Kentucky Farmers Market Nutrition Program 2011 Farmer Manual

1. Kentucky Farmers’ Market Nutrition Program2011 Farmer Manual

2. 2 Agenda Topics to be covered: FMNP Funding Requirements for FMNP Redemption Process Please take notice to a few updates to the program: The definition of locally grown is now “any produce grown within Kentucky borders by Kentucky farmers.” Also only farmers may accept coupons for products they have grown on their farm. The eligible foods list now includes mushrooms and more cooking herbs. Note that we expanded and detailed the market requirements, rules, and redemption process to make it easier for you to understand. Finally, don’t forget to sign up to accept coupons in each market you sell in and remember to do this before the season starts. Plus you are responsible for training all of your employees and family members that help you sell at the market.Please take notice to a few updates to the program: The definition of locally grown is now “any produce grown within Kentucky borders by Kentucky farmers.” Also only farmers may accept coupons for products they have grown on their farm. The eligible foods list now includes mushrooms and more cooking herbs. Note that we expanded and detailed the market requirements, rules, and redemption process to make it easier for you to understand. Finally, don’t forget to sign up to accept coupons in each market you sell in and remember to do this before the season starts. Plus you are responsible for training all of your employees and family members that help you sell at the market.

3. 3 Funding WIC FMNP 2010 USDA Grant $224,462 2011 USDA Grant unknown WIC benefit $20.00 SENIOR FMNP 2010 USDA Grant $324,818 2011 USDA Grant $297,601 Senior benefit $28.00 Kentucky has participated in WIC-FMNP since 1994. Currently we receive two hundred thirty thousand dollars ($230,000) from USDA; just under one hundred thousand dollars ($100,000) comes from the state budget. For 2004 will be issuing coupons in 43 counties. We did request an additional sixty thousand dollars ($60,000) in expansion funds from USDA, but it has not been approved at this time. After three years of applying for Senior FMNP funding, USDA awarded the Kentucky Department of Agriculture funding in 2003. Participants spent and farmers redeemed over two hundred seventy-six thousand dollars last year. ($276,302) For 2004, we have applied for funding again; the latest word from USDA is that they will announce grant awards mid-April (March 29, 2004). As you see, USDA only provides funding for the coupons. The Kentucky Department of Agriculture and its partnering agencies must cover their own administrative costs to run the programs. Kentucky has participated in WIC-FMNP since 1994. Currently we receive two hundred thirty thousand dollars ($230,000) from USDA; just under one hundred thousand dollars ($100,000) comes from the state budget. For 2004 will be issuing coupons in 43 counties. We did request an additional sixty thousand dollars ($60,000) in expansion funds from USDA, but it has not been approved at this time. After three years of applying for Senior FMNP funding, USDA awarded the Kentucky Department of Agriculture funding in 2003. Participants spent and farmers redeemed over two hundred seventy-six thousand dollars last year. ($276,302) For 2004, we have applied for funding again; the latest word from USDA is that they will announce grant awards mid-April (March 29, 2004). As you see, USDA only provides funding for the coupons. The Kentucky Department of Agriculture and its partnering agencies must cover their own administrative costs to run the programs.

4. 4 Farmer Requirements Participating farmers in the program must: Be member of an approved FMNP farmers’ market Be a KY proud member Attend training each year Accept checks only for locally grown fruits and vegetables Sign the participation guidelines Farmers are eligible to participant in the FMNP program if They are a member of an approved farmers’ market Attend a training session each year, and Accept coupons only for fresh fruits, vegetables, and cooking herbs they have produced in Kentucky Farmers also must sign an Farmer Agreement that they understand and agree to follow all of the rules for participation in the FMNP program Farmers are eligible to participant in the FMNP program if They are a member of an approved farmers’ market Attend a training session each year, and Accept coupons only for fresh fruits, vegetables, and cooking herbs they have produced in Kentucky Farmers also must sign an Farmer Agreement that they understand and agree to follow all of the rules for participation in the FMNP program

