Nassif Sets Stage for Symposium Topics

November 4th, 2015

On Wednesday, September 30, Western Growers President and CEO Tom Nassif was a featured speaker at the Bayer Horticulture Symposium held in Puerto Vallarta, Mexico.

Addressing a multinational audience, Nassif spoke on trends in fresh fruit and vegetable consumption and how the industry is responding to evolving demands from buyers and consumers.  He was one of the first speakers of many during the two-day conference that explored the worldwide horticultural sector and how it adapts to a changing world.

Citing a recent survey from the Produce for Better Health Foundation, Nassif noted that while per capita consumption of produce has declined in recent years, there is a positive upward trend among younger demographics, which bodes well for the future.  Even so, Nassif pointed out that Americans consume less than half of the daily recommended amount of fruits and vegetables, leading to substantial public health costs.  By closing the consumption gap, the United States could save more than $60 billion per year in costs related to cancer, coronary heart disease, and stroke—not to mention countless lives.  However, the federal government does not place a high enough priority on programs that encourage increased produce consumption, according to Nassif.  Case in point: while U.S. dietary guidelines recommend that fruits and vegetables comprise more than 40 percent of our daily intake, USDA spending on programs related to this food group amount to less than 15 percent of its total budget.

Shifting to evolving buyer and consumer demands, Nassif articulated that agriculture is “facing increased scrutiny for our use of inputs and resources,” and that buyers and consumers are “becoming more sophisticated, more concerned about where and how their food is grown,” especially in light of the ongoing drought in the western United States.  More and more, agriculture is being made to account for the environmental impacts of our operations, as evidence by the growing legislative, regulatory, and marketplace pressures being placed on the industry.  But WG’s CEO expressed optimism for the future, articulating that “the enduring characteristic of our industry is adaptability,” and despite the many challenges facing our industry, “somehow we manage to stay in business and continue feeding the world.”

Nassif spent the balance of his speech highlighting some of the innovations that will allow agriculture to thrive in the 21st century, including the development and adoption of technologies related to precision irrigation, mechanical (and, eventually, autonomous) harvesters, renewable energy, food waste, and vertical farming.

 

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LEGISLATOR PROFILE: Jacqui Irwin represents California’s 44th Assembly District including Oxnard, Camarillo and Thousand Oaks

November 4th, 2015

(Editor’s Note: The questions and answers have been paraphrased for brevity and clarity)

 

Jacqui Irwin was first elected to the Assembly in 2014 after serving 10 years on the Thousand Oaks City Council, including two stints as mayor.  She was the first Democrat elected in Thousand Oaks in many years, and replaced Republican Jeff Gorell in the Assembly, as he ran for Congress instead of seeking reelection.

 

Where did you grow up and were there any defining moments in your youth?

I was born in the San Fernando Valley to Dutch immigrants.  We actually moved back to Holland for several years when I was very young, but then we returned to the San Fernando Valley and we lived in Woodland Hills, which is where I was raised.

I wouldn’t necessarily say it pointed me into the political arena, but I was a swimmer when I was growing up and when I went to Taft High School, they only had a boys swim team.  In 10th grade, I had to compete against boys.  As you get older that becomes much more difficult, so every day I would go to the principal’s office and tell him we needed a girls swim team.  First he said we didn’t have the money.  He eventually gave in and established a girls team.  We ended up being very successful and came in second in the Los Angeles City Finals.  And in fact, the relay team I was on won the championship.

I have to say that opened my eyes to how important it is to fight for women’s rights.  It made me realize how important Title IX was for women (federal regulation requiring schools to treat girls equally with regard to sports teams.)  It was a game changer.  A very high percentage of women CEOs in corporate America competed in sports in high school or college.

 

Did you continue to compete when you entered college?

Yes I did.  I went to UC San Diego where I swam for four years, did two years of rowing and two years of water polo.  I graduated in five years and there was not a semester when I wasn’t involved in sports.

 

What was your major in college and tell me about your early work history?

My dad was an engineer with a very inspirational story.  He came to California from Holland and worked his way up the ladder in the aerospace industry with no bachelor’s or master’s degree.  He always talked about the importance of getting a technical degree, which would allow you to do anything you wanted in the future.

I majored in systems engineering and worked in engineering for a number of years.  I first worked in Maryland at Johns Hopkins University Applied Physics Lab.  Then I worked at Teledyne Systems until I quit to raise our three children.

 

How did you get involved in politics?

I am someone that also has to be involved in something.  When I was home with the kids I started an after-school enrichment program.  Eventually my boys got involved in football and I became the president of the youth football league.  I didn’t know the rules of football…and still don’t…but I love what sports do for kids.

As my kids got older, I noticed that the high school football field (in Thousand Oaks) was not in good shape and was actually dangerous to play on.  I started working with others on this project and eventually we brought together all three schools and a huge group of parents and kids and went to the city council with a proposal to build brand new sports facilities.  The city partnered with the school district and we got it done.

At the time I was not thinking about a career in politics, but some people urged me to run for city council.  I did so and served for 10 years from 2004 to 2014.  When Jeff Gorell decided not to seek reelection, I was urged to run for the Assembly and I did.  It seemed like a good fit for me.

 

Was it a difficult decision?

When I was on the City Council, I never really thought about running for the Assembly.  It is very different.  When you are on the city council, it is non-partisan and you are just concerned about getting things done locally.  When you are in the Assembly, people make automatic assumptions about you because of your party affiliation.  That’s very different.

I am a problem solver and I have no problem working across the aisle.  In Thousand Oaks, I was the first Democrat elected in 25 years.  My Assembly District might be the most balanced district in the state.

 

Did you come to the Assembly with an agenda?

I had three main things on my agenda.  First was education.  I think education should be the top priority in the state.  We need to spend sufficient funds for K-12 education as well as for the Cal State Universities and the UC system, which is the finest system in the entire country.  We have income inequality in California which affects education.  We need to make education our top priority.

The second thing was the budget issue and the third was creating more jobs in the state.  Some businesses are moving out of California and we need to figure out what we can do to change that.

 

Agriculture is a big part of your district.  Were you well versed on the subject before taking office?

I eat.  Thousand Oaks has no agriculture so I was not involved in that community when I was on the city council.  Although we do have Underwood Farms in our area and every kid takes that trip while in school.

