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Trade uncertainty hits home for NE Oregon wheat

Capital Press Agriculture News Oregon -

The beginning of spring ushers a flurry of activity on the vast, rolling wheat fields of Umatilla and Morrow counties in northeast Oregon.

Farmers drive large sprayer rigs over still-green plants to control weeds and pests, while crossing their fingers for make-or-break rainstorms that can turn otherwise average yields into a bumper crop.

This year, however, a new layer of uncertainty has emerged for the Northwest wheat industry. Since the U.S. pulled out of the Trans-Pacific Partnership, or TPP, growers are worried about maintaining strong relationships with longtime foreign customers in countries such as Japan, which signed on to a revised version of the trade deal March 8 in Santiago, Chile, along with 10 other nations.

The vast majority of Oregon wheat — between 85 and 90 percent — is exported, with 21 percent of export sales to Japan. That amounts to $60 million, at current prices from Portland grain terminals.

While the price of soft white wheat has rebounded modestly from its sub-$5 per bushel low last year, Japanese flour mills estimate higher tariffs on American wheat could negatively impact market share by more than half, from 3 million metric tons to less than 1.4 million metric tons. And once that market share is gone, it can be difficult to recapture.

Matt Wood, who farms several thousand acres of dryland wheat and cattle pasture near the small town of Helix, Ore., said farmers are wary of the unpredictability. But the economic consequences extend even further.

“The community you draw business support is ever shrinking,” Wood said. “That’s a real concern.”

Ripple effect

What has happened in Helix — population 181 — is what continues to happen all over rural America, Wood said.

Wood took over the lease on his family’s farm in 1993. Since then, he said the town has lost its grocery store, hardware store and the post office was forced to cut back hours. The Helix Market & Pub nearly suffered the same fate until Wood and four other guys bought the place in 2006 just to keep it open — it was cheaper than paying their tabs, he quipped.

The Watering Hole Consortium, as they called themselves, has since passed the pub along to Anna Doherty, who has kept it running.

“The concern we all had was if that place closes, it ain’t opening again,” Wood said.

Helix has historically depended on agriculture, yet Wood estimates that half his neighbors are no longer farming. The return on investment is no better than 2 percent, he figures. So, instead of having 10 guys farming 2,000 acres, he said two guys are now farming 10,000 acres.

That observation is backed up by data from the USDA. A recent report from the agency’s Economic Research Service shows that farm production has been trending toward consolidation over the last three decades. By 2012, 36 percent of all cropland was on farms with at least 2,000 acres, up from 15 percent in 1987.

Consolidation means fewer people to invest in the community, Wood said.

“It’s just been a shift in the economy,” he said.

Eric Orem, a wheat farmer north of Lexington, Ore., has seen something similar. Orem serves on the board of directors for Morrow County Grain Growers, the local farmers’ cooperative. Between drought-stunted yields and increasing trade uncertainty, he said the co-op is experiencing some lean years in product and equipment sales.

In turn, the co-op — while still profitable — has less money to support community-based organizations like FFA or Little League Baseball.

“It’s a ripple effect, for sure,” Orem said. “It’s definitely a reflection of what’s happening on the farms.”

Exports crucial

Exports remain crucial to wheat growers to turn a profit. Umatilla and Morrow counties rank first and second, respectively, in statewide production as of the most recent 2012 Census of Agriculture. Combined, they total roughly 395,000 wheat acres.

With the U.S. out of the latest TPP agreement, state and national wheat industry groups sent a letter to Trade Representative Robert Lighthizer, urging President Donald Trump to reconsider.

“The President has promised to negotiate great new deals,” the letter reads. “American agriculture now counts on that promise and American wheat farmers — facing a calamity they would be hard-pressed to overcome — now depend on it.”

Wood said the last thing the wheat industry needs is to jeopardize any kind of international trade. Orem said that, while he does not believe U.S. wheat will ever truly lose the Japanese market, the latest developments are “troubling,” and “disheartening.”

Blake Rowe, CEO of the Oregon Wheat Growers League and Oregon Wheat Commission, echoed the farmers’ sentiments. In addition to TPP, Rowe said the organization is keeping a close eye on NAFTA negotiations, and possible retaliation against U.S. agriculture based on new steel and aluminum import tariffs.

“It’s not a good time,” Rowe said. “I think folks are being cautious, not knowing where this is going to end up.”

Dryland wheat is the still the major agricultural crop for many communities in the dry, arid climate of Eastern Oregon. Without access to irrigation water, there are not many viable alternatives.

“I’m not really sure how communities will absorb those hits,” Rowe said.

Bruce Sorte, community economist for Oregon State University Extension in Eastern Oregon, said wheat isn’t the only commodity that may be affected. Fruit also depends on exports, along with processed potatoes and onions.

“Those exports are just critical to the folks out there,” Sorte said. “How these things play out, you never can tell.”

