Environmental Resource Management

Breaking News: EPA Backs Existing Wastewater Regulations, Prevents Catastrophe for Processors and Producers

Sat, 30 Aug 2025 20:41:21 GMT

The longstanding Meat and Poultry (MPP) Effluent Guidelines and Standards will stand, announced Environmental Protection Agency (EPA) Administrator Lee Zeldin on Aug. 30. He says the proposed changes to the regulation are unnecessary.

EPA determined existing federal wastewater regulations under the Clean Water Act are effective and the burdens proposed changes would inflict on meat and poultry processors are unwarranted.

“The National Pork Producers Council (NPPC) applauds the Trump administration and EPA Administrator Zeldin for taking a common sense approach on the Meat & Poultry Processing Rule,” says Duane Stateler, NPPC president and pork producer from McComb, Ohio. “As proposed by the previous administration, this rule—which provides no environmental benefits—would have been devastating to small- and medium-sized meat processors across the country and the livestock farmers who rely on them as markets for their animals.”

EPA’s action will save not only the nearly 100 local meat processors that EPA itself identified would have to close down but also the thousands of family farmers who rely on them to stay in livestock production, Stateler points out.

“It will help ensure affordable, nutritious American-grown pork can continue to be served on dinner tables across the country,” Stateler says.

Moving Forward
The decision closes the book on a nearly two-year comment and consideration process in which NPPC and other stakeholders have worked with EPA to better inform the agency’s decision and preempt unnecessary harm.

“Under the prior proposal, if it were finalized, major pork processors would have faced significant costs to install new waste water management systems,” explains Michael Formica, NPPC chief legal strategist. “During that period of construction, some plants would likely have needed to temporarily shut down. Others might have had to cut back on how many shifts they run.”

EPA’s internal analysis showed that dozens of facilities, likely small and medium-sized, would be forced to shut down because they would be unable to afford the cost of the technology required to comply, Formica says. Overall, the industry would have realized additional costs estimated at greater than $1 billion a year.

“Producers who rely on those processors would have then been without a market for their livestock,” Formica adds.

Unnecessary Expansions
The Meat and Poultry Products Effluent Guidelines and Standards was enacted in 1974 by the EPA and amended in 2004 to cover wastewater directly discharged by processing facilities. NPPC says the proposed amendment would have established more stringent technological requirements for controlling discharges from processors and significantly increased the scope of plants that were covered by the rules.

While the agricultural industry and the meat and poultry processing sectors support clean water efforts, EPA found these expansions were unnecessary.

NPPC says it appreciates EPA taking no action on the proposal, which would have disrupted packing capacity and livestock markets, in turn inflicting additional financial harm on producers and leading to further industry concentration and the loss of independent farmers.

The Meat Institute says the proposed rule would have also harmed the relationship between meat and poultry processing (MPP) facilities and publicly-owned treatment works (POTWs).

“Indirect discharging MPP facilities often make significant financial investments in maintaining and upgrading the POTW or shouldering major surcharges for the POTW’s continued operation and maintenance, which reduce public treatment costs for residential ratepayers and improve the quality of local and downstream waters,” the Meat Institute wrote in a statement.

Farmers Speak with One Voice: Regenerative Agriculture is the Future

Thu, 15 May 2025 13:52:23 GMT

By Sarah Singla:Canet de Salars, France

Franklin Delano Roosevelt saw the damage delivered by soil degradation and erosion back in 1937.

“The nation that destroys its soil destroys itself,” wrote the president after a turbulent period of dust storms and floods.

That was a good insight, especially for a person who did not have a personal connection to agriculture. Roosevelt wanted to command the forces of government to save America’s soil.

Today, farmers are taking the lead in the global effort to protect our soil. Our cause has a name: “regenerative agriculture.”

A group of us recently met to draft and sign a declaration: “We, as farmers, affirm our commitment to regenerative agriculture as a pathway to improve ecological functions of farming, feed our communities safe and nutritious food, and secure a thriving future for generations to come with dignity and well-being of the farming communities as top of mind.”

We gathered from around the world. I’m a farmer in France, and my co-signers include men and women from Argentina, Brazil, Denmark, India, Kenya, the Netherlands, and the United States. Our backgrounds may suggest that we don’t have much in common. We grow different crops and produce a diverse range of food, feed, fuel, fiber and forest. We face various challenges from pests, weeds, climate, and more.

Yet we share a common belief that regenerative agriculture, based on agronomy, is the future of farming, as it strives to produce a bounty of food in a sustainable way.

Our focus is the soil , which is every farmer’s first tool of production. If we keep it healthy, we’ll grow healthy food. We’ll also produce more with less—more food, combined with less mechanization, less fuel consumption, and even less acreage. We rely on agronomy, which is the science of agriculture, and look to technology and innovation to help us meet our goals.

Some farmers discover regenerative agriculture. I was born into it, as my farm in southern France began to concentrate on soil conservation in 1980.Today we mostly grow cereals and pulses, plus meadows for grazing.

Regenerative agriculture begins with a principled commitment to soil conservation, but the specifics will vary based on local conditions and needs.

On my farm, for example, we plant cover crops right after the cash crop. This means we’re getting two crops each year in the same field.

The cash crop has commercial value, and we grow it for income. The cover crop, which follows, offers a lot of services for the farm, starting with the simple chore of covering the soil to protect it from the elements. It’s like a blanket that guards against heat, frost, and wind. In the soil bed beneath, it locks in moisture, preserves biodiversity, and prevents erosion. It also recycles nutrients.

The result is a field that’s ready for the next cash crop. Cover crops also provide additional benefits. Livestock can graze on them. Depending on what we’ve planted, we can harvest cover crops for feed.

Most important is the fact that we’re getting two crops from one field. In a single year, we can produce food AND feed, food AND fiber, or food AND fuel. The choice is ours, made possible by a dedication to regenerative agriculture.

Our goal in drafting a declaration on regenerative agriculture is to show that farmers, who work all the time in the fields, know that this is the future of food production—and to inform policymakers, who often lack a background in agriculture, about what we’re doing and why.

We believe that if farmers everywhere can produce in the places where they live, getting as much as possible from every square meter of healthy soil, then we’ll achieve food security for our communities and beyond as well as encourage young people to take up our profession.

Eight of us drafted and signed the document. Soon we’ll seek additional signatures. We speak with one voice on regenerative agriculture and the future of farming.

We inherited the land from our parents and ancestors. Now we’re its stewards, as we prepare our farms for passing on to our children and the next generation.

Regenerative agriculture is the way.

Sarah Singla grows wheat, triticale, alfalfa, buckwheat and meadows for the neighbor’s cattle on her family farm in Canet de Salars, France. Sarah is an agronomic engineer and a member of the Global Farmer Network. www.globalfarmermetwork.org

Don’t Leave Anything on the Table

Wed, 08 Jan 2025 15:37:25 GMT

One thing my dad taught me at an early age was that if I didn’t keep myself busy, he would. When you live on a farm, there is always something to do. There’s always an animal that could use attention, a barn that needs cleaning or a skill that needs practicing.

It can be an exhausting life, but it’s rewarding. It’s rewarding to know that you’ve put the time in and gave it your all. It’s rewarding to know that your work makes a difference and has an impact somehow.

And while my dad was right – that there is always something to do – I’ve also learned that there is always something to do. No matter how hard I work, there will still be work to do tomorrow.

You Can’t Pour Out of an Empty Cup
So, it’s important to also find time to rest. Taking some time off over the holidays is exactly what my soul needed. It’s easy for me to go hard and forget to rest. Then, I wonder why it’s so hard to pour myself into everyone and everything else.

Rest reminds us that we’re human and we can’t control it all. It helps us take a step back and regain perspective. It allows us see more clearly when we’ve taken a bit of a break from the grind.

Time for a Reboot
A recent conversation with my husband has been on my mind a lot lately. He said, “If you aren’t putting in full effort and trying to be the absolute best version of you that you can be, you’re leaving something on the table.”

I’m not a resolutions girl. I’m more of a “use the new year as a time to reboot” kind of girl. For me, the new year is a time to ask important questions.

• What are the things I care about most?
• Does my schedule reflect my priorities?
• Am I investing my time in stuff that matters?
• How am I living up to my full potential?
• What am I leaving on the table?

The U.S. pork industry has been wrestling with big questions, too. As a new year unfolds, I think it’s a good time to ask yourself a few reboot questions. We have limited days to make a difference in this life and fulfill our purpose. Are you on track to make your time count?

We Need You
If you haven’t been a part of the pork industry before, it’s hard to explain why it’s unique. But if you know, you know. My good friend Jan Archer recently retired from a 50-year career working in the pork industry. To say she’s seen it from all angles falls short.

“I’ve had an amazing career in this industry,” Archer says. “I’ve been able to feed my family and send my children to college. I’ve met the most amazing people on the planet -- the most honorable, the most hardworking, the most invested in other people. And that’s because I work in the pork industry.”

Archer says it’s critical that we let people know these stories of rewarding pork industry careers and lifetimes spent doing things that matter.

“We’ve got to let people know we’re here and we are a great career option,” she urges. “It doesn’t matter what you do or what your skill set is. If you are really good at social media, we’ve got a job for you. If you have a flip phone and never want to look at a computer, we have a job for you. If you love animals, we have a job for you. If you don’t really love animals, but love people, we have a job for you. There’s a place for everybody.”

