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Soft Wheat Division Meeting Minutes – Mar 15, 2012

Hilton Marco Island Resort & Spa
Marco Island, FL
March 15, 2011
Milling Members Present
Thomas Rogers, Wilkins-Rogers, Inc., Division Chairman
Steven Arndt, Midstate Mills, Inc.
Ray Clark, Hopkinsville Milling Company
Michael Fassezke, Star of the West Milling Co.
Steve Gorman, Horizon Milling LLC/Cargill
Howdy Holmes, “JIFFY” Mixes
Edward Hostetter, Chelsea Milling Company
David Katzke, General Mills, Inc.
Kim King, Lakeside Mills, Inc.
C. B. Knappen III, Knappen Milling Co.
Kevin Like, ADM Milling Company
Kris Lutt, ADM Milling Company
Dave McKinley, ConAgra Foods, Inc.
Donald Mennel, The Mennel Milling Co.
Ford Mennel, The Mennel Milling Co.
Joseph Mitchell, Bartlett Milling Company
Carl Schwinke, Siemer Milling Company
John Shouse, Knappen Milling Company
Doug Snavely, Snavely’s Mills Inc.
Don Sullins, ADM Milling Company
Grover Van Hoose, The Mennel Milling Co.
Todd Wright, Knappen Milling Company
Jeff Zyskowski, Horizon Milling LLC/Cargill
Others Present
James Bair, NAMA, Vice President
Joseph Holahan, NAMA, Legal Counsel (via phone)
Sherri Lehman, NAMA, Director of Government Relations
Terri Long, NAMA, Director of Communications and Meetings
Mary Waters, NAMA, President
Jenni Weems, NAMA, Administrative Assistant
1. Call to Order – Division Chairman Tom Rogers, Wilkins-Rogers, Inc.
Chairman Rogers called the Soft Wheat Division meeting to order at 7:44 a.m. Attendees made self-introductions. NAMA legal counsel, Joseph Holahan, joined the meeting via conference call and reviewed the antitrust guidelines.
2. Administration
a. Approval of Minutes – Terri Long, NAMA
The minutes from the March 2010 meeting were distributed prior to the meeting and a motion was made by Mr. Mennel made a motion for approval. Mr. Sullins seconded the motion and the group voted unanimously to approve. Mr. Don Mennel stated he would like to discuss the minutes further after the reserve fund report.
b. Report on Soft Wheat Committee Reserve Fund – Mary Waters, NAMA
Ms. Waters reported that there is $120,577 in the Soft Wheat Division reserve fund.
3. Items for Discussion
a. FY 2012 Federal Budget for Agriculture Research – Sherri Lehman, NAMA
Mr. Don Mennel gave an update on T-CAP wheat quality lab project. A briefing paper was included in the meeting materials. Further discussion on this subject was moved to agenda item #5.
b. Investments in Wheat Breeding – Sherri Lehman, NAMA
Ms. Lehman gave a report on federal funding of research and NAMA’s efforts in support of federal funding with National Association of Wheat Growers and American Bakers Association.
Food Safety
a. Passage of FDA Food Safety Modernization Act – Sherri Lehman, NAMA 
Ms. Lehman noted that NAMA outside counsel Ricardo Carvajal will be giving a presentation on supply chain issues and implementation during the general session later that morning.
a. U.S. Dietary Guidelines – Sherri Lehman, NAMA
Ms. Lehman noted that Marianne Smith Edge with the International Food Information Council will be giving a presentation on implications of the dietary guidelines during the general session later that morning.
b. Standards for School Nutrition – Sherri Lehman, NAMA
Ms. Lehman noted that NAMA will work together with grain chain partners from the American Bakers Association and Grain Foods Foundation to submit comments. Ms. Waters reported that the NAMA Promotion Committee has been revamped and is open to any one who is interested in nutrition policy issues. This is the comment that will review the school nutrition comments.
Plant Sanitation
a. Sulfuryl Fluoride Decision – Jim Bair, NAMA
Mr. Bair gave a recap on government actions to reduce methyl bromide use and revoke the food tolerance for sulfuryl fluoride. He has been working with other associations to have a coordinated response. He will submit a request to EPA for an extension of the comment period which ends April 19. The Technical Committee plans to develop a workshop with Kansas State University (KSU) and the International Association of Operative Millers (IAOM) on fumigant alternatives. Mr. Bair and Mr. Sullins will work with IAOM and KSU in developing a proposal to share with the committee.

Mr. Bair discussed the deoxynivalenol (DON) study published in December 2010 that was conducted to determine what effects processing would have on DON levels in food products. It was previously thought that there was a 50% reduction from raw wheat to flour. However, the study showed that DON is very stable. While there is a 50% reduction in bread and donuts, DON seemed to concentrate in pretzels and flaked cereal.

4. Information Items – for discussion if requested
a. Biotechnology
b. Biotechnology Committee – Mary Waters
Ms. Waters stated that NAMA’s Biotechnology Committee was created to provide advice to the Board and Executive Committee on broader biotechnology policy and be a public demonstration of support for biotechnology.
c. Census Bureau Flour Milling Report – Mary Waters
The Administration’s budget submission to Congress did not include funding for the Industrial Reports generated by the Department of Commerce, including the flour production report funded by NAMA. We currently pay $25,000 a year for this report and the results are published in Milling & Baking News. We will report back with further information on our efforts in support of this report.
d. Partnership for Food Safety – Sherri Lehman
We have joined this organization that works with the federal government and industry to provide consumer education on safe food handling.
e. Syngenta’s 3272 Amylase Corn Trait – Mary Waters, Jim Bair
Ms. Waters reported that USDA had deregulated corn amylase without restriction. This is the first output trait product that can impact functionality. Now that it has been deregulated we are preparing its commercial distribution. Mr. Bair reported that activist groups are preparing to litigate this approval, but will likely not seek a preliminary injunction. NAMA has not been asked to join a lawsuit and has not discussed litigation.

Syngenta has committed to create an Advisory Council to review their stewardship program and we plan to participate. Syngenta is not under any legal requirement to follow the recommendations of the Advisory Council. Syngenta does not have much seed and current growing areas for this year are not as expansive as we originally thought. The intended growing area is a 100-mile swath running from Colby, KS to Minneapolis. Syngenta has agreed to a third party audit system.

The Technical Committee proposed that the Corn Division fund a project to have a third party do the milling tests on this product. The Committee appointed a sub group of Mr. Roskens, Mr. Anderson, Mr. Smith and Mr. Sullins to develop a testing plan for internal testing with company resources.

Bakers have expressed concern because of the impact on pizza crusts.

5. Other Business
A copy of Ed Souza’s T-CAP soft wheat quality lab proposal was distributed to members.  Last year the Division voted to contribute $65,000 from reserve funds for this project. Mr. Don Mennel made a motion to set aside the motion from last year, as the funds were never donated. The motion was approved unanimously by vote.

Mr. Knappen moved and Mr. Fassezke seconded a motion that the project be funded year by year and that this year $29,972 be used from the reserve fund for the project. The motion was approved and the request will be sent to the Executive Committee.

A committee to oversee this project will consist of a representative from General Mills, Mennel Milling, Siemer Milling, ConAgra Mills and Star of the West Milling (Mike Fassezke).

6. Adjournment
Mr. Rogers adjourned the meeting at 8:44 a.m.

Respectfully submitted,

Mary Waters

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