Building a Better Food SystemBuilding a Better Food Systemin Southeastern Michiganin Southeastern Michigan

Brenda ReauBrenda Reau

Mike ScoreMike Score

Phil ToccoPhil Tocco

NACAA ConferenceNACAA Conference

July 17, 2007July 17, 2007

Grand Rapids, MIGrand Rapids, MI

What is FSEP?What is FSEP?Food System Economic PartnershipFood System Economic Partnership

A collaborative, non-profit organization working to build a

better food system in southeastern Michigan.

FSEP MissionFSEP MissionFSEP exists to catalyze change in the food system of southeastern Michigan.

We provide research, education and outreach with urban and rural partnerships, resulting in agricultural development opportunities, sustainable communities and healthy local economies.

Five County Partnership in Five County Partnership in Southeastern MichiganSoutheastern Michigan

JacksonJackson LenaweeLenawee MonroeMonroe WashtenawWashtenaw WayneWayne

Lenawee Monroe

Jackson WashtenawWayne

““Something needs to Something needs to change in the change in the agricultural economy agricultural economy or we’ll all go out of or we’ll all go out of businessbusiness”. (Chuck ”. (Chuck Koenn, 1999)Koenn, 1999)

The Beginning….The Beginning….

FSEP actually grew out of the remarks of one local farmer.

Regional Approach to the Food SystemRegional Approach to the Food System

Food system is made up of agriculture from rural areas and cluster industries and markets in the urban areas.

RURAL URBAN

Benefits of a Regional ApproachBenefits of a Regional ApproachCreate opportunities by matching food system supply and demand components.

Local economies and participants capture more value from conversion of agricultural commodities into higher value goods.

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Benefits from a Regional ApproachBenefits from a Regional Approach

Urban Rural

• Business development

• Job creation

• Reduce chronic unemployment

• Increase consumer access to local foods

• Reduce sprawl

• Reuse of older buildings

• Neighborhood development and revitalization

• Strengthen farm businesses

• Increase agricultural viability

• Preserve rural quality of life

• Reduce development pressures on farmland

• Increase opportunities for farmland preservation

←More efficient use of regional infrastructure→

Initiative DevelopmentInitiative Development

Regional Initiative:Food System

Economic Development

MSUExtension

U of MichiganBusiness School

Washtenaw Planning& Environment

AgEconomic Development

Summits

Lenawee CountyEconomic Profile &Strategic Analysis

ID needfor agricultural

business incubators

ID needfor value-addedag development

CountyComprehensive

Plan

ID needfor local ag

market development

Organizational StructureOrganizational Structure501C3 Non-profit501C3 Non-profit

Seven member board of directorsSeven member board of directors 30 member leadership team30 member leadership team One paid contract project managerOne paid contract project manager Additional staff hired with grant funding for special initiatives.Additional staff hired with grant funding for special initiatives.

Board and Leadership Team meet monthly rotating meetings across the five counties.

FSEP GoalsFSEP Goals

Improve the viability of the agricultural Improve the viability of the agricultural sector.sector.

Provide revitalization opportunities for Provide revitalization opportunities for metropolitan Detroit.metropolitan Detroit.

Improve consumer understanding of the Improve consumer understanding of the food system.food system.

Improve producer understanding of Improve producer understanding of consumer needs.consumer needs.

Guiding PrinciplesGuiding Principles

Community/Common GoodWe work together cooperatively helping each other advance the

health and prosperity of our regional communities providing a hopeful future for all members of the food system.

IntegrityWe fulfill the expectations of our stakeholders in an honest

and transparent way that builds trust in our mission.

Insights/Knowledge/EducationWe promote and support education as a foundation for better

understanding the food system. Using this foundation weapply information to solve issues while developing and

sharing a future vision for our food system.

Teamwork/Collaboration/Empowering PeopleWe encourage all team members to participate, contribute and

share in all outcomes; bringing in all stakeholders in the decision making process to create linkages between invested

participants in a way that will influence the final outcome.

Success/Achievement/OutcomesWe meet goals and demonstrate outcomes in measurable ways

that benefit the larger community. Our actual outcomes meet

or exceed positive impacts we set out to accomplish.

Stability/SustainabilityWe create change that lasts and endures;

is rooted and self-reliant.

Entrepreneurship/InnovationWe think outside the box, looking at all new and different ideas

to spur food system business growth and development. We promote

change through turning creative ideas into achievements utilizing assets, ideas, and resources in a way that results in positive,

mission-fitting change managing risk with benefit.

Leadership TeamLeadership Team30 individuals from across the five 30 individuals from across the five

county region representing:county region representing:

AgricultureCommunity OrganizationsFood BusinessesResource ProvidersCounty Government

AgricultureAgriculture

Michigan Farm BureauMichigan Farm Bureau DuRussel Potato FarmDuRussel Potato Farm Michigan Sheep Breeders AssociationMichigan Sheep Breeders Association Michigan Farmers UnionMichigan Farmers Union Organic Growers of MichiganOrganic Growers of Michigan Michigan Corn Marketing ProgramMichigan Corn Marketing Program Michigan Coalition of Black FarmersMichigan Coalition of Black Farmers

Food Businesses Food Businesses and Institutionsand Institutions

The Henry FordThe Henry Ford Michigan Chefs de Cuisine AssociationMichigan Chefs de Cuisine Association American Culinary FederationAmerican Culinary Federation Zingerman’s Community of BusinessesZingerman’s Community of Businesses

Community OrganizationsCommunity Organizations

Slow Food Huron ValleySlow Food Huron Valley Healthy Traditions NetworkHealthy Traditions Network Michigan Organic Food and Farming Michigan Organic Food and Farming

AllianceAlliance Washtenaw Land TrustWashtenaw Land Trust

County GovernmentCounty Government

County CommissionersCounty Commissioners County AdministratorCounty Administrator County Department HeadsCounty Department Heads

Resource ProvidersResource Providers

Michigan State University ExtensionMichigan State University Extension Greenstone Farm Credit ServicesGreenstone Farm Credit Services MSU Mott Group for Sustainable Food MSU Mott Group for Sustainable Food

SystemsSystems MSU Product CenterMSU Product Center University of Michigan School of Natural University of Michigan School of Natural

Resources Graduate TeamResources Graduate Team

MSU Extension StaffMSU Extension Staff Involved in FSEP Involved in FSEP

Brenda Reau, County Extension Director – Monroe CountyBrenda Reau, County Extension Director – Monroe County

Board MemberBoard Member Mike Score, Agriculture Educator - Washtenaw CountyMike Score, Agriculture Educator - Washtenaw County

Chair of Leadership TeamChair of Leadership Team Matt Shane, County Extension Director & Regional Livestock Matt Shane, County Extension Director & Regional Livestock

Educator – Lenawee CountyEducator – Lenawee County Phil Tocco, Agriculture Educator – Jackson CountyPhil Tocco, Agriculture Educator – Jackson County Van Varner, District Farm Management EducatorVan Varner, District Farm Management Educator Gary Bulluck, Community & Economic Development EducatorGary Bulluck, Community & Economic Development Educator

FSEP Work TeamsFSEP Work Teams

Business Innovation and NetworkingBusiness Innovation and Networking Education and Outreach Education and Outreach Farm to School Farm to School Research and DevelopmentResearch and Development MembershipMembership

FundingFunding

$175,000 annual budget$175,000 annual budget $15,000 annually from each county government$15,000 annually from each county government $ 80,000 grant funding annually $ 80,000 grant funding annually $ contributions from organizations$ contributions from organizations

Michigan Economic Development Corporation, Community Foundation of Southeastern Michigan, Project GREEEN, Farm Bureau, Greenstone Farm Credit Service, Washtenaw County Ag Advisory Group, Michigan Organic Growers

ChallengesChallenges

Setting prioritiesSetting priorities Conflicting views from a diverse group of Conflicting views from a diverse group of

participantsparticipants FundingFunding

FSEP ResultsFSEP Results

ResearchResearch Business DevelopmentBusiness Development Farm to School Demonstration ProjectFarm to School Demonstration Project ConferenceConference Project Replication Project Replication

ResearchResearch

Restaurant SurveyRestaurant Survey Grocer StudyGrocer Study Consumer Preference SurveyConsumer Preference Survey Grain Market SurveyGrain Market Survey School Food Service SurveySchool Food Service Survey Supply Chain for Locally Grown Food Supply Chain for Locally Grown Food

ProductsProducts

Restaurant SurveyRestaurant Survey

Relationship between farmer and chef is Relationship between farmer and chef is keykey

Farmer share of retail sales can increase Farmer share of retail sales can increase up to 20% through this channelup to 20% through this channel

Logistics of supply and delivery are a Logistics of supply and delivery are a potential challengepotential challenge

Consumer Preference SurveyConsumer Preference Survey

Conducted in collaboration with University Conducted in collaboration with University of Michiganof Michigan

