Whereas the Minnesota Rural Finance Authority (MRFA) has been an important, growing part of Minnesota’s rural lending scene for sixteen years, focusing on undercapitalized and beginning farmers, and;

Whereas Minnesota has issued more than $116 million in participation loans to nearly 2000 Minnesota farmers with an average age of 34 and approximate average net worth of $160,000, and;

Whereas the Minnesota program has proven to be popular with their lenders, with over 350 participating lenders and a MRFA default rate at just over one percent, and;

Whereas Wisconsin’s Legislature in 2002 included in the budget adjustment bill language requiring several agencies to work together to develop a proposal for 2003-05, for the creation of a Wisconsin Rural Finance Authority (WRFA), and;

Whereas the goals behind the WRFA are to; consolidate agricultural programs currently in several agencies, including the Wisconsin Housing and Economic Development Authority (WHEDA), fill in gaps that exist in rural lending, provide a visible and helpful public partner to producers and primary lenders, and help establish, preserve and strengthen the producers who otherwise may not realize a future in farming; and

Whereas WFC was the force behind getting the WRFA in the 2002-2003 budget adjustment bill and in working with chief legislative sponsor Rep. Al Ott since in drafting and introducing the WRFA implementation language as 2003 Assembly Bill 684;

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Whereas The Wisconsin Department of Agriculture, Trade & Consumer Protection (DATCP) has added strength gained with its mission of advocating and overseeing consumer protection, particularly as it connects the agency with urban residents of the state, and;

Whereas DATCP’s Bureau of Consumer Protection is a national leader in consumer protection and returns more than $4 to the state treasury and the states’ consumers for every $1 the state spends on the program, and;

Whereas relocating DATCP’s Consumer Protection functions to the Attorney General’s office is not certain to provide budget savings, and would actually reduce restitution to consumers and revenue to the state treasury, and;

Whereas a transfer of the Consumer Protection from DATCP would decrease its position among state agencies such as the DNR and, by doing so, reduce the influence the state’s rural and agricultural communities have within state government;

Now therefore, the Wisconsin Farm Credit Services Legislative Committee supports maintaining the Consumer Protection Bureau at the Wisconsin Department of Agriculture, Trade and Consumer Protection, and commends the 2005 - 06 Wisconsin legislature for supporting this position.

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Whereas health care has traditionally been one of the primary issues facing Wisconsin agricultural producers because of availability and cost, and;

Whereas “Co-op Care” legislation was enacted in Wisconsin that allows for the creation of purchasing cooperatives to help farmers, agribusinesses and others negotiate better quality health insurance coverage at more affordable prices, and;

Whereas the Farmers’ Health Cooperative of Wisconsin was developed by the Wisconsin Federation of Cooperatives under the Co-op Care legislation and is the first health purchasing cooperative of its kind for farmers and agribusinesses in the United States, and;

Whereas U.S. Senator Herb Kohl and U.S. Representative David Obey worked hard on behalf of Wisconsin farmers to obtain federal appropriations to support Co-op Care and the Farmers’ Health Cooperative of Wisconsin.

Now therefore, the Wisconsin Farm Credit Services (WI FCS) Legislative Committee resolves to support the Farmers’ Health Cooperative of Wisconsin and other Co-op Care health care purchasing cooperative initiatives to help make quality health coverage more available for businesses throughout Wisconsin. 

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Whereas prior to 2002 there was no ethanol production in Wisconsin while we imported over 200 million gallons of ethanol per year, losing out on the value-added opportunity that the industrial use of corn provides, and;

Whereas ethanol plants have increased the demand for corn, which is good for farmers and the overall rural economy as corn is Wisconsin’s number one field crop, and results in processing byproducts of use for feeding livestock, and;

Whereas the Wisconsin Farm Credit Associations have been active in helping finance ethanol plant projects in Wisconsin as well as advocating for legislation aimed at stimulating both ethanol production and usage, and;

Whereas Wisconsin has become the 7th largest ethanol producing state and the addition of new plants and plant expansions is forecast to result in over 877 million gallons of ethanol production in the new few years, and;

Whereas future ethanol production is expected to expand beyond corn to utilize cellulosic feedstocks, such as corn stover, grasses and wood waste, and;

Whereas the University of Wisconsin is the lead institution in a federal Department of Energy funded effort announced in 2007 to develop cellulosic ethanol and other biofuels through intensive basic research;

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Whereas Wisconsin’s “Right to Farm” law offers certain protections to those engaged in agricultural pursuits against nuisance lawsuits, and;

Whereas the “Right to Farm” statute (823.08) offers protection from legal remedy against those agricultural practices that do not present a substantial threat to public health or safety, and;

Whereas such protection is more important than ever as conflicts between neighbors increase in both sprawling suburban areas and in traditional agricultural settings experiencing growing residential construction, and;

Whereas success in production agriculture today may demand a scale of operation and practices that result in disputes even between neighboring farmers;

Now therefore, the Wisconsin Farm Credit Services Legislative Committee supports the “Right to Farm” law at a time when legal challenges to farming operations could put the law to a real test.