Job diversification

Steve Chrisman, economic development and airport manager for the city of Pendleton, Ore., said the local job base has grown more diverse over the last couple of decades, which has helped insulate the community against impacts to a single business — namely agriculture.

“If wheat’s not going to do well, it’s not good for the city, but it doesn’t cripple it, either,” Chrisman said.

Chrisman pointed to Wildhorse Resort & Casino, Keystone RV and Interpath Laboratory as examples of large employers outside the farm sector. Another recent development that has him excited is the development of the Pendleton Unmanned Aerial Systems Range, which he said is beginning to add full-time permanent jobs.

Companies such as Yamaha, A^3 and defense contractors have flocked to the range, which has been the site of several high-profile drone launches including the Project Vahana air taxi and ArcticShark, which will be used to gather sophisticated climate data in the Arctic atmosphere over Alaska.

The range has brought anywhere from 20 to 50 people into Pendleton at all times during the last six months, Chrisman said, eating out in local restaurants and staying in local hotels. And Chrisman believes this is only the tip of the iceberg.

“The potential for growth here is pretty exciting,” he said. “I think we’ve made huge strides in the last two years.”

Pat Beard, who manages the Pendleton Convention Center, added summer tourism as another economic driver for the city, with Pendleton Bike Week, Pendleton Whisky Music Fest and, of course, the world-famous Pendleton Round-Up.

Beard said he knows, living in a very agriculture-oriented area, the price of commodities will always affect the community. But as the economy diversifies, it is not as devastating a blow as it would have been 50 years ago.

“While it’s challenging times, it’s part of the lifestyle,” Beard said.

That lifestyle is what keeps farmers like Wood and Orem working through the tough times.

“It’s what we do. It’s what we know,” Wood said.

Orem said he is still optimistic for the future, and believes the battle-tested wheat economy will ultimately prevail.

“We’ve been through tough times before,” Orem said. “We’ll figure these trade deals out. It’s a bump in the road right now.”

Nevada marijuana industry share tips on edibles consumption

Capital Press Agriculture News Oregon -

LAS VEGAS (AP) — Open a pack of convenience store gummy candies and it’s hard not to grab a handful at a time to satisfy your craving.

But doing the same for a tube of marijuana gummy candies purchased at one of Las Vegas’ legal pot dispensaries could leave users on the floor.

Marijuana edibles have quickly become a hot seller in the first seven months of legalized pot in Nevada, with as much as 45 percent of all weed sales being edibles, according to figures from several dispensary owners.

The extreme potencies, however, have forced dispensaries and lawmakers to be proactive in educating many first-time Nevada users on how ingest pot properly.

“We’ve been very involved in the outset to prevent overconsumption,” said Riana Durrett, executive director of the Nevada Dispensary Association. “It has happened in other states and we want to prevent it from happening here.”

Marijuana edibles in Nevada are limited to 10 milligrams of Tetrahydrocannabinol (THC), the psychoactive ingredient in pot, per dose or more than 100 milligrams of THC per package, according to state law. The edibles — in the form of chocolate bars, peanut butter cups, cookies, gummy candies, nuts and granola — can’t resemble images of cartoon characters, toys, balloons or animals and must be sold in sealed, opaque packaging.

An average dose for regular marijuana users is 10 milligrams of THC, said David Goldwater, owner of Inyo Fine Cannabis Dispensary in the central valley. While frequent pot users can easily handle up to 20 or 30 milligrams, first-time and less-experienced users should begin with 2.5 to 5 milligram doses.

That means when opening a stack of pot gummy rings — commonly sold in packs of 10 small candies at 10 milligrams each — first-time users should only eat one-fourth of one gummy to achieve a desired high. Experienced pot users could consume two to three whole gummy candies, Goldwater said.

As weed edibles can take the average person from 45 minutes to two hours to start feeling its effects, Goldwater said it should come as no surprise that so many Nevadans have struggled to adapt to appropriate doses. It’s a drastic difference from the typical fistful of candies out of the pot-free gas station bag.

“Low and slow is always our recommendation,” Goldwater said. “Low THC milligram count and eat it slow.”

Chocolate bars, peanut butter cups, brownies and even dried fruit edibles are similar in serving size and potency. A 12-square chocolate bar totaling 100 milligrams of THC would have just over 8 milligrams of THC per square, which is more than enough for most people to get high, Goldwater said.

Goldwater and other dispensary owners said they’re doing everything they can to prevent overdoses and negative experiences from souring customers’ taste for pot edibles.

As part of a monthly free “Wellness Wednesday” seminar, Essence Cannabis Dispensary owner Armen Yemenidjian welcomes adults age 21 and over to listen to doctors, attorneys, state regulators and industry members speak on a variety of pot safety topics. Among them, edible safety is a “top priority,” Yemenidjian said.

