Organic Matters QUARTERLY NEWSLETTER • SUMMER 2020
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Organic Production during COVID-19
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Compliance for Livestock Farms
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Fall 2020 NOSB Meeting Preview
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Growth Strategy: Year Round Sales
Organically Speaking
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rowing up in Western Pennsylvania, I found solace in nature and the dependability of the changing seasons: raking and jumping into piles of decaying leaves in the fall, sledding down snowy hills in winter, exploring parks and forests in the spring, and enjoying fresh corn and tomatoes in the summer, bought on the side of the road at a local farm stand. It is often said that change is the only constant, but at the moment, all of us are enduring levels of change far beyond our comfortable expectations and tolerance. 90 degree summer days were few and far between when I was growing up in Pittsburgh, but in just a few decades, our changing climate has ushered in a new era of extreme weather, changing how we protect crops, animals, and each other. Change can also come seemingly out of nowhere, as it has with the COVID19 virus, upending daily life and forcing us into adapting in ways we couldn’t have fathomed just a season ago; or change can be 500 years overdue but sparked in what seems like an instant, shining the bright light of truth into the dark recesses of our collective unconscious as Americans and global citizens, as has happened with the demonstrations all over the world in support of racial justice. In all of these forms, change offers us the opportunity to redefine our priorities and redirect our resources, allowing us to adapt and adjust to a new place of equilibrium. This reorganization as a constant process in nature is known as homeostasis, with the push and pull of negative and positive feedback always tending toward some kind of balance. Our individual responses to these current challenges create a collective societal change, affecting the trajectory of all of our fates globally. On a personal level, my journey to PCO is a ‘coming home’ kind of change: home to Pennsylvania, home in my study of organic and sustainable agriculture, and home to a community of like-minded colleagues, board members, and farmers and operators, all working hard everyday to serve each other in the PCO vision of all communities being enriched through organic food and farming. At the time I am submitting this message for publication, I have only been working with the staff for a week, and due
Organic Matters • suMMer 2020
Our Gratitude Our heartfelt gratitude to
Katherine DiMatteo. A pioneer in the organic industry, Katherine served as PCO’s Interim Executive Director from January–June 2020. She imparted her wisdom, passion and commitment to PCO and we are forever grateful for her time and talents.
to COVID-19 precautions, almost all of us are working entirely remotely. I am already so impressed with their expertise, caring for and dedication to each other, and passion for the mission and core values of PCO. I am grateful to Interim Executive Director Katherine DiMatteo and the staff and board, who have worked hard on formulating my orientation and making sure I have access to everything I need. This week has been heavy on inputs of information, and I am working in turn to keep up my processing speed. As we face the challenges ahead of us as individuals, as an organization, and as a global community, PCO is committed to responding to change honestly, transparently, and with accountability, and we can depend on each other and those commitments to bring us back to the right place of equilibrium for each new moment of change. Our path will always include the hard work of honest dialogue, and I am so excited for the future of PCO and seeing how we will find steadiness in trusting each other and our vision. I look forward to meeting and learning about each of you, and it is my honor to lead this team in the challenge of navigating the changing road ahead together, with understanding, transparency, and integrity.
www.paorganic.org
Organic Matters 106 School Street, Suite 201 Spring Mills, PA 16875
SUMMER 2020
phone: 814.422.0251 fax: 814.422.0255 email: pco@paorganic.org web: paorganic.org facebook.com/PAorganic OFFICER S PRESIDENT
Tina Ellor, Phillips Mushroom Farms
VICE PRESIDENT
Co. LLC
Andrew Smyre, Tuscarora Grain
S EC R E TA RY
Ron Hoover, Penn State Extension
TREASURER
Ted LeBow, Kitchen Table Consultants
M A N AG I N G B OA R D C H A I R
Penn State University
Beth Gugino,
ADVISORY BOARD Kristy Borrelli, Penn State University Lisa de Lima, MOMs Organic Market
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Ross Duffield, Entoura CBD Bob Eberly, Denver, PA Betty Harper, Penn State University Luke Howard, Homestead Farms, Inc. Samuel Malriat, Rodale Institute Joe Miller, Oberweis Dairy Spencer Miller, Boyd Station, LLC Mike Spangler, Proximity Malt STAFF LEADERSHIP TEAM
Diana Kobus, Executive Director Diana Underwood, Director of Operations Kyla Smith, Certification Director Stacey Budd, Executive Assistant A D M I N I S T R AT I V E T E A M
Elizabeth Leah, Accounting Manager Shawnee Matis, Staff Accountant Lia Lopez, Administrative Assistant Sandy Vandeven, Human Resources Manager C E R T I F I C AT I O N T E A M
Marissa Evankovich, Certification Program Manager Justine Cook, Certification Program Asst. Manager Cathy Jackson, Certification Program Asst. Manager
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Reva Baylets, Operations Manager Heather Donald, Senior Certification Specialist Chelsea Johnson, Certification Specialist Lauren Lewis, Certification Specialist Marlin Mueller, Certification Specialist Kathryn Poppiti, Certification Specialist Dara Reidel, Certification Specialist Craig Shroyer, Certification Specialist Eastlyn Wright, Certification Specialist Diana Dombrowski, Program Assistant Aleisha Schreffler, Program Assistant Kristin Shade, Program Assistant I N S P EC T I O N S T E A M
Jenny Cruse, Inspection Program Manager Stephen Hobaugh, Inspection Program Coordinator M AT E R I A L S T E A M
Jennifer Berkebile, Materials Program Manager Sabine Carey, Materials Specialist April Kocis, Materials/Outreach Specialist Q UA L I T Y T E A M
Angela Morgan, Quality Systems & IT Manager Garrick McCullough, IT Specialist
VISION VISION All through all communities communities are are enriched enriched through organic farming organic food food and and farming MISSION To ensure the integrity of organic products and serve our farming community CORE VALUES VALUES CORE People&&Service Service——Keep Keeppeople people at at the the center center 1.1.People of every action, interaction, anddecision decision of every action, interaction, and 2. Organic Spirit & Environment — Promote 2. Organic Spirit & Environment — Promote restorativepractices practicesthat thatimprove improve the the world world for restorative for futuregenerations generations future Honesty&&Integrity Integrity—— Embrace Embrace transparency transparency 3.3.Honesty andintegrity integrityininallallour ourwork. work. and
www.paorganic.org
FEATURES
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Organic Production in the time of COVID-19 PCO Offers Support as Operations Navigate the "New Normal"
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A Proactive Approach to Compliance for Livestock Farms PCO and Rodale discuss common compliance issues and how to address them
marine materials, fenbendazole and many more
Inspections
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Standards & Policy
Annual Report Statistical Recap of 2019
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Growth Strategy: Year Round Sales for Farm and Food Businesses Tips on diversifying farm income from season extension to agritourism
New Faces 20 Event Calendar 22 Organic Marketplace 24 New Members
COLUMNS
STORIES
12 Transitions
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15 Dear Aggy
Fall 2020 NOSB Meeting Preview Topics include paper pots,
Legislative Materials
14 President’s Message 16 Organic Updates Certification
Cover photo: Dickinson College Organic Matters • suMMer 2020
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Organic Production in the time of COVID-19 PCO Offers Support as Operations Navigate the "New Normal" Image: CDC
BY staceY Budd, PcO executive assistant
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very new calendar year begins with the planning and preparing for the upcoming growing season. By March, fieldwork has begun as the seedlings grow with warmer temperatures. This year was unlike any other as March put us in the midst of a global pandemic that had dramatic effects on our food supply chain. Initial panic left store shelves empty and people seeking a safer way to find food to nourish their families. Growers and producers were thrust into a new way of operating as the coronavirus began to spread across the country. As more and more states implemented shelter-in-place orders, market disruptions forced a re-examination of product distribution and fostered ingenuity in finding new ways to feed our communities. In Pennsylvania, agriculture and its technical services were declared essential, life-sustaining businesses, allowing farming practices and PCO operations to continue. However, in the early stages of the pandemic we all witnessed the hoarding of products and the scarcity of fresh goods. The virus had exposed the vulnerabilities of our existing supply chains. More consumers experienced an awakening to the value of their local food system as farm shares (often referred to as Community Supported Agriculture) began to rise all over the country. The direct-to-consumer model reminded our communities that area farmers/producers are a valuable resource in building resiliency in our food system. High demand forced farmers to act quickly to build new online shopping markets to feed communities while honoring safety through social distancing. As farmers were exploring new avenues to distribute product, Congress began working rapidly to draft a bill for emergency aid to those who had lost income as a result of the crisis. Through the Coronavirus Aid, Relief, and Economic Security (CARES) act, signed into law on March 27, 2020, $9.5 billion in agricultural provisions for disaster relief were allocated to support producers impacted by COVID19. These payments were earmarked for specialty crop producers, livestock producers (including dairy), and producers who supply local food systems (farmers markets, restau-
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rants and schools). While it is great that Congress recognized the importance of our food chain suppliers, there was speculation early on that this would not be enough to support the many operations who work long, hard hours to feed their communities. As such, the first round of stimulus support went quickly, leaving the small, diversified farm operations without access to funding. Back to the drawing board,
CONGRESSIONAL LEADERS WHO STAND UP AND SUPPORT ORGANIC, SUSTAINABLE AGRICULTURE ASKED FOR MORE AND PUSHED FOR A SECOND ROUND OF FUNDING THAT COMPENSATED ALL FARMERS FAIRLY congressional leaders who stand up and support organic, sustainable agriculture asked for more and pushed for a second round of funding that compensated all farmers fairly. On May 26, 2020, The Coronavirus Food Assistance Program (CFAP) began accepting applications for this additional $16 billion direct relief program. It has not been a perfect system. While this is being reported as the largest single payment in history to our nation’s farmers, CFAP has its shortcomings, especially for organic farmers. In order to receive funds, producers need to show a loss of 5% or greater in their commodity market or evidence of their supply chain disruption due to COVID-19. Unfortunately, the funding payment structure relies on prices calculated by the USDA versus the prices producers actually receive for their products — erasing the often-premium price for organic goods. In addition, not all commodities are eligible under this program. Though not equitable in pricing, the program may help you offset lost revenue. To apply for CFAP, farmers need to contact their local Farm Service Agency to begin the process. Applications are due by August 28th, but funding is only available on a firstcome, first-serve basis.
