The US Food and Drug Administration (FDA) earlier this month released "guidelines" for maximum levels of fumonisins in both human foods and animal feeds. This action was described by the FDA as a "prudent public health measure during the development of a better understanding of the human health risk associated with fumonisins and the development of a long-term management policy and program."

Fumonisins are naturally occurring environmental toxins produced by specific molds that grow on agricultural commodities in the field or during storage. They are found worldwide and most prevalently in corn. The extent of contamination of raw corn varies by geographic location, agronomic and storage practices and the vulnerability of the plant to fungal invasion during all phases of growth, storage and processing. Fumonisin levels in corn are influenced by environmental factors such as temperature, humidity and rainfall during pre-harvest and harvest periods. High infestation levels are associated with hot and dry weather, followed by periods of high humidity. Insect damage has also been associated with high levels of the toxin. In addition, improper storage techniques can lead to growth of the molds, which produce fumonisins. The highest levels of mold growth have been found in raw corn stored when moisture content is between 18 to 23 percent. The level of fumonisins in processed corn products depends upon the various milling and manufacturing processes the raw corn undergoes. The most typical and likely corn product in which to find fumonisins is corn screenings. This is simply because the mold generally is found on the hull of the kernel.

Fumonisins have been associated with a variety of adverse health effects in livestock and laboratory animals. Currently, however, there are no conclusive associations between adverse health effects in humans and fumonisins. Because of the knowledge that fumonisins cause animal problems, the FDA considers that human problems with the toxin may be possible and is basing their guidance program on that idea. The recommended maximum fumonisin levels in both human foods and animal feeds are based on what the FDA considers achievable using good agronomic and manufacturing practices.

With all this said, there are not currently any federally approved quick-tests for the presence of the toxin. There are being developed some tests that are full-blown lab tests that focus on the presence of a single protein in the toxins. This means you test for fumonisin alone and not a spectrum of toxins including aflatoxin and/or vomitixin.

The recommended maximum levels of the toxin in corn and corn products intended for human food, is as follows:

• two parts per million (p.p.m.) in de-germed dry milled corn products with a 5% or lower fat content, such as corn meal;
• four p.p.m. for whole or partially de-germed dry milled corn products with a 2.25% or lower fat content; and
• three p.p.m. in cleaned corn intended for popcorn.

The recommended maximum levels of the toxin in corn and corn products intended for animal food, is as follows:

• five p.p.m. for horses and rabbits;
• 20 p.p.m. for swine and catfish;
• 30 p.p.m. for lactating dairy cattle, laying hens and breeding ruminants, poultry and mink;
• 60 p.p.m. for ruminants older than three months being raised for slaughter;
• 100 p.p.m. for poultry being raised for slaughter; and
• 10 p.p.m. for all other animals including pet animals.

Again these are, at this point, solely recommendations by the FDA and do not have the force of law. They are however expected to be adopted into general trade standards. In the past, injured parties have used FDA recommendations in court cases to show that a supplier was negligent by not complying with them. The general expectation among those "in the know" is the FDA will continue to monitor fumonisin levels and see if their guidelines have had any effect in lowering exposure to the toxins. We will then see what direction or changes the FDA decides to make from there.

There hasn’t been a whole lot written or said about this program of late, but there is some movement under that still water and you should be brought up to date with the latest changes. The state Dept. of Agriculture (DATCP) has responded to several of the Association’s concerns regarding previous versions of the concept. These included the creation of an oversight board comprised of both producers and the feed and grain industry, and removal of the "stair-step" rate plan for current and debt-to-equity assessments in favor of a "smooth curve." In addition, there have been suggestions by DATCP that most of the businesses currently on grain security would not suffer the potential "double whammy" of paying both assessments and maintaining security during the first years of the program. To achieve this, DATCP would borrow an amount from the state Legislature to "prime" the fund, which would be paid back using assessments from the fund in subsequent years. WASA staff has not seen the exact details of this idea, but it is something that is also a welcome change to the proposal.

DATCP staff has also been reworking the assessment factors and as a result, WASA staff has not had solid figures with which to work and estimate costs for the membership. As soon as there is more solid information to pass along, we will get it to you.

Recently, the Federal Motor Carrier Safety Administration (FMCSA) announced their proposed amendments to the hours of service for commercial motor vehicle (CMV) drivers. This is a sweeping proposal, with potentially significant adverse economic impacts on the grain handling industry, as it would limit the total hours anyone could be paid for, if they also drove a CMV, even incidental to their normal duties. For intrastate operation (exclusively in Wisconsin), these rules only apply to drivers of CMVs which require a commercial drivers license (CDL). However... for interstate operations (both in and out of Wisconsin), this includes CMVs with a gross vehicle weight rating in excess of 10,000 lbs. (super duty pick-ups, one-tons, etc.).

While there is a limited agricultural exemption included in the draft, it would only apply to farmers that operate in only one state and then only during the planting and growing season of that state. Producers with operations straddling state lines, where they go from state to state (even though they stay on their own farm), co-op and other agribusiness drivers would not be exempted.

WASA is preparing comments that will be forwarded to Washington, DC, regarding the potential adverse economic impact these proposals will have on our industry. Anyone wishing to assist in the development of these comments, or would like to obtain additional information regarding the draft rules and their potential impact on your operation, should contact RB Willder in the WASA office.

The Federal Reserve Bank of Chicago (FRB) recently released their Midwestern land value survey. The survey revealed that Wisconsin had the highest average increase in the dollar value of "good" farmland in the survey area on April 1 compared to a year earlier. The survey district included Wisconsin, Michigan, Iowa and the northern two-thirds of Illinois and Indiana. The area in Wisconsin with the highest annual increase in value (12%) was the portion of the state southeast of a line from Green Bay to Madison. The FRB reporting district had an overall average increase of 4%. This was the strongest increase by the district as a whole in nearly two years. Seventy-five percent of the surveyed district bankers did not expect any further increase in land values in the second quarter of this year. Wisconsin bankers, however, broke from the pack with 35% of them expecting further value increases ranging from 5 to 10% in the coming year.

We were recently notified by Grain Journal magazine the WASA website will be featured in an article covering grain and feed trade association websites in an upcoming issue. The real honor is the WASA site was the only state association site spotlighted and compares favorably to national association sites. The site address is www.wasa.org if you wish to check it out for yourself.

We simply wish to remind you to please double-check your address for the WASA offices. As you might be aware, the offices were moved on May 1. We are still getting a lot of mail addressed to our old suite number. The mail is getting through, but the Post Office is re-directing all of it back through their system resulting in additional days of delivery time. The only change is our suite number. The correct address is:

WASA

6000 Gisholt Drive, Suite 208

Madison, WI 53713-4816

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