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Director of Event Planning
Investment and Training
Brent Emch
Advertising does not or Kansas Agribusiness Retailers Association and Kansas Grain and Feed Association reserve the right to cancel any for any any
time without liability.
President & CEO
816 SW Tyler
Lisa Anschutz
Andrew Fullerton
816 SW Tyler Topeka, KS 66612 (785)
Administrative Assistant
External Affairs
Staci Storey
content.
vote could change our industry for the better
Mark Paul
Ron Seeber
Director of Member
Chairman
Clay Fagan
Director of Member Investment and Training
Second Vice Chairman
Lisa Anschutz
Chairman
Scott Morris
General Counsel
The KABC board met in late-June and discussed contributions to those running for office in Kansas a completing their second and third the 2022 class of Tomorrow’s Agribusiness Leaders is officially ready to graduate
Senior Vice President
Updates on issues affecting you0803 14 1722 04 PRESIDENT’S LETTER PROPERTY TAX VICTORY KARA ANNUAL MEETING PRIMARY ELECTION 2022 TAL CLASS READY FOR GRADUATIONINDUSTRY NEWS Gary WarrenRogerJamiBrianNickJeffJimJustinYanceBryanBeachnerBuclFarneyFossGrilliotHollingKrehbielLaverentzLoeckerLongMayberry Justin Ochs O.J. TobyMarkMarkDaveRonTimDavePearlSpearsSpectorTeleckyTierneyVanceWegnerWitthuhn BOARD OF DIRECTORS BOARD OF DIRECTORS Ted AllenDevinTroyMattTJDubDavidAlexBlakeDougBehringBiswellConnellyGerardHelfrichJohnsonMandlOverturfPresleySchierlingWilliams
A ‘YES’
busy summer
influence editorial decisions
Sidney Storey
ad
Associate Vice President
Trisha Fassnacht
2 SEED to SILO | Encompassing Agribusiness in Kansas KANSAS AGRIBUSINESS RETAILERS ASSOCIATION | KANSAS GRAIN AND FEED ASSOCIATION
Senior InternalDirectorOperations
BOARD LEADERSHIP
Kansas Grain and Feed Association
Deb Miller
Kansas Agribusiness Retailers Association
Ron Seeber
Randy Stookey
Topeka, KS 66612 (785)
ASSOCIATIONksgrainandfeed.org234-0461STAFF
Vice Chairman
Chief Financial Officer
TABLE
OF CONTENTS
Summer 2022
Senior Vice President
Trae Green
Sidney Storey
Immediate Past Chairman
Editors: KARA & KGFA staff
Jarrod Kieffer of Stinson LLP explains how you
After
External Affairs
Lance Nelson
Randy Stookey
BOARD LEADERSHIP
Trisha Fassnacht
Chief Financial Officer
President & CEO
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Second Vice Chairman
Senior InternalDirectorOperations
KARA members enjoyed a one-day annual meeting and golf tournament in Manhattan
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ASSOCIATIONksagretailers.org234-0463STAFF
sessions,
Summer 2022
Kevin Dieckmann
Administrative Assistant
Senior Vice President General Counsel
Associate Vice President
refuse, reject, or
Immediate Past Chairwoman
Dustin Kuntz
Clay Fagan
reason at
Director of Event Planning
Trae Green
can take advantage
Staci Storey
Vice Chairman
Senior Vice President
“ “ agriculture.regulationsreasonableandourinagenciesroletherecognizesagricultureKansasimportantregulatoryplaysupportingindustry,wesupporton
President and CEO
RONALD SEEBER
A ‘YES’ vote on the ballot question in November approves the proposed amendment to the Kansas Constitution and provides the public a voice in opposing any unreasonable or unnecessary agency rule or regulation. A ‘NO’ vote allows state agencies the discretion to expand bureaucracy and grow the regulatory state, leaving an expensive lawsuit that many cannot afford as one of the only relief mechanisms.Vote‘YES’
and CEO
Kansas agriculture recognizes the important role regulatory agencies play in supporting our industry, and we support reasonable regulations on agriculture. Farmers, ranchers and agribusinesses frequently work with regulatory agencies to identify issues and work toward compliance. At times, however, executive branch agencies misinterpret or exceed the authority granted to the agencies by the legislature. In these rare instances, the legislature must be allowed to halt harmful regulations by a majority
PRESIDENT’SMESSAGE
3SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
on the HCR 5014 ballot question in November to help ensure Kansans have every opportunity for success free from bureaucratic red
Ron Seeber was hired as president and CEO of Kansas Agribusiness Retailers Association and Kansas Grain and Feed Association in October 2017 after working for the associations since July 2008. An expert in state and federal legislative affairs, Seeber also worked for Senator Bob Dole in policy and political capacities, and has spent his entire career in the regulatory arena.
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In Kansas, agency regulations that exceed the legislature’s intent cannot be stopped by the legislature without passing a bill that can withstand a governor’s veto. This unusual circumstance was set in place following a court ruling. It cedes law-making authority from the legislature to the executive branch and diminishes our system of checks and balances.
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and allow affected parties the opportunity to discuss the benefits and consequences of proposed regulations, Kansas lawmakers passed HCR 5014. The bill asks Kansas voters, through a November ballot question, to adopt an amendment to the Kansas constitution that would allow the legislature to reject any proposed agency regulation that is not consistent with legislative intent. The amendment will restore balance among the three branches of government, and ensure legislative authority is appropriately vested in the legislature, as our constitution originally required.
This spring, with the intent to create transparency
Recently, Kansas Agribusiness Retailers Association and Kansas Grain and Feed Association teamed up with like-minded statewide agriculture trade associations to be the voice of agribusiness and promote and protect agriculture in our great state.
Under our system of government, the authority to create laws should be held by the state legislaturethose people directly elected by, and answerable to, Kansas voters. Too often today, however, executive branch agencies pass rules and regulations that have the force and effect of law. Leaders of these agencies are not elected and are not directly answerable to the people.
Kansasvote.isone of only 16 states not requiring its legislature to approve agency regulations before they are adopted. The Kansas legislature has recognized the potential damage an uninformed agency action can cause.
Presidenttape.
DEAR KARA and KGFA MEMBERS
NGFA urges SEC to pause proposed climate reporting rules
In comments submitted to the Securities and Exchange Commission (SEC), the National Grain and Feed Association outlined several burdens the SEC’s proposed requirements entail.
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Among other concerns, NGFA, AFIA and NAMA noted that data collection for Scope 3 reporting would raise significant privacy issues. SEC asked stakeholders to address whether emissions data should be grouped by zip code for each scope. “We believe this potential level of granularity in data collection creates significant concerns about how private data and personal information would be protected, especially in rural areas,” the groups noted.
Scope 3 reporting requirements also would promote consolidation in the value chain and create potential liability for value
INDUSTRYnews
will request and expect robust emissions data from value chain participants to support their Scope 3 reporting,” the comments state. “These expectations will transfer the reporting burden and associated costs to value chain participants who in many cases currently do not have the resources or expertise to provide such information.”
Before mandating any new emissions reporting, the SEC should engage with the agricultural community and adequately address value chain participants’ concerns, noted NGFA, American Feed Industry Association (AFIA) and North American Millers’ Association (NAMA) in joint comments delivered June 17.
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In comments submitted to the Securities and Exchange Commission (SEC), the National Grain and Feed Association outlined several burdens the SEC’s proposed requirements for reporting greenhouse gas (GHG) emissions would create in the value chain.
Source: National Grain and Feed Association
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“If existing value chain participants of a registrant are unable to provide emissions data for Scope 3 reporting, registrants likely will seek out other participants who can,” the comments note. “This type of exchange will disproportionally affect small- and mid-sized value chain participants that are less likely to have the resources and expertise required for Scope 3 emissions reporting and drive consolidation within the value chain.”
After the SEC reviews the comments, it will draft a final rule which will need approval from a majority of the four commissioners.
SEC announced in March a proposed rule that would require publicly traded companies to provide certain climate-related information in their registration statements and annual reports, including “emissions from upstream and downstream activities in the value chain,” referred to as “Scope 3” emissions. If mandated, companies not only would need to report emissions from their operations, but they would also need to cover emissions from customers and supply chains.“Our organizations believe that under an essentially mandatory and expanded Scope 3 reporting requirement, registrants
Calculating Scope 3 emissions is widely recognized as being inherently much more difficult than determining direct and indirect emissions (Scopes 1 and 2), they noted, “and calculating such emissions requires significant personnel, resources, expertise, and data management.”
chain participants.
FMCSA has removed Arion Tech Inc.’s Arion T ELD from the list of
Registered Electronic Logging Devices.
5SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas INDUSTRYnews Providing Kansas Agribusiness EnvironmentalProfessionalEngineeringServicessince1989 WeEnvironmentalprovide: Site Assessments (Phase I & II) ● Spill Prevention Control & Countermeasure (SPCC) Plans ● Stormwater Management ● Containment Engineering ● Groundwater Investigations ● Regulatory Audits, Compliance & Permitting 214 N Saint Francis ● Wichita, KS 67202-2610 ● 316.262.5698 aec@alliedaec.com ● www.alliedenvironmental.com We know Kansas agribusiness. Our publications touch every aspect of Kansas ag retail. Call the association office 785.234.0463 or email membership@kansasag.org to learn more about our advertisingAdvertiseopportunities. with KARA EXPAND YOUR AUDIENCE
FMCSA has removed Arion Tech Inc.’s Arion T ELD from the list of Registered Electronic Logging Devices (ELDs) due to the company’s failure to meet the minimum functional specifications.
Motor carriers and drivers should discontinue using the revoked device(s) and
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On August 11th, the Kansas Dept. of Agriculture finalized its new grain warehouse regulations and published the final regulations in the Kansas Register.
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A copy of the final permanent regulations can be found at the Secretary of State’s website: Issue 32 - 08-11-2022 | Department of Agriculture | Permanent Administrative Regulations - 50423 (ks.gov)
During a July 22, 2022 public hearing, Kansas Grain and Feed Association and the Kansas Cooperative Council jointly submitted comments on the regulations.
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Source: Asmark Institute
ELD Removed from FMCSA Registered Devices List
On August 11th, the Kansas Dept. of Agriculture finalized its new grain warehouse regulations and published the final regulations in the Kansas Register.