www.paorganic.org
PCO is grateful to have many sustainable agriculture allies who are on the frontlines fighting on behalf of small, family farms and building resources to help navigate the ever-changing landscape of federal relief funding and evolving market outlets. PCO is doing its best to keep the website resource list up-to-date with supporting resources during this time. PCO certified operations that are experiencing financial hardship are encouraged to contact our office. PCO recognizes the “new normal” may impact an operation’s bottom line and there are available payment plans for certification costs. The basic process is as follows: 1. Contact PCO Staff Accountant (extension 218) to set up the payment plan. 2. When setting up a payment plan, PCO can use the current outstanding fees to set up the payment plan, or estimate client fees for the entire year and use that amount to set up the payment plan. 3. The balance of a payment plan may be paid in full at any time with no penalties. PCO also recognizes that farmers have had the extra stress of building new systems to protect farm workers and customers, establishing new packaging parameters while still putting full days in the fields. With so much to navigate and so little time, let PCO help. Though times are tough, there is a glimmer of hope in the organic industry. In a recent report from the Organic Trade Association (OTA) in collaboration with Organic Produce Network, organic produce sales by volume increased 25.8% in March — continuing to shine a light on the integrity the USDA seal represents. With more time at home, cooking for families, consumers are prioritizing health and wellness in their purchasing habits. Pantries are being stocked with products they can trust. Will this trend last? It is hard to say. OTA conducted a flash poll in May with over 3000 consumers participating. Their results show that 90% of the
The health of you, our client-members, and your families is of the utmost importance to us. We want to be a resource you can reach out to in need. Below we have listed important phone numbers to have during this ever-changing pandemic. Our friends at Pennsylvania Association for Sustainable Agriculture (PASA) have set up a toll-free help line with details on the COVID-19 guidance from the PA Department of Agriculture: Summary of COVID-19 guidance ...(844) 349-9856 x 716 PA Dept. of Agriculture daily updates ........................................................... (844) 349-9856 x 717 AgChoice has a hotline with up-to-date information on the COVID-19 situation ............................ (877) 772-4299
www.paorganic.org
respondents indicated that, in their current food shopping, organic is more important than ever. With careful stewardship of the food produced by organic farmers and processors there will be continued consumer growth. PCO wants to hear about various COVID-19 experiences: What have you done or witnessed others do to pivot your/their operations to meet market demand and build continued revenue streams? How have you been able to support your surrounding communities in this time of struggle for our most vulnerable populations? What kind of additional support do you need regarding your certification? Your stories and ideas help us better provide services to meet your needs. They also reinforce our commitment to building relationships with our members and the important work they do to help us fulfill our vision that all communities are enriched by organic food and farming. Send your short stories to Stacey Budd, our Executive Assistant, at sbudd@paorganic.org or by calling 814-4220251 x230. We are looking to feature our members more prominently in our communications and want to share your stories with our larger organic community. We know the value of stories and want to highlight how we are stronger together!
PCO Waives Finance Charges for 2020
PCO is continuing to monitor the impact of COVID-19 and its effects on our certified operations. Given the hardship some may be experiencing, we are waiving all finance charges for the 2020 calendar year to help mitigate any unnecessary additional financial burden. charges. Finance charges are assessed on invoices past due. Operations are still responsible for their certification fees and sales assessments to remain compliant with the organic regulations and certification.
The following is a list of state Department of Health numbers: MA Dept. of Health ....................................................... 2-1-1 NH Dept of Health ..................................... (866) 444-4211 NJ Dept. of Health .................................... (800) 962-1253 NY Dept. of Health .................................. (888) 364-3065 OH Dept. of Health ................................... (833) 427-5634 PA Dept. of Health .................................... (877) 724-3258 VT Dept of Health ................................... (800) 464-4343 For up to date information and resources to help you and your operations moving forward, please visit our website: www.paorganic.org/covid-19resources.
Organic Matters • suMMer 2020
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A Proactive Approach to Compliance for Livestock Farms PCO and Rodale discuss common compliance issues on livestock operations and how to address them Photo: Rodale Institute
BY justine cOOk, PcO certificatiOn
PrOgraM assistant Manager
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egardless of whether you are employing traditional farming practices handed down through generations or using cutting-edge technology and methods, you may encounter compliance issues in the process of organic certification if you don’t understand the basic requirements of the regulations and how compliance works. In addition to the practices you use, an important part of certification is understanding the framework and administration of the regulations. Electing to participate in the organic certification process means you are signing up for a third-party verification system; you are being evaluated for compliance with a national standard (National Organic Program, or NOP, regulations) by an accredited certifier (PCO). Rodale Institute offers organic farm consulting to support the efforts of farmers who are interested in getting certified. Rodale and PCO recently collaborated on a webinar entitled “Common Livestock Noncompliances and How to Avoid Them” to highlight a select number of pitfalls that farmers may encounter on their organic certification journey and how to respond to these issues if they occur.
WHAT IS THE COMPLIANCE PROCESS?
When we’re talking about a noncompliance, we’re talking about an instance when an operation does not meet the requirements of the Organic Foods Production Act of 1990 or the NOP organic regulations. It’s important that the operator understand and be familiar with those regulations and what they require prior to applying for certification. In addition to the legal language of the Code of Federal Regulations, there are guidance documents and forms that can assist the organic operation in providing the needed infor-
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mation and making sure their practices are clear. For example, PCO offers a guidance document on how to calculate dry matter intake (DMI) from pasture during the grazing season and forms that can be used to document ruminant feed rations and grazing plans. If you look at the regulations, you may be wondering how compliance is determined for some of those requirements. Many parts of the regulations provide firm directives, including numbers (e.g. the requirement that ruminants receive a minimum of 30% dry matter intake from pasture during the grazing season), but other regulations may use words like “sufficient” or “suitable to the species.” While some may find that frustrating, its purpose is to provide space for adaptability to a specific operation; it allows you to make production decisions based on your geographic area, climate, and production goals instead of requiring all operations to conform to a specific production model. It’s important to find out from your certifier whether they have any internal policies, or if they use any external references, for determining compliance with regulations that appear to have room for interpretation. For example, PCO has specific policies on the methods used for dehorning and disbudding cattle — including age the procedure is performed and whether vet consultation is required — to determine compliance with the requirement that physical alterations be done “in a manner that minimizes pain and stress.” If your planned methods do not meet an internal certifier policy, you would be required to either alter your planned practice or submit justification showing how your practice meets the letter of the regulation. Finally, if an organic operator does receive a Notification of Noncompliance, it’s important to understand the compliance process. The notification will include an overview of the compliance issue and how it was concluded that you were not in compliance with the regulations, cite the spe-
www.paorganic.org
cific regulation(s) in question, and provide a deadline for your response, which could include a correction plan or rebuttal. Certifiers are prohibited from giving advice or providing consulting services for overcoming barriers to certification; however, certifiers must explain the regulations and can provide you with context for the compliance issue and point you to resources that may assist you in figuring out a correction plan. Failing to respond to a noncompliance letter escalates the issue to a proposed suspension or possible revocation of your certificate. Clear and timely responses are the path to resolving compliance issues. The compliance process and expectations for both the certifier and the certified operation are detailed in the regulations.
