Legislative Update from Washington, D.C.
The American Sheep Industry Association’s lobbying firm – Cornerstone Government Affairs – offered an update this week on legislative issues in our nation’s capital.
Government Goes into a Shutdown after Congress Struggles to Pass Spending Package
The government officially shut down at midnight on October 1, after the Senate failed to pass their stopgap spending bill. The Republican lead Continuing Resolution (CR) would have funded the government through November 21 (like the recently passed version in the House), but failed 55-45, short of the 60 votes needed. Notably, three Democrats voted to pass the CR – Cortez Masto (D-NV), John Fetterman (D-PA) and Angus King (I-ME) and Rand Paul (R-KY) voted against the CR. While this means that most of the governments non-essential services are shutting down until a funding bill is passed, there are still essential services that will continue. Many of these services within the U.S. Department of Agriculture (USDA) include fee-based programs like voluntary food safety inspections, mandatory funded marketing loans and insurance programs, nutrition programs while funding lasts, Title 1 payments etc. The Congressional Budget Office in their memo flagged USDA as one of the agencies where mandatory funding could be tapped to reduce potential employee furloughs within the industry. To look into specific USDA functions during the shutdown, please see their official shutdown plan.
Last week, in a memo issued by the U.S. Office of Management and Budget, the Trump Administration instructed federal agencies to carry out reductions in force (RIF) in during the government funding lapse. The memo instructed department leaders to consider RIFs in any situation where agency programs, projects or activities (PPAs) meet three conditions: “discretionary funding lapses on Oct 1; another source of funding, such as [OBBBA)] is not currently available; and if the PPA is not consistent with the president’s priorities.” Additionally, the memo indicates that once appropriations are enacted, agencies should retain the minimal number of employees necessary for statutory functions, suggesting that the Administration aims to continue its initiatives to reduce the federal workforce from earlier this year.
FDA Conditionally Approves Drug for Treatment and Prevention of New World Screwworm
On Tuesday, September 30, the U.S. Food and Drug and Administration announced conditional approval for Dectomax-CA1, a drug used for prevention and treatment against New World Screwworm (NWS) in cattle. This is the first drug of its kind to receive conditional approval and works to treat the infestation but also protect the animal for 21 days after injection. Dectomax was previously fully approved under the New Animal Drug Application for treatment and control of certain parasites in both cattle and swine. This new development is part of the Administration’s broader effort led by USDA, working in tandem with other federal agencies, to combat NWS. For more information, please see the official FDA press release.
Secretary Rollins addressed state of the farm economy
On Thursday, September 25, U.S. Department of Agriculture (USDA) Secretary Brooke Rollins spoke to the state of the farm economy at the annual Agriculture Outlook Forum in Kansas City, MO. Throughout her presentation, she touted President Trump’s commitment and support for the agricultural industry while acknowledging current struggles American producers face such as the high cost of labor and other increased farm production input costs. She announced that the $2 billion in remaining funding for the Emergency Commodity Assistance Program (ECAP) will be released within the week, in addition to the already $8 billion in assistance that was expedited earlier this year, rounding out the original $10 billion appropriation in last December’s continuing resolution (CR). Rollins also spoke to the Department’s plans to bolster trade through expanding markets and the launch of the America First Trade Promotion Program which utilizes trade promotion funds authorized by the One Big Beautiful Bill Act. Further, she announced that USDA is investing $480 million to procure commodities from American farmers for international food assistance programs, including McGovern-Dole International Food for Education and Child Nutrition and Food for Progress. You can find more information and commentary from the Secretary in USDA’s press release here.
USDA Announces $200 Million for Wildfire Defense Grants
On Tuesday, September 23, USDA announced $200 million in funding for 58 communities through the Wildfire Defense Grant Program. These funds support at-risk communities in updating their wildfire protection plans throughout 22 states and two tribal nations. The program aims to empower local foresters and protect natural resources and infrastructure. A fourth round of grant funding will be announced later this year. The full press release can be found here.
The Australian Wool Market
Records continued to tumble at wool auctions this week, with the AWEX Eastern Market Indicator (AWEX-EMI) climbing a further 112 cents across the two selling days. The gains came
on top of last week’s 109-cent surge and was the fifth-largest weekly rise since AWEX began reporting. The rally has now stretched to 11 consecutive weeks – the longest winning run since 1987. Over that period, the EMI has lifted 358 cents in total, marking it the largest unbroken cumulative increase in the benchmark indicator since 1979. Finer microns again attracted the strongest competition, with buyers narrowing their discounts to secure volume. Solid premiums were still evident for select types, particularly non-mulesed and those carrying certification under integrity schemes such as AUTH, RWS, and SW. A number of ultra-fine lots under 14.5 micron were offered along the eastern seaboard, returning prices from 3,000 to over 8,000 cents per kilogram clean. The highlight of the week was two lots approved as 1PP — the pinnacle of
wool-growing excellence. Other micron categories also performed well with most 19 micron and broader indicators now sitting at or near the 100th decile compared with the past five years. Merino skirtings tracked fleece values higher, meeting strong overseas demand and sparking fierce competition. Crossbred fleece also posted gains, particularly finer comeback types that benefited from alignment with Merino demand. Broader crossbreds were less favored but still managed to hold positive ground. Merino cardings were mixed: true carbonizing types lifted only slightly, while longer types suitable for combing into open tops rose strongly, reflecting the robust demand profile in the Merino sector. Volumes are forecast to lift next week to 40,904 bales in Sydney, Melbourne and Fremantle.
Click Here for the ASI Conversion Chart – AWEX Prices to USD Per Pound.
Source: AWEX
Scrapie-Free Future: Highlights from the ASI & NIAA Forum
In April 2025, ASI and the National Institute for Animal Agriculture hosted a forum with producers, veterinarians, and veterinary officials to discuss the transition to a scrapie-free nation. Supported by Premier One Supplies and USDA, the event explored lessons learned from eradication efforts and what practices may benefit the industry moving forward.
Click here to watch the video