Essence employees undergo education training so they can give first-time customers directions on how to consume edibles.

“Put it this way, we want people to enjoy the edibles so they come back for more,” Yemenidjian said. “We don’t want them to hate the experience and be turned off by the whole process.”

At The+Source, owner Andrew Jolley provides handout literature for customers on proper edible use. The+Source also holds monthly educational seminars, and Jolley’s employees are trained to educate customers on proper quantities.

Goldwater directs Inyo customers to the company’s website, where its “knowledge” section outlines acceptable doses for edible uses.

While sales of marijuana flower and concentrates have endured plateaus or even slight dips at different points through the first months of marijuana legalization in Nevada, edibles have continued to grow at a higher rate, according to dispensary officials.

Goldwater said edibles are the least expensive way for pot consumers to get high. At $26 for a tube of 10 gummy candies, buyers can get a strong THC high for $2.60 or less. Comparatively speaking, an 18 percent THC-gram of flower sold for $15 would cost the average user about $7 to $8 to get high.

“People start by trying the edibles, then they realize they like them and come back for more,” Goldwater explained. “We’ve been seeing edible sales grow very rapidly.”

With “ample” education materials available and staff from nearly all of the Las Vegas Valley’s nearly 45 dispensaries available to advise on proper edible use, customers bear the ultimate responsibility to keep themselves safe, Durrett said.

“The resources are out there, a lot of it is just being responsible and knowing what you’re consuming,” she said. “And being patient is part of it.”

Wine-related firms look to uncork opportunities in marijuana

Capital Press Agriculture News Oregon -

DENVER (AP) — A growing number of companies that service the wine industry are now pursuing opportunities in the cannabis sector, hoping to generate new revenue streams.

For marijuana businesses, that means a host of potential new ancillary companies to choose from, as well as added legitimacy from an industry that once appeared to be a potential enemy.

According to George Christie, CEO of the Wine Industry Network, wine-centric businesses and professionals that have expressed interest in the cannabis sector include:

—Attorneys

—Accountants

—Compliance specialists

—Farm equipment suppliers

—Labeling and packaging companies

—Marketers

—Vineyard operators

“I was always aware that when recreational cannabis became legal, there would be a lot of opportunities for companies that already serve the wine industry,” Christie said.

“Certainly, it’s an easy segue into that industry.”

Christie tried to assist in melding the wine and cannabis sectors last year when his Healdsburg, California-based trade organization held a symposium and expo designed for businesses from both industries.

He got the idea for the one-day conference during a Wine Industry Network expo in December 2016 that featured a 60-minute session, “What Impact Will Marijuana Legalization Have On Wine Sales.”

“In the seven years of doing the conference, it was by far the most-packed session we ever had,” Christie said.

“Every seat was taken, people were standing along the walls.

“When it was done, it was very clear that we had barely scratched the surface. That prompted us to do a full-day dive into the topic.”

Wine-focused companies’ growing interest in cannabis is aided by the fact the threat of federal interference has yet to materialize.

These businesses — like Clearwater Tech of San Luis Obispo, California, for example — are increasingly at ease with cannabis.

Clearwater, whose ozone generators are used for disinfection in the wine, food, pharma and commercial laundry industries, was reluctant to jump into the cannabis industry because of the potential legal perils.

“We were a bit nervous until things became a bit more legalized and stable, and then it made sense for us to go down that path,” said Marc DeBrum, sales manager at Clearwater.

Clearwater’s cannabis opportunity was generated by the strict hygiene and contamination controls that state-legal medical and recreational marijuana programs require cultivators and processors to abide by.

“There’re going to be more regulations that will hit this industry and that ask for organic solutions,” DeBrum predicted.

The company currently has a dozen or so marijuana clients that include licensed cultivators in Canada as well as California and other states, he said.

“We just dipped our toe in (cannabis) last year,” DeBrum said, “so for now they account for a fairly small portion of our sales.

“But I think it’s going to grow rather quickly.”

He noted that Clearwater is increasingly reaching out to cannabis businesses through the use of Google AdWords and the company’s presence at marijuana business conferences.

Packaging and labeling companies that specialize in wine and other regulated industries are also entering the cannabis sector.

Brian Lloyd, sales manager for Label Innovators, based in Livermore, California estimates that 70% of wine purchases are made because of the appeal of the label on the bottle, and he believes marijuana companies are looking for the same kind of return from their labels.

“We see the parallel need between the wine and cannabis industry to elevate packaging labels to communicate the quality of the product and educate the buyer about what is unique inside,” said Lloyd, who noted that Label Innovators already has a half-dozen clients.

“The need to educate a potential buyer about the differences and characteristics places a bigger need on the package to help communicate what the buyer can expect,” he continued.

“Many of our cannabis clients have told us they see the need to follow in the path of the wine and spirits industries, which makes the transition easier for us.”

