WG_2020-YearInReview

Western Growers 2020 Year in Review. A YEAR WE WILL NEVER FORGET. UNITY WE WILL ALWAYS REMEMBER.

2020 YEAR IN REVIEW

A YEAR WE WILL NEVER FORGET. UNITY WE WILL ALWAYS REMEMBER.

STRONGER.

WELCOME TO WESTERN GROWERS. Unity In Action.

Dear Members,

Unprecedented. Many adjectives have been used to describe the past year, yet none seem sufficient. Perhaps because there is nothing in our collective existence that provides a frame of reference for what our world, our country, our industry, or our families have endured since last March. So, we choose the word—unprecedented. In last year’s pre-pandemic annual review, we focused on the theme of embracing change. Little did we know how prophetic those words would be in 2020. We were entering a new decade. Our association was embarking on a new era of leadership. Yet, no one could have predicted how quickly or completely we would have to evolve. Even now, we are still adjusting. Where we may have once optimistically viewed COVID-19 as a temporary inconvenience, we now have a much more sobering view of reality. For both better or worse, the way we do business, the way we engage in leisure activities, even the way we interact with each other, has forever been altered. Amid such change, one thing has remained constant—the character and determination of the agriculture industry. Thomas Jefferson once referred to farmers as vigorous, independent, and virtuous. These traits have never been more visible in our membership, as evidenced by our extraordinary efforts to keep our nation fed while much of the nation remained in various stages of lockdown.

The bottom line for our industry is, “The job must get done.” This same spirit also governs every part of the Western Growers Family of Companies, which drives our employees. Even as they faced uncertainties of their own, our staff managed to support our members and clients through the crisis while remaining focused on the post-pandemic world.

As we reflect on all we have accomplished together in 2020, we are reminded that now, more than ever, our strength is in our numbers. GROW Stronger.

Ryan Talley Chairman, Western Growers ‘20-’21

Dave Puglia President & CEO, Western Growers

WITH US.

“Western Growers’ members and staff solve government affairs issues collectively in a way that would not be possible for a single company on their own. A true testimony to the power in numbers and why Western Growers Association has developed a trusted brand for 95 years.” – Harold McClarty HMC Farms

OUR IMPACT.

ADVOCACY / WASHINGTON DC Advocating for a Better Tomorrow.

Paycheck Protection Program (PPP) Payroll Deductibility The Western Growers’ federal team has led the push for Congress to fix the CARES Act through legislation that would uphold congressional intent. This important plan was intended to allow for continued payroll deductibility, even for the amount forgiven under the PPP loan program. Unfortunately, the IRS later issued a notice that the forgiven PPP loan amounts are not deductible, resulting in a so-called “double tax benefit.” Farmworker Safety Since the pandemic’s inception, Western Growers has advocated for funding for farmworker safety measures, quarantine housing, and personal protective equipment (PPE). These efforts were successful, with Congress authorizing the USDA to establish a program to pay for such safety measures and authorizing funding for it. Vaccine Prioritization Western Growers has been active in pushing for essential worker priority. We have signed several coalition letters that advocate for frontline health care personnel and food and agriculture sector critical workers so that they are included in the next phase of vaccinations.

This year was filled with challenges that forced us to switch gears. But we did not lose focus. Instead, we joined forces with other key industry partners, reprioritized our efforts, and focused on continuing to move forward.

COVID-19 Coronavirus Food Assistance Program (CFAP) CFAP is the federal relief program introduced to help agricultural producers manage the unexpected market disruptions and associated costs due to COVID-19. Our federal team successfully advocated for expanding the range of eligible commodities and successfully pushed to streamline the application process to better meet the needs of member operations.

WATER Infrastructure. Actively pursued efforts in Congress to repair crumbling infrastructure and build new structures. Regulations. Worked with water districts to protect water policy regulations during a new presidential administration.

IMMIGRATION Western Growers continues to push for agricultural immigration reform and is currently working with the new administration and Congressional leadership to pass our legislative priorities. Pushing for a targeted, two-pronged ag labor fix that includes a pathway to legalization for existing workers and creates a new streamlined guest worker program. During the pandemic, we successfully pushed to keep the U.S. Consulates operating and ports of entry open to allow for the continued flow of H-2A labor.

“Gowan really values our long-standing membership in Western Growers. Western Growers is so effective in California, Arizona, and Washington DC, by advocating on key industry policy for members. We really appreciate and benefit from the tremendous work done by Western Growers’ staff in all those locations.” – Cindy Smith Agricultural Relations Director, Gowan USA

CALIFORNIA SUPPORT.

CALIFORNIA LEGISLATIVE AFFAIRS Securing Key Wins in Sacramento.

This once-in-a-lifetime year may have shifted priorities, but Western Growers, along with its industry allies, was able to make headway with important policy priorities at the state level. Here is a look at how Western Growers helped achieve significant victories for the California agriculture industry.