5. 5 Rules - 1 SrFMNP: Checks are good for fresh locally grown produce and honey. Locally grown produce is defined as produce grown in Kentucky or within 50 miles from Kentucky border. WIC FMNP: Checks are good for fresh locally grown produce. Locally grown is defined as fruits, vegetables and herbs grown within Kentucky borders. Foods purchased from an auction is not allowable. See “Eligible Kentucky Foods” for list. No meats, eggs, cheese, jams, jellies, plant material, flowers, etc.; however, these products are great for adding to the market’s offering, simply take other forms of payment. In the next few upcoming slides we will go over the rules of FMNP. Participants may purchase only the fresh fruits, vegetables, and cooking herbs on the Eligible Kentucky Foods list. These are listed on the next 2 slides. Products such as meats, eggs, cheese, honey, plants, flowers, and home-processed goods are great for the market. However, they must be purchased with other forms of payment as coupons may not be used on them. “Why not?” many people ask. It all goes back to the purposes for the program set up in the federal regulations; the programs are set up for fresh fruit, vegetables, and cooking herbs sold through farmers’ markets. Also, farmers must grow these foods on property that are farming within Kentucky. In the next few upcoming slides we will go over the rules of FMNP. Participants may purchase only the fresh fruits, vegetables, and cooking herbs on the Eligible Kentucky Foods list. These are listed on the next 2 slides. Products such as meats, eggs, cheese, honey, plants, flowers, and home-processed goods are great for the market. However, they must be purchased with other forms of payment as coupons may not be used on them. “Why not?” many people ask. It all goes back to the purposes for the program set up in the federal regulations; the programs are set up for fresh fruit, vegetables, and cooking herbs sold through farmers’ markets. Also, farmers must grow these foods on property that are farming within Kentucky.

6. 6 Eligible Kentucky Foods - 1 Apples Asparagus Beans (green) Beets Blackberries (thornless & thorny) Blueberries Broccoli Brussels Sprouts Cabbage (red, green, savoy, chinese) Carrots Cauliflower Cherries Sweet Corn Cucumbers Edamame Soybeans Eggplant Grapes Greens (collards, kale, mustard, spinach, swiss chard, turnip) Green Onions Honey—only allowable in SrFMNP Kohlrabi Lettuce Melons (muskmelon, honeydew, cantaloupe) Mushrooms (shiitake, oyster, morel, etc.) Okra Onions Parsnips Pawpaws Peaches Pears Peas (snow peas, sugar snap) Peppers (hot and sweet) This is slide one of the Eligible Kentucky Foods list. The list is continued on the next slide. This is slide one of the Eligible Kentucky Foods list. The list is continued on the next slide.

7. 7 Eligible Kentucky Foods - 2 Plums Potatoes Pumpkins Radishes Raspberries Rhubarb Strawberries Summer squash (yellow, zucchini, patty pan) Sweet potatoes Tomatoes Turnips Watermelons Winter Squash (acorn, butternut, spaghetti, kabocha) Cooking herbs (fresh, cut): Basil Borage Chives Cilantro Dill Epazote Fennel Garlic Marjoram Mint Oregano Parsley Rosemary Sage Savory Shiso Sorrel Tarragon Thyme This is slide two of the Eligible Kentucky Foods list. Also note, it helps your customers if you label the eligible products as FMNP approved.This is slide two of the Eligible Kentucky Foods list. Also note, it helps your customers if you label the eligible products as FMNP approved.

8. 8 Ineligible Foods “Non-locally” grown products may not be purchased with FMNP checks. Examples include citrus products such as oranges, mangoes, lemons, and limes; bananas, and pineapples. Medicinal Herbs and others such as aloe, lamb’s ear, catnip, rue, white sage, lavendar, echinacea, bee balm, chamomile, St Johnswort are not eligible for purchase with checks. Ineligible foods include non-local, non-Kentucky-grown products. These are not eligible for purchase with FMNP coupons. Examples include citrus products such as oranges, mangoes, lemons, and limes; bananas, and pineapples; medicinal Herbs such as aloe, lamb’s ear, catnip, rue, white sage, lavendar, bee balm, chamomile, and St Johnswort. Also don’t forget the other products such as meats, eggs, cheese, honey, plants, flowers, and home-processed goods we discussed several slides ago. All of these products cannot be purchased with coupons. You may accept other forms of payment for these if you choose to sell them in your market. Ineligible foods include non-local, non-Kentucky-grown products. These are not eligible for purchase with FMNP coupons. Examples include citrus products such as oranges, mangoes, lemons, and limes; bananas, and pineapples; medicinal Herbs such as aloe, lamb’s ear, catnip, rue, white sage, lavendar, bee balm, chamomile, and St Johnswort. Also don’t forget the other products such as meats, eggs, cheese, honey, plants, flowers, and home-processed goods we discussed several slides ago. All of these products cannot be purchased with coupons. You may accept other forms of payment for these if you choose to sell them in your market.

9. 9 Rules A Farmer cannot exclusively sell produce grown by someone else. All markets have different rules, RULES for FMNP can be more strict according to your market rules, but may not be more lenient. A continuation of the rules… FMNP farmers must raise products sold on land owned, rented, or leased by the farmer within Kentucky. Market vendor is a genuine farmer and grows the products being sold. Do not take coupons for resold products.A continuation of the rules… FMNP farmers must raise products sold on land owned, rented, or leased by the farmer within Kentucky. Market vendor is a genuine farmer and grows the products being sold. Do not take coupons for resold products.

10. 10 Rules No sales tax Kentucky has a sales tax exemption on the purchase of food Participants must receive the same value of produce as the coupons given for payment. Change cannot be made for the difference, simply give the customer more product. Kentucky law has an exemption “food or food products purchased for human consumption with food coupons issued by the U.S. Department of Agriculture” but you need to be aware of this requirement. In addition, Kentucky law excludes “food and food products for human consumption of a type sold by groceries and supermarkets” SOURCE: 2003 Tax Facts published by the Kentucky Revenue cabinet. Participants must receive the same value of produce as the coupons given for payment. Change cannot be made for the difference, simply give the customer more product. Kentucky law has an exemption “food or food products purchased for human consumption with food coupons issued by the U.S. Department of Agriculture” but you need to be aware of this requirement. In addition, Kentucky law excludes “food and food products for human consumption of a type sold by groceries and supermarkets” SOURCE: 2003 Tax Facts published by the Kentucky Revenue cabinet.

11. 11 Rules Checks valid only at authorized FMNP markets This includes your farm! It is not an authorized location. Not all Kentucky farmers’ markets are in FMNP Only authorized farmers within approved markets Not all farmers in a market accept FMNP Only the 41 farmers markets mentioned at the beginning are authorized and approved locations to accept coupons. Other markets in Kentucky and at your farm are not approved locations. Only farmers signed up within the approved markets may accept coupons. It is up to the vendor in the market to choose to accept them; the FMNP program does not require all farmers to accept. Farmers, do remember to sign up to accept coupons in each approved market you sell in!Only the 41 farmers markets mentioned at the beginning are authorized and approved locations to accept coupons. Other markets in Kentucky and at your farm are not approved locations. Only farmers signed up within the approved markets may accept coupons. It is up to the vendor in the market to choose to accept them; the FMNP program does not require all farmers to accept. Farmers, do remember to sign up to accept coupons in each approved market you sell in!

12. 12 Rules Display sign showing you accept FMNP checks This is in order for participants to find you to spend their checks. Since not all farmers within a market are required to accept coupons, it is very important for you to show your signs saying you accept FMNP coupons. Participants need to know which farmers accept coupons.Since not all farmers within a market are required to accept coupons, it is very important for you to show your signs saying you accept FMNP coupons. Participants need to know which farmers accept coupons.

13. 13 Rules Offer FMNP participants the same courtesies as other market customers Provide eligible foods at the current price or lower than the current price charged to other customers Display prices and how product is sold (by pound, container, by bunch, etc.) FMNP participants are to be offered the same courtesies as other customers to your market. Prices for eligible foods should be the same as the current price or less than the current price charged to other market customers. Products are not to be higher just because a customer is purchasing with coupons. Displaying prices is not only good business; but it ensures clients they are being charged a fair price for their produce. Simply think to your own shopping experiences. If you can’t find the price of an item, do you always purchase it? Or does the phrase, “If you have to ask, it’s too high” ring a bell?FMNP participants are to be offered the same courtesies as other customers to your market. Prices for eligible foods should be the same as the current price or less than the current price charged to other market customers. Products are not to be higher just because a customer is purchasing with coupons. Displaying prices is not only good business; but it ensures clients they are being charged a fair price for their produce. Simply think to your own shopping experiences. If you can’t find the price of an item, do you always purchase it? Or does the phrase, “If you have to ask, it’s too high” ring a bell?

