Early Ballot Reminder for Arizona Members

November 1st, 2016

The Arizona Secretary of State’s office is encouraging voters in Arizona to mail in early ballots by TODAY to ensure they are received in time to be counted.

If you have not already done so, please mail in your Arizona ballot today!  

Sign on to Business Community‘s Congressional Immigration Reform Letter

November 3rd, 2016

The National Association of Manufacturers and the U.S. Chamber of Commerce are working with other business organizations, across all sectors of the economy, to recruit signatories for a letter that will be delivered shortly after the election urging members of Congress to address immigration reform.

The letter is open to all:

  • businesses/corporations;
  • business/industry associations;
  • state and local business associations and chambers;
  • allied organizations.

Western Growers is signing the letter and would encourage your organization or company to consider signing on to this multi-industry letter as well.

Direct link to the sign on page and to view the letter 

For more information, contact Ken Barbic at (202) 296-0191.  

Western Growers and C.H. Robinson Giving Day Video Now on YouTube

November 3rd, 2016

Western Growers and C.H. Robinson memorialized our Giving Day held this past August 24, 2016, by producing a video encapsulating the event that saw growers and associations donate more than 240,000 pounds of produce to Feeding America. Along with monetary donations, participants provided donations equating to over 250,000 meals. We are proud to have celebrated our ten year partnership in this meaningful way!

We invite you to view and share this video so others can learn more about the generous contributions many in the fresh produce industry made towards those in need.

For more information, contact Matt McInerney at (949) 885-2263.  

Western Growers Issues Statement on Trump Being Elected President

November 10th, 2016

Western Growers’ President and CEO Tom Nassif issued a statement yesterday on Donald Trump being elected as the 45th president of the United States. 

Nassif congratulated President-elect Trump and Vice-president-elect Mike Pence on a “well-earned victory.” He also expressed optimism that the new president and his administration “will work together to pursue pragmatic solutions to key agricultural issues, including immigration reform, water supply, environmental regulations, international trade and the farm bill.”

Nassif’s Full Statement

DIR Updates Piece-rate FAQ Webpage

November 10th, 2016

The California Department of Industrial Relations updated its FAQ webpage on piece-rate compensation (AB 1513) to include much-needed information on the pay-outs for wages due to piece-rate employees. Employers impacted by these retro-payments should now be processing those payments to workers.

Info on retro payments can be found in the FAQs by going to the section on Calculating and Making Back Payments to Employees and Former Employees for Purposes of the Affirmative Defense.   

Western Growers held a series of Town Hall meetings in September and October in the Central Coast, the Central Valley and in the Imperial Valley. The town Halls were designed to provide important insights from legal experts and fellow employers to help members reduce their liability risk and overcome the technical compliance challenges of AB 1513’s safe harbor provisions. WG members can access a recording from one of those events on our website (WG members must be logged in to the website to access the video).  

For more information, contact Jason Resnick at (949) 885-2253.

DWR to Hold Series of Meetings on Groundwater Best Management Practices

November 10th, 2016

DWR is hosting a series of public meetings to share information and to seek feedback on a draft of Best Management Practices (BMPs) for sustainable groundwater management. BMPs are intended to provide clarification, guidance, and examples to help Groundwater Sustainability Agencies develop the essential elements of a Groundwater Sustainability Plan for the sustainable management of groundwater.

Meeting Schedule

Monday, November 14, 2016, 2:00 P.M.

Willows City Hall, City Council Chambers

201 North Lassen Street

Willows, California 95988

 

Tuesday, November 15, 2016, 9:30 A.M.

California Water Commission Meeting, Webcast

Resources Building, Auditorium

1416 Ninth Street, Sacramento, California 95814

 

Wednesday, November 16, 2016, 4:00 P.M.

Clovis Veteran’s Memorial Building, Veteran’s Room

808 4th Street, Clovis, California 93612

 

Thursday, November 17, 2016, 1:00 P.M.

Delhi Community Center, Ballroom

505 E. Central Avenue, Santa Ana, California 92707

 

DWR sought public opinion regarding the development of BMPs by initiating an online survey last summer. The meetings are an opportunity to engage, discuss, and receive public feedback on BMPs during the development phase. The Draft Best Management Practices and meeting agendas are available for viewing and download at http://www.water.ca.gov/groundwater/sgm/bmps.cfm

For more information, contact Gail Delihant at (916) 446-1435.  

AZ Voters Pass Minimum Wage Hike and Paid Sick Time

November 17th, 2016

Arizona voters passed Proposition 206 (the “Fair Wages and Healthy Families Act”) which raises the minimum wage in Arizona from $8.05 per hour to $10.00 per hour on January 1, 2017, and incrementally over the next four years to $12 per hour. Then, the minimum wage will increase with the cost of living starting in 2021. 

In addition, the initiative mandates employers provide their employees with paid sick time (PST) beginning July 1, 2017. All full-time, part-time and temporary employees must be allowed to accrue a minimum of one hour of PST for every 30 hours worked as follows:

  • 40 hours of PST annually for employers with 15 or more employees; or
  • 24 hours of PST for employers with fewer than 15 employees.

