Enterprise Magazine Spring 2021

Economic Development in Oregon’s Mid-Willamette Valley Spring 2021

Consider the Hop Taking a close look at the unique and vital world of our region’s Ag Supply Chain

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Spring 2021 Features 4 This Is A Hop

In this Issue 2 3

SEDCOR Board and Staff Consider the Hop President’s Message by Erik Andersson

8

Insights from the Technology Association Of Oregon Agriculture Innovation Design Sprint

by Cara Turano

10 Insights from the BBSI Know your Numbers!

by Eric Nelson

12 Insights from Chemeketa Community College Chemeketa Opens Agricultural Complex

14 Interview Iverson Family Farms and FSOil

18 County News MARION - Comissioner Danielle Bethell YAMHILL - Commissioner Lindsay Berschauer POLK - Commissioner Craig Pope

23 Around the Region OregonERP Awarded High Impact Opportunity Project Grant Indy Commons Preps Launch of Shared Kitchen Chemeketa Community College Opens Diesel Mechanic Program Marion County Rural Exemption Program

Aldrich Advisors................................................................24 Bank of the Pacific............................................................17 Cascade Collections.........................................................13 Chemeketa College..........................................Back Cover Chemeketa Truck Driving...............................................19 Cherriots.............................................................................24 Citizens Bank ��������������������������������������������������������������������21 City of Salem ���������������������������������������������������������������������13 Coldwell Banker Commercial.........................................26 Covanta Marion................................................................18 Datavision...........................................................................25 Dalke Construction Co. ��������������������������������������������������15 EnergyTrust of Oregon ���������������������������������������������������28 Freres Lumber....................................................................27 GK Machine......................................................................... 7 Green Acres Landscape ��������������������������������������������������22 Hancock Real Estate.......................................................... 6 Huggins Insurance............................................................11 In the Cloud Technology.................................................19 Multi/Tech Engineering Services..................................25 Oregon Cascade Plumbing & Heating.........................19 Oregon Community Foundation..................................... 9 Pacific Power ....................................................................17 Pfeifer Roofing..................................................................25 PNM Construction...........................................................13 Powell Banz Valuation.....................................................11 Power Fleet Commercial Sales......................................10 Print Specialties ������������������������������������������������������������������ 1 Rich Duncan Construction ��������������������������������������������20 Salem Contractors Exchange.........................................25 Santiam Hospital.................................. Inisde Back Cover Select Impressions ������������������������������Inside Front Cover Sherman Sherman Johnnie & Hoyt, LLP ��������������������17 Sign Crafters........................................................................ 7 Snap Shield........................................................................... 7 SVN Commercial Advisors..............................................21 SwiftCare Medical Clinic.................................................18 Thomas Kay Flooring & Interiors..................................21 Tru-Blu Protection.............................................................. 7 White Oak Construction �������������������������������������������������� 3 Willamette Community Bank........................................23

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Mt. Angel Publishing is proud to work with SEDCOR to produce Enterprise.

To advertise in the next issue, contact Jerry Stevens: 541-944-2820 SEDCOR@mtangelpub.com www.sedcor.com

Enterprise Spring 2021 1

SEDCOR Staff Erik Andersson

Executive Council Chair

Members at Large

Daryl Knox

Colm Willis

Past Chair

Rich Duncan

Partner, The Aldrich Group, CPA

Marion County Commissioner

Mark Hoyt

President, Rich Duncan Construction Inc.

Secretary/Treasurer & Chair Elect

N. Levin Industrial Real Estate

Partner, Sherman Sherman Johnnie & Hoyt, LLP

Michael Fowler

CEO, Cabinet Door Service

President 503-837-1800 eandersson@sedcor.com

Nathan Levin Steve Powers

City Manager, City of Salem

Steve VanArsdale

General Manager, Garmin AT, Inc.

Jenni Kistler Director of Operations 503-588-6225 jkistler@sedcor.com

Board of Directors Curt Arthur

Owner, SVN Commercial Advisors

Ricardo Baez

President, Don Pancho Authentic Mexican Foods, Inc.

Rod Lucas

Owner, Turner Lumber, Inc.

Johnny Mack

Executive Dean of Career and Technical Education Chemeketa Community College

Chuck Bennett

Lindsay Berschauer

Mayor of Salem

Yamhill County Commissioner

David Briggs

Trial Lawyer, Partner, Saalfeld Griggs PC

Patricia Callihan-Bowman

Kim Parker-Lleranas

Executive Director Willamette Workforce Partnership

James Parr

Owner/Career Coach Express Employment Professionals

CFO, Salem Health

Cathy Clark

Craig Pope

Mayor of Keizer

Alan Costic AIA

President, AC+Co. Architecture

Brent DeHart Amy Doerfler

Secretary/Treasurer, Doerfler Farms, Inc.

James Dooley

President, Larsen Flynn Insurance

Theresa Haskins

Business Market Manager Portland General Electric

Byron Hendricks George Jennings

Counsel to the President, Mountain West Investment Corporation

Jamie Johnk

Economic Development Director, City of Woodburn

Ken Jundt

Regional Manager, Columbia Bank

Michael Keane

Polk County Commissioner

Jim Rasmussen President/CEO, Modern Building Systems, Inc.

Mark Raum

VP Commercial Lending, Umpqua Bank

Conner Reiten

Government Affairs, NW Natural

Tony Schacher

General Manager, Salem Electric

Nick Harville Marion County Business Retention & Expansion Manager 503-837-1804 nharville@sedcor.com

Alex Paraskevas Rural Innovation Catalyst Polk County Business Retention & Expansion Manager 503-837-1803 alexp@sedcor.com

Scott Snyder

Regional Manager, The Grand Hotel in Salem

Jenna Steward

Agritourism Manager, Crosby Hop Farm

Randy Stockdale

Foundation Director, Legacy Silverton Medical Center

Dave Takata

FSVP/Commercial Team Lead, Willamette Community Bank

Abisha Stone Yamhill County Business Retention and Expansion Manager 503-507-4175 astone@sedcor.com

Kathy Tate

Attorney/Shareholder Garrett Hemann Robertson, P.C.

