Don’t Miss the March 3 PSCFO Meeting!

Cornucopia 2012 200x167The March 3 Council program will feature both Republican and Democratic Chairs of the House and Senate Agriculture & Rural Affairs Committees to discuss what agricultural issues are likely to come up before the General Assembly.

In addition, PA Agriculture Secretary Russell Redding will present some of the Wolf Administration’s thinking on how PA Agriculture jobs and workforce development are central to Pennsylvania’s total economic well-being.

March 3 is also the day when Governor Wolf presents his State Budget for the fiscal year beginning July 1, 2015 to the General Assembly so expect plenty of buzz about the Department of Agriculture budget.   The PSCFO Board truly hopes you will attend this informative and useful session.

Click here for more information.

Legislative Developments

  • PA Capitol BuildingOn February 10, the House Agriculture & Rural Affairs Committee reported House Bill 188 (Sonney-R-Erie) adding wind power generation to the list of permissible right of ways for preserved farmland owners under the Agricultural Area Security Law. Sponsors include six Republicans and seven Democrats.  Another easement bill (HB 458 (Ross-R-Chester) allowing for a trail easement was referred to the committee February 12.
  • Senate Bill 50 (Schwank-D-Berks) permits cultivation and processing of industrial hemp in PA.  Six of the eight sponsors are Democrats. The hemp legislation was referred to the Senate Agriculture & Rural Affairs Committee.
  • Taken up by the Senate Agriculture & Rural Affairs Committee are two bills:
  • Senate Bill 352 (Vogel-R-Beaver) consolidates the State Racing & Harness Racing Commissions into one regulatory entity, a new commission comprised of five members appointed by the Governor and confirmed by the Senate. Of the bill’s 10 sponsors, six are Republican and four are Democrats.
  • Senate Bill 201 (Schwank-D-Berks) is a re-introduction of legislation to more closely align standards for PA’s Farmland Preservation and the PA Farmland and Forest Land Assessment Act (Clean and Green.) Legislation would amend Clean-and-Green to allow a landowner to lease an area to a third-party for a rural enterprise as currently defined for Farmland Preservation purposes. Of the bill’s sponsors, five are Republican and six are Democrats. Sponsors include both Majority and Minority Chairs of the Senate Agriculture & Rural Affairs Committee.

US House Passes Bills of Iinterest to Agriculture

Kubota_L3200 300x250On February 13, the US House of Representatives passed HR 636 by a vote of 272-142, a bill that makes permanent after 2014 the $500,000 allowance for the expensing of depreciable business property (section 179 property and the $2 million threshold after which the amount of such allowance is reduced. Both allowance and threshold amount are indexed for inflation for taxable years beginning after 2015. The taxpayer is allowed to revoke an election to expense section 179 property without first obtaining consent from the Department of the Treasury. There is one PA sponsor of the bill, Republican Rep. Ryan Costello from southeastern PA.

On Feb. 12, by a vote of 279-137, the US House passed HR 644 which includes the text of HR 641 sponsored by northwest PA Republican Rep. Mike Kelly providing a permanent tax incentive for farmers and ranchers to preserve non-developed land for future conservation.  National affiliates of PSCFO members (AFBF and NACD) support the legislation.

State Tax Revenues Continue Upward Trend

Graph-UpThe PA Department of Revenue released figures showing January 2015 General Fund revenue at $2.4 billion, bringing year to date collections $360.4 million over estimate.  Breakdown showing year to date estimates are: Sales Tax $66.6 million more than anticipated; Personal Income Tax $400,000 over estimate; Corporate Tax Revenue $162.6 million more than anticipated; Inheritance Tax revenue $81.5 million more than anticipated; Other General Fund taxes (tobacco, malt beverage, liquor and table games) showed $23 million above estimate.  On the negative side was the Real Estate Transfer Tax which came in $28.4 million below estimates.

Deadlines, Deadlines…

  • Calendar-iconFebruary 24, 2015: deadline to submit pre-proposals for USDA’s Conservation Innovation Grants for “environmental markets and conservation projects that engage agricultural producers.”  Details: http://go.usa.gov/4Kvx  Sylvia Rainford 202/720-2536.
  • February 27, 2015 deadline for Conservation Stewardship Program for ranchers and forest landowners.  Applications should be submitted to local Natural Resource Conservation Service (NRCS) offices.  Details: www.nrcs.usda.gov/GetStarted
  • February 27, 2015, deadline to submit Federal Specialty Crop Block Grant proposals to Morgan Sheffield, PDA Bureau of Market Development 717/787-3568.
  • March 2, 2015: Governor’s Award for Environmental Excellence for “projects that promote environmental stewardship and economic development in the state.”  Projects must have been completed between August 1, 2013 and July 31, 2014.  Example areas:  Innovative Technology; Energy Solutions; Environmental Education; Watershed Restoration.  Only electronic nominations (including self) will be accepted. Details: http://files.dep.state.pa.us/AboutDEP/AwardsAndInnovation/GovernorAwardForEnvExcellence/2015%20GAEE%20Guidelines%20Final.pdf
  • March 9, 2015:  deadline for Resource Enhancement and Protection (REAP) program.  REAP provides tax credits to agricultural producers who install best management practices or purchase on-farm no-till equipment that reduces soil erosion and sedimentation in PA’s streams and rivers.  Applications are available at www.pda.state.pa.us/REAP under ‘Forms’ or Joel Semke, State Conservation Commission 717/705-4032.
  • March 15, 2015: Crop Insurance enrollment deadline for new AGR-Lite whole farm revenue new applications; spring barley, corn, forage seeding (spring), grain sorghum, oats (spring), soybeans, tobacco.  (Thanks to Penn State Professor of Agricultural Economics Jayson Harper)   PDA contact is Jordan Stasyszn 717/6901