Alex Baloga

As Congressional negotiations to keep government operating draw to a close, it appears that the advocacy efforts of PFMA and other state and national stakeholders have succeeded in protecting two highly effective national food and nutrition assistance programs that were at risk of being fundamentally altered through funding cuts and programmatic changes.

Both WIC – nutrition assistance for women, infants and children – and SNAP – food assistance for families in need- have been in the crosshairs of some federal lawmakers as they look to take advantage of spending talks to open up these programs and make core changes to their funding levels and how they operate.

So while the agreed language among legislative leaders would fully fund WIC and protect SNAP choice for now, the lesson for stakeholders in the industry should be the critical importance of keeping the lines of communication open with Congressional representatives and not letting them forget how important these programs are – not just to recipients, but the industry as well. While SNAP and WIC are federal programs, they are administered at the state level, and state trade associations and participating businesses have an important perspective to share when it comes to the impacts they have “back home.”

Ultimately, advocacy for WIC and SNAP should not just materialize when those programs find themselves on the chopping block, and dissipate after the immediate threat is averted. Rather we should be reminding our elected leaders routinely about the everyday importance of access to healthy food and nutrition options.

We should also be consistently lobbying for changes to these programs that we know will make them more effective and improve the experience for participants and retailers.

For WIC, retailers have long called for more flexibility when it comes to providing approved foods to participants. The program should allow the use of existing or flexible pack sizes to allow smoother integration of new food packages, do more to allow substitutions, particularly during emergency declarations and national shortages, and act to ensure stores – and thus parents – have reliable access to infant formula.

There are also changes that could make it easier for stores, especially smaller independent businesses, to participate in the program. Streamlining the authorization and onboarding process, and lengthening the reauthorization period for stores in good standing, would help businesses focus on serving customers rather than battling administrative hurdles.

For SNAP, the food industry needs to continue pushing back against efforts to restrict what options are available to participants. We also need to keep hammering home the importance of insulating SNAP purchases from processing and related fees, and preventing these ever-rising charges from infiltrating the food assistance space as they have other electronic transactions. A permanent prohibition on EBT processing fees is critical to the long-term health of the program and maximizing retailer participation.

In Pennsylvania, nearly 10 percent of all children under the age of five are part of the WIC program. In the first month of 2024, WIC program participation in the commonwealth increased to more than 179,000 participants, up 2,000 from December and more than 20,000 from the same time last year. Similarly, more than two million Pennsylvanians are now enrolled in SNAP, with increases month over month that continue despite flat population growth in the state.

SNAP and WIC stand as two extraordinarily successful public-private partnerships. As representatives of the private side of that relationship, we know that success is continually earned, not guaranteed, and it is our job to keep reminding our public counterparts of the central importance of these programs and the obligation we all have to continue improving them.

Every autumn, PFMA hosts its Fall Legislative Conference, a time for our members to meet with each other and with policymakers to discuss the latest legislative and regulatory developments in the Commonwealth.

This year, as we have for the past several years, we convened in Hershey for two days of golf, speaking events and panel sessions. We were lucky enough to hear from Pennsylvania Agriculture Secretary Russell Redding, PA House Majority Leader Matt Bradford, and Congressman Lloyd Smucker. We also hosted a panel discussion on organized retail theft and illicit trade from nationwide coalition USA-IT, and members had the opportunity to pose questions about alcohol policy to staff from Flaherty & O’Hara, an industry leader in providing legal services and counsel to the beverage alcohol industry.

Our Fall Legislative Conference is a great opportunity for members and association staff to process and gain consensus on policy proposals impacting our industry. For PFMA’s government relations team, it lets us move forward with a clarified sense of purpose as state lawmakers return to Harrisburg for an early winter push on their legislative agenda.

Some years there are so many competing issues that it can take time for priorities to resolve into focus. This year, while indeed there are many issues demanding our attention, some quickly rose to the top.

Retail theft, perhaps more than any other single issue we have seen in years, has brought together our membership in support of a common goal; to update Pennsylvania’s organized retail crime statute to more effectively target the professional criminal gangs who are leading and profiting from this illegal and increasingly dangerous activity.

PFMA has been working with allies in the state Senate and House to develop legislation that would not only add this needed reform, but establish a dedicated task force under the purview of the state Attorney General to focus specifically on organized retail theft and prosecute those responsible. In the Senate, SB 596 passed out of committee last month, and we are hopeful of a bipartisan vote in support of the measure on the Senate floor before the new year.

