News Update

News Update
Dec. 27, 2005

USMEF Projects 2006 U.S. Beef Exports to Japan

U.S. Meat Export Federation (USMEF) President Philip Seng Dec. 22 said he expects the United States will export 100,000 metric tons of beef to Japan in 2006.

According to a USMEF release, Seng estimates the U.S. will reach pre-ban levels of more than 300,000 metric tons within three years. Of course, regaining market share will depend on the ability to rebuild Japanese consumer confidence, he noted.

“We are committed to assuring Japanese consumers that U.S. beef is safe and they can enjoy it without hesitation,” Seng stated in the release. “We will rebuild consumer confidence using consumer education and by working closely with the Japanese trade.”

The organization reports that Japanese industries, such as foodservice and restaurant chains, have lost more than $7 billion, while U.S. losses total more than $5 billion.

USDA Announces Funding for Schools, Roads

Agriculture Secretary Mike Johanns announced Dec. 21 that more than $380 million will be distributed to 41 states and Puerto Rico for improvements to public schools and roads.

“This funding helps to strengthen the communities that surround national forest lands and provides the resources to enhance environmental stewardship within those communities,” Johanns said.

According to the U.S. Department of Agriculture (USDA), since 1908, 25% of Forest Service (FS) revenues — such as those from timber sales, mineral resources and grazing fees — have been returned to states in which national forest lands are located.

Because receipts from timber sales fluctuated over time, the Secure Rural Schools and Community Self-Determination Act of 2000 was developed to stabilize payments to counties. These funds continue to provide funding for schools and roads as well as to create employment opportunities to maintain current infrastructure and implement stewardship objectives that enhance forest ecosystems and restore and improve land health and water quality.

Oregon received the largest payment, which was more than $146 million; California received $64.6 million; and Washington received $41.8 million.

The fiscal year (FY) 2005 payments are listed at www.fs.fed.us. However, the payments do not reflect national grassland revenues, which are calculated on a calendar year basis and will be paid to counties in March 2006.

Visit www.fs.fed.us for more information.

End-of-Year Tax Tips Offer Savings

Although state and federal income tax deadlines are months away, taxpayers who review their tax status before the year ends may be able to trim the amount due, said Carol Young, Kansas State University (K-State) Research and Extension family financial management specialist.

Taxpayers should organize receipts for tax-deductible expenses, such as motor vehicle taxes, property taxes, mortgage interest and charitable contributions, before the end of the year, she said.

Those who itemize and plan to deduct medical expenses should pay them before the end of the year, said Becky Wallace, K-State Extension family and consumer sciences (FCS) agent.

Fully funding a traditional or Roth IRA also is a recommended practice. Cindy Evans, Extension FCS agent in Shawnee County, explained, “If you can qualify for a traditional IRA, your contribution will be tax-deductible. Roth IRA’s are funded with after-tax dollars, but the money will grow tax-free and also be tax-free when withdrawn.”

Pre-paying quarterly state income taxes (due in January) can boost tax-deductible expenses for 2005, Evans said. Young and Evans also encourage employees to check with their payroll department to make sure they are signed up for benefits (sometimes called a cafeteria plan) that offer tax savings.

Reviewing deductions and adjusting them, as needed, also is recommended. Taxpayers also should plan now to max out pre-tax contributions to retirement savings for this year (if still possible) and also for 2006, Young said.

Low- to moderate-income families should check to see if they qualify for federal income tax credits such as the Earned Income Tax Credit (EITC).

“Reviewing your tax status early, preferably before the end of the year and certainly no later than Feb. 1, also will allow time for extra savings, if you should owe taxes,” said Young, who recommended consulting with a professional income tax preparer.

For more information on managing money successfully, contact a local or district Extension office or visit www.oznet.ksu.edu/financialmanagement.

— by Nancy Peterson of K-State Research and Extension, which provided this release.

Roast Sales Spike at Christmas

Sales of beef rib and loin roasts average approximately 4 million pounds (lb.) per month, but that average triples the week before Christmas, to about 12 million lb., according to the Missouri Beef Industry Council.

A 2004 Cattlemen’s Beef Promotion and Research Board (CBB) retail market survey revealed the findings.

— compiled by Crystal Albers, Angus Productions Inc.