State Legislative Sessions Begin

Transportation funding on Minnesota legislative agenda

By Bruce Kleven, klevlaw@aol.com

The 2005 session began on Jan. 4, 2005, and this session promises to be a very difficult one as legislators try to wrestle with another budget deficit.  The November budget forecast pegged the budget shortfall for the next two-year budget cycle at approximately $700 million (out of a total budget of $28 billion). If inflation is factored in at the rate of 2.5%, the budget deficit jumps to $1.5 billion

The November elections resulted in the shuffling of a number of House Chairmanships. Rep. Greg Davids (R-Preston) has been named Chairman of the House Agriculture Policy Committee. The House Ag Finance and the House Environment Finance Committee have been merged and will be chaired by Rep. Dennis Ozment (R-Rosemount). The Environment Policy Committee will remain under the direction of Rep. Tom Hackbarth (R-Cedar).

Transportation funding is sure to be an area that will receive a lot of attention this year. The Minnesota Chamber of Commerce is spearheading a very large coalition that supports an increase in transportation funding. Their plan would raise between $700-$750 million per year for the next 15 years, primarily through a 10-cent gas tax increase and a restoration of the license tab fee reduction championed by then Gov. Ventura. The Chamber and the Republicans are usually on the same page, so it will be interesting to see the reaction to this proposal at the Capitol.

In terms of agriculture, many of the issues will be considered in the context of the budget situation, and there are not many policy initiatives on the table thus far.  What ag-related issues come up are likely to be defensive in nature,  to protect past gains made in property tax reform and to make sure the budget is not balanced on the backs of rural Minnesotans. 

Among the agriculture issues we expect to see are increased state efforts to retain and expand the livestock industry, discussions about permanent easements on ag land for conservation purposes, pesticide regulation, and general environmental issues.

Kleven is legislative counsel in St. Paul representing the Minnesota Association of Wheat Growers and the Minnesota Barley Growers Association.

Minnesota legislative information online: www.leg.state.mn.us .

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Wheat checkoff, renewable fuels among North Dakota legislative issues 

By Dan Wogsland, ndgga@btinet.net  

One major issue in the 59th assembly of the N.D. legislature, which began on Jan. 4, will be biodiesel and ethanol initiatives.  Should there be incentives or mandates?  How our state chooses to encourage and develop these industries will shape their viability in the state for years to come.  With that viability comes the producers’ ability to add value to production, which can ultimately add to their bottom line.

Another issue that may be debated is wheat biotechnology. Integrating wheat biotechnology in the crop mix will be an essential part of wheat’s future.

Agricultural research dollars are always a concern.  Adequate funding to continue crops research is critical to the long-term viability of producers. Projects such as the proposed greenhouses at NDSU are a vital component in giving our researchers the tools necessary to keep our farmers competitive in the global economy.

Rail rates are a major concern to N.D. wheat producers as well as grain elevators. North Dakota pays some of the highest rail rates in the nation, mainly due to the lack of rail competition.  The N.D. Legislature will be considering the funding of a rail rate case, which will have broad implications for producers and elevators alike.

Wheat checkoff funding will be discussed. The NDGGA is committed to assuring that adequate dollars for the promotion of wheat are available both domestically and globally.

The NDGGA will be working on behalf of N.D. grain producers to promote sound policies as these and other issues are discussed this session.

Wogsland, a former state lawmaker, is executive director of the N.D. Grain Growers Association.

State legislative link online: http://discovernd.com/government .