THE FARM AND RANCH THE FARM AND RANCH SURVIVAL KIT PROGRAMSURVIVAL KIT PROGRAM

Susan Kerr, WSU-Klickitat County ExtensionSusan Kerr, WSU-Klickitat County ExtensionBrian Tuck, OSU-Wasco County Extension ServiceBrian Tuck, OSU-Wasco County Extension Service

Cheryl Cosner, Oregon Livestock ProducerCheryl Cosner, Oregon Livestock Producer

LocationLocation

Situation/Issues Facing ClienteleSituation/Issues Facing Clientele

Need for financial management Need for financial management education, but...education, but...

Discomfort discussing financial issues Discomfort discussing financial issues in a public forumin a public forum

Time pressuresTime pressures Distance/travel costsDistance/travel costs Age--driving at nightAge--driving at night Workshop costsWorkshop costs Varied needsVaried needs

Discussion with producers; developed concept of Discussion with producers; developed concept of “Farm & Ranch Survival Kit” (FRSK)“Farm & Ranch Survival Kit” (FRSK)

WSU/OSU cooperative effortWSU/OSU cooperative effort

Obtained a grant from the Obtained a grant from the Western Center for Risk Western Center for Risk Management EducationManagement Education

Hired program coordinatorHired program coordinator

Sent direct mailing to 1200 ag, forest and open Sent direct mailing to 1200 ag, forest and open space landowners in Mid-Columbiaspace landowners in Mid-Columbia

165 officially enrolled; many more participants165 officially enrolled; many more participants

Program Development ProcessProgram Development Process

ParticipantsParticipants

Commercial operatorsCommercial operators Small acreage operatorsSmall acreage operators

Outputs (Program Activities)Outputs (Program Activities)

A. Newsletter installmentsA. Newsletter installments

1. Business planning1. Business planning

2. Financial planning2. Financial planning

3. Interpersonal relationships3. Interpersonal relationships

4. Farm succession4. Farm succession

5. Taxes and insurance 5. Taxes and insurance planningplanning

6. Marketing6. Marketing

B. Web page developmentB. Web page development

1. Subset of Small Farms web site1. Subset of Small Farms web site

2. http://extension. 2. http://extension. oregonstate.edu/wasco/ oregonstate.edu/wasco/ smallfarms/ smallfarms/ RiskManagement.phpRiskManagement.php

C. WorkshopsC. WorkshopsRanching for profitRanching for profit 6565

Farm successionFarm succession 5050

Winegrape production, vineyard establishment and Winegrape production, vineyard establishment and vineyard managementvineyard management

100100

Livestock workshopLivestock workshop 3535

Partial budgetingPartial budgeting 1313

Analyzing agricultural investmentsAnalyzing agricultural investments 1313

Evaluating land lease agreementsEvaluating land lease agreements 1414

Crop profitability analysisCrop profitability analysis 77

Machinery costsMachinery costs 1010

Hay growers’ workshopHay growers’ workshop 3535

Direct marketing workshopDirect marketing workshop 1111

Outcomes (Impacts)Outcomes (Impacts)

30% response rate30% response rate

Respondents from 16 different counties in the Respondents from 16 different counties in the Northwest; owned and/or managed 28 different Northwest; owned and/or managed 28 different agricultural enterprises; represented 77,220 acres agricultural enterprises; represented 77,220 acres under managementunder management

““On a scale from 1 to 5 (1 being none and 5 being a On a scale from 1 to 5 (1 being none and 5 being a great deal), how much useful knowledge did you great deal), how much useful knowledge did you gain as a result of your participation in this project?” gain as a result of your participation in this project?” 3.783.78

Evaluation via Evaluation via SSurveyurvey

““Decrease overhead.”Decrease overhead.” ““Invest more time looking at business to see what is Invest more time looking at business to see what is

losing money.”losing money.” ““Eliminate non-profitable enterprises.”Eliminate non-profitable enterprises.” ““Begin estate planning and meet with family members Begin estate planning and meet with family members

to discuss issues of succession and find out what next to discuss issues of succession and find out what next generation’s expectations might be.”generation’s expectations might be.”

