The ag law news continues to keep us busy during the month of September!

Corn harvest / Photo by Hannah Shedrow on Unsplash 

* State of Texas takes action on data center projects.  Over the past couple of weeks, there have been a couple of major developments regarding the State of Texas and data centers.

• In August, Governor Abbott ordered the Electric Reliability Council of Texas (ERCOT) and the Public Utility Commission (PUC) to audit all data centers undergoing ERCOT’s interconnection process to ensure that the data center development does not jeopardize the reliability of Texas’ electric grid or put natural resources at risk.
• On September 14, Governor Abbott ordered the Texas Water Development Board (TWDB) to compel data centers to comply with water-use reporting requirements, to impose penalties for failure to do so, and to partner with ERCOT to obtain additional water-use information.
• Last week, Governor Abbott ordered the Texas Commission on Environmental Quality (TCEQ) to halt all data center permits until ERCOT completes its ongoing audit of data centers.
• This week, Attorney General, Ken Paxton, said he was launching an investigation into data centers that have failed to respond to the TWDV’s water use survey.

  Data centers are under initial investigation in counties across Texas, including Harris, Montgomery, Travis, Dallas, Tarrant, Smith, Bexar, Tom Green, Potter, Randall, Lubbock, Midland, Ector, Wichita, Victoria, Brazos, Nueces, and El Paso.  

*WOTUS strikes…again.  The Environmental Protection Agency and US Army Corps of Engineers recently announced a supplemental proposed rule to define “waters of the United States” pursuant to the Clean Water Act.   The agencies say that supplemental rule will further their “commitment to radical transparency” to develop a “durable, final definition of WOTUS that adheres to the Supreme Court’s decision in Sackett v. EPA, cuts bureaucratic red tape, and protects water quality while recognizing that States and Tribes know their water resources best.”  Specifically, the rule will seek comment on definitions for “relatively permanent” waters and “continuous surface connection.” [Read FAQ document here.]

*Senate Ag Committee votes to advance Farm Bill.  The Senate Ag Committee voted 12-11 to advance the Senate version of the Farm Bill out of committee.  The bill will now make its way to a vote of the full Senate.  If passed, it will be reconciled with the Farm Bill language previously passed by the US House of Representatives.

*President signs executive order regarding livestock producers.  On September 4, President Trump signed Executive Orders 14424 and 14425 directing the USDA to strengthen its enforcement of the Packers and Stockyards Act, to expand interstate market access for meat producers, and to support small and regional meat processors.  [Read Orders here and here.]  To read a great article summarizing these actions, click here.

* FinCEN permanently ends beneficial ownership reporting requirements for US persons and businesses; will delete previously provided data.  This marks the end for one of the more controversial federal rules we have written about over the past few years.  The U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) will issue a rule permanently removing the Corporate Transparency Act requirement that U.S. companies and U.S. individuals have to report beneficial ownership information.  The final rule will be effective upon publication in the Federal Register. If someone already reported their information, FinCEN has stated that it will delete previously reported information from United States citizens.  [Read press release here.]

*Lawsuits challenge amendments to the Endangered Species Act.  We have previously mentioned major changes to the Endangered Species Act (ESA) by the Trump administration.  Now, two of these changes are being challenged in federal court.  A number of states filed suits in the United States District Court for the Northern District of California challenging the recission of the definition of “take” under the ESA and the decision to eliminate a rule that has been used in the past to automatically extend full ESA protections to species categorized as “threatened.”  [See Complaints here and here.]

*Article on options for distressed agricultural borrowers.  The National Agricultural Law Center published an article discussing options for distressed agricultural borrowers.

*New Mexico adds a state-inspected meat program.  New Mexico has joined the list of states with approved state meat and poultry inspection program.  Meat inspected under this program will be allowed to be sold intrastate–within New Mexico–only. [Read press release here.]

*Nebraska ranchers file lawsuit for fire damage.  A Nebraska ranch family has filed suit against the Nebraska Game and Parks Commission and a neighboring rancher after a prescribed burn escaped containment killing 46 cows, burning over 3,500 acres, and causing over $270,000 in damages.  The State of Nebraska has filed counterclaims against the neighboring rancher, claiming he served as the burn boss on the day of the fire, and that he took responsibility to decide whether it was safe to burn. [Read article here.]

*Article on farm succession conversations.  Farm Progress recently published an article on farm and ranch estate planning.  They focused on the importance of getting the conversation going between generations.  [Read article here.]

* Tri-State Fair report.  I know (and appreciate!) many of you follow along with my kids and their 4-H project journey.  This week, we are busy at the Tri-State Fair in Amarillo.  My son was crowned the Grand Champion Junior Public Speaker earlier this week.  Both kids won breed champion and reserve breed champion honors in the sheep show last weekend.  Today, we will continue the fun in the livestock judging contest, and they will show steers tomorrow.

Upcoming Programs

October has us hitting the ground running! On October 1, I will be in Plainview for a Texas Farm Bureau Young Farmers event.  Then, I will be headed to the Hill Country for the Bennett Trust Women’s Land Stewardship Conference in Fredericksburg October 5-6.  On October 14, apparently everyone needed a guest lecturer, as I’ll be teaching water law at West Virginia University School of Law, Texas laws for cattle producers at Texas A&M University, and Key Laws for Texas Landowners at Ranch Management University in College Station.  To see my complete schedule, click here.