But now that I am in the Assembly and represent Oxnard, I certainly see the value agriculture has for the state and our county.  I do represent agriculture in the State Legislature.  I think if you surveyed the people in my district they would tell you that agriculture is very important for Ventura County.

We do have a fairly unique situation as we have quite a bit of farmland and also a very urban district.  I know that can create conflicts.  When I see a field running up to the boundaries of a school, I know we are going to end up with some conflicts.  We need to create buffer zones between the urban areas and the fields.

But I think agriculture in Ventura County is very progressive especially in areas of sustainability and water conservation.  We have farms such as Houweling’s Tomatoes that has a tremendous solar installation.  And Gills Onions is cutting edge when it comes to using waste to produce energy.  We have a company called Agromin that is doing some very innovative things with soil and CoolTerra has some byproducts that allow for very efficient use of water.

 

When talking to the agricultural community in your district, what do they tell you is their biggest issue?

The biggest issue right now has to be water.  I do have an ag advisory committee and we have talked about potential solutions.  We put together a group and are currently talking about using the water purification plant to deliver waste water to farmers.  The problem was there was no infrastructure in place.  Someone came up with the idea of using the “brine line” to deliver this treated water to farmers and we are trying to put that together.  I talked to the state water control board and I think by November we are going to have the first water deliveries.

 

What is in your political future?

I am not looking beyond my next election.  I believe that increased term limits have given us a great opportunity to serve and get things done.  Under the old term limits, the average term in the Assembly was three and a half years.  Now Assembly members can serve for 12 years.  Instead of just pushing a lot of bills, that allows the Legislature to be more thoughtful and fill the oversight role of government that we are meant to fill.  In the long run, I think this will be better for California.  I am very excited about what we can accomplish.

 

Our members and many of your constituents produce some of the best fruits, vegetables and nuts in the world.  Do you consume our products and do you have a favorite?

I have to say that the strawberries out of Oxnard are the best in the world.  I love strawberries from our roadside stands and farmers markets.  And you can’t beat Ventura County avocados.  They are the best.

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Laying the Foundations for Immigration Reform

November 4th, 2015

While much of the recent public attention on immigration reform has been negative, Western Growers and many others continue efforts to educate members and quietly encourage the need for rationale rhetoric and positions from conservative-oriented officials.

It is no secret that Western Growers has been engaged in shaping the agricultural provisions of immigration reform over the past several years.  We were founding members of both the Agriculture Coalition for Immigration Reform (ACIR) and the more-recently formed Ag Workforce Coalition (AWC).  Our work with these groups has been critical to shaping the policy, political, and public relations aspects of agriculture’s immigration needs, and that work will continue until we are ultimately successful in enacting immigration reform.

What may not be so well-known is the work our organization has done in conjunction with pro-immigration reform groups outside the agriculture sector, including the U.S. Chamber of Commerce, high-tech groups such as FWD.us, the Partnership for a New American Economy (PNAE), and the National Immigration Forum’s “Bibles, Badges and Business” coalition.  Our efforts to work closely with these groups has been a more recent development as we attempt to move immigration reform forward.

Over the past few years, some of the highlights this engagement has created includes: WG CEO Tom Nassif keynoting a multi-sector fly-in sponsored by BBB, PNAE and the Chamber, Nassif speaking at a press conference at the U.S. Chamber with other major business associations in D.C., and Western Growers Colorado member Robert Sakata, along with local business and faith leaders, meeting with Vice President Joe Biden in Denver.  Beyond these, there have been a number of other Congressional meetings and joint press opportunities that have occurred through our expanded engagement.

The Bibles, Badges and Business Coalition has been one of the more important groups we have engaged in the past three years.  The coalition brings together those with business/economic interests, faith-based groups especially conservative evangelical voices like the Southern Baptist Convention and Focus on the Family, and law enforcement.  We are involved in the strategy of this coalition to regularly engage with Washington, D.C., policy-makers as well as at in-state, constituent-focused events.

The real value of this engagement is both the ability to ensure messaging on agriculture-specific components of immigration reform reflect our priorities and to amplify pro-immigration messages across the center-right political spectrum.  We have learned through the years that enacting immigration reform only for agriculture isn’t politically feasible, and we have also learned that the influence of labor-intensive agriculture is limited in terms of congressional districts.  Working in coalition with this group has allowed us to make the conservative economic, moral/ethical, and security argument for reform in Republican offices that may not care about who harvests their fruits and vegetables.

Even if immigration reform legislation doesn’t move forward in 2015 or 2016, our work in these broader coalitions is critical in setting the stage for action in 2017.  We need to continue making the broad case for why reform is critical.  We need to encourage presidential candidates to not give into harsh rhetoric that panders to what a small slice of the Republican electorate thinks, and we need to continue demonstrating that while anti-immigrant groups may be loud, there is a silent majority that supports sensible and pragmatic solutions to our immigration system.  Increasing the size and volume of that silent majority is one of the main goals of our work within these coalitions.

Whether we are discussing immigration policy, environmental regulation, water policy, expanding export opportunities, or technological innovation, it is increasingly important to partner with broader coalitions.  A significant component of our work in D.C. is participating and leading in these coalitions.  Gone are the days when any single group can make the argument for their issue to a small group of congressional legislators and expect their priorities to be addressed without question.  Today, the case still has to be made in D.C., but it also has to resonate with constituents in diverse congressional districts across America.  The broader the coalition, the more this impact is felt.

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What is the Role of ET in Agriculture?

November 4th, 2015

Forrest Melton, a well-respected senior research scientist, recently said: “When people hear that NASA (the National Aeronautics and Space Administration) is interested in understanding E.T., the last thing that may come to mind is agriculture.”

Though extraterrestrials may come to mind first when confronted with the ET acronym, the reality is Melton is talking about evapotranspiration (ET), which is an abstract term for many, though current research efforts are starting to change this perception.  Of particular interest is the work that the NASA Applied Sciences Program is conducting on operational testing of satellite data for ET applications.  But what do we know about ET and how does it relate to agriculture?

I have found a lot of interesting information recently related to the use of ET in irrigation management from interactions with producers, academia, researchers, technology firms, NASA and the California Department of Water Resources (CDWR).

