December 6, 2010

Progress Energy (NYSE: PGN), headquartered in Raleigh, N.C., is a Fortune 500 energy company with more than 22,000 megawatts of generation capacity and approximately $10 billion in annual revenues. Progress Energy includes two major electric utilities that serve about 3.1 million customers in the Carolinas and Florida. The company has earned the Edison Electric Institute's Edison Award, the industry's highest honor, in recognition of its operational excellence, and was the first utility to receive the prestigious J.D. Power and Associates Founder's Award for customer service. The company is pursuing a balanced strategy for a secure energy future, which includes aggressive energy-efficiency programs, investments in renewable energy technologies and a state-of-the-art electricity system. Progress Energy celebrated a century of service in 2008. Visit the company's website at

NCAg NEWS

Last Chance for AgRaffle Tickets: The NC Agribusiness Council is holding its second annual Virtual AgRaffle fundraiser on Monday, December 13, 2010, and the winning ticket wins a Grand Prize of $3,000. The AgRaffle tickets are $100 each and thetheme "The Gift that Keeps on Giving" is in keeping with the holiday season because every raffle ticket is a winner. Each ticket comes with a complimentary associate membership in the NC Agribusiness Council, a $50 value. And with the holidays nearly upon us, you could givea gift of NCAg membership to a friend, family member,or business associate. The AgRaffle drawing will be posted on the NCAg website via YouTube, and the winner will be announced in this newsletter the following week. To purchase your ticket, call Elizabeth at 919-782-4063. (Proceeds from this fundraiser go to pay expenses for which the Council is unable to solicit sponsorships due to federal ethics rules forelected officials and their staff, so please support the Council andcall 919.782.4063today and purchase your AgRaffle ticket)
Washington NEWS

FoodSafetyBillPasses Senate; Faces House Hurdle: The FDA Food Safety Enhancement Act, or S510, passed the Senate by a vote of 73-25. U.S. Sens. Richard Burr and Kay Hagan voted in favor of the bill. Bur was a co-sponsor of the bill and Hagan sponsored an amendment that would exempt small farms from the onerous federal oversight. The bill expands the FDA’s oversight of the U.S. food supply. However, there are a few snags as the bill goes to the House. First, the bill includes fees for an exporter and importer food-certification program, which could be seen as taxes. All taxes must originate in the House under the Constitution, and since this version of the bill originated in the Senate, a parliamentary objection could arise on the House floor. Secondly, the amendment co-sponsored by N.C. Sen. Kay Hagan and Sen. Jon Tester, D-Mont, has caught the attention of some farm state representatives. The amendment exempts small farms from some of the regulations. Some in the ag industry don’t think that small farms should receive special consideration, and this concern could hold up the bill in the House.

Congress Approves Money for American Indians, Black Farmers: Congress approved funding to settle cases of discrimination against American Indian landowners and black farmers. The Senate approved the funding earlier and so the House’s vote of 256-152 awards a total of $4.6 billion- $1.2 billion of which settles claims brought by black farmers against the USDA.

Some of Bush Tax Cuts Make it Through House: The expiring Bush-era tax cuts will be partially extended after a House vote of 234-188. The middle class will still be able to take advantage of the tax cuts. Tax breaks for families earning more than $250,000 and individuals earning more than $200,000 were cut from the bill. Twenty Democrats joined Republicans, who are working to permanently extend all tax breaks. Now that the bill goes to the Senate, it is unlikely that it will pass since Republicans have enough votes to filibuster the changes.

Deficit Plan That Cuts Farm Supports Fails on Vote: The panel working since February to balance the U.S. budget by cutting $4 trillion in debt recommended cutting U.S. farm supports by 10 percent. The plan proposed a net cut in USDA spending of $10 billion through 2020. However, a vote of 11-7 on Friday defeated the fiscal commission’s plan. 14 Senate Democrats urged Obama and party leaders in the House and Senate to push forward with deficit reduction legislation.

