Alabama Grocer 2023 Issue 3.indd

Grocer Alabama 2023, ISSUE 3 Alabama Grocers Association

PRESIDENT'S MESSAGE PAGES 6-7 AGA'S MAJOR LEGISLATIVE ACCOMPLISHMENTS PAGES 10-11 2023 ANNUAL SHOW RECAP PAGES 20-26 BAB FOOD PRODUCT EXPO PAGE 29

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CONTENTS | ISSUE 3

FEATURES

COLUMNS Chairman's Message A Grocery Accomplishment President's Message Welcome to the AGA Family Legislative Update

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Business as Usual Industry News

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12-13

It's a World of Change Conscious Efforts Early End of Summer

Chairman's Message Welcome our new Chairman, Bob Crawford!

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President's Message 'Why should I be the next member of the Alabama Grocers Association (AGA)?'

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Healthy Benefit Cards Association News 2023 Food Industry Finest Luncheon New Member Review 2022 AGA Yearly Sponsors AGA's Major Legislative Accomplishments 2024 AGEF Golf Outing AGA New Members 2024 AGA Annual Show 2023 Annual Show Diamond & Four Star Sponsors BAB Food Product Expo Upcoming Events 2023 Annual Show Recap Spirit of America Award AGEF Silent Auction Business Sessions Exhibit Hall AGEF Best Bagger Competition

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5B

7B

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10-11

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AGA's Major Legislative Accomplishments The voice of the grocery industry in Alabama.

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2024 AGA Annual Show Laissez les bons temps rouler!

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2023 Annual Show Recap Cultivating community within Alabama's grocery industry.

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ALABAMA GROCERS ASSOCIATION BOARD OF DIRECTORS

Chairman of the Board Bob Crawford United-Johnson Brothers

Vice Chairman Wade Payne Food Giant/Mitchell Grocery Corporation Past Chairman Frank D'Amico, III BTC Wholesale Distributors

Treasurer Bill Davis A & R Super Markets, Inc.

Sergeant-at-Arms James Cochran Buffalo Rock/Pepsi

EXECUTIVE COMMITTEE

Immediate Past Chairman Harold Garrett Gateway Foods

Secretary Bo Taylor Coca-Cola Bottling Company UNITED, Inc. Tom Sayers Publix Super Markets, Inc.

President/CEO Ellie Smotherman Taylor Alabama Grocers Association

Jack Carlile UNFI

Jay Mitchell Mitchell Grocery Corporation

Alison Steineker Alabama Power Company

VICE PRESIDENTS

Jimmy Wright Wright's Market

DIRECTORS

Stan Alexander Associated Grocers of the South Chris Crosby Utz/Golden Flake

David Brownlow Blue Bell Creameries Gerry D’Alessandro Fresh Value Bubba Lindley EDLINCO

Paul Burnett Byars|Wright Insurance Lucy Greer Autry Greer & Son's Jerry McCann Piggly Wiggly Alabama Distribution Company Cliff Thomas Campbell's Snacks Stacy Wiggins Rouses Enterprises

Kirk Clark Mitchell Grocery Corporation Mike Hanson Milo's Greg Rains Alabama Crown Distributing Company Austin Virciglio

Kyle Kimsey Red Diamond

Lynn Rushing SE Grocers/Winn-Dixie Charles Weathington UNFI

Manny Shoemaker Acosta Sales & Marketing Boyd West Associated Wholesale Grocers

Piggly Wiggly Chris Woods Retail Data Systems

Peter "Greg" Gregerson, Jr. Gregerson's Foods

James Scott Better Choice Power

John Wilson Super Foods Supermarkets

EX-OFFICIO BOARD MEMBERS

AGA STAFF

Stephanie Crabtree Event & Education Director

Patrick McWhorter Legislative Representative

Tori O’Neal Membership & Communications Director

ALABAMA GROCERS EDUCATION FOUNDATION BOARD OF TRUSTEES

EXECUTIVE COMMITTEE

Chairman Tom Sayers Publix Super Markets, Inc.