Evapotranspiration can be complicated to many people, but the term simply refers to the sum of water evaporated from the land surface and transpired from plants.  ET provides a measurement of vegetation water use, and weather stations data enable calculations of reference evapotranspiration (ETo).  However, the actual ET for a particular crop is often calculated from ETo and crop coefficients (Kc) that account for the crop type, stage of growth and plant health.  Kc’s have been developed for many crops and are available through UC Cooperative Extension publications.  The crop-specific ET has the potential to be a great tool for irrigation scheduling because it accounts for ET losses by crop.  This means ET provides the amount or depth of water that needs to be replaced by an irrigation system to meet water needs for that particular crop.

Many producers in the Central Coast rely on different tools to make irrigation decisions.  These tools include web-based information provided through soil monitoring devices, the use of ETo data provided by weather station systems, crop coefficients provided by UC Extension, the stage of the crop, weather forecasts, the use of soil probes, actual observation and the “feel and appearance” method.  In general, California, Arizona and Colorado producers utilize a combination of irrigation systems/tools to manage irrigation.  The use of ET is greater among producers of longer cycle crops such as wine grapes, avocados, nuts, wheat, corn and alfalfa than other shorter cycle crops like leafy greens.  The use of ET is still uncommon among producers of vegetable crops.

Two recent research projects highlight interesting developments in the use of ET in irrigation management.  The first project, Satellite Mapping of Agricultural Water Requirements in California, was sponsored by NASA and resulted in the development of a web interface (the Satellite Information Management System – SIMS) that provides visualization and data access through mobile platforms and irrigation management tools.  SIMS provides information on crop development and water demands for approximately eight million irrigated acres in California and is updated every eight days.  Field testing is currently ongoing with several producers, and to date, field trials have documented good agreement with ground-based ET measurements.

The second project, Testing Decision Tools for Irrigation Management in California Specialty Crops, was sponsored by USDA and the California Dept. Food and Agriculture.  It compared crop yields and quality from ET-based irrigation scheduling with standard irrigation practices.  Two decision tools were tested: SIMS and the UC Cooperative Extension’s CropManage.  Senior Research Scientist Lee F. Johnson, one of the project researchers, found that both tools provided similar guidance on crop water requirements.  Using these tools, commercial yields of head lettuce and broccoli were realized under full ET-replacement irrigation regimes with applied water 20 to 30 percent below standard irrigation practices.  A second set of trials is currently ongoing to examine ET-based irrigation in leaf lettuce and cabbage.

These two projects suggest that ET can offer potential benefits for irrigation management.  Evapotranspiration has not been completely explored among many vegetable crops for different reasons, including: 1) lack of knowledge about how to use it, 2) lack of confidence about the reliability of the data, 3) current irrigation delivery systems constraints (some producers must place water orders 2 to 7 days in advance and cannot adjust quickly to meet real-time water needs) and, 4) lack of technical assistance.

However, many ongoing efforts are addressing these challenges.  For example, current research efforts are aimed at providing data reliability and integrating ET data into online irrigation scheduling calculators.  Outreach efforts and technical assistance, business logistics and infrastructure are also playing a key role.

WG’s Science and Technology Department will be hosting a webinar in November on this topic to provide practical information about the challenges and benefits associated with the use of ET in irrigation management.  WG members are invited to join this webinar.  Additional information and registration information can be found on our website, under the events section (www.wga.com/news-and-events).  Join this conversation by providing your comments and thoughts.

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Ninth Circuit Says PAGA Claims Can’t be Waived

November 4th, 2015

The U.S. Court of Appeals for the Ninth Circuit recently held in a 2-1 decision that the Federal Arbitration Act (FAA) does not preempt the rule announced by the California Supreme Court in Iskanian v. CLS Transportation Los Angeles, LLC that representative claims brought under California’s Private Attorney General Act (PAGA) cannot be waived.  The Ninth Circuit found that the Iskanian rule did conflict with FAA’s purposes and that PAGA claims cannot be waived under California law.  The court reversed a district court’s decision compelling arbitration of an employee’s PAGA claim.  (Sakkab v. Luxottica Retail North America, Inc.)

Shukri Sakkab had been employed by Lenscrafters, a Luxottica company.  He brought a wage and hour class action against Luxottica and a non-class, representative claim seeking civil penalties under PAGA.  The district court granted Luxottica’s motion to compel arbitration and to dismiss all of Sakkab’s claims, including the PAGA claim, based on an alternative dispute resolution (ADR) agreement that Sakkab signed during his employment that included a waiver of all employment-related, class-based and representative claims.  Sakkab argued that his PAGA claim could not be waived, but the district court ruled that the FAA would preempt any state rule that held waivers of PAGA claims to be unenforceable.

Following the district court’s decision, the California Supreme Court held in Iskanian v. CLS Transp. Los Angeles, LLC that waivers of PAGA claims are unenforceable.  Sakkab appealed the district court’s dismissal of his PAGA claim to the Ninth Circuit, relying on Iskanian.  On appeal, Luxottica argued that the FAA preempted the Iskanian rule.  The Ninth Circuit reversed the district court’s order to compel arbitration of Sakkab’s PAGA claim, holding that the FAA did not preempt the California Supreme Court’s ruling in Iskanian that PAGA waivers are unenforceable.  The court further held that Sakkab’s PAGA waiver in the ADR agreement was unenforceable and Sakkab’s PAGA claim could proceed.

The Ninth Circuit’s decision confirms that Iskanian prohibits an employer from requiring employees to enter into an arbitration agreement that waives representative PAGA actions.  California employers now cannot enforce waivers of representative PAGA claims in state or federal court.  Employers should review their arbitration agreements to ensure they comply with Iskanian and Sakkab.

 

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Governor Brown Signs “Country’s Toughest Equal Pay Law”

November 4th, 2015

On October 6, 2015, Governor Jerry Brown signed the California Fair Pay Act (SB 358) —considered to be the toughest equal pay law in the country.  The law strengthens existing gender pay equity protections for workers and imposes stiffer penalties for gender-based wage discrimination.

Specifically, the law prohibits employers from paying different wage rates for “substantially similar work.”  Traditionally, aggrieved employees had to prove they were being paid less for “equal” work in the same establishment.  Now the burden is on the employer to explain the pay differential between employees by demonstrating the difference in pay is based on seniority, merit or work quantity or quality.  An employee who successfully proves an equal pay claim may recover backpay, liquidated damages, interest, and any costs and attorneys’ fees incurred in bringing the action.

