AGRICULTURAL COUNCIL OF ARKANSAS

                                                                   R E S O L U T I O N S

                                                                               2008                         

                                                           


COUNCIL POLICY

It is the permanent policy of the Council to support the best interests of its members in programs and
legislative matters. The Council will always seek the thinking and advice of its members and reflect the
opinion of the majority of those it represents.

Agriculture Department of Arkansas:  It is the policy of the Agricultural Council of Arkansas to work closely
with the Agriculture Department of Arkansas to promote agriculture and assist in commodity marketing
programs.  The Council supports raising the awareness of the citizens of Arkansas about the importance
of agriculture to the state’s economy.  The Council will assist in development of marketing strategies to
enable the producer to receive a fair market price.  Development of alternative fuel production and use is
just one example of added value to oil seed production that the Agriculture Department should explore.

Immigration:  It is the policy of the Council to support federal legislation governing the procuring and the
placement of legal immigrants filling farm laborer positions.  

PUBLIC RELATIONS FOR AGRICULTURE

Farmers prefer earning their income from the marketplace rather than being dependent on
government subsidies. Unfortunately, until world trade practices are made fair and equitable, government
support for agriculture will be necessary. Even if the marketplace could yield satisfactory profits for
agriculture, government regulations restricting farming practices can make it difficult for farmers to
manage their businesses. It is necessary for the American public to have an understanding of U. S.
agriculture. We recommend that
the Ag Council contact other farm and agribusiness organizations to see if a plan might be developed for
a successful public relations program for agriculture.

The Ag Council encourages other organizations to support an effort to explore the feasibility of
developing a national checkoff for the purpose of telling agriculture's remarkable story to the American
people through the media.

FEDERAL FARM PROGRAMS

Any farm program should be designed so that its advantages inure to the direct benefit of
producers.  This includes direct payments to producers which are essential to Arkansas’ agriculture.  
Farm Programs should allow farmers the planting flexibility to respond to world markets. Farm Program
payment limitations do not reflect the economics of modern farming operations and should be removed.
Any farm program should include a safety net for producers that recognize the realities of world
commodity markets and the roles played by other governments in trade and agriculture.  American trade
policy should be supported within WTO negotiations; American trade policy must be consistent with U. S.
agricultural policies.  It is essential to track world trade positions relating to agriculture.

2007 Farm Bill:  We support the following as defined in the House proposed Farm Bill for 2007:  Five-year
storage credits; direct payments; counter-cyclical payments. Even though we realize some concessions
must be made to formulate a fair and equitable farm policy, we oppose the Attribution proposal, which will
replace the Triple Entity Rule.  This will make it extremely difficult to attract and retain entry level farmers
which is vital to Arkansas agriculture.

USDA, NRCS & Natural Resources:  The Agricultural Council of Arkansas supports soil and water
conservation practices and USDA farm conservation programs so long as these programs offer equal
opportunity to all farms and to all geographic areas in the state.  In order to conserve resources for future
generations, we favor voluntary, government funded, long term land conservation practices.

USDA should continue to deem farmland, which could be classed as wetland, eligible for
conservation payments.

We favor passage of national and state legislation which offers incentives to farmers to impound water
for irrigation purposes and to recover tail water.

We oppose any restrictions on streams in agricultural areas which would limit the use of excess flow.

We encourage the continued development of surface water storage and usage.  

Disaster Support:  We support legislation that provides financial assistance to all producers that have
suffered losses due to natural and economic disasters.  The declaration of each county and all contiguous
counties should be completed in a timely manner.  The method of payment to eligible producers should
be processed in the simplest and quickest method available.

Federal Crop Insurance: We encourage Congress to develop and make available to the farmer an
affordable and effective crop insurance program. The program should be designed to allow the farmer to
protect himself from excessive production risks and price
risks posed by crop production disasters and widely fluctuating commodity prices that are beyond the
control of the producer. Additionally, the premium paid by the producer must be realistically priced to
encourage broad based producer participation and support from farm production lenders.

The crop insurance program should be administered so as to discourage abuse of the program.

We advocate that the federal crop insurance program be restructured to operate as a true
insurance program. It should allow the farmer to insure his investment in the crop, but not allow the
farmer to earn a profit from an insured loss.

