Looking to offer Florida’s citrus industry relief in the wake of citrus greening, U.S. Rep. Vern Buchanan’s, R-Fla., measure giving tax incentives to farmers who need to replace trees impacted by the disease passed a key committee on Wednesday and is now headed to the House floor.
The U.S. House Ways and Means Committee, which Buchanan sits on, passed the “Emergency Citrus Disease Response Act” without opposition on Wednesday.
Buchanan brought out the bill back in November with the support of every member of the Florida delegation. U.S. Sen. Bill Nelson, D-Fla., is sponsoring the bill in the Senate.
“The strong committee vote is a clear message: we must do all we can to protect American jobs,” Buchanan said. “We are one step closer to protecting the livelihoods of the 62,000 hardworking Floridians who form the backbone of the Sunshine State’s iconic citrus industry.”
Buchanan’s office explained the congressman’s proposal when he introduced it.
“Under current law, growers are allowed an immediate deduction for the cost of replanting diseased trees, but the farmer must bear the full cost,” Buchanan’s office noted.
“Buchanan’s proposal would allow struggling farmers to use this deduction even if they bring in investors to raise capital for replanting costs, as long as the grower continues to own a major stake in the grove. It also extends this incentive to purchasers of land with diseased trees.”
Over the summer, the U.S. Department of Agriculture found a drop of 16 percent in Florida citrus and experts are projecting an even sharper decline next season with some estimates showing declines of 26 percent.
The decline in Florida citrus in recent years is mostly the result of Huanglongbing (HLB), better known as citrus greening.
Spread by the Asian citrus psyllid, a tiny insect, citrus greening infects trees, leading to deformed and bitter fruit. Eventually, citrus greening kills the tree. One of the few ways to fight citrus greening is by removing the tree.
In 2013, the Florida citrus industry -- which generates $9 billion and employs more than 75,000 Floridians -- saw its worst year in almost a quarter century and that downward trend has been continuing.
Florida Agriculture Commissioner Adam Putnam cheered the committee vote.
“I am grateful for Congressman Buchanan’s leadership on this critically important legislation and the continued support of the entire Florida delegation for Florida citrus, our state’s signature crop,” Putnam said. “Growers are projected to harvest the smallest citrus crop in more than 50 years this season, and they need our support until a long-term solution to greening is discovered. The committee’s passage of the Emergency Citrus Disease Response Act is a big first step toward pushing this legislation and its support for Florida growers across the finish line.”
The full House is expected to vote on Buchanan’s bill next week.