The changes to the regulations were made, in part, to implement recent changes to the schedule of public warehouse license fees set out in K.S.A. 34-228, as well as to implement current industry policies and practices and to provide more detailed guidance for grain warehouse requirements.
revert to paper logs or logging software to record the required hours of service data. Then, replace the revoked device(s) with compliant ELD(s) from the Registered Devices list before August 24, 2022.
KDA Permanent Grain Warehouse Regulations published in Kansas Register
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Registration and Listing Systems (FURLS) Helpdesk via phone at 800-216-7331 or 240-247-8804, or by email at FURLS@fda. gov. A reference sheet concerning the DUNS number also is available.
FDA food facility biennial registration required in 2022
However, FDA stated during its food facility registration (FFR) webinar conducted on Aug. 11 that the agency expects all registrants to provide their DUNS number by the end of the upcoming registration period – Dec. 31, 2022. In addition, if the registration process is not completed with all required information, including the DUNS number, FDA stated the registration will be considered expired and removed from the facility’sDuringaccount.thewebinar, FDA emphasized that it is imperative that a facility’s DUNS number information and section two of the FFR information match exactly during registration. Common comparison errors between FFR Section Two and DUNS number information include slightly different legal names and addresses in the two databases. For example, “ABC Manufacturing” versus “ABC Manufacturing LLC”, or “123 Main Street” versus “123 Main St.”, or “Kansas” versus “KS” will cause mismatch errors.
Facilities during the registration process are required to submit a unique facility identifier (UFI) that is recognized as acceptable by FDA. To date, FDA recognizes the Data Universal Numbering System (DUNS) number as the only acceptable UFI. The DUNS number is assigned and managed by Dun & Bradstreet. DUNS numbers can be obtained or verified by visiting D&B’s website.
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Food facilities that manufacture/process, pack or hold food for human or animal consumption in the United States are required to complete the U.S. Food and Drug Administration’s (FDA) biennial registration process this year between Oct. 1 and Dec. 31. Among the facilities required to register with FDA are grain elevators, feed mills, flour mills, corn and oilseed processors, pet food manufacturers, renderers and others.
David Fairfield, National Grain and Feed Association
INDUSTRYnews
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Food facilities that manufacture/process, pack or hold food for human or animal consumption in the United States are required to complete the U.S. Food and Drug Administration’s (FDA) biennial registration process this year between Oct. 1 and Dec. 31.
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The requirement to submit a DUNS number during the registration process became effective Jan. 4, 2020. To address stakeholder concerns about obtaining a DUNS number in a timely manner during the 2020 registration period, FDA released guidance with information on what facilities could do if they were unable to obtain a DUNS number prior to the end of the
Questions about the facility registration process may be directed to the FDA Unified
registration period. The guidance allowed facilities to enter “PENDING” in the UFI field of their registration if they were not able to obtain a DUNS number in time.
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Jarrod Kieffer, a partner of Stinson LLP in Wichita, has advised clients on various classification, valuation and exemption matters.
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that grain handling equipment is personal property (as opposed to real estate) and may qualify for exemption under Kansas Statute Annotated section 79-223. In the case of Dodge City Cooperative Exchange v. Board of County Commissioners of Gray
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County, Kansas, Case No. 122,499 (Kan. Ct. App. 2022), the court ruled that Dodge City Coop’s grain handling equipment, including drag conveyors, screw conveyors, spouts, transitions, slide gates, connecting bridges, aeration system components,
A recent decision from the Kansas Court of Appeals may have far-reaching property tax implications for grain elevator owners. With a little bookkeeping and initiative, owners can start reaping the benefits immediately, and position themselves to receive the maximum benefit of any future decisions. This article, courtesy of Jarrod Kieffer of Stinson LLP, summarizes the court decision and outlines how owners can immediately use it to their advantage.
BACKGROUND
After nearly a decade of litigation between Dodge City Cooperative Exchange and the Gray County Appraiser, the Kansas Court of Appeals recently affirmed a decision of the Gray County District Court, holding
Kansas Court Decides in Favor of Grain Industry in Property Tax Dispute
version of the Grain Elevator Valuation Guide, which is published by the Property Valuation Division of the Kansas Department of Revenue to direct county appraisers in the uniform valuation of grain elevators, does not allocate the value between the bins (real estate) and grain handling equipment (personal property). County appraisers will need to undertake additional steps to separate the personal property value from the real estate value. The bottom line: some county appraisers may decline to engage in this additional effort voluntarily.
This decision has major property tax implications for grain elevators. Most business personal property purchased after June 30, 2006 is exempt from property taxation pursuant to Kansas law, meaning that the owners would pay no property tax on those items. For business personal property acquired after June 30, 2006 (which is not exempt), grain elevator owners will still generally receive more favorable tax treatment when their equipment is properly classified as personal property.
Given this likely resistance, grain elevator owners should not take a wait-and-see approach to this issue. In order to protect their rights, taxpayers should update their property tax compliance procedures to ensure timely rendition of grain handling equipment as personal property to their respective county appraisers, and they need to file property tax appeals or protests on any tax bills or notices that are not in compliance with the Dodge City Coop decision.
