What’s The Future of the Organic Check-Off?
By Melody Meyer
After years of public debate and months of public comments the fate of the GRO Organic check-off now lies in the hands of the USDA. Lauded by many as the answer to organic funding needs, the program is also hotly contested by some farmers and conventional commodity groups. With the debate now quieted, the destiny of the organic check-off could come into view as early as this fall.
The Organic Check-off - how we got here
Between 2012 and 2015 the Organic Trade Association and check-off proponents conducted public outreach on key tenets of the proposal. The final application was petitioned to the USDA in May 2015, with many key revisions and reforms included in the draft as a result of the stakeholder outreach.
Equal representation of producers and handlers on the governing board was just one idea incorporated into the proposal. The design offers a unique check-off paradigm with full value chain assessment, with only those farmers and handlers with gross organic revenue below $250,000 having the option to voluntarily pay into the program.
The proposal earmarks up to 75 percent of the check-off funds for research (including regional priorities), for disseminating information on organic research and studies, and for technical assistance. It also ensures that all the research, inventions and innovations resulting from organic check-off programing remain in the public domain. The balance of the funds will be used for promotional purposes such as consumer education, advertising and crisis management for the organic industry.
And for those who believe the program isn’t working, there is a built in safety net that calls for an industry referendum every seven years to decide whether or not to continue the program.
On January 17, 2017 the USDA published the proposed rule and opened it up for public comment. Comments originally due on March 20th were extended by the new administration by 30 days to April 19, 2017. At closing there were 14,757comments submitted to the federal register both in favor and against.
What’s the Future Hold?
Currently the USDA is analyzing and reviewing the comments on both sides. At this point they have several options that will ultimately decide the future of the program. Among the available options for the USDA:
- incorporate changes from the public comments, publish a final rule and conduct a referendum for the industry to vote on. If the referendum passes, an industry governed board would be appointed by USDA.
- incorporate changes from the public comments into another proposed rule that would open up another round of public comments in the federal register.
- site the “no” comments and reject the rule entirely with no further action.
- simply do nothing because the USDA is under no obligation to move forward in any way.
Check-off proposals often endure the machinations and grindings of the federal government. It’s a little known fact that the Christmas tree check-off program took nine long years from the time the application was submitted in 2008 until the board was appointed in 2016.
The Organic Trade Association holds a bond that reimburses the USDA for the staff time spent on the application. This bond expires in September so there should be some indication this coming fall of where the USDA will go.
In the end the decision will need to balance the concerns of small farmers and commodity groups with an organic industry looking for funding, all within an administration that is pro-business.
Read past OPN coverage of GRO Organic:
Pictured co-owners Bu Nygrens, Mary Jane Evans and Karen Salinger
OPN Connect exclusive interview with pioneers of the organic trade Bu Nygrens and Karen Salinger, co-owners at Veritable Vegetable. Beginning in the early 1970’s, Veritable Vegetables became part of a movement that sought to bring low-cost, nutritious food to neighborhood co-ops and community storefronts.Read More
By Mindy Hermann RD
Responding to the double digit growth of organic fresh produce production, the organic seed industry is continually developing seeds to meet supply chain needs for yield, disease resistance, and resource management.Read More
By Jenn LaVardera, MS RD
In response to the growing demand for sustainability in packaging choices, Sambrailo’s new ReadyCycle™ packaging provides an eco-conscious clamshell alternative that utilizes paperboard as the structural material as opposed to PET (polyethylene terephthalate, a type of plastic).Read More
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