Last month, Minnesota cattle producers were asked to vote on a proposed refundable increase to the state beef checkoff.
On Tuesday, the Minnesota Department of Agriculture announced that the statewide referendum failed, falling three votes short of passage.
Since 1986, cattle producers in the state have been paying a $1 beef check-off fee for each head of cattle sold. A proposed fee increase would've raised that amount to $1.50, with the option to request a $0.50 refund per head.
According to the Minnesota Department of Agriculture, a total of 3,477 ballots were mailed to producers. Out of eligible ballots submitted, 380 ballots were submitted in opposition and 377 votes were in favor.
Currently, half of every dollar generated through the checkoff goes to the Minnesota Beef Council. The other half goes to the national Cattlemen’s Beef Board, the organization that oversees the collection of the National Beef Checkoff.
Both nonprofits use the revenue to help fund advertising, marketing, public relations, education, research and product development aimed at increasing beef consumption at the state and national levels.
The National Beef Council reported that for every dollar collected through the national checkoff, about $13 is returned to producers in higher beef prices due to increased demand.
A spokesperson for the Minnesota State Cattlemen’s Association previously said the increase was intended to keep up with rising operating costs.
A previous $1 checkoff raise was also rejected by producers over 10 years ago, with 63 percent of voters opposed.
