S.D. Beef Council Pleased with Supreme Court Decision

PIERRE (May 23, 2005) – The U.S. Supreme Court decision that the Beef Checkoff Program is constitutional is good news for the future of South Dakota beef producers says the president of the South Dakota Beef Industry Council (SDBIC). 

Nancy Montross, DeSmet beef producer and president of the organization that collects the $1-per-head beef checkoff in South Dakota , explains that the decision overturns a ruling by the U.S. Court of Appeals for the Eighth Circuit. That earlier ruling found the federal Beef Promotion and Research Act in violation of the First Amendment.  With this ruling, the SDBIC and other state councils across the country can continue collecting the checkoff that Montross believes has helped grow consumer demand for beef more than 25 percent since 1998 and has increased the prices that producers receive for their cattle.

            “We are very pleased,” says Montross. “This decision allows producers to continue their efforts to build demand through programs in beef safety, nutrition and promotion.”

            Wall, S.D. rancher Myron Williams is also celebrating the decision. Williams, an SDBIC director, is chairman of the Federation of State Beef Councils Division of NCBA. “We’re gratified and elated with this ruling,” says Williams.

“We truly believe in the merits of this case and the merits of the checkoff program,” he says. “We’ve had some type of a checkoff program in effect in this country since 1922 on a voluntary basis and under the 1985 Farm Bill we were able to institute a mandatory program that’s been in effect since 1988. We feel it’s been an excellent program and we’re excited that we’re able to go on and do some more positive things for the beef industry.”

With the assistance of checkoff programs, Williams explains that more than 2,100 new beef products have been developed since 1998. He adds that advertising tracking research indicates that the checkoff is improving consumer attitudes about beef’s nutritional value. In addition, the checkoff was instrumental in the organized and proactive public response to a single case of BSE diagnosed in the U.S. It has been credited with maintaining the high level of consumer confidence in the safety of U.S. beef.

On the state level, Montross says the checkoff funds numerous programs including beef-related research at state universities, agricultural education in the grade schools, state-wide advertising which promotes the beef product, and sending beef jerky last year to South Dakota National Guard troops serving in Iraq. This year state checkoff funds are also helping to support South Dakota ’s hosting of the National Beef Cookoff® in Rapid City in September. The Cookoff, she explains, is one of the three premier cooking contests in the country and helps promote the use of beef in creative and consumer-friendly recipes.

The SDBIC is comprised of representatives from eight agricultural organizations: SD Beef Breeds Council, SD Cattlemen’s Association, SD Cattlemen’s Auxiliary, SD CattleWomen, SD Farm Bureau, SD Farmers Union, SD Livestock Market Association, and SD Stockgrowers Association.