JANUARY — MARCH 2026
A NEW VOICE FOR THE COLLECTIVE CHAIR ROB YRACEBURU LEADS WESTERN GROWERS INTO ITS 100 TH ANNIVERSARY
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Features
A NEW VOICE FOR THE COLLECTIVE Chair Rob Yraceburu Leads Western Growers into its 100 th Anniversary 20 A LOOK BACK AT THE WESTERN GROWERS 2025 ANNUAL MEETING 24 THE POWER OF SAYING YES WGW Grad Jenny Garley's Journey in Ag 30 A SHEEP, A PIG AND A CALF Lesa Eidman and a New Era of Ag Leadership 33 FROM ONE ACRE TO 200 FARMS How Lumo Is Redefining Smart Irrigation 37
WESTERN GROWER & SHIPPER Published Since 1929 Volume XCVII | Number 1
To enhance the competitiveness and profitability of Western Growers members
Dave Puglia President and CEO Western Growers davep@wga.com
Editor Michelle Rivera 949.885.4778 | mrivera@wga.com
Contributors Cierra Allen callen@wga.com Ann Donahue
adonahue@wga.com Michael Escañuelas hello@mescanuelas.com Emily Gengler egengler@wga.com Taylor Lauson tlauson@wga.com Cory Lunde clunde@wga.com Emily Lyons
Inside This Issue
4 President’s Notes 6 Law of the Land 10 H-2A 13 Advocacy | California 14 Innovation 16 Health and Wellness 40 Member Profile 42 WG Member Welcome and Anniversaries
45 WGCIT Resident Profile 46 WG Leadership Program 48 Updates from the WGCIT 49 WG News You Can Use 52 Connections 53 Contact Us 54 Farm Dogs and Barn Cats of Western Growers
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Circulation 949.885.2248 | communications@wga.com
Advertising Sales Dana Davis 302.750.4662 | dana@tygermarketing.com TOGETHER. WGA.COM
Western Grower & Shipper ISSN 0043-3799, Copyright © 2026 by the Western Grower & Shipper is published quarterly by Western Grower & Shipper Publishing Company, a division of Western Growers Service Corp., 6501 Irvine Center Drive, Suite 100, Irvine California 92618. Business and Editorial Offices: 6501 Irvine Center Drive, Suite 100, Irvine California 92618. Accounting and Circulation Offices: Western Grower & Shipper, 6501 Irvine Center Drive, Suite 100, Irvine California 92618. Call (949) 863-1000 to subscribe. Subscription is $25 per year. Foreign subscription is $50 per year. Single copies of issues, $2. Periodicals postage is paid in Irvine, California and at additional mailing offices. POSTMASTER: Send address changes to Western Grower & Shipper, PO Box 2130, Newport Beach, California 92658.
3 Western Grower & Shipper | www.wga.com January – March 2026
A MORE INCLUSIVE DEFINITION OF PUBLIC BENEFIT IN WATER INFRASTRUCTURE By Dave Puglia, President and CEO
••• Staring at the reality of shrinking water supplies, today many of the farmers in the San Joaquin Valley are looking toward a future that looks far different than the one preceding generations envisioned and achieved. Many are talking about downsizing operations or selling to investors. We are assured that the state’s water policy direction is toward resiliency, but resilience that accommodates some interests at the expense of others doesn’t create anything resembling resiliency for the losers. We are stumbling from one year to the next, all the while diminishing reliability and affordability for water users, especially for our state’s farmers and the millions of people connected to the ag economy. And that is why we must redefine public benefit. When a storage project dies, the impacts go far beyond the state’s narrow definition of “beneficiaries.” As the Sustainable Groundwater Management Act and constricted water supply via the Delta are demonstrating already, when farming scales back due to water cuts, the economic well-being of entire regions and millions of people is threatened. Sure, a canal delivers water to a farm, but that farm and thousands like it together form the foundation of a regional economy. The people who own and work in businesses that are “ag-adjacent” are as much the beneficiaries of water delivered to farms as the farmers themselves. And California writ large is the beneficiary of a large and vibrant agriculture sector, thanks to the tax revenue it generates. This state will not build big water projects again unless we toss this outdated and narrow-minded policy out the window. A change in policy like that is no small thing. The words themselves—public benefit, and its partner “beneficiary pays”—have been given holy status in Sacramento. But it needs to change.
