John - Sierra2theSea

Federal officials weigh ESA listing for monarch butterfly

October 23, 2024
Federal officials weigh ESA listing for monarch butterfly
The U.S. Fish and Wildlife Service is considering whether to list the monarch butterfly as threatened or endangered, which could have land-use implications for farmers.
Photo/Xerces Society/Stephanie McKnight

The iconic monarch butterfly—famed for its vibrant orange and black wings—makes its annual stop along California’s Central Coast this month to overwinter. This journey is part of a multigeneration migration that spans North America, with monarchs traveling as far as Mexico and Canada.

But their numbers have dwindled.

Chip Taylor, founding director of Monarch Watch, said monarch butterflies are affected by hot weather.

“The modest climates that they have been relying on are going to be disappearing,” he said. “Their habitat is going to be narrowed, and their population is probably going to decline significantly over the next couple of decades.”

Taylor discussed the plight of the monarch butterfly during an Oct. 8 webinar, which included a discussion on how a potential action to list the monarch as threatened or endangered under the U.S. Endangered Species Act would affect California farmers and ranchers. The session was led by Western Growers, the California Farm Bureau and the California Association of Pest Control Advisers.

A January count by the Xerces Society revealed that 233,394 western monarchs overwintered in California this year, down from 330,000 monarchs observed in 2023. Today’s population is 5% of what it was in the 1980s, the Xerces Society reported.

Monarch populations have declined due to loss of habitat such as areas with native milkweed, which the species depend on for food and reproduction.

The U.S. Fish and Wildlife Service has until Dec. 4 to submit a proposed rule on whether to list the monarch.

Brigit Rollins, staff attorney for the National Agricultural Law Center, said the agency is required to act as part of a settlement agreement stemming from litigation between the agency and environmental groups.

“Once a species is listed under the ESA as endangered, it automatically gets granted all the protections the ESA has to offer,” Rollins said. That means it will be an ESA violation to “take,” or kill, the species.

A federal monarch listing could affect farmers by limiting use of crop protection materials to protect the butterflies from pesticide exposure and use of property, should it be designated as critical habitat for the species.

“Should the species get listed, especially if it’s listed as endangered, this prohibition on ‘take’ is going to kick in immediately,” Rollins said, adding that a listing would impact potential harm of species through regular, routine use of herbicides or insecticides.

A designation of critical habitat, she said, would affect farmers in cases in which there is a federal nexus, such as working with a federal agency to acquire a permit, receiving grant funding or working on a project.

“This is where the critical habitat rubber is going to meet the road because that agency must ensure that whatever action it is they are doing in participation with you will not cause destruction of critical habitat,” Rollins said.

Kari Fisher, senior counsel for the California Farm Bureau, said many farmers have voluntarily created monarch habitat on their farms.

“There is a concern for those growers that already have put in milkweed, hedgerows or other plants that if the monarch is listed and there is an accidental ‘take,’ that they would be held liable for a violation of the ESA,” Fisher said. In addition, she said, landowners who do certain practices on their property to help a species may also receive “take” protection through a conservation benefit agreement.

To reduce pesticide exposure to listed species, the EPA released an updated work plan that discusses how it will pursue protections for listed species, such as during review of pesticide registrations. The plan also incorporates an action plan for vulnerable species, or species with the greatest risk of pesticide exposure.

Representing farmers and ranchers on the Central Coast, Norm Groot, executive director of the Monterey County Farm Bureau, said with the monarch’s overwintering habitat in Pacific Grove, farmers are concerned.

“What we need to watch out for is how extensive a critical habitat designation is going to be and whether or not that’s going to include rangeland and what that means for grazing cattle and maintenance of milkweed species on that rangeland,” Groot said. “The other concern is if hedgerows would be required around ag fields to support milkweed, which is a food safety issue, as it becomes habitat for insects and rodents.”

Groot said farmers and landowners affected by a potential listing of the monarch butterfly are looking for a balanced solution that protects the species and their right to farm. He cited the greater sage-grouse as an effective example of farm landowners working with agencies and nonprofits to protect a listed species.

If the Fish and Wildlife Service issues a decision to list the monarch butterfly under the ESA by Dec. 4, a public comment period will be announced, and a final decision will be issued. Once the decision is finalized, the prohibition on “take” goes into effect.

California farmers weigh Trump plan to raise tariffs and deport undocumented immigrants

Many California farmers support former President Trump in the November election, frustrated over water politics. But Trump’s most publicized policies could hurt farm production and trade, say some. Western Growers have recently suggested a new trade war with China could hinder California agriculture.

