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Bankruptcy shouldn’t stop Oregon dairy cattle auction, creditor claims

Capital Press Agriculture News Oregon -

A major farm lender is arguing bankruptcy protections shouldn’t stop the liquidation sale of cattle owned by a controversial Oregon dairy that’s become financially unsustainable.

Since starting operations a year ago, Lost Valley Farm of Boardman, Ore., has encountered serious financial and regulatory problems that now threaten its survival.

The company’s owner, Greg te Velde, recently filed for Chapter 11 bankruptcy protection to halt the foreclosure of property at his three dairies in Oregon and California while he restructures debt.

By filing a bankruptcy petition on April 26, te Velde was able to cancel an auction of Lost Valley Farm’s 14,500 cattle scheduled for the next day.

Rabobank, one of his main creditors, had previously convinced an Oregon judge to order the auction because te Velde had defaulted on $67 million worth of loans for which the cattle served as collateral.

Because te Velde isn’t able to meet financial obligations to feed, water and otherwise care for the cattle, the herd’s value is at risk of declining, according to Rabobank.

Rabobank is now seeking “relief” from the automatic stay of te Velde’s property foreclosure under bankruptcy law to allow for an auction and avoid “potentially catastrophic consequences” to its collateral at Lost Valley Farm.

A bankruptcy judge will consider the motion at a hearing set for May 8 in Fresno, Calif., during which te Velde will also ask to use cash that serves as collateral for debt.

Te Velde said he had no comment about Rabobank’s claims and Capital Press was unable to reach the attorney representing him in the bankruptcy case.

After several loans went into default, Te Velde had the opportunity to restructure his “massive debt load” during a “lengthy” forbearance agreement that expired at the end of 2017, but he never developed such a plan, according to Rabobank.

In its court filing, Rabobank claims te Velde’s “erratic and unreliable” behavior is caused by “habitual” use of methamphetamine, which prompted a subsidiary of the Tillamook County Creamery Association to cancel its milk-buying contract with the dairy.

Te Velde has “no cash on hand” and wouldn’t be able to continue operating his dairies without $4 million in advances from Rabobank to pay for feed, water and labor at the facility, according to Rabobank’s filing.

“While Rabobank will act responsibly to protect the value of the LVF herd, Rabobank is not willing to finance the drug-addled fanciful dreams of this Debtor during a lengthy Chapter 11 case that involves about 24,000 cows, 28,000 other head of livestock, three dairies in two states and about $160 million in total debt,” the company said in a court filing.

Rabobank claims that te Velde checked out of a drug rehab clinic in April to convince Columbia River Processing — the Tillamook creamery’s affiliate — to reinstate the milk-buying contract, but then returned to the facility.

“As a regulated financial institution, Rabobank cannot continue to lend to a borrower in this condition,” the company said.

Patrick Criteser, CEO of the Tillamook creamery, submitted a declaration in support of Rabobank’s request and stated the company has withheld milk proceeds from Lost Valley Farm due to agricultural service liens filed by other unpaid creditors.

The subsidiary, Columbia River Processing, or CRP, is buying milk from the dairy to until Rabobank is able to conduct an auction but will stop after May 31, Criteser said.

“In no event, however, is CRP willing to continue to accept and pay for milk from the dairy on an ongoing basis, other than that for a short period and solely to facilitate an auction of te Velde’s herd,” he said.

Man, 27, drowns in Oregon reservoir

Capital Press Agriculture News Oregon -

DALLAS, Ore. (AP) — Authorities say a 27-year-old man has drowned near a farm in Polk County, Oregon.

Sheriff Mark Garton says witnesses tried to help the struggling man, but lost sight of him as he slipped under a body of water that is part of the Marvin Fast Reservoir.

The Newberg Swift Water Rescue Team recovered the body shortly before noon Thursday.

The sheriff’s office says the man was a farmworker who had gone for a swim during a break. His name has not been released.

Neglected Oregon horse listed as $100K lawsuit plaintiff

Capital Press Agriculture News Oregon -

PORTLAND, Ore. (AP) — A horse is listed as the plaintiff in a $100,000 lawsuit against the animal’s former Oregon owner, amid claims her negligence left him underweight and afflicted with other debilitating conditions.

Justice, an 8-year-old American Quarter Horse, is the plaintiff in the lawsuit filed Tuesday by the Animal Legal Defense Fund in Portland, The Oregonian/OregonLive reported .

The lawsuit against former owner Gwendolyn Vercher claims Justice will require special medical care for the rest of his life.

The owner’s negligence caused the horse to be 300 pounds underweight and covered in lice and a skin infection, the lawsuit said. He also had damage to genitals from severe frostbite, according to the lawsuit.

The horse was removed from Vercher’s property in Cornelius in March 2017. Justice now lives at a horse rescue facility in Troutdale.

Vercher was convicted of first-degree animal neglect and sentenced to three years of probation last year, according to court records.

Vercher did not immediately respond to the newspaper’s requests for comment Wednesday.

Animals in Oregon have legally protected rights, said Sarah Hanneken, one of the horse’s attorneys. Under the state’s anti-cruelty statute, the horse should be allowed to recover the costs for pain and suffering, she said.

“Victims of crimes can sue their abusers and animals are sentient beings that are recognized as victims under Oregon law,” Hanneken said. “So with that premise, we’ve come to the conclusion that animals can sue their abusers and we’re confident of our stance in this case.”

Any money received from the lawsuit would be placed into a trust to pay for the horse’s medical costs, Hanneken said.

Western Innovator: Improving soil health in arid E. Oregon

Capital Press Agriculture News Oregon -

IONE, Ore. — Dryland farming is challenging enough at Bill Jepsen’s family farm in arid northeast Oregon, where it rains only 12 inches per year on average, providing precious little moisture to grow a healthy crop.

Factor in poor soil health due to erosion that strips fields of organic matter, and the problem only worsens.

