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Periodicals: Time Valued Monday, July 20, 2009 Two sections Volume 37, No. 29 FarmWeek on the web: FarmWeekNow.com Illinois Farm Bureau ® on the web: www.ilfb.org FUTUREGEN BACKERS celebrated when the U.S. Depart- ment of Energy issued an official decision on the project. ..............2 FEDERAL LEGISLATION will cover many transportation issues and could negatively impact some ag exemptions. ......................4 ILLINOIS WIND ENERGY will pump nearly $2 billion into the state’s economy from existing wind farms and more are coming. .........3 American Farm Bureau Federation President Bob Stallman, right, testi- fies before U.S. Senate Environment and Public Works Committee mem- bers considering House “cap and trade” proposals. Stallman, flanked by Environmental Defense Fund President Fred Krupp, told lawmakers the bill “will have virtually no impact on the earth’s temperature in the year 2050,” but would pose “enormous economic consequences for our country and the agricultural sector.” (Photo courtesy of the Ameri- can Farm Bureau Federation) FAPRI pegs higher ag costs to climate bill BY MARTIN ROSS FarmWeek House climate policy pro- posals are “not the answer” for farmers, consumers, or, for that matter, the world, American Farm Bureau Federation (AFBF) President Bob Stallman last week told senators prepar- ing to debate emissions “cap- and-trade” legislation. AFBF executive public poli- cy director Mark Maslyn warned the consequences of the House plan “are enormous not just for agriculture but for the country.” A new report by Missouri- based Food and Agricultural Policy Research Institute (FAPRI) estimates the House bill would cost the average Mis- souri farmer an added $11,000 a year by 2020 and more than $30,000 by 2050. Given the pace of climate debate, Maslyn was concerned that “few members of Con- gress really know what is in this bill” and hoped ag interests could help the Senate “do a lit- tle better.” Stallman told Senate Envi- ronment/Public Works Com- State budget complete, now come cuts mittee members House mea- sures would be ineffective “if we really want to change what the world’s climate will be in 40 or 100 years.” Unless China, India, and oth- er countries adopt similar green- house emissions restrictions, the U.S. would be “embarking on a fool’s errand at great cost to our economy and our children and grandchildren.” Missouri production costs would increase by 8.1 percent for corn, 4.4 percent for soy- beans, and 10.4 percent for wheat if the bill became law, FAPRI stated. Study co-author Pat Westhoff pegged higher costs to oil and natural gas expenses related to proposed caps on greenhouse gas emissions, and said the cost increases likely would be similar across the Midwest. As input costs increase, growers could adjust input usage and the mix of crops pro- duced, with implications for yields, production, and prices, according to FAPRI. And that, Westhoff told FarmWeek, could impact future farm invest- ment. But he stressed the bottom line ultimately will depend on the extent to which Congress allows producers to market emissions “offsets” generated through conservation, forestry, and other emissions reduc- tion/sequestration strategies. “Anything that affects prof- itability of crop production is going to have an effect on the value of land, both to sell and to rent,” Westhoff said. “If the whole story was the increase in cost we’re reporting here (in the FAPRI study), that would tend to put a downward pressure on land prices and rental rates. “But we haven’t looked at the other side of the ledger. What happens with the ability to sell offsets? What happens if there’s a big enough change in crop prices? Those may actually off- set some or potentially even all of the impacts we’re seeing here. “To make an extreme case, suppose we had large shifts of Stallman: House climate plan a ‘fools errand’? land into forestry? That would make farmland more valuable than it is today.” But while some groups, including the National Associa- tion of Wheat Growers, sup- port the House plan, Stallman told lawmakers fruit and veg- etable growers unlike row-crop farmers “aren’t going to have any real opportunity to partici- pate in the offset markets.” According to The Fertilizer Institute’s Estelle Grasset, the Waxman-Markey bill could encourage widespread “fuel switching” — replacement of coal or other higher-emissions energy sources with natural gas, an important nitrogen fertilizer feedstock. Meanwhile, the bill’s ag pro- visions encourage movement from commercial fertilizer to use of manure, a move that may conflict with some more pre- scriptive farm “best manage- ment” practices, Grasset said. FarmWeekNow.com To learn more about the po- tential impacts of climate change legislation on Mid- west farmers, go to FarmWeekNow.com. BY KAY SHIPMAN FarmWeek The spending cuts will begin in state government now that the General Assembly passed and Gov. Pat Quinn signed a state budget. However, the budget appropri- ates funding in a lump sum instead of through line items and allows the Quinn administration to determine spending levels and cuts, said Bart Bittner, Illinois Farm Bureau associate director of state legislation. “The Illinois budget is cut to the quick and requires Illi- nois government to borrow from its employee’s pension plan to provide a balanced budget,” Bittner said. During floor debate on the vote, many lawmakers said they supported the budget changes to avoid shutting down state govern- ment. “This budget was put together in a very unconven- tional way and will require extensive review to surface all the implications,” Bittner added. The General Assembly passed legislation allowing the state to borrow against the state’s pension system. The bill generates a total of $3.46 bil- lion in short-term bond funds. Of that funding, $2.23 billion will be dedicated to human service programs and services and the remaining $1.23 billion will be spent at the governor’s discretion, according to Bitt- ner. The budget implementation bill, which also passed, sets out many provisions by which state government will operate. Some of the key points are: • Up to $1.1 billion dollars may be held in reserve from any and all state agencies at the governor’s direction; • There will be no cost-of- living increases and 12 unpaid days for state lawmakers; • Per-student funding level for education is $6,119; • Designated funds will be swept from nearly all segments of state government; and • Emergency rules to imple- ment the budget may be adopted with approval from the legislative Joint Committee on Administrative Rule. Bittner emphasized that See Cuts, page 3

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Page 1: FarmWeek Jul.y 20 2009

Per

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Monday, July 20, 2009 Two sections Volume 37, No. 29

FarmWeek on the web: FarmWeekNow.com Illinois Farm Bureau®on the web: www.ilfb.org

FUTUREGEN BACKERScelebrated when the U.S. Depart-ment of Energy issued an officialdecision on the project. ..............2

FEDERAL LEGISLATIONwill cover many transportationissues and could negatively impactsome ag exemptions. ......................4

ILLINOIS WIND ENERGYwill pump nearly $2 billion into thestate’s economy from existing windfarms and more are coming. .........3

American Farm Bureau Federation President Bob Stallman, right, testi-fies before U.S. Senate Environment and Public Works Committee mem-bers considering House “cap and trade” proposals. Stallman, flankedby Environmental Defense Fund President Fred Krupp, told lawmakersthe bill “will have virtually no impact on the earth’s temperature in theyear 2050,” but would pose “enormous economic consequences forour country and the agricultural sector.” (Photo courtesy of the Ameri-can Farm Bureau Federation)

FAPRI pegs higher ag costs to climate bill

BY MARTIN ROSSFarmWeek

House climate policy pro-posals are “not the answer” forfarmers, consumers, or, for thatmatter, the world, AmericanFarm Bureau Federation(AFBF) President Bob Stallmanlast week told senators prepar-ing to debate emissions “cap-and-trade” legislation.

AFBF executive public poli-cy director Mark Maslynwarned the consequences ofthe House plan “are enormousnot just for agriculture but forthe country.”

A new report by Missouri-based Food and AgriculturalPolicy Research Institute(FAPRI) estimates the Housebill would cost the average Mis-souri farmer an added $11,000 ayear by 2020 and more than$30,000 by 2050.

Given the pace of climatedebate, Maslyn was concernedthat “few members of Con-gress really know what is in thisbill” and hoped ag interestscould help the Senate “do a lit-tle better.”

Stallman told Senate Envi-ronment/Public Works Com-

State budget complete, now come cuts

mittee members House mea-sures would be ineffective “ifwe really want to change whatthe world’s climate will be in 40or 100 years.”

Unless China, India, and oth-er countries adopt similar green-house emissions restrictions, theU.S. would be “embarking on afool’s errand at great cost to oureconomy and our children andgrandchildren.”

Missouri production costs

would increase by 8.1 percentfor corn, 4.4 percent for soy-beans, and 10.4 percent forwheat if the bill became law,FAPRI stated.

Study co-author Pat Westhoffpegged higher costs to oil andnatural gas expenses related toproposed caps on greenhousegas emissions, and said the costincreases likely would be similaracross the Midwest.

As input costs increase,growers could adjust inputusage and the mix of crops pro-duced, with implications foryields, production, and prices,according to FAPRI. And that,Westhoff told FarmWeek,could impact future farm invest-ment.

But he stressed the bottomline ultimately will depend onthe extent to which Congressallows producers to marketemissions “offsets” generatedthrough conservation, forestry,and other emissions reduc-tion/sequestration strategies.

“Anything that affects prof-itability of crop production isgoing to have an effect on thevalue of land, both to sell andto rent,” Westhoff said.

“If the whole story was theincrease in cost we’re reportinghere (in the FAPRI study), thatwould tend to put a downwardpressure on land prices andrental rates.

“But we haven’t looked at theother side of the ledger. Whathappens with the ability to selloffsets? What happens if there’sa big enough change in cropprices? Those may actually off-set some or potentially even allof the impacts we’re seeinghere.

“To make an extreme case,suppose we had large shifts of

Stallman: House climate plan a ‘fools errand’?

land into forestry? That wouldmake farmland more valuablethan it is today.”

But while some groups,including the National Associa-tion of Wheat Growers, sup-port the House plan, Stallmantold lawmakers fruit and veg-etable growers unlike row-cropfarmers “aren’t going to haveany real opportunity to partici-pate in the offset markets.”

According to The FertilizerInstitute’s Estelle Grasset, the

Waxman-Markey bill couldencourage widespread “fuelswitching” — replacement ofcoal or other higher-emissionsenergy sources with natural gas,an important nitrogen fertilizerfeedstock.

Meanwhile, the bill’s ag pro-visions encourage movementfrom commercial fertilizer touse of manure, a move that mayconflict with some more pre-scriptive farm “best manage-ment” practices, Grasset said.

FarmWeekNow.comTo learn more about the po-tential impacts of climatechange legislation on Mid-w e s t f a r m e r s , g o t oFarmWeekNow.com.

BY KAY SHIPMANFarmWeek

The spending cuts willbegin in state government nowthat the General Assemblypassed and Gov. Pat Quinnsigned a state budget.

However, thebudget appropri-ates funding in alump suminstead ofthrough lineitems andallows theQuinnadministration to determinespending levels and cuts, saidBart Bittner, Illinois Farm

Bureau associate director ofstate legislation.

“The Illinois budget is cutto the quick and requires Illi-nois government to borrowfrom its employee’s pensionplan to provide a balancedbudget,” Bittner said. Duringfloor debate on the vote, manylawmakers said they supportedthe budget changes to avoidshutting down state govern-ment.

“This budget was puttogether in a very unconven-tional way and will requireextensive review to surface allthe implications,” Bittneradded.

The General Assemblypassed legislation allowing thestate to borrow against thestate’s pension system. The billgenerates a total of $3.46 bil-lion in short-term bond funds.Of that funding, $2.23 billionwill be dedicated to humanservice programs and servicesand the remaining $1.23 billionwill be spent at the governor’sdiscretion, according to Bitt -ner.

The budget implementationbill, which also passed, sets outmany provisions by whichstate government will operate.Some of the key points are:

• Up to $1.1 billion dollars

may be held in reserve fromany and all state agencies atthe governor’s direction;

• There will be no cost-of-living increases and 12 unpaiddays for state lawmakers;

• Per-student funding levelfor education is $6,119;

• Designated funds will beswept from nearly all segmentsof state government; and

• Emergency rules to imple-ment the budget may beadopted with approval fromthe legislative Joint Committeeon Administrative Rule.

Bittner emphasized that

See Cuts, page 3

Page 2: FarmWeek Jul.y 20 2009

RIVER FEES ‘ILL-ADVISED’ — Commercial riv-er interests last week pushed Congress to sink an admin-istration-proposed lock usage fee for the barge industry.The Waterways Council Inc. (WCI) opposes a proposalto phase out the current inland waterways diesel fuel taxin favor of new user fees.

WCI President Cornel Martin argued fees are “intend-ed ultimately to triple the taxes paid by commercial usersof the waterways system,” likely forcing shippers todivert cargo to congested highways and railways. Feeswould be imposed on the Mississippi River and at Chica-go and St. Louis ports, among others.

The idea was rejected by the previous Congress, butActing Assistant Secretary of the Army for Civil WorksTerrence Salt recently testified in support of lockagefees.

In a letter last week, bipartisan lawmakers asked col-leagues in districts “dependent on a navigable waterwaywith a lock” to sign on in opposition to the proposal.

MOWER MAKERS MULL E15 — The Alliance fora Safe Alternative Fuels Environment (AllSAFE), whichrepresents recreational boats and marine engine, chain-saw, lawnmower, motorcycle, snowmobile, and relatedequipment/vehicle manufacturers, has challenged theEnvironmental Protection Agency (EPA) about GrowthEnergy’s fuel waiver application for E15 (15 percent)ethanol gasoline blends.

In comments to EPA, AllSAFE voiced concerns overproposed expansion of the waiver request to include“bifurcating” the fuel supply — allowing both existingstandard E10 blends and E15 in the market simultane-ously.

“E15 has not been sufficiently tested and poses a haz-ard that could potentially bring physical endangerment toconsumers,” said Kris Kiser, spokesman for AllSAFE.

Growth Energy’s Michelle Kautz countered that an“immense amount of testing has shown that there is noscientific justification for the 10 percent limit onethanol.” She cited comprehensive studies over the pasttwo years documenting safe higher blend use in 100-plusvehicles, 85 vehicle and engine types, and 33 fuel-dis-pensing units.

CONSERVATION CONGRESS BACK — IllinoisNatural Resources Director Marc Miller is bringing backthe Conservation Congress program, but will use a dif-ferent process than previous congresses. Farm Bureaumembers are encouraged to participate.

Efforts to surface ideas will start with subcommitteemeetings of the Illinois Department of NaturalResources (IDNR) Advisory Committee. The three sub-committees on youth recruitment, public access, andfunding each will meet three to five times, starting at 5p.m. today (Monday) and continuing through Octoberwhen the congress will meet Oct. 24-25.

Meetings are open to the public and don’t require cre-dentials or registration. Each meeting will contain timefor public comments. County Farm Bureaus havereceived information about Conservation Congress.Meeting details are posted online at{www.dnr.state.il.us/index.htm}.

FarmWeek Page 2 Monday, July 20, 2009

(ISSN0197-6680)

Vol. 37 No. 29 July 20, 2009

Dedicated to improving the profitability of farm-ing, and a higher quality of life for Illinois farmers.FarmWeek is produced by the Illinois FarmBureau.

FarmWeek is published each week, except theMondays following Thanksgiving and Christmas, by theIllinois Agricultural Association, 1701 Towanda Avenue, P.O.Box 2901, Bloomington, IL 61701. Illinois AgriculturalAssociation assumes no responsibility for statements byadvertisers or for products or services advertised inFarmWeek.

FarmWeek is published by the Illinois AgriculturalAssociation for farm operator members. $3 from the indi-vidual membership fee of each of those members go towardthe production of FarmWeek.

Address subscription and advertisingquestions to FarmWeek, P.O. Box 2901,Bloomington, IL 61702-2901. Periodicalspostage paid at Bloomington, Illinois, andat an additional mailing office.

POSTMASTER: Send change of address notices onForm 3579 to FarmWeek, P.O. Box 2901, Bloomington, IL61702-2901. Farm Bureau members should sendchange of addresses to their local county Farm Bureau.

© 2009 Illinois Agricultural Association

STAFFEditor

Dave McClelland ([email protected])Legislative Affairs Editor

Kay Shipman ([email protected])Agricultural Affairs Editor

Martin Ross ([email protected])Senior Commodities Editor

Daniel Grant ([email protected])Editorial Assistant

Linda Goltz ([email protected])Business Production Manager

Bob StandardAdvertising Sales Manager

Richard VerderyClassified sales coordinator

Nan FanninDirector of News and Communications

Dennis VerclerAdvertising Sales RepresentativesHurst and Associates, Inc.P.O. Box 6011, Vernon Hills, IL 600611-800-397-8908 (advertising inquiries only)

Gary White - Northern IllinoisDoug McDaniel - Southern IllinoisEditorial phone number: 309-557-2239Classified advertising: 309-557-3155Display advertising: 1-800-676-2353

Quick TakesGOVERNMENT

YOUNG SHOWMEN

Cole Brown, 5, left and his brother Colton, 8, show their YorkshireHampshire hogs during the market gilt class of Clinton County 4-HFair in Carlyle last week. Their parents are Cary and Connie of ruralPocahontas. See what influence 4-H fairs can have on participatingyouth on page 16. (Photo by Ken Kashian)

DOE announcement ‘major step’toward FutureGen realizationBY MARTIN ROSSFarmWeek

Supporters of Mattoon’s long-delayedFutureGen facility celebrated an important fed-eral formality last week as the U.S. Departmentof Energy (DOE) issued its official “record ofdecision” (ROD) on the potentially ground-breaking coal power/sequestration project.

DOE recently reached an agreement with theFutureGen Alliance — a consortium of utility,coal, and related interests — to reactivate activi-ties aimed at construction of the country’s firstcommercial-scale, fully integrated carbon cap-ture/underground sequestration (storage) pro-ject.

The ROD is a final public decision that certi-fies the site meets environmental requirementsnecessary for the project. An environmentalimpact statement on the proposed project wascompleted in November 2007, but formerEnergy Secretary Samuel Bodman shelvedFutureGen in early 2008 as being potentiallytoo costly.

In February, Congress approved $1 billionfor “clean coal” research, with spending atDOE’s discretion.

Illinois Gov. Pat Quinn called release of theDOE’s record of decision “a major step for-ward on our journey to build the world’s clean-est burning coal-fired power plant.” Quinn

pledged to continue to work with the Future-Gen Alliance, DOE, and others “to makeFutureGen a reality.”

“We look forward to continuing to worktogether as we move forward on restartingdesign activities, updating the cost estimate andexpanding membership in the Alliance so thatthe people of Mattoon, our nation, and theworld can reap the benefits of FutureGen,”alliance CEO Michael Mudd stated.

A final decision on FutureGen is expectedby early 2010.

FutureGen technology could prove crucialto Illinois agriculture. During an IllinoisAgribusiness Roundtable in Bloomington,Archer Daniels Midland Co. Vice PresidentGreg Webb argued U.S. House proposals to capfuture greenhouse gas emissions would imposea “disproportionate” penalty on Midwest coal-powered electrical generation.

Movement from coal to natural gas-basedgeneration could constrain feedstock suppliesfor the fertilizer industry and greatly boostfarm anhydrous ammonia costs.

If carbon sequestration will be necessary tooffset the costs of congressional emissionsmandates, “we’d better get started,” AmericanFarm Bureau Federation policy analyst AlisonSpecht told the Illinois Farm Bureau Board ofDirectors.

Cyclists will ride throughEastern Illinois Sept. 8-10for the 14th Annual IllinoisAgriculture in the Classroom(IAITC) Bike Ride.

The event, hosted by theIAA Foundation, will coverroutes through Clark, Coles,Cumberland, Douglas,Edgar, Effingham, Jasper,Moultrie, and Shelby coun-ties.

Riders will stop at about25 schools along the route.At each school, the riderswill present a skit focusingon the importance of agri-culture and discuss bicyclesafety. IAITC is dedicated toteaching students about thebenefits of modern agricul-ture.

“This ride not only pro-vides an education for thestudents, but also thecyclists,” said Paul Roney,bike ride co-chair.

“I farm in Central Illi-nois, and this ride hasallowed me to see firsthanddifferent agricultural issuesfacing my peers around thestate.”

“The bike ride is a lot offun and provides an oppor-tunity to meet a lot of greatpeople and raise funds for agreat cause,” added StanGrebner, the other bike rideco-chair.

All ride routes followpaved roads and will beginand end in Mattoon each day.Riders may participate one,

two, or three days and havean option to ride short (40miles), medium (65 miles), orlong (100 miles) routes.

Riders who register byAug. 21 will save $20 and payonly $75 for registration.After that date, the registra-tion fees will increase to $95.

Individuals who raisemoney for IAITC willreceive special rider benefits.Those who raise donationsof $250 to $499 will receivefree registration; donations

of $500 to $900 will garnerfree registration and meals;and those with donations of$1,000 or more will receivefree registration, meals, andlodging.

All cyclists who raise moneyfor IAITC will have theirnames entered into a drawingfor a new bicycle donated byVitesse Cycle Shop, Normal.More registration details areavailable online at{www.iaafoundation.org} orby calling 309-557-2230.

Sep t . 8 -10Bike ride heads east to raise funds for IAITC

Page 3: FarmWeek Jul.y 20 2009

GOVERNMENT

FarmWeek Page 3 Monday, July 20, 2009

Continued from page 1although the budget bill con-tains funding for each stateagency and state services andprograms, the administrationhas the discretion to decidewhat programs and serviceswill be funded.

This is different from theusual practice of the GeneralAssembly passing a budgetwith specific line items andamounts, he noted.

Bittner pointed out thefinal budget did not includeproposed increases to agricul-

tural- and conservation-relat-ed fees that had been opposedby IFB.

During the November vetosession, the administrationand General Assembly will beable to assess the amount ofrevenue generated.

That information will helpdetermine whether a newfunding source will be neces-sary to fund the remainder ofthe fiscal year as well as pro-vide key information aboutrevenue needs for fiscal year2011, Bittner explained.

CAPITAL BILL THANKSIFB President Philip Nelson

noted IFB members achieved asignificant milestone when thegovernor signed the capitalbill. The bill includes autho-rization for uniform truckweight limits up to 80,000pounds, a long-time legislativegoal for IFB and other agricul-tural organizations.

“It took several years ofhard work and persistence tosucceed,” Nelson said. “Thankyou to all of you who workedtogether to make this happen.”

Cuts

BY KAY SHIPMANFarmWeek

Wind energy is expected topump billions into the state’seconomy with more dollarsanticipated as more wind pro-jects are completed.

“This is an exciting time tobe in wind energy — even in acredit crunch,” said DavidLoomis, an Illinois State Uni-versity (ISU) economist. Lastweek at a state wind powerconference in Bloomington,Loomis gave the results of anew ISU state economicimpact study of wind energydevelopment.

Loomis based his study on17 existing wind farms. Henoted another 56 projectshave been proposed but havenot received county govern-ment permits. Developers areconsidering proposals foranother 22 projects. “There’sa lot more coming,” Loomisquipped.

The existing 17 wind farmsare expected to contributenearly $2 billion to the state’seconomy over the farms’ 25-year lifespan. Loomis addedthe projects could operatelonger so the economic con-tribution may be larger.

Economic benefits fromwind energy developmenthave been notable in Illinois,according to Loomis. “Theimpact (of new jobs) is greatlymagnified in small communi-ties,” he said.

Wind developments alsoprovide a steady income oflease payments to landowners,strengthen the local tax base,and offer stable energy pro-duction costs, Loomis said.

Statewide, wind farmsdirectly created 934 construc-

tion jobs and 65 long-termjobs for a total of $92 million.

Wind energy projects alsohave substantial indirect eco-nomic impacts. Landownershave received $4.36 million inannual payments. Local gov-ernments have received $11.4million in annual property tax-es.

Businesses that supplymaterials and services to theconstruction project or con-struction workers created5,085 new jobs, which

Illinois harnessing economic bonanza from windState primed to tap federal energy stimulus money

The Department of Energy (DOE) official who will help dis-tribute $16.8 billion in federal stimulus dollars sees increasedgovernment emphasis on renewable energy, including wind ener-gy.

“The change under this administration is more (federal) agen-cies are involved ... It’s a good thing (energy)now crosses government agencies. We need todo this to be successful,” said Gary Nowakows-ki, renewable energy technology branch chiefwith DOE’s Office of Energy Efficiency andRenewable Energy (EERE).

Illinois’ wind energy production also haschanged, Nowakowski said, since he movedfrom the state after living near Chicago for 20years.

“In 2002, Illinois didn’t have a single turbine.There’s been tremendous progress,” he said.

“You ought to be proud of what’s happening in Illinois.”Nowakowski outlined federal stimulus funding for renewable

energy, including wind energy, last week during a state windpower conference in Bloomington. He described several renew-able energy initiatives that are occurring in USDA, the Depart-ment of Labor, Internal Revenue Service, Federal AviationAdministration, Department of Interior, Environmental Protec-tion Agency, and Federal Energy Regulatory Commission, aswell as DOE.

Of $787 billion in federal stimulus funds, about $100 billionis dedicated to energy, according to Nowakowski. Roughly $40billion of the energy funds is allocated for clean energy, includ-ing $16.8 billion for EERE programs.

EERE will distribute $3.1 billion in state energy programs.Nowakowski estimated Illinois might receive $1.4 million ofthose funds under the traditional distribution formula.

