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Center for Rural Affairs
PO Box 406
Walthill NE
68067
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Coming Soon - The New Conservation
Security Program
We are expecting proposed rules and regulations for the
Conservation Security Program to be published in the Federal Register
very soon. Once they are published, there will be at least 30 days to
provide comments. We encourage you to participate in the comment
period. For more information, contact Traci Bruckner,
tracib@cfra.org. |
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Beginning
Farmers Targeted for Conservation Programs
The farm bill allows USDA to design special
incentives to help beginning farmers enroll in federal conservation programs.
A special provision under the 2002 farm bill, Section 1244(a) as established by
Section 2004, authorizes the Secretary of Agriculture to provide special
incentives to beginning farmers and ranchers and limited resource producers to
participate in federal agricultural conservation programs.
In passing this provision, Congress recognized the critical need to foster new
farming opportunities. It also acknowledged that coupling special incentives for
beginners with conservation simultaneously addresses two important public policy
goals – helping get new farmers started in agriculture while encouraging them to
start off right by adopting strong conservation systems from the outset.
For these special provisions to reach their full potential and serve beginners
appropriately, it is crucial for USDA/NRCS to think creatively. A two-pronged
approach is required, whereby the need for both technical and financial
assistance is addressed.
For example, NRCS could provide technical service, mentoring programs, and
educational training focused on sustainable agriculture farming practices and
systems as well as related marketing issues. |
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Water: Claiming Responsibility for Our Common Wealth
is the subject of the first Ogallala Commons annual conference in
Ogallala, Nebraska on October 9-10. Viewing of Fate of the Plains video
kicks off activities.
Workshops include drought mitigation, water management, community
development, and education and environmental advocacy. For more
information, contact Darryl Birkenfeld, 806.938.2529,
darrylb@nts-online.net or
Linda Kleinschmit, 402.254.3314,
caia@hartel.net or visit
www.ogallalacommons.org.
Executing Vision & Strategy for Success, the 6th
annual Farmer Cooperatives Conference will be held October 29 -31 at the
Fairmont Kansas City At the Plaza in Kansas City, Mo. For more
information, contact Dawn Danz-Hale at 608.262.3981 or
danz-hale@aae.wisc.edu.
The National Small Farm Trade Show and Conference
will be held November 6-8 in Columbia, Mo. at the Boone County
Fairgrounds. The theme, New Ideas for Happy and Profitable Farming
promotes small farms and rural life. For information, contact Small
Farm Today, 800.633.2535 or see
www.smallfarmtoday.com.
Building a Sustainable Business, A Guide to Developing a
Business Plan for Farms and Rural Businesses, published by the
Sustainable Agriculture Network (SAN) for the Sustainable Agriculture
Research and Education (SARE) program is available for sale. Mention order
code CRA.03 and 50% of your purchase benefits the Center for Rural
Affairs!
To order, send $14 plus $3.95 shipping/handling to: Sustainable
Agriculture Publications, 210 Hills Building, University of Vermont,
Burlington VT 05405-0082 or call 802.656.0484 for credit card
orders. Visit http://www.sare.org
for more information. |
NRCS could also provide strong conservation planning and the needed
technical assistance to implement recommend conservation practices. Teaching
beginners sustainable agricultural farming methods is the best way to promote
conservation and environmental stewardship. NRCS field staff could implement
such training and assistance, or cooperative agreements between NRCS and
Extension and non-governmental organizations could be devised. By cooperating
with on-the-ground expert practitioners already doing such outreach and
education, NRCS could get activities underway quickly and effectively.
In regards to creative financial assistance under this special provision, NRCS
could provide upfront or accelerated payments to beginning farmers and ranchers
through multi-year contracts entered into for federal conservation programs.
This would provide capital to establish the farming operation or a larger stream
of income during the crucial formative years of the beginning farmer’s operation
while also making enrollment in conservation programs more attractive. The
beginning farmer or rancher would have a legally binding commitment to implement
the conservation practices over the full term of the contract.
NRCS could also provide an incentive to encourage landowners to rent to
beginning farmers and ranchers on a longer-term, multiyear basis in conjunction
with adoption and installation of conservation structure and management
practices. The inability to rent land for more than a year at a time is a
barrier to creating stable new farming opportunities and also serves to work
against investments in conservation.