For years, Jepsen said, conventional tillage left the farm wide open to water erosion washing down the open hillsides. Land that once had 3-4 percent soil organic matter was whittled down to 1 percent. Something had to be done to improve long-term sustainability.

“The erosion was just killing us,” said Jepsen, who farms 5,300 acres, growing mostly wheat and barley, 14 miles south of Ione, Ore.

Jepsen, who began his career as a veterinarian in Hermiston, Ore., eventually took over the farm from his father, Bob, who retired in 1991. Six years later, they converted entirely to no-till and direct seeding to stem the tide of erosion.

The recovery process has been slow, with most fields now containing somewhere between 1 and 2 percent soil organic matter. But Jepsen said he’s never going back — that is, unless he’s forced to.

“No-till has been the key to conservation,” he said. “You don’t need as much fertilizer. Your plants do better. Healthier soils will grow more. It’s a lot of things.”

One prickly issue, however, is putting no-till to the test in southern Morrow County.

Russian thistle, or tumbleweeds, continue to spread as they roll across the desert, depositing thousands of tiny seeds along the way. Invasive weeds such as Russian thistle compete for limited moisture on farmland, reducing yields for the soft white wheat already experiencing depressed market prices.

And, unlike other pesky weeds, Russian thistle has developed a resistance to glyphosate, forcing farmers to turn to more expensive herbicides.

“We’ve had to come up with a plan,” Jepsen said. “How do you deal with resistant Russian thistles?”

The answer for many farmers, Jepsen said, has been to revert back to tillage. He, along with seven of his neighbors and the Oregon State University Extension Service, did apply for a grant in 2017 through the USDA Regional Conservation Partnership Program to eradicate Russian thistles from approximately 100,000 acres, though the project did not receive funding.

As for Jepsen, he has managed to maintain no-till farming practices by targeting Russian thistles using what is known as a WeedSeeker sprayer. The machine incorporates infrared sensors, which are able to detect the young green thistles among stubble. It then sprays only when it encounters those weeds, reducing the amount of herbicide needed.

“It allows you to use chemicals that kill thistles that you couldn’t otherwise afford,” Jepsen said.

Jepsen was recognized as a Pioneer Direct Seeder by the Pacific Northwest Direct Seed Association at the group’s 2017 cropping systems conference, though his on-farm experimentation extends beyond just adopting no-till.

Jepsen has collaborated with the OSU Extension Service on a multi-year trial examining the effectiveness of rotational crops for dryland wheat, including canola, garbanzo beans, lentils, flax and mustard. Ideally, Jepsen said the best thing for soil is to grow a crop on it every year, though the dry Eastern Oregon climate usually prompts farmers to go with a crop-fallow rotation to rebuild soil moisture.

“On dry years, every little drop of moisture counts,” Jepsen said. “When you grow anything, it robs soil moisture.”

At the end of the day, Jepsen said he always turns back to cereals such as wheat and barley.

“For the climate we have here, those are the best crops,” he said.

Mary Corp, regional administrator for OSU Extension Service in Morrow and Umatilla counties, described Jepsen as a creative, innovative grower and cooperator. The university has conducted several plot trials on Jepsen’s land, from rotational crops to disease control.

“For extension, we rely on growers to be so generous with their land, and their time, and their equipment, in order to do those on-farm studies that provide the information farmers need,” Corp said. “It’s really critical to the success of the extension faculty that are based out in the counties.”

Jepsen said he is always tinkering and adjusting his practices, and keeping a close eye on the latest technology. Five years ago, he hired Infrared Baron Inc., of Hermiston, to take aerial photos that he later used to create maps showing where wheat was growing best in each field.

The data allowed Jepsen to adjust his seeding and fertilizer rates to get the most bang for his buck, with export prices still hovering around $5.50 per bushel out of Portland.

“There’s always a way to do something better,” he said. “That’s what makes life interesting.”

Bill Jepsen

Age: 62

Occupation: Owner, Jepsen Farm

Hometown: Ione, Ore.

Education: Doctor of veterinary medicine, Iowa State University, 1980; studied pre-veterinary medicine and agronomy, Washington State University, 1973-75

Family: Wife, Nancy, and five grown children: Matt, Dan, Amy, Eric and Rebecca

Oregon cherries withstand February freeze

Capital Press Agriculture News Oregon -

Despite a sudden, hard freeze at the end of February, cherries and pears appear to be faring well in the Columbia River Gorge.

Mike Doke, executive director of the Columbia Gorge Fruit Growers, said it is still too early to predict yields, but early season blossoms look healthy and strong heading into summer.

“Things look really good this year,” Doke said. “Everything is right on schedule.”

Mother Nature gave growers quite the scare in February, as mild weather had orchards budding several weeks ahead of schedule, Doke said. By month’s end, temperatures had fallen into the 20s, threatening to damage the crop.

Fortunately, Doke said growers were ready.

“There were some losses, but nothing really that big at all,” he said.

Pears are the eighth most valuable crop in Oregon, valued at $181.5 million in 2016. Cherries rank 14th in the state, at $79.2 million.

The vast majority of Oregon cherries — about 62 percent — are grown in Wasco County in the Columbia River Gorge, while 67 percent of pears are grown in neighboring Hood River County.

Doke said growers should have a crop estimate within the next month. Cherry harvest typically begins around late June, and pear harvest usually follows in late August and early September.

“It was a really successful bloom that both areas had,” Doke said. “That bodes well.”

Oregon State University has also hired a new extension horticulturist for the Mid-Columbia region to assist growers on the ground.

Ashley Thompson officially joined OSU Extension on April 30. She will be responsible for tree fruit production in Hood River and Wasco counties, combining two faculty positions into one.

Thompson takes over for Lynn Long, who partially retired in 2017 after 29 years working for OSU Extension in The Dalles, and Steve Castagnoli, who remains director at the Mid-Columbia Agricultural Research and Extension Center in Hood River.

