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January 25
Joint Legislative Action Day
Topeka, KS
January 26
Basics of Facebook and Twitter Workshop
Hutchinson, KS
February 7
KCUA's Day at the Capitol
Topeka, KS
February 11 & 12
Women Managing the Farm Conference
Wichita, KS
February 23
Basics of Facebook and Twitter Workshop
Dodge City, KS
March 8
Basics of Facebook and Twitter Workshop
Hutchinson, KS
March 28
KCC Board Meeting
Wichita, KS
March 29
KCC Annual Meeting
Wichita, KS
August 28, 29
Leadership Roundtable/ACCC Symposium
Manhattan, KS
December 10, 11
Director Development Program
Wichita, KS
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Co-op
News Coming to Your Inbox (Not Your Mailbox)
For years, the Kansas Cooperative Council has distributed a quarterly
newsletter. For the past few years, we have printed and mailed copies
to local board members and emailed an electronic version to those for
whom we had email addresses.
We have contemplated moving to all-electronic distribution of the
newsletter for quite a while. Now, we have taken that leap. This
email edition of the Co-op
News is the first to be delivered totally via email
-- no paper copies. This change allows us to expedite delivery
and reduce expenses.
We want this to be a smooth transition and we also want to make sure
we do not lose contact with those who have previously received the Co-op News in
their regular mailbox. So, we need some help from all of you. If your
cooperative has local board members that do not use email, we
encourage you to print a copy of the newsletter and make it available
at your next board meeting. If you have previously placed your
printed copy in your reception area, we hope you will print the e-version
and make it available to visitors. Most importantly,
please keep us updated on your board members and when providing us
contact information, please make sure that includes an email address.
The KCC certainly hopes that you enjoy receiving an electronic
version of the Co-op
News. We would love to know what you think about the
newsletter and the new delivery system. Please feel free to share
this information with your friends, as well.
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Notes from the Chairman
Christmas...the Time
for Giving and Receiving
Christmas is the season for "giving and receiving". The
Co-op Council has enjoyed receiving Brian Briggeman, as the new
Director of the Arthur Capper Cooperative Center at K-State. We
receive the benefit of Leslie Kaufman's superior legislative
abilities in the Capitol, being pro-active for co-ops, as well as
protective. We receive numerous benefits from our association with
KFSA. Among those benefits is working with Amy Chambers & Natalie
Nickel who provide our financials, schedule meetings, assist Leslie
and recently pulled together our first co-op video. Last but not
least, we received from our members. We receive dues from our members
to help finance the organization. We receive great input from all of
our member co-ops who participate in the activities of the Kansas
Cooperative Council. As you can see, we are blessed to receive so
much.
The Holiday season is the time for giving as well. We need to give of
our time, our money, our knowledge, our helping hands and our hearts.
We can all make a difference.
I hope you all have a Merry Christmas!
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KCC
New Board Member Spotlight
The KCC's newest board member is Kyle Eberle, CEO/GM
of the Right Co-op
in Wright, KS. Kyle was raised in the rural community of Ellis, KS
and graduated from Ellis High School. He continued working on a local
farm and for a satellite television company while attending Fort Hays
State University where he graduated with a business degree. Kyle
worked as a licensed securities and commodity broker before entering
his career in cooperatives in 2001. Kyle worked in various roles
within the Right Co-op before assuming his current position in late
2006. Kyle and his wife Jolene have one son, Spencer and currently
reside in Spearville.
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Legislative
Action Day
SAVE
THE DATE - JAN. 25
Make plans now to attend Legislative Action Day (LAD) 2012 on Jan.
25, 2012 in Topeka. The annual event is co-hosted by the Kansas
Cooperative Council, Kansas Grain & Feed Association and Kansas
Agribusiness Retailers Association and will feature legislative
briefings and a legislator appreciation dinner.
LAD
is an excellent opportunity for co-op leaders (employees, directors
and members) to learn about our legislative process and let lawmakers
learn from you, first-hand, how their actions influence your
daily operations. The day begins with lunch at the Topeka Country
Club (TCC). Governor Sam Brownback has been invited to be a luncheon
speaker along with Senate President Steve Morris and House Speaker
Mike O'Neal. After an opportunity to visit the Statehouse and meet
with individual legislators, attendees will welcome
policymakers to a dinner at TCC.
Staff
members will send all legislators an invitation to the dinner, but
please make a personal contact with your Senator and Representative,
as well. We suggest you call their legislative office in Topeka ahead
of Jan. 25 to extend such an invitation. Your individual contact
really does make a difference. Most evenings during session lawmakers
have the opportunity to attend more than one event. They tend to go
where they have constituents, especially when someone took the time
to personally contact them. A link is available on the KCC webpage (www.kansasco-op.coop)
for identifying your legislators and finding their contact
information.
As
in past years, we are coordinating registrations for all three
organizations' members through the association offices in Topeka. We
ask that KCC members register through www.ksgrainandfeed.org or
www.ksagretailers.org.
The event is free for all of our associations' members, but
registration is needed to ensure accurate meal counts and information
packet counts.
Please
note, due to multiple meetings in Topeka that same day, the Capitol
Plaza Hotel has an early registration deadline on our room block. You
must make your own reservation with the hotel by Jan. 3 in
order to secure the meeting rate of $92 per person (plus taxes). You
may contact the hotel at 800-579-7937 to make your
reservation. The room block is listed under all three of our
associations' acronyms so you may ask for either the KCC, KGFA or
KARA room block. Overflow rooms are available at the Senate Suites
in downtown Topeka for $72 per person (plus taxes). You may
contact the Senate Suites at 785-233-5050. The Senate Suite's
deadline is January 24. The room block is held under the same
KCC, KGFA and KARA names.
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Like?
Wall? Tag? Tweet?...How Do You Get Connected With Social Media?
Earlier this year the KCC Leadership Roundtable focused on ways
co-ops and their members can connect though social media and even
influence discussions in cyber-space. We received many compliments on
the program but members have also been noting we did not cover the
actual basics of "how do I get started with social media"
during the program. We have heard your comments and we agree.
As a follow up to that program, the Council will offer a "Basics
of Facebook and Twitter Workshop" this coming year. Now that you
know the importance of social media, we want to offer you "hands
on" training on Facebook and Twitter.
Wyndi Busick, KFSA Marketing Director, and Mark Vierthaler,
Servi-Tech, Inc. Director of Communications, will lead the workshop.
As the title of the workshop reflects, this will be for anyone new or
just starting in social media. The three hour class will include
directions on how to set up a Facebook Page, how to navigate within
that Page, definitions of Facebook terms and much more. Each attendee
will have the opportunity to bring their own laptop to truly get the
hands-on experience they need. Also, each workshop will be limited to
20 people so that attendees will have the chance to ask
questions and have some one-on-one time with an instructor, if
needed. Best of all, the workshop is free to KCC members,
although registration is required due to space limitations.
The workshop
will be presented on the following dates:
January 26 - Hutchinson
February 23 - Dodge City
March
8 - Hutchinson
An invitation to the workshop will be sent to all co-op general
managers next week. We are excited to offer these classes
as the Council continues to look for ways to provide useful and
meaningful educational opportunities to our members.
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Co-op
Leaders From Across the State Attend DDP
There were a few changes to the Director Development Program (DDP)
this year. All of which made DDP 2011 a success! We changed our
Wichita location to the Hotel Old Town Conference Center in Wichita.
We were very fortunate to have CoBank lend us their meeting space in
past years, but because of our added entertainment this year, we
needed to move to another location. We introduced two new speakers:
Alan Woodard (CoBank) and Sara Kepley (ProValue). We would like to
thank them for their time and willingness to jump into this new role.
They are great additions to the DDP instructor team. We also
brought a "casino" to our attendees this year for the
entertainment portion of the day.
"Casino Night" was a hit, with a two day total of 86 people
attending the festivities. Guests could play blackjack, craps,
roulette or risk their chips on the slots for the chance to win great
prizes, which included a 32" flat screen television, digital
camera and an iPod Nano. They were glued to the games the entire night
and a few even forgot to eat!
Although "Casino Night" was a lot of fun, DDP is really
about preparing directors for their roles as co-op leaders. One
hundred three attendees took part in 161 courses of instruction
between December 12-14 in both the Wichita and Manhattan locations.
Of the 103 attendees, 47 took a course for the first time and 31 were
able to complete the program this year.
American
AgCredit sponsored the first day's lunch in Wichita. We were
fortunate to have Vice President Greg Reno join us for lunch and
speak to the DDP attendees. Reno, a local co-op board member himself,
not only provided an introduction to American AgCredit but also
commented on the importance of director training. Frontier Farm
Credit, headquartered in Manhattan, sponsored the first day's
luncheon for the Manhattan courses. They have generously supported
DDP through meal sponsorships over the years, and we were pleased
Tammy Birkbeck, Vice President Commercial Finance, could share about
FCC and cooperation within the co-op family during the luncheon.
Great
participation helps add to the success of the DDP program as
attendees are able to learn from each other as they interact
throughout the seminar. We thank all of those attending for making
director education a priority for themselves and their co-op.
Special
appreciation goes to our instructor team. They willingly take time to
prepare and present a program which, we hope, provides the basics of
director responsibilities, points out potential areas of vulnerability
and addresses timely issues co-op leaders are facing.
Thank you to
our presenters:
Course
1 - Terry Bertholf (KCC/KFSA) and Leslie Kaufman (KCC)
Course
2 -Scott DeWeese (ProValue, LLC) and Dave Ehert
(CoBank)
Course
3 -Vern May (CoBank) and Dennis Landis (Landis Ag
Consulting)
Course
4 - Alan Woodard (CoBank) and Sara Kepley (ProValue,
LLC)
Vern
May (CoBank) speaks to DDP attendees in Wichita
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From the
President...
by Leslie
Kaufman
Governor's
Legislative Agenda, Election Year Politics Likely to Spark Debates
Governor Brownback is beginning to release information on his
legislative agenda as we draw nearer to the start of the 2012 state
session. Lawmakers return to Topeka on Jan. 9th for what is by
statute a 90-day session. The Governor has ambitious plans for Kansas,
but for some of the proposals, the finer details may not become
public until his State of the State address. We do know the
Governor has plans to re-write K-12 educational funding, reform
portions of the tax code, and re-vamp certain aspects of Kansas water
law.
We also know that 2012 is an election year and all seats in the
Kansas Senate and House of Representatives are up for re-election. It
is also the year in which all Kansas legislative districts will be
re-aligned based on the most recent national census.
The Kansas Cooperative Council has an active presence at the
Statehouse. We are there as your "eyes, ears and voice"
when it come to legislative matters. We anticipate
testifying on several measures this year and will be reporting back
to you through our "Legislative Update" emails
and our "Bill Track". Some of the major
issues we anticipate following this session include:
K-12
Education Funding
Governor Brownback has outlined his plan for overhauling the funding
mechanism for elementary and secondary education. His finance
mechanism trades the multi-weighted formula for a simplified measure
equalizing valuation on a per pupil basis. The current 21-mill
statewide property tax would remain in place and the $538 million
raised by that assessment would be pooled, not retained locally. It
would then be re-distributed back to districts based on average
valuation per pupil.
Districts have been assured that they will be held harmless the
first year the new formula goes into effect, school year 2013-14.
Base state aid per pupil will
increase to $4,442, the amount currently set in statute but which has
been reduced in recent tight budgetary times. The Governor's plan
would also allow local districts to generate additional funding
through local property taxes.
Water
Law Changes
The administration has several changes to current water law they will
forward for legislative consideration this session. They
want to repeal the current "use it or lose it" requirement
to foster a greater conservation ethic. The Governor and his team
also support the creation of Local Enhanced Management Areas (LEMAs)
where local water right holders can agree to reduce water use within
a specific area. The state currently has one water bank and the administration
would like to foster creation of additional banks. Participants in
the bank would be able to transfer water, through sale, within the
boundaries of the bank. Amendments to the multi-year flex account
will also be proposed.
Taxation
Governor Brownback hasn't released the finer details of his tax plan,
but he has indicated over the past weeks and month that reducing
income tax is a priority. As the economy strengthens, if there is
more than 2 percent growth, he has noted he wants to channel the
increased revenues toward reducing tax rates.
Senate Ways & Means Chairwoman Carolyn McGinn (R-Sedgwick) plans
to introduce legislation to eliminate six months ahead of schedule a
portion of a state sales tax increase enacted in 2010. Currently, the
rate is set to decrease automatically on June 30, 2013.
If passed, McGinn's accelerator would reduce state revenues in this
coming fiscal year by roughly $113 million dollars. Her plan would
not alter provisions designating 0.4 cents of sales tax be directed
to the Kansas Dept. of Transportation.
Grain
Warehouse Funding
We are anxious to see the Governor's budget proposal for the
Department of Agriculture, particularly the appropriation for the
state grain warehouse program. We support funding the program at a
level that insures annual inspections of state licensed facilities.
Immigration
We anticipate immigration legislation will be introduced again this
year. The US Supreme Court's decision this summer affirming a state's
right to require employers use the E-Verify system to check the legal
status of certain employees and to suspend or revoke business
licenses as a penalty for violations of state immigration laws is
likely to spur some legislative discussion.
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Kansas
Co-op Member Testifies Regarding Effects of MF Global Bankruptcy
The Senate Committee on Agriculture, Nutrition & Forestry
continued to scrutinize the MF Global bankruptcy during a hearing on
Tuesday, Dec. 13, in Washington, DC. The Committee heard from a panel
of stakeholders including CJ Blew, a producer and co-op member
from Moundridge. CJ currently serves as board chairman for MKC and
also holds a seat on the CHS board of directors.
Senator Pat Roberts (R-KS), Ranking Member of the Ag Committee, was
instrumental in securing a spot on the panel for Blew. In
preparing for the hearing, Senator Roberts noted "I look forward
to CJ's testimony before the Senate Agriculture Committee. As we
examine what happened to the missing client funds at MF Global, it is
important to remember the consequences Kansans are facing are not of
their own doing. CJ will share, firsthand, the impact to his
operation and to MKC."
Senator Debbie Stabenow (D-MI), chairwoman of the committee,
presented an opening statement followed by comments from Senator
Roberts. That set the stage for those that would testify
later in the day.
Blew gave a brief overview of MCK and their marketing arm, Team
Marketing Alliance, LLC, and how
they are dealing with the aftermath of the MF Global bankruptcy. He
stressed the importance of keeping segregated funds out of the
bankruptcy proceedings. Blew noted in his testimony,
"...Looking ahead, it will be very important to re-establish
confidence in the futures markets and the safety of segregated
customer funds and property. As part of the process, we must ensure
the sanctity of customer segregated funds. This should include the
treatment of missing funds in the bankruptcy, and those funds should
have exclusive rights above the bankruptcy..." During the
question and answer session, Roberts inquired about implications to
MKC's access to credit during the aftermath of the bankruptcy and
asked panelist how the entities they represented were approaching
futures markets currently, in light of the bankruptcy.
The hearing was recorded and can be viewed on the Senate Ag
Committee website. Testimony
from panelists, including CJ, is also available
through that link. Ramifications of the MF Global
bankruptcy are significant and we are pleased that when it came time
to hear from those whose daily operations were affected, one of our
own Kansas co-op members was on the list of conferees.
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IYC
2012
January 1, 2012 marks the start of the "International Year of
Cooperatives (IYC)". During the following 12 months, as we
celebrate IYC, cooperative leaders across the world will focus on the
theme "Cooperative Enterprises Build a Better World". This
theme reminds us that cooperatives have been an agent of positive
change for our members and our communities. Co-ops improve lives. By
providing markets for our commodities, financing for families and
business operations, and bringing electricity to rural America,
co-ops have profoundly shaped the world around us.
The Kansas Cooperative Council and our Kansas co-ops will be joining
the celebration. Together and individually, cooperatives will
commemorate our achievements and contributions in various ways
throughout 2012. The KCC will be providing details on our
IYC activities as we progress through the year.
If your cooperative will be hosting an IYC event, let us know. We
would love to share about your event in our updates, on our events
calendar, and on Facebook. If you have information to share, please
contact Natalie at nnickel@kfsa.com or 888-603-COOP (2667).
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Vanderploeg
and Midwest Land & Cattle Fined, Ordered to Pay Restitution
U.S. Commodity Futures Trading Commission (CFTC) announced on Dec. 14
that Mark A. Vanderploeg formerly of Glendale, AZ, and his companies,
Midwest Land & Livestock, Inc. (MLL), of Glendale, AZ, SKV Farms
Inc. (SKV) of Omaha, NE, and DCV Farms, Inc. (DCV) of Minneapolis,
MN, had entered a settlement agreement regarding charges the
defendants defrauded grain elevators in 5 states, including Kansas,
and engaged in an unlawful reporting scheme.
The charges stem from forward contracting activities the defendants
engaged in during the 2008 harvest. Over 1 million bushels of grain
were involved in the scheme.
The settlement requires the defendants jointly and severally pay
$70,000 in civil penalties and orders restitution payments of
$112,400. They are also required to disgorge $200,000 ill-gotten
gains that resulted from their transactions. Seven Kansas grain
companies, some co-ops, will be receiving payments. Eleven other
companies in Nebraska, Minnesota, Iowa and Illinois are due
restitution, as well.
The
Kansas Grain & Feed Association, with assistance from the Kansas
Cooperative Council, was instrumental in bringing this case to the
attention of the Kansas Bureau of Investigation. Through their
efforts, and those of the Attorney General's office, federal
officials were brought in. We sincerely appreciate all their
contributions to this effort to hold accountable those engaged in
defrauding the grain industry.
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KCC
Offices Closed for Christmas Holiday
The Kansas Cooperative Council offices will be closed on
Dec. 23 and 26 in observance of the Christmas
holiday. Offices will re-open on Dec. 27. We wish you a
blessed holiday and hope you will enjoy time with friends and
family. We appreciate all our KCC members and hope you have a
memorable holiday.
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