ARC Diversified
Encyclopedia
ARC Diversified was a 501(C)(3) non-profit corporation in Cookeville, Tennessee
, mainly concerned with hiring and training the severely disabled in the manufacturing of food products. At one time, the company employed over 100 severely disabled people to manufacture and co-pack several private label brands and its own Granny Bunt brand. On average, their brand portfolio reached more than four million people around the world daily. ARC Diversified was the first non-profit agency in the United States to operate a facility approved by the U.S. Department of Agriculture under PL No. 47-011-02 for the production of manufactured goods sold to the feeding programs of the U.S. government
and private industry. ARC-Diversified utilized the manufacture of food items to create opportunities for severely disabled in the development of work skills, vocational services and a better quality of life.
(JWOD Act), et seq. This is a U.S. federal law
mandating that all Federal agencies purchase specified supplies and services from nonprofit agencies
employing blind
persons or others with severe disabilities
. The Act was passed by the 92nd United States Congress
in 1971; it is named after Senator Jacob K. Javits
, who led efforts to expand the Wagner-O'Day Act of 1938, which in turn was named after Senator Robert F. Wagner
and Congresswoman Caroline O'Day
..
Senator Javits led the efforts to expand the older law, which applied only to blind persons, and covered supplies but not services. The effort succeeded in spite of objections raised by organizations representing the blind, as expressed for example in Resolution 68-04 passed in 1968 by the American Council of the Blind
.
The Federal agency charged with administering the program is currently known as the Committee for Purchase from People Who Are Blind or Severely Disabled. It replaced the Committee on Purchases of Blind Made Products established by the 1938 act. The agency decides which commodities and services the government should purchase under the JWOD Act.
In 1992, ARC was the first nonprofit agency in the country to operate a USDA-approved facility for the production of manufactured goods sold to the feeding programs of the US Government and private industry. They began manufacturing over 125 different varieties of dry mixes, dairy blends and oil products for Federal customers such as the Department of Agriculture and the Department of Defense. ARC Diversified also produced for the private sector and participated in the reinvented Federal procurement Prime Vendor program by delivering to full-line food distributors who are contracted to deliver to Federal installations. Arc-Diversified's accomplishments were recognized in May 2004 by the United States department of Agriculture. They were awarded Javits Wagner O’Day Contractor of the Year award.
In July 2006, ARC Diversified filed for Chapter 11 bankruptcy. Shortly before the bankruptcy was filed the companies two directors resigned from the company. Department of Agriculture officials contested the charity's bid for a higher cooking oil price due to the executives compensation. The impasse in negotiations caused credit problems, layoffs and the forced resignations of the two top officials. After the bankruptcy was filed, ARC closed its doors. In March 2008 the former two top officials of ARC Diversified settled the judgments filed against them by the nonprofit's federal bankruptcy trustee. The settlement agreement says that judgment is based upon liability for "errors, omissions, negligence and breaches of duty" in connection with their positions with ARC, and not based upon actual fraud.
Cookeville, Tennessee
Cookeville is a city in Putnam County, Tennessee, United States. The population was 23,923 at the 2000 census. of Cookeville's population was 30,435, and the combined total of those living in Cookeville's in 2010 was 65,014. It is the county seat of Putnam County and home to Tennessee...
, mainly concerned with hiring and training the severely disabled in the manufacturing of food products. At one time, the company employed over 100 severely disabled people to manufacture and co-pack several private label brands and its own Granny Bunt brand. On average, their brand portfolio reached more than four million people around the world daily. ARC Diversified was the first non-profit agency in the United States to operate a facility approved by the U.S. Department of Agriculture under PL No. 47-011-02 for the production of manufactured goods sold to the feeding programs of the U.S. government
Federal government of the United States
The federal government of the United States is the national government of the constitutional republic of fifty states that is the United States of America. The federal government comprises three distinct branches of government: a legislative, an executive and a judiciary. These branches and...
and private industry. ARC-Diversified utilized the manufacture of food items to create opportunities for severely disabled in the development of work skills, vocational services and a better quality of life.
History
The company traced its history to the Javits-Wagner-O'Day ActJavits-Wagner-O'Day Act
The Javits-Wagner-O'Day Act et seq. is a U.S. federal law requiring that all federal agencies purchase specified supplies and services from nonprofit agencies employing persons who are blind or have other significant disabilities. The Act was passed by the 92nd United States Congress in 1971; it...
(JWOD Act), et seq. This is a U.S. federal law
Code of Federal Regulations
The Code of Federal Regulations is the codification of the general and permanent rules and regulations published in the Federal Register by the executive departments and agencies of the Federal Government of the United States.The CFR is published by the Office of the Federal Register, an agency...
mandating that all Federal agencies purchase specified supplies and services from nonprofit agencies
Non-profit organization
Nonprofit organization is neither a legal nor technical definition but generally refers to an organization that uses surplus revenues to achieve its goals, rather than distributing them as profit or dividends...
employing blind
Blindness
Blindness is the condition of lacking visual perception due to physiological or neurological factors.Various scales have been developed to describe the extent of vision loss and define blindness...
persons or others with severe disabilities
Disability
A disability may be physical, cognitive, mental, sensory, emotional, developmental or some combination of these.Many people would rather be referred to as a person with a disability instead of handicapped...
. The Act was passed by the 92nd United States Congress
92nd United States Congress
The Ninety-second United States Congress was a meeting of the legislative branch of the United States federal government, composed of the United States Senate and the United States House of Representatives...
in 1971; it is named after Senator Jacob K. Javits
Jacob K. Javits
Jacob Koppel "Jack" Javits was a politician who served as United States Senator from New York from 1957 to 1981. A liberal Republican, he was originally allied with Governor Nelson Rockefeller, fellow U.S...
, who led efforts to expand the Wagner-O'Day Act of 1938, which in turn was named after Senator Robert F. Wagner
Robert F. Wagner
Robert Ferdinand Wagner I was an American politician. He was a Democratic U.S. Senator from New York from 1927 to 1949.-Origin and early life:...
and Congresswoman Caroline O'Day
Caroline Love Goodwin O'Day
Caroline Love Goodwin O'Day was an American politician. She was the third woman, and first woman Democrat, elected to Congress from New York.-Life:...
..
Senator Javits led the efforts to expand the older law, which applied only to blind persons, and covered supplies but not services. The effort succeeded in spite of objections raised by organizations representing the blind, as expressed for example in Resolution 68-04 passed in 1968 by the American Council of the Blind
American Council of the Blind
The American Council of the Blind is a nationwide organization in the United States. It is an organization mainly made up of blind and visually impaired people who want to achieve independence and equality .-History:The American Council of the Blind was formed out of the dissolution of the...
.
The Federal agency charged with administering the program is currently known as the Committee for Purchase from People Who Are Blind or Severely Disabled. It replaced the Committee on Purchases of Blind Made Products established by the 1938 act. The agency decides which commodities and services the government should purchase under the JWOD Act.
In 1992, ARC was the first nonprofit agency in the country to operate a USDA-approved facility for the production of manufactured goods sold to the feeding programs of the US Government and private industry. They began manufacturing over 125 different varieties of dry mixes, dairy blends and oil products for Federal customers such as the Department of Agriculture and the Department of Defense. ARC Diversified also produced for the private sector and participated in the reinvented Federal procurement Prime Vendor program by delivering to full-line food distributors who are contracted to deliver to Federal installations. Arc-Diversified's accomplishments were recognized in May 2004 by the United States department of Agriculture. They were awarded Javits Wagner O’Day Contractor of the Year award.
In July 2006, ARC Diversified filed for Chapter 11 bankruptcy. Shortly before the bankruptcy was filed the companies two directors resigned from the company. Department of Agriculture officials contested the charity's bid for a higher cooking oil price due to the executives compensation. The impasse in negotiations caused credit problems, layoffs and the forced resignations of the two top officials. After the bankruptcy was filed, ARC closed its doors. In March 2008 the former two top officials of ARC Diversified settled the judgments filed against them by the nonprofit's federal bankruptcy trustee. The settlement agreement says that judgment is based upon liability for "errors, omissions, negligence and breaches of duty" in connection with their positions with ARC, and not based upon actual fraud.
Corporate governance
Officers included:- Jerry Butler - Plant Manager
- Marty Ellison - Quality Systems Manager
Certifications
- ANSI/ISO/ASQ Q9001-2000 Certified
- USDA Total Quality Systems Audit (TQSA) Certified
- USDA Agriculture “Dairy Plants Surveyed and Approved for USDA Grading Service” Plant Number 47-1102
- Orthodox Union Kosher
- United States Food and Drug AdministrationFood and Drug AdministrationThe Food and Drug Administration is an agency of the United States Department of Health and Human Services, one of the United States federal executive departments...
Registration Number 16459898298 - Tennessee Department of Agriculture, Regulatory Services, Food and Dairy Establishment Number 33015
- American Institute of BakingAmerican Institute of BakingThe American Institute of Baking is a not-for-profit corporation, founded by the North American wholesale and retail baking industries in 1919 as a technology transfer center for bakers and food processors...
Superior rating 2008
External links
- Test of the Javits-Wagner-O'Day Act, from Cornell UniversityCornell UniversityCornell University is an Ivy League university located in Ithaca, New York, United States. It is a private land-grant university, receiving annual funding from the State of New York for certain educational missions...
's Legal Information InstituteLegal Information InstituteThe Legal Information Institute is a non-profit, public service of Cornell Law School that provides no-cost access to current American and international legal research sources online at . The organization is a pioneer in the delivery of legal information online. Founded in 1992 by Peter Martin and...