CEO, Online NW

Diana Knous

President, The Ulven Companies

Dan Ulven

Regional Business Manager, Pacific Power

Jennifer Larsen Morrow

President, Creative Company, Inc.

Michael Miller Marketing and Communications Coordinator 503-588-6225

626 High Street NE, Suite 200 • Salem, OR 97301 503-588-6225 • info@sedcor.com • www.sedcor.com

2 Enterprise Spring 2021

mmiller@sedcor.com

Consider The Hop - 2021 Ag Issue

Consider the Hop As I’m writing this, Ruddenklau Farms is delivering its first truckload of high-protein redspring wheat to the Yamasa USA soy sauce production facility in Salem. On the surface, this event probably looks like standard operating procedure in this area, but to our team at SEDCOR, it represents a brand new age in local agriculture. We are entering a time when innovative ideas, new partnerships, and risk-taking will move the age-old industry of farming to an exciting new era. SEDCOR is excited to be at the front of this transformation.

If you’ve been on our SEDCOR YouTube channel, you hopefully have seen a short video called, “Consider the Hop.” We collaborated with Two Cent Productions on a brief, animated demonstration of our region’s unique Agriculture Supply Chain by focusing on the hop. In the video, we show the journey from the hop farm to the tap at your favorite restaurant, to illustrate that every step of that journey provides jobs and economic impact in our region, from farm workers and machinery manufacturers to truck drivers, warehouse operators, marketing professionals and brewers. And hops is just one of over 170 specialty crops grown in the WillaErik Andersson mette Valley and all of those crops support countless jobs in numerous industries.

SEDCOR President The main goal of the video, and what we want to communicate through our Ag Issue of Enterprise: ag matters. It matters to us at SEDCOR. It matters to our members. It matters to our partners. And it is the strong base from which many other local industries originated.

And speaking of partners, SEDCOR strengthened and formalized many of our partnerships this last year. Private, nonprofit, and governmental. These partnerships help us deliver more valuable resources to our members and the businesses and communities we serve. They multiply our team’s “know-a-guy” powers and expand our network so we can offer more to our region’s most unique and vital industries. In the pages of Enterprise, you’ll see more articles written by those partners, giving you additional perspectives from around the region. They have a lot of Danish brewer Mikkeller’s Oregon Fruit Series valuable things to say and we are so grateful to open our pages to them so they can developed in collaboration with Oregon Fruit share with you.

Products of Salem to explore and pair different beer Agriculture is a tough, complicated business. It is both hyper-local and increasingstyles with top quality fruit. ly international. Its success or failure is reliant on nearly everything going exactly right. It takes a lot of good planning and more than a little bit of good luck. In the pages of this issue, we are going to do our best to tell the story of ag in the Willamette Valley. It will undoubtedly be incomplete, but we hope it helps you appreciate all the hard work, creativity, and grit that got that hoppy IPA (and nearly every other thing you eat or drink) from the farms in our collective backyard to your upcoming backyard barbeque.

— Erik

CCB# 111431

2455 River Rd S, Salem, OR 97302

503.588.3081 WhiteOakConstruction.net www.sedcor.com

FROM CONCEPT TO COMPLETION Enterprise Spring 2021 3

THIS IS A HOP Take a journey with us. As you take a close look at how this one specialty crop goes from farm to your favorite brewpub, we believe you’ll better understand the intricate, unique, and dynamic world of the Willamette Valley’s Ag Supply Chain.

You’ll appreciate the growers, support the processors, and do your part to make sure our local economy (based heavily on ag and its supporting industries) continues to thrive.

4 Enterprise Spring 2021

Consider The Hop - 2021 Ag Issue

During the summer of 2019, our team at SEDCOR collaborated with a local animation studio to produce a short video about the hop.

Our goal was to quickly examine and explain the unique position of our growing region in the world economy and how one crop among over 170 specialty crops grown in the region gives rise to an incredible number of supporting industries. Those industries, in turn, supply stable jobs to communities all over the Valley.

Eventually, these crops become products that are enjoyed by customers all over the world.

The hop represents to us an entire ecosystem of creativity, collaboration, and homegrown entrepreneurship.

Understand the life-cycle of the hop and you can understand the backbone of region's economy.

This hop is grown here…

by large corporations and are heavily subsidized. In our region, most of our growers are small, privately-held production farms.

These farms, although small, have a huge economic impact. In 2019, greenhouse products alone produced over $955 million in sales. Hazelnuts produced over $84 million. Hops did over $71 million.

Impressive as these numbers might be, it is important to remember that almost all of these farms look and act more like small, local businesses. They are usually owned by one family or a small group of partners. They hire and keep a relatively small staff.

They have bills and overhead. They have to continually find ways to save money and increase their yields while keeping their costs down.

In the Willamette Valley, we produce such high-quality crops like hops because of the caring, agile nature of our growers.

Here’s a game you can play next time you’re driving in any direction through the Valley. Look out and read the crop signs.

Our friends at Oregon AgLink have placed over 200 signs on major thoroughfares all over Oregon; white signs with bold green writing. Count how many different crops you noticed just within a short drive.

The hop grows here, in Oregon’s Willamette Valley. But it doesn’t just grow here. In fact, there is an entire economy and infrastructure set up to make hops (and almost all specialty crops) available to the whole world.

The hop is then dried here…

“The story of the Willamette Valley’s sub-brand of Oregon Agriculture is one of production family farms growing high value specialty crops. Unfortunately, the part that gets missed by most Oregonians is that every farm you drive by is an internationally competitive small business. That’s true of all farms, but since we’re over 97% family farms in the State of Oregon it makes it a pretty special region – a quilted patchwork of small family businesses across three counties, competing on the national and international stage.”