WATER INFRASTRUCTURE Although California experienced a considerable budget deficit this past year, Western Growers was able to secure funding for the Safe and Affordable Drinking Water Fund.

Western Growers requested that the administration extend the comment periods by 6-12 months. The administration granted these requests, providing the agricultural industry with additional time to hire experts and present viable alternatives to each of the draft orders issued by the Regional Water Quality Control Board.

Selected Legislation AB 398 (Chu-D)

REGULATORY / RULE MAKING PAUSE

The Central Coast and the Colorado River Regional Water Quality Control boards had scheduled comment periods for the adoption of new irrigated lands’ regulatory requirements for early 2020. Due to COVID-19,

Western Growers successfully opposed a bill that would have imposed a $275 per employee tax on any large business defined as a for-profit private entity with more than 500 employees who per formed any part of their duties within the state.

SB 54 (Allen) / AB 1080 (Gonzalez) Due to the efforts of Western Growers, two bills that would have eliminated plastic film packaging for fresh produce were stopped from advancing to the Governor. AB 1253 (Santiago) Western Growers brought opposition to a bill that would have imposed a personal income tax surcharge on sole proprietors and high-income earners. This surcharge would have resulted in an increase of 1% on taxable income over $1 million but under $2 million, in addition to a 3% increase on taxable income over $2 million but under $5 million. The top surcharge would have resulted in a 3% increase on taxable income over $5 million. AB 3030 (Kalra) This bill aimed to create a statutory commitment for California to protect 30% of its land areas and waters by 2030. The bill failed to advance due to the opposition of Western Growers and other stakeholders.

SB 1102 (Monning) Western Growers led a coalition in opposition to this bill, which attempted to change the law by ignoring the definition of “voluntary” and “mandated” travel time for employer-provided transportation. The bill was sponsored by the California Rural Legal Assistance Foundation and supported by the United Farm Workers. The bill was vetoed.

“WG remains committed to being the leading voice for the fresh produce industry in Arizona, fighting to protect both agriculture and businesses in the state.” – Robby Barkley, Barkley Ag Enterprises

ARIZONA SUPPORT.

ARIZONA GOVERNMENT AFFAIRS Ensuring Continued Legislative and Regulatory Support.

As with the rest of the nation, 2020 was a unique and challenging year in Arizona. The legislative session was impacted by COVID-19 and recessed for an unprecedented two-and-a-half months before adjourning early for the year. Challenges notwithstanding, Western Growers worked diligently to ensure continued legislative and regulatory support for the Arizona agriculture industry.

One major highlight involved efforts to maintain a fully-funded Plant Services Division within the Arizona Department of Agriculture. Federal grants, which had been used to cover the bulk of funding for 16 full-time plant inspectors, were set to end in 2020, and the

PLANT SERVICES DIVISION

Department indicated they would reduce the inspection team. In response, Western Growers worked with other agriculture groups to lobby the legislature and administration officials, convincing them that this would leave the state vulnerable to incoming diseases and repercussions in the marketplace. Ultimately, the administration agreed and designated funds to maintain a full plant inspection force.

In conjunction with Western Growers’ federal lobbyists and the state’s congressional delegation, the Arizona team achieved another key win when it helped ensure that the pandemic-related border closures exempted the agricultural workforce, including H-2A workers.

WESTERN GROWERS ADDS A NEW ARIZONA GOVERNMENT AFFAIRS MANAGER As the 2021 legislative sessions began, Western Growers announced the addition of Robert Medler as Arizona Government Affairs Manager. Medler brings 15 years of government relations experience. In addition, he was recently selected as a “40 Under 40” award recipient from the Tucson Hispanic Chamber of Commerce and the Arizona Daily Star .

“We are a small California shipper operation, and out of all the organizations we belong to, Western Growers gives us the best return on investment. Time after time, when we needed trade assistance and advice, they have always been available with an answer and a commitment to collecting monies owed to the shipper community.” – Andy Martin A&A Organic Farms

GLOBALLY.

TRADE PRACTICES Member Savings Through Collections and PACA Support. Since 1966, the Trade Practices Department’s mission has been to provide Western Growers’ regular shipping members with consultation and guidance on fresh produce sales contracts, including education of the rights and remedies available to sellers of perishable commodities under PACA and collections on both slow pay and disputed sales contracts. Over the past fiscal year, the Trade Practices Department secured 38 PACA Decisions and Orders totaling just over $1.7 million for the Western Growers membership, provided 26 on-site and webinar-based PACA 101 sales training seminars, and authored 12 unique Produce Insights blog posts focused on produce sales best practices. Western Growers’ regular shipping members are encouraged to put the department to work for them today. Members can simply contact the Trade Practices Department, and the matter or request will be handled to its ultimate conclusion.

TRANSPORTATION Solutions Through Technology.

Due to the pandemic, the transportation market was no different than any other aspect of our industry. But that did not impede Western Growers’ efforts to improve supply chain development, cold chain efficiency, and more.

