Stop QIP - December Update
If you did not sign the second petition, please do so as soon as possible and return it along with the third petition.
In case the State finds any issues with our third petition, we may be able to take immediate action with the second petition.
It has now been a year since the Stop QIP movement began. Firstly, we’d like to take a moment to thank every individual who have helped us, especially Deborah Azevedo and the dairymen who traveled to Sacramento to attend producer review board meetings.
We have had a lot of great victories and some setbacks, which we had anticipated. Our first petition was denied because the CDFA claimed there was an insufficient number of valid signatures.
While we were only asked to submit 243 signatures, we submitted 285. We believe all 285 signatures were valid. To this day, the CDFA continues to claim 90 petitions were not valid but have refused to tell us which petitions those were.
According to the United Dairy Families Secretary, Ross has taken a position with the quota holders against two-thirds of the dairymen in this state. We have asked numerous times to let the dairymen decide their own future, but it has gone on deaf ears so far. The best way to decide is to have a vote. We truly believe we will get our vote, so please continue signing the petitions.
So, where does that leave us?
We have called upon the Secretary of the State, Alex Padilla, to look into why the CDFA denied our petition and have asked the California Political Fair Practice Commission to look at any ethics violations made by the Producer Review Board and the CDFA.
We have enlisted attorneys to confirm if the QIP is even legal and recently filed a lawsuit challenging the QIP’s legal authority to take our money. We are exploring the possibility of exempting non-quota holders from this assessment (tax), similar to the way Grade B shippers are exempt. We have a lawsuit ready to file against the CDFA for its handling of the first petition we filed. We will wait to file this one after we hear a ruling on our first lawsuit.
The second petition you have just signed is our second attempt to terminate the QIP assessment (tax); with over 335 signatures, it is ready for submission. At the moment, we are placing it on hold because industry-leading attorneys have advised we file our petition under Chapter 3.5 of the Food and Ag Code instead of Chapter 3. Why? Because the QIP was authorized under Chapter 3.5. Therefore, to be legal, we need to follow those rules, which calls for a suspension of Chapter 3.5 by a referendum. 51% majority is needed for victory and a 65% majority is needed to win the Chapter 3 referendum. All we ask of you is to take five minutes of your time to sign the petitions we will be sending until we get our referendum and victory.
In a nutshell, the Chapter 3 Petition with the 65% threshold. We have enough votes to win, but it is very close. We believe we’ll win the Chapter 3.5 Petition easily. So, sign the third petition we sent to you recently, and get it back to us right away. As soon as we hit the 25% threshold needed to get a referendum, we will file it and should take no more than 200 days to complete the process and remove the assessment.
Thank you for your support. We will not quit until we win. That is a promise.
Every 6.3 years, quota holders take a billion dollars out of our pockets to put in their pockets. This money could have been spent on marketing, advertising, research and development, or even refurbishing our dairies. No industry can take that kind of an assessment (tax) and be a healthy, thriving industry.
The quota holders have earned millions on their investment and, when compared to cows, it isn't even close. Quota was a far better investment than cows. Not everybody can own quota when there is only 21% quota milk, leaving 79% without quota.
Quota served its purpose, but it was never meant to last forever, hence the Termination Clause in the original Gonsalves Act and the QIP. The state will give zero for your quota when you sell your cows. Why should we pay the quota holders for their quota?
With the Federal Order taking quota out and setting it up as a stand-alone program assessment (tax) under the QIP, we believe it is destroying our industry. We can't afford to pay the $0.38 anymore. All you have to do is look at the dairymen who are going out of business at a record rate. We have the right to terminate this assessment (tax) and that is what we intend to do. We voted the QIP in because we were told that the only way we could get the federal order was to vote for the QIP. Unfortunately, many dairymen had no idea of the $0.38 assessment. It wasn’t on the ballot. The QIP’s purpose was to get the Federal Order in and now we need to suspend the QIP because it doesn’t serve its purpose anymore.
Thank you again for all your petitions. Remember, the fight is not over. We need your continued support. We will provide updates on the website, so please stay tuned.
We will not quit until we win. That is a promise.
Sign our petition here.