STEPPINGUP2009 ANNUAL REPOR T

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NatioNal CorN Growers assoCiatioN Annual Report 2009

introduction

Time and again, corn farmers have been challenged by doubters, regulators, media, Mother Nature and more. Yet as each challenge is tossed into the echo chamber, the National Corn Growers Association steps forward to tell its story – the story of

thousands of innovative farmers across the country who strive every day to maximize production while protecting natural resources.

Of course, NCGA is not standing alone.

You and 35,000 other NCGA members are beside us, stepping up to give voice to our messages and representing a grassroots strength that is a powerful force on Capitol Hill and across the country. Your support opens doors, and your efforts ultimately prove the critics wrong.

America’s corn farmers have truly stepped up to affect change in virtually every area: You have stepped up production to meet demand. You have stepped up your support of NCGA by helping your association enjoy record membership numbers. You have stepped up your efforts to ensure that the corn industry’s value and contributions are both understood and appreciated.

Knowing we are on the right path gives us the confidence and commitment to climb the steps, knock on doors, make the call and send the e-mail. Every contact made and every relationship built is vital to our success in an era when legislative and regulatory actions can have a significant impact on farming in so many ways – from cap and trade to ethanol to research priorities.

We are a farmer-led organization composed of action teams, committees and working groups that identify our goals, define our purpose and guide our decisions. These farmers give their time because they believe in the future of corn production. They see endless opportunity in this incredibly complex plant that can provide feed, food, fuel, fiber and more for people in our nation and around the world.

It is their vision – your vision – that is the lifeblood of NCGA. That vision – and the energy and commitment that fuel it – are helping NCGA make giant steps in our mission to ensure a profitable future for the nation’s corn farmers.

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NatioNal CorN Growers assoCiatioN Annual Report 2009

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When the National Corn Growers Association called on its members to step up their support of increasing the ethanol blend rate, its powerful

grassroots membership followed through by submitting the most comments to the Environmental Protection Agency in the history of our electronic commenting system.

More amazingly, this tremendous response began as planting was in full swing and continued into July. What an opportunity corn farmers had to tell the positive story of ethanol and corn production to the EPA and the country as a whole!

While energized with the response to the ethanol waiver, this was only one component of all the efforts put forth by NCGA and corn farmers across the country over the last year.

A new Adminis t rat ion and Congress coming to Washington created a different atmosphere inside the Beltway. Visits by NCGA farmer-leaders and members allowed the new Administration, agency and department heads, members of Congress, Congressional staff and others to better understand our position on critical issues. This also gave us a chance to build relationships and create an atmosphere of cooperation.

president’s message

Bob DickeyPresident

(2009)

bob d

ickey

This was particularly true when it came to discussions on climate change legislation, popularly known as “cap and trade.” There are difficult choices to be made when approaching legislation such as this. On one hand, NCGA members are very skeptical about the impact of such legislation on farmers. On the other hand, pushing for this legislation’s demise could potentially leave growers and others in agriculture subject to Environmental Protection Agency regulations.

Yet NCGA believed – rightly so – that by being involved and encouraging important amendments to the version of the bill that passed the House would pay dividends down the road. After all, as the saying in Washington goes: If you’re not at the table, you’re on the table. Corn growers stepped up to take a place at the table, and because of that we will be at the table should the legislation move in the Senate – or should EPA take action on its own.

Over the years, NCGA has strived to be positive, work constructively and take the high road. This has served your organization well, and when combined with a vibrant and active grassroots membership, NCGA is a force with a reputation that is second to none.

This reputation and strong grassroots is what allowed the Average Crop Revenue Election program to be included in the farm bill and implemented in a positive way this year. It was also behind enhancing the Farm Storage Loan program, which provides for low-cost financing for farmers to build or upgrade grain storage and handling facilities, and the adoption of a pilot program that will offer a greater opportunity for farmers to convert basic crop insurance to higher levels of coverage for enterprise and whole farm units.

While the contrived food versus fuel issue mostly subsided in 2009, with NCGA’s position being proven correct, corn farmers from across the country felt it was time to share a few facts about corn production and use. NCGA worked with state affiliates to launch a major educational campaign in Washington that highlighted important messages. The primary theme: Innovative farmers are growing more corn every year with fewer resources while protecting the environment.

In turn, these messages were utilized by members in their own states to further spread the positive messages of farming today. In 2010, this campaign will dramatically broaden its scope as the NCGA launches a program to enhance the image of the American farmer with the public. We will remind consumers about the innovative nature of our industry, the many benefits it provides for our citizens and our nation, and the stewardship that farmers across the country practice every day.

