CALGARY – Farmers must now conduct at least $50,000 worth of business with Agricore United each year to qualify for enhanced benefits, including invitations to meetings where delegates are chosen.
In the past, farmers needed only $10,000 worth of business over two years to qualify for company membership.
The changes are designed to revamp the outdated local farmer meetings, which few farmers attended, and to reward customer loyalty, said AU board member Alanna Koch.
“We’re not trying to make it onerous, just a level that measures loyalty,” said Koch.
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Some delegates believed having a $50,000 entrance fee to attend the AU grower meetings would be too difficult for farmers to attain.
Alvin Hubert of Bonanza, Alta., said there are several smaller farms, or older farmers who have scaled back in his area, who wouldn’t be eligible to attend the important AU grower meetings.
“The older guys that built the country deserve to be there. I just don’t think we should be cutting them out. They built the company, they built the country. We’re prospering because of the guys that opened the land before us. They deserve the right to be recognized and honoured by that. Not inviting them does the opposite,” said Hubert.
Farmers who meet the current membership level of $10,000 over two years are still eligible to run for member director and delegate positions, although they would not be invited to the AU grower meetings where the delegates are selected.
As part of the membership restructuring, the 100 existing member advisory group meetings would be replaced with 15 to 30 AU grower meetings, which would include presentations by AU and industry experts.
Ken Friesz of southern Alberta said the switch to larger, regional meetings is a good idea, which could attract what he called “upper-end” farmers.
“The last couple of (advisory group) meetings had maybe 10 people and I’d say most of them were probably there just for the free lunch.”
Koch said the current local meeting format was formed with the merger between Agricore and United Grain Growers in 2001, but the meetings have changed little since the first local boards were established in 1917.
The new structure would also change the way policy is formulated. Instead of farmers sending resolutions to the annual meeting from the local meetings, AU policy development would be based on customer surveys and questionnaires.
“We believe this would produce a much more representative picture of the wishes of members than may have been the case in the past,” Koch said.
Garth Hugill of the Swan River, Man., said he was concerned surveys designed to solicit certain answers will replace grassroots policy development.
“This has the potential to be a public relations disaster. What about the older and smaller farmers who have always been loyal to the company?” asked Hugill.
“We might not call it a two-tier system but I think people would see that.”
Already, 330 farmers have volunteered to be part of a policy advisory group. They will receive updates on key policy matters and will provide feedback on those developments.
Koch anticipated no roadblocks to the bylaw changes at the April shareholder meeting.