During his presidency, Dwight D. Eisenhower warned the American people about the dangers of what he termed the Military-Industrial Complex: the increasingly tight relationship between a segment of the government and a sector of the economy, each able to serve the other’s interests at the expense of the greater public interest. Today in California, we suffer from a form of this. Some environmental organizations—not all, to be sure—have made it their mission to work inside the regulatory process, frequently complemented by litigation, to create endless process delays and to place so many barriers in front of a water infrastructure project that it finally collapses. Regulatory agencies have largely accepted a narrowing of the aperture through which water projects must pass; no longer representing the public interests of the voters and taxpayers but instead a segment of “stakeholders” whose sole purpose is, seemingly, to thwart the expressed will of the voters. Let’s not pretend that environmental organizations of this sort are solely motivated by environmental objectives. These are non-profit organizations, but they do have financial motivation. A successful non-profit employs people and can pay them well, assuming it has a motivated and reliable base of financial backers. Nothing wrong with that, as far as it goes. But ask yourself: What would happen if an environmental non-profit declared victory? What if it told its backers, “We identified this environmental crisis, you all stepped up to help us work on public policy solutions to address it, and it worked! We fixed it!” Of course no one would do that, because their financial backers would move on to something else and a bunch of people employed by those organizations would be looking for jobs. But here’s the thing: They have enormous credibility in California, both with voters and with policy makers. They wear white hats. I, on the other hand, wear a black hat. Not in my own mind, of course, but that’s the perception of my industry propagated by environmental and labor organizations and many of their allies in Sacramento. We in the agriculture industry are labeled “Big Ag,” or “Corporate Ag.” The truth is far different. Only 2.5 percent of California farms are non-family owned corporations. And only 4 percent of California’s farms are more than 2,000 acres.
This column is excerpted and modified from a speech given by Dave Puglia at the Association of California Water Agencies (ACWA) 2025 Conference in San Diego on Dec. 3, 2025.
4 Western Grower & Shipper | www.wga.com January – March 2026
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NEW CALIFORNIA EMPLOYMENT LAWS FOR 2026 By Teresa McQueen, Corporate Counsel
California’s 2025 legislative session introduced important changes impacting employers and employees. Out of a total of 917 bills, 794 became law, including approximately 70 that focused on employment issues. Employers should act promptly to ensure compliance with the new regulations, effective Jan. 1, 2026, unless otherwise specified. California’s minimum wage has increased from $16.50 per hour to $16.90 per hour. The increase also affects the minimum salary threshold for exempt employees, raising it from $68,640 per year (or $5,720 per month) to $70,304 per year (or $5,858.67 per month). Employers must also be mindful of local minimum wage increases. For information on which cities/ counties are set for a January 1 increase, review the UC Berkeley Labor Center’s inventory of city and county minimum wage information. AB 406 – Victims of Violence (Effective Oct. 1, 2025) AB 406 restores and recasts specific Labor Code sections that were deleted by last year’s AB 2499 (expanded employee protections for victims of “qualifying acts of violence” and their family members, aligning these rights with the Fair Employment and Housing Act). AB 406 provides important clarifications regarding jurisdiction over claims between the Division of Labor Standards Enforcement and the Civil Rights Department. The restored Labor Code sections now align with the Fair Employment and Housing Act (FEHA), specifically incorporating existing provisions that allow crime victims to utilize paid sick leave for crime-related purposes. These changes clarify that employees may use paid sick leave for jury duty and for court appearances when serving as witnesses under subpoena, in addition to expanded unpaid leave rights to support victims of serious crimes and their designated family members. The legislation also reinforces employers’ obligations to provide written notice of these rights, maintain strict confidentiality, offer reasonable accommodations and allow the use of accrued paid leave for activities connected to crime or abuse. SB 303 – Bias Mitigation Training (Effective Oct. 1, 2025) SB 303 strengthens an employer’s ability to provide bias mitigation training. Effective Oct. 1, 2025, SB 303 clarifies that an employee’s good-faith participation in bias mitigation training—including self-assessment,
testing, or acknowledgment of implicit biases—cannot, by itself, be considered unlawful discrimination. SB 303 is meant to encourage employers to conduct bias mitigation training, including self-reflection exercises, workshops and facilitated discussions, without fear of legal retaliation or discrimination claims arising solely from those activities. The statute explicitly states that such participation will not constitute unlawful discrimination as long as it’s conducted in good faith and is intended as part of comprehensive bias mitigation training. SB 464 – Employer Pay Data (Job categories expand effective Jan. 1, 2027) SB 464 makes key updates to pay data reporting requirements. Employers must now collect and store demographic data for reporting separately from personnel records. Beginning Jan. 1, 2027, the number of job categories to report will expand from 10 to 23 (See Govt. Code Sec. 12999(b)(1(A-W)). Courts are also now required to impose civil penalties if employers fail to submit reports when requested by the Civil Rights Department, emphasizing the importance of compliance. "SB 303 is meant to encourage employers to conduct bias mitigation training, including self- reflection exercises, workshops and facilitated discussions, without fear of legal retaliation or discrimination claims arising solely from those activities."
