Talking Strategy

By OCA’s Executive Director Jerome Rosa

Here at OCA, the COVID-19 situation has had a major impact on all that we do daily. The staff has been working remotely with scheduled office meeting calls. NCBA has been doing a good job of providing daily updates, which are shared with the OCA’s Board of Directors. The daily ritual of being at the office and scheduling a myriad of local, state and federal meetings has changed dramatically. It is as if our lives have been put on hold regarding many items normally done this time of year and the future is unknown. The OCA Board of Directors met last week on our monthly 6:00 a.m. board call and voted to cancel this year’s midyear meeting at the Salishan Resort on the Oregon coast due to yet undetermined Governor mandated group gathering numbers. We were able to negotiate an agreement with Salishan to apply all the deposits expended for down payments so far to a midyear event NEXT YEAR AT THE SAME LOCATION. Currently, we are planning to hold a “virtual” business meeting for Midyear, which will be accessible to all OCA members in July.

Interestingly, a significant amount of our time and efforts have switched from statewide issues to federal issues. Communication with our Federal congressional delegation has become the norm more than it was prior to COVID19 crisis. OCA has drafted and has been a part of several letters and calls advocating for help for our ranchers on the farm and in the marketplace.

OCA sent a letter on March 17, in partnership with the Washington Cattlemen’s Association to Secretary of Agriculture Sonny Perdue (read on page 11), we asked to ensure certainty of federal inspection in meat packing facilities, implementation of safety protocols and immediate action to stabilize the markets. This letter also went to leading House and Senate Ag committee members and Under Secretaries at USDA. Shortly after sending this letter the CARES act became a discussion and OCA is incredibly grateful to Senator Merkley and his staff (Jessica Keys) in initiating this effort. Also, Senator Wyden and his staff particularly, Kathleen Cathey, have been in constant contact with OCA throughout all the authorizing phases of the CARES ACT.

Some of the other Federal correspondence from OCA include a letter to the Honorable Larry Hogan, Chairman of the National Governor’s Association, regarding the fact that all states, regardless if they have a USDA certified plant or not, are gravely impacted by partial and full closures of meat processing plants. If the beef supply becomes scarce, grocery store hysteria may ensue. It is a top priority for OCA to maintain food security for consumers and a stable and fair market for producers.

OCA sent an additional letter to the Honorable Sonny Perdue, requesting a joint investigation with the Department of Justice, Antitrust Division, leading the Packers and Stockers Administration in a coordinated investigation of the volatile pricing occurring in the market as a result of the COVID-19 pandemic. Other states and NCBA have also since requested this structure of investigation.

The pandemic has really slowed things down for many people throughout the world, but at OCA it has accelerated efforts on a national scale. We continue to try and make ranching a viable business now and into the future. Feel free to contact me anytime with questions or concerns!

I would like to end with an air of hope, offering reassurance to all of you. The day will dawn, when we can all look back on this difficult time and find something positive that has come from it. It is difficult during a tough situation to see the positive, but the tough will keep going. The cloth that you are all made of is durable and everlasting, let your faith be the same. •

March 17, 2020 Dear Secretary Perdue,

The Oregon and Washington Cattlemen Associations represent ranchers, business owners and all citizens working in the beef production industry within each respective state. As you are aware, there are commodity crashes occurring across the board as the market reacts to the coronavirus (COVID-19) and the emergency measures impacting everyday life. The cattle market is no exception.

On behalf of beef producers, we urge you and your staff to take immediate action to stabilize the markets through your authorities. In addition, action beyond market stabilization may be needed to ensure that cattle producers and feeders that are experiencing excessive price losses are provided immediate relief. This is a unique market disruption and we trust that you and your staff will present a customized, timely and effective program for the U.S. cattle industry.

Throughout the past few years, cattle producers have faced many challenges including trade disruption and market volatility. The cattle market was on track to recover following the fire at the Tyson Foods meatpacking plant in Holcomb, Kansas in late summer of 2019. However, since January of this year, the live cattle futures have lost nearly a quarter of their value. Cattle producers and agriculture lenders are feeling the pressure and OCA and WCA fear additional fallout as the U.S. takes the proper risk management protocols to control the current pandemic.

On behalf of all who rely on the cattle market, we urge you to ensure certainty of federal inspection in meat packing facilities, implement protocols if facility employees test positive for COVID-19 and ensure on an emergency basis that plants will continue operating in the days ahead.

We are dedicated to working with you, the Trump Administration and Congress to ensure the long-term success and viability of the U.S. cattle industry. Immediate action is needed now to address the dramatic market decline facing this industry.

Sincerely, Jerome Rosa Danny DeFranco Oregon Cattlemen’s Association Washington Cattlemen’s Association

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