--Alex Paraskevas, SEDCOR Ag Innovation Catalyst Three counties make up what we call the Willamette Valley and are the counties we serve at SEDCOR: Marion, Polk, and Yamhill Counties.

In our three counties alone, local farmers grow over 170 specialty crops. According to the United State Department of Agriculture, specialty crops are defined as, “fruits and vegetables, tree nuts, dried fruits and horticulture and nursery crops, including floriculture.” Our region stands out as one of the most diverse and impressive growing regions because we can produce almost anything in the expansive category of specialty crop.

As you drive through the Valley, you’ll notice we do not have rows upon rows of wheat, corn, or soy. We are the furthest thing from an agricultural monoculture. Those crops are usually grown

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“Our region is known around the world for growing great products.

Our processors know that. They appreciate it. The way in which they treat products in their processes--in packages, marketing, plot tracing--perpetuates that value to the customer.”

-- Abisha Stone, SEDCOR Business Retention and Expansion Manager for Yamhill County Many people imagine the process of getting crops out of the ground and to a customer as relatively simple and straightforward.

Grow it. Pick it. Ship it. Done.

In reality, after something like a hop is grown, the journey has barely just begun. This is where things can get complicated.

But this is also where it gets exciting. It is where many creative companies step in to solve intricate problems.

In the case of the hop, it has to be picked. This takes equipment designed specifically for how the hop is grown--strung in rows in metal wires. Much of the equipment used to pick hops is designed and manufactured locally. In fact, many manufacturers have very close relationships with growers and can offer unique solutions to their unique problems.

Andrew Burleigh of West Coast Companies says his company’s proximity helps them understand Continued next page

Enterprise Spring 2021 5

THIS IS A HOP continued from page 5 growers’ evolving processing needs. He says, “Our proximity gives us the advantage of collecting real-time information which speeds up the development and innovation process. An example is how we assist our clients as they diversify their businesses with the numerous specialty crops grown locally. Often in partnership with our client, we can innovate ways to multi-purpose the clients existing equipment with minimum modifications, thus saving cost and achieving goals.”

Many crops then have to be dried, stored, and packaged to be shipped all over the world. In fact, even though so many crops are grown here, they don’t stay here for long. Most enter a global market. In the case of the hop, it is sent to breweries. But not only hops are sent to brew masters. They often use wheat grown here, fruit grown here, berries grown here, even CBD extracted from hemp grown...you guessed it...right here in the Willamette Valley.

...to be enjoyed here, here, and here.

“Willamette Valley growers take great pride in what they do and work together to make sure it is the best raw products they can be.”

--Nick Harville, SEDCOR Business Retention and Expansion Manager for Marion County

Hops, like many of the 170 specialty crops grown in the Willamette Valley, are what’s called “value-added” products.

DEFINITION: Value-added ( v ˈ al-(ˌ)yü-ˈa-dəd)...defined by USDA as having: A change in the physical state or form of the product (such as milling wheat into flour or making strawberries into jam). The

Listen. Serve.

Deliver. Give.

production of a product in a manner that enhances its value (such as organically produced products).

We believe the crops we grow here not only add value to other products because of what they are and how they are used (hops for beer, berries for jams, wheat for bread, CBD for sodas) but even because of where they are grown.

The quality of our products is world-renowned. The words “Oregon-grown” have enormous value to brands.

For instance, Denmark-based brewery Mikkeller used Oregon Fruit Products fruit purees in an entire line-up of craft beers, going as far as to place a special logo on the can to draw attention to where the bright fruit flavors originate. Brands like Mikkeller know our growing region adds value to their products.

But value can mean so much more than money. Yes, a healthy ag industry means good jobs and stable growth for large cities and small towns. The quality of our growing region adds value to our local culture.

Our unique brand of ag celebrates craftsmanship. It takes care and attention to grow the crops we grow, especially of the quality at which we grow it. That quality is appreciated by the brewers, chefs, bakers, food producers, distilleries, cideries, wineries, soy sauce producers, landscapers, woodworkers, builders, and more.

It is beautiful to witness that value come together to craft a one-of-a-kind experience.

An example. The Beneditcine Brewery lies at the bottom of a hill just below the Mount Angel Abbey, a catholic monastery, chapel, and seminary. The open-air taproom was constructed from locally grown and harvested lumber, sparingly finished to give the entire structure a sense of welcoming lightness.

Monks brew a variety of beer and offer foods made from ingredients from local farms. In the late summer, groups of friends and families sit on the deck in the late afternoon, sip beer and watch the sun retreat behind the rows of hops just across the county highway.

Those hops, deep green and glistening in the red-yellow twilight, are nearly ready to be picked again, dried again, shipped again, and again made into something delicious for people here and all over the world to enjoy.

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Consider The Hop - 2021 Ag Issue

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Enterprise Spring 2021 7

INSIGHTS FROM THE TECHNOLOGY ASSOCIATION OF OREGON

What Exactly is an Agriculture Innovation Design Sprint?

I want this article to answer a few important questions.

• What is agriculture innovation?

Cara Turano Technology Association of Oregon, Chief Community Engagement Officer

• What is a design sprint?

• How does hosting a design sprint to spur on ag innovation matter to our region?

The best article describing a design sprint is

by Gloria Yo with UX Planet. In it, she defines a design sprint as “a unique five day process for validating ideas and solving big challenges through prototyping and testing ideas with customers.”1 The idea is that in a week you can solve a problem through rapid prototyping and get real feedback from the users. A design sprint is driven by empathy and the customer journey where the end user is king (or queen!) and the team creating the solution learns fast and fails fast.

The definition of a design sprint highlights why to host one. If you have a challenge that you want solved quickly from a customer-centric perspective, a week-long ideation and delivery cycle is much more efficient than endless brainstorming sessions.