While many wine businesses see marijuana as a natural market to explore, some still see cannabis as an adversary.

Of course, some marijuana businesses view their wine-industry counterparts with similar suspicion and often are reluctant to work with people outside their familiar cannabis business circles.

“Connecting with (marijuana) clients is a challenge,” Lloyd said. “Some only buy with those they already know and trust because of the sensitive nature of the product and the federal regulation issue.

“Once a client knows and trusts us, though, we’ve found they are happy to refer us to other clients in their networks.”

Conversely, Christie of the Wine Industry Network believes it’s only a matter of time before companies that started as cannabis service providers will look to expand into the wine sector.

“I 100% believe that’s going to happen. There are just too many similarities between the two industries,” he said.

“It’s not going to happen in the next year or two — these companies are just too small right now.

“But maybe in the next 10 or 20 years.”

Longtime volunteer Bob Spinney receives 2018 OWA Service Award

Capital Press Agriculture News Oregon -

Oregon Women for Agriculture, an all-volunteer organization dedicated to promoting the importance of agriculture statewide, has presented its 2018 Service Award to Bob Spinney of Albany, Ore.

Spinney has worked most of his career as an agronomist and crop protection specialist. He has also assisted with crop research for Oregon State University, OSU Extension and local growers.

He has also been an active volunteer for OWA for decades, according to the organization’s press release. His most recent contribution to agricultural education has been the placement and upkeep of crop identification signs around the Willamette Valley and Interstate 5 corridor. OWA described Spinney as a tireless advocate for agriculture, and OWA.

The award was presented to Spinney on March 18 at the Cascade Grill in Albany.

Meanwhile, OWA is gearing up for its 31st annual auction and dinner Saturday, April 21, at the Linn County Fair and Expo Center in Albany. The event begins at 4:30 p.m. with a silent auction, followed by dinner at 6:15 and a live auction at 7:45.

Tickets are $50 per person before April 7, and $60 per person after April 7. Dinner will include appetizers, a no host bar, grilled oysters, lamb, baron of beef and roasted pig.

For more information, visit www.owaonline.org or call 503-243-3276.

Lost Valley’s lender forcing sale of dairy’s herd

Capital Press Agriculture News Oregon -

The owner of Lost Valley Farm, a controversial Eastern Oregon dairy that has drawn the ire of environmental groups and run afoul of state regulators, may soon be forced to sell off its entire herd.

Greg te Velde, of Tipton, Calif., began operating the dairy near Boardman, Ore. in 2017, which was permitted for up to 30,000 cows — making it the second-largest dairy in the state, behind neighboring Threemile Canyon Farms.

But according to documents filed in Morrow County Circuit Court, te Velde is in significant financial straits, owing more than $150 million in debt — more than $60 million to Rabobank, a multinational agricultural lender.

Rabobank made three commercial loans and issued three lines of credit for Lost Valley and two other dairies te Velde owns in California. The loans were secured in part by Lost Valley’s dairy herd, other livestock, silage and equipment.

The bank claims te Velde has since defaulted on two of the loans, and foreclosure proceedings are underway in California. Toppenish Livestock Commission, of Toppenish, Wash., has been secured to auction the Lost Valley herd, which includes 10,500 milking and dry cows, along with 4,000 replacement heifers.

John Top, owner of Toppenish Livestock, said they will begin preparing next week for the auction, which is scheduled for April 27. However, according to a motion filed in Morrow County by Rabobank seeking a preliminary injunction, te Velde has not given the auctioneer permission to enter the dairy and take the herd.

Te Velde declined to comment when contacted Wednesday. An attorney for Rabobank also declined comment.

In a declaration filed in state superior court Feb. 15 in Fresno, Calif., Nicola Merrifield-Olivia, senior vice president and manager of commercial special assets for Rabobank, wrote that the bank had attempted to work with te Velde for more than a year to restructure his debts. Yet despite these efforts, te Velde failed to put together a realistic plan.

“Two of the three loans extended to te Velde by Rabobank have matured, and te Velde’s precarious financial condition is beginning to endanger the well-being of the three herds,” Merrifield-Olivia wrote.

Lost Valley is located on a portion of the former Boardman Tree Farm. It has been a lightning rod for controversy since before it was permitted as a confined animal feeding operation, or CAFO.

More than 4,200 public comments opposed the operation, urging the Oregon Department of Agriculture and Department of Environmental Quality to deny a key wastewater permit for roughly 187 million gallons of liquid manure.

Opponents railed against the potential for air and water contamination, though ODA and DEQ did award the permit based on what the agencies described as the most protective permit conditions for a CAFO to date.