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Whereas siting of new and expanded agricultural facilities became more difficult in recent years due to the lack of consistency among local governments, the opposition of various parties and the challenges by opponents of modern and larger agricultural production operations; and;

Whereas the Wisconsin Farm Credit Services Legislative Committee supports the right of farmers to modernize and structure their farm businesses to respond to changes in the marketplace and, consistent with sound, science-based systems, to protect the environment, and;

Whereas the legislature passed 2003 AB 868 that implements the overall recommendations put forth by the DATCP Advisory Committee on Siting Livestock Facilities and approved the administrative rules that implement the new law, aimed at  consistent statewide regulation of new and expanding livestock operations and;   

Whereas the law establishes predictability and streamlines the permitting process for both producers and local governments, thereby helping producers plan their expansions, and resulting in siting permits being issued within 4 months, and;

Whereas a state Livestock Siting Review Board (LFSRB) was created to serve as a review panel for livestock operators or neighbors who are displeased with a local government decision, thereby avoiding further litigation in some cases, and;

Whereas the early positive results of the law are being noted by the livestock industry and governments, both in Wisconsin and elsewhere; 

Now therefore, we strongly remind all to remember that the primary desired outcome of the entire process is a strengthening of the livestock industry in Wisconsin and we will continue to track the results of this law.

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Whereas Health Savings Accounts (HSAs) were created by federal legislation in 2003 to give individuals and families with high-deductible health plans the ability to save for medical expenses on a tax-free basis, and;

Whereas HSAs allow participants to use the funds in their account to pay for current medical expenses, including expenses that their insurance may not cover, or to save the money for future needs, and;

Whereas HSAs are portable and allow participants to accrue funds year after year, gaining interest tax free, and;

Whereas HSAs give individuals, businesses and families another weapon in the fight against rising health care costs, and;

Whereas the Wisconsin legislature has previously considered legislation that would create a state tax treatment for HSAs mirroring federal law, and in 2007 AB 47 and SB 18 have been introduced that would allow individuals making contributions to HSAs to claim an income tax credit for 6.5 percent of the allowable amount that the individual claims as a federal tax deduction or 6.5 percent of the federal tax-exempt earnings relating to an HSA, or both;

Now therefore, the Wisconsin Farm Credit Services Legislative Committee supports the concept of HSAs and requests support by legislators and the administration of state legislation that would create a beneficial tax treatment for HSA contributions and account earnings.

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Whereas Wisconsin is witnessing the construction across the state of a number of new renewable energy facilities, including ethanol and bio-diesel plants, manure digesters, and wind and solar energy systems; and

Whereas, farmers across the state are benefiting from these new facilities through new domestic markets for their grain, increased corn prices, and increasing farmer ownership value of these new facilities; and

Whereas, the state and local economies are benefiting from these new facilities through new construction jobs, new facility managerial, technical and other employment, increased local property values, increased local employment, increased local and state property, sales and income tax payments, and through other financial benefits; and

Whereas, the Wisconsin Farm Credit System is one of the primary financiers of these new renewable energy facilities; and

Whereas, these new renewable energy facilities help to replace imports of energy from other nations and provide security to Wisconsin and the United States from foreign energy supply cutoffs; and

Whereas, as producer owned facilities, the profits remain in the state and the local community and become available for further reinvestment;

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Whereas conversion of farmland to development is accelerating in Wisconsin, and the loss is particularly concentrated in counties located within a triangle between Oshkosh, Milwaukee and Madison, and;

Whereas agriculture is a vital component of the state economy and the state’ continued economic strength depends in large part of the health of the state’s agricultural industry; and

Whereas maintaining Wisconsin working lands of agriculture and forestry will be essential to retaining and growing the state’s agricultural industry and to ensure a healthy state economy and environment in the future, and;