In the case of ag innovation, it looks like this: the grower introduces the problem, the problemsolvers understand the problem from the grower’s perspective, they get to work and find a solution in a short time-period.

That answers gets us to the last question of how a design sprint relates to agriculture and why the Technology Association of Oregon (TAO) is partnering with SEDCOR to host two Ag Innovation Design Sprints in the coming year.

We did our first design sprint in 2019 to connect the technology community to non-profits in the Portland metro area. If software and hardware developers, graphic designers, project managers and data scientists built technology with empathy, the non-profits would get solutions that better served the community.

1

8 Enterprise Spring 2021

The teams at SEDCOR and the City of Independence wanted to try the same approach and connect urban technologists with growers, producers and farmers in the Mid-Valley.

After interviewing producers from various backgrounds including grass seed growers and manufacturers, hazelnut and dairy farmers and vineyard managers, we had a collection farmer-driven challenges. By working on these challenges for a week, the technology community created minimally viable solutions that addressed growers needs while potentially increasing productivity or a solution for a new ag tech business.

Either way, the design sprint products were meant to ultimately drive profit or new revenue streams for the incredible entrepreneurial farmers who participated in the program.

Along the way, we discovered that a weeklong program is tough to create a fundable business idea; however, we achieved a goal that was unanticipated. By highlighting the challenges facing our region’s growers to primarily urban living technologists, we created awareness around agriculture and the food supply chain. Additionally, the innovation and entrepreneurship that is abundant among family-owned farms took center stage showing those characteristics are not solely owned by tech start-ups.

As we move forward together, the semi-annual design sprints will continue as an opportunity to build bridges between farmers and technologists, rural and urban communities. TAO will bring technology and developers to listen and learn how best to support the digital transformation of agriculture in Oregon.

And who knows where it will lead. Perhaps the next great ag tech product is just waiting to be unleashed...only time and community involvement will tell.

https://uxplanet.org/whats-a-design-sprint-and-why-is-it-important-f7b826651e09 Consider The Hop - 2021 Ag Issue

TRACKING OREGON’S PROGRESS

[ ECONOMIC MOBILIT Y and BELONGING IN OREGON ] For the first time in U.S. history, young adults are less likely to earn more than their parents, shattering the timehonored belief that if you work hard, you’ll prosper. Family circumstances, educational experiences, race and ethnicity and a ZIP code all play a significant role on a child’s ability to get ahead — determining the rest of their life. To find out how a ZIP code impacts opportunity, download OCF’s newly-released report, “Cornerstones: Economic Mobility and Belonging in Oregon,” and learn about ways to advance economic mobility for future generations of Oregonians.

V I S I T O R E G O N C F.O R G / T O P 2 02 0 T O D I S C O V E R K E Y A R E A S O F INVESTMENT AND POLICY CHANGE NEEDED TO CREATE MORE HIGH OPPORTUNITY NEIGHBORHOODS IN OREGON.

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O R E G O N C F.O R G / T O P 2 02 0

INSIGHTS FROM THE BBSI

Know your Numbers!

Do you know your Numbers?

You hear that a lot from different business consultants and thought leaders. You need to know your numbers if you are going to succeed in business. Even as business owners, we sometimes take it further and ask our employees, “...how are you doing on getting your numbers for the month?” and if they are not making those “numbers” their job may be in jeopardy or maybe even your business if you do not have a clear definition of success.

Eric Nelson BBSI Area Manager – Willamette Valley

Understanding What to Measure The first step is in knowing there are two types of numbers that are important, financials and performance, and what to measure in each of those for your business that will put you on the path to success.

Financial vs. Performance Numbers There are financial numbers. These are the numbers that define a profit and loss statement, cash flow, and revenue. They help you answer yes or no questions and are usually lagging indicators that tell you what happened, good or bad. They are outcomes to decisions that were made.

The other type is performance numbers, called metrics or key performance indicators (KPI’s).

These tell you the story of your business and are leading indicators that can help you drive your business. They could be many different things, like sales leads, conversion rates, and/or employee satisfaction all of which begin to give you insight to where your business is headed.

The ability to see into the future of where your business is headed is a paramount for success and the further you can push that down in your organization the better. This allows you to see trends or patterns and adjust for an amazing opportunity or self-correct before it’s too late.

Creating an agile organization, no matter the industry, is the key to not only surviving but thriving.

Ensuring Accuracy Once you know what to measure, the question before you is, “Can I trust the data that will drive my business?” Think about that. You spend years working on your business, putting your blood, sweat, and tears into your asset, you figure out what to measure and you find out the data that has driven you day in and day out is inaccurate. Not a good place to be. Both financial and performance numbers are reliant on data integrity. You know how the adage goes, bad stuff in, bad stuff out.

• When was the last time you validated that everything was accurate?

• Would you or someone on your team know how to update it if something wasn’t correct?

• Is it set up correctly so you could create metrics/KPI’s?

Simply put there are two issues here. The first is figuring out what to measure. The second is ensuring the data is accurate. Learning how to master both issues will set you on the path to victory.

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10 Enterprise Spring 2021

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Consider The Hop - 2021 Ag Issue

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Enterprise Spring 2021 11

INSIGHTS FROM CHEMEKETA COMMUNITY COLLEGE

Chemeketa Opens Agricultural Complex Situated on an eight-acre site at the Southeast side of Chemeketa’s Main Salem campus, the new Agricultural Complex is to serve as an important hub for the surrounding agricultural community and industry with classroom space, garden/farm demonstration fields, ornamental yard, and beneficial insectary.

The Complex will include new indoor and outdoor facilities for Chemeketa Community College’s Agriculture and Horticulture Programs along with space for its partners, Marion Polk Food Share (MPFS), industry consortia, and local school districts. Central to the development is a new 20,000 square foot classroom and partner building that will feature three community classrooms, a science lab classroom, a lab preparation room, two seminar/ conference rooms, a student resource room, faculty offices and work area.

Rendering of the Chemeketa Agricultural Complex.

Chemeketa Community College is also pleased to announce that as part of the Agricultural Complex development on the Salem campus a brand new Woody Ornamentals Demonstration and Learning Lab (WODLL) will be a key

The three community classrooms are designed with an operable partition wall so the spaces can be separated into 3 - 30 person class rooms, one at 30 and one at sixty or one large room capable of accommodating over one hundred individuals. These shared areas will enhance the overall spatial efficiency and create a culture of collaboration key for a vital community hub.

addition to the programs at the college. The WODLL will

The site features energy net-zero use through the implementation of solar power, natural light, radiant heating/cooling and architectural design. Materials for the build are sourced from local suppliers all within a 60-mile radius of the campus. A major next phase includes a 60’x60’ Greenhouse comprising four (4) quadrants of 30 feet wide by 30 feet long dimensions each in order to isolate unique grow operations for student learning.

balled-and-burlapped, and field grown plant material

further workforce development, research, and education by implementing the production systems used in Oregon to produce woody ornamental plants.

The lab will be housed in a ½-acre parcel of Chemeketa's future 5-acre Agricultural Complex. It will provide students opportunities to install, maintain, and harvest pot-in-pot, while conducting research into the growth, maintenance, irrigation, and pruning techniques of woody ornamental plants. Additionally, the college will offer an Irrigation Technician certificate comprising coursework focused on flow rates, pumps, motors, pressure and systems.

Non-credit and credit options will be entwined as well as student preparation for Irrigation Association and Environmental Protection Agency standards.

Current degrees and certificates offered by Agricultural Sciences and Technology: Horticulture, Electronic Engineering, Crop Health, and Renewable Energy. The college also offers a comprehensive AgriBusiness Management program for local farmers to learn all aspects of farm management, enterprise operations and succession planning. Non-credit programs in pesticide applicator licensing and home horticulture are also offered.

The work of the WODLL is supported by the USDA National Institute of Food and Agriculture, AFRI Agricultural Workforce Training Priority Area, award #2019-07599.

12 Enterprise Spring 2021

Consider The Hop - 2021 Ag Issue

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cascade@cascadecollections.com Enterprise Spring 2021 13

Interview

Giavanna Accurso and Barb Iverson

Iverson Family Farms and FSOil Become First Hemp Farm with Global GAP Cerfiication.

Barb Iverson and her team have earned the respect of the regional farm community by continually growing great products.

Four years ago, they took the same approach to a new crop: hemp.

Last year, they became the only hemp farm in Oregon to earn a prestigious Global GAP (Good Agricultural Practices) Certification.

We sat down with Barb and a member of her team to discuss Global GAP, sensible regulation, and the future of hemp and CBD in the Willamette Valley.

Giavanna Accurso: I'm the Director of Research and Development for Iverson Family Farms and FSOil. Our operation is a combined, vertically integrated system. So it's fun to be able to look at our product from the field all the way through.

Barb Iverson:

I ’m Barb Iverson, co-owner of Iverson Family Farms and FsOil.

SEDCOR:

Briefly, what is Global GAP?

Accurso:

I t's a third party certification that can allow growers of different crops to move into the global marketplace more slowly. So the organization puts standards in place for health and safety and how the crops are treated from the field all the way through processing, to make sure that records are kept, and everything is tracked and traced.

SEDCOR:

And why does it matter for your operation?

Accurso: It was just in 2018 that the hemp became federally legal in the United States. And since then there has been a high investment crop for growers. There needs to be a path to market for growers. And we need to set up systems and guidelines and standards as much as we can because the FDA is doing their homework but being a little bit slower. So we're taking the lead on this. And by getting a Global GAP certification allows for a broader marketplace.

So there will be a path to market for these crops.

SEDCOR: CBD seems to be finding its way into more products at places like my local grocery store: soap, soda, water, and more. Barb, what does this expansion mean for your business?

Iverson: Well, I think what we are doing is bringing some validity to the industry as a whole.

I mean, everybody talks about [the hemp market] being the Wild West, and in a lot of ways it is. There really are no regulations.

So that's why we want to set the standard

14 Enterprise Spring 2021

Top: Barb Iverson Bottom: Giavanna Accurso

and make sure that people have trust in the product.

For us, we've developed a lot of trust over the years through our Iverson Farms brand, through the final product with FSOil. Now, we've gone into Global GAP certification to establish the highest standards. We're striving to bring transparency to this industry and set standards that people can trust.

SEDCOR: Do you two see the hemp splintering?

A high-quality, transparent market and a more generic “who-knows-what’s-inthis-oil” one?

Accurso: Right now, we’re actually at capacity. You know, the bottom fell out of the grower’s market last year; there was overproduction, same with the processors. There is a lot of oil on the market. There's a lot of sub-quality stuff out there. It’s going for cheap, but you don't know if it was made in somebody's basement or backyard or how they did it. And that's not good.

Consider The Hop - 2021 Ag Issue

Interview

Giavanna Accurso and Barb Iverson

What's the level of THC in it? Was it tested properly?

How is it handled? Is a consumer going to get sick?

And so, if this whole industry wants some validity, you know, we have to step up and we don't see that action happening really on that federal level with the FDA. The USDA has done their part, but, you know, the other other agencies need to follow if this industry is going to continue to grow.

SEDCOR: Giavanni, what are the big lessons that you’ve learned about the crop and the product and the market?

Accurso:

he Iversons have been growing for four years. I T came on and started working about a year and a half ago. This is my second season. So I take a slightly different angle, but am very driven by the same motivation. I would say that this is a very dynamic situation. So there's a lot to be learned. And a lot of it goes back to quality and how it can help people. And that's kind of where we are in terms of setting those standards and continuing to use those motivations and goals to to continue to push this forward. And that is a lot of what Global GAP wants. They exist to develop standards, create community, higher quality of life.