Western Growers has prepared a more comprehensive summary and FAQ of Prop. 206 here. Read Spotlight for announcements of additional educational opportunities pertaining to Prop. 206 to be offered by WG early next year.

For questions, contact Jason Resnick at (949) 885-2253.

Changes to FLSA White Collar Exemptions Take Effect December 1

November 17th, 2016

The deadline for employers to implement changes to the federal “white collar” overtime compensation requirement is just two weeks away.

As previously reported in Spotlight, the U.S. Department of Labor issued revised regulations covering the “white collar” exemptions under the Fair Labor Standards Act (“FLSA”) last May. Those employees who meet the regulatory requirements are not entitled to overtime pay for hours worked over 40 in a work week. Pursuant to DOL regulations, in order to be exempt from the overtime pay requirements, an employee must perform certain management duties and be paid a specified salary.

The salary requirement was fixed at $455 per week; however, the revised regulations increase the salary requirement to $913 per week or $47,476 annually. Up to 10 percent of the gross wages can be comprised of sales commissions or nondiscretionary bonus under federal law.

However, it should be noted that under California law, an employee is generally exempt from overtime if s/he earns at least twice the state minimum wage for full-time employment. The minimum salary amount under state law will increases to $880 per week ($45,760 annually) on January 1, 2017, when the minimum wage increases. Going forward, California employers and all employers across the country will have to pay anyone who earns less than $913 per week ($47,476 annually) overtime pay, unless they work in “agriculture” or are otherwise exempt from the rule. Moreover, the “ten percent rule” codified in the federal law does not apply in California, so California employers will have to satisfy at least  $880 per week or $45,760 per year of the exempt employee’s salary with straight base pay.

“Agricultural” employees, unless covered by very limited exemptions, are subject to the minimum wage portion of the FLSA, but are exempt from the overtime provisions of the FLSA. Thus, the new rule won’t have an effect on “agricultural” employees. However, if an employee performs non-agricultural work at any time during the week, the exemption from overtime is void and the employee must be paid overtime for any hours over forty.

In addition, the revised regulations will have no impact upon some other employees treated as exempt from the FLSA’s minimum-wage and/or overtime provisions, including:

  • Salespeople falling within the “outside salesman” exemption;
  • Employees authorized to practice, and who are actually practicing, law; and
  • Employees whose work meets the computer-employee exemption requirements who are paid on an hourly basis at a rate of at least $27.63, among others.

The increased salary threshold will also not affect the “motor carrier” overtime-only exemption applying to drivers, drivers’ helpers, loaders, and mechanics in qualifying circumstances, since such employees are exempt under a different section of the FLSA not covered by the revised regulation.

For questions, contact Jason Resnick at (949) 885-2253.

As AB 1513 Deadline Looms, Beware of Back Payment Check Fraud

November 22nd, 2016

Western Growers members making back payments of wages pursuant to AB 1513 are advised to confirm that negotiated checks match both the intended recipient and amount. Western Growers has been advised that there have been cases of checks being altered to change the name of the payee and the check amount.

In one case, a check for $1.89 had been issued by the employer, but the check had been altered and subsequently cleared the bank in the amount of $2,500 to a different payee. With checks being sent to last known and best available addresses, but not necessarily reaching the intended recipient, it is likely that many checks will fall into the hands of unscrupulous individuals seeking to take advantage of the situation.

The deadline to send checks to current and former employees, or to the Labor Commissioner’s Unpaid Wage Fund, is December 15th. Litigation is pending seeking to delay the due date; however, it is not recommended for members to take a wait-and-see approach before deciding whether to issue checks by the December 15 deadline.

For questions, contact Jason Resnick at (949) 885-2253.

Arizona Department of Ag Ready to Assist with Export Certificates

November 22nd, 2016

I​n preparation for the winter harvest in Yuma, the Arizona Department of Ag has authorized staff to work extended hours during the week to provide greater flexibility and timeliness for facilitating the industries’ export certification needs. The fee is $56 ($50 for the inspection and certification of each lot and $6 for the Federal administrative fee required by APHIS). ADA charges much less than the federal agency for export certificates and all of the revenues are reinvested directly into Plant Services.

Also, exporters can now get state phytosanitary certificates for domestic export through the state program. The fee is $50 for the first load and only $10 for each additional load that presents while staff is at the facility for inspection.​

For more information or if you have questions, contact ADA staff in Yuma and La Paz counties at 928-341-1680. In Maricopa County, shippers can call (602) 542-7184. 

Court Blocks FLSA Overtime Rule

November 22nd, 2016

On November 22, 2016, the U.S. District Court in Texas granted a nationwide preliminary injunction blocking the U.S. Department of Labor’s final overtime exemption rule, which would have raised the minimum salary threshold to qualify for the Fair Labor Standards Act’s white collar exemption to $47,476 per year, starting December 1, 2016. The rule is now halted indefinitely, giving employers a reprieve until the court rules on the merits of the case.

