Food Rules: Assessing Legal Variables and Managing

Entrepreneurial Farm Business Risks 2011 Extension Risk Management

Education National Conference

Potential Risks of Local Food System

Studies comparing relative risk of local vs. global foods do not exist.

No food, from any source, can be guaranteed 100% safe . . . But, with a local food system, it is easier to track the source and contain out-breaks of food borne illness compared to glo-bal food system—e.g. Salmonella outbreak of 2008 (first linked to tomatoes, then jalapeños; unknown location of contamination).

Reported Incidences of Contracting Food-Borne Illness from Direct Farm Market Venues

• Center for Disease Control (CDC) and Food and Drug Administration (FDA) databases has some information about reported incidences of food-borne illnesses and sources

• However, food scientists caution that food borne illnesses are vastly under-reported and that there are no data to suggest that locally grown foods are more or less “safe” than foods grown many miles from where they are consumed.

CDC Outbreak Surveillance DataYear State Pathogen Source Location No. Sick

2000 MN, WI Campylobacter jejuni

Raw milk farms 11-12

2002 KS Campylobacter jejuni

Raw milk farm 8

2004 NY E.Coli 0111; Cryptosporidium parvum

Unpasteurized cider

Orchard 212

2005 OK Campylobacter jenuni

Raw milk Farm 11

2007 UT Campylobacter jenuni

Raw milk, fresh, unpasteurized cheese

Not stated 62

Outbreak Data, cont’d

• International Food Safety Network (based in Canada) website indicated that only three food borne illness outbreaks were reported from farmers’ markets since 1973– 1992 Campylobacter on greens—Ontario Canada– 1993 Cryptosporidium in cider—Maine– 1994 Salmonella in soft cheese-Ontario Canada

Identifying the Need for Clarification and Communication about Food Rules

– Many more farmers meeting consumer demand for fresh local foods, but unaware of the welter of regulations from local, state, and federal agencies

– Regulatory community has little experience regarding small-scale, local operations

– Pilot “Food Rules” workshop first held in Carlock, IL in 2007 to meet the above needs -- large turnout and impact

“Food Rules” Impacts: 2007-08• IL State Senator Koehler begins Farmers

Market legislation to clarify food rules in IL• Local farmers and farmers’ market manager

invited to join IDPH food safety advisory committee

• Sub-committee formed to revise IDPH Technical Release Bulletin #30

“Food Rules” Impacts: 2007-08• USDA Risk Management grant awarded to hold

Food Rules Workshops across Illinois - Food Rules: Managing Entrepreneurial Farm Business Risks by Knowing the Regulations (RME-DZN02526)

Food Rules Workshops

• Held in winter 2008-09 in Rockford, Champaign, Quincy, Peoria, Marion

• Panel of Regulators (IDPH, IDOA, county health departments), farmers and market managers

• Open Q/A . . .

Barriers Identified

• Complex Local, State, and Federal regulations• Certain counties’ regulations particularly strict

and difficult to interpret• Rules and policies for zoning, insurance, and

taxes difficult to understand• Regulations associated with “inspected

kitchen” confusing• Varying Interpretations of Regulations

Varying Interpretations• IDPH’s “Technical Release Bulletin #30” only

“advisory”– Local Health Depts. can interpret as they see fit and

charge fees as they see fit – Vendors often find one county is fine with selling

e.g. meat/eggs or baked goods with little restriction, whereas a neighboring county may heavily regulate or prohibit

– Vendors find some local health departments require mechanical refrigeration for perishable foods; others don’t.

Lessons Learned: Advice for Producers

• Start early in familiarizing yourself with regulations • Make your local Health Department the first contact• Local Health Departments may be able to help

interpret State and Federal regulations or direct you to someone who can

• Tap into resources such as Farm Beginnings®, U of I Extension, and Local Health Departments

• Get to know the people involved in zoning and compliance early in your endeavor

Food Rules Workshop Evaluation

• Conducted a pre- and post-workshop survey of workshop participants, most of whom either were farmers/producers or people considering selling direct to consumers.

• Participants’ reactions were varied: from “can’t wait to get started and apply information” and “less difficult than I thought it would be” all the way to “stop a business venture” and “hesitate to get involved”.

Lessons Learned: Advice for Regulators

• Encourage producers to contact you early in their planning

• Keep lines of communication open• Strive for consistency in interpretation of regulations• Strive for a collaborative rather than adversarial

relationship with local producers

Food Rules Evaluation, cont’d

• Reaction to presenters was mixed, especially to health department and ag department. Many felt they “kept it simple” while others felt it was “department speak”.

• The biggest impact and lesson carried forward was a new “awareness” that all of these things (rules, policies, departments) EXIST!

Final Evaluation Report

• Rules and regulations related to the production, processing and marketing of food tend to be confusing and complex.