SEDCOR: As a consumer, what are the things that I need to know when I'm looking at CBD? How do I identify quality?

Continued on next page

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Interview

Giavanna Accurso and Barb Iverson

Inside FSOil's Marion County processing lab.

Iverson:

Accurso:

ome of that's hard because the labeling information S is so vague and right now you can't make any claims.

So, really, the FDA needs to step up and make some rules. We're begging for rules. Representative Schrader has a bill that actually makes CBD a dietary supplement, which puts it under the dietary supplement rules.

Iverson:

I don't think there'll be much hemp grown in Oregon this year. I look at the Midwest for fiber to take off.

I think there'll be some infrastructure investment in the Midwest, which would be perfect. You don't need it here. We can't grow fibers here. But in the Midwest, they can grow the seed and fiber. And I think that that'll be a huge market to come. I'm hoping there's investment dollars into that, because that's renewable; you can make a lot of plastics out of fiber.

I t is going to be interesting as people start looking for different alternatives to petroleum and things that we can grow and process in the United States, things we don't have to ship it back and forth.

ersonally, I see Oregon maintaining itself as the P place for oil. I mean, we produce such quality oil.

iggybacking off of what Barb is saying, the more P that we can use these quality standards and start to integrate these third party certifications into our process, it starts to build that infrastructure for quality and for trust.

SEDCOR: If you had to make some predictions about the next three or four years, what does the hemp market look like in the future?

Accurso:

high and it's in a different scenario right now. So we kind of see the fallout occurring right now. And I think that'll continue here for the short term. I think the market will steady itself for another year.

I mean, we're coming off of the year 2020, where we hoped a lot more would have been accomplished.

If we move into the direction where more states are moving in the legalization of marijuana, I think that's going to change things up a lot. Legalization of marijuana doesn't necessarily always have to come first, but it does push the plant into a direction that they have to look and develop some guidelines.

I think it'll be pretty bright, I think next year may be a little tough as things get settled. A lot of money went into this industry a year ago when it was riding

16 Enterprise Spring 2021

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Enterprise Spring 2021 17

COUNTY NEWS

Danielle Bethell Marion County Commissioner Danielle Bethell may be a new face on the Marion County Board of Commissioners, but she has deep roots in our community. You may recognize her from her years of service as a Rotarian, as a SalemKeizer School Board member or as the CEO of the Keizer Chamber of Commerce. Or, you might have seen Danielle at a school sporting event, cheering on her three kids.

Danielle and her husband currently own a small business, Bethell Plumbing, and she has held a number of other professional positions, such as working for Marion County Fire District #1, Oregon Public Utilities Commission or the Oregon Disabilities Commission. She is also a graduate of Oregon State University.

Danielle is a passionate, boots on the ground sort of person.

She has coordinated million-dollar projects for McNary and McKay sports programs and serves as a member of the Career and Technical Education Center (CTEC) Advisory Task Force. Most recently, Danielle stepped up as a volunteer to coordinate the Marion County large animal evacuation efforts during the Beachie Creek Fire.

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Danielle worked hard to meet with as many county employees as she could throughout the last year, learning what their departments do and how they serve the residents of Marion County so she could begin working on day one. In addition, even with COVID-19 challenges she found ways to meet with many community members and organizations, focusing her efforts on Ag and Industry, two areas she has much interest in.

As your Commissioner, Danielle wants to hear from you – what is working and what isn’t so that together, we can all help our community move forward. Danielle can be reached at dbethell@co.marion.or.us or (503) 588-5212.

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Enterprise Spring 2021 19

COUNTY NEWS

Ready to Serve Yamhill County

by Commissioner Lindsay Berschauer As a small business owner for the past 8 years, and the wife of a generational hazelnut processor and farmer, my service to Yamhill County as its newest commissioner brings an innovative, entrepreneurial, and problem-solving approach to the challenges we face.

Without a strong local economy, sustained by pro-business policies on the county and state levels, our families cannot thrive.

I ran for office because Yamhill County needed a stronger advocate for our manufacturing and agricultural industries on a large scale, but also someone who takes advocacy for small, main-street businesses seriously. These businesses make up the fabric of our communities, contribute to local schools, celebrate our culture and diversity, know us by first name, and employ our neighbors, but they also operate on small margins and continue to be the hardest hit by Covid shutdowns. For the past ten months, I’ve received overwhelming feedback from our restaurants, lodging facilities and gyms that the current restrictions are not sustainable. It is my belief that if we can stand shoulder-to-shoulder with 500 other people in Costco or Walmart, we can safely reopen our restaurants and gyms.

This quarter’s focus is on ag-tech innovation and a bright spot for me has been to learn about the changes happening with many of Yamhill County’s hazelnut growers and processors. My husband’s family is one of six hazelnut processors in the United States, all located in Oregon. As you know, Oregon produces 95% of the U.S. supply of hazelnuts. On the farming side, nutrient analysis has taken huge leaps in the last few years regarding the needs of the trees. Now, farmers know precisely what the trees need and when they need it. Production averages have almost doubled from historical average yields in this short amount of time. Innovations on the processing side include implementation of optical sorting

and automated palletizing and packaging. In the past, many of these practices were done by hand.

Going forward, I am hopeful that our county will continue with these successes, but we must remain vigilant in protecting our industries. The traded sector is not only facing pandemic-related “temporary” OSHA regulations being made permanent but DEQ is now in the rulemaking process for the greenhouse gas emissions program that will direct reductions in emissions affecting large, stationary sources, transportation fuels and other liquid and gas fuels. With so much focus on “carbon capture technology”, it’s a shame Governor Brown didn’t consider that our trees already meet these goals. In fact, Oregon is a leader in carbon reduction thanks to our forests (notwithstanding destructive wildfires caused by lack of management). The end result of these directives will be major financial impacts to our farming, forestry and manufacturing sectors. As the only county commissioner to serve on the Timber Unity Association Board of Directors, I unequivocally support our natural resource industries that employ some of the most dedicated conservationists I’ve ever met.

While other states are open and their economies prospering, Oregon’s lockdown has contributed to the loss of numerous local businesses, a lost academic year for most children, increased mental health concerns with drug and alcohol usage and suicides skyrocketing, and an alarming shift of women leaving the workforce to help manage the needs at home. We must do better to protect our families. I am eager to partner with my fellow Mid-Willamette Valley commissioners, businesses, advocates and SEDCOR to get our residents back to work and our businesses thriving.

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Enterprise Spring 2021 21

COUNTY NEWS

Polk County ag is a diverse economic driver.

by Commissioner Craig Pope

I remember my first “working” harvest on my family’s grass seed farm in the summer of 1963. I was 9 years old and my dad started my training to operate farm equipment on my own for the first time. These were not the space shuttle-like machines that we see in the fields today, but somewhat clumsy early drafts of technology that were aspiring to make local production agriculture a competitor in a world market. I have been very fortunate to have participated in an exciting evolution of agriculture over my nearly 65 years.

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22 Enterprise Spring 2021

producing ag grade biologics, Oregon CBD producing hemp seed and Meduri Farms which manufactures a wide array of fruit products. Additionally, Polk County wineries continue to produce award winning products and are a major contributor to our farm gate sales. This is

We see many aspects of natural resource product opportunities in Polk County that have evolved as well. There is a wide array of technical expertise, historical experience, and natural resource supply to support a burgeoning ag industry and a vital timber economy in our county. The ag sector also continues to learn how to support the environmental expectations of our citizens to protect our natural resource landscape and food safety and have the best management practices in place that codify those expectations.

a small cross section of ag manufacturing

I see agriculture in the region as a survivor of many depressed economic periods, but no matter how difficult the general trends in our economy, Polk County agriculture seems to have the diversity and vitality to support the families that keep the farms working. The local crop diversity is quite complex, and includes grass seed, grains, vegetables, peppermint, hops, wine grapes, nursery production, Christmas trees, fruit and nut orchards, dairies, livestock of almost every kind, Hemp and so much more. Products are sold from local farm stands to large scale wholesale distribution into overseas markets. Ag sector manufacturing has exploded over the past 30 years and Polk County has been a home for much of it.

Polk County companies such as BioAg,

assistance from local governments and

that distributes to a global market from Polk County Oregon.

We have come to expect a virtually unlimited access to the latest technologies and resources available to the ag and timber manufacturing community. With nearby Oregon State University and Chemeketa Community College we have some of the finest training opportunities for emerging or incumbent workers and entrepreneurs of any in the nation. With non-profits such as SEDCOR we get those training opportunities and technical resources delivered to businesses.

It is something to be proud of when we look at the wide cross section of ag and timber products produced and manufactured in Polk County and realize what kind of support system it takes to maintain that level of output. The Willamette Valley ag sector sustains thousands of jobs and is a vital economic engine that helps power the entire state. The local culture, climate, natural resources, support of local government and community partners make this diversity and economic vitality possible.

Consider The Hop - 2021 Ag Issue

AROUND THE REGION

OregonERP Awarded High Impact Opportunity Project Grant Last month, Business Oregon awarded OregonERP, a project developed by McMinnville-based software company Buildable and in conjunction with local economic development groups, $211,250 in High Impact Opportunity Project (HIOP) grant funding.

The funds will be used to complete the final two phases of development, including implementation, marketing, and commercialization.

Open source software, as opposed to proprietary software, allows anyone with the source code to inspect, modify, and enhance the program. Enterprise Resource Planning (ERP) software is an integrated system businesses use to manage internal and external resources, including assets, cashflow, materials, human resources, and more. An open-source ERP made available to regional manufacturers will offer a competitive advantage and give them a valuable resource in a crucial time of growth.

Abisha Stone, Yamhill County Business Retention and Expansion Manager for SEDCOR says this software could be the key to long-term growth for many local businesses. “Too often, businesses with great products fail simply because they don’t have access to accurate information about their process.

Since ERP’s are normally far too expensive and completely

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on top of another bad system. We thought all manufacturers should have access to a tool that helps them understand all of their costs so they enter the market at the right price.”

OregonERP will best serve Oregon’s small to medium-sized manufacturers, a vital component in Oregon’s economic engine. The roughly 6,200 manufacturing businesses in Oregon currently employ over 200,000 people and make up 21% of the state’s Gross State Product. 5,000 of those businesses employ 20 or fewer people.

Currently, manufacturers of this size do not have access to a high-quality, affordable, and functional ERP. Traditional ERP’s may charge between $75,000 to $750,000 per year. When completed, OregonERP will cost clients under $12,000. And since the software is open-source, it can be easily customized.

The Advisory Committee is composed of partners from Oregon Manufacturing Extension Program, Weiden + Kennedy, Amazon, IPC Global, CVIA, SEDCOR, Willamette Workforce Partnership, McMinnville Economic Development Partnership, Oregon Manufacturing Extension Program and Buildable.

Information about OregonEPR can be found at oregonerp.com

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AROUND THE REGION

Indy Commons Preps Launch of Shared Kitchen Indy Commons has established a shared kitchen in their new space in downtown Independence.

Kate Schwarzler, the owner of Indy Commons, says the project will provide a much-needed space for food entrepreneurs in all parts of the Ag Supply Chain to gather, learn, and grow.

“Having a shared kitchen and entrepreneurial support gives local growers and opportunity to learn how to create value-add products, increasing their sales and providing additional avenues for revenue.”

