News Desk

TSCRA News Update    VOL. 27 • NO. 9 • MAY 15,  2006

Alert market inspector exposes theft suspects
Cattle Raisers will head to Horseshoe Bay for summer meeting
TSCRA keeps lid on insurance rates
Federal jury rules against packers
TSCRA featured in Texas Monthly
McDonald's wants traceable beef now
EPA considers regulation of agricultural dust
Signup for 2005 hurricane assistance begins
FDA plans to regulate hay production and marketing
Investigation of Alabama BSE-positive cow completed
Partnership aims to commercialize beef/soy-based cholesterol fighter
Signup underway for youth veterinary camp
Canadian BSE cases will delay import rule
Calendar

Alert market inspector exposes theft suspects
      Two ex-convicts and a third person have been arrested and property has been recovered by Texas and Southwestern Cattle Raisers Association field inspectors and investigators from the Matagorda County Sheriff’s office thanks, in large part, to the sharp eyes of TSCRA Market Inspector Patricia Harkins at the Columbus Livestock Market.
      TSCRA Inspector Tommy Johnson, District 24, reports he and TSCRA Inspector Brent Mast, District 22, have closed three cases in an ongoing series of livestock and equipment theft investigations in the counties near Houston.
      Terence Sidney, two prior convictions, Bay City, Texas; Clemins Brown, Van Vleck, Texas; and Ernest Thibideaux, one prior conviction, Bay City, have confessed to cattle and equipment thefts and are in jail.
      Theft charges have been brought against the three men for stealing a four-wheel-drive John Deere tractor, valued at $28,000 from Pedro Olguin, Midfield, Texas, in Matagorda County; six head of cattle, valued at $5,720 from Edgar Oncken, Navasota, Texas, who ranches in Matagorda County; and a flat-bed trailer, valued at $8,000 from Richard Priesmier, El Campo, Texas, Wharton County.
      Johnson said Market Inspector Harkins noticed new brands coming through the market at which she inspects the identification of the cattle sold. “She caught the brands and notified me.”
      A week later, cattle were reported stolen from Edgar Onken’s ranch in Matagorda County. Johnson checked the Onken brand and found it was the same as the brands that had raised Harkins’ suspicions.
      “The market inspectors get used to seeing the same customers and the same brands every week,” Johnson explains. “When somebody new shows up at an auction market, that sends up a red flag. She made this happen by being observant. Pat caught every number and brand on those stolen cattle,” he says.
      Records from the sale barn led Johnson to Terence Sidney’s place. While there, he discovered the flat-bed trailer and found the John Deere tractor hidden in the woods.
      Thibideaux and Sidney were apprehended in Bay City. They implicated Clemins who came voluntarily to confess, with the strong encouragement of his father.

Cattle Raisers will head to Horseshoe Bay for summer meeting
      Texas and Southwestern Cattle Raisers Association will hold its summer meeting June 18-20 at the Horseshoe Bay Resort Marriott in Marble Falls, Texas.
      Landowners concerned about the Trans-Texas Corridor should make it a point to attend the general session on Saturday, June 20. Michael W. Behrens, executive director of the Texas Department of Transportation, will discuss the latest plans for the massive project.
      Committee meetings will be held from 8 a.m. to 4:40 p.m. on Monday, June 19. Water quality issues for ranchers will be featured in the Natural Resources Committee Meeting. Kathleen Hartnett White, chair of the Texas Commission on Environmental Quality, will discuss the TCEQ’s Total Maximum Daily Load (TMDL) Program to improve water quality in impaired or threatened water bodies in Texas.
      A TMDL is like a budget for pollution. It defines an environmental target by determining the extent to which a certain pollutant must be reduced in order to restore the full use of a water body that has limited quality for one or more of its uses.
      The Animal Health Committee will hear an update on BSE surveillance and the reopening of export markets. The Legislative and Tax Committee will review the special session on school finance reform.
      Additional topics and speakers for other committee meetings and the general session were still being finalized at press time. An agenda and registration form will be available on TSCRA’s Web site at www.texascattleraisers.org or you may call Kristin Hawkins at 1 (800) 242-7820 for more information.
      As is customary for TSCRA’s summer meeting, there will be plenty of time scheduled for family fun along with the business meetings. The resort sits on Lake LBJ and features four resort pools, three championship golf courses, a full-service spa and fitness facility, a marina, four spectacular Hill Country dining options and a full-service recreation program for kids ages 4 to 12.
      TSCRA has scheduled a welcome reception for participants at 5:30 p.m. on Sunday, June 18, and dinner and entertainment beginning at 6:30 p.m. on Monday, June 19.
      Registration for the summer meeting is scheduled from 2 p.m. to 5:30 p.m. on Sunday and from 8 a.m. to 4:30 p.m. on Monday.
      “You don’t have to be a TSCRA member to attend,” emphasizes TSCRA President C.R. “Dick” Sherron. “Committee meetings and the general session are open to all registrants.”