This year, C.H. Robinson introduced Navisphere 2.0 to the Western Growers Transportation Program. This technology platform incorporates features uniquely suited to small and mid-sized shippers. With the introduction of this new program, we are excited about the integration of transportation management and technology solutions using Navisphere 2.0.

INTERNATIONAL TRADE Navigating the Challenges of 2020.

Aggressive Chinese COVID-testing protocols and non-scientific certification practices on imports into the country. Unwarranted or unexpected increased shipping fees at the ports.

Western Growers worked to keep the flow of goods moving during the pandemic. We intervened with the Federal Maritime Commission to challenge unfair port surcharges and penalties and with the Federal Motor Carriers Safety Administration to secure greater driver flexibility and cost savings without compromising road safety. Western Growers continues to fight for international market access for its members’ products. This year’s efforts focused on actively pushing back on several unfair trade practices that arose:

Western Growers remains active by providing immediate assistance and advocacy for members and by working with our agricultural partners to create trade opportunities for decades to come. As the pandemic continues to give rise to new unforeseen challenges, we strongly encourage all members to utilize our team and resources to support your business.

New and drastic import restrictions by Canada on U.S. romaine during peak shipping seasons that lack full transparency or scientific justification.

“There is no one more relentless in getting H-2A workers on time than the Western Growers’ team.”

– Joseph (Sonny) Rodriguez The Growers Company, Inc

WITH COUNSEL.

LEGAL YEAR IN REVIEW Setting the Standard Together.

Western Growers and allies from multiple industries filed a lawsuit to enjoin the emergency temporary standards, established by the Board of the Division of Occupational Safety and Health, operating within the California Department of Industrial Relations (DIR). Those standards far exceeded the DIR’s authority to protect workers from hazards related to COVID-19.

It helps to have allies with the same goals as you. The Western Growers Legal Department experienced important internal growth in 2020 and successfully united experienced industry leaders in several key moments.

We launched the Legal Updates Webinar Series that featured four COVID-19 compliance webinars led by Western Growers Agricultural Legal Network attorneys. Topics included wage and hour compliance, agricultural trade, and a 2021 legal update.

Western Growers and coalition allies filed amicus briefs in several important cases, including Zepeda v. Division of Labor Standards Enforcement (determining whether farm labor contractor employees are “discharged” and due immediate payment of wages after they have completed an agricultural task), and Center for Food Safety v. Sonny Perdue (determining whether hydroponic growers can use the USDA organic seal).

Western Growers H-2A Services filed dozens of H-2A applications that resulted in over 3,000 certified H-2A workers, which helped members cost-effectively mitigate their labor shortages while achieving compliance.

Western Growers veteran Jason Resnick was promoted to Senior Vice President and General Counsel. “Over the past 17 years, Resnick has demonstrated an unrivaled commitment to Western Growers and its membership and has provided indispensable counsel to the senior leadership team throughout his tenure with the organization,” said

Dave Puglia, Western Growers President and CEO. “In addition to his core responsibilities as General Counsel, he has helped shape our work on important public policy issues, especially immigration. His strategic mind and trusted counsel are of immense importance to our Board of Directors and me.”

Teresa McQueen was hired as Corporate Counsel on October 1, 2020. Teresa McQueen brings years of litigation and transactional experience to Western Growers and will support internal clients and members with education, training, and legal guidance.

Western Growers and industry allies successfully intervened as plaintiffs in a case against the California Fish and Game Commission and the California Department of Fish and Wildlife. The judge ultimately rejected an attempt by the agencies to list bumblebees under the state’s Endangered Species Act.

“Through scientific analysis and proprietary tools, the WG Science team develops and delivers resources and guidance to help the industry respond to rapidly changing environmental, regulatory, and marketplace demands.” – Albert Keck Hadley Date Gardens

WITH SCIENCE.

WESTERN GROWERS SCIENCE Tomorrow’s Science. Today’s Solutions.

Western Growers’ members also enjoyed access to timely and valuable educational opportunities in 2020, addressing the following topics: Covid-19 Issues: This three-part series provided relevant information on key considerations and guidance to continue to operate a business during the pandemic. Leafy Green Seasonality: This prevention and awareness series addresses information and tools needed to help avoid and mitigate outbreaks. Whole Genome Sequencing: This five-part series presented a comprehensive picture of the practices, applications, and future of WGS concerning food safety. Climate Change and Agriculture: This event covered current challenges that climate change poses for agriculture and how the industry can enhance adaptation and resilience.

Western Growers Science and Technology evolved to Western Growers Science in 2020. Yet, our commitment to our members’ success and their commodities’ safety has not changed. The Western Growers Science team continues to be a pioneer in the produce industry.

With an unexpected pandemic, the world learned what we have always known, that our industry is filled with essential workers. The Western Growers Science team worked with government, academia, and other produce industry stakeholders to deploy solutions during this global crisis.

