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Tax planning in an unusual year — Prevented planting indemnity payments, Market Facilitation payments and cost-share payments

By Barry Ward, Leader, Production Business Management & Director, Ohio State University Income Tax Schools

With unprecedented amounts of prevented planting insurance claims this year in Ohio and other parts of the Midwest, many producers will be considering different tax management strategies in dealing with this unusual income stream. In a normal year, producers have flexibility in how they generate and report income. In a year such as this when they will have a large amount of income from insurance indemnity payments the flexibility is greatly reduced. In a normal year a producer may sell a part of grain produced in the year of production and store the remainder until the following year to potentially take advantage of higher prices and/or stronger basis. For example, a producer harvests 200,000 bushels of corn in 2019, sells 100,000 bushels this year and the remainder in 2020. As most producers use the cash method of accounting and file taxes as a cash based filer, the production sold in the following year is reported as income in that year and not in the year of production.… Continue reading

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Frobose selected #RealPigFarming Student Social Forces team

The Pork Checkoff has selected 13 college students to represent the #RealPigFarming Student Social Forces team this year. Candidates were selected based on their involvement in the pork industry and their strong communication skills.  The 2019 class of Social Forces includes Hunter Frobose from Wood County who is attending Ohio State University.

“Social media is ingrained in young people’s lives,” said Claire Masker, director of sustainability communications for the Pork Checkoff. “It’s an easy tool for them to share their insights and inspiration about an industry that they are so proud to be a part of. With so many diverse social media channels, they each have an opportunity to share their passion for pig farming with their followers.”

The team will be active July through December.

“Consumers continue to have questions about how pigs are raised, and pig farmers know the answers better than anyone else,” Masker said. “Through the Pork Checkoff’s social media outreach program, real farmers are sharing their real stories with consumers through #RealPigFarming.”

The hashtag (#) before RealPigFarming helps people search social media posts with the same phrase, making it easier for them to follow conversations, Masker said.… Continue reading

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Public Notice by the Ohio Pork Council and the National Pork Board

The election of pork producer delegate candidates for the 2020 National Pork Producers (Pork Act) Delegate Body will take place at 12 p.m. on Tuesday, August 14, 2019 in conjunction with the Ohio Pork Council Board of Directors meeting at the Mohican State Park Lodge, 3116 OH-3, Loudonville Ohio. All Ohio pork producers are invited to attend.

Any producer, age 18 or older, who is a resident of the state and has paid all assessments due may be considered as a delegate candidate and/or participate in the election. All eligible producers are encouraged to bring with them a sales receipt proving that hogs were sold in their name and the checkoff deducted.

For more information, contact the Ohio Pork Council Office, 9798 Karmar Ct. Suite A, New Albany OH 43054, 614-882-5887.

 … Continue reading

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Noxious weeds in cover crop seed and seed germination

By Alexander Lindsey, Laura Lindsey, Mark Loux, Anne Dorrance, Stan Smith, John Armstrong, Ohio State University Extension

Seed quality is key to establishing a good crop (or cover crop). Some of the critical components of seed quality are percent germination, mechanical analysis for purity (% other crops, % inert, and % weeds), and a listing of noxious weeds identified by scientific/common name and quantity found. As producers are looking for seed sources to provide living cover on acreage this year that was previously earmarked for corn or soybeans, it is important to pay attention to the quality. These tests may also be required on seed lots for use in some relief programs as well. Commercial or certified seed used for cover crops should have a seed tag that shows variety and the seed quality measurements above. However, if the seed is sourced from out of state, the noxious weeds listed (or NOT listed) on the tag by name may differ from those had the seed been sourced from Ohio.… Continue reading

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USDA offers low-interest loans for Ohio agricultural producers impacted by natural disasters

Ohio agricultural producers who lost property due to recent natural disasters may be eligible for U.S. Department of Agriculture (USDA) physical loss loans. The Farm Service Agency (FSA) offers these low-interest loans to agricultural producers in 21 Ohio counties, the primary damaged area, who incurred losses due excessive rain, flash flooding, flooding, hail, high winds, lightning and tornadoes that occurred between Nov. 1, 2018 and June 13, 2019. Approval is limited to applicants who suffered severe physical losses only, including the loss of buildings and livestock. Applications are due March 2, 2020.

“Ohio’s hardworking ag producers feed our neighbors, the nation and the world,” said Leonard Hubert, state executive director. “When they suffer losses because of extreme weather, helping them get back on their feet is important. We encourage those affected to reach out to their local USDA Service Center to apply for these emergency loans.”

The 21 Ohio counties in the primary damaged areas include Athens, Auglaize, Belmont, Crawford, Darke, Greene, Guernsey, Henry, Highland, Hocking, Jackson, Mercer, Miami, Monroe, Montgomery, Noble, Pickaway, Preble, Richland, Shelby, and Stark.… Continue reading

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USDA now making Dairy Margin Coverage Program payments

The U.S. Department of Agriculture’s Farm Service Agency (FSA) opened enrollment for the Dairy Margin Coverage (DMC) program on June 17 and has started issuing payments to producers who purchased coverage. Producers can enroll through Sept. 20, 2019.

“Times have been especially tough for dairy farmers, and while we hope producers’ margins will increase, the Dairy Margin Coverage program is providing support at a critical time for many in the industry,” said Bill Northey, USDA Under Secretary for Farm Production and Conservation. “With lower premiums and higher levels of assistance than previous programs, DMC is already proving to be a good option for a lot of dairy producers across the country.  USDA is committed to efficiently implementing the safety net programs in the 2018 Farm Bill and helping producers deal with the challenges of the ever-changing farm economy.”

Authorized by the 2018 Farm Bill, DMC replaces the Margin Protection Program for Dairy (MPP-Dairy).… Continue reading

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First DMC payments providing critical aid to dairy farmers

The National Milk Producers Federation thanked the U.S. Department of Agriculture for meeting the timeline Agriculture Secretary Sonny Perdue promised in February for dairy-program payments under the 2018 farm bill. Dairy farmers began receiving checks under the new Dairy Margin Coverage program last week, in keeping with USDA’s pledge.

“DMC aid represents significant improvement from previous programs, and with dairy farmers facing a fifth year of low prices, receiving better assistance in a timely fashion is a matter of survival for some family farms,” said Jim Mulhern, president and CEO of the NMPF. “The DMC program doesn’t replace a healthy market, but it is a crucial safety net in turbulent times. All dairy producers should strongly consider enrolling, and to look closely at coverage at the $9.50 maximum level.”

More than one-fourth of all U.S. dairy farms — nearly 10,000 — have signed up for DMC since signups began June 17, according to USDA.… Continue reading

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Ohio farm featured on PBS series

Ohio’s Laurel Valley Creamery will be featured nationwide with the broadcast premiere of Farmsteaders on POV on Sept. 2, an award-winning PBS series.

Farmsteaders brings to light various factors related to dairy farm management, livestock and challenges to farming practices. Director Shaena Mallett documents the intimate experiences and continuing struggle of the Nolan family farm, operating at the mercy of the “unknown.”

Farmsteaders follows Nick Nolan and his young family on a journey to resurrect his late grandfather’s dairy farm. Nick and his wife Celeste fight to keep their farm from “drying up and blowing away,” something that has happened to about 4.7 million farms in the U.S. Through beauty and hardship, Farmsteaders points an honest and tender lens at everyday life in rural America, offering an unexpected voice for a forsaken people: those who grow the food that sustains us.

Farmsteaders will premiere on POV on Sept. 2 at 10 p.m.… Continue reading

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Large algae bloom in Lake Erie predicted for 2019

NOAA and its research partners are forecasting that western Lake Erie will experience a significant harmful algal bloom (HAB) this summer.

This year’s bloom is expected to measure 7.5 on the severity index, but could possibly range between 6 and 9. An index above 5 indicates blooms having greater impact. The severity index is based on bloom’s biomass — the amount of algae — over a sustained period. The largest blooms occurred in 2011, with a severity index of 10, and 2015, at 10.5. Last year’s bloom had a severity index of 3.6, while 2017‘s was 8.0.

Lake Erie blooms consist of cyanobacteria, also called blue-green algae, that are capable of producing the liver toxin microcystin that poses a risk to human and wildlife health. Such blooms may result in higher costs for cities and local governments that need to treat drinking water, prevent people from enjoying fishing, swimming, boating and visiting the shoreline, and harm the region’s vital summer tourism economy.… Continue reading

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Soybean problems showing up

By Anne Dorrance, Ohio State University Extension plant pathologist

We have multiple planting dates in Ohio this year with soybeans in all different growth stages. This can create challenges when management decisions are based on the stage of crop development.

For soybeans that are flowering, there was a confirmed report of frogeye leaf spot. If the soybeans in the field are in good health then managing this disease is often cost effective on susceptible varieties. Scouting between R2/R3, if frogeye is easy to find on the newly expanded leaves a fungicide application is warranted. There are many fungicides available with fair to very good efficacy. The one caveat is in Ohio we have identified strains of the fungus that causes frogeye leaf spot that is resistant to strobilurin fungicides, so choose a product that has another mode-of-action.

For soybeans that are in the early seedling stages that have continued to get these saturating rains, damping-off is occurring.… Continue reading

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Gov. DeWine creates “Expo 2050” Task Force

Ohio Governor Mike DeWine announced a new task force to develop and recommend a long-term vision for the Ohio Expo Center, an event venue in Columbus that is home to the Ohio State Fair, as well as nearby attractions including the Ohio History Connection and the current Mapfre Stadium.

“At the Ohio State Fair and other events that occur here, there are countless ways to have fun. We need to find ways to keep that excitement going all year long,” Governor DeWine said. “Today, I am announcing the formation of a task force, called ‘Expo 2050,’ to take stock of all of the great things going on at the Ohio Expo Center, as well as the Ohio History Connection and Mapfre Stadium, and to develop a strategic vision for the entire area.”

Governor DeWine made the announcement during a meeting of the Ohio Expositions Commission. Expo 2050 is tasked with reviewing the Expo experience, including the assets and activities of the Ohio Expo Center, the Ohio History Connection, and Mapfre Stadium, and developing ideas for getting the most use and enjoyment out of this state land in the future.… Continue reading

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USDA extends spring-seeded crop reporting deadline in Ohio, 11 other states

The U.S. Department of Agriculture (USDA) is extending the deadline for agricultural producers in states impacted by flooding and heavy moisture. The new July 22 deadline applies to producers in Arkansas, Illinois, Indiana, Iowa, Kentucky, Michigan, Missouri, Minnesota, North Dakota, Ohio, Tennessee and Wisconsin for reporting spring-seeded crops to USDA’s Farm Service Agency (FSA) county offices and crop insurance agents.

“These are challenging times for farmers, and we are here to help,” said Bill Northey, USDA Under Secretary for Farm Production and Conservation. “This deadline extension is part of our broader effort to increase program flexibility and reduce overall regulatory burden for producers who are having to make some tough choices for their operations.”

Producers not in the selected states must file reports or be added to a county register by the original July 15 deadline.

“While producers in many parts of the country are experiencing a challenging spring and early summer, these states are seeing an especially large number of producers delayed in planting and unable to complete their other fieldwork,” Northey said.… Continue reading

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Soybeans as a cover crop

From the USDA RMA website (https://www.rma.usda.gov/News-Room/Frequently-Asked-Questions/Prevented-Planting-Flooding)

 

  1. Can I plant a cover crop of the same crop I was prevented from planting? Or in other words, can I use the seed I have on hand (corn, soybeans, wheat) to plant a cover crop as long as it’s at a lower seeded rate that qualifies for cover crop?
  2. Yes. An acceptable cover crop must be generally recognized by agricultural experts as agronomically sound for the area for erosion control or other purposes related to conservation or soil improvement is planted at the recommended seeding rate, etc. The cover crop may be the same crop prevented from planting and may still retain eligibility for a prevented planting payment. The cover crop planted cannot be used for harvest as seed or grain.”

Soybean is an acceptable cover crop as it is agronomically sound for the area for erosion control or other purposes related to conservation or soil improvement.… Continue reading

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Financial workshops planned throughout Ohio

Ohio’s agricultural economy is experiencing a number of stresses in 2019. Challenging weather and uncertain market conditions are leaving many farmers across the state under considerable financial stress. The reality is no one is immune to financial stress. Managing the day-to-day challenges of cash flow are tough. Layer in long-term planning, such as a business succession and retirement, and it can often feel overwhelming.

Ohio Farm Bureau Financial Essentials program aims to alleviate these concerns through a series of workshops and online resources developed to help answer important financial questions. In collaboration with Nationwide, AgCredit, OSU Extension, Farm Credit Mid-America and Wright & Moore Law Co. LPA, these resources can help guide the path to financial security for a family, farm and business.

County Farm Bureaus are hosting workshops in several locations during August and September. Each session will include a meal provided by the county Farm Bureau. … Continue reading

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More on the RMA cover crop harvest date change

By Peggy Kirk Hall, director of agricultural law, Ohio State University Agricultural and Resource Law Program

With many farmers in Ohio unable to plant before the Final Planting Date for crop insurance, questions are arising about planting and harvesting cover crops on those prevented planting acres. USDA Risk Management Agency (RMA) rules allow operators to plant cover crops on prevented planting acres and to hay, graze, or cut the cover crops for silage after the posted “harvest date.” In previous years, the harvest date for cover crops was Nov. 1.  If an operator harvested the cover crop before that date, the prevented plant payment would be reduced from 100% to 35%.

