Cattle

Industry

Development

Council

Z:\CIDC\reports\ANNUAL REPORTS TO MINISTER\CIDC REPORT 2012 FIRST DRAFT March 26 2012.docx

#4-10145 DALLAS DRIVE,

KAMLOOPS BC V2C 6T4

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Cattle Industry Development Council Annual Report 2011-2012

Page 1

AnnualReport for 2011-2012March 31, 2012

Report by Chair Linda Allison

This report is presented on behalf of the producer members of the Cattle Industry Development Council, elected volunteers who carry out the work on behalf of the producers paying the check-off in British Columbia.

CIDC Income - Declining cattle numbers in the province are evidenced in the collections in check-off this year. We collected check-off on about 20% less head than last year (199,500 head, 248,300 last year), with check-off collected at $598,000. Refunds however were up a bit, at $3,631. In this past year $46,600 was received for 23,300 head of BC cattle sold in Alberta and Saskatchewan (inter-provincial check-off). Council appreciates the efforts of the many agents, dealers, sales yards and slaughterhouses, and Ownership Identification Inc., who all assist in the collection of check-off at time of sale.

The check-off dollars have continued to trigger matching funds from the Beef Cattle Industry Development Fund (BCIDF). This has enabled the CIDC to continue to support the associations’ applications for project funding. In 2011-12 the associations were able to return their applications to previous levels, following 2009-10 when they were asked to reduce their requests by 60%. For 2010-11, a total of $637,400 ($318,700 from CIDC and $318,700 from the BCID Fund) was approved for projects carried out by the provincial cattle associations.

National Check-Off – $1 per head of the check-off in BC is the non-refundable national check-off. On behalf of BC producers, $199,500 was paid to the National Check-off Agency to support the national and international efforts of promotion, development and research. Grant Huffman agreed to serve as BC’s represented to the newly established Canada Beef Inc.

Beef Cattle Industry Development Fund - Since 1995, the Beef Cattle Industry Development Fund has contributed over $10 million to projects that benefit the beef cattle industry. Those funds have gone toward 316 projects. There is a requirement for other funders to contribute to the project, and when all of those contributions are tallied, there is a total project value of $34.5 million in the first 15 years of the 20-year fund.

During 2008-2009, reduced earning available in the Beef Cattle Industry Development Trust Fund was a concern of Council. Because the cattle industry has been so successful in triggering funds from the trust earnings, coupled with the down turn in the financial markets, there were no triggerable funds available. Council confirmed that the funds for approved projects had been set aside, and decided to stop accepting funding applications until the Trust had time to build up earnings again.

The BCID Fund is a major funding supporter of the Thompson Rivers University Chair in Cattle Industry Sustainability. Council receives reports from the Chair, and is involved in the advisory committee to ensure benefits to the cattle industry from the work of the Chair.

The track record of the BCID Fund has proved very beneficial for the cattle industry. The above-mentioned $10 million has been generated over the years by the $9.347 million trust fund. The capital in that Trust remains and will generate continued funding for the term of the trust.

The extension of the Beef Cattle Industry Development Trust to a long term trust to benefit the beef cattle industry has been a top issue for Council over the last several years. We are extremely pleased to finally report that the documents have been signed, and the Trust will remain in place for the cattle industry of BC until it expires on January 26, 2075. The sixty-three years remaining in that trust will provide some stability for the industry for the limited funds to continue to be available. Council is interested in expanding that potential, and is considering means of establishing a foundation to enhance opportunities. With a long term outlook, Council will be reviewing the investment strategy and funding priorities. We will continue to seek input from the associations for funding priorities.

Presidents’ Meeting

The annual meeting with the Associations Presidents and Managers was scheduled for April 26 this year, in advance of the CIDC meeting.

Horn Levy- The Horn Levy Committee that meets independent of CIDC, held two tele-conferences this year, during the year. They report that Horn Levy collected this year is also down, but the application to the fund have also decreased this year. Funds from the Horn Levy are available for suitable projects on application from cattle organizations. Five new projects were approved, for a total project funding of almost $20,000. The Horn Levy representatives assess each application and have approved funding for a number of very beneficial activities.

Our thanks to the representatives on the Horn Levy committee for their time and expertise in reviewing the applications.August Bremer (BCACF) is the committee chair and Bill Bentley (BCCA) is vice-chair who serve together with Bob Storey (BCCA), and Marvin Tonn(BCBFA). Bob Miller of OII and BCMA Beef and Bison Specialist, Don Low also participate in the meetings.

Communications – Council again met less often as a means to reserve resources – two meetings were held and one teleconference as well as keeping in touch via email. Council issued a summer newsletter and continued with the website We have developed a check-off logo for use in recognizing funding contributions. The annual meeting of Council will be held early in the summer.

Representation - The industry associations that make up the Council (BC Association of Cattle Feeders, BC Breeder and Feeder Association, BC Cattlemen’s Association and BC Dairy Association) elect their representatives to Council. Council has eight producer representatives and the Provincial Beef and Bison Specialist (Don Low) serves on Council in an ex-officio capacity. Also from the Ministry of Agriculture, Sherry Greening is our direct contact with the Business Risk Management Branch of the BC Ministry of Agriculture, and thanks to Rob Simon who worked until the fall on the steps needed to complete the roll-over of the Trust.

The members of the Cattle Industry Development Council continue to work co-operatively for the best use of funds paid by producers. I would like to thank the Council members for their commitment this year as they worked to ensure that the BCID Fund and check-off dollars are spent for the benefit of the beef industry in BC.

Respectfully submitted,

Linda Allison

Chair

Council Members:

BC Association of Cattle Feeders: Bill Freding (Oliver)

BC Breeders and Feeders Association: Connie Patterson (Dawson Creek)

BC Cattlemen’s Association: Linda Allison, Chair (Princeton), Harold Starr (Miocene), Bill Bentley (Progress), Grant Huffman (Riske Creek)

BC Dairy Association: David Janssens Vice-Chair(Surrey), Clarence De Boer (Delta)

CIDC/BCIDF Association Projects Approved 2011-2012
Association Project Budget / Eligible Associations / BCIDF
Funds Approved / CIDC
Funds Approved / BCIDF
+
CIDC
65,000 / BC Assoc Cattle Feeders Projects / 30,500 / 30,500 / 61,000
89,881 / BC Breeder Feeder Assoc Projects / 36,200 / 36,200 / 72,400
584,666 / BC Cattlemen Projects / 210,000 / 210,000 / 420,000
277,000 / BC Milk Producers (now Dairy Assoc) / 42,000 / 42,000 / 84,000
1,016,547 / TOTALS / 318,700 / 318,700 / 637,400

Horn Levy Fund Representatives:

BC Association of Cattle Feeders: August Bremer, Chair (Enderby)

BC Breeders and Feeders Association: Marvin Tonn (Kelowna)

BC Cattlemen’s Association: Bill Bentley, Vice-Chair (Progress), Bob Storey (Smithers),

Horn Levy Fund - Projects Approved 2011-2012
Grazing Mgt & Grass Genetics/Seminars / Cariboo Cattlemen/Kamloops Stockmen / 6,570
Targetted Grazing (weeds) / Cariboo Cattlemen’s Assoc / 3,000
Washrack-North Thompson Agriplex / W Barriere Stock Assoc / 6,000
BC Carcass Tracking & Quality Info. System / BC Cattlemen’s Assoc / 3,711
Livestock Emergency Response Course / Cariboo Cattlemen’s Assoc / 700
2011 2012 YEAR / 19,981