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when an alleged unlawful compensation decision or practice is adopted; an individual becomes subject to the decision or practice; or an individual is affected by the application of the decision or practice. AB 692 – Contracts in Restraint of Trade AB 692 prohibits employment contracts from requiring workers to pay debts, fees or penalties if their employment ends, or allowing debt collection to resume upon termination. Such contract terms are void as against public policy because they restrict lawful employment. Limited exceptions exist for separately offered contracts to repay tuition for transferable credentials and employees must be informed of their right to consult an attorney and given at least five business days to do so before signing. The statute allows employees or their representatives to bring private lawsuits for violations, with penalties including actual damages or $5,000 per worker, plus injunctive relief and attorney’s fees. AB 288 – Labor Organization (Litigation Pending) AB 288 amends the Labor Code to expand the jurisdiction of California’s Public Employment Relations Board (PERB), a state agency with the authority to enforce federal labor laws in the absence of action by the National Labor Relations Board (“NLRB”), and allows PERB to resolve private sector issues of federal labor law and grant appropriate relief if the NLRB has expressly or impliedly ceded jurisdiction. In addition to allowing PERB to order any appropriate remedy, including injunctive relief and penalties to resolve unfair labor practice charges, AB 288 grants PERB the authority to assess civil penalties in the amount of $1,000 per worker per violation to employers it finds have engaged in a pattern or practice of committing unfair labor practices. The legality of AB 288 was immediately challenged by the NLRB, which filed a lawsuit against the State of California and PERB seeking to block enforcement of the new statute. The NLRB contends that AB 288 is preempted by the National Labor Relations Act (NLRA) and that it violates the Supremacy Clause of the U.S. Constitution.
SB 261 – DLSE: Orders, Decisions and Awards SB 261 requires the Labor Commissioner to post a copy of any order, decision or award on its website no later than 15 days from when the deadline to appeal the decision expired, and no appeal is pending. SB 261 also requires the Labor Commissioner to post the information of employers with unsatisfied judgments when the time to appeal has expired and no appeal is pending, with provisions for the removal of such information and advance notice to such an employer. Additionally, SB 261 creates a new civil penalty of three times the outstanding judgment when an employer has a final judgment for nonpayment of wages that has remained unsatisfied for 180 days after the time to appeal has expired and that has no appeal pending. SB 642 – Payment of Wages SB 642 updates the state’s Equal Pay Act (the Act). Changes include redefining the terms “pay scale,” “sex,” “wages” and “wage rates,” extending the statute of limitations for commencing a civil action to recover wages, and providing guidance on what constitutes a violation under the Act. The Act currently defines “pay scale” as the salary or hourly wage range that the employer reasonably expects to pay for the position. SB 642’s revised definition makes clear the term means, “a good faith estimate of the expected wage range that an employer reasonably expects to pay for the position upon hire.” SB 642 also clarifies that employers are prohibited from paying employees at wage rates less than the rates paid to employees of “another sex” instead of the “opposite sex.” The statute also clarifies—for purposes of the Act only—that “wages” and “wage rates” include all forms of pay, including, but not limited to, salary, overtime pay, bonuses, stock, stock options, profit sharing and bonus plans, life insurance, vacation and holiday pay, cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses and benefits. SB 642 also extends the limitations period to bring a civil action to recover wages to no later than three years after the last date the cause of action occurs and allows an employee to obtain relief for the entire period of time in which a violation exists, limited to six years. Further revisions make clear that a cause of action occurs
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SB 294 – The Workplace Know Your Rights Act (Effective Jan. 1, 2026; notice requirements effective Feb. 1, 2026) The Workplace Know Your Rights Act (SB 294) requires the California Labor Commissioner to post a Notice template for employers by Jan. 1, 2026, with annual updates released thereafter. The Notice is required to provide information on workers’ compensation, immigration protections, union rights and constitutional protections during law enforcement interactions at the workplace. Employers are required to provide this Notice to employees by Feb. 1, 2026, and annually thereafter, as well as to new hires and, if applicable, employee representatives (e.g., union representation). Notices must be in the language commonly used by the employer (if provided by the Labor Commissioner), and employees must be allowed to designate an emergency contact in case of arrest or detention at work by March 30, 2026. Penalties for noncompliance include up to $500 per employee per violation, and for emergency contact violations, up to $500 per day (maximum $10,000 per employee). SB 617 – Cal-WARN Under Cal-WARN, employers must give 60 days’ written notice before mass layoffs, relocations or terminations. SB 617 adds that this notice must state whether the employer will coordinate services with the local workforce development board (LWDB), provide details on CalFresh food assistance (including the helpline and website) and include contact information for both the LWDB and the employer. The notice must also include a statutory description of LWDB rapid response services to help laid-off workers find new jobs. If coordinated services are offered, they must be arranged within 30 days of the notice. SB 590 – Paid Family Leave (Effective July 1, 2028) SB 590 expands California’s Paid Family Leave program to cover individuals caring for a “designated person,” defined as someone related by blood or with a family-like relationship. Starting July 1, 2028, employees can receive wage replacement benefits for caring for such individuals, provided they identify and attest to the relationship under penalty of perjury. SB 513 – Personnel Records SB 513 expands the scope of personnel records that current and former employees, or their representatives, have the right to inspect and receive a copy of to include education or training records. The new statute also requires employers who maintain education or training records to ensure those records include the name of the employee and the training provider, the core competencies of the training and any resulting certification or qualification earned. SB 59 – Change of Name or Gender and Sex Identifier SB 59 imposes stricter requirements on employers to ensure that medical information obtained in the course of employment is kept strictly confidential and used only for legitimate business purposes. Maintaining confidentiality is mandatory under SB 59, meaning that medical details—such as health conditions, treatment records or related documentation—cannot be disclosed except in limited circumstances specifically authorized by law, such as compliance