Then there is Trump’s vow to deport undocumented people.Some 50% to 75% of California’s farmworkers are undocumented.Even with this workforce – farmers complain about a labor shortage. Yet Trump has said he wants to deport 11 to 15 million people from the U.S.

The Pew Research Center estimates that 1.85 million immigrants in California were undocumented in 2021, down from 2.80 million in 2007. The share of immigrants who are undocumented declined from 28% in 2007 to 18% in 2021.

How would he do this? Trump says he would deploy the National Guard who can be activated on orders of a governor.This week he promised to to use the 18th-Century “Alien Enemies Act” for mass deportations.

Does he really mean it or is it just overblown rhetoric?

We asked two Central Valley farm leaders about these issues.

Nisei Farmers League president Manuel Cunha says he is no fan of Biden’s border policy but favors a path to legalization for farm workers already here who have lived here for decades.”They have paid taxes including contributing into Social Security” notes Cunha. Kicking these workers out of the country is” not fair” to either the employers or the workers, he maintains.

“Mass deportation is not the answer” even though that’s what Trump’s campaign signs say.

Dairyman Tom Barcellos does not expect Trump to target the working people who are undocumented but rather “unproductive” people like gang members.

Both local leaders suggest they hope Trump, if elected, would surround himself with advisors that would reflect the wishes of the farm industry who needs a stable workforce.

A California Farm Bureau statement offers a plan.” America’s farmers and ranchers are in desperate need of a legal, reliable workforce. President Trump has called for merit-based immigration reform, and that is exactly what this bill does.This bill creates a stringent employment-based program for our current agricultural workforce, requiring significant past and future work commitments, to ensure the stability of American agriculture.”

CFB supports a bipartisan compromise that creates a visa program for the entry of a foreign legal workforce to work in agriculture, and that allows those currently experienced yet unauthorized agricultural workers who pay a fine and pass a background check to continue working in agriculture.

Employers say they need workers not just in agriculture but in the meat industry and in health care among others.

Will higher tariffs hurt?

Farmers have seen this movie before. Before the trade war California’s share of the tree nut market in China had been growing rapidly. But almost all California products exported to China— one of the world’s largest importers of agricultural products—lost significant market share due to the Trump inspired trade war and resulting retaliatory tariffs. The U.S. market share for almonds, pistachios and walnuts fell from 94% to just 53%.This is according to a 2020 UC study.

Recent tariff increases put in place by the Biden administration on electric vehicles, solar cells, semiconductors and aluminum and steel products from China could have a devastating impact on exports of farm products, according to a 2024 study highlighted by the industry group Western Growers.

Economists from UC Davis and North Dakota State University evaluated the potential implications of the U.S. revoking China’s Permanent Normal Trade Relations (PNTR) status, which currently allows China to trade with the United States at most-favored-nation (MFN) tariff rates. They found that if China retaliated against a change in China’s PNTR status, it could lead to a 9.5% increase in China’s agricultural import tariffs, resulting in potential new trade losses to California agriculture of around $1 billion annually.

“The impact on import tariffs for non-agricultural sectors would be even larger, with the average import tariff going up from 3.9% to 32.5%,” Colin A. Carter, a study co-author and a distinguished professor in UC Davis’ Department of Agricultural and Resource Economics, said in the release.

For all California agricultural exports, they estimated an average decline in export value between 28.4% and 34.8% when comparing a scenario where China’s PNTR status is revoked to one where it is not. Some crops that rely heavily on China for exports, such as tree nuts, would be more severely impacted by these effects, particularly considering that some of them are still subjected to residual tariffs from the 2018-19 trade war. Besides milk, tree nuts are the Central Valley’s most important crops.

it is not just California crops that may suffer higher tarrifs.

A new trade war with China could result in deep cuts to U.S. corn and soybean exports, according to a study commissioned by trade groups representing the two commodities.

Asked about tariffs Manuel Cunha says Trump should not target neighboring countries like Mexico and Canada” who have done nothing to us.”

Trump has vowed to put a tariff on cars and parts made in Mexico.US consumers would have to pay the extra cost.Mr Trump has insisted Mexico will pay the tariff.

Taking a different approach, Tom Barcellos notes that Trump imposed tariffs before and it helped “bring companies back to the US to make their products.”

“It brings back a balance” he suggests.

