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# Montana Board of Milk Control Zoom Meeting Minutes – Time Stamp Record to Accompany Meeting Recording December 03, 2024. 1:00 p.m.

Physical Location of Meeting: Montana Dept. of Livestock Board Room #319, 301 N. Roberts, Helena, Montana

## PUBLIC MEETING

Call to Order

Chairperson Ken Bryan called the meeting to order at 1:05 p.m.

## Attendance

Board Members:


<table border=1 style='margin: auto; word-wrap: break-word;'><tr><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>Present</td><td style='text-align: center; word-wrap: break-word;'>Absent</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Ken Bryan, Chair</td><td style='text-align: center; word-wrap: break-word;'>X</td><td style='text-align: center; word-wrap: break-word;'></td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Brian Beerman</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>X</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Staci Ketchum</td><td style='text-align: center; word-wrap: break-word;'>X</td><td style='text-align: center; word-wrap: break-word;'></td></tr><tr><td style='text-align: center; word-wrap: break-word;'>W. Scott Mitchell</td><td style='text-align: center; word-wrap: break-word;'>X</td><td style='text-align: center; word-wrap: break-word;'></td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Travis Stroh</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>X</td></tr></table>

Montana Department of Livestock Staff:

Brian Simonson, Deputy Executive Officer, Department of Livestock

Mike Honeycutt, Executive Officer, Department of Livestock

Lindsay Simon, Agency Counsel, Department of Livestock

Michele Satre, Milk Control Program Manager, Milk Control Program

Kelly Calnan, Regulated Market Compliance Specialist, Milk Control Program

Rick Corder, CIO, Department of Livestock

Guests:

Rob Adamson, Dairy Farmers of America/Meadow Gold

Dave Lewis, Big Creek Dairy, Northwest Diary Association

Lily Anderson, Skattum Diary & BOL Dairy Representative

Shane Leep, Leep Dairy

Makena DeLappe, Northwest Dairy Association/Darigold

Steve Stout, Dairy Farmers of America/Meadow Gold

Kat Stallbaumer, Montan Milk Producers Association


<table border=1 style='margin: auto; word-wrap: break-word;'><tr><td style='text-align: center; word-wrap: break-word;'>AGENDA ITEM</td><td style='text-align: center; word-wrap: break-word;'>TIME STAMP</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>ROLL CALL &amp; INTRODUCTIONS</td><td style='text-align: center; word-wrap: break-word;'>0:00:35-0:04:39</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>I. MINUTES
Chairman, Bryan, requested comments on approval of the minutes from the June 03, 2024, meeting. There were no comments.

Motion: Ms. Ketchum moved to approve the minutes, and Mr. Mitchell seconded the motion to approve the minutes, without amendments, for the June 03, 2024, meeting. With all members voting in favor, the motion carried.</td><td style='text-align: center; word-wrap: break-word;'>I. 0:04:40-0:05:28
Motion: 0:05:10-0:05:28</td></tr></table>