with subpoenas, benefit administration or workers’ compensation claims. For any other disclosure of medical information, the employee’s explicit written authorization is required. SB 446 – Data Breaches SB 446 updates California’s data breach notification rules, requiring businesses to notify affected residents within 30 days of discovering a breach. If more than 500 residents are affected, a sample notice must be sent to the Attorney General within 15 days. Notification can be delayed for law enforcement or to assess the breach. SB 446 also sets a standard notice format and makes missing the 30-day deadline “per se” evidence of a violation, with possible fines and private lawsuits under the California Consumer Privacy Act (CCPA). Regulatory Enforcement – CPPA: Automated Decision- Making Technology (ADMT) (Effective Jan. 1, 2027) The California Privacy Protection Agency (CPPA) is responsible for creating and enforcing California’s Privacy Rights Act (CPRA) regulations. In its second round of regulatory enforcement, the Agency is focusing on ADMT as it applies to significant decisions in the employment and job applicant contexts. Specific triggers for compliance arise when an organization subject to the CCPA uses ADMT to make significant employment decisions, such as those related to hiring, promotions or benefits. Compliance is also required for activities that present a high privacy risk—including selling or sharing personal information, processing sensitive personal data or profiling employees or candidates. Additionally, businesses that meet certain size thresholds, such as generating more than $50 million in annual revenue, may be subject to cybersecurity audit requirements, with phased deadlines beginning in 2028. Entities not covered by these new regulatory requirements include non-profit organizations and any organization that does not fall within the scope of the CCPA—such as those not meeting the relevant thresholds or not handling the personal data of California residents. "Out of a total of 917 bills, 794 became law, including approximately 70 that focused on employment issues. Employers should act promptly to ensure compliance with the new regulations, effective Jan. 1, 2026, unless otherwise specified."
8 Western Grower & Shipper | www.wga.com January – March 2026
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H-2A’S BIG BANG Why 2026 Could Be the Year Growers Go All In By Jason Resnick, Senior Vice President and General Counsel
Instead of betting on a single policy shift, growers should watch what happens when two trends move at the same time: a tighter labor market driven by enforcement and border dynamics, and a federal wage framework that suddenly makes H-2A more competitive. Either trend alone would be manageable. Together, they could change hiring decisions across the West in a single season. That’s why 2026 has the makings of an inflection point for H-2A usage in California, Arizona, Colorado and beyond. Two developments—one on enforcement, one on wages—are combining to make the “status quo” labor model less available, while simultaneously making the legal guestworker alternative more economically workable. Enforcement is tightening the labor spigot—whether agriculture is targeted or not Immigration enforcement doesn’t have to target agriculture to squeeze agriculture. It only has to reduce the flow of unauthorized individuals turned falsely documented workers and increase the perceived risk of living and working in the shadows. Employers then face the same hard reality: fewer applicants, higher turnover and more volatility in the workforce. The Trump administration has officially declared that the southern border is “the most secure in history.” In a year-end review released by the Department of Homeland Security (DHS) in late December 2025, the Administration stated that it had “secured the border in record-time.” This sentiment has been echoed by President Trump in recent press conferences and official proclamations, often highlighting that his executive actions have effectively “closed” the border to illegal crossings. At the same time, DHS has removed more than 622,000 undocumented persons and 1.9 million more have self-deported, and 70 percent of those arrested by U.S. Immigrations and Customs Enforcement (ICE) are criminal aliens who have been charged or convicted of a crime in the U.S., according to the same DHS report. This tracks with Administration’s statements that ICE is focused on arresting and removing the “worst of the worst” criminal aliens. At the same time, ag worksite enforcement has been muted. It’s important to note that just because agriculture hasn’t been affected yet doesn’t mean it can’t be. Policies might shift rapidly and not align with harvest schedules. And even when farms aren’t the focal point, pressure
in adjacent rural areas can still disrupt local farm labor availability. When the domestic labor market becomes less reliable and the legal alternative becomes less expensive, for many operations, H-2A starts to look less like an emergency tool and more like the only scalable way to staff a crop. AEWR reform changed the math For years, many growers in the West treated H-2A like a generator you hope you never have to use: indispensable in an emergency, expensive and complicated in normal times. The single biggest reason has been cost, starting with the Adverse Effect Wage Rate (AEWR). Growers can manage housing (if they can find it) and transportation if they must. But when the wage floor sits several dollars above the next best alternative—especially in a state already carrying high labor and compliance costs—the program becomes hard for many to justify except in periods of acute shortage. Then came the Department of Labor’s October 2025 Interim Final Rule (IFR), which overhauled how the AEWR is calculated for most H-2A non- range occupations. In general terms, the rule shifts the wage methodology away from USDA Farm Labor Survey (FLS)-based rates and toward Bureau of Labor Statistics wage data, with added “skill level” concepts that, in practice, are expected to classify many common H-2A jobs as entry-level. Moreover, an “adverse cost adjustment” (ACA) of $1.00 to $3.00, depending on the state, may be reduced from the AEWR to account for the cost of providing housing free of charge to H-2A workers. Layer on the fact that employers still must pay the highest applicable wage floor (which can include minimum wage), and the result is a meaningful reshuffling of what “H-2A labor” costs in many Western states. None of this eliminates the program’s non-wage costs. But it does compress the wage spread in a way that can turn H-2A from “last resort” into something closer to a default plan. Three Western-state examples California remains the easiest illustration, because the delta is dramatic. California Under the pre-IFR baseline that growers were budgeting against, California’s AEWR for 2025 was $19.97/hour.