COMMON ISSUES WITH LIVESTOCK REGULATIONS COMPLIANCE
A general topic or group of practices may fall under several regulations; for example, the type of housing you provide and the housing features may be regulated under Livestock Health Care Practice Standard and Livestock Living Conditions Standard, as well as regulations that touch on allowed materials or manure management. It’s important to be familiar enough with the regulations to know that there is an interconnected aspect between general requirements, living conditions, health, and materials used. Besides the failure to understand a requirement, most unintentional issues that arise for operations are a result of one or more of the following: changing a plan without notifying their certifier, not correcting an issue from a previous year, and/or unclear or incomplete recordkeeping, which can create the appearance of an organic integrity issue. The areas covered in the webinar included livestock housing issues, temporary confinement practices, animal identification systems, tracking and recording feed rations for ruminants, materials misuse, and recordkeeping gaps. In this article, we’ll look at three of the highlighted topics; the full discussion can be accessed online through Rodale’s YouTube page. The regulations require that animals have access to the outdoors year-round, unless there are specific, compliant reasons for temporary confinement, which are outlined under the Livestock Living Conditions Standard (§205.239) and defined (§205.2 Terms Defined). Providing outdoor access is allowing animals with the opportunity to exit their housing; so certifiers are looking for whether animals can move in and out of their housing freely; we’re looking at the number of exits and the size of the exits and that there is no obstruction that discourages the animals from exiting the house. When outdoor access is restricted, certifiers check to make sure the reason is
www.paorganic.org
compliant and the duration is temporary. If the doors of a poultry house or barn aren’t opened on days when you’re not on the farm, that is not a compliant reason for confining organic animals. Confinement records must include both the reason the animals were confined and the amount of time they were confined; we’ve seen operators use paper or digital calendars, notebooks, and computer spreadsheets to track this information. NOP requirements for pasture access and grazing management are very important to be well-versed in if you’re raising organic ruminants. There’s a specific definition for the grazing season and there are specific requirements for documenting what your ruminants are eating both during and outside of that grazing season. This is partially to make sure that each group is getting at least 30% DMI from pasture averaged over the grazing season and also to allow for feed audits. Operators may keep these records in a combination of ways, as long as it’s clear how many pounds of each type of feed are fed to the animals throughout the year. Some common issues we’ve seen on this subject include operators supplementing a ration with hay, but not tracking the actual pounds of hay fed; failure to document when they deviate from a planned ration, which may happen due to feed availability or feed quality; or just the absence of a clear method for tracking or calculating DMI, which may lead to shortages later in the season. If there are weather extremes like flooding or droughts, you want to be tracking where you are with the average DMI from grazing throughout the season. Periodically checking your compliance with grazing requirements allows you to make management decisions early (e.g. sowing a summer annual for grazing or grazing hay fields). And, just a note, if you are in an area that received a disaster declaration due to weather, and that discontinued on page 22
Photo: Rodale Institute Organic Matters • suMMer 2020
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Fall 2020 NOSB MeetiNg Preview BY jen BerkeBile,
Materials PrOgraM Manager
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his fall, the National Organic Standards Board (NOSB) will meet in Cedar Rapids, IA, to discuss substances petitioned for addition to or deletion from the National List of Allowed and Prohibited Substances (National List), substances due to sunset from the National List in 2022, and recommendations on organic policies. The NOSB typically meets twice per year in various locations around the United States. During meetings, the NOSB listens to public comments, discusses agenda items, and then votes on recommendations to the Secretary in a public forum. At the upcoming fall meeting, we anticipate that the board will address ion exchange, paper pots, marine materials, fenbendazole, and 2022 “sunset” materials. Ion exchange filtration has been a hot topic for certification agencies this past year. Some certifiers had been allowing this type of filtration in organic processing while others hadn’t, and the NOP clarified that ion exchange filtration is not allowed under the current regulations. The NOSB will need to determine what, if any, materials that make up ion exchange filters would need to be listed on the National List to allow for this type of filtration. The NOSB has discussed several documents on paper pots and is expected to vote on a proposal at the fall meeting. Paper pots are typically used in conjunction with a planting machine that makes the planting process very efficient. The NOSB has indicated that they would like to allow for this technology, but they have concerns about the composition of the paper used in the pots. In recent years, the NOSB has developed several discussion documents on the use of marine materials in organic crop production. The board hopes to address the environmental impact of harvesting marine algae for use in organic crop production inputs. Previously proposed solutions include requiring the use of certified organic marine materials in organic crop production; requiring certification of marine materials to a third-party sustainability standard; or a hybrid of these two approaches. The NOSB may vote on a final proposal at the upcoming meeting. Febendazole will also be addressed at the fall NOSB meeting. This material is currently allowed for emergency treatment of parasites in organic dairy and breeder stock, but it has been petitioned for use in organic poultry production. The NOSB has expressed concern for the allowance of
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this material because its use could lead to potential residues in eggs. Finally, the NOSB will be voting on the 2022 Sunset Materials. All materials listed in the National List of Allowed and Prohibited Materials are required to be re-reviewed by the NOSB every 5 years; those that the NOSB does not vote to continue to allow “sunset” off of the National List. The NOSB will VOTE on whether the following materials should continue to be allowed in organic production: 1. Crop materials: Soap-based algicide/demosser; Ammonium carbonate (for use as bait in insect traps); Insecticidal soap; Vitamin D3 (rodenticide); Aquatic plant extracts (fertilizer); Lignin sulfonate (chelating agent, dust suppressant); Sodium silicate (floating agent in post-harvest handling); EPA List 4 inerts 2. Livestock materials: Butorphenol (anesthetic); Flunixin (analgesic/anti-inflammatory); Magnesium hydroxide (antacid/laxative); Poloxalene (emergency bloat treatment); Formic acid (pesticide in beehives); Excipients; EPA List 4 inerts 3. Handling materials: Kaolin (anticaking agent); Sodium bicarbonate (leavening agent); Wood Resin (fruit wax); Ammonium bicarbonate (leavening agent); Ammonium carbonate (leavening agent); Calcium phosphates (leavening agent); Ozone (disinfectant); Sodium hydroxide (caustic bath for pretzels), Inulin-oligofructose enriched (dietary fiber); Kelp (thickener/dietary supplement); Orange shellac-unbleached (fruit and veg coating); Cornstarch (thickener); Sweet potato starch (texturizer for bean threads); Turkish bay leaves (flavor development); Whey protein concentrate (nutritional enrichment); Carnauba wax (fruit wax); Colors; Glycerin (solvent) The NOSB will also VOTE on whether arsenic and strychnine should continue to be prohibited in organic crop production and whether strychnine should continue to be prohibited in organic livestock production. The NOSB has expressed concern about EPA List 4 inert ingredients for use in crop pest, weed, and disease control products and livestock parasiticides. They may vote to no longer allow EPA List 4 Inert ingredients in these types of products. NOSB discussion at the Spring 2020 NOSB meeting also indicated that ammonium carbonate, Turkish bay leaves, whey protein concentrate, and certain colors are in jeopardy of being removed from the National List and therefore no longer allowed under the current listings for use in organic processing. Turkish bay leaves and certain colors would still be permitted in organic processed products, provided that they are certified organic. PCO will be commenting on these input materials at the NOSB meeting, but the board wants to hear directly from organic producers and handlers! Please contact me (814422-0251 ext. 209, jen@paorganic.org) with any questions or comments you have on these materials, such as which materials you would like the NOSB to vote to allow.
www.paorganic.org
GROSS ORGANIC SALES GROWTH
2019 ANNUAL REPOR T
PCO is the
5th largest certifier in the US*
Our certified clients brought in $1,837,176,326 in organic sales in 2018. In 2019, we are estimating $2,023,970,595 - a 10.17% increase!
REFRESH OUR BRAND
Early in 2019, PCO entered into a brand refresh updating our logo and website to position us as a leader in organic certification.
* Based on data collected from the USDA Organic Integrity Database.
1,661 TOTAL ORGANIC CERTIFICATIONS
Poultry 3 5%
Crops 17% Handling 17%
Livestock 3 1%
2017–2019 STRATEGIC PLAN HIGHLIGHTS
As we move to develop our next strategic plan, we pause to highlight our successes over the last three year: Customer Service
Improve the customer service experience as measured by PCO’s Net Promoter Score (NPS) from 25 to 35 by 2019 — We succeeded with a NPS of 37!
Financial Viability
Build a financial reserve according to PCO reserve policy — We continue to be able to fund a reserve account to help PCO’s financial stability.
VISION:
Our vision is that all communities are enriched through organic food and farming.
Identify and implement succession planning needs to ensure the continued health and prosperity of PCO — The board has drafted and approved succession plan policies!