Elsewhere at the state level PFMA priority issues include accelerating the ongoing reduction in the Corporate Net Income Tax Rate, increasing Net Operating Loss deductions, and alcohol sales reforms.

Our attention is also focused on several items at the federal and local levels. In Washington, we are working with our national partners to closely monitor progress on the Farm Bill, advocating for priorities such as maintaining SNAP choice, making online SNAP permanent and protecting against an EBT fee/tax. Locally, we are engaged with allies in Philadelphia on a range of topics as City Council nears the end of its own legislative session in December. There, we have provided input on a proposed shopping cart containment ordinance, possible expansion to the city’s contract worker protections, and a business trespassing ordinance, among others.

It is events like our Fall Legislative Conference that truly enhance our ability to successfully convey the views of our members on issues like these to elected officials and regulators. We appreciate everyone who was able to join us in person this year and hope to see members both old and new when we reconvene in 2024.

In a typical year – if there is such a thing in Pennsylvania – both chambers of the state General Assembly passing the same budget legislation would imply the hard work of negotiating is over and an agreed-to budget is on its way to the governor to be signed into law.

2023 is proving to be anything but typical.

Instead, disagreement over $100 million in funding for private school tuition vouchers has left Democratic Governor Josh Shapiro at odds with the Republican majority in the state Senate, and a budget in limbo.

On June 30, the nominal deadline for passage of a budget, the Senate approved a $45.5 billion spending plan which included a $100 million school voucher program that was believed to be agreed to by Republicans in that chamber and Governor Shapiro. Democrats in the House, who hold a one-vote majority in that chamber, refused to support the provision. To get the budget over the line, Governor Shapiro announced he would line-item veto the voucher program while approving the overall budget, and return to vouchers – which he endorsed in his gubernatorial campaign – at a later time.

That announcement incensed Republicans, who have accused the governor of reneging on his agreement with the Senate. Procedurally, the budget bill cannot go to the governor for his signature until it is signed in the Senate. That chamber, as of now, is in recess until September 18.

In addition to the general appropriations bill itself, there are a handful of so-called “code bills” that still need to be finalized, which flesh out how the budget is implemented in practical terms. Funding for a number of state-related universities, including Penn State, Temple, and Pitt, is also still in the balance.

Clearing these hurdles is now in the hands of legislative leadership and the governor’s office. Both when the stalemate will be resolved, and when impacts may begin to be felt if it is not, remain unclear.

In the meantime, PFMA is engaging on its priorities with lawmakers who are eager to focus on fresh issues outside the scope of the deadlocked budget. Progress was made in several key areas in the spring, including a bill to expand the maximum allowable distance between master control emergency shut-off devices and fuel dispensers from 200 feet to 350 feet. That bill, which PFMA testified in support of, passed the House and is awaiting final Senate action.

Entering the fall session, the association hopes to see movement on business tax reforms, including possible acceleration of the ongoing reduction in the Corporate Net Income (CNI) Tax rate and improvements to how Pennsylvania handles net operating loss (NOL) deductions. PFMA’s legislation to exempt sales tax charges from transaction processing fees is also likely to be formally introduced in the General Assembly by the time members return in September.

PFMA is working to line up its bipartisan organized retail crime legislation, SB 596, for a Senate committee vote in the fall, and introduce companion legislation in the House.

PFMA is also continuing to press legislators on alcohol reforms including expansion of Ready to Drink Beverage sales and other improvements to how food and beverage retailers can sell alcoholic products in Pennsylvania.

Food assistance issues are also a priority. Progress on PFMA’s legislation to unify and extend the state’s SNAP distribution schedule is a key objective for the fall session.

How, and when, the state’s 2023-24 budget is enacted may remain an open question at this time, but regardless of how events play out, a host of policy proposals to bring real, positive changes to the food and beverage industries will be waiting for Pennsylvania lawmakers when they return to Harrisburg.

Among a host of important issues, the Pennsylvania Food Merchants Association (PFMA) is targeting legislation to address skyrocketing organized retail crime as a top priority for the 2023 state legislative session.

As organized retail crime grows in scope and complexity across the commonwealth, PFMA is prioritizing working with lawmakers, state agencies and other partners to spearhead a policy response to give law enforcement the tools it needs to effectively combat ORC and illicit trade, which harms retailers and customers alike.

PFMA staff are working on a measure that would establish a statewide organized retail crime task force under the purview of the state attorney general. This task force would operate under a newly created deputy attorney general charged with investigating and prosecuting retail theft across Pennsylvania.