The new law also prohibits retaliation against employees for discussing their wages or exercising their rights under the law. However, the law expressly states that “[n]othing in this section creates an obligation to disclose wages.”  In addition, California employers will now be required to maintain records of employee wages, “job classifications, and other terms and conditions of employment” for three years instead of two years under existing law.

An employee can file a civil lawsuit or an administrative complaint with California’s Division of Labor Standards Enforcement if the employee “has been discharged, discriminated, or retaliated against” for discussing, questioning, or disclosing employee wages.  An employee may obtain reinstatement, backpay and interest for bringing a successful retaliation claim under the new law.

The new law goes into effect on January 1, 2016.  Employers should review their pay policies and begin performing skill assessments to identify bona fide factors other than gender for pay differentials or consider adjusting pay to achieve wage parity where such factors are absent.

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Techniques to Reduce Losses & Costs in Workers’ Comp

November 4th, 2015

By Matt Bigham

 

Employers face a multitude of insurance challenges in today’s market.  The Affordable Care Act (ACA) has understandably garnered a majority of the insurance media coverage since it fundamentally changed how medical insurance is offered.  However, dramatic changes in the workers’ compensation market should pique the attention of employers as well.

Why?

Because the ACA has begun to shift some healthcare costs from health benefit providers to workers’ compensation policies.  Combined with increasing workers’ compensation costs, agriculture employers face increasing challenges to obtain options for coverage.

Agriculture is viewed as a high-risk industry in the workers’ compensation market.  Few carriers list the industry as an acceptable risk.  As a result, Western Growers Insurance Services (WGIS) recommends that every agriculture company implement various risk-reducing measures such as loss control, claims management and most importantly, staff education to enhance the company’s viability as an insured client and to make the industry as a whole a more viable option for insurers.

A key figure to be aware of is a company’s workers’ compensation loss ratio.  This is calculated by dividing total loss dollars by premium dollars.  A profitable threshold account for an insurance carrier is a 65 percent loss ratio.  Anything above that and a carrier might shy away from working hard to get your business with attractive rates.  A lower loss ratio is more appealing and motivates carriers to provide more competitive pricing for prospects.

Rita Carey, workers’ compensation claims analyst for WGIS, sampled 15 customers that have worked with WGIS for at least three years and have applied risk-reducing initiatives.  Rita found that claims management and staff education were critical in reducing the loss ratio for accounts.  Loss control, which focuses on preventing injuries in the work place, has an impact on reducing losses, but injuries occur even in the most attentive environments.  Rita found that if a company manages claims with the goal of simply getting them closed, it has significant effect on the experience modifier (ex-mod) and loss ratio.  Additional improvements were gained by educating supervisory staff about the ins-and-outs of the workers’ compensation system.  Combining loss control, claims management and staff training in a consolidated effort can have a significant impact on your loss ratio and ex-mod, which will ultimately reduce your workers’ compensation premium costs.

Focusing on these issues can reduce claims frequency, average annual incurred costs of claims, average cost per claim and the annual loss ratio.  The chart below illustrates these results.

Managing the factors that can drive up workers’ compensation costs is a smart way to reduce your premiums.  Let WGIS assist you in achieving those goals.

 

Rita Carey is the workers’ compensation claims analyst for Western Growers Insurance Services. Rita has an extensive background in workers’ compensation, risk management and human resources.  She was a workers’ compensation claims adjustor for several years for a large self-insured employer before acting as the risk manager and human resources director for a major industrial manufacturing entity.  Rita has many years of experience working on all sides of workers’ compensation issues both as an adjustor and an employer.  She has worked closely with many WG members on improving their workers’ compensation programs and results.  Rita can be contacted at [email protected] or at (949) 885-2286 for more information.

 

 

 

 

Element

Before Training

After Training

Difference

Payroll dollars per
workers’ comp claim

$758,034.96

$1,280,062.30

Improved 41%

Average annual
total claim costs

$129,086.89

$68,370.16

Improved 47%

Average cost per claim

$12,703.53

$8,654.86

Improved 32%

Average annual loss ratio

86%

31%

Improved 55%

 

 

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SUSTAINABILITY: Bayer Symposium Focuses Attention on Issue

November 4th, 2015

Bayer CropScience proactively changed its strategy in the horticultural sector five years ago toward an approach to help growers, shippers and distributors be more profitable.

Klaus Koetting, who is the head of the fruit and vegetable and insecticides sector for the German-based company, said the firm determined that the best way to increase sales was to help producers be more profitable.  Recently the company held a two-day seminar in Puerto Vallarta, which featured a plethora of experts presenting on issues from both from the 40,000-foot and ground levels.  Broad topics of sustainability were explored as well as examples of individual solutions to individual problems.  One theme that surfaced time and time again was how to use fewer chemical tools to create a more sustainable future in the agricultural realm.  Bayer plays in this field with its increased focus on biologicals over the past several years.

In a separate discussion, Koetting said making sure growers can be productive producers and good stewards of the land is a definite goal of one of the world’s leading agricultural chemical suppliers.  The seminar featured almost three dozen speakers talking about production issues in the Americas.  (See sidebar story of WG CEO and President Tom Nassif’s address to the group.)  Many crops were talked about during the meeting but separate discussions were reserved for five main horticultural crops: tomatoes, bananas, citrus, grapes and potatoes.

Mathias Kremer, the head of strategy and portfolio management for Bayer CropScience, revealed just how large the horticultural sector is.  There are 240 million hectares in fruit and vegetable production around the world, which produce a total of 2.7 billion tons of product.  Bayer has 7,400 agronomists stationed in 120 countries working with horticultural products.  More than a quarter of the company’s revenues come directly from this sector.

In the specific discussion of the tomato crop, Alberto Torres, who is the food safety manager for the Mexico-based firm of Agricola El Rosal, said that “social responsibility’ is extremely important in fruit and vegetable production today.  That theme was reiterated throughout the two-day event.  He noted that not only do buyers talk about it all the time, but during the recent U.S. visit by the Catholic pope, Francis, social responsibility was an important item.