With respect to appeals and protests, Kansas law affords two opportunities to
About Jarrod Kieffer, Partner, Stinson LLP Representing both taxpayers and taxing jurisdictions, Jarrod guides his clients through every step of the property tax process. He focuses on issues relating to real and personal property valuation and classification, value equalization, property tax exemptions and property tax compliance. Jarrod collaborates with local assessors and private experts to obtain property tax results for his clients. When necessary, Jarrod is also an effective courtroom litigator with a strong track record of success. He has experience with all types of properties, from restaurants and retail buildings to regional malls, refineries, ethanol plants, grain storage and processing facilities, casinos, oil and gas properties and other special-use properties. He has advised clients on various classification, valuation and exemption matters. He has pursued property tax appeals on behalf of owners of various types of commercial and retail properties, including restaurants, big-box properties, office buildings, malls, personal property and special-use or special-purpose properties.
contest property taxes each year. The tax valuation may be appealed in the spring when valuation notices are issued by county appraisers, or they may be protested at the time of tax payment. First-half property tax payments are due December 20 of each tax year, and second-half tax payments are due May 10 of the following year. Grain elevator owners whose grain handling equipment has been assessed as real estate may pay their taxes under protest for the 2022 tax year as soon as December 20 of this year. Again, owners who have questions or are uncomfortable with the appeal/protest process should contact a property tax professional to advise and assist them with this process.
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Gray County has appealed the decision of the Kansas Court of Appeals to the Kansas Supreme Court. The Kansas Supreme Court will decide in the coming months to either reconsider the Court of Appeals’ decision or it will deny review and allow the decision to become final. If the Court of Appeals decision becomes final, then it will become legal precedent for county appraisers, the Kansas Board of Tax Appeals and all lower courts.
With respect to compliance, grain elevator owners need to be prepared to render – or list – their grain handling equipment as personal property to the county appraiser. Unlike real property, which is located and assessed by the county appraiser, it is the obligation of each property owner to provide a list of taxable personal property to the county appraiser each year by March 15. Owners should contact a property tax professional to ensure that the appropriate changes are made to their personal property renditions for the upcoming 2023 tax year.
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Because the decision is not yet final, taking advantage now will require some initiative. Grain elevator owners should not expect county appraisers to automatically convert their equipment to personal property based upon this decision. Additionally, the current
WHAT IT MEANS FOR YOU
temperature monitoring system, and Compuweigh Train Loadout module and related components, were personal property and not part of the real estate.
WHAT YOU SHOULD DO
The recent decision by the Court of Appeals, affirming that grain handling equipment is personal property brings the promise of lower and more consistent tax bills for grain elevator owners – but only if owners are diligent and proactive in asserting their legal rights.
THANK YOU, SPONSORS PRODUCER AG, LLC “Having a strong association and united voice is vital to our industry’s current and future success. Our sponsorship of KGFA helps ensure current and future members will be equipped to meet the needs of the industry through leading-edge training and networking opportunities. We feel our sponsorship dollars make an impact at all levels of our organization.” DEVIN SCHIERLING
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Cloud Co. Coop Elev. Assn.
KC Supply Co. Inc.
Irsik & Doll Feed Service Morrill Elevator, Inc. Skyland Grain LLC
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SPONSORS BUILDER SPONSORS DONOR SPONSORS GIVER SPONSORS
Farmers Cooperative Equity Co.
Frisbie Construction Co., Inc.
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Korol Financial Group LLC
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Cornerstone Ag LLC
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COMMODITY PARTNERS CRN K ANSAS C OMMISSION EA TWH KANSAS Redisco r Wheat ® UNDERWRITER SPONSOR FOUNDER SPONSOR BENEFACTOR SPONSORS
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Conestoga Energy Partners LLC
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Kansas Coop Council
Farmers Union Mercantile & Shipping Assoc. HABCO Inc.
Central Valley Ag Cooperative Marsh McLennan Agency
INTRUST Bank N.A.
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First National Bank of Hutchinson Gavilon Grain, LLC
Wildcat Feeds LLC
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CHS
Alliance Ag & Grain LLC American Implement, Inc. Central Prairie Co-op Central Valley CooperativeAgFEIInc.
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Kansas Coop Council
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BeachnerAgBiTechGrain Inc. Interchem J.B. Pearl Sales and Services Morrill Elevator, Inc. SkylandNutrienGrain LLC
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Farmers Cooperative Equity Co. Helm Fertilizer Corp.
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Ag Partners Cooperative Inc. Inc. Inc.
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Midwest Laboratories Inc.
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Kanza Coop Assn.
UNDERWRITER SPONSOR FOUNDER BENEFACTORSPONSORSSPONSORSPATRONSPONSORS BUILDER SPONSORS DONOR SPONSORS GIVER SPONSORS
ServiTechAuction $20,000+ $3,500$5,000$7,500 $2,000 $1,250 $750
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JEFF OCHAMPAUGH
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Yance Farney, Koch Fertilizer
Tim Spector, Pride Ag Resources
The membership also cast a unanimous ballot comprised of the following individuals to serve on KARA’s board of directors:
Second term | Basic Manufacturer
Ron Telecky, WinField United
Jami Loecker, Syngenta
CONDUCTS
First term | Retailer
Dave Spears, MKC
14 SEED to SILO | Encompassing Agribusiness in Kansas KANSAS AGRIBUSINESS RETAILERS ASSOCIATION | KANSAS GRAIN AND FEED ASSOCIATION
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First term | Wholesale/Distributor
Third term | Retailer Roger Long, Rosen’s Inc.