Speaking to PFMA in the association’s latest Spectrum magazine, Dawn Roller, director of loss prevention for Brown’s Shoprite Superstores and chair of the association’s Loss Prevention Committee, observed that offenders are becoming bolder and more brazen, disguising themselves to avoid facial recognition and sometimes entering stores armed. Items targeted by criminals include laundry detergent, health and beauty products, fresh meat, seafood, and baby formula.

Last year PFMA supported and was pleased to see the passage of a state-level version of the INFORM Act in Pennsylvania, addressing online fencing by requiring greater identification and transparency for high-volume sellers on online marketplaces. With reselling stolen goods now more difficult for criminals, the association hopes to build on that momentum and help law enforcement target the organizers of these thefts.

Other key issues for PFMA in 2023 include:

Regulatory Reform — PFMA supports efforts to reform and streamline regulations at the state level. Pennsylvania’s food supply chain works best when the regulatory landscape makes sense and is easy to navigate.

Transportation/Infrastructure — PFMA members rely heavily on a transportation network that is safe, reliable and fast. The association is focused on ensuring PennDOT, PEMA and other state partners understand this and are making the appropriate investments to ensure a consistently dependable system of roads, bridges, rail lines and ports. PFMA is also focused on the development of the state’s EV charging network and ensuring that the private sector plays a strong role in the final product.

Workforce Development/Job Creation — Hiring and retaining workers has been an enormous challenge for PFMA members in recent years. Businesses in the food industry straddle a variety of staffing disciplines, including front-facing retail employees, back office administrative and logistics staff, warehouse workers and truck drivers, each featuring its own unique hiring guidelines and requirements. PFMA believes minimizing obstacles and giving businesses the agility to keep up with a constantly evolving talent pool is crucial both for a healthy industry and a healthy labor force.

Food Assistance — PFMA strongly believes in the value of food assistance and is heavily involved in both the state’s SNAP and WIC programs, representing the industry on key committees and work groups and ensuring an open line of communication between federal and state agencies and member businesses. This has manifested as a crucial outreach effort in 2023 with the ending of SNAP emergency allotments in February. The association is also monitoring progress of the federal Farm Bill to ensure nutrition and food assistance programs continue to be supported.

Industry Opportunities — From alcohol sales to CBD, PFMA maintains a portfolio of key issues that represent opportunities for food wholesalers, retailers, suppliers and others in the industry to grow and thrive. PFMA staff are in routine communication with members of the General Assembly and the governor’s Office, acting as the voice of the industry to advance these opportunities through legislation and policy.

The Pennsylvania Food Merchants Association (PFMA) kicked off spring with some exciting news—we’re gearing up for our 70^th anniversary celebration!

Time flies by. Since 1952, PFMA has proudly served and supported the commonwealth’s food and beverage industries. Over the next six months, we’ll be sharing more about our history, evolution and success, ultimately celebrating the anniversary as part of our Fall Legislative Conference Oct. 25 and 26 in Hershey.

It’s amazing to think about how PFMA has grown since that first meeting among independent retailers at an Erie, Pa., hotel in 1952. During the meeting, they accepted a charter from the National Association of Retail Grocers and named Paul Reitz of Riverside Market association president. The association first served 400 retailers from its Erie office, assisting with supermarket promotions, providing the PFMA Bulletin Service newsletter, and sharing industry news.

When reflecting on the history of the association, it’s incredible to realize what PFMA has accomplished for its members. Over the years, PFMA launched Pennsylvania Coupon Redemption Services, created the Scanning Certification Program and established Merchants Express Money Orders (MEMO), now one of the nation’s largest money order companies.

PFMA grew support and membership when merging with the Pennsylvania Grocers Association in 1986 and with the Pennsylvania Distributors Association in 2016.

The association formed its first political action committee—FoodPAC of Pennsylvania—in 1976 and opened a satellite office in Harrisburg, Pa., in 1979 to increase its presence in the state capitol. Almost 10 years later, PFMA moved its offices to Wormleysburg, just across the river from Harrisburg.

Our first convention was held in Pittsburgh in 1960, growing into an event with a trade show, educational programs, networking opportunities and Pennsylvania’s Best Bagger contest. Today, we host our Annual Conference in June and the Fall Legislative Conference in October, providing valuable opportunities for members and sponsors to gather and discuss important industry trends.