Within the first year of operation, Lost Valley failed numerous inspections and was cited four times for permit violations. ODA sued to shut down the dairy, though ultimately the sides reached a settlement, with Lost Valley agreeing to limit its wastewater to 65,000 gallons a day and ensuring manure lagoons had enough capacity to handle water from storms. It also agreed to weekly inspections.

According to court documents, te Velde was in discussions to sell the dairy, but those negotiations fell through as of March 15. A motions hearing is scheduled in Morrow County for April 12.

Grants Pass ban on outdoor pot survives challenge

Capital Press Agriculture News Oregon -

PORTLAND, Ore. (AP) — The Oregon Court of Appeals has affirmed a Grants Pass ordinance that requires marijuana plants grown at home for personal use to be grown indoors.

The City Council approved the ban on outdoor cultivation shortly after recreational marijuana became legal. The council members were concerned about offensive odors.

Activist Rycke Brown took the matter to court, saying the ordinance conflicts with a state law that prohibits a local government from enacting or enforcing local limits on the production or use of plant seeds.

The Appeals Court on Wednesday agreed with a lower court that marijuana plants do not apply to that law.

Idaho tribes want fish passage above Snake River dams

Capital Press Agriculture News Oregon -

BOISE, Idaho (AP) — Two southeastern Idaho tribes are seeking to intervene in a utility’s attempt to negate an Oregon law requiring fish passage as part of relicensing for a hydroelectric project on the Snake River.

The Shoshone-Bannock Tribes on Tuesday filed documents with the U.S. Court of Appeals for the District of Columbia Circuit seeking to intervene in support of the Federal Energy Regulatory Commission.

Idaho Power in February petitioned the court to review a 2017 decision by the commission dismissing the Boise-based utility’s request that it exempt the three-dam Hells Canyon Complex from an Oregon law requiring fish passage as part of relicensing.

The tribes cite their 1868 Treaty of Fort Bridger with the U.S. government.

The tribes said they could be adversely affected because the treaty gives them rights to fish off-reservation in the waters of the Snake River and its tributaries.

Brad Bowlin, Idaho Power spokesman, said the company was reviewing the document.

“Idaho Power is still actively working with the states to resolve the fish passage issue, and we remain hopeful that further litigation of this issue will be unnecessary,” he said in an email to The Associated Press on Wednesday.

Idaho Power’s 50-year license to operate the complex on the Idaho-Oregon border expired in 2005, and the company has since been operating on annually issued licenses.

Oregon wants salmon and steelhead to be able to access four Oregon tributaries that feed into the Hells Canyon Complex. But Idaho lawmakers have prohibited moving salmon and steelhead upstream of the three dams.

At issue before the appeals court is Idaho Power’s argument that the supremacy clause of the U.S. Constitution that has to do with federal authority over states pre-empts the Oregon law. The commission said it found no reason why Oregon couldn’t require fish passage and reintroduction as part of relicensing.

Biologists have said the Snake River above the dams is so degraded it couldn’t support salmon and steelhead without significant rehabilitation work, which would require cooperation from landowners.

Idaho Power supplies electricity to nearly 550,000 customers in southern Idaho and eastern Oregon. The Hells Canyon Complex in a normal water year produces about 30 percent of the company’s total annual power generation.

Online ads from unlicensed pot shops roil California market

Capital Press Agriculture News Oregon -

LOS ANGELES (AP) — Weedmaps is a go-to website for people looking to find a marijuana shop. With a few clicks on a cellphone, customers can find virtually any type of cannabis product, along with the fastest route to the place selling it and ratings from other consumers to help them decide what to buy.

But legal and illegal operators advertise next to each other, and licensed operators in California say that’s put them at a disadvantage in a cutthroat marketplace.

To them, Weedmaps is helping illegal sellers flourish without having any of the obligations licensed operators endure — collecting and paying taxes, insuring their businesses and employees, and abiding by safety rules for their products.

In other words, illegal shops can sell pot at cheaper prices, sometimes 30 percent to 50 percent less.

“That’s Weedmaps’ business model, to confuse the difference between legal and illegal,” said Jerred Kiloh, a licensed dispensary owner in Los Angeles who heads the United Cannabis Business Association, an industry group. “It’s an unfair playing field. They are pitting us against each other.”

Weedmaps operates in over two dozen states, but the issue is coming to a head in California, which in January became the nation’s largest legal marketplace. State regulators last month warned Weedmaps to stop advertising shops operating outside the law.

In a response, Weedmaps executives said they are eager to work with the state but asserted that the online directory doesn’t fall under state authority and is shielded by provisions in federal law.

The company sees the core of the problem as a scarcity of legal outlets and hefty taxes that scare off consumers from licensed shops, not its online ads. In Los Angeles, where the pace of city licensing has been sluggish, only about 130 retail shops have authority to operate, while city officials acknowledge hundreds more are making illegal sales.

Weedmaps says its experience dropping unlicensed businesses from its listings in Washington, Oregon, Nevada and Massachusetts had no impact on the size of those unlicensed markets.

