The refundable checkoff on livestock, put into place by the Alberta government last year, has hurt finances of the Alberta Lamb Producers and eroded its ability to work for producers, says the organization’s president.
In a written report to producers, Phil Kolodychuk said that 12 producers asked for checkoff refunds in 2010-11.
Though the number was small, the refunds accounted for almost nine percent of total check-off money received. Of the $183,916 collected, $16,215 was refunded.
“Of the total requested, 46 percent was refunded to one producer and 62 percent of the total to two producers,” said Kolodychuk.
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“Each check-off dollar has leveraged well over $4 in external funding so an extra $16,000 could have leveraged at least $70,000 of funding for industry development, producer education and support.”
Producers at an ALP Zone 2 meeting Nov. 5 in Lethbridge confirmed that reasons for refund requests are being tracked.
Executive director Margaret Cook said it appeared the requests were a matter of producers using an opportunity to regain funds for use in their own operations.
“It doesn’t seem to be that people are unhappy with what we do. It’s just that it’s an opportunity to get money back, which is pretty sad,” Cook said. “We do regard it as their investment in their industry and it was actually very heartening to hear those comments from the producers in the room that they believe it’s a good investment.”
The ALP checkoff is $1.50 per animal, payable when producers buy tags through the Canadian sheep identification program.
Cook said it is unlikely that refundable checkoff legislation will be changed in the near future but ALP will continue to make its objections known.
“We’re just going to maintain dialogue with the government, particularly now what we have a new agriculture minister. We do have support from most producers.”
