One Century Strong

MICHIGAN MILK PRODUCERS ASSOCIATION

One Century Strong 1916-2016

POWER of the Past. » VISION for the Future.

EST. 1916 MMPA, established in 1916, is a member owned and operated milk marketing cooperative, serving approximately 2,000 dairy farmers in Michigan, Indiana, Ohio and Wisconsin.

S

ince 1916, dairy farmer members of the Michigan Milk Producers Association have worked in cooperation to bring forth premium quality milk, while the association itself holds true to its mission

of marketing members’ milk to the greatest advantage possible. The cooperative’s founding members gathered 100 years ago, building a foundation that remains to this day: providing a guarantee of market and guarantee of payment to all MMPA members.

Through the years, the dairy industry and the world around it has

As MMPA builds upon its

VISION for the Future the cooperative reflects on the

evolved, yet MMPA has remained strong. As MMPA embarks on

defining moments of its

the next 100 years as a cooperative, its commitment to quality,

collective history, recognizing the

integrity and progress remains steadfast.

POWER of the Past.

1910’s 1916

1917

1919

MMPA IS FORMED On May 23, 1916, around 400 dairy farmers met in Agriculture Hall at Michigan Agricultural College (now Michigan State University) and founded Michigan Milk Producers Association.

MICHIGAN STATE DAIRY COMMISSION ESTABLISHED Formed by the State Government to oversee milk prices, the Dairy Commission set the cost of production used in price negotiations and the pattern for negotiating between MMPA and milk dealers.

MICHIGAN MILK MESSENGER MMPA’s official publication, the Messenger, (now in it’s 97th year) was first published in June 1919 by Editor R.C. Reed.

AG HALL, CIRCA 1910’s, AT MICHIGAN AGRICULTURAL COLLEGE (NOW KNOWN AS MICHIGAN STATE UNIVERSITY.)

MMPA: ONE CENTURY STRONG | 1916-2016

1920’s 1922 CLASSIFICATION OF MILK MMPA was one of the leaders in developing this pricing system, selling milk on the basis for which it was used.

THE CAPPER-VOLSTEAD ACT Passed in 1922, is the provision under which activity of a cooperative is deemed legal.

CAPPER-VOLSTEAD ACT BEING SIGNED INTO LAW IN 1922 BY PRESIDENT HARDING.

1923

1924

BASE-EXCESS PLAN BEGAN IN DETROIT The base price for December 1922 was $3.00/cwt. for 100 percent of base, F.O.B. Detroit and the excess price was estimated to be $1.87. After being discontinued in 1927 and reinstated in 1930, the baseexcess plan was discontinued in 1984 due to the dairy diversion program of 1983 Dairy and Tobacco Adjustment Act.

SELL ONLY MEMBERS MILK At the MMPA annual meeting, delegates passed a resolution stating that only milk from members would be sold through the Association.

POWER of the Past. » VISION for the Future.

1930’s 1932

1937

MMPA BEGINS TRANSPORTING MILK In 1932, MMPA began transporting milk from county receiving stations.

FIRST 4-H MILK MARKETING TOUR HELD MMPA began hosting the first 4-H Milk Marketing Tour.

The tour teaches 4-H and FFA youth about MMPA, milk marketing and how milk travels from the farm to the consumer.

PECK RECEIVING STATION, CIRCA 1940.

MMPA: ONE CENTURY STRONG | 1916-2016 STATION, CIRCA 1940.

PECK RECEIVING

1939

MMPA ADVERTISING Until the advertising check-off program was established in the 1983 farm bill, MMPA conducted its own advertising and public relations campaigns. MMPA did extensive advertising for dairy products in the Detroit market including sponsoring popular TV and radio programs. The MMPA cow was an easily recognized figure in the late 1950’s.

1940’s 1939

1945

1948

IMLAY CITY PLANT PURCHASED By 1951 the Imlay City plant and receiving station was the largest facility owned by MMPA. The plant could, at the time, receive up to 600,000 pounds of milk a day. The plant was used as a receiving station until its closing in 1972.

OUTSTATE MARKETS The Association grew as outstate markets joined MMPA. When first formed, MMPA was primarily serving the Detroit market.

By 1945, outstate markets included Saginaw, Ann Arbor, Flint, Grand Rapids, Bay City, Muskegon, Midland, Battle Creek and Port Huron. Each of these markets had their own board of directors and sales committees.

PASTEURIZED MILK LAW The onset of improving the quality of milk was the adoption of the pasteurized milk law in 1948. This law requires all milk, cheese and butter to be pasteurized before being sold to consumers. Michigan was the first state to pass such a law.

IMLAY CITY PLANT, CIRCA 1939.

POWER of the Past. Âť VISION for the Future.

1950’s 1950

1951

1955

OUTSTANDING YOUNG DAIRY COOPERATOR PROGRAM BEGAN The program—originally named Outstanding Young Dairy Couple—strengthens leadership abilities, broadens young couple’s/individual’s knowledge of milk marketing and recognizes the accomplishments of young producers.