“Scrubbing the internet of the reality of unlicensed operators ... does nothing to fix the underlying issues,” Weedmaps CEO Doug Francis and President Chris Beals wrote to the state Bureau of Cannabis Control earlier this month.

The company some call a Craigslist for cannabis defines itself as an “interactive computer service” that falls under the federal Communications Decency Act. A key section of that law is designed to protect internet publishers, generally providing immunity to them for content posted by users.

But Kiloh is among those who argue Weedmaps is far more than an advertising platform, noting consumers can use the site to submit orders and summon deliveries from shops legal and otherwise.

“They are acting like Amazon, saying, ‘Here is a shopping cart,”’ Kiloh said. “They are creating a marketplace, not a platform for advertising, and it’s driven by dollars.”

The dispute over the online ads goes to basic economics for an emerging market sprung from what was mostly an illegal one: Lawful operators will struggle if they’re competing with a robust black market that can undersell them.

Complaints have surfaced elsewhere, including over fees that in some cases can be tens of thousands of dollars a month for prime ad space. The company says some advertisers pay nothing.

“I strongly believe their response to advertise for unlicensed cannabis companies is a black eye to the industry,” said Peter Marcus, a spokesman for Denver-based Terrapin Care Station.

Terrapin has three licensed dispensaries in Colorado and has advertised with Weedmaps for years, Marcus said. He said Terrapin worries Weedmaps’ high-profile spat with California regulators will bring unwanted attention from the U.S Justice Department, which continues to prosecute marijuana offenses under federal law that still sees cannabis as an illegal drug.

The appeal of black-market shops — and the lure of their ads — was illustrated this month after a raid at an illegal dispensary near Los Angeles.

Even after Los Angeles County sheriff’s deputies shuttered the Compton 20 Cap Collective, hauling out employees and customers in handcuffs and seizing bags of illicit pot, the shop’s page on Weedmaps advertised deals and displayed the dispensary’s products, which included dozens of varieties of cannabis buds, extracts and edibles.

Despite the bust, prospective customers were asking about making purchases.

“Are they back open again?” one comment read.

In its warning to Weedmaps, one of hundreds of letters sent to businesses that California regulators believe are operating improperly, the state said the company should take down ads from illicit operators and warned the company it could face criminal penalties.

But it wasn’t immediately clear how far that threat would go, since Weedmaps appears to be operating largely as usual. In their letter, the company executives said they would eliminate an internal “identifier” that appeared in business listings that state regulators said could be confused with a valid license number.

The company said in a statement it wants the licensed market to reach a “functional state where the unlicensed market is minimized.”

California regulators are discussing appropriate next steps, state cannabis agency spokesman Alex Traverso said in an email.

In the Legislature, Democratic Assemblyman Jim Cooper of Elk Grove drafted a bill that would penalize unlicensed operators that advertise on the internet, $10,000 for every violation.

“The black market is having a substantial impact on those businesses that are following the rules,” said Mike Ziegler, a Cooper aide. “They are being undercut by those who choose to operate illegally.”

———

Associated Press writers Paul Elias in San Francisco and Michael Balsamo in Los Angeles contributed to this report.

Oregon FFA installs new state leaders

Capital Press Agriculture News Oregon -

REDMOND, Ore. — The newest members of the Oregon FFA state officer team realized, shortly after their election Monday, that each of them had one simple thing in common when deciding to run for a position of leadership.

They were inspired by a key figure along the way.

Take Andrew Gmirkin, who was chosen by delegates as the 2018-19 Oregon FFA state president. Gmirkin, of Eagle Point, Ore., does not come from a traditional agricultural background — his mom is a librarian, and his dad makes jewelry. He initially felt out of place joining FFA, until one of his chapter officers assured him that it does not matter whether he was raised on a farm or ranch.

“You can do anything in this organization you set your mind to,” Gmirkin said. “Now we’re here.”

Or there’s Mackenzie Price, of Sutherlin, Ore., who was elected state treasurer. As a freshman in high school, Price said she struggled with feelings of self-worth. It wasn’t until she attended a leadership camp that others helped her to realize her potential.

“I didn’t understand everything I was capable of,” Price said.

Together, the group made a commitment to be the same kind of people who help their peers feel confident to achieve their goals.

Devin Thacker, the newly elected State FFA secretary from Canby, Ore., said a big part of it is to just be yourself.

“That is honestly the best advice I’ve ever gotten,” Thacker said.

Elections took place Monday morning during the delegate business session, kicking off the final day of the 2018 Oregon FFA state convention held at the Deschutes Fair & Expo Center in Redmond, Ore. Nearly 1,500 FFA members — or “blue jackets,” as they call themselves — from 102 local chapters attended the convention to compete in career development events, attend workshops and network with colleagues.