We also funded the Thomas R. and Laura Ridge Scholarship in 1996 with Pittsburgh Association of Manufacturers Representatives (PAMR) and the Northwestern Pennsylvania Food Council, providing hard-working students with scholarship money to continue their educations. To date, 600 students have received Ridge Scholarships, totaling more than $1.1 million.

Today, the association continues to communicate and innovate, holding webinars, soliciting member feedback on timely issues, advocating for legislation that works for our membership and sharing news through publications, social media, the website and our Shelf Confidence podcast.

PFMA now serves more than 800 corporations and 4,000 retail stores that represent more than 250,000 employees in Pennsylvania.

The support of our broad and longstanding membership has allowed us to advance the interests of grocery stores, convenience stores, wholesalers, consumer packaged goods companies, lottery and gaming organizations and more—ultimately benefitting Pennsylvanian businesses and consumers. We look forward to sharing more during this celebratory year and continuing to serve and support the industry for many years to come.

Spring brings with it a shot of hope-filled fresh air. It’s also that time of year when the Pennsylvania Food Merchants Association (PFMA) looks forward to gathering with members for its 2022 Annual Conference in Gettysburg.

After two years of changes and uncertainty, we continue to see those in the food and beverage retail industries rise to each challenge they face. The PFMA Annual Conference provides valuable time for our members to connect and collaborate on today’s trends and issues. It also presents a perfect opportunity to acknowledge members who demonstrate and share their devotion and creativity to our industry.

This year, PFMA is thrilled to honor Lisa Dell’Alba, president and CEO of Square One Markets, Inc., with the Food Industry Trailblazer Award during the Annual Conference dinner. Lisa serves as vice chair of the PFMA Board of Directors, and Square One is a PFMA sponsor and member.

The association and our members have benefited from Lisa’s drive and vision. She became the second-generation to own and operate her family’s c-store chain in 2004. On a recent episode of PFMA’s Shelf Confidence podcast, she shared how operating a family-owned business gives her a chance to be nimble and creative on the job. Lisa also emphasized the importance of association involvement that offers members expertise, advocacy and support.

In addition to the award, the two-day conference features educational sessions, networking opportunities and a mini trade show. This year’s sessions focus on the changing world of food assistance programs; transportation and infrastructure updates from PennDOT; how PFMA members are maximizing workforce inclusion; and the challenges, opportunities and strategies surrounding supply chain in 2022.

Registration is now open for the Annual Conference, which is scheduled June 14–15, 2022, at the Gettysburg Hotel. The dinner and award presentation will be held at the Gettysburg Museum and Visitor Center. After dinner, conference attendees can enjoy access to the museum’s exhibits, video and cyclorama painting.

For details and to register for the conference, visit the PFMA 2022 Annual Conference events page. We look forward to seeing you in Gettysburg!

Dipping our toe in the podcast pool, the Pennsylvania Food Merchants Association (PFMA) launched Shelf Confidence this summer, and we recently wrapped our first 10-episode season.

The podcast provided the association with a new platform to highlight food retail trends and innovations from our members and sponsors. Food retailers have experienced a surge in growth and change as a result of the COVID-19 pandemic, and Shelf Confidence created a new channel to talk about the innovations that followed.

We released a new episode every other Wednesday morning, as podcast host Liz Kemmery interviewed PFMA members and sponsors about trending topics in the food and beverage retail industry.

Several episodes highlighted sustainability, which remains a focus in food retail. In the first episode, Jessica Groves of The GIANT company shared their environmental initiatives and how it impacts the community. Later in the season, Stephen Sinnott and Brian Norcross of Stephen Gould Corporation discussed sustainable packaging solutions, covering everything from materials to cost to supply chain to branding. In episode 10, Cheryl Hefft and Samantha McKeough from our PFMA partner World Kinect Energy Services talked about building a successful sustainability strategy for your business.

As we know, many trends changed or emerged due to the pandemic. Andrea Karns of Karns Quality Foods addressed the growing popularity of home meal kits, and later Seth Weaver of Weaver’s of Wellsville tackled shifts in product demand because of the pandemic. In episode 4, Sandy Brown of Brown’s Super Stores, shared how they worked with the City of Philadelphia and other community partners to help vaccinate Philly.

Other episodes featured tackling food waste with Country Fair, reframing healthy snacking with Utz, exploring children’s health and nutrition with Wegmans and training retailers to prevent gift card scams with the Pennsylvania Department of Banking and Securities.

These interviews illustrated the excitement and challenges that our PFMA members experienced while facing evolution and change in the food retail industry.