The lawsuit was filed by 21 states and various employer groups. The court concluded that the FLSA does not grant the DOL the authority to utilize a salary-level test or an automatic updating mechanism under the Final Rule. President-elect Trump has not yet said what his plans are for the overtime rule.

Look for future updates on the Final Rule in Spotlight.

For questions, contact Jason Resnick at (949) 885-2253.

DWR Sets Initial State Water Allocation at 20 Percent

November 30th, 2016

The California Department of Water Resources announced a 20 percent initial state water allocation for 2017 for customers served by the State Water Project (SWP). State officials suggested the allocation amount may change in the spring of next year depending on the amount of precipitation winter storms bring to the state.

According the DWR’s release, “Initial allocations frequently change. For example, the initial allocation for this year (2016) was 10 percent, with a final allocation of 60 percent.”

Read DWR’s Full Release

PRESS RELEASE: Western Growers Engages Dennis Donohue to Lead Center for Innovation & Technology®

November 2nd, 2016

Industry Veteran Brings Nearly Three Decades of Experience in Agriculture and AgTech 

IRVINE, Calif., (November 2, 2016) — Dennis Donohue, former mayor of Salinas, will work with Western Growers to further develop the Western Growers’ Center for Innovation & Technology® (WGCIT) into a premier agtech startup incubator. In this role, Donohue will drive agtech initiatives, bolster innovation programming, further facilitate relationships between start-up companies and growers and spearhead business development at the WGCIT in Salinas, Calif.

“As farmers continue to face relentless challenges, Western Growers makes it a priority to work with industry leaders who will advance our efforts to accelerate the development of innovative technologies and help ensure specialty crop agriculture remains strong and vital,” said Hank Giclas, Western Growers’ senior vice president, strategic planning, science & technology. “Dennis is not only highly regarded for his role in creating an agtech ecosystem throughout the Salinas Valley and Silicon Valley, but he also brings with him 30 years of expertise in agriculture across the nation. We are honored to have him join us and know that his wealth of experience will be crucial in helping move our agtech efforts swiftly forward.”

Donohue has been lauded for his leadership in agriculture where he has played a key role in creating innovative business models, identifying new technologies and developing initiatives that integrate agtech and innovation into the business structure at organizations such as Cultiva Global, European Vegetable Specialties/Royal Rose, River Ranch Fresh Foods, Fresh Express Farms and Fresh Western Marketing. Additionally, his dedication to the community and region is unmatched. Donohue’s strong civic commitment includes his leadership as Salinas’ Mayor from 2006 to 2012 and serving on governing boards at the Grower Shipper Association of Central California, Salinas Chamber of Commerce and Steinbeck Innovation Foundation.

“Because the Center for Innovation & Technology offers unbeatable resources such as market access and direct connections to growers, I firmly believe that it’s one of the best advances in the agtech movement,” said Donohue. “Western Growers’ commitment to accelerating innovation and industry success is inspiring, and I’m ecstatic to work with Western Growers to drive the future of agriculture.”

Donohue holds a master’s degree from Gannon University in religious education and a bachelor’s degree in history from the University of San Francisco. He currently lives in Salinas with his wife, Paula.

High-resolution image of Dennis Donohue is available here.

About Western Growers:
Founded in 1926, Western Growers represents local and regional family farmers growing fresh produce in Arizona, California and Colorado. Our members and their workers provide half the nation’s fresh fruits, vegetables and tree nuts, including nearly half of America’s fresh organic produce. For generations we have provided variety and healthy choices to consumers. Connect with and learn more about Western Growers on our Twitter and Facebook.

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STATEMENT: Western Growers’ Statement on Election of Donald Trump

November 9th, 2016

IRVINE, Calif. (November 9, 2016) – Following the results of the 2016 presidential election, Tom Nassif, President and CEO of Western Growers, issued the following statement:

“Western Growers congratulates President-elect Donald Trump, Vice President-elect Mike Pence and the Republican Party on well-earned victories in the 2016 general election. In the aftermath of a historically-divisive political season, we encourage our elected leaders to mend broken fences and redouble their efforts to solve the many challenges facing our country.

Like the silent majority of voters who turned out at the polls all across the country, our members – the farmers who grow more than half of the nation’s fruits and vegetables – want a government that functions, one that is responsive to the needs of our nation and industry. We are optimistic that President-elect Trump, the administration he installs and the 115th Congress will work together to pursue pragmatic solutions to key agricultural issues, including immigration reform, water supply, environmental regulations, international trade and the farm bill.

I am proud of my personal endorsement of President-elect Trump during the early stages of his campaign. As a co-chair of his agricultural advisory team, I had the opportunity to advise President-elect Trump on subjects critical to the fresh produce industry, including water, immigration and environmental reform.

In the coming months and throughout his administration, Western Growers will continue to stand at the forefront of the fresh produce industry and provide President-elect Trump with the support he needs to help enact policies that will ensure the long term viability of Arizona, California and Colorado family farmers.”

PRESS RELEASE: Western Growers Seeks Startups for $30,000 AgTech Scholarship

November 17th, 2016

IRVINE, Calif. (November 17, 2016) – The application period opened today for Western Growers Center for Innovation & Technology® (WGCIT) Scholarship Program. This is arguably the first scholarship program of its kind in that it provides the winner with residence at one of the country’s premier agtech incubators designed to assist start-up companies who are developing agricultural technologies.