The Current State of Rapid Testing for the Fresh Produce Sector: This event gave an overview of rapid testing in its current state, including challenges and opportunities that impact the fresh produce sector. Stewardship Index for Specialty Crops (SISC) Calculator: This training walked through the SISC calculator’s uses, a tool that generates and outputs sustainability metrics.

Our webinars gathered nearly 2,000 registrants. Additionally, even as the world around us rapidly changed, we kept our members updated on critical food safety-related issues, including foodborne outbreaks, FDA activity on the newest developments, and advances relevant to the produce industry.

In July, Western Growers welcomed De Ann Davis, Ph.D., as Senior Vice President, Science. Davis brings extensive expertise to the leadership team with more than 25 years of experience developing and executing global technical programs, including food safety, quality assurance, and regulatory compliance.

“I have been involved with the Center for a few years now, and it has been a great experience. Western Growers is a wonderful resource available to emerging technologies and a great forum for us as producers to share our feedback with the start-ups. I highly recommend getting involved.” – Colby Pereira Vice President, Operations Braga Fresh

NEW TECHNOLOGY.

WESTERN GROWERS CENTER FOR INNOVATION & TECHNOLOGY Getting the Job Done Means Looking Ahead.

The WGCIT was created to think ahead and drive solutions to current and anticipated challenges. This year was no different, despite shifting many of the Center’s activities to a virtual format. We took the opportunity to rebuild and improve the WGCIT framework and have made our services more personal and responsive to the needs of our members and the technologists. While we may be moving forward a bit differently, our goal to accelerate the development of agtech solutions for the industry remains the same.

Despite having to shift operations to a virtual format, we have made significant progress in introducing and organizing two strategic initiatives for our members: Continued to move our efforts forward to solve the challenges involved in field harvest automation for specialty crops. This success will help our membership base gain more business leverage. Developed an initiative to accelerate a food safety toolkit. Our goal is to stay at the forefront of planning around prevention and rapid diagnostics.

Increasing its industry-leading efforts to quicken the pace of technology solutions for the fresh produce industry, Western Growers has added Walt Duflock as Vice President, Innovation. In this role, Duflock will be singularly focused on accelerating agtech for Western Growers’ member companies, including expanding the footprint of the Western Growers Center for Innovation & Technology.

The world seems smaller than ever, and the Western Growers Center for Innovation & Technology has grown its footprint and its voice through some unique methods: “Innovating in Challenging Times.” A weekly webinar to showcase resident companies and personnel. “Voices of the Valley.” An AgNet West Radio program to develop broader awareness of our work. Social Media. Sharing key takeaways to show support for our resident companies. Due to the seeds that we planted in 2020, the new year is already shaping up to be one of our most successful ever. We are growing and expanding international partnerships in the United Kingdom, Canada, and New Zealand through communications and field trials.

“The Western Growers Family of Companies shares our family values on what our employees mean to us. They have an amazing staff who are knowledgeable, professional, and completely aware of our needs. They are our go-to partner because we know that they will take up our challenges as their own.” – Trey Rodriguez The Growers Company, Inc

YOUR TEAMS.

WORKFORCE DEVELOPMENT Creating an Environment for Opportunity.

At Western Growers, we remain committed to providing you with the guidance needed to retain and develop the best talent. We also strive to provide you with access to the valuable insights of the Western Growers Compensation and H.R. Practices Survey. This survey includes analytics and pay data for 84 jobs vital to keeping compensation, human resource practices, and employee programs current and competitive.

We have added a new feature to the survey by collecting data on COVID-19 workforce measures. And importantly, this type of survey data is unprecedented in our industry.

The recruitment and retention of work-ready, strategic, and forward-thinking employees are of the utmost importance. The competition for the best of the best is stronger than ever. This survey provides members with the data that they need to make informed business decisions in the areas of recruitment, retention, employment-related budgets, and competitive total award strategic plans.

This is the only exclusive compensation survey that is specific to the California and Arizona specialty crop industry.

COMPENSATION AND H.R. PRACTICES SURVEY PARTICIPANT SURVEY SATISFACTION RATING Rating Scale 1 to 5

5

4.64

4.64

4.64

4.43

4.21

4

3

2

1

PRESENTATION AND QUALITY OF SURVEY RESULTS

SURVEY AND/OR QUESTION RESPONSES

EASE OF COMPLETING THE HR PRACTICES SURVEY

EASE OF COMPLETING THE COMPENSATION SURVEY

SURVEY SITE ACCESS

“Through the Western Growers leadership program, I gained a deeper appreciation for the role that volunteer leaders play in shaping the policy priorities of the organization and advocation on behalf of our membership, which solidified my own desire to serve on the board.” – Alexander Muller Pasquinelli Produce Company

THE FUTURE.

FUTURE LEADERS / WG WOMEN Building the Next Generation.

