CAM-11-20-2013

AG Mag 1

Fall 2013

AG MagSouthwest Iowa

Good asGold

As commodity prices continue to rise, so, too,

does the value of farmland in Southwest Iowa

A Publication of Shaw Media

Got cash? It’s been another good harvest and

crop prices continue to be high. What does

that mean for you?Your outlook: Local

farmers look at the 2013 harvest and beyond.‘Blend Wall’: Ethanol

production in the U.S. has leveled off, and no

growth is expected.

2 Fall 2013

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Articles and advertisements are the property of Sauk Valley Media. No portion of the Southwest Iowa Ag Mag may be reproduced without the written consent of the publisher. Ad content is not the responsibility of Sauk Valley Media. The information in this magazine is believed to be accurate; however, Sauk Valley Media cannot and does not guarantee its accuracy. Sauk Valley Media cannot and will not be held liable for the quality or performance of goods and services provided by advertisers listed in any portion of this magazine.

PublisherRich Paulsen

Advertising Director Craig Mittag

Managing EditorStephani Finley

Magazine EditorsLarry Lough, Jeff Rogers

Page DesignJeff Rogers

Reporters & PhotographersDerek Barichello, Sarah Brown, Stephani Finley, David Giuliani, Philip Marruffo, Matt Mencarini,

Amy Hansen Ost, Alex T. Paschal, Bailey Poolman, Ty Rushing,

and Jake Waddingham

Published bySauk Valley Media3200 E. LincolnwaySterling, IL 61081(641) 782-2141

AG Southwest IowaMag

10COVER STORY

Land values rising But in Iowa, the price of high-quality land is

growing faster than the rest.

Cash rent forecastA local expert thinks that cash rents

in southwest Iowa are “too high” based on farmers’ input costs.

Index

12

Wishing our area farmers a safe and bountiful harvest.

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AG Mag 5

South Central Iowa Community Foundation

A GREAT place to live.A GREAT place to give.

Iowans are well-known for their generosity and commitment to the communities they love. All across Iowa, people like you are not only making an impact today, but are also

establishing a legacy of giving that will benefit their communities forever. Community foundations are nonprofit organizations that focus on building local

philanthropy. You can establish an endowment fund to support the causes you believe in or you can choose to give to an existing fund that matches your charitable interests.

When you are ready to explore your charitable giving options, contact your local community foundation. What legacy will you leave?

6 Fall 2013

IndexReversal of fortunes?Cattle prices have paled in comparison to row crops in recent years. That may be changing.

Youth is served by FFAFuture Farmers of America prepares local students for more than just a career in

agriculture. It helps turn them into leaders.

From East to MidwestThe story of the Harvest Barn Marketplace in Osceola actually begins in Pennsylvania.

Farmers share their outlooks

Southwest Iowa farmers share their expectations for

the 2013 harvest and for the year ahead.

Hitting a ‘blend wall’?Production of ethanol in the U.S. has leveled off in recent years and actually dropped in 2012.

Get locked in, experts sayWith a big harvest underway, prices on corn and soybeans are expected to drop.

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Index

Energy food for thought

Southwestern Community College students gain an

advantage by learning about energy crops.

Evans family still on the farmEdward Evans’ farm in Mercer County, Mo., has been in the family for 123 years.

A site for 4-H groups4-H groups in Iowa are setting examples by transitioning from paper copies and forms

to using the Internet when enrolling or re-enrolling in the club.

Where’s the beef?It’s on school lunch menus, with these tasty recipes from the Iowa Beef Industry Council.

Extension shows its enduranceThough times are changing fast in agriculture, the Iowa State Extension has remained consistent and strong during its 100 years.

POET-ry in motionEthanol production facility in Corning is building things the “green” way.

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AG Mag 9

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BY MATT MENCARINIFor Southwest Iowa Ag Mag

M ark Fassler and his brother Tim were finishing up their soybean harvest in early

October. The brothers, who took over farming for their father, work 4,100 acres of soybeans and com-mercial corn between Sterling and Dixon in northwestern Illi-nois. This year, the Fasslers had a little more land to farm.

In December, they bought 145 acres of farmland “right next”

to the land they already worked, a third of which belongs to the brothers, Fassler said. They rent the rest.

“We’re farmers, and that’s what we’re in the business of doing,” he said. “We’ve had a few good years growing corn and beans, and we’re lucky enough to have enough equi-ty to purchase some land.”

Q�Q�Q

In August, they bought 117 more acres, also near their current land.

“I wish we would’ve bought these up 10 years ago,” Fassler said. “But [we] didn’t have the equity needed.”

Between 2006 and 2013, Illinois farm-land more than doubled in price, from an average price of $3,640 an acre to an average of $7,900, according to Reuters, which cited the U.S. Department of Agriculture. Moving into this year, land values in western Illinois and eastern Iowa increased by double digits again, but did so at a slightly lesser amount than in previous years, signaling a tapering off.

In Iowa, the gap between high-quality land and medium- and low-quality land is growing, said Kyle Hansen, a real estate agent and auctioneer work-ing out of the Nevada, Iowa, office of Hertz Real Estate Services.

Land values now closely tied to commodity prices

CONTINUED ON 11�

STILL A GOOD INVESTMENT

Southwest Iowa Ag Mag file photo by Phillip Marruffo

AG Mag 11

Hansen also is the chairman of the Iowa Realtors Land Institute. In its October farmland values survey, it indi-cated that high-quality land increased this year to $11,661 an acre, up $224 from 6 months earlier. During the same 6 months, medium-quality land increased by $86, to $8,780, and low-quality land increased by $2 an acre, to $5,808.

In its 2013 Illinois Land Values and Lease Trends survey, the Illinois Soci-ety of Professional Farm Managers and Rural Appraisers found that while sup-ply is down from a year ago, value is “up modestly.”

In Illinois, excellent-quality farmland averaged $13,200 on July 1, up 3 per-cent, Dale Aupperle, of Heartland Ag Group and the ISPFMRA chairman, reported in a summary of the survey. Additionally, good-quality farmland increased by 2.5 percent to an aver-age of $11,200, and fair-quality land increased by 1.9 percent, up to $9,000.

“It’s just like the other stocks,” Han-

sen said. “It’s a cycle. It will go up and come down based on the commodity prices and other factors [like world demand for fuel and food]. ... But it still continues to be a cycle. It will come up and go down. Now it’s leveling off and taking a breath to see where we’re going from here.”

Hansen said land values in Iowa are now more connected to commodity prices than they have been in the past.

Mike Morris is the chief appraiser with 1st Farm Credit and has been based in the Bloomington-Normal office since 2007. He has been appraising since 1999, he said, and handles appraisals in northern Illinois.

“I think if we don’t see much change in crop prices, I would call it a stable to slightly softer market,” he said. “If we see some real increase or decrease, that could affect the market. Right now, no one is really anticipating that.

“My gut tells me that we’ll still see some strong sales, but we’re not going to see anything that’s higher than [land value] in December, unless we see sig-nificant increases in commodity prices.”

On Oct. 11, December corn was $4.3325 a bushel, down 5 cents from the day before, and November soy-beans were $12.6675 a bushel, which was 21.25 cents lower than the market’s Oct. 10 close.

Despite the falling commodity prices, in a market that’s been described by some experts as volatile, land values have been increasing by double digits for several consecutive years.

Bruce Sherrick, an agriculture profes-sor at the University of Illinois, said that rise follows good recent incomes for farmers and continued use of corn for, among other things, renewable energy that keeps demand for land high, but supply low.

“Because so little farmland turns over, it’s really, really hard to get a clear picture of what’s going on,” Sherrick said. “Income in northern Illinois is higher than southern Illinois because you grow more. Because of the slow turnover, it’s hard to get a clear picture.”

Alex T. Paschal/For Southwest Iowa Ag MagTim Fassler inspects and greases a combine as he prepares to harvest corn on the farm he and his brother Mark own in north-western Illinois. The Fasslers have added to their 4,100-acre farm between Sterling and Dixon by buying 145 acres of farmland in December and an additional 117 acres in August. “I wish we would’ve bought these up 10 years ago,” Mark Fassler said. “But [we] didn’t have the equity needed.”

��CONTINUED FROM 10

CONTINUED ON 14�

12 Fall 2013

2014 cash rents expected to drop ... or will they?

Sarah Brown/For Southwest Iowa Ag Mag The lowest cash-rent lease agreements are typically established between landowners and farmers with long-standing rela-tionships. This field, owned by Betty Travis, is farmed by her grandson David Travis, both of Creston.

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AG Mag 13

BY SARAH BROWNFor Southwest Iowa Ag Mag

As trends point toward some commodity prices going up and the price of grains going down, landown-ers and farmers are working to negotiate fair, yet profit-able, cash rent agreements as they move into 2014.

A recent survey released by the University of Illinois pre-dicted this year’s cash-rent rates will likely be lower than 2013. However, for southwest Iowa, crop agent Bruce Travis believes cash rents will remain steady in the new year.

Travis is a former farmer, crop adjuster, sales manager, landowner and now crop agent. He said his experience has allowed him to under-stand what farmers and land-owners are experiencing and want to accomplish when they work out cash-rent lease agreements.

“I’ve been on all sides of it,” Travis said. “I have a pretty good understanding of where the farmers are at and what goes on.”

Determining cash rents in the fall based on future pric-es makes negotiating cash rents – at times – a gamble. One reason is that farmers are trying to lock in agree-ments before futures prices of commodities are deter-mined.

“The farmers don’t know what the prices are going to be,” Travis said. “Federal crop prices are not estab-lished until the first day of March. Almost all farms are rented before then, so they are looking ahead and trying to guess.”

In Travis’ opinion, cash-rent rates in southwest Iowa,

which can range from $100 to more than $300 an acre, are “too high” based on the farm-er’s input costs.

“Fertil-izers have skyrocketed, and you obvi-ously know the price of fuel, repairs, machinery – everything has gone up incredibly,” Travis said. “Even if the farmer does sell $7 corn ... and handling enormous amounts of dol-lars ... his margin is not any higher than back when he had $3 corn.”

According to Mark Pear-son at Preferred Properties of Iowa in Lenox, cash-rent rates in southwest Iowa are so broad because the values are all over the map. Some factors taken into consider-ation in determining cash rents are soil quality, location of property, and relation-ships between landowners and farmers.

For example, some land-owners cash rent to relatives or people they have long-standing relationships with. In those cases, rent may be lower than for a farmer nego-tiating cash rents for new land.

Travis said about 80 percent of farmland in southwest Iowa is on a cash-rent lease agreement. Based on the various factors involved in negotiating cash rent, par-ticularly relationships, Travis said, not all farmers have the same opportunity to pay the same cash rent.

Crop agent says cash-rent prices locally are ‘too high’

Bruce TravisCrop Agent,Travis Crop Insurance

’’‘‘ Even if the farmer does sell $7 corn ... and handling enormous amounts of

dollars ... his margin is not any higher than back when he had $3 corn.

Bruce Travis, former farmer, crop adjuster, sales manager and landowner

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Todd Slock works for 1st Farm Credit as a real estate appraiser out of the Rock Falls, Ill., office. He’s been an appraiser for 6 years, and previously spent time working near Ottawa, Ill., in LaSalle County.

Land sales usually pick up after harvest, when farmers have a better idea of how much they made on the year’s crops, Slock said. By early October, there hadn’t been many listings, which could be the result of commodity pric-es falling and interest rates “being up slightly.”

Hansen said that until the middle of September, the amount of availbale farm land in Iowa was bellow the average, but because of a softening market, landown-ers are seeing reason to sell now rather than later, espe-cially with medium- and low-quality land.

For the most part, high quality land is being held because it has shown greater appreciation, he said.

Both pieces of land the

Fassler brothers bought were from heirs who don’t plan to farm and don’t want to man-age the land. For them, like the pension funds or invest-ment groups, the land is a financial investment and not a farming asset.

“People look at what their alternative is,” Morris said.

“And they look at a stock market that’s been volatile and CDs that aren’t going to pay as well. ... I think in a lot of cases, people think they can make something off the land, so they hold on to it.”

In Iowa, which has buying rules different from Illinois that make it more likely that

farmers will buy land, some investment groups still are purchasing land, but more is going to farmers.

“It just shows that people are interested in it,” Hansen said. “Even without a back-ground in farming, they still see long-term income oppor-tunities there. But again, they’re competing with farm-ers, and farmers are winning.”

Between 75 and 80 percent of land purchased in Iowa recent-ly was done so by a farmer within 10 miles, he said.

According to the ISPFMRA survey, the “vast majority” of farms in northwest Illinois were purchased by local farmers, and several coun-ties saw sales of more than $12,000 an acre for excellent productivity tracts, and three counties had sales match or exceed $14,000 an acre.

“I don’t think there’s a big surprising story in any of this,” Sherrick said from his office at the University of Illinois. “It’s kind of the new normal – high-er priced input and higher priced output. ... It adds to the amount of capital [needed] to get into the industry.”


Alex T. Paschal/For Southwest Iowa Ag MagMark Fassler of Sterling, Ill., works on preparing his combine for the harvest season. Mark said he and his brother, Tim, decided to buy more farmland in the past year because “we’ve had a few good years growing corn and beans, and we’re lucky enough to have enough equity to purchase some land.”

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AG Mag 15

BY JAKE WADDINGHAMFor Southwest Iowa Ag Mag

The recent lower market prices in cattle farming in southwest Iowa have forced younger farmers and small operations to shy away from cattle farming.

“In this part of the country, we have what I call two-way ground,” said Chuck Ford, a cattle farmer in rural Orient, Iowa. “You can either dedi-cate it to hay or pasture, or row crop it.”

A TURNING TIDE on the farm?

Local cattle farmers optimistic for markets,

start of 2014

Jake Waddingham/For Southwest Iowa Ag Mag Cattle farming has become less attractive as a career choice for younger farmers and small-er operations as cattle prices have paled in comparison to row crops. The recent drop in corn and soybean prices, however, will benefit cattle farmers as their market prices start to rise. CONTINUED ON 16�

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But for Ford and fellow cattle farmer TJ Ross, also of rural Orient, raising cattle has been a staple in their lives since childhood.

Over the past five years, cattle prices have paled in compari-son to row crops, causing an unfavor-able bal-ance for farmers like Ford and Ross.

“Crop prices have

been good, yields have gen-erally been good, and cows could not come close to competing with the income you could have got row cropping,” Ford said.

Ford has 125 head of cattle and maintains 450 acres each of corn and soybeans. Ford also has land he utilizes for hay and pasture.

Ross has a very similar

operation, with 120 head of cattle and similar hay, corn and soybean acerages.

Both farmers generally maintain ownership of their herd, usually background-ing for a while before taking them to a custom feedlot.

Despite an unpredictable spring and summer that started with record rain-fall and transitioned into drought conditions, local

cattle farmers are optimistic of better market prices and a strong start to 2104.

“It [the drought] won’t [be a problem] for us because we will chop enough corn silage to make up for a short hay crop,” Ford said. “We make sure we have enough feed to get through until grass, one way or the other.”

Ross added it’s important to wean the calves off the

cows early and prac-tice feeding methods to get the herd through the winter in a safe and costly man-ner.

“You can’t starve a profit,” Ross said. “When it gets 30 to 60 days ahead of calving, we make sure they have quality nutrition so they calve OK.”

Falling corn prices also favor cattle farmers heading into the winter.

“Feeder cattle is good; fats are so-so,” Ford said. “The real thing is the relationship between the cattle prices and the row crop prices is looking more favorable right now.”

While the market outlook for 2014 is positive, Ford and Ross agreed the daily labor put into cattle farming is still less convenient than typical row crops.


Jake Waddingham/For Southwest Iowa Ag Mag A heifer makes its way along the fence line at the Southwest-ern Community College Agricultural Site in Creston.

TJ RossCattle farmer in Adair County,

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Chuck FordCattle farmer in Adair County,

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AG Mag 17


Cassidy Becker appears to be your typical high school freshman. But what you don’t know about her will teach you what it takes to become a commu-nity leader.

Becker, the 14-year-old daughter of Susan and Joe Becker of Diagonal, joined Future Farmers of America this year as a way to continue her path in agriculture.

“FFA gives me a boost,” Becker said. “It’s another step I can do that has more to do with the agriculture life.”

Becker, who has won multiple awards at local and national livestock shows, grew up on a family farm, where her family raises purebred Angus cattle.

Growing leaders in FFACassidy Becker:

Cattle champ, student, athlete, volunteer

Contributed photo14-year-old Cassidy Becker winds down at the 2012 Ringgold County Fair with her champion steer. CONTINUED ON 19�

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Contributed photoCassidy Becker, who is a freshman at Diagonal Community School, playfully stares down her heifer Zada, whom she will show next year.

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AG Mag 19

By continuing her involve-ment in agriculture through FFA, Becker says, she hopes to help other youths pursue and achieve their goals in agriculture.

“I enjoy helping out younger kids,” she said. “I like interact-ing with them and showing them what is expected.”

Becker, a former member of Twin River Tornadoes 4-H club, is mentoring three 4-H students; fifth-grader Austin David of Lenox and fourth- and sixth-graders Kerrigan and Cole Mobley, both of Diagonal.

As a member of FFA and the Iowa Junior Angus Associa-tion, Becker can participate in state and national shows. This year, Becker participat-ed in the Iowa Angus Asso-ciation State Junior Angus Show in Indianola in June, when her heifer won Reserve Junior Champion Heifer. At the National Junior Angus Show in Kansas City, Mo., Becker placed third and fifth in class with her bred and owned Angus heifers, and

participated in a quiz bowl and judging contest.

“With FFA, I am able to be more involved and eligible to show [cattle] until I am 21,” she said.

Outside of the show ring,

Becker is an avid athlete and volunteer. This year, Becker participates in basketball, archery, softball and choir. Additionally, she enjoys giv-ing back to her community through her church and her

4-H group.According to her mother,

Becker has raised money for the local food bank by par-ticipating in a “crop walk,” painted curbs and exhibition buildings with her 4-H group, collected donations for Toys for Tots Foundation, and adopted a family during the holidays on her own with her brother, Tyler, 20.

Becker’s English teacher, Shelly Bentley, at Diagonal Community School said Becker is a standout student.

“She is a conscientious student,” Bentley said. “She works up to her abilities and does a good job.”

Bentley listed Becker’s involvement in 4-H, FFA, school, church and the com-munity as examples of her exemplary involvement.

“She’s a good girl, does what she needs to do and goes above and beyond,” the teacher said.

Asked whether she consid-ers herself a role model for her peers, Becker had to think about it.

“It’s just what I enjoy,” she said. “I still have a lot to learn.”


Contributed photo14-year-old Cassidy Becker of Diagonal displays a plaque at the 2013 Ringgold County Fair, where she won champion and reserve feeder heifer and champion Angus heifer.

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Contributed photo The Boyer family of Weldon display Harvest Barn meat items. Pictured (back row, from left) are Kaitlyn, Amy and Jason, and (front row) Konrad and Kacey. The Boyers started the business in 2000 in a restored, 1930s-era barn.

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AG Mag 21

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BY AMY HANSENFor Southwest Iowa Ag Mag

The story of the family-owned Harvest Barn Marketplace located in Osceola doesn’t start in the Midwest. It actually begins in Pennsyl-vania.

Amy and Jason Boyer, the husband-and-wife team that owns the Harvest Barn, grew up in Pennsylvania. They knew they wanted to own a farm someday, but the urban sprawl on the East Coast wasn’t ideal to farming.

In 1995, the Boyer family moved to Iowa to start a farm near Weldon in south-central Iowa, which led to a cow-calf operation. In 2000, the family branched out to start the Harvest Barn business in a restored, 1930s-era barn.

“We thought it would make a great spot for a farm-market type business,” Amy said.

Starting outThe business started with produce and was

open year-round for several years.

Boyer family finds success at Harvest Barn Marketplace

Amy Hansen/For Southwest Iowa Ag Mag Harvest Barn Marketplace is at 2721 U.S. Highway 34 in Osceola. In addi-tion to meat, the business offers hand-poured candles, homemade fudge, beef sticks, gourmet Milton Creamery cheeses, fruit salsas, jams, coffees, candles, Iowa wines, and more. And, of course, pumpkins. CONTINUED ON 22�

22 Fall 2013

However, Amy said, more produce stands created more competition in the area, and the family decided to direct market their Limousin beef and Yorkshire pork.

Yet, there’s more than meat at the Harvest Barn. The business also offers hand-poured candles, homemade fudge, beef sticks, gourmet Milton Creamery cheeses, fruit sal-sas, jams, coffees, candies, Iowa wines, fall and holiday décor, and gift baskets.

For activities, the busi-ness also offers a corn maze, pumpkin patch, and “Fun Farm” for families.

The Harvest Barn also is a vendor at the Downtown Des Moines Farmers Market.

“That was a great path for us to take in,” Amy said. “It’s gone beyond expectations. We went up there with the idea of being able to direct market our meat, but also, hopefully, advertise our store to the Des Moines area.”

Fall businessA few years ago, the Boyer

family decided to focus on fall and winter holiday hours for the store to be open.

Amy said fall is the biggest business season at the Har-vest Barn.

As for popular beef prod-ucts, the Harvest Barn has six flavors of beef sticks. One of the best-selling products is sweet original beef stick.

“We sell a lot of raw meat. We do a lot of frozen meat,” Amy said. “But, people like the convenience of a snack stick. In the world we live in, everybody’s on the go. So, that makes a quick snack for people.”

During October, the busi-ness’s most famous fudge flavor is pumpkin pie.

According to Boyer, owning a business in south-central Iowa has its ups and downs.

One challenge is the store is in a lower-populated area, but the business can access new and current customers through its Facebook page.

However, a lower-pop-ulated area does have its

benefits.“I know, pretty much, our

core customers,” Boyer said. “I know them so well, they’re like family.”

��CONTINUED FROM 21 Harvest Barn

Recipe: Scarecrow Soup Ingredients:2 cups water2 cups potatoes, diced1/2 cup carrots, diced1/2 cup celery, diced1/4 cup onion, chopped1 tsp. salt1/4 tsp. pepper1/4 cup butter1/4 cup flour2 cups milk2 cups cheddar

cheese, grated1 cup ham or bacon,

cubed (Harvest Barn ham is recommended)

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24 Fall 2013

SET YOUR PRICE NOW Big harvest should bring prices down

BY DEREK BARICHELLOFor Southwest Iowa Ag Mag

The harvest of 2013 has been full of sur-prises.

Farmers planted late because of a wet spring and suffered through a flash drought in July and August, yet many yields are high – so high, in fact, this harvest might rank as one of the top three yields per acre.

Corn farmers are seeing monitors on their combines hitting 200 bushels regularly.

“They’re pretty proud of their numbers,” said Tim Wells, an agricultural lender at

First Midwest Bank in Moline, Ill. “I had a farmer send me a text of a picture of a monitor at 300, so there’s quite a bit of volume out there coming in. I haven’t talked to a farmer yet who isn’t pleased.”

What does that mean for a Midwestern farmer sitting with a good yield?

A large amount of corn acreage was planted this season, setting up for a glut of corn on the market, according to the U.S. Department of Agriculture.

CONTINUED ON 26�

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RESTONUTOMOTIVE

26 Fall 2013

Many soybean harvests also turned in a better-than-expected yields.

Unfortunately, harvest totals were being reported late because of the govern-ment shutdown.

As happens with big yields, prices have dropped since reaching a high of $8.49 a bushel last summer and sat at $4.37 as of mid-October – a new low for the year.

“Prices may not be where farmers want them to be, but there is a saying in farming, ‘Give me the bushels and I’ll be fine,’” said Ryan Walsh, a commodities broker for AgPerspective in Dixon, Ill.

With 200 bushels of corn, and $4 prices, the farmer generally is making money.

Be a seller on the futures market, lock the price in (as it’s expected to continue to slide), and be a storer, Walsh says.

“Sell corn for delivery next July, store until then, and truck it in,” Walsh said.

Because of the October harvest, corn has been late getting to the eleva-

tors, keeping the basis level strong, encouraging storage.

Farmers who are putting it in their bins and not selling it face a market risk if they don’t lock it in. Also, once crop insurance floors are set, which are expected to drop off, the farmer won’t have that safety net, either.

The big forward sellers, who set their prices back in Decem-ber, are cashing in nicely.

“They are really happy right now,” Walsh said.

Select farmers didn’t sell their 2011 crops, because they didn’t want the income and didn’t want to pay taxes on it.

“Take the income; pay the

taxes,” Wells said.While there’s something

to putting corn in the bin, farmers need to take care of their liabilities.

“Sell enough grain to make sure obligations are taken care of, then from there the market is the market, and you take whatever risks come with that,” Wells said. “That’s up to each individual farm to make their call. Just make sure the bank is taken care of.”

For farmers banking cash, now is a good time to leverage investments and plan for the future. That could mean set-ting up a retirement plan or acquiring land or equipment.

“So long as it’s done with a plan,” Wells advised. “Every farm should have a 5- or 10-year plan, and I’ll say that if they don’t have a plan, they’re risking way too much.”

With that said, higher yields don’t always translate to high-er profits. Prices are expected to decline as the supply grows.

“We don’t anticipate an increase in farmers’ incomes,” said Kurt Downs, an agricultural lender for Sauk Valley Bank.


Philip Marruffo/For Southwest Iowa Ag Mag A combine works a corn field off Crosby Road outside Morri-son, Ill. This year’s harvest might rank as one of the top three yields per acre. In the Midwest, a large amount of corn acre-age was planted this season, setting up for a glut of corn on the market, according to the U.S. Department of Agriculture.

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AG Mag 27

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John LaFratteAge: 58Location of farm: 1,000 acres of

ground east of Winter-set in Madison Coun-ty. He farms corn, beans, beef cows, hay and pasture.

What’s your harvest expectation this fall? “I plan to start harvest-ing tomorrow [Sept. 26], I have an older combine. It’s a 1992 Case IH. My harvest expectations are the

corn will be in the 140s [bushels per acre] and beans will be in the 40s. It will be better than last year’s crop, but below average in my 34 years of farming.”

What surprised you or was different

about the 2013 growing season? “We’ve had two consecutive dry years, but last year was much worse as there were a lot of bare stocks. The biggest surprise this year was, in May, we got too much rain and it caused the nitrogen to be leached out of the soil. Long story short, losing that much nitrogen malnourished my crop, especially where the water stood for a long period of time.”

Chuck ClevelandAge: 52Location of farm: Owns or rents 800

acres of farmland near Milo in Warren County. He farms corn and beans.

What’s your harvest expectation this fall? “I will start harvesting next week on Oct. 1 or thereabout. I expect the corn to be at or near the 10-year average. I expect the beans to be a little below average, but

overall it appears to be a good yielding season.”

What surprised you or was different about the 2013 growing sea-son? “Last winter they were forecasting cool-er-than-normal tem-peratures and average rainfall. So, I’d say the biggest surprise was the lack of moisture we had this year in

June and July, especially after we had a year-and-a-half of drought. I thought it would be a much wetter year.”

Will you make any changes to your operation in 2014? “Agronomically, every-thing went as expected in 2013, so I have no plans to make any changes in 2014.”

WHAT’S YOUR OUTLOOK?

A Q&A with five Southwest Iowa farmers

John LaFratte

Chuck Cleveland

CONTINUED ON 28�

28 Fall 2013

Bart BrummerAge: 49Location of farm: About 1,000 acres

of farmland west of Indianola in Warren County. He farms corn, beans and cattle.

What’s your har-vest expectation this fall? “I think corn will continue to surprise people. My five-year average for corn is 171 [bushels per acre]. You know, I guess I would be cautiously opti-

mistic this year to get 160. I planted all my corn before the snow in May, and I think that will have an advantage over the shorter-seasoned corn planted 20 days later. For beans, I would be satis-fied with 45 [bushels per acre].”

What surprised you or was different about the 2013 growing season? “The biggest surprise was the variability of the extremes. We had snow in May, followed by excess moisture, cool weather in July and a drought environment in August.”

Nick HunterAge: 53Location of farm: About 1,500 acres of

farmland near Chari-ton in Lucas County. He farms corn, beans, cattle, hogs and hay.

What’s your harvest expectation this fall?“It will be below aver-age for us. We didn’t get the corn planted until late, so it strug-gled, and our yields will be below average. We are just looking to

hold things together this year, especial-ly with the way the prices have dropped compared to last year. Not to mention, because we planted so late, there will be more moisture in the corn, which will increase harvesting costs.”

What surprised you or was different about the 2013 growing season? “The biggest hurdle this year was we went from the wettest spring ever to drought and heat that stressed our crops as much or more than last year.”

Bill EvansAge: 56Location of farm: 2,000 acres of

farmland in the northwest part of Lucas County in Iowa. He farms corn, beans, cattle, hay and pas-ture.

What’s your harvest expecta-tion this fall? “I expect an average to below-average harvest this year, mostly because a

wet spring forced late planting. Late planting and an awfully dry sum-mer will hurt yields. I’d say corn will be in the 140s and beans will be somewhere in the 40s.”

What surprised you or was different about the 2013 growing season? “Our weather this growing season. In Lucas County, we received 14 inches of snow in May. That’s very unusual. I don’t think I’ve seen that in my 38 years of farming.”

Bart

Brummer

Nick

Hunter

Bill

Evans

’’‘‘The biggest surprise was the variability of the extremes. We had snow in May, followed by excess moisture, cool weather in July and a drought environment in August.

Bart Brummer, Indianola-area farmer

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AG Mag 29

For Southwest Iowa Ag Mag The Environmental Protection Agency

(EPA) has reached an agreement with the Iowa Department of Natural Resources (IDNR) to make changes to Iowa’s Clean Water Act (CWA) permit and compliance program for con-centrated animal feeding operations (CAFOs). The agreement includes spe-cific actions the IDNR intends to take to remedy the program and create a timeline for implementation of those actions to ensure clean, healthy water.

“Working with states to safeguard Midwestern waters is among EPA’s highest priorities,” said Karl Brooks, EPA regional administrator. “This agreement, developed after extensive public and industry input, commits the IDNR to making needed and achievable improvements to the system that keeps CAFOs compliant with the CWA. Iowans who operate a world-class livestock sec-tor will continue to thrive in a first-rate permitting and inspection program.”

EPA considered public comments in its assessment of IDNR’s proposed actions to ensure clean water across the state. Public comments, including feed-back from the agricultural community,

were taken into consideration in the drafting of the final agreement.

EPA’s investigation of Iowa’s permit and compliance program for CAFOs was carried out in response to a peti-tion for withdrawal of the National Pol-lutant Discharge Elimination System (NPDES) program authorization from IDNR that was filed in 2007 by the Iowa Citizens for Community Improvement, Sierra Club, and the Environmental Integrity Project. Federal regulations allow interested parties to file these petitions when they are concerned that a state is not meeting the minimum NPDES program requirements.

The IDNR has committed to:Q Change several provisions of Iowa’s

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32 Fall 2013 AG Mag 33

BY DAVID GIULIANIFor Southwest Iowa Ag Mag

W hen it comes to ethanol mandates, an Iowa pro-fessor says,

there are winners and losers.Corn farmers in Iowa and

Illinois are the big winners. So is the environment. But live-stock producers, who have to pay more for feed because of higher demand for corn – not so much.

“Any state that exports corn is going to benefit from an increase in demand for the

product,” said Dermot Hayes, an agribusiness professor at Iowa State University.” If we didn’t have a mandate, the price for a bush-el of corn would be a dollar lower. Demand for corn would be less.”

In early October, the price of a bushel of corn was $4.43.

Q�Q�Q

The United States is the world’s top ethanol producer, with Brazil coming in second. Since 1980, U.S. ethanol production has skyrocketed, increasing from 175 million gallons a year to 13.3 billion gallons – a 76-fold jump.

The number of U.S. ethanol plants has grown from 50 in 1999 in 211 this year, with more than 40 in Iowa, which produces more ethanol than any other state.

Production of ethanol has leveled off in recent years after seeing huge spikes from 2005 to 2009. It fell slightly in 2012.

In August, the Environmental Protec-tion Agency proposed the lowering of its ethanol fuel mandate for 2014 because the demand for gasoline is lower than expected.

The decision comes as proposals in Congress are circulating to change the mandate, which was first set in 2007.

“There is absolutely no growth expect-ed for the ethanol industry,” said Rich Nelson, a chief strategist with Allendale. “We are hitting the blend wall.”

Industry might be hitting a ‘blend wall’

Phillip Marruffo/For Southwest Iowa Ag MagDon Temple empties the corn from his combine into a chaser bin on his land in western Whiteside County in Illinois. For the past 2 years, Temple’s corn crop has gone to an ADM ethanol plant in Clinton, Iowa. He farms about 500 acres of corn and 150 acres of soybeans. “Before, we had surplus corn. When you have more corn than what is being used, you don’t get paid really well. The ethanol market has been a very good thing for corn growers.”

TOPPING OFF ETHANOL?

Anti-ethanol groups say that ethanol con-sumes about 40 per-cent of the nation’s crop, but ethanol supporters counter that it’s nearer 28 per-cent.

The U.S. Depart-ment of Agriculture uses the 40 percent number, noting that about that much corn ends up at ethanol plants. But a third of the corn at the plants ends up as byproduct, which is used as feed for livestock, supporters say.

Allendale Inc., a McHenry, Ill.-based research company and broker, surveys corn farmers monthly about their expectations.

Last year, U.S. corn farmers pro-duced 10.8 billion bushels, a number that is expected to rise to 13.6 bil-lion bushels – a 25 percent increase, according to Allendale’s September numbers.

A total of 97.4 million acres are devoted to corn this year – the highest number since 1936, the U.S. Depart-ment of Agriculture reports.

The increase in demand for ethanol has led to the ris-ing number of acres under corn produc-tion, supporters say.

“We grow a lot more corn in the world today than we used to because of the demand for renew-able energy,” said Monte Shaw, executive director of the Iowa Renewable Fuels Association.

“Ethanol is cheaper, ethanol is clean-er, and it’s high-octane,” he said. “The majority of Iowa corn gets processed by ethanol plants. A third of all of that goes back to feed markets in the form of distillers grains.”

As for 2014, he said: “I’m optimistic about next year. The economics will drive 2014, but it depends on what the White House and EPA will do.”

To meet the federal renewable fuel standard, gasoline companies have blended ethanol into gasoline at 10 percent, known as E10. The ethanol industry wants greater availability of E15 and E85.

E85, which requires 85 percent etha-nol, can be used in “flexible fuel” cars, while E15 is for cars built in 2001 or later.

Dermot Hayes Agribusiness

professor at Iowa State University

Rich Nelson Chief strategist

with Allendale Inc.

Monte Shaw Executive

director of the Iowa Renewable Fuels Association

CONTINUED ON 34�

34 Fall 2013

In Creston, the Farmers Coopera-tive Co. service station started selling E85 ethanol in August – among more than 2,000 across the country that do.

On an early October day, regular unleaded (E10) gasoline sold for $3.29. E15 went for $3.24, E30 for $3.06, and E85 for $2.59.

The E85 has been good for business, with the Creston station seeing more customers, said Darin Schlapia, Cres-ton branch manager for the Farmers Cooperative.

That’s a story heard from many stations that are selling E85, Shaw said.

“The consumers are picking a good chunk of higher ethanol blends,” he said. “This is a very important fight, giving consumers choice at the pump.”

Hayes, the agribusiness professor, said that while the prices are cheaper for higher ethanol blends, they are not as efficient.

“It’s 75 percent as good,” he said. “The $2.59 [price of E85 at the Creston sta-tion] would amount to $3.45.

“The density of the energy in E85 is less,” he said. “You’re miles per gallon are less.”

��CONTINUED FROM 33 U.S. ethanol production Production Year (in millions of gallons)2000 ........................................ 1,6222001 ........................................ 1,7652002 ........................................ 2,1402003 ........................................ 2,8102004 ........................................ 3,4042005 ........................................ 3,9042006 ........................................ 4,8842007 ........................................ 6,5212008 ........................................ 9,3092009 ......................................10,9382010 ......................................13,2982011 ...................................... 13,9482012 ......................................13,300

Source: U.S. Energy Information Administration

Number of U.S. ethanol plants Year ........................................Plants2000 .............................................. 542001 ............................................. 562002 ............................................. 612003 ............................................. 682004 ............................................. 722005 ............................................. 812006 ............................................. 952007 ........................................... 1102008 ........................................... 1392009 ........................................... 1702010 ........................................... 1892011 ........................................... 2042012 ........................................... 2092013 ........................................... 211

Source: Renewable Fuels Association

A $175 million initial invest-ment in the Patriot Renew-able Fuels ethanol plant near Annawan, Ill., in 2008 has blos-somed into a regional econom-ic impact of $1.1 billion some five years later. The plant, along Interstate 80, each year processes millions of bushels of corn from 220,000 truck-loads. From that grain, the plant has produced 120 million gallons of ethanol each year.

Sarah Brown/For Southwest Iowa Ag MagThe Farmers Cooperative Co. service station in Creston began selling E85 ethanol in August. Here, cars line up for a special sale of the E85 for 85 cents per gallon at the station. On an early October day, E85 was selling for $2.59 a gallon, compared to $3.29 for regular unleaded (E10) gasoline.

AG Mag 35

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36 Fall 2013

Sarah Brown/For Southwest Iowa Ag Mag The POET Biorefining ethanol production facility in Corning consumes about 23 million bushels of locally grown corn to pro-duce 65 million gallons of ethanol a year.


In 1983, corn was selling for $2.50 a bushel and farmers had a tough time making ends meet without government subsi-

dies.In response, the Broin Family started a

small ethanol facility on their farm in Wana-mingo, Minn. Today, POET Biorefining is the world’s largest ethanol producer.

Turning words into actionsAccording to General Manager Greg Olsen,

in 2007 Jeff Broin wanted to come up with a name that described what the company does, but more important, what it was focused on.

“A poet takes simple words and builds them into thoughts and ideas,” Olsen said.

“We take simple things from nature, like agriculture and corn, and we turn them into ethanol, dried distillers grains, corn oil and other products.”

While the scope of its vision has grown, POET’s main focus is reducing U.S. dependency on foreign energy, revitalizing

global agriculture, and providing a cleaner, affordable alter-native to fossil fuels.

Local benefitsCorning, Iowa, was chosen as the location for a new plant

primarily because of its proximity to a railroad, natural gas and water.

Actions speak louder than words

POET Biorefining builds community, industry the ‘green’ way

About POETPOET has defined the art of biorefining. Grown from

a single refinery in Scotland, S.D., POET is one of the world’s largest producers of ethanol and other biorefined products.

Greg Olsen

POET general manager

CONTINUED ON 38�

AG Mag 37

For Southwest Iowa Ag Mag Sen. Chuck Grassley of Iowa received

the 2013 Fueling Growth Award Sept. 10 from Growth Energy for his work to develop clean-burning, domestically produced ethanol. The award acknowl-edges that Grassley’s “hard work in Congress has made a significant con-tribution to the viability of the biofuels industry,” according to Growth Energy.

“I’m honored to receive this award today,” Grassley said. “I’ve long been a supporter of renewable fuels, start-ing with ethanol. Alternative energy sources reduce our dependence on foreign oil, increase national security and create jobs for American work-ers in addition to extending our fuel supply and lowering prices at the pump.”

The award is given annually by Growth Energy to members of Congress who support ethanol advancement and work to craft consistent and fair federal policy for the industry.

Grassley, a Repub-lican, has worked for many years to promote favorable federal policies in order to establish renewable fuels as an alternative to finite fossil fuels. Grass-ley advocates for the maintenance of the Renewable Fuel Standard. In August 2013, Grassley, along with Sen. Amy Klobu-char, D-Minn., urged the Federal Trade Commission to investigate possible anti-competitive practices by oil companies that may be limiting the competitiveness of renewable fuels.

Nationally, the U.S. Department of Energy estimates that for every one billion gallons of ethanol produced, 10,000 to 20,000 jobs are added to the

economy. In 2011, more than 400,000 jobs were created and supported by the ethanol industry, and production of ethanol contributed $42.4 billion to the national gross domestic prod-uct, according to the Energy Depart-ment.

The Iowa Renewable Fuels Asso-ciation reported that with 41 ethanol plants and 3.7 billion gallons produced in 2012, Iowa is the largest producer of ethanol in the country. According to the Iowa Corn Growers Association, Iowa’s ethanol industry supports 55,000 jobs and accounts for $5.4 billion of the state’s total economy.

Comprising many American ethanol producers and other organizations within the industry, Growth Energy represents producers and promotes ethanol production to “fuel America in ways that achieve energy indepen-dence, improve economic well-being and create a healthier environment for all Americans today.”

Grassley receives award for work to develop ethanol

U.S. Sen. Chuck Grassley Received 2013 Fueling Growth

Award

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“The one thing that was of concern was water,” Olsen said.

According to Olsen, despite the Lake Icaria watershed project that was implement-ed to draw industry to the area, POET didn’t want to use so much of the county’s water supply. So, an idea came about to use effluent water from the city of Corn-ing’s wastewater treatment facility to help offset some of the cost to the city.

Olsen said wastewater used to be treated by a treat-ment facility and flow into a river. Now, the water is par-tially treated and flows into POET’s Corning plant.

“By doing that, we are sav-ing 40 percent of the water we would have used from Lake Icaria,” Olsen said. “It’s a little more expensive for us to do that, but it helps the city out.”

ProductsPOET, a biorefinery, pro-

cesses corn and makes etha-nol, dried distillers grains, and corn oil.

“So, you are getting two kinds of fuel out of that same kernel of corn – ethanol and biodeisel,” Olsen said.

Inside the 730,000-gal-lon fermentor at Corning’s POET plant, up to 20 per-cent becomes ethanol. The remainder goes through a distillation process to pull off the ethanol, the water is removed, and what remains is a product called “wet cake,” which some farmers feed to their stock or is further dried into distillers grain.

“It’s a very nutritional product because of its high protein content,” Olsen said.

The future“This year, we are going to

send $300 billion to places that don’t even like us,” Olsen said. “We can make it right here in the United States. That’s $300 billion into our economy. Imagine the kind of jobs it would create.

“Our position is, we don’t expect the country to go 100 percent ethanol, but put it out there on an equal setting and let the consumer decide what they want to use.”


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40 Fall 2013

Iowa farmers talk GMO LAURIE JOHNS

Iowa Farm Bureau“Between the Lines”

H undreds of protest-ers, many who have never been on an Iowa farm, headed to our state recently to protest

progress in farming. They don’t believe in genetically modified crops, and no amount of peer-reviewed science or speeches from Nobel laureates will convince them otherwise.

Just as they have the right to voice their opinions and be heard, the Iowa men and women who spend years in the field growing your food also hope you will hear their stories, and let com-mon sense prevail.

That’s because for decades, these thousands of Iowa farmers have seen what progress in farming can do.

Q�Q�QPaul Vaassen has been growing corn

and beans on his Dubuque County

farm since 1962. Although he’ll proudly admit to being “old fashioned,” he says there are some things that nostalgia can’t cure, like hunger.

“I don’t ‘think there’s any doubt in my mind that the genetic improvements that seed companies have developed have given us the opportunity to see greater yields, despite what Mother Nature can dish out,” Vaassen said. “We can’t forget that feeding people is really what this is all about.

“Last year, for example, we were very dry, and even though yields were not up to what we considered ‘normal’, they were much better than, say, 10 to 15 years ago when we had the same drought conditions but didn’t have these great seeds that were more resis-tant to drought or pests.

“Years ago we used planters with seeds in one box and insecticide in

another, which meant we were using a lot more insecticide. I’m happy that old planter sits idle on my farm now, because our GMO seeds help us defeat pests like rootworm and corn borer,” says Vaassen.

Q�Q�QRoger Zylstra, a longtime corn, soy-

beans and hog farmer from Jasper County, has seen a lot of changes, too. If he can be more productive and more sustainable, he can also keep farming in the family, and that’s why he favors GMO crops.

“The reality is we’re trying to build and grow for the future,” Zylstra said. “My youngest son just came back full time to the farm. I work hard to build a sustainable farm for his return and only innovation helps us do that.”

CONTINUED ON 41�

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AG Mag 41

Innovation has brought incredible progress to Iowa farms. Between 1980 and 2010, U.S. farmers nearly doubled corn production, yet thanks to better seeds, better equipment and conserva-tion practices, are using less fertilizer than they put on the ground back when Zylstra and Vaassen first got started farming all those years ago. According to data from the U.S. Department of Agriculture’s (USDA) National Agricul-tural Statistics Service (NASS), farmers grew 6.64 billion bushels of corn using 3.9 pounds of nutrients (nitrogen, phosphorus and potassium) for each bushel in 1980. Just a couple years ago, that yield busted the bins at 12.45 bil-lion bushels, using 1.6 pounds of nutri-ents per bushel produced. I’m no math genius, but by any assessment, that’s more than an 87 percent increase. How many other industries can claim that?

When you look at the science, the

numbers, the sustainability that GM crops bring and meet the men and women who grow your food, it’s hard to swallow the hysteria that the “anti” crowd is selling. Young farmers just get-ting started believe it’s the “disconnect” that folks may have today with farmers; they just haven’t met one.

Q�Q�Q

Colin Johnson is a young family farm-er from Wapello County who grows corn, soybeans and hay. He says the farmers growing food today have more in common with folks asking the ques-tions than many realize. Knowledge-

seeking is a good thing, so long as both sides are sought out.

“Of course GMO is safe,” Johnson said. “Of course it’s all about feeding more people. But the bottom line for me is that, as a family farmer with young kids, I’m not going to put anything in the ground that’s not safe for us, or our envi-ronment. We’re eating this food, too.”

Progress has brought us safer cars, cellphone coverage in the country, the Internet, and countless improve-ments in the fields of health care and fitness. Progress also has brought consumers more choices at the gro-cery store, and that includes healthier choices from GMO food: fortified with calcium, vitamin A, and other vitamins and minerals. Providing choices is what keeps farmers moving forward.

“The farming practices we’ve used, the no-till and everything, it’s a great advance from where we were,” Zylstra said. “I have no doubt we will continue to move forward. That’s what we do.”


’’‘‘ Of course GMO is safe. Of course it’s all about feeding more people. But the bottom line for me is that, as a fam-ily farmer with young kids, I’m not going to put anything in the ground that’s not safe for us, or our environment.

We’re eating this food, too.Colin Johnson, Wapello County farmer

’’‘‘ Years ago we used planters with seeds in one box and insecticide in another, which meant we were using a lot more insecticide. I’m happy that old planter sits idle on my farm now, because our GMO seeds help us defeat

pests like rootworm and corn borer.Paul Vaassen, Dubuque County farmer

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42 Fall 2013

BY STEPHANI FINLEYFor Southwest Iowa Ag Mag

E nergy crops may be the wave of the future for Midwest farmers.

Southwestern Com-munity College in Creston has been growing perennial grasses through its agriculture program since 2010.

Erika Blair, agriculture instructor at SWCC, said energy crops are an added educational component to the college’s ag programs.

“The advantage is, instead of just being corn and cattle, expanding an agronomy field and looking more into the different parts of the agriculture industry,” Blair said. “The biofuels and the biomass crops are obviously some-thing that’s very up right now in inter-est.”

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In the photo This plot of perennial grasses at

Southwestern Community College is being used for education and reseach of biomass crops. The tall grases in the back are Miscanthus ! giganteus, which along with native switch grasses are grown as an energy crop. (Photo by Stephani Fin-ley for Southwest Iowa Ag Mag)

CONTINUED ON 43�

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AG Mag 43

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Contributed photo Danielle Wilson, research assistant with the Department of Agriculture at Iowa State University, demonstrates the height of the perennial grass Miscanthus ! giganteus at a plot site at the university.

According to Emily Hea-ton, assistant professor in biomass crop production at Iowa State University’s Department of Agronomy, the SWCC site was chosen because it is a visible dem-onstration and teaching site, “perfect for getting the word out about perennial bioener-gy crops in southwest Iowa.”

Heaton’s interest in peren-nial grasses was inherited from her father, John D. Caveny of Illinois.

The beginningCaveny is president of Envi-

ronmentally Correct Con-cepts Inc. of Monticello, Ill.

In 2002, ECCI, University of Illinois Department of Crop

Sciences and Dynegy Mid-west Generation of Baldwin, Ill., received three grants from the state of Illinois, which funded renewable-energy research programs to assess the feasibility of grow-ing Miscanthus x giganteus.

Miscanthus, a cool-season relative of sugar cane, was planted on Caveny Farm in May 2002. At the end of a suc-cessful three-year research period, remaining Miscan-thus reverted to Caveny Farm. In 2008, Caveny Farm and the Sun City, Fla., company Speedling Inc. came to an agreement whereby Speed-ling propagates and sells plugs of the Illinois clone of Miscanthus originating from Caveny Farm.


CONTINUED ON 44�

44 Fall 2013

Stephani Finley/For Southwest Iowa Ag Mag The Southwestern Community College agronomy class students and instructor Erika Blair (far right) installed this sign in front of the perennial grass crops to help educate the public about biomass crops.

BenefitsBlair has used the large plot of peren-

nial grasses south of the ag building to educate students and the public about the benefits of energy crops.

“Any kind of exposure to the students of something different other than what they are used to is a good educational purpose,” she said. “From my stand-point here at SWCC, any time you can educate the students a little bit more, give them hands-on experience with a different situation, that’s the most valu-able part for me.”

Heaton said in addition to their edu-cational value, energy crops have many uses.

“Generally speaking, our goal with energy crops in Iowa is to use them in a multifunctional way,” Heaton said. “That is, they can provide not only a crop to sell for farmers, but also a lot of environmental benefit. Plants cap-ture CO2 from the atmosphere every year, and through photosynthesis,

turn it into plant bio-mass.

“That biomass can then be burned, like coal for electricity, or converted into petro-leum replacements like gasoline or diesel. It could also be turned into ethanol.”

ResearchDanelle Wilson,

ISU research associ-ate, said the SWCC program also is being used by ISU for reseach.

“We have been using them to teach SWCC students about energy crops and working with students to collect some research data about plant growth and yield,” Wilson said. “We have had ISU Extension workshops at SWCC and use the plots to show people what they can expect on their own farms.

“These grasses are not like your lawn

or pasture – they can get pretty big. Some-times people just need to walk into one of the plots to really experi-ence the difference.”

Wilson said peren-nial grasses that have leading potential in Iowa are switchgrass (Panicum virgatum L.) and Miscanthus (Mis-canthus ! giganteus), as well as prairie cordgrass (Spartina pectinata), Big blue-stem (Andropogon gerardii) and Indiangrass (Sorghas-trum nutans). Switchgrass has been studied across the Midwest for several decades, mainly because it is native to the area and was once on the tall grass prairie. The Department of Energy and others have labeled it as a “model” bioenergy crop.


CONTINUED ON 46�

Emily Heaton

Assistant professor in

biomass crop production at

Iowa State University

John Caveny

President of Environmentally

Correct Concepts Inc. of

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AG Mag 45

46 Fall 2013

Crop of the futureWilson said energy crops can be an

advantage to Midwest farmers.“Midwestern farmers should adopt

perennial grasses as part of their ‘port-folio’ of crops to diversify their crop-ping systems,” she said. “Diversifica-tion of cropping systems will impact environmental, social and economic changes, including improved water and soil, increased microbial activity, increased soil carbon, more jobs and markets when bioenergy companies become more widespread, among many other things.

“Diversification across the landscape will provide many ecosystem services while producing biomass from the land. Although the biomass crops may not be as high yielding as the traditional and more conventional corn system, the benefits in the long term will outweigh those in the short term.”

Blair said she has found the peren-nial grasses to be hardy during weather extremes this year.

“From what I’ve seen out here the past two years, in a drought situation it’s grown well and still has high yield,” she said. “I think it’s more tolerant to weather conditions, more so than maybe corn and soybeans.”

Blair said perennial grass also will grow in areas where corn and soybeans won’t.

“It does well, like on hillsides, where

corn won’t grow, or terrace areas,” Blair said. “If they can still use that in a valu-able way and receive some profit for it, I think it has a place.”


Contributed photo John Caveny inspects a crop of miscanthus at his farm in Illinois.

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AG Mag 47

BY BAILEY POOLMANFor Southwest Iowa Ag Mag

Edward Evans’ farm has been in the family for years – 123, that is.

Evans’ century farm, located in Mer-cer County, Mo., was bought by his grandparents Ed and Lucy Klinginsmith in 1890. They grew corn, hay and oats and raised hogs and beef cattle on the more than 400-acre property. Limestone found on the land had been used in caves and wells around the Missouri county.

“He had quite a few cattle,” Evans, 74, said. “He had quite a herd of cattle at one time. Of course, he had some horses. Back then, they farmed with horses.”

ALL IN THE FAMILY Evans farm in

Mercer County, Mo., dates to 1890

Bailey Poolman/For Southwest Iowa Ag Mag Edward Evans owns 215 acres of farmland west of Princeton, Mo., in Mercer Coun-ty. Evans, his son Jim, and grandson Chad farm and raise animals on the land. CONTINUED ON 48�

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In 1910, the Klinginsmiths built a house on the property, where the fam-ily lived until it was struck by lightning and destroyed by fire in 1993. A mobile home was built in its place. A barn also was built in the 1890s, and stood until wind destroyed it in 2007. A new barn was built in its place using materials from the original building.

The Klinginsmiths had five daughters, and two of them inherited the farm in 1945. Half of the farm was sold before Evans and his wife, Willalee, gained ownership in 1980.

Pointing at land across the road from his farm, Evans said, “There was about

400 acres altogether, counting that, but when the old folks died they divided it up among family.” Evans said 200 acres was sold.

After Evans’ aunts sold half of the property, 218 acres were left. Evans gave three acres to his grandson and his fam-ily to live on, and he maintains the rest.

“I raise cattle, beef cattle, and hay, some soybeans,” Evans said. “I married pretty young, and farmed my whole life.”

Today, Evans’ son and grandson farm the property. They have 50 acres of crop, and raise animals on the remain-ing 165 acres.

Bailey Poolman/For Southwest Iowa Ag Mag Edward Evans stands in front of the barn that was built in 2007 after the original barn was destroyed by wind. Evans inherited the farmland in 1980, and he, his son and grandson now work the land.

Contributed photo Ed and Lucy Klinginsmith bought proper-ty in 1890, and that same property is now owned by their grandson Edward Evans.


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AG Mag 51

BY STEPHANI FINLEYFor Southwest Iowa Ag Mag

For more than 100 years, Iowa State Extension has offered services to edu-cate and extend knowledge to strength-en Iowa’s economy and citizens’ quality of life. Those programs and services have been virtually unchanged throughout its history.

“There hasn’t been any consolidations in the state,” said Carol LaFaver, region 18 director. “There are still 100 offices in the state of Iowa.”

Region 18 covers eight counties in southwest Iowa – Adair, Adams, Cass, Clarke, Decatur, Ringgold, Taylor and

Union counties.Pottowatamie County is split with two

offices.In 2009, Iowa State Extension saw the

most changes in its history, but even those had little impact on the services offered.

“The changes were mostly internal in the system,” LaFaver said. “Before, counties would send money to the university, and the university would administer payrolls, HR, a whole slew of things. They would cover the benefits and all of that.”

Each county has a tax levy, based on property valuations, that goes to sup-

port the local Exten-sion office.

When Iowa State University administra-tion realized it could no longer continue to fund the administra-tion of the extension offices, it implement-ed some changes.

“So what they did, is they returned the money to the coun-ties,” LaFaver said. “So now you’re going to manage your own money. That’s why staffing is different than it used to be, but how we do business is still the same.

“We’re still doing programming. We’re still doing outreach to families, youth, farmers, the community in gen-eral.”

Extension serves Iowa counties even through changing times

In the photo Deb Hall (with microphone) is honored during the Adair County Fair as the 2013

Adair County inductee into the Iowa 4-H Hall of Fame for her service as a 4-H’er, 4-H leader and nearly 20 years as director of Adair County Extension. (Photo by Stephani Finley for Southwest Iowa Ag Mag)

Carol LaFaver

CONTINUED ON 52�

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Each county has a nine-member council, chosen in the general election, to make decisions at the local level.

“Now what happens, the nine-mem-ber council along with staff will look at their staffing pattern and say, ‘We need this staff to do youth programming’ or ‘families programming.’ They make

those decisions,” LaFaver said. “They manage their money locally.”

Beginning in 2012, and over the next several years, county extension offices throughout Iowa will celebrate their 100-year milestones of organized extension work and the hiring of their first county

agents.Adair County Extension in Greenfield

will celebrate its 100th anniversary in 2016.

With staffing changes that took place in 2009, that office now has two full-time employees and three part-time.

Office Manger Angela Engles and 4-H coordinator Donna Wallace are the full-time employees.

Engles said the Adair County staff

changed slightly with the 2009 restruc-turing.

“We readjusted who’s responsible for what,” she said. “We kept the same staff right after 2009 restructuring. Deb Hall [former education director] had been a great leader for years, and she helped

in a different role to get us through that transition until she was ready to retire.

“We really have a great team here.”LaFaver said Extension is dedicated

to continuing its goal of providing ser-vices to local communities well into the future.


Angie Engles

Ty Rushing/For Southwest Iowa Ag Mag Iowa State University Extension and Outreach Region 8 Director Rich Wrage works in his Marshall County office. Wrage oversees ISU Extension’s operations in Boone, Hardin, Marshall and Story counties.

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AG Mag 53

Revenue Protection Beyond Crop Insurance With harvest well underway throughout the country many producers are asking the question, “Should I sell my grain now or store it?” At the time of this writing, December corn futures are trading roughly $2 per bushel lower than during the same period last year, and November soybean futures are about 50 cents lower. Nobody likes to sell grain in a falling market and this couldn’t be more evident than in 2013. Farmers have reportedly sold a record-low amount of grain ahead of harvest. Following several years of record land and grain prices, huge crop insurance guarantees, and low interest rates the best grain marketing strategy has been to wait and sell at harvest. That strategy hasn’t worked this year… so now what? Crop insurance has become the most widely used (and misused) risk management tool by farmers. The most common policy is the Revenue Protection (RP) plan, which allows a grower to buy “guaranteed revenue” based on their average production and the higher of spring or harvest price.* The grower receives an indemnity payment if actual revenue falls below the guarantee level. If used correctly, this type of policy can help growers take advantage of higher prices before knowing their actual production and can prevent growers from having to sell grain dur-LQJ�SULFH�EUHDNV��,Q�EXOOLVK�PDUNHWV�WKH�SROLF\�KDV�WKH�EHQH¿W�RI�D�UHDGMXVWLQJ�SULFH�FRPSRQHQW�WKDW�DOORZV�JURZHUV�WR�WDNH�DGYDQWDJH�RI�KLJKHU�SULFHV�ZLWKRXW�KDYLQJ�WR�VHOO��,Q�EHDULVK�PDUNHWV�WKH�JURZHU�KDV�D�³SULFH�ÀRRU´�DQG�GRHVQ¶W�IHHO�WKH�QHHG�WR�SULFH�JUDLQ��,Q�HVVHQFH��FURS�LQVXUDQFH�incentivizes farmers to hold off on sales until the policy expires. Currently, crop insurance policies have expired. A common mistake when policies expire is to store grain and wait for higher prices. One must realize that after policy expiration there is no more “guarantee”. If you decide to store grain and wait for higher prices, you are speculating. Instead, consider putting a price protection package together that will reestablish guaranteed revenue for your crop. There are several ways of accomplishing this, but the following examples demonstrate two concepts that every producer storing grain should understand:

1. If the market is paying a premium at harvest (prices are higher than in deferred months), NEVER store your grain. Storing grain in this environment means you are willing to pay the market to store your own grain! If you believe prices will increase, look to re-own with futures or buy a call in the deferred months with the extra money you will make from selling grain now (cheaper than nearby prices and gives you a lot of time).

2. When deferred prices are higher than current prices it means the market is paying you to store grain. In order to properly capitalize on this you should forward contract the grain when you decide to store in order to lock in those higher prices. If you believe current prices are “too low”, use some of the extra money made by storing the crop to buy a call option. Generally speaking, crop insurance is the most powerful and effective risk management tool on the market. However, utilizing a few additional tools alongside your insurance policy will enable you to realize its full potential.

* Unless the grower elects for a harvest price exclusion policy (RP-HPE).

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54 Fall 2013

For Southwest Iowa Ag Mag Iowa Soybean Associa-

tion (ISA) CEO Kirk Leeds was elected vice chairman of the U.S. Soybean Export Council (USSEC) during the group’s annual meeting in September at the 2013 U.S. Soy Global Trade Exchange conference in Davenport.

Laura Foell of Schaller, who also is involved with the United Soybean Board (USB), was elected USSEC secretary. John Heisdorffer of Keota and USB Chairman Jim Stillman of Emmetsburg also serve on the USSEC board. All three are ISA board members and soy-bean farmers.

“Iowa is the leading pro-ducer of soybeans in the country and, understanding that nearly 60 percent of our crop is exported, anything we can do to help expedite

the sale of soybeans for Iowa farmers is important,” said Leeds, who is serving his third year on the USSEC board. “Iowa farmers are great spokespeople for the soybean industry. The soy-bean customers around the world recognize the Iowa brand, and this reinforces to customers that our state and nation are quality sup-pliers.”

Foell looks forward to her new role on the national export council.

“I think it will help Iowa soybean farmers because we are in the heart of soybean country,” Foell said. “There are many markets for our soybeans, … and we want to make sure those markets are open.”

To learn more about ISA, go to www.iasoybeans.com.

Iowa Soybean Association leaders assume roles with national export group

Iowa Soybean Association CEO Kirk Leeds has been elected vice chairman of the U.S. Soybean Export Council.

We salute our area farmers and agriculture industry for their contributions to our local, national and international communities. Their efforts plant the seeds for prosperity, nourishing our bodies

as well as our economy.

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AG Mag 55

BY AMY HANSEN OSTFor Southwest Iowa Ag Mag

Iowa’s 4-H organizations are leading the way when it comes to day-to-day technology.

Specifically, 4-H groups in Iowa are setting an examples from transition-ing to paper copies and forms to using the Internet when enrolling or re-enrolling in the club.

A couple of years ago, the state’s 4-H organizations started using a system or database called “4-H Online.”

“At that time, many other states were watching Iowa because they thought this was really neat,” said Jennifer Pollard with Iowa State Uni-versity Extension Office in Clarke County. “So, we were kind of one of the pilot states in seeing 4-H Online get off the ground.”

How it worksThe way the database works is, instead

of youths or parents filling out all the hardcopy enrollment forms, they can use their own email address, choose their own password for the system and

put their information in online.Club leaders may also use 4-H Online.The online forms ask general informa-

tion questions, but also what the youth is specifically interested in.

Each year, 4-H youths have to re-enroll, and instead of families filling out the same information on paper year after year, 4-H Online saves it all.

“You don’t have to recreate the wheel or start over every time,” Pollard said.

“It saves all of that.”4-H Online allows families to log in

during evening hours when extension offices are typically closed. The website is also helpful when it comes to enter-ing animals in county fairs.

“It’s an amazing database,” Pollard said, “and I’ve heard great comments, and other states are still watching Iowa to see what we do and how we work with families. It’s a very neat program.”

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“The Bank that Service Built”

56 Fall 2013

BY NANCY DEGNERIowa Beef Industry Council

After participating in a pilot program at schools around the country, many students and school food service direc-tors agree: The Rock and Roll Beef Wrap is delicious and nutritious. The same goes for Spy Thai Beef, Sweet Potato Beef Mash-up, Wrangler’s Beef Chili and Sweet ’n Sloppy Joes.

“Awesome” was a common compli-ment from youngsters who taste-tested and named five all-new ground beef recipes created by the Beef Checkoff Program for school lunches. School food service directors noted the “homemade” flavor of the recipes and the use of economical, widely available ingredients. Another sell-ing point for school staff? The meals pair the timeless appeal of ground beef with “generous’ amounts of veg-etables that young people might not otherwise consume.

School lunches with a twist New beef recipes on school menus get students’ approval

Rock and Roll Beef WrapsTotal Recipe Time: 35 to 45 minutesMakes 4 servingsINGREDIENTS1 pound Ground Beef (93% lean or leaner)1 cup water1/3 cup uncooked quinoa2 tablespoons dry ranch dressing mix1/4 teaspoon black pepper2 cups packaged broccoli or coleslaw mix4 medium whole grain or spinach tortillas (7

to 8-inch diameter)Toppings (optional):Apple slices, red bell pepper strips, cucumber slices, carrot slices, sliced almonds

or chow mein noodlesINSTRUCTIONSHeat large nonstick skillet over medium heat until hot. Add Ground Beef; cook 8

to 10 minutes, breaking into 1/2-inch crumbles and stirring occasionally. Remove drippings.

Stir in water, quinoa, ranch dressing mix and pepper; bring to a boil. Reduce heat; cover and simmer 10 to 15 minutes or until quinoa is tender. Stir in slaw; cook, uncovered, 3 to 5 minutes or until slaw is crisp-tender, stirring occasionally.

Divide beef mixture evenly among tortillas; garnish with toppings, as desired. Fold over sides of tortillas and roll up to enclose filling.

CONTINUED ON 58�

AG_Mag_Hlfpg_Horz_Gabe_Adair.indd 1 10/22/13 9:03 AM

AG Mag 57

Sweet Potato Beef Mash-UpsTotal Recipe Time: 30 to 35 minutesMakes 4 servingsINGREDIENTS1 pound Ground Beef (93% lean or leaner)1/2 cup water, divided4 teaspoons taco seasoning mix, divided1 large sweet potato, cut into 1/2-inch cubes1 medium yellow onion, chopped1 tablespoon vegetable oil1/4 cup Greek or regular nonfat yogurt1/2 to 1 teaspoon hot pepper sauceChopped fresh cilantroSmall whole wheat flour tortillas (6 to 7-inch diameter),

warmed (optional)INSTRUCTIONSHeat large nonstick skillet over medium heat until hot. Add

Ground Beef; cook 8 to 10 minutes, breaking into 1/2-inch crumbles and stirring occasionally. Remove drippings. Stir in 1/4 cup water and 2 teaspoons taco seasoning; cook 3 min-utes. Remove from skillet; keep warm.

Combine sweet potatoes, onion, remaining 1/4 cup water and 2 teaspoons taco seasoning in same skillet. Bring water to a boil. Reduce heat; cover and simmer 10 minutes, stirring once. Remove lid; stir in oil; continue cooking, uncovered, 4 to 6 minutes or until potatoes are tender and begin to brown, stirring frequently. Return beef mixture to skillet; continue to cook 2 to 4 minutes or until heated through, stirring occa-sionally.

Meanwhile, combine yogurt and hot sauce, as desired, in small bowl.

Evenly divide beef mixture into tortillas, if desired. Garnish with cilantro and serve with yogurt mixture, as desired.

Sweet ’n Sloppy JoesTotal Recipe Time: 35 to 40 minutesMakes 4 servingsINGREDIENTS1 pound Ground Beef

(93% lean or leaner)1 cup diced bell pep-

pers (red, green, yellow or orange)

1/2 cup chopped onion

1 can (8 ounces) tomato sauce

1/2 cup water1/2 cup dark or golden raisins2 teaspoons ancho chile powder1 teaspoon dried oregano leaves4 whole wheat hamburger buns, splitToppings (optional):Chopped mango, chopped jalapeño, chopped tomato,

chopped fresh cilantro, sliced green onion, shredded reduced-fat Cheddar cheese

INSTRUCTIONSHeat large nonstick skillet over medium heat until hot. Add

Ground Beef, bell pepper and onion; cook 8 to 10 minutes, breaking beef into 3/4-inch crumbles and stirring occasion-ally. Remove drippings.

Stir in tomato sauce, water, raisins, ancho chili powder and oregano; bring to a boil. Reduce heat; simmer, uncovered, 15 to 18 minutes or until sauce thickens slightly, stirring occasionally.

Evenly divide beef mixture on bottom half of each bun. Garnish with toppings, as desired; close sandwiches.

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58 Fall 2013

“The Iowa Beef Industry Council has shared the new recipes with school food service directors across the state,” said Scott Niess, of Osage, chairman of the Iowa Beef Industry Council. “The recipes were triple-tested in the check-off’s test kitchen. The national beef checkoff and state beef councils in Colorado, Kansas, Kentucky, Missouri and Washington then worked with local school districts to field-test the recipes and gather feedback from students and foodservice directors.”

Perhaps most important, the recipes help meet new government nutrition guidelines for the national school break-fast/lunch program. The five beef recipes meet all school nutrition guidelines for fat, calories and sodium and help incor-porate a variety of food groups, such as meat, vegetables and grains, into meals. The recipes all contain 10 essential nutri-ents, including fiber, which was recog-nized as a nutrition concern in the 2010 Dietary Guidelines for Americans.

“We are providing the quantity recipes through our food service website, www.beeffoodservice.com, to help ensure beef remains on school lunch menus as a nutritious, delicious meal option for our children,” Niess said.

Family-size recipes are available at www.beefitswhatsfordinner.com.

��CONTINUED FROM 56 Wrangler’s Beef ChiliTotal Recipe Time: 40 to 45 minutesMakes 4 servingsINGREDIENTS1 pound Ground Beef (93% lean or leaner)1/2 cup chopped onion1 can (15 ounces) pinto beans, drained and rinsed2 cans (8 ounces) no-salt added or regular tomato sauce1 cup frozen corn1 cup water2 teaspoons chili powder2 teaspoons ground cumin1 teaspoon garlic powder1 teaspoon dried oregano leaves1/4 teaspoon pepperHot cooked whole wheat macaroni (optional)Toppings (optional):Crushed baked tortilla chips, chopped green

or regular onion, chopped tomato, chopped bell pepper, chopped fresh cilantro, reduced-fat shredded Cheddar cheese, nonfat Greek yogurt

INSTRUCTIONSHeat large nonstick skillet over medium heat until hot. Add Ground Beef and

onions; cook 8 to 10 minutes, breaking beef into 3/4-inch crumbles and stirring occasionally. Remove drippings.

Stir in beans, tomato sauce, corn, water, spices and herbs. Bring to a boil. Reduce heat; cover and simmer 20 to 25 minutes, stirring occasionally. Serve over baked potatoes, if desired. Garnish with toppings, as desired.

Cincinnati-Style Beef Chili: Stir in 1 teaspoon cinnamon with other seasonings in Step 2. Serve over hot cooked whole wheat spaghetti.

Moroccan-Style Beef Chili: Substitute 1 cup frozen peas for corn. Stir in 1 tea-spoons pumpkin pie spice with other seasonings in Step 2. Serve over whole hot cooked whole wheat couscous or brown rice.

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60 Fall 2013

M any of you look at bees and classify them as an insect. You’re not wrong. But bees are not a harm-

ful insect; they are a beneficial insect.Honey bees are just a class of livestock

that man has put to good use for his benefit. They take plant pollen and use it is as a food source; they also take nec-tar from plants and create honey.

Herein lies the dilemma: Man, in his quest to produce high yields of corn and soybeans, has basically ignored the plight of the honey bee and other pol-linators!

Most beehives are kept in rural areas; the bees in those hives can be exposed to pesticides. Insecticides are far and away most harmful to pollinator popu-lations. Fungicides and additives also can have a negative impact on pollina-tors, while herbicides seldom have an adverse effect, since the site of action is found in plants and not insects. Seed

treatments can be harmful to pollina-tors, too.

The most important tool in protect-ing pollinators from pesticide exposure is communication between growers, beekeepers, neighbors and agriculture professionals. Communication would allow beekeepers to take the appropri-ate action to protect their hives from pesticide exposure.

Corn and soybeans are the prevalent crops grown in this region and, in most cases, receive multiple pesticide appli-cations. Some growers use a burn down

application and some don’t. Some use a post-emergent application and some use an application of a fungicide, which, in most instances, includes an insecticide. Corn gets two to three applications of pesticides per year. Soy-beans usually get the same.

So what can you, as an individual crop producer and pesticide applicator, do to improve the chances for honey bees and other pollinators to survive and thrive?

Understand the growth and develop-ment phases of the crop you are growing. Pollination and flowering are two phases that are most attractive to pollinators.

Many pollinators use corn pollen as a food source. Pollinators are attracted to soybeans, too, and soybeans, although they are a self-pollinating crop, can benefit from pollinators – that is, the crop could produce higher yields.

Pesticides present pitfalls for bees

DAVID FELTES

Director, Whiteside County (Ill.) Soil and Water Conservation District Board

CONTINUED ON 61�

AG Mag 61

What’s the bottom line?– Beekeepers should register their api-

ary locations at www.driftwatch.org, while applicators should check the site for hives within a mile of the planned pesticide application.

– Treat when necessary, but not for prophylactic reasons. How many of you would get a quadruple bypass just in case you would have a heart problem?

– Time applications so they will have a minimal impact on pollinators visiting the field (late in the evening or early in the morning). Mid-morning through afternoon is the worst time to apply. Warm temperatures early and late into the day will allow pollinators to fly ear-lier and later in the day.Q Do not spray when it is windy to

avoid drift problems.Q Choose pesticides and formulations

that are not highly toxic to bees. In other words, read the label or material safety data sheet (MSDS).Q Check field borders and other areas

within the field for blooming plants that honey bees and other pollinators might be foraging on and follow label directions if a pesticide application is necessary.

In my apiary, I have 24 hives and the extrapolated dollar value on a per acre basis (if I would have an acre of produc-

ing hives) they produced in honey last year was $72,000. How many acres of corn or soybeans would you have to grow to produce that same dollar value? How much is a hive of bees worth? The figure I’ve heard most often is $2,000. So, how much is your stock cow, steer, dairy cow or brood sow worth? Some more or some less than a good hive of bees.

The point is that honey bees are valu-able, produce a viable commodity, and need protection from the willy nilly spraying they are exposed to.

So, as a pesticide applicator, rural or urban, the ball is in your park. Know

where the beehives are in the area where you are applying a pesticide and notify the beekeeper at least 24 hours in advance so he can take proper pre-cautions. The decisions you make as to what and when to apply can have either a positive or negative impact.

Remember, communication is the most important tool available.

David Feltes is a director on the White-side County (Ill.) Soil and Water Conser-

vation District Board and a beekeeper. He also is retired from the University of

Illinois Extension, where he was an inte-grated pest management educator.

Photo submitted by David Feltes


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62 Fall 2013

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AG Mag 63

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