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News that the U.S. Department of Agriculture allowed Beef Products, Inc. to treat raw hamburger with ammonia to destroy bacteria, while also exempting the Chicago-based meat packer from routine ground-beef inspections, will create even more suspicions about the government’s ability to safeguard the nation’s food supply. It’s also a case study in how companies and government agencies must do more to reassure consumers in this age of accountability.

BPI’s ammonia-processed beef has become a huge part of the nation’s hamburger supply – from McDonald’s, Burger King and other quick-service restaurants, to the federal school lunch program, which used an estimated 5.5 million pounds of the processed beef in 2009. In fact, USDA officials considered BPI’s proprietary ammonia treatment of ground beef so effective that they allowed the company to largely police its own operations.

But government and industry records examined by The New York Times show the school lunch program found dozens of instances where salmonella and E. coli were detected in BPI meat. Last August, two 27,000-pound batches were found to be contaminated in back-to-back instances that were never reported – even to senior USDA officials.

The USDA told the Times it will scrutinize future industry innovations in fighting contamination “to ensure that they are scientifically sound and protect public health.” Meanwhile, BPI founder Eldon Roth, refused to grant interviews or access to the company’s facilities. In a statement, the company cited “the progress BPI has made compared to the industry norm,” adding that “Like any responsible member of the meat industry, we are not perfect.”

While no one expects perfection, consumers do expect to know when an arrangement this controversial is taking place with their food supply – especially when it involves the national school lunch program.

In early 2008, meatpacker Westland/Hallmark went bankrupt in 28 days after an undercover investigation by the Humane Society of the United States revealed the company was allowing so-called “downer cows” to enter its supply of ground beef to – you guessed it – the federal school lunch program. It’s important to note that in the Westland/Hallmark case, as with the current BPI report, absolutely no one was killed or injured. It was Westland/Hallmark’s poor response to the crisis and USDA’s inability to explain how on-site inspectors could miss the violation that killed the company and severely damaged government credibility.

To avoid a crisis, BPI and USDA now must quickly apologize for their lack of transparency in this matter, institute safeguards that can be readily monitored by regulators, and commit to a more open system of meat inspection.

Transparency and accountability are the watchwords for 2010 as food companies and government regulators seek to reassure consumers about the safety of the food supply. Nothing else will do.
 
Gene Grabowski is Senior Vice President of Crisis and Litigation at Levick Strategic Communications, the nation’s top crisis communications firm, and a contributing author to Bulletproof Blog. Connect with him @crisisguru.