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California’s statewide minimum wage effective Jan. 1, 2026 is $16.90/hour. If the IFR survives a court challenge—and if a large share of H-2A job opportunities land in entry-level classifications, as expected—many California employers may find that the operative wage floor for a substantial portion of H-2A roles is effectively $16.90, not north of $19.97, as the AEWR certainly would have been under the FLS in 2026. That is a major swing for any employer, especially those considering a multi-crew program. Arizona Arizona’s 2025 AEWR was $17.04/hour. Arizona’s new AEWR is $15.32, and the 2026 minimum wage is $15.15/hour. After applying the ACA of $2.10, the minimum wage becomes the floor for Level 1 H-2A workers. The spread is smaller than California’s,
but it is still meaningful. In labor-intensive crops where margins are tight and harvesting windows are unforgiving, the difference between “H-2A is viable” and “H-2A is a bridge too far” often comes down to a couple of dollars an hour. When multiplied across hundreds of workers and thousands of hours, the savings really add up. Colorado Colorado’s 2025 AEWR was $17.84/hour. Colorado’s 2026 AEWR is $16.28, and the minimum wage is $15.16/hour. Again, after applying the ACA, the minimum wage is the wage floor for H-2A workers. The point is not that every employer in every state will suddenly pay minimum wage for H-2A workers. The point is that the wage structure has shifted enough that a program once dismissed as
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“too expensive for our operation” may now look like the best way to stabilize staffing. The lawsuit risk is real Nothing that lowers labor costs in today’s climate goes unchallenged. Labor advocates have filed suit in federal court seeking to block or narrow the IFR, arguing it unlawfully suppresses wage rates and was issued improperly. That litigation could change the landscape quickly, including through the risk of injunctive relief. This matters for two reasons. First, an injunction could lead to mid-season whiplash—re- certifications, revised wage obligations, or uncertainty about which methodology applies. The last thing any grower needs is a moving target when the crop is ready and the crew is on the clock. Second, even without an injunction, uncertainty changes behavior. Employers may proceed with H-2A because they need workers, but they will also hedge, structuring contracts and budgets with contingencies in case the wage floor snaps back upward. Why 2026 could be the year H-2A “crosses the Rubicon” If you want the simplest case for explosive growth, it’s this: enforcement volatility increases the cost of relying on an unauthorized labor market, while wage reform decreases the cost of using the authorized one. H-2A has already been trending upward nationally for years. What has limited broader adoption in parts of the West is not whether the program works. It’s whether it pencils out for more than a subset of operations—especially those without large existing housing inventories or the administrative capacity to run a fully compliant shop. In 2026, many employers may find that the numbers finally justify building H-2A capacity that can grow with the business, rather than using the program only when they have no other choice. Practical advice for Western growers: assume the surge is coming If you expect 2026 to bring a wave of H-2A adoption, the operational question is whether your organization will surf it— or get stuck behind it. Here are steps I recommend employers take now: 1) Treat H-2A as a business strategy, not a filing exercise. H-2A success is less about submitting forms and more about building repeatable processes: training, meeting filing deadlines, housing inspection readiness, transportation plans, onboarding, supervision, discipline and timekeeping. 2) Work with experienced professionals, and vet them like critical vendors. H-2A is unforgiving. A missed recruitment step or sloppy recordkeeping can mean delays, denials, back wages or debarment
exposure. For many employers, partnering with a qualified attorney or filing agent, such as Western Growers H-2A Services, and reputable visa facilitation companies can be the difference between a scalable program and a ticking time bomb. 3) Modernize onboarding and worker tracking before you scale. As H-2A numbers grow, the “spreadsheet-and-stapler” approach breaks. Employers should consider a modern H-2A onboarding and tracking program, such as H2 Organizer, to manage arrivals, identity documents, training acknowledgments, job assignments, housing rosters, transportation logs and required notices in a consistent, audit-ready way. 4) Audit job descriptions with wage floors and “skill level” in mind. The IFR structure creates incentives around how duties and requirements are defined. Keep job orders accurate and aligned with real job duties. Overstating requirements can drive wages up; understating duties can create compliance risk. The goal is alignment, not gamesmanship. 5) Budget for uncertainty anyway. Even if you believe the IFR survives, build contingency scenarios. You do not want to be caught pricing contracts on one wage floor and paying payroll on another. 6) Get serious about housing. If adoption spikes, the bottleneck will be housing: availability and inspections. 7) Don’t confuse “deference” with “exemption.” Even when farms aren’t the headline, enforcement pressure rises and falls with policy and politics. The best defense is compliance: clean I-9 practices, disciplined vendor management and well- trained supervisors on the ground. The bottom line H-2A has always been the legal answer to an economic problem. What’s changing is that, across key Western states, it may be on the verge of becoming the financially realistic answer to the same problem. If enforcement reduces the supply of unauthorized labor, growers will need a substitute workforce. If the IFR’s AEWR methodology holds—and if entry-level H-2A wages in states like California, Arizona and Colorado increasingly converge toward minimum-wage floors—then the biggest historical barrier to broader H-2A expansion shrinks in a way that will be hard to ignore. For many operations, 2026 won’t be the year they discover H-2A. It will be the year they decide they can no longer afford not to build around it. For questions about the H-2A program or Western Growers H-2A Services, please contact our team at h2a@wga.com.
