House Committee Takes First Step to
Extend Beer Excise Tax Provisions

On June 20 th , the House Ways and Means Committee approved by a 25-17 vote the Taxpayer Certainty and Disaster Tax Relief Act of 2019 (H.R. 3301), to extend through 2020 certain tax provisions that expired at the end of 2017 and 2018, and that will expire at the end of 2019. The package includes a one year extension of the Craft Beverage Modernization and Tax Reform Act provisions that were enacted in the Tax Cuts and Jobs Act of 2017, but expire at the end of 2019. The CBMTRA provisions enacted in 2017 set a tax rate for brewers under 2 million barrels annually at $3.50/barrel on the first 60,000 barrels of beer produced, and $16/barrel on any further barrels produced up to 6 million barrels. Above 6 million barrels, the excise tax remained at $18/ barrel.   Proportional reductions in excise taxes were also provided for wineries and distillers.

The next step for the package of tax provision extensions (tax extenders) is uncertain, but will likely require a negotiated agreement, particularly on the issue of whether the cost of the package is offset with spending reductions or tax increases. The package passed by the House Ways & Means Committee is offset by changes to estate tax exemption levels. The Senate has thus far supported passage of tax extenders without requiring offsets.  

Ag Census Rankings

On June 26, 2019, the USDA-NASS released the updated Ag Census rankings by congressional district. Barley stats can be found in Table 50, on page 314. Montana's at-large district (Rep. Gianforte) comes in at #1, followed by Idaho's 2nd district (Rep. Simpson) and North Dakota's at-large district (Rep. Armstrong).

NASS Acreage Reports
2019 barley acreage in the U.S. came in at 2,857,000; up 314,000 acres from 2018, or 12.3.%; and up 307,000 acres from the March Prospective Plantings Report. 

2019 acreage estimates for NBGA member states, change from 2018,
and March Report:

Colorado at 80,000; up 22,000; a 37.9% increase; up 23,000 from the March Rpt
Idaho at 510,000; down 40,000; a 7.3% decrease; but up 45,000 from the March Rpt
Maryland at 70,000; up 25,000; a 55.6% increase; up 30,000 from the March Rpt
Minnesota at 90,000; up 10,000; a 12.5% increase; up 10,000 from the March Rpt
Montana at 880,000; up 90,000; a 11.4% increase; up 70,000 from the March Rpt
North Dakota at 620,000; up 150,000; a 31.9% increase; up 90,000 from the March Rpt
Washington at 105,000; up 20,000; a 23.5% increase; up 20,000 from the March Rpt
Wyoming at 95,000; up 24,000; a 33.8% increase; up 10,000 from the March Rpt

June Meeting Recap

On June 17-19, 2019, the NBGA Board gathered in Jackson Hole, WY for their summer meeting.

NBGA Board Elections
Congratulations to
Buzz Mattelin (Culbertson, MT) on his recent election to NBGA President. Greg Kessel (Belfield, ND) was elected Vice President.
Thank You

Thank you to
Past President,
Dwight Little (Teton, ID),
for his service and dedication to the organization.

Farm Bill Update
The 2018 Farm Bill was signed into law on December 20, 2018. Since then, the USDA has implemented key programs and hosted listening sessions with stakeholders and the public for additional feedback. On June 26, 2019, USDA Secretary Perdue announced an update on Farm Bill Implementation.

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