TCFA COVID-19 UPDATE

Ongoing efforts to keep you informed on news surrounding the beef industry and COVID-19.
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May 13, 2020

• PPP clarification on economic need certification: for borrowers with loans less than $2 million - Today the SBA issued an updated FAQ document that extends an automatic safe harbor to borrowers receiving PPP loans with an original principal amount of less than $2 million. Question 46 specifically addresses this issue. According to SBA, these borrowers “will be deemed to have made the required certification concerning the necessity of the loan request in good faith.”
• For borrowers with loans in excess of $2 million - While we realize most agricultural borrowers acted in good faith, it is important to be aware that tomorrow, May 14, is the deadline for PPP borrowers to return funds if they received loans in excess of $2 million and did have access to other sources of capital. It is also important to note that these borrowers will be subject to a compliance review by the SBA. If SBA determines in the course of its review that a borrower lacked an adequate basis for the required certification concerning the necessity of the loan request, SBA will seek repayment of the outstanding PPP loan balance and will inform the lender that the borrower is not eligible for loan forgiveness.

 

• Producers can take step now for CFAP applications. We are still waiting for USDA to release application details for the Coronavirus Food Assistance Program (CFAP). In the meantime, FSA distributed an e-bulletin today with steps producers can take now to prepare for the application period.
• To apply for the program, you will need to call the Farm Service Agency (FSA) county office to schedule an appointment. USDA service centers are open for business by phone appointment only. Your local FSA staff will work with you to apply for the program, and through forms asking for this type of information:
  • Contact information
  • Personal, including your Tax Identification Number
  • Farming operating structure
  • Adjusted Gross Income to ensure eligibility
  • Direct deposit to enable payment
• If you are an existing customer, this information is likely on file at your local USDA Service Center. Additional information and details on CFAP will be posted here: farmers.gov/CFAP
• As a reminder, USDA, AMS and FSA will host a webinar Thursday, May 14, at 12:00 p.m. CDT for producers interested in applying for direct payments through the Coronavirus Food Assistance Program (CFAP). The webinar will provide information about the application process and required documentation prior to official signup date which has not yet been announced. Producers who are new to participating in FSA programs are encouraged to join the webinar. Please register in advance here.
  
  
• A bipartisan bill introduced Tuesday by Sens. Chuck Grassley (R-Iowa), Steve Daines, (R-Mont.), Joni Ernst (R-Iowa), Cindy Hyde-Smith (R-Miss.), Mike Rounds (R-S.D.), Tina Smith (D-Minn.) and Jon Tester (D-Mont.) would require beef packing plants who slaughter more than 125,000 head of cattle a year to purchase at least 50% of their weekly volume on the cash market. Sen. Chuck Grassley (R-Iowa), lead author of the bill, has penned various iterations of this bill over the last twenty years.
  • As noted in a letter to Congress on the issue, TCFA cannot support a government mandate. A one-size-fits-all mandate completely overlooks the various supply/demand situations in the distinct cattle feeding regions across the nation. A study completed by Dr. Stephen Koontz, Colorado State University, provides recommendations for minimum levels of negotiated trade for each of the major cattle feeding regions. For Texas and Oklahoma, the recommended level of negotiated trade is 6-13% (on average) for significant price discovery. In lieu of government intervention, TCFA members are actively working to increase price discovery through more negotiated trade and achieve those recommended levels with free-market alternatives that are effective, flexible and cause less undo economic harm to both cow-calf producers and feeders.

May 12, 2020

• USDA, AMS and FSA will host a webinar Thursday, May 14, at 12:00 p.m. CDT for producers interested in applying for direct payments through the Coronavirus Food Assistance Program (CFAP). The webinar will provide information about the application process and required documentation prior to official signup date which has not yet been announced. Producers who are new to participating in FSA programs are encouraged to join the webinar. Please register in advance here.  
  
  
• U.S. House Democrats today released draft legislation of the “Health and Economic Recovery Omnibus Emergency Solutions Act” or the “HEROES Act” that would provide an additional $3 trillion of government stimulus. The bill serves as the benchmark for negotiations with the Senate on the next coronavirus relief package. Major agriculture provisions in the bill include: 
  • Direct payments to agricultural producers – appropriating an additional $16.5 billion to the pending CFAP program with an extension for compensation for 85% of actual losses through the 2nd quarter of 2020 (this would effectively supersede the rumored April 15 cutoff we’ve been discussing for the past few weeks). 
  • Amendments to the Commodity Credit Corporation to allow for expanded use of funds and additional oversight of any such expenditures by Congress.   
  • Emergency assistance for market-ready livestock and poultry losses (excluding packer-owned animals). This is effectively a depopulation support mechanism for all livestock and poultry.  
  • The establishment of a statutory dealer trust for livestock. 
  • Additional support for dairy, specialty crops and local agricultural markets. 
  • Support for Farm Stress Programs via state departments of agriculture to expand or sustain stress assistance for individuals engaged in farming, ranching, and agriculture-related occupations. 
  • Funding for Animal Disease Prevention and Management Response. 
  • Renewable fuels reimbursement program. 
  • As mentioned above, the draft legislation serves as a starting point for negotiations between the Democratic-led House of Representatives and the Republican-led Senate. These provisions will likely change multiple times before becoming law.  
    
    
• Gov. Greg Abbott ordered Monday that early voting for the July 14 runoff will begin June 29 instead of July 6 — allowing for two weeks of early voting. Please remember to support Josh’s campaign for the 13th Congressional district.

May 7, 2020

• TCFA continues to engage with media on COVID-19 impacts on cattle producers and the supply chain. Levi Berry, appeared on ABC Channel 7Amarillo Thursday. Josh Winegarner, TCFA director of industry relations and candidate for the 13th Congressional District seat, also appeared on KGNC’s morning talk show today to discuss the situation.  
  
  
• There’s been an increase in discussions about mandatory cash trade amidst the unprecedented volatility in the cattle and beef markets. Supporters of a government mandate have been pushing the 30/14 proposal and inappropriately cite research conducted by Dr. Steve Koontz, professor and extension economist at Colorado State University. The concept would mandate that each beef packing plant purchase a minimum of 30% of their weekly cattle needs in the cash market with cattle delivered within 14 days of purchase. TCFA sent a letter to Congress explaining that our members have already begun to explore voluntary options to increase price discovery in the three-state area. The letter sets the record straight that Dr. Koontz’s research does not make the case for a government mandate.  