EERE’s research and development budget was doubled to atotal of $2.5 billion with $1.3 billion earmarked for wind energyand solar energy and $800 million for cellulosic/biomassresearch.

Universities may compete for $24 million that will be awardedto three recipient university groups to conduct wind orhydropower research, he added.

The government also is planning major upgrades to its windenergy research facilities and for facilities to test newer windtechnology, such as longer turbine blades.

“As turbines get bigger, their drive trains get bigger. We’veoutgrown facilities to test drive trains for reliability,” Nowakowk-si explained.

One expected wind funding announcement was made Friday.Department of Energy Secretary Steven Chu announced 28 newwind energy projects would receive $13.8 million, including$12.8 million in federal stimulus funds.

The recipients include the Illinois Institute of Technology,Chicago, which will receive $749,877 to develop a market stimu-lation tool to facilitate wind energy integration.

While the government will award other grants, Nowakowskianticipated increased government interest in loan guarantees,especially in energy technology. “This (loan guarantees) is a bigarea of interest for Secretary Chu,” he said. — Kay Shipman

GaryNowakowski

MONEY TALK

Illinois State Treasurer Alexi Giannoulias, left, chats with IllinoisFarm Bureau Vice President Rich Guebert Jr. at the IFB office inBloomington last week. Giannoulias announced the state’s farmlink-deposit program, Cultivate Illinois, again offers a link-of-cred-it option after he implemented new safeguards. About 11,200farmer borrowers participate in the program, which is the largestof its kind in the U.S. (Photo by Cyndi Cook)

pumped $695 million intolocal economies.

Another 227 new indirectjobs were created once theproject began operation andare contributing $42 millionannually to local economies.

The state will gain anothereconomic boost if Illinoismanufacturers supply thewind energy industry, Loomisnoted. He added 200 manu-facturers from Illinois andnearby states attended a one-day meeting on supplying thewind industry last week inBloomington.

In addition, internationalturbine manufacturers areconsidering building assemblyplants in the U.S. “There’stremendous opportunity inthe next two years to land aplant in Illinois or in a neigh-boring state,” Loomis said.

Wind energy from turbines, such as this one in McLean County, willcontribute nearly $2 billion to the state’s economy from the 17 existingIllinois wind projects over the projects’ 25-year lifespan, according toa new Illinois State University study. (Photo by Ken Kashian)

Page 4: FarmWeek Jul.y 20 2009

GOVERNMENT

FarmWeek Page 4 Monday, July 20, 2009

USDA report offers little livestock ‘ammunition’BY MARTIN ROSSFarmWeek

A new USDA manure man-agement report provided littleammunition for producers seek-ing to stave off efforts to regu-late animal wastes as hazardousmaterials, but Farm Bureauremains hopeful a federal courtnonetheless will rule in favor oflivestock producers this fall.

Trial is scheduled Sept. 21in Oklahoma Attorney Gener-al Drew Edmondson’s lawsuitaccusing a dozen Arkansaspoultry processors of pollut-ing Arkansas and Oklahomawatersheds. The case has

address the Oklahoma case andsuggested mandated nutrientmanagement plans would havelittle impact on the structure orstate of the livestock industry.

“I would characterize it askind of disappointing,” Weg-meyer told FarmWeek. “Theydidn’t address the specificquestion we really wantedthem to — the economic con-sequence to the farmer ifmanure was classified as a haz-ardous substance, if this casewent against us.

“(ERS) basically down-played the effect of environ-mental regulation. They talk

about 2.5 to 3.5 percent addi-tional production cost foradditional regulation that couldbe put into the system. Theysay there’s going to be a mini-mum impact, and that the onesthat would be hit the hardestwould be the large farms.”

Prospects for a congressionalCERCLA remedy do notappear likely, Wegmeyer said.An unfavorable court rulingposes “catastrophic” implica-tions for livestock operators andlikely would spur ag groups andfarm lawmakers “to move asfast as we possibly can to pro-tect our farmers,” he suggested.

raised fears of similar lawsuitsbeing filed against producersand processors and expandedregulation particularly of con-centrated animal feeding oper-ations (CAFOs).

Producers argue livestockwastes should not be regulated ashazardous substances under theComprehensive EnvironmentalResponse, Compensation, andLiability Act (CERCLA).

A congressional proposal toexempt manure has not yet beenreintroduced this session, andAmerican Farm Bureau Federa-tion (AFBF) regulatory specialistTyler Wegmeyer sees “efforts in

Congress to attack CAFOs.”Producers saw some

progress in May when a feder-al appeals court blockedEdmondson’s injunctionagainst manure application.But Wegmeyer warns produc-ers not to “get too excited”that a new USDA EconomicResearch Service (ERS) reportwill provide “ammunition”against regulations “we all fearare coming down the road.”

AFBF pushed the study aspart of the 2008 farm bill in theabsence of a legislative CERCLAexemption. However, USDA’sreport to Congress did not

Congress eyeing rules of the road, highway fundingProducers can’t afford to be

asleep at the wheel as Congressdebates regulatory changes thatcould slow ag commerce, SoyTransportation Coalition (STC)Executive Director Mike Steen-hoek warns.

Forthcoming federal high-way bill reauthorization willcover a wide range of issues,from road and intermodaltransportation projects to fed-eral motor carrier regulations.Steenhoek sees an “emergingdrumbeat” to remove the cur-rent ag exemption from “hoursof service” limits for commer-cial semi drivers.

Under federal motor carriersafety regulations, most opera-

Oberstar (D-Minn.) has pro-posed $500 billion for trans-portation over the next sixyears, including $100 billion forhighways. Steenhoek stressedthe need to ensure future high-way funding mechanisms donot “adversely or dispropor-tionately harm agriculture.”

He fears debate may bogdown amid disagreement overwhether to generate fundsthrough continued fuel taxes, newtaxes on miles traveled, or even an“infrastructure bank” that wouldauthorize public-private funds fornational or regional projects.

New funding in some form

will be crucial: Steenhoek notedonly 11 percent of the $787 bil-lion in recent stimulus fundingwas allocated for transportation-infrastructure projects. And partof those funds have been targetedto water projects, electrical trans-mission, or similar improvements.

“Really only 7 percent of theoverall legislation actually isgoing toward transportationprojects,” Steenhoek said.

“A lot of that is for high-speed rail and projects forurban America. There’s really asmall percentage that will haveany meaningful impact for ruralAmerica.” — Martin Ross

tors carrying goods may drive amaximum 11 hours only after10 consecutive hours off-duty.

Excluded are drivers whotransport ag commodities orsupplies, stay within 100 air-miles of their base of opera-tions, and operate during plant -ing and harvesting seasons.

Charges that the existing agexemption creates a potentialsafety hazard are “highly dis-putable,” Steenhoek said.

“When it’s time to harvestand you need to get your grainand oilseeds into the bin or toyour original delivery point, youneed to take advantage of thatopportunity,” he toldFarmWeek. “We’re so depen-

dent upon the weather. Youreally need a high degree offlexibility for agriculture.”

The American TruckingAssociation (ATA) Agriculturaland Food Transporters Confer-ence refuted a recent U.S.Department of Transportation(DOT) report alleging that agcrash rates, violations, and“out-of-service” rates haverisen since 2005.

ATA consultant and 12-yearDOT veteran Ronald Kniplingquestioned those findings, argu-ing new ag restrictions wouldhave “little measurable effecton short-haul trucking safety.”

House Transportation andInfrastructure Chairman James RC seeks less red tape

for short-haul truckersIllinois Farm Bureau’s Resolutions Committee (RC) has rec-

ommended a structural overhaul of the organization’s trans-portation policies, with some proposed fine-tuning for short-haul farm truckers.

Roger Hardy, chairman of the RC State and Local Govern-ment (SLG) Subcommittee, noted “regrouping” of various high-way, vehicle registration, and railroad/railway provisions into amore unified transportation policy.

The RC will reconvene in November to develop final policy pro-posals for discussion at IFB’s Dec. 5-8 annual meeting in Chicago.

The committee supported exemption of farm-to-market trans-portation of ag products from U.S. Department of Transporta-tion (DOT) number/Unified Carrier Registration requirements.

Johnson County Farm Bureau, which offered the resolution, not-ed many markets for Southern Illinois producers are in neighboringstates and sought to allow personal farm vehicles, pickups, and live-stock trailers to move across state lines without federal registration.

“People who haul livestock in gooseneck trailers may berequired under current definitions to have a DOT number,”Hardy related. “That requires more paperwork and more report-ing which may not really be necessary.”

Transportation safety also was a priority for the RC. It proposedallowing transfer of anhydrous ammonia from a maximum 12,000-gallon capacity cargo tank motor vehicle into 3,000-gallon or smallercapacity containers mounted on farm vehicles or into 6,000-galloncontainers mounted on motor-driven applicators only if the cargotank vehicle has been converted to in-field specifications.

SLG members noted transferring anhydrous from a 12,000-gallon tanker with standard 2 1/2-inch plumbing at roughly 500gallons per minute greatly exceeds “acceptance” by a 3,000-gallonvehicle with one-inch plumbing.

That method of transfer is safer than hauling large quantities ofanhydrous in smaller vehicles over several trips, “but we have tomake sure that the method of putting it into these farm vehicles isalso safe,” the subcommittee advised. — Martin Ross

Page 5: FarmWeek Jul.y 20 2009

GROWMARK

FarmWeek Page 5 Monday, July 20, 2009

Second of a series

Technology driving change in GROWMARK seed businessBY HEATHER MILLER

The GROWMARK Seeddivision is growing. In the past10 years, GROWMARK Seedadded three brands to its port-folio, put more local districtsales managers on the ground,and saw sales increase five-fold to $250 million.

Ron Milby, GROWMARKSeed division manager, saidthis growth has come in themidst of huge changes in theindustry.

“A lot of crops used to besprayed with technology, nowthe technology’s in the crop.That’s really what’s driving thischange,” he said.

To remain competitive in achanging market, GROW-MARK expanded its seed line-up to include DeKalb, Asgrow,and NK brand seeds in addi-tion to its proprietary FS Seedbrand.

GROWMARK also sold itscorn and soybean productionfacilities and began outsourc-ing actual seed production in2006 so the focus couldremain on marketing.

GROWMARK Seed divi-sion products are subject to atleast four types of research.Dennis Garzonio, seed cornproduct manager, said a new

product must endure two tofour years of small-plotresearch before it makes it tostrip plot trials.

FS advancement trials alsohelp evaluate new hybrids. Theemphasis on local researchmeans FS Seed is engineeredto work perfectly in the Mid-west.

Whether it is an indepen-dent, university, or companytrial, “We are very, very com-petitive,” said Garzonio. “Ourperformance has continued toimprove.”

The GROWMARK Seeddivision works hand in handwith the cooperative’s plantfood and crop protectionexperts, as well as local cropspecialists, to ensure a com-

plete package for producers. “The decision you make for

your seed drives a lot of therest of the agronomic deci-sions you are going to make,”said Rod Woelfel, manager ofagronomy marketing and agro-nomic services.

In the GROWMARK Sys-tem, FS crop specialists aretrained not only to sell seed,but also to create whole-farmcropping solutions that con-sider all aspects of crop pro-duction.

“We offer a solutionsapproach; our local crop spe-cialists understand the grow-er’s goals and values and tailora package of products and ser-vices to make sure the bestagronomic recommendationsget put with the seed that wesell,” Woelfel said.

Heather Miller is GROW-MARK’s corporate communicationsintern. Her e-mail address [email protected].

Wabash Valley Service Co. receives environmental award

Wabash Valley Service Co., Browns, received the 2009National Environmental Respect Award, earlier this month inWashington, D.C.

Wabash Valley won the national award based on excellencein site design, in-plant storage and handling procedures, properapplication, and leadership in safety and stewardship amongcustomers and employees.

Wabash Valley’s operation spans 10 acres and includes thelatest in physical plant design and technology. The cooperativeprovides extensive training for its 34 employees, and uses pre-cision technology for site-specific application of agriculturalinputs.

The award is sponsored by CropLife magazine and DuPontCrop Protection. It is the agricultural industry’s highest recogni-tion for environmental stewardship among U.S. agriculturalretailers, suppliers of nutrients, pest control, and agronomicinformation and services.

