However, he noted corn production has only increased by 5.4 percent over that same time period.

Meyer said in his opinion, these differing growth rates and subsequent unprecedented low carryover stocks were primarily caused by ethanol subsidies and guaranteed market.

Specifically, the legislation will set up a process to require the administrator of the Environmental Protection Agency to review twice yearly the U.S. Department of Agriculture’s (USDA) report on the current crop year’s ratio of U.S. corn stocks-to-use in making a determination on the RFS. In years with tight stocks-to-use ratios, a reduction to the RFS could be made.

Kevin Kester, California cattleman and president of the California Cattlemen’s Association, an affiliate of NCBA, said this legislation will provide relief from tight corn supplies.

He said it is important to note that had the RFS been in place since 1969, according to an analysis by Paragon Economics, a reduction in the RFS would have only been triggered five times. 

“Cattlemen are not opposed to ethanol and we’re not looking for cheap corn. We simply want the federal government to get out of the marketplace and allow the market to work,” Kester said during a news conference.

“USDA has projected this year’s corn crop will be more than 400 million bushels smaller than last year. Supplies are already tight due to drought, floods and rising demand, driven partially by the mandate.

“A smaller corn crop will put even further strain on corn stocks. It’s time to add a layer of commonsense to our nation’s renewable fuels policy. We commend Congressmen Goodlatte and Costa for their leadership on this issue and we urge all members of Congress to support this bill.”