GRANGE
ASKS FOR CLOSE GOVERNMENT SCRUTINY OF NESTLE/RALSTON-PURINA MERGER In
June 14 letters to Agriculture Secretary Ann Veneman and Federal Trade Commission
Chairman Timothy Muris, the National Grange has asked for close government scrutiny
of the proposed $10.1 billion purchase of U.S. based Ralston-Purina by the Switzerland
based Nestle Company. The letters point out that the merger will not only create
the largest pet food provider in the world, it will also create one of the largest
corporate processors of bulk agricultural commodities in the world, a factor often
overlooked in anti-trust cases. "Therefore, in addition to raising serious
consumer antitrust issues, the merger also raises serious antitrust issues for
the farmers and rural businesses that supply the products from which pet food
is made," the letters point out and go on to express the Granges feeling
that this merger will be injurious to farmers and rural businesses. The
National Grange believes that the continuing trend toward concentration in agricultural
processing, food retailing and agricultural services industries has contributed
greatly to a decline in competitive markets for agricultural commodities.
Rather than foster more intense competition and greater efficiencies that benefit
both consumers and farmers, the Grange is concerned that recent agribusiness,
mergers have resulted in the exercise of undue market power by the new food processing
and retail marketing conglomerates. Regulatory evaluation of these mergers is
focused on protecting consumers, not producers, from the potential exercise of
monopoly power. Federal antitrust regulatory agencies have not adequately evaluated
these mergers for the undue exercise of monopsony power against farmers. This
monopsony power enables the conglomerates to dictate the prices they will pay
for commodity ingredients. As agricultural commodity prices and the farmer's total
share of the consumer's retail food purchase dollar continues to decline, it threatens
the survival of family farmers. The
National Grange wants USDA and the regulatory agencies to become more cognizant
of the potential monopsony situations that exists in American agriculture and
to take steps to at least check it, if not reverse it. Specifically, in regard
to the Nestle/Ralston Purina merger, the Grange letters ask for the following
actions: -
Policy
level discussions between USDA, FTC and the Antitrust Division of the Department
of Justice to address the monopsony issues raised by this and other industry mergers,
-
FTC
use technical assistance from USDA economists to help evaluate the potential anti-competitive
effects in local and regional markets for pet food ingredients engendered by this
merger, and -
FTC
and USDA development of a list of remedies specific to the monopsony issues associated
with this merge that may be imposed before the FTC takes final action.
The letters
made it clear that the National Grange does not believe the mere divestiture of
consumer brands owned by the two companies will alleviate the monopsony problems
facing farmers as a result of this merger.
FIRST STEPS TOWARDS A NEW GRANGE
The
National Grange Executive Committee took the first steps toward creating a new
Grange during its May 19 - 23 meeting at Grange headquarters in Washington, DC.
Those steps include creating the office of Chief Operating Officer (COO); establishing
two new full time directorships, Enrichment Director and Leadership/Membership
Director; dissolving some current directorships and restructuring others; discontinuing
national contests; shortening the annual convention; and maintaining a presence
in Washington, DC. The
COO will be the operational head of the National Grange, with all staff functions
reporting to him or her. The COO will report to the National Master and Executive
Committee and be responsible for ensuring that the national office is responsive
to State, Pomona, and Subordinate grange needs, implementing the Grange renewal
strategy, enhancing the national office's technological abilities, budgeting,
strategic planning and fund raising. The target date for filling the COO position
is October 1, 2001. The
new Enrichment Director position will be responsible for developing programming
that encompasses community involvement and that enriches, entertains and enlightens
Grange members. He or she will assist states with training as requested and work
with states to identify program resources. October 15, 2001 is the target date
for filling the Enrichment Director position. The
Leadership/Membership Director will conduct leadership training at the state and
local levels, be the liaison with Action Granges, and train state counterparts
regarding programs. He or she will also be responsible for tracking membership
gains and losses. The Leadership/Membership position is slated to be filled by
January 2002. Effective
December 31, 2001, the following National Director positions will be eliminated:
Women's Activities, Community Service, Deaf Activities and Membership. The Youth
Director and Junior Director positions will become Youth Development Director
and Junior Development Director. These will not be full time positions and will
receive an honorarium. All
directors, with the exception of the Legislative Director, will work outside the
National office. The Legislative Director's position will remain full time and
based in the Washington office. New job descriptions will be prepared for the
Legislative, Youth Development and Junior Development directorships and resumes
accepted with the target of filling the positions by January 2002. National
contests will be eliminated and the exhibit room at the National Convention will
be changed to an education forum, showcasing success stories, and having interactive
workshops. A committee has been appointed to evaluate the National Convention
with an eye to reducing its length. The
National Grange will retain its headquarters building in Washington, DC and continue
to lease the space that it does not occupy. The
decisions made by the Executive Committee were based on recommendations from the
Strategic Planning Task Force and the advisory committees, Departments/Programs
and National Headquarters Building and Management. Two more committees will submit
recommendations by September 1. They are the Digest/Manuals Revision Committee
and the Annual Convention Committee. Stated
National Master Kermit Richardson, "We are now in the implementation stage.