The project will support the build-out of a rural hub for food-based entrepreneurship including a shared commercial kitchen, micro-retail marketplace, and community event space to support business success and propel growth in the food industry.

The facility will allow multiple startups to have a space in which to innovate, launch, test, and scale while being supported by educational support, advising, and programing.

Shared kitchens are at the intersection of local economies and food systems and can have broad and versatile benefits for entrepreneurs and communities, especially in rural areas. As the primary component of this project, the opening of a shared commercial kitchen will provide another avenue for supporting and growing our local business economy and creating a positive impact in the community by creating traded sector jobs, growing existing food ventures, supporting farm viability, localizing the food economy, and enhancing tourism trade opportunities.

Schwarzler says, “I’m excited for the kitchen to provide a place for our food entrepreneurs to gather, learn, create, and share with the community”

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Enterprise Spring 2021 25

AROUND THE REGION

Chemeketa Community College Opens Doors to Brand New Diesel Mechanic Program Marion County Commissioners Kevin Cameron, Colm Willis, and Danielle Bethell helped usher in a new era of workforce development and training alongside Chemeketa Community College President, Jessica Howard, Executive Deans, Holly Nelson and Marshall Roache, and Chemeketa Board of Education members Jackie Franke and Ed Dodson during a special ribbon cutting and dedication ceremony at Chemeketa’s new Diesel Technology Training Center.

Inside Chemeketa's new diesel engine program.

Marion County, supported by the commissioners’ work on this project, contributed $100,000 toward degree program with required internship hours. It is designed equipment and infrastructure. The governor’s Regional Solutions to prepare individuals to become qualified diesel service program committed to providing an additional $200,000. technicians. Students learn how to work on many types of The first cohort of students in the Diesel Technology Program diesel equipment including agricultural, construction, forestry, started hands-on classes last Monday and are enjoying working semi-truck, and earth moving equipment. The Diesel Technology on new and used equipment donated by local industry and Program combines technical and academic education with employers who are seeking a highly trained workforce in this real world experience through internships that are within the area. There is a great demand for skilled diesel technicians, program. Students learn about engine fundamentals, machine which has helped fuel the excitement for this program, which has hydraulics, fuel systems, electrical systems, transmissions, torque been in development for five years. converters, undercarriage, final drives and more. During the Executive Dean Holly Nelson stated, “The largest hurdle in internships, students have the opportunity to experience a future making this project a reality was finding a suitable location and career firsthand through on-the-job training focused area of their building. But we have a beautiful location now that is situated choice. Upon completion of the program students will earn a next to our Brooks Center. I couldn’t be more excited for the Diesel Technology Associate of Applied Science Degree. college, the community, and our students.”

Chemeketa anticipates the program will be very popular and is The Diesel Technology Training Center will train technicians looking to add additional full-time faculty in the near future. that will be able to work in multiple sectors of Industry, and will For more information about Chemeketa’s Diesel Technology help in providing economic vitality to the counties Chemeketa Program, visit: go.chemeketa.edu/diesel serves. The program is an industry specific, two-year associate

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Consider The Hop - 2021 Ag Issue

Established in 1922 above the Santiam River, Freres Lumber Company has provided quality wood products and local jobs for almost 100 years. We manufacture a range of products such as veneer, plywood, lumber, and now our own patented product, the Mass Plywood Panel (MPP). MPP is a massive veneer based panel up to 12’ wide and 48’ long and is designed to be an environmentally superior, sustainable alternative to concrete and steel in construction.

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AROUND THE REGION

Marion County Rural Exemption Program Strengthens Local Ag Businesses Marion County has the largest agricultural economy in the State of Oregon. It is also the only county in the state to offer local businesses a Rural Industrial Improvement Tax Exemption.

Many counties and localities offer urban exemption programs in order to encourage investment in underdeveloped parts of cities, such as Urban Renewal Zones. This program applies the same logic to rural areas, which is much of the Willamette Valley. This is not a tax break, but merely a chance to abate property taxes until returns on investments can be realized.

According to Nick Harville, SEDCOR Business Retention and Expansion Manager for Marion County, these exemptions could be the difference between starting a project or not starting a project. “Often,” he says, “a program like this could be what causes an investor to participate or not.”

This program is not simply a tool to attract new businesses to the region. More than anything, it is a way to help existing businesses to expand their operations and keep or add jobs. “82% of all new jobs will be created within existing companies. The Rural Industrial Improvement Tax Exemption helps Marion County businesses take advantage of the latest technologies and tools to retain and create new jobs.”

In order to qualify for the three-year exemption, projects must be between one and twenty-five million dollars.

NEW SEDCOR MEMBER MARGINS WERE SLIM BEFORE THE

CRISIS, SO REDUCING ENERGY EXPENSES IS MORE IMPORTANT THAN EVER. People still need to eat. And we still need to feed them. So we were grateful that Energy Trust of Oregon had useful advice about how to reduce our energy costs. Because every little bit helps.

See how they can help your business at EnergyTrust.org/for-business.

We welcome one of our newest members, Wizard Manufacturing Company. Thank you for supporting us at SEDCOR while we support you!

Wizard Manufacturing Company, based in Salem, OR, was founded in June, 2000.

Brothers Aaron and Martin Montesano combined their talents in microelectronics design and metal fabrication to form a company which specifically focuses on the needs of the retail grocery store industry.

Wizard Manufacturing’s focus is twofold: • One: design innovative display racks that enhance product appearance to promote more sales • Two: Optimize shopping cart retrieval systems with employee safety and customer convenience in mind.

28 Enterprise Spring 2021

Consider The Hop - 2021 Ag Issue

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GROW YOUR WORKFORCE Through Cooperative Work Experience (CWE) internships

Train qualified students in your industry Recruit skilled employees • Offer paid or unpaid internships For more information go.chemeketa.edu/cwe • 503.399.5028

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