May 5, 2020

• There’s been confusion between the types of federal assistance provided to agriculture producers. Below is a summary of the three programs. Please note that agriculture producers are eligible to apply for all programs.  
  • PPP - The Paycheck Protection Program is reopened for applications. A business is eligible for a PPP loan if the business has 500 or fewer employees. 75% of PPP loans must be used for payroll, with the remaining for other defined expenses. If used correctly, PPP is 100% forgivable. If you plan to apply for PPP, please do so ASAP since the program will be administered on a “first come, first served” basis. Local SBA-eligible lenders will be the best resource on PPP information, and applications are submitted through them. The application can be found on Small Business Administration’s website.    
  • EIDL - The SBA reopened the Economic Injury Disaster Loan yesterday to ag businesses only. Click here to access the application. EIDL funds are intended to cover payroll and other operating expenses that the business could have otherwise met in a non-disaster economy. A business can apply for up to $2 million, but only the first $10,000 will be eligible for forgiveness. These funds will also only be able to cover a limited number of applications, so apply ASAP. 
  • CFAP - Applications for Coronavirus Food Assistance Program are not yet open. The USDA has sent the proposed rule for the $19 billion CFAP payments to the Office of Management and Budget. Once cleared by OMB, the program will provide $16 billion in direct support based on actual losses for agricultural producers. This includes $5.1 billion for the cattle industry. NCBA and TCFA have been working with USDA and Congress to eliminate the $125,000 proposed cap per commodity. We are told the final details could be released in the next one or two weeks. USDA has said that checks could be out by the end of May.  

 

• CDC scientists and epidemiologists arrived in Amarillo on Monday to coordinate with and assist state, regional and local health officials. The team of experts will evaluate the current status of COVID cases in the region, review practices implemented at packing plants, and, if needed, provide additional guidance and recommendations. The COVID response effort is supported by the Texas State Guard who is providing testing supplies and the manpower needed to conduct multiple mobile testing locations in the Panhandle. These efforts are being implemented in accordance with President Trump’s April 28 executive order that was issued to ensure meat processing plants remain open. 

May 4, 2020

• Mindy Brashears, USDA undersecretary of food safety, announced that a federal team will assist state and county officials with testing and a strategy to move forward in order to reduce cases of COVID-19 in Potter and Randall counties. TCFA has been in communication with the undersecretary, Gov. Abbott, Amarillo Mayor Ginger Nelson and county judges. We will keep you posted as this develops.  
  
  
• The Small Business Administration (SBA) reopened its Economic Injury Disaster Loan (EIDL) application portal, which has been closed since April 15. Using funds authorized by Congress through the Paycheck Protection Program and Healthcare Enhancement Act passed one week ago, the agency is opening the EIDL loan/advance to agricultural business only to provide critical funding for farmers and ranchers affected by the coronavirus pandemic. Click here to access the application.  
  • EIDL funds are intended to cover payroll and other operating expenses that the business could have otherwise met in a non-disaster economy. COVID-related EIDL rates have typically been around 3.75% for companies and 2.75% for nonprofits and can have maturities up to 30 years. Principal and interest payments of EIDLs can be deferred for up to one year. While total advances are capped at $10,000, SBA has further restricted grants/advances to a limit of $1,000 per employee. Businesses that use these funds for permissible COVID-19 related costs will see the advance become a grant. 
    
    
• TCFA remains engaged with national and local media regarding COVID-19 impacts to the cattle producers and the supply chain. Paul Defoor, TCFA chairman, appeared on NBC’s Today Friday and today. News Channel 10 also reported on the situation. 
  
  

May 1, 2020

• Texas Panhandle beef processing plants continue to operate.  
  • Cargill - The company reported that their beef plants in the U.S. are operational. The plant in High River, Alberta, Canada, is scheduled to resume operations Monday. 
  • JBS - The beef processing plant in Green Bay, Wisconsin, voluntarily closed Sunday. The plant has not commented on whether they will open back up due to the executive order.  
  • National Beef - Plants are running at various speeds, but none at 100%. 
  • Tyson - The beef processing plant in Dakota City, Nebraska, closed today through Monday for cleaning. The Pasco, Washington, plant is currently closed.  

April 28, 2020

• President Trump signed an executive order that ensures meat processing plants remain open, declaring them “critical infrastructure” using the Defense Production Act. Trump said the order will affect all protein processing facilities, including eggs.  
  • TCFA welcomes this executive order which will help keep cattle moving and minimize impacts to cattle producers. NCBA has worked diligently with the White House in order to keep the supply chain moving. As noted by Colin Woodall, NCBA CEO, processing plant workers play a critical role to keep America’s food supply secure, and we are grateful for the work they do to keep food shortages from compounding the complex issues we are all facing.  
    
    
•  A bipartisan group of Senators, including Sens. John Cornyn (R-TX), James Inhofe (R-OK) and James Lankford (R-OK), sent a letter to the Senate Committee on Commerce, Science, and Transportation to set up action for permanent Hours of Service (HOS) flexibility for agriculture. 
  
  
• As you likely have seen Tyson Foods took out an ad in several publications this weekend about plant closures and potential meat shortages. Please know that we do not currently have a shortage of beef. NCBA has worked to reassure customers of this and to not panic buy as that could cause significant problems.  
  
  
• NCBA is working to tamp down continued rumors over cattle euthanasia that are at this point, just rumors. The NCBA team has prepared a resource document to help producers with exploring options to avoid euthanasia. If you hear of anyone considering euthanasia, please let us know.
   

April 27, 2020

• President Trump signed an executive order that ensures meat processing plants remain open, declaring them “critical infrastructure” using the Defense Production Act. Trump said the order will affect all protein processing facilities, including eggs. TCFA welcomes this executive order which will help keep cattle moving and minimize impacts to cattle producers. NCBA has worked diligently with the White House in order to keep the supply chain moving. As noted by Colin Woodall, NCBA CEO, processing plant workers play a critical role to keep America’s food supply secure, and we are grateful for the work they do to keep food shortages from compounding the complex issues we are all facing.  
  
  
• A bipartisan group of Senators, including Sens. John Cornyn (R-TX), James Inhofe (R-OK) and James Lankford (R-OK), sent a letter to the Senate Committee on Commerce, Science, and Transportation to set up action for permanent Hours of Service (HOS) flexibility for agriculture. 
  
  
• As you likely have seen Tyson Foods took out an ad in several publications this weekend about plant closures and potential meat shortages. Please know that we do not currently have a shortage of beef. NCBA has worked to reassure customers of this and to not panic buy as that could cause significant problems.  
  
  
• NCBA is working to tamp down continued rumors over cattle euthanasia that are at this point, just rumors. The NCBA team has prepared a resource document to help producers with exploring options to avoid euthanasia. If you hear of anyone considering euthanasia, please let us know.  
  