Through creative thinking and implementation, NRCS can optimize these special
beginning farmer provisions; making a positive impact on the formation of stable
new farming opportunities that protect and enhance the natural resource base.
Contact: Traci Bruckner,
tracib@cfra.org or 402.846.5428, ext. 21
for more information.
Farmers Get a
Start with Grass Dairy
New research in Iowa shows grass-based dairies
provide more income and lower input costs, netting beginning farmers a good
way to start in agriculture.
Grass-based dairying is a viable entry route for beginning farmers, according
to information collected by Ag Connect, an Iowa farm advocacy group. This
farming approach reduced startup debt and cut several types of farm expenses
in a study group of 10 farmers.
Tim Ennis, Ag Connect Executive Director reported, “We found that it is
possible to enter a grass-based dairy business with as little as $50,000 on as
few as 40 acres.” He continued, “The operations can be a great benefit in
their communities, bringing new families to that area and producing more
income from the land.”
The farmers in this study used rotational grazing to provide feed mainly from
pasture. Feed costs are often half the cost of producing milk in conventional
confinement dairies.
The techniques involved moving the cows once or twice daily to fresh pasture,
which reduced feed and equipment costs compared to conventional dairy systems.
Use of pasture also allowed them to farm on lower-quality farmland, which
reduced land costs.
Ennis found that the first two years entail the most learning for new farmers,
and having an experienced mentor reduced the risk of making serious mistakes.
Conventional dairy information was less helpful, as it did not deal with the
flexible feed, labor, and production techniques common with grass-based
systems.
The project kept track of income, expenses, and grazing practices for 10
families over two years. They found that startup farm income could gross
$110,000 per year, about double the level of per-acre income of other types of
farming. (A case study by the Center for Rural Affairs confirmed the
profitability of grass-based dairying, and documented that an established
grass-based dairy farmer could net $100,000/year. The case can be found online
at www.farmprofitability.org.)
Ennis at first doubted that he could find enough beginners for this project,
but later found over 30 young farmers interested in this type of farming. He
concluded that grass-based dairy holds advantages for beginners and can reduce
the risks of starting to farm.
This project was funded by a grant from the Leopold Center for Sustainable
Agriculture at Iowa State University. This article was first published in the
summer 2003 Leopold Letter, available on the web at
http://www.leopold.iastate.edu/newsletter/Leoletterindex.html . You can
reach Ag Connect at 124 North Main St, Lenox, Iowa 50851, 641.333.4656.
Contact: Wyatt Fraas,
wyattf@cfra.org or 402.254.6893 for more
information.
Small Rural
Communities with Recreation Have Fun while Growing
Recreation is often overlooked as a catalyst for
community development, but a strong core of leisure activities is definitely a
draw.
We have talked about clues to identify a healthy community and have looked at
the important role of rural culture as well. But what is often overlooked is a
community’s need for recreational opportunities. The role of recreation is as
important to the community as its culture.
Play has often been defined as part of the equation that creates quality of
life. More important for our purposes is how recreation can direct economic
development in communities. Those that appear healthy and vibrant often have a
strong recreational core.
Plainview, Nebraska recently appointed a Recreation Board, apart from the
existing Park Board, to address this very topic. Through involvement in the
Center’s community revitalization Project HOPE, Plainview recognized they needed
a healthy atmosphere for recreation. The town council also figured that giving
citizens a chance for recreation might turn them into more productive citizens.
The Recreation Board is responsible for promoting and developing the general
physical, mental, and emotional well being of the citizenry. It will also help
form community attitudes towards leisure time activities. The board will serve
as a catalyst in the development, initiation, coordination, and support for a
variety of recreational activities and facilities for residents of all ages.
Recreation can also create opportunities for economic development. Recreational
use of the land and infrastructure can be appealing to visitors as well. For
example, Calloway, Nebraska opted to have kite-flying as their choice of
attraction. Calloway uses Nebraska’s natural asset of wide open space and wind
to attract visitors from all over the world.
The United States has roughly 285 million people, 80 percent who live in urban
areas. Rural areas provide an appeal to people in urban settings as they look
for quality of life attributes, or, in other words, recreation.
Contact: Michael L. Holton,
michaellh@cfra.org for more information
on community revitalization.
Corporate Farming Notes
South Dakota’s Amendment E struck down in 8th
Circuit; PA finds CAFOs lower property values; NE Supreme Court approves city
regulation of nearby CAFOs; ADM goes south; and Smithfield Foods continues its
expansion.
The 8th U.S. Circuit Court of Appeals has struck down South Dakota’s
constitutional provision banning corporate farming. The court ruled that the
provision contravenes the dormant Commerce Clause of the U.S. Constitution,
which prevents excessive restrictions on commerce between states.
The South Dakota law, commonly known as Amendment E, was declared to have an
underlying discriminatory purpose, and the defendants did not show sufficient
evidence of received benefits from the law.
A study by Pennsylvania State University found that in Berks County,
Pennsylvania, open space increases property values for nearby housing, while
landfills and concentrated livestock operations lower housing values.
Medium- or large-scale animal facilities including dairy and beef cattle, hog,
and poultry operations within a half mile lowered housing prices by 4 percent or
$l ,800. By comparison, sewage treatment plants had a less depressing effect.
The report is at
www.landuse.aers.psu.edu.
Source: Alternative Agriculture News
The Nebraska Supreme Court ruled that cities may enact laws to regulate
large livestock operations being built nearby. The case stemmed from attempts by
Furnas County Farms, a division of Sand Livestock Systems of Columbus, to build
a facility of up to 36,000 hogs near Alma.
Furnas received a state permit in 1997 to build the hog facility about 10 miles
northwest of Alma. The City Council then passed several ordinances, including
one requiring a city permit for new or expanding livestock facilities for more
than 2,500 animals within 15 miles of town.
The high court said such ordinances are allowed under the Nebraska Environmental
Protection Act. Source: Associated Press
Archer Daniels Midland Co. announced construction of five grain
origination and storage silos in Brazil that will be incorporated into a network
of 80 silos ADM already operates in Brazil, Paraguay, and Bolivia. Also, ADM
closed its soybean crushing and refining operations in North Kansas City, Mo.
and Little Rock, Ark. The closures are part of several that ADM and other soy
processors have made in North America. Source: Delta Farm
Press and BakingBusiness.com
The $363.5 million bid for Farmland Industries pork assets by Smithfield
Foods, the nation’s largest pork producer, is not its last. In a SEC filing the
company revealed plans to buy an eastern U.S. processed meat producer. The
filings didn’t identify the company’s name or owners.
The purchase is to range from $50 million to $60 million. Also, Smithfield
announced the acquisition of Global Culinary Solutions, Inc. and the formation
of the Smithfield Innovation Group to develop new products for customers in
retail, club store, and foodservice channels. Source:
Meatingplace.com
Contact: Brad Redlin at bradr@cfra.org or
402.846.5428, extension 24.
Iowa Farmer
Talks Trade
Cylinder, Iowa farmer and activist Linus Solberg represented the Center for
Rural Affairs on a panel before U.S. Trade Representative Robert Zoellick,
convened in Des Moines August 11 by Senator Chuck Grassley. Solberg said:
“Last year we had relatives visit from England, Australia, Canada, Norway,
Japan, Ireland and France. My relatives say we are the bullies of the world
forcing them to import hormone-raised beef and GMO grain. We’ve lost heavily on
corn, soybean and beef exports. Isn’t it time for a different approach?
“The competitive advantage of mid-size farms, such as I operate, is our capacity
to manage more intensively than larger farms. If European consumers want
soybeans without the Roundup Ready gene and are willing to pay a premium for it,
we have the management to give it to them.
“Why don’t we embrace their proposal to label GMO food as opportunity for
mid-size farms? What happened to: ‘The Customer is always right?’”
Ag Opportunities
- University of California, Santa Cruz Farm & Garden Apprenticeship offers
a full-time 6-month training course in organic gardening and farming. The
35-40 apprentices each year come from all regions of the U.S. and abroad.
Application deadline is November 1, 2003. Call 831.459.4140 or email
apprenticeship@ucsc.edu.
- Heifer Ranch is looking for a Community Supported Agriculture Field
Manager for their Organic Farming Project. Benefits include housing, noon
meals, stipend &/or profit sharing, and an existing CSA program and
infrastructure. Contact Chuck Crimmins, 501.889.5124 x 3694 or
chuck.crimmins@heifer.org.
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Feature article:
Nebraska Agriculture Study Does Not Support
its Conclusions
Formulating plans for the future of Nebraska’s
agriculture must begin with citizens’ choice of agriculture.
