CAWG eNews: Alecia Moore of Two Wolves Wine to Keynote at the Unified Symposium’s Luncheon, State Budget, and More...

view as webpage

January 9, 2025

YOUR SOURCE FOR CAWG AND INDUSTRY NEWS

FOR CAWG MEMBERS ONLY

IN THIS eNEWS

This Week's eNews Includes:

CAWG News:

Alecia Moore of Two Wolves Wine to Keynote at the Unified Symposium’s Luncheon - Early Registration Closes on January 21
State Budget (LA Fires & Water for Farms)
CBP Activity in Agricultural Areas
Reminder: Deadline to Submit Grape Crush Data is Jan. 10
USDA MASC Program for Specialty Crops – Deadline tomorrow - Jan. 10
Workplace Psychological Safety Act
Webinar: Get a Fast ROI with the Right Palletizing Deployment Method
January Issue of American Vineyard Magazine - Featuring CAWG's 2025 Grower of the Year

Industry News:

The U.S. Surgeon General’s Warning Affecting California Wine
New Research Priorities Chart the Path for Grapevine Health
Near-Complete Ban on Agricultural Burning Takes Effect in the San Joaquin Valley
CA Lawmakers Go To Work on Affordability, Battling Trump
GO-Biz Now Accepting Applications for the California Competes Tax Credit

Upcoming Events:

The Importance of Clean Financials for Winegrape Growers and Wineries Webinar
2025 Legislative Update for Ag Employers Webinar
2025 Yuma H-2A Stakeholder Meeting
Orchard & Vineyard Redevelopment Consideration: Avoiding Costly Mistakes
2025 and Onward Annual Employment Law Briefing
CAWG Awards of Excellence Reception
Exploring Different Aspects of Vine Health Seminar

REMINDER: CAWG Membership Renewals - RENEW TODAY!

Don't forget to renew your CAWG membership. All first invoices were sent in November, with second invoices going out this week!

Need a copy of your invoice? Contact Mindy DeRohan.

CAWG News

Alecia Moore of Two Wolves Wine to Keynote at the Unified Symposium’s Luncheon - Early Registration Closes on January 21

Alecia Moore, Winemaker and Founder of Two Wolves Wine, will kick off the 2025 Unified Wine & Grape Symposium as the keynote luncheon speaker on Tuesday, January 28, 2025. Following the success of the previous year, Moore will be interviewed by Ray Isle, author and Executive Wine Editor at Food & Wine. Learn about Alecia Moore here. The keynote luncheon registration* is priced separately and includes a plated lunch and wine. Seats are limited.

Early registration for the Unified Wine and Grape Symposium closes on Tuesday, January 21 - Register here! CAWG members receive up to a $200 discount on registration as a benefit of their membership. Codes have been emailed to all CAWG members. If you didn't receive your membership code, please contact the CAWG office at 916-379-8995 or email Mindy@cawg.org.

*To attend the keynote luncheon, you must purchase a 1-Day or 3-Day General Registration and be an exhibitor or a member of ASEV or CAWG to attend.

State Budget (LA Fires & Water for Farms)

BUDGET: On Monday, Governor Newsom held a news conference at CSU Stanislaus in Turlock to roll out a high-level preview of the proposed state budget which is set to be released tomorrow. Newsom said he will propose a $322 billion budget without a deficit. The good news is that this is a “Jobs First” budget that will include increased funding for career tech training (which includes ag tech). The bad news is that Newsom wants the career tech money only for workers who are members of a labor union.

In the next two years, the budget deficit is expected to grow to $20 billion or so. This will be a challenge for California’s next governor who will be elected next November.

In the short term, Newsom and the legislature are vocally outspoken on reducing the cost of living in California. In addressing this, long-time political columnist Dan Walters stated, “California’s progressive policies are clearly in conflict with its living costs, thus creating a political conundrum. We’ll see whether the promises to improve affordability are a change of direction or just cheap talk.”

FIRE & FARMS: On Tuesday everything changed when Newson declared a state of emergency in Los Angeles. The costs of the horrific fires will likely be measured in the tens of billions of dollars. However, the budget discussed on Monday did not anticipate such costs. Additionally, President-elect Trump vowed “we won’t give (Newsom) money to put out all his fires” unless the Democratic governor agreed to divert more water to California farmers.