“I’m excited to be here,” Thompson said. “I’ve already gotten a lot of good input from farmers and the community.”

Thompson is new to the Columbia River Gorge. She previously earned her doctorate in horticulture from Virginia Tech and most recently was working as a postdoctoral research associate at the University of Nebraska-Lincoln.

“I’m really interested in working with farmers,” Thompson said. “Also, I’m interested in working with different crops.”

As far as pests, Thompson said cooler weather has kept codling moths from causing too many problems around the area. Spraying for western cherry fruit flies won’t begin for another three to four weeks, she said, and growers are keeping a close eye on marmorated stink bugs.

“I think it’s going to be a good year here, overall,” she said.

A cherry pre-harvest tour is scheduled for Tuesday, June 5 at 7:45 a.m. The group will meet at Dahle Farms on Knob Hill Road in The Dalles. Talks will focus on new cherry rootstocks, early ripening cultivars and cover crops for soil health

For more information, contact Thompson at 541-296-5494.

Forest Service has more cash to fight catastrophic wildfires

Capital Press Agriculture News Oregon -

BOISE, Idaho (AP) — There’s a sense of relief at the U.S. Forest Service because of the billions of additional dollars made available by lawmakers over the next decade to fight catastrophic wildfires but also a duty to spend it wisely, the acting chief of the U.S. Forest Service said Wednesday.

Vicki Christiansen, speaking at the National Interagency Fire Center about the recently approved Wildfire Disaster Funding Act, said the money will help the agency avoid raiding other parts of its budget and allow work to prevent wildfires while also tackling a backlog of trail and road maintenance.

“We really have an opportunity to put the work on the ground, improve the conditions of the national forests and create more opportunity for access and recreation as well,” she said.

Also taking part in the news conference was Republican U.S. Rep. Mike Simpson of Idaho, Democratic U.S. Sen. Ron Wyden of Oregon, and Republican U.S. Sens. Jim Risch and Mike Crapo of Idaho. The lawmakers for about five years had been trying to pass the legislation to pay for catastrophic wildfires rather than using money from elsewhere in the Forest Service’s budget, a practice termed “fire borrowing.”

“The passage of our legislation to end fire borrowing means today that westerners can celebrate an uncommon triumph for common sense,” Wyden said.

Previously, a 10-year average of firefighting spending was used to set the Forest Service wildfire fighting budget.

But the wildfire season has become longer and wildfires themselves more destructive in the last several decades. In 1990, the Forest Service spent about 13 percent of its budget on wildfires. Last year it reached 55 percent at $2.4 billion, a season that saw 8,500 homes and business destroyed, about 15,500 square miles burned, and 14 wildland firefighters killed.

Experts at the National Interagency Fire Center at the news conference predicted another tough wildfire season this year for the U.S. West.

The Wildfire Disaster Funding Act this year gives the agency $3.2 billion to spend fighting wildfires and another lump sum next year. Starting in 2020, the wildfire budget will be fixed at $1.1 billion but the agency will be able to tap into about $2.2 billion to pay for catastrophic wildfires. That $2.2 billion cap climbs to nearly $3 billion by 2027.

The Forest Service manages about 300,000 square miles that include 154 national forests, 20 national grasslands in 43 states and Puerto Rico.

Wyden last week asked Christiansen to prepare a document explaining how the Forest Service planned to spend money now available for use outside of fighting wildfires. Christiansen said Wednesday the agency had drafted an outline and expected to present a completed version to Wyden and other senators in five or six weeks.

Besides the infusion of money, the Wildfire Disaster Funding Act includes aspects intended to streamline some forest projects, including allowing logging through “categorical exclusions” that limit some objections.

Jonathan Oppenheimer of the Idaho Conservation League, an environmental watchdog group that has challenged federal land management agencies in court, said the group generally backed the new law because of the negative impacts to campgrounds, trails and roads that the Forest Service couldn’t afford to maintain under the previous budgeting system.

“It really has had a significant impact on Idahoans and other American’s ability to utilize and enjoy their public lands, so we see this as a big step forward,” he said.

Trump proposes easing oil, gas leasing restrictions in West

Capital Press Agriculture News Oregon -

BILLINGS, Mont. (AP) — The Trump administration wants to ease restrictions on oil and gas leasing and other activities across a huge swath of the American West that were put in place to protect an imperiled bird.

The move involves conservation plans for greater sage grouse approved in 2015 under former President Barack Obama. President Donald Trump has vowed to increase U.S. energy production and open more lands to drilling.

Conservation groups critical of Trump’s energy policies warned Wednesday’s proposal could unravel a years-long effort to shore up the bird’s struggling population.

Interior Department officials said the revisions to the Obama-era plans were aimed at increasing flexibility on public lands where the birds reside — not undoing protections outright. Colorado Gov. John Hickenlooper, a Democrat, was among elected officials in the region who voiced support for the move, saying it allowed for a “Colorado-specific approach.”

Sage grouse are ground-dwelling, chicken-sized birds known for an elaborate mating ritual in which males strut around breeding grounds with large, puffed-out air sacs protruding from their chests. The species’ population declined sharply in recent decades due in part to drilling, grazing and other human activities.

Wednesday’s proposal affects conservation plans for grouse in Wyoming, Idaho, Nevada, Colorado, Utah, California and Oregon. The birds also are found in portions of Montana, Washington state and the Dakotas.

A spokeswoman for Interior Secretary Ryan Zinke described Wednesday’s proposed changes as largely technical in nature. They were made in response to feedback the agency received about the 2015 plans from governors in sage grouse states, spokeswoman Heather Swift said.

The changes could open some areas previously closed to leasing, and allow waivers or exceptions to rules that prohibit drilling pads and wells in other areas.

“There’s not a significant environmental impact,” Swift said.

