The BC Farm Industry Review Board has found the BC Milk Marketing Board violated its pledge to not involve itself in the financing arrangements for Dairy Innovation West, the new processing plant jointly owned by dairy producers in the four Western provinces.
Writing to BC FIRB in May 2020, then-BC Milk chair Ben Janzen confirmed “that no funds will be invested in the DIW initiative, either directly or indirectly, from the [milk marketing board].”
But earlier this year, BC Milk confirmed that it had advanced funds to Dairy Innovation West under a cash flow agreement, using funds drawn from producer levies. These payments totalled $310,331.45.
“BCFIRB finds that the ‘prepayments’ provided by the Milk Board to DIW … under the cash flow agreement constitute a direct contravention of the April 23, 2020 direction by BCFIRB, and the responding commitment made by Chair Janzen,” BC FIRB chair Peter Donkers wrote in a July 10 letter to current BC Milk chair Janice Comeau.
While the deductions have ceased, BC FIRB has asked BC Milk to confirm the steps being taken to recover the funds advanced to DIW and return them to the producer levy pool.
It has requested an answer on or before July 26.
Separately, several members of BC FIRB who were set to see their terms expire at the end of July have been reappointed.
These include Pawan Singh Joshi and Dennis Lapierre, reappointed for one-year terms ending July 31, 2025, and Wendy Holm, who will serve a further two years through July 31, 2026.
BC FIRB vice-chair Neil Turner has also been reappointed for two years, until July 31, 2026, while chair Peter Donkers has been appointed for an additional six weeks, through December 31, 2024.
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