CDFA announced today that it will grant a hardship request submitted by L & J Vanderham Dairy back in 2024. The dairy asked for relief of the quota premium assessment for 12 months. CDFA determined that the dairy “should be relieved from the payment of assessment in the amount of $573,450.” The text of CDFA’s May 20, 2025, letter is included below in its entirety.
Dear Mr. Vanderham:
We received a hardship request from L & J Vanderham Dairy on May 29, 2024 via the Law Offices of Mark A. Wasser. In the letter your dairy asked to be relieved of the quota premium assessment for 12 months; additionally, you asked to be refunded the quota premium assessment paid since March 2023. The purpose of this letter is to inform you that your request for hardship consideration from the provisions of the Quota Implementation Plan (QIP) was heard by the Producer Review Board (PRB) on May 5, 2025. After reviewing your request, the Board recommended that your claim be declined. The Secretary has reviewed the PRB’s recommendation and findings and determined that L & J Vanderham Dairy should be relieved from the payment of assessment in the amount of $573,450.
Please note that the mechanics for the relief will involve a monthly refund process, as opposed to an exemption from payments. Staff from the Quota Administration Program will contact you in early June to go over the specifics of the process, including claw-back information, if applicable.
If you have questions about this letter or the Program, please contact the Quota Program at the number below.
CDFA also announced new procedures for handling hardship requests under the QIP. The QIP provides that producers may request relief from hardship to the Producer Review Board and that upon review of the request, the Producer Review Board shall submit its recommendation to either support the request, deny the request, or provide partial relief in writing to the Secretary. The QIP does not specifically outline the procedures or process for submission or consideration of a hardship request received by the Department.
As a result, the Department developed procedures for any hardship consideration received by the Department and reviewed by the Producer Review Board. The new hardship procedures will apply to any new hardship request considerations received by the Department going forward.
Read the new hardship request procedures here.
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