12 Western Grower & Shipper | www.wga.com January – March 2026
LAW OF UNINTENDED CONSEQUENCES By Matthew Allen, Vice President, State Government Affairs
I am writing this article in early January as the California Legislature has returned to Sacramento to begin the second year of the 2025-2026 legislative session. We will be dealing with numerous bills that were held over from last year and that may or may not move forward in 2026. There will also be thousands of new bills introduced this year, many of which will have a direct impact on the health and vitality of the agricultural industry. Given all of this, I was recently asked my thoughts about what actually makes a bill or regulation “good.” This is an insightful question and has caused me to ponder a bit. Since I have been lobbying for a while now, perhaps I am just a tad jaded in how I view the merits of bills and regulations as they are introduced and then grind through the approval and implementation process. Layered into this, I personally am someone who thinks that fewer laws on the books is the way to go. In very general terms, I think that a “good” bill or regulation takes into account the perspectives of each of the stakeholders that would be impacted and is one that sets a baseline standard. Baseline standards on worker protections, private property rights and employer protections (the list goes on) are all very important in setting the rules of the road. The real problem is that what was originally a good idea is never quite left alone. Minimum wage laws immediately come to mind. Legislators and regulators (especially in California) like to tweak, tinker, break, double-down or duplicate that which has already been negotiated and addressed. Original laws were negotiated and outcomes determined based on feasibility and applicability. One example is California’s original ag overtime law. We were one of only a tiny handful of states that already had an existing overtime law on the books. It was a workable law until labor, the Legislature and Gov. Jerry Brown decided in 2016 that it somehow didn’t. In fact, WG was told that signing the bill felt like the right thing to do even though the economics didn’t make sense. Unfortunately, that policy decision has had negative consequences for both employers and farmworkers. Another example is the Cal/OSHA outdoor heat illness prevention regulation. WG was a primary supporter of the originating regulation because a need was identified for a clear and enforceable prevention standard that would provide heat safety guidelines for employers and their employees in outdoor work
environments. That regulation has now been revised once and an additional revision will be happening soon as required by a statute that was passed a couple of years ago. Draft language for the updated standard has been released for comment and many of the suggested changes would be counterproductive and unworkable. Again, the examples above point to this problem of repeatedly revisiting laws when the justification to do so appear solely that we “can.” It’s not really a question of “should” we do so. There are unintended consequences for constantly changing areas of the law that have been settled. I am not an attorney, but I do recognize that sometimes court cases and precedent-setting occurs that mandate changes be made. That is quite understandable and is how our system of checks and balances operates. That said, I truly wish lawmakers would focus more on the question of “should” we pass this bill rather than focusing on “can” we pass this bill. My wishes haven’t come to fruition yet so I will stop writing and head back over to the Capitol to join our State Government Affairs Team in doing all we can to help your businesses and your employees thrive in California. It is truly an honor to represent you.
13 Western Grower & Shipper | www.wga.com January – March 2026
2025 AUTOMATION SPENDING ANALYSIS By Walt Duflock, Senior Vice President, Innovation Automation is now a late-stage capital sink that is gaining share of agrifoodtech spending as virtually every other category implodes. Here are some of the key findings as I dug through the 2025 data to see what’s likely coming in 2026 for automation based on AgFunderNews data from the last 10 years.