CORE VALUES: l
l
MISSION:
Our mission is to ensure the integrity of organic products and serve our farming community.
Advisory Board Development
l
Keep people at the center of every action, interaction, decision. Promote restorative practices that improve the world for future generations. Embrace transparency and integrity in all our work.
GROWTH IN ORGANIC CERTIFICATION 2017–2019 Inspections Conducted New Organic Certificates Issued 1750 1500 1250 1000 750 500 250 0
1529 303
1709 373
1723 235
2017
2018
2019
grOwth Strategy: year-rOuNd SaleS FOr FarM aNd FOOd BuSiNeSSeS Tips on diversifying farm income from season extension to agritourism and more BY MOllY Berntsen, Penn state extensiOn
educatiOn PrOgraM assOciate and Maria graziani, Penn state extensiOn sr. educatOr
The following article has been adapted from a workshop series by Penn State Extension Business Management Team called Strategies for Successful Selling and is the final article of a 3-part article reflecting the series.
A
s a small farm or food business owner, you likely have direct experience with seasonality playing a major role in your business plan as well as the need to adjust your sales strategy throughout the year to continue bringing in income while meeting your customers’ needs. When running a highly seasonal business, the process of developing a business plan that continues to bring in income throughout the year can require some creative thinking! To this end, finding ways to diversify your income or extend your farming season can be an essential ingredient in ensuring that your business continues to thrive and be sustainable year after year. Diversification and season extension can protect farmers against downside risk and cash flow problems while enhancing business operations by making better use of land, labor, and capital. Furthermore, data from the USDA Economic Research Service highlights the unfortunate reality that increasingly, small-to-medium sized farms are relying on income diversification (specifically off-farm work) to keep their businesses afloat. When it comes to diversifying your farm’s income, there are several strategies available to you. We have highlighted five major approaches towards achieving year-round sales at your farm or food business: Season Extension, Crop Diversification, Value-Added Products, Agritourism, and Responding to Economic Relief Opportunities.
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SEASON EXTENSION In addition to allowing you to extend your growing season, high tunnel production furthers your ability to create a controlled and uniform growing environment, leading to increased production and improved crop quality. There are many programs in place that can help you with purchasing and installing a high tunnel on your farm. The Natural Resources Conservation Service (NRCS) offers a financial assistance program to farms that agree to adopt certain conservation practices on their land. Applications for this program are accepted on a continuous basis. The financial assistance program includes several different grants including Agricultural Management Assistance, Conservation Assistance, Environmental Quality Incentives Program (EQUIP), and easements. NRCS also provides support to farmers through agricultural easements. Agricultural Land Easements protect the long-term viability of the nation’s food supply by preventing conversion of productive working lands to non-agricultural uses. Land protected by agricultural land easements provides additional public benefits, including environmental quality, historic preservation, wildlife habitat and protection of open space. NRCS provides financial assistance to eligible partners for purchasing Agricultural Land Easements that protect the agricultural use and conservation values of eligible land. In the case of working farms, the program helps farmers and ranchers keep their land in agriculture. Under the Agricultural Land component, NRCS may contribute up to 50 percent of the fair market value of the agricultural land easement. Where NRCS determines that grasslands of special environmental significance will be protected, NRCS may contribute up to 75 percent of the fair market value of the agricultural land easement. You would apply for easement through your county agricultural easement program, usually defined as a conservation district and/or farmland preservation program.
Chart Source: USDA, Economic Research Service and National Agricultural Statistics Service, Agricultural Resource Management Survey and US Census Bureau, Current Population Reports. Data as of November 27, 2019.
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CROP DIVERSIFICATION Farmers who implement crop diversification can experience several benefits such as breaking pest cycles (including plant diseases, insects, and weed infestation), reducing erosion, improving soil structure, and conserving soil moisture. Furthermore, being strategic about how you diversify your crops can help you extend your season in a way that boosts your profits significantly. Take the time to learn about which crops have a growing market demand, such as the following: Lavender: Able to grow in a variety of climates, lavender is a slam dunk for several reasons, not least of which because it fetches a nice price (a quarter-acre produces around $18,000, when sold in bunches). Lavender grows quickly, is resistant to disease, and propagates easily. Ginseng: This crop grows best in forests, mostly in eastern and northern America. While still viable as an open-field crop, ginseng is most potent and valuable when grown under the canopy of trees. The extra effort is well worth it, though: this “wild-simulated” ginseng can sell for anywhere between $300 and $700 a pound. Hops: Michigan and New York are now in the top 5, hopproducing states. With 800 acres and 400 acres respectively in production, and most sales in both states occurring in-state or in-region. This demand is coming from craft beer producers who are willing to pay the premium difference. Brewers paid an average of $12.83/lb. for craft hops. Hemp: The global industrial hemp market is projected to grow from USD 4.6 billion in 2019 to USD 26.6 billion by 2025, recording a CAGR of 34%. In addition, the USDA made crop insurance available to hemp growers that produce hemp for fiber, flower, or seeds for the 2020 season. Mushrooms: For gourmet mushrooms like shiitake, maitake, and oyster, 2017-18 saw a record high at $1.23 billion in total sales. US mushroom crop totaled 917 million pounds and the average reported price was $1.34/lb., up 3 cents from the previous year’s price. Vermicompost: There are two products that “grow” from vermicomposting, the worm population and the compost. Stemming from a relatively inexpensive startup cost (worms, crop residue, repeat), you can produce vermicompost for use on your farm or gardens, or you can sell it for $400 to $1,300 per cubic yard. Markets include greenhouses, vineyards, farms, nurseries, golf courses, turf fields, landscapers, and homeowners. The worms are also a product, depending on variety to sell wholesale to other producers, home composters or into the fishing industry.
VALUE-ADDED PRODUCTS Considering value-added, when coupled with an up-todate understanding of consumer demand and trending sales in the food marketplace, can increase the value of your products tremendously. The list of value-added products includes a wide range of products from cheese, cider, spreads, sauces, and snacks to candles, crafts, dried flowers, soaps, and even furniture. It’s a good idea to keep abreast of the latest research in terms of food and flavor trends to give you a starting point for some potential directions in which you could take your value-added products. For example, 2020 is seeing a boom in: • Botanical-infused non-alcoholic bottled drinks • Easy-to-serve and ethically raised charcuterie and cheese • Unique, brightly colored vegetables • Prepared nutritious snacks such as hard-boiled eggs, vegetable and fruit infused fresh nutrition bars, or pickled vegetables As more consumers begin to care about the sustainability of the products they choose, demand is increasing for local food from markets and local farms. Even some restaurants like Shake Shack and Chipotle have begun incorporating locally grown foods into their menus. AGRITOURISM If adding more crops to your operation isn’t in the cards, consider tourism-based diversification in agriculture, which can include seasonal offerings such as corn mazes and pumpkin patches, farm-to-fork dinners, and/or petting zoos.
Agritourism has a major economic impact in Pennsylvania.In PA, the average annual income from agritourism per operation in 2017 was $38,261. Total agritourism sales in 2017 in PA were $27 million. Lancaster County led in agritourism operations at 77, followed by Chester County, Bucks County, and Butler County. Source: Penn State Extension
Honey: Honey value ranges depending on variety, but has an average commodity price of $1.86/lb. However, the locally produced honey market can and does yield prices between $7-$10/lb. In addition, cultivating honeybee hives is a valuable market, at $815M in sales in 2018.
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When deciding whether or not to establish an agritourism element in your farm business, it is important to ask yourself three questions: • How is my land currently zoned?
USDA Risk Management Checklist: extension.psu.edu/usda-checklist USDA Risk Management Checklist User’s Guide: extension.psu.edu/using-the-usda-risk-management-checklist-users-guide
• What insurance might I need?
Agritourism in Pennsylvania 2019 Update: extension.psu.edu/agritourism-in-pennsylvania-2019-update
• How will this affect the operations of my existing farm business?
Penn State Extension Coronavirus Information Page: extension.psu.edu/coronavirus
The USDA Risk Management Checklist is a tool designed specifically to help you think through the answers to these questions (and many more) in preparation of starting your agritourism operation. See the Extension article Using the USDA Risk Management Checklist User’s Guide to get started in the process of determining what type of agritourism might be the best fit for your current farm businesses! To read more about the state of agritourism in Pennsylvania, see the Extension article Agritourism in Pennsylvania 2019 Update.
Molly Berntsen is an Education Associate for Penn State Extension in Allegheny County, where she works as a farmer educator in agricultural entrepreneurship. Molly is passionate about strengthening local food systems and communities throughout western Pennsylvania. Previously, she has worked in food systems and education at DC Greens in Washington, DC and the Environmental Charter School of Pittsburgh. Molly holds a B.S. in Biology from Carnegie Mellon University and is currently pursuing a Masters in Social Work from the University of Pittsburgh.
