Wednesday, November 3, 2010

WHAT DOES NOVEMBER 2 MEAN FOR ILLINOIS AGRICULTURE?

In the wake of a long night waiting up to see the results of the elections (and still waiting to see the outcome of the Gubernatorial race) I’d like to take a moment to reflect on what the outcomes, or proposed outcomes, mean for agriculture. If we assume Governor Quinn wins, we already know he supports an income tax increase and I have to assume that it will be a priority to help resolve our budget mess. The problem with this plan of attack is that it only solves half the annual shortfall at most and does nothing to address our State’s huge backlog of past bills yet to be paid. That means either greater revenue increases or budget cuts, neither of which will be easy.
Furthermore, if Governor Quinn decides to only represent the Chicago area, ag and business are in for a rough four years as additional revenue and/or cuts will not be made over a broad base. Long-term, this continues to put the Illinois economy in a tailspin and business leaves the state.

Farmers can’t move the land so our businesses can’t leave the state! Our choice is to be proactive early on so that the “pain” is shared as equitably as possible and our state’s economy can grow. If not, the result will be that our state will continue its economic decline.

illinois election congressional districtsMoving on to the federal races, I was blown away by the magnitude of the Republican wave. We had four Congressional seats “flip” from Democrat to Republican: Halvorson, Foster, Hare and Bean. I had expected only one or two.

What does this mean? First of all I hope that the zealousness of USEPA on regulations slows down and in some cases stop. Although it was not an election issue, I believe that USEPA is not well-liked in the rural areas for the agenda they have been trying to move forward. The danger for agriculture though is to assume that all of this goes away. Some will slow down, some will be put on the shelf, but some will continue. As an example, nutrient regulation will continue because the movement of nutrient regulation is based on the Clean Water Act that all states were to implement and USEPA was to enforce back in 2000. There’s no getting away from this one.

The other major effect to agriculture is in the area of funding. Nearly everyone elected last night in either the US House or the US Senate will want to demonstrate to the electorate they did something about the deficit when they are up for re-election. This will be a priority. That means that Farm Bill, business tax credits, ethanol tax credits, research, and any other spending by the Federal Government will be under the microscope. This is not a bad thing, but if we expect our elected officials to reduce the federal deficit, ag must be prepared that some of our own programs will be part of the solution.

All in all, it was a fun election night that offers a host of new challenges and opportunities for ag. We have four new US Congressman and a new US Senator that know very little about ag issues and I look forward to the dialogue as we teach them what Illinois’ number one industry is all about.

Rodney M Weinzierl
ICGA Executive Director



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