Adoption of Agenda

THE CHAIR ASKED FOR ANY REVISIONS TO THE AGENDA AND HEARING NONE HE ORDERED ADOPTION OF THE AGENDA AS DISTRIBUTED PRIOR TO THE MEETING. THERE WERE NO OBJECTIONS.

Minutes of the November 16, 2006 Meeting

THE CHAIR ASKED FOR ANY REVISIONS TO THE MINUTES OF THE NOVEMBER 16, 2006 MEETING AND HEARING NONE HE ORDERED ADOPTION OF THE MINUTES AS DISTRIBUTED PRIOR TO THE MEETING. THERE WERE NO OBJECTIONS.

NEW BUSINESS

Eligibility Review of New Winery: Black Star Farms-Old Mission
Karel Bush stated that she received an application from Black Star Farms-Old Mission, to be added to the Council's list of producers of Michigan wine. After investigation, Karel recommended to the Council that Black Star Farms-Old Mission be approved.

MOTION: DAVE MILLER MOVED THAT THE COUNCIL ACCEPT THE RECOMMENDATION AND APPROVE BLACK STAR FARMS-OLD MISSION AS A "PRODUCER OF MICHIGAN WINE" FOR PROMOTIONAL PURPOSES OF THE COUNCIL. AMANDA DANIELSON SECONDED. MOTION CARRIED UNANIMOUSLY.

STAFF REPORT - BOB CRAIG

Economic Impact Report compiled by MKF Research
A revised preliminary report was mailed to Council members prior to the meeting. Bob asked Dr. Bill Knudson, from the MSU Product Center, to comment on the report. Bill stated that it is a "solid report" and that he is reviewing the statistics to ensure that no "double-counting" took place in the study. Bob asked how this report compares to the 2006 Michigan agri-food study conducted by MSU. Bill responded that the agri-food study took a much broader perspective; neither wine nor any other individual product was singled out. Chair Irwin asked whether any events are being planned to announce the results. Don Coe commented that WineMichigan will distribute the information to new legislators. He suggested one opportunity is Ag Day at the Capitol, March 21, 2007, and that WineMichigan will have a booth along with representatives from the juice-grape industry. Melinda Remer suggested Council staff schedule time on WJR radio. David Creighton will follow up with her. Steve Arbaugh commented that, if possible, there should be a breakdown of wine-grape bearing acres for Native American varieties. Bob responded that the information is not available from the National Agricultural Statistics Service. Dave Miller commented that since St. Julian contracts with growers for a great majority of the Native American grapes for wine, he could work with Bob to calculate the acreage using St. Julian's information. Bob thanked the Council for their input and stated that he would accept any additional comments through Tuesday, January 16, then would forward all suggestions to Linda Jones to present to MKF Research for the final report.

STAFF REPORT - DAVID CREIGHTON

Wine Industry Annual Meeting
Agenda and registration materials are online. The agenda is set and plans are moving forward with Crystal Mountain. Don Coe commented that the Leelanau Peninsula Vintners believe that the meeting has a strong agenda this year.

STAFF REPORT - KAREL BUSH

Michigan Wine Country Magazine
Staff is on schedule with HOUR Custom Publishing regarding content for the magazine. Print quantity is 200,000 again. The magazine will be distributed a week earlier than previous years, to help ensure that it is received before April to help announce Michigan Wine Month. Dave Miller asked whether there are any special Wine Month events planned. David Creighton responded that several wineries have events scheduled, and that Council staff is developing new point-of-sale materials to use for promotion. Melinda Remer asked whether the POS materials could be used at the Welcome Centers. David and Karel will follow up with Travel Michigan. Don Coe commented that Old Mission (WOMP) and Leelanau (LPVA) Peninsulas are planning a joint event.

MSU HIRING REPORT - RON PERRY

• MSU has hired a post-harvest biologist.
• Dr. Paolo Sabbatini has been hired to fill Dr. Stan Howell's position. He will be introduced at the Annual Meeting and will participate in the MSU Roundtable discussion. Ron commented that Dr. Sabbatini has a very interesting background and that staff might consider an article about him in the 2008 Michigan Wine Country magazine.
• There were two qualified applicants for the Enology Extension Specialist position, but both withdrew their applications. Ron stated that there is a need to reevaluate the position and review options. There are few people with academic credentials plus the winery experience they are requiring for this position. There is also a concern for future funding of the position. The Council has pledged $100,000 for two years, but there is no plan for funding beyond that. The position needs sustainable, renewable funding. Ron asked Karel whether time can be allotted at the Annual Meeting to provide an opportunity to meet with members of the industry and discuss the issue. Karel will work with Ron to find time on the agenda.
• MSU is part of the "NE1020" grape research project. Two-thirds of the cost for plantings will come from the Viticulture Consortium East. Ron will be approaching the Council at a later date to request funding for the remaining one-third ($4,620).

RESEARCH AND EDUCATION ADVISORY COMMITTEE (REAC) REPORT - DAVE MILLER

• Dave is working with Charlie Edson and Chris Guest on the Winemaker's Chardonnay Tasting for the Annual Meeting. Charlie commented that the format for the winemaker's tasting is based on a survey of winemakers.
• Great Lakes Expo in December was very well-attended.

PROMOTION COMMITTEE REPORT - LIZ BERGER

• A report was already given on the Michigan Wine Country magazine, but Liz emphasized that it is a very important promotional tool for the Council.
• Linda Jones and David Creighton attended a joint meeting of the Old Mission and Leelanau Peninsula wineries and provided input on ways the Council can help promote their upcoming joint event.
• The Michigan Wine Wheel is now available. Samples will be sent to all wineries along with order forms. The order form is also online.
• Liz encouraged wineries to plan events for April as Michigan Wine Month and to communicate with the Council about those events.

PUBLIC COMMENT

Don Coe, representing WineMichigan, stated that after the direct shipping battle, the association has not been very busy. However, there is potential legislation on the horizon regarding an excise tax replacing the SBT (Single Business Tax). WineMichigan will meet with the Michigan Beer and Wine Wholesalers to work on these issues together. Don also stated that the Michigan Department of Treasury has been inconsistent in state audits and that information has been forwarded to Senator McManus.

OTHER BUSINESS

• Proposed 2007 meeting dates: May 10, in Lansing; August 27-28, Strategic Planning Session, in East Lansing; and November 15, in Lansing.
• Chair Irwin asked whether the Governor's office might be involved in events to commemorate Michigan Wine Month. He also noted that the National Governor's Conference is coming up quickly, in July, and that the Governor will be open to suggestions on how to choose Michigan wines for conference-related events. Liz Berger commented that the WOMP/LPVA joint event will create an educational opportunity for restaurateurs in Traverse City, with expert speakers and presenters. Amanda Danielson offered to participate in any meetings regarding the conference. Don Coe commented that there has been very little communication regarding the conference from the Governor's office. The conference is to be held at the Grand Traverse Resort, and Don stated that it will be necessary for the Governor to request Michigan wines be served. Melinda Remer suggested FAM (familiarity) trips be coordinated for the media in attendance. Chair Irwin suggested that Council staff invite the Governor's conference representative to the Welcome Reception and Banquet at the Annual Meeting.

ADJOURNMENT
The meeting was adjourned at 11:25 a.m.