  

April 25, 2020

• Texas Gov. Abbott announced today that the statewide shelter-in-place order would expire Thursday as scheduled. Businesses can begin reopening in phases the next day. First to open are retail stores, restaurants, movie theaters and malls, but they will only be allowed to operate at 25% capacity. Museums and libraries will also be allowed to open at 25% capacity, but hands-on exhibits must remain closed. Abbott said a second phase of business reopenings could come as soon as May 18, if the state sees "two weeks of data to confirm no flare-up of COVID-19." That second phase would allow businesses to expand their occupancy to 50%, according to the governor. Read more here.
  
  
• Oklahoma Gov. Stitt announced late last week that restrictions would begin to be lifted in the state. Oklahoma City and Tulsa, who both issued shelter-in-place orders, said those restrictions would also expire April 30.  
  
  
• New Mexico Gov. Michelle Lujan Grisham extended the statewide stay-at-home order last week through May 15. The governor said the state government will prepare for a “gradual and safe” reopening before the stay-at-home order ends. 
  
  
• The CDC and OSHA issued guidelines aimed at protecting workers from the spread of COVID-19 in U.S. packing plants. This guidance should help local governments feel more certain in keeping plants open and operational.  
  
  
• The guidance offers specific instructions on how employees should move about the facility, marking floors to encourage safe social distancing between employees and the correct hand sanitizer to use. The document also gives guidance on educating employees about the disease, how to properly choose and wear face coverings, screening incoming employees, and how supervisors are to handle ailing and absent employees. The guidance also includes a section on workers’ rights. 
  
  
• This morning the Paycheck Protection Program (PPP) reopened due to the additional appropriations Congress and the White House approved last week. Previous issues with ag eligibility for the PPP and the Economic Injury Disaster Loan (EIDL) have been resolved. As a reminder, PPP funds are allocated on a first come, first served basis, so we encourage you to apply as soon as possible through your local Small Business Administration (SBA)-approved lender using this application.  
  
  
• According to SBA, if you already applied for PPP funds and have not yet received them due to the lapse in appropriations, your application remains in the queue; however, if your application number does not start with a three, SBA recommends you communicate with your lender and consider reapplying.  Applications for EIDL loans have not resumed, but we will notify you once they do.

April 24, 2020

• Texas Panhandle beef processing plants continue to operate.  
  • Cargill – The company reported that all of their beef plants in the U.S. are operational. The plant in High River, Alberta, Canada, is not harvesting. 
  • JBS – The beef processing plant in Greeley, Colo., resumed operations today. All other JBS beef facilities are operational.  
  • National – National beef reports that all of their plants are running at various speeds, but none at 100%. 
  • Tyson – The company announced Thursday it will shut down the Pasco, Washington, beef processing plant to test employees and work with local health officials to keep it running. There is no definitive date on when the plant will resume operations. All other Tyson beef processing plants are operational. 
    
    

• The President signed a $484 billion bill in additional emergency funding today relative to the COVID-19 pandemic. Among other things, the bill includes the following:   
  • Additional $321 billion for the Paycheck Protection Program (PPP).    
  • $50 billion for SBA’s Economic Injury Disaster Loan(EIDL) Program.  
  • Language was included to allow agriculture enterprises with no more than 500 employees to qualify for EIDL grants and loans. 
  • Applications for the PPP will reopen at 9:30 a.m. CDT on Monday, April 27. We are still waiting to hear when the EIDL program application will be available. 

April 23, 2020

• The House passed the $484 billion bill in additional emergency funding relative to the COVID-19 pandemic, which the Senate passed by unanimous consent on Tuesday. The President is expected to sign soon. Among other things, the bill includes the following:  
  • Additional $321 billion for the Paycheck Protection Program.   
  • $50 billion for SBA’s Economic Injury Disaster Loan (EIDL) Program. 
  • Please note that language was included to allow agriculture enterprises with no more than 500 employees to qualify for EIDL grants and loans. 
    
    

• U.S. Rep. Austin Scott (R-Ga.) introduced a bill to provide an additional $50 billion for USDA to continue programs and expand relief efforts. Scott’s bill calls for these funds to be available until expended, and for USDA to not apply limitations on payments made that do not exceed total damages related to the COVID-19 pandemic. 
  
  
• Similarly, the House and the Senate sent the President letters today urging USDA to eliminate payment limits in the CFAP program before final details of the program are announced. In the letter, Members told USDA that it is critical for the agency to provide a level of support that is responsive to the disaster situation producers are currently facing.  TCFA urged members in the Texas, Oklahoma and New Mexico delegations to sign the letter.  
  
  
• TCFA has provided a template for employers to provide to employees seeking emergency paid sick leave under the Families First Coronavirus Response Act. The form can be customized with your company’s information and downloaded here.  
  
  
• President Trump issued a proclamation suspending entry of immigrants who present risk to the U.S. labor market during the economic recovery following the COVID-19 pandemic. The President made it clear that this does not include agricultural workers. 
  
  

April 22, 2020

• TCFA sent a letter to USDA Sec. Sonny Perdue today encouraging USDA to remove payment limitations on producers who have suffered extraordinary losses as a result of the COVID-19 pandemic. TCFA also joined more than 20 state affiliates from across the U.S. on an NCBA letter asking USDA to remove the payment limits.      
  • Under proposed payment limitations, the average TCFA feedyard (35,000 head capacity) will recoup less than 1% of actual losses. In addition to feedyard losses, the average producer who owns and markets 2,500 head of cattle in a custom feedyard will recover less than 25% of their loss. A mere 600 head will hit the $125,000 payment limit. 
  • On April 19, 2020, USDA announced the $19 billion Coronavirus Food Assistance Program (CFAP). The program uses funds provided in the Coronavirus Aid, Relief, and Economic Security Act (CARES), the Families First Coronavirus Response Act (FFCRA), and other USDA existing authorities.  
  • The program provides $16 billion in direct support based on actual losses for agricultural producers where prices and market supply chains have been impacted by COVID-19.  
  • This includes $9.6 billion for the livestock industry, specifically $5.1 billion for cattle. 
    
    

April 21, 2020

• TCFA urges no limits to losses covered by CFAP payments. TCFA leaders and staff participated in a Zoom conference with Senator John Cornyn (R-Texas) today and urged him to ensure Coronavirus Food Assistance Program (CFAP) payments to cover any losses incurred by the cattle industry. Currently, the payment limit is $125,000 per commodity.   
  • TCFA asked Texas, New Mexico and Oklahoma senators to sign on to a congressional letter requesting that USDA eliminate their restrictive proposed payment limits for cattle producers when the final CFAP details are announced.  
    
