Posts tagged checkoffs
Big Beef Targets Virginia Ranchers With Bigger Checkoff Tax

Virginia State Senator A. Benton Chafin last week introduced a bill that would significantly hike “checkoff” taxes that cattle growers in the state must pay. The move follows efforts in other states—including recently in Oklahoma—to increase or introduce state-level checkoff taxes, which are charged in addition to the $1 per head tax collected at the federal level. Many local ranchers oppose both the tax and the idea that it will be imposed by the legislature, saying the process effectively shuts independent cattle producers out of having a say in this sector specific levy.

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Food & Power Newsletter: Big Food Turns to Congress to Overturn State GMO Labeling Laws

After months of debate, Congress in early July established a national standard for the labeling of foods that contain ingredients that have been genetically modified (GMOs). President Obama is expected to sign the bill, officially called the National Bioengineered Food Disclosure Standard.

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Food & Power Newsletter: Is an Organic Checkoff Supported By Farmers?

There’s a battle happening in organic farming, and it’s not about labeling or the setting of standards. In May, the Organic Trade Association submitted a revised proposal to the U.S. Department of Agriculture to impose a special tax on organic farming. Called a “checkoff,” this tax would apply to all organic farmers, handlers of organic goods, and food processors with sales over a certain threshold. According to the proposal, money collected through the tax would be used for the promotion of organic products.

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Big Beef

Imagine if the federal government mandated that a portion of all federal gas taxes go directly to the oil industry’s trade association, the American Petroleum Institute. Imagine further that API used this public money to finance ad campaigns encouraging people to drive more and turn up their thermostats, all while lobbying to discredit oil industry critics—from environmentalists to those calling for better safety regulations or alternative energy sources.That’s a deal not even Exxon could pull off, yet the nation’s largest meat-packers now enjoy something quite like it. Today, when you buy a Big Mac or a T-bone, a portion of the cost is a tax on beef, the proceeds from which the government hands over to a private trade group called the National Cattlemen’s Beef Association. How did this system come into being? And what is the NCBA doing with all that money?

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