A common theme in discussing Trump’s rhetoric is that his future actions might be more moderate than his latest bluff. Supporters often roll their eyes over some Trump statements with one local hoping that” they put some duct tape over his mouth for the next several weeks. Maybe then, we will win.”

Atmospheric rivers to drench West Coast again

With no wet weather yet in sight this October, meteorological winter is just around the corner, officially beginning in less than two months Dec. 1. The season will have some meteorological twists and turns that may end with a surge of snow and blasts of bitterly cold air.
That’s what private forecast group AccuWeather is predicting this season – mild for most of the United States, similar to last winter, which was the warmest on record. However, that is only part of the story, as waves of frigid air will periodically send freezing air across the country, along with more chances for snow.

AccuWeather’s 2024-2025 U.S. winter forecast- just released – suggests California could see another wet winter punctuated by more atmospheric rivers. The forecast comes as California carryover of reservoir water is plentiful- about 120% of the 15-year average.
3 key factors in the winter forecast

One of the major elements considered by AccuWeather when crafting the winter forecast was La Niña. This phenomenon occurs when water temperatures near the equator in the eastern Pacific Ocean remain below the historical average for an extended period, which can significantly influence weather patterns across North America, including the trajectory of snowstorms.

“La Niña will be weak for most of the winter,” AccuWeather Senior Meteorologist and Long-Range Expert Paul Pastelok explained. “A weaker La Niña can allow other signals to drive the pattern, more variability throughout the winter.” A weak La Niña also makes it more likely that not just northern California will get wet this winter, but Central and Southern California as well.

Another player in the winter forecast is the polar vortex.

Based on data from previous winters with a similar setup to the upcoming season, Pastelok said that February is the most probable time frame for the polar vortex to usher a blast of bitterly cold air across the eastern U.S., but added that it is not a certainty.

A third factor is the temperature of the water in the Gulf of Mexico and the northern and northeastern Pacific. Water temperatures in the Gulf are expected to be higher than historical averages, which can translate to mild air masses for the central and eastern U.S. The warmer-than-average water temperatures in the northern Pacific could alter the storm track at times during the winter for the West Coast, impacting the entire U.S.

Wet Christmas in California?

It felt more like summer across part of the West as October kicked off with record-breaking temperatures, but Pastelok says the heat will soon fade and the wet season will shift into gear before the official arrival of winter.

The frequency of rain will gradually trend upward in November and December, along with snow in the mountains. “I think skiing in the West is looking really good,” Pastelok said. “I think it’s going to get kick-started right for the holiday season,” he added, saying Thanksgiving and Christmas look very good for skiers.

Atmospheric rivers and storms from the Pacific Ocean will focus on the Northwest and Northern California before traversing over the Rocky Mountains as winter gets underway in December. Forecasters are warning, though, that big changes will arrive around the time that 2025 begins.

“Look for a potential shift in the storm track midwinter,” Pastelok said. This new pattern will open the door for storms to track farther south over Central and Southern California and push inland.

January wettest?

January could be the wettest month of the winter for Los Angeles and San Diego, as well as areas farther inland across the Southwest, Accuweather predicts.

In February, the storms’ focus will shift north, once again focusing on the Pacific Northwest and northern and central Rockies. As a result, the ski season could come to an early end at the ski resorts in the mountains of Southern California, northern Arizona and New Mexico.

La Niña winters typically do not result in frequent atmospheric rivers in California, but with a weaker La Niña predicted this winter, it could allow for other factors to dictate the West Coast weather pattern. This is what happened in the La Niña winter of 2022-23 when nearly 40 atmospheric rivers hit the western U.S., many of which impacted California.

Of course that was the year Tulare Lake returned with a big bang.

More extreme weather?

The weather recently has been one of extremes driven by warming temps globally.According to the National Oceanic and Atmospheric Administration, August 2024 was the Earth’s hottest August in the agency’s 175-year climate record, and the Central Valley of California felt this.
UCLA climate scientist Daniel Swain has predicted extreme weather events across the US and California will be more frequent.Just look at what happened in the Appalachian Mountains experiencing “the worst regional flood catastrophe the United States has seen in some years (and likely the worst this region has experienced in recorded history). 20-35 inches of rain fell in less than three days in steep and mountainous terrain, causing rivers, creeks, and streams to not only spill their banks but literally carve new paths through mountain valleys — regardless of what was in the path.”“California faces a real risk of similarly catastrophic flooding.”