Regulatory Agencies: We support sensible rules issued by OSHA, EPA, FDA, and U. S. Fish and Wildlife
Service (FWS) which reasonably can be expected to achieve results. We insist that OSHA, EPA, FDA, and
FWS rules and actions result in a national cost/benefit ratio based on reasonable scientific evidence.

Food Safety:   We support the development and enforcement of regulations by USDA/FDA to ensure the
safety of all food and sources of food for the nation, whether produced domestically or internationally.  

PRICE SUPPORT ELIGIBILITY

The Agricultural Council again expresses its opposition to any program which provides for ceilings or
limitations on the price, loan, price support payment, diversion payment, marketing loan gain, or any other
income which any agricultural producer may receive. Such discrimination is unfair, inequitable and
disrupts and defeats the purpose of any program designed to improve the economic position of
agriculture. The Council opposes any kind of means test for farm program benefits because it would put
many farmers out of business.

TRANSPORTATION

We support improvement of interstate highways for transportation and delivery of agricultural
commodities. We strongly support interaction with Arkansas Highway Department to improve the ability to
move farm commodities and farm equipment on Arkansas’ roads and highways more effectively.  We
support the concept of securing permits and tags for such movements. The Council would point out that
construction of interstate highways should consider present land use and provide proper access to land.
We support fair compensation for landowners when use and access is restricted.

Unfortunately, dock strikes and or transportation strikes pose serious threats to exports and domestic
marketing of farm commodities. With due regard to the position of both labor and domestic marketing of
farm commodities, we believe it is in the national interest and essential to the well-being of agriculture in
America, that government action be taken to prevent prolonged work stoppages in our nation's
transportation system.

We favor export shipment of agricultural products by the least costly method.

We request that the Corps of Engineers manage, maintain, and improve waterways in a manner that will
ensure the full use of navigable waterways at all times.

ENERGY

We support policy that assures adequate energy supplies for production, harvesting, processing and
transporting agricultural commodities. Use of renewable energy resources, alternate fuel sources,
recycling and conservation should be the basis of any energy policy.  We support public policy that
continues to provide incentives for entities in the development of biofuel.  

We encourage research and development to promote increased production and utilization of ethanol,
biodiesel and all other alternative energy sources. We support tax credits as incentives to promote
research, development, production and utilization of all alternative energy sources.  As the infrastructure
develops, we encourage mandates for using alternative fuels in State and Federal vehicles.  We
encourage the use of biodiesel fuel in  farm equipment.

BOLL WEEVIL ERADICATION

The Council supports a post  boll weevil eradication maintenance program with assistance from State
revenues. The Council also favors a concerted effort among cotton producing states on this vital
endeavor and the continued effort to prevent reinfestation of the boll weevil. Maintenance programs
should be continued in all cotton production areas to protect the growers' investments.

We support federal financial assistance for boll weevil eradication and maintenance in Arkansas and all
cotton producing states.

EXPORTS

We favor government policy which permits the sale of any agricultural products to any country with the
resources to purchase them. We support lifting all trade sanctions against Cuba.

U. S. foreign policy has a tremendous effect on the farm economy. Although we do not advocate putting
the interests of farmers ahead of the nation's interests, we vehemently believe that under no
circumstance should agriculture be asked to bear an unfair share of the burden of U. S. foreign policy. We
emphatically oppose the export embargo of any agricultural commodity.

Export enhancement: We urge full funding and implementation of the export enhancement program so as
to provide maximum benefit to producers. U. S. trade policy and trade negotiations should enhance U. S.
farm programs and thereby lower the cost of such programs.

COMMODITIES

Rice: Rice has long been the world's number one food grain. It has become Arkansas' largest program
crop. It is vital to the state's economy and to Ag Council members. In order to fulfill America's desire to
help feed the world's needy people we recommend full use of all government programs to maximize the
exportation of rice.

We strongly oppose the movement of all commodities to offshore sites for further processing such as,
but not limited to, milling, packaging and weaving.


Soybeans:  The assurance of viable Soybean seed is vital to Arkansas’ farmers.  We encourage uniform
standard testing of soybean seed and results made available to farmers upon request.

Feed Grains: We oppose the mandatory national grain sorghum checkoff program in its current form.  
Representation on a national board, if established, should be distributed equitably among sorghum-
producing states with at least 50% of collections be returned to the states.

