Possible Beef Checkoff increase

[WarEagle73]

Last week I was down in Tampa for the NCBA Convention and attended all the meetings I could make. One of those meetings was the Region II meeting of the NCBA (my region). Two of our regions members are serving as our representatives on the Beef Checkoff Advisory Board (or something like that) and gave a report.

When NCBA got the mandatory checkoff passed in 1985 at $1 per head, the economy was in a much different situation. That $1 in 1985 is now equivalent to $0.47 in today's economy. In other words, the Checkoff is being asked to face greater threats to beef today with less that half the resources it had nearly 30 years ago.

Because of this, our region passed a resolution to suggest NCBA should pursue an increase in the checkoff to create buying power equal to or greater than 1985 levels. Just with some math in my head that would mean a national checkoff of at least $2.25 or so per head. I, personally, am all for an increase in the checkoff, both as a researcher at a land grant university and as a cattle producer. The checkoff does many different things to ensure demand for U.S. Beef remains high both domestically and aboard.

What isn't always seen, though, is the secondary effects of the Checkoff. Our dollars are providing jobs around the country in beef promotion and research. Additionally, almost every piece of research conducted with Checkoff dollars requires the use of graduate students, like myself, at land grant university to put in the hard work and earn an education, while providing quality data that helps increase demand for our product. Without the Checkoff, I wouldn't have had the opportunity to earn a Masters Degree.

So, all that being said, what do you think about a possible increase in the Checkoff?

 

[Anonymous]

They are getting a buck from the buyers and a buck from the sellers as it is. I don't know about the politics of it, but the extra amount would have to be justified or me to be good with it. As with any large organization, I highly Doubt the money is being spent the best way possible. I could be very wrong though.

 

[highgrit]

I think the beef checkoff increase is B.S. Only the ranchers and farmers have to pay the extra dollar. The Dairies don't have to pay anything for calves under 100lbs. Yet all the bulls are sold for beef. Either everyone pays the same or no one pays. It's not right for us to pay a dollar more and the Dairies skate by paying nothing. They have their own checkoff on milk, but when they sell a bull calf it turns into a beef calf.
Price of cows is good now, why do we need more money spent on B.S.

 

[alohacattle]

I think the beef checkoff increase is B.S. Only the ranchers and farmers have to pay the extra dollar. The Dairies don't have to pay anything for calves under 100lbs. Yet all the bulls are sold for beef. Either everyone pays the same or no one pays. It's not right for us to pay a dollar more and the Dairies skate by paying nothing. They have their own checkoff on milk, but when they sell a bull calf it turns into a beef calf.
Price of cows is good now, why do we need more money spent on B.S.

I'm not sure where you are from but by law, all producers selling cattle or calves, for any reason and regardless of age or sex, must pay $1-per-head to the beef checkoff. The buyer is responsible to make sure the checkoff has been paid.

 

[alohacattle]

They are getting a buck from the buyers and a buck from the sellers as it is. I don't know about the politics of it, but the extra amount would have to be justified or me to be good with it. As with any large organization, I highly Doubt the money is being spent the best way possible. I could be very wrong though.

How do you figure that?

 

[WarEagle73]

I think the beef checkoff increase is B.S. Only the ranchers and farmers have to pay the extra dollar. The Dairies don't have to pay anything for calves under 100lbs. Yet all the bulls are sold for beef. Either everyone pays the same or no one pays. It's not right for us to pay a dollar more and the Dairies skate by paying nothing. They have their own checkoff on milk, but when they sell a bull calf it turns into a beef calf.
Price of cows is good now, why do we need more money spent on B.S.

That is simply not true. EVERYONE that sells any type of bovine pays the $1 Checkoff, even dairy producers. The ONLY loophole is cattle that are resold in less than 10 days, and even then the checkoff must be paid then reimbursed. Even beef that is imported into the US must pay the checkoff, $1 for every amount of beef equivalent to one carcass.

I am sure there are folks that sell cattle privately that don't send in their checkoff dollars and that is against the law, but I think the vast majority of cattle make the checkoff.

You can find all the info you want at http://www.beefboard.org/about/faq.asp

 

[WarEagle73]

They are getting a buck from the buyers and a buck from the sellers as it is. I don't know about the politics of it, but the extra amount would have to be justified or me to be good with it. As with any large organization, I highly Doubt the money is being spent the best way possible. I could be very wrong though.

The distribution of the Checkoff funds is decided by the Cattlemen's Beef Board. The board is made up of producers just like you and I. They are selected because they should have the best interest of the industry at heart, because it is their industry and their bottomline as well. Additionally, Checkoff dollars are only paid out for services that are completed, meaning that the checkoff only funds programs after completion and a line by line budget of ACTUAL expenses is provided. This ensures that no profit is derived from checkoff funded events.

I agree that there may be the possibility of under the table things, but the system is set up to eliminate that possibility as much as possible and I feel like we as cattle producers and ag people are typically more honest when it comes to our business and public services. If we weren't, most of us wouldn't have many customers to sell our products to. Because of these things and my personal experiences with the folks at NCBA, CBB, and the Alabama Cattlemen's Association (my state), I feel very confident that those funds are being directed correctly and efficiently.

 

[highgrit]

WarEagle, I was told this at 2 different GCA meetings. And most everyone at the meeting was for the Checkoff increase, as I am. But a few big dairies in So. GA. came up with this B.S. Any dairy calf under 100lbs. is exempt from the beef checkoff. Their reasoning behind this was they have a milk checkoff already, and they raise close to 10 times more money than the beef checkoff per year. This may be a GA. thing, I plan on finding out more later today. When a cow or calf is sold for beef, the checkoff should apply to everyone. " Do you really think someone has the right to take a dollar or 2 from you because you sold a cow. " It's just another tax. And one other thing I learned, and maybe you heard this also. Kansas had a surplus of money from the beef checkoff and we got alot of their extra money. Lots of political B.S. in this Beef Checkoff. Hopefully someone with more knowledge from the GCA will speak up.

 

[Anonymous]

They are getting a buck from the buyers and a buck from the sellers as it is. I don't know about the politics of it, but the extra amount would have to be justified or me to be good with it. As with any large organization, I highly Doubt the money is being spent the best way possible. I could be very wrong though.

How do you figure that?

Dollar added to every salebarn animal bought, and we pay a buck for every animal sold

 

[alohacattle]

Hook I would find a different place to market cattle, your current barn is ripping you off. The beef check off had nothing to do with the stealing of your money. It is very possible that you have been misinformed as well. ;-)

 

[Anonymous]

Hook I would find a different place to market cattle, your current barn is ripping you off. The beef check off had nothing to do with the stealing of your money. It is very possible that you have been misinformed as well. ;-)

I should clarify: the salebarn charges a buck per head for any you purchase.
And at the end of the year, I get a form to fill out from the state cattle board and pay a buck for each one I have.
And, there's an order buyer that has a dollar fee for every head you take to him and its marked as florida beef council. That may just be so he doesn't have to pay it himself.

 

[alohacattle]

Hook you need to contract the P & S, it is illegal for a stockyard to charge the buyer for the beef checkoff, what sale yard is doing that?

 

[Anonymous]

I honestly don't remember such one it was. It was one of 2 though. I haven't bought at the barns fr a few years also. So take that with a grain of salt. The order buyer I'm sure of though

 

[alohacattle]

Hook you should go thru your records and find the one that charged the buyers.

 

[Anonymous]

It was back before I kept records. Back when I was just wanting one and 2 for the table

 

[alohacattle]

Hook no sale barn should take advantage of anyone who is new to cattle like they did to you.

 

[WarEagle73]

Hook I would find a different place to market cattle, your current barn is ripping you off. The beef check off had nothing to do with the stealing of your money. It is very possible that you have been misinformed as well. ;-)

I should clarify: the salebarn charges a buck per head for any you purchase.
And at the end of the year, I get a form to fill out from the state cattle board and pay a buck for each one I have.
And, there's an order buyer that has a dollar fee for every head you take to him and its marked as florida beef council. That may just be so he doesn't have to pay it himself.

I am not familiar with how Florida works as far as a "State" checkoff is concerned. Here in Alabama, an extra $1 is charged on top of the $1 National Checkoff. That extra dollar goes directly to the Alabama Cattlemen's Association and is distributed similarly to the national checkoff funds. If I were you, I would familiarize myself with my state's checkoff program if it exists.

Another issue I have heard cattlemen complain about is the total amount of money if you sell a lot of cattle. A lot cattle operation could easily get into the hundreds or thousands of dollars sent to the checkoff. Even at that level, I believe it is a worthly investment in our industry. Those dollars do so many different things to help the cattle industry beyond increaseing beef demand.

 

[Dave]

I am all for the checkoff. And would be all for an increase if, and only if, it were independeantly run. In my opinion the NCBA has their finger around too much of that money. There was a little issue of an audit of a very small amount of the total money that found a lot of misuse of the funds by NCBA. I know they paid tehmoney back but what would they find if they went back sevral years and did a 100% audit?

 

[houstoncutter]

Last week I was down in Tampa for the NCBA Convention and attended all the meetings I could make. One of those meetings was the Region II meeting of the NCBA (my region). Two of our regions members are serving as our representatives on the Beef Checkoff Advisory Board (or something like that) and gave a report.

When NCBA got the mandatory checkoff passed in 1985 at $1 per head, the economy was in a much different situation. That $1 in 1985 is now equivalent to $0.47 in today's economy. In other words, the Checkoff is being asked to face greater threats to beef today with less that half the resources it had nearly 30 years ago.

Because of this, our region passed a resolution to suggest NCBA should pursue an increase in the checkoff to create buying power equal to or greater than 1985 levels. Just with some math in my head that would mean a national checkoff of at least $2.25 or so per head. I, personally, am all for an increase in the checkoff, both as a researcher at a land grant university and as a cattle producer. The checkoff does many different things to ensure demand for U.S. Beef remains high both domestically and aboard.

What isn't always seen, though, is the secondary effects of the Checkoff. Our dollars are providing jobs around the country in beef promotion and research. Additionally, almost every piece of research conducted with Checkoff dollars requires the use of graduate students, like myself, at land grant university to put in the hard work and earn an education, while providing quality data that helps increase demand for our product. Without the Checkoff, I wouldn't have had the opportunity to earn a Masters Degree.

So, all that being said, what do you think about a possible increase in the Checkoff?[/quote



War Eagle, I am sure I am going to offend the hell outa you, for that Im sorry, but here goes.....AS you stated , that the dollar charged only equaled .47 cents. I will not dispute that one bit, BUT you also shouldnt dispute that a $100 calf is now only worth $47 dollars......Your math not mine! Many of us tried to overturn the checkoff some years ago, and honestly we had the votes... Then they changed the rules so they could get the outcome they wanted......The Beef Checkoff is a prime example of whats wrong with our goverment. They wish to take from some to give to someone else!

 

[alohacattle]

Houston I think your missing the point or your math is indeed wrong.

In 1985 when they took the first checkoff out of the sellers check. The seller was maybe getting $65 for a 7 cwt feeder.

$455 - $1= $454

Now they are still taking $1 but the seller is selling that 7cwt steer for $138.

$966 - $1 = $965

Apples to apples the checkoff needs to be increased don't you think?

Just doing the math it needs to be at or about $2.12 per head.