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County Farm Bureau Relationship Agreement
As proposed by MFB Board of Directors - Adopted September 2, 2019
• A pool payment and distribution system will take effect September 1, 2020.
• Discontinuance of CFB costs for dues mailing notice and membership ID cards as of September 1, 2020.
• Discontinuance of the per member technology fee for access and upkeep of office equipment such as computers, software, printers, etc. as of September 1, 2020.
• Elimination of the County Farm Bureau Grant Program as of September 1, 2019.
• Continued sponsorship payment of $1 from Farm Bureau Insurance to CFBs.
• The MFB Board of Directors will appoint a member committee to review the results of this new financing method every 2 years.
Michigan Farm Bureau & Farm Bureau Insurance will provide $100,000 in assistance to counties for the 2019-2020 CFB fiscal year with distribution based on membership size and liquidity.
Pool payment and distribution criteria that will take effect September 1, 2020.
• Each county Farm Bureau will be receiving $16.25/member ($11.25 currently received + $5.00 bylaw change passed in 2018 to $50.00 dues)
• Pool is created by CFB contributions based on their associate member totals.
• CFBs with less than 5,000 associate members will not contribute.
• CFBs with greater than 5,000 associate members will contribute 80% of the revenue they receive for associate memberships between 5,000 & 10,000.
• CFBs with more than 10,000 associate members will contribute 90% of revenue derived from those memberships to the pool.
• Pool is distributed to each CFB based on their regular membership totals.
• Each CFB is guaranteed a minimum floor of $15,000 in revenue from the pool, no matter their membership size.
• CFB’s will receive monthly payments for these amounts from MFB.
Discontinuance of CFB costs for dues mailing notice and membership ID cards as of September 1, 2020.
Currently, CFB’s pay $1.41 per member to cover the costs associated with dues notice mailing and membership ID cards. These costs will be incurred by Michigan Farm Bureau instead.
Discontinuance of the per member technology fee for access and upkeep of office equipment such as computers, software, printers, etc. as of September 1, 2020.
These costs will be reviewed in the future, but that fee will be dropped until such a review has occurred.
Elimination of the County Farm Bureau Grant Program.
This new pool payment/distribution structure will replace the current CFB Grant program, which will be discontin- ued as of Aug 31, 2019, with payouts from round 2 of the 2018-2019 cycle ending in February 2020.
• Counties will not pay into the grant program for the 2019-2020 membership year.
Continued sponsorship payment of $1 from Farm Bureau Insurance to CFBs. Continue Core Program with counties contributing $2/member
• MFB currently contributes an approximate $400,000 to core program funding and will continue to do so.
The MFB Board of Directors will appoint a member committee to review the results of this new financing method every 2 years.