RIGHT TO WORK

We urge our Congressional delegation to continue to support retention of Section 14(b) of the Taft-
Hartley Act.

SOCIAL SECURITY

We oppose further increases in Social Security taxes.

UNEMPLOYMENT COMPENSATION

Council members are alarmed about the escalating costs of unemployment compensation.
Administration of this program is of great concern. Government employees tend to side with other
employees. Oftentimes former employees are allowed to continue drawing unemployment compensation
after they have found other employment. Reason needs to be brought to the program.

AGRICUL TURAL RESEARCH AND PROMOTION

The agricultural colleges, including the experiment stations, extension services, and contract
researchers have helped make America the leader in innovative techniques for agriculture and deserve
full public support for funding at the highest possible levels.

We support the programs of Cotton Incorporated, the National Cotton Council, Arkansas
Soybean Association, the Arkansas Soybean Promotion Board, the United Soybean Board, the Arkansas
Rice Research Board, the Arkansas Wheat Promotion Board, the Arkansas Wheat Growers Association, the
Arkansas Corn and Grain Sorghum Board, and the Soil Test Review Board. We oppose a policy of allowing
an individual to simultaneously serve on the USB and on the American Soybean Association Board.

We continue to support mandatory checkoffs for soybeans, rice, wheat, and corn and grain sorghum in
Arkansas.

We urge Cotton Incorporated, with the assistance of land grant colleges, USDA, and other public
scientists, to continue developing a national cotton breeding program with the following objectives:
Develop new cotton varieties with I) higher, more stable yields to enable cotton producers to earn a profit
growing cotton, and 2) improved, more uniform fiber properties to enable cotton spinners to utilize new
spinning technologies for more effective competition with imports.

We support the concept of five research and extension centers being developed by the University of
Arkansas, Division of Agriculture.

We urge the Experiment station and the Cooperative Extension Service to continue addressing real life
on farm problems. It is imperative these problems be given top priority.

We recommend that the Cooperative Extension Service begin to refocus and restructure itself so as to
best serve commercial agriculture.

BIOTECHNOLOGY

Recognizing that biotechnology may contribute useful technology to agriculture which could enhance
both quality and competitiveness of farm products, we encourage development in this field.

We urge USDA and other appropriate governmental agencies to expedite the testing and release of
recombinant plants containing the useful genes which have the potential to render crop production more
efficient.

We encourage research to develop traits beneficial to consumers which will open new uses and new
markets for commodities.

LAND GRANT COLLEGE

Maximum development of the agricultural potential in any state is dependent on a strong Land Grant
institution. A successful College of Agriculture must maintain the interest and support of farmers. The
Council will continue to improve communications with the University in order to sharpen farmer interest
in research, extension and teaching activities. We pledge our full support toward making Arkansas' Land
Grant College the best possible.

STATE EDUCATION

We support all Arkansas institutions of higher learning, especially those which contribute to agricultural
research and education.

FLOOD CONTROL AND DRAINAGE

The Council commends the officers of the various levee districts, the Mississippi River
Commission, the Corps of Engineers, and the Natural Resources Conservation Service
participating in flood control and improvement of lands in Arkansas.  We also recommend that Congress
direct the Corps to include availability of agricultural irrigation water in their studies. This work is vital to
members of this organization.

We oppose FEMA setting regulations on flood plains determining mandatory purchasing of flood
insurance.

We urge early completion of the river basin projects in Arkansas for which funds have been appropriated.
We support maximum appropriations for all lower Mississippi Valley flood control and improvement
projects.

We urge authorization and appropriation of federal funds for maintenance of banks, dikes and control
structures along the Arkansas River.

We support the earliest possible completion of the work proposed by the Corps of Engineers to improve
the Mississippi levees, from Cape Girardeau, Missouri, to the Gulf of Mexico, so as to fully protect the
citizenry and property in the states of the lower Mississippi Valley.

We support legislation to preserve wildlife habitat which would authorize the Secretary of the Army, acting
through the Chief of Engineers, to acquire easement in lieu of fee for lands designated for acquisition in
mitigation of losses or damage to fish and wildlife resulting from Federal improvement.