“Many agtech startups would benefit from residing in the WGCIT, but not all of them are at the stage where they have the economic capacity to locate there,” said Hank Giclas, Western Growers’ senior vice president, strategic planning, science & technology. “With the help of Wells Fargo, we will be able to give start-up companies the resources they need to accelerate the development of their technologies that will be crucial in solving the ag industry’s most pressing challenges.”

The scholarship program was developed as a result of a $30,000 grant awarded to the Western Growers Foundation from Wells Fargo Bank in July to establish a scholarship fund for agtech startups. Western Growers Foundation will grant up to 10 scholarships, each worth up to $3,000. 

Each scholarship will underwrite the cost of a “hot desk” (non-reserved workstation) or defray the costs of a desk within the WGCIT for one year. Recipients will receive all the benefits of being a Western Growers’ member and resident of the Center, including access to prominent networking opportunities with leading fresh produce companies; ample exposure to agricultural-related organizations throughout California, Arizona and Colorado; training and mentorship from industry professionals, including legal, HR, insurance, financial and communications experts; routine classes and workshops designed to provide startups with the knowledge and customer connections they need to bring their technology from development to production. They will also be offered the amenities of a traditional office, including internet and phones, printers and copiers, meeting and conference rooms, and cutting-edge technology to live stream events and presentations.

Scholarships are open to any individual or company that is working on ideas or technology that will assist the fresh fruit, nut and vegetable industry to produce more food using fewer inputs and with less waste. All startups looking to apply must submit the following: 1) biographies of the management team; 2) a business plan; 3) description of the company’s desire to be in the WGCIT, technology being developed/offered and the potential benefits to the fresh produce industry; 4) proposed performance metrics to evaluate progress; and 5) a recommendation letter from a Western Growers member company. For the full scholarship requirements and additional information on how to apply, click here.

All applications must be submitted to Hank Giclas at [email protected] and received by Friday, December 30th, 2016, at 5:00 p.m. PST.

About Western Growers:
Founded in 1926, Western Growers represents local and regional family farmers growing fresh produce in Arizona, California and Colorado. Our members and their workers provide half the nation’s fresh fruits, vegetables and tree nuts, including half of America’s fresh organic produce. For generations we have provided variety and healthy choices to consumers. Connect with and learn more about Western Growers on our Twitter and Facebook

About Western Growers Foundation:
Western Growers Foundation is a movement of agriculture leaders working with educators to inspire our next generations of farmers. Western Growers Foundation is focused on delivering science, technology, engineering and mathematics (STEM), and standards-based lessons to nurture children’s natural curiosity in areas related to farming and agriculture. Since its inception in 1995, Western Growers Foundation has funded more than 1,000 school gardens in California and Arizona. The Foundation has a 90 percent success rate in keeping these gardens operating at the local level. As leader in the school garden movement, the Foundation’s mission is to plant and sustain a fruit and vegetable garden in every willing Arizona and California school.   

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What You Need to Know About ACA Marketplace Compliance, Notices, and Appeals

November 1st, 2016

By Rich Hines

As 2016 draws to an end, it’s important to prepare for upcoming changes to the Patient Protection and Affordable Care Act (ACA). To remain in compliance with the law and avoid tax penalties, there are several details about ACA marketplace notices, appeals, forms, and new ACA reporting deadlines of which you’ll need to be aware.

 

Health Insurance Exchange Notices

Under the ACA employer mandate, employers with 50 or more full-time employees must offer affordable, comprehensive health benefits coverage to full-time employees and their dependents or potentially pay a tax penalty. If your full-time employee receives subsidized coverage at either the federal or a state-based health insurance exchange, your company may be in violation of the employer mandate and might be liable for taxes penalties.

Both the federal and state-based exchanges are required to notify employers (and the IRS) regarding each employee who obtains subsidized coverage. It’s important to be prepared to act quickly in case you do get a notice. Employers only have 90 days to appeal a subsidy award after receiving an exchange notice. If you receive a notice, you may use the federal Employer Appeal Request Form to file an appeal within 90 days of the date on the notice. This form can be used to appeal notices from the federal health insurance exchange (Healthcare.gov) as well as the California, Colorado, Kentucky, Maryland, Massachusetts, New York, Vermont, and Washington D.C. exchanges. In addition to lowering the employer’s chances of incurring a tax penalty, an appeal may also help the employee by limiting the amount of an unexpected and unwelcome tax subsidy clawback in the future.

Appeals need to include adequate documentation to explain why an employee doesn’t qualify for coverage or subsidy.

Possible explanations include:

•   The employee did not qualify for health benefits.

•   You offered the individual qualifying coverage, but the employee waived coverage and did not enroll.

•   The individual was hired through an employment contracting company or was never your employee.

•   The exchange notice was sent to you by mistake.

Proper documentation includes:

•   Payroll records.

•   A signed waiver of the health benefits coverage form.

