House of Representatives appropriators have unveiled their fiscal 2021 agriculture spending bill and it is on its way through Congress. The $24 billion bill attacks several Trump-proposed cutbacks to administrative food policies, including continued attempts by the Trump administration to crack down on eligibility rules for Supplemental Nutrition Assistance Program (SNAP) benefits for the poor. The bill was approved by a voice vote with only minor changes to some farm spending provisions. The bill is strongly supported by House Democrats but will face a tough Senate vote. At presstime just hours before Congress plans to adjourn for its August break, a number of other proposed bills and regulatory issues related to the pandemic are also raising eyebrows on Capitol Hill as the Democrats want to do more for those in need and the Republicans are taking a hardline stance. We will see how that plays out. In the meantime, following are other things happening on the Hill of interest to the food industry.
Agriculture Funding Bill
The Ag spending bill funds agencies and programs within USDA, FDA and the Fair Credit Administration, among others. The $24 billion price tag is an increase of $487 million above the fiscal 2020 enacted level. Among other things, the legislation proposes revoking line-speed waivers granted to meat processors during the COVID-19 pandemic and prohibits additional waivers. A final agreement between the House and Senate on fiscal 2021 government funding must be met by September 30, 2020. Stay tuned.
Food Insecurity
The number of households considered as “food insecure” has increased during the coronavirus and are at levels much higher than during the depths of the Great Recession of the 1930s. Blacks and Hispanics are faring worse than white households. “This is uncharted territory,” said Diane Schanzenbach, an economist and director of the Institute for Policy Research at Northwestern University. “We’ve never seen food insecurity rates double, or nearly triple – and the persistent race gaps are just appalling.” House Democrats are working to get a 15 percent increase in food stamp benefits as well as an extension of recent SNAP benefit increases into the next coronavirus aid package. An interesting sidebar note crossed my desk the other day from Food Safety News related to food insecurity. It mentioned that more people today are seriously worried about food affordability and have taken to eating cooked meats and bagged salads past their use-by dates. This points to the hardships people in need are facing as they do whatever has to be done to stretch their food consumption habits.
Increased SNAP Benefits
Politico reported last month that there was a growing bipartisan coalition pushing for emergency funding for the Gus Schumacher Nutrition Incentive Program which supports initiatives like “Double Up Food Bucks” to give SNAP participants extra benefits to spend on produce in retail food stores and farmers’ markets. This popular program is being stretched thin during the pandemic, Politico reported, because it requires that grantees get their federal funds matched by outside sources. However, philanthropy and state coffers are being squeezed tight as demand for nutrition assistance increases. As previously stated, the House and Senate are working aggressively on the next coronavirus aid package and efforts such as the Schumacher Nutrition Program which are being supported by the Fair Food Network as well as the National Grocers Association, United Fresh Produce Association, and others will put added pressure on Congress to support programs to aid the needy in these difficult times.
In a related move to help those in need, a new bill just introduced in the House would create a new position at USDA focused on coordinating supply chain issues, a role that would include matching up surplus product with organizations in need. The bill was introduced last month by House Republican Dan Newhouse (WA) and a companion bill in the Senate by Republican Senator Kelly Loeffler (GA).
Organic Enforcement Rule Introduced
USDA’s Agricultural Marketing Service (AMS) is expected to soon publish amendments to its organic regulations that are designed to strengthen oversight and enforcement of production, handling and the sale of organic agricultural products, according to Meatingplace News.
The agency said that the amendments “protect integrity in the organic supply chain and build consumer and industry trust In the USDA organic label.” AMS hopes to improve farm-to-market traceability, offer robust enforcement of USDA organic regulations, update labeling of non-retail containers and better calculate organic content of multi-ingredient products, among other topics related to the $55 billion organic industry.
AMS will soon be inviting comments on the proposed rule once it is formally published in the Federal Register. If you have an organic purchasing specialist on staff, you may want to advise that individual to watch for the upcoming proposed rule.
Dietary Guidelines Final Report Published
Keeping you informed on the Dietary Guidelines rollout, the latest news is that USDA has posted the 2020 Dietary Guidelines advisory committee’s final scientific report, an objective review of the latest available science on specific nutrition topics. The report’s evidence-based findings will provide a roadmap of sorts for USDA and Health and Human Services (HHS) agency heads and staff to co-develop the 2020-2025 Dietary Guidelines for Americans. The final guidelines will then provide the food industry and Americans with widely accepted recommendations on what to eat and drink to promote good health and prevent chronic disease.
Thus, while the 2020 Dietary Guidelines advisory committee has finally submitted its 845-page Scientific Report to the USDA and HHS Secretaries after 15 months of deliberations, the next formal step in the process is for the public to submit comments to USDA and HHS. Politico ran an interesting note in its coverage of the guidelines rollout by reporting about a little-noticed public letter sent last month to USDA Secretary Sonny Perdue and HHS Secretary Alex Azar by the Dietary Guidelines Committee chair and vice chair. Their letter pointed out that the two “parallel epidemics,” one non-communicable (obesity and other diet-related diseases) and one infectious (COVID-19), “appear to be synergistic.” They also noted that isolation and economic disruptions have “led to significant increases in food insecurity and hunger, further increasing susceptibility to both infectious and diet-related chronic diseases.” Interesting analogies.
Meat Sales
USDA’s Food Safety Inspection Service (FSIS) has announced the dollar limitations for retailers that sell meat and poultry to hotels, restaurants and similar institutions for 2020. The limit for meat has been increased to $79,200 and the limit for poultry remains the same at $56,600. A retailer exceeding these limits loses its exemption.
And talking above about meat sales, it reminded me of a story that appeared in the New York Times about unusually large exports of pork and other meats to China at the height of the pandemic as the industry struggled with plant closings due to COVID-19. Well, that story has now led to an investigation by some Democratic senators, who question how the industry could export more than 1.9 billion pounds of meat and pork when it was warning that the U.S. meat supply chain was breaking down and asking the administration for help in keeping its plants operating. Could this be a “whoops” moment? Let us see how the industry responds.
Seafood Guidance Issued
FDA has just issued a final Compliance Policy Guide (CPG) entitled, “Use of The Seafood List to Determine Acceptable Seafood Names.” This CPG is intended for use with the official FDA Seafood List and provides consistency, accuracy, and clarity for determining acceptable market names for seafood sold in interstate commerce. CPGs are guidance documents directed toward FDA staff that also inform industry representatives on FDA’s interpretation of agency policy on regulatory issues. Let your seafood buyers know of this latest CPG.
Do Not Step on the Gas
Now I have heard everything. How do you get cattle to reduce the amount of methane generated gas they deposit on the ground as they are raised? Burger King suppliers have a solution. The fast food chain is testing a Whopper sandwich made with beef from cattle that have been fed a special diet aimed at significantly reducing, by an average of 33 percent, methane gas from their “deposits.” BK teamed up with scientists to develop and test this new diet for cattle for only the last three or four months of their lives just before slaughter. The cattle’s special diet includes the addition of 100 grams of lemongrass leaves daily into their regular diet, thus helping to release less methane – a greenhouse gas blamed for contributing to global warming. Isn’t science wonderful?
Barry Scher is associated with the public policy firm of Policy Solutions LLC and may be reached at [email protected].