ChewsWise Blog

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Notes From a Slaughterhouse: Proposed USDA Rules Could Crimp Local Meat

The following post was submitted by Joe Cloud, partner in T&E Meats, a small-scale locally focused slaughterhouse in Harrisonburg, Va. I wrote about T&E in the WaPo and invited Joe to post his thoughts on this blog. - SF

image from www.temeats.com  By Joe Cloud

This is usually the slowest time of the year for butchering, but T&E Meats is booked months in advance, like the other small meat processing plants in Virginia. We’re working at almost full capacity to bring locally grown, pasture-raised, and humanely slaughtered quality meats to market. 

But, right now, our future is looking tenuous due to newly proposed regulations from the USDA.

Picture an hourglass and you’ll understand the local, sustainable meat crisis: there are plenty of willing consumers looking for humanely raised, quality local meats, and there are more and more farmers looking to “meat” that consumer demand (sorry – couldn’t help myself!), but the real bottle neck is processing capacity. Small, community-based meat processing plants have become an endangered species in America, done in by an ocean of super-cheap industrial meat and the challenges and costs of meeting one-size-fits-all regulations.

Although species go extinct on earth on a regular basis, every so often there is a major event that comes along and wipes out 40% or 50%. The same happens in the small business world. A few businesses fold every year due to retirement, poor management, and changes in the market, and that is quite normal. But then every so often a catastrophic event comes along that causes a wholesale wipeout.

In the small meat businesses in America, catastrophic events result from changes high up in the regulatory food chain that make it very difficult for small plants to adapt. The most recent extinction event occurred at the turn of the millennium when Small and Very Small USDA-inspected slaughter and processing plants were required to adopt the HACCP (Hazard Analysis and Critical Control Point Plan) system. It has been estimated that over 20%, perhaps more, of existing small plants went out of business when HACCP was first instituted. Now, proposed changes to HACCP threaten to take down many of the remaining local plants, making the availability of healthy, local meats a rare commodity.

This is ironic given the USDA's new emphasis on promoting local food production. The department's Know Your Farmer Know Your Food Program web site says it wants to "foster the viability and growth of small and mid-size farms and ranches, and we want to create new opportunities for farmers and ranchers by promoting locally produced foods." But the newly proposed regulations from the Food Safety and Inspection Service (FSIS), the inspection arm of the USDA, will reduce local opportunities for ranchers, never mind create new ones.

The intent of HACCP is to prevent contamination of meat by harmful pathogens. It does so by instituting well-recognized, established processes and controls set by the USDA itself. At T&E, we have had a HACCP Plan in place since 1999, and it works. We undergo extensive E.Coli testing every year, and have never had a positive sample.

But on March 19, the FSIS published a Draft Guidance on HACCP System Validation, outlining new rules which would institute much more intensive testing of all meats, whether or not a problem has been identified. These requirements will cost small plants tens of thousands of dollars, perhaps even hundreds of thousands, every year -- a financial burden appears great enough to force many to shutter.

Now, the reason these rules are being proposed is clear: millions of pounds of recalled hamburger, e. coli food poisoning incidents and distrust by consumers and foreign trading partners of U.S. produced meat. But these problems have arisen at plants that handle thousands of animals a day in extremely fast-moving production lines.

Small plants operate quite differently. At T&E, for example, we process around 20 animals a day. I know which farmer delivered each animal, often because that same farmer wants his butchered animal back so he can sell it. We're not mixing thousands of animals of unknown provenance into piles of hamburger meat and then sending it all around the country. 

Perhaps a large plant slaughtering 5,000 animals per day can afford its own lab and microbiology staff, and can pass the cost along to the consumer. And perhaps they should, given the recalls arising from these large-scale facilities. But most small plants can’t handle it.

The USDA needs to recognize that "One Size Fits All" inspection no longer works. The risks arising from mega agribusiness plants are far different from community-based plants and they should be regulated appropriately. This does not mean lowering the hurdles for small processors. Rather it means tailoring regulations to the scale and risks of an operation. That way we can provide what the consumer wants – safe AND local food, not just the shrink-wrapped anonymous meat in the supermarket.

The USDA is accepting comments on this matter until June 19th, 2010. The original deadline was April 19. You can learn more at the Association of American Meat Processors web site, or the Niche Meat Processors Assistance Network.

Please submit a comment if you care about community-based meat processing and humanely produced meats. Your comments really do matter. Submit your comments to the email address DraftValidationGuideComments@fsis.usda.gov or to the Docket Clerk, USDA, FSIS, Room 2-2127, 5601 Sunnyside Avenue, Beltsville, MD 20705.