• Respondents report their knowledge regarding rules and regulations to have increased through participation in the workshops and there is also evidence of application of this knowledge.

Final Evaluation report prepared by Catherine C. Twohig, Ed.D. and James M. Brown, Ph.D., University of Minnesota

Final Evaluation Report, cont’d

• Workshop has had a positive impact on participants’ behaviors: they valued the content and how it was delivered. In addition, they tend to use workshop information as they attempt to operate more effectively and efficiently.

• However, respondents also report a need for continued information, training and opportunity for communication with policy makers and educators in this arena.

“Food Rules” Impacts: 2009-11

• Illinois Food, Farms, Jobs Task Force – Cites regulatory environment as a major barrier to

promoting and expanding local food production and consumption http://www.agr.state.il.us/newsrels/taskforcereport-outside.pdf

• Illinois Local Food Entrepreneur and Cottage Food Operation Act (SB 137) Senator David Koehler – Removes prohibitively burdensome barriers to aspiring

entrepreneurs producing non-potentially hazardous food and enables preparation in home kitchens for sale at farmers markets in Illinois.

Moving Forward• Risk Management Education grant awarded -

Assessing Legal Variable and Managing Risk in Direct Farm Businesses (RME-J4303409)

– create a Comprehensive Legal Guide for Illinois Direct Farm Businesses

– establish a website – www.directfarmbusiness.org– webinars (January 25 and March 3)

Assessing Legal Variables in the Direct Farm Business – Guide and Website

Direct Farm Business Risk Management Webinars

• Follow-up survey: – 73% of participants indicated that they were now either

good or very good at identifying risks associated with their direct farm business • Pre-survey: 22.6%

– 64% said that the presentation helped them identify a business practice they intended to change

– 71% said they were likely to seek legal or professional help in order to mitigate those risks• Pre-survey: 68.2%

Direct Farm Business Risk Management Webinars

• Follow-up survey: – We had participants rate their general knowledge

of legal risks associated with direct farm businesses both before and after the webinar, using a 5-point scale (low to high).

– Average before webinar: 2.38 – Average after webinar: 3.61

Direct Farm Business Risk Management Webinars

• Future efforts and collaboration: – Pending grant with USDA’s Agriculture Food Research

Initiative (AFRI) to expand the project to other states– Would collaborate with National Agricultural Law Center to

create state-by-state legal guides– Effort would be limited to states with MarketMaker

resource • See http://national.marketmaker.uiuc.edu/

– Open to additional collaboration opportunities • Contact Bryan Endres for more info

• There can be a thriving local food movement, AND it can produce and sell safe food.

• . . .

Take Home Message

Information Sources • Illinois Department of Public Health Technical

Bulletin/ Food #30 “Sanitation Guidelines for Farmers markets, Producer Markets and other Outdoor Food Sales Events http://www.agr.state.il.us/farmersmarket/IDPH_TIBF30.pdf

• IDOA Division of Food Safety and Animal Protection, Bureau of Meat & Poultry http://www.agr.state.il.us/AnimalHW/MP/index.html

• Illinois Direct Farm Business A Guide to Laws Affecting Direct Farm Business in Illinois (CD)

Online Resources

• www.directfarmbusiness.org for legal information on Direct Farm Marketing in Illinois

• www.ilstewards.org (under Resources) for PDF of a Guide to Illinois Laws Governing Direct Farm Marketing for Farmers and Other Food Entrepreneurs ” by Richard Schell, JD

For More Information

Deborah Cavanaugh-GrantUniversity of Illinois ExtensionExtension SpecialistSmall Farm and Sustainable AgricultureSARE CoordinatorP.O. Box 410Greenview, IL 62642217-968-5512cvnghgrn@illinois.eduwww.extension.uiuc.edu/smallfarm

For More Information

Terra BrockmanFounder, The Land Connection1569 Sugar Hill LaneCongerville, IL 61729847-338-1861terra@brockmanfarms.netwww.thelandconnection.orgwww.terrabrockman.com

For More Information

Dr. Leslie CooperbandFormer Associate Professor of Soil Science, University of

Wisconsin and Extension Specialist in Food Systems, University of Illinois

Currently, owner Grade A Goat Dairy and Farmstead Cheesemaking Facility

Prairie Fruits Farm and Creamery4410 N. Lincoln Ave.Champaign, Illinois 61822217-643-2314prairiefruits@gmail.comwww.prairiefruits.com

For More Information

A. Bryan EndresAssociate Professor of Agricultural LawDirector, European Union CenterUniversity of Illinois322 Mumford Hall, 1301 W. Gregory DriveUrbana, IL 61801217-333-1828bendres@illinois.edu

For More Information

Nick JohnsonUniversity of Illinois at Urbana-ChampaignDept. of Agricultural and Consumer Economics322 Mumford Hall1301 West Gregory DriveUrbana, Illinois 61801847-924-9933njohnson3@gmail.com