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Evidence Suggests Corruption Runs Deep in Beef Checkoff Program

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August 2008: NCBA attends Livestock Industry Country-of-Origin Labeling Implementation Meeting in Kansas City, Mo.

November 2009: NCBA participates in the Cattle Industry Animal Identification Roundtable Discussion in Kansas City, Mo.

March 2010: NCBA participates in the first competition workshop jointly sponsored by Justice and USDA.

July 2010: In Washington, D.C., NCBA participates in a congressional staff briefing session to oppose proposed livestock competition reforms.

August 2010: In Fort Collins, Colo., NCBA participates in rally to generate opposition to proposed livestock competition reforms and then participates in the competition workshop hosted by USDA and Justice.

November 2010: NCBA participates in a forum wherein NCBA provided a presentation in opposition to proposed livestock competition reforms.

December 2010: NCBA participates in the final competition workshop sponsored by USDA and Justice.

In addition to the CBB's finding that NCBA misappropriated nearly $217,000 in producer Checkoff dollars, R-CALF USA states that evidence abounds regarding NCBA's and its affiliated state organizations' strategic and unlawful use of their control over the Checkoff to exclusively influence governmental action to advance their policy positions. For example: in the July 2, 2010, issue of the Ag Journal*, the Colorado Cattlemen's Association (a state affiliate of NCBA) uses the Checkoff logo to legitimize the organization's fierce opposition to the GIPSA rule.

And, another example of flagrant disregard for the law and the incestuous conflicts of interest within the Checkoff can be found on the CBB Web site, at http://www.beefboard.org/library/cbb-publications.asp, which contains a document titled "Beef Industry Long Range Plan" and is touted by the CBB as the document that "guides program spending decisions."

"Yet, contrary to the Checkoff's clear and unambiguous prohibition against using any Checkoff funds in any manner for the purpose of influencing governmental action or policy, with the single exception of recommending amendments to the Order, this "Long Range Plan' is replete with policy initiatives," said Bullard. "The conflicts of interest and other unlawful practices are so pervasive as to render the Checkoff as little more than a government-funded means of advancing NCBA's policy positions, helping to sustain NCBA and its affiliate organizations."

"Regardless of the positions of cattle producers on eliminating estate taxes, supporting a national animal identification system, or engaging in critical policy areas such as trade and cattle marketing, these initiatives developed by and distributed by the CBB are prohibited under the Checkoff," he pointed out. "It is no comfort to Checkoff-paying cattle producers that these initiatives were developed by representatives from McDonalds, Cargill Meat Solutions, Outback Steakhouse and Five Rivers Ranch Cattle Feeding.

"Indeed, these initiatives have provided NCBA the foundational arguments to aggressively oppose the GIPSA rule (e.g., by calling for limiting government involvement in business decisions), and the CBB is directly and inexplicably supporting this unlawful activity," Bullard concluded. "We, again, implore USDA and its OIG, as well as the Justice Department to take decisive action to stop the ongoing Beef Checkoff charade by immediately suspending the NCBA's contract with the CBB pending the completion of a thorough and probing investigation into all aspects of the Beef Checkoff."

* NOTE: In accordance with Title 17 U.S.C. section 107, any copyrighted material herein is distributed without profit or payment to those who have expressed a prior interest in receiving this information for non-profit research and educational purposes only. For more information, go to http://www.law.cornell.edu/uscode/17/107.shtml.

                            

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R-CALF USA, Ranchers-Cattlemen Action Legal Fund, United Stockgrowers of America, represents thousands of U.S. cattle producers on domestic and international trade and marketing issues. R-CALF USA, a national, non-profit organization, is dedicated (more...)
 
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