Geert Janssen, R&D Tomato Team Leader for Bayer, said that breeding priorities have changed over the years which makes that job all the more difficult.  He said “breeding is a long-term vision.”  The breeder first evaluates a variety that won’t be on the market for a decade.  He needs to guess right about the traits that growers will be looking for 10 years down the road.  Of course the agronomic traits of yield and disease resistance are important.  But flavor, looks and sustainability have to be considered as well.  What will tomorrow’s grower be looking for in 2025?  Those are the seeds the breeders are currently evaluating.  He did say that marker-assisted breeding has the capability of helping researchers speed up the process and transfer advantageous traits into new varieties.  He was quick to add, however, that this is not genetic modification.  He said at the current time Bayer has no GMO research moving forward.

The citrus discussion was very sobering as the topic was the dreaded greening disease that has devastated Florida, greatly impacted Brazil and is being mightily fought in California and Texas.  Tim Anglea of Coca Cola, a major buyer of citrus for juice, noted that in Florida “thousands of jobs, millions of tress and billions of dollars” have been lost because of the issue.  Florida’s production is down significantly this year to the lowest level in half a century.  He said 90 percent of the trees in Florida have been affected.

It is a global problem.  Brazil, which has more citrus trees than any country in the world, has seen 34 million trees uprooted.  Because of the size of the industry in that country, that only represents 18 percent of the crop.

Anglea revealed that Coca Cola has launched an incentive program to convince growers to replant.  He said the pace of replanting is too slow and the beverage giant is hoping to see 25,000 new acres and five million additional trees planted over the next few years.

Bayer’s expert on the subject—Steve Olson—said there is still no cure for HLB (Huanglongbing) or a surefire way to eradicate the Asian Citrus Psyllid that carries the disease, but Bayer is working to find crop protection options.  Currently, any tree infected probably should be removed.  Why the problem is so difficult is that symptoms appear gradually but the disease spreads very easily.  A grove can become infected very quickly before action can be taken.

The discussion about potatoes included Neil Gudmestad, a well-known potato researcher who plies his trade at North Dakota State University.  He noted that “large buyers, political activists and anti-ag zealots” are pressuring potato growers in the Midwest to produce more sustainably.  “We must accelerate our efforts,” he said, though clearly disagreeing with the tactics of all of those groups.

While he agreed that the effort toward more sustainable crop protection tools was a good thing, he appears to be well past the debating stage.  “We have a definite need to change the way we are doing things,” he said.  “There is a critical need to identify biological controls” for the diseases impacting potatoes.

A panel of growers from Peru and Mexico cited food safety and labor as the two top challenges facing production agriculture in the world.  Felix Tarrats, managing director of Mexico-based Ceickor, said generally people do not want to work in the field harvesting crops.  “It happened in Europe; it happened in the United States and it’s happening in Mexico.”  Climate change and lack of rain also appear to be universal problems.

A session devoted to sustainability explored various approaches to help growers use less inputs and be better stewards of the land.  Ben Hogsburgh of Univeg advocated for “intelligent collaboration” stating that working together growers can become more sustainable.  He discussed the “hot spot approach” which involves analyzing an operation and prioritizing where one can get the most bang for the buck.  He discussed a couple of collaborations that have worked very well to increase the sustainability quotient, including an Ecuadorian banana effort.

Jose Dominguez, Bayer’s marketing director for fruit and vegetables in Latin America, discussed Bayer’s web page—foodchainpartnership.com —which details 10 years of successful projects to bring safe, sustainable produce from the field to harvest.  The website discusses many of these efforts in detail and can be a good resource for growers.

Ronald Guendel, who works in political affairs and stakeholder relations for Bayer, discussed BAYGAP, which helps growers establish a sustainability plan.  The details of this program can be found on Bayer’s website.

Still another speaker was James Christie of Bryant Christie, a firm that helps companies gain access to international markets.  He specifically talked about MRLs (maximum residue levels) and their growing use by countries all over the world.  He said many, many countries have established new MRLs and the rate at which they are being used to limit imports varies from country to country.  He argued that it is very important for an exporting company to know the regulations of each country and how serious they are in enforcing these regulations.  Bryant Christie updates its MRL data base constantly and appears to be a great resource for export help.  For example, he said China is establishing many new MRLs, but currently it has not issued many violations.  South America has no testing or violations at this point.  Canada, he said, generally uses default tolerances and has a very generous leeway for violations.  He called it “the most generous in the world.”

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90th Annual Meeting — Pink Flamingos to Headline Suppliers Event

November 5th, 2015

The 90th Annual Meeting kicks off this Sunday with our Welcome Reception, which is a great opportunity to socialize and network with old and new friends. But that’s not the only opportunity attendees will have to unwind and mix and mingle. Our Suppliers’ Event this coming Monday night will get the Party in the Paddock started by featuring the self-described “out-of-your-seat” music of the Pink Flamingos.   

The Pink Flamingos are a 14-member troupe that utilizes specialty characters, costumes, songs, and an incredibly versatile video backdrop to entertain the masses. They have done all kinds of performances, with themes ranging from 70’s to Broadway musicals. In other words, the band is a perfect way for attendees to celebrate our Del Mar Racetrack themed event! The track opened in 1937, so ‘dress to impress’ in your best ‘30s or ‘40s attire. Ladies, don’t forget to complete your ensemble with a fabulous — and creative — hat! For those that forget their hats, don’t worry, a special booth will be available to create your own hat.

Last Chance for PAC Lunch and Golf Tournament Sign-ups

If you haven’t already done so, now’s the time to sign up for the PAC Lunch featuring Fox Business host, Stuart Varney, and for the golf tournament sponsored by Rabobank and being held on-site at the Grand Del Mar.

Tickets for the PAC Lunch can be purchased at the door, but why take the chance and risk the event being completely sold out before you get your tickets? Not to mention, if you buy two or more tickets, you will receive a 25% discount!

Are you ready to experience the luxury of golfing on Southern California’s only Tom Fazio-designed golf course? Then be sure to sign up for this year’s event. RDO Equipment and Water is sponsoring breakfast, lunch and the complimentary beverage cart and Western Growers Insurance Services is sponsoring the $50,000 Hole-in-One Challenge.

For questions or to sign-up for any of these events, contact Randy Hause at (949) 885-2265.

