1 | 1 | | 81R20916 BPG-D |
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2 | 2 | | By: Lucio III H.R. No. 1702 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | R E S O L U T I O N |
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6 | 6 | | WHEREAS, The Farm Security and Rural Investment Act of 2002, |
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7 | 7 | | more commonly known as the 2002 Farm Bill, included provisions |
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8 | 8 | | requiring country of origin labeling (COOL) for beef, lamb, pork, |
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9 | 9 | | fish, perishable agricultural commodities, and peanuts; and |
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10 | 10 | | WHEREAS, In response to widespread controversy, the United |
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11 | 11 | | States Congress agreed to delay full mandatory implementation of |
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12 | 12 | | COOL; although labeling requirements under a final rule are taking |
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13 | 13 | | effect on March 16, 2009, agriculture secretary Tom Vilsack has |
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14 | 14 | | called for voluntary compliance under stricter guidelines, warning |
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15 | 15 | | of a possible tightening of regulations at a later time; and |
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16 | 16 | | WHEREAS, The United States Department of Agriculture has |
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17 | 17 | | estimated that incremental costs of compliance with the final rule |
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18 | 18 | | will reach $2.6 billion in the first year for growers, producers, |
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19 | 19 | | processors, wholesalers, and retailers; in the 10th year after |
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20 | 20 | | implementation, the estimated cost to the United States economy |
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21 | 21 | | would be more than $211 million in higher food prices and reduced |
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22 | 22 | | food production; meanwhile, the USDA has concluded that economic |
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23 | 23 | | benefits associated with COOL implementation are likely to be |
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24 | 24 | | small; and |
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25 | 25 | | WHEREAS, Current evidence does not suggest that consumers are |
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26 | 26 | | willing to pay a premium price for food items bearing the United |
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27 | 27 | | States origin label, or that United States producers will be able to |
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28 | 28 | | recoup costs associated with COOL compliance through higher prices; |
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29 | 29 | | and |
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30 | 30 | | WHEREAS, COOL is a marketing program, not a food safety |
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31 | 31 | | measure, as evidenced by the fact that it is administered by the |
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32 | 32 | | Agricultural Marketing Service (AMS) of the USDA rather than its |
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33 | 33 | | Food Safety and Inspection Service or Animal and Plant Health |
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34 | 34 | | Inspection Service; and |
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35 | 35 | | WHEREAS, COOL regulations are extremely burdensome for the |
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36 | 36 | | cattle industry; cattle are not considered a covered commodity |
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37 | 37 | | under COOL regulations, but producers are obligated to provide |
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38 | 38 | | origin information in order for retailers to verify the origin of |
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39 | 39 | | meat; cattle are often bought and sold several times and move |
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40 | 40 | | through a complex and diverse set of stocker and feedlot production |
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41 | 41 | | systems involving a high degree of sorting and commingling, which |
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42 | 42 | | increases the difficulty of tracking domestic and imported cattle; |
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43 | 43 | | and |
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44 | 44 | | WHEREAS, Mexico and Canada, the top two export markets for |
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45 | 45 | | U.S. beef, have both filed complaints against COOL provisions with |
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46 | 46 | | the World Trade Organization; in December 2008, Mexico briefly |
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47 | 47 | | banned imports from 30 U.S. meat plants in a move widely considered |
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48 | 48 | | to be a protest against COOL, which drove cattle futures sharply |
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49 | 49 | | lower at the Chicago Mercantile Exchange; and |
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50 | 50 | | WHEREAS, Texas leads the nation in cattle production; the |
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51 | 51 | | industry contributes as much as $16 billion annually to the state |
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52 | 52 | | economy, and it is vitally important that normal trade relations |
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53 | 53 | | continue with key beef export markets; the COOL provisions are |
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54 | 54 | | harmful both to trade relations and to the overall economic |
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55 | 55 | | viability of the cattle industry as well as to consumers, who can |
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56 | 56 | | expect to see prices rise as a result of higher production costs; |
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57 | 57 | | now, therefore, be it |
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58 | 58 | | RESOLVED, That the House of Representatives of the 81st Texas |
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59 | 59 | | Legislature hereby respectfully urge the United States Congress to |
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60 | 60 | | repeal mandatory country of origin labeling provisions from federal |
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61 | 61 | | law as soon as practicable; and, be it further |
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62 | 62 | | RESOLVED, That the chief clerk of the Texas House of |
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63 | 63 | | Representatives forward official copies of this resolution to the |
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64 | 64 | | president of the United States, to the speaker of the house of |
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65 | 65 | | representatives and the president of the senate of the United |
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66 | 66 | | States Congress, to the secretary of agriculture, and to all the |
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67 | 67 | | members of the Texas delegation to the Congress with the request |
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68 | 68 | | that this resolution be officially entered in the Congressional |
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69 | 69 | | Record as a memorial to the Congress of the United States of |
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70 | 70 | | America. |
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