•   A copy of enrollment and eligibility rules documents provided to the employee.

 

A successful appeal at the exchange level may not by itself release you from the Employer Mandate tax penalty — only the IRS can make that determination. The marketplace notice merely provides a warning regarding potential tax liability. Filing an appeal with a health insurance exchange will not prevent the IRS from requesting the same information at a later date. Even if you win the appeal with the exchange, you may still have to prove to the IRS that you made a qualifying offer and are not subject to a tax penalty.

If you lose your appeal with an exchange, you will have a second chance to dispute the issue with the IRS, since they are the agency that evaluates the facts and levies employer mandate penalties. The IRS may be more inclined to examine all of the reasons why an employee may not qualify for coverage, beyond the exchange’s focus on whether or not you made qualifying offer of coverage.

 

New ACA Reporting Deadlines

Please note that there are strict deadlines for processing 1094-C and 1095-C forms, including furnishing 1095-C forms to your employees by January 31, 2017, filing by mail by February 28, 2017, or e-filing by March 31, 2017. Each individual entity under a corporate umbrella needs to file its own 1094-C and 1095-C forms.

For more information about the exchange notices, ACA reporting requirements, and offering affordable, qualifying health benefits coverage to avoid ACA tax penalties please feel free to contact me at [email protected] or (949) 379-3852.

California Expands State Equal Pay Law

November 1st, 2016

Last year, Governor Jerry Brown signed the California Fair Pay Act (SB 358) into law, which took effect on January 1, 2016.  Legal pundits called it one of the most aggressive gender pay equity laws in the country.

One year later, on September 30, 2016, Governor Brown signed the Wage and Equality Act of 2016 (SB 1063) into law, which prohibits employers from paying lower wages for substantially similar work because of an employee’s race or ethnicity.  The new law will go into effect on January 1, 2017.

Governor Brown also signed a bill limiting the employers’ use of a new employee’s prior salary history to justify pay differentials.

 

Fair Pay for Women

To review, the Fair Pay Act amended the state’s prior Equal Pay Act of 1949 in several important ways.  The old law required employers to pay men and women working in the same establishment the same pay for “equal” skill, effort and responsibility and for the same work performed under “similar working conditions.”  The Fair Pay Act significantly expanded the law by broadening the requirement to “substantially similar work.”  It also prohibits unequal pay when viewed as a composite of skill, effort, and responsibility as opposed to looking at “equal” skills.

The Fair Pay Act is also more expansive than the federal Equal Pay Act (29 USC § 206(d)).  For example, under the state law an employee may allege pay discrimination based on wages paid to employees doing “substantially similar work.”  This standard is broader than the federal standard which limits pay equity challenges to work “performed under similar working conditions.”  Under this more permissive state standard, a female sorter could allege that it is a violation to pay a male grader more if he is performing “substantially similar work.”  The Fair Pay Act does not define “substantially similar work,” so it will be left to the courts to decide how broadly this concept should be applied.

The state law also allows employees to challenge their pay based on wages paid to employees at other work locations of the same employer.  Thus, under the California law, a female berry picker working in Salinas could challenge the higher pay being paid to a male picker in Santa Maria.  The federal law limits such comparisons to the same establishment.

The law does allow employers to have pay differences if it is based on a reasonably applied factor that is based on (1) a seniority system; (2) a merit system; (3) a system that measures earning by quantity or quality of production; or (4) a bona fide factor other than gender.  If the employer wishes to rely on a bona fide factor other than gender (for example, training, education, or experience), then the employer must demonstrate that the factor is not based on or derived from a difference in compensation that is based on gender, is job related, and is consistent with a business necessity.  However, if the employee can show that there is an alternative business practice that would serve the same business purpose without producing the pay differential, the “bona fide factor other than sex” defense will not succeed.  An employee who prevails under the equal pay law is entitled to the wage disparity, liquidated damages, costs, interest and attorneys’ fees.

Under the Fair Pay Act, employers are prohibited from discharging, discriminating or retaliating against an employee for invoking the equal pay law.  Also, an employer may not prohibit an employee from disclosing the employee’s own compensation, discussing the compensation of other employees, asking about another employee’s compensation, or assisting another employee to exercise his or her rights under the law.  Employers must retain records on wages, job classifications, and other conditions of employment for three years.

 

Race or Ethnicity Now Included

Virtually identical to the Fair Pay Act, SB 1063 amends Labor Code section 1197.5 by adding a provision that prohibits employers from paying employees of one race or ethnicity a lower wage than employees of a different race or ethnicity if those employees perform substantially similar work.  The same factors that may permit a pay disparity between workers of different genders will now apply to different races or ethnicities, except that one would substitute bona fide factor other than race or ethnicity, for gender.  The factor or factors that the employer chooses to rely on under the equal pay laws must account for the entire wage differential.  The same enforcement mechanisms and penalties applicable to gender pay equity claims apply to the race and ethnicity claims.

