KIWIFRUIT ADMINISTRATIVE COMMITTEE
Meeting Minutes
Thursday, July11, 2012 – 10:00 a.m. -3:00 p.m.
Double Tree Hotel
1150 Ninth Street
Modesto, CA 95354
- Call to Order
Chairperson Kliewer called the meeting to order at 10:05a.m.
- Roll Call
Roll call was taken. In attendance were:
DistrictSeatMemberAlternate Member
11Jim SandersonRau Ratana
12Clyde LitchfieldMike Noland
13Gary Carlin-
14DougWilsonTom Schultz
21Sherod CraigJohn Yohannes
22Jerry KliewerVacant
23-Gary Smith
24Sean LawsonVacant
25-Vacant
31--
32JohnFagundesT.A. Heckel
Public MemberGreg Basila-
KAC ManagerChris Zanobini
Absent were: David Barry (Alt. Member District 1, Seat 3), Alfred Haas (Member District 2, Seat 3), Cindy Myers (Member District 2, Seat 5), Jane Criswell (Member District 3, Seat 1); Kurt Cappelluti; Paul Wiley (Alt. Member, Public Member).
Also present: Nick Matteis (KAC), Barbara Windmiller (KAC), Kathie Notoro (USDA AMS Fresno Office), Jose Villalobos (Wild River Marketing Inc.).
ESTABLISHMENT OF A QUORUM
Mr. Kliewerestablished that there was a quorum and moved to the next order of business.
APPROVAL OF MINUTES – March 29, 2012
A motion was made by Mr. Wilson to approve the minutes with the recommended changes, seconded by Mr. Carlin and the motion was unanimously approved.
MANAGERS REPORT
Mr. Matteis reported on the current numbers for the total 2011/12 kiwifruit crop, stating that the total shipments to date were approximately 9.2 million tray equivalents.He indicated that staff thought that a greater than the estimated 5% to 10% loss to repack could be greater causing the year total crop to possibly be less than 9 million tray equivalents. He added that the reporting for the season was timely with a few exceptions due to technical issues that prohibited handlers from submitting timely reports. He noted that the election results for the 2012 elections had been determined and provided a list of the candidates selected. He noted that the next step was to have a selection order approved by the Secretary in order to seat the new board. Lastly, Mr. Matteis noted that the audit report would be completed and presented at the next meeting.
USDA REPORT
Ms. Notoro added to the report on the 2012 elections and noted that candidate surveys were nearly complete.Once they were completed the nomination report could be submitted to USDA for approval of the selection order.
APPOINT PUBLIC MEMBERS
It was reported that Mr. Wiley was not ableto serve in the Public Member position. Mr. Basila was able and interested in continuing to serve as a Public Member. With the new vacancy of one of the Public Member seats it was noted that the Committee would need to identify another Public Member Candidate so that they can be appointed at the next meeting.
The Committee directed staff directed to send a letter thanking Mr. Wiley for his many years of service, as he was not able to make the board meeting.
A motion to appoint Mr. Basila as a KAC Public Member was made by Mr. Heckel, seconded by Mr. Sanderson and the motion was unanimously approved.
AD HOC SUBCOMMITTEE ON OUTREACH AND DIVERSITY REPORT
Mr. Matteis reported that the subcommittee met prior to the 2012 nominations to discuss the diversity and outreach plan and had no recommended changes.
APPROVAL OF 2012/13 MARKETING POLICY STATEMENT
A motion to approve the 2012/13 Marketing Policy Statement was made by Mr. Wilson, seconded by Mr. Schultz and the motion was unanimously approved.
OPEN FLOOR DISCUSSION FOR INDSUTRY RELATED NEWS
Mr. Kliewer opened the floor for discussion for current industry news and areas of interest.
An extensive discussion regarding the current Psa situation in New Zealand was held. It was stated that infections and orchard removals had been progressing and it was likely that 2012 could be one of the last seasons that the Hort 16a Gold variety would be marketed by New Zealand.
Mr. Fagundes noted that an exclusive meeting between the California and New Zealand industries would be held in Sacramento after the IKO Conference in September.
Ms. Notoro asked if a representative from USDA/APHIS could attend the meeting.
Mr. Fagundes noted that he would like to have both USDA/APHIS and CDFA present for the meeting.
A motion was made to submit a letter to the USDA requesting that research on arrival fruit from imported kiwifruit be conducted, seconded by Mr. Sanderson and the motion was unanimously approved.
PROJECTED 2012/13 CROP
The 2012/13 crop was discussed by the members. It was noted that due to frost and hail damage in the south that the crop was going to be smaller than the crop the past season. Additionally, it was indicated that fruit set was generally not as heavy as the season prior and that the size profile would be more evenly distributed compared to the larger sizes seen in the season past.
Mrs. Windmiller gave a detailed crop estimate report that indicated the crop would be 15% to 20% smaller than the season past. She noted that she and Mr. Matteis observed the damage by the hail and frost in the south and that overall fruit set in both the north and south was lighter as well. She stated that the total 2012/13 crop would conservatively be between 6.2 and 7 million tray equivalents.
A motion to approve the crop estimate for 2012/13 at 6.2 million tray equivalents was made by Mr. Wilson, seconded by Mr. Fagundes and the motion was unanimously approved.
Mr. Kliewer called for a recess at 11:25 a.m. and state that the Committee would go right into closed session after the break.
KAC MANAGEMENT CONTRACT
The meeting was called back to order at 11:48 a.m.
Mr. Matteis stated that there had been no changes to the management contract or the management fee and indicated that a motion was need to approve the contract by the Committee.
Amotion to approve the management agreement with AAMSI was made by Mr. Heckel, seconded by Mr. Lawson and the motion was unanimously approved.
FINANCE/ASSESSMENT
Mr. Zanobinigave a report on the current financials of the KAC. He noted that all expenses were within the 2011/12 budget. He added that assessment revenue would be greater than estimated as the total 2011/12 crop exceeded the beginning of season estimate.
APPROVAL OF 2012/13 BUDGET AND ASSESSMENT RATE
Mr. Zanobini gave a detailed report on the budget line items and noted that the contingency note on the 2011/12 budget expenditures stating that the $832 was to be $10,000.00 as indicated in the proposed 2012/13 budget.
A motion to approve the 2012/13 budget and an assessment rate of $.035 per 19.8 lb volume fill was made by Mr. Carlin, seconded by Mr. Heckel and the motion was unanimously approved.
REVIEW OF 2012/13 REGULATIONS
The Committee reviewed the regulations as approved in the March 29, 2012 and discussed whether regulations needed to be changed.
CONTINUANCE OF 2012/13 REGULATIONS
A motion to continue the 2012/13 Regulations was made by Mr. Wilson, seconded by Mr. Carlin and the motion was unanimously approved.
COLLECTION AND DSITRIBUTION OF INDSUTRY STATISTICS
Staff reported that the Committee may want to look at stream lining the reporting process and look at ways to simplify the reconciliation of the weekly and monthly reports. It was noted that there were some issues in the season past with conversions being incorrectly made due to the difference in pack styles reported in the monthly and weekly reports. Staff committed to look into ways to make the reporting more efficient in the upcoming season.
FORMAL RULEMAKING UPDATE
It was mentioned by Mr. Matteis that the KAC office received a letter from Robert Keeney of the USDA acknowledging the submittal of the KAC’s request to address the proposed changes through the informal rulemaking process. The letter indicated that the request was under review by the USDA and that the Committee would be contacted to further discuss the proposals and amendment process.
ISSUES AND SCHEDULING FOR NEXT MEETING
It was decided that the next meeting would be scheduled for September 27, 2012 in Sacramento.
ADJOURNMENT
Mr. Kliewer noted that as there were no other items to discuss the meeting was adjourned at 1:15p.m.
Jerry Kliewer, Chairperson
John Fagundes, Vice-Chairperson
Clyde Litchfield, Secretary/Treasurer
Kiwifruit Administrative Committee
Minutes Taken by Nick Matteis
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