Farmers talk biofuels tax credit with legislators

INDIANAPOLIS — Lawmakers and farmers mingled at the Indiana Statehouse to enjoy a bacon brunch and discuss farm policies.

The event on Feb. 12 was hosted by Indiana Soybean Alliance’s Membership and Policy Committee and the Indiana Corn Growers Association.

Farmers discussed farm policies that are important to them, including property tax reform, a biofuels tax credit, carbon sequestration, and farmland assessment and preservation.

“We were very happy to see Gov. Mike Braun, Lt. Gov. Micah Beckwith and all of the other state legislators who attended the brunch,” said Brian Warpup, chair of ISA’s Membership and Policy Committee.

“This was a great opportunity to discuss issues that are very important to us. If we are not out here representing ourselves, no one else will do it for us.”

Biofuels Tax Credit

State Rep. Dave Heine, R-New Haven, and state Sen. Brian Buchanan, R-Lebanon, have filed companion bills, HB 1127 and SB 254, to incentivize fuel retailers to offer higher blends of biofuels.

If passed, this legislation will provide a 5-cent-per-gallon income tax incentive for fuel retailers who offer gasoline fuel blends higher than E10.

Incentives for diesel fuel blends begin at 5 cents for B5 with higher credits of 10 cents for B10 and 18 cents for B20 and above.

“Our top issue this year is trying to get a biofuels incentive bill passed in order to drive demand for Indiana corn and soybeans,” said Mark Wenning, a member of ISA’s M&P Committee.

“Most of our lawmakers aren’t farmers, so they aren’t always aware of the issues happening on the farm. It’s important for us to pass on what we’re seeing so that they can make the best decisions for the state and, hopefully, for farmers.”

Did You Know?

• Agriculture adds an estimated $31.2 billion to the state’s economy.

• Indiana’s top two ag commodities are corn and soybeans.

• Ethanol and biodiesel are two leading products derived from corn and soybeans.

• Indiana is the sixth-largest biodiesel-producing state with more than 289 million pounds of soybean oil grown annually going to biodiesel production.

• Indiana is the fifth-largest producer of U.S. ethanol — generating more than 1.4 billion gallons per year.

• Indiana produces nearly 8% of the total U.S. ethanol output.

• There are 15 biorefineries in the state.

• Those biorefineries consume about 43% of Indiana’s total corn crop — more than 450 million bushels.

• A blend of 15% corn ethanol with 85% petroleum gasoline, also known as Unleaded 88, cuts greenhouse gas emissions by 455,000 metric tons each year.

Other legislation being tracked by the organizations include:

• SB28 Ground Water Emergencies would provide protections for agricultural water wells.

• HB1192 Farmland Assessment would offer tax relief for ag land.

• SB7 Agricultural Land Assessment would bring tax relief for ag land.

• HB1219 Taxation of Grain Processing Equipment would change the tax code.

• HB1234 Conservation of Agricultural Land would protect farming in the state.

• SB461 would create a process to help the director of the Indiana Grain Buyers and Warehouse Licensing Agency define how many licenses a grain buyer needs and the parameters for revoking a license.

Bringing Home The Bacon

The event’s menu included pork bacon, candied bacon, applewood smoked bacon and bacon with cracked pepper and fresh rosemary from Indiana Kitchen. The menu also included beef bacon and turkey bacon.

The Perdue poultry company provided turkey sausage links. Maple Leaf Farms donated duck sausage. Milk was provided by Prairie Farms in partnership with American Dairy Association Indiana.

Other Bacon Bar and Brunch sponsors include Farm Credit Mid-America, Corteva Agriscience, Indiana Pork, Indiana Beef Cattle Association, Indiana Dairy Producers, Indiana State Poultry Association, Indiana Ethanol Producers Association, Indiana Farm Bureau and the Bose Public Affairs Group.

This year’s General Assembly will conclude in April. Visit www.iga.in.gov to follow legislation during the session.