HealthyKidsBillPasses: The House passed the "The Healthy Hunger-Free Kids Act” or S. 3307 this week, allowing the USDA to make reforms to the school lunch and breakfast programs.

Collective Bargaining Update:Senate Majority Leader Harry Reid announced Saturday that he expects to move to proceed and file cloture on S3194 Public Safety Employer-Employee Cooperation Act which would mandate collective bargaining for North Carolina’s public employees. A vote is possible as early as Wednesday for cloture. Senator Hagan and Senator Burr have both said they will vote against cloture. However, as the congressional session continues into December, continuing calls to Senator Hagan’s office [202-224-6342] and Senator Burr’s office [202-224-3154]by NCAg members in opposition to the collective bargaining legislation do not aggravate either Burr or Hagan, nor their staff, and in fact serve as daily reminders of our continuing and dedicated opposition to the collective bargaining legislation

Business NEWS

Textile Plant in N.C. to Expand: Sattler, an Austrian-based textile firm is buying the the Outdura brand from North-Carolina based Shuford Mills. Sattler plans to invest nearly $5 million to expand the Shuford Mills plant in Hudson, just 65 miles northwest of Charlotte.

Shareholders Approve Lance Merger: Lance shareholders quickly approved the merger of the company with Snyder’s of Hanover. Snyder’s shareholders just have to approve the merger before the deal is final. If the merger goes through, Snyder’s-Lance Inc. would become the seconding leading salty snack maker, following Frito-Lay.

North Carolina Ranks High for Food Insecurity: A recent study by USDA found that nearly 15 percent of North Carolinians are “food insecure”. That percentage leaves N.C. as one of the highest in the country. For people under the age of five, the percentage is much worse- one in four doesn’t consistently have access to nutritious food. Chronic unemployment and underemployment are likely responsible for the recent demand on the state’s food banks.

Campaign NEWS

State Democratic Chair to Leave Post: State Democratic Party Chairman David Young, will be stepping down as chair. David Parker, a lawyer from LakeNorman, intends to run for the post.

Hayes Running for GOP Chairman: Former U.S. Rep. Robin Hayes wants to take Tom Fetzer’s old job as GOP chairman. Fetzer recently announced his plans to resign in January. Hayes represented the 8th District for a decade before losing to Larry Kissell in 2008. Hayes runs a hosiery mill in Mount Pleasant and is actively campaigning for the job.

Instant Runoff Votes Declare Winners: Claire Hill has won the race for Superior Court District 12A. Hill, a CumberlandCounty prosecutor, beat Lawyer Rob Hasty Jr. by nearly 200 votes after the instant runoff. In the runoff for the statewide Court of Appeals race, incumbent Cressie Thigpen defeated Doug McCullough.

Legislative NEWS

Incoming House Speaker Naming Transition Team: The new N.C. House Speaker Thom Tillis has filled some positions for the Republican transition team. Tillis named former Rep. Bill Daughtridge of Rocky Mount to serve as interim chief of staff. Dodie Renfer, who served as political director for the state Republican Party for the past 15 months, will serve as director of member services. Jordan Shaw, former Republican Party communications director, will serve as spokesman.

N.C. Senate Positions: Sen. Tom Apodaco of Hendersonville was appointed to lead the Senate Rules Committee in 2011 by Senate GOP leader Phil Berger. Bill Rabon of BrunswickCounty will lead the freshmen Senate Republicans. Rabon filled the seat formerly held by Democrat R.C. Soles, who did not seek reelection.

Animal Activism NEWS

HSUS Sues Perdue: The Humane Society of the United States has filed a lawsuit in the Superior Court of New Jersey against Perdue Farms. The lawsuit alleges that Perdue is falsely advertising products with “Humanely Raised” labels. The HSUS is seeking a jury trial and compensatory damages for consumers that HSUS claims have been “duped” into buying the product, and injunctive relief against Perdue’s further use of the “Humanely Raised” statement.

