2011 Year End Summary

Lampson Brook Farms

Open-Air Mobile Poultry Processing Unit

2011 Year End Report

The Lampson Brook Community MPPU (Unit 1) was designed, fabricated, modified and managed over the course of three “pilot” seasons (2008-2010) funded by generous grant support.  Exploring the economic feasibility of maintaining the MPPU option as an affordable, self-sustaining, fee-for-service enterprise was the challenge of this fourth and final project season.  It included the following:

Confirm Unit cost: $26,258
Actual cost of fabricating Unit 1 includes trailer, all equipment, and custom fabrication services, but does not include additional costs of re-fabrication required by “pilot” design modifications  and optional accessories & processing supplies. (See “As Built Guide,” Att. A.)
Prepare & Assess Feasible Management Plan & Budget.
Establish annual costs to Owner: $2,439
Annual Operating Costs: $706 - insurance, registration, storage, administration (including Management Contract oversight).
Escrow Account: $1,733 – calculated to cover replacement cost of $28,000 (straight line to scrap over 15 years).
Establish management approach: Management Contract with Third Party
Management of the Unit was contracted to a qualified individual who prepared a “pro forma” annual management plan and budget (including membership and processing fees) for review and approval by Owner.  Manager “rented” the Unit at contracted rate; promoted availability of MPPU service; scheduled licensed users; provided “mentoring” for new users as needed; and billed users directly.   (See MPPU Management Agreement, Att. B, and Manager’s invoices.)  
Prepare & Circulate 2011 Report.

OWNERSHIP
Interviewed & signed management contract with Drew Locke, Hillside Poultry Farm, a producer certified as “crew leader” by MDPH.
Billed manager $2,439 for Unit “rental,” covering annual ownership costs, including escrow.

MANAGEMENT
Revenue:
Three “membership” fees @ $100:                   $      300.00
2,021 birds processed @ $2.25/bird:            4,547.25
18 hours mentoring @ $15/hour:                   270.00
        Total:                      $  5,117.25
Expense
Management: 100 hours @ $15:                          $  1,500.00
Insurance:                                225.00
Promotion/outreach:                       150.00
Minor repairs/supplies:                       250.00
Annual rental fee (includes escrow)            2,439.00
Miscellaneous                            350.00
                Total:                     $ 4,914.00