What is the Texas Beef Checkoff?
The Texas Beef Checkoff is a producer funded and managed, state-level promotion, marketing, research and education program for beef and beef products.
How is the Texas Beef Checkoff program be funded?
The Texas Beef Checkoff program is funded through a refundable $1 per head assessment on cattle at each point of ownership transfer in Texas. Payment of the Texas Beef Checkoff is mandatory; however, a refund is optional.
When do collections begin?
Collection of the assessment begin October 1, 2014, and continue until the Beef Promotion and Research Council of Texas (BPRC) notifies cattle collection points to cease collection.
Is the Texas Beef Checkoff program different from the current National Beef Checkoff program?
Yes, the $1/head Texas Beef Checkoff program is different and separate from the current national $1/head Beef Checkoff. The Texas Beef Checkoff program is in addition to and may complement and extend national Beef Checkoff efforts.
Unlike the national program, which requires that fifty cents of every dollar collected be sent to the Cattlemen’s Beef Promotion and Research Board for programs, the entire Texas Beef Checkoff assessment is managed by Texas cattlemen and cattlewomen. Another difference is the Texas Beef Checkoff assessment is refundable.
Who manages the money collected through the Texas Beef Checkoff program?
Texas cattlemen and cattlewomen serving on the BPRC manage funds collected through the Texas Beef Checkoff program. This Council is appointed by the Texas Commissioner of Agriculture from producers nominated by the Texas Beef Council.
How is the money be used?
The use of funds is limited by the parameters established in state law, which are beef promotion, marketing, research and consumer education for beef and beef products. The money can be used in Texas, the U.S. and/or internationally. The law does not allow checkoff funds to be used for lobbying activities to influence public policy or government affairs.
I don’t live in Texas, but I sell cattle in Texas. Do I have to pay the state checkoff?
All cattle sold in Texas, including out of state cattle sold in Texas, are subject to the national and state beef checkoff programs. Refunds are available only on the state checkoff.
Can I request a refund?
Yes. A producer who has paid an assessment to the mandatory Texas Beef Checkoff may obtain a refund of the amount paid by filing an application for refund with the BPRC within 60 days after the date of payment. The application must be in writing, on a form prescribed by the Council for that purpose, and accompanied by proof of payment of the assessment. The current national beef checkoff is not refundable. Click here for information on how to request a refund form.
Who is exempt from paying the assessment?
If a person qualifies for a non-producer exemption in the national program, that person would qualify for a non-producer exemption in the state program, under the following conditions:
- the person’s only share in the proceeds of a sale of cattle or beef is a sales commission, handling fee or other service fee; or
- the person:
- acquired ownership of cattle to facilitate the transfer of ownership of such cattle from the seller to a third party;
- resold such cattle no later than 10 days from the date on which the person acquired ownership; and
- certified, as required by procedures prescribed by the Council, that the requirements of this provision have been satisfied.
Is this a government program?
No. Texas law governs the creation of state-level commodity checkoff programs. However, since passage of the producer referendum, the program is administered by cattlemen and cattlewomen serving on the BPRC. The Texas Department of Agriculture maintains oversight responsibility to ensure the integrity of the program.
Does the state government have control over the money collected?
No. According to Texas law, these funds are held outside of the state treasury. This means the Texas Legislature, the Texas Department of Agriculture and any other state governing entity has no jurisdiction over the funds collected through a state-level commodity checkoff program.
Who collects and remits the assessment?
Each collection point is responsible for collecting and remitting the assessment. A collection point is any entity, including an individual, which makes payment to a producer for cattle purchased or facilitates transfer of ownership. The assessment will be remitted to the Texas Beef Council, a contractor of the BPRC, using a new state/national checkoff remittance form. Payment for both the state and national checkoff programs can be made with one check, which is due by the 15th of the month following the month in which the assessment is collected. New forms and instructions will be available after September 1, 2014.