Modified to a one-day endeavor, the 2022 Kansas Agribusiness Retailers Association annual meeting featured a short business session followed by a golf tournament at Kansas’ No. 1 ranked public course, Colbert Hills, in Manhattan on August 23.
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Second term | Basic Manufacturer
Nearly 80 members enjoyed the temperate weather and pristine conditions on the course following a business session conducted by KARA chairman Dustin Kuntz and the association’s President and CEO Ron Seeber. Kuntz and Seeber teamed up to review the association’s activities in 2021 and 2022, as well as an in-depth look at the organization’s financial status.
First term | Wholesale Distributor
In less than 24 hours, KARA’s members contributed nearly $1,500 to the association’s scholarship program by purchasing raffle tickets to attend a Kansas City Chiefs game in 2022. The Kansas Agricultural Education Foundation awards nearly $10,000 each year to deserving Kansas high school and college students who are pursuing fields of study related to ourFollowingindustry. a 10:00 a.m., start on the golf course, Robert Cooksey, Jarrod Fink, Josh Freeman and Mark Wegner teamed up to claim the victory after shooting a 56 at the famed Colbert Hills Golf Course.
KARA
August 23, 2022 | Colbert Hills Golf Club RESULTSGOLF CONDUCTS REVAMPED ANNUAL MEETING
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FINISH FOURSOME
15SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
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2 Bryan Bucl, Michael Davidson, John Duesing, Jarret Tagtmeyer 59
1 Robert Cooksey, Jarrod Fink, Josh Freeman, Mark Wegner 56
3 Lee Gleason, Scott Morris, Jeff Stockton, Drew Trollope 60
AFLT Derek Hearld, Brett Lang, Loren Babe, Aaron Anderson 65
SCORE
AFLT Nick Krehbiel, Dustin Kuntz, Ron Seeber, Stan Stark 66
AFLT Zac Fleming, Matt Francis, Jacob Homewood, August Unruh 65
Get fast and actionable mycotoxin test results The AgraStrip® Pro WATEX® test system enables the rapid and simple on-site quantification of mycotoxins in a variety of agricultural commodities. The streamlined workflow reduces steps to a bare minimum while independent and simultaneous testing for up to 4 samples sets new standards in accuracy and usability. SAMPLE ID: BR-11071 COMMODITY: CORN Aflatoxin : 3.4 ppb Deoxynivalenol : Romer Labs Inc | 130, Sandy Drive, Newark, DE 19713, U.S.A. T +1 302 781 6400 · E office@romerlabs.com · www.romerlabs.com Learn more
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In addition, the PAC committee granted staff permission to use their discretion in making additional KABC contributions in the general election cycle.
The KABC Political Action Committee is funded almost exclusively from a 10 percent voluntary check-off on annual member dues and other voluntary donations. In addition, revenues from KGFA’s annual Cranor Golf Tournament may be utilized for the KABC. Your contributions to the KABC help to open doors and build relationships with incumbent legislators and new legislative candidates.
In this election cycle, the entire 125-member House of Representatives stands for election, as well as all state-wide offices.
View each of the approved contributions by entering https://bit. ly/3xllYEm into your search engine.
If you have any questions or concerns regarding the KABC, please contact Randy Stookey by email (randy@kansasag.org) or by phone (785-234-0461).
KABC KansasWeighsActionPoliticalCommitteeinonElections
The Kansas Agri Business Council (KABC) met in late-June and reviewed each of the seats up for election in the state of Kansas this fall.
PREPARED BY RANDY STOOKEY
The Kansas Agri Business Council (KABC) is the joint political action committee of the Kansas Grain and Feed Association (KGFA) and the Kansas Agribusiness Retailers Association (KARA), in partnership with the Kansas Cooperative Council (KCC).
17SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
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The primary objective of the KABC is to promote and protect the grain, feed and agribusiness industries by supporting pro-industry legislative policies and candidates.
This year, following the 2020 national census, all Kansas legislative districts were reapportioned and redrawn. This caused the loss of at least one district in rural Kansas and one new district in Johnson County.
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On June 30, 2022, the KABC committee met and approved PAC contributions for House, Senate and statewide candidates in the 2022 elections.
The committee approved primary contributions in the total amount of $39,000. This amount was in addition to the $16,750.00 in PAC contributions previously made during the current primary cycle.
DOT has published an advance notice of proposed rulemaking (ANPRM) requesting public comment on how the drug and alcohol testing regulation could be amended to allow electronic records.
INDUSTRYnews
This includes allowing electronic signatures on required documents, the use of electronic versions of forms and electronically storing records.Theinformation received in response to this
Electronic DOT Drug and Alcohol Testing Records
Atrazine is a vital tool for farmers across the nation, and it is especially important to farmers who implement conservation tillage, or no-till farming, which plays a significant role in carbon sequestration. An LOC of 3.4 ppb would impact over 65 million acres of corn, sorghum and sugarcane acres (over 70 percent of all corn acres).