Whereas Wisconsin was once a national leader in farmland preservation when it enacted the Farmland Preservation Program in the 1970s, but the state has done little since then to specifically help prevent the loss and fragmentation of Wisconsin working lands, with the notable exception of enactment of use value assessment, and;

Whereas DATCP created a steering committee in the summer of 2005 to oversee the Working Lands Initiative project, with the goal of developing policy recommendations to strengthen state protection of working lands, and;

Whereas the diverse 26-member committee issued its final report in August, 2006, and:

Whereas the recommendations include making changes to the Farmland Preservation Program, creating a new state purchase of development rights (PDR) grant program, creating a Working Lands Enterprise Area program, expanding beginning farmer and logger programs, building capacity for markets and economic development, along with other proposals, and;

Whereas many of these recommendations are expected to be advanced by DATCP through legislation and other efforts;

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Agricultural Education Council

Whereas Wisconsin’s $51 billion agricultural industry provides nearly 420,000 jobs, employing 12 percent of the state’s workforce, and every new job in agriculture generates an additional 1.3 jobs in the state, and; 

Whereas agricultural industry leaders are finding it increasingly difficult to obtain enough skilled workers capable of responding to the industry’s wide range of employment needs, and predictions warn of increasing shortfalls in the workforce, and;

Whereas part of the dilemma has been a result of insufficient public resources, declining school enrollments and the fierce competition for funding, and;

Whereas DATCP Secretary Rod Nilsestuen convened the Secretary’s Panel on Agricultural Education in 2004 to recommend actions that offer the greatest potential for delivering the sufficient human resources to “Grow Wisconsin’s Agriculture,” and;

Whereas the panel’s recommendations that were issued in a final report of July 2004 detailed 20 specific recommendations to confront and reverse the worsening situation in agricultural education, and:

Whereas 2007 AB 83 has been introduced with 42 legislative authors and sponsors and the legislation would create an Agricultural Education and Workforce Development Council charged with specific functions that will lead to the strengthening of agricultural education and a sufficient number of skilled workers, and;

Whereas 2007 AB 83 seeks state funds of $75,000 per year to pay for the cost of a full- time Executive Director position to be established at DATCP for the council’s operation and requires that private “matching” funds be obtained and utilized in an amount at least equal to the state funding;

Now therefore, the Wisconsin Farm Credit Services Legislative Committee endorses 2007 AB 83, and calls for the enactment of the legislation by the Wisconsin Legislature.  

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Legislative Fund Raising

Whereas the confidence of the public in their state government depends on the representation of citizens by their legislators on the basis of what is the best public policy for the state rather than with regard to whom provided the legislator with political contributions, and;

Whereas the public’s confidence in the legislative process also depends on the making of laws in the open, and;

Whereas Wisconsin legislators continue to make a practice of raising campaign funds during the time they are preparing and voting on the state budget at fundraisers outside of Madison, and;

Whereas, even though there is no evidence this fundraising causes legislators to favor the causes of their contributors while the state budget is being prepared and adopted, the legislative process is undermined by the impression held by some citizens and good government organizations that the campaign fundraising may taint how lawmakers vote;

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Dairy Manufacturing Facility Modernization

Whereas most of Wisconsin’s dairy processing facilities are old and less efficient than new plants elsewhere in the United States, and;

Whereas modernizing these plants is essential to keeping the dairy infrastructure strong in Wisconsin, thereby continuing to offer many potential purchasers of producers’ milk, and;

Whereas dairy cooperatives struggle with the difficulty of obtaining the costly financing necessary to replace plants due in part to equity retirement pressure from retired and retiring members, and;

Whereas Governor Doyle included in his 2007-2009 biennial budget a provision to provide a 10% income tax credit for expenses related to modernization or expansion of dairy manufacturing operations, with a maximum aggregate of tax credits for any claimant limited to $200,000, and;

Whereas the Assembly expanded the budget provision to make the tax refundable, and;

Whereas the Assembly also included a provision to require DATCP to prepare a report on how incentives could be used to promote the modernization and expansion of cooperative dairy manufacturing facilities, but this provision  was not included in the final budget language, and;

Whereas alternatives to income tax credits will be necessary if they are to be of value to dairy cooperatives;

Now therefore, the Wisconsin Farm Credit Services Legislative Committee acknowledges the need for a public-private partnership to help with dairy plant modernization and encourages policy makers to help identify and create the most viable components of such a partnership for cooperative dairy processors.