The Agricultural Council recognizes that beavers have become a major impediment to drainage of both
farm and timber lands in Arkansas. We pledge our cooperation with
federal, state and local agencies in searching for a solution to this problem. We also wish to impress upon
the various agencies the urgency of finding a solution.


Drainage - Section 404: The Ag Council believes in a healthy environment. We are committed to good
drainage, knowing it to be essential to the productivity of the alluvial areas of the country. We are
convinced a reasonable balance can be achieved, for the good of the country, between these two
objectives if EPA and Corps of Engineers will promulgate sensible regulations and administer them in a
wise manner. We oppose the unfair increases in fees for obtaining a Section 404 permit which were
proposed at one time by the Corps of Engineers.

We recommend restricting Section 404 jurisdiction to the historical definition of "navigable waters." We
also think Congress should adopt a reasonable definition of "wetlands." We further recommend that any
new legislation make it clear that the Corps of Engineers has final authority to issue permits under
Section 404. Decisions on 404 permits should be rendered within six months.

Farmed Wetlands: We believe that any farmland that was in cultivation prior to 1985 should be considered
prior converted cropland regardless of how long water may stand on it during the growing season.

TRESPASS

We support private property rights and encourage the strict enforcement of trespass laws.
Additionally, we support the passage of increased penalties for repeat offenders of the law.

CHEMICAL RESTRICTIONS

We strongly recommend that no pesticides or any other agricultural chemicals which are applied in a
recommended manner be banned or restricted unless adequate research has proven them harmful to
man or agricultural crops.

The Ag Council questions the mechanism by which any biological species is determined to be threatened
or endangered.

Should any restrictions be placed on the use of farm land because of environmental concerns, it is our
firm conviction that any costs or reduction in income incurred by farmers, due to such restrictions, should
be paid for by the public through government.

CHEMICAL PERMITS



We urge the University of Arkansas and Arkansas State University to engage in research aimed at
protecting the right of farmers to continue to use pesticides, fertilizers, growth regulators, etc.

We request the Arkansas Agricultural Experiment Station and the Cooperative Extension
Service, when formulating recommendations about pesticides concerning registration,
emergency use permits or any recommendation which involves policy considerations, to consult with the
Agricultural Council of Arkansas and other organizations before making
recommendations.

INDUSTRY CONSOLIDATION

Ag Council members are alarmed by the mergers among agricultural suppliers and the resultant erosion
in competition reflected in increased prices of crop production inputs, which seem to cost the producer
at least what they are worth.

It is crucial that producers not be placed at the mercy of one or two dominant companies for seed
supplies of major crops.

SALES TAX EXEMPTIONS

We favor maintaining the sales tax exemption presently held by Arkansas farmers.

ESTATE TAXES

The Ag Council supports the total and permanent repeal of all estate and inheritance taxes.

EMINENT DOMAIN

Property appropriated under the right of eminent domain, when not used for the purpose for which it was
taken, should be offered for resale to the person from whom it was seized at the price at which it was
confiscated.

If any governmental entity takes, appropriates, seizes, restricts, or modifies the use of private property,
the owner should be compensated for any present or future loss.

UNIFORM COMMERCIAL CODE

The Agricultural Council of Arkansas supports Article 9 of the Arkansas Uniform Commercial Code that
gives automatic priority status of landlord liens on crops under Ark. Code Ann. Section 18-41-101.

CONGRESSIONAL DELEGATION AND STATE ADMINISTRATION

The Council extends its sincere thanks and appreciation to the Congressional delegation from Arkansas
and members of our State Administration for their leadership and effective work on behalf of agriculture
and the nation.

PRESIDENT, OFFICERS AND MEMBERS

We express thanks to Ritter Arnold for his services for the past two years. The
membership is also grateful to the officers; directors and committee members who have given of their
time and efforts on behalf of this organization.  We recognize members who have faithfully served as
officers in agriculture organizations on the national level:  John C. King, III, President, USA Rice Council,
2004-2007; Allen B. Helms, Jr.,  Chairman, National Cotton Council, 2006;  Bill Weaver, Chairman, Cotton
Incorporated, 2004-2005; Bob McGinnis, Cotton Board, Vice-President 2006-2007; Larry McClendon, Cotton
Council, Vice-President 2007.