There are those who say local dairy farmers have had six months to prepare for a financial future without Mat Maid.
While this is partially true, it’s important to remember the board was replaced with new members charged with trying to find a way to save the dairy processing facility from closure. Early in the process, the outlook was promising as the new board uncovered inefficiencies and extravagant expenditures. It was several months before the board exposed the full extent of the dairy’s financial woes. The state won’t continue to run the dairy at a financial loss and an effort to sell the venture was also unsuccessful.
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There are those who say $200,000 is too much to give to just a few farmers. We think $200,000 is a wise investment in our local economy and a small price to pay to save a vital Alaska industry. The loss of these dairy farmers would have a far-reaching financial impact on our economy and other agriculture efforts. Hay farmers would lose a large portion of their customer base, as would feed and seed businesses. Because culled dairy cows represent a large portion of the animals processed at Mt. McKinley Meats, the demise of the dairy industry could be the death knell for the struggling slaughterhouse as well. Even area children who participate in 4-H could suffer from the ripple effects caused by the loss of our local dairy industry.
The loss of jobs from businesses directly and indirectly related to agriculture also impacts local retailers as there is less money to spend, forcing retailers to cut costs and jobs — and so goes the economic circle.
We realize the Legislature is not in session, but that doesn’t prevent our local representatives from taking action on this issue. We urge them and Governor Palin to find the money the State Creamery Board has requested. We appreciate Rep. Mark Neuman calling us to pledge his support and commitment to help find the needed money. We hope the others will do the same.
The state routinely invests in economic development through financial incentives and other means, and $200,000 is a drop in the bucket compared to some. This isn’t a Mat Maid issue; it’s about the future of Alaska agriculture. As the state continues to work toward a goal of self-sustainability, where Alaska could support itself in case it is cut off from the Lower 48 or Canada for any length of time, the ability to produce our own dairy products is vital to this goal.
If the effort to save Mat Maid Dairy was worth $600,000, surely saving the state’s dairy industry is worth a third that investment.
The $600,000 the Legislature appropriated to help Mat Maid survive can’t be used for another purpose, like tiding dairy farmers over, and is expected to be used to help offset costs associated with shutting Mat Maid down.
Can the governor come up with $200,000 from her discretionary spending fund? Can the commissioner reallocate funds from the budget? In this day of record-high oil prices and the state finding itself in the enviable position of having a budget surplus, we are confident the money can be found if the governor and our representatives work together to look for it.
Comments
11 comment(s)C.W. wrote on Dec 23, 2007 11:18 PM:
milkmancometh wrote on Dec 23, 2007 5:07 PM:
Oldtimer wrote on Dec 23, 2007 2:31 PM:
RED wrote on Dec 22, 2007 3:25 PM:
Palinania wrote on Dec 22, 2007 1:36 PM:
Palin fan wrote on Dec 22, 2007 1:26 PM:
jess wrote on Dec 22, 2007 8:22 AM:
Jillian wrote on Dec 22, 2007 12:56 AM:
Faganite "thinking" wrote on Dec 21, 2007 10:31 PM:
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Neumania wrote on Dec 21, 2007 12:17 AM: