OTA keeps insisting that the organic checkoff could generate 30 million dollars annually. When USDA did their calculations, they only counted $25 million. But let’s give OTA the benefit of the doubt…. How would that 30 million be spent?
The remaining $25.5 million gets divided as follows:
- 25% are reserved for Discretionary Funds (??? $6.37 million for whatever the Board decides)
- 25% to Marketing & Promotion ($6.37 million)
- 12.5% to Agricultural Research ($3.2 million)
- 12.5% to Marketing Research ($3.2 million)
- 12.5% to Farmer Education & Information ($3.2 million)
- 12.5% to Industry Information ($3.2 million)
Organic farmers nationwide agree that we need more organic research & education, but is a checkoff tax going to get us enough dollars so that it’s worth the bureaucracy burden?
How do the organic research dollars even out nationwide?
The checkoff board is divided into 6 U.S. geographic regions. If each state in each region is equally allowed a piece of the pie, this is how much research money would be allotted annually.
Click on the graphic for a clearer image.
Now… assuming most of this money will be granted to Universities (as is the growing trend),
universities typically charge their researchers 45-50% off each grant for overhead.
DIVIDE the above numbers by HALF.
Annually, HALF of what you see above is what will be used for organic research.
We can do better with the 2018 FARM BILL!