THE DEBATE about continuing the Alberta Beef Producers nonrefundable $3 per head levy is a matter requiring serious consideration.
Once examined, the spotlight will likely shift from how the money is collected to how it is spent, raising the issue of democratic control and accountability.
The matter must be resolved because the Alberta cattle industry needs a strong voice in this time of challenge.
Soaring feed costs, a strong dollar, labour shortages and problems lingering from the BSE crisis present a range and depth of challenges rarely faced.
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Industry leaders have devised responses to the challenges in consultation with government and the American cattle industry.
But while some markets are accessible again, the successes have not stopped a steady decline in the financial fortunes of cattle producers.
The checkoff generates $14 million a year. In addition to funding ABP’s own policy and lobbying operations, money goes to research and to promoting beef consumption at home and abroad.
All these activities have value, but some producers believe the exceptional difficulties confronting the industry require new responses, although exactly what is not clear nor universally agreed upon.
Some believe the ABP executive does not heed their concerns and suggest the checkoff should be refundable, in the belief that those who control the purse strings control the organization.
A refundable system would not necessarily incapacitate the organization.
Many farm organizations with refundable levies find the refund level is 10 percent or less.
But there is an unfairness to them because they allow those who take the refund to benefit from the lobbying, research and promotion even though they didn’t help pay for it.
Also, far too many agricultural organizations have inadequate funding, struggling to find the money needed to fund research and lobbying. This puts them at a disadvantage to richer groups like businesses and environmental groups when making their case to the public and governments.
Money is also needed for promotion at home and abroad. Canadian beef exporters often find their promotions pale compared to better funded programs from the United States and Australia, both of which have non-refundable beef check-off programs.
Organizations with strong, stable funding, like the current set up at ABP, have an advantage.
So instead of endangering that advantage by focusing on the funding issue, it would be valuable to take advantage of the ABP’s current review of its regulations and structure to seriously assess whether the system of representation accurately presents the voice of the grassroots.
Also, each producer should ask themselves if they have regularly supported their organization by keeping informed, offering advice, attending meetings and being prepared to serve as delegates, or have they left its operations to others.
As French political thinker Alexis de Tocqueville said, people get the government they deserve.
Bruce Dyck, Terry Fries, Barb Glen, D’Arce McMillan and Ken Zacharias collaborate in the writing of Western Producer editorials.