COVID-19 AND ECONOMIC OPPORTUNITIES FOR FARMERS Due to the current nature of the rapid changes in our society, loans and grants for small businesses and farms, deemed as essential business to the health and well-being of society, are becoming more available to ensure farms and food businesses can stay open for residents. Farms have a unique opportunity to find new customers, expand and strengthen their operations, increase sales online and inperson at farm markets, with delivery and customer pick up. Online ordering with pick-up and delivery options are fast becoming a normal function of grocery buying for most American families, as they seek to cutdown their presence in crowded public spaces and play their role in reducing the spread of infectious diseases. You can find more information on changes occurring in 2020 for farmers and food producers on the Penn State Extension Coronavirus Information Page, as we are quickly and continuously developing resources to support the farming community. RESOURCES
Maria Graziani holds an MBA from Carlow University and joined Penn State Extension in 2016. She is a former urban farmer and value-added producer who is currently part of a team that ensures agriculture in Pennsylvania is a thriving business that supports farming families, communities and commerce. Ms Graziani’s engagement in agricultural economic research, entrepreneurship, and program development, is creating a systems-approach to local and regional food production and working to put the producer on the pulse of industry changes, advancements and opportunities.
A Full-Service Certification Agency Now offering Transitioning Farmer services!
NRCS Financial Assistance: nrcs.usda.gov/wps/portal/nrcs/main/pa/programs/financial/ Agricultural Management Assistance Program: nrcs.usda.gov/wps/portal/nrcs/detail/pa/programs/financial/ama/?cid=nrcseprd928008 Conservation Innovation Grants: nrcs.usda.gov/wps/portal/nrcs/detail/pa/programs/financial/cig/?cid=nrcs14 2p2_018083 Environmental Quality Incentives Program: nrcs.usda.gov/wps/portal/nrcs/detail/pa/programs/financial/eqip/?cid=stelprdb1266191 Agricultural Conservation Easement Program: nrcs.usda.gov/wps/portal/nrcs/main/pa/programs/easements/acep/
“Great certifying agency that is small enough to be able to have a personal feeling, but large enough to give you great service!”
USDA Service Center Locator: offices.sc.egov.usda.gov/locator/app?service=page/CountyMap&state=PA&s tateName=Pennsylvania&stateCode=42 Conservation District Locator: pacd.org/?page_id=59
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814-422-0251 • paorganic.org www.paorganic.org
transitions
Inspiration for Organic: A Q & A with Transitioning Farmers
Homefields Inc. is located in Millersville, PA. Homefields is a non-profit organization dedicated to creating new life options for people who have disabilities. A modern ranch and 1800s farmhouse are the homes, and a 23-acre farm is the stage. Hundreds of people who have a disability or other barrier to traditional employment have engaged at the farm, growing organically-minded produce for community shareholders. Six adults with intellectual and developmental disabilities call Homefields “Home.” Homefields is committed to organic production practices. They are working with Rodale Institute’s organic crop consulting program and plan on applying for organic certification in the Fall of 2020. Homefields’ Farm Manager, Katie Landis, shares insights on Homefields’ transition to organic with Emily Newman, a Rodale Institute Organic Crop Consultant..
1. Can you tell us a bit about your operation? The farm has been around for 20 years. We are a part of Homefields Inc. which is a larger non-profit organization. Homefields was founded in the early 1990s by five families who all had an adult child with a disability and were looking for a more natural, peaceful place for their children to live so they got together and purchased the farm. A couple years later the vegetable production side of Homefields started. We at first collaborated with Goodwill Industrires who ran the farm CSA program working with adults with disabilities for about 17 years. In 2017 they parted ways with us and Homefields has been running the farm side of things since then. We manage 23 acres but we have about 7 in vegetable production. There are about 175 shareholders in our CSA. They all come to the farm to pick up. We have 3 pick up days every week. A big part of our CSA is our pick your own field and our pick your own strawberries. This year we implemented a choice CSA so people can set preferences about which vegetables they like and don’t’ like and they can also then make swaps before pick up time happens so they are getting more of what they like. We are pretty excited about that. With our CSA, we grow the whole range of vegetables 12
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Katie Landis, Homefields’ Care Farm Manager, ready for work on the 23-acre Millersville farm. Photo: Homefields Inc.
you would expect to get from a CSA, a little bit of everything. 2. What is your interest in getting certified organic? For me getting certified organic would be easier than trying to explain how we are using organic practices but that we can’t say that we are organic. It will just be simpler to stick that label on things and have people just know. Also, we will have better accountability. We can prove to everybody that this is what we are doing. 3. What has been the biggest stumbling block to certification and how are you working to overcome it? I think the biggest stumbling block in my mind was cost and just the amount of paperwork that might be involved but I feel like over the years we have implemented a lot of that paperwork ahead of time. We do a lot of recordkeeping and a lot of tracking of things already. So aside from the application I really don’t know if there is going to be a whole lot more. And working with a Rodale Institute Crop Consultant is helpful, so that’s great. 4. What advice would you give another farmer who is in your situation, maybe practicing organic but not certified? I feel like the bigger you are the more important it is to have that accountability. Also, there are programs like the USDA grant that we are working from that you can get help
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for free which is really awesome. If they want to do it, just try to figure it out. 5. We all know that farming is extremely hard work, often requiring long days in difficult conditions. What motivates you to get up each day and keep going? Here on this farm, what motivates me is the people really. All the shareholders are so happy to see us, so happy that we are growing food for them. Our employees, farmhands and volunteers are all really happy to be here and so happy to be growing food. It’s just a really awesome, natural, peaceful, healthy environment to be in. 6. Is there anyone who has influenced you in your farming journey that you want to tell us about? My biggest mentor was a woman named Eli Weaver who is with Lancaster Farmacy. They grow mostly flowers and medicinal herbs. She was the farmer at the first farm that I worked at and she really inspired me to want to explore more. She got me interested in farming and organic agriculture. 7. Are there any fundamental farming “lessons” that you have learned in your farming career that you would like to share with farmers who will read your interview? You have to just take each day as it comes and realize that you are not going to get everything on your list completed and that tomorrrow is another day. There will always
be weeds and you have to accept some level of weeds. I heard a quote somewhere about weeds — it was something like “perfection is not attainable so you have to shoot for 80% being good enough.” I try to think about that since I do have some perfectionist tendencies. Our shareholders are seeing the vegetables and the strawberries — they are not seeing the weeds when they come, even though that’s what I am seeing. They are happy.
Katie Landis, Farm Manager of Homefields Inc., is working with Organic Crop Consultants at the Rodale Institute. The consulting services are FREE to Pennsylvania farmers transitioning to organic thanks to funding from the PA Department of Agriculture. Farmers who make the transition to organic can earn two to three times the price of their conventional counterparts and increase the value of their land, giving farmers a valuable asset for future generations. Rodale Institute is a trusted resource for technical assistance, regulatory advice and community connections. Consultations typically begin with a phone call, followed by a site visit. Support is provided throughout the entire transition to make sure farmers are on the right track. Farmers that are interested in receiving consulting services can contact the Rodale Institute directly by calling 610683-1416 or Consulting@RodaleInstitute.org.
About 80 students and teachers from Hambright Elementary School came by to investigate, explore, create, compute and otherwise immerse themselves in various spaces at Homefields. Photo: Homefields Inc.
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President’s executive assistant Message staceY Budd
BY tina ellOr, PcO BOard President
T
he 2020 COVID-19 pandemic has posed unique challenges to many organizations and PCO is no exception. As we adapted to sheltering in place and working from home, we were at the same time continuing our search for a new Executive Director. We were forced by circumstance to conduct this search and all of our interviews virtually which, although not ideal, had the happy result of the selection of Diana Kobus as our new Executive Director. Diana comes to PCO with over a decade of non-profit leadership in an environmental accreditation and certification organization. Diana has a Masters in Environmental Sciences with a focus in Organic Agriculture and has been Executive Director of the Institute for Environmental Practice (IPEP) for the past twelve years following a stint with Whole Foods Markets in the early 2000s. She is currently the President of the Council of Engineering and Scientific Specialty Boards. She brings extensive leadership experience along with a passion for organic production and the critical impact it has on climate and the environment. I am looking forward to the time when we can get together in person and welcome Diana to our organic farming community. Our successful search for our new executive director couldn’t have been done without the valuable input and efforts of our staff and stakeholders, and our Interim Executive Director, Katherine DiMatteo. Thank you to all of you who took the time to participate in focus groups and interviews and who helped us in our search for qualified candidates.