If you missed it, check out the podcast at pfma.org/videos-and-podcasts, or listen and subscribe to Shelf Confidence on Spotify, Apple Podcasts and Google Podcast.

We’re grateful to all of our members and sponsors who participated in our first season! Season 2 will launch mid-January.

PFMA represents more than 800 members representing convenience stores, supermarkets, independent grocers, wholesalers, consumer product vendors, national and regional chain stores and locally owned independent retailers of all sizes operating in Pennsylvania.

Butter Up Contest

It’s the most wonderful time of the year! There’ll be parties for hosting, marshmallows for toasting and butter sculptures, of course.

Christmas is exciting, but we’re anxiously anticipating the return of the in-person 2022 Pennsylvania Farm Show in January. And to kick it off, the PA Farm Show and Pennsylvania Food Merchants Association (PFMA) are once again partnering for the Butter Up! amateur butter sculpture contest.

When you grab your holiday cookie supplies at the grocery store, don’t forget to double up on PA Preferred butter for your Butter Up! entry!

Drawing from the inspiration of the PA Farm Show’s long-standing 1,000-pound butter sculpture tradition, this amateur contest invites Pennsylvanians to churn up their own PA Farm Show themed designs. The fun and friendly competition highlights the hard work and dedication of Pennsylvania’s dairy industry.

The contest sprang from the need to develop engaging online activities during the virtual 2021 Farm Show. More than 130 people entered and countless PA Farm Show Facebook fans voted.

Entries from the inaugural contest melted our hearts, with designs ranging from farm animals to barn scenes to apple pie. The winner, Garrett McCall, submitted a detailed sculpture of The Good Shepherd. In September, he was invited to create a 20-pound butter sculpture depicting the 2022 PA Farm Show theme Harvesting More.

This time, the contest precedes the 2022 PA Farm Show, with entries accepted from Friday Dec. 3, through Friday, Dec. 17, at noon. Entries are judged in six age categories by fans of the Pennsylvania Farm Show Facebook page.

A winner and runner up will be named in each category. PFMA members The GIANT Company, C&S Wholesale Grocers, Wegmans, Square One Markets and Giant Eagle/GetGo have donated $50 and $25 gift cards for winners and runners up in each age group.

Only residents of Pennsylvania can submit a butter sculpture for the content, but anyone can vote on their favorite! Check out the complete rules, regulations and details on how to enter.

PFMA is pleased to support this event, the PA Farm Show and our partners in agriculture and dairy. We’re especially grateful to our members for once again contributing prizes.

You butter believe our PFMA team is anxiously awaiting this year’s submissions. Best of luck to all who enter!

Liz Kemmery

Director of Communications, PA Food Merchants Assocation

There’s a fresh, new feeling in the air when spring hits. That made it a perfect time for the Pennsylvania Food Merchants Association (PFMA) to unveil its fresh, new website.

On March 31, PFMA flipped the switch on a brand-new website design. Still found at pfma.org, the enhanced site features a clean, modern look and upgraded structure that improves access to association and member news.

The site still features the latest legislative updates, member stories and association priorities with an emphasis on the benefits of an association membership. The reorganized content focuses on advocacy, news and publications, events and services. A new subsection on COVID-19 resources provides the latest news on vaccination, cases, protocol and communication.

Redesigning pfma.org has allowed us to further strengthen our communication with members. We’ve made the most important content and resources easier to find, which helps us support our members with simple access to the tools they need.

Visitors to the site can learn about PFMA and the benefits of becoming an association member under the about section. The advocacy section of the website includes news and legislation on a local, state and federal level that is significant to the food retail industry. Users also can find the association’s list of current priorities as well as information on our committees and FoodPAC.

Under news and publications, we share current and archived news releases, the bimonthly Spectrum magazine and our yearly reports. The events section provides information on our annual and fall legislative conferences, as well as a calendar that includes association webinars and meetings. Those visiting the site will discover a variety of resources under the services tab, including the latest COVID-19 communication, easy access to PFMA scholarships, Pennsylvania Coupon Redemption Services, the Scanning Certification Program and more.

PFMA.org highlights our current Corporate Leadership Sponsors and provides a searchable Buyer’s Guide that shares the services of our associate members. The site also features PFMA’s endorsed services and partner programs.

Not only does the new site create a stronger presentation of our current content, it sets up the framework for additional, easily shareable communication such as blogs, videos and podcasts.

Check back with pfma.org regularly for the latest from the PA Food Merchants Association and our members!