Matching funds requirement being challenged

Wisconsin Senator Tammy Baldwin has made a formal appeal to Agriculture Secretary Brooke Rollins seeking to undo a new 25% matching funds requirement for the regional Dairy Business Innovation Initiative centers. The revised funding structure was announced at the end of September. It requires the DBII centers to secure up to $1 million each in local matching funds to qualify for the federal grants. The cost-share requirement is being described as a burden that places an unsustainable strain on dairy farmers and processors.

Ag groups ask for DBII change

A coalition of nearly 30 dairy groups, processors and allied businesses is asking the U.S. Department of Agriculture to drop the new 25% cost-share requirement for the Dairy Business Innovation Initiatives. The coalition includes the Wisconsin Dairy Products Association, Wisconsin Cheese Makers Association, National Milk Producers Federation, International Dairy Foods Association and The National Association of State Departments of Agriculture.

Supply, demand estimates updated

In the USDA’s latest supply and demand report, 2026 milk production was estimated at 236.9 billion pounds. That’s down 300 million pounds from the last report. For 2027, milk production is expected to total 238.4 million pounds, down 200 million pounds from the September estimate. The Class III milk price forecast is $15.80 per hundredweight, down 40 cents from the previous USDA report.

Beef import plan has not lowered consumer prices

President Donald Trump announced a plan last month to import 300,000 metric tons of beef without being subject to out-of-quota tariffs. Of the first 100,000-metric-ton tranche in September, less than 38,000 tons of that allocation were fulfilled. A study by the University of Arkansas says there were no noticeable changes in retail beef prices due to those imports.

House, Senate ag committee leaders collaborate in the interim

While the House has passed a farm bill, Senate action will have to wait until after the election. Senate Agriculture Committee Chair John Boozman says the House and Senate Agriculture Committee leaders are working together in the interim. “The four corners now are doing a big job of coming together and ironing out our differences,” Boozman said. “To be honest, there’s not that many.” The House farm bill includes a fix to California’s Prop 12. Boozman said there is no Democratic support for that provision in the Senate, but he expects it to be addressed in the conference committee. After meeting with farm leaders in Fargo, North Dakota, Boozman said it was important to gain their perspective. “You get little nuances that we need to have; you just don’t get that in Washington sitting around talking amongst people that aren’t out in the field facing the battle daily.”

Class-action lawsuit filed against dairy co-ops

The law firm that successfully sued tobacco companies, Exxon Mobil, Enron and the NCAA, has filed a lawsuit against major dairy cooperatives. Hagens Berman claims the farmer-funded Cooperatives Working Together program, now called the NEXT Program, has engaged in an illegal scheme to manage supply and artificially raise consumer prices for dairy products. CWT is managed by the National Milk Producers Federation to support dairy export initiatives. The lawsuit targets participating dairy co-ops, including Dairy Farmers of America, Bongards, and Darigold. The class-action lawsuit claims this program has led to “anticompetitive monopolization” that violates federal antitrust laws.

Court stalls USDA reorganization plan

A federal judge has blocked parts of USDA’s reorganization plan, including certain office closures and employee relocations. A U.S. District Judge ruled the USDA likely violated congressional spending restrictions. The order affects several agencies, including the Agricultural Research Service, Foreign Agricultural Service, Rural Development and Farm Production and Conservation. USDA can still make changes within the Washington, D.C., area. The restrictions remain in place through Dec. 11 unless Congress extends them. USDA could appeal the ruling.

IDFA welcomes salt substitutes rule

The Food and Drug Administration has issued a final rule allowing the use of salt substitutes in standardized foods, including many dairy products and cheeses. The update provides dairy manufacturers with additional flexibility to reduce sodium while maintaining product quality, safety and consumer expectations. “IDFA has long supported this approach and urged FDA to finalize the rule as part of a broader standards of identity modernization efforts,” said Michael Dykes, president/CEO, International Dairy Foods Association.

IRS fuel compliance inspections end for now

The Internal Revenue Service will not take enforcement action over the highway use of red dye diesel through the end of this year. Fuel compliance inspections will stop, and all penalties will be waived. President Trump’s executive order called on the Treasury Department to determine if deferred taxes can be canceled, but that hasn’t been finalized yet.

Fanning leads International Dairy Deli Bakery Association

The executive vice president and chief marketing officer for Dairy Farmers of Wisconsin, Suzanne Fanning, is the new chair of the International Dairy Deli Bakery Association. Fanning has been on the IDDBA board since 2017.

New branding for AgMarket.Net

The brokerage firm, formerly known as AgMarket.Net, has rebranded. It is now known as AgMarket. The new name and brand took effect Oct. 10, when AgMarket became a guaranteed introducing broker of StoneX Financial.

FGS Global acquires The Russell Group

The Russell Group has been acquired by FGS Global. Randy Russell, president and CEO of The Russell Group, will remain with the business for three years. The well-known farm lobbying company’s team and leadership will also remain. The Russell Group was founded in 1985 by former Agriculture Secretary Dick Lyng and former USDA Assistant Secretary for Economics Bill Lesher. Under the leadership of Russell, the firm’s name was changed to The Russell Group in 2012. Russell served as chief of staff for former Agriculture Secretary John Block.

From USDA advisor to cultivate advisory

Kelsey Barnes has launched Cultivate Advisory and will focus on government relations, political strategy and public relations. For nearly two years, Barnes was a senior advisor to Agriculture Secretary Brooke Rollins. Before that, she was the director of government affairs for the Farm Journal Foundation and manager of federal government relations for Syngenta.

Trivia challenge

Indianapolis, Louisville and Kansas City have all hosted the National FFA Convention. That answers our last trivia question. For this week’s trivia, what major membership milestone occurred within the FFA in 1969? We’ll have the answer in our next edition of the Dairy Star.

Don Wick is owner/broadcaster for the Red River Farm Network of Grand Forks, North Dakota. Wick has been recognized as the National Farm Broadcaster of the Year and served as president of the National Association of Farm Broadcasting. Don and his wife, Kolleen, have two sons, Tony and Sam, and five grandchildren, Aiden, Piper, Adrienne, Aurora and Sterling.