SENATE Final Reading May 6, 2015First Regular Session Seventieth General Assembly STATE OF COLORADO ENGROSSED LLS NO. R15-1071.01 Rebecca Hausmann x2172 SJR15-031 SENATE SPONSORSHIP Baumgardner, HOUSE SPONSORSHIP Young, Senate Committees House Committees SENATE JOINT RESOLUTION 15-031 Concerning the importance of crafting a solution to Country of Origin Labeling that facilitates free trade with Colorado's largest trading partners without retaliatory tariffs due to the importance of international trade to Colorado's economy and agriculture. WHEREAS, Colorado agriculture contributes $41 billion to the state's economy and employs nearly 173,000 people; and WHEREAS, Canada and Mexico represent the two largest export markets for Colorado agricultural products, together comprising a 42% share of Colorado's export market; and WHEREAS, In 2008 the United States Congress passed a mandatory "Country of Origin Labeling" (mCOOL) law, Pub.L. 110-234, for muscle cuts of meat sold at retail, which law requires meat produced in the United States from imported livestock to bear a different label than meat produced from United States-born livestock; and WHEREAS, Effective May 23, 2013, the United States Department of Agriculture (USDA) adopted a rule implementing mCOOL that requires labels to provide consumers with more detailed information for muscle cuts of meat by requiring that product labels specify the locations of the birth, raising, and slaughter of the animal from which the meat is derived and eliminating the allowance for commingling of muscle cuts of meat from different origins; and WHEREAS, Additional handling costs for the labels are imposed disproportionately on producers that use imported livestock; and WHEREAS, The World Trade Organization (WTO) ruled that the United States' mCOOL law discriminates against imported livestock from Canada and Mexico in violation of U.S. trade obligations; and WHEREAS, If the mCOOL legislation is not brought into compliance with Article 2.1 of the WTO agreement, Colorado could face substantial retaliatory tariffs on exported agricultural and nonagricultural products, which will cause a negative impact on jobs in Colorado and the economy of the state; and WHEREAS, Tom Vilsack, Secretary of the USDA, has called the current mCOOL law impossible to fix via the regulatory process; now, therefore, Be It Resolved by the Senate of the Seventieth General Assembly of the State of Colorado, the House of Representatives concurring herein: That we, the members of the Colorado General Assembly find that: (1) Export penalties on producers are unacceptable; and (2) It is important that the United States refrain from violating the WTO agreement to avoid these export penalties and allow continued facilitation of trade with our two largest trading partners, Canada and Mexico, which represent almost $550 billion in trade with the United States. Be It Further Resolved, That copies of this Joint Resolution be sent to President Barack Obama; the Secretary of the USDA, Tom Vilsack; the United States Trade Representative, Ambassador Michael Froman; the Honorable Michael Bennet; the Honorable Cory Gardner; the Honorable Diana DeGette; the Honorable Jared Polis; the Honorable Ed Perlmutter; the Honorable Ken Buck; the Honorable Scott Tipton; the Honorable Doug Lamborn; the Honorable Michael Coffman; the Honorable Mike Conaway, United States Congressman from Texas; the Honorable Pat Roberts, United States Senator from Kansas; Canadian Consul General Marcy Grossman; and Mexican Consul General Carlos Bello.