Page 6: FarmWeek Jul.y 20 2009

Bernie Walsh, Durand, Winnebago County: Generallygood growing conditions againlast week with rain on Tuesdaynight of between 0.75 and 1.5inches. It is still cooler than nor-mal and the wheat is drying outvery slowly because of that. Weprobably will combine wheat thisweek. There was a lot of second-

crop hay made last week. We had some windlast Friday, July 10, strong enough to blowcorn down. Some varieties stood the windbetter than others. It is looking better alreadyand may straighten up. Much of the early-planted corn tasseled out last week.

Pete Tekampe, Grayslake, Lake County: A cool, dry weekin Lake County. Got 0.6 of an inchof rain on Wednesday morningand by 2 p.m., there was dust fly-ing again. Early corn looks good,but needs a lot of heat and time.Late corn is barely a foot high andneeds a whole lot of help. Earlybeans look good, while late

beans are short and not growing much in thiscool weather. Winter wheat is almost readyand some should be cut this week. Springgreens are starting to turn. The forecast is formore cool and dry. I hope it is wrong.

Leroy Getz, Savanna, Carroll County: Rain of 0.8 of aninch on July 10 and another 0.3of an inch on July 15 totaled 1.1inches for the week. More corn-fields are showing tassels andsilks. The cool weather, whichwas only at 54 degrees Fridaymorning, will be good for pollina-tion. Soybeans are showing

more blooms and are looking better every-day, but they are still on the short side. I knowsome soybeans were just planted on riverbottom ground this past week. I will see howthey come out later. Wheat and rye harvestare starting on the limited basis.

Ron Frieders, Waterman, DeKalb County: Cooler-than-normal temperatures are slowingcrop growth. Corn is getting clos-er to pollination, but hardly anyfields have started tasseling yet.So far, disease and insect pres-sure are low. Soybeans are grow-ing slowly, but steadily. Cool andmoist conditions are favorable forwet mold. When beans starting

setting pods, it will be very important towatch for this yield-robbing disease. Controlis not cheap — about $25 per application,and two sprayings probably will be needed.Wheat is being harvested. I have heard 80-to almost 100-bushels-per-acre yields withsome test weight and moisture dockage.

Larry Hummel, Dixon, Lee County: A forecasted high of 68degrees for Friday and tempera-tures all week that couldn’t hard-ly make it into the 80s are notwhat this late-planted cropneeds. Last week I reported thatour first-planted corn was juststarting to tassel. It doesn’t lookmuch different a week later. The

last of the corn we planted is about shoulderhigh and has a long way to go to reach matu-rity. We started wheat harvest on Tuesday.The test weight was right around 60 poundsand moisture just above 14 percent. Tuesdaynight we got rained out. By noon onThursday, the moisture was back down toabout 16 percent and the sun was shining.So, it seemed prudent to wait a few hoursand let it dry out some more. At 5 p.m. apopup shower the size of a thimble droppedhalf an inch of rain on us. Maybe this week.

Ken Reinhardt, Seaton, Mercer County: A couple moreinches of rain since last week’sreport. The rain total for the yearis more than 30 inches, gettingclose to the normal yearly total.The Edwards River has floodedevery month so far. What littlewheat there is around has beencut. Oats are ripening. Corn is

from brown silk down to waist high.Fungicide applications are starting on corn.

Jacob Streitmatter, Princeville, Peoria County: More rainfell across the area. The past tworains have been below 1 incheach. Corn is finally growing andsoybeans that are barely 6 inchestall are blooming. For most of thecorn it will be awhile before itstarts to tassel. Hopefully, we canget rains that are below 1 inchand not above 3 inches.

Tim Green, Wyoming, Stark County: It was a nice week inthe mid-80s, but of course, it raineda couple of days. We could stop therain for awhile and save it for theend of August. Crops are lookingdecent, but are really, really behind.Our beans are still pretty small andour cornfields haven’t shot a singletassel yet. The second-crop hay is

getting put up. People are trying to get their lastspraying done. There is a little bit of talk aboutthe Japanese beetle starting to come in, so weare trying to keep an eye out for that.

Ron Haase, Gilman, Iroquois County: On Wednesday wereceived 0.4 to 0.6 of an inch ofrain. Then on Thursday night, wegot another 0.6 of an inch to 1.3inches. Most cornfields in thearea are anywhere from the V-13to the R-1 growth stage. Leaf dis-eases are appearing in corn. Iresponded by spraying fungicide

on one of those fields Thursday night.Looking above cornfields locally shows thatthe compaction issues have not gone away.The interior of the field looks much differentthan the four or five rows next to the road.Area soybean fields are from the beginningbloom (R-1) to the full bloom growth stage(R-2). Local closing prices for July 16 were:nearby corn, $3.09; new-crop corn, $2.98;nearby soybeans, $10.23; new-crop soy-beans, $8.63. Friday we took our boys to theIroquois County Fair.

Brian Schaumburg, Chenoa, McLean County: An inch ofrain for the week is just what thedoctor ordered, and cropprospects continue to improve.Fungicide was applied to cornplanted April 25-26. More will beready to spray by next Friday.Soybeans planted May 20 are inthe R-2 stage. Japanese beetles

are the only pest at present, but are not at eco-nomic thresholds. ACRE (average crop rev-enue election) decisions are getting easierwith the collapse in prices: corn, $3.15; fall, $3;soybeans, $10.31; fall, $8.55; wheat, $4.38.

Steve Ayers, Champaign, Champaign County: Fridaymorning’s temperatures weremore like May than mid-July.After 0.8 of an inch of rainWednesday, crop conditionslook great as tasseling contin-ues. Our crop reporting districthas us with a 42-inch averagecorn height. Starting to see

some yellowing in soybean fields. I havemore pinging of Japanese beetles on mywindshield, but they are causing minimaltassel clipping. Wheat harvest is finishingand baling continues. Double-cropping soy-beans is a real roll of the dice as late as weare. Farmers are busy scouting, spraying,and mowing.

Wilfred Dittmer, Quincy, Adams County: Crop conditionshave not improved a whole lotsince last report except some ofthe early cornfields are showingsigns of more stress with the dif-ferent-colored corn and the dif-ferent heights in a lot of areas.Some early fields are tasseledand others are close behind.

Soybeans are growing, but they have a longway to go and the calendar is July and notJune. Still plenty to do with mowing etc. andit is almost fair time again. The rain gaugecaught only 0.2 of an inch here for the weekand we could use about 2 inches.

Harry Schirding, Petersburg, Menard County: It had beendry until Tuesday when wereceived between 0.7 and 3-plusinches of rain. With adequatemoisture for silk elongation andpollen shed, there are few prob-lems to affect pollination. Severalproducers are applying fungicideto corn in an effort to control

what appears to be an above-average infes-tation of gray leaf spot. Soybeans continue todevelop normally without many problems,thanks to ideal weather conditions. Japanesebeetles are affecting only localized areas,and few field crops have been treated.Harvesting of hay continues to be challengedby the weather. Corn nearby, $3.14, down 11cents; soybeans nearby, $10.30, down 49cents; corn for January, $3.06, down 8 cents;soybeans for January, $8.80.

Jimmy Ayers, Rochester, Sangamon County: This pastweek, we received a little morethan an inch of rain in our area,but rain amounts varied allaround. The pollination processon the earlier corn is comingalong real well. It has been muchcooler than normal, slowing cropgrowth. It was 58 degrees Friday

morning. A second pass of chemicals is beingsprayed on the beans and the beans have allcanopied in the 15- and 30-inch rows. Sprayplanes were running last week. I’m not surewhether they were for fungicide or Japanesebeetles. Beetles are hitting some areas prettyhard. As you drive around, you can hear themon the windshield. Some hay got put up ingood shape, and some of it got a little bit wet.Markets don’t appear to be reflecting thecrops in our area. There must be some goodcrops around the nation elsewhere.

Doug Uphoff, Shelbyville, Shelby County: We had anoth-er 0.7 to 1 inch of rain. Somefungicide is being sprayed oncorn, but I have not yet foundenough gray leaf spot to warrantan application. Later-plantedcorn is a week from tasseling.Beans will need to be sprayedagain in a couple weeks, and

hay will need to be mowed. Rain for themonth is anywhere from 3-plus inches in thenorthern part of county to 2 inches in the mid-dle of the county. I am on the way to get anankle X-rayed from a farm accident Thursday.Hopefully, it’s not broken! Corn and beanprices are still free-falling. A lot of grain isbeing delivered to Decatur as most farmershave given up hope for higher prices.

David Schaal, St. Peter, Fayette County: Friday morning,the temperature was 61 degreeswith another inch of rain in thegauge. Thursday night rain comewith a lot of thunder and heavylightning. It was another wetweek here with a little more than4 inches of rain in the gaugesince last report. Places in the

county had more with heavy rains on themorning of July 11. Usually in the middle ofJuly we are begging for rain, but now wewould like for Mother Nature to give us a littlebreak. A lot of Roundup beans will need to besprayed as soon as field conditions permit.The corn crop continues to grow, but sureneeds warmer weather as do the soybeansthat have two to three leaves. Our fair weekwas wet as usual. Only thing different is itwasn’t 100 degrees in the shade.

Ted Kuebrich, Jerseyville, Jersey County: Jersey CountyFair was in progress last weekand one of the longest-standingtraditions of fair week is that itrains. This year was no excep-tion. On Wednesday, Jerseyvilleand the surrounding areareceived 4 inches of rain. Therest of the county averaged 1.5

to 4 inches. Early-planted crops are lookinggood and the later-planted crops are startingto grow and even out. Some of the late beansare a little slow getting started due to all therain. There are fields in which the small beansare under water and drowned out. Cash corn,$3.32; new corn, $3.01; January corn, $3.12;cash beans, $10.12; new beans, $8.78;January beans, $8.95; July wheat, $4.23.

Dan Meinhart, Montrose, Jasper County: Rains movedthrough the area on Saturday,July 11. Amounts varied from 0.5of an inch to 3 inches. More rainmoved through on Wednesdayleaving another 0.5 of an inch to3 inches. Showers returnedagain on Thursday night. Beansare still going into the ground, but

there will be thousands of acres that will notbe planted this year. Corn is still being side-dressed. Corn and beans are being sprayedwhere ground conditions permit. The corn isvery uneven. The later-planted corn is show-ing extreme stress due to the wet weather. Awarming trend is expected this week.

Rick Corners, Centralia, Jefferson County: We had nearly4 inches of rain last week. Thatmakes more than 7 inches of rainalready for this month — unheardof. A few tassels are starting topeek out of several cornfields.There are some really good-look-ing crops, and there are somereally nasty-looking ones, also.

CROPWATCHERS

FarmWeek Page 6 Monday, July 20, 2009

Page 7: FarmWeek Jul.y 20 2009

having a problem killing the water hemp and the pig weed.On another note, the southern part of Jackson County hasa lot of vineyards and orchards, and the peach and applecrops seem to be real good this year, as is the grape crop.Those fellows have done OK, I guess, so we’ll want to enjoytheir products later on this year.

Kevin Raber, Browns, Wabash County: It rained twice this pastweek, keeping the ground very moist.The corn looks good from the road,but you know those drowned out andstunted spots are still there, you justcan’t see them anymore. The cooltemperatures feel good, but the cornneeds more growing degree days soit can play catch-up.

Ken Taake, Ullin, Pulaski County: We received another inchof rain on Saturday, July 11. It real-ly soaked in and was very benefi-cial to our crops. Corn and beansare both growing very quickly.Even with the trying planting con-ditions and the poor stands, if theweather continues to be as goodas it has been, we may get back

to an average crop for the year. It will really begood after the difficult start we had. Someareas of the county didn’t get as much rain andthey are starting to get pretty dry. It will reallydepend on weather from here on out.

Dean Shields, Murphysboro, Jackson County: MotherNature dumped 3 to 5 inches ofrain on Jackson County thispast week. The Big Muddy Riverthat goes through JacksonCounty is out of its banks, andsome guys are getting their cornand soybean fields flooded forthe second and third time. The

rest of crop is enjoying the water and theweather. It is growing well. The biggest prob-lem with the corn crop is how much variancethere is in its size. The same goes for thesoybeans.There are little ones and big ones.The wheat field beans are above the stubblenow and look pretty decent. We seem to be

Reports received Friday morning.

CROPWATCHERS

FarmWeek Page 7 Monday, July 20, 2009

Will cool temperatures help or hurt the corn crop?BY DANIEL GRANTFarmweek

Farmers may be wonderinghow the corn crop will fare

now that tem-peratures formuch of thefirst half ofthe monthmade it feelmore like ear-ly autumnthan mid-summer.