Vice Chairman Jake Sim A & R Super Markets, Inc.

Secretary/Treasurer Don Richardson Coca-Cola Bottling Company UNITED, Inc. David D'Amico BTC Wholesale Distributors Rob Renfroe Renfroe, Inc.

President/CEO Ellie Smotherman Taylor Alabama Grocers Association

BOARD OF TRUSTEES

Jeff Bolas Bunzl Distribution Steven Harden Buffalo Rock/Pepsi

Jim Cetrulo Don Francisco's Coffee Gene Phillips Truno Retail Technology Solutions

Jai Freeman Freeman Foods Andrew Virciglio Piggly Wiggly

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A GROCERY ACCOMPLISHMENT CHAIRMAN’S MESSAGE

Bob Crawford President United-Johnson Brothers ALABAMA GROCERY TAX CUT BY 1%

It seems that everything is costing more these days, but here is some great news that everyone in Alabama can enjoy. On September 1, 2023, Alabamians received a tax cut on grocery items. The new state grocery item tax rate is now 3%. It was cut by 1% through legislation sponsored by State Representative Danny Garrett (R-Trussville) and State Senator Andrew Jones (R-Centre). A big thank you to the Alabama Grocers Association team and for those who helped champion this success.

Today, there are 37 states that do not have a grocery sales tax and only 13 states that do have one. Currently, Mississippi has the highest grocery tax rate at 7%. Six of the thirteen states have made adjustments to their grocery tax rate this year through legislation. The states were Alabama, Kansas, Virginia, Illinois, Tennessee, and Idaho. Even more good news, Alabamians could see another 1% reduction in the grocery tax in 2024 if there is sufficient growth in the Educational Trust Fund (ETF) for the next fiscal year.

Please join me as we celebrate this great win for Alabama and know that the mission of the Alabama Grocers Association is to promote the growth and success of the food industry in the state of Alabama through advocacy, education, public relations and networking.

Best Regards, Bob

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WELCOME TO THE AGA FAMILY PRESIDENT’S MESSAGE

Ellie Smotherman Taylor President/CEO Alabama Grocers Association 'WHY SHOULD I BE THE NEXT MEMBER OF THE ALABAMA GROCERS ASSOCIATION (AGA)?'

This question has been a common ask since the beginning of my involvement with AGA in 1995. First and foremost, the AGA is the voice of the grocery industry for the state of Alabama. We advocate for important issues that affect your bottom line. The reduction of the grocery tax this September is a great example of how AGA represents our members in the legislative arena. Did you know that Alabama was only one of three states that still fully taxed groceries? All our surrounding states, apart from Mississippi, do not fully tax groceries. If I was a consumer paying almost 10% in grocery tax, it would be appealing to cross state lines to take advantage of having zero grocery tax in a neighboring state. AGA has been an advocate of this removal for over a decade, and we should all be proud it finally has come to fruition. The Association sent out a press release commending our legislators for taking this first step in the reduction of the tax.

The grocery tax was not the only thing we passed in the 2023 Legislative Session. Alcohol liability reform, organized retail theft, and updated alcohol curbside regulations were also huge accomplishments this year. It is almost unheard of for an organization to pass four pieces of legislation in one session, and with the help of AGA’s Legislative Consultant, Patrick McWhorter, we conquered this feat. The AGA is also a resource for education on important industry topics. At the 2023 AGA Annual Show, we had a top national expert on grocery trends, an economist, an electric vehicle seminar, an active shooter awareness training, and a health & wellness session. Each year we identify trending industry topics on which to educate our members. How many of you could have used that information for your business?

