May 22, 2013

Dupont signs agreement with USDA involving cellulosic ethanol and farming

Ag Secretary Tom Vilsack signs agreement with Dupont VP Jim Borel.

Ag Secretary Tom Vilsack signs agreement with Dupont VP Jim Borel.

U.S. Ag Secretary Tom Vilsack today announced a new federal-private collaboration with DuPont to set up voluntary standards for harvesting corn stalks and other plant material that’s used to make ethanol.

Vilsack signed what’s called “a memorandum of agreement” with company officials at the Dupont-Pioneer research facility in Johnston.

Dupont executive vice president, Jim Borel, says under the agreement the company will work with farmers that will keep topsoil in the fields and out of streams an rivers.

“This is hard stuff, this is hard science. Breaking down cellulosic materials, converting them to sugars and then converting them to fuel, and doing that at a costs or economics that work is a challenge,” Borel says.

Ag Secretary Tom Vilsack talks with senior research director Hillary Sullivan during a tour of the Dupont-Pioneer research facility.

Ag Secretary Tom Vilsack talks with senior research director Hillary Sullivan during a tour of the Dupont-Pioneer research facility.

“And we sure didn’t want to solve one problem and the create another one. Which is why designed the program to be sustainable at the very outset by every measure.”

The first plant involved in this national agreement is near Nevada where DuPont is building a 30-million gallon a year cellulosic facility. “We’ve worked tirelessly to ensure that from farm to fuel we’re creating a system that’s viable for the long haul,” Borel says.

“This was critically important to us and to the growers who have cooperated with us over the last three-and-a-half years that we’ve worked to prepare the ability to bring about 600-thousand bales of stover to our facility every year. That’s about one per minute.”

Secretary Vilsack says the plan helps protect the water that the entire state uses, and he says it helps rural America.

“The reality is that you are dealing in this great adventure that you’ve started with farmers in a 30 to 50-mile radius, and you are creating a local market and a regional market for something that they grow and raise beyond the corn that they raise. You’re creating an ingredient that before that it was just something that was part of replenishing the soil — as important as that is — but now you’ve created a value to it, an additional value, an added value,” Vilsack says.

The former Iowa governor says the economic impact of the environmental practices extends beyond the waterways. “When you have cleaner water, when you’ve got stronger soils, when you have grassy areas that we are engaged in involved our overall conservation, it creates whole new opportunities for outdoor recreation,” according to Vilsack.

Corn stover bales.

Corn stover bales.

“It improves the landscape, it creates better hunting and fishing opportunities, and that brings people to our great state. And it brings people from other countries to our great country.” V

ilsack says the research into plant genetics and cellulosic ethanol conducted by Dupont will lead to innovations that help everyone.

“The bio-based economy is going to extend beyond just what happens with fuel as the scientists and the folks with the white coats who are here today — as they tinker with that DNA stuff I saw — they are going to discover other products, they’re going to create other inventions, they’re going to create new machinery, they’re going to patent new ideas, and that’s going to create a whole new set of industries,” Vilsack says.

Under the agreement, the U.S.D.A.’s Natural Resource Conservation Service will work with farmers to voluntarily come up with a plan to protect the topsoil and yield while removing some of the material that traditionally stays in the fields.

Vilsack asks Iowa legislators for support of ethanol industry

Ag Secretary Tom Vilsack. (file photo)

Ag Secretary Tom Vilsack. (file photo)

U.S. Ag Secretary Tom Vilsack is asking Iowa legislators to pass a resolution expressing support for the ethanol industry and the federal rule that requires a certain level of ethanol be produced each year.

“It’s very, very important that we preserve that renewable fuel standard and….legislative leaders in states like Iowa, I think, have a vested interest in making it known what their feeling is and I just respectfully suggested one way to do would be a resolution here in the legislature that saying, ‘Hey, we support the renewable fuels standard,’” Vilsack said this morning. “I don’t know if they’ll take it up or not, but I hope they do.”

Vilsack, a Democrat who served as Iowa’s governor for eight years, met privately this morning with Democrats and Republicans serving in the Iowa legislature and one of the topics Vilsack discussed was renewable fuels.

“This is an important industry to Iowa. It’s an important industry to agriculture. It’s an important industry to consumers of this country because you absolutely pay less at the pump because we have a healthy renewable fuels industry,” Vilsack told reporters after his private meetings at the statehouse. “The renewable fuels standard is the lynchpin to that healthy industry. It’s also the lynchpin to further investments in advanced biofuels that will allow us to expand significantly beyond corn-based ethanol, which will be a good thing.”

Oil-state senators are pushing legislation that would get rid of the renewable fuels standard. Critics say it artificially props up an industry that can’t make a profit without federal intervention.

Vilsack is also warning state officials looming federal budget cuts may have an impact on state programs that get federal grants or federal funding. Vilsack said he’s carefully drawing up the budget cutting plans for the U.S.D.A., as miscalculations could mean legal problems in the future.

 ”Unlike a shut down where you know eventually the budget’s going to come back up and you’re going to have adequate resources, this is really about reducing the budget, so you’re not assured that the monies that are going to be cut through sequester are ever going to be replaced,” Vilsack said, “so it’s important that you calculate it right and that you implement it right, because you could be faced with anti-deficiency violations, for which there are civil and criminal penalties.”

If congress and the president cannot agree on an alternative plan, across-the-board cuts in the federal budget will take effect March 1.

“If you have an area of the budget, like food safety, where you have no flexibility because there are very few lines in that budget, and it’s predominantly labor, you’re faced with a very serious circumstance in terms of people like inspectors,” Vilsack said.

According to Vilsack, a better approach would be to give federal agency leaders like himself the authority to make selected cuts rather than an across-the-board cut and Vilsack said “it’s frustrating” that congress hasn’t at least taken that step.

“What’s interesting is people are concerned about the consequences of sequester and the solution is for congress to do its job,” Vilsack said. “They have the power to stop this.”

President Obama again today asked congress to delay the across-the-board cuts and, instead, pass a smaller package of spending cuts and tax increases. Republicans in congress say they’re not interesting in raising taxes.

King to seek cuts in food stamps

Republican Congressman Steve King plans to use a new leadership position to press for a reduction in food stamps or “Supplemental Nutrition Assistance Program” benefits.

“These benefits, call them that — nutrition benefits, are for people that need them, that are needy,” King says, “and they’re not for anyone else.”

The monthly benefit for a single food stamp recipient is just under $134.

King is the new chairman of a House subcommittee that oversees operations of the USDA, including the food stamp program. King won reelection in November by defeating Christie Vilsack, wife of U.S. Agriculture Secretary Tom Vilsack — the chief of the USDA. King says he’s worked with Vilsack before when the two were serving in the Iowa Senate and when Vilsack was governor and will be able to do so again.

“Tom Vilsack has excellent credentials and he is always well prepared and he thinks things through well,” King says. “And I’d like to think that we have mutual respect for each other’s ability even though we carry different philosophies into the arena.”

King is critical of Vilsack’s philosophy on food stamps.

“The Department of Agriculture has been advocating to push more and more SNAP benefits out and, in doing so, the argument that came from the secretary was for every dollar’s worth of food stamps you hand out, you get $1.84 in economic activity,” King says. “I completely reject that economic philosophy.”

According to King, fraud in the food stamp program needs to be addressed.

“One of the things we’ll be looking at is food stamps and the qualifications for food stamps,” King says, “and looking at how the (Electronic Benefits Transfer) card has been used for, oh, tattoos and bailing people out of jail and a number of inappropriate uses.”

In 2004 the U.S.D.A. quit issuing paper “stamps” and Americans who qualify for food stamps now get a plastic card they can swipe at the store. A Government Accountability Office audit found that from 1993 to 2010, fraud had been reduced by nearly 75 percent. About 90 percent of American households that receive food stamps live below the poverty line. For a two-person family, like a single mom with one child, the poverty line is $15,000 in annual income.

Senator Tom Harkin: “It’s time for me to step aside.”

Senator Tom Harkin speaking at a rally for President Obama at Iowa State.

Senator Tom Harkin in August at a campaign rally for President Obama on the Iowa State University campus..

Senator Tom Harkin says “it’s not easy to walk away,” but he has decided not to seek reelection in 2014. 

Harkin made his decision public this morning. Some members of the Iowa Democratic Party’s state central committee had tears rolling down their cheeks as Harkin spoke at their meeting in Des Moines.

“I’m not quitting today. This is not a time for legacy talks or anything like this,” Harkin said. “It’s a time for looking ahead. It’s a time for all of us, now, to renew our vigor, to make sure that we find the best candidate possible.”

During an interview with Radio Iowa a few minutes later, Harkin said he’s been thinking about retiring since the last election.

“I’m 73. By the time I run I’d be 75. By the end of this term I will have been the House and Senate for 40 years,” Harkin said, “and I can’t tell you how grateful I am to my fellow Iowans for giving me this opportunity for 40 years, but it’s now somebody else’s turn.”

Harkin’s announcement stunned many in his own party, including out-going Iowa Democratic Party chair Sue Dvorsky.

“It’s a little earthquaky,” Dvorsky said, “…We were surprised.”

According to Harkin, now is the time to make the announcement, so other Democrats can step forward, start raising money and assembling a campaign.

“It’s time for me to step aside. There are a lot of younger Iowans out there, new people and by my stepping aside…it cascades down. It opens up new opportunities for a lot of younger Iowans to move up and to take new positions of authority and responsibility and I think that’s not only good for our party, it’s good for our state and good for our nation,” Harkin said. “So, it’s just somebody else’s turn.”

Iowa will now have one of most hotly-contested senate races in the country in 2014, as Republicans target the seat for pick-up. Harkin will not endorse a Democrat successor.

“I don’t think that it’s my job to try to pick somebody. That’s up to the Democrats to do,” Harkin said. “…I hope the Democrats pick a smart, savvy, pragmatic person to run. We’ll see who emerges.”

Congressman Bruce Braley of Waterloo and former Iowa Governor Tom Vilsack are two names which have already emerged as potential candidates on the Democratic side. Republican Congressman Steve King of Kiron in November said he wouldn’t rule out the idea of running against Harkin in 2014.

In remarks to his fellow Democrats this morning, Harkin stressed that he will remain in the senate for two more years, but Harkin acknowledged retirement had been “in the back of (his) mind” since the last election.

“I’m very fortunate to be able to be able to leave the senate on these terms. It’s not a health reason. I’m perfectly health, so far. I have no fear of losing an election. I expect to have a tough race, what the heck, but I think I can raise the money and organize a successful campaign in Iowa,” Harkin said, speaking in the present rather than the past tense about a 2014 campaign, before returning to the subject of his exit from the senate. “It’s just time. I wish I could put it more profoundly than that. I just sense that it’s time.”

Harkin has promised his wife, Ruth, that they’ll do some of the things they’ve been unable to do because of his work schedule. At the top of the list: dancing lessons.

“We’ve been married 45 years. She’s been on my case for about 40 of those years, at least, to take dancing lessons and she’s great. She’s great at music and all that kind of stuff but I never have been and we’ve talked about it and, well, I’m not saying I couldn’t have done it, but I always had an excuse not to do it,” Harkin said, with a laugh. “So now, Ruth and I are going to take some dancing lessons.”

Harkin considers his work on the “Americans with Disabilities Act” to be his hallmark legislative achievement. Harkin did a turn as chairman of the Senate Ag Committee then, in 2009, Harkin became chairman of the Senate Health, Education, Pensions and Labor Commitee.

Vilsack to stay at ag secretary in Obama’s second term

Former Iowa Governor Tom Vilsack will continue to serve as President Obama’s secretary of agriculture.

“I’m proud of a lot of stuff we’ve done and we’ve done it with less money and restructuring and reorganizing the department. I mean, it’s been an amazing four years,” Vilsack says. “I am just thankful we have more time because there’s more to do.”

Vilsack has repeatedly described being head of the USDA as “the best job in the world.”

“I’m really proud of the work we’ve done in civil rights, ending cases that have been on file for years, decades,” Vilsack says. “I’m really proud of the fact that we have the lowest fraud rate in the SNAP program and the lowest error rate in the history of that program.”

SNAP stands for the Supplemental Nutrition Assistance Program, often referred to as food stamps — a program administered by the U.S. Department of Agriculture.

As Obama’s second term starts, Vilsack will tackle some major unfinished business from the first — the failure of congress to pass a Farm Bill.

“I mean, look, everybody should be disappointed we don’t have a bill. It’s crazy we don’t have a bill. It really is. It’s nuts, but it does give us an opportunity to come together. It challenges our thinking and it challenges our approach and I think this is going to be — at the end of the day — it’s going to be a positive outcome if we make it that way.”

As 2012 drew to a close, congress passed a temporary extension of the current Farm Bill through September 30, 2013.

Vilsack made his comments during a press conference at the American Farm Bureau Federation’s annual meeting last week in Nashville, Tennessee.

(Reporting by Dan Skelton, KICD, Spencer)

“First in the Nation” celebration in D.C. January 19

The Washington, D.C.-based “State Society of Iowa” is hosting a party in D.C. on the eve of President Obama’s second inaugural.

The “First in the Nation Celebration” will be held Saturday, January 19 at a museum near the the White House. Iowa native Jennifer Mullin, a D.C. resident, is on the planning committee.

“A terrific party for Iowans who are in the Beltway for the inauguration or for folks from Iowa who work and live in D.C.,” Mullin says.

More than 700 people attended a similar “Iowa party” in January of 2009, just before Obama’s first inaugural. Mullin expects at least one or two politicians who hope to run for president in 2016 will stop by this year’s affair. They’ll bump into a few people with campaign experience in Iowa.

“D.C. is just chock full of people who have done a tour in Iowa,” Mullin says. “It’s interesting that you’ll find folks who don’t just work for members of congress from Iowa, but who have worked on a presidential campaign who work in various different jobs now in D.C., but have a special connection to Iowa and those folks always show up to these types of events.”

Every member of Iowa’s congressional delegation has been invited. Former Iowa Governor Tom Vilsack — the current secretary of agriculture — and his wife are on the guest list, too.

“There’ll be a lot of Iowa elements to the party,” Mullin says. “There’s going to be Templeton Rye which everyone knows is Iowa’s favorite hooch. We’ve got a terrific menu planned with a lot of Iowa-themed dishes.”

Tickets are $75 each, plus Alliant Energy, Microsoft and Pioneer have signed on as corporate sponsors.

Vilsack calls for action on Farm Bill

U.S. Agriculture Secretary Tom Vilsack is urging the U.S. House and Senate Ag Committees to get a Farm Bill ready. Once created, Vilsack says that legislation could be attached to any agreement to avoid the fall off the “fiscal cliff” of automatic tax hikes and budget cuts which loom on January 1st.

“That would provide a vehicle for the passage of a food, farm and jobs bill,” Vilsack says. “In order for that to happen, they could not be in a situation where they would ask folks to wait while they crafted and drafted whatever compromises they could reach. They need to do that work now so that when and if there’s a resolution to the fiscal cliff, the farm legislation could be attached to it without delay.”

Vilsack, a former Iowa governor, says it will take a lot of work to get a new Farm Bill ready for the upcoming growing season. “We will do everything we can to move heaven and earth,” Vilsack says. “Once Congress does its job, we will do our job in a timely way. It obviously depends on at what point in time they ultimately get their work done.”

The automatic budget cuts that will come with the new year will impact practically every single U.S.D.A. program, what Vilsack says would be a disaster. “That gives me no capacity to manage,” he says. “It’s eight-and-a-half or eight-point-seven percent, whatever it is, across the board, virtually every line item. You can’t transfer. The only way you’re going to deal with it is by reductions in force and that is extraordinarily cumbersome.”

Without action by Congress, a series of 500-billion dollars in tax increases and 200-billion in budget cuts will automatically take effect on or around the first day of January, a leap some analysts fear could prompt another recession.