As I reflect on 2009, I take great pride in being a member of NCGA, an organization with 35,000 members – in 47 states – that has earned the respect of so many.

I am proud of the NCGA staff, its board and member-leaders who work tirelessly on behalf of all members to ensure that future generations of farmers will benefit from intelligent public policy decisions.

Finally, I would like to thank all members for their confidence in NCGA leadership and words of encouragement. Your spirit of cooperation and unity ensures a bright future for us all – and for those who will continue to step up to keep our organization moving forward.

The United States clearly plays a key role in global agricultural trade, and we continue to be the major supplier of corn to the world.

The National Corn Growers Association and its joint trade team with the U.S. Grains Council help to provide policy positions that further corn growers’ interest in trade and its implications on many issues. Our team reaches out to farmers and farm groups around the world, helping to represent U.S. farmers.

For example, trade policy issues were on the agenda during a series of meetings in Europe. Together with USGC, our farmers met one-on-one with World Trade Organization

officials to talk about the Doha Round. Having U.S. farmers discuss these issues with those involved in Doha is critical to fostering understanding regarding unresolved issues on market access.

This is true for more than just bulk corn. Corn value-added products like gluten feed and co-products such as dried distillers grains with solubles are also affected by market access issues.

While in Europe, the trade team met with the French Corn Growers Association. French farmers recounted the difficult atmosphere for biotechnology in agriculture in Europe, which has closed the door in the past to corn and many corn products. Yet many French farmers believe adopting this technology themselves would be beneficial.

Back at home, NCGA worked with the new Administration as it appointed trade officials to key positions. As it is important to make our members’ positions clear and to build relationships, NCGA staff and farmer-leaders met personally with the new U.S. Trade Representative, Ambassador Ron Kirk, and his staff.

We encouraged the Administration and members of Congress to move forward with free trade agreements that have been negotiated but not yet approved by Congress – a difficult task in a year full of change in Washington. Failure to address trade will have direct impact on the balance of trade and farm gate prices.

NCGA and 140 other agriculture groups furged the Administration to work quickly to resolve a dispute over the U.S. Department of Transportation’s termination of the Cross Border Trucking Pilot Program with Mexico. Within days of this program’s cancellation, Mexico placed retaliatory tariffs on $900 million in agriculture products.

Travel restrictions between the United States fand Cuba were eased somewhat, a sign that the current Administration may take steps to more normalized commerce between the two countries. NCGA believes that Cuba presents a significant market opportunity for U.S. agricultural products, including dried distillers grains and other corn value-added products.

TRAD

E

Bill Hoffman Columbus, Wis.

Chair of the Joint Trade Policy

Action Team (2009)

We continue to press Congress to pass trade agreements as these agreements will help open new markets for U.S. corn, distiller’s grains, meat and other value-added products. Meeting with officials at the WTO provided important perspective to us and we hope it provided the same benefit to those we met with as well.

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NCGA First Vice President Darrin Ihnen, center, met with United States Trade Representative Ron Kirk, right, in April to discuss the importance of trade for corn growers. Also attending the meeting was NCGA Vice President of Public Policy Jon Doggett.

After a hard-fought and successful effort by the National Corn Growers Association – and its grassroots who stepped up to make it happen – the

Average Crop Revenue Election program was implemented this year. ACRE provides an optional risk management tool for farmers.

Just getting to the point where farmers could sign up, however, involved testifying before Congress to encourage a careful approach at both the federal and county Farm Service Agency levels. NCGA also pushed for the two-year price average for 2009 to be based on the 2007 and 2008 crop years.

Success on both of these fronts was realized when the U.S. Department of Agriculture released its rules to implement ACRE. This allowed farmers to sign up for the 2009 ACRE program beginning in April. To provide information to farmers, NCGA co-hosted a webinar that drew more than 1,000 participants. We also continued to distribute an ACRE calculator and ensure updates were made as ACRE numbers were finalized.

These efforts drew a large number of farmers to ACRE, with more than 13 percent of base corn acres on more than 120,000 farms being signed up when registration closed in August. Corn made up the largest enrollment sector.

The new Administration arriving in Washington also meant a new Agriculture Secretary, new staff, new members of Congress and more. While the transition and changes created challenges, they also created opportunities.

Whenever there is turnover like this, shifts occur. For example, climate change moved to the front of the line and Renewable Fuel Standard implementation is happening with a different Environmental Protection Agency than was in place when the RFS passed.

This makes it critical that NCGA staff and its grassroots members are on the ground providing information on modern corn production and encouraging proper action on issues that are critical to farmers, including important risk management tools like crop insurance and convergence issues in futures markets.

