Update

[Pages:8]Update

Association includes 12,000+ acres and 475 growers of California Citrus

Organic and conventional citrus and specialty fruit growers

Self-funded, growerowned cooperative

Transportation savings and convenience

Year-round, state-ofthe-art packing facilities and marketing strategies

Contents

Report from the field .................... 1 Citrus market report ..................... 2 Stats from the packinghouse ....... 2 Estimated pool closing

schedule .................................. 3 I-9 inspection results in

huge fine ................................... 3 On the ACP/HLB front .................. 4 CCH facility update ...................... 4 CCH G.A.P. pilot program

under way .................................. 7

Also in this issue:

CCH Focus: Meet the Board of Directors

November-December 2013

The bimonthly newsletter of Corona-College Heights Orange & Lemon Association

A nonprofit citrus cooperative serving California's citrus growers and buyers since 1899

Vol. 12, No. 6

November-December 2013

Report from the field

Growers are encouraged to employ good cultural practices and to contact your pest control advisor or CCH field representative if you have any questions.

District 1: Kern & Tulare counties

Navels: Navel picking is well under way. We started in Kern County, with California Standards ranging from upper 90s to 115.0. Depending on blocks and locations, fruit is coloring up well, requiring less time in the sweat rooms. Size structures are definitely larger than last year, providing customers with a steady flow of decent-sized fruit. Packouts have been in the 90s, with Fancy/Choice ratios currently averaging 65/35, which is due to some areas that were targeted by winds early on. Tulare County blocks that were tested in late October are still struggling with maturity with the exception of early varieties, such as Fukumotos, which are testing in the high 90s and have decent color. Labor has been an issue, but it has somewhat leveled out in Kern County for the time being. The labor shortage in Tulare County continues to be an issue due to competition with olives and the tail end of the grape harvest. Unfortunately for citrus growers, pickers would much rather harvest other crops this time of year, where they believe it makes them more money at the end of the day than harvesting Valencias or navels.

Lemons: The first round of the lemon harvest started about mid-September on a 10-ring. Fruit size and quality look decent, providing our customer base with a steady flow of lemons. Some blocks were taking as much as 20-25 trees to fill a bin, covering more acreage at a faster pace than normal.

Valencias: We started harvesting the tail end of Valencias near the end of October for growers who wanted to participate in CCH's last Valencia pool. Quality is holding as well as can be expected for this time of year, with some fruit being soft and sunburned. Color is decent requiring minimal gas.

D1 Field Rep Maribel Nenna can be reached at (559) 907-7560 or via email at maribel@.

District 2: Ventura and Santa Barbara counties

Lemons: We just finished our last cleanup harvest for the season. Estimates for the next season look similar to this year's crop in most areas of Santa Barbara and Ventura County areas. I will have more information as we get closer to the first harvest. We expect to begin our first harvest late in November for some growers,

CCH Update

(Continued on page 8) 1

Citrus market report

John Demshki, CCH President

Valencias: Juice prices are at an all-time high. The Central Valley Valencia juice declines in quality as the season progresses which are filled from District 2. This demand requires juice fruit to be run through the packinghouse rather than directly roadsided. CCH will review costs associated with this process. Juicers will freeze Valencias or buy from Mexico/Texas when fruit is not available.

Lemons: Early D2 lemons closed by Oct. 31. District 3 weekly pools have been a success for the growers and will continue through November. Because the lemon pooling and payout program for D2 has not been reliable for growers, a refined pooling program will be established with firm scheduled payout dates announced at the annual meeting Dec. 13.

From the start of the season August 1 to date, we have harvested more fruit than last year in D3. We are 60% harvested, which is well ahead of last year, and we will be completed by mid-December at the latest (except in Arizona). Storage is down 11%. The average price is $30 compared to $19 last year. Sales dollars are 239% over last year. The price increases are due to the low volumes from Mexico and Chile. Hurricanes in Mexico interrupted their harvest and imports into the U.S., but now the imports are arriving. The government stats were not available in October due to the shutdown, but now that they are reporting stats the numbers are coming up. Previous hurricanes did not affect the crop and we are watching to see where it plateaus.

