 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following sections explain how you can participate in the value-added portion of your industry through U.S. Premium Beef.
Step 1: Everyone who delivers cattle to U.S. Premium Beef must be a USPB Associate. For more information on how you can join U.S. Premium Beef, see How to join U.S. Premium Beef.
Step 2: Once a producer is an Assolciate of U.S. Premium Beef, they can market their cattle through this unique producer-owned beef company either by buying units or leasing the right to deliver their cattle to our plants. U.S. Premium Beef unitholders have the right and obligation to deliver one finished animal per year for each Class A unit they own. Those Associates who lease delivery rights simply lease the right to deliver one finished animal to our plants that year. For more information how you can buy units or lease delivery rights, see How to lease delivery rights or buy U.S. Premium Beef units.
If you're considering buying U.S. Premium Beef units, the following information will tell you how to participate as a unitholder. If you want to participate in U.S. Premium Beef by leasing delivery rights you can bypass the following unit ownership information by clicking on U.S. Premium Beef Forms.
| You will need Adobe Acrobat Reader to view these forms. Click on the icon to download for free. |  |
USPB Delivery Classifications
U.S. Premium Beef unitholders fall into one of two categories: Even Slot or Odd Slot delivery unitholders.
Even Slot unitholders are scheduled to deliver an even number of cattle in each of the 13 four-week delivery periods of the year. However, they are allowed 40 percent flexibility from one period to another in meeting those delivery obligations. In other words, if, by period, an Even Slot deliverer drops below 60 percent of his obligation, the USPB non-delivery penalty will be assessed. The maximum allowed number of cattle delivered in any one period is 140 percent of the period obligation—unless that unitholder leases additional delivery rights to deliver more cattle in that period. For example, an Even Slot deliverer has a commitment to deliver 1,000 head per period. He can deliver between 600 and 1,400 head within any period without a non-delivery penalty or obligation to lease additional delivery rights.
Odd Slot unitholders are those who deliver cattle once, twice or several times throughout a year. At the end of each year they complete a "Delivery Schedule" for the following year that assigns their cattle to be delivered in periods they choose—subject to USPB approval. Odd Slot deliverers can, on a case-by-case basis, request changes in their delivery schedules at any time throughout the year, subject to USPB approval. If an Odd Slot deliverer is unable to fulfill his obligation, he can request USPB assistance in leasing his delivery rights to another Associate.
USPB unitholders are required to deliver one finished animal per unit per year. Again, there is flexibility as unitholders can lease their delivery rights to other Associates in the event they are not going to be able to deliver cattle against those delivery rights that year. A small per head penalty ($13 per head—$12 of which will be refunded one year from the Associate's assigned delivery date, with USPB Board of Directors' approval) will be assessed if an Associate does not deliver on or lease his units to be delivered on during a fiscal year period of time. USPB unitholders are permitted to deliver up to ten percent under the number of units they own without penalty each year.
U.S. Premium Beef has two forms it requests all Associates (regardless of whether they own or lease the right to deliver) to use to place, schedule and deliver cattle to our plants.
Form B: U.S. Premium Beef Showlist Form:
Your feedlot staff needs to send or fax Form B-Showlist Form to USPB by Monday noon of the week prior to delivery to the plant. The fax number is 816-713-8810. NBP's buyers will contact your feedlot to evaluate and schedule your cattle for delivery to the plant.
Form C: U.S. Premium Beef Payment Form:
The day cattle are shipped to the plant, your feedlot staff must send or fax Form C-Payment Form to the plant your cattle are delivered to and to U.S. Premium Beef's Kansas City office. Dodge City phone: 620/227-7135; FAX 620/338-4336; Liberal phone: 620/624-1851; FAX 620/626-0698. The fax number for USPB is 816-713-8810. This form is used to determine who is to get paid for the cattle.
Recommended weighing conditions for smaller yards:
Load on trucks, haul to nearest certified scale (ie. grain elevator), weigh on truck with a 4% pencil shrink. Only as a last resort will off truck weight at the plant be used as live pay weight.
Carcass Information
Individual Carcass Data is provided for all deliveries. This includes hot carcass weight, quality grade, yield grade, Certified Angus Beef 
(CAB), Black Canyon Premium Reserve qualifiers. No selection is needed in order to receive this data.
If animal specific carcass data is needed mark the appropriate place on Form B. Note: To receive Basic data or Premium data the cattle must have individual ID tags.
Basic - includes hot carcass weight, quality grade, yield grade, CAB, NAB, value per head and value per cwt. of carcass corresponding to your animal ID numbers.
Premium - same as Basic but also includes ribeye area, marbling score, backfat, and percent internal fat.
USPB requests producers to denote the kind of tags the cattle have for example: Color and number or electronic identification tags.
USPB asks that producers request Basic and Premium Carcass Data only when necessary for example: Correlating data back to dam or sire.
National Beef Packing Company Buyers' Role with USPB Cattle Deliveries
After the cattle are placed on the USPB showlist a National Beef (NBP) buyer will inspect the cattle.
The NBP buyer will notify the feeder of delivery date and plant location and will help coordinate trucking.
Trucking
Up to a $0.60/cwt transportation credit is paid on all USPB cattle.
If a producer plans to use his own trucks, he needs to notify National Beef of that decision.
Forward Contracting Cattle
USPB producers can get forward contracting bids from Stan Linville in the USPB Kansas City Office.
Bids change each Monday.
Contracts are written by the NBP buyer.
Pricing orders can be placed with Stan Linville in the USPB Office, at 866-877-2525.
Choosing a Feedlot
All unitholders and Associates have the option of finishing their cattle at any feedlot they choose. USPB does have a Qualified Custom Feedyard (QCF) list . This list is designed to assist producers who are looking for a feedlot that has knowledge and experience in finishing cattle for USPB's quality-based system.
Electronic ID
U.S. Premium Beef has an electronic identification program (EID). Universal EID readers have been installed in the National Beef Packing Company plants in Liberal and Dodge City, KS. USPB unitholders and Associates are not required to use electronic ID tags to receive individual carcass data. However, because U.S. Premium Beef provides its unitholders and Associates with individual carcass data on all of their cattle, using EID tags improves the efficiency of collecting and transferring data to our unitholders and Associates. USPB unitholders and Associates can purchase ISO-approved EID tags from any distributor and USPB will rebate $1.00 of the purchase price of the tags on an as-used basis through 2007. To receive the rebate, unitholders and Associates must send the USPB grade detail report from cattle with EID tags to USPB within 90 days from the cattle delivery date.
Cattle Payments
USPB pays for cattle based on individual value as determined by USPB's quality-based grids. All cattle sold on the USPB grids are issued a cash advance on the day of delivery equal to approximately 85 percent of the weighted average live price for the week prior to delivery. A final check, along with a final Settlement Sheet and individual carcass data Grade and Detail Report is issued when final grade and plant averages are determined, typically Monday through Wednesday of the week after delivery. USPB pays for cattle on its grids up to the number of units a unitholder or Associate owns or has leased.