Kathleen Sgamma with the Western Energy Alliance said the industry lobbying group was pleased that Zinke was “moving forward with rewriting the sage grouse plans.”

Environmental groups earlier this week filed two lawsuits in federal court alleging the administration since taking office has sold energy leases on hundreds of thousands of acres in at least four states in violation of the Obama-era plans.

The groups asked the courts to reverse those lease sales and block several upcoming sales.

Michael Freeman with Earthjustice, the law firm representing environmentalists in one of the cases, said the administration’s latest proposal doesn’t mean it can ignore the conservation plans already in place.

“They were still in effect when the lease sales were held,” Freeman said.

The proposed changes are expected to be finalized in October.

Container business grows at Portland intermodal facility

Capital Press Agriculture News Oregon -

More export containers are switching from trucks to railcars at the Port of Portland’s intermodal facility on their way to Seattle and across the Pacific Ocean.

While the port is optimistic about the venture’s prospects, a competitor claims it’s done little but divert business from the private sector.

After a “spotty” January, the rail transload facility at the port’s Terminal 6 moved 1,536 containers in February and 2,181 containers in March, said Ken O’Hollaren, its marine marketing director. Those numbers include export and import containers.

The final numbers aren’t yet available for April, but O’Hollaren said he expects the number of containers handled to remain stable or grow.

“We’re on an upward trend,” he said.

Shippers of straw, hay, seeds, grains, potatoes, wood products and other agricultural goods relied on Terminal 6 for access to Asian markets, but ocean-going container carriers stopped calling on the facility about three years ago.

Apart from lower productivity blamed on a prolonged labor dispute with the longshoremen’s union, the inland port cannot accommodate increasingly popular megaships and isn’t a major import destination.

With the loss of ocean container shipping in Portland, exporters were forced to send containers to more distant ports in Seattle and Tacoma.

The port has since settled its disagreement with the longshoremen’s union and recruited the Swire ocean carrier company to call at the facility, but container exports remain much lower than in the past.

Re-opening Terminal 6 as an intermodal facility was intended to allow exporters to transfer containers from trucks to rail rather than trucking them all the way to Seattle and Tacoma.

Truckers could then deliver more than a container per day, which isn’t possible when driving to ports along Washington’s Puget Sound.

At this point, two ocean carriers, Cosco and CMA CGM, are using BNSF Railway to ship containers to and from Portland’s Terminal 6, O’Hollaren said.

The port is hopeful BNSF will attract more ocean carriers to the facility, but both parties are pleased with the arrangement and expect it to continue beyond the current six-month trial period, he said.

The Port of Portland has traditionally been oriented toward container exports, which have been stronger than container imports. This imbalance is a problem because imports are necessary to make empty containers available for exports.

Initially, the intermodal facility had two north-bound trains of export containers for every one south-bound train of import containers, but the disparity has since narrowed, O’Hollaren said.

“Cargo is moving in both directions,” he said.

Due to the new intermodal facility, Northwest Container Services — which also provides rail transload services in Portland — expects to handle roughly one-third fewer containers this year, said Gary Cardwell, the company’s divisional vice president.

While the corresponding drop in revenues won’t affect the company’s ability to operate, it’s had to lay off 18 people, or about one-quarter of its workforce, he said.

“I’m not sure what benefit the port has really brought to the table with this service,” Cardwell said, noting the T6 intermodal facility is duplicating a service his company has offered for 30 years.

An analyst’s report commissioned by the port has found that cargo moving through the Terminal 6 facility hasn’t been sufficient to make it financially self-sustaining, he said.

The facility is now operational thanks to an $11 million settlement with a former terminal operator, but that doesn’t solve its fundamental economic problem, Cardwell said.

“That’s going to run out eventually, and then what are we going to do?” he said.

Local natural resource policy encourages federal coordination

Capital Press Agriculture News Oregon -

Seeking a greater voice in how federal lands are managed within its borders, officials in Crook County, Ore. recently approved a natural resources policy that details social and economic values.

The 56-page documents includes sections on agriculture, timber, mining, recreation and wildlife. But perhaps most importantly, it contains language about how the local government can invoke coordination with agencies like the U.S. Forest Service and Bureau of Land Management.

The Federal Land Policy and Management Act of 1976 requires the Forest Service and BLM to work with local governments — such as cities, counties or tribes — when making management decisions.

Karen Budd-Falen, a prominent land use attorney from Cheyenne, Wyo., joined Crook County Judge Seth Crawford to discuss the process of coordination Monday during the Oregon Cattlemen’s Association Midyear Event in Sunriver, Ore.

Though coordination is not specifically defined in statute, Budd-Falen said the law dictates that agencies “shall coordinate with local governments.” That could take several forms, she said, one of which is known as a “consistency review” with local land use planning.

However, Budd-Falen was quick to add that coordination does not mean counties can sidestep the National Environmental Policy Act. It does mean local interests are guaranteed a seat at the table.

“This is not a way to veto the federal government,” Budd-Falen said. “Once you fall off the edge of federal statutes, that’s where you are going to get ignored.”

Crook County, population 21,000, includes a portion of the Ochoco National Forest. Crawford said the Crook County Natural Resources Policy was devised after Oregon Wild, a Portland-based environmental group, proposed the Ochoco Mountains Natural Recreation Area, a move that he said essentially amounts to a land grab.

“Luckily, our community is pretty savvy about what it means to add regulation to public lands,” Crawford said.

By writing the plan and invoking coordination, Crawford said the county is better situated to push back against the recreation area.

Nearly 53 percent of Oregon is federal land. Baker County has also adopted a natural resource plan. More controversially, Grant County Sheriff Glenn Palmer attempted to invoke coordination by deputizing 11 residents to write a natural resources plan, though Ron Yockim, the county’s counsel, found that in doing so Palmer had overstepped his authority as sheriff.