OUR COMMON HUMANITY We are working through challenging times, not only the global pandemic and the resultant economic crisis but also
UPCOMING BOARD MEETINGS: Tuesday, July 21, 2020 Agenda highlights: • Approval of 2020 financial re-projections • Board policy updates Thursday, October 15—Friday, October 16, 2020 Agenda highlights: • Strategic planning updates • Approval of 2021 Fiscal Budget
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the exposure of some of the weaknesses of our democracy with the deaths of George Floyd, Breonna Taylor, and Ahmaud Arbury-the latest in a long shameful history of racial discrimination. Charles Dickens wrote A Tale of Two Cities in 1859 that opens with this line: “It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of Light, it was the season of Darkness, it was the spring of hope, it was the winter of despair….” I think this view shares some of what is happening now. I choose to interpret these words as hopeful that our current health, economic, and social crises will lead to serious self-reflection both as individuals and as a society leading to positive change. Amidst all of the bad news, there is also plenty of good news of people coming together to help keep their communities fed and strong and to stand together in the face of injustice. It is to me a demonstration of the recognition of our common humanity. “This country will not be a good place for any of us to live in unless we make it a good place for all of us to live in.” —Theodore Roosevelt Stay well, stay strong, keep up the good work. — Tina Ellor
CalliNg FOr BOard NOMiNatiONS
Every year, PCO has five open board seats to fill. As a member-based organization, we look to you to consider nominating yourself or others you feel would lead our work with the integrity we strive to uphold. PCO’s Advisory Board is responsible for ensuring adherence to legal standards and ethical norms, overseeing the organization’s financial health, monitor and strengthen our programs and services, all while building a strategic plan to help us meet our goals. PCO values a diverse and inclusive board that supports the mission of PCO and represents the membership by having a balance of interests, backgrounds and perspectives. To support this diversity, the board is comprised of both certified and non-certified operations, industry professionals, academia and consumers. Board members are elected for a 3year term and are eligible to serve a total of 2 consecutive terms. Our nomination period is open from August through Mid-October. Nominations are submitted to the Governance Committee for review. For more information about board roles and responsibilities — view our website at: paorganic.org/board/board-nominations.
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dear aggy Dear Aggy, I’m planning on incorporating some molasses into my foliar sprays, or maybe even adding the dry version to my fertilizer blend. Does PCO need to review the molasses, or can I just order it through my farm store? — Thanks, Molly Hi Molly, Yes, PCO will need to review the specific molasses that you’re planning on using. There’s a surprising number of molasses formulations out there, and not all of them are allowed. In order to determine compliance with the National Organic Program, we will need a copy of the label, as well as verification from the manufacturer that there are no added preservatives or other additives (such as those added to improve flowability). Sulfured molasses products have added sulfur dioxide as a preservative and are not allowed. Dry molasses will also need to be reviewed, as there are possibly carriers involved. Remember — just because a product is allowed for one use, doesn’t mean it’s allowed for all uses. Molasses allowed for crop use may not be allowed for livestock use. When in doubt, call PCO! — Best, Aggy
Do you shop online at Amazon? Support PCO at the same time with AmazonSmile! The AmazonSmile Foundation will donate 0.5% of the purchase price from your eligible AmazonSmile purchases to PCO at no adiitional cost to you. To shop at AmazonSmile simply go to smile.amazon.com from your web browser. Then select “Pennsylvania Certified Organic” using your existing Amazon.com account. You may also want to add a bookmark to smile.amazon.com to make it easy to return and start your shopping and supporting!
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Certification update Marissa evankovich certification Program Manager Happy Summer! This year has been a year of uncertainty and change, and here at PCO has been no exception. As you may have read in the inspections update of this issue, we’ve had to think and be proactive about how we are going to schedule and handle the onsite inspections of your operations. We may need to update how we conduct your inspections if the situation hasn’t improved for us to be safely on site. Things are changing day by day in the instructions and information we’re sending to our inspectors, and, as a result, to our certification staff, and to you. Thank you all for your patience as we change our processes and procedures, and for your understanding regarding any delays you’ve experienced in paperwork or anything else. We are still determining on how to best be available and serve you, while balancing safety. If you’re adding anything to your certification, this year may be a little different than in years past, and it may be a little different than in future years on how PCO approves these changes. We are evaluating whether any new changes to your OSP (such as adding fields, greenhouses, production lines, or another poultry house) need a physical onsite inspection prior to issuing PCO approval. Typically, these type of changes would be inspected on site, in person, prior to use if at all possible. However, due to the limitations we are facing this year, we are working to do as many ‘desk audits’ or pre-inspection approvals as possible. Many factors go into the decision on whether something can be approved, so please contact your certification specialist if you are making any big changes to your OSP, and if you aren’t sure, call us! One last item I’d like to mention: it’s never too early to think about the cost share program! Please remember, all fees must be paid by 9/30/2020 in order to be eligible for this year’s cost share program. Haven’t had your inspection yet? No problem! Call our accounting department for a prebill! We are also happy to work with you on payment plans if necessary. More information will be sent to you in the next few months on the cost share program.
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legislative update kyla smith certification director
BIPARTISAN BILL PROPOSES VOLUNTARY CARBON MARKETS FOR FARMERS
Earlier this summer, a bipartisan bill was introduced in the U.S. Senate by Ranking Member Debbie Stabenow (D-MI), Senator Mike Braun (R-IN), Lindsey Graham (R-SC), and Sheldon Whitehouse (D-RI) to establish a USDA program aimed at streamlining access to voluntary carbon markets for farmers. The Growing Climate Solutions Act would: • Facilitate a voluntary program for farmers interested in participating in carbon markets and receiving payments for implementing climate friendly practices that capture carbon, reduce emissions, improve soil health, and make operations more sustainable. • Establish a program where USDA would certify interested third-party verifiers and technical assistance providers to verify and measure practices. While approved third-party verifiers would be able to advertise that they are USDA certified, this would not be a market-facing label. • Help facilitate and connect farmers interested in receiving payments for carbon offsets with a “one-stop-shop” website with resources on how to get started as well as a list of USDA-certified entities. • Establish a federal advisory council to provide recommendations to the Secretary of Agriculture on the certification program. The Secretary would establish details of the program. • As a federally administered program, it would be complementary to private sector programs that already exist for farmers interested in participating in carbon markets. PCO will monitor the progress of this bill and evaluate its support among our stakeholders as well as applicability to our mission and vision.
USDA MISSES ‘ORIGIN OF LIVESTOCK’ FINAL RULE DEADLINE
In the Fiscal Year 2020 appropriations bill, Congress gave the U.S. Department of Agriculture (USDA) 180 days to finalize the National Organic Program’s (NOP) Origin of Livestock Rule. USDA failed to complete this rule by the June 17th deadline. As such, Senators Susan Collins (R-ME) and Patrick Leahy (D-VT) to Secretary of Agriculture Sonny Perdue calling on the agency to finalize this rule without further delay. “The 180-day period that Congress provided USDA to finalize this rule has now closed. While we recognize that the demand for service and program delivery at USDA has increased dramatically during the pandemic, we
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urge the Department to finalize the Origin of Livestock proposed rule without further delay and establish a timeline for its implementation.” Additionally, PCO, along with nearly 70 other organizations, companies and farms, signed a letter urging Congress to ensure USDA complies with the law and finalizes the rule as soon as possible.
Materials update jen Berkebile Materials Program Manager
MATERIAL REVIEW STATUS CHANGES
Please note the following status changes for materials reviewed by PCO for use by certified operations. ALLOWED
n Livestock Materials • First Pulse D Oral Drench by Ralco Nutrition, Inc., is allowed as a livestock medical treatment with restriction. • KNS Mineral by Farming Solution is allowed as an OPT grass-fed feed additive/ supplement. • Xcite by Advancing Eco-Agriculture is allowed as a livestock feed additive/ supplement. PROHIBITED — Operators must immediately discontinue use of these products unless otherwise noted. n Crop Materials • Arm & Hammer Baking Soda by Church & Dwight Co., Inc., is prohibited as crop disease control and as a fertilizer/ soil amendment. • Citric Acid by Shandong TTCA Biochemistry Co is prohibited as a crop production aid. • Limestone from Hanson Aggregates / Milton Quarry is now prohibited as a fertilizer/ soil amendment due to insufficient information. You may use up any that you have on hand. n Livestock Materials • Avi Lyte by Ralco Nutrition, Inc., is prohibited as a livestock feed additive/ supplement. Contact Jen at PCO about using up any that you have on hand. • Bovi Soft Barrier by BouMatic, LLC, is prohibited as a livestock teat dip/ udder care product. • CalviVault by Van Beek Natural Science, LLC, is prohibited as a livestock medical treatment. • Citric Acid by Paragon Specialty Products, LLC (PSP), is
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prohibited as a livestock feed additive/ supplement due to insufficient information. You may use up any that you have on hand. • Complete Poultry Vitamins and Electrolytes by Paragon Specialty Products, LLC (PSP) is prohibited as a livestock medical treatment due to insufficient information. You may use up any that you have on hand. • LactoLife 4-12 Mineral by Belisle Solution Nutrition is prohibited as an OPT grass-fed feed additive/ supplement. You may use up any that you have on hand. • Lacto Vie Mineral Mix 16-8 by Belisle Solution Nutrition is prohibited as an OPT grass-fed feed additive/ supplement. You may use up any that you have on hand. • Organic Pure Cleanse by River Feed and Supplies is prohibited as a livestock parasiticide. You may use up any that you have on hand. • Vitamin E by AgriLabs, Inc., is prohibited as a livestock medical treatment.
