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One Texas Gov, a $100,000 donation
& the Food-Price Blame Game
Glossing over astronomical oil prices, Texas Gov. Rick Perry swarmed to media microphones for months, claiming ethanol is the cause of high food prices by raising feed costs of poultry and dairy farmers. 
On April 25, he asked for an EPA waiver of renewable fuel standards, which would reduce the amount of ethanol, stretching out our nations oil supply. Perry pressed for the waiver despite an April 10 Texas A&M study that showed a waiver of federal mandates on ethanol production would have little or no effect in driving down the price of feed corn for poultry and livestock. The A&M study blamed rising corn prices on the cost of oil, global demands for corn and commodities speculation.
Follow the Money
If one of his own universities says he's wrong, why would Perry continue this fight? Recent detail have come to life.
Perry's request for a waiver was prompted by a March meeting he had with Lonnie "Bo" Pilgrim, co-founder of Pilgrim's Pride Corp. of Pittsburg, the nation's largest chicken producer. Six days later, Pilgrim gave $100,000 to the Republican Governors Association, chaired by Perry.
In the three weeks following the donation, Perry's staff began preparing to submit the renewable fuel standards waiver request to the Environmental Protection Agency, the Houston Chronicle and San Antonio Express-News reported in Wednesday's editions. The newspapers obtained 596 pages of records from the governor's office through the Texas Public Information Act.
The donation, given March 31, also helped pave the way for Pilgrim to address nine Republican governors during a closed-door energy conference to explain their belief that ethanol production is increasing feed costs for poultry and livestock producers.
Perry aide Allison Castle said political donors get nothing but "good government" from Perry. She said he asked for the waiver because of ethanol's potential negative impact on livestock and poultry producers.
Perry is one of a number of politicians, environmental activists, livestock and poultry associations, and food companies who are involved in the $15 million "ethanol smear campaign" by the Grocery Manufactures Association.
Trying to Save Face
At Perry's request, A&M did a second study that was released in June. It found that if corn crops were short because of Midwestern flooding, a waiver would significantly lower corn prices.
Perry's staff coordinated preparation of the waiver request with Pilgrim's Pride lobbyist Gaylord Hughey of Tyler and Cliff Angelo with Public Strategies, the firm handling a public relations campaign against ethanol for Pilgrim's Pride and a coalition of meat producers.
Jim Schwertner — president of Capitol Land and Livestock, a cattle dealer that feeds about 7,000 head each day — said he brought Pilgrim into discussions about obtaining the waiver. A Pilgrim's Pride spokesman said Pilgrim and Schwertner worked together to persuade state officials to seek the waiver.
Schwertner and Pilgrim met with Perry on March 25. Schwertner said Perry was supportive of seeking the waiver from the start.
Perry, Standing Alone
In filing his waiver request, Perry sent a letter to all 22 of his fellow Republican governors asking them to join him. No other state joined the petition before the deadline passed, though opposition to the mandate also came from numerous members of Congress, including the GOP's presumptive presidential nominee John McCain and Texas Sens. Kay Bailey Hutchison and John Cornyn.
McCain signed a letter to the EPA protesting the mandate less than two weeks after receiving a $1,000 donation from Schwertner, according to campaign finance records.
THE TIMELINE
A look at Gov. Rick Perry's efforts to seek a waiver from federal corn-based ethanol mandates.
March 25 : Poultry producer Lonnie "Bo" Pilgrim meets with Gov. Rick Perry to ask him to seek a waiver from federal mandates for the production of corn-based ethanol.
March 31: Pilgrim donates $100,000 to the Republican Governors Association chaired by Perry.
April 17: Pilgrim speaks to nine Republican governors in closed-door conference on energy in Grapevine, TX.
April 24: Pilgrim's Pride lobbyists and public relations firm Public Strategies meet with Perry's staff on final details of waiver request.
April 25 : Perry formally requests waiver from Environmental Protection Agency.
June 24: Perry attends Washington, D.C., news conference promoting waiver. Event was organized by Public Strategies.
Source:
Texas Governor's Office, Republican Governors Association
July 7, 2008