Crawford said it took several years to write the Crook County plan, which Budd-Falen helped to review.

“We’ve been doing the same thing for 50 years, and it’s been getting worse and worse every day,” Crawford said. “Let’s try something new.”

Budd-Falen said the concept of coordination is finally starting to register after 25-30 years of work. The Trump administration is now pushing coordination, she said, and land use plans are a way of getting agencies to consider local interests.

“Part of what your local land use plan is going to do is get them to focus on your county, or your district,” she said. “It’s easier, I think, when you have the local land use plan. It’s consistent, all along.”

GOP candidates rally ranchers for support

Capital Press Agriculture News Oregon -

With the May 15 primary election fast approaching, Oregon gubernatorial hopefuls Greg Wooldridge and Sam Carpenter made a campaign stop April 30 to speak with ranchers at the Oregon Cattlemen’s Association Midyear Event in Sunriver, Ore.

Wooldridge and Carpenter are part of a crowded Republican field looking to take back State Capitol for the first time since 1987. Bruce Cuff was also scheduled to talk at the convention, though he recently dropped out of the race and endorsed Wooldridge for governor. Notably absent was Knute Buehler, another front-runner for the GOP nomination.

Wooldridge, a retired U.S. Navy captain, took the opportunity to criticize incumbent Gov. Kate Brown for signing Senate Bill 1528, disconnecting Oregon from a federal tax provision that grants so-called “pass-through” businesses — those that do not pay corporate income tax — an additional 20 percent deduction on state income taxes.

The Legislature will convene for a one-day special session May 21 to consider extending an existing tax break to sole proprietorships. About 4 percent of the benefits would go to the agriculture and forestry sectors, according to a state estimate. Still, Wooldridge said Brown’s decision not to veto SB 1528 amounts to taking a quarter-billion dollars away from small businesses.

If elected, Wooldridge said he will work to bridge the urban-rural divide and fix the state’s Public Employees Retirement System, or PERS.

“It’s time to open the dream again of being exceptional,” he said. “Our best days lie ahead.”

Carpenter made no secret of his hard-right political views and support of President Donald Trump. His campaign slogan, “Make Oregon Great Again,” mirrors that of the president’s successful 2016 run for the White House.

Oregon is a natural resources state, Carpenter said, praising farmers and ranchers as stewards of the land. As governor, he said he will set his sights on cutting government regulations and red tape.

“I’m not going in with a scalpel. I’m going in with a chainsaw,” Carpenter said. “And don’t think I don’t know how to run one.”

In addition to the gubernatorial candidates, OCA hosted state Sen. Cliff Bentz, R-Ontario, and Rep. Lynn Findley, R-Vale, both of whom are up for election this year. Earlier this year, Bentz was appointed to the Senate seat vacated by Ted Ferrioli, who joined the Northwest Power and Conservation Planning Council, and Findley was appointed to the House seat vacated by Bentz.

Following his first legislative session in February, Findley said he thought to himself, “Holy crap, we don’t get a lot done. We sure run around a lot, though.”

“I don’t believe partisan politics should play a role in what we do,” he said.

Findley said the Senate Bill 1528 was, by far, the biggest disappointment of the short session.

“I firmly believe the $240 million that would not be passed on to small business is a big mistake,” he said. “Small business is our generator. Without that, we’re all in deep, deep trouble.”

Bentz, on the other hand, is a veteran of the Legislature, having served 11 years in the Oregon House. He said he has the experience to get things done in Salem, stressing bipartisanship in a Democrat-controlled state.

“You can be right as rain, and get no votes,” Bentz said. “I don’t know how many taxes I’ve stopped that otherwise would have been passed on to you.”

Jerome Rosa, OCA executive director, praised both Bentz and Findley as friends and allies of the ranching industry, and presented both men with campaign donations on behalf of the organization.

OCA Midyear Event kicks off with legislative updates

Capital Press Agriculture News Oregon -

On any given day in Washington, D.C., lobbyist Ethan Lane says he is fighting a six-front war to protect the interests of Western ranchers. Between flaws in the Endangered Species Act, treatment of feral horses on rangeland and environmental legislation backed by multi-million dollar outdoor recreation companies such as Patagonia, Lane said the West has become a “laboratory for bad federal policy.”

“We are winning more than we are losing,” said Lane, executive director of the Public Lands Council and keynote speaker Sunday at the 2018 Oregon Cattlemen’s Association Midyear Event in Sunriver, Ore. “But I want you to understand the reality of the fight we’re in.”

About 100 ranchers from across the state attended the three-day OCA program, which featured a variety of presentations on wolf management, water issues and government decision-making. Lane capped the first day with a review of national priorities heading into what he expects will be a tightly contested election year.

First, he said the Public Lands Council has identified three changes needed to the Endangered Species Act. One is to remove the “blanket 4(d)” rule, which grants the same protections for threatened species as endangered species.

By eliminating the rule, the Department of the Interior would be forced to come up with specific rules for individual threatened species. And, as Lane noted, both the Interior and Agriculture departments are more friendly to ranchers’ concerns under the Trump administration than they were during the Obama administration.

“We have a great working relationship with people who want to do something good for this industry,” Lane said.

The other two changes to the ESA have not yet been announced, though Lane said one has to do with critical habitat and the other has to do with consultations under the U.S. Fish and Wildlife Service.

Wild horses are another contentious subject, with an estimated horse population of 83,000 across 10 Western states, according to a Bureau of Land Management report. That is more than three times what the agency says the land can sustain.

The BLM is asking Congress to euthanize, sterilize or sell for slaughter tens of thousands of horses over the next decade. But Lane said wild horse advocates — including Eric Trump’s wife — are likely to have a close say within the administration.

“The Department (of the Interior) is definitely very concerned with how we’re going to respond to this,” he said.