Local Food Advocates Pumped by USDA Initiative

I asked a range of people involved in local food systems to react to the announcements last week by the USDA in promoting local food. Here's what they had to say:

From California, Michael Dimock, president of Roots of Change:

After so many years in the trenches of the struggle to awaken the nation to the value of reconnecting with producers and the importance of food production, it is totally thrilling to see the USDA champion a valued cause. I agree with Secretary Vilsack that "local and regional food systems" are a powerful leverage point for economic, health, and environmental improvement. With this latest initiative, the People's Garden and the White House Garden, the Secretary and Administration are moving the nation into a new era, which I feel will be seen historically as a renewal and renaissance for American agriculture and rural communities, which have suffered degradation for too long. I heartily applaud the USDA, the Secretary and the President!

In the video announcement, Secretary Vilsack did point out that USDA will use "existing programs" to shed light on foodsheds. This is good, but the concept is so divergent from the past trend that we may find soon, that either existing programs will need significant retooling, or that a new, specialized program focused on peri-urban agriculture could be very powerful. But I am open to working with what we currently have, particularly until the next farm bill and given the effort to contain the deficit. The farm bill is the most logical place to reorient resources. I have faith that this Secretary and this Administration will be focused on what is needed to make it work.

From Oregon, Deborah Kane, vice president of farming and food, Ecotrust:

It’s fantastic. Secretary Vilsack posted a youtube video and invited the American people to join him in a conversation about food and the role it plays in our lives. That’s extraordinary. When he first joined the department he said USDA was the people’s department because it was the entity focused on food - something that is so sacrosanct to us all. He drew a subtle but important distinction and reminded us all that agriculture, while perhaps a secondary and nebulous thought to most, is what give us something we’re all intimately familiar with, food. Turns out he meant it. I love seeing him invite us to the table, so to speak, to talk about food as if we all have a vested interest. We indeed do. 

And since he’s invited a real conversation, I suspect he’ll get it from both sides. Remember his confirmation hearing when the diminutive remarks were made about organic hobby farmers? This week Vilsack has legitimized “alternative” agriculture and I suspect will only continue to do so.

The funding announcements are also interesting. So far it looks like repackaging of old programs, which is great because, again, it elevates alternative agriculture and legitimizes it within the Department. Brings it out of the shadows, as it were. I’ll be watching too to see new funding streams come on line as well.

From Iowa, Rich Pirog, marketing and food systems initiative leader at the Leopold Center for Sustainable Agriculture:

The latest announcement further reinforces what has been over the past year and half strong interest and engagement on local and regional food from many of the federal USDA agencies I work with. We've had USDA folks at the national level come out to Iowa and interact with our local groups - it is quite encouraging.

I think a key to making these resources as effective as possible is the strength of the networks that must be built among the state and regional USDA agency representatives and the non-profits, farm organizations, university, and state departments of agriculture and health.

Here in Iowa we have a strong culture of collaboration across these different organizations, and so we are moving forward rapidly to ensure that these resources will be leveraged well with to make the difference with farmers, communities, students, and other groups.

From Pennsylvania, Chris Fullerton, director of consumer outreach, Pennsylvania Association for Sustainable Agriculture:

It’s certainly refreshing to hear the USDA encourage folks to ‘Know Your Farmer’ – our Buy Fresh Buy Local program in Pennsylvania has been making that call for almost a decade now as part of a nationwide effort led by the FoodRoutes Network – but to back up this slogan with actual bucks? That’s icing on the cake.

USDA's Know Your Farmer, Know Your Food: I Ate the White House Salad Then Followed the Money

Kathleen Merrigan, Sam Kass

USDA Deputy Secretary Kathleen Merrigan and White House Chef Sam Kass

I had the pleasure of dining on a lunch prepared by the White House Chef Sam Kass and so did tens of other USDA employees for whom he was making a salad with grilled chicken, apparently a favorite of the Obama family.

USDA Deputy Secretary Kathleen Merrigan donned a hair net and sanitary gloves to help him while talking with the employees in line. This was an effort - okay, photo op - to play up the local and regional initiatives that the USDA is launching this week in a program called Know Your Farmer, Know Your Food, led by Merrigan.

While the salad was a pleasant change from the usual fare at the USDA cafeteria, what seems far more significant is the program itself.

USDA labeling

Nutrition and source labeling at USDA cafeteria as part of Know Your Farmer, Know Your Food

Although the press release mentioned $65 million in grants for the initiative this week, the figure obscures a key memo that Merrigan wrote on August 26 in which it's clear that many more millions -- in fact, hundreds of millions potentially -- could be available for local food systems. (HT to ObamaFoodorama).

But here's the key: non-profits, rural businesses, organic dairy associations (I'm thinking of one in particular), farmers, processors, need to apply for this money. It's there. They just don't know it.

One USDA staffer who has sat in on the biweekly meetings with Merrigan said it wasn't understood in-house that budgeted money could be targeted to build out local and regional food systems, "because no one had ever really thought about it before. We used the money for things like rural fire stations and hospitals or community centers, all really good things that are needed but don't do a lot to build up local food systems." 