inspection update jenny cruse inspection Program Manager
2020 INSPECTIONS EXPECTATIONS
COVID-19 has brought about changes in the way PCO is handling organic inspections in 2020. The changes, while not ideal and not permanent, are designed to protect public health while ensuring compliance with the USDA Organic Regulations. Depending upon circumstances, inspections may occur remotely/virtually, through a limited-contact onsite visit, or via desk audit by the inspector. Your inspector may opt for a hybrid approach. Onsite inspections are required for new operations prior to certification. PROCESSES FOR INSPECTIONS 1. PCO communicates inspection prioritization information to inspector. 2. Inspector reaches out to client to discuss scheduling and format. 3. Inspector communicates any preliminary requirements (e.g., preparatory meeting for remote inspections, social distancing, or timelines for sharing/sending documents). It is critical that expectations are clearly communicated and that both parties agree, especially in regards to social distancing protocols and mask wearing prior to the inspection to aid in a smooth inspection. continued on page 18 Organic Matters • suMMer 2020
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Organic Updates — Inspection Update continued from page 17
4. Inspection occurs.
• The inspector will request specific records from the client. • The inspector will establish a reasonable timeline for exchange of information.
5. Follow-up on paperwork requirements as applicable.
• Scans or copies of records should be sent to the inspector. Clients should not send original copies.
6. Exit Interview (if not already conducted during Step 4).
• An Exit Interview will be conducted.
Below are PCO expectations for each inspection type. LIMITED CONTACT ONSITE INSPECTIONS Onsite inspections will only occur if the inspector and client agree that the risk of disease spread is low and/or can be sufficiently mitigated. • Six feet of separation between the inspector and client must be maintained. • The inspector and client should communicate regarding any illness or potential exposure to illness prior to meeting. • Masks should be worn when appropriate. • Hand washing and/or sanitization and sanitization of jointly handled tools and equipment is required. • The inspector may request to visit the operation alone and call the client on the phone while onsite. • Samples of organic product may be collected for residue testing. • The onsite inspection may be limited to essential viewing of the premises. The inspector may request that part of the inspection is handled at a distance. • An Exit Interview will be conducted. REMOTE/VIRTUAL INSPECTIONS Remote/virtual inspections will typically only occur if the inspector and client can agree to the use of web conferencing or other software that enables real-time dialog and visual verification of the OSP. • A preliminary meeting should be held between the inspector and client to ensure the technological requirements can be met and to assure a mutual understanding of how the inspection will proceed. • Records should be organized in advance of the virtual/ remote inspection so they can easily be shared easily. • An Exit Interview will be conducted. • Any elements of the OSP that cannot be verified remotely will be followed up on using an onsite visit. This will be billed separately from the initial inspection activity. DESK AUDIT These will typically be used when it is not feasible to conduct an onsite inspection nor a remote/virtual inspection. 18
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• Any elements of the OSP that cannot be verified via desk audit will be followed up on using an onsite visit. This will be billed separately from the initial inspection activity. Regardless of inspection format, clients must respond to inspector communications and requests for scheduling, paperwork, and etc. Failure to respond to an inspection scheduling request may delay certification and/or result in a Notice of Noncompliance. All parties must adhere to social distancing guidelines for onsite inspections. If the inspector or client perceives that the other party is not honoring social distancing protocols, this should be communicated directly. If the problem persists, either party can end the inspection and notify PCO. Inspectors who do not follow social distancing guidelines may have work reassigned. Clients who refuse to follow the same guidelines will be seen as having refused the inspection, and this may result in a Notice of Noncompliance. USDA-NOP has not waived PCO’s responsibility to conduct onsite inspections during the 2020 season. Therefore, inspections conducted remotely or via desk audit will have an onsite follow-up at a point when risks to safety have subsided. Follow-up inspections may be announced or unannounced. Contact PCO Inspection Program Manager Jenny Cruse: jcruse@paorganic.org or 814-422-0251 ext. 250 with any questions.
Standards and Policy update kyla smith, certification director
ELECTRONIC ORGANIC IMPORT CERTIFICATE NOW AVAILABLE
The National Organic Program (NOP) and Customs and Border Protection (CBP) have announced the deployment of the electronic organic import certificate beginning at the end of April. The electronic organic import certificate will be available through CBP’s primary import system known as the Automated Commercial Environment (ACE). This organic certificate is being launched as an optional filing step, not as required. The electronic organic import certificate is expected to become required with the publication of the Strengthening Organic Enforcement final rule.
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While the NOP electronic organic import certificate is not currently mandatory, U.S. importers who wish to request the NOP import certificate from exporters and include it in their import filings may do so at any time. Trade filers wishing to begin using and piloting this new feature should work with their software vendor on its availability. The NOP provided the following information for trade filers: • Importers and customs brokers who file entries in ACE may start receiving filing requirement notifications for the new Organic HTS Code flags. Once the electronic import certificate becomes mandatory in ACE, the flags will let filers know what commodities will require the use of the certificate. Requirements are being phased in and full implementation is expected in 2021. • Automated Broker Interface, or ABI, software vendors are actively engaging with NOP to ensure that updates to their applications are compliant and available well in advance of the full regulation implementation. • As these software vendors incorporate the new message set, we encourage voluntary filing. We appreciate customs brokers who start submitting data, so we can fully test and make sure this new message set does not slow trade for valid organic products. • Find Organic Entity Numbers for USDA certified organic farms and businesses around the world in the Organic Integrity Database. Use the ten-digit NOP Operation ID. • If there is no NOP Operation ID because the import is from an NOP trade partner, enter that trade partner’s Organic Entity Number. If there is none, enter 0000000000.
U.S.–TAIWAN ORGANIC EQUIVALENCY REACHED
Earlier this summer U.S. Department of Agriculture (USDA) announced a new U.S.-Taiwan equivalence arrangement, effective May 30, 2020, to enable increased trade between the two regions. The new bilateral arrangement allows organic products certified in the United States or Taiwan to be sold as organic in either market. It also protects access for American organic farmers, ranchers, and businesses to this significant export market by removing continued on page 21
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Box 361, 119 Hamilton Place Penn Yan, NY 14527 315-531-1038 Certified Organic Feed, Seed & Livestock Products from Northeast organic farmers for Northeast organic farmers ❖ www.lakevieworganicgrain.com
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event Calendar JULY July 20-August 9 Virtual NOFA Summer Conference nofasummerconference.org
AUGUST August 4 Direct Farm Conference — Virtual Conference For Your Farm Business 10:00 am–6:00 pm EDT directfarmconference.com August 5 Pasa Sustainable Agriculture Equipment Demo & Farm Incubator Tour Lehigh Valley — 3–5:30 pm Pittsburgh — 5:30–7:30 pm
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pasafarming.org 814-349-9856 x709 August 13 Pasa Sustainable Agriculture Forest Farming: Goldenseal 9:00 am-4:00 pm EDT Lundale Farm — Pottstown, PA pasafarming.org 814-349-9856 x709 August 25–26 Acres USA Healthy Soil Summit — virtual events.acresusa.com August 29 Forest Farming: Ginseng 9:00 am–4:00 pm EDT Quiet Creek Herb Farm — Brookville, PA pasafarming.org 814-349-9856 x709
SEPTEMBER September 9
Organic Matters • suMMer 2020
Pasa Sustainable Agriculture Cover Crop Strategies for Vegetable Farms 3:00–5:30 pm EDT pasafarming.org 814-349-9856 x709 September 15 Savanna Institute Silvopasture Food Safety Webinar 7:00 pm EDT savannainstitute.org/events September 17 Rodale Institute Webinar: Soil Health as Affected by Management on Row Crop, Vegetable and Pastured Livestock Farms in PA 2:00–3:00 pm EDT rodaleinstitute.org 610-683-1400 September 21–22 Acres USA/Rodale Institute Organic No-Till Intensive
Kutztown, PA events.acresusa.com
OCTOBER October 5 Acres USA Advancing Industrial Hemp 8:30 am–6:00 pm Greenley, CO events.acresusa.com October 8 Rodale Institute Webinar: Manure and Pasture Management to Reduce Swine Parasites in Organic Pastured Pork 2:00–3:00 pm EDT rodaleinstitute.org 610-683-1400 October 27–29
National Organic Standards Board Meeting Cedar Rapids, IA ams.usda.gov/rulesregulations/organic/nosb/ meetings
www.paorganic.org
Organic Updates — Standards and Policy continued from page 19
previous barriers for exporting, providing an opportunity for U.S. organic products to gain a greater share in the Taiwanese marketplace. Taiwan is estimated to be the fifth largest organic export market for U.S. producers. Taiwan’s imports of U.S. organic products have increased sharply in the past few years, with imports totaling over $90 million in 2019, and are forecast to grow by almost 50 percent over the next five years. The American Institute in Taiwan and the Taipei Economic and Cultural Representative Office in the United States signed and exchanged letters on behalf of the U.S. and Taiwan to establish the new organic equivalence arrangement. The arrangement covers certified organic products grown, produced, or with final processing in the U.S. or Taiwan and eliminates the need for organic producers and processors to have separate organic certification to the U.S. and Taiwan standards, avoiding a double set of fees, inspections, and paperwork. For additional information on the U.S.-Taiwan Equivalence Arrangement, access: • Press Release (ams.usda.gov/press-release/us-taiwanaittecro-equivalence-arrangement-expands-organicexport-opportunities) • USDA, National Organic Program, Taiwan International Trade Policies web page ( ams.usda.gov/services/organiccertification/international-trade/Taiwan) The above documents and information are also available in hard copy by contacting the PCO office.