Archer believes the industry’s cohesiveness and dependency on each other is part of why it’s special.

“The guy that’s got 150 pigs and is selling pork out his back door for a lot of money, we need him,” she says. “Those kids with show pigs that are chasing the banners, learning how to be FFA speakers, discovering how to have independent thought, learning how to get up every day and do the work, we really need them. There is a place for everybody.”

Sometimes I question if my role matters. Am I helping? Do I make a difference? The reality is we may never know in this lifetime. But if we prioritize and invest time pursuing a life that matters, using our gifts to the best of our ability, we will find incredible satisfaction living a life that doesn’t leave anything on the table.

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Trump Return Likely to Slow, Not Stop, U.S. Clean-energy Boom

Wed, 06 Nov 2024 21:02:45 GMT

Donald Trump’s return to the White House will refocus the nation’s energy policy onto maximizing oil and gas production and away from fighting climate change, but the Republican win in Tuesday’s presidential election is unlikely to dramatically slow the U.S. renewable energy boom.

Investor fears of a reversal under Trump sent clean-energy stocks down sharply on Wednesday. The MAC Global Solar Energy index was down 10% in midday trade, while shares of top renewable project developer and owner NextEra Energy slid 6.2%.

A Biden-era law providing a decade of lucrative subsidies for new solar, wind and other clean-energy projects would be near-impossible to repeal, however, thanks to support from Republican states, while other levers available to the next president would only have marginal impact, analysts say.

“I don’t think a Trump president can slow the transition,” said Ed Hirs, energy fellow at the University of Houston. “This is well under way.”

Renewable energy sources such as solar and wind are the fastest-growing segments on the power grid, according to the Department of Energy, driven by federal tax credits, state renewable-energy mandates, and technology advancements that have lowered their costs.

President Joe Biden in 2022 signed into law the Inflation Reduction Act guaranteeing billions of dollars of solar and wind subsidies for another decade as part of his broader effort to decarbonize the power sector by 2035 to fight climate change.

Before the election, Trump slammed the IRA as being too expensive and promised to rescind all unspent funds allocated by the law - a threat that, if accomplished, could pour cold water over the U.S. clean energy boom. But dismantling the IRA would require lawmakers, including those whose states have benefited from IRA-related investments such as solar-panel factories, wind farms and other projects, to vote to repeal it.

“The jobs and the economic benefits have been so heavy in red states, it’s hard to see an administration come in that says, ‘we don’t like this,’” said Carl Fleming, a partner at law firm McDermott Will & Emery, who advised the Biden White House on renewable energy policy.

Many of Trump’s allies also benefit from the IRA through their investments in clean-energy technologies, Reuters has previously reported.

Fleming said Trump could, however, slow things down around the margins by hindering federal agencies that deliver IRA grants and loans, or by reducing federal leasing for things such as offshore wind.

“You could see a new administration come in and they can very quickly begin to cut budgets or restrict budgets or restrict the freedom of agencies to do certain things that are tied to funding,” he said. “But I think that’s a smaller subset of the larger renewables market that’s really relying on those, so I don’t think it would have a shocking effect.”

The Biden administration has rushed to ensure it spends the majority of available grant funding under the IRA before a new president arrives, Reuters has previously reported.

One way Trump could slow the transition is through executive action by changing public lands leasing, analysts said. The Biden administration had sought to expand lease auctions for offshore wind in federal waters, along with solar and wind on land.

“I think you would see more preference given to fossil-fuel extraction on public lands and waters,” said Tony Dutzik, associate director and senior policy analyst at Frontier Group, a non-profit sustainability think-tank.

That could have an outsized impact on the offshore-wind industry, which aims to site projects in federal waters. Most onshore solar and wind projects are located on private property, as is the vast majority of oil and gas drilling. Trump has said he intends to end the offshore-wind industry “on day one,” arguing it is too expensive and poses a threat to whales and seabirds, a dramatic policy reversal after his first administration supported offshore-wind development.

Bernstein Research said Trump is likely to enact a moratorium on new offshore-wind lease sales. Meanwhile, U.S. fossil-fuel production is likely to look much the same under Trump, experts said. The U.S. has already become the world’s largest oil and gas producer, under the watch of Biden, thanks to a drilling boom in fields such as the Permian Basin under Texas and New Mexico.

The production boom started under former President Barack Obama and has continued through the Trump and Biden presidencies. Even so, Trump’s campaign has sought to claim credit, saying his efforts to slash regulatory red tape during his 2017-2021 term paved the way, and arguing he could further expand U.S. fossil-fuel production in a second term by rolling back Biden’s climate initiatives.

“Presidents can make a lot of noise about plans for U.S. oil and gas, but ultimately it’s individuals and companies responding to prices of a global commodity that make the decisions on when to drill,” said Jesse Jones, head of North American upstream at Energy Aspects.

Dan Eberhart, Trump donor and CEO of oilfield-services company Canary, LLC, said he supports Trump’s encouragement of increased oil-and-gas drilling, saying it could further lower energy prices for businesses and consumers.

He added he would also welcome a move by Trump to once again withdraw the United States from international climate cooperation, like he did in his first term, arguing other big greenhouse-gas emitters were not doing enough.

“The Paris accord was aspirational and meaningless if China and India don’t participate,” he said, referring to a landmark U.N. deal in 2015 to limit global warming.

Hydrangeas from Colombia: Beauty, Technology, and Sustainability for the World

Tue, 29 Oct 2024 21:53:26 GMT

By Néstor Raúl Muñoz Mazo; Antioquia, Colombi a

In Colombia, our flowers grow with such abundance that we can share them with the rest of the world: flowers that brighten the lives of people in North America, Asia, and Europe. It is a privilege to earn a living providing bouquets and flowers that beautify the planet.

This success would not be possible without two great allies: trade and technology. I am an agronomist, and I advise farmers on cultivating flowers for the international market, especially hydrangeas, but also chrysanthemums and other species. These flowers thrive in our tropical, warm and often rainy climate. Colombia is the second-largest exporter of cut flowers in the world, after the Netherlands, and we grow over 1,600 varieties of flowers from 520 plant species, exporting to more than 100 countries.

My interest in agriculture began in my childhood, watching my mother and grandmother work in their gardens and create elaborate floral arrangements. Although my father used to take me fishing on weekends, I always preferred to leave the water to cultivate the land.

I started with bananas, an important crop to my country, then, I turned to flowers 25 years ago when hydrangeas became a key export to the United States.

Hydrangeas adapt perfectly to Colombia. They do not require large investments in infrastructure and grow well on steep terrain, which is not useful for other crops. This allows farmers to transform unproductive areas into sources of sustainability for their farms. From an agricultural standpoint, hydrangeas are unique, as they enable us to generate value from what was once unused land.

Initially, hydrangea farms in our region were no larger than one hectare (2.5 acres). Over time, as demand grew, new investments and technologies allowed the farms to flourish. Tools such as shade nets have been essential as they regulate sunlight exposure, preventing the flowers and foliage from sunburning. These nets, along with other technologies such as digital applications that monitor pests and climatic conditions, have allowed us to increase the quality and variety of our hydrangeas.

Thanks to these innovations, we cultivate hydrangeas in several sizes and colors. The smaller grades contrast with the jumbo sizes, which can reach up to 25 centimeters in diameter. White is the most versatile color, as it can be dyed into almost any shade. We also offer blue, lavender, and green hydrangeas, providing options that delight our international customers.

Pest management is one of our biggest challenges as our outdoor cultivation systems allow both pests and their biological controllers to enter. We implement a pest management system that protects our flowers and maintains biological balance, essential for preserving biodiversity.

This month, Colombia will host the United Nations Biodiversity Conference, also known as COP16, from October 21^st to November 1^st. I believe it is crucial for the representatives to hear from our farmers how we improve soil quality, face unpredictable weather, and adopt new technologies to generate sustainable value while protecting the biodiversity of our environment. Decisions and agreements made at COP16 could enable Colombian farmers to access financial resources for projects that promote sustainable agriculture.

Meeting environmental standards is important for international markets. For farmers and exporters like me, it is vital to stay informed about these decisions, as our flowers are not just a beautiful product, but also a business and one of the keys to sustainability is ensuring economic viability along its value chain.

In Colombia, the flower industry supports around 200,000 jobs, many of which are held by rural women who are heads of their families. Their livelihoods depend on free trade, as the vast majority of our flowers are exported. The United States is our largest market, followed by Canada, Japan, and the European Union.

I believe in the power of flowers, and that means I also believe in the power of trade, sustainability, and technology as fundamental bases of the agro-industry.

Néstor Raúl Muñoz Mazo is trained as an agronomist and technical specialist in flower crops for export, with a focus on hydrangeas in eastern Colombia. Néstor is a strong advocate for technology, focusing on sustainable practices that promote efficiency and protect the environment. Néstor is a member of the Global Farmer Network. www.globalfarmernetwork.org

What To Know From The Biden Administration's New Carbon Policy Statement

Thu, 30 May 2024 19:03:45 GMT

At the end of May, the Biden Administration published the Joint Policy Statement and Principles on Voluntary Carbon Markets . Farm CPA Paul Neiffer joined the AgriTalk podcast to break down the details of this 12-page document and what the ag industry needs to know.

According to Neiffer, part of the publication’s purpose is to steer companies toward more reliable methods of using carbon.