Federal funding typically pays for around 75% of the costs of repairing public infrastructure. Without it, California would need billions of dollars in additional money after major disasters. The money is crucial for communities — including Santa Rosa, where in 2017 the Tubbs Fire killed 22 people.

To compound the state’s potential budget problem, many of these properties are valued at several million dollars and were uninsured. For those properties that are insured, this is the kind of catastrophe the insurance industry has been worried about for more than a decade as it could put some small insurers out of business .

CONCLUSION: Considering all the above, these tragic fires in Los Angeles change the entire conversation about the state budget.

CBP Activity in Agricultural Areas

Recent reports indicate that U.S. Customs and Border Protection (CBP) is currently conducting random stops and checks in agricultural regions of Kern County and Fresno County. This activity includes entering fields and inspecting crews, as well as stopping vehicles in the area.

While initial reports suggested these actions were focused on targeting individuals with criminal backgrounds, it now appears that all undocumented individuals may be at risk of being detained.

CAWG sent an eAlert earlier today but strongly encourages you to consult your legal counsel to ensure your operation is prepared for potential audits or raids from Immigration Enforcement (ICE) and/or CBP. Taking proactive steps to review crew documentation processes and ensure compliance with all relevant labor laws is crucial at this time.

CAWG will continue monitoring this situation closely and work to gather more information about CBP’s activities and their impact on our industry.

CAWG is hosting a webinar with Fisher & Phillips LLP on February 6 at 10:00 AM focused on being prepared for and navigating ICE raids and audits. Register and learn more here.

Reminder: Deadline to Submit Grape Crush Data is January 10.

The deadline to submit your 2024 Grape Crush Data for the annual Winegrape Crush Report is quickly approaching: Friday, January 10, 2025. The Winegrape Crush Report is an essential resource for understanding market trends and benchmarking within the winegrape industry. The report provides important information for growers and wineries in making decisions in the future.

Important Dates For Grape Crush Crop Year 2024

January 10, 2025: Questionnaire Due
February 10, 2025: Preliminary Report Released
March 10, 2025: Final Report Released

Read CAWG's full eAlert sent earlier this week for more information.

Quote of the Week

Congressman Mike Thompson (D-CA) told Wine Searcher: "Any change to Americans' dietary guidelines should be fully transparent and use the best science – we know NASEM's study meets those rigorous scientific standards. We don't have the same transparency with the duplicative ICCPUD study. I encourage USDA and HHS to take NASEM's findings into account when developing the 2025 Dietary Guidelines."

USDA MASC Program for Specialty Crops – Applications Due Tomorrow January 10

This week, the USDA Farm Service Agency (FSA) announced exciting updates to the Marketing Assistance for Specialty Crops (MASC) Program.

Key Updates to the Program:

Deadline Extended: Applications are now due by January 10, 2025.
Increased Funding: An additional $650 million has been added to the program.
Higher Payment Limits: Payment limitations have been increased from $125,000 to $900,000 per applicant.

If you are a California winegrape grower, it is HIGHLY encouraged that you check your eligibility for economic assistance through the MASC program.

This program, announced at the end of 2024, offers $2.65 billion in funding to help specialty crop producers like you expand markets and manage higher costs, including labor expenses.

An updated FAQ has also been published and staff at your local USDA Service Center will work with you to file your application.

CAWG's eAlert with more information.

Webinar: Get a Fast ROI with the Right Palletizing Deployment Method

Wineries increasingly turn to end-of-line automation to address labor shortages, rising costs, and safety concerns. However, deploying a palletizing system can seem daunting, especially in the unique environment of a winery. Robotiq’s lean robotics approach, developed by CEO Samuel Bouchard, has already helped wineries and manufacturers of all sizes—from family-owned operations to large enterprises—overcome production challenges.

If you're a winery owner or manager looking to automate your palletizing process, this session is designed specifically for you. Join CAWG and Robotiq on January 16 at 10 AM to learn more!

Workplace Psychological Safety Act

An organization called End Workplace Abuse is pushing potential legislation in California that is intended to protect against bullying and address other mental health issues in the workplace. They claim, “Governments regulate the environmental safety of the workplace, but who’s making sure the mental health of U.S. workers is protected? The short answer is no one.” Well, in California, that is simply not true.