The outdoor recreation industry has also become a major political player, Lane said. He referenced a proposal to reintroduce grizzly bears in the North Cascade Mountains in Washington state.

Companies such as Patagonia may have the money, Lane said, but the ranching industry has the grassroots support on the ground needed to punch above its weight class.

“It’s our job to punch back, and make sure cattlemen’s voices are being heard on this issue,” he said.

At the state level, OCA political advocate Rocky Dallum said the February short legislative session in Salem was relatively calm. A carbon cap-and-trade bill was debated, though top Democrats previously said 35 days was not enough to pass such a complex measure. Lawmakers similarly decided not to take up a bill that would have tied wolf-livestock compensation directly to wolf population.

Dallum said he expects both proposals will be back on the table in 2019. In the meantime, he is keeping a close eye on how elections will shake up Legislature, and whether Democrats will be able to secure a supermajority in the House.

Maintaining close relationships with more moderate Democrats, such as Reps. Brad Witt, Brian Clem and Caddy McKeown, will be critical moving forward, Dallum said.

The linchpin, of course, will be the governor’s race, Dallum said. He believes Republican candidate Knute Buehler, of Bend, has the best shot of winning the party nomination to run against Democratic incumbent Kate Brown.

“It will be absolutely critical to get a change in the administration,” Dallum said.

Politics aside, the first day of the OCA Midyear Event also featured a talk from Monique Udell, an assistant professor with Oregon State University, who discussed her latest research into the effectiveness of biological deterrents for wolves.

Biological deterrents include a combination of wolf urine and feces intended to keep the territorial predators at bay. However, in a study that was funded in part by the Oregon Beef Council, Udell said the deterrents did not seem to have a statistically significant effect.

Udell was quick to add that the study focused on captive wolves, and more research is needed.

Udell said wolves are generally fearful of unfamiliar sights and sounds. She mentioned fladry, flashing lights or alarm boxes as effective non-lethal tools, but recommended they be used in rotation so the wolves do not become habituated.

“Wolves are very persistent animals,” Udell said. “They do learn very quickly.”

Jim Bob Collins, the 37-year-old owner of Table Mountain Cattle Company near Mitchell, Ore., talked about the learning curve for young ranchers and what it takes to be successful in the business.

As a fourth-generation rancher, Collins said his place is already paid off, but for those looking to start their own legacy, he worries about rising land prices eventually becoming insurmountable.

As an industry, he said it is important for ranchers to stick together, and to be there for one another during the tough times.

“This job can be really hard at times,” Collins said. “You need help getting over that hump.”

Gopher, vole populations on rise in parts of Idaho

Capital Press Agriculture News Oregon -

Capital Press

The mounds Travis Tyson sees popping up on his family’s 10-acre spread south of Nampa, Idaho, are starting to remind him of the gopher-heavy 2015.

He’s seeing gopher mounds earlier, and more than usual.

“This year, it is starting to feel like the numbers are increasing,” Tyson said.

A mild winter gave burrowing rodents such as pocket gophers and meadow voles a productive early start to what could be a big year for the pests known for harming property, crops and even irrigation infrastructure.

“It’s starting out busy,” Canyon County, Idaho, Pest Superintendent A.J. Mondor said. The office near Middleton is dealing with a lot more gophers, and more voles, compared to a year ago, he said. That reflects the mild winter this year and the heavy, long-lasting winter a year ago, he said.

Canyon County pays a bounty of $1 per tail of a gopher caught in the county. Mondor said totals have been down overall in recent years, which may be correlated with a county program that involves placing owl nesting boxes on participating properties.

Idaho State Department of Agriculture Program Manager Sherman Takatori said he has received reports of some higher vole populations in parts of eastern and southcentral Idaho.

“The (vole) population has a nasty habit of exploding when conditions are favorable” due to their high capacity for reproduction, he said.

Voles can have several generations of young in a year, though in typical years, predation and disease keeps populations below levels that can cause major damage, Takatori said. Population spikes often reflect ideal environmental conditions, or reduced predator populations and disease incidence.

As for gophers, they lack the reproductive capacity of voles, so in general, “unless you neglect to control them, you can keep them down,” he said. For example, many growers of alfalfa and other deep-rooted crops keep gophers in check.

But gopher problems can materialize on ag ground next to public land or another environment where there isn’t much rodent control, Takatori said. “They tend to migrate into fields and be tough to keep up with.”

On their acreage south of Nampa, Tyson and his wife, Kristen, live on a developed acre with their three young children. They leave the other nine acres as natural pasture for goats, chickens, and — soon, they hope — some cattle.

Three years ago, on the heels of a mild winter, they had Idaho Gopher Control treat the acre around their home and barn. The Melba-based business exterminates burrowing rodents via carbon monoxide fumigation. Travis Tyson said the gopher population immediately subsided, and the animals never came back in substantial numbers.

But if he continues to see mounds, he might call again.

“I have a choice,” Tyson said. “I could go out by myself with old-fashioned, wood gopher traps, or — if I get behind — I would possibly reach back out to Idaho Gopher Control.”

Keeping up with rodents is key to controlling them, said Michael Williams, who is in charge of receiving products at the D&B Supply Store on Overland Road in west central Boise. The store’s customers include many rural property owners.

“We’re getting a lot of requests for rodent control, for sure,” he said. One popular request is for a product designed to kill small rodents without attracting or harming house pets.

Voles and mice likely have been more prolific thanks to the warmer winter, Williams said.

D&B customers are reporting voles showing up in populated areas, he said.

“They are nasty little things in the yards,” Williams said. “You can bait them or snap-trap them, but it’s just a matter of getting after them when you see them.”

On agriculture land and rural residential properties in southwest Idaho and part of eastern Oregon, rodent-control specialist Rod Zehr sees a 25 to 30 percent increase from a year ago in gophers, and a corresponding increase in time spent at each client’s property. He also is seeing some ground squirrels, including on desert-adjacent properties where they haven’t been reported previously.