TSCRA keeps lid on insurance rates
      Premium increases for TSCRA’s medical insurance plan remain well below the industry standard for the fourth consecutive year, announces TSCRA President C.R. “Dick” Sherron.
      The annual rate increase for the June 2006 through May 2007 contract year is just 3 percent compared to the average PPO medical trend of 12.38 percent. TSCRA/PPO Trend comparisons were 9.00/13.50 in 2005; 8.90/15.10 in 2004; and 9.75/15.50 in 2003. These figures represent raw medical trends, not claim usage.
      Much of the credit for keeping increases low belongs to TSCRA members who buy generic drugs and use network providers. The plan is monitored and maintained by consultants at The Plexus Groupe Inc.
      “Our plan remains strong and healthy due to these factors,” Sherron asserts. “TSCRA is committed to providing members with outstanding insurance protection, while keeping a lid on costs.”

News Glance

A federal jury ruled against the three largest packers April 12 and awarded cattle raisers $9.25 million. The packers were found guilty of knowingly using erroneous boxed beef prices to underpay producers for live cattle. Because of a flawed computer program that included lower quality beef, USDA misreported boxed beef cutout prices for choice and select cuts of meat from April 2, 2001, to May 11, 2001. Three men filed a class action lawsuit seeking almost $43 million from Tyson Fresh Meats Inc., Cargill Meat Solutions Corp. doing business as Excel Corp., Swift Beef Co. and National Beef Packing Co. Attorneys for the packers claimed company officials did not know about the price reporting mistake until it was announced publicly by USDA. The jury found National Beef innocent of the charges, but ruled against the other three. They recommended that Tyson pay $4 million in damages, Cargill-Excel $3 million and Swift 2.25 million. −Associated Press

TSCRA is featured in the May 2006 issue of Texas Monthly. A major feature article details how TSCRA Inspector Scott Williamson caught “The Last Rustler.” The introduction sets the tone of the story: “Roddy Dean Pippin was a polite young cowboy who loved Louis L’Amour novels and dreamed about life on the open range. He said he was in the cattle business−but he actually led an unlikely gang of thieves who hit countless ranches across North Texas. And, just like in the stories from the Old West, he couldn’t outrun the law forever.”  −Texas Monthly

McDonald’s wants traceable beef now. In a “wakeup” speech to the U.S. beef industry delivered at the World Meat Congress April 28, a senior director of McDonald’s Corp. stressed the link between consumer trust in beef and animal traceback. Gary Johnson, senior director of worldwide supply chain management at McDonald’s, said animal traceability is the most important thing the cattle industry can do to earn and keep the trust of consumers. “Consumer trust in the safety of the food they eat across the entire food chain, including the proteins, is the single most critical factor for our industry,” Johnson emphasized. McDonald’s buys more than 1.1 million metric tons of beef a year. Other speakers at the congress described animal traceability as “a critical need” and a “non-negotiable foundation” for maintaining public trust across all protein sources. “Any company that can’t build and maintain their public trust doesn’t have to worry about any other trend in the food industry−that company simply will not be in business any more,” Johnson warned. −Dow Jones Newswires

EPA is considering regulating agricultural dust under the National Ambient Air Quality Standards of the Clean Air Act. If the proposal is accepted, dust produced by tilling soil, planting and harvesting crops, driving on dirt roads, cattle romping in feedlots, spreading of nutrients on fields, outdoor storage of bulk materials and feed mixing could be regulated by the end of the year. The National Cattlemen’s Beef Association has been working to defeat the proposal, saying, “The requirements proposed by EPA are unattainable for nearly all of America’s farmers and ranchers, and this non-science based proposal by EPA would put America’s farmers and ranchers out of business.” Please contact your congressional representatives and urge them to contact the Environmental Protection Agency, opposing this proposed regulation. −NCBA

Signup for 2005 hurricane assistance begins May 17. Secretary of Agriculture Mike Johanns has authorized the use of $250 million to fund four producer-aid programs: the Livestock Indemnity Program, Feed Indemnity Program, Hurricane Indemnity Program and Tree Indemnity Program. To be eligible, a producer’s loss must have occurred in one of 261 counties that received a primary presidential or secretarial disaster designation due to 2005 Hurricanes Dennis, Katrina, Ophelia, Rita or Wilma. Assistance is unavailable with respect to losses in contiguous counties. A list of eligible counties in Alabama, Florida, Louisiana, Mississippi, North Carolina and Texas is available at http;//www.usda.gov/HurricaneInfo.xml . Fact sheets on each of the four assistance programs are available at http: //disaster.fsa.usda.gov/agas06.htm . −U.S. Department of Agriculture