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<table border=1 style='margin: auto; word-wrap: break-word;'><tr><td style='text-align: center; word-wrap: break-word;'>AGENDA ITEM</td><td colspan="2">TIME STAMP</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>II. NEW BUSINESS</td><td style='text-align: center; word-wrap: break-word;'>II.</td><td style='text-align: center; word-wrap: break-word;'>0:05:29 – 0:20:38</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>A. Approval of Fiscal Year 2024 annual report</td><td style='text-align: center; word-wrap: break-word;'>II.A</td><td style='text-align: center; word-wrap: break-word;'>0:05:29 – 0:09:00</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Comments: Mr. Bryant, Mr. Simonson, and Mr. Mitchell commented on the usefulness of the report. Mr. Simonson also comment that the report will be on the Milk Control website.</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>0:05:29 – 0:08:17</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Motion: Mr. Mitchell made a motion to approve the report as is. Ms. Ketchum seconded the motion. The motion carried, with all members voting in favor</td><td style='text-align: center; word-wrap: break-word;'>Motion</td><td style='text-align: center; word-wrap: break-word;'>0:08:18 – 0:08:59</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>B. Proposal of FY2026 Assessment Rate Option</td><td style='text-align: center; word-wrap: break-word;'>II.B</td><td style='text-align: center; word-wrap: break-word;'>0:09:00 – 0:31:52</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Presentation of three Assessment Rate Proposed Options Michele Satre ( Milk Control Program)</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>0:09:57 – 0:19:15</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>1. Board Discussion –Mr. Bryan, Mr. Mitchell, Ms. Ketchum
2. Industry Input – Mr. Lewis, Mr. Adamson, Ms. DeLappe
3. Public and DOL – Mr. Simonson</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'></td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Comments: Mr. Mitchell commented that the Board is required to review the assessment rate annually to make necessary adjustments. Mr. Mitchell along with Ms. Ketchum, Chair Bryan, and Mr. Lewis commented they would like to see a decrease in the assessment rate for FY2026. Mr. Adamson inquired about the possibility of a different rate for the producers than the distributors.</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>0:09:15 – 0:30:49</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Motion: Mr. Mitchell made a motion to approve Option 2 (6.98%) reduction for FY2026, and Ms. Ketchum seconded the motion. The motion carried, with all members voting in favor.</td><td style='text-align: center; word-wrap: break-word;'>Motion</td><td style='text-align: center; word-wrap: break-word;'>0:30:50 – 0:31:55</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>C. A discussion on the Federal Class I Differential increase – if Montana Class I Differential should also be increased.</td><td style='text-align: center; word-wrap: break-word;'>II.C</td><td style='text-align: center; word-wrap: break-word;'>0:31:56 – 0:55:38</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>1. Board Discussion – Chair Bryan, Mr. Mitchell, Ms. Ketchum
2. Industry Input – Mr. Lewis, Mr. Adamson, Ms. DeLappe
3. Public and DOL – Mr. Honeycutt, Mr. Simonson, Ms. Simon</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'></td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Comments: Mr. Lewis presented to the Board the intent of the Federal Government to increase the Federal Milk Market Order (FMMO) Class I differential across all states. He discussed the need for the Montana Class I Differential to increase as well to stay competitive with out of state milk coming into the state. Mr. Mitchell commented that he would like to have producers input and an explanation from the industry for the need of the Montana increase.</td><td style='text-align: center; word-wrap: break-word;'></td><td style='text-align: center; word-wrap: break-word;'>0:31:56 – 0:54:23</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Action: Chair Bryan requested Mr. Lewis to bring an industry proposal before the Board meeting around February 2025 to discuss and possibly move on a decision to increase the Montana Class I Price differential.</td><td style='text-align: center; word-wrap: break-word;'>Action</td><td style='text-align: center; word-wrap: break-word;'>0:54:57 – 0:55:38</td></tr></table>

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<table border=1 style='margin: auto; word-wrap: break-word;'><tr><td colspan="2">AGENDA ITEM</td><td colspan="2">TIME STAMP</td></tr><tr><td colspan="2">III. OTHER NEW BUSINESS</td><td style='text-align: center; word-wrap: break-word;'>III.</td><td style='text-align: center; word-wrap: break-word;'>NONE</td></tr><tr><td colspan="2">IV. PUBLIC COMMENT ON NON-AGENDA TOPICS
Comments: Mr. Honeycutt reported that the request for the general fund to be used as revenue for part of the milk inspection fees has a place holder in the Governor’s budget.
Mr. Mitchell and Mr. Honeycutt commented that the board will no longer have appointed members as of January 2025.</td><td style='text-align: center; word-wrap: break-word;'>IV.</td><td style='text-align: center; word-wrap: break-word;'>0:55:39 – 1:00:53</td></tr><tr><td rowspan="2" colspan="2">V. ADJOURNMENT
Motion: Mr. Mitchell moved to adjourn, and Ms. Ketchum seconded the motion. The motion carried with all members voting in favor.
Chairman Bryan adjourned the meeting at 2:05 p.m.</td><td style='text-align: center; word-wrap: break-word;'>V.</td><td style='text-align: center; word-wrap: break-word;'>1:00:54 – 1:01:23</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>Motion:</td><td style='text-align: center; word-wrap: break-word;'>1:00:55 – 1:01:21</td></tr><tr><td colspan="4">Time stamps were recorded during the meeting and reviewed and adjusted by Program staff.
REVIEWED
BY(Initials):</td></tr><tr><td style='text-align: center; word-wrap: break-word;'>MS</td><td colspan="3">Michele Satre, Program Manager, Milk Control Program Manager</td></tr></table>