In addition to Gmirkin, Price and Thacker, the state officer team includes Dylan Westfall, of Hermiston, as vice president; Sundee Speelman, of Adrian, as reporter; and Holly Silvey, of Bend, as sentinel. They will spend much of the next year, post-graduation, teaching and hosting workshops at schools across the state.

Kourtney Lehman, who served as Oregon FFA president last year, said the experience gave her the independence and leadership skills necessary for college, while also shaping her perspectives on life.

“It was amazing,” Lehman said. “It really pushes us as people to be responsible, to be better.”

Lehman, of Baker City, Ore., plans to attend Oregon State University in the fall and will major in agricultural business management with a minor in either marketing or communications.

The state convention, March 23-26, featured a full schedule of events and competitions as students aimed to represent themselves and their schools at the National FFA Convention & Expo this fall in Indianapolis. FFA offers career development in areas such as job interviews, agricultural issues and parliamentary procedure, designed to enhance students’ critical thinking, speaking and presentation.

Several workshops also introduced the kids to future opportunities in the working world. The OSU Teach Ag Club hosted “Day in the Life of an Ag Teacher,” while the Oregon Department of Agriculture and USDA Natural Resources Conservation Service ran down careers available in their agencies to assist farmers and ranchers.

But the convention wasn’t all serious business. It afforded members plenty of opportunities to cut loose, dance and laugh with their friends. The final session almost had the feel of a rock concert, as state officers charged onto the stage beneath a tunnel of outstretched arms, music pumping and lights flashing.

The closing address went to Lee Wesenberg, the outgoing state reporter from Sutherlin. He boiled down the keys to success into six main points: personal philosophy, being your own hero, having intellect, conquering your reality and achieving excellence.

Spelled out, the acronym is P.H.I.R.E.

“Success isn’t about winning or losing. Success doesn’t even have a scoreboard,” Wesenberg said. “In the end, we must seek the impossible.”

US land managers designate grazing projects in 6 West states

Capital Press Agriculture News Oregon -

ELKO, Nev. (AP) — Federal land managers have designated 11 demonstration projects in six Western states in a bid to create more flexibility for grazing livestock on public range.

Bureau of Land Management official Greg Deimel told the Elko Daily Free Press the aim is to share best practices in what the agency is calling outcome-based grazing authorizations.

One example might involve letting ranchers graze cattle on young invasive cheatgrass.

The bureau announced Friday that five projects are at ranches in northern Nevada. Others are in Colorado, Idaho, Montana, Oregon and Wyoming.

Outcome-based grazing authorizations were announced in September 2017.

The goal is to let land managers and livestock operators respond to changing range conditions such as wildfires, high moisture years or drought to weigh economics and ecology with wildlife habitat.

Workshops help farmers transition land to next generation

Capital Press Agriculture News Oregon -

The Oregon nonprofit Rogue Farm Corps is convening four, day-long events this April to help the current generation of farmers develop succession plans and the next generation of farmers find working land.

“Changing Hands: A Workshop Series on Farm Succession Planning and Access to Land,” will feature the critical tools and resources that farmers, ranchers, and foresters need to keep Oregon’s working lands working.

“The goal of the Changing Hands series is not only to educate, but to help build the connections necessary for a resilient farm community,” Nellie McAdams, RFC’s farmland preservation program director, said in a press release. McAdams has been on the road this winter and spring talking about succession planning with ranchers, farmers, foresters, and other community members.

“The tidal wave of farmland transition isn’t coming — we’re in the middle of it,” she said. “But we also have the solutions at our fingertips. This event is designed to help people discover and take the next step towards transitioning or accessing land.”

Retiring farmers can learn from experts about what it takes to pass on their business to the next generation — keeping it in the family or finding others to carry it on.

Aspiring farmers can learn about creative ways to start a farm business with topics on finding, leasing, financing and buying agricultural land.

The day-long workshop starts with breakfast at 7:30 a.m., and the program begins at 8:30 and goes through 5 p.m. with lunch and afternoon snacks included.

Register by April 10 for $20, including meals. Late registration will be $30.

Find the workshop most convenient to you below.

Agenda:

7:30-8:30 a.m.: Registration and breakfast.

8:30-9 a.m.: Welcome and keynote.

9:15-10:30 a.m.

• Succession Track: Working with your family to plan for succession.

• Access to Land Track: Finding and leasing farmland, including creative pathways to land tenure.

10:45 a.m.-noon

• Both Tracks: Buying and selling agricultural real estate.

Noon-1 p.m.: Lunch at facilitated discussion tables.

1-2:15 p.m.

• Succession Track: Working with your attorney and professional team to plan for succession.

• Access to Land Track: Financing options for purchasing land, conventional and emerging.

2:30-3:45 p.m.

• Both Tracks: Creative methods for passing on assets and management to next generation.

