to EPA, ethanol produced from grain sorghum emits 32 percent less greenhouse gas than the baseline petroleum it replaces and uses one-third less water than some other biofuel feedstocks. To read EPA’s announcement, click here.

Business NEWS

N.C. in Top 10 for Winter Farmers Markets: The number of winter markets listed in USDA's National Farmers Market Directory has increased 52 percent, from 1,225 in 2011 to 1,864 in 2012. Winter markets now account for roughly 24 percent of the 7,865 farmers markets listed in the USDA national directory. Markets operating at least once between November and March are considered winter farmers markets. The 2012 top 10 states for winter farmers markets are: California with 284, New York with 196, Florida with 105, Maryland with 70, Texas with 63, North Carolina with 62, Massachusetts with 59, Pennsylvania with 58, Georgia with 55, and Virginia with 53.

NCBiotech Awards $1.37M: The North Carolina Biotechnology Center awarded more than $1.37 million in the first quarter of the 2012-2013 fiscal year. The University of North Carolina Wilmington was awarded $74,991 to establish foundational resources for finfish mariculture business and industry development in N.C. The project will test new eco-friendly and cost-effective diets for use by commercial fish farms. An award of $40,000 will help launch the first workshops at a new Molecular Training Facility (MTF) at the UNC Institute of Marine Sciences in MoreheadCity. The MTF workshops are designed to train professionals in the fields of water quality, aquaculture, food safety, seafood safety, and drinking water science in the use of techniques known as rapid molecular methods.

Supreme Court Could Hear Cigarette Labels Argument:Last week, the U.S. Court of Appeals in Washington denied a request filed by FDA to reconsider its earlier ruling that upheld U.S. District Court Judge Richard Leon’s ruling that graphic cigarette labels violate tobacco companies’ free speech rights. The latest ruling could mean that the U.S. Supreme Court will be the next court to hear the case if the FDA appeals the denial within 90 days.

Animal Activism NEWS

HSUS on Side of Family Farms?: HSUS CEO Wayne Pacelle recently posted a blogdecrying the pork industry and asserted that HSUS is a proponent of family farms. He tries to paint the picture of family farms and “Big Ag” as opponents and that HSUS is working to restore the family farm. Humane Watch took issuewith Pacelle’s blog and points to, among other things, HSUS’ role in California’s Prop 2 and the group’s agenda to turn every American into a vegan.

DA Won’t File Charges Against Butterball: Charges will not be brought against Butterball after a Mercy for Animals video alleged abuse at Butterball facilities in Onslow, Lenoir, Duplin, and Sampson counties last month. Ernie Lee, a district attorney for Onslow, Jones, Duplin, and Sampson counties, said there is insufficient evidence to proceed with criminal charges. He said that workers did not appear to attempt to wound, injure, or torment the turkeys and that the contact between the workers and the turkeys was not cruel nor egregious.

Commodity NEWS

Grain Sorghum on the Rise in Carolinas: In N.C., grain sorghum acreage has increased fivefold from 2011. Final acreage is expected to top 50,000 acres. In S.C., growers are particularly interested in the crop due to the lucrative market. Murphy-Brown, headquartered in Warsaw, N.C., has been the primary market for the crop. Sorghum growers under contract are receiving 95 percent of the harvest cash price of corn.

Russia Requires Testing for U.S. Beef and Pork Exports: United States Agriculture Secretary Tom Vilsack and United States Trade Representative Ron Kirk issued the following statement in response to Russia's new requirements that U.S. beef and pork exports to Russia be tested and certified free of the feed additive ractopamine: "The United States is very concerned that Russia has taken these actions, which appear to be inconsistent with its obligations as a member of the World Trade Organization. The United States calls on Russia to suspend these new measures and restore market access for U.S. beef and pork products. The United States sought, and Russia committed as part of its WTO accession package, to ensure that it adhered rigorously to WTO requirements and that it would use international standards unless it had a risk assessment to justify use of a more stringent standard. Especially in light of its commitment to use international standards, this is an important opportunity for Russia to demonstrate that it takes its WTO commitments seriously."

Red Meat, Poultry Production Forecast: The forecast for 2013 red meat and poultry production is reduced from last month as lower pork production more than offsets higher beef production, according to USDA’s World Agricultural Supply and Demand Estimates. Beef production is raised as both fed and non-fed cattle slaughter is expected to be higher and forecast carcass weights are raised. Pork production forecasts are reduced from last month as first-quarter slaughter is expected to be slightly lower and carcass weights are reduced in the first half of the year. USDA will release the Quarterly Hogs and Pigs report on December 28. Poultry production forecasts for 2013 are unchanged. For 2012, the total meat production forecast is raised as higher forecast fourth-quarter beef and broiler production more than offsets lower expected pork production. Cattle slaughter has been higher than expected and carcass weights remain high. Hog slaughter and carcass weights in the fourth quarter are forecast lower than last month. The broiler production forecast is raised based on production data to date. Turkey production is unchanged. Egg production is raised for both 2012 and 2013 based on hatchery data.

USDA NEWS

FSIS Hold and Test Implementation: USDA’s Food Safety and Inspection Service (FSIS) announced that, beginning in 60 days, the agency will require producers to hold shipments of non-intact raw beef and all ready-to-eat products containing meat and poultry until they pass agency testing for foodborne adulterants. The new policy requires official establishments and importers of record to maintain control of products tested for adulterants by FSIS and not allow the products to enter commerce until negative test results are received. FSIS anticipates most negative test results will be determined within two days. The policy applies to non-intact raw beef products or intact raw beef products intended for non-intact use and that are tested by FSIS for Shiga-toxin producing Escherichia coli. Also, the policy applies to any ready-to-eat products tested by FSIS for pathogens. The notice will be posted shortly on the FSIS website.

RMA Sets New Crop Insurance Premium Rates: The USDA’s Risk Management Agency (RMA) announced that it will continue to update crop insurance premiums for corn, soybeans, grain sorghum, spring wheat, rice and cotton. Revised rates for corn and soybeans were offered in most counties in 2012. Revised rates for grain sorghum, spring wheat, rice and cotton will be available in 2013. For more information, go to .

Comments Accepted on Eligibility of Korea to Export Poultry Products to the U.S.: The Food Safety and Inspection Service (FSIS) is proposing to add the Republic of Koreato the list of countries eligible to export poultry products to the United States. Under this proposal, slaughtered poultry or parts or other products thereof processed in certified Korean establishments would be eligible for export to the U.S. All such products would be subject to re-inspection at United States ports-of-entry by FSIS inspectors. The proposed rule can be read here. Comments must be received on or before January 28, 2013. Comments may be submitted at .

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