To be clear, mental abuse, bullying, and the like at work are strictly prohibited under California law, and an employer can be fined for failing to protect employees from such actions. For example, SB 553 (Cortese, D-San Jose) was signed into law in 2023 and requires every employer to prepare and implement a workplace violence prevention plan as part of their effective injury and illness prevention program. This includes addressing potential mental abuse, bullying, and such at work.

Nonetheless, End Workplace Abuse announced this week that they will be sponsoring the Workplace Psychological Safety Act in California this year.

January Issue of American Vineyard Magazine - Featuring CAWG's 2025 Grower of the Year

The January issue of the American Vineyard Magazine is now available featuring an article on the Miller Family, CAWG's 2025 Grower of the Year. Read the full article here (page 6).

Also included is CAWG's monthly column, CAWG @ Work. This month's article is focused on CAWG's 2025 priorities in DC and Sacramento. Each month, CAWG contributes to the magazine, discussing relevant industry trends. This month's column focuses on agricultural employees and the tactics currently being used by labor unions.

Read CAWG's January column online on page 5.

Industry News

Surgeon General’s Advisory Sparks Concern for Wine Industry

The U.S. Surgeon General has issued a new advisory linking alcohol to cancer and calling for updated health warnings on labels and a reassessment of federal consumption guidelines. Dr. Vivek Murthy identified alcohol as the third leading preventable cause of cancer in the U.S., citing risks for breast and liver cancer.

This stands in contrast to a December report by the National Academies of Sciences, Engineering, and Medicine (NASEM), which acknowledged the potential cardiovascular benefits of moderate drinking while noting a slight increase in breast cancer risk. Meanwhile, shifting perceptions are impacting the wine industry. A Gallup poll shows that 39% of Americans now view moderate alcohol consumption as harmful—up from 22% in 2005—fueled by growing scrutiny and declarations from the World Health Organization that no level of alcohol is entirely safe.

CAWG encourages public health leaders to promote thoughtful, science-based conversations about alcohol and health. Blanket warnings oversimplify complex science and discourage responsible enjoyment of a product that represents joy, culture, and connection for many. Consumers deserve balanced information that empowers informed decisions.

Wine, when enjoyed responsibly, is not the enemy. Let’s emphasize balance, education, and personal responsibility—values that truly enhance public health—without unfairly targeting an industry vital to California’s economy and heritage.

CAWG will work closely with the Congressional Wine Caucus to ensure the wine industry has a voice in these discussions.

NOTE: Alcoholic beverages are already on the Prop 65 cancer warning list for California. Click here for the fact sheet from the Office of Environmental Health Hazard Assessment.

New Research Priorities Chart the Path for Grapevine Health

A report from the National Academies of Sciences, Engineering, and Medicine, “Advancing Vineyard Health: Insights and Innovations for Combatting Grapevine Red Blotch and Leafroll Diseases,” has identified key research priorities to curb the spread of grapevine red blotch and grapevine leaf roll diseases and mitigate their economic impact.

Funded by the Pierce's Disease and Glassy-Winged Sharpshooter Board, the independent report provides a roadmap for future research and action, offering innovative solutions to safeguard the vitality of California’s vineyards. The Board will consider the recommendations when evaluating new research and outreach proposals.

Developed by leading scientists, the report examines what is currently known—and unknown—about the two diseases, identifies the most promising avenues for research and management and provides guidance for shaping future studies to address these challenges. The report presents 88 key conclusions and 64 actionable recommendations, focusing on high-priority research to close knowledge gaps and pursue the most promising management solutions.

High-priority action items for growers include:

Use clean plant material
Remove infected vines
Participate in areawide vector management programs

View full report online at https://www.cdfa.ca.gov/pdcp/avhr.htm l.

The California winegrape crop insurance deadline is fast approaching. You must sign-up for coverage by January 31 for this crop year.

Near-Complete Ban on Agricultural Burning Takes Effect in the San Joaquin Valley

San Joaquin Valley farmers are banned from burning agricultural waste in the field as a result from Senate Bill 705, signed in 2003, aimed to improve air quality. However, delays were granted repeatedly until 2021, when the San Joaquin Valley Air Pollution Control District and California Air Resources Board set a final deadline of January 1, 2025. California has allocated $180 million in grant funding to fund alternatives like chipping, shredding, and mulching.

Winegrape growers are grappling with the higher costs. CAWG Director and President of Allied Grape Growers, Jeff Bitter, estimates that disposal costs have increased fourfold compared to burning. He advises farmers to act while grant funding is available, as its future remains uncertain.

CAWG hosted a webinar in November focused on Vineyard Removal in the San Joaquin Valley. This webinar covered important considerations for vineyard removal, including financial incentive programs, disease testing for removal and the Tree Assistance Program (TAP), removal methods, and land use planning. Experts provided updates on San Joaquin Valley’s ag burn regulations, alternatives to open ag burning, and grant opportunities. Watch the recording here.

CA Lawmakers Go To Work on Affordability, Battling Trump

After the holiday break, state lawmakers are back in Sacramento, kicking off the new legislative session with several critical issues on their agenda:

State Budget: Governor Gavin Newsom is set to release his budget proposal, addressing a projected $2 billion shortfall for 2025-26. While the budget could remain balanced with minor adjustments, higher deficits loom in future years. Lawmakers will need to prioritize spending carefully, especially as federal aid remains uncertain under the incoming presidential administration. Newsom will highlight key budget initiatives today during an event in Northern San Joaquin Valley.
Affordability Challenges: Tackling California’s high cost of living is a top priority for Democratic leaders, who see it as a factor in the party’s recent election challenges. Proposed legislation includes measures to boost housing development and reduce gas prices. Meanwhile, Republican lawmakers advocate for eliminating gas and electricity taxes and implementing broader reforms.
Trump Administration Legal Battles: Legislators plan to expedite Governor Newsom’s $25 million proposal to fund legal challenges against President-elect Donald Trump. California is bracing for conflicts over immigration, abortion access, and other key issues as Trump prepares to return to the White House.

For more details on the legislative session's priorities, CalMatters full story.

CDFA Awards $1.15m for Research and Education Projects to Improve Nutrient and Irrigation Management

California Department of Food and Agriculture’s (CDFA) Fertilizer Research and Education Program (FREP) has announced $1.15 million in awards to five new projects. These new projects will advance California growers’ understanding and implementation of improved nutrient and irrigation management practices.

The five funded projects include:

Monitoring and Assessing Variability of Nutrient Status in Almond Orchards with Hyperspectral Satellite Imagery Empowered by Artificial Intelligence
Development of Three Citrus Modules in the Decision Support Tool CropManage for Orange, Mandarin, and Lemon
Determination of Crop N-Removal Coefficient Values for the Imperial and Coachella Valleys Cropping Systems
Equity in Nutrient Management Education on the Central Coast of CA
A Science-Based and Interactive Website for Nutrient Management in Organic Crop Production

Learn more about the projects funded here.

GO-Biz Now Accepting Applications for the California Competes Tax Credit

The Governor’s Office of Business and Economic Development (GO-Biz) is now accepting applications for the California Competes Tax Credit (CCTC). This program offers $215 million in tax credits for businesses expanding in California and creating quality, full-time jobs that would not otherwise be generated by the business or its competitors.

The deadline to submit applications is Monday, January 27, 2025, at 11:59 p.m. A free online webinar is being offered on January 16, 2025.

More information and the online application can be accessed online.

Upcoming Events and Trainings

The Importance of Clean Financials for Winegrape Growers and Wineries Webinar

Join the Lodi District Grape Growers Association and MGO CPA for a webinar on the importance of clean financials for winegrape growers and wineries.

Topics will include:

The Importance of Clean Financials: Discover how regular reconciliations and strong financial hygiene practices enhance transparency, reduce errors, and position wineries for growth and audits.
Financial Best Practices: Learn how monthly inventory checks, cash flow reviews, and approval workflows support operational health and compliance.
Financial Statement Readiness: Understand how professional and organized financial statements build investor trust, uncover potential issues early, and prepare businesses for expansion.
Mastering Inventory Management: Explore best practices for inventory tracking, valuation methods, and leveraging automation to reduce losses and improve accuracy.
Tax Compliance and Implications: Gain insights on how clean financial records simplify tax filings, minimize liabilities, and ensure compliance with excise, property, and sales tax regulations.