Other views
The Center for Western Weather and Water Extremes, or CW3E, based at Scripps at UC San Diego in La Jolla is modeling much of California with a very high chance (>90%) of the 2024-2025 water year being at least 75% of normal. For Sacramento, that would mean roughly 14 inches of rain. However, the chances of most of the state getting an average water year is not nearly as high, only about 20-50%. And the chances of an above average season? At least according to the CW3E data, less than 10-20% for most of the state.

Carol Connare, editor of the Old Farmer’s Almanac, forecasts a “calmer, gentler winter” for 2024-2025. “Temperatures are expected to be higher and snowfall lower throughout much of the United States,” Connare said. “While there will still be winter chill and plenty of powder to enjoy, the overall impact on costs and daily life should be less severe. This winter is anticipated to be relatively uneventful compared to the extremes of recent years.”

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Around Tulare County

Sam’s Club appeal likely

The Visalia Planning Commission approved a Conditional Use permit for the developer of a Sam’s Club on S. Mooney Blvd by a four to one vote this week.

City planner Cristobal Carillo says neighborhood opposition to the project due to noise and traffic issues is likely to result in an appeal of the project to the Visalia City Council.

Carillo says that appeal could be heard in November perhaps November 18 when council meets.

The developer of the project has been trying to meet the concerns of the neighborhood by relocating the proposed gas station at the site to the east -away from neighbors as well as putting up a block wall to reduce noise issues.

The project includes a new 167,000sf Sam’s Club warehouse as well as a Chick-fil-A fast food restaurant.

GA Motorsports relocates store to corner of Burke and Mineral King

Automotive dealer Don Groppetti has remodeled the 20,000 square-foot former car show car showroom at the corner of Mineral King and Burke and has relocated his GA Motorsports motorcycle dealership to the remodeled building from their old location next-door.

A permit request has been filed with the city to demolish the old location at 730 East Mineral King.

Milk prices fall as bird flu cuts local production

Tulare County dairyman Tom Barcellos says milk prices in the past month have dropped about three dollars per hundredweight from $24 to $21 – a big hit to operators’ milk checks. To make matters worse, the impact of over 100 dairies in the Central Valley affected by bird flu has meant a 20% cut in production for some dairymen, says Barcellos. Latest Milk Producers Council newsletter adds to the concern.

“In California, which accounts for about 40% of U.S. NDM(nonfat dry milk) production, avian influenza is spreading rapidly, which suggests that fourth-quarter milk powder output could plummet. It’s difficult to overstate the scale of California’s dairy industry and how quickly the bird flu could spread through the world’s most important milk shed. A severe decline in California milk output could have an explosive impact on dairy product prices in an already tight milk market.”

While the state CDFA does not identify where the dairies infected by bird flu are- beyond saying they’re in the Central Valley – five of the six humans who have contracted bird flu in California are from Tulare County as a result of their contact at dairies.This county is a number one dairy production county.

Published reports have identified dead cows by the side of the road near a Tulare County dairy.

The flu hits the respiratory system of the cow that reports say takes a few weeks to recover from -if they recover. There is some research that suggests diminished milk supply for some of those that survive.

Authorities caution the public shouldn’t worry and that pasteurized milk is safe.

Meanwhile, there is some indication of where the virus may have come from.

“Genome sequencing on the strain of the virus in California cattle is most similar to the strain found in cattle in the state of Idaho,” wrote CDFA public affairs director Steve Lyle in a statement.

Phillips 66 provides notice of its plan to cease operations at Los Angeles-area refinery

October 16, 2024
Facility expects to cease operations in the fourth quarter of 2025
Company will work with the state of California to supply fuel markets and meet ongoing consumer demand
HOUSTON–(BUSINESS WIRE)– Phillips 66 (NYSE: PSX) announced plans to cease operations at its Los Angeles-area refinery in the fourth quarter of 2025 and will work with the state of California to supply fuel markets and meet ongoing consumer demand.

“We understand this decision has an impact on our employees, contractors and the broader community,” said Mark Lashier, chairman and CEO of Phillips 66. “We will work to help and support them through this transition.” Approximately 600 employees and 300 contractors currently operate the Los Angeles-area refinery.

“With the long-term sustainability of our Los Angeles Refinery uncertain and affected by market dynamics, we are working with leading land development firms to evaluate the future use of our unique and strategically located properties near the Port of Los Angeles,” said Lashier. “Phillips 66 remains committed to serving California and will continue to take the necessary steps to meet our commercial and customer demands.”

