i'lriraJel vlpryw• A34-Linc*st«r Farming, Saturday, Fabruary 18, IMS (Continued from Page A3O) Research is needed to keep the cooperative on top of what the market most likely will want and how best to get the cooperative in the competition. Zimmerman said research into semen production, female reproduction and genetic advancements such as using genetic markers and genetic mapping —is needed because these are things basic to each mem ber’s bottom line. He said that the Lancaster facili ty, currently housing 275 bulls, would remain, but instead of being a semen production facility, it would be used to house bulls wait ing on proofs. According to Zim merman, the main semen collec tion would be at the Eastern facili ty, which is much more modem, larger and construpted to be cooler. He said that for the naturally cool-climate cattle, semen produc tion has been shown to be better when the climate is cooler, and Ithaca is a cooler climate than Lancaster. He said the bulls would be grouped in lots of five and go through their entire proofs in groups, to be divided later after the proofs come through and under performers are culled. As an aside, Zimmerman said one thing about grouping is that if one is culled early for some reason other than proof, a replacement bull can not be placed into the group. He said the other remaining four would kill the new bull. Eastern has automated gates, and uses border collies and Austra lian Blue Heelers to more bulls around, decreasing the amount of labor needed. According to Zimmerman, there would be about the same number of sires in the new cooperative, as members have access to now. In fact, Zimmerman said that a goal for the future is to reduce the num ber of bulls used for proof by find ing some way of increasing suc- From the left, Vernon Heisey, Gerald Rlsser, and Donald Riaser receive Atlantic Breeders Cooperative production awards from technician Larry Kurtz. From tha loft, Gaorga Shue, an Atlantic Braadara Cooparativa raprasantativa, pre ynu production awards to Leonard and Dlann Stoltzfua, and Mark and Priscilla stoitzfus. Atlantic Breeders Cooperative Considers Merger From the left, Nelson Wenger, Earl Landis, and Marvin Witmer receive Atlantic Breeders Cooperative production awards from technician Jeff Peifer. cess rate. Currently, according to Zim merman, for every bull in the proven lineup, it takes 10 to 12 others bulls to go through the entire testing and proofing prog ram. It cost the cooperative about $25,000 per bull. If the cooperative can reduce the number of bulls that don’t make it to the final lineup, it can make some significant savings in operat ing expenses. About the testing program, Zim merman said that all test codes DHIA 31 and less qualify. As far as the distribution of semen, it is proposed that it be con tinued to be done on.the basis of sales volume the service units with the higher volume of semen use would get more of a particular semen. The new cooperative would offer the same services. The ABC members would roll its assets into the new cooperative and get full credit. Members would also retain their individually earned revolving fund certificates, called RFCs. Members of ABC keep 20 per cent of their earned profits as a member, with 80 percent put back into the cooperative’s operating portfolio in an RFC. That RFC is paid back in 10 years. After 10 years in the cooperative, a member continues to annually keep 20 percent, but then gets back his 80 percent from 10 years earlier. At the same time, the member invests 80 percent into the cooperative for his future. Under the new cooperative the ABC RFCs would continued to be valued at their current level, and the new cooperative would issue similar RFCs. That actually presents one of the merger issues that still needs to be worked out, Zimmerman said. According to the region direc tor, Eastern, which owns all of its real property, has an established annuity program for its members, under which the retained funds are only paid back to the member at retirement. How those members will be converted from an annuity system to a 10-year revolving fund system is the issue yet to be decided. “I’m confident our board is not going to move ahead (with the merger)' until EastenTls ready to handle and deal with equity at Eastern.” Zimmerman also said that the representative structure of the proposed cooperative would change slightly. There would be 19 delegates per district and 13 dis tricts, each with a director to the board. Overall, it would mean few er directors, but a strong delegate body. Further, there is planned that a number of special committees would be needed and members could serve on those, but again, Zimmerman said not all details are out yet. He said that more informa tion will be announced as it develops. In a related, but different matter, Zimmerman also announced that members would be issued an addi tional RFC this year. He said that in recent years, the cooperative has been taking profits from its non- Tom Lapp receives a production award from George Shue, technician for Atlantic Breeders Co-op. Atlantic Breeders Co-op technician. Phil Rutt receives a production award for Edgefield Farm from Mike Mauger, Atlantic Breeders Co-op. member business and putting it Solanco Fai grounds in Quarry vil aside. That now is currently at le to go over the cooperative’s sire more than $1 million. The board of lineup and the new USDA sire directors has decided to. take it and summary rating which went into issue it to members as a new RFC. effect in January. Also, in other business, Zim- announced, and that cooperative merman said a special meeting has technicians and others in service been scheduled to be held March would be providing information 14 in the Hoffman Building at the soon. Don WHvir tor Red Knob Farm, and Jay Ranek receive production awards from Steve Herahey, Atlantic Breeder* Co-op technician. He said more details would be
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