We are on our way to a new, vibrant, relevant Grange that will serve not only
our needs, but also the needs of generations to come."
WESTERN WATER CUT OFF MEANS MORE THAN JUST LOST CROPS
National Grange Helps Klamath Farmers Deliver Their Message In Washington, DC
When
the Bureau of Reclamation decided in April to cut off irrigation waters to 1500
farmers tilling 220,000 acres in Northern California - Southern Oregon's Klamath
Basin in favor of the endangered sucker fish, it meant a lot more than just the
loss of a season's crops. Contracts for delivery this fall are being defaulted
on. Loans are being called. Land values have dropped precipitously. Cattle are
being sold enmasse for lack of forage, thus driving down already low per head
prices. Seasonal workers are striking out to look elsewhere, leaving wives and
children behind to live off charitable and government assistance. Small businesses
are loosing up to 75% of their revenues. Taxes are dropping from non-payment and
crashing land values. Schools are losing students and the state payments that
cover them. And the fish, by the way, if not thriving, are surviving nicely. According
to the "2001 Annual Operations Plan" for the Klamath Project, "only
limited deliveries of Project water will be made for irrigation." This decision
was based on the fact that the Endangered Species Act of 1973 gives precedent
to endangered species over other water users. Before making its decision, the
Bureau of Reclamation asked the Fish and Wildlife Service for a "biological
opinion" (BO) as to the effects of releasing water for irrigation. Fish and
Wildlife concluded that to fulfill the contractual water obligations to local
farmers would ".appreciably reduce the survival and recovery of the suckers
and appreciably diminish the value of the primary constituent elements of proposed
sucker habitat." A spokesman for the Bureau of Reclamation Sacramento California
office stated, "We are simply complying with the law." Two
ironies of the situation are, as it stands now, Klamath Basin farmers are still
obligated by their contractual agreements to pay for the water they do not receive,
and, back in the late 40's and early 50's, the water was actually used to lure
farmers (most of whom were World War I & 11 veterans) into the area to cultivate
cash crops and cattle. The
National Grange recently had the opportunity to assist Klamath Basin Grange members
to bring their case directly to high-ranking White House officials. The Grange
Legislative Affairs Department set up meetings for five Grange members who are
active farmers and ranchers in the Klamath Basin with the President's Council
on Environmental Quality and the Office of Management and Budget. Grange members
attending the May 21 and 22 meetings were California State Grange board member
Leo T. Bergeron of Yreka, CA; Rick Costales, Fort Jones, CA; Joseph Victorine,
Tule Lake, CA; and Tim O'Connor and Ryan Kliewer of Klamath Falls, OR. The group
met with each agency for about 60 minutes and presented officials with one-page
summaries of the economic and social impact of the water cut-off on their farms.
The five made it clear they were speaking for and representing all the Klamath
Basin farmers and ranchers. Agency
officials assured the Grange members that their concerns would be relayed to high-level
officials in the Bush Administration. This apparently happened, as the Washington
Times reported on June 5 that the Bush Administration is supporting legislation
that would pay Klamath Basin farmers affected by the water cut off $20 million
in emergency funds. In
the short term, emergency compensation is appropriate and might keep farmers on
the land for another year. The compensation is appropriate in the sense that farmers
who have a valid contract to receive irrigation water have a private property
right interest in that water. Under the US Constitution, the taking of private
property by the government for a public purpose (in this case the preservation
of an endangered species) requires market-based compensation to the owners. In
the long term, however, the National Grange feels basic procedural and policy
changes have to be made to keep the Klamath Basin a viable agricultural asset.
The people of Klamath Basin do not want to be "mail box" farmers waiting
for their compensation checks. They would rather be out in their fields and ranches
right now.
GUEST EDITORIAL: CONGRESSMAN JAMES V. HANSEN
ENDANGERED
SPECIES ACT REFORM Few federal laws stir public emotions like the Endangered
Species Act. Designed to protect dwindling species, this ham-fisted law frightens
private land-owners, intimidates businesses and often turns the public against
the very species it is designed to protect. Some question whether the Endangered
Species Act (ESA) even accomplishes its sole purpose: helping to recover endangered
plant and animal life.
Over
the last 10 years, we've spent an estimated $5 billion to protect endangered species
with very few success stories. In one of the best known cases, the ESA was used
to shut down logging in much of the northwest, allegedly to protect the northern
spotted owl. Loggers who knew only one way to feed and clothe their families wept
as they fought to save their livelihood. Environmental groups won their case.
Logging operations were shut down. Yet, today, the northern spotted owl remains
endangered. Even
passionate wildlife advocates recognize problems in the law. In many cases, private
groups like the Peregrine Fund have done more to help a troubled species than
the ESA has. In fact, Congress's ban on the use of DDT alone has done more to
save struggling species than 28 years of the ESA's tangled web of mandates, restrictions
and bureaucracies. Republicans
and Democrats alike believe this law needs to be fixed. I have joined Rep. Nick
Rahall, the ranking member on the House Resources Committee, in forming a bipartisan
Endangered Species Act Working Group to pinpoint problems with the ESA and propose
solutions. In addition to myself and Mr. Rahall, ten Republicans and Democrats
will serve on this committee. The Republican members are Reps. Don Young, AK;
Billy Tauzin, LA; Wayne Gilchrest, MD; Richard Pombo, CA, and Dennis Rehberg,
MT. The Democratic members are Reps. John Dingell, MI; George Miller, CA; Frank
Pallone Jr., NJ; Jay Inslee, WI, and Mark Udall, CO. We
badly need ESA reform. Remember problems with the IRS before Congress initiated
sweeping IRS reform a few years ago? Agents were storming people's homes, violating
their rights, seizing their assets, ruining reputations and lives - all in the
name of federal law. We put a stop to that. But similar abuses of power occur
under the ESA. There are even instances where people's homes have been stormed,
belongings tossed and livelihoods ruined. I
believe we can fundamentally reform the ESA so it encourages people to protect
struggling species instead of making people terrified of finding these species
on their land. Right now, under the ESA, people can lose some fundamental property
rights we have long held dear in this country. Landowners can't develop their
land. They can't sell it for its original value. Some people can't even walk their
own land. For
many Americans, the discovery of an endangered species on their land has spelled
personal financial ruin. Margaret Rector owns 15 acres of land near a busy highway
near Austin, TX. She bought it nearly 30 years ago as a retirement investment.
But when the Fish & Wildlife Service decided her land was suitable for the
endangered Golden-Cheeked Warbler, she went from near-millionaire to pauper. In
1989, the value of this undeveloped land was assessed at $991,862. After the FWS
decision, those 15 acres were assessed at $30,200. Ms. Rector must continue paying
taxes on the land year after year but has been unable to sell it. Her
story is one of thousands of tales about hard-working, taxpaying Americans who
lost their dreams, their financial security and use of their property because
federal agencies clobbered them with the ESA. These personal losses might be worth
it if we actually helped the creatures we are trying to save. But federal efforts
to help struggling species - like most beltway mandates - have resulted in staggering
costs, botched projects and disappointing results. The
Golden-Cheeked Warbler is still endangered. In fact, Texans fearful of finding
the bird on their land have destroyed shrubs and trees that might appeal to the
warbler. There is less habitat in Texas for the bird now than there would be without
the ESA, a Texas FWS agent recently noted. It's
time to we take the first steps down the long road to reforming this law. The
impulse to protect dwindling species is absolutely the right one. But, as is often
the case with Washington mandates, the law is flawed. Let's get to work and fix
this - for the sake of the public and our endangered species. GRANGE
EXCHANGE EXPERIENCE SHAPED GERMAN STUDENT'S LIFE In
an April 30, 2001 letter to Wib Justi, coordinator of the National Grange international
youth exchange program from 1949 to 1966, German exchange participant Manfred
E. Sobottka writes, "My stay in the United States definitively influenced
my life. It widened my horizon and woke my curiosity to get to know more of the
world." After returning to Germany in 1954 and completing his education,
Manfred embarked on a career in international trade that had him living in Caracas,
Venezuela and traveling throughout South America. Sobottka
says the English he learned in the United States helped him land his first job
with an American Company, Gillespie & Co., which assigned him to South America.
In 1978, he bought a Miami apartment that became a vacation destination for his
family of a wife and two sons. During the 70s, he owned his own export business
based in Caracas. Later he became export manager for a large paper company traveling
throughout the world. Now retired, he lives in Caracas and spends about 2 months
of each year in his Miami apartment. The
Germany/USA Grange exchange program ran from 1950 to 1956. During that time, 500
rural German teenagers stayed with Grange families and attended US high schools.
It was part of a larger Grange exchange program that brought over 1,700 young
people from 39 countries to live with Grange families. The German contingent has
stayed particularly close with several reunions over the years. The program's
50th anniversary was celebrated in 1999 with a reunion at the Kelley Farm in Minnesota.
Another reunion was held during the 2000 National Convention held in Fresno, California
and many mini-reunions continue here and in Germany. Sobottka's
closing remarks about his Grange experience were, "I never forgot that I
was fully accepted and integrated at my host family and in school. This made me
"preacher" of good will and understanding. Thank you for the opportunity
you gave me 48 years ago to be a participant in your Grange program."
STAR AND SWAN.... BUCK AND BERRY.... STAR AND SWAN
by: Betty Jane Gardiner, Director of Women's Activities
Many
people will remember when years ago the Women's Activities groups throughout the
Grange states raised funds to purchase a team of oxen for the Oliver Hudson Kelley
farm in Minnesota. They were Star and Swan who proved to be a great attraction
as they played an important part in the work and program at the farm. Time passed,
and Star and Swan were eventually put out to pasture. A
new fund raising project was promoted through Women's Activities and Buck and
Berry became the new team to carry on the impressive work in Elk River. They became
a favorite with visitors (especially school children) for the seven years they
remained on duty. At retirement age, they found a new home with the Minnesota
Agricultural Interpretive Center in Waseca. A younger pair of oxen also named
Star and Swan have been raised at the farm and are now trained to carry on the
tasks. As they go about their work they are often assisted by visitors who want
to experience 19-century farming hands on. The
farm is a National Historic Landmark owned and operated for the past twenty years
by the Minnesota Historical Society. Junior Grangers and the Women's Department
maintain an interest in the facility, which was the home of our head founder at
the time our organization came into existence. Throughout
the seasons, from plowing and planting to haying and harvesting, visitors can
lend a hand on the 1860's working farm. The animals remain a special attraction
at the site, which is open from May through October. Call 763-441-6896 for program
information and directions. The
farm is home to Rosie and Penny who are rare examples of once-common farm animals.
These Lineback dairy cows are descendants of types of New England cattle, that
Minnesota's pioneer settlers brought with them from home. The farm is also home
to Berkshire hogs, Southdown sheep, Morgan-Percheron cross horses, and English
chickens, silver gray Dorkins. The Kelley Farm is one of the few in the country
working to preserve these breeds. The fields and gardens feature varieties grown
on pioneer farms, and the seeds are saved from each year's crop for the next season. Another
of our fund raising projects made possible the purchase of a pair of Morgan-Percheron
horses. Many Grange members and friends have met Pete and Jack when visiting in
Minnesota. Our latest project will be to provide monies for a new team of horses
as Pete and Jack are getting on in years. Many
Grangers feel the farm is hallowed ground because of its important place in our
history. Wouldn't it be wonderful if every Granger could visit the farm and step
back in time and experience the special feeling which comes from standing on the
grounds of the Oliver Hudson Kelley farm.