 

Salary History Can’t Justify Wage Differential

Governor Brown also signed into law AB 1676, which provides that under Labor Code sec. 1197.5, prior salary, by itself, cannot justify any disparity in compensation between workers of the opposite sex, race, or ethnicity.  Notably, it does not prohibit inquiries into prior salary history.  Last year, Governor Brown vetoed AB 1017 which would have prohibited employers from seeking a job applicant’s prior salary history, but the legislative compromise of AB 1676 garnered bipartisan support and the support of the governor.  The new law goes into effect on January 1, 2017.

 

What Employers Should Do Now

Employers should consider undertaking audits of their pay rates for the same or similar positions to determine whether any disparities exist between genders or between race and ethnicity.  Employers may also want to consider removing salary history questions from applications and interviews, as basing a new employee’s salary on that information may unwittingly result in an unjustified pay disparity.  It is strongly recommended that such audit and analysis be undertaken with the advice and assistance of experienced employment and labor counsel to ensure that the work-product is protected by the attorney-client privilege.

 

SOIL ANALYSIS Trace Genomics Brings Cutting Edge Technology to Testing

November 1st, 2016

Using high-tech genome sequencing, a San Francisco start-up company is beginning to offer growers a much more detailed, and quickly achieved, look at their soil profile before planting.

Trace Genomics, which won an innovation award at the July Forbes AgTech conference in July, is currently offering growers a pathogen panel test for $199, which delivers a snapshot of soil-borne diseases.  Results from the soil test are available within three weeks, which allows a grower the opportunity to make important cultural decisions before the plants are in the ground.

This panel approach takes a look at 10 different microbes, including Verticillium, Fusarium, Macrophomia, and Phytophthora.  The company is also developing other products, based on the same concept, which will be unveiled over the next several months.

Western Growers Senior Vice President of Science, Technology & Strategic Planning Hank Giclas believes the company has a bright future in the ag space.  “Trace Genomics is a great example of young, brilliant minds who want to connect with the agricultural industry to solve problems,” he said.  “Their current services will test for disease pathogens.  Their technology, to quickly and cheaply examine the microbial diversity in the soil, will be helpful in mitigating crop loss to key pests and disease.”

The company was founded by two Stanford PhDs, who met while working on genomic sequencing during their doctoral programs.  Co-founders Poornima Parameswaran and Diane Wu were initially studying how infectious diseases can be transmitted across populations through touchpoints, such as a door knob or soil.  Genomic sequencing, they found, could be used to quickly identify the disease profile of difficult environments.  Fast forward a few years as the pair joined forces to try to market the technology in a meaningful, and profitable way, through the participation in an “accelerator” program, designed for just that purpose.  Parameswaran said the commercial application of discovering soil-borne diseases in agriculture is much more apparent than in the human infectious disease world.  She explained that in agriculture there are many tools available to fight these diseases once they are identified.  That is not the case with human infectious disease.  Consequently, initially they are viewing agriculture as a clearer path to viability.

Wu said the proprietary genomic sequencing process and data interpretation that the firm has developed is “sector agnostic.”  Over time, the firm does plan to use the process in other areas of diagnostics, including human infectious diseases.

But for the time being, testing soil is their niche.  “Early detection of diseases is the crucial first step for disease prevention and management,” says the firm’s website.  “At Trace Genomics, our vision is to make it easy for growers to understand the disease pressures in their land before putting plants into the ground.”

Wu called these pathogens “silent killers” with the control of them being the difference between profit and loss.  Parameswaran said it is currently an information problem.  Many growers currently use a chemical-based test on their soil.  That does not present a full picture and it takes much longer to get the results…typically three months.  Senior Scientist Scott Hickey explained that the chemistry test looks at the chemistry of the soil while the Trace Genomics tests looks at the biology of the soil.  Neither test makes the other obsolete, but rather they can be used in conjunction with each other.  The chemical tests, which many PCAs and growers utilize, test the make-up of the soil determining, for example, whether it is nitrogen deficient.  Wu said chemical tests can look for pathogens on a one by one basis.  Parameswaran likened the chemical test approach to using a flashlight to shine a light on a specific pathogen that you are searching for, with each test costing $75 to $150.  She said the Trace Genomoics pathogen panel screening approach is like turning the lights on and seeing everything that is there (or at least 10 different pathogens) for one relatively inexpensive price.

Growers or PCAs (pest control advisors) can go onto the Trace Genomics website and order the pathogen panel test.  Initially the tests have been designed for strawberry and lettuce fields as those two crops have immediate need for soil-borne disease knowledge because of the elimination of methyl bromide as a grower tool.

The company’s website spells out the technology behind the effort.  “Our proprietary molecular assay for soil-borne pathogens enables affordable detection of hundreds of pathogens and beneficial organisms simultaneously.  Our assay is based on genetic sequencing technology, enabling strain-specific identification and quantitation.”

Ordering the pathogen panel test from Trace Genomics is a very simple process, also spelled out on the company’s website (tracegenomics.com).  Growers order the kit, follow the instructions for gathering a soil sample and send it to the firm.  Within three weeks, a report will be generated illuminating the disease profile of that sample.