Gophers are seen more on alfalfa or waste ground than on onion or row-crop fields that farmers work more frequently, he said.

Increasingly popular pivot irrigation systems provide gophers with good nutrition and breeding conditions, and allow them to be more broadly distributed in fields compared to gravity systems, Zehr said.

Brisk construction in the greater Boise area is one factor boosting demand at Idaho Gopher Control, said Erin Turpin, who owns the business with her husband, John Turpin.

“Not necessarily weather-related, there is so much construction,” Erin Turpin said. “Construction has been pushing gophers and voles into the suburbs from the fields, so that has been a huge impact.”

And after a building or house is completed, animals can move from that former habitat to parks, sports fields and path systems often completed as part of a larger development, she said.

While rodent displacement isn’t necessarily tied to numerical changes in the population, the company’s work on agricultural and other rural properties has brought signs gophers and voles got off to a strong start this year, Turpin said.

Gophers and voles don’t hibernate, and “the mild weather did not slow them down (reproductively) as much as the typical Treasure Valley winter,” she said April 30. “We started seeing the first litters of gophers and voles in late January and early February, and typically we don’t see the first litters until the end of February or early March. And we are already starting to see the second cycle of litters happen.”

Agricultural crops appear to be growing at a healthy pace, which figures to provide more food and good breeding prospects for gophers and voles, Turpin said.

Idaho Gopher Control business volume through April 30 approached volume for all of last year, she said. She expects to start getting extermination requests related to ground squirrels, which hibernate, as May unfolds and the weather moves from warm to hot.

Meanwhile, Tyson will keep monitoring his property, and keeping an eye on neighboring properties, for signs of gophers.

He won’t push his neighbors too hard when it comes to rodent control, though he will be willing to help them.

“We’re all just trying to live the country lifestyle,” Tyson said.

Judge upholds Klamath River injunction

Capital Press Agriculture News Oregon -

A federal judge in San Francisco will not suspend or modify a court injunction aimed at protecting threatened coho salmon from a deadly parasite in the Klamath River.

The ruling, handed down late Monday by Judge William Orrick, further delays the start of irrigation season for local farmers and ranchers heading into what is expected to be a difficult drought year.

Scott Cheyne, assistant director of the Klamath Irrigation District, said the holdup is already having a negative effect on agriculture across the basin — wheat fields are stunted, ranchers are worried about growing enough forage for cattle, and row crops, such as garlic, are especially under stress.

“We’re looking at some higher temperatures coming,” Cheyne said. “We did get some moisture over the weekend, but it’s far from getting us where we need to be.”

PacifiCorp, which operates a system of hydroelectric dams on the Klamath River, did agree last week to transfer 10,500 acre-feet of water to the Bureau of Reclamation to begin charging canals on the Klamath Project. Operators began releasing 100 cubic feet per second of water from Upper Klamath Lake on April 26.

KID typically starts irrigation season on April 15, Cheyne said. He expects it will be at least another month before they get their water allocation this year.

“We’re already more than two weeks past our start date,” Cheyne said. “It’s a crucial time. We’re on a short season. It’s not like we’re going to pick up extra time at the end. We have a set number of growing days here, and you can’t take a month out of it and expect that you will be OK.”

The latest conflict in the basin centers on a parasite in the Klamath River known as C. shasta, which infects juvenile salmon on contact and can be fatal. The Hoopa Valley and Yurok tribes in northern California sued the Bureau of Reclamation and National Marine Fisheries Service in 2017, arguing that mismanagement of the river below the four major dams led to a deadly outbreak of C. shasta in 2014 and 2015.

Orrick, the judge, ultimately granted an injunction requiring 50,000 acre-feet of stored water in Upper Klamath Lake to flush and dilute C. shasta until at least 80 percent of the salmon have finished migrating to the ocean — usually sometime after June 1.

The Bureau of Reclamation is also required by law to maintain minimum water levels for an endangered species of sucker fish in the lake, and allocate water for irrigators. Supplies are already tight this year, with Gov. Kate Brown declaring a drought emergency for Klamath County in March. Stream flows are expected to range between 24 and 58 percent of normal through September, according to the USDA Natural Resources Conservation Service.

Feeling the pinch, the Klamath Water Users Association, along with KID and several other districts, filed a motion to stay the injunction, which would have allowed irrigation season to begin on time. Orrick denied the request, stating the defendants “do not show newly discovered evidence sufficient to justify suspending or modifying the injunctions.”

“While all of the parties present important equitable concerns, I issued the injunctions because the law demands that endangered species are entitled to primary protection,” Orrick wrote in his ruling.

Mike Orcutt, fisheries department director for the Hoopa Valley Tribe, said he was pleased with the decision. Salmon are of the utmost importance to tribal culture, he said, and the protections are critical for the species’ survival.

“The importance of the fish to the tribes is no less than the air we breathe,” Orcutt said. “My job is to make sure our children and grandchildren have the same opportunities that our elders did.”

Last year’s fall Chinook run in the Klamath River was the worst on record, with a surplus of just roughly 1,600 fish. The tribes are guaranteed half the harvest per their fishing rights, Orcutt said, leaving them with just 814.

“We felt strongly there was a linkage to the adverse conditions we saw,” he said. “I think it’s critical the protections remain intact.”

Scott White, executive director of the Klamath Water Users Association, said the group is obviously disappointed with the ruling. He said irrigators have taken 25,000 acres of farmland out of production since the 1990s to provide more water for fisheries, yet they are worse off now than they were before.

“Maybe we need to change our mindset and rethink our approach,” White said.

Jerry Enman, a KWUA board member and farmer near Merrill, Ore., said that science used to support the injunction has not been peer reviewed, and federal fisheries biologists have raised serious questions about whether dilution flows are valid.

