Millions of research and promotion dollars are being used against independent cattlemen
KLA has opposed independent cattlemen on essentially every issue that would have improved their income, including Mandatory Price Reporting (MPR), Country of Origin Labeling (COOL), fair trade, excessive meat packer and retailer concentration, enforcement of the Packers and Stockyards Act, etc. Enabled by the lobbying power of KLA and the National Cattlemen’s Beef Association (NCBA), the big meat packers anti-competitive practices have driven over 40% of cattle producers out of business in the last 30 years.
E.g. – KLA is fighting against the proposed GIPSA rules, a first step in restoring competitive livestock markets.
On their Form 990, KLA states that their primary purpose is “BEEF INDUSTRY PROMOTION & RESEARCH”. However, their actions prove they are a “beef industry” lobbyist (in direct opposition to the cattle industry), with over 80% of their income provided by cattlemen from the mandatory beef checkoff.
Total KLA salaries are reported at $1,653,489 (Form 990). Left with only their dues income of $1,678,425, KLA would be unable to pay exorbitant salaries to their top executives, let alone cover their other overhead and significant lobbying
Independent Cattlemen of Nebraska Annual Meeting 2010
Kansas cattle producers should call for a full investigation of KLA and their handling of the Kansas beef checkoff. The Kansas Attorney General should consider joining other State AG’s and the Office of Inspector General (OIG) looking into the improper use of this mandatory tax.
Mike Callicrate, St. Francis, Kansas