October 11, 2010 Headquartered in Charlotte, Piedmont Natural Gas is an energy-services company engaged primarily in the distribution of natural gas to more than 1 million residential, commercial, industrial and agricultural utility customers in North Carolina, South Carolina and Tennessee, including more than 60,000 customers of municipal gas systems that are supplied with natural gas from Piedmont. Piedmont’s gas delivery system consists of more than 22,000 miles of distribution pipelines and 2,600 miles of transmission pipelines in its three-state service territory, and three on-system gas storage facilities that are used to help meet peak demand. Piedmont expanded operations into eastern North Carolina in 2003 with its acquisition of North Carolina Natural Gas and Eastern North Carolina Natural Gas from Progress Energy. Piedmont now provides clean-burning, efficient natural gas to more than 700,000 North Carolina customers from the mountains to the coast. Piedmont is proud to be a major energy supplier to agribusiness in North Carolina. Washington NEWS Campaign NEWS Immigration Bill Introduced: Even though it has little to no chance of gaining momentum before the end of the year, Sens. Robert Menendez (D.-N.J.) and Patrick Leahy (D.-Vt.) introduced the Comprehensive Immigration Reform Act of 2010 last week. “The legislation Sen. Menendez and I have introduced is an important starting point for this debate. It protects the rights and opportunities of American workers, while ensuring that American farmers and employers have the help they need. It promotes jobs to help spur our economy, it supports families, it helps to bring undocumented workers out of the shadows, and it enhances our border security,” Leahy said in a statement. EPA Administrator Meets With Farmer Committee: The newlyappointed members of the Farm, Ranch, and Rural Communities Federal Advisory Committee (FRRCC) heard from EPA Administrator Lisa P. Jackson at their first meeting since being appointed. The FRRCC is an independent committee established by EPA in 2008. The group is charged with advising the agency on environmental issues important to agriculture. The members were appointed in May and include Archilus L. Hart of the N.C. Department of Agriculture. Jackson expressed her commitment to keep American farmers engaged in the environmental review process. GIPSA Rule Needs Further Analysis: The economic impact of the marketing rules proposed by the Grain Inspection, Packers and Stockyards Administration has prompted more than 100 U.S. House members to write Agriculture Secretary Tom Vilsack. The letter asks that USDA conducts further analysis of the economic impact of the new rule since it would result in significant changes to livestock and poultry marketing. Many meat industry groups, including National Cattlemen’s Beef Association and National Pork Producers Council were pleased with the lawmakers’ action. Tea Party Activist Backs McIntyre: Rep. Mike McIntyre, who is campaigning to keep his 7th District U.S. House seat, has received the endorsement of a leading tea party activist. Deborah Johns is the former vice chair of the Tea Party Express. Citing concerns over Republican challenger Ilario Pantano’s military record, Johns said McIntyre is the first Democrat she’s endorsed and praised his voting record. Shuler and Miller to Debate: Congressional candidates for N.C.’s 11th district will debate on Oct. 14 on WLOS ABC 13. Democrat Heath Shuler is facing Republican Jeff Miller for the seat, and the debate will run throughout the newscast that runs from 5 p.m. to 6:30 p.m. Citizens are encouraged to submit question through the station’s Facebook page. NRA Endorses Democrats & Republicans: U.S. Representatives Larry Kissell, Heath Shuler, and Mike McIntyre, all Democrats, have received the endorsement of the National Rifle Association. In addition, the NRA has also endorsed all Republican incumbents fighting for their U.S. congressional seats. The organization has not thrown its support behind Democrat Rep. Bob Etheridge or his Republican challenger Renee Ellmers in the race for the U.S. House 2nd District seat. Legislative NEWS Governor Announces $4.5 million for Broadband, Construction Begins: Gov. Bev Perdue announced Wednesday that N.C. will receive $4.5 million in federal recovery funds to support the development of broadband access and economic development across N.C. The funding goes to the e-NC Authority, a state initiative to expand broadband access, especially in rural areas. The $4.5 million grant is matched by an additional $1 million, including $400,000 from the Golden Leaf Foundation, for a total $5.5 million investment. Gov. Bev Perdue joined other state and federal officials at CommScope in Hickory last week for a groundbreaking ceremony that highlighted the kick-off of MCNC’s initial phase of expanding NCREN. This project will create jobs in these regions and bring critical broadband infrastructure to 37 counties in the state. Weather & Drought NEWS Rains Damage N.C. Crops: Sweet potatoes, cotton, peanuts and soybeans are at risk for lower yields and quality following last week’s torrential rains in eastern North Carolina. Agriculture Commissioner Steve Troxler toured a wide portion of the region by air and ground last week. He saw ponds where fields should be, which meant a lot of crops under water. “That much water will probably affect yields and quality because, for the most part, these crops are just beginning to be harvested,” Troxler said. Going into last week, only 11 percent of the state’s cotton crop had been harvested, and 31 percent of the sweet potato crop had been dug. Harvest of peanuts and soybeans were just beginning. Troxler said it’s too early to put a dollar amount on crop damage. He encouraged farmers to document their damage and stay in contact with their county Cooperative Extension agent and U.S. Farm Service Agency office. One positive sign Troxler saw was hog lagoons staying within their boundaries. “I think that’s a testament to the meticulous lagoon management practiced by farmers,” he said. Record Rains Provide Drought Relief: Due to recent rains, many counties have received much needed relief from drought conditions. According to the state Drought Management Advisory Council’s latest advisory, the eastern part of the state received record rainfall, leading to floods in at least 19 counties. Counties in central and western portions of the state did not see as much rain, and there are 12 counties still in moderate drought and 30 counties considered abnormally dry. People NEWS N.C.-Based Company President Named to NCC Board: The National Chicken Council named new officers at its annual meeting last week. Bill Lovette, president and COO of Troutman, N.C.-based Case Foods, will serve as secretary-treasurer. Bernard Leonard, vice president of Tyson Foods Inc.’s foodservice division, was named chairman and Lampkin Butts of Sanderson Farms will serve as vice chairman. They will serve a one-year term. Business NEWS Feed Mill and Railway to Expand in Moore County: Mountaire Farms Inc. has plans to expand its feed mill operation and upgrade the Aberdeen Carolina & Western Railway with an additional 2,700 feet of track. These improvements will allow the company to unload 90 car trains in 15 hours. The plant, located in Candor, processes more than 250 million chickens each year, and this will be the fourth time the company has expanded its plant and rail yard. New Funds for Community & Agricultural Projects: Grant funds are now available for innovative projects designed to assist rural communities, stimulate economic development and increase farm income. The North Carolina Tobacco Trust Fund Commission (NCTTFC) in Raleigh has announced its next grant cycle and is accepting applications until December 3, 2010. Project winners will be announced in April, 2011. Go to www.tobaccotrustfund.org for more information. Livestock Market Receives More Funding: The WNC Regional Livestock Center will receive an additional $150,000 from the Appalachian Regional Commission. The commission had already committed $200,000 to the center, so the most recent funding brings the total to $350,000. Commodity NEWS Drug Maker Wants FDA to Halt Test Marketing on Smokeless Tobacco Products: R.J. Reynolds’ new smokeless tobacco products are drawing fire from the consumer health-care division of GlaxoSmithKline (GSK). Citing concern over the products’ safety, GSK has asked FDA to remove RJR’s dissolvable products out of test markets. Camel Orbs, Camel Sticks, and Camel Strips are currently being reviewed by FDA’s Tobacco Products Scientific Advisory Committee. Though Reynolds’ products are marketed to adults, the FDA is concerned the marketing may attract children and adolescents. GSK has said that adults wanting to quit smoking shouldn’t use smokeless tobacco products as an alternative because of possible adverse health consequences. GSK sells nicotinereplacement therapy products. Broiler Egg and Chick Placements Increase: Eggs set by commercial hatcheries in the 19-state weekly program were up 8 percent from last year for the week ending Oct. 2, totaling 197 million eggs in incubators. According to USDA’s Broiler Hatchery report, average hatchability was 84 percent and 169 million chicks were placed for meat production, up 6 percent from the same time last year. Cumulative placements were up 1 percent, totaling 6.64 billion, from Jan. 3 through Oct. 2. N.C. Plant OK’d by Russia: Mountaire Farms’ Lumber Bridge, N.C. plant was recently re-listed as an eligible exporter by Russia. Russia is set to begin inspections of U.S. facilities and has approved 83 of 87 U.S. poultry plants after reaching an agreement with Washington. USDA NEWS New Loan Limit: The loan limit for guaranteed loans has been increased to $1,119,000, effective Oct. 1, 2010. The limit is adjusted annually based on the "Prices Paid to Farmers Index" compiled by the National Agricultural Statistics Service. The increased limit will boost FSA’s ability to meet the credit needs of American farmers and ranchers. Possible Enforcement of Guaranteed OL Term Limits: The 15 year guaranteed operating loan (OL) term limit is suspended until December 31, 2010. Legislation (S. 3221) has been introduced in Congress to continue the term limit suspension. However, no action has been taken to date and Congress is now adjourned until midNovember. If the suspension is allowed to expire, several thousand guaranteed borrowers will no longer be eligible for a guaranteed OL. In anticipation of this, the National Office is developing a notice to address the issue and compiling a list of borrowers who may be affected. In the meantime, if you have any customers in need of additional credit that you believe will be affected by the term limits, please work with them now to submit a guarantee request in order to complete the process and close the guaranteed loan prior to December 31, 2010. Mark Your Calendar N.C. MarketReady Fresh Produce Safety – Field to Family is an N.C. Cooperative Extension program that educates fruit and vegetable growers about measures to minimize food safety risks. The program's training consists of nine modules broken into Tier 1 and Tier 2. The N.C. Fresh Produce Safety Task Force will conduct the Tier 2 training workshops. October 12 – 8:30 a.m. to 5 p.m., Mountain Research Station, 265 Test Farm Road, Waynesville. For more information, contact Sue Colucci, 828-697-4891 or susan_colucci@ncsu.edu. October 26 – 8:30 a.m. to 5 p.m., Stanly County AgriCivic Center, 26032-B Newt Road, Albemarle. For more information, contact Aimee Marshall, 704-694-2415 or aimee_marshall@ncsu.edu.