New Faces PCO WELCOMES NEW CERTIFICATION SPECIALISTS Dara Raidel
Dara joined the PCO team as a Certification Specialist in June 2020. Dara is originally from Columbus, Ohio, and grew up spending weekends on her dad’s conventional farm where she learned about running tractors and growing quality forage crops. She earned a B.S. in Agricultural Sciences from Cornell University and after graduation spent 5 years working on a four-season organic vegetable farm just outside her hometown. Dara and her husband Luke are dedicated members of their church community and enjoy spending time with friends and family, visiting national parks, and working in the garden. continued on page 22
www.paorganic.org
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Marketplace CROPS PCO-certified organic baleage. Individually wrapped. 4 x 4 mixed hay. First cutting, $50/bale. Dry first cutting, $30/bale. Jim Hepp. Bradford County. Certified Organic Meadow Grass hay. Large square bales (3x7), clean, dry, and stored indoors. RFV 85. Great for horses or dry cows. $75.00 per bale. Call or text: Cindy 717-476-1220. York County.
EQUIPMENT Farm cultivators for sale. Four and six rows; John Deere and IH, ready to go to work (both rebuilt). Contact Carl Modica for prices: 814-267-5640. Somerset County.
SERVICES Ag plastic recycling — I can use black and white bunker covers, bale wrap, plastic twine, clear stretch film, greenhouse covers, flats, and pots. Call for details. Franklin County, PA. Struggling with Performance? Grow a stronger, more resilient Bird. We help farmers thrive in an antibiotic-free environment. Decrease Mortality. Improve Weight Gain. Increase Profits. www.southlandorganics.com
LAND FOR SALE/RENT Large amount of certified organic dairy farm for rent or sale. 70+ acres of pasture. Please contact 570-721-3605. Sullivan County.
Organic Updates — New Faces continued from page 2 1
Katie Poppiti
Katie joined PCO in June 2020 as a Certification Specialist. She has a B.S. From Penn State University, College of Agricultural Sciences and M.S. in Sustainable Food Systems from Green Mountain College. Katie previously worked for Penn State Extension, specializing in both producer and consumer education within the mushroom farm community in southeastern Pennsylvania. Prior to joining PCO, Katie worked as a flock supervisor for a commercial turkey company and coordinated animal welfare and organic certifications for contract growers. Katie is passionate about all things equestrian, gardening, cooking with her Italian American family, and traveling.
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Compliance for Livestock Farms continued from page 5
aster reduced the grazing capacity of your farm, you may qualify for what’s called a temporary variance. Proactive tracking and understanding options available to you could help you avoid compliance issues around grazing. And a final note on recordkeeping, which is a big topic and generally where we see the most growing pains for new operations in terms of both adjusting to the requirements and finding a system that works for them. Even when an operation is compliant with the production and handling requirements, if they are not documenting their practices according to their Organic System Plan (OSP), with sufficient detail, or retaining those records for at least 5 years — they’re not compliant with NOP requirements. Your recordkeeping system can be adapted to your needs and your preferences, but it needs to meet the standard. Issues that we see include leaving some practices out of your recordkeeping system thinking that they may not be important; keeping records in a way that doesn’t provide enough detail for auditing; or keeping records, but either not organizing them, so at inspection you can’t find the information, or putting away records from the previous year so they aren’t available for inspection.
ADDRESSING COMPLIANCE ISSUES
For operations that are not yet ready to submit an application, assistance with writing your OSP and advice for recordkeeping and planning is available through Rodale Institute’s farm consulting program, which is currently free for PA and Midwest farmers. Rodale offers onsite consultations and provides technical assistance on a range of topics, including agronomy and animal husbandry. Operations looking for strategies to correct issues can get advice and additional resources through one of Rodale’s Organic Crop Consultants. Other organizations that offer technical assistance include Natural Resources Conservation Service (NRCS) and your local extension service (e.g. Penn State Extension); be sure to discuss with these groups that you’re certified organic while discussing potential solutions. Staying in communication with your certifier — including reading the certification and compliance related correspondence or returning phone calls and emails — is the first step to understanding certification expectations and preventing the escalation of a noncompliance. If you are equipped with an understanding of the regulations, you can also better advocate for yourself and understand the justification needed to address or rebut a noncompliance notification. Update your OSP, ask questions about policy and guidance documents, and be proactive with your certification. The full “Common Livestock Noncompliances and How to Avoid Them” webinar is available for viewing on the Rodale Institute website: https://rodaleinstitute.org/education/webinars/archive.
www.paorganic.org
www.paorganic.org
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New Members
Thessalian Orchards, Inc. Slatington, PA
PCO Welcomes 2nd Quarter New Members! Newly CertiFied OrgaNiC
Adam Rusweiler Shelburne, NY Barry Sones Rheems, PA
Gary L. and Yolonda R. Horst Allentown, PA Good Crop Inc. Malvern, PA Henry J. Glick Spring Mills, PA
Caleb Rich Moss, TN Carl Spade Mount Joy, PA Chris and Erin Orben Kutztown, PA Daniel and Clara Wengerd Doylesburg, PA David Stoltzfus Loganton, PA Devon Yoder Morrisville, NY
Hudson Valley Biomass LLC Warwick , NY Iyasa Holistics LLC Mechanicsburg, PA Jeff Snyder Fredericksburg, PA Joe Friesen Lewisburg, PA John Ivan and Suetta Zimmerman Narvon, PA Jonas S. Fisher Ronks, PA
Elias Hoover Penn Yan, NY Ephraim A. Hertzler Mechanicsville, MD
JWM Poultry Solutions, LLC Mount Joy, PA
Leon Newswanger Little Falls, NY
Applied Bio-Minerals Lancaster, PA Best Veterinary Solutions Ellsworth, IA
Andrew S. Young Evans Mills, NY
Lloyd Huyard Honey Brook, PA
Devon Yoder Cazenovia, NY
Chemstation Philadelphia Downingtown, PA
Finnerty Farm Gouverneur, NY
Eastern Technologies Morgantown, PA
Leon Newswanger Little Falls, NY
Homestead Nutrition Inc New Holland, PA
Matthew Nolt Myerstown, PA MCT (USA), Inc. Norwood, NJ Michael Long Fredericksburg, PA Pasqualichio Brothers Jessup, PA Peaceful Ridge Farm LLC Gordonville, PA
Rolling Pastures Lykens, PA
Pall Corporation Port Washington, NY
advOCate
Betty Harper State College, PA
Tyson Hill Excavating Inc Mifflintown, PA
Charles Miller East Earl, PA
USA Gypsum Denver, PA
Ed Stepler Monroeville, NJ
York Ag Products York, PA
Ray Weaver Annville, PA
STAY CONNECTED, VISIT:
paorganic.org
Sam K Fisher Loganton, PA
Organic Matters is the quarterly newsletter of Pennsylvania Certified Organic, a non-profit organization serving growers, processors and handlers of organic products. Issues contain articles on the latest news and research in the organic industry, often highlighting our certified members. Approximately 1,500 copies of each publication are distributed directly to members and those requesting information about organic agriculture, and made available to the public at conferences, exhibits and educational programs in the Mid-Atlantic region.
Organic Matters • suMMer 2020
OrgaNiC PluS truSt CertiFied
Advancing Eco Agriculture Middlefield, OH
Linda Grove New Oxford, PA
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