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Show Your Support Our 2015 Annual Meeting Sponsors

November 19th, 2015

You may have met them at a reception, sat next to them during one of our lunches or dinners, or maybe even shared a drink or a laugh with them during the Annual Meeting. Who are they? They’re our Annual Meeting sponsors! Even though the event is in behind us, you can never say ‘Thank you!’ enough to those who support our association. Western Growers and our members owe a huge debt of gratitude to all those who sponsor the Annual Meeting year after year, as well as those who became first–time sponsors this year. 

Help us continue to say thank you to those who supported such a “Grand“ event by using our sponsors’ professional business products and services over the next year.

Platinum Sponsors

Anthem Blue Cross

Bank of America/Merrill Lynch

Bayer Crop Science

C.H. Robinson

Crop Production Services

Dow AgroSciences

Farm Credit

Monsanto

Pinnacle Claims Management, Inc.

Rabobank

Syngenta

Wells Fargo

Western Growers Insurance Services

 

Gold Sponsors

CHEP International

John Deere

RDO Equipment Company

RDO Water

Rynn and Janowsky LLP

Toro Micro-Irrigation

 

Silver Sponsors

International Paper

Prudential Agricutlral Investments

Trical Inc.

 

Bronze Sponsors

ADAMA

Allianz Global Investors LLC

Amvac Chemical Corporation

ARMSRx Pharmacy Benefit Consulting

Bank of the West

Booth Machinery

Braga Fresh Family Farms

CASE IH

DuPont Crop Protection

Emdeon

Emerald Packaging Inc

EyeMed

Fidelity Investments

First Health Network

Gowan Company

Green Rubber Kennedy Ag LP

Healthstat Inc

IFCO Systems NA Inc

iFoodDecisionSciences

Ivy Funds

Konica Minolta Business Solutions USA

Littler Mendelson, P C

Marrone Bio Innovations

Nelson Irrigation Corporation

Ocean Mist Farms

Ramsay Highlander inc

Raub Brock Capital Management LP

REC Solar

Sambrailo Packaging

Sir Speedy Printing & Marketing Services

SWIIM System Ltd

Valent USA Corporation

Western Power Products

Western Precooling

WestRock

Wilbur-Ellis Company

Willowood USA LLC

 

Suppliers

Accelerated Imaging, Inc

Agrilogic Consulting LLC

Allen Lund Company Inc

Bard Valley Medjool Date G.A.

Barkley Ag Enterprises LLC

Barkley Insurance Agents & Brokers

Barsamian & Moody Law Firm

BBI Beau Bureaux Interiors

Belli Architectural Group

Blue Book Services

Brownstein Hyatt Farber Schreck LLP

Buckman Mitchell

Bunzl Agriculture

Buttonwillow Warehouse Co Inc

Calpine Containers Inc

Capitol Advocacy LLC

Cenergy Power

Central Valley Seeds Inc

Commercial Truck Company

Decco US

Desert Applicators Inc

DP Seeds LLC

English Air Service Inc

Foodpro International Inc

Fruit Growers Supply

Great American Insurance Company

Green Rubber – Kennedy Ag LP

Greenheart Farms Inc

Grimmway Enterprises Inc

Growers Company Inc, The

Holaday Seed Company Inc

Jain Irrigation Inc

JKB Energy

Jordan Energy & Food Enterprises LLC

JS Ag Packaging

Keithly-Williams Seeds

King City Nursery

L&G LLP – Attorneys At Law

Law Office of Marion Quesenbery

Lengner & Sons Express

Marsh Risk & Insurance Services

MIXTEC

NH3 Service Company

Nicholas L Saakvitne, A Law Corp

O M Contracting Inc

Progeny Advanced Genetics

Progressive Packaging Group Inc

R & B Helicopters Inc

Sakata Seed America Inc

Santa Maria Seeds Inc

Santa Maria Valley Crop Service

Sensitech Inc

Skyview Cooling Company

Southern Valley Chemical Co

Sturdy Oil Company

Terkelsen, Smith, Tyree & Snell PLC

Tuff Boy Leasing & Equipment Sales

Tuttle Taylor & Heron

For a list of all of the 90th Annual Meeting sponsors, CLICK HERE

For a list of sponsors by event, CLICK HERE

Thank you again for your generous support of the Association and the industry.

For more information, contact Randy Hause at (949) 885-2265.

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Happy Thanksgiving – Western Growers’ Offices Closed

November 24th, 2015

As a reminder, our offices will be closed on Thursday, November 26 and Friday, November 27 in recognition of the holiday.

Western Growers would like to wish you and your family a blessed and safe Thanksgiving.  We are thankful for the support of our many members who provide consumers with a bountiful, healthy harvest for their dinner tables.

 See you in December!

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90th Annual Meeting Is Now in the Books

November 12th, 2015

The 90th Annual Meeting is now in the books! In case you weren’t able to catch everything that happened here’s a recap of the highlights:

The Meeting’s most notable activity was the change in board leadership with Larry Cox, owner of Lawrence Cox Ranches in Brawley, California, becoming the new WG Board Chairman. Chairman Cox replaces outgoing chairman Vic Smith, President and CEO of JVSmith Companies in Yuma, Arizona. Western Growers would like to thank Vic for his dedicated and productive service while leading the board and the association over the last year.

We would also like to congratulate Craig Reade on his ascension into the board leadership chain. Reade, partner at Bonipak Produce, Santa Maria, California, was made Vice Chairman, following in the footsteps of Duda Farm Fresh Foods, Inc. vice president, Sammy Duda, who was elevated to Senior Vice Chairman. Garland Reiter, CEO of Reiter Affiliated Companies, Santa Barbara, California, and Carol Chandler, partner at Chandler Farms, Selma, California, both maintain their positions as Board Secretary and Treasurer, respectively.

The highly-attended event boasted near record crowds, especially at the educational workshops which focused on AgTech Innovation, GMOs and water.

Two presenters were selected as our “Shark Tank” winners at the conclusion of the Innovation Arena Workshop. GeoVisual Analytics was selected as the “Panel Favorite.” Jeffrey Orrey and Carl Kalin presented on behalf of GeoVisual, which uses big data analytics to improve and predict crop health and yield for producers and commodity markets. Attendees also had a chance to select the “Audience Favorite,” and ended up awarding that honor to Robert Morris of TerrAvion, which provides growers with multiple types of aerial images of their farms to help make real-time management decisions. Winners received a complimentary one–year membership in Western Growers and will be profiled in an upcoming issue of the WG&S magazine. 

GMO labeling discussions were abuzz in the hallways during and following the “GMO: What’s on Your Label” workshop. Dr. Alison Van Eenannaam, a cooperative Extension Specialist at UC Davis, Michael Dimock, president of Roots of Change and Phil Lempert, also known as the Supermarket Guru, engaged the audience in an informative and lively dialogue about the potential effects of implementing GMO and non-GMO labels in the fresh produce industry.

The Water Rights’ workshop featured a roundtable of five expert panelists who provided their opinions on how politics, drought and policy and legal actions may affect the future of water rights in the West. Western Growers’ Board member Steve Patricio of Westside Produce in Firebaugh, moderated the workshop. 

This year’s PAC Lunch featured Fox Business TV personality Stuart Varney, who electrified the crowd with his particular brand of wit and humor. Varney’s provocative observations gleaned from a lifetime spent on air covering economics and business spanned such topics as politics, business, economics and even…fertility rates.

Not to be outdone by Varney, the Major Lunch speaker, Dave Evans, the former Chief Futurist of Cisco and co-founder of the start-up, Stringify, wowed crowds speaking during his speech entitled, “Thought for Food.” Evans spoke about the Internet of Things (IoT) and how nearly every item you can imagine — from shoes to toothbrushes– will in the not too distant future be connected to the internet. Evans even gave attendees a glimpse of how farming and agriculture might be expected to change leaving the crowd stunned about what’s to come.

During the Award of Honor dinner, Bob Gray was honored for a lifetime of achievements in the agriculture industry. Steve Patricio introduced Gray, who graciously and eloquently accepted the award, relating his life and accomplishments to the Robert Frost poem, “The Road Less Traveled.” The ceremony was preceded by an auction which raised money for the Western Growers’ Foundation.   

Western Growers would like to once again thank all of our Platinum, Gold, Silver, Bronze and Suppliers’ Event sponsors who made this event possible. We’ll see you again in 2016 from November 6-9 at the Grand Hyatt Resort & Spa on the island of Kauai in Hawaii!

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FDA and Produce Industry to Hold Final Rule Webinars on FSMA in December

November 3rd, 2015

In October, following the publication of FDA’s final Food Safety Modernization Act (FSMA) rules for preventive controls for human food and animal feed, the produce industry came together with FDA to co-sponsor a series of webinars to help industry members understand the final rules and implications for their businesses.

Yesterday, the FDA submitted three additional rules to the Federal Register for publication, the produce safety, foreign supplier verification and third party accreditation rules. This December, FDA has agreed to participate in two additional webinars covering these three other final FSMA rules. 

A webinar on the final Produce Safety rule will be held on Friday, December 11, and a second webinar, on the final Foreign Supplier Verification Program and Accredited Third Party Certification rules, has been scheduled for Monday, December 14. 

In an effort to ensure impacted parties are well informed and have the opportunity to ask questions directly to the FDA, Western Growers members are invited to register in two upcoming complementary webinars by using the links below:

Final FSMA Produce Safety Rule Webinar

Friday, December 11

10:30 a.m. PST (1:30 p.m. EST) 

REGISTER NOW

Final FSMA Foreign Supplier Verification Program & Accredited Third Party Certification Rules Webinar

Monday, December 14

9:00 a.m.PST (Noon EST)

REGISTER NOW

For more information, please contact Sonia Salas at (949) 885-2251.

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WG Staff to Lead Certification Classes for Ag Professionals in Human Resources

November 3rd, 2015

The Agricultural Personnel Management Association (APMA) has partnered with the San Diego County Farm Bureau to offer a series of courses in San Diego designed specifically for agricultural human resources professionals and others who address personnel matters for their company. Classes can be taken individually or as part of a curriculum leading to a certificate and designation.

Western Growers Vice President and General Counsel Jason Resnick and Sr. Vice President of Human Resources Karen Timmins will be the presenters of two classes. Resnick will lead the Introduction to Labor & Employment Law class and Timmins will lead the Managing Employee Compensation Programs class.

This unique human resources program consists of eight core courses that are required for the certificate, along with one elective. Participants may take courses in any sequence. Graduates of this program will earn a prestigious designation of Human Resource Professional in Agriculture (HRPA℠). 

Sessions will be offered monthly at the San Diego County Farm Bureau located at 1670 E. Valley Parkway, Escondido, CA 92027. The 2015-2016 schedule is as follows:

101: Elements of Human Resource Management:  November 19, 2015; Presenter: Lourdes Gonzalez, Gowan Company
102: Introduction to Labor & Employment Law: December 15, 2015; Presenter: Jason Resnick, Western Growers
103: Effective Recruitment, Selection & Retention:  January 14, 2016; Presenter: Julio Sanchez, RAMCO Enterprises
105: Managing Employee Benefit Programs: Date TBA; Presenter: David Nikssarian, Nikssarian Insurance
104: Managing Employee Compensation Programs: Date TBA; Presenter: Karen Timmins, Western Growers
106: Human Resource Development: Date TBA; Presenter: Lourdes Gonzalez, Gowan Company
107: Information and Cost Analysis in Human Resources Management: Date TBA; Presenter: Kathleen Thompson, Limoneira Company
108: Management and Leadership for HR Management Professionals: Date TBA; Presenter: Lourdes Gonzalez, Gowan Company

All professionals with HR responsibilities are invited to complete this certificate program to stay current on various issues, from legal compliance to employee relations.

For more information and online registration, please visit www.agpersonnel.org.  

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CDFA Proposes to Lift San Diego Fruit Fly Quarantine Boundary

November 3rd, 2015

The California Department of Food and Agriculture (CDFA) issued an update indicating that it is proposing to remove the San Diego County Mediterranean Fruit Fly Quarantine effective October 29, 2015. According to the email update, the quarantine boundary is being removed because there have been no additional flies trapped in three lifecycles.