High tem-peratures late last weekreached only the 60s and 70s inmany parts of the state, and

the temperature in Illinois theprevious week (July 5-11) aver-aged just 72.5 degrees, 3.6degrees below normal, accord-ing to the National Agricultur-al Statistics Service Springfieldoffice.

“We’re certainly payingattention to the cool tempera-tures,” said Elwynn Taylor,Iowa State University Exten-sion climatologist.

The mild weather generallywill help the corn crop as longas the overnight temperaturedoesn’t dip below 48 degrees,he noted.

“Years with record-high

yields in the Corn Belt tend tobe years with cooler tempera-tures,” Taylor said.

Crop development is behindin the eastern Corn Belt, butthat apparently is more a func-tion of late planting than a lackof growing degree days.

Last week, just 11 percentof the corn crop was silkingand 11 percent of soybeanswere blooming in Illinois com-pared to averages of 57 and 51percent, respectively.

“Maturity happens at coolertemperatures,” Taylor said.

“It’s nighttime tempera-tures that delay maturity.”

Taylor noted some portionsof the Corn Belt are starting todry out after a wet spring. But alack of moisture in some areasis not a concern at this point.

“It doesn’t matter if wehave less moisture, as long as itdoesn’t completely stop (rain-ing),” he said. “The crop does-n’t require as much moisture atcooler temperatures.”

The U.S. crops last weekwere rated six points higher forcorn (71 percent) and sevenpoints higher for soybeans (66percent) in the good to excel-lent categories compared tothe same time last year.

“Right now, the way thingslook with crop conditions, itsays above trend-line yields forcorn. I’m figuring 155 to 158(bushels per acre) at the pre-sent time,” Taylor added.

“For soybeans, it’s too earlyto tell, but the crop conditionsare similar to corn so you’dexpect a similar (yield)response until we know bet-ter.”

The wildcard at this point isthe threat of an extended har-vest due to late maturity of thecrops, which could make themmore susceptible to damagefrom an early freeze

Elwynn Taylor

Surviving tough times

Young pork producers’ new facility all about efficiencyRecent financial struggles

in the pork industry haveforced some farmers to cutback or exit the business.

Last week, Tyson Foodsunveiled plans to reduce itssow herd by 28 percent due toongoing hardships. Mean-while, Smithfield Foods previ-ously reduced its sow herd by10 percent and last monthannounced plans to scale itback another 3 percent.

“The reality is we’ve gottoo many hogs and too muchpork on the market rightnow,” said Ron Plain, ag econ-omist at the University ofMissouri.

However, Plain believesthat in the long term demandfor pork will increase andprices should rebound as theworld economy recovers fromthe current recession.

That’s where Jared Higger-son, 28, and brothers, AaronLink, 30, and Nathan Link,23, of Knox County enter thepicture.

The three young hog pro-ducers recently formed a pro-duction partnership with TheMaschhoffs of Carlyle, andlast week celebrated the open-ing of two new 3,600-headwean-to-finish swine produc-tion facilities near Rio, whichis north of Galesburg.

“We started farmingtogether a year and a halfago,” Higgerson said last weekduring an open house at the

new facility coordinated bythe Illinois Pork ProducersAssociation (IPPA). “Wewanted to continue farmingand raising hogs and figuredthis was the only way wecould make that happen.”

The partnership with TheMaschhoffs, the largest fami-ly-owned pork productionnetwork in North America,according to IPPA, will helpthe young farmers reduce therisk of high feed costs andhelp ensure they can markettheir hogs at a profit.

The new swine productionsystem also will providemanure to fertilize about 600acres per year for the Link andHiggerson families, who alsofarm about 2,000 crop acres.

“It’s a sustainable cycle.They can apply the manure togrow more corn and beans,which they can feed to thehogs,” Tim Maiers, publicrelations director for IPPA,said of the new pork opera-tion.

“And it adds value to thelocal economy.”

The pigs each year will con-sume about 147,000 bushelsof corn.

“All of the feed will be pur-chased locally,” Aaron Linksaid. “We also will be addingapproximately $16,000 of taxrevenue to the county.”

The two facilities featuretechnological advancementssuch as wet/dry feeders that

reduce feed loss and tunnelventilation which will improvethe air flow and the overallhealth of the pigs, Higgersonnoted.

“The building has manytechnologically advanced fea-tures that increase the effi-

ciencies of raising pigs, butwill also improve the welfareof the pigs,” he said.

And efficiency will be criti-cal to the survival of porkproducers, according to Plain.

“As technology generallykeeps improving, the newer

facilities tend to operate withless disease” and more effi-ciently, the economist added.

“Historically speaking, theolder facilities tend to be theones shut down” during diffi-cult financial times, he said.— Daniel Grant

Knox County pork producers Aaron Link, left, and Jared Higgerson, center, discuss the efficiencies of their newswine production facilities with Richard Breckenridge, right, agriculture and rural affairs adviser with the IllinoisEnvironmental Protection Agency (EPA), and Amber Cheung, an EPA intern, during an open house held lastweek at the farm north of Galesburg. (Photo by Daniel Grant)

Page 8: FarmWeek Jul.y 20 2009

DEVELOPMENT

FarmWeek Page 8 Monday, July 20, 2009

Annie’s Project activities focus on risk managementAnnie’s Project, a farm

management program gearedtoward women, is offering afield day and class from 3 to 6p.m. July 28 at the FarinaLearning Center in Clay Coun-ty.

Annie’s Project — Edu-cation for Farm Women is aprogram designed toempower farm women tobe more involved in theirfarm operations.

In partnership with Mon-santo, this special program willemphasize production riskmanagement at no cost to par-ticipants. Monsanto’s mobiletechnology unit, a travelingexhibit, will be at the site alongwith Monsanto ag educators

wife and Monsanto publicaffairs director, Tami CraigSchilling, will be a part of

the program. Schilling, a native of

Clay city, spent the first 15years of her career in thefield sales organizationhelping farm families usetools and technologies to

increase production.Farm women who previ-

ously have not taken anAnnie’s Project course mayattend the one-day sessionalong with those who have,according to Hambleton.

“This is a good way forwomen to check out the pro-gram before signing up for abasic-level Annie’s Project,”Hambleton said.

Reservations are needed byJuly 27 for the evening meal.For reservations or informa-tion, contact Tammy Johnsonat 314-213-1517.

For information aboutupcoming Annie’s Projects, visit{www.extension.iastate.edu/annie}.

who will teach participantsabout everything from thebasics of plant growth to newtechnologies that are helpingmanage production risks.Questions will be welcomed atthis program on corn and soy-bean production with a class offarm women and womenlandowners.

“A team of instructorsfrom business and educa-tional institutions trainwomen in the five areas ofrisk management,” saidRuth Hambleton, founderof Annie’s Project andretired University of Illi-nois Extension educator.

“Our follow-up evaluationsof the program for the last

four years showed that we dosatisfactorially in humanresources, financial, legal, and

marketing areas, but produc-tion was at the bottom. We arepleased to strengthen this partof Annie’s Project curriculumby forming a partnership withMonsanto.”

Southern Illinois farm

‘This is a good way for women to checkout the program before signing up for abasic-level Annie’s Project.’

— Ruth HambletonAnnie’s Project founder

Rural Developmentoffers communitydevelopment grants

More than $6 million isavailable nationwide for com-munity development in ruralareas, Colleen Callahan, Illi-nois Rural Development direc-tor, announced last week. Theapplication deadline is Sept.24.

Funded projects willhelp develop housing, com-munity facilities, and com-munity or economic oppor-tunities.

“The purpose of the pro-gram is to help community-based development organiza-tions as well as economicallychallenged communitiesattract and retain investmentsin rural communities,” Calla-han said.

Grant recipients oftenprovide activities, such asentrepreneurship trainingand leadership develop-ment, to help business andcommunity leaders expandthe local economy and cre-ate jobs, she explained.

Eligible applicants are pub-lic or private non-profit orga-nizations, including faith-based and community organi-zations, which have been legal-ly organized for at least threeyears and have experienceworking with local non-profitorganizations and low-incomecommunities.

Recipients must match thegrant dollar for dollar. For-profit organizations are noteligible.

Illinois applications must bereceived no later than 4 p.m.Sept. 24 in the Rural Develop-ment State Office, 2118 WestPark Court, Suite A, Cham-paign, Ill., 61821.

More information is avail-able online at {edock-et.access.gpo.gov} or by call-ing Karen Lee at 217-403-6213.

Page 9: FarmWeek Jul.y 20 2009

FROM THE COUNTIES

FarmWeek Page 9 Monday, July 20, 2009

BUREAU — The Mem-ber Relations Task

Force and the Extension officewill sponsor three computerclasses from 3 to 5 p.m. Tues-days, Aug. 4, 11, and 18, at thePrinceton High School com-puter lab. Computer basics,Microsoft Excel, and introduc-tion to the Internet will becovered. Cost is $10 per class.Call the Farm Bureau office at815-875-6468 by Tuesday, July28, for reservations or moreinformation.

EDWARDS — FarmBureau, Wayne County

Farm Bureau, and the FarmService Agency will sponsoran ACRE (average crop rev-enue election) meeting at 7p.m. Monday, Aug. 3, at theFarm Bureau office. DougYoder, Illinois Farm Bureausenior director of marketingand risk management, will bethe speaker. Call the FarmBureau office at 618-445-2113for more information.

FORD-IROQUOIS —A Viewpoint breakfast

meeting will be at 7 a.m.Thursday at the Martinton ele-vator.

• An ACRE (average croprevenue election) meeting willbe at 7 p.m. Monday, July 27,at the Farm Bureau office.Doug Yoder, Illinois FarmBureau senior director of mar-keting and risk management,will be the speaker.

• A farm continuation semi-nar will be at 6:30 p.m. Mon-day, Aug. 3, at the FarmBureau office. Dinner will beserved. Call the Farm Bureauoffice at 815-265-4718 forreservations or more informa-tion.

KNOX — The KnoxCounty 4-H Fair starts

Friday and continues throughTuesday, July 28. Youth mayenter the tractor and lawn-mower driving contests at 11a.m. Saturday. Ag Olympicswill be at 3 p.m. Tuesday, July28. Both events are sponsoredby the Young Farmers.

LEE — Farm Bureauand the Lee County

Fair Association will sponsoran American Red Cross blooddrive from noon to 6 p.m.Thursday at the Lee CountyFairgrounds during the 4-Hfair. Call the Farm Bureauoffice at 815-857-3531 or e-mail [email protected] ifyou can volunteer or donate.Walk-ins are welcome.

• Farm Bureau will sponsora booth Thursday throughSunday at the Lee County 4-HFair and Junior Show. Registerto win one-day passes to SixFlags Great America. Therewill be daily Ag in the Class-room activities for children.

• Lee, Carroll, and White-side County Farm Bureaus willsponsor a local governmentconference at 1 p.m. Thursday,

July 30, at Sauk Valley Com-munity College, Room 2K2.The program will focus onlocal funding of rural roads,rural development, and localgovernment financing. Callthe Farm Bureau office at 815-857-3531 or [email protected] for reser-vations or more information.

• The Young Farmer Com-mittee will sponsor a “Harvestfor All” food drive which willkick off Thursday at the 4-Hfair and continue through Aug.8. Non-perishable food itemsmay be dropped off at theFarm Bureau booth at the fair,the Farm Bureau office, or theWoodhaven Association mainoffice. Call the Farm Bureauoffice at 815-857-3531 or e-mail [email protected] formore information.

LIVINGSTON — TheYoung Leaders will

sponsor a pedal tractor pull at5:30 p.m. Wednesday at theLivingston County Fair. Chil-dren may participate in differ-ent weight categories, and rib-bons and prizes will be award-ed to first through third place.Call the Farm Bureau office at815-842-1103 for more infor-mation.

• The Livingston CountyFarm Bureau Foundation willsponsor a booth in the Com-mercial Building at the county4-H fair through Thursday. Asilent auction and a fundraiserwill be held. All money raisedwill go toward the Roger Nay-lor Scholarship.

MACOUPIN — KevinRund, Illinois Farm

Bureau senior director of localgovernment, and Paul Hentze,Illinois State Police District18, will present an “On theRoad” seminar at 7 p.m.Wednesday, Aug. 5, at the M &M Service Co.’s fertilizer plant,Litchfield. Topics will includeU.S. Department of Trans-portation numbers; commer-cial driver’s license require-ments, and medical cards. Theprogram is sponsored byMacoupin and MontgomeryCounty Farm Bureaus and M& M Service Co. Call theFarm Bureau office for moreinformation.

MCLEAN — TheMcLean County Fair

will be from Wednesday, July29, through Sunday, Aug. 2, atthe Interstate Center, Bloom-ington. The fair will featureTobin’s Pizza Big Smoker’stractor pull on Wednesday, July29; antique tractor pulls andlocal pickup truck pull off onThursday, July 30; a freeChuck Wicks concert on Fri-day, July 31; and the Pepsinationwide demolition derbyon Saturday, Aug. 1. Goonline at {www.Mclean -countyfair.org} or call 309-663-6497 for more informa-tion.

MONROE — Stop bythe Farm Bureau

booth through Thursday at thecounty fair to see if “You areSmarter than a 5th Graderabout Agriculture.” Prizes willbe awarded.

• An ice cream social formembers and their familieswill be at 7 p.m. Thursday,Aug. 6, at the county fair-grounds. A ventriloquist willprovide the entertainment.

PEORIA — FarmBureau will sponsor a

bus trip Wednesday, Aug. 5, totour John Deere, Moline. Costis $30 and includes lunch atRyan’s. Call the Farm Bureauoffice for more information.

• A renewable energybreakfast meeting will be at7:30 a.m. Friday, Aug. 7, atthe Farm Bureau office.Bauer Power will give a pre-sentation on solar, wind, andgeothermal energy. Call theFarm Bureau office at 309-686-7070 by Monday, Aug. 3,for reservations or moreinformation.

• Orders for Southern Illi-nois peaches are due by Friday,Aug. 7. Cost is $20 for a 25-pound box. Peaches may bepicked up at the Farm Bureauoffice Thursday, Aug. 13. Callthe Farm Bureau office formore information.

PIATT — Farm Bureauwill sponsor a rules of

the road for truckers seminarat 8 a.m. Tuesday at the FarmBureau office. Call the FarmBureau office at 762-2128 forreservations or more informa-tion.

• Farm Bureau will sponsorits annual member apprecia-tion day at 4 p.m. Thursday,July 30, at the Forest ReservePark, Monticello. A free porkchop dinner will be servedfrom 4 to 6 p.m. There will bea bounce house and kiddietractor pulls, and the SweetAdelines will provide theentertainment. Call the FarmBureau office at 762-2128 forreservations or more informa-tion.

• Farm Bureau will sponsora farm lease informationalmeeting at 8 a.m. Tuesday,Aug. 4, at the Farm Bureauoffice. Paul Marriman, MaconCounty Extension, will be thespeaker. Call the Farm Bureauoffice at 762-2128 for reserva-tions or more information.

SANGAMON — A poli-cy development “tailgate

talk” will be at 5 p.m. Tuesdayat the Farm Bureau office.Rich Guebert Jr., Illinois FarmBureau vice president, willstart the meeting with a policyissue update. Call the Farm

Bureau office at 753-5200 forreservations or more informa-tion.

WHITESIDE — FarmBureau will sponsor

an Over the Road seminarfrom 10 to 11:30 a.m. Thurs-day, July 30, at the FarmBureau office. New truckrules such as new entrant auditimplications and medical cardrequirements for commercialdriver’s licenses will be cov-ered. Call the Farm Bureauoffice at 815-772-2165 byTuesday, July 28, for reserva-tions or more information.

• Farm Bureau, Carroll, andLee County Farm Bureaus willsponsor a local governmentconference from 1 to 4 p.m.Thursday, July 30, at Sauk Val-ley Community College, Room2K2. The program will focuson local funding of ruralroads, rural development, andlocal government financing.County, township, and munici-pal officials may attend. Callthe Farm Bureau office at 815-772-2165 by Tuesday, July 28,for reservations or more infor-mation.

“From the counties” items aresubmitted by county Farm Bureaumanagers. If you have an event oractivity open to all members, contactyour county manager.

Page 10: FarmWeek Jul.y 20 2009

COMMODITIES

FarmWeek Page 10 Monday, July 20, 2009

Monsanto set for restartof biotech wheat programBY MARTIN ROSSFarmWeek

Monsanto is getting back into the GMO wheat business — amove of potentially global significance.

After dropping biotech wheat development in 2004 amidindustry concerns, the St. Louis company announced last week itwas expanding its seed/traitportfolio to include wheat.

The company has acquiredthe assets of WestBred LLC, aMontana-based company thatspecializes in wheat germplasm,and hopes to incorporatedrought-, disease- and pest-tol-erance traits into wheat varieties— a move applauded by theNational Association of WheatGrowers (NAWG).

Where six years ago, millersand other processors and mar-keters were worried about global reaction to GMO wheat, U.S.,Canada, and Australia wheat industry groups agreed recently to“work toward the goal of synchronized commercialization ofbiotech traits in the wheat crop.”

NAWG noted “the research challenges facing wheat are wellknown, as is the importance of this crop to world food supplies.”

Catherine Bertini, co-chair of the Chicago Council on GlobalAffairs’ Global Agricultural Development Project and formerUnited Nations World Food Program director, sees promising if“very slow movement” toward biotech acceptance, especially inAfrica.

Brazil, China, and India have “have had large successes” withbiotech production, though Bertini noted some continuedAfrican concerns about marketability of GMO-produced foodsin Europe.

But software billionaire Bill Gates, who is providing majorsupport for Basic Research to Enable Agricultural Development(BREAD), a new program aimed at fostering innovative strategiesfor the world’s small farmers, “is very strong on pushing newtechnology,” she stressed.

Deborah Delmer National Science Foundation program direc-tor for BREAD, told FarmWeek, “We’re not going to hold backany technology from being considered,” including biotechnology.

U.S. meat exportsexpected to recoverBY DANIEL GRANTFarmWeek

Poor economic conditionsaround the world and theH1N1 flu outbreak took a col-lective bite out of U.S. meatexports in May.

Exports of U.S. pork forthe month declined 27 percentin volume, shipments offresh/frozen chicken declined10.3 percent, and beef exportswere 4.8 percent lower com-pared to the same time lastyear, based on USDA exportfigures released last week.

“Last year was a great yearas we had a record amount ofpork exports,” said Ron Plain,ag economist at the Universityof Missouri. “That is a factor(why current export totals look

bad) but they’re still pretty dis-appointing numbers.”

The decline in pork exports

increased the domestic supplyby about 3.4 percent, Plainnoted. The situation con-tributed to mounting losses forpork producers despite thefact retail prices last monthwere up 2.1 cents per poundcompared to a year ago.

“It is most likely the loss ofexports rather than the loss ofdemand that has caused theprice weakness (at the farm lev-

el),” said Chris Hurt, ag econo-mist at Purdue University.

Overall, pork exports thefirst five months of the yearwere down just 4 percent com-pared to last year’s record vol-ume while beef exports actual-ly increased 1 percent in vol-ume but decreased 3 percentin value due to lower prices.

“The international market isholding up pretty well,although it could be doing bet-ter,” said Philip Seng, presidentand CEO of the U.S. MeatExport Federation (USMEF).

The U.S. still has marketaccess issues, particularly for beefin Asia, he noted. Meanwhile,Russia has not reinstated any ofthe 30-plus U.S. pork plants itdelisted, which is “a problem thathas severely limited the flow ofexports over the past severalmonths,” according to USMEF.

Seng believes U.S. meatexports will improve as marketaccess issues are resolved.Plain also projected meatexports will increase as theworld economy recovers fromthe current recession.

Lower feed costs due tolarge crop production esti-mates in the U.S. also shouldhelp livestock producers onthe cost side, Plain said.

“The farther we go into thefuture, the better I feel aboutexport prospects,” he added.

‘We’re not goingto hold back anytechnology fromb e i n g c o n s i d -ered.’

— Deborah DelmerBREAD

Egg producers ready for new FDA regulationsThe Food and Drug

Administration (FDA) appar-ently believes cooler eggs pre-vail when it comes to foodsafety.

FDA recently unveiled reg-ulations that require eggs to berefrigerated at 45 degrees 36hours after being laid.

Egg producers with 3,000or more laying hens also willbe required to test their poul-

ers/United Egg Association.“We’ve always supported

the concept of regulations foregg safety,” Magwire toldFarmWeek. “Many of thethings in these rules have longbeen implemented.”

Keith Mussman, a farmerfrom Kankakee County whohas 400,000 egg-laying chick-ens, said on a “Conversationson Animal Care” video postedon YouTube that his operationmaintains its eggs at therequired 45 degrees from thetime they are put in the car-tons. He also screens employ-ees as part of a biosecurityprogram.

“We really feel, even thoughproduction agriculture is huge(compared to chicken coopsof the past), our food issafer,” Mussman said on thevideo.

In fact, a recent poll of eggproducers around the countryfound that 100 percent alreadyhave a strong biosecurity pro-gram and 90 percent routinelytest for salmonella, Magwirereported.

Many of the eggs not test-ed for salmonella are sold forbreaking purposes, whichmeans the eggs are pasteur-ized, he noted. Producers whopasteurize their eggs will notbe required to uphold thetighter regulations but mustadopt the new refrigerationrules.

Members of the UnitedEgg Producers, who generallysupport the new regulations,do have some concerns, how-ever.

Eggs that are stored at cool-er temperatures prior to ship-ment to processing plantscould develop thermal cracksduring processing, whichwould be counterproductive tofood safety, Magwire said.

Meanwhile, increased refrig-eration will create a larger car-bon footprint, boost electricityuse, and ultimately increase on-farm costs by an estimated oneto two cents per dozen eggs.

“We’re trying to set up ameeting with FDA” to discussthe concerns, Magwire said. —Daniel Grant

try houses for the salmonellabacterium and to implementrodent and pest biosecuritypractices to prevent the spreadof salmonella on farms.

FDA expects the new regu-lations will reduce the numberof salmonella enteritidis infec-tions obtained from eggs by60 percent and prevent 30deaths each year (the estimatesof reduced illnesses were

based on statistical modelingand not on a count of actualillnesses).

Farmers generally applaud-ed the measures to enhanceegg safety. Many producersalready test for salmonella andhave biosecurity programs ontheir farms, according toHoward Magwire, vice presi-dent of government relationsfor the United Egg Produc-

Grape harvest workshop gearedtoward growers and vintners

FarmWeekNow.comListen to comments from RonPlain about how the lack ofmeat exports are hurting pro-ducers at FarmWeekNow.com.

A workshop on harvesting quality grapes willrun from 9:30 a.m. to 1 p.m. Aug. 1 at the Vil-lage Vineyard and Winery, northeast of Quincyin Adams County.

Participants will receive hands-on experienceworking with special equipment used to mea-sure and determine grape ripeness. In additionto vineyard sampling of different grape varietiesand other fruit, winemaker participants areinvited to bring samples for analysis.

The workshop is sponsored by the IllinoisGrape Growers and Vintners Association, RendLake College’s viticulture and enology scienceand technology alliance, University of Illinois

Extension, and the Illinois Department ofAgriculture.

The registration fee is $25. Reservations areneeded by July 31 for an accurate meal count.To register, e-mail Gordon Cantrell at [email protected] or contact Elizabeth Wahle at618-692-9434 or at [email protected].

Participants are encouraged to dress forweather conditions because part of the work-shop will be conducted in the vineyard. Theyalso are encouraged to bring their own equip-ment, such as pruners, refractometer and/orportable pH meter, gloves, and work boots. Alltesting equipment will be supplied.

Page 11: FarmWeek Jul.y 20 2009

FARM BUREAU IN ACTION

FarmWeek Page 11 Monday, July 20, 2009

OIL COLLECTION

The Rushville-Industry FFA and the Schuyler CountyFarm Bureau participated recently in a used oil collec-t ion a t the Two R iver s FS in Rushv i l l e and Cam-den. There were approximately 1,900 gallons of usedoil collected for recycling by Future Environmental Inc.

This collection was a fundraiser for the FFA’s leadership programs and the Schuyler County Farm Bu-reau’s Scholarship Foundation. Pictured, left to right, are Jared Prather, Schuyler County Farm Bu-reau president; Kent Prather; Keaton Dyche; Dalton Shepherd; Randy Powell from Future Environ-mental; and FFA adviser Morris McClelland. (Photo submitted by Schuyler County Farm Bureau man-ager Kelly Westlake)

Farm Bureau DVD puts the know in trailer towingBY KAY SHIPMANFarmWeek

A new Farm Bureau DVDdealing with livestock trailerquestions fills a need to pro-vide safety information to newtrailer owners.

“I’ve seen a lot of unsafepractices (with trailers). Peopleneed to be aware of the risksand safety procedures beforehauling their horses,” said LoisGuyon, a retired Illinois StateUniversity professor and for-mer chairman of the IllinoisEquine Industry Research andPromotion Board.