As the California Energy Commission’s analysis has indicated, expanding supply capabilities will be critical. Phillips 66 supports these efforts and will work with California to maintain current levels and potentially increase supplies to meet consumer needs. The company will supply gasoline from sources inside and outside its refining network as well as renewable diesel and sustainable aviation fuels from its Rodeo Renewable Energy Complex in the San Francisco Bay area.

Phillips 66 has engaged Catellus Development Corporation and Deca Companies, two leading real estate development firms, to evaluate the future use of the 650-acre sites in Wilmington, California, and Carson, California. The firms bring strong track records of solving complex redevelopment challenges and will collaborate with Phillips 66 in an advisory role to advance potential commercial development options that support the regional economy and other key stakeholder objectives.

“These sites offer an opportunity to create a transformational project that can support the environment, generate economic development, create jobs and improve the region’s critical infrastructure,” Lashier said.

About Phillips 66

Phillips 66 (NYSE: PSX) is a leading integrated downstream energy provider that manufactures, transports and markets products that drive the global economy. The company’s portfolio includes Midstream, Chemicals, Refining, Marketing and Specialties, and Renewable Fuels businesses. Headquartered in Houston, Phillips 66 has employees around the globe who are committed to safely and reliably providing energy and improving lives while pursuing a lower-carbon future. For more information, visit phillips66.com or follow @Phillips66Co on LinkedIn.

Latest charts on food-flation

There’s no place like home! Food inflation (at home) is back down to where it was pre-Covid epidemic in 2019 says the latest government statistics.

There’s more good news in that groceries are getting more affordable when you consider the increase in wages in recent years. It takes less time at work to afford a week’s worth of groceries similar to what it was pre Covid.

We got good news & bad

There’s both good news and bad news in the US food economy even as inflation drops. Here are a few tidbits.

A UC study says $20 fast food wage did not increase prices much nor reduce employment

Despite fears that increasing the minimum wage to $20 for fast food workers in California would hurt business, a UC Institute for Research on Labor and Employment study
says the new standard has raised average pay of fast food workers by nearly 18 percent, but did not affect employment adversely. It did increase fast food prices, on a one-time basis only, by about 3.7 percent, or about 15 cents for a $4 item.

Assembly Bill 1228, in effect as of April 1, raised wages for hundreds of thousands of employees who had been earning an average of $16.21 per hour.

As of July, the state had around 750,000 fast food jobs 11,000 more than when the law took effect, according to the U.S. Bureau of Labor Statistics.

Many fast-food chains including McDonald’s, Wendy’s and Popeyes, have recently launched new lower priced value meals to attract customers.

Too many french fries

Lamb Weston, the largest producer of french fries in North America and a major supplier to fast-food chains, restaurants and grocery stores, is closing a production plant in Washington state. The company announced last week that it would lay off nearly 400 employees, or 4% of its workforce, and temporarily cut production lines in response to slowing customer demand.Demand for french fries has declined as consumers dine out less due to inflation

A recent survey found that 68% of consumers are trading down from restaurant meals to food from grocery stores to avoid rising costs. The survey found restaurant food prices rose 5.1% annually, versus 1.2% for grocery prices.

But this month potato prices are down.That could lower french fry prices going forward. Since midsummer, wholesale potatoe prices are down about 25%.

Fall baking prices trend lower

Whipping up those holiday cookies and cakes could catch a break this fall as wholesale prices for both butter and eggs moderate.

CME market butter prices are down to $2.67 a pound this week and egg prices in California have declined to around three dollars a dozen from five dollars a dozen earlier this summer. Add in the sugar where the price is down about 18% in the past year.

Grape farmers face a mixed picture

Shipments of table grapes are up this fall. Good news for farmers, but wine growers are facing what is called a brutal harvest.

USDA shipment numbers for the week of Aug. 25-31 showed total U.S. grape shipments of 4.52 million 19-pound cartons (85.87 million pounds), up 15% from the same week a year ago. California provided more than 99% of all fresh grape shipments, according to the USDA, with very light volume provided by Canada, Mexico, Italy and South Korea.

Through the end of August, season-to-date domestic shipments of central California table grapes totaled 25.4 million containers (482.6 million pounds), up 20% from the same time a year ago.

California Farm Bureau reports wine grape growers are not having a good season with low prices in part due to reduced demand for wine.

A downturn in wine sales worldwide has shaken California’s winegrape sector. After years of growth, U.S. sales have declined for three straight years, with experts forecasting the downward trend to continue.

There are plenty of culprits: a shift in messaging from health experts about how safe it is to consume low levels of alcohol; the industry’s failure to win over younger demographics; market share lost to seltzers and ready-to-drink cocktails; and home inventory left over from pandemic-time “pantry loading.”

The shrinking market has left wineries oversupplied and California’s vineyard acreage out of step with demand.

“It’s not going to be a favorable year for winegrape growers, particularly those who didn’t have contracts going into harvest,” said Jeff Bitter, president of Allied Grape Growers, a grower-owned marketing group that sells winegrapes for 400 growers across California.

Growers typically sign contracts with wineries before planting a vineyard. The contracts provide reliable sales and pricing for their grapes. When they expire, often after five or 10 years, growers negotiate new contracts or sell uncommitted grapes on the spot market.

But this year, with wineries needing to shed inventory, few are buying uncontracted grapes.

“They’re either not buying,” Bitter said, “or they’re setting a very low price and saying, ‘Take it or leave it.’”

Out-of-contract grapes may account for more than a third of the state’s crop,it is estimated. This year, most of those grapes—especially red varieties grown in the Central Valley—could end up on the ground.

Wine drinking is down but so is beer consumption -Oktoberfest feature non alcoholic beer

At this year’s Munich Oktoberfest event some of the booths are featuring alcohol free beer brands.

One report notes that the head brewmaster for Weihenstephan, the world’s oldest brewery, has a secret: He really likes alcohol-free beer.

” Even though he’s quick to say he obviously enjoys real beer more, Tobias Zollo says he savors alcohol-free beer when he’s working or eating lunch. It has the same taste but fewer calories than a soft drink, he said, thanks to the brewery’s process of evaporating the alcohol.

“You can’t drink beer every day — unfortunately,” he joked last week at the Bavarian state brewery in the German town of Freising, about 30 kilometers north of Munich.

Zollo isn’t alone in his appreciation for the sober beverage. Alcohol-free beer has been gaining popularity in recent years as beer consumption shrinks.

At Weihenstephan, which was founded as a brewery in 1040 by Benedictine monks, non-alcoholic wheat beer and lager now make up 10% of the volume. The increase over the last few years, since they started making alcohol-free drinks in the 1990s, mirrors the statistics for the rest of Germany’s beer industry.”

Bird flu continues to spread in Central Valley dairies and some cows die

The count this week is up to 81 California dairies that have been impacted by bird flu to date. The virus does not affect the milk that cows produce that is made safe by pasteurization.

This week,the California Department of Public Health reports that a third possible human case of bird flu has been identified in California. The case was identified in a Tulare County individual who had contact with infected dairy cattle. Specimens are being sent to the CDC to undergo confirmatory testing.

There is no known link or contact between this and the first two cases reported yesterday, suggesting only animal-to-human spread of the virus in California. All three individuals had contact with animals at three different farms. Like the first two cases, this individual also experienced mild symptoms, including eye redness or discharge (conjunctivitis). None of the dairy workers have been hospitalized. The risk to the general public remains low, but people who interact with infected animals, like dairy or poultry farm workers, are at higher risk of getting bird flu.

Experts are still not certain how the virus is spreading, but have settled on the fact that it all started with one animal. While the infected cows typically get better in a few weeks there is evidence that the cows may produce less milk afterwards.Further, dairy farms in California are reporting that the virus is infecting 50% to 60% of their herds, and 10% to 15% of the cows are dying from their infections,according to the California Dairy Quality Assurance Program(CDQAP).

A CDQAP report says at least half of new herd infections have not involved movement of live cows, but the spread happens presumably through contaminated equipment such as trailers or potentially visitors. How much risk is associated with movement of younger and nonlactating cows is under investigation. Sharing of employees with other dairy herds or poultry flocks appears to be a major risk factor. Sampling of wild migratory waterfowl (ducks, geese etc.) throughout the U.S. suggest that these birds are not spreading the disease.

It appears that the lactation curve is being “reset” in recovered cows. A typical example discussed was a cow producing roughly 100 lbs./day, dropping to about 20 lbs. a week later. Production climbed as the cow recovered, plateauing at about 70 to 80 lbs. Whether this approximate 20 to 30% decrease in production represents a permanent change due to scarring of the udder and will persist in the next lactation is unknown. Losses in total herd production varies greatly. The 3-day rolling average in two herds fell by 6% and 16% during the infection period.

Florida citrus industry faces devastation

Hurricane Milton threatens to inflict wind damage in the northern two-thirds of Florida’s citrus belt this week, according to Commodity Weather Group. Orange juice futures rose up to 4.3% on Monday due to the threat to Florida’s citrus industry.