14. 14 Rule Enforcement USDA mandates 10% of markets and 10% of farmers are reviewed Market Site Visits Review of Market Review of Farmers Anonymous compliance buys Violations can result in farmer and/or market being terminated from FMNP Kentucky Department of Agriculture employees conduct market site visits. At those visits staff review the market and farmers, takes notes on products available, number of customers, and other items as required by USDA. If your market isn’t open as listed in the KDA market directory, this is noted also. Some staff may be there undercover buying with coupons to ensure you are following the rules. In the 40+ visits last year, several markets were not open for business as listed. Make sure you register your market with Janet Eaton. Also, no ineligible foods were purchased during compliance buys. Farmers did an excellent job explaining what foods were eligible. Good Job! If a farm visit is warranted, we do schedule a time to come and inspect your farm. This involves looking at any farm plans, maps, physical inspection of growing area, and documenting such visits with photographic evidence and sketch of farm. Not following the rules may lead violations. Violations fall into minor and major categories as explained in next two slides. Kentucky Department of Agriculture employees conduct market site visits. At those visits staff review the market and farmers, takes notes on products available, number of customers, and other items as required by USDA. If your market isn’t open as listed in the KDA market directory, this is noted also. Some staff may be there undercover buying with coupons to ensure you are following the rules. In the 40+ visits last year, several markets were not open for business as listed. Make sure you register your market with Janet Eaton. Also, no ineligible foods were purchased during compliance buys. Farmers did an excellent job explaining what foods were eligible. Good Job! If a farm visit is warranted, we do schedule a time to come and inspect your farm. This involves looking at any farm plans, maps, physical inspection of growing area, and documenting such visits with photographic evidence and sketch of farm. Not following the rules may lead violations. Violations fall into minor and major categories as explained in next two slides.

15. 15 Minor Violations Failure to post signage at the market Failure to open during published times and days Penalties for Minor offenses: First violation - verbal or written reprimand Second violation - Move to “at-risk” classification and written warning Third violation - Suspension of right to redeem checks for the remaining of the season

16. 16 Major Violations Selling at off-market site Selling non-eligible products Buying Checks Accepting checks when on suspension Penalties for Major Violations: First Violation - Suspension of right to redeem checks for 30 days during FMNP season. If there is less than 30 days remaining in the season when violation is committed, days remaining will continue in the following FMNP season. Second Violation - Farmer becomes ineligible for the program. State Agency has the right to carry over major/minor violations from year to year.

17. 17 Civil Rights Compliance KDA Title VI Coordinator is responsible for immediately notifying USDA-FNS of farmer and market discrimination complaints received by KDA: KDA Title VI Coordinator500 Mero Street, 7th FloorFrankfort, KY 40601 Farmers and participants may also contact USDA directly: USDADirector, Office of Civil RightsRoom 362-W, Whitten Building1400 Independence Avenue, SWWashington, DC 20250-9410 Also note that as a farmer or farmers’ market participating in the FMNP program you must adhere to the federal regulations for nondiscrimination. Individuals seeking to file discrimination complaints may file them either with KDA or directly through USDA per the contact information on the slide. As a recipient of federal funding, markets and farmers must adhere to the federal regulations for nondiscrimination. FYI The full USDA-FNS discrimination statement follows: “In accordance with Federal law and U.S. Department of Agriculture policy, this institution is prohibited from discriminating on the basis of race, color, national origin, sex, age, or disability. To file a complaint of discrimination, write USDA, Director, Office of Civil Rights, Room 326-W, Whitten Building, 1400 Independence Avenue, SW, Washington, D.C. 20250-9410 or call (202) 720-5964 (voice and TDD). USDA is an equal opportunity provider and employer.”Individuals seeking to file discrimination complaints may file them either with KDA or directly through USDA per the contact information on the slide. As a recipient of federal funding, markets and farmers must adhere to the federal regulations for nondiscrimination. FYI The full USDA-FNS discrimination statement follows: “In accordance with Federal law and U.S. Department of Agriculture policy, this institution is prohibited from discriminating on the basis of race, color, national origin, sex, age, or disability. To file a complaint of discrimination, write USDA, Director, Office of Civil Rights, Room 326-W, Whitten Building, 1400 Independence Avenue, SW, Washington, D.C. 20250-9410 or call (202) 720-5964 (voice and TDD). USDA is an equal opportunity provider and employer.”

