To: Nebraska R-CALF USA Members, Affiliates, and Friends
From: Bill Bullard, CEO
Date: October 21, 2021
Subject: Nebraska Holds Key to 50/14: Calls Needed!
Background: Senators Grassley and Tester’s 50/14 bill, S.949, that increases the number of cattle to be sold in the negotiated cash market and decreases the number of cattle to be sold under some type of captive supply agreement, is being held up by Nebraska Senator Deb Fischer.
Deb Fischer is trying to weaken the 50/14 bill by trying to establish different cash volume percentages in each region or by simply reducing the 50% national threshold required in the Grassley/Tester bill.
A major problem in the marketplace is that there are too many contracts and too few cash sales. Unless we fix that, the market is likely to stay where it is.
A few packer-aligned economists argue that reducing the number of contracted cattle will cause the sky to fall. And if you carry their argument further, like as far as they pushed Congress to go in the hog market, virtually everything will be sold by contract from birth to plate, which means cow/calf producers and backgrounders will have to begin hunting contracts or they won’t have a market for their feeder cattle.
We must preserve the integrity of the cash market and Senators Grassley and Tester’s 50/14 bill is the quickest and most effective way to get there.
Action: Please call your two Senators and explain to them just how broken your markets are. Tell them your personal stories of how the broken market is affecting your ranching operations. We want Senators Fischer and Sasse to join Senators Grassley and Tester in support of the Senate Bill 949, the 50/14 bill, that will actually fix the broken marketplace. Your calls will most certainly help.
To reach your two Senators (and be sure to ask to talk directly to them; but if you can’t, ask to at least speak with the staff member that handles agriculture):
Senator Deb Fischer: (202) 224-6551
Senator Ben Sasse: (202) 224-4224
Thank you for your help and we’ll soon be back in touch.
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R-CALF USA (Ranchers-Cattlemen Action Legal Fund, United Stockgrowers of America) is the largest producer-only lobbying and trade association representing U.S. cattle producers. It is a national, nonprofit organization dedicated to ensuring the continued profitability and viability of the U.S. cattle industry. Visit www.r-calfusa.com or, call 406-252-2516 for more information.