Call to Order and Roll Call
The 7th meeting of the Tobacco Settlement Agreement Fund Oversight Committee was held on Wednesday, August 3, 2016, at 10:00 AM, in Room 129 of the Capitol Annex. Representative Wilson Stone, Chair, called the meeting to order, and the secretary called the roll.
Present were:
Members: Senator C.B. Embry Jr., Co-Chair; Representative Wilson Stone, Co-Chair; Senators Carroll Gibson, Paul Hornback, Dennis Parrett, Robin L. Webb, and Whitney Westerfield; Representatives Mike Denham, Tom McKee, Terry Mills, Jonathan Shell, and James Tipton.
Guests: Warren Beeler, Executive Director, Governor’s Office of Agricultural Policy, and Bill McCloskey, Director of Financial Services, Governor’s Office of Agricultural Policy.
LRC Staff: Kelly Ludwig and Marielle Manning.
Upon motion made by Senator Embry and seconded by Representative Mills, the July 6, 2016 minutes were approved upon voice vote and without objection.
Governor’s Office of Agricultural Policy
Mr. Warren Beeler, Executive Director, and Mr. Bill McCloskey, Director of Financial Services, Governor’s Office of Agricultural Policy, presented projects receiving the Agricultural Development Board approval at its July 2016 meeting. Those included approved amendments, Grains Center of Excellence, a livestock events center, farmers market incentive programs, a high school greenhouse, youth cost-share, Ag Expo, livestock center improvements, On-farm investments, Deceased Farm Animal Removal Program, Shared-use equipment, and major statewide of regional projects.
GOAP representatives responded questions about the Grain Center for Excellence.
Responding to Senator Webb’s question about continuing livestock research at the Grains Center of Excellence, GOAP officials explained that the board wanted to change the center’s name to the Grain and Forage Center of Excellence. Mr. Beeler expects there will be forage research at the center.
Senator Hornback said the Dean has assured the change of name at the Grain and Forage Center of Excellence. Senator Hornback explained that part of the center can only be used for livestock. He expressed appreciation to the Kentucky Corn Growers Association.
The committee received reports on seven regional projects: (1) University of Kentucky Research Foundation, approved by the board for $15 million in State funds to stablish the Kentucky Grains Center of Excellence at the UK Research and Education Center (UKREC) in Princeton; (2) Hardin County Agricultural Extension Foundation, Inc., approved by the board for up to $130,569 in State and $130,569 in multi-county funds for the construction of a multi-species Livestock Events Center; (3) Community Farm Alliance, Inc., approved by the board for $78,188 in State funds to support the Double Dollars and Market Manager incentives programs; (4) Calloway County School District, approved by the board for $15,000 in Calloway County funds to assist with the construction of a 40’ X 90’ greenhouse and 40’ X 30’ headhouse at Calloway County High School; (5) Green River Area Beef Improvement Group, Inc., approved by the board for $20,000 in Daviess County funds for Daviess County’s youth cost-share program; (6) Grain Day, Inc., approved by the board for $5,000 in Daviess County funds to support the annual Ag Expo, an educational event for the Green River Area; and (7) Washington County Livestock Center, Inc., approved by the board for up to $209,079 in multi-county funds to upgrade its existing facilities.
GOAP officials answered questions about the seven regional projects received by the board in July.
Senator Parrett commented on the Hardin County Agricultural Extension Foundation, Inc. project. The Ag Complex will be on the property of the Hardin County Extension Office.
Representative Stone mentioned that the farmers market in Franklin, Kentucky has doubled in a year, and he expects it to double next year.
Responding to Representative Stone’s question about the Calloway County School District greenhouse, GOAP officials confirmed the greenhouse is insured for $93,396.
GOAP officials described one funding denial: (1) Magoffin County Conservation District, turned down for $94,726.46 in CAIP funds due to no funds committed by the county. The board denied this request based on staff’s recommendation.
Responding Senator Gibson’s question about the Washington County Livestock Center project, GOAP officials said that a cooperative owned by the cattle producers runs the center. GOAP officials said that privately owned projects are moved from a grant to a loan.
Responding to Representative McKee’s question, GOAP officials said the Hopkinsville stockyards recently closed.
Responding to Representative Mill’s question, GOAP officials said that a county council decides whether to put money into CAIP. That decision is approved by GOAP and then approved by the Agriculture Development Board.
Representative Stone commented that there might be a time to look at a previous legislature to assess current situations.
Senator Webb commented that no changes have to be made, but a reassessment may be needed in order for diversification of the Tobacco Master Settlement Funds.
Representative Shell commented on Persistent Infection (PI) testing in cattle and urged GOAP officials to have a broader conversation with cattle producers on how to handle PI positive cattle.
Documents distributed during the meeting are available with meeting materials in the LRC Library. There being no further business, the meeting was adjourned.