Total agrifoodtech funding ($M)
Automation funding ($M)
Automation % of total
Automation YoY %
Automation $ YoY change (SM)
Total YoY %
Year
2015
$10,900
$383
3.50%
2016
$8,700
$109
1.30%
-20.20%
-71.50%
-$274
2017
$12,300
$209
1.70%
41.40%
91.70%
$100
2018
$21,300
$368
1.70%
73.20%
76.10%
$159
2019
$22,100
$179
0.80%
3.80%
-51.40%
-$189
2020
$27,800
$380
1.40%
25.80%
112.30%
$201
2021
$51,700
$700
1.40%
86%
84.20%
$320
2022
$30,500
$714
2.30%
-41%
2.00%
$14
2023
$15,600
$760
4.90%
-48.9
6.40%
$46
2024
$1,600
$774
4.80%
2.60%
1.80%
$14
1. There are some structural insights and some definite phases in the automation segment. The table in this article has all the data, and here are some of the key areas. First, look at 2015 where automation reached a high-water mark of 8.3 percent of total agrifoodtech ($38 million of $4.6 billion), in part because much of the agtech investment that year was focused on robotics and drones. Second, look at 2018-2021 when capital flooded the downstream segments (marketplaces, fintech, foodtech) and crowded out automation in a big way. Automation funding as a percentage of total agrifoodtech funding was 0.9 percent, 1.5 percent and 1.8 percent for 2019, 2020 and 2021,
respectively. Since then, it has grown as a percentage of agrifoodtech investment to 2.4 percent (2022), 4.9 percent (2023) and 5.3 percent (2024), even as the overall number dropped from $95 million in 2021 to $71 million in 2022, $76 million in 2023 and $85 million in 2024. With an absolute decrease of $10 million, the percentage almost tripled from 1.8 percent to 5.3 percent. How did this happen? Well, this is what happens when overhyped categories like controlled environment agriculture (CEA)—largely vertical farming—and alt-protein (beef alternatives) get 42 percent of agrifoodtech funding in 2021 and burn through that money with no returns at all. So
14 Western Grower & Shipper | www.wga.com January – March 2026
as those and other categories shrunk, automation gains just largely stayed in place. 2. The spending by investment stage (or round) for automation has completely flipped in 10 years. In 2015, the amount of spending on Seed + Series A rounds was 72 percent and Series B and later was 28 percent. That mix has steadily shifted toward a smaller Seed/Series A percentage and a larger Series B and later percentage. The results from the table show that in 2014 the switch was entirely flipped to 22 percent on Seed and Series A and 78 percent on Series B and later. The narrative is straightforward when you look at the data. In the early years, much of the 78 percent of funding went to early-stage seed and A rounds—loosely the experimentation phase of agrifoodtech venture capital, spreading a lot of capital across multiple bets in a segment and letting the market determine which ones get traction and the latest round of financing. Then after 2020, the investment dollars began to concentrate into fewer, capital-intensive platforms. This is also a natural evolution in capital markets because investors generally leave funds available to participate in follow-on rounds and maintain their pro rata position to avoid getting diluted by later investors with new capital or (in the parlance of venture capitalists) taking a larger position to “own the cap table.” Finally, in 2023 and 2024, 75 percent to 80 percent of automation investment capital goes to Series B or later. This would include Carbon Robotics, Verdant Robotics, Ecorobotix, Farmwise (pre-sale to Taylor Farms) and GUSS (now fully
acquired by Deere in summer 2025 after a joint venture investment). There are two trends going on here. The first is that as these companies gain early traction and then continue the momentum in the marketplace with revenue growth, they are able to raise capital (or at least attempt to raise capital), so more later-stage capital is needed. The second is that with the 80 percent reduction in agrifoodtech venture capital, the funnel needs to shift even more to portfolio protection and taking care of the cap tables you are already on. In short, given the choice of making new early-stage bets or doubling down on existing investments, many investors are choosing the double down strategy. 3. There are a few years that really stand out for agrifoodtech automation. In 2017, automation went up 92 percent ($109 million to $209 million), followed by 76 percent in 2018 (to $368 million). Then another two-year period showed huge growth. First, 2020 was a 112 percent growth year ($179 million to $380 million), and 2021 was an 84 percent growth year to $700 million. Obviously, not every year was as good, thus the drop that enabled the jump in 2020/2021. The trend to watch is the overall automation percentage of total agrifoodtech investment, which has now been 4.9 percent and 4.8 percent the past two years. It’s good to see it near 5 percent the past two years. Unlike other categories, automation is solving one of the largest problems in agriculture—particularly for specialty crops. That would be labor availability and cost.
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15 Western Grower & Shipper | www.wga.com January – March 2026
YOUR WINTER GUIDE TO FEEL-GOOD EATING By Beth Sims, Manager, Health and Wellness, Pinnacle Claims Management, Inc.
February isn’t always the most motivating month; shorter days, slower pace and leftover resolution pressure can make things feel a little… meh. But here’s something most people forget: February is secretly one of the best months to reboot your wellness through food. Yes, really. And it doesn’t rely on deprivation or strict rules. There's plenty of room for wholesome produce and the occasional treat. This is your guide to using produce, smart habits and feel-good food to brighten up the grayest month of the year. Get ready for flavor, fun and practical tips you can actually stick to. Why February Is Actually Great for a Food Reset January’s ambition usually burns fast and bright. But by February, things settle. The pace feels more grounded, more realistic. It’s the month that gently nudges us and says, “Hey, we can still do this… just in a way that actually fits real life.” When it comes to food, that means going back to the basics: color, freshness, comfort and consistency, without extreme diets or complicated meal plans. Produce becomes the superhero of the season because it gives us: • Energy when winter tries to drain us • Vitamins that our immune systems crave • Mood-boosting colors • Fiber (your digestive system’s best friend) Eating well doesn’t need to feel like a project. It can feel like a treat. Meet Your February All-Stars Surprisingly, February is a fantastic month for produce, especially the bold, bright, hardy stuff that thrives in winter. Citrus (oranges, grapefruit, mandarins, lemons) Citrus fruits are at their peak this time of year and provide a concentrated source of vitamin C, which supports immune function, collagen production and antioxidant protection. They also supply hydration and natural electrolytes, helping maintain energy and overall wellness during the winter months. Sweet Potatoes Sweet potatoes are rich in beta-carotene (a precursor to vitamin A), essential for healthy vision, skin and immune support. They also provide fiber for digestive health and steady energy, making them a nutrient-dense foundation for many meals.