“You have these large, publicly traded companies that have been greenwashing. They’ve been trying to help the climate, so they go out and buy these credits that really aren’t very valid,” he says. “They’re trying to state the goals for these companies should not be to buy these carbon credits. Their goal really should be to fix their own carbon footprint in their own company and in their supply chain.”

Overall, he says the publication isn’t quite a policy, but more of a statement encouraging companies to clean up their supply chains.

When it comes to farmers, Neiffer believes the ag industry should begin focusing more on 45z tax credits and carbon intensity scores rather than carbon credits.

“It seems to be implying if you’ve already done a great job of reducing your carbon footprint, you’re not going to get a payment because you can’t really reduce your carbon footprint any further,” he says. “Whereas if you’re a farmer that maybe hasn’t done a great job [of reducing your carbon footprint], we’ll give you a payment because we can see in that case where we can reduce your footprint.”

For those who still intend to purchase carbon credits, the second half of the policy statement made an effort to create standards for program participation and make sure there is transparency, identification and documentation.

“They want to make sure it’s legit if you’re buying this carbon credit that you’re actually removing carbon dioxide from the atmosphere,” Neiffer says.

To hear more from Neiffer, listen to this episode of AgriTalk.

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How To Align Environmental Metrics With Your Asset Management In Farmland

Mon, 20 May 2024 16:40:18 GMT

There’s no fast-forward button in farming to see how your investments pay off. But a recent time lapse playback by Iowa farmer Reid Weiland visually told the year-by-year story of how investing in a field yielded environmental and financial rewards.

“Things happen slow,” he says. “It’s the nature of farming one year to the next, and so it can take a decade for our story to develop.”

In the example above and video below, Weiland and his team identified low yielding areas and addressed fertility; they rebuilt and completed the main waterway in the field and added a second where needed; and they cleared an old building site. Piece by piece, season by season, their investments came to fruition.

Weiland Farms grows millet, corn and non-GMO, food-grade soybeans. Reid Weiland is managing partner/CEO and has been for the past 10 years since his father semi-retired.

The Case To Develop A Field Pedigree

With his leadership, Weiland and the team have developed an approach to manage their farmland (owned and leased) for environmental, productivity, and long-term financial payback. He says the need for this approach escalates as farm land has increased in market value.

“Think about where we’re spending $10,000 to $15,000 an acre today, and you don’t typically know what the fertility is,” he says. “You don’t know what the production history of it is. You don’t know any conservation or regenerative pieces that have gone through it. And we’re spending a million bucks for a tract, and we know very little about it.”

This highlights the opportunity of investing in regenerative practices that build up the land’s quality and performance but also emphasizes the risk of not doing so.

“Imagine because of macro economics, farmland doubled. It’s $30,000 an acre. Well, now we’re spending $2 million. How much more valuable is it to have what I would call a pedigree — a production pedigree, a regenerative pedigree?”

Weiland says such a land pedigree would have 10 years of cropping history with documentation of inputs applied by date and quantity.

“That could easily be worth $1,000 an acre for a $30,000 an acre farm, right?” he says.

Boost Land Value and Stewardship
Weiland Farms has made it a mindset to consider how they are investing back in their land with a two-prong goal: minimize environmental impact while boosting its value. Here are four goals the Iowa farm is focused on: Prevent soil erosion: methods include transitioning to minimal-till or no-till in highly erodible areas as well as installing grassed areas. Manage water quality: for example, explore opportunities for incentive funding to install filter systems that remove nitrates from water. Improve waterways: neglected waterways don’t do their intended job and can cause larger erosion issues. Invest in sustainable farming methods: think about how soil health improves long-term productivity.

Boost Land Value and Stewardship

Weiland Farms has made it a mindset to consider how they are investing back in their land with a two-prong goal: minimize environmental impact while boosting its value.

Here are four goals the Iowa farm is focused on:

Prevent soil erosion: methods include transitioning to minimal-till or no-till in highly erodible areas as well as installing grassed areas.
Manage water quality: for example, explore opportunities for incentive funding to install filter systems that remove nitrates from water.
Improve waterways: neglected waterways don’t do their intended job and can cause larger erosion issues.
Invest in sustainable farming methods: think about how soil health improves long-term productivity.

What Makes Farmland Different

From an investment management standpoint, Weiland says agriculture has fallen into a decades-long malaise with a culture that doesn’t encourage regularly informed management. Said another way, farmland is a unique asset because it doesn’t depreciate or require hands-on management from the owner if an operator is in place.

“If you were to correlate a farmland investment to an investment in an apartment building, they are similar but very different. An apartment building needs to be managed almost daily, the roof may need to be replaced, etc.,” he says. “Just like an apartment building, farmland is a solid asset base that you’re generating a return on. But you may have a landowner who hasn’t talked to a tenant in a couple of years. Who owns something worth a million dollars and doesn’t receive a regular report on it from the person managing it? It sounds ridiculous but some landowners can get lulled into complacency without realizing it.”

Physical Investments

Weiland says the approach is a combination of agronomic practices and physical improvements. A current tool they are using is controlled drainage structures.

“It’s estimated that 20% to 50% of water leaving the farm is leaving the farm unnecessarily; that means we are shipping 20% to 50% more water down the Mississippi River than we really need to,” he says. “In addition, these systems help us get in the field and plant when we need to. So, we are holding water, which we know contains nitrates, when we can and still are able to manage the soil moisture for field work.”

Weiland Farms’ first controlled drainage structure was installed this past year, and there are more installations in the works.

“It’ll take us multiple years to learn about this management tool and how it pays back, but we see the benefits already,” he says.

With multiple metrics, progress is tracked as it’s realized.

—Kristin Leigh Lore, Manager of Climate-Smart Content, Trust In Food, contributed reporting to this story.

From Wild Pigs to Property Rights, Journalist Chris Bennett Goes Unscripted

Mon, 20 May 2024 13:37:30 GMT

Few writers covering the ag industry and rural America today can tell a story quite like Chris Bennett, a senior writer for AgWeb and Farm Journal magazine. From Ponzi schemes to “antler madness,” pig motels to suing the feds, Bennett has a nose for news you won’t find anywhere else in the media world that most of us tap into every day.

On the second episode of Unscripted , a new podcast hosted by AgDay’s Clinton Griffiths and U.S. Farm Report’s Tyne Morgan, Bennett provides a behind-the-scenes look at how he finds such amazing stories and how he tells them so well.

“Crazy draws crazy, I guess,” he says, then adds that some of his stories take years to complete. “It’s a blessing to work on all of these farm stories at one time.” With an office full of fat folders, he remains patient during his investigations, allowing stories to develop at their own pace.

Case in point: Bennett recently drew plenty of readers to his story about new research that revealed more human beings are killed every year by wild pigs than by sharks . On Unscripted, he says that researcher John J. Mayer “hollered at me a long while back” about a study he was doing on the subject. Bennett asked Mayer to let him know when the study was released to the public. He then combined a report about the study with the story of a Texas woman who was mauled to death by wild pigs in 2019.

But for a story to catch his interest, it doesn’t have to pit Hogzilla against Jaws. It’s more a matter of deciding what will interest his readers and how best to investigate — and ultimately tell — the tale. “I have to approach these stories with the mindset of a 10-year-old,” he says. “You have to approach a story with wonder and with humility.” He also says listening deeply to the people he interviews is critical to the process.

As accomplished storytellers themselves, Morgan and Griffiths share their own beliefs about the art and craft. “You can find something interesting when talking to almost anybody,” Griffiths says. “But you can’t go in with a preconceived notion. You have to be willing to hear what they say.” Morgan agrees, adding, “It’s about allowing them to tell the story and not getting in the way of it.”

Telling powerful stories about farm country is a highly specialized skill, and hearing how it’s done from three of the industry’s best is time well spent. Click here to watch the full episode .

For more articles from Chris Bennett ( cbennett@farmjournal.com or 662-592-1106), see:

Corn and Cocaine: Roger Reaves and the Most Incredible Farm Story Never Told

American Gothic: Farm Couple Nailed In Massive $9M Crop Insurance Fraud

Priceless Pistol Found After Decades Lost in Farmhouse Attic

Cottonmouth Farmer: The Insane Tale of a Buck-Wild Scheme to Corner the Snake Venom Market

Tractorcade: How an Epic Convoy and Legendary Farmer Army Shook Washington, D.C.

Bizarre Mystery of Mummified Coon Dog Solved After 40 Years

While America Slept, China Stole the Farm

Farmland Values Are Holding Up, But There Are Hints of a Reset At a New Level

Thu, 01 Feb 2024 23:48:17 GMT

Eye-popping land sales continue to take the farmland market by storm. From the $34,800 per acre land sale in Missouri that smashed records last fall, to farmland in Sioux County, Iowa, selling for more than $22,000 per acre to start the year, it’s proof the strength in the farmland market hasn’t fizzled out yet.

“The key point, without a doubt, is resiliency,” says Paul Schadegg, senior vice president of Real Estate at Farmers National Company (FNC).

A new report from the company shows even with declining commodity prices and elevated interest rates, land values are higher than expected.

“We really haven’t seen any decreases to speak of, and there are still some really strong sales out there in the country,” Schadegg says.

“It is just remarkable how stable these market conditions have been,” says Jim Rothermich, vice president of agricultural appraisals for Iowa Appraisal. “Based on my auction data, farmland values are down 1% from 2022 to 2023, and I think it’s amazing we’re seeing it hold up that well.”

Farmers in the Driver’s Seat
The farmland market in Iowa remains the strongest, but both Rothermich and Schadegg say there are other states with impressive sales.

“Illinois and Indiana have picked up a little steam — a lot of the sales are in the $20,000-plus range,” Schadegg says.

While resilient farmland prices were the theme in 2023, Rothermich recently uncovered one change in the market.

“One thing I have noticed is the number of price reductions on the listings of these companies. I haven’t seen that before,” Rothermich says. “It’s a sign the market is being affected by high interest rates.”

He’s also seen an uptick in no sales in auction, yet farmers are still in the driver’s seat in most farmland sales.

“Over the past several years, when this land market really took off, the primary pool of buyers have been operating farmers, and they continue to be the most successful buyer of land,” Schadegg says.

A Potential Reset
Now the question is: Just how much of a correction could the farmland market see in 2024?

“If we look at the past 25 years, we’ve seen some run-up in land values, and then it resets at a new normal,” Schadegg says. “I think over the next 12 to 24 months, we’re probably going to see land values reset at a new level.”

“The last time we had a run-up was in 2013/14 when values went down 20% to 25%. It just doesn’t seem like it’s going to do that this time,” Rothermich says, who instead thinks the farmland market could be setting up for a correction in the single digits.

Mike Walsten of Pro Farmer’s LandOwner newsletter says the best-case scenario for 2024 is for prices to hold steady for better-quality ground.

“The more likely case, in my opinion, is a 5% decrease,” Walsten says. “I look for continued weakness going into 2025 to 2027, if things do not change radically. Values could correct 10% to 15% eventually. If energy prices go crazy again, a 20% decline is likely, but I don’t see prices correcting any more than that because I don’t see a rush of panic farm sales hitting the market and overwhelming demand.”

Walsten says farmers, in general, have manageable leverage in their recent purchases, and lenders aren’t willing to let farmers get overleveraged on land buys, which will constrain the number of farms that are moving to the market and help keep supply and demand in balance.

Iowa Study: Soil Conservation Practices On The Rise

Wed, 24 Jan 2024 20:02:40 GMT

Beginning in the 2017 growing season, The Iowa Nutrient Research & Education Council (INREC) has worked over the past six years with Iowa State University and local ag retailers to study the progress of conservation practices used on the state’s crop acres.

The survey uses records from ag retailers to measure the use of cover crops, nutrient management and conservation tillage and no-till by Iowa growers. When comparing their latest data from the 2022 growing season with 2017’s records, researchers found a significant increase in the adoption of these practices – most notably in the number of cover crop acres planted.

“Iowa cover crop planting has skyrocketed to a record 3.8 million acres over the first decade of the Iowa Nutrient Reduction Strategy, and that clearly demonstrates that Iowa farmers and landowners are taking on the challenge of improving Iowa’s water quality by accelerating this important conservation work,” said Iowa Secretary of Agriculture Mike Naig. “With the help of ag retailers and other conservation professionals, as well as both public and private sector partners, programs, and incentives, I know our farmers and landowners will continue to push these statewide cover crop numbers ever higher.”

In 2022, Iowa growers planted 3.8 million acres of cover crops – which is 16.6% of all corn and soy acreage. This is compared to 1.6 million acres of cover crops in 2017, or 6.9% of acres. Rye accounted for 81.2% of the cover crops planted over the past 6 years.

The survey also looks at nutrient management practices such as timing, rate, source and placement. It found 45% of nitrogen applications have occurred in the spring before planting, followed by fall-only applications at 20%.

As for phosphorus applications, there has been a notable increase in growers applying the nutrient only when the soil is at or below optimum levels for it – increasing from 74.3% of applications in 2017 to 95.4% in 2022.

The number of no-till acres in the state has remained relatively steady throughout the duration of INREC’s survey, averaging 35.8% of fields. It does, however, account for more overall corn and soy acres in the state than conventional tillage and conservation tillage practices.

INREC is currently preparing for its seventh year of the survey, which will be conducted this winter, and the Iowa State University Center for Survey Statistics & Methodology has randomly selected 150 ag retail locations to participate.

To review the data from each of the six current surveys, click here .

A New Toxicant Tool Decreases Feral Hog Populations in Texas

Fri, 01 Sep 2023 12:16:14 GMT

Explosive numbers , deadly destruction , devastating economic impact . Is it possible to control the spiraling feral hog population in Texas?

A new Texas A&M AgriLife Extension Service study shows a warfarin-based toxicant could help slow the out-of-control feral hog numbers by serving as an effective option for landowners and to help minimize damage on their property.

“Texas A&M AgriLife experts are the leading authorities on feral hog control in the nation, and we are the first to test this in a real-world application and to show that this warfarin-based toxicant can be effective for reducing these pests,” explains John Sharp, Chancellor of the Texas A&M University System. “Unabated feral hog populations threaten our natural resources, our livelihoods and our quality of life, and our goal, as a land-grant institution, is to provide safe, effective, science-backed solutions for all Texans.”

The two-year study took place on 23 sites in 10 counties across the various regions of the state. Conducted by Department of Rangeland, Wildlife and Fisheries Management associate professor and AgriLife Extension wildlife specialist John Tomeček, and Michael Bodenchuk, director of Texas Wildlife Services, the teams were able to effectively and efficiently reduce feral hog numbers with diligent application of the product, according to a release .

“Texas A&M AgriLife Extension Service was tasked with evaluating the product’s ability to reduce feral hog numbers and damage in regions across the state and seasons of the year,” Tomeček says. “We found that it can be highly effective when utilized correctly and saw no access to the toxicant by non-target species when all feeder devices functioned properly.”

This study is an important step in the fight to curb the economic and environmental impact of feral hogs in Texas and across the nation, Sharp says. With more than 3 million feral hogs causing more than $500 million in damage to agriculture and private property throughout Texas each year , feral hogs are a burden that also destroy native wildlife and disturb native ecosystems.

Toxicant as a Tool

Researchers conducted field evaluations of a low-dose warfarin-based toxicant to determine its efficacy in various regions of the state and to assess the product’s ability to help landowners prevent property damage and economic harm from feral hogs. AgriLife Extension specialists worked with private landowners on recommended application methodologies to provide real-world testing conditions for the product and the suggested best practices, the release explains.

Bait that included warfarin was placed in specially designed dispensers that prevent access by non-target species, Tomeček says. Feral hogs were conditioned to access the bait before the product was applied. Once the product was applied, feral hogs consumed lethal doses within five days of consistent access to the bait.

Tomeček points out that the product is not considered acutely toxic to non-target animals in the event some might gain limited access to the bait. It’s also not found at lethal levels within the tissue of deceased feral hogs.

The key is to “correctly and consistently” use the warfarin-based toxicant.

After a trial period of close supervision and instruction, landowners in the study applied and managed the bait themselves. During the project, the Texas A&M AgriLife team made several discoveries that will help increase efficacy of the product when applied, the release said.

Landowners who checked the feeder for mechanical issues and replaced bait consistently as part of their regular maintenance schedule reported sharp declines in feral hog numbers and damage levels over the seasons of the year.
Landowners who did not adhere to instruction reported mixed to low success in curbing feral hog numbers on their property. These results were true, regardless of the season of the year or the region of the state where the trial was being conducted.

With threats of African swine fever (ASF) and other foreign animal diseases getting closer to the U.S., wild hog control is becoming an even more critical topic as wild hogs serve as vectors of disease.

Read More About Feral Hogs:

Feral Swine: USDA Monitors World’s Worst Invasive Alien Species

A Sport Utility Vehicle for Disease: Wild Pigs Wreak Havoc in Louisiana

Missouri’s Feral Hog Problem Turns a Corner

Texas Pork Producers Face Uphill Battle with Wild Pigs

Is Aerial Gunning the Answer for Uptick of Wild Hogs?

Is Missouri’s Feral Hog Population on the Decline?

Feral Swine Eradication Program Should Be Permanent, Senators Urge

Destructive, Formidable, Invasive: How is the U.S. Managing the Feral Hog Population?

Feral Swine Test Positive for Pseudorabies at Colorado Farm

Outsourcing: Align Skills With Tasks

Fri, 28 Jul 2023 15:05:10 GMT

This business practice reduces employee expenses and optimizes asset needs

On your operation, you must continually find the perfect balance of team members and assets. You want to be ready to seize opportunities but not stretch your finances too thin.

This concept of rightsizing the farm is a top priority at MBS Family Farms in Plainfield, Iowa.

“One of the keys as operations grow is to use the talent they have. We want to identify what our operation is good at and where we have overcapacity,” says Kyle Mehmen, a partner in the farm, which includes row crop production and a custom trucking business.

As a result, Mehmen says their farm is constantly evaluating tasks and responsibilities to outsource — everything from executive level down to administrative tasks.

OFFLOAD AND OUTPERFORM

Far from a new concept, outsourcing is simply using a non-employee to complete a task. It allows for greater focus and could offer better economics, says Peter Martin, finance and growth consultant with K·Coe Isom.

“Outsourcing, coincidentally, is one of the top ways to help your business focus on what you do best,” he says.

Not only does outsourcing align tasks with skill sets, but it also provides expense control and improved cash flow. How? Essentially you transition fixed costs to variable costs.

Common outsourcing scenarios to consider include:

Executive-level expertise (high-level strategy)
Highly specialized services (HR management)
Repetitive tasks (field data crunching)
Higher risk tasks (long haul trucking)
Sporadic or new needs (analysis of carbon contracts)

IN-HOUSE VERSUS OUTSOURCE

At LongView Farms in Nevada, Iowa, the Henry family is undergoing a transition with the senior generation, Steve and Laurie Henry, turning over the reins to their sons, Scott and Eric. Currently Laurie serves as CFO for the operation, which includes row crops, custom feeding of cattle and contract finishing of hogs.

“As we transition, we are trying to decide if that role should be filled by a family member or if we want to outsource or cost share it,” says Scott Henry. “The daily administrative components could be done at a lower compensation level, but it would also be nice to have the person be involved in strategy discussions for our farm.”

Currently, Henry says, they use an outsourced CFO service for their feedlot. So, they are comparing the two options. While finances are at play, the Henrys are also focused on the future of their team.

“We don’t want to just focus on fixed costs versus variable costs,” Henry says. “What are we trying to manage? Are we trying to manage culture or net income?”

The 4 Questions to Ask Before Making Any Big Business Decision

Fri, 28 Jul 2023 14:56:45 GMT

The difference between strategy and serendipity is small when you are prepared, explains Mark Faust, president of Echelon Management .

How can you be ready, willing and able to lead your farm into the future? Start by developing a decision-making process.

“Have you put off decisions that could be of great benefit to your company? Do you sometimes feel as though you agonize over decisions?” Faust asks. “Here are a few tools that have helped many leaders with whom we work deftly make more effective decisions.”

If the decision is between alternatives, your first step is to ask the following questions:

What are the “musts,” or non-negotiables, that we cannot sacrifice?
What are the “wants” that we would like to gain?
What are the potential risks that we need to consider?
What are the potential gains that could be realized?

Faust offers this additional guidance when answering the above questions:

Musts: These are mandatory, measurable, and realistic. This will sometimes sift out options that are not appropriate.

Wants: See which of the above “must” options will likely meet the most wants. List the wants behind each relevant option.

Risks: At this point, many decisions should become at least much clearer if not obvious, he says. You are looking for the most rational decision, which equates to the maximum benefit within acceptable risk parameters.

Gains: Think through the potential benefits behind each option and consider if some of the options begin to deliver a much greater return with a reasonable likelihood of success.

For larger and risker decisions, Faust says you may need to take this analysis a step forward. He suggests putting your decision factors from the above into a spreadsheet. For each option, you will want to weight the negative potential of the risk or positive potential of the reward.

For example, he says, you could rank a reward from 1 to 5, with these parameters:

1 = Some minor enhancement that only you would know about.

2 = A nice improvement that people around you could benefit from and see.

3 = A benefit that is companywide and people are talking about on a regular basis.

4 = Customers flocking to your company.

5 = A game changer for the company, industry, or more.

After rating the reward potential, do the same with the risks, considering the following ratings:

-1 = A minor annoyance

-2 = A problem you could solve

-3 = A problem for which you would have to get help and it would be made public in the company.

-4 = A huge embarrassment

-5 = A problem so bad that it could harm your company.

To make changes, Faust says, the rewards must be a 2 or more. Otherwise, you might as well consider other potentials. If the risks are -4 or -5, then you may want to eliminate that option.

“The problem for most leaders making decisions is that they aren’t using any objective criteria or tools to evaluate the options available,” he says. “Instead, far too many of us spin our wheels and then make decisions based on intuition, when a much more helpful and objective approach could be applied.”

Of course, you have valuable instincts based on years of experience and data. Yet, Faust says, you could improve your decision-making success by using more tools to evaluate your options.

“Frequently, there is an objectifying tool we can pull out and use to help make the decision more rational and measured and thus give confidence to the CEO that they are doing the best they can in making that decision,” he says. “Also, bring in an objective outsider, someone not burdened with the concerns surrounding the decision can offer a unique wisdom that can accelerate success.”

Learn more from Faust by watching his presentation at the 2021 Top Producer Summit in Nashville, Tenn.

Read more coverage and watch other sessions from Top Producer Summit .

Investment that Pays: Teach Farm Kids How to Manage Money

Fri, 28 Jul 2023 14:45:39 GMT

You’ve taught your kids how to drive tractors, herd cattle and identify weeds. But have you passed on your money and management skills? Do they know how to purchase inputs, calculate payments or market grain?

“Many rural children will be operating a family enterprise someday,” says Val Farmer , a clinical psychologist and author who specialized in family relationships during his 30-year career. “Farms and ranches are big businesses that operate in a high-risk economic environment. An essential management tool for farmers is financial management.”

This topic is touchy. Likely your parents or grandparents didn’t open the books to you as an adolescent (maybe not even as an adult). Don’t leave your children in the dark, Farmer says.

“Children and young adults won’t automatically know how to do this without handling money and decision-making long before they reach management levels,” he says. “If adult children understand money management, they make better partners. Management philosophy is shared instead of being a point of conflict.”

When should you start teaching farm financial lessons? The earlier the better, Farmer says. His advice:

Let them handle and spend their own money.
Let them deal with limited budgets where they have to make choices. They learn the first rule of finances — don’t outspend your income.
Let them earn money for extra work beside their regular family duties. Make sure the pay is in line with community standards for certain jobs, so they get a connection between the world of labor and the cost of things.

Also, encourage regular savings. Farmer suggests letting them have their own checking and savings accounts and encouraging them to save toward future goals.

“Be a role model by living within your means,” he says. “Plan for purchases, save and make the purchases with cash on hand. Talk about what is smart and what is dumb — the hard times and the good times. Part of money management is learning to be generous, give gifts and use money to do good.”

When appropriate, find ways to give your children a stake in the farm. Once they become teenagers, Farmer says, allow them to participate in family business discussions.

“Even if they don’t have much to say, they will absorb information and learn about real risks and how decisions are made,” he says. “They will learn to reason with you about business and money matters.”

Projects in FFA and 4-H are great tools for teaching money and enterprise management. The cost of input and labor are calculated and learned, Farmer points out. They will see the payoff and learn the downside too — good training for a future partner someday.

“Caring and managing for their own livestock and other farm enterprises teaches entrepreneurial attitudes and skills,” he says. “They see how farming works and how income is generated through buying and selling, breeding, good health practices, and about absorbing mini-enterprise risks. The proceeds will help them pay for their college education.”

Of course, you may enter into an uncomfortable discussion or two once money is an acceptable topic to discuss. Work through these, Farmer suggests, and stay focused on your goal.

“Many farming operations fall apart in succeeding generations because parents have been too controlling and haven’t shared decision-making of dollars and cents financial management,” he says.

Technology Is… Considering A CTO

Thu, 27 Jul 2023 16:00:00 GMT

Is now the time to expand your tech expertise?

As you look at your farm’s capital expenditures, how many are related to technology? Think broadly. The numbers probably climb pretty fast.

“An important part of our business is to try new things,” says Brian Watkins, Ohio farmer and CEO of CropZilla, a farm software provider. “Even if you’re not an early adopter, you still have to have an intentional innovation strategy.”

Your farm’s strategy should span management information, agronomic technology and equipment technology, Watkins says. To make sure your farm is ahead of the pack (or at least in the race) you need someone to own this part of the business.

A Strategic Move

A recent Farm Journal technology survey shows 68% of farmers say they don’t see their farm needing a chief technology officer or similar positions in the future. Yet, 58% of those same farmers say their data collection practices are adequate for now but probably not good enough for tomorrow.

Don’t be intimidated by the title of chief technology officer, Watkins encourages. The job label isn’t important. Your goal is to have someone on the team at least spending part of their time evaluating technology options, determining what to buy into and chucking out products or services that are not a fit.

“The point is you don’t want to let other people lead you around in terms of technology,” he says.

Assess your technology needs to determine if you should have an in-house expertise or if you should hire an external person, suggests John Fulton, precision agriculture specialist for Ohio State University Extension.

“You need someone who at least spends time keeping up with the technology,” Fulton says. “This can include attending conferences, talking to neighbors, reviewing information online and reading articles — this person is responsible for the farm’s digital strategy.”

Fill the Need

Look around your family and team, suggests Peter Gredig, an Ontario grain farmer and technology developer with mobile app development company AgNitrion. Is there a child, sibling or new employee who geeks out on technology, is internet savvy or is a gamer?

“There are a lot of diamonds in the rough on farms,” he says. “We are hiring young people who may not be ag savvy, so we are teaching them the ag stuff. But we’re not letting them teach us what they know on the tech side.”

Technology will continue to change how you farm — make sure you’re ready to capitalize on it.

“I always say a successful tech strategy has nothing to do with what tech you’re using; it has to do with diligences and know what’s available and if it fits on your farm,” Gredig says.

What Does a CTO Do?

The responsibilities of a chief technology officer (CTO) can vary depending on the type of farm operation. Peter Gredig, an Ontario grain farmer and technology developer, says the job description can include the following tasks:

Develop a technology strategy aligned with the company’s business goals.
Discover and implement new technologies that create a competitive advantage.
Help staff use the technology profitably by cutting costs, boosting productivity or improving efficiency.
Ensure proper use and efficiency creation of new and existing technologies.
Make adjustments based on feedback from staff and clients to improve the use of technology.
Communicate the technology strategy to partners and investors.

Technology is… different for every farmer. Find resources on how to make smart technology investments.

Are You Exposed? Assess Your Farm’s Insurance Coverage

Wed, 26 Jul 2023 20:04:06 GMT

As your farm grows, so do your liabilities. Proper farm insurance, which can include property insurance, general liability insurance and workers compensation, provide large operations with protection and peace of mind.

“Large farmers tend to neglect the need for proper umbrella coverage limits, especially when it comes to the increasing net worth of the farm,” says Jay LeFevre, agent, First Gabrielson Insurance Agency.

Failure to purchase sufficient coverage for business size and activities can have severe consequences for the financial health of the farm, explains Ray Massey, University of Missouri Extension economist. As such, it is important to know what your policy covers, but it’s just as important to know what it does not cover.

“It is critically important to review coverage at least on an annual basis,” adds Amy Fairchild, commercial account manager, ProValue Insurance.

As you review your policies, make a point to add recording keeping to your process. “Anything they can do to provide records, from written safety protocols to detailed spraying records to employee meeting notes to employee training reports will be a big help, says Stacy Walton, director of farm casualty for Grinnell Mutual.

LeFevre, Massey, Fairchild and Walton suggest farmers sit down with their insurance providers and ask the following questions.

Assets

With higher construction costs, are my property and assets undervalued?
If I need to totally rebuild a grain bin system or finishing barn, will my policy cover it?
Do I need additional coverage for tools and technologies such as drones?

Diversified Operations

My operation includes many entities (crop production, trucking, etc.), does my umbrella policy cover all of those at a high enough level?
Do I need any endorsements, additions or riders to policies to cover my operation? (These are common for activities such as custom farm work, spraying chemicals, snow removal, agritourism or food sales.)
I have a livestock production contract. Does my farm liability policy offer enough coverage?

Employees

I have a large team of employees. Do I need a crime policy or an employment practices liability policy in case of wrongful termination?
To what extent will my policy protect me from a large liability exposure, such as an employee injury?
Who exactly does my policy cover? Besides me (the policyholder), does it include relatives, all employees (full-time, short-term, seasonal) and independent contractors?

Access a guide from the University of Missouri to help you further review your farm liability insurance policy.

Rural Bankers Rank Top Three Challenges

Wed, 26 Jul 2023 19:57:37 GMT

The rural economy keeps chugging along, according to the Creighton University Rural Mainstreet Index . For the ninth straight month, the RMI has stayed above growth neutral.

For August 2021, the RMI fell slightly to a healthy 65.3 from July’s 65.6. The index ranges between 0 and 100, with a reading of 50 representing growth neutral.

Around one-third of bank CEOs reported that their local economy expanded between July and August.

“Solid grain prices, the Federal Reserve’s record-low interest rates, and growing exports have underpinned the Rural Mainstreet Economy,” says Ernie Goss, who chairs Creighton’s Heider College of Business and leads the RMI. “USDA data show that 2021 year-to-date agriculture exports are more than 25% above that for the same period in 2020. This has been a prime factor supporting the Rural Mainstreet economy.”

Bank CEOs were asked: What is the biggest economic challenge for agriculturally dependent community banks for next 12 months?

Here are the top three results:

41%: Low loan demand
28%: Low interest rates
16%: Drought

For an 11th straight month, the farmland price index advanced significantly above growth neutral. The August reading expanded to 76.6 from July’s 71. This is the first time since 2012-2013 that Creighton’s survey has recorded 11 straight months of farmland prices above growth neutral.

The August farm equipment-sales index declined to 64.7 from 67.2 in July. Readings over the last several months represent the strongest consistent growth since 2012.

Almost one third of bankers support immediately beginning the reduction (taper) of Federal Reserve buying of U.S. Treasury bonds and mortgage-backed securities. Another 25% say the Federal Reserve should begin the reduction or taper in the fourth quarter of 2021.

The confidence index, which reflects bank CEO expectations for the economy six months out, decreased for a third straight month to 59.7 from July’s 65.6.

“Rising COVID-19 infections, the turmoil in Afghanistan, and negative views of current infrastructure bills before Congress damaged the economic outlook of bank CEOs,” Goss says. “Only 9.4% of bankers support passage of the $3.5 trillion infrastructure bill currently winding through Congress.”

Three of four bankers encourage Congress to reject the $3.5 trillion infrastructure bill due to its unnecessary spending.

This RMI, which started in 2005, represents an early snapshot of the economy of rural agricultural and energy-dependent portions of the nation. It focuses on 200 rural communities with an average population of 1,300.

Worried About Biden’s Tax Plan? Paul Neiffer Has Recommendations

Wed, 26 Jul 2023 19:51:05 GMT

It’s time to talk taxes again. President Joe Biden’s tax plan, which includes the American Families Plan and American Jobs Plan, has both good and bad news for farmers, says Paul Neiffer, a CPA and principal with CLA and author of the “Farm CPA” blog .

The proposed changes represent the most dramatic shifts in tax policy since 1986, Neiffer says. He shares an overview of the key changes in his online Farm Journal Field Days presentation.

In light of the proposed changes, Neiffer has the following recommendations for farmers.

Don’t panic. The changes are still proposals. “The final rules will likely happen in December, if they happen at all,” he says.
Be ready to make gifts. “You definitely want to be ready to make some large gifts this year because your ability to do those gifts after this year may be curtailed or eliminated,” he says. “But do not make gifts if it’s going to curtail your retirement funding.”
Discuss your options with your income and estate tax advisers.
Keep posted on the changes. With each new proposal that affects farmers, Neiffer will share his thoughts on his blog and in Top Producer magazine.

The bottom line, Neiffer says, is these changes could just be temporary.

“If there’s a complete change in the House, Senate or President in four years or so, a lot of these proposals that become law may get taken out,” he says. “Be aware of the proposals but realize not all of them are going to go through.”

To hear Neiffer’s thoughts on the estate tax proposals, transfer tax, 1031 exchanges, discounts, charitable remainder trusts and more, register or log in to Farm Journal Field Days.

Read More
The Farm CPA Blog

The Proposed Transfer Tax Can be Much Worse for Most Farmers Than the Estate Tax

How the American Families Plan Might Impact Your Operation

Paul Neiffer: What the “Green Book” Might Mean for You

Lower Your Farm’s Cyberattack Risks

Wed, 26 Jul 2023 17:57:23 GMT

Understand the cyber risks you face — and how to reduce your exposure

In 2020, the FBI received nearly 800,000 complaints about cybercrime — up nearly 70% from 2019. From phishing to spoofing to extortion, the attacks last year generated losses of more than $4.1 billion.

“While we often only see large operations make the headlines after a cyberattack, it’s really important to understand that hackers will penetrate and steal from any size of business if they are able to,” says Melissa DeDonder, CPA and business technology consultant at KCoe Isom .

Cybersecurity threats can easily become scary and overwhelming, says Francis Nemia, principal with CLA . “Although there are numerous ways in which you can be attacked or exploited, there are also many ways you can help protect yourself from cyber threats.”

DeDonder and Nemia, along with the companies’ technology professionals, provide these tips for farmers.

Use strong passwords and change them periodically. A strong computer password or phrase is perhaps the easiest way to enhance the security of your system. Set up a complex password from eight to 64 alphanumeric characters and use special characters such as “#@*&. Remember, passwords should never be written down and stored near your device. When possible, adopt a two-factor authentication strategy. Update your password periodically.
Keep an inventory of systems, software, data, and information. In addition to your equipment inventory, include cloud applications, mobile applications and other third parties who may have access or control of the data and information.
Install anti-virus software. Anti-virus software actively scans for viruses trying to invade your email, system files or operating system. Choose a quality software package, keeping in mind the reputation of the company and product, features of the software and compatibility with your computer.
Perform daily full system scans. Viruses, spyware, and malware are continually evolving. As a result, they can sometimes evade your protection methods and infect your computer system. Implement daily scans via your anti-virus, anti-spyware and anti-malware software to find, quarantine and remove any malicious agents in your network before any (or further) damage is done.
Create a periodic system backup schedule. Many types of malicious agents can destroy the contents inside your computer. Create a periodic backup schedule to make sure your data is retrievable when something harmful happens to your computer. Consider backup options like a cloud service or a personal external hard drive.
Regularly update your computer system. Run regular computer system updates to repair any bugs and abnormalities within the system. Make sure you allow updates as they are released. A network firewall is an essential tool that acts as a perimeter around your computer and blocks unauthorized incoming and outgoing access. When setting up or configuring a computer, take advantage of the built-in firewall capabilities of the operating system.
Use email and the internet with caution. Hackers can exploit email in many ways — hiding viruses in attachments, for example. Do not open or read emails from email addresses you don’t recognize. Delete them immediately. In addition, many phony websites are camouflaged to mimic authentic websites. When entering URLs, check the name and correct spelling of the website. Avoid clicking on popups, ads, graphics and links to other websites.
Practice ongoing, employee awareness and training for cybersecurity best practices. Make sure employees know their roles and understand how to handle and secure sensitive information.

Are you Doing Deferring Payment Contracts? Take This Step

Wed, 26 Jul 2023 17:09:06 GMT

Deferred grain contracts are helpful tax planning tools. Simply, grain is sold at the local elevator, but payment is deferred to a future date.

Most times, that payment date would be the first of the ensuing calendar year, says Paul Neiffer, principal with CLA and author of “The Farm CPA” blog .

“Under current tax rules this is a favorable treatment because even though we’ve sold it and locked in the price, we’re not going to collect the income until 2022, and that is when we’re going to pick up the income on the tax return,” he says.

Unfortunately, Neiffer says, farmers often skip a vital step: detailing the sale in writing.

“You need to make sure the deferred payment contract is set up — in writing — before you sell any grain,” he says. “Because most farmers have never been audited, they can be a little bit lackadaisical about it.”

Listen in as Neiffer discusses the issue with AgriTalk’s Chip Flory:

Why does skipping the written contract leave you vulnerable?

“The tax code includes an issue called constructive receipt,” Neiffer says. “If you don’t do the deferred grain contract properly and you get audited by the IRS, they can determine you have to pay taxes on all that money you got in January 2022 in 2021. We’ve seen some audits in this area of $30 million to $60 million of contracts. It can get very costly for some of those farmers.”

With expensive farm equipment and suppliers being hesitant to lock in prices for inputs, deferred payment contracts might be the best tax planning tool to round out 2021, Neiffer says.

“Farmers still have this week to get it done, but they need to make sure it’s done correctly,” he says. “The other nice thing about this tool is if you determine you actually could have used that income in 2021 instead of 2022, you can move that income back to 2021.”

Read more: How Not To Do a Deferred Payment Contract

Want to learn more tax tips? Read all of Neiffer’s blogs and magazine columns.

Out-of-the-Box Recruiting Ideas for Your Farm

Tue, 25 Jul 2023 17:20:35 GMT

What is the best way to fill current and future labor needs on your farm? Never stop recruiting, says Richard Hadden, a leadership consultant at Contented Cow Partners.

“Strike the words ‘we don’t have any current openings’ from your lexicon and your website,” he says. “Always keep a line in the water, and you’ll be far less likely to get caught short on talent the next time.”

If you are struggling to find employees, Hadden provides these ideas:

1. Reach out to boomerang hires. These are the people who left you for what they hoped would be something better. It wasn’t. Get them back.

2. Reconnect with runners-up. You might not have hired someone on the first round, but now they might not be looking so “second place.” Make them an offer.

3. Target your recent retirees. Maybe retirement wasn’t what they’d hoped for? They’ve still got some years left to give, and they’re perfect in so many ways, Hadden says. They know the job, the people, the culture.

4. Adjust your job requirements and preferences. Did you make your job filters so restrictive a described candidate doesn’t exist? “I’m not saying lower your standards; I’m saying make them realistic,” Hadden says. “Be willing to hire and develop potential. We might not have the luxury of a ‘ready-made’ candidate these days.”

5. Ask for referrals during a new employee’s first week. This is when they are excited, so you have the best shot at great candidates.

6. Work on your website. Look at your “jobs” section through the eyes of a prospective employee, Hadden suggests. Highlight your farm’s brand and mission. Include video testimonials from happy employees and put, in writing, why they should consider your job.

7. Make your job postings fun. Most of them are boring. What will make someone apply?

Find 25 employee evaluation questions that will increase retention for your farm.

Build An All-Star Team to Guide Your Succession Plan

Tue, 25 Jul 2023 14:54:57 GMT

Move your succession plan forward with collaborative experts

Many brains are better than one. As you move forward with your farm’s succession plan, your professional team will be critical in helping you achieve your goals.

“Evaluate the team you’re working with now as well as anyone you’re bringing in new,” says Rena Striegel, president of Transition Point Business Advisors . “When you have a team that works collaboratively you will receive the best solutions.”

A comprehensive succession planning team can include a family business consultant, an accountant, an attorney, an insurance agent, a financial planner, a conflict-resolution specialist or a combination of those roles. You will also need a quarterback for your advisory team, usually from one of those professional categories, to ensure everyone stays informed

“If you have not hired someone to run the collaborative team, you are the quarterback,” Striegel says. “You call the shots. They work for you.”

Watch a video of Rena Striegel sharing advice on how to choose the right professionals:

Achieve More Faster

The goal of a collaborative team is for each member to bring his or her unique expertise to the table. Once all perspectives are considered your plan will have a higher probability of success, says Matt Roberts, chief planning officer at Syverson Strege .

“If you get your entire team in a room, it will be an expensive meeting,” Roberts says. “But how much will that reduce calls from when people are not on the same page?”

Advisors may be suspicious of the process because they feel like they are losing control of the relationship and project, Roberts says. But the plan a collaborative team generates will be easier to maintain going forward and offer your family better solutions.

Roberts suggests your team meets once a year on an ongoing basis.

“You’ll need to continually evaluate your personal situation, any tax law changes, etc.,” he says. “It’s a process that gets easier as you go along.”

Sample Interview Questions

As you evaluate and build your team, you need to answer two key criteria about your professionals: How do they behave? What do they know? The questions below, provided by Rena Striegel of Transition Point Business Advisors, assess if professionals have the correct experience and attitude to help your family.

How long have you been providing succession planning services?
How do you get paid for your services?
Are you willing to work collaboratively with my other professionals to develop the best solutions for my family and operation?
Do they listen to you fully and not interrupt?
Do they want to know about challenges in your family?
Are they likeable?

Want to find more interview questions and tools to guide your farm’s succession plan? Check out the Dedicated Internal Resource for Training and Transition (DIRTT) Project provided by Transition Point Business Advisors.

What’s included in The DIRTT Project?

All-inclusive succession planning guidance, at an affordable price
5 step-by-step online courses that seamlessly guide the process and can be done at your own pace
Straightforward guidance for the hardest transition planning situations from an advisor who knows agriculture
60-page comprehensive workbook containing worksheets and tools to guide the development of your succession plan
32 videos addressing critical questions and best practices to consider when developing your plan

Learn more about The DIRTT Project .

Be Your Farm Team’s Chief Cheering Officer

Mon, 24 Jul 2023 21:01:14 GMT

American football coach Vince Lombardi once said: “It is time for us all to stand and cheer for the doer, the achiever – the one who recognizes the challenges and does something about it.”

The power of encouragement on your farm is massive, says Bob Milligan, senior consultant at Dairy Strategies .

Want proof? Think about when professional sports resumed play after being shut down due to the COVID-19 pandemic. Teams returned to fan-less stadiums.

“The players were lamenting not have fans in the stadium, rink, etc.,” Milligan says. “Why? They missed the fans supporting and cheering for the team.”

Let’s think about that.

If highly motivated professional athletes perform better when they have fans cheering for them, Milligan says, shouldn’t you provide a similar advantage for your farm workforce by supporting and cheering for your employees, partners, and family members?

“Perhaps you should think of yourself as the CCO — the Chief Cheering Officer — for your farm,” he says.

Milligan provides these suggestions for you as the farm’s CCO:

Provide encouragement: “I know you can do it.” “We can meet this goal.” “I have confidence in you.”
Provide positive feedback. Excellent, specific positive feedback encourages and motivates employees to continue the great performance in order to continue to achieve success. The athletes miss the loud roar after a run or a touchdown as motivation to get another run or score. You do not want you employees lacking motivation to continue to succeed.
Celebrate success. Just as teams and fans celebrate success, your farm team should celebrate and reward success. Surprise rewards to individuals and teams are powerful “cheers.” These can be non-monetary or small items or gift cards. They should be occasional surprises so that they do not become expectations.

“Your role as Chief Cheering Officer need not be time consuming as you do it as part of your normal routine,” Milligan says. “You can reap great rewards!”

Read More

Strengthen Your Farm Team by Becoming a Better Leader

5 Tips To Be A Good Boss During Planting Season

Lead Versus Do: Overcome the Challenges of Being A Working Manager

5 Strategies to Make Your Farm A Talent Magnet

Leadership Tip: Focus on Relationships When Stress is High

Are You Paying Your Kids for Farm Work? Consider a Roth IRA

Mon, 24 Jul 2023 20:53:17 GMT

During the summer months, you likely have seasonal help. If that team includes children or grandchildren, you might want to consider setting up a custodial Roth Individual Retirement Account (IRAs) for them. A young adult can sock away some serious cash in the next decade or three.

A Roth IRA can be similar to a savings account or 529 account, but it offers more flexibility and tax advantages, says Jessica Groskopf, agricultural economist and University of Nebraska Extension educator.

Listen to a “Nebraska FARMcast” with Groskopf:

What is a Roth IRA?

A Roth IRA is a retirement investment account that anyone with earned income can contribute after-tax earnings. Then, the investments within the account grow tax free. A custodial Roth IRA is when a parent or other adult opens one for a minor. At age 18, the child will become the owner of the account.

Roth IRAs can have fees associated with them, Groskopf notes, so be sure you understand those before opening an account.

A Roth IRA is different than a traditional IRA. With traditional IRAs, you deduct contributions now and pay taxes on withdrawals later, while Roth IRAs allow you to pay taxes on contributions now and get tax-free withdrawals later.

“Contributions to a Roth IRA will hopefully be reinvested over time, and then you’ll retain earnings on that,” Groskopf says. “A Roth IRA is really interesting because it allows that child to have lots of time to build compound interest on their earnings. The best thing we can do for savings and investments for children is to provide them time.”

A single filer with an adjusted gross income under $140,000 per year, regardless of age, is eligible to contribute to a Roth IRA account. People can contribute up to the annual limit or the total of their earned income, whichever is less. The annual limit for people under age 50 is $6,000 for 2022. You do not have to contribute funds annually.

Earnings can be withdrawn from a Roth IRA tax free after age 59½. If earnings are withdrawn before age 59½, those earnings can be taxed as income and charged a 10% penalty.

But, Groskopf says, there are two key exceptions to the earnings withdraw penalty:

Earnings can be used to pay qualified education expenses without penalty.
After a Roth IRA has been funded for five years, $10,000 in earnings can be withdrawn tax-free and penalty-free to buy a first home.

“If we’re talking about a younger investor, a Roth IRA might be a really cool tool to use to build wealth and save for things such as education, their first home or ultimately their retirement,” she says.

How Do Roth IRAs Compare to Other Options?

Families often put a child’s earnings in a savings account. This is a safe and secure option, Groskopf notes, but they are likely to have a lower rate of return when compared to a 529 or Roth IRA. Plus, contributions to a traditional savings account are not tax deductible.

A 529 account is a tax-advantage college savings plan. Similar to a Roth IRA, it is an investment account that is likely to earn a higher rate of return than a savings account. 529 accounts have no income limits or annual contribution limits, and anyone can contribute — parents, family members, friends, etc. However, funds must be used for qualified education expenses.

“So, 229 accounts are a bit limited,” Groskopf says. “Maybe you have a child or grandchild who you’re not sure of their career path or what type of education they will need in the future. Maybe you put in a significant amount of money, and then they decide on a different path for their life. At least the beneficiary can be changed for these plans.”

As noted above, a Roth IRA combines many of the benefits of a savings account and a 529 account, she says.

“Over the long run, it is likely it will earn a higher rate of return than a traditional savings account,” Groskopf says. “Another advantage of Roth IRAs is that they do not count as an asset for Federal Student Aid.”

Of course, a Roth IRA is an investment account, and investments always carry some level of risk. If you’re not comfortable with investing, be sure to work with a certified financial planning professional, CPA, tax preparer and investment adviser, she says. See if it is a fit for your family.

“As soon as a child is earning an income, I would encourage a Roth IRA — even if you have a 529 or another savings account,” Groskopf says. “That really provides them that opportunity to have that investment grow over time.”

Read More: “ Roth IRAs for Children Earning a Wage on the Farm ” by Jessica Groskopf and Doug Nelson

How to Calculate Your Personal Inflation Rate

Mon, 24 Jul 2023 20:30:45 GMT

See how rising costs impact you and your family

Yes, inflation is at a 40-year high, but you might not be feeling its sharp bite. It all depends on where you spend your money.

The Consumer Price Index is a basket of thousands of goods and services. In March, it marked a nearly 8.5% jump from a year ago. Categories such as gasoline, food and housing are the biggest contributors to the increase.

To analyze inflation’s threat to your farm and family, calculate your personal inflation rate.

Determine your monthly expenses for the following categories: food and beverages, housing, clothing, transportation, medical care, recreation, education, communication and other goods and services. Include big-ticket items you pay once or twice a year, such as home insurance.
Subtract your monthly spending a year ago from your current monthly spending.
Divide that sum by your monthly spending from a year ago.

For instance, if your spending last month was $4,500, and a year ago it was $4,250, the difference is $250. Divide $250 by $4,250 and you land at a personal inflation rate of 5.9%.

MINIMIZE INFLATION IMPACTS

Inflation is a growing risk for your farm and family. “It is also largely out of your control,” says Brent Gloy, economist at Agriculture Economic Insights. “What you can do is recognize prices are heading up and plan for it.”

This inflation calculation can be an eye opener about your family living expenses. If tracking your expenses is intimidating, start small, encourages Alex White, farm and financial management instructor at Virginia Tech University. For one month, track all personal expenses on paper or with an electronic tool.

Once you have current data, he says, you can see if you need to reduce expenses or set some financial goals.

You Are What You Spend

Some products and services have seen dramatic jumps in price. Luckily, a 13% jump in cracker prices isn’t felt as sharply as the nearly 40% increase in gas prices. Here are inflation levels for a few categories.

Read More

How to Anchor Your Farm’s Profits From Inflation’s Pull

John Phipps: The Inflation We Expect

3 Economic Forces to Watch that Will Impact Agriculture

Adios to the Ag Dollar: A Farmer’s Story on Inflation and Inputs

Is the Fed Behind the Curve in Battling Inflation?

Learn How to Increase Employee Retention with An Incentive Pay System

Mon, 24 Jul 2023 18:45:59 GMT

How can you reward team members for good work, increase employee retention and achieve your operation’s goals? Consider implementing an incentive pay system to reward your farm employees.

“By implementing an incentive pay system, you can compensate workers for their role in helping you achieve business goals,” says Ryan Milhollin, University of Missouri Extension agricultural economist. Incentive pay can also encourage employees to stay with your operation. That’s an important priority given today’s tight labor market.”

Based on performance, incentive pay encourages a productive work environment and strong workplace morale. It also may make employees proud of their work and attract workers who enjoy the opportunity to earn more as they perform well.

Businesses have multiple incentive pay options to consider, Milhollin says. They include:

Formal bonuses: These are most frequently cash-based incentives. They can serve as tools to acknowledge work anniversaries, seasonal work effort, project milestones, holidays and good safety or work performance. But they’re limited in their effectiveness if they create morale issues and if employees start to expect them as basic compensation.
Informal bonuses: These bonuses can show employees their unique contributions are valued, and they tend to be paid irregularly with cash. You can award informal bonuses if employees demonstrate specific instances of positive performance or leadership, share beneficial ideas with the team and celebrate personal successes or occasions, such as marriage or community involvement.
Profit sharing: With profit sharing, employees earn a portion of the operation’s profits. Because the amount they earn depends on the business operating profitably, employees should feel incentivized to improve the business’ bottom line. They may also feel more personally invested in the operation’s performance. Make sure your operation’s goals are clearly defined.
Employee Stock Ownership Plan (ESOP): Another tool to create an ownership opportunity for employees, an ESOP uses a formula to assign shares, which along with cash may be maintained in an ESOP trust fund, to employees. Later, if employees have vested in the ESOP and they leave the operation, then they may exchange shares for cash.

To determine which option to use, define your business’ objectives, Milhollin suggests.

For example, if your goal is to improve product quality, then your incentive pay system may be based on the grade assigned to your harvested products. Or, if your goal is to increase employee productivity, then your system may reward employees for handling or harvesting a certain quantity of product in a certain time period.

As you develop your incentive program, determine how you will record employee performance. An accountant, attorney, consultant or extension personnel can be good resources as you create an effective incentive pay system.

Download the free Missouri Farm Labor Guide to learn more employee best practices.

3 Things to Know About Purchasing Farmland Now

Thu, 25 May 2023 14:38:18 GMT

Paul Schadegg, senior vice president of real estate operations at Farmers National Company (FNC), joined AgriTalk host Chip Flory on Wednesday. During the conversation, they discussed agricultural real estate demand, impact of interest rates on farmland market, and the outlook for values the second half of 2023. Here are three takeaways from their conversation:

1. Today, people are buying land throughout the year rather than during a more set, traditional time frame.
“We used to say we sell land from October to March and during the rest of the year, there’s not much that happens,” Schadegg says. “But now what we’re seeing is more non-typical buyers, and they’re not afraid to buy land in the spring or summer – during the growing season – where typically that just used to not happen.

“Those guys are not afraid to go in and negotiate payback of inputs, or take a lease halfway through a year, or something like that. It doesn’t necessarily mean that a farmer isn’t going to bid on that land. Because if it comes up for sale, and it’s in his wheelhouse, you know, they’re definitely going to be there.”

In some cases the non-typical buyer is an investor, Schadegg says, but those individuals make up only 20% of land buyers. Eighty percent of ag land buyers are still farmers.

2. Thanks to technology (and the pandemic), you can buy land from your truck or tractor.
Today, farmers can plant corn and buy land at the same time, all while sitting in the comfort of their tractor. That fact is one of the practices the COVID pandemic helped create.

“When the pandemic hit, we started to have parking lot auctions, and we had to scramble to get an online platform set up,” Schadegg

says. “In today’s world that’s simply expected, and it has nothing to do with the pandemic anymore. It has to do with convenience.”

He adds that some people like to buy farms online, because they don’t want to stand or sit in a room with their neighbors as they bid on a piece of property.

“Some people just like the anonymity of buying online,” he adds.

Schadegg says there are still scenarios when a live auction makes the most sense to utilize, and the company employs a group of auctioneers for that purpose.

3. There’s still momentum in land sales, but it’s beginning to show signs of slowing.
Schadegg says Farmers National Company President Clayton Becker looks at the current scenario through a lens of what he calls profit and pressure.

On the profit side: “We’re not seeing that value increase like we were a year ago, but we are definitely still seeing some good stable values,” he says. “For high-quality land, we’re still seeing some great competition which sometimes drives that above-market value.”

From a pressure standpoint, FNC is starting to see less cash being used to purchase land and “a little more lending” happening across the country.

“I’ve said this before, but when we talk about any hiccup in the commodity markets that would have a pretty direct effect on land values. So, you know, we had a little bit of a scare here recently when we saw markets come down, but I think as long as we can maintain some of those levels, (land) does still look like a good opportunity.

Get the full details on the AgriTalk discussion with Schadegg here: