In this Issue:

• Headlines
• USDA Announces Adoption of Southeastern FMMO Amendments
• National FMMO Hearing Draws to a Close
• UGA Ag Forecast Released
• Reminder: SDBII Opens On-Farm Grants for Infrastructure and Technology
• Take Our GDC Attendee Survey: Tell Us How We Did
• 2024 Georgia General Assembly Legislation Tracker
• DMI-NMPF Dairy Market Report
• Market Administrator's Market Bulletin
• Speak Up for Whole Milk
• Legislative Tracker
• Upcoming Events
• GMP Members Teach NBA Hall of Famers How to Milk a Cow

Headlines

articles and press releases of interest this week

• December Margin Triggers DMC Payment
• Chiefs Playoff Success Inspires Local Dairy
• Farmers Wonder Will a New Farm Bill Ever Come
• State Ag Commissioners Send Letter to Bank Executives over ESG Investing
• South Florida Dairy Farmer Turning Manure Into Renewable Energy
• How Biochar Can Be Used as a Manure Storage Cover
• Checkoff’s Foray into Social Media Brings New Attention to Programs
• Business and Ag Groups Sue California Over Climate Disclosure Laws
• Why EU Officials Are Taking Angry Farmers So Seriously

Breaking: USDA Issues Final Rule on Southeastern FMMO Amendments; Changes to Take Effect on March 1

Earlier today (February 1, 2024) USDA AMS announced the final adoption of amendments to the three Southeastern Federal Orders (F.O. 5, 6, & 7). According to USDA, over two-thirds of participating producers approved the proposed changes to the Appalachian, Florida, and Southeastern orders. On December 1, 2023, USDA released it's final rule and ordered a producer referendum to approve or deny the amendments. These amendments included updates to the components of the mileage rate calculation of the transportation credit balancing fund (TCBF), revising the months of mandatory and discretionary payment for T-credits, revising the non-reimbursed mileage factor, and increasing the maximum assessment rate on Class I milk. The rule also creates a new distributing plant delivery credit (DPDC) that will make service payments to qualifying handlers and co-ops for milk shipments to pool distributing plants from farms that are year-round suppliers. For Georgia producers, this means handlers will be able to secure a DPDC payment for milk that travels from Georgia to pool plants in Florida on a consistent basis.

The Dairy Cooperative Marketing Association (DCMA) requested a hearing to consider proposals to the three Southeastern orders in late 2022. In February 2023, DCMA along with representatives from Prairie Farms and one Southeastern producer provided testimony and evidence as part of a three-day hearing in Franklin, TN. The majority of the final rule reflects the proposed amendments submitted by DCMA.

Read USDA's Press Release as well as the final rule published in the Federal Register below.

Further Reading:

USDA Press Release on Southeastern FMMO Amendments

Southeastern FMMO Amendments (Federal Register)



FMMO Hearing Draws to a Close

The National FMMO hearing concluded earlier this week after a combined 12 weeks of testimony beginning in August 2023. USDA AMS Dairy Division staff heard testimony on 21 proposals. According to the National Milk Producers Federation, interested parties will have 60 days to submit post-hearing briefs to further elaborate on testimony and evidence submitted during the hearing. After that, USDA will begin deliberations. Historically, USDA will release a proposed amendment to the federal orders (if the agency does deem an amendment necessary) and hold a public comment period. After the comment period, USDA will consider comments and incorporate those into any changes that will be reflected in the final rule. The final rule will then be voted on by dairy producers and their cooperatives. If the referendum passes, the changes will be adopted into the federal orders. If it fails, the orders are nullified. After the vote, there will also be an implementation period as USDA incorporates the changes into the federal orders. At this rate, it is likely that any changes to the federal orders will not take effect until well into 2025.

Due to this delayed timeline (originally many in the dairy industry hoped that any changes to the orders would take place in 2024), American Farm Bureau is urging USDA Secretary Tom Vilsack to issue a final decision on an emergency basis to speed up the implementation of any change to the Class I Mover back to the “higher-of” mover. “The comprehensive process of amending federal orders, though important, means dairy farmers remain stuck with current pricing regulations until USDA publishes a final rule,” said Sam Kieffer, AFBF’s Vice President of Public Policy. 

Georgia Milk Producers President Matt Johnson testified in September on behalf of the NMPF suite of proposals including returning to the “higher-of” mover and updating Class I Differentials. Georgia Milk Producers, Inc. supported the NMPF proposals in a letter to USDA AMS in August of 2023. 

Further Reading

NMPF’s Alan Bjerga on RFD-TV

NMPF Statement on FMMO Hearing

IDFA Statement on FMMO Hearing

AFBF Advocates for Emergency Implementation of Higher-of Class I Mover





UGA College of Ag Unveils 2024 Ag Forecast

The University of Georgia College of Agriculture and Environmental Sciences released its annual 2024 Ag Forecast last week. The Ag Forecast conference took place at the UGA Tifton Conference Center with presentations from UGA ag economists, Dean Nick Place, and a panel including Congressman Austin Scott. 

The Ag Forecast covers projections for fifteen different commodity sectors. For the dairy forecast, UGA Livestock Economist Will Secor predicts margins to remain tight but potentially improve as milk prices recover from 2023 lows and input prices level off or slightly decrease in 2024. You can read Dr. Secor’s forecast for dairy at the link below.

2024 Dairy Outlook



Reminder: SDBII Accepting Applications for 2 On-Farm Grants

The Southern Dairy Business Innovation Initiative through the University of Tennessee has two grant funding opportunities for eligible dairy farmers. The Farm Infrastructure Improvement Grant and the Precision Technology and Management Grant are open for applications until March 1.

The Farm Infrastructure Grant provides reimbursement funds to permitted dairy farms in the Southeast that are seeking to make farm facility updates. The grant has a $100,000 maximum award and a 25% matching funds requirement. Improvements to existing facilities to reduce the impact of heat stress and seasonal milk production swings, raw milk storage, cooling capacity, and/or transportation efficiency, Modernization and improvements to milk harvest, improvements to feed and forage management and storage opportunities, improvements to animal housing and environments, and water and water management improvements are some of the suggested priority funding areas.

The Precision Technology and Management Grant is also open until March 1. This grant has a $150,000 maximum award with a 25% matching requirement from applicants. Requests for funds to improve animal health, wellbeing, and/or performance, enhance labor efficiency, reduce energy costs or environmental impact by making production more efficient, or increase utilization of the farm’s land base will be considered.

You can read more about the SDBII grants at sdbii.tennessee.edu 

If our Georgia Milk Producers members need any technical assistance with applying for these two grants or need additional support, please email Bryce at bryce@gamilk.org and Dr. Jillian Bohlen at jfain@uga.edu. Dr. Bohlen is Georgia's primary contact for this grant program.

Further Reading:

• Farm Infrastructure Improvement Grant RFP
• Precision Technology and Management Grant RFP
• Information Webinar (recording) by University of Tennessee



Tell Us How We Did! Take 3 Minutes to Fill Out Our GDC Attendee Survey

The 2024 Georgia Dairy Conference took place last Monday-Wednesday at the Marriott Savannah Riverfront. This year’s conference was a huge success with over 600 registered attendees from across the country! Thank you to our Georgia and out-of-state dairy farmers who made the trip to Savannah this year. We also want to thank our wonderful sponsors and exhibitors at the GDC Tradeshow for their financial and logistical support of the Georgia Dairy Conference. We could not host the Southeast’s premier dairy management conference without the support of our dairy farmers and allied industry.

We ask that this year’s attendees complete our GDC Attendee Survey so that our team can plan for an even bigger and better 2025 Georgia Dairy Conference. Click the link below to take our survey and help us plan for next year.

2024 GDC Attendee Survey

All 2024 GDC attendees should have received an email last week with copies of the presentations from this year's General Session Seminars. Please email Bryce at bryce@gamilk.org if you have any questions.

DMI-NMPF Dairy Market Report: January 2024

The following is an except from the Jan. 2024 Dairy Market Report by DMI and NMPF:

While milk production growth continues to be sluggish and farmer margins are improving, USDA analysis shows total domestic use of milk increased by 2.8 percent on a milk equivalent, total milk solids basis during September-November. Because this was faster than milk production, and faster than milk solids production grew during the same period, stocks of the major dairy products have continued to drop. The Dairy Margin Coverage Program margin finally recovered in November to a level slightly above the maximum $9.50/cwt Tier 1 coverage level, the first time in 2023 that farmers insured at the maximum level didn’t receive a payment.

You can read the full Dairy Market Report HERE.



Market Administrator's Market Bulletin F.0. 6 and F.O. 7

The Federal Market Administrator’s office has published its January Market Bulletin with published uniform prices, utilization, and market summaries.

F.O. 6 & 7 Market Bulletin

NMPF & IDFA Are Calling on Dairy Supporters to Help Push Whole Milk for Healthy Kids

Our E-News readers will remember the US House of Representatives passed the Whole Milk for Healthy Kids Act in December by an overwhelming margin. The bill is now sitting in the Senate Ag Committee where it awaits a hearing. Senator Roger Marshall from Kansas made a motion for unanimous approval of the bill when it first reached the Senate, but Senate Ag Chairwoman Debbie Stabenow (D-MI) objected to the motion stating her preference to let the Dietary Guidelines for Americans and USDA Food and Nutrition Service set school nutrition policy. 

As the bill waits for a hearing in the Senate, you can do your part and tell your Senators to support the Whole Milk for Healthy Kids Act. Those of you who attended Dr. Michael Dykes’s presentation at the Georgia Dairy Conference will remember hearing about how the dairy processors and farmers are united in supporting this bill. Take 2 minutes out of your day to tell your Senator to support the Whole Milk for Healthy Kids Act. You can use either of the links below to contact your Senators.

NMPF Action Center

IDFA Campaign Center



GMP Classifieds

2024 Legislative Tracker

The following are pieces of legislation of potential interest to GMP members and E-News readers:

• HB 848 – Reps. Taylor, Lumsden, Collins, Hitchens, and Dunahoo
• A bill to authorize the enforcement of excess vehicle weight violations through an automated vehicle weight detection system.
• Status - Referred to the committee on Motor Vehicles on 1/8/24.
• HB 908 – Reps. Ridley, J., Ridley, J., Jasperse, Fleming, and Persinger
• A bill to require food service establishments to disclose if food products contain cell-cultured meat and/or plant-based meat alternatives.
• Status – Referred to the committee on Agriculture and Consumer Affairs on 1/11/24.
• HB 922 – Reps. Vances, Tarvin, Lunsden, Collins, and Hitchens
• A bill to constitute the entrance upon another’s property without consent of the owner as an offense of criminal trespass.
• Status – referred to the committee on Judiciary Non-Civil on 1/12/24.
• HB 981 - Reps. Burchett, C. Cannon, Dickey, Meeks, Rhodes
• A bill to exempt agricultural structures from permitting fees by local or municipal governments.
• Status - Read and referred to the Committee on Agriculture and Consumer Affairs on 1/23/24
• SR 470 - Sens. Hickman, Goodman, Watson, Anderson, and Gooch
• A resolution creating the Senate Study Committee on the Preservation of Georgia’s Farmlands; and for other purposes.
• Status - Assigned to Senate Agriculture & Consumer Affairs Committee on 1/26/24
• HB 1015 - Reps. McDonald, Blackmon, Jones, Hong, Wade and others
• A bill to lower the state income tax rate for 2024 to 5.39% and reduce the income tax rate by 0.1% annually until the maximum tax rate is 4.99%.
• Status - Assigned to the House Ways & Means Committee 1/25/2024

ICYMI: GMP Members Teach Charles Barkley How to Milk a Cow

GMP members Kaitlin and Leah Benkoski of Big Sandy Creek Dairy stopped by the TNT studios in Atlanta with Rosie the Red and White Holstein to teach Shaquille O’Neil, Charle Barkley, Kenny Smith, and Ernie Johnson how to milk a cow. The segment aired earlier in January in honor of National Milk Day. 

If you’ve never seen anyone milk a cow wearing a suit and cufflinks, this is the video for you.

Watch the Benkoskis Teach Some Hall of Famers How to Milk

Until Next Time,

Bryce Trotter