““Make educated decisions vs. guesses and hope!”Make educated decisions vs. guesses and hope!” ““I will be able to provide better information when I will be able to provide better information when

approaching my lending institution. I can project which approaching my lending institution. I can project which crops would be best for our land.”crops would be best for our land.”

““Get my husband to figure out if it’s cost effective to Get my husband to figure out if it’s cost effective to buy machinery or farm.”buy machinery or farm.”

““What will you do differently What will you do differently following this workshop?”following this workshop?”

Started/completed a business plan (14)Started/completed a business plan (14) Holding regular family meetings (7)Holding regular family meetings (7) Analyzed my financial situation with my lender (10)Analyzed my financial situation with my lender (10) Started/completed an estate/succession plan (16)Started/completed an estate/succession plan (16) Made changes to better manage stressful periods Made changes to better manage stressful periods

in my life (13)in my life (13) Reviewed my insurance policies to determine if I Reviewed my insurance policies to determine if I

have appropriate coverage (17)have appropriate coverage (17) Started/completed a change in our business Started/completed a change in our business

structure (7)structure (7) Started/completed a marketing plan for my farm or Started/completed a marketing plan for my farm or

ranch (11)ranch (11)

““What changes have you made What changes have you made as a result of your participation as a result of your participation

in this project?”in this project?”

•Extension educators at the Louisiana State Extension educators at the Louisiana State University AgCenter use farm succession University AgCenter use farm succession materials from the FRSKmaterials from the FRSK

•The Farm Family Support Network has linked The Farm Family Support Network has linked to the FRSK Web siteto the FRSK Web site

•The Wyoming Department of Agriculture The Wyoming Department of Agriculture included the FRSK farm succession installment included the FRSK farm succession installment in their Estate Planning Handbook for in their Estate Planning Handbook for agricultural producersagricultural producers

Other OutcomesOther Outcomes

Other Outcomes con’tOther Outcomes con’t•The FRSK program won the 2007 National The FRSK program won the 2007 National

Association of County Agriculture Agents’ Association of County Agriculture Agents’ Search for Excellence in Farm and Ranch Search for Excellence in Farm and Ranch Financial Management Award Financial Management Award

•The FRSK program was featured in the The FRSK program was featured in the national “Successful Farming Radio Magazine,” national “Successful Farming Radio Magazine,” broadcast to 1.25 million listeners in 22 broadcast to 1.25 million listeners in 22 Midwestern states and linked to their Web siteMidwestern states and linked to their Web site

•The FRSK program will be featured in an The FRSK program will be featured in an upcoming issue of the WCRME’s newsletterupcoming issue of the WCRME’s newsletter

Quotes from ParticipantsQuotes from Participants

““I feel like I went from knowing nothing to be able to I feel like I went from knowing nothing to be able to make intelligent decisions.”make intelligent decisions.”

““We’re holding family meetings to discuss goals and We’re holding family meetings to discuss goals and objectives for use of our family property. Also working objectives for use of our family property. Also working with financial planner to look at long-term financial with financial planner to look at long-term financial objectives.”objectives.”

““We have prioritized what needs to be done first in We have prioritized what needs to be done first in setting up our farm. We are starting from scratch—as setting up our farm. We are starting from scratch—as in bare land with no improvements.”in bare land with no improvements.”

““Very good information. Real world stuff. Will have a Very good information. Real world stuff. Will have a value when used.”value when used.”

““Useful and practical info. Seems transferable to Useful and practical info. Seems transferable to various situations and enterprises. Very convenient various situations and enterprises. Very convenient program.”program.”

Future DirectionsFuture Directions

WA-OR Farm Succession program: $30,000 from WA-OR Farm Succession program: $30,000 from the Western Center for Risk Management the Western Center for Risk Management EducationEducation

NxLevelNxLevel®® and Cultivating Success and Cultivating Success®® programs programs

Development of livestock enterprise budgetsDevelopment of livestock enterprise budgets

County economic development funding requests for County economic development funding requests for agricultural programmingagricultural programming

Financial management and estate planning Financial management and estate planning educational program partnerships with community educational program partnerships with community colleges and Small Business Development Centerscolleges and Small Business Development Centers

Questions?Questions?