Part I: Michigan Department of Agriculture Annual Report 2000 DIRECTOR'S SUMMARY The Michigan Department of Agriculture (MDA) is charged with a variety of responsibilities and commitments affecting every person who lives in Michigan, transacts business, or simply travels through the state. The department's annual report highlights its duties and achievements. Each division of MDA strives to accom plish major goals that promote the department's four paramount priorities: food safety, environmental steward ship, consumer protection, and economic profitability for agriculture. This report showcases MDA's key accomplish ments in 2000. The year 2000 was a banner year for agriculture-focused legislation. With one exception, every bill endorsed at the department's request was passed, along with most of the legislation supported by the department. Major initiatives included: The comprehensive Michigan Food Law of 2000, which updated and modernized Michigan's food safety laws for the first time in more than 30 years, was passed. A plan to help preserve Michigan farmland was estab lished through the creation of an Agriculture Preserva tion Fund, and a trust fund board. The bill also elimi nated the "pop-up" property tax on agricultural land. The Farmland and Open Space Preservation Act, commonly known as "PA 116," was amended to enhance the tax credit incentive for program participa tion. The amendment reduces the financial threshold for receiving tax credits from 7 percent of household income to 3.5 percent. Agriculture Renaissance Zones were created, which will allow for the creation or expansion of value-added agricultural opportunities by creating tax-free zones for food processors. The Animal Industry Act, which oversees animal health issues, was amended to facilitate implementation of a statewide plan to test cattle, bison, goats and cervidae for bovine tuberculosis in order for the state to regain its tuberculosis-free status. A statewide ban on feeding deer (a major disease source) was also implemented during the year. The Right-to-Farm Act was amended to establish requirements and timelines for responding to com- plaints. The new act also requires development of Generally Accepted Agriculture and Management Practices (GAAMPs) for Site Selection and Odor Control for New and Expanding Livestock Production Facilities. This new GAAMP will help ensure that animal agriculture facilities are properly sited, based upon an area's population density and environmental conditions. The Michigan Groundwater Stewardship Program was extended through 2010 with a unanimous vote by both houses of the Michigan Legislature. The program was originally scheduled to end in 2000, but was extended because of its success in enhancing groundwater protection. The State Fair Act was amended to permit the leasing of the Detroit fairgrounds to a private organization. The amendment allows for major capital improvements to occur on the property, and the state to save financial resources. A registration program was created and implemented for all privately owned deer and elk in Michigan. In addition, the following programs or activities had significant impact in 2000. Conservation Reserve Enhancement Program - CREP was created in conjunction with the U.S. Department of Agriculture and several other state and private conserva tion organizations. The Michigan Department of Agricul ture and USDA signed a program agreement in October 2000. The program, which is now up and running, will assist producers in adopting environmentally sound practices on agricultural lands to improve water quality and enhance wildlife habitat. Michigan Agriculture Environmental Assurance Program MAEAP assists farmers in developing and implementing comprehensive, economically feasible pollution prevention plans. A partnership agreement, among state and federal agencies and stakeholder groups, was signed in 2000. The agreement outlines program goals and program partner responsibilities. Pseudorabies - Michigan attained pseudorabies-free status (Stage V) from USDA during the year, regaining a signifi cant market for the state's swine producers. Plum Pox Virus (PPV) - An intensive and comprehensive testing program was performed on Michigan stone-fruit trees to ensure that PPV was not present in Michigan after the disease was detected in Pennsylvania. Canadian officials issued a quarantine on all U.S. stone-fruit trees. No PPV was detected in Michigan and the Canadian restrictions have been eased. Michigan Clean Sweep Program - More than 150,000 pounds of unwanted pesticides were disposed of properly under the Michigan Clean Sweep Program in 2000. More than 2 million pounds of pesticides have been collected and disposed of throughout Michigan since the program was created in 1987. MDA's seven regional offices play a vital role in providing services to our customers. Located throughout the state, experts are available to offer assistance to the industry and residents quickly and efficiently. In most cases, problems are solved in the field at a regional level, allowing busi nesses to continue serving their customers effectively in accordance with state laws and regulations. This summary cannot encompass all the strides made by the department in 2000. Please continue reading this annual report to gain a better understanding of the depth and scope of the duties and achievements of the Michigan Department of Agriculture. COMMISSION SUMMARY The Michigan Commission of Agriculture is appointed by the governor to establish policies and provide administra tive direction for the Michigan Department of Agriculture. The five commission members are appointed for a four-year term, with the confirmation of the Michigan Senate. Current board members are: Douglas E. Darling Jordan B. Tatter James E. Maitland Nora M. Viau William G. Pridgeon The commission met in conjunction with, and attended, the following events: Agriculture and Natural Resources Week at Michigan State University (MSU), Ag Expo at MSU, Michigan's Annual Bovine TB Conference, and the Michigan Farm Bureau Annual Meeting. The commission also held a joint meeting with the Natural Resources Commission in March 2000, and met with the leadership of the Michigan Association of Fairs and Events. Bovine TB was the single biggest issue on the commission agenda in 2000, followed closely by review and enhance ment of the state's Generally Accepted Agricultural and Management Practices (GAAMPs). In June, the commis sion adopted a new GAAMP for Site Selection and Odor Control for New and Expanding Livestock Production Facilities, in response to legislation signed by the