The high percentage of unprogrammed inspections indicates that OSHA continues to devote considerable resources responding to referrals and complaints. Of the 24,333 inspections, 10,584 (about 43 percent) were programmed inspections. Programmed inspections focus OSHA’s enforcement resources towards the industries and operations where known hazards exist (e.g., combustible dusts, chemical processing).
Industry partners are urging EPA to be more fully transparent in promptly making available, to the public, all relevant data and its rationale for adopting an atrazine LOC of 3.4 ppb, using its WARP-MP model, and requiring additional label mitigation measures.Kansas Agribusiness Retailers Association will work with its industry stakeholders to file comments on EPA’s review of Atrazine registration.
Source: Asmark Institute
DOT has published an advance notice of proposed rulemaking (ANPRM) requesting public comment on how the drug and alcohol testing regulation could be amended to allow electronic records.
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EPA re-opening Atrazine registration
In its announcement, EPA stated: “After considering comments on the proposed revisions to the atrazine ID, EPA will determine if any changes are warranted to the proposed revisions and then release its decision on this re-evaluation. The Agency also intends to seek external peer review of the risks to the aquatic plant community that underlies this proposed risk management strategy.”
OSHA posted its 2021 Enforcement Summary, which highlights the Agency’s inspection statistics.
On June 30, 2022, EPA announced it has re-evaluated the current atrazine level of concern (LOC), which is 15 ppb, and “determined” in its proposed revised interim registration review decision (IRRD) that the LOC is 3.4 ppb with additional label mitigation measures required for atrazine use. EPA has extended the comment period to October 7, 2022.
OSHA Posts Enforcement Summary FY 2021
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On June 30, 2022, EPA announced it has re-evaluated the current atrazine level of concern.
ANPRM will assist DOT in the development of proposed regulatory amendments intended to provide additional flexibility and reduced costs for the industry while maintaining the integrity and confidentiality requirements of the drug and alcohol testing regulations.Comments must be submitted by October 4.
18 SEED to SILO | Encompassing Agribusiness in Kansas KANSAS AGRIBUSINESS RETAILERS ASSOCIATION | KANSAS GRAIN AND FEED ASSOCIATION
OSHA posted its 2021 Enforcement Summary, which highlights the Agency’s inspection statistics. The data shows that the number of both programmed and unprogrammed inspections has risen since 2020. In fiscal year (FY) 2021, OSHA conducted 24,333 inspections, including 13,749 (about 57 percent) unprogrammed inspections, which includes employee complaints, injuries/fatalities, and referrals.
Source: Asmark Institute
• Water storage in state reservoirs and storage lost to natural silting
Finally, the committee wrapped up the meetings discussing recommendations for future water legislation, including, among other topics:
INDUSTRYnews
• Quality: contamination of ground and surface water from nitrates, uranium and other contaminants such as heavy metals;
• Additional funding used to implement more water conservation practices and retirement of water rights.
• Current and proposed funding mechanisms for the State Water Plan
• Sen. Kerschen challenged the GMDs to come to the legislature and offer their own conservation plans.
19SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
• Consideration of new funding sources: a fee on bottled drinking water, use of new gambling funds, use of the compensating use tax, and legalizing cannabis in the state.
inches per year. On the future of the aquifer, KGS says the hour is late, but all is not lost.
The committee, chaired by Senator Dan Kerschen (R-Garden Plain), received presentations from multiple state boards and agencies with jurisdiction over surface and groundwater and from a professor employed by the Washburn University School of Law. The committee heard presentations on the following issues:
• Nitrate levels in ground and surface waters
• The status of the current drought affecting our state.
Following the inability of comprehensive water legislation to pass the Kansas House of Representatives during the 2022 legislative session, a special joint committee featuring members of the Kansas House and Senate held informational hearings on the status of water August 29 – 30, 2022. The previously proposed legislation would have added new water use fees on Kansas irrigators and made sweeping changes to the state’s groundwater management districts. The legislation, as introduced, was broadly opposed by agriculture.
(R-Neodesha) gave a presentation on a possible funding mechanism for the state water plan fund through use of a portion of the current state sales tax (1/10th of 1 percent which would generate approximately $45 million annually). This idea was recommended by a Governor’s Blue Ribbon Task Force on Funding for the State Water Plan in 2017. Rep. Newland reminded the committee that between 2009 and 2022, the state failed to make more than $80 million in statutorily required transfers to the state water plan fund. During 2022, Rep. Newland successfully offered an amendment to the aforementioned water legislation including this funding mechanism.
The Kansas Geological Survey (KGS) gave a presentation on how western Kansas could slow down the decline of the loss of the Ogallala aquifer. In its stated opinion, the only solution is to reduce the rate of irrigation. The rate of the irrigation reduction would vary from area-to-area, but KGS reported it has modeling tools to provide irrigators with information on how much to reduce irrigation in their area to preserve the aquifer and their water right.
• Sen. Mary Ware (D-Wichita) recommended moving the Chief Engineer outside of the Kansas Dept. of Agriculture so they are not answerable to the secretary.
Griggs discussed the current statutory make-up of the groundwater management districts (GMDs) and suggested that the people in the GMDs do not have a sufficient voice to affect the decisions of the GMDs. Griggs provided various recommendations on how to “reform Kansas water law” by: (1) addressing over-appropriation, (2) clarifying the duties of the Chief Engineer and (3) “Restoring the public dimension of Kansas water supplies,” by providing the Chief Engineer with greater autonomy from the Secretary of Agriculture, and by reforming GMD boards to provide municipalities with greaterRepresentativerepresentation.JoeNewland
• Loss of ground water throughout the Ogallala Aquifer
• Quantity: ground and surface water depletion in western and central Kansas from over appropriation of water rights – causing the state to become “water bankrupt”;
• An overview of Kansas water laws
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Burke Griggs, a professor at Washburn University School of Law and a recognized expert on Kansas Water law spoke to the committee identifying Kansas’ current water issues and recommendations on how Kansas might address those problems including:
Water-related issues and legislation were a large topic of discussion during the 2022 Kansas legislative session as well as in the interim.
According to Griggs, “Kansas has turned its back on water as a state resource,” and has essentially adopted policy to entirely use all of Kansas’s groundwater. Regarding water quality – and focusing on uranium in the water coming into Kansas from Colorado – Griggs states that the Clean Water Act authorizes the EPA and the state to require bodies of surface water to meet total maximum daily load (TMDL) standards, but that these TMDL standards are not adequately enforced in Colorado or Kansas.
Special Interim Legislative Committee Holds Hearings on Water Issues
• Authority: Griggs argued the state has not fully utilized its authority to regulate water use because the Chief Water Engineer in Kansas serves under the Kansas Secretary of Agriculture whose job is to promote the state’s agricultural interests, causing a potential conflict as agriculture accounts for 75 percent of water usage in the state.
KGS information also demonstrated where certain Local Enhanced Management Areas (LEMAs) were established, the area achieved up to 30 percent savings in water usage without negatively affecting agricultural income. Despite those efforts, however, the aquifer was still losing approximately five
• Water conservation practices being studied and utilized
• State water conservation and protection programs
Your association will continue to monitor and report on any new developments regarding water issues.
“It’s always great to get out and see our members,” Seeber said. “I enjoy getting out of the office and having those productive conversations every year.”
A FEW ASSOCIATION NO TIES VISITS
The association staff cherish the value of face-to-face time with their members at their place of business and looks forward to getting out and seeing them every year.
“Why No Ties?” Association President and CEO Ron Seeber rhetorically asked. “Because you can learn more and share more in a 30-minute face-to-face meeting at a member’s place of business than any other way.”
During a short stint on the road, Seeber and Trae Green heard concerns from members about issues ranging from harvest conditions to the political landscape in 2022. The forthright and informed level of input received from members provided invaluable insights for the association to better evolve, adapt and serve the needs of its members. Seeber appreciated KARA and KGFA members’ ability to express ideas outside the normal confines of association goals and responsibilities and allow the association to be the premier voice for the industry.
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Association staff enjoyed the nice weather and legislative adjournment by ditching the ties for the first time in 2022 and hitting the Kansas highways to visit a few members across the state.
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As the summer wraps up and fall approaches, more association staff will be traversing the state, meeting with members and finding ways the associations can improve its services.
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Effective upon promulgation of these amendments, KDHE will no longer accept paper submissions for annual inventory and the associated paper submittal fees will be eliminated. KDHE is proposing to increase the emissions fee schedule from the existing $1,000 base fee or $53.00 per ton of emissions to the sum of an annual facility fee of $1,000 for all sources, $56.00 per ton of criteria emissions fee, and $80.00 per ton of hazardous air pollutant (HAP) fee. The proposed fee changes will become effective January 1, 2025.
• Comment Period – A 60-day public comment period on the proposed regulations has begun and will end on 5:00 p.m. on the day of the hearing. Comments may be submitted to Douglas Watson, Air Monitoring and Planning Section, KDHE, Bureau of Air, 1000 SW Jackson, Suite 310, Topeka, KS 66612-1366, or by email to boaregsipcomments@ks.gov,kdhe.orby fax to 785-559-4256.
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Following the inability of comprehensive water legislation to pass the Kansas House of Representatives during the 2022 legislative session, a special joint committee featuring members of the Kansas House and Senate held informational hearings on the status of water August 29 – 30, 2022.
The Kansas Department of Health and Environment (KDHE), Division of Environment, Bureau of Air, has published proposed amendments to its air quality regulations K.A.R. 28-19-517 regarding Class I operating permits, annual emissions inventory, and fees; K.A.R. 28-19-546 regarding Class II operating permits, annual emission inventory, and fees; and K.A.R. 2819-564 regarding Class II operating permits, permits-by-rule, and sources with actual emissions less than 50 percent of major source thresholds.
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KDHE is proposing revisions to K.A.R. 2819-517 Class I source annual emissions inventory and fee requirements. The proposed amendments will require all Class I sources to utilize the KDHE electronic emissions inventory submission system.
