1. Beef Promotion Operating Committee

2. Beef Promotion Operating Committee
20 members:
10 Beef Board;
10 State Beef Council
Considers ARs; must contract with national, non-profit, industry-governed organizations to implement
Must approve by 2/3 vote
Subject to USDA approval 2

3. Operating Committee Responsibilities
Recommends budget to Beef Board
Considers and funds ARs
Executes agreements with contractors
Evaluates effectiveness of programs (delegated to Joint Evaluation Committee) 3

4. AR Budget Rules
Individual costs within an approved AR may vary between tactics within the same strategy
Funding cannot, however, be moved to a different strategy or AR without approval from the Operating Committee
Only costs incurred for an activity included in an approved AR will be reimbursed

5. Operating Committee Responsibilities
Reimburses Two Major Expense Types
Program
Implementation
Direct Expenses
Examples:
Advertising costs
Retail promotion
Printed materials
Allocation of Salaries &
Benefits, Admin Overhead
Examples:
Staff salaries
Staff benefits: health insurance, pension
Rent, utilities, telephone
Admin expenses: HR, accounting, IT
Equipment: copies, printers, computers

6. Cost-Recovery
Checkoff dollars are paid to contractors on cost-recovery basis only

7. Basic Purposes of OC Meetings
March – Orientation and review planning priorities and provide budget direction for the next fiscal year
May – Develop budget for next fiscal year and recommend to Beef Board
Sept – Review/fund ARs, amend CBB budget if funds are available, approve agreement with contractors

8. Basic Purposes of OC Meetings
Convention & Summer Conference – No OC meeting unless there is an urgent need
Other – Periodic s and conference calls to handle emergencies which do not require a face-to-face meeting