Tuesday April 23 Ag News

Flood Damage and Prevented Planting 
Jessica Groskopf - NE Extension Educator for Agricultural Economics

Depending on the extent of flood damage on your property, you may qualify for crop insurance prevented planting payments. This article will review the final planting dates and late planting periods, and highlight some unknowns and considerations as you assess the damage to your property.

Prevented planting payments are available for both revenue and yield protections policies, but not for Area Risk Protection Insurance. Eligibility for prevented planting payments will be determined on a case-by-case basis.

2019 Final Planting Dates and Late Planting Dates
For all counties in Nebraska, regardless of flood damage, the final planting date for corn is May 25, and the end of the late-planting period is June 14. The final planting date for soybeans is June 10, and the end of the late-planting period is July 5. Farmers may be eligible for prevented planting crop insurance claims if acres have not been planted by the final planting date of the crop. For a farmer to be eligible for a prevented planting payment, prevented planting must be general to the surrounding area.

According to the Risk Management Agency, “Prevented planting is the failure to plant the insured crop by the final planting date designated in the Special Provisions for the insured crop in the county, or with in any applicable late planting period, due to an insured cause of loss that is general to the surrounding area and that prevents other producers from planting acreage with similar characteristics. Failure to plant because of uninsured causes such as lack of proper equipment or labor to plant acreage, or use of a particular production method, is not considered prevented planting.”

The severe flood has caused extensive damage to some farms. Farms may be eligible for prevented planting payments based on inability to farm the ground due to silt/sand/debris deposits, inability to enter the farm property from damaged roads and entries, and damaged irrigation systems or wells. Regardless of the reason you are claiming prevented planting, keep detailed records of the event. Records include pictures of the damage and any seed/chemical/fertilizer orders that were in place to show original intention to plant the acres.

The prevented planting payment is 55% of the final guarantee for corn and 60% for soybeans.

If you are prevented from planting, and you do not intend to plant the crop during the late planting period, you need to provide notice to your insurance agent within 72 hours after the final planting date.

Example of a Prevented Planting Calculation
A farm has a Revenue Protection policy with a 75% coverage level. The 2019 projected price for corn is $4 per bushel. A farm with a 200-bushel Actual Production History (APH) would guarantee this farm $600 per acre (200 bushels X 75% X $4.00). If the farm qualified for a prevented planting payment, the payment would be $330 per acre ($600 X 55%).

Late Planting
Farmers can plant a crop after the final planting date and still receive crop insurance coverage. However, the crop insurance coverage will be reduced 1% per day after the final planting date, for 25 days (the late planting period). You are not obligated to plant in the late planting period.

Unknowns
Farmers who have existing or “carryover” policies may qualify for prevented planting payment as a result of the flooding.

The bigger question is for new insureds. The crop insurance sales closing date for corn and soybeans in Nebraska was March 15. Insurance coverage for a new insured does not begin until the sales closing date. Insured causes of loss occurring before this time, are not covered. Depending on the location of the farm, this sales closing date could have occurred after the flooding event. Farmland with new policies may not be eligible for crop insurance indemnities related to the flooding.

Considerations for 2019
Leave ground idle. After notifying your crop insurer of a prevented planting situation, you can leave the ground idle until the following crop year.

Planting soybeans rather than corn. If you are unable to plant a corn crop during the corn-planting period, you still may be able to put in a soybean crop. Notify your crop insurance agent of changes of crop planting intentions.

Plant a cover crop. A cover crop can be planted on acres declared as prevented planting. However, to receive the full prevented planting payment, the cover crop cannot be grazed or hayed before November 1 or otherwise harvested at any time. If the cover crop is planted during the late planting period and grazed or hayed before November 1, no prevented planting payment will be made. If the cover crop is planted after the late planting period and grazed or hayed before November 1, you will receive 35% of the prevented planting payment.

For specific questions regarding your insurance policy, contact your crop insurance agent.



Iowa Swine Day 2019 Expands Educational Offerings

The 2019 Iowa Swine Day will offer pork producers an agenda of expert speakers who will address current issues affecting the industry. Topics will include the status of and response to African Swine Fever, what makes a biosecurity program successful, improving company culture, precision pork production and feeding the high-producing sow. The event will be hosted by the Iowa Pork Industry Center at Iowa State University, Ames, on June 27.