Another unforgettable asset as a member of AGA is the Alabama Grocers Education Foundation (AGEF). Our Foundation awarded over $50,000 in scholarships this year and has awarded over $1.4 million in scholarships since its formation, a fantastic accomplishment for our industry. AGEF helps many of our colleagues in their professional development and supports our members' families through our scholarship and tuition reimbursement programs. The regulatory process is also an invaluable part of what AGA does for our members. Recently, I received a call from an operator that was acquiring a new store. They wanted to have a seamless transition on the day of closing to be able to accept the Supplemental Nutrition Assistance Program (SNAP) benefits on day one of their acquisition. AGA was able to work with them and our partners at United States Department of Agriculture’s Food and Nutrition Services to make this happen. How much is it worth to your company to not have a day missed accepting SNAP? Imagine the losses your company would have incurred if you had to wait weeks for approval.

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Alcohol licensing is also a request I often receive. I will never forget a retailer calling me in a panic that had been waiting over six weeks for their license. Through the relationships we have fostered with our state agency, AGA was able to forge the gap and help this retailer. I remember calling them in my kitchen the day before Thanksgiving with the great news they had been approved. These relationships with state agencies are critical, and I am very proud of the ones that we have built throughout the state.

The AGA creates an environment for our members to cultivate community within our industry through several annual events. Our AGA Annual Show enables our members to build connections with each other and have face-to-face interaction to discuss and expand ideas with others in the industry. The AGEF Golf Outing and AGEF Clay Shoot raise money for scholarships and provide the opportunity for fellowship. The Food Industry Finest Luncheon has become a premiere event that honors our Retailer, Wholesaler, and Vendor of the Year Awards and provides another opportunity to deepen our connections and strengthen our voice as we unite to raise money for our political action fund, the SACK PAC.

The Alabama Grocers Association is for you. We work tirelessly to promote the growth and success of the food industry through advocacy, education, public relations, and networking. The grocery industry is extremely important to our state as we are essential businesses, which are essential to our local communities. Join our family of over 300 members and call AGA home today.

Best Regards, Ellie

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BUSINESS AS USUAL LEGISLATIVE UPDATE

Patrick McWhorter Legislative Representative The McWhorter Group 2023 CONTINUED EFFORTS

Back in the old days, the Legislature completed its work in mid-June and everyone scattered … back to their businesses and their other lives. That does not happen anymore, especially this year. As we predicted, the US Supreme Court struck down the Legislature’s first effort to draw new Congressional districts, so a Special Session was called to draw new ones. The new maps have now been rejected by the three federal judges in Birmingham, and a Special Master has been appointed to draw new maps to comply with the Supreme Court decision. So with a month before qualifying begins for candidates to file for these offices, we’re waiting to see what the districts will look like. And our guess is, it won’t look good for Mobile, the Wiregrass, or for current Rep. Barry Moore. Remember, some years ago the Legislature moved primary elections during Presidential years to occur the same day as “Super Tuesday.” Next year that election will fall on March 5th . That’s bad enough. But the national ramifications of these judicial decisions could have far-reaching effects. With Republicans holding the slimmest of margins in the US House, losing one seat in Alabama, with Florida and Georgia and Louisiana and other states racing to the courthouse to follow suit, the balance of power could definitely change. Stay tuned.

We’ve also got legislative committees meeting and a big dispute over the use of the recent gasoline tax increase. Lt. Governor Will Ainsworth is leading a fight to widen I-65 while a group in west Alabama want to spend $1.5 billion of state road tax money to widen US highway 43. The latest move was that all highway contracts were held up in committee last week. Stay tuned. The first step in repealing the state’s portion of sales taxes on groceries kicked in September 1st . From all accounts, there were a few glitches, but for the most part it appears to have been a successful day for the people of Alabama. Now, we watch the Education Trust Fund projections next year to determine whether the second 1% of the sales tax will be removed. Thank you to all who participated in the social media campaign on the topic. Our goal, working with the Lt. Governor and other leaders, is the complete removal of the 4% tax on groceries over the next few years. The Ready to Drink (RTD) Task Force has met and organized themselves. Sen. Steve Livingston and Rep. Andy Whitt were chosen as Co-Chairs, and we expect to learn their meeting schedule for the fall soon. The aim is to come to agreement on a piece of legislation for the 2024 regular session which will allow retailers to sell these spirits-based products in our stores.