18. 18 Stamps WIC FMNP stamp looks like this. A farmer must have a stamp for each market he works in. The Senior FMNP stamp looks like this. A farmer has only one stamp, regardless the number of markets he works in. Replacement stamps are available for a fee. Now for a very important part: how prepared coupons for redemption so you may get paid! Receive training and review of materials, Qualify to accept coupons Agree to, and sign Farmer Agreement Receive FMNP farmer number from market coordinator And do this for each FMNP market you sell in Now for a very important part: how prepared coupons for redemption so you may get paid! Receive training and review of materials, Qualify to accept coupons Agree to, and sign Farmer Agreement Receive FMNP farmer number from market coordinator And do this for each FMNP market you sell in

19. 19

20. 20 FMNP SENIOR CHECK Get Customer Signature Stamp check with the farmer identifier. If stamp is unclear, stamp it again. Endorse Senior Check on Back Side Deposit in Your Bank

21. 21 What’s wrong with this check?

22. 22 What’s wrong with this check?

23. 23 What’s wrong with this check?

24. 24 What’s wrong with this check?

25. 25 Deadlines SENIOR FMNP April 25, 2011 Senior Participation Guidelines Due to KY Dept. of Ag. October 25, 2011 Last day to accept checks November 1, 2011 Final day to deposit checks for Senior FMNP WIC FMNP May 1, 2011 WIC Participation Guidelines Due to local health dept. October 30, 2011 Last day to accept checks November 15, 2011 Final day to deposit checks for WIC FMNP Important deadlines for the 2004 season. ALL Farmer Agreements must be turned in by June 15, 2004. This is so we can print the all “Accept FMNP Coupon” signs in time for peak coupon use; otherwise market vendors are in violation of not placing signs. It would be helpful if these are turned in earlier, if possible. Local agencies will cease issuing coupons on September 30, 2004. The last market day to accept coupons is October 16, 2004. This is a Saturday in the middle of October. Each year previously, farmers commented that the September 30 coupon deadline was too early. Last year we found out the last Saturday in October was too late. So we’ve compromised and gone in the middle this year. The FINAL day to submit coupons for reimbursement is October 29, 2004, two weeks after the selling deadline. Please do you best to submit coupons each month. Sending a season’s worth of coupons in the last weeks of the season causes tremendous backlog of payments, especially if there are errors in the paperwork. Important deadlines for the 2004 season. ALL Farmer Agreements must be turned in by June 15, 2004. This is so we can print the all “Accept FMNP Coupon” signs in time for peak coupon use; otherwise market vendors are in violation of not placing signs. It would be helpful if these are turned in earlier, if possible. Local agencies will cease issuing coupons on September 30, 2004. The last market day to accept coupons is October 16, 2004. This is a Saturday in the middle of October. Each year previously, farmers commented that the September 30 coupon deadline was too early. Last year we found out the last Saturday in October was too late. So we’ve compromised and gone in the middle this year. The FINAL day to submit coupons for reimbursement is October 29, 2004, two weeks after the selling deadline. Please do you best to submit coupons each month. Sending a season’s worth of coupons in the last weeks of the season causes tremendous backlog of payments, especially if there are errors in the paperwork.

26. For More Information Kentucky Department of Agriculture Division of Food Distribution 107 Corporate Drive Frankfort, KY 40601 502-573-0282 www.kyagr.com Directions to training slides: Programs, Food Distribution, SFMNP Senior FMNP Jessica P. Hinkle, jessicap.hinkle@ky.gov (502) 573-0432 WIC FMNP Beverly Salchli, beverly.salchli@ky.gov 502-564-3827 ext. 3833 Farmers’ Market Development Sharon Spencer, sharon.spencer@ky.gov 502-564-4983 If you need more information, please contact us.If you need more information, please contact us.