CALIFORNIA CATTLEMAN WEEKLY

July 8, 2024

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Newsom Administration Proposes Delaying Climate Reporting Law
Budget trailer bill language released last month by the Department of Finance proposes to delay all implementation and enforcement deadlines of Sen. Scott Wiener’s “Climate Corporate Data Accountability Act,” SB 253, by two years. The bill, signed into law last year, requires companies with annual revenues over $1 billion which do business in California to annually report their greenhouse gas (GHG) emissions to the California Air Resources Board – including “scope 3” emissions related to the companies’ entire supply chains.

CCA strongly opposed SB 253 last year, concerned that it would harm ranchers and beef producers in major corporations’ supply chains. Specifically, CCA was concerned that the bill could incentivize corporations to pass down costly and burdensome emissions reporting requirements to small ranchers; could incentivize those corporations to contract with larger operations more capable of accurate emissions reporting at the expense of small family operations; and could incorrectly inflate ranchers’ contributions to GHG emissions.

When Governor Newsom signed the bill last year, he expressed concerns that “the implementation deadlines in this bill are likely infeasible, and the reporting protocol specified could result in inconsistent reporting across businesses subject to the measure.” The budget trailer bill language seeks to address those concerns. In addition to delaying implementation deadlines by two years, the budget trailer bill proposes to allow parent companies to perform reporting on behalf of their subsidiaries.

While the proposed language would not address all of CCA’s concerns, there are likely to be several benefits to delayed implementation. For instance, new implementation dates would likely come after a pending lawsuit challenging SB 253, filed by the California Chamber of Commerce and others, works its way through the courts. The delay would also allow California to better learn from recently finalized federal rules governing corporate climate disclosures which omit scope 3 emissions, and would provide California legislators additional time to revise the 2023 statute based on lessons learned from federal implementation.

SB 253’s author, Sen. Wiener, opposes the budget trailer bill language and has said that it “does not represent an agreement with the Legislature.” The Legislature is on recess until August 5; CCA will keep members apprised of further legislative and regulatory actions impacting the implementation of SB 253.

Legislators Approve $10 Billion Climate Bond for November Ballot
The Legislature on Wednesday approved a $10 billion climate bond to be placed before California voters on the November 5 General Election Ballot. Senate President pro Tempore Mike McGuire (D-Healdsburg) signed the Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and Clean Air Bond Act of 2024 later that evening, narrowly meeting the Secretary of State’s July 3 deadline to ensure bond details are included in the information guide sent to California voters (approval of the bill fell to McGuire because both Governor Gavin Newsom and Lieutenant Governor Eleni Kounalakis were out of state at the time).

The most significant pot of money in the climate bond is $3.8 billion allocated to the state’s water infrastructure, of which more than $1 billion would be earmarked for dam safety and flood prevention and mitigation.

$1.5 billion of the bond would go toward wildfire and forest resilience efforts, of which $175 million would be dedicated to “long-term forest health projects, including improved forest management, prescribed fire, prescribed grazing” and other projects. $1.2 billion of the bond would be allocated to nature-based climate programs and preservation of biodiversity, including $870 million in Wildlife Conservation Board funding for habitat enhancement and preservation which can be spent on a variety of programs including “Rangeland, grazing land, and grassland protection.”

If approved by voters in November, the bond would also direct $300 million to climate-friendly farming and ranching programs.

As reported in last week’s California Cattleman Weekly, absent from the bond bill was Sen. Josh Newman’s (D-Fullerton) request of $50 million “for UC Davis to construct a shared, pilot-scale facility for alternative protein development.” As legislative negotiations over the climate bond entered the 11^th hour, CCA – joined by other agricultural and environmental organizations – aggressively lobbied to exclude that provision from the final bond language as legislative negotiations entered the 11^th hour, and those efforts paid off.

For additional insights into climate bond provisions of interest to cattle producers, see the August edition of the California Cattleman magazine.

New Episode of Sorting Pen: The California Cattleman Podcast
A new episode of Sorting Pen: The California Cattleman Podcast is out now! Joining Katie on this week’s episode is California Rangeland Trust’s (CRT) Chief Executive Officer Michael Delbar and Vice Chair of CRT’s Board of Directors Clayton Koopmann. Tune in to hear about how CRT has grown over the last 25 years, what they are working on, what an easement is and much more. To listen, click here. 

2024 CCA Scholarship Applications Now Open
The application period for the 2024 CCA Scholarships are being accepted now through October 1, 2024. CCA awarded over $49,000 in scholarships to students studying agriculture, although scholarship amounts and quantities vary year to year. Current CCA members (producer, feeder or YCC) that are currently enrolled at a university or college are eligible to apply. Past recipients of her CCA scholarship program may also apply again this year. For a complete list of awards and to download the application visit calcattlemen.org/scholarships. Contact Maureen in the CCA office at [email protected] with any questions.