All our other legislation passed during the 2023 regular session is moving toward effective dates and/or implementation. Our staff has met with the AL Office of Prosecution Services and the AL District Attorneys Association, and they are working to set up training for local assistant DA’s and law enforcement across the state to prepare them to enforce our sweeping theft by shoplifting and organized retail theft statutes that will take effect next year. Theft continues to be a huge problem here and across the nation, and we are hopeful this will greatly assist our efforts to control the problem. Barring any new problems, the Legislature will return for the 2024 regular session on February 6, 2024.

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2022 AGA YEARLY SPONSORS

ELITE SPONSORS ($15,000+): Associated Wholesale Grocers Buffalo Rock/Pepsi Coca-Cola Bottling Co. UNITED, Inc. Merrill Lynch UNFI United-Johnson Brothers

PREMIUM SPONSORS ($10,000+): Alabama Crown Distribution Company Alabama Power Company Altria Client Services, LLC Associated Grocers of the South Federated Insurance Mitchell Grocery Corporation Piggly Wiggly Alabama Distributing Co. Publix Super Markets, Inc.

CHOICE SPONSORS ($5,000+):

Bimbo Bakeries Blue Bell Creameries BTC Wholesale Distributors, Inc. Byars | Wright Insurance Don Francisco's Coffee Flowers Baking Company Frito-Lay Gateway Foods Keurig Dr. Pepper Red Diamond Coffee & Tea Retail Data Systems Truno Utz/Golden Flake Walmart Campbell Snacks Cobbs, Allen & Hall

PARTNER SPONSORS ($2,000+):

A & R Super Markets, Inc. Autry Greer & Sons '

BCP- Better Choice Power, LLC. Bevco Div.-National Beverage Bunzl Distribution Buy-Lo Quality Foods Crystal Farms Dairy Company Edlinco Fresh Value Harvest Sherwood Food Distributors Houchens/Food Giant Krispy Mixes, Inc. K-VA-T Food Stores, Inc. Manning, Inc. Mayfield Dairy Farms Milo's Tea Molson Coors Post Consumer Brands R.J. Reynolds Tobacco Company SEGrocers

THANK YOU TO OUR SPONSORS

Sunset Farm Foods, Inc. The Kroger Company

AFFILIATE SPONSORS (up to $1,999):

Renfroe, Inc. Royal Food Company Russell Piggly Wiggly Sargento Foods SellEthics Marketing Group Smucker's Stratus Group Super Foods Supermarkets Hdq. Tampico Towsleys, Inc. Wells Enterprises, Inc. Wright's Market

Forster & Howell, Inc. Geloso Beverage Group Hometown Grocery, Inc. Ice Cream Specialties John Soules Foods Johnny Fleeman's Gourmet Lipari Foods Misty Mountain Spring Water Mrs. Stratton's Salads My Advisor, Inc. Pictsweet Reese Group

Ace Hardware Acosta Sales & Marketing AlaBev Amber Falls Winery and Cellars Bengal Products, Inc. C&M Food Distributing China Doll Rice Columbia Southern University DCR Profit Control Systems Dutch Farms Estes Foods, Inc. FMS, Inc.

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INDUSTRY NEWS

IT'S A WORLD OF CHANGE

Michael Sansolo Retail Food Industry Consultant DO NOT RISK COMPLACENCY AND THE IRRELEVANCY THAT COULD FOLLOW

Alabama’s love for football is well known thanks to the state’s extremely successful main university. (And not to annoy anyone, but Auburn isn’t bad either.) However, there was recently a development at the professional football level that sends a strong reminder to the supermarket industry in Alabama and everywhere that change is the only constant and evolution is essential. Saquon Barkley, arguably one of the best running backs in the National Football League, recently signed a new, one-year contract for $11 million, but that’s only a small piece of the story. In decades past, Barkley would have likely received much more money thanks to his proficiency at one of the most important positions in the offense. Only that day has passed. More than ever, running backs like Barley are seen as unworthy of massive multi-year contracts due to their likelihood to suffer injuries and frankly a large supply of acceptable replacements. In fact, according to various reports, running backs now get paid only slightly better than punters, hardly the company they want to keep. Why does this matter to you (no doubt you are already wondering)?

It’s simple: the world keeps changing; what people value or don’t value keeps shifting; and if you don’t keep evolving with those changes, you and your business can be irrelevant really, really quickly. Think for a second about basic supermarket advertising. For years, the main medium was print newspapers, especially for coupon circulars. But increasingly newspapers are less and less important, especially in print format. People are dropping subscriptions at an alarming rate and it’s hard to find young adults who think newspapers are a source of anything essential. Instead, many people now get their news through social media sites like Facebook and TikTok. So if your company still relies on traditional media you need to at minimum ask a lot of tough questions of your team because your traditional advertising might be completely invisible to the younger generations of shoppers. Likewise, the value of items in the store keeps changing. More than ever you need to examine how to provide convenience and ease to time pressed shoppers. It’s not a new trend, but it’s still a huge trend.

The Wall Street Journal recently reported on what it sees as long overdue changes and threats for supermarkets. The Journal outlined how traditional operators continue to lose market share to clubs, supercenters and discounters. As the Journal pointed out, those other formats all have built in advantages the supermarket lacks. For example, clubs have membership fees to provide an additional source of revenue and both clubs and supercenters sell a broad variety of profitable non-food products that give them the ability to reduce prices in traditional groceries. The explosion of limited assortment deep discounters creates a different challenge thanks to their reliance on private label products to give them a competitive price advantage.

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In contrast, the Journal said, the center store aisles in supermarkets seem barely unchanged through the decades and the report placed a significant share of the blame on the industry’s continued reliance on deals and allowances to provide profits. As the Journal opined, those funds might help the bottom line but they prevent stores from making major change in center store aisles, which might lead to the erosion of sales, profits and customer loyalty. To tie this back to football, as any casual fan of the game at the pro or collegiate level knows, the tactics on the field have shifted greatly in recent years. More than ever, football teams rely on passing plays to gain yardage and score. Not surprisingly, that means the highest paid players are now the quarterbacks who throw the ball, the receivers who catch it and the blockers who keep them all upright. Running backs who gain yardage on the ground are, in contrast, devalued.

Like those football coaches, leaders in the supermarket industry need evaluate their tactics to examine what is and is not working. Beyond your advertising methods, how have you changed to deal with the growing reliance on internet based shopping and services like delivery or curbside pick up? How have you changed to reflect the shifting demographics and growing diversity in your communities? How has your product mix shifted to serve the population of people following popular dietary trends from keto to veganism? Remaining relevant in the supermarket industry has never been easy as it’s always been a constantly moving and achieved target. In decades past, supermarkets added an array of products and services to make their stores that much more attractive than the competition. The question remains: what are you doing now? For an example of successful reinvention, consider the career path of singer Tony Bennett, who recently passed away. Bennett burst into stardom in the 1950s, singing the songs now viewed as American standards.

Incredibly, he managed to stay a hit maker into his 90s by partnering with singers from rocker Elvis Costello to most recently and, prominently, pop performer Lady Gaga. In the process, Bennett kept finding ways to modernize his songs and approach and reach a constantly changing audience. And by partnering with singers well outside his peers, he managed to maintain a successful career long after many of his contemporaries from the 1950s faded into memory. Reinvention isn’t simple, but then again, most things that matter aren’t simple. Hopefully the products you make and sell and the services you offer are still incredibly important to the audiences you serve and hopefully they reward you with healthy sales and profits. But don’t risk complacency and the irrelevancy that could follow. You need to constantly look for ways to chance to make your business as relevant and important today as it was when Tony Bennett was leaving his heart in San Francisco or when running backs were carrying their teams to championships.

INDUSTRY NEWS

CONSCIOUS EFFORTS EARLY

Paul DeMarco Alabama Grocers Association Partner Parsons, Lee & Juliano, PC CLAIMS PREVENTION & LITIGATION IS A MARATHON NOT A SPRINT IN ALABAMA GROCERY BUSINESS

Anyone that is a long distance runner knows to pace themselves for the long haul ahead to make it to the finish line. In Alabama, the law provides for a two year statute of limitations to file a lawsuit for personal injuries against an alleged individual or business for whom allegations have been made. First and foremost the safety and well being of anyone injured must be addressed. Taking care to prevent accidents is essential, but assisting someone that may need emergency medical treatment is the most important responsibility of any business owner. However, once the immediate situation is addressed then a premises owner has to have the mentality of a marathon runner when addressing what may have occurred. Of course, if there is a hazardous condition it must be cleaned up or repaired to ensure there is no a longer a hazard. It is then incumbent to photograph the scene of the incident both from a wider angle and from up close. This will help preserve the images of what may or may not have occurred that would be hard to recall years later. In addition, more than ever clear video of an incident should be preserved that would show how exactly how the incident may have happened.

The thirty minutes before and after an accident should also be saved for future review. The video should be put kept permanently and in multiple locations to ensure they are available at a later date. Once photographs and videos are now retained, it is important to prepare detailed documentation of what occurred and who may have relevant knowledge. The more information that is provided makes it easier to locate potential witnesses and those who can relay the facts from the date of the incident. This means taking down addresses, phone numbers and even email addresses to able to contact someone if needed. It is also helpful to ask for written statements to assist someone in recalling their knowledge at a later date. If there is actually a product or merchandise that was involved with the incident it should also be maintained, labeled as “evidence” and kept in a place it will not be disregarded. If the incident was due to a roof dripping, leaking plumbing or coolers, or a pothole in the parking lot, have it repaired and document a request was made and keep all communications about such request.

After the investigation is complete, it is important that everything related to the incident is now in a place that it can be located if the incident results in litigation. When the dust settles after an incident, it is important to know that it could be two years later before a lawsuit could be filed and thus, a comprehensive investigation, when an incident occurs will help in the future. And just like in a marathon race, conscious efforts early will pay dividends at the end. Paul DeMarco is a former member of the Alabama House of Representatives, serves as general counsel of the Alabama Grocers Association and can be found on Twitter @ Paul_DeMarco

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END OF SUMMER INDUSTRY NEWS

Jennifer Hatcher Chief Public Policy Officer & Senior Vice President of Government Affairs Food Marketing Institute PARENTS' SHOPPING BEHAVIORS ARE SHIFTING AMID BACK-TO-SCHOOL SEASON

The end of summer is often a stressful time for parents as they prepare to send their children back to school. Not only do they have to worry about purchasing clothes and school supplies, figure out schedules and transportation for after school activities, and meet with new teachers to set up the school year for success – they also have to start shopping again for school snacks and preparing portable meals that are both healthful end enjoyable for their children. With everything that parents must juggle at this time of year, it’s no wonder they are shopping in ways that are different from the rest of consumers. Last month, FMI – The Food Industry Association released our fourth installment in our five-part series exploring U.S. grocery shopper behaviors and attitudes. The most recent “Back to School” report reveals surprising ways in which parents are seeking and finding solutions to feed their families. One of the more prominent trends we found is that busy parents are utilizing online grocery shopping at greater levels than the typical household to help manage their busy schedules, even as online shopping overall has leveled off since the height of the COVID-19 pandemic. Parents are increasingly leveraging the convenience of online shopping options provided by their

grocers, with 42% reporting a year-over year increase in the frequency of their online grocery trips. In fact, parents are twice as likely to shop online for their groceries every single time than consumers as a whole, 24% to 12%. As retailers continue to adjust and improve their online shopping offerings, they should keep parents in mind and how online shopping can turn the weekly grocery trip from a chore to a joy by providing convenience, quality, experience and relevance—all part of today’s grocery shoppers’ value matrix. More than any other group of shoppers, parents have also changed their food consumption behaviors. The report finds that 63% of parents are now eating at home, 59% cook/prepare their own meals, and 45% bring food from home to work. Parents are looking for meal solutions and the food industry is perfectly positioned as a resource and ally. Retailers can position themselves for success with this cohort by offering ways for parents to create hybrid meals that combine scratch cooking with pre-made items. Cross-merchandising products to create meal solutions can make the path to purchase easier on parents when planning their meals for the week. Extreme weather leading to summer disruptions has also caused parents to alter their spending habits.

Of those surveyed, 64% of parents report eating at home more than usual over the past few months. Parents were significantly more likely to stock up on grocery staples in anticipation of extreme weather than other shoppers. Similarly, parents were more likely to buy more bottled water and hydration drinks than their counterparts. Thirty-three million households in America have children at home, demonstrating that parents are a sizable and valuable segment of food retailers’ customer base – especially since they tend to purchase more during their weekly grocery trips than consumers as a whole. Retailers that emphasize making their lives easier through improved online shopping experiences, convenient meal solutions, and increased product offerings that parents tend to purchase will be better positioned to foster customer loyalty. To download the U.S. Grocer Shopper Trends 2023 – Back to School report and to sign up to receive updates on

future reports in the series, visit www.FMI.org/GroceryTrends.

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HEALTHY BENEFIT CARDS INDUSTRY NEWS

Greg Ferrara President & CEO National Grocers Association CONSUMERS DESERVE HASSLE-FREE HEALTHY BENEFITS AT ANY GROCER THEY CHOOSE

Imagine for a moment that you see one of your neighbors shopping for groceries. Their cart is filled with all the products they need to prepare meals for their family during the coming week. Up at the checkstand, they unload their cart and the checker rings them up. Then they present a payment card that promised to cover their food purchases, but they’re told it’s not accepted at this store. Finding themselves unable to pay, they’re forced to abandon their cart and leave the store, embarrassed and uncertain as to how they’ll feed their family. Scenarios like this actually are playing out at independent community grocers across the country for folks attempting to pay for their groceries with healthy benefit cards. Funded by some insurance companies, healthy benefit cards were designed so customers - in particular, older adults, at-risk populations and those with chronic diseases - can fill up their carts at the grocery store with fruits, vegetables and other healthy choices. These cards look like credit cards - some even carry a credit card company logo - but they don’t work that way. They’re only accepted by a few large grocery store chains.

So, millions of Americans who rely on independent grocers, often the only grocery stores in rural and urban low income areas, are locked out of using this benefit, folks who need it the most. And some independent grocers that support older adult communities - the primary participants in these programs - have experienced a double-digit drop in customers as they discover the limitations of these benefit cards that have cut them off from their traditional shopping option. Hearing from retailers about this issue, NGA took the lead on the issue earlier this year. In February, NGA asked the White House to build upon their goals from the White House Conference on Hunger, Nutrition and Health to solve this problem. NGA also met with several members of Congress and the Centers for Medicare and Medicaid Services (CMS), urging them to provide oversight on Medicare Advantage Plans.

To apply additional pressure, NGA in May issued an open letter (https://www.nationalgrocers.org/ healthy-benefit-card-open-letter/), signed by nearly 1,700 independent grocers, to key healthy benefit card stakeholders, urging that the cards be accepted by a broader variety of retailers. In June, NGA hosted a meeting with POS system providers and payment networks to discuss solutions for providing access to healthy benefit cards in high-need communities being served by independent grocers. Because of input from the June stakeholder meeting, NGA launched an online toolkit (https://www. nationalgrocers.org/healthy-benefit card/) to offer resources to help grocers implement the technology required to accept healthy benefit cards, as well as to be a comprehensive ongoing resource for updates about this program. This toolkit supports independent community grocers with the knowledge they need to navigate this emerging field as well as equip retailers with insights into key stakeholders in this evolving sector when initiating these payments in their stores.

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The exclusion of independent grocers from healthy benefit programs widens the uneven playing field with dominant food retailers, and it means many customers are essentially prohibited from spending money in their own communities. The last thing anyone should be told is where they can and cannot shop for groceries.

Independent grocers - who play a vital role in fulfilling their communities’ nutritional needs and, in many regions, are the only convenient source of fresh food and other necessities - must have every tool at their disposal to ensure those most in need can feed themselves and their families.

AGA NEW MEMBERS ASSOCIATION NEWS

Robin Strickland Evans Meats robin@evansmeats.com

Eu Ro Wang Guac euro@guactechnologies.com

Drew Davis hi seltzer drew@hiseltzers.com

Denise White H.J. White Company Inc. dwcirclew@aol.com

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AGA WISHES TO RECOGNIZE OUR DIAMOND AND FOUR STAR SPONSORS FOR THEIR GENEROUS SUPPORT OF THE 2023 AGA ANNUAL SHOW ASSOCIATION NEWS DIAMOND SPONSORS

FOUR STAR SPONSORS

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BAB FOOD PRODUCT EXPO ASSOCIATION NEWS

The Alabama Food Manufacturers and Producers Association held their annual Buy Alabama's Best Food Product Expo at Children's of Alabama on August 10, 2023. Alabama based companies showcased their products and offered samples to retailers from across the state and the Children's of Alabama employees. Congratulations to Holaway’s Foodland, who won the March Display Contest. The Buy Alabama’s Best Campaign formed in 2006 when four Alabama companies, the Alabama Grocers products that were made in Alabama. Today, Buy Alabama’s Best has grown to over 35 companies that are either headquartered in Alabama, or produce, manufacture or make their products in our state. Alabama and employ Alabamians, but they also purchase vast amounts of raw farm products to make goods, paper, boxes and packaging. Alabama food product sales have a $2 billion impact on Alabama’s economy, tax base and along with the food service industries, employ one out of every four Alabamians. Alabama food manufacturers and producers not only sell products in Association, and the Alabama Department of Agriculture and Industries saw a need to identify

Founded in 1911, Children’s of Alabama provides medical care for ill and injured children. With more than 3.5 million square feet, it is one of the largest pediatric medical facilities in the United States. The Alabama Center for Childhood Cancer and Blood Disorders treats more than 90% of Alabama’s children with cancer and blood disorders and is committed to finding a cure for more than 2,000 children each year. For a complete list of Buy Alabama Best participating companies, visit www. buyalabamasbest.org.

Retailers throughout Alabama will be supporting this campaign in their stores with Alabama product displays, ads, signage and special promotions. When consumers shop in their local grocery store, they can look for the Buy Alabama’s Best logo under products to ensure they are buying the best products made right here in Alabama. The Buy Alabama’s Best Campaign is proud of the partnership with Children’s of Alabama. Through this partnership, we have raised over $850,000 for the charity through icon sales, donations, and grants.

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Quality service is the main ingredient in everything we do. At Bu alo Rock, every day we strive to provide quality service to our customers. It’s a reputation we’ve built for more than a century, and a source of pride to us. We’re equally proud of the communities we serve, and we stay dedicated to making them better places to live and work. The positive impact that we have in the places we do business will always be one of the most important services we o er.

bu alorock.com

UPCOMING EVENTS ASSOCIATION NEWS

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Doing More Than Expected

hat You Need, hen You Need It, or the Lowest Cost! W W F Fill Rate–97.5% On Time Deliveries–97.8% Willing To Compare

Associated Grocers of the South, Inc.

For More Detailed Information Please Contact: Billy Leverett Vice President Of Sales 205-808-4821

www.agsouth.com

3600 Vanderbilt Rd., P.O. Box 11044, Birmingham, AL 35202