Three Springs Farm

Oakley, E. and M. Appel. 2008. How one customer revolutionized our CSA program. Growing for Market. Vol. 18, No 10.

Five years ago a regular farmer’s market customer shared with us his inventive spin on our Community Supported Agriculture (CSA) program.  We were at our Saturday farmers’ market in Tulsa, OK and were in the process of signing people up for our CSA program when he approached us with his proposal.

At the time, our CSA was like many across the country.  Members joined in the winter and received a half bushel basket of produce for twenty weeks throughout our growing season.  Like a good number of CSAs, it gave us the benefit of up-front winter income while giving members a 10-15% discount over our farmers’ market prices.  Members picked up their baskets each week at either the Wednesday or Saturday farmers’ market.

The customer who approached us with his innovation said that he wanted to support us by becoming a CSA member, but spent some of the summer out of town.  Rather than being bothered with trying to find friends to pick up his basket in his absence or being disappointed by missing out on so much of the harvest, he instead proposed paying us money upfront in the winter for a “debit” style system.  He would have an account with us off of which he could shop throughout the season.  It was such a compelling suggestion that we were eager to experiment.

The next season we opened up the “farmers’ market CSA”, as we call it, to fifteen customers and kept our regular “basket CSA” members.  It was only our second season in operation, so we wanted to be careful about not over-committing with too many members at once.

From the beginning, people were attracted to the farmers’ market CSA.  It gave them the chance to pick out whatever they wanted from our market table.  If they didn’t want cabbage, they didn’t have to take it.  If they wanted to get ten pounds of tomatoes one week, they could.  We subtract their weekly selections from their credit balance.   CSA members can shop from either the Wednesday and/or Saturday farmers’ markets.  As with the basket CSA, they receive a weekly newsletter with stories, photos, and recipes from the farm.  They get a ten percent bonus added on to their membership amount.

We have a somewhat cautious attitude towards change, so our transition to the farmers’ market CSA was measured.  We gradually added farmers’ market CSA memberships each season.  By our fourth year farming, we reached a cross-road in our marketing plan.  With an equal number of farmers’ market and basket CSA members, we felt we needed to make a strategic decision for future growth.  A central aspect of our farm philosophy is functioning as a two-person farm.  As a result, we have an obvious labor limitation.  We could not effectively expand either program since our energy was too divided to intensify either.  We felt we needed to choose one program or the other and do that well.

We ultimately opted to eliminate the basket CSA and focus exclusively on the farmers’ market CSA.  This was an arduous decision to make.  The basket CSA was a significant part of our identity as a farm.  We commonly had a waiting list three times the size of available membership spaces.  We knew there would be some people who would be unwilling to make the switch.  Although we were clearly averse to disappointing our loyal basket members, we finally concluded that we needed to do what was best for our farm.  And we have never looked back.

The benefits of doing away with the basket CSA are many.  No more market pickups.  Assembling the baskets was frequently one person’s full-time job for an hour during market set-up.  Perhaps most liberating is not worrying about growing so many unusual crops to satisfy the need for diversity in the baskets.  Watermelon diakon, for example, are fun for a basket CSA, but they were never a big money maker at our market stand.  We are no longer obliged to pay such close attention to the contents of member’s baskets from week to week to avoid repetition and boredom.  The result is that some of our time and fields have been freed up from growing crops that were not remarkably profitable.  We still grow a wide variety of crops; we are simply not as obsessive about it as we once were.  Another significant weight off of our minds is that with the farmer’s market CSA, we bring what we have.  No scrounging for forty equally-sized celery heads to fill the baskets.  Farmers’ market CSA customers know they must come early to get the best selection.

Which is why the farmers’ market CSA is not for everyone. Several former basket members have mentioned the convenience of knowing that even if they couldn’t get to the market early, there would still be a varied basket of produce waiting for them when they arrived.  Some people preferred the surprises inherent in the basket program.  They enjoyed being pushed to try new veggies they would not otherwise be likely to select from our market stand.  Some took particular pleasure in the novelty of having a basket of produce picked especially for them.  They said it was like regularly receiving a present.  Others used the basket program to inspire them to add more veggies to their diets as they knew they had a basket of produce ready for which they had already paid.  Ultimately, about one third of our basket customers chose not to become farmers’ market CSA members.  Nearly all of them continue to shop with us, though not with the same intensity as the basket CSA promoted.  Nevertheless the majority of basket members readily made the switch to the farmers’ market CSA and now prefer its flexibility.

We gain considerably from the farmers’ market CSA.  As was also the case with our basket CSA, we have a dedicated and informed group of customers who learn about the latest news on the farm and who care about our ups and downs.  Our habitual interaction at the market makes us each an essential part of the other’s life.  No matter the weather, we know we will always have a substantial number of CSA customers at each market, giving us a core group of supporters that makes setting up on rainy days comforting.  Moreover, when a wash out is predicted we often email the CSA the night before the market to remind them of our availabilities and promote their attendance.

Our CSA is now smoothly integrated into our farmers’ market arrangement.  Rather than competing with our time for traditional market sales, it adds to them.  Our CSA members tend to come to the market early, surrounding our stand with a vibrant crowd that attracts other customers.  People seem drawn to the busyness, as though there must be something good for sale at our table if so many people are gathered there.  CSA members are liable to try unusual crops since they have read about them in the newsletter.  They tend to take home extra produce, getting a wider selection and greater volume of veggies overall than regular market customers.  We have noticed that many of our CSA customers who were former traditional market customers spend more with us now than they did previously.  Since money is absent from the transaction, some CSA customers joking say that they feel like the veggies they get each week are “free”.  All agree that not having to be troubled about bringing money to the market is a major benefit.

We now have eighty-five farmers’ market CSA customers and a healthy waiting list.  Next year we expect to raise that number to 100, where we anticipate capping it.  That gives us sufficient working capital at the beginning of the season while not overwhelming us with too many obligations.

A critical aspect of the farmers’ market CSA is keeping track of every customer’s on-going balance.  We created an Excel spreadsheet listing each person’s name and their total.  Using a simple subtraction formula, we enter their weekly purchase amount, and Excel subtracts it from their on-going balance.  Because no cash is actually changing hands, CSA members are even faster to service than traditional farmers’ market customers whose money we must deposit and for whom we generally need to make change.

Despite its major advantages, no arrangement is perfect.  With eighty-five CSA members, we must remember that a certain percentage of the produce we bring to the market is technically already sold and will be picked up by our CSA members.  CSA selections generally comprise one third of our weekly market “sales”, depending upon the time of year and the volume of produce we bring each week.  There is a certain amount of paperwork involved, namely keep a tally going of their current balance as mentioned above.  Additionally, putting a name to everyone’s face and remembering them can be a bit challenging, especially at the start of each season.  There are always a few members each year who seem to enjoy the concept more than the reality and have a hard time making a regular commitment to attending the market to use their balances.

In the first few seasons, we carried over any remaining balances to the next year.  We soon learned that this created an untenable situation for us as we were starting each new year with residual debt from the previous season.  To remedy this we adopted a use-it-or-donate it policy.  Members must consume their entire balance each season, or the remainder will be donated in produce to a local food bank.  We encourage members to regularly inquire as to their balances to help them gauge their purchase totals.  We also try to make a point of telling each member their balance on the final market of each month.  Mid-way through the season we devote a newsletter to balances.

We allow three different membership amounts so that customers can select a size that adequately reflects the amount of veggies they eat: $200, $250, and $300.  For example, in our sign-up letter we remind them that there are approximately 20 weeks in our season.  So if they purchase a $200 share that is equivalent to buying $10 a week worth of produce.  Members can always add to their balances at any point should they use it all before the end of the season.  Those who do tend to re-up in fifty or one hundred dollar increments.  Any time they augment their balances, they are given the same ten percent bonus.

The success of the farmers’ market CSA is indicated by the high percentage of repeat customers.  We have averaged a roughly ten percent attrition rate each year; some people move, others build their own gardens, and a few find it doesn’t fit their needs.  Yet they overwhelmingly remain loyal customers and supporters.  Our CSA customers have become vital fixtures in our farm lives.

Each season we find a new reason to appreciate the farmers’ market CSA, and we have come to see it as the foundation of our farm.  Since starting the farmers’ market CSA, we have heard that other farms throughout the country have similar programs.  Our experience helped us see that CSAs are wonderfully adaptable, and they can be modified to fit the farm and its customers’ needs.

© Emily Oakley and Mike Appel 2009

2 pounds butternut squash, halved and seeded

2 pounds red peppers

1 pound tomatoes

¼ cup packed basil

4-5 cloves garlic, minced

4-5 cups vegetable broth

½ tsp. cayenne pepper

1 tsp. salt (more to taste)

In a medium pot, steam the squash in one inch of water for 10-15 minutes or until tender.  When done, let the squash cool and then scoop out the insides.  Place in a large pot, and mash until smooth.  Meanwhile, place the red peppers whole on a baking sheet in the broiler for 5-7 minutes, or until roasted on one side.  Remove the peppers from the broiler, cool, and seed and peel the peppers (you will only be able to peel one side).  Place the peppers, tomatoes, and basil in a food processor, and puree until smooth.  Add to the squash, add in the broth, garlic, and salt.  Bring to a boil, and gently simmer for 10 minutes.  Remove from heat and serve with a dollop of sour cream.

© Emily Oakley 2010

1 bunch green garlic, bulbs, stems, and leaves chopped

1/2# pea shoots, roughly chopped

6 eggs

3 Tbs. butter

1 generous tsp. honey

1/2 cup milk

1/3 cup brie, cut into cubes

salt and pepper to taste

Melt the butter in a medium, non-stick, and oven-proof skillet over medium heat.  Add in the green garlic and honey, and sauté for 3 minutes.  Beat the eggs and milk in a separate bowl, and pour over the green garlic.  Immediately add the pea shoots on top of the egg mixture.  Cook for 5 minutes, or until the top sets.  Sprinkle the brie over the top, and place the entire skillet in the broiler for 1-2 minutes, or until slightly golden.  Serve warm or at room temperature.

© Emily Oakley 2010

1 bunch bok choy, chopped into 1/2” strips

2 stalks green garlic, minced

2 Tbs. olive oil

2 Tbs. finely grated fresh ginger

1 Tbs. honey

1 tsp. Dijon mustard

2 Tbs. rice wine vinegar

1/2 tsp. salt

dash of toasted sesame seed oil to taste (optional)

Heat the olive oil in a medium skillet over medium heat until hot.  Add in the garlic, and sauté for 2 minutes.  Stir in the ginger and honey, and sauté for 1 minute.  Add the bok choy, and cook for 4 minutes, covered.  Mix together the mustard, rice wine vinegar, and salt in a small bowl.  Add to the bok choy, and stir well.  Cook for 2 more minutes.  If adding the sesame seed oil, turn off the heat and sprinkle it in.  Serve immediately over rice or fried tofu.

© Emily Oakley 2010

1 pie crust

1# red bell peppers- roasted, peeled, and finely chopped

1 garlic clove, crushed

1/2 cup onions, finely chopped

2 eggs, lightly beaten

1 cup milk

1 cup sharp white cheddar cheese, grated

1/2 cup sour cream

dash of cayenne pepper

pinch of dried basil

salt and pepper to taste

Preheat the oven to 450 F.  Poke holes in the bottom of the pie crust and bake for 8 minutes.  In a large bowl combine the eggs, milk, sour cream, spices, and salt and pepper.  In another bowl mix the peppers, cheese, garlic, and onions.  Fold into the egg mixture.  Pour into the piecrust and bake at 350 F for approx. 45 minutes, or until a knife inserted comes out clean and the top is slightly browned.

© Emily Oakley 2010

1 large summer squash

2 cloves of garlic, crushed

1/2 cup cheddar cheese, grated

1/2 cup sour cream

salt and pepper to taste

Mix the grated cheddar cheese with the sour cream and garlic in a bowl, and set aside.   Slice the squash lengthwise into halves, and then again into 4 halves.  Steam the quartered squash in a large covered pan with a little bit of water for 5-7 minutes, or until tender.  Remove the squash from the pan and scoop out the middle with a spoon.  Try to make a bowl-shaped space in the middle of the squash.  Place the squash, bowl-side up, in a baking dish.  Chop up the middle sections and add to the cheese filling.  Return the cheese filling to the squash centers.  “Bake” under the broiler for 5 minutes, or until the cheese filling begins to brown.

© Emily Oakley 2010

Oakley, E. and M. Appel. 2008. Accepting food stamps at market: Good for everyone. Growing for Market. Vol. 17, No 6.

As farmers, we struggle with ways of making our food accessible to all, particularly low-income customers. One easy way of doing this is accepting food stamps at our farmers’ market stands.

Accepting food stamps is a win-win situation for farmers and food stamp recipients. It increases access to our products for low-income citizens who might not otherwise be able to purchase our goods. Many low income communities are “food deserts”, places where fresh fruits and vegetables are simply unavailable. The lack of healthy food options is often accompanied by a plethora of fast food restaurants and convenience stores that specialize in junk food. Making farmers’ markets available to food stamp clients can help ameliorate inequitable access to healthy food.

It also allows farmers to reach out to new clientele. In Iowa, where a collaborative effort between the Iowa Department of Human Services and the Iowa Farm Bureau provided farmers with free wireless Point of Sale (POS) devices, “each farmer that participated in the pilot reported an increase in revenue from 10-25% over the previous year, with average monthly sales of $2,730 (22% from food assistance customers)” (FNS). In Texas, “approximately $135,000 food stamp benefits were redeemed monthly at farmers markets and produce stands throughout [the state] between July 2005 and June 2006” (ibid). In our experience in Oklahoma, most of our food stamps clients have spent over $20 per sale.

An unintended benefit of accepting food stamps can be good press. We received a full-page story complete with color photos in our local newspaper the summer we started taking food stamps. Not only did this spread the word that people could use food stamps at the farmers’ market, we got strong positive feedback from our existing customers who appreciated what we were doing.

The Nuts and Bolts

The food stamp program is administered by the Food Nutrition Service (FNS) of the U.S. Department of Agriculture. According to FNS, 26 million people benefit from food stamps each month (USDA). Food stamps are no longer issued as paper coupons; instead, recipients receive an Electronic Benefits Transfer (EBT) card which they use throughout the month like a traditional debit, or ATM, card. This system allows for greater anonymity for food stamp clients while giving the vendor immediate reimbursement.

Food stamps can be accepted at farmers’ markets, farm stands, and farmer-owned storefronts. They can be used to purchase many of the items sold at farmers’ markets, including fruits and vegetables, breads and cereals, and meats, fish, poultry, and dairy products. They can even be used to purchase food-producing seeds and plants, such as tomato seedlings from greenhouse vendors. However, not all vendors at a market are qualified to accept food stamps. The regulations governing their use are strict—non-food items, such as soaps and crafts are not allowed. Other items, like prepared food, fall into a grey area. The rules state that hot food and items intended to be eaten on the premises are not permitted. For further clarification we recommend contacting you regional FNS field office for a comprehensive list of eligible products.

Either individual farms or farmers’ markets associations can apply to accept food stamps. From our perspective, farmers’ markets associations are the most convenient option. This model seems to work best because it is easier for the food stamp customers and the vendors and therefore has the greatest chance of success.

According to a 2006 FNS report, 23 states have farmers’ markets accepting food stamps (FNS). Each market that accepts food stamp sets up its own system for administering the program; however, one of the most common methods uses a single wireless POS terminal to swipe food stamp clients’ cards. The client indicates how much money they wish to spend and is then given wood tokens or scrip which range in denomination from $0.50, $1.00, $5.00, and up to $10.00. POS terminals are generally centrally located within the markets and are operated by the market manager and/or trained volunteers. The customer can use these tokens with any of the eligible vendors at the market. At the end of the day, vendors convert their tokens to cash with the market manager.

At the recent Southern SAWG annual conference, Andrew W. Smiley, Project Director with Sustainable Food Center in Austin, shared the details of their Farmers’ Market Food Stamp Initiative. He explained that many EBT machines can be programmed to accept both food stamps and commercial credit and debit cards. They created red colored tokens for food stamp patrons and green tokens for ATM customers (since there are no restrictions on ATM customer sales). ATM users are charged a $2.00 transaction fee just as they would be at most any other machine not from their home bank. This fee is used to help cover the wireless POS start-up and operating expenses. Start-up costs were approximately $2,000 for the wireless equipment, tokens, promotional materials, and training supplies. The monthly costs are $85 and include the wireless connection, food stamp and ATM transaction fees charged by the wireless processor, and materials. The Sustainable Food Center has documented their food stamp efforts and is willing to share their resources and insights with other market organizations. Their contact information can be found at the end of this article (Smiley).

Farmers markets are often aligned with a local non-profit, university, cooperative extension, and/or state departments of health and human services to support, advertise and administer the program. Partners can assist with the acquisition of transaction machines, which cost around $1,100. Likewise, grants have been used in some cases. State Departments of Health and Human Services can negotiate with EBT providers to provide free wireless machines to farmers and markets as part of their contracts. Several states have complimentary education and outreach programs to encourage involvement by food stamp clients, such as cooking demonstrations by local chefs.

There are some universal challenges to attracting food stamp customers, including possible language barriers, access to transportation, and perceptions of high prices. Partnering with a local government or non-profit social service agency is one way of addressing some of these barriers. Partners can spread the word by sending out press releases and by creating, translating, and distributing fliers to targeted neighborhood associations, social service agencies, senior centers, and churches. They might be able to create maps with public transportation routes to area markets as well.

If applying as a market is not an option, individual farms can apply to accept food stamps as independent retailers. Although more cumbersome, it is a good first step. Food stamp clients can cash in their benefits at any of the farm’s FNS-approved location (i.e. a Saturday and Wednesday market). In this case, the farm is assigned its own EBT machine for free. This machine requires a phone line and electricity to operate, which means you will need to go through two steps for each food stamp transaction. When you get a food stamp customer you tally their sales (minus sales tax) and enter their total, their name, their EBT card number, card expiration date, and your merchant identification number into a manual paper voucher. You then call a toll-free number provided to you by the POS contractor. The call guides you through the approval process to verify that the customer has sufficient funds for the purchase. You are prompted to give some information listed on the voucher and the customer is prompted to give their pin number. You subsequently receive an authorization code. After returning home from the market, you use your POS machine to enter in the transaction to complete the process.

There are advantages and drawbacks to each arrangement. If your farmers’ market does not currently accept food stamps and the association does not have a strong interest in participating, you can apply as an independent retailer and hopefully encourage other eligible vendors to join your efforts. One limitation to this scheme is that fewer vendors accepting food stamps at a given market lessens the incentive to attend by food stamp clients. If a farmers’ market association applies to accept food stamps, it streamlines the process by eliminating the need for individual farmer applications. Moreover, it alleviates the farmer of the burden of performing the EBT transactions.

The Application Process

How you apply to become eligible to accept food stamps depends on who the “authorized retailer” will be—the individual farmer or the farmers’ market association.

The first step in the application process is determining whether or not your market is interested in applying as the authorized retailer. This might entail approaching your farmers’ market board and polling market members to gauge their interest. The market applying to FNS is the entity legally responsible for all paperwork and guaranteeing compliance of the regulations. If the market is going to apply, the market manager and board should work together to figure out how the program will be implemented. Who is responsible for filling out the application? Who will manage the logistics of acquiring the POS machine, training farmers, etc? Who will be in charge of processing EBT transactions at the market? A quick web search of food stamps at farmers’ markets will reveal several organizations working at the local level on market-wide food stamp acceptance, and undoubtedly many of them would be willing to share their experiences.

After deciding who the authorized vendor is, call 1-877-823-4369 to request an application form. Visit the FNS website to review eligibility requirements, frequently asked questions, and other program details: http://www.fns.usda.gov/fsp/. Find out if your state has any existing farmers’ market programs and contact them for advice and potential partnerships. If you have questions specific to your area, you can speak to your regional FNS field office.

The application form will ask for a couple of key documents: license to operate, which may be a business license or a sales tax permit; identification for all owners, which is generally a drivers’ license and a social security card; and some form of a lease agreement for the market or your individual stand within the market. When filling out the application, attach a list all of the products you grow and the month or season in which they are sold. It is important to note that each application is location-specific. Contact you FNS regional office to learn how to apply to accept food stamps when selling at different farmers’ markets throughout the week.

Once FNS has received your properly signed and completed application, they have 45 days to accept or reject it. In determining your eligibility, they will send an inspector on an unannounced visit your stand or market to verify that you are selling the items listed in your application. They will want to see that you have a cash register or calculator for tallying sales totals.

Once approved, you will be contacted by your state’s EBT machine contractor. If applying as a market the contactor can tell you how and where to purchase a wireless POS device. If you are an individual farmer they will mail you a wired POS device. The POS contractor will ask you to fill out an agreement form which will include your business’s bank account information. This allows the contractor to directly and immediately deposit payment remittance to your account once a transaction has been submitted and approved.

Final Thoughts

Increasing the number of vendors and farmers markets accepting food stamps is a step towards increasing access to local food by all members of our communities. This encourages healthy eating among all segments of our communities.

References:

Food and Nutrition Service. “2006 EBT Farmers’ Market Projects Status Report”. http://www.fns.usda.gov/fsp/ebt/ebt_farmers_markstatus.htm. Accessed on 01/22/08.

Smiley, Andrew. “Electric Benefits Transfer and Farmers’ Markets: Austin Farmers’ Markets Food Stamp Initiative”. Presented at Southern Sustainable Agriculture Working Group Conference, Louisville, KY. January 18, 2008.

U.S. Department of Agriculture. “Food Stamp Program”. http://www.fns.usda.gov/fsp/. Accessed on 01/27/08.

Resources:

Andrew W. Smiley, Project Director, Sustainable Food Center Austin, TX. Phone: 512-236-0074 ext 2. Email: andrew@sustainablefoodcenter.org.

This recipe is very simple and quick. It is a delicious combination of sweet and sour.

For the Beets:
1 bunch beets
1 bunch green onions, chopped
1 Tbs. olive oil
1 heaping tsp. brown sugar
1 heaping tsp. turmeric powder
1 level tsp. ginger powder
2 Tbs. white wine vinegar
salt and pepper to taste

For the Quinoa Pilaf:
1 cup quinoa (found at Whole Foods in the bulk grains section)
1/2 cup raisins
1/2 tsp. each of cinnamon, nutmeg, and cardamom powder
1 Tbs. olive oil

Slice the beets into thin rounds and then cut rounds in half. DO NOT PEEL. The beets are very tender so do not need peeling. Chop the greens and their stems into small pieces. Heat the olive oil in a large sauté pan on high heat. Add in the onions and beet root pieces, and cook for 3 minutes uncovered. Stir frequently. Meanwhile, combine the brown sugar, turmeric, ginger, vinegar, and salt and pepper in a cup and blend well. Add in the beet stems and greens, and pour the sauce over the top. Cook one to two more minutes until greens are just tender.

Heat the olive oil and spices in a small sauce pan. Add in the quinoa and sauté on high heat for one minute. Pour in 2 cups of water, and add in the raisins. Bring to a boil, stir, and cover. Turn down the heat and simmer for 10 minutes or until the liquid is gone. Turn off the heat, let sit 3-4 minutes, and serve topped with the beets.

1 pound tomatoes, coarsely chopped
1/2 bunch basil, finely chopped
1 large red onion, minced
6 cloves garlic
2 Tbs. olive oil
4 Tbs. lemon juice
1 Tbs. Worcestershire sauce
1 tsp. fresh ground pepper
salt to taste
8 ounces feta cheese, cut into 1/4” cubes
1 pound penne pasta

Cook the pasta according to the package’s instructions. Meanwhile, combine the tomatoes, basil, and onion together in a large bowl. Puree the garlic, olive oil, lemon juice, Worcestershire sauce, pepper, and salt in a blender or food processor until creamy. Pour the dressing in the bowl and stir well. Add the cooked and drained pasta. Gently mix in the feta cheese. Serve warm or chilled. Leftovers are excellent as a cold pasta salad.

2 # fava beans
1 bunch fresh onions, chopped
2 cloves garlic, chopped
1/4 cup olive oil
2 Tbs. tahini
3 Tbs. lemon juice
salt and pepper to taste

Heat the olive oil in a large skillet on high heat until hot. Add in the onions and garlic, and sauté for 6 minutes, stirring frequently to prevent burning. Meanwhile, boil the fava beans for 4-6 minutes in a large pot, depending upon desired tenderness. Drain and run the pods under cold water, and shell (you may also remove the outer seed coating if you find it to be too tough). Add the beans to the onions and garlic when they are beginning to get crispy. Mix well, turn off the heat, and add in the tahini and lemon juice. Stir well and add salt and pepper to taste.