The RMA has changed the harvest date for 2019, however. In response to reduced livestock feed supplies that will result from the loss of planted acres this year, the RMA has moved up the cover crop harvest date to September 1.… Continue reading

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2019 Agriculture Challenges FAQ Webpage now live from OSU Extension

By Elizabeth Hawkins, Ohio State University Extension

The unrelenting rains this spring and summer have created many challenges that the farming community is now sorting through. In order to help with decisions, Ohio State University Extension has created a Frequently Asked Questions webpage. This page provides the most up-to-date answers to questions about topics ranging from the Market Facilitation Program and disaster payments to cover crops, forages, livestock concerns, management of crops that are out of sync with normal planting dates, as well as answers to more questions as information becomes available. There is also an option to submit questions that you would like answered. Webinars with more detailed information will also be shared at this site as well. The page is available at go.osu.edu/AgCrisis. Since the situation we are facing is constantly evolving, be sure to check back for the latest information available to help you.… Continue reading

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Cattlemen’s Gala fundraiser to be held Aug. 24

The third annual Cattlemen’s Gala Celebration and Fundraiser will be held Saturday, Aug. 24 at Leeds Farm in Ostrander. The Ohio Cattlemen’s Foundation, a 501 (c)(3) tax deductible charity, and Ohio Cattlemen’s Association (OCA) will coordinate the event.

Ohio’s cattlemen have a lot to celebrate. Plan to join the celebration on Saturday, Aug. 24 to support the Ohio Cattlemen’s Foundation youth scholarship fund benefiting the next generation of beef industry leaders. The 2018 event raised $35,000 for scholarships, and the 2019 event will build off that success.

Gala attendees will gather in their boots and hats for dinner, drinks and dancing in the barn at Leeds Farm. Each registration includes 2 drink tickets, appetizers, a beef tenderloin dinner and entertainment. The celebration begins at 6 p.m. and will feature live music by the John D. Hale Band, a nationally known Red Dirt country music group from Missouri.

Silent and live auctions will also be held during the evening to support youth scholarships and sponsorship opportunities are also available.… Continue reading

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Study highlights nitrogen efficiency gains in corn hybrids over 70 years

During the past 70 years, hybrid corn varieties have increased both yield and nitrogen use efficiency at nearly the same pace, largely by preserving leaf function during grain filling. The Purdue University study’s findings offer strategies for corn breeders who want to continue to improve yields and nutrient efficiencies.

Decades of genetic improvements in corn have led to a fourfold increase in grain yield since the 1930s, before hybrids were widely used. But those yields also required increases in nitrogen application, and loss of excess nitrogen can damage water and air quality as well as wildlife.

Tony Vyn, the Corteva Agriscience Henry A. Wallace Chair in Crop Sciences and a professor in Purdue’s Department of Agronomy, wanted to know how corn plants have historically utilized nitrogen — especially in reproductive growth — so that breeders can make informed decisions with future hybrids. He and his former doctoral student, Sarah Mueller, obtained seed and grew seven commercially important Pioneer hybrids, approximately one from each decade between 1946 and 2015.… Continue reading

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Ohio’s Ag-LINK Program re-opened farmers impacted by flooding

Due to the extreme weather that has taken a devastating toll on parts of Ohio, Treasurer Robert Sprague announced he has re-opened the application period for the Ag-LINK program.

Through this round of applications, farm operators and agribusiness owners based in Ohio can receive a 2% interest rate reduction on loans up to $150,000. Ag-LINK can provide significant savings and much needed relief to farmers and agribusinesses impacted by recent storms and floods.

“Agriculture is the backbone of Ohio’s economy,” said Treasurer Sprague. “But with heavy rain and floods wreaking havoc on fields across the state, we want to make every opportunity available to help offset some of the inevitable losses that come with this level of severe weather. The Ag-LINK program can help alleviate some of the borrowing costs for farm operators as they work their way through this extremely difficult growing season.”

The Ohio Treasurer’s office administers the Ag-LINK program to help Ohio farm operators and other agricultural businesses finance the up-front operating costs for feed, seed, fertilizer, fuel, and other flood related costs.… Continue reading

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Another active week for Ohio Crop Progress

Warm temperatures accelerated fieldwork despite above average rainfall last week, according to Cheryl Turner, State Statistician, USDA NASS, Ohio Field Office. There were 4.5 days suitable for fieldwork during the week ending July 7. Statewide temperatures averaged approximately 6 degrees above normal. Operators took advantage of rain free days early in the week to plant, and in some cases replant, soybean and corn fields. When the rain did fall, it left ponding in low lying areas of some planted fields, stressing crops. Wheat harvest began in northern Ohio while it continued in southern Ohio. Oats were 76 percent headed last week and harvest was about to begin for some southern Ohio farmers with workable field conditions. Wheat condition remained low as 28 percent of the crop was rated in good to excellent condition, compared with 83 percent last year. Hay harvest progressed quickly as operators hurried to put up their cuttings before the rain fell during the last few days of the week.… Continue reading

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