governor. Other major issues of concern during 2000 were the Michigan Agriculture Environmental Assurance Program, Michigan Senator George McManus' Agriculture Preserva tion Task Force, the leasing of the Michigan State Fair grounds, horse racing regulations, the new Michigan Food Law of 2000, Geagley Laboratory renovation, migrant worker recruiting, Plum Pox Virus, the Food Quality Protection Act, permanent trade status for China, and support for the Michigan grape and wine industry. James Maitland chaired the commission in 2000. Jordan Tatter served as vice-chair, and Douglas Darling served as secretary. Deanna Stamp and Shirley Skogman also served as commissioners during 2000. The commission conducted all meetings, business and equipment purchases within its budget of $37,500. EXECUTIVE OFFICE SUMMARY The Michigan Department of Agriculture's Executive Office oversees the administrative and policy issues of the department. The Executive Office consists of the director, deputy director, director of agriculture policy, legislative liaison, public information officer and support staff. The director is appointed by the Michigan Commission of Agriculture and acts as the chief executive officer of the agency. The director also works in concert with the commission on policy issues and serves as the depart ment's liaison with the Governor's Office and the Legislature. The deputy director is responsible for managing the department's day-to-day operations, and works closely with the department's division directors and key program staff to oversee program functions. The director of agriculture policy works closely with the director and other key personnel to review and revise department policies, or develop new ones. In addition, the director of agriculture policy serves as the key contact for federal issues, legislation, and congressional contacts. The legislative liaison is MDA's link to the Michigan Legislature and the Michigan Office of Regulatory Reform. The public information officer serves as the department's point person for media contacts and the public regarding MDA programs and issues. DIVISION ACCOMPLISHMENTS Top division accomplishments for 2000 Agriculture Development Division The Agriculture Development Division (ADD), formerly known as the Office of Agriculture Development, acts as a clearinghouse for a variety of agriculture development and assistance programs. The division also works to strengthen profitability for Michigan's family farms, and enhance business opportunities for the food and agricul ture industry, especially in rural Michigan. During 2000, the division: Guided a legislative package to preserve Michigan farmland and expand value-added agricultural process ing opportunities. The legislation took effect in June 2000. Awarded grants totaling $100,000 to 11 Michigan food and agricultural organizations for the promotion of Michigan products in 12 countries. Michigan food and agricultural organizations leveraged the grants with federal and private resources at a ratio of nearly 3-to-1, with $204,000 in federal resources leveraged. Reimbursed $360,000 to 17 Michigan food processors for international marketing expenses under the Branded Market Access Program (MAP), a federal program available through MDA's membership in the Mid-America International Trade Council (MIATCO). The returns through the Branded MAP program repre sent a 30-to-1 ratio of leveraged federal resources. Created certification requirements and a registration program for organic products. As a result, a law was enacted that provides the department with the authority to develop organic production, registration and certifi cation standards in conjunction with the new Michigan Organic Advisory Committee. Participated in a new value-added agricultural venture, an underground agricultural growth chamber at White Pine Mine in Ontonagon, Michigan. The growth chamber will be used to grow and develop biopharmaceutical plants and seeds for a variety of medicinal purposes. The Rural Development Council of Michigan partici pated in the Ultimate Land Use Conference in February 2000, attracting more than 500 participants in discus sions on land use issues, community growth and farmland preservation. Animal Industry Division The Animal Industry Division (AID) safeguards the health and safety of livestock and domestic animals in Michigan. The division monitors animal diseases, diseases transmit ted by animals, and food safety hazards, to protect the health of Michigan residents. The division is responsible for administering reportable animal disease programs and overseeing toxic substance contamination incidents relating to animal health. AID also enforces the humane treatment of animals through the licensing and regulation of animal shelters, dog pounds, pet shops, riding stables and research facilities. The state veterinarian administers the division, and supervises animal disease surveillance and eradication programs throughout the state. During 2000, AID: Worked to amend Michigan's Animal Industry Act to provide for statewide bovine tuberculosis testing of cattle, bison, goats and cervidae so Michigan can regain bovine TB-free status. The amendments were signed into law in October 2000. Contracted with nearly 300 Michigan private practice veterinarians to conduct bovine tuberculosis testing. These veterinarians have tested more than 500,000 head of cattle and goats in 13,000 herds, and approxi mately 11,400 privately owned cervids. No cattle or goats outside the quarantined area, which is comprised of four counties in northeast lower Michigan, have tested positive for the disease. Attained pseudorabies-free status (Stage V) from USDA. Stage V status requires a state to be disease-free for one year following recognition of Stage IV. The last Michigan pseudorabies-infected hog farm was released from quarantine in early 1999. Started developing an emergency management plan in conjunction with the Michigan Animal Health Emer gency Management Advisory Board that covers pre paredness, response and recovery for disasters that claim animal victims, including disease outbreaks, natural disasters and man-made disasters. Assisted in guiding the enactment of new legislation to regulate the ownership of wolf-dog crossbred animals. Environmental Stewardship Division The Environmental Stewardship Division (ESD) adminis ters programs related to environmental protection and pollution prevention. Environmental stewardship activities focus on the enhancement of farming operations and agriculture land use, while protecting land and water resources and public health. During 2000, the division: Completed