SASKATOON – Change was coming even if Saskatchewan Stock Growers Association members hadn’t voted in favour of a new provincial cattle organization.
An emotionally charged debate at the SSGA annual meeting June 17 ended in a 71-52 vote to support the proposed Saskatchewan Cattlemen’s Association.
The SCA intends to become a development commission under provincial legislation and take control of the beef industry’s check-off fund. Right now the provincial government holds that fund on behalf of the industry.
Last year the fund collected about $1.6 million from $1 per head sold, which is used to fund research projects and other industry activities.
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The notion of losing government oversight concerned some members, but deputy agriculture minister Alanna Koch told the meeting that the beef checkoff is the only one administered by the province.
She asked why an industry as independent as the cow-calf sector would want government involvement.
“The government would have been looking at this issue in very short order anyway,” she said before the vote.
Koch said the government wouldn’t force a decision.
“But I can tell you, in the not too distant future we would be looking at probably asking you to make a change anyway, just because, as I said, it’s inconsistent.”
A former SSGA president, Boyd Anderson, was among those who established the checkoff. He said it was one of the first and government involvement was desired for “a last look.”
“We recognized that we were comparatively green,” he told the meeting.
Koch noted the checkoff under the Cattle Marketing Deductions Act was innovative at the time and led to the establishment of the provincial Agri-Food Act and other commissions.
Still, she said the other commissions operate their own collection processes. The province handles the beef checkoff for a fee of $25,000, which is far below the actual cost.
The SCA proposal suggests administration would cost about $250,000 per year.
Bob Ivey, interim SCA chair, said that includes the cost of a chief executive officer, a much-needed policy analyst and running an office. The SCA would represent all cattle producers in the province who pay the checkoff.
Stock growers opposed to the SCA said they were concerned about losing a voice that speaks for cow-calf producers.
The Saskatchewan Cattle Feeders Association has already voted in favour of the new umbrella group.
Both the SSGA and SCFA are to remain in operation, but some questioned how that could happen and what voice they would have.
“Are we going to have three groups running to the government?” asked former SSGA president Marilyn Jahnke. “All you want is the check-off money.”
She said the stock growers have a good reputation across North America and have done a good job representing producers.
But Ivey countered that by not having control of the money, the industry is not doing well. Since May 20, 2003, when BSE was discovered in Canada, the workload of the association executives has increased immensely.
“We’re not doing it,” he said. “Life has become a whole lot more difficult.”
Ivey said the fact that both the SSGA and SCFA have required operating money from the check-off fund is evidence.
Under the SCA, the checkoff would remain refundable. About $100,000 was returned to producers last year.
In an interview, Ivey said the SCA would soon apply to become a development commission under the Agri-Food Act. Agriculture minister Bob Bjornerud has to approve the application.
“The minister has never tipped his hand,” Ivey said. “Have we demonstrated there is adequate support? I don’t know.”
Ivey also said the SCA will work to make sure the SSGA knows it is a valuable and necessary part of the association and the industry.
At the meeting, some disappointed members were already pledging to move forward.
Rick Burton, vice-chair of Alberta Beef Producers, attended the Saskatchewan meeting. He said he thought the correct decision was made because solid funding is critical.
He also said the stock growers and cattle feeders would remain valuable voices at the policy table.
“It depends on the people there,” he said. “You work as best you can to refine a policy that all the different groups can be comfortable with.”
If a decision can’t be made, then no position is taken. Burton said that’s better than going to government with two positions because the end result of that is getting nothing.