AND NOW 'PAGE TWO' by: Janet Price, Director Deaf
Activities
Last
time I shared with you some of the great programs taking place in our Grange states,
but I couldn't end with just one page. I have become that famous guy and ask you
to read on page two. The
new Director of Deaf Activities in Michigan, Beulah Winter, was approached by
the Michigan Association for Deaf, Hearing and Speech Services and asked if she
could get 2500 copies of the Pledge of Allegiance posters to put in their mailing
for May, Better Hearing Month. This mailing went to all schools and libraries
in the state of Michigan plus some other agencies. Cynthia Charbonneau, Connecticut
State Director, writes interesting and informative articles in her Grange newsletter.
She encourages local Granges to host hearing testing clinics throughout her state. In
Florida, Director Evelyn Cunningham passes out flyers explaining Grange and the
importance of protecting your hearing at the local mall. She organized a raffle
that earned $500 to support the State program. They also gave deaf awareness materials
to the local elementary schools. Former
Minnesota Deaf Activities Director, Bonnie Mickelson, a hearing aid wearer herself,
recognizes the difficulties of those who wear aids. She states "a hearing
aid is a device that amplifies sound. It does not discriminate between wanted
sound and unwanted sound. The hearing aid user must adjust to the equipment and
his/her own environment and realize that the hearing aid will not restore his/her
normal hearing." New
York State's Stan and Katie Barringer have college degrees relating to deafness.
Stan with an emphasis on communication disorders and Katie with an elementary
education degree, teaches deaf children using the oral method. They encourage
young people to enter the sign-a-song contest and make the Deaf Activities Program
known at the New York State Fair. North
Carolina's Director Melanie Hudson also participates in the Sign-a-Song Contest.
Her state uses their funds to give scholarships to the local deaf school students. Some
of our Directors are great writers and encouragers as is June Pinkston of Tennessee.
Her articles in their state newsletter inspire the members to get up and do something
for deaf activities. Debbie
Nelson of Maine knows personally the problems of communication. Her goal is to
teach people more about using hearing aids and the daily lives of people losing
their hearing. Their funds purchased TTYs for the Pine Tree Legal Association
Program, a non-profit corporation providing legal assistance to people who live
below the poverty level. In
Delaware, Melvin Brooks uses funds to give a $500 scholarship to a Delaware School
of the Deaf Senior. They
also support the states Farm Safety 4 Just Kids Program. Co-directors
in New Jersey, Bea Benedick and Carol Evans, encourage members to write letters
supporting Universal Newborn Testing. They used donations to purchase bed-shaking
alarms for needy deaf children. Rhode
Island's Bertha Tanner earns funds for "Project Close Up", an education
trip to Washington DC for the Junior at the local deaf school. She hosts public
dinners of roast beef or barbecued chicken at her Grange hall to earn funds. And
again my space has ended with still more ideas to share with you so by the end
of the year when you are on your own to create special projects, you can call
upon others who have tried something new. BITS
AND PIECES Special
Notice Persons
attending the National Convention in Cedar Rapids, Iowa November 12-18, 2001 who
have special hearing assistance needs such as sign language interpreters and listening
devices must notify National Headquarters at least thirty days before the convention
starts. Notification should include specific events to be attended. Crowne
Plaza to be Convention Headquarters in Cedar Rapids
The Crowne Plaza Five Seasons Hotel will be headquarters for the 135th Annual
Convention in Cedar Rapids, IA, November 12 - 18, 2001. Convention rates of $94.00
per night per room will be offered to Grange members. Reservations may be made
by mail, fax or telephone. A check, money order or credit card number in the amount
of the first night's lodging is required with your reservation.
Mail to:
Reservation Department Crown Plaza Five Seasons Hotel 350 1st Ave.,
Cedar Rapids, IA 52401 Fax: 319-363-3804 Tel: 1-888-363-3550
A reservation form is available for downloading on the National Grange web site:
www.nationalgrange.org. Reservations must be received by October 25, 2001 to receive
the group rate. top |