Economic Impact:
K.A.R. 28-19-546. Class II operating permits; annual emission inventory and fees. KDHE is proposing to amend K.A.R. 28-19-546 to establish a Class II fee schedule and clarify inventory submission requirements on which the fees are based. Proposed amendments include language outlining procedures for submitting annual emissions inventory electronically, currently implemented using the KDHE electronic emissions inventory submission system, and annual emission fees beginning in calendar year 2025 of $56.00 per ton of criteria emissions and $80.00 per ton of hazardous air pollutant emissions. Additional provisions are being proposed to establish late fee and refund requirements for both inventory and fees.K.A.R. 28-19-564. Class II operating permits; permits-by-rule; sources with actual emissions less than 50 percent of major source thresholds. KDHE is proposing to amend K.A.R. 28-19-564 paragraph (e) to require all permits-by-rule Class II sources
Cost to the regulated community: Class I sources required to submit an annual emissions inventory pursuant to K.A.R. 28-19-517 will incur a cost in emission fees ranging from $1,000 to $56–$80 per ton of emissions beginning in calendar year 2025. KDHE projects an increase in annual cost to the regulated community from the proposed fees beginning in 2025 compared to 2021 to be approximately $171,000 for the facility fee, $117,564 for criteria emissions fee and $222,013 for HAP emissions fee. KDHE estimates the total costs that are reasonably expected to be incurred by the regulated community to be approximately $510,577 in 2025. Class II sources required to submit an annual emissions inventory pursuant to K.A.R. 28-19-546 and 28-19-564 will incur a cost in emission fees ranging from $1,000 to $56–$80 per ton of emissions beginning in calendar year 2025. KDHE projects an increase in annual cost to the regulated community from the proposed fees beginning in 2025 to be approximately $572,497 for criteria emissions fee and $43,730 for HAP emissions fee. KDHE estimates the total costs that are reasonably expected to be incurred by the regulated community to be approximately $616,227 in 2025.
• Public Hearing – The agency will conduct a public hearing at 10:00 a.m. Thursday, November 3, 2022, in Room 530, Curtis State Office Building, 1000 SW Jackson, Topeka, Kansas. During the hearing members of the public may submit written and oral comments.
and those with actual emissions less than 50 percent of major source thresholds to submit annual emissions inventory and fees by April 1 of each year (currently February 15) as required by the proposed K.A.R. 28-19-546.
21SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
KDHE Provides Notice of Hearing on Proposed Air Quality Regulations
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INDUSTRY
news
22 SEED to SILO | Encompassing Agribusiness in Kansas
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Following a full day of touring on Sunday and Monday, the group met with national affiliate agribusiness associations and economists at the United States Department of Agriculture before hosting a legislative reception where the delegations from Iowa, Kansas and South Dakota were invited.
The 2022 class of Tomorrow’s Agribusiness Leaders quickly wrapped up its second and third sessions in late-July and August, respectively, to be on track for graduation at the Kansas Agri Business Expo in November.
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SESSION II - WASHINGTON, D.C.
The typical late-July heat and humidity greeted the class as they exited the baggage claim area at Reagan International Airport.
The chairmen of Kansas Grain and Feed Association (KGFA), Brent Emch (Cargill Inc.) and Kansas Agribusiness Retailers Association (KARA) Dustin Kuntz (Harveyville Seed Company) wrapped up the afternoon
The 2022 TAL class will graduate on November 17 in conjunction with the Kansas Agri Business Expo in Wichita.Doyou know anyone interested in participating in the TAL program? The associations are accepting applications through November 25, 2022 at 5:00 p.m. Anyone interested in applying can receive more information and fill out an application through either website: tomorrows-agribusiness-leaders/.agribusiness-leaders/ksgrainandfeed.org/tomorrows-orksagretailers.org/Forquestions or
As part of its third and final formal session, the TAL class gathered at CoBank in Wichita on August 26 to receive a day-long politics 101 course and leadership development seminar.Dr.Don Hackett of Wichita State University provided a morning presentation on effective delegation as a manager, while Kansas State Representative Susan Estes (R-Wichita) spoke over lunch regarding running a political campaign in a statewide or local election.
discussing the importance of volunteer leadership and maintaining involvement in the associations after graduation.
Kansas First District Congressman Tracey Mann treated the class extremely well, providing a private tour of the United States Capitol, as well as securing spots for the group at a reception honoring Amelia Earhart’s statue being unveiled inside National Statuary Hall.
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23SUMMER 2022 SEED to SILO | Encompassing Agribusiness in Kansas
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In the aftermath of the pandemic, the big-city experience was different for this iteration of the TAL class. Traffic was minimal, the sidewalks were relatively empty and the tourist attractions had smaller lines allowing for immediate access.
deeper discussion about the program, please contact Trae Green, 785.234.0461 or trae@kansasag.org.
GRADUATION - WICHITA
TAL CLASS
On Wednesday, the class was fortunate enough to meet, and have productive conversations with, all six members of Kansas’ congressional delegation.
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SESSION III - WICHITA
READY FOR GRADUATION
Kansas Agribusiness Retailers Association 816 SW Tyler, Suite 100 Topeka, Kansas 66612 Stay Connected Stay Connected
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Topeka, Kansas 66612
Kansas Grain and Feed Association 816 SW Tyler, Suite 100
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