Yesterday, the House voted 290-137 on legislation aimed at averting a potential rail worker strike. As previously reported, a handful of rail worker union groups have held out on a tentative agreement originally put together back in October. Current practice for these groups is to call for a general strike even if all but one of the groups agrees to the brokered deal. With a December 9^th deadline quickly approaching and no significant movement being made by either side, the President called on Congress to move swiftly with passing legislation to stop any strike.

Under a 1926 law, the Railway Labor Act, Congress has the ability to force an agreement upon both sides in order to avert significant disruptions to interstate commerce. There is little doubt that a prospective strike would cause exceptional economic fallout should it occur. The labor groups that were holding out were doing so for two weeks of paid sick leave, a piece that freight companies have been hesitant to approve. The bill approved by the House technically did not include a paid leave provision, but an add-on piece would offer seven days of paid sick leave for workers. This inclusion helped shore up support on the more progressive wings of the Democratic party (although eight voted against it). Seventy-nine Republicans joined in support of the bill, which is expected to pass in the Senate as early as Friday. 

USDA released their semi-annual Farm Labor Report over Thanksgiving week, which is important for H-2A users as the Adverse Effect Wage Rate (AEWR) is calculated based off these figures. In a dismaying (but unsurprising) development, California’s hourly payrate for H-2A employees will now climb to $18.65, a 6.5% increase over the current $17.51 rate. The percentage increase is actually slightly less than the 6.8% increase seen on average nationally. Floria saw the largest jump with a 15.5% increase (now up to $14.33). Rates have shown no signs of slowing down in recent years, a significant pain point for farmers in California and across the country, particularly as inflation, input cost increases, and other factors have continued to chew into slim profit margins.

Between the new AEWR increases and other regulatory changes expected by USDA and DOL, CAFB has continued to pressure movement on the Farm Workforce Modernization Act (FWMA), which would institute a one-year freeze of the AEWR and then institute a percentage cap on year-to-year increases. Further below, we have an update on the latest developments with that legislation; however, we will continue to work with other coalition partners in finding ways to help limit these costly increases and changes.

The U.S. Forest Service has undertaken a strategic planning effort called ‘Range Futuring’. With this initiative, USFS is currently soliciting input from USFS grazing permittees to better understand what the agency is doing well, what isn’t working well, and thoughts around what might shift in the near or long-term future that the agency should consider. Permittees are encouraged to submit feedback via the online Forest Service Rangeland Management Permittee Questionnaire. (Please note that although the online survey states November 30, USFS is accepting feedback through December 31, 2022.)

USFS will also be hosting a webinar on December 13, 2022, at 9:00am Pacific to solicit feedback on its Range Futuring strategic planning effort. To register for that webinar, once open, click here.  

During the National Association of Farm Broadcasting’s Annual Convention recently held in Kansas City, Missouri, EPA Ag Advisor Rod Snyder reported that the U.S. Environmental Protection Agency has continued to work on an update to the Waters of the U.S. rule. Over the past year, US EPA has received more than 120,000 public comments on the proposed rule. In June 2022, California Farm Bureau led a roundtable focusing on the impacts the proposal would have on the West. US EPA is expected to make an announcement very soon, likely sometime in December 2022.

On Tuesday, a federal judge denied a request to issue a temporary restraining order (TRO) against the implementation of a new H-2A rule finalized by the Department of Labor earlier in the fall. The National Council of Agricultural Employers (NCAE), of which CAFB is a member, filed the litigation on behalf of employers. The heart of the issue lies in the fact the Biden administration essentially overwrote a previously finalized Trump-era H-2A rule, which was halted during the transition process between administrations. NCAE’s arguments suggest that this process violates the Administrative Procedure Act, which governs how agency rules are promulgated. Due to the significant changes between the two versions, NCAE is arguing that the “updated” Biden version should go through a normal rulemaking process, which would include a public comment period.

USDA recently mailed survey codes to all farmers and ranchers across the nation with an invitation to participate in the 2022 Census of Agriculture. Conducted every five years, the Ag Census provides data on American agriculture both nationally as well as down to the county level. The 2022 survey has new questions about the use of precision agriculture, hemp production, hair sheep and internet access. USDA will also send out paper questionnaires in December. The survey can also be completed online or returned via email. Responses are due by February 6.

While the midterm election results still aren’t fully complete, the leadership roles for both wings of Congress have started to come into clearer focus. On the House side, current Speaker Nancy Pelosi (D-CA) announced her plans to step back from a leadership role in the new Congress, as did Majority Leader Steny Hoyer (D-MD), who was often seen as the heir-apparent. This essentially clears the pathway for NY Rep. Hakeem Jeffries to assume the primary leadership role beginning next year, which marks a significant change given Speaker Pelosi’s long tenure at the head of the party. In addition, the House Democratic Caucus Chair, previously led by Jeffries, will now be headed by Rep. Pete Aguilar, who represents California’s 31^st District.

For Republicans, it still remains unclear as to whether current Minority Leader Kevin McCarthy (R-CA) will carry the Speaker’s gavel in 2023. Several members of the conservative House Freedom Caucus have voiced their opposition to his candidacy and are likely to extract some political capital in order to garner their support. With an extremely slim majority in the House next year, Leader McCarthy will need virtually the entire party’s support in order to become Speaker.

On the Senate side, both Sens. Mitch McConnell and Chuck Schumer are in line to retain their leadership roles.