California farmers await potential change in dairy pricing

People in the dairy business say they're quite certain the state will be changing to a federal milk pricing system this fall, but they're holding out on making any long-term business decisions in anticipation of this move. In a producer referendum that ended earlier this month, California dairy farmers voted whether to join a federal milk marketing order for the state. Though the U.S. Department of Agriculture has yet to announce the results of the vote, the state's three largest dairy cooperatives, which represent the majority of the state's milk, reportedly bloc-voted on behalf of their members, indicating approval of the order.USDA has said implementation of a California federal order, if it is approved, is expected no later than Nov. 1. Currently, California dairy farmers operate under a state milk pricing system administered by the California Department of Food and Agriculture, while the majority of farmers in other states operate under a federal-order system.Exactly how the change would affect each individual farmer remains unclear, Tulare County dairy farmer Frank Mendonsa said, though he noted some are "very optimistic," while he and others are taking a "wait-and-see approach."