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NeCGA opposes use of checkoff dollars to solve water woesNebraska While supportive of the development of a long-term water plan, the NebraskacornGrowers Association is firmly opposed to extending a special checkoff oncornproducers to help fund the effort. Steve Ebke of Daykin, chairman of the board of NeCGA, delivered that message to the legislature's Natural Resources Committee recently. Ebke testified on LB701, which contains Governor Dave Heineman's proposal to establish a Water Resources Cash Fund. To help fund his plan, the governor proposes to extend the current ethanol checkoff oncornproducers beyond its scheduled expiration in 2012. "The concepts outlined in LB701 begin to address solutions to our water issues," Ebke said. "Our objection is the use of a commodity checkoff program to fund what is clearly an obligation of the state of Nebraska." Ebke cited a study conducted by the Nebraska Policy Institute, which estimated irrigation contributed $4.5 billion to Nebraska economy and created 36,000 Nebraska jobs. The study also determined that 35 percent of these economic benefits flowed to producers and 65 percent to sectors other than production agriculture. "The language and intent of thecorncheckoffs in Nebraska were to provide Nebraska'scorngrowers with self-help programs, programs specifically to increase demand forcornwithin the state of Nebraska, thereby creating more marketing and profit opportunities," Ebke told the committee. "Thecorncheckoff specifically implemented to provide funds for ethanol development within Nebraska was written with sunset provisions. When the specific ethanol production incentives are fully funded the collection of the ethanol directedcorncheckoff is to cease. NeCGA members urge the legislature to not break faith with Nebraska'scorngrowers by circumventing the original legislative intent and sunset provisions of the ethanol directedcorncheckoff." NeCGA agrees with the need for a water resources cash fund, Ebke said, but cannot support using a commodity checkoff "for what may well be a perpetual expenditure." "Production agriculture has a responsibility to assist with the determination of a long-term solution which addresses Nebraska's water issues," Ebke concluded. "NeCGA members intend to work with the governor, senators and Nebraska's other agriculture organizations in determining solutions and balanced funding to Nebraska's water problems." NeCGA is a grassroots commodity organization that works to enhance the profitability ofcornproducers. Now in its 35th year of service to its members, NeCGA has over 1,700 dues paying members in Nebraska. NeCGA is affiliated with the NationalcornGrowers Association, which has more than 31,000 dues paying members nationwide. Date: 5/3/07
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