more than 160 intercounty drain mainte nance projects, which involved approximately 600 miles of drains serving more than 1.5 million acres in 38 counties. Worked one-on-one with more than 1,000 producers to identify groundwater risks from pesticides and nitrogen fertilizers. Also worked with producers to develop and apply plans to reduce those risks. AmeriCorps mem bers (affiliated with MDA through a national commu nity service program) also worked with homeowners in more than 40 communities to reduce groundwater risks from lawn and garden practices. Administered 32 major intercounty drain petitioned projects for maintaining or improving existing inter- county drains, or establishing new ones. These petitions represent drainage systems with a combined length of roughly 160 miles, at an estimated cost of $12 million. In addition, staff were involved in three watershed management projects involving nearly $1 million in state and federal grant monies, and local in-kind matches. Preserved approximately 199,600 acres of farmland through extension of farmland agreements under the Farmland and Open Space Preservation Act (PA 116). Newly enrolled acres in the program totaled 13,120. Acres released from the program totaled 83,600; and liens were placed on 37,760 acres. Under the Purchase of Development Rights Program, 3,527 acres of farm land were preserved in perpetuity at a cost of $4,020,360. Promoted amendment of the Right-to-Farm Act to set requirements for response times on Right-to-Farm complaints, and develop Generally Accepted Agricul tural and Management Practices (GAAMPs) for Site Selection and Odor Control for New and Expanding Livestock Production Facilities. The Legislature passed the amendment, and the Commission of Agriculture approved the GAAMP, which was effective in March 2000. Responded to 140 Right-to-Farm complaints from 48 counties, with an average initial on-site inspection response time of 4.4 business days. Ninety percent of incoming complaints involved animal agriculture. Twenty-eight percent of all new complaints were from Ionia, Allegan, Lenawee, and Hillsdale counties. Complaints reflected the following resource concerns: 40 percent involved surface water. 37 percent involved air. 14 percent were combination complaints. 9 percent involved groundwater. Disposed of more than 150,000 pounds of pesticides around Michigan utilizing the Clean Sweep Program. Completed a domestic well study to determine pesticide and nitrate concentrations in private well water. Water samples were analyzed from 271wells, including 76 wells serving migrant labor camps. Test results indi cated that only one of the 271 wells contained low levels of atrazine and metolachlor. No pesticides were detected in any of the wells at the migrant labor camps. Provided financial assistance to 128 farmers for mi grant housing projects that totaled $2.3 million. ESD licensed 876 facilities with a housing capacity of 25,000. Provided energy conservation assistance to farmers and forest product producers, resulting in implementation of energy-efficient practices on more than 78,000 acres of land. Received 36 contacts and requests regarding the new GAAMP for Site Selection and Odor Control for New and Expanding Livestock Production Facilities. Most requests concerned the expansion of existing facilities. Responded to manure spills totaling 6,550 gallons and to three manure storage structure overflows. In addi tion, 11.5 cubic yards of soil containing pesticides was recovered for land application at agronomic rates. Installed nearly 750 Michigan emergency tubes, and developed a two-minute television news segment to explain the Michigan Emergency Tube program. The program, which is voluntary, assists farmers in prepar ing response plans for their farms in case of pesticide or fertilizer accidents. Funded grants in cooperation with the Michigan Department of Natural Resources through the Coopera tive Resource Management Initiative, which enabled conservation districts to provide on-site resource management assistance to 7,448 landowners on 229,267 acres of private land. This assistance helped private forest landowners realize an income of $5,488,216 through timber sales. The program also: Facilitated the preparation of 1,055 comprehensive land management plans covering 61,478 acres. Advised 748 local government units on tree plant ing and other resource management strategies. Assisted in the distribution and planting of approxi mately 9 million tree and shrub seedlings and other conservation flora for reforestation, soil erosion control, water quality protection, and wildlife habitat enhancement. Distributed information and other assistance to 19,698 citizens through office visits and electronic communication. Fairs, Exhibitions and Racing Division The Fairs, Exhibitions and Racing Division (FER) over sees Michigan's state and county fairs, and associated horse racing programs. FER also administers grant programs for Michigan's 88 county and local fairs, and the horse racing industry. The division's top accomplishments for 2000: Established a long-term lease agreement, including a private $200 million investment project, that will provide capital improvements and large-scale building renovations to the Michigan State Fairgrounds in Detroit. Created a junior fair board to provide leadership opportunities for Michigan youth, and to stimulate understanding and interest in Michigan agriculture by supporting and encouraging 4-H and FFA programs. Revised the premium payment process, allowing all funding to be distributed to fairs prior to the event. Administered a drug testing program as part of Michi gan's Program for Quality Animal Shows and Food Safety. Eighteen fairs participated in the program and, of 93 samples analyzed, none tested positive for drugs. Increased county fair harness horse drug detection coverage by 40 percent statewide, resulting in greater compliance. Developed and presented "It's FairTime! ReDiscover Our Agricultural Roots," an exhibit that explains how local fair associations have helped shape our communi ties and agriculture through annual fairs, past and present. The exhibit began showing at the Michigan State University Museum in 2000 and remained open through June 2001. A publication and television documentary were also developed in conjunction with the exhibit. Implemented three new thoroughbred awards to pro mote Michigan thoroughbred horse ownership. Improved safety and grounds conditions at the Upper Peninsula State Fair, including installation of safety cables in the indoor arena to ensure that runaway draft horse teams are unable to reach spectators during horse pulling events. Other changes include: New parking and traffic guidelines. Installation of underground water and electrical passages. Construction of a new maintenance building. Renovation of an exhibition building. Finance and Technology Division The Finance and Technology Division (F&T) administers business processes for the Michigan Department of Agriculture, including budget, accounting, auditing, procurement, facility management, travel arrangements and mail operations. In addition, the division develops and deploys new technology throughout the department, allowing program areas to focus time and attention on their primary responsibilities. F&T during 2000: Developed and implemented, in partnership with a committee of staff from other divisions, a highly successful Web-based travel system that can process travel expenses in two days, instead of weeks. Other state departments are now in various phases of replicat ing the system for their employees. This innovative process may be used as a model for a statewide system. The department is continuing to invest and align itself with the e-Michigan initiative. Plans are underway that include licensing over the Internet as well as providing customers with the ability to complete interactive forms in order to meet various business requirements. Food and Dairy Division The Food and Dairy Division (FDD) administers all food, beverage and dairy laws in the state of Michigan to fulfill its mission of protecting public health and ensuring a wholesome food supply. FDD regularly inspects food and dairy products from farms, restaurants, grocery stores and other food establishments. The division also strives to maintain a viable food industry by lending support and assistance to food producers, and functioning as an information source for consumers and stakeholders. Food safety is the division's top priority. In 2000, the division: Developed the Michigan Food Law of 2000, which was signed into law in November 2000. The new law represents the first major overhaul of Michigan's food safety laws in more than 30 years. It is patterned after the U.S. Food and Drug Administration's Model Food Code of 1999. The food code provides for a more efficient working relationship between the agriculture department and local health departments, and allows food establishments to increase their focus on prevent ing the causes of food-borne illness. Implemented a comprehensive Food Law/Food Code training plan for regulatory staff. An independent study guide was developed for field staff, prior to the work shops, to familiarize inspectors with new regulatory codes. All regulatory staff participated in extensive training, which included group study modules, work shops and seminars. Staff were also provided with reference guides to assist them in communicating new food law information to members of the retail food and restaurant industries. Reengineered division business processes, forms and policies to reflect changes brought about by the Michi gan Food Law of 2000. Presented day-long food safety training opportunities throughout the state for retail food and food service establishments. The nine seminars taught members of the retail food industry how to incorporate major law changes into their businesses. Implemented a procedure of standardized training for local health department field trainers. Twenty-eight of 43 local health department trainers received standard ized training in 2000. The procedure incorporates Hazard Analysis Critical Control Points (HACCP) principles into the routine inspection process, with an emphasis on preventing problems rather than detecting them in the finished product. Participated as one of six states in a HACCP pilot program for dairy processing plants. The program was accepted by the National Conference on Interstate Milk Shipments as an alternative to the inspection process defined in the Pasteurized Milk Ordinance. Initiated an evaluation and accreditation process for local health departments in order to establish statewide standards for assessing accountability, and to secure the role of local health departments as public health leaders within their jurisdictions. Developed a training program for local health depart ment sanitarians, with the assistance of a $43,000 grant from the Food and Drug Administration. The program can be accessed through the Michigan Department of Agriculture Web site and serves as a model for food regulatory agencies in the United States. Hosted the 42nd Annual Dairy Division Meeting of the National Association of State Departments of Agricul ture (NASDA) in July 2000. Directors of state dairy regulatory programs discussed national dairy issues, and developed policies for inclusion in NASDA's policy statement. Michigan also hosted a meeting of the National Conference of Interstate Milk Shipments Executive Board, which, in cooperation with the Food and Drug Administration, develops national milk safety regulations. Completed a statewide program to remove mercury manometers from Michigan dairy farms and prevent environmental contamination from mercury. An esti mated 100 pounds of mercury was collected from 86 dairy farms. Mercury collected during the program was taken to Clean Sweep sites for disposal. Installed a database to the existing Dairy Farm Inspec tion System, which allows dairy inspectors to track each farm's TB testing status. As a result of the state's loss of TB-free accreditation, the federal Grade A Pasteurized Milk Ordinance currently requires that all dairy farm herds in Michigan be tested annually. Human Resources Division The Human Resources Division (HR) supports department personnel in a variety of program areas. The division is responsible for the selection, hiring and compensation of department employees, as well as the administration of employee benefits, position classification, labor relations and training. The division oversees programs that ensure equal employment and equitable representation of groups within the department's work force. Programs include: recruitment, student programs, career seminars, reasonable accommodation coordination, sexual harassment com plaint investigation, health and safety coordination, and compliance with the Americans with Disabilities Act (ADA). The division accomplished the following in 2000: Reengineered the department's selection process, allowing divisions to submit electronic requests to fill vacancies, electronic tracking of selection activities, Internet job postings, and acceptance of job applica tions via the Web. Finalized the MDA Employee Handbook and made it available on the department Intranet Web site. Developed a training database to enable divisions to maintain employee training histories in one central location, and to help divisions assess future training needs. Laboratory Division The Laboratory Division performs scientific and analytical services that support MDA programs. The laboratory also performs tests and offers consultation services for other state and federal agencies, as well as fee-based services to Michigan industry and private citizens. The Laboratory Division consists of two world-class facilities: the William C. Geagley Laboratory in East Lansing, Michigan, and the E. C. Heffron Metrology Laboratory in Williamston, Michigan. The Geagley Laboratory renders more than 300 different biological, chemical and physical tests on a routine basis. The laboratory examines food samples, beverages, pesti cides, seeds, fertilizers and feeds to verify labels, ensure compliance with state and federal regulations, and to guarantee product quality. The Geagley Laboratory also monitors food and animal feed for contaminants, tests blood and urine from competing race horses for perfor mance enhancing drugs, and tests livestock samples in order to prevent the spread of infectious diseases. The Heffron Metrology Laboratory renders ultra-precise mass, volume and length calibration certification for Michigan businesses, and houses the consumer protection programs for Weights and Measures and Motor Fuels Quality. The metrology laboratory also conducts regula tory services, calibrating standards used for enforcement by the Michigan Treasury and Agriculture departments, the Michigan State Police, and all county road commis sions. The tests and analyses conducted by the metrology laboratory assure that weights and measures in Michigan comply with national standards, making items eligible for international trade, and preventing economic fraud and deception. During 2000, the division: Commenced two renovation projects in 2000. The Geagley Laboratory is currently in phase one of a two-phase renovation project that will upgrade the 45-year-old building to a state-of-the-art facility. The renovation project also includes an addition to the metrology laboratory in Williamston, which will provide an additional garage area for storage and maintenance of field equipment. Conducted approximately 22,000 tests on more than 6,000 samples of dairy, food and beverage products received from MDA inspection staff and local law enforcement agencies. Roughly 600 sample violations were reported, and led to recalls of products contami nated with Listeria, pathogenic E. coli or Salmonella, and one felony conviction for food tampering and public endangerment. Restructured procedures in the Pesticide Data Program to allow more efficient use of resources, and provide data for the Environmental Protection Agency's Food Quality Protection Act. Conducted research on the industry process for wash ing cherries to determine the amount of pesticide residue remaining in the water and surrounding soil after washing. Developed and implemented new methods for the detection of alternate-use pesticides. Analyzed approximately 285 groundwater samples for widely used pesticides that have the potential to leach into groundwater. An additional 1,900 samples were collected by the mobile lab program and analyzed for nitrate/nitrite, an indication of fertilizer contamination. (See Environmental Stewardship Division section, page 4, for results.) Analyzed 326 samples collected by the Pesticide and Plant Pest Management Division as part of the pesticide usage investigations. Participated in the Environmental Protection Agency/State Spring 2000 Check Sample program, receiving a satisfactory result. Analyzed 26 soil samples from urban garden plots from the Detroit area; analyzed 80 catfish samples collected in Region IV for PCBs; and analyzed 21 honey samples for various pesticides. Tested more than 202,000 regulatory and service samples for brucellosis, pseudorabies, equine infectious anemia, anaplasmosis, bluetongue, trichinella, Johne's disease and arboviral diseases. The lab's Animal Disease Surveillance section passed all annual profi ciency and check tests, and participated in the collec tion of samples for the U.S. Department of Agricul ture's National Bluetongue and Hog Cholera surveys. Added two testing programs to support new regulatory rules enacted by the Office of Racing Commissioner: The Total Carbon Dioxide (TCO2) testing program detects the presence of illegally administered bicarbonates. This substance can result in the elevation of carbon dioxide levels in a horse's blood, linked to improvements in performance. Approximately 15 blood samples showed levels of TCO2 in excess of the limit. The Lasix Quantitation Program helps identify improper use of the permitted diuretic Lasix. Five violations of the new Lasix rule, and six warning levels, were reported to the Office of Racing Commissioner. The Equine Drug Testing section detected 100 percent of Association of Official Racing Chemists Proficiency Samples and correctly identified all six double-blind tests from the Association of Racing Commissioners International Proficiency Program. Analyzed 1,580 samples of gasoline, several of which were found to violate minimum octane standards. These samples were used in two noteworthy court cases and contributed to a television network investigative program on gasoline fraud in the United States. Installed a sulfur analyzer and an OFID oxygenate to detect trace amounts of illegal fuel additives. Tested thousands of stone-fruit trees for Plum Pox Virus, revealing the absence of the disease in Michigan. Issued 22 permits, in cooperation with the USDA's Animal and Plant Health Inspection Service (APHIS), to conduct research on poplar, grasses, potatoes, and corn in Michigan. Tested 233,184 Michigan blueberry plants for five plant viruses to help blueberry growers obtain dis ease-free plants for export and planting. Of these, 177,400 certified plants were sold to growers across the United States. Tested 276 bean samples for seed-borne diseases (anthracnose, common bean mosaic virus and common bean blight), to maintain the quality of dry bean seed and meet seed certification and export requirements. Fifty-two samples of non-certified seed were infected with common bean mosaic virus. In addition, three samples of certified and 14 samples of non-certified seed were infected with common bean blight. Received 10,040 acres of seed corn from six seed companies for phytosanitary certification. Staff from the Pesticide and Plant Pest Management Division inspected 156 fields for bacterial, fungal and viral diseases. Fifty-three cornfields, representing 2,795 acres, were infested with Erwinia stewartii in four counties, and were denied certification. Testing for insects and Diplodia species was also completed on 148 seed corn samples from 14 growers for certification of 1998 corn for shipment to the Soviet Union. Tested service-type seed samples for seed companies, farmers, seed product exporters and others to ensure the seed met Michigan legal requirements, contract specifi cations or established quality levels. Tested almost 1,700 seed samples submitted by Pesti cide and Plant Pest Management Division inspection staff. A non-compliance rate in excess of 10 percent was found. More than 150 wild bird feed samples were examined for the presence of viable noxious weeds in support of Michigan's Feed Regulations. Many lots were found unsalable due to the presence of bindweed, morning glory, quackgrass and other serious weeds. Investigated more than 1,200 motor fuel quality com plaints from consumers. The investigations revealed that more than 120 gasoline stations were providing substandard fuels. In many cases, gasoline transport drivers made errors in their delivery of fuel, or pump installation companies made errors in maintenance or installation of pumps, resulting in premium and mid-grade fuels being substandard for octane. Monitored gasoline volatility at more than 600 gasoline dispensing facilities in southeast Michigan in order to help prevent ozone damage. This allowed southeast Michigan to maintain National Ambient Air Quality Standards. Eight facilities, found dispensing high volatility gasoline during on-site audits, were required to suspend usage until the proper fuels were obtained. Experienced a 32 percent increase in weights and measures complaints since 1999, with a 70 percent increase of complaints alleging violations of the Consumer Pricing and Advertising Act. Six consent agreements were issued, with costs assessed in excess of $23,000; costs were recouped by MDA. Thirty-three warning letters were issued for short weight/measure violations; 11,773 commercial weighing and measuring devices were inspected and approved, another 952 were condemned for repair, and 284 condemned for use. Passed the National Voluntary Laboratory Accredita tion Program on-site audit with no deficiencies noted. Michigan's E. C. Heffron Metrology Laboratory was the second in the United States accredited at the highest (Echelon I) calibration level for mass standards. Marketing and Communications Division The Marketing and Communications Division (MAC) creates a public identity for MDA, and serves divisions within the department as an in-house advertising agency by creating tools for, and offering consultation on, market ing and communications matters. The division also handles marketing opportunities, promotions, publications, special event planning, and agricultural emergencies and disasters for the department. During 2000, MAC: Welcomed a new director of marketing and communications, Kathleen Kissman, in January 2000. Kissman has extensive marketing and communications experience with the Michigan State University Alumni Association, and Sparrow Health System in Lansing. She replaced Margaret Cooke who served as the division's director before retiring in 1999. Implemented a new system for sending news releases by fax, reducing the time and labor involved in distrib uting news releases. Designed a new department logo. Developed a "Guide to the Michigan Department of Agriculture," which identifies executive level staff and all major programs within the department for the Legislature and general public; updated the U-Pick/Farm Market Directory; and published 10 issues of the internal newsletter, "MDA News." Launched the Select Michigan "Great Lakes Great Earth" program to promote the sale of Michigan Christmas trees, nursery stock and bedding plants. The number of food and agriculture companies using the Select Michigan logo increased by more than 400 percent during 2000, the first full year of the promo tion. Held two referendums: The Michigan Cranberry Industry Development Program was approved by referendum, joining 13 other commodity groups organized under the Agricultural Commodities Market ing Act. The Michigan Mint Research and Develop ment Program voted to dissolve their program by referendum, as is permitted in the act. Installed new software to track the purchase of fruits and vegetables covered under the Agricultural Market ing and Bargaining Act. Provided assistance to the U.S. Department of Agricul ture in declaring five agricultural disasters in Michigan, making farmers in 77 of Michigan's 83 counties eligible for low-interest loan assistance. Participated in a successful, five-day ingestion pathway exercise at the Palisades Nuclear Power Plant, which involved department staff collecting actual samples of food and agricultural products for radiological analysis. The departmental hearing officer heard six contested cases, all involving Motor Fuels Quality Act enforce ment actions. Four cases were public hearings involv ing commodity referenda; one was a public hearing involving amendments to Regulation 851, State Fair Rules; and three were public meetings to gather input on Generally Accepted Agricultural and Management Practices pending decision before the Commission. Attracted 85 participants to a Michigan wine industry meeting in February for professional development. Awarded research grants totaling $129,000 for viticul ture and enology research at Michigan State University. Updated the Michigan Grape and Wine Industry Council's Web site to include a consumer response form, and redesigned the Michigan Wine Country publication. Five new wineries opened in 2000 and two small operations closed. Wineries reported increased numbers of visitors to their tasting rooms. Processed 412 Freedom of Information Act (FOIA) requests for MDA in 2000. Michigan Agricultural Statistics Service The Michigan Agricultural Statistics Service (MASS) is responsible for the official Michigan agricultural database, which was established under a formal agreement between Michigan and the U.S. Department of Agriculture's National Agricultural Statistics Service (NASS). During the growing season, MASS conducts numerous surveys and routinely prepares forecasts and estimates on acreage, yield and production of Michigan field crops, fruits and vegetables. Crop-weather information is pro vided weekly during the growing season to reflect current crop conditions and development progress. Growing areas, production and value of Michigan's floriculture industry are published annually. MASS also estimates Michigan's livestock, poultry and dairy populations, and tracks related commodity prices. The estimating program provides information on agricultural land values, farm numbers, land in farms, expenditures and labor. MASS conducts the Michigan Census of Agriculture every five years; supple mental surveys are periodically performed for aquaculture, irrigation, horticulture, and land ownership. Another significant survey component involves collection of agriculture pesticide use data. During 2000, MASS: Assisted MDA with special surveys by: Mailing hearing notices for two public hearings on the proposed Michigan Wheat Industry Program. Conducting a survey, in cooperation with Michigan Integrated Food and Farming Systems (MIFFS), to determine support and product availability for a farmers' market in Clare. The information was used to promote economic development in that Federal Enterprise Community. Provided county estimates for 15 major crop and livestock commodities as part of a cooperative program with MDA. Published the Michigan Rotational Nursery and Christ mas Tree Survey, a complete enumeration of all Michi gan nursery and Christmas tree farms. The bulletin included the number of farms, size of operation, acreage, field or container-grown acreage, and number and acreage (by county) for nurseries and Christmas trees. The bulletin is available in hard copy or on the Internet. MASS began collecting data on the acreage, varieties, and rootstock of Michigan fruit crops in the fall of 2000. Questions were added to the survey to estimate the loss of apple trees due to fire blight in southwest Michigan. The results of the fruit tree inventory will be published in the summer of 2001. Completed the annual mid-June Tart Cherry Objective Measurement Survey in which fruit counts were made on a sample of about 540 tart cherry trees across the state. The data provided current crop production statistics for the Michigan tart cherry industry. The 2000 crop totaled 200 million pounds. Provided support to the Cherry Industry Administrative Board (CIAB) in the areas of administration and field production monitoring, for the tart cherry diversion program. CIAB regulates the amount of fruit going to market in years when supply exceeds demand. National Association of State Departments of Agriculture (NASDA) enumerators, working through MASS, conduct the field work for the tart cherry diversion program. Collected chemical use information on three field crops and 19 vegetable crops. Survey data will be used to evaluate chemical use levels for the Environmental Protection Agency, to use in administering the Food Quality Protection Act (FQPA). Conducted an Agricultural Economics and Land Ownership Survey (AELOS), as a follow-up to the 1997 Census of Agriculture. This demographic infor mation on farm operators and landlords was last done in 1988. Survey results were published in the summer of 2001. Created portable document format (PDF) files for 103 annual agricultural statistics bulletins dating back to 1886; rotational surveys beginning in 1991; the Census of Agriculture for Michigan from 1945-1987; and 45 other crop, livestock, fruit, county and special survey publications. These documents have all been uploaded to the Internet where users can access the information from the Michigan Department of Agriculture's home page. CD-ROM copies of individual files are also available. Released the annual bulletin, which reflected details of 1999 production, stocks, inventory, disposition, utiliza tion and prices of agricultural commodities. Report information included Michigan rankings, record highs and lows, weather, county estimates, chemical usage and farm economics. The Michigan Department of Agriculture's Annual Report was also included in this publication. Worked with the National Association of State Depart ments of Agriculture (NASDA), using telephone and field enumerator staff located throughout the state and employed by NASDA, to assist in collecting data from farmers and agribusinesses. NASDA enumerators also assisted MDA in screening livestock to be tested for bovine tuberculosis in the northeast Lower Peninsula, the Upper Peninsula, and in Antrim, Mecosta and Osceola counties. Pesticide and Plant Pest Management Division The Pesticide and Plant Pest Management Division (PPPM) is the state's focal point for pesticide enforcement activities. In cooperation with the U.S. Environmental Protection Agency (EPA), PPPM enforces laws and oversees programs concerning pesticide sale and use. The division administers programs to protect human health and the environment from potential risks related to improper pesticide use. The division also oversees programs to control exotic pests, certifies nursery stock and other plant material for interstate shipment, conducts inspection and grading of fruits and vegetables, and certifies export commodities. PPPM also ensures the safety and proper labeling of agricultural products such as animal feed, seed, fertilizer, and animal remedies in cooperation with the U.S. Department of Agriculture. During 2000, the divi sion: Conducted several pesticide product and use-related inspections and investigations, including 233 pesticide use investigations, 58 of which occurred in agricultural situations; 116 planned use inspections of pesticide applicator facilities; 55 pesticide-producing establish ment inspections; 20 federal marketplace inspections; and 114 restricted-use pesticide dealer audits. PPPM also conducted compliance and enforcement inspec tions related to the application of worker protection standards. Submitted 22 requests to the EPA for emergency exemptions to allow the use of an unregistered pesti cide to control an emergency pest problem, in accor dance with Section 18 of the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA). Michigan ranked among the top 10 states in the nation in this area of producer assistance. Four 24(c) registrations were issued allowing control of several pest problems for which federally registered pesticide products were not available. Sampled and monitored five commodities, including tart cherries, carrots, blueberries, apples and grapes, as part of the 2000 pesticide residue monitoring project. The data provided a critical link between actual pesticide use and resulting residues in raw and pro cessed commodities. The project also coordinates residue testing with Michigan State University research on new alternatives and pest control efficacy, providing EPA with residue data on new chemistries. Developed and implemented a surveillance program and emergency response