When and Where:

January 14, 9:00 AM PST, Zoom

2025 Legislative Update for Ag Employers Webinar

CAWG Associate Member Fisher Phillips is hosting a legislative update for agricultural employers webinar as part of their CA Agricultural Webinar Series. The seminar will cover important California legislative and legal updates affecting agricultural employers in 2025 and beyond with an overview of important new laws impacting workplace policies, compliance, and employee management.

When and Where:

January 14, 12:00 -1:00 PM PST, Zoom

2025 Yuma H-2A Stakeholder Meeting

The Agricultural Personnel Management Association (APMA) has organized a meeting where government and industry experts will provide key updates and insights on the latest H-2A developments.

When and Where:

January 15, 7:30 AM - 3:00 PM MST, Paradise Casino, 450 Quechan Drive Yuma, AZ 85364

Orchard & Vineyard Redevelopment Consideration: Avoiding Costly Mistakes

Hosted by the San Joaquin County Resource Conservation District, this seminar will cover the following topics:

Regulations & Funds: San Joaquin Valley Air Pollution Control District
Abandoned Orchard & Vineyard Pest Concerns and Burn Letters for Diseased Material
“Whole orchard & vineyard recycling in the San Joaquin Valley, rebalancing the C:N ratio, fertility management and disease considerations in next generation orchards after replanting.”
Incorporating Soil Building Conservation Practices: Using Cover Crops as Tools
Orchard/Vineyard Removal and Air Curtain Burning Vendors
Funding: Inflation Reduction Act – Natural Resources Conservation Service
Funding: Healthy Soils Program - California Department of Food and Agriculture
Farmer Panel

When and Where:

Friday, January 17, 12:00 PM Robert Cabral Agricultural Center, 2101 E. Earhart Avenue, Stockton

Download the event flyer for additional details and registration information.

2025 and Onward Annual Employment Law Briefing

Join CAWG Associate Member Downey Brand for their Annual Employment Law Luncheon. Attorneys from their employment law group will provide a briefing on significant legal developments in California and federal employment law.

Topics discussed will include:

The mid-2024 PAGA “reform,” including changes to the penalty structure and curing violations
Modifications to leave related to victims of crime
Changes impacting discrimination and harassment laws, including intersectionality of protected classes, local government enforcement, and Supreme Court analysis of discriminatory job transfers
Wage and hour updates, including cases defining “hours worked” and “knowing and intentional” wage statement violations

When and Where:

Sacramento Seminar: January 22, 11:30 AM - 1:00 PM, The Sequoia at the Cannery, 1601 Alhambra Blvd, Sacramento, CA 95816
Stockton Seminar: January 23, 11:30 AM - 1:00 PM, University Plaza Waterfront Hotel, 110 West Fremont Street, Stockton, CA 95202

CAWG Awards of Excellence Reception

Join CAWG for the Awards of Excellence celebration following the Welcome Reception at the Unified Wine and Grape Symposium.

CAWG will honor the Miller Family, The Thornhill Companies as the 2025 Grower of the Year, and Randy Heinzen, Vineyard Professional Services as the 2025 Leader of the Year.

When and Where:

Tuesday, January 28, 2025, 6:00 PM, Sheraton Grand Sacramento

Registration for the Unified Wine and Grape Symposium is not required and the Awards of Excellence Reception is free to attend with no RSVP needed. Sponsorship opportunities are available (please contact Jenny Devine for more information)!

Exploring Different Aspects of Vine Health Seminar

The Department of Viticulture and Enology at UC Davis is hosting the Exploring Different Aspects of Vine Health seminar at the UC Davis Conference Center.

Topics include:

Advancing the development of powdery mildew and Pierce’s Disease-resistant cultivarsStudying wild grapes to envision the next generation of grapevine cultivars
Interactive effects of trunk disease and water stress on grapevine physiology
Spotted Lanternfly: The need to remain vigilant
Achieving sustainability and quality in a warming world
How to protect pruning wounds from grapevine trunk diseases

When and Where: