Page 167-171 161 172 163-166 Additional data submitted to the subcommittee by-Continued Neumann, Carl F., secretary-general manager, National Livestock A continuing meat program with the land-grant colleges (nine Meat consumption, 1935-56 (chart). Merchandising program for Nation's retailers and restaurateurs National distribution of meat literature (four charts).. Noel, Forest, auction market operator, cattleman and sheepman, Montana beef promotion funds... Montana Stockgrowers Association, Inc., Helena, Mont., letter Plager, Wilbur, field secretary, Iowa Swine Producers Association: Salable receipts-posted stockyards, 1955 Poage, Hon. W. R.: Florida Beef Council, Kissimmee, Fla., letter of March 29, 1957.. Iowa Flock Owners Association, Oskaloosa, Iowa, letter of April Kentucky Farm Bureau Federation, Louisville, Ky., letter of National Livestock Producers Association, Chicago, Ill., letters National Sheep Association, Louisville, Ky., telegram of April Rozzoni, Louis A., president, California Farm Bureau Federation: Schmidt, Fred F.: National Livestock Council (chart)....... Short, Don, president, National Beef Council: National Beef Council, Chicago, Ill., constitution and bylaws... Welder, Leo, Victoria, Tex.: Let's Begin Pulling Together-We Must Sell Meat, reprint from Operation of the Texas Beef Council, Dallas, Tex... 93 36 173 115 116 SELF-HELP MEAT PROMOTION PROGRAM (CHECKOFF) WEDNESDAY, APRIL 3, 1957 HOUSE OF REPRESENTATIVES, COMMODITY SUBCOMMITTEE ON LIVESTOCK AND Washington, D. C. The subcommittee met, pursuant to notice, at 10: 10 a. m., in room 1310, New House Office Building, the Honorable W. R. Poage (chairman of the subcommittee) presiding. Present: Representatives Poage, Albert, Jennings, Matthews, Hill, Hoeven, and Harvey. Also present: Representatives Cooley, Polk, Thompson, Watts, Hagen, Johnson, Bass, Dixon, Smith, Krueger, and Teague, of California. John Heimburger, counsel. Mr. POAGE. The committe will come to order. I recognize Mr. Albert. Mr. ALBERT. I ask unanimous consent to submit a resolution on behalf of the Oklahoma Cattlemen's Association. Mr. POAGE. Without objection, it will be included in the record. (Resolution No. 8 is as follows:) OKLAHOMA CATTLEMEN'S ASSOCIATION RESOLUTION NO. 8. BEEF PROMOTION Whereas the livestock industry feels that promotion of its products is vital to its well-being; and Whereas present provisions of the Packers and Stockyards Act do not permit voluntary checkoff at the market for financing such promotion programs: Be it therefore Resolved, That the Oklahoma Cattlemen's Association go on record as endorsing Senate bill 646, amending the Packers and Stockyards Act, giving the Secretary of Agriculture authority to grant such permission. Adopted this 8th day of February 1957, in convention assembled. J. K. HALEY, President. Mr. POAGE. We are here this morning to consider the bills suggested to enable the livestock industry to carry on the program of meat promotion. This legislation would not be necessary were it not for the fact that livestock marketing is under the Packers and Stockyards Act, which prohibits any of the agencies operating in those yards from accepting or deducting any kind of contribution on the part of livestock people and that makes it impossible for the livestock industry to do for itself what the cotton industry and the dairy industry and others have done in behalf of their producers. It is in an effort to try to achieve an opportunity to do those things that this legislation is brought in. There are several bills pending before the committee. Mr. Berry has a bill, Mr. Dixon has a bill, and the chairman has a bill. And then I understand, Mr. Butz, you will suggest an entire new approach to the problem. Mr. BUTZ. We are prepared to discuss one if the committee is ready to bring it up. (H. R. 3749, H. R. 5244, and H. R. 5872 are as follows:) [H. R. 3749, 85th Cong., 1st sess.] A BILL Amending the Packers and Stockyards Act, 1921, to permit deductions for a self-help meat program Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Packers and Stockyards Act, 1921, is amended by inserting after section 317 the following new section to be designated as section 318: "SEC. 318. (a) Any marketing agency that handles the sale of any livestock on a posted market may, upon the request of an organization sponsored by the producers of the species of livestock so handled and which organization supports research into the problems concerning the meat derived from such species and which promotes the sale and consumption of such meat, and which has been approved by the Secretary of Agriculture for such research support and promotion in the State of origin of such livestock, deduct from the proceeds of such sale or sales, a reasonable and nondiscriminatory sum not to exceed 10 cents per head for cattle or calves, and not to exceed 5 cents per head for sheep or lambs, and not to exceed 5 cents per head for swine. The State of origin with respect to any such livestock shall be the State in which this movement to the posted market originated. "(b) In the event the shipper of such livestock objects to the deduction of such amounts from his account of sales, such shipper shall, within thirty days after receipt of the account of sales showing such deductions, request refunds of such amount or amounts so deducted-in which event the market agency that has made such deduction shall refund the amount or amounts so deducted to the shipper who has requested such refund. "(c) If no request for refund has been made within thirty days after the shipper has been delivered the account of sales showing such deduction, then the shipper is conclusively presumed to have agreed to such deduction, and the market agency that has made such deductions shall pay the amount so deducted to the producer sponsored organization described in subsection (a). "(d) The Secretary of Agriculture is authorized to pass on the qualifications of any agency or agencies that are suggested for approval as being the proper producer sponsored organization or organizations to support such research and conduct such promotional work: Provided, That approval shall not be given to more than one such organization with respect to each species of meat producing livestock originating in any one State. "(e) Each such agency or agencies as may be approved by the Secretary of Agriculture shall report annually to the Secretary of Agriculture on the collection and use of funds coming into such agency under the terms of these aforesaid provisions." [H. R. 5244, 85th Cong., 1st sess.] A BILL Amending the Packers and Stockyards Act, 1921, to permit deductions for a self-help meat promotion program Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Packers and Stockyards Act, 1921, is amended by inserting after section 317 the following new section to be designated as section 318. "SEC. 318. (a) Any marketing agency that handles the sale of any livestock on posted market may, upon the request of an organization sponsored by the producers of the species of livestock so handled and which organization supports research into the problems concerning the meat derived from such species and which promotes the sale and consumption of such meat on a nationwide basis, and which has been approved by the Secretary of Agriculture for such support of research and promotion of the sale of such livestock products, deduct from the proceeds of such sale or sales, a reasonable and nondiscriminatory sum not to exceed 10 cents per head for cattle or calves, and not to exceed 5 cents per head for sheep or lambs and not to exceed 5 cents per head for swine. "(b) In the event the shipper of such livestock objects to the deduction of such amouts from his account of sales, such shipper shall, within thirty days after receipt of the account of sales showing such deductions, request refunds of such amount or of amounts so deducted; in which the market agency that has made such deduction shall refund the amount or amounts so deducted to the shipper who has requested such refund. "(c) If no request for refund has been made within thirty days after the shipper has been delivered the account of sales showing such deduction, then the shipper is conclusively presumed to have agreed to such deduction and the market agency that has made such deduction shall pay the amount so deducted to the produced sponsored organization described in subsection (a). "(d) The Secretary of Agriculture is authorized to pass on the qualifications of and to designate not more than one producer sponsored agency in each State as being the proper producer sponsored organization or organizations to support such research and conduct such promotional work in such State or States and any agency so selected shall be authorized to cooperate with other like agencies in other States. "(e) Each such agency or agencies which may be approved by the Secretary of Agriculture shall report annually to the Secretary of Agriculture on the collection and use of funds coming into such agency under the terms of these aforesaid provisions, and the Secretary of Agriculture is authorized at any time to withdraw designation of any such agency or to designate any such agency to act in other or additional States." [H. R. 5872, 85th Cong., 1st sess.] A BILL Amending the Packers and Stockyards Act, 1921, to permit deductions for a self-help meat production program Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Packers and Stockyards Act, 1921, is amended by inserting after section 317 the following new section to be designated as section 318: "SEC. 318. (a) Any marketing agency that handles the sale of any livestock on a posted market may, upon the request of an organization sponsored by the producers of the species of livestock so handled and which organization supports research into the problems concerning the meat derived from such species and which promotes the sale and consumption of such meat, and which has been approved by the Secretary of Agriculture for such research support and promotion in the State of origin of such livestock, deduct from the proceeds of such sale or sales, a reasonable and nondiscriminatory sum not to exceed 10 cents per head for cattle or calves, and not to exceed 5 cents per head for sheep or lambs and not to exceed 5 cents per head for swine. The State of origin with respect to any such livestock shall be the State in which this movement to the posted market originated. "(b) In the event the shipper of such livestock objects to the deduction of such amounts from his account of sales, such shipper shall, within thirty days after the receipt of the account of sales showing such deductions, request refunds of such amount or amounts so deducted; in which event the market agency that has made such deductions shall refund the amount or amounts so deducted to the shipper who has requested such refund. "(c) If no request for refund has been made within thirty days after the shipper has been delivered the account of sales showing such deduction, then the shipper is conclusively presumed to have agreed to such deduction and the market agency that has made such deduction shall pay the amount so deducted to the producer sponsored organization described in subsection (a). "(d) The Secretary of Agriculture is authorized to pass on the qualifications of any agency or agencies that are suggested for approval as being the proper producer sponsored organization or organizations to support such research and conduct such promotional work: Provided, That approval shall not be given to more than one such organization with respect to each species of meat producing livestock originating in any one State. "(e) Each such agency or agencies as may be approved by the Secretary of Agriculture shall report annually to the Secretary of Agriculture on the collection and use of funds coming into such agency under the terms of these aforesaid provisions." Mr. POAGE. Probably we will save time by asking Mr. Butz, of the Department, to start out and give us an outline of the program and discuss what the Department has in mind. Therefore we will recognize you at this time, Mr. Butz. Glad to have you with us. STATEMENT OF HON. EARL L. BUTZ, ASSISTANT SECRETARY OF AGRICULTURE; ACCOMPANIED BY NATHAN KOENIG, SPECIAL ASSISTANT TO THE ADMINISTRATOR, AGRICULTURAL MARKETING SERVICE, UNITED STATES DEPARTMENT OF AGRICULTURE Mr. BUTZ. I have a statement that sets forth some of the principles that we think should be observed in a bill like this. Will it be satisfactory if I give the statement and then get into the discussion? Mr. POAGE. Very well. Mr. BUTZ. I appreciate this opportunity to appear at this hearing on H. R. 3749 and H. R. 5244, two bills which seek to amend the Packers and Stockyards Act to provide for a so-called self-help meat promotion program. Our common concern is the solution of problems confronting farm people and the promotion of a prosperous and healthy agriculture. The livestock and meat industry is, of course, a vital segment of our agriculture. It is tremendously important in our economy. There is livestock on almost all American farms and ranches, and meat animals account for more than one-half of the cash receipts from all farm marketings. Consumers spend an important part of their incomes for meat. In fact, meat is the largest item of the average family's food expenditures, accounting for about one-fourth of the family's food budget. At the time this administration took office a substantial drop in cattle prices was in progress and cattle producers were in need of assistance. Cattle numbers were rapidly increasing and the drought situation was worsening. Among our earliest actions was to call together representatives of the entire livestock and meat industryproducers, feeders, retailers, processors, credit agencies, and so forth. to advise with us. Repeatedly the industry representatives have recommended that Government intervention be kept to a minimum. They have strongly expressed the belief that the type of Government aid which could best be used would be that which would help the industry work out its own problems. They have recommended coordinated and intensified merchandising promotion better to acquaint consumers with the abundant supplies of meat; supplemental purchases for special distribution outside of regular trade channels, both at home and abroad, during periods of abundant production; and other supporting actions which would aid in building industry confidence and morale. |