FDA plans to regulate hay production and marketing. The U.S. Food and Drug Administration announced recently that farms that produce, market and transport hay in the United States will be required to comply with FDA documentation and recordkeeping requirements under the Public Health Security and Bioterrorism Preparedness Response Act of 2002. Congress specifically exempted farms and ranches from the requirements of the act, and the National Cattlemen’s Beef Association is working diligently to maintain that exemption. In a letter to FDA, NCBA said, “Unfortunately, counter to the intent of Congress, the FDA has chosen to redefine farms as ‘facilities that pack or hold food, provided that all food used in such activities is grown, raised or consumed on that farm or another farm under the same ownership.’ This definition excludes virtually all farms from the exemption. This is clearly inconsistent with the intent of Congress.” NCBA added that it knows of no data that “hay represents, in FDA terminology, a ‘threat of serious adverse health consequences or death to humans or animals.’ Consequently, requiring a complex and costly system for hay traceablility does not represent an appropriate expenditure of Federal, state, local government or farmer’s financial and human capital resources.”  −NCBA

End to 10-year British beef ban. The European Commission’s ban on British beef exports has officially ended. The ban was imposed in 1996 to prevent the spread of bovine spongiform encephalopathy. Live cattle born after Aug. 1, 1996, can now be exported, as can beef from cattle slaughtered after June 15, 2005. Restrictions will remain for beef containing vertebral material and for beef sold on the bone.  −BBC News

Investigation of Alabama BSE-positive cow completed
      Investigations have been completed on the Alabama cow that tested positive for bovine spongiform encephalopathy in March.
       Officials from USDA’s Animal and Plant Health Inspection Service and the U.S. Food and Drug Administration conducted the investigations in collaboration with the Alabama Department of Agriculture and Industries.
      USDA Chief Veterinary Officer John Clifford said the index animal was a red crossbreed that was non-ambulatory on the farm and was examined by a local, private veterinarian.
      The veterinarian returned to the farm the following day, euthanized the animal and collected a sample, which was submitted for BSE testing.
      “The animal was buried on the farm at that time and did not enter the animal or human food chain, in accordance with APHIS protocols,” Clifford emphasized.
      Officials excavated the index animal’s carcass and through dentition determined that it was more than 10 years old.
      “It was born prior to the implementation of FDA’s 1997 feed ban that minimizes the risk that a cow might consume feed contaminated with the agent thought to cause BSE,” Clifford added.
      Officials investigated 36 farms and five auction houses and conducted DNA testing on herds that may have included relatives of the index animal. They were unable to find any related animals except for the two most recent calves of the index animal.
      The most recent calf was located at the same farm as the index animal and the second calf died the year before. The living calf is currently being held at APHIS’ National Veterinary Services Laboratory in Ames, Iowa, for observation.
      “APHIS’ investigation did not reveal the BSE-positive animal’s herd of origin,” Clifford reported. “However, this was not entirely unexpected due to the age of the animal, along with its lack of identifying brands, tattoos and tags.
      “Experience worldwide has shown that it is highly unusual to find BSE in more than one animal in a herd or in an affected animal’s offspring, he added.”
      FDA conducted an investigation of local feed mills that may have supplied feed to the index animal after the 1997 feed ban.
      Clifford said the investigation found that all local feed mills that handle prohibited materials have been and continue to be in compliance with the FDA’s feed ban.

Partnership aims to commercialize
beef/soy-based cholesterol fighter

      Developing a new cholesterol-lowering food additive made from beef tallow and soybeans is the aim of a partnership between the University of Nebraska-Lincoln and Beef Products Inc.
      Tim Carr, a nutrition scientist in the university’s Institute of Agriculture and Natural Resources, invented the compound, which the university is patenting.
      BPI, based at Dakota Dunes, S.D., is the world’s leading manufacturer of boneless beef with plants in four states. The largest is in South Sioux City, Neb. Under the agreement, BPI will provide $500,000 to fund a human clinical study of the tallow/soybean compound’s cholesterol-lowering power, slated to begin in mid-May. If the compound proves effective, BPI has the option to commercialize it for food applications under a university agreement.
      The compound, which performed well in animal studies, is the outgrowth of Carr’s basic research on fats’ roles in heart disease.
      Soybeans and other plants contain sterols, which scientists have long known reduce cholesterol. Tallow is a rich source of stearic acid, a saturated fat. Carr’s research revealed that stearic acid actually lowers cholesterol.
      Exploring ways to put this “good guy” fat to work, Carr devised a way to blend specific amounts of stearic acid with plant sterols. “Combining the two actually boosts the cholesterol-lowering power,” he said.
      Carr’s compound outperformed commercially available plant sterol-based food additives in three hamster studies. It lowered LDL, or bad, cholesterol as much as 79 percent compared to about 10 percent reduction with commercial plant sterol additives.
      It also appeared to work at least as well as widely prescribed cholesterol-lowering statin drugs.
      The tallow/soybean-based compound, like plant sterol food additives, works by blocking cholesterol absorption in the small intestine. Typically, the body absorbs 50 to 60 percent of cholesterol in the intestinal tract. Excess cholesterol winds up in blood where it can contribute to heart disease. Carr’s combination reduces absorption to around 5 percent or less.
      “The beauty of this is that our compound passes right through the gastrointestinal tract and takes cholesterol with it,” Carr said. “It’s a dietary supplement, not a drug, and it’s never absorbed into the body so there are no toxicity issues or side effects.”
      The human clinical trial to test the compound’s effectiveness is expected to begin in mid-May in cooperation with MDS Pharma Services of Lincoln. Initial results are expected by fall. 