Merrigan was a bit more blunt when I button-holed her.  "I understood that some of this money had been used to build fast food restaurants," she said. I got the distinct feeling such projects wouldn't be a rural priority for USDA any more.

So how much money is available?

According to the Merrigan memo (download PDF), one program alone, the Community Facilities Program, had more than $930 million in loan funds and $31 million in grants still available. (The memo lists relevant web sites to apply for the programs).

This money is targeted for community projects run by non-profits, local governments or Indian tribes, and it could, for example, pay for a kitchen for cooking classes, where farmers could drop off food. It might also fund farmers markets or community food banks. Last year, these loans averaged $665,229 each -- pretty good stimulus for a farmers' market.

Second, there's a business and loan guarantee program, which basically removes the risk from a private lender in making a loan in these tight-fisted times.

Through fiscal 2012, the USDA will set aside 5% of these loans for local and regional initiatives, such as setting up distribution facilities, or marketing local food. Five percent doesn't sound like a lot except when you consider it will amount to $100 million next year. I know a few regional food distribution co-ops that could use that money. They fall under the program as long as they transport their products no more than 400 miles. Bingo! The ones I'm thinking of probably qualify.

Finally, there's the Value-Added Producer Grant Program, which provides funding to agricultural producers who "add value" to products by processing or marketing them. Like selling to schools that want local food, or helping direct-market grass-fed beef to restaurants. It's aimed at farmers, ranchers, co-ops and other business ventures. Up to $100,000 is available for planning activities and up to $300,000 for working capital grants.

So don't let the programs specifically announced this week obscure the bigger picture. The USDA seems like it's making a multi-year effort to channel program money to local and regional food systems, but remember: it won't be spent if people don't ask for it.

Sign on USDA Soda

All in all, I'd say Merrigan & Kass's USDA lunch was a success. I only heard a few quibbles about the price -- about 3 bucks more than the standard salad with chicken. As if to make the point, a guy in the check out line in front of me bought a burger and chips and soda for $6.13 (so much for the sign at left). My grilled chicken salad and water cost $11.99. 

While the new vision seems on the mark, obviously there's much more policy work to be done to correct this dispiriting burger/salad disparity.

- Samuel Fromartz

USDA Launches Local Foods Blitz, Bans Fried Foods and Donuts in Cafeteria for a Day

I don't usually get calls from the USDA, let alone the deputy secretary, but there Kathleen Merrigan was on the phone from her car and it wasn't a prank. 

She wanted to talk about the Know Your Farmer, Know Your Food campaign that the USDA launched this week, which centers on building buzz around local and regional food systems and "spurring economic opportunity." Merrigan is chairing the initiative, which comes not a moment too soon.

The USDA has finally recognized how important and vital local and regional food systems are -- and is tapping into the vibrant activity already underway by making an effort to open up its doors and purse strings. 

Among other things, the USDA is 

This sounds like a lot of hoopla -- you can review the press materials at the USDA links above -- but I did get a chance to ask a few questions, most notably, "What is this about?"

Merrigan said she has been quietly heading a task force since May to push local and regional agricultural initiatives. Representatives from various department programs are meeting biweekly to discuss how best to achieve that goal. Like Obama, Merrigan and her team seem impatient about getting things done.

"The secretary told me he wanted me to take on the local and regional food challenge -- it was a top priority of my job aside from the USDA budget," Merrigan said. "And, I'll always be involved in organic."

Given the size of the USDA - 114,000 employees - Merrigan felt it wasn't imperative to create new programs but to increase outreach to existing ones (and perhaps, though unstated, light a fire within the agency on this new priority). The effort also involves tweaking existing regulations and programs to make these goals easier to achieve.

The initiative even extends to the USDA cafeteria, where your intrepid blogger has actually eaten (I recommend the House Cafeteria up on the Hill instead). In any case, the USDA is offering dishes with locally grown products all week long.

Merrigan said the cafeteria is also banning donuts and fried foods on Wednesday and putting a sign on the soda machine "have you considered water, juice or milk?" Sounds almost radical.

"Maybe this will be my last act as deputy," she quipped.

But if staff groan about food police, at least they get to see a celebrity on hand: White House Chef Sam Kass will be doing a cooking demo in the USDA cafeteria on Wednesday. 

On Thursday, the action shifts to farmers markets, when the one down the street from the White House opens. Merrigan will be on hand. The USDA will also announce a series of farmers' market promotion grants, and research monies aimed at local food systems in the northeast. 

Finally, on Friday, it is trying its hand at internet democracy and launching a web site that includes outreach to citizens for their ideas. Not sure how this effort at crowd-sourcing will work out, given what happened when the White House tried it. But I gotta say, this is a sea change from the last team in charge. 

- Samuel Fromartz