3:45-4 p.m.: Thank you and takeaways from the event.

4:15-5 p.m.: Snacks and networking.

Workshop locations:

Portland area: Friday, April 20, Harmony Campus Community Room, Clackamas Community College, 7726 SE Harmony Road, Milwaukie, Ore. https://bit.ly/2GxL1un

Medford: Monday, April 23, SOU Higher Education Center, Room 129,101 South Bartlett St., Medford, Ore. https://bit.ly/2Ia65EB

Redmond: Friday, April 27, Central Oregon Community College, Redmond Technology Education Center, 2324 Southeast College Loop, Redmond, Ore. https://bit.ly/2DZiKrr

Springfield: Monday, April 30, Sprout! Regional Food Hub, 418 A St., Springfield, Ore. https://bit.ly/2Fuu8gI

Rogue Farm Corps is an Oregon nonprofit that exists to train the next generation of farmers and ranchers through hands-on educational programs and the preservation of farmland. For more information: https://www.roguefarmcorps.org/

Scores of neglected horses seized from Oregon property

Capital Press Agriculture News Oregon -

TERREBONNE, Ore. (AP) — Sheriff’s deputies and volunteers seized 83 horses from a property in Central Oregon.

Deschutes County officials tell KTVZ that many of the animals had signs of hoof neglect. They were moved from the property in Terrebonne to an animal-rescue ranch in southeast Bend.

A requested welfare check brought deputies to the property late Saturday, and removal of the horses began Sunday. It took nearly 12 hours to move them all.

The rescue came a little more than a week after the Deschutes County Sheriff’s Office seized 53 dogs from a breeder’s property in La Pine.

Defunct Oregon beef processor expects to cover debts

Capital Press Agriculture News Oregon -

EUGENE, Ore. — An Oregon beef processor has shut down while owing $4.6 million to cattle suppliers, but the company says in court filings that it expects its assets are worth more than its debts.

A court-appointed receiver will oversee the dissolution of Bartels Packing, which in mid-March closed its slaughterhouse and processing facilities near Eugene, Ore.

Apart from the immediate financial impacts to suppliers, the demise of Bartels Packing also signifies the loss of a major cattle buyer in Oregon’s livestock industry.

“We look for competition in the marketplace, so there’s one less competitor in the marketplace now,” said Bruce Anderson, owner of the Eugene Livestock Auction.

Representatives of Bartels Packing would regularly attend Oregon several livestock auctions, where they’d primarily bid on culled dairy cattle and other “butcher cows” that would be processed into hamburger, Anderson said.

Bartels Packing was among the three largest bidders for cattle at the Woodburn Livestock Exchange, said Tom Elder, the auction yard’s owner. The other two companies, Walt’s Wholesale Meats and Schenk Packing, operate out of Washington state.

Specifically, Bartels Packing had a demand for organic dairy cows, which provide much-needed supplementary income for dairy farmers, he said.

“There’s already plenty of cows to keep these packers busy,” Elder said.

Less competition for cattle typically means lower prices.

When Bartels occasionally didn’t attend the auction, prices were about 10 percent lower for cattle the company would normally bid on, he said.

However, broader fluctuations in the beef market may compensate for the closure of Bartels Packing, and another competitor may eventually fill its niche, Elder said.

“There’s definitely an opportunity there for someone,” he said.

Oregon already has limited beef processing facilities, so the absence of Bartels Packing will be felt in the industry, said Jerome Rosa, executive director of the Oregon Cattlemen’s Association.

“It’s definitely going to have an impact on beef prices here in the Northwest,” Rosa said. “This is a real sad situation to lose a packer of that size in Oregon.”

With the demand for U.S. beef in China, though, another business could potentially buy Bartels’ equipment and replace the lost slaughter and processing facilities, either at the same location or a different one, Rosa said.

The company’s owner, Chris Bartels, did not respond to a request for comment.

In court documents seeking to dissolve the company, Bartels requested that a receiver oversee the liquidation of assets to maximize their value.

The company’s assets are worth between $13.5 million and $14 million, including $8 million in inventory, $300,000 in accounts receivable and more than $5.5 million in fixed assets, such as equipment, according to court filings.

The court filings estimated the company owes 25 or more creditors about $8.3 million, including the $4.6 million owed to cattle suppliers and feedlots.

Because there is “not a readily available market” to quickly sell “a few million pounds of various cuts and grinds of beef,” it makes more sense for this perishable inventory to be liquidated by a specialized receiver, rather than individual creditors, the filings said.

For the same reason, the equipment is likely to fetch the highest value “as part of a functioning meat harvest or packing facility or alternately as a lot, as opposed to selling equipment in a piecemeal fashion,” the filings said.

As long as the liquidation is “handled in an orderly manner,” there should be more than enough assets to “settle the debts of all creditors,” according to a court filing.

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