Farmer visits to Washington – and telephone calls, postcards, letters and e-mails – ring loudly on Capitol Hill. These efforts are critical and lend a significant amount of credibility and weight to the positions NCGA takes on behalf of farmer-members.

Shortly after former Gov. Tom Vilsack was fconfirmed as Secretary of Agriculture, NCGA met with him and his staff to discuss budget proposals, the farm bill and ethanol. Vilsack told NCGA he was committed to increasing the market opportunities for ethanol and other biofuels, including through higher ethanol blends.

NCGA continues to push for funding fto upgrade locks and dams along the Mississippi and Illinois rivers. Current waterway improvements are only funded through the design phase, not construction.

Personal visits by corn farmers from across fthe country to members of Congress, assorted federal agencies and departments and industry partners helps build relationships and demonstrates that farmers are paying attention to issues inside the Beltway. These grassroots efforts open doors and amplify messages that are critical when key legislative or regulatory items arise.

NatioNal CorN Growers assoCiatioN Annual Report 2009

farm & rural development

Transition and change in political circles in Washington, does not make our job any better or worse. Regardless of the political winds, we are charged with the task to overcome challenges and seize opportunities. While NCGA works tirelessly on its members’ behalf, the secret lies within the strength of those members, those farmers and their families who make up our grassroots.

Mike GeskeMatthews, Mo. Chair of the Public Policy Action Team (2009)

MIKE

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The NCGA Corn Board met with newly confirmed U.S. Agriculture Secretary Tom Vilsack during a March meeting in Washington, and discussed President Obama’s federal budget proposal, the farm bill and ethanol.

As farmers survey their fields and prepare for another crop each spring, they aim to improve on the year before and be more efficient with resources on every

acre while producing a bigger crop.

This, in part, is what farming is all about – and farmers excel at producing more corn with fewer inputs.

While farmers have known this for some time, and seen the results in their fields, the National Corn Growers Association helped organize hard facts to back it up through its participation in Field to Market: The Keystone Alliance for Sustainable Agriculture. The Keystone Alliance is a collaborative stakeholder group that includes NCGA and other farm organizations, food and retail companies, agribusinesses and conservation organizations.

The report’s findings show tremendous improvement over the last two decades: corn farmers have reduced the amount of land needed to produce one bushel of corn 37 percent, reduced soil loss per bushel 69 percent, reduced the energy used to produce a bushel by 37 percent and reduced important emissions by 30 percent. While less than 15 percent of the nation’s corn crop is irrigated, those acres that have cut water use some 27 percent.

These are important numbers – and they allowed NCGA and many member states to more effectively share our sustainability story with a much broader audience.

The Keystone report was one of several that NCGA supported – or produced – during the year. For example, an NCGA whitepaper on water utilization updated water use statistics in corn production and helped put this natural resource issue into perspective.

A whitepaper on hypoxia provided important facts and a clearer picture of a misunderstood and complex water quality issue that can greatly impact corn growers.

Renewable fuels are often produced away from metropolitan centers, which may make “energy corridors” that can move ethanol and wind power more important in the future. To better understand the potential and challenges of energy corridors, NCGA commissioned the National Trans-portation Corridors and Renewable Energy study.

Understanding the political winds fin Washington, NCGA spearheaded an effort to make “cap and trade” legislation more farmer-friendly. While NCGA realizes there are divergent thoughts on climate change legislation, by being involved and working toward a compromise in the House we earned a seat at the table for future discussions and negotiations, which will benefit corn farmers across the country. NCGA has also initiated a study to determine what costs farmers would face should various climate change bills become law.

A record number of entries – 6,960 – poured finto NCGA for its National Corn Yield Contest. A study NCGA commissioned that examined National Corn Yield Contest data found that top yield winners in the contest are ahead of the curve, setting trends that lead the industry to the future. In 2009, the 24 national winners in eight production categories had verified yields averaging more than 300 bushels per acre.

NCGA funded research projects and pushed ffor more federal funding to address concerns with mycotoxins. A key focus was building federal support to establish and operate the Aflatoxin Mitigation Center of Excellence. This partnership between a number of land grant universities and grower organizations looks for ways to control or mitigate mycotoxins in corn.

production & stewardship

This committee – Production & Stewardship – is perfectly named because “production” and “stewardship” are not two separate lines on a balance sheet. Instead, corn farmers strive daily to produce high yields while being good stewards of the land, air and water. Important studies released this year demonstrate the many good things farmers do and show that farmers are indeed producing more with less, a trend that is certain to continue.

David WardMapleton, Minn.

Chair of the Production & Stewardship

Action Team (2009)

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NatioNal CorN Growers assoCiatioN Annual Report 2009

Tim Dolan Winthrop, Minn.Chair of the Grower Services Action Team (2009)

NCGA’s success is intrinsically linked to its wide-ranging grassroots support and that comes solely from its active, enthusiastic and broad membership. Those who join us do so knowing NCGA will work tirelessly on their behalf, while providing solid educational and leadership opportunities. It also gives us the ability to promote corn, prove that farmers today are more sustainable than ever and defend farmers’ interests on Capitol Hill and across the country.

TIM DO

LAN

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Few, if any, organizations see their membership numbers grow consistently from year to year. Yet the National Corn Growers Association saw membership

numbers reach a new record of more than 35,000 in 2009, continuing an enviable upward trend.

NCGA strongly believes that high ideals and operating with integrity, while sharply focusing on member needs, will draw new members to the organization. Meanwhile, the more members NCGA has, the more grassroots strength we can leverage when pressing critical issues on Capitol Hill and across the country. This effective stair-stepping method ensures growth and brings tremendous benefits for all.

Steady membership growth would not be possible without active recruiters motivated to share the benefits of NCGA membership with their peers. These individuals demonstrate their excitement about NCGA’s efforts, programs and accomplishments by engaging others and adding to our strength.

Among the more than 400 recruiters, three individuals were honored in 2009 for their membership recruitment work during the previous year – Chad Blindauer, Mitchell, S.D.;

Gene Fynboh, Brandon, Minn.; and Gerald Mulder, Renville, Minn.

For outstanding recruiting efforts year after year, NCGA inducted a new member into the Recruiter Hall of Fame. Denice Dirks of Luverne, Minn., is the fifteenth recruiter to join this elite group with 134 new recruits in 2008 and 780 since 2003.

Within the elite Hall of Fame recruiters group, four growers were awarded top honors. This included Leslie Roach, Wheatland, N.D.; Roger Bonham, Washington Court House, Ohio; Douglas Toreen, Bird Island, Minn.; and Myron Peterson, Sacred Heart, Minn.

In addition to honoring these individuals at the 2009 Commodity Classic, NCGA also recognized two state organizations for their efforts to grow their membership base. The North Dakota Corn Growers Association was highlighted for a 25.24 percent growth in its members, while the Iowa Corn Growers Association was honored for adding 538 new members.

NCGA and its scholarship partner BASF Corp. fawarded college scholarships to five deserving undergraduate and graduate students pursuing a degree in an agriculture related field. Each received a $1,000 scholarship and was recognized at Commodity Classic. This year’s winners included Rita Cook, Hubbard, Iowa; Alex Coughlin, Iroquois, S.D.; Elias Klokkenga, Emden, Ill.; Michael Sukalski, Fairmont, Minn.; and Emily Treu, Berlin, Wis.

Nineteen farmer-leaders attended NCGA’s fLeadership Academy and spent three days in Washington, for the second phase of the program. The group had previously spent a week in Greensboro, N.C., co-sponsored by Syngenta. This program has been on-going for two decades and helps NCGA cultivate, identify and train new leaders who keep the organization strong and on-task.

NCG A continued to provide t imely fcommunications to its members, partners, media and consumers through its blog and other social media outlets, including Facebook and Twitter. In addition, NCGA launched Corn Action News, its members-only weekly e-mail summary of news and information important to corn farmers across the country. Visit www.NCGA.com to sign up.

NCGA’s Online Learning Library launched in f2009, providing a resource for members to learn more about insect resistance management, weed resistance management, “Know Before You Grow,” and other production-related information. A water quality module will launch in 2010.

Farmers from across the Corn Belt took time off their schedules to travel to North Carolina in August for an intensive three-day leadership academy. The NCGA program, co-sponsored by Syngenta, prepares growers for being more effective spokespersons and leaders at the state and national level.

membership

At no time in history have corn growers and researchers known so much about the corn plant. Yet we are essentially standing before a blank slate – and

charged with the task of determining what, exactly, we would like the corn plant to do.

Certainly after so many decades of research that may seem like an unusual situation, but the successful decoding of the incredibly complex corn genome provides researchers with so many possibilities that they turn to us and ask: What do you want?

This opportunity became very real over the last year at meetings involving scientists from across the country and the National Corn Growers Association research team. From greenhouses in San Francisco to

convention halls in the Midwest, growers were challenged to come up with clear, concise priorities. What is your vision for corn over the next two decades? How do you want the plant to grow? And for what uses?

To help answer these questions and create an organized response, a steering committee is planning a workshop in 2010 with the research community that will lay the groundwork.

In keeping with a recommendation from affil iated states to increase collaboration and reduce research duplication between states and NCGA, a special research workshop was held prior to July Corn Congress. This forum was tremendously positive and productive. This effort led to the development of an online research database that will facilitate an interconnected approach to research following its 2010 debut.

In testimony on Capitol Hill, NCGA explained to members of Congress why corn is the model system for studying complex genomic structure, organization and function, and that its high quality genetic map will serve as the foundation for studies that will lead to improved biomass and bioenergy resources from all crops. This is why it is critical that adequate public funding is available for projects like the National Science Foundation’s Plant Genome Research Initiative, which NCGA helped create.

NCGA involvement was key in research fused to develop a process to produce ethyl lactate from ethanol. Ethyl lactate is an all-purpose solvent and common ingredient in pharmaceutical preparations, food additives and fragrances. Currently derived from petrochemicals, reactive distillation allows it to be made inexpensively from ethanol. It’s renewable, green and competitive, and may provide non-fuel revenue stream for some ethanol plants. NCGA continues efforts with interested parties to license the technology.

The Farm Foundation released its report, “The f30-Year Challenge: Agriculture’s Strategic Role in Feeding and Fueling a Growing World,” which was sponsored in part by NCGA. The report identifies six major areas of challenges facing agriculture. Within each area of challenges, the report highlights key

issues public and private decision makers may need to consider as they address the challenges ahead.

The National Institute of Food and Agricul- fture, created just last year, has improved the visibility of competitive research grants and raised the profile of agriculture research. NIFA is now the primary research arm of the U.S. Department of Agriculture, and its formation was supported by NCGA.

research & Business Development

Pam JohnsonFloyd, Iowa Chair of the

Research & Business Development

Action Team (2009)

PAM J

OHNS

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Pam Johnson, chairwoman of NCGA’s Research and Business Development Action Team, testified before a congressional subcommittee in April, emphasizing the importance of funding the National Science Foundation’s Plant Genome Research Initiative.

It’s incredibly satisfying and exciting to face a future that is wide open, to be asked by researchers what farmers are looking for in tomorrow’s corn plant. While we can only imagine the possibilities in our fields today, imagination and creativity is what it will take to outline where we want to go. We pushed hard for funding the corn genome research project, and it is the success of this program and the continued push for public funding and public-private partnerships that will lead to innovations that will spark the imagination of tomorrow’s farmers.

By simply looking at planting trends, the value of biotechnology to farmers becomes clear. In 2009, biotech hybrids were planted on 85 percent of all corn

acres, an increase of five points over 2008.

Biotech hybrids mean stronger roots and stalks, fewer passes through the field and less tilling of the soil. These benefits add up. Plants are better able to take on nutrients, stalks stay healthy to allow for a prolonged harvest and the plant is able to produce more grain in periods of stress. It also means a better overall environmental performance.

Farmers see all this and more. So do researchers.

In fact, the National Corn Growers Association made note of several reports over the last year that discussed the benefits of biotechnology.

For example, a report from the International Service for the Acquisition of Agri-biotech Applications listed several ways in which biotechnology supports sustainable development. They included contributing to food security and affordability, conserving biodivers i ty, reducing agr iculture’s

environmental footprint, mitigating climate change and contributing to sustainable economic benefits. NCGA helped spread these positive messages and noted that they fit perfectly into other sustainability messages that are important to corn farmers.

NCGA, as it does every year, hosted numerous visitors from the United States and around the world, helping to explain the science behind and benefits of biotechnology. NCGA, in conjunction with the U.S. Grains Council and other organizations, hosted visitors from five continents. Visitors from France, Denmark, Korea, Japan, China, Egypt, South Africa, Brazil and more had the opportunity to interact with U.S. farmers and see corn research, genetic testing and export facilities in action.

Importantly, NCGA continued its “Respect the Refuge” campaign during the year, pushing information to farmers and their advisors. Insect Resistance Management is critical to the continued use of biotech crops, and NCGA encourages farmers to follow all rules when utilizing biotech hybrids. As new refuge programs have been approved for the 2010 growing season, NCGA will roll out new learning materials to continue to educate growers.

NCGA Biotech Working Group Chairman fRob Korff had the opportunity to meet with the United Nations Secretary-General Ban Ki Moon at a food security conference in St. Louis, Mo. Korff shared the many important advances American farmers have made to produce abundant and affordable food, including how technology has made corn production more efficient and stabilized yields.

A report by PG Economics confirmed fNCGA’s position that raising biotech crops contributes to environmental and economic stability. The report noted that farmers in 25 countries are seeing increased yields, improved productivity and higher revenues due to biotechnology. It noted that farmers also reduced tillage, which was equivalent to removing 8 billion pounds of carbon dioxide from the atmosphere.

NCGA’s “Know Before You Grow” database fcontinues to be a useful tool for farmers and corn marketers who need to keep up to date with the regulatory approval status of biotech traits. As a result, NCGA continues to make updates to this database.

NatioNal CorN Growers assoCiatioN Annual Report 2009

biotechnology

Biotechnology is one of the great developments of our time. It is a hi-tech tool that provides a safe and efficient way to produce more grain for feed, food, fuel and fiber – with less of an impact on our planet. When discussing sustainability, biotechnology certainly is one important component we will continue to support.

Rob Korff Norborne, Mo. Chair of the Biotech Working Group(2009)

ROB K

ORFF

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Rob Korff, chairman of NCGA’s Biotechnology Working Group, provided comments regarding food security to United Nations Secretary General Ban Ki Moon, center, at a food security conference this past June in St. Louis, Mo.

The prospect of allowing up to 15 percent ethanol to be blended into regular gasoline, which would create jobs, ease the ethanol blend wall and provide

lower fuel costs and choices for consumers, sparked a record number of comments filed through the National Corn Growers Association’s electronic comment system.

This tremendous grassroots response to the ethanol waiver request put forth by the ethanol industry began during planting season. Realizing that farmers would have a difficult time submitting c o m m e n t s t o t h e E n v i r o n m e n t a l Protection Agency during this time, NCGA requested an extension that EPA granted. By supporting the waiver request, NCGA

helped American farmers tell the positive story of corn ethanol and reminded policy makers, legislators and the media that corn ethanol diversifies our fuel supply and serves as a critical part of domestic energy security. It gave us an opportunity to explain that America’s corn growers continuously exceed market demands for corn and will continue to meet the demands for food, feed, fuel a n d f i b e r i n a n e c o n o m i c a l a n d environmentally responsible manner.

(In December, the EPA decided to delay a f inal decision to later in 2010 but also said initial testing of E15 as a fuel was positive.)

Additional involvement with EPA centered around the agency’s proposed rule to implement the expanded Renewable Fuel Standard. NCGA and a number o f s t a t e a f f i l i a t e s expressed concern about biases against corn and the lack of transparency in some sections of the proposal. Concerns were also raised about potential new regulatory burdens farmers would face.

A major issue with the proposal centered on EPA’s indirect international land use change penalty for corn ethanol. NCGA countered that EPA’s model was flawed – especially considering that corn farmers are more than meeting the demand for corn and EPA significantly underestimates future U.S. corn yields.

NCGA commissioned four studies that support its positions and submitted them to EPA for consideration.

NCGA also submitted comments to the California Air Resources Board, which was developing low carbon fuel standards. NCGA pointed out significant flaws in the state’s proposal that could severely harm the domestic biofuels industry and increase our reliance on foreign oil. Like EPA, California’s ARB ignored the great growth in corn yields expected over the next decade.

NCGA will continue to fight for renewable corn ethanol and promote the tremendous benefits it brings to this country. The biofuels

sector is a critical market for corn farmers and offers compounding economic benefits to rural communities.

Because indirect land use became such an fimportant subject in regards to ethanol production, NCGA held a land use change conference to pull together many respected speakers and viewpoints. Their presentations and discussions utilizing updated and scientifically-based information helped farmers better understand the issues and become more prepared to address them.

ethanol & CoPRoDUCtS

Steve RuhSugar Grove, Ill.

Chair of the Ethanol

Committee (2009)

Farmers are always adopting new technology and improving management practices to produce more corn from the same acre of land. Yet too often regulatory agencies look backward at corn and ethanol production data. One message we emphasize is that corn production is already meeting and exceeding ethanol industry demands – and will certainly do so in the future thanks to farmer ingenuity backed by sound technological advances.

STEV

E RUH

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NCGA held a conference on land use and carbon impacts of corn ethanol in August, welcoming scores of interested participants to hear from more than two dozen scientific and policy experts – scientists, academicians and others who provided a diverse set of viewpoints.

NatioNal CorN Growers assoCiatioN Annual Report 2009

revenue & eXpenses

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Revenues FY oct. 08 - sept. 09

n Checkoff revenue $6,488,258.91

n industry 915,600.00

n Corn Yield Contest 889,485.00

n Membership 793,185.99

n Commodity Classic 454,295.00

n interest 20,115.12

n other 37,023.74

Total Revenues 9,597,963.76

n Team Program Expenses

Biotech working Group $97,580.71

ethanol Committee 534,530.09

Grower services action team 50,161.52

Production & stewardship action team 616,837.24

Public Policy action team 144,665.15

research & Business Development action team 301,496.99

Joint trade team 30,096.29

Total Team Programs 1,775,367.99

n Association Programs

Communications $442,664.96

Corn Board and Funding 820,902.14

Corn Utilization tech Conference (CUtC) 0.00

Membership and leadership 492,029.37

NCGa Commodity Classic and awards Banquet 308,379.52

Corn Congress 235,342.87

state relations and Meetings 59,991.85

Total Association Programs 2,359,310.71

n Human Resources FY oct. 08 - sept. 09

Health insurance $387,582.85

Payroll taxes 202,924.00

Professional Development 2,375.00

retirement 250,271.22

salaries 2,997,561.20

Total Human Resources 3,840,714.27

n Property and Equipment

Building interest $51,397.05

Depreciation 77,455.36

equipment leases, rentals and Purchases 75,741.02

it expense 55,136.44

Maintenance 27,127.09

Property taxes 36,223.85

rent 190,227.70

Total Property and Equipment 513,308.51

n Operating Expenses

accounting, legal and Professional Fees $71,125.69

Dues and subscriptions 34,862.46

electronic Communications 42,930.33

General liability insurance 54,576.95

Meetings 38,141.81

office expense 103,119.99

travel 25,553.76

Utilities 68,851.05

Total Operating Expenses 439,162.04

TOTAl ExPEnsEs 8,927,863.52

Net ReveNues 670,100.24

These are unaudited figures. Audited numbers will be available later in 2010.

The National Corn Growers Association takes seriously its responsibility to deliver value and carefully leverage your investment – ensuring that NCGA’s initiatives stimulate important advancements in a wide array of areas critical to farmers across the country. Your investment also allows NCGA to step up and defend your efforts to provide feed, food, fuel and fiber to the world. Our future successes and the future of the corn industry depend on your continued support of checkoff programs – but know NCGA understands that our strength comes from being a good steward of your checkoff investments.

19.9%

26.4%

43.0%

5.7%4.9%

TOTAl ExPEnsEs

REVEnUEs

67.6%9.5%

9.3%

8.3%4.7%

0.4%0.2%

CEO’S

MESS

AGE

Rick TolmanChief

Executive Officer

RICK T

OLMA

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2010 Action Team and Committee Members

Each and every year corn growers across the country have an opportunity to reach out and make a difference. This year was no different, with growers stepping up and letting their voice be heard in Washington, and stepping forward to volunteer their time and energy for the betterment of their fellow farmer.

It is humbling to see such grassroots in action, and the success of the National Corn Growers Association, as is the case with any organization, is attributable to these tremendous efforts.

Together this year, we advanced the cause of the American corn farmer on many fronts – from regulation to legislation, from environmental issues to sustainability. Yet one of the things I am most proud of is the way farmers from different states came together to speak with one voice and raise the profile of today’s contemporary farmer.

Our ability to come together on critical issues serves us well. With the guidance and commitment of NCGA’s grower leaders, combined with checkoff, membership and industry investments, we are well prepared for whatever we may face in 2010 and beyond.

PRODUCTION & STEWARDSHIP ACTION TEAM

Steve Ebke, ChairmanDean Taylor, Vice ChairmanJamie Jamison, LiaisonArt BuntingDon GlennBrent HostetlerJohn MagesLarry MussackSteve SodemanWesley SpurlockScott StirlingRoger ZylstraJim Tarmann, State StaffMax Starbuck, NCGA Lead StaffRob Snyder, NCGA StaffMelanie Gibson, NCGA Staff Mycotoxin Task ForceDon Glenn, ChairmanDanny Willingham, Vice ChairmanKen HartmanCharles Ring Wesley Spurlock

PUBLIC POLICY ACTION TEAM

Anthony Bush, ChairmanMike Clemens, Vice ChairmanMartin Barbre, LiaisonChip Bowling

Bill ChaseCurt FriesenBill HoffmanSteven KramerGary LamieTim LenzJerry MainLyle PughJim ReedTom Lilja, State StaffSam Willett, NCGA Staff

ETHANOL COMMITTEE

Jon Holzfaster, ChairmanKeith Alverson, Vice ChairmanDaryl Haack, LiaisonMark DrewesRob ElliottKevin HurstJim RappJeff SandbornDale TolifsonChad WillisRandy Klein, State StaffTeddi Mueller, State StaffJamey Cline, NCGA Lead StaffJessica Bennett, NCGA StaffMelanie Gibson, NCGA Staff

RESEARCH & BUSINESS DEVELOPMENT ACTION TEAM

Larry Hasheider, ChairmanJay Nissen, Vice ChairmanDave Nelson, LiaisonDean EppleyJulius SchaafPaul HerringshawGary HudsonDeb KellerKen McNamarKurt StiefvaterBob TimmonsDeVonna ZeugGary Clark, State StaffRobyn Stevens, NCGA StaffDaNita Murray, NCGA StaffSandra Wright, NCGA Staff

GROWER SERVICES ACTION TEAM

Tim Dolan, ChairmanRandy Woodruff, Vice ChairmanTheresa Schmalshof, LiaisonBill BergMark DeglerLarry JonsBrandon HunnicutHerb RingelJim RobbinsDon Rutledge

NatioNal CorN Growers assoCiatioN Annual Report 2009

14

2010 LEADERSHIP

The National Corn Growers Association represents the interests of 35,000 dues-paying members from 47 states. NCGA also works on behalf of 25 state grower associations and

more than 300,000 farmers who contribute to corn checkoff programs in 23 states.