It’s Official: CCA Secures Funding for Wolf Compensation in Revised Budget
In late June, Governor Gavin Newsom signed Senate Bill 108, reflecting the final Budget negotiated between the Administration and the State Legislature. Tucked away in the revised Budget is CCA’s top Budget priority of the year: renewed funding for the California Department of Fish and Wildlife’s Wolf-Livestock Compensation Program. Specifically, the Act earmarks $600,000 from CDFW’s Biodiversity Conservation Program for wolf compensation. In the coming weeks, CCA will work to ensure that these recently appropriated funds are spent wisely, prioritizing direct loss compensation for producers who lose livestock to wolves. For additional information, see last week’s edition of California Cattleman Weekly.

Supreme Court Overturns Doctrine of Chevron Deference
Late last month, the U.S. Supreme Court issued its hotly anticipated ruling in Loper Bright Enterprises v. Raimondo, overturning a decades-old legal doctrine known as Chevron deference which dictated that courts acquiesce to federal regulatory agencies’ interpretations of vague statutes. Loper’s is likely to invite legal challenges to a wide array of existing federal regulations previously upheld under Chevron. The ruling will also circumscribe agencies’ implementation of new federal laws and necessitate increased agency direction in federal legislation. For additional information, see last week’s edition of California Cattleman Weekly.

SWRCB Eases Shasta River Curtailments, Issues Warning for Scott River Watershed
The State Water Resources Control Board (SWRCB) issued a warning Wednesday that flow levels for the Scott River are approaching the minimum flow requirements set in emergency regulation. Minimum flows for the Scott River, as measured at the Fort Jones gage, currently remain well above the minimum flow requirement of 50 cubic feet per second for the month of July, and no Scott River curtailments are currently in effect. However, the SCWRB warns that, “With no forecasted precipitation in the Scott River watershed and temperatures forecast to increase, flows are expected to continue an overall decreasing trend and are anticipated to approach or fall below the minimum flow requirement in July.” According, the SWRCB is encouraging Scott River diverters “to coordinate and reduce diversions in the near term as flows decrease.”

The SWRCB also announced on Wednesday that it is easing curtailments within the Shasta River Watershed. As reported in last week’s edition of California Cattleman Weekly, the SWRCB had previously issued curtailments for all Shasta River watershed diversions with a priority date of January 1, 1958 or later. Under an addendum to that order, diverters with a priority date of January 1, 1958 or later may resume diversion so long as they meet four conditions outlined in the Board’s announcement regarding coordination with the SWRCB or Scott Valley and Shasta Valley Watermaster District. Previously-announced conditional curtailments for Shasta River Watershed diversions with priority dates between November 25, 1912 and December 31, 1957 remain in effect.

For additional information, visit the SWRCB’s “Scott River and Shasta River Watersheds Emergency Regulation” webpage.

Save your Spot for a Virtual Social Media Training for Ranchers 
Join the California Cattlemen’s Foundation for a virtual social media training on July 17 at 7pm. Whether you want to know how to take better images and videos for your personal or business social media pages or learn how to contribute to our content, join us for this one-hour training.

The training will include a panel and Q&A with a few California cattle producers who actively share posts about their cattle operation and ranching in California. The panel of producers will be announced soon!

Expect to hear from these producers on:

• How they got started sharing about ranching and cattle production on social media
• Why they it is valuable to share about ranching in California on social media
• Advice for getting started and generating ideas for creating content
• Lessons learned

This is a free training hosted by the California Cattlemen’s Foundation with support from the California Cattle Council. RSVP at calcattlemenfoundation.org/webinars.

Upcoming CCA Events

Upcoming Industry Events

CCA in the News

Alternative proteins opposed by livestock and enviro groups Agri-Pulse Daybreak West “The Legislature approved a climate bond for the November ballot on Wednesday. A previous iteration of the measure had proposed $50 million for constructing a facility to develop alternative protein products at UC Davis. Yet an uncanny alliance of interest groups successfully pressed lawmakers to drop the provision. The California Cattlemen’s Association and Western United Dairies teamed up with progressive groups including the Community Alliance with Family Farmers and the Center for Food Safety, an environmental organization often at opposite ends with ag.” To listen, click here.

Industry News

Map: Lake Fire in Santa Barbara County grows to biggest of the wildfire season The Mercury News “The Lake Fire, burning in a rugged area of Santa Barbara County, has become the biggest wildfire of California’s season. As of Monday morning, the fire was at 20,320 acres (31.7 square miles) with 8% containment, the California Department of Forestry and Fire Protection said.” To continue reading, click here.

Congressman Visits Plumas National Forest Amid Concerns Over Rainbow Gatherers Sierra Daily News “At the second site in Beckwourth, the congressman observed up to 2,200 Rainbow Gatherers, with more arriving. The scene appeared peaceful, but USFS Law Enforcement Officers reported issuing citations for possession of fentanyl, heroin, methamphetamines, and other illicit drugs. No arrests had been made at the time.” To continue reading, click here.