Jun 23, 2016WPIB increases assessment by one cent
The Wisconsin Potato Industry Board unanimously passed a motion at its June 16 meeting that will dedicate $500,000 per year for the next ten years toward a potato research fund. The motion includes an assessment increase of one cent per hundredweight effective July 1, and an allocation of $250,000 from the current budget. The motion states: “To allocate $250,000 from the 2015-16 WPIB budget and increase the assessment on Wisconsin potatoes by one cent/cwt. beginning July 1, 2016 to dedicate $500,000/annually for the next ten years to a Wisconsin Potato Research Fund where funds are controlled and directed by potato grower representatives.”
The WPIB was in essence approving a recommendation made by the WPVGA Board of Directors asking for an increase in the assessment to create a Donor Advised Fund through the University of Wisconsin Foundation. The goal was to generate $10 million with $5 million generated by the WPIB and the balance through in-kind and/or private contributions.
The request from the WPVGA was for a 2 cent/cwt. increase in the current Wisconsin potato assessment dedicated to the fund over 10 years. However, WPIB rules limit assessment increases to no more than one cent per year. Thus the WPIB decided to increase the assessment one cent effective July 1, and allocate $250,000 from reserves to generate the goal of $500,000 the first year. A one cent per hundredweight assessment is expected to generate approximately $250,000 per year. The WPIB will consider an additional one cent assessment increase next fiscal year (2017-18).
Wisconsin’s potato assessment will change from six cents per hundredweight to seven cents per hundredweight effective July 1. All Wisconsin potatoes sold after June 30 will be subject to the seven cent/hundredweight assessment.
Source: Wisconsin Potato and Vegetable Growers Association