FEDERAL MILK MARKETING ORDERS BEGAN IN MICHIGAN A classified pricing system, largely developed and pioneered by MMPA in its bargaining with milk dealers, became official policy. In 1956, MMPA initiated over-order pricing through the superpool. Superpool prices are negotiated with dairies by MMPA representatives in cooperation with other milk marketing co-op’s in Michigan.

THE “FAIR SHARE” MOVEMENT In late 1955 and 1956, a rogue group called the Fair Share Bargaining Group threatened to divide MMPA. Organizers attempted to recruit MMPA members with claims of strong alliances with labor unions that would ensure higher milk prices. When their strategy failed, the group turned to violence and rioting until then-new MMPA President Glenn Lake was able to calm concerns.

OYDC ALUMNI PICNIC, 2015

MMPA: ONE CENTURY STRONG | 1916-2016

1956

1956

MMPA DISTRICTS ESTABLISHED Formation of 12 MMPA districts by geographic boundaries was enacted. Over the years, districting changed. The existing eight districts were realigned in 2014.

MMPA Districts Approved March 2014

Houghton

4

Gogebic

WISCONSIN Florence, Forest Oconto, Marinette

4

Manistee

3 5

7 8 6

2 1 INDIANA St. Joseph LaPorte

INDIANA Elkhardt Kosciusko

INDIANA LaGrange Noble

INDIANA Steuben DeKalb Allen

OHIO Defiance, Fulton, Paulding

1957 OVID PLANT PURCHASED The processing plant in Ovid, purchased

by MMPA in 1957, was one of the largest manufacturers of cottage cheese from 1959-79. Through the years, the Ovid Plant has undergone several expansions and is now MMPA’s largest facility.

BULK TANK PROGRAM As bulk tanks began to replace cans, MMPA helped members purchase the tanks. The shift to bulk tank transportation and storage is regarded as the turning point in quality control of milk leaving the farm.

MMPA PROCESSING PLANT, OVID, MICHIGAN

POWER of the Past. » VISION for the Future.

1960’s 1960 IN THE 1960S… As transportation improved and more members switched to bulk tanks, the county receiving stations became obsolete and were closed.

The centralized laboratory for testing the milk was at the Imlay City office until the office and plant closed in the late 1960’s, the laboratory was relocated to MMPA’s headquarters.

MMPA ENTERS THE BOTTLING BUSINESS WITH PURCHASE OF DAIRYLAND COOPERATIVE CREAMERY FDA ANTIBIOTIC PROGRAM The Food and Drug Administration began its crackdown on antibiotics in the milk supply with a rigid control program in 1960. This program established the zero-tolerance level for antibiotic residue. In 1975, MMPA established its antibiotic milk policy which states no member will receive payments for milk where the presence of antibiotics is confirmed.

DAIRYLAND COOPERATIVE CREAMERY, CARSON CITY, MICH., CIRCA 1960.

MMPA: ONE CENTURY STRONG | 1916-2016

1962

DISASTER PROTECTION PROGRAM INITIATED FOR MMPA MEMBERS The disaster protection program supports MMPA members in the event of a fire or windstorm damage.

The program was later expanded to cover losses from Bovine Tuberculosis.

1963

LOW-FAT MILK APPROVED FOR SALE

1965 ADOPTION OF THE “GRADE A” MILK INSPECTION LAW This law opened the door for increased market possibilities through interstate milk shipments from Michigan and changed the scope of responsibilities for field representatives.

MMPA field staff became certified inspectors, adding to their responsibilities the task of helping members meet the requirements of the Grade A law.

1966

GRADE A INSPECTED MILK.

MMPA CELEBRATED 50TH ANNIVERSARY MMPA celebrated its 50th Anniversary in 1966. At that time, the 8,539 MMPA members marketed a total of 2.97 billion pounds of milk. The average milk price in 1966 was $4.68/cwt.

POWER of the Past. » VISION for the Future.

1970’s 1971

1975

MICHIGAN STATE UNIVERSITY SCHOLARSHIP PROGRAM Offered through the MSU Institute of Agricultural Technology, MMPA scholarships encourage post-high school study in dairy production.

MEMBERSHIP BY-LAW CHANGED Delegates passed a resolution stating that any person in a partnership may become a member and be entitled to vote. In 2012, delegates voted to cap voting to four votes for members in a certified partnership, LLC or corporation.

MMPA: ONE CENTURY STRONG | 1916-2016

1978

1979

1979

MICHIGAN MILK POLITICAL ACTION COMMITTEE FORMED The MMPAC is the Association’s means for organized involvement in efforts to elect or re-elect to the State Legislature and Congress men and women who have demonstrated their support and understanding of dairy issues.

DAIRY COMMUNICATORS The Corresponding Lobbyists, established in 1977, changed their name to Dairy Communicators.

Currently, there are approximately 60 Dairy Communicators throughout the state participating in dairy promotions and communicating in the interest of dairy farmers.

MCDONALD DAIRY BECAME A SUBSIDIARY OF MMPA The McDonald Dairy in Flint was a subsidiary of MMPA before being sold to Country Fresh in 1986.