Front row, from left: Chairman Bob Dickey, Neb.; First Vice President Bart Schott, N.D.; President Darrin Ihnen, S.D.; Chief Executive Officer Rick Tolman. Middle row, from left: Garry Niemeyer, Ill.; Jamie Jamison, MD; Daryl Haack, Iowa; Martin Barbre, Ill.; Secretary Kathy Baker; Theresa Schmalshof, Ill.; Guy Davenport, N.C. Top row, from left: Dave Nelson, Iowa; Clark Gerstacker, Mich.; Jerry Larson, Minn.; Mark Schwiebert, Ohio; Mike Geske, Mo.; Pam Johnson, Iowa; Treasurer Rodger Mansfield.

2010 NCGA Corn Board

Gary SmallBilly ThielJimmy Wedel Natalie Lehner, State StaffTim Brackman, NCGA Lead StaffVickie Darland, NCGA Staff

BIOTECHNOLOGY WORKING GROUP

Rob Korff, ChairmanChad Blindauer, Vice ChairmanMark Schwiebert, LiaisonBob BowmanEric KunzemanDave MielsonSteve RuhGary Schmalshof, USGC RepresentativeJim ThyenDavid WardGordon WassenaarJames ZimmermanJared Coppress, State Staff Nathan Fields, NCGA Lead StaffDaNita Murray, NCGA StaffElena Claiborne, NCGA Staff

JOINT TRADE POLICY A-TEAM

Steve Yoder, Corn ChairmanGarry Niemeyer, LiaisonWalt BonesTim Burrack

Donna JeschkeGeorge MortonRon Litterer, Ex-officio-APAC Jon Doggett, Ex-officio-ATAC DaNita Murray, NCGA Staff

FINANCE COMMITTEE

Jerry Larson, ChairmanPam JohnsonGarry NiemeyerDave NelsonBart SchottRodger Mansfield, NCGA Staff

ASSOCIATION RELATIONS COMMITTEE

Clark Gerstacker, ChairmanMartin BarbreBob DickeyMike GeskeFred Stemme, NCGA Staff

NOMINATING COMMITTEE

Bob Dickey, ChairmanJeff EngerLynn ChrispWarren KemperSteven Van Voorhis Kathy Baker, NCGA Staff

BYLAWS COMMITTEE

Pam Johnson, ChairwomanKent KleinschmidtJay LynchDavid MerrellTom NathanKathy Baker, NCGA Staff

2010 COMMODITY CLASSIC COMMITTEE

Cal Dalton, 2010 Co-Chairman Theresa Schmalshof Martin BarbreFred Stemme, NCGA StaffTim Brackman, NCGA Staff

CORN PAC

Ken McCauley, PresidentMark Degler, Vice PresidentLyle Pugh, SecretaryDwayne Siekman, Custodian of RecordsGuy Davenport Kevin Ross Jeff Scates Scott Wall Tim Recker Jon Holzfaster Jon Doggett, Executive DirectorRodger Mansfield, TreasurerDaNita Murray, Managing DirectorJennifer Holdgreve, NCGA Staff

The National Corn Growers Association, founded in 1957, is the largest and oldest national nonprofit organization representing the interests of U.S. corn farmers. Checkoff investments made by corn growers nationwide and the commitment and dedication of

farmer leaders gives NCGA the opportunity to redefine the role of corn in the world’s future through research, market development, public policy, production and education.

You can join 35,000 corn growers in 47 states involved in NCGA by connecting with one of our affiliated state corn organizations or by contacting NCGA. With your help, we will continue the remarkable achievements of America’s corn industry – and step up to meet the challenges corn growers face every day.

State Organizations& Grower Members

Grower Members

STEPPING forward ToGEThEr.

Visit NCGA.com for more details and updates on the corn industry.

National Headquarters 632 Cepi Drive Chesterfield, Mo. 63005 636.733.9004

Washington, D.C. Office 122 C St. NW, #510 Washington, D.C. 20001 202.628.7001

©2009 National Corn Growers Association