Brussels Sprouts Brussels sprouts are packed with vitamin K, vitamin C and folate. They’re also part of the cruciferous vegetable family, which contains compounds linked to reduced inflammation and improved cellular health. Their high fiber content supports gut health and stable blood sugar. Beets Beets are known for their natural nitrates, which help support healthy blood flow, circulation and endurance. They also provide antioxidants that aid in reducing oxidative stress and supporting overall cardiovascular health. Greens (kale, Swiss chard, collards) Winter greens are loaded with iron, calcium, vitamin A, vitamin C and vitamin K. Their nutrient density supports immunity, bone health and energy levels. Because they’re hearty and fibrous, they help promote satiety and digestive health. Cauliflower Cauliflower is a versatile source of vitamins C and K, fiber and antioxidants. As a cruciferous vegetable, it also contains phytonutrients linked to reduced inflammation and long-term metabolic health. Its mild flavor makes it easy to incorporate into many dishes.
16 Western Grower & Shipper | www.wga.com January – March 2026
Each color represents different vitamins, antioxidants and minerals. It’s like assembling your own wellness rainbow. Plus,
Pears and Apples Pears and apples offer soluble fiber (especially pectin), which supports digestion, gut microbiome health and steady blood sugar levels. They also provide antioxidants and natural sweetness, making them a nutrient-rich option for snacks or meals. Fruits and Veggies Boost Both the Body and Mind Here’s the good news: all those bright, crunchy, juicy fruits and veggies aren’t just good for your physical health, they’re powerful mood and brain boosters, too. And yes, science backs it up. Physical Health Benefits Fruits and vegetables deliver the essentials your body relies on: • Fiber for digestion, satiety and stable blood sugar • Antioxidants that reduce inflammation • Vitamins and minerals like vitamin C, folate, potassium and magnesium • Hydration, since many fruits and veggies are water-rich People who eat more produce consistently show:
colorful meals make winter feel less gray. Meals That Support Your Wellness
February naturally leans toward warm, grounding meals, and the good news is that comfort and nutrition can easily go hand in hand. This is a great month to rely on simple, produce-focused dishes that feel satisfying while still supporting your energy and overall health. Soups and stews built around winter vegetables like sweet potatoes, lentils, carrots and cauliflower offer steady nourishment and are easy to batch-cook for busy days. Warm breakfast options such as oatmeal with fruit, quinoa bowls or eggs paired with sautéed greens provide a balanced start and help keep you full throughout the morning. Roasting vegetables is another effortless way to bring out deeper flavor and natural sweetness. A little olive oil, salt and pepper is often all you need to create a versatile side or base for a meal. For snacking, choosing produce-based options like apples with nut butter, carrots with hummus, mandarin oranges, cucumbers with lemon, edamame or a quick fruit smoothie can help maintain steady energy between meals without the midafternoon crash. The Easiest Wellness Hack If you want to increase nutrient intake without changing your entire routine, try sneaking vegetables into dishes you already make. Try adding: • Spinach into pasta sauce • Shredded carrots into meatballs • Mushrooms into taco meat • Cauliflower into mashed potatoes • Zucchini into muffins • Peppers into scrambled eggs The Bottom Line Food should energize you, comfort you and support your well- being, not stress you out. February’s the perfect time to shift the mindset from: • Restriction to Nourishment • Guilt to Gentleness • Resolutions to Realistic Habits Your body is doing its best to keep you running through the coldest part of the year. The kindest thing you can do is give it color, warmth, fiber, hydration and foods that make you feel good not just physically, but emotionally, too. And remember: every time you choose produce, you’re choosing energy, immunity and mood boosts, just when you need them most.
• Lower risk of heart disease • Better immune function • Improved gut health • More stable energy throughout the day Mental Health Benefits
Here’s where it gets really interesting: produce helps your brain, too. Research shows that higher fruit and vegetable intake is linked to: • Improved mood and emotional well-being • Lower stress levels • Reduced symptoms of depression and anxiety • Better focus and memory • Increased overall life satisfaction Some studies even found that people who increased their produce intake felt happier within just two weeks. Produce is one of the easiest, most natural ways to support your physical and emotional well-being, no fancy supplements required. Add Color, Add Nutrition One of the simplest wellness habits you can adopt is the “Color Challenge.” Every meal, aim to add one color from fruits or veggies:
• Red berries or tomatoes • Orange carrots or citrus • Yellow bell peppers
• Green spinach • Purple cabbage • White mushrooms or cauliflower
17 Western Grower & Shipper | www.wga.com January – March 2026
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