Laura Williams, a spokeswoman for the Bureau of Reclamation in Klamath Falls, Ore., said the agency expects it will have about 200,000 acre-feet of water for irrigation when the season begins, and possibly more depending on how much of the 50,000 acre-feet of stored water is left over after dilution flows.

“It all depends on what goes in to Upper Klamath Lake,” Williams said.

Brad Kirby, president of KWUA and manager of the Tulelake Irrigation District, said the injunction leaves them with little water to work with this year going forward. The allocation is usually around 390,000 acre-feet during a normal season.

“We’ve threaded the needle in the past, and will do what we can to do it again,” Kirby said.

Orcutt said he understands the difficulties irrigators face, and emphasized that long-term fix is needed in the basin to satisfy competing water interests.

“It can’t be business as usual,” he said. “We need to look at realistically what’s sustainable.”

Some Think Legal Cannabis Might Be Dragging Down Craft Beer Sales

Capital Press Agriculture News Oregon -

After years of double-digit growth, Oregon’s craft beer sales are slowing. Some think legal cannabis might be playing a role.

Deschutes Brewery CEO Michael LaLonde tells The Bend Bulletin that legalized cannabis has affected sales. “It’s so potent today. Someone might go and have a beer and do some edibles, and the combination of those two things means they don’t consume as much alcohol,” he said.

But Elan Walsky, the co-owner of Coalition Brewing, isn’t so sure. He thinks cannabis presents a unique opportunity. He says his fastest-growing product is the brewery’s Two Flowers India Pale Ale. It uses CBD, a non-psychoactive ingredient of cannabis. “And you know the two industries really share a lot of the same hallmarks,” he said. 

“They both share a focus on quality and locality. They’re both regulated in the same way and of course hops and hemp are very closely related genetically.”

The slowing craft beer market has also been attributed to limited shelf space at stores, and a customer move from large bottles to smaller containers.

Grange Co-op awards $13,500 in scholarships

Capital Press Agriculture News Oregon -

CENTRAL POINT, Ore. — Grange Co-op awarded $13,500 in scholarships to high school seniors at their annual meeting on April 25.

Twelve scholarships, totaling $12,000, were presented by Grange Co-op. One $1,500 Rogue Co-op Scholarship was presented by Rogue Credit Union, Medford Food Co-op, Ashland Food Co-op and Grange Co-op.

Since 2012, Grange Co-op has awarded $80,500 in scholarships to high school seniors, and in conjunction with Rogue Co-ops, another $9,500, totaling $90,000.

“Providing education is a fundamental principle for cooperatives, and we could not be prouder to support such a fine group of young men and women in pursuit of higher education,” stated Barry Robino, CEO of Grange Co-op, in a press release. “This scholarship program offers students an opportunity to learn how the cooperative business model impacts their communities, providing them with insight they may not previously have known.”

Awarded for their academic excellence and community involvement, the following students received a $1,000 scholarship. Abby Andrus from Mount Shasta, Calif.; Abby Togerson from Grants Pass, Ore.; Blake Aho from Klamath Falls, Ore.; Daphne Hobbs from Garberville, Calif.; Liliana Tapia from Macdoel, Calif.; Ryan Laws from Central Point, Ore.; Rose McFarland from Eagle Point, Ore.; Dale Theron from Fortuna, Calif.; Virginia Gonzales from North Bend, Ore.; Carlie Paquette from North Bend, Ore.; Francesca Abusmas from Grants Pass, Ore.; and Matthew Hageman from Medford, Ore.

Awarded the Rogue Co-ops scholarship for $1,500 was William Byrd from Roseburg, Ore.

Grange Co-op and its members also had the pleasure of donating $10,000 to the Oregon FFA, which was presented during the annual meeting. Receiving the check on behalf of Oregon FFA was Southern District FFA President Trevor Morgan and Oregon FFA Executive Director Kevin White.

Judge rules Oregon rancher trespassed on federal land

Capital Press Agriculture News Oregon -

An Oregon rancher unlawfully trespassed on public land by grazing cattle without government authorization in the Wallowa-Whitman National Forest, according to a federal judge.

Chief U.S. District Judge Michael Mosman has ruled in favor of the U.S. government in a lawsuit accusing Tyler Smith of Wallowa County of repeatedly trespassing in the national forest.

The ruling upholds the earlier findings and recommendations of U.S. Magistrate Judge Patricia Sullivan, who rejected several of Smith’s arguments against the government’s trespass claims.

The case will now to proceed to trial to determine whether Smith should be subject to an injunction and required to compensate the federal government for damages.

In its complaint, the U.S. sought to prohibit Smith from using these and other public lands without permission and to recover the cost of restoring the government’s property in an unspecified amount.

Forest Service officials saw cattle with Smith’s “lazy 7p” brand grazing on allotments in the forest multiple times without authorization, even after Smith received warnings from the government, according to the U.S.

The rancher has shown no evidence the grazing was accidental or that cattle escaped onto federal land, while the “government’s undisputed evidence gives rise to an inference of intentional grazing,” Sullivan said.

Smith offered several reasons his cattle were allowed to graze on federal land, but the judge said “none of these legal theories has any legal validity” or factual support, according to the ruling.

The rancher claimed that a “quitclaim deed” from his grandfather allowed for cattle grazing in the area, but Sullivan said the deed didn’t encompass a grazing permit that had been revoked years earlier due to violations.

The judge also rejected Smith’s argument that under a “split estate,” he owned grazing rights to the land while the government owned the timber and mineral rights.

“The Court is unaware of any doctrine of property law whereby ownership of land is divided into split estates in the way defendant alleges, and has not been presented with any legal authority for such a theory,” Sullivan said.

Although the rancher disputed the authenticity of photographs showing his cattle grazing on public land, these pictures were “supplemental illustration” to the testimony of Forest Service officials, which provided sufficient evidence in the case, the judge said.

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