Strong preference for local irrespective of Strong preference for local irrespective of the demographicsthe demographics

Willing to pay more for local but not a lot Willing to pay more for local but not a lot moremore

FSEP: Supply Chain/NetworkFSEP: Supply Chain/Network

Supply Chain AnalysisSupply Chain Analysis

Regional farm receipts are $320 millionRegional farm receipts are $320 million Only $3.6 million are from direct sales to Only $3.6 million are from direct sales to

consumersconsumers $3.6 million represents an average of $4 per $3.6 million represents an average of $4 per

acreacre On a per capita basis this is only $1.30 per On a per capita basis this is only $1.30 per

person per yearperson per year Total annual production of fruits and vegetables Total annual production of fruits and vegetables

equals only 5% of regional demand.equals only 5% of regional demand.

Business DevelopmentBusiness Development

Services offered by MSU Product Center Services offered by MSU Product Center through FSEPthrough FSEP

Currently more than 50 business plans are Currently more than 50 business plans are under developmentunder development

Business types include energy,Business types include energy,

agri-tourism, food processing, new retail agri-tourism, food processing, new retail businessesbusinesses

Emerging BusinessesEmerging Businesses

Private labeling of dairy products for ethnic Private labeling of dairy products for ethnic communitiescommunities

Biodiesel facility/methane digesterBiodiesel facility/methane digester Family owned sausage factoryFamily owned sausage factory Farmer owned restaurantFarmer owned restaurant Retreat centerRetreat center Food distribution centerFood distribution center

Farm to SchoolFarm to School

Explaining food system Explaining food system development/demonstration projectdevelopment/demonstration project

Broad appeal and potential for economic growthBroad appeal and potential for economic growth Work group developed an action plan and Work group developed an action plan and

secured grant fundingsecured grant funding Hired project coordinator and identified three Hired project coordinator and identified three

participating school systemsparticipating school systems Purchase of local farm products by schools Purchase of local farm products by schools

begins in fall of 2007.begins in fall of 2007.

FSEP ConferencesFSEP Conferences

Attended by 150 and Attended by 150 and 200 participants200 participants

Featured keynote and Featured keynote and concurrent sessionsconcurrent sessions

Networking of Networking of participants across participants across the food systemthe food system

Conference Evaluations Conference Evaluations Demonstrated:Demonstrated:

Participants had a better understanding of Participants had a better understanding of local food system opportunitieslocal food system opportunities

Participants understood the mission of Participants understood the mission of FSEP as an organization and the work it is FSEP as an organization and the work it is trying to accomplish.trying to accomplish.

““The FSEP Conference is a great example The FSEP Conference is a great example of how government sparks private sector of how government sparks private sector entrepreneurship which should be pointed entrepreneurship which should be pointed out to those who think government should out to those who think government should shrink and lower taxes. Our taxes have shrink and lower taxes. Our taxes have helped FSEP happen. This should be helped FSEP happen. This should be made clear to all participants. I am made clear to all participants. I am actually willing to pay for taxes to promote actually willing to pay for taxes to promote FSEP and similar initiatives.”FSEP and similar initiatives.”

FSEP Conference ParticipantFSEP Conference Participant

FSEP Perspectives from FSEP Perspectives from Local StakeholdersLocal Stakeholders

““Monroe County certainly received more Monroe County certainly received more than we expected from our investment in than we expected from our investment in FSEP.” FSEP.” Charles Londo, Monroe County AdministratorCharles Londo, Monroe County Administrator

““FSEP is a compelling story, a necessary FSEP is a compelling story, a necessary and vital one that needs to succeed to and vital one that needs to succeed to address the dilemma and opportunities of address the dilemma and opportunities of farming, farms and farmers in our region.” farming, farms and farmers in our region.” Wayne Say, 208 Group, Ann ArborWayne Say, 208 Group, Ann Arbor

““I am excited about FSEP. It’s creating I am excited about FSEP. It’s creating opportunities for my children to continue opportunities for my children to continue farming.” farming.” Jeff Horning, Dairy FarmerJeff Horning, Dairy Farmer

““What amazes me is the ability of FSEP to What amazes me is the ability of FSEP to bring people from different places together bring people from different places together to work together despite obstacles. The to work together despite obstacles. The key is regionalism.” key is regionalism.” Susan Cocciarelli, MSU C.S. Susan Cocciarelli, MSU C.S. Mott GroupMott Group

To learn more:To learn more:

Visit our web site at:Visit our web site at:

www.fsepmichigan.orgwww.fsepmichigan.org