It might appear close-minded to oppose a thorough examination of the benefits
and possible disadvantages of Initiative 300 over the 20-plus years it has been
in effect. That is, it might unless you’ve actually read the study of Nebraska
agriculture that state officials are citing as evidence of the need for such an
examination.
State officials are promising legislation to convene a task force to investigate
eliminating or relaxing Initiative 300, and the reason given is that their
reading of a report they commissioned inspired them to do so. The specific
trigger in this instance is the report commissioned by our state’s Department of
Agriculture, The Agricultural Economy in Nebraska: Making Nebraska the
Agricultural Leader of the 21st Century. And it is this $300,000 report, and
the manner in which it has been presented, that first deserves our scrutiny.
In the news release issued from the Governor’s office announcing the release of
the report conducted by Decision Analyst, Inc. of Arlington, Texas, Initiative
300 was cited first. According to the release, “The first of four major points
suggested by researchers is that Nebraska should ‘lesson regulatory barriers
that hinder agricultural business opportunities.’”
In response, State Senator and chair of the Legislature’s Agriculture Committee
Bob Kremer, Aurora, will introduce the bill forming the task force to study
Initiative 300. The statement from the Governor’s office said the task force
“will offer recommendations to the Governor and Legislature as to the future of
I-300 and changes, if any, that would benefit Nebraska agriculture.”
The fact that the people of Nebraska clearly support Initiative 300 and are the
only ones who can change our constitution has not been mentioned by those
officials, or in most press accounts and editorials.
The Findings
The conclusion that Nebraska’s anti-corporate farming amendment should be
weakened or eliminated was apparently determined from the start, because the
study’s own data provided no basis for this recommendation.
A complete and careful reading of the entire study reveals a great deal, except
how its conclusions were reached. Quoting the study:
- “[Nebraska] is currently the #3 corn producer in the U.S., the #5 soybean
producer, the #3 livestock producer, and the largest red meat producer and
livestock slaughterer. In total, Nebraska produces more agricultural value
than all but three states in the U.S., and it has increased its position in
each of the above categories over the past decade.”
- “Actual numbers of cattle and hogs rose (by 30% and 12%, respectively)
from 1990 to 2000; yet their value of production either increased little or
decreased due to declining market price. During the 1990’s, the price per
100-weight dropped by 10% for cattle and 19% for hogs.” And “While corn and
soybean acreage in Nebraska increased (by 10% and 90%, respectively) from 1990
to 2000, the price per bushel dropped 17% for corn and 21% for soybeans.”
- “Producers in Nebraska, particularly farmers, cited the low prices they
receive for their products as the factor most hurting production agriculture.”
Further, four out of five farmers and ranchers interviewed rejected the
premise that Initiative 300 is harmful to agriculture.
- When asked, unaided, “What Nebraska could do to make itself a more
attractive place to conduct business?” not a single one of the corporations
surveyed wanted to “Eliminate/relax I-300.” (Though 40 percent of the
corporations volunteered that the state should “Ensure a good/strong education
system.”)
It is at least odd, and worthy of scrutiny, that upon compiling the above
data and announcing the release of the report, the authors and our state
officials determined that Initiative 300 must be re-evaluated.
The Conclusions
This conclusion of course runs completely counter to not only the findings of
previous studies of corporate farm law, but to the report’s own findings. The
report identified that concentration and resulting low prices are harming
Nebraska agriculture.
Previous studies for the U.S. Congress found that large corporate agriculture
impacts rural communities by lowering the standard of living and dividing their
economic structure into a very few wealthy elites and a majority of low-wage
laborers, with virtually no middle class.
The case for eliminating or re-writing Initiative 300 has most certainly not
been made. In fact, as cited in a 20-year study completed recently, the presence
of our anti-corporate farm law results in communities with lower poverty rates,
lower unemployment, and a higher percentage of farms realizing cash gains than
communities in states without such a law.
The clear call to action for Nebraska agriculture when looking to prosper in
this century is to address the actual obstacles to profitability in farming and
ranching.
Interestingly, the text of the ag department’s report says as much:
- “The challenge for Nebraska is to pave the way for the independent,
medium-sized producers to remain viable alongside their larger competitors.”
- “Because of the importance of the livestock industry in Nebraska,
continued concentration in the hands of fewer producers could have profound
effects on Nebraska’s economic future.”