MCDONALD DAIRY, FLINT, MICH., CIRCA 1979.

POWER of the Past. » VISION for the Future.

1980’s 1981

1982

1984

CONSTANTINE COOPERATIVE CREAMERY MERGED WITH MMPA The merger evolved from review by the directors of MMPA and Constantine Co-op of ways to most effectively meet future needs of dairy farmers and their milk market. Under terms of the agreement, MMPA acquired the presently operating Constantine plant.

MMPA MERGES WITH MICHIGAN DAIRY PRODUCERS COMPANY With this merger, the milk products division was formed incorporating the Adrian, Constantine, Sebewaing and Ovid facilities. The Sebewaing plant closed in 1987 and the Adrian plant was sold in 1992.

ADVISORY COMMITTEE FORMED Delegates changed the name and purpose of the former market committee to the advisory committee as a way to more accurately reflect the duties of the committee. The committee serves as a liaison between the board, management and the members.

CONSTANTINE COOPERATIVE CREAMERY, CIRCA 1975

MMPA: ONE CENTURY STRONG | 1916-2016

1986

1987

1988

WHOLE HERD BUY-OUT 846 Michigan dairy producers left the market for five years as a supply management provision in the 1985 farm bill.

MMPA AGREEMENT WITH LEPRINO FOODS An agreement between MMPA and Leprino Foods established the world’s largest mozzarella cheese plant in Allendale, Michigan. The partnership included the conversion of MMPA’s Remus plant (purchased in 1984) from cheddar cheese production to mozzarella.

QUALITY PREMIUM PROGRAM In addition to the premiums paid for butterfat and solids- not-fat, the Quality Premium Program provides members economic incentive to produce the highest quality milk possible. In 1990, quality premiums added $1.7 million to members’ income.

In 2015, $16.3 million in quality premiums were paid to dairy farmer members.

GROUNDBREAKING CEREMONY AT LEPRINO FOODS, ALLENDALE PLANT

POWER of the Past. » VISION for the Future.

1990’s 1990

1995

DIRECT DEPOSIT FIRST OFFERED TO MEMBERS

ADOPTION OF MULTIPLE COMPONENT PRICING SYSTEM A producer’s payment to be based primarily on protein, butterfat, and a payment for the total milk weight delivered to the market.

COMPUTER NETWORK INITIATED MMPA member representatives were equipped with laptop computers to provide easy access to information from the Novi office. In 1998, MMPA launched the company website, giving members direct access to their production and quality information and allowing members to review their laboratory test results online.

MMPA: ONE CENTURY STRONG | 1916-2016

MEMBER REPRESENTATIVE SHARING INFORMATION VIA LAPTOP COMPUTER

1996

1998

MILKER TRAINING SCHOOL FIRST OFFERED TO MEMBERS

MEMBERS PARTICIPATING IN MILKER TRAINING SCHOOL.

QUALITY REPORT MAILERS OFFERED Members could choose to receive reports regarding their farm’s production and quality information via mail or fax.

POWER of the Past. » VISION for the Future.

2010’s

2000’s 2003

2007

2008

COOPERATIVE WORKING TOGETHER (CWT) PROGRAM ESTABLISHED National Milk Producers Federation launched the farmer-funded and farmer-led CWT program to help address the supply and demand imbalances that impact milk prices.

MEMBER FARMS REQUIRED TO PROVIDE RBST-FREE MILK SUPPLY

OVID EXPANSION PROJECT MMPA undertakes largest ever expansion project at the Ovid plant. The $62 million investment expanded processing capacity by 60 percent and was completed in 2010.

In 2012, an additional $23.5 million was invested for various upgrades, including the installation of a new butter churn.

2012 OVID PLANT UPGRADES INCLUDED NEW BUTTER CHURN.

MMPA: ONE CENTURY STRONG | 1916-2016

2012 UPGRADES AT OVID PLANT INCLUDED NEW BUTTER CHURN.

2011 NATIONAL DAIRY F.A.R.M. PROGRAM The National Dairy FARM (Farmers Assuring Responsible Management) program was designed to bolster consumer confidence in the dairy industry and assure proper animal care guidelines are maintained. MMPA member participation in FARM began in 2011 and became mandatory for all members by December 2015.

2014

2015

STRATEGIC ALLIANCE WITH FOREMOST FARMS USA: REVERSE OSMOSIS PROJECT The Reverse Osmosis (RO) project concentrates incoming milk deliveries at the Constantine Plant so milk solids can be shipped out more effectively.

For every three loads of milk received, one load of milk solids is shipped out to the market, creating efficiencies throughout the system.

SQF CERTIFICATION MMPA Constantine and Ovid Plants become Safe Quality Foods (SQF) Level 3 Certified, demonstrating the cooperative’s commitment to safe, quality foods to customers.

REVERSE OSMOSIS (RO) PROJECT.

POWER of the Past. » VISION for the Future.

Our Mission To market our members’ milk to the greatest advantage possible.

POWER of the Past. » VISION for the Future.

41310 Bridge Street, Novi, MI 48375 (248) 474-6672 » mimilk.com