“Iowa Swine Day is a great opportunity to learn, network and build relationships within the swine industry,” said Jason Ross, Iowa Swine Day committee chair. “The topics being discussed at this year’s event are a result of direct input from pork producers who let us know what topics are important to them.”

The morning session will feature Dr. Frank Mitloehner from the University of California-Davis, who will explore how improvements in livestock production efficiencies, genetics, nutrition and veterinary care can help meet the increasing demand for animal protein as the world’s population grows, without depleting natural resources.

Dr. Wes Jamison from Palm Beach Atlantic University will share how “Gen Z” consumers influence the pork industry, and Troy Van Hauen of Accelerated Performance Technicians will present a mini-workshop on how to improve your company’s culture by developing and exemplifying a standard of leadership principles.

The afternoon will be structured into four concurrent breakout sessions with 16 presentations to choose from. Some of the afternoon topics include nutrition for high-producing sows, precision pork production technologies, and causes and consequences of leaky gut. One afternoon session will be focused on foreign animal disease preparation, including an update on African Swine Fever worldwide from Dr. David Casey of PIC in China.

“This year we are excited to offer a new breakout session dedicated to practical, barn level management topics,” said Iowa Swine Day coordinator Kristin Olsen. "This new session is designed for growers – individuals who finish pigs and work in barns on a daily basis. We hope attendees will leave Iowa Swine Day with a few strategies they can take home that day to help improve their operations."

The day will finish with a free pork barbecue in the Iowa State Center courtyard, sponsored by TechMix, AB Vista and Lynch Livestock.

Registration is $65 and includes lunch and refreshments. Early registration ends midnight, June 14. Late or on-site registration is $90. Registration is free for students before the early registration deadline, and is $45 after the deadline has passed. Iowa Swine Day will be held at the Scheman Building, Iowa State Center, 1805 Center Drive, Ames. The full program, directions and online registration are available on the Iowa Swine Day conference website.

Iowa Swine Day is hosted by Iowa Pork Industry Center in collaboration with the ISU College of Agriculture and Life Sciences and the Iowa Pork Producers Association.



Step Two in Flood Recovery of Pastures Is Renovation

As flood waters are receding the renovation of flooded pastures is just beginning. Beth Doran, beef specialist, and Joel DeJong, field agronomist, both with Iowa State University Extension and Outreach, recommend producers check pasture plants for survival. They remind producers that forage production is a function of the plant species, and their density and growth. DeJong suggests evaluating live plants (plant vigor), plant density, and desirable species versus weeds.

Mahdi Al-Kaisi, extension agronomist and professor in agronomy, said flooding can flush nutrients necessary for plant growth out of the soil. With Al-Kaisi’s comment in mind, DeJong makes the following recommendation.

“If there is an adequate percent ground cover of desirable species, I’d recommend boosting production with the application of 50 to 80 pounds of Nitrogen per acre,” DeJong said. “Grasses usually respond the most to nitrogen fertilization, but soil sampling will reveal if other nutrients were flushed from the soil and need to be replaced.”

Daren Redfearn, extension forage specialist with the University of Nebraska Lincoln, said the major flooding impact on grass pastures may also be due to excessive sediment deposits. Most perennial forages can produce new shoots and tillers if sediment deposits are less than 2 inches. In this case, crusting may occur, and light tillage will level sediment and enhance recovery. With deeper sediment, plants can suffocate and result in substantial stand loss. In these areas, mechanical removal is preferred to reduce plant loss and reduce the need for reseeding. 

“With thinner stands, interseeding with a no-till drill may be the best approach,” said DeJong. “If the stand is too thin, then complete renovation or reseeding may be needed.” 

If interseeding, consider what kinds of improved species to include in the seed mixture. For example, those more tolerant of wetter or drier conditions, close grazing or in rotation, or more tolerant of summer slump might be appropriate choices.

ISU Extension and Outreach publication “Selecting Forage Species” (https://store.extension.iastate.edu/Product/5367) could help with this decision. Also, the publication "Steps to Establish and Maintain Legume-Grass Pastures" (https://store.extension.iastate.edu/product/4332) might be of interest to those considering establishing and maintaining legume-grass pastures. Both publications can be downloaded at no charge from the online store or made available by the ISU Extension and Outreach county office.

Brian Lang, ISU Extension and Outreach field agronomist, recommends that producers treat new pasture like a newly established hayfield.

“In my opinion, the best way to start a new pasture is to treat it like a hay stand in the establishment year, if the terrain allows for a hay harvest,” Lang said. “Two hay cuttings provide time to establish strong root systems, and then include the area into your normal grazing system.”