University NEWS

NC to Serve as FoodCorps Site: The North Carolina 4-H program and the Center for Environmental Farming Systems will be hosts in North Carolina of FoodCorps, a new national AmeriCorps program designed to give children improved access to healthy, affordable food while training young leaders for careers in food and agriculture. FoodCorps members will work with schools at five locations in Gaston, Moore, Guilford and Warren counties and in the New Hanover and Brunswick county area. More information is available at

Commodity NEWS

N.C. Christmas Tree Sales Taking a Hit: Asheville Christmas tree growers are facing a not so merry Christmas as rising production and transportation costs look to cut into profits, while overproduction of N.C. Frasier firs means savings for buyers. Many growers are cutting prices to move trees and are selling fewer large trees. One grower reported that his large tree sales have been cut in half.

R.J. Reynolds Asked to Pull Cigarette Ad: The National Association of Attorney Generals sent a letter to R.J. Reynolds Tobacco Co. asking the company to stop a Camel cigarette promotion. In the letter, the group claims that the ad features 10 destinations and includes popular culture, independent music, art, motor sports, and “hip” attitudes that the group claims are appealing to young people. R.J. Reynolds is prohibited from marketing to youth as part of the 1998 tobacco settlement. The company says that the ad is aimed at adult smokers but agreed to meet with the group.

Crop Production Costs Expected to Rise, Again: The 2011 Purdue Crop Cost & Return Guide found that the cost of producing crops is likely to rise next year. Increases in fertilizer prices are behind most of the projected increased costs, which the report expects to hit double digits. The guide is available at .

USDA NEWS

Disaster Program Deadline Approaches for 2009 Crops of Rice, Upland Cotton, Soybeans and Sweet Potatoes: Producers have until close of business on Thursday, Dec. 9, to apply for assistance for 2009 losses under the Crop Assistance Program (CAP). Up to $550 million in disaster assistance will be issued to producers of rice, upland cotton, soybeans and sweet potatoes for eligible losses because of excessive moisture or related conditions in 2009. Camden, Carteret, Craven, Currituck, Durham, Granville, Greene, New Hanover, Onslow, Orange, Pasquotank, Pender, and Washington received disaster designations in 2009. Producers interested in signing up for CAP must do so at the FSA county office where their farm records are maintained.

Commodity Credit Corporation Lending Rates for December 2010: USDA's Commodity Credit Corporation (CCC) announced interest rates for December 2010. The CCC borrowing rate-based charge for December 2010 is 0.250 percent, unchanged from 0.250 in November 2010. For 1996 and subsequent crop year commodity and marketing assistance loans, the interest rate for loans disbursed during December 2010 is 1.250 percent, unchanged from 1.250 in November 2010. Interest rates for Farm Storage Facility Loans approved for December 2010 are as follows, 2.000 percent with seven-year loan terms, up from 1.875 in November 2010, 2.750 percent with 10-year loan terms, up from 2.500 in November 2010, and 3.000 percent with 12-year loan terms, up from 2.750 percent in November 2010. The maximum discount rate applicable for December 2010 for the Tobacco Transition Payment Program is 5 percent, unchanged from November 2010.

New Pork Pricing Committee: The USDA’s Agricultural Marketing Service (AMS) announced its intent to establish a Wholesale Pork Reporting Negotiated Rulemaking Committee. The Committee will be charged with developing proposed language to amend the Livestock Mandatory Reporting regulations to implement mandatory pork price reporting. AMS has identified organizations that it believes represent the interests of those affected by mandatory price reporting. However, if an organization believes that its interests will not be adequately represented by the proposed members, it may submit a nomination for consideration by AMS. Written comments and requests for membership must be received on or before Dec. 27, 2010. Comments may be submitted electronically at or sent to Michael Lynch, Chief; USDA, AMS, LS, LGMN Branch; 1400 Independence Ave., SW, Room 2619-S; Washington, D.C.20250. Comments should reference docket number AMS-LS-10-0080..