Natural disasters and disease have cut Florida orange production an estimated 92 percent since 2003/04 says USDA.

New annexation planned for industrial park

Will the Visalia boom continue?

Visalia dairyman Jay Te Velde Junior is requesting annexation of more than 300 acres into the City of Visalia that will add still more developable land to the Visalia industrial Park.

This mixed-use development will consist of some residential and commercial designations but mostly industrial uses saa new plan filed with the city in the past few days.

About 225 acres would be zoned for industry . The site is north of Riggin and east of Plaza.The multiple parcels reach close to Hwy 99 to Rd 68 on the northern edge of Goshen.

The proposed annexation adds to five recent annexation projects that will bring more residential, big box commercial and industrial uses as the city expands its reach to accommodate growth. A number of these projects are still in the works, including the annexation that will allow Costco to build a new retail store at Riggin and Shirk that will also add some 500 new homes around it.

Other annexations include a 320 acre industrial project on land owned by the Ritchie family that is in the middle of a EIR process seeking approval probably early next year.

Landowners on the northern tier of Visalia have in the past few decades, cashed in on the fact that development from residential to commercial to industrial particularly has been moving their way.

Names include long time farming families like the Doe family, the Shannons and the Ritchies, and now Te Velde who all own or owned mostly low value field crop land north of the historic city limits. It’s not low value anymore.

Some families have taken a direct hand in the development of these lands like the Shannons who have developed Shannon Ranch and mixed use residential and retail projects like the new northside Costco project expected to break ground in a matter of months.

Of course, the Doe family has a street in the industrial park named after them and annexed 156 acres into the city a few years ago at the NW corner of Plaza and Riggin,later sold to Fresno developer John Brelsford who is marketing it.

Also, as mentioned, the Ritchie family, who is now annexing a whole section of land into the city, has sold off the development rights to Seefried Industries awaiting completion of their environmental impact report before annexation is approved.

This project is a behemoth. National developer Seefried Industrial Properties has come to an agreement with the Ritchie family to build a proposed 3.8 million square foot industrial complex north of Riggin Road between Kelsey Street and Shirk Road. The project is expected to employ 4,100 at build out

Another industrial annexation was recently approved on 80 acres at the southwest corner of Riggin and Shirk by YS industries. The project was recently challenged with the lawsuit claiming that the city allowed the project to move forward without proper environmental studies. The city has rejected the assertion and the applicant expects the project to move forward early next year.Part of the land used to be a dairy.

Now to the west, the dairy family led by Jay Te Velde Junior is planning to develop over 300 acres north of Riggin and west of Plaza(See maps).The specifics of the new Te Velde proposal includes some 225 acres of industrial, about 50 acres of high density residential and 25 acres of commercial fronting on Riggin. There’s also land set aside for a basin.

The Te Velde family relocated their successful dairy operation from Southern California in 1989 and expanded here since. Their Facebook page says Double J Dairy started December 1, 1988, as a partnership between Jay teVelde, Sr. and Jay teVelde Jr. Originally located in Chino, California, the dairy relocated to Visalia in June of 1989. The facility was an open-lot style dairy equipped to milk approximately 1,000 cows. By 1998, the herd expanded to 4,400 milking cows and was remodeled to freestall barns. Over the next two decades, Jay teVelde, Jr. was able to expand his surrounding land base and is now self-sufficient in terms of forages while also diversifying into nut crops.

The Te Velde dairy is north of the proposed annexation on Ave 328. Dairies typically own acreage around their dairy to provide a home for their dairy waste and to grow feed crops for their cows. So it’s not unusual that Te Velde owns substantial acreage nearby.

Family history

Jay Jr penned a paper for his CalPoly studies in 2016 mentioning some family history. The family finds its dairy roots all the way back to George teVelde, the owner’s grandfather. George immigrated to the United States from the Netherlands in 1920. After arriving in California, George found a job as a milker in southern California. Over time George saved up enough to buy some cows of his own. He was fortunate to have the support of his boss, who helped him get started. George spent much of his working life adding to his business. Eventually George’s sons discovered their own passion for the dairy industry. One of his sons, Jay TeVelde, branched off and started his own dairy. Jay, like his father, spent most of working life expanding his business. Also like his father George, Jay’s children discovered a passion for the dairy industry.

Asked this week if he could comment on his annexation request, Jay said he could not. Visalia-based 4 Creeks consultants are steering the project through the city approval process.

Flurry of construction

This new annexation project is happening after a flurry of industrial construction took place in the past few years. Now the boom in industrial building activity has turned quiet in the past year. That can be seen by the shiny new 1.2 million square-foot spec building constructed by CapRock completed earlier this summer that sits empty for now. The building on Plaza north of Riggin is a close replica of two other Amazon buildings nearby. But Amazon remains mum on whether they would lease this massive building as well.

CapRock bought several sections of the land on the northeast corner of Plaza and Riggin in the 1990s from a farm family. They worked for a decade unsuccessfully trying to attract major logistic players to Visalia until they did.The big boom began when CapRock sold the corner of Plaza and Riggin to UPS for a Central Valley shipping hub. Many industrial firms use UPS for their daily package shipments.

At the time we noted “The Visalia UPS super hub’s location is critical, says CapRock’s Pat Daniels, because “only the Visalia/Fresno area can reach 99% of California with overnight shipments. “ The UPS Fresno facility is landlocked for growth and the current Visalia UPS terminal is quite small. On July 10 UPS pulled their permit for the shell of the building valued at $21.2 million.Construction contractor is Layton Construction.”

CapRock set off the Visalia logistics boom, selling acreage to UPS that became a 450,000 square-foot package distribution hub that opened in 2020. That was followed by construction of the 1.1 million square-foot Amazon fulfillment center, operational as of 2021. Between the two locations, 1,700 people are employed.That was followed by a second Amazon warehouse now operating.

As we have noted before, it took 60 years, 1958 to 2018, for the Visalia Industrial Park to get to 16.6 million square feet. But it may take just a few years, say 2018 to 2024, to double that square feet with all the million-square foot warehouses on tap. Looking at land, the district had 381 acres in 2018 and has already doubled that acreage today.

Not unlike the expansion of retail on Mooney Boulevard from 1980 to 2000, where we saw a steady move to open land to the south, the Visalia Industrial Park has seen a steady move north to more open land and adding larger parcels.The recent move north also includes a big retail push along Dinuba Blvd replicating many of the retail tenants we see on S Mooney.Retail has followed a rapid construction of homes in the north in recent years.That in turn has been allowed by city council decision to open its city limits on all sides. But that was held back for a while by a lawsuit requiring ag land mitigation – now an adopted policy.The LAFCO agency has been busy most every meeting recently approved new annexations.

The opening of vast tracts of land for new industrial uses has its pluses and minuses, you could say. For Visalia, opening all these industrial areas promotes new jobs and tax dollars and growth of the city that may be positive or not. The tracks of land are owned by over a dozen major players allowing for competition on land prices. That helps keep locating a large complex here much cheaper to build than in the big metro areas of California.

There might be a slow down in tenant decisions to locate here. But a number of spec builders are building in anticipation that the gravy train will continue in the next year or two and that their investment in building before the tenant shows up- will pay off. That will require more land. It appears Mr. Te Velde is joining the crowd.

Nation’s largest egg producer plans cage free investment

Cal-Maine Foods,the nation’s largest egg producer, plans to invest $40 million in capital projects to expand the company’s cage free production facilities. Construction of five cage free houses that will replace retired caged facilities in Florida, Georgia, Utah, Texas adding about 1 million cage free layers says Cal Maine. Construction is set to begin at the end of this year with completion and summer of 2025.
“We are pleased to announce these new expansion projects, which support our strategy to increase our free-range production in line with customer demand and expanding state requirements for cage-free eggs,” said Sherman Miller, president and chief executive officer of Cal-Maine Foods, based in Mississippi.

The company’s brands are: Egg-Land’s Best, Land O’ Lakes, Farmhouse, and 4-Grain.
The trend towards cage free eggs started in California with the passage of Prop 12 allowing hens more room in their daily lives. Beyond California, the industry has been reluctant to invest in these facilities, but the decision by the US largest producer appears to move the industry in this direction.
Advocates like the Humane League say “Cage-free” refers to farm environments where chickens who produce eggs—known as laying hens (or layer hens)—live in open indoor spaces. Overall, cage-free represents an increased quality of life for hens as compared with those held in cages.

S&P growth past four years 95 percent

How’s that economy? The Standard and Poor’s 500, or simply the S&P 500 is a stock market index tracking the stock performance of 500 of the largest companies listed on stock exchanges in the United States. About 70 million Americans invest in their employee based 401K plans and often follow the S&P.
So when the S&P index grows over 95 percent in the past four years, there is reason to cheer as everyday Americans see their personal wealth compound and grow. The index reached a 52 week high Friday.