Weekly District 3 lemon pools will continue through November. District 1 pools will continue to be monthly. District 2 will be one pool for November and December, and the season pool will start on Jan 1.

Navels: Navels got off to a slow start due to the fall imports from Chile, Australia, and South Africa. Last year, the imports peaked in August; this year, it was in September. This resulted in a high amount of Chilean navels in the stores in October. We anticipate large retailers increasing California navel purchases in November. This year, we moved more navels at a higher price than last year. There is more Choice fruit this year due to wind scar. Bin harvesting is costing $5 more

(Continued on page 4)

Stats from the packinghouse

as of October 23, 2013

NOTE: Stats do not include organic or chem-free totals.

Lemons in storage: 6,844 cartons

Variety District

Fairchild Lemons Lemons Lemons Minneola Minneola Navels Navels Rios Stars Stars Stars Valencias Valencias

District 3 District 1 District 2 District 3 District 1 District 3 District 1 District 2 District 3 District 1 District 2 District 3 District 1 District 2

Fncy %

77.2% 37.7% 51.3% 30.30% 81.0% 56.4% 72.1% 45.8% 21.0% 47.0% 44.3% 27.7% 61.3% 35.0%

Chce %

0.0% 24.1% 16.7% 27.4% 11.9% 11.0% 25.7% 33.5% 23.6% 21.2% 19.3% 23.1% 23.4% 30.0%

Std %

0.0% 0.9% 0.0% 2.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 1.0%

Jce %

22.8% 37.3% 32.0% 40.3% 7.1% 32.6% 2.2% 20.7% 55.4% 31.8% 36.4% 49.2% 15.3% 34.0%

Total %

100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

2

CCH Update

CCH Update

November-December 2013 Volume 12, No. 6

CCH Update is published bimonthly in odd-numbered months by Corona-College Heights Orange & Lemon Association, a nonprofit cooperative association serving California's citrus growers. ? Corona-College Heights Orange & Lemon Association 8000 Lincoln Avenue Riverside, CA 92504

Phone: (951) 688-1811 Fax: (951) 689-5115

Editor: Nancy Walery E-mail: knwalery@

Direct address changes to betty@

Officers:

President: John Demshki Secretary/Treasurer: Susan Jaspan

Board of Directors:

Charles W. Colladay, Chairman

Mike Lassalette, Vice Chairman

Chuck Badger

John Gless

David Roberts

Al Stehly

Matt Witman

Kenneth Doty

Darl Young

Mark McBroom

CCH Pool Payment Policy

For all fruit varieties except lemons: 50% will be advanced to growers 45 days from the date last fruit was received; final payment will be made 45 days from the advance. For lemons, 25% of the projected pool value (PPV) will be advanced 45 days from the end of the pool harvest period (PHP); an additional 50% of the PPV will be advanced 90 days from the end of the PHP; the remainder will be paid when the pool closes 150 days from the end of the PHP. Ventura and Santa Barbara counties have 3 pools: Pool 1 runs 1/1 to 10/31, with advance dates of 4/1, 7/31, and 12/15. Pools 2 (November) and 3 (December) advance the same as other lemon pools from the date last fruit was received.

November-December 2013

Estimated pool closing schedule

as of October 21, 2013

NOTE: The projected schedule estimates when the major open pools will be closed and paid. Closing dates listed are estimates only and subject to change based on marketing conditions. An asterisk (*) represents a revised pool closing date.

Pool First date Last date 45-day name received received advance

Le 1-1 Le 1-2 Le 3-1 Le 3-2 Le 3-3 Le 3-4 Le 3-5 Le 3-6 Le 3-7 Le 3-8 Le 3-9 Le 3-10 Le 3-11 Le 3-30 Le 3-31 Le 2-1 Le 2-2 Le 2-3 Le 2-4 Le 2-7 Le 2-32 Le 2-33 Le 2-34 Le 2-35 Le 2-36 Le 2-37 Na 1-1 RR 3-10 MG 3-1 MG 3-10 MG 3-11 MG 3-12 Mu 1-10 Mu 3-11 Mu 3-12 RG 2-1 RG 2-11 RG 2-12 RR 3-1 SR 1-1 SR 1-2 SR 2-1 Va 1-3 Va 1-4 Va 1-12 Va 2-4 Va 2-5 Va 2-6 Va 2-9 Va 2-13 Va 2-14 Val 2-15 Va 2-16 Va 2-27 Va 2-28 Va 2-29 Va 2-50 Va 2-51 Va 2-60

9/11/2013 10/1/2013 8/8/2013 9/1/2013 9/8/2013 9/16/2013 9/23/2013 9/30/2013 10/7/2013 10/14/2013 10/21/2013 9/19/2013 10/2/2013 9/13/2013 10/2/2013 1/01/13 3/01/13 5/01/13 8/01/13 1/01/13 3/01/13 4/01/13 5/01/13 6/01/13 7/24/13 10/10/13 10/09/13 10/09/13 8/05/13 8/01/13 9/01/13 10/02/13 2/1/2013 2/1/2013 3/1/2013 8/3/2013 8/5/2013 9/1/2013 3/1/2013 4/1/2013 9/11/2013 3/11/2013 7/1/2013 8/5/2013 8/1/2013 7/1/2013 8/1/2013 9/1/2013 7/1/2013 7/3/2013 8/1/2013 9/1/2013 10/1/2013 8/1/2013 9/1/2013 10/1/2013 8/1/2013 9/3/2013 10/1/2013

9/30/13 picking 8/31/13 9/07/13 9/14/13 9/21/13 9/28/13 10/05/13 10/12/13 10/19/13 picking 9/28/13 picking 9/27/13 picking 2/28/13 4/30/13 6/30/13 8/13/13 9/30/13 3/31/13 4/30/13 5/31/13 6/08/13 7/26/13 picking picking picking 10/02/13 8/31/13 9/30/13 10/08/13 2/28/13 2/28/13 3/31/13 picking 8/31/13 9/03/13 6/24/13 8/08/13 9/14/13 9/20/13 7/29/13 8/31/13 8/31/13 7/31/13 8/31/13 9/30/13 7/26/13 7/31/13 8/31/13 9/30/13 picking 8/31/13 9/30/13 picking 8/31/13 9/30/13 picking

11/14/13 picking 10/15/13 10/22/13 10/29/13 11/05/13 11/12/13 11/19/13 11/26/13 12/03/13 picking 11/12/13 picking 11/11/13 picking 4/14/13 6/14/13 8/14/13 9/27/13 11/14/13 5/15/13 6/14/13 7/15/13 7/23/13 9/09/13 picking picking picking 11/16/13 10/15/13 11/14/13 11/22/13 4/14/13 4/14/13 5/15/13 picking 10/15/13 10/18/13 8/08/13 9/22/13 10/29/13 11/04/13 9/12/13 10/15/13 10/15/13 9/14/13 10/15/13 11/14/13 9/09/13 9/14/13 10/15/13 11/14/13 picking 10/15/13 11/14/13 picking 10/15/13 11/14/13 picking

90-date advance

12/29/13 picking 11/29/13 12/06/13 12/13/13 12/20/13 12/27/13 1/03/14 1/10/14 1/17/14 picking 12/27/13 picking 12/26/13 picking 5/29/13 7/29/13 9/28/13 11/11/13 12/29/13 6/29/13 7/29/13 8/29/13 9/06/13 10/24/13 picking

Final

date

2/27/14 picking 1/28/14 2/04/14 2/11/14 2/18/14 2/25/14 3/04/14 3/11/14 3/18/14 picking 2/25/14 picking 2/24/14 picking 7/28/13 9/27/13 11/27/13 1/10/14 2/27/14 8/28/13 9/27/13 10/28/13 11/05/13 12/23/13 picking picking picking 12/31/13 11/29/13 12/29/13 1/06/14 5/29/13 5/29/13 6/29/13 picking 11/29/13 12/02/13 9/22/13 11/06/13 12/13/13 12/19/13 10/27/13 11/29/13 11/29/13 10/29/13 11/29/13 12/29/13 10/24/13 10/29/13 11/29/13 12/29/13 picking 11/29/13 12/29/13 picking 11/29/13 12/29/13 picking

November-December 2013

CCH Update

I-9 inspection results

in huge fine

by Barsamian & Moody, The Employers' Law Firm

The Ninth Circuit Court of Appeal recently denied a petition for review of a $173,250 fine against Ketchikan Drywall Services, Inc. for failure to properly complete I-9 forms for its employees. In this situation, ICE sent Ketchikan Drywall a subpoena for production of several years' worth of I-9 forms. When the documents were eventually produced, ICE found that Ketchikan Drywall had failed to complete any I-9 form for 49 employees, and had only partially filled out I-9s for numerous other employees. While it obviously had no argument for the complete failure to fill out I-9s for some employees, Ketchikan Drywall argued that the incomplete forms were not really a violation because it had copied the documents presented by the employees showing that they were legally entitled to work in the US, so that the information was readily available. Some of the copied documents were attached to the respective I-9s, while others were maintained in different locations. Ketchikan Drywall also argued that the penalty was too high because it had made a good faith effort to employ with the requirements, and that the errors found were only minor errors.

The Court rejected all of Ketchikan Drywall's arguments. In particular, it found that merely copying the documents employees present is not sufficient, but rather, the process of transcribing the information from the document to the I-9 is necessary to show that the employer has properly examined the document to determine if it appears to be genuine and appears

(Continued on page 7)

3

On the ACP/HLB front

While the ACP status is a very fluid situation, the following is a report on the latest ACP/HLB information as of newsletter press time:

Website hub for ACP/HLB news

The Citrus Pest and Disease Prevention Program recently launched a website, , which is designed to be a hub for citrus industry professionals, providing critical information about surveying, quarantines and restrictions, treatment programs and more in the fight against ACP and HLB. Check it regularly or join its email list so you receive up-to-the-minute information as it is released.

New rules released on bulk fruit movement out of the ACP quarantine areas

The Citrus Pest and Disease Prevention Committee and the California Department of Food and Agriculture (CDFA) have just finished designing practical rules for a pre-harvest "spray and move" grove treatment option to enable shipment of bulk fresh citrus out of a quarantined area. The special permit, which does not require the removal and leaves and stems, details performance standards with different options for the movement of bulk citrus from an ACP quarantine area to a receiver inside or outside of a quarantine area.

The grower/grove manager/harvester, hauler and receiving packinghouse/ processor must be under compliance before movement of bulk citrus occurs. According to California Citrus Mutual, the industry assessment for the program is being reduced, although possibly only temporarily. Go to for details about how to comply with these performance standards. The ACPFree Compliance Standards documents are available from cdfa. plant/go/ACP-Free-Compliance and by link from the Citrus Insider website.

CCH facility update

Riverside

CCH has renewed its Riverside facility lease for 15 years at a lower rate. This will allow the organization to make several important capital improvements over the next year. Those improvements include upgrades to refrigeration in all coolers, the color separation line, the palletization unit, and storage rooms. CCH is committed to having the most cost-efficient packinghouse in the industry, and management believes these improvements will increase efficiency and utilization and, ultimately, the return back to the grower.

Porterville

After last year's successful first season running a separate packinghouse in Porterville, CCH re-opened its California Gold facility for a second navel season Oct. 14. This facility has improved service to Central Valley growers and attracted new growers and buyers. If you are in the area, please drop by and take a look at our northern facility, which is located at 142 West Olive street in Porterville.

Researchers closer to finding cures for HLB

There are several bright spots in the HLB fight:

A tiny parasitic wasp, Tamarixia radiata, from Pakistan's Punjab region, is being tested in the San Diego area and could really slow the spread of Asian citrus psyllid. With limited supplies of the wasp, it is being released in residential areas where the pest has a stronghold and chemical control options are limited.

In a new study co-funded by Citrus Research Board and the Citrus Research and Development Foundation in Florida, researchers studied four categories of healthy and diseased citrus trees to better understand how HLB affects trees physiologically during the early stages of infection. Their analysis confirmed that the disease causes starch to accumulate in the leaves, blocking nutrient transport and decreasing photosynthesis. Additionally, HLB was found to interfere with the regulation of hormones that serve to trigger immune responses. Researchers are hopeful that this newfound knowledge will help pave the way for mechanisms of early detection of HLB.

University of Florida researchers hope to release Huanglongbing-tolerant citrus rootstocks for large-scale industry trials in March 2014.

4

CCH Update

Citrus Market Report (cont. from page 2)

per bin, which is an increase of 18%. This, added to minimum wage increases next June, will have costs rising. It is believed that 88s and 113s will be strong this year.

Organic: Lemons have started in the desert and harvest is 40% complete. Pricing is high and movement is good. Desert grapefruit harvest will continue until about mid-November before Texas comes into the market. Valencias are still going strong due to increased volume and a price which is $7 above last season. Organic Valencia juice prices are high and starting to back off. Figs will continue into December and mangos finished with a successful season.

Labor: CCH has been studying the labor issue and is working with local contractors. Progress will be reported in future newsletters.

November-December 2013

CCH FOCUS

Meet the CCH Board of

Directors

The CCH Board of Directors is a group of 10 individuals, introduced below, who collectively oversee and steer the activities across all departments of the organization. The board meets regularly to set company policies and objectives, approve budgets and grower members, and closely monitor packinghouse, field and sales operations.

Charles Colladay

Charlie Colladay joined the board in 1985. He has served as Chairman of the Board since 1986 and chairs the CCH Executive Committee. He farms in San Diego County.

Michael Lassalette

Mike Lassalette has been a director and Vice Chairman of the board since 1987. He is a member of the Executive Committee and chairs the Field Operations Committee. He farms in Riverside and Tulare Counties.

Chuck Badger

Chuck Badger has been on the board since 1989. He chairs the Sales Operations Committee and is a member of the Packinghouse Operations Committee. He farms in San Diego County.

John Gless

John Gless has been on the board since 1989 and is a member of the Field Operations and Sales Operations committees. He farms in Kern and Riverside counties.

(Continued on reverse)

November-December 2013

CCH Update

5

CCH Focus on The Board of Directors (continued)

David Roberts

Dave Roberts joined the board in 1990. He is a member of the Executive Committee, Packinghouse Operations Committee and the Sales Operations Committee. He farms in Tulare County.

Al Stehly

Al Stehly has been on the board since 1989. He is a member of the Field Operations Committee and the Packinghouse Operations Committee. He farms in San Diego County.

Matt Witman

Matt Witman joined the board in 1998. He is a member of the Executive Committee, the Sales Operations Committee, and he chairs the Organic Council. He farms in San Diego County.

Kenneth Doty

Ken Doty joined the board in April 2007. He is a member of the FIeld Operations Committee and the Packinghouse Operations Committee. He farms in Santa Barbara County.

Darl Young

Darl Young joined the board in October 2008 and sits on the Field Operations Committee. He farms in Riverside County.

6

Mark McBroom

Mark McBroom joined the board in October 2011. He is a member of the Field Operations Committee and Sales Operations Committee. He farms in Imperial and Riverside counties.

CCH Update

November-December 2013

I-9 fines (continued from page 3)

CCH's GAP pilot program under way

to relate to the employee in question. The Court made further note of the fact that for at least part of the time period in question, Ketchikan Drywall had not trained any of its employees in how to properly process an I-9. Therefore, it upheld the fine in total.

What This Means for Employers:

Regardless of what one may hear in the news about immigration reform potentially happening, that has nothing whatsoever to do with the requirement to properly maintain I-9 forms for all of your employees. There is an excellent training source that every employer should have every employee who processes I-9s read, called Handbook For Employers: Guidance for Completing Form I-9. It is commonly referred to by its form number, M-274, and it can be found on the USCIS website at: http:// files/form/m274.pdf. Have your employees review the Handbook, keep records of that fact, and require strict compliance with I-9 procedures.

The goal of this article is to provide employers with current labor and employment law information. The contents should neither be interpreted as, nor construed as, legal advice or opinion. The reader should consult with Barsamian & Moody at (559) 2482360 or toll free at (888) 322-2573 for individual responses to questions or concerns regarding any given situation.

CCH is in the process of developing its GLOBALG.A.P. (Good Agricultural Practices) certification program by working with a select group of growers who are participating in a pilot program. When the pilot program and audits have been concluded, the program will be expanded to include the entire CCH grower base.

GLOBALG.A.P. is a movement that has already taken effect for row crops and high risk agricultural commodities. Development of the program is being driven by a growing number of agricultural customer-buyers who now require GLOBALG.A.P. certification a condition of doing business. Launched in 2010, GLOBALG.A.P. North America Inc. (north-america), is the USA-Canadian division of the international GLOBALG.A.P. organization founded in 2007 whose primary objective is a single-standards system that identifies safe, sustainable agriculture and aquaculture methods worldwide. The program goal is to minimize the risk of microbiological contamination by following eight basic principles that address issues such as preharvest orchard management, harvesting equipment, harvested crops, personal health and hygiene, grove sanitation, employee and visitor training, sanitary facilities, and transportation from the field.

Development of the program is being driven by a growing number of agricultural customer-buyers

who now require GLOBALG.A.P. certification a condition of doing business.

CCH is developing a GAP binder that walks each grower through the GAP audit process and provides them with the necessary documentation to complete the program. When the program is ready for full launch, a CCH representative will contact growers individually to explain the program and distribute the binders to prepare them for the audits.

Within the GLOBALG.A.P. Program, CCH will be responsible for conducting the grower GAP audits. An independent auditor will then verify that the audits were performed correctly and will conduct random audits for verification and accuracy. If you have any questions prior to CCH contacting you, please call your Field Representative or GAP Program Manager Marshal McBroom at (760) 455-9291.

GROWERS: Receive your packouts via e-mail!

To get started, contact Betty at CCH at

betty@.

Save the date!

CCH Annual Meeting at the packinghouse

Friday, Dec. 13, 2013

Tours start at 10:30 a.m. Banquet lunch served at 11:45 a.m. Watch for your invitation in the mail!

November-December 2013

CCH Update

7

Corona-College Heights Orange & Lemon Association

8000 Lincoln Avenue Riverside, CA 92504

CHANGE SERVICE REQUESTED

Presort Standard U.S. Postage PAID Permit 751 San Diego, CA

Field Report (continued from page 1)

with the rest of the growers starting in January. We will continue ring size picking with a 10-ring for green fruit and harvest full color. The quality and sizing of the fruit overall looks good for all growers in this district. I will have more information on quality and sizing in the next newsletter when the fruit matures.

Labor: Once again, I want to thank everyone for their patience as we address the labor shortage we are facing. It may take a few more days to complete the harvest, but we will get it completed.

Valencias: We completed our Valencia season on schedule just as we forecasted. For next year's crop, early forecasting indicates a larger crop for the season, but it's still too early to comment on quality and size at this time. We will have more information on that in the next Valencia field report.

GAP Certification: For growers who are interested in becoming individually GAP certified (see article in this issue), please feel free to contact me for more information.

Bins: If you see CCH bins in horse corrals, at fruit stands, in non-citrus orchards or anywhere else they shouldn't be, please call me.

D2 Field Rep Anthony Vazquez can be reached at (805) 479-9398 or via email at anthonyv86@.

District 2: Riverside and San Diego counties

Valencias: Harvest was completed by the end of October. Because of the regreening and puff and crease, most fruit was color segregated. We packed the best and sweated the rest to bring

out the color.

Ruby Red Grapefruit: Harvest was expected to conclude by the end of October. Packouts are at about 70 percent.

District 3: Riverside and Imperial counties

Lemons: Harvest began the first week September. Quality has been looking good, but we now see that the crop is lighter than anticipated by about 20-25 percent. If picking continues at our current pace, harvest will be done by the end of December, if not sooner. Quality is very good at this point, but the crop is about a month ahead on maturity, which is much earlier than normal. Prices and movement are good, so we are taking advantage of that.

D2 (Southern) and D3 Field Representative Ruben Gutierrez can be reached at (951) 323-9875.

Got empty bins? CCH needs them at the packinghouse! For pickup, call Raul Sevilla at (951) 543-2781.

8

CCH Update

November-December 2013

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