With rougher terrain, interseed improved species and occasionally use a mower or a light flash grazing to reduce competition from weeds and established forage plants. Do your best to give the new seedlings a chance to root-down before incorporating the pasture into your normal grazing system.

Weeds also can be a problem in flooded pastures. Broadleaf herbicides can be applied to grass pastures; however, some of these herbicides have restrictions regarding new seedlings. In those cases, periodic mowing may be the best weed control option in interseeded stands until the new seedlings are established.

Doran reminds producers that evidence suggests these considerations: use of a sacrifice pasture while new stands are being established, the use of summer annuals, and/or fall grazing of cover crops. Iowa State University Extension and Outreach beef specialists and field agronomists are ready to help with questions and concerns on renovating pastures and establishing grazing systems.



University of Iowa Hawkeyes Win 2018-19 Iowa Corn Cy-Hawk Series

The 2018-19 Iowa Corn Cy-Hawk Series™, which tracks head-to-head match-ups between the Iowa State Cyclones and the University of Iowa Hawkeyes, concludes Tuesday night with Iowa Corn leaders presenting the trophy to the University of Iowa at the 2019 Golden Herky Awards. The Hawkeyes won the 2018-19 Iowa Corn Cy-Hawk Series by a 15-10 margin. Points are awarded by each victory earning points toward the overall series championship.

“The Iowa Corn Cy-Hawk Series is more than a game. It’s about the competition between the Iowa Hawkeyes and Iowa State Cyclones that over 65 percent of Iowans tune in to celebrate our great state,” said Wayne Humphreys, a farmer from Columbus Junction and President of the Iowa Corn Promotion Board®.

Iowa State scored wins in soccer, men's and women's cross country, women’s gymnastics and softball. However, it was the University of Iowa who secured the trophy this year winning in football, volleyball, wrestling, men's and women's basketball, swimming & diving, and women's tennis.

“The state of Iowa appreciates that our farmers and fans are passionate about the Iowa Corn Cy-Hawk Series,” said Gary Barta, Henry B. and Patricia B. Tippie Director of Athletics Chair. “Our partnership gives us the opportunity to promote our hardworking corn farmers and Iowa athletics by coming together to support each other. Our partnership runs deep, and we are thankful for the past, present and future of our athletics and Iowa’s farmers.”

Iowa Corn Growers Association® and the Iowa Corn Promotion Board® are proud to partner with Learfield IMG College on behalf of both Iowa State University and the University of Iowa athletics departments for this title sponsorship. It highlights the competition between these two great universities, while educating Iowans on the essential role that corn plays in Iowa’s economy, for food and fuel. The 2018-19 season marked the eighth year of the Iowa Corn Cy-Hawk Series.

The 2019 Iowa Corn Cy-Hawk Series football game and Iowa Corn VIP tailgate will take place on September 14 at Jack Trice Stadium in Ames. For more information on the Iowa Corn Cy-Hawk Series, go to www.iowacorn.org.



First Commercial Sale of Calyxt High Oleic Soybean Oil on the U.S. Market

Calyxt, Inc. (NASDAQ: CLXT) a consumer-centric, food- and agriculture-focused Company, announced today the successful commercial launch of its highly anticipated Calyno™ High Oleic Soybean Oil, which is the Company’s first product to be sold on the U.S. market. This first commercial sale of Calyno oil is to the foodservice industry for frying and salad dressing, as well as sauce applications.

Calyno oil contains approximately 80 percent oleic acid and up to 20 percent less saturated fatty acids compared to commodity soybean oil as well as zero grams of trans fat per serving. One of the exciting potential sustainability benefits of Calyno oil is that it has up to three times the fry life and extended shelf life compared to commodity oils, providing a more sustainable product.

In line with continued sustainability efforts, Calyxt also announces the commercialization of its High Oleic Soybean Meal as a premium non-GMO feed ingredient with added benefit for livestock.

“Over the past eight years, we’ve remained committed to the American people, evolving the nutrition of food and protecting the environment in order to deliver health-conscious ingredients that tackle food-related health challenges,” said Jim Blome, CEO of Calyxt. “With this milestone, Calyxt has delivered on its promise and progressed from a research and development platform to a full-scale food ingredient company. We’re proud to be leading the way towards the next generation of healthier foods.”