    
• Congress and the administration reached an agreement today to provide $484 billion in additional emergency funding relative to the COVID-19 pandemic. The Senate passed the bill by unanimous consent, and the House is expected to vote Thursday.  Among other things, the bill includes the following: 
  • Additional $321 billion for the Paycheck Protection Program.  
  • $50 billion for SBA’s Economic Injury Disaster Loan (EIDL) Program.  
  • Please note that language was included to allow agriculture enterprises with no more than 500 employees to qualify for EIDL grants and loans. 

April 18, 2020

• The President and the Secretary of Agriculture announced on Friday the COVID-19 relief package for agriculture. The dust is still settling in terms of details, and the rules have yet to be written. We expect there to be moving parts, but after reading materials, talking with NCBA, other cattle feeding states and members of Congress, below are the details as we know them:
  •  The Coronavirus Food Assistance Program (CFAP) includes $16 billion in direct payments and another $3 billion for commodity purchases.
  • As the Secretary noted during the President’s press conference, the Commodity Credit Corporation will receive another $14 billion that will be available come July. This will also be made available for COVID-19 relief under a future package. 
  • The direct payments include:
    • $9.6 billion for livestock, including $5.1 billion for cattle, $2.9 billion for dairy, and $1.6 billion for hogs
    • $3.9 billion for row crops
    • $2.1 billion for specialty crops
    • $500 million for other crops
  • Any of these payments will be limited to $125,000 per commodity with an overall maximum of $250,000 if a producer had losses on 2 or more commodities. At this time, we don’t believe there will be a traditional eligibility test of $900,000 AGI.
  • The commodity purchase provisions include:
    • $100 million per month for fresh fruits and vegetables
    • $100 million per month for dairy
    • $100 million per month in meat products
  •  Relative to direct payments:
    • A payment will be determined by commodity per producer based on two calculations: 
    • With respect to price losses that occurred from January 1, 2020, to April 15, 2020, 85% of the price loss will be covered based on the portion of the producer’s 2019 crop sold by the producer during that time.
    • For losses from April 15, 2020, through the next two quarters, 30% of expected price losses will be covered based on the producer’s inventory of crop as of April 15. 
  • For a commodity to qualify, it must have experienced at least a 5% price drop between January and April 2020. 
• The details are not completely clear at this point to determine payments to specific commodities or producers. We need to know more about price calculations and quantities, among other things. 
• USDA is just now putting together the rule to carry out this program. This process could take a while as the details are especially difficult. But the intent is to have sign up in May and payments by June. 
• Two top and immediate orders of business of Congress ought to be to replenish the CCC and the Paycheck Protection Program and to urge changes to the program in order to effectively meet the need that is out there.

April 16, 2020

• The Treasury Department and Small Business Administration have stopped accepting applications for the Paycheck Protection Program as the initial $349 billion has been allocated. Additionally, the $10 billion Congress appropriated for Economic Injury Disaster Loans has dried up. The President, the Treasury and lawmakers from both parties are working to add additional funding to the program. We will keep you informed as we learn more.  
  
  
• DHS and USDA announced a temporary final rule to change certain H-2A requirements to help U.S. agricultural employers avoid disruptions in employment. U.S. Citizenship and Immigration Service will allow H-2A workers to stay beyond the three-year maximum allowable period of stay in the U.S. To take advantage of the change in regulatory requirements, the H-2A worker seeking to change employers must already be in the U.S. and in valid H-2A standing. 
  
  

April 15, 2020

• The Department of Labor will not bring enforcement actions against any public or private employer for violations of the Families First Coronavirus Response Act (FFCRA) occurring within 30 days of the enactment of the FFCRA, March 18 through April 17, provided that the employer has made reasonable, good-faith efforts to comply. The FFCRA was designed to help both employees and their employers by providing, for private employers, paid sick and family leave that is dollar-for-dollar reimbursed through a refundable tax credit. 
  • Please note, after April 17, 2020, this limited stay of enforcement will be lifted, and DOL will fully enforce violations of the act. Read more here.  
    
    
• Yesterday, the Small Business Administration (SBA) updated their FAQ and published an Interim Final Rule intending to provide additional clarity for self-employed taxpayers, but it has done the opposite for some agricultural producers. For the typical self-employed (SE) agricultural producers, the PPP loan calculation continues to be based on net farm income.  
  • Unfortunately, the guidance continues to refer to Schedule C taxpayers. SBA’s failure to explicitly reference Schedule F has resulted in some lenders interpreting this as a means of excluding agricultural producer eligibility. It is our understanding that all SE producers are eligible to apply for and receive PPP loans, regardless of whether they file a Schedule C or Schedule F. 

April 14, 2020

• A study released today estimates cattle industry losses as a result of the COVID-19 pandemic will reach $13.6 billion. The study was commissioned by NCBA and conducted by a team of industry-leading agricultural economists led by Derrell Peel, Breedlove Professor of Agribusiness and Extension Livestock Marketing Specialist at Oklahoma State University, to assist USDA in determining how best to allocate CARES Act relief funds to cattle producers.
  • The study shows cow-calf producers will see the largest impact, with COVID-19-related losses totaling an estimated $3.7 billion, or $111.91 per head in 2020 for each mature breeding animal in the U.S. Without offsetting relief payments, those losses could increase by $135.24 in 2021 per mature breeding animal, for an additional impact totaling $4.45 billion in the coming years. 
  • Stocker/backgrounder segment losses were estimated at $159.98 per head, for a total economic impact of $2.5 billion in 2020, while feeding sector losses were estimated at $3.0 billion or $205.96 per head.
  • View the executive summary here.
  • View the full report here.
    
    
• Slaughter Number/Packing Plant Update. According to NCBA, the Cargill beef plant in Fort Morgan, Colo., has combined their first and second shifts in order to continue operating under health department guidelines. The JBS facility in Greeley is temporarily closed, but at this time, they’ve said they will take cattle beginning Monday, April 27. National Beef suspended operations at the Tama, Iowa, plant until April 20.
  
  
• The Federal Motor Carrier Safety Administration (FMCSA) has been flexible with regulations on agricultural haulers, but as livestock trucks are diverted to different plants, additional issues may come up. Please notify TCFA if any issues arise.
  
  
• USDA released a tool for rural communities, organizations and individuals impacted by the COVID-19 pandemic. The COVID-19 Federal Rural Resource Guide is a resource for rural leaders looking for federal funding and partnership opportunities to help address this pandemic.
  
  

April 13, 2020

• JBS said they will close the Greeley, Colo., facility until April 24. National Beef suspended operations at the Tama, Iowa, plant until April 20. 
  