FUTURE VOLUNTEER LEADERS PROGRAM Western Growers has inaugurated the sixth class of the Future Volunteer Leaders Program to identify and prepare the next generation of its members for leadership positions within the fresh produce industry. For the first time in program history, we welcomed a future leader from Colorado, which in 2015 became the third membership state in the Western Growers’ family.

The following nine individuals have been selected to represent the next generation of industry leaders:

“The increasing number of Future Volunteer Leaders Program alumni serving on our board of directors is a testament to the value of this leadership program,” said Dave Puglia, Western Growers President and CEO. “This incoming class is a vibrant group of individuals, and I look forward to their participation in the future of our industry’s leadership.” Over the course of the next two years, the Future Volunteer Leaders will shadow current members of the Western Growers’ Board of Directors during board meetings, learning about federal, state, and local issues affecting the fresh produce industry. Additionally, during the second year of the program, Class Six will travel to Florida to tour a host of agricultural operations as part of an exchange program with the Florida Fruit and Vegetable Association’s Emerging Leader Development Program. Future Volunteer Leaders will also participate in agtech initiatives through the Western Growers Center for Innovation & Technology, as well as engage in media relations and social media efforts.

AMBER STROHAUER Strohauer Farms

COLBY PEREIRA Braga Fresh Family KRISTEN SMITH ESHAYA JV Smith Companies ROCKY HAMPTON LIDCO

GARRET POWELL Peter Rabbit Farms MASON BRADY Homegrown Organics Farms

GRANT TALLEY Talley Farms

PHILLIP ADAM Innovative Produce

TRACY JONES Booth Ranches

WG WOMEN Western Growers envisions a fresh produce industry that embraces the value of women in agriculture and provides pathways for women to achieve the highest levels of leadership. The WG Women program was launched in February 2020 to identify and prepare women for leadership positions within Western Growers member companies and the broader fresh produce industry.

In response to the COVID-19 pandemic, the WG Women program developed a number of virtual leadership development opportunities, including online leadership, social media, and traditional media training courses. Additionally, in December 2020, the mentorship component of the program was launched to provide WG Women with the opportunity to be mentored by experienced, accomplished women in agriculture. Participation in WG Women is limited to employees of WG member companies, and participants are admitted following formal acceptance of the program application. Once accepted into the program, WG Women have access to a series of ongoing activities, both virtual and regionally based, to support professional growth and pave the way for influential leadership opportunities within the fresh produce industry.

More than 40 women from Western Growers’ member companies were on hand in Fresno for the much-anticipated launch of WG Women. The half-day event featured opening remarks by WG Chairman Ryan Talley and WG President and CEO Dave Puglia, followed by a series of presentations outlining the professional development and leadership training activities at the core of WG Women.

For more information, visit: https://www.wga.com/services/wg-women

“Western Growers University provided my team with invaluable training through a program that focused on changing one’s mindset rather than just changing behavior. I noticed a substantial shift among my staff, especially the leadership team. They began to accept and adopt a culture where they held themselves accountable. I directly credit the Western Growers University team with guiding our journey toward building a healthier and more collaborative work environment.” – Kevin France CEO, SWIIM YOUR KNOWLEDGE.

WG UNIVERSITY An Educational Experience for Your Growth.

Western Growers is committed to excellence and the continued delivery of education, development, and mentorship throughout our agricultural landscape. That is why we created Western Growers University, an online campus and learning experience that focuses on the growth and development of today’s leaders and those of tomorrow. Showcasing extensive course selections across multiple topics, Western Growers University offers members unique and customized resources to better drive their businesses forward. Through interactive, online, and public sessions, we provide the tools to help business owners elevate the administrative and management capabilities of their employees.

In 2020, we adapted to virtual platforms to provide training on many important topics:

Our program provides members with essential one-on-one training and guidance. Through proven methods, we are effective in determining our members’ specific training needs, confirming their company’s mission statement and goals, and helping them to create a training strategy that works for them. We also serve as a human resource and training consultant to our members and help new managers prioritize audits and establish procedures.

LEADERSHIP SKILLS Arbinger: Developing and Implementing an Outward Mindset Building Trust in the Workplace Navigating Through Change and Managing Transformation Effectively Being Responsible for Your Results

HUMAN RESOURCES AND EMPLOYMENT LAW Preventing Discrimination and Harassment (SHRM Accredited) Wage & Hour: What You Need to Know to be Compliant Guide to Federal and State Leave Law Mandates Competency-based Behavioral Interviewing

AFFILIATIONS

Agricultural Personnel Management Association (APMA) Colorado’s Fruit and Vegetable Growers Association (CFVGA) Fresh Produce Association of the Americas (FPAA)

Writing Effective Job Descriptions Stop Workplace Bullying Today

WG University continues to focus on connecting with members of our industry to improve performance and facilitate team advancement. We are proud of the insights and strategies we are able to share on a range of complex topics and encourage our members to take advantage of this best-in-class resource.

MANAGER’S TOOLBOX ESSENTIALS Management 101: The Essentials Coaching Employee Performance Effectively

“Leveraging the voice of our members, WG is harnessing the power of social media to share our family farming stories with millions of consumers across the U.S., helping to shape positive public perceptions of the Arizona and California fresh produce industry.” – Briana Giampaoli Live Oak Farms

OUR VOICE.

MEDIA & COMMUNICATIONS Advancing Key Industry Priorities.

Our response to the impact of COVID-19-related foodservice shutdowns on the fresh produce industry included more than one hundred interviews with dozens of media outlets, including the Associated Press, Axios, Bloomberg, the Los Angeles Times, NPR, Politico, Reuters, The Wall Street Journal, and The Washington Post. Other media interviews included topics ranging from H-2A visa processing delays to agricultural worker health and safety and government relief programs. DIGITAL MEDIA Our digital media strategy aims to surround our target audience of urban consumers with proactive, positive, and engaging content. Our social media campaigns are designed to build an affinity for the Western fresh produce industry and garnered many positive results in 2020. The #AgIsEssential campaign, which was a series of member-created videos that highlighted on-farm COVID-19 safety measures, reached over two million people and garnered more than 500,000 video views.

By providing consistent and unified messaging across all media platforms, the Western Growers Communications Department navigated the unique challenges of 2020.

Here is a look at how we supported our public policy agenda through effective public relations and digital media strategies.

PUBLIC RELATIONS Even in a difficult environment, our public relations strategy remained focused on advancing key industry priorities. Our outreach educates and informs the public using the thought-leadership of subject matter experts. Here are some of the highlights from 2020: Western Growers’ staff and members conducted on-camera interviews with ABC News, CBS Evening News, CNN, Fox News, and PBS NewsHour.

SOCIAL MEDIA PRESENCE

FACEBOOK

INSTAGRAM

TWITTER

35% INCREASE IN FANS

40% INCREASE IN FANS

20% INCREASE IN FANS

40% INCREASE IN ENGAGEMENT

40% INCREASE IN IMPRESSIONS

40% INCREASE IN ENGAGEMENT

6.3 MILLION IMPRESSIONS

“Over the past five years, I’ve had the distinct pleasure of meeting and working with a number of our members and have combined that experience with the capabilities and resources of the association to create solutions unique to the industry.” – Jeff Gullickson President, Western Growers Insurance Services

WITH CHANGE.

INSURANCE SOLUTIONS Western Growers Insurance Services. We Are Just Getting Started.

We’ve leveraged the association’s intellectual capital with contacts in the insurance industry to better serve the agricultural and food community with expertise, resources, and solutions not available elsewhere. Our unique position allows us to treat our members like family, not just prospects or clients.

YOU CAN’T MEASURE WHAT YOU CAN’T SEE.

We’re bringing clarity and taking out the complexity of choosing the right health insurance coverage that suits your needs. It’s time to GROW with change.

After four years in development, we successfully rolled out our Connected Worker Program, which is focused on keeping insurance premiums from increasing by reducing workers’ exposure to injury. Created a COVID-19 data tracking capability to help decrease the time spent handling paperwork and questionnaires.

CHALLENGES FACING AGRICULTURE • Rising healthcare costs and premiums • Increased claims driven by chronic conditions

• Healthcare literacy • HR workloads and compliance

Navigating health insurance coverage has become increasingly complex — and costly — for the agricultural industry. Neither employers nor employees receive clear, transparent information from providers. HR is overwhelmed with perplexing workloads and compliance issues, and employers face increasing claims linked to chronic conditions. To meet these challenges, we’ve re-engineered and expanded our service model to help curb rising healthcare costs, support HR, and improve transparency and healthcare literacy. We’re taking a data-driven approach, from utilizing predictive modeling and claims data to offering health management tools that help you better educate your employees, lowering overall costs. By leveraging our benefits database and offering programs such as our proprietary Western Growers Assurance Trust, we work with you to create a three-year plan to bring clarity to the process. We provide benefit packages that utilize the most affordable networks of care, offering custom tiers of medical access while addressing chronic conditions. And we help you manage your risk with our full-service solution that takes you through identification, analysis, control, financing, and administration. With nearly a century of experience, the nuances of agri-business filter into all of our solutions and services. When you work with Western Growers, we don’t treat you as just another customer — you’re a member of our community. Western Growers Insurance Services; GROW With Change.

WE are delivering: > Transparency > Data-driven decision making > Agri-business experience > Advice and education

WITH CHANGE.

WGIS.COM

Added leadership capabilities to both our commercial and employee benefits support teams. They brought immediate credibility to our teams and clients. We developed new capabilities for Employee Benefits. With our sister company Pinnacle, we now offer analytical capabilities, specialized resources, and funding options. Worked closely with our H.R. and Legal colleagues to tailor our training to the agricultural industry and the unique issues that our members face. These planned roadshows were quickly reimagined as webinars to address the following: Wage and Hour Food Safety COVID-19 regulation education

“With the help and guidance of Western Growers Assurance Trust, D’Arrigo California is able to educate and inform our employees about the resources available to them and are confident that we will provide the best possible care to our family of employees.” – John D’Arrigo President, CEO, Chairman of the Board D’Arrigo California

PROTECTED.

HEALTHCARE SOLUTIONS Staying Healthy Together.

NEW WELLNESS PROGRAMS: Digital Diabetic Blood Sugar Testing Platform: PinnacleRx Solutions has created a new digital diabetic blood sugar testing platform to provide significant cost savings to all plans at the cost of the meter and ongoing supplies. Additionally, each blood sugar reading is sent to a single data portal that allows clinical staff to monitor the patient proactively. Uplift – Overcoming Depression. To meet the increasing needs of mental health care management, Pinnacle Health Management has created and launched a new health management program. This curriculum-based supportive program is open to all members of the Trust through Pinnacle Health Management. It consists of a 12-month period of guided education and phone calls with continued support after the first year.

COVID-19 SUPPORT: Western Growers Assurance Trust took several steps to enhance member benefits to mitigate the challenges that arose during COVID-19. We’ve improved access to care by waiving cost-sharing requirements for COVID-19 testing and screening, as well as for COVID-related office visits. We’ve made it easier for members to safely receive care from the safety of their homes by expanding telehealth services and making all telemedicine programs “in network.” We also waived all co-pays, regardless of diagnosis, for doctor visits, through our telehealth partner, Doctor on Demand.

PRxS: Co-pay Subsidy Project. PinnacleRx Solutions has successfully closed the first nine months of the drug manufacturer co-pay subsidy project. In its first nine months, this program achieved an astounding $774,527 in total member savings by pairing members with drug co-pay coupons for eligible prescriptions. As additional drug coupons are announced and made available into 2021, this program’s success will grow to provide benefits to more PRXS members. IT SOCII ACCREDITATION: We passed the annual SOC2 HiTrust audit. For those not familiar, meeting SOC2 Type 2 compliance means establishing a process for security, availability, processing integrity, confidentiality, and privacy of data stored in the cloud to guarantee oversight across our organization. SOC2 certification is designed to assure clients that we are monitoring suspicious activity and take corrective action quickly if an incident takes place. This gives clients the confidence they need to trust us with their sensitive data.

Additionally, we made it easier for members to fill prescriptions by suspending fill/refill limitations and waiting periods, waiving charges for prescription home delivery, and streamlining drug access processes, including prior authorizations.

“Over the years, we have been pleased with the personal level of service and outstanding performance in both good and bad economic times. We even have access to actual portfolio managers, which you just don’t get with your typical employer-sponsored retirement plan.” – Mitch Ardantz Bonipak Produce, Inc

FINANCIALLY STRONG.

FINANCIAL SERVICES Focused on One Thing: Your Future.

This year marked the 20th anniversary of Western Growers Financial Services, a registered investment advisor and broker-dealer that currently manages over $300 million in client and corporate assets.

While 2020 was filled with unplanned roadblocks, we spent the year focused on the future by expanding our retirement security capabilities.

Our biggest decision was the competitive nationwide search and transition to a new 401(k) administrator and custodian for our Western Growers Retirement Security Plan. The search was guided by expert counsel—the Retirement Security Plan Advisory Board—who selected Northwest Plan Services as our third-party administrator (TPA), with Charles Schwab serving as the custodian of RSP’s assets.

Northwest Plan Services is the largest Multiple Employer third-party administrator in the country and offers a diverse range of qualified and nonqualified plans with highly competitive fees and expenses. Charles Schwab is the largest custodian in the retirement industry and has committed substantial sales and marketing dollars to help grow the Retirement Security Plan. Together, Northwest Plan Services and Charles Schwab will allow us to become better stewards of our 401(k) resources and expand flexibility in plan design and investment options for RSP employers and participants.

In our relentless pursuit of excellence, we are excited about this opportunity to better serve our members’ retirement needs and are confident that our plan participants will yield immediate benefits on their path toward retirement security.

THE PAST LEADS TO THE FUTURE.

As COVID-19 affected the world in 2020, Western Growers was certainly not excluded from its far-reaching impact. For the first time in 94 years, Western Growers was forced to cancel its cherished Annual Meeting for the safety of our members, their families, and the well-being of our partners and valued sponsors. As the pandemic recedes, we look forward to once again gathering together this November in San Diego for a fresh start to the Western Growers Annual Meeting.

WITH FAMILY.

“Over the past year, our industry has faced unprecedented challenges. I am incredibly proud of the way our members adapted to ever-changing rules and realities as the pandemic unfolded. And I am equally proud of the way the employees of the Western Growers Family of Companies adjusted to the suddenness of working from home and the disruption to our industry by ensuring that no matter the challenges of COVID-19, Western Growers would not falter in our service to our members and clients. We will build on the new strengths that emerged from this unusual and difficult year. We have much to look forward to, and much to do, in 2021 and beyond.” – Dave Puglia President & CEO, Western Growers

IN REFLECTION.

LOOKING BACK AND MOVING FORWARD

Hank Giclas retired as Senior Vice President, Strategic Planning, Science and Technology. During his 30+ years with Western Growers, he served in a variety of capacities. Since 2003, Giclas made food safety a focal point and began utilizing technology to help find solutions for some of the industry’s most vexing problems.

Jason Resnick was promoted to Senior Vice President and General Counsel. His promotion reflects his leadership in the Legal and TPCS departments, as well as the success of our H-2A agency. Matthew Allen was promoted to Vice President of State Government Affairs. In recognition of nearly a decade of expanding leadership in the California agricultural lobbying community, Allen assumed responsibility for state government affairs, as well as the WG Political Action Committees.

On May 28, 2020, Tom Oliveri passed. Tom, af fectionately known as “Tommy O,” dedicated his 40-year professional career to supporting the fresh produce industry with an unprecedented dedication to our membership. He brought a sense of humor and friendship to Western Growers, most recently as Director of Trade Practices before his retirement in 2018.

We mourned the passing of industry icon and pioneering innovator Neal Jack. Jack Brothers was the first founding member of Western Growers. Under Neal’s leadership, Jack Brothers modernized farming by bringing military innovations to the ranch.

LEADERSHIP

BOARD OF DIRECTORS GEORGE J. ADAM Innovative Produce Santa Maria, California ALEXANDRA ALLEN Main Street Produce Santa Maria, California KEVIN S. ANDREW Illume Agriculture Bakersfield, California ROBERT K. BARKLEY Barkley Ag Enterprises LLP Yuma, Arizona STEPHEN J. BARNARD Mission Produce, Inc. Oxnard, California BARDIN E. BENGARD Bengard Ranch Salinas, California

LOREN BOOTH Booth Ranches Orange Cove, California GEORGE BOSKOVICH III Boskovich Farms Oxnard, California RODNEY BRAGA Braga Ranch, Soledad California NEILL CALLIS Turlock Fruit Company Turlock, California

LAWRENCE W. COX Lawrence Cox Ranches Brawley, California STEPHEN F. DANNA Danna Farms, Inc. Yuba City, California JOHN C. D’ARRIGO D’Arrigo Bros. Co. of California Salinas, California THOMAS DEARDORFF II Deardor f f Family Farms Oxnard, California FRANZ W. DE KLOTZ Peter Rabbit Farms Coachella, California SAMUEL D. DUDA Duda Farm Fresh Foods, Inc. Salinas, California

CATHERINE A. FANUCCHI Tri-Fanucchi Farms Inc. Bakersfield, California DAVID L. GILL Rio Farms King City, California BRANDON A. GRIMM Grimmway Farms Arvin, California JOHN JACKSON Beachside Produce, LLC Nipomo, California A.G. KAWAMURA Orange County Produce, LLC Irvine, California ALBERT KECK Hadley Date Gardens Thermal, California

EDWIN A. CAMP D. M. Camp & Sons Bakersfield, California CAROL CHANDLER Chandler Farms LP Selma, California

J.P. LABRUCHERIE LaBrucherie Produce El Centro, California FRANK MACONACHY Ramsay Highlander, Inc. Gonzales, California JOHN S. MANFRE Frank Capurro and Son Moss Landing, California STEPHEN MARTORI III Mar tori Farms Scottsdale, Arizona HAROLD MCCLARTY HMC Farms Kingsburg, California TOM MULHOLLAND Mulholland Citrus Orange Cove, California

ALEXANDER T. MULLER Pasquinelli Produce Co. Yuma, Arizona DOMINIC J. MUZZI Muzzi Family Farms, LLC Moss Landing, California MARK NICKERSON Prime Time International Coachella, California THOMAS M. NUNES The Nunes Company, Inc. Salinas, California STEPHEN F. PATRICIO Westside Produce Firebaugh, California RON RATTO Ratto Bros. Inc. Modesto, California

CRAIG A. READE Bonipak Produce, Inc. Santa Maria, California ERIC T. REITER Reiter Af filiated Companies Oxnard, California JOSEPH A. RODRIGUEZ The Growers Company, Inc. Somer ton, Arizona WILL ROUSSEAU Rousseau Farming Company Tolleson, Arizona VICTOR SMITH JV Smith Companies Yuma, Arizona RYAN TALLEY Talley Farms Arroyo Grande, California

BRUCE C. TAYLOR Taylor Farms California Salinas, California STUART WOOLF Woolf Farming & Processing Fresno, California

ROB YRACEBURU Wonder ful Orchards Shafter, California

OUR IMPACT.

WESTERN GROWERS ASSOCIATION phone: (949) 863-1000 | fax: (949) 863-9028 email: info@wga.com | wga.com

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