Calyno oil is produced in the U.S., thanks to Calyxt’s partnership with more than 100 farmers in the Upper Midwest region growing over 34,000 acres of Calyxt High Oleic Soybean. After assessment of the soybean, the crop received met Calyxt quality requirements for high oleic and non-GMO. These soybean were used to produce premium soybean oil with zero grams of trans fat per serving and reduced saturated fat content. Calyno oil is similar to other healthy oils Americans already love, like olive, sunflower and safflower oils, and can easily be incorporated into foods and recipes without affecting taste.

“This historical commercialization of the first-ever gene-edited food product is a testament that food manufacturers and consumers are not only embracing innovation, but also willing to pay a premium for products which are healthier and traceable to the source,” said Manoj Sahoo, Chief Commercial Officer at Calyxt. “Our next focus is scaling up the supply chain so that we can meet the growing demand for healthier High Oleic Soybean Oil not only for small and mid-sized food manufacturers, but also for global Consumer Packaged Goods (CPG) brands.”

This sale is in alignment with Calyxt’s high quality standards and applicable USDA and FDA requirements.



USDA Makes Livestock and Dairy Insurance Enhancements

USDA's Risk Management Agency announced Monday several enhancements to insurance programs that will provide a more efficient level of coverage for livestock and dairy producers. These program improvements to the Dairy Revenue Protection, Livestock Gross Margin and Livestock Risk Protection programs take effect July 1.

"These changes to livestock and dairy programs strengthen risk management options and provide peace of mind in times of unpredictable market fluctuations," said RMA Administrator Martin Barbre.

LGM provides protection against loss of gross margin or the market value of livestock minus feed costs. The Bipartisan Budget Act of 2018 removed the livestock capacity limitation, which allowed the LGM program to remove the individual capacity limitation under the cattle, dairy and swine program. Prior to the revised legislation, the Federal Crop Insurance Act limited the amount of funds available to support livestock plans of insurance offered by RMA to $20 million per fiscal year.

LRP protects livestock producers from the impact of declining market prices. RMA offers LRP insurance plans for fed cattle, feeder cattle and swine.

Beef producers electing the LRP insurance plan for fed cattle may choose from a variety of coverage levels and insurance periods that correspond with the time the market-weight cattle would normally be sold. Likewise, the LRP plan for feeder cattle allows beef producers to choose from a variety of coverage levels and insurance periods that match the time feeder cattle would normally be marketed (ownership may be retained).

LRP insurance for swine gives pork producers the opportunity to choose from a variety of coverage levels and insurance periods that match the time hogs would normally be marketed.

LRP improvements include:
- Expanded LRP coverage for swine, fed and feeder cattle to all states;

- Increased LRP subsidy from the current 13 percent for all coverage levels to a range from 20 percent to 35 percent based on the coverage level selected;

- Updated the Chicago Mercantile Exchange trading requirements to allow for more insurance endorsement lengths to be offered for producers to purchase;

- Increased per head and annual head limits - fed cattle and feeder cattle: 3,000 head per endorsement and 6,000 head annually; swine: 20,000 per endorsement and 75,000 annually; and

- Modified the Price Adjustment Factor for Predominately Dairy cattle to 50 percent for both weight ranges, which allows dairy cattle to reflect market prices more accurately.

RMA has also enhanced risk management options for dairy producers.

DRP is designed to insure for unexpected declines in the quarterly revenue from milk sales compared with a guaranteed coverage level. The expected revenue is based on futures prices for milk and dairy commodities and the amount of covered milk production elected by the dairy producer. The covered milk production is indexed to the state or region where the dairy producer is located.

Improvements for the 2020 crop year:
- Modified the minimum declared butterfat from 3.50 to 3.25 pounds, making the range 3.25-5 pounds, and the minimum declared protein range is expanded from 3.00 to 2.75 to 2.75-4 pounds, affording greater coverage flexibilities for dairy producers;

- Removed the declared butterfat test to declared protein test ratio to simplify the process for dairy producers; and

- Adjusted the coverage levels - removal of the 70 and 75 percent coverage levels.

Additionally, the Agriculture Improvement Act of 2018 allows producers to enroll in LGM-Dairy or DRP and simultaneously participate in Dairy Margin Coverage, a program administered by the Farm Service Agency.



NCBA CEO Kendal Frazier Announces Plans for Retirement

After 34 years with the National Cattlemen’s Beef Association (NCBA), the past four as CEO, Kendal Frazier announced his plans for retirement this morning. Kendal’s career began as a farm broadcaster in Kansas, where he also served as director of communications for Kansas Livestock Association, before moving to Denver, Colo., to join the staff of the National Cattlemen’s Association (NCA), predecessor organization to NCBA. During his illustrious career, he served the beef industry through some of its most challenging times and events.

“For more than three decades, the beef industry has benefitted from Kendal’s vision and leadership. There is no doubt in my mind that he has played a major role in ensuring the success of our industry today,” said NCBA President Jennifer Houston. “It has been my pleasure to work closely with Kendal for many years and I can say without a doubt that we are far better off because of his service to cattlemen and cattlewomen.”

When NCA merged with the National Livestock and Meat Board in 1996, Frazier was a member of the team who worked with staff and beef industry volunteer leaders to address a steep decline in demand, helping to address the consumer concerns which had led to losses in market share and falling prices. This work ultimately helped to reverse those declines and set the industry on a new, consumer-focused path.

Frazier was also instrumental in helping secure the passage of the checkoff referendum and worked to secure resources for the first checkoff-funded public relations and issues management work conducted by NCBA as a contractor to the Beef Checkoff in 1998. That prescient work would prove to be vital to the long-term success of the beef industry in 2003, when the first domestic case of bovine spongiform encephalopathy was announced. The work done by Frazier and the NCBA team helped maintain consumer confidence around the globe and ensured that every effort to minimize the impact on the beef industry was minimized.

“Words really can’t express the industry’s appreciation for Kendal’s leadership on so many significant industry issues,” said Ross Wilson, CEO of Texas Cattle Feeders Association. “His steady hand and thoughtful leadership have been a key part of so many opportunities and challenges that have shaped the beef industry now and literally for the past few decades. We truly are a better industry because of Kendal Frazier.

As CEO, Frazier has kept a sharp focus on the issues that matter most to the members and the industry he represents. During his tenure, his commitment to improving domestic and international demand for beef has been unwavering. Likewise, he has dedicated significant resources to ensuring beef producers continue to enjoy the freedom to operate by ensuring member’s priorities in Washington, D.C., remain a core focus for the association.

“I’m a lucky man to have worked in the cattle industry, what a wonderful journey this has been,” said Frazier in making the announcement. “It has been an honor to serve the men and women who make their living in the cattle business. I am confident that I’m leaving NCBA in a good place. Over the past several years, we have worked to strengthen NCBA’s relationship with our stakeholders, build the association’s financial resources and deepen our staff talent pool while ensuring we continue to meet growing demand for great tasting, high-quality beef at home and abroad and NCBA will continue its tradition of excellence long after my departure.”

NCBA will begin the search process to select a new CEO immediately, and Frazier will remain in place to assist with the transition process, until Dec. 31, 2019.



Flooding Continues to Disrupt Barge Traffic

Intense spring storms with heavy precipitation, combined with snowmelt runoff, continue to cause flood-related navigation disruptions for most of the nation’s river systems.

For the week ending April 13, only two Mississippi River Locks reported any grain barge traffic.

Year-to-date total grain shipments are 27 percent lower than the 3-year average.

Spot barge rates of export grain from major originating points has been declining for 3 weeks as many shippers are not looking to buy barge services with the constant highwater conditions.

In addition, barge operators are reporting that some river elevators are not buying grain, as on-going flood conditions can result in damage to grain stored near the river.



African Swine Fever Continues to Spread in Asia & Europe

With the official report coming late last week that the island province of Hainan was positive for African swine fever, China is now essentially ASF-positive in its entirety. In the west, Xinjiang was found to be positive in early April, followed shortly by Tibet. The only areas not known to be ASF-positive now are the city-based zones of Hong Kong and Macau, which are in the extreme south of China.

Since its discovery in China in August 2018, Rabobank estimates that ASF has affected 150 million to 200 million pigs, which is nearly 30% larger than annual U.S. pork production and equivalent to Europe's annual pork supply. These losses cannot easily be replaced by other proteins (chicken, duck, seafood, beef and lamb), nor will larger imports be able to fully offset the loss. The firm believes this will result in a net supply gap of almost 10 million metric tons in the total 2019 animal protein supply, which could be a leading driver of recent pork import announcements.

The recent notice by the OIE, which flagged Cambodia as being positive for ASF, revealed that 400 pigs died from the disease and another 100 pigs were culled. The outbreak is in the northeastern-most Rattanakiri province bordering Vietnam, which was itself found to be ASF-positive on Feb. 19.

Most of Vietnam's 556 cases of ASF outbreak have occurred in this northern area. Some Vietnamese officials have said that the virus may have entered the country via people who brought infected pigs from China or from China-made hog feed.

In a report by the World Organization for Animal Health last week, South Africa now has a case of ASF outside of its ASF control zone (in blue area on map beyond red line of control zone). The announcement was triggered by news of a small pig farm in the country's North West province where 32 of 36 pigs died. Since this was outside of South Africa's control zone for the disease, contact with infected wild pigs is suspected.



AgriSafe Receives $85,000 From CHS To Support Rural Health Initiatives; $25,000 Earmarked For Mental Health

AgriSafe is pleased to announce it has received $85,000 in grant funding from CHS Community Giving, the direct grant-making arm of CHS, the nation's leading farmer-owned cooperative, to assist in three agricultural health and safety initiatives. CHS Community Giving funding will support expanding mental health services, continuing education for rural nurses, and health/safety training for future agricultural producers.

"Each program offers critical support for managers, farmworkers, young workers and rural health care providers that may be otherwise unavailable," says Natalie Roy, executive director, AgriSafe. "AgriSafe is thankful that CHS Community Giving has continued to invest in our programming that directly impacts our rural communities for more than 10 years."

Farmer health and wellbeing have been a prominent conversation among agriculture groups in recent months. The uncertainty of the ag economy, chronic illnesses/pain and lack of access to health services in rural areas are all contributing factors according to recent reports. Through a new initiative called Total Farmer Health, AgriSafe will take a holistic approach to training 300 rural health care professionals and 200 rural influencers to better identify mental health signs and recommend treatment. Farm Credit and CHS are the lead sponsors of the Total Farmer Health initiative.

"As part of the CHS Community Giving focus, CHS believes in the power of partnership to address issues related to rural America," says Jessie Headrick, director, CHS Community Giving. "We are proud to work with AgriSafe and other industry partners to support the needs and wellbeing of our farmer-owners."

CHS Community Giving funding also includes ongoing support of AgriSafe's Invest in Your Health program, a wellness initiative for high school and college agriculture students and the AgriSafe Nurse Scholar program, an innovative distance learning opportunity available to rural nurses throughout the nation.



Farm Bank Lending Rises to $108 Billion in 2018

U.S. farm banks increased agricultural lending by 5.3 percent, or $5.5 billion, to $108 billion in 2018, according to the American Bankers Association’s annual Farm Bank Performance Report. The report—an analysis by ABA’s economic research team based on FDIC data—examines the performance of the nation’s 1,772 banks that specialize in agricultural lending. ABA defines farm banks as banks whose ratio of domestic farm loans to total domestic loans is greater than or equal to the industry average.

In 2018, farm banks’ asset quality remained healthy and non-performing loans stayed at a pre-recession level of 0.52 percent of total loans. More than 94 percent of farm banks were profitable in 2018, with more than 63 percent reporting an increase in earnings. Farm banks also served as job creators, adding more than 1,500 jobs in 2018, a 1.8 percent increase, and employing more than 86,000 rural Americans. Since 2008, employment at farm banks has risen 24.4 percent.

“Even in the face of a slowing ag economy and harsh weather, farm banks continue to perform strongly while meeting the credit needs of farmers, ranchers and their communities,” said ABA Chief Economist James Chessen. “They play a critical role in the success of farms large and small, and their civic engagement and the jobs they provide make them the lifeblood of many rural communities across the country.”

Farm banks also continued to build high-quality capital throughout 2018 and are well-insulated from risks associated within the agricultural sector. Equity capital at farm banks increased 6.1 percent to $48.7 billion, while Tier 1 capital increased by $3.3 billion to $46.7 billion. The capital-to-assets ratio improved as well with the median Tier 1 leverage ratio for farm banks rising by 42 basis points during 2018.

The Farm Bank Performance Report also provides regional summaries:
    The Northeast region’s 12 farm banks increased farm loans by 14.7 percent to $1.3 billion. Ag production loans rose 3.6 percent and farmland loans rose 17.66 percent.
    The South region’s 181 farm banks increased farm loans by 7.49 percent to $8.4 billion. Ag production loans increased 9.84 percent and farmland loans rose 6.55 percent.
    The Cornbelt region’s 842 farm banks increased farm loans by 5.24 percent to $47.9 billion. Ag production loans increased 3.31 percent and farmland loans rose 6.88 percent.
    The Plains region’s 677 farm banks increased farm loans by 4.64 percent to more than $40.3 billion. Ag production loans increased 2.6 percent and farmland loans rose 6.95 percent.
    The West region’s 60 farm banks increased farm loans by 5.4 percent to $10.1 billion. Ag production loans increased 5.64 percent and farmland loans rose 5.3 percent.