So not only are the dangers known and the obstacles identified, but
appropriate and workable responses are as well. As explained within the report,
“In order to remain competitive, smaller producers will need to improve their
efficiencies, and should engage in specialized or value-added crop and livestock
production, form cooperatives or alliances with other producers, and expand
their use of electronic commerce, as well as maintain off-farm income as
necessary.”
The Future
As specifically stated in the Ag Department’s study, implementing value-added
agriculture, taking advantage of new niche markets and cooperative efforts are
the means for future success in farming. And the great irony is that the
presence of Initiative 300 puts Nebraska in a particularly strong position to
take advantage of these opportunities.
The strong trends toward cooperative ventures, direct marketing, and community
supported agriculture that farmers and ranchers are increasingly engaging in are
made that much more profitable thanks to Initiative 300’s provisions. Producers
seeking to engage in these new marketplaces are further assisted by the
competitive environment the initiative provides in leveling the playing field
between family farmers and ranchers and large corporate enterprises.
There is indeed work to be done, but it isn’t in a conference room picking
through the text of Initiative 300. It is in on-the-ground efforts to help
producers gain a larger percentage of the consumer’s food dollar; a percentage
that has decreased in direct relation to the increase in agri-business
consolidation and market concentration.
The real disappointment is that the citizenry of Nebraska know this, and have by
all measures continually made it known at least as far back as the 1982 passage
of Initiative 300.
No one can mistake what kind of agriculture Nebraskans want for their state,
families, and future. It is high time public agencies, universities, and elected
officials finally begin to focus their efforts on creating a future for
Nebraska’s independent family-scale farms and ranches.
We need a task force that will identify strategies to nurture the agriculture
Nebraskans want – one that protects the environment and offers a future for
family farms and ranches. What we don’t need is an assault force pre-selected to
tell Nebraskans that they have no choice but to embrace corporate farming – a
system of agriculture that is not good for our state and that most of us do not
want.
Contact: Brad Redlin,
bradr@cfra.org or 402.846.5428, extension 24
for more information.
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MIDWEST DIGEST
Iowa farm tours highlight grass-based operations; Lewis & Clark theme kicks
off the Rural Institute in South Sioux City; entrepreneurship finds support in
Senate; and Center director appointed to Nebraska Rural Development Commission
The Senate Appropriations Bill recommends to
USDA that it provide rural development funding to the Center’s Rural Enterprise
Assistance Program, which provides loans, technical assistance, and training to
small rural businesses. The recommendation was added to the Bill as a result of
the efforts of Nebraska Senator Ben Nelson.
Like Lewis & Clark: Explore Your
Opportunities is the theme of the 8th annual Nebraska Rural Institute at the
Marina Inn in South Sioux City, Nebraska on September 16-18. This year’s agenda
includes a number of dynamic sessions focusing on entrepreneurship and
diversity. Contact Karen Linnenbrink, with the Center’s REAP program,
402.372.3840 or karenjl@cableone.net
for more information.
Iowa Farm Tours Show Grass-based Operations
9/19/03 - Radiance Dairy: Grass-based dairy, Fairfield IA, 9 am - 1 pm ($25
registration, limited to 20). 1 - 4:30 pm, Controlled grazing farm tour; Dennis
Pate (IA NRCS Asst State Conservationist) & Teresa Opheim (MSAWG) on
Conservation Security Program. Contact Francis Thicke, 641.472.8558,
fthicke@kdsi.net.
9/23/03 - Reinart Farm Tour, Glidden IA, 12:30 - 6:30 pm. Grass-finished
livestock, Kit Pharo on breeding stock & environment; farm tour (wetlands,
wildlife, cattle & grass); UMo Fred Martz on eating quality and health;
marketing panel of 3 farms. Contact Stephen Reinart, 712.656.2563. Tour sponsors
include the Center for Rural Affairs, Practical Farmers of Iowa, and EPA Region
7.
Governor Mike Johanns announced 32
members of the new Rural Development Commission (RDC) on July 31, 2003. Center
for Rural Affairs’ executive director Chuck Hassebrook was one of the new
appointees. In late May, Gov. Johanns and the Legislature agreed to recreate the
RDC as a state commission after abolishing the commission earlier in the year.
The stated objective was to provide a fresh start for rural and community
development efforts in Nebraska.
Hassebrook said, “It’s a critical time for the future of rural Nebraska. My hope
is that the Commission can come up with a strategy to create a better future.” A
starting date for the new commission has not been announced.
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