The Order requires that at least 50% of program dollars be invested back into projects specific to each respective region. Regional Advisory Councils (RACs) serve as sub-committees of the checkoff board of directors. RACs will make program and funding recommendations to the board. Remaining program dollars will be invested in national programs like marketing and a national design center.

Every checkoff program funded must answer the same question: does it ultimately drive demand for CMU?

The audit process is being established and it is our expectation that the third-party auditors will focus on the recent year of assessments, but it’s likely there will be no limit on the time that they can look back. The board is currently working on an Evaluation and Compliance Policy that will provide more guidelines around the auditing process.

Yes, at some point all producers will be audited – but never in the same fiscal year. The board would like to get two or three quarters of assessments received so auditors have records to reference. This is tentative, but audits may begin the first part of 2024.

The order is quite specific: As of April 1, 2023, all sales of covered products are subject to the assessment. Pursuant to the order, once the assessment date is set by the board, all sales after that date are assessed, whether they were quoted that way or not.

Yes -- Only the first sale of block is required under the order, so the resale of block would need to be differentiated on your invoice/sales document.

No; under the order, the assessment must be measured by unit sold. Each block is one cent as long as it’s greater than three inches in size.

Yes, that is correct. The assessment applies to the first sale only.

Yes, the sales tax will be the responsibility of the purchaser if included in the price of the product.

The provided Safe Harbor language needs to be on the primary document of sale. If the picking slip does not stay with the invoice, it needs to be printed on your invoice.

No, the DOC will not be sending information surrounding assessments. The Board, as a part of its communication program with respect to assessments, has sent a postcard to all producers of which we are aware. And before April 1, the checkoff board will be sending a packet of materials to that will include a copy of the remittance form, one-pager on obligation to remit and reference to resources surrounding assessments.