The entire banking industry – not just farm banks – provides farmers and ranchers with the credit they need. At the end of 2018, banks held $186 billion in farm and ranch loans. The U.S. banking industry is also a major source of funding to small farmers with more than $76 billion in small and micro farm and ranch loans on the books at the end of 2017. A small farm loan is a loan with an original value of $500,000 or less and a micro farm loan is a loan with an original value of $100,000 or less.



House to Take Up Family Farm Bankruptcy Protection Bill

Nearly a month after being introduced in the U.S. Senate, House members will soon get their turn to consider legislation that aims to help struggling farm families who need protection from the U.S. bankruptcy code. Last week, Wisconsin Congressman Jim Sensenbrenner joined five other colleagues in introducing the bipartisan Family Farmer Relief Act of 2019, which helps ease the process of reorganizing debt though Chapter 12 bankruptcy rules.

House Agriculture Committee Chairman Collin Peterson says the bill will be referred to the Judiciary Committee for consideration.

Under current law, Chapter 12 bankruptcy removes certain costly reorganization requirements intended for large corporations at a maximum of $3.2 million. This bill raises the Chapter 12 operating debt cap to $10 million, allowing more family farmers to seek relief under the program.

In March, Wisconsin's Ron Johnson and Chuck Grassley of Iowa introduced the bill in the Senate to help farms reorganize financially after falling on hard times.

Other co-sponsors of the House version include Reps. Antonio Delgado, New York; TJ Cox, California; Kelly Armstrong, North Dakota; and Dusty Johnson, South Dakota.



USDA Launches Ace the Waste! Food Waste Contest for Students

Food waste is a problem everyone can tackle, including our nation’s youth. As part of Winning on Reducing Food Waste Month, the U.S. Department of Agriculture (USDA), is launching Ace the Waste! A student competition for food waste reduction ideas. This first-ever competition calls on students to come up with creative solutions to reduce food loss and waste in the United States.

The problem of food waste affects everyone. More than one third of food in the U.S. is lost or wasted. This amounts to 133 billion pounds, or $161 billion worth of food each year. Food is the single largest type of waste in landfills. Students age 11 to 18 are encouraged to submit proposals on reducing food loss and waste anywhere along the supply chain, from the farm to the dinner table and beyond. Topic ideas for the proposal include:
    Preventing food waste - such as ideas to prolong the storage life of food; improve efficiencies in the processing of food and its distribution; and create new products from unharvested or unsold crops (like so-called “ugly fruit and vegetables”) or from food processing by-products.
    Recovering wholesome, excess food to feed people – such as innovative approaches for getting excess food to people who need it and measuring the value of food donations.
    Recycling food scraps to keep them out of landfills – such as ideas to connect food waste generators with recyclers and to create animal feed, compost, and energy.
    Raising awareness – such as ideas about how to make students more aware about the amount of food being wasted and let them know how to reduce it.

Students may submit 1-2 page proposals or 1-2 minute videos. Proposals will be judged on impact potential; originality and creativity; clarity of expression; and adherence/appropriateness to theme. Judges will include representatives from USDA, the Environmental Protection Agency (EPA), and the Food and Drug Administration (FDA). One winner will be selected from each of two categories – ages 11-14 and ages 15-18. The winner of the challenge will be honored with recognition on USDA’s social media accounts and website, receive a certificate of appreciation, and will have the opportunity to discuss their proposals with USDA leadership.

The deadline for proposals is 5 p.m. EDT, Friday, May 24, 2019. Submit your ideas to the Ace the Waste! competition today.

The Winning on Reducing Food Waste Initiative is a collaborative effort among USDA, EPA, and FDA to affirm their shared commitment to work towards the national goal of reducing food loss and waste by 50 percent by 2030. The agencies agree to coordinate food loss and waste actions such as: education and outreach, research, community investments, voluntary programs, public-private partnerships, tool development, technical assistance, event participation, and policy discussion on the impacts and importance of reducing food loss and waste.