Signup underway for youth veterinary camp
      Texas Cooperative Extension’s fourth annual “West Texas Youth Veterinary Science Workshop” is taking applications for this summer’s session. This year’s workshop will be June 25-29 at the Sutton County 4-H Center in Sonora.
      Pascual Hernandez, Extension agent for Sutton County and the workshop’s coordinator, said the camp was designed to introduce high school students to veterinary science careers. Instructors will include university and research faculty members, Extension and Texas Animal Health Commission personnel, and veterinarians.
      Course topics will include zoology, the Beef Quality Assurance Program, toxicology, parasitology, anesthesiology, anatomy, nutrition, first aid, beef feedlot health management, large and small animal practice, dairy cattle health management, necropsy and horse medicine. The workshop will cover classroom study, lab work and field excursions.
      The workshop is limited to 30 students, Hernandez said, but participants from throughout Texas are welcome to attend. Participants must be of high school age, have an interest in veterinary science and be willing to work in teams.
      Applications must be submitted to the Extension office in Sutton County by June 2. Participants will be informed of their acceptance by June 10. Individual registration is $175, due on June 16. In the event of cancellations, refunds will be offered in full until June 20. The fee is non-refundable after June 20.
      For more information, call the Extension office in Sutton County at (325) 387-3101.

Canadian BSE cases will delay import rule
      Two cases of bovine spongiform encephalopathy confirmed in Canada during 2006 will delay plans to lift restrictions on importing older Canadian cattle, Agriculture Secretary Mike Johanns said in an April 24 news conference.
      USDA has been working on a rule to resume importation of Canadian cattle over 30 months of age as early as September. Johanns implied that the new Canadian cases may delay that until 2007.
      Imports were banned after BSE was found in the United States in dairy cow that had been imported from Canada. However, because the United States and Canada have implemented similar safety measures against the spread of BSE, USDA determined that there is no scientific basis to continue the restrictions.
      BSE was confirmed Jan. 22 in a six-year-old crossbred cow born and raised in Alberta. A thorough investigation found no further infection. The most recent case was confirmed in a six-year-old dairy cow from British Columbia.
      The traceback investigation revealed that cattle from positive cow’s feed cohort were exported to the United States. On April 28 USDA reported that 15 animals of interest entered Washington state; one of the animals had been located and was to be tested for BSE.
      Johanns emphasized that the United States maintains a series of interlocking safeguards, which protect human and animal health. These include the removal of specified risk materials from the food supply and the Food and Drug Administration's 1997 ruminant-to-ruminant feed ban.

Calendar
June 18-20−TSCRA Summer Meeting, Horseshoe Bay Resort, Marble Falls, Texas. 1 (800) 242-7820.
July 10-13−National Cattlemen’s Beef Association Summer Conference, Reno, Nev. (303) 694-0305.
July 17-20−Beef 706 hands-on beef training seminar, West Texas A&M University, Canyon, Texas.
      (512) 355-2333.
Aug. 7-9−Texas A&M University Beef Cattle Short Course, College Station, Texas. (979) 845-6931.
Sept. 14-24−State Fair of Oklahoma, Fairgrounds, Oklahoma City, Okla.
Sept. 18-22−Beef 706 hands-on beef training seminar, Texas A&M University, College Station, Texas.
      (512) 355-2333.
Sept. 28-Oct. 8−Tulsa State Fair, Tulsa, Okla.
Sept. 29-Oct. 22−State Fair of Texas, Fair Park, Dallas, Texas.
Oct. 11-13−TSCRA Fall Meeting and Texas Cattle Feeders Association Annual Convention, 
      Amarillo Civic Center, Amarillo, Texas. 1 (800) 242-7820.

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