plan for arbovirus emergen cies, including West Nile virus, eastern equine enceph alitis, and St. Louis encephalitis. The 2000 Arbovirus Surveillance Program involved individuals from local health departments, state agencies, mosquito control districts, and universities, as well as industry profes sionals and volunteers. Surveillance teams submitted mosquito samples and bird sera from wild birds and sentinel flocks for testing. Administered examinations to 15,631 individuals seeking pesticide applicator certification and registra tion credentials. Prepared final drafts of amendments to Act 451, Part 83, Pesticide Control and Regulation 636, Pesticide Applicators, which are now awaiting movement through the legislative and rulemaking process. Signif icant changes include e-commerce regulatory authority for registration of pesticides, prohibitions for selling pesticides for illegal use (use other than allowed by label directions), minimum age restriction for commer cial certification (18 years), fee increases to support new initiatives, and modifications to applicator certifi cation categories. Implemented an electronic Pesticide Registration Tracking System (PRTS) to facilitate MDA's enforce ment of pesticide registration requirements. It is up dated quarterly with the EPA's pesticide registration database (PPIS), giving Michigan access to the federal registration status of pesticides registered in Michigan. Collected leaf samples from 34,638 stone-fruit trees, distributed across 22 counties, and tested them for Plum Pox Virus (PPV) as part of a national survey. All of the samples tested negative, providing reassurance to Michigan's $1.7 million stone-fruit nursery and orchard industry. Identified the presence of an exotic insect called beech scale associated with Beech Bark Disease (BBD) in Michigan at Ludington State Park. In addition, BBD-induced beech mortality and decline was discov ered in Luce County. An estimated 7.5 million beech trees, representing 800 million board feet of saw timber, have been infected. The infestation is now beyond control and reflects the ongoing problem of new exotic pests moving into Michigan, often without any natural enemies. Coordinated the gypsy moth cooperative suppression program, resulting in the treatment of more than 78,000 acres in 18 counties. The applications provided relief to more than 80,000 residents and 1.3 million parkland users. Inspected and certified more than 12,000 acres of nursery stock, and more than 54,000 acres (830 farms) of commercial Christmas tree production for compli ance with interstate and international trade standards. Issued 830 federal phytosanitary certificates for exports of agricultural commodities valued at approximately $1.2 billion to 39 foreign countries. Conducted more than 12,550 shipping-point inspec tions to determine the grade of produce valued at $14,346,846. Produce entering Michigan from other states and foreign countries, destined for both the fresh market and processing, was also inspected. Developed a new demonstration program for on-farm bulk storage to offer cost-share assistance to farmers in constructing secondary containment structures around 20 existing on-farm bulk liquid fertilizer tanks. Up to $5,000 per site will be provided for construction of new containment structures throughout the state. Conducted more than 630 sanitation inspections of Michigan's 379 grain elevator and feed manufacturing facilities to ensure the safety and integrity of raw grain commodities in storage. The Office of Racing Commissioner The Office of Racing Commissioner (ORC) is an inde pendent agency within MDA that regulates pari-mutuel horse racing in Michigan in accordance with the Horse Racing Law of 1995, as amended, and the rules of the racing commissioner. The racing commissioner, appointed by the governor for a four-year term, prescribes rules, regulations and condi tions under which all pari-mutuel horse racing meets are conducted within the state. The ORC allocates race dates and issues track, race meeting and occupational licenses. In addition, the office collects license and track revenues, appoints stewards and veterinarians to represent the state, approves track-appointed officials, and monitors the daily conduct of horse racing. ORC also conducts equine and human drug-testing programs, and investigates any irregularities in racing that may lead to formal hearings and sanctions. ORC functions primarily as a regulatory agency, but also focuses on improving and promoting horse racing in Michigan. During 2000, the ORC: Hosted meetings in partnership with the Michigan Economic Development Corporation and potential investors to encourage investment in the growth of the horse racing industry. Commenced revision of ORC administrative rules, in cooperation with the Michigan Office of Regulatory Reform. Secured budget supplements for fiscal years 2000 and 2001 to enable continuation of strong regulatory processes along with upgrades in several areas, includ ing testing procedures at MDA's Geagley Laboratory. Strengthened regulatory drug testing standards for human and equine racing participants, including the addition of a Lasix Quantitation Program and a blood-carbon testing program (TCO2). Authorized 1,009 rulings issued by state stewards. Of these rulings, 993 penalties were enforced, with fines assessed in the amount of $53,890; 16 of the rulings are still pending final action. Based on appeals of these rulings, the ORC conducted 26 formal hearings in accordance with the Horse Racing Law of 1995, as amended, and the rules of the ORC. Reengineered race track technology with the installa tion of a new computer system for Michigan's seven pari-mutuel tracks, resulting in streamlined licensing procedures for owners, trainers, veterinarians and others. Issued more than 6,550 occupational licenses in 2000. Established an ORC Information Office to increase media coverage of horse racing as an entertainment and sporting event. Established a Michigan horse racing historical project to create permanent and traveling exhibits to be housed and shown at museums and county fairs throughout the state. Conclusion As you can see, the Michigan Department of Agriculture plays an extensive role in the daily lives of Michigan residents. The administration and staff of MDA respect fully submit this report to the citizens of Michigan. We hope you find it informative and helpful. For more information about the Michigan Department of Agriculture, please contact us. Phone: 517-373-1104 or 800-292-3939 Mail: P.O. Box 30017, Lansing, MI 48909 Web: www.mda.state.mi.us E-mail: mdainfo@state.mi.us