Guyon and her horse, Spir-it, appear in the “Know BeforeYou Tow” DVD and in thecover photo with her friend,Ruth Fennick, and Fennick’shorse, Bernie.

Illinois Farm Bureau’s JimFraley, livestock programdirector, and Jim Polus, IFBsenior audio visual producer,developed a script, which wasreviewed by the IllinoisEquine Roundtable.

Information covered onthe 11-minute DVD includeshow to select the correctcombination of trailer andtruck, Fraley said.

The DVD discusses bene-fits and drawbacks of differ-ent types of bumper andgooseneck-style hitches.Viewers also learn how toproperly hitch a trailer to avehicle, to do a safety inspec-tion, and to back up a trailer,Fraley said.

Information coveredincludes how to tie a quick-release knot and to safelyload and operate a trailerwith animals.

On the IFB website

{www.ilfb.org}, web browerswill find contact informa-tion for additional resourcesfor topics covered in “KnowBefore You Tow.”

Each county Farm Bureauhas received a supply ofDVDs, which are availableat no charge by simplyrequesting a copy from thelocal county Farm Bureau,Fraley said.

Guyon, who Fraley cred-ited with the idea to createthe DVD, taught herselfhow to load and haul ahorse trailer by reading acouple of books.

“There’s very little infor-mation available about trai-lering,” she added.

“I think the Farm Bureauis doing a tremendous ser-vice providing informationto the equine (owning) pub-lic,” Guyon said.

BY RYAN KLASSYMore than a dozen local farms have

stepped up to help restock the shelves oflocal food pantries through the Kane Coun-ty Farm Bureau’s (KCFB) “Harvest forALL” campaign. This new program wasdeveloped to encourage local farmers, mem-

bers, and consumers to join in the effort toprovide relief to the hungry in Kane Coun-ty.

Through the program, farmers are beingasked to donate the harvest of an acre ofland, or a set number of bushels, to benefita local food pantry. This summer and fall,the proceeds from the harvest of the desig-nated crops will be donated to the foodpantry of the farmer’s choice.

“So far the participation by local produc-ers has been fantastic,” says Kane CountyFarm Bureau President Bob Gehrke.

“There are a lot of people in need righthere in Kane County, and the support theprogram has received from local farmersshows that they recognize that need and areready to step up to help.”

According to the Northern Illinois FoodBank in St. Charles, more than 39,000 Kane

County residents live below the povertyline. Statewide, one in every 11 people donot have regular access to enough safe,nutritious food for an active and healthy life.

Gehrke, who donated an acre of his 2009hay crop, estimates that farmers havepledged $6,000-$7,000 in corn, soybeans,wheat, and hay sales to the program.

The effort will be recognized at a numberof field locations throughout the county toencourage Kane County residents to join inthe effort.

Non-farmers may contribute a tax-deductible donation to the KCFB Founda-tion to be put toward the Harvest for ALLcampaign and designate a local food pantryof their choice to receive the proceeds.

KCFB Young Farmers Chairman DalePitstick said he hopes the good start to theprogram is all the encouragement folks willneed to get on board.

“We are serious about making hungerrelief a priority in 2009, and we hope thepublic will join in,” said Pitstick. In 2008,members of the Young Farmers Committeewere recognized by the Illinois Farm Bureauwith an award for their hunger relief efforts.

For more information about the program,go to {www.kanecfb.com} and click on theHarvest for ALL link at the top of the page.

Ryan Klassy is information director for the KaneCounty Farm Bureau. He can be reached at 630-584-8660.

Kane County farmers joinfight against local hunger

TALKING CLIMATE

Illinois Farm Bureau President Philip Nelson, in Washington,D.C., for an American Farm Bureau Federation Board of Direc-tors meeting last week, met with both Illinois U.S. Senate officesto express concern over global climate change proposals beingconsidered by the Senate. Here, Sen. Roland Burris makes apoint. (Photo courtesy of Senator Burris’ office)

Page 12: FarmWeek Jul.y 20 2009

CONSERVATION

FarmWeek Page 12 Monday, July 20, 2009

BY KAY SHIPMANFarmWeek

The Department of Commerce and Eco-nomic Opportunity (DCEO) soon will releaserules for a new energy grant program, accord-ing to Carol Kulek with DCEO’s bureau ofenergy and recycling.

At a recent Illinois Rural Affairs Coun-cil meeting, Kulek reported $13 millionwill be available in the Energy Efficiencyand Conservation Block Grants program.The rules are expected to be finished bymid-August.

DCEO will work with the Illinois Associa-tion of Regional Councils to assist communi-ties with populations of less than 35,000 resi-dents, according to Kulek.

Block grants are to be used to help localgovernments reduce energy usage and use ener-gy efficient technology. Types of projects mayinclude energy efficient lighting, heating, andcooling.

Another program of energy incentives,known as the Illinois Energy Efficiency Portfo-lio Standard (EEPS), are available to customersof ComEd or Ameren Illinois utilities, Kulekadded.

Local governments, public schools,community colleges, public universitiesand colleges, public safety, water, and parkdistricts in ComEd and Ameren Illinoisservice territories may apply to DECO forfunds.

The funding may be used for a variety ofimprovements, such as electric system efficien-cy improvements for lighting, cooling, and traf-fic signals.

Kulek encouraged local governments andother eligible entities to consider combining theupcoming block grants with the EEPs incen-tives.

“We want them to leverage those dollars asmuch as they can,” Kulek said.

For information, visit {www.illinoisenergy.org}.

DCEO prepares rules for energy conservation grants

Illinois farmers are beingoffered a special registrationrate for the conservation inaction tour Wednesday, July 29,around Western Illinois. Theregistration deadline is Friday.

The Conservation TechnologyInformation Center (CTIC), WestLafayette, Ind., is sponsoring thetour, which includes local farms.

Tour participants will learnhow farmers manage nutrientsin no-till and strip-till sys-tems, reduce nutrient inputcosts, protect water quality withnutrient management pro-grams, improve soil for higheryields and sequestered carbon,research nitrogen use, andapply soil survey techniques.

Participants also will hear

about Monsanto’s corn andsoybean trait pipeline, JohnDeere’s new high-speed nutri-ent applicator, and the Case IHside-dress fertilizer applicator.

The tour will start in Moline at7:30 a.m. and travel to Aledo,Keithsburg, Biggsville, Kirkwood,Roseville, and the MonsantoLearning Center in Monmouth.

To receive the special $25 reg-istration rate, farmers must callCTIC at 765-494-9555. The spe-cial rate is not available online.

Lodging is in the Radissonon John Deere Commons inMoline. A special nightly ratefor tour participants will beoffered for available rooms.The Radisson number forreservations is 309-764-1000.

CTIC offers Illinois farmersspecial conservation tour

Land planningconferencetaps U.S. experts

The Illinois Conference on Agri-cultural Land Use and Planning Con-ference will be Aug. 6 at the OakRidge Golf Club, near LaSalle.Advance reservations are required byJuly 30.

The program’s focus on tools,planning, and preservation in a transi-tioning economy is designed to helpfarmers, landowners, local officials,and agency staffs consider planningissues that impact farmland, agricul-ture, and neighboring communities.

Registration will start at 8:30 a.m.with the program to begin at 9 a.m.

The keynote address will be givenby Jon Scholl, president of theAmerican Farmland Trust. Scholl willgive a national perspective on farm-land and land use planning.

From 2004 to 2008, Scholl servedas counselor to the U.S. Environmen-tal Protection Agency administratorfor agricultural policy. He led devel-opment of the agency’s first nationalagricultural strategy and its first agadvisory committee.

Another speaker will be TomDaniels, University of Pennsylvaniaprofessor of city and regional plan-ning. He is one of the country’s lead-ing experts in farmland preservationand land-use planning in urban-ruralfringe areas that are being developed.

Kevin Rund, Illinois Farm Bureausenior director of local government, willdiscuss farmland as a natural resource.

The registration fee is $48.50. Regis-tration may be done online at{webs.extension.uiuc.edu/registration/?RegistrationID=2958} or by contactingthe University of Illinois ExtensionRockford Center at 815-395-5710.

For an agenda and directions, visit{web.extension.uiuc.edu/rockfordcenter/downloads/18045.pdf}.

The conference is sponsored by Uof I Extension, with American Farm-land Trust, the Association of IllinoisSoil and Water Conservation Dis-tricts, the Illinois Soil and Water Con-servation Society, and the ChicagoMetropolitan Agency for Planning.

Page 13: FarmWeek Jul.y 20 2009

FarmWeek Page 13 Monday, July 20, 2009

Page 14: FarmWeek Jul.y 20 2009

PROFITABILITY

FarmWeek Page 14 Monday, July 20, 2009

Feeder pig prices reported to USDA*

Weight Range Per Head Weighted Ave. Price10 lbs. $29.57-$33.79 $32.2240 lbs. $26.00-$31.00 $27.5350 lbs. n/a n/aReceipts This Week Last Week

26,161 26,003*Eastern Corn Belt prices picked up at seller’s farm

MARKET FACTS

Confirmed lamb and sheep salesThis week 886 Last week 873 Last year 718Wooled Slaughter Lambs: Choice and Prime 2-3: 90-110 lbs, $100-$101.75;110-130 lbs., $103.75. Good and Choice 1-2: 60-90 lbs., $105.Slaughter Ewes: Utility and Good 1-3: $25-$28. Cull and Utility 1-2: $25.

Lamb prices

Eastern Corn Belt direct hogs (plant delivered)(Prices $ per hundredweight)

This week Prev. week ChangeCarcass $56.26 $55.12 1.14Live $41.63 $40.79 0.84

Export inspections

(Million bushels)Week ending Soybeans Wheat Corn07-09-09 10.9 9.6 38.807-02-09 14.7 15.1 34.3Last year 9.6 25.2 28.6Season total 1157.3 75.3 1456.4Previous season total 1047.2 114.6 2067.8USDA projected total 1210 980 1700Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

(Thursday’s price)This week Prv. week Change

Steers n/a 81.58 Heifers 81.00 81.46 -0.46

USDA five-state area slaughter cattle price

Economic outlook: green shoots or dandelions?BY JIM CHARLESWORTH

The world economy is onpace to contract in 2009 forthe first time in more than 60years. Developed countries

have led theglobal eco-nomic down-turn.

The highlyintegratedworld marketshave provideda conduit torapidly trans-mit recession-

ary pressures throughout theglobal economy.

Global gross domesticproduct (GDP) growth for2009 is expected to decreaseabout 2.5 percent. In 2010, theglobal economy is forecast togrow at a positive 2.6 percent,slightly below the historicalyearly average (see chart). Allmajor economic powers haveslowed significantly.

However, economic growth

in most developing countriesremains relatively strong butgrowth is hampered byreduced export demand. Forexample, China’s growth thisyear will slow to slightly morethan 6 percent, supported bymassive stimulus spending.

As the largest world econo-my, the United States officiallyentered a recession in Decem-

ber 2007. The contraction hasbeen severe — especially sincemid-2008 — and the economyhas continued to weaken dur-ing the first half of 2009. Theeye of the storm has passed,but the economy still facesstrong headwinds.

Collapse of the housingmarket was the primary cata-lyst for the downturn. Easy

credit and lax lending stan-dards fueled the speculativebubble.

The financial sector washard hit by declining asset val-ues, creating counter-party riskthat froze credit markets andaggravated asset deflation dueto aggressive deleveraging.

Declining household wealthhas caused a sharp pull-back inconsumer and business spend-ing. The recent pace of joblosses has been the largestsince the Great Depression.

Extremely aggressive fiscaland monetary stimulus is nec-essary. However, massive fed-eral deficits raise fear of infla-tion, higher interest rates, andburdensome tax policy fordecades to come.

Modest economic recoverycould begin in late 2009, buteconomic growth will remainsluggish — below 2 percentthrough next year. There aresome positive economic indi-cators begging to sprout.

The U.S. economy contract-ed sharply in the first threemonths of this year, but not assharply as originally thought.Final first quarter figures forthe real GDP reflected a nega-tive 5.4 percent annualized.

That’s a rather sobering fig-ure but significantly less thanthe negative 6.1 percent esti-mated one month earlier.

The latest economic jobreports continue to suggestthat a recovery, although slowand modest, is in the offering.Job losses continue but at agradual, reduced rate.

Additional economic dataare showing positive direction,including: historically low bor-rowing rates, tame inflation, anuptick in personal income andconsumption, and productivitygrowth.

Jim Charlesworth is GROW-MARK’s marketing research direc-tor. His e-mail address [email protected].

Jim Charlesworth

Time may be right to book summer fill of propaneBY DANIEL GRANTFarmWeek

Farmers and homeownerswho use propane may want toconsider booking their sum-mer fill sooner rather than lat-er.

Prices in recent weeksdropped to attractive levelsdue in part to an increasedsupply and decreased demandfor propane, according toChris Salrin, propane productmanager for GROWMARK.

“Right now these are

probably some of the betterbuys relative to where we’veseen prices the past coupleyears,” Salrin toldFarmWeek.

Propane prices in the sum-mer typically trade at about 65to 70 percent the value ofcrude oil, in terms of valueper gallon. But recentlypropane prices as a percentageof crude dipped to 46 per-cent.

The situation impacted theMidwest in particular where

additional production essen-tially is on hold due todecreased demand. Propane

supplies down south also haveblocked Midwest product outof the Gulf Coast market.

“The mid-continent supplyis trapped,” Salrin said lastweek. “It’s trading below 50percent of the value of crudeoil.”

Propane stocks on July 3reached 62.096 million barrelscompared to 51.3 million bar-rels at the end of May and 44million barrels the previousyear, according to the EnergyInformation Administration.

The number of days ofsupply of propane in the pastmonth subsequently skyrocket-ed from 57.3 on June 12 to77.5 on July 3 (see graphic).

“Additional productioncame on line the past six to 12months,” Salrin said.

Salrin doesn’t expect thelarge supply and decreasedpropane prices to last through-out the year, though.

In fact, propane pricescould increase by late summeror early fall as demand picksup, he noted. Propane pricesalso typically follow crude oil

prices, and Salrin looks for anuptick in crude prices in com-ing months.

“I see crude prices movinghigher later this summer andinto fall — $75-plus (per bar-rel) is quite reasonable” as anestimate, he said. “As a result,propane prices likely will go

higher.”USDA also recently forecast

one of the largest U.S. corn

crops on record (12.3 billionbushels). If the large crop isrealized, propane demandcould increase if an active sea-son of grain drying is neces-sary.

‘ I see crude pr ices moving higher later thissummer and into fall.’

— Chris SalrinGROWMARK propane product manager

Page 15: FarmWeek Jul.y 20 2009

PROFITABILITY

FarmWeek Page 15 Monday, July 20, 2009

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AgriVisor LLC is not liable for any damageswhich anyone may sustain by reason of inac-curacy or inadequacy of information providedherein, any error of judgment involving any pro-jections, recommendations, or advice or anyother act of omission.

CASH STRATEGISTCorn Strategy

✓2008 crop: Corn priceshave fallen to levels thatshould have little downsiderisk. We anticipate better pric-ing opportunities before sum-mer’s end to make needed old-crop sales. At some point,December futures shouldmove back into the $3.50-$3.75 range. If storage isavailable, it may pay to carrysome inventory past harvest.

✓2009 crop: Technically,corn prices are heavily over-sold. We should at least see amoderately good rebound inthe next few weeks. This alsomay be a year in which post-harvest prices are evenstronger yet. Hold off makingnew-crop sales. We may rec-ommend needed harvest salesonly on the rebound we expectover the next few weeks.

❖Fundamentals: Currentweather is nearly ideal for thecrop to go through pollination,although the cool temps furtherdelay a crop that’s already wellbehind normal. Longer term,corn prices are becoming cheaprelative to other commodities,including some it competeswith directly or indirectly. Thatshould help bolster demand.Soybean Strategy

✓2008 crop: With the soy-bean market in a window for akey cycle low, don’t panic andmake sales on weakness.Higher prices will come, butthe levels we had been think-ing may be out of reach. Userallies to $10.25 to sell inven-tories you still own.

✓2009 crop: New-cropprices have fallen to a level atwhich there should be littledownside risk. However, itmay be difficult for prices toreturn to reasonable levelsagain, unless a shock to themarket triggers exceptionalstrength. We may end up car-rying more than we’d like intopost harvest, but we think itwill pay to store soybeansunless the cost is exceptionallyhigh. If you need to price soy-beans, wait to see if Novem-ber futures can move back to$9.50 before making sales.

❖Fundamentals: Confir-mation that China is going tooffer some government stocks

to the market shook up thetrade even though prices werewell above the cost of import-ed soybeans. Their crusherscontinue to book sales. Mildweather is bolstering produc-tion ideas for the U.S. crop. Wheat Strategy

✓2009 crop: Action in sub-sequent days hints the recent$5.12 low on Chicago Septem-ber may have been a goodshort-term low. However, toconfirm the trend has shiftedhigher, it needs to close abovethe 50-day moving average,currently at $5.95. Continue tohold off additional new-crop

sales; we anticipate better pric-ing opportunities in late sum-mer/early fall. But, if yoursales lag recommendations, userallies near $5.50 on ChicagoSeptember to get caught up.

❖Fundamentals: Weathersteadily continues to cut intoworld supplies, sometimesdirectly, sometimes indirectly.Argentina is expected to plant2.75 million hectares of wheat,down 40 percent from lastyear. El Nino could cut intoAustralian output next winter.A poor start to the Indianmonsoon season could cutinto that country’s rice crop.

Even though growing con-ditions are beneficial for thenew crops, they could presentproblems at the end if thegrowing season ends even in arelatively normal time. Amidthe price weakness this lastweek, the lag in maturity andpotential ramifications wasstarting to be noted by thegrain trade.

Nationally, this year’s corncrop is only slightly ahead oflast year’s development pace.What is surprising is thatprogress in the northwest-ern/western Corn Belt statesis not much better than thenational one. And plantingwas relatively timely in thatregion.

Only 6 percent of the Iowacrop was silking by July 12,slightly ahead of last year’s 1percent, but behind the 16 per-cent average. It was mostadvanced in the west-central andsouthwestern parts of the state.

Crop maturity lags

Basis charts

In Minnesota, only 1 per-cent was silking, behind bothlast year’s 2 percent and the 15percent average. Nebraska isahead of last year and close tonormal. South Dakota isbehind, but the planting pacethere lagged because of wetconditions.

In addition, the latest fore-casts call for normal or cooler-than-normal temperaturesthrough the end of July.While that eliminates stress, itputs development furtherbehind.

Last year, the late plantingswere “bailed out” by a later-than-normal end to the grow-ing season. The firstfrost/freezes were as much astwo to three weeks later thannormal in some locations. Thatallowed later-maturing crops toadd dry matter to seeds for anextended period, slightly boost-ing yield potential.

The crop ratings have someanalysts talking about cornyields rising from the currentUSDA estimate, 153.4 bushelsper acre. But if developmentlags, a normal end to the sea-son could cut short seed fill-ing, offsetting part of theimpact of the stress-free sum-mer. An early end would havea more negative impact.

There’s uncertainty aboutsoybean yields, too. The cur-rent estimate, 42.6 bushels, isclose to 2005’s 43-bushelrecord. At this point, theremay be more risk of the yieldgoing down than going up.

Amid this, we see USDApotentially projecting goodyields in the August reportbecause it’s primarily a popu-lation count. It’s the subse-quent ones with which we areconcerned.

Cents per bu.

Page 16: FarmWeek Jul.y 20 2009

PERSPECTIVES

FarmWeek Page 16 Monday, July 20, 2009

Meth problem is backIn the past couple months in my travels

around Illinois and even at a meeting in Florida,I heard from law enforcement everywhere thatmeth is back.

I was shocked because of all the money andeducation that has gone into locking these peo-

ple up and showing peoplewhat meth does to them physi-cally.

As you may remember, thisdrug came from the WestCoast as they all seem to do.The first we saw of it waswhen Missouri passed a bunchof good laws and ran the man-ufacture of meth out of thehills in Missouri into thesouthern parts of Illinois.

Illinois reacted with ourown laws, and law enforce-

ment made numerous arrests and filled up ourjails with the people who made this stuff.

Today, the people who were in jail from thefirst round are now out of prison, still addicted,and still making the drug to get high. There area couple of differences but not many.

It’s still cheap, it still has the same chemicalneeds and reactions in the manufacture asbefore, and it still can turn a human body into ahideous form of disgusting humanity.

As time goes past, there are more pictures ofhow pretty girls and handsome boys turn intoold women and skinny old men with no teethbecause they fall out. The outer body skin devel-ops numerous sores that break open and bleedand cause scratching.

Don’t forget this stuff is the most addictivedrug there is. With meth, one try and you can begone the same as if you caught a large-caliberbullet between the eyes.

With the serious increase in traffic, we haveto re-educate all of agriculture about anhydrousand its necessity to make methamphetamine.

I think the drive to make anhydrous uselessfor making meth stopped when use of the drugdeclined and because Mexico was making it socheap that users began going there for their fix-es.

So, now we’re back to worrying about anhy-drous and those people who use the old recipesto make meth.

Today’s group of meth makers has developedways of using new products and forcing more ofthose products to be stored behind the storecounter so you must sign to purchase them.

Remember when we told you to watch forsomeone buying large quantities of batteries orpseudoephedrine, or when you found thosepackages of those items open and discardedsomewhere to let us know?

Today that list includes items bought in autoparts stores — such things as brake fluid andstarting fluid.

Because there is so much profit in the illegaldrug business and because we in the U.S. are theworld’s biggest drug users, another scheme toget the products to make the stuff has beendeveloped by the manufacturing people here andin Mexico. It’s called, “smurfing.”

Smurfing is when someone solicits peoplewho really need money — homeless people,addicts, unemployed people, or those lookingfor a quick dollar — and get them to go fromstore to store buying the drug-making ingredi-ents needed and keeping the drug maker’s nameout of the public records.

The National Drug Intelligence Center nowsays there is more methamphetamine-makingproducts getting into Mexico by smurfing thanby any other means.

Another major ingredient available from farmstores, pharmacies, or retail stores is iodine tinc-ture. We don’t have any control on tincture, justcrystals, and that is only if 0.4 of kilogram ormore is purchased during a two-month period.

All this profit is fueling drug wars. Home-land Security gives me, at least once a week, thebody count in Mexico of the people whoopposed the drug powers.

Recently our drug investigators found andarrested drug criminals from Chicago who wereusing our quiet rural roads to hide and serve aspickup points of large quantities of drugs thatwere being transported across the country.

It is not uncommon to come into my jail inthe morning and find all the new people broughtin overnight were meth arrests.

Have I got your attention yet?

Gib Cady is the sheriff of Henry County and chairmanof the Illinois Sheriff ’s Association. His e-mail addressis [email protected].

GIBCADY

4-H helps buildcharacter in youth

Editor’s note: In the midst of county fair season, it’s important tonote the true rewards aren’t ribbons or trophies but memories that last alifetime. This column is specific to one county but applies in the other 101counties in which adults help young people learn by doing.

Does a specific memory come to mind when someone men-tions the word “4-H?” Helen Swaar of Mason City is floodedwith memories.

“I was a 4-H member, but the thing thatjumps out for me is that our own family wasso involved in 4-H when the girls were grow-ing up,” she remembers. “Our lives revolvedaround that and school.”

Helen notes the good memories were notrestricted to her alone. Those days in 4-H were“one of the happiest times” for her childrenwho made deep and lasting friendships.

The memories are many for Helen, but onestory, in particular, comes to mind when shethinks of her own family’s experience in 4-H.

“It was our daughter’s last year in 4-H atthe fair,” she began, “and a little girl was selected to go to theState Fair in her project with our daughter selected to be thealternate.”

“The parent of that little girl came up to us,” she continued,as her voice began to crack. They said their family wanted ourdaughter to go instead of theirs because it was her last year.

“That is the essence of what 4-H teaches you. It’s not thatyou are always first — it’s that you are always your best. It teach-es you responsibility.”

Are such 4-H experiences a thing of the past?Can stories like that be part of the experience for today’s

youth?Helen thinks her experience can be shared by others and that

today’s youth can only benefit from the 4-H experience. “I think about science projects and how that can start a child

down a path to enjoy science. I think about a young lady whoenjoyed cooking and that is what she does today,” stated this for-mer 4-H parent.

For Helen Swaar, though, it always comes back to character:“You are a winner because you are doing” in 4-H.

Opportunities, education, friendships, and character develop-ment are the pillars of the 4-H program.

If you are interested in making those stories your own or ifyou are interested in making those stories possible for others,contact your county Extension office and find out how you canhelp.

Matt Montgomery is the county director of University of Illinois Extensionin Mason County. He can be e-mailed at [email protected].

MATTMONTGOMERY

Oh, all the things he would see ... but notuntil the chores were done.