 

Trace Genomics Launches Healthy Soils Program

 

In an effort to increase the body of knowledge related to healthy soils, Trace Genomics is asking growers to participate, free of charge, in an effort to identify the makeup of productive soil.

The San Francisco-based firm, which provides a genome sequencing-based, pathogen screening test for unhealthy soils, is partnering with growers and academics to launch a “Microbial Soil Health Initiative,” championing a community-wide-effort to work together and advance the science and knowledge about soil biology. This initiative is structured to meet an urgent need for identifying what makes a soil productive from the perspective of the millions of microbes in the soil that are responsible for soil and crop productivity. The long-term goal for this program is to develop and open-source a set of tools and strategies to help us increase the health of our soils individually and as a community.

Company Co-founder Diane Wu said each samples that is analyzed will add to that knowledge.  The more samples the company receives and analyzes, the greater the knowledge will be.

She said there is no charge to participate and the researchers will disseminate the information in some form—possibly a white paper—as trends develop and information is accumulated.

“Through this joint endeavor, we will work closely with growers and academics to build a representative collection of productive soils. This collection will allow us to surface community insights on the microbial composition of our healthy soils in California,” said Wu, adding that insights from this project will be aggregated and anonymized to protect individual sample identities, and made available for access by all participants in the initiative.

She added: “We are actively collecting samples, and welcome growers to send in samples from their healthy, productive fields. For more information about how to get involved, please email us at [email protected].”

Sustainability Has Much Value Despite Its Teeth-Grinding Perception

November 1st, 2016

Many in the agricultural sector bow up their backs at the mere mention of “sustainability.”  They question the meaning of the term and see it simply as an added cost or a Trojan horse for prescribing someone else’s ideas for social, environmental and or economic practices on the farm.

What is definitely true is that “agricultural sustainability” frequently carries with it the agendas of others who think they know best how farmers should farm.  When these non-ag folks bring forward sustainability surveys, certifications, specifications or other programs intended to be implemented on the farm, it most frequently gins up resistance and pushback from the agricultural community.  That pushback is justified.  No matter how well intended others may be, they are not positioned to craft programs or specifications for a grower.  But, that doesn’t mean that the resistance to “sustainability” on the part of the agricultural community is justified.

There are many facets of a crop production system in which economics, environment and people (the designated three legs of the sustainability stool) may benefit through a performance-based approach to farming.  The minimization of inputs, the eradication of waste and a general focus on intentional restoration or building of natural and human capital will help agricultural systems to remain viable, strong, and contributive going forward.

Further, the focus on doing “more with less” is critical to ensure our future, given the fact that agriculture is being called upon to feed far more people with less land and water, and tighter regulatory controls.  Whether we move under the banner of “sustainability” or not is not important.  Taking control of our future by anticipating the constraints and then designing systems to eliminate them and build for the future is how agriculture will survive and thrive.

Look at the pressures facing California agriculture.  In many areas of the state, there is uncertainty regarding the current or ongoing availability of such things as water, labor and land.  There is also a crushing regulatory environment in which any number of California agencies are shifting away from the posture of working with the regulated community to ensure regulations are practical to one of command and control in which how you farm will be prescribed by bureaucrats with no to little experience outside government…much less on a farm.  This does not bode well for the future of California or its agricultural industry.

Our tried and true practice in the agricultural sector is to fight back against these types of pressures.  We take our voice, ground it in facts and science, and then confront detractors, push back on unsuitable policy, advocate for certainty in the system and even combat public opinion.  This historical approach is still occasionally effective and cannot be abandoned—ever.  But it is far less certain to carry the day in public policy arenas.

Is agriculture extractive in nature?  Are we linear in our approach to satisfying demand?  In other words, do we use raw materials as inputs to make products which, in turn, we sell to as many people as possible who then use and discard?  This is the classic “take,” “make,” “waste” economy which many will argue is only viable in scenarios where resources and inputs are abundant and inexpensive, and government or marketplace controls are not choking the system.

Agriculture does not neatly fit this model but there are aspects of it that hit close to home.  We in agriculture should consider reshaping the system.

We should begin to think and talk about how to build a circular economy for agriculture.  Are their ways to decouple the growth of agriculture from the limitations of finite resources and outside intervention?  Can we find the disruptive technologies and develop new business models that will advance renewability, reuse, elimination of waste, capacity sharing as well as other tenets of a business model that will ensure longevity while enhancing customer values of price, availability, quality etc.?  The value of a “circular economy” comes through resources that can be continually regenerated (ag might target soil, water, energy), optimized use of assets (ag might look to trading/sharing idle product and assets), longer life cycles (this may be harder for ag but service, remanufacturing, updating products present ways to monetize longer cycles) and linking value chains (what is the value of and who can use ag waste).

This thinking goes beyond “sustainability” which agriculture is already working on and should do more of.  This conversation will begin to help ag think critically about the challenges and opportunities to grow the industry (create value and business) in the face of scarce and volatile natural and human resources. It will likewise help to address those regulatory issues that are driving up cost and uncertainty.

There is no question that Western Growers will remain a stalwart opponent to those outside of agriculture who deem to impose their standards and specifications on industry without any benefit of practical experience.  At the same time however, the best solutions come from the farm and it is incumbent on us to explore the methods and models that will keep specialty crop agriculture strong, thriving, resilient and growing (profitable) so that we may make continued contributions to the health and well-being of people and the planet—the three legs of sustainability.

 

WG Welcomes New Members

November 1st, 2016

We would like to recognize and thank the following new members for joining the Western Growers’ family. Your patronage and support is greatly appreciated. We look forward to working with you and your employees through this upcoming year and beyond! 

Members who joined the beginning of this year through this past fall are as follows:

Regular

  • Avocado Resources Corporation
  • Borello Farms Inc
  • Captiva Verde Farming Corporation
  • Caviglia Brothers Inc
  • Charlie Northcross
  • G & M Farms Inc
  • Garry Richardson Farms
  • Gem Pack Berries LLC
  • GFO LLC
  • Griffith Bros
  • Healthy Trends Produce, LLC
  • Heritage Ranch Management
  • Integrated-Ag XL
  • J & V Properties
  • KEM Farms Inc
  • Kingsburg Citrus Ranch Management LLC
  • KSLB Holding Company LLC Ag Division
  • Lakeside Organic Gardens LLC
  • MUDDYBoot Ranches
  • Olea Ranch Company
  • Produce West
  • Rincon Pacific LLC
  • Roco Farms, LLC
  • Sea Breeze Farms, LLC
  • Shiloh Ranch
  • Sorrento Berry Farms LLC
  • The Salad Farm LLC
  • Valhalla Sales & Marketing Inc
  • Viota West

Non-Fresh Regular

  • Colorado River Tribes Farm
  • F & G Vineyard
  • Green Valley Floral Inc
  • JCM Farming Inc
  • KDC Farms
  • Pyramid Flowers
  • The Bremer Group LLC
  • Usibelli Vineyards Inc
  • Valley View Orchards                                                 

Associate

  • 140 Cattle Co Inc
  • A J Farm Labor Contracting
  • Alarid Farms LLC
  • Almond Alliance of California
  • Aqua4D Water Solutions
  • BAM Agricultural Solutions Inc
  • Bar Vee Dairy Inc
  • Canadian Solar
  • Central Coast Wine Services
  • City of Salinas
  • Concentric Power Inc.
  • Concept Clean Energy LLC
  • Conservis Corporation
  • Correa Pallet Inc
  • Costa View Farms
  • CropX Inc
  • Custom Fresh Harvesting Inc
  • De La Luz Inc
  • De Pue Warehouse Company Inc
  • Del Sur Produce
  • Devon Trading LLC
  • Duane Morris LLP
  • Elite Ag Labor Services Inc
  • Eva’s Vineyard
  • Fleming PC
  • Flex E Sack LLC
  • Floracurltura Pacific Inc
  • Food Origins
  • French Camp Vineyards
  • Full Harvest Technologies Inc
  • G3 Dairy
  • GrapeCo Farm Management Inc
  • Guess Cattle Co LLC
  • H & S Harvesting Inc
  • Harvest Port Exchange Inc
  • Hayashi Wayland
  • HeavyConnect Inc
  • Heritage Harvesting Inc
  • Inteligistics Inc
  • iTradeNetwork
  • J C Welding LLC
  • K-Coe Isom LLP
  • Kern Ag Labor Management Inc
  • La Costa Harvest Inc
  • L E Ranch LLC
  • Laura Quido FLC
  • Law Office of Marion Quesenbery
  • Law Offices of Geoffrey Gega
  • Martins Farm LP
  • Measure to Improve, LLC
  • Mendoza Bros Farming Inc
  • Mondavi & Family
  • Mountain States Wholesale Nursery
  • Myriad Flowers International
  • Netafim USA
  • Newbury Park Tree Service Inc
  • Oasis Agricultural Services LLC
  • Paso Robles Wine Services
  • Pioneer Market Waterford
  • Plant Nutrition Technologies Inc
  • Rachma Contracting
  • Responsive Drip Irrigation
  • Rice Growers Association LLC
  • River Fresh Farms
  • Rockshar Dairy
  • S Martinelli & Company
  • Santa Maria Harvesting LLC
  • Simplot Grower Solutions – Water Logic Services
  • Southern Star Seeds
  • Spector Corbett Architects Inc
  • Sunpower Corporation
  • Sun Rapt Farms Inc
  • TEC Equipment Inc
  • Total Labor Force
  • Trace Genomics Inc
  • Treats General Store
  • Valley Central Cooling
  • Vista Solar Inc
  • Water Balance Irrigation Advisor
  • WaterBit Inc
  • Wexus Technologies Inc
  • Wickstrom Dairies LP
  • Yuma Community Food Bank

National

  • Circus Fruits Wholesale Corp
  • Gregory G Smith
  • Humalfa
  • Knapp Farms LLC
  • Loveland Products
  • Mauro Farms
  • Peaks To Plains Food Distributing
  • Possibilities Unlimited 4U
  • Rocky Mountain Soil Stewardship LLC

For questions, contact Rob Steinmann at (949) 885-2266.