The proposed boundary removal can be appealed by concerned citizens. The appeal must be submitted to the Department in writing and supported by clear and convincing evidence and must be filed no later than ten (10) working days from November 2. During the pending of the appeal, the designated Quarantine Boundary under appeal shall remain in effect.
Mail Appeals to:
CDFA – Pest Exclusion Branch
1220 N Street, Room 325
Sacramento, CA 95814

Electronic Notification of Boundary Changes
California Code of Regulation allows interested parties to be notified of quarantine area boundary changes, as well as the opportunity to submit quarantine boundary appeals. If interested in receiving notifications, please sign up for regulatory updates through the email notification ListServ at: http://www.cdfa.ca.gov/subscriptions/index.html#planthealth

For questions regarding the regulations, please email Keith Okasaki or Dayna Napolillo or call (916) 654-0312.
 

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Last Chance — Register for ACA Compliance and Reporting Webinar on November 5

November 3rd, 2015

Did you miss one of the Affordable Care Act Road Show events we held in Modesto, Bakersfield, Imperial, Fresno, Visalia, Salinas and Santa Maria? Or have we not made it to your region?

Well here’s your chance to get the information you missed! Western Growers Assurance Trust (WGAT) is hosting a webinar on Thursday, November 5, to cover upcoming Affordable Care Act requirements. Resident ACA expert and WGAT general counsel, Jon Alexander, will guide you through the tangled web of ACA regulations and mandates you need to know about for 2016.

We will break down what you need to know regarding:

  • Affordable Care Act updates
  • Employer Mandate update (Pay or Play responsibilities)
  • Reporting requirements
  • Deadline dates for reporting to the IRS
  • Potential IRS fines
  • Pinnacle’s ACA Dashboard reporting tool

If you missed the ACA Road Show Events, don’t miss this webinar!

Webinar Details
Affordable Care Act Compliance & Reporting
Thursday, November 5
10:00 -11:00 AM PST

REGISTER TODAY

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CDFA Now Accepting Specialty Crop Block Grant Proposals for 2016

November 3rd, 2015

The following is a press release from the California Department of Food and Agriculture announcing it has begun accepting proposals for 2016 specialty crop grants:

The California Department of Food and Agriculture (CDFA) is now accepting proposals for the 2016 Specialty Crop Block Grant Program. Each year, CDFA conducts a two-phase competitive solicitation process to award funds to projects that solely enhance the competitiveness of California specialty crops. Specialty crops include fruits and vegetables, tree nuts, dried fruits, horticulture, and nursery crops (including floriculture).

Phase I of the competitive process begins with the submission of concept proposals. Concept proposals undergo both an administrative review conducted by CDFA as well as a technical review conducted by a volunteer panel of subject matter experts. Successful applicants will be invited to submit a detailed grant proposal in Phase II of the process.

Grant awards will range from $50,000 to $450,000 per project and projects may last for up to two years and six months. Non-profit and for-profit organizations; local, state, federal, and tribal government entities; and public and private colleges and universities are eligible to apply.

Applicants must access the 2016 Request for Concept Proposals at www.cdfa.ca.gov/grants for detailed application instructions. CDFA has partnered with the California State Water Resources Control Board to utilize its online application site, the Financial Assistance Application Submittal Tool (FAAST). Applicants must register for a FAAST account at https://faast.waterboards.ca.gov to apply.

Concept proposals must be submitted electronically using FAAST by Friday, December 4, 2015, at 5 p.m. PST.

Prospective applicants may contact CDFA’s Office of Grants Administration at (916) 657-3231 or [email protected] for additional information. 

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House Considers Federal Highway Legislation and WG Supported Amendments

November 3rd, 2015

Today, the House began consideration of H.R. 22, the DRIVE Act. The legislation would reauthorize the Federal Highway Trust Fund as well as a number of transportation-related programs for six years. The House will be considering amendments tonight and will likely vote on final passage later this week. The Senate has already passed legislation, and after House consideration and passage, negotiations will continue in a conference committee to determine how the program would be funded. The funding source — and whether to include reauthorization of the Export-Import Bank in this legislative vehicle — will likely be the most controversial points of the negotiations.

Western Growers is supportive of and has pushed several amendments being offered to the legislation, including an amendment by Rep. Dan Newhouse (R-WA) that would require more detailed port metrics to be gathered. The amendment mirrors legislation in the Senate sponsored by Senator Cory Gardner (R-CO), and would provide another tool to help avoid the kind of port disruption experienced on the west coast earlier this year.

A second amendment proposed by Congressman Ribble (R-WI) supported by WG would increase truck weight limitations, allowing for more efficient hauling of heavier commodities. Lastly, an amendment offered by Congressmen Crawford (R-AR) and Ashford (D-NE) would create a pilot program allowing for CDL-licensed truckers under the age of 21 to operate within a 150-mile range from their home base, even if that involves crossing state lines.

For more information, please contact Ken Barbic in our Washington, D.C. office at (202) 296-0191. 

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Western Growers Issues Statement Following Release of Trade Agreement Language

November 6th, 2015

Today, President and CEO of Western Growers issued a statement following the release of text of the Trans Pacific Partnership trade agreement. A deal between the United States and the 11 other Pacific Rim countries participating in the negotiations was reached on October 5, 2015. TPP is critical for the U.S. fresh produce industry as the TPP countries represent more than 46 percent of our fruit, vegetable and tree nut exports. The actual text of the agreement was released to the public for the first time earlier today.

Nassif’s statement reads as follows:

“I applaud U.S. negotiators for crafting a deal that benefits the fresh produce industry. This agreement, most importantly, strengthens the consistent and scientifically based enforcement of Sanitary and Phytosanitary measures among TPP partners. The effectiveness of new mechanisms TPP provides for producer recourse when unfair SPS measures are imposed will be the greatest indication of TPP’s long term success for the fresh produce industry.

Additionally, the increased market access this agreement provides into significant markets such as Japan, and the new agreements it creates with emerging export markets like Malaysia, New Zealand, and Vietnam, is a good opportunity for U.S. producers. The United States faces a trade deficit in the produce sector. Without expanded export opportunities, the balance of trade will only get worse.

Farming is a risky business, one dependent upon Mother Nature and worsened this year by the parched earth throughout the western United States. Exporting products to eager foreign markets allow farmers to soften those risks. In the years farmers produce a large crop, they sell first in the United States and the rest to buyers in other countries. In some years, the export market may be the only hedge between profit and loss.”

For more information contact Ken Barbic in our Washington, D.C. office at (202) 296-0191.

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