  
• The Department of Transportation extended Hours of Service regulatory relief for all livestock haulers through May 15. No documentation is needed in the truck. The Federal Motor Carrier Safety Administration (FMCSA) issued a Frequently Asked Questions(FAQ) document regarding the HOS waiver. 
  
  
• Texas Gov. Greg Abbott announced Monday that Goldman Sachs and the LiftFund, along with other community development financial institutions (CDFIs), are partnering to provide $50 million in loans to small businesses in Texas that have been affected by COVID-19 as part of the Goldman Sachs 10,000 Small Businesses program. 
  • These loans, made through the U.S. Small Business Administration’s Paycheck Protection Program, will primarily be used for payroll so that employees can continue to receive paychecks and small businesses can retain their employees and will be partially or wholly forgiven. 
  • It is not clear if livestock producers would qualify for these loans, but we will keep you updated as we learn more. 
    
    

April 10, 2020

• Packing plants reduce harvest. There are no reports of packing plants closing in the TCFA area. JBS stopped operations at its beef plant in Souderton, Penn., with plans to reopen next week. Cargill also paused operations at its Hazleton, Penn., plant. The weekly cattle slaughter number out of USDA today is estimated at 536,000 — down 90,000 head. Last week, the USDA estimated cattle slaughter was 626,000. Last year, cattle slaughter was 637,666 during this week.
  
  
• On Thursday, President Donald Trump put out a tweet directing Sec. Sonny Perdue to expedite help to U.S. farmers and ranchers affected by COVID-19. As previously reported, Dr. Derrell Peel of Oklahoma State University Extension is leading a team to draft a version of the stimulus program. NCBA reports that work is well underway and close to being complete.
  
  

April 9, 2020

• The CDC issued new guidelines for essential workers who have been exposed to the coronavirus. Under old guidance, workers were told to stay home for 14 days if they were exposed to someone who tested positive for the disease. New guidelines will now allow essential workers who have been exposed to go back to work if they are asymptomatic, take their temperature before going to work, wear a face mask at all times, and practice social distancing at work as much as possible. CDC issued a printable flyer for the workplace.
  
  
• USDA will expand the agency’s investigation into cattle markets surrounding the Holcomb fire and the spread of COVID-19 in the U.S. The move comes hours after NCBA sent a letter to the White House requesting swift action to investigate the striking disparity between boxed beef prices and cattle prices in the futures and cash markets during the COVID-19 pandemic and following the packing plant fire in Holcomb, Kan., last August.
  
  
• The Senate is negotiating additional small business funding and have said they want to pass a bill soon. While the details of a final bill are not yet clear, we have heard that there will be an additional $250 billion in assistance to small businesses with $125 billion channeled through community-based financial institutions that serve farmers, family, women, minority- and veteran-owned small businesses. We will keep you informed as this bill moves forward.  
  
  
• To curb misinformation on eligibility of agricultural entities for the Small Business Administration’s new Paycheck Protection Program, the USDA published a Q&A on the PPP reaffirming the eligibility of agricultural producers, farmers and ranchers. USDA’s Q&A can be found here under Paycheck Protection Program.
  
  

April 8, 2020

• NCBA sent a letter to the White House today requesting swift action to investigate the striking disparity between boxed beef prices and cattle prices in the futures and cash markets during the COVID-19 pandemic and following the packing plant fire in Holcomb, Kan., last August. The letter asks President Trump to direct USDA to expand the ongoing investigation into market activity after the Holcomb fire to include current market volatility in the hopes of identifying inappropriate influence and provide the industry with recommendations on how to update the cattle markets to function within today’s realities.
  • The letter also requests the Commodity Futures Trading Commission to study the influence of speculators on live and feeder cattle futures contracts to determine whether these contracts remain a useful risk-management tool for cattle producers.  
  • Amid other congressional chatter about an investigation into packer profits, Congressman Conaway, House Agriculture Committee ranking member, told AgriTalk that he expects another investigation to come when the dust settles.
    
    
• TCFA continues to receive confirmation that feedyards and cattle feeders are eligible to participate in the Paycheck Protection Program (PPP). Some feedyards have already been approved for the program by their lenders. If you plan to apply, please do so ASAP since the program will be administered on a “first come, first served” basis. The application can be found on SBA’s website here. Local SBA-eligible lenders will be the best resource on PPP information. Guidance on this program continues to evolve, but here is a helpful fact sheet on how to apply, terms of the loan, and loan forgiveness.
  
  
• NCBA joined a coalition of other livestock groups to send a letter to Vice President Mike Pence asking for immediate federal assistance to prevent a CO2 shortage as such is critical for the operations of food and beverage manufacturers. The letter asks for temporary, emergency federal incentives to industrial manufacturers to put manufacturing plants that result in CO2 production back into service.

April 7, 2020

• The Treasury released a list of helpful resources including a FAQ document regarding the Paycheck Protection Program. The document addresses borrower and lender questions and will be updated on a regular basis.  
  • Question 3 in the document specifically addresses what qualifies as a small business. As previously reported, a business is eligible for a PPP loan if the business has 500 or fewer employees. This reiterates how TCFA and NCBA interpret PPP guidance. TCFA is working with local SBA staff to ensure agricultural entities including cattle producers are considered eligible.  
  • If you plan to apply for PPP, please do so ASAP since the program will be administered on a “first come, first served” basis. The application can be found on SBA’s website.  

 

• You cannot get COVID-19 from food. FDA continues to reiterate that COVID-19 is not being transmitted via the food supply and has a FAQ page regarding protocols for workers who test positive with COVID-19. The document goes into detail as to why this virus is not being spread via the food supply. The information is geared to both consumers and food workers. 
  
  
• A group of 80 major ag associations including NCBA wrote a letter to Sec. Sonny Perdue and the head of the U.S. National Economic Council urging rule changes regarding detention and demurrage charges on U.S. agriculture businesses during the COVID-19 pandemic. 

April 6, 2020

• Apply for the Paycheck Protection Program ASAP. While there have been conflicting reports, the current interpretation is that agricultural entities with 500 or fewer employees are eligible. The PPP borrower application can be downloaded here. It is also available on SBA’s website. Additionally, a map of PPP eligible lenders can be found here. Please note this is a “first come, first serve” program. If you plan to apply, please do so as soon as possible as the applications will likely far exceed the appropriated funds.
  • PPP is retroactive to February 15, 2020, and loans will be available through June 30, 2020. PPP funds used during this eight-week period can be 100% forgiven if this funding is used on approved expenses and employees aren’t terminated and wages aren’t reduced. Any loan proceeds in excess of this amount are subject to repayment rate of 1%. Employers will need to keep careful documentation of these expenses in order to apply for loan forgiveness.
    
    

• The U.S. Department of Labor’s Office of Foreign Labor Certification released round two of its FAQ document regarding COVID-19 and guest workers. The document addresses the most recent guidance on issues regarding the H-2A temporary agricultural labor certification program.     
  
  
• FDA has a FAQ page regarding protocols for workers who test positive with COVID-19. The document goes into details as to why this virus is not being spread via the food supply. The information is geared to both consumers and food workers.  
  
  

April 3, 2020

• Livestock producers are eligible for the Paycheck Protection Program. While there have been conflicting reports, the current interpretation is that agricultural entities with 500 or fewer employees are eligible. The PPP borrower application can be downloaded here. It is also available on SBA’s website. Additionally, a map of PPP eligible lenders can be found here.  
  • Page two of the borrower application under “Certifications and Authorizations” states: The Applicant (1) is an independent contractor, eligible self-employed individual, or sole proprietor or (2) employs no more than the greater of 500 employees or, if applicable, the size standard in number of employees established by the SBA in 13 C.F.R. 121.201 for the Applicant’s industry as defined by the North American Industry Classification System (NAICS). NAICS codes for agriculture in 121.201 utilize only annual receipts for ranches and feedlots to determine small business. Since agriculture does not have an employee size standard, all agricultural entities with 500 or fewer employees are eligible.   
  • Please note: If you utilize the SBA Size Standards Tool on the SBA website, it will indicate that most producers are ineligible, which is incorrect. Cattle producers should work with their lenders to apply as soon as possible if you are interested in the PPP.  
    
    
• As reported yesterday, a task force of ag economists and market analysts are designing a producer support program to be submitted to USDA. It is important to note it could be 60 days or more before this program is implemented. If you plan to apply for these funds, please note that you will need substantial documentation to prove your losses. Be sure to save your records and put them in a safe place.  
  
  
• While there have been rumors of plants closing, as of today, no plants have temporarily closed except for the JBS plant in Souderton, PA. Earlier this week, JBS plants in Greeley and Grand Island experienced higher than normal levels of absenteeism. Neb. Gov. Pete Ricketts announced yesterday during a press conference that Nebraskans who quit their jobs would be ineligible for unemployment benefits.  Packers continue to provide incentives for employees to remain on the job.  
  • Cargill – Pay additional $2 per hour March 23-May 3 plus a $500 bonus for working all shifts 
  • Caviness – Continues to offer competitive pay and flexible leave for employees 
  • JBS – Pay union employees a $600 bonus on May 15 
  • National – Pay additional $2 per hour March 16-May 10 and two weeks paid leave if directly impacted by virus 
  • Tyson – Pay a $500 bonus to employees and truckers who continue to work 
• The Texas Comptroller of Public Accounts has extended the due date for 2020 Texas franchise tax reports to July 15, 2020, to be consistent with the IRS. The due date extension applies to all franchise taxpayers and is automatic. Taxpayers do not need to file any additional forms. More information can be found here. 
  
  

April 2, 2020

• NCBA and TCFA continue to work on the stimulus package for cattle producers. As mentioned yesterday, a bicameral letter was sent to USDA from Congress laying out their expectations for the program. Dr. Derrell Peel, Oklahoma State University Extension, is leading a team to draft a version of the stimulus program. Once this is complete, NCBA will work with state policy affiliates to finalize before submitting it to USDA. Joining Peel on his team are: 
  • Dustin Aherin, Rabobank 
  • Randy Blach, CattleFax 
  • Kenny Burdine, University of Kentucky 
  • Don Close, Rabobank 
  • Amy Hagerman, Oklahoma State University 
  • Josh Maples, Mississippi State University 
  • Jim Robb, Livestock Marketing Information Center 
  • Glynn Tonsor, Kansas State University 
    
    
• TCEQ is taking steps to minimize the impact of COVID-19 on both TCEQ staff and customers. The agency will maintain services but will shift to a skeleton crew and institute teleworking through Monday, May 4, for those employees whose work can be performed from home. Visit the agency’s COVID-19 website to stay updated.  
  
  
• The Cybersecurity and Infrastructure Security Agency (CISA) released an alert reminding individuals to remain vigilant for scams related to COVID-19. Cyber actors may send emails with malicious attachments or links to fraudulent websites to trick victims into revealing sensitive information or donating to fraudulent charities or causes. Exercise caution in handling any email with a COVID-19-related subject line, attachment or hyperlink. Be wary of social media pleas, texts or calls related to COVID-19. CISA recommends:  
  • Avoid clicking on links in unsolicited emails and be wary of email attachments. See Using Caution with Email Attachments and Avoiding Social Engineering and Phishing Scams for more information. 
  • Use trusted sources — such as legitimate, government websites — for updated, fact-based information about COVID-19. 
  • Do not reveal personal or financial information in email, and do not respond to email solicitations for this information.

April 1, 2020

• The Coronavirus Aid, Relief, and Economic Security (CARES) Act allocated significant resources to the Small Business Administration (SBA) to help small businesses survive and keep workers employed amid the pandemic and economic downturn. Traditionally, agricultural producers have not been eligible for most SBA programs. However, the CARES Act broadened eligibility criteria to provide relief for all small businesses suffering due to the COVID-19 pandemic. One of these programs is the Economic Injury Disaster Loans (EIDL), which provides small businesses up to $2 million in working capital loans. To rectify this, NCBA signed onto a coalition letter explaining that the changes Congress made in the CARES Act should allow for agricultural producer participation and is urging SBA to take immediate action. 
  • The Paycheck Protection Program provides 100% federally guaranteed loans to small businesses. There have been conflicting reports relative to individual agricultural producers’ eligibility to participate in PPP. However, it’s our understanding that livestock producers will be eligible for PPP.  
  • All banks, as well as a broad range of nonbanks, are eligible to make PPP loans. We are aware that SBA officials have outlined their intention to get Farm Credit System institutions involved in the PPP program in the next couple of days, so they can be prepared to begin lending when the program officially opens on Friday. A high-level overview of PPP and more information on the program can found here. We anticipate additional guidance from the Department of Treasury/SBA in the coming days and will keep you informed. 
    
    

• A bicameral congressional letter was sent to USDA Sec Sonny Perdue today urging swift relief for American cattle producers who have been adversely impacted by the ongoing Coronavirus Disease (COVID-19) pandemic. The letter was signed by a bipartisan group of over 145 lawmakers and can be viewed here.  
  
  
• The Department of Labor today posted a temporary rule issuing regulations pursuant to the Emergency Paid Sick Leave Act and Emergency Family and Medical Leave Expansion Act, both part of the Families First Coronavirus Response Act (FFCRA). A recorded webinar will be posted on Friday, April 3, 2020, to provide interested parties a more in-depth description and help them learn more about the FFCRA.  
  
  
• NCBA and TCFA remain focused on increasing truck weights and harmonizing those weights across states. A letter sent by NCBA to each state’s governor can be found here.

March 31, 2020

• Gov. Abbott, today, extended an executive order to limit social gatherings to 10 people, prohibit eating and drinking at restaurants and bars while still allowing takeout, close gyms, ban people from visiting nursing homes except for critical care and temporarily close schools. The order, originally scheduled to expire midnight April 3 will now remain in effect until April 30. The protocols allow exceptions for essential activities and services based on the Department of Homeland Security’s guidelines on the Essential Critical Infrastructure Workforce, which include food and agriculture as item #3. 
  
  
• New Mexico’s public health order calls for nonessential businesses to be closed until at least April 10 and prohibits gatherings of more than four people. 
  
  
• In Oklahoma, Gov. Kevin Stitt’s order only applies to elderly and people with immune deficiencies. However, mandates by the cities of Oklahoma City, Tulsa and Norman apply to all their residents. 
  
  
• There continues to be rumors floating through our industry that a price support program in the $120 to $150 range is still being considered. That proposal was never seriously considered, was deemed as market distorting, and was killed before it ever reached the Senate floor. Unfortunately, we hear that some are factoring that into their marketing plans. If you hear of these rumors, please help us shut them down. 

March 30, 2020

• The cities of Amarillo and Canyon issued shelter in place orders today. The order goes into effect tonight at 11:59 p.m. through April 14 at 11:59 p.m. The city issued instructions to close all non-essential businesses and activities. More information can be found here. Potter County Judge Nancy Tanner also issued a shelter in place order for Potter County. Lubbock County also issued a shelter in place order beginning Sunday, March 29 through April 3, 2020.  The City of Hereford and Deaf Smith County announced today that they will issue an emergency stay at home order Tuesday to go into effect midnight April 1.  
  • Please note: agriculture, including feedyards, trucking, grocery stores and packing plants are all deemed essential businesses and not restricted by the shelter in place orders. TCFA staff are continuing to serve members and help with anything our members need. You can reach any of us by email or calling the office at (806) 358-3681. Please use the dial by name directory to leave a message.  
  • Ross Wilson
    Ben Weinheimer
    Brady Miller 
    Christie Culp
    
    
• There continues to be rumors floating through our industry that a price support program in the $120 to $150 range is still being considered. That proposal was never seriously considered, was deemed as market distorting, and was killed before it ever got to the Senate floor. Unfortunately, we hear that some are factoring that into their marketing plans. If you hear of these rumors, please help us shut them down.   
  
  
• NCBA and TCFA continue efforts with USDA on the CARES Act stimulus payments and options for structuring payments. USDA is asked to deliver a program that is equitable among the producer segments.    

March 27, 2020

• The Senate and the House passed, and President Trump signed into law Phase 3 of the Coronavirus Relief Package. The bill provides USDA with $9.5 billion in funding to provide support for agricultural producers impacted by coronavirus, including livestock producers, dairy and specialty crop producers. Additionally, the bill replenishes $14 billion in funding for the Commodity Credit Corporation, which is often used to stabilize, support and protect farm income and prices. Find a summary of the agriculture provisions here. 
  • Following passage, NCBA, TCFA and other state affiliates immediately sent a letter to Sec. Perdue asking him to take immediate action to provide relief to cattle producers quickly. Additionally, a bicameral, bipartisan letter to USDA urging swift action to provide assistance to cattle producers using the resources appropriated in the CARES Act was circulated on the Hill today for signatures. Rep. Henry Cuellar (D-Laredo), Rep. Dusty Johnson (R-SD) and Sen. John Thune (R-SD) were the original authors of the letter.  
  • As reported yesterday, the stimulus also provides aid to small businesses who need to maintain payroll by providing eight weeks of cash-flow assistance through 100% federally guaranteed loans to small employers who maintain their payroll during the pandemic. The provision is retroactive to Feb. 15, 2020. More information can be found here.
    
    
• EPA announced a “no action” assurance. This allows our members to do their jobs without concern of EPA inspectors showing up on site to conduct an inspection or other EPA compliance activity. It’s retroactive to March 13. EPA said it will continue to evaluate how long it needs to stay in place. The full announcement can be found here.
  
  
• The Department of State and Department of Homeland Security announced a decision to authorize temporary waivers for in-person interviews for eligible H-2 visa applicants. A Q&A document from USDA on this decision can be found here. The full notice can be found here.
  
  

March 26, 2020

• The U.S. Department of Labor’s Wage and Hour Division published a workplace poster that small and midsize employers with fewer than 500 employees are required to post or email to employees by April 1. The poster notifies employees of their right to expanded paid sick leave and expanded paid Family and Medical Leave Act leave under the Families First Coronavirus Response Act (FFCRA). The poster can be found here.
  
  
• Okla. Gov. Kevin Stitt issued an executive order deeming agriculture as essential business in the state. On March 24, 2020, Gov. Stitt issued an executive order ordering all businesses not identified as being within a critical infrastructure and located in a county experiencing community spread of COVID-10 to close.

March 24, 2020

• Castro County is now under a shelter in place order from the county judge starting today March 24 at midnight until 11:50 p.m. on April. 3. The Sheriff’s Office has clarified that this is not a lockdown and there will not be roadblocks. No restrictions will be placed on farmers, ranchers or their workers.  
  
  
• Late last night, the CME Group took emergency action to expand the March 2020 Feeder Cattle futures contract price limits to $10 for today, tomorrow, and Thursday (day of expiration). They took this action to address convergence between the feeder cattle index and the futures contract. The March 2020 Feeder Cattle contract closed up $5 today to $130.23. A copy of the emergency declaration can be found here.
  
  
• DOT continues to be responsive to requests to make it easier to keep trucks and truck drivers on the road. They have waived the requirement that CDL holders have a medical examination and certification as long as they can prove they had a valid medical certification that was issued for a period of 90 days or longer and that expired on or after March 1, 2020. They will also allow CDL holders to drive with an expired license if they can show the current license expired on or after March 1, 2020. These waivers are in effect until June 30, 2020. The official notifications from DOT are here and here. 
  
  
• In order to help veterinarians utilize telemedicine to address animal health needs during the COVID-19 pandemic, the FDA generally does not intend to enforce the animal examination and premises visit portion of the VCPR requirements relevant to the FDA regulations governing Extralabel Drug Use in Animals and Veterinary Feed Directive(VFD) drugs. This will allow veterinarians to prescribe drugs in an extralabel manner or authorize the use of VFD drugs without direct examination of, or making visits to, their patients, which will limit human-to-human interaction and potential spread of COVID-19 in the community. Although the FDA intends to temporarily suspend certain federal VCPR requirements, veterinarians still need to consider state VCPR requirements that may exist in their practice area. A copy of the announcement is here.
  
  
• Current supplies of meat in retail cases are beginning to catch up to demand as the supply chain works through significant increase in demand. As adjustments to transportation rules take hold and suppliers adjust to the increase demand, we expect that the availability of meat will start to even out. Meat sales surged 77% the week of March 15 with ground beef as the biggest winner. Chuck and ribeyes also saw considerable growth. All this resulting in extremely positive year-over-year performance for beef. 
  
  
• National Beef will mark all cash purchases last week at $113 live and $180 dressed — the highest price paid at the end of the week. The company said that, given the volatility last week in the markets and the unexpected dramatic surge in cutout prices, this was a fairer price than where they started the week at $110.  
  
  
• Cargill will pay a premium of $2 an hour until May 3, with a bonus of $500 to U.S. and Canadian meat packing workers and farmers who complete shifts over a period of eight consecutive weeks. 
  
  
• Okla. Ag Sec. Blayne Arthur sent a letter to livestock markets and producers encouraging them to continue operating while adhering to modifications and suggestions by the CDC to keep everyone safe and heathy. Arthur issued a one-page flyer on recommended practices and encouraged markets and producers to print and post throughout facilities.  
  
  
• On March 18, 2020, President Trump signed the “Families First Coronavirus Act” which provides previously unavailable paid sick leave, expansion of the Family Medical Leave Act and modification of the Unemployment Act. These measures will go into effect April 2 and will expire on Dec. 31, 2020, unless renewed. The rule is expected to be finalized by March 30. Find the most updated information from the Department of Labor. Please note, this information is subject to change as the rule evolves. 
  
  

March 23, 2020

• New Mexico Gov. Lujan Grisham announced shelter in place this afternoon for all employees of non-essential businesses. “Essential businesses” include “Farms, ranches, and other food cultivation, processing or packaging operations.” 
  
  
• NCBA spoke with USDA Under Secretary Greg Ibach Sunday about their on-going monitoring of the cattle markets. Secretary Perdue is keenly aware of the market concerns and is engaged in the oversight. He is also working with CFTC Chairman Tarbert on this issue and is asking Chairman Tarbert to keep an eye on the futures markets. Secretary Perdue put out a statement today via social media. His tweet can be found here.  

 
March 22, 2020

• Gov. Abbott has postponed the Congressional Primary Runoff elections until July 14.  
  
  
• NCBA sent a letter to EPA formally requesting the agency provide a "no action" assurance during the COVID-19 pandemic. A 'no action' assurance would allow our producers to do their jobs without concern for EPA inspectors showing up on-site to conduct an inspection or other EPA compliance activities. The following agricultural groups signed onto the letter: National Pork Producers Council, United Egg Producers, U.S. Poultry & Egg Association, National Milk Producers Federation, National Council of Farmer Cooperatives, and the American Farm Bureau Federation. We expect to hear back from EPA in the coming days regarding their response. 

March 20, 2020

• Tyson announced this afternoon that for all fed cattle harvested next week, they will make a one-time assistance payment to cattle feeders of $5 per cwt live and $7.94 per cwt dressed.

 

• Food and agriculture industries are deemed part of critical infrastructure during COVID-19 outbreak, according to the U.S. Department of Homeland Security. The agency issued guidance intended to inform community decision-making in identifying the sectors and critical functions that should continue normal operations. The list includes meat processing, packers, livestock and poultry slaughter facilities and food packaging production. Also included are farm workers employed in animal food, feed and ingredient production, packaging and distribution; manufacturing, packaging, and distribution of veterinary drugs; employees in veterinary health; transportation of deceased animals for disposal; truck delivery and transport; raising of animals for food; and farm and fishery labor needed to produce domestic food.

 

• TCFA along with 42 other ag organizations sent a letter to Gov. Abbott asking him to declare agriculture as essential business. This would prevent agricultural operations from shutting down should the governor consider a state lockdown or advise local governments on similar proposals. Abbott announced an executive order, on Thursday, to limit social gatherings to 10 people, prohibit eating and drinking at restaurants and bars while still allowing takeout, close gyms, ban people from visiting nursing homes except for critical care and temporarily close schools. The order goes into effect midnight Friday through midnight April 3. The Oklahoma Governor also issued an executive order and schools in the state are closed until April 6. New Mexico issued its order Thursday. Schools in that state are also closed.

 

• USDA will keep plants staffed with federal inspectors. The news comes after NCBA and TCFA contacted and urged USDA agencies to maintain inspection services. And while labor concerns are growing, USDA said it will continue to keep plants staffed. Read more about USDA’s actions here.

 

• Meat companies are ramping up processing to help restock empty coolers, Bloomberg reports. Plants are adding weekend shifts and producing more supermarket cuts to accommodate the boom in retail demand.

 

• U.S. suspends routine processing of visas in Mexico, but USDA and DOL are partnering to help facilitate the identification of foreign and domestic workers that may be available and eligible to transfer to other U.S. agricultural sector employers to fulfill critical workforce needs within the U.S. under existing regulatory authority during the COVID-19 pandemic. 

 

• TCFA is working with Congress and the Trump administration to ensure cattlemen are eligible for assistance through the stimulus package, should they choose to apply.

 

• The Department of Transportation waived Hours of Service regulations for all livestock haulers through April 12. No documentation is needed in the truck. The Federal Motor Carrier Safety Administration (FMCSA) issued a Frequently Asked Questions (FAQ) document regarding the HOS waiver. 

 

• Trade will not be impacted by the decision to close the U.S./Canada and U.S./Mexico borders for non-essential travelers. We are working to ensure this remains the case.

 

• NCBA is closely tracking consumer sentiment specific to COVID-19 through internal tracking mechanisms as well as external sources, and closely watching for any consumer concerns impacting beef safety and/or beef demand. They have not seen any concerns to date. Likewise, checkoff advertising and advocacy has immediately shifted to programs that reinforce beef’s nutritional profile in a healthy diet.

 

• The TCFA office remains open. TCFA’s Fed Beef Challenge and spring Feedyard Tech program have both been canceled. For status updates on TCFA events, follow along here.