And Now For the Rest of the Story

Mar 12, 2021

Instead of appealing to the entitled few with phrases like “preserve your equity”, the Favored 300 ought to just come out and say, “vote no, so we can continue taking your money every month for the rest of your life” because the reality is, without us, they don’t have a money scheme anymore.  It’s easy for the Favored 300 to talk about equity when they are on the receiving end of nearly $12 million a month. The rest of California dairymen, however, are fueling that gravy train.  Of course they don’t want this to stop and if all goes well after the referendum, in five years they can no longer illegally take your money.  If we do not stop this now, we may never have the opportunity again.

We are losing too many dairies every year and at this rate, we could find ourselves paying $1.70 to receive $1.70 and guess what your equity will be worth then?  Zero. You see, they just want to keep you on the paying list until the very end. They don’t care if it puts you out of business. The assessment will continue to rise from $.38 to $.50 to $1 to $1.30 until it is a wash, and your quota is worth nothing.  If you weren’t lucky enough to inherit millions of dollars of free quota don’t be fooled by the Favored 300.  They sabotaged the Sunset vote full well knowing that the quota holder under 30% will gain nothing on this sunset there by enlisting your support on a false premise of Equity.  Stop QIP offered $250 for every pound of quota that all dairymen owned and to be paid over the next 5 years, but the Favored 300 would have nothing to do with it.  They are not your friends.

What the Favored 300 are not telling you are the risks of not voting for the Sunset Plan.  The lawsuits are not over, and there are at least 4 more coming because at the end of day, the QIP is illegal.  If you don’t believe us, call the APA at the Office of Administrative Law and ask if the QIP is a regulation.  After you find out that it is not a regulation but is instead what they call an “underground regulation”, you’ll see it is actually illegal to collect assessments under an underground regulation. So as usual, the Favored 300 and your so-called industry leaders have not been telling you the whole story.

We have called for a PRB meeting so we can submit two more petitions to end Quota and the compensation will be zero on the one petition and the other is called the Reversal which will cost the Favored 300 dearly.  They will wish they supported the Sunset after they read that petition.
The quota price today is $176 not $300, and it will stay that way because the QIP is still looking at a reapproved vote in 2023 in which the Favored 300 will have to come up with 65% to reapprove the QIP. If you are paying more then you are receiving, or neutral, you will soon be paying more then you are receiving as the rate will certainly go up as cow numbers go down or plants leave. 

The most important thing you need to take from this message is don’t allow yourself to be sucked into maintaining their revenue stream based on their biased definition of “equity.”Vote YES on the Sunset Plan!

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